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Document

Exhibit 10.11

EMPLOYMENT AGREEMENT
This Employment Agreement (“Agreement”) is made between Absci Corporation, a Delaware corporation (the “Company”), and Nikhil Goel (the “Executive”) and is effective as of the closing of the Company’s first underwritten public offering of its equity securities pursuant to an effective registration statement under the Securities Act of 1933, as amended (the “Effective Date”).  Except with respect to the Restrictive Covenants Agreement and the Equity Documents (each as defined below) and subject to Section 11, this Agreement supersedes in all respects all prior agreements between the Executive and the Company regarding the subject matter herein, including without limitation (i) the offer letter between the Executive and the Company dated May 28, 2021 (the “Prior Agreement”), and (ii) any other offer letter, employment agreement or severance agreement.
WHEREAS, the Company desires to continue to employ the Executive and the Executive desires to continue to be employed by the Company on the new terms and conditions contained herein.
NOW, THEREFORE, in consideration of the mutual covenants and agreements herein contained and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows:
1.Employment.
(a)Term.   The Company shall employ the Executive and the Executive shall be employed by the Company pursuant to this Agreement commencing as of the Effective Date and continuing until such employment is terminated in accordance with the provisions hereof (the “Term”).  The Executive’s employment with the Company shall continue to be “at will,” meaning that the Executive’s employment may be terminated by the Company or the Executive at any time and for any reason subject to the terms of this Agreement.
(b)Position and Duties.  The Executive shall serve as the Chief Business Officer of the Company and shall have such powers and duties as may from time to time be prescribed by the Chief Executive Officer (the “CEO”) or other duly authorized executive.  The Executive shall devote the Executive’s full working time and efforts to the business and affairs of the Company.  Notwithstanding the foregoing, the Executive may serve on other boards of directors, with the approval of the Board of Directors of the Company (the “Board”), or engage in religious, charitable or other community activities as long as such services and activities do not interfere with the Executive’s performance of the Executive’s duties to the Company.
(c)Location.   The Executive’s primary work location will be in the Company’s office, currently located in Vancouver, Washington; provided that the Executive may be required to travel regularly for business, consistent with the Company’s business needs.
2.Compensation and Related Matters.
(a)Base Salary.  The Executive’s initial base salary shall be paid at the rate of  $400,000 per year.  The Executive’s base salary shall be subject to periodic review by the Board or the Compensation Committee of the Board (the “Compensation Committee”).  The base salary in effect at any given time is referred to herein as “Base Salary.”  The Base Salary shall be payable in a manner that is consistent with the Company’s usual payroll practices for its executive officers.

(b)Incentive Compensation.  The Executive shall be eligible to receive cash incentive compensation as determined by the Board or the Compensation Committee from time to time.  The Executive’s initial target annual incentive compensation shall be 40 percent of the Executive’s Base Salary; provided that any incentive compensation for calendar year 2021 will be prorated based on the commencement date of the Executive’s employment.  The target annual incentive compensation in effect at any given time is referred to herein as “Target Bonus.”  The actual amount of the Executive’s annual incentive compensation, if any, shall be determined in the sole discretion of the Board or the Compensation Committee.  Any annual incentive compensation will be paid no later than March 15th of the calendar year following the calendar year to which such bonus relates.  Except as otherwise provided herein or as may be provided by the Board or the Compensation Committee, the Executive must be employed by the Company on the date such incentive compensation is paid in order to earn or receive any annual incentive compensation.  
(c)Expenses.  The Executive shall be entitled to receive prompt reimbursement for all reasonable expenses incurred by the Executive during the Term in performing services hereunder, in accordance with the policies and procedures then in effect and established by the Company for its executive officers.
(d)Other Benefits.  The Executive shall be eligible to participate in or receive benefits under the Company’s employee benefit plans in effect from time to time, subject to the terms of such plans.
(e)Paid Time Off.  The Executive shall be entitled to take paid time off in accordance with the Company’s applicable paid time off policy for executives, as may be in effect from time to time.
(f)Equity.  The equity awards held by the Executive shall continue to be governed by the terms and conditions of the Company’s applicable equity incentive plan(s) and the applicable award agreement(s) governing the terms of such equity awards (collectively, the “Equity Documents”).  Accordingly, any equity award(s) granted to the Executive prior to the Effective Date that is/are subject to single trigger accelerated vesting pursuant to formally approved Board resolution(s) shall fully vest and become immediately exercisable upon a Change in Control in accordance with and subject to the terms of such Board resolutions(s) and the Equity Documents (“Preserved Single Trigger Acceleration).  With respect to Executive’s award(s) that are not subject to Preserved Single Trigger Acceleration, and notwithstanding anything to the contrary in the Equity Documents, in the event of a termination of the Executive’s employment by the Company without Cause or by the Executive for Good Reason in either event within the Change in Control Period (as such terms are defined below), all stock options and other stock-based awards held by the Executive that are subject solely to time-based vesting shall immediately accelerate and become fully vested and exercisable or nonforfeitable as of the Date of Termination (as defined below). 
3.Termination.  The Executive’s employment hereunder may be terminated without any breach of this Agreement under the following circumstances:
(a)Death.  The Executive’s employment hereunder shall terminate upon death.
(b)Disability.  The Company may terminate the Executive’s employment if the Executive is disabled and unable to perform or expected to be unable to perform the essential functions of the Executive’s then existing position or positions under this Agreement with or without reasonable accommodation for a period of 180 days (which need not be consecutive) in any 12-month period.  If any question shall arise as to whether during any period the Executive is 

disabled so as to be unable to perform the essential functions of the Executive’s then existing position or positions with or without reasonable accommodation, the Executive may, and at the request of the Company shall, submit to the Company a certification in reasonable detail by a physician selected by the Company to whom the Executive or the Executive’s guardian has no reasonable objection as to whether the Executive is so disabled or how long such disability is expected to continue, and such certification shall for the purposes of this Agreement be conclusive of the issue.  The Executive shall cooperate with any reasonable request of the physician in connection with such certification.  If such question shall arise and the Executive shall fail to submit such certification, the Company’s determination of such issue shall be binding on the Executive.  Nothing in this Section 3(b) shall be construed to waive the Executive’s rights, if any, under existing law including, without limitation, the Family and Medical Leave Act of 1993, 29 U.S.C. §2601 et seq. and the Americans with Disabilities Act, 42 U.S.C. §12101 et seq.  
(c)Termination by the Company for Cause.  The Company may terminate the Executive’s employment hereunder for Cause.  For purposes of this Agreement, “Cause” shall mean any of the following:  
(i)conduct by the Executive constituting a material act of misconduct in connection with the performance of the Executive’s duties, including, without limitation, (A) willful failure or refusal to perform material responsibilities that have been requested by the CEO; (B) dishonesty to the CEO with respect to any material matter; or (C) misappropriation of funds or property of the Company or any of its subsidiaries or affiliates other than the occasional, customary and de minimis use of Company property for personal purposes; 
(ii)the commission by the Executive of acts satisfying the elements of (A) any felony or (B) a misdemeanor involving moral turpitude, deceit, dishonesty or fraud; 
(iii)any misconduct by the Executive, regardless of whether or not in the course of the Executive’s employment, that would reasonably be expected to result in material injury or reputational harm to the Company or any of its subsidiaries or affiliates if the Executive were to continue to be employed in the same position; 
(iv)continued unsatisfactory performance or non-performance by the Executive of the Executive’s duties hereunder (other than by reason of the Executive’s physical or mental illness, incapacity or disability) which has continued for more than 30 days following written notice of such unsatisfactory performance or non-performance from the CEO; 
(v)a breach by the Executive of any of the provisions contained in Section 8 of this Agreement or the Restrictive Covenants Agreement; 
(vi)a material violation by the Executive of any of the Company’s written employment policies; or 
(vii)the Executive’s failure to cooperate with a bona fide internal investigation or an investigation by regulatory or law enforcement authorities, after being instructed by the Company to cooperate, or the willful destruction or failure to preserve documents or other materials known to be relevant to such investigation or the inducement of others to fail to cooperate or to produce documents or other materials in connection with such investigation.
(d)Termination by the Company without Cause.  The Company may terminate the Executive’s employment hereunder at any time without Cause.  Any termination by the Company of the Executive’s employment under this Agreement which does not constitute a 

