Document:

EXHIBIT 10.2

RESTATED EMPLOYMENT AGREEMENT

This RESTATED EMPLOYMENT
AGREEMENT (“Agreement”), dated as of November 1, 2019, (the “Effective Date”) is made by
and between Diego Pellicer Worldwide, Inc., a Corporation organized under the laws of Delaware (the “Corporation”)
and Christopher D. Strachan (the “Executive”). Each of the Corporation and the Executive are referred to herein
individually as a “Party” and collectively as the “Parties.” This Agreement replaces that Employment Agreement,
dated February 1, 2016, between the Parties.

RECITALS:

WHEREAS,
on November 1, 2019, the Corporation’s Board of Directors appointed Christopher D. Strachan to serve as a member of the Corporation’s
Board of Directors, to serve until his successor is elected and duly qualified, with the understanding that, due to his assumption
of such duties, his employment agreement would be restated;

WHEREAS,
the Executive and the Corporation have negotiated the terms and provisions set forth below and each desire to consummate this Agreement
in accordance therewith.

NOW, THEREFORE,
in consideration of the promises, covenants, representations and warranties set forth herein, and for other good and valuable consideration,
the receipt and sufficiency of which is hereby acknowledged and accepted, the Parties, intending to be legally bound, hereby agree
as follows:

1.A Termination
of Prior Employment Agreement. The Corporation and Executive hereby agree that Executive’s Employment Agreement, dated
February 1, 2016, is hereby terminated.

1.B Term.
The Corporation hereby employs the Executive, and the Executive hereby accepts such employment, for an initial term commencing
as of the Effective Date and continuing for a term of five years, through October 31, 2024 (the “Termination Date”)
unless sooner terminated in accordance with the provisions of Section 5 hereof (the “Initial Term”),
with such employment to continue for successive one-year periods in accordance with the terms of this Agreement (subject to termination
as aforesaid) unless either Party notifies the other Party of non-renewal in writing prior to three months before the expiration
of the initial term and each annual renewal, as applicable. (The period during which the Executive is employed hereunder being
hereinafter referred to as the “Term”).

1.                  
Duties. During the Term, the Executive shall continue to be employed by the Corporation
as its Chief Financial Officer. The Executive shall devote his working time, energy, attention, skill and best efforts to the affairs
of the Corporation and to the faithful performance of the duties of said offices and shall faithfully perform such other duties
of an executive, managerial or administrative nature as shall be specified and designated from time to time by the Corporation’s
Board of Directors.

2.                  
Place of Performance. Employee shall be based in the State of Washington except for
travel required for Corporation business.

3.                  
Compensation.

(a)                
Base Salary. The Corporation shall pay the Executive during the Term a salary at a
minimum rate of One Hundred Twenty Thousand Dollars ($120,000.00) per annum for the period beginning on the Effective Date through
the Initial Term (the “Base Salary”), in accordance with the customary payroll practices of the Corporation
applicable to senior executives. For each year thereafter, the Corporation’s Board (or compensation committee of the Corporation’s
Board, or, at the discretion of the Corporation’s Board, by a committee composed of two or more members of the Corporation’s
Board (for purposes of this Agreement, the “Committee”) shall review the Executive’s Base Salary and may
provide for such increases therein as it may, in its discretion, deem appropriate. (Any such increased salary shall constitute
the “Base Salary” as of the time of the increase.)

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(b)               
Bonus. During the Term, in addition to the Base Salary, for each fiscal year of the
Corporation ending during the Term, the Executive shall have the opportunity to receive an annual bonus in an amount and on such
terms to be determined by the Corporation’s Board, or, at the discretion of the Corporation’s Board, the Committee
(“Performance Bonus”). The Corporation’s Board, or, at the discretion of the Corporation’s Board,
the Committee, shall further have the discretion to grant Executive annual bonuses in such amounts and on such terms as it shall
determine in its sole discretion. Nothing contained in the foregoing shall limit the Executive’s eligibility to receive any
other bonus under any other bonus plan, stock option or equity–based plan, or other policy or program of the Corporation.

Equity Incentive Compensation.
In consideration of the Executive’s commitment to enter into this Agreement and to render the services described herein and
provided that the Executive is employed by and rendering services to the Corporation on each such date , the Corporation shall
issue to the Executive, calculated, initially as of May 1, 2020, and thereafter, on each successive May 1st throughout
the Initial Term of this Agreement (the “May 1st Adjustment Date”), a combination of stock grants and/or
stock options, so  that the Executive shall have a position equal to two (2%) percent of the Corporation’s outstanding
common shares (the “Executive Beneficial Ownership Position”), issuable as soon as practicable following each such
May 1st Adjustment Date. No Corporation common shares purchased or stock grants earned by the Executive, whether open
market or purchased from and issued directly by the Corporation shall be included when calculating the Executive Beneficial Ownership
Position. That when issued, such shares contained in each stock grant or stock option of the Corporation’s restricted common
shares shall be deemed validly issued, fully paid and non-assessable; that for purposes of reporting to the applicable regulatory
agencies, the value assigned to the shares contained in the each stock grant or stock option shall be based either upon an independent
3rd party valuation or as determined by the Board of Directors, acting in accordance with the best corporate governance
standards.

 

Executive shall be entitled
to participate in any equity compensation plan of the Corporation in which he is eligible to participate, and may, without limitation,
be granted in accordance with any such plan options to purchase shares of the Corporation’s common stock, shares of restricted
stock, and other equity awards in the discretion of the Corporation’s Board or the Committee.

(c)                
Benefits. The Executive shall be permitted during the Term to participate in any group
life, hospitalization or disability insurance plans, health programs, retirement plans, fringe benefit programs and other benefits
that may be available to other senior executives of the Corporation generally, in each case to the extent that the Executive is
eligible under the terms of such plans or programs. Full medical, dental, and vision coverage will be provided and paid for by
the Corporation.

(d)               
Vacation. The Executive shall be entitled to vacation of no less than 20 business days
per year, not including national holidays, to be credited in accordance with ordinary Corporation policies.

(e)                
Expenses. The Corporation shall pay or reimburse the Executive for all ordinary and
reasonable out-of-pocket expenses actually incurred (and, in the case of reimbursement, paid) by the Executive during the Term
in the performance of the Executive’s services under this Agreement, in accordance with the Corporation’s policies
regarding such reimbursements.

4.                  
Termination of Employment; Change of Control.

(a)                
Termination upon Death or Disability. This Agreement and Executive’s employment
hereunder shall automatically terminate on the date on which Executive dies or becomes permanently incapacitated. Executive shall
be deemed to have become “permanently incapacitated” on the date that is thirty (30) days after the Corporation has
determined that Executive has suffered a Permanent Incapacity (as defined below) and so notifies Executive. For purposes of this
Agreement, “Permanent Incapacity” shall mean that (i) Executive is unable to engage in any substantial gainful
activity by reason of any medically determinable physical or mental impairment that can be expected to result in death or can be
expected to last for a continuous period of not less than twelve (12) months; or (ii) Executive is, by reason of any medically
determinable physical or mental impairment that can be expected to result in death or can be expected to last for a continuous
period of not less than twelve (12) months, receiving income replacement benefits for a period of not less than twelve (12) months
under an accident and health plan covering employees of the service provider’s employer.

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(b)               
Termination by the Corporation for Cause. The Corporation may terminate this Agreement
and Executive’s employment hereunder with Cause (as defined below), effective upon delivery of written notice to Executive
given at any time during the Term (without any necessity for prior notice). For purposes of this Agreement, “Cause”
shall mean the Executive’s: (i) conviction of any felony or any other crime involving moral turpitude or Executive is deemed
a “bad actor” under applicable state or federal securities laws (ii) fraud against the Corporation or any of its subsidiaries
or affiliates or theft of or maliciously intentional damage to the property of the Corporation or any of their subsidiaries or
affiliates, (iii) willful breach of Executive’s fiduciary duties to the Corporation, or (iv) breach by Executive of any provision
of this Agreement.

(c)                
Termination by Corporation without Cause. The Corporation may terminate this Agreement
and Executive’s employment hereunder without Cause, effective upon delivery of written notice to Executive given at any time
during the Term (without any necessity for prior notice) provided that the Corporation complies with all provisions of this Agreement,
including without limitation, obligations related to severance, vesting of options and continuation of benefits as set forth herein.

(d)               
Termination by the Executive for Good Reason. The Executive may terminate this Agreement
and Executive’s employment hereunder with Good Reason (as defined below). For purposes of this Agreement, “Good
Reason” shall mean (i) the material reduction of the Executive’s title, authority, duties and responsibilities
or the assignment to the Executive of duties materially inconsistent with the Executive’s position or positions with the
Corporation; (ii) a material reduction in Base Salary of the Executive; (iii) the Corporation’s material breach of this Agreement;
or (iv) any change in the geographic location at which Executive must perform the services under this Agreement, which change is
reasonably material to Executive. Notwithstanding the foregoing, (x) Good Reason shall not be deemed to exist unless notice of
termination on account thereof (specifying a termination date no later than thirty (30) days from the date of such notice) is given
no later than 30 days after the time at which the event or condition purportedly giving rise to Good Reason first occurs or arises
and (y) if there exists (without regard to this clause (y)) an event or condition that constitutes Good Reason, the Corporation
shall have fifteen (15) days from the date notice of such a termination is given to cure such event or condition and, if the Corporation
does so, such event or condition shall not constitute Good Reason hereunder.

