Document:

Exhibit
4.3

 

 DESCRIPTION
OF THE REGISTRANT’S SECURITIES

REGISTERED
PURSUANT TO SECTION 12 OF THE SECURITIES

EXCHANGE
ACT OF 1934, AS AMENDED

 

The
following summary of the material terms of our Class A common stock is not intended to be a complete summary of the rights and
preferences of such securities, and is qualified by reference to the Second Amended and Restated Certificate of Incorporation
(our “Certificate of Incorporation”) and the Amended and Restated Bylaws (our “Bylaws”), each of which
is an exhibit incorporated by reference into the Annual Report on Form 10-K of which this exhibit is a part. This summary is qualified
in its entirety to those documents.

 

Authorized
and Outstanding Stock

 

Our
Certificate of Incorporation authorizes the issuance of 111,000,000 shares of capital stock, $0.0001 par value per share, consisting
of (a) 110,000,000 shares of common stock, including 100,000,000 shares of Class A common stock and 10,000,000 shares of Class
F common stock, and (b) 1,000,000 shares of preferred stock (the “Preferred Stock”).

 

As
of March 5, 2021, there were approximately 32,873,457 shares of Class A common stock outstanding, and excludes, as of such date:

 

		●	6,948,178
                                         additional shares of Class A common stock reserved and available for future issuances
                                         under our equity compensation plans; 

 

		●	750,000
                                         additional shares of Class A common stock reserved for issuance pursuant to indemnification
                                         escrow obligations under the Business Combination Agreement (any unused portion of which
                                         reserved shares will be issued to Onyx Enterprises Canada Inc., Roman Gerashenko and
                                         Stanislav Royzenshteyn, according to their pro rata share of common stock of Onyx prior
                                         to the Closing, pursuant to the Business Combination Agreement);

 

		●	300,000
                                         additional shares of Class A common stock reserved for issuance pursuant to adjustment
                                         escrow obligations under the Business Combination Agreement (which, as of March 5, 2021,
                                         are in the process of being issued to Onyx Enterprises Canada Inc., Roman Gerashenko
                                         and Stanislav Royzenshteyn, according to their pro rata share of common stock of Onyx
                                         prior to the Closing, pursuant to the Business Combination Agreement); and

 

		●	1,502,129
                                         additional shares of Class A common stock that will be issued to Legacy Acquisition Sponsor
                                         I LLC (the “Sponsor”), should the price per share of Class A common stock
                                         exceed $15.00 for any thirty-day trading period during the 730 calendar days after the
                                         closing of the Business Combination.

 

As
of March 5, 2021, there were no shares of Class F common stock outstanding, and no shares of Preferred Stock outstanding.
The outstanding shares of common stock are duly authorized, validly issued, fully paid and non-assessable.

 

Class
A Common Stock

 

Voting
Power

 

Except
as otherwise required by law or as otherwise provided in any certificate of designation for any series of Preferred Stock, the
holders of Class A common stock possess all voting power for the election of our directors and all other matters requiring stockholder
action. Holders of Class A common stock and Class F common stock are entitled to one vote per share, voting together as a single
class, on matters to be voted on by stockholders.

 

Dividends

 

Subject
to the rights of holders of Preferred Stock, holders of Class A common stock will be entitled to receive such dividends, if any,
as may be declared from time to time by the Board in its discretion out of funds legally available therefor. We have not paid
any cash dividends on the Class A common stock to date. We may retain future earnings, if any, for future operations, expansion
and debt repayment and have no current plans to pay cash dividends for the foreseeable future. Any decision to declare and
pay dividends in the future will be made at the discretion of the board of directors (the “Board”) and will depend
on, among other things, our results of operations, financial condition, cash requirements, contractual restrictions and other
factors that the Board may deem relevant. In addition, our ability to pay dividends may be limited by covenants of any existing
and future outstanding indebtedness incurred.

 

     

     

    

 

Liquidation,
Dissolution and Winding Up

 

In
the event of our voluntary or involuntary liquidation, dissolution, distribution of assets or winding-up, the holders of the Class
A common stock, together with holders of Class F common stock, will be entitled to receive an amount of all of our assets of whatever
kind available for distribution to stockholders, after the rights of the holders of the preferred stock have been satisfied, ratably
in proportion to the number of shares of Class A common stock (on an as-converted basis with respect to the Class F common stock)
held.

 

Preemptive
or Other Rights

 

Our
stockholders have no preemptive or other subscription rights and there are no sinking fund, redemption provisions or
conversion provisions applicable to Class A common stock.

