Document:

DISTRIBUTION
AND LICENSE AGREEMENT

 

THIS
Distribution and License Agreement, (hereinafter “Agreement”), dated the 16th day of July, 2019 is between
Taronis Technologies, Inc., a Delaware Corporation, f/k/a MagneGas Applied Technology
Solutions, Inc. and f/k/a MagneGas Corporation, and MAGNEGAS IP, LLC, a Delaware limited liability company (collectively, the
“Company”); and Taronis Fuels, Inc., a Delaware Corporation (“Distributor”).

 

RECITALS

 

WHEREAS,
the Company owns all right, title and interest in the trademark registrations identified in Schedule A (the “Trademarks”);

 

WHEREAS,
the Company owns all right, title and interest in the patents identified in Schedule B (the “Patents”);

 

WHEREAS,
the Distributor desires to be the exclusive worldwide manufacturer and distributor of gases created using the equipment and methods
claimed within the Patents;

 

WHEREAS,
in exchange for this right, Distributor will compensate Company.

 

NOW,
THEREFORE, in consideration of the foregoing Recitals which are incorporated by reference herein and forth other good and valuable
consideration, the receipt of which is hereby acknowledged, the parties agree as follows:

 

AGREEMENT

 

	1.	Definitions.

 

	 	1.1.	“Trademark”
    or “Trademarks” means any registered trademark or trademark application listed in Schedule A.
	 	 	 
	 	1.2.	“Patent”
    or “Patents” means any registered trademark or trademark application listed in Schedule B.
	 	 	 
	 	1.3.	“Trademark
    Territory” means every country and territory in which a trademark from Schedule A is in use.
	 	 	 
	 	1.4.	“Patent
    Territory” is defined as every country and territory in which a patent from Schedule B exists.
	 	 	 
	 	1.5.	“Product”
    is defined as any gas produced using the equipment and methods claimed within any Patent, but excluding water treatment or
    treated water.
	 	 	 
	 	1.6.	“Third-Parties”
    means any individual or entity that is not a party to this Agreement.
	 	 	 
	 	1.7.	“Forecast”
    means the Distributor’s anticipated purchase quantities.

 

	2.	Trademark
    License Grant. Subject to the terms of this Agreement, Company grants to Distributor an exclusive license to use the Trademarks
    in conjunction with the Product within the Trademark Territory.
	 	 
	3.	Patent
    License Grant. Subject to the terms of this Agreement, Company grants to Distributor an exclusive license under the Patents
    to make, use, sell, and offer for sale the Product within the Patent Territory.
	 	 
	4.	Right
    to Enforce Trademarks. Company retains the right to enforce the Trademarks. If Distributor becomes aware of trademark
    infringement within the Trademark Territory, Distributor must inform Company within fourteen (14) calendar days. The Company
    may then choose whether, and how, to enforce the Trademarks against Third-Parties. The Company has the right to file lawsuits
    to enforce the Trademarks, and the right to join Distributor if Company determines joinder is appropriate. The Company bears
    the cost of such lawsuits, and the right to recover any damages or settlement payments.

 

    	 	1	 

     

    

 

	5.	Right
    to Enforce Patents. The Company retains the sole right to enforce the Patents. If Distributor becomes aware of patent
    infringement within the Patent Territory, Distributor must inform Company within fourteen (14) calendar days. The Company
    may then choose whether, and how, to enforce the Patents against Third-Parties. The Company has the right to file lawsuits
    to enforce the Patents, and the right to join Distributor if Company determines joinder is appropriate. The Company bears
    the cost of such lawsuits, and the right to recover any damages or settlement payments.
	 	 
	6.	Prohibition
    of Sublicensing and Sale of Similar Products. Distributor may sublicense Trademarks or Patents with written consent of
    the Company.
	 	 
	7.	Patent
    and Trademark Fees. Company is solely responsible for tracking and paying all fees and costs associated with maintaining
    registration of the Trademarks and Patents.
	 	 
	8.	Grant
    Back of Products Developed by Distributor. Distributor, or its employees and members, may choose to develop inventions
    related to Products (“Distributor Invention”). If Distributor believes that it has reduced to practice a product
    that is an invention and is an appropriate subject of patent protection, Distributor shall contact Company within thirty (30)
    days, and prior to any public disclosure. Distributor hereby assigns any Inventions related to Products to Company. It is
    the sole responsibility of Company to file and prosecute any patent applications to achieve patents for Distributor Inventions.
    Schedule B will be amended from time to time to include any patents/applications resulting from a Distributor Invention,
    and that Distributor and Company agree to license.
	 	 
	9.	Licensing
    New Trademarks to Distributor. The Company may seek to use and/or register additional trademarks. If the additional trademarks
    are related to the Product, Company may add the trademarks to Schedule A. Distributor will cooperate with Company to
    facilitate registration of additional trademarks, including helping Company to provide proof of use to the relevant trademark
    office, including executing any documents reasonably necessary for the procurement of registrations.
	 	 
	10.	Licensing
    New Patents to Distributor. The Company may file additional patent applications, and be awarded additional patents. If
    the additional patents/applications are related to the Product, Company may add the patents/applications to Schedule B.
    The Company acknowledges that if additional patents are issued to Company, and the patents are related to the Product, Company
    will only license to Distributor and not to Third-Parties.
	 	 
	11.	Royalty
    Payment. Distributor shall pay Company a royalty in exchange for the above licenses (“Royalty Payments”).
    Royalty Payments are calculated as seven percent (7%) of any net cash proceeds received by the Distributor in relation to
    use of the above licenses in any form or fashion. Distributor shall issue a Royalty Payment each month. The Royalty Payment
    is due no later than thirty (30) days after receipt of net cash proceeds received by the Distributor in relation to is use
    of the above licenses. Royalty payments will be wired or deposited electronically to an account specified by Company.
	 	 
	12.	Sales
    Forecasts. Upon request, Distributor shall provide a Forecast of anticipated purchase quantities to Company. The scope
    of a requested Forecast will be negotiated between Company and Distributor at the time of the request.
	 	 
