Item 1. Legal Proceedings
Item 1. Legal Proceedings.
Anthony Maher brought suit against PCS in January
of 2014, claiming breach of an employment contract, interference with economic expectancy, and fraud. A settlement was agreed
in exchange for dismissal of the suit, and release of PCS from any liability to Mr. Maher for any and all claims related to Mr.
Maher’s employment contract with PCS, PCS issued Mr. Maher 400,000 shares of the common stock of PCS, and paid him $50,000.
PCS does not admit the allegations or any other wrongdoing, but would rather settle the matter for a modest amount costing the
Company $10,000 after insurance settlement and $2,650 in mediation fees, to avoid the expense of defending it in court. The
settlement agreement was executed on July 9, 2014.
On or about May 18, 2015, the Company was named
as a co-defendant in a legal action related to one of its employees, alleged to have been driving an automobile negligently while
on work related services for the Company, and causing damages to the plaintiffs in the action. The Company has engaged legal
counsel to represent it in this matter, and it is not presently in a position to determine what, if any, liability it may have
for the actions of its employee, or even whether such employee was negligence in any manner. The Company also believes that
it has adequate insurance coverage for its legal representation and any potential liability.
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