Document:

Exhibit 10.1 2016 Equity Incentive Plan

CHERUBIM INTERESTS, INC.

2016 EQUITY INCENTIVE PLAN

1.

Purpose. The purposes of this 2016 Equity Incentive Plan (the "Plan") are to encourage selected employees, officers, directors and consultants of, and other individuals providing services to, Cherubim Interests, Inc. and its subsidiaries (collectively, the “Company”), to acquire a proprietary interest in the growth and performance of the Company, to generate an increased incentive to contribute to the Company's future success and prosperity thus enhancing the value of the Company for the benefit of its stockholders, and to enhance the ability of the Company to attract and retain exceptionally qualified individuals upon whom, in large measure, the sustained progress, growth and profitability of the Company depend.

2.

Definitions. As used in the Plan, the following terms shall have the meanings set forth below:

"Affiliate" shall mean, with respect to any Person, (i) any entity that, directly or through one or more intermediaries, is controlled by the Company and (ii) any entity in which the Company has a significant equity interest, as determined by the Board.

 

"Award" shall mean any Option or Restricted Security granted under the Plan.

 

"Award Agreement" shall mean any written agreement, contract or other instrument or document evidencing any Award granted under the Plan.

"Award Date" shall mean the date upon which an Award is granted by the Board hereunder as set forth in the Award Agreement.

 

"Board" shall mean the Board of Directors of the Company.

 

"Cause", as used in connection with the termination of a Participant's employment or a Participant's consulting relationship, as the case may be, shall mean (i) the Employee’s conviction of a felony or any crime involving moral turpitude; (ii) the Employee willfully failing or refusing to follow the strategic and/or operational directives of the Board of Directors of the Company; (iii) the Employee’s misappropriation of funds or property of the Company, or (iii) the Employee’s engaging in any act which constitutes (a) a felony under the laws of the United States or any state or territory thereof, or (b) gross, willful or wanton negligence or misconduct.

 

"Code" shall mean the Internal Revenue Code of 1986, as amended from time to time, and the rules and regulations promulgated thereunder.

 

"Common Shares" shall mean any or all, as applicable, of the Common Stock of the Company and such other securities or property as may become the subject of Awards, or become subject to Awards, pursuant to an adjustment made under Section 4(b) of the Plan and any other securities of the Company or any Affiliate or any successor that may be so designated by the Board.

 

"Common Stock" shall mean the common stock of the Company, par value $0.00001 per share.

 

"Employee" shall mean any Statutory Employee, member of the Board, consultant or representative of the Company or of any Affiliate.

 

"Exchange Act" shall mean the Securities Exchange Act of 1934, as amended.

"Exercise Price" shall mean the Fair Market Value of the purchase price of any Option or Award which requires the Participant to tender cash or property to the Company in connection with the receipt of Common Shares.

"Expiration Date" shall mean the date on which the Option expires as specified in the instrument granting such Option.

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"Fair Market Value" shall mean (A) with respect to any property other than the Common Shares, the fair market value of such property determined by such methods or procedures as shall be established from time to time by the Board; and (B) with respect to the Common Shares, the last sale price regular way on the date of reference, or, in case no sale takes place on such date, the average of the high bid and low asked prices, in either case on the principal national securities exchange on which the Common Shares are listed or admitted to trading, or if the Common Shares are not listed or admitted to trading on any national securities exchange, the last sale price reported on the over-the-counter market reported on the OTC Bulletin Board on such date, whichever is applicable, or if there are no such prices reported on the OTC Bulletin Board on such date, as furnished to the Board by any exchange or quotation medium selected from time to time by the Board for such purpose. If there is no bid or asked price reported on any such date, the Fair Market Value shall be determined by the Board in accordance with the regulations promulgated under Section 2031 of the Code, or by any other appropriate method selected by the Board.

"Good Reason", as used in connection with the termination of a Participant's employment or consulting relationship, as the case may be, shall mean (i) with respect to any Participant employed under a written employment agreement or otherwise providing services to the Company pursuant to a written agreement with the Company or an Affiliate of the Company, "good reason" as defined in such written agreement or, if such agreement contains no such definition, a material breach by the Company of such agreement, or (ii) with respect to any other Participant, a failure by the Company to pay such Participant any amount otherwise vested and due and a continuation of such failure for 30 business days following notice to the Company thereof.

"Incentive Stock Option" means an Option which satisfies the requirements of Code Section 422.

"Non-Statutory Option" means an Option not intended to satisfy the requirements of Code Section 422.

"Option" shall mean an Incentive Stock Option or a Non-Statutory Option.

"Participant" shall mean any individual granted an Award under the Plan.

"Person" shall mean any individual, corporation, partnership, association, joint-stock company, trust, unincorporated organization, or government or political subdivision thereof.

 

"Released Securities" shall mean securities that were Restricted Securities but with respect to which all applicable restrictions have expired, lapsed or been waived in accordance with the terms of the Plan or the applicable Award Agreement.

"Restricted Securities" shall mean any Award granted under the Plan that is denominated in Common Shares or any other Award under which issued and outstanding Common Shares are held subject to certain restrictions.

"Securities Act" shall mean the Securities Act of 1933, as amended.

