Document:

a104amalgamatedbank-mand

    EMPLOYMENT AGREEMENT   This EMPLOYMENT AGREEMENT (“Agreement”) dated August 24, 2022, is entered  into by and between Amalgamated Financial Corp. (the “Company”) and Mandy Tenner  (the “Executive”) (each a “Party” and together, the “Parties”). References to the Company in this  Agreement also include Amalgamated Bank (the “Bank”) and all other subsidiaries of the  Company and of the Bank.  RECITALS  WHEREAS, the Company desires to employ the Executive as Executive Vice President  and General Counsel of Amalgamated Financial Corp. and of the Bank, and the Parties wish to  establish the terms of such employment effective August 24, 2022, or such earlier date as to which  the Parties may mutually agree (the “Effective Date”).  AGREEMENT  NOW, THEREFORE, in consideration of the mutual promises and conditions herein set  forth, the Parties agree as follows:   1. Employment and Acceptance. The Company shall agree to continue to employ the  Executive, and the Executive accepts such continued employment, subject to the terms of this  Agreement. By executing this Agreement, Executive acknowledges and agrees that she is an “at- will” employee, and accordingly that her employment may be terminated at any time, with or  without cause, and with or without reason (subject to the termination provisions of Section 5  below).    2. Term. Subject to earlier termination pursuant to Section 5 of this Agreement, the  term of this Agreement and the period of Executive’s employment hereunder shall begin as of the  Effective Date and shall continue for thirty-six (36) full calendar months thereafter (the “Term,”  which shall include any periods covered by renewals hereunder). Commencing on January 1, 2023,  and continuing on January 1 of each year thereafter (the “Anniversary Date”), this Agreement shall  renew for an additional twelve months such that the remaining term shall be thirty-six months (36)  months, unless written notice of nonrenewal is provided to Executive at least sixty (60) days prior  to any such Anniversary Date, and such end date, as it may prior thereto be extended by mutual  written agreement of the Parties, being the “Term Date”. As used in this Agreement,  the “Term” shall refer to the period beginning on the Effective Date and ending on the Term Date,  or, if earlier, on the date the Executive’s employment terminates in accordance with Section 5  below.  3. Title and Duties.    3.1 Title.  The Executive shall serve in the capacity of Executive Vice President  and General Counsel of Amalgamated Financial Corp. and of the Bank and shall report directly to  the President and Chief Executive Officer of Amalgamated Financial Corp. and of the Bank (the  “CEO”). The Executive shall be classified as an employee exempt from overtime pay pursuant to  the executive exemption under federal and state overtime laws.    

 

    3.2 Duties.  The Executive shall have such authority and responsibilities  and shall perform such executive duties customarily performed by the General Counsel of a  commercial bank and shall have such other powers and duties as may from time to time be  prescribed by the CEO, provided that such duties are consistent with the Executive’s position or  other positions that she may hold from time to time. Without limiting the generality of the  foregoing, Executive shall have such duties and responsibilities as usually appertain to the General  Counsel position, as well as those as shall be assigned by the Chief Executive Officer or by the  Board of Directors, in accordance with Executive’s accountability statement. The Executive agrees  that during the Term she shall devote her entire working time to the performance of her duties  under this Agreement and shall not work for anyone else; provided, ,however, that the Company  acknowledges that the Executive may serve on such corporate, civic or charitable boards or  committees as have been or in the future are disclosed to, and not objected to by, the CEO, such  approval not to be unreasonably withheld, and manage the Executive’s personal investments, so  long as any such  activities do not, individually or in the aggregate, materially interfere with the  performance of the Executive’s duties hereunder.  3.3 Location. The Executive’s principal place of work shall be at the  Company’s principal office located in New York, New York, subject to reasonable travel  requirements on behalf of the Company.  4. Compensation and Benefits.  4.1 Base Salary. During the Term, the Company shall pay the Executive a base  salary (“Base Salary”) initially at an annual rate equal to U.S. $330,000, to be paid in accordance  with the Company’s payroll practice for all employees, which payroll practices the Company  reserves the right to modify at any time. During the Term, the Company may, at the discretion of  the Board, at any time and from time to time prospectively (i) increase the Executive’s Base Salary,  or (ii) decrease the Executive’s Base Salary as part of an across-the-board percentage  reduction, provided such reduction shall be pari passu with the CEO.     4.2  Bonuses and Incentive Compensation. During the Term, subject to Section  7.15 of this Agreement, the Executive shall be eligible for incentive compensation to be paid to  her by the Company as follows:  (a) The Executive shall be eligible to receive an annual bonus (“Annual  Bonus”) for each fiscal year of the Company during the Term, targeted at forty percent (40%) of  Base Salary (as determined on July 1 of each fiscal year in accordance with Section 4.1)  (the “Annual Bonus Target”), based on the achievement of multiple specific annual quantitative  and qualitative performance metrics established by the CEO, in consultation with the Executive,  for such fiscal year, and subject to the terms and conditions of the Company’s annual incentive  plan, as it may be amended from time to time.  (b) The Executive also shall be entitled to incentive compensation  pursuant to the Company’s equity incentive plans (each an “Equity Plan”) adopted by the Board  of Directors of Amalgamated Financial Corp. (the “Board”) for each fiscal year of the Term. The  aggregate potential value of any annual Equity Plan awards granted to the Executive shall be an  amount equal to forty percent (40%) of Base Salary in effect at the commencement of the  

