Document:

stockre-purchaseagreemen

    STOCK RE-PURCHASE AGREEMENT  This Stock Re-Purchase Agreement (this "Agreement"), dated as of June 30, 2022, is  entered into between RJ Kiln & Co. (No. 3) Limited, a limited company registered in England  and Wales ("Seller"), and Journey Insurance Company, a Florida corporation ("Buyer" or  “Company”).   RECITALS  WHEREAS, Seller owns 2,000,000 shares of common stock, $1.00 par value (the  "Shares") of Buyer; and  WHEREAS, Seller wishes to sell to Buyer, and Buyer wishes to re-purchase from Seller,  the Shares, subject to the terms and conditions set forth herein;  NOW, THEREFORE, in consideration of the mutual covenants and agreements  hereinafter set forth and for other good and valuable consideration, the receipt and sufficiency of  which are hereby acknowledged, the parties hereto agree as follows:  ARTICLE I  PURCHASE AND SALE  Section 1.01 Purchase and Sale. Subject to the terms and conditions set forth herein, at  the Closing, Seller shall sell to Buyer, and Buyer shall purchase from Seller, the Shares, free and  clear of any lien, pledge, mortgage, deed of trust, security interest, charge, claim, easement,  encroachment or other similar encumbrance (each, an "Encumbrance").  Section 1.02 Purchase Price. The aggregate purchase price for the Shares shall be  $18,334,788 (USD), such amount being equal to 33.33% of the Company Surplus as of the day  prior to the Closing Date (the "Purchase Price"). Buyer shall pay the Purchase Price to Seller at  the Closing in cash by wire transfer of immediately available funds in accordance with the wire  transfer instructions set forth in Exhibit A.  ARTICLE II  CLOSING  Section 2.01 Closing. The closing of the transactions contemplated by this Agreement  (the "Closing") shall take place simultaneously with the execution of this Agreement on the date  hereof (the "Closing Date") remotely by exchange of documents and signatures (or their  electronic counterparts).   Section 2.02 Seller Closing Deliverables. At the Closing, Seller shall deliver to Buyer  the following:  (a) Share certificates evidencing the Shares, free and clear of all  Encumbrances, duly endorsed in blank or accompanied by stock powers or other  instruments of transfer duly executed in blank.  

 

       2 (b) A receipt evidencing the receipt by Seller of payment and delivery by  Buyer of the payment of the Purchase Price in accordance with Section 1.02.  (c) A copy, certified as of the Closing Date by an officer of Seller,  of the  resolutions of Seller’s board of directors authorizing the execution and delivery of this  Agreement and the consummation of the transactions contemplated hereby.  (d) A limited release in favor of the Company in the form of Exhibit B  attached hereto, duly executed by Seller.   (e) The Termination Agreement, signed by Seller.  (f) Evidence of the receipt of all Required Consents and Approvals under  Section 3.02 of this Agreement.  Section 2.03 Buyer's Deliveries. At the Closing, Buyer shall deliver the following to  Seller:  (a) The Closing Balance Sheet which shall include Buyer’s calculation of the  Company Surplus.  (b) The Purchase Price pursuant to Section 1.02.  (c) A receipt evidencing the receipt by Buyer and the delivery by Seller of the  Share certificates evidencing the Shares, in accordance with Section 1.01.  (d) A copy, certified as of the Closing Date by an officer of Buyer,  of the  resolutions of Buyer’s board of directors authorizing the execution and delivery of this  Agreement and the consummation of the transactions contemplated hereby.  (e) A limited release in favor of the Seller in the form of  Exhibit C attached  hereto, duly executed by Buyer.   (f) The Termination Agreement, signed by United Insurance Holdings Corp.,  a Delaware corporation.  (g) Evidence of the receipt of all Required Consents and Approvals under  Section 4.02 of this Agreement.  ARTICLE III  REPRESENTATIONS AND WARRANTIES OF SELLER  Subject to the exceptions set forth in the sections of the Disclosure Schedule that are   referenced in the following sections of this Article III, Seller represents and warrants to Buyer, as  of the Date of this Agreement and as of the Closing Date, as follows:  Section 3.01 Organization and Authority of Seller. Seller has all necessary corporate  power and authority to enter into this Agreement, to carry out its obligations hereunder and to  

 

