Document:

Exhibit

Exhibit 10.3
                    

CALUMET GP, LLC
ANNUAL BONUS PROGRAM
		
	1.
	PURPOSE.

The purpose of the Calumet GP, LLC Annual Bonus Program (the “Plan”) is to attract, retain and motivate Participants (as defined below) by providing the opportunity to earn bonuses pursuant to the Plan.
		
	2.
	DEFINITIONS.

For purposes of the Plan, the following capitalized terms shall have the meanings set forth below:
(a)“Award” means any award granted under the Plan.

(b)“Award Agreement” means the document setting forth the terms and conditions of an Award to a Participant.

(c)“Board” means the Board of Directors of the Company. 

(d)“Calumet LP” means Calumet Specialty Products Partners, L.P.

(e)“Change of Control” has the meaning given to such term under the Equity Incentive Plan.

(f)“Code” means the Internal Revenue Code of 1986, as amended.

(g)“Committee” means the Board, the Compensation Committee of the Board or such other committee as may be appointed by the Board to administer the Plan.  

(h)“Company” means Calumet GP, LLC, the general partner of Calumet LP, together with its successors and assigns.

(i)“Company Goal” means the target ratio of Net Indebtedness to Consolidated Cash Flow to be determined by the Company with respect to each Award and set forth in the applicable Award Agreement.

(j)“Consolidated Cash Flow” means (i) net income (loss); plus (ii) (A) interest expense; (B) income taxes; (C) depreciation and amortization; (D) impairment; (E) unrealized losses from mark to market accounting for hedging activities; (F) realized gains under derivative instruments excluded from the determination of net income (loss); (G) non-cash equity-based compensation expense and other non-cash items (excluding items such as accruals of cash expenses in a future period or amortization of a prepaid cash expense) that were deducted in computing net income (loss); (H) debt refinancing fees, premiums and penalties, (I) any net loss realized in connection with an asset sale that was deducted in computing net income (loss); and (J) all extraordinary, unusual or non-recurring items of gain or loss, or revenue or expense; minus (iii) (A) unrealized gains from mark to market accounting for hedging activities; (B) realized losses under derivative instruments excluded from the determination of net income; and (C) other non-recurring expenses and unrealized items that reduced net income (loss) for a prior period, but represent a cash item in the current 

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period, with all such amounts in this definition of Consolidated Cash Flow to be calculated at the Calumet LP consolidated level.  For the avoidance of doubt, the annual amount of Consolidated Cash Flow for purposes of the Plan will be equivalent to such amount calculated and reported by Calumet LP in its Annual Report on Form 10-K. 

(k)“DC Plan” means the Calumet Specialty Products Partners, L.P. Executive Deferred Compensation Plan, as the same may be amended and restated from time to time. 

(l)“Distribution Equivalent Rights” or “DERs” has the meaning given to such term under the Equity Incentive Plan. 

(m)“Equity Incentive Plan” means the Calumet GP, LLC Amended and Restated Long-Term Incentive Plan, as the same may be amended and restated from time to time.

(n)“Fair Market Value” has the meaning given to such term in the Equity Incentive Plan.

(o)“Grant Date” means the date on which the Phantom Portion is granted to a Participant as payment in respect of an Award.

(p)“Individual Goals” means such individual performance objectives applicable to a Participant to receive payment of an Award under the Plan, as set forth in the applicable Award Agreement.  The Committee will determine the extent to which a Participant’s Individual Goals have been achieved based on the Participant’s personal performance and efforts during the applicable Plan Year.

(q)“Net Indebtedness” means, for any measurement date, any indebtedness of Calumet LP or any of its subsidiaries (collectively, “Calumet MLP Group”), whether or not contingent, (i) in respect of borrowed money; (ii) evidenced by bonds, notes, debentures or similar instruments; (iii) in respect of all outstanding letters of credit issued for the account of Calumet MLP Group that support obligations that constitute indebtedness (provided that the amount of such included letters of credit shall not exceed the amount of the indebtedness being supported) and, without duplication, the unreimbursed amount of all drafts drawn under letters of credit issued for the account of Calumet MLP Group; (iv) in respect of bankers’ acceptances; (v) representing capital lease obligations; (vi) representing the balance deferred and unpaid of the purchase price of any property, except any such balance that constitutes an accrued expense or trade payable; or (vii) representing any obligations under swap contracts; if and to the extent any of the preceding items (other than letters of credit and obligations under swap contracts) would appear as a liability on Calumet MLP Group’s balance sheet prepared in accordance with GAAP, less any cash and cash equivalents on Calumet MLP Group’s balance sheet prepared in accordance with GAAP.  In addition, indebtedness includes all indebtedness of other persons secured by a lien on any of Calumet MLP Group’s assets (whether or not such indebtedness is assumed by Calumet MLP Group) and, to the extent not otherwise included, Calumet MLP Group’s guarantee of any other person’s or entity’s indebtedness. For the avoidance of doubt, indebtedness excludes any obligation arising from any agreement providing for indemnities, purchase price adjustments, holdbacks, contingency payment obligations based on the performance of the acquired or disposed assets or similar obligations (other than guarantees of indebtedness) incurred by Calumet MLP Group in connection with its acquisition or disposition of assets.

(r)“Participant” means an individual who has been designated by the Committee as a “Participant” hereunder.

(s)“Phantom Unit” has the meaning assigned to such term under the Equity Incentive Plan.

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(t)“Plan Year” means the calendar year during which performance with respect to the Awards is to be measured.

(u)“Section 409A” means Section 409A of the Code and the Treasury Regulations and other official guidance promulgated thereunder.

(v)“Units” has the meaning given to such term under the Equity Incentive Plan.

		
	3.
	ADMINISTRATION AND INTERPRETATION OF THE PLAN.

(a)GENERAL.  The Plan shall be administered by the Committee.  The Committee shall have the exclusive authority and responsibility to make all determinations and take all other actions necessary or desirable for the Plan’s administration, including, without limitation, the power to: (i) determine Participants; (ii) determine the amount of Awards granted to Participants under the Plan; (iii) determine the terms, conditions and restrictions, if any, subject to which the payment of Awards will be made; (iv) certify that the conditions and restrictions applicable to the payment of any Award have been met; (v) interpret the Plan or any Award; and (vi) adopt, amend, or rescind such rules and regulations, and correct any defect, supply any omission and reconcile any inconsistency in the Plan in the manner and to the extent it shall deem necessary to carry out its responsibilities under the Plan.  All decisions of the Committee on any question concerning the selection of Participants and the interpretation and administration of the Plan shall be final, conclusive and binding upon all parties.  Determinations made by the Committee under the Plan need not be uniform and may be made selectively among Participants under the Plan, whether or not such Participants are similarly situated.

(b)UNFUNDED ARRANGEMENT.  The Company shall not be required and does not intend to establish any special or separate fund or make any other segregation of assets to assume the payment of any Award under the Plan.  The Plan shall be “unfunded” for all purposes and Awards hereunder shall be paid out of the general assets of the Company as and when the Awards are payable under the Plan.

		
	4.
	ELIGIBILITY AND PARTICIPATION.

Participation in the Plan shall be limited to the Participants, and no Participant shall be entitled to any Award under the Plan, unless so determined by the Committee for any applicable period.  No Participant who is granted an Award under the Plan shall have any right to a grant of future Awards under the Plan.  By accepting any payment under the Plan, each Participant and each person claiming under or through such Participant shall be conclusively deemed to have indicated such person’s acceptance and ratification of, and consent to, any action taken under the Plan by the Company or the Committee.  
		
	5.
	GRANT OF AWARDS; DETERMINATION OF AWARDS; PAYMENT OF AWARDS.

(a)GRANT OF AWARDS.  The Committee will grant Awards from time to time in accordance with the terms and conditions set forth in the Participant’s Award Agreement. 

(b)DETERMINATION OF AWARDS.  Promptly following the end of the applicable Plan Year, the Committee will determine the amount of a Participant’s Award based upon the extent to which the Company Goal and the Participant’s Individual Goals have been achieved.  

(c)FORM OF PAYMENT.  Unless otherwise set forth in an Award Agreement, 50% of each Award shall be paid in cash (the “Cash Portion”) in a single lump sum payment.  The remaining 50% of each Award shall be paid in the form of a grant of fully-vested Phantom Units (the “Phantom Portion”), with the 

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number of Phantom Units equal to (i) the amount of the Phantom Portion divided by (ii) the Fair Market Value of a Unit on the Grant Date. Notwithstanding anything to the contrary in the foregoing, a Participant may elect to invest, in accordance with all of the terms and conditions of the DC Plan, up to 100% of such Participant’s Cash Portion (in equal 10% increments) in Phantom Units issued under the DC Plan; provided, however, that any such election must be made prior to June 30 of the calendar year in which the Award is deemed to be earned, and such election must comply with all other requirements of Section 409A with respect to the deferral of performance-based compensation. For the avoidance of doubt, the Grant Date for the Phantom Portion will be the same date as the payment of the Cash Portion. The Phantom Portion will be subject to the terms and conditions of the Equity Incentive Plan, any additional terms set forth in the Award Agreement governing the Phantom Portion, and any insider trading policy maintained by the Company or Calumet LP.  

(d)TIME OF PAYMENT AND POTENTIAL DEFERRAL.  For any given Plan Year, the Cash Portions shall be paid and the Phantom Portions shall be granted, in each case, within the first three months of the calendar year immediately following the Plan Year, subject to Section 5(e) below.  The settlement of the vested Phantom Portion may be deferred for a specified period of time, to be set forth as applicable in the Award Agreement governing the Phantom Portion. 

(e)IMPACT OF TERMINATION OF EMPLOYMENT.  Unless otherwise determined by the Committee in its sole discretion, the right to any cash payment or Phantom Unit grant in respect of an Award hereunder shall be subject to the Participant’s continued employment in good standing with the Company on the date of payment or grant with respect to the Award, as applicable.  Unless otherwise determined by the Committee in its sole discretion, if the Company has terminated the Participant’s employment, or if the Participant gives notice of termination of employment with the Company, at any time prior to such payment or grant, such Participant shall not be considered to be in good standing and shall not be eligible to receive such payment. For purposes of clarity, the Participant’s termination of employment following the Grant Date for the Phantom Portion shall not result in a forfeiture of the Phantom Portion, even if such Phantom Portion has been designed to receive a deferred settlement in accordance with Section 5(d) above. 

(f)DISTRIBUTION EQUIVALENT RIGHTS (“DERs”).  Each Participant will have a DER with respect to each vested Phantom Unit granted to such Participant, commencing as of the Grant Date for such vested Phantom Unit, whether or not the Phantom Unit is subject to deferred settlement in accordance with Section 5(d) above.  DER payments will be made to eligible Participants in cash within the 30-day period immediately following the date on which distributions are made to holders of Units. 

		
	6.
	NON-ASSIGNABILITY.

No Award or payment thereof nor any right or benefit under the Plan shall be subject to anticipation, alienation, sale, assignment, pledge, encumbrance, garnishment, execution or levy of any kind or charge, and any attempt to anticipate, alienate, sell, assign, pledge, encumber and to the extent permitted by applicable law, charge, garnish, execute upon or levy upon the same shall be void and shall not be recognized or given effect by the Company.
		
	7.
	NO RIGHT TO EMPLOYMENT.

Nothing in the Plan or in any Award Agreement shall confer upon any Participant the right to continue in the employment of the Company or affect in any way the Company’s right to terminate the employment of any Participant at any time or for any reason (or no reason).

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	8.
	AMENDMENT OR TERMINATION.

The Committee reserves the right, to amend, suspend or terminate the Plan at any time, but such amendment, suspension or termination shall not adversely affect outstanding Awards without the Participant’s consent.
		
	9.
	SEVERABILITY.

In the event that any one or more of the provisions contained in the Plan shall, for any reason, be held to be invalid, illegal or unenforceable, in any respect, such invalidity, illegality or unenforceability shall not affect any other provision of the Plan and the Plan shall be construed as if such invalid, illegal or unenforceable provisions had never been contained therein.
		
	10.
	WITHHOLDING.

The Company shall have the right to make such provisions as it deems necessary or appropriate to satisfy any obligations it may have under applicable law to withhold federal, state or local income or other taxes incurred by reason of the grant, vesting, payment or settlement of Awards under the Plan.
		
	11.
	GOVERNING LAW.

The Plan and any amendments hereto shall be construed, administered, and governed in all respects in accordance with the laws of the State of Delaware (regardless of the law that might otherwise govern under applicable principles of conflict of laws).
		
	12.
	SECTION 409A COMPLIANCE.

The Plan is intended to either comply with, or be exempt from, the requirements of Section 409A.  To the extent that the Plan is not exempt from the requirements of Section 409A, the Plan is intended to comply with the requirements of Section 409A and shall be limited, construed and interpreted in accordance with such intent.  Notwithstanding the foregoing, the Company makes no representations that the payments and benefits provided under this Plan are exempt from, or compliant with, Section 409A, and in no event shall the Company be liable for any portion of any taxes, penalties, interest or other expenses that may be incurred by any Participant on account of non-compliance with Section 409A.  

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	13.
	CLAWBACK POLICY. 

To the extent required by applicable law or any applicable securities exchange listing standards, or as otherwise determined by the Company, Awards and amounts paid or payable pursuant or with respect to Awards shall be subject to the provisions of any applicable clawback policies or procedures adopted by the Company or Calumet LP, which clawback policies or procedures may provide for forfeiture, repurchase and/or recoupment of Awards and amounts paid or payable pursuant or with respect to Awards. Notwithstanding any provision of the Plan or any Award Agreement to the contrary, the Company and Calumet LP reserve the right, without the consent of any Participant or beneficiary of any Award, to adopt any such clawback policies and procedures, including such policies and procedures applicable to the Plan or any Award Agreement with retroactive effect. 
		
	14.
	TITLES AND HEADINGS.

The headings and titles used in the Plan are for reference purposes only and shall not affect in any way the meaning or interpretation of the Plan.

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FORM OF AWARD AGREEMENT - TIER I
CALUMET GP, LLC
NOTICE OF POTENTIAL AWARD UNDER THE ANNUAL BONUS PROGRAM
CALUMET GP, LLC (the “Company”), pursuant to its Annual Bonus Program (as may be amended from time to time, the “Plan”), hereby notifies the Participant of the opportunity to earn a potential Award, as set forth in this Notice of Potential Award (this “Award Agreement”).  The potential Award outlined herein is subject to all of the terms and conditions as set forth in each of this Award Agreement and the Plan, which is attached hereto and incorporated herein in its entirety.  Capitalized terms not expressly defined herein but defined in the Plan will have the same definitions as in the Plan.
	
		
	Potential Award Date:
	 

	Participant:
	 

	Plan Year:
	[2017]

	Target Award:
	150% of Base Salary

	Company Goal:
	[Net Indebtedness to Consolidated Cash Flow Target]

	Individual Goals:
	[To be determined by Committee]

Promptly following the end of the Plan Year, the Committee will determine the amount of the Participant’s Award for the Plan Year (if any) based on the extent to which the above Company Goal and the above Individual Goals have been achieved for such Plan Year.  The total Award amount potentially payable and to be granted to the Participant (“Award Amount”) will be determined based on the level at which the Company Goal is achieved, and the Participant will receive 70% of the Award Amount based solely on achievement of the Company Goal.  The extent to which the Participant earns the remaining 30% of the Award Amount will be based on the Participant’s achievement of the Individual Goals.  If the threshold Company Goal is not achieved, no Award will be payable, regardless of the level at which the Participant attains the Individual Goals.  
	
		
	Performance Level for Company Goal
	Award Amount

	Threshold
	50% of Base Salary

	Target
	150% of Base Salary

	Maximum
	250% of Base Salary

	For actual performance in between the above performance thresholds, the Award Amount will be determined using straight-line interpolation.

Deferred Settlement of Vested Phantom Units.  The Phantom Portion of the Award will be settled in Units within 30 days of the first to occur of (i) a Change of Control that also constitutes a “change in control” within the meaning of Section 409A and any Internal Revenue Service guidance promulgated with respect to Section 409A and (ii) the fourth anniversary of the Grant Date for the Phantom Portion.  For purposes of clarity, the Phantom Portion is fully vested as of the Grant Date, and this paragraph is intended solely to govern the timing of the settlement of the Phantom Units comprising the Phantom Portion. Accordingly, in the event that the Participant incurs a termination of employment for any reason prior to the settlement of the Phantom Portion in accordance with this paragraph, the Phantom Portion will not be forfeited.  

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Additional Terms/Acknowledgements:  The Participant acknowledges receipt of, and understands and agrees to, this Award Agreement and the Plan.  As of the Potential Award Date set forth above, this Award Agreement and the Plan set forth the entire understanding between the Participant and the Company regarding the Award and supersede all prior oral and written agreements regarding the Award.  By signing below, the Participant agrees to all the terms of the Plan (as such may be amended from time to time), including, without limitation, the forfeiture of the Award upon termination of employment under certain circumstances set forth therein.  This Award Agreement is not effective until executed by the Participant and returned to the Company. 
* * * * *
In Witness Whereof, the Company has caused this Award Agreement to be executed as of the Potential Award Date stated above.
COMPANY 
By:      _______________________________
Name:  _______________________________
Its:  __________________________________

PARTICIPANT
Print Name: ___________________________
Print Name: ___________________________
Date:      _______________________________

ATTACHMENT: CALUMET GP, LLC ANNUAL BONUS PROGRAM

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FORM OF AWARD AGREEMENT - TIER II
CALUMET GP, LLC
NOTICE OF GRANT OF AWARD UNDER THE ANNUAL BONUS PROGRAM
CALUMET GP, LLC (the “Company”), pursuant to its Annual Bonus Program (as may be amended from time to time, the “Plan”), hereby notifies the Participant of the opportunity to earn a potential Award, as set forth in this Notice of Potential Award (this “Award Agreement”).  The potential Award outlined herein is subject to all of the terms and conditions as set forth in each of this Award Agreement and the Plan, which is attached hereto and incorporated herein in its entirety.  Capitalized terms not expressly defined herein but defined in the Plan will have the same definitions as in the Plan.
	
		
	Potential Award Date:
	 

	Participant:
	 

	Plan Year:
	[2017]

	Target Award:
	150% of Base Salary

	Company Goal:
	[Net Indebtedness to Consolidated Cash Flow Target]

	Individual Goals:
	[To be determined by the Committee and CEO]

Promptly following the end of the applicable Plan Year, the Committee will determine the extent to which the Tier II Pool will be funded based on the extent to which the above Company Goal is achieved and on the extent to which the Tier II Participants have achieved their respective Individual Goals. With respect to any portion of the Tier II Pool that is unfunded solely due to a Tier II Participant’s failure to achieve his or her Individual Goals, such portion of the Tier II Pool may be reallocated to other Tier II Participants who significantly outperformed with respect to their Individual Goals.  “Tier II Participant” means a Participant who has been designated by the Committee as eligible to receive an Award from the Tier II Pool. “Tier II Pool” means the total amount potentially payable to Tier II Participants for the applicable Plan Year with respect to their Awards, assuming 100% achievement of the Company Goals and Individual Goals.  
The total Award amount potentially payable or to be granted to the Participant (“Award Amount”) will be determined based on the level at which the Company Goal is achieved, and the Participant will receive 25% of the Award Amount based solely on achievement of the Company Goal.  The extent to which the Participant earns the remaining 75% of the Award Amount will be based on the Participant’s achievement of the Individual Goals.  If the threshold Company Goal is not achieved, no Award will be payable, regardless of the level at which the Participant attains the Individual Goals.  
	
		
	Performance Level for Company Goal
	Award Amount

	Threshold
	50% of Base Salary

	Target
	150% of Base Salary

	Maximum
	250% of Base Salary

	For actual performance in between the above performance thresholds, the Award Amount will be determined using straight-line interpolation.

 
Deferred Settlement of Vested Phantom Units.  The Phantom Portion of the Award will be settled in Units within 30 days of the first to occur of (i) a Change of Control that also constitutes a “change in control” within the meaning of Section 409A and any Internal Revenue Service guidance promulgated with respect 

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to Section 409A and (ii) the fourth anniversary of the Grant Date for the Phantom Portion.  For purposes of clarity, the Phantom Portion is fully vested as of the Grant Date, and this paragraph is intended solely to govern the timing of the settlement of the Phantom Units comprising the Phantom Portion. Accordingly, in the event that the Participant incurs a termination of employment for any reason prior to the settlement of the Phantom Portion in accordance with this paragraph, the Phantom Portion will not be forfeited.  
Additional Terms/Acknowledgements:  The Participant acknowledges receipt of, and understands and agrees to, this Award Agreement and the Plan.  As of the Potential Award Date set forth above, this Award Agreement and the Plan set forth the entire understanding between the Participant and the Company regarding the Award and supersede all prior oral and written agreements regarding the Award.  By signing below, the Participant agrees to all the terms of the Plan (as such may be amended from time to time), including, without limitation, the forfeiture of the Award upon termination of employment under certain circumstances set forth therein.  This Award Agreement is not effective until executed by the Participant and returned to the Company.
* * * * *
In Witness Whereof, the Company has caused this Award Agreement to be executed as of the Potential Award Date stated above.
COMPANY
By:      _______________________________
Name:  _______________________________
Its:  __________________________________

PARTICIPANT
Print Name: ___________________________
Print Name: ___________________________
Date:      _______________________________

ATTACHMENT: CALUMET GP, LLC ANNUAL BONUS PROGRAM

10Exhibit 10.1 

 

Date:
4 AUGUST 2017

 

 

 

 

ECOIN
GLOBAL LIMITED

 (as Seller)

 

and

 

EC
POWER (GLOBAL) TECHNOLOGY LIMITED

 (as Buyer)

 

  

 

 

 

 

 

TRANSFER
AGREEMENT 

relating
to 

a
Transfer of Redemption Codes

 

 

 

 

 

 

 

 

 

 

 

 

 

     

     

    

 

Table
of Contents

 

	 	 	Page
	1.	DefinitionS
    and interpretation	1
	 	 	 
	2.	sale
    and purchase of redemption Codes	3
	 	 	 
	3.	transfer
    consideration of the redemption Codes	3
	 	 	 
	4.	PAYMENT
    OF TRANSFER CONSIDERATION	3
	 	 	 
	5.	representations
    and warranties	4
	 	 	 
	6.	fees	6
	 	 	 
	7.	notice
    and other communicationS	6
	 	 	 
	8.	MISCELLANEOUS	7
	 	 	 
	9.	governing
    law and jurisdiction	8

 

     

     

    

 

THIS
AGREEMENT is entered into on 4 August 2017 between:

 

	1.	ECoin
                                         Global Limited, a company incorporated in Hong Kong, with its registered address
                                         at Flat 5, Block C 26/F, TML Tower, 3 Hoi Shing Road, Tsuen Wan, New Territories, Hong
                                         Kong (hereinafter, the “Seller”); and

 

	2.	EC
                                         Power (Global) Technology Limited, a company incorporated in the British Virgin Islands,
                                         with its registered address at Corporate Registrations Limited, Sea Meadow House, Blackburne
                                         Highway, P.O. Box 116, Road Town, Tortola, British Virgin Islands (hereinafter, “Buyer”).

 

Recitals:

 

	(A)	The
                                         Seller produces and markets Ecoin Redemption Codes (“Codes”), which
                                         can be produced and marketed by Buyer in Buyer’s name.

 

	(B)	Each
                                         Code contains a value which enables subscribers to upload certain number of items onto
                                         the Buyer’s website, www.ecrent.com for rental.

 

	(C)	The
                                         Seller agrees to sell, and the Buyer agrees to buy, the Codes in accordance with the
                                         terms and conditions set forth in this Agreement.

 

Therefore,
the parties hereto have entered into the agreement as follows:

 

	1.	DefinitionS
                                         and interpretation

 

	1.1	Unless
                                         otherwise specified herein, the following words and terms shall have the following meaning
                                         when used in this Agreement, the Recitals and the Schedule hereto:

 

	 	“affiliates”	has
    the meaning ascribed to it in the Company Law;
	 	 	 
	 	“Agreement”	is
        a reference to this Agreement and any amendments or supplements hereto (if applicable);

         

	 	“Business
    Day”	means
    a day (other than a Saturday or Sunday) on which banks in Hong Kong are open for ordinary banking business;
	 	 	 
	 	“China”	the
    People’s Republic of China, excluding, for the purpose of this Agreement, Hong Kong, Macau Special Administration Region
    and Taiwan;
	 	 	 
	 	“Closing”	the
    completion of the sale and purchase of the Redemption;
	 	 	 
	 	“Closing
    Date”	the
    date of this Agreement or any other date agreed to in writing between Buyer and Seller;

 

    	 	1	 

     

    

 

	 	“Company”	Cleantech
    Solutions International, Inc., a Nevada corporation, (NASDAQ: CLNT), No.9 Yanyu Middle Road, Qianzhou Town, Huishan District,
    Wuxi City, Jiangsu Province, China;
	 	 	 
	 	“Company
    Law”	the
    Companies Ordinance (Cap 622) of Hong Kong;
	 	 	 
	 	“Encumbrances”	asset
    transfer, claim, third party rights or interest under any mortgage, pledge, liability, lien, guarantee or other encumbrances,
    guarantee interest or other guarantee agreement, arrangement or any other form of rights or interest, regardless whether or
    not relating to current or future assets, liabilities of any individual or entity under such guarantee;
	 	 	 
	 	“Hong
    Kong”	the
    Hong Kong Special Administration Region of the People’s Republic of China;
	 	 	 
	 	“Redemption
        Codes”

        and
        “Codes”
	EC
    Coin’s Redemption Codes, with aggregate value of US$50,000,000;
	 	 	 
	 	“Transfer
    Consideration”	a
    total consideration of US$20,000,000 payable for the purchase of Redemption Codes and all associated rights and interests
    in accordance with Clause 3.1;
	 	 	 
	 	“US
    Dollar” and “US$”	the
    lawful currency of the United States of America; and
	 	 	 
	 	 “Working
Hours”
	

        means
        9:30 a.m. to 5:30 p.m. on a Business Day.

 

	1.2	The
                                         provisions of law referenced herein shall be interpreted as such as amended, re-formulated
                                         from time to time or as such the applicability of which has been modified by other provisions
                                         of law, including re-formulated provisions (regardless of any modification).

 

	1.3	The
                                         clauses and schedule referenced herein shall mean the clauses and schedule of this Agreement;
                                         the sub-clauses referenced herein shall mean such under the relevant clauses when referenced
                                         (unless otherwise specified in context). The schedule hereto shall be considered to be
                                         the component part of this Agreement.

 

	1.4	Headings
                                         are provided for reference only and shall in no way affect the interpretation of this
                                         Agreement.

 

	1.5	In
                                         this Agreement, all the names and terms used in the singular case include the plural
                                         and vice versa; all the names and terms with gender reference include all genders, and
                                         all persons referenced include incorporated persons and non-incorporated persons.

 

    	 	2	 

     

    

 

	2.	sale
                                         and purchase of redemption Codes

 

	2.1	Subject
                                         to the terms and conditions herein, on the Closing Date, the Seller shall sell and transfer
                                         to the Buyer, and the Buyer, in reliance on the representations and warranties made and
                                         provided by the Seller herein, agrees to buy and accept, the Codes.

 

	2.2	The
                                         Seller warrants that, at the time of transferring the Codes, no Encumbrances nor any
                                         current rights as of the date of execution of this Agreement or any subordinate or incidental
                                         rights thereafter exist on or in relation to the Codes.

 

	2.3	The
                                         Buyer may, at the time of transferring the Codes, designate its subsidiary or affiliate
                                         to receive the Codes and pay the Transfer Consideration.

 

	2.4	The
                                         portion of revenue sharing permitted by the Buyer to marketing channel partners shall
                                         not exceed 20% of the face value of the Codes, with a minimum of 80% of sales income
                                         to accrue to Buyer.

 

	3.	transfer
                                         consideration of the redemption Codes

 

	3.1	The
                                         parties hereto acknowledge and agree that the Codes to be transferred have a value of
                                         US$50,000,000 and Seller has agreed to transfer the same at a discounted price to Buyer
                                         at 40% of the face value of the Codes, namely, for a total consideration of US$20,000,000
                                         (the “Transfer Consideration”). The Transfer Consideration shall be
                                         paid by the Buyer as provided in Clause 4 below.

 

	3.2	The
                                         Seller warrants that the Codes have a validity period of four (4) years, and will not
                                         expire until 3 August 2021(the “Expiry Date”).

 

	3.3	The
                                         Seller undertakes to deliver the Codes not later than three (3) business day following
                                         notice from the Buyer requesting delivery.

 

	4.	PAYMENT
                                         OF TRANSFER CONSIDERATION

 

	4.1	The
                                         Transfer Consideration shall be paid by the Buyer to the Seller in instalments, with
                                         each instalment payable not later than thirty (30) days after the end of 31 December
                                         in each calendar year.

 

	4.2	Each
                                         instalment shall be in an amount equal to fifty percent (50%) of the net sale proceeds
                                         of the Codes sold during each calendar year, and for this purpose, not later than fifteen
                                         (15) days immediately after 31 December of such calendar year, the Buyer shall deliver
                                         to the Seller a statement certifying the total sales of the Codes in such calendar year,
                                         and such statement shall, absent manifest error be binding on the parties hereto. In
                                         no circumstances shall the aggregate of instalments exceed the Transfer Consideration.

 

	4.3	All
                                         payments shall be made in US Dollars (or HK Dollar equivalent) and in free and clear
                                         funds without set off or deduction on account of any other amount whatsoever and to such
                                         account in Hong Kong as the Seller has notified to the Buyer in writing.

 

    	 	3	 

     

    

 

	4.4	Not
                                         later than thirty (30) days after the Expiry Date, the Buyer shall procure that any and
                                         all balance outstanding of the Transfer Consideration as at the Expiry Date (the “Relevant
                                         Balance”), shall be paid and discharged by the issue or delivery to the Seller
                                         of ordinary issued stock of the Company, credited as fully paid, in cancellation of any
                                         further liability of the Buyer to pay the Relevant Balance.

 

	4.5	The
                                         number of Shares to be issued or delivered shall be an amount equal to (i) the Relevant
                                         Balance; divided by (ii) the VWAP of the Shares for the period of twenty (20) Trading
                                         Days immediately preceding the Expiry Date, provided always that in no circumstances
                                         shall Shares be issued or delivered hereunder to the Seller in excess of nineteen percent
                                         (19%) of the issued and outstanding ordinary Shares of the Company.

 

	4.6	For
                                         the purposes of this Clause 4:

 

		4.6.1	“Shares”
                                         means ordinary shares of par value US$0.001 each of the Company as at the Expiry Date
                                         or shares of any class or classes resulting from any subdivision, consolidation or re-classification
                                         of those shares, which as between themselves have no preference in respect of dividends
                                         or of amounts payable in the event of any voluntary or involuntary liquidation or dissolution
                                         of the Company.

 

		4.6.2	“Trading
                                         Day” generally means a day during which (i) trading in the Company’s
                                         common stock generally occurs on the principal U.S. national or regional securities exchange
                                         or market on which the Company’s common stock is listed or admitted for trading
                                         and (ii) there is no market disruption event.

 

		4.6.3	“VWAP”
                                         for the Company’s common stock means, for each Trading Day during the observation
                                         period, the per share volume-weighted average price as displayed under the heading “Bloomberg
                                         VWAP” on Bloomberg page ILMN.Q equity AQR (or any equivalent successor page)
                                         in respect of the period from the scheduled open of trading on the principal trading
                                         market for the Company’s common stock to the scheduled close of trading on such
                                         market on such Trading Day, or if such volume-weighted average price is unavailable,
                                         the market value of one share of the Company’s common stock on such Trading Day
                                         using a volume-weighted method as determined by a nationally recognized independent investment
                                         banking firm retained for this purpose by the Company.

 

	4.7	If
                                         for any reason the Buyer is unable to procure the issue or delivery of Shares as expressly
                                         provided for under this Clause 4, the Buyer shall promptly notify the Seller and instead
                                         pay the Relevant Balance to the Seller in clear funds in accordance with Clause 4.3.

