Document:

EXHIBIT 4.1

    

    

    DESCRIPTION OF THE REGISTRANT’S COMMON STOCK

      REGISTERED PURSUANT TO SECTION 12 OF THE SECURITIES EXCHANGE ACT OF 1934

     

    

    The following description of the common stock of Atlantic American Corporation (the “Company,” “we,” or “our,”) is a summary and does not purport to be complete. This summary is subject to and qualified in its entirety
      by reference to the Business Corporation Code of the State of Georgia (the “GBCC”) the complete text of the Company’s Restated Articles of Incorporation (the “Charter”), and Restated Bylaws (the “Bylaws”), which are filed as Exhibits 3.1 and 3.2,
      respectively, to our Annual Report on Form 10-K of which this Exhibit 4.1 is a part. We encourage you to read those materials carefully.

     

    

    Authorized Capital Stock

     

    

    The Company has one class of securities, our common stock, par value $1.00 per share, registered under Section 12 of the Securities Exchange Act of 1934, as amended. Our authorized capital stock consists of 50,000,000
      shares of common stock and 4,000,000 shares of preferred stock, par value $1.00 per share, of which (i) 30,000 shares of preferred stock have been designated as Series A Convertible Preferred Stock; (ii) 134,000 shares of preferred stock have been
      designated as Series B Preferred Stock; (iii) 100,000 shares of preferred stock have been designated as Series C Preferred Stock; and (iv) 10,000 shares of preferred stock have been designated as Series D Preferred Stock.

     

    

    Common Stock

     

    

    Voting rights. Holders of our common stock are entitled to one vote for each share on all matters voted on by our stockholders. The Bylaws provide that directors are elected by
      the vote of the plurality of the votes cast with respect to that director’s election at any meeting for the election of directors at which a quorum is present. All directors are elected at each annual meeting of stockholders for a one-year term and
      until his or her successor shall have been duly elected and qualified, unless he or she shall cease to serve by reason of death, resignation or other cause. Holders of our common stock do not have cumulative
      voting rights in the election of directors.

     

    

    For all other matters, the affirmative vote of a majority of the votes present at the meeting of stockholders and entitled to vote on the matter presented shall be the act of the stockholders.

     

      

    Subscription, Redemption or Conversion Privileges. Holders of our common stock do not have any subscription, redemption or conversion privileges. Holders of our common stock do
      not have any pre-emptive right to purchase, subscribe for or otherwise acquire stock of any class of the Company or any security convertible into, or any warrant, option or right to purchase, subscribe for or otherwise acquire stock of any class of
      the Company, whether now or hereafter authorized. All outstanding shares of common stock are validly issued, fully paid and non-assessable.

    
      
        

    

    
    Dividends. Subject to the preferences or other rights of any preferred stock that may be issued from time to time, holders of our common stock are entitled to participate ratably
      in dividends on our common stock as declared by our board of directors (our “Board”).

     

      

    Liquidation. Holders of our common stock are entitled to share ratably in all assets available for distribution to stockholders in the event of our liquidation or dissolution,
      subject to distribution of any accrued but unpaid dividends and the preferential amount, if any, to be distributed to holders of our preferred stock.

     

    

    Stock Exchange Listing

     

    

    Our common stock is listed on the Nasdaq Stock Market under the symbol “AAME.”

    

    

    Certain Factors Affecting Control of the Company

     

    

    General. Certain provisions of the Charter, the Bylaws and the GBCC described in this section may delay or make more difficult acquisitions or changes of control of the Company
      not approved by our Board. In addition, our officers, directors and their families, directly and indirectly, own approximately 75% of the outstanding common stock of the Company. Accordingly, on significantly all matters requiring a majority or
      greater shareholder vote, our officers, directors and their families effectively control the vote. Such ownership effectively precludes any other shareholder from acquiring any number of shares in an attempt to exercise any degree of control over the
      Company. Together, the provisions discussed below and the concentration of ownership of our common stock could have the effect of discouraging third parties from making proposals involving an acquisition or change of control of the Company, although
      these kinds of proposals, if made, might be considered desirable by individual stockholders. These provisions may also have the effect of making it more difficult for third parties to cause the replacement of our current management without the
      concurrence of our Board.

