Document:

Exhibit 4.1

    

    

    DESCRIPTION OF THE COMPANY’S SECURITIES

    REGISTERED PURSUANT TO SECTION 12 OF THE

    SECURITIES EXCHANGE ACT OF 1934

    The common stock of First Busey Corporation (the “Company,” which is also referred to herein as
      “we,” “our” or “us”) is registered pursuant to Section 12 of the Securities Exchange Act of 1934, as amended.  The following description of the material terms of the Company’s common stock is only a summary. This summary does not purport to be a
      complete description of the terms and conditions of the Company’s common stock and is subject to and qualified in its entirety by reference to the Company’s Amended and Restated Articles of Incorporation, as amended, which we refer to as the
      “Articles of Incorporation” and the Company’s Amended and Restated By-laws, which we refer to as the “Bylaws,” as well as the Nevada General Corporation Law, which we refer to as the “NGCL,” and any other documents referenced in the summary and from
      which the summary is derived.

    Description

    General.  Under our Articles of Incorporation, we have the authority to issue 100,000,000 shares of our common stock, par value $0.001 per share, and 1,000,000 shares of preferred stock, par value $0.001 per share.  Our common stock is listed for trading on the NASDAQ Global Select Market under the symbol “BUSE.”  Each share of our common stock has the same relative rights and is identical in all respects
        to every other share of our common stock.  Our shares of common stock are neither redeemable nor convertible, and the holders thereof have no preemptive or subscription rights to purchase any of our securities.

    Voting
        Rights.  Each outstanding share of our common stock is entitled to one vote on all matters submitted to a vote of stockholders.  There is
      no cumulative voting in the election of directors.

    Liquidation
        Rights.  Upon our liquidation, dissolution or winding up, the holders of our common stock are entitled to receive, pro rata, our assets which are legally available for distribution, after payment of all debts and other liabilities and subject to the prior rights of
      any holders of preferred stock then outstanding.

    Dividends
        Payable on Shares of Common Stock.  In general, the holders of outstanding shares of our common stock are entitled to receive dividends out of assets legally available therefor at such times and in such amounts as
        our board of directors may from time to time determine.  The ability of our board of directors to declare and pay dividends on our common stock may be affected by both general corporate law considerations and policies of the Board of Governors of
        the Federal Reserve, which we refer to herein as the Federal Reserve, applicable to bank holding companies.  As a Nevada corporation, we are subject to the limitations of Nevada law, which allows us to pay dividends unless, after such
      dividend, we would not be able to pay our debts as they become due in the usual course of business or our total assets would be less than the sum of our total liabilities plus any amount that would be needed if we were to be dissolved at the time of
      the dividend payment to satisfy the preferential rights of stockholders whose preferential rights are superior to those receiving the dividend.  As a bank holding
      company, our ability to declare and pay dividends is subject to the guidelines of the Federal Reserve regarding capital adequacy and dividends.  The Federal Reserve guidelines generally require us to review the effects of the cash payment of
      dividends on our common stock and other Tier 1 capital instruments (i.e., perpetual preferred stock and trust preferred securities) in light of
      our earnings, capital adequacy and financial condition.  As a general matter, the Federal Reserve indicates that the board of directors of a bank holding company should eliminate, defer or significantly reduce the dividends if:  (i) the company’s net
      income available to stockholders for the past four quarters, net of dividends previously paid during that period, is not sufficient to fully fund the dividends; (ii) the prospective rate of earnings retention is inconsistent with the company’s
      capital needs and overall current and prospective financial condition; or (iii) the company will not meet, or is in danger of not meeting, its minimum regulatory capital adequacy ratios.  The Federal Reserve also possesses enforcement powers over
      bank holding companies and their nonbank subsidiaries to prevent or remedy actions that represent unsafe or unsound practices or violations of applicable statutes and regulations.  Among these powers is the ability to proscribe the payment of
      dividends by banks and bank holding companies.

    Most of our revenues available for the payment of dividends derive from amounts paid to us by Busey Bank.  There are
      various statutory limitations that limit the ability of Busey Bank to pay dividends to us.  Busey Bank is a state-charted bank and is subject to the laws and regulations of the Illinois Department of Financial and Professional Regulation and to the
      regulations of the Federal Deposit Insurance Corporation.  If a bank’s primary banking regulator determines that the bank is engaged or is about to engage in an unsafe or unsound banking practice, the regulator may require, after notice and hearing,
      that the bank cease and desist from such practice.  Depending on the financial condition of the bank, an unsafe or unsound practice could include the payment of dividends.  In particular, the federal banking agencies have indicated that paying
      dividends that deplete a bank’s capital base to an inadequate level would be an unsafe and unsound banking practice.

    Under the Illinois Banking Act, Busey Bank generally may not pay dividends in excess of its net profits.  Further, the
      payment of dividends by any financial institution is also affected by the requirement to maintain adequate capital pursuant to applicable capital adequacy guidelines and regulations, and a financial institution generally is prohibited from paying any
      dividends if, following payment thereof, the institution would be undercapitalized.  Even notwithstanding the availability of funds for dividends, the Federal Deposit Insurance Corporation may prohibit the payment of any dividends by an insured bank,
      such as Busey Bank, if the Federal Deposit Insurance Corporation determines such payment would constitute an unsafe or unsound practice. Furthermore, under applicable regulatory requirements, an Illinois state-chartered bank such as Busey Bank may
      not pay dividends in excess of its net profits.

    Preferred
        Stock.  We may issue up to 1,000,000 shares of preferred stock, $0.001 par value per share, from time to time in one or more series. Our board of directors,
        without further approval of the stockholders, has the authority to fix the dividend rights and terms, conversion rights, voting rights, redemption rights and terms, liquidation preferences, sinking funds and any other rights, preferences,
        privileges and restrictions applicable to each series of preferred stock. The issuance of preferred stock, while providing flexibility in connection with possible acquisitions and other corporate purposes, could, among other things, adversely
        affect the voting power of the holders of our common stock.

    Anti-Takeover Provisions

    General.  Our Articles of Incorporation and our Bylaws may have the effect of discouraging, delaying or preventing a change in control or an unsolicited
      acquisition proposal that a stockholder might consider favorable, including a proposal that might result in the payment of a premium over the market price for the shares held by stockholders.  These provisions are summarized in the following
      paragraphs.

    Authorized
        Shares of Capital Stock.  Authorized but unissued shares of our common stock and preferred stock under our Articles of Incorporation could (within the limits imposed by applicable law and the rules of The NASDAQ Stock Market LLC) be issued
      in one or more transactions that could make a change of control of us more difficult, and therefore more unlikely.  The additional authorized shares could be used to discourage persons from attempting to gain control of us by diluting the voting
      power of shares then outstanding or increasing the voting power of persons who would support the board of directors in a potential takeover situation, including by preventing or delaying a proposed business combination that is opposed by the board of
      directors although perceived to be desirable by some stockholders.

    Limitations
        on Right to Call Special Meetings; Stockholder Proposal Notice Requirements.  Under our Bylaws, a special meeting of our stockholders may be called only by the Chairman of our board of directors, our Chief Executive Officer or our President
      only after receiving the written request to hold a meeting from: (i) a majority of our board of directors; or (ii) stockholders owning at least 50% of the entire capital stock issued and outstanding and entitled to vote.  Additionally, our Bylaws
      require that stockholder proposals meet certain advanced notice and minimum informational requirements.  These provisions could have the effect of delaying until the next annual stockholders meeting stockholder actions which are favored by the
      holders of a majority of our outstanding voting securities.

    
      
        

    

    State
        Anti-Takeover Laws.  Although under our Articles of Incorporation we have opted not to be governed by Nevada’s anti-takeover law known as the “Combination with Interested Stockholders Statute,” we may become
      subject to this provision in the future.  In addition, the NGCL contains a “Control Share Acquisition Statute,” which does not currently apply to us.

    The Combination with Interested Stockholders Statute prevents “interested stockholders” and an applicable Nevada
      corporation from entering into a “combination” unless certain conditions are met.  A combination means, among other things, any merger or consolidation with an “interested stockholder,” or any sale, lease, exchange, mortgage, pledge, transfer or
      other disposition, in one transaction or a series of transactions, with an “interested stockholder” having: (i) an aggregate market value equal to more than 5% of the aggregate market value of the assets of the corporation; (ii) an aggregate market
      value equal to more than 5% of the aggregate market value of all outstanding voting shares of the corporation; or (iii) representing more than 10% of the earning power or net income of the corporation.  An “interested stockholder” means the
      beneficial owner of 10% or more of the voting shares of a corporation, or an affiliate or associate of a corporation who at any time within two years immediately prior to the date in question was the beneficial owner of 10% or more of the voting
      shares of the corporation.  A corporation may not engage in a “combination” within two years after the interested stockholder acquired its shares unless the combination or the purchase of shares made by the interested stockholder is approved by the
      board of directors before the interested stockholder acquired such shares or the combination is approved by the board of directors and, at or after that time, the combination is approved at an annual or special meeting of the stockholders of the
      corporation representing at least 60% of the outstanding voting power held by disinterested stockholders.

    If such approval is not obtained, then after the expiration of the two-year period, the business combination may be
      consummated: (i) if the combination or the transaction in which the person became an interested stockholder was approved by the board of directors before the person became an interested stockholder; (ii) if the combination is approved at an annual or
      special meeting of the stockholders of the corporation by a majority of the voting power held by disinterested stockholders; or (iii) if the consideration to be paid by the interested stockholder for disinterested shares of common or preferred stock,
      as applicable, is at least equal to the highest of: (A) the highest price per share of such stock paid by the interested stockholder within the two years immediately preceding the date of the announcement of the combination or in the transaction in
      which the person became an interested stockholder, whichever is higher, plus interest from that date through the date of consummation of the combination and less any dividends paid during the same period; (B) the market value per share of such stock
      on the date of the announcement of the combination or the date the interested stockholder acquired the shares, whichever is higher, plus interest from that date through the date of consummation of the combination and less any dividends paid during
      the same period; or (C) the amount specified in the corporation’s articles of incorporation, including in any certificate of designation for the class or series of shares are entitled upon the consummation of a transaction of a type encompassing the
      combination.

    The Control Share Acquisition Statute prohibits an acquiror, under certain circumstances, from voting shares of a
      target corporation’s stock after crossing certain threshold ownership percentages, unless the acquiror obtains the approval of the target corporation’s stockholders.  The Control Share Acquisition Statute specifies three thresholds: (i) one-fifth or
      more but less than one-third; (ii) one-third or more but less than a majority; and (iii) a majority or more, of the voting power of the corporation in the election of directors.  Once an acquiror crosses one of the above thresholds, those shares
      acquired in such offer or acquisition and those shares acquired within the preceding ninety days become “Control Shares” and such Control Shares are deprived of the right to vote until disinterested stockholders restore the right.  The Control Shares
      Acquisition Statute also provides that in the event Control Shares are accorded full voting rights and the acquiring person has acquired a majority or more of all voting power, all other stockholders who do not vote in favor of authorizing voting
      rights to the Control Shares are entitled to demand payment for the fair value of their shares.  The board of directors is to notify the stockholders after such an event has occurred that they have the right to receive the fair value of their shares
      in accordance with statutory procedures established generally for dissenters’ rights.  The Control Share Acquisition Statute currently does not apply to us because we do not have 100 or more stockholders of record who are residents of the State of
      Nevada.Exhibit
10.1

 

EMPLOYMENT
AGREEMENT

 

This
Employment Agreement (the “Agreement”) is made as of the date signed (the “Effective Date”),
by and between MJ Holdings Inc., a Nevada corporation (the “Employer”) and Paris Balaouras (the “Employee”).
In consideration of the mutual covenants contained in this Agreement, Employer and Employee agree as follows:

 

1.
Employment. Employer agrees to employ Employee and Employee agrees to be employed by Employer on the terms and conditions
set forth in this Agreement.

 

2.
Position, Duties, Reporting.

 

(a)
Position: Chief Cultivation Officer.

 

(b)
Reporting: to the CEO and the Board of Directors (the “Board” or
the Chairperson, as applicable) of Employer or its designee.

 

(c)
Duties: Employee shall perform the duties and responsibilities of the Position for Employer subject to the direction of the
Board and in coordination with the CEO, and such other responsibilities and duties performed by and in Position of
corporations of the size, type and nature of Employer, as such duties exists from time to time, and as may from time to time
be reasonably assigned by the Board or in cooperation with the CEO. Employee shall devote his substantial time, energy, skill
and best efforts to the business and affairs of Employer. Employee acknowledges and agrees that he shall observe and comply
with all of the Company’s policies.

 

3.
Term. The term of this Agreement (the “Term”) shall be a period of three (3) years, during which entire
time Employee shall be considered an at-will employee of Employer and, subject to the provisions of Section 6, the employment
relationship described herein may be terminated by either Employee or Employer at any time. Upon the expiration of the Term, the
Employee may continue to be employed by the Employer at the will of the parties.

 

4.
Compensation and Benefits. The regular compensation and benefits payable to Employee under this Agreement shall be as follows:

 

	 	(a)	Base
    Salary. During the term of this Agreement, for all services rendered by Employee under this Agreement, Employer shall
    pay Employee a base salary at the annual rate of $105,000. The base salary shall be payable in accordance with Employer’s
    usual practice for its senior Employees, subject to any applicable tax and payroll deductions,
	 	 	 
	 	(b)	Annual
    Bonus. In addition to his Base Salary, Executive shall be eligible to receive an annual discretionary bonus (the “Bonus”)
    during the Term, based on performance criteria determined by the board of directors of Employer (the “Board”)
    in its sole discretion, in amount equal to up to 100% of Employee’s base salary for the then current fiscal year.
	 	 	 