(e)                
Termination by the Executive other than for Good Reason. The Executive may terminate
this Agreement and Executive’s employment hereunder other than for Good Reason, provided that the Executive gives the Corporation
no less than thirty (30) days prior written notice of such termination.

(f)                 
Change of Control. The Executive may terminate this Agreement and Executive’s
employment hereunder within the six month period following the Transition Period (as defined below), provided that the Executive
gives the Corporation no less than thirty (30) days prior written notice of such termination. For purposes of this Agreement, “Transition
Period” means the period commencing on the date of the Change of Control (as defined below) and ending on the first anniversary
of such Change of Control. For purposes of this Agreement, “Change of Control” shall mean the occurrence of
any of the following:

(i)                 
Change in Ownership. A change in ownership of the Corporation occurs on the date that
any one person, or more than one person acting as a group, acquires ownership of stock of the Corporation that, together with stock
held by such person or group, constitutes more than fifty percent (50%) of the total fair market value or total voting power of
the stock of the Corporation, excluding the acquisition of additional stock by a person or more than one person acting as a group
who is considered to own more than fifty percent (50%) of the total fair market value or total voting power of the stock of the
Corporation.

(ii)               
Change in Effective Control. A change in effective control of the Corporation occurs
on the date that either: (A) any one person, or more than one person acting as a group, acquires (or has acquired during the twelve
(12) month period ending on the date of the most recent acquisition by such person or persons) ownership of stock of the Corporation
possessing thirty percent (30%) or more of the total voting power of the stock of the Corporation; or (B) a majority of the members
of the Corporation’s Board is replaced during any twelve (12) month period by directors whose appointment or election is
not endorsed by a majority of the members of the Corporation’s Board prior to the date of the appointment or election; provided,
that this paragraph (2) will apply to the Corporation only if no other corporation is a majority shareholder of the Corporation.

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(iii)             
Change in Ownership of Substantial Assets. A change in the ownership of a substantial
portion of the Corporation’s assets occurs on the date that any one person, or more than one person acting as a group, acquires
(or has acquired during the twelve (12) month period ending on the date of the most recent acquisition by such person or persons)
assets from the Corporation that have a total gross fair market value equal to or more than forty percent (40%) of the total gross
fair market value of the assets of the Corporation immediately prior to such acquisition or acquisitions. For this purpose, “gross
fair market value” means the value of the assets of the Corporation, or the value of the assets being disposed of, determined
without regard to any liabilities associated with such assets.

(iv)              
Intended Interpretation. It is the intent of the Parties that the definition of Change
in Control under this Agreement be construed consistent with the definition of “Change in Control” as defined in Section
409A of the Internal Revenue Code of 1986, as amended (the “Code”) and the applicable Treasury Regulations,
as amended from time to time.

5.                  
Payments Upon Termination. 

(a)                
Upon termination of this Agreement and Executive’s employment hereunder due to Executive’s
death or disability pursuant to Section 4(a) hereof, (i) the Executive (or the Executive’s estate or beneficiaries
in the case of the death of the Executive) shall be entitled to receive any Base Salary and other benefits (including any bonus
for a calendar year completed before termination) earned and accrued under this Agreement prior to the date of termination (and
reimbursement under this Agreement for expenses incurred prior to the date of termination) and (ii) the Executive (or the Executive’s
estate or beneficiaries in the case of the death of the Executive) shall have no further rights to any other compensation or benefits
hereunder, or any other rights hereunder (but, for the avoidance of doubt, shall receive such disability and death benefits as
may be provided under the Corporation’s plans and arrangements in accordance with their terms).

(b)               
Upon termination of this Agreement and Executive’s employment hereunder (i) by
the Corporation for Cause pursuant to Section 4(b) hereof or by Executive other than for Good Reason pursuant to Section
4(e) hereof, (i) the Corporation shall pay to Executive an amount equal to Executive’s then Base Salary and other benefits
(including any bonus for a calendar year completed before termination) earned and accrued under this Agreement prior to the date
of termination (and reimbursement under this Agreement for expenses incurred prior to the date of termination) and (ii) the Executive
shall have no further rights to any other compensation or benefits under this Agreement on or after the termination of employment.

(c)                
Upon termination of this Agreement and Executive’s employment hereunder (i) by
the Corporation without Cause pursuant to Section 4(c) hereof, (ii) by Executive for Good Reason pursuant to Section
4(d) hereof or (iii) by Executive following a Change in Control of the Corporation pursuant to Section 4(f)
hereof, (x) the Corporation shall pay to Executive (I) an amount equal to the Executive’s then Base Salary for a period of
(a) three years or (b) through the Termination Date, whichever is greater, and other benefits (including any bonus for a calendar
year completed before termination) earned and accrued under this Agreement prior to the date of termination (and reimbursement
under this Agreement for expenses incurred prior to the date of termination); and (II) an amount equal to 3.0 times (a) the average
of the Base Salary amounts paid to Executive over the three calendar years prior to the date of Termination, (b) if less than three
years have elapsed between the date of this Agreement and the date of termination, the highest Base Salary paid to Executive in
any calendar year prior to the date of Termination, or (c) if less than 12 months have elapsed from the date of this Agreement
to the date of termination, the highest Base Salary received in any month times 12; and (y) the Executive shall have no further
rights to any other compensation or benefits under this Agreement on or after the termination of employment. 

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(d)               
Nothing contained in this Section 5 shall affect the terms of any employee stock options,
stock grants, or other equity-based compensation that may have been issued by the Corporation to Executive, which in the event
of termination of Executive’s employment with the Corporation shall continue to be governed by their own terms and conditions.

(e)                
Unless the payment is required to be delayed pursuant to Code Section 409A (as defined below),
the cash amounts payable to the Executive (or the Executive’s estate or beneficiaries in the case of the death of the Executive)
under this Section 5 shall be paid to the Executive (or the Executive’s estate or beneficiaries in the case of the
death of the Executive) in a single-sum payment within 60 days following the effective date of termination of this Agreement and
Executive’s employment hereunder.

6.                  
Parachutes. If any amount payable to or other benefit receivable by the Executive pursuant
to this Agreement would be deemed to constitute a Parachute Payment (as defined below), alone or when added to any other amount
payable or paid to or other benefit receivable or received by the Executive which is deemed to constitute a Parachute Payment (whether
or not under an existing plan, arrangement or other agreement), and would result in the imposition on the Executive of an excise
tax under Section 4999 of the Code, then the Parachute Payments shall be reduced (but not below zero) so that the maximum amount
of the Parachute Payments (after reduction) shall be one dollar ($1.00) less than the amount which would cause the Parachute Payments
to be subject to the excise tax imposed by Section 4999 of the Code. Any such reduction shall be made by first reducing severance
benefits (if any). Notwithstanding the foregoing, if the reduction of Parachute Payments under this Section 6 would be equal
to or greater than $50,000, then there shall be no such reduction and the full amount of the Parachute Payment shall be payable.
“Parachute Payment” shall mean a “parachute payment” as defined in Section 280G of the Code. The calculation
under this Section 6 shall be as determined by the Corporation’s accountants.

7.                  
Execution of Release. The Executive acknowledges that, if required by the Corporation
prior to making the payments and benefits set forth in Section 5 (other than accrued but unpaid Base Salary and other benefits),
all such payments and benefits are subject to his execution of a general release from liability of the Corporation, and their respective
Officers (including his successor), Directors/Managers and employees, and such release becoming irrevocable by its terms. If Executive
fails to execute such release, or such release does not become irrevocable, all such payments and benefits set forth in Section
6 hereof shall be forfeited.

8.                  
Application of Code Section 409A.

(a)                
This Agreement shall be interpreted to avoid any penalty sanctions under Section 409A of the
Code (“Code Section 409A”). If any payment or benefit cannot be provided or made at the time specified herein
without incurring sanctions under Code Section 409A, then such benefit or payment will be provided in full (to the extent not paid
in part at earlier date) at the earliest time thereafter when such sanctions will not be imposed. For purposes of Code Section
409A, all payments to be made upon a termination of employment under this Agreement may only be made upon Executive’s “separation
from service” (within the meaning of such term under Code Section 409A) with the Corporation, each payment made under this
Agreement will be treated as a separate payment, and the right to a series of installment payments under this Agreement will be
treated as a right to a series of separate payments. In no event will Executive, directly or indirectly, designate the calendar
year of payment, except as permitted under Code Section 409A.

