Document:

Exhibit 10.3

 

Evo Acquisition Corp.

 

Amendment No. 1 to Warrant Agreement

 

Dated October 18, 2022

 

WHEREAS, Evo Acquisition Corp. (the “Company”)
and Continental Stock Transfer &Trust Company (the “Warrant Agent”) entered into a Warrant Agreement dated February 8,
2021 (the “Warrant Agreement’);

 

WHEREAS, Section 9.8 of the Warrant Agreement
provides, inter alia, that amendments may be made to the terms of the Warrant Agreement without consent of any Registered Holder
for the purpose of “adding or changing any other provisions with respect to matters or questions arising under this Agreement as
the parties may deem necessary or desirable and that the parties deem shall not adversely affect the interest of the Registered Holder”.

 

WHEREAS, the last sentence of Section 3.2 of the
Warrant Agreement provides that “The Company in its sole discretion may extend the duration of the Warrants by delaying the Expiration
Date; provided, that the Company shall provide at least twenty (20) days prior written notice of any such extension to Registered Holders
of the Warrants and, provided further that any such extension shall be identical in duration among all the Warrants.”

 

WHEREAS, the Company has determined that it will
not exercise its discretionary authority to extend the duration of the Warrants as provided in the last sentence of Section 3.2 of the
Warrant Agreement, and that such sentence should therefore be deleted from the Warrant Agreement.

 

WHEREAS, the parties deem that the change effected
hereby will not adversely affect the interests of the Registered Holders of the Warrants.

 

All capitalized terms used herein and not defined
herein shall have the same meaning as these in the Original Warrant Agreement. Unless otherwise specifically modified herein, the provisions
of the Original Warrant Agreement shall remain in full force and effect.

 

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

 

1.   Modification
of Definition. The Parties hereby agree that the final sentence of Section 3.2 of the Warrant Agreement shall be deleted in its entirety,
and that Section 3.2, as so amended, shall read in its entirety as follows:

 

3.2 Duration of Warrants.
A Warrant may be exercised only during the period (the “Exercise Period”) commencing on the
later of: (i) the date that is thirty (30) days after the first date on which the Company completes a merger, capital stock exchange,
asset acquisition, stock purchase, reorganization or similar business combination, involving the Company and one or more businesses (a
“Business Combination”), or (ii) the date that is twelve (12) months from the date of the
closing of the Offering, and terminating at 5:00 p.m., New York City time on the earlier to occur of: (x) the date that is five (5) years
after the date on which the Company completes its initial Business Combination, (y) the liquidation of the Company, or (z) other than
with respect to the Private Placement Warrants and the Working Capital Warrants to the extent then held by the original purchasers thereof
or their Permitted Transferees, the Redemption Date (as defined below) as provided in Section 6.2 hereof (the Expiration Date”); provided, however,
that the exercise of any Warrant shall be subject to the satisfaction of any applicable conditions, as set forth in subsection
3.3.2 below with respect to an effective registration statement. Except with respect to the right to receive the Redemption Price
(as defined below) (other than with respect to a Private Placement Warrant or a Working Capital Warrant) to the extent then held by the
original purchasers thereof or their Permitted Transferees in the event of a redemption (as set forth in Section 6 hereof),
each outstanding Warrant (other than a Private Placement Warrant or a Working Capital Warrant to the extent then held by the original
purchasers thereof or their Permitted Transferees in the event of a redemption) not exercised on or before the Expiration Date shall become
void, and all rights thereunder and all rights in respect thereof under this Agreement shall cease at 5:00 p.m. New York City time on
the Expiration Date. 

 

     

    

    

 

2. Parties in Interest.
This Amendment is made solely for the benefit of the Warrant Holders and the Company, and their respective controlling persons, directors
and officers, and their respective successors, assigns, executors and administrators. No other person shall acquire or have any right
under or by virtue of this Amendment.

 

3. Headings. The section
headings in this Agreement have been inserted as a matter of convenience of reference and are not a part of this Amendment.

 

4. Counterparts. This
Amendment may be executed in any number of counterparts, each of which together shall constitute one and the same instrument.

 

In witness whereof, the undersigned
have executed this Amendment No. 1 to the Warrant Agreement as of the 18th day of October, 2022.

 

	 	
    Evo Acquisition Corp.

	 	 
	 	By:	/s/ Richard Chisholm
	 	Name: 	Richard Chisholm
	 	Title: 	Chief Executive Officer
	 	 
	 	Continental Stock Transfer & Trust Company
	 	 
	 	By:	 /s/ Michael Mullings
	 	Name:   	Michael Mullings
	 	Title: 	Chief Compliance OfficerExhibit 10.1

      

      

      

      

      

      

      

    

    

    

     EMPLOYMENT AGREEMENT

     

    

    THIS EMPLOYMENT AGREEMENT (this “Agreement’) is made and entered into as of the 18th day of October 2022 (the “Effective Date”) by and
      between F&M Bank Corp., a Virginia corporation (the “Corporation”), the Corporation’s wholly-owned subsidiary, Farmers & Merchants Bank (the “Bank”), and Lisa F. Campbell (“Employee”).