 

	5.	representations
                                         and warranties

 

	5.1	The
                                         Buyer hereby unconditionally and irrevocably represents and warrants to the Seller that:

 

		5.1.1	the
                                         Buyer’s execution of this Agreement and its exercise and performance of its rights
                                         and obligations hereunder in accordance with the provisions herein will not violate:

 

		(i)	any
                                         law or statues to which it must adhere; or

 

    	 	4	 

     

    
 

		(ii)	any
                                         instrument or organization charter or documents on which its incorporation was based
                                         or which regulate its business or affairs; or

 

		(iii)	any
                                         document or agreement to which the Buyer is a party or any agreement by which the Buyer
                                         or its assets are bound;

 

		5.1.2	the
                                         Buyer is a legal and existing limited liability company incorporated in accordance with
                                         the law of the place of its registration and has the full capacity and authority to execute
                                         this Agreement, and to exercise its right and to perform its obligations in accordance
                                         with this Agreement; this Agreement constitutes a valid document binding to, and enforceable
                                         against, Buyer; and

 

		5.1.3	the
                                         Buyer’s execution of this Agreement, and performance and completion of the transaction
                                         contemplated herein does not require consent or approval from any person.

 

	5.2	The
                                         Seller hereby unconditionally and irrevocably represents and warrants to the Buyer that:

 

		5.2.1	its
                                         representations and warranties made herein shall remain true, accurate and complete from
                                         the date of this Agreement to the Closing Date;

 

		5.2.2	the
                                         Seller’s execution of this Agreement and its exercise and performance of its rights
                                         and obligations hereunder in accordance with the provisions herein will not violate:

 

		(i)	any
                                         law or statues to which it must adhere; or

 

		(ii)	any
                                         instrument or organization charter or documents on which its incorporation was based
                                         or which regulate its business or affairs; or

 

		(iii)	any
                                         document or agreement to which Buyer is a party or any agreement to which Buyer or its
                                         assets are bound;

 

		5.2.3	the
                                         Seller is a legal and existing limited liability company incorporated in accordance with
                                         the law of the place of its registration and has the full capacity and authority to execute
                                         this Agreement, and to exercise its right and to perform its obligations in accordance
                                         with this Agreement; this Agreement constitutes a valid document binding to, and enforceable
                                         against, Seller; and

 

		5.2.4	the
                                         Seller’s execution of this Agreement, and performance and completion of the transaction
                                         contemplated herein does not require consent or approval from any person.

 

    	 	5	 

     

    

 

	5.3	The
                                         Seller unconditionally and irrevocably represents and warrants to Buyer, as of the date
                                         of this Agreement until the Closing Date, as follows:

 

		5.3.1	the
                                         Seller legally owns all the Codes;

 

		5.3.2	the
                                         Codes have no Encumbrances attached and can be used immediately;

 

		5.3.3	the
                                         value stored in the Codes is US$50,000,000;

 

		5.3.4	in
                                         the event of the occurrence of any circumstances brought to the Seller’s attention
                                         that will cause the representations and warranties made by the Seller herein to be untrue,
                                         Seller will immediately notify Buyer;

 

		5.3.5	the
                                         Seller is in compliance with all applicable laws and regulations in all material respects
                                         and to the best of its knowledge and belief, there is no failure to comply which would
                                         materially impair its ability to sell the Codes for the purposes for which they are intended
                                         for use on the Buyer’s site and to perform its obligations under this Agreement;
                                         and

 

		5.3.6	the
                                         intellectual property owned or licensed by the Seller comprises all of the intellectual
                                         property required in order for the Seller to carry on its business as it is now being
                                         conducted, and in the sale to and use of the Codes by the Buyer as contemplated by this
                                         Agreement will not infringe any intellectual property rights of any third party.

 

	6.	fees

 

The
parties hereto shall each be responsible for their own legal fees and other expenses, charges and payments in connection with
negotiation, formulation and completion of this Agreement.

 

	7.	notice
                                         and other communications

 

	7.1	Any
    notice or other communication given under this Agreement or in connection with the matters contemplated herein shall, except
    where otherwise specifically provided, be in writing in the English language, addressed as provided in Clause 7.2 and served:

 

		(a)	by
                                         leaving it at the relevant address in which case it shall be deemed to have been given
                                         upon delivery to that address;
	 	 	 
		(b)	if
                                         within Hong Kong, by first class pre-paid post, in which case it shall be deemed to have
                                         been given two Business Days after the date of posting;
	 	 	 
		(c)	if
                                         from or to any place outside Hong Kong, by air courier, in which case it shall be deemed
                                         to have been given two Business Days after its delivery to a representative of the courier;
	 	 	 
		(d)	if
                                         from or to any place outside Hong Kong, by pre-paid airmail, in which case it shall be
                                         deemed to have been given five Business Days after the date of posting; or

 

    	 	6	 

     

    

 

		(e)	by
                                         e-mail, in which case it shall be deemed to have been given when despatched subject to
                                         confirmation of delivery by a delivery receipt,

 

provided
that in the case of sub-clause (e) above any notice despatched outside Working Hours shall be deemed given at the start of the
next period of Working Hours.

 

	7.2	Notices
                                         under this Agreement shall be sent for the attention of the person and to the address
                                         or e-mail address, subject to Clause 7.3, as set out below:

 

	 	To
    Seller:	 
	 	 	 
	 	Address:	Flat
    5, Block C 26/F, TML Tower, 3 Hoi Shing Road, Tsuen Wan, New Territories, Hong Kong
	 	Email:	sales@ecoin-global.com
	 	Recipient:	Board
    of Directors
	 	 	 
	 	To
    Buyer:	 
	 	 	 
	 	Address:	604,
    6th Floor, Tesbury Centre, 28 Queen’s Road East, Hong Kong
	 	Email:	ecpower@cleantechsolutionsinternational.com
	 	Recipient:	Board
    of Directors

 

	7.3	Any
                                         party to this Agreement may notify the other party of any change to its address or other
                                         details specified in Clause 7.2 provided that such notification shall only be effective
                                         on the date specified in such notice or five Business Days after the notice is given,
                                         whichever is later.

 

	8.	MISCELLANEOUS

 

	8.1	Further
                                         assurance: The parties hereto agree to take such further action or matter (or cause
                                         to have such action taken) and to execute and deliver such further document (or cause
                                         to have such document executed and delivered) if required by any law or due to any need
                                         or in order to perform this Agreement and/or complete the transaction contemplated herein
                                         reasonably and satisfactorily.

 

	8.2	Complete
                                         Agreement: This Agreement (together with any document described herein or any document
                                         specified herein for execution) constitutes the complete agreement between the parties
                                         hereto regarding the transaction contemplated herein and supersedes all prior understanding
                                         between the parties hereto regarding the transaction. The parties hereto agree:

 

		8.2.1	execution
                                         of this Agreement by either party is not based on any representation, warranty or assurance
                                         made by the other party other than those made herein;

 

		8.2.2	except
                                         in cases of violation of any representation or warranty set forth herein, neither party
                                         may raise any claim or seek any damages based on any misleading representation (whether
                                         due to negligence or otherwise) by the other party, regardless whether such representation
                                         is made prior to or after the execution of this Agreement; provided that this provision
                                         does not absolve any party of any legal liability resulting from any fraudulent element
                                         in such representation.

 

    	 	7	 

     

    

 

	8.3	Cumulative
                                         Remedies: The rights and interest and remedies specifically provided herein for either
                                         party are additional and non-exclusive and shall not harm any interest, rights or remedies
                                         available to any party in absence of such specific provision; each party may exercise
                                         any interest, rights or remedies specifically provided herein according to its need without
                                         any limitation.

 

	8.4	Non-waiver:
                                         failure to exercise, postponement or extension of, or indulgence or delay in the exercise
                                         of, any law or rights or remedies provided herein by any party shall not affect its future
                                         exercise of such rights and remedies or its ability to exercise any other rights and
                                         remedies. Such failure or delay shall not constitute waiver or modification of any other
                                         rights or remedies. Any exercise or partial exercise of such rights or remedies shall
                                         not prevent any other or further exercise of such rights or remedies nor prevent the
                                         exercise of any other rights and remedies.

 

	8.5	Severability:
                                         If this Agreement is to be enforced, each party must enforce the provisions herein in
                                         accordance with the law of the competent jurisdiction to the full extent possible. If
                                         any provision herein is determined to be invalid or unenforceable, or partially invalid
                                         or unenforceable, such provision (to the extent of such invalidity or unenforceability)
                                         shall be considered to be invalid and considered not to be part of this Agreement but
                                         shall not cause any other provisions herein to be invalid. Both parties must make reasonable
                                         efforts to replace such invalid or unenforceable provision with other valid and enforceable
                                         provision of such effect that is as similar as possible to such invalid or unenforceable
                                         provision.

 

	8.6	Modification:
                                         No modification of any provision herein (or any document described herein or made in
                                         connection herewith) shall be considered to be part of this Agreement unless it is in
                                         writing and signed by both parties. “Modification” for these purposes, includes
                                         changes, supplements, deletions and replacements of any kind.

 

	8.7	Transfer:
                                         This Agreement is binding to the parties hereto and their respective successors and permitted
                                         assigns. Without prior written consent from the other party, neither party may transfer,
                                         assign, pledge in any way, or dispose in any other manner of, all or part of its rights
                                         and interest and/or obligations hereunder.

 

	8.8	Counterparts:
                                         This Agreement may be executed in any number of counterparts, and all counterparts together
                                         constitute one and same agreement.

 

	8.9	Legal
                                         Relationship: The parties hereto contract as independent principals. Neither party
                                         is, nor can it represent to be, an agent of any other party or partner. Neither party
                                         has the right to bind the other party or cause any legal liability to the other party.

 

	8.10	Time
                                         Off-Essence: Time shall be of the essence in the performance by each party in the
                                         obligations hereunder.

 

	8.11	Third
                                         Party Rights: A person who is not a party to this Agreement shall have no right under
                                         the Contracts (Rights of Third Parties) Ordinance (Cap. 623 of the Laws of Hong Kong)
                                         to enforce any of its terms.

 

	9.	governing
                                         law and jurisdiction

 

	9.1	This
                                         Agreement is governed by and construed in accordance with the law of Hong Kong.

 

	9.2	Each
                                         party hereto irrevocably submits to the non-exclusive jurisdiction of the courts of Hong
                                         Kong.

 

    	 	8	 

     

    

 

Signature
page

 

IN
WITNESS WHEREOF, the parties hereto have executed this Agreement on the date first written above.

 

	For
        and on behalf of

        ECoin
        Global Limited
	 
	 	 
	 	 
	Position:
    Director	 
	Witness: 	 

  

	For
    and on behalf of  

EC Power (Global) Technology Limited	 
	 	 
	 	 
	Position:
    Director	 
	Witness: 	 

 

 

9

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