Document:

Exhibit 10.4

 

 

 

SECURITY AGREEMENT

 

SECURITY AGREEMENT

 

3/31/2017

 

In order to secure the due and punctual
payment of all of the Obligations (as herein defined), Recovery Solutions & Technologies, Inc., a Arizona corporation, having
their place of business located at 4802 B Ray Rd., Ste. #23-30, Phoenix, AZ 85044 (“Debtor”), hereby grants to NFS
Leasing, Inc., a Massachusetts Corporation (“Secured Party”), having an address of 900 Cummings Center, Suite 226-U,
Beverly, MA 01915, a continuing security interest in the following item(s) of collateral:

 

ACCOUNTS RECEIVABLE: All of Debtor’s now owned
and hereafter acquired accounts, accounts receivable, contract rights, instruments, and chattel paper.

 

PERSONAL PROPERTY: All of Debtor’s now owned and
hereafter acquired tangible and intangible personal property (including, but not limited to computer hardware and software, intellectual
property, patents, inventions, equipment, furnishings and fixtures).

 

The foregoing security interest(s) is hereby
granted together with a continuing security interest in the following additional items of collateral:

 

(a)         All
money, instruments, documents of title, deposit accounts and other property of Debtor.

 

(b)         All
replacements and substitutions for, and all proceeds (including insurance proceeds) and products of, any or all of the foregoing.

 

(c)         All
of Debtor’s books and records relating to any or all of the foregoing.

 

All of the foregoing items of collateral are hereinafter collectively
referred to as the “Collateral”.

 

“Obligations” shall mean all indebtedness and liabilities
whatsoever of Debtor to Secured Party which in any manner relate to or arise from payments owed to Secured Party under a certain
Master Equipment Lease (“Master Lease”) executed by Debtor of even date herewith, whether direct, indirect, absolute
or contingent, due or to become due, now existing or hereafter arising.

 

Section 1. Representations, Warranties
And Covenants Of Debtor. Debtor hereby represents, warrants and covenants as follows:

 

(a)         The
Collateral is and will continue to be used primarily for business purposes.

 

(b)         Debtor
is or, to the extent that certain of the Collateral is to be acquired after the date hereof, will be, the owner of the Collateral
free from any adverse lien, security interest or encumbrance, and Debtor will defend the Collateral against all claims and demands
of all persons at any time claiming any interest therein

   

(c)         No
financing statement covering any Collateral is on file in any public office, other than the financing statements filed pursuant
to this Security Agreement. At the request of Secured Party, Debtor will join with Secured Party in executing one or more (i) financing
statements pursuant to the Uniform Commercial Code, (ii) title certificate lien application forms, and (iii) other documents necessary
or advisable to perfect the security interests granted hereby, all in form satisfactory to Secured Party, and Debtor will pay the
cost of filing the same or filing or recording this Agreement in all public offices wherever filing or recording is deemed by Secured
Party to be necessary or desirable. A carbon, photographic, or other reproduction of this Agreement or a financing statement is
sufficient as a financing statement.

 

    1 

     

    

 

(d)         Debtor
will promptly pay any and all taxes, assessments and governmental charges upon the Collateral or for its use or operation.

 

(e)         Debtor
will immediately notify Secured Party of any event causing a substantial loss or diminution in the value of all or any material
part of the Collateral.

 

(f)          Debtor
will keep the Collateral free from any adverse lien, security interest or encumbrance, and in good order and repair.

 

(g)         Debtor
will not sell, lease or transfer any of the Collateral or any interest therein (except in the ordinary course of business), without
the prior written consent of Secured Party.

 

(h)         Debtor
will not, without the prior written consent of Secured Party, or as permitted by the Master Lease, change the name of Debtor, the
chief executive office of Debtor, the office where Debtor maintains its books and records pertaining to the Collateral or the location
of the Collateral. Unless otherwise specified, the chief executive office of Debtor, the location where Debtor maintains its books
and records and the location of the Collateral is the address of Debtor set forth above.