termination for Cause under Section 3(c) and does not result from the death or disability of the Executive under Section 3(a) or (b) shall be deemed a termination without Cause.
(e)Termination by the Executive.  The Executive may terminate employment hereunder at any time for any reason, including but not limited to, Good Reason.  For purposes of this Agreement, “Good Reason” shall mean that the Executive has completed all steps of the Good Reason Process (hereinafter defined) following the occurrence of any of the following events without the Executive’s consent (each, a “Good Reason Condition”):  
(i)a material diminution in the Executive’s responsibilities, authority or duties during the Change in Control Period;
(ii)a material diminution in the Executive’s Base Salary except for across-the-board salary reductions based on the Company’s financial performance similarly affecting all or substantially all senior management employees of the Company; or
(iii)a material breach of this Agreement by the Company.  
The “Good Reason Process” consists of the following steps: 
(i)the Executive reasonably determines in good faith that a Good Reason Condition has occurred; 
(ii)the Executive notifies the Company in writing of the first occurrence of the Good Reason Condition within 60 days of the first occurrence of such condition; 
(iii)the Executive cooperates in good faith with the Company’s efforts, for a period of not less than 30 days following such notice (the “Cure Period”), to remedy the Good Reason Condition; 
(iv)notwithstanding such efforts, the Good Reason Condition continues to exist at the end of the Cure Period; and 
(v)the Executive terminates employment within 60 days after the end of the Cure Period.  
If the Company cures the Good Reason Condition during the Cure Period, Good Reason shall be deemed not to have occurred.
4.Matters Related to Termination.
(a)Notice of Termination.  Except for termination as specified in Section 3(a), any termination of the Executive’s employment by the Company or any such termination by the Executive shall be communicated by written Notice of Termination to the other party hereto.  For purposes of this Agreement, a “Notice of Termination” shall mean a notice which shall indicate the specific termination provision in this Agreement relied upon.
(b)Date of Termination.  “Date of Termination” shall mean:  (i) if the Executive’s employment is terminated by death, the date of death; (ii) if the Executive’s employment is terminated on account of disability under Section 3(b) or by the Company for Cause under Section 3(c), the date on which Notice of Termination is given; (iii) if the Executive’s employment is terminated by the Company without Cause under Section 3(d), the 

date on which a Notice of Termination is given or the date otherwise specified by the Company in the Notice of Termination; (iv) if the Executive’s employment is terminated by the Executive under Section 3(e) other than for Good Reason, 30 days after the date on which a Notice of Termination is given, and (v) if the Executive’s employment is terminated by the Executive under Section 3(e) for Good Reason, the date on which a Notice of Termination is given after the end of the Cure Period.  Notwithstanding the foregoing, in the event that the Executive gives a Notice of Termination to the Company, the Company may unilaterally accelerate the Date of Termination and such acceleration shall not result in a termination by the Company for purposes of this Agreement.
(c)Accrued Obligations.  If the Executive’s employment with the Company is terminated for any reason, the Company shall pay or provide to the Executive (or to the Executive’s authorized representative or estate) (i) any Base Salary earned through the Date of Termination and, if applicable, any accrued but unused vacation through the Date of Termination; (ii) unpaid expense reimbursements (subject to, and in accordance with, Section 2(c) of this Agreement); and (iii) any vested benefits the Executive may have under any employee benefit plan of the Company through the Date of Termination, which vested benefits shall be paid and/or provided in accordance with the terms of such employee benefit plans (collectively, the “Accrued Obligations”).
(d)Resignation of All Other Positions.  To the extent applicable, the Executive shall be deemed to have resigned from all officer and board member positions that the Executive holds with the Company or any of its respective subsidiaries and affiliates upon the termination of the Executive’s employment for any reason.  The Executive shall execute any documents in reasonable form as may be requested to confirm or effectuate any such resignations.
5.Severance Pay and Benefits Upon Termination by the Company without Cause or by the Executive for Good Reason Outside the Change in Control Period.  If the Executive’s employment is terminated by the Company without Cause as provided in Section 3(d), or the Executive terminates employment for Good Reason as provided in Section 3(e)(ii) or (iii), in each case outside of the Change in Control Period, then, in addition to the Accrued Obligations, and subject to (i) the Executive signing a separation agreement and release in a form and manner satisfactory to the Company, which shall include, without limitation, a general release of claims against the Company and all related persons and entities that shall not release the Executive’s rights under this Agreement, a reaffirmation of all of the Executive’s Continuing Obligations (as defined below), and, in the Company’s sole discretion, a one-year post-employment noncompetition agreement, and shall provide that if the Executive breaches any of the Continuing Obligations, all payments of the Severance Amount shall immediately cease (the “Separation Agreement”), and (ii) the Separation Agreement becoming irrevocable, all within 60 days after the Date of Termination (or such shorter period as set forth in the Separation Agreement), which shall include a seven (7) business day revocation period:
(a)the Company shall pay the Executive an amount equal to 9 months of the Executive’s Base Salary (the “Severance Amount”); provided that in the event the Executive is entitled to Garden Leave Pay (as defined below), the Severance Amount received in any calendar year will be reduced by the amount of Garden Leave Pay the Executive is paid in the same such calendar year (the “Garden Leave Pay Setoff”); and
(b)subject to the Executive’s copayment of premium amounts at the applicable active employees’ rate and the Executive’s proper election to receive benefits under the Consolidated Omnibus Budget Reconciliation Act of 1985, as amended (“COBRA”), the Company shall pay to the group health plan provider or the COBRA provider a monthly payment equal to the monthly employer contribution that the Company would have made to provide 

health insurance to the Executive if the Executive had remained employed by the Company until the earliest of (i) the 9-month anniversary of the Date of Termination; (ii) the date that the Executive becomes eligible for group medical plan benefits under any other employer’s group medical plan; or (iii) the cessation of the Executive’s health continuation rights under COBRA; provided, however, that if the Company determines that it cannot pay such amounts to the group health plan provider or the COBRA provider (if applicable) without potentially violating applicable law (including, without limitation, Section 2716 of the Public Health Service Act), then the Company shall convert such payments to payroll payments directly to the Executive for the time period specified above.  Such payments to the Executive shall be subject to tax-related deductions and withholdings and paid on the Company’s regular payroll dates.
The amounts payable under Section 5, to the extent taxable, shall be paid out in substantially equal installments in accordance with the Company’s payroll practice over 9 months commencing within 60 days after the Date of Termination; provided, however, that if the 60-day period begins in one calendar year and ends in a second calendar year, such payments, to the extent they qualify as “non-qualified deferred compensation” within the meaning of Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”), shall begin to be paid in the second calendar year by the last day of such 60-day period; provided, further, that the initial payment shall include a catch-up payment to cover amounts retroactive to the day immediately following the Date of Termination.  Each payment pursuant to this Agreement is intended to constitute a separate payment for purposes of Treasury Regulation Section 1.409A-2(b)(2).
6.Severance Pay and Benefits Upon Termination by the Company without Cause or by the Executive for Good Reason within the Change in Control Period.  The provisions of this Section 6 shall apply in lieu of, and expressly supersede, the provisions of Section 5 if (i) the Executive’s employment is terminated either (a) by the Company without Cause as provided in Section 3(d), or (b) by the Executive for Good Reason as provided in Section 3(e), and (ii) the Date of Termination is on or within 12 months after the occurrence of the first event constituting a Change in Control (such period, the “Change in Control Period”). These provisions shall terminate and be of no further force or effect after the Change in Control Period.
(a)If the Executive’s employment is terminated by the Company without Cause as provided in Section 3(d) or the Executive terminates employment for Good Reason as provided in Section 3(e) and in each case the Date of Termination occurs during the Change in Control Period, then, in addition to the Accrued Obligations, and subject to the signing of a general release of claims against the Company and all related persons and entities that shall not release the Executive’s rights under this Agreement (the “Release”) by the Executive and the Release becoming fully effective, all within the time frame set forth in the Release but in no event more than 60 days after the Date of Termination:
(i)the Company shall pay the Executive a lump sum in cash in an amount equal to the sum of (A) 12 months of the Executive’s then-current Base Salary (or the Executive’s Base Salary in effect immediately prior to the Change in Control, if higher) plus (B) 1.0 times the Executive’s Target Bonus for the then-current year (or the Executive’s Target Bonus in effect immediately prior to the Change in Control, if higher) (the “Change in Control Payment”); provided that the Change in Control Payment shall be reduced by the amount of the Garden Leave Pay Setoff, if applicable; and
(ii)subject to the Executive’s copayment of premium amounts at the applicable active employees’ rate and the Executive’s proper election to receive benefits under COBRA, the Company shall pay to the group health plan provider or the COBRA provider a monthly payment equal to the monthly employer contribution that the Company would have made to provide health insurance to the Executive if the Executive had remained employed by the Company until the earliest of (A) the 12-month 

