Document:

deac_ex1097.htm

EXHIBIT 10.97

 

VOTING TRUST AGREEMENT

 

THIS VOTING TRUST AGREEMENT (the “Agreement” or “Trust Agreement”) is entered into by and among the undersigned parties appearing on the signature page (collectively, the “Stockholders”, and each individually, a “Stockholder”), each a holder of a certain number of shares (and/or a holder of a stock purchase warrant (the “Warrant”) for the right to purchase a certain number of shares) of Series B Preferred Stock, at $0.0001 par value (the “Series B Preferred Stock”), convertible into shares of Common Stock, at $0.0001 par value (“Common Stock”) of ELITE DATA SERVICES INC., a Florida corporation (the “Company”), collectively hereinafter referred to as (the “Shares”), and Eilers Law Group, PA, Attn: William Robinson Eilers, Esq. (collectively with any and all successors, the “Voting Trustee”) as of March 14, 2017. 

 

WHEREAS, the Stockholders and the Voting Trustee desire to create a voting trust upon the terms and subject to the conditions in this Agreement (the “Voting Trust”); 

 

NOW THEREFORE, in consideration of the premises and the mutual covenants contained in this Agreement, the parties agree as follows: 

 

1) Deposit. Each Stockholder hereby agrees that he/she/it will forthwith assign to and deposit with the Voting Trustee the number of Shares, held in either certificate(s) or book entry, set forth beneath his/her/its signature hereto, together with proper assignment or assignments thereof, substantially in the form of Exhibit A attached hereto. Each Stockholder further agrees to immediately deposit with the Voting Trustee in a like manner any and all Shares acquired (or the right to be acquired pursuant to an issued Warrant) by him/her/it after the date of this Agreement. 

 

Pursuant to the terms of that certain Definitive Agreement (the “Definitive Agreement”), dated August 26, 2016, as amended, attached hereto as Exhibit D, and Amendment No. 2 to the Definitive Agreement (the “Amendment No. 2”), dated February 24, 2017, attached hereto as Exhibit E, by and between the Company and WOD Holdings Inc., a Delaware corporation (“WODH”), the Company has agreed to issue to and deposit with the Voting Trustee a certain amount of Shares equal to a total of 199,000 shares of Series B Preferred Stock, and 19,801,000 shares of Common Stock, respectively, after the completion by the Company of a reverse split of 1:1000 of its Common Stock, as referenced in the execution of an assignment, in the form of Exhibit A attached hereto, to be held in the Voting Trust for the benefit of WODH (also referred to herein as a “Stockholder”), pursuant to certain terms of the Definitive Agreement, as amended, and Amendment No. 2, and in accordance with the terms of this Agreement.

 

Further, upon the execution of this Agreement, the Company hereby approves in advance, and Dr. James G. Ricketts, and Stephen Antol (each a Stockholder), jointly and severally hereby agree to each deposit with the Voting Trustee a total of 500,000 shares of Series B Preferred Stock (for a total of 1,000,000 shares), owned and held by each of them as Stockholders, as referenced in the execution of two (2) separate assignments, in the form of Exhibit A attached hereto, which shall, thereafter, upon the completion by the Company of a reverse split of 1:1000 of its Common Stock, be converted by the Company and Voting Trustee into a total of 5,000 shares of Series B Preferred Stock each (for total of 10,000 shares), and 495,000 shares of Common Stock each (for a total totaling 990,000 shares), to be held by the Voting Trustee in the Voting Trust for the benefit of each such Stockholder, in accordance with the terms of this Agreement.

  
	 
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In addition, upon the execution of this Agreement, the Company hereby approves, and Birch First Capital Investments LLC (f/k/a Birch First Capital Fund LLC), a Delaware limited liability company, and Baker & Myers & Associates, LLC, a Nevada limited lability company (each a Stockholder), hereby mutually agree to the assignment and transfer of the ownership interest into two (2) separate stock purchase warrants (each a “Warrant” and collectively the “Warrants”) for the right to purchase a total of 4,000,000 and 3,000,000 shares of Series B Preferred Stock, respectively, owned and held by each such Stockholder, respectively (totaling 7,000,000 shares), to the Voting Trustee, as referenced in the execution of two (2) separate assignments, in the form of Exhibit A attached hereto to, which shall, thereafter, upon the completion by the Company of a reverse split of 1:1000 of its Common Stock, be simultaneously exercised and converted by the Company and Voting Trustee into a total of 40,000 shares and 30,000 of Series B Preferred Stock each (for total of 70,000 shares), and 3,960,000 shares and 2,970,000 shares of Common Stock, respectively (for a total totaling 6,930,000 shares), to be held by the Voting Trustee in the Voting Trust for the benefit of each such Stockholder, in accordance with the terms of this Agreement.

 

2) Becoming a Party. Any holder of Shares (and/or a holder of a Warrant for the right to purchase certain number of shares) may become a Stockholder (and, accordingly, a party to this Agreement) by executing this Agreement and depositing his/her/its certificate(s) (or book entry) for his/her/its Shares with the Voting Trustee, either properly endorsed in blank or endorsed to the Voting Trustee. 

 

3) Voting Trust Certificates. Upon the receipt from a Stockholder of a certificate(s) (or book entry) for the Shares together with proper assignment or assignments thereof, the Voting Trustee will deliver or cause to be delivered to such Stockholder a voting trust certificate or certificates (“Voting Trust Certificates”) substantially in the form of Exhibit B attached hereto, representing the number of Shares (or Warrant for the right to purchase a certain number of Shares) received from such Stockholder. 

 

4) Transferability of Voting Trust Certificates. Voting Trust Certificates shall be transferable only upon the same terms and conditions and subject to the same restrictions as are applicable to the underlying Shares, whether or not such terms, conditions and restrictions are set forth in the bylaws of the Company, in a separate agreement or otherwise, including, but not limited, the terms of that certain Definitive Agreement, as amended and Amendment No.2, attached hereto. Any transfer of a Voting Trust Certificate shall vest in the transferee all rights and interests of the transferor in and under such Voting Trust Certificate and under this Agreement, and upon such transfer, the Voting Trustee will deliver or cause to be delivered to the transferee a Voting Trust Certificate for the same number of Shares as are represented by the Voting Trust Certificate so transferred. Until such transfer, the Voting Trustee and the Company may treat the registered holder of a Voting Trust Certificate as the owner thereof for all purposes whatsoever. If any Voting Trust Certificate shall be claimed to be lost or destroyed, a new Voting Trust Certificate may be issued in lieu thereof upon such proof of loss and such security as may be required by the Voting Trustee. 

 

	 
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5) Title. Title to all Shares deposited hereunder (“Trust Shares”) shall be vested in the Voting Trustee and shall be transferred to the Voting Trustee or to its nominee or nominees on the books of the Company, and the Voting Trustee shall possess and be entitled to exercise with respect to the Trustee Shares all voting rights of holders of the Trust Shares of any and every kind and character, including the right to vote such Shares and to take part in or consent in writing or otherwise to any corporate or stockholders’ action, whether ordinary or extraordinary, including: 

 

	
 
	(a)	any amendment of the Certificate of Incorporation or the Bylaws of the Company, 
	
 
	
 
	
 

	
 
	(b)	consolidation with or merger into any other corporation,
	
 
	
 
	
 

	
 
	(c)	changes in the number of directors,
	
 
	
 
	
 

	
 
	(d)	increases in the number of, or reclassification of, shares of the Company’s stock, and
	
 
	
 
	
 

	
 
	(e)	the dissolution of the Company,

 

all upon such terms and conditions and under such circumstances as the Voting Trustee may from time to time determine in its sole discretion, so as long as such powers do not circumvent or void the effectiveness of any and all agreements executed by Company as of the date of this Agreement or during the time in which this Agreement is in effect (e.g. advisory and management, shareholder and/or subscription agreements, etc.). It is expressly understood and agreed none of the holders of Voting Trust Certificates shall have any right, either under such Voting Trust Certificates or under this Agreement, or under any agreement express or implied, or otherwise, to vote any of the Trust Shares or to take part in or consent to any corporate or stockholders’ action requiring such vote. 

 

6) Restriction on Encumbrances. The Voting Trustee shall not sell, pledge, hypothecate, mortgage or place any security interest upon, exchange or dispose of all or any part of the Trust Shares. 

 

7) Dividends; Other Distributions. The registered holder of each Voting Trust Certificate shall be entitled, until distribution of the Shares represented thereby as hereinafter provided for, to receive from time to time payments equal to the dividends and the other distributions, if any, received by the Voting Trustee in respect of such Shares. 

 

The Voting Trustee may, in its discretion, from time to time, instead of receiving and distributing any dividend or other distribution declared on Trust Shares, authorize the Company to make payment thereof directly to the registered holders of the applicable outstanding Voting Trust Certificates. 

 

	 
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8) Stock Dividends. In case the Voting Trustee shall receive any share certificates of the Company issued by way of dividends upon Trust Shares, the Voting Trustee shall hold such shares likewise subject to the terms of this Agreement, and shall issue Voting Trust Certificates representing such share certificates to those entitled thereto. 

 

9) Affiliate Status. 

 

	
 
	(a)	No Shareholder shall be deemed a beneficial owner as defined by Rule 13d-3 of the Exchange Act, unless deemed as such prior to becoming a Party to the Trust. Pursuant to Rule 13d-3(d)(1) no Shareholder shall have any power to revoke or terminate the Trust whereupon said Shareholder would thus become a beneficial owner as defined by Rule 13d-3. 
	
 
	
 
	
 

	
 
	(b)	Pursuant to Rule 16b-8 of the Exchange Act, no Shareholder who prior to becoming a Party to the Trust was not required to file any reports pursuant to Rule 16b, generally, shall be required to make any such filings as a result of becoming a Party to the Trust. 

 

10) Term; Termination; Extension. 