"Service" shall mean shall mean the performance of services to the Company or any Affiliate by a Person in the capacity of an Employee.

"Statutory Employee" shall mean any Person from whom the Company is required to withhold compensation pursuant to the Federal Insurance Contribution Act.

3.

Administration. The Plan shall be administered by the Board. Subject to the terms of the Plan and applicable law, and in addition to other express powers and authorizations conferred on the Board by the Plan, the Board shall have full power and authority to: (i) designate Participants; (ii) determine the type or types of Awards to be granted to an eligible Employee or other individual under the Plan; (iii) determine the number of Common Shares to be covered by Awards; (iv) determine the terms and conditions of any Award; (v) determine whether, to what extent, and under what circumstances Awards may be settled or exercised, or canceled, forfeited or suspended, and the method or methods by which Awards may be settled, exercised, canceled, forfeited or suspended; (vi) determine requirements for the vesting of Awards or performance criteria to be achieved in order for Awards to vest; (vii) determine whether, to what extent and under what circumstances Common Shares payable with respect to an Award under the Plan shall be deferred either automatically or at the election of the holder thereof or of the Board; (viii) interpret and administer the Plan and any instrument or agreement relating to, or Award made under, the Plan; (ix) establish, amend, suspend or waive such rules and regulations and appoint such agents as it shall deem appropriate for the proper administration of the Plan; and (x) make any other determination and take any other action that the Board deems necessary or desirable for the administration of the Plan. Unless otherwise expressly provided in the Plan, all designations, determinations, interpretations and other decisions under or with respect to the Plan or any Award shall be within the sole discretion of the Board, may be made at any time and shall be final, conclusive and binding upon all Persons, including the Company, any Affiliate, any Participant, any holder or beneficiary of any Award, any stockholder and any Employee. No Awards under this Plan shall be granted after June 6, 2022

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4.

Common Shares Available for Awards.

(a)

Common Shares Available. Subject to adjustment as provided in Section 4(b):

(i)

Calculation of Number of Common Shares Available. The number of Common Shares available for granting Awards under the Plan shall be THREE MILLION (3,000,000), any or all of which may be or may be based on Common Stock, any other security which becomes the subject of Awards, or any combination thereof. Further, if, after the date of the Plan, any Common Shares covered by an Award granted under the Plan or to which such an Award, are forfeited, or if an Award otherwise terminates or is canceled without the delivery of Common Shares, then the Common Shares covered by such Award or to which such Award relates, or the number of Common Shares otherwise counted against the aggregate number of Common Shares available under the Plan with respect to such Award, to the extent of any such forfeiture, termination or cancellation, shall again be, or shall become, available for granting Awards under the Plan.

(ii)

Sources of Common Shares Deliverable Under Awards. Any Common Shares delivered pursuant to an Award may consist, in whole or in part, of authorized and unissued Common Shares or of treasury Common Shares.

(b)

Adjustments. In the event that the Board shall determine that any dividend or other distribution (whether in the form of cash, Common Shares, other securities or other property), recapitalization, stock split, reverse stock split, reorganization, merger, consolidation, split-up, spin-off, combination, repurchase or exchange of Common Shares or other securities of the Company, or other similar corporate transaction or event affects the Common Shares such that an adjustment is determined by the Board to be appropriate in order to prevent dilution or enlargement of the benefits or potential benefits intended to be made available under the Plan, then the Board shall, in such manner as it may deem equitable, adjust any or all of (i) the number and kind of Common Shares (or other securities or property) which thereafter may be made the subject of Awards, (ii) the number and kind of Common Shares (or other securities or property) subject to outstanding Awards, and (iii) the grant or exercise price with respect to any Award or, if deemed appropriate, make provision for a cash payment to the holder of an outstanding Award; provided, however, that the number of Common Shares subject to any Award denominated in Common Shares shall always be a whole number.

5.

Eligibility. Any Employee, including any officer or employee-director of the Company or of any Affiliate, and any consultant of, or other individual providing services to, the Company or any Affiliate shall be eligible to be designated a Participant.

6.

Awards of Stock Options. Each Award that constitutes an Option shall be evidenced by an Award Agreement that shall comply with the terms specified below. Each Award Agreement evidencing an Incentive Stock Option shall, in addition, be subject to the provisions of Section 6(c) of the Plan, below.

(a)

Exercise Price.

(i)

Determination. The Exercise Price for each Option granted under the Plan shall be fixed by the Board.

(ii)

Payment. The Exercise Price shall become immediately due upon exercise of the Option and shall be payable in one or more of the forms specified below:

A.

in cash or by check made payable to the Company,

B.

shares of Common Stock held for the requisite period necessary to avoid a charge to the Company earnings for financial reporting purposes and valued at Fair Market Value on the date of exercise, or

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C.

to the extent an effective registration statement exists in respect to the Option (or an exemption from such registration has been determined by the Board) and the Option is exercised for vested Common Shares, through a special sale and remittance procedure pursuant to which the Participant shall concurrently provide irrevocable written instructions to (a) a Company-designated brokerage firm to effect the immediate sale of the Common Shares received from the exercise of the Option and remit to the Company, out of the sale proceeds available on the settlement date, sufficient funds to cover the aggregate Exercise Price payable for the Common Shares so purchased, plus all applicable federal, state and local income and employment taxes required to be withheld by the Company by reason of such exercise and (b) the Company to deliver the certificates for such Common Shares directly to such brokerage firm in order to complete the sale.

