Annual report pursuant to section 13 and 15(d)

Commitments and Contingencies

v2.3.0.11
Commitments and Contingencies
 12 Months Ended
Dec. 31, 2011
Commitments and Contingencies Disclosure [Abstract]  
Commitments Disclosure [Text Block]
8.        COMMITMENTS AND CONTINGENCIES
 
The company has entered into several contracts that obligate it to office space lease payments and equipment acquisition. The following is a summary of these commitments:
 
 a)  
At March 31, 2011, the Company entered into a three (3) year lease for office space at approximately $132,480  per year, with an option to renew for an additional three years at approximately $137,655 per year. In the fourth quarter of 2011, the office owner space declared bankruptcy and the Company has not been required to pay any rent payments.  However, the Company has continued to accrue monthly rent based on the contracted amount.  In addition, the Company has written of the related $34,000 security deposit, as it is not expected to be recovered.  The Company now treats the lease as a month-to-month lease.  Total rent expense for the years ended December 31, 2011 and 2010 was $143,461 and $70,011, respectively.
 
b)
Pursuant to the terms of a master agreement, the Company has committed to purchase 250 charging stations over the year, 25 units per month, for an amount in excess of $3,100 per unit.  If the Company fails to take delivery of the total specified number units, it will be responsible for reimbursement of certain price discounts on units previously received.
   
c)  The Company has a lawsuit pending for past due fees due to a consulting firm in the amount of $41,000.  Although the outcome of this matter is uncertain, the Company has reserved for this amount in accounts payable and accrued expenses at December 31, 2011.