California Grapes International, Inc (CAGR)

[pantherj]

No, you are not getting it. It is legally binding as to those parties who entered into the agreement. It cannot effect the rights of a third party who is not party to that contract. One cannot give away a third parties rights by contract between two other parties.

Ex: I own a store and call it "Panthers Quick Stop." You as vendor supply me with candy bars and invoice me. Before the invoice is paid, i sell the store and it is renamed to "Cougars Corner." Does that mean the store no longer owes you, the vendor the money? The vendor must be paid. Any indemnity agreement, such as the one between GDHI and Diamond, gives the store the contractual right to collect from me, the old owner. But it does not wipe out the debt owed to you, the vendor. It is an obligation upon the business, not an individual. the only way it could have been wiped out is through BK.