Exhibit 10.12


 


EMPLOYMENT AGREEMENT


 


THIS EMPLOYMENT
AGREEMENT (this “Agreement”), dated as of September 1,2019, is by and between CDT Environmental
Technology Investment Holdings Limited, a company incorporated under the laws of the Cayman Islands (the “Company”),
and Yuntao Guan, an individual (the “Executive”).


 


RECITALS


 


WHEREAS, the
Company desires to employ the Executive and to assure itself of the services of the Executive during the term of Employment (as
defined below) and under the terms and conditions of this Agreement; and


 


WHEREAS, the
Executive desires to be employed by the Company during the term of Employment and under the terms and conditions of this Agreement.


 


AGREEMENT


 


NOW, THEREFORE,
in consideration of the premises and the mutual covenants and agreements herein contained, the Company and the Executive agree
as follows:


 


1.       Employment.
The Company hereby agrees to employ the Executive and the Executive hereby accepts such employment, on the terms and conditions
hereinafter set forth and on a part-time basis (the “Employment”).


 


2.       Term.
Subject to the terms and conditions of this Agreement, the initial term of the Employment shall be 1 years, commencing on September 1,2019
(the “Effective Date”) and ending on August 31,2020 (the “Initial Term”), unless terminated
earlier pursuant to the terms of this Agreement. Upon expiration of the Initial Term, the Employment shall be automatically extended
for successive periods of _____ months each (each, an “Extension Period”) unless either party provides
60-day prior written notice to the other party, in the manner set forth in Section 17 below, prior to the end of the
Extension Period in question, that the term of this Agreement that is in effect at the time such written notice is given is not
to be extended or further extended, as the case may be (the period during which this Agreement is effective is hereafter referred
to as the “Term”).


 


3.       Position
And Duties.


 


(a)       During
the Term, the Executive shall serve as Chief Scientist of the Company or in such other position or positions with a level of duties
and responsibilities consistent with the foregoing with the Company and/or its subsidiaries and affiliated entities as the board
of directors of the Company (the “Board”) may specify from time to time and shall have the duties, responsibilities
and obligations customarily assigned to individuals serving in the position or positions in which the Executive serves hereunder
and as assigned by the Board.


 


(b)       The
Executive agrees to serve without additional compensation if elected or appointed thereto as a director of the Company or any subsidiaries
or affiliated entities of the Company (collectively, the “Group”) and as a member of any committees of the board
of directors of any such entity, provided that the Executive is indemnified for serving in any and all such capacities on a basis
no less favorable than is provided to any other director of any member of the Group.


 


(c)       The
Executive agrees to faithfully and diligently serve the Company in accordance with this Agreement and the guidelines, policies
and procedures of the Company approved from time to time by the Board.


 






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4.       No
Breach of Contract. The Executive hereby represents to the Company that: (a) the execution and delivery of this Agreement
by the Executive and the performance by the Executive of the Executive’s duties hereunder shall not constitute a breach of,
or otherwise contravene, the terms of any other agreement or policy to which the Executive is a party or by which the Executive
is otherwise bound, except that the Executive does not make any representation with respect to agreements required to be entered
into by and between the Executive and any member of the Group pursuant to the applicable law of the jurisdiction in which the Executive
is based, if any; (b) that the Executive is not in possession of any information (including, without limitation, confidential
information and trade secrets), the knowledge of which would prevent the Executive from freely entering into this Agreement and
carrying out his/her duties hereunder; and (c) that the Executive is not bound by any confidentiality, trade secret or similar
agreement with any person or entity other than any member of the Group.


 


5.       Compensation.


 


(a)       Compensation.
As compensation for the performance by the Executive of his/her obligations hereunder, during the Term, the Company shall pay the
Executive cash compensation (inclusive of any statutory benefit contributions that the Company may be required to set aside for
the Executive under applicable law) pursuant to Schedule I hereto, subject to review and adjustment by the Board or
any committee designated by the Board.


 


6.       Termination
of the Agreement. The Employment may be terminated as follows:


 


(a)       Death.
The Employment shall terminate upon the Executive’s death.