anniversary of the Date of Termination; (B) the date that the Executive becomes eligible for group medical plan benefits under any other employer’s group medical plan; or (C) the cessation of the Executive’s health continuation rights under COBRA; provided, however, that if the Company determines that it cannot pay such amounts to the group health plan provider or the COBRA provider (if applicable) without potentially violating applicable law (including, without limitation, Section 2716 of the Public Health Service Act), then the Company shall convert such payments to payroll payments directly to the Executive for the time period specified above.  Such payments to the Executive shall be subject to tax-related deductions and withholdings and paid on the Company’s regular payroll dates.  
The amounts payable under this Section 6(a), to the extent taxable, shall be paid or commence to be paid within 60 days after the Date of Termination; provided, however, that if the 60-day period begins in one calendar year and ends in a second calendar year, such payments to the extent they qualify as “non-qualified deferred compensation” within the meaning of Section 409A of the Code, shall be paid or commence to be paid in the second calendar year by the last day of such 60-day period.  
(b)Additional Limitation.
(i)Anything in this Agreement to the contrary notwithstanding, in the event that the amount of any compensation, payment or distribution by the Company to or for the benefit of the Executive, whether paid or payable or distributed or distributable pursuant to the terms of this Agreement or otherwise, calculated in a manner consistent with Section 280G of the Code, and the applicable regulations thereunder (the “Aggregate Payments”), would be subject to the excise tax imposed by Section 4999 of the Code, then the Aggregate Payments shall be reduced (but not below zero) so that the sum of all of the Aggregate Payments shall be $1.00 less than the amount at which the Executive becomes subject to the excise tax imposed by Section 4999 of the Code; provided that such reduction shall only occur if it would result in the Executive receiving a higher After Tax Amount (as defined below) than the Executive would receive if the Aggregate Payments were not subject to such reduction.  In such event, the Aggregate Payments shall be reduced in the following order, in each case, in reverse chronological order beginning with the Aggregate Payments that are to be paid the furthest in time from consummation of the transaction that is subject to Section 280G of the Code:  (A) cash payments not subject to Section 409A of the Code; (B) cash payments subject to Section 409A of the Code; (C) equity-based payments and acceleration; and (D) non-cash forms of benefits; provided that in the case of all the foregoing Aggregate Payments all amounts or payments that are not subject to calculation under Treas. Reg. §1.280G-1, Q&A-24(b) or (c) shall be reduced before any amounts that are subject to calculation under Treas. Reg. §1.280G-1, Q&A-24(b) or (c).
(ii)For purposes of this Section 6(b), the “After Tax Amount” means the amount of the Aggregate Payments less all federal, state, and local income, excise and employment taxes imposed on the Executive as a result of the Executive’s receipt of the Aggregate Payments.  For purposes of determining the After Tax Amount, the Executive shall be deemed to pay federal income taxes at the highest marginal rate of federal income taxation applicable to individuals for the calendar year in which the determination is to be made, and state and local income taxes at the highest marginal rates of individual taxation in each applicable state and locality, net of the maximum reduction in federal income taxes which could be obtained from deduction of such state and local taxes. 
(iii)The determination as to whether a reduction in the Aggregate Payments shall be made pursuant to Section 6(b)(i) shall be made by a nationally 

recognized accounting firm selected by the Company (the “Accounting Firm”), which shall provide detailed supporting calculations both to the Company and the Executive within 15 business days of the Date of Termination, if applicable, or at such earlier time as is reasonably requested by the Company or the Executive.  Any determination by the Accounting Firm shall be binding upon the Company and the Executive.
(c)Definitions.  For purposes of this Agreement, “Change in Control” shall mean a “Sale Event” as defined in the Company’s 2021 Stock Option and Incentive Plan, as the same may be amended from time to time.
7.Section 409A.
(a)Anything in this Agreement to the contrary notwithstanding, if at the time of the Executive’s separation from service within the meaning of Section 409A of the Code, the Company determines that the Executive is a “specified employee” within the meaning of Section 409A(a)(2)(B)(i) of the Code, then to the extent any payment or benefit that the Executive becomes entitled to under this Agreement or otherwise on account of the Executive’s separation from service would be considered deferred compensation otherwise subject to the 20 percent additional tax imposed pursuant to Section 409A(a) of the Code as a result of the application of Section 409A(a)(2)(B)(i) of the Code, such payment shall not be payable and such benefit shall not be provided until the date that is the earlier of (i) six months and one day after the Executive’s separation from service, or (ii) the Executive’s death.  If any such delayed cash payment is otherwise payable on an installment basis, the first payment shall include a catch-up payment covering amounts that would otherwise have been paid during the six-month period but for the application of this provision, and the balance of the installments shall be payable in accordance with their original schedule. 
(b)All in-kind benefits provided and expenses eligible for reimbursement under this Agreement shall be provided by the Company or incurred by the Executive during the time periods set forth in this Agreement.  All reimbursements shall be paid as soon as administratively practicable, but in no event shall any reimbursement be paid after the last day of the taxable year following the taxable year in which the expense was incurred.  The amount of in-kind benefits provided or reimbursable expenses incurred in one taxable year shall not affect the in-kind benefits to be provided or the expenses eligible for reimbursement in any other taxable year (except for any lifetime or other aggregate limitation applicable to medical expenses).  Such right to reimbursement or in-kind benefits is not subject to liquidation or exchange for another benefit.
(c)To the extent that any payment or benefit described in this Agreement constitutes “non-qualified deferred compensation” under Section 409A of the Code, and to the extent that such payment or benefit is payable upon the Executive’s termination of employment, then such payments or benefits shall be payable only upon the Executive’s “separation from service.”  The determination of whether and when a separation from service has occurred shall be made in accordance with the presumptions set forth in Treasury Regulation Section 1.409A-1(h).
(d)The parties intend that this Agreement will be administered in accordance with Section 409A of the Code.  To the extent that any provision of this Agreement is ambiguous as to its compliance with Section 409A of the Code, the provision shall be read in such a manner so that all payments hereunder comply with Section 409A of the Code.  Each payment pursuant to this Agreement or the Restrictive Covenants Agreement is intended to constitute a separate payment for purposes of Treasury Regulation Section 1.409A-2(b)(2).  The parties agree that this Agreement may be amended, as reasonably requested by either party, and as may be necessary to 

fully comply with Section 409A of the Code and all related rules and regulations in order to preserve the payments and benefits provided hereunder without additional cost to either party.
(e)The Company makes no representation or warranty and shall have no liability to the Executive or any other person if any provisions of this Agreement are determined to constitute deferred compensation subject to Section 409A of the Code but do not satisfy an exemption from, or the conditions of, such Section.
8.Continuing Obligations. 
(a)Restrictive Covenants Agreement.  The terms of the Confidentiality and Proprietary Rights Agreement, dated June 21, 2021 (the “Restrictive Covenants Agreement”), between the Company and the Executive, attached hereto as Exhibit A, continue to be in full force and effect.  For the avoidance of doubt, the term “Company” in the Restrictive Covenants Agreement means Absci Corporation, including its subsidiaries and other affiliates and its and their predecessors, successors and assigns.  For purposes of this Agreement, the obligations in this Section 8 and those that arise in the Restrictive Covenants Agreement and any other agreement relating to confidentiality, assignment of inventions, or other restrictive covenants shall collectively be referred to as the “Continuing Obligations.”  
(b)Noncompetition.  In consideration for the increase of the Executive's Base Salary and Target Bonus provided for in this Agreement, such increases the Executive acknowledges the Executive would not otherwise be entitled to receive and are independent of the Executive’s continued employment with the Company, and in order to protect the Company’s Confidential Information (as defined in the Restrictive Covenants Agreement) and goodwill, during the Executive’s employment with the Company and for the 12 months following the Date of Termination (the “Restricted Period”), the Executive shall not, directly or indirectly, anywhere in the Business Territory (as defined below), engage, participate or invest in any Competing Business (as defined below).  “Competing Business” means a business, person, entity, joint venture, facility, partnership, association or other organization that develops, manufactures or markets any products, or performs any services, that involve synthetic biology and/or artificial intelligence-based drug design.  “Business Territory” means anywhere in the geographic areas of the United States in which the Company conducted business at any time during the 12 months prior to the Date of Termination.  If the Executive’s employment with the Company ends due to a layoff (which, to avoid doubt, means a termination of the Executive’s employment solely due to economic reasons and not due to the Company's dissatisfaction with the Executive’s performance or misconduct or another applicable reason) and the Company does not expressly waive in writing its right to enforce this Section 8(b), then, during the Restricted Period, the Company shall provide the Executive with compensation, payable in installments during the Restricted Period according to the Company’s regular payroll schedule, in an amount equal to the Executive’s Base Salary in effect as of the Date of Termination, less any compensation the Executive earns through subsequent employment or other business engagements during the Restricted Period (“Garden Leave Pay”).  In the event the Executive receives Garden Leave Pay, the Executive agrees to report promptly to the Company any compensation the Executive earns through subsequent employment or other business engagements during the Restricted Period.  The provisions of this Section 8(b) shall only be in effect if the Executive’s Earnings from the Company exceed the minimum threshold required for an enforceable noncompetition covenant under Washington law, as such “Earnings” are defined and calculated under the Washington’s law regarding noncompetition agreements, RCW 49.62.005 to 49.62.900.  The Executive understands that this Section 8(b) may become enforceable against the Executive in the future if the Executive’s Earnings exceed such threshold in the future even if the Executive’s Earnings do not exceed such threshold upon hire or at other times during the Executive’s employment.  The Company may waive its right to enforce this Section 8(b) at any time in writing, and such waiver 

