Exhibit 10.20


 


  



 


AMENDED AND RESTATED LIMITED
LIABILITY COMPANY OPERATING AGREEMENT


 


THE PROVIDENCE GROUP OF GEORGIA,
L.L.C.


 



 


This AMENDED
AND RESTATED LIMITED LIABILITY COMPANY OPERATING AGREEMENT (this “Agreement”), dated to be effective as of
July 1, 2011 (the “Effective Date”), is executed by and between JBGL Builder Finance LLC, a Texas limited liability
company (“JBGL”), and Michael Allen Smith and Christopher T. Graham, not individually but solely as Co-Trustees
of the TPG Investment Trust (“TPG”), whose respective addresses are set forth on Schedule A of this
Agreement. JBGL and TPG are sometimes collectively referred to herein as the “Initial Members” of The Providence
Group of Georgia, L.L.C., a Georgia limited liability company (the “Company”).


 


WITNESSETH


 


WHEREAS, on
June 27, 2011, the Company was organized pursuant to Articles of Organization (as the same may be amended from time to time, the
“Articles of Organization”) filed in the office of the Secretary of State of the State of Georgia (the “Secretary
of State”), and TPG as the sole member entered into the Company’s Limited Liability Company Operating Agreement
dated to be effective as of June 27, 2011 (the “Initial Agreement”); and


 


WHEREAS, the
parties hereto desire to effect the following: (i) the amendment and restatement of the Initial Agreement; (ii) the admission of
JBGL as a Member in the Company; and (iii) the continuation of the Company on the terms set forth herein.


 


NOW, THEREFORE,
in consideration of the foregoing premises, the mutual covenants herein contained and other good and valuable consideration, the
receipt and sufficiency of which are hereby acknowledged, the parties hereto hereby agree as follows:


 


ARTICLE I


DEFINITIONS; FORMATION; NAME; PRINCIPAL
OFFICE; PURPOSE; TERM


 


Section 1.1       Definitions.


 


(a)          In
addition to terms defined elsewhere in this Agreement, the following capitalized terms generally used in this Agreement shall have
the meanings defined or referenced below.


 


Affiliate:
shall mean (i) with respect to any Person who is an individual, a spouse, child, sibling, aunt, uncle, cousin or parent of such
first Person, or any trust established for the benefit of any such Person or any such affiliated Persons, (ii) with respect to
any trust, any trustee or beneficiary of such trust or any Person who would be an Affiliate of such trustee or beneficiary, and
(iii) with respect to any Person (including an individual or trust), a Person, directly or indirectly, through one or more intermediaries,
controlling, controlled by, or under common control with the Person in question. The term “control,” as used in the
immediately preceding sentence, means, with respect to an entity that is a corporation, the right to exercise, directly or indirectly,
more than fifty percent (50%) of the voting rights attributable to the shares of such corporation and, with respect to a Person
that is not a corporation, the possession, directly or indirectly, of the power to direct or cause the direction of the management
or policies of such Person.


 




    	 



    	 



    

 


Appraisal
Report: shall have the meaning ascribed to such term in Section 5.1(c) hereof.


 


Articles
of Organization: shall have the meaning ascribed to such term in the second paragraph hereof.


 


Bankruptcy:
shall have the meaning ascribed to such term in Section 6.1(b) hereof.


 


Board of
Managers: shall have the meaning ascribed to such term in Section 4.1(a) hereof.


 


Book
Value: shall mean, with respect to any Company asset at any time, the adjusted basis of such asset for federal income tax
purposes, except that (i) the initial Book Value of any asset contributed by a Member to the Company shall be the fair market
value of such asset, and (ii)  the Book Value of all Company assets shall be adjusted to equal their fair market values,
as determined in good faith by the Board of Managers, upon the occurrence of certain events as described below. In either
case, the Book Value of Company assets shall thereafter be adjusted for book depreciation taken into account with respect to
such asset. The Book Value of the Company assets shall be adjusted in accordance with Treasury Regulation Section 1.704-l(b)(2)(iv)(f) to equal their fair market value as of the following times: (1) the admission of a new member to the Company or
acquisition by an existing member of an additional interest in the Company, provided that the consideration contributed to
the Company upon such admission or acquisition is more than a de minimis amount of money or property, (2) the liquidation of
the Company within the meaning of Treasury Regulation Section 1.704-1(b)(2)(ii)(g) or the distribution by the Company to a
Member of more than a de minimis amount of money or other property as consideration for a Member’s interest in the
Company, and (3) in connection with the grant of an interest in the Company as consideration for the provision of services to
or for the benefit of the Company.


 


The Book Value
of all Company assets shall also be increased (or decreased) to the extent that adjustments to the adjusted basis of such assets
pursuant to Code Section 734(b) or Code Section 743(b) have been taken into account for purposes of determining Capital Accounts
in accordance with Treasury Regulation Section 1.704-1(b) (2) (iv) (m), unless such adjustments have already been accounted for
pursuant to the preceding paragraph. If the Book Value of an asset has been determined or adjusted pursuant to this definition
of “Book Value,” such value shall thereafter be the basis for, and be adjusted by, the depreciation taken into account
with respect to, such asset for purposes of computing profits and losses. Moreover, notwithstanding the foregoing, the Book Value
of any Company asset distributed to any Member shall be the gross fair market value of such asset on the date of distribution.


 


Business
Day(s): shall mean all calendar days except Saturdays, Sundays and United States federal legal holidays. Any other reference
to “days” shall mean calendar days.


 




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Capital
Account: shall have the meaning ascribed to such term in Section 2.4 hereof.


 


Capital
Contributions: shall have the meaning ascribed to such term in Section 2.2(a) hereof.


 


Claw Back
Amount: shall have the meaning ascribed to such term in Section 3.5 hereof.


 


Closing
Fee: shall have the meaning ascribed to such term in Section 2.8 hereof.


 


Code:
shall have the meaning ascribed to such term in Section 2.4 hereof.


 


Company:
shall have the meaning ascribed to such term in the initial paragraph hereof.


 


Consulting
Agreement: shall have the meaning ascribed to such term in Section 2.8(a) hereof.


 


Covered
Person: shall have the meaning ascribed to such term in Section 4.6(c) hereof.


 


Current
Company Budget and Plan: shall mean, at any given time, the then approved overall budget and plan for the Company and its Subsidiaries
approved by the Board of Managers. The Current Company Budget and Plan in effect as of the date of this Agreement covers the period
from the Effective Date through December 31, 2011, subject to modification as provided herein. The Current Company Budget and Plan
shall be revised annually commencing effective as of January 1 of each year, as provided in Section 4.8 hereof, subject
to modification by the Board of Managers.


 


Default
Purchase Event: shall mean the occurrence of a Purchase Event pursuant to Sections 5.1(c)(viii) or Section 5.1(c)(ix)
hereof.


 


Discretion:
shall have the meaning ascribed to such term in Section 4.6(6) hereof.


 


Dissolution
Event: shall have the meaning ascribed to such term in Section 6.1(a) hereof.


 


Effective
Date: shall have the meaning ascribed to such term in the initial paragraph hereof.


 


Funding
Amount: shall mean the gross amount of all outstanding investments made, and commitments for investments to be made, by all
JBGL Entities and all Affiliates of any JBGL Entities in connection with or related to the acquisition, ownership, management,
development, construction and sale of residential lots, houses and other residential properties in the States of Georgia and South
Carolina, including all of the following: (i) the remaining cost basis of the total amount invested by the JBGL Entities and their
Affiliates in connection with the loans described on Schedule B-l to this Agreement and any other notes and loans acquired
by any JBGL Entity and/or any Affiliate of a JBGL Entity which are obligations of the Company, any Subsidiaries of the Company
or any party to any of the Management Agreements, including the purchase price for all such notes and loans and all costs and expenses
incurred in connection with the purchase, ownership and servicing of such notes and loans, plus (ii) the total outstanding principal
balance, plus all accrued but unpaid interest, with respect to all loans (including the loans arising pursuant to the Prior Loan
Agreements) made by any JBGL Entity or any Affiliate of any JBGL Entity, to the Company, any of its Subsidiaries or any party to
any of the Management Agreements, plus (iii) the total amount which any JBGL Entities or any Affiliates of any JBGL Entity has
agreed or committed to loan or otherwise invest in or for the benefit of the Company, any of its Subsidiaries or any party to any
of the Management Agreements, plus (iv) the amount of any Unreturned Capital Contributions of JBGL under this Agreement, plus
(v) the remaining cost basis of the total amounts invested (including purchase price and all costs and expenses incurred in
connection with the acquisition, ownership, management, development and sale) with respect to any real property and related assets
and properties (including residential lots and constructed homes) acquired by any JBGL Entity or any Affiliate of any JBGL Entity.
Notwithstanding the foregoing, for purposes of this definition of “Funding Amount.” the Company and its Subsidiaries
shall not be deemed to be Affiliates of any JBGL Entity.


 




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Good Faith:
shall have the meaning ascribed to such term in Section 4.6(e) hereof.


 


Highlands
Management Agreements: shall mean (i) that certain Management Agreement by and between The Providence Group at Highlands, L.L.C.,
JBGL Highlands Lender, LLC and TPG Homes at Highlands, L.L.C. dated to be effective as of the Effective Date, as the same may be
amended from time to time, together with (ii) that certain Management Agreement by and between TPG Homes at Highlands, L.L.C. and
JBGL Highlands Land, LLC, to be entered into subsequent to the Effective Date hereof, as the same may be entered into and amended
from time to time.


 


Initial
Members: shall have the meaning ascribed to such term in the initial paragraph hereof.


 


Jamestown
Management Agreement: shall mean that certain Management Agreement by and between TPG Homes at Jamestown, L.L.C. and JBGL Jamestown,
L.L.C. dated to be effective as of the Effective Date, as the same may be amended from time to time.


 


Jamestown
II Management Agreement: shall mean that certain Management Agreement by and between The Providence Group at Jamestown, L.L.C.,
The Providence Group at Jamestown II, L.L.C. and JBGL Jamestown, LLC dated March 9, 2011, as amended by Assignment and Amendment
of Management Agreement by and between The Providence Group at Jamestown, L.L.C., TPG Homes at Jamestown, L.L.C., The Providence
Group at Jamestown II, L.L.C. and JBGL Jamestown, LLC dated to be effective as of the Effective Date, as the same may be amended
from time to time.


 


JBGL Entity:  shall
mean JBGL and JBGL Builder Finance, LLC, a Texas limited liability company (“JBGL Builder Finance”), and any
entity (other than the Company or its Subsidiaries) in which JBGL or JBGL Builder Finance has a controlling interest.


 


JBGL Managers:
shall have the meaning ascribed to such term in Section 4.3(a) hereof.


 


LLC Act:
shall have the meaning ascribed to such term in Section 1.2 hereof.


 


Loan Agreement:
shall mean that certain Line of Credit Note by and between JBGL Builder Finance, as lender, and the Company, as borrower, dated
as of the Effective Date, together with any affiliated documents executed in connection therewith, as any of the same may be amended
from time to time, intended to provide operating capital to the Company.


 




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Management Agreements:shall
mean, collectively, the Jamestown Management Agreement, the Jamestown II Management Agreement, the Sterling Agreement, and the
Highlands Management Agreements.


 


Managers: shall
have the meaning ascribed to such term in Section 4.1(a) hereof.


 


Management Right(s):shallmeantherightofaMembertovoteandparticipate
in management, and to receive information concerning the business and affairs of the Company.


 


Member(s): shall
have the meaning ascribed to such term in Section 2.1(b) hereof.


 


Member Economic
Interest: shall mean all of the right, title and interest of a Member in, to and against the Company as to the profits, losses,
credits, capital and distributions of the Company, but shall not include any Management Rights.


 


Membership Interest:
shall mean a Member’s entire interest in the Company, including the Member Economic Interest and the Management Rights of
such Member.


 


Net Operating Profits:
shall mean, for any period, the positive amount obtained by subtracting Operating Losses (determined as provided in Schedule
C hereto) for such period from Operating Profits (determined as provided in Schedule C hereto) for such period.


 


Officer(s):
shall have the meaning ascribed to such term in Section 4.2(a) hereof.


 


Operating Loss:
shall have the meaning ascribed to such term in Section 3.5 hereof.


 


Operating Loss Share:shall
have the meaning ascribed to such term in Section 3.5 hereof.


 


Option Purchasing
Member(s):shallhavethemeaningascribedtosuch term in Section 5.1(c) hereof.


 


Optionor Member:
shall have the meaning ascribed to such term in Section 5.1(c) hereof.


 


Optionee Member(s):
shall have the meaning ascribed to such term in Section 5.1(c) hereof.


 


Percentage Interest:shallmean,astoeachMember,suchMember’sMembership
Interest, expressed as a percentage, in the income, gains, losses, deductions, tax credits, and distributions of the Company, subject
however to, and as may be affected and adjusted by, the provisions of this Agreement. The initial Percentage Interest of each Member
is set forth on Schedule A hereto.


 


Person:shall
mean a natural person, corporation, limited partnership, general partnership, business trust, limited liability company or other
form of association or entity.


 


Preferred Return:
shall have the meaning ascribed to such term in Section 3.2 hereof.


 


Price Determination
Date: shall have the meaning ascribed to such term in Section 5.1(c) hereof.


 




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Primary Business:
shall have the meaning ascribed to such term in Section 1.3(a) hereof.


 


Prior Loan Agreements:
shall mean the loan agreements (together with all related documents, instruments and agreements and any amendments or modifications
to the foregoing) listed on Schedule B hereto, in each case as modified as of the Effective Date.


 


Purchase Event:
shall have the meaning ascribed to such term in Section 5.1(c) hereof.


 


Purchase Notice:
shall have the meaning ascribed to such term in Section 5.1(c) hereof.


 


Purchase Option:
shall have the meaning ascribed to such term in Section 5.(e) hereof.


 


Purchase Price:
shall have the meaning ascribed to such term in Section 5.(e) hereof.


 


Retained Cash:
shall have the meaning ascribed to such term in Section 3.2 hereof.


 


Secretary of State:
shall have the meaning ascribed to such term in the second paragraph hereof.


 


Sole Discretion:
shall have the meaning ascribed to such term in Section 4.6(e) hereof.


 


Sterling Agreement:shallmean
that certain Profit Participation Agreement by and between the Company and The Providence Group at Sterling, L.L.C. dated to be
effective as of the Effective Date, as the same may be amended from time to time.


 


Subject Option Membership
Interest: shall have the meaning ascribed to such term in Section 5.1(c) hereof.


 


Subsidiaries:
shall all entities in which the Company has a controlling interest either now or in the future, including, without limitation,
TPG Homes at Jamestown, L.L.C., TPG Homes at Crabapple, L.L.C., TPG Homes at Lavista Walk, L.L.C., TPG Homes at Abberley, L.L.C.,
TPG Homes at Three Bridges, L.L.C., TPG Homes, L.L.C., TPG Homes at Highlands, L.L.C., each a Georgia limited liability company.


 


Subsidiary:
shall mean any one of the Subsidiaries.


 


Subsidiary Agreement:shall
mean the operating agreement, bylaws, or other like governing document of any Subsidiary.


 


TPG Consulting:
shall have the meaning ascribed to such term in Section 2.8(a) hereof.


 


TPG Manager:
shall have the meaning ascribed to such term in Section 4.3(a) hereof.


 


Transfer: shall
have the meaning ascribed to such term in Section 5.1(a) hereof.


 


Undistributed Preferred
Return:shallhave the meaning ascribed to such term in Section 3.2 hereof.


 




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Unreturned
Capital Contributions:shallhavethemeaningascribedto such term in Section 2.2(a) hereof.


 


Voting Percentage
Interest: shall mean, as to each Member, such Member’s Membership Interest, expressed as a percentage, in the voting
rights of the Company, subject however to, and as may be affected and adjusted by, the provisions of this Agreement. The initial
Voting Percentage Interest of each Member is set forth on Schedule A hereto.


 


(b)          As
used herein, the following terms shall have the following meanings:


 


(i)          “Hereof,”
“hereby,” “herein,” “hereto,” “hereunder,” “herewith,” and similar
terms mean of, by, to, under and with respect to, this Agreement or to the other documents or matters being referenced.


 


(ii)         “Heretofore”
means before, “hereafter” means after, and “herewith” means concurrently with, the date of this Agreement.


 


(iii)        All
pronouns, whether in masculine, feminine or neuter form, shall be deemed to refer to the object of such pronoun whether same is
masculine, feminine or neuter in gender, as the context may suggest or require.


 


(iv)        All
terms used herein, whether or not defined in Section 1.1 hereof, and whether used in singular or plural form, shall be deemed
to refer to the object of such term whether such is singular or plural in nature, as the context may suggest or require.


 


(c)          All
exhibits, schedules or other items attached hereto or referred to herein are hereby incorporated into this Agreement by such reference
or attachment for all purposes.


 


Section
1.2        Formation.


 


The Company
has been formed as a limited liability company under the Georgia Limited Liability Company Act, sections 14-11-100, et seq., O.C.G.A,
as amended from time to time (or corresponding provision(s) of any succeeding law) (the “LLC Act”), and shall
be governed in accordance with the provisions set forth in this Agreement.


 


Section
1.3        Purpose and Powers.


 


(a)          The
purpose for which the Company is formed shall be to engage in any business or activity which is lawful for a Georgia limited
liability company. Without limitation of the foregoing, the “Primary Business” of the Company shall mean
to directly, or indirectly through one or more Subsidiaries, (i) develop, build, own, sell and otherwise deal with houses and
other residential property in the states of Georgia and South Carolina; (ii) borrow money in furtherance of any or all of the
foregoing business ventures described in Subpart (i) above, subject to Section 4.9(e) hereof, for the benefit of the
Company or any Subsidiary of the Company, and guaranty the obligations of any other Person in furtherance of the purposes of
the Company or any Subsidiary of the Company, and secure any such indebtedness by any security instrument, pledge, liens or
other encumbrance of all or any of the assets of the Company; and (iii) take any and all other actions that may be
incidental, necessary or appropriate to carry on the business of the Company as contemplated by Subparts (i) and (ii)
above.


 




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(b)           The Company
shall have the power to do any and all acts necessary or convenient to or for the furtherance of the purposes stated in this Section
1.3.


 


Section
1.4        Existence and Good Standing.


 


The Officers
and Managers shall take all necessary action to maintain the Company in good standing as a limited liability company under the
LLC Act and to qualify (and maintain the qualification of) the Company to do business in any state or other jurisdiction in which
the nature of the Company’s business requires. Without limitation of the authority of any Officer of the Company, each Manager
and Officer is authorized to sign any documents, instruments and agreements and take any other action to effect or maintain the
existence, good standing and qualification to do business of the Company in Georgia or any other jurisdiction.


 


Section
1.5        Term.


 


The
Company shall have perpetual existence beginning on the date that the Articles of Organization were filed with the Secretary
of State; provided, however, that the Company may be dissolved in accordance with Section 6.1 of this
Agreement. The existence of the Company as a separate legal entity shall continue until the cancellation of the Articles of
Organization as provided in the LLC Act.


 


Section
1.6        Principal Office and Registered Agent.


 


The address
of the registered office of the Company in the State of Georgia and the name and address of the registered agent of the Company
in the State of Georgia are as set forth in the Articles of Organization. The initial principal office of the Company is located
at the place set forth as such on Schedule A hereto. The principal office of the Company and the registered office may be
relocated, and the registered agent replaced, from time to time as determined by the Members, the Board of Managers or the President
of the Company.


 


ARTICLE II 


MEMBERS; INTERESTS IN THE COMPANY;
CAPITAL CONTRIBUTIONS 


 


Section 2.1        Members.


 


(a)          The
Initial Members have been admitted to the Company as Members of the Company effective as of the Effective Date.


 


(b)          One
or more Persons may be admitted to the Company from time to time as additional equity members (each, including the Initial Members,
a “Member” and collectively, the “Members”) upon such terms and subject to such conditions
as may be determined by the Board of Managers. A Person may be admitted to the Company as a Member without the requirement of becoming
a party to this Agreement if all required approvals are obtained and such Person evidences the intent to become a Member in writing
by accepting and agreeing to be bound by the provisions of this Agreement and complies with any other conditions for becoming a
Member established by the Board of Managers.


 


(c)          No
Member shall have the right to withdraw. Furthermore, except as otherwise specifically provided in this Agreement, a Member shall
not be removed or dissociated solely as a result of the occurrence of any one of the events described in Sections 14-11-601.1 (b)(2)(B),
14-11-601.1(b)(4), or 14-11-601.1(5) of the LLC Act.


 




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Section
2.2        Capital Contributions.


 


(a)          Initial
Contributions. Contemporaneously with the execution by such Member of this Agreement, each Member shall make the contributions
to the capital of the Company described for that Member in Schedule A hereto, if any. All contributions to the capital
made by any Member under this Section 2.2(a) and Section 2.2(b) shall be referred to herein as “Capital Contributions”.
As used herein, the term “Unreturned Capital Contributions” shall mean, as to each Member, the aggregate Capital
Contributions made to the Company by such Member minus the aggregate distributions of such Capital Contributions made to such
Member from the Company pursuant to Sections 3.2(b) and 6.2(a)(ii) hereof.


 


(b)          Additional
Capital Contributions. If approved by the Board of Managers, any Member may make additional Capital Contributions
in amounts and for purposes approved by the Board of Managers. Further, if approved by unanimous consent of all Members, the Members
may require each Member to contribute to the Company, in cash, such Member’s Percentage Interest of all monies that in the
judgment of the Members (by unanimous consent) are necessary or appropriate for the Company to operate its business. In no event
shall any additional Capital Contribution increase the Percentage Interest of any Member making such additional Capital Contribution,
nor dilute the Percentage Interest of any Member not making an additional Capital Contribution.


 


(c)          [Intentionally
deleted]


 


(d)          Member
Loans. A Member or an Affiliate of a Member may, but is not obligated to, loan or cause to be loaned
to the Company such additional sums as the Board of Managers deems appropriate or necessary for the conduct of the Company’s
business. Loans made by a Member, or an Affiliate of a Member, shall be upon such terms and for such maturities, and with such
Member(s), as the Board of Managers determines, subject to the consent rights in Section 4.1(c) hereof; provided,
however, that the Members herein consent to and agree to the terms and conditions of the Prior Loan Agreements, the Loan
Agreement, and any other loan commitments or loans made by JBGL or an Affiliate of JBGL consistent with the Current Company Budget
and Plan.


 


(e)          No
Effect on Company Status. The Company shall be formed and existing and this Agreement
shall be effective regardless of whether any Member fails to make any capital contribution hereunder.


 


Section
2.3        Issuance and Classification of Membership Interests.


 


Each Member’s
voting powers shall be in proportion to their respective Voting Percentage Interest.


 




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Section
2.4        Capital Accounts.


 


A separate
capital account (the “Capital Account”) shall be maintained for each Member. The Capital Account of a Member
shall be increased by (i) the amount of cash contributed by such Member; (ii) the agreed fair market value of any property
contributed by such Member (net of any liabilities assumed by the Company and any liabilities to which such property is subject)
and (iii) the amount of all profits (and any item thereof) allocated to such Member. Each Member’s capital account shall
be decreased by (i) the amount of all cash distributions to such Member; (ii) the fair market value of property distributed
to such Member (net of any liabilities assumed by the Company and any liabilities to which such property is subject); and (iii)
the amount of all losses (and any item thereof) allocated to such Member. The Capital Accounts shall be determined, maintained
and adjusted in accordance with the Internal Revenue Code of 1986, as amended (the “Code”) and the Treasury
Regulations promulgated thereunder, including the capital account maintenance rules in Treasury Regulations §1.704-(l)(b)(2)(iv).


 


Section
2.5        General Rules Relating to Capital of the Company.


 


(a)          No
Member shall be personally liable for the return of the capital contributions of the Members, or any portion thereof, it being
expressly understood that any such return of contributions shall be made solely from the Company assets.


 


(b)          No
Member shall have the right to withdraw or receive a return of all or any part of that Member’s capital contributions, or
to demand or receive property (other than cash) of the Company or any distribution in return for that Member’s capital contributions.


 


Section
2.6        Liability of the Members.


 


To the fullest
extent permitted by law, no Member shall be liable under a judgment, decree or order of a court, or in any other manner for the
debts or any other obligations or liabilities of the Company solely by reason of being a Member of the Company. A Member shall
be liable only to make the contributions described in Section 2.2(a) hereof, and 2.2(b) hereof, if any, and a Member
shall not be required to lend any funds to the Company or to make any other contributions, assessments or payments to the Company,
except as to the Claw Back Amount.


 


Section
2.7        Meetings of Members.


 


(a)          Annual
Meeting. The Company may hold an annual meeting of its Members to elect Managers and transact any other business
within its powers at such time and place as the Board of Managers shall determine. Except as provided in this Agreement, any business
may be considered at an annual meeting without the purpose of the meeting having been specified in the notice. Failure to hold
an annual meeting does not invalidate the Company’s existence or affect any otherwise valid limited liability company acts.


 


(b)          Special
Meeting. At any time in the interval between annual meetings, a special meeting of the Members may be called
by the President of the Company or by Members entitled to cast at least twenty-five percent (25%) of all the votes entitled to
be cast at the meeting. A request for a special meeting shall state the purpose of the meeting and the matters proposed to be
acted on at the meeting.


 


(c)          Time
and Place of Meetings. Meetings of Members shall be held at such time and place, within or without the State
of Georgia, as shall be stated in the notice of the meeting or in a duly executed waiver of notice thereof.


 




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(d)          Notice
of Meetings; Waiver of Notice. Not less than ten (10) nor more than ninety (90) days
before each Members’ meeting, the Secretary shall give written notice of the meeting to each Member entitled to vote at
the meeting and each other Member entitled to notice of the meeting. The notice shall state the time and place of the meeting
and, if the meeting is a special meeting, the purpose of the meeting. Notice is given to a Member when it is personally delivered
to him or her, left at his or her address as it appears on the records of the Company, if delivered by hand or by overnight delivery
service, or mailed to him or her at his or her address as it appears on the records of the Company. Notwithstanding the foregoing
provisions, each person who is entitled to notice waives notice if he or she before or after the meeting signs a waiver of notice
which is filed with the records of Members’ meetings, or is present at the meeting in person or by proxy (unless present
solely for the purpose of objecting to the calling or holding of the meeting).


 


(e)          Quorum;
Voting. Unless this Agreement provides that a larger number of votes is required to approve a particular
matter (and in such case that larger number or percent shall constitute a quorum), at a meeting of Members the presence in person
or by proxy of Members entitled to cast a majority of all the votes entitled to be cast at the meeting constitutes a quorum, and
a majority of all the votes cast at a meeting at which a quorum is present (or such larger number of votes required in this Agreement)
is sufficient to approve any matter which properly comes before the meeting, except that a plurality of all the votes cast at
a meeting at which a quorum is present is sufficient to elect a Manager; provided, however, that so long as JBGL
is a Member of the Company, JBGL must be a part of any quorum.


 


(f)          General
Right to Vote; Proxies. Unless this Agreement provides for a greater or lesser number of votes or limits
or denies voting rights, each holder of a Membership Interest shall be entitled to one vote for each percent of Voting Percentage
Interest held by such holder (for the avoidance of doubt, this shall mean that there are a total of 100 votes and a Member with
a Voting Percentage Interest of 25% would be entitled to 25 votes) on each matter submitted to a vote at a meeting of Members.
Fractional Voting Percentage Interests shall be entitled to the same pro rata fractional vote. In all elections for Managers,
each holder may cast votes for as many individuals as there are Managers to be elected and for whose election the holder is entitled
to vote upon; provided, however, that no cumulative voting shall be permitted. A Member may vote either in person
or by proxy. A Member may sign a writing authorizing another person to act as proxy. Signing may be accomplished by the Member
or the Member’s authorized agent signing the writing or causing the Member’s signature to be affixed to the writing
by any reasonable means, including facsimile signature. A Member may authorize another person to act as proxy by transmitting,
or authorizing the transmission of, a telegram, cablegram, datagram, or other means of electronic transmission to the person authorized
to act as proxy or to a proxy solicitation firm, proxy support service organization, or other person authorized by the person
who will act as proxy to receive the transmission. Unless a proxy provides otherwise, it is not valid more than eleven (11) months
after its date. A proxy is revocable by a Member at any time without condition or qualification unless the proxy states that it
is irrevocable and is coupled with an interest. A proxy may be made irrevocable for so long as it is coupled with an interest.
The interest with which a proxy may be coupled includes an interest in the Membership Interests to be voted under the proxy or
another general interest in the Company or its assets or liabilities.


 




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(g)          Action
by Written Consent of Members. Any action required or permitted to be taken at a meeting of Members may be taken without
a meeting if there is filed with the records of Members meetings a written consent which sets forth the action and
is signed by the Members entitled to cast at least a majority of the votes, or such larger number of votes required by this Agreement
to pass the resolution contained in the consent.


 


Section
2.8        Certain Fees to Members


 


(a)          The
Company and TPG Consulting, L.L.C., a Florida limited liability company and an Affiliate of TPG (“TPG Consulting”),
are parties to the Construction and Operations Consulting Agreement dated as of the Effective Date whereby TPG Consulting or its
designee shall be paid certain amounts for services provided to the Company (as the same may be amended, the “Consulting
Agreement”); provided, that the Consulting Agreement and any amendments thereto are subject to the unanimous approval of
the Board of Managers.


 


(b)          The
Company shall pay JBGL (or one of its Affiliates as designated by JBGL), monthly in arrears, a closing fee (the “Closing
Fee”) in an amount equal to $2,000.00 for each residential property sold by the Company or any Subsidiary in any calendar
month. The Closing Fee shall begin to accrue on the Effective Date and shall cease to accrue upon the date JBGL, or its successor
in interest, no longer holds a Membership Interest. The Closing Fee for each calendar month shall be payable monthly in arrears
no later than the tenth (10th) day of the month immediately following such calendar month, commencing August 10, 2011.


 


ARTICLE III 


ALLOCATIONS AND DISTRIBUTIONS



 


Section 3.1        Allocations


 


(a)          General
Allocations of Profits and Losses. Except as otherwise provided in Section 3.4 hereof, items of profit,
income, gain, loss, deduction and tax credit recognized by the Company in accordance with the method of accounting and the books
and records of the Company as in effect from time to time shall be allocated to and among the Members, prior to any distributions
of any Operating Profits attributable thereto, in a manner such that the Capital Account of each Member, immediately after making
such allocation, is as nearly as possible equal to the excess of (a) the distributions that would be made to such Member if the
Company were dissolved, its affairs wound up and its assets sold for cash equal to their Book Value, all Company liabilities were
satisfied (limited with respect to each nonrecourse liability to the fair market value of the assets securing such liability),
and the net assets of the Company were distributed pursuant to Section 6.2(a) of this Agreement to the Members immediately
after making such allocation, over (b) such Member’s share, if any, of items of Company profit, income, gain, loss, deduction
and tax credit specially allocated to such Members pursuant to the provisions of Section 3.4 hereof.


 


(b)          Transfer.
All items of profit, income, gain, loss, deduction, and credit allocable to any Membership Interest that may have been
transferred shall be allocated between the transferor and the transferee based on the portion of the calendar year during which
each was recognized as owning that Membership Interest, without regard to the results of Company operations during any particular
portion of that calendar year and without regard to whether cash distributions were made to the transferor or the transferee during
that calendar year; provided, however, that this allocation must be made in accordance with a method permissible
under Section 706 of the Code and the Treasury Regulations thereunder.


 




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Section
3.2        Distributions of Operating Profits


 


To the
extent the Company has available cash (as determined by the Board of Managers), the Company shall distribute Net Operating
Profits to the Members at such times, and in such amounts, as may be determined by the Board of Managers; provided,
that to the extent the Company has available cash (as determined by the Board of Managers) the Company shall distribute Net
Operating Profits in accordance with this Section 3.2 not less frequently than once per year. Notwithstanding the
foregoing, the Company shall maintain and withhold from such distributions of Net Operating Profits a cash reserve in the
amount determined by the Board of Managers to be sufficient to meet the working capital requirements of the Company
(“Retained Cash”); provided, that the Members agree that a cash reserve equal to thirty percent
(30%) of the amount of Net Operating Profits (determined without consideration of such cash reserve) shall be retained unless
otherwise approved by the Board of Managers, except that the Retained Cash shall not exceed a total amount of $1,000,000.00
unless unanimously approved by the Board of Managers. Notwithstanding the frequency or amounts of distributions, Net
Operating Profits which are distributed to the Members shall be distributed as follows:


 


(a)          First,
to the Members pro rata in accordance with their respective then Undistributed Preferred Return, in such amounts and until such
times as each Member’s Undistributed Preferred Return has been reduced to zero (0);


 


(b)          Next,
to the Members pro rata in accordance with the Members’ proportionate Unreturned Capital Contributions in such amounts, and
until such time, as each Member’s Unreturned Capital Contributions have been reduced to zero (0); and


 


(c)          Thereafter,
to the Members pro rata in accordance with their respective Percentage Interests.


 


As used herein
(i) the term “Undistributed Preferred Return” shall mean, as to each Member, the aggregate Preferred Return
accrued with respect to such Member’s Unreturned Capital Contributions reduced by the aggregate distributions to such Member
from the Company pursuant to Sections 3.2(a) and 6.2(a)(i) hereof; and (ii) the term “Preferred Return”
shall mean, with respect to each Member, a cumulative return of thirteen and 85/100 percent (13.85%), compounded annually, on such
Member’s Unreturned Capital Contributions outstanding from time to time.


 




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Section
3.3        Withheld Amounts


 


Notwithstanding
any other provision of this Article III to the contrary, each Member hereby authorizes the Company to withhold and to pay over,
or otherwise pay, any withholding or other taxes payable by the Company with respect to the Member as a result of the Member’s
participation in the Company; if and to the extent that the Company shall be required to withhold or pay any such taxes, such Member
shall be deemed for all purposes of this Agreement to have received a payment from the Company as of the time such withholding
or tax is paid, which payment shall be deemed to be a distribution with respect to such Member’s Membership Interest to the
extent that the Member (or any successor to such Member’s Membership Interest) is then entitled to receive a distribution.
To the extent that the aggregate amount of such payments to a Member for any period exceeds the distributions to which such Member
is entitled for such period, the amount of such excess shall be considered a loan from the Company to such Member. Such loan shall
bear interest (which interest shall be treated as an item of income to the Company) at the prevailing prime interest rate published
from time to time by The Wall Street Journal until discharged by such Member by repayment, which may be made by the Company out
of distributions to which such Member would otherwise be subsequently entitled. Any withholdings authorized by this Section
3.3 shall be made at the maximum applicable statutory rate under the applicable tax law unless the Company shall have received
an opinion of counsel or other evidence satisfactory to the Board of Managers to the effect that a lower rate is applicable, or
that no withholding is applicable.


 


Section 3.4
       Limitations on Allocations


 


(a)          Minimum
Gain Chargeback. Notwithstanding any provision of this Article III, if there is a net decrease in Company minimum
gain during any fiscal year or other period, prior to any other allocation pursuant hereto, each Member shall be specially allocated
items of Company income and gain for such year (and, if necessary, subsequent years) in an amount and manner required by Treasury
Regulation Sections 1.704-l(b)(4)(iv) and Section 1.704-2. Notwithstanding any provision of this Article III, if there is a net
decrease in partner nonrecourse debt minimum gain, any Member with a share of that partner nonrecourse debt minimum gain as of
the beginning of such year shall be allocated items of income and gain for the year (and, if necessary, for succeeding years)
equal to that Member’s share of the net decrease in the partner nonrecourse debt minimum gain, as provided in Treasury Regulation
Section 1.704-2(i)(4).


 


(b)          Qualified
Income Offset. Any Member who unexpectedly receives an adjustment, allocation or distribution described in Treasury
Regulation Section 1.704-1(b)(2)(ii)(d)(4), (5) or (6) that causes or increases a negative balance in its Capital Account beyond
the sum of the amount of such Member’s obligation to restore its deficit Capital Account plus its share of minimum gain
shall be allocated items of income and gain sufficient to eliminate such increase or negative balance caused thereby, as quickly
as possible, to the extent required by such Treasury Regulation.


 


(c)          Gross
Income Allocation. If any Member has a deficit Capital Account at the end of any
Company fiscal year which is in excess of the sum of (i) the amount such Member is obligated to restore pursuant to any provision
of this Agreement and (ii) the amount such Member is deemed to be obligated to restore pursuant to Treasury Regulation Section
1.704-2, each such Member shall be specially allocated items of Company income and gain in the amount of such excess as quickly
as possible, provided that an allocation pursuant to this Section 3.4(c) shall be made only if and to the extent that such
Member would have a deficit Capital Account in excess of such sum after all other allocations provided for in this Article III
have been made as if this Section 3.4(c) were not in this Agreement.


 




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(d)          Section
704(b) Limitation.
Notwithstanding any other provision of this Agreement to the contrary, no allocation of any item of income or loss shall
be made to a Member if such allocation would not have “economic effect” pursuant to Treasury Regulation Section 1.704-l(b)(2)(ii)
or otherwise be in accordance with its interest in the Company within the meaning of Treasury Regulation Sections 1.704-1(b)(3)
and 1.704-2. To the extent an allocation cannot be made to a Member due to the application of this Section 3.4(d), such
allocation shall be made to the other Member(s) entitled or required to receive such allocation hereunder.


 


(e)          Curative
Allocations. Any allocations of items of income, gain, or loss pursuant to Sections 3.4(a)-(d) hereof
shall be taken into account in computing subsequent allocations pursuant to this Article III, so that the net amount of any items
so allocated and the income, losses and other items allocated to each Member pursuant to this Article III shall, to the extent
possible, be equal to the net amount that would have been allocated to each Member had no allocations ever been made pursuant
to Sections 3.4(a)-(d) hereof.


 


Section
3.5        Return of Distributions in the Event of Certain Operating Losses


 


Upon the written
request of the Board of Managers at any time and from time to time, which request may be made or withheld upon the Board of Manager’s
sole discretion, the Company, by written notice (the “Claw Back Notice”) to each of the Members, shall demand
that each Member pay to the Company, within thirty (30) days after the date of such Claw Back Notice, its Claw Back Amount; provided,
however, that the Board of Managers shall not deliver a Claw Back Notice unless the aggregate net Operating Losses (as determined
in accordance with Schedule C hereto) at the time of such Claw Back Notice are greater than $250,000 plus the amount of
any Retained Cash.


 


“Claw
Back Amount” as to each Member shall mean the lesser of (i) an amount equal to such Member’s Operating Loss Share,
or (ii) sixty-six percent (66%) of the total distributions of Net Operating Profits made to such Member during the fifteen (15)
month period immediately preceding the date of the Claw Back Notice (the “Claw Back Period”). In the event that
a Claw Back Notice is given and the amount of subpart (i) of the immediately preceding sentence exceeds the amount of subpart (ii)
of the immediately preceding sentence, then the difference between the two amounts shall be carried forward and applied to reduce
the next distribution of Net Operating Profits to such Member. Notwithstanding the foregoing, in no event shall any Member be obligated
to pay aggregate Claw Back Amounts in excess of $750,000.


 


“Operating
Loss Share” as to each Member shall mean (i) an amount equal to the Operating Loss multiplied by such Member’s
Percentage Interest, minus (ii) an amount equal to the Retained Cash multiplied by such Member’s Percentage Interest


 


“Operating
Loss” with respect to any period of time, shall mean Operating Losses determined as provided in Schedule C to
this Agreement.


 


Unless otherwise
agreed by the Members by unanimous consent any Member or assignee transferring his Membership Interest, or any portion thereof,
shall remain jointly and severally liable along with any transferee of such Membership Interest for payment to the Company of the
Claw Back Amount with respect to any Operating Losses incurred by the Company during the time such Person was a Member regardless
of whether such party received any distribution of Net Operating Profits.


 




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Section
3.6        Return of Other Distributions.


 


Under Georgia
law, a Member may, under certain circumstances, be required to return to the Company, for the benefit of Company’s creditors,
amounts previously wrongfully returned or distributed to it. It is the intent of the Company and all Members that except as provided
in Section 3.5 above, no Member shall be obligated to return any distribution to or for the account of the Company or any
creditor of the Company. The payment of any money or distribution of any property to a Member shall be deemed to be a compromise
and, except as provided in Section 3.5 above, the Member receiving any such money or property shall not be required to return
any such money or property to the Company or any creditor of the Company. However, if any court of competent jurisdiction holds
that, notwithstanding the provisions of this Agreement, any Member is obligated to return amounts previously wrongfully distributed
to such Member, such obligation shall be the sole responsibility of the Member who received such distributions.


 


Section
3.7        One Time Capital Distribution.


 


Concurrent
with the execution of this Agreement TPG shall receive a one-time special capital distribution in the amount of $175,000 in full
return of all capital contributions made by TPG during the period prior to the execution of this Agreement in which TPG was the
sole Member of the Company.


 


ARTICLE IV 


MANAGEMENT OF BUSINESS AND AFFAIRS
OF THE COMPANY 


 


Section 4.1        Management of Business and
Affairs of the Company.


 


(a)          Except
as specifically provided otherwise in this Agreement, and regardless of any approval rights as may be provided in Section 14-11-308
of the LLC Act, the exclusive authority to manage, control and operate the Company shall be vested collectively in the individuals,
who need not be Members, elected by the Members as managers of the Company (the “Managers”) in accordance with
this Agreement; provided, that the initial Managers elected by the Members are the persons named as Managers on Schedule
A to this Agreement. Initially there shall be three (3) Managers, which number may be increased or decreased by the Members.
All powers of the Company may be exercised by or under the authority of the Managers acting collectively, and not individually
(the “Board of Managers”). Except as specifically provided otherwise in this Agreement, the Board of Managers
shall have full and exclusive right, power and authority to manage the affairs of the Company and make all decisions with respect
thereto without the requirement of any consent or approval by the Members, including, without limitation, to the fullest extent
permitted by law, authorizing or taking any actions for which the unanimous consent of the Members is required under the LLC Act.


 


(b)          Each
of JBGL and TPG, in its or their discretion, shall be entitled to remove and replace any one or more of the Managers it elected
or appointed pursuant to Section 4.3 or this Section 4.1(b) hereof at any time, with or without cause, during the existence
of the Company; provided, that any removal or replacement of any Manager appointed by TPG is subject to the approval of
the JBGL Managers, and further is subject to the provisions of Section 4.3(a) hereof. The names of the initial Managers
of the Company who are hereby appointed to serve on and after the date of this Agreement, and who will serve until their resignation
or until their successors are appointed are set forth on Schedule A attached hereto along with the name of the Member that
elected each Manager.


 




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(c)          Except
as expressly provided in this Agreement, and regardless of any approval rights as may be provided in Section 14-11-308 of the LLC
Act, the affirmative vote of a majority of the Managers shall be considered the act of the Managers with respect to any event.
Except as expressly provided in this Agreement, no Manager shall be permitted to act without the affirmative vote of a majority
of the Managers. Notwithstanding any provision of this Agreement, and regardless of any approval rights as may be provided in Section
14-11-308 of the LLC Act, the consent of all of the Members shall be required for the Company, or any other Person on behalf of
the Company or any Subsidiary, as the case may be, to do any of the following:


 


(i)          do
any act in contravention of this Agreement


 


(ii)         do
any act which would make it impossible to carry on the ordinary business or the Primary Business of the Company;


 


(iii)        possess
Company or Subsidiary property, or assign rights in Company or Subsidiary property, other than for a Company purpose;


 


(iv)        except
as to the Management Agreements, the Consulting Agreement, any agreement by which JBGL or one of its Affiliates provides financing
or agrees to provide funding to the Company or any of its Subsidiaries, including, without limitation, the Loan Agreement, any
construction loans, and the Prior Loan Agreements, enter into any contracts or agreements with any Member or any relatives or Affiliates
of any Member.


 


Section
4.2        Officers.


 


(a)          Executive
and Other Officers. Except as provided in Section 4.2(b) hereof, the Board of Managers shall designate one or
more officers of the Company (each an “Officer” and collectively, the “Officers”) for the
purpose of managing the day-to-day operations of the Company. The Officers shall have the powers set forth in this Agreement.
The Company shall have a President, a Secretary, and a Treasurer. The Board of Managers may designate who shall serve as chief
executive officer, who shall have general supervision of the business and affairs of the Company, and may designate a chief operating
officer, who shall have supervision of the operations of the Company. In the absence of any designation, the President of the
Company shall serve as chief executive officer and chief operating officer. The Company may also have one or more Vice-Presidents
(including, without limitation, Executive Vice Presidents and Senior Vice Presidents), assistant officers, and subordinate officers
as may be established by the Board of Managers. A person may hold more than one office in the Company. The Officers may also be,
but do not need to be, Managers of the Company.


 


(b)          Officers.
The names of the initial Officers serving the Company on and after the date of this Agreement and the capacities in which
they serve, until their successors are elected or appointed, are set forth on Schedule A attached hereto, without the need
for further designation or approval.


 




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(c)          President.
Unless otherwise provided by resolution of the Board of Managers, the President of the Company shall preside at all meetings
of the Board of Managers and of the Members at which he or she shall be present. Unless otherwise specified by the Board of Managers,
the President of the Company shall be the chief operating officer of the Company and shall perform the duties customarily performed
by chief operating officers. Subject to Section 4.9 of this Agreement, the President of the Company may execute, in
the name and on behalf of the Company, all authorized deeds, mortgages, bonds, contracts or other instruments, except in cases
in which the signing and execution thereof shall have been expressly delegated to some other officer or agent of the Company.
In general, the President of the Company shall perform such other duties customarily performed by a president of a corporation
and shall perform such other duties and have such other powers as are from time to time assigned to him or her by the Board of
Managers or the chief executive officer of the Company.


 


(d)          Vice-Presidents.
The Vice-President or Vice-Presidents (including, without limitation, Executive Vice Presidents and Senior Vice Presidents), at
the request of the chief executive officer or the President of the Company, or in the President’s absence or during his
or her inability to act, shall perform the duties and exercise the functions of the President of the Company, and when so acting
shall have the powers of the President of the Company. If there be more than one Vice-President, the Board of Managers may determine
which one or more of the Vice-Presidents shall perform any of such duties or exercise any of such functions, or if such determination
is not made by the Board of Managers, the chief executive officer or the President of the Company may make such determination;
otherwise any of the Vice-Presidents may perform any of such duties or exercise any of such functions. Each Vice-President shall
perform such other duties and have such other powers, and have such additional descriptive designations in their titles (if any),
as are from time to time assigned to them by the Board of Managers, the chief executive officer, or the President of the Company.


 


(e)          Secretary.
The Secretary shall keep the minutes of the meetings of the Members, of the Board of Managers and of any committees, in
books provided for the purpose; he or she shall see that all notices are duly given in accordance with the provisions hereof or
as required by law; he or she shall be custodian of the records of the Company; he or she may witness any document on behalf of
the Company, the execution of which is duly authorized, see that the Company seal is affixed where such document is required or
desired to be under its seal, and, when so affixed, may attest the same. In general, the Secretary shall perform such other duties
customarily performed by a secretary of a corporation, and shall perform such other duties and have such other powers as are from
time to time assigned to him or her by the Board of Managers, the chief executive officer, or the President of the Company.


 


(f)          Treasurer.
The Treasurer shall have charge of and be responsible for all funds, securities, receipts and disbursements of the Company,
and shall deposit, or cause to be deposited, in the name of the Company, all moneys or other valuable effects in such banks, trust
companies or other depositories as shall, from time to time, be selected by the Board of Managers; he or she shall render to the
President of the Company and to the Board of Managers, whenever requested, an account of the financial condition of the Company.
In general, the Treasurer shall perform such other duties customarily performed by a treasurer of a corporation, and shall perform
such other duties and have such other powers as are from time to time assigned to him or her by the Board of Managers, the chief
executive officer, or the President of the Company.


 




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(g)          Assistant
and Subordinate Officers. The assistant and subordinate officers of the Company are all officers below the office
of Vice-President, Secretary, or Treasurer. The assistant or subordinate officers shall have such duties as are from time to time
assigned to them by the Board of Managers, the chief executive officer, or the President of the Company.


 


(h)          Election,
Tenure and Removal of Officers. The Board of Managers shall elect the Officers of the Company; provided, that
upon the execution of this Agreement, the initial Officers of the Company shall be as set forth in Schedule A of this Agreement.
The Board of Managers may from time to time authorize any committee or Officer to appoint assistant and subordinate officers. All
Officers shall be elected or appointed to hold their offices, respectively until their successors are elected or appointed or,
if earlier, until their death, resignation or removal from office; provided, that the Board of Managers (or, as to any assistant
or subordinate officer, any committee or Officer authorized by the Board of Managers) may remove an Officer at any time, with or
without cause. The removal of an Officer shall not prejudice any of his or her contract rights. Election or appointment of an Officer,
employee or agent shall not of itself create contract rights. The Board of Managers (or, as to any assistant or subordinate officer,
any committee or Officer authorized by the Board of Managers) may fill a vacancy which occurs in any office for the unexpired portion
of the term.


 


(i)          Compensation.
The Board of Managers shall have power to fix the salaries and other compensation and remuneration, of whatever kind, of
all Officers of the Company. No Officer shall be prevented from receiving such salary by reason of the fact that he or she is
also a Manager of the Company. The Board of Managers may authorize any committee or Officer, upon whom the power of appointing
assistant and subordinate officers may have been conferred to fix the salaries, compensation and remuneration of such assistant
and subordinate officers.


 


Section
4.3        Board of Managers Election and Meetings.


 


(a)          Election
and Tenure of Managers. At each annual meeting, or at each special meeting called
for that purpose, the Members shall elect Managers, in the manner hereinafter provided, to hold office until the next annual meeting
and until their successors are elected and qualify, or until their earlier death, resignation or removal from office. The Managers
may, but need not, be Members of the Company. Unless otherwise unanimously approved by the Members, (i) the Board of Managers
shall consist of a total of three (3) Managers, and (ii) two (2) of such Managers shall be elected by JBGL (the “JBGL
Managers”) and, except as otherwise provided herein, one (1) of such Managers shall be elected by TPG (the “TPG
Manager”). Regardless of any other provision of this Agreement to the contrary, including this Section 4.3(a)
or Section 4.3(b), TPG shall have no right to remove the TPG Manager without the prior written consent of the JBGL Managers,
and any Manager appointed or elected by TPG is subject to the approval of the JBGL Managers. The Board of Managers may remove
the TPG Manager at any time after the occurrence of a Removal Event (as defined below), in which event TPG shall have thirty (30)
days to elect a new TPG Manager (subject to the approval of JBGL), and if it fails to do so within such thirty (30) day period
the JBGL Managers may elect the TPG Manager; provided, however, that if an Event of Dissociation (as hereinafter
defined) has occurred as to TPG or TPG is otherwise no longer a Member, then upon any removal of the TPG Manager, JBGL shall have
the right to elect the replacement TPG Manager. A “Removal Event” shall mean:


 






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(i)          A
material violation of any other provisions of this Agreement by the TPG Manager or the President of the Company which causes material
economic harm to the Company and which is not cured within thirty (30) days after written notice to such TPG Manager by the JBGL
Managers;


 


(ii)         Any
act of gross negligence on the part of the TPG Manager or the President of the Company causing material damage to the Company or
any Member;


 


(iii)        Any
act of fraud, theft or willful misconduct committed by the TPG Manager or the President of the Company against the Company or any
of the other Members in connection with the operation of the Company;


 


(iv)        The
conviction of the TPG Manager of a felony; or


 


(v)         The
occurrence of any Event of Dissociation.


 


(b)          Vacancy
on Board of Managers. Subject to Section 4.3(a) above, each Member shall elect
a successor to fill a vacancy on the Board of Managers that results from the death, resignation, or removal from office of any
Manager that such Member elected. Subject to Section 4.3(a), a Manager elected by such Member to fill a vacancy which results
from the removal of a Manager shall serve for the balance of the term of the removed Manager.


 


(c)          Regular
Meetings. After each meeting of the Members at which Managers shall have been elected, the Board of Managers
shall meet as soon as practicable for the purpose of organization and the transaction of other business. In the event that no
time and place are specified by resolution of the Board of Managers or the President (with notice in accordance with Section
4.3(e) hereof), the Board of Managers shall meet immediately following the close of, and at the place of, such Members meeting.
Any other regular meeting of the Board of Managers shall be held on such date and at any place as may be designated from time
to time by the Board of Managers.


 


(d)          Special
Meetings. Special meetings of the Board of Managers may be called at any time by the
President or by any Manager. A special meeting of the Board of Managers shall be held on such date and at any place as may be
designated from time to time by the Board of Managers. In the absence of a designation, such meeting shall be held at such place
as may be designated in the call.


 


(e)          Notice
of Meeting. Except as provided in Section 4.3(c) hereof, the Secretary
shall give notice to each Manager of each regular and special meeting of the Board of Managers. The notice shall state the time,
place and purpose of the meeting. Notice is given to a Manager when it is delivered personally to him or her, left at his or her
residence or usual place of business, or sent by telegraph, facsimile transmission or telephone, at least twenty-four (24) hours
before the time of the meeting or, in the alternative by mail to his or her address as it shall appear on the records of the Company,
at least seventy-two (72) hours before the time of the meeting. Unless a resolution of the Board of Managers provides otherwise,
the notice need not state the business to be transacted at or the purposes of any regular meeting of the Board of Managers. No
notice of any meeting of the Board of Managers need be given to any Manager who attends, except where a Manager attends a meeting
for the express purpose of objecting to the transaction of any business because the meeting is not lawfully called or convened,
or to any Manager who, in a writing executed and filed with the records of the meeting either before or after the holding thereof,
waives such notice. Any meeting of the Board of Managers, regular or special, may adjourn from time to time to reconvene at the
same or some other place, and no notice need be given of any such adjourned meeting other than by announcement.


 




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(f)          Action
by Managers. Unless this Agreement requires a greater proportion, the action of a majority of the Managers present
at a meeting at which a quorum is present is the action of the Board of Managers; provided, however, that so long as Jim
Brickman is one of the JBGL Managers, such majority must include Jim Brickman, or any other Manager as may be designated by JBGL.
A majority of the entire Board of Managers shall constitute a quorum for the transaction
of business. In the absence of a quorum, the Managers present by majority vote and without notice other than by announcement may
adjourn the meeting from time to time until a quorum shall be present. At any such adjourned meeting at which a quorum shall be
present, any business may be transacted which might have been transacted at the meeting as originally notified. Any action required
or permitted to be taken at a meeting of the Board of Managers may be taken without a meeting, if a written consent which sets
forth the action is signed by at least a majority of the members of the entire Board of Managers; provided, however,
that so long as Jim Brickman is one of the JBGL Managers, such majority must include Jim Brickman, or any other Manager as
may be designated by JBGL.


 


(g)          Meeting
by Conference Telephone. Members of the Board of Managers may participate in a meeting by means of a conference
telephone or similar communications equipment if all persons participating in the meeting can hear and speak to each other. Participation
in a meeting by these means constitutes presence in person at a meeting.


 


Section
4.4        No Participation of Members in Business and Affairs of the Company.


 


No Member,
in his or her capacity as such, shall have any authority or right to act for or bind the Company or to participate in or have any
control over Company business, except for (i) such rights to consent to or approve of the actions and decisions of the Board of
Managers as are expressly provided for in this Agreement, and any other rights granted to the Members in this Agreement, and (ii)
such authority to act for and bind the Company as the Board of Managers may, from time to time and in the exercise of its sole
discretion, delegate to such Member in writing.


 


Section
4.5        Other Business of Members and Managers.


 


Except as
otherwise provided in Sections 9.1 and 9.2. hereof or in the Non-Competition and Non-Disclosure Agreement dated
as of the Effective Date by and among the Company, Warren Jolly, and JBGL, or as may otherwise be agreed in writing and notwithstanding
any other duty existing at law or in equity, any Member or Manager and any Affiliate of any Member or Manager may engage in or
possess an interest in other business ventures of any nature or description independently or with others, and neither the Company
nor any Member or Manager shall have any rights in or to such independent ventures or the income or profits derived therefrom,
and, to the fullest extent permitted by law, such activities shall not be construed as a breach of any duty of loyalty or other
duty to the other Members and Managers or the Company.


 




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Section
4.6        Indemnification and Exculpation.


 


(a)          The
Company shall indemnify (i) its Members, Managers and Officers to the fullest extent permitted by law, including, without limitation,
the advance of expenses under the procedures and to the fullest extent permitted by law, and (ii) other employees and agents of
the Company to such extent as shall be authorized by the Board of Managers and is permitted by law. The foregoing rights of indemnification
shall not be exclusive of any other rights to which those seeking indemnification may be entitled. The Board of Managers may take
such action as is necessary to carry out these indemnification provisions and is expressly empowered to adopt, approve and amend
from time to time such resolutions or contracts implementing such provisions or such further indemnification arrangements as may
be permitted by law. No amendment of this Agreement or repeal of any of the provisions thereof shall limit or eliminate the right
to indemnification provided hereunder with respect to acts or omissions occurring prior to such amendment or repeal. The indemnification
shall be payable solely from the assets of the Company and no Member, Manager or Officer shall have any personal liability therefor.


 


(b)          To
the fullest extent permitted by Georgia statutory or decisional law, as amended or interpreted, no Member, Manager or Officer of
the Company shall be personally liable to the Company or any Members for money damages. No amendment of this Agreement or repeal
of any of their respective provisions shall limit or eliminate the limitation on liability provided to the Members, Managers and
Officers hereunder with respect to any act or omission occurring prior to such amendment or repeal.


 


(c)          No
Member, Manager or Officer, nor their Affiliates, nor any of their respective officers, directors, shareholders, partners,
employees, representatives or agents (each, a “Covered Person” and collectively, the “Covered
Persons”) shall be liable to the Company or any other Person who has an interest in the Company and is bound by
this Agreement for any loss, damage or claim incurred by reason of any act or omission performed or omitted by such Covered
Person in good faith on behalf of the Company and in a manner reasonably believed to be within the scope of the authority
conferred on such Covered Person by this Agreement, except that this Section 4.6(c) shall not exculpate a Covered
Person from liability for any such loss, damage or claim incurred by reason of such Covered Person’s willful
misconduct, bad faith or gross negligence.


 


(d)          To
the extent that, at law or in equity, a Covered Person has duties (including fiduciary duties) and liabilities relating thereto
to the Company or to any Member, any such Covered Person acting under this Agreement shall not be liable to the Company or to any
Member for its good faith reliance on the provisions of this Agreement. The provisions of this Agreement to the extent that they
restrict the duties and liabilities of a Covered Person otherwise existing at law or in equity, are agreed by the Members and Managers
to replace such other duties and liabilities of such Covered Person.


 


(e)          Whenever
in this Agreement a Member is permitted or required to make a decision (i) in its “sole discretion” or
“discretion” or under a grant of similar authority or latitude, the Member shall be entitled to consider
only such interests and factors as it desires, including its own interests, and shall have no duty or obligation to give any
consideration to any interest of or factors affecting the Company or any other Member, or (ii) in its “good
faith” or under another express standard, the Member shall act under such express standard and shall not be subject
to any other or different standards imposed by this Agreement or any other agreement contemplated herein or by relevant
provisions of law or in equity or otherwise.


 




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Section
4.7        Tax Matters Member.


 


JBGL is hereby
designated as the “tax matters partner” (as defined in Section 6231 of the Code) of the Company and, in such capacity,
shall exercise all rights conferred, and perform all duties imposed, upon a tax matters partner under Sections 6221 through 6233
of the Code and the Regulations thereunder. JBGL shall serve in a similar capacity to the extent applicable under any state or
local tax laws. All costs incurred by JBGL in its capacity as the “tax matters partner” of the Company (or that are
incurred in a similar capacity under state or local tax laws) shall be borne by the Company.


 


Section
4.8        Current Company Budget and Plan.


 


(a)          Not
later than November 15 of every year, or such other date as determined by the Board of Managers, the President of the Company shall
submit to the Board of Managers for approval, a proposed Current Company Budget and Plan for the twelve (12) month period commencing
on January 1 of the next year, or such other period as may be determined by the Board of Managers. The proposed Current Company
Budget and Plan shall include, among other matters, the projected Funding Amount to be outstanding from time to time during such
year (giving consideration to, among other things, projected construction and sales of homes). The approval of the Current Company
Budget and Plan shall not obligate JBGL or any of its Affiliates to loan or otherwise advance any portion of such projected Funding
Amount; provided, if JBGL or any of its Affiliates elects to make any such loans to the Company or any of its Subsidiaries, such
loans shall be on terms and conditions acceptable to JBGL, but consistent with the economic terms and conditions of any Prior Loan
Agreements (or other terms and conditions unanimously approved by the Board of Managers). Within thirty (30) days after receipt
of the proposed Current Company Budget and Plan, the Board of Managers shall approve, reject or comment upon the proposed Current
Company Budget and Plan and the parties shall endeavor to resolve all differences within fifteen (15) days thereafter. The Board
of Managers may at anytime and for any reason amend the Current Company Budget and Plan. In the event that prior to December 31
of any year, the proposed Current Company Budget and Plan for the next year has not been approved by the Board of Managers, the
Company shall continue to operate in compliance with the then Current Company Budget and Plan (but subject to Section 4.8(b)
below and Section 5.1(c)), subject only to changes to reflect actual increases in taxes, insurance premiums and debt service
payments on any approved Company financings, until approval of the proposed Current Company Budget and Plan.


 




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(b)          Notwithstanding
anything to the contrary contained in this Agreement, the Company shall be entitled to make expenditures in any budget year for
any line item in excess of those contained in a Current Company Budget and Plan equal to five percent (5%) in excess of the amount
set forth in the Current Company Budget and Plan for such line item, provided (i) the aggregate line item increases do not exceed
Fifty Thousand and No/100 Dollars ($50,000) in any budget year and the President of the Company promptly informs each Manager of
such increased expenditure, and (ii) that such excess shall in no way increase the Funding Amount. The President of the Company,
in his good faith judgment, shall also be entitled to make emergency expenditures for items not approved in a Current Company Budget
and Plan where such expenditures are immediately (i) necessary for the preservation or the safety of any property or assets of
the Company, or to avert immediate danger to life at any property owned, leased or operated by the Company, or (ii) required by
any judicial or governmental authority having jurisdiction over any properties or assets of the Company; provided, that
in no event shall any such expenditures be made to TPG or any Affiliate of TPG. If the President of the Company makes any such
emergency expenditures, it shall promptly inform each Manager of such expenditures. Additionally, the President of the Company
shall promptly report to each Manager any event, circumstance, condition or situation which will result in or cause the Company
to incur expenditures materially different than those set forth in the Current Company Budget and Plan, and at such time, if the
Board of Managers approves such expenditures, the expenditures for such line items shall be treated as if they had always been
in the Current Company Budget and Plan, which shall be deemed amended to include them.


 


Section 4.9
       Operations of the Company.


 


The President
of the Company shall have the authority to manage the ordinary day to day business and affairs of the Company related to the Primary
Business, subject to the then Current Company Budget and Plan of the Company and in accordance with the provisions of this Section 4.9
and subject to any other limitations, restrictions or agreements set forth in this Agreement (including, without limitation, Section
4.1(c) and Section 4.9(e) of this Agreement or imposed by the Board of Managers). In furtherance of the foregoing, the
President of the Company, acting on behalf of the Company, with the authority conferred by this Agreement, and consistent with
the Current Company Budget and Plan, shall have authority and responsibility to perform or cause to be performed the following
duties and obligations to the extent applicable based on the Current Company Budget and Plan:


 


(a)          Update
and recommend revisions or amendments to the Current Company Budget and Plan for the Board of Managers’ review and approval
or disapproval, including any such revisions or amendments as may be necessary so that the Current Company Budget and Plan sets
aside adequate reserves and accurately reflects all actual and anticipated costs of operating the Primary Business of the Company.


 


(b)          Notify
the Board of Managers of matters material to the business of the Company and render such reports to the Board of Managers as from
time to time any Manager may reasonably request, including at all times and in any event no less frequently than monthly, keep
each Manager informed of material information relating to the Primary Business of the Company by (i) notifying each Manager, and
delivering to each Manager written copies, of financial statements of the Company and all material contracts and agreements entered
into by the Company or any Subsidiary, and (ii) notifying each Manager concerning any other matters material to the Primary Business
of the Company or the Current Company Budget and Plan of which it is aware.


 


(c)          Manage
and direct the Primary Business of the Company, including collecting all revenues of the Company, constructing, marketing, and
selling individual residential properties to homebuyers, paying all expenses of the Company in conformance with the then Current
Company Budget and Plan, advising the Board of Managers in advance of projected cash needs of the Company, and causing the Company
to operate in accordance with all applicable laws.


 




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Notwithstanding the foregoing,
unless approved by the Board of Managers the President of the Company shall not do any act or take any action which is not part
of the ordinary, day to day operations of the Primary Business of the Company. Without limitation of the immediately preceding
sentence, the President of the Company shall not do any of the following without the consent of the Board of Managers:


 


		(i)	admit any person or entity as a Member of the Company or as a member or other equity interest holder
of any Subsidiary;



 


		(ii)	consent or approve of any transfer of all or any portion of a Membership Interest or other equity
interest in the Company or any Subsidiary;



 


		(iii)	dissolve, wind up, liquidate, or terminate the Company or any Subsidiary;



 


		(iv)	except in accordance with the Current Company Budget and Plan or except pursuant to the Management
Agreements, the Loan Agreement, the Prior Loan Agreements, or as expressly provided in this Agreement, pay any compensation to
any Member or Manager any Affiliate of any Member or Manager;



 


		(v)	change the number of members of the Board of Managers;



 


		(vi)	amend, modify, repeal, or restate this Agreement or any Subsidiary Agreement;



 


		(vii)	except in accordance with the Current Company Budget and Plan, materially alter or expand the Primary
Business of the Company;



 


		(viii)	materially change, amend or waive any of the Management Agreements or allow any Subsidiary to materially
change, amend or waive any of the Management Agreements;



 


		(ix)	except in accordance with the Current Company Budget and Plan make any investment or allow any
Subsidiary to make any investment which is not consistent with the Primary Business;



 


		(x)	incur any debt for borrowed money, grant any liens on the assets of the Company, or interest therein,
in each case other than as expressly provided by this Agreement, the Loan Agreement, or the Prior Loan Agreements; provided,
that the Board of Managers shall not be required to approve any applications for credit, or the execution thereof, with vendors
in the ordinary course of business (provided, that such applications for credit shall not include property loans), the incurring
of ordinary trade payables or accounts payable on the account of ordinary and necessary costs and expenses incurred in connection
with the Company, including salaries, fees and expenses for professional advisors and counsel, officers and employees, which are
incurred in the ordinary course of business and are generally payable within thirty (30) days of the date incurred and which were
approved in a Current Company Budget and Plan;



 




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		(xi)	transfer or agree to transfer all or substantially all of the assets or business of the Company
or any Subsidiary, or engage in a merger, interest exchange, conversion, reorganization or any other form of business combination
with or into any other Person;



 


		(xii)	with regard to the Company or any Subsidiary (A) make a general assignment for the benefit of creditors,
(B) file a voluntary petition in bankruptcy, (C) file a petition or answer seeking for itself, any reorganization, arrangement,
composition, readjustment, dissolution, liquidation or similar relief under any bankruptcy or debtor relief law, (D) file an answer
or other pleading admitting or failing to contest the material allegations of a petition filed against it in any bankruptcy or
insolvency proceeding brought against it, or (E) seek, consent to or acquiescence in the appointment of a trustee, receiver or
liquidator of any of the Company, any Subsidiary or of all or any substantial portion of the Company’s or any Subsidiary’s
assets;



 


		(xiii)	take any action that would cause the Company or any Subsidiary to become a general partner of or
with any Person, or acquire any stock, partnership interest or other interest in any Person;



 


		(xiv)	elect any person as a manager of any Subsidiary; or



 


		(xv)	operate or maintain an office or any operations in Texas.



 


Notwithstanding
the foregoing provisions of this Section 4.9 or any other provision of this Agreement, the Board of Managers may limit,
restrict, remove or expand the authority granted to the President (or any other officer of the Company) pursuant to this Agreement.


 


Section
4.10           Key Man Life Insurance. The Company shall apply for and use its best efforts to obtain Key Man Life Insurance on Warren
Jolly with a death benefit of $1,000,000.00 (or such other amount as may be unanimously approved by the Board of Managers). Premiums
on any such Key Man Life Insurance policies shall be paid by the Company, and the Company shall be the beneficiary under such policies.


 




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Section
4.11          Authority to Acquire Certain Assets and Subsidiary Interests and Obtain Financing. Without the necessity of any
further consent or approval, the President is hereby authorized to cause the Company to (i) execute and deliver that certain
Asset Purchase Agreement dated as of the date hereof by and among the Company, as purchaser, and Jolly Properties, LLC, Jolly
Development Corporation, Inc., and The Providence Group, L.L.C., as sellers, and take all actions necessary or appropriate to
acquire, pursuant to the Asset Purchase Agreement and the documents, agreements and actions contemplated thereby, certain
assets of such sellers as described in such Asset Purchase Agreement, (ii) execute and deliver that certain Membership
Interest Purchase Agreement dated as of the date hereof by and among the Company, as purchaser, and KK&C Investment
Trust, as seller, and take all actions necessary or appropriate to acquire, pursuant to such Membership Interest Purchase
Agreement and the documents, agreements and actions contemplated thereby, 100% of the membership interest in each of the
following: TPG Homes at Abberley, L.L.C., TPG Homes at Three Bridges, L.L.C., and TPG Homes, L.L.C., (iii) execute and
deliver that certain Membership Interest Purchase Agreement dated as of the date hereof by and among the Company, as
purchaser, and TPG Investment Trust, as seller, and take all actions necessary or appropriate to acquire, pursuant to such
Membership Interest Purchase Agreement and the documents, agreements and actions contemplated thereby, 100% of the membership
interest in each of the following: TPG Homes at Jamestown, L.L.C., TPG Homes at Crabapple, L.L.C., TPG Homes at Lavista Walk,
L.L.C., and TPG Homes at Highlands, L.L.C., (iv) execute, of even date herewith, as sole member for each of the
Subsidiaries a form of Amended and Restated Limited Liability Company Operating Agreement in the form agreed to as of the
date hereof, (v) execute and deliver the Management Agreements, or direct the appropriate Subsidiary to execute and deliver
such Management Agreements, (vi) execute and deliver the Consulting Agreement, and (vii) take all actions, obtain all
permits, and execute, deliver and perform all obligations under the Loan Agreement, and all other documents, instruments and
agreements to be entered into pursuant to the Loan Agreement.


 


ARTICLE
V 

RESTRICTIONS ON TRANSFERS


 


Section
5.1           Transfer of Membership Interest.


 


(a)          Except
for the JBGL Preapproved Transfer (as hereinafter defined), without the prior approval of the Board of Managers, which consent
shall be at the Board of Managers’ sole discretion, no Member shall (i) endorse, sell, give, pledge, encumber, assign, transfer
or otherwise dispose of, voluntarily or involuntarily, or by operation of law (excluding a merger or consolidation) (hereinafter
referred to as a “Transfer”) all or any part of such Member’s Membership Interest, or (ii) voluntarily
withdraw or retire from the Company as a Member. The Members hereby consent and approve the transfer by JBGL Builder Finance LLC
of its entire Membership Interest in the Company to JBGL TPG Ownership LLC, a Delaware limited liability company (the “JBGL
Preapproved Transferee”), at any time after the Effective Date of this Agreement (such transfer being referred to herein
as the “JBGL Preapproved Transfer”). Upon completion of such JBGL Preapproved Transfer, (x) the JBGL Preapproved
Transferee shall succeed to all the rights, title and interest of JBGL Builder Finance LLC under this Agreement as the holder of
the Membership Interest of JBGL under this Agreement, (y) the JBGL Preapproved Transferee shall be admitted as a Member of the
Company without the requirement of any further action or obtaining any further approvals or consents (provided, that the
Company and TPG shall take such further actions and execute and deliver such additional documents, instruments and agreements as
may be requested by JBGL or such JBGL Preapproved Transferee in connection with such JBGL Preapproved Transfer), and (z) JBGL Builder
Finance LLC shall thereafter be released from all of its duties, liabilities and obligations under this Agreement.


 


(b)          Any
attempted Transfer or withdrawal in contravention of this Agreement shall be void ab initio and shall not bind or be recognized
by the Company.


 




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(c)          The
Membership Interest of each Member (each an “Optionor Member”) is further subject to an option to purchase
(a “Purchase Option”) in favor of all other Members (each an “Optionee Member”), which Purchase
Option may be exercised upon the occurrence of a Purchase Event (as hereinafter defined) without respect to such Optionor Member.
Each Optionor Member agrees to give the Optionee Members written notice of the occurrence of a Purchase Event with respect to
such Optionor Member within ten (10) days thereafter; provided, that the failure or delay in delivering such notice shall
not limit the Optionee Members’ rights under this Section 5.1(c). Within sixty (60) days after the Optionee Members
receive written notice of the occurrence a Purchase Event with respect to any Optionor Member, any Optionee Member may give written
notice (the “Purchase Notice”) to Optionor Member (and/or the estate, representative, receiver or assignee
of Optionor Member) that it will purchase the Membership Interest which was owned by Optionor Member (and/or the estate, representative,
receiver or assignee of Optionor Member) immediately prior to such Purchase Event (the “Subject Option Membership
Interest”). If more than one Optionee Member elects to purchase the Subject Option Membership Interest which is offered
and provides a Purchase Notice (each such Optionee Member so electing, an “Option Purchasing Member”), unless
otherwise agreed between all the Option Purchasing Members, each Option Purchasing Member may purchase their respective pro rata
share (based upon each such Option Purchasing Member’s Membership Interest compared to the total Membership Interests of
all Option Purchasing Members) of the Subject Option Membership Interest. Upon the exercise of the Purchase Option by any Option
Purchasing Member, Optionor Member (and/or the estate, representative, receiver or assignee of Optionor Member) will have the
obligation to sell the Subject Option Membership Interest to the Option Purchasing Member(s), subject to the right of such Optionor
Member to cure a curable Default Purchase Event, within thirty (30) days of the Purchase Notice. If no Optionee Member provides
a Purchase Notice within such sixty (60) day period, the Purchase Option shall be of no further force or effect with respect to
such Purchase Event, but shall continue in full force and effect with respect to any future Purchase Events, and Optionor Member
will continue as a Member, subject to the applicable provisions of this Section 5.1(c) with respect to any other Purchase
Event.


 


“Purchase
Event” shall mean, as to each Optionor Member, the occurrence of any of the following:


 


		(i)	such Member (but not Warren Jolly so long as he is not a Member) shall: (A)
make an assignment for the benefit of creditors; (B) file a voluntary petition in bankruptcy; (C) be adjudicated bankrupt or
insolvent; (D) file a petition or answer seeking for such member any reorganization, arrangement, composition, readjustment,
liquidation, dissolution, or similar relief pursuant to any statute, law, or regulation; (E) file an answer or other pleading
admitting or failing to contest the material allegations of a petition filed against such Member in any proceeding of this
nature; (F) be convicted of a felony; (G) seek, consent to, or acquiesce in the appointment of a trustee (in the context of
bankruptcy or a receivership), receiver, or liquidator of the Member or of all or any substantial part of such Member's
properties;



 


		(ii)	if, within one hundred twenty (120) days after the commencement of any proceeding against such
Member seeking the reorganization, arrangement, composition, readjustment, liquidation, dissolution, or similar relief pursuant
to any statute, law, or regulation, the proceeding shall not have been dismissed, or if within ninety (90) days after the appointment
without his consent or acquiescence of a trustee, receiver, or liquidator of such Member or of all or any substantial part of his
properties, the appointment shall not be vacated or stayed, or within ninety (90) days after the expiration of any stay, the appointment
shall not be vacated;



 




    	- 28 -



    	 



    

 


		(iii)	such Member shall encumber or attempt to encumber his Membership Interest or any portion thereof
without the prior approval required by Section 5.1;



 


		(iv)	such Member, or in the case of the Membership Interest of TPG, Warren Jolly, shall die or there
shall be entered an order by a court of competent jurisdiction adjudicating such Member (or with respect to TPG only, Warren Jolly)
incompetent to manage his person or his property, or such Member (or with respect to TPG only, Warren Jolly) having a guardian
appointed for his person;



 


		(v)	the divorce of said Member or, with respect to TPG, Warren Jolly, which results in the transfer
of all or any portion of his or her interest in the Company (or in any Member of the Company) to his or her spouse (or former spouse);



 


		(vi)	such Member, if an entity, shall dissolve, liquidate, or wind up;



 


		(vii)	such Member or, with respect to TPG, TPG or Warren Jolly, being convicted of a felony or other
crime involving moral turpitude;



 


		(viii)	with respect to TPG only, the
                                         material violation by Warren Jolly, any entity controlled by Warren Jolly, TPG, or any
                                         trust of which Warren Jolly is a beneficiary or trustee, of (A) his obligations as President
                                         of the Company under Section 4.9 hereof of the Company, (B) any non-compete provision
                                         of any agreement benefiting the Company or JBGL, or (C) any of the Management Agreements
                                         (provided, however, that as to the Management Agreements, the material
                                         violation shall be limited to the failure to pay monies due the Company or its Subsidiaries);
                                         or



 


		(ix)	such Member shall have failed to pay any Claw Back Amount when due.



 


The
price payable (the “Purchase Price”) for the Subject Option Membership Interest purchased pursuant to this
Section 5.1(c) shall be an amount equal to the remainder of (i) the amount that would be distributed to such Optionor Member
pursuant to Section 6.2(a) hereof upon liquidation of the Company, assuming that all of properties and assets of the Company
were sold and disposed of for Discounted Fair Market Value (as hereinafter defined) and the Company was liquidated (less all estimated
costs and expenses of sale of the properties and assets of the Company and the liquidation and winding up of the Company), minus
(ii) the aggregate amount of distributions made by the Company to the Optionor Member from the date of the Purchase Event to the
date of purchase. As used herein, the Discounted Fair Market Value of the properties and assets of the Company shall be an amount
equal to the product of (i) seventy-five percent (75%), multiplied by (ii) the fair market value of all properties and assets
of the Company.


 




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The
fair market value of the properties and assets of the Company shall be either (A) the amount agreed upon by the Optionor Member
and the Option Purchasing Member(s) or (B) if no agreement can be reached within fifteen (15) days of the date that the Purchase
Notice is given, the amount determined by an Appraiser (as hereinafter defined) selected jointly by two Appraisers, one of which
shall be selected by the Optionor Member and the other of which shall be selected by the Option Purchasing Member(s); provided,
that if either the Optionor Member or the Option Purchasing Member(s) fail to designate an Appraiser within ten (10) days after
the end of such fifteen (15) day period, then the Appraiser selected by the other party shall be the Appraiser who shall determine
the fair market value of the properties and assets of the Company. The Appraiser shall produce his “Appraisal Report”
(herein so called) of the properties and assets of the Company within thirty (30) days of his selection. The date of either (i)
agreement by the Optionor Member and the Option Purchasing Member(s) as to the fair market value of the properties and assets of
the Company, or (ii) the issuance of an Appraisal Report, shall be the “Price Determination Date” with respect
to the Purchase Event. As used in this Agreement, an “Appraiser” shall mean a MAI certified appraiser with not
less than ten (10) years experience in appraising properties of the type owned by the Company and its Subsidiaries.


 


If
any Optionee Member delivers the Purchase Notice, the closing of the purchase of the Subject Option Membership Interest shall
occur on a date which is no later than thirty (30) days after the Price Determination Date. Such closing shall take place at Principal
Office of the Company or at such other place as the Optionor Member and the Option Purchasing Member(s) may agree. At such closing,
the Purchase Price for the Subject Option Membership Interest will be payable conditioned upon the execution, acknowledgement
and delivery of all documents, instruments and agreements that the transferee, determines to be necessary or appropriate to evidence
and render fully effective the sale, assignment and transfer of the Subject Option Membership Interest to the Option Purchasing
Member(s). Optionor Member will pay one-half (1⁄2) of any fees due to transfer taxes, recording fees, legal fees for preparation
of agreements and instruments and other fees and expenses (including legal and accounting fees) incurred by the Option Purchasing
Member(s) in connection with the purchase, assignment and transfer of the Subject Option Membership Interest pursuant to this
Section 5.1(c), with the remainder of said costs and fees being paid pro-rata (based upon each such Option Purchasing Member’s
Membership Interest compared to the total Membership Interests of all purchasing Option Purchasing Members) by the Option Purchasing
Member(s). Optionor Member (and any other transferor) will pay its own costs and expenses incurred in connection with any purchase,
assignment and transfer under this Section 5.1(c). Each of the Members shall execute from time to time any amendment to
this Agreement to reflect any adjustment to the Membership Interests resulting from a purchase pursuant to this Section 5.1(c).


 


Each
Member agrees and acknowledges that the Purchase Price to be determined in accordance with, and paid pursuant to, the provisions
of this Section 5.1(c) is fair as to dates used, notices, terms, price and in all other respects. Each Member waives any
right, at law or equity that he may have to use any other method to determine the Purchase Price in connection with the application
of this Section 5.1(c).


 


(d)          It
is expressly agreed that the remedy at law for breach of any of the obligations set forth in this Section 5.1 is inadequate
in view of (i) the complexities and uncertainties in measuring the actual damages that would be sustained by reason of the failure
of a Member to comply folly with each of said obligations, and (ii) the uniqueness of the Company’s business. Accordingly,
each of the aforesaid obligations shall be, and is hereby expressly made, enforceable by specific performance.


 




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Section
5.2           Admission of Transferee.


 


If
a Member transfers all or any part of such Member’s limited liability company interest in the Company in accordance with
the requirements of Section 5.1 hereof, the transferee shall be admitted to the Company as a Member of the Company upon
its execution of an instrument, as required by the Board of Managers, signifying such transferee’s agreement to be bound
by the terms and conditions of this Agreement, which instrument may be a counterpart signature page to this Agreement. Such admission
shall be deemed effective immediately upon execution of such instrument and, immediately following such admission, the transferor
Member shall cease to be a Member of the Company.


 


Section
5.3           Withdrawal of Capital or as a Member.


 


Except
as expressly provided in this Agreement or as otherwise agreed by the Members, no Member shall be entitled to withdraw capital
or to receive distributions of or against capital without the prior written consent of, and upon the terms and conditions agreed
upon by, all Members. The Members have (i) no right under Section 14-11-1002 of the LLC Act to withdraw or resign and receive the
fair value of their Membership Interests, and further hereby waive any dissenters’ rights pursuant to the LLC Act or otherwise,
(ii) no right to demand or receive any distribution from the Company in any form other than cash and in accordance with the provisions
of this Agreement concerning distributions, and (iii) no right under Section 14-11-409 of the LLC Act to become a creditor of the
Company with respect to distributions owed them.


 


Section
5.4           Dissociation of a Member.


 


(a)          Each
of the following events shall be an “Event of Dissociation” (herein so called) with respect to TPG:


 


		(i)	Any Purchase Event occurs with respect to TPG, regardless of whether a Member exercises the Purchase
Option, subject of the right of TPG to receive notice of a Default Purchase Event and the opportunity within thirty (30) days of
such notice to cure such curable Default Purchase Event;



 


		(ii)	TPG shall have a garnishment, lien, charging order or similar device issued against it or its equity
interest in any asset;



 


		(iii)	TPG shall breach any other term or condition of this Agreement which shall not be cured, with respect
to monetary defaults, within ten (10) days, and, with respect to non-monetary defaults, within thirty (30) days, after notice to
such Member of such breach;



 


		(iv)	TPG shall have a judgment awarded against it in any capacity in an amount that would threaten the
solvency of TPG, as determined by the Board of Managers in its sole discretion;



 




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		(v)	TPG shall commit any other act in violation of such Member’s duties of good faith and care to
the Company or the other Members; or



 


		(vi)	such Member shall have received the consent of the Board of Managers to withdraw from the Company.



 


(b)          If
TPG is subject to an Event of Dissociation, it shall lose all Management Rights, and shall have no right to participate in the
management of the business and affairs of the Company; provided, that in such event (i) TPG shall remain entitled to receive
allocations of profit, income, gain, loss, deduction and tax credit, and distributions of Net Operating Profits or assets upon
liquidation pursuant to Section 6.2 hereof attributable to its Membership Interest, and (ii) shall remain obligated to pay
and perform all duties, obligations and liabilities of TPG (or attributable to its Membership Interest) under this Agreement.


 


(c)          If
approved by the Board of Manager, a holder of a Membership Interest without any Management Rights, including a Member subject
to dissociation pursuant to Section 5.4(b) hereof, may be admitted as a “Substitute Member” and admitted to
all the rights of the Member assigning the Membership Interest or, as the case may be, to which such Member was entitled prior
to dissociation in accordance with Section 5.4(b) hereof, with the consent of the Board of Managers and all Members other than
the Member with respect to which the Event of Dissociation has occurred, and the execution and acknowledgment by the Substitute
Member of an instrument, as required by the Board of Managers, signifying such person’s agreement to be bound by the terms
and conditions of this Agreement, which instrument may be a counterpart signature page to this Agreement. If so admitted, the
Substitute Member shall have all of the rights and powers, and shall be subject to all the restrictions and liabilities, of the
Member assigning the Membership Interest or, as the case may be, of such Member in the case of dissociation pursuant to Section
5.4(b). Except as otherwise agreed to by the unanimous consent of the Members, the admission of a Substitute Member shall not
release the Member assigning the Membership Interest from any liability to the Company which such assigning Member shall have
had prior to such admission.


 


ARTICLE
VI 

DISSOLUTION OF THE COMPANY


 


Section
6.1           Dissolution.


 


(a)          The
Company may be dissolved at any time upon the occurrence of any of the following events (each, a “Dissolution Event”):


 


(i)          the
election by the Board of Managers to dissolve, wind-up and terminate the Company;


 


(ii)         the
election of JBGL pursuant to Section 9.3(a) hereof;


 


(iii)        the
termination of the legal existence of the last remaining Member of the Company or the occurrence of any other event which terminates
the continued membership of the last remaining Member of the Company in the Company unless the business of the Company is continued
in a manner permitted by this Agreement or the LLC Act; or


 




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(iv)          the
entry of a decree of judicial dissolution under Section 14-11-603 of the LLC Act.


 


(b)          Except
as and to the extent otherwise provided in Section 5.4 hereof, the Bankruptcy of a Member shall not cause such Member to
cease to be a Member of the Company and upon the occurrence of such an event, the business of the Company shall continue without
dissolution. Notwithstanding any other provision of this Agreement, the Members waive any right that they might have under the
LLC Act to agree in writing to dissolve the Company upon the Bankruptcy of such Members. “Bankruptcy” means,
with respect to any Member, if such Member (i) makes an assignment for the benefit of creditors, (ii) files a voluntary petition
in bankruptcy, (iii) is adjudged bankrupt or insolvent, or has entered against it an order for relief, in any bankruptcy or insolvency
proceeding, (iv) files a petition or answer seeking for itself any reorganization, arrangement, composition, readjustment, liquidation,
dissolution or similar relief under any statute, law or regulation, (v) files an answer or other pleading admitting or failing
to contest the material allegations of a petition filed against it in any proceeding of this nature, (vi) seeks, consents
to or acquiesces in the appointment of a trustee, receiver or liquidator of the Member or of all or any substantial part of its
properties, or (vii) one hundred twenty (120) days after the commencement of any proceeding against the Member seeking reorganization,
arrangement, composition, readjustment, liquidation, dissolution or similar relief under any statute, law or regulation, if the
proceedings have not been dismissed, or if within ninety (90) days after the appointment without such Member’s consent or
acquiescence of a trustee, receiver or liquidator of such Member or of all or any substantial part of its properties, the appointment
is not vacated or stayed, or within ninety (90) days after the expiration of any such stay, the appointment is not vacated.


 


(c)          Upon
the occurrence of any event that causes the last remaining Member of the Company to cease to be a Member of the Company (other
than upon an assignment by the Member of all of its limited liability company interest in the Company and the admission of the
transferee pursuant to Sections 5.1 and 5.2), then to the fullest extent permitted by law, the personal representative
of such Member is hereby authorized to, and shall, within ninety (90) days after the occurrence of the event that terminated the
continued membership of such Member in the Company, agree in writing (i) to continue the Company and (ii) to the admission of
the personal representative or its nominee or designee, as the case may be, as a substitute Member of the Company, effective as
of the occurrence of the event that terminated the continued membership of the last remaining Member of the Company.


 


Section
6.2           Liquidation and Termination.


 


(a)          Upon
the dissolution of the Company, the Officers and Managers of the Company shall cause the Company to liquidate by converting
the assets of the Company to cash or its equivalent and arranging for the affairs of the Company to be wound up with
reasonable speed but with a view towards obtaining fair value for the Company’s assets, and, after satisfaction
(whether by payment or by establishment of reserves therefor) of creditors, including Members who are creditors, shall
distribute the remaining assets to and among the Members as follows:


 




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(i)          First,
to the Members pro rata in accordance with their respective then Undistributed Preferred Return, in such amounts and until such
times as each Member’s Undistributed Preferred Return has been reduced to zero (0);


 


(ii)         Next,
to the Members pro rata in accordance with the Members’ proportionate Unreturned Capital Contributions in such amounts, and
until such time, as each Member’s Unreturned Capital Contributions have been reduced to zero (0); and


 


(iii)        Thereafter,
to the Members pro rata in accordance with their respective Percentage Interests.


 


All
distributions in kind to the Members shall be made subject to the liability of each distributee for costs, expenses, and liabilities
theretofore incurred or for which the Company has committed prior to the date of termination. The distribution of cash and/or
property to a Member in accordance with the provisions of this Section 6.2(a) constitutes a complete return to the Member
of its Capital Contributions and a complete distribution to the Member of its Membership Interest and all the Company’s
property.


 


(b)          Each
Member shall look solely to the assets of the Company for all distributions with respect to the Company and such Member’s
capital contribution thereto and share of profits, gains and losses thereof and shall have no recourse therefor (upon dissolution
or otherwise) against any other Member.


 


(c)          The
Company shall terminate when (i) all of the assets of the Company, after payment of or due provision for all debts, liabilities
and obligations of the Company shall have been distributed to the Members in the manner provided for in this Agreement, and (ii)
the Articles of Organization shall have been canceled in the manner required by the LLC Act.


