Document:

Exhibit 10.1

 

FIRST
AMENDMENT TO STANDARD

INDUSTRIAL/COMMERCIAL MULTI-TENANT LEASE

 

THIS
FIRST AMENDMENT TO STANDARD INDUSTRIAL/COMMERCIAL MULTI-TENANT LEASE - NET (this “Amendment”) is made and entered
into as of the 1st day of March, 2020 (“Effective Date”), by and between ACCUTEK (“Lessor”),
and FLUX POWER, INC. (“Lessee”).

 

RECITALS:

 

A.
Lessor and Lessee entered into that certain Standard Industrial/Commercial Multi-Lease- Net dated as of April 4, 2019 (the “Lease”),
whereby Lessee leased certain space in the building located at 2685 S. Melrose Drive,
Vista, CA 92081 (the “Building”) from the Lessor. Unless otherwise defined herein, capitalized terms as used
herein shall have the same meanings as given thereto in the Lease.

 

B.
By this Amendment, Lessor and Lessee desire to modify the Lease as provided herein.

 

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

 

AGREEMENT :

 

1.
Expansion Premises. Lessee current leases Suite A in the Building and will be expanding its premises into the remainder
of the Building which is Suite B, approximately 16,309 additional rentable square feet plus the residential unit of approximately
1,230 rentable square feet for a total of approximately 17,539 rentable square feet (“Suite B”). Upon Commencement
Date (as defined below in Section 3), Premises shall be the full Building which is approximately 63,396 rentable square feet.

 

2.
Term. The term of Suite B shall commence as of the Commencement Date and be co- terminus with the existing lease on Suite
A which expires November 30, 2026.

 

3. Commencement
Date. The lease on Suite B shall commence thirty (30) days following delivery of Suite B to Lessee
(“Commencement Date”). Lessee shall have rent-free early occupancy of Suite B during that 30 days to set
up its FF&E and prepare Suite B for its use and store its materials in Suite B. The CAM charges on Suite B will remain
due during said 30 days. Lessor shall use commercially reasonable efforts to deliver Suite B and start such early occupancy
by April 1, 2020.

 

4.
Base Rent. The Base Rent on Suite A and Suite B shall be $0.93 per rentable square foot per month per the existing Lease
and shall increase by three percent (3%) on each August 1st per the existing Lease.

 

5.
Operating Expenses. Pursuant to the Lease, the Lessee’s share shall be increased to 100%. The Operating Expenses
on Suite B will be due upon delivery of Suite B to Lessee and shall not be abated prior to Commencement Date.

 

6.
Lessee Improvements. Lessor shall perform the following improvements in Suite B: (1) remove the furniture and housewares
from the residential unit, and (2) thoroughly clean the office and residential unit portions. Lessee shall accept the remainder
of Suite B in its as-is condition.

 

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7.
Building Condition. Lessor, at Lessor’s sole cost, shall complete the required repairs to the roof and skylights
in Suite A as soon as commercially reasonable and shall provide that the roof, HVAC systems, electrical, lighting, fire sprinkler
and plumbing systems serving and within Suite B are in good working order.

 

8.
Office Furniture. Lessor shall leave the office furniture in Suite B for Lessee’s use and subject to terms of and
execution of Bill of Sale, Lessee shall purchase existing furniture for a total of

$8,300
which shall consist of 4 desks and matching chair hutches reception counter, etc. for $5,000 and eleven (11) chairs for
$3,300.

 

9.
Parking. Lessee shall have the right to all parking allocated to the Building, approximately 190 spaces.

 

10.
Security Deposit. Lessor currently holds $169,695.84 as Security Deposit which shall remain sufficient security for the
Lease.

 

11.
Payment to Brokers. Lessor shall pay a leasing commission to Hughes Marino (the “Broker”) of four percent
(4%) of the aggregate Rent on Suite B for months 1-48 and two percent (2%) for any additional fixed term thereafter (“Broker
Payment”). Subject to agreement by Broker, payment of such commission shall
not be due from Lessor until six (6) months after Commencement Date. Lessor shall be solely liable for all fees due to Broker
under the Lease, including the Broker Payment.