 


(b)       Disability.
The Employment shall terminate if the Executive has a disability, including any physical or mental impairment which, as reasonably
determined by the Board, renders the Executive unable to perform the essential functions of his/her position at the Company, even
with reasonable accommodation that does not impose an undue burden on the Company, for more than 90 days in any 12-month period,
unless a longer period is required by applicable law, in which case that longer period shall apply.


 


(c)       Cause.
The Company may terminate the Employment hereunder for Cause. The occurrence of any of the following, as reasonably determined
by the Company, shall be a reason for “Cause,” provided that, if the Company determines that the circumstances
constituting Cause are curable, then such circumstances shall not constitute Cause unless and until the Executive has been informed
by the Company of the existence of Cause and given an opportunity of ten business days to cure, and such Cause remains uncured
at the end of such ten-day period:


 


(i)       continued
failure by the Executive to satisfactorily perform his/her duties;


 


(ii)       willful
misconduct or gross negligence by the Executive in the performance of his/her duties hereunder, including insubordination;


 


(iii)       the
Executive’s conviction or entry of a guilty or nolo contendere plea of any felony or any misdemeanor involving moral turpitude;


 


(iv)       the
Executive’s commission of any act involving dishonesty that results in financial, reputational or other harm, monetary or
otherwise, to any member of the Group, including but not limited to an act constituting misappropriation or embezzlement of the
property of any member of the Group as determined in good faith by the Board; or


 


(v)       any
material breach by the Executive of this Agreement.


 


(d)       Without
Cause by the Company. The Company may terminate the Employment hereunder at any time without Cause upon 60-day prior written
notice to the Executive. The Executive may terminate the Employment voluntarily for any reason or no reason at any time by giving
60-day prior written notice to the Company.


 






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(e)       Notice
of Termination. Any termination of the Employment under this Agreement shall be communicated by written notice of termination
(“Notice of Termination”) from the terminating party to the other party. The notice of termination shall indicate
the specific provision(s) of this Agreement relied upon in effecting the termination.


 


(f)       Date
of Termination. The “Date of Termination” shall mean (i) the date specified in the Notice of Termination,
or (ii) if the Employment is terminated by the Executive’s death, the date of his/her death.


 


(g)       Compensation
upon Termination.


 


(i)       Death.
If the Employment is terminated by reason of the Executive’s death, the Company shall have no further obligations to the
Executive under this Agreement.


 


(ii)       By
Company without Cause. If the Employment is terminated by the Company other than for Cause, the Company shall (1) continue
to pay and otherwise provide to the Executive, during any notice period, all compensation, base salary and previously earned but
unpaid incentive compensation, if any.


 


(iii)       By
Company for Cause. If the Employment shall be terminated by the Company for Cause, the Company shall pay the Executive his/her
base salary at the rate in effect at the time Notice of Termination is given through the Date of Termination, and the Company shall
have no additional obligations to the Executive under this Agreement.


 


(h)       Return
of Company Property. The Executive agrees that following the termination of the Employment for any reason, or at any time prior
to the Executive’s termination upon the request of the Company, he/she shall return all property of the Group that is then
in or thereafter comes into his/her possession, including, but not limited to, any Confidential Information (as defined below)
or Intellectual Property (as defined below), or any other documents, contracts, agreements, plans, photographs, projections, books,
notes, records, electronically stored data and all copies, excerpts or summaries of the foregoing, as well as any automobile or
other materials or equipment supplied by the Group to the Executive, if any.


 


7.       Confidentiality
and Nondisclosure.


 


(a)       Confidentiality
and Non-Disclosure.


