Document:

strt-ex102_160.htm

RESTRICTED STOCK GRANT AGREEMENT

 

THIS RESTRICTED STOCK GRANT AGREEMENT is dated as of ___________ (the "Grant Date") between STRATTEC SECURITY CORPORATION, a Wisconsin corporation (the "Company"), and ___________ ("Recipient").

 

RECITALS

 

A.The Company has adopted the STRATTEC SECURITY CORPORATION Stock Incentive Plan, as most recently amended and restated as of August 19, 2020 (the "Plan"), to provide eligible participants with the opportunity to obtain a proprietary interest, or otherwise increase their proprietary interest, in the Company.  Capitalized terms not defined herein shall have the meanings assigned such terms in the Plan.

 

B.In Connection with Recipient's provision of services to and for the benefit of the Company, the Company has agreed to issue certain shares of its common stock, par value $0.01 per share (the "Common Stock"), to Recipient pursuant to the terms and conditions of the Plan.

 

C.As a condition to the issuance of the Common Stock to Recipient, the Company and Recipient desire to impose certain restrictions on the shares of Common Stock granted pursuant to the terms of this Agreement.

 

AGREEMENTS

 

In consideration of the recitals and the mutual agreements which follow, the Company and the Recipient agree as follows:

 

1.Grant of Restricted Shares.  The Company hereby grants and issues 1,500 shares of the Common Stock (the "Restricted Shares") to Recipient, in accordance with this Agreement and the Plan.  Promptly following the execution and delivery of this Agreement by Recipient, the Company shall cause a certificate for the Restricted Shares to be delivered to Recipient containing the legend set forth in Section 7 below.

 

2.Vesting and Forfeiture of Restricted Shares.

 

(a)General Vesting.  Subject to the forfeiture provisions of section 2(b) and the accelerated vesting provisions of section 2(c), the Restricted Shares shall vest pro rata over a three period such that one-third of the Restricted Shares shall vest on the first anniversary date of the Grant Date, one-third of the 

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Restricted Shares shall vest on the second anniversary date of the Grant Date and the remaining one-third of the Restricted Shares shall vest on the third anniversary date of the Grant Date (as each such date may be modified by application of section 2(c), the "Vesting Date").  All Restricted Shares which shall have vested are referred to herein as "Vested Shares."  All Restricted Shares which are not vested are referred to herein as "Unvested Shares."  Upon vesting, the Restricted Shares (or the portion thereof) shall no longer be subject to forfeiture pursuant to section 2(b) of this Agreement.

 

(b)Forfeiture Rights.  The Unvested Shares shall immediately be forfeited to the Company if, prior to the applicable Vesting Date, the Recipient's employment with the Company terminates for any reason, other than as described in section 2(c)(ii) below.  Upon any forfeiture of all or any portion of the Restricted Shares pursuant to this section 2(b), Recipient shall have no rights as a holder of such portion of the forfeited Restricted Shares and such forfeited Restricted Shares shall be deemed transferred to the Company, and the Company shall be deemed the owner and holder of such shares.

 

(c)Special Vesting.

       

(i)Change in Control.  All Restricted Shares (or the portion thereof) not otherwise vested shall automatically and immediately vest immediately prior to the effective date of a Change in Control.  Immediately following a Change in Control, this Agreement shall terminate and cease to be outstanding, unless assumed by the successor entity (or parent thereof) in connection with the Change in Control.

 

(ii)Termination as a Result of Death or Disability.  Notwithstanding anything herein to the contrary, if Recipient's employment with the Company terminates (i) as a result of Recipient's death or (ii) because Recipient suffers a Disability, then in each such case the Restricted Shares (to the extent not already vested) shall be deemed fully vested and shall become Vested Shares.

