SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT
TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report: March 31, 2011
SELGA INC.
(Exact name of Registrant as specified in its charter)
Nevada 333-165091 27-1368734
(State or other jurisdiction (Commission File number) (IRS Employer
of incorporation or organization) Identification No.)
6021 Yonge Street - Suite 1011
Toronto, Ontario
Canada M2M 3W2
(Address of principal executive offices) (Zip Code )
(Registrant’s Telephone Number, Including Area Code) (647) 456-4002
3201 Henderson Mill Rd., #27D, Atlanta ,Georgia 30341
(Former Address If Changed since Last Report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation for the registrant under any of the following provisions (see General Instruction A.2. below):
o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
ITEM 1.01 ENTRY INTO A MATERIAL DEFINITIVE AGREEMENT
ITEM 5.01 CHANGES IN CONTROL OF REGISTRANT
ITEM 5.02 DEPARTURE OF DIRECTORS OR CERTAIN OFFICERS; ELECTION OF DIRECTORS; APPOINTMENT OF CERTAIN OFFICERS; COMPENSATORY ARRANGEMENTS OF CERTAIN OFFICERS.
Stock Purchase Agreement
On March 31, 2011, a Stock Purchase Agreement (the “SPA”) by and among the Registrant’s three sole officer and director Olegs Petusko (“OP”), the Registrant and Warmond Fang (“WF”) was executed and a closing was held under the SPA.
Pursuant to the SPA (i) WF purchased an aggregate of 10,000,000 shares of common stock of the Registrant (80.5% of the outstanding shares) from OP for a purchase price of $400,700.00; (ii) the Registrant disposed of its operating subsidiary by transferring its membership interest to OP; (iii) WF and Jatinder S. Bhogal were elected directors of the Registrant; (iv) WF was elected President and CEO of the Registrant and Frank J. Hariton was elected secretary of the Registrant; and (v) OP resigned as an officer and director of the Registrant. WF made the purchase of the shares with his own funds. The Registrant entered into a six month consulting agreement with Selga Auto LLC, a company owned by OP to assist the Registrant in operating its business for a consulting fee of $300 per automobile sold through the agreement. The Registrant may cancel this agreement on thirty day’s notice.
Management
Following the closing under the SPA, the officers and directors of the Registrant are as follows:
Name Age Titles
Warmond Fang 29 CEO, President and a Director
Jatinder S. Bhogal 44 Director
Frank J. Hariton 62 Secretary
Warmond Fang. Mr. Fang holds a Bachelors degree (Honours) in Political Science from York University and a Masters Degree (Honours with Distinction) in International Relations from the University of Hong Kong. Mr. Fang has also taken advanced academic studies in Chinese foreign policy, political economy and business law at Peking University.
Since 2001 Mr. Fang has been president and CEO of Armega International Group, a private company that is involved with the hospitality industry. In 2005, Mr. Fang served as Business Development Consultant for Yunnan Daphne Pharmaceuticals where he managed overseas product marketing and development. From 2007 to 2008, Mr. Fang served as President and CEO of Dongguan Armega Education Consulting, providing translation/interpreting services, language training, and education consulting services to government, as well as domestic and foreign private enterprises operating in China.
Jatinder S. Bhogal. Since December 1993, Mr. Bhogal has worked as an independent business consultant to emerging growth companies. For more than 17 years, Mr. Bhogal has provided early business development guidance and consulting to companies developing healthcare services, medical devices, pharmaceuticals and vaccines, solar-photovoltaics, biofuels, and information technology solutions. Mr. Bhogal is also a Director of International Energy, Inc.
Frank J. Hariton. Mr. Hariton is an attorney in private practice in New York State. Mr. Hariton has been Secretary of Petrocorp Inc., an OTCQB listed oil and gas exploration company, since 2007. Mr. Hariton received his BA (1971) and JD (1974) from Case Western Reserve University.
Neither Mr. Fang nor Mr. Hariton has an employment agreement with the Registrant.
Security Ownership of Certain Beneficial Owners
The following table sets forth, as of March 31, 2011, the stock ownership of (i) each of our named executive officers and directors, (ii) all executive officers and directors as a group, and (iii) each person known by us to be a beneficial owner of 5% or more of our common stock. No person listed below has any option, warrant or other right to acquire additional securities from us, except as may be otherwise noted. We believe that all persons named in the table have sole voting and investment power with respect to all shares of common stock beneficially owned by them except as stated therein.
