Document:

Exhibit 10.7

 

DIRECTOR NOMINATION AGREEMENT

 

THIS DIRECTOR NOMINATION
AGREEMENT (this “Agreement”) is made and entered into as of December 16, 2020 (the “Effective
Time”), by and between Skillz Inc., a Delaware corporation (f/k/a Flying Eagle Acquisition Corp.) (the “Company”),
and Eagle Equity Partners II, LLC, a Delaware limited liability company (the “Sponsor”). Capitalized
terms used but not otherwise defined in this Agreement have the respective meanings given to them in the Merger Agreement (as defined
below).

 

WHEREAS, the Company
and certain of its affiliates have consummated the business combination and the other transactions (collectively, the “Transactions”)
contemplated by the Agreement and Plan of Merger, dated as of September 1, 2020, by and among the Company, FEAC Merger Sub Inc.,
a Delaware corporation, Skillz Inc., a Delaware corporation, and Andrew Paradise solely in his capacity as the Stockholder Representative
thereunder;

 

WHEREAS, in its capacity
as the sponsor of the special purpose acquisition company that was the predecessor to the Company, the Sponsor desires that, after
giving effect to the Transactions, it will continue to have representation on the Board so as to continue to create value for its
direct and indirect equityholders (collectively with the Sponsor, the “Sponsor Parties”) and for the
other direct and indirect equityholders of the Company; and

 

WHEREAS, in furtherance
of the foregoing, the Sponsor desires to have certain director nomination rights with respect to the Company, and the Company desires
to provide the Sponsor, on behalf of the Sponsor Parties, with such rights, in each case, on the terms and conditions set forth
herein.

 

NOW, THEREFORE, in
consideration of the mutual covenants contained herein and other good and valuable consideration, the receipt and sufficient of
which are hereby acknowledged, each of the parties to this Agreement agrees as follows:

 

ARTICLE
I

NOMINATION RIGHT

 

Section 1.1              
Board Nomination Right.

 

(a)            
From the Effective Time until the termination of this Agreement in accordance with Section 2.1, at every meeting
of the board of directors of the Company (the “Board”), or a committee thereof, or action by written
consent, at or by which directors of the Company are appointed by the Board or are nominated to stand for election and elected
by stockholders of the Company, the Sponsor shall have the right to appoint or nominate for election to the Board, as applicable,
one (1) individual, to serve as director of the Company (the individual appointed or nominated by the Sponsor for election to the
Board pursuant to this Section 1.1(a), a “Nominee”); provided, that such representative
shall be reasonably acceptable to the Founder. At the Effective Time, unless otherwise designated by the Sponsor, the Nominee shall
be Harry Sloan, who the Founder has confirmed as being reasonably acceptable to the Founder.

 

(b)             The
Company shall take all necessary actions within its control, including but not limited to calling a meeting of the Board or
executing an action by unanimous written consent of the Board, such that, as of the Effective Time, the Nominee shall either
be elected by the Company’s stockholders at the meeting held to approve the Transactions or appointed to the Board as
of the Effective Time as a director of the Company.

 

     

     

    

 

(c)            
From and after the Effective Time, the Company shall take all actions necessary (including, without limitation, calling
special meetings of the Board and the stockholders of the Company and recommending, supporting and soliciting proxies) to ensure
that: (i) the Nominee is included in the Board’s slate of nominees to the stockholders of the Company for the election of
directors of the Company and recommended by the Board at any meeting of stockholders called for the purpose of electing directors
of the Company; and (ii) the Nominee, if up for election, is included in the proxy statement prepared by management of the
Company in connection with the Company’s solicitation of proxies or consents in favor of the foregoing for every meeting
of the stockholders of the Company called with respect to the election of members of the Board, and at every adjournment or postponement
thereof, and on every action or approval by written resolution of the stockholders of the Company or the Board with respect to
the election of directors of the Company .

 

(d)            
If the Nominee ceases to serve for any reason, the Sponsor shall be entitled to designate and appoint or nominate such person’s
successor in accordance with this Agreement and the Board shall promptly fill the vacancy with such successor Nominee; provided,
that such successor shall be reasonably acceptable to the Founder.

 

(e)             
Notwithstanding any of this Section 1.1 to the contrary, the election or appointment of the Nominee to the Board
shall be subject to the prior execution by the Nominee of an irrevocable resignation letter in the form attached hereto as Exhibit
A.

 

(f)             
The Company shall indemnify the Nominee on the same basis as all other members of the Board and pursuant to an indemnity
agreement with terms that are no less favorable to the Nominee than the indemnity agreements entered into between the Company and
its other non-employee directors.

