Document:

Exhibit
10.1

 

July
20, 2021

 

Velocity
Acquisition Corp.

109 Old Branchville Road

Ridgefield, CT 06877

 

		Re:	Sponsor
                                            Agreement

 

Ladies
and Gentlemen:

 

This
letter (this “Sponsor Agreement”) is being delivered to you in connection with that certain Business Combination
Agreement dated as of the date hereof, by and among Velocity Acquisition Corp., a Delaware corporation (“Velocity”),
BBQ Holding, LLC (the “Company”) and the other parties thereto (the “Business Combination Agreement”)
and hereby amends and restates in its entirety that certain letter, dated February 22, 2021 from Velocity Sponsor, LLC (the “Sponsor”)
and each of the undersigned individuals, each of whom is a member of Velocity’s board of directors and/or management team (each,
an “Insider” and collectively, the “Insiders”) to Velocity (the “Prior
Letter Agreement”). Certain capitalized terms used herein are defined in paragraph 1 hereof. Capitalized terms used but
not otherwise defined herein shall have the respective meanings ascribed to such terms in the Business Combination Agreement.

 

In
order to induce the Company and Velocity to enter into the Business Combination Agreement and for other good and valuable consideration,
the receipt and sufficiency of which are hereby acknowledged, each of Velocity and the Insiders hereby agrees with the Company as follows:

 

1. As
used herein: (i) “Business Combination” shall mean a merger, capital stock exchange, asset acquisition, stock
purchase, reorganization or similar business combination, involving Velocity and one or more businesses; (ii) “Capital Stock”
shall mean, collectively, the Common Stock and the Founder Shares, (iii) “Charter” shall mean Velocity’s
amended and restated certificate of incorporation, as it may be amended from time to time; (iv) “Commission”
means the U.S. Securities and Exchange Commission, (v) “Common Stock” shall mean the Class A common stock,
par value $0.0001 per share, of Velocity (“Class A Common Stock”) and Class B common stock, par value $0.0001
per share, of Velocity (“Class B Common Stock”); (vi) “Existing Registration Rights Agreement”
shall mean that certain Registration Rights Agreement, dated as of February 22, 2021, by and among Velocity, the Sponsor and the other
parties signatory thereto; (vii) “Founder Shares” shall mean the [5,750,000] shares of Class B Common Stock
beneficially owned by the Sponsor; (viii) “Private Placement Warrants” shall mean the [4,400,000] warrants
beneficially owned by the Sponsor; (ix) “Prospectus” shall mean the registration statement on Form S-1 and
prospectus filed by Velocity with the Commission in connection with the Public Offering; (x) “Public Offering”
shall mean the underwritten initial public offering of [23,000,000] of Velocity’s units (including the issuance of 3,000,000 units
as a result of the Underwriters’ (as defined in the Prior Letter Agreement) exercise of their over-allotment option in full) (the
“Units”), each comprised of one share of Common Stock and one-third of one Warrant; (xi) “Public
Stockholders” shall mean the holders of securities issued in the Public Offering; (xii) “Public Warrant”
shall mean each whole warrant that entitles the holder thereof to purchase one share of Class A Common Stock at a price of $11.50 per
share, subject to adjustment as described in the Prospectus; (xiii) “Transfer” shall mean the, direct or indirect,
voluntary or involuntary, (a) transfer, assignment or sale of, offer to sell, contract or agreement to sell, hypothecate, pledge, grant
of any option to purchase, distribute or otherwise dispose of or agreement to dispose of, directly or indirectly, or establishment or
increase of a put equivalent position or liquidation with respect to or decrease of a call equivalent position within the meaning of
Section 16 of the Exchange Act, and the rules and regulations of the Commission promulgated thereunder with respect to, any security,
(b) entry into any swap or other arrangement that transfers to another, in whole or in part, any of the economic consequences of ownership
of any security, whether any such transaction is to be settled by delivery of such securities, in cash or otherwise, or (c) public announcement
of any intention to effect any transaction specified in clause (a) or (b); (xiv) “Trust Account” shall mean
the trust account into which a portion of the net proceeds of the Public Offering and the sale of the Private Placement Warrants shall
be deposited; and (xv) “Warrants” shall mean the Private Placement Warrants and Public Warrants.

 

     

     

    

 

2. Each
of the Sponsor and each Insider hereby unconditionally and irrevocably agrees: (i) that at any duly called meeting of the stockholders
of Velocity (or any adjournment or postponement thereof), and in any action by written consent of the stockholders of Velocity requested
by Velocity’s board of directors or undertaken as contemplated by the transactions contemplated by the Business Combination Agreement
and any Related Document (the “Transactions”), the Sponsor and each such Insider shall, if a meeting is held,
appear at the meeting, in person or by proxy, or otherwise cause all of its, his or her shares of Capital Stock to be counted as present
thereat for purposes of establishing a quorum, and it shall vote or consent (or cause to be voted or consented), in person or by proxy,
all of its, his or her shares of Capital Stock (a) in favor of the adoption of the Business Combination Agreement and approval of the
Transactions (and any actions required in furtherance thereof), (b) against any action, proposal, transaction or agreement that would
reasonably be expected to result in a breach of any representation, warranty, covenant, obligation or agreement of Velocity contained
in the Business Combination Agreement, (c) in favor of any other proposals set forth in Velocity’s proxy statement to be filed
by Velocity with the SEC relating to the Transactions (including any proxy supplements thereto, the “Proxy Statement”),
(d) for any proposal to adjourn or postpone the applicable stockholder meeting to a later date if (and only if) (1) there are not sufficient
other votes for approval of the Business Combination Agreement and any other proposals related thereto as set forth in the Proxy Statement
on the dates on which such meetings are held or (2) the closing conditions in Section [8.1(c)] of the Business Combination Agreement
has not been satisfied, and (e) except as set forth in the Proxy Statement, against the following actions or proposals: (1) any Alternative
Transaction or any proposal in opposition to approval of the Business Combination Agreement or in competition with or inconsistent with
the Business Combination Agreement; and (2) (A) any change in the present capitalization of Velocity or any amendment of the Charter,
except to the extent expressly permitted under the Business Combination Agreement, (B) any liquidation, dissolution or other change in
Velocity’s corporate structure or business, (C) any action, proposal, transaction or agreement that would result in a breach in
any material respect of any covenant, representation or warranty or other obligation or agreement of the Sponsor or such Insider under
this Sponsor Agreement, or (D) any other action or proposal involving Velocity or any of its subsidiaries that is intended, or would
reasonably be expected, to prevent, impede, interfere with, delay, postpone or adversely affect the Transactions and (ii) not to redeem,
elect to redeem or tender or submit any of its shares of Common Stock owned by it, him or her for redemption in connection with such
stockholder approval or proposed Business Combination, or in connection with any vote to amend the Charter. Prior to any valid termination
of the Business Combination Agreement, (x) the Sponsor and each Insider shall take, or cause to be taken, all actions and to do, or cause
to be done, all things reasonably necessary under applicable Laws to consummate the Transactions and the other transactions contemplated
by the Business Combination Agreement and on the terms and subject to the conditions set forth therein, and (y) the Sponsor and each
Insider shall be bound by and comply with Sections [7.10] (Exclusivity) and [7.3] (Confidentiality) of the Business Combination Agreement
(and any relevant definitions contained in any such Sections) as if such Person were a signatory to the Business Agreement with respect
to such provisions. If Velocity seeks to consummate a proposed Business Combination by engaging in a tender offer, the Sponsor and each
Insider agrees that it, he or she will not sell or tender any shares of Capital Stock owned by it, him or her in connection therewith.
The obligations of the Sponsor and the Insiders specified in this paragraph 2 shall apply whether or not the Transactions or any action
described above is recommended by Velocity’s board of directors.

 

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3. Each
of the Sponsor and each Insider hereby agrees that in the event that Velocity fails to consummate a Business Combination within 24 months
from the closing of the Public Offering, or such later period approved by Velocity’s stockholders in accordance with the Charter,
the Sponsor and each Insider shall take all reasonable steps to cause Velocity to (i) cease all operations except for the purpose of
winding up, (ii) as promptly as reasonably possible but not more than ten business days thereafter, redeem 100% of the shares of Class
A Common Stock sold as part of the Units in the Public Offering (the “Offering Shares”), at a per-share price,
payable in cash, equal to the aggregate amount then on deposit in the Trust Account, including interest earned on the funds held in the
Trust Account and not previously released to Velocity to pay its taxes (less up to $100,000 of interest to pay dissolution expenses),
divided by the number of then outstanding Offering Shares, which redemption will completely extinguish all Public Stockholders’
rights as stockholders (including the right to receive further liquidating distributions, if any), and (iii) as promptly as reasonably
possible following such redemption, subject to the approval of Velocity’s remaining stockholders and Velocity’s board of
directors, liquidate and dissolve, subject in each case to Velocity’s obligations under Delaware law to provide for claims of creditors
and other requirements of applicable law. Each of the Sponsor and each Insider agrees to not propose any amendment to the Charter to
modify the substance or timing of Velocity’s obligation to redeem 100% of the Offering Shares if Velocity does not complete a Business
Combination within the required time period set forth in the Charter or with respect to any other material provisions relating to stockholders’
rights or pre-initial business combination activity, unless Velocity provides its Public Stockholders with the opportunity to redeem
their Offering Shares upon approval of any such amendment at a per-share price, payable in cash, equal to the aggregate amount then on
deposit in the Trust Account, including interest earned on the funds held in the Trust Account and not previously released to Velocity
to pay its taxes, divided by the number of then outstanding Offering Shares.

 

Each
of the Sponsor and each Insider acknowledges that it, he or she has no right, title, interest or claim of any kind in or to any monies
held in the Trust Account or any other asset of Velocity as a result of any liquidation of Velocity with respect to the Founder Shares
held by it, him or her. Each of the Sponsor and each Insider hereby further waives, with respect to any shares of Common Stock held by
it, him or her, if any, any redemption rights it, he or she may have in connection with (A) the consummation of a Business Combination,
including, without limitation, any such rights available in the context of a stockholder vote to approve such Business Combination, or
(B) a stockholder vote to approve an amendment to the Charter to modify the substance or timing of Velocity’s obligation to redeem
100% of the Offering Shares if Velocity has not consummated a Business Combination within the time period set forth in the Charter or
with respect to any other material provisions relating to stockholders’ rights or pre-initial business combination activity or
in the context of a tender offer made by Velocity to purchase Offering Shares (although the Sponsor, the Insiders and their respective
affiliates shall be entitled to redemption and liquidation rights with respect to any Offering Shares it or they hold if Velocity fails
to consummate a Business Combination within the time period set forth in the Charter).

 

4. Without
limiting their obligations under paragraph 7 below, during the period commencing on the date hereof and ending on the earlier of (a)
the valid termination of the Business Combination Agreement or (b) the Closing, each of the Sponsor and each Insider shall not, without
the prior written consent of the Company, Transfer any Units, shares of Capital Stock, Warrants to purchase shares of Common Stock or
any securities convertible into, or exercisable, or exchangeable for, shares of Common Stock owned by it, him or her. In the event that
(i) any shares of Capital Stock, Warrants or other equity securities of Velocity are issued to the Sponsor or any Insider after the date
hereof pursuant to any stock dividend, stock split, recapitalization, reclassification, combination or exchange of shares of Capital
Stock of, on or affecting the shares of Capital Stock owned by the Sponsor or any Insider or otherwise, (ii) the Sponsor or any Insider
purchases or otherwise acquires beneficial ownership of any shares of Capital Stock, Warrants or other equity securities of Velocity
after the date hereof or (iii) the Sponsor or any Insider acquires the right to vote or share in the voting of any shares of Capital
Stock, Warrants or other equity securities of Velocity after the date hereof (such shares of Capital Stock, Warrants or other equity
securities of Velocity described in clauses (i), (ii) and (iii), the “New Shares”), then such New Shares acquired
or purchased by the Sponsor or any Insider shall be subject to the terms of this paragraph 4 and paragraph 2 above to the same extent
as if they constituted the Capital Stock or Warrants owned by the Sponsor or any Insider as of the date hereof

 

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5. In
the event of the liquidation of the Trust Account upon the failure of Velocity to consummate its initial Business Combination within
the time period set forth in the Charter, the Sponsor (the “Indemnitor”) agrees to indemnify and hold harmless
Velocity against any and all loss, liability, claim, damage and expense whatsoever (including, but not limited to, any and all legal
or other expenses reasonably incurred in investigating, preparing or defending against any litigation, whether pending or threatened)
to which Velocity may become subject as a result of any claim by (i) any third party for services rendered or products sold to Velocity
(other than Velocity’s independent registered public accounting firm) or (ii) any prospective target business with which Velocity
has entered into a written letter of intent, confidentiality or other similar agreement or Business Combination agreement (a “Target”);
provided, however, that such indemnification of Velocity by the Indemnitor (x) shall apply only to the extent necessary
to ensure that such claims by a third party or a Target do not reduce the amount of funds in the Trust Account to below the lesser of
(i) $10.00 per Offering Share and (ii) the actual amount per Offering Share held in the Trust Account as of the date of the liquidation
of the Trust Account, if less than $10.00 per Offering Share is then held in the Trust Account due to reductions in the value of the
trust assets, less taxes payable, (y) shall not apply to any claims by a third party or a Target which executed a waiver of any and all
rights to the monies held in the Trust Account (whether or not such waiver is enforceable) and (z) shall not apply to any claims under
Velocity’s indemnity of the Underwriters (as defined in the Prior Letter Agreement) against certain liabilities, including liabilities
under the Securities Act of 1933, as amended. The Indemnitor shall have the right to defend against any such claim with counsel of its
choice reasonably satisfactory to Velocity if, within 15 days following written receipt of notice of the claim to the Indemnitor, the
Indemnitor notifies Velocity in writing that it shall undertake such defense.

 

6. The
Sponsor and each Insider hereby agrees and acknowledges that: (i) the Underwriters (as defined in the Prior Letter Agreement), Velocity
and, prior to any valid termination of the Business Combination Agreement, the Company, would be irreparably injured in the event of
a breach by the Sponsor or an Insider of its, his or her obligations under paragraphs 2, 3, 4, 5, 6, 7, 9 and 12, as applicable, of this
Sponsor Agreement (with respect to the Underwriters (as defined in the Prior Letter Agreement), only such provisions as were contained
in the Prior Letter Agreement), (ii) monetary damages may not be an adequate remedy for such breach, and (iii) the non-breaching party
shall be entitled to injunctive relief, in addition to any other remedy that such party may have in law or in equity, in the event of
such breach.