D.

Except to the extent the sale and remittance procedure is utilized, payment of the Exercise Price for the Common Shares acquired pursuant to the exercise of the Option must be made on the Exercise Date.

(iii)

Exercise and Term of Options. Each Option shall be exercisable at such time or times, during such period and for such number of Common Shares as shall be determined by the Board and set forth in the Award Agreement. However, no Option shall have a term in excess of ten (10) years measured from the Award Date.

(b)

Effect of Termination of Service.

(i)

Governing Terms. The following provisions shall govern the exercise of any Options held by a Participant at the time of such Participant’s cessation of Service:

A.

Any option Outstanding at the time of the Participant's cessation of Service for any reason except death, permanent disability or Cause shall remain exercisable for a six (6) month period thereafter, provided no Option shall be exercisable after the Expiration Date.

B.

Any Option outstanding at the time of the Participant's cessation of Service due to death or permanent disability shall remain exercisable for a twelve (12) month period thereafter, provided no Option shall be exercisable after the Expiration Date. Subject to the foregoing, any Option exercisable in whole or in part by the Participant at the time of death may be exercised subsequently by the personal representative of the Participant’s estate or by the Person or Persons to whom the Option is transferred pursuant to the Participant's will or in accordance with the laws of descent and distribution.

C.

Should the Participant's Service be terminated for Cause, then all outstanding Options held by the Participant shall terminate immediately and cease to be outstanding.

D.

During the applicable post-Service exercise period, the Option may not be exercised in the aggregate for more than the number of Common Shares for which the Option is exercisable on the date of the Participant's cessation of Service; the Option shall, immediately upon the Participant's cessation of Service, terminate and cease to be outstanding to the extent the Option is not otherwise at that time exercisable. Upon the expiration of the applicable exercise period or (if earlier) upon the Expiration Date, the Option shall terminate and cease to be outstanding for any Common Shares for which the Option has not been exercised.

(ii)

Modification. The Board shall have the discretion, exercisable either at the time an Option is granted or at any time while the Option remains outstanding, to:

A.

extend the period of time for which the Option is to remain exercisable following the Participant's cessation of Service from the period otherwise in effect for that Option to such greater period of time as the Board shall deem appropriate, but in no event beyond the Expiration Date, and/or

B.

permit the Option to be exercised, during the applicable post-Service exercise period, not only with respect to the number of Common Shares for which such Option is exercisable at the time of the Participant's cessation of Service but also with respect to one or more additional Common Shares that would have vested under the Option had the Participant continued in Service.

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(c)

Incentive Stock Options. The terms specified below shall apply to all Incentive Stock Options. Except as modified by the provisions of this Section 6(c), all the provisions of this Plan shall apply to Incentive Stock Options. Options specifically designated as Non-Statutory Options when issued under the Plan shall not be subject to the terms of this Section 6(c).

(i)

Eligibility. Incentive Stock Options may only be granted to Statutory Employees.

(ii)

Exercise Price. The Exercise Price shall not be less than one hundred percent (100%) of the Fair Market Value per share of Common Stock on the Grant Date.

(iii)

Dollar Limitation. The aggregate Fair Market Value of the Common Shares (determined as of the respective date or dates of grant) for which one or more Incentive Stock Options granted to any Statutory Employee under the Plan may for the first time become exercisable as Incentive Options during any one (1) calendar year shall not exceed the sum of One Hundred Thousand Dollars ($100,000). To the extent the Statutory Employee holds two (2) or more such Options which become exercisable for the first time in the same calendar year, the foregoing limitation on the exercisability of such Options, as Incentive Stock Options, shall be applied in the order in which such Options are granted.

(iv)

10% Stockholder. If a Statutory Employee to whom an Incentive Stock Option is a holder of more than 10% of the total combined voting power of all classes of stock of the Company (as determined under Code Section 424(d)), then the Exercise Price shall not be less than one hundred ten percent (110%) of the Fair Market Value per share of Common Stock on the Award Date, and the option term shall not exceed five (5) years measured from the Award Date.

(d)

Holding Period. Shares purchased pursuant to an option shall cease to qualify for favorable tax treatment as an Incentive Stock Option if and to the extent Participant disposes of such Common Shares within two (2) years of the Grant Date or within one (1) year of Participant's purchase of said Common Shares.

7.

Awards of Restricted Securities.

(a)

Issuance. The Board is hereby authorized to grant to eligible Employees "Restricted Securities" which shall consist of the right to receive, by purchase or otherwise, Common Shares which may be subject to such restrictions as the Board may impose (including, without limitation, any limitation on the right to vote such Common Shares or the right to receive any dividend or other right or property), which restrictions may lapse separately or in combination at such time or times, in such installments or otherwise, as the Board may deem appropriate. Notwithstanding the foregoing, if the Company registers this Plan or the Restricted Securities which may be issued hereunder, the Securities shall have no transfer restrictions thereon.