    

    

    RECITALS

    

    

    

    

    WHEREAS, the Corporation is a bank holding company engaged in the operation of a bank;

    

    

    WHEREAS, Employee possesses the experience, knowledge, skills and expertise of value to the Corporation; and

    

    

    WHEREAS, the Corporation wishes to retain Employee’s valuable services, and Employee wishes to make Employee’s services available to the
      Corporation on the terms and subject to the conditions set forth herein.

    

    

    NOW, THEREFORE, for and in consideration of the premises and of the mutual promises and undertakings of the parties as hereinafter set
      forth, the parties covenant and agree as follows.

    

    

    TERMS OF AGREEMENT

    

    

    Section 1. Employment.

    

    

    (a)  Employee shall be employed as Executive Vice President & Chief Financial Officer of the Corporation and of the Bank and shall discharge such duties and as may be assigned to
        her by the Corporation or the Bank from time to time.  Employee shall report to the Executive Vice President & Chief Operating Officer of the Corporation, unless otherwise determined by the Board of Directors (the “Board”) of the Corporation.

    

    

    (b) References in this Agreement to services rendered for the Corporation and compensation and benefits payable or provided by the Corporation shall include services rendered for
        and compensation and benefits payable or provided by any Affiliate. References in this Agreement to the “Corporation” also shall mean and refer to each Affiliate for which Employee performs services. References in this Agreement to “Affiliate”
        shall mean any business entity that, directly or indirectly, through one or more intermediaries, is controlled by the Corporation.

    

    

    Section 2. Term and Renewal. The initial term
      of this Agreement shall begin on the Effective Date and shall end on December 31, 2024 unless earlier terminated as provided herein. However, on December 31, 2023, and each December 31 thereafter, the term of this Agreement shall be renewed and
      extended by one year, unless Employee or the Corporation gives notice to the other in writing, at least 90 days prior to the applicable December 31, that the term shall not be renewed and extended, such that, absent such notice of non-extension, the
      extended term of this Agreement on December 31, 2023, or the applicable anniversary thereof, shall be two (2) years. References in this Agreement to the “Term” shall mean the initial term of this Agreement and any renewal or extension thereof

    

    

    Section 3. Exclusive Service. Employee shall
      devote her best efforts and full business time to rendering services on behalf of the Corporation in furtherance of its best interests. Employee shall comply with all policies, standards and regulations of the Corporation now or hereafter promulgated
      and shall perform her duties under this Agreement to the best of her abilities and in accordance with standards of conduct applicable to officers of banks.

    

    

    
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    Section 4.  Compensation and Benefits.

    

    

    (a) Salary. As compensation while employed hereunder, Employee, during her faithful
        performance of this Agreement, in whatever capacity rendered, shall receive an annual base salary of $250,000.00, payable in accordance with the normal payroll procedures and schedule of the Corporation, but no less frequently than monthly. The
        Board of Directors of the Corporation (or the appropriate committee thereof), in its discretion, may increase (but not decrease, unless Employee provides written consent to such decrease) Employee’s base salary during the Term.  The amount of such
        annual base salary from time to time is referred to herein as the “Base Salary.”  Except as otherwise expressly set forth hereunder, no compensation shall be paid pursuant to this Agreement in respect of any month or portion thereof subsequent to
        any termination of Employee’s employment by the Corporation.

    

    

    (b) Corporate Benefit Plans. Employee shall be entitled to participate in or become a
        participant in all cash and non-cash employee benefit plans maintained by the Corporation for its  officers, subject to the terms and conditions of any such plans and to the Corporation’s right to amend or terminate such plans.

    

    

    (c) Bonuses; Other Incentives.  Employee shall receive only such bonuses as the Board or
        the Compensation Committee of the Board, in its discretion, decides to pay to Employee, based on metrics, standards and parameters established from time to time.  It is anticipated that Employee will be provided an annual cash bonus opportunity
        during the Term of 25% to 35% of the Base Salary, paid no later than two and one-half months after the end of the year for which the annual bonus is awarded, subject to continued employment through the payment date.  It is also anticipated that
        Employee also will be provided an annual long-term incentive award (which may take the form of equity or equity-based grant) of up to 15% of the Base Salary, subject to a four-year vesting period.

    

    

    (d) Expense Account. The Corporation shall reimburse Employee for reasonable and customary
        business expenses incurred in the conduct of the Corporation’s business while she is employed hereunder. Such expenses will include business mileage, business meals, out-of-town lodging and travel expenses and other items identified in written
        rules and policies of the Corporation. Employee agrees to timely submit records and receipts of reimbursable items and agrees that the Corporation can adopt reasonable rules and policies regarding such reimbursement. The Corporation agrees to make
        prompt payment to Employee following receipt and verification of such reports. No reimbursement provided under this Section 4(d) during one calendar year shall affect the expenses eligible for reimbursement during another calendar year.

    

    

    (e) Paid Time Off. Employee shall be entitled to the same paid time off policies as the
        Board of Directors of the Corporation may from time to time designate for all similarly situated full-time senior executive officers of the Corporation.

    

    

    (g) Laptop; Cell Phone. While she is employed hereunder, the Corporation shall provide
        Employee with the use of a Bank-owned laptop and with a cell phone allowance, each in accordance with policies of the Corporation as may be adopted or as in effect from time to time.

    

    

    (h) Relocation and Signing Bonus. Corporation will pay to Employee a relocation and
        signing bonus in the gross amount of $35,000.00 (the “Relocation Assistance and Signing Bonus”), payable on the first regular payroll date following her first day of employment with the Corporation.

