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 (Date of earliest event reported) December 6, 2005
PAYMENT DATA SYSTEMS, INC.
(Exact name of registrant as specified in its charter)
NEVADA 000-30152 98-0190072
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(State or other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.)
12500 SAN PEDRO, SUITE 120, SAN ANTONIO, TEXAS 78216
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (210) 249-4100
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(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 CFR 240.13e-4(c))
ITEM 2.01 COMPLETION OF ACQUISITION OR DISPOSITION OF ASSETS.
On December 6, 2005, we completed the sale of our bills.com domain name and
related trademark rights to Freedom Financial Network, LLC for $950,000 under a
Trademark and Domain Name Purchase Agreement with its parent company, Alivio
Holdings, LLC. The Trademark and Domain Name Purchase Agreement is filed as
Exhibit 10.1 to this current report on Form 8-K. In conjunction with the
completion of the sale, we received cash of $950,000.
The foregoing description of the terms and conditions of the Agreement are
qualified in their entirety by, and made subject to, the more complete
information set forth in the Trademark and Domain Name Purchase Agreement
included on this Form 8-K as Exhibit 10.1, and incorporated herein by
reference.
This report contains forward-looking statements that involve risks and
uncertainties. We generally use words such as "believe," "may," "could," "will,"
"intend," "expect," "anticipate," "plan," and similar expressions to identify
forward-looking statements. You should not place undue reliance on these
forward-looking statements. Our actual results could differ materially from
those anticipated in the forward-looking statements for many reasons including
our ability to implement our business plan, our ability to raise additional
funds and manage our substantial debts, consumer acceptance of our products, our
ability to broaden our customer base, and other risks described in our reports
filed with the Securities and Exchange Commission from time to time. Although we
believe the expectations reflected in the forward-looking statements are
reasonable, they relate only to events as of the date on which the statements
are made, and our future results, levels of activity, performance or
achievements may not meet these expectations. We do not intend to update any of
the forward-looking statements after the date of this document to conform these
statements to actual results or to changes in our expectations, except as
required by law.
ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS.
EXHIBIT NO. DOCUMENT DESCRIPTION
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10.1 Trademark and Domain Name Purchase Agreement between the Company
and Alivio, Holdings, LLC, dated November 14, 2005 (included as
exhibit 10.1 to the Form 8-K filed November 17, 2005, and
incorporated herein by reference).
SIGNATURE
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.
Payment Data Systems, Inc.
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(Registrant)
Date December 9, 2005
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/s/ Michael R. Long
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(Signature)
Michael R. Long
Chief Executive Officer and
Chief Financial Officer