SUBSEQUENT EVENTS

9 Months Ended

Dec. 31, 2013

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS

9. SUBSEQUENT EVENTS

On January 10, 2014, the Company entered into a Rights Assignment and Release Agreement (the “Agreement”) with Peter Yared, a former consultant to the Company.  Pursuant to the terms of the Agreement, Mr. Yared reconfirmed the assignment to the Company of any and all rights in and to the Company’s Postano platform and associated inventions and intellectual property rights, as well as the termination of any other obligations of the Company to Mr. Yared under any prior consulting agreements or other arrangements.  In exchange for this confirmation and release of any claims, the Company agreed to pay Mr. Yared a flat fee in the amount of $1,000,000, payable in four equal installments on each of January 15, April 15, July 15 and October 15, 2014.

On January 23, 2014, the Company entered into a lease agreement (the “Lease”) with The Irvine Company LLC, as landlord, relating to the space located at 2855 Michelle Drive, Suite 190, Irvine California. Upon completion of tenant improvements, which is expected to be in or about April 2014, the Company intends to relocate its headquarters to this new location. The base rent over the five-year term of the Lease will be approximately $7,000 per month for the first year, with annual increases to approximately $8,400 per month for the final year. Under certain circumstances, the Company has the option to extend the Lease for one term of either 36 months or 60 months at a base rent equal to the then prevailing market rental rate for comparable space within the same building.