 


(i)       The
Executive acknowledges and agrees that: (A) the Executive holds a position of trust and confidence with the Company and that
his/her employment by the Company will require that the Executive have access to and knowledge of valuable and sensitive information,
material, and devices relating to the Company and/or its business, activities, products, services, customers and vendors, including,
but not limited to, the following, regardless of the form in which the same is accessed, maintained or stored: the identity of
the Company’s actual and prospective customers and, as applicable, their representatives; prior, current or future research
or development activities of the Company; the products and services provided or offered by the Company to customers or potential
customers and the manner in which such services are performed or to be performed; the product and/or service needs of actual or
prospective customers; pricing and cost information; information concerning the development, engineering, design, specifications,
acquisition or disposition of products and/or services of the Company; user base personal data, programs, software and source codes,
licensing information, personnel information, advertising client information, vendor information, marketing plans and techniques,
forecasts, and other trade secrets (“Confidential Information”); and (B) the direct and indirect disclosure
of any such Confidential Information would place the Company at a competitive disadvantage and would do damage, monetary or otherwise,
to the Company’s business.


 






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(ii)       During
the Term and at all times thereafter, the Executive shall not, directly or indirectly, whether individually, as a director, stockholder,
owner, partner, employee, consultant, principal or agent of any business, or in any other capacity, publish or make known, disclose,
furnish, reproduce, make available, or utilize any of the Confidential Information without the prior express written approval of
the Company, other than in the proper performance of the duties contemplated herein, unless and until such Confidential Information
is or shall become general public knowledge through no fault of the Executive.


 


(iii)       In
the event that the Executive is required by law to disclose any Confidential Information, the Executive agrees to give the Company
prompt advance written notice thereof and to provide the Company with reasonable assistance in obtaining an order to protect the
Confidential Information from public disclosure.


 


(iv)       The
failure to mark any Confidential Information as confidential shall not affect its status as Confidential Information under this
Agreement.


 


(b)       Third
Party Information in the Executive’s Possession. The Executive agrees that he/she shall not, during the Term, (i) improperly
use or disclose any proprietary information or trade secrets of any former employer or other person or entity with which the Executive
has an agreement or duty to keep in confidence information acquired by Executive, if any, or (ii) bring into the premises
of Company any document or confidential or proprietary information belonging to such former employer, person or entity unless consented
to in writing by such former employer, person or entity. The Executive will indemnify the Company and hold it harmless from and
against all claims, liabilities, damages and expenses, including reasonable attorneys’ fees and costs of litigation, arising
out of or in connection with any violation of the foregoing.


 


(c)       Third
Party Information in the Company’s Possession. The Executive recognizes that the Company may have received, and in the
future may receive, from third parties their confidential or proprietary information subject to a duty on the Company’s part
to maintain the confidentiality of such information and to use it only for certain limited purposes. The Executive agrees that
the Executive owes the Company and such third parties, during the Term and thereafter, a duty to hold all such confidential or
proprietary information in strict confidence and not to disclose such information to any person or firm, or otherwise use such
information, in a manner inconsistent with the limited purposes permitted by the Company’s agreement with such third party.


 


This Section 7 shall
survive the termination of this Agreement for any reason. In the event the Executive breaches this Section 7, the Company
shall have right to seek remedies permissible under applicable law.


 


8.       Intellectual
Property.


 


(a)       Prior
Inventions. The Executive has attached hereto, as Schedule II, a list describing all inventions, ideas, improvements,
designs and discoveries, whether or not patentable and whether or not reduced to practice, original works of authorship and trade
secrets made or conceived by or belonging to the Executive (whether made solely by the Executive or jointly with others) that (i) were
developed by Executive prior to the Employment by the Company (collectively, “Prior Inventions”), (ii) relate
to the Company’ actual or proposed business, products or research and development, and (iii) are not assigned to the
Company hereunder; or, if no such list is attached, the Executive represents that there are no such Prior Inventions. Except to
the extent set forth in Schedule II, the Executive hereby acknowledges that, if in the course of his/her service for
the Company, the Executive incorporates into a Company product, process or machine a Prior Invention owned by the Executive or
in which he/she has an interest, the Company is hereby granted and shall have a nonexclusive, royalty-free, irrevocable, perpetual,
worldwide right and license (which may be freely transferred by the Company to any other person or entity) to make, have made,
modify, use, sell, sublicense and otherwise distribute such Prior Invention as part of or in connection with such product, process
or machine.


 






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(b)       Assignment
of Intellectual Property. The Executive hereby assigns to the Company or its designees, without further consideration and free
and clear of any lien or encumbrance, the Executive’s entire right, title and interest (within the United States and all
foreign jurisdictions) to any and all inventions, discoveries, improvements, developments, works of authorship, concepts, ideas,
plans, specifications, software, formulas, databases, designees, processes and contributions to Confidential Information created,
conceived, developed or reduced to practice by the Executive (alone or with others) during the Term which (i) are related
to the Company’s current or anticipated business, activities, products, or services, (ii) result from any work performed
by Executive for the Company, or (iii) are created, conceived, developed or reduced to practice with the use of Company property,
including any and all Intellectual Property Rights (as defined below) therein (“Work Product”). Any Work Product
which falls within the definition of “work made for hire”, as such term is defined in the U.S. Copyright Act, shall
be considered a “work made for hire”, the copyright in which vests initially and exclusively in the Company. The Executive
waives any rights to be attributed as the author of any Work Product and any “droit morale” (moral rights) in Work
Product. The Executive agrees to immediately disclose to the Company all Work Product. For purposes of this Agreement, “Intellectual
Property” shall mean any patent, copyright, trademark or service mark, trade secret, or any other proprietary rights protection
legally available.


 


(c)       Patent
and Copyright Registration. The Executive agrees to execute and deliver any instruments or documents and to do all other things
reasonably requested by the Company in order to more fully vest the Company with all ownership rights in the Work Product. If any
Work Product is deemed by the Company to be patentable or otherwise registrable, the Executive shall assist the Company (at the
Company’s expense) in obtaining letters of patent or other applicable registration therein and shall execute all documents
and do all things, including testifying (at the Company’s expense) as necessary or appropriate to apply for, prosecute, obtain,
or enforce any Intellectual Property right relating to any Work Product. Should the Company be unable to secure the Executive’s
signature on any document deemed necessary to accomplish the foregoing, whether due to the Executive’s disability or other
reason, the Executive hereby irrevocably designates and appoints the Company and each of its duly authorized officers and agents
as the Executive’s agent and attorney-in-fact to act for and on the Executive’s behalf and stead to take any of the
actions required of Executive under the previous sentence, with the same effect as if executed and delivered by the Executive,
such appointment being coupled with an interest.


 


This Section 8 shall
survive the termination of this Agreement for any reason. In the event the Executive breaches this Section 8, the Company
shall have right to seek remedies permissible under applicable law.


 


9.       Non-Competition
and Non-Solicitation.


 


(a)(i)During
the Term and for a period of one year following the termination of the Employment for whatever reason, the Executive will not directly
or indirectly, without the prior written consent of the Company:


 


(1)       engage
or assist others in engaging in any business or enterprise (whether as owner, partner, officer, director, employee, consultant,
investor, lender or otherwise, except as the holder of not more than one percent of the outstanding stock of a publicly held company)
that is competitive with the Company’s business, including any business or enterprise that develops, manufactures, markets,
licenses, sells or provides any product or service that competes with any product or service developed, manufactured, marketed,
licensed, sold or provided, or planned to be developed, manufactured, marketed, licensed, sold or provided, by the Company while
the Executive is employed;


 


(2)       either
alone or in association with others, solicit, divert or take away, or attempt to divert or take away, the business or patronage
of any of the clients, customers, or business partners of the Company that were contacted, solicited, or served by the Executive
directly or the Company during the 12-month period prior to the termination of the Employment for whatever reason; or


 






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(3)       either
alone or in association with others (A) solicit, induce or attempt to induce, any employee or independent contractor of the
Company to terminate his or her employment or other engagement with the Company, or (B) hire, recruit or attempt to hire,
or engage or attempt to engage as an independent contractor, any person who was employed or otherwise engaged by the Company at
any time during the term of this Agreement; provided that this clause (B) shall not apply to the recruitment or hiring or
other engagement of any individual whose employment or other engagement with the Company has been terminated for a period of six months
or longer.


 


Notwithstanding the foregoing,
this Section 9 shall not preclude the Executive from becoming an employee of, or from otherwise providing services
to, a separate division or operating unit of a multi-divisional business or enterprise (a “Division”) if: (i) the
Division by which the Executive is employed, or to which the Executive provides services, is not competitive with the Company’s
business (within the meaning of Section 9); (ii) the Executive does not provide services, directly or indirectly,
to any other division or operating unit of such multi-divisional business or enterprise that is competitive with the Company’s
business (within the meaning of Section 9) (collectively, the “Competitive Divisions”); and (iii) such
Competitive Division or Divisions, in the aggregate, accounted for less than one-third of the multi-divisional business or enterprises’
consolidated revenues for the fiscal year, and each subsequent quarterly period, prior to the Executive’s commencement of
employment with the Division.


 


(ii)       If
the Executive violates the provisions of any of the preceding paragraphs of this Section 9, the Executive shall continue
to be bound by the restrictions set forth in such paragraph until a period of one year has expired without any violation of such
provisions.


 


(b)       Injunctive
Relief; Indemnity of Company. The Executive acknowledges and agrees that any breach or threatened breach of this Section 9
would result in irreparable injury and damage to the Company for which an award of money to the Company would not be an adequate
remedy. The Executive therefore also agrees that in the event of said breach or any reasonable threat of breach, the Company shall
be entitled to seek an immediate injunction and restraining order to prevent such breach and/or threatened breach and/or continued
breach by the Executive and/or any and all persons and/or entities acting for and/or with the Executive. The terms of this paragraph
shall not prevent the Company from pursuing any other available remedies for any breach or threatened breach hereof, including,
but not limited to, remedies available under this Agreement and the recovery of damages. The Executive and the Company further
agree that the provisions of this Section 9 are reasonable. The Executive agrees to indemnify and hold harmless the
Company from and against all reasonable expenses (including reasonable fees and disbursements of counsel) which may be incurred
by the Company in connection with, or arising out of, any violation of this Agreement by the Executive. This Section 9
shall survive the termination of this Agreement for any reason.


 


10.       Withholding
Taxes. Notwithstanding anything else herein to the contrary, the Company may withhold (or cause there to be withheld, as
the case may be) from any amounts otherwise due or payable under or pursuant to this Agreement such national, state, provincial,
local or any other income, employment, or other taxes as may be required to be withheld pursuant to any applicable law or regulation.


 






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11.       Assignment.
This Agreement is personal in its nature and neither of the parties hereto shall, without the consent of the other, assign or transfer
this Agreement or any rights or obligations hereunder; provided, however, that the Company may assign or transfer this Agreement
or any rights or obligations hereunder to any member of the Group without such consent. If the Executive should die while any amounts
would still be payable to the Executive hereunder if the Executive had continued to live, all such amounts unless otherwise provided
herein, shall be paid in accordance with the terms of this Agreement to the Executive’s devisee, legatee, or other designee
or, if there be no such designee, to the Executive’s estate. The Company will require any and all successors (whether direct
or indirect, by purchase, merger, consolidation or otherwise) to all or substantially all of the business and/or assets of the
Company to expressly assume and agree to perform this Agreement in the same manner and to the same extent that the Company would
be required to perform it if no such succession had taken place. Failure of the Company to obtain such assumption and agreement
prior to the effectiveness of any such succession shall be a breach of this Agreement and shall entitle the Executive to compensation
from the Company in the same amount and on the same terms as the Executive would be entitled to hereunder if the Company had terminated
the Employment other than for Cause, except that for purposes of implementing the foregoing, the date on which any such succession
becomes effective shall be deemed the Date of Termination. As used in this Section, “Company” shall mean the
Company as herein before defined and any successor to its business and/or assets as aforesaid which executes and delivers the agreement
provided for in this Section 11 or which otherwise becomes bound by all the terms and provisions of this Agreement
by operation of law.


 


12.       Severability.
If any provision of this Agreement or the application thereof is held invalid, the invalidity shall not affect other provisions
or applications of this Agreement which can be given effect without the invalid provisions or applications and to this end the
provisions of this Agreement are declared to be severable.


