Document:

Exhibit 10.1

 

CERTAIN INFORMATION, MARKED IN THIS EXHIBIT WITH BRACKETS, HAS BEEN
EXCLUDED FROM THIS EXHIBIT BECAUSE SUCH INFORMATION IS PERSONAL IN NATURE AND THE DISCLOSURE OF WHICH WOULD CONSTITUTE AN UNWARRANTED
INVASION OF PERSONAL PRIVACY. THE REDACTED INFORMATION IS NOTED BY [****]. 

 

This Separation
and Release of Claims Agreement (“Agreement”) dated as of January
18, 2022 (the “Execution Date”) is entered into by and between SolarWindow Technologies, Inc., a Nevada corporation
(the “Company”), on behalf of itself, its parent, directly and indirectly owned subsidiaries, and other corporate affiliates,
and each of their respective present and former employees, officers, directors, owners, shareholders, and agents, individually and in
their official capacities (collectively referred to as the “Company Group”), Vector Asset Management, Inc., a
British Columbia, Canada corporation (“VAMI”) and Jatinder S. Bhogal (the “Executive”)
(the Company and the Executive are sometimes collectively referred to as the “Parties” and individually as a “Party”)
effective upon the expiration of the Revocation Period referenced in Section 5 below (the “Effective Date”).

 

Whereas,
the Parties have previously entered into an Executive Consulting Agreement dated June 29, 2020 which terminated and superseded the Consulting
Agreement among the Parties dated February 1, 2015, (the “ECA”) and pursuant to which the Executive currently serves
as the Company’s Chief Executive Officer and Chairman (“CEO and Chairman”);

 

Whereas,
each of the Parties deems it to be in his or its respective best interest to terminate the ECA on the terms and conditions set forth in
this Agreement; and

 

Whereas,
in connection with the Executive’s resignation, the Company desires to retain the Executive to provide certain transitional consulting
services to the Company as of the Separation Date in accordance with the terms and conditions set forth herein.

 

Now,
Therefore, in consideration of the foregoing recitals, the mutual promises contained herein, and for other good and valuable
consideration, the receipt and adequacy of which are hereby acknowledged, the parties hereto agree as follows:

 

1.       Resignation;
Termination of Employment Agreement.

 

1.1        Resignation.
The Executive has tendered his resignation (the “Executive’s Resignation”) as an officer, director, consultant
and/or employee of any member of the Company Group. Notwithstanding anything contained herein or in the Employment Agreement, the Executive’s
Resignation shall not be deemed a termination by the Company for “Cause” or by the Executive for “Good Reason”
for purposes of, and each as defined in, the ECA. The Executive’s Resignation shall be effective as of midnight (Pacific Time) on
January 18, 2022 (the “Separation Date”).

 

1.2       Termination
of Employment Agreement. As of the Separation Date, except as otherwise contemplated and provided by Section 14, the ECA
shall automatically terminate and be of no further force and effect, and none of the Company, VAMI or the Executive shall have any further
obligations thereunder.

 

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2.        Consulting
Services.

 

2.1       Consulting
Period. Subject to the earlier termination provisions of Section 2.7, the VAMI shall be engaged by the Company
as a consultant for an initial period commencing on the day immediately following the Effective Date (as such term is defined in Section
5 below) and ending on through July 31, 2022 (the “Initial Consulting Period”). During the Initial Consulting Term,
the Company may terminate the Consulting Services for any reason and VAMI and the Executive may terminate the Consulting Services only
for Good Reason. As used in this Agreement, “Good Reason” means
the termination of the Consulting Services by VAMI or the Executive within thirty (30) days following the expiration of any Company
cure period (discussed below) following the occurrence of a material breach of this Agreement by the Company. Notwithstanding the
foregoing, VAMI and the Executive shall not terminate the Consulting Services for Good Reason without
first providing the Company with written notice of the acts or omissions constituting the grounds for Good Reason within ten (10) days
of the initial existence of the grounds for Good Reason and a reasonable cure period of fifteen (15) Business Days following the date
the Company receives such notice during which such condition must not have been cured. If the Consulting Services have not been terminated
by either the Company, on the one hand, or VAMI and the Executive on the other hand, then the Consulting Services shall continue on a
month-to-month basis (the “Extended Consulting Period”) until terminated by either (i) the Company upon one
month’s written notice to VAMI and the Executive or (ii) VAMI upon one month’s written notice to the Company. The Initial
Consulting Period together with the Extended Consulting Period, if any, is referred to herein as the “Consulting Period.”

 

2.2       Scope
of Consulting Services. During the Consulting Period, in order to facilitate the transition of the Executives duties and
responsibilities as CEO and Chairman, VAMI shall cause the Executive to consult, and the Executive shall consult, with the Company and
its executive officers on an as-needed basis regarding the business and operations of the Company and the Company Group, as well as the
transition of duties of the Executive to other employees of the Company (the “Consulting Services”). The
Executive shall report directly to, and shall perform the Consulting Services as directed by, the Chief Executive Officer of the Company,
or such other officer of director of the Company Group as may be determined from time to time by the Company, in its sole discretion.
In connection with providing the Consulting Services, the Executive shall comply in full with all applicable law, and rules and regulations
and with the Company’s Code of Business Conduct & Ethics. It is agreed and acknowledged that the Consulting Services will pertain
primarily to legacy matters initiated during the Executive’s tenure as an officer or director of the Company or a member of the
Company Group. The Executive will not provide any executive level services.

 

2.3       Performance
of Consulting Services. The Consulting Services shall be required at such times and such places as shall not result in unreasonable
inconvenience to the Executive, recognizing the Executive's other business commitments that he may have to accord priority over the performance
of the Consulting Services. In order to minimize interference with the Executive's other commitments, the Consulting Services, to the
extent practicable and not prejudicial to the Company, may be rendered by personal consultation at his residence or office wherever maintained,
or by telephonic or video conferences during normal business hours. It is hereby understood and agreed that during the Consulting Period,
the Executive shall have the right to engage in full-time or part-time employment with other business enterprises; provided that the Executive
does not breach the restrictive covenants set forth in Section 6 hereof. The parties hereto reasonably anticipate that
the level of bona fide services that the Executive is to perform during the Consulting Period will not exceed more than 40 hours per calendar
month during the during the portion of the Consulting Period commencing on the Effective Date and ending on July 31, 2022 (prorated for
any portion of the Consulting Period which is less than a full calendar month) and thereafter will not exceed more than 15 hours per calendar
month.

 

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2.4       Status
as Independent Contractor. The Executive acknowledges and agrees that his status at all times during the Consulting
Period shall be that of an independent contractor, and that he may not, at any time, act as a representative for or on behalf of the Company
Group for any purpose or transaction, and may not bind or otherwise obligate the Company Group in any manner whatsoever without obtaining
the prior written approval of an authorized representative of the Company Group therefor. The Executive hereby waives any rights to be
treated as an employee or deemed employee of the Company Group for any purpose during the Consulting Period, and that he shall not be
entitled to the benefits of being an employee or deemed employee of the Company Group during the Consulting Period. The Executive hereby
acknowledges and agrees that, except as provided in Section 2.5 hereof, he shall not be eligible for, shall not actively participate
in, and shall not otherwise accrue benefits under, any of the Company Group's benefit plans during the Consulting Period.

 

2.5       Consulting
Fees. In consideration for the Consulting Services, subject to the terms hereof, the Company shall pay VAMI a consulting
fee of $34,000, payable in advance with respect to the Initial Consulting Period (the “Advance Consulting Fees”).
The Advance Consulting Fee shall be paid in respect of that portion of the Consulting Period commencing on the Effective Date and terminating
on the three-month anniversary date thereof; thereafter the Company shall pay a monthly consulting fee to VAMI of one hundred ($100) dollars.
The Parties hereby acknowledge and agree that the Consulting Fees shall not be deemed to be wages, and therefore, shall not be subject
to any withholdings or deductions. To the extent applicable, VAMI will receive a Form 1099 (or other applicable tax reporting form) with
regard to the Consulting Fees, and VAMI shall be solely responsible for, and shall pay, all taxes assessed on such fee under the applicable
laws of any Federal, state, or local jurisdiction.

 

2.6       Expenses. The
Company will be responsible for any reasonable and necessary out-of-pocket expenses incurred by the Executive during the Consulting Period
that are directly related to the provision of Consulting Services by the Executive in accordance with the Company's standard expense reimbursement
policies applicable to independent contractors, provided that (i) the incurrence of such expenses are approved in advance by the Company,
and (ii) appropriate receipts and vouchers for such expenses are submitted to the Company within thirty (30) days after the expenses are
incurred.

 

3.       Separation
Consideration.

 

3.1 Consideration. As consideration for VAMI and the Executive's execution of, non-revocation of, and compliance with
this Agreement, including the VAMI and Executive's waiver and release of claims in Section
4, and other post-termination obligations of the Executive the Company agrees to:

 

(a)
make a lump sum payment, on the Effective Date as defined in Section 5, to VAMI of $204,000 (the “Separation
Payment”);

 

(b)
maintain directors’ and officers’ insurance policies (the “D&O Insurance”), covering
the Executive, for a period of six years (or tail coverage for a comparable period) having such terms and conditions reasonably
consistent with the Company’s current D&O Insurance; and 

 

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(c)
amend the terms and conditions of each of the stock option agreements between the Company and VAMI or the Executive, as the case may
be (each a “SOA”), pursuant to which VAMI or the Executive has an option to purchase shares of the Company’s
common stock (collectively, the “Options”) to provide for, to the extent not included the SOAs:

 

(i)
a “cashless” exercise provision in the form typically included in the Company’s stock option agreements;

 

(ii)
an extension of the time during which vested options may be exercised to and including the original expiration or termination date
of the Option as set forth in the applicable SOA;

 

3.2       Deferral.
The payment of the Separation and Settlement Payment may be deferred by the Executive upon written notice to the Company’s Chief
Executive Officer as provided in Section 20.

 

3.3       No
entitlement to Additional Payments. Each of VAMI and the Executive understands, acknowledges, and agrees that the payments
provided for in this Section 3 are in full and complete satisfaction of the any and all payments otherwise required to be
made by the Company under the terms and conditions of the ECA, and that neither VAMI nor the Executive is entitled to any additional
payment consideration or benefit not specifically referenced and provided for in this Agreement.

 

3.4       Receipt
of Payments Due Through the Separation Date. VAMI acknowledges that it has received all payments due it under the terms of the
ECA through Separation Date (collectively, the “Accrued Payment Obligations”).

 

4.       Release.

 

4.1       General Release and
Waiver of Claims.

 

In
exchange for the consideration provided in this Agreement, each of VAMI and the Executive, and their respective heirs, executors,
representatives, administrators, agents, and assigns (collectively, the “Releasors”) irrevocably and unconditionally
fully and forever waive, release, and discharge the Company, including each member of the Company Group, in their corporate and individual
capacities (collectively, the “Released Parties”), from any and all claims, demands, actions, causes of actions,
judgments, rights, fees, damages, debts, obligations, liabilities, and expenses (inclusive of attorneys' fees) of any kind whatsoever,
whether known or unknown (collectively, “Claims”), that Releasors may have or have ever had against the Released Parties,
or any of them, arising out of, or in any way related to the Executive's hire, benefits, employment, termination, or separation from
employment with the Company Group by reason of any actual or alleged act, omission, transaction, practice, conduct, occurrence, or other
matter from the beginning of time up to and including the date of the Executive's execution
of this Agreement, including, but not limited to:

 

(a)       any
and all claims under
Title VII of the Civil Rights Act of 1964 (Title VII), the Americans with Disabilities Act (ADA), the Family and Medical Leave
Act (FMLA) (regarding existing but not prospective claims), the Fair Labor Standards
Act (FLSA), the Equal Pay Act, the Executive Retirement Income Security Act (ERISA)
(regarding unvested benefits), the Civil Rights Act of 1991, Section 1981 of U.S.C. Title 42, the Fair Credit Reporting Act (FCRA),
the Worker Adjustment and Retraining Notification (WARN) Act, the National Labor Relations Act (NLRA), the Age Discrimination
in Employment Act (ADEA), the Uniform Services Employment and Reemployment Rights Act (USERRA),
the Genetic Information Nondiscrimination Act (GINA), the Immigration Reform and Control Act (IRCA), all provisions prohibiting
discrimination and retaliation, and all provisions regulating wage and hour law), all including any amendments and their respective implementing
regulations, and any other federal, state, local, or foreign law (statutory, regulatory, or otherwise) that may be legally waived and
released; however, the identification of specific statutes is for purposes of example only, and the omission of any specific statute or
law shall not limit the scope of this general release in
any manner;

 

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(b)       any
and all claims for compensation of any type whatsoever, including but not limited to claims for salary, wages, bonuses,
commissions, incentive compensation, vacation, and severance that may be legally waived and released;

 

(c)       any
and all claims arising under tort, contract, and quasi-contract law, including but not limited to claims of breach
of an express or implied contract, tortious interference with contract or prospective business advantage, breach of the covenant of good
faith and fair dealing, promissory estoppel, detrimental reliance, invasion of privacy, nonphysical injury, personal injury or sickness
or any other harm, wrongful or retaliatory discharge, fraud, defamation, slander, libel, false imprisonment, and negligent or intentional
infliction of emotional distress;

 

(d)       any
and all claims for monetary or equitable relief, including but not limited to attorneys' fees, back pay, front pay, reinstatement,
experts' fees, medical fees or expenses, costs and disbursements, punitive damages, liquidated damages, and penalties;

 

(e)       indemnification
rights VAMI or the Executive has against the Company Group; and

 

(f)        any and all claims arising under any applicable Canadian law, British Columbia law, or provincial or local
Canadian law, to the extent such claims may be waived.

 

However, this general release and
waiver of claims excludes, and the Executive does not waive, release, or discharge to the extent applicable: (A) any right
to file an administrative charge or complaint with, or testify, assist, or participate in an investigation, hearing, or proceeding
conducted by, the Equal Employment Opportunity Commission, or other similar federal, state, or local administrative agencies, although
the Executive waives any right to monetary relief related to any filed charge or administrative complaint; and (B) claims that
cannot be waived by law, such as claims for unemployment benefit rights and workers’ compensation; (C) indemnification
rights the Executive has against the Company; (D) any right to file an unfair labor practice charge under the National Labor Relations
Act or Executive's rights under a collective bargaining agreement without processes; and (E) any rights to vested benefits,
such as pension or retirement benefits, the rights to which are governed by the terms of the applicable plan documents and award agreements.

 

 

4.2       Specific Release of
ADEA Claims.

 

In
further consideration of the payments and benefits provided to the Executive in this Agreement, the Releasors hereby irrevocably
and unconditionally fully and forever waive, release, and discharge the Released Parties from any and all Claims, whether known
or unknown, from the beginning of time through the date of the Executive's execution of this Agreement arising under the Age
Discrimination in Employment Act (ADEA), as amended, and its implementing regulations.

 

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By
signing this Agreement, the Executive hereby acknowledges and confirms that:

 

(a)       the
Executive has read this Agreement in its entirety and understands all of its terms;

 

(b)       by
this Agreement, the Executive has been advised in writing to consult with an attorney of the Executive's choosing as the Executive
believed was necessary before signing this Agreement;

 

(c)       the
Executive knowingly, freely, and voluntarily agrees to all of the terms and conditions set out in this Agreement including,
without limitation, the waiver, release, and covenants contained in it;

 

(d)       the
Executive is signing this Agreement, including the waiver and release, in exchange for good and valuable consideration in addition
to anything of value to which the Executive is otherwise entitled;

 

(e)       the
Executive was given at least twenty-one (21) days to consider the terms of this Agreement and consult with an attorney of the
Executive's choice, although the Executive may sign it sooner if desired and changes to this Agreement, whether material or immaterial,
do not restart the running of the 21day period;

 

(f)       the
Executive understands that the Executive has seven (7) days after signing this Agreement to revoke the release in
this Section by delivering notice, as provided in Section 20, of revocation to the Company’s President at the Company
before the end of this seven-day period (the “Executive’s Revocation Period”). In the event of a revocation by
the Executive, this Agreement shall be null and void in its entirety, and the actions and transactions contemplated by this
Agreement shall not be consummated; and

 

(g)      the
Executive understands that the release contained in this paragraph does not apply to rights and claims that
may arise after the Executive signs this Agreement.

 

The
Executive further acknowledges that the Executive was notified that he has twenty-one (21) days from January 12, 2018 (the date that
this Agreement was originally presented to him), to consider the terms of this Agreement and consult with an attorney of the
Executive's choice, although the Executive may sign it sooner if desired; and, changes to this Agreement, whether material or immaterial,
do not restart the 21-day period.

 

4.3       Company
Release of VAMI and the Executive.

 

In
exchange for the Releasors' waiver and release of claims against the Released Parties, and non-revocation of any portion
of that release, the Company expressly waives and releases any and all claims against VAMI and the Executive
that may be waived and released by law with the exception of claims arising out of or attributable to: (i) events, acts, or
omissions taking place after the Parties' execution of the this Agreement, including any breach of this Agreement by VAMI or the
Executive; (ii) the Executive's breach of any terms and conditions of this Agreement or any other agreement between the Executive and
Company, including any surviving obligations of the Executive under the ECA; and (iii) the Executive's criminal activities, violations
of the federal and state securities and corporate laws applicable to the Company, or intentional misconduct occurring during the Executive's
employment with the Company or during the Consulting Period.

 

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5.       Effective
Date.

 

Provided
that the Executive has not exercised the Executive’s Revocation Right, this Agreement shall become effective on the eighth
(8th) day after the Signing Date (“Effective Date”). No payments, other than the Accrued Payment Obligations, shall
be made by the Company to the Executive prior to the Effective Date. Anything to the contrary notwithstanding, this Agreement shall only
be effective if signed by the Executive and the Company.

 

6.       Post-Termination
Obligations and Restrictive Covenants.

 

6.1
       Acknowledgment.

 

(a)       The Executive understands and acknowledges that by virtue of the Executive's employment with the Company, and with respect to the
Consulting Services to be provided pursuant to this Agreement, the Executive had, and will continue to have, access to and knowledge
of the Company Group’s Confidential Information (as defined below), was in a position of trust and confidence with the Company
Group, and benefitted from the Company Group's goodwill. The Executive understands and acknowledges that the Company Group invested
significant time and expense in developing the Confidential Information and goodwill. The Executive further understands and
acknowledges that the intellectual, technical and scientific services the Executive provided to the Company as its CEO and Chairman,
are unique, special, or extraordinary.

