Note 8 – Related Party Transactions

As of August 31, 2017 and May 31, 2017, the Company owed the amount of $12,500 and $37,500, respectively, to Jeffrey Binder, its President and Chief Executive Officer, for accrued salary. For the three months ended August 31, 2017, unpaid accrued salary in the amount of $62,500 was transferred to a convertible promissory note due to Mr. Binder (see note 9).

As of August 31, 2017 and May 31, 2017, the Company owed the amount of $25,000 and $0, respectively, to Alan Bosnett, its Chief Operating Officer for accrued salary.

As of August 31, 2017 and May 31, 2017, the Company had accrued salary due to Michael Abrams, a former officer of the Company prior to his September 1, 2015 termination, in the amount of $16,250.

As of August 31, 2017 and May 31, 2017, the Company had related party payables in the amount of $17,930 due to officers and directors related to expenses paid on behalf of the Company. The Company imputed interest at the rate of 6% per annum on these liabilities, and recorded imputed interest expense on these liabilities in the amounts of $271 and $271 during the three months ended August 31, 2017 and 2016, respectively.  These interest accruals were charged to additional paid-in capital.

Related Party Notes Payable