 

    applicable fiscal year (the “Target Grant”). However, at the discretion of the Compensation  Committee, the Target Grant for any fiscal year may be increased. Notwithstanding anything to  the contrary set forth herein, the Executive’s participation in any such Equity Plan shall be  governed by the terms of such plan, specifically including its vesting and exercise  provisions, provided that such terms of the Executive’s awards shall be not less favorable to her  than those granted at such time to the Company’s other executive officers.  (c) On the Effective Date, the Executive shall be eligible to, and subject  to the terms and conditions herein, shall receive a retention award of Restricted Stock Units, in the  form attached hereto as Exhibit A, with respect to shares of the Company’s common stock that  have a value on the Effective Date equal to U.S. $330,000.00 (based upon the closing price on the  immediately preceding day).  4.3 Participation in Employee Benefit Plans. During the Term, the  Executive shall be entitled to participate in all the applicable employee benefit plans and perquisite  programs of the Company generally made available to other senior executives of Amalgamated  Financial Corp., on the same terms as such other senior executives. The Company may at any time  or from time to time amend, modify, suspend or terminate any employee benefit plan, program or  arrangement for any reason without the Executive’s consent if such amendment, modification,  suspension or termination is consistent with the amendment, modification, suspension or  termination for other active senior executives of the Company.  4.4 Expense Reimbursement. During the Term, the Executive shall be  entitled to receive reimbursement for all appropriate business expenses incurred by her in  connection with her duties under this Agreement, in accordance with the policies of the Company  as in effect from time to time, and subject to the Company’s requirements with respect to reporting  and documentation of such expenses.    5. Termination of Employment.    5.1 Termination upon the Term Date by Executive’s Non-Renewal, By the  Company for Cause, by the Executive without Good Reason, or Due to Executive’s Death or  Disability. If the Executive’s employment terminates upon the Term Date, as applicable, due to  the Executive’s election of non-renewal or if during the Term: (i) the Company terminates the  Executive’s employment with the Company for Cause upon written notice; (ii) the Executive  terminates employment without Good Reason; (iii) the Company terminates the Executive’s  employment with the Company by reason of the Executive’s Disability upon written notice, or (iv)  the Executive’s employment terminates upon the Executive’s death, the Executive (or following  the Executive’s death, her estate) shall be entitled to receive the following:  (a) the Executive’s accrued but unpaid Base Salary through the date of  termination and any employee benefits, including accrued but unused vacation pay, that the  Executive is entitled to receive pursuant to the employee benefit plans of the Company (other than  any severance plans) in accordance with the terms of such employee benefit plans; and  

 

