Document:

SEVERANCE AGREEMENT

 

This SEVERANCE AGREEMENT
(this “Agreement”) is entered into as of December 20, 2011 by and among LY RETAIL, LLC, a Texas limited liability
company (the “Company”), TOP GEAR INC., a corporation organized under the laws of Delaware and parent of the
Company (the “Parent”) and KEVIN WALKER (“Employee”). The Parent and Company are collectively
referred to herein as the “Luxeyard Parties” and each as a “Luxeyard Party.” The Company,
Parent and Employee are collectively referred to herein as the “Parties” and each as a “Party.”

 

RECITALS

 

WHEREAS, Employee serves
as the Chief Financial Officer, Chief Operating Officer and Secretary of each of the Luxeyard Parties; and

 

WHEREAS, the Employee is
employed by each of the Luxeyard Parties on an at-will basis;

 

WHEREAS, each of the Luxeyard
Parties have decided to terminate Employee’s employment relationship with the Luxeyard Parties, and the Parties desire to
resolve, fully and finally, all outstanding matters between them.

 

NOW, THEREFORE, in consideration
of the foregoing premises, and the 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.          Recitals.
The Parties each acknowledge that the Recitals set forth above are true and accurate. Each of the Recitals is incorporated into
this Agreement by reference and is made a part hereof.

 

2.          Separation.
Effective immediately upon the execution of this Agreement by the Parties (the “Effective Time”) Employee shall
no longer be an employee of any Luxeyard Party or any Affiliate of any Luxeyard Party. For purposes of this Agreement, “Affiliate”
shall have the meaning set forth in Rule 12b-2 under the Securities Exchange Act of 1934, as amended, or any successor provision
thereto.

 

    	 

    	 

    

 

3.          Separation
Pay and Benefits. Following the Effective Time, Employee shall be entitled to receive from the Company (to the extent permitted
by applicable law): (i) any unpaid base salary accrued up to and including the Effective Time, payable in accordance with the Company’s
customary payroll procedures, (ii) any unreimbursed business expenses to which Employee is entitled to reimbursement under the
Company’s expense reimbursement policy, payable in accordance with such policy, and (iii) a severance payment (the “Severance
Payment”) equal to three months of Employee’s base salary as of the Effective Time, payable in three (3) installments
of Thirteen Thousand Three Hundred Thirty Three Dollars and Thirty-Three Cents ($13,333.33) on the following dates: i) no later
than two (2) business days from the full-execution of this Agreement; ii) February 1, 2012 and March 1, 2012. Notwithstanding the
foregoing, the Parties agree and acknowledge that the first payment referenced hereinabove will be reduce by One Thousand Eight
Hundred Eighteen Dollars ($1,818.00) which is equal to the three (3) days of additional pay that Employee received in Employee’s
last paycheck. The amounts will be paid to Employee’s consulting company Walker Holdings, LLC. In addition Employee will
keep Employee’s personal laptop and docking station. In addition, at the Effective Time, the Employee will be granted a nonstatutory
stock option to purchase 23,530 shares of the Parent’s common stock, par value $0.0001 per share (“Common Stock”),
at an exercise price per share equal to one hundred percent (100%) of the fair market value of a share of the Parent’s Common
Stock on the date of grant (the “Option”). The Option will be evidenced by an agreement between the Parent and
the Employee substantially in the form attached hereto as Annex A (the “Option Agreement”). The Parent
anticipates that it will conduct a 1:17 forward split of its Common Stock (the “Forward Split”) in which event
the then number of shares of Common Stock underlying the then unexercised portion of the Option shall adjust to 400,010 shares
and the exercise price thereof shall adjust accordingly as of the effectiveness of such Forward Split. The Lock-Up Agreement dated
November 8, 2011 by and between the Parent and Employee and is hereby incorporated by reference to this Agreement and is hereby
made part this Agreement (the “Lock-Up Agreement”) shall remain in full force and effect following the Effective
Time.

 

4.          Releases.

 

(a)          Employee
on behalf of himself and his heirs, personal representatives, successors, assigns and all others claiming through or under him,
for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, does hereby release, acquit,
and forever discharge each of the Luxeyard Parties and their respective past, current or future Affiliates, employees, officers,
directors, members, managers, shareholders, agents, consultants, counselor representatives, and their respective successors and
assigns (collectively, the “Luxeyard Releasees”), and each of them, of and from any and all obligations, claims,
debts, demands, covenants, contracts, promises, agreements, liabilities, controversies, costs, expenses, attorneys’ fees,
actions or causes of action of any nature whatsoever, in law or in equity, whether known or unknown, foreseen or unforeseen, accrued
or not accrued, direct or indirect, which Employee ever had, now has, or can, shall or may have, up to the Effective Time, against
the Luxeyard Releasees, or any of them, either alone or in combination with others.

 

There is a risk
that subsequent to the execution of this Agreement that Employee will incur or suffer loss, damage or injuries which are unknown
and unanticipated at the Effective Time. Employee does hereby assume the above-mentioned risk and agrees that this Agreement shall
apply to all unknown or anticipated results as well known and anticipated results. Upon the advice of legal counsel Employee expressly
waives and relinquishes all rights and benefits afforded by Section 1542 of the California Civil Code (“Section 1542”),
and does so understanding and acknowledging the significance and consequence of such specific waiver of Section 1542. Section 1542
states as follows:

 

			“A general release does not extend to claims which the creditor does not know or suspect
to exist in his or her favor at the time of executing the release, which if known by him or her must have materially affected his
or her settlement with the debtor.”

 

    	 

    	 

    

  

Thus, notwithstanding the
provisions of Section 1542, and for the purpose of implementing a full and complete release and discharge of each and all of the
Luxeyard Releasees, Employee expressly acknowledges that this Agreement is intended to include in its effect, without limitation,
all claims which Employee does not know or suspect to exist in Employee’s favor at the time of execution hereof, and that
this Agreement contemplates the extinguishment of any such claim(s).

 

(b)          The
Luxeyard Parties on behalf of themselves and their respective successors and assigns and all others claiming through or under them,
for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, do hereby release, acquit, and
forever discharge Employee and his successors and assigns (collectively, the “Employee Releasees”), and each
of them, of and from any and all obligations, claims, debts, demands, covenants, contracts, promises, agreements, liabilities,
controversies, costs, expenses, attorneys’ fees, actions or causes of action of any nature whatsoever, in law or in equity,
whether known or unknown, foreseen or unforeseen, accrued or not accrued, direct or indirect, which either of the Luxeyard Parties
ever had, now have, or can, shall or may have, up to the Effective Time, against the Employee Releasees, or any of them, either
alone or in combination with others.

 

5.          Representations
of the Company. Each of the Luxeyard Parties, severally and not jointly, represents and warrants to Employee as follows:

 

(a)          Authorization.
All action on the part of such Luxeyard Party necessary for the authorization, execution and delivery of this Agreement and the
performance of all obligations of such Luxeyard Party hereunder has been taken. This Agreement, when executed and delivered by
such Luxeyard Party will constitute a valid and legally binding obligation of such Luxeyard Party enforceable against such Luxeyard
Party in accordance with its terms.

 

(b)          No
Conflicts; Advice. Neither the execution and delivery of this Agreement, nor the consummation of the transactions contemplated
hereby, does or will violate any constitution, statute, regulation, rule, injunction, judgment, order, decree, ruling, charge or
other restriction of any government, governmental agency, or court to which such Luxeyard Party is subject or any provision of
its organizational documents or other similar governing instruments, or conflict with, violate or constitute a default under any
agreement, credit facility, debt or other instrument or understanding to which such Luxeyard Party is a party. The Luxeyard Parties
have consulted such legal, tax and investment advisors as they, in their sole discretion, have deemed necessary or appropriate
in connection with the transactions contemplated hereby.

 

(c)          Consents.
No authorization, consent, approval or other order of, or declaration to or filing with, any governmental agency or body or other
person is required for the valid authorization, execution, delivery and performance by such Luxeyard Party of this Agreement and
the consummation of the transactions contemplated hereby.

 

6.          Representations
of Employee. Employee represents and warrants to each of the Luxeyard Parties as follows:

 

    	 

    	 

    

 

(a)          Authorization.
All action on the part of Employee, necessary for the authorization, execution and delivery of this Agreement and the performance
of all obligations of the Employee hereunder has been taken. This Agreement, when executed and delivered by Employee, will constitute
a valid and legally binding obligation of Employee, enforceable against Employee in accordance with its terms.

 

(b)          No
Conflicts; Advice. Neither the execution and delivery of this Agreement, nor the consummation of the transactions contemplated
hereby, does or will violate any constitution, statute, regulation, rule, injunction, judgment, order, decree, ruling, charge or
other restriction of any government, governmental agency, or court to which Employee is subject or any provision of its organizational
documents or other similar governing instruments, or conflict with, violate or constitute a default under any agreement, credit
facility, debt or other instrument or understanding to which Employee is a party. Employee has consulted such legal, tax and investment
advisors as it, in its sole discretion, has deemed necessary or appropriate in connection with the transactions contemplated hereby.

 

(c)          Consents.
No authorization, consent, approval or other order of, or declaration to or filing with, any governmental agency or body or other
person is required for the valid authorization, execution, delivery and performance by Employee of this Agreement and the consummation
of the transactions contemplated hereby.

 

7.          Non-Disparagement.
Following the date of the Effective Time, (i) Employee will not make or cause to be made any statements or remarks (including,
without limitation, the repetition or distribution of disparaging, derogatory or damaging rumors, allegations, negative reports
or comments), whether written, electronic or oral, that are directly or indirectly disparaging, derogatory or damaging to any Luxeyard
Party or any of their respective past, current or future Affiliates, officers, directors, shareholders, employees, consultants,
advisors, representatives, trustees, subsidiaries, divisions, parent companies, clients or customers or their policies and procedures,
business, practices or financial condition; and (ii) none of the Luxeyard Parties will make or cause to be made any statements
or remarks (including, without limitation, the repetition or distribution of disparaging, derogatory or damaging rumors, allegations,
negative reports or comments), whether written, electronic or oral, that are directly or indirectly disparaging, derogatory or
damaging to the Employee; provided, however, that the foregoing restrictions shall not apply to any statements by Employee or by
any Luxeyard Party that are made truthfully in response to a subpoena or as otherwise required by applicable law or other compulsory
legal process, or those made in the context of a confidential professional relationship such as between the Parties and legal counsel,
accountants and/or financial advisors.

 

    	 

    	 

    

 

8.          Confidentiality.
The Luxeyard Parties have provided Employee with access to, and have confided in the Employee, information, business methods and
systems, techniques and methods of operation developed at great expense by the Luxeyard Parties and which are assets of the Luxeyard
Parties. Employee recognizes and acknowledges that: (i) all Confidential Information (defined below) is the property of the Luxeyard
Parties 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 Employee of the Confidential Information would constitute a breach of trust and
would cause serious irreparable injury to the Luxeyard Parties; and (iii) it is essential to the protection of the Luxeyard Parties’
goodwill and to the maintenance of the Luxeyard Parties’ competitive position that the Confidential Information be kept secret
and that Employee not disclose the Confidential Information to others or use same to his own advantage or to the advantage of others.
Accordingly, Employee shall not, 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 any Luxeyard Party, including, but not
limited to, information relating to any Luxeyard Party’s business methods, strategies, policies, procedures, techniques,
research, historical or projected financial information, budgets, trade secrets, sales, costs, client lists, client preferences,
client identities, marketing materials, investment strategies, systems, computer programs, or the business affairs and financial
condition of any Luxeyard Party, or any client, supplier or subscriber of any Luxeyard Party, (collectively “Confidential
Information”), except for (i) such disclosures where required by law, but only after written notice to the Luxeyard Parties
detailing the circumstances and legal requirement for the disclosure; or (ii) such disclosures where such information was at the
time of disclosure to Employee or thereafter became public acknowledge through no fault or omission of Employee. For purposes of
the definition of “Confidential Information,” Luxeyard Parties and Luxeyard Party include any Affiliate thereof.