(b)

Registration. Restricted Securities granted under the Plan may be evidenced in such manner as the Board may deem appropriate, including, without limitation, book-entry registration or issuance of a stock certificates or certificates. In the event any stock certificate is issued in respect of Restricted Securities granted under the Plan, such certificate shall be registered in the name of the Participant and shall bear an appropriate legend referring to the terms, conditions and restrictions applicable to such Restricted Securities.

(c)

Forfeiture. Except as otherwise determined by the Board, upon termination of a Participant's employment or a Participant's consulting relationship, as the case may be, for any reason during the applicable restriction period, all of such Participant's Restricted Securities which had not become Released Securities by the date of termination of employment or consulting relationship shall be forfeited and reacquired by the Company; provided, however, that the Board may, when it finds that a waiver would be in the best interests of the Company, waive in whole or in part any or all remaining restrictions with respect to such Participant's Restricted Securities. Unrestricted Common Shares, evidenced in such manner as the Board shall deem appropriate, shall be issued to the holder of Restricted Securities promptly after such Restricted Securities become Released Securities.

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8.

General.

(a)

Limitations.

(i)

Limitations on Transfer. No Award (other than Released Securities), and no right under any such Award, may be assigned, alienated, pledged, attached, sold or otherwise transferred or encumbered by a Participant otherwise than by will or by the laws of descent and distribution (or, in the case of Restricted Securities, to the Company) and any such purported assignment, alienation, pledge, attachment, sale or other transfer or encumbrance shall be void and unenforceable against the Company or any Affiliate.

(ii)

Limitations on Exercise. Each Award, and each right under any Award, shall be exercisable, during the Participant's lifetime only by the Participant or if permissible under applicable law, by the Participant's guardian or legal representative.

(b)

Terms of Awards. The term of each Award shall be for such period as may be determined by the Board.

(c)

Common Share Certificates. All certificates for Common Shares delivered under the Plan pursuant to any Award or the exercise thereof shall be subject to such stop transfer orders and other restrictions as the Board may deem advisable under the Plan or the rules, regulations, and other requirements of the Securities and Exchange Commission, any stock exchange upon which such Common Shares are then listed, and any applicable Federal or state securities laws, and the Board may cause a legend or legends to be put on any such certificates to make appropriate reference to such restrictions.

(d)

Delivery of Common Shares or Other Securities and Payment by Participant of Consideration. No Common Shares or other securities shall be delivered pursuant to any Award until payment in full of any amount required to be paid pursuant to the Plan or the applicable Award Agreement is received by the Company. Such payment may be made by such method or methods and in such form or forms as the Board shall determine, including, without limitation, cash, Common Shares, other securities, other Awards or other property, or any combination thereof; provided that the combined value, as determined by the Board, of all cash and cash equivalents and the Fair Market Value of any such Common Shares or other property so tendered to the Company, as of the date of such tender, is at least equal to the full amount required to be paid pursuant to the Plan or the applicable Award Agreement to the Company.

9.

Amendments. Except to the extent prohibited by applicable law:

(a)

Amendments to the Plan. The Board may amend, alter, suspend, discontinue, or terminate the Plan without the consent of any stockholder, Participant, other holder or beneficiary of an Award, or other Person; provided, however, that any amendment, alteration, suspension, discontinuation, or termination that would impair the rights of any Participant, or any other holder or beneficiary of any Award theretofore granted, shall not to that extent be effective without the consent of such Participant, other holder or beneficiary of an Award, as the case may be.

(b)

Amendments to Awards. The Board may amend any terms of, or alter, suspend, discontinue, cancel or terminate, any Award theretofore granted, prospectively or retroactively; provided, however, that any amendment, alteration, suspension, discontinuation, cancellation or termination that would impair the rights of any Participant or holder or beneficiary of any Award theretofore granted, shall not to that extent be effective without the consent of such Participant or holder or beneficiary of an Award, as the case may be.

10.

General Provisions.

(a)

No Right to Awards. No Employee or other Person shall have any claim to be granted any Award under the Plan, and there is no obligation for uniformity of treatment of Employees, or holders or beneficiaries of Awards under the Plan. The terms and conditions of Awards need not be the same with respect to each recipient.

(b)

Correction of Defects, Omissions, and Inconsistencies. The Board may correct any defect, supply any omission, or reconcile any inconsistency in the Plan or any Award in the manner and to the extent it shall deem desirable to carry the Plan into effect.

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(c)

Withholding. The Company or any Affiliate shall be authorized to withhold from any Award granted, from any payment due or transfer made under any Award or under the Plan or from any compensation or other amount owing to a Participant the amount (in cash, Common Shares, other securities, other Awards, or other property) of withholding taxes due in respect of an Award, its exercise, or any payment or transfer under such Award or under the Plan and to take such other action as may be necessary in the opinion of the Company or Affiliate to satisfy all obligations for the payment of such taxes.

(d)

No Right to Employment. The grant of an Award shall not be construed as giving a Participant the right to be retained in the employ of the Company or any Affiliate. Further, the Company or an Affiliate may at any time dismiss a Participant from employment, free from any liability, or any claim under the Plan, unless otherwise expressly provided in the Plan or in any Award Agreement.

