Document:

Exhibit 10.1

 

SECOND AMENDMENT TO CREDIT AND SECURITY
AGREEMENT

 

THIS SECOND AMENDMENT TO CREDIT AND SECURITY
AGREEMENT (this “Amendment”), effective as of April 7, 2016, is entered into by and among Long Island
Brand Beverages LLC, a New York limited liability company (“Borrower”), Long Island Iced Tea Corp., a
Delaware corporation (“Parent”), and Brentwood LIIT Inc., a Delaware corporation (the “Lender”).

 

RECITALS

 

WHEREAS, pursuant to the terms of a certain
Credit and Security Agreement (the “Agreement”), dated November 23, 2015 and amended as of January 10,
2016, by and between Borrower, Parent and the Lender, the Lenders made available to the Borrower a secured convertible line of
credit presently in the amount of up to One Million Five Hundred Thousand Dollars ($1,500,000), subject to increase as provided
therein, up to a maximum principal amount of Five Million Dollars ($5,000,000), all on the terms and subject to the conditions
set forth therein; and

 

WHEREAS, the Lender has agreed to, among
other things, convert the amounts owed under the Note into shares of Common Stock and to surrender the Warrant in exchange for
shares of Common Stock, contingent upon the Company completing a public offering of its Common Stock under the Securities Act of
1933, as amended, with gross proceeds to the Company of at least $5,000,000 (a “Qualified Public Offering”); and

 

WHEREAS, Borrower, Parent and the Lender
wish to enter into this Amendment to confirm such agreement and other agreements of the parties.

 

NOW, THEREFORE, in consideration of the
covenants, promises and representations set forth herein, and other good and valuable consideration, the receipt and sufficiency
of which are hereby expressly and mutually acknowledged, and intending to be legally bound hereby, the parties hereto agree as
follows:

 

1.           Incorporation. The Recitals
set forth at the beginning of this Amendment are hereby incorporated in and made a part of this Agreement by this reference. Capitalized
terms used but not defined herein have the meanings ascribed to such terms in the Agreement.

 

2.           Recapitalization.

 

(a)           At the Closing (as defined below),
without any further action by Lender, the Company or Parent, and notwithstanding any conflicting provision of the Agreement or
the Note, all of the outstanding principal of the Note (including all capitalized fees and interest) and all accrued and unpaid
interest thereon shall be converted (the “Conversion”) into, and Parent shall issue to Lender, Four Hundred
Twenty-One Thousand Nine Hundred Seventy-Two (421,972) shares of Common Stock (adjusted for any stock dividends, combinations or
splits after the date hereof), subject to increase or decrease in amount negotiated in good faith by the parties hereto if any
additional Advances are approved by the Lender after the date hereof and made prior to the Closing or any amount of principal or
interest is repaid in cash by the Borrower prior to the Closing (it being understood and agreed that Lender shall have no obligation
to make any such Advance unless such increase or decrease is approved by Lender) (the “Conversion Shares”).
Lender shall not be required to surrender the Note in connection with the Conversion. Lender, the Company and Parent agree that,
after the Closing, there shall be no principal (including capitalized fees or interest) or interest thereon due under the Note,
the Agreement shall not be terminated as a result of the Conversion and the Note shall remain outstanding and shall represent the
right to repayment of any future Advances under the Line of Credit, any interest thereon and all other Obligations in accordance
with its existing terms and conditions. Following the Closing, Lender, the Parent and the Borrower shall update their records showing
the entire principal amount under the Note (including all capitalized fees and interest) and all accrued but unpaid interest thereon
has been converted and the date of the Conversion. Lender acknowledges and agrees that, by reason of the provisions of this paragraph,
following the Conversion, the principal amount of the Note will be less than the amount stated on the face hereof.

 

     

     

    

 

(b)           At the Closing, Lender shall surrender
the Warrant for, and Parent shall cancel the Warrant and shall issue to Lender (the “Exchange”), Four
Hundred Eighty-Six Thousand One Hundred Eleven (486,111) shares of Common Stock (adjusted for any stock dividends, combinations
or splits after the date hereof) (the “Exchange Shares,” and together with the Conversion Shares, the
“Shares”). Lender agrees that, at the Closing, the Warrant will be canceled and of no further force or
effect. Lender further agrees (i) to surrender the Warrant to Parent (or, if the Warrant has been lost, mutilated or destroyed,
an affidavit to such effect and indemnity reasonably acceptable to Parent) and (ii) the Warrant shall be deemed cancelled and of
no further force or effect as of the Closing and shall thereafter represent only the right to receive the Exchange Shares even
if Lender fails to surrender the Warrant.

 

(c)           The closing (the “Closing”)
of the Conversion and the Exchange shall be contingent upon and shall take place simultaneously with the consummation by Parent
of a Qualified Public Offering.

 

(d)           Lender shall be treated for all purposes
as the record holder of the Shares as of the date of the Closing. Within five (5) business days after the Closing, Parent shall
instruct and cause the Transfer Agent (as defined in the Note) to issue and surrender to a nationally recognized overnight courier
for delivery to the address specified in writing by Lender, a certificate, registered in the name of the Lender, or its designees,
for the Shares. In the event Parent does not send such instructions, Lender shall have the absolute and irrevocable right and authority
to deliver this fully executed Amendment to the Transfer Agent, along with a certificate signed by a duly authorized officer of
Lender certifying that the Closing has occurred, and pursuant to the terms of this Amendment, the Transfer Agent shall issue the
applicable Shares to Lender as hereby provided.

 

3.           Amendments to the Agreement.
Effective upon the Closing:

 

(a)           The term “Facility Amount”
shall mean Three Million Five Hundred Thousand Dollars ($3,500,000). The Recitals of the Agreement shall be amended to replace
“Five Million Dollars ($5,000,000)” with “Three Million Five Hundred Thousand Dollars ($3,500,000)” in
connection with the definition of the term Facility Amount. As of the date hereof, the Available Amount is One Million Five Hundred
Thousand Dollars ($1,500,000). This Amendment shall not be deemed to modify the Available Amount.

 

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(b)           All references to the Agreement in
the Agreement, the other agreements referred to therein and the other Loan Documents shall be deemed to be references to the Agreement
as amended by this Amendment and the First Amendment to the Credit and Security Agreement, effective as of January 10, 2016, by
and among the Borrower, Parent and Lender.

 

4.           No Other Changes or Modification.
Except as expressly set forth herein, nothing contained in this Amendment shall be deemed to cancel, extinguish, release, discharge
or constitute payment or satisfaction of the Note or the Agreement or to affect the obligations represented by the Note or the
Agreement.

 

5.           Confirmation and Reaffirmation.
All of the terms, covenants, conditions, waivers and consents contained in the Agreement, the other agreements referred to therein
and the other Loan Documents, as amended hereby, are and shall remain in full force and effect. The Agreement, the other agreements
referred to therein and the other Loan Documents, as amended hereby, the indebtedness evidenced and secured thereby and the security
provided thereby are hereby ratified and confirmed, and each and every grant, provision, covenant, condition, obligation, right
and power contained therein or existing with respect thereto shall continue in full force and effect. Borrower and Parent hereby
acknowledge and agree that the Agreement, the other agreements referred to therein and the other Loan Documents, as amended hereby,
are enforceable against Borrower and Parent and against the Collateral in accordance with their terms.

 

6.           Representations and Warranties.

 

(a)           Lender hereby represents and warrants
that:

 

(i)           Lender is duly organized, validly
existing and in good standing under the laws of the jurisdiction in which it is organized.

 

(ii)           Lender has the requisite power and
authority to execute and deliver this Amendment and to consummate the transactions contemplated hereby and such execution, delivery
and consummation have been duly authorized by all necessary action. This Amendment has been duly executed and delivered by Lender
and constitutes the valid and binding obligation of such party, enforceable against it in accordance with its terms.

 

(iii)           Neither the execution and delivery
of this Amendment nor the consummation of the transactions contemplated hereby will (i) conflict with, or result in a breach or
violation of, any provision of Lender’s organizational documents, (ii) constitute, with or without notice or the passage
of time or both, a breach violation or default under any law, rule, regulation, permit, license, agreement or other instrument
of Lender, or to which Lender or Lender’s property is subject, or (iii) require any consent, approval or authorization of,
or notification to, or filing with, any federal, state, local or foreign court, governmental agency or regulatory or administrative
authority on the part of Lender.

 

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(iv)           Lender is the owner, beneficially
and of record, of the Warrant and the Note, free and clear of any encumbrances.

 

(v)           Lender is an “accredited investor”
as defined in Rule 501 of Regulation D promulgated under the Securities Act of 1933, as amended (the “Securities Act”).

 

(vi)           Lender acknowledges that it can
bear the economic and financial risk of its investment for an indefinite period, and has such knowledge and experience in financial
or business matters that it is capable of evaluating the merits and risks of the investment in the shares of Common Stock.

 

(vii)           Lender has had an opportunity to
ask questions and receive answers from Parent regarding the terms and conditions of the offering of the Shares and the business,
properties, prospects and financial condition of Parent.

 

(viii)           Lender is not acquiring the Shares
with a view towards, or for resale in connection with, the public sale or public distribution of the shares, except in accordance
with the Securities Act.

 

(ix)           Lender understands and acknowledges
that the Shares are “restricted securities” under the federal securities laws inasmuch as they are being acquired from
Parent in a transaction not involving a public offering and that, under such laws and applicable regulations, such securities may
be resold without registration under the Securities Act only in certain limited circumstances. Lender acknowledges that each certificate
for the Shares will bear a legend to such effect. In addition, Lender represents that it is familiar with Rule 144 under the Securities
Act, as presently in effect, and understands the resale limitations imposed thereby and by the Securities Act.

 

(x)           Neither Lender nor anyone acting
on the Lender’s behalf has paid or given any person a commission or other remuneration directly or indirectly in connection
with or in order to solicit or facilitate the Exchange or Conversion.

 

(xi)           Lender acknowledges that the issuance
of the Shares is intended to be exempt from registration by virtue of Section 3(a)(9) of the Securities Act. Lender has not taken
any action that would cause such exemption not to be available.

 

(b)           The Company and Parent hereby represent
and warrant that:

 

(i)           Each of the Company and Parent is
duly organized, validly existing and in good standing under the laws of the state of its formation.

 

(ii)           Each of the Company and Parent has
the requisite power and authority to execute and deliver this Amendment and to consummate the transactions contemplated hereby
and such execution, delivery and consummation have been duly authorized by all necessary action. This Amendment has been duly executed
and delivered by each of the Company and Parent and constitutes the valid and binding obligation of such party, enforceable against
it in accordance with its terms.

 

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(iii)           Neither the execution and delivery
of this Amendment nor the consummation of the transactions contemplated hereby will (i) conflict with, or result in a breach or
violation of, any provision of the Company or Parent’s organizational documents, (ii) constitute, with or without notice
or the passage of time or both, a breach violation or default under any law, rule, regulation, permit, license, agreement or other
instrument of the Company or Parent or to which the Company or Parent or the Company’s or Parent’s property is subject,
or (iii) require any consent, approval or authorization of, or notification to, or filing with, any federal, state, local or foreign
court, governmental agency or regulatory or administrative authority on the part of the Company or Parent.

 

(iv)            The Shares, when issued, sold and
delivered in accordance with the terms of this Amendment, will be duly and validly issued, fully paid, and nonassessable and free
of restrictions on transfer, other than restrictions on transfer under applicable state and federal securities laws, and liens
or encumbrances created by or imposed by the Lender and are not issued in violation of any preemptive rights, rights of first refusal
or other similar rights.

 

(v)           Neither the Company nor Parent nor
anyone acting on the the Company’s or Parent’s behalf has paid or given any commission or other remuneration to any
person directly or indirectly in connection with or in order to solicit or facilitate the Exchange or the Conversion.

