Hello Everyone,
Here is the section in the 10K regarding legal matters. There are 2 items outstanding for the Company at this time.
First case is with IRTH Communications their former IR/PR firm. The fact the Company got suited by their former IR/PR firm whom got issued 2.2MM shares (when they meant something) may indicate that XCLK didn't care for their performance or lack thereof and thought the shares may partially suffice for the work performed. I do recall as an investor every getting any communication ever from them on behalf of the Company.
The second case is with KBM Worldwide whom is a toxic debt lender. Maybe the Company's management or Board refused to continue to go along with whatever KBM wanted including continuing to issue more shares and to increase the total authorized one more time. Any increase in total authorized share count could entail further dilution of the stock bringing more harm to all long-term shareholders.
I don't think it is prudent to jump to conclusions for a bit until the Company issues a statement regarding topics covered in the 10K.
keep issuing millions of shares to KBM.
Item 3. Legal Proceedings
We are a party to two pending legal proceedings. We are not aware of any other pending legal proceeding to which any of our officers, directors, or any beneficial holders of 5% or more of our voting securities are adverse to us or have a material interest adverse to us.
On April 10, 2015, IRTH Communications, LLC, a Nevada limited liability company, filed a lawsuit for the $90,000 balance due on their IR consulting services contract. The Company contests the validity of this claim and this lawsuit. As of December 31, 2014, the Company’s recorded liability to IRTH is $90,000 and the case is still pending.
In June 2015, KBM Worldwide, Inc. due to default on their outstanding Convertible Promissory Notes filed a lawsuit against the Company for $200,000 inclusive of interest, penalties and damages. As of December 31, 2014, the Company’s recorded liability to KBM is $153,595 of principal and $6,201 of accrued interest and the case is still pending.