 

9.          Further
Assurances. Each Party hereby agrees and provides further assurances that it will, in the future, execute and deliver any and
all further agreements, certificates, instruments and documents and do and perform or cause to be done and performed, all acts
and things as may be necessary or appropriate to carry out the intent and accomplish the purposes of this Agreement.

 

10.         Expenses.
Each Party shall pay the fees and expenses of such Party’s advisers, counsel, accountants and other experts, if any, and
all other expenses incurred by such Party incident to the negotiation, preparation, execution, delivery and performance of this
Agreement, and shall hold the other Party hereto harmless against, any liability, loss or expense (including, without limitation,
reasonable attorneys’ fees and out-of-pocket expenses) arising in connection with any claim for such fees and expenses.

 

11.         Notices.
Any notice or required or permitted by this Agreement shall be in writing and shall be deemed sufficient when delivered personally,
or by electronic delivery in PDF format (followed by first-class mail), or seventy two (72) hours after being deposited in the
U.S. mail, as certified or registered mail, with postage prepaid, and addressed to the Party to be notified at such Party’s
address or as subsequently modified by written notice.

 

If to the Parent or Company
to:

 

	 	LY Retail LLC d/b/a Luxeyard.com
	 	4063 Glencoe Avenue, Suite A
	 	Marina Del Rey, California 90292
	 	Attention: Braden Richter, Chief Executive Officer
	 	Telephone No.: 323-855-7044
	 	Fax No.:	 	 
	 	Email: brichter@luxeyard.com

 

    	 

    	 

    

 

If to the Employee to:

 

	 	4614 Waterbury Dr.
	 	Clarkston, MI 48348
	 	Telephone No.: 248-730-5805
	 	Fax No.:	 	 
	 	Email: kwalkersb@gmail.com

 

12.         Counterparts.
This Agreement may be executed via facsimile in one or more counterparts and transmitted via facsimile or PDF, each of which shall
be deemed an original, but all of which together shall constitute one and the same instrument. When counterparts of copies have
been executed by all Parties, they shall have the same effect as if the signatures to each counterpart or copy were upon the same
document and copies of such documents shall be deemed valid as originals.

 

13.         Severability.
If any provision of this Agreement is held to be invalid or unenforceable in any respect, the validity and enforceability of the
remaining terms and provisions of this Agreement shall not in any way be affected or impaired hereby and the Parties will attempt
to agree upon a valid and enforceable provision that is a reasonable substitute therefor, and upon so agreeing, shall incorporate
such substitute provision in this Agreement.

 

14.         Entire
Agreement. This Agreement represents the entire agreement of the Parties hereto with respect to the matters contemplated hereby,
and there are no written or oral representations, warranties, understandings or agreements with respect hereto except the Option
Agreement and Lock-Up Agreement or as otherwise expressly set forth herein.

 

15.         Amendments;
Waivers. No provision of this Agreement may be waived or amended except in a written instrument signed, in the case of an amendment,
by each Party or, in the case of a waiver, by the Party against whom enforcement of any such waiver is sought. The waiver by any
Party hereto of a breach of any provision of this Agreement shall not operate or be construed as a waiver of any subsequent breach.

 

16.         Successors
and Assigns. This Agreement shall be binding on and inure to the benefit of the Parties hereto and their respective successors,
heirs, personal representatives, and permitted assigns.

 

17.         Governing
Law; Dispute Resolution. This Agreement shall be construed and interpreted under the laws of the State of California governing
agreements which are wholly made and performed therein, as this Agreement is deemed to be, without giving any effect to any choice
or conflict or conflict of law provision or rule (whether of the State of California or any other jurisdiction) that would cause
the application of the laws of any jurisdiction other than the State of California. Any controversy or claim arising out of or
relating to this Agreement, its enforcement, arbitrability or interpretation shall be submitted to final and binding arbitration,
to be held in Los Angeles County, California, before a single arbitrator, in accordance with California Code of Civil Procedure
§§ 1280 et seq. For purposes of venue the Parties agree that the Agreement shall be deemed to have been made in Los Angeles,
California. The arbitrator shall be selected by mutual agreement of the Parties or, if the Parties cannot agree, then by striking
from a list of arbitrators supplied by the American Arbitration Association or JAMS/Endispute. The arbitration shall be a confidential
proceeding, closed to the general public and will use and implement the Federal Rules of Evidence with respect to the entire arbitration
process. The arbitrator shall issue a written opinion stating the essential findings and conclusions upon which the arbitrator’s
award is based. The Parties will share equally in payment of the arbitrator’s fees and arbitration expenses and any other
costs unique to the arbitration hearing (recognizing that each side bears its own deposition, witness, expert and attorneys’
fees and other expenses to the same extent as if the matter were being heard in court).

 

    	 

    	 

    

 

IN WITNESS WHEREOF, the
Parties hereto have caused this Agreement to be executed on the date first written above.

 

	 	Parent:
	 	 
	 	TOP GEAR INC.
	 	 	 
	 	By:	/s/ Braden Richter
	 	Name:	Braden Richter
	 	Title:	Chief Executive Officer
	 	 	 
	 	Company:
	 	 
	 	LY RETAIL, LLC
	 	 	 
	 	By:	/s/ Braden Richter
	 	Name:	Braden Richter
	 	Title:	Chief Executive Officer
	 	 	 
	 	Employee:
	 	 	 
	 	/s/ Kevin Walker
	 	KEVIN WALKER

 

    	 

    	 

    

 

ANNEX A

 

Form of Option Agreement

 

Reference is hereby made to the non-qualified
stock option agreement (the “NQSO Agreement”) dated as of December 20, 2011 between Top Gear, Inc.(“Parent”)
and Kevin Walker (“Employee”).

 

Parent and Employee both agree and acknowledge
that the aforementioned NQSO Agreement is hereby incorporated by reference and is attached to and made part of this Agreement.

 

	Accepted and Agreed:	 	 	 
	 	 	 	 
	TOP GEAR INC.:	 	KEVIN WALKER:
	 	 	 	 	 
	By:	/s/ Braden Richter	 	By:	Kevin Walker
	 	 	 	 	 
	Its:	 	 	 	 

 

    	 

    	 

    

 

ANNEX B

 

Lock-Up Agreement

 

Reference is hereby made to the fully-executed
lock-up agreement (the “Lock-Up Agreement) dated November 8, 2011 by and between Top Gear Inc., a corporation organized under
the laws of Delaware and parent (the “Parent”)of LY RETAIL, LLC, a Texas limited liability company (the “Company”)
and Kevin Walker (“Employee”).

 

Parent/Company and Employee both agree and
acknowledge that the aforementioned Lock-Up Agreement is hereby incorporated by reference and is attached to and made part of this
Agreement.

 

Employee hereby acknowledges that Employee
has a copy of the Lock-Up Agreement for his reference and files.

 

Accepted and Agreed:

 

	TOP GEAR INC.:	 	KEVIN WALKER:
	 	 	 	 	 
	By:	/s/ Braden Richter	 	By:	Kevin Walker
	 	 	 	 	 
	Its:LUXEYARD, INC.

2012 STOCK OPTION PLAN

 

		1.	Purpose. Luxeyard, Inc. (the “Company”) hereby adopts the Luxeyard, Inc.
2012 Stock Option Plan (the “Plan”), effective as of February 24, 2012. The Plan is intended to recognize the
contributions made to the Company by its associates (including associates who are members of the Board of Directors), directors,
consultants and advisors of the Company or any Affiliate, to provide such persons with additional incentive to devote themselves
to the future success of the Company or an Affiliate, and to improve the ability of the Company or an Affiliate to attract, retain,
and motivate individuals upon whom the Company’s sustained growth and financial success depend, by providing such persons
with an opportunity to acquire or increase their proprietary interest in the Company. To this end, the Plan provides for the grant
of stock options. Stock options granted under the Plan may be Non-Qualified Stock Options or ISOs, as provided herein, except that
stock options granted to outside directors and any consultants or advisers providing services to the Company or an Affiliate shall
in all cases be Non-Qualified Stock Options.

 

		2.	Definitions. Unless the context clearly indicates otherwise, the following terms shall have
the following meanings:

 

		A.	“280G Cutback” shall have the meaning set forth in Section 16.

 

		B.	“Affiliate” means a corporation that is a parent corporation or a subsidiary
corporation with respect to the Company within the meaning of Section 424(e) or (f) of the Code.

 

		C.	“Benefit Agreement” shall have the meaning set forth in Section 16.

 

		D.	“Board of Directors” means the Board of Directors of the Company.

 

		E.	“Change of Control” shall have the meaning as set forth in Section 9.

 

		F.	“Code” means the Internal Revenue Code of 1986, as amended.

 

		G.	“Committee” shall have the meaning set forth in Section 3.A.

 

		H.	“Common Stock” means the Common Stock, $.001 par value per share, of the Company.

 

		I.	“Company” shall have the meaning set forth in Section 1.

 

		J.	“Disability” shall have the meaning set forth in Section 22(e)(3) of the Code.

 

		K.	“Exchange Act” means the Securities Exchange Act of 1934, as amended.

 

    	 

    	 

    

  

		L.	“Fair Market Value” shall have the meaning set forth in Section 8.B.

 

		M.	“Good Reason” shall have the meaning set forth in the Optionee’s employment
agreement with the Company.

 

		N.	“Grant Date” means the date an Option is granted under the Plan.

 

		O.	“ISO” means an Option granted under the Plan that meets the requirements to
qualify as an “incentive stock option” within the meaning of Section 422(b) of the Code and that is not designated
as a Non-Qualified Stock Option.

 

		P.	“Non-Qualified Stock Option” means an Option granted under the Plan that is
designated as a Non-Qualified Stock Option, or otherwise does not qualify, as an ISO within the meaning of Section 422(b) of the
Code.

 

		Q.	“Normal Retirement” shall mean, with respect to a person, the termination of
such person's employment with the Company and its subsidiary by reason of retirement at any time on or after the date on which
the person reaches age 65 if the person is employed in the United States or such other age as provided for by the board of directors
as the normal retirement age in the country where the person is employed.

 

		R.	“Option” means either an ISO or a Non-Qualified Stock Option granted under the
Plan.

 

		S.	“Optionee” means a person to whom an Option has been granted under the Plan,
which Option has not been exercised and has not expired or terminated.

 

		T.	“Option Document” means the document described in Section 8 that sets forth
the terms and conditions of each grant of Options.

 

		U.	“Option Price” means the price at which Shares may be purchased upon exercise
of an Option, as calculated pursuant to Section 8.B.

 

		V.	“Other Agreement” shall have the meaning set forth in Section 16.

 

		W.	“Parachute Payment” shall have the meaning set forth in Section 16.

 

		X.	“Plan” shall have the meaning set forth in Section 1.

 

		Y.	“Section 409A” shall have the meaning set forth in Section 17.

 

		Z.	“Shares” means the shares of Common Stock that are the subject of Options.

 

		AA.	“Surviving Company” shall have the meaning set forth in Section 9.

 

    	2

    	 

    

  

		BB.	“Treasury Regulation” means the Income Tax regulations, including temporary
regulations, promulgated under the Code, as such regulations may be amended from time to time (including corresponding provisions
of succeeding regulations).

 

		3.	Administration of the Plan.

 

		A.	Committee. The Plan shall be administered by the Board of Directors, or, in the discretion
of the Board of Directors, by a committee composed of two (2) or more of the members of the Board of Directors. To the extent possible,
and to the extent the Board of Directors deems it necessary or appropriate, each member of the Committee shall be a non- employee
director (as such term is defined in Rule 16b-3 promulgated under the Exchange Act) and an outside director (as such term is defined
in Treasury Regulations Section 1.162-27 promulgated under the Code); however, the Board of Directors may designate two or more
committees to operate and administer the Plan in its stead. Any of such committees designated by the Board of Directors is referred
to as the “Committee,” and, to the extent that the Plan is administered by the Board of Directors, “Committee”
shall also refer to the Board of Directors as appropriate in the particular context. The Board of Directors may from time to time
remove members from or add members to the Committee. Vacancies on the Committee, however caused, shall be filled by the Board of
Directors.

 

		B.	Meetings. The Committee shall hold meetings at such times and places as it may determine.
Acts approved at a meeting by a majority of the members of the Committee or acts approved in writing by the unanimous consent of
the members of the Committee shall be the valid acts of the Committee.

 

		C.	Grants. The Committee shall from time to time at its discretion direct the Company to grant
Options pursuant to the terms of the Plan. The Committee shall have plenary authority to (i) determine the Optionees to whom and
the times at which Options shall be granted, (ii) determine the price at which Options shall be granted, (iii) determine the type
of Option to be granted and the number of Shares subject thereto and (iv) approve the form and terms and conditions of the Option
Documents; all subject, however, to the express provisions of the Plan. In making such determinations, the Committee may take into
account the nature of the Optionee’s services and responsibilities, the Optionee’s present and potential contribution
to the Company’s success and such other factors as it may deem relevant. The interpretation and construction by the Committee
of any provisions of the Plan or of any Option granted under it shall be final, binding and conclusive.

 

    	3

    	 

    

  

		D.	Exculpation. No member of the Committee shall be personally liable for monetary damages
as such for any action taken or any failure to take any action in connection with the administration of the Plan or the granting
of Options thereunder unless (i) the member of the Committee has breached or failed to perform the duties of his or her office,
and (ii) the breach or failure to perform constitutes self-dealing, willful misconduct or recklessness; provided, however, that
the provisions of this Section 3.D shall not apply to the responsibility or liability of a member of the Committee pursuant to
any criminal statute or to the liability of a member of the Committee for the payment of taxes pursuant to local, state or federal
law.

 

		E.	Indemnification. Service on the Committee shall constitute service as a member of the Board
of Directors. Each member of the Committee shall be entitled without further act on his or her part to indemnity from the Company
to the fullest extent provided by applicable law and the Company’s Articles of Incorporation and/or Bylaws in connection
with or arising out of any action, suit or proceeding with respect to the administration of the Plan or the granting of Options
thereunder in which he or she may be involved by reason of his or her being or having been a member of the Committee, whether or
not he or she continues to be such member of the Committee at the time of the action, suit or proceeding.

 

		4.	Grants of Options under the Plan. A Non-Qualified Stock Option is an award in the form of
an option to purchase shares of the Company’s Common Stock and that is designated as a Non-Qualified Stock Option or that
otherwise does not qualify as an ISO. An ISO is an award in the form of an option to purchase shares of the Company’s Common
Stock that meets the requirements of Code Section 422, or any successor section of the Code and that is not designated as a Non-Qualified
Stock Option. Grants of Options under the Plan may be in the form of a Non-Qualified Stock Option, an ISO or a combination thereof,
at the discretion of the Committee.

 

		5.	Eligibility. All employees (including employees who are members of the Board of Directors
or its Affiliates), directors, consultants and advisors of the Company or its Affiliates shall be eligible to receive Options hereunder;
provided, that only employees of the Company or its Affiliates shall be eligible to receive ISOs. The Committee, in its sole discretion,
shall determine whether an individual qualifies as an employee of the Company or its Affiliates.

 

		6.	Shares Subject to Plan.

 

		A.	The aggregate maximum number of Shares for which Options may be granted pursuant to the Plan is
13,005,000 adjusted as provided in Section 11. The Shares shall be issued from authorized and unissued Common Stock or Common Stock
held in or hereafter acquired for the treasury of the Company. If an Option terminates or expires without having been fully exercised
for any reason, or if any Option is canceled or forfeited for any reason, the Shares for which the Option was not exercised or
that were canceled or forfeited may again be the subject of an Option granted pursuant to the Plan.

 

    	4

    	 

    

 

		B.	Shares covered by an Option shall be counted as used as of the Grant Date. Any Shares that are
subject to Options shall be counted against the limit set forth in Section 6.A one (1) Share for every one (1) Share subject to
an Option. If any Shares covered Option granted under the Plan are not purchased or are forfeited or expire, or if an Option otherwise
terminates without delivery of any Common Stock subject thereto or is settled in cash in lieu of shares, then the number of Shares
counted against the aggregate number of Shares available under the Plan with respect to such Option shall, to the extent of any
such forfeiture, termination or expiration, again be available for granting Options under the Plan in the same amount as such Shares
were counted against the limit set forth in this section.

 

		7.	Term of the Plan. No Option may be granted under the Plan after February 23, 2022.

 

		8.	Option Documents and Terms. Each Option granted under the Plan shall be a Non-Qualified
Stock Option unless the Option shall be specifically designated at the time of grant to be an ISO. Options granted pursuant to
the Plan shall be evidenced by the Option Documents in such form as the Committee shall from time to time approve, which Option
Documents shall comply with and be subject to the following terms and conditions and such other terms and conditions as the Committee
shall from time to time require that are not inconsistent with the terms of the Plan.

 

		A.	Number of Option Shares. Each Option Document shall state the number of Shares to which
it pertains. An Optionee may receive more than one Option, which may include Options that are intended to be ISOs and Options that
are not intended to be ISOs, but only on the terms and subject to the conditions and restrictions of the Plan. The maximum number
of Shares for which Options may be granted to any single Optionee in any fiscal year, adjusted as provided in Section 11, shall
be 3,251,250 Shares.

 

		B.	Option Price. Each Option Document shall state the Option Price that, for all Options, shall
be at least 100% of the Fair Market Value of the Shares at the time the Option is granted as determined by the Committee in accordance
with this Section 8.B; provided, however, that if an ISO is granted to an Optionee who then owns, directly or by attribution under
Section 424(d) of the Code, shares of capital stock of the Company possessing more than 10% of the total combined voting power
of all classes of stock of the Company or an Affiliate, then the Option Price shall be at least 110% of the Fair Market Value of
the Shares at the time the Option is granted. If the Common Stock is traded in a public market, then the Fair Market Value per
Share shall be, if the Common Stock is listed on a national securities exchange or included in the NASDAQ National Market System,
the last reported sale price per share thereof on the relevant date, or, if the Common Stock is not so listed or included, the
mean between the last reported “bid” and “asked” prices per share thereof, as reported on NASDAQ or, if
not so reported, as reported by the National Daily Quotation Bureau, Inc., or as reported in a customary financial reporting service,
as applicable and as the Committee determines, on the relevant date. If the Common Stock is not traded in a public market on the
relevant date, the Fair Market Value shall be as determined in good faith by the Committee.

 

    	5

    	 

    

 

		C.	Vesting
	 	 	 
	 	 	 Each Option
shall be evidenced by a written agreement executed on behalf of the Company (“Option Agreement”) which shall
contain such terms and conditions as may be approved by the board of directors or the stock plan administrator. The terms and conditions
of the respective Option Agreements need not be identical. Any question as to the interpretation of any provision of an Option
Agreement, including the determination of the existence or nonexistence of a specified condition or circumstance, shall be determined
by the board, and its determination shall be final. Vesting of options shall be specified in the written agreement. Options shall
vest immediately upon an individual’s disability or upon the individual’s normal retirement.

The
board of directors or stock plan administrator may at any time and from time to time, in its sole discretion, accelerate the time
at which an Option then outstanding may be exercised. Any such action by the board may vary among individual Optionees and may
vary among Options held by any individual Optionee.

 

		D.	Exercise. No Option shall be deemed to have been exercised prior to the receipt by the Company
of written notice of such exercise and of payment in full of the Option Price for the Shares to be purchased. Each such notice
shall specify the number of Shares to be purchased. Notwithstanding the foregoing, if the Company determines that issuance of Shares
should be delayed pending (i) registration under federal or state securities laws, (ii) the receipt of an opinion that an appropriate
exemption from such registration is available, (iii) the listing or inclusion of the Shares on any securities exchange or in an
automated quotation system or (iv) the consent or approval of any governmental regulatory body whose consent or approval is necessary
in connection with the issuance of such Shares, the Company may defer exercise of any Option granted hereunder until any of the
events described in this Section 8.C has occurred.

 

    	6

    	 

    

 

		E.	Medium of Payment.

 

		(i)	An Optionee shall pay for Shares (a) in cash, (b) by certified check payable to the order of the
Company, or (c) by such other mode of payment as the Committee may approve, including, without limitation, payment through a broker
in accordance with procedures permitted by Regulation T of the Federal Reserve Board. Furthermore, the Committee may provide in
an Option Document that payment may be made in whole or in part in shares of Common Stock held by the Optionee for at least six
months. If payment is made in whole or in part in shares of Common Stock, then the Optionee shall deliver to the Company certificates
registered in the name of such Optionee representing the shares of Common Stock owned by such Optionee, free of all liens, claims
and encumbrances of every kind and having an aggregate Fair Market Value on the date of delivery that is at least as great as the
Option Price of the Shares (or relevant portion thereof) with respect to which such Option is to be exercised by the payment in
shares of Common Stock, accompanied by stock powers duly endorsed in blank by the Optionee. Notwithstanding the foregoing, the
Committee may impose from time to time such limitations and prohibitions on the use of shares of Common Stock to exercise an Option
as it deems appropriate.

 

		(ii)	With respect to an Option only, to the extent permitted by law and to the extent the Option Document
so provides, payment of the Option Price for shares purchased pursuant to the exercise of an Option may be made all or in part
by delivery (on a form acceptable to the Committee) of an irrevocable direction to a licensed securities broker acceptable to the
Company to sell shares of Stock and to deliver all or part of the sales proceeds to the Company in payment of the Option Price
and any withholding taxes described in Section 14.

 

		F.	Termination of Options.

 

		(i)	No Option shall be exercisable after the first to occur of the following:

 

		(a)	Expiration of the Option term specified in the Option Document, which shall not exceed (i) ten
years from the date of grant, or (ii) five years from the date of grant of an ISO if the Optionee on the date of grant owns, directly
or by attribution under Section 424(d) of the Code, shares of capital stock of the Company possessing more than ten percent (10%)
of the total combined voting power of all classes of capital stock of the Company or of an Affiliate;

 

		(b)	Expiration of ninety (90) days from the date the Optionee’s employment or service with the
Company or its Affiliate terminates for any reason other than Disability or death or as otherwise specified in Section 8.E.(i).(d)
or Section 10 below. Notwithstanding the foregoing, in the event that Optionee’s employment is terminated by the Company
without cause or for Good Reason, then all of the unvested but issued options shall immediately vest and be exercisable during
the Term;

 

    	7

    	 

    

 

		(c)	Expiration of ten years from the date the Optionee’s employment or service with the Company
or its Affiliate terminates due to the Optionee’s Disability or death;

 

		(d)	A finding by the Committee, after full consideration of the facts presented on behalf of both the
Company and the Optionee, that the Optionee has (i) committed a material and serious breach or neglect of Optionee’s responsibilities
to the Company; (ii) breached his or her employment or service contract with the Company or an Affiliate; (iii) committed a willful
violation or disregard of standards of conduct established by law; committed fraud, willful misconduct, misappropriation of funds
or other dishonesty; (v) been convicted of a crime of moral turpitude; or (vi) accepted employment with another company or performed
work or provided advice to another company, as an employee, consultant or in any other similar capacity, while still an employee
of the Company, then the Option shall terminate on the date of such finding. In such event, in addition to immediate termination
of the Option, the Optionee shall automatically forfeit all Shares for which the Company has not yet delivered the share certificates
upon refund by the Company of the Option Price of such Shares. Notwithstanding anything herein to the contrary, the Company may
withhold delivery of share certificates pending the resolution of any inquiry that could lead to a finding resulting in a forfeiture;
or

 

		(e)	The date, if any, set by the Board of Directors as an accelerated expiration date pursuant to Section
10 hereof.