       3 consummate the transactions contemplated hereby. The execution and delivery by Seller of this  Agreement, the performance by Seller of its obligations hereunder, and the consummation by  Seller of the transactions contemplated hereby have been duly authorized by all requisite  corporate action on the part of Seller.  This Agreement has been duly and validly executed and  delivered by Seller.  Assuming the due authorization, execution and delivery by Buyer, this  Agreement constitutes a legal, valid and binding obligation of Seller enforceable against Seller in  accordance with its terms, except as such enforceability may be limited by bankruptcy,  insolvency, reorganization, moratorium or similar Laws affecting creditors' rights generally and  by general principles of equity (regardless of whether enforcement is sought in a proceeding at  law or in equity).  Section 3.02 No Conflicts; Required Consents and Approvals.   Subject to the  Receipt of  the Required Consents and Approvals set forth in Section 3.02 of the Disclosure  Schedule, the execution, delivery and performance by Seller of this Agreement, and the  consummation of the transactions contemplated hereby, do not and will not: (a) violate or  conflict with any provision of the certificate of incorporation or bylaws of Seller; (b) violate or  conflict with any provision of any Law or Governmental Order applicable to Seller; or (c)  require any consent, approval or authorization of, or declaration or filing with, or notice to, any  Governmental Entity by Seller.  Section 3.03 No Other Representations and Warranties. Except for the  representations and warranties contained in this Article III, the Seller has not made and does not  make any other express or implied representation or warranty, either written or oral, under this  Agreement or otherwise in connection with the transactions contemplated by this Agreement.  ARTICLE IV  REPRESENTATIONS AND WARRANTIES OF BUYER  Subject to the exceptions set forth in the sections of the Disclosure Schedule that are   referenced in the following sections of this Article IV, Buyer represents and warrants to Seller,  as of the Date of this Agreement and as of the Closing Date, as follows:  Section 4.01 Organization and Authority of Buyer. Buyer is a corporation duly  organized, validly existing and in good standing under the Laws of the state of Florida. Buyer  has all necessary corporate power and authority to enter into this Agreement, to carry out its  obligations hereunder and to consummate the transactions contemplated hereby. The execution  and delivery by Buyer of this Agreement, the performance by Buyer of its obligations hereunder,  and the consummation by Buyer of the transactions contemplated hereby have been duly  authorized by all requisite corporate action on the part of Buyer. This Agreement has been duly  and validly executed and delivered by Buyer.  Assuming the due authorization, execution and  delivery by Seller, this Agreement constitutes a legal, valid and binding obligation of Buyer  enforceable against Buyer in accordance with its terms, except as such enforceability may be  limited by bankruptcy, insolvency, reorganization, moratorium or similar Laws affecting  creditors' rights generally and by general principles of equity (regardless of whether enforcement  is sought in a proceeding at law or in equity).  

 

       4 Section 4.02 No Conflicts; Required Consents and Approvals.   Subject to the  Receipt of  the Required Consents and Approvals set forth in Section 4.02 of the Disclosure  Schedule, the execution, delivery and performance by Buyer of this Agreement, and the  consummation of the transactions contemplated hereby, do not and will not: (a) violate or  conflict with any provision of the certificate of incorporation or bylaws of Buyer; (b) violate or  conflict with any provision of any Law or Governmental Order applicable to Buyer; or (c)  require any consent, approval or authorization of, or declaration or filing with, or notice to, any  Governmental Entity by Buyer.  Section 4.03 Financial Statements. The Closing Balance Sheet, when prepared and  delivered to Buyer pursuant to Section 2.03(a), shall fairly present in all material respects the  statutory financial position of the Company as of the Business Day prior to the Closing Date.  Section 4.04 No Other Representations and Warranties. Except for the  representations and warranties contained in this Article IV, Buyer has not made and does not  make any other express or implied representation or warranty, either written or oral, under this  Agreement or otherwise in connection with the transactions contemplated by this Agreement.  ARTICLE V  COVENANTS  Section 5.01 Public Announcements. Unless otherwise required by applicable Law, no  party to this Agreement shall make any public announcements in respect of this Agreement or  the transactions contemplated hereby without the prior written consent of the other party (which  consent shall not be unreasonably withheld, conditioned or delayed), and the parties shall  cooperate as to the timing and contents of any such announcement.  Section 5.02 Further Assurances. Following the Closing, each of the parties hereto  shall, and shall cause their respective Affiliates to, execute and deliver such additional  documents and instruments and take such further actions as may be reasonably required to carry  out the provisions hereof and give effect to the transactions contemplated by this Agreement.  Section 5.03 Transfer Taxes. All transfer, documentary, sales, use, stamp, registration,  value added and other such Taxes and fees (including any penalties and interest) incurred in  connection with this Agreement (including any real property transfer Tax and any other similar  Tax) shall be borne and paid by Buyer when due. Buyer shall, at its own expense, timely file any  document with respect to such Taxes or fees (and Seller shall cooperate with respect thereto as  necessary).   Section 5.04 Survival. Subject to the limitations and other provisions of this  Agreement, the representations and warranties contained herein shall survive the Closing and  shall remain in full force and effect for three years from the Closing Date. None of the covenants  or other agreements contained in this Agreement shall survive the Closing Date other than those  which by their terms contemplate performance after the Closing Date, and each such surviving  covenant and agreement shall survive the Closing for the period contemplated by its terms.  Notwithstanding the foregoing, any claims asserted in good faith with reasonable specificity (to  the extent known at such time) and in writing by notice from the non-breaching party to the  

 

