Document:

exv4w2

 

EXHIBIT 4.2

ONE EARTH ENERGY, LLC

SUBSCRIPTION AGREEMENT

Class B Limited Liability Company Membership Units

$5,000.00 per Class B Unit

Minimum Investment of 5 Class B Units ($25,000)

Increments of 1 Class B Unit Thereafter ($5,000)

The undersigned subscriber (sometimes referred to as “you” or the “Subscriber”), desiring to become
a member of One Earth Energy, LLC, an Illinois limited liability company, with its principal place
of business at 1306 West 8th Street, Gibson City, Illinois (the “Company”), hereby
subscribes for the purchase of Class B membership units (“Units”) of the Company, and agrees to pay
the related purchase price, identified below.

A. SUBSCRIBER INFORMATION. Please print your individual or entity name and address. Joint
subscribers should provide their respective names. Your name and address will be recorded exactly
as printed below.

	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	1.	 	 	Subscriber’s Printed Name	 	 	 	 
	 

	 	 	 	 	 	 	 	 

	 	 
	 

	 	 	2.	 	 	Title, if applicable:	 	 	 	 
	 

	 	 	 	 	 	 	 	 

	 	 
	 

	 	 	3.	 	 	Subscriber’s Address:	 	 	 	 
	 

	 	 	 	 	 	 	 	 

	 	 
	 

	 	 	 	 	 	      Street	 	 	 	 
	 

	 	 	 	 	 	 	 	 

	 	 
	 

	 	 	 	 	 	     City, State, Zip Code	 	 	 	 
	 

	 	 	 	 	 	 	 	 

	 	 
	 

	 	 	4.	 	 	Telephone:	 	 	 	 
	 

	 	 	 	 	 	 	 	 

	 	 
	 

	 	 	5.	 	 	E-mail Address:	 	 	 	 
	 

	 	 	 	 	 	 	 	 

	 	 

B. NUMBER OF UNITS PURCHASED. You must purchase at least 5 Units. Your ownership interest
may not exceed ___% of all of the Company’s outstanding Units. The Company presently has ___
Units outstanding. Therefore, the maximum number of Units you may own is ___Units if the
Company sells the minimum number of Units offered, and ___Units if the Company sells the maximum
number of Units offered. Please indicate the number of Units you are purchasing in the following
box:

	 	 	 	 	 	 	 
	 
	 	 	 	 

	 	 	 	 	 	 	 
	C.  PURCHASE PRICE. Indicate the dollar amount of your investment (minimum investment is $25,000).

	 	 	 	 	 	 	 	 	 
	     1. Total Purchase Price	 	=
	 	     2. 1st Installment	 	+
	 	      3. 2nd Installment
	($5,000.00 Per Unit multiplied
	 	 	 	        (10% of the Total Purchase
	 	 	 	        (90% of the Total Purchase
	by the number in box B above.)
	 	 	 	        Price)
	 	 	 	        Price)
	 

	 	=
	 	 

	 	+
	 	 

D. GENERAL INSTRUCTIONS FOR SUBSCRIBERS:

You should read the Prospectus dated [Date of Effectiveness] (the “Prospectus”) in its entirety,
including exhibits, for a complete explanation of an investment in the Company. To subscribe, you
must:

INSTRUCTIONS IF YOU ARE SUBSCRIBING PRIOR TO THE COMPANY’S RELEASE OF FUNDS FROM
ESCROW: If you are subscribing prior to the Company’s release of funds from escrow, you
must follow Steps 1 through 5 below:

     1. Complete all information required in this Subscription
Agreement, and date and sign the Subscription Agreement on page 6 and the
Member Signature Page to
the Company’s Operating Agreement attached to this Subscription
Agreement as EXHIBIT “A.”

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          2.      Provide your personal (or business) check for the first installment of ten
percent (10%) of your investment amount made payable to “First Busey Trust, escrow agent for One
Earth Energy, LLC.” You will determine this amount in box C.2 on page 1 of this
Subscription Agreement.

          3.      Execute the Promissory Note and Security Agreement on page 7 of this Subscription
Agreement, evidencing your obligation to pay the remaining ninety percent (90%) due for the
Units and granting the Company a security interest in your Units.

          4.      Deliver each of the original executed documents referenced in numbered paragraphs 1
and 3 of these instructions, together with your personal or business check referenced in
numbered paragraph 2 of these instructions to either of the following:

	 	 	 	 	 	 	 
	 

	 	One Earth Energy, LLC
	 	 	 	First Busey Trust
	 

	 	Attention: Steve Kelly
	 	 	 	Attention: Scott MacAdam
	 

	 	1306 West 8th Street
	 	 	 	P.O. Box 3309
	 

	 	Gibson City, IL 60936
	 	OR
	 	Champaign, IL 61826

          5.      Within thirty (30) days of your receipt of written notice from the Company stating
that its sales of Units have exceeded the minimum offering amount of
$55,000,000, you must
deliver to the Company at either of the addresses referenced in numbered paragraph 4 of
these instructions an additional personal (or business) check for the remaining ninety
percent (90%) of your investment amount made payable to “Busey Bank, escrow agent for One
Earth Energy, LLC,” in satisfaction of your deferred payment obligations under the
Promissory Note and Security Agreement. You will determine this amount in box C.3 on page 1
of this Subscription Agreement. If you fail to pay the second installment pursuant to the
Promissory Note and Security Agreement, the Company shall be entitled to retain your first
installment and to seek other damages, as provided in the Promissory Note and Security
Agreement.

