Document:

cosm_ex101.htm

EXHIBIT 10.1
 
COSMOS HOLDINGS INC.
 
ADVISORY BOARD MEMBER CONSULTING AGREEMENT
 
This Advisory Board Member Consulting Agreement (the "Agreement") is made and entered into as of January 3rd, 2017, by and between Cosmos Holdings Inc., an OTCQB listed company (COSM), located in 141 West Jackson Blvd, Suite 4236, 60604, Chicago, Illinois, (the "Company"), and Mr. Orestes Varvitsiotes, resident of 30 east end avenue, Ap.6K, NY, NY 10028, an individual (the "Consultant").
 
R E C I T A L S :
 
A. Company has formed an Advisory Board to assist it in the evaluation, development and business activities.
 
B. Company wishes to engage the services of Consultant, as a member of its Advisory Board, to provide the services set forth below, and Consultant wishes to provide such services.
 
NOW, THEREFORE, in consideration of the covenants hereinafter stated, the parties agree as follows:
 
	I.
	SERVICES

 
1.1 Advisory Board. Consultant has been appointed as a Member of the Company's Advisory Board of Directors (the "Advisory Board"), effective from the 3rd of January 2017, (the "Effective Date"), until the earlier of the date on which Consultant ceases to be a member of the Advisory Board for any reason or the date of termination of this Agreement in accordance with Section 5.2 hereof (such earlier date being the "Expiration Date"). The Advisory Board shall consist of the Advisory Board Member and such other members as appointed by the Board of Directors, in their sole discretion.
    	 
	1

	

	 

 
1.2 Consulting Services.  Consultant shall provide general consulting services to Company (the “Services”) as a member of its Advisory Board, to include:
 
a. Attending and participating an annual Advisory Board meeting (the meeting to last approximately two (2) days including travel; date, time and other details to be mutually agreed upon by the parties);
 
b. Attending (in person or telephonically) one meeting each month with the Company’s executives and/or senior staff (each meeting to last approximately 2 hours; date, time and location to be mutually agreed upon by the parties);
 
c. Participating in conference calls with the Company’s executives and/or senior staff on an “on-call” basis during normal business hours; and
 
d. Responding promptly to any phone calls or emails sent by the Company’s executives and/or senior staff.
 
	II.
	COMPENSATION

 
2.1 Expense Reimbursement. The Company shall reimburse Consultant for all reasonable out-of-pocket expenses actually incurred by Consultant in performance of the Services; provided, however, that the expenses shall be first approved by Company. Consultant shall present to Company supporting documentation and a detailed explanation of expenses incurred.
 
2.2 Fees to Consultant. The Company agrees to pay Consultant the following fees for his Services: an annual retainer of 120,000 options, valid for five years, at $.20. In the event Consultant ceases to serve on the Advisory Board for any reason, Consultant shall be entitled to the pro rata portion of the annual fee for the number of months he has served on the Advisory Board in a given year.
    	 
	2

	

	 

 
3.2 The compensation of the Consultant shall be no less than any other advisory board member that might join the Advisory Board during the period of this agreement. 
 
	III.
	DUTIES OF CONSULTANT

 
3.1 Fiduciary Duties. In fulfilling his consulting responsibilities, Consultant shall be charged with a fiduciary duty to the Company and all of its shareholders. Consultant shall be attentive and inform himself of all material facts regarding a decision before consulting. During the term of this Agreement, Consultant shall comply in all respects with all applicable federal and state securities laws, including without limitation with respect to insider trading, and all policies and codes of conduct or ethics of the Company with respect thereto. In addition, Consultant's actions shall be motivated solely by the best interests of the Company and its shareholders. 
 
3.2 Confidentiality. During the term of this Agreement, and for a period of one (1) year after the Expiration Date, Consultant shall maintain in strict confidence all information he has obtained or shall obtain from the Company which the Company has designated as "confidential" or which is, by its nature confidential, relating to the Company's business, operations, properties, assets, services, condition (financial or otherwise), liabilities, employee relations, customers (including customer usage statistics), suppliers, prospects, technology, or trade secrets, except to the extent such information (i) is in the public domain through no act or omission of the Company, (ii) is required to be disclosed by law or a valid order by a court or other governmental body, or (iii) is independently learned by Consultant outside of this relationship (the "Confidential Information").
 
3.3 Nondisclosure and Nonuse Obligations. Consultant will use the Confidential Information solely to perform the Services for the benefit of the Company. Consultant will treat all Confidential Information of the Company with the same degree of care as Consultant treats his own Confidential Information, and Consultant will use his best efforts to protect the Confidential Information. Consultant will not use the Confidential Information for his own benefit or the benefit of any other person or entity, except as may be specifically permitted in this Agreement. Consultant will immediately give notice to the Company of any unauthorized use or disclosure by or through him, or of which he becomes aware, of the Confidential Information. Consultant agrees to assist the Company in remedying any such unauthorized use or disclosure of the Confidential Information.
    	 