(b)               
Notwithstanding anything herein to the contrary, if, at the time of Executive’s “separation
from service” with the Corporation, the Corporation has securities which are publicly traded on an established securities
market and Executive is a “specified employee” (as such term is defined in Code Section 409A) and it is necessary to
postpone the commencement of any payments or benefits otherwise payable under this Agreement as a result of such termination of
employment to prevent any accelerated or additional tax under Code Section 409A, then the Corporation will postpone the commencement
of the payment of any such payments or benefits hereunder (without any reduction in such payments or benefits ultimately paid or
provided to Executive), until the first payroll date that occurs after the date that is six (6) months following Executive’s
“separation of service” with the Corporation. If any payments are postponed due to such requirements, such postponed
amounts will be paid with interest at the applicable federal rate as provided under Section 7872(f)(2)(A) of the Code in a lump
sum to Executive on the first payroll date that occurs after the date that is six (6) months following Executive’s “separation
of service” with the Corporation. If Executive dies during the postponement period prior to the payment of the postponed
amount, the amounts withheld on account of Code Section 409A will be paid to the personal representative of Executive’ s
estate within sixty (60) days after the date of Executive’s death. Payments pursuant to Section 6 of this Agreement
are intended to satisfy the short-term deferral exception under Code Section 409A.

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(c)                
All reimbursements and in-kind benefits provided under this Agreement will be made or provided
in accordance with the requirements of Code Section 409A, including, where applicable, the requirement that (i) any reimbursement
will be for expenses incurred during Executive’s lifetime (or during a shorter period of time specified in this Agreement),
(ii) the amount of expenses eligible for reimbursement, or in kind benefits provided, during a calendar year may not affect the
expenses eligible for reimbursement, or in kind benefits to be provided, in any other calendar year, (iii) the reimbursement of
an eligible expense will be made on or before the last day of the calendar year following the year in which the expense is incurred,
and (iv) the right to reimbursement or in kind benefits is not subject to liquidation or exchange for another benefit.

(d)               
To the extent applicable, all grants, awards, bonuses or other payments made to Executive
or for which Executive is eligible under any Corporation bonus, incentive, deferred compensation plan or program or any other compensation
arrangement will be structured to comply with the requirements of Code Section 409A or an exception from such requirements.

9.                  
Covenants of the Executive.

(a)                
Confidentiality. During the Term, the Corporation has and will continue to provide
Executive with access to, and may confide in him, information, business methods and systems, techniques and methods of operation
developed at great expense by the Corporation and which are assets of the Corporation. Executive recognizes and acknowledges that:
(i) all Confidential Information (defined below) is the property of the Corporation and is unique, extremely valuable and developed
and acquired by great expenditures of time, effort and cost; (ii) the misuse, misappropriation or unauthorized disclosure by Executive
of the Confidential Information would constitute a breach of trust and would cause serious irreparable injury to the Corporation;
and (iii) it is essential to the protection of the Corporation’s goodwill and to the maintenance of the Corporation’s
competitive position that the Confidential Information be kept secret and that Executive not disclose the Confidential Information
to others or use same to his own advantage or to the advantage of others. Accordingly, Executive shall not, during the Term or
thereafter, directly or indirectly, in any manner, utilize or disclose to any person, firm, corporation, association or other entity,
or use on his own behalf, any confidential and proprietary information of the Corporation, including, but not limited to, information
relating to strategic plans, sales, costs, client lists, client preferences, client identities, investment strategies, computer
programs, profits or the business affairs and financial condition of the Corporation, or any of its clients, or any of the Corporation’s
business methods, systems, marketing materials, clients or techniques (collectively “Confidential Information”),
except for (i) such disclosures where required by law, but only after written notice to the Corporation detailing the circumstances
and legal requirement for the disclosure; or (ii) as authorized during the performance of Executive’s duties for such use
or purpose as are reasonably believed by Executive to be in the best interests of the Corporation. At any time, upon request, Executive
shall deliver to the Corporation all of its property including, but not limited to, its Confidential Information (whether electronically
stored or otherwise) which are in his possession or under his control. Property to be returned includes, but is not limited to,
notebook pages, documents, records, prototypes, client files, drawings, electronically stored data, computer media or any other
materials or property in Executive’s possession.

(b)               
Noninterference. During the Term and for a period of one (1) years following the end
of the Term (the “Restricted Period”), for whatever reason, he will not, directly or indirectly, for himself
or on behalf of any third party, at any time or in any manner:

(i)                 
persuade, induce, solicit, influence or attempt to influence, or cause any person who is an
employee of the Corporation to terminate his or her relationship with the Corporation or refer any such employee to anyone, without
prior written approval from the Corporation;

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(ii)               
request or cause any of the Corporation’s clients or potential clients to cancel, modify
or terminate any existing or continuing or, to Executive’s knowledge, prospective business relationship with the Corporation;

(iii)             
engage in or participate in any effort or act to induce, or in any way cause, any client or,
to Executive’s knowledge, prospective client of the Corporation, to deal with Executive or any other person or entity except
in a capacity as representative of the Corporation, or otherwise take any action which might reasonably be expected to be disadvantageous
to the Corporation;

(iv)              
persuade, induce, solicit, influence or attempt to influence, or cause any client or, to Executive’s
knowledge, prospective client of the Corporation to cease or refrain from doing business, or to decline to do business, or to change
or alter any existing or prospective business relationship, with the Corporation;

(v)               
accept business from, or perform or provide any services for, any client, or to Executive’s
knowledge, prospective client of the Corporation;

(vi)              
contract with or communicate with, in either case in connection with services, any client
or, to Executive’s knowledge, prospective client of the Corporation; or

(vii)            
provide any third party with any information concerning any client, or to Executive’s
knowledge, prospective client of the Corporation, including but not limited to, the disclosure of any client name or data, in whatever
form, to such third party.

(c)                
Noncompetition. During the Term and Restricted Period, Executive shall not, directly
or indirectly, engage or participate in, or become employed by, or affiliated with, or enter
into or maintain a contractual relationship with, or render advisory or any other services to, any person or business entity
or organization, of whatever form, that competes with the Corporation in the United States or
any other location in which the Corporation conducts business prior to your termination date.

(d)               
Injunctive Relief. Executive acknowledges that his compliance with the covenants in
Sections 9(a), 9(b) and 9(c) hereof (the “Restrictive Covenants”) is necessary to protect
the good will, Confidential Information and other proprietary interests of the Corporation, that such covenants are supported by
adequate and sufficient consideration, and that, in the event of any violation or threatened violation by Executive of any such
provision, the Corporation will sustain serious, irreparable and substantial harm to its business, the extent of which will be
difficult to determine and impossible to remedy by an action at law for money damages. Accordingly, Executive agrees that, in the
event of such violation or threatened violation by him, the Corporation shall be entitled to an injunction before trial from any
court of competent jurisdiction as a matter of course and upon the posting of not more than a nominal bond, in addition to all
such other legal and equitable remedies as may be available to the Corporation. Executive further acknowledges that he has carefully
considered the nature and extent of the restrictions contained herein and the rights and remedies conferred upon the Corporation
under this Agreement, and hereby acknowledges and agrees that the same are reasonable, are designed to protect the legitimate business
interests of the Corporation, and do not confer benefits upon the Corporation disproportionate to the detriment upon him. In the
event that Executive violates any of the covenants in this Agreement and the Corporation commences legal action for injunctive
or other relief, the Corporation shall have the benefit of the full period of the covenants, computed from the date Executive ceased
violation of the covenants, either by order of the court or otherwise. Executive acknowledges that any claim or cause of action
he may have against the Corporation shall not constitute a defense to the enforcement by the Corporation of his covenants in Article
5 of this Agreement (e.g., these covenants are independent of any other provision in this Agreement and of any other promise made
to Executive). Executive also acknowledges that his experience and capabilities are such that he can obtain suitable employment
otherwise than in violation of the covenants in this Agreement and that the enforcement of these covenants will not prevent the
earning of a livelihood nor cause undue hardship. Without limiting the foregoing, in the event of a breach by Executive of any
Restrictive Covenant, the Corporation’s obligations under this Agreement shall immediately terminate, Executive shall not
be entitled to any additional monetary payments or benefits of any kind whatsoever and Executive shall reimburse the Corporation
for all of its attorneys’ fees and costs associated with any legal or equitable proceedings or litigation seeking to enforce
the terms of this Agreement.

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(e)                
Remedies Cumulative and Concurrent. The rights and remedies of the Corporation as provided
in this Section 9 shall be cumulative and concurrent and may be pursued separately, successively or together, at the sole
discretion of the Corporation, and may be exercised as often as occasion therefor shall arise. The failure to exercise any right
or remedy shall in no event be construed as a waiver or release thereof.

(f)                 
Executive’s Authorization. Executive authorizes the Corporation to inform any
third parties, including future employers, prospective employers and the Corporation’s clients or prospective clients, of
the existence of this Agreement and his obligations under it.

(g)               
Survivability. The provisions of this Section 9 shall survive the cessation
of Employee’s employment for any reason, as well as the expiration of this Agreement at the end of its Term or at any time
prior thereto.