 

(g)            
The Nominee shall be entitled to compensation (including equity awards) that is consistent with the compensation received
by other non-employee directors of the Company. In addition, the Company shall pay the reasonable, documented, out-of-pocket expenses
incurred by the Nominee in connection with his or her services provided to or on behalf of the Company and its Subsidiaries, including
attending Board and committee meetings or events attended on behalf of the Company or at the Company’s request.

 

(h)             Notwithstanding
the provisions of this Section 1.1, the Sponsor shall not be entitled to designate a Person as a nominee to the
Board upon a written determination by the Board or relevant committee thereof that the Person would not be qualified under
any applicable law, rule or regulation to serve as a director of the Company. In such an event, the Sponsor shall be entitled
to select a Person as a replacement Nominee and the Company shall take all necessary actions within its control to
cause that Person to be nominated as a Nominee, including, without limitation, taking such necessary actions to cause that
Person to be nominated as a Nominee at the same meeting (or, if permitted, pursuant to the same action by written consent of
the stockholders) as the initial Person was to be nominated; provided, than any such replacement Nominee shall
be reasonably acceptable to the Founder.

 

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ARTICLE
II

miscellaneous

 

Section 2.1           
Termination. This Agreement
shall terminate automatically and become void and of no further force or effect, without any notice or other action by any Person,
as of the fifteen (15)-month anniversary of the Effective Time.

 

Section 2.2           
Notices. All notices, requests
and other communications to the Company hereunder shall be in writing (including electronic transmission) and shall be given in
accordance with the provisions of the Merger Agreement. All notices, requests and other communications to the Sponsor hereunder
shall be in writing (including electronic transmission) to the following address and shall be given in accordance with the provisions
of the Merger Agreement:

 

If to Sponsor,
to:

 

2121 Avenue of the Stars, Suite
2300

Los Angeles, CA 90067

Attention: Eli Baker

E-mail: elibaker@geacq.com

 

Section 2.3           
 Severability. If any term
or other provision of this Agreement is invalid, illegal or incapable of being enforced by any rule of law or public policy, all
other terms, conditions and provisions of this Agreement shall nevertheless remain in full force and effect so long as the economic
or legal substance of the transactions contemplated by this Agreement is not affected in any manner materially adverse to any party
hereto. Upon such determination that any term or other provision is invalid, illegal or incapable of being enforced, the parties
hereto shall negotiate in good faith to modify this Agreement so as to effect the original intent of the parties hereto as closely
as possible in a mutually acceptable manner in order that the Transactions contemplated by this Agreement be consummated as originally
contemplated to the fullest extent possible.

 

Section 2.4           
Binding Effect; Assignment.
This Agreement and all of the provisions hereof shall be binding upon and shall inure to the benefit of the parties hereto and
their respective successors and permitted assigns. Neither this Agreement nor any of the rights, interests or obligations hereunder
shall be assigned, directly or indirectly, including by operation of law, by any party hereto without the prior written consent
of the other party hereto, except notwithstanding any of the foregoing, the Sponsor may, in connection with a transfer of shares
of the Company’s common stock to one of its Affiliates, assign its rights and obligations hereunder to such Affiliate transferee,
in which case the prior consent of the Company shall not be required.

 

Section 2.5           
No Third Party Beneficiaries.
This Agreement is exclusively for the benefit of the parties hereto, and their respective successors and permitted assigns, and
this Agreement shall not be deemed to confer upon or give to any other third party any remedy, claim, liability, reimbursement,
cause of action or other right by virtue of any applicable law in any jurisdiction to enforce any of the terms to this Agreement.

 

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Section 2.6           
Entire Agreement. This Agreement constitutes the entire agreement among the parties with respect to the subject
matter of this Agreement and supersede all other prior agreements and understandings, both written and oral, between the parties
with respect to the subject matter of this Agreement. Each party hereto acknowledges and agrees that, in entering into this Agreement,
such party has not relied on any promises or assurances, written or oral, that are not reflected in this Agreement.

 

Section 2.7           
Governing Law. This Agreement,
and all claims or causes of action based upon, arising out of, or related to this 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.

 

Section 2.8           
Jurisdiction; WAIVER OF TRIAL BY JURY.
Any Action based upon, arising out of or related to this 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 Agreement or the transactions contemplated hereby in any other court. Nothing
herein contained shall be deemed to affect the right of any party hereto to serve process in any manner permitted by Law or to
commence legal proceedings or otherwise proceed against the other party hereto in any other jurisdiction, in each case, to enforce
judgments obtained in any Action brought pursuant to this Section 2.8. 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 AGREEMENT OR THE SUBJECT MATTER
HEREOF.

