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Notes Payable Related Parties

9 Months Ended

Sep. 30, 2024

8. Notes Payable – Related Parties

Notes payable – related parties were comprised of the following as of September 30, 2024 and December 31, 2023:

Notes Payable - Related Parties	Relationship	September 30, 2024			December 31, 2023
Cluff-Rich PC 401K	Affiliate - Controlled by Director		51,000			51,000
Debra D'ambrosio	Immediate Family Member		468,583			455,513
Francis E. Rich	Immediate Family Member		100,000			100,000
Pine Valley Investments	Affiliate - Controlled by Significant Shareholder		295,000			295,000
Whit Cluff	Affiliate - Director		10,300			-
Total Notes Payable - Related Parties			924,883			901,513
Less Short-Term Notes Payable - Related Parties			(924,883	)		(32,895	)
Total Long-Term Notes Payable - Related Parties		$	-		$	868,618

Cluff-Rich PC 401K – On June 29, 2022, the Company issued an unsecured Short-Term Promissory Note to Cluff-Rich PC 401K in the principal amount of 60,000 (the “Note”) due on December 31, 2022 and bears a 5.0% interest rate. On February 1, 2023, the Company re-negotiated this note which extended it to March 1, 2025 and made it non-interest bearing. The Company issued 5,142,857 shares of common stock on February 1, 2023 as settlement for the accrued interest of $18,000. During the nine months ended September 30, 2023, the Company made a payment of $9,000 towards the principal balance. As of September 30, 2024, the gross balance of the notes was $51,000.

D. D’Ambrosio (Immediate Family Member of Director) – On January 1, 2023, there were six notes outstanding with outstanding balance of the Notes of $446,210 and accrued interest of $81,204. During January 2023, the Company issued an unsecured Short-Term Promissory Notes to D. D’Ambrosio in principal amounts totaling $6,408 (the “Note”) that bears a 3.00% interest rate. On February 1, 2023, the Company re-negotiated these notes into one note with a maturity date of March 1, 2025 and is non-interest bearing. The Company issued 23,200,857 shares of common stock on February 1, 2023 as settlement for the accrued interest of $81,204. During the year ended December 31, 2023, the Company made a payment of $30,000 towards the principal balance. As of September 30, 2024, the gross balance of the note was $422,618.

D. D’Ambrosio (Immediate Family Member of Director) – On January 1, 2024, the Company issued an unsecured Short-Term Promissory Notes to D. D’Ambrosio in principal amounts totaling $32,895 (the “Note”) for the two Notes issued from April through December 2023, which had expired. The Note bears a 5.00% interest rate and matures on December 31, 2023. During the nine months ended September 30, 2024, the Company paid the principal balance of $32,895. As of September 30, 2024, the gross balance of the note was $0.

D. D’Ambrosio (Immediate Family Member of Director) – On January 31, 2024, the Company issued an unsecured Short-Term Promissory Notes to D. D’Ambrosio in principal amounts totaling $22,695 (the “Note”), which bears a 5.00% interest rate and matures on January 31, 2025. During the nine months ended September 30, 2024, the Company paid the principal balance of $22,695. As of September 30, 2024, the gross balance of the note was $0.

D. D’Ambrosio (Immediate Family Member of Director) – On March 31, 2024, the Company issued an unsecured Short-Term Promissory Notes to D. D’Ambrosio in principal amounts totaling $6,000 (the “Note”), which bears a 5.00% interest rate and matures on March 31, 2025. During the nine months ended September 30, 2024, the Company paid the principal balance of $6,000. As of September 30, 2024, the gross balance of the note was $0.

D. D’Ambrosio (Immediate Family Member of Director) – On May 1, 2024, the Company issued an unsecured Short-Term Promissory Notes to D. D’Ambrosio in principal amounts totaling $32,455 (the “Note”), which bears a 5.00% interest rate and matures on December 31, 2024. During the nine months ended September 30, 2024, the Company paid the principal balance of $32,455. As of September 30, 2024, the gross balance of the note was $0.

D. D’Ambrosio (Immediate Family Member of Director) – During June through September, 2024, the Company received funds in the amount of $50,395. On October 1, 2024, the Company formalized an unsecured Short-Term Promissory Notes to D. D’Ambrosio in principal amounts totaling $50,395 (the “Note”), which bears a 5.00% interest rate and matures on October 31, 2025. During the nine months ended September 30, 2024, the Company made payments of $4,430 towards the principal balance. As of September 30, 2024, the gross balance of the note was $45,965.

Francis E. Rich – On January 1, 2023, there were two notes outstanding with outstanding balance of the Notes of $100,000 and accrued interest of $47,500. On February 1, 2023, the Company re-negotiated these notes into one note with a maturity date of March 1, 2025 and is non-interest bearing. The Company issued 16,428,571 shares of common stock as settlement for the accrued interest of $57,500. As of September 30, 2024, the gross balance of the notes was $100,000.

Pine Valley Investments, LLC – On January 1, 2023, there were three Notes outstanding with outstanding balance of the Notes of $295,000 and accrued interest of $115,250. On February 1, 2023, the Company re-negotiated these notes into one note with a maturity date of March 1, 2025 and is non-interest bearing. The Company issued 32,928,571 shares of common stock as settlement for the outstanding accrued interest of $115,250. As of September 30, 2024, the gross balance of the notes was $295,000.

Whit Cluff (Affiliate – Director) – On March 28, 2024, the Company issued an unsecured Short-Term Promissory Note to Cluff-Rich PC 401K in the principal amount of $10,300 (the “Note”) due on April 30, 2025 and bears a 5.0% interest rate. As of September 30, 2024, the gross balance of the note was $10,300 and accrued interest was $515.

Typically, any gains or losses on the extinguishment of debts are reported on the statement of operations. However, since all of the debts in this section are related parties, the gains or losses on the extinguishment of debts have been recorded as additional paid-in capital instead of gains or losses.