 

		(ii)	Notwithstanding the foregoing, the Committee may extend the period during which an Option may be
exercised to a date no later than the date of the expiration of the Option term specified in the Option Documents, as they may
be amended, provided that any change pursuant to this Section 8.E.(ii) that would cause an ISO to become a Non-Qualified Stock
Option may be made only with the consent of the Optionee.

 

		(iii)	During the period in which an Option may be exercised after the termination of the Optionee’s
employment or service with the Company or any Affiliate, such Option shall only be exercisable to the extent it was exercisable
immediately prior to such Optionee’s termination of service or employment, except to the extent specifically provided to
the contrary in the applicable Option Document.

 

    	8

    	 

    

 

		G.	Transfers. No Option may be transferred except by will or by the laws of descent and distribution.
During the lifetime of the person to whom an Option is granted, such Option may be exercised only by him or her. Notwithstanding
the foregoing, a Non-Qualified Stock Option may be transferred pursuant to the terms of a “qualified domestic relations order”
within the meaning of Sections 401(a)(13) and 414(p) of the Code or within the meaning of Title I of the Employee Retirement Income
Security Act of 1974, as amended.

 

		H.	Holding Period. No Option may be exercised unless six months, or such greater period of
time as may be specified in the Option Documents, have elapsed from the date of grant.

 

		I.	Limitation on ISO Grants. In no event shall the aggregate Fair Market Value of the Shares
(determined at the time the ISO is granted) with respect to which an ISO is exercisable for the first time by the Optionee during
any calendar year (under all incentive stock option plans of the Company or its Affiliates) exceed $100,000.

 

		J.	Other Provisions. The Option Documents shall contain such other provisions including, without
limitation, provisions authorizing the Committee to accelerate the exercisability of all or any portion of an Option, additional
restrictions upon the exercise of the Option or additional limitations upon the term of the Option, as the Committee shall deem
advisable.

 

		K.	Amendment. The Committee shall have the right to amend Option Documents issued to an Optionee,
subject to the Optionee’s consent if such amendment is not favorable to the Optionee, except that the consent of the Optionee
shall not be required for any amendment made under Section 10.

 

		L.	No Repricing. Notwithstanding anything in this Plan to the contrary, no amendment or modification
may be made to an outstanding Option, including, without limitation, by reducing the exercise price of an Option or replacing an
Option with cash, in each case, without the approval of the stockholders of the Company, provided, that, appropriate adjustments
may be made to outstanding Options pursuant to Section 11 and may be made to make changes to achieve compliance with applicable
law, including Internal Revenue Code Section 409A.

 

    	9

    	 

    

 

		9.	Change of Control. In the event of a Change of Control, the Committee may take whatever
action with respect to Options outstanding as it deems necessary or desirable, including, without limitation, accelerating the
expiration or termination date or the date of exercisability in any Option Documents, or removing any restrictions from or imposing
any additional restrictions on any outstanding Options. A “Change of Control” shall be deemed to occur if: (a)
any person who is not an Affiliate of the Company on the date hereof becomes a beneficial owner of a majority of the outstanding
voting power of the Company’s capital stock; (b) the shareholders of the Company approve and there is consummated any plan
of liquidation providing for the distribution of all or substantially all of the Company’s assets; or (c) there is consummated
a merger, consolidation or other form of business combination involving the Company, or, in one transaction or a series of related
transactions, a sale of all or substantially all of the assets of the Company, unless, in any such case: (i) the business of the
Company is continued following such transaction by a resulting entity (which may be, but need not be, the Company) (the “Surviving
Company”); and (ii) persons who were the beneficial owners of a majority of the outstanding voting power of the Company
immediately prior to the completion of such transaction beneficially own, by reason of such prior beneficial ownership, a majority
of the outstanding voting power of the Surviving Company (or a majority of the outstanding voting power of the direct or indirect
parent of the Surviving Company, as the case may be) immediately following the completion of such transaction. For purposes of
this definition, the terms “person,” “beneficial owner,” “beneficial ownership,” “affiliate,”
and “control” shall have the meanings ascribed to such terms under Sections 13(d) and 3(a)(9) and Rule 13d-3 under
the Exchange Act and Rule 501 under the Securities Act of 1933 as amended, as applicable.

 

		10.	Adjustments on Changes in Capitalization. The aggregate number of Shares and class of Shares
as to which Options may be granted hereunder, the limitation as to grants to individuals set forth in Section 8.A hereof, the number
of Shares covered by each outstanding Option, and the Option Price for each related outstanding Option, shall be appropriately
adjusted in the event of a stock dividend, stock split, recapitalization or other change in the number or class of issued and outstanding
equity securities of the Company resulting from a subdivision or consolidation of the Common Stock and/or, if appropriate, other
outstanding equity securities or a recapitalization or other capital adjustment (not including the issuance of Common Stock on
the conversion of other securities of the Company that are convertible into Common Stock) affecting the Common Stock which is effected
without receipt of consideration by the Company. The Committee shall have authority to determine the adjustments to be made under
this Section 10, and any such determination by the Committee shall be final, binding and conclusive; provided, however, that no
adjustment shall be made that will cause an ISO to lose its status as such without the consent of the Optionee, except for adjustments
made pursuant to Section 9 hereof.