 

Section 2.9           
Specific Performance. The parties
hereto acknowledge that the rights of each party hereto to consummate the transactions contemplated hereby are unique and recognize
and affirm that in the event of a breach of this Agreement by any party hereto, money damages may be inadequate and such non-breaching
party may have no adequate remedy at law. Accordingly, the parties hereto agree that such non-breaching party shall have the right
to enforce its rights and the other party’s obligations hereunder by an action or actions for specific performance and/or
injunctive relief (without posting of bond or other security), including any order, injunction or decree sought by such non-breaching
party to cause the other party to perform its/their respective agreements and covenants contained in this Agreement and to cure
breaches of this Agreement, without the necessity of proving actual harm and/or damages or posting a bond or other security therefore.
Each party hereto further agrees that the only permitted objection that it may raise in response to any action for any such equitable
relief is that it contests the existence of a breach or threatened breach of this Agreement.

 

Section 2.10         
Counterparts. This Agreement
may be executed in counterparts, each of which shall be deemed to be an original, but all of which taken together shall constitute
one and the same agreement. Delivery of an executed counterpart of a signature page to this Agreement by facsimile or e-mail shall
be as effective as delivery of a manually executed counterpart of the Agreement.

 

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Section 2.11       
Amendment. This Agreement may be amended, modified or supplemented at any time only by the written consent of all
of the parties hereto, and any amendment, modification or supplement so effected shall be binding on all of the parties.

 

Section 2.12       
Rights Cumulative. Except as
otherwise expressly limited by this Agreement, all rights and remedies of each of the parties hereto under this Agreement will
be cumulative, and the exercise of one or more rights or remedies will not preclude the exercise of any other right or remedy available
under this Agreement or law.

 

Section 2.13       
Further Assurances. Each of
the parties hereto shall execute and deliver such further instruments and do such further acts and things as may be required to
carry out the intent and purpose of this Agreement.

 

Section 2.14       
Enforcement. Each of the parties
hereto covenants and agrees that the disinterested members of the Board have the right to enforce, waive or take any other action
with respect to this Agreement on behalf of the Company.

 

Section 2.15       
Headings. The headings herein
are for convenience only, do not constitute a part of this Agreement and shall not be deemed to limit or affect any of the provisions
hereof.

 

[Signature Page Follows.]

 

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IN WITNESS WHEREOF,
the parties hereto have caused this Agreement to be duly executed as a deed as of the date first written above.

 

	 	SKILLZ
    INC.
	 	 
	 	By:	/s/ Andrew Paradise
	 	Name:
    Andrew Paradise
	 	Title:
    Chief Executive Officer
	 	 
	 	EAGLE
    EQUITY PARTNERS II, LLC
	 	 
	 	By:	/s/ Eli Baker
	 	Name: Eli Baker
	 	Title: Managing Member

 

[Signature Page to Director Nomination
Agreement]

 

    

     

    

 

Exhibit A

 

FORM OF IRREVOCABLE RESIGNATION 

 

[__], 2020

 

SKILLZ INC.

[ADDRESS]

 

ATTENTION: SECRETARY 

 

Re: Resignation

 

Ladies and Gentlemen:

 

This irrevocable resignation is delivered
pursuant to Section 1.1(e) of the Director Nomination Agreement, dated as of [__], 2020 (the “Agreement”),
by and between Skillz Inc., a Delaware corporation (f/k/a Flying Eagle Acquisition Corp.) (the “Company”)
and the Sponsor (as defined in the Agreement). If, following such time that the Agreement is terminated in accordance with its
terms, the Board (as such term is defined in the Agreement) requests in writing that I resign as a director of the Company, I hereby
tender the immediate resignation of my position as a director of the Company and from any and all committees of the Board on which
I serve, such resignation effective as of the time of the Board’s such written request.

 

This resignation may not be withdrawn by me at any time.

 

Sincerely,

 

___________________

[Applicable Nominee]Exhibit 10.8

 

NOTE CANCELLATION AGREEMENT

 

This Note Cancellation
Agreement (“Agreement”), dated as of December 16, 2020, is made and entered into by and between
Skillz Inc., a Delaware corporation (the “Company”), and Andrew Paradise (the “Borrower”)
shall be effective upon the consummation of the Transaction (as defined below). Capitalized terms used but not defined herein shall
have the respective meanings ascribed to such terms in the Merger Agreement (as defined below).