 

Class
A Common Stock as Potentially Limited by Issuance of Preferred Stock

 

The
Certificate of Incorporation provides that shares of Preferred Stock may be issued from time to time in one or more series. The
Board is authorized to fix the voting rights, if any, designations, powers and preferences, the relative, participating, optional
or other special rights, and any qualifications, limitations and restrictions thereof, applicable to the shares of each series
of Preferred Stock. The Board is able to, without stockholder approval, issue Preferred Stock with voting and other rights that
could adversely affect the voting power and other rights of the holders of the Class A common stock and could have anti-takeover
effects. The ability of our Board to issue Preferred Stock without stockholder approval could have the effect of delaying, deferring
or preventing a change of control of the Company or the removal of existing management.

 

Certain
Anti-Takeover Provisions of Delaware Law and our Certificate of Incorporation and Bylaws

 

We
are subject to the provisions of Section 203 of the DGCL regulating corporate takeovers. This statute prevents certain Delaware
corporations, under certain circumstances, from engaging in a “business combination” with:

 

	 	●	a
    stockholder who owns 15% or more of our outstanding voting stock (otherwise known as an “interested stockholder”);

 

	 	●	an
    affiliate of an interested stockholder; or

 

	 	●	an
    associate of an interested stockholder, for three years following the date that the stockholder became an interested stockholder.

 

A
“business combination” includes a merger or sale of more than 15% of our assets. However, the above provisions of
Section 203 do not apply if:

 

	 	●	our
    Board approves the transaction that made the stockholder an “interested stockholder,” prior to the date of the
    transaction;

 

	 	●	after
    the completion of the transaction that resulted in the stockholder becoming an interested stockholder, that stockholder owned
    at least 85% of our voting stock outstanding at the time the transaction commenced, other than statutorily excluded shares
    of common stock; or

 

	 	●	on
    or subsequent to the date of the transaction, the business combination is approved by our Board and authorized at a meeting
    of our stockholders, and not by written consent, by an affirmative vote of at least two-thirds of the outstanding voting
    stock not owned by the interested stockholder.

 

Our
authorized but unissued capital stock and Preferred Stock are available for future issuances without stockholder approval and
could be utilized for a variety of corporate purposes, including future offerings to raise additional capital, acquisitions and
employee benefit plans. The existence of authorized but unissued and unreserved capital stock could render more difficult or discourage
an attempt to obtain control of us by means of a proxy contest, tender offer, merger or otherwise.

 

    2

     

    

 

Exclusive
forum for certain lawsuits

 

Our
Certificate of Incorporation requires, to the fullest extent permitted by law, that derivative actions brought in our name, actions
against directors, officers and employees for breach of fiduciary duty and other similar actions may be brought only in the Court
of Chancery in the State of Delaware and, if brought outside of Delaware, the stockholder bringing such suit will be deemed to
have consented to service of process on such stockholder’s counsel. In addition, our Bylaws require that the federal district
courts of the United States shall be the sole and exclusive forum for the resolution of any complaint asserting a cause of action
arising under the Securities Act. Notwithstanding the foregoing, unless and until our Bylaws are amended in this respect, the
exclusive forum provision shall not apply to claims seeking to enforce any liability or duty created by the Exchange Act. Any
person or entity purchasing or otherwise acquiring any interest in our shares of common stock shall be deemed to have notice of
and to have consented to these provisions of our Certificate of Incorporation and Bylaws. In addition, Section 22 of the Securities
Act provides that federal and state courts have concurrent jurisdiction over lawsuits brought to enforce any duty or liability
created by the Securities Act or the rules and regulations thereunder. To the extent the exclusive forum provision restricts the
courts in which claims arising under the Securities Act may be brought, there is uncertainty as to whether a court would enforce
such a provision. We note that investors cannot waive compliance with the federal securities laws and the rules and regulations
thereunder. Although we believe this provision benefits us by providing increased consistency in the application of Delaware law
in the types of lawsuits to which it applies, the provision may have the effect of discouraging lawsuits against our directors
and officers.

 

Special
meetings of stockholders

 

Our
Bylaws provide that special meetings of our stockholders may be called only by a majority vote of our Board, by our Chief Executive
Officer or by our Chairman of the Board.

