Document:

Unassociated Document

Exhibit 4.3

 

 

ADMINISTRATIVE AGENT AGREEMENT

 

This ADMINISTRATIVE AGENT AGREEMENT, dated [              ], 2015 (this Agreement”), is by and between Incapital Holdings LLC, an Illinois limited liability company (“Administrative Agent”), and Incapital Trust Products II LLC, a Delaware limited liability company (“ITP”).  The Administrative Agent and ITP individually are referred to as “Party” and collectively as the “Parties”.

 

RECITALS

 

WHEREAS, ITP has filed a registration statement with the Securities and Exchange Commission to offer and sell, from time to time, CD Pass-Through Certificates (the “Certificates”) issued by trusts (each, a “Trust”) to be formed by ITP;

 

WHEREAS, each trust will be formed under a trust agreement to be entered into by and among ITP, as depositor, U.S. Bank National Association, as trustee, U.S. Bank National Association (Delaware), as Delaware trustee, and the Administrative Agent in a form satisfactory to each party (the “Trust Agreements”);

 

WHEREAS, ITP desires to engage the Administrative Agent to perform certain of the administrative functions to be performed by ITP under the Trust Agreements and certain other agreements to which ITP is or may become a party in accordance with the Trust Agreements, as set forth herein;

 

NOW, THEREFORE, in consideration of the mutual obligations and undertakings set forth herein, it is agreed as follows:

 

ARTICLE I

DEFINITIONS; EFFECTIVE DATE; TERM;

APPOINTMENT OF ADMINISTRATIVE AGENT

 

Section 1.1                      Definitions.  Unless otherwise specified, capitalized terms used but not defined herein have the respective meanings assigned to such terms in the Trust Agreements.

 

Section 1.2                      Effective Date.  This Agreement shall become effective, and the rights and obligations of the Administrative Agent and ITP with respect to this Agreement shall commence, on the date first written above (the “Effective Date”).

 

Section 1.3                      Term.

 

(a)           This Agreement may be terminated by either Party at any time by giving 60 days’ prior written notice to the other Party and on the payment by ITP to the Administrative Agent of all outstanding amounts owed to the Administrative Agent by ITP under this Agreement.

 

  

  

  

 

(b)           Notwithstanding the provisions of this Section 1.3, the termination of this Agreement shall not in any manner change or excuse the obligations of Administrative Agent under this Agreement arising prior to such termination.

 

Section 1.4                      Agent.  ITP hereby appoints the Administrative Agent to be and act as its agent to do and perform those obligations, and protect and exercise such rights, of ITP that are specified herein, and to take such other actions as may be necessary or convenient thereto.  As agent for ITP, the Administrative Agent is authorized to act for ITP in its own name or in the name of ITP, as deemed necessary or advisable by the Administrative Agent.

 

ARTICLE II

SUPPORT OBLIGATIONS

 

Section 2.1                      Administrative Services.  Subject to the terms of this Agreement, the Administrative Agent shall perform for ITP all administrative services necessary and advisable for ITP to perform its obligations and to exercise its rights under the following agreements: the Trust Agreements and all other contracts relating to the Trusts to which ITP is a party and of which the Administrative Agent has been given prior notice.  Without limiting the generality of the foregoing, the Administrative Agent shall perform on behalf of ITP, for itself and for each individual Trust formed under the Trust Agreements, the following administrative services: accounting, auditing, financial reporting, budgeting and forecasting, tax, cash management, review of significant operating and financial matters, contract administrative services, invoicing, computer and information services, and such other administrative and regulatory filing services as directed by ITP.  Without limiting the foregoing, the Administrative Agent shall provide for the following administrative services:

 

 (a)           (i) maintain the books and records of ITP in accordance with ITP’s limited liability company operating agreement, (ii) maintain separately the books and records of each individual Trust formed under the Trust Agreements, in accordance with good business practice, Internal Revenue Service regulations, applicable law, and generally accepted accounting principles and retain and oversee independent auditors to review such books and records of ITP on an annual basis, and (iii) maintain a record of (1) the name, address and taxpayer identification number (or other personal identifying information) of each Certificateholder and the principal amount of Certificates or beneficial interests therein held by such Certificateholder (such information to be provided to the Administrator by the relevant selling agent for the offering of the Certificates and updated periodically) and (2) for each Underlying Issuer, the principal amount of all CDs of such issuer held by the Trust (such information to be provided to the Administrator by ITP and updated periodically); 