	3

	

	 

 
3.4 Return of the Company Property. All materials furnished to Consultant by the Company, whether delivered to Consultant by the Company or made by Consultant in the performance of his Services under this Agreement (the "Company Property") are the sole and exclusive property of the Company. Consultant agrees to promptly deliver the original and any copies of the Company Property to the Company at any time upon the Company's request. Upon termination of this Agreement by either party for any reason, Consultant agrees to promptly deliver to the Company or destroy, at the Company's option, the original and any copies of the Company Property. Consultant agrees to certify in writing that Consultant has so returned or destroyed all such the Company Property.
 
	IV.
	COVENANTS OF CONSULTANT

 
4.1 No Conflict of Interest. In one year from the Effective Date, or if the term of this Agreement is longer, then during the term of this Agreement, Consultant shall not be employed by, own, manage, control or participate in the ownership, management, operation or control of any business entity that is competitive with the Company or otherwise undertake any obligation inconsistent with the terms hereof, provided that Consultant may own equity of certain business entity engaging in similar business as that of the Company subject to the prior approval by the Board, and provided further that Consultant may continue Consultant's current affiliation or other current relationships with the entity or entities described on Exhibit A (all of which entities are referred to collectively as "Current Affiliations"). For a period of one (1) year after the Expiration Date, Consultant shall not be employed by, operate or manage any business entity that is competitive with the Company. This Agreement is subject to the current terms and agreements governing Consultant's relationship with Current Affiliations, and nothing in this Agreement is intended to be or will be construed to inhibit or limit any of Consultant's obligations to Current Affiliations. Consultant represents that nothing in this Agreement conflicts with Consultant’s obligations to Current Affiliations. A business entity shall be deemed to be "competitive with the Company" for purpose of this Article IV only if and to the extent it engages in the business substantially similar to the Company's businesses.
 
4.2 Noninterference with Business. During the term of this Agreement, and for a period of one (1) year after the Expiration Date, Consultant agrees not to interfere with the business of the Company in any manner. By way of example and not of limitation, Consultant agrees not to solicit or induce any employee, independent contractor, customer or supplier of the Company to terminate or breach his or her employment, contractual or other relationship with the Company.
    	 
	4

	

	 

 
4.3 Independent Contractor.  Consultant is an independent contractor. Consultant shall not be deemed for any purpose to be an employee or agent of Company and neither party shall have the power or authority to bind the other party to any contract or obligation.  Company shall not be responsible to Consultant or any governing body for any payroll-related taxes or insurance related to the performance of the terms of this Agreement.
 
	V.
	TERM AND TERMINATION

 
5.1 Term. This Agreement is effective on the Effective Date (January 3, 2017), and will continue for one year and expire on January 2, 2018. 
 
5.2 Termination. Either party may terminate this Agreement at any time upon ten (10) days prior written notice to the other party, or such shorter period as the parties may agree upon.
 
5.3 Survival. The rights and obligations contained in Articles III and IV will survive any termination or expiration of this Agreement.
 
	VI.
	MISCELLANEOUS

 
6.1 Assignment. Except as expressly permitted by this Agreement, neither party shall assign, delegate, or otherwise transfer any of its rights or obligations under this Agreement without the prior written consent of the other party. Subject to the foregoing, this Agreement will be binding upon and inure to the benefit of the parties hereto and their respective heirs, legal representatives, successors and assigns.
 
6.2 No Waiver. The failure of any party to insist upon the strict observance and performance of the terms of this Agreement shall not be deemed a waiver of other obligations hereunder, nor shall it be considered a future or continuing waiver of the same terms.
 
6.3 Notices. Any notice required or permitted by this Agreement shall be in writing and shall be delivered as follows with notice deemed given as indicated: (i) by personal delivery when delivered personally; (ii) by overnight courier upon written verification of receipt; (iii) by e-mail to Company’s e-mail addresses. Notice shall be sent to the official addresses of the Company.
    	 
	5

	

	 

 
6.4 Governing Law. This Agreement shall be governed in all respects by the laws of the United States of America and by the laws of the State of Nevada, without regard to conflicts of law principles thereof.
 
6.5 Severability. Should any provisions of this Agreement be held by a court of law to be illegal, invalid or unenforceable, the legality, validity and enforceability of the remaining provisions of this Agreement shall not be affected or impaired thereby.
 
6.6 Entire Agreement. This Agreement constitutes the entire agreement between the parties relating to this subject matter and supersedes all prior or contemporaneous oral or written agreements concerning such subject matter. The terms of this Agreement will govern all Consulting Services undertaken by Consulting for the Company.
 