 

Advance
notice requirements for stockholder proposals and director nominations

 

Our
Bylaws provide that stockholders seeking to bring business before our annual meeting of stockholders, or to nominate candidates
for election as directors at our annual meeting of stockholders must provide timely notice of their intent in writing. To be timely,
a stockholder’s notice will need to be received by the Company secretary at our principal executive offices not later than
the close of business on the 90th day nor earlier than the opening of business on the 120th day
prior to the anniversary of the immediately preceding annual meeting of stockholders. Pursuant to Rule 14a-8 of the Securities
Act, proposals seeking inclusion in our annual proxy statement must comply with the notice periods contained therein. Our Bylaws
also specify certain requirements as to the form and content of a stockholders’ meeting. These provisions may preclude our
stockholders from bringing matters before our annual meeting of stockholders or from making nominations for directors at our annual
meeting of stockholders.

 

No
action by written consent

 

Our
Certificate of Incorporation provides that any action required or permitted to be taken by our stockholders must be effected by
a duly called annual or special meeting of such stockholders and may not be effected by written consent of the stockholders.

 

Classified
Board of Directors

 

Our
Certificate of Incorporation provides that our Board is divided into two classes, Class I and Class II, with members of each class
serving staggered two-year terms and that the authorized number of directors may be changed only by resolution of the Board.
As a result, in most circumstances, a person can gain control of our Board only by successfully engaging in a proxy contest at
two or more annual meetings.

 

There
is no cumulative voting with respect to the election of directors, with the result that the holders of more than 50% of the
shares voted for the election of directors can elect all of the directors within the class of directors up for election.

 

Subject
to the terms of any Preferred Stock, any or all of the directors may be removed from office at any time, but only for cause and
only by the affirmative vote of holders of a majority of the voting power of all then outstanding shares of our capital stock
entitled to vote generally in the election of directors, voting together as a single class. Any vacancy on our Board, including
a vacancy resulting from an enlargement of our Board, may be filled only by vote of a majority of our directors then in office.

 

    3

     

    

 

Our
Transfer Agent

 

The
transfer agent for our common stock is Continental Stock Transfer & Trust Company. We have agreed to indemnify Continental
Stock Transfer & Trust Company in its role as transfer agent, its agents and each of its stockholders, directors, officers
and employees against all liabilities, including judgments, costs and reasonable counsel fees that may arise out of acts performed
or omitted for its activities in that capacity, except for any liability due to any gross negligence, willful misconduct or bad
faith of the indemnified person or entity.

 

Rule
144

 

Pursuant
to Rule 144, a person who has beneficially owned restricted shares of our common stock for at least six months would be entitled
to sell their securities provided that (i) such person is not deemed to have been one of our affiliates at the time of, or at
any time during the three months preceding, a sale and (ii) we are subject to the Exchange Act periodic reporting requirements
for at least three months before the sale and have filed all required reports under Section 13 or 15(d) of the Exchange Act during
the 12 months (or such shorter period as we were required to file reports) preceding the sale.

 

Persons
who have beneficially owned restricted shares of our common stock for at least six months but who are our affiliates at the time
of, or at any time during the three months preceding, a sale, would be subject to additional restrictions, by which such person
would be entitled to sell within any three-month period only a number of securities that does not exceed the greater of:

 

	 	●	1%
    of the total number of shares of common stock then outstanding; or

 

	 	●	the
    average weekly reported trading volume of the common stock during the four calendar weeks preceding the filing of a notice
    on Form 144 with respect to the sale.

 

Sales
by our affiliates under Rule 144 are also limited by manner of sale provisions and notice requirements and to the availability
of current public information about us.

 

Restrictions
on the Use of Rule 144 by Shell Companies or Former Shell Companies

 

Rule
144 is not available for the resale of securities initially issued by shell companies (other than business combination related
shell companies) or issuers that have been at any time previously a shell company. However, Rule 144 also includes an important
exception to this prohibition if the following conditions are met:

 

	 	●	the
    issuer of the securities that was formerly a shell company has ceased to be a shell company;

 

	 	●	the
    issuer of the securities is subject to the reporting requirements of Section 13 or 15(d) of the Exchange Act;

 

	 	●	the
    issuer of the securities has filed all Exchange Act reports and material required to be filed, as applicable, during the preceding
    12 months (or such shorter period that the issuer was required to file such reports and materials), other than Form 8-K reports;
    and

 

	 	●	at
    least one year has elapsed from the time that the issuer filed current Form 10 type information with the SEC reflecting its
    status as an entity that is not a shell company.

 

Following
the closing of the Business Combination, we were no longer a shell company, and so, once the conditions set forth in the
exceptions listed above are satisfied, Rule 144 will become available for the resale of applicable restricted securities.