 

(i)          Upon
reasonable notice Debtor shall permit Secured Party and its agents to inspect any or all of the Collateral at all reasonable times
and shall promptly deliver to Secured Party and its agents such information with respect to the Collateral as Secured Party may
reasonably request from time to time. The Secured Party may in its own name or in the names of others, communicate with account
debtors in order to verify with them, to Secured Party’s satisfaction, the existence, amount and terms of any accounts.

 

(j)          Debtor
will have and maintain insurance at all times with respect to the Collateral against risks of fire (including so-called extended
coverage), business interruption and such other risks as Secured Party may require, containing such terms, in such form, for such
periods and written by such companies as may be acceptable to Secured Party, such insurance to be payable to Secured Party and
to provide for at least twenty (20) days’ prior written cancellation notice to Secured Party. Debtor shall furnish Secured
Party with certificates or other evidence satisfactory to Secured Party of compliance with the foregoing insurance provisions.

 

(k)         Neither
the execution of this Agreement nor the granting of the security interest in the Collateral as provided for herein is prohibited
by or violates the terms of any agreement, undertaking, order or decree to which Debtor or the Collateral is subject to or bound
by.

 

(l)          The
individual executing this Agreement on behalf of Debtor is duly authorized to do so without the need to obtain any additional authorization
or consent.

 

Section 2. Events Of Default. Debtor
shall be in default under this Agreement upon the occurrence of any one of the following events (herein referred to as an “Event
of Default”):

 

(a)         Any
representation or warranty made by Debtor to Secured Party herein shall prove to be false or misleading in any material respect
when made;

 

(b)         Default
by Debtor in the due observance or performance of any covenant or agreement herein contained;

 

(c)         Default
in the payment when due of any indebtedness of Debtor to Secured Party secured hereby;

 

    2 

     

    

 

(d)         The placing of any attachment
on any of the Collateral;

 

(e)         The occurrence of any other
default or Event of Default under any of the documents evidencing or securing the Obligations; or

 

(f)          Loss, theft, substantial
damage or destruction of any of the Collateral which is not fully and adequately covered by insurance.

 

Section 3. Remedies Upon Event Of Default.
If any Event of Default occurs and is not cured within five (5) days, Secured Party may declare all obligations secured hereby
to be immediately due and payable without presentment, demand, protest or other notice of any kind, all of which are hereby expressly
waived. Secured Party may exercise all the rights and remedies of a secured party under the Uniform Commercial Code. Secured Party
may require Debtor to assemble the Collateral and make it available to Secured Party at a place designated by Secured Party. The
requirements of reasonable notice shall be met if notice is mailed, postage prepaid, to Debtor at its address set forth above
at least ten (10) days before the time of sale or disposition of the Collateral. The Secured Party shall have the right to demand
from the Debtor a list of all accounts assigned hereunder and to notify any and all account debtors to make payment thereof directly
to Secured Party. Secured Party shall also have the right to (i) open all mail addressed to Debtor; (ii) change the Post Office
box or mailing address of Debtor; and (iii) use Debtor’s stationery and billing forms or facsimiles thereof; for the purpose
of collecting accounts and realizing upon the Collateral. Debtor understands and agrees the Secured Party may exercise its rights
hereunder without affording Debtor an opportunity for a preseizure hearing before Secured Party, through judicial process or otherwise,
takes possession of the Collateral upon the occurrence of an Event of Default, and Debtor expressly waives its constitutional
right, if any, to such prior hearing.

 

Section 4. Expenses. Debtor will pay to Secured Party on
demand any and all reasonable expenses, including attorneys’ fees, incurred or paid by Secured Party in protecting or enforcing
any of its rights hereunder, including its right to take possession of the Collateral, store and dispose of the same or collect
the proceeds thereof.