(h)               
Definition of Corporation. For purposes of this Section 9, the term “Corporation”
shall include the Corporation and any of its parents, subsidiaries, affiliates or any related companies including their respective
successors and assigns.

10.               
Other Provisions.

(a)                
Severability. The Executive acknowledges and agrees that (i) he has had an opportunity
to seek advice of counsel in connection with this Agreement and (ii) the Restrictive Covenants are reasonable in geographical and
temporal scope and in all other respects. If it is determined that any of the provisions of this Agreement or any part thereof,
including, without limitation, any of the Restrictive Covenants, is held invalid or unenforceable by any court of competent jurisdiction,
the other provisions of this Agreement will remain in full force and effect. Any provision of this Agreement held invalid or unenforceable
only in part or degree will remain in full force and effect to the extent not held invalid or unenforceable.

(b)               
Duration and Scope of Covenants. If any court or other decision-maker of competent
jurisdiction determines that any of the Restrictive Covenants contained in this Agreement, including, without limitation, any of
the Restrictive Covenants, or any part thereof, is unenforceable because of the duration or geographical scope of such provision,
then, after such determination has become final and unappealable, the duration or scope of such provision, as the case may be,
shall be reduced so that such provision becomes enforceable and, in its reduced form, such provision shall then be enforceable
and shall be enforced.

(c)                
Arbitration.

(i)                 
Subject to the limitations of this Section 10(c), if any dispute arises between the
Parties under or concerning this Agreement or the terms hereof, or regarding the manner in which Executive was treated while employed
by the Corporation, the termination of his employment, or any alleged violation by the Corporation of Executive’s rights
under any common law theory, or any applicable federal, state, or local law, statute, regulation, or ordinance (including without
limitation 42 U.S.C. § 1981, Title VII of the Civil Rights Act of 1964, the Age Discrimination in Employment Act, the Americans
with Disabilities Act, and any other local, state, or federal legislation that pertains to employee rights or discrimination in
employment), the Parties agree to submit such issue to final and binding arbitration in accordance with the then existing National
Rules for the Resolution of Employment Disputes of the American Arbitration Association. Nothing in this Section 10(c),
however, will preclude the Corporation from seeking the judicial relief set forth under Section 9 of this Agreement. 

(ii)               
The Parties agree that the interpretation and enforcement of the arbitration provisions in
this Agreement will be governed exclusively by the Federal Arbitration Act (the “FAA”), 9 U.S.C. § 1 et seq.,
provided that they are enforceable under the FAA, and will otherwise be governed by the law of the State of Delaware. 

(iii)             
The Parties agree and understand that one of the objectives of this arbitration agreement
is to resolve disputes expeditiously, as well as fairly, and to those ends it is the obligation of all Parties to raise any disputes
subject to arbitration hereunder in an expeditious manner. Accordingly, the Parties agree that, as to any dispute that can be brought
hereunder, a demand for arbitration must be postmarked or delivered in person to the other Party no later than six (6) months after
the date the demanding Party knows or should have known of the event or events giving rise to the claim. Failure to demand arbitration
on a claim within these time limits is intended to, and will to the furthest extent permitted by law, be a waiver and release with
respect to such claims. If, and only if, the waiver and release of claims referenced in the immediately preceding sentence is found
by a court of competent jurisdiction to be unenforceable as against Executive or the Corporation under this Agreement, then the
Parties will nevertheless submit such claims to arbitration pursuant to this Section 10(c) within the time permitted by
law. 

    	 	8	 

     

    

(iv)              
The Corporation will pay the arbitrator’s fees.

(v)               
Unless otherwise agreed by the Parties, arbitration will take place in Reno, Nevada. 

(vi)              
In rendering an award, the arbitrator will determine the rights and obligations of the Parties
according to federal law and the substantive law of the State of Delaware without regard to any principles governing conflicts
of laws and the arbitrator’s decision will be governed by state and federal substantive law, including state and federal
discrimination laws referenced in Section 9(c)(i) hereof, as though the matter were before a court of law. 

(vii)            
Any arbitration award will be accompanied by a written statement containing a summary of the
issues in controversy, a description of the award, and an explanation of the reasons for the award. The decision of the arbitrator
will be made within thirty (30) days following the close of the hearing. The Parties agree that the award will be enforceable exclusively
by any state or federal court of competent jurisdiction within the United States.

(viii)          
It is understood and agreed by the Parties that their agreement herein concerning arbitration
does not contain, and cannot be relied upon Executive to contain, any promises or representations concerning the duration of the
employment relationship, or the circumstances under or procedures by which the employment relationship may be modified or terminated.

(ix)              
If any part of this arbitration procedure is in conflict with any mandatory requirement or
applicable law, the law will govern, and that part of this arbitration procedure will be reformed and construed to the maximum
extent possible in conformance with the applicable law. The arbitration procedure will remain otherwise unaffected and enforceable.

(d)               
Notices. All notices, demands, consents, requests, instructions and other communications
to be given or delivered or permitted under or by reason of the provisions of this Agreement or in connection with the transactions
contemplated hereby shall be in writing and shall be deemed to be delivered and received by the intended recipient as follows:
(i) if personally delivered, on the business day of such delivery (as evidenced by the receipt of the personal delivery service),
(ii) if mailed certified or registered mail return receipt requested, two (2) business days after being mailed, (iii) if delivered
by overnight courier (with all charges having been prepaid), on the business day of such delivery (as evidenced by the receipt
of the overnight courier service of recognized standing), or (iv) if delivered by facsimile transmission or other electronic means,
including email, on the business day of such delivery if sent by 6:00 p.m. in the time zone of the recipient, or if sent after
that time, on the next succeeding business day. If any notice, demand, consent, request, instruction or other communication cannot
be delivered because of a changed address of which no notice was given (in accordance with this Section 10(d), or the refusal
to accept same, the notice, demand, consent, request, instruction or other communication shall be deemed received on the second
business day the notice is sent (as evidenced by a sworn affidavit of the sender). All such notices, demands, consents, requests,
instructions and other communications will be sent to the following addresses or facsimile numbers as applicable:

    	 	9	 

     

    

 

	If to the Corporation, to:	 	
        Nello Gonfiantini III, CEO

        6160 Plumas Street, Suite 100

        Reno, Nevada 89519

        Telephone No.:775-826-0809

        Email: nello@diego-pellicer.com

	 	 	 
	With copies to:	 	
        Joseph J. Tomasek, Esq.

        74 Linden Avenue

        Verona, New Jersey 07044

        Telephone No.: 973-224-1061

        Email: jtoma4368@aol.com

	 	 	 
	If to the Executive, to:	 	
        Christopher D. Strachan, CFO

        17772 136th Pl SE

        Monroe, Washington 98272

        Telephone No:775-826-0809

        Email: Chris@diego-pellicer.com

	 	 	 

Any such person may by notice given in accordance with
this Section 10(d) to the other Parties hereto designate another address or person for receipt by such person of notices
hereunder.

(e)                
Section Headings.
The headings of Sections in this Agreement are provided for convenience only and will not affect its construction or interpretation.
All references to or “Section” or “Sections” refer to the corresponding Article or Section or Sections
of this Agreement, unless the context indicates otherwise.

(f)                 
Construction. The Parties have participated jointly in the negotiation and drafting
of this Agreement. In the event an ambiguity or question of intent or interpretation arises, this Agreement shall be construed
as if drafted jointly by the Parties and no presumption or burden of proof shall arise favoring or disfavoring any Party by virtue
of the authorship of any of the provisions of this Agreement. Any reference to any federal, state, local, or foreign statute or
law shall be deemed also to refer to all rules and regulations promulgated thereunder, unless the context requires otherwise. Unless
otherwise expressly provided, the word “including” shall mean including without limitation. The Parties intend that
each representation, warranty, and covenant contained herein shall have independent significance. If any Party has breached any
representation, warranty, or covenant contained herein in any respect, the fact that there exists another representation, warranty,
or covenant relating to the same subject matter (regardless of the relative levels of specificity) which the Party has not breached
shall not detract from or mitigate the fact that the Party is in breach of such representation, warranty, or covenant. All words
used in this Agreement will be construed to be of such gender or number as the circumstances require.(g) 

(h)               
Counterparts. This Agreement may be executed in one or more counterparts, each of which
will be deemed to be an original copy of this Agreement and all of which, when taken together, will be deemed to constitute one
and the same agreement. In the event that any signature is delivered by facsimile transmission or by e-mail delivery of a “.pdf”
format data file, such signature shall create a valid and binding obligation of the Party executing (or on whose behalf such signature
is executed) with the same force and effect as if such facsimile or “.pdf” signature page were an original thereof.

(i)                 
Entire Agreement. This Agreement contains the entire agreement between the Parties
with respect to the subject matter hereof and supersedes all prior agreements, written or oral, with respect thereto.

