Document:

Exhibit
10.4

 

PINEAPPLE
ENERGY INC. 

CHANGE
IN CONTROL AGREEMENT

 

This
CHANGE IN CONTROL Agreement is entered into effective as of the 5th day of December, 2022 (the “Effective Date”) by
and between PINEAPPLE ENERGY INC., a Minnesota corporation (the “Company”), and Kyle Udseth (the “Executive”).

 

The
Board of Directors of the Company (the “Board”) has determined that it is in the best interests of the Company to
retain the Executive’s services and to reinforce and encourage the continued attention and dedication of the Executive to
his or her assigned duties, without distraction in potentially disturbing circumstances arising from the possibility of a change
in control of the Company.

 

The
Company and the Executive agree as provided herein.

 

Article
1 

Definitions

 

Whenever
used in this Agreement, the following words and phrases shall have the meanings specified:

 

1.1       “Agreement”
means this Pineapple Energy Inc. Change in Control Agreement, as it may be amended from time to time.

 

1.2       “Cause”
means

 

(a)  Gross
negligence or gross neglect of duties; or

 

(b)  Commission
of a felony or of a gross misdemeanor involving moral turpitude which in the reasonable determination of the Board is materially
and demonstrably injurious to the Company or which impairs the Executive’s ability to perform substantially the Executive’s
duties with the Company or a Subsidiary; or

 

 (c)  Fraud,
disloyalty, dishonesty or willful violation of any law or a willful violation of a material Company or Subsidiary policy which,
after warning, remains a continuing violation, committed in connection with the Executive’s employment.

 

1.3       “Change
in Control” shall occur on the earliest date that:

 

(a)  A
“person” or “group”  acquires ownership of stock of the Company that, together with stock held
by such person or group, constitutes more than fifty

 

    

     

    

 

 percent (50%) of the total fair market value or total voting power of the
stock of the Company;

 

(b)
any person or group acquires (or has acquired during the twelve (12) month period ending on the date of the most recent acquisition
by such person or group) ownership of stock of the Company possessing thirty percent (30%) or more of the total voting power of
the stock of the Company;

 

(c)
a majority of the members of the Board is replaced during any twelve (12) month period by directors whose appointment or election
is not endorsed by a majority of the members of the Board prior to the date that such appointments or elections are made; or

 

(d)
any person or group acquires (or has acquired) during the twelve (12) month period ending on the date of the most recent acquisition
by such person or group, assets from the Company that have a total gross fair market value equal to or more than forty percent
(40%) of the total gross fair market value of all of the assets of the Company immediately prior to such acquisition or acquisitions.

 

1.4       “Code”
means the Internal Revenue Code of 1986, as amended and including the Treasury Regulations and other guidance promulgated or issued
thereunder.

 

1.5       “Disability”
means the Executive’s suffering a sickness, accident or injury which has been determined by the insurance carrier of any
individual or group disability insurance policy covering the Executive, or by the Social Security Administration, to be a disability
rendering the Executive totally and permanently disabled. The Executive must submit proof to the Plan Administrator of the insurance
carrier’s or Social Security Administration’s determination upon the request of the Plan Administrator.

 

1.6       “Good
Reason” means the existence of any of the following without the Executive’s written consent:

 

(a)
A material diminution by the Company in the Executive’s annual base salary.

 

(b)
A material diminution in the Executive’s authority, duties or responsibilities as in effect in the three (3) month period
immediately preceding a Change in Control.

 

(c)
A material diminution in the authority, duties or responsibilities as in effect in the three (3) month period immediately preceding
a Change in Control, of the person to whom the Executive is required to report, including a requirement that the Executive report
to a corporate officer or employee instead of reporting directly to the Board, if the Executive otherwise reported directly to
the Board;

 

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(d)
A material diminution in the budget over which the Executive retains authority as in effect in the three (3) month period immediately
preceding a Change in Control;

 

(e)
the Company requiring the Executive to be based more than fifty (50) miles from where the Executive’s office is located
immediately prior to a Change in Control, except for required travel on the Company’s business, and then only to the extent
substantially consistent with the business travel obligations which the Executive undertook on behalf of the Company during the
90-day period ending on the date of the Change in Control (without regard to travel related to or in anticipation of the Change
in Control); or

 

(f)
any other action or inaction that constitutes a material breach by the Company of this Agreement.

 

The
Executive will have Good Reason to terminate employment only if within ninety (90) days following the Executive’s actual
knowledge of the event which the Executive determines constitutes Good Reason, the Executive notifies the Company in writing that
the Executive has determined a Good Reason exists and specifies the event creating Good Reason; following receipt of the notice,
the Company fails to remedy the event within thirty (30) days; and the Executive’s resignation for Good Reason is effective
within ninety (90) days following the Company’s period for remedy. If such conditions are not met, the Executive will not
have a Good Reason to terminated employment.

 

1.7       “Subsidiary”
means any entity that, along with the Company, would be treated as a single employer under Sections 414(b) and (c) of the Code.

 

1.8       “Successor”
means any entity that assumes the rights and the obligations of the Company by merger, acquisition, or other valid legal succession.

 

1.9       “Termination
Date” shall mean the date of the Executive’s Termination of Employment.

 

1.10      “Termination
of Employment” shall mean Executive’s “separation from service” under Code Section 409A with the Company
or one of its Subsidiaries.

 

Article
2 

Change
in Control Benefit

 

2.1       Change
in Control Benefit.  Subject to the terms and conditions of this Agreement, if within twenty-four (24) months following
a Change in Control, the Executive shall be subject to an involuntary Termination of Employment by the Company other than for
Cause, death, or Disability, or Executive shall initiate a voluntary Termination of Employment for Good Reason, the Company shall
pay to the Executive the benefit specified in this Section 2.1. If a Change in Control occurs, this Agreement

 

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 shall expire on
the second anniversary of such Change in Control; provided, however, that any benefits provided under this Section 2.1
shall continue in effect until fully paid or satisfied.

