Document:

Exhibit 10.1

 

SECURITIES
PURCHASE AGREEMENT

 

THIS
SECURITIES
PURCHASE AGREEMENT (the
“Agreement”), dated as of __/__, 2016, is entered into by and among Consumer Capital Group, Inc., a Delaware
corporation (the “Company”), and ___________________ (the “Purchaser”).

 

WITNESSETH:

 

WHEREAS,
the Company and the Purchaser are executing and delivering this Agreement in accordance with and in reliance upon the exemption
from securities registration for offers and sales to accredited investors afforded, inter alia, by Rule 506 under
Regulation D (“Regulation D”), to foreign investors afforded by Regulation S (“Regulation S”), as promulgated
by the United States Securities and Exchange Commission (the “SEC”) under the Securities Act of 1933, as amended (the
“Securities Act”), and/or Section 4(2) of the Securities Act; and

 

WHEREAS,
the Purchaser wishes to purchase certain shares of common stock, no par value (the “Common Stock”), of the Company,
subject to and upon the terms and conditions of this Agreement and acceptance of this Agreement by the Company, on the terms and
conditions referred to herein.

 

NOW
THEREFORE, in consideration of the premises and the mutual covenants contained herein and other good and valuable consideration,
the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows:

 

1.AGREEMENT
TO PURCHASE; PURCHASE PRICE.

 

a.Purchase.

 

(i)Subject
to the terms and conditions of this Agreement and Transaction Documents, the Purchaser hereby agrees to purchase from the Company,
and the Company hereby agrees to sell and issue to the Purchaser, __________ shares of the Common Stock of the Company (the “Shares”),
at $________ per share, for an aggregate purchase price of $_________ (the “Purchase Price”), on the Closing Date
(as defined below).

 

(ii)The
issuance of the Shares and the other transactions contemplated hereby are sometimes referred to herein and in the other Transaction
Documents as the purchase and sale of the Securities (as defined below), and are referred to collectively as the "Transactions".

 

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b.Certain
Definitions.As used herein, each of the following terms has the meaning set forth below, unless the context otherwise
requires:

 

“Common
Stock” means the Company’s common stock, par value $0.0001 per share.

 

“Closing
Date” means the date of the closing of the issuance of Shares.

 

“Exchange
Act” means the Securities Exchange Act of 1934, as amended.

 

“Holder”
means the Person holding the relevant Securities at the relevant time.

 

“Material
Adverse Effect” means an event or combination of events, which individually or in the aggregate, would reasonably be expected
to (w) adversely affect the legality, validity or enforceability of the Securities or any of the Transaction Documents, (x) have
or result in a material adverse effect on the results of operations, assets, prospects, or condition (financial or otherwise)
of the Company and its subsidiaries, taken as a whole, (y) adversely impair the Company's ability to perform fully on a timely
basis its obligations under any of the Transaction Documents or the transactions contemplated thereby, or (z) materially and adversely
affect the value of the rights granted to the Purchaser in the Transaction Documents.

 

“Person”
means any living person or any entity, such as, but not necessarily limited to, a corporation, partnership or trust.

 

“Securities”
means the Shares and any shares of Common Stock of the Company that may be issued to the Purchaser in connection with any other
agreements between the parties.

 

“State
of Incorporation” means Delaware.

 

“Transfer
Agent” means, at any time, the transfer agent for the Company’s Common Stock.

 

“Transaction
Documents” means this Agreement and all ancillary documents referred to in those agreements.

 

c.Form
of Payment; Delivery of Securities.

 

(i)On
the Closing Date, the Purchaser shall pay the Purchase Price by delivering immediately available funds in United States Dollars
to the Company. The Company shall deliver the Shares, duly executed on behalf of the Company to the Purchaser.

 

(iii)By
signing this Agreement, the Purchaser and the Company agree to all of the terms and conditions of the Transaction Documents, all
of the provisions of which are incorporated herein by this reference as if set forth in full.

 

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2.
PURCHASER REPRESENTATIONS, WARRANTIES, ETC.; ACCESS TO INFORMATION; INDEPENDENT INVESTIGATION.

 

The
Purchaser represents and warrants to, and covenants and agrees with, the Company as follows:

 

a.Without
limiting Purchaser's right to sell the Securities pursuant to an effective registration statement, if applicable, or otherwise
in compliance with the Securities Act, the Purchaser is purchasing the Securities for its own account for investment only and
not with a view towards the public sale or distribution thereof and not with a view to or for sale in connection with any distribution
thereof.

 

b.The
Purchaser is not a “U.S. person” as defined in Regulation S under the Securities Act and is not purchasing the Shares
for the account or benefit of any “U.S. person”; (ii) the Purchaser is outside of the United States as of the date
hereof; and (iii) the Purchaser will not engage in hedging transactions with respect to the Shares unless in compliance with the
Securities Act.

 

c.
In the event that the Purchaser is deemed as a “U.S. person” under the Securities Act, the Purchaser is (i)
an "accredited investor" as that term is defined in Rule 501 of the General Rules and Regulations under the Securities
Act by reason of Rule 501(a)(3), (ii) experienced in making investments of the kind described in this Agreement and the related
documents, (iii) able, by reason of the business and financial experience of its officers (if an entity) and professional advisors
(who are not affiliated with or compensated in any way by the Company or any of its affiliates or selling agents), to protect
its own interests in connection with the transactions described in this Agreement, and the related documents, and to evaluate
the merits and risks of an investment in the Securities, and (iv) able to afford the entire loss of its investment in the Securities.

 

d.All
subsequent offers and sales of the Securities by the Purchaser shall be made pursuant to registration of the relevant Securities
under the Securities Act or pursuant to an exemption from registration.

 

e.The
Purchaser understands that the Securities are being offered and sold to it in reliance on specific exemptions from the registration
requirements of the Securities Act and state securities laws and that the Company is relying upon the truth and accuracy of, and
the Purchaser's compliance with, the representations, warranties, agreements, acknowledgments and understandings of the Purchaser
set forth herein in order to determine the availability of such exemptions and the eligibility of the Purchaser to acquire the
Securities.

 

f.The
Purchaser and its advisors, if any, have been furnished with or have been given access to all materials relating to the business,
finances and operations of the Company and materials relating to the offer and sale of the Securities which have been requested
by the Purchaser, including those set forth on in any annex attached hereto. The Purchaser and its advisors, if any, have been
afforded the opportunity to ask questions of the Company and its management and have received complete and satisfactory answers
to any such inquiries.

 

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g.The
Purchaser understands that its investment in the Securities involves a high degree of risk.

 

h.The
Purchaser hereby represents that, in connection with its purchase of the Securities, it has not relied on any statement or representation
by the Company or any of its officers, directors and employees or any of their respective attorneys or agents, except as specifically
set forth herein.

 

i.The
Purchaser understands that no United States federal or state agency or any other government or governmental agency has passed
on or made any recommendation or endorsement of the Securities.

 

j.This
Agreement and the other Transaction Documents to which the Purchaser is a party, and the transactions contemplated thereby, have
been duly and validly authorized, executed and delivered on behalf of the Purchaser and are valid and binding agreements of the
Purchaser enforceable in accordance with their respective terms, subject as to enforceability to general principles of equity
and to bankruptcy, insolvency, moratorium and other similar laws affecting the enforcement of creditors' rights generally.