 

7. (a)
The Sponsor and each Insider agrees that it, he or she shall not Transfer any Founder Shares (or any shares of Class A Common Stock issuable
upon conversion thereof) until the earlier of (i) 180 days after the completion of Velocity’s initial Business Combination (if
the Closing does not occur for any reason (including, without limitation, as a result of the valid termination of the Business Combination
Agreement)) or the Closing, as applicable, or (ii) subsequent to the initial Business Combination the date on which Velocity completes
a liquidation, merger, capital stock exchange, reorganization or other similar transaction that results in all of Velocity’s stockholders
having the right to exchange their shares of Class A Common Stock for cash, securities or other property (the “Founder Shares
Lock-up Period”). Notwithstanding this paragraph 7(a), any Sponsor Earnout Shares shall not be Transferred until such Sponsor
Earnout Shares are vested in accordance with this paragraph 7, the Charter, the Business Combination Agreement and/or the Registration
Rights Agreement.

 

(b) The
Sponsor and each Insider agrees that it, he or she shall not Transfer any Private Placement Warrants (or any share of Class A Common
Stock issued or issuable upon the exercise of the Private Placement Warrants), until 30 days after the completion of a Business Combination
(if the Closing does not occur for any reason (including, without limitation, as a result of the valid termination of the Business Combination
Agreement)) or the Closing, as applicable (the “Private Placement Warrants Lock-up Period”, together with the
Founder Shares Lock-up Period, the “Lock-up Periods”).

 

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(c) Notwithstanding
anything to the contrary in this Sponsor Agreement, if either (i) any waiver, release, termination, shortening or other amendment or
modification occurs which improves the terms of the lock-up under Section 4.5 of the Amended PubCo Charter and Section 10.7(d) of the
Amended LLC Agreement (the “Seller Lock-Up”), or (ii) the Company waives, releases, terminates, shortens, or
otherwise amends or modifies the Seller Lock-Up as to any such Company stockholder (each of the events in (i) or (ii), a “Release”),
then the Release shall apply pro rata and on the same terms to the lock-up on the Founder Shares and the provisions of this paragraph
7 shall be deemed immediately and automatically waived, released, terminated, shortened, amended or modified, as the case may be, without
further action of the parties. For the avoidance of doubt, the provisions of this paragraph 7 shall not be deemed waived, released, terminated,
shortened, amended or modified if any such waiver, release, termination, shortening, amendment or modification would be materially adverse
to the holders of Founder Shares; provided, however, that in any such circumstances the holders of Founder Shares shall be granted equal
opportunity to participate in such Release on equal terms to the parties thereto prior to the effectiveness thereof. Prior to any such
amendment to the Seller Lock-Up and this Agreement, the Company will provide reasonable advance written notice (in no case less than
five (5) Trading Days) to any holder of Founder Shares indicating that the Company plans to take a specified action with respect to the
Seller Lock-Up and this Agreement and setting forth the terms of any such amendment.

 

(d) Notwithstanding
the provisions set forth in paragraphs 4, 7(a) and (b), but subject to the provisions set forth in paragraph 7(d), (i) upon the valid
termination of the Business Combination Agreement, the following Transfers of the Founder Shares, Private Placement Warrants and shares
of Class A Common Stock issued or issuable upon the exercise of the Private Placement Warrants or the conversion of the Founder Shares
that are held by the Sponsor, any Insider or any of their permitted transferees (that have complied with this paragraph 7(c)), are permitted
(a) to Velocity’s officers or directors, any affiliate or family member of any of Velocity’s officers or directors, any affiliate
of the Sponsor or to any members or partners of the Sponsor or any of their affiliates; (b) in the case of an individual, by gift to
a member of such individual’s immediate family or to a trust, the beneficiary of which is a member of such individual’s immediate
family, an affiliate of such individual or to a charitable organization (for purposes of this Sponsor Agreement, “immediate family”
shall mean with respect to any natural person, any of the following: such person’s spouse, the siblings of such person and his
or her spouse, and the direct descendants and ascendants (including adopted and step children and parents)); (c) in the case of an individual,
by virtue of laws of descent and distribution upon death of such individual; (d) in the case of an individual, pursuant to a qualified
domestic relations order; (e) by private sales or transfers made in connection with the consummation of a Business Combination at prices
no greater than the price at which the securities were originally purchased; (f) in the event of Velocity’s liquidation prior to
the completion of an initial Business Combination; (g) by virtue of the laws of the State of Delaware or the Sponsor’s organizational
documents upon liquidation or dissolution of the Sponsor; or (h) in the event of Velocity’s completion of a liquidation, merger,
capital stock exchange or other similar transaction which results in all of Velocity’s public stockholders having the right to
exchange their shares of Class A Common Stock for cash, securities or other property subsequent to Velocity’s completion of an
initial Business Combination; provided, however, that in the case of clauses (a) through (e) or (g), these permitted transferees
must enter into a written agreement with Velocity agreeing to be bound by the transfer restrictions herein and the other restrictions
contained in this Sponsor Agreement (including provisions relating to voting, the Trust Account and liquidating distributions).

 

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(e) Earnout
Provisions. The Sponsor agrees that, as of the Closing, 20% of the remaining Founder Shares (including, for the avoidance of doubt,
the shares of Common Stock issuable upon the conversion of the Founder Shares at the Closing in accordance with the Charter) held by
the Sponsor after giving effect to paragraphs (g) and (h) below (the “Sponsor Earnout Shares”) shall be subject
to the following vesting and forfeiture provisions. The Sponsor agrees that it shall not (and will cause its Affiliates not to) Transfer
any Sponsor Earnout Shares prior to the later of (x) the expiration of the Founder Shares Lock-up Period and (y) the date such Sponsor
Earnout Shares are released pursuant to this paragraph 7(e). The Sponsor acknowledges that the Sponsor Earnout Shares shall be legended
to reflect that such shares are subject to vesting restrictions pursuant to this Sponsor Agreement. 

 

(i) Vesting.
The Sponsor Earnout Shares shall vest as follows: (A) 50% of the Sponsor Earnout Shares shall be released (1) at such time as the closing
price of the Class A Common Stock equals or exceeds $12.50 per share (as adjusted for stock splits, stock dividends, reorganizations,
recapitalizations and the like) for any 20 trading days within any 30 consecutive trading day period on or before the date that is five
years after the Closing Date or (2) in the event there is a Company Sale where the Company Sale Price for acquisition of the PubCo Class
A Common Stock is greater than or equal to $12.50 per PubCo Class A Common Stock and (B) the remaining 50% of the Sponsor Earnout Shares
shall be released (1) at such time as the closing price of the Class A Common Stock equals or exceeds $15.00 per share (as adjusted for
stock splits, stock dividends, reorganizations, recapitalizations and the like) for any 20 trading days within any 30 consecutive trading
day period on or before the date that is five years after the Closing Date or (2) in the event there is a Company Sale where the Company
Sale Price for acquisition of the PubCo Class A Common Stock is greater than or equal to $15.00 per PubCo Class A Common Stock.

 

(ii) Forfeiture.
Any Sponsor Earnout Shares that are not released in accordance with this paragraph 7(d)(i) on or before the date that is five years after
the Closing Date will be forfeited immediately following the five-year anniversary of the Closing Date. Sponsor Earnout Shares that are
forfeited pursuant to paragraph 7(d)(i) shall be transferred by Sponsor to Velocity, without any consideration for such Transfer, and
cancelled.

 

(f) Waiver
of Conversion Ratio Adjustment.

 

(1) (A)
Section 4.3(b)(i) of the Charter provides that each share of Class B Common Stock shall automatically convert into one share of Common
Stock (the “Initial Conversion Ratio”) at the time of the Business Combination, and (B) Section 4.3(b)(ii)
of the Charter provides that the Initial Conversion Ratio shall be adjusted (the “Adjustment”) in the event
that additional shares of Common Stock are issued in excess of the amounts offered in Velocity’s initial public offering of securities
or in connection with the closing of the initial Business Combination such that the Sponsor and the Insiders shall continue to own 25%
of the issued and outstanding shares of Capital Stock after giving effect to such issuance.

 

(2) As
of and conditioned upon the Closing, the Sponsor and each Insider hereby irrevocably relinquishes and waives any and all rights the Sponsor
and each Insider has or will have under Section 4.3(b)(ii) of the Charter to receive shares of Common Stock in excess of the number issuable
at the Initial Conversion Ratio upon conversion the existing Class B Common Stock held by him, her or it, as applicable, in connection
with the Closing as a result of any Adjustment, and, as a result, the shares of Class B Common Stock shall convert into shares of Common
Stock (or such equivalent security) at Closing on a one-for-one basis.

 

(g) The
Sponsor agrees that if the amount of available cash delivered by Velocity from the Trust Account at Closing (after satisfying any redemptions)
is less than $200,000,000, the Sponsor shall forfeit such number of Founder Shares as determined by multiplying (x) 1,150,000 by (y)
a fraction, (i) the numerator of which is the difference between $200,000,000 minus the cash delivered from the Trust Account at Closing
(after satisfying any redemptions) and (ii) the denominator of which is $50,000,000; provided, that the total number of Founder
Shares to be forfeited will not exceed 1,150,000 shares. Any Founder Shares that are forfeited pursuant to this paragraph 7(g) shall
be transferred by Sponsor to Velocity, without any consideration for such Transfer, and cancelled.

 

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(h) The
Sponsor agrees that if the Velocity Transaction Costs (excluding the cost of the premium of the D&O Tail), as of immediately prior
to the Closing, are greater than $17,500,000, the Sponsor shall, at its sole option: (x) cancel a number of Common Stock currently held
by Sponsor having a value equal to such excess (with such shares of Common Stock valued at $10.00 per share) or (y) pay such excess in
cash to the Company concurrently with the Closing for no further consideration.

 

8. Each
of the Sponsor and each Insider represents and warrants that it, he or she has never been suspended or expelled from membership in any
securities or commodities exchange or association or had a securities or commodities license or registration denied, suspended or revoked.
Each Insider’s biographical information furnished to Velocity (including any such information included in the Prospectus) is true
and accurate in all respects and does not omit any material information with respect to the Insider’s background. Each Insider’s
questionnaire furnished to Velocity is true and accurate in all material respects. Each of the Sponsor and each Insider represents and
warrants that: it, he or she is not subject to or a respondent in any legal action for, any injunction, cease-and-desist order or order
or stipulation to desist or refrain from any act or practice relating to the offering of securities in any jurisdiction; it, he or she
has never been convicted of, or pleaded guilty to, any crime (i) involving fraud, (ii) relating to any financial transaction or handling
of funds of another person, or (iii) pertaining to any dealings in any securities; and it, he or she is not currently a defendant in
any such criminal proceeding.

 

9. Except
as disclosed in the Prospectus, neither the Sponsor nor any officer, nor any affiliate of the Sponsor or any officer, nor any director
of Velocity, shall receive from Velocity any finder’s fee, reimbursement, consulting fee, non-cash payments, monies in respect
of any repayment of a loan or other compensation prior to, or in connection with any services rendered in order to effectuate, the consummation
of Velocity’s initial Business Combination (regardless of the type of transaction that it is), other than the following, none of
which will be made from the proceeds held in the Trust Account prior to the completion of the initial Business Combination and each of
which shall, as of and in connection with the Closing, be paid off in full and no further liabilities or obligations in respect thereof
shall be due and owing by Velocity or the Company or any of its Subsidiaries from and after the Closing: repayment of a loan and advances
up to an aggregate of $300,000 made to Velocity by the Sponsor; payments to the Sponsor for certain office space, secretarial and administrative
services as may be reasonably required by Velocity of $10,000 per month; reimbursement for any reasonable out-of-pocket expenses related
to identifying, investigating, negotiating and completing an initial Business Combination, and repayment of loans, if any, and on such
terms as to be determined by Velocity from time to time, made by the Sponsor or an affiliate of the Sponsor or any of Velocity’s
officers or directors to finance transaction costs in connection with an intended initial Business Combination, provided that, if Velocity
does not consummate an initial Business Combination, a portion of the working capital held outside the Trust Account may be used by Velocity
to repay such loaned amounts so long as no proceeds from the Trust Account are used for such repayment. Up to $1,500,000 of such loans
may be convertible into warrants at a price of $1.50 per warrant at the option of the lender. Such warrants would be identical to the
Private Placement Warrants, including as to exercise price, exercisability and exercise period. During the period commencing on the date
hereof and ending on the earlier of (i) the consummation of the Closing and (ii) the valid termination of the Business Combination Agreement,
the Sponsor and each Insider agrees not to enter into, modify or amend any Contract between or among the Sponsor, any Insider, anyone
related by blood, marriage or adoption to any Insider or any Affiliate of any such Person (other than Velocity or any of its Subsidiaries),
on the one hand, and Velocity or any of its Subsidiaries, on the other hand, that would contradict, limit, restrict or impair (x) any
party’s ability to perform or satisfy any obligation under this Sponsor Agreement or (y) the Company’s or Velocity’s
ability to perform or satisfy any obligation under the Business Combination Agreement.

 

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10. Each
of the Sponsor and each Insider has full right and power, without violating any agreement to which it is bound (including, without limitation,
any non-competition or non-solicitation agreement with any employer or former employer), to enter into this Sponsor Agreement and, as
applicable, to serve as an officer and/or director on the board of directors of Velocity.

 

11. This
Sponsor Agreement and the other agreements referenced herein (including the Registration Rights Agreement) constitute the entire agreement
and understanding of the parties hereto in respect of the subject matter hereof and supersede all prior understandings, agreements, or
representations by or among the parties hereto, written or oral, to the extent they relate in any way to the subject matter hereof or
the transactions contemplated hereby, including, without limitation, the Prior Letter Agreement. This Sponsor Agreement may not be changed,
amended, modified or waived (other than to correct a typographical error) as to any particular provision, except by a written instrument
executed by all parties hereto and the Company, it being acknowledged and agreed that the Company’s execution of such an instrument
will not be required after any valid termination of the Business Combination Agreement.

 

12. Except
as otherwise provided herein, no party hereto may assign either this Sponsor Agreement or any of its rights, interests, or obligations
hereunder without the prior written consent of the other parties and the Company (except that, following any valid termination of the
Business Combination Agreement, no consent from the Company shall be required). Any purported assignment in violation of this paragraph
shall be void and ineffectual and shall not operate to transfer or assign any interest or title to the purported assignee. This Sponsor
Agreement shall be binding on Velocity, the Sponsor and each Insider and their respective successors, heirs and assigns and permitted
transferees.

 

13. Nothing
in this Sponsor Agreement shall be construed to confer upon, or give to, any person or entity other than the parties hereto any right,
remedy or claim under or by reason of this Sponsor Agreement or of any covenant, condition, stipulation, promise or agreement hereof.
All covenants, conditions, stipulations, promises and agreements contained in this Sponsor Agreement shall be for the sole and exclusive
benefit of Velocity, the Sponsor and the Insiders (and, prior to any valid termination of the Business Combination Agreement, the Company)
and their successors, heirs, personal representatives and assigns and permitted transferees. Notwithstanding anything herein to the contrary,
each of Velocity, the Sponsor and each Insider acknowledges and agrees that the Company is an express third party beneficiary of this
Sponsor Agreement and may directly enforce (including by an action for specific performance, injunctive relief or other equitable relief)
each of the provisions set forth in this Sponsor Agreement as though directly party hereto.

