Exhibit 99.3
0000 Xxxxxxx Xxxxxx
Xxxxxxxxxxx, XX 00000
December 27, 2002
Xx. Xxxxxxx Xxxxxxxxxx
CEO and President
Knowledge Foundations, Inc.
Dear Xx. Xxxxxxxxxx:
As required in Section 12.7 of License and Royalty Agreement ("Agreement") dated
April 6, 2000 between Knowledge Foundations, Inc. ("KFI") and Xxxxxxx X. Xxxxxxx
("Xxxxxxx"), the undersigned is hereby providing a notice of material breach of
said Agreement as provided in Section 4 of the Agreement.
Section 7.3.1 of the Agreement provides for a ninety day cure period from the
date of this notice. Therefore as of fiscal year end (March 31, 2003) KFI's and
Xxxxxxx'x rights to the technology as provided in Section 7.4 will be effective,
unless the material breach has been cured.
As KFI is in process of spinning off all rights to the technology covered under
the Agreement to a private company controlled by the original assignees of the
Agreement, the assignment of the technology to the private company, within the
cure period provided, will be considered effective cure of the material breach
of the Agreement.
Sincerely,
/s/ Xxxxxxx X. Xxxxxxx
-------------------------------
Xxxxxxx X. Xxxxxxx
cc: Xx. Xxxxxxx X. Xxxxxx
Knobbe, Martens, Xxxxx & Bear