 

12.
Representations. Each party represents and warrants to the other that: (a) it is properly formed and validly existing under
the laws of the state in which it is formed and with respect to Lessee only, is authorized to transact business in the state in
which the Building is located; (b) it has full right and authority to enter into this Amendment and to perform all of its obligations
hereunder (; and (c) each person (and both persons if more than one signs) signing this Amendment on behalf of such party is duly
and validly authorized to do so.

 

13.
No Defaults. Lessee hereby represents and warrants to Lessor that, to Lessee’s current actual knowledge, as of the
date of this Amendment, Lessee is in full compliance with all terms, covenants and conditions of the Lease and that there are
no breaches or defaults under the Lease by Lessor or Lessee, and that Lessee knows of no events or circumstances which, given
the passage of time, would constitute a default under the Lease by either Lessor or Lessee. Lessor hereby warrants and represents
to Lessee that, to Lessor’s current actual knowledge, (a) Lessor is in full compliance with all terms, covenants and conditions
of the Lease and that there are no breaches or defaults under the Lease by Lessor or Lessee, and that Lessor knows of no events
or circumstances which, given the passage of time, would constitute a default under the Lease by either Lessor or Lessee; (b)
the Master Lease (“Master Lease”) between Lessor and Darren D. Chocholek Trust (“Master Lessor”)
is in full force and effect and Lessor has no knowledge of any claim by Lessor that Lessor is in default or breach of any provisions
of the Master Lease, (c) Lessor is in full compliance with all terms, covenants and conditions of the Master Lease and that there
are no breaches or defaults under the Master Lease by Lessor or Master Lessor, and (d) that Lessor knows of no events or circumstances
which, given the passage of time, would constitute a default under the Master Lease by either Lessor or Master Lessor.

 

14.
No Further Modification. Except as set forth in this Amendment, the Lease shall remain unmodified and in full force and
effect. Effective as of the date hereof, unless context provide otherwise, all references to the “Premises,” “Building”
and “Project” in the Lease shall refer to Suite A and Suite B.

 

15.
Counterparts. This Amendment may be executed by the parties hereto in separate counterparts, each of which when so executed
and delivered shall be deemed an original, but all such counterparts shall together constitute one and the same agreement. The
parties agree that execution of this Amendment exchanging facsimile, PDF, or e-Signature (as defined below) signatures shall have
the same legal force and effect as the exchange of original signatures. Pursuant to this Amendment, e-Signatures shall mean a
signature that consists of one or more letters, characters, numbers or other symbols in digital form incorporated in, attached
to or associated with the electronic document, that (i) is unique to the person making the signature; (ii) the technology or process
used to make the signature is under the sole control of the person making the signature;
(iii) the technology or process can be used to identify the person using the technology or process; and (iv) the electronic signature
can be linked with an electronic document in such a way that it can be used to determine whether the electronic document has been
changed since the electronic signature was incorporated in, attached to or associated with the electronic document. The written
form shall be required to make changes to this clause as well.

 

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IN
WITNESS WHEREOF, this Amendment has been executed as of the day and year first above written.

 

	 	“Lessor”
	 	 	 
	 	ACCUTEK,
	 	a
    Delaware corporation
	 	 	 
	 	By:	/s/
    Darren Chocholek
	 	Print
    Name:	Darren
    Chocholek 
	 	Title:	Pres/CEO
    
	 	 	 
	 	“Lessee”
	 	 	 
	 	FLUX
    POWER, INC.,
	 	a
    California corporation
	 	 	 
	 	By:	/s/
    Chuck Scheiwe 
	 	Print
    Name:	Chuck
    Scheiwe 
	 	Title:	CFO
    

 

    	 	3Exhibit

Exhibit 4.1
CNB FINANCIAL CORPORATION
DESCRIPTION OF COMMON STOCK
 
The following description is a general summary of the terms of our common stock. The description below does not purport to be complete and is subject to and qualified in its entirety by reference to our Second Amended and Restated Articles of Incorporation (the “Charter”) and Second Amended and Restated Bylaws (the “Bylaws”), copies of which are filed as exhibits to the Annual Report on Form 10-K of which this Exhibit 4.1 is part of. The description below does not contain all of the information that you might find useful or that might be important to you. You should refer to the provisions of our Charter and Bylaws because they, and not the summaries, define the rights of holders of shares of our common stock. 
 