 

(b)       The
Executive further understands and acknowledges that the restrictive covenants below are necessary to protect the Company Group's legitimate
business interests in its Confidential Information and goodwill. The Executive further understands and acknowledges that the Company Group's
ability to reserve these for the exclusive knowledge and use of the Company Group is of great competitive importance and commercial value
to the Company Group and that the Company Group would be irreparably harmed if the Executive violates the restrictive covenants below.

 

6.2      Confidential
Information.

 

(a)       The
Executive understands and acknowledges that during the course of employment with the Company, the Executive has had access to and learned
about confidential, secret, and proprietary documents, materials, and other information, in tangible and intangible form, of and relating
to the Company Group and its businesses and existing and prospective customers, suppliers, investors, and other associated third parties
(“Confidential Information”). The Executive further understands and acknowledges that this Confidential Information
and the Company's ability to reserve it for the exclusive knowledge and use of the Company Group is of great competitive importance and
commercial value to the Company , and that improper use or disclosure of the Confidential Information by the Executive may cause the Company
to incur financial costs, loss of business advantage, liability under confidentiality agreements with third parties, civil damages,
and criminal penalties.

 

(b)       For
purposes of this Agreement, Confidential Information includes, but is not limited to, all information not generally known to the
public, in spoken, printed, written, electronic, recorded, or any other form or medium, relating directly or indirectly to: business processes,
practices, methods, policies, plans, publications, documents, research, operations, services, strategies, techniques, agreements, contracts,
terms of agreements, transactions, potential transactions, negotiations, pending negotiations,
know-how, trade secrets, computer programs, computer software, applications, operating systems, software design, web design, work-in-process,
databases, device configurations and architecture, embedded data, compilations, metadata, algorithms, technologies, manuals, records,
articles, systems, material, sources of material, supplier information, vendor information, financial information, results, accounting
information, accounting records, legal information, marketing information, advertising information, pricing information, credit information,
design information, payroll information, staffing information, personnel information, employee lists, supplier lists, vendor lists, developments,
reports, internal controls, security procedures, graphics, drawings, sketches, market studies, sales information, revenue, costs, formulae,
notes, communications, product plans, designs, styles, models, ideas, audiovisual programs, inventions, unpublished patent applications,
original works of authorship, discoveries, experimental processes, experimental results, specifications, customer information, customer
lists, client information, client lists, meeting and conference notes, manufacturing information, factory lists, distributor lists, and
buyer lists, and Trade Secrets (as defined below) of the Company Group or its businesses or any existing or prospective customer, supplier,
investor, or other associated third party, or of any other person or entity that has entrusted information to the Company
in confidence.

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“Trade Secret”
means all information, without regard to form, including, but not limited to, technical or non-technical data, a formula, a pattern, a
compilation, a program, a device, a method, a technique, a drawing, a process, financial data, financial plans, product plans, distribution
lists or a list of actual or potential customers, advertisers or suppliers which is not commonly known by or available to the public and
which information: (A) derives economic value, actual or potential, from not being generally known to, and not being readily ascertainable
by proper means by, other Persons who can obtain economic value from its disclosure or use; and (B) is the subject of efforts that
are reasonable under the circumstances to maintain its secrecy. Without limiting the foregoing, Trade Secret means any item of Confidential
Information that constitutes a “trade secret(s)” under the common law or applicable state law.

 

(c)       The
Executive understands that the above list is not exhaustive, and that Confidential Information also includes other information that is
marked or otherwise identified or treated as confidential or proprietary, or that would otherwise appear to a reasonable person to be
confidential or proprietary in the context and circumstances in which the information is known or used.

 

(d)       The
Executive understands and agrees that Confidential Information developed by the Executive in the course of the Executive's employment
by the Company or in providing Consulting Services, is subject to the terms and conditions of this Agreement as if the Company
furnished the same Confidential Information to the Executive in the first instance. Confidential Information shall not include information
that is generally available to and known by the public at the time of disclosure to the Executive, provided that the disclosure is through
no direct or indirect fault of the Executive or person(s) acting on the Executive's behalf.

 

6.3        Disclosure
and Use Restrictions.

 

6.3.1     Executive
Covenants. The Executive agrees and covenants:

 

(a)       to
treat all Confidential Information as strictly confidential;

 

(b)       not
to directly or indirectly disclose, publish, communicate, or make available Confidential Information, or allow it to be disclosed, published,
communicated, or made available, in whole or part, to any entity or person whatsoever (including other employees of the Company Group
not having a need to know and authority to know and use the Confidential Information in connection with the business of the Company Group
and, in any event, not to anyone outside of the direct employ of the Company Group except as required in the performance of any of the
Executive's remaining authorized employment duties to the Company and only after execution of a confidentiality agreement by
the third party with whom Confidential Information will be shared or with the prior written consent of an authorized officer of the Company
acting on behalf of the Company Group in each instance and then, such disclosure shall be made only within the limits and to the extent
of such duties or consent); and

 

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(c)       not
to access or use any Confidential Information, and not to copy any documents, records, files, media, or other resources containing any
Confidential Information, or remove any such documents, records, files, media, or other resources from the premises or control of the
Company Group, except as allowed by applicable law, as required in the performance of any of the Executive's remaining authorized employment
duties to the Company, or with the prior written consent of an authorized officer acting on behalf of the Company Group (and then, such
disclosure shall be made only within the limits and to the extent of such law, duties, or consent).

 

(d)       The
Executive understands and acknowledges that the Executive's obligations under this Agreement regarding any particular Confidential
Information begin immediately and shall continue during and after the Executive's engagement by the as a consultant to this Agreement
until the Confidential Information has become public knowledge other than as a result of the Executive's breach of this Agreement or
a breach by those acting in concert with the Executive or on the Executive's behalf.

 

6.3.2       Permitted
Disclosures. Nothing in this Agreement shall be construed to prevent disclosure of Confidential Information as may be
required by applicable law or regulation, or pursuant to the valid order of a court of competent jurisdiction or an authorized government
agency, provided that the disclosure does not exceed the extent of disclosure required by such law, regulation, or order. The Executive
shall promptly provide written notice of any such order to the Company’s Chief Executive Officer 

 

6.3.3       Communications
with Government Agencies. Nothing in this Agreement prohibits or restricts the Executive (or Executive's attorney) from
filing a charge or complaint with the Securities and Exchange Commission (SEC), the Financial Industry Regulatory Authority (FINRA), or
any other securities regulatory agency or self-regulatory authority/the Equal Employment Opportunity Commission (EEOC), the National Labor
Relations Board (NLRB), the Occupational Safety and Health Administration (OSHA), or any other federal or state regulatory authority (“collectively,
“Government Agencies”). The Executive further understands that this Agreement does not limit the Executive's
ability to communicate with any securities regulatory agency, authority or other Government Agencies or otherwise participate in any investigation
or proceeding that may be conducted by any securities regulatory agency, authority or other Government Agency in connection with reporting
a possible securities law violation without notice to the Company. This Agreement does not limit the Executive's right to receive
an award for information provided to any Government Agencies/to the SEC staff or any other securities regulatory agency or authority.

 

6.3.4       Notice
of Immunity Under the Defend Trade Secrets Act of 2016.

 

     Notwithstanding
any other provision of this Agreement:

 

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(a)       The
Executive will not be held criminally or civilly liable under any federal or state trade secret law for any disclosure of a trade secret
that is made: (1) in confidence to  federal, state, or local government official, either directly or indirectly, or to an attorney, and
solely for the purpose of reporting or investigating a suspected violation of law; or (2) in a complaint or other document that is filed
under seal in a lawsuit or other proceeding.

 

(b)       If
the Executive files a lawsuit for retaliation by the Company for reporting a suspected violation of law, the Executive may disclose the
Company's trade secrets to the Executive's attorney and use the trade secret information in the court proceeding if the Executive: (1)
files any document containing the Trade Secret under seal; and (2) does not disclose the Trade Secret, except pursuant to court order
to authorized persons.

 

6.4     Non-Competition.

 

(a)       Because
of the Company Group's legitimate business interest as described in this Agreement and the good and valuable consideration offered
to the Executive,  except as authorized by the Company, Executive agrees and covenants that during
the Consulting Period and for a period of nine (9) months thereafter, whether or not for consideration, the Executive will not (i) in
whole or in part, engage in, provide services to, or otherwise participate in, whether as an employee, employer, owner, operator, manager,
advisor, consultant, agent, partner, director, stockholder, officer, volunteer, intern, or any other similar capacity, with any individual,
or in any entity or business, including existing competitors of the Company, engaged in a Competing Business; or (ii) except for
investments or ownership in public entities, mutual funds and similar investments, none of which constitute more than 5% of the ownership
(provided such ownership interest is acquired solely for investment purposes) or control of such entities, own, operate, control, finance,
manage, advise, be employed by or engaged by, perform any services for, invest or otherwise become associated in any capacity with any
person engaged in a Competing Business; or (iii) engage in any practice the purpose or effect of which is to intentionally evade the provisions
of this covenant.

 

For
purposes of this Section 6.4, “Competing Business” means any company, partnership, business, individual, or
other entity, which is engaged directly or indirectly in any Company Business as carried on or planned to be carried on (if such plans
were developed during the Consulting Period or during any prior period during which the Executive may have been employed as an employee
of the Company or engaged as a consultant to the Company (collectively, the “Engagement Period”)) by the Company in
North America or Asia; and, “Company Business” means the Company’s business activities and operations conducted
or planned, and all products provided, conceived, planned, researched, developed, tested, manufactured, sold, licensed, leased or otherwise
distributed or put into use by the Company, together with all services, by the Company, during the Engagement Period.

 

(b)       Without
limiting the foregoing, Competitive Business also includes any business or activity that may require or inevitably require the Executive's
disclosure of Trade Secrets, the Company’s proprietary information, or Confidential Information.

 

6.5        Non-Solicitation
of Executives and Consultants.

 

The
Executive understands and acknowledges that the Company has expended and continues to expend significant time and expense in recruiting
and training its employees and that the loss of employees would cause significant and irreparable harm to the Company. The Executive agrees
and covenants, during the Consulting Period and for a period of nine (9) months thereafter, not to directly or indirectly solicit, hire,
recruit, attempt to hire or recruit, or induce the termination of employment of any employee or consultant of the Company.

 

6.6       Non-Solicitation
of Customers and Suppliers.

 

    	10

     

    

(a)       The
Executive understands and acknowledges that the Company has expended and continues to expend significant time and expense in developing
customer and supplier relationships, customer and supplier information, and goodwill, and that because of the Executive's experience with
and relationship to the Company Group, the Executive has had access to and learned about much or all of the Company Group's customer and
supplier information (“Customer and Supplier Information”). Customer and Supplier Information includes, but is not
limited to, names, phone numbers, addresses, email addresses, order history, order preferences, chain of command, pricing information,
and other information identifying facts and circumstances specific to the customer or supplier and relevant to the Company’s technologies,
products, and marketing.

 

(b)       The
Executive understands and acknowledges that loss of any of these customer or supplier relationships or goodwill will cause significant
and irreparable harm to the Company Group. Accordingly, the Executive agrees and covenants that during the Consulting Period and for a
period of nine (9) months thereafter, not to directly or indirectly solicit or attempt to solicit, contact (including but not limited
to communications using email, regular mail, express mail, telephone, fax, instant message, social media, or any other oral, written,
or electronic transmission), attempt to contact, or meet with the Company Group's current, former, or prospective customers or suppliers
for the purpose of offering or accepting goods or services similar to or competitive with the Company Business. The Executive may work
with a customer and/or supplier if the nature of the work or engagement by the Executive does not compete with Company Business.

 

7.
      Cooperation.   The Parties agree that certain matters in which the Executive has been involved during the Executive's
employment may need the Executive's cooperation with the Company in the future. Accordingly, following the termination of the Consulting
Services to the extent reasonably requested by the Company VAMI shall cause the Executive to, and the Executive shall cooperate with the
Company regarding matters arising out of or related to the Executive's service to the Company, provided that the Company shall make reasonable
efforts to minimize disruption of the Executive's other activities. At the Company’s expense, the Executive also will cooperate
with the Company and its affiliates in any pending or future litigation or investigations or other disputes concerning third parties in
which the Executive, by virtue of his prior employment with the Company, has relevant knowledge or information. The Company shall reimburse
VAMI and the Executive for reasonable expenses incurred in connection with this cooperation and, if the Company shall have terminated
the Consulting Services, it shall compensate the Executive at an hourly rate of one hundred forty-two dollars ($142.00) dollars for such
time expended by the Executive on the foregoing matters. Nothing in this Section 7 is intended to replace, mitigate or less, nor does
it replace, mitigate or lessen any of VAMI or the Executives obligations to cooperate with the Company as set forth in the ECA.

 

8.       Non-Disparagement.

 

8.1       The
Executive agrees and covenants that the Executive shall not at any time make, publish, or communicate to any person or entity or in any
public forum any defamatory, or maliciously false, or disparaging remarks, comments, or statements concerning the Company Group or its
businesses, or any of its employees, officers, or directors and other associated third parties, now or in the future.

 

8.2       
This Section does not in any way restrict or impede the Executive from exercising protected rights, to the extent that such rights
cannot be waived by agreement or from complying with any applicable law or
regulation or a valid order of a court of competent jurisdiction or an authorized government agency, provided that such compliance
does not exceed that required by the law, regulation, or order. The Executive shall promptly provide written notice, as provided in Section
20, of any such order to the Company’s Chief Executive Officer.

 

    	11

     

    

9.       Confidentiality
of This Agreement. 

 

9.1
       Non-disclosure. The Executive agrees and covenants that the Executive shall not disclose
any of the negotiations of, terms of, or amount paid under this Agreement to any individual or entity;
provided, however, that the Executive will not be prohibited from making disclosures to the Executive's spouse or domestic partner, attorney,
tax advisors, or as may be required by law.

 

9.2
       Permitted Disclosure. This Section 9 does not in any way restrict or impede
the Executive from disclosing the underlying facts or circumstances giving rise to the Executive's claim of discrimination,
or/initiating, testifying, assisting, complying with a subpoena from, or participating in any manner with an investigation conducted by
a local, state, or federal agency, filing or disclosing any facts necessary to receive unemployment insurance, Medicaid, or other public
benefits, or exercising protected rights to the extent that such rights cannot be waived by agreement or from complying with
any applicable law or regulation or a valid order of a court of competent jurisdiction or an authorized government agency, provided that
such compliance does not exceed that required by the law, regulation, or order. The Executive shall
promptly provide written notice, as provided in Section 20, of any such order to the Company’s Chief Executive Officer.
This Section does not in any way restrict or impede the Executive from speaking with law enforcement, the Equal Employment Opportunity
Commission, any local commission on human rights, or an attorney retained by the Executive regarding factual information related to claims of
discrimination occurring after the Effective Date of this Agreement.

 

10.       Remedies.

 

In
the event of a breach or threatened breach by the Executive of any provision of Sections 6, 7, 8, or 9 of this Agreement,
the Executive hereby acknowledges and agrees that the Company shall be entitled to seek, in addition to other available remedies, a temporary
or permanent injunction or other equitable relief against such breach or threatened breach from any court of competent jurisdiction, and
that money damages would not afford an adequate remedy, without the necessity of showing any actual damages, and without the necessity
of posting any bond or other security. Any equitable relief shall be in addition to, not instead of, legal remedies, monetary damages,
or other available relief. If the Executive fails to comply with any of the terms of this Agreement or post-employment obligations
contained in it, the Company may, in addition to any other available remedies, reclaim any amounts paid to the Executive under the provisions
of this Agreement and terminate any benefits or payments that are later due under this Agreement, without waiving the releases provided
in it.

 

11.       Successors
and Assigns.

 

11.1.       Assignment
by the Company. The Company may freely assign this Agreement at any time. This Agreement shall inure
to the benefit of the Company and its successors and assigns.

 

11.2       No
Assignment by the Executive. The Executive may not assign this Agreement in whole or in part. Any purported assignment
by the Executive shall be null and void from the initial date of the purported assignment.

 

    	12

     

    

12.       Governing
Law; Jurisdiction; and Venue Arbitration. 

 

12.1       Governing
Law. This Agreement and all matters arising out of or relating to this Agreement and
the Executive's employment or termination of employment with the Company whether sounding in contract, tort, or statute, for all purposes
shall be governed by and construed in accordance with the laws of New York (including its statutes of limitations) without regard to any
conflicts of laws principles that would require the laws of any other jurisdiction to apply. 

 

12.2       Arbitration.
The Parties agree that any dispute, controversy, or claim arising
out of or related to the Executive's employment with the Company or termination of employment, this Agreement,
or any alleged breach of this Agreement shall be governed by the Federal Arbitration
Act (FAA) and submitted to and decided by binding arbitration to be held in in the State, County and City of County, New York. Arbitration
shall be administered before and in accordance with Judicial Arbitration and Mediation Services (“JAMS”)
arbitrator, in accordance with the JAMS Employment Arbitration Rules & Procedures in effect at that time, except as modified
herein, and that neither party will bring any claim in court except for claims for injunctive relief.

 

12.3       
Injunctive Relief. For claims for injunctive relief, the Parties hereby (a) irrevocably consent and submit to
the sole exclusive jurisdiction of the United States District Court for the Southern District of New York and any state court in the State
of New York that is located in New York County, New York (and of the appropriate appellate courts from any of the foregoing) in connection
with any legal action, lawsuit, arbitration, mediation, or other legal or quasi legal proceeding (“Proceeding”) directly
or indirectly arising out of or relating to any Agreement Matter; provided, however, that a
Party to this Agreement shall be entitled to enforce an order or judgment of any such court in any United States or foreign court having
jurisdiction over the other Party, (b) irrevocably waive, to the fullest extent permitted by law, any objection that a Party may
now or later have to the laying of the venue of any such Proceeding in any such court or that any such Proceeding which is brought in
any such court has been brought in an inconvenient forum, (c) irrevocably waive, to the fullest extent permitted by law, any immunity
from jurisdiction of any such court or from any legal process therein, (d) irrevocably waive, to the fullest extent permitted by
law, any right to a trial by jury in connection with a Proceeding, (e) covenant that such Party will not, directly or indirectly,
commence any Proceeding other than in such courts and (f) agree that service of any summons, complaint, notice or other process relating
to such Proceeding may be effected in the manner provided for the giving of notice as set forth in this Agreement.

