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SUBSEQUENT EVENTS
12 Months Ended
Dec. 31, 2014
SUBSEQUENT EVENTS [Abstract]  
SUBSEQUENT EVENTS
NOTE 19 – SUBSEQUENT EVENTS

 

On January 7, 2015, a partial repayment representing a principal reduction of $100,000 and $8,433 of interest, was paid on the Company's outstanding convertible bond held by Yung.  The balance of the outstanding note was paid off with the issuance of 5,912,786 ZAP shares to Yung in February, 2015.  Yung is allowed to engage in open market sales of the shares through June 30, 2015.  In the event the gross proceeds realized from the sale of the shares by Yung is greater than the principal and interest due on the bond as of the maturity date, Yung will be entitled to retain all proceeds.  If the proceeds from the sale of shares is less than the principal and interest due on the bond as of the maturity date, ZAP will pay the shortfall to Yung in cash within five business days of written notice from Yung,  In the event that on June 30, 2015, Yung holds unsold shares and there is an unpaid balance remaining on the bond, ZAP will repurchase from Yung all of the unsold shares at the price they were issued to Yung..


On April 10, 2015, ZAP received notification from USPS that ZAP has been selected as one of the pre-qualified companies to participate in the USPS Federal Business Opportunity (FBO) RFP.  In January 2015, USPS had issued a new request for response to its FBO for its Next Generation Delivery Vehicle (NGDV) Program.  ZAP submitted a new proposal based on new guidelines for a complete new USPS delivery truck designed to use clean energy and environmentally friendly technologies.  ZAP's proposal submitted for this new USPS NGDV Program has been accepted for consideration.  As one of the pre-qualified companies, ZAP will proceed with detailed response to the RFP, and undergo trial for the product proposed.  This trial is anticipated to last for more than one year.


As of January 9th, 2015 ZAP has settled all disputes with Steve Schneider and Mark Abdou.