(e)

Governing Law. The validity, construction, and effect of the Plan and any rules and regulations relating to the Plan shall be determined in accordance with the laws of the State of Wyoming and applicable Federal law.

(f)

Severability. If any provision of the Plan or any Award is or becomes or is deemed to be invalid, illegal or unenforceable in any jurisdiction or as to any Person or Award under any law deemed applicable by the Board, such provision shall be construed or deemed amended to conform to applicable laws, or if it cannot be construed or deemed amended without, in the determination of the Board, materially altering the intent of the Plan or the Award, such provision shall be stricken as to such jurisdiction, Person or Award and the remainder of the Plan and any such Award shall remain in full force and effect.

(g)

No Trust or Fund Created. Neither the Plan nor any Award shall create or be construed to create a trust or separate fund of any kind or a fiduciary relationship between the Company or any Affiliate and a Participant or any other Person. To the extent that any Person acquires a right to receive payments from the Company or any Affiliate pursuant to an Award, such right shall be no greater than the right of any unsecured general creditor of the Company or any Affiliate.

(h)

No Fractional Common Shares. No fractional Common Shares shall be issued or delivered pursuant to the Plan or any Award, and the Board shall determine whether cash, other securities, or other property shall be paid or transferred in lieu of any fractional Common Shares or whether such fractional Common Shares or any rights thereto shall be canceled, terminated, or otherwise eliminated.

(i)

Headings. Headings are given to the Sections and subsections of the Plan solely as a convenience to facilitate reference. Such headings shall not be deemed in any way material or relevant to the construction or interpretation of the Plan or any provision thereof.

11.

Adoption, Approval and Effective Date of the Plan. The Plan was adopted by the Board effective June 6, 2016.

7INTERNATIONAL, INC.

Exhibit 10.14

SERVICE AGREEMENT

THIS AGREEMENT (the "Agreement") is made and entered into this 1st of March, 2016 by and between HANOVER INTERNATIONAL, INC., located at 61691 Topaz Drive, LaQuinta, California 92253, (hereinafter referred to as "HANOVER"), and ON THE MOVE CORPORATION located at 12355 Hagen Ranch, Suite 604, Boynton Beach, Florida, 33437, (hereinafter referred to as the "Company") .

WITNESSETH:

For and consideration of the mutual promises and covenants contained herein, the parties hereto agree as follows:

1)    EMPLOYMENT

Company hereby hires and employs HANOVER as an independent contractor, and HANOVER does hereby accept its position as an independent contractor to the Company upon the terms and conditions hereinafter set forth.

2)    TERM

The term of this Agreement shall be for 12 months and is cancellable within the first 90 days with a 3 day written notice. Otherwise, this Agreement is cancellable anytime with a 30 days written notice after the first ninety (90) days of representation. If any party elects to exercise its right to cancel, then a termination of service notice must be provided to all parties in writing, as specified above, and prior to the desired termination date.

 

  

Exhibit 10.14 -- Page 1 of 10

3)    DUTIES AND OBLIGATIONS OF HANOVER

		a)	HANOVER will review and analyze various aspects of the Company's goals and make recommendations on the feasibility and achievement of desired goals.

		b)	HANOVER will provide all services as defined in the Scope of Services (Exhibit 1).

		c)	ALL HANOVER-PREPARED DOCUMENTATION CONCERNING THE COMPANY, INCLUDING, BUT NOT LIMITED TO, INFORMATIONAL WRITE-UPS, NEWS ANNOUNCEMENTS, SHAREHOLDER LETTERS, ET AL, SHALL BE PREPARED BY HANOVER USING MATERIALS SUPPLIED TO IT BY THE COMPANY AND SHALL BE APPROVED BY THE COMPANY PRIOR TO DISSEMINATION BY HANOVER.

4)    HANOVER'S COMPENSATION

For the services listed herein, HANOVER would be entitled to receive compensation as stated below. HANOVER's compensation is fee-based and will not be percentage-based in relation to any type of securities offering that may be undertaken by the Company or in relation to sales of its products and services by the Company to sources first introduced to it by HANOVER.

		•	Month 1-6: A cash monthly retainer of $3,500 with the first monthly payment due upon execution of the Service Agreement; and subsequent monthly payments of $3,500 due every 30 days thereafter.

		•	Month 7-12: Beginning on the seventh month anniversary of the Service Agreement execution date, the cash monthly retainer shall increase from $3,500 to $5,000.

		•	Based on On The Move currently having approximately 52 million+ shares issued and outstanding, Hanover shall be entitled to earn 500,000 cashless warrants. These warrants shall be issuable in warrant tranches on a quarterly basis. The first tranche of 125,000 warrants shall be earned and issuable on the 91st day following the execution of the Service Agreement and subsequent tranches of 125,000 warrants shall be issuable every 90 days thereafter. In the event the Company elects early termination, then Hanover's right to any quarterly tranches of warrants that have not been earned and issued as described above will be deemed null and void.

		•	HANOVER agrees to vote their shares at the recommendation of the Board of Directors and allows the Company's management to vote their shares in their place in the event HANOVER cannot be reached within 10 days of a proxy vote or solicitation for an action by written consent of the shareholders without a meeting.

 

  

Exhibit 10.14 -- Page 2 of 10

5)    HANOVER EXPENSES AND COSTS

Hanover shall pay all reasonable costs and expenses incurred by HANOVER, its directors, officers, employees and agents, in carrying out its duties and obligations pursuant to the provisions of this Agreement excluding HANOVER's general and administrative expenses and costs, but including and not limited to the following costs and expenses; provided all costs and expense items in excess of $1.00 (One Dollar) must be approved by the Company in writing prior to HANOVER's incurrence of the same:

		a)	Seminars, expositions, money and investment conferences.

		b)	Expenses related to travel, hotel accommodations, et al, when HANOVER is conducting business outside of the office on behalf of the Company.

		c)	Radio and television time and print media advertising costs, when/if applicable.

		d)	Subcontract fees and costs incurred in preparation of independent third party research reports, when/if applicable.

		e)	Cost of on-site due diligence meetings, if applicable.

		f)	Printing and publication costs of brochures and marketing materials, which are not supplied by the Company.

		g)	Corporate web site development costs.

		h)	Printing and publication costs of Company annual reports, quarterly reports, and/or other shareholder communication collateral material, which is not supplied by the Company.

6)    COMPANY'S DUTIES AND OBLIGATIONS

Company shall have the following duties and obligations under this Agreement:

		a)	Cooperate fully and timely with HANOVER so as to enable HANOVER to perform its obligations under this Agreement.

		b)	The Company will act diligently and promptly in reviewing materials submitted to it from time to time by HANOVER and inform HANOVER of any inaccuracies contained therein prior to the dissemination of such materials.

		c)	Promptly give written notice to HANOVER of any change in the Company's financial condition or in the nature of its business or operations, which had or might have an adverse material effect on its operations, assets, properties or prospects of its business.

		d)	Promptly pay all Company pre-approved costs and expenses incurred by HANOVER under the provisions of this Agreement when presented with invoices for the same by HANOVER.

 

 

 

 

Exhibit 10.14 -- Page 3 of 10

		e)	Give full disclosure of all material facts concerning the Company to HANOVER and update such information on a timely basis.

		f)	Promptly pay the compensation due HANOVER under the provisions of this Agreement, and as defined in Section 4 and Section 5 (if and when applicable) herein.

 

7)    NONDISCLOSURE

Except as may be required by law, the Company, its officers, directors, employees, agents and affiliates shall not disclose the contents and provisions of this Agreement to any individual or entity without HANOVER 's express written consent subject to disclosing same further to Company counsel, accountants and other persons performing investment banking, financial, or related functions for the Company.

Except as may be required by law, the HANOVER, its officers, directors, employees, agents and affiliates shall not disclose the contents and provisions of this Agreement to any individual or entity without the Company's express written consent subject to disclosing same further to HANOVER counsel, accountants and other persons performing investment banking, financial, or related functions for HANOVER.

Both the Company and HANOVER shall instruct its officers, directors, employees, agents and affiliates of this obligation. HANOVER understands that the Company may give HANOVER access to information that Company has identified as confidential (the "Confidential Information"). Confidential Information will be clearly marked by the Company or will be information that the Company has reasonably attempted, orally or in writing, to indicate as "confidential," or information that HANOVER should reasonably recognize to be confidential from the contents or context of the disclosure.

HANOVER may use Confidential Information of the Company only in connection with the services provided hereby. HANOVER will not, at any time, use the Confidential Information of the Company in any fashion, form, or manner, except in furtherance of the purpose described above.

HANOVER will protect the confidentiality of the Company's Confidential Information in the same manner it protects the confidentiality of its own proprietary and confidential information of like kind. Access to the Confidential Information shall be restricted to those of the HANOVER's personnel engaged in a use permitted hereby. HANOVER may disclose the Confidential Information to its advisors, agents and representatives (collectively, its "Representatives") who need to know the Confidential Information for the purpose described above.

Confidential Information disclosed hereunder shall at all times remain, as between the parties, the property of the Company. Neither this Agreement, nor any disclosure of Confidential Information hereunder, shall be construed to grant a license under any trade secrets, copyrights, or other rights granted by the Company.

 

 

 

Exhibit 10.14 -- Page 4 of 10

Confidential Information of the Company may not be copied or reproduced by HANOVER without the prior written consent of the Company. All Confidential Information made available hereunder, including copies thereof, shall be returned to Company upon the first to occur of (a) completion of the purpose referred to above or ( b) request by the Company.

Although Company has endeavored to provide accurate and complete Confidential Information, which it believes relevant for, the purpose described above, HANOVER understands and agrees that the Company makes no representation or warranty, either express or implied, as to the accuracy completeness of the Confidential Information. HANOVER agrees that the Company shall have no liability to the HANOVER resulting from the use of the Confidential Information.