 

14.       Entire Agreement.Unless
specifically provided herein, this Agreement contains
all of the understandings and representations between Company and Executive relating to the subject matter hereof and supersedes all prior
and contemporaneous understandings, discussions, agreements, representations, and warranties,
both written and oral, regarding such subject matter; provided, however, that nothing in this Agreement modifies,
supersedes, voids, or otherwise alters VAMI’s or the Executive's confidentiality, non-compete, and contractual obligations with
Company under any other surviving agreements (or provisions thereof) between the Company and the Executive, including,
without limitation, Sections 5, 6, 7, 8, 9 and 10, of
the ECA and such other provisions thereof which by their nature require performance following termination, shall survive any termination
or expiration of the ECA. The SOAs, as amended as contemplated by Sections 3, shall remain in full force and effect until their
respective expiration or termination dates. In the event of any inconsistency between this Agreement and
any other agreement between the Executive and the Company, including the ECA, the provisions of this Agreement shall control.
The provisions of this Agreement shall survive the termination of the Consulting Services except Sections 6.4, 6.5 and 6.6
shall survive only for the periods set forth therein.

 

    	13

     

    

15.       Modification
and Waiver. No provision of this Agreement may be amended or modified unless the amendment or modification is agreed
to in writing and signed by VAMI, the Executive and the Company. No waiver by either any Party of any breach by any other Party of any
condition or provision of this Agreement to be performed by any other Party shall be deemed a waiver of any similar or dissimilar
provision or condition at the same or any prior or subsequent time, nor shall the failure of or delay by any Party in exercising any right,
power, or privilege under this Agreement operate as a waiver thereof to preclude any other or further exercise thereof or the
exercise of any other such right, power, or privilege.

 

16.       
Severability.If any provision of this Agreement is found by a court or arbitral authority of competent jurisdiction
to be invalid, illegal, or unenforceable in any respect, or enforceable only if modified, such finding shall not affect the validity of
the remainder of this Agreement, which shall remain in full force and effect and continue to be binding on the Parties. The Parties
further agree that any such court or arbitral authority is expressly authorized to modify any such invalid, illegal, or unenforceable
provision of this Agreement instead of severing the provision from this Agreement in its entirety, whether by rewriting,
deleting, or adding to the offending provision, or by making such other modifications as it deems necessary to carry out the intent and agreement of
the Parties as embodied in this Agreement to the maximum extent permitted by law. Any such modification shall become a part
of and treated as though originally set forth in this Agreement. If such provision or provisions are not modified, this Agreement shall
be construed as if such invalid, illegal, or unenforceable provisions had not been set forth in it. The Parties expressly agree that this Agreement as
so modified by the court or arbitral authority shall be binding on and enforceable against each of them.

 

17.       Captions;
References, Etc. For purposes of this Agreement:

 

(a)       The
headings and captions are solely for the convenience of reference and shall be given no effect in the construction or interpretation of
this Agreement. Section references are to sections of this Agreement unless otherwise specified;

 

(b)       the
words “include,” “includes,” and “including” shall be deemed to be followed by the words “without
limitation;”

 

(c)        the
word “or” is not exclusive;

 

(d)        the
words “herein,” “hereof,” “hereby,” “hereto,” and “hereunder” refer to this
Agreement as a whole;

 

(e)       unless
the context otherwise requires, references herein to: (i) Sections, Exhibits and Schedules refer to the Sections of, and Exhibits and
Schedules attached to, this Agreement; (ii) to an agreement, instrument, or other document means such agreement, instrument, or other
document as amended, supplemented, and modified from time to time to the extent permitted by the provisions thereof; (iv) any reference
to any federal, state, local, or foreign statute or law shall be deemed also to refer to all rules and regulations promulgated thereunder
and amendments thereto and includes any successor legislation thereto and any regulations promulgated thereunder, unless the context requires
otherwise;

 

(f)       any
Exhibits or Schedules referred to herein shall be construed with, and as an integral part of, this Agreement to the same extent as if
they were set forth verbatim herein;

 

    	14

     

    

(g)       unless
otherwise stipulated, all payments required to be made pursuant to the provisions of this Agreement and all money amount references contained
herein or in any exhibit or schedule hereto are in lawful currency of the United States;

 

(h)       as
used in this Agreement, the term “Business Day(s)” means any day other
than a Saturday, a Sunday or any other day on which banks in New York, New York may, or are required to, remain closed;

 

(i)       words
used herein regardless of the number and gender specifically used,
shall be deemed and construed to include any other number, singular or plural, and any other gender, masculine, feminine or neuter, as
the context requires; and

 

(j)       as
used in this Agreement, the term “Person” means any individual or any corporation, partnership, joint venture, limited
liability company, association or other entity or enterprise.

 

18.       Counterparts.
The Parties may execute this Agreement in counterparts, each of which shall be deemed an original, and all of which taken together
shall constitute one and the same instrument. Delivery of an executed counterpart's signature page of this Agreement by facsimile,
email in portable document format (.pdf), or by any other electronic means intended to preserve the original graphic and pictorial appearance
of a document has the same effect as delivery of an executed original of this Agreement.

 

19.       No
Admission of Liability. Nothing in this Agreement shall be construed as an admission by VAMI, the Company or the Executive
of any wrongdoing, liability, or noncompliance with any federal, state, city, or local rule, ordinance, statute, common law, or other
legal obligation.

 

20.        Notices.
Any notice or other communication required or permitted pursuant to this Agreement shall be in writing and addressed to the respective
Parties at the addresses set forth on the signature page to this Agreement, or, to such other physical address, email address or facsimile
number as a Party shall have furnished to the other in writing in accordance with this Section 20. Notices sent in accordance with
this Section 20 shall be deemed effectively given: (a) when received, if delivered by hand (with written confirmation of receipt);
(b) when received, if sent by a nationally recognized overnight courier (receipt requested); (c) on the date sent by facsimile or e-mail
(in each case, with confirmation of transmission), if sent during normal business hours of the recipient, and on the next Business Day
if sent after normal business hours of the recipient; or (d) on the third (3rd) Business Day after the date mailed, by certified or registered
mail, return receipt requested, postage prepaid.

 

21.       Exit
Obligations; Return of Property. At the Company's request at any time during the Consulting Period, the Executive shall
(i) provide or return to the Company any and all Company property, including keys, key cards, access cards, identification cards, security
devices, employer credit cards, network access devices, computers, cell phones, smartphones, PDAs, pagers, fax machines, equipment, speakers,
webcams, manuals, reports, files, books, compilations, work product, e-mail messages, recordings, tapes, disks, thumb drives or other
removable information storage devices, hard drives, negatives and data and all Company documents and materials belonging to the Company
and stored in any fashion, including but not limited to those that constitute or contain any confidential information or work product,
that are in the possession or control of the Executive, whether they were provided to the Executive by the Company or any of its business
associates or created by the Executive in connection with his employment by the Company; and (ii) delete or destroy all copies of any
such documents and materials, regardless of the media on which such documents and materials are stored, not returned to the Company that
remain in the Executive's possession or control, including those stored on any non-Company devices, networks, storage locations, computers,
thumb drives and media in the Executive's possession or control.

 

    	15

     

    

22.       Tolling.
If the Executive violates any of the post-termination obligations in this Agreement, the obligation at issue will run from the first
date on which the Executive ceases to be in violation of such obligation.

 

23.       Section
409A. This Agreement is
intended to comply with Section 409A of the Internal Revenue Code of 1986, as amended (Section 409A), including the exceptions thereto,
and shall be construed and administered in accordance with such intent. Notwithstanding any other provision of this Agreement,
payments provided under this Agreement may only be made upon an event and in a
manner that complies with Section 409A or an applicable exemption. Any payments under this Agreement that
may be excluded from Section 409A either as separation pay due to an involuntary separation from
service, as a short-term deferral, or as a settlement payment pursuant to a bona fide legal dispute shall be excluded from Section 409A
to the maximum extent possible. For purposes of Section 409A, any installment payments provided under this Agreement shall
each be treated as a separate payment. To the extent required under Section 409A, any payments to be made under this Agreement in
connection with a termination of employment shall only be made if such termination constitutes a “separation from
service” under Section 409A. Notwithstanding the foregoing, Company Group makes no representations that the payments and benefits
provided under this Agreement comply with Section 409A and in no event shall Company
Group be liable for all or any portion of any taxes, penalties, interest, or other expenses that may be incurred by Executive on account
of non-compliance with Section 409A.

 

24.       Authority
and Competency. Each of VAMI, the Executive, and the Company hereby warrant and represent that he/it is competent to enter into
this Agreement and bind himself/itself to the terms hereof and is not operating under any legal disability. The officer signing on behalf
of the Company hereby warrants and represents that said officer is duly authorized by all appropriate corporate action to enter into this
Agreement on behalf of the Company and to bind the Company to the terms hereof.

 

25.       Notice
of Post-Termination Obligations. When the Executive's engagement with the Company terminates, the Executive agrees to notify any
subsequent employer, who may be or plans to be engaged in a Competitive Business, of the restrictive covenants contained in this Agreement
and the ECA. In addition, the Executive authorizes the Company to provide a copy of the restrictive covenants contained in this Agreement
and the ECA to third parties that may be or plans to be engaged in a Competitive Business, including but not limited to, the Executive's
subsequent, anticipated, or possible future employer in a Competitive Business.

 

26.       Construction. The
Company, VAMI and the Executive have participated jointly in the negotiation and drafting of this Agreement. In the event an ambiguity
or question of intent or interpretation arises, this Agreement shall be construed as if drafted jointly by the Company, VAMI and the Executive
and no presumption or burden of proof shall arise favoring or disfavoring any party by virtue of the authorship of any of the provisions
of this Agreement.

 

27.       Acknowledgment
of Full Understanding.

 

THE ACKNOWLEDGES AND AGREES THAT HE HAS FULLY
READ, UNDERSTANDS, AND VOLUNTARILY ENTERS INTO THIS AGREEMENT. THE EXECUTIVE ACKNOWLEDGES AND AGREES THAT THE HE HAS HAD AN OPPORTUNITY
TO ASK QUESTIONS AND CONSULT WITH AN ATTORNEY OF THE HIS CHOICE BEFORE SIGNING THIS AGREEMENT. THE EXECUTIVE FURTHER ACKNOWLEDGES
THAT HIS SIGNATURE BELOW IS AN AGREEMENT TO RELEASE COMPANY GROUP FROM ANY AND ALL CLAIMS THAT CAN BE RELEASED
AS A MATTER OF LAW.

 

    	16

     

    

IN
WITNESS WHEREOF, the Parties have executed this Agreement as of the Execution Date above so as to be effective as of the
Effective Date.

	
     

    By: /s/ John
    Rhee

    Name: John Rhee

    Title: President
	 	 
	
    Address for Notice:

    SolarWindow Technologies, Inc.

    9375 E. Shea Blvd

    Suite 107-B Scottsdale, AZ 85260

    Attention: John Rhee, President
	 	 
	 	 
	Email: johnrhee@solarwindow.com

                                                               

                                                                
	 	 

 

	VECTOR ASSET MANAGEMENT, INC.	 	THE EXECUTIEVE
	 	 	 
	
    By: /s/ Jatinder
    S. Bhogal

     

    Name: Jatinder
    S. Bhogal

    Title: President

     
	 	
    By: Jatinder
    S. Bhogal

     

    Name: Jatinder
    S. Bhogal

     

	
    Address for Notice:

     

    [****]

     

    Email: [****]

     

     

     
	 	
    Address for Notice:

     

    [****]

     

    Email: [****]

     

     

     

	 
	 

ExhibiExhibit
10.1

 

EXECUTION
VERSION

 

 

ASSET
PURCHASE AGREEMENT

 

 

ACQUISITION
BY

DATA443
RISK MITIGATION, INC.

OF

SUBSTANTIALLY
ALL OF THE ASSETS

OF

CENTURION
HOLDINGS I, LLC

 

January
19, 2022

 

    	 

     

    

 

ASSET
PURCHASE AGREEMENT

 

 

 

I

PARTIES

 

THIS
ASSET PURCHASE AGREEMENT (this “Agreement”) is entered into effective as of the 19th day of January,
2022 (the “Execution Date”), by and among DATA443 RISK MITIGATION, INC., a North Carolina corporation (“Data443”),
ATDS (as defined herein), CENTURION HOLDINGS I, LLC, a Missouri limited liability company (“Seller”), and solely for
purposes of Article XIV, the Majority Members (as defined herein). Data443, ATDS, Seller and the Majority Members are sometimes referred
to collectively herein as the “Parties”, and each individually as a “Party”.

 

II

RECITALS

 

	 	A.	Seller
    is engaged in the business of developing and providing data security solutions, including, without limitation, Seller’s software
    products marketed under the name “SmartShield”. The SmartShield products, including SmartShield, The Kure, Smartshield
    Enterprise and SmartShield Home and all products and versions thereof (including enterprise and consumer versions), including those
    currently under development by Seller, and all software code primarily related to or otherwise necessary for such products, are referred
    to herein as the “Products”. 
	 	 	 
	 	B.	The
    business, activities, and operations of Seller with respect to the Products, including the development, design, manufacturing, sale,
    and distribution thereof are referred to herein as the “Business”.
	 	 	 
	 	C.	Seller
    desires to sell the Products, the Business, and all assets used in connection with the operation of the Business, and Data443 desires
    to purchase said assets from Seller pursuant to the terms, covenants, and conditions contained herein.
	 	 	 
	 	D.	As
    further outlined below, unless specifically provided to the contrary, the purchase of the Products, the Business, and all assets
    other than the Excluded Assets used in connection with the operation of the Business shall include, without limitation, (1) subject
    to the license set forth in Section 13.4(b), all Intellectual Property Assets (as defined herein); (2) all agreements and contract
    rights, including licenses and sublicenses and customer agreements (collectively, the “Assigned Contracts”); (3)
    all computer assets, both hardware and software, and all related licenses (the “Computer Assets”); (4) all Internet
    related assets, such as domain names, Web Sites, and all related accounts and rights; (5) all customer lists and potential customer
    lists; (6) all telephone and fax lines and numbers, and all E-Mail addresses; and, (7) all other intangible assets and proprietary
    information and all other assets which are owned, held or used by Seller in connection with the Business (collectively referred to
    as the “Purchased Assets”).
	 	 	 
	 	E.	The
    Parties have previously executed that certain Term Sheet on or around 04 August 2021 (the “Term Sheet”). This
    Agreement shall expressly supersede the Term Sheet, and the Term Sheet shall be of no further force and effect upon execution of
    this Agreement.

 

NOW,
THEREFORE, in consideration of the promises and the mutual covenants contained herein, and for other good and valuable consideration,
the receipt and sufficiency of which are hereby acknowledged, the Parties, intending to be legally bound, hereby agree as follows:

 

    	1

     

    

 

III

DEFINED
TERMS AND INTERPRETATION

 

3.1
Definitions. The following capitalized terms shall have the respective meanings specified in this Article III. Other terms
defined elsewhere herein shall have meanings so given them.

 

Affiliate.
“Affiliate” shall mean with respect to any specified Person, any other Person that directly or indirectly, through one or
more intermediaries, controls, is controlled by, or is under common control with, such specified Person. For the purposes of this definition,
“control” (including the terms “controlled by” and “under common control with”), with respect to
the relationship between or among two or more Persons, shall mean the possession, directly or indirectly, of the power to direct or cause
the direction of the affairs or management of a Person, whether through the ownership of voting securities, by contract or otherwise.

 

ATDS.
“ATDS” shall mean Data443 Risk Mitigation, Inc., a Nevada corporation, which trades on the OTC Markets Pink Sheet under the
ticker symbol ATDS, and is the corporate parent of Data443.

 

Closing
Documents. “Closing Documents” shall mean this Agreement; all agreements attached hereto as Exhibits; and, all other
additional agreements and documents executed and otherwise required to be delivered in connection with the Closing hereunder.

 

Code.
“Code” shall mean the Internal Revenue Code of 1986, as amended from time-to-time, and the rules and regulations thereunder.

 

Common
Stock. “Common Stock” shall mean the common stock of ATDS.

 

Confidential
Information. “Confidential Information” shall mean any information concerning the businesses and affairs of a respective
Party that is not already generally available to the public.

 

Exchange
Act. “Exchange Act” shall mean the Securities Exchange Act of 1934, as amended from time-to-time, and the regulations
adopted thereunder.

 

Intellectual
Property Assets. “Intellectual Property Assets” shall mean and include all of Seller’s right, title and interest
in and to the following, as well as all other general intangibles of a like nature and all (i) goodwill, and (ii) confidential data or
information relating to the below listed items, the Products and the Business:

 

(a)
The name SmartShield and all derivations thereof used by Seller, all fictional business names, trading names, designs, registered and
unregistered trademarks, registered and unregistered service marks, and applications, assumed names, domain names, URLs, trade names
and other indications of origin, the goodwill associated with the foregoing and registrations in any jurisdiction of, and applications
in any jurisdiction to register, the foregoing, including any extension, modification or renewal of any such registration or application
(collectively, the “Marks”);

 

(b)
All patents, patent applications (including divisions, provisionals, continuations, continuations in-part and renewal applications),
any renewals, extensions or reissues thereof, in any jurisdiction), and inventions and discoveries that may be patentable (collectively,
the “Patents”);

 

(c)
All copyrights in both published works and unpublished works (collectively, the “Copyrights”);

 

(d)
All know-how, trade secrets, confidential information, customer lists, databases, source codes, object codes, works of authorship, technical
information, data, process technology, user interfaces, proprietary concepts, ideas, techniques, business models and methodologies, plans,
drawings, and blue prints owned, used, or licensed by Seller as licensee or licensor (collectively, the “Trade Secrets”);

 

    	2

     

    

 

(e)
All software, including all types of computer software (including software programs, objects, modules, operating systems, routines, algorithms
application programs, software tools, firmware, and any other software code, including both object code and source code, and all written
or electronic data, documentation and materials that explain the structure or use of software or that were used in the development of
software, including software specifications, or are used in the operation of the software (including logic diagrams, flow charts, procedural
diagrams, error reports, manuals and training materials, look-up tables and databases), whether patentable or not in any jurisdiction
and rights in any jurisdiction to limit the use or disclosure thereof and registrations thereof in any jurisdiction, and applications
in any jurisdiction to register, the foregoing, including any extension, modification or renewal of any such registration or application,
and other proprietary information and technologies used primarily in, or which are otherwise necessary for, conducting the Business,
including without limitation any of the above related to software programs and updates, upgrades, new versions and new releases of such
software programs currently under development by or for Seller, whether owned by Seller or held by Seller under any licenses or sublicenses;

 

(f)
All things authored, discovered, developed, made, perfected, improved, designed, engineered, acquired, produced, conceived or first reduced
to practice by Seller or any of its employees or agents that are exclusively used by Seller in the conduct of the Business or developed
by Seller exclusively for use in the Business, in any stage of development, including, without limitation, modifications, enhancements,
designs, concepts, techniques, methods, ideas, flow charts, coding sheets, notes and all other information relating to the Business;

 

(g)
Any and all design and code documentation, trade secrets, copyrights, business partnerships, relationships in progress, processes, design
information, product information, formulae, routines, engineering specifications, technical manuals and data, drawings, inventions, techniques,
engineering work papers, and notes, development work-in-process, and other proprietary information and materials of any kind used in
or derived from the Purchased Assets; and

 

(h)
any claims or causes of action (pending, threatened or which could be filed) arising out of any infringement or misappropriation of any
of the foregoing, unless expressly provided herein to the contrary.

 

IRS.
“IRS” shall mean the Internal Revenue Service.

 

Knowledge.
“Knowledge of Seller”, “Seller’s Knowledge” or similar phrases shall mean, the actual knowledge of Ben
“Tripp” Manheimer III or John A. Modica. “Knowledge” with respect to Data443 or ATDS, shall mean that such Party
will be deemed to have actual knowledge of a particular fact or other matter if:

 

(a)
the Party is an individual, such individual is actually aware of such fact or other matter; or

 

(b)
the Party is an individual, that a prudent individual could be expected to discover or otherwise become aware of such fact or other matter
in the course of conducting a reasonably comprehensive investigation concerning the existence of such fact or other matter; or

 

(c)
the Party is other than an individual, and any individual who is serving, or who has at any time served, as a director or officer of
such Person (or in any similar capacity) has, or at any time had, Knowledge (as defined in (a) or (b) above) of such fact or other matter.

 

Losses.
“Losses” shall mean any and all costs (including interest which may be imposed in connection therewith, court costs and reasonable
fees and disbursements of legal counsel) losses, claims, liabilities, fines, penalties, damages, demands, judgments, debts, obligations,
causes of action and expenses.

 

Majority
Members. “Majority Members” shall mean SSJ7, LLC, a Missouri limited liability company, Ben “Tripp” Manheimer
III, individually, and John A. Modica, individually.

 

    	3

     

    

 

Material
Adverse Effect. “Material Adverse Effect” shall mean the following:

 

(a)
with respect to Seller, (i) a material adverse effect on the financial condition, business, results of operations or properties of Seller,
or (ii) an effect which would materially impair Seller’s ability to timely to consummate the transactions contemplated under this
Agreement; provided, however, that a “Material Adverse Effect” shall not include any material adverse effect that results
from (A) general economic, social, political or other conditions or events that affect in general the industry in which Seller operates;
(B) any changes in financial or securities markets in general; (C) acts of war (whether or not declared), armed hostilities or terrorism,
pandemics or epidemics (including but not limited to the COVID-19 pandemic) or the escalation or worsening thereof; (D) any action required
or permitted by this Agreement or taken by Seller at the written request of Data443; (E) any changes in applicable laws or accounting
rules, including GAAP; or (G) any failure by Seller to meet any internal or published projections, forecasts or revenue or earnings predictions.

 

(b)
with respect to Data443, (i) a material adverse effect on the financial condition, business, results of operations or properties of Data443
on a consolidated basis, other than a material adverse effect that results from general economic, social, political or other conditions
or events that affect in general the industry in which Data443 operates, or (ii) an effect which would materially impair Data443’s
ability timely to consummate the transactions contemplated under this Agreement.

 

Ordinary
Course of Business. “Ordinary Course of Business” shall mean an action taken by a Person only if:

 

(a)
such action is consistent with the past practices of such Person and is taken in the ordinary course of the normal operations of such
Person; and

 

(b)
such action is not required to be authorized by the board of directors of such Person (or by any Person or group of Persons exercising
similar authority).

 

Permitted
Encumbrances. “Permitted Encumbrances” shall mean: (a) liens for Taxes not yet due and payable; (b) mechanics’,
carriers’, workmen’s, repairmen’s or other like liens arising or incurred in the ordinary course of business that are
not yet due and payable; and (c) any encumbrances arising under the Member Loans that will be satisfied as and when the Note is paid
to Seller.

 

Person.
“Person” shall mean any individual, corporation (including any non-profit corporation), general partnership, limited partnership,
limited liability partnership, joint venture, estate, trust, company (including any limited liability company or joint stock company),
firm or other enterprise, association, organization, unincorporated organization, governmental entity, or any other type of entity.

 

Post-Closing
Tax Period. “Post-Closing Tax Period” shall mean a Tax period or portion thereof that commences on the day immediately
following the Closing Date.

 

Pre-Closing
Tax Period. “Pre-Closing Tax Period” shall mean a Tax period or portion thereof that ends on the Closing Date.

 

“R&W
Insurance Policy” shall mean the “buy-side” representations and warranties insurance policy to be issued by
CFC Underwriting Limited to Data443 as of the Closing Date. If the terms of the R&W Insurance Policy are reasonably acceptable to
all Parties, then the Parties will split the cost of the policy premium.

 

Securities
Act. “Securities Act” shall mean the Securities Act of 1933, as amended from time-to-time, and the regulations adopted
thereunder.

 

    	4

     

    

 

SEC.
“SEC” shall mean the United States Securities and Exchange Commission.

 

Security
Interest. “Security Interest” shall mean any mortgage, pledge, lien, encumbrance, charge, or other security interest,
other than (a) mechanic’s, materialmen’s, and similar liens, (b) liens for taxes not yet due and payable or for taxes
that the taxpayer is contesting in good faith through appropriate proceedings, (c) purchase money liens and liens securing rental payments
under capital lease arrangements, and (d) other liens arising in the Ordinary Course of Business and not incurred in connection with
the borrowing of money.

 

Selling
Parties. “Selling Parties” shall mean, collectively, Seller and each of the Majority Members.

 

Straddle
Period. “Straddle Period” shall mean a Tax period beginning before the Closing Date and ending after the Closing
Date.

 

Subsidiary.
“subsidiary” shall mean any entity with respect to which a specified Person (or a Subsidiary thereof) owns a majority of
the equity or has the power to vote or direct the voting of sufficient securities to elect a majority of the directors or other governing
board.

 

Tax
or Taxes. “Tax” or “Taxes” shall mean any and all U.S. federal, state, local, and non-U.S. taxes, assessments
and other governmental charges, duties (including stamp duty), impositions and liabilities, including capital gains tax, taxes based
upon or measured by gross receipts, income, profits, sales, use and occupation, and value added, ad valorem, transfer, franchise, withholding,
payroll, recapture, employment, escheat, excise and property taxes, together with all interest, penalties, and additions imposed by a
governmental authority with respect to such amounts.

 

Tax
Return. “Tax Return” shall mean any return, declaration, report, claim for refund, or information return or statement
relating to Taxes, including any schedule or attachment thereto, and including any amendment thereof.

 

Transaction
Expenses. “Transaction Expenses” shall mean and include all reasonable, actual, and documented out-of-pocket expenses
(including, without limitation, all reasonable fees and expenses of counsel, accountants, and investment bankers to a Party and its Affiliates)
incurred by a Party or on its behalf in connection with or related to (i) the authorization, preparation, negotiation, execution, and
performance of this Agreement; (ii) the preparation, printing, filing, and mailing of any filings made or contemplated by that Party
in connection with this Agreement and the transactions envisioned hereunder; and, (iii) all other matters related to the consummation
of the transactions contemplated under this Agreement.

 

3.2
Accounting Terms and Determinations. All accounting terms used in this Agreement and not otherwise defined shall have the
meaning accorded to them in accordance with GAAP and, except as expressly provided herein, all accounting determinations shall be made
in accordance with GAAP, consistently applied. When used herein, the term “financial statements” shall include the notes
and schedules attached thereto. The term “GAAP” means generally accepted accounting principles consistently applied
as in effect from time to time.

 

3.3
Interpretation.

 

3.3.1.
Entire Agreement. This Agreement, together with all other Closing Documents, contain the entire agreement and understanding
of the Parties in respect to the subject matter contained herein. The Parties have expressly not relied upon any promises, representations,
warranties, agreements, covenants, or undertakings, other than those expressly set forth or referred to herein. This Agreement supersedes
(i) any and all prior written or oral agreements, understandings, and negotiations between the Parties with respect to the subject matter
contained herein; and, (ii) any course of performance and/or usage of the trade inconsistent with any of the terms hereof.

 

    	5

     

    

 

3.3.2.
Severability. Each and every provision of this Agreement is severable and independent of any other term or provision of
this Agreement. If any term or provision of this Agreement is invalid, illegal, or unenforceable in any jurisdiction, such invalidity,
illegality, or unenforceability shall not affect any other term or provision of this Agreement or invalidate or render unenforceable
such term or provision in any other jurisdiction. Upon such determination that any term or other provision is invalid, illegal, or unenforceable,
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 a mutually acceptable manner in order that the transactions contemplated hereby be consummated as originally contemplated to the greatest
extent possible.

 

3.3.3.
Governing Law. This Agreement shall be governed by the laws of the State of Delaware, without giving effect to any choice
or conflict of law provision or rule (whether of the State of Delaware or any other jurisdiction) that would cause the application of
the laws of any jurisdiction other than the State of Delaware. If any court action is necessary to enforce the terms and conditions of
this Agreement, the Parties hereby agree that (i) if the action is initiated by Data443, ATDS or any of their Affiliates, the Federal
District Court for the Eastern District of Missouri shall be the sole jurisdiction and venue for the bringing of such action, or if federal
jurisdiction is not proper, the state courts located in St. Louis County, Missouri; and, (ii) if the action is initiated by Seller or
any of its Affiliates, the Wake County Superior Court in North Carolina shall be the sole jurisdiction and venue for the bringing of
such action.

 

3.3.4.
Successors and Assigns. Each and all of the covenants, terms, provisions, conditions, and agreements herein contained shall
be binding upon and shall inure to the benefit of the successors and assigns of the Parties. This Agreement is not assignable by a Party
without the expressed written consent of all Parties.

 

3.3.5.
Time. All Parties agree that time is of the essence as to this Agreement.

 

3.3.6.
No Third Party Beneficiaries. Except as set forth in Article XVI, this Agreement has been entered into solely by and between
the Parties, solely for their benefit. There is no intent by any Party to create or establish a third party beneficiary to this Agreement,
and except as expressly provided in Article XVI, no such third party shall have any right to enforce any right, claim, or cause of action
created or established under this Agreement.

 

3.3.7.
Provision Not Construed Against Party Drafting Agreement. This Agreement is the result of negotiations by and between the
Parties; is the product of the work and efforts of all Parties; and, shall be deemed to have been drafted by all Parties. Each Party
has had the opportunity to be represented by independent legal counsel of its choice. In the event of a dispute, no Party shall be entitled
to claim that any provision should be construed against any other Party by reason of the fact that it was drafted by one particular Party.

 

3.3.8.
Agreement Provisions, Exhibits, and Schedules. When a reference is made in this Agreement to an Article, Section, Subsection,
Exhibit, or Schedule, such reference shall be to said item of this Agreement unless otherwise indicated. The Exhibits and Schedules identified
in this Agreement are incorporated herein by reference and made a part hereof as if set out in full herein.

 

3.4
Additional Definitions and Interpretation Provisions. For purposes of this Agreement, (i) those words, names, or terms
which are specifically defined herein shall have the meaning specifically ascribed to them; (ii) wherever from the context it appears
appropriate, each term stated either in the singular or plural shall include the singular and plural; (iii) wherever from the context
it appears appropriate, the masculine, feminine, or neuter gender, shall each include the others; (iv) the words “hereof”,
“herein”, “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; (v) all references to “Dollars” or “$” shall
be construed as being United States Dollars; (vi) the term “including” is not limiting and means “including without
limitation”; and, (vii) all references to all statutes, statutory provisions, regulations, or similar administrative provisions
shall be construed as a reference to such statute, statutory provision, regulation, or similar administrative provision as in force at
the date of this Agreement and as may be subsequently amended.

 

    	6

     

    

 

IV

SALE
AND TRANSFER OF THE PURCHASED ASSETS

 

4.1
Purchase and Sale. Upon the terms and subject to the conditions set forth in this Agreement, on the Closing Date specified
in Section 13.1 herein, Seller shall sell, transfer, assign, convey, and deliver to Data443, and Data443 shall purchase from Seller,
all right, title, and interest in and to the Purchased Assets, pursuant to this Agreement, free of all Security Interests, and as further
reflected in and evidenced by that certain Bill of Sale in the form mutually agreed to by the Parties (the “Bill of Sale”).

 

4.2
Scope of the Purchased Assets. The Purchased Assets shall include any and all right, title, and interest in and to tangible
and intangible assets of Seller used or useful in connection with the Products and the operation of the Business, unless specifically
excluded to the contrary herein, which Seller may retain for its own use and benefit, as further particularly described in Section 5.1,
below.

 

4.3
Purchase Price.

 

4.3.1
Amount. The aggregate purchase price for the Purchased Assets shall be Three Million Four Hundred Thousand Dollars ($3,400,000)
(the “Purchase Price”), payable in accordance with Section 4.3.2 below. 

 

4.3.2.
Payment. The Purchase Price, as determined above, shall be payable in the following form and manner:

 

(a)
Two Hundred Fifty Thousand Dollars ($250,000) payable in cash at Closing in the form of a wire transfer of immediately available funds
in accordance with instructions to be provided by Seller.

 

(b)
Two Million Nine Hundred Thousand Dollars ($2,900,000) payable pursuant to a promissory note issued by Data443 in favor of Seller at
Closing in the form mutually agreed to by the Parties (the “Note”).

 

(c)
Two Hundred Fifty Thousand Dollars ($250,000) in the form of a contingent payment, as further described in Section 4.5, below (the “Contingent
Payment”). 

 

4.3.3
Seller Transaction Expenses. In addition to the Purchase Price, at the Closing, Data 443 shall pay all of Seller’s
Transaction Expenses incurred by Seller to revise the initial version of this Agreement and draft the Closing Documents (all of which
Data443 originally agreed to prepare) in the amounts and to the payees identified by Seller by wire transfer of immediately available
funds to the account(s) designated by the applicable payees. 

 

4.4
Intentionally Deleted.

 

4.5
Contingent Payment. The Contingent Payment is expressly part of the Purchase Price and shall be treated as deferred purchase
price. The Contingent Payment shall be payable in ten (10) equal installments of Twenty Five Thousand Dollars ($25,000) each, in the
form of wire transfer of immediately available funds in accordance with instructions to be provided by Seller, each time Data443 collects
a total of One Hundred Thousand Dollars ($100,000) through its ownership, use and/or operation of the Purchased Assets and/or the Business
or from the sale of Products, less all discounts, returns and credits; provided, however, that for so long as the Note is outstanding,
the Contingent Payments shall be added to the principal balance of the Note and paid out in accordance with the terms of the Note. Payments
of the Contingent Payment shall be made (or, if applicable, added to the principal balance of the Note) within fifteen (15) days after
the Business achieves a $100,000 milestone, and Data443 shall provide Seller with monthly reports detailing collections received and
all other documentation reasonably requested by Seller to confirm such amounts. Payments of the Contingent Payment shall cease on the
eighteen (18) month anniversary of the Closing, after which time no further payments of the Contingent Payment will be tendered even
if the entire Contingent Payment has not been paid (or accrued under the Note, as applicable). Data443 covenants and agrees to use its
best efforts to operate the Business after the Closing Date and collect all funds owing in the Ordinary Course of Business. Any indemnification
due and owing to Data443 shall first reduce the amount of the Contingent Payment.

 

    	7

     

    

 

4.6
Allocation of Purchase Price. The Parties agree to allocate the Purchase Price among the Purchased Assets pursuant to the
asset allocation mutually agreed to by Seller and Data443 within 30 days following the Closing. The allocation of the Purchase Price
is intended to comply with the requirements of Section 1060 of the Code. The Parties covenant and agree that (i) such allocation will
be determined in an arm’s length negotiation and none of the Parties shall take a position on any tax return (including IRS Form
8594), before any tax authority or in any judicial proceeding that is in any manner inconsistent with such allocation without the written
consent of the other Parties to this Agreement or unless specifically required pursuant to a determination by an applicable tax authority;
(ii) they shall cooperate with each other in connection with the preparation, execution, and filing of all tax returns related to such
allocation; and, (iii) they shall promptly advise each other regarding the existence of any tax audit controversy or litigation related
to such allocation. Any adjustments to the Purchase Price shall be allocated among the Purchased Assets in a manner consistent with the
allocation methodology used to the initial asset allocation.

 

4.7
Transfer Taxes and Similar Expenses. Any transfer taxes, sales taxes, stamp duties, filing fees, registration fees, recordation
expenses, or other similar taxes, fees, charges or expenses (collectively, “Transfer Taxes”) incurred as a result
of the transfer of the Purchased Assets to Data443 hereunder or under any of the other transactions contemplated by the Closing Documents
shall be borne and paid by the Party responsible for paying such taxes under applicable law. Notwithstanding anything to the contrary
in this Agreement, the provisions of this Section 4.7 shall survive the Closing Date for the full period of any applicable statute of
limitations plus sixty (60) days.

 

To
the extent relevant to the Purchased Assets, each Party shall (i) provide the other assistance as may be reasonably requested in connection
with the preparation of any Tax return or the conduct of any audit or examination or other proceeding and (ii) retain for the applicable
statute of limitations and provide the other with information that may be relevant to the preparation of a Tax return, or the conduct
of an audit, examination or other proceeding relating to Taxes.

 

4.8
Other Tax Matters.

 

(a)
For purposes of this Agreement, if any Tax relates to a Straddle Period (other than Transfer Taxes which shall be allocated in accordance
with Section 4.7), the Parties shall use the following conventions for determining the portion of such Tax that relates to a Pre-Closing
Tax Period and the portion that relates to a Post-Closing Tax Period (so as to apportion to Seller the portion of such Taxes attributable
to the Pre-Closing Tax Period, and to apportion to Data443 that portion of the Taxes attributable to the Post-Closing Tax Period): (i)
personal property Taxes, ad valorem Taxes, and other similar Taxes levied on a periodic basis with respect to the Business and/or the
Purchased Assets (“Periodic Taxes”) for any Straddle Period, whether imposed or assessed before or after the Closing
Date, shall be prorated between the Pre-Closing Tax Period and the Post-Closing Tax Period by multiplying the Periodic Taxes for the
entire Straddle Period by a fraction, (A) the numerator of which is (in the case of, and for purposes of allocating to, the Pre-Closing
Tax Period) the number of calendar days in the portion of the Straddle Period ending on and including the Closing Date and the denominator
of which is the number of calendar days in the entire Straddle Period, and (B) the numerator of which is (in the case of, and for purposes
of allocating to, the Post-Closing Tax Period) the number of calendar days in the portion of the Straddle Period immediately following
the Closing Date and the denominator of which is the number of calendar days in the entire Straddle Period; and (ii) all other Taxes
(including income Taxes, sales Taxes, employment Taxes and withholding Taxes), whether imposed or assessed before or after the Closing
Date shall be prorated between the Pre-Closing Tax Period and the Post-Closing Tax Period using a “closing of the books methodology.”