 

(b)           provide services regarding the cash of ITP and of each individual Trust formed under the Trust Agreements, including (i) establishing bank accounts and (ii) investing and transferring funds and effecting payments in accordance with the contracts described in the first paragraph of this Section 2.1;

 

  

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(c)           provide accounting services related to the development and implementation of financial controls and systems of ITP and of each individual Trust formed under the Trust Agreements and the administering of the financing proceeds of each;

 

(d)           exercise all rights and administer all obligations of ITP under the Trust Agreements;

 

(e)           to the extent that amounts are available from ITP, pay all fees, debts and obligations (including taxes) incurred or payable by or on behalf of ITP in accordance with the Trust Agreements;

 

(f)           provide tax-related services;

 

(g)           make and prosecute, or cause to be made or prosecuted, such filings and reports, keep such records, and take or cause to be taken such other actions as may be necessary and lawful to maintain the existence and good standing of ITP and of each individual Trust formed under the Trust Agreements and to ensure the compliance by ITP, on behalf of itself and of each individual Trust formed under the Trust Agreements, with all applicable laws, regulations, authorizations, and orders of government agencies; and

 

(h)           do and perform such other acts as may be mutually agreed to by the Administrative Agent and ITP from time to time and permitted by the Trust Agreements.

 

Notwithstanding anything to the contrary contained in this Section 2.1 or elsewhere in this Agreement, the Administrative Agent agrees that it will (a) not take, or fail to take, any action that could reasonably be expected to cause ITP to violate any negative covenant contained in the Trust Agreements and (b) submit for approval to the appropriate managers of ITP all proposed actions of or on behalf of ITP the approval of which by such managers is required by ITP’s limited liability company agreement.

 

ARTICLE III

OBLIGATIONS UNDER THE TRUST AGREEMENTS

 

Section 3.1                      Duties Under Trust Agreements.  The Administrative Agent undertakes to perform its duties under the Trust Agreements including, but not limited to, the obligations of the Administrative Agent set forth in Sections 3.08(b), 3.09(b) and 3.10 of the Trust Agreements, and no implied covenants or obligations shall be read into the Trust Agreements against the Administrative Agent.  Any permissive right of the Administrative Agent enumerated in the Trust Agreements shall not be construed as a duty.

 

Section 3.2                      Losses.  Neither the Administrative Agent nor any of its directors, officers, employees or agents shall be liable for any losses, costs or damages or otherwise, to the Trustee or the Certificateholders under any circumstances for any act or omission except for its willful misconduct, bad faith or gross negligence in the performance of duties specifically set forth in this Agreement and the Trust Agreements; it being understood that:

 

  

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(a)           the duties and obligations of the Administrative Agent shall be determined solely by the express terms of this Agreement and the Trust Agreements and, in the absence of gross negligence, bad faith or willful misconduct on the part of the Administrative Agent, the Administrative Agent may conclusively rely upon any certificates or opinions furnished to the Administrative Agent as to the truth and correctness of any statements contained therein;

 

(b)           the Administrative Agent shall not be personally liable for any action taken, suffered or omitted by a Responsible Officer or Responsible Officers of the Administrative Agent in good faith and reasonably believed by such Responsible Officer or Responsible Officers of the Administrative Agent to be authorized or within the discretion or rights or powers conferred upon it by this Agreement and the Trust Agreements; and

 

(c)           except with respect to actions or duties required to be taken or performed, as applicable, by the Administrative Agent under the express terms of this Agreement or the Trust Agreements, the Administrative Agent shall not be required to expend or risk its own funds or otherwise incur financial liability in the performance of any of its duties or in the exercise of any of its rights or powers under this Agreement and the Trust Agreements.