 

3.COMPANY
REPRESENTATIONS, ETC.  The Company represents and warrants to the Purchaser as of the date hereof and as of the closing.

 

a.Rights
of Others Affecting the Transactions. There are no preemptive rights of any shareholder of the Company, as such, to acquire
the Shares or any shares of the Company’s Common Stock that may be issued to the Purchaser in connection with any other
agreements between the parties, in the event such shares are issued. No party other than a Purchaser has a currently exercisable
right of first refusal which would be applicable to any or all of the transactions contemplated by the Transaction Documents.

 

b.Status.
The Company is a corporation duly organized, validly existing and in good standing under the laws of the State of Incorporation
and has the requisite corporate power to own its properties and to carry on its business as now being conducted. The Company is
duly qualified as a foreign corporation to do business and is in good standing in each jurisdiction where the nature of the business
conducted or property owned by it makes such qualification necessary, other than those jurisdictions in which the failure to so
qualify would not have or result in a Material Adverse Effect.

 

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c.Authorized
Shares.

 

(i)the
Company has authorized 100,000,000 shares of Common Stock, of which 29,085,929 shares are outstanding as of the date hereof.

 

(ii)The
Company has sufficient authorized and unissued shares of Common Stock as may be necessary to effect the issuance of the Shares
on the Closing Date.

 

d.Transaction
Documents and Stock. This Agreement and each of the other Transaction Documents, and the transactions contemplated thereby,
have been duly and validly authorized by the Company, this Agreement has been duly executed and delivered by the Company and this
Agreement, when executed and delivered by the Company, will be, valid and binding agreements of the Company enforceable in accordance
with their respective terms, subject as to enforceability to general principles of equity and to bankruptcy, insolvency, moratorium,
and other similar laws affecting the enforcement of creditors' rights generally.

 

e.Non-contravention.
The execution and delivery of this Agreement and each of the other Transaction Documents by the Company, the issuance of the
Securities, and the consummation by the Company of the other transactions contemplated by this Agreement and the other Transaction
Documents do not and will not conflict with or result in a breach by the Company of any of the terms or provisions of, or constitute
a default under (i) the certificate of incorporation or by-laws of the Company, each as currently in effect, (ii) any indenture,
mortgage, deed of trust, or other material agreement or instrument to which the Company is a party or by which it or any of its
properties or assets are bound, including any listing agreement for the Common Stock except as herein set forth, or (iii) to its
knowledge, any existing applicable law, rule, or regulation or any applicable decree, judgment, or order of any court, United
States federal or state regulatory body, administrative agency, or other governmental body having jurisdiction over the Company
or any of its properties or assets, except such conflict, breach or default which would not have or result in a Material Adverse
Effect.

 

f.Approvals.
No authorization, approval or consent of any court, governmental body, regulatory agency, self-regulatory organization, or
stock exchange or market or the shareholders of the Company is required to be obtained by the Company for the issuance and sale
of the Securities to the Purchaser as contemplated by this Agreement, except such authorizations, approvals and consents that
have been obtained.

 

g.Absence
of Litigation. Except for those disclosed in the reports filed with the SEC, there is no action, suit, proceeding, inquiry
or investigation before or by any court, public board or body pending or, to the knowledge of the Company, threatened against
or affecting the Company before or by any governmental authority or nongovernmental department, commission, board, bureau, agency
or instrumentality or any other person, wherein an unfavorable decision, ruling or finding would have a Material Adverse Effect
or which would adversely affect the validity or enforceability of, or the authority or ability of the Company to perform its obligations
under, any of the Transaction Documents. Except for those disclosed in the reports filed with the SEC, the Company is not aware
of any valid basis for any such claim that (either individually or in the aggregate with all other such events and circumstances)
could reasonably be expected to have a Material Adverse Effect. There are no outstanding or unsatisfied judgments, orders, decrees,
writs, injunctions or stipulations to which the Company is a party or by which it or any of its properties is bound, that involve
the transaction contemplated herein or that, alone or in the aggregate, could reasonably be expect to have a Material Adverse
Effect.

 

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h.No
Undisclosed Liabilities or Events. The Company has no liabilities or obligations other than those disclosed in the Transaction
Documents or those incurred in the ordinary course of the Company's business since inception, or which individually or in the
aggregate, do not or would not have a Material Adverse Effect. No event or circumstances has occurred or exists with respect to
the Company or its properties, business, operations, condition (financial or otherwise), or results of operations, which, under
applicable law, rule or regulation, requires public disclosure or announcement prior to the date hereof by the Company but which
has not been so publicly announced or disclosed. There are no proposals currently under consideration or currently anticipated
to be under consideration by the Board of Directors or the executive officers of the Company which proposal would (x) change the
articles or certificate of incorporation or other charter document or by-laws of the Company, each as currently in effect, with
or without shareholder approval, which change would reduce or otherwise adversely affect the rights and powers of the shareholders
of the Common Stock or (y) materially or substantially change the business, assets or capital of the Company, including its interests
in subsidiaries.

 

i.Dilution.
Any shares of the Company’s Common Stock issued to the Purchaser in connection with any agreements between the parties
hereto, in the event such shares are issued may have a dilutive effect on the ownership interests of the other shareholders (and
Persons having the right to become shareholders) of the Company. The Company's executive officers and directors have studied and
fully understand the nature of the Securities being sold hereby and recognize that they have such a potential dilutive effect.
The board of directors of the Company has concluded, in its good faith business judgment, that such issuance is in the best interests
of the Company.

 

k.Tax
Status. Except for matters that would not, individually or in the aggregate, have or reasonably be expected to result in a
Material Adverse Effect, the Company has no knowledge of a tax deficiency which has been asserted or threatened against the Company
or any Subsidiary.

 

4.CERTAIN
COVENANTS AND ACKNOWLEDGMENTS.

 

a.Transfer
Restrictions. The Purchaser acknowledges that (1) the Securities have not been and are not being registered under the provisions
of the Securities Act and may not be transferred unless (A) subsequently registered thereunder or (B) the Purchaser shall have
delivered to the Company an opinion of counsel, reasonably satisfactory in form, scope and substance to the Company, to the effect
that the Securities to be sold or transferred may be sold or transferred pursuant to an exemption from such registration; (2)
any sale of the Securities made in reliance on Rule 144 promulgated under the Securities Act ("Rule 144") may be made
only in accordance with the terms of said Rule and further, if said Rule is not applicable, any resale of such Securities under
circumstances in which the seller, or the Person through whom the sale is made, may be deemed to be an underwriter, as that term
is used in the Securities Act, may require compliance with some other exemption under the Securities Act or the rules and regulations
of the SEC thereunder; and (3) neither the Company nor any other Person is under any obligation to register the Securities under
the Securities Act or to comply with the terms and conditions of any exemption thereunder.

 

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b.Restrictive
Legend. The Purchaser acknowledges and agrees that the certificates and other instruments representing any of the Securities
shall bear a restrictive legend in substantially the following form (and a stop-transfer order may be placed against transfer
of any such Securities):

 

“THESE
SECURITIES HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR THE SECURITIES LAWS OF ANY STATE AND MAY
NOT BE SOLD OR OFFERED FOR SALE IN THE ABSENCE OF AN EFFECTIVE REGISTRATION STATEMENT FOR THE SECURITIES OR AN OPINION OF COUNSEL
OR OTHER EVIDENCE ACCEPTABLE TO THE COMPANY THAT SUCH REGISTRATION IS NOT REQUIRED.”

