CONTINGENT LIABILITY

3 Months Ended

Mar. 31, 2018

Contingent Liability

CONTINGENT LIABILITY

6. CONTINGENT LIABILITY

Contingent Liability consisted of 2 items:

1) a lawsuit by the son of a deceased promissory note holder in the amount of $450,000. The son’s actions have been dismissed by the court 2 previous times.

2) interest payable to the same person listed in (1) in the amount of $171,247.

As of March 31, 2018 and December 31, 2017, the balance of this indebtedness is as follows:

	March 31,		December 31,
	2018		2017
Legal settlement payable	$	—	$	39,995
Disputed note payable		450,000		450,000
Disputed interest payable		171,247		—
Total Contingent Liability	$	621,247	$	489,995

During the quarter ended March 31, 2018, the Company reclassified the legal settlement payment due of $39,995 to accounts payable.