shall render this Section 8(b) null and void and shall not affect the Company’s right to enforce any other part of this Agreement or the Restrictive Covenants Agreement.
(c)Third-Party Agreements and Rights.  The Executive hereby confirms that the Executive is not bound by the terms of any agreement with any previous employer or other party which restricts in any way the Executive’s use or disclosure of information, other than confidentiality restrictions (if any), or the Executive’s engagement in any business.  The Executive represents to the Company that the Executive’s execution of this Agreement, the Executive’s employment with the Company and the performance of the Executive’s proposed duties for the Company will not violate any obligations the Executive may have to any such previous employer or other party.  In the Executive’s work for the Company, the Executive will not disclose or make use of any information in violation of any agreements with or rights of any such previous employer or other party, and the Executive will not bring to the premises of the Company any copies or other tangible embodiments of non-public information belonging to or obtained from any such previous employment or other party.
(d)Litigation and Regulatory Cooperation.  During and after the Executive’s employment, the Executive shall cooperate fully with the Company in (i) the defense or prosecution of any claims or actions now in existence or which may be brought in the future against or on behalf of the Company which relate to events or occurrences that transpired while the Executive was employed by the Company, and (ii) the investigation, whether internal or external, of any matters about which the Company believes the Executive may have knowledge or information.  The Executive’s full cooperation in connection with such claims, actions or investigations shall include, but not be limited to, being available to meet with counsel to answer questions or to prepare for discovery or trial and to act as a witness on behalf of the Company at mutually convenient times.  During and after the Executive’s employment, the Executive also shall cooperate fully with the Company in connection with any investigation or review of any federal, state or local regulatory authority as any such investigation or review relates to events or occurrences that transpired while the Executive was employed by the Company.  The Company shall reimburse the Executive for any reasonable out-of-pocket expenses incurred in connection with the Executive’s performance of obligations pursuant to this Section 8(d).
(e)Relief.  The Executive agrees that it would be difficult to measure any damages caused to the Company which might result from any breach by the Executive of the Continuing Obligations, and that in any event money damages would be an inadequate remedy for any such breach.  Accordingly, the Executive agrees that if the Executive breaches, or proposes to breach, any portion of the Continuing Obligations, the Company shall be entitled, in addition to all other remedies that it may have, to an injunction or other appropriate equitable relief to restrain any such breach without showing or proving any actual damage to the Company.
9.Consent to Jurisdiction.  The parties hereby consent to the jurisdiction of the state and federal courts of the State of Washington.  Accordingly, with respect to any such court action, the Executive (a) submits to the exclusive personal jurisdiction of such courts; (b) consents to service of process; and (c) waives any other requirement (whether imposed by statute, rule of court, or otherwise) with respect to personal jurisdiction or service of process.
10.Waiver of Jury Trial.  Each of the Executive and the Company irrevocably and unconditionally WAIVES ALL RIGHT TO TRIAL BY JURY IN ANY PROCEEDING (WHETHER BASED ON CONTRACT, TORT OR OTHERWISE) ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE EXECUTIVE’S EMPLOYMENT BY THE COMPANY OR ANY AFFILIATE OF THE COMPANY, INCLUDING WITHOUT LIMITATION THE EXECUTIVE’S OR THE COMPANY’S PERFORMANCE UNDER, OR THE ENFORCEMENT OF, THIS AGREEMENT.

11.Integration.  This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior agreements between the parties concerning such subject matter, including the Prior Agreement, provided that the Restrictive Covenants Agreement and the Equity Documents remain in full force and effect.  
12.Withholding; Tax Effect.  All payments made by the Company to the Executive under this Agreement shall be net of any tax or other amounts required to be withheld by the Company under applicable law.  Nothing in this Agreement shall be construed to require the Company to make any payments to compensate the Executive for any adverse tax effect associated with any payments or benefits or for any deduction or withholding from any payment or benefit.  
13.Assignment; Successors and Assigns.  Neither the Executive nor the Company may make any assignment of this Agreement or any interest in it, by operation of law or otherwise, without the prior written consent of the other; provided, however, that the Company may assign its rights and obligations under this Agreement (including the Restrictive Covenants Agreement) without the Executive’s consent to any affiliate or to any person or entity with whom the Company shall hereafter effect a reorganization or consolidation, into which the Company merges or to whom it transfers all or substantially all of its properties or assets; provided, further that if the Executive remains employed or becomes employed by the Company, the purchaser or any of their affiliates in connection with any such transaction, then the Executive shall not be entitled to any payments, benefits or vesting pursuant to Section 2(f), Section 5 or Section 6 of this Agreement solely as a result of such transaction.  This Agreement shall inure to the benefit of and be binding upon the Executive and the Company, and each of the Executive’s and the Company’s respective successors, executors, administrators, heirs and permitted assigns.  In the event of the Executive’s death after the Executive’s termination of employment but prior to the completion by the Company of all payments due to the Executive under this Agreement, the Company shall continue such payments to the Executive’s beneficiary designated in writing to the Company prior to the Executive’s death (or to the Executive’s estate, if the Executive fails to make such designation).
14.Enforceability.  If any portion or provision of this Agreement (including, without limitation, any portion or provision of any section of this Agreement) shall to any extent be declared illegal or unenforceable by a court of competent jurisdiction, then the remainder of this Agreement, or the application of such portion or provision in circumstances other than those as to which it is so declared illegal or unenforceable, shall not be affected thereby, and each portion and provision of this Agreement shall be valid and enforceable to the fullest extent permitted by law.
15.Survival.  For the avoidance of doubt, this Agreement shall survive the termination of the Executive’s employment to the extent necessary to effectuate the terms contained herein.
16.Waiver.  No waiver of any provision hereof shall be effective unless made in writing and signed by the waiving party.  The failure of any party to require the performance of any term or obligation of this Agreement, or the waiver by any party of any breach of this Agreement, shall not prevent any subsequent enforcement of such term or obligation or be deemed a waiver of any subsequent breach.
17.Notices.  Any notices, requests, demands and other communications provided for by this Agreement shall be sufficient if in writing and delivered in person or sent by a nationally recognized overnight courier service or by registered or certified mail, postage prepaid, return receipt requested, to the Executive at the last address the Executive has filed in writing with the Company or, in the case of the Company, at its main offices, attention of the Board.

18.Amendment.  This Agreement may be amended or modified only by a written instrument signed by the Executive and by a duly authorized representative of the Company.
19.Effect on Other Plans and Agreements.  An election by the Executive to resign for Good Reason under the provisions of this Agreement shall not be deemed a voluntary termination of employment by the Executive for the purpose of interpreting the provisions of any of the Company's benefit plans, programs or policies.  Nothing in this Agreement shall be construed to limit the rights of the Executive under the Company’s benefit plans, programs or policies except as otherwise provided in Section 8 hereof, and except that the Executive shall have no rights to any severance benefits under any Company severance pay plan, offer letter or otherwise.  Except for the Restrictive Covenants Agreement, in the event that the Executive is party to an agreement with the Company providing for payments or benefits under such plan or agreement and under this Agreement, the terms of this Agreement shall govern and the Executive may receive payment under this Agreement only and not both.  Further, Section 5 and Section 6 of this Agreement are mutually exclusive and in no event shall the Executive be entitled to payments or benefits pursuant to both Section 5 and Section 6 of this Agreement.  
20.Governing Law.  This is a Washington contract and shall be construed under and be governed in all respects by the laws of the State of Washington, without giving effect to the conflict of laws principles thereof.  With respect to any disputes concerning federal law, such disputes shall be determined in accordance with the law as it would be interpreted and applied by the United States Court of Appeals for the Ninth Circuit.
21.Counterparts.  This Agreement may be executed in any number of counterparts, each of which when so executed and delivered shall be taken to be an original; but such counterparts shall together constitute one and the same document.
[Signature page follows]

IN WITNESS WHEREOF, the parties have executed this Agreement effective on the Effective Date.
ABSCI CORPORATION
By:    /s/ Sean McClain
Its:    CEO
EXECUTIVE
/s/ Nikhil Goel    
NIKHIL GOELExhibit
10.1

 

 

 

Securities
Purchase Agreement

 