 

(iii)Termination as a Result of Eligible Voluntary Retirement.  Notwithstanding anything herein to the contrary, if Recipient's employment with the Company terminates as a result of voluntary Retirement (as defined in the Plan and provided Recipient has attained eligibility for Retirement under the Company's employment policies and the terms of the Plan), then upon recommendation of the Company's Chief Executive Officer to the Compensation Committee of the Company's Board of Directors, the Compensation Committee may determine, in its discretion, to deem the Restricted Shares (to the extent not 

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already vested) fully vested and such Restricted Shares shall become Vested Shares.

 

(iv)Preservation of Rights.  This Agreement shall not in any way affect the right of the Company to adjust, reclassify, reorganize or otherwise change its capital or business structure or to merge, consolidate, dissolve, liquidate or sell or transfer all or any part of its business or assets.

 

3.Shareholder Rights.  Regardless of whether the Restricted Shares (or a portion thereof) are considered Unvested Shares under the terms of this Agreement, Recipient shall have all the rights of a shareholder (including voting rights) with respect to the Restricted Shares, other than, with respect to any Unvested Shares, the right to receive any cash dividends.  Recipient shall not be entitled to any cash dividends declared on any shares which are Unvested Shares as of the payment date for such dividend. 

 

4.Restrictions on Transfer.  Recipient shall not sell, assign, transfer, pledge, encumber or dispose of all or any of his or her Restricted Shares (or portion thereof), either voluntarily or by operation of law, at any time prior to the applicable Vesting Date for such shares (or portion thereof).  Any attempted transfer of any Restricted Shares in violation of this Section 4 shall be invalid and of no effect.

 

5.Taxes.  

 

(a)The Company's obligation to deliver the Restricted Shares to Recipient shall be subject to the satisfaction of all applicable federal, state and local income and employment tax withholding requirements ("Withholding Taxes").  Recipient has reviewed with Recipient's own tax advisors the federal, state and local tax consequences of this investment and the transactions contemplated by this Agreement.  Recipient is relying solely on such advisors and not on any statements or representations of the Company or any of its agents.  Recipient understands that Recipient (and not the Company) shall be responsible for Recipient's own tax liability that may arise as a result of the transactions contemplated by this Agreement.  

 

(b)RECIPIENT ACKNOWLEDGES THAT HE OR SHE HAS BEEN INFORMED THAT RECIPIENT MUST DECIDE WHETHER OR NOT TO MAKE AN ELECTION UNDER SECTION 83(b) OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED, WITH RESPECT TO THE RESTRICTED SHARES AND THAT RECIPIENT IS SOLELY RESPONSIBLE FOR MAKING OR NOT MAKING A TIMELY SECTION 83(b) ELECTION (AND OBTAINING TAX ADVICE CONCERNING WHETHER AND HOW TO 

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MAKE SUCH ELECTION).  Recipient hereby agrees to deliver to the Company a signed copy of any document he or she may execute and file with the Internal Revenue Service evidencing a section 83(b) Election, and to deliver such copy to the Company prior to, or promptly upon, such filing, accompanied by a cash payment in the amount the Company anticipates is required to fulfill the Withholding Taxes as a result of the making of such election.

 

(c)Recipient agrees to promptly make a cash payment to the Company of any Withholding Taxes to the Company when due.  Recipient further agrees that the Company may withhold from Recipient's wages or other remuneration the appropriate amount of Withholding Taxes (to the extent not covered by Recipient's cash payment related thereto to the Company).  Recipient further agrees that, if the Company does not withhold an amount from Recipient's wages or other remuneration sufficient to satisfy the withholding obligation of the Company, Recipient will make reimbursement on demand, in cash, for the amount underwithheld.