 

14. This
Sponsor Agreement may be executed in any number of original or facsimile counterparts and each of such counterparts shall for all purposes
be deemed to be an original, and all such counterparts shall together constitute but one and the same instrument.

 

15. This
Sponsor Agreement shall be deemed severable, and the invalidity or unenforceability of any term or provision hereof shall not affect
the validity or enforceability of this Sponsor Agreement or of any other term or provision hereof. Furthermore, in lieu of any such invalid
or unenforceable term or provision, the parties hereto intend that there shall be added as a part of this Sponsor Agreement a provision
as similar in terms to such invalid or unenforceable provision as may be possible and be valid and enforceable.

 

    8 

     

    

 

16. This
Sponsor Agreement, and all claims or causes of action (each, an “Action”) based upon, arising out of, or related
to this Sponsor Agreement or the transactions contemplated hereby, shall be governed by, and construed in accordance with, the Laws of
the State of Delaware, without giving effect to principles or rules of conflict of laws to the extent such principles or rules would
require or permit the application of Laws of another jurisdiction. Any Action based upon, arising out of or related to this Sponsor Agreement
or the transactions contemplated hereby may be brought in federal and state courts located in the State of Delaware, and each of the
parties irrevocably submits to the exclusive jurisdiction of each such court in any such Action, waives any objection it may now or hereafter
have to personal jurisdiction, venue or to convenience of forum, agrees that all claims in respect of the Action shall be heard and determined
only in any such court, and agrees not to bring any Action arising out of or relating to this Sponsor Agreement or the transactions contemplated
hereby in any other court. Nothing herein contained shall be deemed to affect the right of any party to serve process in any manner permitted
by Law or to commence legal proceedings or otherwise proceed against any other party in any other jurisdiction, in each case, to enforce
judgments obtained in any Action brought pursuant to this paragraph. EACH OF THE PARTIES HERETO HEREBY IRREVOCABLY WAIVES ANY AND ALL
RIGHT TO TRIAL BY JURY IN ANY ACTION BASED UPON, ARISING OUT OF OR RELATED TO THIS SPONSOR AGREEMENT OR THE TRANSACTIONS CONTEMPLATED
HEREBY.

 

17. Any
notice, consent or request to be given in connection with any of the terms or provisions of this Sponsor Agreement shall be in writing
and shall be sent by express mail or similar private courier service, by certified mail (return receipt requested), by hand delivery
or email transmission to the receiving party’s address or email address set forth above or on the receiving party’s signature
page hereto; provided that any such notice, consent or request to be given to Velocity or the Company at any time prior to the
valid termination of the Business Combination Agreement shall be given in accordance with the terms of Section 10.3 (Notices) of the
Business Combination Agreement.

 

18. This
Sponsor Agreement shall terminate on the earlier of (i) termination of the Business Combination Agreement (in which case this Sponsor
Agreement shall be of no force or effect and shall revert to the Prior Letter Agreement), (ii) the latest of (x) the expiration of the
Lock-up Periods and (y) the release of the Sponsor Earnout Shares, or (iii) the liquidation of Velocity; provided, however,
that paragraph 5 of this Sponsor Agreement shall survive such liquidation; provided, further, that no such termination
shall relieve the Sponsor, any Insider or Velocity from any liability resulting from a breach of this Sponsor Agreement occurring prior
to such termination.

 

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19. Each
of the Sponsor and the Insiders hereby represents and warrants (severally and not jointly as to itself, himself or herself only) to Velocity
and the Company as follows: (i) if such Person is not an individual, it is duly organized, validly existing and in good standing under
the laws of the jurisdiction in which it is incorporated, formed, organized or constituted, and the execution, delivery and performance
of this Sponsor Agreement and the consummation of the transactions contemplated hereby are within such Person’s corporate, limited
liability company or organizational powers and have been duly authorized by all necessary corporate, limited liability company or organizational
actions on the part of such Person; (ii) if such Person is an individual, such Person has full legal capacity, right and authority to
execute and deliver this Sponsor Agreement and to perform his or her obligations hereunder; (iii) this Sponsor Agreement has been duly
executed and delivered by such Person and, assuming due authorization, execution and delivery by the other parties to this Sponsor Agreement,
this Sponsor Agreement constitutes a legally valid and binding obligation of such Person, enforceable against such Person in accordance
with the terms hereof (except as enforceability may be limited by bankruptcy Laws, other similar Laws affecting creditors’ rights
and general principles of equity affecting the availability of specific performance and other equitable remedies); (iv) the execution
and delivery of this Sponsor Agreement by such Person does not, and the performance by such Person of his, her or its obligations hereunder
will not, (A) if such Person is not an individual, conflict with or result in a violation of the organizational documents of such Person,
or (B) require any consent or approval that has not been given or other action that has not been taken by any third party (including
under any Contract binding upon such Person or such Person’s Founder Shares or Private Placement Warrants, as applicable), in each
case, to the extent such consent, approval or other action would prevent, enjoin or materially delay the performance by such Person of
its, his or her obligations under this Sponsor Agreement; (v) there are no Actions pending against such Person or, to the knowledge of
such Person, threatened against such Person, before (or, in the case of threatened Actions, that would be before) any arbitrator or any
Governmental Authority, which in any manner challenges or seeks to prevent, enjoin or materially delay the performance by such Person
of its, his or her obligations under this Sponsor Agreement; (vi) except as disclosed in the Velocity Disclosure Letter, no financial
advisor, investment banker, broker, finder or other similar intermediary is entitled to any fee or commission from such Person, Velocity,
any of its Subsidiaries or any of their respective Affiliates in connection with the Business Combination Agreement or this Sponsor Agreement
or any of the respective transactions contemplated thereby and hereby, in each case, based upon any arrangement or agreement made by
or, to the knowledge of such Person, on behalf of such Person, for which Velocity, the Company or any of their respective Affiliates
would have any obligations or liabilities of any kind or nature; (vii) such Person has had the opportunity to read the Business Combination
Agreement and this Sponsor Agreement and has had the opportunity to consult with its tax and legal advisors; (viii) such Person has not
entered into, and shall not enter into, any agreement that would restrict, limit or interfere with the performance of such Person’s
obligations hereunder; (ix) except as otherwise described in this Sponsor Agreement, such Person has the direct or indirect interest
in all of its, his or her Common Stock or Warrants and Founder Shares and Private Placement Warrants, which are held through the Sponsor,
the Sponsor has good title to all such Founder Shares and Private Placement Warrants and any Common Stock or Warrants held by the Sponsor,
and there exist no Encumbrances or any other limitation or restriction (including, without limitation, any restriction on the right to
vote, sell or otherwise dispose of such securities (other than transfer restrictions under the Securities Act) affecting any such securities,
other than pursuant to (A) this Sponsor Agreement, (B) the Charter, (C) the Business Combination Agreement, (D) the Existing Registration
Rights Agreement, or (E) any applicable securities laws; (x) the Founder Shares and Private Placement Warrants listed on Annex A
are the only equity securities in Velocity (including, without limitation, any equity securities convertible into, or which can be exercised
or exchanged for, equity securities of Velocity) owned of record or beneficially owned by such Person as of the date hereof and such
Person has the sole power to dispose of (or sole power to cause the disposition of) and the sole power to vote (or sole power to direct
the voting of) such Founder Shares and Private Placement Warrants and none of such Founder Shares or Private Placement Warrants is subject
to any proxy, voting trust or other agreement or arrangement with respect to the voting of such Founder Shares or Private Placement Warrants,
except as provided in this Sponsor Agreement; the Sponsor and each Insider hereby agrees to supplement Annex A from time to time
to the extent that the Sponsor or any Insider acquires additional securities in Velocity; and (xi) such Person is not currently (and
at all times through Closing will refrain from being or becoming) a member of a “group” (within the meaning of Section 13(d)(3)
or Section 14(d)(2) of the Exchange Act, or any successor provision), including any group acting for the purpose of acquiring, holding
or disposing of equity securities of the Issuer (within the meaning of Rule 13d-5(b)(1) under the Exchange Act).

 

    10 

     

    

 

20. If,
and as often as, there are any changes in Velocity, the Common Stock, the Founder Shares or the Private Placement Warrants by way of
stock split, stock dividend, combination or reclassification, or through merger, consolidation, reorganization, recapitalization or business
combination, or by any other means, equitable adjustment shall be made to the provisions of this Sponsor Agreement as may be required
so that the rights, privileges, duties and obligations hereunder shall continue with respect to Velocity, Velocity’s successor
or the surviving entity of such transaction, the Common Stock, the Founder Shares or the Private Placement Warrants, each as so changed.
For the avoidance of doubt, such equitable adjustment shall be made to the performance criteria set forth in paragraph 7(d).

 

21. Each
of the parties hereto agrees to execute and deliver hereafter any further document, agreement or instrument of assignment, transfer or
conveyance as may be necessary or desirable to effectuate the purposes hereof and as may be reasonably requested in writing by another
party hereto.

 

22. It
is acknowledged and agreed that each Insider is acting in its, his or her capacity as stockholders, and that nothing will prevent each
Insider from complying with its, his or her fiduciary duties as directors; and (i) each Insider shall not be responsible for the actions
of Velocity or its board of directors (or any committee thereof), any Subsidiary of Velocity, or any officers, directors (in their capacity
as such), employees and professional advisors of any of the foregoing (the “Velocity Related Parties”), including
with respect to any of the matters contemplated by paragraph 7 of this Sponsor Agreement, (ii) such Insider makes no representations,
warranties, covenants or agreements with respect to the actions of Velocity or any of the Velocity Related Parties, and (iii) any breach
by Velocity of its obligations under the Business Combination Agreement shall not, in and of itself, be considered a breach of paragraph
7 (it being understood for the avoidance of doubt that such stockholder shall remain responsible for any breach by such stockholder or
his, her or its Representatives of paragraph 7 hereof).

 

23. Except
for any Actions, obligations or losses pursuant to the Business Combination Agreement or any Related Document by any party(ies) thereto
against any other party(ies) on the terms and subject to the conditions therein, all Actions, obligations or losses (whether in Contract,
in tort, in Law or in equity, or granted by statute whether by or though attempted piercing of the corporate, limited partnership or
limited liability company veil) that may be based upon, in respect of, arise under, out or by reason of, be connected with, or relate
in any manner to (i) this Sponsor Agreement, (ii) the negotiation, execution or performance of this Sponsor Agreement (including
any representation or warranty made in connection with, or as inducement to, this Sponsor Agreement), and (iii) any breach or violation
of this Sponsor Agreement, in each case, may be made only against (and are those solely of) the Persons that are expressly identified
as Parties. Except as expressly provided in this Sponsor Agreement or any Related Document, in furtherance and not in limitation of the
foregoing, and notwithstanding the fact that certain of the Parties may be partnerships or limited liability companies, each Party covenants,
agrees and acknowledges that no recourse under this Sponsor Agreement, any Related Document or any documents or instruments delivered
in connection with this Sponsor Agreement or any Related Document shall be had against any Party’s Affiliates or any of such Party’s
or such Parties Affiliates’ former, current or future direct or indirect equityholders, controlling persons, stockholders, directors,
officers, employees, agents, members, managers, general or limited partners or assignees (each a “Related Party”
and collectively, the “Related Parties”), in each case other than the Parties and each of their respective
successors and permitted assignees under this Sponsor Agreement (and, in the case of any Related Document, the applicable Parties thereto
and each of their respective successors and permitted assigns), whether in Contract, tort, by the enforcement of any assessment or by
any legal or equitable proceeding, or by virtue of any applicable Law, it being expressly agreed and acknowledged that no personal liability
whatsoever shall attach to, be imposed on or otherwise be incurred by any of the Related Parties, as such, for any obligation or liability
of any Party under this Sponsor Agreement or any documents or instruments delivered in connection herewith for any claim based on, in
respect of or by reason of such obligations or liabilities or their creation; provided, however, that nothing in this paragraph 23 shall
relieve or otherwise limit the liability of any Party or any of their respective successors or permitted assigns for any breach or violation
of its obligations under such agreements, documents or instruments.

 

[Signature
Page Follows]

 

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	 	 Sincerely,
	 	 	 
	 	SPONSOR:
	 	 	 
	 	VELOCITY SPONSOR LLC
	 	 	 
	 	By:	 /s/ Garrett Schreiber
	 	 	Name:  Garrett Schreiber
	 	 	Title:  Member

 

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	 	INSIDERS:
	 	 	 	 
	 	By:	/s/ Adrian Covey
	 	 	Name:  	Adrian Covey
	 	 	Address:	 
	 	 	 	 
	 	 	Email:	 
	 	 	 	 
	 	By:	/s/ Judge Graham
	 	 	Name:  	Judge Graham
	 	 	Address:	 
	 	 	 	 
	 	 	Email:	 
	 	 	 	 
	 	By:	/s/ Nicholas Brien
	 	 	Name:  	Nicholas Brien
	 	 	Address:	 
	 	 	 	 
	 	 	Email:	 
	 	 	 	 
	 	By:	/s/ Garrett Schreiber
	 	 	Name:  	Garrett Schreiber
	 	 	Address:	 
	 	 	 	 
	 	 	Email:	 
	 	 	 	 
	 	By:	/s/ Sanjay Chadda 
	 	 	Name:  	Sanjay Chadda 
	 	 	Address:	 
	 	 	 	 
	 	 	Email:	 
	 	 	 	 
	 	By:	/s/ Carla Hendra
	 	 	Name:  	Carla Hendra
	 	 	Address:	 
	 	 	 	 
	 	 	Email:	 
	 	 	 	 
	 	By:	/s/ Michael Lastoria
	 	 	Name:  	Michael Lastoria
	 	 	Address:	 
	 	 	 	 
	 	 	Email:	 

 

	 	By:	/s/ Steve Kassin
	 	 	Name:  	Steve Kassin
	 	 	Address:	 
	 	 	 	 
	 	 	Email:	 
	 	 	 	 
	 	By:	/s/ Ramin Arani
	 	 	Name:  	Ramin Arani
	 	 	Address:	 
	 	 	 	 
	 	 	Email:	 
	 	 	 	 
	 	By:	/s/ Sandy Beall
	 	 	Name:  	Sandy Beall
	 	 	Address:	 
	 	 	 	 
	 	 	Email:	 

 

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	Acknowledged and Agreed:	 
	 	 	 	 
	VELOCITY ACQUISITION CORP.	 
	 	 	 	 
	By:	 /s/ Garrett Schreiber	 
	 	Name: 	Garrett Schreiber	 
	 	Title:	Chief Financial Officer	 

 

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Annex
A

 

	 	 	Founder Shares*	 	Private Placement Warrants	 
	Velocity Sponsor LLC	 	[5,750,000] Class B Common Stock	 	 	[4,400,000]	

 

 

*
Includes shares of Common Stock issued or issuable upon the conversion of the Founder Shares.sing_ex101.htm

EXHIBIT10.1
  
 NOTE PURCHASE AGREEMENT
  
 This Note Purchase Agreement (this “Agreement”), dated as of July 13, 2021, is entered into by and between SinglePoint Inc., a Nevada corporation (“Company”), and Bucktown Capital, LLC, a Utah limited liability company, its successors and/or assigns (“Investor”). 
  