 

2.1.1       Amount
of Benefit. The benefit under this Section 2.1 is one (1.0) times the Executive’s annual base salary as of the date
of the Change in Control or the Termination Date (whichever is greater).

 

2.1.2       Payment
of Benefit.  The Company shall pay the benefit under this Section 2.1 to the Executive in a lump sum seventy-five
(75) days following the Termination Date provided that, prior to such date the Executive has executed a release of all claims
against the Company, its officers and Directors.

 

2.1.3       Insurance
Benefits.  If a benefit is payable under Section 2.1, then for a period of twelve (12) months following the Termination
Date the Executive shall receive, in addition to the benefit provided in Section 2.1.1 of this Agreement the following benefits
substantially in the form and expense to the Executive as received by the Executive on the Termination Date: (a) medical and dental
insurance; and (b) life insurance.   The provision of medical and dental insurance and the provision of life insurance
benefits pursuant to this Section 2.1.3 shall, however, be subject to the following limitations: (i) the benefits provided during
Executive’s taxable year may not affect the benefits to be provided to Executive in any other taxable year, (ii) reimbursements
or payments must be made on or before the last day of Executive’s taxable year following the taxable year in which the expense
being paid or reimbursed was incurred, and (iii) the right to continued coverage is not subject to liquidation or exchange for
another benefit.

 

It
is understood and agreed that any rights and privileges of the Executive provided by the Consolidated Omnibus Budget Reconciliation
Act of 1986 “(COBRA”), amending the Employee Retirement Income Security Act, the Internal Revenue Code and the Public
Health Services Act, as amended, shall begin immediately following the Termination Date.

 

2.2       Excess
Parachute Payment. Notwithstanding anything to the contrary in this Agreement, the payments made to the Executive under this
Section 2 shall be one dollar ($1.00) less than the amount which would cause the payments to the Executive (including payments
to the Executive which are not included in this Agreement) to be subject to the excise tax imposed by Section 4999 of the Code.
Any reductions in payments under this section will come first from payments under Section 2.1.1 and then from payments under Section
2.1.3

 

2.3       Withholding
& Payroll Taxes. To the extent required by law, the Company shall withhold from other amounts owed to the Executive or
require the Executive to remit to the Company an amount sufficient to satisfy federal, state and local withholding tax requirements
on any payments made to the Executive under this Agreement.  Determinations by the Company as to withholding shall be
binding on the Executive.

 

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Article
3 

Miscellaneous

 

3.1       Confidential
Information. The Executive recognizes and acknowledges that the Executive has had, and will continue to have, access to certain
information of the Company and that such information is confidential and constitutes valuable, special and unique property of
the Company. The Executive shall not at any time, either during or subsequent to the Executive’s employment with the Company,
disclose to others, use, copy or permit to be copied, except as directed by law or in pursuance of the Executive’s duties
for or on behalf of the Company, its Successors, assigns or nominees, any Confidential Information of the Company (regardless
of whether developed by the Executive), without the prior written consent of the Company. The term “Confidential Information”
with respect to any person means any secret or confidential information or know-how and shall include, but shall not be limited
to, the plans, customers, costs, prices, uses, and applications of products and services, results of investigations, studies owned
or used by such person, and all products, processes, compositions, computer programs, and servicing, marketing or operational
methods and techniques at any time used, developed, investigated, made or sold by such person, before or during the term of the
Executive’s employment with the Company, that are not readily available to the public or that are maintained as confidential
by such person. The Executive shall maintain in confidence any Confidential Information of third parties received as a result
of the Executive’s employment with the Company in accordance with the Company’s obligations to such third parties
and the policies established by the Company.

 

3.2       No
Competition. If within the twenty-four (24) months following a Change in Control of the Company, the Executive shall have
an involuntary Termination of Employment by the Company other than for Cause, death, or Disability, or shall have a voluntary
Termination of Employment for Good Reason, then and for a period of one (1) year immediately following the Termination Date, the
Executive shall not directly or indirectly engage in any business in which the Company directly or indirectly engages during the
term of the Executive’s employment with the Company; provided, however, that this restriction shall apply only to the geographic
market of the Company. The Executive shall be deemed to engage in a business if the Executive directly or indirectly, engages
or invests in, owns, manages, operates, controls or participates in the ownership, management, operation or control of, is employed
by, associated or in any manner connected with, or renders services or advice to, any business in which the Company directly or
indirectly engages, provided, however, that the Executive may invest in the securities of any enterprise (but without otherwise
participating in the activities of such enterprise) if two conditions are met: (a) such securities are listed on any national
or regional securities exchange or have been registered under Section 12(g) of the Securities Exchange Act of 1934 and (b) the
Executive does not beneficially own (as defined Rule 13d-3 promulgated under the Securities Exchange Act of 1934) in excess of
one percent of the outstanding capital stock of such enterprise. In the event the Executive is eligible for and receives a payment
under this Agreement, for the twelve (12) months after termination of employment, the Executive will not, directly or indirectly,
solicit, induce

 

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 or attempt to solicit or induce any of the Company’s employees or independent contractors for the purpose
of hiring them to work for the Executive or another individual, entity or employer, or for the purpose of inducing them to leave
their employment with the Company, except with the Company’s written consent. In the event the Executive violates this Section
3.2 or Section 3.1, any and all rights of the Executive under this Agreement shall terminate and no further payment shall be due
the Executive, which shall be in addition to, and not in lieu of, any other rights or remedies of the Company under this Agreement.

 

3.3       Termination
of Agreement Prior to Change in Control. At any time after the Effective Date and prior to a Change in Control, the Board
may amend or terminate this Agreement: provided that no such amendment or termination shall be effective until at least
sixty (60) days following written notification of Executive of such termination or amendment of this Agreement. Further, this
Agreement shall automatically terminate if, prior to a Change in Control, Company terminates Executive, whether with or without
Cause, or Executive voluntarily terminates his employment with the Company, whether with or without Good Reason. For avoidance
of doubt, the terms of the Employment Agreement entered into by and between the Company effective as of the same date as of the
Effective Date (the “Employment Agreement”) shall remain in effect in accordance with its terms.