 

    4

     

    

 

Lock-Up
Restrictions

 

Registration
Rights Agreement

 

The
Registration Rights Agreement, dated as of November 20, 2020, includes a lock-up period which provides that certain stockholders
party thereto shall not transfer any shares of Class A common stock issued to such stockholders as part of the closing share consideration
that may have been issued to such stockholders prior to the earlier of (i) the first anniversary of the closing of the Business
Combination, (ii) the date, following the 180th day after the date of the closing, on which the volume weighted
average per share price (“VWAP”) of common stock equals or exceeds $15.00 per share (as adjusted for stock splits,
stock dividends, reorganizations, recapitalizations and the like), (iii) the date, following the 270th day after
the closing, on which the VWAP of common stock equals or exceeds $13.00 per share (as adjusted for stock splits, stock dividends,
reorganizations, recapitalizations and the like), or (iv) the Company’s completion of a liquidation, merger, stock
exchange or other similar transaction that results in all of the Onyx stockholders having the right to exchange their shares of
common stock for cash, securities or other property.

 

Sponsor
Lock-Up Agreement

 

Concurrently
with the execution of the Business Combination Agreement, our Sponsor and Legacy entered into the Amended and Restated Lock-up
Agreement (the “Sponsor Lock-up Agreement”). Pursuant to the Sponsor Lock-up Agreement, the Sponsor agreed not to
sell, or otherwise transfer its rights to, its shares of Class A common stock during the period commencing on the closing of the
Business Combination and ending upon the earlier of (i) the first anniversary of the closing, (ii) the date, following
the 180th day after the date of the closing, on which the VWAP of common stock equals or exceeds $15.00 per share (as
adjusted for stock splits, stock dividends, reorganizations, recapitalizations and the like), (iii) the date, following the
270th day after the closing, on which the VWAP of common stock equals or exceeds $13.00 per share (as adjusted for
stock splits, stock dividends, reorganizations, recapitalizations and the like), or (iv) the Company’s completion of
a liquidation, merger, stock exchange or other similar transaction that results in all of the Company’s stockholders having
the right to exchange their shares of common stock for cash, securities or other property.

 

    5Exhibit
10.26

 

PARTS
ID, INC.

NON-EMPLOYEE
DIRECTOR COMPENSATION POLICY

 

Adopted:
January 29, 2021

 

Annual
Equity Awards: Each non-employee director of PARTS iD, Inc. (the “Company”) will receive an annual
restricted stock unit (“RSU”) grant on the date of each annual meeting of stockholders at which the director
is elected to the board or continues to serve as a director, the number of RSUs calculated by dividing $50,000 by the closing
sale price for a share of the Company’s common stock on the Company’s principal stock exchange on the date of grant.
Each grant will vest in full on the earlier of one year after the date of grant or the date of the next year’s annual meeting
of stockholders, provided the director remains a member of the board as of the vesting date.  RSUs will settle in shares
as soon as practicable after vesting, and in no event later than March 15 of the calendar year following the date of vesting.

 

Annual
Retainers: Each non-employee director of the Company will receive the following annual retainers, as applicable, payable
in quarterly installments, in advance, on the first business day of each calendar quarter:

 

		●	an
                                         annual retainer of $35,000;

 

		●	committee
                                         chair annual fees as follows:

 

	Committee Chair	 	Annual Cash Fee	 
	Audit	 	$	22,500	 
	Compensation	 	$	15,000	 
	Nominating and Corporate Governance	 	$	15,000	 
	Strategy, Technology and Risk Management	 	$	12,500	 

  

		●	committee
                                         membership annual fees (including the chair) as follows:

 

	Committee Members	 	Annual Cash Fee	 
	Audit	 	$	5,000	 
	Compensation	 	$	5,000	 
	Nominating and Corporate Governance	 	$	3,000	 
	Strategy, Technology and Risk Management	 	$	3,000	 

 

		●	the
                                         chair of the Company’s board of directors will receive an additional annual fee
                                         of $35,000.

 

Meeting
Fees: Unless a committee or the board of directors has more than six meetings per calendar year, there will be no meeting
fees.  If there are more than six meetings in one calendar year for an individual committee or the board, additional compensation
will be reviewed by the Compensation Committee at that time.

 

Reimbursement
of Expenses: The Company will reimburse a director’s reasonable expenses in connection with attending board and
committee meetings.

 

For
directors joining the Company during a period between annual meetings, all amounts will be prorated based on the percentage of
the year since the most recent annual meeting of stockholders.

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