 A. Company and Investor are executing and delivering this Agreement in reliance upon the exemption from securities registration afforded by the Securities Act of 1933, as amended (the “1933 Act”), and the rules and regulations promulgated thereunder by the United States Securities and Exchange Commission (the “SEC”).
  
 B. Investor desires to purchase and Company desires to issue and sell, upon the terms and conditions set forth in this Agreement, a Promissory Note, in the form attached hereto as Exhibit A, in the original principal amount of $1,580,000.00 (the “Note”).
  
 C. This Agreement, the Note, and all other certificates, documents, agreements, resolutions and instruments delivered to any party under or in connection with this Agreement, as the same may be amended from time to time, are collectively referred to herein as the “Transaction Documents”.
  
 NOW, THEREFORE, in consideration of the above recitals and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Company and Investor hereby agree as follows: 
  
 1. Purchase and Sale of Note.
  
 1.1. Purchase of Note. Company hereby agrees to issue and sell to Investor and Investor hereby agrees to purchase from Company the Note. In consideration thereof, Investor agrees to pay the Purchase Price (as defined below) to Company.
  
 1.2. Form of Payment. On the Closing Date (as defined below), Investor shall pay the Purchase Price to Company via wire transfer of immediately available funds against delivery of the Note.
  
 1.3. Closing Date. Subject to the satisfaction (or written waiver) of the conditions set forth in Section 5 and Section 6 below, the date of the issuance and sale of the Note pursuant to this Agreement (the “Closing Date”) shall be July 13, 2021, or another mutually agreed upon date. The closing of the transactions contemplated by this Agreement (the “Closing”) shall occur on the Closing Date by means of the exchange by email of .pdf documents, but shall be deemed for all purposes to have occurred at the offices of Hansen Black Anderson Ashcraft PLLC in Lehi, Utah.
  
 1.4. Collateral for the Note. The Note shall be unsecured. 
  
 1.5. Original Issue Discount; Transaction Expense Amount. The Note carries an original issue discount of $75,000.00 (the “OID”). In addition, Company agrees to pay $5,000.00 to Investor to cover Investor’s legal fees, accounting costs, due diligence, monitoring and other transaction costs incurred in connection with the purchase and sale of the Note (the “Transaction Expense Amount”), all of which amount is included in the initial principal balance of the Note. The “Purchase Price”, therefore, shall be $1,500,000.00, computed as follows: $1,580,000.00 initial principal balance, less the OID, less the Transaction Expense Amount.
   
 2. Investor’s Representations and Warranties. Investor represents and warrants to Company that as of the Closing Date: (i) this Agreement has been duly and validly authorized; (ii) this Agreement constitutes a valid and binding agreement of Investor enforceable in accordance with its terms; (iii) Investor is an “accredited investor” as that term is defined in Rule 501(a) of Regulation D of the 1933 Act; and (iv) Investor is not relying on any representation, warranty, covenant or promise of the Company or its officers, directors, members, managers, employees, agents or representatives other than as set forth in the Transaction Documents.
  
 	 
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 3. Company’s Representations and Warranties. Company represents and warrants to Investor that as of the Closing Date: (i) Company is a corporation duly organized, validly existing and in good standing under the laws of its state of incorporation and has the requisite corporate power to own its properties and to carry on its business as now being conducted; (ii) Company is duly qualified as a foreign corporation to do business and is in good standing in each jurisdiction where the nature of the business conducted or property owned by it makes such qualification necessary; (iii) Company has registered its shares of common stock, $0.0001 par value per share (the “Common Stock”), under Section 12(g) of the Securities Exchange Act of 1934, as amended (the “1934 Act”), and is obligated to file reports pursuant to Section 13 or Section 15(d) of the 1934 Act; (iv) each of the Transaction Documents and the transactions contemplated hereby and thereby, have been duly and validly authorized by Company and all necessary actions have been taken; (v) this Agreement, the Note, and the other Transaction Documents have been duly executed and delivered by Company and constitute the valid and binding obligations of Company enforceable in accordance with their terms; (vi) the execution and delivery of the Transaction Documents by Company and the consummation by Company of the other transactions contemplated by the Transaction Documents do not and will not conflict with or result in a breach by Company of any of the terms or provisions of, or constitute a default under (a) Company’s formation documents or bylaws, each as currently in effect, (b) any indenture, mortgage, deed of trust, or other material agreement or instrument to which Company is a party or by which it or any of its properties or assets are bound, including, without limitation, any listing agreement for the Common Stock, or (c) any existing applicable law, rule, or regulation or any applicable decree, judgment, or order of any court, United States federal, state or foreign regulatory body, administrative agency, or other governmental body having jurisdiction over Company or any of Company’s properties or assets; (vii) no further authorization, approval or consent of any court, governmental body, regulatory agency, self-regulatory organization, or stock exchange or market or the stockholders or any lender of Company is required to be obtained by Company for the issuance of the Note to Investor or the entering into of the Transaction Documents; (viii) none of Company’s filings with the SEC contained, at the time they were filed, any untrue statement of a material fact or omitted to state any material fact required to be stated therein or necessary to make the statements made therein, in light of the circumstances under which they were made, not misleading; (ix) Company has filed all reports, schedules, forms, statements and other documents required to be filed by Company with the SEC under the 1934 Act on a timely basis or has received a valid extension of such time of filing and has filed any such report, schedule, form, statement or other document prior to the expiration of any such extension; (x) there is no action, suit, proceeding, inquiry or investigation before or by any court, public board or body pending or, to the knowledge of Company, threatened against or affecting Company before or by any governmental authority or non-governmental department, commission, board, bureau, agency or instrumentality or any other person, wherein an unfavorable decision, ruling or finding would have a material adverse effect on Company or which would adversely affect the validity or enforceability of, or the authority or ability of Company to perform its obligations under, any of the Transaction Documents; (xi) Company has not consummated any financing transaction that has not been disclosed in a periodic filing or current report with the SEC under the 1934 Act; (xii) Company is not, nor has it been at any time in the previous twelve (12) months, a “Shell Company,” as such type of “issuer” is described in Rule 144(i)(1) under the 1933 Act; (xiii) with respect to any commissions, placement agent or finder’s fees or similar payments that will or would become due and owing by Company to any person or entity as a result of this Agreement or the transactions contemplated hereby (“Broker Fees”), any such Broker Fees will be made in full compliance with all applicable laws and regulations and only to a person or entity that is a registered investment adviser or registered broker-dealer; (xiv) Investor shall have no obligation with respect to any Broker Fees or with respect to any claims made by or on behalf of other persons for fees of a type contemplated in this subsection that may be due in connection with the transactions contemplated hereby and Company shall indemnify and hold harmless each of Investor, Investor’s employees, officers, directors, stockholders, managers, agents, and partners, and their respective affiliates, from and against all claims, losses, damages, costs (including the costs of preparation and attorneys’ fees) and expenses suffered in respect of any such claimed or existing Broker Fees; (xv) neither Investor nor any of its officers, directors, members, managers, employees, agents or representatives has made any representations or warranties to Company or any of its officers, directors, employees, agents or representatives except as expressly set forth in the Transaction Documents and, in making its decision to enter into the transactions contemplated by the Transaction Documents, Company is not relying on any representation, warranty, covenant or promise of Investor or its officers, directors, members, managers, employees, agents or representatives other than as set forth in the Transaction Documents; (xvi) Company acknowledges that the State of Utah has a reasonable relationship and sufficient contacts to the transactions contemplated by the Transaction Documents and any dispute that may arise related thereto such that the laws and venue of the State of Utah, as set forth more specifically in Section 7.2 below, shall be applicable to the Transaction Documents and the transactions contemplated therein; and (xvii) Company has performed due diligence and background research on Investor and its affiliates including, without limitation, John M. Fife, and, to its satisfaction, has made inquiries with respect to all matters Company may consider relevant to the undertakings and relationships contemplated by the Transaction Documents including, among other things, the following: http://investing.businessweek.com/research/stocks/people/person.asp?personId=7505107&ticker=UAHC;SEC Civil Case No. 07-C-0347 (N.D. Ill.); SEC Civil Action No. 07-CV-347 (N.D. Ill.); and FINRA Case #2011029203701. In addition, certain affiliates of Investor are involved in ongoing litigation with the SEC regarding broker-dealer registration (see SEC Civil Case No. 1:20-cv-05227 (N.D. Ill.)). Company, being aware of the matters described in subsection (xvii) above, acknowledges and agrees that such matters, or any similar matters, have no bearing on the transactions contemplated by the Transaction Documents and covenants and agrees it will not use any such information as a defense to performance of its obligations under the Transaction Documents or in any attempt to avoid, modify or reduce such obligations.
  
 	 
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 4. Company Covenants. Until all of Company’s obligations under the Note are paid and performed in full, or within the timeframes otherwise specifically set forth below, Company will at all times comply with the following covenants: (i) Company will timely file on the applicable deadline all reports required to be filed with the SEC pursuant to Sections 13 or 15(d) of the 1934 Act, and will take all reasonable action under its control to ensure that adequate current public information with respect to Company, as required in accordance with Rule 144 of the 1933 Act, is publicly available, and will not terminate its status as an issuer required to file reports under the 1934 Act even if the 1934 Act or the rules and regulations thereunder would permit such termination; (ii) the Common Stock shall be listed or quoted for trading on any of (a) NYSE, (b) NASDAQ, (c) OTCQX, (d) OTCQB, or (e) OTC Pink; (iii) trading in Company’s Common Stock will not be suspended, halted, chilled, frozen, reach zero bid or otherwise cease trading on Company’s principal trading market for more than two (2) consecutive Trading Days; and (iv) Company will not enter into any financing transaction with John Kirkland or any of his affiliated entities. 
  
 5. Conditions to Company’s Obligation to Sell. The obligation of Company hereunder to issue and sell the Note to Investor at the Closing is subject to the satisfaction, on or before the Closing Date, of each of the following conditions:
  
 5.1. Investor shall have executed this Agreement and delivered the same to Company.
  
 5.2. Investor shall have delivered the Purchase Price to Company in accordance with Section 1.2 above.
  
 6. Conditions to Investor’s Obligation to Purchase. The obligation of Investor hereunder to purchase the Note at the Closing is subject to the satisfaction, on or before the Closing Date, of each of the following conditions, provided that these conditions are for Investor’s sole benefit and may be waived by Investor at any time in its sole discretion:
  
 6.1. Company shall have executed this Agreement and the Note and delivered the same to Investor.
  
 6.2. Company shall have delivered to Investor a fully executed Secretary’s Certificate substantially in the form attached hereto as Exhibit B evidencing Company’s approval of the Transaction Documents.
  
 6.3. Company shall have delivered to Investor fully executed copies of all other Transaction Documents required to be executed by Company herein or therein. 
  
 7. Miscellaneous. The provisions set forth in this Section 7 shall apply to this Agreement, as well as all other Transaction Documents as if these terms were fully set forth therein; provided, however, that in the event there is a conflict between any provision set forth in this Section 7 and any provision in any other Transaction Document, the provision in such other Transaction Document shall govern.
  
 7.1. Arbitration of Claims. The parties shall submit all Claims (as defined in Exhibit C) arising under this Agreement or any other Transaction Document or any other agreement between the parties and their affiliates or any Claim relating to the relationship of the parties to binding arbitration pursuant to the arbitration provisions set forth in Exhibit C attached hereto (the “Arbitration Provisions”). For the avoidance of doubt, the parties agree that the injunction described in Section 7.3 below may be pursued in an arbitration that is separate and apart from any other arbitration regarding all other Claims arising under the Transaction Documents. The parties hereby acknowledge and agree that the Arbitration Provisions are unconditionally binding on the parties hereto and are severable from all other provisions of this Agreement. By executing this Agreement, Company represents, warrants and covenants that Company has reviewed the Arbitration Provisions carefully, consulted with legal counsel about such provisions (or waived its right to do so), understands that the Arbitration Provisions are intended to allow for the expeditious and efficient resolution of any dispute hereunder, agrees to the terms and limitations set forth in the Arbitration Provisions, and that Company will not take a position contrary to the foregoing representations. Company acknowledges and agrees that Investor may rely upon the foregoing representations and covenants of Company regarding the Arbitration Provisions.
  
 	 
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 7.2. Governing Law; Venue. This Agreement shall be construed and enforced in accordance with, and all questions concerning the construction, validity, interpretation and performance of this Agreement shall be governed by, the internal laws of the State of Utah, without giving effect to any choice of law or conflict of law provision or rule (whether of the State of Utah or any other jurisdiction) that would cause the application of the laws of any jurisdiction other than the State of Utah. Each party consents to and expressly agrees that the exclusive venue for arbitration of any dispute arising out of or relating to any Transaction Document or the relationship of the parties or their affiliates shall be in Salt Lake County, Utah. Without modifying the parties’ obligations to resolve disputes hereunder pursuant to the Arbitration Provisions, for any litigation arising in connection with any of the Transaction Documents, each party hereto hereby (i) consents to and expressly submits to the exclusive personal jurisdiction of any state or federal court sitting in Salt Lake County, Utah, (ii) expressly submits to the exclusive venue of any such court for the purposes hereof, and (iii) waives any claim of improper venue and any claim or objection that such courts are an inconvenient forum or any other claim, defense or objection to the bringing of any such proceeding in such jurisdiction or to any claim that such venue of the suit, action or proceeding is improper. Finally, Company covenants and agrees to name Investor as a party in interest in, and provide written notice to Investor in accordance with Section 7.11 below prior to bringing or filing any action (including without limitation any filing or action against any person or entity that is not a party to this Agreement) that is related in any way to the Transaction Documents or any transaction contemplated herein or therein, and further agrees to timely name Investor as a party to any such action. Company acknowledges that the governing law and venue provisions set forth in this Section 7.2 are material terms to induce Investor to enter into the Transaction Documents and that but for Company’s agreements set forth in this Section 7.2 Investor would not have entered into the Transaction Documents. 
  
 7.3. Specific Performance. Company acknowledges and agrees that Investor may suffer irreparable harm in the event that Company fails to perform any material provision of this Agreement or any of the other Transaction Documents in accordance with its specific terms. It is accordingly agreed that Investor shall be entitled to one or more injunctions to prevent or cure breaches of the provisions of this Agreement or such other Transaction Document and to enforce specifically the terms and provisions hereof or thereof, this being in addition to any other remedy to which Investor may be entitled under the Transaction Documents, at law or in equity. Company specifically acknowledges that Investor’s right to obtain specific performance constitutes bargained for leverage and that the loss of such leverage would result in irreparable harm to Investor. For the avoidance of doubt, in the event Investor seeks to obtain an injunction from a court or an arbitrator against Company or specific performance of any provision of any Transaction Document, such action shall not be a waiver of any right of Investor under any Transaction Document, at law, or in equity, including without limitation its rights to arbitrate any Claim pursuant to the terms of the Transaction Documents, nor shall Investor’s pursuit of an injunction prevent Investor, under the doctrines of claim preclusion, issues preclusion, res judicata or other similar legal doctrines, from pursuing other Claims in the future in a separate arbitration.
  
 7.4. Counterparts. Each Transaction Document may be executed in any number of counterparts, each of which shall be deemed an original, but all of which together shall constitute one instrument. The parties hereto confirm that any electronic copy of another party’s executed counterpart of a Transaction Document (or such party’s signature page thereof) will be deemed to be an executed original thereof.
  
 7.5. Document Imaging. Investor shall be entitled, in its sole discretion, to image or make copies of all or any selection of the agreements, instruments, documents, and items and records governing, arising from or relating to any of Company’s loans, including, without limitation, this Agreement and the other Transaction Documents, and Investor may destroy or archive the paper originals. The parties hereto (i) waive any right to insist or require that Investor produce paper originals, (ii) agree that such images shall be accorded the same force and effect as the paper originals, (iii) agree that Investor is entitled to use such images in lieu of destroyed or archived originals for any purpose, including as admissible evidence in any demand, presentment or other proceedings, and (iv) further agree that any executed facsimile (faxed), scanned, emailed, or other imaged copy of this Agreement or any other Transaction Document shall be deemed to be of the same force and effect as the original manually executed document.
  
 7.6. Headings. The headings of this Agreement are for convenience of reference only and shall not form part of, or affect the interpretation of, this Agreement.
  
 7.7. Severability. In the event that any provision of this Agreement is invalid or unenforceable under any applicable statute or rule of law, then such provision shall be deemed inoperative to the extent that it may conflict therewith and shall be deemed modified to conform to such statute or rule of law. Any provision hereof which may prove invalid or unenforceable under any law shall not affect the validity or enforceability of any other provision hereof.
  
 	 
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 7.8. Entire Agreement. This Agreement, together with the other Transaction Documents, contains the entire understanding of the parties with respect to the matters covered herein and therein and, except as specifically set forth herein or therein, neither Company nor Investor makes any representation, warranty, covenant or undertaking with respect to such matters. For the avoidance of doubt, all prior term sheets or other documents between Company and Investor, or any affiliate thereof, related to the transactions contemplated by the Transaction Documents (collectively, “Prior Agreements”), that may have been entered into between Company and Investor, or any affiliate thereof, are hereby null and void and deemed to be replaced in their entirety by the Transaction Documents. To the extent there is a conflict between any term set forth in any Prior Agreement and the term(s) of the Transaction Documents, the Transaction Documents shall govern.
  
 7.9. No Reliance. Company acknowledges and agrees that neither Investor nor any of its officers, directors, members, managers, representatives or agents has made any representations or warranties to Company or any of its officers, directors, representatives, agents or employees except as expressly set forth in the Transaction Documents and, in making its decision to enter into the transactions contemplated by the Transaction Documents, Company is not relying on any representation, warranty, covenant or promise of Investor or its officers, directors, members, managers, agents or representatives other than as set forth in the Transaction Documents.
  
 7.10. Amendments. No provision of this Agreement may be waived or amended other than by an instrument in writing signed by both parties hereto.
  
 7.11. Notices. Any notice required or permitted hereunder shall be given in writing (unless otherwise specified herein) and shall be deemed effectively given on the earliest of: (i) the date delivered, if delivered by personal delivery as against written receipt therefor or by email to an executive officer, or by facsimile (with successful transmission confirmation), (ii) the earlier of the date delivered or the third business day after deposit, postage prepaid, in the United States Postal Service by certified mail, or (iii) the earlier of the date delivered or the third business day after mailing by express courier, with delivery costs and fees prepaid, in each case, addressed to each of the other parties thereunto entitled at the following addresses (or at such other addresses as such party may designate by five (5) calendar days’ advance written notice similarly given to each of the other parties hereto):
  
 If to Company:
  
 SinglePoint Inc.
 Attn: William Ralston
 2999 North 44th Street, Suite 530
 Phoenix, Arizona 85018
  
 If to Investor:
  
 Bucktown Capital, LLC
 Attn: Christopher Stalcup
 303 East Wacker Drive, Suite 1040
 Chicago, Illinois 60601 
  
 With a copy to (which copy shall not constitute notice): 
  
 Hansen Black Anderson Ashcraft PLLC
 Attn: Jonathan K. Hansen
 3051 West Maple Loop Drive, Suite 325
 Lehi, Utah 84043
  
 	 
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 7.12. Successors and Assigns. This Agreement or any of the severable rights and obligations inuring to the benefit of or to be performed by Investor hereunder may be assigned by Investor to a third party, including its affiliates, in whole or in part, without the need to obtain Company’s consent thereto. Company may not assign its rights or obligations under this Agreement or delegate its duties hereunder without the prior written consent of Investor.
  
 7.13. Survival. The representations and warranties of Company and the agreements and covenants set forth in this Agreement shall survive the Closing hereunder notwithstanding any due diligence investigation conducted by or on behalf of Investor. Company agrees to indemnify and hold harmless Investor and all its officers, directors, employees, attorneys, and agents for loss or damage arising as a result of or related to any breach or alleged breach by Company of any of its representations, warranties and covenants set forth in this Agreement or any of its covenants and obligations under this Agreement, including advancement of expenses as they are incurred.
  
 7.14. Further Assurances. Each party shall do and perform, or cause to be done and performed, all such further acts and things, and shall execute and deliver all such other agreements, certificates, instruments and documents, as the other party may reasonably request in order to carry out the intent and accomplish the purposes of this Agreement and the consummation of the transactions contemplated hereby.
  
 7.15. Investor’s Rights and Remedies Cumulative. All rights, remedies, and powers conferred in this Agreement and the Transaction Documents are cumulative and not exclusive of any other rights or remedies, and shall be in addition to every other right, power, and remedy that Investor may have, whether specifically granted in this Agreement or any other Transaction Document, or existing at law, in equity, or by statute, and any and all such rights and remedies may be exercised from time to time and as often and in such order as Investor may deem expedient.
  
 7.16. Attorneys’ Fees and Cost of Collection. In the event of any arbitration or action at law or in equity to enforce or interpret the terms of this Agreement or any of the other Transaction Documents, the parties agree that the party who is awarded the most money (which, for the avoidance of doubt, shall be determined without regard to any statutory fines, penalties, fees, or other charges awarded to any party) shall be deemed the prevailing party for all purposes and shall therefore be entitled to an additional award of the full amount of the attorneys’ fees, deposition costs, and expenses paid by such prevailing party in connection with arbitration or litigation without reduction or apportionment based upon the individual claims or defenses giving rise to the fees and expenses. Nothing herein shall restrict or impair an arbitrator’s or a court’s power to award fees and expenses for frivolous or bad faith pleading. If (i) the Note is placed in the hands of an attorney for collection or enforcement prior to commencing arbitration or legal proceedings, or is collected or enforced through any arbitration or legal proceeding, or Investor otherwise takes action to collect amounts due under the Note or to enforce the provisions of the Note, or (ii) there occurs any bankruptcy, reorganization, receivership of Company or other proceedings affecting Company’s creditors’ rights and involving a claim under the Note; then Company shall pay the costs incurred by Investor for such collection, enforcement or action or in connection with such bankruptcy, reorganization, receivership or other proceeding, including, without limitation, attorneys’ fees, expenses, deposition costs, and disbursements.
  
 	 
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 7.17. Waiver. No waiver of any provision of this Agreement shall be effective unless it is in the form of a writing signed by the party granting the waiver. No waiver of any provision or consent to any prohibited action shall constitute a waiver of any other provision or consent to any other prohibited action, whether or not similar. No waiver or consent shall constitute a continuing waiver or consent or commit a party to provide a waiver or consent in the future except to the extent specifically set forth in writing.
  
 7.18. Waiver of Jury Trial. EACH PARTY TO THIS AGREEMENT IRREVOCABLY WAIVES ANY AND ALL RIGHTS SUCH PARTY MAY HAVE TO DEMAND THAT ANY ACTION, PROCEEDING OR COUNTERCLAIM ARISING OUT OF OR IN ANY WAY RELATED TO THIS AGREEMENT, ANY OTHER TRANSACTION DOCUMENT, OR THE RELATIONSHIPS OF THE PARTIES HERETO BE TRIED BY JURY. THIS WAIVER EXTENDS TO ANY AND ALL RIGHTS TO DEMAND A TRIAL BY JURY ARISING UNDER COMMON LAW OR ANY APPLICABLE STATUTE, LAW, RULE OR REGULATION. FURTHER, EACH PARTY HERETO ACKNOWLEDGES THAT SUCH PARTY IS KNOWINGLY AND VOLUNTARILY WAIVING SUCH PARTY’S RIGHT TO DEMAND TRIAL BY JURY. 
  
 7.19. Time is of the Essence. Time is expressly made of the essence with respect to each and every provision of this Agreement and the other Transaction Documents.
  
 7.20. Voluntary Agreement. Company has carefully read this Agreement and each of the other Transaction Documents and has asked any questions needed for Company to understand the terms, consequences and binding effect of this Agreement and each of the other Transaction Documents and fully understand them. Company has had the opportunity to seek the advice of an attorney of Company’s choosing, or has waived the right to do so, and is executing this Agreement and each of the other Transaction Documents voluntarily and without any duress or undue influence by Investor or anyone else.
  
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 IN WITNESS WHEREOF, the undersigned Investor and Company have caused this Agreement to be duly executed as of the date first above written.
   
 	 SUBSCRIPTION AMOUNT:
	  
	  
	  

	 Principal Amount of Note: 
	  
	$	1,580,000.00	  

	 Purchase Price:
	  
	$	1,500,000.00	  

  
 	  
	 INVESTOR:
	  

	  
	  
	  

	 	BUCKTOWN CAPITAL, LLC	
	 	 	 	 
		By:		
	  
	  
	Christopher Stalcup	 
	 	 		 
	 	COMPANY:	 
	  
	  
	  
	  

	  
	 SINGLEPOINT INC.
	  

	  
	  
	  
	  

	  
	 By:
	  
	  

	  
	 Name:
	  
	  

	  
	 Title:
	  
	  

  
  
 ATTACHED EXHIBITS:
  
 	 Exhibit A
	 Note

	 Exhibit B
	 Secretary’s Certificate

	 Exhibit C
	 Arbitration Provisions

  
 [Signature Page to Note Purchase Agreement]
  
 	 
	
	

	 

   
 PROMISSORY NOTE 
  
 	 Effective Date: July 13, 2021 
	 U.S. $1,580,000.00

  
 FOR VALUE RECEIVED, SinglePoint Inc., a Nevada corporation (“Borrower”), promises to pay to Bucktown Capital, LLC, a Utah limited liability company, or its successors or assigns (“Lender”), $1,580,000.00 and any interest, fees, charges, and late fees accrued hereunder on the date that is thirty-six (36) months after the Purchase Price Date (the “Maturity Date”) in accordance with the terms set forth herein and to pay interest on the Outstanding Balance at the rate of eight percent (8%) per annum from the Purchase Price Date until the same is paid in full. All interest calculations hereunder shall be computed on the basis of a 360-day year comprised of twelve (12) thirty (30) day months, shall compound daily and shall be payable in accordance with the terms of this Note. This Promissory Note (this “Note”) is issued and made effective as of July 13, 2021 (the “Effective Date”). This Note is issued pursuant to that certain Note Purchase Agreement dated July 13, 2021, as the same may be amended from time to time, by and between Borrower and Lender (the “Purchase Agreement”). Certain capitalized terms used herein are defined in Attachment 1 attached hereto and incorporated herein by this reference.
  
 This Note carries an OID of $75,000.00. In addition, Borrower agrees to pay $5,000.00 to Lender to cover Lender’s legal fees, accounting costs, due diligence, monitoring and other transaction costs incurred in connection with the purchase and sale of this Note (the “Transaction Expense Amount”), all of which amount is fully earned and included in the initial principal balance of this Note. The purchase price for this Note shall be $1,500,000.00 (the “Purchase Price”), computed as follows: $1,580,000.00 original principal balance, less the OID, less the Transaction Expense Amount. The Purchase Price shall be payable by Lender by wire transfer of immediately available funds. 
  
 1. Payment; Prepayment.
  
 1.1. Payment. All payments owing hereunder shall be in lawful money of the United States of America and delivered to Lender at the address or bank account furnished to Borrower for that purpose. All payments shall be applied first to (a) costs of collection, if any, then to (b) fees and charges, if any, then to (c) accrued and unpaid interest, and thereafter, to (d) principal. 
  
 1.2. Prepayment. Borrower may pay all or any portion of the Outstanding Balance earlier than it is due; provided that in the event Borrower elects to prepay all or any portion of the Outstanding Balance it shall pay to Lender 105% of the portion of the Outstanding Balance Borrower elects to prepay. Early payments of less than all principal, fees and interest outstanding will not, unless agreed to by Lender in writing, relieve Borrower of Borrower’s remaining obligations hereunder. 
  
 1.3. Security. This Note is unsecured. 
  
 2. Quarterly Payments. For the calendar quarter beginning on January 1, 2022 and continuing for each calendar quarter thereafter until this Note is paid in full, Borrower will make quarterly cash payments to Lender equal to $250,000.00. Borrower may choose the frequency and amount of each payment (subject to a minimum payment of $50,000.00) during each applicable quarter so long as the aggregate amount paid during each quarter is equal to $250,000.00. 
  
 	 
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 3. Defaults and Remedies.
  
 3.1. Defaults. The following are events of default under this Note (each, an “Event of Default”): (a) Borrower fails to pay any principal, interest, fees, charges, or any other amount when due and payable hereunder; (b) a receiver, trustee or other similar official shall be appointed over Borrower or a material part of its assets and such appointment shall remain uncontested for twenty (20) days or shall not be dismissed or discharged within sixty (60) days; (c) Borrower becomes insolvent or generally fails to pay, or admits in writing its inability to pay, its debts as they become due, subject to applicable grace periods, if any; (d) Borrower makes a general assignment for the benefit of creditors; (e) Borrower files a petition for relief under any bankruptcy, insolvency or similar law (domestic or foreign); (f) an involuntary bankruptcy proceeding is commenced or filed against Borrower; (g) Borrower or any pledgor, trustor, or guarantor of this Note defaults or otherwise fails to observe or perform any covenant, obligation, condition or agreement of Borrower or such pledgor, trustor, or guarantor contained herein or in any other Transaction Document (as defined in the Purchase Agreement), other than those specifically set forth in this Section 3.1 and Section 4 of the Purchase Agreement; (h) any representation, warranty or other statement made or furnished by or on behalf of Borrower or any pledgor, trustor, or guarantor of this Note to Lender herein, in any Transaction Document, or otherwise in connection with the issuance of this Note is false, incorrect, incomplete or misleading in any material respect when made or furnished; (i) the occurrence of a Fundamental Transaction without Lender’s prior written consent, but only where such Fundamental Transaction involves any of Borrower, Energy Wyze, LLC, a Utah limited liability company, Box Pure Air LLC, a Delaware limited liability company, or Singlepoint Direct Solar LLC, a Nevada limited liability company (for the avoidance of doubt, it shall not be an Event of Default if any other subsidiary of Borrower engages in a Fundamental Transaction without Lender’s prior written consent); (j) any United States money judgment, writ or similar process is entered or filed against Borrower or any subsidiary of Borrower or any of its property or other assets for more than $1,000,000.00, and shall remain unvacated, unbonded or unstayed for a period of twenty (20) calendar days unless otherwise consented to by Lender; (k) Borrower fails to observe or perform any covenant set forth in Section 4 of the Purchase Agreement; or (l) Borrower, any affiliate of Borrower, or any pledgor, trustor, or guarantor of this Note breaches any covenant or other term or condition contained in any Other Agreements. 
  