 

	
 
	(a)	The Voting Trust and this Agreement shall continue to be in full force and effect for a period ending on December 31, 2018, unless extended pursuant to Section 10(b) of this Agreement. This Agreement may be terminated at any time by the unanimous vote of all Stockholders and the Voting Trustee, or pursuant to a closing by the Company and WODH, in which the Company has acquired a controlling ownership interest of not less than sixty percent (60%) of WOD Market LLC, a Colorado limited liability company, pursuant to that certain Joint Venture Agreement, dated February 24, 2017, by and between Company and WODH, as set forth in the executed Definitive Agreement and Amendment No. 2 described hereinabove.
	
 
	
 
	
 

	
 
	(b)	Except as it would constitute a violation of the laws of the State of Florida, the term of this Agreement shall automatically be extended at any time for an additional one (1) year period, unless otherwise amended by the unanimous vote of all Stockholders, either by a writing signed by such Stockholders or at a meeting called for such purpose by any Stockholder upon the same notice as is required for a special meeting of the stockholders of the Company, to which end any Stockholder shall have access to the books of the Voting Trustee containing a record of the Stockholders.
	
 
	
 
	
 

	
 
	(c)	Upon termination of the Voting Trust, the Trustee shall promptly send a notice to each Stockholder of such termination substantially in the form of Exhibit C attached hereto, and deliver to each Stockholder the Trust Shares owned by such Stockholder upon presentation and surrender of the applicable Voting Trust Certificate, accompanied, if required by the Voting Trustee, by properly executed transfers thereof to the Voting Trustee, within 30 days of such termination.

 
	 
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11) Rules of Procedure. If there is more than one Voting Trustee, each Voting Trustee may adopt its own rules of procedure, and, in all matters by its decision, may act by proxy to any other person. The Voting Trustee, if an individual, may not act as a director or officer of the Company, and not may own Shares or other securities of the Company, except for the Trust Shares held in Trustee name. 

 

12) Multiple Voting Trustees; Successor Voting Trustee. The number of Voting Trustees hereunder shall initially be one person. Upon the unanimous vote of all Voting Trustees then serving, the number of Voting Trustees may be increased or decreased, if more than one. 

 

Any Voting Trustee hereunder may at any time resign by delivering a resignation in writing to the remaining Voting Trustee(s), to any designated successor thereto, or to one or more Stockholders. Each person appointed as a Voting Trustee hereunder shall make a written designation as to his successor as Voting Trustee in the event of his resignation, incapacity or death. Such designation may be changed at any time while the designating Voting Trustee remains in office. Upon the resignation, incapacity or death of a Voting Trustee, the most recently designated successor thereto shall be notified of his/her appointment and shall assume office as successor Voting Trustee upon written acceptance of such appointment. In the event that any Voting Trustee fails to designate a successor, the successor shall be chosen by the remaining Voting Trustee(s), or, if there are no remaining Voting Trustees, by the affirmative vote of holders of more than 50% percent of the Trust Shares. If a 50% or greater vote cannot be obtained, then the Board of Directors of the Company shall make such appointment on behalf of the Stockholders. 

 

Each successor Voting Trustee shall, from the time of acceptance of such appointment, be deemed a Voting Trustee hereunder, and shall have all the title, rights and powers of a Voting Trustee hereunder, and all acts shall be done and all instruments shall be executed which shall be necessary or reasonably requested for the purposes of effecting such succession and of constituting any and all successor Voting Trustees at the time of such appointment as the owner of record of all of the Trust Shares. 

 

13) Voting by Voting Trustee. In voting the Trust Shares or in otherwise acting hereunder, the Voting Trustee shall exercise his/her/its best judgment in the interests of the Company and Stockholders to the end that its affairs shall be properly managed, and its interests shall be properly promoted, but the Voting Trustee shall assume no responsibility in respect thereto or of any action taken by it or taken with its consent thereto, or pursuant to any vote so cast. 

 

The Voting Trustee may vote the Trust Shares or take part in or consent to any corporate or stockholders’ action in person, in writing or by such person or persons as it shall at any time and from time to time select as its proxy or proxies; provided, however, that this power to act in person by writing or by proxy, shall not be construed to enable the Voting Trustee or its proxy to act otherwise than as provided in this Agreement. 

 

Notwithstanding anything to the contrary in this Agreement, it is expressly provided that the Voting Trustee hereunder must vote all Trust Shares as a block on each and every issue and at all times. All Trust Shares shall be voted on each issue as determined by a majority in number of the Voting Trustees in office, and if no such majority has been achieved, then no Trust Shares shall be voted on such issue. 

 

	 
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14) Exoneration. No Voting Trustee, in his/her/its capacity as a stockholder of the Company, as a Voting Trustee or otherwise, shall be liable under this Agreement for any error of judgment or mistake of law or other mistake, or for any act or omission of any agent or attorney, or for any misconstruction of this Agreement or for any act or omission save only his own individual willful misconduct. 

 

15) Compensation and Expenses. The Voting Trustee shall be paid an annual fee of $10,000, payable upon the termination date of this Agreement, and shall be reimbursed for all documented expenses, including, but not limited to, $500.00 for each cancellation, issuance, re-issuance or termination of Trust Shares, including applicable courier fees. The compensation and expenses of the Voting Trustee shall be paid by the Stockholders on a pro rata basis according to the number of Trust Shares owned by each Stockholder. 

 

16) Injunction. The parties agree that any violation of this Agreement will cause irreparable harm and that in addition to any other remedy, injunctive and other equitable relief may be awarded. In addition, the parties agree that interim injunctive relief, in the form of a preliminary injunction or otherwise, may be issued to prevent actions or threatened actions on the part of a party hereto which may constitute a violation hereunder. The parties hereby consent to the jurisdiction of the courts of the State of Florida for all purposes relating to this paragraph and to this Agreement, including the granting of a preliminary injunction or other preliminary equitable relief. 

 

17) Further Assurances. The parties hereto and their respective successors and assigns shall do all such things, execute all such documents, and provide all such reasonable assurances as may be required to carry out the terms and purposes of this Agreement. 

 

18) Cumulative Remedies. Except as otherwise specifically provided in this Agreement, the rights and remedies available to any of the parties to this Agreement shall be deemed to be in addition to, and not in lieu of, any other rights and remedies available in law or equity. 

 

19) Transferees’ Agreement to be Bound. No transfer of a Voting Trust Certificate shall be made upon the books of the Voting Trust (even though otherwise permitted) unless and until the transferee or transferees agree(s) to become a party to, and be bound by, this Agreement. Such agreement shall be in such form as may be acceptable to counsel for the Voting Trustee. 

  

20) Miscellaneous. 

  

(a) Governing Law. This Agreement will be construed in accordance with and governed by the laws of the State of Florida, without giving effect to the conflict of law principles of the State of Florida. 

 

(b) Successors and Assigns. Except as otherwise expressly provided in this Agreement, this Agreement will be binding on, and will inure to the benefit of, the successors and permitted assigns of the parties to this Agreement. Nothing in this Agreement is intended to confer upon any party other than the parties hereto or their respective successors and assigns any rights or obligations under or by reason of this Agreement, except as expressly provided in this Agreement. 

 
	 
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(c) Notices. All notices and other communications required or permitted hereunder will be in writing and will be delivered by hand or sent by overnight courier, fax or e-mail to: 

  

If to the initial Voting Trustee: 

 

Eilers Law Group, PA 

1000 Fifth Street 
Suite 200 – P2 
Miami Beach, FL 33139

Fax: (305) 900-3144

Email: wreilers@eilerslawgroup.com

Attn: William Robinson Eilers, Esq.

 

with a copy to: 

 

ELITE DATA SERVICES INC.

720 S. Colorado Blvd., PH North

Denver, CO 80246

Fax: (720) 240-9378

Email: admin@elitedate.io

Attention: Chief Executive Officer

 

If to any Stockholder, to the address of such Stockholder as set forth beneath such Stockholder’s signature to this Agreement. 

 

Each party may furnish an address substituting for the address given above by giving notice to the other parties in the manner prescribed by this Section 20(c). All notices and other communications will be deemed to have been given upon actual receipt by (or tender to and rejection by) the intended recipient or any other person at the specified address of the intended recipient. 

  

(d) Severability. In the event that any provision of this Agreement is held to be unenforceable under applicable law, this Agreement will continue in full force and effect without such provision and will be enforceable in accordance with its terms. 

 
	 
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(e) Disputes. Any controversy, claim or dispute arising out of or relating to this Agreement, shall be settled by binding arbitration in Orange County, Orlando, Florida. Such arbitration shall be conducted in accordance with the then prevailing commercial arbitration rules of the American Arbitration Association, with the following exceptions if in conflict: (a) one arbitrator shall be chosen by the Company; (b) each party to the arbitration will pay its pro rata share of the expenses and fees of the arbitrator, together with other expenses of the arbitration incurred or approved by the arbitrator; and (c) arbitration may proceed in the absence of any party if written notice (pursuant to the Arbitrator’s rules and regulations) of the proceeding has been given to such party. The parties agree to abide by all decisions and awards rendered in such proceedings. Such decisions and awards rendered by the arbitrator shall be final and conclusive and may be entered in any court having jurisdiction thereof as a basis of judgment and of the issuance of execution for its collection. All such controversies, claims or disputes shall be settled in this manner in lieu of any action at law or equity, provided however, that nothing in this subsection shall be construed as precluding brining an action for injunctive relief or other equitable relief. The arbitrator shall not have the right to award punitive damages or speculative damages to either party and shall not have the power to amend this Agreement. IF FOR ANY REASON THIS ARBITRATION CLAUSE BECOMES NOT APPLICABLE, THEN EACH PARTY, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, HEREBY IRREVOCABLY WAIVES ALL RIGHT TO TRIAL BY JURY AS TO ANY ISSUE RELATING HERETO IN ANY ACTION, PROCEEDING OR COUNTERCLAIM ARISING OUT OF OR RELTING TO THIS AGREEMENT OR ANY OTHER MATTER INVOLVING THE PARTIES HERETO.