 

Section 5. Waivers, Non-Exclusive Remedies. No failure
or delay on the part of Secured Party in exercising any rights under this Security Agreement shall operate as a waiver thereof,
nor shall any single or partial exercise by Secured Party of any of such rights preclude any other or further exercise thereof
or the exercise of any other rights with respect to the Collateral, and no waiver as to one Event of Default shall affect the rights
of Secured Party as to any other or subsequent Event of Default.

 

Section 6. Changes In Writing. This Agreement and any provision
hereof may not be amended, waived or terminated except by a written instrument signed by Secured Party and Debtor.

 

Section 7. Governing Law. This Agreement shall be construed
in accordance with and governed by the laws of the jurisdiction where the Collateral is located.

 

Section 8. Successors And Assigns. All the terms and provisions
of this Agreement shall be binding upon and inure to the benefit of and be enforceable by the respective heirs, personal representatives,
successors and assigns of the parties hereto.

 

Section 9. Further Assurances. Debtor will execute and
deliver to Secured Party, upon Secured Party’s request and at Debtor’s sole cost and expense, any documents Secured
Party deems necessary for the perfection of its security interests or preservation of its rights hereunder.

 

    3 

     

    

  

Section
10. General Authority. Secured Party may, at its election, discharge taxes, liens or security interests or other encumbrances
at any time levied or placed upon the Collateral, pay for insurance on the Collateral and pay for the maintenance and preservation
of the Collateral. Debtor agrees to reimburse Secured Party on demand for any payment made, or any expense incurred by Secured
Party pursuant to the foregoing authorization. Upon request by Secured Party, Debtor will deliver to Secured Party a detailed
aging of accounts receivable in form acceptable to Secured Party.

 

Section 11. Limited Power Of
Attorney. Upon the occurrence of an Event of Default, Debtor hereby appoints Secured Party its true and lawful attorney
with full  power of substitution to execute any and all documents Secured Party deems necessary to perfect its security
interests hereunder, to demand, collect, receive, receipt for, sue for, compound and give acquittance for, any and all
amounts due and to become due on any accounts and to endorse the name of the Debtor on all commercial paper given in payment
or part-payment thereof and in its discretion to file any claim or take any other action which Secured Party may deem
necessary or appropriate to protect and preserve and realize upon the security interest of the Secured Party in any accounts
or the proceeds thereof, to obtain, adjust, settle and cancel any insurance and endorse any drafts in payment of any loss, to
take any actions permitted by Section 10 hereof and to do all other acts or things contemplated by this Agreement.

 

Section 12. Substitution of Security.
At any time while this Agreement is in effect, Debtor shall have the right to post an irrevocable letter of credit in substitution
for this Agreement in an amount equal to the then outstanding balance of the Obligations and containing such terms as are reasonably
acceptable to Secured Party, and upon such posting Secured Party shall discharge all security interests with respect to the Collateral.

 

Section 13. Subordination. Notwithstanding
anything in this Agreement to the contrary, if at any time Debtor enters into a loan or other financing transaction which results
in net new debt in an amount equal to or in excess of two million and five hundred thousand dollars ($2,500,000.00) with a lender
that is unaffiliated with and unrelated to the Debtor, Secured Party agrees to (i) subordinate its lien on the Collateral to the
lien in favor of the new lender, and (ii) execute (a) a subordination agreement in favor of the new lender in form and substance
reasonably satisfactory to the new lender and Secured Party and (b) all other documents reasonably requested by the new lender
to effectuate or confirm such subordination. Debtor and Secured Party hereby agree that the above described subordination by Secured
Party shall be limited to debt from a source that is proven to be unaffiliated with and unrelated to the Debtor and only in the
instance of new debt.

 

IN WITNESS WHEREOF, this Agreement is executed
by Debtor and Secured Party under seal on the date set forth above.

 

	DEBTOR: Recovery Solutions & Technologies, Inc.	SECURED PARTY: NFS Leasing, Inc.	 
	 	 	 	 	 	 