       5 breaching party prior to the expiration date of the applicable survival period shall not thereafter  be barred by the expiration of such survival period and such claims shall survive until finally  resolved.  Section 5.05 Indemnification by Buyer. Subject to the other terms and conditions of  this Error! Bookmark not defined.Article V, Buyer shall indemnify Seller against, and shall  hold Seller harmless from and against, any and all Losses incurred or sustained by, or imposed  upon, Seller based upon, arising out of or with respect to any breach or non-fulfillment of any  covenant, agreement or obligation to be performed by Buyer pursuant to this Agreement.  Section 5.06 Certain Limitations. Seller, when making a claim under this Error!  Bookmark not defined.Article VI, is referred to as the "Indemnified Party," and the party  against whom such claims are asserted under this Article VI is referred to as the "Indemnifying  Party." The indemnification provided for in Section 5.05 shall be subject to the following  limitations:  (a) In no event shall any Indemnifying Party be liable to any Indemnified  Party for any punitive, incidental, consequential, special or indirect damages, including  loss of future revenue or income, loss of business reputation or opportunity relating to the  breach or alleged breach of this Agreement.  Section 5.07 Indemnification Procedures. Whenever any claim shall arise for  indemnification hereunder, the Indemnified Party shall promptly provide written notice of such  claim to the Indemnifying Party. Such notice by the Indemnified Party shall: (a) describe the  claim in reasonable detail; (b) include copies of all material written evidence thereof; and (c)  indicate the estimated amount, if reasonably practicable, of the Loss that has been or may be  sustained by the Indemnified Party.   Section 5.08 Exclusive Remedies. The parties acknowledge and agree that their sole  and exclusive remedy with respect to any and all claims for any breach of any representation,  warranty, covenant, agreement or obligation set forth herein or otherwise relating to the subject  matter of this Agreement shall be pursuant to the indemnification provisions set forth in this  Error! Bookmark not defined.Article VI. In furtherance of the foregoing, each party hereby  waives, to the fullest extent permitted under Law, any and all rights, claims and causes of action  for any breach of any representation, warranty, covenant, agreement or obligation set forth herein  or otherwise relating to the subject matter of this Agreement it may have against the other parties  hereto and their Affiliates arising under or based upon any Law, except pursuant to the  indemnification provisions set forth in this Article VI. Nothing in this Section 6.05 shall limit  any Person's right to seek and obtain any equitable relief to which such Person shall be entitled.  ARTICLE VI  MISCELLANEOUS  Section 6.01 Definitions.  Unless otherwise defined herein, the following capitalized  terms used in the Agreement shall have the meaning given in this Section 6.01:  

 

       6 “Business Day” means any day other than a Saturday, a Sunday or any other day on  which commercial banks in the Borough of Manhattan, the City of New York are required to be  closed for regular banking business.  “Closing Balance Sheet” means the balance sheet of the Company as of the Business Day  prior to the Closing Date (i) prepared on a statutory basis, and (ii) fairly presenting in all material  respects the statutory financial position of the Company as of the Business Day prior to the  Closing Date, provided that for purposes of preparing the Closing Balance Sheet and computing  Company Surplus, the Investment Assets of the Company shall be valued at Fair Market Value.  “Company Surplus” means the aggregate statutory capital and surplus of the Company as  of the Closing Date based on the statutory financial statements of the Company; provided, that  the Investment Assets of the Company shall be valued at Fair Market Value.  “Disclosure Schedule” means the schedule of disclosures appearing as Exhibit D to this  Agreement.  “Fair Market Value” means with respect to an Investment Asset that is a security, the  value determined by means with respect to an Investment Asset that is a security, the value  determined by Conning, Inc. or another nationally-recognized pricing service as of the Business  Day prior to the Closing Date.  "Governmental Authority" means any federal, state, local or foreign government or  political subdivision thereof, or any agency or instrumentality of such government or political  subdivision, or any arbitrator, court or tribunal of competent jurisdiction  "Governmental Order" means any order, writ, judgment, injunction, decree, stipulation,  determination or award entered by or with any Governmental Authority.  “Investment Assets” means all investment assets that are beneficially owned by the  Company.     "Law" means any statute, law, ordinance, regulation, rule, code, order, constitution,  treaty, common law or other requirement or rule of law of any Governmental Authority.  "Person" means an individual, corporation, partnership, joint venture, limited liability  company, Governmental Authority, unincorporated organization, trust, association or other  entity.  “Termination Agreement” means that certain agreement by and between Seller, the  Company, United Insurance Holdings Corp., a Delaware corporation, in the form shown at  Exhibit E hereto.   Section 6.02 Expenses. All costs and expenses incurred in connection with this  Agreement and the transactions contemplated hereby shall be paid by the party incurring such  costs and expenses.   

 

       7 Section 6.03 Notices. All notices, claims, demands and other communications  hereunder shall be in writing and shall be deemed to have been given: (a) when delivered by  hand (with written confirmation of receipt); (b) when received by the addressee if sent by a  nationally recognized overnight courier (receipt requested); (c) on the date sent by email of a  PDF document (with confirmation of transmission) if sent during normal business hours of the  recipient, and on the next business day if sent after normal business hours of the recipient; or (d)  on the third day after the date mailed, by certified or registered mail, return receipt requested,  postage prepaid, if sent to the respective parties at the following addresses (or at such other  address for a party as shall be specified in a notice given in accordance with this Section 6.03):  If to Buyer:    800 2nd Avenue South  St. Petersburg, FL 33701  Email: badler@upcinsurance.com  Attention: Office of the General Counsel      If to Seller:              With a required copy to  (which shall not constitute  notice):    Sufen Lim  Senior Vice President  Tokio Marine Kiln Group Limited  20 Fenchurch Street  London EC3M 3BY  Email: Sufen.Lim@tokiomarinekiln.com    Head of Legal  Tokio Marine Kiln Group Limited  20 Fenchurch Street  London EC3M 3BY    Section 6.04 Interpretation; Headings. This Agreement shall be construed without  regard to any presumption or rule requiring construction or interpretation against the party  drafting an instrument or causing any instrument to be drafted. The headings in this Agreement  are for reference only and shall not affect the interpretation of this Agreement.  Section 6.05 Severability. If any term or provision of this Agreement is invalid, illegal  or unenforceable in any jurisdiction, such invalidity, illegality or unenforceability shall not affect  any other term or provision of this Agreement.  Section 6.06 Entire Agreement. This Agreement, together with the Termination  Agreement, constitutes the sole and entire agreement of the parties to this Agreement with  respect to the subject matter contained herein, and supersedes all prior and contemporaneous  representations, warranties, understandings and agreements, both written and oral, with respect  to such subject matter. In the event of any inconsistency between the statements in the body of  this Agreement and the Disclosure Schedule (other than an exception expressly set forth as such  in the Disclosure Schedule), the statements in the body of this Agreement will control.  Section 6.07 Successors and Assigns. This Agreement shall be binding upon and shall  inure to the benefit of the parties hereto and their respective successors and permitted assigns.  

 

       8 Neither party may assign its rights or obligations hereunder without the prior written consent of  the other party, which consent shall not be unreasonably withheld or delayed. No assignment  shall relieve the assigning party of any of its obligations hereunder.  Section 6.08 Amendment and Modification; Waiver. This Agreement may only be  amended, modified or supplemented by an agreement in writing signed by each party hereto. No  waiver by any party of any of the provisions hereof shall be effective unless explicitly set forth in  writing and signed by the party so waiving. No failure to exercise or delay in exercising, any  right or remedy arising from this Agreement shall operate or be construed as a waiver thereof.  No single or partial exercise of any right or remedy hereunder shall preclude any other or further  exercise thereof or the exercise of any other right or remedy.  Section 6.09 Governing Law; Submission to Jurisdiction; Waiver of Jury Trial.  (a) All matters arising out of or relating to this Agreement shall be governed  by and construed in accordance with the internal laws of the State of Florida without  giving effect to any choice or conflict of law provision or rule (whether of the State of  Florida or any other jurisdiction). Any Action arising out of or related to this Agreement  or the transactions contemplated hereby may be instituted in the federal courts of the  United States of America located in Florida or the courts of the State of Florida, and each  party irrevocably submits to the exclusive jurisdiction of such courts in any such Action.  (b)  EACH PARTY ACKNOWLEDGES AND AGREES THAT ANY  CONTROVERSY WHICH MAY ARISE UNDER THIS AGREEMENT IS LIKELY TO  INVOLVE COMPLICATED AND DIFFICULT ISSUES AND, THEREFORE, EACH  PARTY IRREVOCABLY AND UNCONDITIONALLY WAIVES, TO THE FULLEST  EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A  TRIAL BY JURY IN ANY ACTION ARISING OUT OF OR RELATING TO THIS  AGREEMENT, INCLUDING ANY EXHIBITS AND SCHEDULES ATTACHED TO  THIS AGREEMENT, OR THE TRANSACTIONS CONTEMPLATED HEREBY.  EACH PARTY CERTIFIES AND ACKNOWLEDGES THAT: (I) NO  REPRESENTATIVE OF THE OTHER PARTY HAS REPRESENTED, EXPRESSLY  OR OTHERWISE, THAT THE OTHER PARTY WOULD NOT SEEK TO ENFORCE  THE FOREGOING WAIVER IN THE EVENT OF A LEGAL ACTION; (II) EACH  PARTY HAS CONSIDERED THE IMPLICATIONS OF THIS WAIVER; (III) EACH  PARTY MAKES THIS WAIVER KNOWINGLY AND VOLUNTARILY; AND (IV)  EACH PARTY HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY,  AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN  THIS SECTION.     

 

       9 Section 6.10 Counterparts. This Agreement may be executed in counterparts, each of  which shall be deemed an original, but all of which together shall be deemed to be one and the  same agreement. A signed copy of this Agreement delivered by email or other means of  electronic transmission shall be deemed to have the same legal effect as delivery of an original  signed copy of this Agreement.  Section 6.11 Electronic Signatures.  Each party agrees that the Electronic Signatures,  whether digital or encrypted, of the parties included in this Agreement are intended to  authenticate this writing and to have the same force and effect as manual signatures.  “Electronic  Signature” means any electronic sound, symbol, or process attached to or logically associated  with a record and executed and adopted by a party with the intent to sign such record, including  facsimile or email electronic signatures, pursuant to the Electronic Signature Act of 1996 (§§  668.001 et seq., Fla. Stat.) and the Uniform Electronic Transaction Act (§ 668.50, Fla. Stat.) as  amended from time to time.  IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed  as of the date first written above by their respective officers thereunto duly authorized.    JOURNEY INSURANCE COMPANY      By:  _____________________________  Name:  Title:    RJ KILN & CO. (NO. 3) LIMITED      By:  _____________________________  Name:  Title:    By:  _____________________________  Name:  Title:  

 

    Exhibit A - Seller Wire Instructions  Bank Name:  Account Name:  Account Number:   Sort Code:   BIC/ SWIFT:  IBAN:          

 

      Exhibit B - Seller Release of Buyer 

 

  1    LIMITED RELEASE  This Limited Release, dated and effective as of June 30, 2022 (the “Effective Date”), is  by RJ Kiln & Co. (No. 3) Limited, a limited company registered in England and Wales,  (“Releasor”), in connection with the consummation of the transactions contemplated by that  certain Stock Re-Purchase Agreement dated as of June 30, 2022 (the “Re-Purchase  Agreement”) between Releasor and Journey Insurance Company, a Florida corporation  (“Buyer”).  NOW, THEREFORE, in consideration of the sum of the Purchase Price (as defined in  the Re-Purchase Agreement) and other good and valuable consideration, the receipt and  sufficiency of which is hereby acknowledged, Releasor, on behalf of itself and its officers,  directors, employees, subsidiaries, successors and assigns, and any other person claiming by,  through or under them (collectively, the “Releasor Parties”), hereby forever irrevocably and  unconditionally discharges, releases and remises Buyer and each of its respective officers,  directors, shareholders, managers, members, employees, agents, representatives, attorneys,  affiliates, parents, subsidiaries, predecessors, insurers, contractors, consultants, successors and  assigns (collectively, the “Released Parties”), from and against any and all claims or  demands of whatsoever nature, past or present, whether in contract or in tort or under any  statute, or under any other legal theory, whether at law or in equity, matured or unmatured,  fixed or contingent, known or unknown, including any and all manner of actions, causes of  action, suits, debts, dues, sums of money, accounts, contracts, claims, third-party claims,  cross-claims, counterclaims, demands, agreements, controversies, judgments, damages and  liabilities, of any nature whatsoever, which Releasor or such Releasor Parties ever had, now  has or which Releasor hereafter can, shall, or may have in the future against any, some or all  of the Released Parties arising out of or relating to any and all events, circumstances, actions  or inactions occurring on or prior to the Effective Date; provided, however, that this release  shall not apply to any claims or rights (i) arising under the Re-Purchase Agreement or the  Termination Agreement (as defined in the Re-Purchase Agreement) or the transactions  contemplated thereby, (ii) arising under, related to or connected with any criminal acts of any  Released Parties, (iii) that cannot be released as a matter of law, and/or (iv) which, as of the  Termination Date, were not known to, and in the exercise of reasonable diligence were not  knowable by, the Party by or in whose favor the right or claim is subsequently asserted.  Releasor, on behalf of itself and the Releasor Parties, hereby irrevocably covenants to  refrain from, directly or indirectly, asserting any claim or demand, or commencing, instituting or  causing to be commenced, any proceeding of any kind against any of the Released Parties,  based upon any matter released pursuant to the terms hereof.  This Limited Release shall be interpreted and construed in accordance with the laws of  the State of Florida, without regard to its conflict of laws principles that would require  application of the laws of any other jurisdiction.  This Limited Release shall be binding upon Releasor and its successors and assigns.  Releasor cannot assign this Limited Release, other than by operation of law.    

 

  2    Releasor further acknowledges and agrees that this Limited Release is being delivered  in connection with the consummation of the transactions contemplated by the Re-Purchase  Agreement and is a material part of the consideration being received by Buyer in connection  with the transactions contemplated thereby; it being understood that absent the Releasor’s  delivery of this Limited Release, Buyer would not have consummated the transactions  contemplated by the Purchase Agreement. Releasor further states that it has read and  understands this Limited Release, and intends to be legally bound by it.     IN WITNESS WHEREOF, Releasor has caused to Limited Release to be duly executed  and delivered as of the Effective Date.          RJ Kiln & Co. (No. 3) Limited        By: ________________________  Name:  Title:      By: ________________________  Name:  Title: 

 

      Exhibit C - Buyer Release of Seller 

 