          If you are subscribing prior to release of funds from escrow, your funds will be placed
in the Company’s escrow account at Busey Bank. The funds will be released to the Company or
returned to you in accordance with the escrow arrangements described in the Prospectus. The
Company may, in its sole discretion, reject or accept any part or all of your subscription.
If the Company rejects your subscription, your Subscription Agreement and investment will be
promptly returned to you, plus nominal interest, minus escrow fees. It is likely that the
Company may not consider the acceptance or rejection of your subscription until a future
date near the end of this offering.

INSTRUCTIONS IF YOU ARE SUBSCRIBING AFTER THE COMPANY’S RELEASE OF FUNDS FROM
ESCROW: If you are subscribing after the Company’s release of funds from escrow, you must
follow Steps 1 through 3 below:

          1.      Complete all information required in this Subscription Agreement, and date and sign
the Subscription Agreement on page 6 and the Member Signature Page to our Operating
Agreement attached to this Subscription Agreement as EXHIBIT “A.”

          2.      Provide your personal (or business) check for the entire amount of your investment
(as determined in Box C.1 on page 1) made payable to “One Earth Energy, LLC.”

          3.      Deliver the original executed documents referenced in numbered paragraph 1 of these
instructions, together with your personal or business check described in numbered paragraph
2 of these instructions to the following:

One Earth Energy, LLC

Attention: Steve Kelly

1306 West 8th Street

Gibson City, IL 60936

          If you are subscribing after the Company has released funds from escrow and the Company
accepts your investment, your funds will be immediately at-risk as described in the
Prospectus. The

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Company may, in its sole discretion, reject or accept any part or all of your subscription.
If the Company rejects your subscription, your Subscription Agreement and investment will be
returned to you promptly, plus nominal interest, minus escrow fees. It is likely that the
Company may not consider the acceptance or rejection of your subscription until a future
date near the end of this offering.

You may direct your questions to one of our directors listed below or to the Company at (217)
487-4284.

	 	 	 	 	 
	NAME	 	POSITION	 	PHONE NUMBER
	Steve Kelly

	 	Director & President
	 	(217) 487-4284
	Scott Docherty

	 	Director & Vice President
	 	(217) 678-2261
	Jack Murray

	 	Director & Secretary/Treasurer
	 	(217) 643-7440
	Patrick Feeney

	 	Director
	 	(217) 762-2087
	Dave Hastings

	 	Director
	 	(217) 396-4111
	Cary Hinton

	 	Director
	 	(217) 678-8333
	Robert Landau

	 	Director
	 	(309) 723-6349
	Roger Miller

	 	Director
	 	(217) 485-6630
	Patrick Quintan

	 	Director
	 	(217) 396-7327
	Louis Schwing, Jr.

	 	Director
	 	(217) 897-1111

	E.	 	Additional Subscriber Information. The Subscriber certifies the following under penalties of
perjury:

	 	1.	 	Form of Ownership. Check the appropriate box (one only) to indicate form of
ownership. If the Subscriber is a Custodian, Corporation, Partnership or Trust, please
provide the additional information requested.

	 	 	 	 	 	 	 	 	 	 	 
	 	 	o	 	Individual	 	 	 	 
	 	 	o	 	Joint Tenants with Right of Survivorship (Both signatures must appear on Page 6.)
	 	 	o	 	Corporation, Limited Liability Company or Partnership
(Corporate Resolutions, Operating Agreement or Partnership Agreement must be
enclosed.)
	 	 	o	 	Trust	 	 
	 

	 	 	 	 	 	Trustee’s Name:	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	Trust Date:	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 
	 	 	o	 	Other: Provide detailed information in the space immediately below.
	 
	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 

	 	2.	 	Subscriber’s Taxpayer Information. Check the appropriate box if you are a
non-resident alien, a U.S. citizen residing outside the United States, or are subject
to backup withholding. Trusts should provide their taxpayer identification number.
Custodians should provide the minor’s Social Security Number. All individual
subscribers should provide their Social Security Number. Other entities should provide
their taxpayer identification number.