 

6.Adjustments for Stock Splits, Stock Dividends, Etc.  If from time to time during the term of this Agreement there is any stock split‐up, stock dividend, stock distribution or other reclassification of the Common Stock, any and all new, substituted or additional securities to which Recipient is entitled by reason of his or her ownership of the Restricted Shares shall be immediately subject to the forfeiture and other provisions of this Agreement in the same manner and to the same extent as the Restricted Shares.  If the Restricted Shares are converted into or exchanged for, or shareholders of the Company receive by reason of any distribution in total or partial liquidation, securities of another corporation, or other property (including cash), pursuant to any merger of the Company or acquisition of its assets, then the rights of the Company under this Agreement shall inure to the benefit of the Company's successor and this Agreement shall apply to the securities or other property received upon such conversion, exchange or distribution in the same manner and to the same extent as the Restricted Shares.

 

7.Legends.  The share certificate evidencing the Restricted Shares issued hereunder shall be endorsed with the following legend (in addition to any legend required under applicable federal or state securities laws) and the Company may issue stop-transfer instructions with its transfer agent in connection with such legend:

 

"THE TRANSFERABILITY OF THIS CERTIFICATE AND THE SHARES OF STOCK REPRESENTED HEREBY ARE SUBJECT TO THE TERMS AND CONDITIONS (INCLUDING FORFEITURE) OF THE STRATTEC SECURITY CORPORATION STOCK INCENTIVE PLAN AND ANY GRANT AGREEMENT ENTERED INTO THEREUNDER RELATED TO 

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THESE SHARES OF STOCK. COPIES OF SUCH PLAN AND AGREEMENT ARE ON FILE AT THE OFFICES OF STRATTEC SECURITY CORPORATION, 3333 WEST GOOD HOPE ROAD, GLENDALE, WISCONSIN 53209‐2043."

 

The legend set forth above shall be removed from the certificates evidencing the Restricted Shares (or a portion thereof) upon the applicable Vesting Date unless such Restricted Shares have been forfeited prior to the applicable Vesting Date pursuant to Section 2 above.

 

8.Miscellaneous.

 

(a)Severability; Binding Effect; Successors and Assigns.  The invalidity or unenforceability of any provision of this Agreement shall not affect the validity or enforceability of any other provision of this Agreement, and each other provision of this Agreement shall be severable and enforceable to the extent permitted by law.  The provisions of this Agreement shall inure to the benefit of, and be binding upon, the Company and its successors and assigns and Recipient and his or her legal representatives, heirs, legatees, distributes, assigns and transferees.

 

(b)No Rights To Continued Service.  Nothing in this Agreement shall confer upon Recipient any right to continue in the employment of the Company for any period of time or interfere with or restrict in any way the rights of the Company or Recipient to terminate the employment of Recipient at any time for any reason whatsoever, with or without cause.

 

(c)Entire Agreement.  This Agreement constitutes the entire agreement between the parties, and supersedes all prior agreements and understandings, relating to the subject matter of this Agreement.

 

(d)Amendment.  This Agreement may be amended or modified only by a written instrument executed by both the Company and Recipient.

 

(e)Governing Law.  This Agreement shall be governed by and construed in accordance with the laws of the State of Wisconsin, without giving effect to any choice of law or conflict of law provision or rule that would cause the application of the law of any jurisdiction other than the State of Wisconsin.

 

(f)Counterparts.  This Agreement may be executed in counterparts, each of which shall be deemed to be an original, but all of which together shall constitute one and the same instrument.

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IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year first above written.

 

 

 

 

[Name]

 

STRATTEC SECURITY CORPORATION

 

BY

Frank J. Krejci

President & CEO

 

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44241494BROKER/DEALER PURCHASE AGREEMENT

 

This Agreement made as of the 30th day of April, 2020 ("Agreement"), by and between Richfield Orion International, LLC, a Colorado limited liability company (the "Shareholder' , and/or "Seller'), and Richfield Orion International, Inc., a Colorado corporation (the "Company'), and QMIS TBS Capital Group Corp. ("Purchaser"), a Delaware registered corporation with an address of 30 Wall Street. Suite 800, New York, NY 10005.

