With all of the advice that I got as well as trying to do as much due diligence on my own, in the end I filed my claims using the following:

a) Remaining Balance of Debt ($63,250)
b) Breach of Promise
c) Interest
d) I am abandoning the amount of my claim that is over $25,000.

In response to this, my former friend responds to my claims stating the following:

a) There are absolutely no monies owed to Alan Yu, no loans and no outstanding debt of any kind.
b) I promised to work hard and find clients which I did, but I never promised to keep working forever without getting paid.
c) No monies are owed so this section is not applicable.
d) Not Applicable.

As well, he filled the following counterclaim:

a) Debt – Unpaid wages/contracting fee for computer programming hours I’ve worked for Alan Yu (Based on $50/hr, over 4895 hours and subtract $30,000 he paid. ($214,740)
b) Debt – wages for 700 hours on recruiting, networking, sales, customer service, project management, system admin, office planning and budgeting for Alan Yu’s company. ($35,000)
c) Expenses – Gas, use of car for business purposes ($1000)
d) Psychological stress/damage/intrusion of privacy and threatening
e) Interest
f) I am abandoning the amount of my claim that is over $25,000.

And this was his version of the story:

Now keep in mind that I had his game plan document which is why everything was perfectly expected to a certain extent and I was fully prepared to show how contradicting and ridiculous his story and claim was. Of course, I had to submit a reply to his counterclaim and I used the following: