Document:

Exhibit
10.18

 

CHANTICLEER HOLDINGS, INC.

 

DEALER-MANAGER AGREEMENT

 

February __,
2015

 

Source Capital Group, Inc.

As Dealer-Manager,

276 Post Road West

Westport, CT 06880

 

Ladies and Gentlemen:

 

The following will
confirm our agreement relating to the proposed rights offering (the “Rights Offering”) to be undertaken by Chanticleer
Holdings, Inc., a Delaware corporation (the “Company”), pursuant to which the Company will distribute to holders
of record of its common stock, par value $0.0001 per share (the “Common Stock”), subscription rights (the “Rights”)
as set forth in the Company’s S-1 Rights Offering first filed with the Securities and Exchange Commission (the “Commission”)
on January 14, 2015, and as amended (File No. 333-201481) to subscribe for and purchase shares of Common Stock (the “Rights
Shares”), at a subscription price equal to $2.00 per Right in cash (the “Subscription Price”).

 

1.            The
Rights Offering.

 

(a)          The
Company proposes to undertake the Rights Offering pursuant to which each holder of Common Stock shall receive one Right for each
share of Common Stock held of record at the close of business on February 25, 2015 (the “Record Date”). Holders
of Rights will be entitled to subscribe for and purchase, at the Subscription Price, one share of Common Stock for every Right
granted to you on the Record Date (the “Basic Subscription Right”). 

 

(b)          The
Rights shall be non-transferable. The Rights Shares are expected to be listed on the Nasdaq Capital Market and shall be transferable
in accordance with, applicable state “blue sky” laws, rules and regulations.

 

(c)          Any
holder of Rights who fully exercises all Basic Subscription Rights issued to such holder is entitled to subscribe for Rights Shares
which were not otherwise subscribed for by others pursuant to their Basic Subscription Rights (the “Over Subscription
Right”). The Over-Subscription Right shall allow a holder of a Right to subscribe for an additional amount equal to up
to 100% of the Rights Shares which were not otherwise subscribed for as of the Expiration Date (as defined below). Rights Shares
acquired pursuant to the Over-Subscription Right are subject to allotment and pro rata allocation, as more fully discussed in the
Prospectus (as defined herein).

 

    	 

    	 

    

 

(d)          The
Rights will expire at 5:00 p.m., New York City time, on March 13, 2015, (the “Expiration Date”). The Company
shall have the right to extend the Expiration Date for up to an additional 30 trading days in its sole discretion.

 

(e)          All
funds from the exercise of Basic Subscription Rights and Over-Subscription Rights will be deposited with Securities Transfer Corporation,
as the subscription agent (the “Subscription Agent”) and held in a segregated account with the Subscription
Agent pending a final determination of the number of Rights Shares to be issued pursuant to the exercise of Basic Subscription
Rights and Over-Subscription Rights. As soon as is practicable, the Company shall conduct a closing of the Rights Offering (a “Closing”).
In no event will the Company raise more than $17,000,000 in this Rights Offering, unless such maximum offering amount is waived
by the Company, in its sole discretion.

 

2.            Appointment
as Dealer-Manager; Role of Dealer-Manager. The Company hereby engages Source Capital Group, Inc. (“Source”)
as the sole exclusive dealer-manager (the “Dealer-Manager”) in connection with the Rights Offering, and authorizes
the Dealer-Manager to act as such on its behalf in connection with the Rights Offering, in accordance with this Dealer-Manager
Agreement (this “Agreement”).  During the Engagement Period (as defined in the engagement letter agreement
entered into between the Company and the Dealer-Manager, dated February 11, 2015 (the “Engagement Letter”)),
the Company will not solicit, negotiate with or enter into any agreement with any other placement agent, financial advisor, dealer
manager, brokers, dealers or underwriters or any other person or entity in connection with the Rights Offering.  In addition
to the placement agent services described in the Engagement Letter with respect to the sale of Rights Shares not purchased upon
the exercise of Rights, on the basis of the representations and warranties and agreements of the Company contained in this Agreement
and subject to and in accordance with the terms and conditions hereof, the Dealer-Manager agrees that as Dealer-Manager it will,
in accordance with its customary practice and to the extent requested by the Company, use its commercially reasonable efforts to
(i) advise on pricing, structuring and other terms and conditions of the Rights Offering, including whether to provide for transferability,
tradability and oversubscription rights and limits (it being acknowledged that such services have been previously provided pursuant
to the Engagement Letter without compensation therefor), (ii) provide guidance on general market conditions and their impact on
the Rights Offering, (iii) assist the Company in drafting a presentation that may be used to market the Rights Offering to existing
and potential investors, describing the proposed capital raising, the Company’s history and performance to date, track records
of key executives, highlights of the Company’s business plan and the intended use of proceeds from the Rights Offering, (iv)
advise on the selection of the Information Agent and Subscription Agent (it being acknowledged that such advice has been previously
rendered pursuant to the Engagement Letter), (v) assist the Company with its understanding of state blue sky laws and retaining
of Issuer counsel to assist with the blue sky filings related to the Rights Offering and (vi) solicit the holders of the Rights
to encourage them to exercise such Rights.  For the avoidance of doubt and notwithstanding anything that may be to the
contrary in this Agreement, the Company and the Dealer-Manager hereby agree that the Dealer-Manager will not underwrite the Rights
Offering, the Dealer-Manager has no obligation to act, and will not act, in any capacity as an underwriter in connection with the
Rights Offering and the Dealer-Manager has no obligation to purchase or procure purchases of the Rights Shares offered in connection
with the Rights Offering.  The Company agrees that it will not hold the Dealer-Manager liable or responsible for the
failure of the Rights Offering in the event that the Rights Offering is not successfully consummated for any reason.

 

    	 

    	 

    

 

3.            No
Liability for Acts of Brokers, Dealers, Banks and Trust Companies. The Dealer-Manager shall not be subject to any liability
to the Company or any of the Company’s Subsidiaries (as defined below) or “affiliates” (“Affiliates”,
as such term is defined in Rule 144 under the Securities Act of 1933, as amended (the “Securities Act”)) for
any act or omission on the part of any broker or dealer in securities (other than the Dealer-Manager) or any bank or trust company
or any other management, shareholders, creditors or any other natural person, partnership, limited liability partnership, corporation,
limited liability company, business trust, joint stock company, trust, unincorporated association, joint venture, or other entity
or organization (each, a “Person”), and the Dealer-Manager shall not be liable for its own acts or omissions
in performing its obligations as advisor or Dealer-Manager hereunder or otherwise in connection with the Rights Offering or the
related transactions, except for any losses, claims, damages, liabilities and expenses determined in a final judgment by a court
of competent jurisdiction to have resulted directly from any such acts or omissions undertaken or omitted to be taken by the Dealer-Manager
through its gross negligence or willful misconduct. In soliciting or obtaining exercises of Rights, the Dealer-Manager shall not
be deemed to be acting as the agent of the Company or as the agent of any broker, dealer, bank or trust company, and no broker,
dealer, bank or trust company shall be deemed to be acting as the Dealer-Manager’s agent or as the agent of the Company.
As used herein, the term “Subsidiary” means a Subsidiary of the Company as defined in Rule 405 of the Securities
Act. Unless the context specifically requires otherwise, the term “Company” as used in this Agreement means
the Company and its Subsidiaries collectively on a consolidated basis.

 

4.            The
Offer Documents.

 

(a)          There
will be used in connection with the Rights Offering certain materials in addition to the Registration Statement, any Preliminary
Prospectus or the Prospectus (each as defined herein), including: (i) all exhibits to the Registration Statement which pertain
to the conduct of the Rights Offering and (ii) any soliciting materials relating to the Rights Offering approved by the Company
(collectively with the Registration Statement, any Preliminary Prospectus and the Prospectus, the “Offer Documents”).
The Dealer-Manager shall be given an opportunity to review and comment upon the Offer Documents.

 

(b)          The
Company agrees to furnish the Dealer-Manager with as many copies as it may reasonably request of the final forms of the Offer Documents
and the Dealer-Manager is authorized to use copies of the Offer Documents in connection with its acting as Dealer-Manager. The
Dealer-Manager hereby agrees that it will not disseminate any written material for or in connection with the solicitation of exercises
of Rights pursuant to the Rights Offering other than the Offer Documents.

 

    	 

    	 

    

 

(c)          The
Company represents and agrees that no solicitation material, other than the Offer Documents and the documents to be filed therewith
as exhibits thereto (each in the form of which has been approved by the Dealer-Manager), will be used in connection with the Rights
Offering by or on behalf of the Company without the prior approval of the Dealer-Manager, which approval will not be unreasonably
withheld. In the event that the Company uses or permits the use of any such solicitation material in connection with the Rights
Offering, then the Dealer-Manager shall be entitled to withdraw as Dealer-Manager in connection with the Rights Offering and the
related transactions without any liability or penalty to the Dealer-Manager or any other Person identified in Section 11 hereof
as an “indemnified party,” and the Dealer-Manager shall be entitled to receive the payment of all fees and expenses
payable under this Agreement or the Engagement Letter which have accrued to the date of such withdrawal or which otherwise thereafter
become payable.

 

5.            Representations
and Warranties. The Company represents and warrants to the Dealer-Manager that:

 

(a)          The
Registration Statement on Form S-1 (Registration No. 333-201481), with respect to the Rights and the Rights Shares has: (i) been
prepared by the Company in conformity with, in all material respects and the requirements of the Securities Act, (ii) been filed
with the Commission under the Securities Act and (iii) become effective under the Securities Act. Copies of such Registration Statement
as amended to date have been delivered or made available by the Company to the Dealer-Manager. For purposes of this Agreement,
“Effective Time” means the date and the time as of which such registration statement, or the most recent post-effective
amendment thereto, if any, was declared effective by the Commission; “Effective Date” means the date of the
Effective Time; “Preliminary Prospectus” means each prospectus included in such registration statement, or amendments
thereof, before it becomes effective under the Securities Act and any prospectus filed with the Commission by the Company with
the consent of the Dealer-Manager pursuant to Rule 424(a) of the Securities Act; “Registration Statement” means
such Registration Statement, as amended at the Effective Time, including any documents which are exhibits thereto; and “Prospectus”
means such final prospectus, as first filed with the Commission pursuant to paragraph (1) or (4) of Rule 424(b) of the Securities
Act. The Commission has not issued any order preventing or suspending the use of any Preliminary Prospectus or the Prospectus.
All references in this Agreement to the Registration Statement, a Preliminary Prospectus, and the Prospectus, or any amendments
or supplements to any of the foregoing shall be deemed to include any copy thereof filed with the Commission pursuant to its Electronic
Data Gathering, Analysis and Retrieval System (“EDGAR”). The Prospectus delivered to the Dealer-Manager for
use in connection with the Rights Offering will be identical to the electronically transmitted copies thereof filed with the Commission
pursuant to EDGAR, except to the extent permitted by Regulation S-T promulgated by the Commission.

 

(b)          The
Registration Statement (together with all exhibits filed as part of the Registration Statement) conforms, and any Preliminary Prospectus
and the Prospectus and any further amendments or supplements to the Registration Statement conforms or will conform, when they
are filed with or become effective by the Commission, as the case may be, in each case, in all material respects to the requirements
of the Securities Act and collectively do not and will not, as of the applicable Effective Date (as to the Registration Statement
and any amendment thereto) and as of the applicable filing date (as to the Prospectus and any amendment or supplement thereto)
contain any untrue statement of a material fact or omit to state any material fact required to be stated therein or necessary to
make the statements therein (with respect to the Prospectus, in the light of the circumstances under which they were made) not
misleading; provided that no representation or warranty is made by the Company as to information contained in or omitted from the
Registration Statement or the Prospectus in reliance upon and in conformity with written information furnished to the Company by
or on behalf of the Dealer-Manager specifically for inclusion therein, it being acknowledged and agreed that such information provided
by or on behalf of the Dealer-Manager consists solely and exclusively of disclosure of the name of the Dealer-Manager acting in
its capacity as dealer-manager for the Rights Offering contained in the Prospectus (collectively, the “Dealer-Manager
Information”) under appropriate headings and in its final form as approved by the Dealer-Manager and its counsel.

 

    	 

    	 

    

 

(c)          There
are no contracts, agreements, plans or other documents which are required to be described in the Prospectus or filed as exhibits
to the Registration Statement by the Securities Act which have not been described in the Prospectus or filed as exhibits to the
Registration Statement or referred to in, or incorporated by reference into, the exhibit table of the Registration Statement as
permitted by the Securities Act.

 

(d)          The
Company and each of its Subsidiaries have been duly incorporated and are validly existing as corporations in good standing under
the laws of their respective jurisdictions of incorporation, are duly qualified to do business and are in good standing as foreign
corporations in each jurisdiction in which their respective ownership or lease of property or the conduct of their respective businesses
requires such qualification, and have all power and authority necessary to own or hold their respective properties and to conduct
the businesses in which they are engaged, except where the absence of such power or authority (either individually and in the aggregate)
could not reasonably be expected to have a material adverse effect on: (i) the business, condition (financial or otherwise), results
of operations, shareholders’ equity, properties or prospects (as such prospects are disclosed or described in the Prospectus)
of the Company or its Subsidiaries; (ii) the long-term debt or capital stock of the Company or its Subsidiaries; or (iii) the Rights
Offering or consummation of any of the other transactions contemplated by this Agreement, the Registration Statement or the Prospectus
(any such effect being a “Material Adverse Effect”).

 

(e)          This
Agreement has been duly authorized, executed and delivered by the Company and, assuming the due authorization, execution and delivery
by the Dealer-Manager, constitutes the valid and legally binding agreement of the Company, enforceable against the Company in accordance
with its terms, except as the enforceability thereof may be limited by bankruptcy, insolvency, reorganization, moratorium or similar
laws relating to or affecting creditors’ rights generally and by general principles of equity.

 

(f)          Neither
the Company nor any of its Subsidiaries: (i) is in violation of its charter or by-laws, (ii) in default under or in breach of,
and no event has occurred which, with notice or lapse of time or both, would constitute a default or breach under or result in
the creation or imposition of any lien, charge, mortgage, pledge, security interest, claim, equity, trust or other encumbrance,
preferential arrangement, defect or restriction of any kind whatsoever (each, a “Lien”) upon any of their property
or assets pursuant to, any material contract, agreement, indenture, mortgage, deed of trust, loan agreement or other agreement
or instrument to which it is a party or by which it is bound or to which any of its properties or assets is subject or (iii) is
in violation in any respect of any law, rule, regulation, ordinance, directive, judgment, decree or order, foreign and domestic,
to which it or its properties or assets may be subject or has failed to obtain any material license, permit, certificate, franchise
or other governmental authorization or permit necessary to the ownership of its properties or assets or to the conduct of its business,
except, in the case of clauses (ii) and (iii) above, any violation, default or failure to possess the same that would not have
a Material Adverse Effect.

 

    	 

    	 

    

 

(g)          Prior
to or on the date hereof: (i) the Company and the Subscription Agent have or will have entered into a subscription agency agreement
(the “Subscription Agency Agreement”) if required by the Subscription Agent and (ii) the Company and Okapi Partners
LLC (the “Information Agent”) have or will have entered into an information agency agreement (the “Information
Agency Agreement”) if required by the Information Agent. When executed by the Company, if applicable, each of the Subscription
Agency Agreement and the Information Agency Agreement will have been duly authorized, executed and delivered by the Company and,
assuming due authorization, execution and delivery by Subscription Agent or the Information Agent, as the case may be, will constitute
a valid and legally binding agreement of the Company enforceable in accordance with its terms, except as the enforceability thereof
may be limited by bankruptcy, insolvency, reorganization, moratorium or similar laws relating to or affecting creditors’
rights generally and by general principles of equity.

 

(h)          The
Rights to be issued and distributed by the Company have been duly and validly authorized and, when issued and delivered in accordance
with the terms of the Offer Documents, will be duly and validly issued, and will constitute valid and legally binding obligations
of the Company enforceable against the Company in accordance with their terms, no holder of the Rights is or will be subject to
personal liability by reason of being such a holder, and the Rights conform to the description thereof contained in the Prospectus.
The shares of Common Stock issuable upon exercise of any Rights have been duly and validly authorized and, when issued and delivered
in accordance with the terms of the Rights, will be duly and validly issued, fully paid and non-assessable and will constitute
valid and legally binding obligations of the Company enforceable against the Company in accordance with their terms, no holder
of the Common Stock is or will be subject to personal liability by reason of being such a holder, and the Common Stock conforms
to the description thereof contained in the Prospectus.

 

(i)          Except
as disclosed in the Prospectus with respect to the Company’s authorized capitalization, the Rights Shares have been duly
and validly authorized and reserved for issuance upon exercise of the Rights and are free of statutory and contractual preemptive
rights and are sufficient in number to meet the exercise requirements of the Rights Offering; and Rights Shares, when so issued
and delivered against payment therefore in accordance with the terms of the Rights Offering, will be duly and validly issued, fully
paid and non-assessable, with no personal liability attaching to the ownership thereof, and will conform to the description thereof
contained in the Prospectus.

 

(j)          The
Common Stock is quoted on the Nasdaq Capital Market (“NasdaqCM”). The Company has not received an oral or written
notification from the NasdaqCM or any court or any other federal, state, local or foreign governmental or regulatory authority
having jurisdiction over the Company or any of its Subsidiaries or any of their properties or assets (“Governmental Authority”)
of any inquiry or investigation or other action that would cause the Common Stock or the Rights Shares to not be quoted on the
NasdaqCM.

 

    	 

    	 

    

 

(k)          The
Company has an authorized capitalization as set forth under the caption “Capitalization” in the Prospectus,
and all of the issued shares of capital stock of the Company have been duly and validly authorized and issued, are fully paid and
non-assessable and have been issued in compliance with federal and state securities laws. None of the outstanding shares of Company
capital stock were issued in violation of any preemptive rights, rights of first refusal or other similar rights to subscribe for
or purchase securities of the Company. There are no authorized or outstanding options, warrants, preemptive rights, rights of first
refusal or other rights to purchase, or equity or debt securities convertible into or exchangeable or exercisable for, any capital
stock of the Company or any of its subsidiaries other than those accurately described in the Registration Statement. The description
of the Company’s stock option, stock bonus and other stock plans or arrangements, and the options or other rights granted
thereunder, set forth in the Registration Statement accurately and fairly presents in all material respects the information required
to be shown with respect to such plans, arrangements, options and rights.

 

(l)          [Reserved].

 

(m)        The
Company and its Subsidiaries own or lease all such assets or properties as are necessary to the conduct of its business as presently
operated and as proposed to be operated as described in the Registration and the Prospectus. The Company or its Subsidiaries have
good and marketable title in fee simple to all assets or real property and good and marketable title to all personal property owned
by them, in each case free and clear of any Lien, except for such Liens as are described in the Registration Statement and the
Prospectus. Any assets or real property and buildings held under lease or sublease by the Company or any Subsidiary is held under
valid, subsisting and enforceable leases with such exceptions as are not material to, and do not interfere with, the use made and
proposed to be made of such property and buildings by the Company or such Subsidiary. Neither the Company nor any Subsidiary has
received any notice of any material claim adverse to its ownership of any real or personal property or of any material claim against
the continued possession of any real property, whether owned or held under lease or sublease by the Company or any Subsidiary.

 

(n)        The
Company and its Subsidiaries have all material consents, approvals, authorizations, orders, registrations, qualifications, licenses,
filings and permits of, with and from all judicial, regulatory and other Governmental Authorities and all third parties, foreign
and domestic (collectively, with the Licensing Requirements described below, the “Consents”), to own, lease
and operate their properties and conduct their businesses as presently being conducted and as disclosed in the Registration Statement
and the Prospectus, and each such Consent is valid and in full force and effect. The Company has not received notice of any investigation
or proceedings which results in or, if decided adversely to the Company, could reasonably be expected to result in, the revocation
of any Consent or reasonably be expected to have a Material Adverse Effect. No Consent contains a materially burdensome restriction
not adequately disclosed in the Registration Statement and the Prospectus.

 

    	 

    	 

    

 

(o)          The
execution, delivery and performance of this Agreement by the Company, the issuance of the Rights in accordance with the terms of
the Offer Documents, the issuance of Rights Shares in accordance with the terms of the Rights Offering, and the consummation by
the Company of the transactions contemplated hereby, the Subscription Agency Agreement and the Information Agency Agreement, will
not conflict with or result in a breach or violation of any of the terms or provisions of, or constitute a default under, any indenture,
mortgage, deed of trust, loan agreement or other agreement or instrument to which the Company or any of its Subsidiaries or any
of its Affiliates is a party or by which the Company or any of its Subsidiaries or its Affiliates is bound or to which any of the
properties or assets of the Company or any of its Subsidiaries or its Affiliates is subject, nor will such actions result in any
violation of the provisions of the charter or by-laws of the Company or any of its Subsidiaries or any statute or any order, rule
or regulation of any Governmental Authority; and except for the registration of the Rights and the Rights Shares under the Securities
Act and such consents, approvals, authorizations, registrations or qualifications as may be required under the Exchange Act and
applicable state securities laws in connection with the distribution of the Rights and the sale of the Rights Shares by the Company,
no consent, approval, authorization or order of, or filing or registration with, any such court or Governmental Authority is required
for the execution, delivery and performance of this Agreement by the Company and the consummation by it of the transactions contemplated
hereby.

 

(p)          Except
as otherwise set forth in the Prospectus, there are no contracts, agreements or understandings between the Company and any Person
granting such Person the right to require the Company to file a registration statement under the Securities Act with respect to
any securities of the Company owned or to be owned by such Person or to require the Company to include such securities in the securities
registered pursuant to the Registration Statement or in any securities being registered pursuant to any other registration statement
filed by the Company under the Securities Act. No holder of any security of the Company has any rights of rescission or similar
rights with respect to such securities held by them.

 

(q)          Neither
the Company nor any of its Subsidiaries has sustained, since the date of the latest balance sheet included in the Prospectus or
after such date and as disclosed in the Prospectus, any material loss or interference with its business from fire, explosion, flood
or other calamity, whether or not covered by insurance, or from any labor dispute or court or governmental action, order or decree;
and, since such date or after such date and as disclosed in the Prospectus, there has not been any change in the capital stock
or long-term debt of the Company or any of its Subsidiaries or any material adverse change, or any development involving a prospective
material adverse change, in or affecting the general affairs, management, financial position, stockholders’ equity, results
of operations or prospects (as such prospects are disclosed or described in the Prospectus) of the Company and its Subsidiaries
(a “Material Adverse Change”). Since the date of the latest balance sheet presented in the Prospectus, the Company
has not incurred or undertaken any liabilities or obligations, whether direct or indirect, liquidated or contingent, matured or
unmatured, or entered into any transactions, including any acquisition or disposition of any business or asset, which are material
to the Company, except for liabilities, obligations and transactions which are disclosed in the Registration Statement, any Preliminary
Prospectus and the Prospectus.

 

    	 

    	 

    

 

(r)          Marcum
LLP (“Marcum”), whose reports relating to the Company are included in the Registration Statement, are independent
public accountants as required by the Securities Act, the Exchange Act and the rules and regulations promulgated by the Public
Company Accounting Oversight Board (the “PCAOB”). Marcum, to the best of the Company’s knowledge, is duly
registered and in good standing with the PCAOB. Marcum has not, during the periods covered by the financial statements included
in the Registration Statement, the Preliminary Prospectus and the Prospectus, provided to the Company any non-audit services, as
such term is used in Section 10A(g) of the Exchange Act.

 

(s)          The
financial statements, including the notes thereto, and any supporting schedules included in the Registration Statement, any Preliminary
Prospectus and the Prospectus present fairly, in all material respects, the financial position as of the dates indicated and the
cash flows and results of operations for the periods specified of the Company. Except as otherwise stated in the Registration Statement,
any Preliminary Prospectus and the Prospectus, said financial statements have been prepared in conformity with United States generally
accepted accounting principles applied on a consistent basis throughout the periods involved. Any supporting schedules included
in the Registration Statement, any Preliminary Prospectus and the Prospectus present fairly, in all material respects, the information
required to be stated therein. No other financial statements or supporting schedules are required to be included or incorporated
by reference in the Registration Statement. The other financial and statistical information included in the Registration Statement,
any Preliminary Prospectus and the Prospectus present fairly, in all material respects, the information included therein and have
been prepared on a basis consistent with that of the financial statements that are included in the Registration Statement, such
Preliminary Prospectus and the Prospectus and the books and records of the respective entities presented therein.

 

(t)          There
are no pro forma or as adjusted financial statements which are required to be included in the Registration Statement, any Preliminary
Prospectus and the Prospectus in accordance with Regulation S-X under the Securities Act which have not been included as so required.
The pro forma and/or as adjusted financial information included in the Registration Statement, any Preliminary Prospectus and the
Prospectus has been properly compiled and prepared in accordance with the applicable requirements of the Securities Act and include
all adjustments necessary to present fairly, in all material respects, in accordance with generally accepted accounting principles
the pro forma and as adjusted financial position of the respective entity or entities presented therein at the respective dates
indicated and their cash flows and the results of operations for the respective periods specified. The assumptions used in preparing
the pro forma and as adjusted financial information included in the Registration Statement, any Preliminary Prospectus and the
Prospectus provide a reasonable basis for presenting the significant effects directly attributable to the transactions or events
described therein. The related pro forma and pro forma as adjusted adjustments give appropriate effect to those assumptions; and
the pro forma and pro forma as adjusted financial information reflect the proper application of those adjustments to the corresponding
historical financial statement amounts.

 

(u)          The
statistical, industry-related and market-related data included in the Registration Statement, any Preliminary Prospectus and the
Prospectus are based on or derived from sources which the Company reasonably believes are reliable and accurate, and such data
agree with the sources from which they are derived. All applicable third party consents have been obtained in order for such data
to be included in the Registration Statement, any Preliminary Prospectus and the Prospectus.

 

    	 

    	 

    

 

(v)           Except
as disclosed in the Registration Statement and the Prospectus, the Company maintains a system of internal accounting and other
controls sufficient to provide reasonable assurances that: (i) transactions are executed in accordance with management’s
general or specific authorizations, (ii) transactions are recorded as necessary to permit preparation of financial statements in
conformity with United States generally accepted accounting principles and to maintain accountability for assets, (iii) access
to assets is permitted only in accordance with management’s general or specific authorization, and (iv) the recorded accounting
for assets is compared with existing assets at reasonable intervals and appropriate action is taken with respect to any differences.

 

(w)          The
Company’s Board of Directors has validly appointed an audit committee, compensation committee and nominating and corporate
governance committee whose composition satisfies the requirements of the rules and regulations of the Commission and the Company’s
Board of Directors and/or audit committee, compensation committee and the nominating corporate governance committee has each adopted
a charter as described in the Registration Statement, and such charters are in full force and effect as of the date hereof. Neither
the Company’s Board of Directors nor the audit committee thereof has been informed, nor is any director of the Company aware,
of: (i) except as disclosed in the Registration Statement and the Prospectus, any significant deficiencies and material weaknesses
in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the Company’s
ability to record, process, summarize and report financial information; or (ii) any fraud, whether or not material, that involves
management or other employees who have a significant role in the Company’s internal control over financial reporting.

 

(x)          The
Company is in material compliance with the provisions of the Sarbanes-Oxley Act of 2002, as amended (“Sarbanes Oxley”)
applicable to the Company, and the rules and regulations promulgated thereunder and related or similar rules and regulations promulgated
by any other Governmental Authority or self regulatory entity or agency, except for violations which, singly or in the aggregate,
are disclosed in the Prospectus or would not have a Material Adverse Effect.

 

(y)          No
relationship, direct or indirect, exists between or among any of the Company or any Affiliate of the Company, on the one hand,
and any director, officer, shareholder, customer or supplier of the Company or any Affiliate of the Company, on the other hand,
which is required by the Securities Act or the Exchange Act to be described in the Registration Statement or the Prospectus which
is not so described as required. Except as disclosed in the Registration Statement and the Prospectus, there are no outstanding
loans, advances (except normal advances for business expenses in the ordinary course of business) or guarantees of indebtedness
by the Company to or for the benefit of any of the officers or directors of the Company or any of their respective family members.
The Company has not, in violation of Sarbanes Oxley, directly or indirectly, including through any Affiliate of the Company (other
than as permitted under the Sarbanes Oxley for depositary institutions), extended or maintained credit, arranged for the extension
of credit, or renewed an extension of credit, in the form of a personal loan to or for any director or executive officer of the
Company.

 

    	 

    	 

    

 

(z)          Except
as described in the Prospectus, there are no legal or governmental proceedings pending to which the Company or any of its Subsidiaries
is a party or of which any property or asset of the Company or any of its Subsidiaries is the subject which, if determined adversely
to the Company or any of its Subsidiaries, are reasonably likely to have a Material Adverse Effect; and to the best of the Company’s
knowledge, except as disclosed in the Prospectus, no such proceedings are threatened or contemplated by Governmental Authorities
or threatened by others.

 

(aa)         The
Company and its Subsidiaries have filed all necessary federal, state and foreign income and franchise tax returns and have paid
all taxes required to be paid by any of them and, if due and payable, any related or similar assessment, fine or penalty levied
against any of them, except where the failure to make such filings or make such payments, either individually or in the aggregate,
could not reasonably be expected to have, a Material Adverse Effect. The Company has made adequate charges, accruals and reserves
in its financial statements above in respect of all federal, state and foreign income and franchise taxes for all periods as to
which the tax liability of the Company or any of its Subsidiaries has not been finally determined.

 

(bb)         Each
of the Company and its Subsidiaries maintains insurance of the types and in the amounts which the Company believes to be reasonable
and sufficient for a company of its size operating in the Company’s industry, including, but not limited to: (i) directors’
and officers’ insurance (including insurance covering the Company, its directors and officers for liabilities or losses arising
in connection with the Rights Offering, including, without limitation, liabilities or losses arising under the Securities Act,
the Exchange Act and applicable foreign securities laws), (ii) insurance covering real and personal property owned or leased against
theft, damage, destruction, acts of vandalism and all other risks customarily insured against and (iii) business interruption insurance.
There are no claims by the Company or any of its Subsidiaries under any policy or instrument described in this paragraph as to
which any insurance company is denying liability or defending under a reservation of rights clause. All of the insurance policies
described in this paragraph are in full force and effect. Neither the Company nor any of its Subsidiaries has been refused any
insurance coverage sought or applied for, and the Company has no reason to believe that it will not be able to renew its existing
insurance coverage as and when such coverage expires or to obtain similar coverage from similar insurers as may be necessary to
continue its business at a cost that would not have a Material Adverse Effect.

 

    	 

    	 

    

 

(cc)         The
Company and its Subsidiaries own or possess or have the right to use on reasonable terms all patents, patent rights, patent applications,
licenses, inventions, copyrights, know-how (including trade secrets and other unpatented and/or unpatentable proprietary or confidential
information, systems or procedures), trademarks, service marks, trade names, service names and other intellectual property (collectively,
“Intellectual Property”) necessary to carry on their respective businesses as described in the Prospectus and
as proposed to be conducted; and neither the Company nor any of its Subsidiaries has received any notice or is otherwise aware
of any infringement of or conflict with asserted rights of others with respect to any Intellectual Property or of any facts or
circumstances which would render any Intellectual Property invalid or inadequate to protect the interests of the Company or any
of its Subsidiaries therein, and which infringement or conflict (if the subject of any unfavorable decision, ruling or finding)
or invalidity or inadequacy, individually or in the aggregate, might result in a Material Adverse Effect. All former and current
employees of the Company or any of its Subsidiaries (and, to the Company’s knowledge, all other agents, consultants and contractors
of the Company or any of its subsidiaries who contributed to or participated in the conception or development of any Intellectual
Property for the Company or any of its Subsidiaries) have executed written contracts or agreements that assign to the Company all
rights to any inventions, improvements, discoveries or information relating to the business of the Company and its subsidiaries,
including without limitation all Intellectual Property owned, controlled by or in the possession of the Company or any of its subsidiaries.
To the knowledge of the Company, there is no unauthorized use, infringement or misappropriation of any of the Intellectual Property
by any third party, employee or former employee. Each agreement and instrument (each, a “License Agreement”)
pursuant to which any Intellectual Property is licensed to the Company or any of its subsidiaries is in full force and effect,
has been duly authorized, executed and delivered by, and is a valid and binding agreement of, the Company or the applicable subsidiary,
as the case may be, enforceable against the Company or such subsidiary in accordance with its terms, except as enforcement thereof
may be subject to bankruptcy, insolvency or other similar laws relating to or affecting creditors’ rights generally or by
general equitable principles; the Company and its subsidiaries are in compliance with their respective obligations under all License
Agreements and, to the knowledge of the Company, all other parties to any of the License Agreements are in compliance with all
of their respective obligations thereunder; no event or condition has occurred or exists that gives or would give any party to
any License Agreement the right, either immediately or with notice or passage of time or both, to terminate or limit (in whole
or in part) any such License Agreement or any rights of the Company or any of its subsidiaries thereunder, to exercise any of such
party’s remedies thereunder, or to take any action that would adversely affect any rights of the Company or any of its subsidiaries
thereunder or that might have a Material Adverse Effect and the Company is not aware of any facts or circumstances that would result
in any of the foregoing or give any party to any License Agreement any such right; and neither the Company nor any of its subsidiaries
has received any notice of default, breach or non-compliance under any License Agreement.

 

(dd)         Except
as described in any Preliminary Prospectus, the Prospectus and the Registration Statement, the Company: (i) is and at all times
has been in full compliance with all statutes, rules, regulations or guidance applicable to the ownership, testing, development,
manufacture, packaging, processing, use, distribution, marketing, labeling, promotion, sale, offer for sale, storage, import, export
or disposal of any product manufactured, distributed or sold by the Company or any component thereof (such statutes, rules, regulations
or guidance, collectively, “Applicable Laws”); (ii) has not received any notice of adverse finding, warning
letter, untitled letter or other correspondence or notice from any Governmental Authority alleging or asserting noncompliance with
any Applicable Laws or any licenses, certificates, approvals, clearances, authorizations, permits and supplements or amendments
thereto required by any such Applicable Laws (“Authorizations”); (iii) possesses all Authorizations and such
Authorizations are valid and in full force and effect and are not in violation of any term of any such Authorizations; (iv) has
not received notice of any claim, suit, proceeding, hearing, enforcement, audit, investigation, arbitration or other action from
any Governmental Authority or third party alleging that any product operation or activity is in violation of any Applicable Laws
or Authorizations and has no knowledge that any such Governmental Authority or third party is considering any such claim, suit,
proceeding, hearing, enforcement, audit, investigation, arbitration or other action; (v) has not received notice that any Governmental
Authority has taken, is taking or intends to take action to limit, suspend, modify or revoke any Authorizations and has no knowledge
that any such Governmental Authority is considering such action; (vi) has filed, obtained, maintained or submitted all material
reports, documents, forms, notices, applications, records, claims, submissions and supplements or amendments as required by any
Applicable Laws or Authorizations and that all such material reports, documents, forms, notices, applications, records, claims,
submissions and supplements or amendments were complete and correct in all material respects on the date filed (or were corrected
or supplemented by a subsequent submission), except, in the case of each of clauses (i), (ii) and (iii), for any default, violation
or event that would not, individually or in the aggregate, have or reasonably be expected to have a Material Adverse Effect.

 

    	 

    	 

    

 

(ee)         Neither
the Company nor, to the Company’s knowledge, any of the Company’s directors, officers or employees has violated: (i)
the Bank Secrecy Act, as amended, (ii) the Money Laundering Control Act of 1986, as amended, (iii) the Foreign Corrupt Practices
Act, or (iv) the Uniting and Strengthening of America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism
(USA PATRIOT ACT) Act of 2001, and/or the rules and regulations promulgated under any such law, or any successor law, except for
such violations which, singly or in the aggregate, would not have a Material Adverse Effect.

 

(ff)         Neither
the Company nor any of its Affiliates has, prior to the date hereof, made any offer or sale of any securities which are required
to be “integrated” pursuant to the Securities Act with the offer and sale of the Rights Shares pursuant to the Registration
Statement.

 

(gg)        Except
as described in the Registration Statement and the Prospectus, there are no claims, payments, arrangements, agreements or understandings
relating to the payment of a finder’s, consulting or origination fee or other compensation by the Company with respect to
the issuance or exercise of the Rights or the sale of the Rights Shares or any other arrangements, agreements or understandings
of the Company or, to the Company’s knowledge, the Company’s officers, directors and employees or Affiliates that may
affect the Dealer-Manager’s compensation, as determined by the Financial Industry Regulatory Authority, Inc. (“FINRA”).
Except as previously disclosed by the Company to the Dealer-Manager in writing, no officer, director, or beneficial owner of 5%
or more of any class of the Company’s securities (whether debt or equity, registered or unregistered, regardless of the time
acquired or the source from which derived) or any other Affiliate is a member or a Person associated, or affiliated with a member
of FINRA. No proceeds from the exercise of the Rights will be paid to any FINRA member, or any Persons associated or affiliated
with a member of FINRA, except as specifically contemplated herein. Except as previously disclosed by the Company to the Dealer-Manager,
no Person to whom securities of the Company have been privately issued within the 180-day period prior to the initial filing date
of the Registration Statement has any relationship or affiliation or association with any member of FINRA.

 

    	 

    	 

    

 

(hh)         There
are no contracts, agreements or understandings between the Company and any Person that would give rise to a valid claim against
the Company or the Dealer-Manager for a brokerage commission, finder’s fee or other like payment in connection with the transactions
contemplated by this Agreement. Other than the Dealer-Manager, the Company has not employed any brokers, dealers or underwriters
in connection with solicitation of exercise of Rights in the Rights Offering, and except provided for in Section 6 and 7 hereof,
no other commissions, fees or discounts will be paid by the Company or otherwise in connection with the Rights Offering.

 

(ii)         Neither
the Company nor, to the Company’s knowledge, any of the Company’s officers, directors, employees or agents has at any
time during the last five (5) years: (i) made any unlawful contribution to any candidate for foreign office, or failed to disclose
fully any contribution in violation of law, or (ii) made any payment to any federal or state governmental officer or official,
or other Person charged with similar public or quasi-public duties, other than payments that are not prohibited by the laws of
the United States of any jurisdiction thereof.

 

(jj)         The
Company has not and will not, directly or indirectly through any officer, director or Affiliate of the Company or through any other
Person: (i) taken any action designed to cause or to result in, or that has constituted or which might reasonably be expected to
constitute, the stabilization or manipulation of the price of any security of the Company to facilitate the issuance of the Rights
or the sale or resale of the Rights Shares, (ii) since the filing of the Registration Statement sold, bid for or purchased, or
paid any Person (other than the Dealer-Manager) any compensation for soliciting exercises or purchases of, the Rights or the Rights
Shares and (iii) until the later of the expiration of the Rights or the completion of the distribution (within the meaning of Regulation
M under the Exchange Act) of the Rights Shares, sell, bid for or purchase, apply or agree to pay to any Person (other than the
Dealer-Manager) any compensation for soliciting another to purchase any other securities of the Company (except for the solicitation
of the exercises of Rights pursuant to this Agreement). The foregoing shall not apply to the offer, sale, agreement to sell or
delivery with respect to: (i) Rights Shares offered and sold upon exercise of the Rights, as described in the Prospectus, or (ii)
any shares of Common Stock sold pursuant to the Company’s employee benefit plans.

 

(kk)        Each
“forward-looking statement” (within the meaning of Section 27A of the Securities Act or Section 21E
of the Exchange Act) included in the Registration Statement and the Prospectus has been made or reaffirmed with a reasonable basis
and has been disclosed in good faith.

 

As used in this Agreement, references to
matters being “material” with respect to the Company or any matter relating to the Company shall mean a material
item, event, change, condition, status or effect related to the condition (financial or otherwise), properties, assets (including
intangible assets), liabilities, business, prospects (as such prospects are disclosed or described in any Preliminary Prospectus
or the Prospectus), operations or results of operations of the Company and its Subsidiaries, taken as a whole.

 

    	 

    	 

    

 

As used in this Agreement, the term “knowledge
of the Company” (or similar language) shall mean the knowledge of the officers of the Company who are named in the Prospectus,
with the assumption that such officers shall have made reasonable and diligent inquiry of the matters presented (with reference
to what is customary and prudent for the applicable individuals in connection with the discharge by the applicable individuals
of their duties as officers or directors of the Company).

 

6.            Compensation.
The Dealer-Manager shall receive the fees for acting in its capacity as financial advisor, dealer manager and placement agent,
as set forth in the Engagement Letter. Nothing in this Agreement shall affect the Dealer-Manager’s rights to receive any
fees, compensation or reimbursement set forth in the Engagement Letter in accordance with the terms thereof.  All payments
to be made by the Company pursuant to this Section 6 shall be made at the Closing by wire transfer of immediately available
funds and consummation of the subscriptions for Rights Shares pursuant to the exercise of Rights (the “Closing Date”).

 

7.            Expenses.
In addition to the Dealer-Manager’s compensation for services hereunder pursuant to Section 6 hereof, the Company shall pay
or cause to be paid:

 

(a)          all
expenses (including any taxes) incurred in connection with the Rights Offering and the preparation, issuance, execution, authentication
and delivery of the Rights and the Rights Shares;

 

(b)          all
fees, expenses and disbursements of the Company’s accountants, legal counsel and other third party advisors;

 

(c)          all
reasonable and documented costs and expenses of the Dealer-Manager as set forth in the Engagement Letter and reimbursable upon
any termination of this Agreement only as permitted by FINRA Rule 5110(f)(2)(D);

 

(d)          all
fees and expenses of the Subscription Agent and the Information Agent;

 

(e)          all
fees, expenses and disbursements (including, without limitation, fees and expenses of the Company’s accountants and counsel)
in connection with the preparation, printing, filing, delivery and shipping of the Registration Statement (including the financial
statements therein and all amendments and exhibits thereto), each Preliminary Prospectus, the Prospectus, the other Offer Documents
and any amendments or supplements of the foregoing and any printing, delivery and shipping of this Agreement, the costs of distributing
the terms of any agreement relating to any organization of soliciting dealers, if any, to the members thereof by mail, fax or
other means of communications;

 

(f)          all
fees, expenses and disbursements relating to the registration or qualification of the Rights and the Rights Shares under the “blue
sky” securities laws of any states or other jurisdictions and all fees and expenses associated with the preparation of the
preliminary and final forms of Blue Sky Memoranda;

 

(g)          all
filing fees of the Commission;

 

(h)          all
filing fees relating to the review of the Rights Offering by FINRA;

 

    	 

    	 

    

 

(i)          any
applicable listing or other fees;

 

(j)          the
cost of printing certificates representing the Rights and the Rights Shares;

 

(k)         all
advertising charges pertaining to the Rights Offering;

 

(l)           the
cost and charges of the Company’s transfer agent(s) or registrar(s); and

 

(m)         all
other costs and expenses incident to the performance of its obligations hereunder for which provision is not otherwise made in
this Section.

 

(n)          All
payments to be made by the Company pursuant to this Section 7 shall be made promptly after the termination or expiration of the
Rights Offering or, if later, promptly after the related fees, expenses or charges accrue and an invoice therefor is sent by the
Dealer-Manager. The Company shall perform its obligations set forth in this Section 7 whether or not the Rights Offering commences
or any Rights are exercised pursuant to the Rights Offering, except that the Dealer Manager’s non-accountable expenses may
only be reimbursed upon Closing.

 

8.            Shareholder
Lists; Subscription Agent; Information Agent.

 

(a)          The
Company will cause the Dealer-Manager to be provided with any cards or lists showing the names and addresses of, and the number
of shares of Common Stock held by, the holders of shares of Common Stock as of a recent date and will use its best efforts to cause
the Dealer-Manager to be advised from time to time during the period, as the Dealer-Manager shall request, of the Rights Offering
as to any transfers of record of shares of Common Stock.

 

(b)          
The Company (i) has arranged for Securities Transfer Corporation to serve as subscription agent in connection with the Rights
Offering (the “Subscription Agent”), (ii) will arrange for the Subscription Agent to advise the Dealer-Manager
regularly as to such matters as the Dealer-Manager may reasonably request, including the number of Rights that have been exercised,
and (iii) will arrange for the Subscription Agent to be responsible for receiving subscription funds paid.

 

(c)          
The Company has arranged for Okapi Partners LLC to serve as information agent in connection with the Rights Offering (the “Information
Agent” and together with the Subscription Agent the “Agents”) and to perform services in connection
with the Rights Offering that are customary for an information agent.

 

    	 

    	 

    

 

9.            Covenants
of the Company. The Company covenants and agrees with the Dealer-Manager:

 

(a)          To
use its best efforts to cause the Registration Statement and any amendments thereto to become effective; to advise the Dealer-Manager,
promptly after it receives notice thereof, of the time when the Registration Statement, or any amendment thereto, becomes effective
or any supplement to the Prospectus or any amended Prospectus has been filed and to furnish the Dealer-Manager with copies thereof;
to prepare a Prospectus in a form approved by the Dealer-Manager (such approval not to be unreasonably withheld or delayed) and
to file such Prospectus pursuant to Rule 424(b) under the Securities Act within the time prescribed by such rule; to advise the
Dealer-Manager, promptly after it receives notice thereof, of the issuance by the Commission of any stop order or of any order
preventing or suspending the use of any Preliminary Prospectus or the Prospectus, of the suspension of the qualification of the
Rights for offering or sale in any jurisdiction, of the initiation or threatening of any proceeding for any such purpose, or of
any request by the Commission for the amending or supplementing of the Registration Statement or the Prospectus or for additional
information; and, in the event of the issuance of any stop order or of any order preventing or suspending the use of any Preliminary
Prospectus or the Prospectus or suspending any such qualification, to use promptly its reasonable best efforts to obtain its withdrawal;

 

(b)          To
deliver promptly to the Dealer-Manager, at any such location as requested by the Dealer Manger, such number of the following documents
as the Dealer-Manager shall reasonably request: (i) conformed copies of the Registration Statement as originally filed with the
Commission and each amendment thereto (in each case excluding exhibits other than this Agreement, any other Offer Documents filed
as exhibits, the computation of the ratio of earnings to fixed charges and the computation of per share earnings), (ii) each Preliminary
Prospectus, the Prospectus and any amended or supplemented Prospectus and (iii) any document incorporated by reference in the Prospectus
(excluding exhibits thereto); and, if the delivery of a prospectus is required at any time during which the Prospectus relating
to the Rights or the Rights Shares is required to be delivered under the Securities Act and if at such time any events shall have
occurred as a result of which the Prospectus as then amended or supplemented would include any untrue statement of a material fact
or omit to state any material fact necessary in order to make the statements therein, in the light of the circumstances under which
they were made when such Prospectus is delivered, not misleading, or, if for any other reason it shall be necessary during such
period to amend or supplement the Prospectus or to file under the Exchange Act any document incorporated by reference in the Prospectus
in order to comply with the Securities Act or the Exchange Act, to notify the Dealer-Manager and, upon its request, to file such
document and to prepare and furnish without charge to the Dealer-Manager as many copies as the Dealer-Manager may from time to
time reasonably request of an amended or supplemented Prospectus which will correct such statement or omission or effect such compliance;

 

(c)          To
file promptly with the Commission any amendment to the Registration Statement or the Prospectus or any supplement to the Prospectus
that may, in the judgment of the Company or the Dealer-Manager, be necessary or advisable in connection with the distribution of
the Rights or the sale of the Rights Shares or be requested by the Commission;

 

(d)          Prior
to filing with the Commission any: (i) Preliminary Prospectus, (ii) amendment to the Registration Statement, any document incorporated
by reference in the Prospectus or (iii) any Prospectus pursuant to Rule 424 of the Securities Act, to furnish a copy thereof to
the Dealer-Manager and counsel for the Dealer-Manager and obtain the consent of the Dealer-Manager to the filing (which consent
shall not be unreasonably withheld);

 

    	 

    	 

    

 

(e)          To
furnish to the Dealer-Manager copies of all materials not available via EDGAR furnished by the Company to its shareholders and
all public reports and all reports and financial statements furnished by the Company to the principal national securities exchange
upon which any of the Company’s securities may be listed pursuant to requirements of or agreements with such exchange or
to the Commission pursuant to the Exchange Act or any rule or regulation of the Commission thereunder;

 

(f)          To
qualify or register the Rights and the Rights Shares for sale under (or obtain exemptions from the application of) the state securities
or blue sky laws of those jurisdictions designated by the Dealer-Manager, shall comply with such laws and shall continue such qualifications,
registrations and exemptions in effect so long as required for the distribution of the Rights and the Rights Shares. The Company
shall not be required to qualify as a foreign corporation or to take any action that would subject it to general service of process
in any such jurisdiction where it is not presently qualified or where it would be subject to taxation as a foreign corporation.
The Company will advise the Dealer-Manager promptly of the suspension of the qualification or registration of (or any such exemption
relating to) the Rights and the Rights Shares for offering, sale or trading in any jurisdiction or any initiation or threat of
any proceeding for any such purpose, and in the event of the issuance of any order suspending such qualification, registration
or exemption, the Company shall use its best efforts to obtain the withdrawal thereof at the earliest possible moment.

 

(g)          To
apply the net proceeds from the exercise of the Rights in the manner described under the caption “Use of Proceeds”
in the Prospectus.

 

(h)          Prior
to the effective date of the Registration Statement, to apply for the listing of Rights Shares on the NasdaqCM and to use its best
efforts to complete that listing, subject only to official notice of issuance (if applicable), prior to the expiration of the Rights
Offering.

 

(i)          To
take such steps as shall be necessary to ensure that neither the Company nor any Subsidiary shall become an “investment company”
within the meaning of such term under the Investment Company Act of 1940 and the rules and regulations of the Commission thereunder.

 

(j)          To
advise the Dealer-Manager, directly or through the Subscription Agent, from time to time, as the Dealer-Manager shall request,
of the number of Rights Shares subscribed for, and arrange for the Subscription Agent to furnish the Dealer-Manager with copies
of written reports it furnishes to the Company concerning the Rights Offering;

 

(k)          To
commence mailing the Offer Documents to record holders of the Common Stock not later than the second business day following the
record date for the Rights Offering, and complete such mailing as soon as practicable;

 

(l)          To
reserve and keep available for issue upon the exercise of the Rights such number of authorized but unissued shares of Rights Shares
as will be sufficient to permit the exercise in full of all Rights, except as otherwise contemplated by the Prospectus.

 

    	 

    	 

    

 

(m)          To
not take, directly or indirectly, any action designed to cause or to result in, or that has constituted or which might reasonably
be expected to constitute, the stabilization or manipulation of the price of any security of the Company to facilitate the issuance
of the Rights or the sale or resale of the Rights Shares.

 

10.          Conditions
of Dealer-Manager’s Obligations. The obligations of the Dealer-Manager hereunder are subject to (and the occurrence of
any Closing shall be conditioned upon) the accuracy, as of the date hereof and at all times during the Rights Offering, of the
representations and warranties of the Company contained herein, to the performance by the Company of its obligations hereunder
and to the following additional conditions:

 

(a)          (i)
The Registration Statement shall have become effective and the Prospectus shall have been timely filed with the Commission in accordance
with the Securities Act; (ii) all post-effective amendments to the Registration Statement shall have become effective; (iii) no
stop order suspending the effectiveness of the Registration Statement or any amendment or supplement thereto shall have been issued
and no proceedings for the issuance of any such order shall have been initiated or threatened, and any request of the Commission
for additional information (to be included in the Registration Statement or the Prospectus or otherwise) shall have been disclosed
to the Dealer-Manager and complied with to the Dealer-Manager’s reasonable satisfaction.

 

(b)          The
Dealer-Manager shall not have been advised by the Company or shall have discovered and disclosed to the Company that the Registration
Statement or the Prospectus or any amendment or supplement thereto, contains an untrue statement of fact which in the Dealer-Manager’s
opinion, or in the opinion of counsel to the Dealer-Manager, is material, or omits to state a fact which, in the Dealer-Manager’s
opinion, or in the opinion of counsel to the Dealer-Manager, is material and is required to be stated therein or is necessary to
make the statements therein not misleading.

 

(c)          All
corporate proceedings and other legal matters incident to the authorization, form and validity of this Agreement, the Rights, the
Rights Shares, the Registration Statement and the Prospectus, and all other legal matters relating to this Agreement and the transactions
contemplated hereby shall be reasonably satisfactory in all material respects to counsel for the Dealer-Manager, and the Company
shall have furnished to such counsel all documents and information that they may reasonably request to enable them to pass upon
such matters.

 

(d)          Concurrently
with the execution of this Agreement, there shall have been furnished to the Dealer-Manager the signed opinion (addressed to the
Dealer-Manager) of Libertas Law Group, Inc., counsel for the Company, dated the date hereof and in form and substance satisfactory
to counsel for the Dealer-Manager, to the effect of the opinions set forth on Exhibit A hereto.

 

(e)          Concurrently
with the execution of this Agreement, the Company shall have furnished to the Dealer-Manager a letter of Marcum, addressed to the
Dealer-Manager and dated the date hereof: (i) confirming that they are independent registered public accountants of the Company
within the meaning of the Securities Act and are in compliance with the applicable requirements relating to the qualification of
accountants under the PCAOB and applicable rules of the Commission, and (ii) stating, as of the date of the letter (or, with respect
to matters involving changes or developments since the respective dates as of which specified financial information is given in
the Prospectus, as of a date not more than five days prior to the date of the letter), the conclusions and findings of such firm
with respect to the financial information and other matters specified by the Dealer-Manager.

 

    	 

    	 

    

 

(f)          The
Company shall have furnished to the Dealer-Manager a certificate, dated the date hereof, of its Chief Executive Officer or President
and its Chief Financial Officer stating that:

 

		i.	To the best of their knowledge after reasonable investigation,
the representations, warranties, covenants and agreements of the Company hereof are true and correct in all material respects;

 

		ii.	The conditions set forth in this Agreement have been
fulfilled;

 

		iii.	Neither the Company nor any of its Subsidiaries has sustained
any material loss or interference with its business, whether or not covered by insurance, or from any labor dispute or any legal
or governmental proceeding;

 

		iv.	Subsequent to the respective dates as of which information
is given in the Registration Statement and the Prospectus, there has not been any Material Adverse Change or any development involving
a prospective Material Adverse Change; and

 

		v.	They have carefully examined the Registration Statement
and the Prospectus and, in their opinion (A) the Registration Statement and the Prospectus, as of the Effective Date, did not
include any untrue statement of a material fact and did not omit to state any material fact required to be stated therein or necessary
to make the statements therein not misleading, and (B) since the Effective Date no event has occurred which should have been set
forth in a supplement or amendment to the Registration Statement or the Prospectus.

 

(g)          Neither
the Company nor any of its Subsidiaries shall have sustained since the date of the latest audited financial statements included
in the Prospectus any Material Adverse Change, the effect of which is, in the judgment of the Dealer-Manager, so material and adverse
as to make it impracticable or inadvisable to proceed with the Rights Offering.

 

(h)          The
NasdaqCM shall have approved the Rights Shares for listing, subject only to official notice of issuance.

 

(i)          All
opinions, letters, evidence and certificates mentioned above or elsewhere in this Agreement shall be deemed to be in compliance
with the provisions hereof only if they are in form and substance reasonably satisfactory to counsel for the Dealer-Manager. If
any of the conditions specified in this Section 10 shall not have been fulfilled when and as required by this Agreement, this Agreement
and all obligations of the Dealer-Manager hereunder may be canceled at, or at any time during the Rights Offering, by the Dealer-Manager.
Any such cancellation shall be without liability of the Dealer-Manager to the Company. Notice of such cancellation shall be given
the Company in writing, or by telegraph or telephone and confirmed in writing.

 

    	 

    	 

    

 

11.          Indemnification
and Contribution.

 

(a)          The
Company agrees to indemnify and hold harmless the Dealer-Manager and its affiliates and any officer, director, employee or agent
of Source or any such affiliates and any Person controlling (within the meaning of Section 20(a) of the Exchange Act) the Dealer-Manager
or any of such affiliates (collectively, the “Indemnified Parties”) from and against any and all losses, claims,
damages, liabilities and expenses whatsoever, under the Securities Act or otherwise (as incurred or suffered and including, but
not limited to, any and all legal or other expenses incurred in connection with investigating, preparing to defend or defending
any lawsuit, claim or other proceeding, commenced or threatened, whether or not resulting in any liability, which legal or other
expenses shall be reimbursed by the Company promptly after receipt of any invoices therefore from the Dealer-Manager), (A) arising
out of or based upon: (i) any untrue statement or alleged untrue statement of a material fact contained in the Offer Documents
or any amendment or supplement thereto, in any other solicitation material used by the Company or authorized by it for use in connection
with the Rights Offering, or in any blue sky application or other document prepared or executed by the Company (or based on any
written information furnished by the Company) specifically for the purpose of qualifying any or all of the Rights or the Rights
Shares under the securities laws of any state or other jurisdiction (any such application, document or information being hereinafter
called a “Blue Sky Application”) or arising out of or based upon the omission or alleged omission to state in
any such document a material fact required to be stated therein or necessary in order to make the statements therein, in the light
of the circumstances under which they were made, not misleading (other than statements or omissions made in reliance upon and in
conformity with the Dealer-Manager Information), (ii) any withdrawal or termination by the Company of, or failure by the Company
to make or consummate, the Rights Offering, (iii) any actions taken or omitted to be taken by an indemnified party with the consent
of the Company or in conformity with actions taken or omitted to be taken by the Company or (iv) any failure by the Company to
comply with any agreement or covenant, contained in this Agreement or (B) arising out of, relating to or in connection with or
alleged to arise out of, relate to or be in connection with, the Rights Offering, any of the other transactions contemplated thereby
or the performance of Source’s services to the Company with respect to the Rights Offering.

 

(b)          If
the indemnification provided for in the foregoing paragraph is judicially determined to be unavailable (other than in accordance
with the terms hereof) to any Indemnified Party otherwise entitled to indemnity in respect of any losses, claims, damages or liabilities
referred to herein, then, in lieu of indemnifying such person hereunder, whether or not the Dealer-Manager is the person entitled
to indemnification or reimbursement, the Company shall contribute to the amount paid or payable by the Indemnified Party as a result
of such losses, claims, damages or liabilities (and expenses relating thereto) (i) in such proportion as is appropriate to
reflect the relative benefits to the Company, on the one hand, and the Dealer-Manager, on the other hand, of the Rights Offering
or (ii) if the allocation provided for in clause (i) above is not available, in such proportion as is appropriate to
reflect not only the relative benefits referred to in such clause (i) but also the relative fault of each of the Company and
the Dealer-Manager, as well as any other relevant equitable considerations; provided, however, in no event shall
the Dealer-Manager’s aggregate contribution to the amount paid or payable exceed the aggregate amount of fees actually received
by the Dealer-Manger under this Agreement.  For the purposes of this Agreement, the relative benefits to the Company
and to the Dealer-Manager of the engagement shall be deemed to be in the same proportion as (a) the total value paid or contemplated
to be paid or received or contemplated to be received by the Company in the Rights Offering, whether or not the Rights Offering
is consummated, bears to (b) the fees paid or to be paid to the Dealer-Manager under this Agreement.

 

    	 

    	 

    

 

(c)          The
Company also agrees that neither the Dealer-Manager, nor any other Indemnified Party, shall have any liability to the Company for
or in connection with the Dealer-Manager’s engagement as Dealer-Manager, except for any such liability for losses, claims,
damages, liabilities or expenses incurred by the Company which are finally judicially determined to have resulted primarily from
the Dealer-Manager’s bad faith, willful misconduct, or gross negligence.  The foregoing agreement shall be in addition
to any rights that the Dealer-Manager, the Company or any Indemnified Party may have at common law or otherwise, including, but
not limited to, any right to contribution.  For the sole purpose of enforcing and otherwise giving effect to the provisions
of this Agreement, the Company hereby consents to personal jurisdiction and service and venue in any court in which any claim which
is subject to this agreement is brought against the Dealer-Manager or any other indemnified party.

 

(d)           
The Company agrees that it will not, without the prior written consent of the Dealer-Manager, settle or compromise or consent to
the entry of any judgment with respect to any pending or threatened claim, action, suit or proceeding in respect of which indemnification
or contribution may be sought hereunder (whether or not the Dealer-Manager is an actual or potential party to such claim, action,
suit or proceeding) unless such settlement, compromise or consent includes an unconditional release, reasonably satisfactory in
form and substance to the Dealer-Manager, releasing the Dealer-Manager from all liability arising out of such claim, action, suit
or proceeding.

 

12.          Effective
Date of Agreement; Termination.

 

(a)          This
Agreement shall become effective upon the later of the time on which the Dealer-Manager shall have received notification of the
effectiveness of the Registration Statement and the time which this Agreement shall have been executed by all of the parties hereto.

 

(b)           This
Agreement shall terminate upon the earliest to occur of (a) the consummation, termination or withdrawal of the Rights Offering,
and (b) the withdrawal by the Dealer-Manager pursuant to Section 4.

 

    	 

    	 

    

 

13.          Survival
of Certain Provisions. The agreements contained in Sections 3, 6, 7 and 13 through 21 hereof and the representations, warranties
and agreements of the Company contained in Section 5 hereof shall survive the consummation of or failure to commence the Rights
Offering and shall remain in full force and effect, regardless of any termination or cancellation of this Agreement or any investigation
made by or on behalf of any indemnified party; provided, that the Company’s obligations under Section 6 to reimburse the
Dealer Manager for accountable expenses are subject to FINRA Rule 5110 (f)(2)(D) in that such expenses are only reimbursable to
the extent actually incurred and only if the Offering actually closes.

 

14.          Notices.
All notices and other communications required or permitted to be given under this Agreement shall be in writing and shall be deemed
to have been duly given if (a) delivered personally, (b) sent by facsimile with immediate telephonic confirmation or
(c) sent by registered or certified mail, return receipt requested, postage prepaid, to the parties hereto as follows

 

If to the Dealer-Manager:

 

Source Capital Group,
Inc.

276 Post Road West

Westport, CT 06880

Attention: Richard Kreger

Facsimile 203-341-3500
ext. 224

 

With a copy to:

 

Ellenoff Grossman &
Schole LLP

1345 Avenue of the Americas

Attention: Joseph Smith

Facsimile: 212-370-7889

 

If to the Company:

 

Chanticleer Holdings,
Inc.

7621 Little Avenue, Suite
414

Charlotte, NC 28226

Attention: Michael D.
Pruitt

Facsimile:

 

With a copy to:

 

Libertas
Law Group, Inc.

225 Santa Monica Boulevard,
11th Floor

Attention: Ruba Qashu

Facsimile:

 

15.          Parties.
This Agreement shall inure to the benefit of and be binding upon the Dealer-Manager, the Company and their respective successors.
This Agreement and the terms and provisions hereof are for the sole benefit of only those Persons, except that the representations,
warranties, indemnities and agreements of the Company contained in this Agreement shall also be deemed to be for the benefit of
the Person or Persons, if any, who control the Dealer-Manager within the meaning of Section 15 of the Act. Nothing in this Agreement
shall be construed to give any Person, other than the Persons referred to in this Section, any legal or equitable right, remedy
or claim under or in respect of this Agreement or any provision contained herein.

 

    	 

    	 

    

 

16.         Amendment.
This Agreement may not be amended or modified except in writing signed by each of the parties hereto.

 

17.         Governing
Law; Venue. This Agreement shall be deemed to have been executed and delivered in New York and both this Agreement and the
transactions contemplated hereby shall be governed as to validity, interpretation, construction, effect, and in all other respects
by the laws of the State of New York, without regard to the conflicts of laws principals thereof (other than Section 5-1401 of
The New York General Obligations Law). Each of the Dealer-Manager and the Company: (a) agrees that any legal suit, action or proceeding
arising out of or relating to this Agreement and/or the transactions contemplated hereby shall be instituted exclusively in the
Supreme Court of the State of New York, New York County, or in the United States District Court for the Southern District of New
York, (b) waives any objection which it may have or hereafter to the venue of any such suit, action or proceeding, and (c) irrevocably
consents to the jurisdiction of Supreme Court of the State of New York, New York County, or in the United States District Court
for the Southern District of New York in any such suit, action or proceeding. Each of the Dealer-Manager and the Company further
agrees to accept and acknowledge service of any and all process which may be served in any such suit, action or proceeding in the
Supreme Court of the State of New York, New York County, or in the United States District Court for the Southern District of New
York and agrees that service of process upon the Company mailed by certified mail to the Company’s address or delivered by
Federal Express via overnight delivery shall be deemed in every respect effective service of process upon the Company, in any such
suit, action or proceeding, and service of process upon the underwriters mailed by certified mail to the Dealer-Manager’s
address or delivered by Federal Express via overnight delivery shall be deemed in every respect effective service process upon
the Underwriter, in any such suit, action or proceeding. THE COMPANY (ON BEHALF OF ITSELF AND, TO THE FULLEST EXTENT PERMITTED
BY LAW, ON BEHALF OF ITS RESPECTIVE EQUITY HOLDERS AND CREDITORS) HEREBY WAIVES ANY RIGHT THEY MAY HAVE TO A TRIAL BY JURY IN RESPECT
OF ANY CLAIM BASED UPON, ARISING OUT OF OR IN CONNECTION WITH THIS AGREEMENT AND THE TRANSACTIONS CONTEMPLATED BY THIS AGREEMENT,
THE REGISTRATION STATEMENT, ANY PRELIMINARY PROSPECTUS AND THE PROSPECTUS.

 

18.         Entire
Agreement. This Agreement, together with the exhibit attached hereto and as the same may be amended from time to time in accordance
with the terms hereof, contains the entire agreement among the parties hereto relating to the subject matter hereof and there are
no other or further agreements outstanding not specifically mentioned herein. Notwithstanding anything herein to the contrary,
the Engagement Letter shall continue to be effective and the term therein shall continue to survive and be enforceable by the parties
thereto, in accordance with its terms.

 

19.         Severability.
If any term or provision of this Agreement or the performance thereof shall be invalid or unenforceable to any extent, such invalidity
or unenforceability shall not affect or render invalid or unenforceable any other provision of this Agreement and this Agreement
shall be valid and enforced to the fullest extent permitted by law.

 

    	 

    	 

    

 

20.         Headings.
The headings herein are inserted for convenience of reference only and are not intended to be part of, or to affect the meaning
or interpretation of, this Agreement.

 

21.         Counterparts.
This Agreement may be executed in any number of counterparts, each of which shall be deemed to be an original, but all such counterparts
shall together constitute one and the same instrument. Delivery of a signed counterpart of this Agreement by facsimile or other
electronic transmission shall constitute valid and sufficient delivery thereof. If the foregoing correctly sets forth your understanding,
please so indicate in the space provided below for that purpose, whereupon this letter shall constitute a binding agreement among
us.

 

    	 

    	 

    

 

	 	Very truly yours,
	 	 
	 	CHANTICLEER HOLDINGS, INC.
	 	 
	 	By:	 
	 	Name: Michael Pruitt
	 	Title: Chief Executive Officer

 

Accepted and agreed as of the date first
written above:

 

SOURCE CAPITAL GROUP, INC.

 

	By:	 	 
	Name:  Richard H. Kreger
	Title:    Sr. Managing Director, Investment Banking
	 
	By:	 	 
	Name:  Russ Newton
	Title:    Chief Financial Officer

 

[Signature Page to Dealer-Manager Agreement]Exhibit 10.4

 

AGREEMENT
OF LEASE, made as of this _2nd_day of _January 2015_, by and between 303 MERRICK LLC a New York limited liability company
with offices at 35-01 30th Avenue, Suite 300, Astoria, New York 11103, (hereinafter referred to as "Landlord"),
and THE JANEL GROUP OF NEW YORK, INC.. a New York Corporation having an address at 303 Merrick Road, Suite 400, Lynbrook,
NY 11563 (hereinafter referred to as "Tenant").

 

WITNESSETH: Landlord
and Tenant hereby covenant and agree as follows:

 

SPACE

1.   Landlord
hereby leases to Tenant and Tenant hereby leases from Landlord Suite 400, in the building known as 303 Merrick Road, Lynbrook,
NY 11563 (hereinafter referred to as the "Building"), on the fifth floor (hereinafter referred to as the "Demised
Premises"). In addition to occupying the Demised Premises, Tenant shall have the right to use in common with other tenants
all common areas and public portions thereof.

 

TERM

2.
The term of this Lease shall be for a period of five (5) years, and shall commence upon Lease signing, (hereinafter referred to
as the "Commencement Date") and terminate five (5) years thereafter, (hereinafter the "Termination Date or Expiration
Date").

 

RENT

3. (A) The basic annual
rent or Fixed Minimum Rent is as follows:

 

	LEASE YEAR	 	MONTHLY RENT	 
	1st Lease Year	 	$	13,602.83	 
	2nd Lease Year	 	$	14,078.67	 
	3rd Lease Year	 	$	14,571.43	 
	4th Lease Year	 	$	15,081.42	 
	5th Lease Year	 	$	15,609.27	 

 

During the term
of this Lease, the basic annual rental and any Additional Rent or other charges which will be due and payable to Landlord by Tenant
shall be payable in equal monthly installments in advance on the first (1st) day of each calendar month during the term
of this Lease and remitted to P.O. Box 4008, College Point, New York 11357-4008. In addition to the requisite Security Deposit
(as hereinafter defined) Tenant shall pay the first (1st) monthly installment of rent upon the signing of this Lease.
Tenant shall pay the rent as above stated and as hereinafter provided, without any set off or deduction whatsoever. Said rent shall
be applied to the first full month's rent due exclusive of any pro-rated rent or credits allowed. If possession is tendered to
Tenant after the first day of the month, the rent for that month will be apportioned accordingly and shall be paid on the first
day of the second month of the Term.

(B)
For purposes of this Lease, the term "Additional Rent" shall mean and include all sums, charges and deposits payable
under this Lease by Tenant except Fixed Minimum Rent, and the term "Rent" shall mean and include both Fixed Minimum Rent
and Additional Rent. Additional Rent shall be payable within five (5) days of delivery of a bill therefore to Tenant.

 

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(C)
Should Landlord fail to receive within ten (10) days after it is due, any installment of Fixed Minimum Rent, Additional Rent, or
any other sum payable to and/or to be deposited with Landlord under the terms of this Lease, then a "Late Charge" in
the amount of $0.05 per $1.00 due shall be added to the sum due and shall be deemed Additional Rent immediately payable hereunder.
Should any such payment or deposit remain unpaid for more than thirty (30) days after the due date, Tenant shall also pay interest
to Landlord on any such late payments at the rate of eighteen (18%) percent per annum or the maximum rate allowed by law, whichever
is less (hereinafter referred to as the "Default Rate"). If Tenant shall issue a check to Landlord which is returned
unpaid for any reason, Tenant shall immediately pay to Landlord, as Additional Rent, an additional charge of $250.00 for Landlord's
inconvenience and expenses in connection therewith. If Tenant shall be more than ten (10) days late in making any payment due under
this Lease more than two times (2x) in any twelve (12) month period, Landlord shall be entitled to demand from Tenant, and Tenant
agrees to promptly deposit with Landlord, additional cash lease security in the amount of two times (2x) the monthly rent of the
last year of the Term, to be held, applied and added to the lease security in accordance with the terms of Article 4 hereof. If
Tenant shall be more than ten (10) days late in making any payment due under this Lease more than four times (4x) in any twelve
(12) month period, this shall be deemed a material breach of this Lease and Landlord after notice give to Tenant and expiration
of any cure period, may, at its option, cancel this Lease rendering same null and void.

(D)
Tenant covenants and agrees that all Fixed Minimum Rent and Additional Rent due and payable by Tenant under this Lease are unconditional
obligations on the part of Tenant, and shall be paid to Landlord whenever the same shall be due and payable without setoff or deduction
of any kind.

(E)
In any such summary dispossess, non-payment of rent or holdover proceeding, Tenant may not assert a counterclaim, nor have the
right of set-off by way of damages or recoupment by reason of Landlord's failure to perform any of the terms, covenants or conditions
contained in this Lease on Landlord's part to be performed, but Tenant shall be relegated to an independent action for damages,
and such independent action shall not at any time be joined or consolidated with any summary dispossess, non-payment of rent or
holdover proceeding.

 

SECURITY

4.
(A) The Security for the faithful performance and observance by Tenant of Tenant's obligations under this Lease shall be Thirty-One
Thousand Two Hundred Eighteen and 54/100 ($31,218.54) Dollars, equivalent to two times (2x) the monthly rent of the last year of
the lease term, and Tenant shall deposit same with the Landlord contemporaneously with the signing of this Lease Agreement. Tenant
must increase the amount of Security held by Landlord each year in accordance with Subparagraph (G) of this Article 4.

(B)   Landlord
shall not be required to segregate or deposit Tenant's Lease Security in an interest bearing account.

(C)   Tenant
agrees that in the event Tenant defaults in respect of any of the terms, provisions and conditions of this Lease, including, but
not limited to, the payment of Fixed Minimum Rent and Additional Rent, Landlord may use, apply or retain the whole or any part
of the Security deposited and interest earned thereon, if any, to the extent required for the payment of any Fixed Minimum Rent
and Additional Rent, or for any sum which Landlord may expend or may be required to expend, or may lose, as the case may be, by
reason of Tenant's default in respect of any of the terms, covenants and conditions of this Lease, including, but not limited to,
any damages or deficiency in the reletting of the Demised Premises, whether such damage or deficiency accrued before, on or after
summary proceedings or other re-entry by Landlord, with interest thereon from the date of expenditure of loss, as the case may
be.

 

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(D)   In
the event that Tenant shall fully and faithfully comply with all of the terms, provisions, covenants and conditions of this Lease,
the Security, or so much thereof as shall then remain on deposit with Landlord, shall be returned to Tenant within thirty (30)
days after the date fixed as the end of this Lease and after delivery of entire possession of the Demised Premises to Landlord
in accordance with the provisions of this Lease.

(E)   In
the event of a sale of the Demised Premises, Landlord shall have the right to transfer the Security to the vendee or lessee and,
Landlord upon making such transfer and confirming in writing to Tenant that Landlord has done so and who such vendee or lessee
is and what his, her or its address is, thereupon shall be deemed released by Tenant from all liability for the return of the Security
and Tenant agrees to look solely to the new landlord for the return of the Security.

(F)   Tenant
further agrees that it will neither assign nor encumber, nor attempt to assign or encumber, the monies deposited hereunder as Security
and that neither Landlord nor its successors or assigns shall be bound by any such assignment, encumbrance, attempted assignment
or attempted encumbrance.

(G)   Tenant
further agrees that if for any reason (including the reason that Landlord has elected to use, apply or retain the whole or any
part of the Security pursuant to this Article), the Security at any time remaining on deposit with Landlord be less than two times
(2x) the monthly rent of the last year of the Lease, then Tenant, upon written demand and no later than ten (10) days thereafter,
shall deposit with Landlord cash in an amount sufficient to increase the Security to the then required amount of Security. Tenant
shall immediately, upon written notice, deposit with Landlord increases in the Security in accordance with this subparagraph (G)
at the commencement of each new Lease Year.

 

USE

5.
(A) The Tenant shall use and occupy the Demised Premises only for General Offices, and for no other purpose.

(B) Tenant shall use the
Demised Premises in the following manner:

(i)
Subject to, and in accordance with all rules, regulations, laws, ordinances, statutes and requirements of all governmental authorities
and any Fire Insurance Rating Organization, Board of Fire Underwriters and/or similar bodies having jurisdiction thereof.

(ii)
If any governmental license or permit shall be required for the proper and lawful conduct of Tenant's business in the Demised Premises,
or any part thereof, and if failure to secure such license or permit would in any way affect Landlord, Tenant, at its expense,
shall duly procure and thereafter maintain such license or permit and submit the same for inspection by Landlord. Tenant shall,
at all times, comply with the terms and conditions of each such license or permit.

(iii)
Tenant shall not, at any time, use or occupy the Demised Premises or do or permit anything to be done in the Demised Premises in
violation of the Certificate of Occupancy for the Demised Premises or for the Building.

(iv)
Tenant shall not place any load on the floor of the Demised Premises exceeding the floor load of 751bs. per square foot for which
it is designed to carry and, or which is allowed by law.

(v)
Tenant shall not install or place any food and/or beverage vending machine in the Demised Premises.

6.
Intentionally Omitted

 

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LANDLORD'S REPAIRS
AND INITIAL WORK

7.   (A)
Landlord will make all the repairs to and provide the maintenance for the public areas of the Building; the roof and structure
thereof; and to the building-wide systems inclusive of the plumbing, electrical, HVAC and mechanical systems servicing the Demised
Premises, except for such repairs and maintenance to or with respect to same as may be necessitated by reason of the negligence,
improper care or use of such premises and facilities by Tenant, its agents, employees, licensees or invitees, in which event repairs
shall be made by Landlord at Tenant's expense. There shall be no allowance to Tenant for a diminution of rental value and no liability
on the part of Landlord by reason of inconvenience, annoyance or injury to business arising from Landlord making any repairs, alterations,
additions or improvements in or to any portion of the Building or to the Demised Premises, or in or to the fixtures, appurtenances
or equipment thereof, except if due to Landlord's willful acts or that of its agents, contractors or employees.

(B)
Landlord agrees to prepare and complete the Demised Premises as per the work letter annexed hereto and made a part hereof as Schedule
"A". No other initial work shall be required to be performed by Landlord.

 

TENANT'S REPAIRS

8.   Tenant
shall take good care of the interior of the Demised Premises. Tenant shall have no obligation to repair and no liability for any
damage to the service systems located within the Demised Premises, including the plumbing, electrical and HVAC and mechanical systems,
except if the damage to any of said systems occurs as a result of the gross negligence or acts or omissions of Tenant, its agents,
employees or invitees, in which case Landlord may, after fifteen (15) days notice to Tenant, perform said repairs, at the expense
of Tenant, if Tenant fails to do so in a timely fashion. In the case of an emergency, no notice shall be required.

 

PARKING

9.
(A) Landlord shall provide Tenant with fifteen (15) reserved parking spaces, as designated by Landlord, in the parking facility
on-site at no cost to Tenant. Tenant shall keep his existing parking spaces.

(B)
Tenant shall provide and post within the Demised Premises, signs to advise its employees and patrons that unauthorized vehicles
parked in spaces assigned to other tenants will be towed or immobilized at the expense of the vehicle owner without notice.

 

DIRECTORY

10.   Landlord,
in its discretion as to size, location and appearance, will furnish in the lobby of the Building a directory which will contain
a Tenant List. Landlord, in its discretion as to size, location and appearance, will furnish a directory or sign naming the Tenant
and Suite on each floor of the Building in which Tenant occupies space.

11.   Intentionally
Omitted.

 

INSURANCE

12.   (A)
Tenant, at its expense, shall maintain at all times during the term of this Lease, public liability insurance with respect to the
Demised Premises and the conduct or operation of its business therein, naming Landlord as an additional insured, in the minimum
sum of Two Million Dollars ($2,000,000.00) for bodily injury or death to any number of persons in any one occurrence and the minimum
sum of One Million Dollars ($1,000,000.00) for property damage.

 

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(B)   Tenant
shall promptly deliver to Landlord a Certificate of Insurance for such fully paid for policies prior to occupancy, and Tenant shall
deliver to Landlord such Certificate of Insurance for a renewal policy at least thirty (30) days before the expiration of any existing
policy. All such policies shall be issued by companies licensed to do business in the State of New York and rated in Best's Insurance
Guide or any successor thereto (or if there be none, an equivalent organization having a national reputation) as having a general
policyholder rating of "A" and a financial rating of at least "13". All such policies shall contain a provision
whereby the same cannot be canceled or materially modified unless Landlord is given at least thirty (30) days prior written notice
of such cancellation or modification, including, without limitation, any cancellation resulting from the non-payment of premiums.

(C)   Tenant
shall also obtain and keep in full force and effect a policy of insurance (i) against loss or damage by fire and such other risks
and hazards (including burglary and theft) as are insurable under standard forms of "all risk" insurance policies, with
extended coverage, covering all of Tenant's personal property, fixtures, furnishings, and equipment, naming Landlord as additional
insured; (ii) Worker's Compensation insurance in statutorily required amounts; and

(D)   Landlord
shall, at Landlord's sole cost and expense, obtain and maintain in full force and effect throughout the term of this Lease: (i)
all-risk property damage insurance in an amount equal to either (1) the full replacement value of the Building, or (2) the amount
required by the then holder of any first mortgage against the Building (or if no such mortgagee exists, then an amount that would
ordinarily be required by a mortgagee of a comparable first class office building in Lynbrook, New York); and (ii) such other insurance
with respect to the Building for such amounts and with such limits of coverage and deductibles as may from time to time be typically
carried by owners of comparable first class office buildings in Lynbrook, New York, including, but not limited to, fire insurance,
commercial general liability insurance, commercial property insurance, and rent loss insurance.