 

(vi)           Each of the Company and Parent acknowledges
that the issuance of the Shares is intended to be exempt from registration by virtue of Section 3(a)(9) of the Securities Act.
Neither the Company nor Parent has taken any action that would cause such exemption not to be available.

 

7.           Miscellaneous.

 

(a)           This Amendment shall terminate and
no longer binding on the parties, without further action by any party, on July 31, 2016, if the Closing has not occurred by such
date, in which event the Note and Warrant shall remain in full force and effect.

 

(b)           Lender shall not sell, assign, transfer,
pledge, hypothecate, lend or otherwise dispose of the Note or the Warrant, or agree to do any of the foregoing, without the prior
written consent of the Company and Parent.

 

(c)           This Amendment may be executed in any
number of identical counterparts, each of which shall be deemed to be an original, and all of which shall collectively constitute
a single agreement, fully binding and enforceable against the parties hereto.

 

(d)           This Amendment is intended for the
benefit of the parties hereto and their respective permitted successors and assigns, and is not for the benefit of, nor may any
provision hereof be enforced by, any other Person.

 

(e)           This Amendment shall be construed in
accordance with, and governed in all respects by, the laws of the State of New York.

 

[Signatures begin on next page.]

 

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IN WITNESS THEREOF, this Amendment has been
executed by the undersigned as of the day, month and year first above written.

 

	 	BORROWER:
	 	 	 
	 	LONG ISLAND BRAND BEVERAGES LLC
	 	 	 
	 	 	 
	 	By:	/s/ Philip Thomas	 
	 	 	Name: Philip Thomas
	 	 	Title: CEO
	 	 	 
	 	 	 
	 	PARENT:
	 	 	 
	 	LONG ISLAND ICED TEA CORP.
	 	 	 
	 	 	 
	 	By:	/s/ Philip Thomas	 
	 	 	Name: Philip Thomas
	 	 	Title: CEO
	 	 	 
	 	 	 
	 	LENDER:
	 	 	 
	 	BRENTWOOD LIIT INC.
	 	 	 
	 	 	 
	 	By:	/s/ Kerry Finnigan	 
	 	 	Name: Kerry Finnigan
	 	 	Title: Director

 

 

 

 

 

[Signature Page to Second Amendment to
Credit and Security Agreement]Exhibit 10.2

 

AMENDMENT NO. 1 

TO

REGISTRATION RIGHTS AGREEMENT

 

This Amendment No.
1 to Registration Rights Agreement (the “Amendment”), dated as of April 7, 2016, is entered into by and
among Long Island Brand Beverages LLC, a New York limited liability company (“Borrower”), Long Island
Iced Tea Corp., a Delaware corporation (“Parent”), and Brentwood LIIT Inc., a Delaware corporation (the
“Lender”).

 

RECITALS

 

WHEREAS, Borrower,
Parent and Lender are parties to that certain Registration Rights Agreement, dated as of December 3, 2015 (the “Registration
Rights Agreement”; capitalized terms used but not defined herein have the meanings ascribed to them in the Registration
Rights Agreement), pursuant to which Lender has certain demand and piggyback registration rights with respect to the Conversion
Shares, the Warrant and the Warrant Shares; and

 

WHEREAS, Borrower,
Parent and Lender, simultaneously herewith, are entering into a Second Amendment to the Credit Agreement (the “Credit
Amendment”), pursuant to which, simultaneously with the consummation of a Qualified Public Offering (as defined in
the Credit Amendment), the Lender will convert the amounts due under the Note into 421,972 shares of Common Stock, subject to increase
or decrease as described therein, and the Lender will exchange the Warrant for 486,111 shares of Common Stock.

 

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

 

1.           Amendments.
Contingent upon, and effective simultaneously with, the consummation of a Qualified Public Offering (as defined in the Credit Amendment):

 

a.           Section 1 of the
Registration Rights Agreement is hereby amended by adding the following definition in alphabetical order:

 

““Recapitalization
Shares” shall mean the shares of Common Stock issuable to the Lender upon conversion of the Note and exchange of
the Warrant in accordance with Section 2(a) and 2(b), respectively, of that certain Second Amendment to Credit Agreement,
dated as of April 7, 2016, by and among the Borrower, the Parent and the Lender.”

