UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of The

Securities Exchange Act of 1934

Date of Report: ~~December~~ 31April 15, ~~2015~~2016

(Date of earliest event reported)

LE@P TECHNOLOGY, INC.

_______________________

(Exact name of registrant as specified in its charter)

Delaware		0-5667		65-0769296
(State or other jurisdiction of incorporation)		(Commission File Number)		(I.R.S. Employer Identification No.)

5601 N. Dixie Highway, Suite 411
Ft. Lauderdale, FL		33334
(Address of principal executive offices)		(Zip Code)

Registrant’s telephone number, including area code: (954) 771-1772

Not Applicable ~~(Former Name or Former Address, if Changed Since Last Report)~~

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

☐

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐

Pre-commencement communications pursuant to Rule 13e-4( c) under the Exchange Act (17 CFT 240.13e-4( c))

Item 1.01

Entry into a Material Definitive Agreement.

As previously ~~disclosed~~reported, Le@P Technology, Inc.’s (the “Company”) ~~currently has no business operations, no revenues or revenue~~wholly-~~producing~~owned ~~activities~~subsidiary, ~~limited cash~~Parkson, ~~and ongoing expenses as well as substantial indebtedness and liabilities. During the past several years~~Property, ~~the Company has relied entirely upon the M~~L.L.C. ~~Lee Pearce Living Trust~~ (~~the~~ “~~Majority Stockholder Trust~~Parkson”), ofowns ~~which~~Real ~~the~~Property ~~Company’s~~in ~~indirect~~Ft. ~~and beneficial majority stockholder~~Lauderdale, MFlorida. ~~Lee~~The ~~Pearce,~~Real ~~M.D.~~Property (“~~Dr.~~Parkson ~~Pearce~~Property”), is ~~the~~zoned ~~100%~~light ~~beneficial owner (Dr. Pearce~~industrial, ~~together~~consists ~~with entities owned or controlled by him that own capital stock~~ of ~~the~~approximately ~~Company~~one ~~are collectively referred to as the “Majority Stockholder”),~~ and ~~other~~one-third ~~affiliates~~acres ~~of Dr. Pearce, to fund working capital~~ and ~~expenses~~is ofcurrently ~~the~~undeveloped ~~Company (~~and ~~to extend maturities and agree to other modifications, in their discretion, on the substantial indebtedness owing to the Majority Stockholder Trust and such other affiliates of Dr~~unleased. ~~Pearce).~~

OnParkson ~~December~~purchased 31the Real Property on September 28, ~~2015~~2001 from Bay Colony Associates, Ltd. (“Bay Colony”), an entity wholly-owned by the M. Lee Pearce Living Trust (the “Majority Stockholder Trust”), ~~provided~~( ~~the~~in ~~Company~~exchange ~~with~~for a two-month note in the amount of $~~100~~37,~~000.00~~500, ~~loan~~and a five-year note (the “~~December~~Long ~~2015~~Term ~~Loan~~Note”), ~~which~~and ~~management~~related ~~believes~~mortgage in the amount of $712,500). The purchase price was based on an independent third-party appraisal. As previously reported on the Company’s ~~recent~~December ~~and~~2015 ~~expected~~8-K ~~operating~~and ~~expenses~~8-K/A, ~~will~~the beLong ~~sufficient~~Term toNote ~~fund~~was replaced a number of times and is currently evidenced by the ~~Company’s~~December ~~working~~2015 ~~capital~~Parkson ~~requirements~~Replacement atNote ~~least~~(as ~~through~~defined ~~March~~above) ~~31,~~in ~~2017~~the principal amount of $916,183. The December 2015 ~~Loan,~~Parkson ~~which~~Replacement Note bears interest at the rate of 2.50% per annum ~~and matures on March 31~~, ~~2017,~~with isboth ~~evidenced~~principal by and ~~incorporated~~all ~~into~~accrued ~~the~~interest ~~2015~~due ~~Combined~~in ~~Promissory~~one ~~Note~~lump ~~(defined~~sum ~~and~~on ~~described~~March ~~below). A~~31, ~~copy of the 2015 Combined Promissory Note is filed herewith as Exhibit 10~~2017.1.

InThe ~~addition~~Company received an unsolicited, conditional offer from an unrelated third party (Storage Investments South, L.L.C., the “Buyer”) to purchase the ~~December~~Real ~~2015~~Property. ~~Loan~~The contract provides for (i) a gross purchase/sale price of $1.4 million (all cash, ~~the~~with ~~Majority~~no ~~Stockholder~~financing ~~Trust~~contingency), ~~previously~~(ii) ~~made~~an ~~other~~escrow ~~working~~deposit ~~capital~~from ~~loans~~Buyer toof $100,000, (iii) a 90-day “free look” period (the ~~Company,~~“Inspection Period”) during which ~~are~~Buyer ~~evidenced~~could byconduct a ~~combined~~Phase ~~promissory~~I ~~note~~environmental ~~made~~assessment byand other tests, surveys, investigations and inspections, (iv) conveyance of the ~~Company~~property inby ~~favor~~special warranty deed at a closing to occur within fifteen (15) days of the ~~Majority~~end ~~Stockholder~~of ~~Trust~~the ~~and~~Inspection ~~dated~~Period, ~~December~~(v) 17closing costs to be paid by the parties, ~~2014~~and (vi) other matters included in Florida Association of Realtors form contracts addressing the ~~original~~sale ~~principal~~and ~~amount~~purchase of ~~$2,852,358~~vacant land.46 (In addition, commissions of 3% are to be paid to the ~~“2014~~Buyer’s ~~Working~~agent ~~Capital~~and ~~Note”)~~3% to the Company’s agent. The ~~maturity~~Company’s ~~date~~agent ofis ~~the~~Marquette ~~existing~~Realty ~~2014~~Advisors, ~~Working~~Inc. ~~Capital~~The ~~Note~~Company’s Class B Director, Chairman and President (Timothy C. Lincoln) is ~~March~~the 31principal and beneficial owner of Marquette Realty Advisors, ~~2016~~Inc.