 

REAL ESTATE TAX ESCALATION

13. (A) For purposes of
this Article, the following definitions shall apply:

1)   The
term "Tax Year" shall mean the fiscal year, July 1 to June 30 (or such other fiscal year as hereafter may be duly adopted
by the taxing authorities for real estate tax purposes).

2)   The
term "Base Tax Year" shall mean the real estate taxes due and payable for the following tax periods: a) Town/County Taxes
- January 1, 2015 through December 31, 2016;

b) City
Taxes - June 1, 2015 through May 31, 2016; and c) School Taxes - July 1, 2015 through June 30, 2016.

3)   The
term "Base Taxes" shall mean the Taxes computed by the taxing jurisdiction for the Base Tax Year.

4)   The
term "Escalation Year" shall mean any Tax Year during the term of this Lease commencing with Tax Year commencing: a)
January 1, 2015 for Town/County Taxes; b) June 1, 2015 for City Taxes; and c) July 1, 2015 for School Taxes.

5)   The
term "Taxes" shall be deemed to include all real estate taxes assessed upon or with respect to the tax lot upon which
the Building is situated and imposed by the taxing authorities. If, due to any change in the method of taxation, other taxes are
imposed or substituted for, or levied against Landlord or any owner of the Building or the real property, in lieu of any real estate
taxes upon or with respect to the real property now being assessed, such tax shall be included in the term Taxes for the purposes
of this Article, except taxes such as franchise, income, or revenue tax on Landlord's rental income receipts.

 

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6)
Tenant's Proportionate Share, as referred to herein and elsewhere in this Lease, is currently 10.5% Tenant's Proportionate Share
is subject to change based upon any change in the square footage of the Building and/or the Demised Premises. Tenant's Proportionate
Share shall mean the fraction, the denominator of which is the net rentable area of the Building in square feet and the numerator
of which is the Demised Premises area in square feet.

(B)   If
Taxes payable in any Escalation Year shall be in such amount as shall constitute an increase above Base Taxes, Tenant shall pay
Tenant's Proportionate Share of such increase. Increases in Taxes, payable by reason of reductions in Landlord's tax abatement
shall be deemed tax increases subject to provision of this Escalation Clause.

(C)   If
the sum of the installments of Taxes payable by Landlord in any Escalation Year exceeds the Landlord's Base Taxes for the Base
Tax Year, the annual rental reserved hereunder for such Escalation Year shall be increased by Tenant's Proportionate Share of the
amount of such excess and shall be payable during such Escalation Year in monthly amounts equal to 1/12th of the amount of such
increase (as reasonably estimated by Landlord if not finally determinable on the first day of such Tax Year, subject to later adjustment).

(D)   If
a final determination shall be rendered reducing the assessed valuation of the land and/or Building for the Landlord's Base Tax
Year, the assessed valuation as so reduced shall, for all purposes be the assessed valuation used in computing the Landlord's Base
Taxes under section (4) of sub-paragraph (A) above. If said determination is rendered subsequent to the submission by Landlord
to Tenant of any statements referred to in sub-paragraph (E) below, Landlord shall submit revised statements to Tenant based upon
the reduced assessed valuation and Tenant shall, within thirty (30) days after submission of said revised statements, pay Landlord
any Additional Rent due by reason of such recomputations which computation shall be adequately set forth in the said revised statements.

(E)   Landlord
shall from time to time during the term of this Lease, after the respective amounts of Taxes for the periods in question become
ascertainable, submit to Tenant statements setting forth the computation of any increase or decrease in rental. Landlord's failure
to submit a statement or statements pursuant to this sub-paragraph or sub-paragraph (D) above shall not constitute a waiver of
any rent increases payable by Tenant under this paragraph provided, however, that such Additional Rental shall only become due
and payable following Tenant's receipt of such statement from Landlord. Landlord may submit its statements (or estimates thereof)
separately and at different times, but the payment of Additional Rent shall nevertheless be made in the manner and within the time
limits herein above set forth with respect to each statement so submitted.

(F)   If
the term of this Lease expires on a day other than the last day of the Tax Year, rental increases pursuant to subparagraph (C)
above shall be pro-rated as of said expiration date.

(G)   In
the event of a taking, pursuant to the power of eminent domain, of a portion of the Building under such circumstances as shall
not result in a termination of this Lease, then from and after the date of such taking (i) the Base Tax Amount shall be deemed
reduced in proportion to the reduction in the number of square feet of rentable space in the Building resulting from such taking,
and (ii) Tenant's Proportionate Share shall be adjusted so as to be equal to a fraction of which the denominator is the reduced
number of square feet of rentable space in the building and the numerator is the number of square feet of space Leased to Tenant
following such taking.

(H)
The provisions of this paragraph shall survive the expiration or termination of this Lease until a final adjustment has been made
for the Tax Year in which the Expiration Date occurs.

 

    	6

    	 

    

 

(I)
The statements of the adjustment to be furnished by Landlord as provided in subparagraph (E) shall be based on data submitted by
Landlord to a firm of Certified Public Accountants (who may be the firm now or then currently employed by Landlord for the audit
of its accounts). In the accountant's opinion based on the date submitted, such statements shall present fairly the escalation
adjustment for the periods represented thereby.

(J)
Any delay or failure of Landlord, beyond January of any year, in computing the billing for the rent adjustments herein above provided,
shall not constitute a waiver of or in any way impair the continuing obligation of Tenant to pay such rent adjustments hereunder
upon Tenant's receipt of such statements.

(K)
Notwithstanding any expiration or termination of this Lease prior to the Lease expiration date (except in the case of a cancellation
by mutual agreement, termination upon casualty or condemnation) Tenant's obligation to pay rent as adjusted under this Article
shall continue and shall cover all periods up to the Lease expiration date, and shall survive an expiration or termination of this
Lease until such amounts previously accruing have been paid.

(L)
If the first or final Lease year during which escalations may occur shall contain less than twelve (12) months, the Additional
Rental under this Lease shall be prorated.

14. Intentionally Omitted.

 

ADDITIONAL RENT

15.   In
the event the Tenant shall fail to pay Landlord the charges and expenses as required by the terms of this Lease other than the
annual base or Fixed Minimum Rent (hereinafter sometimes referred to as "Additional Rent"), the Landlord shall have the
same rights and remedies as those provided for in the Lease with regard to the Tenant's failure to pay an installment of the annual
base rent.

 

FIXTURES & INSTALLATIONS

16.

A.   All
appurtenances, fixtures, improvements, additions and other property attached to or built into the Demised Premises by Landlord,
at Landlord's expense, shall be and remain the property of Landlord, except that any such fixtures, improvements, additions and
other property installed at the expense of Tenant may be removed by Tenant on the condition that Tenant shall repair, at its expense,
any damage to the Demised Premises or the Building resulting from such removal. Except as otherwise provided for herein, all the
outside walls of the Demised Premises including corridor walls and the outside entrance doors to the Demised Premises, any balconies,
terraces or roofs adjacent to the Demised Premises, and any space in the Demised Premises used for shafts, stacks, pipes, conduit,
ducts or other building facilities, and the use thereof, as well as access thereto, for the purpose of operation, maintenance,
decoration and repair, are expressly reserved to Landlord, and Landlord does not convey any rights to Tenant therein. Notwithstanding
the foregoing, Tenant shall enjoy full right of access to the Demised Premises through the public entrances, public corridors and
public areas within the Building.

 

    	7

    	 

    

 

ALTERATIONS

17.   (A)
Tenant shall make no structural alterations, decorations, installations, additions or improvements in or to the Demised Premises
without Landlord's prior written consent, which consent shall not be unreasonably withheld or delayed, and then only by contractors
or mechanics approved by Landlord and who do not interfere with Landlord's work in the Building.

(B) All installations or
work done by Tenant shall at all times comply with:

(a)   Laws,
rules, orders and regulations of governmental authorities having jurisdiction thereof.

(b)   Reasonable
rules and regulations of the Landlord.

(c)   Plans
and specifications prepared by and at the expense of Tenant shall be submitted to Landlord for its prior written approval; no installations
or work shall be undertaken or started by Tenant, its agents, servants or employees, until Landlord has approved such plans and
specifications; and no material amendments or additions to such plans and specifications shall be made without prior written consent
of Landlord. Tenant agrees that it will not, either directly or indirectly, use any contractors and/or labor and/or materials that
would or will create any labor disharmony with any contractors and/or labor engaged by Landlord in the construction, maintenance
and/or operation of the Building or any part thereof.

(d)   Tenant
shall defend, indemnity and hold harmless Landlord from any claim arising out of the performance of said Tenant's work. Tenant
shall supply Landlord with workmen's compensation certificates for all persons and/or contractors performing work for Tenant at
the Demised Premises, a public liability insurance policy in the minimum sum of Two Million Dollars ($2,000,000.00) for personal
injuries and death claims and the minimum sum of One Million Dollars ($1,000,000.00) for property damage. In the event any mechanics
lien shall be filed against the Building by any of the Tenant's contractors, subcontractors or material men, for work done on behalf
of Tenant, Tenant shall discharge the lien by bond, payment or otherwise, within thirty (30) days of filing thereof after notice
to Tenant and upon Tenant's failure to so discharge any lien, Landlord may, at its option, remove the lien by bonding and charge
the Tenant with the cost thereof, together with its reasonable and actual attorneys' fees.

 

REQUIREMENTS OF LAW

18.
(A) Tenant, at Tenant's sole cost and expense shall comply with all applicable laws, orders and regulations of Federal, State,
County and Municipal authorities, and with all directions, pursuant to law, of all public officers, which shall impose any duty
upon Tenant with respect to the special use or occupation of the Demised Premises by Tenant.

(B)
Tenant shall not do anything, or permit anything to be done, in the Demised Premises which shall (i) invalidate or be in conflict
with the provisions of any fire or other insurance policies covering the Building or any property located therein, or (ii) result
in a refusal by fire insurance companies of good standing to insure the Building or any such property, or (iii) cause any increase
in the fire insurance rates applicable to the Building or property located therein at the beginning of the Demised Term or at any
time thereafter. Tenant, at Tenant's expense, shall comply with all the rules, orders, regulations or requirements of the New York
Board of Fire Underwriters and the New York Fire Insurance Rating organization or any similar body.

(C) In any action
or proceeding wherein Landlord and Tenant are parties, a schedule or "make-up" of rates applicable to the Building or
property located therein issued by the New York Fire Insurance Rating Organization or other similar body fixing such fire insurance
rates, shall be conclusive evidence of the facts therein stated and of the several items and charges in the fire insurance rates
then applicable to the Building or property located therein.

 

    	8

    	 

    

 

(D)
Tenant shall be responsible for curing any notices of violation arising out of Tenant's acts issued by any governmental agency
affecting the Demised Premises and the Building and Property and otherwise complying with all applicable laws and regulations affecting
the Building and the Property.

 

LANDLORD'S CONSENT

19.   (A)
In no event shall Tenant be entitled to make, nor shall Tenant make, any claim, and Tenant hereby waives any claim for any sum
of money whatsoever as damages, costs, expenses, attorneys' fees or disbursements, whether affirmatively or by way of setoff, counterclaim
or defense, based upon any claim or assertion by Tenant that Landlord has unreasonably withheld or unreasonably delayed any consent
or approval (including, without limitation, consent to a proposed assignment or sublease of the Premises), and Tenant's sole remedy
for claimed unreasonable withholding or unreasonable delaying by Landlord of its consent or approval shall be an action or proceeding
brought and prosecuted solely at Tenant's own cost and expense to enforce such provision, for specific performance, injunction
or declaratory judgment.

(B)
If Tenant requests Landlord's consent or approval to alterations, assignment, subletting or any other matter or thing requiring
Landlord's consent or approval under this Lease, and if in connection with such request Landlord seeks the advice of its attorneys,
accountants, architect, engineer or other professional, then Landlord, as a condition precedent to granting its consent or approval,
may require (in addition to any other requirements of Landlord in connection with such request) that Tenant pay the fee of Landlord's
attorneys, accountants, architect, engineer or other professional in connection with the consideration of such request and/or the
preparation of any documents pertaining thereto.

 

END OF TERM

20.
(A) Upon the expiration or other termination of the term of this Lease, Tenant shall quit and surrender to Landlord the Demised
Premises, broom clean, in good order and condition, ordinary wear and casualty excepted, and Tenant shall remove all of its property
and shall repair all damage to the Demised Premises or the Building occasioned by such removal. Any property not removed from the
premises shall be deemed abandoned by Tenant and may be disposed of in any manner deemed appropriate by the Landlord, unless otherwise
agreed to in writing (i.e. extension of time to remove). Tenant expressly waives, for itself and for any person claiming through
or under Tenant, any rights which Tenant or any such person may have under the provisions of Section 221 of the Real Property Actions
and Proceedings Law and of any successor law of like import then in force in connection with any holdover or summary proceedings
which Landlord may institute to enforce the foregoing provisions of this Article at the end of the term as expressed herein. Tenant's
obligation to observe or perform this covenant shall survive the expiration or other termination of the term of this Lease. If
the last day of the term of this Lease or any renewal hereof falls on a Sunday or a legal holiday, this Lease shall expire on the
business day immediately preceding.

(B)   Tenant
acknowledges that possession of the Demised Premises must be surrendered to Landlord at the expiration or sooner termination of
the term of this Lease. The parties recognize and agree that the damage to Landlord resulting from any failure by Tenant to timely
surrender possession of the Demised Premises as aforesaid will be substantial, will exceed the amount of Fixed Minimum Rent and
Additional Rent theretofore payable hereunder, and will be impossible accurately to measure. Tenant therefore agrees that if possession
of the Demised Premises is not surrendered to Landlord upon the expiration or sooner termination of the term of this Lease, then
notwithstanding anything to the contrary contained in this Lease, Tenant shall pay to Landlord for each month and for each portion
or any month during which Tenant holds over in the demised premises after the expiration or sooner termination of the term of this
Lease, for use and occupancy, the aggregate sum of (i) one hundred fifty percent the amount of the installment of the Fixed Minimum
Rent that was payable under this Lease for the last month of the term hereof, plus (ii) one-twelfth of all items of annual Additional
Rent which would have been payable monthly pursuant to this Lease had its term not expired or been terminated, plus (iii) those
items of Additional Rent (not annual Additional Rent) which would have been payable monthly pursuant to this Lease had its term
not expired or been terminated, which aggregate sum Tenant agrees to pay to Landlord upon demand, in full without setoff, and no
extension or renewal of this Lease shall be deemed to have occurred by such holding over, nor shall Landlord be precluded by accepting
such aggregate sum for use and occupancy from exercising all rights and remedies available to it to obtain possession of the Demised
Premises. Further, Tenant shall be liable to Landlord for all losses and damages which Landlord may reasonably incur or sustain
by reason of such holding over, including, but not limited to, damages incurred or sustained by reason of Landlord's inability
to timely place a new tenant in possession of the demised premises.

 

    	9

    	 

    

 

(C)   If
Tenant shall default in surrendering the demised premises upon the expiration or termination of the term, Tenant's occupancy subsequent
to such expiration or termination, whether or not with the consent or acquiescence of Landlord, shall be deemed to be that of a
tenancy at will and in no event from month-to-month or from year-to-year, and it shall be subject to all the terms, covenants and
conditions of this Lease applicable thereto, except with respect to the Fixed Minimum Rent as hereinabove stated. Tenant hereby
expressly waives any and all predicate notices to a holdover and Landlord may immediately proceed with a holdover Notice of Petition
and Petition.

 

QUIET ENJOYMENT

21.   Landlord
covenants and agrees with Tenant that upon Tenant paying the rent and Additional Rent and observing and performing all the terms,
covenants and conditions on Tenant's part to be observed and performed, Tenant may peaceably and quietly enjoy the Demised Premises
during the term of this Lease without hindrance or molestation by anyone claiming by or through Landlord, subject, nevertheless,
to the terms, covenants and conditions of this Lease.

 

SIGNS

22.   No
sign or lettering of any nature may be put on or in any window, nor on the exterior of the Building or elsewhere within the Demised
Premises such as shall be visible from the street, except with the written approval of the Landlord which shall not be unreasonably
withheld or delayed.

23.   Intentionally
Omitted.

 

RULES AND REGULATIONS

24.   Tenant
and Tenant's agents, employees, invitees, and licensees shall faithfully comply with the Rules and Regulations set forth in Schedule
"B" annexed hereto and made a part hereof, and with such further Rules and Regulations as Landlord at any time
may make and communicate in writing to Tenant which, in Landlord's judgment shall be necessary for the reputation, safety, care
or appearance of the Building and the land allocated to it or the preservation of good order there in, or the operation or maintenance
of the Building, and such land, its equipment, or the more useful occupancy or the comfort of the tenants or others in the Building.
Landlord shall not be liable to Tenant for the violation of any of said Rules and Regulations, or the breach of any covenant or
condition in any Lease by any other tenant in the Building, provided such are applied in an equal and non-discriminatory manner.
In the event of a conflict between this Lease and the Rules and Regulations, the terms of this Lease shall prevail.

 

    	10

    	 

    

 

ASSIGNMENT AND SUBLETTING

25.
(A) Tenant, for itself, its successors and assigns, expressly covenants that it shall not assign, mortgage or encumber this Agreement,
nor under let the Demised Premises or any part thereof or license or permit the Demised Premises or any part thereof to be used
by others, without the prior written consent of the Landlord, which consent shall not be unreasonably withheld or delayed, and
upon due compliance with the provisions of this Article.

(B)   Prior
to requesting the approval of Landlord to an assignment or subletting as hereinafter provided, Tenant shall offer to terminate
this Lease as of the last day of the calendar month which is at least sixty (60) days from the date of Tenant's notice, during
the term hereof, which day shall be prior to the effective date of such proposed assignment or subletting, and to vacate and surrender
the Demised Premises to Landlord. Simultaneously with said offer to terminate this Lease, Tenant shall advise the Landlord of all
the terms, covenants and conditions of the Tenant's proposed sublease or assignment. A sublease of less than forty percent (40%)
of the Demised Area shall not give rise to Landlords recapture rights herein. The provisions of this subsection shall not be applicable
provided (i) in the case of a sublease fifty percent (50%) of all Rent and Additional Rent received by Tenant for sublease(s),
shall be paid to Landlord within fifteen (15) days of receipt, as Additional Rent; and (ii) in the case of an assignment, fifty
percent (50%) of any consideration paid to Tenant for said assignment, except that which is paid for Tenant's furniture, fixtures,
equipment, Leasehold improvements and goodwill shall be paid to Landlord within fifteen (15) days of receipt. In either of the
foregoing cases, Tenant shall first deduct its expenses, including brokerage fees, before submitting to Landlord.

(C)   With
respect to any proposed subtenant or assignee, Tenant shall submit to Landlord the most recent fiscal year's financial statements
of such person or entity as well as a description of the business of the person or entity. Upon Tenant's due compliance with the
aforesaid provisions of this Article, Landlord agrees not to unreasonably withhold its consent to an assignment or subletting,
provided that the Tenant is not then in default beyond any cure period under this Lease and that the proposed assignee or undertenant:
(a) has a comparable financial position and net worth as tenant (b) is credit-worthy and (c) of good reputation and (d) is not
entitled to diplomatic immunity.

(D)   No
such assignment shall be effective until duplicate originals of such Assignment and Assumption Agreement wherein Assignee agrees
to perform all the obligations of the Tenant under this Lease in form satisfactory to Landlord and its counsel are delivered to
Landlord.

(E)   No
sub-letting or assignment of the Demised Premises shall release or discharge the Tenant hereunder from any of its obligations to
be performed under this Lease.

(F)   Notwithstanding
anything contained in this Lease to the contrary, Landlord shall not be obligated to entertain or consider any request by Tenant
to consent to any proposed assignment of this Lease or sublease unless Tenant pays Landlord's reasonable and actual legal fees
and related costs to process the proposed assignment. Neither Tenant's payment nor Landlord's acceptance of any such payments shall
be construed to impose any obligation whatsoever upon Landlord to consent to Tenant's request.

 

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LANDLORD'S ACCESS TO
PREMISES

26.   (A)
Landlord or Landlord's agents shall have the right to enter and/or pass through the Demised Premises at all times after reasonable
notice and at reasonable hours, except in an emergency, in which case no notice shall be required and entrance may be made at any
time, to examine same, and to show them to mortgagees, ground lessors, prospective purchasers or lessees or mortgagees of the Building,
and to make such repairs, improvements or additions as Landlord may deem necessary and Landlord shall be allowed to take all material
into and upon and/or through said Demised Premises that may be required therefore. During the six (6) months prior to the expiration
of the term of this Lease, or any renewal term, Landlord may exhibit the Demised Premises to prospective tenants or purchasers
at all reasonable hours with minimum disruption to Tenant’s business. If Tenant shall not be personally present to open and
permit an entry into said premises at any time when for any reason an entry therein shall be necessary, Landlord or Landlord's
agents may enter the same by a master key without rendering Landlord or such agent liable therefore.

(B)   Landlord
shall have the right at any time, to change the arrangement and/or location of entrances or passageways, doors and doorways, and
corridors, elevators, stairs, toilets and other public parts of the Building, provided, same does not diminish Tenant's usable
area or obstruct Tenant's access to the Demised Premises, or visibility of the Demised Premises.

(C)   Provided
the Landlord complies with the terms hereof, the exercise by Landlord or its agents of any right reserved to Landlord in this Article
shall not constitute an actual or constructive eviction, in whole or in part, or entitle Tenant to any abatement or diminution
of rent, or relieve Tenant from any of its obligations under this Lease, or impose any liability upon Landlord, or its agents,
or upon any lessor under any ground or underlying Lease, by reason of inconvenience or annoyance to Tenant, or injury to or interruption
of Tenant's business, or otherwise. Landlord agrees to use its best efforts to minimize interference with Tenant's business.

 

SUBORDINATION

27.
(A) This Lease is subject and subordinate in all respects to all ground Leases and/or underlying Leases and to all present and/or
future mortgages which may be placed on or affect such Leases and/or the real property of which the Demised Premises forms a part,
or any part of such real property and/or Landlord's interest or estate therein, and to each advance made and/or hereafter to be
made under any such mortgages, and to all renewals, modifications, consolidations, replacements and extensions thereof. Tenant
shall execute and deliver promptly any certificate that Landlord and or any mortgagee and/or the lessor under any ground or underlying
Lease and/or their respective successors in interest may reasonably request.

(B)
Tenant shall, at any time and from time to time upon not less than fifteen (15) days prior notice by Landlord, execute, acknowledge
and deliver to Landlord a statement in writing certifying that this Lease is unmodified and in full force and effect (or if there
have been modifications, that the same is in full force and effect as modified and stating the modification) and the dates to which
the rent, Additional Rent and other charges have been paid in advance, if any, and stating whether or not to the best knowledge
of the signer of such certificate that Landlord is in default in performance of any covenant, agreement, term, provision or condition
contained in this Lease, and if so, specifying each such default of which the signer may have knowledge, it being intended that
any such statement delivered pursuant hereto may be relied upon by any mortgagee, prospective purchaser or lessee of said real
property or any interest or estate therein, any prospective mortgagee thereof or any prospective assignee of any mortgage thereof.

 

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PROPERTY LOSS, DAMAGE
REIMBURSEMENT

28.
(A) Landlord or its agents shall not be liable for any loss of or damage to, any property of Tenant by theft or otherwise, unless
wholly caused by the negligent misconduct of Landlord, its agents, contractors, servants and/or employees. Landlord or its agents
shall not be liable for any injury or damage to persons or property resulting from fire, explosion, falling plaster, steam, gas,
electrical, electrical disturbance, water, rain or snow or leaks from any part of the Building or from the pipes, appliances or
plumbing works or from the roof, street or subsurface or from any other place or by dampness or by any other cause of whatsoever
nature, unless caused by or due to the negligent misconduct of Landlord, its agents, servants, contractors or employees; nor shall
Landlord or its agents be liable for any such damage caused by other tenants or persons in the Building or caused by operations
of construction or any private, public or quasi-public work. If at any time any windows of the Demised Premises are temporarily
closed or darkened incident to or for the purpose of repair, replacement, maintenance and/or cleaning in, on or about the Building
or any part or parts thereof, Landlord shall not be liable for any damage Tenant may sustain thereby and Tenant shall not be entitled
to any compensation therefore, nor abatement of rent, nor shall the same release Tenant from obligations hereunder nor constitute
an eviction. Tenant shall give prompt notice to Landlord in case of fire or accidents in the Building or of defects therein or
in any fixtures or equipment of which Tenant has knowledge.

(B)
Tenant shall indemnify and save harmless Landlord against and from any and all claims by or on behalf of any person or persons,
firm or firms, corporation or corporations arising from the omission of any Tenant work or thing whatsoever done by Tenant (other
than by Landlord or its contractors or the agents or employees of either) in and on the Demised Premise during the term of this
Lease and during the period of time, if any, prior to the specified commencement date that Tenant may have been given access to
the Demised Premises for the purpose of making installations, and will further indemnify and save harmless Landlord against and
from any and all claims arising from any condition of the Demised Premises due to or arising from any willful misconduct or breach
of Lease or gross negligence of Tenant or any of its agents, contractors, servants, employees, licensees or invitees and against
and from all reasonable costs, expenses, and liabilities incurred in connection with any such claim or claims or action or proceeding
brought thereon; and in case any action or proceeding be brought against Landlord by reason of any such claim Tenant, upon notice
from Landlord, agrees that Tenant, at Tenant's expense, will resist or defend such action or proceeding and will employ counsel
therefore.

 

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DESTRUCTION - FIRE
OR OTHER CASUALTY

29.
If the Demised Premises shall be damaged by fire or other casualty Landlord, at Landlord's expense, shall promptly repair such
damage to substantially the same condition as existed prior to such casualty. However, Landlord shall have no obligation to repair
any damage to, or to replace, Tenant's personal property or any other property or effect of Tenant except if such fire or casualty
was caused by the willful misconduct of Landlord or its agents, contractors or employees. If the entire Demised Premises shall
be rendered untenantable by reason of any such damage, the rent and Additional Rent shall abate for the period from the date of
such damage to the date when such damage shall have been repaired, and if only a part of the Demised Premises shall be so rendered
untenantable, the rent and Additional Rent shall abate for such period in the proportion which the area of the part of the Demised
Premises so rendered untenantable bears to the total area of the Demised Premises. However, if, prior to the date when all of such
damage shall have been repaired any part of the Demised Premises so damaged shall be rendered untenantable and shall be used or
occupied by Tenant or any person or persons claiming through or under Tenant, the amount by which the rent and Additional Rent
shall abate shall be equitably apportioned for the period from the date of any such use or occupancy to the date when all such
damage shall have been repaired. Tenant hereby expressly waives the provisions of Section 227 of the New York Real Property Law
and of any successor law of like import then in force and Tenant agrees that the provision of this Article shall govern and control
in lieu thereof. Notwithstanding the foregoing provisions of this Section, if, prior to or during the Demised Term (i) the Demised
Premises shall be totally damaged or rendered wholly untenantable by fire or other casualty, and if Landlord shall decide
not to restore the Demised Premises, or (ii) the Building shall be so damaged by fire or other casualty that total alteration,
demolition or reconstruction of the Building shall be required, (whether or not the Demised Premises shall be damaged or rendered
untenantable), then, in any such events, Landlord, at Landlord's option, may give to Tenant within forty-five (45) days after such
fire or other casualty, a thirty (30) days notice of termination of this Lease and, in the event such notice is given, this Lease
and the Demised Term shall come to an end and expire (whether or not said term shall have commenced) upon the expiration of said
thirty (30) days with the same effect as if the date of expiration of said thirty (30) days were the Expiration Date, the rent
and Additional Rent shall be apportioned and any prepaid portion of rent and Additional Rent for any period after such date shall
be refunded by Landlord to Tenant within thirty (30) days.

 

SUBROGATION

30.   Tenant
and its successors or assigns hereby waives any and all rights of action against Landlord which may hereafter arise for damage
to the premises or to its property to the extent that there is insurance coverage for same, under policies required to be carried
by Tenant hereunder. Tenant agrees to obtain and maintain a waiver of subrogation from its carrier and to carry insurance covering
its respective interest in the Demised Premises and its property. In any case in which Landlord shall be obligated under any provisions
of this Lease to pay to Tenant any loss, cost, damage, liability or expense, Tenant shall allow to Landlord an offset against the
amount thereof the net proceeds of any insurance collected by same for or on account of such loss, cost, damage, liability or expense.

 

EMINENT
DOMAIN

31.       (A)
In the event that the whole of the Demised Premises or access thereto, shall be lawfully condemned or taken in any manner for any
public or quasi-public use, this Lease and the term and estate hereby granted shall forthwith cease and terminate as of the date
of vesting of title. In the event that a material part of the Demised Premises shall be so condemned or taken, then effective as
of the date of vesting of title, rent and Additional Rent hereunder shall be abated in an amount thereof apportioned according
to the area of the Demised Premises so condemned or taken. In the event that a material part of the Building (in excess of 25%)
shall be so condemned or taken, then Landlord (whether or not the Demised Premises be affected) may, at its option terminate this
Lease and the term and estate hereby granted as of the date of such vesting of title by notifying Tenant in writing of such termination
within forty-five (45) days following date on which Landlord shall have received notice of vesting of title. In the event that
only a part of the Demised Premises shall be so condemned or taken and this Lease and the term and estate hereby granted is not
terminated as hereinbefore provided, Landlord will, at its expense, promptly (but in all events in less than 120 days) restore
the remaining portion of the Demised Premises as nearly as practicable to the same condition as it was in prior to such condemnation
or taking.

 

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(B)   In
the event of a termination in any of the cases herein above provided, this Lease and the term and estate granted shall expire as
of the date of such termination with the same effect as if that were the date hereinbefore set forth for the expiration of the
term of this Lease, and the rent and Additional Rent hereunder shall be apportioned as of such date.

(C)   In
the event of any condemnation or taking herein above mentioned of all or a part of the Building, Landlord shall be entitled to
receive the entire award made for the value of the estate vested by this Lease in Tenant, except that the Tenant may file a claim
for any taking of removable fixtures owned by Tenant and for moving/relocating expenses incurred by Tenant.

 

WASTE

32.   Tenant
will not do or suffer any waste or damage, disfigurement or injury to the Building or any part thereof.

 

CERTIFICATE OF OCCUPANCY

33.   Tenant
will not at any time use or occupy the Demised Premises in violation of the Certificate of Occupancy (temporary or permanent) issued
for the Building or portion thereof of which the Demised Premises form a part.

 

DEFAULT

34.   (A)
The occurrence, at any time prior to or during the Demised Term, of any one or more of the following events shall be a default
(referred to as "Events of Default"):

(a)   If
Tenant shall default in the payment when due of any installment of rent or in the payment when due of any Additional Rent, and
such default shall continue for a period of ten (10) days after notice by Landlord to Tenant of such default; or

(b)   If
Tenant shall default in the observance or performance of any term, covenant or condition of this Lease on Tenant's part to be observed
or performed (other than the covenants for the payment of rent and Additional Rent) and Tenant shall fail to remedy such default
within twenty (20) days after notice by Landlord to Tenant of such default, or if such default is of such a nature that it cannot
be completely remedied within said period of twenty (20) days and Tenant shall not commence curing such default within said period
of twenty (20) days, or shall not thereafter diligently prosecute to completion, all steps necessary to remedy such default; or
if Tenant shall file a voluntary petition in bankruptcy or insolvency, or shall be adjudicated bankrupt or become insolvent, or
shall file any petition seeking any reorganization, arrangement, composition, readjustment, liquidation, dissolution or similar
relief under the present or any future federal bankruptcy act or any other present or future applicable federal, state or other
statute of law, or shall make an assignment for the benefit of creditors or shall seek or consent to, or acquiesce in the appointment
of any trustee, receiver or liquidator of Tenant or of all or any part of Tenant's property; or

(d)   If,
within sixty (60) days after the commencement of any proceeding against Tenant, whether by the filing of a petition or otherwise
seeking any reorganization, arrangement, composition, liquidation, dissolution or similar relief under the present or any future
federal bankruptcy act or any other present or future applicable federal, state or other statute or law, such proceedings shall
not have been dismissed, or if within sixty (60) days after the appointment of any trustee, receiver or liquidator of Tenant, or
of all or any part of Tenant's property, without the consent or acquiescence of Tenant such appointment shall not have been vacated
or otherwise discharged, or if any execution or attachment shall be issued against Tenant or any of Tenant's property pursuant
to which the Demised Premises shall be taken or occupied or attempted to be taken or occupied and not dismissed within sixty (60)
days; or

 

    	15

    	 

    

 

(e)   If
the Demised Premises shall become vacant, deserted or abandoned by Tenant for a period longer than thirty (30) days not due to
Tenant’s remodeling or restoration of the demised premises; or

(f)   If
Tenant's interest in this Lease shall devolve upon or pass to any person, whether by of Default, Landlord, at any time thereafter,
at Landlord's option, may give to Tenant a five (5) days notice of termination of this Lease, in which event, this Lease and the
Demised Term shall come to an end and expire (whether or not said term shall have commenced) upon the expiration of said five (5)
days with the same effect as if the date of expiration of said five (5) days were the Expiration Date of the Lease but Tenant shall
remain liable for damages as provided in this Lease.

(C)   Any
monies received by Landlord from, or, on behalf of Tenant during the pendency of any proceeding hereunder shall be deemed paid
as compensation for the use and occupancy of the Demised Premises and the acceptance of any such compensation by Landlord shall
not be deemed a waiver on the part of Landlord of any rights under this Article.

(D)   If
Tenant shall default in the payment when due of any installment of rent or in the payment when due for any Additional Rent and
such default shall continue for a period of ten (10) days after notice by Landlord to Tenant of such default, or if this Lease
and the Demised Term shall expire and come to an end as provided in this Article:

(a)
Landlord and its agents and servants may immediately or at any time after such Event of Default or after the date upon which the
Lease and the Demised Term shall expire and come to an end, re-enter the Demised Premises or any part thereof, with notice, by
summary proceedings or by any other applicable action or proceeding and after obtaining an order of a court of competent jurisdiction
authorizing same, and may repossess the Demised Premises and dispossess Tenant and any other persons from the Demised Premises
and remove any and all of their property and effects from the Demised Premises; and

(b)
Landlord, at Landlord's option, may relet the whole or any part or parts of the Demised Premises from time to time either in the
name of Landlord or otherwise, to such tenant or tenants, for such term or terms ending before, on or after the Expiration Date,
at such rental or rentals and upon such other conditions, which may include concessions and free rent periods, as Landlord, in
its reasonable discretion, may determine. Landlord shall in no event be liable for failure to relet the Demised Premises or any
part thereof, or, in the event of any such reletting, for failure to collect any rent due upon any such reletting, and no such
failure shall operate to relieve Tenant of any liability under this Lease. Landlord at Landlord's option, may make such repairs,
replacements, alterations, additions, improvements, decorations and other physical changes in and to the Demised Premises as Landlord,
in its discretion considers advisable or necessary in connection with any such reletting without relieving Tenant of any liability
under this Lease or otherwise affecting any such liability.

(E)
Tenant, on its own behalf and on behalf of all persons claiming through or under Tenant, including all creditors, does hereby waive
any and all rights which Tenant and all such persons might otherwise have under any present or future law to redeem the Demised
Premises, or to re-enter or repossess the Demised Premises, or to restore the operation of this Lease, after (i) Tenant shall have
been dispossessed by a judgment or by warrant of any court or judge or (ii) reentry by Landlord, or (iii) any expiration or termination
of this Lease and the Demised Term, whether such dispossess, re-entry, expiration or termination shall be by operation of law or
pursuant to the provisions of this Lease.

 

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SPRINKLERS

35.
Anything elsewhere in this Lease to the contrary notwithstanding, if the New York Board of Fire Underwriters or New York Fire Insurance
Exchange or any bureau, department, official of the federal, state or city government require the installation of a sprinkler system
or that any changes, modifications, alterations, or additional sprinkler heads or other equipment be made or supplied in an existing
sprinkler system solely by reason of Tenant's business, Tenant shall, at Tenant's expense, promptly make such sprinkler system
installations, change, modifications, alterations, and supply additional sprinkler heads or other equipment as required.

 

DAMAGES

36.
(A) If this Lease and the Demised Term shall expire and come to an end as provided in this Lease or by or under any summary proceeding,
or any other action or proceeding or if Landlord shall re-enter the Demised Premises under any summary proceedings or any other
action or proceeding then, in any of said events:

(a)   Tenant
shall pay to Landlord all rent, Additional Rent and other charges payable under this Lease by Tenant to Landlord to the date upon
which this Lease and the Demised Term shall have expired and come to an end or to the date of re-entry upon the Demised Premises
by Landlord, as the case may be; and

(b)   Tenant
shall also be liable for, and shall pay to Landlord, as liquidated and agreed final damages, any deficiency (referred to as "Deficiency")
which is the sum equal to the amount by which the rent and Additional Rent reserved in this Lease for the period which otherwise
would have constituted the unexpired portion of the Demised Term discounted to present value (excluding any unexercised extension
option) exceeds the net amount, if any, of rents collected under any reletting of any part of such period (first deducting from
the rents collected under any such re-letting all of Landlord's reasonable and actual expenses regarding such re-letting including,
but not limited to, all repossession costs, brokerage commissions, legal expenses, reasonable attorneys' fees, alteration costs
and other expenses of preparing the Demised Premises for such re-letting). Any such Deficiency shall be paid in monthly installments
by Tenant on the days specified in this Lease for payment of installments of rent. Landlord shall be entitled to recover from Tenant
each monthly Deficiency as the same shall arise, and no suit to collect the amount of the Deficiency for any month shall prejudice
Landlord's rights to collect the Deficiency for any subsequent month by a similar proceeding.

(B)
If the Demised Premises, or any part thereof, shall be relet together with other space in the Building, the rent collected or reserved
under any such re-letting and the expenses of any such re-letting shall be equitably apportioned for the purpose of this Article.
Tenant shall in no event be entitled to any rents collected or payable under any re-letting, whether or not such rents shall exceed
the rent reserved in this Lease. Solely for the purposes of this Article, the term "rent" as used in Section (A) shall
mean the rent in effect immediately prior to the date upon which this Lease and the Demised Term shall have expired and come to
an end, or the date of re-entry upon the Demised Premises by Landlord, as the case may be, plus any Additional Rent payable immediately
preceding such event.

 

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SUMS DUE LANDLORD

37.   If
Tenant shall default after notice and the expiration of any applicable cure period, in the performance of any covenants on Tenant's
part to be performed in this Lease contained, Landlord may immediately, or at any time thereafter, perform the same for the account
of the Tenant. Tenant shall reimburse and compensate Landlord as Additional Rent for all expenditures made by, or damages or fines
sustained or incurred by Landlord due to Tenant's non-performance or non-compliance with or breach or failure to observe any term,
covenants or conditions of this Lease, on Tenant's part to be kept, observed, performed or complied with. If Landlord at anytime
is compelled to pay or elects to pay any sum of money, or do any act which will require the payment of any sum of money, by reason
of the failure of Tenant to comply with any provision hereof, or, if Landlord is compelled to do or does incur any expense including
attorney's fees, instituting, prosecuting and/or defending any action or proceeding instituted by reason of any default of Tenant
hereunder, the sum or sums so paid by Landlord with all interest and costs, shall be deemed to be Additional Rent hereunder and
shall be due from Tenant to Landlord on the first day of the month following the incurring of such respective expenses, or at Landlord's
option on the first day of any subsequent month. Tenant's obligations under this Article shall survive the expiration or sooner
termination of the Demised Term.

 

NO WAIVER

38.   (A)
No act or thing done by Landlord or Landlord's agents during the term hereby demised shall be deemed an acceptance of surrender
of said Demised Premises and no agreement to accept such surrender of the Demised Premises shall be valid unless in writing signed
by Landlord. No employee of Landlord or of Landlord's agents shall have any power to accept the keys of said Demised Premises prior
to the termination of this Lease. The delivery of keys to any employee of Landlord or of Landlord's agents shall not operate as
a termination of this Lease or a surrender of the Demised Premises. The failure by landlord to seek redress for violation of, or
to insist upon the strict performance of, any covenants or conditions of this Lease, or any of the Rules and Regulations annexed
hereto and made part hereof or hereafter reasonably adopted by Landlord, shall not prevent a subsequent act, which would have originally-constituted
a violation, from having all the force and effect of an original violation. The failure by Landlord to enforce any of the Rules
and Regulations annexed hereto and made part hereof, or hereafter reasonably adopted, against Tenant and/or any other tenant in
the Building shall not be deemed a waiver of any such Rules and Regulations. No provision of this Lease shall be deemed to have
been waived by Landlord, unless such waiver be in writing. No payment by Tenant or receipt by Landlord of a lesser amount than
the monthly rent herein stipulated shall be deemed to be other than on account of the earliest stipulated rent nor shall any endorsement
or statement on any check or any letter accompanying any check or payment as rent be deemed an accord and satisfaction, and Landlord
may accept such check or payment without prejudice to Landlord's right to recover the balance of such rent or pursue any other
remedy in this Lease provided.

(B)
Landlord's failure to timely render a Landlord's Statement with respect to any increase in real estate taxes or operating expenses
shall not prejudice Landlord's right to render a Landlord's Statement with respect to any Escalation Year, provided such statement
is rendered within twelve (12) months of the end of the Escalation Year. The obligation of Tenant with respect to real estate taxes
and operating expenses shall survive the expiration or any sooner termination of the Demised Term.

 

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WAIVER OF TRIAL BY
JURY

39.   To
the extent such waiver is permitted by law, Landlord and Tenant hereby waive trial by jury in any action or proceeding brought
by Landlord or Tenant against the other on any matter whatsoever arising out of or in any way connected with this Lease, the relationship
of Landlord and Tenant, the use or occupancy of the Demised Premises by Tenant or any person claiming through or under Tenant,
any claim of injury or damage, and any emergency or other statutory remedy, except personal injury claim. The provisions of the
foregoing sentence shall survive the expiration or any sooner termination of the Demised Term. If Landlord commences any summary
proceeding for nonpayment of rent and/or for possession of the Demised Premises, Tenant agrees not to interpose any non-compulsory
counterclaim of whatever nature or description in any such proceeding. Nothing herein shall prohibit Tenant from bringing a separate
action against the Landlord.

 

BILLS AND NOTICES

40.   Except
as otherwise expressly provided in this Lease, any notices, demands, requests or other communications given or required to be given
under this Lease (other than statements or invoices for the Fixed Minimum Rent or any Additional Rent) shall be effective only
if rendered or given in writing, sent by recognized overnight courier, registered or certified mail (return receipt requested),
addressed (A) to Tenants at Tenant's address set forth in this Lease if mailed prior to Tenant's taking possession of the Demised
Premises or at the Demised Premises if mailed subsequent to Tenant's taking possession of the Demised Premises, and (B)
to Landlord at Landlord's address set forth in this Lease, or (C) addressed to such other address as either Landlord or Tenant
may designate as its new address for such purpose by notice given to the other in accordance with the provisions of this Article.
Any such bills, statements, notices, demands, requests or other communications shall be deemed to have been rendered or given on
the date when it shall have been mailed as provided in this Article. Notwithstanding a copy shall also be sent to Tenant’s
attorney – Clark Hill PLC 150 N. Michigan Ave., Suite 2700, Chicago Illinois 60601 Attn: Thomas J. O’Donnell, Esq.

 

INABILITY TO PERFORM

41.   If,
by reason of strikes or other labor disputes, fire or other casualty, accidents, orders or regulations of any Federal, State, County
or municipal authority, or any other cause beyond Landlord's control, whether or not such other cause shall be similar in nature
to those hereinbefore enumerated, Landlord is unable to furnish or is delayed in furnishing any utility or service required to
be furnished by Landlord under the provisions of this Lease or any collateral instrument, or is unable to perform or make or is
delayed in performing or making any installations, decorations, repairs, alterations, additions or improvements, whether or not
required to be performed or made under this Lease, or under any collateral instrument, or is unable to fulfill or is delayed in
fulfilling any of Landlord's other obligations under this Lease, or any collateral instrument, no such inability or delay shall
constitute an actual or constructive eviction, in whole or in part or entitle Tenant to any abatement or diminution of rent, or
relieve Tenant from any of its obligations under this Lease, or impose any liability upon Landlord or its agents by reasons of
the inconvenience or annoyance to Tenant, or injury to, or interruption of Tenant's business.

 

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INTERRUPTION OF SERVICE

42.   Landlord
reserves the right to stop the services of the air conditioning, elevator, escalator, plumbing, electrical or other mechanical
systems or facilities in the Building when necessary by reason of accident or emergency, or for repairs, alterations, replacements
or improvement, which, in the judgment of Landlord are necessary, until said repairs, alterations, replacements or improvements
shall have been completed, provided Landlord (i) uses its best efforts to restore such services as quickly as possible and (ii)
performs such work at times and in a manner so as to minimize interference with Tenant's business. The exercise of such rights
by Landlord shall not constitute an actual or constructive eviction, in whole or in part, or entitle Tenant to any abatement or
diminution of rent, or relieve Tenant from any of its obligations under this Lease, or impose any liability upon Landlord or its
agents by reason of inconvenience or annoyance to Tenant, or injury to or interruption of Tenant's business.

 

CONDITIONS OF LANDLORD'S
LIABILITY

43.   (A)
Tenant shall not be entitled to claim a constructive eviction from the Demised Premises unless Tenant shall have first notified
Landlord of the condition or conditions giving rise thereto, and unless Landlord shall have failed to remedy such conditions within
a reasonable time after receipt of such notice.

(B)
If Landlord shall be unable to give possession of the Demised Premises on any date specified for the commencement of the term by
reason of the fact that the premises have not been sufficiently completed to make the premises ready for occupancy, or for any
other reason which is not the fault of the Landlord, Landlord shall not be subject to any liability for the failure to give possession
on said date, nor shall such failure in any way affect the validity of this Lease or the obligations of Tenant hereunder.

 

TENANT'S TAKING POSSESSION

44.   (A)
Tenant by entering into occupancy of the premises shall be conclusively deemed to have agreed that Landlord up to the time of such
occupancy had performed all of its obligations hereunder and that the premises were in satisfactory condition as of the date of
such occupancy.

(B)
If Tenant shall use or occupy all or any part of the Demised Premises for the conduct of business prior to the Term Commencement
Date, such use or occupancy shall be deemed to be under all of the terms, covenants and conditions of this Lease.

 

FINANCING REQUIREMENTS

45.   If,
in connection with obtaining financing or refinancing for the Building of which the Demised Premises form a part, a banking, insurance
or other institutional lender shall request modifications to this Lease as a condition to such financing or refinancing, Tenant
will not unreasonably withhold, delay or defer its consent thereto; provided, however, that such modifications do not increase
the obligations of Tenant hereunder (except, perhaps, to the extent that Tenant may be required to give notices of any defaults
by Landlord to such lender and/or permit the curing of such defaults by such lender to get possession of the Building) or materially
adversely affect the Leasehold interest hereby created. In no event shall a requirement that the consent of any such lender be
given for any modification of this Lease or any assignment or sublease, be deemed to materially adversely affect the Leasehold
interest hereby created.

 

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ENTIRE AGREEMENT

46.   This
Lease contains the entire agreement between the parties and all negotiations and agreements are merged herein, except as set forth
herein. Neither party has made any representations, or statements, or promises, upon which the other has relied regarding any matter
or thing relating to the Building or the Demised Premises, or any other matter whatsoever, except as

is expressly set
forth in this Lease, including but without limiting the generality of the foregoing, any statement, representation or promise as
to the fitness of the Demised Premises for any particular use, the services to be rendered to the Demised Premises or the prospective
amount of any item of Additional Rent. No oral statement, representation or promise whatsoever with respect to the foregoing or
any other matter made by Landlord or Tenant, their agents or any broker, whether contained in an affidavit, information circular,
or otherwise shall be binding upon the Landlord or Tenant. This Lease may not be changed, modified or discharged, in whole or in
part, orally and no agreement shall be effective to change, modify or discharge, in whole or in part, this Lease or any obligations
under this Lease, unless such agreement is set forth in a written instrument executed by the party against whom enforcement of
the change, modification or discharge is sought. All references in this Lease to the consent or approval of Landlord shall be deemed
to mean the written consent of Landlord, or the written approval of Landlord, as the case may be.

47.
Intentionally Omitted   

 

DEFINITIONS

48.   The
term "Landlord" as used in this Lease means only the owner, or the mortgagee in possession, for the time being of the
land and Building (or the owner of a Lease of the Building or of the land and Building) of which the Demised Premises form a part,
so that in the event of any sale or sales of said land and Building or of said Lease, or in the event of a Lease of the Building,
or of the land and Building, the said Landlord shall be and hereby is entirely freed and relieved of all covenants and obligations
of Landlord hereunder accruing after the date of such sale or Lease, and it shall be deemed and construed as a covenant running
with the land without further agreement between the parties or their successors in interest, or between the parties and the purchaser,
at any sale, or the lessee of the Building, or of the land and Building, that the purchaser or the lessee of the Building assumes
and agrees to carry out any and all covenants and obligations of Landlord hereunder. The words "re-enter" and "re-entry",
and "re-entered" as used in this Lease are not restricted to their technical legal meanings. The term "business
days" as used in this Lease shall exclude Saturdays, Sundays and all days observed by State or Federal Government as legal
holidays (which shall not include days when the New York Stock Exchange is open for trading). The terms "person" and
"persons" as used in this Lease shall be deemed to include natural persons, firms, corporations, associations and any
other private or public entities, whether any of the foregoing are acting on their behalf or in a representative capacity.

 

SUCCESSORS, ASSIGNS,
ETC.

49.   The
covenants, conditions and agreements contained in this Lease shall bind and inure to the benefit of Landlord and Tenant and their
respective heirs, distributees, executors, administrators, successors, and except as otherwise provided in this Lease, their respective
assigns.

50.   Intentionally
Omitted.

51.   Intentionally Omitted

 

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NONLIABILITY OF LANDLORD

52.   Neither
Landlord, as an entity, nor Landlord or any successor in interest, if an individual (which term as used herein includes aggregates
of individuals, such as joint ventures, general or limited partnerships or associations or limited liability companies), shall
be under personal liability with respect to any of the provisions of this Lease, and if Landlord hereto is in breach or in default
of or with respect to its obligations under this Lease, Tenant shall look solely to the equity of such Landlord or individual in
the land and Building of which the Demised Premises form a part for the satisfaction of Tenant's remedies and in no event shall
Tenant attempt to secure any personal judgment against Landlord or any partner, employee or agent of Landlord by reason of such
default by Landlord.

 

53.   Intentionally
Omitted.

 

FORCE MAJEURE

54.   Landlord shall be excused for the period of any delay in the performance of any obligations hereunder when prevented from doing
so by a cause or causes beyond Landlord's control which shall include, without limitation, all labor disputes, riots, civil commotion,
war, war like operations, invasion, rebellion, hostilities, military or usurped power, sabotage, governmental regulations or controls,
fire or other casualty, inability to obtain any material, services or financing or through acts of God.

 

INDEMNIFICATION

55.   (A)
Tenant hereby agrees to defend, indemnify and hold Landlord harmless from and against any and all liability, damages, fines, suits,
claims, demands and actions by or against anyone, and costs and expenses of any kind or nature (including but not limited to reasonable
attorneys' fees and expenses), due to, arising out of, based upon or connected with:

(i)
Any material breach, violation or non-performance of any covenant, condition or agreement in this Lease set forth and contained
on the part of Tenant to be fulfilled, kept, observed and performed; and/or

(ii)
Any loss or damage to person or property occasioned by or arising out of or in connection with the use and occupancy of the Demised
Premises by Tenant, its employees, agents, customers, invitees, contractors or subcontractors, or by any use or occupancy which
Tenant may permit or suffer to be made of the Demised Premises; and/or

(iii)
Injury to, or death of, any person or persons (including but not limited to Tenant's customers and employees) occurring in or about
the Demised Premises including, but not limited to, the sidewalks, curbs and parking lots adjacent to or in the vicinity of the
Demised Premises, that was caused by Tenant, its employees, agents or invitees.

(B)   Tenant
shall, at its own cost and expense, defend any and all actions, suits and proceedings which may be brought against, and Tenant
shall pay, satisfy and discharge any and all judgments, orders and decrees which may be made or entered against, Landlord, its
principals, disclosed or undisclosed, with respect to, or in connection with, any of the foregoing. The comprehensive general liability
coverage maintained by Tenant pursuant to this Lease shall specifically insure the contractual obligations of Tenant as set forth
in this Article and/or as provided in this Lease.

(C)   If
Landlord is made a party to any action as a cause of Tenant its employees, invitees, or licensees actions or inactions, Landlord
shall be entitled to appear, defend or otherwise take part in the matter involved, at its election, by counsel of Landlord's own
choosing, at Tenant's cost and expense, provided such action by Landlord does not limit or make void any liability of any insurer
of Landlord or Tenant hereunder in respect to the claim or matter in question.

 

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CERTIFICATIONS

56.
Tenant shall, without charge, at any time and from time to time, within ten (10) days after written request from Landlord, certify
by written instrument, duly executed, acknowledged and delivered, to Landlord or, at Landlord's request, to any mortgagee, assignee
of any mortgage or purchaser, or any proposed mortgagee, proposed assignee of any mortgage or proposed purchaser, or any other
person, firm or corporation specified by Landlord:

 

(i) that this Lease is
unmodified and in full force and effect (or, if there has been modification, that the same is in full force and effect as modified
and stating the modifications);

 

(ii)
whether or not either Landlord or Tenant is in default in the performance of any of the terms, covenants or conditions of this
Lease and, if in default, specifying each such default; and

 

(iii)
the dates, if any, to which the Fixed Minimum Rent, Additional Rent and other charges hereunder have been paid in advance.

 

It
is intended that any such certificate delivered pursuant to this Article may be relied upon by Landlord, by any prospective purchaser
of the building, the mortgagee of any mortgage, and by any other person, firm or corporation specified by Landlord.

 

NO
LIENS, ENCUMBRANCES

57.
(A) No person or entity other than Landlord shall have any power, right or authority to do or allow any act or make any contract
which would create any lien, mortgage or other encumbrance upon the Demised Premises or the parcel of land on which the Demised
Premises is located, or of any improvements thereon, or of any interest of Landlord therein. Nothing contained in this Lease shall
be deemed or construed in any way as constituting the consent or request of Landlord, express or implied, by inference or otherwise,
to any contractor, subcontractor, architect, laborer or materialman for the performance of any labor or the furnishing of any material
for, in, to or on the Demised Premises. If Tenant shall cause or allow any installation, alteration, addition, decoration, repair,
replacement, renewal or improvement to be made to the Demised Premises or to the building, or cause or allow any labor to be performed
or material to be furnished therein or thereon, or purchase any fixtures, chattels or equipment for use in the Demised Premises,
neither Landlord nor the Demised Premises nor the land or building shall be liable for the payment of any expense incurred or for
the value of any work done or material furnished, or fixtures, chattels or equipment purchased for use in the Demised Premises,
but all such installations, alterations, additions, decorations, fixtures, chattels and equipment, repairs, replacements and improvements
and labor, services and materials shall (except as hereinafter expressly provided) be made, furnished and purchased for cash and
without chattel mortgage financing or any other form of financing at Tenant's own expense, and Tenant shall be solely and wholly
responsible to its contractors, subcontractors, laborers, suppliers, architects and materialmen who perform or furnish such labor
services and/or material, fixtures, chattels and equipment. Under no circumstances shall Tenant at any time purchase and/or install
any furniture, furnishings, fixtures, chattels or equipment for use in the Demised Premises, nor any additions thereto, or any
renewals thereof or replacements or substitutions therefor, upon terms and conditions wherein and whereby a lien shall or may be
filed against the real estate, or against Landlord or its title or interest in the real estate. Notwithstanding the foregoing,
Tenant shall not be prohibited from encumbering its furniture and such of its equipment located in the Demised Premises as shall
constitute solely personal property and which shall not become or be deemed to become part of the realty, and such of its trade
fixtures as may be removed without damage or injury to the realty, by security agreements executed under the Uniform Commercial
Code and from filing Financing Statements (UCC-l's) appropriately with governmental authorities in connection with such security
agreements.

 

    	23

    	 

    

 

(B)
The participation by Landlord or of any of Landlord's representatives in any conference with any architect, engineer, contractor,
subcontractor, materialman, laborer or other person or firm retained by Tenant to perform work or furnish labor or services for
the Demised Premises, shall not make Landlord or any of Landlord's representatives liable for the payment of any portion of the
cost of such work, or entitle any architect, engineer, contractor, subcontractor, materialman or laborer to file any mechanic's
lien against the Demised Premises, or the building of which the same form a part, or against Landlord.

(C)   This
Lease shall constitute notice to the world that no mechanic's lien may or can be filed validly against Landlord in connection with
the Demised Premises, without Landlord's express written consent thereto, at any time throughout the term of this Lease. Any mechanic's
lien filed against the Demised Premises, or the building of which the same form a part, for work claimed to have been done for
or materials claimed to have been furnished to Tenant, (a) shall be discharged of record by Tenant at Tenant's expense within thirty
(30) days after written notice thereof by Landlord, by payment, deposit, bond and order of a court of competent jurisdiction, or
otherwise, as may be required by law and (b) either a release or satisfaction of lien shall be filed with the County Clerk of the
county in which the Building is situated within such thirty (30) day period, and (c) a copy of such release or satisfaction, as
the case may be, certified by the County Clerk shall be delivered to Landlord within three (3) days after such filing. Tenant's
failure to do so shall be deemed a material breach of this Lease.

(D)   In
the event such mechanic's lien is not discharged timely, as aforesaid, Landlord may discharge same for the account of and at the
expense of Tenant by payment, bonding or otherwise, without investigation as to the validity thereof or of any offsets or defenses
thereto, and Tenant, within ten (10) days after being billed therefor, shall promptly reimburse Landlord, as Additional Rent, for
all costs, disbursements, fees and expenses, including without limitation, reasonable legal fees, incurred in connection with so
discharging said mechanic's lien, together with interest thereon from the time or times of payment until reimbursement by Tenant.
Tenant shall, within five (5) days of demand therefor by Landlord, pay to Landlord as Additional Rent, Landlord's reasonable legal
fees and disbursements, but the foregoing shall not limit the extent of Tenant's liability as set forth above.

(E)   In
the event such mechanic's lien is not discharged timely, as aforesaid, Landlord, in addition to all other rights granted to Landlord
in this Lease and without limitation, may institute a dispossess summary proceeding based upon such failure to discharge any such
lien. In the event Tenant fails to deliver to Landlord the certified copy of the release or satisfaction required hereunder within
the time period provided for the delivery thereof to Landlord, Landlord shall have the right to assume that such mechanic's lien
has not been discharged and Landlord shall have all of the rights and remedies provided for herein based upon Tenant's failure
to discharge any such lien.

(F)   It
is further expressly understood and agreed between the parties hereto that Landlord may apply all or a portion of the security
deposit made by Tenant hereunder toward discharging any such mechanic's lien and the cost, expenses, fees and disbursements, including,
without limitation, reasonable legal fees, in connection therewith. Upon notification by Landlord of the application of all or
a portion of the security deposited by Tenant, Tenant shall, within ten (10) days after receipt of said notice, restore the security
deposit to such amount held by Landlord prior to application thereof. Tenant's failure or refusal to restore the security as aforesaid
within said five (5) day period shall constitute a material default under this Lease.

 

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TENANT'S
OPERATING OBLIGATIONS

58.
Tenant covenants and agrees that during the term of this Lease:

(A)   Tenant
shall at its sole cost and expense obtain and maintain throughout the term of this Lease all licenses, permits and authorizations
required in order to enable it to properly and lawfully conduct its business in the Demised Premises, it being expressly understood
and agreed, however, that the failure on the part of Tenant to obtain or to maintain any of such licenses, permits or authorizations,
or extensions or renewals thereof, shall not release or relieve Tenant from the performance and observance by it of all of its
obligations under this Lease. Tenant covenants and agrees that, upon request of Landlord, it shall, within thirty (30) days from
the date of the request, furnish Landlord with an up-to-date copy of any permit or license required by any authority having jurisdiction
therein for Tenant to conduct business at the Demised Premises. In the event Tenant fails to submit to Landlord, upon request,
the items called for hereunder, such failure shall be a default under the terms of this Lease.

(B)   Tenant
shall not dispose of any foreign substances in the plumbing facilities. Tenant shall not permit any waste, or other foreign substances
to be thrown or drawn into the pipes. At Tenant's sole cost and expense Tenant shall make any repairs to the other plumbing in
the Building, if damage results from Tenant's improper use of the plumbing in the Building or Demised Premises.

(C)   Tenant
shall retain a licensed professional exterminating service which will service the Demised Premises, if necessary, so as to keep
the Demised Premises free of vermin.

(D)   Tenant
agrees that (i) Landlord shall have the right to prohibit the use by Tenant of any method of operation, advertising or interior
display if, in Landlord's reasonable opinion, the use thereof would impair the reputation of the building in which the Demised
Premises are located, or is otherwise out of harmony with the general character thereof, and upon notice from Landlord, Tenant
shall forthwith refrain from or discontinue such activities, (ii) Tenant will, upon Landlord's request, reprimand any of Tenant's
employees who shall violate any of the provisions of this Lease or the rules and regulations relating to the Building, and (iii)
Tenant will not encumber or obstruct or permit to be encumbered or obstructed any hallway, service elevator, stairway or passageway
in the Building.

(E)   Tenant
covenants and agrees that throughout the term, it shall not suffer, allow or permit any offensive or obnoxious vibration, noise,
odor or other undesirable effect to emanate from the Demised Premises, or any machine or other installation therein, or otherwise
suffer, allow or permit any such obnoxious vibration, noise, odor or other undesirable effect to constitute a nuisance or otherwise
interfere with the safety, comfort or convenience of Landlord, or other tenants, occupants, customers agents, or invitees or any
other person(s) lawfully in or upon the Building and upon Landlord's notice to Tenant, Tenant shall within five (5) days thereof
remove or control the same, and if any such condition is not so remedied, then Landlord may, at its discretion, either: (i) cure
such condition and add any cost and expense incurred by Landlord therefor to the next installment of Minimum Rent due under this
Lease, and the Tenant shall then pay said amount as Additional Rent hereunder; or (ii) treat such failure by Tenant to remedy such
condition as a material default of this Lease, entitling the Landlord to any of its remedies pursuant to the terms of this Lease.

 

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(F)   Tenant
shall, throughout the term of this Lease, maintain, repair, service and replace when necessary, all doors leading into and out
of the Demised Premises and all hardware appurtenant thereto, including, but not limited to, locks, hinges, silencers, door stops,
door jams, door closers, latchets, flush bolts, door frames, thresholds and door knobs. Landlord shall have no liability or obligation
whatsoever regarding the maintenance, repair, service and replacement of the foregoing.

(G)   Tenant
shall keep the Demised Premises (including, without limitation, interior portions of all windows, doors and all other glass) in
a neat and clean condition.

(H)
Tenant will accumulate all of its garbage, rubbish and refuse (which term "refuse" as used in this Lease shall mean and
include, but not be limited to crates, boxes, containers, papers, bottles, and similar items) for disposal only within the interior
of the Demised Premises and in well covered sealed sanitary plastic bags or containers designed to prevent odors and vermin of
any kind from emanating therefrom. Tenant shall further handle and dispose of all rubbish, garbage and waste from Tenant's operations
in accordance with rules and regulations established by Landlord.

(I)
Tenant shall not change (whether alteration, replacement, rebuilding or otherwise) the exterior color and/or architectural treatment
of the Demised Premises or of the Building or any part thereof without the prior written consent of the Landlord which shall not
be withheld or delayed.

(J)
Tenant shall not subject any fixtures or equipment in or on the Demised Premises which are affixed to the realty, to any mortgages,
liens, conditional sales agreements, security interests or encumbrances.

(K)
Tenant shall not perform any act or carry on any practice which may damage, mar or deface the Demised Premises or any other part
of the Building.

(L)
Tenant shall not install, operate or maintain in the Demised Premises any electrical equipment which will overload the electrical
system therein, or any part thereof, beyond its reasonable capacity for proper and safe operation, as determined by Landlord, in
light of the overall system and requirements there for in the Building, or which does not bear underwriters' approval.

(M)
Tenant shall not suffer, allow or permit the erection or display in, on or from the Demised Premises any exhibits, banners, decorations,
flags, bunting or any other similar or dissimilar kind or form of description or display without Landlord's prior written consent
in each instance, which consent shall not be withheld or delayed.

(N)
Tenant shall not record or attempt to record or permit the recording of this Lease, any memorandum of this Lease, any assignment
of this Lease, any sublease of the Demised Premises or any other instrument relative to this Lease.

 

HAZARDOUS
MATERIALS

59.
(A) Tenant shall not deposit, dump, store or pour on any part of the soil of the Demised Premises, or permit the accumulation on
the Demised Premises of dry or liquid waste, chemicals, solvents or other material, garbage, property no longer used by Tenant
or any other substance or material which, if left on the Demised Premises, could cause injury to the health of or discomfort to
persons in the neighborhood or on the Demised Premises, or adversely affect the environment of the Demised Premises, including
the air above and the ground below and surrounding the Demised Premises, nor shall Tenant permit its subtenants, guests, contractors
or any other person to do any of the foregoing. Tenant, at its expense, shall promptly remove or cause the removal of, or of permitted
by applicable law encapsulate, all such material located at the Demised Premises in compliance with this Lease and all applicable
laws.

 

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(B)
(i) The term "Hazardous Substances", as used in this Lease shall include, without limitation, flammables, explosives,
radioactive materials, asbestos, chlorofluorocarbons (CFCs), polychlorinatedbiphenyls (PCBs), chemicals known to cause cancer or
reproductive toxicity, pollutants, contaminants, hazardous wastes, toxic substances or related materials, petroleum and petroleum
products and substances declared to be dangerous, hazardous or toxic under any Law or regulation now or hereafter enacted or promulgated
by any Governmental Authority. Notwithstanding anything to the contrary set forth in this Article, cleaning fluids, detergents
and other supplies customarily used in connection with the maintenance and repair of real property similar to the Leased Premises
in comparable areas shall be permitted to be stored and used for such purposes in compliance with all Laws.

(ii)
Without limiting the generality of any other provision of this Lease, Tenant shall not cause or permit to occur:

(a)   Any
violation of any federal, state or local law, now or hereafter enacted, related to environmental conditions on , over, under or
about the Demised Premises, or arising from Tenant's use or occupancy of the Demised Premises, including, but not limited to, ozone,
soil and ground water conditions; or

(b)   The
use, generation, release, manufacture, refining, production, processing, storage or disposal of any Hazardous Substance on, over,
under, or about the Demised Premises, or the transportation to or from the Demised Premises of any Hazardous Substance.

(iii)
Tenant shall, at Tenant's own expense:

(a)   Comply
with all laws regulating the use, generation, storage, removal, transportation, disposal, encapsulation or remediation of Hazardous
Substances, to the extent relating to Hazardous Substances located at the Demised Premises;

(b)   Make
all submissions to, provide all information required by, and comply with all requirements of all governmental authorities required
under the laws to the extent relating to Hazardous Substances located at the Demised Premises;

(c)   Prepare
and submit the required plans and all related bonds and other financial assurances and carry out all such cleanup plans should
any governmental authority asserting appropriate jurisdiction demand that a cleanup plan be prepared and that a cleanup be undertaken
because of any deposit, spill, discharge or other release of Hazardous Substances at or from the Demised Premises; and

(d)   Promptly
provide all information regarding the use, generation, storage, transportation or disposal of Hazardous Substances that is requested
by Landlord.

(iv)
If Tenant fails to fulfill any duty imposed under subparagraph (iii) within a reasonable time, Landlord may, after reasonable prior
notice to Tenant, do so, and in such case, Tenant shall cooperate with Landlord in order to prepare all documents Landlord deems
necessary or appropriate to determine the applicability of the Laws to the Demised Premises and Tenant's use thereof, and to comply
therewith and Tenant shall execute all documents promptly upon Landlord's request. No such action by Landlord and no attempt made
by Landlord to mitigate damages under any Law shall constitute a waiver of any of Tenant's obligations under this Section. Tenant's
obligations and liabilities under this subparagraph (iv) shall survive the expiration or earlier termination of this Lease.

(v)
Tenant shall indemnify, defend and hold harmless Landlord and its officers, directors, beneficiaries, shareholders, partners, agents
and employees from all fines, suits, procedures, claims and actions of every kind, and all costs associated therewith (including
reasonable attorneys' and consultants' fees) arising out of or in any way connected with any deposit, spill, discharge or other
release of Hazardous Substances at or from the Demised Premises, or from Tenant's failure to provide all information, make all
submissions and take all steps required by all governmental authorities under applicable laws and all environmental laws required
of Tenant as provided herein. Tenant's obligations and liabilities under this subparagraph (v) shall survive the expiration or
earlier termination of this Lease.

 

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AIR RIGHTS

60.   (A)
The Demised Premises are let to Tenant subject to all applicable laws, rules, regulations, orders, covenants, restrictions and
easements and to the reservation by Landlord of all air rights above, around and about the Demised Premises and the right to increase
the size of the building of which the Demised Premises form a part or the buildings surrounding the same, based on the air rights
appurtenant thereto.

(B)   Tenant
understands and agrees that Landlord, and anyone claiming by, through or under Landlord, may from time to time undertake alterations
or additions to the Building of which the Demised Premises form a part or any lands added thereto, construct additional buildings
or improvements thereon and make alterations thereto, build additional stories on any of the same, construct multi-story, elevated
or underground facilities therein, and construct roofs, walls, and any other improvements over, to or in connection with any part
thereof. No easement for light or air is included in or appurtenant to the demise of the Demises Premises or to Tenant's rights
pursuant to this Lease.

(C)   Landlord
shall have the sole right, without Tenant's consent to use, sell, assign, Lease or otherwise dispose of any and all right, title
and interest in and to any air rights and development rights relating to the Demised Premises and/or the land there under. In the
event of any such use, sale, assignment, Lease or other disposition thereof by Landlord, Landlord shall be entitled to receive
all sums derived there from. Tenant shall not be deemed an interested party and as such required to waive any interest therein.
Nonetheless, Tenant shall, upon request by Landlord, promptly execute any waiver or other documents that Landlord may deem necessary
in connection with Landlord's disposition of any such rights. Landlord shall send notice to Tenant any time such documents shall
be executed.

(D)   Tenant
shall not increase the height, bulk or floor area of the Demised Premises or construct, place or erect anything on the roof of
the Building of which the Demised Premises form a part or install machinery, equipment or any other object on the roof of said
Demised Premises or take any action which might or will adversely affect or reduce the amount of air rights or development rights
which are applicable to said Demised Premises and to the land there under.

 

CONSTRUCTION,
ADJACENT EXCAVATION/SHORING

61.
At any time during this Lease construction and development may be conducted in close proximity of the Demised Premises and within
and about the Building in which the Demised Premises forms a part of. The exercise of such construction and development by Landlord
or others, shall not constitute an actual or constructive eviction, in whole or in part, or entitle Tenant to any abatement or
diminution of rent, or relieve Tenant from any of its obligations under this Lease, or impose any liability upon Landlord or its
agents by reason of inconvenience or annoyance to Tenant, or injury to or interruption of Tenant's business. If an excavation shall
be made upon land adjacent to the Demised Premises, or shall be authorized to be made, Tenant shall afford to the person causing
or authorized to cause such excavation, license to enter upon the Demised Premises for the purpose of doing such work as said person
shall deem necessary to preserve the wall or the Building of which Demised Premises form a part from injury or damage and to support
the same by proper foundations without any claim for damages or indemnity against Landlord, or diminution or abatement of rent
or relieve Tenant from any of its obligations under this Lease, or impose any liability upon Landlord or its agents by reason of
inconvenience or annoyance to Tenant, or injury to or interruption of Tenant's business. Landlord shall use best efforts to not
disturb Tenant’s business.

 

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GOVERNING
LAW

62.   This
Lease shall be governed by, and construed and interpreted in accordance with, the laws of the State of New York.

 

JURISDICTION

63.   For
purposes of settling any and all disputes hereunder, each party hereto submits itself to the personal jurisdiction of any court,
federal or state, sitting in the State of New York, County of Nassau.

 

CAPTIONS

64.   The
captions are included only as a matter of convenience and for reference, and in no way define, limit or describe the scope of this
Lease nor the intent of any provisions thereof.

 

65.   Intentionally
Omitted.

 

MISCELLANEOUS

66.
(A) This Lease shall be construed without regard to any presumption or other rule requiring construction against the party causing
this Lease to be drafted. Further, if any provision of this Lease shall, to any extent, be invalid or unenforceable, the remainder
hereof shall not be affected thereby, and each provision of this Lease shall be enforceable to the fullest extent permitted by
law.

(B)   Whenever
in this Lease any words of obligation or duty are used and/or implied herein, such words shall have the same force and effect as
though made in form of covenants.

(C)   All
rights and remedies herein given to Landlord in this Lease, and all other rights and remedies allowed by law or in equity, are
hereby reserved by the Landlord as distinct, separate and cumulative rights and remedies, and no one of them, whether exercised
by Landlord or not, shall be deemed to be in exclusion of any of the others.

(D)   The
submission of this Lease for examination by Tenant does not constitute an offer by Landlord or reservation of an option for the
Demised Premises, and this Lease shall become effective as a Lease only when and if fully executed counterparts thereof are executed
and exchanged between Landlord and Tenant.

(E)   Tenant
shall not place any load on the floor of the Demised Premises exceeding the floor load per square foot for which it is designed
to carry and which is allowed by law.

(F)   Title
headings are for convenience only and do not define or limit, and shall not be used to construe, the terms of this Lease.

(G)
Tenant may not record this Lease.

(H)
This Lease contains the entire agreement of the parties and may not be amended or changed in any way except by a document in writing
executed and acknowledged by the parties hereto.

(I)
The covenants, conditions, and agreements contained in this Lease shall inure to the benefit of, and be binding upon, Landlord
and Tenant and their successors and permitted assigns. No earlier statement by Landlord, its agents or employees regarding this
Lease in the Demised Premises or prior written matter regarding this Lease in the Demised Premises shall have any force or effect.
Tenant agrees that it is not relying on any representations or agreements other than those contained in this Lease. This agreement
shall not be canceled except in and by a writing subscribed to by all parties.

 

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IN
WITNESS WHEREOF, Landlord and Tenant have respectively signed this Lease as of the day and year first written above.

 

	Witness for Landlord	 	303 Merrick LLC
	 	 	Landlord
	 	 	 	 
	 	 	By:	/s/ Anthony Pistill
	 	 	 	Anthony Pistilli, Member
	 	 	 
	 	 	 
	Witness for Tenant	 	THE JANEL GROUP OF NEW YORK, INC.
	 	 	Tenant
	 	 	 	 
	 	 	By:	/s/ William J. Lally
	 	 	 	William J. Lally
	 	 	 	President
	 	 	 	Name/title

 

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SCHEDULE A

 

Landlord’s
Work Letter

 

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SCHEDULE B

RULES AND REGULATIONS

 

(1)   The
sidewalks, entrances, driveways, passages, courts, vestibules, stairways, corridors or halls shall not be obstructed or encumbered
by any tenant of used for any purpose other than for ingress to and egress from the Demised Premises and for delivery of merchandise
and equipment in a prompt and efficient manner using passageways designated for such delivery by Landlord. There shall not be used
in any space, or in the public hall of the building, either by any tenant or by jobbers or others in the delivery or receipt of
merchandise, any hand trucks, except those equipped with rubber tires and side guards.

(2)   The
water and wash closets and plumbing fixtures shall not be used for any purpose other than those for which they were designed or
constructed and no sweepings, rubbish, acids or other substances shall be deposited therein, and the expense of breakage, stoppage,
or damage resulting from the violations of this rule shall be borne by the tenant who, or whose clerks, agents, or employees, shall
have caused it.

(3)   No
carpet, rug or other article shall be hung or shaken out of any window of the building; and no Tenant shall sweep or throw or permit
to be swept or thrown from the Demised Premises any dirt or other substances into any of the corridors or halls, elevators, or
out of the doors or windows or stairways of the building, and Tenant shall not use, keep or permit to be used or keep noxious gas
or substance in the Demised Premises, or permit or suffer the Demised Premises to be occupied or used in a manner offensive or
objectionable to Landlord or other occupants of the building by reason of noise, odors, and/or vibrations, or unreasonably interfere
in any way with other tenants or those having business therein, nor shall any animals or birds be kept in or about the building.

(4)   No
awnings or other projections shall be attached to the outside walls of the building without the prior written consent of the Landlord.

(5)   No
sign, advertisement, notice, or other lettering and/ or window treatment shall be exhibited, inscribed, painted or affixed by any
Tenant on any part of the Demised Premises or the building or on the inside of the Demised Premises if the same is visible from
the outside of the Demised Premises without the prior written consent of the Landlord. In the event of the violation of the foregoing
by any Tenant, Landlord to provide Tenant with five (5) days notice of default and if said violations are not promptly cured Landlord
may remove same without liability, and may charge the reasonable expense incurred by such removal to Tenant or Tenants violating
this rule. Interior signs on doors or directory tables should be inscribed, painted or affixed for each Tenant by Landlord at the
expense of such Tenant, and shall be a size, color, and style reasonably acceptable to Landlord and Tenant.   

(6)
No Tenant shall in any way deface any part of the Demised Premises or the building of which they form a part. No boring, cutting
or stringing of wires shall be permitted, except with the prior written consent of the Landlord, which shall not be unreasonably
withheld or delayed, and as Landlord may reasonably direct. No Tenant shall lay linoleum or other similar floor coverings so that
the same shall come in direct contact with the floor of the Demised Premises, and if linoleum or other similar floor covering is
desired to be used an interlining of builder's deadening felt shall be first affixed to floor by a paste or other material, soluble
in water, the use of cement or other similar adhesive material being expressly prohibited.

(7)   No
additional locks or bolts of any kind shall be placed upon any of the doors or windows by any Tenant, nor shall any changes be
made in existing locks or mechanism thereof, unless a copy is given to the Landlord. Each Tenant must, upon the termination of
his Tenancy, restore to Landlord all keys of stores, offices, toilet rooms, either furnished to, or otherwise procured by, such
Tenant, and in the event of the loss of any keys, so furnished, such Tenant shall pay to Landlord the cost thereof.

 

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(8)   Freight,
furniture, business equipment, merchandise, and bulky matter of any description shall be delivered to and removed from the Premises
through service entrances and corridors, and only during hours and in a manner approved, by Landlord, which approval shall not
be unreasonably withheld or delayed.

(9)   Canvassing,
soliciting, and peddling in the building is prohibited.

(10)   Landlord
reserves the right to exclude from the Building between the hours of 6:00 p.m. and 8:00 a.m. and at all hours on Sundays, and legal
holidays all persons who do not present a pass to the Building signed by the Landlord. Landlord will furnish passes to persons
for whom any Tenant requires same in writing. Each Tenant shall be responsible for all persons for whom he requests such a pass
and shall be liable to Landlord for all damage caused by such persons during entry into Building on overtime hours.

(11)   Tenant
shall not bring or permit to be brought or kept in or on the Building or the Demised Premises, any inflammable, combustible, or
explosive fluid, material, chemical, or substance, except for Tenant's phone batteries or cause or permit any odors of cooking
or other processes, or any unusual or other objectionable odors to permeate in or emanate from the Demised Premises.

(12)   If
the Building contains central air conditioning and ventilation, Tenant agrees to keep all windows closed at all times and to abide
by all reasonable rules and regulations issued by the Landlord with respect to such services. If Tenant requires air conditioning
or ventilation and heat after the usual hours, Tenant shall give notice in writing to the building superintendent prior to 3:00
p.m. in the case of services required on weekdays, and prior to 3:00 p.m. on the day prior, in the case after hours service required
on weekend or holidays for which an additional charge computed in accordance with the provisions of Article 6(E) hereof, shall
be paid by the Tenant. Said additional charge shall be deemed Additional Rent due and payable thirty (30) days after rendition
of bill by Landlord therefore.

 

    	33

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