	13.	 Marking.
    All Products and advertising of Products bearing the Trademark must be marked with appropriate legend. Specifically, TM or
    ®, and such other legend as from time to time required by Company. All Products and advertising of the Products claimed
    by the Patents must be marked in accordance with 35 USC 287(a) as follows:

 

	 	13.1.1.	U.S.
    Pat. No. [Patent number(s) from Schedule B]

 

	14.	Quality
    Control. Distributor agrees to use Trademarks in conjunction with the Products under the quality standards and business
    practices that Company will from time to time establish and promulgate. The Company maintains the right, at any reasonable
    time, and without prior notice, to inspect Distributor’s use of the Trademarks in conjunction with Products for the
    purpose of insuring that the quality of Product under Trademarks meets or exceeds Company’s standards. The Distributor
    agrees to provide Product of a high quality, fit for its intended purpose.

 

    	 	2	 

     

    

 

	15.	Term
    and Termination. This Agreement shall remain in effect in perpetuity from the Effective Date, subject to termination as
    set forth herein.

 

	 	15.1.	This
    Agreement may be terminated by the Company if:

 

	 	15.1.1.	Company
    serves written notice of termination on Distributor twelve (12) months in advance of the anniversary of the Effective Date
    of this Agreement; or
	 	 	 
	 	15.1.2.	Distributor
    fails to make a Royalty Payment when due; or
	 	 	 
	 	15.1.3.	Distributor
    ceases production of any gas available for creation under this Agreement for a period of three (3) months.

 

	 	15.2.	In
    the event the other party breaches its obligation(s) under this Agreement, a party may terminate this Agreement in whole or
    in part subject to such notice if it sends a written notice demanding to cure the breach within reasonable period to the breaching
    party and breaching party fails to cure such breach. 

 

	16.	Governing
    Law. This Agreement is interpreted and governed by the laws of Delaware, and the United States of America, as appropriate.
	 	 
	17.	Venue.
    Venue for any litigation concerning this Agreement, the Patents, or Trademarks is the City of Phoenix, Maricopa County, State
    of Arizona or the Federal District Court situated in the City of Phoenix, Arizona. 
	 	 
	18.	Dispute
    Resolution.

 

	 	18.1.	If
    a dispute arises from or relates to this Agreement or the breach thereof, and if the dispute cannot be settled through direct
    discussions, the parties agree to endeavor first to settle the dispute by mediation administered by the American Arbitration
    Association under its Commercial Mediation Procedures before resorting to arbitration. The parties further agree that any
    unresolved controversy or claim arising out of or relating to this contract, or breach thereof, shall be settled by arbitration
    administered by the American Arbitration Association in accordance with its Commercial Arbitration Rules and judgment on the
    award rendered by the arbitrator(s) may be entered in any court having jurisdiction thereof. The arbitrator(s) shall be qualified
    in the field of intellectual property. The place of arbitration shall be Phoenix, Arizona. The arbitration shall be governed
    by the laws of the State of Arizona. 
	 	 	 
	 	18.2.	In
    making determinations regarding the scope of exchange of electronic information, the arbitrator(s) and the parties agree to
    be guided by The Sedona Principles, Third Edition: Best Practices, Recommendations & Principles for Addressing Electronic
    Document Production. 
	 	 	 
	 	18.3.	Hearings
    will take place pursuant to the standard procedures of the Commercial Arbitration Rules that contemplate in person hearings.
    
	 	 	 
	 	18.4.	The
    arbitrators will have no authority to award punitive or other damages not measured by the prevailing party’s actual
    damages, except as may be required by statute. 
	 	 	 
	 	18.5.	The
    arbitrator(s) shall award to the prevailing party, if any, as determined by the arbitrators, all of their costs and fees.
    “Costs and fees” mean all reasonable pre-award expenses of the arbitration, including the arbitrators’ fees,
    administrative fees, travel expenses, out-of-pocket expenses such as copying and telephone, court costs, witness fees, and
    attorneys’ fees. The award of the arbitrators shall be accompanied by a reasoned opinion.

 

    	 	3	 

     

    

 

	19.	Notices.
    All notices relating to this Agreement must be in writing, and are deemed given when personally delivered, or upon delivery
    when sent by a method that permits tracking and signature confirmation (e.g., FedEx), or when emailed and confirmation provided
    by return email. Notices are to be addressed as follows:

 

	Company	 
	 	 
	 	TARONIS
    TECHNOLOGIES, INC.,
	 	 
	 	Attention:
    Chief Executive Officer
	 	 
	 	Address: 300 W. Clarendon Avenue

                                                         #230, Phoenix, Arizona 85013

	 	 
	Distributor	 
	 	 
	 	TARONIS
    FUELS, INC.
	 	 
	 	Attention:
    General Counsel
	 	 
	 	Address: 300 W. Clarendon Avenue

                                                         #230, Phoenix, Arizona 85013

 

Either
party may change its address for notices by giving notice to the other party in the manner set forth in this section.

 

	20.	Integration.
    This Agreement constitutes the entire understanding and contractual rights and obligations of the parties concerning this
    Agreement, the Patents, and the Trademarks, and any prior or contemporaneous terms not expressed herein are not enforceable.
	 	 
	21.	Severability.
    The parties intend as follows:

 

	 	21.1.	that
    if any provision of this Agreement is held to be unenforceable, then that provision will be modified to the minimum extent
    necessary to make it enforceable, unless that modification is not permitted by law, in which case that provision will be disregarded
    
	 	 	 
	 	21.2.	that
    if an unenforceable provision is modified or disregarded in accordance with this section 21, then the rest of the agreement
    will remain in effect as written; and 
	 	 	 
	 	21.3.	that
    any unenforceable provision will remain as written in any circumstances other than those in which the provision is held to
    be unenforceable.

 

	22.	Legal
    Fees. If either party brings an action to enforce their rights under this Agreement, the prevailing party may recover
    its expenses and reasonable legal fees from the losing party incurred in connection with the action and any appeal.

 

[Signature
Page Follows]

 

[The
Remainder of This Page is Intentionally Blank]

 

    	 	4	 

     

    

 

IN
WITNESS WHEREOF, this Agreement is executed and agreed to on behalf of the parties by their respective, duly authorized officers
or representatives identified below.