 

WITNESSETH:

WHEREAS, The Seller is the owner of all the issued and outstanding common shares (the "Shares"). The Company is engaged in business as a broker­ dealer registered with the U.S. Securities and Exchange Commission (" SEC"), the Financial Industry Regulatory Authority Inc. ("FINRA") with CRD#24433;

WHEREAS, The Seller desires to sell all voting and controlling Shares held by Seller in the Company to the Purchaser, and the Purchaser desires to buy the Shares. In consideration of the provisions contained in this Agreement and for other good and valuable consideration, the receipt and sufficiency of which consideration is acknowledged within the conditions hereinafter set forth;

NOW, THEREFORE, in consideration of the foregoing and of the mutual covenants and agreements contained in this Agreement, and in order to consummate the purchase and sale of the Company's Shares, it is hereby agreed, as follows:

1. PURCHASE AND SALE OF SHARES. Subject to the terms and conditions of this Agreement, Purchaser agrees to purchase at the Closing and the Seller agrees to sell to Purchaser at the Closing, all of Seller's Shares for a total price of ($75,000.00) Seventy-five Thousand Dollars (the "Purchase Price") for the corporate interest and not including assets held by the Seller as deposits placed for any activity of the Seller's business, including but not limited to the Company's bank account, Company trading deposit accounts as held at RBC or other trading firms, Company lease deposits and any other business related Company deposits shall, additionally, be due on, or before, the Final Closing of this Agreement as defined below. The sum of ($25,000 Twenty-five Thousand Dollars shall promptly be due to the Seller as an Initial Deposit, as good faith money, (the Deposit) payable on or before April 30, 2020 (Initial Closing Date).

 

2CLOSING OF PURCHASE. 

(a)Upon the Initial Closing of this transaction, failure to meet the requirement to pay any sum when due shall render this Agreement null and void 

 

 

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and thereafter any, and/or all, funds that may have been previously paid to Seller in payment any interest or work on this Agreement shall default to Seller.

(b)At the Initial Closing, the Seller will immediately deliver a certificate representing the interest to be transferred at the time of the Final Closing (defined below) 

 

2.1 All outstanding Purchase Price amounts and business deposits remaining deposits, less Initial Deposit as paid/delivered to Seller, shall be finally and absolutely due from Purchaser to Seller no less than 5 calendar days after receipt of (and notice to all parties) of the acceptance by FINRA of the Amended Member Agreement wherein Purchaser shall be acknowledged by FINRA as the sole owner of the Company. This shall constitute the Final Closing ("Final Closing"). In the event that FINRA should deny the acceptance of Buyer as sole owner of the Company this Agreement shall immediately laps

 

3.REPRESENTATIONS AND WARRANTIES OF SELLER. Seller is the sole member and officer of Company, hereby represents and warrants to Purchaser that: 

(i)Company is a limited liability company duly organized and validly existing and in good standing under the laws of the State of Colorado and has the power and authority to carry on the business it is now conducting. Company and/or Seller will obtain any consent and/or authorization, declaration or filing with any government or regulatory authority to undertake any actions herein; 

(ii) Company is a member of FINRA and is registered with the Securities and Exchange Commission ("SEC") as a broker-dealer under Section 15(b) of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). Company has filed with the SEC and FINRA all necessary documents in order to be active and in good standing as broker/dealer; 

(iii)Company has timely filed and is current on all reports required to be filed by it pursuant to the Exchange Act; 

(iv)Company will provide, upon request, all financial information available including the financial information required by FINRA filings; 

(v)There are no legal actions, suits, arbitrations, or other administrative, legal or governmental proceedings threatened or pending against the Company and/or Seller or against the Seller or other employee, officer, director or members of the Company and 

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during the past five (5) years neither Company nor Seller has been a party to any such actions or proceedings. Additionally, Seller is not aware of any facts which may/might result in or form a basis of such action, suit, arbitration or other proceeding on any basis whatsoever. For the past five years, Company has not received any written customer complaints;