    (b) expenses reimbursable under Section 4.4 above incurred but not yet  reimbursed to the Executive to the date of termination (the items under Sections 5.1(a) and 5.1(b)  collectively, the “Accrued Benefits”).  (c) The Executive may only terminate her employment without Good  Reason by providing forty-five (45) days’ advance written notice (which notice period the  Company may shorten in its sole discretion and which shall not be deemed a termination without  Cause).  (d) As used in this Agreement, the following terms shall have the  meanings set forth below:  (1) “Cause” means, (A) the Executive’s conviction of a felony or any  crime involving dishonesty or theft; (B) the Executive’s conduct in connection with her  employment duties or responsibilities that is fraudulent, unlawful or grossly negligent; (C) the  Executive’s misconduct; (D) the Executive’s contravention of specific lawful directions of the  Board related to a material duty or responsibility; (E) the Executive’s material breach of the  Executive’s obligations under this Agreement; (F) any acts of dishonesty by the Executive  resulting or intending to result in personal gain or enrichment at the expense of the Company; or  (G) the Executive’s failure to comply with a material policy of the Company, including, but not  limited to, any policies prohibiting harassment or discrimination and any Code of Business  Conduct and Ethics, as in effect from time to time; provided, that the Company shall have ninety  (90) days from the occurrence of the event that constitutes Cause to provide notice to the Executive  that the Company intends to terminate the Executive’s employment for Cause. In the event the  Company determines facts exist to justify a Cause termination, the Executive shall be given at least  fifteen (15) days’ notice of such determination and a written explanation of the facts used by the  Board to justify Cause. The Executive shall then be given ten (10) days to cure same, if there is a  reasonably feasible way to cure, to the reasonable determination of the Board prior to any  termination.    (2) “Change in Control” means the occurrence of any one or more of  the following events:  (i) the consummation of a transaction, or a series of  related transactions undertaken with a common purpose, in which any individual, entity or group  (a “Person”), acquires ownership of stock of the Company that, together with stock held by such  Person, constitutes more than fifty percent (50%) of the total fair market value or total voting  power of the Company’s stock; or  (ii) a sale, lease, exchange or other transfer, in one  transaction or a series of related transactions undertaken with a common purpose, of the  Company’s assets having a total gross fair market value of forty percent (40%) or more of the total  gross fair market value of all of the assets of the Company. For this purpose, “gross fair market  value” means the value of the assets of the Company, or the value of the assets being disposed of,  determined without regard to any liabilities associated with such assets.  

 

    For purposes of this Agreement, a Change In Control will not include (1) a transaction in  which the holders of the outstanding voting securities of the Company immediately prior to the  transaction hold at least fifty percent (50%) of the outstanding voting securities of the successor  Company immediately after the transaction; (2) any transaction or series of transactions approved  by the Board principally for bona fide equity financing purposes in which cash is received by the  Company or any successor thereto or indebtedness of the Company is cancelled or converted or a  combination thereof; (3) a sale, lease, exchange or other transfer of all or substantially all of the  Company’s assets to a majority-owned Subsidiary; or (4) a transaction undertaken for the principal  purpose of restructuring the capital of the Company, including, but not limited to, reincorporating  the Company in a different jurisdiction.  Notwithstanding the foregoing, a “Change in Control” will only be deemed to occur if the  consummation of the corporate transaction meets the requirements of Treas. Reg. Section 1.409A- 3(a)(5).  (3) “Disability” means that, as a result of a permanent physical or  mental injury or illness, the Executive has been unable to perform the essential functions of her  job, with or without reasonable accommodation, for (a) 60 consecutive days or (b) a period of 150  days in any 12-month period. The Company shall make its determination in a reasonable manner  and shall take into consideration the opinion of Executive’s personal physician, if reasonably  available, and any other physician deemed appropriate by the Company, but such determination  by the Company shall be final and binding on the parties hereto.  This provision shall be interpreted  and applied in a manner consistent with all applicable laws, including laws regarding workers’  compensation, disability, and family and medical leave laws.  (4)   “Good Reason” means, without the Executive’s written consent:  (A) a reduction in the Executive’s Base Salary; (B) subject to Section 5.3 of this Agreement, a  substantial diminution in the Executive’s title, duties or responsibilities; (C) the Company’s breach  of any material covenant or obligation under this Agreement; or (D) relocation of the Executive’s  principal work location to a location outside of New York county; provided that the Company shall  have thirty (30) days after receipt of notice from the Executive in writing specifying the deficiency  to cure the deficiency that would result in Good Reason, to the extent curable; provided,  further, that the Executive delivered such written notice within 90 days after the first occurrence  of the action alleged to be Good Reason; and provided, further, that, if the Company has not cured  the deficiency before expiration of such 30-day period, Executive shall have resigned within ninety  (90) days thereafter.  5.2 By the Company Without Cause, by the Company’s Non-renewal of the  Term, or by the Executive with Good Reason. If at any time during the Term, the Company  terminates the Executive’s employment without Cause other than due to Disability, the Executive’s  employment terminates on the Term Date due to the Company non-renewal of the then-current  Term, or the Executive terminates her employment upon notice (except as described in the  definition of Good Reason) with Good Reason, other than following the occurrence of an event  that could reasonably be expected to result in a termination of her employment by the Company  for Cause, the Executive shall be entitled to receive:    (a) the Accrued Benefits; and  