6.7 Amendments. This Agreement may only be amended, modified or changed by an agreement signed by the Company and Consultant. The terms contained herein may not be altered, supplemented or interpreted by any course of dealing or practices.
 
6.8 Disclosure. Consultant acknowledges and agrees that Company may publicly disclose that Consultant is a member of Company’s Advisory Board.
 
6.9 Counterparts. This Agreement may be executed in two counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument.
    	 
	6

	

	 

 
IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first written above.
 
	Company:
	Cosmos Holdings Inc.

				
		By:
		
		Name:
	Grigorios Siokas
	
		Title:
	Director & CEO
	
		
	Consultant:
	
	 
	 
	 
	 

		Name:
	Orestes Varvitsiotes
	

    	 
	7EXHIBIT 10.1

 

Gener8 Maritime, Inc.

Stock Option Grant Agreement

 

	
Option Recipient   (“Participant”):
    
	
 
    
	
Grant Date:
    
	
 
    
	
Aggregate Number of   Shares Subject to the Option:
    
	
 
    
	
Per Share Exercise   Price:
    
	
 
    
	
Expiration Date: 7th anniversary of Grant Date
    

 

This STOCK OPTION GRANT AGREEMENT (the “Agreement”) is made as of the Grant Date between GENER8 MARITIME, INC. (the “Company”) and the Participant specified above.

 

In order to further the purposes of the Gener8 Maritime, Inc. 2012 Equity Incentive Plan, as amended and restated, effective June 22, 2015 (the “Plan”) by granting a stock option to the Participant and in consideration of the premises and the mutual covenants hereinafter set forth, the Company and the Participant hereby agree as follows:

 

Grant of Option.  Pursuant to, and subject to, the terms and conditions set forth herein and in the Plan, the Company hereby grants to the Participant a stock option (the “Option”) to purchase up to the number of shares of common stock of the Company (“Common Stock”) set forth above.  The Option shall not constitute an “incentive stock option” within the meaning of Section 422 of the Internal Revenue Code of 1986, as amended.

 

Incorporation of Plan.  All terms, conditions and restrictions of the Plan are incorporated herein and made part hereof as if stated herein.  If there is any conflict between the terms and conditions of the Plan and this Agreement, the terms and conditions of the Plan, as interpreted by the Committee, shall govern.  Except as otherwise provided herein, all capitalized terms used herein shall have the meaning given to such terms in the Plan.

 

Exercisability.  The Option shall be fully vested and exercisable as of the Grant Date.

 

Expiration Date; Effect of Termination of Employment.

 

A.                               Expiration Date.  Subject to the provisions of the Plan and this Agreement, the Option shall expire and terminate on the Expiration Date set forth above.

 

 

B.                               Termination of Employment.  In the event that the Participant’s employment with the Company terminates for any reason, the Option shall expire and terminate on the earlier of the Expiration Date and the applicable date set forth below:

 

(a)                                 (i)                                     Termination due to Disability:  One year after the date of termination of employment.

 

(b)                                 (ii)                                  Termination due to death:  One year after the date of death.

 

(c)                                  (iii)                               Termination by the Company without Cause, including by the Company’s election not to extend the Employment Agreement pursuant to any automatic extension periods, or by the Participant for Good Reason, as defined in the Participant’s employment agreement with the Company, dated as of          [, as amended] (the “Employment Agreement”):  One year after the date of termination of employment.

 

(d)                                 (iv)                              Termination by the Participant without Good Reason, including by the Participant’s election not to extend the Employment Agreement pursuant to any automatic extension periods:  90 days after the date of termination of employment.

 

(e)                                  (v)                                 Termination by the Company for Cause:  The start of business on the date of such termination of employment.

 

Method of Exercise.  The Option shall be exercisable in whole or in part.  The partial exercise of the Option shall not cause the expiration, termination or cancellation of the remaining portion thereof.  The Option shall be exercised by delivering notice to the Company in the form and manner specified by the Company, accompanied by payment for the shares of Common Stock being purchased upon the exercise of the Option.  Payment shall be made: (i) in cash or its equivalent, (ii) by delivery of irrevocable instructions to a broker to sell immediately some or all of the Shares acquired by exercise of the Option and to promptly deliver to the Company an amount of the sale proceeds sufficient to pay the aggregate exercise price or (iii) by any other means (including, without limitation, tendering previously acquired Shares or reducing the number of Shares otherwise deliverable upon the exercise of the Option) which the Company, in its sole discretion, approves.  Shares purchased upon the exercise of the Option shall be issued in the name of the Participant or his beneficiary, as the case may be, and delivered to the Participant or his beneficiary, as the case may be, as soon as practicable following the effective date on which the Option is exercised.