 

Section 3.3                      Rights of Administrative Agent Under the Trust Agreements.  Except as otherwise provided in Section 3.12(b) of the Trust Agreements:

 

(a)           the Administrative Agent may request and rely upon and shall be protected in acting or refraining from acting upon any resolution, Officers’ Certificate, certificate of auditors or any other certificate, statement, instrument, opinion, report, notice, request, consent, order, appraisal, bond or other paper or document reasonably believed by it to be genuine and to have signed by the proper party or parties;

 

(b)           the Administrative Agent may consult with counsel and any advice or Opinion of Counsel shall be full and complete authorization and protection in respect of any action taken or suffered or omitted by it under the Trust Agreements in good faith and in accordance with such advice or Opinion of Counsel;

 

(c)           the Administrative Agent shall be under no obligation to institute, conduct or defend any Proceeding hereunder or in relation thereto, at the request, order or direction of any of the Certificateholders or otherwise;

 

(d)           the Administrative Agent shall not be bound to make any investigation into the facts of matters stated in any resolution, certificate, statement, instrument, opinion, report, notice, request, consent, order, appraisal, approval, bond or other paper or document believed by it to be genuine; and

 

  

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(e)           the Administrative Agent may execute any of the powers or perform any duties under this Agreement and the Trust Agreements either directly or by or through Affiliates.

 

ARTICLE IV

ASSIGNMENT

 

Section 4.1                      Successor to Obligations.  Any corporation or other entity into which the Administrative Agent may be merged or converted or with which it may be consolidated, or any corporation or other entity resulting from any merger, conversion or consolidation to which the Administrative Agent shall be a party, or any corporation or other entity succeeding to the business of the Administrative Agent, shall be the successor of the Administrative Agent under this Agreement or the Trust Agreements without the execution or filing of any paper or any further act on the part of any of the parties to this Agreement or the Trust Agreements, anything in this Agreement or the Trust Agreements to the contrary notwithstanding.

 

Section 4.2                      Consent to Third Party Service Provider.  ITP hereby acknowledges, consents and agrees that the Administrative Agent may at any time on or after the Effective Date subcontract to an agent to perform any or all of the administrative functions, duties and obligations that the Administrative Agent is required to perform under this Agreement and the Trust Agreements; provided, however, that Administrative Agent shall remain responsible for the performance of its obligations hereunder.

 

ARTICLE V

FEES

 

Section 5.1                      Payment of Fees, Expenses, Debts and other Obligations.  On or before the 10th day of each calendar month during the term of this Agreement, the Administrative Agent shall deliver to ITP (and the Trustee in accordance with the Trust Agreement) one or more invoices for all previously accrued and unpaid administrative expenses incurred by the Administrative Agent in performing its obligations under this Agreement and the Trust Agreements (other than internal and overhead costs of Administrative Agent, which are covered by the Administrative Agent Fee).  Each invoice shall contain a statement explaining in reasonable detail how the expenses on the invoice were calculated and the persons or entities to which payments are to be made.

 

ARTICLE VI

REPRESENTATIONS AND WARRANTIES

 

Section 6.1                      Organization; Powers.  Each Party represents and warrants to the other Party that it is a duly formed and validly existing limited liability company under the laws of the State of Delaware and has the requisite power and authority to carry on its business as now being conducted and currently proposed to be conducted, to own its properties and to execute, deliver and perform its obligations under this Agreement.

 

  

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Section 6.2                      Authorization; Enforceability.  Each Party represents and warrants to the other Party that it has taken all action necessary to authorize it to execute, deliver and perform its obligations under this Agreement and that this Agreement, when executed and delivered, will constitute a legal, valid and binding obligation of it, enforceable in accordance with its terms, subject to bankruptcy, reorganization, moratorium or other similar laws affecting the enforcement of the rights of creditors generally and to general principles of equity.

 

Section 6.3                      No Conflict.  Each Party represents and warrants to the other Party that the execution, delivery and performance of this Agreement does not and will not (a) violate any law, statute, code, act, ordinance, order, judgment, decree, injunction, rule, regulation, permit, license, authorization, direction or requirement of any federal, state, local or foreign governmental department, commission, board, bureau, authority, agency, court, instrumentality or judicial or regulatory body or entity applicable to it (collectively, “Legal Requirements”) or the violation of which could reasonably be expected to result in a material adverse effect on its business, assets or financial condition or (b) conflict with, result in a breach of or constitute a default under any of its organizational, formative or governing documents or any instrument or agreement, including, without limitation, the Trust Agreements, to which it is a party.