 

    	8

     

    

 

(b)
If the Taxes for any Straddle Period are subject to proration but instead are paid in full by one Party, the amount of Taxes allocable
to, and paid by, the other Party shall be promptly paid by such other Party upon notification thereof and the furnishing of evidence
of such payment by the paying Party. In the event that either Party receives a refund of any portion of the Taxes previously allocated
to and paid by the other Party, the amount of such refund allocable to the other Party shall be paid to such other Party promptly following
the receipt of such refund by the receiving Party.

 

V

ASSETS
AND LIABILITIES

 

5.1
Excluded Assets. Except as expressly provided to the contrary in this Section 5.1 or on Schedule 5.1 (the “Excluded
Assets”), attached hereto and incorporated herein by reference, upon purchase of the Purchased Assets by Data443, Seller shall
retain no right to any assets related to the Products or the Business. Notwithstanding anything in this Agreement to the contrary, the
Parties expressly acknowledge and agree that until such time as the Note is paid in full: (a) ownership of the Intellectual Property
Assets will not transfer to Data443; (b) Seller shall retain ownership of the Intellectual Property Assets; and (c) Seller shall grant
Data443 an exclusive license to use the Intellectual Property Assets pursuant to and in accordance with the provisions of Section 13.4(b)
below. 

 

5.2
Assumed Liabilities. Except as expressly provided to the contrary herein and on Schedule 5.2 (the “Assumed Liabilities”),
attached hereto and incorporated herein by reference, Data443 shall not, and expressly does not, assume any liabilities, obligations,
or commitments of Seller, known or unknown, contingent or otherwise, of whatsoever kind or nature. By way of example and not limitation,
the following shall not be an Assumed Liability: 

 

(a)
any obligation to employees of Seller for severance, termination, accrued payroll, vacation, or similar benefits, whether or not said
employees are engaged by Data433 after the Closing;

 

(b)
any obligation arising under or related to any pension, retirement, vacation, insurance, option or other form of benefit plan of Seller
or relating to Seller’s employees relating to periods prior to the Closing Date;

 

(c)
any obligation related to or arising out of any loans, notes, bank debt, extensions of credit, or similar obligations;

 

(d)
any obligation with respect to Taxes due, accrued, or relating to a time prior to the Closing Date or resulting from this Agreement or
the transaction(s) contemplated hereby;

 

(e)
any obligation arising under any arbitration or litigation proceeding pending as of the Closing Date, whether or not disclosed in this
Agreement;

 

(f)
any obligation due to any member, manager, officer, or Affiliate of Seller;

 

(g)
any obligations arising under any employment agreements to which Seller is a party;

 

(h)
any obligations as a licensee under any licenses that will not be assigned to Data443 pursuant to this Agreement;

 

(i)
any trade debt and all similar obligations incurred prior to the Closing Date whether or not incurred for the operation of the Business;

 

(j)
all indebtedness of Seller owed to the owners of Seller or their respective Affiliates, which will remain outstanding following the Closing
(collectively, the “Member Loans”); and

 

    	9

     

    

 

(k)
all other liabilities and obligations not expressly included within the definition of “Assumed Liabilities”.

 

5.3
Maintenance Obligations.

 

5.3.1.
Defined and Description. Schedule 5.3.1., attached hereto and incorporated herein by reference, sets forth a true and complete
list of all written warranties, maintenance agreements, and support agreements of the Business in respect of the Products and the Business
which are now in effect and are to be performed after the Closing (collectively, the “Maintenance Obligations”).

 

5.3.2.
Fulfillment of Maintenance Obligations. Data443 hereby agrees to assume and otherwise satisfy all Maintenance Obligations
only to the extent such Maintenance Obligations are to be performed after Closing for reasons other than any breach, violation, or default
by Seller of any its obligations prior to Closing. Accordingly, Data443 covenants that it shall, solely at the expense of Data443, comply
with and fulfill in all material respects all of the duties and obligations under all of the Maintenance Obligations. In connection therewith,
Data443 shall employ sufficient personnel with technical and functional expertise to satisfy its obligations under the Maintenance Obligations
at a level consistent with all contractual requirements and industry norms.

 

5.4
Right to Indemnification. In the event Seller fails to make any payment with respect to any of the liabilities, obligations,
or commitments of Seller not assumed hereunder, or fails to fulfill any of Maintenance Obligations not otherwise assumed under Section
5.3.2., above (collectively, the “Unpaid Liabilities”), Data443 may elect to pay or satisfy such Unpaid Liabilities,
in addition to any other costs or charges, if any, associated with the Unpaid Liabilities (the “Associated Costs”),
if Data443 determines, in its sole and absolute discretion, that such payment is necessary or desirable to allow the Business, as acquired
by Data443 hereunder, to continue on an uninterrupted basis or to maintain the business reputation of Data443. However, (i) Data443 shall
be required to give Seller fifteen (15) days prior written notice, which notice shall set forth the amount and identity of the Unpaid
Liabilities and Associated Costs; and, (ii) Seller shall not have paid such Unpaid Liabilities and Associated Costs within such fifteen
(15) day period or taken reasonable steps to contest such Unpaid Liabilities where Seller has reasonable basis to contest such Unpaid
Liabilities. Seller hereby acknowledges and agrees that if Data443 pays any Unpaid Liabilities or Associated Costs, Data443 shall have
the right to indemnification under Article XVI below, for such Unpaid Liabilities and/or Associated Costs.

 

5.5
Overlapping Code. Seller represents and warrants to Data443 that it has used diligent efforts to ensure that no software
code (including software programs, objects, modules, routines, algorithms and any other software code, in source or object form), other
copyrightable works, or inventions (whether or not patentable) that are included within the Purchased Assets are utilized by Seller in
or internally in conjunction with any Seller software products or services that are not within the Purchased Assets (for avoidance of
doubt, that are not being sold to Data443 hereunder). If, despite those efforts, Seller discovers after the Closing that Seller utilizes
some portion of such software code, other copyrightable works or inventions in or internally in conjunction with one or more Seller software
products or services that are in production and distribution by Seller, then Seller will notify Data443 immediately upon making that
discovery and of the specific overlapping software code, works, or inventions (the “Overlapping Code”). Upon reasonable
verification, Data443 will grant to Seller a royalty-free, perpetual, non-exclusive, worldwide license to use, reproduce, distribute
(directly or indirectly), display, perform, make, have made, sell, offer for sale and import the Overlapping Code, but only to the extent
that such Overlapping Code does not constitute a material part of the Purchased Assets, and solely as then utilized in or internally
in conjunction with the versions and editions of such Seller software products or services that are then in production and distribution
by Seller. Data443 will also grant to Seller a license to modify the Overlapping Code and distribute such modified Overlapping Code,
but solely for purposes of bug fixing. Seller shall have no right or license to use such Overlapping Code in any other Seller products
or services. Provided that Seller has complied with the requirement of diligent efforts set forth above, Data443 agrees that Seller shall
have no liability to Data443 (or its successors and assigns): (i) for any use or distribution (or other commercial exploitation) of the
Overlapping Code between the Execution Date and the date any license granted in accordance with this Section 5.5 comes into effect; or,
(ii) if Data443 declines to grant a license because the Overlapping Code is a material part of the Purchased Assets, then, for any use
or distribution (or other commercial exploitation) of the Overlapping Code between the Closing Date and a reasonable period after Seller
notifies Data443 of the Overlapping Code to enable Seller to cease using and remove the Overlapping Code from Seller’s software
products or services.

 

    	10

     

    

 

VI

INTENTIONALLY
DELETED

 

VII

REPRESENTATIONS
AND WARRANTIES BY SELLER

 

Except
as expressly set forth to the contrary in Schedules attached to this Agreement, Seller hereby represents and warrants to Data443 as follows,
as of the Closing Date:

 

7.1
Organization and Good Standing. Seller is a limited liability company, validly existing, duly organized, and in good standing
under the laws of the State of Missouri. Except as set forth on Schedule 7.1, Seller has all requisite corporate power and authority
to carry on the Business and to own and use the properties owned and used by it. Seller has no subsidiaries.

 

7.2
Foreign Qualifications. Seller is duly qualified to conduct business and is in corporate and tax good standing under the
laws of each jurisdiction in which the nature of its businesses or the ownership or leasing of its properties requires such qualification,
except where the failure to be in good standing would not reasonably be expected to have a Material Adverse Effect.

 

7.3
Authorization. 

 

7.3.1.
Operation of Business. Except as set forth on Schedule 7.3.1, Seller has the requisite limited liability company power
and authority and all requisite licenses, permits, and franchises necessary to own and operate its properties and to carry on the Business
as now being conducted.

 

7.3.2
Execution of Agreement. Seller has the requisite power and authority to enter into and carry out the terms and conditions
of this Agreement and each of the Closing Documents to which it is a party, as well as all transactions contemplated hereunder and thereunder.
All authorizations (including, without limitation, consent of the Majority Members) have been secured which are necessary to authorize
the execution, delivery, and performance by Seller of this Agreement, and each of the Closing Documents to which it is a party. This
Agreement has been, and each of the Closing Documents to which Seller is a party, will, as of the Closing be, duly and validly executed
and delivered by Seller and constitute the valid and binding obligations of Seller, enforceable in accordance with their respective terms,
except as such enforceability may be limited by bankruptcy, insolvency, reorganization, moratorium or similar laws affecting creditors’
rights generally and by general principles of equity (regardless of whether enforcement is sought in a proceeding at law or in equity).

 

7.4
Effect of Agreement. Except as set forth on Schedule 7.4, as of the Closing, the consummation by Seller of the transactions
herein contemplated, including the execution, delivery, and consummation of this Agreement, will not:

 

(a)
Violate any judgment, statute, law, code, act, order, writ, rule, ordinance, regulation, governmental consent or governmental requirement,
or determination or decree of any arbitrator, court, or other governmental agency or administrative body, applicable to and enforceable
against the relevant party, work, or activity in question or any part thereof (collectively, “Requirement of Law”)
applicable to or binding upon Seller or the Purchased Assets;

 

    	11

     

    

 

(b)
Violate the terms of (i) the Articles of Organization, Operating Agreement, or any similar governance document of Seller; or, (ii) any
material agreement, contract, mortgage, indenture, bond, bill, note, or other material instrument or writing binding upon Seller or to
which Seller or the Purchased Assets are subject;

 

(c)
Accelerate or constitute an event entitling the holder of any indebtedness of Seller to accelerate the maturity of such indebtedness;
or

 

(d)
Result in the breach of, constitute a default under, constitute an event which with notice or lapse of time, or both, would become a
default under, or result in the creation of any lien, security interest, charge or encumbrance upon any of the Purchased Assets under
any agreement, commitment, contract (written or oral) or other instrument to which Seller is a party or by which it is bound or affected.

 

7.5
Consents. Except as set forth on Schedule 7.5, no consents, approvals or other authorizations or notices, other
than those which have been obtained and are in full force and effect, are required by any state or federal regulatory authority or other
Person or entity in connection with the execution and delivery of this Agreement by Seller and the performance of any obligations by
Seller contemplated hereunder.

 

7.6
Title to and Condition of the Purchased Assets. Seller has good and marketable title to, or a valid leasehold interest
in or license to use, all of the Purchased Assets. The Purchased Assets are free and clear of all Security Interests and other encumbrances
of any nature (other than Permitted Encumbrances). Upon and at Closing, Seller will have assigned, transferred and conveyed to Data443,
directly or indirectly, good, valid and marketable title to, or a valid leasehold interest in or license to use, all of the Purchased
Assets, free and clear of all Security Interests. All tangible personal property included in the Purchased Assets are in good operating
condition and repair, subject to reasonable wear and tear.

 

7.7
Sufficiency of the Purchased Assets. The Purchased Assets, together with the Intellectual Property Assets, constitute substantially
all of the tangible and intangible assets that are used in the conduct of the business of the Business in the Ordinary Course of Business,
and, together with the license granted to Data443 pursuant to Section 13.4(b), are sufficient to enable Data443 to continue to conduct
the Business as currently conducted by Seller in the Ordinary Course of Business. None of the Purchased Assets are licensed or leased
from any third party, and no lease payments, royalties, license fees or similar payments are due or payable (or may become due or payable)
to any third party under any agreement affecting the Purchased Assets. None of the Purchased Assets are licensed to any third party (other
than licenses granted to Seller’s customers for the Products).

 

7.8
Financial Statements. The financial statements of Seller dated October 31, 2021 (the “Financial Statements”),
which have been previously delivered by Seller to Data443, are true, complete and accurate in all material respects, have been prepared
in accordance with GAAP consistently applied, subject to normal year-end adjustments, and present fairly the financial position of Seller
as of the date thereof. Except to the extent reflected and reserved against in the Financial Statements, Seller did not have, as of the
date of the Financial Statements, any debts, liabilities or obligations of any nature, whether accrued, absolute, contingent or otherwise,
and whether due or to become due, except for those obligations that are not required by GAAP to be included in the Financial Statements.

 

7.9
Changes in Financial Condition. Since the date of the Financial Statements, there has not been:

 

(a)
Any material change in the condition (financial or otherwise) or business of Seller, except changes in the Ordinary Course of Business,
none of which has caused a Material Adverse Effect;

 

(b)
Any damage, destruction or loss (whether or not covered by insurance) materially and adversely affecting the Products or the Business;

 

(c)
Any change in the accounting methods or practices followed by Seller or any change in the depreciation or amortization policies or rates
adopted by Seller (whether or not presently outstanding), except liabilities incurred, and obligations under agreements entered into,
in the Ordinary Course of Business; or

 

    	12

     

    

 

(d)
Any sale, lease, abandonment or other disposition by Seller, other than in the Ordinary Course of Business, of any machinery, equipment
or other operating properties directly or indirectly related to the Business.

 

7.10
Legal Proceedings. Except as set forth in Schedule 7.10, attached hereto and incorporated herein by reference, there
is no claim, legal action, suit, arbitration, investigation or hearing, notice of claims or other legal, administrative or governmental
proceedings pending or to the Knowledge of Seller, threatened against Seller, the Business or any of the Purchased Assets (or in which
Seller or the Business is plaintiff or otherwise a party thereto), and, to the Knowledge of Seller, there are no facts existing which
might result in any such claim, action, suit, arbitration, investigation, hearing, notice of claim or other legal, administrative or
governmental proceeding that might reasonably be expected to have a Material Adverse Effect or that might reasonably be expected to threaten
or impede the consummation of the transactions contemplated by this Agreement. There is no continuing order, injunction, or decree of
any court, arbitrator, or governmental or administrative authority to which Seller or the Business is a party or to which it or any of
the Purchased Assets is subject. Seller has not been permanently or temporarily enjoined or barred by order, judgment or decree of any
court or other tribunal or any agency or regulatory body from engaging in or continuing any conduct or practice.

 

7.11
Permits and Licenses. Except as would not have a Material Adverse Effect, Seller has all licenses and permits (federal,
state and local) required by governmental authorities to own, operate, and carry on the Business as now being conducted, and such licenses
and permits are in full force and effect. No violations are or have been recorded in respect to the licenses or permits that remain unresolved
as of the Closing Date, including but not limited to fire and health and safety law violations, and no proceeding is pending or threatened
looking toward the revocation or limitation of any of them. 

 

7.12
Customers and Suppliers. 

 

(a)
The books and records of Seller contain a correct and complete list of each of the customers and suppliers of the Business who have dealt
with the Business during the three (3) year period ending on the date hereof.

 

(b)
Schedule 7.12(b), attached hereto and incorporated herein by reference, sets forth the top ten (10) customers of Seller based
on the dollar amount of revenues earned by Seller for 2019, 2020 and 2021, and the revenues generated from such customers (collectively,
the “Material Customers”). Seller has not received any notice that any Material Customer has ceased or materially
reduced, or intends to cease or materially reduce its relationship with Seller.

 

(c)
Schedule 7.12(c), attached hereto and incorporated herein by reference, sets forth the top ten (10) suppliers of each of Seller
based on the consideration Seller has paid to such supplier for 2019, 2020 and 2021 for goods or services rendered (collectively, the
“Material Suppliers”). Seller has not received any notice that any Material Supplier has ceased or materially reduced,
or intends to cease or materially reduce its relationship with Seller.

 

(d)
To Seller’s Knowledge, there are no existing conditions or state of facts or circumstances which have materially and adversely
affected, or are expected to materially and adversely affect, the relationship of the Business with Material Customers or Material Suppliers
if it is acquired by Data443, or which has prevented or will prevent such business from being carried on by the Business, after the Closing,
in essentially the same manner as it is currently carried on.

 

7.13
Leases and Similar Agreements. Except as set forth in Schedule 7.13, attached hereto and incorporated herein by
reference, none of the Purchased Assets are bound by or subject to, any leases or other similar agreements or instruments, whether as
lessor or lessee. With regard to all such disclosed leases and similar agreements, Seller has delivered to Data443 any and all consents
or waivers of other parties necessary for the continuation of the leases and similar agreements upon the same terms and conditions in
effect as of the Closing.

