NOTES PAYABLE, RELATED PARTY PAYABLES, AND OPERATING LEASE – RELATED PARTY

12 Months Ended

Dec. 31, 2021

NOTES PAYABLE, RELATED PARTY PAYABLES, AND OPERATING LEASE – RELATED PARTY

5. NOTES PAYABLE, RELATED PARTY PAYABLES, AND OPERATING LEASE – RELATED PARTY

Notes payable to officers and directors as of December 31, 2021 and related party payables to officers and directors as of December 31, 2020 are due on demand and consisted of the following:

	Related Party Notes Payable December 31, 2021		Related Party Payables December 31, 2020
Payable to an officer and director	$	528,404	$	82,056
Payable to an individual affiliate of an officer and director		47,560		40,000
Payable to a company affiliate to an officer and director		126,617		366,377
	$	702,581	$	488,433

Related party notes payable bear interest at 10%.

A related party leased two eco-pods in April 2019 and May 2019, which are refurbished shipping containers, located on this specific parcel within Coachillin’. The lease is treated as an operating lease and payment responsibility is ultimately the responsibility of the related party. The Company assumed these lease payment obligations in May 2019. The monthly payments are $1,055 and $880, for the duration of the lease terms of four and five years, respectively.

Grapefruit USA, Inc 10-K