 

c.Filings.
The Company undertakes and agrees to make all necessary filings in connection with the sale of the Securities to the Purchaser
under any United States laws and regulations applicable to the Company, or by any domestic securities exchange or trading market,
and to provide a copy thereof to the Purchaser promptly after such filing.

 

d.Publicity,
Filings, Releases, Etc. Except for disclosure required by the SEC, each of the parties agrees that it will not disseminate
any information relating to the Transaction Documents or the transactions contemplated thereby, including issuing any press releases,
holding any press conferences or other forums, or filing any reports (collectively, “Publicity”), without giving the
other party reasonable advance notice and an opportunity to comment on the contents thereof. Neither party will include in any
such Publicity any statement or statements or other material to which the other party reasonably objects, unless in the reasonable
opinion of counsel to the party proposing such statement, such statement is legally required to be included.

 

5.TRANSFER
AGENT INSTRUCTIONS.

 

a.The
Company warrants that, with respect to the Securities, other than the stop transfer instructions to give effect to Section 4(a)
hereof, it will give its transfer agent no instructions inconsistent with instructions to issue the Shares to the Holder as contemplated
in the Transaction Documents. Nothing in this Section shall affect in any way the Purchaser's obligations and agreement to comply
with all applicable securities laws upon resale of the Securities. If the Purchaser provides the Company with an opinion of counsel
reasonably satisfactory to the Company that registration of a resale by the Purchaser of any of the Securities in accordance with
clause (1)(B) of Section 4(a) of this Agreement is not required under the Securities Act, the Company shall (except as provided
in clause (2) of Section 4(a) of this Agreement) permit the transfer or issuance of the Common Stock represented by one or more
certificates for Common Stock without legend (or where applicable, by electronic registration) in such name and in such denominations
as specified by the Purchaser.

 

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b.The
Company will authorize the Transfer Agent to give information relating to the Company directly to the Holder or the Holder’s
representatives upon the request of the Holder or any such representative, to the extent such information relates to (i) the status
of shares of Common Stock issued, or (ii) the aggregate number of outstanding shares of Common Stock of all shareholders (as a
group, and not individually) as of a current or other specified date. At the request of the Holder, the Company will provide the
Holder with a copy of the authorization so given to the Transfer Agent.

 

6.CONDITIONS
TO THE COMPANY'S OBLIGATION TO SELL.

 

The
Purchaser understands that the Company's obligation to sell the Securities to the Purchaser pursuant to this Agreement on a closing
date is conditioned upon:

 

a.The
execution and delivery of this Agreement by the Purchaser;

 

b.Delivery
by the Purchaser to the Company the Purchase Price;

 

c.The
accuracy in all material respects on the applicable closing date of the representations and warranties of the Purchaser contained
in this Agreement, each as if made on such date;

 

d.There
shall not be in effect any law, rule or regulation prohibiting or restricting the transactions contemplated hereby, or requiring
any consent or approval which shall not have been obtained; and

 

e.For
additional closing, the Purchaser shall satisfy the conditions from (b) to (d) above.

 

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7.CONDITIONS
TO THE PURCHASER'S OBLIGATION TO PURCHASE.

 

The
Company understands that the Purchaser’s obligation to purchase any Securities and its acceptance of any shares of the Company’s
Common Stock that may be issued in connection with any agreements between the parties hereto on a closing date is conditioned
upon:

 

a.The
execution and delivery of this Agreement and the other Transaction Documents by the Company;

 

b.Delivery
by the Company to the Purchaser of the Shares on the applicable closing date in accordance with this Agreement or any other agreements
between the parties;

 

c.The
accuracy in all material respects on the applicable closing date of the representations and warranties of the Company contained
in this Agreement, each as if made on such date, and the performance by the Company on or before such date of all covenants and
agreements of the Company required to be performed on or before such date;

 

d.There
shall not be in effect any law, rule or regulation prohibiting or restricting the transactions contemplated hereby, or requiring
any consent or approval which shall not have been obtained;

 

e.From
and after the date hereof to and including the applicable closing date, each of the following conditions will remain in effect:
there shall not have been any Material Adverse Effect in regards to the Company; and

 

f.For
additional closing, the Company shall satisfy the conditions from (a) to (e) above.

 

8.JURY
TRIAL WAIVER. The Company and the Purchaser hereby waive a trial by jury in any action, proceeding or counterclaim brought
by either of the Parties hereto against the other in respect of any matter arising out or in connection with the Transaction Documents.

 

9.GOVERNING
LAW. This Agreement will be governed by and
construed and enforced under the laws of the State of New York, without reference to principles of conflict of laws or choice
of laws.

 

10.CONSENT
TO JURISDICTION. Each of the Company and the Purchaser (i) hereby irrevocably submits to the jurisdiction of the United States
District Court sitting in the Southern District of New York and the courts of the State of New York located in New York county
for the purposes of any suit, action or proceeding arising out of or relating to this Agreement and (ii) hereby waives, and agrees
not to assert in any such suit, action or proceeding, any claim that it is not personally subject to the jurisdiction of such
court, that the suit, action or proceeding is brought in an inconvenient forum or that the venue of the suit, action or proceeding
is improper. Each of the Company and the Purchaser consents to process being served in any such suit, action or proceeding by
mailing a copy thereof to such party at the address set forth in Section 14 hereof and agrees that such service shall constitute
good and sufficient service of process and notice thereof. Nothing in this Section 13 shall affect or limit any right to serve
process in any other manner permitted by applicable law.

 

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11.NOTICES.
Any notices and other communications required
or permitted under this Agreement shall be in writing and shall be delivered (i) personally by hand or by courier, (ii) mailed
by United States first-class mail, postage prepaid or (iii) sent by facsimile or other electronic transmission directed to the
address or facsimile number or other address for electronic transmission set forth below. All such notices and other communications
shall be deemed given upon (i) receipt or refusal of receipt, if delivered personally, (ii) three (3) days after being placed
in the mail, if mailed, or (iii) confirmation of facsimile transfer or other electronic transmission, if faxed or emailed.

 

If
to the Company:

 

136-82
39th Ave, 4th Floor

Unit
B

Flushing,
NY 11354 (647) 478-6385

Email:
jack@ccmus.com

Attention:
Jianmin Gao

 

If
to the Purchaser:

 

[Name]

[Address]

Tel:

Email:
____________

Attention:
_________

 

12.SURVIVAL
OF REPRESENTATIONS AND WARRANTIES. The Company’s and the Purchaser’s representations and warranties herein shall
survive for a period of six (6) months after the execution and delivery of this Agreement, and shall inure to the benefit of the
Purchaser and the Company and their respective successors and assigns.

 

13.SUCCESSORS
AND ASSIGNS. The terms and conditions of this Agreement will
inure to the benefit of and be binding upon the respective successors and permitted assigns of the parties. The Company shall
not assign this Agreement or any rights or obligations hereunder without the prior written consent of the Purchaser. Purchaser
may assign its rights under this Agreement to any person to whom the Purchaser assigns or transfers any of the Shares, provided
that such transferee agrees in writing to be bound by the terms and provisions of this Agreement, and such transfer is in compliance
with the terms and provisions of this Agreement and permitted by federal and state securities laws.

 

[Remaining
page intentionally left blank]

 

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IN
WITNESS WHEREOF, this Agreement has been duly executed by the Purchaser and the Company as of the date set first above written.