 

    	13

     

    

 

7.14
Material Agreements. Except as set forth in Schedule 7.14, attached hereto and incorporated herein by reference,
Seller is not a party to, nor are any of the Purchased Assets bound by or subject to, any of the following:

 

(a)
license agreement, assignment or contract (whether as licensor or licensee, assignor or assignee) relating to trademarks, trade names,
patents or copyrights (or applications therefore), know-how or technical assistance, or other proprietary rights (other than trademark
agreements which are entered into in the ordinary course of the Seller’s business in conjunction with sales agreements);

 

(b)
agreement or other arrangement for the sales of goods or services by the Seller to any government or governmental authority (other than
pursuant to open purchase orders issued by such entities);

 

(c)
agreement with any vendor, distributor, dealer, sales agent or representative other than contracts or orders for the purchase or sale
of goods made in the usual and Ordinary Course of Business at an aggregate price per contract or order of less than $10,000 or on terms
of less than ninety days under any such contract or order;

 

(d)
any dealer, distributor, original equipment manufacturer, value added reseller, sales representative or similar agreement under which
any third party is authorized to sell, sublicense, lease, distribute, market or take orders for, any Products, service or technology
of Seller which is included in the Purchased Assets or which relates to the Business;

 

(e)
any agreement providing for the development of any software, content, technology or intellectual property for (or for the benefit or
use of) Seller, or providing for the purchase or license of any software, content, technology or intellectual property to (or for the
benefit or use of) Seller, which software, content, technology or intellectual property is in any manner used or incorporated (or is
presently contemplated by Seller to be used or incorporated) in connection with any aspect or element of the Products, service or technology
of Seller which is included in the Purchased Assets or which relates to the Business (other than software generally available to the
public at a per copy license fee of less than $500 per copy);

 

(f)
any agreement that could reasonably restrict Data443 from freely setting prices for the Products or Data443’s services or technologies
(including most favored customer pricing provisions) relating to the Business or that grants any exclusive rights relating to the Business
to any party;

 

(g)
agreement with any supplier or customer with respect to discounts (other than those reflected on the Seller’s current price lists)
or allowances or extended payment terms;

 

(h)
joint venture or agreement with any other person;

 

(i)
agreement which restricts Seller from doing business anywhere in the world; or

 

(j)
long-term services agreement.

 

7.15
Employees.

 

(a)
Schedule 7.15, attached hereto and incorporated herein by reference, contains a list of (i) all employees of Seller, along with
the position and the annual rate of compensation of each such person; and, (ii) all independent contractors of Seller rendering services
to Seller, along with a brief description of the terms of each such contractor’s arrangement. Except as set forth on Schedule
7.15, each such employee and contractor has entered into a confidentiality and assignment of inventions agreement with Seller.

 

(b)
Except as set forth in Schedule 7.15, Seller has no Knowledge of any former employees of Seller engaged in an enterprise competitive
with the Business.

 

    	14

     

    

 

(c)
Except as set forth in Schedule 7.15, and except as otherwise provided for herein, Seller is not a party to any employment agreement,
independent contractor agreement, or similar arrangement or agreement, whether it be reduced to written form or an oral promise.

 

7.16
Restrictive Covenants. Schedule 7.16, attached hereto and incorporated herein by reference, represents a list of
all restrictive covenant agreements and arrangements held by Seller with regard to the Business. All of such contracts are hereunder
assigned to Data443, and Seller has the requisite power and ability to so assign all said contracts, copies of which are also attached
hereto as part of Schedule 7.16.

 

7.17
Intellectual Property Assets. 

 

7.17.1.
Sufficiency. Except as set forth on Schedule 7.17, the Intellectual Property Assets are all those necessary for
the operation of the Business by Seller as it is currently conducted in the Ordinary Course of Business, and all such material Intellectual
Property Assets are listed on Schedule 7.17, attached hereto and incorporated herein by reference. Seller is the owner of all
right, title, and interest in and to each of the Intellectual Property Assets, free and clear of all Security Interests and encumbrances
of any kind, and has the right to use without payment to a third party all of the Intellectual Property Assets. To the extent that any
employee or former employee of Seller has developed or invented or otherwise produced any of the Intellectual Property Assets, to Seller’s
Knowledge, all such former and current employees of Seller have assigned or otherwise transferred to Seller all ownership and other rights
of any nature whatsoever (to the extent permitted by applicable law) of such Person in any Intellectual Property Assets owned, intended
to be owned or used by Seller in the Business. No such employee or former employee has entered into any contract that restricts or limits
in any way the scope or type of work in which the employee may be engaged or requires the employee to transfer, assign, or disclose information
concerning his work to anyone other than Seller.

 

7.17.2.
Compliance. All software developed by Seller and licensed by Seller to customers and all services provided by or through
Seller to customers in connection with the Business on or before the Closing Date conform in all material respects (to the extent required
in agreements with such customers) to applicable contractual commitments, express and implied warranties, and to any representations
provided to customers and Seller has no material liability (and, to Seller’s knowledge, there is no legitimate basis for any present
or future action, suit, proceeding, hearing, investigation, charge, complaint, claim or demand against Seller giving rise to any material
liability relating to the foregoing agreements) for replacement or repair thereof or other damages in connection therewith. Seller has
made available to Data443 all documentation relating to the testing of the Products and plans and specifications for Products currently
under development by Seller.

 

7.18
Other Arrangements. Seller is not a party to any contract, commitment or agreement, nor are any of the Purchased Assets
subject to, or bound or affected by, any order, judgment, decree, law, statute, ordinance, rule, regulation or other restriction of any
kind or character which is not applicable to the Business generally, which would, individually or in the aggregate, materially adversely
affect the Business or any of the Purchased Assets. Seller is also not a party or subject to any agreement, contract or other obligation
which would require the making of a change of control or severance payment to any other person as a result of the consummation of the
transactions contemplated herein.

 

7.19
Material Defaults. Except as set forth in Schedule 7.19, neither Seller, nor the Business, is in material default,
or alleged to be in default, under any material agreement, contract, lease, mortgage, commitment, instrument or obligation, and, to Seller’s
Knowledge, no other party to any agreement, contract, lease, mortgage, commitment, instrument or obligation to which Seller or the Business
is a party is in default thereunder, which default would materially and adversely affect the properties, assets, business or prospects
of the Business.

 

7.20
Tax Matters.

 

(a)
Seller has filed or caused to be filed all Tax Returns (federal, state and local) required to be filed by it, and all such Tax Returns
filed are complete and accurate in all material respects.

 

    	15

     

    

 

(b)
Seller has paid or caused to be paid all Taxes shown to be due and payable on the returns or any assessments or penalties received by
it and all other Taxes (federal, state and local) due and payable by it.

 

(c)
Seller has collected and withheld all Taxes which it has been required to collect or withhold and has timely submitted all such collected
and withheld amounts to the appropriate authorities.

 

(d)
Seller is in compliance with the back-up withholding and information reporting requirements under the Code and any state, local, or foreign
laws, and the rules and regulations thereunder.

 

(e)
No examination or audit of any Tax returns of Seller by any governmental entity is currently in progress or, to the Knowledge of Seller,
threatened or contemplated. Seller has not waived any statute of limitations with respect to Taxes or agreed to an extension of time
with respect to a Tax assessment or deficiency.

 

7.21
Intentionally Deleted.

 

7.22
Product Warranty. None of the Products is subject to any guaranty, warranty, right of return, or other indemnity beyond
the documented terms and conditions of sale, license, or lease (or any applicable warranty obligations imposed by law). Schedule 7.22,
attached hereto and incorporated herein by reference, sets forth the aggregate expenses incurred by Seller in fulfilling its obligations
under its guaranty, warranty, right of return, swap out, and indemnity provisions during each of the last three calendar years. Seller
is not aware of any reason why such expenses should significantly increase as a percentage of sales in the future. There is no demand,
claim, debt, suit, cause of action, arbitration or other proceeding pursuant to any Seller guaranty, warranty or other indemnity made
or asserted or, to Seller’s Knowledge, pending or threatened by any third party that relates to the Purchased Assets, whether based
on strict liability, negligence, breach of warranty (express or implied), breach of contract or otherwise, or related to any services
rendered as part of the Business prior to the Closing Date.

 

7.23
Rebates and Return Obligations. Seller has not entered into, or offered to enter into, any agreement, arrangement or understanding
(whether written or oral) in connection with the Business pursuant to which Seller is or will be obligated to make any rebates, discounts,
promotional allowances or similar payments or arrangements to any customer or distributor. Data443 will not be obligated to accept returns
with respect to any customer or distributor of Products sold by Seller prior to the Closing Date, or to incur any costs for materials
and labor pursuant to any guaranty, warranty, or indemnity obligations of Seller, other than as expressly required under the Maintenance
Obligations and Assigned Contracts.

 

7.24
Privacy and Data Security. With regard to matters of privacy and data security:

 

(a)
To Seller’s Knowledge, Seller has been and is in compliance in all material respects with all applicable Requirements of Law regarding
the collection, creation, processing, use, disclosure, storage, transfer and secure destruction of sensitive data, which was collected
or processed in connection with the Business (collectively, “Data Protection Laws”). Except as would not, individually
or in the aggregate, be expected to be material to the Business taken as a whole, Seller has made all required material filings, disclosures
and registrations under applicable Data Protection Laws with any relevant governmental authority, to the extent applicable, and all such
filings, disclosures and registrations are current and up-to-date) in all material respects.

 

(b)
Seller has not and does not collect, create, process, use, disclose, store, transfer or destroy any Protected Health Information (as
defined under HIPAA) from or on behalf of any source, and therefore is exempt from HIPAA’s requirements.

 

(c)
Seller has established, implemented, and maintains privacy, data security and cybersecurity policies, programs and procedures that are
in compliance in all material respects with any applicable Requirement of Law, and Seller’s obligations under any agreement, including
reasonable and appropriate administrative, technical and physical safeguards, and disaster recovery, business continuity, and incident
response plans, designed to protect the confidentiality, integrity, availability and security of sensitive data in its possession, custody
or control against unauthorized access, use, disclosure or other misuse, and to safeguard the Business against the risk of material business
disruption.

 

    	16

     

    

 

(d)
Except as set forth in Schedule 7.24, attached hereto and incorporated herein by reference, to Seller’s Knowledge: (i) there
have been no material failures, breakdowns, continued substandard performance, introduction of any malware, viruses, ransomware, bugs,
or other malicious codes into any of the systems of the Business that have caused a material disruption or material interruption in or
to the use of such Business systems; (ii) there have been no privacy or data security breaches (including ransomware or a cyber-attack)
resulting in the unauthorized access, acquisition, exfiltration, manipulation, erasure, use, or disclosure of any sensitive data or Trade
Secrets or that triggered any reporting requirement under any breach notification law or contract provision; and, (iii) no service provider
(in the course of providing services for or on behalf of Seller) has suffered any material privacy or data security breach that resulted
in the unauthorized access, acquisition, exfiltration, manipulation, erasure, use, or disclosure of any sensitive data of the Business.

 

(e)
Seller does not store or transfer any sensitive data offshore to, or receives any sensitive data from, any location outside the United
States of America.

 

7.25
Securities. With regard to matters of securities and applicable federal and state securities laws:

 

(a)
The Selling Parties have substantial experience in evaluating and investing in securities of companies similar to ATDS and acknowledge
that each can protect its own interests. The Selling Parties have such knowledge and experience in financial and business matters so
each is capable of evaluating the merits and risks of receipt of the Issued Shares. Each of the Selling Parties is an “accredited
investor” within the meaning of the Securities Act.

 

(b)
The Selling Parties understand that the Issued Shares have not been, and will not be, registered under the Securities Act by reason of
a specific exemption from the registration provisions of the Securities Act, and that the availability of any exemption depends upon,
among other things, the bona fide nature of the investment intent and the accuracy of the representations of the Selling Parties as expressed
herein or otherwise made pursuant hereto.

 

(c)
None of the Selling Parties are subject to any of the “Bad Actor” disqualifications described in Rule 506(d)(1)(i) to (viii)
under the Securities Act.

 

(d)
Seller is acquiring the Issued Shares for its own account, for investment purposes only, and with no present intention of distributing,
selling, or otherwise disposing of the Issued Shares (other than distributions of the Issued Shares to Seller’s owners).

 

7.26
Solvency. After due inquiry and negotiation, Seller believes in good faith that the Purchase Price represents fair and
reasonably equivalent consideration for the Purchased Assets and title thereto transferred to Data443 under this Agreement. Seller is
not now insolvent, and Seller will not be rendered insolvent by the sale, transfer, and assignment of the Purchased Assets pursuant to
this Agreement (where “insolvent” means that the sum of Seller’s debts and other probable liabilities exceeds the present
fair saleable value of Seller’s assets). Immediately after giving effect to the transactions contemplated hereby, (i) Seller will
be able to pay its liabilities as they become due in the usual course of its business; (ii) Seller will not have unreasonably small capital
with which to conduct its present or proposed business; (iii) Seller will have assets (calculated at fair market value) that exceed its
liabilities; and; (iv) taking into account all pending and threatened litigation, final judgments against Seller in actions for money
damages are not reasonably anticipated to be rendered at a time when, or in amounts such that, Seller will be unable to satisfy any such
judgments promptly in accordance with their terms (taking into account the maximum probable amount of such judgments in any such actions
and the earliest reasonable time at which such judgments might be rendered) as well as all other obligations of Seller. The cash available
to Seller, after taking into account all other anticipated uses of the cash, will be sufficient to pay all debts and judgments promptly
in accordance with their terms. Seller is not entering into this Agreement or any of the Closing Documents with the intent to defraud,
delay, or hinder any of its creditors, and Seller intends to use the Purchase Price to satisfy its existing obligations. None of the
transactions contemplated by this Agreement or any of the Closing Documents will give rise to any right of any creditor of Seller whatsoever
to lodge any claim against Data443 or any of the Purchased Assets in the hands of Data443.

 

    	17

     

    

 

7.27
Other Matters. Seller has not taken and has not agreed to take any action, and has no Knowledge of any fact or circumstances
that would materially impede or delay the consummation of the transactions contemplated under this Agreement.

 

7.28
No Other Representations or Warranties. Seller has not made, nor shall be deemed to have made, and neither Seller nor any
of its members, managers, officers, employees, agents or other representatives is liable for or bound in any manner by, any express or
implied representations, warranties, guaranties, promises or statements pertaining to Seller or the Purchased Assets, except as specifically
set forth in this Article VII.

 

7.29
Disclosure. No representation or warranty made by Seller in this Agreement or in any writing furnished or to be furnished
pursuant to or in connection with this Agreement knowingly contains or will contain any untrue statement of a material fact, or omits
or will omit to state any material fact required to make the statements herein or therein contained not misleading. Seller has disclosed
to Data443 all material information known to it related to Seller and the Business, and their respective condition, operations and prospects.

 

7.30
Brokers. Seller represents and warrants that a broker has acted for it in connection with this Agreement and the transactions
contemplated hereby as referenced in Schedule 7.30 and Seller is responsible for all fees payable to such broker.

 

VIII

REPRESENTATIONS
AND WARRANTIES BY DATA443 AND ATDS 

 

Except
as expressly set forth to the contrary in Schedules attached to this Agreement, Data443 and ATDS, jointly and severally, hereby represent
and warrant to Seller as follows, as of the Closing Date:

 

8.1
Organization. 

 

(a)
Data443 is a corporation duly organized, validly existing and in good standing under the laws of the State of North Carolina. Data443
is duly authorized to conduct business and is in good standing under the laws of each jurisdiction where such qualification is required,
except where the failure to be in good standing would not reasonably be expected to have a Material Adverse Effect. 

 

(b)
ATDS is a corporation duly organized, validly existing and in good standing under the laws of the State of Nevada. ATDS is duly authorized
to conduct business and is in good standing under the laws of each jurisdiction where such qualification is required, except where the
failure to be in good standing would not reasonably be expected to have a Material Adverse Effect. 

 

8.2
Authorization

 

8.2.1.
Operation of Business. Each of Data443 and ATDS has the corporate power and authority to own and operate its properties
and to carry on its business as now being conducted. Each of Data443 and ATDS has the corporate authority to enter into, execute, and
deliver this Agreement and each other Closing Document to which it is a party, and to consummate the transactions contemplated hereunder
and thereunder. 

 

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8.2.2.
Execution of Agreement. Each of Data443 and ATDS has the requisite corporate power and authority to enter into and carry
out the terms and conditions of this Agreement and each of the Closing Documents to which it is a party, as well as all transactions
contemplated hereunder and thereunder. All corporate proceedings have been taken and all corporate authorizations have been secured which
are necessary to authorize the execution, delivery, and performance by Data443 and ATDS of this Agreement, and each of the Closing Documents
to which it is a party. This Agreement has been, and as of the Closing Date, each of the Closing Documents to which Data443 or ATDS is
a party will be, duly and validly executed and delivered by Data443 and/or ATDS, as applicable, and constitute the valid and binding
obligations of Data443 and/or ATDS, as applicable, enforceable in accordance with their respective terms, except as such enforceability
may be limited by bankruptcy, insolvency, reorganization, moratorium or similar laws affecting creditors’ rights generally and
by general principles of equity (regardless of whether enforcement is sought in a proceeding at law or in equity).

 

8.3
Effect of Agreement. As of the Closing, the consummation by each of Data443 and ATDS of the transactions herein contemplated,
including the execution, delivery and consummation of this Agreement, will not:

 

(a)
Violate any Requirement of Law applicable to or binding upon Data443 or ATDS;

 

(b)
Violate (i) the terms of the Articles of Incorporation or Bylaws of Data443 or ATDS; or, (ii) any material agreement, contract, mortgage,
indenture, bond, bill, note, or other material instrument or writing binding upon Data443 or ATDS or to which Data443 or ATDS is subject;
or

 

(c)
Accelerate or constitute an event entitling the holder of any indebtedness of Data443 or ADTS to accelerate the maturity of such indebtedness;
or

 

(d)
Result in the breach of, constitute a default under, constitute an event which with notice or lapse of time, or both, would become a
default under, or result in the creation of any lien, security interest, charge or encumbrance upon any part of the assets of Data443
or ATDS or any other assets of Data443 or ATDS under any agreement, commitment, contract (written or oral) or other instrument to which
Data443 or ATDS is a party, or by which any of its assets (or any part thereof) is bound or affected.

 

8.4
R&W Insurance Policy. 

 

(a)
Data443 shall satisfy on a timely basis all conditions necessary for the issuance of or continuance of coverage under the R&W Insurance
Policy and take all steps as may be reasonably required to cause the R&W Insurance Policy to be issued as of the Closing Date.

 

(b)
Unless otherwise required by applicable law, from and after the date hereof, Data443 shall not and shall not permit any of its Affiliates
to take any action with the intention of causing the R&W Insurance Policy or the rights of any party thereunder to be amended, terminated,
cancelled or waived in a manner that would have a material and adverse impact on Seller. 

 

8.5
Investigation. On or prior to the Closing, Data443 and ATDS will inspect the physical condition of the Purchased Assets,
and will have also had the opportunity to investigate the books, records, and the Financial Statements of Seller. As of the Closing,
Data443 will be purchasing the Purchased Assets based upon its own independent investigation and evaluation of the Business and its prospects,
and the covenants, representations, and warranties of Seller set forth herein. Each of Data443 and ATDS is expressly not relying on,
and expressly disclaims reliance on, any representations made by Seller with regard to the Purchased Assets or the Business other than
those representations and warranties set forth in Article VII of this Agreement.