 


ARTICLE
VII

BOOKS AND RECORDS; ACCOUNTING,


TAX
ELECTIONS, ETC.


 


Section
7.1          Books, Records and Reports.


 


(a)          The
Company shall keep correct and complete books and records of its accounts and transactions and minutes of the proceedings of its
Members and Board of Managers and of any executive or other committee when exercising any of the powers of the Board of Managers.
The books and records of the Company may be in written form or in any other form which can be converted within a reasonable time
into written form for visual inspection. The original or a certified copy of this Agreement shall be kept at the principal office
of the Company or at such other place designated by the President of the Company. The books and records of the Company shall be
maintained by the Secretary of the Company and shall be available for examination by any Member or Manager, or its duly authorized
representatives, during regular business hours.


 


(b)          At
the request of any Member, the President of the Company or other appropriate Officer shall prepare or cause to be prepared and
shall furnish to the Members within ninety (90) days of the end of each fiscal year (i) a balance sheet and report of the receipts,
disbursements, profits or losses of the Company, and each Member’s share of such items for the fiscal year, and (ii) information
necessary for the Members to prepare their respective federal and state income tax returns. The cost of such financial and tax
reports shall be an expense of the Company.


 




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Section
7.2           Banks Accounts, Checks, Drafts, Etc.


 


The
bank accounts for the Company shall be maintained in accounts in the name of and under the tax identification number for the Company
in such banking institutions as the Managers or the appropriate Officers shall determine. Any resolutions prepared by the banking
institutions in relation to the opening of such accounts are hereby adopted as the resolutions of the Board of Managers. All checks,
drafts and orders for the payment of money, notes and other evidences of indebtedness, issued in the name of the Company, shall
be signed by such Officers or such other Persons as may be authorized by the Board of Managers from time to time.


 


Section
7.3           Fiscal Year; Methods of Accounting.


 


The
fiscal year of the Company shall be the year ending December 31, unless otherwise determined by the Board of Managers. The method
of accounting to be used in keeping the books of the Company shall be determined by the Board of Managers in accordance with applicable
law.


 


Section
7.4           Segregation of Moneys; Interest.


 


All
moneys received by the Managers hereunder shall be kept segregated in the Company’s accounts and may be deposited under such
general conditions as may be prescribed by law, and the Managers shall not be liable for any interest thereon. Furthermore, in
no event shall moneys of the Company be commingled with moneys of the Members or the Managers.


 


ARTICLE
VIII

GENERAL PROVISIONS





Section
8.1          Binding Provisions.


 


The
provisions of this Agreement shall be binding upon and inure to the benefit of the heirs, personal representatives, successors
and assigns of the Members, Managers and Officers.


 


Section
8.2          Separability of Provisions.


 


Each
provision of this Agreement shall be considered separable; and if for any reason any provision or provisions herein are determined
to be invalid and contrary to any existing or future law, such invalidity shall not impair the operation of or affect any other
provisions of this Agreement.


 


Section
8.3          Attorney’s Fees; Waiver of Jury Trial; Arbitration.


 


(a)          In
the event of any litigation or other proceeding, including arbitration, between the Members to enforce or interpret any provision
or right hereunder, the unsuccessful party to such litigation or proceeding, including arbitration, covenants and agrees to pay
the successful party all costs and expenses reasonably incurred, including reasonable attorneys’ fees and disbursements.


 




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(b)          EACH
MEMBER HEREBY WAIVES TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM BROUGHT BY EITHER OF THE PARTIES AGAINST THE OTHER
IN CONNECTION WITH ANY MATTER WHATSOEVER ARISING OUT OF OR IN ANY WAY CONNECTED WITH THIS AGREEMENT, THE RELATIONSHIP OF THE MEMBERS
OR ANY CLAIM OF INJURY OR DAMAGE RELATING TO ANY OF THE FOREGOING, OR THE ENFORCEMENT OF ANY REMEDY UNDER ANY STATUTE WITH RESPECT
THERETO.


 


(c)          ANY
CONTROVERSY OR CLAIM BETWEEN THE COMPANY AND ANY OF THE MEMBERS, OR BETWEEN ANY OF THE MEMBERS, ARISING OUT OF OR RELATING TO THIS
AGREEMENT OR ANY AGREEMENTS OR INSTRUMENTS EXECUTED OR DELIVERED IN CONNECTION HEREWITH, OR RELATED AGREEMENTS OR INSTRUMENTS REFERRED
TO IN OR WHICH PERTAIN TO THIS AGREEMENT OR THE COMPANY, OR THE TRANSACTIONS DESCRIBED HEREIN OR THEREIN, INCLUDING BUT NOT LIMITED
TO ANY CLAIM BASED ON OR ARISING FROM AN ALLEGED TORT, SHALL BE DETERMINED BY BINDING ARBITRATION IN DALLAS, TEXAS, THE ARBITRATION
SHALL BE ADMINISTERED BEFORE THREE ARBITRATORS WITH NOT LESS THAN FIFTEEN (15) YEARS EXPERIENCE AS ATTORNEYS AND/OR JUDGES BY JAMS
OR ANOTHER ARBITRATION SERVICE ACCEPTABLE TO ALL PARTIES TO THE ARBITRATION. ALL STATUTES OF LIMITATIONS WHICH WOULD OTHERWISE
BE APPLICABLE SHALL NOT APPLY TO ANY ARBITRATION PROCEEDING UNDER THIS SECTION 8.3. JUDGMENT UPON THE AWARD RENDERED BY THE ARBITRATOR
MAY BE ENTERED IN ANY COURT HAVING JURISDICTION.


 


Section
8.4           Rules of Construction.


 


Unless
the context clearly indicates to the contrary, the following rules apply to the construction of this Agreement:


 


(i)           References
to the singular include the plural, and references to the plural include the singular.


 


(ii)          Words
of the masculine gender include correlative words of the feminine and neuter genders.


 


(iii)         The
headings or captions used in this Agreement are for convenience of reference and do not constitute a part of this Agreement, nor
affect its meaning, construction, or effect.


 


(iv)          References
to a person include any individual, corporation, partnership, limited liability company, joint venture, association, joint stock
company, trust, unincorporated organization or government or agency or political subdivision thereof.


 


(v)           Any
reference in this Agreement to a particular “Article,” “Section” or other subdivision shall be to such
Article, Section or subdivision of this Agreement unless the context shall otherwise require.


 




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(vi)           Any
use of the word “including,” “include” or “includes” in this Agreement shall not be construed
as limiting the phrase so modified to the particular items or actions enumerated, and should be interpreted in a non-exclusive
manner as though the words “but [is] not limited to” immediately followed the same.


 


(vii)          When
any reference is made in this document or any of the schedules or exhibits attached to this Agreement, it shall mean this Agreement,
together with all other schedules and exhibits attached hereto, as though one document.


 


Section
8.5           Entire Agreement; Amendments.


 


(a)          This
Agreement constitutes the entire agreement with respect to the subject matter hereof.


 


(b)          This
Agreement and the Articles of Organization (except as required by law) may be modified or amended only pursuant to a written amendment
adopted by the Board of Managers and approved in writing by all Members. Once an amendment to this Agreement and/or the Articles
of Organization has been approved, the proper Officers of the Company shall authorize the preparation and filing, if necessary,
of a written amendment to this Agreement and/or the Articles of Organization, as applicable.


 


Section
8.6          Applicable Law.


 


This
Agreement shall be construed and enforced in accordance with the laws of the State of Georgia, without regard to conflict of law
principles.


 


Section
8.7         Agreement Binding and Enforceable.


 


Notwithstanding
any other provision of this Agreement, the Initial Members agree that this Agreement constitutes a legal, valid and binding agreement
of the Initial Members, and is enforceable against the Initial Members by the Managers in accordance with its terms.


 


Section
8.8         Confidentiality.


 


The
parties shall not disclose the terms of this Agreement or the Management Agreements to any Person, except (i) as may
otherwise be required by law, regulation or court order, (ii) to a bona fide potential lender of the Company or its
Subsidiaries and its counsel and advisors, (iii) to its employees, officers, directors, members, managers, owners and third
parties including financial advisors, potential financing sources, potential transferees, accountants or attorneys who are
advised of the confidential nature of the terms of this Agreement, or (iv) to the extent necessary for the parties to perform
their respective duties hereunder. Notwithstanding the foregoing, any Member (and any employee, representative or other agent
of any Member) may disclose to any and all persons, without limitation of any kind, the tax treatment and tax structure of
the transactions contemplated by this Agreement and all materials of any kind (including opinions or other tax analyses) that
are provided to any Member relating to such tax treatment and tax structure; provided, however, that any such
information shall be kept confidential to the extent necessary to comply with any applicable securities laws.


 




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Section
8.9           Publicity.


 


Neither
the Company, the Members nor any of their respective Affiliates may issue any public statement or press release regarding the Company,
the Company’s business, or the Subsidiaries, without the prior consent of all Members, except as required by law or any competent
governmental authority (provided that in such event, the disclosing party shall give the other Member or the applicable Affiliate
advance notice of such disclosure).


 


Section
8.10         Limitations on TPG Investment Trust.


 


Without
the prior written consent of the Board of Managers, so long as TPG is a Member of the Company, TPG shall not incur any debt for
borrowed money, or grant any liens on the assets of TPG.


 


Section
8.11         Counterparts.


 


To
facilitate execution, this instrument may be executed in as many counterparts as may be convenient or required. It shall not be
necessary that the signature of, or on behalf of, each party, or that the signature of all persons required to bind any party appear
on each counterpart. All counterparts shall collectively constitute a single instrument. It shall not be necessary in making proof
of this instrument to produce or account for more than a single counterpart containing the respective signatures of, or on behalf
of, each of the parties hereto. Any signature page to any counterpart may be detached from such counterpart without impairing the
legal effect of the signatures thereon and thereafter attached to another counterpart identical thereto except having attached
to it additional signature pages.


 


Section
8.12 No Effect on Loans. The Members acknowledge that JBGL Builder Finance and certain other Affiliates of JBGL have acquired
and/or made, and in the future may acquire and/or make, loans to the Company and certain of its Subsidiaries. The Members specifically
agree that the relationship of JBGL Builder Finance and its Affiliates as a lender to the Company or any of its Subsidiaries shall
not be affected in any way by this Agreement or by the fact that JBGL is a Member in the Company, and nothing contained herein
or in any way related to JBGL serving as a Member in the Company shall (i) limit any rights or remedies of JBGL Builder Finance
or any of its Affiliates under or pursuant to any documents, instruments or agreements related to, evidencing or securing any
such loans, or (ii) limit the duties, obligations or liabilities of the Company or any Subsidiary or any other obligor pursuant
to any such documents, instruments or agreements related to, evidencing or securing any such loans.


 




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ARTICLE
IX 

Other JBGL Provisions 


 


Section
9.1           Right of First Offer for Lot Sales.


 


(a)          If
JBGL or any other JBGL Entity intends to sell any developed but unimproved residential lot(s) owned by such JBGL Entity in the
states of Georgia or South Carolina (the “Subject Lot(s)"), then JBGL will have an obligation to offer,
or direct such other JBGL Entity to offer, to the Company, or to a Subsidiary of the Company, the right to purchase such Subject
Lot(s) for a purchase price and upon such other terms and conditions as are determined by JBGL (provided, that such purchase
price shall not exceed an amount that would yield a net internal rate of return (as reasonably determined by JBGL) to the JBGL
Entity of 21% on the total investment in such Subject Lot(s)). Any offer made pursuant to this Section 9.1 shall be delivered
in writing to the Company (the “Purchase Opportunity Notice”). If the President of the Company determines that
the Company intends to purchase the Subject Lots, the President of the Company shall notify JBGL thereof in writing within ten
(10) Business Days after delivery of the Purchase Opportunity Notice (the “Lot Purchase Notice”), in which
event, the JBGL Entity and the Company, or its designated Subsidiary, shall enter into a contract of purchase and sale for the
Subject Lot(s) upon the purchase price and terms and conditions described in the Purchase Opportunity Notice within thirty (30)
days thereafter or such later date as determined by the mutual agreement of the parties. If a Lot Purchase Notice is not delivered
by the President of the Company to JBGL within such ten (10) Business Day period, then the Company shall be deemed to have declined
to participate in such purchase opportunity, and thereafter, the JBGL Entity shall be permitted to sell such Subject Lot(s), for
a purchase price not less than the purchase price set forth in such Purchase Opportunity Notice (unless an additional Purchase
Opportunity Notice is given with respect to such Subject Lot(s)), and on any other terms and conditions as determined by JBGL,
to any Person, whether a competitor of the Company or otherwise, and neither the Company nor any other Member or Manager nor any
Affiliate of any other Member or Manager will have any right, by virtue of this Agreement or the relationship created by this
Agreement or otherwise, with respect to any such Subject Lot(s) or the sale thereof. Notwithstanding the foregoing, the provisions
of this Section 9.1(a) shall not apply with respect to any residential lots (and such residential lots shall not be “Subject
Lots”) which (i) were the subject of a Lot Purchase Notice if the Company (or one of its Subsidiaries) does not enter into
a contract of purchase and sale within the thirty (30) day period described above, (ii) were the subject of a contract of purchase
and sale between the Company (or any of its Subsidiaries) and any JBGL Entity but were not purchased, for any reason other than
a default by the JBGL Entity, pursuant to such contract of purchase and sale, or (iii) were purchased by the Company (or one of
its Subsidiaries) but subsequently acquired by any JBGL Entity as a result of a foreclosure (or any similar proceeding or action)
or a deed in lieu of foreclosure.


 


(b)          Notwithstanding
the foregoing, the provisions of Section 9.1(a) shall expire and terminate on the earliest to occur of (i) the date of the
termination of this Agreement, (ii)the date of the occurrence of a Dissolution Event (as defined in Section 6.1(a) hereof), (iii)
the date either TPG or JBGL is no longer a Member of the Company, (iv) the date of the occurrence of a Purchase Event as to TPG,
(v) the occurrence of a default (after the expiration of all applicable cure periods) by the Company or any Subsidiary of the Company
under either (A) a contract to purchase lots from any JBGL Entity or any Affiliate of a JBGL Entity, or (B) a loan from any JBGL
Entity or any Affiliate of a JBGL Entity, (vi) any date on which either (A) the projected Funding Amount in the Current
Company Budget and Plan is less than Twenty Million and 00/100 Dollars ($20,000,000.00), or (B) if JBGL and/or any other JBGL Entity
has provided (or provided a written commitment to provide) all funds requested by the President of the Company on a per project
basis with respect to the Company or any of its Subsidiaries for home construction projects budgeted in the then Current Company
Budget and Plan, the then current Funding Amount is less than Twenty Million and 00/100 Dollars ($20,000,000.00), or (vii)
the delivery of a Break-Up Notice (as hereinafter defined).


 


(c)          In
the event of any breach of the provisions of Section 9.1(a) by JBGL or any other JBGL Entity, then as the sole and exclusive
remedy of the Company or any Member of the Company, JBGL shall be obligated to pay to the Company an amount equal to any net profit
it made from the sale of the Subject Lot(s) sold in violation of Section 9.1 (a).


 




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Section
9.2           Covenant Not to Make Certain Loans.


