CannAmerica Brands Corp. announced that on August 8, 2019, it entered into a long-term licensing agreement and brand partnership with Swiss Lux Products Inc. Under the Agreement, Swiss Lux will have use of the company's renowned Intellectual Property, Branding, and Formulation processes in exchange for a royalty on all sales of the Company's products within Canada. The terms of the Agreement include the following: the initial term of the Agreement will be for a period of 3 years; the Agreement provides for a license of the use of the Company's intellectual property, for which the Licensee will pay the Company a royalty percentage on gross sales; the Licensee will purchase all un-infused consumable ingredients, packaging supplies, and branded hardware as per the direction of the company; the Licensee will follow formulations and processes provided by the company; during the first 180 days of the initial term, the Licensee will employ one full-time salesperson in Canada to promote, market, advertise, and sell the products subject to the Agreement; and the Agreement may be terminated in certain circumstances, including: applicable regulatory authorities rejecting or canceling the Agreement, determining that the Agreement is illegal or impermissible, or determining that the Agreement would require the Company to be registered as an owner of the Licensee; applicable federal authorities requiring the parties to cease performing under the Agreement or threatening enforcement against the parties in relation to the Agreement or to either party's violation of federal law regarding cannabis; upon 120 days' written notice by either party to the other party; or by either party within five days' written notice to the other party, if the other party files a petition of bankruptcy or is adjudicated bankrupt. The Agreement aligns with the Company's goals to become an international player in the cannabis space and to expand into additional markets during 2019.