 

	COMPANY:	 
	 	 	 
	By:
    	/s/
    Scott     Mahoney	 
	Name:
    	Scott
    Mahoney	 
	Title:
    	Chief
    Executive Officer	 
	 	 	 
	DISTRIBUTOR:	 
	 	 	 
	By:
    	/s/
    Scott Mahoney	 
	Name:
    	Scott
    Mahoney	 
	Title:
    	President
    	 

 

    	 	5	 

     

    

 

Schedule
A – Trademarks

 

	Mark	 	Class

        Goods/Services
	 	Country	 	Serial
    No.	 	Reg.
    No.	 	Owner
    of Mark	 	Registration
    Date
	 	 	 	 	 	 	 	 	 	 	 	 	 
	MagneGas	 	IC
    004. US 001 006 015. G & S: Fuel for motor vehicles, namely an oxygen-rich, hydrocarbon-free gas produced as a byproduct
    of recycling liquid waste such as anti-freeze, oil waste and sewage.	 	US	 	78039484	 	2812824	 	MAGNEGAS
        CORPORATION DELAWARE

        150
        Rainville Road Tarpon Springs Florida 34689
	 	February
    10, 2004
	 	 	 	 	 	 	 	 	 	 	 	 	 
	MagneGas
    2	 	IC
    004. US 001 006 015. G & S: Fuels.	 	US	 	86642367	 	5156799	 	MAGNEGAS
        CORPORATION DELAWARE

        11885
        44th Street North Clearwater Florida 33762
	 	March
    7, 2017
	 	 	 	 	 	 	 	 	 	 	 	 	 
	mAgnetote	 	IC
    007. US 013 019 021 023 031 034 035. G & S: Portable tank system being a gas welding apparatus and containing a gas used
    for cutting and welding metal	 	US	 	86816532	 	5157232	 	MAGNEGAS
        CORPORATION DELAWARE

        11885
        44th Street North Clearwater Florida 33762
	 	March
    7, 2017
	 	 	 	 	 	 	 	 	 	 	 	 	 
	venturi	 	IC
    007. US 013 019 021 023 031 034 035. G & S: machines for gasification, namely, industrial electrochemical reactors for
    converting liquid waste into gaseous hydrocarbon fuels	 	US	 	86454770	 	4952283	 	MAGNEGAS
        CORPORATION DELAWARE

        150
        Rainville Road Tarpon Springs Florida 34689
	 	May
    3, 2016
	 	 	 	 	 	 	 	 	 	 	 	 	 
	VENTURI
    Plasma Arc Flow	 	IC
    008. Machines for producing synthetic gas and decontaminating and sterilizing liquefied waste streams	 	US	 	TBD	 	TBD	 	Taronis
        Technologies, Inc.

        DELAWARE

        11885
        44 th Street North

        Clearwater,
        FL 33762
	 	TBD

 

    	 	6	 

     

    

 

Schedule
B – Patents

 

	Serial
    Number	 	Date
    of Filing	 	Publication
    Number	 	Patent
    Number	 	Patent
    or Patent Application Title
	 	 	 	 	 	 	 	 	 
	09/372,277	 	8/11/1999	 	 	 	6,183,604	 	DURABLE
    AND EFFICIENT EQUIPMENT FOR THE PRODUCTION OF A COMBUSTIBLE AND NON-POLLUTANT GAS FROM UNDERWATER ARCS AND METHOD THEREFOR
	 	 	 	 	 	 	 	 	 
	09/970,405	 	10/03/2001	 	2003/0133855	 	6,663,752	 	CLEAN
    BURNING LIQUID FUEL PRODUCED VIA A SELF-SUSTAINING PROCESSING OF LIQUID FEEDSTOCK
	 	 	 	 	 	 	 	 	 
	09/896,422	 	6/29/2001	 	2002/0004022	 	6,673,322	 	APPARATUS
    FOR MAKING A NOVEL, HIGHLY EFFICIENT, NONPOLLUTANT, OXYGEN RICH AND COST COMPETITIVE COMBUSTIBLE GAS AND ASSOCIATED METHOD
	 	 	 	 	 	 	 	 	 
	10/008,813	 	12/07/2001	 	2003/0106787	 	6,926,872	 	APPARATUS
    AND METHOD FOR PRODUCING A CLEAN BURNING COMBUSTIBLE GAS WITH LONG LIFE ELECTRODES AND MULTIPLE PLASMA-ARC-FLOWS
	 	 	 	 	 	 	 	 	 
	10/020,091	 	12/14/2001	 	2003/0113597	 	6,972,118	 	APPARATUS
    AND METHOD FOR PROCESSING HYDROGEN, OXYGEN AND OTHER GASES
	 	 	 	 	 	 	 	 	 
	12/828,905	 	07/01/2010	 	2012/0000787	 	8,236,150	 	PLASMA-ARC-THROUGH
    APPARATUS AND PROCESS FOR SUBMERGED ELECTRIC ARCS
	 	 	 	 	 	 	 	 	 
	14/244,229	 	04/03/2014	 	2014/0299463	 	9,700,870	 	Method
    and Apparatus for the Industrial Production of New Hydrogen-Rich Fuels
	 	 	 	 	 	 	 	 	 
	14/288,807	 	05/28/2014	 	N/A	 	9,433,916	 	Plasma-arc-through
    Apparatus and Process for Submerged Electric Arcs with Venting
	 	 	 	 	 	 	 	 	 
	15/230,537
    	 	8/08/2016	 	US
    2016-0340790 A1	 	10,100,416	 	Plasma-arc-through
    Apparatus and Process for Submerged Electric Arcs with Venting
	 	 	 	 	 	 	 	 	 
	15/612,457
    	 	6/02/2017	 	US
    2017-0321130 A1	 	10,100,262	 	Method
    and Apparatus for the Industrial Production of New Hydrogen-Rich Fuels
	 	 	 	 	 	 	 	 	 
	62/542,689
    	 	8/08/2017	 	-	 	-	 	System,
    Method, and Apparatus for Gasification of a Solid or Liquid 
	 	 	 	 	 	 	 	 	 
	15/720,816
    	 	9/29/2017	 	US
    2018-0093248 A1	 	-	 	Apparatus
    for Flow-Through of Electric Arcs
	 	 	 	 	 	 	 	 	 
	16/052,759
    	 	8/02/2018	 	-	 	-	 	System,
    Method, and Apparatus for Gasification of a Solid or Liquid

 

    	 	7Exhibit 10.1

 

EXECUTION VERSION

 

EMPLOYMENT
AGREEMENT

 

This Employment Agreement
(the “Agreement”) is made and entered into, effective as of July 17, 2019 (the “Effective Date”),
by and between Pioneer Bank, a New York-chartered stock savings bank (the “Bank”) and Thomas L. Amell (“Executive”).
Any reference to the “Company” shall mean Pioneer Bancorp, Inc., the newly-formed the stock holding company of the
Bank, or any successor thereto.