By
and Among

 

Waterside
Capital Corporation

 

And

 

Daniel
Giancola

 

Dated
as of March 16, 2022

 

 

 

    	 

    	 

    

 

TABLE
OF CONTENTS

 

	Article
    I. 	DEFINITIONS	1
	Section
    1.01 	Definitions.	1
	Section
    1.02 	Interpretive
    Provisions.	2
	 	 	 
	Article
    II. 	PURCHASE
    AND SALE; AGREEMENTS	3
	Section
    2.01 	Purchase
    and Sale.	3
	Section
    2.02 	Deliverables
    at Closing.	3
	Section
    2.03 	Closing.	3
	 	 	 
	Article
    III. 	REPRESENTATIONS
    AND WARRANTIES OF THE COMPANY	4
	Section
    3.01 	Authorization
    of Transactions.	4
	Section
    3.02 	Governmental
    Approvals; Non-contravention.	4
	Section
    3.03 	Brokers.	4
	 	 	 
	Article
    IV. 	REPRESENTATIONS
    AND WARRANTIES OF BUYER	4
	Section
    4.01 	Authorization
    of Transactions.	4
	Section
    4.02 	Governmental
    Approvals; Non-contravention.	5
	Section
    4.03	Investment
    Representations.	5
	Section
    4.04	Brokers.	6
	 	 	 
	Article
    V. 	INDEMNIFICATION	7
	Section
    5.01 	General
    Indemnification.	7
	Section
    5.02 	Procedures
    for Indemnification.	7
	Section
    5.03 	Payment.	7
	Section
    5.04 	Effect
    of Knowledge on Indemnification.	7
	 	 	 
	Article
    VI. 	MISCELLANEOUS	7
	Section
    6.01 	Notices.	7
	Section
    6.02 	Attorneys’
    Fees	8
	Section
    6.03 	Amendments;
    No Waivers; No Third-Party Beneficiaries.	8
	Section
    6.04 	Expenses.	9
	Section
    6.05 	Further
    Assurances.	9
	Section
    6.06	Successors
and Assigns; Benefit.	9
	Section
    6.07 	Governing
    Law; Etc.	9
	Section
    6.08 	Survival.	10
	Section
    6.09 	Resolution
    of Disputes.	10
	Section
    6.10 	Severability.	11
	Section
    6.11	Entire
Agreement.	11
	Section
    6.12 	Specific
    Performance.	11
	Section
    6.13 	Construction.	11
	Section
    6.14 	Counterparts.	11

 

	Exhibit
    A 	Certificate
    of Designation of Preferences and Rights of Series A Convertible Preferred Stock
	Exhibit
    B	Form
    of Warrant

 

    	i

    	 

    

 

SECURITIES
PURCHASE AGREEMENT

 

This
Securities Purchase Agreement (this “Agreement”) is entered into as of March 16, 2021 (the “Closing Date”), by
and among Waterside Capital Corporation, a Nevada corporation (the “Company”) and Daniel Giancola (“Buyer”).
The Company and the Buyer may be collectively referred to herein as the “Parties” and individually as a “Party”.

 

WHEREAS,
the Company desires to issue and sell to the Buyer certain shares of Series A Convertible Preferred Stock, par value $0.0001 per share
(the “Series A Stock”) of the Corporation, which are convertible into shares of common stock, par value $0.0001 per share
of the Company (the “Common Stock”) and which have the rights and preferences as set forth in the Certificate of Designation
of Preferences and Rights of Series A Convertible Preferred Stock of the Corporation as attached hereto as Exhibit A (the “Certificate
of Designations”) and certain warrants to acquire shares of Common Stock, in each case on the terms set forth herein and the Buyer
wishes to purchase such securities on the terms and conditions provided for herein and the Parties desire to undertake the other actions
and enter into the other agreements as set forth herein;

 

NOW,
THEREFORE, in consideration of the mutual covenants and agreements hereinafter set forth and for other good and valuable consideration,
the receipt and sufficiency of which are hereby acknowledged, the Parties agree as follows:

 

Article
I. DEFINITIONS

 

Section
1.01 Definitions. In addition to the terms defined elsewhere in this Agreement, the following terms, as used herein, have the
following meanings:

 

	 	(a)	“Affiliate”
    means, with respect to a specified Person, any other Person that directly or indirectly Controls, is Controlled by or is under common
    Control with, the specified Person.
	 	 	 
	 	(b)	“Business
    Day” means any day except Saturday, Sunday and any legal holiday or a day on which banking institutions in Nevada generally
    are authorized or required by Law or other governmental actions to close.
	 	 	 
	 	(c)	“Contract”
    means any contract, commitment, understanding or agreement (whether oral or written).
	 	 	 
	 	(d)	“Control”
    means (a) the possession, directly or indirectly, of the power to vote 10% or more of the securities or other equity interests of
    a Person having ordinary voting power, (b) the possession, directly or indirectly, of the power to direct or cause the direction
    of the management and policies of a Person, by contractor otherwise, or (c) being a director, officer, executor, trustee or fiduciary
    (or their equivalents) of a Person or a Person that controls such Person.
	 	 	 
	 	(e)	“Governmental
    Entity” means any federal, state, municipal, local or foreign government and any court, tribunal, arbitral body, administrative
    agency, department, subdivision, entity, commission or other governmental, government appointed, quasi-governmental or regulatory
    authority, reporting entity or agency, domestic, foreign or supranational.

 

    	1

    	 

    

 

	 	(f)	“Law”
    means any applicable foreign, federal, state or local law (including common law), statute, treaty, rule, directive, regulation, ordinances
    and similar provisions having the force or effect of law or an Order of any Governmental Entity.
	 	 	 
	 	(g)	“Liabilities”
    means liabilities, obligations or responsibilities of any nature whatsoever, whether direct or indirect, matured or un-matured, fixed
    or unfixed, known or unknown, asserted or un asserted, choate or inchoate, liquidated or unliquidated, secured or unsecured, absolute,
    contingent or otherwise, including any direct or indirect indebtedness, guaranty, endorsement, claim, loss, damage, deficiency, cost
    or expense.
	 	 	 
	 	(h)	“Losses”
    means any losses, damages, deficiencies, Liabilities, assessments, fines, penalties, judgments, actions, claims, costs, disbursements,
    fees, expenses or settlements of any kind or nature, including legal, accounting and other professional fees and expenses.
	 	 	 
	 	(i)	“Order”
    means any judgment, writ, decree, determination, award, compliance agreement, settlement agreement, injunction, ruling, charge, judicial
    or administrative order, determination or other restriction of any Governmental Entity or arbitrator.
	 	 	 
	 	(j)	“Person”
    means a natural person, a corporation, a limited liability company, a partnership, an association, a trust or any other entity or
    organization, including a government or political subdivision or any agency or instrumentality thereof.
	 	 	 
	 	(k)	“Securities
    Act” means the United States Securities Act of 1933, as amended, and the rules and regulation promulgated thereunder.
	 	 	 
	 	(l)	“Transactions”
    means the purchase and sale of the Securities and the other transactions contemplated under the Transaction Documents.
	 	 	 
	 	(m)	“Transaction
    Documents” means this Agreement, the Warrants and any other agreement, document, certificate or writing delivered or to be
    delivered in connection with this Agreement and any other document related to the Transactions related to the forgoing, including,
    without limitations, those delivered at the Closing.

 

Section
1.02 Interpretive Provisions. Unless the express context otherwise requires, the words “hereof,” “herein,”
and “hereunder” and words of similar import, when used in this Agreement, shall refer to this Agreement as a whole and not
to any particular provision of this Agreement; terms defined in the singular shall have a comparable meaning when used in the plural,
and vice versa; the terms “Dollars” and “$” mean United States Dollars, unless otherwise specified herein; references
herein to a specific Section, Subsection, Recital or Exhibit shall refer, respectively, to Sections, Subsections, Recitals or Exhibits
of this Agreement; wherever the word “include,” “includes,” or “including” is used in this Agreement,
it shall be deemed to be followed by the words “without limitation”; references herein to any gender shall include each other
gender; references herein to any Person shall include such Person’s heirs, executors, personal representatives, administrators,
successors and assigns; provided, however, that nothing contained in this Section 1.02 is intended to authorize any assignment or transfer
not otherwise permitted by this Agreement; references herein to a Person in a particular capacity or capacities shall exclude such Person
in any other capacity; references herein to any contract or agreement (including this Agreement) mean such contract or agreement as amended,
supplemented or modified from time to time in accordance with the terms thereof; with respect to the determination of any period of time,
the word “from” means “from and including” and the words “to” and “until” each means
“to but excluding”; references herein to any Law or any license mean such Law or license as amended, modified, codified,
reenacted, supplemented or superseded in whole or in part, and in effect from time to time; and references herein to any Law shall be
deemed also to refer to all rules and regulations promulgated thereunder.