Name and Address of Amount and Nature of Percentage of Class
Beneficial Owner Beneficial Ownership
Warmond Fang 10,000,000 - Direct 80.5%
6021 Yonge Street - Suite 1011
Toronto, Ontario
Canada M2M 3W2
Jatinder S. Bhogal -0- -0-%
6021 Yonge Street - Suite 1011
Toronto, Ontario
Canada M2M 3W2
Frank J. Hariton -0- -0- %
1065 Dobbs Ferry Road
White Plains, NY 10607
All officers and directors
as a group (3 persons) 10,000,000 80.5%
9. FINANCIAL STATEMENTS AND EXHIBITS
(a) Financial Statements of Business Acquired
Not Required.
(b) Pro-Forma Financial Information
Not Required.
(c) Exhibits
Exhibit No. Description
10.1 Stock Purchase Agreement
10.2 Consulting Agreement
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Selga Inc.
By: /s/ Warmond Fang, CEO
Dated: April 6, 2011
EXHIBIT 10.1
STOCK PURCHASE AGREEMENT
This STOCK PURCHASE AGREEMENT (the “Agreement”) is made as of March 31, 2011 (the “Effective Date”), by and among Olegs Petusko an individual (thereinafter referred to as the “Seller”); Selga Inc., a Nevada corporation (the “Company”) and Warmond Fang, an individual, (the “Purchaser”) and Frank J. Hariton, Esq, as escrow agent (the “Escrow Agent”).
Recitals
A. Seller, the Company and Purchaser are executing and delivering this Agreement in reliance upon the exemption from securities registration afforded by Regulation D promulgated under the Securities Act of 1933, as amended (the “Securities Act”), and such other Federal and state securities exemptions as may be deemed available;
B. Seller is the majority shareholders, and is the beneficial and record owner of 10,000,000 outstanding shares of common stock, par value $0.001 per share (the ”Sold Shares”) of the Company representing approximately 80.5% of the 12,430,000 issued and outstanding shares of common stock, par value $0.001 per share (the “Common Stock”) of the Company: and
C. The Purchaser wishes to purchase from the Seller and the Seller wishes to sell to the Purchaser, upon the terms and conditions stated in this Agreement, the Sold Shares for a purchase price of Four Hundred Thousand Seven Hundred ($400,700.00) Dollars (the “Purchase Price”).
In consideration of the mutual promises made herein and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:
1. Purchase and Sale of the Shares. Subject to the terms and conditions of this Agreement, on the Closing, the Purchaser shall purchase, and the Seller shall sell to the Purchaser, the Sold Shares for the Purchase Price.
2. Escrow Pending Closing. Upon execution of this Agreement, Seller shall deliver the certificates for the Sold Shares duly endorsed for transfer with medallion guarantee to the Escrow Agent and the Purchaser shall deliver the Purchase Price to the Escrow Agent to be held and delivered pursuant to the terms of this agreement and a separate escrow agreement.
3. Representations and Warranties of the Seller and the Company. The Seller represents and warrants to the Purchaser and the Company warrants and represents to the Purchaser, that as of the Effective Date and as of Closing:
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3.1 Organization. The Company is an entity duly incorporated under the laws of the State of Nevada and in good standing. The Federal Tax ID number is 27-1368734.
3.2 Authorization. Neither the Company nor the Seller is a party to any agreement, written or oral, creating rights in respect of any Sold Shares in any third person or relating to the voting of the Sold Shares. This Agreement constitutes the legal, valid and binding obligation of the Seller and the Company, enforceable against the Seller and the Company in accordance with its terms, subject to bankruptcy, insolvency, fraudulent transfer, reorganization, moratorium and similar laws of general applicability, relating to or affecting creditors’ rights generally.
3.3 Capitalization. The authorized capital stock of the Company on the date hereof and as of Closing does and will consist of (i) 75,000,000 shares of common stock, par value $0.001 per share, of which 12,430,000 are issued and outstanding. There are no shares of capital stock issuable pursuant to any stock plans of the Company, nor are there any shares of capital stock issuable or reserved for issuance pursuant to securities exercisable for, or convertible into or exchangeable for any shares of capital stock of the Company. All of the issued and outstanding shares of the Company’s capital stock have been duly authorized and validly issued and are fully paid, no assessable and free of pre-emptive rights and were issued in full compliance with applicable state and federal securities law and any rights of third parties. No Person is entitled to pre-emptive or similar statutory or contractual rights with respect to any securities of the Company. As used in this Agreement, “Person” shall mean an individual, corporation, partnership, Limited Liability Company, trust, business trust, association, Joint Stock Company, joint venture, sole proprietorship, unincorporated organization, governmental authority or any other form of entity not specifically listed herein.