 3.2. Remedies. At any time and from time to time after Lender becomes aware of the occurrence of any Event of Default, Lender may accelerate this Note by written notice to Borrower, with the Outstanding Balance becoming immediately due and payable in cash at the Mandatory Default Amount. Notwithstanding the foregoing, at any time following the occurrence of any Event of Default, Lender may, at its option, elect to increase the Outstanding Balance by applying the Default Effect (subject to the limitation set forth below) via written notice to Borrower without accelerating the Outstanding Balance, in which event the Outstanding Balance shall be increased as of the date of the occurrence of the applicable Event of Default pursuant to the Default Effect, but the Outstanding Balance shall not be immediately due and payable unless so declared by Lender (for the avoidance of doubt, if Lender elects to apply the Default Effect pursuant to this sentence, it shall reserve the right to declare the Outstanding Balance immediately due and payable at any time and no such election by Lender shall be deemed to be a waiver of its right to declare the Outstanding Balance immediately due and payable as set forth herein unless otherwise agreed to by Lender in writing). Notwithstanding the foregoing, upon the occurrence of any Event of Default described in clauses (b), (c), (d), (e) or (f) of Section 3.1, the Outstanding Balance as of the date of acceleration shall become immediately and automatically due and payable in cash at the Mandatory Default Amount. At any time following the occurrence of any Event of Default, upon written notice given by Lender to Borrower, interest shall accrue on the Outstanding Balance beginning on the date the applicable Event of Default occurred at an interest rate equal to the lesser of eighteen percent (18%) per annum or the maximum rate permitted under applicable law (“Default Interest”). In connection with acceleration described herein, Lender need not provide, and Borrower hereby waives, any presentment, demand, protest or other notice of any kind, and Lender may immediately and without expiration of any grace period enforce any and all of its rights and remedies hereunder and all other remedies available to it under applicable law. Such acceleration may be rescinded and annulled by Lender at any time prior to payment hereunder and Lender shall have all rights as a holder of the Note until such time, if any, as Lender receives full payment pursuant to this Section 3.2. No such rescission or annulment shall affect any subsequent Event of Default or impair any right consequent thereon. Nothing herein shall limit Lender’s right to pursue any other remedies available to it at law or in equity including, without limitation, a decree of specific performance and/or injunctive relief.
  
 	 
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 4. Unconditional Obligation; No Offset. Borrower acknowledges that this Note is an unconditional, valid, binding and enforceable obligation of Borrower not subject to offset, deduction or counterclaim of any kind. Borrower hereby waives any rights of offset it now has or may have hereafter against Lender, its successors and assigns, and agrees to make the payments called for herein in accordance with the terms of this Note.
  
 5. Waiver. No waiver of any provision of this Note shall be effective unless it is in the form of a writing signed by the party granting the waiver. No waiver of any provision or consent to any prohibited action shall constitute a waiver of any other provision or consent to any other prohibited action, whether or not similar. No waiver or consent shall constitute a continuing waiver or consent or commit a party to provide a waiver or consent in the future except to the extent specifically set forth in writing.
  
 6. Opinion of Counsel. In the event that an opinion of counsel is needed for any matter related to this Note, Lender has the right to have any such opinion provided by its counsel. 
  
 7. Governing Law; Venue. This Note shall be construed and enforced in accordance with, and all questions concerning the construction, validity, interpretation and performance of this Note shall be governed by, the internal laws of the State of Utah, without giving effect to any choice of law or conflict of law provision or rule (whether of the State of Utah or any other jurisdiction) that would cause the application of the laws of any jurisdiction other than the State of Utah. The provisions set forth in the Purchase Agreement to determine the proper venue for any disputes are incorporated herein by this reference.
  
 8. Arbitration of Disputes. By its issuance or acceptance of this Note, each party agrees to be bound by the Arbitration Provisions (as defined in the Purchase Agreement) set forth as an exhibit to the Purchase Agreement
  
 9. Cancellation. After repayment of the entire Outstanding Balance, this Note shall be deemed paid in full, shall automatically be deemed canceled, and shall not be reissued.
  
 10. Amendments. The prior written consent of both parties hereto shall be required for any change or amendment to this Note.
  
 11. Assignments. Borrower may not assign this Note without the prior written consent of Lender. This Note may be offered, sold, assigned or transferred by Lender without the consent of Borrower, so long as such transfer is in accordance with applicable federal and state securities laws.
  
 12. Notices. Whenever notice is required to be given under this Note, unless otherwise provided herein, such notice shall be given in accordance with the subsection of the Purchase Agreement titled “Notices.”
  
 13. Liquidated Damages. Lender and Borrower agree that in the event Borrower fails to comply with any of the terms or provisions of this Note, Lender’s damages would be uncertain and difficult (if not impossible) to accurately estimate because of the parties’ inability to predict future interest rates and other relevant factors. Accordingly, Lender and Borrower agree that any fees, balance adjustments, Default Interest or other charges assessed under this Note are not penalties but instead are intended by the parties to be, and shall be deemed, liquidated damages.
  
 14. Severability. If any part of this Note is construed to be in violation of any law, such part shall be modified to achieve the objective of Borrower and Lender to the fullest extent permitted by law and the balance of this Note shall remain in full force and effect.
  
 	 
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 IN WITNESS WHEREOF, Borrower has caused this Note to be duly executed as of the Effective Date. 
  
 	  
	 BORROWER:
	  

	  
	  
	  

	 	SINGLEPOINT INC.	
	 	 	 	 
		By:		
	  
	 Name:
		 
	 	Title:		 
	 	 	 	 

   
 ACKNOWLEDGED, ACCEPTED AND AGREED:
  
 LENDER:
  
 BUCKTOWN CAPITAL, LLC
  
 By: _______________________________________
        Christopher Stalcup 
  
 [Signature Page to Promissory Note]
  
 	 
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 ATTACHMENT 1
 DEFINITIONS
  
 For purposes of this Note, the following terms shall have the following meanings: 
  
 A1. “Default Effect” means multiplying the Outstanding Balance as of the date the applicable Event of Default occurred by 25% and then adding the resulting product to the Outstanding Balance as of the date the applicable Event of Default occurred, with the sum of the foregoing then becoming the Outstanding Balance under this Note as of the date the applicable Event of Default occurred. 
  
 A2. “Fundamental Transaction” means that (a) (i) Borrower or any of its subsidiaries shall, directly or indirectly, in one or more related transactions, consolidate or merge with or into (whether or not Borrower or any of its subsidiaries is the surviving corporation) any other person or entity, or (ii) Borrower or any of its subsidiaries shall, directly or indirectly, in one or more related transactions, sell, lease, license, assign, transfer, convey or otherwise dispose of all or substantially all of its respective properties or assets to any other person or entity, or (iii) Borrower or any of its subsidiaries shall, directly or indirectly, in one or more related transactions, allow any other person or entity to make a purchase, tender or exchange offer that is accepted by the holders of more than 50% of the outstanding shares of voting stock of Borrower (not including any shares of voting stock of Borrower held by the person or persons making or party to, or associated or affiliated with the persons or entities making or party to, such purchase, tender or exchange offer), or (iv) Borrower or any of its subsidiaries shall, directly or indirectly, in one or more related transactions, consummate a stock or share purchase agreement or other business combination (including, without limitation, a reorganization, recapitalization, spin-off or scheme of arrangement) with any other person or entity whereby such other person or entity acquires more than 50% of the outstanding shares of voting stock of Borrower (not including any shares of voting stock of Borrower held by the other persons or entities making or party to, or associated or affiliated with the other persons or entities making or party to, such stock or share purchase agreement or other business combination), or (v) Borrower or any of its subsidiaries shall, directly or indirectly, in one or more related transactions, reorganize, recapitalize or reclassify the Common Stock, other than an increase in the number of authorized shares of Borrower’s Common Stock, or reverse splits of its outstanding and authorized shares of Common Stock to meet Nasdaq listing requirements or (b) any “person” or “group” (as these terms are used for purposes of Sections 13(d) and 14(d) of the 1934 Act and the rules and regulations promulgated thereunder) is or shall become the “beneficial owner” (as defined in Rule 13d-3 under the 1934 Act), directly or indirectly, of 50% of the aggregate ordinary voting power represented by issued and outstanding voting stock of Borrower. Notwithstanding the foregoing, a “Fundamental Transaction” shall only include a transaction that involves any of Borrower or Borrower’s subsidiaries: Energy Wyze, LLC, a Utah limited liability company, Box Pure Air LLC, a Delaware limited liability company, or Singlepoint Direct Solar LLC, a Nevada limited liability company (for the avoidance of doubt, it shall not be a “Fundamental Transaction” if any other subsidiary of Borrower engages in a Fundamental Transaction without Lender’s prior written consent).
  
 A3. “Mandatory Default Amount” means the Outstanding Balance following the application of the Default Effect.
  
 A4. “OID” means an original issue discount.
  
 A5. “Other Agreements” means, collectively, (a) all existing and future agreements and instruments between, among or by Borrower (or an affiliate), on the one hand, and Lender (or an affiliate), on the other hand, and (b) any financing agreement or a material agreement that affects Borrower’s ongoing business operations.
  
 A6. “Outstanding Balance” means as of any date of determination, the Purchase Price, as reduced or increased, as the case may be, pursuant to the terms hereof for payment, offset, or otherwise, plus the OID, the Transaction Expense Amount, accrued but unpaid interest, collection and enforcements costs (including attorneys’ fees) incurred by Lender, transfer, stamp, issuance and similar taxes and fees incurred under this Note.
  
 A7. “Purchase Price Date” means the date the Purchase Price is delivered by Lender to Borrower.
  
 A8. “Trading Day” means any day on which the New York Stock Exchange (or such other principal market for the Common Stock) is open for trading. For purposes of determining Borrower’s cash payment deadline under this Note, such “Trading Day” shall exclude any day on which banking institutions in Dalian, China are authorized or required by law or other governmental action to close.
  
  
 	 
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 SINGLEPOINT INC.
 SECRETARY’S CERTIFICATE
  
 I hereby certify that I am the duly elected, qualified and acting Secretary of SinglePoint Inc., a Nevada corporation (“Company”), and I am authorized to execute this Secretary’s Certificate (this “Certificate”) on behalf of Company. This Certificate is delivered in connection with that certain Note Purchase Agreement dated July 13, 2021 (the “Purchase Agreement”), by and between Company and Bucktown Capital, LLC, a Utah limited liability company. 
  
 Solely in my capacity as Secretary, I certify that Schedule 1 attached hereto is a true, accurate and complete copy of all of the resolutions adopted by the Board of Directors of Company (the “Resolutions”) approving and authorizing the execution, delivery and performance of the Purchase Agreement and related documents to which Company is a party on the date hereof, and the transactions contemplated thereby. Such Resolutions have not been amended, rescinded or modified since their adoption and remain in effect as of the date hereof.
  
 IN WITNESS WHEREOF, I have made this Secretary’s Certificate effective as of July 13, 2021.
  
 	 	SinglePoint Inc.	
	 	 	 	 
			
	  
	 Printed Name: 
	  
	 
	 	Title: Secretary	 
	 	 	 	 

   
 	 
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 Schedule 1
  
 BOARD RESOLUTIONS
  
 [attached]
  
 	 
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 SINGLEPOINT INC.
 RESOLUTIONS ADOPTED BY THE BOARD OF DIRECTORS
 ________________________
  
 Effective July 13, 2021
 ________________________
  
 APPROVAL OF FINANCING
  
 WHEREAS, the Board of Directors (the “Board”) of SinglePoint Inc., a Nevada corporation (“Company”), has determined that it is in the best interests of Company to seek financing in the amount of $1,500,000.00 through the issuance and sale to Bucktown Capital, LLC, a Utah limited liability company (“Investor”), of a Promissory Note (the “Financing”); 
  
 WHEREAS, the terms of the Financing are reflected in a Note Purchase Agreement substantially in the form attached hereto as Exhibit A (the “Purchase Agreement”), a Promissory Note issued by Company to Investor in the original principal amount of $1,580,000.00 substantially in the form attached hereto as Exhibit B (the “Note”), and all other agreements, certificates, instruments and documents being or to be executed and delivered under or in connection with the Financing (collectively, the “Financing Documents”); and
  
 WHEREAS, the Board, having received and reviewed the Financing Documents, believes that it is in the best interests of Company and the stockholders to approve the Financing and the Financing Documents and authorize the officers of Company to execute such documents.
  
 NOW, THEREFORE, BE IT:
  
 RESOLVED, that the Financing is hereby approved and determined to be in the best interests of Company and its stockholders;
  
 RESOLVED FURTHER, that the form, terms and provisions of the Financing Documents (including all exhibits, schedules and other attachments thereto) are hereby ratified, confirmed and approved;
  
 RESOLVED FURTHER, that the Note shall be duly and validly issued upon the issuance and delivery thereof in accordance with the Purchase Agreement;
  
 RESOLVED FURTHER, that each of the officers of Company be, and each of them hereby is, authorized to execute and deliver in the name of and on behalf of Company, each of the Financing Documents and any other related agreements (with such additions to, modifications to, or deletions from such documents as the officer approves, such approval to be conclusively evidenced by such execution and delivery), to conform Company’s minute books and other records to the matters set forth in these resolutions, and to take all other actions on behalf of Company as any of them deem necessary, required, or advisable with respect to the matters set forth in these resolutions;
  
 RESOLVED FURTHER, that the Board hereby determines that all acts and deeds previously performed by the Board and other officers of Company relating to the foregoing matters prior to the date of these resolutions are ratified, confirmed and approved in all respects as the authorized acts and deeds of Company; and
  
 	 
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 RESOLVED FURTHER, that all prior actions or resolutions of Company’s directors that are inconsistent with the foregoing are hereby amended, corrected and restated to the extent required to be consistent herewith.
  