	By:	/s/ Ian Rhodes	 	By:	/s/ Mark Blaisdell	 
	Name:   	Ian Rhodes	 	 Mark Blaisdell – VP Finance	 

 

    4Amended and Restated Redemption Plan

 Exhibit 4.3 

AMENDED AND RESTATED REDEMPTION PLAN 

CNL HEALTHCARE PROPERTIES II, INC., a Maryland corporation (the “Company”), has adopted this Amended and Restated Redemption Plan
(the “Redemption Plan”) by which Class A, Class T and Class I shares of the Company’s common stock (the “Shares”) may be repurchased by the Company from stockholders subject to the terms and conditions set
forth herein. 
 1.    Redemption Price. The Company’s Redemption Plan is designed to provide eligible
stockholders with limited, interim liquidity by enabling them to sell Shares back to the Company prior to the listing of the Shares on a national securities market. Subject to certain restrictions discussed below, the Company may repurchase Shares
(including fractional Shares) computed to three decimal places, from time to time. 
 Until the Company’s board of directors approves
an estimated net asset value per Share, as published from time to time in the Company’s Annual Report on Form 10-K, its Quarterly Report on Form 10-Q and/or its
Current Report on Form 8-K with the U.S. Securities and Exchange Commission, the price for the repurchase of Shares shall be equal to the then-current “net investment amount” of the Company’s
Shares disclosed in the most recent prospectus for the Company’s ongoing public offering of Shares, which amount will be based on the “amount available for investment/net investment amount” percentage shown in the estimated use of
proceeds table of the prospectus for its ongoing public offering. For each class of Shares, this amount will equal (a) the current offering price of the Shares, less (b) the associated selling commission and the dealer manager fee and
estimated organization and offering expenses other than the distribution and stockholder servicing fees. Initially, the “net investment amount” for each class of Shares will be $10.00 per Share, but this amount may change. Once the
Company’s board of directors approves an estimated net asset value per Share, the price for the repurchase of Shares shall be equal to the then-current estimated net asset value per Share. If the “net investment amount” changes or the
Company’s board of directors approves an initial or updated estimated net asset value per Share, the Company will notify stockholders of the new price for the repurchase of Shares through (a) a Current Report on Form 8-K or in its annual or quarterly reports, all publicly filed with the Securities and Exchange Commission or (b) in a separate mailing to the stockholders. The Company will provide stockholders with at least 10
business days’ advance notice of any such price change. 
 2.    Redemption of Shares. Any stockholder who
has held Shares for not less than one year (other than the Company’s advisor) may present for the Company’s consideration all or any portion of his or her Shares for redemption at any time, in accordance with the procedures outlined
herein. A stockholder may present fewer than all of his or her Shares to the Company for redemption, provided: 
  

	 	(i)	the minimum number of Shares presented for redemption shall be at least 25% of his or her Shares, and 

  

	 	(ii)	the amount retained must be at least $5,000 worth of Shares based on the most recent public primary offering price per Share or, subsequent to the termination of the public primary offering period for the Shares and if
an estimated net asset value per Share has been approved by the Company’s board of directors, the then estimated net asset value per Share. 

  
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 For purposes of calculating the ownership period set forth above, if a stockholder holds
Class A Shares in an account as a result of conversion of Class T Shares or Class I Shares pursuant to the terms of the Company’s charter, then the ownership period of such Class A Shares shall be based on the date the
stockholder acquired the applicable Class T Shares or Class I Shares that converted into such Class A Shares. In addition, if a stockholder purchased Shares for economic value from a prior stockholder (a “Resale”), the
purchasing stockholder’s period of ownership for such Shares shall commence on the date the purchasing stockholder purchased the Shares from the prior stockholder. For a transfer of ownership that is not considered a Resale, the
stockholder’s period of ownership for such Shares shall commence on the date of the acquisition of Shares by the original stockholder. Notwithstanding the foregoing, only those stockholders who received their Shares directly from the Company
(including through the distribution reinvestment plan, except as set forth below) or received their Shares through one or more transactions that were not for cash or other consideration are automatically eligible to participate in this Redemption
Plan. Once Shares acquired from the Company are transferred, directly or indirectly, for value by a stockholder (other than transfers which occur in connection with a non-taxable transaction, such as a gift or
contribution to a family trust), the transferee and all subsequent holders of the Shares are not eligible, unless otherwise approved by Company management or its board of directors, to participate in this Redemption Plan with respect to such Shares
that were transferred for value and any additional Shares acquired by such transferee through the Company’s distribution reinvestment plan. 