General 

Our Charter authorizes us to issue 50,000,000 shares of stock, no par value. As of March 3, 2020, there were 15,397,117 shares of common stock issued and outstanding and there were no outstanding options exercisable for shares of our common stock. 

Each share of our common stock has the same relative rights and is identical in all respects to each other share of our common stock. Our common stock is non-withdrawable capital, is not of an insurable type and is not insured by the Federal Deposit Insurance Corporation or any other governmental entity. 

Voting Rights 

Holders of our common stock are entitled to one vote per share on each matter properly submitted to shareholders for their vote, including the election of directors. Holders of our common stock do not have the right to cumulate their votes for the election of directors. Subject to certain exceptions, whenever any corporate action is to be taken by a vote of the shareholders, it will be authorized by the affirmative vote of a majority of the votes cast by all shareholders entitled to vote thereon. Directors receiving the highest number of votes shall be elected. 

Liquidation Rights 

The holders of our common stock, together with the holders of any class or series of stock entitled to participate with the holders of our common stock in the distribution of assets in the event of any liquidation, dissolution or winding-up of us, whether voluntary or involuntary, will be entitled to participate equally in the distribution of any of our assets remaining after we have paid, or provided for the payment of, all of our debts and liabilities and after we have paid, or set aside for payment to, the holders of any class of stock having preference over the common stock in the event of a liquidation, dissolution or winding-up the full preferential amounts to which they are entitled. 

Dividends 

The holders of our common stock and any class or series of stock entitled to participate with the holders of our common stock are entitled to receive dividends declared by our board of directors out of any assets legally available for distribution. We may not pay dividends or other distributions unless we have paid, declared or set aside all accumulated dividends and any sinking fund, retirement fund or other retirement payments on any class of stock having preference as to payments of dividends over our common stock. As a holding company, our ability to pay distributions is affected by the ability of our subsidiaries to pay dividends. The ability of our bank subsidiary, and our ability, to pay dividends in the future is, and could in the future be further, influenced by bank regulatory requirements and capital guidelines. 

Miscellaneous 

The holders of our common stock have no preemptive or conversion rights for any shares that may be issued. Our common stock is not subject to additional calls or assessments, and all shares of our common stock currently outstanding are fully paid and nonassessable. All shares of common stock offered, or issuable upon conversion, exchange or exercise of any convertible securities, will, when issued, be fully paid and nonassessable, which means that the full purchase price of the shares will have been paid and the holders of the shares will not be assessed any additional monies for the shares. 

1

Certain Important Charter Provisions 

Our Bylaws provide for the division of our board of directors into three classes of directors, each class as nearly as equal as possible, with each serving staggered terms. Any amendment to our Bylaws must be approved by the affirmative vote of a majority of the votes cast by all shareholders entitled to vote thereon and, if any shareholders are entitled to vote thereon as a class, upon receiving the affirmative vote of a majority of the votes cast by the shareholders entitled to vote as a class. Additionally, our Charter provides that the affirmative vote of at least 66% of the outstanding shares of each class entitled to vote is required to effect business combinations. 

Some of the foregoing provisions may have the effect of deterring hostile takeovers or delaying changes in control or management of us. 

Since the terms of our Charter and Bylaws may differ from the general information we are providing, you should only rely on the actual provisions of our Charter and Bylaws. If you would like to read our Charter and Bylaws, copies are filed as exhibits to this Annual Report on Form 10-K. 

NASDAQ Stock Market Listing 

Our common stock is traded on the NASDAQ Stock Market under the symbol “CCNE.” 

Transfer Agent and Registrar 

The transfer agent and registrar for our common stock is American Stock Transfer & Trust Company, LLC. 

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