 

Tax Withholding.  The Participant is obligated to remit to the Company an amount sufficient to satisfy any federal, state or local tax withholding and other taxes due or potentially payable in connection with the exercise of the Option.  The Participant may satisfy this obligation by paying such amount in cash or making other arrangements reasonably satisfactory to the Company (including, without limitation, reducing the number of shares of Common Stock to be issued to the Participant upon the exercise of the Option by a number of whole shares of Common Stock having a Fair Market Value (determined as of the date on which

 

2

 

the amount of required tax withholding is determined) as close as possible to the minimum amount of such obligation, with any additional amount to be paid by the Participant in cash).

 

Compliance with Law.

 

C.                               The exercise of the Option shall not be effective and the Company shall not be obligated to cause to be issued any shares of Common Stock pursuant hereto unless and until the issuance is in compliance with all applicable laws, regulations of governmental authority and requirements of any securities exchange on which shares of Common Stock are traded.  During any such period that the effectiveness of the exercise of the Option has been deferred, the Participant may, by written notice, withdraw such exercise and obtain the refund of any amount paid with respect thereto. The Company may require, as a condition of the issuance of shares of Common Stock pursuant to the terms hereof, that the recipient of such shares make such covenants, agreements and representations, and that such shares bear such legends, stop orders or other electronic restrictions as the Company, in its sole discretion, deems necessary or desirable.

 

D.                               The Participant shall have no rights as a stockholder with respect to any shares subject to the Option unless and until a stock certificate with respect to such shares is issued in the name of the Participant or, in the case of uncertificated shares, an appropriate book entry is made on the books of the transfer agent reflecting the issuance of the shares.

 

Transferability/Exercise After Death.  During the lifetime of the Participant, the Option may be exercised only by the Participant or the Participant’s legal representative and is not assignable or transferable otherwise than by will or by the laws of descent and distribution.  After the Participant’s death, the Option may be exercised pursuant to Section 4(b) hereof by the executor or administrator of the Participant’s estate, unless the Participant’s will specifically disposes of the Option or the Participant specifically designated a beneficiary, in which case the Option may be exercised only by the recipient of such specific disposition or designation.  Any such individual or entity that exercises the Option after the Participant’s death shall be bound by all the terms and conditions of the Plan and this Agreement.

 

Delays or Omissions.  No delay or omission to exercise any right, power or remedy accruing to any party hereto upon any breach or default of any party under this Agreement, shall impair any such right, power or remedy of such party, nor shall it be construed to be a waiver of any such breach or default, or an acquiescence therein, or of or in any similar breach or default thereafter occurring, nor shall any waiver of any single breach or default be deemed a waiver of any other breach or default theretofore or thereafter occurring.  Any waiver, permit, consent or approval of any kind or character on the part of any party of any breach or default under this Agreement, or any waiver on the part of any party or any provisions or conditions of this Agreement, must be in a writing signed by such party and shall be effective only to the extent specifically set forth in such writing.

 

Right of Discharge Preserved.  Nothing in this Agreement shall confer upon the Participant the right to continue in the employ or other service of the Company, or affect any right which the Company may have to terminate such employment or service.

 

3

 

Code Section 280G.  If the Option is deemed to constitute a “parachute payment” within the meaning of Section 280G of the Code, the Option and any vesting pursuant to Section 4(b) hereof and any payments in respect of the Option shall be subject to the terms and conditions relating thereto set forth in the Employment Agreement.

 

Integration.  This Agreement, together with the Plan, contains the entire understanding of the parties with respect to its subject matter.  There are no restrictions, agreements, promises, representations, warranties, covenants or undertakings with respect to the subject matter hereof other than those expressly set forth herein or in the Plan.  This Agreement, together with the Plan, supersedes all prior agreements and understandings between the parties with respect to its subject matter.

 

Counterparts.  This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which shall constitute one and the same instrument.

 

Governing Law.  This Agreement shall be governed by and construed and enforced in accordance with the laws of the State of New York, without regard to the provisions governing conflict of laws.

 

Participant Acknowledgment.  The Participant hereby acknowledges (i) receipt of a copy of the Plan and (ii) that all decisions, determinations and interpretations of the Committee in respect of the Plan, this Agreement and the Option shall be final and conclusive.

 

IN WITNESS WHEREOF, the Company has caused this Agreement to be duly executed by its duly authorized officer, and the Participant has hereunto signed this Agreement on his own behalf, thereby representing that he has carefully read and understands this Agreement and the Plan as of the day and year first written above.

 

	
 
    	
GENER8   MARITIME, INC.
    
	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
[Participant]
    

 

4

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00265-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00265-of-00352.parquet"}]]