 

(f) Construction. The titles of the sections of this Agreement are for convenience of reference only and are not to be considered in construing this Agreement. Unless the context of this Agreement clearly requires otherwise: (a) references to the plural include the singular, the singular the plural, and the part the whole, (b) references to one gender include all genders, (c) “or” has the inclusive meaning frequently identified with the phrase “and/or,” (d) “including” has the inclusive meaning frequently identified with the phrase “including but not limited to” or “including without limitation,” and (e) references to “hereunder,” “herein” or “hereof” relate to this Agreement as a whole. Any reference in this Agreement to any statute, rule, regulation or agreement, including this Agreement, shall be deemed to include such statute, rule, regulation or agreement as it may be modified, varied, amended or supplemented from time to time. 

 

(g) Entire Agreement. This Agreement embodies the entire agreement and understanding among the parties hereto with respect to the subject matter of this Agreement and supersedes all prior or contemporaneous agreements and understanding other than this Agreement relating to the subject matter hereof. 

 

(h) Amendment and Waiver. This Agreement may be amended only by a written agreement executed by the parties hereto. No provision of this Agreement may be waived except by a written document executed by the party entitled to the benefits of the provision. No waiver of a provision will be deemed to be or will constitute a waiver of any other provision of this Agreement. A waiver will be effective only in the specific instance and for the purpose for which it was given, and will not constitute a continuing waiver. 

  

(i) Counterparts. This Agreement may be in any number of counterparts, each of which will be deemed an original, but all of which together will constitute one instrument. 

 

[The remainder of this page has been intentionally left blank.]

 

	 
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IN WITNESS WHEREOF, the undersigned have executed this Voting Trust Agreement as of the date first written above. 

  

 

	
VOTING TRUSTEE
	
 
	
STOCKHOLDER(S)
	
 

	
 
	
 
	
 
	
 

	
Eilers Law Group, PA , 

a Florida corporation
	
 
	
WOD Holdings Inc.,

a Delaware corporation
	
 

	
 
	
 
	
 
	
 
	
 
	
 

	
By:
	/s/ William Robison Eilers, Esq.	
 
	
By:
	/s/ Taryn Watson	
 

	
 
	
William Robinson Eilers, Esq.
	
 
		Taryn Watson	
 

	
 
	President 	
 
	 	President	
 

	
 
	
 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
Address
	
 

	
 
	
 
	
 
	
 
		
 

	
 
	
 
	
 
	
720 S. Colorado Blvd., PH North

Denver, CO 80246

Fax: (720) 289-6148

Email: taryn.watson@thewodmarket.com 
	
 

	
 
	
 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
Number of Shares Held: 
	
 

	
 
	
 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
A total of 199,000 shares of Series B Preferred Stock, and 19,801,000 shares of Common Stock, respectively, to be issued by the Company to the Voting Trustee, after the completion by the Company of a reverse split of 1:1000 of its Common Stock, in accordance with this Trust Agreement.
	
 

 

Acknowledged:

 

	
ELITE DATA SERVICES INC.
	
	 	 	 
	By:	/s/ Brenton Mix	
	
 
	Brenton Mix,	 
	 	Chief Executive Officer	 

 

Signature Page to Voting Agreement 

 

	 
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IN WITNESS WHEREOF, the undersigned have executed this Voting Trust Agreement as of the date first written above. 

  

 

	
VOTING TRUSTEE
	
 
	
STOCKHOLDER(S)
	
 

	
 
	
 
	
 
	
 

	
Eilers Law Group, PA ,

a Florida corporation
	
 
	
 
	
 

	
 
	
 
	
 
	
 
	
 
	
 

	
By:
	/s/ William Robison Eilers, Esq.	
 
	
By:
	
/s/ Dr. James G. Ricketts
	 
	
 
	William Robinson Eilers, Esq., 	
 
	
 
	Dr. James G. Ricketts,	 
	
 
	President	
 
	
 
	
Individually
	 
	
 
	
 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
Address
	
 

	
 
	
 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
________________________
	
 

	
 
	
 
	
 
	
________________________
	
 

	
 
	
 
	
 
	
________________________
	
 

	
 
	
 
	
 
	
________________________
	
 

	
 
	
 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
Number of Shares Held: 
	
 

	
 
	
 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
500,000 shares of Series B Preferred Stock, to be converted by the Company and Voting Trustee into a total of 5,000 shares of Series B Preferred Stock each, and 495,000 shares of Common Stock, respectively, after the completion by the Company of a reverse split of 1:1000 of its Common Stock, in accordance with this Trust Agreement.
	
 

 

Acknowledged:

 

	
ELITE DATA SERVICES INC.
	
	 	 	 
	By:	/s/ Brenton Mix	
	
 
	Brenton Mix,	 
	 	
Chief Executive Officer
	 

 

Signature Page to Voting Agreement 

 

	 
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IN WITNESS WHEREOF, the undersigned have executed this Voting Trust Agreement as of the date first written above. 

  

 

	
VOTING TRUSTEE
	
 
	
STOCKHOLDER(S)
	
 

	
 
	
 
	
 
	
 

	
Eilers Law Group, PA ,

a Florida corporation
	
 
		 
	
 
	
 
	
 
	
 
	
 
	
 

	By:	/s/ William Robison Eilers, Esq.	
 
	By:	
/s/ Stephen Antol
	 
		
William Robinson Eilers, Esq.,

President
	
 
	 	
Stephen Antol

Individually
	 
			
 
	 	 	 
	
 
	
 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
Address
	
 

	
 
	
 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
__________________________________
	
 

	
 
	
 
	
 
	
__________________________________
	
 

	
 
	
 
	
 
	
__________________________________
	
 

	
 
	
 
	
 
	
__________________________________
	
 

	
 
	
 
	
 
		
 
	
 

	
 
	
 
	
 
	
Number of Shares Held: 
	
 

	
 
	
 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
500,000 shares of Series B Preferred Stock, to be converted by the Company and Voting Trustee into a total of 5,000 shares of Series B Preferred Stock each, and 495,000 shares of Common Stock, respectively, after the completion by the Company of a reverse split of 1:1000 of its Common Stock, in accordance with this Trust Agreement.
	
 

 

Acknowledged:

 

	
ELITE DATA SERVICES INC.
	
	 	 	 
	By:	
/s/ Brenton Mix
	
	
 
	Brenton Mix	 
	 	
Chief Executive Officer
	 
	 	 	 

 

Signature Page to Voting Agreement 

	 
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IN WITNESS WHEREOF, the undersigned have executed this Voting Trust Agreement as of the date first written above. 

  

 

	
VOTING TRUSTEE
	
 
	
STOCKHOLDER(S)
	
 

	
 
	
 
	
 
	
 

	
Eilers Law Group, PA , 

A Florida corporation
	
 
	
Birch First Capital Investments LLC 

f/k/a Birch First Capital Fund LLC,

a Delaware limited liability company
	
 

	 	 	
 
	 	 	 
	By:	 /s/ William Robison Eilers, Esq.	
 
	By:	Birch First Capital Partners LLC	 
		 William Robinson Eilers, Esq., 	
 
	f/k/a Birch First Capital Management LL	 
		 President	
 
	Its:	Manager	 

 

	 	 	 	 
		By:	/s/ Pier S. Bjorklund	
	
 
	
 
	Pier S. Bjorklund	 
	 	 	Managing Director	 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
 

	
 
	
Address
	
 

	
 
	
 
	
 
	
 

	
 
	
121 S. Orange Avenue, Ste. 1500

Orlando, Florida 32801

Tel: (561) 228-4107

Email: admin@birchfirst.com 

Attn: Managing Director
	
 

	
 
	
 
	
 
	
 

	
 
	
Number of Shares Held: 
	
 

	
 
	
 
	
 
	
 

	
 
	
A Warrant for the right to purchase a total of 4,000,000 shares of Series B Preferred Stock, to be simultaneously exercised and converted by the Company and Voting Trustee into a total of 40,000 shares of Series B Preferred Stock each, and 3,960,000 shares of Common Stock, respectively, after the completion by the Company of a reverse split of 1:1000 of its Common Stock, in accordance with this Trust Agreement.
	
 

 

Acknowledged:

 

	
ELITE DATA SERVICES INC.
	
	 	 	 
	By:	
/s/ Brenton Mix
	
	
 
	Brenton Mix	 
	 	
Chief Executive Officer
	 

 

Signature Page to Voting Agreement 

	 
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IN WITNESS WHEREOF, the undersigned have executed this Voting Trust Agreement as of the date first written above. 

  

 

	
VOTING TRUSTEE
	
 
	
STOCKHOLDER(S)
	
 

	
 
	
 
	
 
	
 

	
Eilers Law Group, PA , 

A Florida corporation
	
 
	
Baker & Myers & Associates LLC,

a Nevada limited liability company
	
 

	 	 	
 
	 	 	 
	By:	/s/ William Robison Eilers, Esq.	
 
	By:	
/s/ Sarah Myers
	 
		William Robinson Eilers, Esq.	
 
	 	Sarah Myers	 
		President	
 
	 	
Manager
	 
	
 
	
 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
Address
	
 

	
 
	
 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
__________________________
	
 

	
 
	
 
	
 
	
__________________________
	
 

	
 
	
 
	
 
	
__________________________
	
 

	
 
	
 
	
 
	
__________________________
	
 

	
 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
Number of Shares Held: 
	
 

	
 
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
A Warrant for the right to purchase a total of 3,000,000 shares of Series B Preferred Stock, to be simultaneously exercised and converted by the Company and Voting Trustee into a total of 30,000 shares of Series B Preferred Stock each, and 2,970,000 shares of Common Stock, respectively, after the completion by the Company of a reverse split of 1:1000 of its Common Stock, in accordance with this Trust Agreement.
	
 

 

Acknowledged:

 

	
ELITE DATA SERVICES INC.
	