	 	 	 	 	 	 	 	 	 	 	 
	 	 	o	 	Check box if you are a non-resident alien	 	 
	 	 	o	 	Check box if you are a U.S. citizen residing outside of the United States
	 	 	o	 	Check this box if you are subject to backup withholding	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 	 	Subscriber’s Social Security No.	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 
	 	 	Joint Subscriber’s Social Security No.	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 
	 	 	Taxpayer Identification No.	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 

	 	3.	 	Member Report Address. If you would like duplicate copies of member reports
sent to an address that is different than the address identified in Section A above,
please complete this section.

	 	 	 	 	 	 	 	 	 	 	 
	 	 	Address:	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 

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	 	4.	 	State of Residence.

	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 	 	State of Principal Residence:	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 
	 	 	State where driver’s license is issued:	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 
	 	 	State where resident income taxes are filed:	 	 	 	 
	 

	 	 	 	 	 	 	 	 	 	 
	 	 	State(s) in which you have maintained your principal residence during the past three
years:

	 	 	 	 	 	 	 	 	 
	 	a

	 	 	b.
	 	 	c.	 
	 

	 	5.	 	Suitability Standards. You cannot invest in the Company unless you meet one or
more of the following suitability tests (a and b) set forth below. Please review the
suitability tests and check the box(es) next to the following suitability test that you
meet. For husbands and wives purchasing jointly, the tests below will be applied on a
joint basis.

	 	a.     o	 	I (We) have annual income from whatever
source of at least $45,000 and a net worth of at least $45,000,
exclusive of home, furnishings and automobiles; or
	 
	 	b.     o	 	I (We) have a net worth of at least $100,000,
exclusive of home, furnishings and automobiles.

	 	6.	 	Subscriber’s Representations and Warranties. You must read and certify your
representations and warranties and sign and date this Subscription Agreement.
	 
	 	 	 	By signing below the Subscriber represents and warrants to the Company that he, she or
it:

	 	a.	 	has received a copy of the Company’s Prospectus dated
[effective date] and all exhibits thereto;
	 
	 	b.	 	has been informed that the Units of the Company are offered and
sold in reliance upon: (i) a federal securities registration;
(ii) Illinois, Indiana, Iowa, Missouri and Wisconsin (and,
potentially, various other states) securities registrations; and (iii) exemptions from securities
registrations in Minnesota and various other states.
	 
	 	c.	 	understands that the Units subscribed for pursuant to this
Subscription Agreement can only be sold to a person meeting requirements of
suitability;
	 
	 	d.	 	has been informed that the Units subscribed for pursuant to
this Subscription Agreement have not been registered under the securities laws
of any state other than the States of Illinois, Indiana, Iowa, Missouri and Wisconsin (and,
potentially, various other states), and that the
Company is relying in part upon the representations of the undersigned
Subscriber contained herein;
	 
	 	e.	 	has been informed that the Units subscribed for pursuant to
this Subscription Agreement have not been approved or disapproved by the
Illinois, Indiana, Iowa, Missouri and Wisconsin (and,
potentially, various other states) Securities Departments or any other regulatory authority,
nor has any regulatory authority passed upon the accuracy or adequacy of the
Prospectus;
	 
	 	f.	 	intends to acquire the Units for his/her/its own account
without a view to public distribution or resale and that he/she/it has no
contract, undertaking, agreement or arrangement to sell or otherwise transfer
or dispose of any Units or any portion thereof to any other person or entity;
	 
	 	g.	 	understands that: (i) there is no present market for the
Company’s Units; (ii) the Units will not trade on an exchange or automatic
quotation system; (iii) no such market is expected to develop in the future;
and (iv) there are significant restrictions on the transferability of the
Units;

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	 	h.	 	has been encouraged to rely upon the advice of his/her/its
legal counsel and accountants or other financial advisers with respect to the
tax and other considerations relating to the purchase of Units;
	 
	 	i.	 	has received a copy of the Company’s Operating Agreement, dated
February 16, 2006, as amended and restated on July 10, 2006, and understands that
upon closing the escrow by the Company, the Subscriber and the Units will be
bound by the provisions of the Operating Agreement, including, among others,
provisions restricting the transfer of Units;
	 
	 	j.	 	understands that the Units are subject to substantial
restrictions on transfer under state securities laws in addition to the
restrictions contained in the Company’s Operating Agreement, and agrees that if
the Units or any part thereof are sold or distributed in the future, the
Subscriber shall sell or distribute them only in strict accordance with the
terms of the Company’s Operating Agreement, and the requirements of the
Securities Act of 1933, as amended, and applicable state securities laws;
	 
	 	k.	 	meets the suitability test marked in numbered paragraph 5 of
Section E of this Subscription Agreement, and is capable of bearing the
economic risk of this investment, including the possible total loss of the
investment;
	 
	 	l.	 	understands that the Company will place a restrictive legend on
any certificate representing Units, containing substantially the following
language as the same may be amended by the Company’s Directors in their sole
discretion:

THE TRANSFERABILITY OF THE MEMBERSHIP UNITS REPRESENTED BY THIS
CERTIFICATE IS RESTRICTED. SUCH UNITS MAY NOT BE SOLD, ASSIGNED,
OR TRANSFERRED, AND NO ASSIGNEE, VENDEE, TRANSFEREE OR ENDORSEE
THEREOF WILL BE RECOGNIZED AS HAVING ACQUIRED ANY SUCH UNITS FOR
ANY PURPOSES, UNLESS AND TO THE EXTENT SUCH SALE, TRANSFER,
HYPOTHECATION, OR ASSIGNMENT IS PERMITTED BY, AND IS COMPLETED IN
STRICT ACCORDANCE WITH, APPLICABLE FEDERAL AND STATE LAW AND THE
TERMS AND CONDITIONS SET FORTH IN THE OPERATING AGREEMENT OF THE
COMPANY, AS AMENDED FROM TIME TO TIME.

THE SECURITIES REPRESENTED BY THIS CERTIFICATE MAY NOT BE SOLD,
OFFERED FOR SALE OR TRANSFERRED IN THE ABSENCE OF AN EFFECTIVE
REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS AMENDED, AND
UNDER APPLICABLE STATE SECURITIES LAWS, OR AN OPINION OF COUNSEL
SATISFACTORY TO THE COMPANY THAT SUCH TRANSACTION IS EXEMPT FROM
REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS AMENDED, AND
UNDER APPLICABLE STATE SECURITIES LAWS.

	 	m.	 	understands that, to enforce the above legend, the Company may
place a stop transfer order with its registrar and stock transfer agent (if
any) covering all certificates representing Units;
	 
	 	n.	 	has sufficient knowledge and experience in business and
financial matters so as to be able to evaluate the merits and risks of an
investment in the Units;
	 
	 	o.	 	believes that the investment in Units is suitable for
the Subscriber and that he/she/it can bear the economic risk of the purchase of
Units, including the total loss of his/her/its investment;

	 
	 	p.	 	may not transfer or assign this Subscription Agreement, or any
of the Subscriber’s interest herein;
	 
	 	q.	 	has written his/her/its correct taxpayer identification number
under numbered paragraph 2 in Section E of this Subscription Agreement;

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	 	r.	 	is not subject to back up withholding, either because the
Subscriber has not been notified by the Internal Revenue Service (“IRS”) that
he/she/it is subject to backup withholding as a result of a failure to report
all interest or dividends, or because the IRS has notified the Subscriber that
he/she/it is no longer subject to backup withholding (Note this
clause (r)
should be crossed out if the backup withholding box in numbered paragraph 2 of
Section E of this Subscription Agreement is checked);
	 
	 	s.	 	understands that execution of the Promissory Note and Security
Agreement on page 7 of this Subscription Agreement will allow the Company and
its successors and assigns to pursue the Subscriber for payment of the amount
due thereon by any legal means, including, but not limited to, acquisition of a
judgment against the Subscriber in the event that the Subscriber defaults on
that Promissory Note and Security Agreement; and
	 
	 	t.	 	acknowledges that the Company may retain possession of
certificates representing th Subscriber’s Units to perfect its security
interest in those Units.

Signature of Subscriber/ Joint Subscriber:

Date:                                                            

	 	 	 
	Individuals:	 	Entities:
	 
	 	 
	 

	 	 
	     Name of Individual Subscriber (Please Print)

	 	Name of Entity (Please Print)
	 
	 	 
	 

	 	 
	     Signature of Individual

	 	Print Name and Title of Officer
	 
	 	 
	 

	 	 
	     Name of Joint Individual Subscriber (Please Print)

	 	Signature of Officer
	 
	 	 
	 

     Signature of Joint Individual Subscriber

	 	 
	 
	 	 
	ACCEPTANCE OF SUBSCRIPTION BY ONE EARTH ENERGY, LLC:
	 
	 	 
	One Earth Energy, LLC hereby accepts the subscription for the above Units.
	 
	 	 
	Dated this ____ day of                                         , 200__.
	 
	 	 
	ONE EARTH ENERGY, LLC
	 	 

	 	 	 	 	 
	By:
	 	 	 	 
	 

	 	 

	 	 
	 
	 	 	 	 
	Its:
	 	 	 	 
	 

	 	 

	 	 

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PROMISSORY NOTE AND SECURITY AGREEMENT

Date of Subscription Agreement:                                                             , 200___.