 

8.6
Absence of Litigation. There is no action pending or, to the Knowledge of Data443 or ATDS, threatened against or affecting
Data443 or ATDS, including in respect of the transactions contemplated hereby that, individually or in the aggregate, would reasonably
be expected to prevent, materially impede or materially delay the consummation by Data443 or ATDS of the transactions contemplated hereunder.

 

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8.7
SEC Documents. ATDS has filed all reports, schedules, forms, statements and other documents required to be filed by it
with the SEC pursuant to the reporting requirements of the Exchange Act (all of the foregoing filed prior to the date hereof and all
exhibits included therein and financial statements and schedules thereto and documents (other than exhibits to such documents) incorporated
by reference therein, being hereinafter referred to herein as the “SEC Documents”). As of their respective dates,
the SEC Documents complied in all material respects with the requirements of the Exchange Act and the rules and regulations of the SEC
promulgated thereunder applicable to the SEC Documents, and none of the SEC Documents, at the time they were filed with the SEC, contained
any untrue statement of a material fact or omitted to state a material fact required to be stated therein or necessary in order to make
the statements therein, in light of the circumstances under which they were made, not misleading. As of their respective dates, the financial
statements of ATDS included in the SEC Documents complied as to form in all material respects with applicable accounting requirements
and the published rules and regulations of the SEC with respect thereto. Such financial statements have been prepared in accordance with
GAAP during the periods involved and fairly present in all material respects the consolidated financial position of ATDS and its consolidated
subsidiaries as of the dates thereof and the consolidated results of their operations and cash flows for the periods then ended (subject,
in the case of unaudited statements, to normal year-end audit adjustments).

 

8.8
Brokers. Each of Data443 and ATDS represents and warrants that no broker or finder has acted for it in connection with
this Agreement or the transactions contemplated hereby and that no broker or finder is entitled to any brokerage or finder’s fee
or other commission from Data443 or ATDS.

 

IX

INTENTIONALLY
DELETED

 

X

INTENTIONALLY
DELETED

 

XI

INTENTIONALLY
DELETED

 

XII

REGULATORY
FILINGS AND COMPLIANCE 

 

12.1
Required Filings. The Parties shall coordinate and cooperate with one another and shall each use all reasonable efforts
to comply with, and shall each refrain from taking any action that would impede compliance with any and all applicable federal, state,
local, municipal, foreign or other law, statute, constitution, principle of common law, resolution, ordinance, code, order, edict, decree,
rule, regulation, ruling or requirement issued, enacted, adopted, promulgated, implemented or otherwise put into effect by or under the
authority of any governmental entity. As promptly as practicable after the date hereof, the Parties shall make all filings, notices,
petitions, statements, registrations, submissions of information, application or submission of other documents required by any governmental
entity in connection with this Agreement and the transactions contemplated hereby.

 

12.2
Exchange of Information. Each of the Parties shall promptly supply the other with any information which may be required
in order to effectuate any filings or application pursuant to Section 12.1, above. Except where prohibited by applicable legal requirements,
each of the Parties shall consult with the other prior to taking a position with respect to any such filing, shall permit the other to
review and discuss in advance, and consider in good faith the views of the other in connection with any analyses, appearances, presentations,
memoranda, briefs, white papers, arguments, opinions and proposals before making or submitting any of the foregoing to any governmental
entity by or on behalf of any Party hereto in connection with any investigations or proceedings in connection with this Agreement or
the transactions contemplated hereby, coordinate with the other in preparing and exchanging such information and promptly provide the
other (and its counsel) with copies of all filings, presentations or submissions (and a summary of any oral presentations) made by such
Party with any governmental entity in connection with this Agreement or the transactions contemplated hereby. However, with respect to
any such filing, presentation or submission, each of the Parties need not supply the other (or its counsel) with copies (or in case of
oral presentations, a summary) to the extent that any law, treaty, rule or regulation of any governmental entity applicable to such Party
requires such Party to restrict or prohibit access to any such properties or information.

 

    	20

     

    

 

12.3
Notification. Each of the Parties will notify the other promptly upon the receipt of: (i) any comments from any officials
of any governmental entity in connection with any filings made pursuant hereto and (ii) any request by any officials of any governmental
entity for amendments or supplements to any filings made pursuant to, or information provided to comply in all material respects with,
any applicable legal requirements. Whenever any event occurs that is required to be set forth in an amendment or supplement to any filing
made pursuant to Section 12.1, above, the responsible Party will promptly inform the other of such occurrence and cooperate in filing
with the applicable governmental entity such amendment or supplement.

 

XIII

CLOSING
DATE AND TRANSFER DATE

 

13.1
Closing Date. The closing of the transactions contemplated under this Agreement (the “Closing”) and
the transfer of the Purchased Assets by Seller to Data443 shall take place simultaneously with the execution of this Agreement by electronic
delivery of the Closing Documents. The date on which the Closing occurs is also referred to herein as the “Closing Date”
and the Closing shall be effective as of 11:59 p.m. central time on the Closing Date (the “Effective Time”).

 

13.2
Obligations of Seller. At the Closing, Seller shall deliver or cause to be delivered to Data443 the following:

 

(a)
Executed Closing Documents;

 

(b)
Executed resolution from the Majority Members authorizing the transactions contemplated hereunder and under the Closing Documents; and

 

(c)
Any governmental and third party consents, approvals, assurances or UCC termination statements necessary for the consummation of the
transactions contemplated by this Agreement or as may be required to permit Seller to deliver the Purchased Assets free and clear of
any and all liens, claims, encumbrances or restrictions (except as shown on Schedule 5.2 and expressly assumed by Data443 hereunder).

 

13.3
Obligations of Data443. At the Closing, Data443 or ATDS shall deliver or cause to be delivered to Seller:

 

(a)
Data443’s funds, by wire transfer, in the amount of Two Hundred Fifty Thousand Dollars ($250,000);

 

(b)
The Note, duly executed by Data443;

 

(c)
A copy of the R&W Insurance Policy and evidence of the issuance thereof;

 

(d)
All Closing Documents to which Data443 or ATDS is a party, duly executed by Data443 or ATDS; and

 

(e)
Board of Directors resolution of Data443 and ATDS authorizing the transactions contemplated hereunder and under the Closing
Documents.

 

    	21

     

    

 

13.4
Transfer of Ownership; License of Intellectual Property.

 

(a)
The Business and the Purchased Assets other than and excluding the Intellectual Property Assets shall be under the ownership of Data443
immediately as of and the completion of the Closing.

 

(b)
Notwithstanding anything in this Agreement to the contrary, Data443 acknowledges and agrees that ownership of the Intellectual Property
Assets shall not transfer to Data443 until the Note is repaid in full (unless earlier terminated in accordance with this Section) (the
“License Term”). During the License Term, Seller hereby grants to Data443 an exclusive, worldwide, fully-paid, royalty-free,
non-divisible, non-transferable license to use the Intellectual Property Assets. During the License Term, Seller shall not use the Intellectual
Property Assets for any purpose other than to provide the exclusive license granted herein to Data443 and shall not license all or any
portion of the Intellectual Property Assets to any third party. During the License Term, Data443 shall be responsible for paying for
all maintenance, filing and other fees needed to maintain the registered Intellectual Property Assets. Except for the license rights
expressly granted to Data443 in this Section 13.4(b), no ownership or license or other rights to any Intellectual Property Assets is
granted to Data443, its Affiliates or any other Person under this Agreement, and Seller expressly reserves its rights in and to all such
Intellectual Property Assets. Seller shall retain exclusive ownership of the Intellectual Property Assets and all improvements, enhancements,
modifications and derivative works thereof created by Data443 or its Affiliates during the License Term. The license granted in this
Section 13.4(b) shall terminate immediately upon written notice to Data443 in the event that Data443 breaches or violates any of its
obligations to Seller under this Agreement or the Note, provided that Seller must first give Data443 written notice of the breach or
violation and a ten (10) day period to cure such breach or violation. Upon payment in full of the Note, Seller shall transfer ownership
of all of the Intellectual Property Assets to Data443 and hereby agrees to execute such intellectual property assignments and other documents
reasonably requested by Data443 to effectuate the transfer.

 

XIV

POST-CLOSING
RESTRICTIONS ON THE SELLING PARTIES

 

14.1
Confidentiality. From and after the Execution Date, each of the Selling Parties shall hold in confidence, and shall use
best efforts to have each of its Affiliates hold in confidence, all knowledge, information and documents of a confidential nature or
not generally known to the public with respect to the Business and the Purchased Assets (including without limitation all information
related to Products and all other technical and financial data and information related to the Business) and shall not disclose or make
use of the same without the written consent of Data443, except to the extent that such knowledge, information or documents shall have
become public knowledge other than through a breach of this Agreement by any of the Selling Parties or as necessary for completing any
of Seller’s financial statements or any Tax Returns of any Seller Party, or as required by law to be disclosed.

 

14.2
Non-Competition. Each of the Selling Parties hereby covenants and agrees with Data443 that, at all times during the thirty
six (36) months following the Closing Date, none of the Selling Parties or any of their respective Affiliates shall, directly or indirectly
engage in any Competing Business (i) in any state of the United States; or, (ii) in any country in which Seller has conducted business
(including, without limitation, any county, state, territory, possession or country in which any customer of Seller is located or in
which Seller has solicited business). The Selling Parties acknowledge and agree that Seller shall be deemed for the purpose of this Section
14.2 to have engaged in business at a national level in each state of the United States of America. For purposes of this Section 14.2,
“Competing Business” shall mean any business, activity or enterprise that is competitive with or is substantially
similar to the Business immediately following the Closing Date, and “engaging in” shall mean actively investing in
(and shall not include passively investing in any company that makes bona-fide investments), soliciting customers for, owning stock or
any other equity interest in, lending money to, guaranteeing the debts or obligations of, permitting one’s name to be used in connection
with, or otherwise engaging in, either individually or in partnership or conjunction with any other person or entity. Notwithstanding
the above, nothing contained in this Section 14.2 shall prohibit any of the Selling Parties or its affiliates from holding and making
investments in securities of any corporation or limited partnership whose securities are traded on a national securities exchange or
are quoted on NASDAQ or an over-the-counter market, provided that such equity interest therein does not exceed five percent (5%) of the
outstanding shares or interests in such corporation or partnership.

 

    	22

     

    

 

14.3
Non-Solicitation of Business. In addition to, and not in limitation of, Section 14.2, each of the Selling Parties agrees
with Data443 that, at all times during the thirty six (36) months following the Closing Date, none of the Selling Parties will, either
for itself or for or on behalf of any other Person, directly or indirectly (i) induce or influence any customer, supplier, distributor,
broker, consultant or any other person or entity that had a business relationship with Seller prior to the Execution Date to terminate
such relationship or to discontinue or reduce the extent of its relationship with Data443 to the extent such relationship relates to
the Business; or, (ii) attempt to sell, license, or provide the same or similar products or services as are now, or have previously been
provided by the Business, to current or past customers of the Business.

 

14.4
Non-Solicitation of Employees and Consultants. In addition to, and not in limitation of, Sections 14.2 and 14.3, above,
each of the Selling Parties agrees with Data443 that, at all times during the thirty six (36) months following the Closing Date, none
of the Selling Parties shall for its or any of its Affiliate’s benefit directly or indirectly solicit, induce or otherwise seek
to divert, or attempt to induce any employee of or consultant to Seller hired by Data443, to terminate his or her employment or engagement
with Data443 or any Affiliate of Data443, or to take or accept employment with any other party; provided, however, nothing set forth
herein shall limit or restrict the Selling Parties from general advertisements of employment provided that they are not directed specifically
at employees or consultants of Data443 or any of its Affiliates.

 

14.5
Mutual Non-Disparagement. After the Closing Date, each Selling Party, on the one hand, and each of Data443 and ATDA on
the other hand, agrees not to, and to cause its respective Affiliates not to, disparage any other Party or any of their respective Affiliates.

 

14.6
Remedies. The Parties and the Majority Members acknowledge and agree that the breach or attempted or threatened breach
of any of the provisions of Sections 14.1 through 14.5, inclusive, will result in immediate and irreparable injury to Data443, for which
it will not have an adequate remedy at law and for which monetary damages are not readily calculable. Therefore, Data443 shall be entitled
to seek injunctive and other equitable relief restraining and prohibiting such breach or threatened breach, including, without limitation,
obtaining a temporary and permanent injunction, enjoining any such breach or attempted or threatened breach (without being required to
post a bond or other security or to show any actual damages). The right to an injunction and other equitable relief shall be in addition
to, and cumulative with, all other rights and remedies available to the parties at law, in equity or otherwise. Notwithstanding anything
herein to the contrary, any breach or violation of this Article XIV shall be governed by the provisions of this Section 14.6 and shall
not be subject to the indemnification provisions set forth in Article XVI of this Agreement.

 

14.7
Independence of Agreements. The provisions of this Article XIV are in addition to and independent of any agreements or
covenants contained in any employment, consulting, or other agreement between Data443 and any of the Majority Members or any employee
of Seller subsequently hired by Data443.

 

14.8
Enforceability and Modification. The Selling Parties acknowledge that without the provisions of this Article XIV, Data443
would not enter into this Agreement or consummate the transactions contemplated hereunder, and that the terms and conditions of this
Article XIV are reasonable and necessary to protect and preserve the legitimate business interests of Data443 and the value of the Purchased
Assets, and to prevent any unfair advantage conferred on the Selling Parties. Accordingly, each of the Selling Parties shall be bound
by the provisions hereof to the maximum extent permitted by law, it being the intent and spirit of the Parties and the Majority Members
that such provisions shall be enforced to the fullest extent permitted by law. Without limiting the generality of the foregoing, if any
provision of this Article XIV shall be held by any court of competent jurisdiction or another competent authority to be illegal, invalid,
or unenforceable, such provision shall be reformed so that it will be construed and enforced as if it had been more narrowly drawn so
as not to be illegal, invalid, or unenforceable, and such illegality, invalidity, or unenforceability shall have no effect upon and shall
not impair the enforceability of any other provision of this Agreement.

 

    	23

     

    

 

XV

ADDITIONAL
POST-CLOSING OBLIGATIONS AND AGREEMENTS

 

15.1
Intentionally Deleted.

 

15.2
Books and Records. From and after the Closing Date, each Party shall have reasonable access to inspect and copy all books
and records relating to the Purchased Assets and the Business that the other may retain after the Closing Date. Such access shall be
afforded by the Party maintaining such records upon receipt of reasonable advance notice and during normal business hours. Nothing contained
in this Section 15.2 shall require either Party to retain any books or records longer than such books or records would otherwise have
been retained in the Ordinary Course of Business but for the transactions contemplated by this Agreement. However, if the Party maintaining
such records shall desire to dispose of any of such books and records, such Party shall, prior to such disposal, give the other Party
a reasonable opportunity, at such other Party’s expense, to segregate and remove such books and records as such other Party may
select.

 

15.3
Audited Financials. Following the Closing, Data443 shall prepare, at Data443’s sole cost and expense audited financials
of Seller’s last two full fiscal years. Said financials shall comply with rules and regulations of the SEC related to the acquisition
of a business, and sufficient for filing with the SEC. Seller shall make available to Data443 any information and documentation reasonably
requested by Data443 or its representatives for purposes of completing the audit.

 

15.4
Continued Use Of Name. From and after the Closing, Seller shall make no further use of the name “SmartShield”
or any similar derivation thereof, for any purpose other than providing the license to Data443 pursuant to Section 13.4(b) hereof.

 

15.5
Customer Transition Matters. Seller shall use commercially reasonable efforts to assist Data443 in transitioning the customers
of the Business to Data443. If, following the Closing, any customers of the Business remit payment of any accounts receivable accrued
by Seller prior to the Closing Date to Data443, Data443 shall pay such amount to Seller within five (5) business days following receipt
thereof from the customer.

 

15.6
Advisory Board. ATDS shall consider, in good faith, the appointment of John A. Modica and Ben “Tripp” Manheimer
III to its advisory board.

 

15.7
Transition Services Agreements. Seller shall assist with the good faith negotiations and execution of transition services
agreements with those individuals, if any, selected by Data443, with all terms and conditions to be determined in good faith by all parties.

 

15.8
Employees of Seller. Seller will be solely responsible for paying to its employees all salary, bonuses, accrued vacation
and severance benefits, if any, and providing to such employees any COBRA and continuation medical coverage as may be required with respect
to their employment prior to Closing. Data443 shall offer all employees of Seller other than those set forth on Schedule 15.8
employment with Data443 effective as of the Closing.

 

15.9
Payment of Transaction Expenses. Except as otherwise set forth in Section 4.3.3, all expenses incurred by a Party in connection
with the negotiation of this Agreement and the Closing Documents and the consummation of the transactions contemplated hereby and thereby
will be borne solely and entirely by the Party that incurred such expenses.

 

15.10
Public Disclosure. The Parties shall consult with each other before issuing any press release or otherwise making any public
statement with respect to this Agreement and the transactions contemplated hereunder, and neither Party shall issue any such press release
or make any such public statement without the prior written consent of the other, which consent shall not be unreasonably withheld or
delayed. However, Data443 may, without the prior written consent of, but with prior reasonable notice to, Seller, make such public statement
in a filing with the SEC in order to comply with applicable filing requirements of the SEC.

 

    	24

     

    

 

15.11
Closing Documents. At Closing, the Parties shall execute all additional Closing Documents, which are intended to include,
without limitation, all agreements attached hereto as Exhibits, as well as all documents necessary to assign Intellectual Property Assets,
which will be notarized if requested by Data443.

 

15.12
Bulk Sales Compliance. The Parties hereby waive compliance with the provisions of any bulk sales, bulk transfer or similar
laws of any jurisdiction that may otherwise be applicable with respect to the sale of any or all of the Purchased Assets to Data443,
it being understood that any liabilities arising out of the failure of Seller to comply with the requirements and provisions of any bulk
sales, bulk transfer or similar laws of any jurisdiction shall be the liability of Seller.

 

XVI

SURVIVAL
AND INDEMNIFICATION PROVISIONS

 

16.1
Survival of Representations. All of the covenants, agreements, representations, and warranties made by each party in this
Agreement, or pursuant hereto or in connection with the transactions contemplated hereby, shall survive the Closing for a period of two
(2) years. Any claim for indemnification must be asserted in writing in reasonable detail against the indemnifying party on or prior
to the second (2nd) anniversary of the Closing Date. The Parties acknowledge and agree that with respect to any claim that
any Party may have against any other Party that is permitted pursuant to the terms of this Agreement, the survival period set forth and
agreed to in this Section 16.1 shall govern when any such claim may be brought and shall replace and supersede any statute of
limitations that may otherwise be applicable.