(vi) The Company has no subsidiaries nor any direct or indirect ownership interest in any other Company, partnership, association, firm or business in any manner; 

(vii) The business and operation of the Company has and will be conducted in accordance with all applicable laws, rules, regulations, judgments. Neither the execution, delivery or performance of this Agreement (A) violates the Company's operating agreement, Member Agreements or any existing resolutions; and, (8) will cause the Company to lose any benefit or any right or privilege it enjoys under the Exchange Act, FINRA rules or other applicable state securities laws;

(viii) Company has not conducted any business and/or entered into any agreements with third-parties except for such previously disclosed agreements necessary for the operation of the Company's course of doing business

(ix) This Agreement has been duly executed and delivered by constitutes a valid and binding instrument, enforceable in accordance with its terms and does not conflict with or result in a breach of or in violation of the terms, conditions or provisions of the operating agreement and the Rules of the FINRA and both Purchaser and Seller agree that they are bound to both; 

(x) Seller is the legal and beneficial owner of the Shares and has good and marketable title thereto, free and clear of any liens, and the Shares in the Company held by Seller are the only outstanding; 

 

4. REPRESENTATIONS AND WARRANTIES OF PURCHASER. Purchaser hereby represents and warrants to Seller that:

(i) Purchaser has the power and authority to execute and deliver this Agreement, to perform its obligations hereunder and to consummate the transactions contemplated hereby. This Agreement has been duly executed and delivered by Purchaser and constitutes a valid and binding instrument, enforceable in accordance with its terms; 

 

 

 

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(ii)Purchaser declares that the Purchaser has sufficient funds ready and available to fulfill Purchaser's obligations under this Agreement. 

(iii)The execution, delivery and performance of this Agreement is in compliance with and does not conflict with or result in a breach of or in violation of the terms, conditions or provisions of any agreement, mortgage, lease or other instrument or indenture to which Purchaser is a party or by which Purchaser is bound; 

(iv) At no time was Purchaser presented with or solicited by or through any leaflet, public promotional meeting, television advertisement or any other form of general solicitation or advertising; and, 

(v)The Purchaser is an "accredited investor" as defined under Rule 501 under the Securities Act. 

(vi)The Purchaser shall be responsible for all expenses incurred from the moment of the closing of this Agreement and going forward and shall adopt all personal guarantees previously agreed to and signed by J. Brett Stuart as acts of the Purchaser. 

 

5. NOTICES. Notice shall be given by certified mail, return receipt requested, the date of notice being deemed the date of postmarking. Notice, unless either party has notified the other of an alternative address as provided hereunder, shall be sent to the address as set forth herein:

 

 

Seller:

Brett Stuart

Richfield Orion International, LLC 757 Maleta Lane, suite 202, Castle Rock, CO 80108

 

Purchaser:

QMIS TBS Capital Group Corp. 30 Wall Street. Suite 800

New York, NY 10005

 

6.  COMPANY POSITION - J. BRETT STUART. J. Brett Stuart, the Manager Member of the Seller, will remain, for a period of no less than five (5) years, as Chief Executive Officer (CEO) and Chief Compliance Officer (CCO) of the Company under the terms of a separate Employment Contract to be in effect at, or before, the closing of this Agreement.

 

 

 

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7.  NAME CHANGE. The Purchaser request has indicated the is an intention to change the name of the company.

 

8.  BUSINESS DURING TRANSITION. Purchaser and Seller agree that business will continue to be conducted in the name of the Company during the period from when this agreement is executed and through the Final Closing. Additionally, all working capital of the Company, including minimum capital required by FINRA and the SEC along with any net capital held as of the date of this Agreement shall remain with the Company at and through the Final Closing, however all such deposits and excess capital shall be paid by the Purchaser to the Seller on or before the Final Closing Date. The Purchaser fully indemnifies the Seller for any and all liability relating to such business that it incurs in the name of the Company during this period of transition.

