EXHIBIT 10.3
BIG BUCK BREWERY & STEAKHOUSE, INC.
000 XXXXX XXXXXXXXX
XXXXXXX, XXXXXXXX 00000
October 1, 2001
Xxxxx County Employees' Retirement System
000 Xxxxxx Xxxxxx, Xxxxx 000
Xxxxxxx, XX 00000
RE: LETTER AGREEMENT ("LETTER AGREEMENT") REGARDING PAYMENT OF
ARREARAGES AS PROVIDED BELOW ("ARREARAGES")
Gentlemen:
This Letter Agreement is being written to set forth the agreements of
Big Buck Brewery & Steakhouse, Inc., a Michigan corporation ("Big Buck") to pay
the Arrearages for the benefit of Xxxxx County Employees' Retirement System
("WCERS"). The agreements of Big Buck are as follows:
1. Big Buck acknowledges and agrees that the Arrearages (which are in
addition to all other amounts due under the loan documents as described on
Exhibit A attached hereto ("Loan Documents")) is $135,298.26 as of September 21,
2001. Big Buck further acknowledges and agrees that the Arrearages are due and
owing by Big Buck without offset, defense or claim.
2. Big Buck will cause the Arrearages to be paid one-sixth (1/6th) of
such amount on each of October 15 2001, November 15, 2001, December 15, 2001,
January 15, 2002, February 15, 2002, March 15, 2002 (with the balance paid in
full on March 15, 2002) together with payment of all other amounts as they
become due under the Loan Documents.
3. Commencing with the October 2001 debt service payments and
continuing through the March 2002 debt service payments, Big Buck will make
escrow payments in the amount of $21,778.00 to the servicer of WCERS for real
estate taxes as to the Gaylord store and Auburn Hills store, and thereafter in
amounts as are deemed necessary by the servicer for WCERS.
4. Big Buck acknowledges and agrees that the Loan Documents are in
full force and effect and fully enforceable against Big Buck and the Guarantors
(as defined below) without offset, defense or claim.
5. Big Buck and the Guarantors hereby waive, release and discharge
WCERS and its trustees, employees, agents, successors and assigns from any and
all claims, suits, causes of action, torts, liabilities, damages, costs and
expenses that Big Buck and the Guarantors have or may have, as of the date
hereof, arising from or connected in any way with respect to the Loan Documents,
the administration of the Loan Documents and/or their business relationship.
6. This Letter Agreement is governed by and construed under the laws
of the State of Michigan. This Letter Agreement does not waive or cure any
defaults under the Loan Documents until the Arrearages are paid in full so long
as no other default occurs under the Loan Documents. WCERS shall forbear from
taking any action under the Loan Documents so long as the terms of this Letter
Agreement are fully complied with and there are no new defaults under the Loan
Documents. Except as amended hereby, the Loan Documents are reinstated and
republished in their entirety and remain in full force and effect. This letter
Agreement may
be executed in counterpart and by facsimile signatures. This
Letter Agreement shall be binding upon and shall inure to the benefit of the
parties hereto and their permitted successors and assigns.
If the terms of this Letter Agreement meet with your approval, please
indicate by signing below.
Very truly yours,
BIG BUCK BREWERY & STEAKHOUSE, INC.
By: /s/ Xxxxxxx X. Xxxxxxxx
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Its: President
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Agreed to and accepted by:
As Lender:
Xxxxx County Employees' Retirement System
By: /s/ Xxxxxx Xxx
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Its: Director
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As Guarantors:
/s/ Xxxxxxx X. Xxxxxxxx
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Xxxxxxx X. Xxxxxxxx
/s/ Xxxxx Xxxxxx
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Xxxxx Xxxxxx
/s/ Xxxxxxx Xxxxxxx
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Xxxxxxx Xxxxxxx