	 	(c)	Stock
    Grant. In addition to his Base Salary, Executive shall be eligible to receive an annual discretionary stock grant during
    the Term which shall be vested in equal increments of 1/3rd each over a three year period beginning on the first
    anniversary of employment; such Grant shall be based on performance criteria determined by the board of directors of Employer
    (the “Board”) in its sole discretion.
	 	 	 
	 	(d)	Compensatory
    Stock Grant. In addition to his Base Salary, Employee shall be eligible to receive a compensatory stock grant of 667,000
    shares for and in consideration of past compensation (approximately $500,000 over the past 2.5 years) foregone by Employee;
    such grant exercisable at Employee’s option as such time as Employer is profitable at the NOI level on a trailing twelve
    (12) month basis or upon other commercial reasonable terms as the Board may determine.

 

    	 

    	 

    

 

(d)
Option Grant. Employee shall be awarded, on the date hereof, options (the “Options”) to purchase 500,000
shares of the Company’s common stock, exercisable at a price of $.75 per share, pursuant to the terms, conditions and vesting
schedule set forth in the Non-Qualified Option Agreement attached hereto as Exhibit A. Furthermore, an additional
award of options to purchase 500,000 shares of the Company’s common stock at a strike price to be determined by the Board
will be awarded to the Employee if and when the Company institutes a new employee stock option program during the Term. This Agreement
and the issuance and grant of the Options hereunder is made by Employer in reliance upon the express representations and warranties
of Employee, which by acceptance hereof, Employee confirms that:

 

(i)
The Options and the shares of common stock issuable upon exercise of the Options (collectively, the “Securities”)
granted to Employee pursuant to this Agreement are being acquired by Employee for his own account, for investment purposes, and
not with a view to, or for sale in connection with, any distribution of the Securities. It is understood that the Securities have
not been registered under the Securities Act of 1933, as amended (the “Securities Act”) by reason of exemption
from the registration provisions of the Securities Act which depends, among other things, upon the bona fide nature of his representations
as expressed herein;

 

(ii)
The Securities must be held by Employee indefinitely unless they are subsequently registered under the Securities Act and any
applicable state securities laws, or an exemption from such registration is available. Employer is under no obligation to register
the Securities or to make available any such exemption;

 

(iii)
Employee further represents that Employee has had access to the financial statements or books and records of Employer, has had
the opportunity to ask questions of Employer concerning its business, operations and financial condition and to obtain additional
information reasonably necessary to verify the accuracy of such information;

 

(iv)
Unless and until the Securities are registered under the Securities Act, all certificates representing the Securities and any
certificates subsequently issued in substitution therefore and any certificate for any securities issued pursuant to any stock
split, share reclassification, stock dividend or other similar capital event shall bear legends in substantially the following
form:

 

THESE
SECURITIES HAVE NOT BEEN REGISTERED OR OTHERWISE QUALIFIED UNDER THE SECURITIES ACT OF 1933 (THE “SECURITIES ACT”)
OR UNDER THE APPLICABLE OR SECURITIES LAWS OF ANY STATE. NEITHER THESE SECURITIES NOR ANY INTEREST THEREIN MAY BE SOLD, TRANSFERRED,
PLEDGED OR OTHERWISE DISPOSED OF IN THE ABSENCE OF REGISTRATION UNDER THE SECURITIES ACT OR ANY APPLICABLE SECURITIES LAWS OF
ANY STATE, UNLESS PURSUANT TO EXEMPTIONS THEREFROM.

 

(d)
Regular Benefits. Employee shall be entitled to health insurance benefits from Employer, and shall also be entitled to
participate in any employee benefit plans, life insurance plans, disability income plans, retirement plans, expense reimbursement
plans and other benefit plans which Employer may from time to time have in effect for all or most of its employees. Participation
in any Employer benefit plan shall be subject to the terms of the applicable plan documents, generally applicable policies of
Employer, applicable law and the discretion of the Board, or any administrative or other committee provided for in or contemplated
by any such plan. Except with respect to the aforementioned health insurance benefits, nothing contained in this Agreement shall
be construed to create any obligation on the part of Employer to establish any such plan or to maintain the effectiveness of any
such plan which may be in effect from time to time.

 

(e)
Vacation. Employee shall be entitled to three (3) weeks paid time off per year, such vacation leave to be taken in accordance
with Employer’s standard employee vacation policy, and at such time or times as will not unreasonably hinder or interfere
with Employer’s business or operations.