        LIMITED RELEASE  This Limited Release, dated and effective as of June 30, 2022 (the “Effective Date”), is  by Journey Insurance Company, a Florida corporation (“Releasor”), in connection with the  consummation of the transactions contemplated by that certain Stock Re-Purchase Agreement  dated as of June 30, 2022 (the “Re-Purchase Agreement”) between Releasor and RJ Kiln &  Co. (No. 3) Limited, a limited company registered in England and Wales (“Seller”).  NOW, THEREFORE, in consideration of the sum of the Purchase Price (as defined in  the Re-Purchase Agreement) and other good and valuable consideration, the receipt and  sufficiency of which is hereby acknowledged, Releasor, on behalf of itself and its officers,  directors, employees, subsidiaries, successors and assigns, and any other person claiming by,  through or under them (collectively, the “Releasor Parties”), hereby forever irrevocably and  unconditionally discharges, releases and remises Seller and each of its respective officers,  directors, shareholders, managers, members, employees, agents, representatives, attorneys,  affiliates, parents, subsidiaries, predecessors, insurers, contractors, consultants, successors and  assigns (collectively, the “Released Parties”), from and against any and all claims or  demands of whatsoever nature, past or present, whether in contract or in tort or under any  statute, or under any other legal theory, whether at law or in equity, matured or unmatured,  fixed or contingent, known or unknown, including any and all manner of actions, causes of  action, suits, debts, dues, sums of money, accounts, contracts, claims, third-party claims,  cross-claims, counterclaims, demands, agreements, controversies, judgments, damages and  liabilities, of any nature whatsoever, which Releasor or such Releasor Parties ever had, now  has or which Releasor hereafter can, shall, or may have in the future against any, some or all  of the Released Parties arising out of or relating to any and all events, circumstances, actions  or inactions occurring on or prior to the Effective Date; provided, however, that this release  shall not apply to any claims or rights (i) arising under the Re-Purchase Agreement or the  Termination Agreement (as defined in the Re-Purchase Agreement) or the transactions  contemplated thereby, (ii) arising under, related to or connected with any criminal acts of any  Released Parties, (iii) that cannot be released as a matter of law, and/or (iv) which, as of the  Termination Date, were not known to, and in the exercise of reasonable diligence were not  knowable by, the Party by or in whose favor the right or claim is subsequently asserted.  Releasor, on behalf of itself and the Releasor Parties, hereby irrevocably covenants to  refrain from, directly or indirectly, asserting any claim or demand, or commencing, instituting or  causing to be commenced, any proceeding of any kind against any of the Released Parties,  based upon any matter released pursuant to the terms hereof.  This Limited Release shall be interpreted and construed in accordance with the laws of  the State of Florida, without regard to its conflict of laws principles that would require  application of the laws of any other jurisdiction.  This Limited Release shall be binding upon Releasor and its successors and assigns.  Releasor cannot assign this Limited Release, other than by operation of law.  

 

      Releasor further acknowledges and agrees that this Limited Release is being delivered  in connection with the consummation of the transactions contemplated by the Re-Purchase  Agreement and is a material part of the consideration being received by Buyer in connection  with the transactions contemplated thereby; it being understood that absent the Releasor’s  delivery of this Limited Release, Buyer would not have consummated the transactions  contemplated by the Purchase Agreement. Releasor further states that it has read and  understands this Limited Release, and intends to be legally bound by it.     IN WITNESS WHEREOF, Releasor has caused to Limited Release to be duly executed  and delivered as of the Effective Date.        JOURNEY INSURANCE COMPANY      By: ________________________  Name:  Title:         

 

        Exhibit D – Disclosure Schedule      Section 3.02:  Seller Required Consents and Approvals     Pursuant to Paragraph 17(g) of Florida’s Office of Insurance Regulation (“OIR”)  Consent Order in Case No.  232158-18-CO dated August 29, 2018 (“2018 Consent  Order), OIR approval of the termination of the Stockholders Agreement.    Pursuant to Paragraph 17(j) of the 2018 Consent Order, OIR approval of the  Stock Re-Purchase Agreement as an agreement between JIC and  an “affiliated  person, entity, or related party, as defined in Statement of Statutory Accounting  Principles No. 25 of the National Association of Insurance Commissioners  Accounting Practices and Procedures Manual.”      Section 4.02:  Buyer Required Consents and Approvals     Pursuant to Paragraph 17(g) of Florida’s Office of Insurance Regulation (“OIR”)  Consent Order in Case No.  232158-18-CO dated August 29, 2018 (“2018 Consent  Order), OIR approval of the termination of the Stockholders Agreement.    Pursuant to Paragraph 17(j) of the 2018 Consent Order, OIR approval of the  Stock Re-Purchase Agreement as an agreement between JIC and  an “affiliated  person, entity, or related party, as defined in Statement of Statutory Accounting  Principles No. 25 of the National Association of Insurance Commissioners  Accounting Practices and Procedures Manual.”         

 

      Exhibit E – Termination Agreementterminationagreement

  EXECUTION VERSION  TERMINATION AGREEMENT  This Termination Agreement, dated as of  June 30, 2022 (the "Termination Agreement"), by  and between (i) Journey Insurance Company, a Florida corporation (“Company”), (ii) United  Insurance Holdings Corp., a Delaware corporation, ("UIHC"), and (iii) RJ Kiln & Co. (No. 3)  Limited, a limited company registered in England and Wales ("Investor," and together with  UIHC and the Company, the "Parties," and each, a "Party") is effective as of June 1, 2022  (“Termination Date”).  WHEREAS, the Parties have entered into a Stockholders Agreement, dated as of  September 20, 2018 (the "Agreement");  WHEREAS, the Parties hereto desire to terminate the Agreement on the terms and  subject to the conditions set forth herein; and  WHEREAS, pursuant to Section 5.1 of the Agreement, the Parties may not terminate the  Agreement except by a writing signed by each Party.  NOW, THEREFORE, in consideration of the premises set forth above and other good  and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the  Parties agree as follows:  1. Termination of the Agreement. Subject to the terms and conditions of this  Termination Agreement, the Agreement is hereby terminated as of the Termination Date. From  and after the Termination Date, the Agreement will be of no further force or effect, and the rights  and obligations of each of the Parties thereunder shall terminate.  2. Limited Release of Investor.    (a) In consideration of the covenants, agreements, and undertakings of the  Parties under this Termination Agreement, the Company and UIHC, on behalf of  themselves and their respective present and former parents, subsidiaries, Affiliates,  officers, directors, shareholders, members, successors, and assigns (collectively, "UIHC  Releasors") hereby release, waive, and forever discharge the Investor and its respective  present and former, direct and indirect, parents, subsidiaries, Affiliates, employees,  officers, directors, shareholders, members, agents, Representatives, permitted successors,  and permitted assigns (collectively, "Investor Releasees") of and from any and all  actions, causes of action, suits, losses, liabilities, rights, debts, dues, sums of money,  accounts, reckonings, obligations, costs, expenses, liens, bonds, bills, specialties,  covenants, contracts, controversies, agreements, promises, variances, trespasses,  damages, judgments, extents, executions, claims, and demands, of every kind and nature  whatsoever, whether matured or unmatured, in law, admiralty, or equity (collectively,  "Claims"), which any of such UIHC Releasors ever had, now have, or hereafter can,  shall, or may have against any of such Investor Releasees for, upon, or by reason of any  matter, cause, or thing whatsoever from the beginning of time through the date of this  Termination Agreement that arises under, out of or that relates to the Agreement, except  for any such Claim (i) that relates to rights and obligations preserved by, created by, or  otherwise arising out of this Termination Agreement (including any surviving  indemnification obligations under the Agreement), (ii) that cannot be released as a matter  