OnThe ~~December~~Company ~~31,~~engaged ~~2015,~~an ~~the~~independent ~~Majority~~Fairness ~~Stockholder~~Expert ~~Trust, as holder of and payee under the 2014 Working Capital Note, agreed: (i)~~ to ~~extend~~value the ~~maturity~~Parkson ~~date~~Property ~~of the total outstanding indebtedness under the 2014 Working Capital Note from March 31, 2016 to March 31, 2017 (the “Extended Maturity Date”),~~ and ~~(ii)~~ to ~~combine~~give ~~the~~an ~~total~~opinion outstanding indebtedness evidenced by and under the December 2015 Loan (as described above) and the 2014 Working Capital Note (including its outstanding principal amount and accrued interest through December 30, 2015) into a single promissory note, thereby replacing the 2014 Working Capital Note with a 2015 Combined Promissory Note (Working Capital) dated December 31, 2015 in the principal amount of ~~$2,963,424.61 (~~the ~~“2015~~fairness ~~Combined Promissory Note”). The principal and all accrued interest - at the agreed rate~~ of ~~2.50% per annum - under~~ the ~~2015~~commissions ~~Combined~~to ~~Promissory~~be ~~Note are due in one lump sum on the Extended Maturity Date (of March 31, 2017)~~paid. ~~Other~~ ~~than~~The ~~the~~Fairness ~~new~~Expert ~~(combined)~~deemed ~~principal amount, which includes~~ the ~~principal~~commissions ~~amount of the December 2015 Loan, the extension of the maturity date, and the decrease of the interest rate from 3.75%~~ to ~~2.50%,~~be inpaid ~~each case~~ as ~~noted~~reasonable ~~above, the terms of the 2015 Working Capital Note were not changed~~ and ~~this~~customary, ~~note (~~and the ~~obligations~~Parkson ~~thereunder)~~property iswas ~~now~~valued ~~incorporated~~at ~~in and replaced and evidenced by the 2015 Combined Promissory Note~~$1,300,000.

~~Bay~~On ~~Colony~~April ~~Associates~~15, ~~Ltd. (“Bay Colony”)~~2016, ~~which is an entity wholly-owned by Dr. Pearce, previously made a loan to a wholly-owned subsidiary of~~ the Company, ~~Parkson~~entered ~~Property~~into ~~LLC (“Parkson”), which was evidenced by~~ a ~~Promissory~~sales ~~Note~~contract ~~made~~to bysell ~~Parkson in favor of Bay Colony dated September 28, 2001 (~~the ~~“Original~~ Parkson Note”) secured by a mortgage on certain real property located in Broward County, Florida and other collateral referenced thereunder. As previously disclosed, the Original Parkson Note was replaced in succession a number of times as follows: the Original Parkson Note was replaced by a Promissory Note dated March 17, 2006 (the “Replacement Parkson Note”); the Replacement Parkson Note was replaced by a Renewal Promissory Note dated October 24, 2007 (the “First Parkson Renewal Note”); the First Parkson Renewal Note was replaced by a Renewal Promissory Note dated January 15, 2010 (the “Second Parkson Renewal Note”); the Second Parkson Renewal Note was replaced by a Renewal Promissory Note dated January 31, 2011 (the “Third Parkson Renewal Note”); the Third Parkson Renewal Note was replaced by a Renewal Promissory Note (Parkson) dated February 7, 2012 (the “Fourth Parkson Renewal Note”); the Fourth Parkson Renewal Note was replaced by a Renewal Promissory Note (Parkson Property) ~~dated~~to ~~December~~Storage ~~27,~~Investments ~~2012 (the “Fifth Parkson Renewal Note”); the Fifth Parkson Renewal Note was replaced by a Renewal Promissory Note dated December 17~~South, ~~2014 (the “Sixth Parkson Renewal Note”) in the principal amount of $881,845~~L.~~17 (i~~L.eC., with the ~~total~~amounts, ~~outstanding~~terms ~~balance (both principal~~ and ~~accumulated~~conditions ~~interest)~~as ~~due~~described ~~under the Parkson notes referred to~~ above). ~~The maturity date of the Sixth Parkson Renewal Note is March 31, 2016.~~