    

    

    (i) Clawback. If Employee’s employment hereunder is terminated by Employee within 24
        months of the Effective Date, other than under Section 5(d)(4)(i) or (iii)-(vi), she will be responsible for repayment of 100% of the gross
        amount of the Relocation Assistance and Signing Bonus on the date of such termination of employment by Employee.

    

    

    Section 5. Termination.

        

    

    (a) Notwithstanding the termination of Employee’s employment pursuant to any provision of this Agreement, the parties shall be required to carry out any provisions of this Agreement
        which contemplate performance by them subsequent to such termination. In addition, no termination shall affect any liability or other obligation of any party which shall have accrued prior to such termination, including, but not limited to, any
        liability, loss or damage on account of breach. No termination of employment shall terminate the obligation of the Corporation to make payments of any vested benefits provided hereunder or the obligations of Employee under Sections 6, 7 and 8.

    

    

    (b) Employee’s employment hereunder may be terminated by Employee upon two weeks written notice to the Corporation or at any time by mutual agreement in writing.  Upon such
        termination of employment, Employee shall have no right to receive compensation or other benefits under this Agreement for any period after such termination. Upon notice of such termination of employment, the Corporation, at its option, may relieve
        Employee of all duties.

    

    

    
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    (c) This Agreement shall terminate upon death of Employee; provided, however, that in such event the Corporation shall pay to the estate of Employee the compensation including
        salary and accrued bonus, if any, which otherwise would be payable to Employee through the end of the month in which her death occurs.

    

    

    (d) (1) The Corporation may terminate Employee’s employment other than for “Cause”, as defined in Section 5(e), at any time upon written notice to Employee, which termination shall
        be effective immediately. Employee may resign thirty (30) days after notice to the Corporation for “Good Reason”, as defined in Section 5(d)(4), subject to the following. Employee must provide written notice to the Corporation of the existence of
        the event or condition constituting such Good Reason within ninety (90) days of the initial occurrence of the event or condition alleged to constitute Good Reason.  Upon delivery of such notice, the Corporation shall have a period of thirty (30)
        days during which it may remedy in good faith the event or condition constituting Good Reason, and Employee’s employment shall continue in effect during such time so long as the Corporation is making diligent efforts to cure.  In the event the
        Corporation shall remedy in good faith the event or condition constituting Good Reason, as determined by the Employee’s good faith and reasonable judgment, then such notice of termination shall be null and void, and the Corporation shall not be
        required to pay the amount due to Employee under this Section 5(d) (or under Section 5(i), if applicable.)  In the event Employee’s employment terminates pursuant to this Section 5(d), provided the Employee signs a release and waiver of claims in a
        form satisfactory to the Corporation, which the Corporation shall provide to Employee no later than the date of termination (the “Release”), and the Release has become effective within thirty (30) days of Employee’s date of termination:

    

    

    (i) Employee shall continue to receive her Base Salary at the rate in effect immediately preceding such termination, for the number of
      months remaining in the Term or, if greater, 12 months (the “Severance Period”), such payments to be made at the times such payments would have been made in accordance with Section 4(a);

    

    

    (ii) Employee shall receive any bonus or other short-term incentive compensation earned, but not yet paid, for the calendar year prior to
      the calendar year in which her employment terminates which shall be paid within thirty (30) days of Employee’s date of termination; and

    

    

     (iii) Employee shall receive a welfare continuance benefit in an amount equal to (x) twelve (12) times (y) the excess of the premium that would apply as of Employee’s date of
      termination for continued health, dental and vision coverage for Employee and her “qualified beneficiaries” (as defined in Section 4980B of the Internal Revenue Code of 1986, as amended (the “Code”)), if COBRA continuation were elected for such
      coverage, over the amount that Employee paid for such coverage immediately before the termination of her employment (the “Welfare Continuance Benefit”). Employee may use the Welfare Continuance Benefit, as Employee wishes, including for payment of
      insurance premiums.  The Welfare Continuance Benefit will be paid in a lump sum cash payment within thirty (30) days of Employee’s date of termination.

    

    

    (2) Notwithstanding anything in this Agreement to the contrary:

    

    

    (i) If Employee breaches Section 6 or 7, Employee will not thereafter be entitled to receive any further compensation or benefits pursuant
      to this Section 5(d); and

    

    

    (ii) If, while she is receiving payments under this Section 5(d), Employee engages in conduct described in Section 7 and in Section 1 of
      the Restrictive Agreement (as defined below), such payments will cease and she will not thereafter be entitled to receive any compensation or benefits pursuant to this Section 5(d) even though such conduct occurs after the covenants contained in
      Section 7 and in Section 1 of the Restrictive Agreement have expired.

    

    

    (3) Except as set forth in Section 5(d)(2), upon the timely execution and non-revocation of the Release, the Corporation’s obligation to
      pay Employee the compensation provided in Section 5(d)(1) shall be absolute and unconditional and shall not be affected by any circumstances, including, without limitation, any set-off, counterclaim, recoupment, defense or other right which the
      Corporation may have against her or anyone else. All amounts payable by the Corporation hereunder shall be paid without notice or demand. Each and every payment made hereunder by the Corporation shall be final and the Corporation will not seek to
      recover all or any part of such payment from Employee or from whosoever may be entitled thereto, for any reason whatsoever. Employee shall not be required to mitigate the amount of any payment provided for in this Agreement by seeking other
      employment or otherwise.