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 EXHIBITS ATTACHED TO BOARD RESOLUTIONS:
  
 	 Exhibit A
	 PURCHASE AGREEMENT

	 Exhibit B
	 NOTE

  
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 EXHIBIT C
  
 ARBITRATION PROVISIONS
  
 1. Dispute Resolution. For purposes of this Exhibit C, the term “Claims” means any disputes, claims, demands, causes of action, requests for injunctive relief, requests for specific performance, liabilities, damages, losses, or controversies whatsoever arising from, related to, or connected with the transactions contemplated in the Transaction Documents and any communications between the parties related thereto, including without limitation any claims of mutual mistake, mistake, fraud, misrepresentation, failure of formation, failure of consideration, promissory estoppel, unconscionability, failure of condition precedent, rescission, and any statutory claims, tort claims, contract claims, or claims to void, invalidate or terminate the Agreement (or these Arbitration Provisions (defined below)) or any of the other Transaction Documents. The parties to this Agreement (the “parties”) hereby agree that the Claims may be arbitrated in one or more Arbitrations pursuant to these Arbitration Provisions (one for an injunction or injunctions and a separate one for all other Claims). The parties hereby agree that the arbitration provisions set forth in this Exhibit C (“Arbitration Provisions”) are binding on each of them. As a result, any attempt to rescind the Agreement (or these Arbitration Provisions) or declare the Agreement (or these Arbitration Provisions) or any other Transaction Document invalid or unenforceable for any reason is subject to these Arbitration Provisions. These Arbitration Provisions shall also survive any termination or expiration of the Agreement. Any capitalized term not defined in these Arbitration Provisions shall have the meaning set forth in the Agreement.
  
 2. Arbitration. Except as otherwise provided herein, all Claims must be submitted to arbitration (“Arbitration”) to be conducted exclusively in Salt Lake County, Utah and pursuant to the terms set forth in these Arbitration Provisions. Subject to the arbitration appeal right provided for in Paragraph 5 below (the “Appeal Right”), the parties agree that the award of the arbitrator rendered pursuant to Paragraph 4 below (the “Arbitration Award”) shall be (a) final and binding upon the parties, (b) the sole and exclusive remedy between them regarding any Claims, counterclaims, issues, or accountings presented or pleaded to the arbitrator, and (c) promptly payable in United States dollars free of any tax, deduction or offset (with respect to monetary awards). Subject to the Appeal Right, any costs or fees, including without limitation attorneys’ fees, incurred in connection with or incident to enforcing the Arbitration Award shall, to the maximum extent permitted by law, be charged against the party resisting such enforcement. The Arbitration Award shall include default interest (as defined or otherwise provided for in the Note, “Default Interest”) (with respect to monetary awards) at the rate specified in the Note for Default Interest both before and after the Arbitration Award. Judgment upon the Arbitration Award will be entered and enforced by any state or federal court sitting in Salt Lake County, Utah. 
  
 3. The Arbitration Act. The parties hereby incorporate herein the provisions and procedures set forth in the Utah Uniform Arbitration Act, U.C.A. § 78B-11-101 et seq. (as amended or superseded from time to time, the “Arbitration Act”). Notwithstanding the foregoing, pursuant to, and to the maximum extent permitted by, Section 105 of the Arbitration Act, in the event of conflict or variation between the terms of these Arbitration Provisions and the provisions of the Arbitration Act, the terms of these Arbitration Provisions shall control and the parties hereby waive or otherwise agree to vary the effect of all requirements of the Arbitration Act that may conflict with or vary from these Arbitration Provisions.
   
 4. Arbitration Proceedings. Arbitration between the parties will be subject to the following:
  
 4.1 Initiation of Arbitration. Pursuant to Section 110 of the Arbitration Act, the parties agree that a party may initiate Arbitration by giving written notice to the other party (“Arbitration Notice”) in the same manner that notice is permitted under Section 7.11 of the Agreement; provided, however, that the Arbitration Notice may not be given by email or fax. Arbitration will be deemed initiated as of the date that the Arbitration Notice is deemed delivered to such other party under Section 7.11 of the Agreement (the “Service Date”). After the Service Date, information may be delivered, and notices may be given, by email or fax pursuant to Section 7.11 of the Agreement or any other method permitted thereunder. The Arbitration Notice must describe the nature of the controversy, the remedies sought, and the election to commence Arbitration proceedings. All Claims in the Arbitration Notice must be pleaded consistent with the Utah Rules of Civil Procedure.
  
 	 
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 4.2 Selection and Payment of Arbitrator.
 (a) Within ten (10) calendar days after the Service Date, Investor shall select and submit to Company the names of three (3) arbitrators that are designated as “neutrals” or qualified arbitrators by Utah ADR Services (http://www.utahadrservices.com) (such three (3) designated persons hereunder are referred to herein as the “Proposed Arbitrators”). For the avoidance of doubt, each Proposed Arbitrator must be qualified as a “neutral” with Utah ADR Services. Within five (5) calendar days after Investor has submitted to Company the names of the Proposed Arbitrators, Company must select, by written notice to Investor, one (1) of the Proposed Arbitrators to act as the arbitrator for the parties under these Arbitration Provisions. If Company fails to select one of the Proposed Arbitrators in writing within such 5-day period, then Investor may select the arbitrator from the Proposed Arbitrators by providing written notice of such selection to Company. 
  
 (b) If Investor fails to submit to Company the Proposed Arbitrators within ten (10) calendar days after the Service Date pursuant to subparagraph (a) above, then Company may at any time prior to Investor so designating the Proposed Arbitrators, identify the names of three (3) arbitrators that are designated as “neutrals” or qualified arbitrators by Utah ADR Service by written notice to Investor. Investor may then, within five (5) calendar days after Company has submitted notice of its Proposed Arbitrators to Investor, select, by written notice to Company, one (1) of the Proposed Arbitrators to act as the arbitrator for the parties under these Arbitration Provisions. If Investor fails to select in writing and within such 5-day period one (1) of the three (3) Proposed Arbitrators selected by Company, then Company may select the arbitrator from its three (3) previously selected Proposed Arbitrators by providing written notice of such selection to Investor. 
  
 (c) If a Proposed Arbitrator chosen to serve as arbitrator declines or is otherwise unable to serve as arbitrator, then the party that selected such Proposed Arbitrator may select one (1) of the other three (3) Proposed Arbitrators within three (3) calendar days of the date the chosen Proposed Arbitrator declines or notifies the parties he or she is unable to serve as arbitrator. If all three (3) Proposed Arbitrators decline or are otherwise unable to serve as arbitrator, then the arbitrator selection process shall begin again in accordance with this Paragraph 4.2.
  
 (d) The date that the Proposed Arbitrator selected pursuant to this Paragraph 4.2 agrees in writing (including via email) delivered to both parties to serve as the arbitrator hereunder is referred to herein as the “Arbitration Commencement Date”. If an arbitrator resigns or is unable to act during the Arbitration, a replacement arbitrator shall be chosen in accordance with this Paragraph 4.2 to continue the Arbitration. If Utah ADR Services ceases to exist or to provide a list of neutrals and there is no successor thereto, then the arbitrator shall be selected under the then prevailing rules of the American Arbitration Association.
  
 (e) Subject to Paragraph 4.10 below, the cost of the arbitrator must be paid equally by both parties. Subject to Paragraph 4.10 below, if one party refuses or fails to pay its portion of the arbitrator fee, then the other party can advance such unpaid amount (subject to the accrual of Default Interest thereupon), with such amount being added to or subtracted from, as applicable, the Arbitration Award.
  
 4.3 Applicability of Certain Utah Rules. The parties agree that the Arbitration shall be conducted generally in accordance with the Utah Rules of Civil Procedure and the Utah Rules of Evidence. More specifically, the Utah Rules of Civil Procedure shall apply, without limitation, to the filing of any pleadings, motions or memoranda, the conducting of discovery, and the taking of any depositions. The Utah Rules of Evidence shall apply to any hearings, whether telephonic or in person, held by the arbitrator. Notwithstanding the foregoing, it is the parties’ intent that the incorporation of such rules will in no event supersede these Arbitration Provisions. In the event of any conflict between the Utah Rules of Civil Procedure or the Utah Rules of Evidence and these Arbitration Provisions, these Arbitration Provisions shall control.
  
 4.4 Answer and Default. An answer and any counterclaims to the Arbitration Notice shall be required to be delivered to the party initiating the Arbitration within twenty (20) calendar days after the Arbitration Commencement Date. If an answer is not delivered by the required deadline, the arbitrator must provide written notice to the defaulting party stating that the arbitrator will enter a default award against such party if such party does not file an answer within five (5) calendar days of receipt of such notice. If an answer is not filed within the five (5) day extension period, the arbitrator must render a default award, consistent with the relief requested in the Arbitration Notice, against a party that fails to submit an answer within such time period.
  
 4.5 Related Litigation. The party that delivers the Arbitration Notice to the other party shall have the option to also commence concurrent legal proceedings with any state or federal court sitting in Salt Lake County, Utah (“Litigation Proceedings”), subject to the following: (a) the complaint in the Litigation Proceedings is to be substantially similar to the claims set forth in the Arbitration Notice, provided that an additional cause of action to compel arbitration will also be included therein, (b) so long as the other party files an answer to the complaint in the Litigation Proceedings and an answer to the Arbitration Notice, the Litigation Proceedings will be stayed pending an Arbitration Award (or Appeal Panel Award (defined below), as applicable) hereunder, (c) if the other party fails to file an answer in the Litigation Proceedings or an answer in the Arbitration proceedings, then the party initiating Arbitration shall be entitled to a default judgment consistent with the relief requested, to be entered in the Litigation Proceedings, and (d) any legal or procedural issue arising under the Arbitration Act that requires a decision of a court of competent jurisdiction may be determined in the Litigation Proceedings. Any award of the arbitrator (or of the Appeal Panel (defined below)) may be entered in such Litigation Proceedings pursuant to the Arbitration Act.
  
 	 
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 4.6 Discovery. Pursuant to Section 118(8) of the Arbitration Act, the parties agree that discovery shall be conducted as follows:
  
 (a) Written discovery will only be allowed if the likely benefits of the proposed written discovery outweigh the burden or expense thereof, and the written discovery sought is likely to reveal information that will satisfy a specific element of a claim or defense already pleaded in the Arbitration. The party seeking written discovery shall always have the burden of showing that all of the standards and limitations set forth in these Arbitration Provisions are satisfied. The scope of discovery in the Arbitration proceedings shall also be limited as follows: 
  
 (i) To facts directly connected with the transactions contemplated by the Agreement.
  
 (ii) To facts and information that cannot be obtained from another source or in another manner that is more convenient, less burdensome or less expensive than in the manner requested.
  
 (b) No party shall be allowed (i) more than fifteen (15) interrogatories (including discrete subparts), (ii) more than fifteen (15) requests for admission (including discrete subparts), (iii) more than ten (10) document requests (including discrete subparts), or (iv) more than three (3) depositions (excluding expert depositions) for a maximum of seven (7) hours per deposition. The costs associated with depositions will be borne by the party taking the deposition. The party defending the deposition will submit a notice to the party taking the deposition of the estimated attorneys’ fees that such party expects to incur in connection with defending the deposition. If the party defending the deposition fails to submit an estimate of attorneys’ fees within five (5) calendar days of its receipt of a deposition notice, then such party shall be deemed to have waived its right to the estimated attorneys’ fees. The party taking the deposition must pay the party defending the deposition the estimated attorneys’ fees prior to taking the deposition, unless such obligation is deemed to be waived as set forth in the immediately preceding sentence. If the party taking the deposition believes that the estimated attorneys’ fees are unreasonable, such party may submit the issue to the arbitrator for a decision. All depositions will be taken in Utah. 
  
 (c) All discovery requests (including document production requests included in deposition notices) must be submitted in writing to the arbitrator and the other party. The party submitting the written discovery requests must include with such discovery requests a detailed explanation of how the proposed discovery requests satisfy the requirements of these Arbitration Provisions and the Utah Rules of Civil Procedure. The receiving party will then be allowed, within five (5) calendar days of receiving the proposed discovery requests, to submit to the arbitrator an estimate of the attorneys’ fees and costs associated with responding to such written discovery requests and a written challenge to each applicable discovery request. After receipt of an estimate of attorneys’ fees and costs and/or challenge(s) to one or more discovery requests, consistent with subparagraph (c) above, the arbitrator will within three (3) calendar days make a finding as to the likely attorneys’ fees and costs associated with responding to the discovery requests and issue an order that (i) requires the requesting party to prepay the attorneys’ fees and costs associated with responding to the discovery requests, and (ii) requires the responding party to respond to the discovery requests as limited by the arbitrator within twenty-five (25) calendar days of the arbitrator’s finding with respect to such discovery requests. If a party entitled to submit an estimate of attorneys’ fees and costs and/or a challenge to discovery requests fails to do so within such 5-day period, the arbitrator will make a finding that (A) there are no attorneys’ fees or costs associated with responding to such discovery requests, and (B) the responding party must respond to such discovery requests (as may be limited by the arbitrator) within twenty-five (25) calendar days of the arbitrator’s finding with respect to such discovery requests. Any party submitting any written discovery requests, including without limitation interrogatories, requests for production subpoenas to a party or a third party, or requests for admissions, must prepay the estimated attorneys’ fees and costs, before the responding party has any obligation to produce or respond to the same, unless such obligation is deemed waived as set forth above.
  
 	 
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 (d) In order to allow a written discovery request, the arbitrator must find that the discovery request satisfies the standards set forth in these Arbitration Provisions and the Utah Rules of Civil Procedure. The arbitrator must strictly enforce these standards. If a discovery request does not satisfy any of the standards set forth in these Arbitration Provisions or the Utah Rules of Civil Procedure, the arbitrator may modify such discovery request to satisfy the applicable standards, or strike such discovery request in whole or in part. 
  
 (e) Each party may submit expert reports (and rebuttals thereto), provided that such reports must be submitted within sixty (60) days of the Arbitration Commencement Date. Each party will be allowed a maximum of two (2) experts. Expert reports must contain the following: (i) a complete statement of all opinions the expert will offer at trial and the basis and reasons for them; (ii) the expert’s name and qualifications, including a list of all the expert’s publications within the preceding ten (10) years, and a list of any other cases in which the expert has testified at trial or in a deposition or prepared a report within the preceding ten (10) years; and (iii) the compensation to be paid for the expert’s report and testimony. The parties are entitled to depose any other party’s expert witness one (1) time for no more than four (4) hours. An expert may not testify in a party’s case-in-chief concerning any matter not fairly disclosed in the expert report.
  
 4.6 Dispositive Motions. Each party shall have the right to submit dispositive motions pursuant Rule 12 or Rule 56 of the Utah Rules of Civil Procedure (a “Dispositive Motion”). The party submitting the Dispositive Motion may, but is not required to, deliver to the arbitrator and to the other party a memorandum in support (the “Memorandum in Support”) of the Dispositive Motion. Within seven (7) calendar days of delivery of the Memorandum in Support, the other party shall deliver to the arbitrator and to the other party a memorandum in opposition to the Memorandum in Support (the “Memorandum in Opposition”). Within seven (7) calendar days of delivery of the Memorandum in Opposition, as applicable, the party that submitted the Memorandum in Support shall deliver to the arbitrator and to the other party a reply memorandum to the Memorandum in Opposition (“Reply Memorandum”). If the applicable party shall fail to deliver the Memorandum in Opposition as required above, or if the other party fails to deliver the Reply Memorandum as required above, then the applicable party shall lose its right to so deliver the same, and the Dispositive Motion shall proceed regardless.
  