 

Section 6.4                      Compliance.  Each Party represents and warrants to the other Party that it is in compliance with all Legal Requirements and governmental approvals applicable to it and this Agreement, except to the extent that non-compliance could not reasonably be expected to result in a material adverse effect on its business, assets or financial condition or on its ability to perform its obligations under this Agreement.

 

Section 6.5                      Litigation.  Each Party represents and warrants to the other Party that there are no actions, suits or proceedings pending or, to the best of its knowledge, threatened in writing against it in any court or before or by any federal, state, local or foreign governmental department, commission, board, bureau, authority, agency, court, instrumentality or judicial or regulatory body or entity, wherein an unfavorable ruling or finding could reasonably be expected to result in a material adverse effect on its business, assets or financial condition or on its ability to perform its obligations under this Agreement.

 

Section 6.6                      Governmental Approvals.  Each Party represents and warrants to the other Party that all governmental and third-party approvals necessary for it to enter into and perform its obligations under this Agreement and the Trust Agreements have been obtained, are in full force and effect and are final and non-appealable.

 

ARTICLE VII

MISCELLANEOUS PROVISIONS

 

Section 7.1                      Amendments.  This Agreement may be amended only by a written instrument duly executed by each of ITP and Administrative Agent; provided, however, that so long as the Certificates remain outstanding, this Agreement may not be amended in a manner which violates the terms of the Trust Agreements and without receiving prior written consent from the Trustee, which consent will not be unreasonably withheld.

 

  

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Section 7.2                      Binding Effect.  This Agreement and any extension shall inure to the benefit of and be binding upon the Parties and their respective permitted successors and assigns.

 

Section 7.3                      Specific Performance.  Each party hereby acknowledges that money damages would not be a sufficient remedy for any breach of this Agreement and that irreparable harm would result if this Agreement were not specifically enforced.  Therefore, notwithstanding any other provision hereof, the rights and obligations of the Parties under this Agreement shall be enforceable by a decree of specific performance issued by any court of competent jurisdiction and appropriate injunctive relief may be applied for and granted in connection therewith.  The right of a Party to specific performance hereunder shall be in addition to all  other legal or equitable remedies available to such Party.

 

Section 7.4                      Counterparts.  This Agreement may be executed in one or more counterparts, each of which shall be deemed an original but together shall constitute one and the same instrument.

 

Section 7.5                      Notices.  Any notice, request, demand or statement to be given by a Party hereunder shall be in writing and shall be deemed to have been duly given to the addressee when mailed by certified mail, return receipt requested, or delivered against receipt by messenger or overnight courier addressed as follows:

 

To Administrative Agent:

Incapital Holdings LLC

200 South Wacker Drive, Suite 3700

Chicago IL 60606

Attention:  Christopher Hogg

Phone: 312-379-3700

Fax: 312-379-3731

To Incapital Trust Products II LLC:

c/o Incapital Holdings LLC

200 South Wacker Drive, Suite 3700

Chicago IL 60606

Attention:  Christopher Hogg

Phone: 312-379-3700

Fax: 312-379-3701

and, each such notice delivered to the Administrative Agent or ITP shall be delivered to Trustee as follows:

 

  

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To Trustee:

U.S. Bank National Association

1 Federal Plaza

Boston, MA 02110

Attention:  Corporate Trust Administration

or to such other address as may be designated by  the addressee by notice to the other Party.

 

Section 7.6                      Entire Agreement.  This Agreement constitutes the entire agreement between the Parties with respect to the matters contained herein and all prior agreements with respect thereto are superseded hereby.  Each Party confirms that it is not relying on any oral representation or warranty of the other Party.

 

Section 7.7                      Governing Law.  This Agreement shall be interpreted, construed, governed by, performed and enforced in accordance with the laws of the State of New York without giving effect to the principles thereof relating to conflicts of law except Section 5-1401 of the New York General Obligations Law.

 

Section 7.8                      Headings.  The subject headings of the Articles and Sections of this Agreement are inserted solely for the purpose of convenient reference and are not intended to, nor shall they, affect the meaning of any provision of this Agreement.