    

    

    
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    (4) For purposes of this Agreement, “Good Reason” shall mean:

     

    

    (i) A material diminution in Employee’s authority, duties, or responsibilities as set forth in Section 1;

    

    

    (ii) A notice of non-renewal/non-extension of this Agreement given by the Corporation under Section 2 of this Agreement;

    

    

    (iii) Requiring Employee to maintain her principal office more than 30 miles from the location of Employee’s principal office as of the Effective Date;

    

    

    (iv) The failure of the Corporation to provide Employee with either substantially the same fringe benefits as provided to her at the
      inception of this Agreement or with fringe benefits at least as favorable, in the aggregate, as fringe benefits generally available to senior executive officers of the Corporation;

    

    

    (v) The Corporation’s failure to comply with any material term of this Agreement; or

    

    

    (vi) The failure of the Corporation to obtain the assumption of and agreement to perform this Agreement by any successor as contemplated in
      Section 9 hereof.

    

    

    (e) The Corporation shall have the right to terminate Employee’s employment under this Agreement at any time for Cause, as defined herein, which termination shall be effective
        immediately. Termination for “Cause” shall mean termination for Employee’s personal dishonesty, willful misconduct, breach of a fiduciary duty involving personal profit, intentional failure to perform stated duties of Employee’s position, willful
        violation of any law, rule or regulation (other than traffic violations or similar offenses) or final cease-and-desist order, conviction of a felony or of a misdemeanor involving moral turpitude, misappropriation of the Corporation’s assets
        (determined on a reasonable basis) or those of its Affiliates, material violation of the Corporation’s work rules or policies, material breach of any other provision of this Agreement, or the material omission or neglect in the performance of
        stated duties of Employee’s position that has caused or is reasonably likely to cause material financial or reputational injury to the Corporation, in each case which is not remedied by Employee (if reasonably capable of remedy) within thirty (30)
        days after the date the Corporation provides written notice to Employee of a detailed basis for such alleged event of Cause. In the event Employee’s employment under this Agreement is terminated for Cause, Employee shall thereafter have no right to
        receive compensation or other benefits under this Agreement.

    

    

    (f) The Corporation may terminate Employee’s employment under this Agreement, by reason of Employee’s disability by giving to Employee written notice of its intention to terminate
        her employment for disability and her employment shall terminate effective on the later to occur of the ninetieth (90th) day thereafter or the date all accrued time off (sick, vacation, personal) has been expended (the “Period”) if
        within the Period Employee shall fail to return to the full-time performance of the essential functions of her position (and if Employee’s disability has been established pursuant to the definition of “disability” set forth below). For purposes of
        this Agreement, “disability” means either (i) disability which after the expiration of more than thirteen (13) consecutive weeks after its commencement is determined to be total and permanent by a physician selected and paid for by the Corporation
        or its insurers, and reasonably acceptable to Employee or her legal representative or (ii) disability as defined in the policy of disability insurance maintained by the Corporation or its Affiliates for the benefit of Employee, whichever shall be
        more favorable to Employee. Notwithstanding any other provision of this Agreement, the Corporation shall comply with all requirements of the Americans with Disabilities Act, 42 U.S.C. § 12101 et seq.

    

    

    
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    (g) If Employee is suspended and/or temporarily prohibited from participating in the conduct of the Corporation’s affairs by a notice served pursuant to the Federal Reserve Act, the
        Bank Holding Company Act of 1956 or the Federal Deposit Insurance Act or the Code of Virginia, each as amended, the Corporation’s obligations under this Agreement shall be suspended as of the date of service unless stayed by appropriate
        proceedings. If the charges in the notice are dismissed, the Corporation may in its discretion (i) pay Employee all or part of the compensation withheld while its obligations under this Agreement were suspended, and (ii) reinstate (in whole or in
        part) any of its obligations which were suspended with any such payment made by March 15 following the calendar year in which such charges are dismissed.

    

    

    (h) If Employee is removed and/or permanently prohibited from participating in the conduct of the Corporation’s affairs by an order issued under the Federal Reserve Act, the Bank
        Holding Company Act of 1956 or the Federal Deposit Insurance Act or the Code of Virginia, each as amended, all obligations of the Corporation under this Agreement, and Employee’s obligations under Section 1 of the Restrictive Agreement (as defined
        below), shall terminate as of the effective date of the order, but vested rights of the parties shall not be affected.

    

    

    (i) (1) If Employee’s employment is terminated without Cause or if she resigns for Good Reason within one year after a Change of Control shall have occurred, then, provided the
        Employee signs the Release, and the Release has become effective within thirty (30) days of Employee’s date of termination, then on or within thirty (30) days following Employee’s last day of employment with the Corporation, the Corporation shall
        pay to Employee a lump sum cash amount (subject to any applicable payroll or other taxes required to be withheld) equal to: (A) the Welfare Continuance Amount, but determined by substituting 24 months for 12 months; plus

    (B) 2.99 times (x) Employee’s Base Salary at the rate
      in effect (i) on the date of termination or, if greater, (ii) immediately prior to the Change of Control, plus (y) Employee’s target annual
      bonus, or, if greater, actual annual bonus for the most recent fiscal year of the Corporation (i) that ends prior to Employee’s termination or, if greater, (ii) that ends prior to the Change of Control. The amount payable under this Section 5(i)(1)
      shall be in lieu of any amount payable to Employee under Section 5(d)(i).