 

	COMPANY:	 
	 	 	 
	Consumer
Capital Group, Inc.
	 
	 	 	 
	By:	 	 
	Name:	Jianmin
    Gao	 
	Title:	President
    & Chief Executive Officer	 

 

PURCHASER:

 

	By:	 	 
	Name:	 	 
	Title:	 	 

 

 

 

 Page 11Wizard
World, Inc.

 

2016
Incentive Stock and Award Plan

 

	1.	Purpose
                                         of the Plan.

 

(a)
This 2016 Incentive Stock and Award Plan (the “Plan”) is intended as an incentive to retain in the employ of
and as directors, officers, consultants, attorneys, advisors and employees to Wizard World, Inc., a Delaware corporation (the
“Company”), and any Subsidiary of the Company, within the meaning of Section 424(f) of the United States Internal
Revenue Code of 1986, as amended (the “Code”), persons of training, experience and ability, to attract new
directors, officers, consultants, attorneys, advisors and employees whose services are considered valuable, to encourage the sense
of proprietorship and to stimulate the active interest of such persons in the development and financial success of the Company
and its Subsidiaries.

 

(b)
It is further intended that certain options granted pursuant to the Plan shall constitute incentive stock options within the meaning
of Section 422 of the Code (the “Incentive Options”) while certain other options granted pursuant to the Plan
shall be nonqualified stock options (the “Nonqualified Options”). Incentive Options and Nonqualified Options
are hereinafter referred to collectively as “Options”.

 

(c)
The Company intends that the Plan meet the requirements of Rule 16b-3 (“Rule 16b-3”) promulgated under the
Securities Exchange Act of 1934, as amended (the “Exchange Act”), and that transactions of the type specified
in subparagraphs (c) to (f) inclusive of Rule 16b-3 by officers and directors of the Company pursuant to the Plan will be exempt
from the operation of Section 16(b) of the Exchange Act. Further, the Plan is intended to satisfy the performance-based compensation
exception to the limitation on the Company’s tax deductions imposed by Section 162(m) of the Code with respect to those
Options for which qualification for such exception is intended. In all cases, the terms, provisions, conditions and limitations
of the Plan shall be construed and interpreted consistent with the Company’s intent as stated in this Section 1.

 

	2.	Administration
                                         of the Plan.

 

(a)
The Board of Directors of the Company (the “Board”) shall appoint and maintain as administrator of the Plan
a Committee (the “Committee”) consisting of two or more directors who are (i) “Independent Directors”
(as such term is defined under the rules of the NASDAQ Stock Market), (ii) “Non-Employee Directors” (as such term
is defined in Rule 16b-3) and (iii) “Outside Directors” (as such term is defined in Section 162(m) of the Code), which
shall serve at the pleasure of the Board. The Committee, subject to Sections 3, 5 and 6 hereof, shall have full power and authority
to designate recipients of Options and restricted stock (“Restricted Stock”) and to determine the terms and
conditions of the respective Option and Restricted Stock agreements (which need not be identical) and to interpret the provisions
and supervise the administration of the Plan. The Committee shall have the authority, without limitation, to designate which Options
granted under the Plan shall be Incentive Options and which shall be Nonqualified Options. To the extent any Option does not qualify
as an Incentive Option, it shall constitute a separate Nonqualified Option.

 

(b)
Subject to the provisions of the Plan, the Committee shall interpret the Plan and all Options and Restricted Stock granted under
the Plan, shall make such rules as it deems necessary for the proper administration of the Plan, shall make all other determinations
necessary or advisable for the administration of the Plan, and shall correct any defects or supply any omission or reconcile any
inconsistency in the Plan or in any Options or Restricted Stock granted under the Plan in the manner and to the extent that the
Committee deems desirable to carry into effect the Plan or any Options or Restricted Stock. The act or determination of a majority
of the Committee shall be the act or determination of the Committee and any decision reduced to writing and signed by all of the
members of the Committee shall be fully effective as if it had been made by a majority of the Committee at a meeting duly held
for such purpose. Subject to the provisions of the Plan, any action taken or determination made by the Committee pursuant to this
and the other Sections of the Plan shall be conclusive on all parties.

 

    	 	 	 

    	 	 	 

    

 

(c)
In the event that for any reason the Committee is unable to act or if the Committee at the time of any grant, award or other acquisition
under the Plan does not consist of two or more Non-Employee Directors, or if there shall be no such Committee, or if the Board
otherwise determines to administer the Plan, then the Plan shall be administered by the Board, and references herein to the Committee
(except in the proviso to this sentence) shall be deemed to be references to the Board, and any such grant, award or other acquisition
may be approved or ratified in any other manner contemplated by subparagraph (d) of Rule 16b-3; provided, however,
that grants to the Company’s Chief Executive Officer or to any of the Company’s other four most highly compensated
officers that are intended to qualify as performance-based compensation under Section 162(m) of the Code may only be granted by
the Committee.

 

	3.	Designation
                                         of Optionees and Grantees.

 

(a)
The persons eligible for participation in the Plan as recipients of Options (the “Optionees”) or Restricted
Stock (the “Grantees” and together with Optionees, the “Participants”) shall include directors,
officers and employees of, and consultants, attorneys and advisors to, the Company or any Subsidiary; provided that Incentive
Options may only be granted to employees of the Company and any Subsidiary. In selecting Participants, and in determining the
number of shares to be covered by each Option or award of Restricted Stock granted to Participants, the Committee may consider
any factors it deems relevant, including, without limitation, the office or position held by the Participant or the Participant’s
relationship to the Company, the Participant’s degree of responsibility for and contribution to the growth and success of
the Company or any Subsidiary, the Participant’s length of service, promotions and potential. A Participant who has been
granted an Option or Restricted Stock hereunder may be granted an additional Option or Options, or Restricted Stock if the Committee
shall so determine.

 

(b)
In the absence of any date specified, the Committee’s grant of Options or award of Restricted Stock, such grant shall be
deemed to have been made effective on the first business day of each March, June, September or December of any calendar year,
or on such other pre-determined dates as may be set by the Committee (the “Pre-Determined Grant Dates”). Notwithstanding
the foregoing, the Committee may grant Options or award Restricted Stock to any employee, officer, director, consultant, attorney
or advisor to the Company as an inducement to such person, in consideration for such person to enter into any agreement or to
provide services to the Company, for prior services rendered to the Company, or for any other reason determined by the Committee
for award, in its sole discretion other than on a Pre-Determined Grant Date.

 

4.
Stock Reserved for the Plan. Subject to adjustment as provided in Section 8 hereof, a total of five million (5,000,000) shares
of the Company’s common stock, par value $0.0001 per share (the “Stock”), shall be subject to the Plan.
The maximum number of shares of Stock that may be subject to Options shall conform to any requirements applicable to performance-based
compensation under Section 162(m) of the Code, if qualification as performance-based compensation under Section 162(m) of the
Code is intended. The shares of Stock subject to the Plan shall consist of unissued shares, treasury shares or previously issued
shares held by any Subsidiary of the Company, and such amount of shares of Stock shall be and is hereby reserved for such purpose.
Any of such shares of Stock that may remain unsold and that are not subject to outstanding Options at the termination of the Plan
shall cease to be reserved for the purposes of the Plan, but until termination of the Plan the Company shall at all times reserve
a sufficient number of shares of Stock to meet the requirements of the Plan. Should any Option or Restricted Stock expire or be
canceled prior to its exercise or vesting in full or should the number of shares of Stock to be delivered upon the exercise or
vesting in full of any Option or Restricted Stock be reduced for any reason, the shares of Stock theretofore subject to such Option
or Restricted Stock may be subject to future Options or Restricted Stock under the Plan, except where such reissuance is inconsistent
with the provisions of Section 162(m) of the Code where qualification as performance-based compensation under Section 162(m) of
the Code is intended.