 4.7 Confidentiality. All information disclosed by either party (or such party’s agents) during the Arbitration process (including without limitation information disclosed during the discovery process or any Appeal (defined below)) shall be considered confidential in nature. Each party agrees not to disclose any confidential information received from the other party (or its agents) during the Arbitration process (including without limitation during the discovery process or any Appeal) unless (a) prior to or after the time of disclosure such information becomes public knowledge or part of the public domain, not as a result of any inaction or action of the receiving party or its agents, (b) such information is required by a court order, subpoena or similar legal duress to be disclosed if such receiving party has notified the other party thereof in writing and given it a reasonable opportunity to obtain a protective order from a court of competent jurisdiction prior to disclosure, or (c) such information is disclosed to the receiving party’s agents, representatives and legal counsel on a need to know basis who each agree in writing not to disclose such information to any third party. Pursuant to Section 118(5) of the Arbitration Act, the arbitrator is hereby authorized and directed to issue a protective order to prevent the disclosure of privileged information and confidential information upon the written request of either party.
  
 4.8 Authorization; Timing; Scheduling Order. Subject to all other portions of these Arbitration Provisions, the parties hereby authorize and direct the arbitrator to take such actions and make such rulings as may be necessary to carry out the parties’ intent for the Arbitration proceedings to be efficient and expeditious. Pursuant to Section 120 of the Arbitration Act, the parties hereby agree that an Arbitration Award must be made within one hundred twenty (120) calendar days after the Arbitration Commencement Date. The arbitrator is hereby authorized and directed to hold a scheduling conference within ten (10) calendar days after the Arbitration Commencement Date in order to establish a scheduling order with various binding deadlines for discovery, expert testimony, and the submission of documents by the parties to enable the arbitrator to render a decision prior to the end of such 120-day period.
  
 4.9 Relief. The arbitrator shall have the right to award or include in the Arbitration Award (or in a preliminary ruling) any relief which the arbitrator deems proper under the circumstances, including, without limitation, specific performance and injunctive relief, provided that the arbitrator may not award exemplary or punitive damages.
  
 	 
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 4.10 Fees and Costs. As part of the Arbitration Award, the arbitrator is hereby directed to require the losing party (the party being awarded the least amount of money by the arbitrator, which, for the avoidance of doubt, shall be determined without regard to any statutory fines, penalties, fees, or other charges awarded to any party) to (a) pay the full amount of any unpaid costs and fees of the Arbitration, and (b) reimburse the prevailing party for all reasonable attorneys’ fees, arbitrator costs and fees, deposition costs, other discovery costs, and other expenses, costs or fees paid or otherwise incurred by the prevailing party in connection with the Arbitration.
  
 5. Arbitration Appeal. 
  
 5.1 Initiation of Appeal. Following the entry of the Arbitration Award, either party (the “Appellant”) shall have a period of thirty (30) calendar days in which to notify the other party (the “Appellee”), in writing, that the Appellant elects to appeal (the “Appeal”) the Arbitration Award (such notice, an “Appeal Notice”) to a panel of arbitrators as provided in Paragraph 5.2 below. The date the Appellant delivers an Appeal Notice to the Appellee is referred to herein as the “Appeal Date”. The Appeal Notice must be delivered to the Appellee in accordance with the provisions of Paragraph 4.1 above with respect to delivery of an Arbitration Notice. In addition, together with delivery of the Appeal Notice to the Appellee, the Appellant must also pay for (and provide proof of such payment to the Appellee together with delivery of the Appeal Notice) a bond in the amount of 110% of the sum the Appellant owes to the Appellee as a result of the Arbitration Award the Appellant is appealing. In the event an Appellant delivers an Appeal Notice to the Appellee (together with proof of payment of the applicable bond) in compliance with the provisions of this Paragraph 5.1, the Appeal will occur as a matter of right and, except as specifically set forth herein, will not be further conditioned. In the event a party does not deliver an Appeal Notice (along with proof of payment of the applicable bond) to the other party within the deadline prescribed in this Paragraph 5.1, such party shall lose its right to appeal the Arbitration Award. If no party delivers an Appeal Notice (along with proof of payment of the applicable bond) to the other party within the deadline described in this Paragraph 5.1, the Arbitration Award shall be final. The parties acknowledge and agree that any Appeal shall be deemed part of the parties’ agreement to arbitrate for purposes of these Arbitration Provisions and the Arbitration Act.
  
 5.2 Selection and Payment of Appeal Panel. In the event an Appellant delivers an Appeal Notice to the Appellee (together with proof of payment of the applicable bond) in compliance with the provisions of Paragraph 5.1 above, the Appeal will be heard by a three (3) person arbitration panel (the “Appeal Panel”).
   
 (a) Within ten (10) calendar days after the Appeal Date, the Appellee shall select and submit to the Appellant the names of five (5) arbitrators that are designated as “neutrals” or qualified arbitrators by Utah ADR Services (http://www.utahadrservices.com) (such five (5) designated persons hereunder are referred to herein as the “Proposed Appeal Arbitrators”). For the avoidance of doubt, each Proposed Appeal Arbitrator must be qualified as a “neutral” with Utah ADR Services, and shall not be the arbitrator who rendered the Arbitration Award being appealed (the “Original Arbitrator”). Within five (5) calendar days after the Appellee has submitted to the Appellant the names of the Proposed Appeal Arbitrators, the Appellant must select, by written notice to the Appellee, three (3) of the Proposed Appeal Arbitrators to act as the members of the Appeal Panel. If the Appellant fails to select three (3) of the Proposed Appeal Arbitrators in writing within such 5-day period, then the Appellee may select such three (3) arbitrators from the Proposed Appeal Arbitrators by providing written notice of such selection to the Appellant. 
  
 (b) If the Appellee fails to submit to the Appellant the names of the Proposed Appeal Arbitrators within ten (10) calendar days after the Appeal Date pursuant to subparagraph (a) above, then the Appellant may at any time prior to the Appellee so designating the Proposed Appeal Arbitrators, identify the names of five (5) arbitrators that are designated as “neutrals” or qualified arbitrators by Utah ADR Service (none of whom may be the Original Arbitrator) by written notice to the Appellee. The Appellee may then, within five (5) calendar days after the Appellant has submitted notice of its selected arbitrators to the Appellee, select, by written notice to the Appellant, three (3) of such selected arbitrators to serve on the Appeal Panel. If the Appellee fails to select in writing within such 5-day period three (3) of the arbitrators selected by the Appellant to serve as the members of the Appeal Panel, then the Appellant may select the three (3) members of the Appeal Panel from the Appellant’s list of five (5) arbitrators by providing written notice of such selection to the Appellee. 
  
 	 
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 (c) If a selected Proposed Appeal Arbitrator declines or is otherwise unable to serve, then the party that selected such Proposed Appeal Arbitrator may select one (1) of the other five (5) designated Proposed Appeal Arbitrators within three (3) calendar days of the date a chosen Proposed Appeal Arbitrator declines or notifies the parties he or she is unable to serve as an arbitrator. If at least three (3) of the five (5) designated Proposed Appeal Arbitrators decline or are otherwise unable to serve, then the Proposed Appeal Arbitrator selection process shall begin again in accordance with this Paragraph 5.2; provided, however, that any Proposed Appeal Arbitrators who have already agreed to serve shall remain on the Appeal Panel.
   
 (d) The date that all three (3) Proposed Appeal Arbitrators selected pursuant to this Paragraph 5.2 agree in writing (including via email) delivered to both the Appellant and the Appellee to serve as members of the Appeal Panel hereunder is referred to herein as the “Appeal Commencement Date”. No later than five (5) calendar days after the Appeal Commencement Date, the Appellee shall designate in writing (including via email) to the Appellant and the Appeal Panel the name of one (1) of the three (3) members of the Appeal Panel to serve as the lead arbitrator in the Appeal proceedings. Each member of the Appeal Panel shall be deemed an arbitrator for purposes of these Arbitration Provisions and the Arbitration Act, provided that, in conducting the Appeal, the Appeal Panel may only act or make determinations upon the approval or vote of no less than the majority vote of its members, as announced or communicated by the lead arbitrator on the Appeal Panel. If an arbitrator on the Appeal Panel ceases or is unable to act during the Appeal proceedings, a replacement arbitrator shall be chosen in accordance with Paragraph 5.2 above to continue the Appeal as a member of the Appeal Panel. If Utah ADR Services ceases to exist or to provide a list of neutrals, then the arbitrators for the Appeal Panel shall be selected under the then prevailing rules of the American Arbitration Association. 
  
 (d) Subject to Paragraph 5.7 below, the cost of the Appeal Panel must be paid entirely by the Appellant.
  
 5.3 Appeal Procedure. The Appeal will be deemed an appeal of the entire Arbitration Award. In conducting the Appeal, the Appeal Panel shall conduct a de novo review of all Claims described or otherwise set forth in the Arbitration Notice. Subject to the foregoing and all other provisions of this Paragraph 5, the Appeal Panel shall conduct the Appeal in a manner the Appeal Panel considers appropriate for a fair and expeditious disposition of the Appeal, may hold one or more hearings and permit oral argument, and may review all previous evidence and discovery, together with all briefs, pleadings and other documents filed with the Original Arbitrator (as well as any documents filed with the Appeal Panel pursuant to Paragraph 5.4(a) below). Notwithstanding the foregoing, in connection with the Appeal, the Appeal Panel shall not permit the parties to conduct any additional discovery or raise any new Claims to be arbitrated, shall not permit new witnesses or affidavits, and shall not base any of its findings or determinations on the Original Arbitrator’s findings or the Arbitration Award. 
  
 5.4 Timing. 
  
 (a) Within seven (7) calendar days of the Appeal Commencement Date, the Appellant (i) shall deliver or cause to be delivered to the Appeal Panel copies of the Appeal Notice, all discovery conducted in connection with the Arbitration, and all briefs, pleadings and other documents filed with the Original Arbitrator (which material Appellee shall have the right to review and supplement if necessary), and (ii) may, but is not required to, deliver to the Appeal Panel and to the Appellee a Memorandum in Support of the Appellant’s arguments concerning or position with respect to all Claims, counterclaims, issues, or accountings presented or pleaded in the Arbitration. Within seven (7) calendar days of the Appellant’s delivery of the Memorandum in Support, as applicable, the Appellee shall deliver to the Appeal Panel and to the Appellant a Memorandum in Opposition to the Memorandum in Support. Within seven (7) calendar days of the Appellee’s delivery of the Memorandum in Opposition, as applicable, the Appellant shall deliver to the Appeal Panel and to the Appellee a Reply Memorandum to the Memorandum in Opposition. If the Appellant shall fail to substantially comply with the requirements of clause (i) of this subparagraph (a), the Appellant shall lose its right to appeal the Arbitration Award, and the Arbitration Award shall be final. If the Appellee shall fail to deliver the Memorandum in Opposition as required above, or if the Appellant shall fail to deliver the Reply Memorandum as required above, then the Appellee or the Appellant, as the case may be, shall lose its right to so deliver the same, and the Appeal shall proceed regardless.
  
 (b) Subject to subparagraph (a) above, the parties hereby agree that the Appeal must be heard by the Appeal Panel within thirty (30) calendar days of the Appeal Commencement Date, and that the Appeal Panel must render its decision within thirty (30) calendar days after the Appeal is heard (and in no event later than sixty (60) calendar days after the Appeal Commencement Date).
  
 	 
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 5.5 Appeal Panel Award. The Appeal Panel shall issue its decision (the “Appeal Panel Award”) through the lead arbitrator on the Appeal Panel. Notwithstanding any other provision contained herein, the Appeal Panel Award shall (a) supersede in its entirety and make of no further force or effect the Arbitration Award (provided that any protective orders issued by the Original Arbitrator shall remain in full force and effect), (b) be final and binding upon the parties, with no further rights of appeal, (c) be the sole and exclusive remedy between the parties regarding any Claims, counterclaims, issues, or accountings presented or pleaded in the Arbitration, and (d) be promptly payable in United States dollars free of any tax, deduction or offset (with respect to monetary awards). Any costs or fees, including without limitation attorneys’ fees, incurred in connection with or incident to enforcing the Appeal Panel Award shall, to the maximum extent permitted by law, be charged against the party resisting such enforcement. The Appeal Panel Award shall include Default Interest (with respect to monetary awards) at the rate specified in the Note for Default Interest both before and after the Arbitration Award. Judgment upon the Appeal Panel Award will be entered and enforced by a state or federal court sitting in Salt Lake County, Utah. 
  
 5.6 Relief. The Appeal Panel shall have the right to award or include in the Appeal Panel Award any relief which the Appeal Panel deems proper under the circumstances, including, without limitation, specific performance and injunctive relief, provided that the Appeal Panel may not award exemplary or punitive damages. 
  
 5.7 Fees and Costs. As part of the Appeal Panel Award, the Appeal Panel is hereby directed to require the losing party (the party being awarded the least amount of money by the arbitrator, which, for the avoidance of doubt, shall be determined without regard to any statutory fines, penalties, fees, or other charges awarded to any party) to (a) pay the full amount of any unpaid costs and fees of the Arbitration and the Appeal Panel, and (b) reimburse the prevailing party (the party being awarded the most amount of money by the Appeal Panel, which, for the avoidance of doubt, shall be determined without regard to any statutory fines, penalties, fees, or other charges awarded to any part) the reasonable attorneys’ fees, arbitrator and Appeal Panel costs and fees, deposition costs, other discovery costs, and other expenses, costs or fees paid or otherwise incurred by the prevailing party in connection with the Arbitration (including without limitation in connection with the Appeal).
  
 6. Miscellaneous. 
  
 6.1 Severability. If any part of these Arbitration Provisions is found to violate or be illegal under applicable law, then such provision shall be modified to the minimum extent necessary to make such provision enforceable under applicable law, and the remainder of the Arbitration Provisions shall remain unaffected and in full force and effect.
  
 6.2 Governing Law. These Arbitration Provisions shall be governed by the laws of the State of Utah without regard to the conflict of laws principles therein. 
  
 6.3 Interpretation. The headings of these Arbitration Provisions are for convenience of reference only and shall not form part of, or affect the interpretation of, these Arbitration Provisions.
  
 6.4 Waiver. No waiver of any provision of these Arbitration Provisions shall be effective unless it is in the form of a writing signed by the party granting the waiver.
  
 6.5 Time is of the Essence. Time is expressly made of the essence with respect to each and every provision of these Arbitration Provisions. 
  
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 	Arbitration Provisions, Page 7

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