    

    

    (2) For purposes of this Agreement, a Change of Control occurs if, after the date of this Agreement, (i) any person, including a “group” as
      defined in Section 13(d)(3) of the Securities Exchange Act of 1934, becomes the owner or beneficial owner of F & M Bank Corp. (the “Holding Company”) securities having 50% or more of the combined voting power of the then outstanding Holding
      Company securities that may be cast for the election of the Holding Company’s directors other than a result of an issuance of securities initiated by the Holding Company, or open market purchases approved by the Holding Company’s Board of Directors
      as long as the majority of the Holding Company’s Board of Directors approving the purchases is a majority at the time the purchases are made; or (ii) as the direct or indirect result of, or in connection with, a tender or exchange offer, a merger or
      other business combination, a sale of assets, a contested election of directors, or any combination of these events, the persons who were directors of the Holding Company before such events cease to constitute a majority of the Holding Company’s
      Board of Directors, or any successor’s board, within one year of the last of such transactions. For purposes of this Agreement, a Change of Control occurs on the date on which an event described in (i) or (ii) occurs. If a Change of Control occurs on
      account of a series of transactions or events, the Change of Control occurs on the date of the last to occur of such transactions or events.

    

    

    (3) It is the intention of the parties that no payment be made or benefit provided to Employee pursuant to this Agreement that would
      constitute an “excess parachute payment” within the meaning of Section 280G of the Code and any regulations thereunder, thereby resulting in a loss of an income tax deduction by the Corporation or the imposition of an excise tax on Employee under
      Section 4999 of the Code. If the independent accountants serving as auditors for the Corporation immediately prior to the date of a Change of Control (or any other accounting firm designated by the Corporation prior to the Change of Control)
      determine that some or all of the payments or benefits scheduled under this Agreement, together with any other payments or benefits to which Employee is entitled under this Agreement or otherwise, would be nondeductible by the Corporation under
      Section 280G of the Code or result in an excise tax under Section 4999 of the Code, then the payments scheduled under this Agreement will be reduced to one dollar less than the maximum amount which may be paid without causing any such payment or
      benefit to be nondeductible or subject to such excise tax. The determination made as to the reduction of benefits or payments required hereunder by the independent accountants shall be binding on the parties.

    

    

    
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    (j) Effective upon Employee’s termination of employment for any reason, Employee shall be deemed to have resigned from all positions that Employee holds as an officer, employee, or
        member of the Board of Directors (or committee thereof) of the Corporation or any of its Affiliates.

    

    

    Section 6. Confidentiality/Nondisclosure and Return of
          Property.

    

    

    (a) For and in consideration of the promises set forth herein, including without limitation Section 5(d) and Section 5(i), Employee has executed as of the date hereof, and affirms
        and agrees to the covenants and agreements set forth in, that certain Non-Competition and Confidentiality Agreement by and between Employee and the Bank, the form of which is attached hereto as Exhibit A and which is incorporated herein by
        reference (the “Restrictive Agreement”), including without limitation Section 3 thereof.  Upon termination of employment for any reason, Employee shall deliver to the Corporation all originals and copies of documents, forms, records or other
        information, in whatever form it may exist, concerning the Corporation, its Affiliates, or the business, customers, products or services of the Corporation or any Affiliate.

    

    

    (b) The following notice is provided pursuant to 18 U.S.C. § 1833:  The U.S. Defense of Trade Secrets Act provides civil and criminal immunity to certain whistleblowers for the
        confidential disclosure of trade secrets (i) to relevant federal government officials or an engaged attorney, when such disclosure is made solely for the purpose of reporting or investigating a suspected violation of law or (ii) in a document filed
        under seal in a lawsuit or other proceeding.

    

    

    Section 7. Non-Competition and Non-Solicitation. Employee
      affirms and agrees to the covenants and agreements set forth in the Restrictive Agreement, including without limitation Sections 1 and 2 thereof.

    

    

    Section 8. Injunctive Relief, Damages, Etc.
      Employee affirms and agrees to the covenants and agreements set forth in the Restrictive Agreement, including without limitation Sections 1 and 4 thereof.

    

    

    Section 9. Binding Effect/Assignability. This
      Agreement shall be binding upon and inure to the benefit of the Corporation and Employee and their respective heirs, legal representatives, executors, administrators, successors and assigns, but neither this Agreement, nor any of the rights
      hereunder, shall be assignable by Employee or any beneficiary or beneficiaries designated by Employee. The Corporation will require any successor (whether direct or indirect, by purchase, merger, consolidation or otherwise) to all or substantially
      all of the business, stock or assets of the Corporation, by agreement in form and substance reasonably satisfactory to Employee, to expressly assume and agree to perform this Agreement in its entirety. Failure of the Corporation to obtain such
      agreement prior to the effectiveness of any such succession shall be a breach of this Agreement. As used in this Agreement, “Corporation” shall include any successor to its business, stock or assets as aforesaid which executes and delivers the
      agreement provided for in this Section 9 or which otherwise becomes bound by all the terms and provisions of this Agreement by operation of law.