 

RECITALS

 

WHEREAS, the
Bank desires to continue to employ the Executive in an executive capacity in the conduct of its businesses, and the Executive desires
to be so employed on the terms contained herein;

 

NOW, THEREFORE,
in consideration of the mutual covenants herein contained, and upon the other terms and conditions hereinafter provided, the parties
hereby agree as follows:

 

		1.	POSITION AND RESPONSIBILITIES.

 

(a)          Employment.
During the term of this Agreement, Executive agrees to serve as President and Chief Executive Officer of the Bank and the Company
or any successor executive position with the Bank and the Company that is agreed to and consented by Executive (the “Executive
Position”), and will perform the duties and will have all powers associated with Executive Position as are appropriate
for a person in the position of the Executive Position, as well as those as shall be assigned by the Board of Directors of the
Bank (the “Board”). As President and Chief Executive Officer, Executive will report directly to the Board. During
the period provided in this Agreement, Executive also agrees to serve, if elected, as an officer, director or trustee of any subsidiary
or affiliate of the Bank and in such capacity carry out such duties and responsibilities reasonably appropriate to that office.

 

(b)          Responsibilities.
During Executive’s employment hereunder, Executive will be employed on a full-time basis and devote Executive’s full
business time and best efforts, business judgment, skill and knowledge to the performance of Executive’s duties and responsibilities
related to the Executive Position. Except as otherwise provided in Section 1(c), Executive will not engage in any other business
activity during the term of this Agreement except as may be approved by the Board.

 

(c)          Service
on Other Boards and Committees. The Bank encourages participation by Executive on community boards and committees and in
activities generally considered to be in the public interest, but the Board shall have the right to approve or disapprove, in its
sole discretion, Executive’s participation on such boards and committees.

 

     

     

    

 

		2.	TERM.

 

(a)          Term
and Annual Renewal. The term of this Agreement and the period of Executive’s employment hereunder will begin as of
the Effective Date and will continue through December 31, 2021 (the “Term”). Commencing on January 1, 2020 and
continuing on each January 1st thereafter (the “Renewal Date”), the Term will extend automatically
for one additional year, so that the Term will be three (3) years from such Renewal Date, unless either the Bank or Executive by
written notice to the other given at least 30 days prior to such Renewal Date notifies the other of its intent not to extend the
same. In the event that notice not to extend is given by either the Bank or the Executive, this Agreement will terminate as of
the last day of the then current Term. For avoidance of doubt, any extension to the Term will become the “Term” for
purposes of this Agreement.

 

At least 30 days prior
to the Renewal Date, the disinterested members of the Board will conduct a comprehensive performance evaluation and review of Executive
for purposes of determining whether to take action regarding non-renewal of the Agreement, and the results thereof will be included
in the minutes of the Board’s meeting.

 

(b)          Change
in Control. Notwithstanding the foregoing, in the event the Bank or the Company has entered into an agreement to effect
a transaction that would be considered a Change in Control as defined under Section 5 hereof, the Term of this Agreement will be
extended automatically so that it is scheduled to expire no less than two (2) years beyond the effective date of the Change in
Control, subject to extensions as set forth above.

 

(c)          Continued
Employment Following Expiration of Term. Nothing in this Agreement will mandate or prohibit a continuation of Executive’s
employment following the expiration of the term of this Agreement.

 

		3.	COMPENSATION, BENEFITS AND REIMBURSEMENT.

 

(a)          Base
Salary. In consideration of Executive’s performance of the responsibilities and duties set forth in this Agreement,
Executive shall receive an annual base salary of $651,182 per year (“Base Salary”). Such Base Salary will be
payable in accordance with the customary payroll practices of the Bank. During the term of this Agreement, the Board (or the Compensation
Committee of the Board (the “Committee”)) may increase, but not decrease, Executive’s Base Salary. Any
increase in Base Salary will become the “Base Salary” for purposes of this Agreement.

 

(b)          Bonus
and Incentive Compensation. Executive (1) is eligible to participate in any bonus plan or arrangement of the Bank in which
senior management is eligible to participate, pursuant to which a bonus may be paid to Executive in accordance with such plan or
arrangement; and/or (2) may receive a bonus, if any, on a discretionary basis, as determined by the Board or the Committee.

 

(c)          Benefit
Plans. Executive will be entitled to participate in all employee benefit plans, arrangements and perquisites offered to
employees and officers of the Bank, on the same terms and conditions as such plans are available to other employees and officers
of the Bank. Without limiting the generality of the foregoing provisions of this Section 3(c), Executive also will be entitled
to participate in any employee benefit plans including but not limited to retirement plans, pension plans, profit-sharing plans,
health-and-accident plans, or any other employee benefit plan or arrangement made available by the Bank in the future to management
employees, subject to and on a basis consistent with the terms, conditions and overall administration of such plans and arrangements
as applicable to other management employees.

 

    	 	2	 

     

    

 

(d)          Vacation.
Executive will be entitled to paid vacation time each year during the term of this Agreement measured on a calendar year basis,
in accordance with the Bank’s customary practices, as well as sick leave, holidays and other paid absences in accordance
with the Bank’s policies and procedures for officers. Any unused paid time off during an annual period will be treated in
accordance with the Bank’s personnel policies as in effect from time to time.