     

      

    Number of Directors; Removal; Vacancies. The Bylaws provide that the number of directors shall be not less than five and not more than fifteen, with the exact number to be fixed
      from time to time by our board of directors. The Bylaws also provide that newly created directorships resulting from any increase in the authorized number of directors or any vacancies in the Board resulting from death, resignation or other cause may
      be filled only by a majority vote of the directors then in office, though less than a quorum, or by a sole remaining director. This provision could have the effect of discouraging a potential acquiror from attempting to obtain control of the Company.

     

      

    Stockholder Action by Written Consent; Special Meetings. The Bylaws provide that stockholder action can be taken at an annual or special meeting of stockholders. Stockholders can
      also be taken by unanimous written consent.

     

    

    The Bylaws provide that special meetings of the stockholders may be called by the chairman of the Board, the Board or the president of the Company or upon the written request of stockholders representing in the aggregate
      at least 25% of the outstanding voting stock of the Company entitled to vote at an election of directors. Due to the substantial ownership stake our directors and officers hold in the Company, these provisions could delay a stockholder vote on
      certain matters, such as business combinations and removal of directors, and could have the effect of discouraging a potential acquiror from making a tender offer.

    
      2

      
        

    

    Amendment of the Certificate of Incorporation. Any proposal to amend, alter, change or repeal any provision of the Charter requires, except in special circumstances, a
      recommendation by our Board and the affirmative vote of a majority vote of the voting power of all of the shares of our capital stock entitled to vote on such change.

     

      

    Preferred Stock and Additional Common Stock. Under the Charter, our Board has the authority to provide by resolution for the issuance of shares of one or more classes or series of
      preferred stock. Our Board is authorized to fix by resolution the terms and conditions of each such other class or series. The authorized shares of our preferred stock, as well as authorized but unissued shares of our common stock, are available for
      issuance without further action by our stockholders, unless stockholder action is required by applicable law or the rules of Nasdaq or any other stock exchange on which any class or series of our stock may then be listed. These provisions give our
      Board the power to approve the issuance of a class or series of our preferred capital stock, or additional shares of our common stock, that could, depending on the terms of the stock, either impede or facilitate the completion of a merger, tender
      offer or other takeover attempt. For example, the issuance of new shares might impede a business combination if the terms of those shares include voting rights which would enable a holder to block business combinations. Alternatively, the issuance of
      new shares might facilitate a business combination if those shares have general voting rights sufficient to cause an applicable percentage vote requirement to be satisfied.

     

      

    Georgia Business Combination Statute. The Company is subject to the “business combination” provisions of Section 203 of the GBCC. In general, such provisions prohibit a Georgia
      corporation from engaging in various “business combination” transactions with any interested stockholder for a period of five years after the date of the transaction in which the person became an interested stockholder, unless the business
      combination is approved in a prescribed manner. The statute could prohibit or delay mergers or other takeover or change in control attempts with respect to the Company and, accordingly, may discourage attempts to acquire the Company even though such
      a transaction may offer the Company’s shareowners the opportunity to sell their stock at a price above the prevailing market price.

     

    

    Exclusive Forum

     

    

    Our Bylaws provide that, unless we consent in writing to the selection of another forum, a state or federal court located within the State of Georgia shall be the exclusive forum for (i) any derivative action or
      proceeding brought on behalf of the Company, (ii) any action asserting a claim of breach of a fiduciary duty owed by any director, officer or other employee of the Company to the Company or the Company’s stockholders, (iii) any action asserting a
      claim arising pursuant to any provision of the GBCC, the Charter or the Bylaws, or (iv) any action asserting a claim governed by the internal affairs doctrine. Although we believe this provision benefits us by providing increased consistency in the
      application of Georgia law in the types of lawsuits to which it applies, the provision may have the effect of discouraging lawsuits against our directors and officers. The enforceability of similar choice of forum provisions in other companies’
      bylaws and certificates of incorporation has been challenged in legal proceedings, and it is possible that, in connection with any action, a court could find the choice of forum provisions contained in our Bylaws to be inapplicable or unenforceable
      in such action.

    

    

     

  

  3Exhibit
10.3

 

Lianluo
Connection Medical Wearable Device Technology (Beijing) Co., Ltd.

 

and

 

Hangzhou
Lianluo Interactive Information Technology Co., Ltd.