$5,000.00 per Class B Unit

Minimum Investment of 5 Units ($25,000), 1 Class B Unit Increments Thereafter ($5,000)

	 	 	 
	                                              

	 	Number of Units subscribed
	 
	 	 
	                                              

	 	Total Purchase Price ($5,000.00 per Unit multiplied by number of Units subscribed)
	 
	 	 
	  (                                        )  

	 	Less Initial Payment (10% of Principal Amount)
	 
	 	 
	                                              

	 	Principal Balance

FOR VALUE RECEIVED, the undersigned hereby promises to pay to the order of One Earth Energy, LLC,
an Illinois limited liability company (“One Earth Energy”), at its principal office located at 1306
West 8th Street, Gibson City, IL 60936, or at such other place as required by One Earth
Energy, the Principal Balance set forth above in one lump sum to be paid without interest within 30
days following the call of the One Earth Energy Board of Directors, as described in the
Subscription Agreement. In the event the undersigned fails to timely make any payment owed, the
entire balance of any amounts due under this full recourse Promissory Note and Security Agreement
shall be immediately due and payable in full with interest at the rate of 12% per annum from the
due date and any amounts previously paid in relation to the obligation evidenced by this Promissory
Note and Security Agreement may be forfeited at the discretion of One Earth Energy.

The undersigned agrees to pay to One Earth Energy on demand, all costs and expenses incurred to
collect any indebtedness evidenced by this Promissory Note and Security Agreement, including,
without limitation, reasonable attorneys’ fees. This Promissory Note and Security Agreement may
not be modified orally and shall in all respects be governed by, construed, and enforced in
accordance with the laws of the State of Illinois.

The provisions of this Promissory Note and Security Agreement shall inure to the benefit of One
Earth Energy and its successors and assigns, which expressly reserves the right to pursue the
undersigned for payment of the amount due thereon by any legal means in the event that the
undersigned defaults on obligations provided in this Promissory Note and Security Agreement.

The undersigned waives presentment, demand for payment, notice of dishonor, notice of protest, and
all other notices or demands in connection with the delivery, acceptance, performance or default of
this Promissory Note and Security Agreement.

The undersigned grants to One Earth Energy, and its successors and assigns (“Secured Party”), a
purchase money security interest in all of the undersigned’s Membership Units of One Earth Energy
now owned or hereafter acquired. This security interest is granted as non-exclusive collateral to
secure payment and performance on the obligation owed Secured Party from the undersigned evidenced
by this Promissory Note and Security Agreement. The undersigned further authorizes Secured Party to
retain possession of certificates representing such Membership Units and to take any other actions
necessary to perfect the security interest granted herein.

	 	 	 	 	 	 	 
	Dated:           , 200  .	 	 	 	 
	OBLIGOR/DEBTOR:	 	JOINT OBLIGOR/DEBTOR:
	 
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	 
	Printed or Typed Name of Obligor	 	Printed or Typed Name of Joint Obligor
	 
	 	 	 	 	 	 
	By:

	 	 	 	By:	 	 
	 

	 	 
	 	 	 	 
	 

	 	(Signature)
	 	 	 	(Signature)
	 
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	 	 	 
	Officer Title if Obligor is an Entity	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	 	 	 
	Address of Obligor	 	 	 	 

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EXHIBIT “A”

MEMBER SIGNATURE PAGE

ADDENDA

TO THE

OPERATING AGREEMENT

OF

ONE EARTH ENERGY, LLC

          The undersigned does hereby represent and warrant that the undersigned, as a condition to
becoming a Member in One Earth Energy, LLC, has received a copy of
the Operating Agreement, amended and restated on July 10, 2006, and, if applicable, all amendments and modifications thereto, and does hereby
agree that the undersigned, along with the other parties to the Operating Agreement, shall be
subject to and comply with all terms and conditions of said Operating Agreement in all respects as
if the undersigned had executed said Operating Agreement on the original date thereof and that the
undersigned is and shall be bound by all of the provisions of said Operating Agreement from and
after the date of execution hereof.

	 	 	 
	Individuals:	 	Entities:
	 
	 	 
	 
	 	 
	 

	 	 
	          Name of Individual Member (Please Print)

	 	                    Name of Entity (Please Print)
	 
	 	 
	 
	 	 
	 

	 	 
	          Signature of Individual

	 	                    Print Name and Title of Officer
	 
	 	 
	 
	 	 
	 

	 	 
	          Name of Joint Individual Member (Please Print)

	 	                    Signature of Officer
	 
	 	 
	 
	 	 
	 

          Signature of Joint Individual Member

	 	 

Agreed and accepted on behalf of the

Company and its Members:

ONE EARTH ENERGY, LLC

	 	 	 	 	 
	By:
	 	 	 	 
	 

	 	 

	 	 
	 
	 	 	 	 
	Its:exv4w3

 

 
EXHIBIT 4.3

ESCROW AGREEMENT

          THIS ESCROW AGREEMENT (this “Agreement”) is made this 10th day of July, 2006, by and
between the Company, LLC, an Illinois limited liability company
(the “Company”) and First Busey Trust, as escrow agent (the “Escrow Agent”).