(j)                 
Waivers and Amendments. This Agreement may be amended, superseded, canceled, renewed
or extended, and the terms hereof may be waived, only by a written instrument signed by the Parties or, in the case of a waiver,
by the Party waiving compliance. No delay on the part of any Party in exercising any right, power or privilege hereunder shall
operate as a waiver thereof, nor shall any waiver on the part of any Party of any such right, power or privilege nor any single
or partial exercise of any such right, power or privilege, preclude any other or further exercise thereof or the exercise of any
other such right, power or privilege.

    	 	10	 

     

    

(k)               
Assignment. This Agreement shall be binding upon and inure to the benefit of the Parties
and their respective successors, heirs (in the case of the Executive) and assigns. No rights or obligations of the Corporation
under this Agreement may be assigned or transferred by the Corporation except that such rights or obligations may be assigned or
transferred pursuant to a merger or consolidation in which the Corporation is not the continuing entity, or the sale or liquidation
of all or substantially all of the assets of the Corporation; provided, however, that the assignee or transferee is the successor
to all or substantially all of the assets of the Corporation and such assignee or transferee assumes the liabilities, obligations
and duties of the Corporation, as contained in this Agreement, either contractually or as a matter of law.

(l)                 
Withholding. The Corporation shall be entitled to withhold from any payments or deemed
payments any amount of tax withholding it determines to be required by law.

(m)              
Binding Effect. This Agreement shall be binding upon and inure to the benefit of the
Parties and their respective successors, permitted assigns, heirs, executors and legal representatives.

(n)               
Survival. Anything contained in this Agreement to the contrary notwithstanding, the
provisions of Section 9 and any other provisions of this Agreement expressly imposing obligations that survive termination
of Executive’s employment hereunder, and the other provisions of this Section 10 to the extent necessary to effectuate
the survival of such provisions, shall survive termination of this Agreement and any termination of the Executive’s employment
hereunder.

(o)               
Existing Agreements. The Executive represents to the Corporation that he is not subject
or a Party to any employment or consulting agreement, non-competition covenant or other agreement, covenant or understanding which
might prohibit him from executing this Agreement or limit his ability to fulfill his responsibilities hereunder.

(p)               
Legal Fees: The Parties hereto agree that the Corporation shall pay the legal fees
relating to any dispute, claim, action or proceeding between the Parties hereto arising out of or relating to the terms and conditions
of this Agreement or any provision thereof.

(q)               
GOVERNING LAW. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH
THE LAWS OF THE STATE OF DELAWARE WITHOUT REGARD TO ANY PRINCIPLES OF CONFLICTS OF LAW WHICH COULD CAUSE THE APPLICATION OF THE
LAWS OF ANY JURISDICTION OTHER THAN THE STATE OF DELAWARE.

(r)                 
Waiver of Jury Trial.
EACH OF THE PARTIES HEREBY IRREVOCABLY WAIVES ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING ARISING OUT OF OR RELATED
TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY.

[Signatures follow on next
page]

    	 	11	 

     

    

IN WITNESS WHEREOF,
the Corporation and the Executive have caused their respective signature pages to this Agreement to be duly executed as of the
date first written above.

 

 

	CORPORATION:
	DIEGO PELICER WORLDWIDE, INC.
	 
	 
	By:	/s/ Nello Gonfiantini
	Name:	Nello Gonfiantini III
	Title:	Chief Executive Officer

 

	EXECUTIVE:
	 
	 
	/s/ Christopher D. Strachan
	Name:	
        Christopher D. Strachan

         

         

         

 

 

    	 	12Document

CERTAIN IDENTIFIED INFORMATION HAS BEEN EXCLUDED FROM THIS EXHIBIT BECAUSE IT IS BOTH (I) NOT MATERIAL AND (II) WOULD BE COMPETITIVELY HARMFUL IF PUBLICLY DISCLOSED.
Engine Lease Agreement
This Engine Lease Agreement (“Agreement”) is made as of November 22, 2019 between Wells Fargo Trust Company, National Association, not in its individual capacity but solely as owner trustee (“Lessor”) and Sun Country, Inc. d/b/a Sun Country Airlines (“Lessee”).  It refers to and incorporates the terms of IATA Document No. 5016-01 (Master Short-Term Engine Lease Agreement, 2012 Revision) (“Master Agreement”).
This Agreement modifies the Master Agreement, and, as so modified, constitutes a single contract applicable to the leasing of the Engine (defined below), as contemplated by 2.1.2 of the Master Agreement.
Part I – Referenced Provisions
For purposes of the Master Agreement (“N/A” denotes non-applicability):
						
	1. Engine (clause 2.3.1(i); annex 1, definition)
“Engine” means one (1) CFM International Inc. model CFM56-7B22 aircraft engine bearing manufacturer’s serial number 889728, with all accessories and in fully QEC’d configuration (including but not limited to, inlet cowl, exhaust nozzle, hydraulic pump and integrated drive generator) as defined by the B737 Powerplant Buildup Manual (Boeing Document D633A106), together with a new engine stand and the Engine Documentation for such Engine.
	2A+B. Engine Flight Hours (2A) and Engine Flight Cycles (2B) /Since Last Overhaul (clause 2.3.1(ii); Annex 1, Definitions)
N/A

	3A+B. Additional Conditions Precedent to Lessee’s Obligations (clause 2.3.1(iii)) (3A) and to Lessor’s Obligations (clause 2.3.3) (3B)
3A The Prior Lease shall be terminated.
3B The Prior Lease shall be terminated.
	4. Conditions Precedent Time Period (clause 2.3.2) 
N/A

	5. Commencement Date (clause 2.4.1; annex 1, definition)
The date evidenced in the dated and executed Acceptance Certificate, in the form as per Appendix A.
	6. Acceptance Certificate (clause 2.4.2; annex 1, definition)
Required prior to Commencement Date and as per Appendix A (Acceptance Certificate).

	7. Deposit and/or Letter of Credit (clause 3.1)
N/A
	8. Rent (clause 3.2; annex 1, definition)
“Rent” for the Engine during the Term of the Lease shall be payable in consecutive monthly installments, in advance of $[     ] on each Rent Payment Date.  If a rent period does not constitute the duration of the entire applicable month, the Rent for such period shall be prorated on the basis of a thirty (30) day month.

LOS_ANGELES/#61599.3 

						
	9. Rent Payment Date (clause 3.2; annex 1, definition)
“Rent Payment Date” means, for the first payment of Rent, the Commencement Date and during the remainder of the Term, the date numerically corresponding to the Commencement Date in each calendar month thereafter before the Final Date, and if such numerically corresponding date does not occur in any particular calendar month, then the Rent Payment Date for that calendar month shall fall on the last Business Day of that calendar month.
	10. Default Rate (clause 3.5; annex 1, definition)
Interest at the rate per annum equal to two percent (2%) plus the prime rate of interest as publicly quoted by JPMorgan Chase Bank, New York, New York, or its successor, subject to the maximum rate permitted by Applicable Laws.

	11. Agreed Currency (clause 3.7.2; annex 1, definition)
U.S. Dollars.
	12. Payment Account (clause 3.7.2; annex 1, definition)
Correspondent Bank: Old National Bank
Address:  25 W. Main Street
                                           Madison, WI  53703
ABA#:                [         ]
SWIFT:                [        ]
Account Name:               Contrail Aviation Support,
                                          LLC
Account Number: [         ]
Reference:  ESN 889728

	13. Engine Documentation (clause 4.2.1(i))
The Engine Documentation listed in Annex 2 to Appendix A (Acceptance Certificate) attached hereto.
	14. Engine Reports - Other Information (clause 4.2.4(ii))
N/A

	15. Engine Installation/Removal Notification Requirements (clause 4.2.6)
Lessee shall notify Lessor, on the date of installation or removal of the Engine, of the aircraft tail number and position, if installed, or of the location of the Engine, if removed.
	16. Certain Lessee Obligations Concerning Indemnitees (clause 4.4.6)
N/A

	17. Consequences of Partial Loss (clause 7.2.1(ii))
Engine continues to be subject to and leased under this Agreement.
	18 Stipulated Amount (clause 7.3.1; annex 1, definition)
$[         ].

	19 .Reinsurance (clause 8.1)
N/A
	20. Redelivery Location (clause 11.1(i); annex 1, definition)
Lessee to purchase Engine at end of Term per Part II, clause E of this Agreement.  In the event that Lessee fails to purchase the Engine in accordance with such Part II, clause E, Lessee shall redeliver the Engine to Lessor at Marana, Arizona.