Nothing in this Agreement shall prohibit or limit either party's use of information (including but not limited to ideas, concepts, know-how, techniques, and methodologies): (i) information that at the time of disclosure or thereafter is generally available to or known by the public (other than as a result of its disclosure by HANOVER or its Representatives in breach of this Agreement); (ii) information that was available or known to HANOVER prior to disclosure by the Company; (iii) information made available to HANOVER from a person or entity who, to HANOVER's knowledge, was not prohibited from disclosing it; and (iv) information that HANOVER holds or develops independently of the Company.

If HANOVER receives a subpoena or other validly issued administrative or judicial process demanding Confidential Information of the Company, HANOVER shall promptly notify the Company and tender to it the defense of such demand. Unless the demand shall have been timely limited, quashed or extended, HANOVER shall thereafter be entitled to comply with such demand to the extent permitted by law. If requested by the Company, to whom the defense has been tendered, HANOVER shall cooperate (at the expense of HANOVER) in the defense of a demand.

 

  

Exhibit 10.14 -- Page 5 of 10

8) COMPANY'S DEFAULT

In the event of any default in the payment of HANOVER's compensation to be paid to it pursuant to this Agreement, or any other charges or expenses on the Company's part to be paid or met, or any part or installment thereof, at the time and in the manner herein prescribed for the payment thereof and as and when the same becomes due and payable, and such default shall continue for five (5) business days after HANOVER ' s written notice thereof is received by Company; in the event of any material default in the performance of any of the other covenants, conditions, restrictions, agreements, or other provisions herein contained on the part of the Company to be performed, kept, complied with or abided by, and such default shall continue for five (5) business days after HANOVER has given Company written notice thereof, or if a petition in bankruptcy is filed by the Company, or if the Company is adjudicated bankrupt, or if the Company shall compromise all its debts or assign over all its assets for the payment thereof, or if a receiver shall be appointed for the Company's property, then upon the happening of any of such events, HANOVER shall have the right, at its option, forthwith or thereafter to accelerate all compensation, costs and expenses due or coming due hereunder and to recover the same from the Company by suit or otherwise and further, to terminate this Agreement. The Company covenants and agrees to pay all reasonable attorney fees, paralegal fees, costs and expenses due of HANOVER, including court costs, (including such attorney fees, paralegal fees, costs and expenses incurred on appeal) if HANOVER employs an attorney to collect the aforesaid amounts or to enforce other rights of HANOVER provided for in this Agreement in the event of any default as set forth above and HANOVER prevails in such litigation.

9)    COMPANY'S REPRESENTATIONS AND WARRANTIES

The Company represents and warrants to HANOVER for the purpose of inducing HANOVER to enter into and consummate this Agreement as follows:

		a)	The Company has the power and authority to execute, deliver and perform under this Agreement.

b) The execution and delivery by the Company of this Agreement have been duly and validly authorized by all requisite action by the Company. No license, consent or approval of any form is required for the Company's execution and delivery of this Agreement.

		c)	No representation or warranty by the Company in this Agreement and no information in any statement, certificate, exhibit, schedule or other document furnished, or to be furnished by the Company to HANOVER pursuant hereto, or in connection with the transactions contemplated hereby, contains or will contain any untrue statement of a material fact, or omits or will omit to state a material fact necessary to make the statements contained herein or therein not misleading. There is no fact which the Company has not disclosed to HANOVER, in writing, or in SEC filings or news announcements which materially adversely affects, nor, so far as the Company can now reasonably foresee, may adversely affect the business, operations, prospects, properties, assets, profits or condition (financial or otherwise) of the Company. IN NO EVENT WILL THE COMPANY BE LIABLE FOR ANY INDIRECT, SPECIAL OR CONSEQUENTIAL DAMAGES NOR FOR ANY CLAIM AGAINST HANOVER BY ANY PERSON OR ENTITY ARISING FROM OR IN ANY WAY RELATED TO THIS AGREEMENT.

 

 

 

Exhibit 10.14 -- Page 6 of 10

 

 

		d)	The Company acknowledges that neither HANOVER nor Hanover International, Inc. is a registered broker dealer and will not partake in the following activities:

i)    Provide evaluations;

ii)    Negotiate or advise to the structure or terms of a security offering;

iii)    Participate in negotiations with third party investors;

iv)    Perform due diligence for broker dealers;

v)    Participate in the preparation or distribution of documents relating to a securities offering;

		vi)	Accept any form of finder and/or referral fees related to a securities offering that may be undertaken by the Company; and/or

vii) Participate in securities distribution.

10)            HANOVER'S REPRESENTATIONS AND WARRANTIES

HANOVER represents and warrants to the Company for the purpose of inducing the Company to enter into and consummate this Agreement as follows:

		a)	HANOVER has the power and authority to execute, deliver and perform under this Agreement.

		b)	The execution and delivery by HANOVER of this Agreement have been duly and validly authorized by all requisite action by HANOVER. No license, consent or approval of any form is required for HANOVER's execution and delivery of this Agreement.

		c)	HANOVER will not disseminate any documentation or statements concerning the Company unless approved by the Company,

		d)	HANOVER will not make any representations regarding the Company that are not approved by the Company.