 

Section 7.9                      Severability.  If any term or provision of this Agreement or the application thereof to any person, entity or circumstance shall to any extent be invalid or unenforceable, the remainder of this Agreement, and the application of such term or provision to persons, entities or circumstances other than those as to which it is invalid or unenforceable, shall not be affected thereby, and each term and provision of this Agreement shall be valid and enforceable to the fullest extent permitted by law.

 

Section 7.10                      Indemnification.  The Administrative Agent and any director, officer, employee or agent of the Administrative Agent shall be indemnified by ITP and held harmless against any loss, liability or expense incurred in connection with any Proceeding relating to this Agreement, the Trust Agreements or the Certificates or the performance of any of the Administrative Agent’s duties under this Agreement or the Trust Agreements (each such loss, liability or expense indemnified hereunder shall be considered a Trust Expense), other than any loss, liability or expense (i) that constitutes a specific liability of the Administrative Agent under this Agreement or the Trust Agreements or (ii) incurred by reason of willful misconduct, bad faith or negligence in the performance of the Administrative Agent’s duties hereunder or thereunder or as a result of a breach or reckless disregard of the Administrative Agent’s obligations and duties hereunder or under the Trust Agreements; provided, however, that with respect to any such Proceeding, (1) the Administrative Agent shall have given ITP notice thereof promptly after the Administrative Agent shall have knowledge thereof, (2) while maintaining control over its own defense in any such Proceeding, the Administrative Agent shall consult with ITP in preparing such defense, (3) if any Person ever alleges such willful misconduct, bad faith or negligence by the Administrative Agent, the indemnification provided for in this Section 7.10 shall nonetheless be paid upon demand, subject to later adjustment or reimbursement, until such time as a court of competent jurisdiction enters a final judgment as to the extent and effect of the alleged willful misconduct, bad faith or negligence.  In the event the Administrative Agent is not indemnified by ITP in accordance with this Section 7.10, the Administrative Agent shall nevertheless remain obligated to perform its duties under this Agreement and the Trust Agreements.

 

  

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Section 7.11                      Limitation of Recourse.  Notwithstanding anything herein to the contrary, the obligations of ITP under this Agreement are special obligations of the ITP and do not constitute an obligation of (and no recourse shall be had with respect thereto to) any parent company, officer, agent, employee, manager, or Affiliate of ITP, or any shareholder, member, partner, officer, agent, employee, or director of any parent company or Affiliate of ITP as such, and no judgment for any personal liability or deficiency upon or with respect to, or otherwise in connection with, the obligations under this Agreement shall be obtainable by the Administrative Agent or any Affiliate of the Administrative Agent (or any Person claiming by, through, or under such Persons) against any parent company, officer, agent, employee, manager, or Affiliate of ITP, or any shareholder, member, partner, officer, agent, employee, or director of any parent company or Affiliate of ITP absent fraud, misrepresentation, or willful misconduct on the part of such Person.

 

Section 7.12                      Third Party Beneficiaries.  The Parties hereby agree and acknowledge that so long as the Certificates remain outstanding, each of the Certificateholders and the Trustee shall be deemed to be third party beneficiaries of this Agreement.

 

[The remainder of this page is intentionally left blank]

 

  

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IN WITNESS WHEREOF, the Parties have duly executed this Administrative Agent Agreement as of the date first above written.

 

	 	INCAPITAL TRUST PRODUCTS II LLC
	 	 	 	 
	 	 	 	 
	 	 	
By: 

	 
	 	 	
Name: Christopher O’Connor

	 	 	
Title: Chief Executive Officer and Manager

	 	 	 	 
	 	 	 	 
	 	
INCAPITAL HOLDINGS LLC

	 	 	 	 
	 	 	 	 
	 	 	By:	 
	 	 	
Name: Phil Johnson

	 	 	
Title: PresidentExhibit
10.1 

 

SETTLEMENT
AGREEMENT

 

This
settlement agreement (hereinafter "Agreement") is entered into as of September , 2015 (the "Effective Date")
by and among High Performance Beverages Co. ("TBEV") and Centaurian Fund, L.P. ("Centaurian") (collectively,
the "Parties) as follows:

 

WHEREAS,
Centaurian purchased an 18% Senior Convertible Debenture in the principal amount of $60,000 (the "Debenture") from
TBEV and TBEV did not repay the Debenture on or before the maturity date;

 

WHEREAS,
Centaurian assumed an outstanding $100,000 note issued by TBEV pursuant to an Amended and Restated Senior Secured Convertible
Promissory Note (the "Senior Secured Note") and TBEV did not repay the Senior Secured Note on or before the maturity
date;

 

WHEREAS,
Centaurian purchased a convertible note with a principal balance of $42,000 (the "Note") from TBEV and TBEV did
not repay the Note on or before the maturity date, although a portion of principal of the Note was converted to TBEV common stock;

 

WHEREAS,
the Debenture, the Senior Secured Note, and the Note required TBEV to reserve a sufficient amount of shares of its Common
Stock (the "Common Stock") to convert all amounts owed by the TBEV to Centarian under the Debenture, the Senior Secured
Note and the Note (collectively, the "3 Instruments"), into shares of Common Stock;

 

WHEREAS,
as of the date of this Agreement, the 3 Instruments are convertible into hundreds of thousands of shares of Common Stock;
and

 

WHEREAS, TBEV
does not have sufficient funds to pay all amounts due under the 3 Instruments, the Debenture, the Senior Secured Note, and the
Note.

 

NOW,
THEREFORE, in consideration of the mutual promises, covenants and agreements set forth herein, and subject to the terms and
conditions set forth below, the Parties agree as follows:

 

	1.	Issuance
    of a New Note. As a condition to and in partial consideration of Centurian entering into this Agreement, TBEV shall
    issue a new convertible promissory note to Centaurian in the face amount of $240,500 in the form and having the terms set
    forth in Exhibit A to this Agreement (the "New Note"), solely in exchange for the 3 Instruments. The New
    Note, matures on December 3, 2015, unless earlier pursuant to the terms set of the Note. Upon issuance of the New Note, the
    Debenture, the Senior Secured Note and the Note shall be cancelled.

 

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	2.	Centaurian
    Reserve. On or about September 3, 2015, and prior to the execution of this Agreement, TBEV issued irrevocable instructions
    to VSTOCK Transfer, Inc., the Company's stock transfer agent (the "Transfer Agent"), dated September 3, 2015
    (the "Prior TA Letter") to irrevocably and immediately segregate and reserve 500,000,000 shares of its Common
    Stock (the "500,000,000 Initial Share Reserve") to be used solely for the conversion by Centurian of amounts
    owed by the TBEV to Centurian under the 3 Instruments into shares of Common Stock. It is hereby agreed that as a condition
    to and as partial consideration of Centurian entering into this Agreement, upon execution of this Agreement and the simultaneous
    delivery of the New Note to Centurian by TBEV, TBEV shall issue and deliver an amended and restated letter to the Transfer
    Agent and Centurian, in the foini annexed hereto as Exhibit B (the "AR-TA Letter"), which AR-TA Letter
    amends and restates the Prior TA Letter to provide that (i) the 500,000,000 Initial Share Reserve shall be used solely to
    issue shares of Common Stock to Centurian upon conversion of the New Note (and for such other items related to the New Note
    as the parties hereto may subsequently agree in writing); and (ii) the 3 Instruments were exchanged solely for the New Note
    and thereafter cancelled. The parties hereto acknowledge that as of the date hereof, the 500,000,000 shares of Common Stock
    constituting the 500,000,000 Initial Share Reserve has been reduced to effectuate the issuance of shares of Common Stock to
    Centurian upon conversion by Centurian of $22,500 of the 3 Instruments pursuant to a conversion notice dated and delivered
    to the Transfer Agent on or about September 3, 2015 by Centurian. The Parties hereto further agree that (i) no later than
    October 8, 2015, TBEV shall pursuant to irrevocable written instructions to the Transfer Agent irrevocably and immediately
    segregate and reserve an additional 250,000,000 shares of its Common Stock to be used solely for the conversion of all amounts
    owed under and as represented by the New Note (the "Additional TA Letter"), which instruction letter shall
    be in substantially the same form as the Prior TA Letter (and shall be in form and substantially reasonably satisfactory to
    the Centurian), and as a result the Initial Share Reserve shall be increased from 500,000,000 shares to 750,000,000 shares
    (less any shares issued to conversion notice prior to October 8, 2015) , and (ii) on the date hereof, the Company shall provide
    to Centurian a fully-executed unanimous written consent of its Board of Directors authorizing and/or ratifying, as the case
    may be, this Agreement, and all transactions contemplated herein, in the form annexed hereto as Exhibit C. In the event
    that TBEV fails to deliver to the Transfer Agent the AR/TA Letter, within two business days from the date hereof, or the New
    TA Letter by October 8. 2015,  Centaurian may, at its option,
    declare this Settlement Agreement and the release hereunder, to be null and void, declare an Event of Default under the New
    Note and/or take any other action available to it at law, and/or equity, under the 3 Prior Instruments or New Note, but not
    both the Prior Instrument and New Note, and/or otherwise, all such remedies shall be cumulative.