 

(f)
Taxation of Payments and Benefits. Employer shall undertake to make deductions, withholdings and tax reports with respect
to payments and benefits under this Agreement to the extent that it reasonably and in good faith believes that it is required
to make such deductions, withholdings and tax reports. Payments under this Agreement shall be in amounts net of any such deductions
or withholdings. Nothing in this Agreement shall be construed to require Employer to make any payments to compensate Employee
for any adverse tax effect associated with any payments or benefits or for any deduction or withholding from any payment or benefit.

 

    	 

    	 

    

 

(g)
Expenses. Employer shall reimburse Employee for all reasonable and necessary business-related out-of-pocket expenses incurred
or paid by Employee in performing his duties under this Agreement and that are consistent with applicable policies of Employer
and immediate manager. All payments for reimbursement of such expenses shall be made upon presentation by Employee of expense
statements or vouchers and such other supporting information as Employer may from time to time reasonably request.

 

(h)
Exclusivity of Salary and Benefits. Employee shall not be entitled to any payments or benefits other than those provided
under this Agreement.

 

5.
Extent of Service. (a) During Employee’s employment under this Agreement, Employee shall devote Employee’s
substantial business time, best efforts and business judgment, skill and knowledge to the advancement of Employer’s interests
and to the discharge of Employee’s duties and responsibilities under this Agreement. Employee shall not engage in any other
business activity except as may be approved by the Board; provided that nothing in this Agreement shall be construed as preventing
Employee from:

 

(i)
investing Employee’s assets in any company or other entity in a manner not prohibited by Section 7(d) and in such form or
manner as shall not require any material activities on Employee’s part in connection with the operations or affairs of the
companies or other entities in which such investments are made; and

 

(ii)
engaging in religious, charitable or other community or non-profit activities that do not impair Employee’s ability to fulfill
Employee’s duties and responsibilities under this Agreement.

 

(b)
Employee shall cooperate with Employer in the event Employer wishes to obtain key-man insurance on Employee. Such cooperation
shall include, but not be limited to, taking any physical examinations that may be requested by the insurance company.

 

6.
Termination and Termination Benefits. (a) Unless otherwise specifically provided in this Agreement or otherwise required
by law, all compensation and benefits payable to Employee under this Agreement shall terminate on the date of termination of Employee’s
employment under this Agreement. Notwithstanding the foregoing, in the event of termination of Employee’s employment by
Employer without Cause (as defined below) or by Employee as a result of a material breach by Employer of any of Employer’s
obligations under this Agreement, or any other agreement to which Employee and Employer are now or hereafter parties, Employer
shall provide to Employee the following termination benefits (“Termination Benefits”):

 

(i)
continued periodic payment of Employee’s base salary at the rate then in effect pursuant to Section 4(a) for the period
from the date of termination until the date that is six (6) months after the date of termination; including that to the extent
that any sums are deferred and unpaid such sums shall be paid within fourteen (14) days of termination;

 

(ii)
if Employee is participating in Employer’s health insurance plan on the date of termination, continuation of group health
plan benefits to the extent authorized by and consistent with 29 U.S.C. § 1161 et seq. (commonly known as “COBRA”),
with Employer paying the entire cost of the regular premium for such benefits for six (6) months after the date of termination;
and

 

(iii)
if Employee is participating in Employer’s life insurance and short term and long term disability insurance plans on the
date of termination, continuation of those benefits at Employer’s expense, for the period from the date of termination until
the date that is six (6) months after the date of termination.

 

    	 

    	 

    

 

Notwithstanding
the foregoing, nothing in this Section 6(a) shall be construed to affect Employee’s right to receive COBRA continuation
entirely at Employee’s own cost to the extent that Employee may continue to be entitled to COBRA continuation after Employee’s
right to cost sharing under Section 6(a)(ii) ceases.

 

For
purposes of this Agreement, the term “Cause” shall mean:

 

(i)
dishonest or fraudulent statements or acts of Employee with respect to Employer or any affiliate of Employer;

 

(ii)
Employee’s conviction of, or entry of a plea of guilty or nolo contendere for, (A) a felony or (B) any misdemeanor
(excluding minor traffic violations) involving moral turpitude, deceit, dishonesty or fraud;

 

(iii)
willful misconduct of Employee or the failure of Employee for any reason, within thirty (30) days after receipt by Employee of
written notice from the Board, to comply with reasonable specific instructions of the Board or requests of the Board for other
specific action or specific omission to act that in each case may adversely affect Employer’s business or operations; or

 

(iv)
material breach by Employee of any of Employee’s obligations under this Agreement, or any other agreement to which Employee
and Employer are now or hereafter parties.