 

    	2

    	 

    

 

Article
II. PURCHASE AND SALE; AGREEMENTS

 

Section
2.01 Purchase and Sale.

 

	 	(a)	Subject
    to the terms and conditions of this Agreement, at the Closing (as defined below), the Company shall issue and sell to Buyer:

 

	 	(i)	The
    number of shares of Series A Stock as set forth on the signature page hereto (the “Share(s)” at a price of $50,000 per
    Share; and
	 	 	 
	 	(ii)	three
    warrants to acquire a number of shares of Common Stock, with each warrant being for 100,000 shares of Common Stock for each share
    of Series A Stock purchased, and with one warrant being at an exercise price of $1.30 per share, one warrant being at an exercise
    price of $1.50 per share, and one warrant being at an exercise price of $1.75, in each case subject to adjustment as set forth therein
    (each, a “Warrant” and collectively, the “Warrants).

 

	 	(b)	The
    Share(s) and the Warrants may be referred to herein collectively as the “Securities”.
	 	 	 
	 	(c)	The
    purchase price for the Securities shall be equal to the number of Share(s) being acquired multiplied by $50,000, set forth on the
    signature page hereof (the “Purchase Price”).

 

Section
2.02 Deliverables at Closing.

 

	 	(a)	At
    the Closing, Buyer shall deliver to the Company:

 

	 	(i)	The
    Purchase Price via a check payable to the Company or wire transfer pursuant to the wire transfer instructions as provided by the
    Company to Buyer; and
	 	 	 
	 	(ii)	a
    copy of each Warrant, each duly executed by the Buyer, or an authorized officer of the Buyer if Buyer is an entity.

 

	 	(b)	At
    the Closing, the Company shall deliver to the Buyer a copy of each Warrant, each duly executed by an authorized officer of the Company
    and shall record the Buyer as the applicable holder of the Share(s) in the books and records of the Company. The Share(s) shall not
    be certificated unless requested by the Buyer.

 

Section
2.03 Closing. On the terms set forth herein, the closing of the Transactions (the “Closing”) shall take place by
conference call and electronic communication (i.e., emails/pdf) or facsimile, with exchange of original signatures to follow by
mail, on the Closing Date and effective as of 11:59 p.m. Eastern time, on such date.

 

    	3

    	 

    

 

Article
III. REPRESENTATIONS AND WARRANTIES OF THE COMPANY

 

The
Company represents and warrants to Buyer that the following representations and warranties contained in this Article III are true and
correct as of the Closing Date:

 

Section
3.01 Authorization of Transactions. The Company is a corporation duly authorized and in good standing in the State of Nevada
and has the requisite power and capacity to execute and deliver the Transaction Documents to which it is a party and to perform its obligations
hereunder and thereunder. The execution, delivery and performance by the Company of the applicable Transaction Documents and the consummation
of the Transactions have been duly and validly authorized by all requisite action on the part of the Company. The Transaction Documents
to which the Company is a party have been duly and validly executed and delivered by The Company. Each Transaction Document to which
the Company is a party constitutes the valid and legally binding obligation of the Company, enforceable against the Company in accordance
with its terms and conditions, except to the extent enforcement thereof may be limited by applicable bankruptcy, insolvency or other
Laws affecting the enforcement of creditors’ rights or by the principles governing the availability of equitable remedies.

 

Section
3.02 Governmental Approvals; Non-contravention.

 

	 	(a)	No
    consent, Order, action or non-action of, or filing, notification, declaration or registration with, any Governmental Entity or Person
    is necessary for the execution, delivery or performance by the Company of this Agreement or any other Transaction Document to which
    the Company is a party.
	 	 	 
	 	(b)	The
    execution, delivery and performance by the Company of the Transaction Documents to which the Company is a party, and the consummation
    by the Company of the Transactions, do not (i) violate or conflict with any Law or Order to which the Company may be subject, or
    (ii) constitute a violation or breach of, be in conflict with, constitute or create (with or without due notice or lapse of time
    or both) a default (or give rise to any right of termination, modification, cancellation or acceleration) of any obligation under
    any Contract to which the Company is a party or to which the Company is subject or by which the Company’s properties, assets
    or rights are bound.

 

Section
3.03 Brokers. The Company has not engaged, or caused to be incurred any Liability or obligation to, any investment banker,
finder, broker or sales agent or any other Person in connection with the origin, negotiation, execution, delivery or performance of
the Transaction Documents to which it is a party, or the Transactions.

 

Article
IV. REPRESENTATIONS AND WARRANTIES OF BUYER

 

Buyer
represents and warrants to the Company that the following statements contained in this Article IV are true and correct as of the Closing
Date:

 

Section
4.01 Authorization of Transactions. Buyer is a natural person or is an entity duly formed and qualified under the laws
of the jurisdiction of its formation or organization, and has the requisite power and capacity to execute and deliver the
Transaction Documents to which it is a party and to perform Buyer’s obligations hereunder and thereunder. The execution,
delivery and performance by Buyer of the applicable Transaction Documents and the consummation of the Transactions have been duly
and validly authorized by all requisite action on the part of Buyer. The Transaction Documents to which Buyer is a party have been
duly and validly executed and delivered by Buyer. Each Transaction Document to which Buyer is a party constitutes the valid and
legally binding obligation of Buyer, enforceable against Buyer in accordance with its terms and conditions, except to the extent
enforcement thereof may be limited by applicable bankruptcy, insolvency or other Laws affecting the enforcement of creditors’
rights or by the principles governing the availability of equitable remedies.

 

    	4

    	 

    

 

Section
4.02 Governmental Approvals; Non-contravention.

 

	 	(a)	No
    consent, Order, action or non-action of, or filing, notification, declaration or registration with, any Governmental Entity is necessary
    for the execution, delivery or performance by Buyer of this Agreement or any other Transaction Document to which Buyer is a party.
	 	 	 
	 	(b)	The
    execution, delivery and performance by Buyer of the Transaction Documents to which Buyer is a party, and the consummation by Buyer
    of the Transactions, do not violate any Laws or Orders to which Buyer is subject or violate, or, if Buyer is an entity, breach or
    conflict with any provision of Buyer’s organizational documents.

 

Section
4.03 Investment Representations.

 

	 	(a)	For
    purposes of this Section 4.03, the term “Securities” shall include, to the extent applicable, the shares of Series A
    Stock and the Warrants being acquired, and the shares of Common Stock that may be obtained by the Buyer on any conversion of the
    Series A Stock or exercise of the Warrants.
	 	 	 
	 	(b)	Buyer
    understands and agrees that the consummation of this Agreement including the delivery of the Securities as contemplated hereby constitute
    the offer and sale of securities under the Securities Act and applicable state statutes and that the Securities are being acquired
    for Buyer’s own account and not with a present view towards the public sale or distribution thereof, except pursuant to sales
    registered or exempted from registration under the Securities Act.
	 	 	 
	 	(c)	Buyer
    is an “accredited investor” as that term is defined in Rule 501(a) of Regulation D under the Securities Act.
	 	 	 
	 	(d)	Buyer
    understands that the Securities are being offered and sold to Buyer in reliance upon specific exemptions from the registration requirements
    of United States federal and state securities Laws and that the Company is relying upon the truth and accuracy of, and Buyer’s
    compliance with, the representations, warranties, agreements, acknowledgments and understandings of Buyer set forth herein in order
    to determine the availability of such exemptions and the eligibility of Buyer to acquire the Securities.
	 	 	 
	 	(e)	At
    no time was Buyer presented with or solicited by any leaflet, newspaper or magazine article, radio or television advertisement, or
    any other form of general advertising or solicited or invited to attend a promotional meeting otherwise than in connection and concurrently
    with such communicated offer. Buyer is not purchasing the Securities acquired by Buyer hereunder as a result of any “general
    solicitation” or “general advertising,” as such terms are defined in Regulation D under the Securities Act, which
    includes, but is not limited to, any advertisement, article, notice or other communication regarding the Securities acquired by Buyer
    hereunder published in any newspaper, magazine or similar media or on the internet or broadcast over television, radio or the internet
    or presented at any seminar or any other general solicitation or general advertisement.

 

    	5

    	 

    

 

	 	(f)	Buyer
    is acquiring the Securities for Buyer’s own account as principal, not as a nominee or agent, for investment purposes only,
    and not with a view to, or for, resale, distribution or fractionalization thereof in whole or in part and no other person has a direct
    or indirect beneficial interest in the Securities. Further, Buyer does not have any contract, undertaking, agreement or arrangement
    with any person to sell, transfer or grant participations to such person or to any third person, with respect to the Securities.
	 	 	 