	 	 	 
	By:	
/s/ Brenton Mix
	
	
 
	Brenton Mix,	 
	 	Chief Executive Officer	 
	 	 	 

 

Signature Page to Voting Agreement 

 

	 
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EXHIBIT A 

 

[Form of Irrevocable Stock Transfer Power]

 

IRREVOCABLE STOCK TRANSFER POWER

 

I, Taryn Watson, President of WOD Holdings Inc, a Delaware corporation, do hereby irrevocably sell, assign and transfer unto, Eilers Law Group, PA, Attn: William Robinson Eilers, Esq., as Voting Trustee of the DEAC Voting Trust dated March 14, 2017, all or any acquired portion of a total of 199,000 shares of Series B Preferred Stock, and 19,801,000 shares of Common Stock (the “Shares”), respectively, of Elite Data Services, Inc. (the “Company”), to be issued by the Company in the name of the Voting Trustee on the books of the Company, after the completion by the Company of a reverse split of 1:1000 of its Common Stock, in accordance with this Trust Agreement, and do hereby irrevocably constitute and appoint Manhattan Transfer Registrar Co. as attorney in fact to transfer the Shares on the books of the Company with full power of substitution in the premises. 

 

 

	
STOCKHOLDER(S)

 

WOD Holdings Inc.,

a Delaware corporation
	
 

	
 
	
 
	
 

	
 
	
 
	
 

	By:	
/s/ Taryn Watson
	
	
 
	Taryn Watson,	 
	 	President	 
	
 
	
 
	
 

	
Date: March 14, 2017
	
 

 

	 
	14
	

 
	 

 

EXHIBIT A 

 

[Form of Irrevocable Stock Transfer Power]

 

IRREVOCABLE STOCK TRANSFER POWER

 

I, Dr. James G. Ricketts, do hereby irrevocably sell, assign and transfer unto, Eilers Law Group, PA, Attn: William Robinson Eilers, Esq., as Voting Trustee of the DEAC Voting Trust dated March 14, 2017, a total of 500,000 shares (the “Shares”) of Series B Preferred Stock, $0.0001 par value per share, of Elite Data Services, Inc. (the “Company”) standing in the name of Dr. James G. Ricketts on the books of the Company, and do hereby irrevocably constitute and appoint Manhattan Transfer Registrar Co. as attorney in fact to transfer the Shares on the books of the Company with full power of substitution in the premises. 

 

 

	
STOCKHOLDER(S)
	
 

	 	 	 
	By:	
/s/ Dr. James G. Ricketts
	
	
 
	Dr. James G. Ricketts,	 
	 	
Individually
	 
	 	 	 
	
Date: March 14, 2017
	
 

 

	 
	15
	

 
	 

 

EXHIBIT A 

 

[Form of Irrevocable Stock Transfer Power]

 

IRREVOCABLE STOCK TRANSFER POWER

 

I, Stephen Antol, do hereby irrevocably sell, assign and transfer unto, Eilers Law Group, PA, Attn: William Robinson Eilers, Esq., as Voting Trustee of the DEAC Voting Trust dated March 14, 2017, a total of 500,000 shares (the “Shares”) of Series B Preferred Stock, $0.0001 par value per share, of Elite Data Services, Inc. (the “Company”) standing in the name of Stephen Antol on the books of the Company, and do hereby irrevocably constitute and appoint Manhattan Transfer Registrar Co. as attorney in fact to transfer the Shares on the books of the Company with full power of substitution in the premises. 

 

 

	
STOCKHOLDER(S)
	
	 	 	 
	By:	
/s/ Stephen Antol
	
	
 
	Stephen Antol	 
	 	Individually	 
	 	 	 
	
Date: March 14, 2017
	
 

 

	 
	16
	

 
	 

 

EXHIBIT A 

 

[Form of Irrevocable Stock Transfer Power]

 

IRREVOCABLE STOCK TRANSFER POWER

 

I, Pier S. Bjorklund, Managing Director of Birch First Capital Partners, LLC (f/k/a Birch First Capital Management LLC), a Delaware limited liability company, and the Manager of Birch First Capital Investments LLC (f/k/a Birch First Capital Fund LLC), a Delaware limited liability company, do hereby irrevocably sell, assign and transfer unto, Eilers Law Group, PA, Attn: William Robinson Eilers, Esq., as Voting Trustee of the DEAC Voting Trust dated March 14, 2017, the stock purchase warrant (the “Warrant”) for the right to purchase a total of 4,000,000 shares (the “Shares”) of Series B Preferred Stock, $0.0001 par value per share, of Elite Data Services, Inc. (the “Company”) standing in the name of Birch First Capital Fund LLC on the books of the Company, and do hereby irrevocably constitute and appoint Manhattan Transfer Registrar Co. as attorney in fact to transfer the Shares on the books of the Company with full power of substitution in the premises. 

 

 

	
STOCKHOLDER(S)
	
 

	
 
	
 

	
Birch First Capital Investments LLC

f/k/a Birch First Capital Fund LLC

a Delaware limited liability company
	
	 	 	 
	By:	Birch First Capital Partners LLC	
	
f/k/a Birch First Capital Mgmt. LLC
	 
	Its:	Manager	 

 

	By:	
/s/ Pier S. Bjorklund
	
	
Print Name:
	
Pier S. Bjorklund
	 
	 		 
	Date: March 14, 2017	 

 

	 
	17
	

 
	 

 

EXHIBIT A 

 

[Form of Irrevocable Stock Transfer Power]

 

IRREVOCABLE STOCK TRANSFER POWER

 

I, Sarah Myers, Manager of Baker & Myers & Associates LLC, a Nevada limited liability company, do hereby irrevocably sell, assign and transfer unto, Eilers Law Group, PA, Attn: William Robinson Eilers, Esq., as Voting Trustee of the DEAC Voting Trust dated March 14, 2017, the stock purchase warrant (the “Warrant”) for the right to purchase a total of 3,000,000 shares (the “Shares”) of Series B Preferred Stock, $0.0001 par value per share, of Elite Data Services, Inc. (the “Company”) standing in the name of Baker & Myers & Associates LLC on the books of the Company, and do hereby irrevocably constitute and appoint Manhattan Transfer Registrar Co. as attorney in fact to transfer the Shares on the books of the Company with full power of substitution in the premises. 

 

 

	
STOCKHOLDER(S)

 

Baker & Myers & Associates LLC,

a Nevada limited liability company
	
 

	 	 	 
	By:	
/s/ Sarah Myers
	
	
 
	Sarah Myers	 
	 	Manager	 
	 	 	 
	
Date: March 14, 2017
	
 

 
	 
	18
	

 
	 

 

EXHIBIT B 

 

[Form of Voting Trust Certificate]

 

DEAC VOTING TRUST CERTIFICATE

 

March 14, 2017

 

No. 001

 

199,000 shares of Series B Preferred Stock, and 

19,801,000 shares of Common Stock

 

THIS VOTING TRUST CERTIFICATE (this “Certificate”) is issued under and pursuant to, its transfer restricted by, and the rights of the holder hereof are subject to and limited by, the terms and conditions of the DEAC Voting Trust Agreement (the “Agreement”), dated March 14, 2017, by and among certain holders of shares of the Series B preferred stock, $0.0001 par value per share (“Preferred Stock”) and shares of the common stock, $0.0001 par value per share (“Common Stock”), of ELITE DATA SERVICES INC., a Florida corporation (the “Company”), collectively hereinafter referred to as (the “Shares”), and Eilers Law Group, PA, Attn: William Robinson Eilers, Esq., as Voting Trustee (hereinafter referred to collectively with any and all successors as the “Voting Trustee”). 

 

Upon the termination of the Voting Trust as provided in the Agreement, and upon the presentation and surrender of this Certificate, accompanied, if required by the Voting Trustee, by a properly executed transfer thereof to the Voting Trustee, the holder hereof will be entitled to receive, pursuant to the issuance by the Company in the name of the Voting Trustee, as referenced on the books of the Company, after the completion by the Company of a reverse split of 1:1000 of its Common Stock, in accordance with the executed Trust Agreement, a certificate(s) (or book entry) for a total of 199,000 shares of Series B Preferred Stock, and 19,801,000 shares of Common Stock of the Company, respectively (the “Shares”), or such other applicable denomination thereof, pursuant to the terms of the Definitive Agreement and Amendment No. 2, as incorporated by reference in the Trust Agreement, and in the meantime to receive payments equal to the dividends and the other distributions, if any, received by the Voting Trustee with respect to the Shares. The Voting Trustee shall, with respect to the Shares, possess and be entitled to exercise all rights of the holders of Common Stock of any and every kind and character, including the right to vote such Shares and to take part in or consent in writing or otherwise to any corporate or stockholders’ action, whether ordinary or extraordinary, including, but without limiting the generality thereof, each and every matter set forth in the Agreement, all upon such terms and conditions and under such circumstances as the Voting Trustee may from time to time determine in its sole discretion, and to do and perform any other act or thing which the stockholders of the Company are now or may hereafter be entitled to do or perform, it being expressly stipulated that the holder hereof shall have no right, either under this certificate or under the Agreement, or under any agreement express or implied, or otherwise, to vote the Shares or to take part in or consent to any corporate or stockholders’ action requiring such vote. 

 

This Certificate is transferable only as provided in the Agreement, a copy of which may be obtained free of charge from the Voting Trustee upon written request, and then only upon the books of the Voting Trustee by the registered holder hereof in person or by attorney, upon surrender hereof properly endorsed. Until so transferred, the Voting Trustee and the Company may treat the registered holder as the owner hereof for all purposes whatsoever. 

 

This certificate is not valid until signed by the Voting Trustee. 

 
	 
	19
	

 
	 

 

IN WITNESS WHEREOF, the Voting Trustee has executed this Voting Trust Certificate as of the date first written above. 

 

 

	
VOTING TRUSTEE
	
 
	
STOCKHOLDER(S)
	
 

	
 
	
 
	
 
	
 

	
Eilers Law Group, PA ,
	
 
	
WOD Holdings Inc.,
	
 

	
a Florida corporation
	
 
	
a Delaware corporation
	
				
	
By:
	
/s/ William Robison Eilers, Esq.
	
 
	
By:
	
/s/ Taryn Watson
	
	
 
	
William Robinson Eilers, Esq.
		