 

    	2

    	 

    

 

5.
Terms and Conditions of Options. Options granted under the Plan shall be subject to the following conditions and shall contain
such additional terms and conditions, not inconsistent with the terms of the Plan, as the Committee shall deem desirable:

 

(a)
Option Price. The purchase price of each share of Stock purchasable under an Incentive Option shall be determined by the
Committee at the time of grant, but shall not be less than 100% of the Fair Market Value (as defined below) of such share of Stock
on the date the Option is granted; provided, however, that with respect to an Optionee who, at the time such Incentive
Option is granted, owns (within the meaning of Section 424(d) of the Code) more than 10% of the total combined voting power of
all classes of stock of the Company or of any Subsidiary, the purchase price per share of Stock shall be at least 110% of the
Fair Market Value per share of Stock on the date of grant. The purchase price of each share of Stock purchasable under a Nonqualified
Option shall be at least 100% of the Fair Market Value of such share of Stock on the date the Option is granted, unless the
Committee, in its sole and absolute discretion, determines to set the purchase price of such Nonqualified Option below Fair Market
Value. The exercise price for each Option shall be subject to adjustment as provided in Section 8 below. “Fair Market
Value” means

 

	 	(i)	the
    closing price on the final trading day immediately prior to the grant of the Stock on (x) the principal securities exchange
    on which shares of Stock are listed (if the shares of Stock are so listed) or (y) on the NASDAQ Stock Market, OTC Markets
    or OTC Bulletin Board (if the shares of Stock are regularly listed or quoted on the NASDAQ Stock Market, OTC Markets or OTC
    Bulletin Board, as the case may be); or
	 	 	 
	 	(ii)	if
    not so listed or quoted, as applicable, the mean between the closing bid and asked prices of publicly traded shares of Stock
    on the over-the-counter market on the final trading day immediately prior to the grant of the Stock; or
	 	 	 
	 	(iii)	if
    such bid and asked prices shall not be available, as reported by any nationally recognized quotation service selected by the
    Company on the final trading day immediately prior to the grant of the Stock. Anything in this Section 5(a) to the contrary
    notwithstanding, in no event shall the purchase price of a share of Stock be less than the minimum price permitted under the
    rules and policies of any national securities exchange on which the shares of Stock are listed, as applicable.

 

(b)
Option Term. The term of each Option shall be fixed by the Committee, but no Option shall be exercisable more than five
(5) years after the date such Option is granted and, in the case of an Incentive Option granted to an Optionee who, at the time
such Incentive Option is granted, owns (within the meaning of Section 424(d) of the Code) more than 10% of the total combined
voting power of all classes of stock of the Company or of any Subsidiary, no such Incentive Option shall be exercisable more than
five years after the date such Incentive Option is granted.

 

    	3

    	 

    

 

(c)
Exercisability.

 

	 	(i)	Subject
    to the terms of Section 5 hereof, Options shall be exercisable at such time or times and subject to such terms and conditions
    as shall be determined by the Committee at the time of grant; provided, however, that in the absence of any
    Option vesting periods designated by the Committee at the time of grant, Options shall vest and become exercisable in equal
    amounts on each fiscal quarter of the Company through the four (4) year anniversary of the date of grant; and provided
    further that no Options shall be exercisable until such time as any vesting limitation required by Section 16 of the Exchange
    Act, and related rules, shall be satisfied if such limitation shall be required for continued validity of the exemption provided
    under Rule 16b-3(d)(3).
	 	 	 
	 	(ii)	Upon
    the occurrence of a Change in Control (as hereinafter defined), the Committee may accelerate the vesting and exercisability
    of outstanding Options, in whole or in part, as determined by the Committee in its sole discretion. In its sole discretion,
    the Committee may also determine that, upon the occurrence of a Change in Control, each outstanding Option shall terminate
    within a specified number of days after notice to the Optionee thereunder, and each such Optionee shall receive, with respect
    to each share of Company Stock subject to such Option, an amount equal to the excess of the Fair Market Value of such shares
    immediately prior to such Change in Control over the exercise price per share of such Option; such amount shall be payable
    in cash, in one or more kinds of property (including the property, if any, payable in the transaction) or a combination thereof,
    as the Committee shall determine in its sole discretion.
	 	 	 
	 	(iii)	For
    purposes of the Plan, unless otherwise defined in an employment agreement between the Company and the relevant Optionee, a
    “Change in Control” shall be deemed to have occurred if:

 

 

	 	(A)	a
    tender offer (or series of related offers) shall be made and consummated for the ownership of fifty percent (50%) or more
    of the outstanding voting securities of the Company, unless as a result of such tender offer more than fifty percent (50%)
    of the outstanding voting securities of the surviving or resulting corporation shall be owned in the aggregate by the stockholders
    of the Company (as of the time immediately prior to the commencement of such offer), any employee benefit plan of the Company
    or its Subsidiaries, and their affiliates;

 

    	4

    	 

    

 

	 	(B)	the
    Company shall be merged or consolidated with another corporation, unless as a result of such merger or consolidation more
    than fifty percent (50%) of the outstanding voting securities of the surviving or resulting corporation shall be owned in
    the aggregate by the stockholders of the Company (as of the time immediately prior to such transaction), any employee benefit
    plan of the Company or its Subsidiaries, and their affiliates;
	 	 	 
	 	(C)	the
    Company shall sell substantially all of its assets to another corporation that is not wholly owned by the Company, unless
    as a result of such sale more than fifty percent (50%) of such assets shall be owned in the aggregate by the stockholders
    of the Company (as of the time immediately prior to such transaction), any employee benefit plan of the Company or its Subsidiaries
    and their affiliates; or
	 	 	 
	 	(D)	a
    Person (as defined below) shall acquire fifty percent (50%) or more of the outstanding voting securities of the Company (whether
    directly, indirectly, beneficially or of record), unless as a result of such acquisition more than fifty percent (50%) of
    the outstanding voting securities of the surviving or resulting corporation shall be owned in the aggregate by the stockholders
    of the Company (as of the time immediately prior to the first acquisition of such securities by such Person), any employee
    benefit plan of the Company or its Subsidiaries, and their affiliates.

 

	 	(iv)	Notwithstanding
    Section 5(c)(iii) above, if Change in Control, Change of Control, or another term with substantially the same meaning is defined
    in an employment agreement between the Company and the relevant Optionee, then, with respect to such Optionee, Change in Control
    shall have the meaning ascribed to it in such employment agreement.
	 	 	 