3.4 Valid Issuance; No Encumbrances. Seller is the lawful owner of the Sold Shares free and clear of all security interests, liens, encumbrances, equities and other charges.
3.5 Consents. The execution, delivery and performance by the Seller and the Company of this Agreement and the offer and sale of the Sold Shares requires no consent of, action by or in respect of, or filing with, any Person, governmental body, agency, or official other than filings that have been made pursuant to applicable state securities laws and post-sale filings pursuant to applicable state and federal securities laws (which the Purchaser shall file within the applicable time periods).
3.6 Delivery of SEC Filings; Business. The Seller and the Company have made available to the Purchaser through the EDGAR system, true and complete copies of any Company’s filings made with the U.S. Securities and Exchange Commission (“SEC”). Such filings, except those that have been amended, were, when filed, true accurate and complete and did not omit to state a fact, necessary in light of the statements made therein, in order to make such statements not misleading.
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3.7 No General Solicitation or General Advertising. Neither the Company nor the Seller nor any Person acting on any of their behalves has offered or sold or will offer or sell any of the Sold Shares by any form of “general solicitation” or “general advertising” (as those terms are used in Regulation D, promulgated under the Securities Act) in connection with the offer or sale of any of the Sold Shares. The Seller has offered the Sold Shares for sale only to the Purchaser.
3.8 No Class of Securities Registered Under Section 12(g) of the Exchange Act. The Company has no class of securities registered with the SEC under Section 12(g) of the Exchange Act.
3.9 No Litigation. There are no actions, suits or proceedings, at law or in equity, and no proceedings before any arbitrator, or by or before any governmental commission, board, bureau or other administrative agency, pending, or to the Seller’s knowledge, threatened against or affecting the Company, or any properties or rights of the Company.
3.10 Company Indebtedness. As of the Closing, there are no shareholder loans or other instruments or evidence of indebtedness owed by the Company to any shareholder or other third party, and all professional fees incurred by the Company, or by Seller on behalf of the Company, for all services rendered up to and through the Closing, have been paid in full.
3.11 Company Obligations. There are no contracts, debts, lawsuits, agreements or other obligations of the Company known to the Seller, which, individually or in the aggregate, exceed Five Hundred Dollars ($500.00), attached hereto and incorporated herein by reference. There may be contracts, debts, lawsuits, agreements or other obligations that are unknown to the Seller and that would remain with the Corporation.
3.12 Subsidiary. The Company has no subsidiaries.
4. Representations and Warranties of the Purchaser. As of the Effective Date and as of Closing, the Purchaser hereby represents and warrants to the Seller and The Company that:
4.1 Authorization. The execution, delivery and performance by the Purchaser of this Agreement constitutes the valid and legally binding obligation of the Purchaser, enforceable against the Purchaser in accordance with its terms, subject to bankruptcy, insolvency, fraudulent transfer, reorganization, moratorium and similar laws of general applicability, relating to or affecting creditors’ rights generally.
4.2 Purchase Entirely for Own Account. The Securities to be received by the Purchaser hereunder will be acquired for the Purchaser’s own account, not as nominee or agent, and not with a view to the resale or distribution of any part thereof in violation of the Securities Act, and the Purchaser has no present intention of selling, granting any participation in, or otherwise distributing the same in violation of the Securities Act without prejudice, however, to the Purchaser’s right at all times to sell or otherwise dispose of all or any part of such Securities in compliance with applicable federal and state securities laws. Nothing contained herein shall be deemed a representation or warranty by the Purchaser to hold the Securities for any minimum or other specific term nor limiting the Purchaser’s right to sell the Securities at any time in compliance with applicable federal and state securities laws.
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4.3 Purchaser Status. At the time the Purchaser was offered the Sold Shares, it was, and at the date hereof and at Closing is, an “accredited investor” as defined in Rule 501(a) under the Securities Act.
4.4 Experience of the Purchaser. The Purchaser, either alone or together with its representatives, has such knowledge, sophistication and experience in business and financial matters so as to be capable of evaluating the merits and risks of the prospective investment in the Sold Shares. Purchaser evaluated the merits and risks of such investment. The Purchaser is able to bear the economic risk of an investment in the Sold Shares and, at the present time, is able to afford a complete loss of such investment.
4.5 Disclosure of Information. The Purchaser has had an opportunity to receive all information related to the Company requested by him and to ask questions of and receive answers from the Seller regarding the Company, its business and the terms and conditions of the offering of the Sold Shares. The Purchaser acknowledges receipt of copies of the SEC Filings and undertakes to cause the Company to file a Form D with respect to the transactions contemplated by this Agreement.