 

(e)          Expense
Reimbursements. The Bank will reimburse Executive for all reasonable travel, entertainment and other reasonable expenses
incurred by Executive during the course of performing Executive’s obligations under this Agreement, including, without limitation,
fees for memberships in such organizations as Executive and the Board mutually agree are necessary and appropriate in connection
with the performance of Executive’s duties under this Agreement. All reimbursements shall be made as soon as practicable
upon substantiation of such expenses by Executive in accordance with the applicable policies and procedures of the Bank.

 

		4.	TERMINATION AND TERMINATION PAY.

 

Subject to Section
5 of this Agreement which governs the occurrence of a Change in Control, Executive’s employment under this Agreement will
terminate under the following circumstances:

 

(a)          Death.
This Agreement and Executive’s employment with the Bank will terminate upon Executive’s death, in which event the Bank’s
sole obligation shall be to pay or provide Executive’s estate or beneficiary any “Accrued Obligations.”

 

For purposes of this
Agreement, “Accrued Obligations” means the sum of : (i) any Base Salary earned through the Executive’s
Date of Termination, (ii) unpaid expense reimbursements (subject to, and in accordance with, Section 3(e) of this Agreement), (iii)
unused paid time off that accrued through the Date of Termination, (iv) any earned but unpaid short-term and long-term incentive
compensation for the year immediately preceding the year of termination and (v) any vested benefits the Executive may have under
any employee benefit plan of the Bank through the Date of Termination, which vested benefits shall be paid and/or provided in accordance
with the terms of such employee benefit plans. Unless otherwise provided by the applicable employee benefit plan, the Accrued Obligations,
if any, will be paid to Executive (or Executive’s estate or beneficiary) within 30 days following Executive’s Date
of Termination.

 

(b)          Disability.
The Bank shall be entitled to terminate Executive’s employment and this Agreement due to Executive’s Disability. If
Executive’s employment is terminated due to Executive’s Disability, the Bank’s sole obligation under this Agreement
shall be to pay or provide Executive any Accrued Obligations. For purposes of this Agreement, “Disability” means
that Executive is deemed disabled for purposes of the Bank’s long-term disability plan or policy that covers Executive or
is determined to be disabled by the Social Security Administration.

 

(c)          Termination
for Cause. The Board may immediately terminate Executive’s employment and this Agreement at any time for “Cause.”
In the event Executive’s employment is terminated for Cause, the Bank’s sole obligation will be to pay or provide to
Executive any Accrued Obligations. Termination for “Cause” means termination because of, in the good faith determination
of the Board, Executive’s:

 

    	 	3	 

     

    

 

(i)          material
act of dishonesty or fraud in performing Executive’s duties on behalf of the Bank;

 

(ii)         willful
misconduct that in the judgment of the Board will likely cause economic damage to the Bank or injury to the business reputation
of the Bank;

 

(iii)        breach
of fiduciary duty involving personal profit;

 

(iv)        intentional
failure to perform stated duties under this Agreement after written notice thereof from the Board;

 

(v)         willful
violation of any law, rule or regulation (other than traffic violations or similar offenses which results only in a fine or other
non-custodial penalty) that reflect adversely on the reputation of the Bank, any felony conviction, any violation of law involving
moral turpitude, or any violation of a final cease-and-desist order; or any violation of the policies and procedures of the Bank
as outlined in the Bank’s employee handbook, which would result in termination of the Bank employees, as from time to time
amended and incorporated herein by reference; or

 

(vi)        material
breach by Executive of any provision of this Agreement.

 

Any determination of
Cause under this Agreement will be made by resolution adopted by at least two-thirds vote of the disinterested members of the Board
at a meeting called and held for that purpose. Executive will be provided with reasonable notice of such meeting and Executive
will be given an opportunity to be heard before such vote is taken by the disinterested members of the Board.

 

(d)          Resignation
by Executive without Good Reason. Executive may resign from employment during the term of this Agreement without Good Reason
upon at least 30 days prior written notice to the Board, provided, however, that the Bank may accelerate the Date of Termination
upon receipt of written notice of Executive’s resignation. In the event Executive resigns without Good Reason, the Bank’s
sole obligation under this Agreement will be to pay or provide to Executive any Accrued Obligations.

 

(e)          Termination
Without Cause or With Good Reason.

 

		(i)	The Board may immediately terminate Executive’s
employment at any time for a reason other than Cause (a termination “Without Cause”), and Executive may, by
written notice to the Board, terminate this Agreement at any time within 90 days following an event constituting “Good Reason,”
as defined below (a termination “With Good Reason”); provided, however, that the Bank will have 30 days to
cure the “Good Reason” condition, but the Bank may waive its right to cure. In the event of termination as described
under Section 4(e)(i) during the Term and subject to the requirements of Section 4(e)(iii), the Bank will pay or provide Executive
with the following:

 

    	 	4	 

     

    

 

 

(A)         any
Accrued Obligations;

 

(B)         a
cash lump sum payment equal to the amount of Base Salary that Executive would have earned had Executive remained employed for the
greater of: (1) the remaining Term; or (2) 12 months (the “Benefits Period”); and

 

(C)         non-taxable
medical and dental insurance coverage substantially comparable (and on substantially the same terms and conditions) to the coverage
maintained by the Bank for Executive immediately prior to Executive’s termination under the same cost-sharing arrangements
that apply for active employees of the Bank as of Executive’s Date of Termination. Such continued coverage will cease upon
the earlier of: (1) the completion of the Benefit Period; or (2) the date on which Executive becomes a full-time employee of another
employer, provided Executive is entitled to benefits that are substantially similar to the health and welfare benefits provided
by the Bank. The period of continued health coverage required by Section 4980B(f) of the Internal Revenue Code of 1986, as amended
(the “Code”), will run concurrently with the coverage period provided herein.

 

		(ii)	“Good Reason” exists if, without Executive’s
express written consent, any of the following occurs:

 

		(A)	a material reduction in Executive’s Base Salary;

 

		(B)	a material reduction in Executive’s authority,
duties or responsibilities from the position and attributes associated with the Executive Position;

 

		(C)	the Bank requiring Executive to be based at any office
or location resulting in an increase in Executive’s commute of 35 miles or more; or

 

		(D)	a material breach of this Agreement by the Bank.