 
	
Taryn Watson
	
	
 
	
President 
			President	
			 	
	
 
	
 
	
 
	
 

		
 
	
Address
	
	
 
	
 
	
  
	
 

		
 
	
720 S. Colorado Blvd., PH North
	
		
 
	
Denver, CO 80246
	
		
 
	
Fax: (720) 289-6148
	
		
 
	
Email: taryn.watson@thewodmarket.com 
	

 
	 
	20
	

 
	 

 

EXHIBIT B 

 

[Form of Voting Trust Certificate]

 

DEAC VOTING TRUST CERTIFICATE

 

March 14, 2017

 

No. 002

 

500,000 shares of Series B Preferred Stock 

 

THIS VOTING TRUST CERTIFICATE (this “Certificate”) is issued under and pursuant to, its transfer restricted by, and the rights of the holder hereof are subject to and limited by, the terms and conditions of the DEAC Voting Trust Agreement (the “Agreement”), dated March 14, 2017, by and among certain holders of shares of the Series B preferred stock, $0.0001 par value per share (“Preferred Stock”) and shares of the common stock, $0.0001 par value per share (“Common Stock”), of ELITE DATA SERVICES INC., a Florida corporation (the “Company”), collectively hereinafter referred to as (the “Shares”), and Eilers Law Group, PA, Attn: William Robinson Eilers, Esq., as Voting Trustee (hereinafter referred to collectively with any and all successors as the “Voting Trustee”). 

 

Upon the termination of the Voting Trust as provided in the Agreement, and upon the presentation and surrender of this Certificate, accompanied, if required by the Voting Trustee, by a properly executed transfer thereof to the Voting Trustee, the holder hereof will be entitled to receive, pursuant to the issuance by the Company in the name of the Voting Trustee, as referenced on the books of the Company, after the completion by the Company of a reverse split of 1:1000 of its Common Stock, in accordance with the executed Trust Agreement, a certificate(s) (or book entry) for a total of 5,000 shares of Series B Preferred Stock, and 495,000 shares of Common Stock of the Company, respectively (the “Shares”), converted from the original 500,000 shares of Series B Preferred Stock of the Company, deposited to and with the Voting Trustee, on the date of execution of the Trust Agreement, and in the meantime to receive payments equal to the dividends and the other distributions, if any, received by the Voting Trustee with respect to the Shares. The Voting Trustee shall, with respect to the Shares, possess and be entitled to exercise all rights of the holders of Common Stock of any and every kind and character, including the right to vote such Shares and to take part in or consent in writing or otherwise to any corporate or stockholders’ action, whether ordinary or extraordinary, including, but without limiting the generality thereof, each and every matter set forth in the Agreement, all upon such terms and conditions and under such circumstances as the Voting Trustee may from time to time determine in its sole discretion, and to do and perform any other act or thing which the stockholders of the Company are now or may hereafter be entitled to do or perform, it being expressly stipulated that the holder hereof shall have no right, either under this certificate or under the Agreement, or under any agreement express or implied, or otherwise, to vote the Shares or to take part in or consent to any corporate or stockholders’ action requiring such vote. 

 

This Certificate is transferable only as provided in the Agreement, a copy of which may be obtained free of charge from the Voting Trustee upon written request, and then only upon the books of the Voting Trustee by the registered holder hereof in person or by attorney, upon surrender hereof properly endorsed. Until so transferred, the Voting Trustee and the Company may treat the registered holder as the owner hereof for all purposes whatsoever. 

 

This certificate is not valid until signed by the Voting Trustee. 

 
	 
	21
	

 
	 

 

IN WITNESS WHEREOF, the Voting Trustee has executed this Voting Trust Certificate as of the date first written above. 

 

 

	
VOTING TRUSTEE
	
 
	
STOCKHOLDER(S)

	
 
	
 
	
 

	
Eilers Law Group, PA ,
	
 
	
 

	
a Florida corporation
	
 
	
		
 
	
	
By:
	
/s/ William Robison Eilers, Esq.
	
 
	
By:
	
/s/ Dr. James G. Ricketts
	
 

	
 
	
William Robinson Eilers, Esq.
	
 
	
 
	
Dr. James G. Ricketts
	
 

	
 
	
President
	
 
		Individually	
 

			
 
		
 

		
 
	
	
 
	
 
	
Address

	
 
	
 
	
______________________________

	
 
	
 
	
______________________________

	
 
	
 
	
______________________________

	
 
	
 
	
______________________________

 
	 
	22
	

 
	 

 

EXHIBIT B 

 

[Form of Voting Trust Certificate]

 

DEAC VOTING TRUST CERTIFICATE

 

March 14, 2017

 

No. 003

 

500,000 shares of Series B Preferred Stock 

 

THIS VOTING TRUST CERTIFICATE (this “Certificate”) is issued under and pursuant to, its transfer restricted by, and the rights of the holder hereof are subject to and limited by, the terms and conditions of the DEAC Voting Trust Agreement (the “Agreement”), dated March 14, 2017, by and among certain holders of shares of the Series B preferred stock, $0.0001 par value per share (“Preferred Stock”) and shares of the common stock, $0.0001 par value per share (“Common Stock”), of ELITE DATA SERVICES INC., a Florida corporation (the “Company”), collectively hereinafter referred to as (the “Shares”), and Eilers Law Group, PA, Attn: William Robinson Eilers, Esq., as Voting Trustee (hereinafter referred to collectively with any and all successors as the “Voting Trustee”). 

 

Upon the termination of the Voting Trust as provided in the Agreement, and upon the presentation and surrender of this Certificate, accompanied, if required by the Voting Trustee, by a properly executed transfer thereof to the Voting Trustee, the holder hereof will be entitled to receive, pursuant to the issuance by the Company in the name of the Voting Trustee, as referenced on the books of the Company, after the completion by the Company of a reverse split of 1:1000 of its Common Stock, in accordance with the executed Trust Agreement, a certificate(s) (or book entry) for a total of 5,000 shares of Series B Preferred Stock, and 495,000 shares of Common Stock of the Company, respectively (the “Shares”), converted from the original 500,000 shares of Series B Preferred Stock of the Company, deposited to and with the Voting Trustee, on the date of execution of the Trust Agreement, and in the meantime to receive payments equal to the dividends and the other distributions, if any, received by the Voting Trustee with respect to the Shares. The Voting Trustee shall, with respect to the Shares, possess and be entitled to exercise all rights of the holders of Common Stock of any and every kind and character, including the right to vote such Shares and to take part in or consent in writing or otherwise to any corporate or stockholders’ action, whether ordinary or extraordinary, including, but without limiting the generality thereof, each and every matter set forth in the Agreement, all upon such terms and conditions and under such circumstances as the Voting Trustee may from time to time determine in its sole discretion, and to do and perform any other act or thing which the stockholders of the Company are now or may hereafter be entitled to do or perform, it being expressly stipulated that the holder hereof shall have no right, either under this certificate or under the Agreement, or under any agreement express or implied, or otherwise, to vote the Shares or to take part in or consent to any corporate or stockholders’ action requiring such vote. 

 

This Certificate is transferable only as provided in the Agreement, a copy of which may be obtained free of charge from the Voting Trustee upon written request, and then only upon the books of the Voting Trustee by the registered holder hereof in person or by attorney, upon surrender hereof properly endorsed. Until so transferred, the Voting Trustee and the Company may treat the registered holder as the owner hereof for all purposes whatsoever. 

 

This certificate is not valid until signed by the Voting Trustee. 

 
	 
	23
	

 
	 

 

IN WITNESS WHEREOF, the Voting Trustee has executed this Voting Trust Certificate as of the date first written above. 

 

 

	
VOTING TRUSTEE
	
 
	
STOCKHOLDER(S)
	
 

	
 
	
 
	
 
	
 

	
Eilers Law Group, PA,

a Florida corporation
	
 
		
 

		
 
		
	
By:
	/s/ William Robison Eilers, Esq.	
 
	
By:
	/s/ Stephen Antol	
	
 
	William Robinson Eilers, Esq.,		
 
	Stephen Antol, 	
	
 
	
President
			Individually	
				
		
 
	
Address
	
	
 
	
 
	
 
	
 

		
 
	
______________________________
	
		
 
	
______________________________
	
		
 
	
______________________________
	
		
 
	
______________________________
	

 

	 
	24
	

 
	 

  

EXHIBIT B

 

[Form of Voting Trust Certificate]

 

DEAC VOTING TRUST CERTIFICATE

 

March 14, 2017

 

No. 004

 

4,000,000 shares of Series B Preferred Stock 

 

THIS VOTING TRUST CERTIFICATE (this “Certificate”) is issued under and pursuant to, its transfer restricted by, and the rights of the holder hereof are subject to and limited by, the terms and conditions of the DEAC Voting Trust Agreement (the “Agreement”), dated March 14, 2017, by and among certain holders of shares of the Series B preferred stock, $0.0001 par value per share (“Preferred Stock”) and shares of the common stock, $0.0001 par value per share (“Common Stock”), of ELITE DATA SERVICES INC., a Florida corporation (the “Company”), collectively hereinafter referred to as (the “Shares”), and Eilers Law Group, PA, Attn: William Robinson Eilers, Esq., as Voting Trustee (hereinafter referred to collectively with any and all successors as the “Voting Trustee”). 

 

Upon the termination of the Voting Trust as provided in the Agreement, and upon the presentation and surrender of this Certificate, accompanied, if required by the Voting Trustee, by a properly executed transfer thereof to the Voting Trustee, the holder hereof will be entitled to receive, pursuant to the issuance by the Company in the name of the Voting Trustee, as referenced on the books of the Company, after the completion by the Company of a reverse split of 1:1000 of its Common Stock, in accordance with the executed Trust Agreement, a certificate(s) (or book entry) for a total of 40,000 shares of Series B Preferred Stock, and 3,960,000 shares of Common Stock of the Company, respectively (the “Shares”), exercised and converted from the original stock purchase warrant (the “Warrant”) for the right to purchase a total of 4,000,000 shares of Series B Preferred Stock of the Company, deposited to and with the Voting Trustee, on the date of execution of the Trust Agreement, and in the meantime to receive payments equal to the dividends and the other distributions, if any, received by the Voting Trustee with respect to the Shares. The Voting Trustee shall, with respect to the Shares, possess and be entitled to exercise all rights of the holders of Common Stock of any and every kind and character, including the right to vote such Shares and to take part in or consent in writing or otherwise to any corporate or stockholders’ action, whether ordinary or extraordinary, including, but without limiting the generality thereof, each and every matter set forth in the Agreement, all upon such terms and conditions and under such circumstances as the Voting Trustee may from time to time determine in its sole discretion, and to do and perform any other act or thing which the stockholders of the Company are now or may hereafter be entitled to do or perform, it being expressly stipulated that the holder hereof shall have no right, either under this certificate or under the Agreement, or under any agreement express or implied, or otherwise, to vote the Shares or to take part in or consent to any corporate or stockholders’ action requiring such vote. 