 

b.           Section 1 of the
Registration Rights Agreement is hereby amended by replacing the definition of “Registrable Shares” in its entirety
with the following:

 

           ““Registrable
Shares” shall mean (a) the Conversion Shares, (b) the Recapitalization Shares, and (c) any other equity security
of the Parent issued or issuable with respect to any such Conversion Shares or Recapitalization Shares to the Lender by way of
a stock dividend or stock split or in connection with a combination of shares, recapitalization, merger, consolidation or reorganization;
provided, however, that, as to any particular Registrable Shares, such securities shall cease to be Registrable Shares when: (A)
a Registration Statement with respect to the sale of such securities shall have become effective under the Securities Act and such
securities shall have been sold or disposed of in accordance with such Registration Statement; (B) such securities shall have been
otherwise transferred, new certificates for such securities not bearing a legend restricting further transfer shall have been delivered
by the Parent and subsequent public distribution of such securities shall permanently not require registration under the Securities
Act; (C) such securities shall have ceased to be outstanding; (D) such securities may be sold without registration pursuant Rule
144 promulgated under the Securities Act (but with no volume or other restrictions or limitations); or (E) such securities have
been sold to, or through, a broker, dealer or Underwriter in a public distribution or other public securities transaction.”

 

    	 	 	 

     

    

 

c.           All references
in the Registration Rights Agreement to the Registration Rights Agreement shall mean the Registration Rights Agreement as amended
by this Amendment.

 

2.           Waiver.
The Lender hereby waives its right under the Registration Rights Agreement to include the Registrable Shares on any registration
statement filed by the Company under the Securities Act on or before April 30, 2016 that registers the offer and sale of equity
securities of the Company to the public for its own account, or any registration statement filed pursuant to Rule 462(b) under
the Securities Act to register additional securities of the same class or classes included therein, or any pre-effective amendment,
post-effective amendment or supplement thereto.

 

3.           Miscellaneous.

 

a.           This Amendment
amends solely the provisions of the Registration Rights Agreement set forth herein and nothing in this Amendment is intended or
shall be construed as amending or waiving any other terms or provisions of the Registration Rights Agreement or any other rights
of the Parties under the Registration Rights Agreement. The parties acknowledge that the Registration Rights Agreement (as amended
by this Amendment) is in full force and effect and is hereby confirmed and ratified in all respects.

 

b.           This Amendment
may be executed in any number of identical counterparts, each of which shall be deemed to be an original, and all of which shall
collectively constitute a single agreement, fully binding and enforceable against the parties hereto.

 

c.           This Amendment
is intended for the benefit of the parties hereto and their respective permitted successors and assigns, and is not for the benefit
of, nor may any provision hereof be enforced by, any other Person.

 

d.           This Amendment
shall be construed in accordance with, and governed in all respects by, the laws of the State of New York.

 

[Signature page follows]

 

 

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IN WITNESS WHEREOF,
the undersigned have caused this Agreement to be executed as of the date first written above.

 

	 	 	 	 
	 	PARENT:
	 	 
	 	
        LONG ISLAND ICED TEA CORP.

         

	 	 	 
	 	By:	 	/s/ Philip Thomas
	 	 	 	Name: Philip Thomas
	 	 	 	Title:   CEO

 

	 	 	 	 
	 	BORROWER:
	 	 
	 	
        LONG ISLAND BRAND BEVERAGES LLC

         

	 	 	 
	 	By:	 	/s/ Philip Thomas
	 	 	 	Name: Philip Thomas
	 	 	 	Title:   CEO

 

	 	 	 	 
	 	LENDER:
	 	 
	 	
        BRENTWOOD LIIT INC.

         

	 	 	 
	 	By:	 	/s/ Kerry Finnigan
	 	 	 	Name: Kerry Finnigan
	 	 	 	Title:   Director

 

 

 

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