 

(b)
Disability. If Employee shall be disabled so as to be unable to perform the essential functions of Employee’s then
existing position or positions under this Agreement with reasonable accommodation, the Board may remove Employee from any responsibilities
and/or reassign Employee to another position with Employer during the period of such disability. Notwithstanding any such removal
or reassignment, Employee shall continue to receive Employee’s full base salary (less any disability pay or sick pay benefits
to which Employee may be entitled under Employer’s policies) and benefits under Section 4 of this Agreement (except to the
extent that Employee may be ineligible for one or more such benefits under applicable plan terms) for a period of time equal to
twelve (12) months. If any question shall arise as to whether during any period Employee is disabled so as to be unable to perform
the essential functions of Employee’s then existing position or positions with reasonable accommodation, Employee may, and
at the request of Employer shall, submit to Employer a certification in reasonable detail by a physician selected by Employer
to whom Employee or Employee’s guardian has no reasonable objection as to whether Employee is so disabled or how long such
disability is expected to continue, and such certification shall for the purposes of this Agreement be conclusive of the issue.
Employee shall cooperate with any reasonable request of the physician in connection with such certification. If such question
shall arise and Employee shall fail to submit such certification, Employer’s determination of such issue shall be binding
on Employee. Nothing in this Section 6(b) shall be construed to waive Employee’s rights, if any, under existing law including,
without limitation, the Family and Medical Leave Act of 1993, 29 U.S.C. §2601 et seq. and the Americans with Disabilities
Act, 42 U.S.C. §12101 et seq.

 

7.
Confidential Information, Noncompetition and Cooperation.

 

(a)
Confidential Information. As used in this Agreement, “Confidential Information” means information belonging
to Employer which is of value to Employer in the course of conducting its business and the disclosure of which could result in
a competitive or other disadvantage to Employer. Confidential Information includes, without limitation, financial information,
reports and forecasts; inventions, improvements and other intellectual property; trade secrets; know-how; designs, processes or
formulae; software; market or sales information or plans; customer lists; and business plans, prospects and opportunities (such
as possible acquisitions or dispositions of businesses or facilities) that have been developed for Employer, or discussed or considered
by the management of Employer and that have specific application to Employer. Confidential Information includes information developed
by Employee in the course of Employee’s employment by Employer, as well as other information to which Employee may have
access in connection with Employee’s employment. Confidential Information also includes the confidential information of
others with which Employer has a business relationship. Notwithstanding the foregoing, Confidential Information does not include
the following: information in the public domain, unless due to breach of Employee’s duties under Section 7(b); any of the
items listed in this section that were developed, possessed or created by Employee prior to the date of this Agreement; or any
designs, inventions and other intellectual property conceptualized by Employee during the period he is employed by Employer but
which are not directly related to Employer’s business operations.

 

    	 

    	 

    

 

(b)
Confidentiality. Employee understands and agrees that Employee’s employment creates a relationship of confidence
and trust between Employee and Employer with respect to all Confidential Information. At all times, both during Employee’s
employment with Employer and after its termination, Employee will keep in confidence and trust all such Confidential Information,
and will not use or disclose any such Confidential Information without the prior written consent of Employer, except as may be
necessary in the ordinary course of performing Employee’s duties to Employer.

 

(c)
Documents, Records, etc. All documents, records, data, apparatus, equipment and other physical property, whether or not
pertaining to Confidential Information, which are furnished to Employee by Employer or are produced by Employee in connection
with Employee’s employment will be and remain the sole property of Employer. Employee will return to Employer all such materials
and property as and when requested by Employer. In any event, Employee will return all such materials and property immediately
upon termination of Employee’s employment for any reason. Employee will not retain with Employee any such material or property
or any copies thereof after such termination. Notwithstanding the foregoing, Employee may retain after the termination of his
employment with Employer copies of his personal notes, diaries, journals, correspondence, expense accounts, communication logs,
business cards, contact lists, and other similar materials maintained by Employee.

 