 

EXECUTION VERSION   2   of law, and/or (iii) which, as of the Termination Date, was not known to, and in the  exercise of reasonable diligence was not knowable by, the UIHC Releasor by or in whose  favor the claim is subsequently asserted.  3. Representations and Warranties. Each Party hereby represents and warrants to the  other Party that:  (a) It has the full right, power, and authority to enter into this Termination  Agreement and to perform its obligations hereunder.  (b) The execution of this Termination Agreement by the individual whose  signature is set forth at the end of this Termination Agreement on behalf of such Party,  and the delivery of this Termination Agreement by such Party, have been duly authorized  by all necessary action on the part of such Party.  (c) This Termination Agreement has been executed and delivered by such  Party and (assuming due authorization, execution, and delivery by the other Party hereto)  constitutes the legal, valid, and binding obligation of such Party, enforceable against such  Party in accordance with its terms.  (d) EXCEPT FOR THE EXPRESS REPRESENTATIONS AND  WARRANTIES SET FORTH IN THIS SECTION 3, (A) NEITHER PARTY HERETO  NOR ANY PERSON ON SUCH PARTY'S BEHALF HAS MADE OR MAKES ANY  EXPRESS OR IMPLIED REPRESENTATION OR WARRANTY WHATSOEVER,  EITHER ORAL OR WRITTEN, WHETHER ARISING BY LAW, COURSE OF  DEALING, COURSE OF PERFORMANCE, USAGE OF TRADE OR OTHERWISE,  ALL OF WHICH ARE EXPRESSLY DISCLAIMED, AND (B) EACH PARTY  HERETO ACKNOWLEDGES THAT, IN ENTERING INTO THIS TERMINATION  AGREEMENT, IT HAS NOT RELIED UPON ANY REPRESENTATION OR  WARRANTY MADE BY THE OTHER PARTY, OR ANY OTHER PERSON ON  SUCH OTHER PARTY'S BEHALF, EXCEPT AS SPECIFICALLY PROVIDED IN  THIS SECTION 3.  4. Confidentiality. Subject to the terms and conditions of Section 5, each Party  acknowledges the confidential nature of the terms and conditions of this Termination Agreement  (collectively, the "Confidential Information") and agrees that it shall not (a) disclose any of  such Confidential Information to any Person, except to such Party's Affiliates, employees,  advisors and other representatives who need to know the Confidential Information to assist such  Party, or act on its behalf, to exercise its rights or perform its obligations under this Termination  Agreement, or (b) use the Confidential Information, or permit it to be accessed or used, for any  purpose other than to exercise its rights or perform its obligations under this Termination  Agreement, including enforcement of the terms of this Agreement. Each Party shall be  responsible for any breach of this Section 4 caused by any of its Affiliates, employees, advisors  and other representatives. Notwithstanding the foregoing, if any Confidential Information is  permissibly disclosed pursuant to Section 5, such information will no longer be deemed  "Confidential Information" for the purposes of this Section 4.  

 