 

16.2
Indemnification by Data443. Data443 and ATDS, jointly and severally, hereby covenant and agree that notwithstanding any
investigation made at any time by or on behalf of Seller or any information Seller may have following the Closing, Data443 and ATDS shall,
jointly and severally, indemnify and defend Seller, each Majority Member, their respective Affiliates, and each of their respective directors,
officers, shareholders, managers, members, partners and employees, and each of their successors and assigns (each individually referred
to herein as a “Seller Indemnified Party”) and hold each harmless from, against and in respect of any and all Losses
arising by reason of or in connection with any of the following:

 

(a)
Any and all Losses against a Seller Indemnified Party of any nature, whether accrued, absolute, contingent or otherwise attributable
to any event occurring after the Closing, relating to the Assumed Liabilities, the use of the Purchased Assets, the Intellectual Property
Assets or the operation by Data443 of the Business from and after the Closing, except if (i) such liability results from or arises in
connection with the breach of any of the representations, warranties, covenants or agreements made by Seller in this Agreement, any other
agreement referred to herein, any Schedule or Exhibit hereto, any of the Closing Documents, or any certificate, instrument or writing
delivered in connection herewith or therewith, or (ii) such liability is included under Section 16.3, below;

 

(b)
Any material breach of, or any material inaccuracy in, any of the representations, warranties, covenants or agreements made by Data443
in this Agreement, any other agreement referred to herein, any Exhibit or Schedule to this Agreement, any of the Closing Documents, or
any certificate, instrument or writing delivered in connection therewith;

 

(c)
Any attempt (whether or not successful) by any person to cause or require a Seller Indemnified Party to pay or discharge any debt, obligation,
liability or commitment of Data443; and

 

(d)
Any action, suit, proceeding, compromise, settlement, assessment or judgment arising out of or incidental to any of the matters indemnified
against in this Section 16.2. However, Data443 shall not be obligated to indemnify a Seller Indemnified Party and hold it harmless
under this Section 16.2 with respect to any settlement of a claim to which Data443 has not consented, which consent shall not unreasonably
be withheld, conditioned or delayed.

 

    	25

     

    

 

16.3
Indemnification by Seller. Seller hereby covenants and agrees that, following the Closing, Seller shall indemnify Data443
and its directors, officers, shareholders, managers, members, partners, employees and Affiliates, and each of their successors and assigns
(each individually referred to herein as a “Data443 Indemnified Party”) and hold each harmless from, against and in
respect of any and all Losses arising by reason of or in connection with any of the following:

 

(a)
Any and all Losses against a Data443 Indemnified Party of any nature, whether accrued, absolute, contingent or otherwise, to the extent
arising out of the Excluded Assets or any liabilities of Seller other than and excluding the Assumed Liabilities; 

 

(b)
Any material breach of, or any material inaccuracy in, any of the representations, warranties, covenants or agreements made by Seller
in this Agreement, any other agreement referred to herein or any of the Closing Documents;

 

(c)
Any tax liabilities, and all interest, penalties, assessments and all other Losses in respect thereof, arising out of the Business for
any period prior to the Closing; and

 

(d)
Any and all Losses arising from or in any way related to any bonus, pension, profit sharing, retirement, deferred compensation, savings,
stock purchase, stock option, hospitalization, insurance or other plan providing benefits to employees of Seller prior to Closing.

 

16.4
Right to Defend.

 

(a)
If the facts giving rise to any claim for indemnification under this Article XVI shall involve any actual claim or demand by any third
person against a Data443 Indemnified Party or a Seller Indemnified Party (referred to hereinafter as an “Indemnified Party”),
the indemnifying party shall be entitled to written notice of such claim from the Indemnified Party within fifteen (15) days after the
Indemnified Party received notice of such third party claim. The indemnifying party shall be entitled to (without prejudice to the right
of any Indemnified Party to participate at its own expense with counsel if its own choosing) defend or prosecute such claim at its own
expense and through counsel of its own choosing if it gives written notice of its intention to do so no later than the time by which
the interests of the Indemnified Party would be materially prejudiced as a result of its failure to have received such notice. However,
if the defendants in any action shall include both the indemnifying party and the Indemnified Party, and the Indemnified Party shall
have reasonably concluded, based on the advice of counsel, that counsel selected by the indemnifying party has a conflict of interest
because of the availability of different or additional defenses to the Indemnified Party, the Indemnified Party shall have the right
to select separate counsel to participate in the defense of such action on its behalf, at the expense of the indemnifying party. The
Indemnified Party shall cooperate fully in the defense of such claim and shall make available to the indemnifying party pertinent information
under its control relating thereto, but shall be entitled to be reimbursed, as provided in this Article XVI, for all costs and expenses
incurred by it in connection therewith. If the Indemnified Party has assumed the defense of any third party claim, it shall not enter
into any settlement without the prior written consent of the indemnifying party, which consent shall not unreasonably be withheld. If
the indemnifying party has assumed the defense of any third party claim, it shall not enter into any settlement without the prior written
consent of the Indemnified Party, which consent shall not unreasonably be withheld, conditioned or delayed. 

 

    	26

     

    

 

(b)
Any claim by an Indemnified Party on account of a Loss which does not result from a third party claim (a “Direct Claim”)
shall be asserted by the Indemnified Party by giving the indemnifying party written notice thereof with fifteen (15) days after the Indemnified
Party becomes aware of such Direct Claim. The failure of the Indemnified Party to give such prompt written notice shall not, however,
relieve the indemnifying party of its indemnification obligations hereunder, except and only to the extent that the indemnifying party
is materially prejudiced by reason of such failure. The indemnifying party shall have thirty (30) days after its receipt of such notice
to respond in writing to such Direct Claim. The Indemnified Party shall allow the indemnifying party to investigate the matter or circumstance
alleged to give rise to the Direct Claim, and whether and to what extent any amount is payable in respect of the Direct Claim and the
Indemnified Party shall assist the indemnifying party’s investigation by giving such information and assistance as reasonably requested.
If the indemnifying party does not so respond within such thirty (30) day period, the indemnifying party shall be deemed to have rejected
such Direct Claim. If the indemnifying party rejects all or any part of a Direct Claim, the Parties shall attempt in good faith for thirty
(30) days to resolve such Direct Claim. If no such agreement can be reached through good faith negotiation within such thirty (30) day
period, either Party may commence a legal proceeding in accordance with Section 3.3.3 of this Agreement.

 

16.5
Limitations. Notwithstanding anything herein to the contrary, the indemnification obligations of the Parties shall be subject
to the following limitations: 

 

(a)
Seller’s aggregate liability for all Losses under this Agreement shall be capped at an amount equal to the deductible (valued at
Closing) under the R&W Insurance Policy (“Deductible”); provided, however, that if the Deductible
is greater than $30,000, Seller’s aggregate liability shall be capped at $30,000 (the “Deductible Ceiling”).
The sole source of recovery by the Data443 Indemnified Parties for any and all Losses under this Agreement shall be limited to the Deductible
(subject to the Deductible Ceiling) and recovery under the R&W Insurance Policy. Data443, on behalf of itself and the other Data443
Indemnified Parties, hereby further acknowledges and agrees that the provisions of this Section 16.5(a) shall apply and shall remain
in full force and effect regardless of whether (i) Data443 obtains at or following the Closing, or maintains following the Closing, the
R&W Insurance Policy; (ii) the R&W Insurance Policy is, for any reason, terminated, revoked, cancelled, exhausted, modified,
amended or otherwise altered in any form; or (iii) any claims are made by a Data443 Indemnified Party under the R&W Insurance Policy
and such claim is denied. 

 

(b)
Losses shall not include (i) exemplary or punitive damages, (ii) special, indirect or consequential damages of any kind, or (iii) any
damages or losses that were not the reasonably foreseeable result of the breach or action giving rise to such Losses without regard to
any special circumstances of the Indemnified Party.

 

16.6
Payment of Indemnification Claims. Subject to the limitations set forth in Section 16.5, once a Loss is agreed to and/or
accepted by Seller or finally adjudicated to be payable by Seller pursuant to this Article XVI, as evidenced by a final non-appealable
order, Data443 shall set off the amount of the Loss against the Note. If the Note is paid off prior to the second anniversary of the
Closing Date (a) with all or a portion of Common Stock of ADTS (“Issued Shares”), then a number of Issued Shares valued
at an amount equal to the Deductible (subject to the Deductible Ceiling) at the time the Note is paid off shall be placed in an indemnity
escrow pursuant to an escrow agreement in a form mutually acceptable to the Parties (“Indemnity Escrow”) to satisfy
any future indemnity claims against Seller; or (b) with only cash (and no Issued Shares), then cash in an amount equal to the Deductible
(subject to the Deductible Ceiling) will be placed in the Indemnity Escrow to satisfy any future indemnity claims against Seller. The
Indemnity Escrow will terminate on the two year anniversary of the Closing, and all remaining Issued Shares or cash held in the Indemnity
Escrow will be distributed to Seller within five (5) days after termination thereof provided that there are no pending indemnification
claims outstanding against Seller as of such date. The Data443 Indemnified Party’s sole source of recovery under this Agreement
will be setoff against the Note, the Contingent Payments or the amount held in the Indemnity Escrow, subject in each case, to the Deductible
(up to the Deductible Ceiling).

 

16.7
Knowledge of Breach. Notwithstanding any provision contained in this Agreement to the contrary, no Indemnified Party shall
be entitled to indemnification under this Article XVI with respect to any matter of which such Indemnified Party had Knowledge as of
the Closing.

 

16.8
Treatment of Indemnity Payments. All payments made by Seller to or for the benefit of a Data443 Indemnified Party pursuant
to this Article XVI will be treated as an adjustment to the Purchase Price for Tax purposes and such agreed treatment will govern for
purposes of this Agreement, unless otherwise required by law.

 

16.9
Exclusive Remedy. Subject to the rights of the Parties set forth in Section 14.6 and Section 18.2, the Parties
acknowledge and agree that their sole and exclusive remedy with respect to any and all claims for any breach of any representation, warranty,
covenant, agreement or obligation set forth in this Agreement, shall be pursuant to the indemnification provisions set forth in this
Article XVI.

 

    	27

     

    

 

XVII

NOTICES

 

All
notices, requests, demands and other communications required or permitted to be given hereunder shall be effected pursuant to Section
18.9, below, as follows:

 

	If
    to Seller:	With
    a copy to:
	 	 
	Centurion
    Holdings I, LLC	Greensfelder,
    Hemker & Gale, P.C.
	Attn:
    Ben “Tripp” Manheimer III	Attn:
    Edward A. Chod
	P.O.
    Box 528	10
    S. Broadway, Suite 2000
	Arnold,
    MO 63010	St.
    Louis, MO 63102
	Email:
    trippmanh@yahoo.com	Email:
    eac@greensfelder.com
	 	 
	If
    to Data443:	With
    a Copy to:
	 	 
	Data443
    Risk Mitigation, Inc.	Data443
    Risk Mitigation, Inc.
	101
    J Morris Commons LN, STE105	101
    J Morris Commons LN, STE105
	Morrisville,
    NC	Morrisville,
    NC
	27560	27560
	legal@data443.com	legal@data443.com

 

XVIII

ADDITIONAL
PROVISIONS

 

18.1
Executed Counterparts. This Agreement may be executed in any number of counterparts, all of which when taken together shall
be considered one and the same agreement, it being understood that all Parties need not sign the same counterpart. In the event that
any signature is delivered by Fax or E-Mail, such signature shall create a valid and binding obligation of that Party (or on whose behalf
such signature is executed) with the same force and effect as an original thereof. Any photographic, photocopy, or similar reproduction
copy of this Agreement, with all signatures reproduced on one or more sets of signature pages, shall be considered for all purposes as
if it were an executed counterpart of this Agreement.

 

18.2
Enforcement. The Parties agree that irreparable damage would occur in the event that any of the provisions of this Agreement
were not performed in accordance with their specific terms or were otherwise breached. Accordingly, it is agreed that the Parties shall
be entitled to seek an injunction or injunctions to prevent breaches of this Agreement and to enforce specifically the terms and provisions
of this Agreement, this being in addition to any other remedy to which they are entitled pursuant to the terms of this Agreement. 

 

18.3
Waiver. No failure by any Party to insist on the strict performance of any covenant, duty, agreement, or condition of this
Agreement or to exercise any right or remedy on a breach shall constitute a waiver of any such breach or of any other covenant, duty,
agreement, or condition.

 

18.4
Recovery of Fees by Prevailing Party. In the event of any legal action (including arbitration) to enforce or interpret
this Agreement, the non-prevailing Party shall pay the reasonable attorneys’ fees and other costs and expenses (including expert
witness fees) of the prevailing Party in such amount as the may be determined. In addition, such non-prevailing Party shall pay reasonable
attorneys’ fees incurred by the prevailing Party in enforcing, or on appeal from, a judgment in favor of the prevailing Party.
The preceding sentence is intended by the Parties to be severable from the other provisions of this Agreement and to survive and not
be merged into such judgment.

 

    	28

     

    

 

18.5
Recitals. The facts recited in Article II, above, are hereby conclusively presumed to be true as between and affecting
the Parties.

 

18.6
Amendment. This Agreement may be amended or modified only by a writing signed by all Parties.

 

18.7
Consents, Approvals, and Discretion. Except as herein expressly provided to the contrary, whenever this Agreement requires
consent or approval to be given by a Party, or a Party must or may exercise discretion, the Parties agree that such consent or approval
shall not be unreasonably withheld, conditioned, or delayed, and such discretion shall be reasonably exercised. 

 

18.8
Further Assurances. Each Party agrees (i) to furnish upon request to each other Party such further information; (ii) to
execute and deliver to each other Party such other documents; and, (iii) to do such other acts and things, all as another Party may reasonably
request for the purpose of carrying out the intent of this Agreement and the transactions envisioned hereunder. However, this
provision shall not require that any additional representations or warranties be made and no Party shall be required to incur any material
expense or potential exposure to legal liability pursuant to this Section 18.8.

 

18.9
Notices. 

 

18.9.1.
Method and Delivery. All notices, requests and demands hereunder shall be in writing and delivered by hand, by Electronic
Transmission, by mail, or by recognized commercial over-night delivery service (such as Federal Express or UPS), and shall be deemed
given (a) if by hand delivery, upon such delivery; (b) if by Electronic Transmission, on the day sent if sent before 5 pm in the time
zone in which the recipient is primarily located, or on the next day if sent after 5pm; (c) if by mail, forty-eight (48) hours after
deposit in the United States mail, first class, registered or certified mail, postage prepaid; or, (d) if by recognized commercial over-night
delivery service, upon such delivery.

 

18.9.2.
Consent to Electronic Transmission. Each Party hereby expressly consents to the use of Electronic Transmission for communications
and notices under this Agreement. For purposes of this Agreement, “Electronic Transmission” means a communication (i) delivered
by Fax or E-Mail when directed to the Fax number or E-Mail address, respectively, for that recipient on record with the sending Party;
and, (ii) that creates a record that is capable of retention, retrieval, and review, and that may thereafter be rendered into clearly
legible tangible form.

 

18.9.3.
Address Changes. Any Party may alter the Fax number, E-Mail address, physical address, or postage address to which communications
or copies are to be sent by giving notice of such change of address to the other Parties in accordance with the provisions of this Section
18.9.

 

18.10
Waiver of Jury Trial. EACH PARTY HEREBY WAIVES TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTER CLAIM BROUGHT BY ANY
OF THEM AGAINST THE OTHER ARISING OUT OF OR IN ANY WAY CONNECTED WITH THIS AGREEMENT, OR ANY OTHER AGREEMENTS EXECUTED IN CONNECTION
HEREWITH OR THE ADMINISTRATION THEREOF OR ANY OF THE TRANSACTIONS CONTEMPLATED HEREIN.

 

18.11
Reasonable Efforts. Each Party shall cooperate in good faith with the other Parties generally, and in particular, the Parties
shall use and exercise their reasonable efforts, taking all reasonable, ordinary and necessary measures to ensure an orderly and smooth
relationship under this Agreement, and further agree to work together and negotiate in good faith to resolve any differences or problems
which may arise in the future. However, the obligations under this Section 18.11 shall not include any obligation to incur substantial
expense or liability.

 

[SIGNATURES
APPEAR ON NEXT PAGE]

 

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XIX

EXECUTION

 

IN
WITNESS WHEREOF, this ASSET PURCHASE AGREEMENT has been duly executed by the Parties and shall be effective as of and on the Execution
Date. Each of the undersigned Parties hereby represents and warrants that it (i) has the requisite power and authority to enter into
and carry out the terms and conditions of this Agreement, as well as all transactions contemplated hereunder; and, (ii) it is duly authorized
and empowered to execute and deliver this Agreement. 

 

	DATA443:	 	SELLER:
	 	 	 
	DATA443
    RISK MITIGATION, INC.,	 	CENTURION
    HOLDINGS I, LLC,
	a
    North Carolina corporation	 	a
    Missouri limited liability company 
	 	 	 	 	 
	BY:	 	 	BY:	 
	 	 	 	 	 
	NAME:	Jason
    Remillard	 	NAME:	Ben
    “Tripp” Manheimer III
	 	 	 	 	 
	TITLE:	President	 	TITLE:	Manager
	 	 	 	 	 
	DATED:	 	 	DATED:	 
	 	 	 	 	 
	 	 	 	BY:	 
	 	 	 	 	 
	 	 	 	NAME:	John
    A. Modica
	 	 	 	 	 
	 	 	 	DATED:	 
	 	 	 	 	 
	ATDS:	 	MAJORITY
    MEMBERS:
	 	 	 
	DATA443 RISK MITIGATION, INC.,	 	 
	a Nevada corporation	 	John A. Modica, individually
	 	 	 	 	 
	BY:	 	 	DATED:	 
	 	 	 	 	 
	NAME:	Jason
    Remillard	 	 
	 	 	 	Ben “Tripp” Manheimer III, individually
	TITLE:	President	 	 	 
	 	 	 	DATED:	 
	DATED:	 	 	 	 
	 	 	 	SSJ7,
    LLC,
	 	 	 	a
    Missouri limited liability company
	 	 	 	 	 
	 	 	 	BY:	 
	 	 	 	 	 
	 	 	 	NAME:	Bill
    Bates
	 	 	 	 	 
	 	 	 	TITLE:	Manager
	 	 	 	 	 
	 	 	 	DATED:	 

 

    	30

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