 

Loan
agreement

 

December
2018

 

This
Loan Agreement between Lianluo Connection Medical Wearable Device Technology (Beijing) Co., Ltd. and Hangzhou Lianluo Interactive
Information Technology Co., Ltd. (hereinafter referred to as the “Agreement”) was signed by the following parties in
Beijing on December 21, 2018:

 

Party
A (Lender): Hangzhou Lianluo Interactive Information Technology Co., Ltd.

 

Address:
18th Floor, Xintu Building, No. 451 Internet of Things Street, Zhejiang Province

 

Legal
representative: He Zhitao

 

Unified
Social Credit Code: 91330000740545604A

 

Address:
17th floor, Lianluo Building, No. 10 Wangjing Street, Chaoyang District, Beijing

 

Party
B (Borrower): Lianluo Connection Medical Wearable Device Technology (Beijing) Co., Ltd.

 

Address:
Room 611, 612, 618, 619, 6th floor, Beikong Science and Technology Building, Building 2, No. 10 Baifuquan Road, Changping District,
Beijing

 

Legal
representative: Chen Ping

 

Unified
social credit code: 91110114MA006FU1XY

 

Mailing
address: Room 611, 612, 618, 619, 6th floor, Beikong Science and Technology Building, Building 2, No. 10 Baifuquan Road, Science
and Technology Park, Changping District, Beijing

 

(Parties
A and B are collectively referred to as “the Parties”, and “one Party” means any of them.)

 

    

     

    

 

Recital:

 

Whereas,
due to Party B’s business needs, Party A intends to provide Party B with a loan of RMB 7,150,000.00 (RMB seven million one hundred
and fifty thousand), and the loan amount will be received in several installments. The actual loan amount shall be subject to
actual received amount of Party B.

 

In
view of this, the parties to this agreement have signed this agreement through friendly negotiation in accordance with the principles
of honesty and in accordance with the relevant laws and regulations of the “Contract Law of the People’s Republic of China”
and the “Company Law of the People’s Republic of China”.

 

Article
1 Principal

 

1.1
Party A agrees to provide a loan to Party B. The principal of the loan is RMB 7,150,000.00 (RMB seven million one hundred and
fifty thousand).

 

Article
2 Loan Period and Interest Rate

 

2.1
The term of the loan is 12 months, counting from the date when Party A remits the first loan principal to the bank account designated
by Party B. The principal amount need be repaid on the date of the expiry of the agreement. Interest shall be calculated and repaid
monthly to Party A’s designated account within the first five business days of the next month.

 

The
loan period refers to the calendar days from the date when the first principal is paid to Party B’s account to the date when Party
B repay all the principal and interest of the loan to the account designated by Party A.

 

2.2
The borrowing interest rate is 8% APR, which is calculated as follows:

 

Monthly
loan interest = Σ (loan principal x 8% / 365 x number of days the loan received by Party B in the current month)

 

2.3
Party A shall remits the principal of the loan to the bank account designated by Party B:

 

Account
Name: [Lianluo Connection Medical Wearable Device Technology (Beijing) Co., Ltd.]

 

Account
number:

 

Account
bank: [ICBC Beijing Changping Sub-branch]

 

The
actual loan amount is subject to Party A’s actual payment.

 

    2

     

    

 

Article
3 Early repayment

 

3.1
Within one month to twelve months from the date when Party A remits the principal of the first loan to the bank account designated
by Party B, Party B has the right to repay at any time in advance, and Party A has the right to require Party B to repay at any
time. If early repayment is made, Party B shall return the principal and interest according to the actual borrowing days.

 

3.2
If Party B intends to make early repayment, it shall give written notice to Party A; Party A shall give a written reply within
10 business days from the date of receiving the aforementioned written notice.

 

3.3
Except as otherwise agreed in this agreement, if Party A requires Party B to repay in advance, it shall send written notice to
Party B; Party B shall return the principal and interest within 10 working days from the date of receipt of the foregoing written
notice and the interest shall be calculated accordingly to the actual borrowing period .

 

Article
4 Use of loans

 

4.1
Both parties agree that the loan agreed under this agreement will only be used for the business operation of Party B’s company
and shall not be diverted for other purposes.

 

4.2
If Party B uses the above-mentioned loans for other purposes, Party A has the right to require Party B to immediately repay all
the loans and collect relevant interest in accordance with the actual loan period.