4.6 Restricted Securities. The Purchaser understands that the Sold Shares are characterized as “restricted securities” under the U.S. federal securities laws inasmuch as they are being acquired from the Seller in a transaction not involving a public offering and that under such laws and applicable regulations such securities may be resold without registration under the Securities Act only in certain limited circumstances.
4.7 Legend. The Purchaser understands and agrees that the certificate(s) or the documents representing the Sold Shares will bear one or more restrictive legends determined by counsel to the Company to be necessary or appropriate in order to comply with United States federal or state securities laws or to secure or protect any applicable exemptions from registration or qualification, including a legend in substantially the following form and the Purchaser agrees to abide by the terms thereof:
THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “ACT”) OR ANY OTHER APPLICABLE SECURITIES LAW OF ANY STATE OR OTHER JURISDICTION, AND HAVE BEEN ISSUED IN RELIANCE UPON AN EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE ACT. THESE SECURITIES CANNOT BE TRANSFERRED, OFFERED, OR SOLD UNLESS SUCH SECURITIES ARE REGISTERED UNDER THE ACT OR AN EXEMPTION FROM REGISTRATION IS AVAILABLE, THE AVAILABILITY OF WHICH IS TO BE ESTABLISHED TO THE SATISFACTION OF THE CORPORATION AND ITS COUNSEL.
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4.8 No General Solicitation. The Purchaser is not purchasing the Sold Shares as a result of any “general solicitation” or “general advertising” (as such terms are defined in Regulation D), which includes, but is not limited to, any advertisement, article, notice or other communication regarding the Securities published in any newspaper, magazine or similar media or on the internet or broadcast over television, radio or the internet or presented at any seminar or any other general solicitation or general advertisement.
5. Conditions to Closing.
5.1 Conditions to the Purchaser’s Obligations. The obligation of the Purchaser to purchase the Sold Shares at the Closing is subject to the fulfillment to the Purchaser’s satisfaction, on or prior to the Closing, of the following conditions, any of which may be waived by the Purchaser:
(a) The representations and warranties made by the Seller and the Company in Section 3 hereof shall be true and correct at all times prior to and on the Closing. The Seller and the Company shall have performed in all material respects all obligations and conditions herein required to be performed or observed by him on or prior to the Closing.
(b) The Seller and/or the Company shall have obtained any consents, permits, approvals, registrations and waivers necessary or appropriate for consummation of the purchase and sale of the Sold Shares and the consummation of the transactions contemplated by this Agreement, all of which shall be in full force and effect.
(c) The Seller shall have delivered to the Escrow Agent the certificates evidencing the Sold Shares as set forth in Section 2;
5.2 Conditions to Obligations of the Seller. The Seller’s obligation to sell and issue the Sold Shares to Purchaser at the Closing is subject to the fulfillment to the satisfaction of the Seller and their counsel on or prior to the Closing of the following conditions, any of which may be waived by the Seller:
(a) The representations and warranties made by the Purchaser in Section 4 hereof shall be true and correct in all material respects when made, and shall be true and correct in all material respects on the Closing.
(b) The Purchaser shall have delivered the Purchase Price to the Escrow Agent.
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5.3 Termination of Obligations to Effect Closing; Effects.
(a) The obligations of the Seller and Company, on the one hand, and the Purchaser, on the other hand, to affect the Closing shall terminate as follows:
(i) Upon the mutual written consent of the Seller and the Purchaser;
(ii) By the Seller if any of the conditions set forth in Section 5.2 shall have become incapable of fulfillment, and shall not have been waived by the Seller;
(iii) By the Purchaser if any of the conditions set forth in Section 5.1 shall have become incapable of fulfillment, and shall not have been waived by the Purchaser; or
(iv) By either the Seller or the Purchaser (with respect to itself only) if the Closing has not occurred on or prior to March 31, 2011 or such later date as the parties may agree to in writing; provided, however, that, except in the case of clause (i) above, the party seeking to terminate its obligation to effect the Closing shall not then be in breach of any of its representations, warranties, covenants or agreements contained in this Agreement if such breach has resulted in the circumstances giving rise to such party’s seeking to terminate its obligation to effect the Closing.
(b) In the event of termination by the Seller or the Purchaser of its obligations to affect the Closing pursuant to this Section 5.3, written notice thereof shall forthwith be given to the other party. Nothing in this Section 5.3 shall be deemed to release any party from any liability for any breach by such party of the terms and provisions of this Agreement or to impair the right of any party to compel specific performance by any other party of its obligations under this Agreement.
