Patriot Scientific

Patriot Scientific Reports Profitable Quarter; Q3 FY '08 Net Income $6.3 Million or $0.02 Basic and Diluted Earnings Per Share.

I do see your point. However, I am still sticking to my opinion that the termination of the Amended Alliacense Service Agreement and Novation did NOT terminate the original agreement and here is why. Of course, I may be utterly and completely wrong and in this case, I hope that I am wrong. BTW I love corvettes.

Amending an Existing Contract

If a contract already exists and you and the other party want to modify some element of it -- whether it's an addition (addendum), deletion, correction, or similar change -- an amendment is an ideal solution.

An amendment doesn't replace the whole original contract, just the part that's changed by the amendment (for example, the delivery date or the price for goods). If a contract requires extensive changes, it's generally wiser to create an entirely new agreement or, alternatively, to create an "amendment and restatement," an agreement in which the prior contract is reproduced with the changes included.

http://www.nolo.com/legal-encyclopedia/amending-existing-contract-33348.html

NOVATION

Novation is a substitution of a new for an old debt. The old debt is extinguished by the new one contracted in its stead; a novation may be made in three different ways which form three distinct kinds of novations.

The first takes place without the intervention of any new person, where a debtor contracts a new engagement with his creditor, in consideration of being liberated from the former. This kind has no appropriate name and is called a novation generally.

http://www.lectlaw.com/def2/n027.htm

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l2007s
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