	 	(v)	For
    purposes of this Section 5(c), ownership of voting securities shall take into account and shall include ownership as determined
    by applying the provisions of Rule 13d-3(d)(I)(i) (as in effect on the date hereof) under the Exchange Act. In addition, for
    such purposes, “Person” shall have the meaning given in Section 3(a)(9) of the Exchange Act, as modified
    and used in Sections 13(d) and 14(d) thereof; provided, however, that a Person shall not include (A) the Company
    or any of its Subsidiaries; (B) a trustee or other fiduciary holding securities under an employee benefit plan of the Company
    or any of its Subsidiaries; (C) an underwriter temporarily holding securities pursuant to an offering of such securities;
    or (D) a corporation owned, directly or indirectly, by the stockholders of the Company in substantially the same proportion
    as their ownership of stock of the Company.

 

(d)
Method of Exercise. Options, to the extent then exercisable, may be exercised in whole or in part at any time during the
option period, by giving written notice to the Company specifying the number of shares of Stock to be purchased, accompanied by
payment in full of the purchase price, in cash, or by check or such other instrument as may be acceptable to the Committee. As
determined by the Committee, in its sole discretion, at or after grant, payment in full or in part may be made at the election
of the Optionee (i) in the form of Stock owned by the Optionee based on the Fair Market Value of the Stock which is not the subject
of any pledge or security interest, (ii) in the form of shares of Stock withheld by the Company from the shares of Stock otherwise
to be received with such withheld shares of Stock having a Fair Market Value equal to the exercise price of the Option, or (iii)
by a combination of the foregoing, such Fair Market Value determined by applying the principles set forth in Section 5(a), provided
that the combined value of all cash and cash equivalents and the Fair Market Value of any shares surrendered to the Company
is at least equal to such exercise price and except with respect to (ii) above, such method of payment will not cause a disqualifying
disposition of all or a portion of the Stock received upon exercise of an Incentive Option. An Optionee shall have the right to
dividends and other rights of a stockholder with respect to shares of Stock purchased upon exercise of an Option at such time
as the Optionee (i) has given written notice of exercise and has paid in full for such shares, and (ii) has satisfied such conditions
that may be imposed by the Company with respect to the withholding of taxes.

 

    	5

    	 

    

 

 

(e)
Non-transferability of Options. Options are not transferable and may be exercised solely by the Optionee during his lifetime
or after his death by the person or persons entitled thereto under his will or the laws of descent and distribution. The Committee,
in its sole discretion, may permit a transfer of a Nonqualified Option to (i) a trust for the benefit of the Optionee, (ii) a
member of the Optionee’s immediate family (or a trust for his or her benefit) or (iii) pursuant to a domestic relations
order. Any attempt to transfer, assign, pledge or otherwise dispose of, or to subject to execution, attachment or similar process,
any Option contrary to the provisions hereof shall be void and ineffective and shall give no right to the purported transferee.

 

(f)
Termination by Death. Unless otherwise determined by the Committee, if any Optionee’s employment with or service
to the Company or any Subsidiary terminates by reason of death, the Option may thereafter be exercised, to the extent then exercisable
(or on such accelerated basis as the Committee shall determine at or after grant), by the legal representative of the estate or
by the legatee of the Optionee under the will of the Optionee, for a period of one (1) year after the date of such death (or,
if later, such time as the Option may be exercised pursuant to Section 14(d) hereof) or until the expiration of the stated term
of such Option as provided under the Plan, whichever period is shorter.

 

(g)
Termination by Reason of Disability. Unless otherwise determined by the Committee, if any Optionee’s employment with
or service to the Company or any Subsidiary terminates by reason of Disability (as defined below), then any Option held by such
Optionee may thereafter be exercised, to the extent it was exercisable at the time of termination due to Disability (or on such
accelerated basis as the Committee shall determine at or after grant), but may not be exercised after ninety (90) days after the
date of such termination of employment or service (or, if later, such time as the Option may be exercised pursuant to Section
14(d) hereof) or the expiration of the stated term of such Option, whichever period is shorter; provided, however,
that, if the Optionee dies within such ninety (90) day period, any unexercised Option held by such Optionee shall thereafter be
exercisable to the extent to which it was exercisable at the time of death for a period of one (1) year after the date of such
death (or, if later, such time as the Option may be exercised pursuant to Section 14(d) hereof) or for the stated term of such
Option, whichever period is shorter. “Disability” shall mean an Optionee’s total and permanent disability;
due to his or her inability to engage in any substantial gainful activity by reason of any medically determinable physical or
mental impairment which can be expected to result in death or can be expected to last for a continuous period of not less than
12 months; provided, however, that if Disability is defined in an employment agreement between the Company and the
relevant Optionee, then, with respect to such Optionee, Disability shall have the meaning ascribed to it in such employment agreement.

 

		(h)	Termination
                                         by Reason of Retirement.

 

		(i)
           Unless otherwise determined by the Committee, if any Optionee’s employment
    with or service to the Company or any Subsidiary terminates by reason of Normal Retirement or Early Retirement (as such terms
    are defined below), any Option held by such Optionee may thereafter be exercised to the extent it was exercisable at the time
    of such Retirement (or on such accelerated basis as the Committee shall determine at or after grant), but may not be exercised
    after ninety (90) days after the date of such termination of employment or service (or, if later, such time as the Option
    may be exercised pursuant to Section 14(d) hereof) or the expiration of the stated term of such Option, whichever date is
    earlier; provided, however, that, if the Optionee dies within such ninety (90) day period, any unexercised Option
    held by such Optionee shall thereafter be exercisable, to the extent to which it was exercisable at the time of death, for
    a period of one (1) year after the date of such death (or, if later, such time as the Option may be exercised pursuant to
    Section 14(d) hereof) or for the stated term of such Option, whichever period is shorter
	 	 
	 	(ii)
           For purposes of this paragraph (h), “Normal Retirement” shall
    mean retirement from active employment with the Company or any Subsidiary on or after the normal retirement date specified
    in the applicable Company or Subsidiary pension plan or if no such pension plan, age 65, and “Early Retirement”
    shall mean retirement from active employment with the Company or any Subsidiary pursuant to the early retirement provisions
    of the applicable Company or Subsidiary pension plan or if no such pension plan, age 55.

 

    	6

    	 

    

 

(i)
Other Terminations. Unless otherwise determined by the Committee upon grant, if any Optionee’s employment with or
service to the Company or any Subsidiary is terminated by such Optionee for any reason other than death, Disability, Normal Retirement
or Early Retirement or Good Reason (as defined below), the Option shall thereupon terminate, except that the portion of any Option
that was exercisable on the date of such termination of employment or service may be exercised for the lesser of ninety (90) days
after the date of termination (or, if later, such time as the Option may be exercised pursuant to Section 14(d) hereof) or the
balance of such Option’s term, which ever period is shorter. The transfer of an Optionee from the employ of or service to
the Company to the employ of or service to a Subsidiary, or vice versa, or from one Subsidiary to another, shall not be deemed
to constitute a termination of employment or service for purposes of the Plan.

 

		(i)
           In the event that the Optionee’s employment or service with the Company or
    any Subsidiary is terminated by the Company or such Subsidiary for Cause (as defined below) any unexercised portion of any
    Option shall immediately terminate in its entirety. For purposes hereof, unless otherwise defined in an employment agreement
    between the Company and the relevant Optionee, “Cause” shall exist upon a good-faith determination by the
    Board, following a hearing before the Board at which an Optionee was represented by counsel and given an opportunity to be
    heard, that such Optionee has been accused of fraud, dishonesty or act detrimental to the interests of the Company or any
    Subsidiary of the Company or that such Optionee has been accused of or convicted of an act of willful and material embezzlement
    or fraud against the Company or any Subsidiary of the Company or of a felony under any state or federal statute; provided,
    however, that it is specifically understood that Cause shall not include any act of commission or omission in the good
    faith exercise of such Optionee’s business judgment as a director, officer or employee of the Company, as the case may
    be, or upon the advice of counsel to the Company. Notwithstanding the foregoing, if Cause is defined in an employment agreement
    between the Company and the relevant Optionee, then, with respect to such Optionee, Cause shall have the meaning ascribed
    to it in such employment agreement.
	 	 