 

This Certificate is transferable only as provided in the Agreement, a copy of which may be obtained free of charge from the Voting Trustee upon written request, and then only upon the books of the Voting Trustee by the registered holder hereof in person or by attorney, upon surrender hereof properly endorsed. Until so transferred, the Voting Trustee and the Company may treat the registered holder as the owner hereof for all purposes whatsoever. 

 

This certificate is not valid until signed by the Voting Trustee. 

 
	 
	25
	

 
	 

 

IN WITNESS WHEREOF, the Voting Trustee has executed this Voting Trust Certificate as of the date first written above. 

  

 

	
VOTING TRUSTEE
	
 
	
STOCKHOLDER(S)

	
 
	
 
	
 

	
Eilers Law Group, PA ,
	
 
	
Birch First Capital Investments LLC

	
a Florida corporation
	
 
	
f/k/a Birch First Capital Fund LLC,

	
 
	
 
	
a Delaware limited liability company

		
 
	
 

	
By: 
	
/s/ William Robison Eilers, Esq.
	
 
	
By:
	
Birch First Capital Partners LLC
	
 

			
 
	
f/k/a Birch First Capital Management LLC
	
 

			
 
	
Its:
	
Manager
	
 

			
 
			
 

		
 
	
 
	
By:
	
/s/ Pier S. Bjorklund
	
 

			
 
	
 
	
Pier S. Bjorklund, 
	
 

			
 
	
 
	Managing Director	
 

	
 
	
 
	
 
	
 
	
 
	
 

		
 
	
Address

	
 
	
 
	
 

	
 
	
 
	
121 S. Orange Avenue, Ste. 1500

	
 
	
 
	
Orlando, Florida 32801

	
 
	
 
	
Tel: (561) 228-4107

	
 
	
 
	
Email: admin@birchfirst.com 

	
 
	
 
	
Attn: Managing Director

  

	 
	26
	

 
	 

 

EXHIBIT B 

 

[Form of Voting Trust Certificate]

 

DEAC VOTING TRUST CERTIFICATE

 

March 14, 2017

 

No. 005

 

3,000,000 shares of Series B Preferred Stock 

 

THIS VOTING TRUST CERTIFICATE (this “Certificate”) is issued under and pursuant to, its transfer restricted by, and the rights of the holder hereof are subject to and limited by, the terms and conditions of the DEAC Voting Trust Agreement (the “Agreement”), dated March 14, 2017, by and among certain holders of shares of the Series B preferred stock, $0.0001 par value per share (“Preferred Stock”) and shares of the common stock, $0.0001 par value per share (“Common Stock”), of ELITE DATA SERVICES INC., a Florida corporation (the “Company”), collectively hereinafter referred to as (the “Shares”), and Eilers Law Group, PA, Attn: William Robinson Eilers, Esq., as Voting Trustee (hereinafter referred to collectively with any and all successors as the “Voting Trustee”). 

 

Upon the termination of the Voting Trust as provided in the Agreement, and upon the presentation and surrender of this Certificate, accompanied, if required by the Voting Trustee, by a properly executed transfer thereof to the Voting Trustee, the holder hereof will be entitled to receive, pursuant to the issuance by the Company in the name of the Voting Trustee, as referenced on the books of the Company, after the completion by the Company of a reverse split of 1:1000 of its Common Stock, in accordance with the executed Trust Agreement, a certificate(s) (or book entry) for a total of 30,000 shares of Series B Preferred Stock, and 2,970,000 shares of Common Stock of the Company, respectively (the “Shares”), exercised and converted from the original stock purchase warrant (the “Warrant”) for the right to purchase a total of 3,000,000 shares of Series B Preferred Stock of the Company, deposited to and with the Voting Trustee, on the date of execution of the Trust Agreement, and in the meantime to receive payments equal to the dividends and the other distributions, if any, received by the Voting Trustee with respect to the Shares. The Voting Trustee shall, with respect to the Shares, possess and be entitled to exercise all rights of the holders of Common Stock of any and every kind and character, including the right to vote such Shares and to take part in or consent in writing or otherwise to any corporate or stockholders’ action, whether ordinary or extraordinary, including, but without limiting the generality thereof, each and every matter set forth in the Agreement, all upon such terms and conditions and under such circumstances as the Voting Trustee may from time to time determine in its sole discretion, and to do and perform any other act or thing which the stockholders of the Company are now or may hereafter be entitled to do or perform, it being expressly stipulated that the holder hereof shall have no right, either under this certificate or under the Agreement, or under any agreement express or implied, or otherwise, to vote the Shares or to take part in or consent to any corporate or stockholders’ action requiring such vote. 

 

This Certificate is transferable only as provided in the Agreement, a copy of which may be obtained free of charge from the Voting Trustee upon written request, and then only upon the books of the Voting Trustee by the registered holder hereof in person or by attorney, upon surrender hereof properly endorsed. Until so transferred, the Voting Trustee and the Company may treat the registered holder as the owner hereof for all purposes whatsoever. 

 

This certificate is not valid until signed by the Voting Trustee. 

 
	 
	27
	

 
	 

 

IN WITNESS WHEREOF, the Voting Trustee has executed this Voting Trust Certificate as of the date first written above. 

 

 

	
VOTING TRUSTEE
	
 
	
STOCKHOLDER(S)

	
 
	
 
	
 

	
Eilers Law Group, PA ,
	
 
	
Baker & Myers & Associates LLC,

	
a Florida corporation
	
 
	
a Nevada limited liability company

		
 
	
	
By:
	
/s/ William Robison Eilers, Esq.
	
 
	
By:
	
/s/ Sarah Myers
	
 

	
 
	
William Robinson Eilers, Esq.
	
 
	
 
	
Sarah Myers
	
 

	
 
	
President
	
 
		Manager	
 

		
 
	
	
 
	
 
	
Address

	
 
	
 
	
 

	
 
	
 
	
Reserved

	
 
	
 
	
______________________________

	
 
	
 
	
______________________________

	
 
	
 
	
______________________________

	
 
	
 
	
______________________________

 
	 
	28
	

 
	 

 

EXHIBIT C 

 

[Form of Termination Notice]

 

[DATE] 

 

ELITE DATA SERVICES INC.

__________________________

__________________________

__________________________

__________________________

 

Notice is hereby given pursuant to Section 10(c) of the DEAC Voting Trust Agreement, dated March 14, 2017 (the “DEAC Voting Trust Agreement”), that the Voting Trust Agreement shall be terminated effective [DATE OF TERMINATION]. 

 

In connection with the above termination, and in accordance with the terms as set forth in Section 10 of the Voting Trust Agreement, as of the date set forth above, the Voting Trust Agreement shall cease to have any effect. Upon termination, the holders of any outstanding Voting Trust Certificates shall have no further rights under the Voting Trust Agreement, other than to receive certificates for their outstanding shares of common stock, upon surrender of the corresponding Voting Trust Certificate(s) within five (5) days after the termination of the Voting Trust Agreement. 

 

Sincerely, 

 

[Trustee] 

 
	 
	29
	

 
	 

  

EXHIBIT D

 

DEFINITIVE AGREEMENT

(Elite Data Services Inc. – WOD Holdings Inc.)

 

See Attached.

 

	 
	30
	

 
	 

  

EXHIBIT E

 

AMENDMENT NO. 2 TO THE DEFINITIVE AGREEMENT

(Elite Data Services Inc. – WOD Holdings Inc.)

 

See Attached.

 

 

 

	 
	
31Exhibit

Exhibit 10.1

COOPERATION AGREEMENT
This Agreement dated March 16, 2017 is by and between JANA Partners LLC (“JANA”) and Blackhawk Network Holdings, Inc. (the “Company”).  In consideration of and reliance upon the mutual covenants and agreements contained herein, and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereto agree as follows:
1.    Representations and Warranties of the Company.  The Company represents and warrants to JANA that this Agreement has been duly authorized, executed and delivered by the Company, and is a valid and binding obligation of the Company, enforceable against the Company in accordance with its terms.
2.    Representations and Warranties of JANA.  JANA represents and warrants to the Company that this Agreement has been duly authorized, executed and delivered by JANA, and is a valid and binding obligation of JANA, enforceable against JANA in accordance with its terms.  As of the date of this Agreement, JANA beneficially owns 2,602,719 shares of the Company’s common stock and has voting authority over such shares. 
3.    Board Nomination and Other Company Matters.  
(a)    In accordance with the Company’s Bylaws and Delaware law, the Company agrees that, effective no later than the next meeting (the “April Board Meeting”) of the Board of Directors of the Company (the “Board”), which shall be held not later than April 24, 2017, and prior to taking any other formal action at such meeting, the Board will:
(b)    increase the size of the Board to thirteen (13) members; and
(c)    appoint Robert Henske and Jeffrey H. Fox (together, the “JANA Nominees”) (other than in the case of the refusal or inability of any such person to serve, in which case, the Board shall appoint his/her substitute chosen in accordance with Section 3(e)) as Company directors to fill the vacancies created thereby and to have the same rights of participation in all other matters undertaken at the April Board Meeting as the other Company directors; provided, however, that as a condition to the appointment of each JANA Nominee, such JANA Nominee shall have completed and executed the Company’s 2017 Questionnaire for Potential Director Nominees, provided that such document has not been amended in any material respect from the version provided to JANA prior to the date of this Agreement, and have agreed to comply with all policies, codes of conduct, confidentiality obligations and codes of ethics applicable to all of the Company’s directors, including the Company’s Code of Business Conduct (which shall not be amended to disqualify any JANA Nominee based on any arrangement between JANA and such JANA Nominee pursuant to which such JANA nominee has agreed to be appointed which has been disclosed to the Company as of the date hereof), to provide the information regarding themselves that is required to be disclosed for candidates for directors and directors in a proxy statement under the federal securities laws of the United States of America and/or applicable NASDAQ rules and regulations, and to provide such other customary information as reasonably requested by the Company; and provided, further that any JANA Nominee may participate in the April Board Meeting telephonically if unable to attend in person.
(d)    The Company agrees that: 
(1)    The Board will not take any formal action prior to appointing the JANA Nominees to the Board;
(2)    at the 2017 annual meeting of the Company’s stockholders (the “2017 Annual Meeting”), the Board will nominate the JANA Nominees (other than in the case of the resignation, refusal or inability of any such person to serve, in which case, the Board shall nominate his/her substitute chosen in accordance with Section 3(e)), together with the other persons included in the Company’s slate of nominees for election as director at the 2017 Annual Meeting in accordance with Section 3(d), as directors of the Company, in each case with a term expiring at the 2018 annual meeting of the Company’s shareholders (the “2018 Annual Meeting”); 
(3)    the Board will recommend that the shareholders of the Company vote to elect the JANA Nominees as directors of the Company at the 2017 Annual Meeting; and
(4)    the Company shall use its reasonable best efforts (which shall include the solicitation of proxies) to obtain the election of the JANA Nominees at the 2017 Annual Meeting (it being understood that such efforts shall be not less than the efforts used by the Company to obtain the election of any other independent (as determined under the listing rules of the NASDAQ Stock Market (“NASDAQ”)) director nominee nominated by it to serve as a director on the Board at the 2017 Annual Meeting).

