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Note 13. Subsequent Events
6 Months Ended
Jun. 30, 2011
Subsequent Events [Text Block]
Note 13.  Subsequent Events

Subsequent to June 30, 2011, the Company issued a total of 30,132,000 shares of common stock to consultants as payment for services performed in accordance with the terms of the consultants’ respective consulting agreements.

In February 2010, Transgenomic, Inc. (“Transgenomic”) filed a lawsuit against the Company in the United States District Court for the District of Nebraska.  The lawsuit contains claims for fraud, breach of contract, libel and slander, and sought a declaration of rights under a Collaboration and Exclusive License Agreement, dated January 23, 2009, between the parties that the Company had terminated on February 2, 2010.  In April 2010, the Company filed a partial motion to dismiss Transgenomic’s fraud claim.  In June 2010, the Company filed a lawsuit against Transgenomic in the District Court of Montgomery County, Texas, 359th Judicial District.  The lawsuit contained claims for trade secret misappropriation, breach of contract, misappropriation, conversion, unjust enrichment, quantum meruit and promissory estoppel as well as a request for injunctive relief.  In July 2010, the Company filed a non-suit to dismiss the case that the Company filed against Transgenomic in Texas without prejudice.  The Company intends to re-file the claims against Transgenomic in the United States District Court for the District of Nebraska as counterclaims accompanying its response to the claims filed by Transgenomic and has agreed to enter mediation with Transgenomic in an attempt to resolve this matter.  Mediation occurred in July 2011 between the parties and is currently awaiting the courts final approval.  Based on the July 22, 2011 mediation outcome with Transgenomic, the Company recorded a loss of $55,556 during the three month period ended June 30, 2011 and recorded a stock payable of $55,556 which represented 5,555,556 shares.  As of August 22, 2011 these shares have not yet been issued.

There have been no additional significant subsequent events through the date these financial statements were issued.