 


(a)          JBGL
agrees that neither JBGL nor any other JBGL Entity shall provide financing or agree to provide financing to other competing builders
with respect to residential lots located in the states of Georgia or South Carolina without the unanimous consent of the Board
of Managers; provided, however, that any financing, funding, loans, commitments, or agreements to make any loans
existing as of the Effective Date with respect to property located in Georgia or South Carolina shall in no event be deemed a
violation of this Section 9.2(a). Notwithstanding the foregoing, the provisions of this Section 9.2(a) shall
expire and terminate on the earliest to occur of (i) the date of the termination of the Agreement, (ii) the date of the occurrence
of a Dissolution Event, (iii) the date either TPG or JBGL is no longer a Member of the Company, (iv) the date of the occurrence
of a Purchase Event as to TPG, (v) the occurrence of a default (after the expiration of all applicable cure periods) by the Company
or any Subsidiary of the Company under either (A) a contract to purchase lots from any JBGL Entity or any Affiliate of a JBGL
Entity, or (B) a loan from any JBGL Entity or any Affiliate of a JBGL Entity, (vi) any date on which either (A) the projected
Funding Amount in the Current Company Budget and Plan is less than Twenty Million and 00/100 Dollars ($20,000,000.00), or (B)
if JBGL and/or any other JBGL Entity has provided (or provided a written commitment to provide) all funds requested by the President
of the Company on a per project basis with respect to the Company or any of its Subsidiaries for home construction projects budgeted
in the then Current Company Budget and Plan, the then current Funding Amount is less than Twenty Million and 00/100 Dollars ($20,000,000.00),
or (vii) the delivery of a Break-Up Notice.


 


(b)          In
the event of any breach of the provisions of Section 9.2(a) by any JBGL Entity, then as the sole and exclusive remedy of
the Company or any Member of the Company, JBGL shall be obligated to pay to the Company an amount equal to any net profit made
by any JBGL Entity from the financing provided in violation of Section 9.2(a).


 


Section
9.3           Break-up Fee.


 


(a)          If
(i) the Company has had positive aggregate Net Operating Profit from the Effective Date of this Agreement through the date of
the Break-Up Notice, (ii) TPG has paid all Claw Back Amounts, if any, which TPG is required to pay pursuant to Section 3.5
of this Agreement, and (iii) JBGL and the JBGL Entities have elected not to make loans to the Company and/or its Subsidiaries
for home construction projects budgeted in the Current Company Budget and Plan and the Funding Amount outstanding is less than
$20,000,000, then at any time while such conditions in subparts (i), (ii) and (iii) of this sentence exist, the TPG Manager may,
at its option, deliver written notice to the Company and JBGL that TPG wishes to dissolve the Company (the “Break-Up
Notice”). Upon delivery of the Break-Up Notice, the following shall occur: (1) JBGL shall pay to TPG an amount equal
to $250,000.00 (the “Break-Up Fee”). (2) at the option of JBGL, Warren Jolly shall resign as a member of the
Board of Managers, President of the Company and any other positions which he may hold within the Company or any Subsidiary (and
JBGL shall have the right to name his replacement), (3) the Consulting Agreement shall be immediately terminated, and (4) thereafter,
JBGL shall at its option, elect either of the following:


 




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(A)          send
written notice to TPG that JBGL has elected to dissolve and wind up the Company, and thereafter the Company shall be dissolved
and liquidated and its affairs wound up in accordance with the provisions of Section 6.2 hereof, or


 


(B)          send
a written notice to TPG that JBGL will purchase the entire Membership Interest of TPG in the Company, whereupon TPG will have the
obligation to sell, and JBGL will have the obligation to buy, in accordance with the terms and conditions described below,
the entire Membership Interest of TPG in the Company (the “Funding Deficiency Purchase Notice”).


 


The
price payable (the “Section 9.3 Purchase Price”) for the entire Membership Interest of TPG in the Company to
be purchased pursuant to this Section 9.3(a)(4)(B) shall be an amount equal to the remainder of (x) the amount that would
be distributed to TPG pursuant to Section 6.2(a) hereof upon liquidation of the Company, assuming that all of properties
and assets of the Company were sold and disposed of for fair market value and the Company was liquidated (less all estimated costs
and expenses of sale of the properties and assets of the Company and the liquidation and winding up of the Company), minus (y)
the aggregate amount of distributions made by the Company to TPG from the date of the Break-Up Notice to the date of purchase.


 


The
fair market value of the properties and assets of the Company shall be either (i) the amount agreed upon by TPG and JBGL or (ii)
if no agreement can be reached within fifteen (15) days of the date that the Funding Deficiency Purchase Notice is given, the amount
determined by an Appraiser selected jointly by two Appraisers, one of which shall be selected by TPG and the other of which shall
be selected by JBGL; provided, that if either TPG or JBGL fail to designate an Appraiser within ten (10) days after the end of
such fifteen (15) day period, then the Appraiser selected by the other party shall be the Appraiser who shall determine the fair
market value of the properties and assets of the Company. The Appraiser shall produce his “Section 9.3 Appraisal Report”
(herein so called) of the properties and assets of the Company within thirty (30) days of his selection. The date of either (i)
agreement by TPG and JBGL as to the fair market value of the properties and assets of the Company, or (ii) the issuance of a Section
9.3 Appraisal Report, shall be the “Section 9.3 Price Determination Date”.


 


If
JBGL delivers the Funding Deficiency Purchase Notice, the closing of the purchase of the entire interest of TPG in the Company
shall occur on a date which is no later than sixty (60) days after the Section 9.3 Price Determination Date. Such closing shall
take place at Principal Office of the Company or at such other place as TPG and JBGL may agree. At such closing, the Section 9.3
Purchase Price for the entire Membership Interest of TPG in the Company will be payable conditioned upon the execution, acknowledgement
and delivery of all documents, instruments and agreements that JBGL determines to be necessary or appropriate to evidence and render
fully effective the sale, assignment and transfer of all of the entire Membership Interest of TPG in the Company to JBGL or its
designee. Each of TPG and JBGL will pay its own costs and expenses incurred in connection with any purchase, assignment and transfer
under this Section 9.3(a)(4)(B). Each of the Members shall execute from time to time any amendment to this Agreement to
reflect any adjustment to the Membership Interests resulting from a purchase pursuant to this Section 9.3(a)(4)(B).


 




    	- 41 -



    	 



    

 


Each
Member agrees and acknowledges that the Section 9.3 Purchase Price to be determined in accordance with, and paid pursuant to, the
provisions of this Section 9.3(a)(4)(B) is fair as to dates used, notices, terms, price and in all other respects.
Each Member waives any right, at law or equity that he may have to use any other method to determine the Section 9.3 Purchase Price
in connection with the application of this Section 9.3(a)(4)(B).


 


(b)          (i)
          If the Company has had positive aggregate Net Operating Profit from the Effective Date of this Agreement through the date of the
occurrence of the Dissolution Event set forth in Section 6.1(a)(i) of this Agreement, (ii) TPG has paid all Claw Back Amounts,
if any, which TPG is required to pay pursuant to Section 3.5 of this Agreement, and (iii) a Dissolution Event occurs pursuant
to Section 6.1(a)(i) of this Agreement and the TPG Manager has not consented to or approved such Dissolution Event, then
JBGL shall pay the Break-Up Fee to TPG.


 


(c)          Notwithstanding
the foregoing, the provisions of this Section 9.3 shall expire and terminate on the earliest to occur of (i) the date of
the termination of this Agreement, (ii) the date of the occurrence of a Dissolution Event (provided, that the obligations
of JBGL under Section 9.3(b) shall survive the occurrence of a Dissolution Event under Section 6.1(a)(i) which has
not been consented to or approved by the TPG Manager), (iii) the date either TPG or JBGL is no longer a Member of the Company,
(iv) the date of the occurrence of a Purchase Event as to TPG, (v) the occurrence of a default (after the expiration of all applicable
cure periods) by the Company or any Subsidiary of the Company under either (A) a contract to purchase lots from any JBGL Entity
or any Affiliate of a JBGL Entity, or (B) a loan from any JBGL Entity or any Affiliate of a JBGL Entity, or (vi) the delivery of
a Funding Level Deficiency Notice.


 


[SIGNATURE
PAGES FOLLOW]


 




    	- 42 -



    	 



    

 


IN WITNESS
WHEREOF, the undersigned have caused this Limited Liability Company Operating Agreement to be executed as of the date first above
written.


 


	 	MEMBERS:
	 	 
	 	JBGL BUILDER FINANCE LLC,

                                                               a Texas limited liability company

	 	 	 
	 	By:	/s/ Matt Baynham
	 	 	Matt Baynham, President
	 	 
	 	TPG INVESTMENT TRUST
	 	 	 
	 	By:	/s/ Michael Allen Smith	(SEAL)
	 	 	Michael Allen Smith, Co-Trustee
	 	 	 
	 	By:	/s/ Christopher T. Graham	(SEAL)
	 	 	Christopher T. Graham, Co-Trustee


 




    	- 43 -



    	 



    

 


 


SCHEDULE
A


  


 





	Members:	
        JBGL
        Builder Finance LLC

         

         

         

        TPG
        Investment Trust
	
        3131
        Harvard Ave.,

        Suite
        103

        Dallas,
        TX 75205

         

        3977
        Sweet Bottom

        Drive

        Duluth,
        GA 30096








 





	Initial Capital Contributions:	
        Agreed
        net value of capital contributions which the Initial Members have agreed to make is as follows:

         

        JBGL:                                              $0.00

	 	TPG:                                                $0.00
	 	 
	Initial Percentage Interests:	JBGL                                               50% 
	 	TPG                                                 50%
	 	 
	Initial Voting Percentage 	JBGL                                               51% 
	Interests:	TPG                                                 49%
	 	 
	Managers:	
        The
        names of the initial Managers referred to in Section 4.1(b) hereof are as follows:

         

        Initial
        JBGL Managers:

        Jim
        Brickman

        Matt
        Baynham

         

        Initial
        TPG Manager:

        Warren
        Jolly








 





	Officers:	The names of the initial Officers referred to
    in Section 4.2(b) hereof are as follows:







 





	 	Name:	Title:
	 	 	 
	 	Warren Jolly	President
	 	Matt Baynham	Vice President
	 	Michael Allen Smith	Vice President
	 	Chris Willis	Vice President
	 	Tom Peterson	Vice President
	 	H.P. Jolly, Jr.	Secretary
	 	Jackie Lawrence	Treasurer
	 	Toni Van Autreve	Assistant Secretary







 





	Principal Office of the Company:	3935 Lakefield Court

Suwanee, GA 30024








 




    	 



    	 



    

 


	SCHEDULE B
	 


 


	MMM

                                         File
	 	Borrowing
    Entity	 	Subdivision	 	Lender	 	Security
    Instrument	 	Lot
    (s)	 	Date	 	Deed
    Book/Page
	A3136	 	TPG Homes at Crabapple,
    LLC	 	Crabapple Crossroads	 	JBGL Builder Finance,
    LLC	 	Deed to Secure Debt	 	4,7,8,9,10,11,12,13,14	 	2/22/2011	 	49863/483
	 	 	 	 	 	 	(First
    Mortgage Loan)	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	A3191	 	TPG Homes at Jamestown,
    LLC	 	Jamestown	 	JBGL Builder Finance,
    LLC	 	Deed to Secure Debt	 	245,246,273,274,275	 	6/24/2011	 	5995/695
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	A3092	 	TPG Homes at LaVista
    Walk, LLC	 	LaVista Walk	 	JBGL Builder Finance,
    LLC	 	Deed to Secure Debt	 	0.448 acres	 	11/16/2010	 	49579/633
	 	 	 	 	 	 	(First
    Mortgage Lender)	 	First
    Modification	 	 	 	2/22/2011	 	49863/525


 




    	 



    	 



    

 


	SCHEDULE B-1
	 


 


 


	MMM

        File
	 	Borrowing
    Entity	 	Subdivision	 	Lender	 	Security
    Instrument	 	Lot
    (s)	 	Date	 	Deed

        Book/Page

	A3197	 	The Providence Group
    at Highlands, L.L.C.	 	Highlands	 	JBGL Highlands Lender,
    LLC	 	Assignment
    and Transfer of Debt and Liens	 	Units shown on Release Plats: K, L, M,
    N, O, P, Q, R, KK, LL, X, A, Y, Z, AA, LESS AND EXCEPT: Units 4, 5, 6, 8, 95, 101, 102,103, 104, 106, 107, 261, 262, 263,
    264, 265, 267, 268, 269, 270, 271, 272, 273, 275, 276, 285, 287, 290, 292, 294, 295, 296, 345, 348, 349, 350, 351 and 353	 	7/14/2011	 	50219/435
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	A3197	 	7275 Roswell Road Associates,
    L.L.C.	 	Highlands	 	JBGL Highland Land,
    LLC	 	Assignment
    and Transfer of Debt and Liens	 	27.741 acres LESS AND
    EXCEPT Release Parcels: K, L M, N, O, P, Q, R, KK, LL, X, A, Y, Z, AA, & Roswell Road R/W
    Dedication	 	7/14/2011	 	50219/442


 




    	 



    	 



    

 


	SCHEDULE C
	 
	OPERATING PROFIT / OPERATING LOSS DEFINITION
	 


 


Operating
Profit or Operating Loss, as applicable, is calculated based on the following calculation:


 


Gross
Revenue (all revenues including but not limited to closing of homes to third party homebuyers, management agreements)


 


LESS:
Direct Construction Costs (land, property improvements, capitalized property taxes, capitalized interest, and/or unit costs
from The Providence Group at Jamestown II LLC and JBGL Highlands Lender LLC on payoff statements)


 


LESS:
Amortized Prepaid Community Costs (initial community expenses including but not limited to first run brochures and inserts,
model furniture, estimate for model conversion, initial signage, initial marketing efforts)


 


LESS:
Sales Commissions (internal and external as applicable)


 


LESS:
Finance and Closing Costs (seller concessions, incentives, closing costs)


 


LESS:
Construction Overhead (construction wages, bonus, benefits, and community expenses including but not limited to SWPP costs,
lot maintenance not paid by JBGL Builder Finance entity, construction trailer rent, construction utilities, trash, and other community
costs that are not property improvements and not capitalized in the job costs)


 


LESS:
Warranty Overhead (per home warranty amount accrual, any warranty personnel wages, bonus, benefits, and any other period costs
related to warranty performed)


 


LESS:
Selling Overhead (sales personnel wages, bonuses, and benefits and including but not limited to model home rent, utilities,
repairs, maintenance, sales trailer, marketing efforts, realtor luncheons, focus groups, brochures and inserts, website maintenance
and other sales items that were not approved to be in prepaid community costs)


 


LESS:
Administrative Overhead (personnel wages, bonuses, benefits and including but not limited to office rent, office
supplies, copiers, utilities, meals & entertainment, and other expenses that are not property improvements and not
capitalized in job costs – also includes legal expenditures)


 


LESS:
Capital Charges (Other incurred interest either paid by the Company or its Subsidiaries, paid fees, parcel profit participation
related to capital received as well as monthly interest on homes that have not closed after 12 months of start in accordance with
JBGL Builder Finance LLC loan docs)


 


EQUALS:
Total Operating Profit or Operating Loss, as applicable