    

    

    Section 10. Governing Law; Exclusive Forum.
      This Agreement shall be subject to and construed in accordance with the laws of the Commonwealth of Virginia.  The sole and exclusive forum for any legal action arising out of, or relating in any way to, this Agreement will be the Circuit Court for
      the County of Rockingham, Virginia.

    

    

    Section 11. Invalid Provisions. The invalidity
      or unenforceability of any particular provision of this Agreement shall not affect the validity or enforceability of any other provisions hereof, and this Agreement shall be construed in all respects as if such invalid or unenforceable provisions
      were omitted.

    

    

    Section 12. Notices. Any and all notices,
      designations, consents, offers, acceptance or any other communications provided for herein shall be given in writing and shall be deemed properly delivered if delivered in person or by registered or certified mail, return receipt requested, addressed
      in the case of the Corporation to its registered office or in the case of Employee to her last known address.

    

    

    
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    Section 13. Entire Agreement.

    

    

    (a) This Agreement, as amended and restated hereby, constitutes the entire agreement among the parties with respect to the subject matter hereof and supersedes any and all other
        agreements, either oral or in writing, among the parties hereto with respect to the subject matter hereof, except that the Restrictive Agreement is affirmed, and not superseded, as set forth herein.

    

    

    (b) This Agreement may be executed in one or more counterparts, each of which shall be considered an original copy of this Agreement, but all of which together shall evidence only
        one agreement.

    

    

    Section 14. Amendment and Waiver. This
      Agreement may not be amended except by an instrument in writing signed by or on behalf of each of the parties hereto. No waiver of any provision of this Agreement shall be valid unless in writing and signed by the person or party to be charged.

    

    

    Section 15. Case and Gender. Wherever required
      by the context of this Agreement, the singular or plural case and the masculine, feminine and neuter genders shall be interchangeable.

    

    

    Section 16. Captions. The captions used in
      this Agreement are intended for descriptive and reference purposes only and are not intended to affect the meaning of any Section hereunder.

    

    

    Section 17. Section 409A.  This Agreement is
      intended to comply with Section 409A of the Code or an exemption thereunder and each term hereof shall be construed and administered accordingly.  Notwithstanding any other provision of this Agreement, payments provided under this Agreement may only
      be made upon an event and in a manner that complies with Section 409A of the Code or an applicable exemption.  Any payments under this Agreement that may be excluded from Section 409A of the Code either as separation pay due to an involuntary
      separation from service or as a short-term deferral shall be excluded from Section 409A of the Code to the maximum extent possible.  For purposes of Section 409A of the Code, each payment under this Agreement, including each installment payment under
      this Agreement, shall be treated as a separate payment.  Any payments to be made under this Agreement upon a termination of employment shall only be made upon a “separation from service” under Section 409A of the Code.  Notwithstanding the foregoing,
      the Corporation makes no representations that the payments and benefits provided under this Agreement comply with Section 409A of the Code and in no event shall the Corporation be liable for all or any portion of any taxes, penalties, interest or
      other expenses that may be incurred by Employee on account of non-compliance with Section 409A of the Code.

    

    

    Notwithstanding any other provision of this Agreement, if any payment or benefit provided to Employee in connection with Employee’s
      termination of employment is determined to constitute “nonqualified deferred compensation” within the meaning of Section 409A of the Code and Employee is determined to be a “specified employee” as defined in Section 409A(a)(2)(b)(i) of the Code, then
      such payment or benefit shall not be paid until the first payroll date to occur following the six-month anniversary of the date of termination or, if sooner, the date of Employee’s death (the “Specified Employee Payment Date”).  The aggregate of any
      payments that would otherwise have been paid before the Specified Employee Payment Date shall be paid to Employee in a lump sum on the Specified Employee Payment Date and thereafter, any remaining payments shall be paid without delay in accordance
      with their original schedule.

    

    

    Any payment under Section 5 of this Agreement that is determined to constitute “nonqualified deferred compensation” within the meaning of
      Section 409A of the Code, and that is subject to a release’s becoming effective, and that would otherwise be paid in the first 30 days after your termination date shall be paid, if at all, on such 30th day (subject to any required delay
      under the preceding paragraph) and any remaining payments shall be made in accordance with their original schedule.

    

    

    
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    Payments with respect to reimbursements of expenses or in-kind benefits shall be paid or provided in accordance with the Corporation’s
      applicable policy or benefit plan, but in all events reimbursements shall be paid no later than the 15th day of the third month of the calendar year following the calendar year in which the relevant expense is incurred.  To the extent
      required for compliance with Section 409A of the Code because the right to reimbursement constitutes a deferral of compensation thereunder, the amount of expenses or benefits eligible for reimbursement, payment or provision during a calendar year
      shall not affect the expenses or benefits eligible for reimbursement or provision in any other calendar year.

    

    

    Section 18. Withholding.  The Corporation
      shall withhold from any payments under this Agreement amounts for state and federal income taxes, employment taxes, and such other payroll deductions as may from time to time be required by law.