 

		11.	Amendment of the Plan. The Board of Directors of the Company may amend the Plan from time
to time in such manner as it may deem advisable. Nevertheless, the Board of Directors of the Company may not: (i) change the class
of individuals eligible to receive an ISO, (ii) increase the maximum number of Shares as to which Options may be granted, or (iii)
make any other change or amendment as to which shareholder approval is required in order to satisfy the conditions set forth in
Rule 16b-3 promulgated under the Exchange Act, in each case without obtaining approval, within twelve months before or after such
action, by (A) vote of a majority of the votes cast at a duly called meeting of the shareholders at which a quorum representing
a majority of all outstanding voting stock of the Company is, either in person or by proxy, present and voting on the matter, or
(B) a method and in a degree that would be treated as adequate under applicable state law for actions requiring shareholder approval,
including, without limitation, by written consent of shareholders constituting a majority of the voting power of all shares of
outstanding voting stock of the Company entitled to vote. No amendment to the Plan shall adversely affect any outstanding Option,
however, without the consent of the Optionee.

 

    	10

    	 

    

 

		12.	No Commitment to Retain. The grant of an Option shall not be construed to imply or to constitute
evidence of any agreement, express or implied, on the part of the Company or any Affiliate to retain the Optionee in the employ
of the Company or an Affiliate and/or as a member of the Company’s Board of Directors or in any other capacity.

 

		13.	Withholding of Taxes. Whenever the Company proposes or is required to deliver or transfer
Shares in connection with the exercise of an Option, the Company shall have the right to (a) require the recipient to remit or
otherwise make available to the Company an amount sufficient to satisfy any federal, state and/or local withholding tax requirements
prior to the delivery or transfer of any certificate or certificates for such Shares or (b) take whatever other action it deems
necessary to protect its interests with respect to tax liabilities. The Company’s obligation to make any delivery or transfer
of Shares shall be conditioned on the Optionee’s compliance, to the Company’s satisfaction, with any withholding requirement.

 

		14.	Interpretation. The Plan is intended to enable transactions under the Plan with respect
to directors and officers (within the meaning of Section 16(a) under the Exchange Act) to satisfy the conditions of Rule 16b-3
promulgated under the Exchange Act; any provision of the Plan that would cause a conflict with such conditions shall be deemed
null and void to the extent permitted by applicable law and in the discretion of the Board of Directors.

 

		15.	Deferred Arrangements. The Committee may permit or require the deferral of any award payment
into a deferred compensation arrangement, subject to such rules and procedures as it may establish, which may include provisions
for the payment or crediting of interest or dividend equivalents, including converting such credits into deferred Common Stock
equivalents. Any such deferrals shall be made in a manner that complies with Code Section 409A.

 

    	11

    	 

    

 

		16.	Parachute Limitations. Notwithstanding any other provision of this Plan or of any other
agreement, contract, or understanding heretofore or hereafter entered into by a Optionee with the Company or any Affiliate, except
an agreement, contract, or understanding that expressly addresses Section 280G or Section 4999 of the Code (an “Other
Agreement”), and notwithstanding any formal or informal plan or other arrangement for the direct or indirect provision
of compensation to the Optionee (including groups or classes of Optionees or beneficiaries of which the Optionee is a member),
whether or not such compensation is deferred, is in cash, or is in the form of a benefit to or for the Optionee (a “Benefit
Arrangement”), if the Optionee is a “disqualified individual,” as defined in Section 280G(c) of the Code,
any Option held by that Optionee and any right to receive any payment or other benefit under this Plan shall not become exercisable
or vested to the extent that such right to exercise, vesting, payment, or benefit, taking into account all other rights, payments,
or benefits to or for the Optionee under this Plan, all Other Agreements, and all Benefit Arrangements, would cause any payment
or benefit to the Optionee under this Plan to be considered a “parachute payment” within the meaning of Section 280G(b)(2)
of the Code as then in effect (a “Parachute Payment”) (this curtailment of exercisability and/or vesting being
referred to herein as the “280G Cutback”). For purposes of clarity, the intent of the preceding sentence is
to provide for an automatic implementation of the 280G Cutback if that is beneficial to the Optionee (on an after-tax basis), and
otherwise not to implement the 280G Cutback. In the event that the receipt of any such right to exercise, vesting, payment, or
benefit under this Plan, in conjunction with all other rights, payments, or benefits to or for the Optionee under any Other Agreement
or any Benefit Arrangement would cause the Optionee to be considered to have received a Parachute Payment under this Plan that
would have the effect of decreasing the after-tax amount received by the Optionee as described in clause (ii) of the preceding
sentence, then the Optionee shall have the right, in the Optionee’s sole discretion, to designate those rights, payments,
or benefits under this Plan, any Other Agreements, and any Benefit Arrangements that should be reduced or eliminated so as to avoid
having the payment or benefit to the Optionee under this Plan be deemed to be a Parachute Payment.

 

		17.	Section 409A. The Committee intends to comply with Section 409A of the Code (“Section
409A”), or an exemption to Section 409A, with regard to Options hereunder that constitute nonqualified deferred compensation
within the meaning of Section 409A. To the extent that the Committee determines that a Optionee would be subject to the additional
20% tax imposed on certain nonqualified deferred compensation plans pursuant to Section 409A as a result of any provision of any
Option granted under this Plan, such provision shall be deemed amended, if possible, to the minimum extent necessary to avoid application
of such additional tax. The nature of any such amendment shall be determined by the Committee.

 

		18.	Unfunded Status of Plan. The Plan shall be unfunded. Neither the Company, nor the Board
of Directors nor the Committee shall be required to segregate any assets that may at any time be represented by Options made pursuant
to the Plan. Neither the Company, nor the Board of Directors, nor the Committee shall be deemed to be a trustee of any amounts
to be paid or securities to be issued under the Plan.

 

		19.	Governing Law. The validity, performance, construction and effect of this Plan shall be
governed by the laws of the State of Delaware, without giving effect to principles of conflicts of law.

  

    	12

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00200-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00200-of-00352.parquet"}]]