6. Covenants and Agreements of the Purchaser.
6.1 Securities Laws Disclosure; Publicity. The Purchaser shall make such filings with the SEC as required following the Closing. The Seller and the Purchaser shall consult with each other in issuing any press releases with respect to the transactions contemplated hereby, and neither the Seller nor the Purchaser shall issue any such press release or otherwise make any such public statement without the prior consent of the other, which consent shall not unreasonably be withheld or delayed, except if such disclosure is required by law, in which case the disclosing party shall promptly provide the other party with prior notice of such public statement or communication. Further, the parties acknowledge and agree that all such press releases shall conform with the requirements of Rule 135c of the Securities Act. Prior to Closing, Purchaser shall deliver a draft of the Form 8-K to be filed with respect to this transaction in form and substance reasonably satisfactory to the Seller and their counsel.
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7. Deliveries at Closing The following deliveries shall be made at the Closing:
(a) By the Seller and the Company:
(i) copies of the Company’s Articles of Incorporation and amendments thereto, By-laws and amendments thereto;
(ii) all minutes and resolutions of the board of directors and of the stockholders (and meetings of stockholders) in possession of the Company;
(iii) stockholder list of the Company;
(iv) all financial statements and tax returns in possession of the Company;
(v) all applicable schedules hereto;
(vi) Letters of resignation from the Company’s current officers and directors to be effective upon Closing and confirming that they have no claim against the Company in respect of any outstanding remuneration or fees of whatever nature to be effective upon closing and after the appointments, with the resignation of the directors to take effect on the Closing Date;
(vii) Executed board resolutions authorizing and approving the actions to be performed by the Company hereunder and appointing designees of the Purchaser as members of the board of directors or officers of the Company as set forth in Schedule D;
(viii) A certificate of the Secretary or Assistant Secretary of the Company, dated as of the Closing Date, certifying as to (i) the incumbency of officers of the Company executing this Agreement and all exhibits and schedules hereto and all other documents, instruments and writings required pursuant to this Agreement (the “Transaction Documents”), (ii) a copy of the Articles of Incorporation and By-Laws of the Company, as in effect on and as of the Closing Date, and (iii) a copy of the resolutions of the Board of Directors of the Company authorizing and approving the Company’s execution, delivery and performance of the Transaction Documents, all matters in connection with the Transaction Documents, and the transactions contemplated thereby;
(ix) A certificate, executed by the President of the Company as of the Closing Date, certifying to the fulfillment of all of the conditions to the Purchaser’s’ obligations under this Agreement and certifying that each of the representations and warranties of the Seller as set forth in Section 2 of this Agreement are true and correct in all material respects as of the Closing Date as though made on and as of the Closing Date;
(x) A duly executed copy of this Agreement;
(xi) Good standing and existence certificates for the Company from the State of Nevada;
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(xii) An instruction letter issued by the Company or its counsel to the Company’s transfer agent authorizing and instructing the transfer of the Shares from the Seller to the Purchaser pursuant to this Agreement and the signed instruments of transfer for the Share Certificates;
(xiii) Resolutions appointing the Purchaser’s designee(s) as officers and directors of the Company as follows – Directors: Warmond Fank and Jatinder S. Bhogal – Officers: Warmond Fang, President and CEO; Frank J. Hariton, Secretary; and
(xiv) Any other document reasonably requested by the Purchaser that the Purchaser deems necessary for the consummation of this transaction.
(b) By the Purchaser to the Seller and the Company:
(i) All applicable exhibits and schedules hereto;
(ii) A duly executed copy of this Agreement;
(iii) Purchaser shall deliver to the Seller at the Closing a certificate certifying that each of the representations and warranties of the Purchaser as set forth in Section 3 of this Agreement are true and correct in all material respects as of the Closing Date as though made on and as of the Closing Date;
(iv) Any other document reasonably requested by the Seller that they deem necessary for the consummation of this transaction; and
(v) The Purchase Price
(c) The Seller and the Purchaser shall deliver joint instructions to the Escrow Agent to deliver the Purchase Price to the Seller and the Certificates and Stock Powers to the Purchaser.
8. Survival and Indemnification.
8.1 Survival. The representations, warranties, covenants and agreements contained in this Agreement shall survive the Closing of the transactions contemplated by this Agreement.