 

3.4       Delivery
of Documents Upon Termination of Employment. The Executive shall deliver to the Company or its designee at the Executive’s
Termination of Employment all correspondence, memoranda, notes, records, drawings, sketches, plans, customer lists, product compositions,
and other documents and all copies thereof, made, composed or received by the Executive, solely or jointly with others, that are
in the Executive’s possession, custody, or control at such Termination of Employment and that are related in any manner
to the past, present, or anticipated business of the Company.

 

3.5       Remedies.
The Executive acknowledges that a remedy at law for any breach or attempted breach of the Executive’s obligations under
Sections 3.1, 3.2 and 3.3 may be inadequate, agrees that the Company may be entitled to specific performance and injunctive and
other equitable remedies in case of any such breach or attempted breach and further agrees to waive any requirement for the securing
or posting of any bond in connection with the obtaining of any such injunctive or other equitable relief. The Company shall have
the right to offset against amounts to be paid to the Executive pursuant to the terms hereof any amounts owed by the Executive
to the Company at the time of payment.

 

The
termination of the Agreement shall not be deemed to be a waiver by the Company of any breach by the Executive of this Agreement
or any other obligation owed the Company, and notwithstanding such a termination the Executive shall be liable for all damages
attributable to such a breach.

 

3.6       Dispute
Resolution.  Subject to the Company’s right to seek injunctive relief in court as provided in Section 3.4
of this Agreement, any dispute, controversy or claim

 

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 arising out of or in relation to or connection to this Agreement, including
without limitation any dispute as to the construction, validity, interpretation, enforceability or breach of this Agreement, shall
be settled by arbitration administered by the American Arbitration Association under its National Rules for the Resolution of
Employment Disputes and judgment upon the award rendered by the arbitrator(s) may be entered in any court having jurisdiction
thereof.

 

Any
such Arbitration will be conducted: (i) by a neutral arbitrator appointed by mutual agreement of the parties; or (ii) failing
such agreement, by a neutral arbitrator appointed in accordance with said AAA rules; the Company shall pay the fees and reasonable
expenses of the arbitrator; the parties will be permitted reasonable discovery in accordance with the provisions of the Minnesota
Rules of Civil Procedure, including the production of relevant documents by the other party, the exchange of witness lists, and
a limited number of depositions, including depositions of any expert who will testify at the arbitration; the arbitrator’s
award will include findings of fact and conclusions of law showing the legal and factual bases for the arbitrator’s decision;
the arbitrator will have the authority to award to the prevailing party any remedy or relief that a United States District Court
or court of the State of Minnesota could order or grant if the Dispute had first been brought in that judicial forum, including
costs and attorney’s fees; and unless otherwise agreed by the parties, the place of any arbitration proceeding will be Minneapolis,
Minnesota.

 

3.7       Acknowledgement
of Parties. The Company and the Executive understand and acknowledge that this Agreement means that neither can pursue an
action against the other in a court of law regarding any employment dispute, except for claims involving workers’ compensation
benefits or unemployment benefits, and except as set forth elsewhere in this Agreement, in the event that either party notifies
the other of its demand for arbitration under this Agreement. The Company and the Executive understand and agree that this Section
3.7, concerning arbitration, shall not include any controversies or claims related to any agreements or provisions (including
provisions in this Agreement) respecting confidentiality, proprietary information, non-competition, non-solicitation, trade secrets,
or breaches of fiduciary obligations by the Executive, which shall not be subject to arbitration.

 

3.8       Right
to Consult Counsel.  Executive has been advised of the Executive’s right to consult with an attorney prior
to entering into this Agreement.

 

3.9       Successors
of the Company. The Company will require any Successor by agreement in form and substance satisfactory to the Executive,
expressly to assume and agree to perform this Agreement in the same manner and to the same extent that the Company would be required
to perform it if no such succession had taken place.  The failure of the Company to obtain such agreement prior to the
effectiveness of any such succession shall be a breach of this Agreement and shall entitle the Executive to terminate the
Agreement and receive compensation from the Company in the same amount and on the same terms as the Executive would be entitled
hereunder if the Executive terminated the Executive’s employment for Good Reason.  As used in this

 

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 Agreement,
“Company” as hereinbefore defined shall include any Successor to its business and/or assets as aforesaid which executes
and delivers the agreement provided for in this Section 3.8 or which otherwise becomes bound by all the terms and provisions of
this Agreement by operation of law.

 

3.10       Executive’s
Heirs, etc. The Executive may not assign the Executive’s rights or delegate the Executive’s duties or obligations
hereunder without the written consent of the Company. This Agreement shall inure to the benefit of and be enforceable by the Executive’s
personal or legal representatives, executors, administrators, successors, heirs, distributees, devisees and legatees. If the Executive
should die while any amounts would still be payable to the Executive hereunder if the Executive had continued to live, all such
amounts, unless other provided herein, shall be paid in accordance with the terms of this Agreement to the Executive’s designee
or, if there be no such designee, to the Executive’s estate.

 

3.11       Notices.
Any notice or communication required or permitted under the terms of this Agreement shall be in writing and shall be delivered
personally, or sent by registered or certified mail, return receipt requested, postage prepaid, or sent by nationally recognized
overnight carrier, postage prepaid, or sent by facsimile transmission to the Company at the Company’s principal office and
facsimile number in Minnetonka, Minnesota, or to the Executive at the address and  facsimile number, if any, appearing
on the books and records of the Company. Such notice or communication shall be deemed given (a) when delivered if personally delivered;
(b) five mailing days after having been placed in the mail, if delivered by registered or certified mail; (c) the business day
after having been placed with a nationally recognized overnight carrier, if delivered by nationally recognized overnight carrier,
and (d) the business day after transmittal when transmitted with electronic confirmation of receipt, if transmitted by facsimile.
Any party may change the address or facsimile number to which notices or communications are to be sent to such party by giving
notice of such change in the manner herein provided for giving notice. Until changed by notice, the following shall be the address
and facsimile number to which notices shall be sent:

 

	If
    to the Company, to:	If
    to the Executive, to:
	 	Attn:
    Chair of the Board	 	Kyle
        Udseth

         

	 	PINEAPPLE
ENERGY INC. 