W I T N E S S E T H:

          WHEREAS, the Company proposes to offer certain of its
Membership Units (the “Units”) at a price of Five Thousand Dollars ($5,000) per Unit, with a minimum purchase of Five (5)
Units, in an offering (the “Offering”) conducted pursuant to a registration statement (the
“Registration Statement”) filed or to be filed with the Securities and Exchange Commission and
various states, including, without limitation, the States of Illinois and Indiana, and pursuant to
exemptions in other states;

          WHEREAS, the Company will allow investors in the Offering to deliver the purchase price of the
subscribed Units in installments; and

          WHEREAS, the Company desires to comply with the requirements of federal and state securities
laws and regulations, and desires to protect the investors in the Offering by providing, under the
terms and conditions herein set forth, for the return to subscribers of the money which they may
pay on account of purchases of Units in the Offering if the “Minimum Escrow Deposit” (as
hereinafter defined) is not deposited with the Escrow Agent.

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

          1.      Acceptance of Appointment. First Busey Trust hereby agrees to act as the Escrow Agent
under this Agreement. The Escrow Agent shall have no duty to enforce any provision hereof
requiring performance by any other party hereunder.

          2.      Establishment of Escrow Account. An escrow account (the “Escrow Account”) is
hereby established with the Escrow Agent for the benefit of the investors in the Offering. Except
as specifically provided in this Agreement, the Escrow Account shall be created and maintained
subject to the customary rules and regulations of the Escrow Agent pertaining to such accounts.

          3.      Ownership of Escrow Account. Until such time as the funds deposited in the Escrow
Account (the “Escrow Funds”) shall equal the Minimum Escrow Deposit (as hereinafter defined), the
funds deposited in the Escrow Account by the Company shall not become the property of the Company
or be subject to the debts of the Company or any other person, but shall be held by the Escrow
Agent solely for the benefit of the investors who have subscribed for Units in the Offering.

          4.      Deposit of Proceeds. All proceeds from subscriptions in the Offering shall be
delivered by the Company to the Escrow Agent, within forty-eight hours of receipt, endorsed (if

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appropriate) to the order of the Escrow Agent, together with an appropriate written statement
setting forth the name, address and social security number of each person subscribing for Units,
the number of Units subscribed for, and the amount paid by each such subscriber. Any such proceeds
deposited with the Escrow Agent in the form of uncollected checks shall be promptly presented by
the Escrow Agent for collection through customary banking and clearing house facilities.

          5.      Investment of Escrow Account. The Escrow Funds shall be credited by the Escrow
Agent and recorded in the Escrow Account. The Escrow Agent shall be permitted, and is hereby
authorized and directed to deposit transfer, hold and invest all Escrow Funds, including principal
and interest, in Federal Government Obligations or obligations issued and/or guaranteed as to
principal and interest by agencies or instrumentalities of the U.S. Government or common funds or
mutual funds which invest primarily in such obligations. Any interest received by Escrow Agent
with respect to the Escrow Funds shall be paid pursuant to the terms of this Agreement.

          6.      Termination of Escrow. Unless sooner terminated pursuant to Section 7 below, this
Agreement and the Escrow Account created hereunder shall terminate as of the date (the “Termination
Date”), which is one year and one day following the date upon which the Securities and Exchange
Commission authorizes the Offering (the “Offering Effective Date”); provided, however, that if
prior to the Termination Date, the Company has accepted subscriptions for Units equal to the
minimum offering amount, and the Company has advised the subscribers for those Units to remit to
the Escrow Agent the balance of the purchase price, then the Escrow Account may continue beyond the
Termination Date until all amounts payable by such subscribers have been paid and the conditions
for releasing the Escrow Funds have been satisfied. In no event shall this date be later than
three (3) months following the Termination Date.

          7.      Disposition of Escrow Funds. The Escrow Agent shall have the following duties and
obligations under this Agreement:

          A.      The Escrow Agent shall send to the Company every seven (7) days a written itemized
notice acknowledging the receipt and amount of the Escrow Funds.

          B.      The Escrow Agent shall give the Company prompt written notice when the Escrow Funds,
exclusive of interest, equal or exceed ten percent (10%) of the Minimum Escrow Deposit.
Following receipt of such notice, the Company will advise the subscribers for Units to remit
to the Escrow Agent the balance of the purchase price within thirty (30) days. The Escrow
Agent shall give the Company prompt written notice when the Escrow Funds, exclusive of
interest, equal or exceed the Minimum Escrow Deposit.

          C.      At the time (and in the event) that: (a) the Escrow Funds, exclusive of interest,
equal or exceed $30,100,000.00 (the “Minimum Escrow Deposit”); (b) the Escrow Agent shall
have received written confirmation from the Company that the Company has obtained a written
debt financing commitment for debt financing ranging from a minimum of $68,955,000.00 to a
maximum of $98,955,000.00; (c) the Company has affirmatively elected in writing to
terminate this Agreement; and (d) the Escrow Agent shall have provided to each state
securities department in which the Company has registered its securities for sale, as
communicated to the Escrow Agent by the Company,

2

 

an affidavit stating that the requirements of this Subsection 7.C have been satisfied,
then this Agreement shall terminate, and the Escrow Agent shall promptly disburse the Escrow
Funds, including interest, to the Company to be used in accordance with the provisions set
out in the Registration Statement. Upon completing such disbursement, the Escrow Agent
shall be completely discharged and released of any and all further responsibilities
hereunder.