Except with respect to stockholders that are not eligible to participate in the Redemption Plan as described in the paragraph above, the
Company shall waive the one-year holding period requirement described above with respect to any Shares received from the Company as a stock dividend. Further, the Company has the right to waive the one- year holding period set forth in this Section 2, above, and the pro rata redemption requirements under Section 3 below, in the event of the death, Qualifying Disability, confinement to a long-term
care facility or Bankruptcy of a stockholder or other exigent circumstances (individually and collectively, “Exigent Circumstances”). If the Company determines to permit any such redemption for Exigent Circumstances, notwithstanding
anything contained in this Redemption Plan to the contrary, the Company, in its sole discretion, may redeem such Shares prior to the redemption of any other Shares. 

At such time, the Company may, at the Company’s sole option, choose to redeem such Shares presented for redemption for cash to the extent
it has sufficient funds available. There is no assurance that there will be sufficient funds available for redemption or that the Company will exercise its discretion to redeem such Shares and, accordingly, a stockholder’s Shares may not be
redeemed. Factors that the Company will consider in making its determination to redeem Shares include: 
  

	 	(i)	whether such redemption impairs the Company’s capital or operations; 

  

	 	(ii)	whether an emergency makes such redemption not reasonably practical; 

  
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	 	(iii)	whether any governmental or regulatory agency with jurisdiction over the Company so demands such action for the protection of the Company’s stockholders; 

 

	 	(iv)	whether such redemption would be unlawful; or 

  

	 	(v)	whether such redemption, when considered with all other redemptions, sales, assignments, transfers and exchanges of the Shares, could cause direct or indirect ownership of the Shares to become concentrated to an extent
which could adversely affect the Company’s ability to qualify as a REIT for tax purposes. 

 The Company is not obligated
to redeem Shares under the Redemption Plan. If the Company determines to redeem Shares, at no time during a calendar year may the number of Shares the Company redeems exceed 5% of the weighted-average aggregate number of Class A, Class T
and Class I Shares of the Company’s outstanding common stock outstanding during the prior calendar year. The aggregate amount of funds under the Redemption Plan will be determined on a quarterly basis in the sole discretion of the board of
directors of the Company, and may be less than but shall not exceed the aggregate proceeds from the Company’s Distribution Reinvestment Plan (the “Reinvestment Plan”) during that quarter. There is no guarantee that any funds will be
set aside under the Reinvestment Plan or otherwise made available for the Redemption Plan during any period during which redemptions may be requested. Further, no Shares will be redeemed under the Redemption Plan on any date upon which the Company
pays any dividend or other distribution with respect to the Shares. 
 The Company will not redeem Shares that are subject to liens or other
encumbrances until the lienholder or stockholder presents evidence that the liens or encumbrances have been removed. If any Shares subject to a lien are inadvertently redeemed or the Company is otherwise required to pay to any other party all or any
amount in respect of the value of redeemed Shares, then the recipient of amounts in respect of redemption shall repay the Company the amount paid for such redemption up to the amount it is required to pay to such other party. 