 

Article
5 Repayment Methods

 

5.1
From the time Party B received the loan, the principal and interest of the loan will be settled in a lump sum upon expiry of the
term or early repayment.

 

Article
6 Taxes and fees

 

6.1
Relevant taxes and fees shall be borne by each Party in accordance with relevant regulations

 

Article
7 Warranties and Representations

 

7.1
Each Party to this agreement states as follows:

 

7.1.1
Each party have full capacity for civil rights and capacity for civil conduct to sign and execute this agreement and have gone
through the relevant necessary legal procedures with all necessary rights or authorizations required to sign this agreement.

 

7.1.2
After this agreement executed, in the future, when performing the obligations or responsibilities stipulated in this agreement,
it will continue to have all necessary rights and authorizations to fully perform the obligations stipulated in this agreement.

 

7.1.3
Signing this agreement and fulfilling the obligations stipulated in this agreement will not infringe the rights of any third party
other than the subject of this agreement.

 

    3

     

    

 

7.2
The commitments and guarantees made by either party to the other party are as follows:

 

7.2.1
Once signed, this agreement will be legally and effectively binding on both parties.

 

7.2.2
The statements and commitments in this agreement are true, complete and non-misleading.

 

Article
8 Confidentiality

 

8.1
The two parties to this agreement assume the obligation of confidentiality regarding this agreement and the matters related to
this agreement. Without the written consent of the other party, neither party may disclose any relevant matters of this agreement
to any other party except the parties to this agreement, Exceptions are:

 

8.1.1
Disclosure to auditors, lawyers, and other staff members entrusted in normal business, provided that such personnel must undertake
the obligation of confidentiality to the information they have learned in connection with this agreement.

 

8.1.2
Such materials and documents can be obtained through public channels or the disclosure of such materials is required by laws and
regulations or any statutory regulatory authority (including but not limited to the China Securities Regulatory Commission and
other regulatory authorities).

 

8.1.3
Disclosures related to this Agreement to the court or in accordance with the requirements of any pre-litigation disclosure procedure
or similar procedures, or in accordance with legal procedures adopted.

 

Article
9 Force Majeure

 

9.1
Any part of this agreement that fails to perform some or all of its obligations due to force majeure will not be considered a
breach of contract, but shall take all reasonable and practical remedial measures to reduce losses caused by force majeure, as
conditions permit.

 

9.2
Force majeure means: objective conditions that cannot be foreseen, unavoidable and insurmountable, including but not limited to:
natural disasters and disasters (including but not limited to typhoons, floods, earthquakes, fires and explosions), war (whether
or not declared war), rebellion ,turmoil.

 

Article
10 Applicable Law

 

10.1
The execution, validity, interpretation, performance, modification, termination and dispute settlement of this Agreement shall
be governed by the laws of P.R. China.

 

Article
11 Disputes

 

11.1
All disputes arising from or in connection with the performance of this agreement shall be resolved through friendly negotiation
between the two Parties; if the negotiation cannot be resolved within 60 days after one party has notified the other party of
the dispute in writing, each Party shall have right to file lawsuit with court.

 

    4

     

    

 

Article
12 Assignment

 

12.1
Without written consent of other party, neither party shall assign, or otherwise transfer, or claim to assign, all or any of its
rights, rights, liabilities, or obligations under this agreement, unless otherwise agreed.

 

Article
13 Supplemental Agreement

 

13.1
Both parties agree that after signing this agreement, they may conduct further consultations on matters not covered in this agreement
and reach a supplementary agreement. Supplemental Agreement shall be considered as an integral part of this Agreement.

 

Article
14 Miscellaneous

 

14.1
After this agreement is signed by the legal representatives or authorized representatives of both parties, and the company affixes
the official seal or contract special seal, it executed from the date on first page of this agreement.

 

14.2
This agreement is in duplicate, each party holds one, and has the same legal effect.

 

(Signature
page followed)

 

    5

     

    

 

Party
A (Lender): Hangzhou Lianluo Interactive Information Technology Co., Ltd. (Seal)

 

Seal:
Hangzhou Lianluo Interactive Information Technology Co., Ltd.

 

Representative
(signature):

 

 

Party
B (Borrower): Lianluo Medical Wearable Technology (Beijing) Co., Ltd. (Seal)

 

Seal:
Lianluo Medical Wearable Technology (Beijing) Co., Ltd.

 

Representative
(signature):

 

 

6

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