EXECUTION VERSION   3   5. Publicity and Announcements. Neither Party shall (orally or in writing) publicly  disclose or issue any press release or make any other public statement, or otherwise  communicate with the media, concerning the existence of this Termination Agreement or the  subject matter hereof, without the prior written approval of the other Party (which shall not be  unreasonably withheld or delayed), except to the extent that such Party is required to make any  public disclosure or filing with respect to the subject matter of this Termination Agreement (i) by  applicable Law, (ii) pursuant to any rules or regulations of any securities exchange of which the  securities of such party or any of its Affiliates are listed or traded or (iii) in connection with  enforcing its rights under this Termination Agreement.  6. Condition Precedent.  This Agreement is expressly made subject to the condition  precedent of closing and Investor’s receipt of the payment due Investor  under that certain Stock  Re-Purchase Agreement dated June 30, 2022 by and between Investor and Journey Insurance  Company (to which a copy of this Agreement is attached as Exhibit E thereto).    7. Miscellaneous.  (a) All notices, requests, consents, claims, demands, waivers, summons, and  other legal process, and other similar types of communications hereunder (each, a  "Notice") must be in writing and addressed to the relevant Party at the address set forth  on the first page of this Termination Agreement (or to such other address that may be  designated by the receiving Party from time to time in accordance with this Section 7(a).  All Notices must be delivered by personal delivery, nationally recognized overnight  courier (with all fees pre-paid), or certified or registered mail (in each case, return receipt  requested, postage prepaid). A Notice is effective only (i) upon receipt by the receiving  Party and (ii) if the Party giving the Notice has complied with the requirements of this  Section 7(a).  (b) This Agreement and all related documents, and all matters arising out of  or relating to this Agreement, whether sounding in contract, tort, or statute are governed  by, and construed in accordance with, the laws of the State of Florida, United States of  America, without giving effect to the conflict of laws provisions thereof to the extent  such principles or rules would require or permit the application of the laws of any  jurisdiction other than those of the State of Florida.   (c) This Termination Agreement and each of the terms and provisions hereof  may only be amended, modified, waived, or supplemented by an agreement in writing  signed by each Party.  (d) Neither Party may assign, transfer, or delegate any or all of its rights or  obligations under this Termination Agreement without the prior written consent of the  other party, which consent shall not be unreasonably withheld or delayed. No assignment  will relieve the assigning party of any of its obligations hereunder. Any attempted  assignment, transfer, or other conveyance in violation of the foregoing will be null and  void. This Termination Agreement will inure to the benefit of and be binding upon each  of the Parties and each of their respective permitted successors and permitted assigns.  

 

EXECUTION VERSION   4   (e) The Parties drafted this Termination Agreement without regard to any  presumption or rule requiring construction or interpretation against the party drafting an  instrument or causing any instrument to be drafted.  (f) If any term or provision of this Termination Agreement is invalid, illegal,  or unenforceable in any jurisdiction, such invalidity, illegality, or unenforceability shall  not affect any other term or provision of this Termination Agreement or invalidate or  render unenforceable such term or provision in any other jurisdiction.   (g) Each Party acknowledges and agrees that (i) a breach or threatened breach  by such party of any of its obligations under Section 4 and Section 5 would give rise to  irreparable harm to the other party for which monetary damages would not be an  adequate remedy and (ii) in the event of a breach or a threatened breach by such Party of  any such obligations, the other Party will, in addition to any and all other rights and  remedies that may be available to such party at law, in equity or otherwise in respect of  such breach, be entitled to equitable relief, including a temporary restraining order, an  injunction, specific performance and any other relief that may be available from a court  of competent jurisdiction, without any requirement to post a bond or other security, and  without any requirement to prove actual damages or that monetary damages will not  afford an adequate remedy. Each Party agrees that it shall not oppose or otherwise  challenge the appropriateness of equitable relief or the entry by a court of competent  jurisdiction of an order granting equitable relief, in either case, consistent with the terms  of this Section 7(g).  (h) This Termination Agreement constitutes the sole and entire agreement  between the Parties with respect to the subject matter contained herein and supersedes all  prior and contemporaneous understandings, agreements, representations, and warranties,  both written and oral, with respect to such subject matter.  (i) Each Party shall pay its own costs and expenses in connection with the  drafting, negotiation and execution of this Termination Agreement (including the fees  and expenses of its advisors, accounts, and legal counsel).  (j) Except as expressly set forth in the second sentence of this Section 7(j),  this Termination Agreement benefits solely the Parties hereto and their respective  permitted successors and permitted assigns, and nothing in this Termination Agreement,  express or implied, confers on any other Person any legal or equitable right, benefit or  remedy of any nature whatsoever under or by reason of this Termination Agreement. The  Parties hereby designate all Releasors as third-party beneficiaries of Section 2, having the  right to enforce such Section.  (k) This Termination Agreement may be executed in counterparts, each of  which is deemed an original, but all of which constitutes one and the same agreement.  Delivery of an executed counterpart of this Termination Agreement electronically or by  facsimile shall be effective as delivery of an original executed counterpart of this  Termination Agreement.  

 

EXECUTION VERSION   5   (l) Each party agrees that the Electronic Signatures, whether digital or  encrypted, of the parties included in this Agreement are intended to authenticate this  writing and to have the same force and effect as manual signatures.  “Electronic  Signature” means any electronic sound, symbol, or process attached to or logically  associated with a record and executed and adopted by a party with the intent to sign such  record, including facsimile or email electronic signatures, pursuant to the Electronic  Signature Act of 1996 (§§ 668.001 et seq., Fla. Stat.) and the Uniform Electronic  Transaction Act (§ 668.50, Fla. Stat.) as amended from time to time.  IN WITNESS WHEREOF, the Parties have executed this Termination Agreement as of  the date first written above.    JOURNEY INSURANCE COMPANY     By_____________________  Name:  Title:    UNITED INSURANCE HOLDINGS CORP.      By_____________________  Name:  Title:      RJ KILN & CO. (NO. 3) LIMITED      By_____________________  Name:  Title:    By_____________________  Name:  Title:

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