11)            INDEMNITY

HANOVER agrees to indemnify, defend and hold the Company, its officers, directors, agents, employees and other related parties (collectively, the "Company Indemnified Parties") harmless from and against any and all liabilities, damages, losses, expenses, claims, demands, suits, fines, or judgments, including without limitation reasonable attorneys' fees, costs and expenses, incidental thereto, which may be suffered by, accrued against, charged to or recoverable from any Company Indemnified Party, relating to any third-party claim which arises from or relates to a breach of a representation or warranty of HANOVER contained herein.

 

 

 

Exhibit 10.14 -- Page 7 of 10

12)            HANOVER'S DEFAULT

In the event of any default in the performance by HANOVER pursuant to this Agreement and such default shall continue for five (5) business days after the company's written notice thereof is received by HANOVER; in the event of any default in the performance of any of the other covenants, conditions, restrictions, agreements, or other provisions herein contained on the part of HANOVER to be performed, kept, complied with or abided by, and such default shall continue for five (5) business days after Company has given HANOVER written notice thereof, or if a petition in bankruptcy is filed by HANOVER, or if HANOVER is adjudicated bankrupt, or if HANOVER shall compromise all its debts or assign over all its assets for the payment thereof, of if a receiver shall be appointed for HANOVER ' s property, then upon the happening of any of such events, the Company shall have the right, at its option, forthwith or thereafter to get back all of its money from HANOVER by suit or otherwise and further, to terminate this Agreement. HANOVER covenants and agrees to pay all reasonable attorney fees, paralegal fees, costs and expenses due of the Company, including court costs (including such attorney fees, paralegal fees, costs and expenses incurred on appeal) if the Company employs an attorney to collect the aforesaid amounts or to enforce other rights of the Company provided for in this Agreement in the event of any default as set forth above and the Company prevails in such litigation.

13) LIMITATION OF HANOVER LIABILITY

If HANOVER fails to perform its services hereunder, its entire liability to the Company, other than liability under Section 12 hereof, shall not exceed the amount of cash compensation HANOVER has received from the Company under Section 4 of this Agreement. EXCEPT WITH RESPECT TO LIABILITY PURSUANT TO SECTION 10(B), IN NO EVENT WILL HANOVER BE LIABLE FOR ANY INDIRECT, SPECIAL OR CONSEQUENTIAL DAMAGES NOR FOR ANY CLAIM AGAINST THE COMPANY BY ANY PERSON OR ENTITY ARISING FROM OR IN ANY WAY RELATED TO THIS AGREEMENT, UNLESS SUCH DAMAGES RESULT FROM THE USE, BY HANOVER, OF INFORMATION NOT AUTHORIZED BY THE COMPANY.

14)            MISCELLANEOUS

		a)	Notices. Any notice or other communication required or permitted to be given hereunder shall be in writing and shall be deemed to have been duly given when delivered personally, or sent by registered or certified mail, return receipt requested, postage prepaid to the parties, or sent by a nationally recognized overnight carrier hereto at their addresses first above written. Either party may change his or its address for the purpose of this paragraph by written notice similarly given.

		b)	Entire Agreement. This Agreement represents the entire agreement between the Parties in relation to its subject matter and supersedes and voids all prior agreements between such Parties relating to such subject matter.

		c)	Amendment of Agreement. This Agreement may be altered or amended, in whole or in part, only in writing signed by both Parties.

 

 

  

Exhibit 10.14 -- Page 8 of 10

		d)	Waiver. No waiver of any breach or condition of this Agreement shall be deemed to be a waiver of any other subsequent breach or condition, whether of a like or different nature, unless such shall be signed by the person making such waiver and/or which so provides by its terms.

		e)	Captions. The captions appearing in this Agreement are inserted as a matter of convenience and for reference and in no way affect this Agreement, define, limit or describe its scope or any of its provisions.

		f)	Situs. This Agreement shall be governed by and construed in accordance with the laws of the State of California. Venue for any dispute arising relating to this agreement shall be located exclusively in Santa Monica, California.

		g)	Benefits. This Agreement shall inure to the benefit of and be binding upon the Parties hereto, their heirs, personal representatives, successors and assigns.

		h)	Severability. If any provision of this Agreement shall be held to be invalid or unenforceable, such invalidity or unenforceability shall attach only to such provision and shall not in any way render invalid or unenforceable any other provisions of this Agreement, and this Agreement shall be carried out as if such invalid or unenforceable provision were not contained herein.

		i)	Currency. In all instances, references to monies used in this Agreement shall be deemed to be United States dollars.

		j)	Multiple Counterparts. This Agreement may be executed in any number of counterparts, each of which shall be deemed an original, and all of such counterparts shall constitute one ( 1) instrument.

 

 

Exhibit 10.14 -- Page 9 of 10

 

 

  

IN WITNESS WHEREOF, the Parties have executed this Agreement on the day and year as follows:

CONFIRMED AND AGREED ON THIS 1st DAY OF MARCH 2016.

HANOVER INTERNATIONAL, INC.

By:/s/ James E. Hock

HANOVER Officer                                                                                                Witness

James E. Hock                                                                                      Kathryn Cusumano

Print Name                                                                                                                Print Name

s/s Russell Parker EVP

Print Name

  

 

 

 

 

 

 

 

 

 

 

Exhibit 10.14 -- Page 10 of 10

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