 

    (b) beginning on the 60th day after such termination of employment, but  only if the Executive has executed and not revoked within the revocation period a valid release  agreement in a form reasonably acceptable to the Company (but which shall not release any right  to indemnification nor impose any further restrictive covenants), a severance payment in an  amount equal to the sum of (i) twelve (12) months of the Executive’s Base Salary in effect on the  date of such termination, (ii) an amount equal to the Annual Target Bonus in effect for the fiscal  year in which the date of such termination occurs, and (iii) an amount equal to the Annual Target  Bonus in effect for the fiscal year in which Executive’s employment terminates, pro-rated based  on the portion of such fiscal year prior to her termination date during which the Executive was  employed, which sum shall be payable in equal monthly installments for a period of twelve (12)  months; provided that, if (A) such termination occurs within twelve (12) months following a  Change in Control or (B) the Company terminates the Executive’s employment without Cause  other than due to Disability within ninety (90) days’ prior to a Change in Control and the Executive  reasonably demonstrates that such termination was at the request of the eventual acquirer in  connection with such Change in Control, such severance payment shall be in an amount equal to  the sum of (i) twenty-one (21) months of the Executive’s Base Salary in effect on the date of such  termination, and (ii) an amount equal to one hundred seventy-five percent (175%) of the Annual  Target Bonus in effect for the fiscal year in which the date of such termination occurs, payable in  equal monthly installments for a period of twenty-one (21) months. If not yet paid, Executive will  also receive in full any prior year’s Annual Bonus not yet paid as of the termination date, payable  on the normal payment date provided under the plan and paid entirely in cash. Payments that would  otherwise have been owed to the Executive prior to the 60th day after termination of employment  shall be made to the Executive on the 60th day after such termination of employment.  (c) In addition, if the Executive satisfies the release condition set forth  in the preceding paragraph, then from the date of her termination of employment until twelve (12)  months following the end of the month in which such termination occurs, the Company shall pay  the premiums for any “COBRA” continuation health coverage for which the Executive is eligible  during such 12-month period under Section 4980B of the Internal Revenue Code of 1986, as  amended (the “Code”) (or any successor provision); provided, however, COBRA payments that  would otherwise have been paid on behalf of the Executive prior to the 60th day after termination  of employment shall be paid by the Executive and reimbursed by the Company to the Executive  on the 60th day after such termination of employment.  5.3 Duties prior to Termination. Following a notice of termination of the  Executive’s employment hereunder from either Party and prior to the applicable date of  termination, the Company may (a) require the Executive to continue to perform the Executive’s  duties hereunder on the Company’s behalf, (b) limit or impose reasonable restrictions on the  Executive’s activities as it deems necessary, or (c) modify the Executive’s authorities,  responsibilities and/or duties (including as provided in Section 3.2 of this Agreement) without such  action constituting a violation of this Agreement or Good Reason.    5.4 Continued Employment Beyond the Expiration of the Term. Unless  the Parties otherwise agree in writing and except for those Accrued Benefits or severance  obligations owed under Section 5.1 or 5.2 above, in connection with any termination due to non- renewal, continuation of the Executive’s employment with the Company beyond the expiration of  the Term shall only occur if mutually agreed to by the Parties in writing, in which event her  

 