 

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	 	3.	Limited
    Release by Centaurian. In consideration of the covenants herein, Centaurian, on behalf of itself and its officers,
    directors, members, managers, owners, successors and assigns,
    releases TBEV, and each of its officers, directors, shareholders, employees, members, managers, owners, attorneys, agents,
    servants, partners, representatives, heirs, estates, beneficiaries, executors, trustees, predecessors, legatees, administrators,
    fiduciaries, participants, and successors and assigns, in an individual and corporate capacity (collectively, the "TBEV
    Released Parties") from, any and all manner of rights, claims, actions, accounts, sums of money, demands, liens, levies,
    attachments, judgments, writs of execution, contracts, debts, controversies, agreements, liabilities, damages and causes of
    action whatsoever, whether known or unknown, liquidated or unliquidated, contingent or otherwise, suspected or unsuspected,
    which Centaurian may now or hereafter have, own or claim to have against the Released Parties, relating to or arising out
    of the Debenture, the Senior Secured Note, and the Note except for the conversion of $22,500 of amounts owed under the Senior
    Secured Note into shares of Common Stock pursuant to a Conversion Notice submitted by Centaurian on or about the date hereof.
    Nothing in this paragraph shall release TBEV from its obligations pursuant to the New Note or this Agreement.

 

	 	4.	Limited
    Release by TBEV. In consideration of the covenants herein, TBEV, on behalf of itself and its officers, directors,
    members, managers, owners, successors and assigns, releases Centaurian, and each of its officers, directors, shareholders,
    employees, members, managers, owners, attorneys, agents, servants, partners, representatives, heirs, estates, beneficiaries,
    executors, trustees, predecessors, legatees, administrators, fiduciaries, participants, and successors and assigns, in an
    individual and corporate capacity (collectively, the "Centaurian Released Parties") from, any and all manner of
    rights, claims, actions, accounts, sums of money, demands, liens, levies, attachments, judgments, writs of execution, contracts,
    debts, controversies, agreements, liabilities, damages and causes of action whatsoever, whether known or unknown, liquidated
    or unliquidated, contingent or otherwise, suspected or unsuspected, which TBEV may now or hereafter have, own or claim to
    have against the Centaurian Released Parties, relating to or arising out of the Debenture, the Senior Secured Note, and the
    Note. Nothing in this paragraph shall release Centaurian from its obligations pursuant to this Agreement.

  

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	 	5.	Notices.
    Any notice, demand, request, consent, approval, or communication that any party desires or is required to give to another
    party, including any request for conversion or demand for payment of a dividend, shall be addressed to the other party at
    the address set forth below. Any party may change its address by notifying the other Parties of the change of address in writing.

 

For
Centaurian:

 

Centaurian
Fund L.P.

Attn.: Jody Eisenman

c/o
Legend Securities 

45
Broadway

New
York, New York 10006

 

For
TBEV:

 

High
Performance Beverages Co.

Attn:
Toby McBride 5137 E. Armor Street

Cave Creek, Arizona 85331

 

	 	6.	Further
    Instruments. The Parties agree to cooperate and execute such further instruments and to take such further action as
    may be reasonably necessary to carry out the intent of this Agreement.