On December 31, 2015, Bay Colony agreed to extend the maturity date of the total outstanding indebtedness and accrued interest under the Sixth Parkson Renewal Note from March 31, 2016 to the Extended Maturity Date of March 31, 2017, and in connection therewith replaced the Sixth Parkson Renewal Note with a 2015 Renewal Promissory Note (Parkson Property) dated December 31, 2015 in the principal amount of $916,182.77 (the “2015 Parkson Renewal Note”), consisting of a principal amount of $881,845.17 and corresponding accrued interest through December 30, 2015 aggregating $34,337.60. The principal and all accrued interest - at the rate of 2.50% per annum - under the 2015 Parkson Renewal Note are due in one lump sum on the Extended Maturity Date (of March 31, 2017). Other than the new (combined) principal amount, the extension of the maturity date and the lower interest rate (from 3.75% to 2.50%), in each case as noted above, the terms of the Sixth Parkson Renewal Note (and the obligations thereunder) were not changed and are now incorporated in and replaced and evidenced by the 2015 Parkson Renewal Note. A copy of the 2015 Parkson Renewal Note is filed herewith as Exhibit 10.2.

The extension of the maturity date of the 2014 Working Capital Note and the Sixth Parkson Renewal Note and the replacement of such notes (and the obligations thereunder) with the 2015 Combined Promissory Note and the 2015 Parkson Renewal Note, respectively, was effected, at the request of the Company and in the sole discretion and with the support and assistance of the Majority Stockholder Trust and Bay Colony, respectively, (i) because the Company (together with Parkson) does not have the funds, credit or capital resources available to satisfy the indebtedness (as the same becomes due on its/their stated maturity dates) evidenced thereby and (ii) to provide some period of time – until the Extended Maturity Date of March 31, 2017 – before the indebtedness under all the notes referenced above becomes due. In addition, the Company anticipates that the additional funding and maturity date extensions described above will result in a clean (i.e., not including any “going concern” qualification) report from the Company’s outside auditors accompanying and regarding the Company’s December 31, 2015 audited annual financial statements.

There can be no assurance that cash on hand plus the proceeds from the December 2015 Loan will be sufficient to fund the Company’s working capital requirements and related expenses through March 31, 2017 (the new Extended Maturity Date) if certain unexpected costs or expenses were to arise, or beyond March 31, 2017, or that the Majority Stockholder Trust will further extend the maturity date of the 2015 Combined Promissory Note, or that Bay Colony will further extend the maturity date of the 2015 Parkson Renewal Note, in the event the Company or Parkson, as the case may be, is unable to repay its indebtedness when due on March 31, 2017 (or in connection with any default which may occur prior to such maturity date). In addition, there can be no assurance that the Majority Stockholder Trust, or any of Dr. Pearce’s other affiliates, will continue to fund or provide loans, advances or other capital resources to the Company or its affiliates (or regarding any of the terms or conditions on any such funding, loans, advances or capital resources that such persons may, in their discretion, determine to provide or make available).

Item 2.03 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant.

As disclosed in Item 1.01 above, on December 31, 2015, the Majority Stockholder Trust provided the Company with the December 2015 Loan in the principal amount of $100,000.00, which management believes, based on the Company’s recent and expected operating expenses, will be sufficient to fund the Company’s working capital requirements at least through March 31, 2017. The December 2015 Loan is evidenced by and incorporated into the 2015 Combined Promissory Note, a copy of which is filed herewith as Exhibit 10.1.

Item 9.01

Financial Statements and Exhibits.

(d)

Exhibits

Exhibit	~~Exhibit~~Description	~~Description~~
10.1	10Sales contract to sell Parkson Property to Storage Investments South, L.1L.C.	~~2015 Combined Promissory Note (Working Capital) dated December 31, 2015 in the principal amount of $2,963,424.61 executed by Le@P Technology, Inc. in favor of the M. Lee Pearce Living Trust.~~
	10.2	2015 Renewal Promissory Note (Parkson Property) dated December 31, 2015 in the principal amount of $916,182.77 executed by Parkson Property LLC in favor of Bay Colony Associates, Ltd.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

		LE@P TECHNOLOGY, INC.
Date: December 31, 2015	By:	/s/ Timothy C. Lincoln
Date: April 15, 2016	By:	/s/ Timothy C. Lincoln
	Name:	Timothy C. Lincoln
	Title:	Title: Acting Principal Executive Officer and President

EXHIBIT INDEX

Exhibit	Description
10.1	~~2015~~Sales ~~Combined~~contract ~~Promissory~~to ~~Note~~sell ~~(Working~~Parkson ~~Capital)~~Property ~~dated~~to ~~December~~Storage ~~31,~~Investments ~~2015 in the principal amount of $2~~South,~~963,424.61~~ ~~executed by Le@P Technology, Inc~~L. ~~in favor of the M~~L. ~~Lee Pearce Living Trust~~C.
10.2	2015 Renewal Promissory Note (Parkson Property) dated December 31, 2015 in the principal amount of $916,182.77 executed by Parkson Property LLC in favor of Bay Colony Associates, Ltd.

Filing Compare · LEAP TECHNOLOGY INC / DE