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Termination Agreement of MIT 83
On January 1, 1988, Fred prepared a handwritten Termination
Agreement to terminate the obligations of MIT 83 and MPC under
the employee leasing agreement. The Termination Agreement stated
that MPC owed $2,148,764 to MIT 83 under the leasing agreement
(the $2,148,764 amount is an error; the amount that should have
appeared in the Termination Agreement was $2,135,260), and that
MPC offered to pay $1,899,633. MPC proposed to do so by
transferring to MIT 83 the note made by Qulart on July 1, 1983,
in favor of Machise in the amount of $2,888,666. The balance on
the note as of January 1, 1988, was $1,899,633. MIT 83 accepted
the offer as full payment and agreed to terminate the agreement.
It thus agreed to forego, as a “Contact Renegotiation Fee”, some
$231,253. No formal assignment of the note was ever made.
Under the Termination Agreement, MIT 83 was required to
distribute the note to its partners, who in turn were to direct
MIT 83 to assign the note to Qulart in payment of amounts they
owed Qulart on their investor notes. No formal distribution of
this note was ever made.
Fred signed the Termination Agreement under the heading
"Bryen & Bryen, P.A." on behalf of both MIT 83 and MPC. Fred
caused MPC to enter into the Termination Agreement with MIT 83
in 1988 in order to remove from its books the "huge note
liabilities"--presumably the accrued and unpaid compensation fee.
Fred caused the partners of MIT 83 to enter into the termination
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