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Message: SGE1,

Re: GPA - SGE1 - Ads123

in response to by
posted on Sep 12, 2007 07:19AM

Thank you for the added info.  Did you notice this:

"3) Technology and Proprietary Rights. To the best of ASI's
knowledge, (i) ASI is the sole owner of the entire right, title and interest in
and to the Technology and the Proprietary Rights subject to a royalty payable to
Patriot under the Patriot Agreement upon sale of the Technology and Proprietary
Rights in the form of five percent (5%) of the Securities issuable to ASI
hereunder and five percent (5%) of the Cash Payment payable to ASI hereunder,
which, with respect to such portion of the Cash Payment, will be the sole
obligation of ASI (the "Patriot Royalty") and (ii) the Technology and the
Proprietary Rights are free of all licenses, sublicenses, royalty or similar
payment obligations, liens, mortgages, encumbrances, pledges, or security
interests, of any nature whatsoever, other than the Patriot Royalty, and are not
subject to any outstanding injunction, judgement, order, decree, ruling, or
charge. ASI has the right and authority to enter into this Agreement and to
grant the rights granted herein. No facts have come to ASI's attention that
would form a basis for the belief that the Technology or the Proprietary Rights
or any rights thereunder owned by ASI are unenforceable or invalid and no
action, suit, proceeding, hearing, investigation, charge, complaint, claim, or
demand is pending or, to the best of ASI's knowledge, is threatened against ASI
that challenges the legality, validity, enforceability, use, or ownership of
such items."  (I added the bolding)

So it looks like ASI bought the GPA tech with a Royalty agreement (5%) to be paid PTSC for any income from the tech.  ASI's sale of the tech generated money, so they had to cough up that 5% to PTSC.  But I see nothing in here granting rights to PTSC for use of the GPA tech for (specifically) use in PTSC's GPR (the RADAR).  This could be buried in one of the exhibits not shown, but it seems it would appear in this paragraph (also), especially considering the other language.

So my (ignorant) question remains open.  How does the Ground Penetrating RADAR work without the use of Gas Plasma Antenna tech? 

PTSC license the tech from its new owner (Markland)?  Seems doable - exclusively license the tech for a specific purpose (GPR) with a royalty approach on sales of GPR (thus getting the tech and blocking competition from the tech for GPR purposes).

That is UNLESS there is a clause in this sales agrement that we don't see which allows PTSC use of the tech for GPR (as I have previously suggested).

Thanks for the help.  GPR possibilities are a refreshing diversion from all this crap in TX!

SGE

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