LOS_ANGELES/#61599.3 

						
	21. Redelivery-additional requirement (clause 11.1(ii))
In the event that Lessee fails to purchase the Engine in accordance with Part II, clause E of this Agreement, the Engine Package shall be redelivered to Lessor at the Redelivery Location and shall have installed on the Engine all accessories, appurtenances, appliances, parts and other items of equipment installed thereon on the Commencement Date. The Engine shall be fully serviceable with a FAA 8130-3. The Engine shall not be on-watch or subject to any reduced interval or repeat inspections. For the avoidance of doubt, all obligations of Lessee hereunder shall continue in full force and effect until Lessor notifies Lessee that the Engine Package has been returned in compliance herewith.
	22. Final Inspection–other tests (clause 11.3.1(ii))
N/A

	23. Redelivery–Additional Documentation (clause 11.4(viii))
N/A
	24. Transportation – supplemental requirements (clause 11.5)
Manufacturer’s published engine transportation manual, specifications/recommendations, including proper equipment tie-down and use of air-ride or air cushion suspension vehicles.  On any given shipment, such truck will be dedicated solely to the Engine belonging to Lessor; except that additional items may be transported on such truck, provided that (a) the Engine can and will be off-loaded by Lessor at the Redelivery Location without disturbing any of the additional items and (b) Lessee or its shipper will not handle or reposition any of the additional items on such truck either while the Engine is in transit or when it arrives at the Redelivery Location. Lessor will invoice and Lessee agrees to pay for the cost of inspections and repairs to the Engine and/or transportation stand resulting from the improper movement or transportation of the Engine and/or transportation stand.

	25. Additional Amounts – Term Extension (clause 11.6.2)
Rent for any period beyond the Scheduled Final Date shall be payable at a daily rate equal to $[      ].
	26. Differing Period (clause 14.1(i))
Five (5) Business Days.

LOS_ANGELES/#61599.3 

						
	27. Notices (clause 17.5)
All notices provided for herein shall be in writing and shall be deemed to have been given when delivered personally, when telexed or telecopied, or if deposited in the United States mail, when received, addressed as follows:
If to Lessee: 
Sun Country, Inc. d/b/a Sun Country Airlines 
2005 Cargo Road
Minneapolis, MN 55450

Attention: General Counsel
If to Lessor: 
Wells Fargo Trust Company, N.A., as owner trustee
299 South Main Street, 5th Floor
MAC: U-1228-051
Salt Lake City, UT 84111

Attention: Corporate Trust
Fax: (801) 246-7142
If to Owner Participant:
Contrail Aviation Leasing, LLC 
435 Investment Court
Verona, Wisconsin 53593

Attention: Joe Kuhn
Fax: (808) 848-8101
Email: joe@contrail.com
	28. Contracting by Fax/Electronic Writing (clause 17.6)
This Agreement may be executed and delivered by electronic mail to the addresses for Notices set out in Part I, point 27 of this Agreement.  If this Agreement is executed and delivered by electronic mail, then the parties shall execute four (4) original counterparts of this Agreement bearing its signature via an established courier service, marked for earliest possible delivery.

	29. Governing Law (clause 16.7)
Laws of the State of New York applicable to contracts made and to be performed entirely within such state without regard for conflict of law principles (other than the provisions of Section 5-1401 of the General Obligations Law of the State of New York).
	30. Nonexclusive Jurisdiction (clause 16.8.1(i))
The parties submit to the non-exclusive jurisdiction of any court of the New York State Courts or of any Federal court of the United States of America located in New York, New York, located in the Borough of Manhattan, United States of America.

LOS_ANGELES/#61599.3 

						
	31. Additional Indemnitees (annex 1, definition) (for use, inter alia, in definition of “Indemnitees”)
Contrail Aviation Leasing, LLC; Sapphire Finance I Holding Designated Activity Company; Avolon Aerospace Leasing Limited; Wells Fargo Bank, N.A.; CIT Aerospace International; Glencar Investments VI Designated Activity Company; Sapphire Aviation I Limited; Sapphire Aviation Finance I (US) LLC; Phoenix American Financial Services; Contrail Aviation Support, LLC; Old National Bank; and their respective successors and permitted assigns and their respective affiliates, officers, directors, managers, employees, agents, partners and shareholders or members of the ownership structure of the Engine howsoever denominated.
	32. Business Day (annex 1, definition) 
“Business Day” means any day other than a Saturday, Sunday or day on which commercial banking institutions in New York, New York are authorized by law to be closed.

	33. Use Fee Amount (Cycle) (annex 1, definition) (for use in definition of “Use Fees (Cycle)”
N/A
	34. Use Fee Amount (Flight Hour) (annex 1 definition) (for use in definition of “Use Fees (Flight Hours)”)
N/A

	35. Scheduled Final Date (annex 1, definition (for use in definition of “Final Date”)
January 6, 2020.
	36. Principal Taxation Jurisdictions (annex 1, definition) (for use in definition of “Lessor Tax”)
United States of America.

	37. Calculation Discount Rate (annex 1, definition (for use in definition of Termination Damage Amount))
N/A
	38. Threshold Amount (annex 1, definition)
$[       ].

	39. Required Liability Amount (annex 4, clause 4) 
$[         ].
	40. Deductibles (annex 4, clause 8)
$[       ].

LOS_ANGELES/#61599.3 

Part II – Other Modification to Master Agreement
As regards this Lease Agreement, the Master Agreement is further modified as follows:
A.A new clause 2.1.5 is added to the Master Agreement as follows:
“Lessor previously leased the Engine to Lessee pursuant to an Aircraft Lease Agreement dated as of January 14, 2009 between C.I.T. Leasing Corporation, as lessor, and Lessee, 2009, as supplemented by that certain Lease Supplement dated as of January 30, 2009, as amended by that certain Amendment Number One to Aircraft Lease Agreement dated as of November 30, 2011, as further amended by that certain Amendment Number Two to Aircraft Lease Agreement dated as of October 15, 2013, as further amended by that certain Amendment Number Three to Aircraft Lease Agreement dated as of June 9, 2015, as further assigned, assumed and amended by that certain Assignment, Assumption and Amendment Agreement dated as of August 22, 2016 among C.I.T. Leasing Corporation, as assignor, Lessor, as assignee, and Lessee, as further amended by that certain Amendment Number Four to Aircraft Lease Agreement dated as of February 23, 2018, as further amended by that certain Amendment Number Five to Aircraft Lease Agreement dated as of June 20, 2019, and as further amended by that certain Notice of Beneficial Interest Transfer dated July 26, 2019 (as further amended, modified and supplemented from time to time, the “Prior Lease”).  Lessor and Lessee agree that this Agreement is intended to effectuate the continuous lease of the Engine by Lessee until such time as either (i) Lessee purchases the Engine from Lessor hereunder or (ii) in the event that Lessee fails to purchase the Engine from Lessor hereunder, Lessee redelivers the Engine to Lessor in accordance with the terms hereunder.”
B.A new clause 4.4.9 shall be added to the Master Agreement as follows:
“Subject to Lessee’s compliance with clause 4.4.4 of the Master Agreement, Lessee shall not install the Engine on an aircraft for which (i) the terms of the lease agreement for such aircraft provide that, or the operations of such aircraft or its operator may result in, title to the Engine automatically transferring to the lessor or owner or operator of such aircraft, or (ii) title to the Engine shall, or may reasonably be expected to, transfer to any person for any reason whatsoever, by virtue of or in connection with the Engine’s installation upon such aircraft.”
C.The last paragraph of clause 13.1.1 of the Master Agreement shall be amended by adding a new subclause (c) as follows:
“, or (c) require Lessee to consummate the End of Term Purchase at an earlier time to be agreed between Lessor and Lessee.”
D.The following clauses in the Master Agreement shall be deleted in their entirety:  3.1, 3.3, 4.2.4, 15.2(iii), 12, 17.12 and 17.5(iv).
E.A new clause 18 shall be added to the Master Agreement as follows:
“18.  END OF TERM PURCHASE
At the end of the Term (or such earlier date as notified by Lessee to Lessor), provided that at the time of closing the End of Term Purchase no Event of Default has occurred and is continuing and no Total Loss has occurred, the Lessee shall purchase the Engine from the Lessor (the “End of Term Purchase”) for the Purchase Price less the Purchase Deposit already received.  The Lessor acknowledges receipt of the Purchase Deposit as of the date of this Agreement.  Lessee confirms, acknowledges and agrees that the Purchase Deposit is nonrefundable and once paid by Lessee to Lessor, the Purchase Deposit becomes, is and shall be the sole and exclusive property of Lessor 
LOS_ANGELES/#61599.3 

