Commitments and Contingencies

12 Months Ended

Oct. 31, 2013

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

10. Commitments and Contingencies

Facilities Agreement

In January 2006, the Company entered into a one-year agreement to lease a 4,100 sq. ft. facility in San Clemente, California at a rate of $3,650 per month commencing on April 1, 2006. The lease provides the Company with an option to extend the lease for additional one-year terms through March 31, 2012. The monthly lease payment increased to $3,895 commencing on April 1, 2008. The Company has signed an extension of the lease through March 2014 at the same monthly rate.

Future minimum facilities lease payments as of October 31, 2013 are as follows:

2014	$	19,475
2015	$	—

Employment Contracts

Jeffrey Nunez

On April 1, 2012, the Company entered into a one-year Consulting Agreement with Mr. Nunez which provides for compensation of $8,000 per month during the term of the agreement. On April 20, 2012, Mr. Nunez was appointed to the Board of Directors and named Chief Executive Officer of the Company. Effective October 1, 2012, the Board of Directors increased Mr. Nunez’ monthly compensation to $12,000. In October 2012, Mr. Nunez also received a bonus in the amount of $20,000 and 40,000 shares of the Company’s common stock valued at $78,300.

Pursuant to the consulting arrangement, Mr. Nunez was entitled to a 5% “transaction fee” on all proceeds received by the Company during the term of the agreement, payable in common stock of the Company. Mr. Nunez received fees aggregating $60,000 pursuant to this provision on monies received through January 31, 2013, at which time this arrangement was terminated by mutual consent.