October 14, 2015

MRS. BASILIDEZ CABALLERO

Business Partner
Golden Ruby Japanese Karaoke Bar
Gorordo Avenue, Kamputhaw
Cebu City

-and-

MRS. MARCELYN C. BISNAR

Business Partner
Golden Ruby Japanese Karaoke Bar
Gorordo Avenue, Kamputhaw
Cebu City

NOTICE OF PRE-TERMINATION OF AGREEMENT

Dear Mrs Caballero and Mrs. Bisnar :

Guided by the principles of morality as a true Christian believer, I am hereby informing you as
my business partners that effective today October 14, 2015, I am terminating our Memorandum
of Agreement binding me as an investor of Golden Ruby Japanese Karaoke Bar.

At the outset, I have been so interested to put my investment in the business you offered,
however, after learning that the said Japanese Bar is engaged into a practice of imposing “Bar
Fines” which is the practice of taking out a girl working in the bar by paying bar fine which
compensates the bar for missing out on earnings for drinks sold by that particular girl for the
purpose of generating income. I was caught unaware of this practice since the time you have
offered and convince me to be your investor until I found out that this practice is one of the
source where the bar is earning my income. None of you have the gals to inform about this
practice for if I have been aware of this I might have declined the offer. This is against my
principles and is clearly prejudicial to my business interest.
As we agreed, as your investor, I have the right to pre-terminate our agreement as clearly
provided under paragraph V, of the Memorandum of Agreement, to wit :

“V. PRE-TERMINATION. The Third Party (yours truly) has the right to pre-
terminate this agreement if any or both of the First Party (Basilidez Caballero)
and the Second Party (Marcelyn Bisnar) commit any act that is gravely
prejudicial to the third party’s interest. In this case, the aprties agree that any and
all of the items invested by Third Party or its monetary equivalent shall be
returned to him immediately.”

Therefore, in view of the foregoing and as a consequence of pre-terminating our agreement, I am

hereby demanding the payment of my invested money amounting to TWO HUNDRE SIXTY-
THREE THOUSAND EIGHT HUNDRED EIGHTEEN PESOS AND FIFTY CENTAVOS
(P263, 818.50).

Hoping that this merits your prompt action.

JONATHAN T. CABALLERO