3.    Insufficient Funds. In the event there are insufficient funds to redeem all of the Shares for which
redemption requests have been submitted, and the Company determines to redeem Shares, the Company will redeem pending requests at the end of each quarter in the following order at the Redemption Cap: 

 

	 	(i)	pro rata as to redemptions sought upon a stockholder’s death; 

  

	 	(ii)	pro rata as to redemptions sought by stockholders with a Qualifying Disability or upon confinement to a long-term care facility; 

  

	 	(iii)	pro rata as to redemptions sought by stockholders subject to Bankruptcy; 

  

	 	(iv)	pro rata as to redemptions that would result in a stockholder owning less than 100 Shares; and 

  

	 	(v)	pro rata as to all other redemption requests. 

 For a disability to be considered a
“Qualifying Disability” for the purposes of this Redemption Plan, the stockholder: (a) must receive a determination of disability based upon a 

  
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physical or mental impairment arising after the date the stockholder acquired the Shares to be redeemed that can be expected to result in death or to last for a continuous period of not less than
twelve months; and (b) the determination of disability must have been made by the governmental agency, if any, responsible for reviewing the disability retirement benefits that the stockholder could be eligible to receive. Such governmental
agencies are limited to the following: (1) if the stockholder is eligible to receive Social Security disability benefits, the Social Security Administration; (2) if the stockholder is not eligible for Social Security disability benefits
but could be eligible to receive disability benefits under the Civil Service Retirement System (the “CSRS”), the U.S. Office of Personnel Management or the agency charged with responsibility for administering CSRS benefits at that time; or
(3) if the stockholder is not eligible for Social Security disability benefits but could be eligible to receive military disability benefits, the Veteran’s Administration or the agency charged with the responsibility for administering
military disability benefits at that time. Redemption requests following an award by the applicable government agency of disability death benefits must be accompanied by the stockholder’s application for disability benefits and a Social
Security Administration Notice of Award, a U.S. Office of Personnel Management determination of disability under CSRS, a Veteran’s Administration record of disability-related discharge or such other documentation issued by the applicable
governmental agency that the Company deems acceptable and demonstrates an award of disability benefits. 
 With respect to redemptions
sought upon a stockholder’s confinement to a long-term care facility, “long-term care facility” shall mean an institution that is an approved Medicare provider of skilled nursing care or a skilled nursing home licensed by the state or
territory where it is located and meets all of the following requirements: (a) its main function is to provide skilled, immediate or custodial nursing care; (b) it provides continuous room and board to three or more persons; (c) it is
supervised by a registered nurse or licensed practical nurse; (d) it keeps daily medical records of all medication dispensed; (e) its primary service is other than to provide housing for residents. A stockholder seeking redemption of
Shares due to confinement to a long-term care facility must have begun such confinement after the date the stockholder acquired the Shares to be redeemed and must submit a written statement from a licensed physician certifying the stockholder’s
continuous and continuing confinement to a long-term care facility over the course of the last year or the determination that the stockholder will be indefinitely confined to a long-term care facility. 

With respect to redemptions sought upon a stockholder’s Bankruptcy, “Bankruptcy” shall mean a bankruptcy over which a trustee
was appointed by a bankruptcy court after the date the stockholder acquired the Shares to be redeemed. A stockholder seeking to redeem Shares due to Bankruptcy must submit the court order appointing the trustee or an order of discharge from the
applicable bankruptcy court. 
 With regard to a stockholder whose Shares are not redeemed due to insufficient funds in that quarter, the
redemption request will be retained by the Company, unless withdrawn by the stockholder in the manner described below, and such Shares will be redeemed in subsequent quarters as funds become available and before any subsequently received redemption
requests are honored, subject to the priority for redemption requests listed in (i) through (iv) above. Stockholders will not relinquish their Shares to the Company until such time as the Company commits to redeem such Shares. However, the
redemption price for redemption requests not 