8.2 Indemnification. The Seller for a period of one year from the date of the Closing agrees to indemnify and hold harmless the Purchaser and his affiliates and their respective directors, officers, members, managers, employees and agents from and against any and all losses, claims, damages, liabilities and expenses (including without limitation reasonable attorney fees and disbursements and other expenses incurred in connection with investigating, preparing or defending any action, claim or proceeding, pending or threatened and the costs of enforcement thereof) to which such Person may become subject as a result of any breach of representation, warranty, covenant or agreement made by or to be performed on the part of the Seller under this Agreement, and will reimburse any such Person for all such amounts as they are incurred by such Person.
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9. Miscellaneous.
9.1 Successors and Assigns. This Agreement may not be assigned by a party hereto without the prior written consent of the Seller or the Purchaser, as applicable. The provisions of this Agreement shall inure to the benefit of and be binding upon the respective permitted successors and assigns of the parties. Nothing in this Agreement, express or implied, is intended to confer upon any party other than the parties hereto or their respective successors and assigns any rights, remedies, obligations, or liabilities under or by reason of this Agreement, except as expressly provided in this Agreement.
9.2 Counterparts; Faxes. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. This Agreement may also be executed and delivered by facsimile or similar instantaneous electronic transmission device pursuant to which the signature of or on behalf of such party can be seen.
9.3 Titles and Subtitles. The titles and subtitles used in this Agreement are used for convenience only and are not to be considered in construing or interpreting this Agreement.
9.4 Notices. Unless otherwise provided, any notice required or permitted under this Agreement shall be given in writing and shall be deemed effectively given as hereinafter described (i) if given by personal delivery, then such notice shall be deemed given upon such delivery, (ii) if given by telex or telecopier, then such notice shall be deemed given upon receipt of confirmation of complete transmittal, (iii) if given by mail, then such notice shall be deemed given upon the earlier of (A) receipt of such notice by the recipient or (B) three days after such notice is deposited in first class mail, postage prepaid, and (iv) if given by an internationally recognized overnight air courier, then such notice shall be deemed given one business day after delivery to such carrier. All notices shall be addressed to the party to be notified at the address as set forth on the signature page hereto, or at such other address as such party may designate by ten days’ advance written notice to the other party:
9.5 Expenses. The parties hereto shall pay their own costs and expenses in connection herewith.
9.6 Amendments and Waivers. Any term of this Agreement may be amended and the observance of any term of this Agreement may be waived (either generally or in a particular instance and either retroactively or prospectively), only with the written consent of the Seller and the Purchaser.
9.7 Severability. Any provision of this Agreement that is prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such prohibition or unenforceability without invalidating the remaining provisions hereof but shall be interpreted as if it were written so as to be enforceable to the maximum extent permitted by applicable law, and any such prohibition or unenforceability in any jurisdiction shall not invalidate or render unenforceable such provision in any other jurisdiction. To the extent permitted by applicable law, the parties hereby waive any provision of law which renders any provision hereof prohibited or unenforceable in any respect.
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9.8 Entire Agreement. This Agreement, including any Exhibits and Schedules attached hereto, constitute the entire agreement among the parties hereof with respect to the subject matter hereof and thereof and supersede all prior agreements and understandings, both oral and written, between the parties with respect to the subject matter hereof and thereof.
9.9 Further Assurances. The parties shall execute and deliver all such further instruments and documents and take all such other actions as may reasonably be required to carry out the transactions contemplated hereby and to evidence the fulfillment of the agreements herein contained.
9.10 Governing Law; Consent to Jurisdiction; Waiver of Jury Trial. This Agreement shall be governed by, and construed in accordance with, the internal laws of the State of New York as they are applied to contracts executed, delivered and to be performed entirely within the State of New York and without regard to the choice of law principles thereof. Each of the parties hereto irrevocably submits to the exclusive jurisdiction of the courts of the State, City and County of New York for the purpose of any suit, action, proceeding or judgment relating to or arising out of this Agreement and the transactions contemplated hereby. Service of process in connection with any such suit, action or proceeding may be served on each party hereto anywhere in the world by the same methods as are specified for the giving of notices under this Agreement (other than by telex or facsimile which shall be deemed improper service). Each of the parties hereto irrevocably consents to the jurisdiction of any such court in any such suit, action or proceeding and to the laying of venue in such court. Each party hereto irrevocably waives any objection to the laying of venue of any such suit, action or proceeding brought in such courts and irrevocably waives any claim that any such suit, action or proceeding brought in any such court has been brought in an inconvenient forum. Each of the parties hereto waives any right to request a trial by jury in any litigation with respect to this agreement and represents that counsel has been consulted specifically as to this waiver.
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9.11 Currency. All amounts referenced and set forth herein hall be in lawful money of the United States.