(e)    The Company agrees that if any of the JANA Nominees resigns as a director or otherwise refuses to or is unable to serve as a director at any time prior to the 2018 Annual Meeting, including as a result of death or disability, JANA shall be entitled to designate a replacement director who shall be independent of JANA, would be considered an independent director of the Company under the listing rules of NASDAQ, is reasonably acceptable to the Board as a replacement director and has a comparable amount of business experience, although such experience need not be in the same industry or industries, provides the information required by Section 3(a) and is in equally good standing in all material respects, as the JANA Nominee being replaced.  For the avoidance of doubt, the substitute director shall thereafter be deemed a JANA Nominee for purposes of this Agreement and be entitled to the same rights and subject to the same requirements under this Agreement applicable to the resigning JANA Nominee prior to his or her resignation, and such person shall be appointed to the Board to serve the unexpired term, if any, of such JANA Nominee.  
(f)    Other than the JANA Nominees, the Board will not nominate more than eleven (11) other individuals for election at the 2017 Annual Meeting.
(g)    Until the 2018 Annual Meeting, the Company shall not increase the size of the Board in excess of thirteen (13) members, and shall not decrease the size of the Board if such decrease would require the resignation of one or more of the JANA Nominees.  Other than for vacancies filled pursuant to Section 3(e) or arising as a result of a breach of this Agreement by the Company, nothing in this Agreement shall prevent the Company from filling all vacancies in accordance with the Bylaws of the Company.
(h)    The Company will take appropriate action so that, prior to the 2018 Annual Meeting, its director change of position guideline does not require a JANA Nominee to resign by reason of any material change in his or her position held at the time such JANA Nominee was appointed to the Board.
4.    Cost Savings Committee.  
(a)    At the April Board Meeting, the Board shall establish a new committee of the Board (the “Cost Savings Committee”), whose purpose will be to evaluate all options for increasing cost savings, including by, if the Cost Savings Committee so determines, engaging a cost consultant selected by the Cost Savings Committee to conduct a cost review.  There shall be four (4) members of the Cost Savings Committee, two of whom shall be the JANA Nominees.  For so long as the Cost Savings Committee exists, during the Cooperation Period the Board shall not increase the size of the Cost Savings Committee.  In the event of the replacement as set forth in Section 3(e) of any JANA Nominee, his successor shall be promptly appointed to the committee seat vacated by such JANA Nominee.  
5.    Cooperation. 
(a)    JANA agrees that, from the date of this Agreement until the earliest of (i) the date that is thirty (30) calendar days prior to any applicable deadline by which a shareholder must give notice to the Company of its intention to nominate a director for election at or bring other business before the 2018 Annual Meeting under the Company’s Bylaws and (ii) any material breach of this Agreement by the Company (provided that the Company shall have three (3) business days following written notice from JANA of material breach to remedy such material breach if capable of remedy) (such period, the “Cooperation Period”), neither it nor any of its Affiliates or Associates will in any manner, directly or indirectly, make, or cause to be made, or in any way encourage any other person to make or cause to be made, any statement or announcement that relates to and constitutes an ad hominem attack on, or relates to and otherwise disparages, the Company, any of its officers or directors or any person who has served as an officer or director of the Company, including: (i) in any document or report filed with or furnished to the Securities and Exchange Commission (the “SEC”) or any other governmental agency, (ii) in any press release or other publicly available format or (iii) to any journalist or member of the media (including without limitation, in a television, radio, newspaper or magazine interview), or otherwise.
(b)    The Company agrees that, from the date of this Agreement until the earliest of (i) the date that is thirty (30) calendar days prior to any applicable deadline by which a shareholder must give notice to the Company of its intention to nominate a director for election at or bring other business before the 2018 Annual Meeting under the Company’s Bylaws and (ii) any material breach of this Agreement by JANA (provided that JANA shall have three (3) business days following written notice from the Company of material breach to remedy such material breach if capable of remedy), neither it nor any of its Affiliates or Associates will in any manner, directly or indirectly make, or cause to be made, or in any way encourage any other person to make or cause to be made, any statement or announcement that relates to and constitutes an ad hominem attack on, or relates to and otherwise disparages, JANA, any of its members, officers or directors or any person who has served as a member, officer or director of JANA, including: (i) in any document or report filed with or furnished to the SEC or any other governmental agency, (ii) in any press release or other publicly available format or (iii) to any journalist or member of the media (including without limitation, in a television, radio, newspaper or magazine interview), or otherwise.   

-2-

(c)    The limitations set forth in Sections 5(a) and 5(b) shall not prevent either party from responding to any public statement made by the other party of the nature described in Sections 5(a) and 5(b) if such statement by the other party was made in breach of this Agreement.
(d)    During the Cooperation Period, JANA shall cause all shares of the Company’s capital stock (“Shares”) beneficially owned, directly or indirectly, by it, or by any of its Affiliates or Associates (including without limitation all Shares beneficially owned as of the respective record dates for the 2017 Annual Meeting and as of the record dates for any special meeting of shareholders) over which it exercises or has voting authority, to be present for quorum purposes and to be voted, at such meetings or at any adjournments or postponements thereof, in favor of the current members of the Board (including the JANA Nominees) that will be up for election at such meetings and in accordance with the Board’s recommendations with respect to any other proposal or business that may be the subject of shareholder action at such meetings and not to submit any proposal for consideration at, or bring any other business before, such meetings or initiate, encourage or participate in any “withhold” or similar campaign with respect to the election of directors at any such meeting and shall not permit any of its Affiliates or Associates to do any of the foregoing or publicly or privately encourage or support any other stockholder to take any such actions, provided, however, that, notwithstanding anything herein to the contrary, with respect to (a) a proposal to authorize or approve any tender offer, exchange offer, merger, acquisition, recapitalization or consolidation (an “Extraordinary Transaction”) involving the Company or its securities or assets, (b) matters related to the implementation of takeover defenses, or (c) new or amended incentive compensation plans submitted for stockholder approval, JANA and each JANA Affiliate may vote its Shares in its sole discretion.
(e)    During the Cooperation Period, JANA will not, and shall cause its Affiliates and Associates to not, directly or indirectly, without the prior written consent of the Company:   
(i)    acquire, seek or propose (publicly or otherwise) to acquire, beneficial ownership, directly or indirectly, of any additional Shares or rights or options to acquire any additional Shares if such acquisition would cause JANA’s beneficial ownership to exceed 9.9% of the Company’s common stock; 
(ii)    seek or propose (publicly or otherwise) to influence or control the management or policies of the Company, seek or propose (publicly or otherwise) to obtain representation on the Board, to remove any member of the Board or to fill any vacancies on the Board (except as set forth herein), make a request for any stockholder list or other Company books and records, conduct a referendum of shareholders, present at any annual meeting or any special meeting of the Company’s shareholders or solicit, or participate in the solicitation of, any proxies or consents with respect to any securities of the Company, or publicly request permission to do any of the foregoing, or take any action which would, or would reasonably be expected to, require public disclosure regarding any of the types of matters set forth in this clause (ii); 
(iii)    submit (publicly or otherwise) a proposal or request for, offer of (with or without conditions), or take any action in support of a proposal or request for, or offer of, any Extraordinary Transaction, any material change in the capitalization, stock repurchase programs and practices, capital allocation programs and practices or dividend policy of the Company, any other material change in the Company’s business or corporate structure, any modifications to the Company’s Certificate of Incorporation or Bylaws, the delisting of a class of securities of the Company from any stock exchange, or any action that would result in a class of securities of the Company to become eligible for termination of registration pursuant to Section 12(g)(4) of the Exchange Act, or take any action which would, or would reasonably be expected to, require public disclosure regarding any of the types of matters set forth in this clause (iii); 
(iv)    request (publicly or otherwise) a special meeting of the Company’s shareholders or submit, or participate in, or be the proponent of, any shareholder proposal to the Company; 