	 	(g)	Buyer,
    either alone or together with Buyer’s representatives, has such knowledge, sophistication and experience in business and financial
    matters so as to be capable of evaluating the merits and risks of the prospective investment in the Securities, and has so evaluated
    the merits and risks of such investment.
	 	 	 
	 	(h)	Buyer
    understands that no United States federal or state agency or any other governmental or state agency has passed on or made recommendations
    or endorsement of the Securities or the suitability of the investment in the Securities nor have such authorities passed upon or
    endorsed the merits of the transactions set forth herein.
	 	 	 
	 	(i)	Any
    legend required by the securities laws of any state to the extent such laws are applicable to the Securities and the shares of Common
    Stock received by Buyer on conversion or exercise thereof shall be included on any certificates representing the Securities and the
    shares of Common Stock received by Buyer on conversion or exercise thereof Shares, which legend shall be in the following form or
    a substantially similar legend:

 

THE
SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, NOR REGISTERED OR QUALIFIED
UNDER ANY STATE SECURITIES LAWS. SUCH SECURITIES MAY NOT BE OFFERED FOR SALE, SOLD, DELIVERED AFTER SALE, TRANSFERRED, PLEDGED, OR HYPOTHECATED
UNLESS QUALIFIED AND REGISTERED UNDER APPLICABLE STATE AND FEDERAL SECURITIES LAWS OR UNLESS, IN THE OPINION OF COUNSEL REASONABLY SATISFACTORY
TO THE COMPANY, SUCH QUALIFICATION AND REGISTRATION ARE NOT REQUIRED. ANY TRANSFER OF THE SECURITIES REPRESENTED BY THIS CERTIFICATE
IS FURTHER SUBJECT TO OTHER RESTRICTIONS, TERMS AND CONDITIONS WHICH ARE NOT SET FORTH HEREIN.

 

Section
4.04 Brokers. Buyer has not engaged any investment banker, finder, broker or sales agent or any other Person in
connection with the origin, negotiation, execution, delivery or performance of any Transaction Document to which it is a party, or
the Transactions.

 

    	6

    	 

    

 

Article
V. INDEMNIFICATION

 

Section
5.01 General Indemnification. Each Party (the “Indemnifying Party”) agrees to indemnify, defend and hold harmless
the other Party and such other Party’s Affiliates and each of their respective directors, officers, managers, partners,
employees, agents, equity holders, successors and assigns (each, an “Indemnified Party”), from and against any and all
Losses incurred or suffered by any Indemnified Party arising out of, based upon or resulting from any breach of any representation
or warranty of the Indemnifying Party herein or breach by the Indemnifying Party of, or any failure the Indemnifying Party to
perform, any of the covenants, agreements or obligations contained in or made pursuant to this Agreement or the Transaction
Documents by the Indemnifying Party.

 

Section
5.02 Procedures for Indemnification. In the event that an Indemnified Party shall incur or suffer any Losses in respect of
which indemnification may be sought under this Article V against the Indemnifying Party, the Indemnified Party shall assert a claim
for indemnification by providing a written notice (the “Notice of Loss”) to the Indemnifying Party stating the nature
and basis of such indemnification. The Notice of Loss shall be provided to the Indemnifying Party as soon as practicable after the
Indemnified Party becomes aware that it has incurred or suffered a Loss.

 

Section
5.03 Payment. Upon a determination of liability under this Article V the Indemnifying Party shall pay or cause to be paid to
the Indemnified Party the amount so determined within five (5) Business Days after the date of such determination. If there should
be a dispute as to the amount or manner of determination of any indemnity obligation owed under this Agreement, the Indemnifying
Party shall nevertheless pay when due such portion, if any, of the obligation that is not subject to dispute. Upon the payment in
full of any amounts due under this Article V with respect to any claim, the Indemnifying Party shall be subrogated to the rights of
the Indemnified Party against any Person with respect to the subject matter of such claim.

 

Section
5.04 Effect of Knowledge on Indemnification. The right to indemnification, reimbursement or other remedy based upon any
representations, warranties, covenants and obligations set forth in this Agreement shall not be affected by any investigation
conducted with respect to, or any knowledge acquired (or capable of being acquired) at any time, whether before or after the
execution and delivery of this Agreement, with respect to the accuracy or inaccuracy of or compliance with any such representation,
warranty, covenant or obligation. The waiver of any condition based upon the accuracy of any representation or warranty, or on the
performance of or compliance with any covenant or obligation, shall not affect the right to indemnification, reimbursement or other
remedy based upon such representations, warranties, covenants or obligations.

 

Article
VI. MISCELLANEOUS

 

Section
6.01 Notices.

 

	 	(a)	Any
    notice or other communications required or permitted hereunder shall be in writing and shall be sufficiently given if personally
    delivered to it or sent by email, overnight courier or registered mail or certified mail, postage prepaid, addressed as follows:

 

if
to the Company, to:

 

Waterside
Capital Corporation

Attn:
Ryan Schadel

PO
Box 1571

Cumming,
Georgia, 30028

Email:
rschadel21@gmail.com

 

    	7

    	 

    

 

With
a copy, which shall not constitute notice, to:

 

Anthony
L.G., PLLC

Attn:
John Cacomanolis

625
N. Flagler Drive, Suite 600

West
Palm Beach, FL 33401

Email:
jcacomanolis@anthonypllc.com

 

If
to the Buyer, to the address for notices as set forth on the signature page hereof.

 

	 	(b)	Any
    Party may change its address for notices hereunder upon notice to each other Party in the manner for giving notices hereunder.
	 	 	 
	 	(c)	Any
    notice hereunder shall be deemed to have been given (i) upon receipt, if personally delivered, (ii) on the day after dispatch, if
    sent by overnight courier, (iii) upon dispatch, if transmitted by email with return receipt requested and received and (iv) three
    (3) days after mailing, if sent by registered or certified mail.

 

Section
6.02 Attorneys’ Fees. In the event that any Party institutes any action or suit to enforce this Agreement or to secure
relief from any default hereunder or breach hereof, the prevailing Party shall be reimbursed by the losing Party for all costs,
including reasonable attorneys’ fees, incurred in connection therewith and in enforcing or collecting any judgment rendered
therein.

 

Section
6.03 Amendments; No Waivers; No Third-Party Beneficiaries.

 

	 	(a)	This
    Agreement may be amended, modified, superseded, terminated or cancelled, and any of the terms, covenants, representations, warranties
    or conditions hereof may be waived, only by a written instrument executed by both of the Parties.
	 	 	 
	 	(b)	Every
    right and remedy provided herein shall be cumulative with every other right and remedy, whether conferred herein, at law, or in equity,
    and may be enforced concurrently herewith, and no waiver by any Party of the performance of any obligation by another Party shall
    be construed as a waiver of the same or any other default then, theretofore, or thereafter occurring or existing.
	 	 	 
	 	(c)	Neither
    any failure or delay in exercising any right or remedy hereunder or in requiring satisfaction of any condition herein nor any course
    of dealing shall constitute a waiver of or prevent any Party from enforcing any right or remedy or from requiring satisfaction of
    any condition. No notice to or demand on a Party waives or otherwise affects any obligation of that Party or impairs any right of
    the Party giving such notice or making such demand, including any right to take any action without notice or demand not otherwise
    required by this Agreement. No exercise of any right or remedy with respect to a breach of this Agreement shall preclude exercise
    of any other right or remedy, as appropriate to make the aggrieved Party whole with respect to such breach, or subsequent exercise
    of any right or remedy with respect to any other breach.
	 	 	 
	 	(d)	Notwithstanding
    anything else contained herein, no Party shall seek, nor shall any Party be liable for, consequential, punitive or exemplary damages,
    under any tort, contract, equity, or other legal theory, with respect to any breach (or alleged breach) of this Agreement or any
    provision hereof or any matter otherwise relating hereto or arising in connection herewith.

 

    	8

    	 

    

 

Section
6.04 Expenses. Unless otherwise contemplated or stipulated by a Transaction Document, all costs and expenses incurred in
connection with this Agreement shall be paid by the Party incurring such cost or expense.

 

Section
6.05 Further Assurances. At and following the Closing, each Party shall execute and deliver such documents and other papers
and take such further action as may be reasonably required to carry out the provisions of the Transaction Documents.

 

Section
6.06 Successors and Assigns; Benefit. This Agreement shall be binding upon and shall inure to the benefit of the Parties and
their respective successors and permitted assigns. No Party shall have any power or any right to assign or transfer, in whole or in
part, this Agreement, or any of its rights or any of its obligations hereunder, including, without limitation, any right to pursue
any claim for damages pursuant to this Agreement or the transactions contemplated herein, or to pursue any claim for any breach or
default of this Agreement, or any right arising from the purported assignor’s due performance of its obligations hereunder,
without the prior written consent of each of the other Parties and any such purported assignment in contravention of the provisions
herein shall be null and void and of no force or effect. Other than as specifically set forth herein, including in Article V,
nothing in this Agreement shall confer on any Person other than the Parties, and their respective successors and permitted assigns,
any rights, remedies, obligations, or Liabilities under or by reason of this Agreement.