 

		(iii)	Notwithstanding anything to the contrary in Section 4(e)(i),
Executive will not receive any payments or benefits under this Section 4(e) unless and until Executive executes a release of claims
(the “Release”) against the Bank and any affiliate, and their officers, directors, successors and assigns,
releasing said persons from any and all claims, rights, demands, causes of action, suits, arbitrations or grievances relating
to the employment relationship, including claims under the Age Discrimination in Employment Act, but not including claims for
benefits under tax-qualified plans or other benefit plans in which Executive is vested, claims for benefits required by applicable
law or claims with respect to obligations set forth in this Agreement that survive the termination of this Agreement. The Release
must be executed and become irrevocable by the 60th day following the Date of Termination, provided that if the 60-day
period spans two (2) calendar years, then, to the extent necessary to comply with Code Section 409A, the payments and benefits
described in this Section 4(e) will be paid, or commence, in the second calendar year.

 

    	 	5	 

     

    

 

(f)          Effect
on Status as a Director. In the event of Executive’s termination of employment under this Agreement for any reason,
such termination will also constitute Executive’s resignation as a director of the Bank or the Company, or as a director
or trustee of any subsidiary or affiliate thereof, to the extent Executive is acting as a director or trustee of any of the aforementioned
entities.

 

(g)          Notice;
Effective Date of Termination. Notice of Termination of employment under this Agreement must be communicated by or to Executive
or the Bank, as applicable, in accordance with Section 17. “Date of Termination” as referenced in this Agreement
means Executive’s termination of employment pursuant to this Agreement, which will be effective on the earliest of: (i) immediately
after the Bank gives notice to Executive of Executive’s termination Without Cause, unless the parties agree to a later date,
in which case, termination will be effective as of such later date; (ii) immediately upon approval by the Board of termination
of Executive’s employment for Cause; (iii) immediately upon Executive’s death or Disability; or (iv) 30 days after
Executive gives written notice to the Bank of Executive’s resignation from employment (including With Good Reason), provided
that the Bank may set an earlier termination date at any time prior to the date of termination of employment, in which case Executive’s
resignation shall be effective as of such date.

 

		5.	CHANGE IN CONTROL.

 

(a)          Change
in Control Defined. For purposes of this Agreement, the term “Change in Control” means: (i) a change
in the ownership of the Corporation; (ii) a change in the effective control of the Corporation; or (iii) a change in the ownership
of a substantial portion of the assets of the Corporation as defined in accordance with Code Section 409A. For purposes of this
Section 5(a), the term “Corporation” is defined to include the Bank, the Company or any of their successors,
as applicable.

 

		(i)	A change in the ownership of a Corporation occurs on
the date that any one person, or more than one person acting as a group (as defined in Treasury Regulation 1.409A-3(i)(5)(v)(B)),
acquires ownership of stock of the Corporation that, together with stock held by such person or group, constitutes more than 50
percent of the total fair market value or total voting power of the stock of such Corporation.

 

    	 	6	 

     

    

 

		(ii)	A change in the effective control of the Corporation
occurs on the date that either (A) any one person, or more than one person acting as a group (as defined in Treasury Regulation
1.409A-3(i)(5)(vi)(D)) acquires (or has acquired during the 12-month period ending on the date of the most recent acquisition
by such person or persons) ownership of stock of the Corporation possessing 30 percent or more of the total voting power of the
stock of the Corporation, or (B) a majority of the members of the Board is replaced during any 12-month period by directors whose
appointment or election is not endorsed by a majority of the members of the Board prior to the date of the appointment or election,
provided that this subsection “(B)” is inapplicable where a majority stockholder of the Corporation is another corporation.

 

		(iii)	A change in 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 (as defined in Treasury Regulation 1.409A-3(i)(5)(vii)(C))
acquires (or has acquired during the 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 40 percent of the total gross fair
market value of (A) all of the assets of the Corporation, or (B) the value of the assets being disposed of, either of which is
determined without regard to any liabilities associated with such assets. For all purposes hereunder, the definition of Change
in Control shall be construed to be consistent with the requirements of Treasury Regulation 1.409A-3(i)(5), except to the extent
that such regulations are superseded by subsequent guidance.

 

Notwithstanding anything
herein to the contrary, a Change in Control will not be deemed to have occurred for purposes of this Agreement in connection with
the Bank’s mutual holding company reorganization and/or minority stock offering of the Company. Similarly, a Change in Control
for purposes of this Agreement will not be deemed to have occurred in the event of a second-step conversion of the Bank’s
mutual holding company from mutual-to-stock form and/or contemporaneous stock offering of a newly-formed stock holding company.

 

(b)          Change
in Control Benefits. Upon the termination of Executive’s employment by the Bank (or any successor) Without Cause
or by Executive With Good Reason during the Term on or after the effective time of a Change in Control, the Bank (or any successor)
will pay or provide Executive, or Executive’s estate in the event of Executive’s subsequent death, with the following:

 

		(i)	any Accrued Obligations;

 

		(ii)	a cash lump sum payment (the “Change in Control
Severance”) in an amount equal to three (3) times the sum of Executive’s: (A) Base Salary (or Executive’s
Base Salary in effect immediately prior to the Change in Control, if higher); and (B) the highest annual cash bonus earned by
Executive for the three (3) most recently completed annual performance periods prior to the Change Control. The Change in Control
Severance is payable within 30 days following Executive’s Date of Termination; and

 

    	 	7	 

     

    

 

		(iii)	life insurance coverage and non-taxable medical and dental
insurance coverage substantially comparable to the coverage maintained by the Bank for Executive immediately prior to the Date
of Termination at no cost to Executive. Such continued coverage will cease upon the earlier of: (A) the date which is 36 months
following from Executive’s Date of Termination; or (B) the date on which Executive becomes a full-time employee of another
employer, provided Executive is entitled to benefits that are substantially similar to the health and welfare benefits provided
by the Bank. The period of continued health coverage required by Section 4980B(f) of the Code shall not run concurrently with
the coverage period provided herein.

 

Notwithstanding the
foregoing, the payments and benefits provided in this Section 5(b) will be payable to Executive in lieu of any payments or benefits
that are payable under Section 4(e).