and Lessee hereby disclaims any and all right, title and interest in all or any part of the Purchase Deposit.
Following receipt of the Purchase Price (as adjusted) by Lessor, title to the Engine will transfer to Lessee (“Closing”) on the following terms:
a.Lessor shall procure the transfer of legal and beneficial title to the Engine free from any Lien created by or through the Lessor or the Owner Participant, but subject to and with the benefit of this Agreement and any Liens permitted under this Agreement (or which are otherwise the responsibility of the Lessee), by delivering a bill of sale duly executed by the Lessor and Owner Participant to the Lessee.
b.Transfer of title to the Lessee shall be on an “as is, where is” and “WITH ALL FAULTS” basis, and the Lessor shall not give, and the Lessee shall have no recourse to the Lessor or the Owner Participant in respect of, any covenants, warranties, guarantees or representations, express or implied, arising by law or otherwise, with respect to the Engine, other than that the Engine will be free from any Liens created by or through the Lessor or the Owner Participant, but subject to and with the benefit of this Agreement and any Liens permitted under this Agreement (or which are otherwise the responsibility of the Lessee).
c.The Lessee irrevocably waives (as far as it may do so under any applicable law) any claim that it may, or may in the future, have against the Lessor in respect of any Losses or Taxes caused directly or indirectly by the Engine, its use or performance following transfer of title to Lessee.
d.The Lessee shall be responsible for any Taxes assessed on such title transfer and shall indemnify the Lessor and each other Indemnitee on demand from and against any such Taxes provided however that nothing herein shall oblige the Lessee to pay or indemnify any Indemnitee against any Taxes (including fines, penalties, surcharges or interest in connection therewith) charged on such Indemnitee’s income, profits or gains assessed in its state of incorporation or tax residence or any Taxes imposed due to such Indemnitee’s gross negligence or willful misconduct. At the time of title transfer, the Engine shall be at a location mutually agreed between the Lessor and the Lessee and both parties shall cooperate to the extent they may lawfully do so to minimize costs.
e.In the event that, at the end of the Term, the Engine is not in an acceptable closing jurisdiction (as reasonably determined by either the Lessor or the Lessee and notified to the other), the Closing will occur on the first date thereafter when the Engine is in an acceptable closing jurisdiction.
f.Effective as of Closing, the Lessee shall indemnify, protect, defend and hold harmless each Indemnitee from, against and in respect of, and shall pay on a net after-Taxes basis, any and all expenses of any kind or nature whatsoever that may be imposed on, incurred by or asserted against any Indemnitee, relating to, resulting from, or arising out of or in connection with a claim, injury or harm to a third party that arises or is incurred after Closing and which arise out of or related to the use, ownership, service, testing, maintenance, repair, airworthiness, possession, operation, control, storage, leasing, subleasing, mortgaging, disposition or condition of the Engine; provided that the foregoing indemnity shall not apply to any such expenses to the extent arising from the bad faith, gross negligence or willful misconduct of any Indemnitee.
LOS_ANGELES/#61599.3 

g.For a period of two years following the transfer of title in the Engine to the Lessee, the Lessee will cause the Lessor and each Indemnitee to be named as additional named insureds, with all its provisions, except the limits of liability, operating as if there were a separate policy covering each of such parties, on liability insurance covering the Engine meeting the requirements of clause 8 of the Master Agreement. Prior to the transfer of title in the Engine to the Lessee, the Lessee will provide the Lessor a certificate of insurance to Lessor evidencing such coverage.
h.Lessee shall not lease or sell the Engine to any entity which is incorporated or operates in a Restricted Country.
Upon Closing, the leasing of the Engine (and the Lessee’s obligation to redeliver the Engine to the Lessor) pursuant to this Agreement shall terminate. For the avoidance of doubt, should the Lessee not exercise the End of Term Purchase in accordance with the timelines above, the leasing of the Aircraft shall continue in accordance with the provisions of this Agreement. Any purchase of the Aircraft before or after the contracted End of Term Purchase will be subject to good faith negotiations between Lessor and Lessee provided that nothing herein shall oblige either party to enter into any transaction which such party considers, in its sole discretion, is not in its best interest.
For purposes of this clause 18, the following terms shall have the meanings set forth below:
a.“Losses” means any, fees, costs, expenses, payments, charges, losses, demands, liabilities, claims, actions, proceedings, penalties, fines, damages, judgments, orders or other sanctions.
b.“Owner Participant” means Contrail Aviation Leasing, LLC.
c.“Purchase Deposit” means $[          ].
d.“Purchase Price” means $[            ].
e.“Restricted Country” means any state, country or jurisdiction which is subject to any United Nations Security Council Resolution, European Union Decision or United States or other Trade Laws which would have the effect of prohibiting the sale, lease, charter, or flight of the Engine to, from, or over such state, country or jurisdiction or otherwise cause the Lessor, Lessee or Owner Participant to be in contravention of any Trade Laws to which such party is subject; (b) any country in which flights to, from or over are not covered under the insurances required to be maintained by the Lessee pursuant to this Agreement; (c) any country which the Lessor determines now or in the future due to a change in law or circumstances that flights of the Engine to, from, or over would materially prejudice the Lessor’s ability to repossess the Engine, or enforce the remedies or realize the benefit of the Permitted Liens and rights established under this Agreement.
f.“Trade Laws” means all economic or trade sanctions and export control laws applicable to the Owner Participant, Lessor and the Lessee, the State of Registration, the country of manufacturer of the Engine (which shall include the United States), including but not limited to all applicable provisions of (a) any United Nations Security Council Resolutions imposing sanctions, (b) any sanctions or restrictive measures imposed by European Union Council decision or regulation promulgated thereunder (c) United States export control and economic sanctions laws including without limitation, (i) the Export Administration Regulations, 15 C.F.R. §§ 730 et. seq. and (ii) the regulations administered by the U.S. Treasury Department Office of Foreign Assets Control (“OFAC”), 31 C.F.R. §§ 501 et. seq.
F.Annex 3 is amended and restated in its entirety as set forth in Appendix B hereto.
Part III – Appendix
Appendix A hereto is the form of Acceptance Certificate, the execution of which, as contemplated by point 6 above, effects or evidences Lessee’s acceptance of the Engine hereunder.
[Remainder of Page Left Blank; Signature Pages Follow]

LOS_ANGELES/#61599.3 

IN WITNESS whereof, Parties have executed this Engine Lease Agreement on the respective dates specified below.

						
	Wells Fargo Trust Company, National Association, not in its individual capacity but solely as owner trustee,
as Lessor
	Sun Country, Inc. d/b/a Sun Country Airlines, as Lessee 

	By: /s/ Hillary Pavia 
	By: /s/ Jude Bricker

	Name: Hillary Pavia	Name: Jude Bricker
	Title: Vice President	Title: CEO
	Date: 

	Date: November 22, 2019

[Engine Lease Agreement (ESN 889728)]

Acceptance Certificate

Wells Fargo Trust Company, National Association, not in its individual capacity but solely as owner trustee Re: Acceptance of Engine Package
Dear Sir/Madam,

Reference is made to the Engine Lease Agreement between you (“Lessor”) and us (“Lessee”) dated November 21, 2019 (“Engine Lease Agreement”) regarding the leasing by Lessee of one (1) CFM International Inc. model CFM56-7B22 aircraft engine bearing manufacturer’s serial number 889728 (“Engine”). Terms used herein without definition have the meanings assigned in the Engine Lease Agreement.

Lessee hereby confirms to Lessor that:
i.on November 22, 2019 at 2:00     p.m. CST    at Texas       , Lessee accepted delivery of the

Engine, as described in Part I, point 1 of the Engine Lease Agreement and the Engine Documentation, as described in
Part I, point 13 of the Engine Lease Agreement;

ii.annex 1 hereto lists all Parts and annex 2 lists all Engine Documentation so received by Lessee; and

iii.the Engine Documentation confirms the Engine Flight Hours and Engine Flight Cycle information and data summarized on annex 3 hereto.

[Remainder of Page Left Blank; Signature Page Follows]

[Engine Lease Agreement (ESN 889728)]

SUN COUNTRY, INC.,
D/B/A SUN COUNTRY AIRLINES
By:   /s/ Jude Bricker
Name:  Jude Bricker
Title:     CEO

LOS_ANGELES/#61599.3

[Engine Lease Agreement (ESN 889728)]

Annex 1 – Parts

LOS_ANGELES/#61599.3

ANNEX 1 - PARTS

									
	PN	SN	Description
	10-631045-2	UNJA4480	IGNITION EXCITER

	10-631045-2	UNJA5247	IGNITION EXCITER

	107484-7	9450	REGULATOR - HIGH STAGE

	107492-6	2140C	REGULATOR ASSY - BLEED AIR

	11-841193-4	YY083079-9	HEAT EXCHANGER -  OIL FUEL MAIN

	1211313-010	DLH75174	ACTUATOR -  VAR STATOR

	1211313-010	MT285	ACTUATOR -  VAR STATOR

	1226400	YU024369-0	ACTUATOR -  VBV

	1226400	YU117534	ACTUATOR -  VBV

	144-186-000-011	EM584423-B	SENSOR - VIB BRG 1

	1853M33P06	LMDN6232	CONTROL UNIT - ELECTRONIC (NON-PMUX) (ECU/EEC)

	21SN41-52	B042274A	SWITCH -  THERMAL ANTI-ICE PRESSURE

	310A2020-10	NODP88214	MOUNT ASSY

	310A2030-11	B2313	MOUNT ASSY - SAC

	320-549-004-0	YJ194850-5	SENSOR - N2 SPEED

	320-862-401-0	YJ187143-9	SENSOR -  N1 SPEED

	3202222-1	6846	VALVE -  BLEED

	320548-2	5634	VALVE ASSY -  GND WING TAI TEMP SOL.