IN WITNESS WHEREOF, the parties have executed this Agreement or caused their duly authorized officers to execute this Agreement as of the date first above written.
THE SELLER:
/s/
Olegs Petusko
3201 Henderson Mill Rd., #27D
Atlanta ,Georgia 30341
Tel (404) 312-7816 (Fax)
THE PURCHASER:
/s/ Warmond Fang
Warmond Fang
ESCROW AGENT:
/s/ Frank J. Hariton
_____________________________________
Frank J. Hariton, Esq.
1065 Dobbs Ferry Road
White Plains, NY 10607 (Tel) 914 – 674-4373 (Fax) 914-693-2963
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Exhibit 10.2
SELGA AUTO LLC, CONSULTING AGREEMENT
This Agreement (the “Agreement”) is entered into effect this 31st of March, 2011 between SELGA AUTO LLC (the “Consultant”) and SELGA INC. (the “Company”) (The Company and the Consultant are sometimes hereinafter collectively referred to as the “Parties” and each as a “Party”).
1. Consultant Services. Consultant shall use its best efforts to provide the services (“the Services”) to the company as requested and further described herein on a non exclusive or exclusive basis, as reasonably requested by the Company.
2. Consideration. As consideration for Services to be provided by Consultant, the
Company shall tender to the Consultant the sum of $300.00 (Three Hundred USD) per each automobile acquired by the Consultant on behalf of the Company.
3. Term and Termination. Consultant shall serve as a consultant to the Company for Six (6) continuous months commencing on the Effective Date. Either party shall have the right to terminate this contract at will with 30 days’ notice to the party opposite. Provided, however, that Consultant shall not give a notice of termination under this provision prior to June 1, 2011.
5. Independent Contractor. Consultant’s relationship with the Company will be that of an independent contractor and not an employee. Consultant will not be eligible for any employee benefits, nor will the Company make deductions from consideration paid to Consultant for taxes, all of which will be Consultant’s responsibility. Consultant will have no authority to enter into contracts that bind the Company or create obligations on the part of the Company without the prior written authorization of the Company.
6. Company’s Representations, Warranties and Covenants. As of the Effective Date, the Company hereby represents, warrants and covenants to Consultant as Follows:
(a) The Company is a duly organized corporation validly existing under the laws of the State of Nevada and has full power and authority to perform its obligations under this agreement.
(b) The execution and delivery of this Agreement by the Company has been duly authorized by all requisite corporate actions and proceedings, and this Agreement constitutes the legal, valid and binding obligation of the Company. Neither the execution and delivery of this Agreement by the Company nor the consummation of the transactions contemplated hereby do or would after the giving of notice or the lapse of time or both, (I) conflict with , result in a breach of, constitute a default under, or violate the Articles of Incorporation or the Bylaws of the Company; or (II) conflict with, result in a breech of, constitute a default under, or violate any federal, state or local law, statute, rule, regulation, injunction, judgment, order, decree, ruling, charge or other restrictions of any government, governmental agency or court, except for conflicts, breaches, defaults or violations which individually or in the aggregate would nor have a material adverse affect; or (III) requires any further consent from any person or entity which has not already been received, including without limitation any shareholder, board of Director, or lender approvals.
(c) The Company’s Board of Directors has determined that the consideration received for the services to be rendered is adequate. In rendering its Services, Consultant will be using and relying on the information supplied to it by the company without independent verification thereof or independent appraisal of any of the Company’s business. The Company hereby represents that all information made available to Consultant by the Company will be complete and correct in all material respects and will not contain any untrue statement of material fact or omit to state a material fact necessary in order to make the statements therein not misleading in light of the circumstances under which such statements are made.
7. Confidentiality, Non-Disclosure, Non-Circumvention, Non-Compete
a) WHEREAS the parties mutually recognize that in the transaction of their affairs each may learn from the other, including associates, the identity, address and/or telephone and/or telefax and/or E-mail address and/or number of clients, agents, brokers, buyers, sellers, financiers and/or bank or trust contracts (hereinafter referred to as “Confidential Sources”) which the other party has acquired by periods of investment in time, expense and effort.. Now therefore consideration of the mutual promises set forth herein, each party covenants and agrees with the other as follows:
The parties hereto hereby contractually covenant, warrant, guarantee and agree as follows: to irrevocably mutually covenant, as evidenced and acknowledged by this memorization of their executions hereof, agree as follows:
b) Each of the signatories to the within contractual Agreement and their employees, agents, associates, and/or any other parties with whom they maintain a corporate or individual relationship, or who they may act as agents or principals for, shall be deemed to be parties to the within Confidentiality, Non-Circumvention, Non-Disclosure, Non-Compete, Agreement and shall be contractually bound to full compliance with the letter, spirit and intent of the within Agreement, and shall be fully bound by each and all of the terms, covenants and conditions of this Agreement. All documents signed on behalf of a corporation shall be deemed to be executed with full authority of the Board of Directors.