 

Section
6.07 Governing Law; Etc.

 

	 	(a)	This
    Agreement, and all matters based upon, arising out of or relating in any way to the Transactions or the Transaction Documents, including
    all disputes, claims or causes of action arising out of or relating to the Transactions or the Transaction Documents as well as the
    interpretation, construction, performance and enforcement of the Transaction Documents, shall be governed by the laws of the United
    States and the State of Nevada, without regard to any jurisdiction’s conflict-of-laws principles.
	 	 	 
	 	(b)	SUBJECT
    TO Section 6.09, ANY LEGAL SUIT, ACTION OR PROCEEDING ARISING OUT OF OR BASED UPON THIS AGREEMENT, THE OTHER TRANSACTION DOCUMENTS
    OR THE CONTEMPLATED TRANSACTIONS SHALL BE INSTITUTED SOLELY IN THE FEDERAL COURTS OF THE UNITED STATES OF AMERICA OR THE COURTS OF
    THE STATE OF GEORGIA, IN EACH CASE LOCATED IN FORSYTH COUNTY, GEORGIA AND EACH PARTY IRREVOCABLY SUBMITS TO THE PERSONAL JURISDICTION
    OF SUCH COURTS IN ANY SUCH SUIT, ACTION OR PROCEEDING. THE PARTIES IRREVOCABLY AND UNCONDITIONALLY WAIVE ANY OBJECTION TO THE LAYING
    OF VENUE OF ANY SUIT, ACTION OR ANY PROCEEDING IN SUCH COURTS AND IRREVOCABLY WAIVE AND AGREE NOT TO PLEAD OR CLAIM IN ANY SUCH COURT
    THAT ANY SUCH SUIT, ACTION OR PROCEEDING BROUGHT IN ANY SUCH COURT HAS BEEN BROUGHT IN AN INCONVENIENT FORUM.

 

    	9

    	 

    

 

	 	(c)	EACH
    PARTY HERETO HEREBY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN ANY LEGAL
    PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE TRANSACTIONS, THE PERFORMANCE THEREOF OR THE
    FINANCINGS CONTEMPLATED THEREBY (WHETHER BASED ON CONTRACT, TORT OR ANY OTHER THEORY). EACH PARTY HERETO (A) CERTIFIES THAT NO REPRESENTATIVE,
    AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION,
    SEEK TO ENFORCE THE FOREGOING WAIVER AND (B) ACKNOWLEDGES THAT IT AND THE OTHER PARTIES HERETO HAVE BEEN INDUCED TO ENTER INTO THIS
    AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS Section 6.07(c).
	 	 	 
	 	(d)	Each
    of the Parties acknowledge that each has been represented in connection with the signing of this waiver by independent legal counsel
    selected by the respective Party and that such Party has discussed the legal consequences and import of this waiver with legal counsel.
    Each of the Parties further acknowledge that each has read and understands the meaning of this waiver and grants this waiver knowingly,
    voluntarily, without duress and only after consideration of the consequences of this waiver with legal counsel.

 

Section
6.08 Survival. The representations and warranties in this Agreement shall survive the Closing for a period of 12 months from
the Closing Date, and no claim for indemnification may be made after such time. All covenants and agreements in this Agreement, and such
provisions herein as required to give effect to the same, will survive until fully performed; provided, however, that, nothing herein
shall prevent a Party from making any claim hereunder, or relieve any other Party from any liability hereunder, after such time for any
breach thereof.

 

Section
6.09 Resolution of Disputes. Except as otherwise provided herein, all controversies, disputes or actions between the Parties
arising out of the Transactions or this Agreement, including their respective Affiliates, owners, officers, directors, agents and
employees, arising from or relating to this Agreement shall on demand of either party be submitted for arbitration to in accordance
with the rules and regulations of the American Arbitration Association. The arbitration shall be conducted by one arbitrator jointly
selected by each Party who is a party to the Dispute, provided, however, that if such Parties are unable to agree on the identity of
the arbitrator within 10 Business Days of commencement of efforts to do so, each Party who is a party to the Dispute shall select
one arbitrator and the arbitrators so selected shall select a final arbitrator, and the final arbitrator shall conduct the
arbitration alone. The Parties agree that, in connection with any such arbitration proceeding, each shall submit or file any claim
which would constitute a compulsory counterclaim (as defined by Rule 13 of the Federal Rules of Civil Procedures) within the same
proceeding as the claim to which it relates. Any such claim which is not submitted or filed in such proceeding shall be barred. The
arbitrator shall be instructed to use every reasonable effort to perform its services within seven days of request, and, in any
case, as soon as practicable. The Parties agree to be bound by the provisions of any limitation on the period of time by which
claims must be brought under Nevada law or any applicable federal law. The arbitrator(s) shall have the right to award the relief
which he or she deems proper, consistent with the terms of this Agreement, including compensatory damages (with interest on unpaid
amounts from due date), injunctive relief, specific performance, legal damages and costs. The award and decision of the
arbitrator(s) shall be conclusive and binding on all Parties, and judgment upon the award may be entered in any court of competent
jurisdiction. Any right to contest the validity or enforceability of this award shall be governed exclusively by the United States
Arbitration Act. The arbitration shall be conducted in Cumming, Georgia. The provisions of this Section 6.09 shall continue in full
force and effect subsequent to and notwithstanding the expiration or termination of this Agreement.

 

    	10

    	 

    

 

Section
6.10 Severability. If any provision of this Agreement is invalid, illegal or incapable of being enforced by any rule of law,
or public policy, all other conditions and provisions of this Agreement shall nevertheless remain in full force and effect so long
as the economic or legal substance of the Transactions is not affected in any manner adverse to any Party. Upon such determination
that any provision is invalid, illegal or incapable of being enforced, the Parties shall negotiate in good faith to modify this
Agreement so as to effect the original intent of the Parties as closely as possible in an acceptable manner to the end that the
Transactions are fulfilled to the extent possible.

 

Section
6.11 Entire Agreement. The Transaction Documents constitute the entire agreement between the Parties with respect to the
subject matter hereof and thereof and supersede all prior agreements and understandings, both oral and written, between the Parties
with respect to the subject matter hereof and thereof.

 

Section
6.12 Specific Performance. Each Party agrees that irreparable damage would occur if any provision of this Agreement were not
performed in accordance with the terms hereof and that each Party shall be entitled to seek specific performance of the terms hereof
in addition to any other remedy at law or in equity.

 

Section
6.13 Construction. The table of contents and headings contained in this Agreement are for reference purposes only and will
not affect in any way the meaning or interpretation of this Agreement. In the event of a conflict between language or amounts
contained in the body of this Agreement and language or amounts contained in the Exhibits attached hereto, the language or amounts
in the body of the Agreement shall control. References to Articles or Sections shall refer to those portions of this Agreement. The
use of the terms “hereunder,” “hereof,” “hereto” and words of similar import shall refer to this
Agreement as a whole and not to any particular Article, Section or clause of or Exhibit to this Agreement.

 

Section
6.14 Counterparts. This Agreement may be executed in two or more counterparts, all of which shall be considered one and the
same agreement and shall become effective when counterparts have been signed by each of the Parties and delivered to the other
Parties, it being understood that each Party need not sign the same counterpart. A facsimile copy or electronic transmission of a
signature page shall be deemed to be an original signature page.

 

[Signature
page follows]

 

    	11

    	 

    

 

IN
WITNESS WHEREOF, the Parties have caused this Agreement to be duly executed as of the Closing Date.

 

	 	Waterside Capital Corporation
	 	 	 
	 	By:	/s/ Ryan Schadel 
	 	Name:	Ryan
    Schadel
	 	Title:	Chief
    Executive Officer
	 	 	 
	 	Daniel Giancola
	 	 	 
	 	By:	/s/
Daniel Giancola
	 	Name:	Daniel
    Giancola

 

	 	Address
    for notices:
	 	 
	 	Daniel
    Giancola
	 	
	 	

	 	Email:	

 

	Number of shares of Series A Stock to be acquired:	 	10 Shares
	Resulting total Purchase Price (at $50,000 per share):	 	$ 500,000

 

    	12

    	 

    

 

Exhibit
A

Certificate
of Designation of Preferences and Rights of Series A Convertible Preferred Stock

 

(Attached)

 

    	 

    	 

    

 

Exhibit
B

Form
of Warrant

 

(Attached)

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