(d)
Noncompetition and Nonsolicitation. Without the prior written consent of the Board, during the period that Employee is
employed by Employer and, in the event Employee terminates his employment with Employer for any reason other than as a result
of a material breach by Employer of any of Employer’s obligations under this Agreement, or any other agreement to which
Employee and Employer are now or hereafter parties, for one (1) year thereafter, Employee will not, directly or indirectly, whether
as owner, partner, shareholder, consultant, agent, employee, co-venturer or otherwise, engage, participate, assist or invest in
any Competing Business (as hereinafter defined). Without the prior written consent of the Board, during the period that Employee
is employed by Employer and, (x) in the event of the termination of Employee’s employment by Employer with Cause or (y)
in the event Employee terminates his employment with Employer for any reason other than as a result of a material breach by Employer
of any of Employer’s obligations under this Agreement, or any other agreement to which Employee and Employer are now or
hereafter parties, for eighteen (18) months thereafter, Employee will refrain from directly or indirectly employing, attempting
to employ, recruiting or otherwise soliciting, inducing or influencing any person to leave employment with Employer, and also
will refrain from soliciting or encouraging any customer or supplier to terminate or otherwise modify adversely its business relationship
with Employer. Employee understands that the restrictions set forth in this Section 7(d) are intended to protect Employer’s
interest in its Confidential Information and established employee, customer and supplier relationships and goodwill, and agrees
that such restrictions are reasonable and appropriate for this purpose. For purposes of this Agreement, the term “Competing
Business” shall mean any business that provides or intends to provide the same or similar services as those provided by
Employer or any of its subsidiaries in any geographic area then served by Employer (which for this purpose only shall be defined
as being within one hundred (100) miles of any office or data center currently used or operated by Employer or any subsidiary
of Employer). Notwithstanding the foregoing, Employee may own up to two percent (2%) of the outstanding stock of a publicly held
corporation.

 

(e)
Third-Party Agreements and Rights. Employee hereby confirms that Employee is not bound by the terms of any agreement with
any previous employer or other party which restricts in any way Employee’s use or disclosure of information or Employee’s
engagement in any business. Employee represents to Employer that Employee’s execution of this Agreement, Employee’s
employment with Employer and the performance of Employee’s proposed duties for Employer will not violate any obligations
Employee may have to any such previous employer or other party. In Employee’s work for Employer, Employee will not disclose
or make use of any information in violation of any agreements with or rights of any such previous employer or other party, and
Employee will not bring to the premises of Employer any copies or other tangible embodiments of non-public information belonging
to or obtained from any such previous employment or other party.

 

    	 

    	 

    

 

(f)
Litigation and Regulatory Cooperation. During and after Employee’s employment, Employee shall cooperate fully with
Employer in the defense or prosecution of any claims or actions now in existence or which may be brought in the future against
or on behalf of Employer which relate to events or occurrences that transpired while Employee was employed by Employer. Employee’s
full cooperation in connection with such claims or actions shall include, but not be limited to, being available to meet with
counsel to prepare for discovery or trial and to act as a witness on behalf of Employer at mutually convenient times. During and
after Employee’s employment, Employee also shall cooperate fully with Employer in connection with any investigation or review
of any federal, state or local regulatory authority as any such investigation or review relates to events or occurrences that
transpired while Employee was employed by Employer. Employer shall reimburse Employee for any reasonable out-of-pocket expenses
incurred in connection with Employee’s performance of obligations pursuant to this Section 7(f) and shall pay Employee for
his time at his annual salary rate in effect at the time of the termination of his employment.

 

(g)
Developments. Employee will make full and prompt disclosure to Employer of all inventions, discoveries, designs, developments,
methods, modifications, improvements, processes, algorithms, databases, computer programs, formulae, techniques, trade secrets,
graphics or images, audio or visual works, and other works of authorship (collectively “Developments”), whether
or not patentable or copyrightable, that are created, made, conceived or reduced to practice by Employee (alone or jointly with
others) or under Employee’s direction during the period of his employment and that pertain directly to Employer’s
business operations. Employee acknowledges that all work performed by Employee for Employer hereunder is on a “work for
hire” basis, and Employee hereby assigns and transfers, and will assign and transfer, to Employer and its successors and
assigns all of Employee’s right, title and interest, including, but not limited to, all patents, patent applications, trademarks
and trademark applications, copyrights and copyright applications, and other intellectual property rights in all countries and
territories worldwide and under any international conventions, in and to all Developments that (a) relate to the business of Employer
or any of the products or services of Employer; (b) result from tasks assigned to Employee by Employer; or (c) result from the
use of personal property (whether tangible or intangible) owned, leased or contracted for by Employer.

 

(h)
Injunction. Employee agrees that it would be difficult to measure any damages caused to Employer which might result from
any breach by Employee of the promises set forth in this Section 7, and that in any event money damages would be an inadequate
remedy for any such breach. Accordingly, subject to Section 8 of this Agreement, Employee agrees that if Employee breaches, or
proposes to breach, any portion of this Agreement, Employer shall be entitled, in addition to all other remedies that it may have,
to seek an injunction or other appropriate equitable relief to restrain any such breach.