        10900
Red Circle Drive 

        Minnetonka,
MN 55343 

        Fax:
(952) 946-1835 
	 	4022
Hillcrest Road 

        Wayzata,
        MN 55391

         

 

3.12       Amendment
or Waiver. No provisions of this Agreement may be modified, waived or discharged unless such waiver, modification or discharge
is agreed to in writing signed by the Executive and such officer as may be specifically designated by the

 

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 Board (which shall not
include the Executive). No waiver by either party hereto at any time of any breach by the other party hereto of or compliance
with, any condition or provision of this Agreement to be performed by such other party shall be deemed a waiver of similar or
dissimilar provisions or conditions at the same or at any prior or subsequent time. No agreements or representations, oral or
otherwise, express or implied, with respect to the subject matter hereof have been made by either party, which are not set forth
expressly in this Agreement. This Agreement constitutes the entire agreement between the Company and the Executive as to
the subject matter hereof; provided, however, the Employment Agreement shall remain in effect in accordance with its terms. No
rights are granted to the Executive by virtue of this Agreement other than those specifically set forth herein.

 

3.13       Invalid
Provisions. Should any portion of this Agreement be adjudged or held to be invalid, unenforceable or void, such holding shall
not have the effect of invalidating or voiding the remainder of this Agreement and the parties hereby agree that the portion so
held invalid, unenforceable or void shall if possible, be deemed amended or reduced in scope, or otherwise be stricken from this
Agreement to the extent required for the purposes of validity and enforcement thereof. In this regard, the parties hereto hereby
agree that any judicial authority construing this Agreement shall be empowered to sever any portion of the geographic area or
any prohibited business activity from the coverage of this Agreement, and to reduce the duration of the non-compete period
and to apply the provisions of this Agreement to the remaining portion of the geographic area or the remaining business activities
not to be severed by such judicial authority and to the duration of the non-compete period as reduced by judicial determination.

 

3.14       Survival
of the Executive’s Obligations. The Executive’s obligations under this Agreement shall survive regardless of whether
the Executive incurs a Termination of Employment, voluntarily or involuntarily, by the Company or the Executive, with or without
Cause.

 

3.15       Counterparts.
This Agreement may be executed in one or more counterparts, each of which shall be deemed to be an original but all of which together
will constitute one and the same instrument.

 

3.16       Governing
Law.  This Agreement and any action or proceeding related to it shall be governed by and construed under the laws
of the State of Minnesota.

 

3.17       Captions
and Gender. The use of Captions and Section headings herein is for purposes of convenience only and shall not affect the interpretation
or substance of any provisions contained herein. Similarly, the use of the masculine gender with respect to pronouns in this Agreement
is for purposes of convenience and includes either sex who may be a signatory.

 

3.18       No
guarantee of tax treatment.  Nothing herein shall be construed as an entitlement to or guarantee of any particular
tax treatment to the Executive. This

 

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 Agreement is drafted and shall be interpreted to provide for payments that are exempt from,
or that comply with, Code Section 409A.

 

IN
WITNESS WHEREOF, the Executive and a duly authorized representative of the Company have signed this Agreement.  

 

	 EXECUTIVE:   	 	 	COMPANY:
	 	 	 	 
	 	 	 	PINEAPPLE
ENERGY INC. 

	 	 	 	 
	 Kyle
    Udseth	 	 	 
	 	 	By:	 
	/s/
                                         Kyle Udseth
	 
	 		/s/
Roger H.D. Lacey

	 	 	 	 
	 	 	 Its:	Chair
    of the Board

 

    10Exhibit
10.5

 

EMPLOYMENT
AGREEMENT

 

This
Employment Agreement (“Agreement”) is effective as of the 5th day of December, 2022 (“Effective Date”),
by and between Pineapple Energy Inc., a Minnesota corporation (the “Company”) and Eric Ingvaldson (the “Employee”).

 

A.
       Employee has been employed by the Company.

 

B.       The
Company desires to continue to employ Employee as detailed below. Employee has thoroughly reviewed and considered the terms of
this Employment Agreement, and accepts all terms set forth below.

 

C.       During
his employment, Employee has had access to, and will continue to have access to, extremely sensitive confidential, proprietary
and trade secret information relating to the Company, its employees, and its customers. As a result, Employee’s continued
employment with the Company and the Company’s commitments in this Agreement are strictly conditioned on Employee agreeing
to the confidentiality provisions and post-employment restrictions in this Agreement.

 

In
consideration of the foregoing, and other good and valuable consideration, the receipt and sufficiency of which are acknowledged
by the Company and Employee, the parties agree as follows:

 

		1.	Employment
Duties; No Conflict; Contingency. The Company hereby agrees to continue to employ Employee pursuant to the terms and conditions
of this Agreement and Employee accepts such employment. Employee agrees to perform the duties consistent with his position and
other duties as may be requested by the Company from time to time. Employee will perform his duties with a high level of professionalism
and integrity. Employment pursuant to this Agreement is subject to all Company policies in effect throughout Employee’s
employment. During the term of Employee’s employment with the Company, Employee will not render or perform services for
any other corporation, firm, entity or person that are inconsistent with the provisions of this Agreement except as expressly
permitted by the Company in writing.

 

		2.	Employment
at Will. Employee’s employment with the Company is at-will and continues until terminated by the Company or Employee
for any reason. The “Termination Date” shall mean the date of cessation of the Employee’s employment with the
Company (whether voluntarily or involuntarily) without regard to any notice of termination or pay in lieu of notice of termination.
For purposes of Section 4(e), with respect to any severance payments payable to Employee thereunder, the “Termination Date”
means the date on which a “separation from service” occurs under Section 409A.

 

10900
Red Circle Drive • Minnetonka, MN • 1-800-268-5130 • 952-996-1674 • www.pineappleenergy.com 

 

    

     

    

 

		3.	Compensation.

 

		(a)	Base
                                         Salary. The Company shall pay Employee base salary in the annualized amount of $250,000
                                         (“Base Salary”), less applicable taxes and withholding, payable in accordance
                                         with the Company’s standard payroll practices.

 

		(b)	Employee
                                         Bonus Program. Employee shall be eligible for the Company’s Employee Bonus
                                         Program. Employee’s potential bonus shall be up to fifty percent (40%) of Employee’s
                                         Base Salary. Any bonus payable under this Section 3(b) shall be paid as a lump sum by
                                         March 15 of the calendar year following the year for which the bonus was calculated.
                                         Employee must be employed by the Company on the date of the payment of any bonus to earn
                                         any bonus under the Company’s Employee Bonus Program. The Company’s Employee
                                         Bonus Program is discretionary based on goals established by the Company’s Board
                                         of Directors (the “Board”) and may be changed from time to time.

 

		(c)	Benefits.
                                         Employee shall be entitled to participate in all employee benefit plans or programs offered
                                         by the Company to all its employees, subject to the eligibility requirements and terms
                                         of such plans or programs, including, as of the Effective Date, cellphone reimbursement,
                                         medical, dental, vision, life, and critical illness/accident insurance; the Company 401(k)
                                         plan, Employee Stock Purchase Plan, and Health Savings Account.

 

		4.	Termination.
                                         Employee’s employment with the Company may be terminated at any time upon sixty
                                         (60) days’ written notice by (a) the Company to Employee in person or by certified
                                         mail to Employee’s address on record at the Company, or (b) Employee to the then-current
                                         Chair of the Board in person or by certified mail to the Company.

 

		(a)	Upon
                                         termination of Employee’s employment with the Company, Employee shall be entitled
                                         to receive (i) Base Salary owed through the Termination Date, (ii) reimbursement of reasonable
                                         expenses incurred as of the Termination Date. Such amounts shall be paid within fourteen
                                         (14) days of the Termination Date. Employee acknowledges and agrees that said payments,
                                         as applicable, shall be in full satisfaction of any amount due to Employee by the Company,
                                         and Employee shall not be entitled to any further payment, severance, benefits continuation,
                                         damages, or any additional compensation whatsoever except as set forth in this Agreement
                                         or in the Change in Control Agreement (as defined below).

 

		(b)	For
                                         purposes of this Agreement, “Cause” means: (i) gross negligence or gross
                                         neglect of duties; (ii)  commission of any felony, or a gross misdemeanor involving
                                         moral turpitude that in the reasonable determination of the Board is materially and demonstrably
                                         injurious to the Company or that impairs Employee’s ability to substantially perform
                                         Employee’s duties with the Company or any of its affiliates; (iii) fraud, disloyalty,
                                         dishonesty or willful violation of any law or a willful violation of a Company policy
                                         that, after warning, remains a continuing violation, committed in connection with the
                                         Employee’s employment; (iv) conduct that, in the judgment of the Board, results
                                         in damage to the Company’s business, property, reputation, or goodwill, including
                                         allegations of sexual harassment or discrimination; (v) breach of or inability to perform
                                         Employee’s obligations under this Agreement other than by reason of disability
                                         or death; or (vi)

 

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failure
to follow a directive of the Board.

 

		(c)	For
                                         purposes of this Agreement, “Good Reason” means: an initial occurrence of
                                         any of the following without the Employee’s consent: (i) a substantial adverse
                                         change in the nature or scope of the Employee’s responsibilities, authorities,
                                         powers, functions or duties such that the Employee would no longer be considered to be
                                         a member of senior management of the Company; (ii) a reduction in the Employee’s
                                         annual Base Salary except for across the board salary reductions similarly affecting
                                         all or substantially all management employees; or (iii) the relocation of offices at
                                         which the Employee is principally employed to a location more than fifty (50) miles from
                                         such offices; provided, however, that “Good Reason” shall not exist unless
                                         the Employee has first provided written notice to the Company of the initial occurrence
                                         of one or more of the conditions under clauses (i) through (iii) above within thirty
                                         (30) days of the condition’s occurrence, such condition is not fully remedied by
                                         the Company within thirty (30) days after the Company’s receipt of written notice
                                         from the Employee, and the Termination Date as a result of such event occurs within ninety
                                         (90) days after the initial occurrence of such event.

 

		(d)	Termination
                                         by the Company for Cause prior to a Change In Control, or Termination by the Employee
                                         for any reason other than Good Reason prior to a Change In Control: If the Employee’s
                                         employment is terminated (i) by the Company for Cause or (ii) by the Employee for any
                                         reason other than Good Reason, in either case with the Termination Date is prior to a
                                         Change in Control (as defined in the Change in Control Agreement entered into by and
                                         between the Company and Employee effective as of the same date as the Effective Date
                                         (the “Change in Control Agreement”), then the Company shall pay or provide
                                         the Employee only with the benefits itemized in Section 4(a).

 

		(e)	Termination
                                         by the Company other than for Cause or Disability prior to a Change In Control; or resignation
                                         by the Employee for Good Reason prior to a Change In Control: If the Employee’s
                                         employment is terminated by the Company for any reason other than Cause or Disability,
                                         or the Employee’s employment is terminated by the Employee for Good Reason, in
                                         either case with the Termination Date occurring prior to a Change in Control, then the
                                         Company shall: (i) pay or provide the Employee the benefits itemized in Section 4(a)
                                         and (ii) subject to the Employee signing and not rescinding a release of claims in a
                                         form acceptable to Employee and the Company and the Employee strictly complying with
                                         the terms of this Agreement and any other written agreement between the Employee and
                                         the Company or any of its affiliates as of the date each of the installments described
                                         below is to be paid, the Company shall pay to the Employee as severance pay a total amount
                                         equal to fifty percent (50%) of the annual Base Salary as of the Termination Date, subject
                                         to applicable tax withholdings, payable in substantially equal installments in accordance
                                         with the Company’s regular payroll during the period from the Termination Date
                                         through and the six (6) month anniversary of the Termination Date; provided, however,
                                         that any installments that otherwise would be payable on the Company’s regular
                                         payroll dates between the Termination Date and the sixtieth (60th) calendar day after
                                         the Termination Date will be delayed until the Company’s first regular

 

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	 	 	payroll
                                         date that is more than sixty (60) days after the Termination Date and included with the
                                         installment payable on such payroll date.

 

		(f)	Termination
                                         due to Disability or death: If the Employee’s employment is terminated due to Disability
                                         or the Employee’s death, then the Company shall pay or provide the Employee (or
                                         the Employee’s estate, if applicable) only with the benefits itemized in Section
                                         4(a). For purposes of this Agreement, “Disability” means: the inability of
                                         the Employee to perform the Employee’s material duties hereunder after reasonable
                                         accommodation due to a physical or mental injury, infirmity or incapacity which has lasted
                                         or can reasonably be expected to last for one hundred eighty (180) days (including weekends
                                         and holidays) in any three hundred sixty-five (365) day period as determined by the Board
                                         in its reasonable discretion.

 

		5.	Proprietary
                                         Information. During the course of employment with the Company Employee has had, and
                                         will continue to have, access to the Company’s proprietary and trade secret information.
                                         Maintaining the confidentiality of such information is important to the Company’s
                                         competitive position in the industry and ultimately to the Company’s ability to
                                         achieve financial success and provide employment opportunities. Employee will not discuss
                                         the business affairs and operations of the Company with anyone outside of the Company
                                         except when required in the normal course of business. To the extent Employee has access
                                         to proprietary and/or trade secret information, he is responsible for the security of
                                         that information. Extreme care must be exercised to insure that such information is safeguarded
                                         to protect the Company, its suppliers, clients, and employees.

 

		6.	Confidential
                                         Information. Employee recognizes and acknowledges that Employee has had, and will
                                         continue to have, access to certain information of the Company and that such information
                                         is confidential and constitutes valuable, special and unique property of the Company.
                                         Employee shall not at any time, either during or after termination of employment, directly
                                         or indirectly disclose to others, use, copy or permit to be copied, except as directed
                                         by law or in accordance with Employee’s duties for or on behalf of the Company,
                                         its successors, assigns or nominees, any Confidential Information of the Company (regardless
                                         of whether developed by the Employee), without the prior written consent of the Company.
                                         The term “Confidential Information” means any secret or non-public information
                                         or know-how relating to the Company and its business, and shall include but not be limited
                                         to information relating to the Company’s plans, customers, costs, prices, personnel,
                                         business relationships, uses and applications of products and services, results of investigations,
                                         studies owned or used by the Company, and all products, processes, compositions, computer
                                         programs, and servicing, marketing or operational methods and techniques at any time
                                         used, developed, investigated, made or sold by the Company, before or during the term
                                         of Employee’s employment with the Company, that are not readily available to the
                                         public or that are maintained as confidential by the Company. Employee shall maintain
                                         in confidence any Confidential Information of third parties, received as a result of
                                         the Employee’s employment, in accordance with the Company’s obligations to
                                         such third parties and the policies established by the Company. 

 

Consistent
with state and federal law, nothing in this Agreement (a) is intended to limit Employee’s right to discuss the terms, wages,
and working conditions of his employment; or (b)

 

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prohibits
Employee from reporting possible violations of law to a government agency or attorney, including information about trade secrets
in a document filed in a lawsuit if the disclosure is made in confidence, good faith, solely for the purpose of reporting or investigating
a suspected violation of law and is done only as permitted by law.

 

		7.	Non-Solicitation,
                                         Non-Interference and Non-Competition. As a result of employment with the Company,
                                         Employee has acquired, and will continue to acquire, considerable knowledge about, and
                                         expertise in, certain areas of the Company’s business. Employee also has gained,
                                         and will continue to gain, knowledge of, and have contact with, customers and suppliers
                                         of the Company. Employee acknowledges that he may be able to utilize such knowledge and
                                         expertise following termination of service with the Company, to the serious detriment
                                         of the Company if he solicits business from customers of the Company or interferes with
                                         the Company’s relationships with its customers, business partners or employees.
                                         Accordingly, Employee agrees that:

 

		(a)	Non-Solicitation,
                                         Non-Interference with Customers. During employment with the Company and for one (1)
                                         year after termination of employment, Employee will not directly or indirectly (i) solicit
                                         any customer or business partner of the Company, (ii) take any action intended to, or
                                         that has the effect of, interfering with the Company’s relationship with any customer
                                         or business partner or otherwise resulting in a customer or business partner reducing
                                         or ceasing their business relationship with the Company; or (iii) provide, to any customer
                                         with whom Employee had contact during employment or about whom Employee had access to
                                         Confidential Information, any products or services that are competitive with those that
                                         were offered by the Company during Employee’s employment with the Company.

 

		(b)	Non-Solicitation
                                         of Employees. During employment with the Company and for one (1) year after termination
                                         of employment, Employee will not directly or indirectly approach, solicit, entice, hire
                                         or attempt to approach, solicit entice or hire any employee of the Company to leave the
                                         employment of the Company.

 

		(c)	Non-
                                         Competition. During employment with the Company and for six (6) months after termination
                                         of employment, Employee will not directly or indirectly engage in any business that is
                                         the same as or substantially similar to the business in which the Company engages during
                                         the term of Employee’s employment; provided, however, that this restriction shall
                                         apply only to the geographic market of the Company. Employee shall be deemed to engage
                                         in a business if he directly or indirectly engages or invests in, owns, manages, operates,
                                         controls or participates in the ownership, management, operation or control of, is employed
                                         by, associated or in any manner connected with, or renders services or advice to, any
                                         business that provides products or services that are the same as or substantially similar
                                         to the products and/or services provided by the Company during Employee’s employment
                                         with the Company. Provided, however, that Employee may invest in the securities of any
                                         enterprise (but without otherwise participating in the activities of such enterprise)
                                         if two conditions are met: (a) such securities are listed on any national or regional
                                         securities exchange or have been registered under Section 12(g) of the Securities Exchange
                                         Act of 1934 and (b) Employee does not beneficially own (as

 

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defined
Rule 13d-3 promulgated under the Securities Exchange Act of 1934) in excess of one percent of the outstanding capital stock of
such enterprise.

 

		(d)	Tolling
                                         of Restrictive Period. In the event Employee breaches any provision of this Section
                                         7, the applicable restrictive period herein shall be tolled during the time of Employee’s
                                         breach. Upon cessation of any such breach, the restrictive period shall continue and
                                         shall be extended by the time period of the applicable breach.

 

		(e)	Presentment
                                         to any New Employer. For one (1) year after termination of employment, Employee will
                                         give a copy of this Agreement to any subsequent employer prior to Employee’s first
                                         day of work so that the new employer can evaluate whether Employee’s work for that
                                         employer may be in violation of this Agreement.

 

		8.	Inventions;
                                         Works Made for Hire. For purposes of this Agreement, “Inventions"
                                         means all ideas, improvements, discoveries, concepts, original works of authorship, modifications,
                                         formulations, software programs, product development or ideas (whether patentable or
                                         not) relating to the business of the Company that have been or are generated, conceived
                                         or reduced to practice by Employee during employment with the Company (including Employee’s
                                         period of employment with the Company prior to the Effective Date) either alone or in
                                         conjunction with others, during or outside of working hours. Any patent application (including
                                         provisional applications, international applications, and the like) on which Employee
                                         is named as an inventor that is both: (a) filed within one (1) year after termination
                                         of employment; and (b) relates to the business of Company; shall be presumed to cover
                                         an Invention conceived by Employee during employment with the Company, subject to proof
                                         to the contrary by good faith, written and duly collaborated records establishing that
                                         such Invention was conceived and made following termination of employment. Employee agrees
                                         to document all Inventions in writing and promptly disclose such Inventions to the Company.
                                         All original works of authorship made by Employee (solely or jointly with others) within
                                         the scope of employment with the Company (or his prior employment) and that are protectable
                                         by copyright are “works made for hire,” pursuant to United States Copyright
                                         Act (17 U.S.C., Section 101).

 

		(a)	Ownership
                                         and Assignment of Inventions. Subject to the limitations of Minnesota Statute §181.78
                                         set forth below, all Inventions are the exclusive property of the Company (whether any
                                         Invention was generated, conceived or reduced to practice prior to the execution of this
                                         Agreement). Employee hereby assigns and agrees to assign in the future (when any such
                                         Inventions are first reduced to practice or first fixed in a tangible medium, as applicable,
                                         or are otherwise assignable) to the Company all of Employee’s right, title and
                                         interest in and to any and all Inventions, whether or not patentable or registrable under
                                         copyright or similar statutes, made or conceived or reduced to practice or learned by
                                         Employee, either alone or jointly with others, during Employee’s employment with
                                         the Company. Employee hereby waives and agrees not to assert any proprietary rights in
                                         or with respect to any Invention. Employee will sign and deliver any documents necessary
                                         to fully assign ownership of any Invention to the Company. Employee will, at the Company’s
                                         expense, provide all assistance reasonably required for the Company to perfect, protect
                                         and use rights to Inventions. Employee will maintain appropriate documentation relating
                                         to Inventions and sign all documents and do all things the Company deems necessary or
                                         desirable to document and record the

 

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	 	 	transfer
                                         of Employee’s right, title and interest in Inventions to the Company or a third
                                         party designated by the Company, and enable the Company to obtain patent protection for
                                         Inventions anywhere in the world.

 

		(b)	Exclusions.
                                         The terms of this Section 8 do not apply to any invention for

                                         which no equipment, supplies, facilities or trade secret
                                         information of the Company was used and that was developed entirely on Employee’s
                                         own time and that (i) does not relate directly to the business of the Company or to the
                                         Company’s actual or demonstrably anticipated research or development; or (ii) does
                                         not result from any work performed by Employee for the Company.

 

		(c)	Continuing
                                         Obligations. The obligations of this Section 8 continue beyond the termination of
                                         employment with the Company as to Inventions conceived or made by Employee during Employee’s
                                         employment and are binding upon Employee’s assigns, executors, administrators and
                                         other legal representatives.

 

		9.	Conflict
                                         of Interests. The Company expects all employees to conduct business according to
                                         the highest ethical standards of conduct. Employee is expected to devote his best efforts
                                         to the interests and business of the Company. Business dealings that create, or appear
                                         to create, a conflict between the interests of the Company and Employee are prohibited.
                                         The Company recognizes the right of employees to engage in activities outside of their
                                         employment that are of a private nature and unrelated to the Company’s business.
                                         However, Employee must disclose any possible conflicts so that the Company may assess
                                         and prevent potential conflicts of interest from arising. A potential or actual conflict
                                         of interest may occur when an employee is in a position to influence a business decision
                                         that may result in personal gain to the employee, a family member, or personal acquaintance.
                                         It is not possible to specify every action that might create a conflict of interest.
                                         Any question regarding whether an action or proposed course of conduct could create,
                                         or appear to create, a conflict of interest should immediately be presented to the Board
                                         Chair or the Human Resources Department for review.

 

		10.	Restrictions
                                         Reasonable. Employee acknowledges that the restrictions in this Agreement are reasonable
                                         under the circumstances. Employee hereby waives all defenses to the enforcement thereof
                                         by the Company. If any provision of this Agreement is deemed void or invalid by a court,
                                         the remaining provisions shall remain in full force and effect and Employee agrees that
                                         the court has the power to replace such void or invalid provisions with such other enforceable
                                         and valid provisions as are as close as possible to the original in form and effect.