 


13.       Entire
Agreement. This Agreement constitutes the entire agreement and understanding between the Executive and the Company regarding
the terms of the Employment and supersedes all prior or contemporaneous oral or written agreements concerning such subject matter.
The Executive acknowledges that he/she has not entered into this Agreement in reliance upon any representation, warranty or undertaking
which is not set forth in this Agreement.


 


14.       Governing
Law. This Agreement shall be governed by and construed in accordance with the law of the State of New York.


 


15.       Amendment.
This Agreement may not be amended, modified or changed (in whole or in part), except by a formal, definitive written agreement
expressly referring to this Agreement, which agreement is executed by both of the parties hereto.


 


16.       Waiver.
Neither the failure nor any delay on the part of a party to exercise any right, remedy, power or privilege under this Agreement
shall operate as a waiver thereof, nor shall any single or partial exercise of any right, remedy, power or privilege preclude any
other or further exercise of the same or of any right, remedy, power or privilege, nor shall any waiver of any right, remedy, power
or privilege with respect to any occurrence be construed as a waiver of such right, remedy, power or privilege with respect to
any other occurrence. No waiver shall be effective unless it is in writing and is signed by the party asserted to have granted
such waiver.


 


17.       Notices.
All notices, requests, demands and other communications required or permitted under this Agreement shall be in writing and shall
be deemed to have been duly given and made if (i) delivered by hand; (ii) otherwise delivered against receipt therefor;
(iii) mailed by postage prepaid, certified or registered mail; (iv) sent by a recognized courier with next-day or second-day
delivery to the last known address of the other party; or (v) sent by e-mail with confirmation of receipt.


 


(a)       if
to Executive, to the address set forth on the signature page hereto.


 






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(b)       If
to the Company:


 


	 	
        CDT Environmental Technology Investment Holdings Limited
Cl, 4th Floor, Building 1 

        Financial Base, No. 8 Kefa Road 

        Nanshan District, Shenzhen, China 518057 

        Telephone: 86-0755-86667996 

        E-mail: liyunwu@cdthb.cn

	 	 
	with a copy to:	
        K&L Gates LLP 

        Southeast Financial Center, Suite 3900 

        200 South Biscayne Blvd. 

        Miami, FL 33131 

        Telephone: 305-539-3300 

        Facsimile: 305-358-7095 

        Attention: Clayton E. Parker, Esq. 

        E-mail: clayton.parker@klgates.com



  


Notice of change of address shall
be effective only when given in accordance with this Section. All notices complying with this Section shall be deemed to have been
received on the date of delivery or on the third business day after mailing.


 


18.       Counterparts.
This Agreement may be executed in any number of counterparts, each of which shall be deemed an original as against any party whose
signature appears thereon, and all of which together shall constitute one and the same instrument. This Agreement shall become
binding when one or more counterparts hereof, individually or taken together, shall bear the signatures of all of the parties reflected
hereon as the signatories. Photographic copies of such signed counterparts may be used in lieu of the originals for any purpose.


 


19.       No
Interpretation against Drafter. Each party recognizes that this Agreement is a legally binding contract and acknowledges
that such party has had the opportunity to consult with legal counsel of choice. In any construction of the terms of this Agreement,
the same shall not be construed against either party on the basis of that party being the drafter of such terms.


 


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IN WITNESS WHEREOF,
the parties hereto have executed this Agreement as of the date first written above.


 


	 	
        CDT ENVIRONMENTAL TECHNOLOGY INVESTMENT HOLDINGS LIMITED

         

        By:/s/ Yunwu Li 

        Name:Yunwu Li 

        Title:

         

        EXECUTIVE

         

        /s/ Yuntao Guan 

        Name: Yuntao Guan 

        Address: Room 905, Heyuan 3# Building, Tsinghua 

        Campus, the University Town, Nanshan District, Shenzhen 

        E-mail: guanyt@tsinghua.edu.cn









 






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SCHEDULE I


 


Compensation


 


15,000 RMB per month starting from Jan.
2020


 






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SCHEDULE II


 


Prior Inventions


 



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