 

WHEREAS, reference
is made to (i) that certain Promissory Note, dated as of April 30, 2019, in the principal amount of $3,841,17.76, issued to the
Company by the Borrower and (ii) that certain Promissory Note, dated as of May 14, 2020, in the principal amount of $11,420,600.48,
issued to the Company by the Borrower (together, the “Notes”);

 

WHEREAS, reference
is made to that certain Agreement and Plan of Merger, dated as of September 1, 2020 (the “Merger Agreement”),
by and between the Company, Flying Eagle Acquisition Corp., a Delaware corporation (“Acquiror”), FEAC
Merger Sub Inc., a Delaware corporation and wholly-owned subsidiary of Acquiror (“Merger Sub”), and Andrew
Paradise, solely in his capacity as the Stockholder Representative thereunder, pursuant to which, among other things, Merger Sub
will merge with and into the Company with the Company surviving the merger as a wholly-owned subsidiary of Acquiror (the “Transaction”);

 

WHEREAS, in
connection with and upon the consummation of the Transaction, Borrower will be entitled to receive shares of Acquiror Common Stock;

 

WHEREAS, in
connection with and immediately prior to the consummation of the Transaction, Borrower desires to pay off all liabilities under
the Notes by surrendering and forfeiting a number of shares of Company Common Stock which othertise represents Borrower’s
right to receive a number of shares of Acquiror Common Stock he would otherwise be entitled to receive upon the consummation of
the Transaction;

 

NOW, THEREFORE,
in consideration of the foregoing and of the agreements set forth herein, the parties hereby agree as follows:

 

1.                 
In connection with and immediately prior to the consummation of the Transaction, the Borrower agrees to surrender, forfeit
and relinquish a number of shares of Company Common Stock which would otherwise represent the right to receive a number of shares
of Acquiror Common Stock determined in accordance with the formula set forth on Exhibit A (the “Surrendered
Shares” and such surrender, the “Surrender”).

 

2.                 
Borrower hereby grants to the Company, the Acquiror and any representative of the Company or Acquiror without further action
by the Borrower a limited irrevocable power of attorney solely to effect the Surrender of the Surrendered Shares on behalf of the
Borrower, which power of attorney shall be deemed to be coupled with an interest.

 

3.                 
Borrower hereby agrees to execute such further documents, and perform such further acts, as may be reasonably necessary
or appropriate to give full effect to the Surrender.

 

     

     

    

  

4.                 
 Upon the effectiveness of the Surrender, the Company and the Borrower agree that the Notes shall be terminated, and neither
party will have any further rights or obligations thereunder.

 

5.                 
This Agreement will be governed by and construed in accordance with, the laws of the State of California, regardless of
the laws that might otherwise under principles of conflict of laws thereof. This Agreement may be executed in any number of counterparts,
each of which is deemed to be an original, but all of which together constitute one and the same instrument.

 

[Signature Page Follows]

 

     

     

    

  

IN WITNESS WHEREOF, the parties have
executed this Agreement as of the date first above written.

 

	 	COMPANY:
	 	 	 
	 	SKILLZ INC.
	 	 	 
	 	By: 	/s/ Casey Chafkin
	 	Name: 	Casey Chafkin
	 	Title: 	Chief Revenue Officer
	 	 	 
	 	BORROWER:
	 	 	 
	 	/s/ Andrew Paradise
	 	ANDREW PARADISE

 

[Signature Page to Note Cancellation Agreement]

 

     

     

    

 

EXHIBIT A

 

 

Surrendered Shares = (Payoff Amount ÷
Closing Price) ÷ Exchange Ratio

 

“Closing Price” means the closing price of the Acquiror
Common Stock on the trading day immediately prior to the Closing Date.

 

“Exchange Ratio” has the meaning ascribed to it
in the Merger Agreement (which shall be determined after taking into account the Surrendered Shares)

 

“Payoff Amount” means all outstanding and unpaid
principal and interest under the Notes.

 

The number of Surrendered Shares determined in accordance
with the formula above shall be rounded up to the nearest whole share. 

 

The Acquiror shall provide the Borrower with a calculation
of the Surrendered Shares promptly following the Closing and the Borrower shall have the opportunity to object to such calculation
The resolution of any dispute between the Borrower and the Acquiror regarding the number of Surrendered Shares shall be subject
to approval of the Compensation Committee of the Acquiror.

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