• Filing Date: 2012-12-13
  • Form Type: 10-Q
  • Description: Quarterly report
v2.4.0.6
Commitments
6 Months Ended
Oct. 31, 2012
Commitments [Text Block]
Note 7 Commitments

  a)

On January 11, 2011, the Company entered into a lease agreement, which commenced on October 1, 2011, and expires September 30, 2014 for which a deposit of $49,970 was made. The monthly lease payment under the agreement is $22,681 plus $21,252 in operating costs. Management believes that this office space is adequate for the operations of the Company for the foreseeable future.

     
  b)

On December 9, 2011, the Company signed a fifth amendment to an existing lease agreement to extend the lease for the period May 1, 2012 to April 30, 2014. The monthly lease payment under the lease extension is $7,031 (CDN$7,036). This lease expense is a related party transaction as it was incurred with a company with a director in common with the Company.

     
  c)

On August 2, 2011, the Company entered into extension of an existing operating lease agreement which commenced on August 1, 2011 and expires on February 28, 2013. The monthly lease payment under the new extension agreement is $6,700.

     
  d)

On March 12, 2009, the Company and its wholly-owned subsidiary, CounterPath Technologies Inc., entered into a settlement agreement with a founder and former officer of the Company. Under the settlement agreement, the Company will pay a total of $494,703 (CDN$495,000) over 45 months at a rate of CDN$11,000 per month.

Total payable over the term of the agreements for the years ended April 30th are as follows:

            Office Leases              
      Office Leases –     –Unrelated     Total Office     Settlement  
      Related Party     Party     Leases     Agreement  
  2013 $   42,189   $   275,624   $   317,813   $   16,490  
  2014   84,377     497,649     582,026     -  
  2015   -     207,354     207,354     -  
    $   126,566   $   980,627   $   1,107,193   $   16,490