		(ii)       
    In the event that an Optionee is removed as a director, officer or employee by the Company at any time other than for Cause
    or resigns as a director, officer or employee for Good Reason, the Option granted to such Optionee may be exercised by the
    Optionee, to the extent the Option was exercisable on the date such Optionee ceases to be a director, officer or employee.
    Such Option may be exercised at any time within one (1) year after the date the Optionee ceases to be a director, officer
    or employee (or, if later, such time as the Option may be exercised pursuant to Section 14(d) hereof), or the date on which
    the Option otherwise expires by its terms; whichever period is shorter, at which time the Option shall terminate; provided,
    however, if the Optionee dies before the Options terminate and are no longer exercisable, the terms and provisions
    of Section 5(f) shall control. For purposes of this Section 5(i), and unless otherwise defined in an employment agreement
    between the Company and the relevant Optionee, “Good Reason” shall exist upon the occurrence of the following:

 

    	7

    	 

    

 

	 	(A)	the
    assignment to Optionee of any duties inconsistent with the position in the Company that Optionee held immediately prior to
    the assignment;
	 	 	 
	 	(B)	a
    Change in Control resulting in a significant adverse alteration in the status or conditions of Optionee’s participation
    with the Company or other nature of Optionee’s responsibilities from those in effect prior to such Change in Control,
    including any significant alteration in Optionee’s responsibilities immediately prior to such Change in Control; or
	 	 	 
	 	(C)	the
    failure by the Company to continue to provide Optionee with benefits substantially similar to those enjoyed by Optionee prior
    to such failure.

 

		(iii)       
    Notwithstanding the foregoing, if Good Reason is defined in an employment agreement between the Company and the relevant Optionee,
    then, with respect to such Optionee, Good Reason shall have the meaning ascribed to it in such employment agreement.

 

(j)
Limit on Value of Incentive Option. The aggregate Fair Market Value, determined as of the date the Incentive Option is
granted, of Stock for which Incentive Options are exercisable for the first time by any Optionee during any calendar year under
the Plan (and/or any other stock option plans of the Company or any Subsidiary) shall not exceed $100,000.

 

6.
Terms and Conditions of Restricted Stock. Restricted Stock may be granted under this Plan aside from, or in association with,
any other award and shall be subject to the following conditions and shall contain such additional terms and conditions (including
provisions relating to the acceleration of vesting of Restricted Stock upon a Change in Control), not inconsistent with the terms
of the Plan, as the Committee shall deem desirable:

 

(a)
Grantee rights. A Grantee shall have no rights to an award of Restricted Stock unless and until Grantee accepts the award
within the period prescribed by the Committee and, if the Committee shall deem desirable, makes payment to the Company in cash,
or by check or such other instrument as may be acceptable to the Committee. After acceptance and issuance of a certificate or
certificates, as provided for below, the Grantee shall have the rights of a stockholder with respect to Restricted Stock subject
to the non-transferability and forfeiture restrictions described in Section 6(d) below;

 

(b)
Issuance of Certificates. The Company shall issue in the Grantee’s name a certificate or certificates for the shares
of Common Stock associated with the award promptly after the Grantee accepts such award;

 

(c)
Delivery of Certificates. Unless otherwise provided, any certificate or certificates issued evidencing shares of Restricted
Stock shall not be delivered to the Grantee until such shares are free of any restrictions specified by the Committee at the time
of grant;

 

(d)
Forfeitability, Non-transferability of Restricted Stock. Shares of Restricted Stock are forfeitable until the terms of
the Restricted Stock grant have been satisfied. Shares of Restricted Stock are not transferable until the date on which the Committee
has specified such restrictions have lapsed. Unless otherwise provided by the Committee at or after grant, distributions in the
form of dividends or otherwise of additional shares or property in respect of shares of Restricted Stock shall be subject to the
same restrictions as such shares of Restricted Stock;

 

    	8

    	 

    

 

(e)
Change in Control. Upon the occurrence of a Change in Control as defined in Section 5(c) above, the Committee may accelerate
the vesting of outstanding Restricted Stock, in whole or in part, as determined by the Committee in its sole discretion; or

 

(f)
Termination of Employment. Unless otherwise determined by the Committee at or after grant, in the event the Grantee ceases
to be an employee or otherwise associated with the Company for any other reason, all shares of Restricted Stock theretofore awarded
to him which are still subject to restrictions shall be forfeited and the Company shall have the right to complete the blank stock
power. The Committee may provide (on or after grant) that restrictions or forfeiture conditions relating to shares of Restricted
Stock will be waived in whole or in part in the event of termination resulting from specified causes, and the Committee may in
other cases waive in whole or in part restrictions or forfeiture conditions relating to Restricted Stock.

 

7.
Term of Plan. No Option or award of Restricted Stock shall be granted pursuant to the Plan on or after the date which is five
(5) years from the effective date of the Plan, but Options and awards of Restricted Stock theretofore granted may extend beyond
that date.

 

	8.	Capital
                                         Change of the Company.

 

(a)
In the event of any merger, reorganization, consolidation, recapitalization, stock dividend, or other change in corporate structure
affecting the Stock, the Committee shall make an appropriate and equitable adjustment in the number and kind of shares reserved
for issuance under the Plan and in the number and option price of shares subject to outstanding Options granted under the Plan,
to the end that after such event each Optionee’s proportionate interest shall be maintained (to the extent possible) as
immediately before the occurrence of such event. The Committee shall, to the extent feasible, make such other adjustments as may
be required under the tax laws so that any Incentive Options previously granted shall not be deemed modified within the meaning
of Section 424(h) of the Code. Appropriate adjustments shall also be made in the case of outstanding Restricted Stock granted
under the Plan.

 

(b)
The adjustments described above will be made only to the extent consistent with continued qualification of the Option under Section
422 of the Code (in the case of an Incentive Option) and Section 409A of the Code.

 

9.
Purchase for Investment/Conditions. Unless the Options and shares covered by the Plan have been registered under the Securities
Act of 1933, as amended (the “Securities Act”), or the Company has determined that such registration is unnecessary,
each person exercising or receiving Options or Restricted Stock under the Plan may be required by the Company to give a representation
in writing that such person is acquiring the securities for such person’s own account for investment and not with a view
to, or for sale in connection with, the distribution of any part thereof. The Committee may impose any additional or further restrictions
on awards of Options or Restricted Stock as shall be determined by the Committee at the time of award.

 

10.
Taxes.

 

(a)
The Company may make such provisions as it may deem appropriate, consistent with applicable law, in connection with any Options
or Restricted Stock granted under the Plan with respect to the withholding of any taxes (including income or employment taxes)
or any other tax matters.

 

(b)
If any Grantee, in connection with the acquisition of Restricted Stock, makes the election permitted under Section 83(b) of the
Code (that is, an election to include in gross income in the year of transfer the amounts specified in Section 83(b)), such Grantee
shall notify the Company of the election with the Internal Revenue Service pursuant to regulations issued under the authority
of Code Section 83(b).