-3-

(v)    encourage, assist or enter into any discussions, negotiations, arrangements or understandings with any third party with respect to any of the foregoing, or otherwise form, join or in any way participate in a “group” (as defined in Section 13(d)(3) of the Exchange Act) with respect to any securities of the Company or otherwise in any manner agree, attempt, seek or propose to deposit any securities of the Company in any voting trust or similar arrangement, or subject any securities of the Company to any agreement or arrangement with respect to the voting thereof (including by granting any proxy, consent or other authority to vote), except as expressly set forth in this Agreement; 
(vi)    other than in Rule 144 open market broker sale transactions where the identity of the purchaser is not known and in underwritten widely dispersed public offerings, sell, offer or agree to sell directly or indirectly, through swap or hedging transactions or otherwise, the securities of the Company or any rights decoupled from the underlying securities of the Company held by JANA or any JANA Affiliate to any person not a party to this Agreement (a “Third Party”) that, to JANA’s or the JANA Affiliate’s knowledge (after due inquiry in connection with a private, non-open-market transaction, it being understood that such knowledge shall be deemed to exist with respect to any publicly available information, including information in documents filed with the SEC) would result in such Third Party, together with its affiliates and associates, owning or controlling or otherwise having any beneficial or other ownership interest in the aggregate of more than 4.9% of the shares of the Company’s common stock outstanding at such time or would increase the beneficial or other ownership interest of any Third Party who, together with its affiliates and associates, has a beneficial or other ownership interest in the aggregate of more than 4.9% of the shares of the Company’s common stock outstanding at such time.  
(vii)    engage in any short sale or any purchase, sale or grant of any option, warrant, convertible security, stock appreciation right, or other similar right (including any put or call option or “swap” transaction with respect to any security (other than a broad based market basket or index) that includes, relates to or derives any significant part of its value from a decline in the market price or value of the securities of the Company;
(viii)    make any public disclosure regarding any intent, purpose, plan or proposal with respect to the Board, the Company, its management, policies or affairs, any of its securities or assets or this Agreement that is inconsistent with the provisions of this Agreement;
(ix)    institute, solicit, assist or join, as a party, any litigation, arbitration or other proceedings against or involving the Company or any of its current or former directors or officers (including derivative actions), other than an action to enforce the provisions of this Agreement instituted in accordance with and subject to Section 9; or
(x)    enter into any discussions, negotiations, agreements or understandings with any Third Party to take any action with respect to any of the foregoing, or advise, assist, knowingly encourage or seek to persuade any Third Party to take any action or make any statement with respect to any of the foregoing, or otherwise take or cause any action or make any statement inconsistent with the foregoing.
(f)    JANA also agrees not to, and to cause its Affiliates and Associates not to, request during the Cooperation Period that the Company (or its directors, officers, employees or agents), directly or indirectly, amend or waive any provision of this Section (including this sentence), publicly or in a manner that is intended to or would reasonably be expected to require public disclosure of such request.  
(g)    Nothing in this Agreement shall be deemed to limit JANA’s ability to provide its views privately to the Board or management on any matter or to privately request a waiver of any provision of this Agreement, provided that such actions are not intended to and would not reasonably expected to require public disclosure of such actions. 
6.    Public Announcement.  
(a)    JANA and the Company shall announce this Agreement and the material terms hereof including the terms of Section 6 by means of a joint press release in the form attached hereto as Exhibit A (the “Press Release”) as soon as practicable but in no event later than 9:00 a.m., New York City time, on March 20, 2017.   
(b)    None of JANA, any of its Affiliates or Associates, or the JANA Nominees shall issue a press release in connection with this Agreement or the actions contemplated hereby.

-4-

7.    Definitions.    For purposes of this Agreement: 
(a)    the terms “Affiliate” and “Associate” shall have the respective meanings set forth in Rule 12b-2 promulgated by the SEC under the Securities Exchange Act of 1934, as amended (the “Exchange Act”); 
(b)    the terms “beneficial owner” and “beneficially own” shall have the same meanings as set forth in Rule 13d-3 promulgated by the SEC under the Exchange Act except that a person shall also be deemed to be the beneficial owner of all Shares which such person has the right to acquire (whether such right is exercisable immediately or only after the passage of time)  pursuant to the exercise of any rights in connection with any securities or any agreement, arrangement or understanding (whether or not in writing), regardless of when such rights may be exercised and whether they are conditional, and all Shares which such person or any of such person’s Affiliates or Associates has or shares the right to vote or dispose; and
(c)    the terms “person” or “persons” shall mean any individual, corporation (including not-for-profit), general or limited partnership, limited liability or unlimited liability company, joint venture, estate, trust, association, organization or other entity of any kind or nature.
8.    Notices.  All notices, consents, requests, instructions, approvals and other communications provided for herein and all legal process in regard hereto shall be in writing and shall be deemed validly given, made or served, if (a) given by telecopy and email, when such telecopy is transmitted to the telecopy number set forth below and sent to the email address set forth below and the appropriate confirmation is received or (b) if given by any other means, when actually received during normal business hours at the address specified in this Section:
	
		
	if to the Company:
	Blackhawk Network Holdings, Inc.
6220 Stoneridge Mall Road
Pleasanton, CA 94588
Attention: General Counsel
Facsimile: 925-226-9743
Email: kirsten.richesson@bhnetwork.com

	with a copy to:
	Wachtell, Lipton, Rosen & Katz
51 W. 52nd Street
New York, NY 10019
Attention:  David E. Shapiro
Facsimile: (212) 403-2000
Email:  DEShapiro@wlrk.com

	if to JANA:
	JANA Partners LLC
767 Fifth Avenue, 8th Floor 
New York, New York 10153  
Attention: General Counsel
Facsimile: (212) 455-0901
Email: legal@janapartners.com

	with a copy to:
	Schulte Roth & Zabel LLP
919 Third Avenue
New York, New York 10022
Attention:  Marc Weingarten, Esq., Eleazer Klein, Esq., Aneliya Crawford, Esq.
Email:  marc.weingarten@srz.com; eleazer.klein@srz.com; aneliya.crawford@srz.com
Facsimile:  (212) 593-5955

-5-

9.    Specific Performance; Remedies.  
(a)        In furtherance and not in limitation of Section 9(b), the parties hereto shall be entitled to seek an injunction or injunctions to prevent breaches of this Agreement and to enforce specifically the terms and provisions of this Agreement, in addition to any other remedy to which they are entitled at law or in equity.  FURTHERMORE, EACH OF THE PARTIES HERETO (A) IRREVOCABLY WAIVES THE RIGHT TO TRIAL BY JURY AND (B) AGREES TO WAIVE ANY BONDING REQUIREMENT UNDER ANY APPLICABLE LAW, IN THE CASE ANY OTHER PARTY SEEKS TO ENFORCE THE TERMS BY WAY OF EQUITABLE RELIEF.  THIS AGREEMENT SHALL BE GOVERNED IN ALL RESPECTS, INCLUDING VALIDITY, INTERPRETATION AND EFFECT, BY THE LAWS OF THE STATE OF DELAWARE WITHOUT GIVING EFFECT TO THE CHOICE OF LAW PRINCIPLES OF SUCH STATE.
(b)        Notwithstanding any other Section in this Agreement and without limiting any other remedies the Company may have in law or equity, in the event that JANA (or any Affiliate or Associate of JANA) fails to perform or otherwise fulfill its obligations set forth in Section 5 in any material respect, and shall not have remedied such failure or non-fulfillment if capable of being remedied or fulfilled within three (3) business days following written notice from the Company of such failure or non-fulfillment, the Company shall not be required to perform or fulfill its obligations set forth in Sections 3, 4 or 5 and the JANA Nominees shall each promptly tender their resignation as a member of the Board effective immediately upon its acceptance by the Company.  As a condition to nomination and/or appointment to the Board pursuant to this Agreement, each JANA Nominee shall have executed an irrevocable letter agreement with the Company in which each such JANA Nominee shall agree to resign if required in accordance with the immediately preceding sentence.
10.    Severability.  If at any time subsequent to the date hereof, any provision of this Agreement shall be held by any court of competent jurisdiction to be illegal, void or unenforceable, such provision shall be of no force and effect, but the illegality or unenforceability of such provision shall have no effect upon the legality or enforceability of any other provision of this Agreement.
11.    Termination. This Agreement shall terminate on the expiry of the Cooperation Period.
12.    Counterparts.  This Agreement may be executed in two (2) or more counterparts which together shall constitute a single agreement.
13.    No Third Party Beneficiaries.  This Agreement is solely for the benefit of the parties hereto and is not enforceable by any other persons.  No party to this Agreement may assign its rights or delegate its obligations under this Agreement, whether by operation of law or otherwise, and any assignment in contravention hereof shall be null and void.  
14.    No Waiver.  No failure or delay by either party in exercising any right or remedy hereunder shall operate as a waiver thereof, nor shall any single or partial waiver thereof preclude any other or further exercise thereof or the exercise of any other right or remedy hereunder.
15.    Entire Understanding.  This Agreement contains the entire understanding of the parties with respect to the subject matter hereof and may be amended only by an agreement in writing executed by the parties hereto.
16.    Interpretation and Construction.  
(a)        The Company acknowledges that its Board is bound by the obligations of the Company hereunder.  
(b)        Each of the parties hereto acknowledges that it has been represented by counsel of its choice throughout all negotiations that have preceded the execution of this Agreement, and that it has executed the same with the advice of said counsel.  Each party and its counsel cooperated and participated in the drafting and preparation of this Agreement and the documents referred to herein, and any and all drafts relating thereto exchanged among the parties shall be deemed the work product of all of the parties and may not be construed against any party by reason of its drafting or preparation.  Accordingly, any rule of law or any legal decision that would require interpretation of any ambiguities in this Agreement against any party that drafted or prepared it is of no application and is hereby expressly waived by each of the parties hereto, and any controversy over interpretations of this Agreement shall be decided without regard to events of drafting or preparation.

-6-

IN WITNESS WHEREOF, this Agreement has been duly executed and delivered by the duly authorized signatories of the parties as of the date hereof.

	
					
	BLACKHAWK NETWORK HOLDINGS, INC.
	 
	JANA PARTNERS LLC

	 
	 
	 
	 
	 

	By:
	/s/  Talbott Roche
	 
	By:
	/s/  Charles Penner

	Name:
	Talbott Roche
	 
	Name:
	Charles Penner

	Title:
	President and Chief Executive Officer
	 
	Title:
	Partner and CLO

	 
	 
	 
	 
	 

[Signature Page to the Agreement]

EXHIBIT A

[PRESS RELEASE]

 

A-1

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