 

		6.	COVENANTS OF EXECUTIVE.

 

(a)          Non-Solicitation/Non-Compete.
Executive hereby covenants and agrees that during the “Restricted Period,” Executive shall not, without the written
consent of the Bank, either directly or indirectly:

 

		(i)	solicit, offer employment to, or take any other action
intended (or that a reasonable person acting in like circumstances would expect) to have the effect of causing any officer or
employee of the Bank, or any of its respective subsidiaries or affiliates, to terminate his or her employment with the Bank and/or
accept employment with another employer; or

 

		(ii)	become an officer, employee, consultant, director, independent
contractor, agent, joint venturer, partner or trustee of any savings bank, savings and loan association, savings and loan holding
company, credit union, bank or bank holding company, insurance company or agency, any mortgage or loan broker or any other entity
that competes with the business of the Bank or any of their direct or indirect subsidiaries or affiliates within the New York
State counties of Albany, Greene, Rensselaer, Saratoga, Schenectady and Warren or in any other county where the Bank has one or
more offices or branches; or

 

		(iii)	solicit, provide any information, advice or recommendation
or take any other action intended (or that a reasonable person acting in like circumstances would expect) to have the effect of
causing any customer of the Bank to terminate an existing business or commercial relationship with the Bank.

 

The restrictions contained
in this Section 6(a) shall not apply in the event of Executive’s termination of employment on or after the effective time
of a Change in Control.

 

For purposes of this
Section 6(a), the “Restricted Period” will be: (i) at all times during Executive’s period of employment
with the Bank; and (ii) except as provided above, during the period beginning on Executive’s Date of Termination and ending
on the one-year anniversary of the Date of Termination.

 

    	 	8	 

     

    

 

(b)          Confidentiality.
Executive recognizes and acknowledges that Executive has been and will be the recipient of confidential and proprietary business
information concerning the Bank, including without limitation, past, present, planned or considered business activities of the
Bank, and Executive acknowledges and agrees that Executive will not, during or after the term of Executive’s employment,
disclose such confidential and proprietary information for any purposes whatsoever, except as may be expressly permitted in writing
signed by the Bank, or as may be required by regulatory inquiry, law or court order.

 

(c)          Information/Cooperation.
Executive will, upon reasonable notice, furnish such information and assistance to the Bank as may be reasonably required by the
Bank, in connection with any litigation in which it or any of its subsidiaries or affiliates is, or may become, a party; provided,
however, that Executive shall not be required to provide information or assistance with respect to any litigation between Executive
and the Bank or any other subsidiaries or affiliates.

 

(d)          Reliance.
Except as otherwise provided, all payments and benefits to Executive under this Agreement will be subject to Executive’s
compliance with this Section 6, to the extent applicable. The parties hereto, recognizing that irreparable injury will result to
the Bank, its business and property in the event of Executive’s breach of this Section 6, agree that, in the event of any
such breach by Executive, the Bank will be entitled, in addition to any other remedies and damages available, to an injunction
to restrain the violation hereof by Executive and all persons acting for or with Executive. Executive represents and admits that
Executive’s experience and capabilities are such that Executive can obtain employment in a business engaged in other lines
of business than the Bank, and that the enforcement of a remedy by way of injunction will not prevent Executive from earning a
livelihood. Nothing herein will be construed as prohibiting the Bank from pursuing any other remedies available to them for such
breach or threatened breach, including the recovery of damages from Executive.

 

		7.	SOURCE OF PAYMENTS.

 

All payments provided
in this Agreement shall be timely paid by check or direct deposit from the general funds of the Bank (or any successor of the Bank).

 

		8.	EFFECT ON PRIOR AGREEMENTS AND EXISTING BENEFITS PLANS.

 

This Agreement contains
the entire understanding between the parties hereto and supersedes any prior employment agreement between the Bank or any predecessor
of the Bank and Executive, except that this Agreement shall not affect or operate to reduce any benefit or compensation inuring
to Executive under another plan, program or agreement (other than an employment agreement) between the Bank and Executive.

 

		9.	NO ATTACHMENT; BINDING ON SUCCESSORS.

 

(a)          Except
as required by law, no right to receive payments under this Agreement shall be subject to anticipation, commutation, alienation,
sale, assignment, encumbrance, charge, pledge, or hypothecation, or to execution, attachment, levy, or similar process or assignment
by operation of law, and any attempt, voluntary or involuntary, to affect any such action shall be null, void, and of no effect.

 

    	 	9	 

     

    

 

(b)          The
Bank’s obligations under this Agreement will be binding on any and all successors or assigns, whether direct or indirect,
by purchase, merger, consolidation or otherwise, to all or substantially all the business or assets of the Bank, in the same manner
and to the same extent that the Bank would be required to perform if no such succession or assignment had taken place.

 

		10.	MODIFICATION AND WAIVER.

 

(a)          This
Agreement may not be modified or amended except by an instrument in writing signed by the parties hereto.

 

(b)          No
term or condition of this Agreement shall be deemed to have been waived, nor shall there be any estoppel against the enforcement
of any provision of this Agreement, except by written instrument of the party charged with such waiver or estoppel. No such written
waiver shall be deemed a continuing waiver unless specifically stated therein, and each such waiver shall operate only as to the
specific term or condition waived and shall not constitute a waiver of such term or condition for the future as to any act other
than that specifically waived.

 

		11.	Applicable law.

 

Notwithstanding anything
herein contained to the contrary, the following provisions shall apply:

 

(a)          The
Bank may terminate Executive’s employment at any time, but any termination by the Bank other than termination for Cause shall
not prejudice Executive’s right to compensation or other benefits under this Agreement. Executive shall have no right to
receive compensation or other benefits under this Agreement for any period after Executive’s termination for Cause, other
than the Accrued Obligations.

 

(b)          In
no event shall the Bank (nor any affiliate) be obligated to make any payment pursuant to this Agreement that is prohibited by Section
18(k) of the Federal Deposit Insurance Act (codified at 12 U.S.C. sec. 1828(k)), 12 C.F.R. Part 359, or any other applicable law.