c) The within Agreement is executed and affected by the parties as a perpetuating guarantee and contractual agreement by the parties. Therefore, this Agreement shall be in full force and effect commencing the date affixed herein below and will during said term be applicable to any and all potential transactions and/or proprietary information transmitted to or entertained by the undersigned parties hereto.
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d) The parties hereto covenant, warrant and agree not to circumvent the interests, intentions, plans, and proposed undertakings of the party of the other part or to enter upon a competitive path and/or effort, or to utilize any of the proprietary information delivered into its custody, care and control or that would in any fashion interfere with, conflict with, or diminish, the possibility and/or probabilities of its success in any ventures, projects, proposed acquisitions, financial undertakings, and/or other activities which this office shall be a party to.
8. No Guarantee. Notwithstanding anything contained in this Agreement to the contrary, neither Consultant nor any of its officers, directors, agents or employees guarantee to the Company that any automobile purchases per their specifications will take place or that a purchase on their behalf shall be consummated.
9. The Parties’ Indemnification Obligation. Each Party agrees that it will indemnify and hold harmless the other Party, its officers, directors, employees, agents and controlling persons from and against any and all losses, claims, damages, liabilities and expenses, joint or several (including all reasonable fees of counsel) to the fullest extent permitted by law, caused by or arising our of (a) the that Party’s (the “Indemnifying Party’s”) breach of any covenant or representation hereunder, or (b) an Indemnifying Party acting for the othe Party (the “Indemnified Party”) pursuant to this Agreement, including, without limitation, (I) actions taken or admitted to be taken by the Indemnifying Party or any persons acting together or in concert with the Indemnifying Party (including any untrue statements made or admitted to be made), or (II) actions taken or admitted to be taken by the Indemnified Party set forth above with the consent of or in together or in concert with the Indemnifying Party; provided, however, that the Indemnifying Party will not be liable under this Section to the extent that any loss, claim, damages, liability or expenses is found to have resulted from the Indemnified Party’s gross negligence or willful misconduct.
10. Miscellaneous.
(a) Amendments and Waivers. No term of this Agreement may be amended or waived except with the written consent of the parties.
(b) Entire Agreement. This Agreement, including the Exhibits hereto, constitutes the entire agreement of the parties and supersedes all oral negotiations and prior writings with respect to the subject matter hereof.
(c) Notices. Any notice required or permitted by this Agreement shall be in writing and shall be (I) delivered personally, (II) sent by certified or registered mail, postage prepaid, return receipt requested, (III) delivered by a nationally-recognized delivery service (such as Federal Express or UPS), or (IV) faxed, addressed to the party to be notified as such party’s address or facsimile number as set forth below or as subsequently modified by written notice. Notices shall be deemed communicated upon receipt if personally delivered, delivered by a nationally-recognized delivery service or faxed (with a written confirmation of facsimile transmission), or five (5) days after posting if sent by certified mail.
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(d) Choice of Law. The validity, interpretation, construction and performance of this Agreement shall be governed by the laws of the State of New Jersey without giving effect or the principles of conflict of laws.
(e) Attorneys’ Fees. If any action at law or in equity is commenced by any party to enforce or interpret the terms of this Agreement, the party finally prevailing in such proceeding or action shall be entitled to recover from the unsuccessful part reasonable attorneys’ fees, cost and necessary disbursements in addition to any other relief to which it may be entitled.
(f) Severability. If one or more provisions of this Agreement are held to be unenforceable under applicable law, the parties agree to renegotiate such provisions in good faith. In the event that the parties can not reach a mutually agreeable and enforceable replacement for such provisions, the (I) such provisions shall be excluded from this Agreement, (II) the balance of the Agreement shall be interpreted as if such provisions were so excluded and (III) the balance of the Agreement shall be enforceable in accordance with its terms.
(g) Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an original, but all of which together will constitute one and the same instrument.
The Parties hereto have executed this Agreement as of the Effective Date.
/s/ Olegs Petusko
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OLEGS PETUSKO, on behalf of SELGA AUTO LLC.
/s/ Warmond Fang
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WARMOND FANG, on behalf of SELGA INC.
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