    

    

    Section 19. Regulatory Prohibition. 
      Notwithstanding anything in this Agreement to the contrary, it is understood and agreed that neither the Corporation nor the Bank (nor any of their respective successors in interest) shall be required to make any payment or take any action under this
      Agreement if: (i) such payment or action is prohibited by any governmental agency having jurisdiction over the Corporation or any of its subsidiaries (a “Regulatory Authority”) because the Corporation or any of its subsidiaries is determined by such
      Regulatory Authority to be troubled, insolvent, in default or operating in an unsafe or unsound manner; or (ii) such payment or action (A) would be prohibited by or would violate any provision of state or federal law applicable to the Corporation or
      any of its subsidiaries, including, without limitation, the Federal Deposit Insurance Act and the regulations thereunder presently found at 12 C.F.R. Part 359, as now in effect or hereafter amended, (B) would be prohibited by or would violate any
      applicable rules, regulations, orders or statements of policy, whether now existing or hereafter promulgated, or any Regulatory Authority or (C) otherwise would be prohibited by any Regulatory Authority. If any payment hereunder is found by any
      Regulatory Authority, after a full and fair opportunity to be heard, to be in violation of the foregoing, any payment found to have been made in violation of the foregoing shall be immediately returned by Employee to the Corporation.

    

    

    [Signatures on next page]

    
      8

      
        

    

    

    

    IN WITNESS WHEREOF, the parties have executed this Agreement as of the day and year first above written.

    

    

    	 	
            F&M BANK CORP.

          	 
	 	 	 	 
	 	
            By:

          	
            /s/ Mark C. Hanna

          	 
	 	
            Name:

          	
            Mark C. Hanna

          	 
	 	
            Title:

          	
            President and Chief Executive Officer

          	 
	 	 	 	 
	 	 	 	 
	 	
            FARMERS & MERCHANTS BANK

          	 
	 	 	 	 
	 	
            By;

          	
            /s/ Mark C. Hanna

          	 
	 	
            Name:

          	
            Mark C. Hanna

          	 
	 	
            Title:

          	
            President and Chief Executive Officer

          	 
	 	 	 	 
	 	 	 	 
	 	
            EMPLOYEE

          	 
	 	 	 
	 	
            /s/ Lisa F. Campbell

          	 
	 	
            Lisa F. Campbell

          	 

    

    

    

    

    

    

    

    

    

    

    
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    EXHIBIT A

    FORM OF RESTRICTIVE AGREEMENT

    

    

    NON-COMPETITION AND

    CONFIDENTIALITY AGREEMENT

    

    

    THIS NON-COMPETITION AND CONFIDENTIALITY AGREEMENT (hereinafter “Agreement”), dated this 18th day of October, 2022,
      by and between Farmers & Merchants Bank (hereinafter “Bank”) and Lisa F. Campbell (hereinafter “Employee”).  This Agreement supersedes any previous agreements, including without limitation any non-competition and confidentiality agreements,
      between the parties concerning Employee’s employment, other than the employment agreement by and among F&M Bank Corp., Bank and
      Employee entered into in connection with Employee’s hiring by Bank, which employment agreement is not superseded hereby.

    WHEREAS, Bank is willing to enter into an employment agreement, of even date herewith (the “Employment Agreement”)
      to Employee only on the condition that Employee executes this Agreement including, specifically, the confidentiality and post-termination covenants contained herein; and

    WHEREAS, Employee specifically represents and warrants that she is not a party or subject to any covenant not to compete or other agreement with any employer or person that prevents the
        performance of her services hereunder; and

    WHEREAS, the parties acknowledge and agree that the covenants contained in this Agreement are in consideration for
      the Employment Agreement and payments that may be made thereunder including payments that may be made under Section 5(d) and Section 5(i) of the Employment Agreement; and

    NOW, THEREFORE, in consideration of employment, the premises, the mutual promises, covenants and conditions
      contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged by both parties, Bank and Employee agree as follows:

    1. Covenant Not to Solicit or Perform Competing Services for Customers of Bank.  Employee
        specifically agrees for a period of Eighteen (18) Months following the termination of Employee’s employment with Bank, for any reason including retirement, Employee will not solicit or provide services to any Customer of Bank (as defined herein)
        where those services compete with the services that Employee was providing for Bank at any time during the twelve (12) month period prior to the termination of Employee's employment.  The term "Customer of Bank," as used herein, shall mean any
        person or entity for whom Employee performed or actively sought to provide services on behalf of Bank at any time during the twelve (12) month period prior to the termination of Employee's employment with Bank.  This restriction shall only apply
        within the Marketing Area of Bank, which is defined to encompass the following geographic regions in the Commonwealth of Virginia, specifically: the counties of Rockingham, Augusta, Shenandoah, Page and Frederick, and the cities of Staunton,
        Waynesboro, Harrisonburg and Winchester.  Additionally, this restriction is not intended to prohibit Employee from selling or offering similar services to persons or entities who are not Customers of Bank.

     

      

    
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    2. Covenant Not to Solicit or Hire Employees.  The parties acknowledge and agree that
        during Employee's employment with Bank and for a period of Eighteen (18) months after Employee's employment with Bank ceases, for whatever reason, Employee shall not, on Employee's own behalf or on behalf of any other person or entity, solicit for
        employment or hire, or assist in the solicitation or hiring, of any other employee who works for or is affiliated with  Bank. This includes, but is not limited to: (a) providing to any such prospective employer the identities of any of Bank’s
        employees; or (b) assisting any of Bank’s employees in obtaining employment with Employee's new employer through the dissemination of resumes or otherwise.