 

    	9

    	 

    

 

(c)
If any Grantee shall make any disposition of shares of Stock issued pursuant to the exercise of an Incentive Option under the
circumstances described in Section 421(b) of the Code (relating to certain disqualifying dispositions), such Grantee shall notify
the Company of such disposition within ten (10) days thereof.

 

11.
Effective Date of Plan. The Plan shall be effective on August 12, 2016; provided, however, that if, and only
if, certain options are intended to qualify as Incentive Stock Options, the Plan must subsequently be approved by majority vote
of the Company’s stockholders no later than December 31, 2016, and further, that in the event certain Option grants hereunder
are intended to qualify as performance-based compensation within the meaning of Section 162(m) of the Code, the requirements as
to stockholder approval set forth in Section 162(m) of the Code are satisfied.

 

12.
Amendment and Termination.

 

(a)
The Board may amend, suspend, or terminate the Plan, except that no amendment shall be made that would impair the rights of any
Participant under any Option or Restricted Stock theretofore granted without the Participant’s consent, and except that
no amendment shall be made which, without the approval of the stockholders of the Company, would:

 

	 	(i)	materially
    increase the number of shares that may be issued under the Plan, except as is provided in Section 8;
	 	 	 
	 	(ii)	materially
    increase the benefits accruing to the Participants under the Plan;
	 	 	 
	 	(iii)	materially
modify the requirements as to eligibility for participation in the Plan;

 

	 	(iv)	decrease
    the exercise price of an Incentive Option to less than 100% of the Fair Market Value per share of Stock on the date of grant
    thereof or the exercise price of a Nonqualified Option to less than 100% of the Fair Market Value per share of Stock on the
    date of grant thereof;

 

	 	(v)	extend
    the term of any Option beyond that provided for in Section 5(b); or

 

	 	(vi)	except
as otherwise provided in Sections 5(d) and 8 hereof, reduce the exercise price of outstanding Options or effect repricing through
cancellations and re-grants of new Options.

 

(b)
Subject to the forgoing, the Committee may amend the terms of any Option theretofore granted, prospectively or retrospectively,
but no such amendment shall impair the rights of any Optionee without the Optionee’s consent.

 

(c)
It is the intention of the Board that the Plan comply strictly with the provisions of Section 409A of the Code and Treasury Regulations
and other Internal Revenue Service guidance promulgated thereunder (the “Section 409A Rules”), as applicable,
and the Committee shall exercise its discretion in granting awards hereunder (and the terms of such awards), accordingly. The
Plan and any grant of an award hereunder may be amended from time to time (without, in the case of an award, the consent of the
Participant) as may be necessary or appropriate to comply with the Section 409A Rules. If the timing of any distribution under
this Plan would result in the imposition of tax penalties under Code Section 409A, (i) then such distribution will be made at
the earliest date after the specified payment date on which that distribution can be effected without resulting in such tax penalties;
(ii) the Company shall have no authority to accelerate any payment hereunder except as permitted under Code Section 409A and regulations
thereunder; and (iii) any rights of any Participant or retained authority of the Company with respect to awards hereunder shall
be automatically modified and limited to the extent necessary so that no Grantee will be deemed to be in constructive receipt
of income relating to the deferrals nor subject to any penalty under Code Section 409A.

 

    	10

    	 

    

 

13.
Government Regulations. The Plan, and the grant and exercise of Options or Restricted Stock hereunder, and the obligation
of the Company to sell and deliver shares under such Options and Restricted Stock shall be subject to all applicable laws, rules
and regulations, and to such approvals by any governmental agencies, national securities exchanges and interdealer quotation systems
as may be required.

 

14.
General Provisions.

 

(a)
Certificates. All certificates for shares of Stock delivered under the Plan shall be subject to such stop transfer orders
and other restrictions as the Committee may deem advisable under the rules, regulations and other requirements of the Securities
and Exchange Commission, or other securities commission having jurisdiction, any applicable Federal or state securities law, any
stock exchange or interdealer quotation system upon which the Stock is then listed or traded and the Committee may cause a legend
or legends to be placed on any such certificates to make appropriate reference to such restrictions.

 

(b)
Employment Matters. Neither the adoption of the Plan nor any grant or award under the Plan shall confer upon any Participant
who is an employee of the Company or any Subsidiary any right to continued employment or, in the case of a Participant who is
a director, continued service as a director, with the Company or a Subsidiary, as the case may be, nor shall it interfere in any
way with the right of the Company or any Subsidiary to terminate the employment of any of its employees, the service of any of
its directors or the retention of any of its consultants, attorneys or advisors at any time.

 

(c)
Limitation of Liability. No member of the Committee, or any officer or employee of the Company acting on behalf of the
Committee, shall be personally liable for any action, determination or interpretation taken or made in good faith with respect
to the Plan, and all members of the Committee and each and any officer or employee of the Company acting on their behalf shall,
to the extent permitted by law, be fully indemnified and protected by the Company in respect of any such action, determination
or interpretation.

 

(d)
Registration of Stock. Notwithstanding any other provision in the Plan, no Option may be exercised unless and until the
Stock to be issued upon the exercise thereof has been registered under the Securities Act and applicable state securities laws,
or are, in the opinion of counsel to the Company, exempt from such registration in the United States. The Company shall not be
under any obligation to register under applicable federal or state securities laws any Stock to be issued upon the exercise of
an Option granted hereunder in order to permit the exercise of an Option and the issuance and sale of the Stock subject to such
Option, although the Company may in its sole discretion register such Stock at such time as the Company shall determine. If the
Company chooses to comply with such an exemption from registration, the Stock issued under the Plan may, at the direction of the
Committee, bear an appropriate restrictive legend restricting the transfer or pledge of the Stock represented thereby, and the
Committee may also give appropriate stop transfer instructions with respect to such Stock to the Company’s transfer agent.

 

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(e)
Transferability in accordance with SEC Release No. 33-7646 entitled “Registration of Securities on Form S-8,” as
effective April 7, 1999. Notwithstanding anything to the contrary as may be contained in this Plan regarding rights as to
transferability or lack thereof, all options granted hereunder may and shall be transferable to the extent permitted in accordance
with SEC Release No. 33-7646 entitled “Registration of Securities on Form S-8,” as effective April 7, 1999, and in
particular in accordance with that portion of such Release which expands Form S-8 to include stock option exercised by family
members so that the rules governing the use of Form S-8 (i) do not impede legitimate intra-family transfer of options and (ii)
may facilitate transfer for estate planning purposes, all as more specifically defined in Article III, Sections A and B thereto,
the contents of which are herewith incorporated by reference.

 

15.
Non-Uniform Determinations. The Committee’s determinations under the Plan, including, without limitation, (i) the determination
of the Participants to receive awards, (ii) the form, amount and timing of such awards, (iii) the terms and provisions of such
awards and (ii) the agreements evidencing the same, need not be uniform and may be made by it selectively among Participants who
receive, or who are eligible to receive, awards under the Plan, whether or not such Participants are similarly situated.

 

16.
Governing Law. The validity, construction, and effect of the Plan and any rules and regulations relating to the Plan shall
be determined in accordance with the internal laws of the State of Delaware without giving effect to principles of conflicts of
laws, and applicable federal law.

 

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