          D.      In the event the Escrow Funds do not equal or exceed the Minimum Escrow Deposit on
or before the Termination Date, or if the Company has not received a written debt financing
commitment as described in Subsection 7.C above on or before the Termination Date, the
Escrow Agent shall return to each of the subscribers in the Offering as promptly as possible
after the Termination Date and on the basis of its records pertaining to the Escrow Account:
(a) the sum which each subscriber initially paid on account of such subscriber’s
subscription for Units, and (b) each subscriber’s portion of the total interest earned on
the Escrow Account as of the Termination Date, (c) reduced by the transaction fees provided
in Section 10 below. Computation of any subscriber’s share of the net interest earned on
the Escrow Account will be a weighted average based on the ratio of such subscriber’s
deposit in the Escrow Account to all such subscribers’ deposits therein, and upon the length
of time that such deposit was held in the Escrow Account as compared to all such deposits.
All computations with respect to each subscriber’s allocable share of net interest shall be
made by the Escrow Agent, which determinations shall be final and conclusive. Any amount
paid or payable to a subscriber pursuant to this Section shall be deemed to be the property
of such subscriber, free and clear of any and all claims of the Company or its agents or
creditors; and any further purchase obligation of such subscriber in connection with the
Offering shall thereupon be deemed, ipso facto, to be cancelled without any further
liability. At such time as the Escrow Agent shall have made all of the payments called for
in this Section, the Escrow Agent shall be completely discharged and released of any and all
further responsibilities hereunder, except that the Escrow Agent shall be required to
prepare and issue an IRS Form 1099 to each subscriber.

          8.      Agreement with Escrow Agent. To induce the Escrow Agent to act hereunder, it is
agreed by the Company that:

          A.      The Company will deliver a copy of the Registration Statement to the Escrow Agent
upon execution of this Agreement. The Escrow Agent will have no responsibility to examine
the Registration Statement with regard to the Escrow Account or otherwise.

          B.      The sole duty of the Escrow Agent, other than as herein specified, shall be to
receive the Escrow Funds and hold them subject to disbursement in accordance herewith. The
Escrow Agent shall be under no duty to determine whether the Company is complying with the
requirements of this Agreement in tendering to the Escrow Agent proceeds from sales of or
subscriptions for Units. The Escrow Agent may conclusively rely upon and shall be protected
in acting in reliance upon, any statement, certificate, notice, request, consent, order or
other document believed by it to be genuine and to have been signed or presented by the
proper party or parties. The Escrow Agent shall have no duty or liability to verify any
such statement, certificate, notice, request, consent, order or other document, and its sole

3

 

responsibility shall be to act only as expressly set forth in this Agreement. The
Escrow Agent shall be under no obligation to institute or defend any action, suit or
proceeding in connection with this Agreement unless first indemnified to its satisfaction.
The Escrow Agent may consult counsel in respect of any question arising under this
Agreement, and the Escrow Agent shall not be liable for any action taken or omitted in good
faith upon advice of such counsel.

          C.      The Company hereby indemnifies and holds harmless the Escrow Agent from and against
any and all loss, liability, cost, damage and expense, including, without limitation,
reasonable counsel fees, which the Escrow Agent may suffer or incur by reason of any action,
claim or proceeding brought against the Escrow Agent arising out of or relating to this
Agreement or any transaction to which this Agreement relates, unless such action, claim or
proceeding is the result of the gross negligence or willful misconduct of the Escrow Agent.

          9.      Resignation and Removal of Escrow Agent; Successors. The Escrow Agent may resign
upon thirty (30) days advance written notice to the Company. If a successor Escrow Agent is not
appointed within the 30-day period following such notice, the Escrow Agent may petition any court
of competent jurisdiction to name a successor Escrow Agent. Any commercial banking institution or
trust company with which the Escrow Agent may merge or consolidate, and any commercial banking
institution or trust company to which the Escrow Agent transfers all or substantially all of its
corporate trust business shall be the successor Escrow Agent without further act.

          10.      Fees and Expenses of Escrow Agent. The Company agrees to pay the Escrow Agent the
fees specified in the Escrow Agent’s fee schedule attached hereto as EXHIBIT A, in the
manner set forth therein, unless otherwise agreed to by the parties in writing. The parties
further agree that such fees shall be paid from interest on the Escrow Account only and not from
principal. In the event the interest on the Escrow Account is insufficient to satisfy the full
amount of fees payable hereunder, the Company shall be solely responsible for the payment of such
fees, and the Escrow Agent shall not seek payment of the fees from subscribers or apply any
principal deposited by subscribers in the Escrow Account against such fees. The fee agreed upon
herein is intended as full consideration for the Escrow Agent’s services as contemplated by this
Agreement; provided, however, that in the event (a) the Escrow Agent renders any
material service not contemplated in this Agreement, (b) any material controversy arises hereunder,
or (c) the Escrow Agent is made a party to any litigation pertaining to this Agreement, or the
subject matter hereof, then the Escrow Agent shall be reasonably compensated for such extraordinary
services and reimbursed for all costs and expenses, including reasonable attorney’s fees,
occasioned by any delay, controversy, litigation or event, and the same shall be recoverable from
the Company, but not from the Escrow Account.