    3. Confidential Information and Trade Secrets.  Employee agrees to protect and hold in
        confidence all Trade Secrets and Confidential Information belonging to Bank (hereinafter collectively referred to as “Bank Information”) that Employee has received through or as a result of Employee’s employment by Bank and to take no action that
        may cause any such information to lose its character as Bank Information.  Employee shall neither disclose, divulge nor communicate to any third party any such Bank Information.

    For purposes of this Paragraph 3, “Confidential Information” means confidential data and confidential information
      relating to Bank’s business (which does not rise to the status of a Trade Secret) which has value to Bank and is not generally known to its competitors or other third parties, such as Bank pricing information, marketing information, profit margins,
      customer information, customer preferences, customer lists, and other marketing and sales information that would have value if disclosed to competitors.  Confidential Information shall not include any data or information that (i) has been voluntarily
      disclosed to the public by Bank, (ii) has been independently developed and disclosed to the public by others, (iii) otherwise enters the public domain through lawful means, or (iv) was already known by Employee at the time of disclosure, and which is
      not otherwise protected by law.  The provisions in this Agreement restricting the disclosure and use of Confidential Information shall apply during your employment with Bank and for a period of five (5) years following such employment or (if longer)
      for so long as the Confidential Information constitutes a trade secret under federal or Virginia law; provided, however, that the restrictions on disclosing or using customer or other information protected by law shall remain in effect as required by
      federal or state laws and regulations including specifically banking laws and regulations.

    For purposes of this Paragraph 3, “Trade Secrets” is defined as it is defined in the Uniform Trade Secrets Act,
      Virginia Code § 59.1-336.  The provisions in this Agreement restricting the disclosure and use of Trade Secrets shall survive the execution of the Agreement and shall survive for so long as the respective information qualifies as a trade secret under
      applicable law.

    4. Injunctive and Other Relief.   Bank and Employee further agree that in the event
        Employee breaches any of the restrictive covenants herein contained in any way whatsoever, Bank will suffer irreparable harm, and accordingly, shall be entitled to seek injunctive relief to prohibit and enjoin Employee from any continued breach
        thereof and to recover from Employee its costs and attorney’s fees incurred in enforcing and pursuing its rights herein. The parties agree that the awarding of such injunctive or equitable relief, to the extent allowed by law, will be without the
        necessity of posting a bond, cash or otherwise. Additionally, Bank is entitled to seek to recover in law or equity any other damages to which Bank may be entitled as a result of any breach by Employee of these restrictive covenants plus all costs
        and expenses including legal fees.  If Bank is successful in obtaining injunctive relief, such injunctive relief may be applied prospectively to include the duration of the covenant unexpired at the time of the first breach, notwithstanding that
        the covenant may otherwise have expired at the time relief is granted.

    5. Reasonable of Covenants.  Both parties agree and acknowledge that the covenants and
        definitions set forth in Paragraphs 1 through 3 above are reasonable and just in view of the nature, scope and size of Bank’s business activities, and the confidential knowledge to which Employee has access.

    6. Savings and Severability Clause.  Each provision contained herein is an independent
        and severable agreement between the parties.  Should one or more provisions be deemed invalid, unlawful or unenforceable under the laws of the Commonwealth of Virginia or any other applicable law, each and every other provision shall remain in
        effect and enforceable by the parties.

    7. Waiver.  The waiver or failure to enforce any provision contained in this Agreement
        shall not operate or be construed as consent to any breach by Employee nor shall any waiver of or failure to enforce any provision affect  Bank’s ability to enforce each and every provision of this Agreement at all times.

    8. Amendment.  No change to this Agreement shall be effective unless set forth in
        writing, and agreed to by the parties, as evidenced by their signatures thereupon.

    9. Choice of Law.  This Agreement is made under and will be construed and interpreted in
        accordance with the laws of the Commonwealth of Virginia.

    10. Exclusive Forum.  The sole and exclusive forum for any legal action arising out of, or
        relating in any way to, this Agreement will be the Circuit Court for the County of Rockingham, Virginia.

    11. Successors and Assigns. The provisions of this Agreement shall be binding upon the parties hereto and upon any successor to
        or assignee of Bank.

    
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    12. Assignability.  Employee may not assign her rights and obligations under this Agreement.  Employee, however, acknowledges and agrees that Bank may assign its rights and
          obligations under this Agreement to any affiliate of Bank, or any other successor entity in the event of the merger or consolidation of  Bank or in connection with the sale of all or substantially all of  Bank’s business or assets.

    IN WITNESS WHEREOF, the parties have hereunto caused this Agreement to be executed, all on the day and year first
      above written.

    	 	
            Bank:

          	 
	 	
            Farmers & Merchant Bank

          	 
	 	 	 
	 	
            By:

          	
            /s/ Mark C. Hanna

          	 
	 	
            Name:

          	
            Mark C. Hanna

          	 
	 	
            Title:

          	
            President and Chief Executive Officer

          	 
	 	 	 	 
	 	
            Employee:

          	 
	 	 	 
	 	
            /s/ Lisa F. Campbell

          	 
	 	
            Lisa F. Campbell

          	 

    

    

    

    

    

    

    

    

  

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