 

(c)          Notwithstanding
anything in this Agreement to the contrary, to the extent that a payment or benefit described in this Agreement constitutes “non-qualified
deferred compensation” under Section 409A of the Code, and to the extent that such payment or benefit is payable upon the
Executive’s termination of employment, then such payments or benefits will be payable only upon the Executive’s “Separation
from Service.” For purposes of this Agreement, a “Separation from Service” will have occurred if the Bank
and Executive reasonably anticipate that either no further services will be performed by Executive after the Date of Termination
(whether as an employee or as an independent contractor) or the level of further services performed is less than 50 percent of
the average level of bona fide services in the 36 months immediately preceding the termination. For all purposes hereunder, the
definition of Separation from Service shall be interpreted consistent with Treasury Regulation Section 1.409A-1(h)(ii).

 

    	 	10	 

     

    

 

(d)          Notwithstanding
the foregoing, if Executive is a “Specified Employee” (i.e., a “key employee” of a publicly traded
company within the meaning of Section 409A of the Code and the final regulations issued thereunder) and any payment under this
Agreement is triggered due to Executive’s Separation from Service, then solely to the extent necessary to avoid penalties
under Section 409A of the Code, no payment shall be made during the first six (6) months following Executive’s Separation
from Service. Rather, any payment which would otherwise be paid to Executive during such period shall be accumulated and paid to
Executive in a lump sum on the first day of the seventh month following such Separation from Service. All subsequent payments shall
be paid in the manner specified in this Agreement.

 

(e)          If
the Bank cannot provide Executive or Executive’s dependents any continued health insurance or other welfare benefits as required
by this Agreement because Executive is no longer an employee, applicable rules and regulations prohibit such benefits or the payment
of such benefits in the manner contemplated, or it would subject the Bank to penalties, then the Bank will pay Executive a cash
lump sum payment reasonably estimated to be equal to the value of such benefits or the value of the remaining benefits at the time
of such determination. Such cash payment will be made in a lump sum within 30 days after the later of Executive’s Date of
Termination or the effective date of the rules or regulations prohibiting such benefits or subjecting the Bank to penalties. Notwithstanding
the foregoing, if such cash payment would violate the requirements of Treasury Regulation Section 1.409A-3(j), the Executive’s
cash payment in lieu of the continued health insurance or welfare benefits as required by this Agreement will be payable at the
same time the related premium payments would have been paid by the Bank and for the duration of the applicable coverage period.

 

(f)          To
the extent not specifically provided in this Agreement, any compensation or reimbursements payable to Executive shall be paid or
provided no later than two and one-half (2.5) months after the calendar year in which such compensation is no longer subject to
a substantial risk of forfeiture within the meaning of Treasury Regulation Section 1.409A-1(d).

 

(g)          Each
payment pursuant to this Agreement is intended to constitute a separate payment for purposes Treasury Regulation Section 1.409A-2(b)(2).

 

(h)          Notwithstanding
anything in this Agreement to the contrary, Executive understands that nothing contained in this Agreement limits Executive’s
ability to file a charge or complaint with the Securities and Exchange Commission or any other federal, state or local governmental
agency or commission (“Government Agencies”) about a possible securities law violation without approval of the
Bank (or any affiliate). Executive further understands that this Agreement does not limit Executive’s ability to communicate
with any Government Agency or otherwise participate in any investigation or proceeding that may be conducted by any Government
Agency, including providing documents or other information, without notice to the Bank (or any affiliate) related to the possible
securities law violation. This Agreement does not limit Executive’s right to receive any resulting monetary award for information
provided to any Government Agency.

 

		12.	SEVERABILITY.

 

If any provision of
this Agreement is determined to be void or unenforceable, then the remaining provisions of this Agreement will remain in full force
and effect.

 

    	 	11	 

     

    

 

		13.	GOVERNING LAW.

 

This Agreement shall
be governed by the laws of the State of New York, but only to the extent not superseded by federal law.

 

		14.	ARBITRATION.

 

Any
dispute or controversy arising under or in connection with this Agreement shall be settled exclusively by arbitration, conducted
within 50 miles of Albany, New York, in accordance with the Commercial Rules of the American Arbitration Association then in effect. 
Judgment may be entered on the arbitrators’ award in any court having jurisdiction.  The above notwithstanding, the
Bank may seek injunctive relief in a court of competent jurisdiction in New York to restrain any breach or threatened breach of
any provision of this Agreement, without prejudice to any other rights or remedies that may otherwise be available to the Bank.

 

		15.	INDEMNIFICATION.

 

The Bank will provide
Executive (including Executive’s heirs, executors and administrators) with coverage under a standard directors’ and
officers’ liability insurance policy at its expense, and will indemnify Executive (and Executive’s heirs, executors
and administrators) in accordance with the charter and bylaws of the Bank and to the fullest extent permitted under applicable
law against all expenses and liabilities reasonably incurred by Executive in connection with or arising out of any action, suit
or proceeding in which Executive may be involved by reason of having been a trustee, director or officer of the Bank or any subsidiary
or affiliate of the Bank.

 

		16.	TAX Withholding.

 

The Bank may withhold
from any amounts payable to Executive hereunder all federal, state, local or other taxes that the Bank may reasonably determine
are required to be withheld pursuant to any applicable law or regulation (it being understood that Executive is responsible for
payment of all taxes in respect of the payments and benefits provided herein).

 

		17.	Notice.

 

For the purposes of
this Agreement, notices and all other communications provided for in this Agreement shall be in writing and shall be deemed to
have been duly given when delivered or mailed by certified or registered mail, return receipt requested, postage prepaid, addressed
to the respective addresses set forth below or if sent by facsimile or email, on the date it is actually received.

 

	To the Bank:	Pioneer Bank
	 	652 Albany-Shaker Road
	 	Albany, New York 12211
	 	Attention: Corporate Secretary
	 	 
	To Executive:	Most recent address on file with the Bank

 

[Signature Page Follows]

 

    	 	12	 

     

    

 

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

 

	 	PIONEER BANK
	 	 
	 	By:   	/s/ Frank C. Sarratori
	 	Name: Frank C. Sarratori
	 	Title:  Secretary
	 	 
	 	EXECUTIVE
	 	 
	 	/s/ Thomas L. Amell
	 	Thomas L. Amell

 

    	 	13

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