  
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withdrawn by the stockholder and Shares subsequently redeemed by the Company shall be at the current redemption price under this Redemption Plan as of the date that the redemption occurs subject
to the Redemption Cap. 
 4.    Procedures for Redemption. A stockholder requesting to redeem Shares must mail or
deliver a written request on a form the Company provides, executed by the stockholder, its trustee or authorized agent. In the event of redemptions sought upon the death, Qualifying Disability, confinement to a long-term care facility or Bankruptcy
of a stockholder, the written request must be received by the Company within one year after the onset or determination of the qualifying event. If requests in the event of a qualifying event are not received within the one year period described in
the preceding sentence, they will be treated as ordinary redemption requests and will not be subject to priority. 
 The redemption agent
will effect such redemption for the calendar quarter provided that it receives from the stockholder the properly completed redemption forms relating to the Shares to be redeemed, including the applicable supporting documents described in
Section 3 for requests due to death, Qualifying Disability, confinement to a long-term care facility or Bankruptcy by the last day of the month prior to the current calendar quarter-end month (i.e.
November for the calendar quarter-ended December) and has sufficient funds available to redeem such Shares. The Company will redeem Shares at the close of business on or around the 15th calendar day of each
quarter-end month (the “Redemption Date”). Generally, the Company will pay redemption proceeds within five business days, but no later than the seventh business day, following the Redemption Date.
Payment for redemptions will not be made on the same date as payment for a dividend or other distribution. 
 A stockholder may withdraw its
redemption request as to any remaining Shares not redeemed by requesting from the Company a redemption change form, completing the form and delivering it to the Company at least five business days before the Redemption Date by facsimile transmission
to the facsimile number indicated on the form (subject to such stockholder receiving an electronic confirmation of such transmission) or by mail to the mailing address indicated on the form. Upon timely receipt of the redemption change form, the
Company will treat the initial redemption request as cancelled as to any Shares not redeemed in prior quarters. 

5.    Amendment, Suspension or Termination of the Redemption Plan. The Company’s board of directors, in its
sole discretion, may amend, suspend or terminate the Redemption Plan or waive any of its specific conditions if it is deemed to be in the Company’s best interests. The board of directors may also amend, suspend or terminate the Redemption Plan
if: 
  

	 	(i)	it determines, in its sole discretion, that the Redemption Plan impairs the Company’s capital or operations; 

  

	 	(ii)	it determines, in its sole discretion, that an emergency makes the Redemption Plan not reasonably practical; 

  

	 	(iii)	any governmental or regulatory agency with jurisdiction over the Company so demands for the protection of the stockholders; 

  

	 	(iv)	it determines, in its sole discretion, that the Redemption Plan would be unlawful; or 

  
 D-5 

	 	(v)	it determines, in its sole discretion, that redemptions under the Redemption Plan, when considered with all other sales, assignments, transfers and exchanges of the Shares, could cause direct or indirect ownership of
the Shares to become concentrated to an extent which could adversely affect the Company’s ability to qualify as a REIT for tax purposes. 

If the Company’s board of directors amends, suspends or terminates the Redemption Plan, including any amendment to the redemption price,
the Company will provide stockholders with at least 10 business days’ advance notice prior to effecting such amendment, suspension or termination. The Company may provide notice by including such information (a) in a Current Report on Form
8-K or in its annual or quarterly reports, all publicly filed with the Securities and Exchange Commission or (b) in a separate mailing to the stockholders. The Redemption Plan will terminate, and we no
longer will accept Shares for redemption, if and when listing of the Company’s common stock occurs. 

6.    Governing Law. THIS REDEMPTION PLAN AND A STOCKHOLDER’S ELECTION TO PARTICIPATE IN THE REDEMPTION PLAN
SHALL BE GOVERNED BY THE LAWS OF THE STATE OF FLORIDA APPLICABLE TO CONTRACTS TO BE MADE AND PERFORMED ENTIRELY IN SAID STATE; PROVIDED, HOWEVER, THAT CAUSES OF ACTION FOR VIOLATIONS OF FEDERAL OR STATE SECURITIES LAWS SHALL NOT BE GOVERNED BY THIS
SECTION 6. 

  
 D-6

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