 

		11.	Section
                                         409A Compliance. The parties intend that the benefits and rights described in this
                                         Agreement be exempt from or comply with Section 409A of the Internal Revenue Code and
                                         the Treasury Regulations and other guidance promulgated or issued thereunder (“Section
                                         409A”) to the extent that the requirements of Section 409A are applicable hereto,
                                         and the provisions of this Agreement will be construed in a manner consistent with that
                                         intention.  If Employee or the Company believes at any time that any such benefit
                                         or right subject to Section 409A does not so comply, it will promptly advise the other
                                         and will negotiate reasonably and in good faith to amend the terms of such benefits and
                                         rights such that they comply with Section 409A (with the most limited possible economic
                                         effect on Employee and on the Company).  Each payment under this Agreement is intended
                                         to be treated as one of a series of separate payments for purposes of

 

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	 	Code
                                         Section 409A and Treasury Regulation §1.409A-2(b)(2)(iii) (or any similar or successor
                                         provisions).

 

Notwithstanding
the foregoing, the Company does not make any representation that the payments or benefits under this Agreement are exempt from,
or satisfy, the requirements of Section 409A and the Company shall have no liability or other obligation to indemnify or hold
harmless Employee or any beneficiary for any tax, additional tax, interest or penalties if any provision of this Agreement or
any action taken with respect thereto is deemed to violate any of the requirements of Section 409A.

 

		12.	Severability.
                                         Any provision of this Agreement that is prohibited or unenforceable under Minnesota law
                                         shall be ineffective to the extent of the prohibition or unenforceability and shall be
                                         severed from the balance of this Agreement, without affecting the remaining provisions
                                         of this Agreement.

 

		13.	Successors
                                         and Assigns. This Agreement shall inure to the benefit of and be binding upon the
                                         Company and its successors and assigns.

 

		14.	Entire
                                         Agreement. This Agreement constitutes the entire agreement between Employee and the
                                         Company with respect to the subject matter of this Agreement and supersedes all previous
                                         understandings, communications, representations and agreements, whether verbal or written,
                                         with respect to the subject matter hereof (including without limitation the Prior Agreements
                                         (as defined below)); provided, however, the Change in Control Agreement shall remain
                                         in effect in accordance with its terms. This Agreement may not be modified except by
                                         subsequent agreement in writing signed by the Company and Employee.

 

		15.	Post-Employment
                                         Cooperation. Employee agrees to cooperate and assist the Company in the handling
                                         or investigation of any administrative charges, government inquires, claims, threats
                                         or lawsuits involving the Company that relate to matters that arose while the Employee
                                         was an employee of the Company. The Company will reimburse Employee for out-of-pocket
                                         expenses incurred in connection with such cooperation.

 

		16.	Notice. Unless otherwise provided herein, any notice required or given under the terms of
                                         this Agreement shall be in writing and delivered personally, or sent by registered or
                                         certified mail, return receipt requested, postage prepaid, or sent by nationally recognized
                                         overnight carrier, postage prepaid, or sent by facsimile transmission to the Company
                                         at the Company’s principal office and facsimile number in Minnetonka, Minnesota,
                                         or to Employee at the address set forth below. Notice shall be deemed given (a) when
                                         delivered if personally delivered; (b) three business days after having been placed in
                                         the mail, if delivered by registered or certified mail; (c) the business day after having
                                         been placed with a nationally recognized overnight carrier, if delivered by nationally
                                         recognized overnight carrier, and (d) the business day after transmittal when transmitted
                                         with electronic confirmation of receipt, if transmitted by facsimile. Until changed by
                                         notice pursuant to this Section 16, the following shall be the address and facsimile
                                         number to which notices shall be sent:

 

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	If
    to the Company, to:	If
    to Employee, to:
	 	Attn:
    Chief Executive Officer	 	 
	 	Pineapple
    Holdings Inc.	 	Attn:
    Eric Ingvaldson
	 	10900
                                         Red Circle Drive 

        Minnetonka,
        MN 55343 

        Fax:
        (952) 946-1835 
	 	5505
                                         Oaklawn Ave 

        Edina,
        MN 55424

         

 

		17.	Governing
                                         Law; Breach. This Agreement shall be governed by and construed in accordance with
                                         the laws of Minnesota, without reference to conflicts of laws. In the event either party
                                         is deemed by a court of appropriate jurisdiction to have breached this Agreement, the
                                         nonbreaching party shall be entitled to recover all costs, expenses and attorney’s
                                         fees incurred in enforcing the terms of this Agreement.

 

		18.	Survival.
                                         The provisions of Sections 4, 5, 6, 7, 8, 10, 11, 12, 13, 14, 15, 17, 18 and 19 survive
                                         termination of Employee’s employment with the Company).

 

		19.	Termination
                                         of Prior Agreements. By signing below, Employee acknowledges and agree that: (b)
                                         all prior employment or similar agreements (whether written or verbal) between Employee
                                         and Transition Networks/CSI (collectively, the “Prior Agreements”), together
                                         with all of Employee’s rights under the Prior Agreements, are hereby terminated
                                         as of the Effective Date hereof; (c) any notice that may be required in connection with
                                         the termination of the Prior Agreements is hereby waived; (d) notwithstanding the termination
                                         of the Prior Agreements or any other provision of this Agreement, the provisions of the
                                         Prior Agreements that impose confidentiality, non-disclosure, non-solicitation, non-competition
                                         and other similar obligations on Employee (the “Existing Restrictive Covenants”)
                                         shall continue in full force and effect in accordance with their respective terms and
                                         Employee agrees to strictly abide by such provisions; and (e) the other provisions of
                                         the Prior Agreements shall continue in effect to the extent necessary to permit the Company
                                         or its successors or assigns to enforce the Existing Restrictive Covenants.

 

[Signature
page follows]

 

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Accordingly,
this Employment Agreement is effective as of the Effective Date.

 

	Pineapple Energy, Inc.	 	 	 
	 	 	 	 	 
	By:	/s/ Roger H.D. Lacey	 	/s/ Eric Ingvaldson	 
	 	 	 	 	 
	 	 	 	Eric Ingvaldson	 
	 	 	 	 	 
	Its:	/s/ Chairman	 	 	 

 

    10

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