 

9.   GOVERNING LAW. This Agreement shall be interpreted and governed in accordance with the laws of the State of Colorado. The parties herein waive trial by jury. In the event that litigation results or arise out of this Agreement or the performance thereof, the parties agree that each party will pay their own portion of any reasonable attorney's fee, costs, expenses, in addition to any other relief to which the prevailing party may be entitled.

 

10.  CONDITIONS TO CLOSING. The Final Closing is conditioned upon the fulfillment by the Seller of the satisfaction of the representations and warranties made herein being true and correct in all material respects, and the Purchaser's timely payment and delivery to Seller of all sums de as of the date of Final Closing.

 

11.  SEVERABILITY. In the event that any term, covenant, condition, or other provision contained herein is held to be invalid, void or otherwise unenforceable by any court of competent jurisdiction, the invalidity of any such term, covenant, condition, provision or Agreement shall in no way affect any other term, covenant, condition or provision or Agreement contained herein, which shall remain in full force and effect.

 

12.  ENTIRE AGREEMENT. This Agreement contains all of the terms agreed upon by the parties with respect to the subject matter hereof. This Agreement has been entered into after full investigation of all provisions of this Agreement.

 

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13. INVALIDITY. If any paragraph of this Agreement shall be held or declared to be void, invalid or illegal, for any reason, by any court of competent jurisdiction, such provision shall be ineffective but shall not in any way invalidate or affect any other clause, Paragraph, section or part of this Agreement.

 

14.  GENDER AND NUMBER: SECTION HEADINGS. Words importing a particular gender mean and include the other gender and words importing a singular number mean and include the plural number and vice versa, unless the context clearly indicated to the contrary. The section and other headings contained in this Agreement are for reference purposes only and shall not affect the meaning or interpretation of this Agreement.

 

15.  AMENDMENTS. No amendments or additions to this Agreement shall be binding unless in writing, signed by both parties, except as herein otherwise specifically provided.

 

16.  ASSIGNMENT. This Agreement is not assignable by the Seller, however if the Seller agrees to an assignment by the Buyer, it shall be effectuated by all the necessary corporate authorizations and governmental and/or regulatory filings.

 

17.  CLOSING DOCUMENTS. Seller and Purchaser agree, at any time, to execute, and acknowledge where appropriate, and to deliver any and all documents/instruments, and take such further action, which may necessary to carry out the terms, conditions, purpose and intentions of this Agreement. This paragraph shall survive the Final Closing.

 

18.  EXCLUSIVE AGREEMENT: AMENDMENT. This Agreement supersedes all prior agreements that may exist between the parties to this Agreement, or understandings among the parties with respect to its subject matter with respect thereto and cannot be changed or terminated orally.

 

19.  FACSIMILE SIGNATURES. Execution of this Agreement and delivery of signed copies thereof by facsimile signatures from the parties hereto or their agents is acceptable to the parties who waive any objections or defenses based upon lack of an original signature.

 

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20. PUBLICITY. Except as otherwise required by law, none of the parties hereto shall issue any press release or make any other public statement, in each case relating to, connected with or arising out of this Agreement or the matters contained herein, without obtaining the prior approval of the other to the contents and the manner of presentation and publication thereof.

 

 

IN WITNESS WHEREOF, and intending to be legally bound, the parties hereto have signed this Agreement by their duly authorized officers the day and year first above written.

 

 

	Purchaser:

	 

	Seller:

	 

	QMIS TBS Capital Group Corp.

	 

	Richfield Orion International, LLC

	 

	 

	 

	 

	 

	By: 

	 /s/ Chin Yung Kong

	 

	By:

	/s/ J. Brett Stuart

	Name: 

	Chin Yung Kong

	 

	Name:

	 J. Brett Stuart

	Title:

	 C.E.O.

	 

	Title:

	Managing Member

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