          11.      Notices. All notices, requests, demands, and other communications under this
Agreement shall be in writing and shall be deemed to have been duly given (a) on the date of
service if served personally on the party to whom notice is to be given, (b) on the day of
transmission if sent by facsimile transmission to the facsimile number given below, and telephonic
confirmation of receipt is obtained promptly after completion of transmission, (c) on the next day
on which such deliveries are made in Gibson City, Illinois, when delivery is to Federal Express or

4

 

similar overnight courier or the Express Mail service maintained by the United States Postal
Service, or (d) on the fifth day after mailing, if mailed to the party to whom notice is to be
given, by first class mail, registered or certified, postage prepaid, and properly addressed,
return receipt requested, to the party as follows:

If to Escrow Agent:

First
Busey Trust

P.O. Box 3309

Champaign, IL 61826

Attn: Scott MacAdam, President

Fax: (217) 365-4878

Phone: (217) 365-4803

If to the Company:

One Earth Energy, LLC

1306 West 8th Street

Gibson City, IL 60936

Attn: Steven P. Kelly, President

Fax: (217) 784-8949

Phone: (217) 784-4284

with a required copy to:

Brown, Winick, Graves, Gross, Baskerville and Schoenebaum, P.L.C.

666 Grand Avenue, Suite 2000

Des Moines, IA 50309

Attention: Christopher R. Sackett

Fax: (515) 283-0231

Phone: (515) 242-2400

          12.      Governing Law. This Agreement shall be construed, performed, and enforced in
accordance with, and governed by, the internal laws of the State of Illinois, without giving effect
to the conflicts of laws provisions.

          13.      Successors and Assigns. Except as otherwise provided in this Agreement, no party
hereto shall assign this Agreement or any rights or obligations hereunder without the prior written
consent to the other parties hereto, and any attempted assignment without such prior written
consent shall be void and of no force and effect. This Agreement shall inure to the benefit of,
and shall be binding upon, the successors and permitted assigns of the parties hereto.

          14.      Severability. In the event that any part of this Agreement is declared by any
court or other judicial or administrative body to be null, void, or unenforceable, said provision
shall survive to the extent it is not so declared, and all of the other provisions of this
Agreement shall remain in full force and effect.

5

 

          15.      Further Assurances. Each of the parties shall execute such documents and other
papers and take such further actions, as may be reasonably required or desirable to carry out the
provisions hereof and the transactions contemplated hereby.

          16.      Amendments. This Agreement may be amended or modified, and any of the terms,
covenants, representations, warranties, or conditions hereof may be waived, only by a written
instrument executed by the parties hereto, or in the case of a waiver, by the party waiving
compliance. Any waiver by any party of any condition, or of the breach of any provision, term,
covenant, representation, or warranty contained in this Agreement, in any one or more instances,
shall not be deemed to be nor construed as a further or continuing waiver of any such conditions,
or of the breach of any other provision, term, covenant, representation or warranty of this
Agreement.

          17.      Entire Agreement. This Agreement contains the entire understanding among the
parties hereto with respect to the transactions contemplated hereby and supersedes and replaces all
prior and contemporaneous agreements and understandings, oral or written, with regard to such
escrow.

          18.      Section Headings. The section headings in this Agreement are for reference
purposes only and shall not affect the meaning or interpretation of this Agreement.

          19.      Counterparts. This Agreement may be executed in two or more counterparts, each of
which shall be deemed an original but all of which together shall constitute one and the same
instrument.

          IN WITNESS WHEREOF, the parties hereto have hereunto affixed their signatures as of the day
and year first written above.

	 	 	 	 	 	 	 
	THE COMPANY:	 	ESCROW AGENT
	 
	 	 	 	 	 	 
	ONE EARTH ENERGY, LLC	 	FIRST BUSEY TRUST
	 
	 	 	 	 	 	 
	By:

	 	/s/ Steven P. Kelly	 	By:	 	/s/ Scott
MacAdam
	 

	 	 
	 	 	 	 
	 

	 	          Steven P. Kelly, President
	 	 	 	          Scott
MacAdam, President

	 

	 	 	 	 	 	 

6

 

EXHIBIT A

[Attach Escrow Agent’s Fee Schedule]

			
	Set up fee
	 	$1,000

Monthly fee based on the average collected monthly balance of an annualized rate of 25 basis
points.

Example: $1,000,000 x .25% = $2,500 per year divided by 12 months = $208.33/month

7

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