	3214446-4	16051	VALVE ASSY -  HIGH STAGE

	3214552-5	7142	VALVE ASSY -  PRESSURE REGULATOR AND SHUTOFF

	3215618-4	699C	VALVE ASSY - COWL THRM ANTI-ICE

	3289562-5	15930	VALVE - PRECOOLER

	3289630-2	12216	VALVE ASSY - STARTER

	3291186-6	GRTV6364	VALVE -  TURBINE CLEARANCE CONT

	3291390-3	GRTT0839	VALVE -  AIR TRANSIENT BLEED

	340-046-508-0	WQ5225	GEARBOX ASSY - ACCESS NO.6 CONST SPEED DRIVE, NO.7 INTERMEDIATE OIL FILTER & NO.8 HYDR PUMP REMOVAL

	340-166-206-0	DB169953	FRAME - REAR LPT

	340-403-802-0	YT012372	TANK - OIL

	3505945-9	DL3	STARTER - AIR TURBINE

	41F1005	YT006099	UNIT - LUBE

	41F9003	MA401849	FILTER -  OIL SCAV

	442369	BAMW2332MFR	UNIT -  HYDROMECHANICAL

	45731-1382	YB018559	HEATER -  SERVO FUEL

	45731-1393	YB911036-6	COOLER -  IDG OIL

	505344-1	R487F	ROTOR -  ALTERNATOR - MUST BE MATCHED WITH POST SB 73-0134 STATOR PN 506569-1 OR HIGHER

	6237M118A	YT031447-J	SENSOR - VIB FFCC

	66087	660874317	PUMP ASSY

	761574B	1811	GENERATOR ASSY - INTEGRATED DRIVE

	828300-5	YA012443-R	PUMP - FUEL MAIN

	87006-9	HTL15474	STATOR -  ALTERNATOR MUST BE MATCHED WITH ROTOR 85465-2

	8TC19AAN1	GDBR988G	SENSOR -  TEMP CPRSR DISCH

	8TJ146CFA1	YE012397-0	SENSOR -  OIL LVL

	8TJ167GHM1	GDB5547M	TRANSMITTER -  FUEL FLOW

	902016-01	3482	DETECTOR ASSY - LOWER FAN

	902018-01	3157	DETECTOR ASSY - RIGHT CORE

	902862	3148	DETECTOR ASSY - LEFT CORE

	902864	2385	DETECTOR ASSY - UPPER FAN

	9059110-1	KU1972	LEAD -  IGNITION

	9059110-1	UNJ65661	LEAD -  IGNITION

	APTE8A20007BARI	K-131147	SENSOR -  OPRS

	C24937001-1	YR011584-M	VALVE -  LPTACC

	QA07995	RC3-6035	SWITCH - FUEL DIFF PRESSURE (ISS3)

	RP236-00	YC067351	PROBE -  PT25

	RP238-00	YC097583	PROBE -  OIL TEMP

	TC296-03	YC505170-9	PROBE -  T49.5

	TC296-03	YC507624-G	PROBE -  T49.5

	TC296-04	YC076848-LR	PROBE -  T49.5

	TC296-04	YC077236-WR	PROBE -  T49.5

	UA538551-3	13306R	COOLER -  INTEGRATED DRIVE GENERATOR

	41F3003	YT017271	VALVE -  ANTI SIPHON

	314-2100-2	344001	Intake Cowl

	3227B	M333720-2	DAE Engine Stand, base and cradel

Annex 2 – Engine Documentation

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Annex 2 – Engine Documentation ESN 889728
2008 Shop Visit Package – Hard Copy 

2013 Shop Visit Package – Hard Copy

Sun Country Airlines files:

Task Cards 

Airworthiness Directives 

Engineering Orders

Log Books

Boeing Engine Brochure 

G-EZJI Bridging book

Annex 3 – Flight Hour and Flight Cycle Hours

LOS_ANGELES/#61599.3

ANNEX 3 - Flight Hour and Flight Cycle Hours                  Print Date:  11/22/2019
Page: 1 of 2
 
PART NUMBER: CFM56-7B22          INSTALLED ON A/C:   POS:              DATE REMOVED: 11/22/2019
SERIAL NUMBER: 889728    DATE INSTALLED:

HOURS AT INSTALLATION: 0:00     HOURS ON WING: 0:00      ENGINE TOTAL HOURS: 56156:09
CYCLES AT INSTALLATION: 0     CYCLES ON WING: 0     ENGINE TOTAL CYCLES: 29868

																																	
	Position	Pn Description	Part Number	Serial Number	Limit Hours	Limit Cycles	Actual Hours		Actual Cycles	Remain Hours	Remain Cycles
											
	NHA PN: CFM56-7B22                         NHA SN: 889728
										
	FAN	SPOOL - BOOSTER
	340-000-816-0
	DN870236
	0	23600	9252 :	17	4577	0:00	19023
	FAN	SHAFT ASSY - FAN
	335-006-414-0
	DN851225
	0	30000	9252 :	17	4577	0:00	25423
	FAN	DISK - FAN ASSY
	340-000-420-0
	PC398356
	0	30000	9252 :	17	4577	0:00	25423
	HPC	SPOOL ASSY - CPRSR ROTOR STAG
	1588M89G03
	GWN0J01H
	0	20000	33158 :	09	14114	0:00	5886
	HPC	SPOOL ASSY - CPRSR ROTOR STA
	1558M31G07
	GWN0JF29
	0	20000	33158 :	09	14114	0:00	5886
	HPC	DISK - STG 3
	2116M23P01
	XAEK4781
	0	20000	33158 :	09	14114	0:00	5886
	HPC	SHAFT - COMPRESSOR ROTOR
	1386M56P03
	GWN0JG00
	0	20000	33158 :	09	14114	0:00	5886
	HPC	SEAL - ROTATING AIR REAR
	1523M35P01
	GFF5ECCP
	0	20000	33158 :	09	14114	0:00	5886
	HPT	SHAFT - HPT ROTOR FRONT
	1873M73P01
	XAEH2627
	0	20000	33158 :	09	14114	0:00	5886
	HPT	SEAL - ROTATING AIR HPT FRONT
	1795M36P02
	TMTNM905
	0	20000	33158 :	09	14114	0:00	5886

LOS_ANGELES/#61599.3

																																	
	HPT	DISK - HPT ROTOR (80 BLADE CON
	1498M43P06
	GWN0JJ2N
	0	20000	33158 :	09	14114	0:00	5886
	HPT	SHAFT - HPT REAR
	1864M90P04
	DED78360
	0	20000	33158 :	09	14114	0:00	5886
	LPT	SUPPORT - RTR LPT
	340-301-702-0
	DV109144
	0	25000	9252 :	17	4577	0:00	20423
	LPT	DISK - LPT STG 1
	336-001-804-0
	PC448960
	0	25000	9252 :	17	4577	0:00	20423
	LPT	SHAFT - LPT
	340-074-723-0
	PC415075
	0	25000	9252 :	17	4577	0:00	20423
	LPT	DISK - LPT STG 2
	336-001-909-0
	PC413659
	0	25000	9252 :	17	4577	0:00	20423
	LPT	DISK - LPT STG 4
	336-002-105-0
	PC454227
	0	25000	9252 :	17	4577	0:00	20423

LOS_ANGELES/#61599.3

Print Date:  11/22/2019
Page: 2 of 2     

PART NUMBER: CFM56-7B22     INSTALLED ON A/C:     POS:    DATE REMOVED: 11/22/2019
SERIAL NUMBER: 889728  DATE INSTALLED:

HOURS AT INSTALLATION: 0:00     HOURS ON WING: 0:00     ENGINE TOTAL HOURS: 56156:09
CYCLES AT INSTALLATION: 0     CYCLES ON WING: 0        ENGINE TOTAL CYCLES: 29868

																																	
	Position
	Pn Description
	Part Number
	Serial Number
	Limit Hours
	 Limit Cycles	 Actual Hours 		Actual Cycles 	Remain Hours	 Remain Cycles
											
	NHA PN: CFM56-7B22                          NHA SN: 889728										
	LPT
	DISK - LPT STG 3
	336-002-006-0
	PC410852
	0
	25000
	9252 :
	17
	4577
	0 : 00
	20423

LOS_ANGELES/#61599.3

Appendix B
Annex 3 – Conditions Precedent
1.. With respect to the relevant Engine Package, Lessor shall have received the following:
        (a) Lease Agreement and, if required thereby, an Acceptance Certificate, each executed and delivered by Lessee in accordance with the Agreement;
        (b) the insurance documentation required by 8.2.1 of the Agreement.
2. Unless otherwise agreed by Lessor, evidence in a priority search certificate from the International Registry that the international interest constituted by this Agreement has been duly registered.
3. No event or circumstance which constitutes, or with the fulfillment of conditions would constitute, an Event of Default under the Agreement subsists on the Commencement Date under the Lease Agreement.

18348620v1

LOS_ANGELES/#61599.3

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