 

8.
Arbitration of Disputes. Any controversy or claim arising out of or relating to this Agreement or the breach thereof or
otherwise arising out of Employee’s employment or the termination of that employment (including, without limitation, any
claims of unlawful employment discrimination whether based on age or otherwise) shall, to the fullest extent permitted by law,
be settled by arbitration in any forum, form or location agreed upon by the parties or, in the absence of such an agreement, under
the auspices of the American Arbitration Association (“AAA”) in New York, New York in accordance with the Employment
Dispute Resolution Rules of the AAA, including, but not limited to, the rules and procedures applicable to the selection of arbitrators.
In the event that any person or entity other than Employee or Employer may be a party with regard to any such controversy or claim,
such controversy or claim shall be submitted to arbitration subject to such other person or entity’s agreement. Judgment
upon the award rendered by the arbitrator may be entered in any court having jurisdiction thereof. This Section 8 shall be specifically
enforceable. Notwithstanding the foregoing, this Section 8 shall not preclude either party from pursuing a court action for the
sole purpose of obtaining a temporary restraining order or a preliminary injunction in circumstances in which such relief is appropriate;
provided, that any other relief shall be pursued through an arbitration proceeding pursuant to this Section 8.

 

9.
Consent to Jurisdiction. To the extent that any court action is permitted consistent with or to enforce Section 8 of this
Agreement, the parties hereby consent to the jurisdiction of the courts of the State of New York. Accordingly, with respect to
any such court action, Employee (a) submits to the personal jurisdiction of such courts; (b) consents to service of process; and
(c) waives any other requirement (whether imposed by statute, rule of court, or otherwise) with respect to personal jurisdiction
or service of process.

 

    	 

    	 

    

 

10.
Integration. This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof
and supersedes all prior agreements between the parties with respect to any related subject matter.

 

11.
Assignment; Successors and Assigns, etc. Neither Employer nor Employee may make any assignment of this Agreement or any
interest herein, by operation of law or otherwise, without the prior written consent of the other party; provided, that
Employer may assign its rights under this Agreement without the consent of Employee in the event that Employer shall effect a
reorganization, consolidate with or merge into any other corporation, partnership, organization or other entity, or transfer all
or substantially all of its properties or assets to any other corporation, partnership, organization or other entity. This Agreement
shall inure to the benefit of and be binding upon Employer and Employee, their respective successors, executors, administrators,
heirs and permitted assigns.

 

12.
Enforceability. If any portion or provision of this Agreement (including, without limitation, any portion or provision
of any section of this Agreement) shall to any extent be declared illegal or unenforceable by a court of competent jurisdiction,
then the remainder of this Agreement, or the application of such portion or provision in circumstances other than those as to
which it is so declared illegal or unenforceable, shall not be affected thereby, and each portion and provision of this Agreement
shall be valid and enforceable to the fullest extent permitted by law.

 

13.
Waiver. No waiver of any provision hereof shall be effective unless made in writing and signed by the waiving party. The
failure of any party to require the performance of any term or obligation of this Agreement, or the waiver by any party of any
breach of this Agreement, shall not prevent any subsequent enforcement of such term or obligation or be deemed a waiver of any
subsequent breach.

 

14.
Notices. Any notices, requests, demands and other communications provided for by this Agreement shall be sufficient if
in writing and delivered in person or sent by a nationally recognized overnight courier service or by registered or certified
mail, postage prepaid, return receipt requested, to Employee at the last address Employee has filed in writing with Employer or,
in the case of Employer, at its principal executive offices, Attn: Roger Bloss, Interim CEO, 1300 S Jones Blvd, Las Vegas, NV
and shall be effective on the date of delivery in person or by courier or three (3) days after the date mailed.

 

15.
Amendment. This Agreement may be amended or modified only by a written instrument signed by Employee and by a duly authorized
representative of Employer.

 

16.
Governing Law. This is a Nevada contract and shall be construed under and be governed in all respects by the laws of the
State of Nevada, without giving effect to the conflict of laws principles of such State.

 

17.
Counterparts. This Agreement may be executed in any number of counterparts, each of which when so executed and delivered
shall be taken to be an original; but such counterparts shall together constitute one and the same document.

 

[SIGNATURE
PAGE FOLLOWS]

 

    	 

    	 

    

 

IN
WITNESS WHEREOF, this Agreement has been executed by Employer and by Employee as of the Effective Date.

 

	MJ
    HOLDINGS, INC.	 
	 	 	 
	By:	 	 
	Name:	Roger
    Bloss	 
	Title:	Interim
    Chief Executive Officer	 

 

	EMPLOYEE	 
	 	 
	 	 
	Paris
    Balaouras	 
	 	 
	September
    15, 2020	 
	Effective
    Date	 

 

    	 

    	 

    

 

EXHIBIT
A

 

Non-Qualified
Option Agreement

 

[To
be established by the board of directors]

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