 

	 	7.	Applicable
    Law. This Agreement, together with the exhibits hereto, shall be governed by and construed in accordance with the
    laws of the State of New York without regard to choice of law principles. Any action brought by the Parties for breach of
    this Agreement shall be brought and maintained exclusively the State or Federal courts sitting in the State of New York, County
    of New York, and the Parties irrevocably submit and consent to the jurisdiction of said Courts for such purposes.

 

	 	8.	Successors
    and Assigns. This Agreement shall be binding upon and inure to the benefit of the successors and assigns of each Party;
    provided, however, that a Party may not assign this Agreement in whole or in part without obtaining the express prior
    written approval of the other Party.

 

	 	9.	Entire
    Agreement. This Agreement, along with all annexed Exhibits hereto, represents the entire agreement between the Parties
    and supersedes all prior and contemporaneous oral and written agreements, understandings and discussions pertaining to the
    subject matter of this Agreement. Each of the Parties hereto acknowledges that neither any of the parties hereto, nor agents
    or counsel of any other party whomsoever, has made any promise, representation or warranty whatsoever, express or implied,
    not contained herein concerning the subject hereto, to induce it to execute this Agreement, and acknowledges and warrants
    that it is not executing this Agreement in reliance on any promise, representation or warranty not contained herein. This
    Agreement supersedes and revokes all previous negotiations, arrangements, letters of intent, representations, whether oral
    or written, between the Parties, their respective representatives, or any other person purporting to represent them. Any representations,
    promise or condition in connection herewith not specifically incorporated herein shall not be binding upon any party.

 

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	 	10.	Modification.
    This Agreement may not be modified except in a writing signed by an authorized representative of each Party hereto. No
    breach of any provision of this Agreement can be waived unless in writing signed by the party to be charged with such a waiver.
    Waiver of any one breach of any provision hereof, in whole or in part, shall not be deemed to be a waiver of any other breach
    of the same or any other provision hereof.

 

	 	11.	Invalidity.
    If any one or more of the provisions of this Agreement shall be held to be invalid, illegal or unenforceable, the validity,
    legality or enforceability of the remaining provisions of this Agreement shall not in any way be affected or impaired thereby.
    If such condition, covenant or other provisions shall be deemed invalid due to its scope or breadth, such covenant, condition
    or other provision shall be deemed valid to the extent of the scope or breadth permitted by law.

 

	12.	Drafting.
    This Agreement is the result of negotiation and compromise among the Parties and no party shall be prejudiced as having
    been the drafter of the Agreement or any related exhibits incorporated therein. This Agreement shall be construed without
    regard to any presumption against the drafter, and any ambiguities shall not be construed against the interest of either party
    solely by reason of it having drafted all or any part of this Agreement.

 

	 	13.	Reliance
    on Counsel. Each party represents and warrants that it has carefully read this Agreement and knows and understands
    the contents, and that they signed this Agreement freely and voluntarily and have had the benefit of the advice of legal counsel
    before executing this Agreement.

 

	 	14.	Counterparts.
    This Agreement may be executed in counterparts and delivered electronically, each of which shall be an original, but all
    of which together shall constitute one instrument.

 

    	 	5
                                         | Page

     

    

 

	15.	Warranty
    of Authority. Each party warrants and represents that it has all necessary right, title, and authority to enter into
    this Agreement, to grant the rights and interests herein granted, and to perform all of its obligations under this Agreement.

 

IN
WITNESS WHEREOF, the Parties hereto has executed this Agreement as of the Effective Date.

 

	 	HIGH PERFORMANCE BEVERAGE CO.
	 	 	 
	 	By:	
	 	 	 
	 	 	 
	 	CENTAURIAN FUND, L.P.
	 	 	 
	 	By:	

 

    	 	6
                                         | Page

     

    

 

EXHIBIT
A

 

Form
of New Note

 

    	 	7
                                         | Page

     

    

 

EXHIBIT
B

 

Form
of A/R-TA Letter

 

    	 	8
                                         | Page

     

    

 

EXHIBIT
C

 

Unanimous
Written Consent

 

 

9
| Page

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