    employment shall be deemed an employment at-will and shall not be deemed to extend any of the  provisions of this Agreement and the Executive’s employment may thereafter be terminated at- will by either the Executive or the Company; provided that any provisions of this Agreement that  contemplate performance following the expiration of the Term shall survive not only any  termination of this Agreement but also the termination of the Executive’s employment hereunder,  including, without limitation, Sections 6, 7 and 8.12 of this Agreement.  5.5 Removal from Boards and Positions. If Executive’s employment terminates  for any reason, the Executive shall be deemed to resign (a) if a member, from the Board or boards  of directors to which he has been appointed or nominated by or on behalf of the Company and (b)  from any position with the Company and its subsidiaries and affiliates or any fiduciary positions  that he holds as a result thereof.  5.6 Remedies.  The rights and remedies set forth in this Section 5 are  Executive’s sole rights and remedies in the event of the termination of her employment, except for  any rights and remedies that are not waivable.    6. Restrictions and Obligations of the Executive.  6.1 Confidentiality.  (a) During the course of the Executive’s employment by the Company,  the Executive will have access to certain trade secrets and confidential information relating to the  Company, its subsidiaries and affiliates (the “Protected Parties”) which is not readily available  from sources outside the Company. The confidential and proprietary information and, in any  material respect, trade secrets of the Protected Parties are among their most valuable assets,  including but not limited to, their customer, supplier and vendor lists, databases, competitive  strategies, computer programs, frameworks, or models, their marketing programs, their sales,  financial, marketing, training and technical information, and any other information, whether  communicated orally, electronically, in writing or in other tangible forms concerning how the  Protected Parties create, develop, acquire or maintain their products and marketing plans, target  their potential customers and operate their businesses. The Protected Parties invested, and continue  to invest, considerable amounts of time and money in their process, technology, know-how,  obtaining and developing the goodwill of their customers, their other external relationships, their  data systems and data bases, and all the information described above (hereinafter collectively  referred to as “Confidential Information”), and any misappropriation or unauthorized disclosure  of Confidential Information in any form would irreparably harm the Protected Parties. The  Executive acknowledges that such Confidential Information constitutes valuable, highly  confidential, special and unique property of the Protected Parties. The Executive shall hold in a  fiduciary capacity for the benefit of the Protected Parties all Confidential Information relating to  the Protected Parties and their businesses, which shall have been obtained by the Executive during  the Executive’s employment by the Company and which shall not be or become public knowledge  (other than by acts by the Executive or representatives of the Executive in violation of this  Agreement). During the period the Executive is employed by the Company and at any time  thereafter, the Executive shall not disclose any Confidential Information, directly or indirectly, to  any person or entity for any reason or purpose whatsoever, nor shall the Executive use it in any  way, except (i) in the course of the Executive’s employment with, and for the benefit of, the  

 

    Protected Parties, (ii) to enforce any rights or defend any claims hereunder or under any other  agreement to which the Executive is a party with any Protected Party, provided that such  disclosure is relevant to the enforcement of such rights or defense of such claims and is only  disclosed in the formal proceedings related thereto, (iii) when required to do so by a court of law,  by any governmental agency having supervisory authority over the business of any of the Protected  Parties or by any administrative or legislative body (including a committee thereof) with  jurisdiction to order her to divulge, disclose or make accessible such information, provided that,  to the extent permitted by law, the Executive shall give prompt written notice to the Company of  such requirement, disclose no more information than is so required, and cooperate with any  attempts by any Protected Party (coordinated in all events through the Company) to obtain a  protective order or similar treatment, (iv) as to such Confidential Information that becomes  generally known to the public without her violation of this Section 6.1(a), or (v) to the Executive’s  spouse, attorney, and/or her personal tax and financial advisors as reasonably necessary or  appropriate to advance the Executive’s tax, financial and other personal planning (each  an “Exempt Person”), provided, however, that any disclosure or use of Confidential Information  by an Exempt Person other than the exceptions set forth in (i)-(iv) above shall be deemed to be a  breach of this Section 6.1(a) by the Executive. The Executive shall take all reasonable steps to  safeguard the Confidential Information and to protect it against disclosure, misuse, espionage, loss  and theft. The Executive understands and agrees that the Executive shall acquire no rights to any  such Confidential Information. For the sake of clarity, the Executive may retain documentation  concerning her employment terms and compensation without violation of any section herein.  (b) All files, records, documents, drawings, specifications, data,  computer programs, evaluation mechanisms and analytics and similar items relating thereto or to  the Business (for the purposes of this Agreement, “Business” shall be as defined in Section 6.4  hereof), as well as all customer lists, specific customer information, compilations of product  research and marketing techniques of any of the Protected Parties, whether prepared by the  Executive or otherwise coming into the Executive’s possession, shall remain the exclusive  property of the Protected Parties.  (c) It is understood that while employed by the Company, the Executive  shall promptly disclose to it, and assign to it the Executive’s interest in any invention, improvement  or discovery made or conceived by the Executive, either alone or jointly with others, which arises  out of the Executive’s employment. At the Company’s request and expense, the Executive shall  assist any Protected Party during the period of the Executive’s employment by the Company and  thereafter (but subject to reasonable notice and taking into account the Executive’s schedule) in  connection with any controversy or legal proceeding relating to such invention, improvement or  discovery and in obtaining domestic and foreign patent or other protection covering the same.  (d) The Executive understands that nothing contained in this Agreement  limits the Executive’s ability to file a charge or complaint with the Equal Employment Opportunity  Commission, the National Labor Relations Board, the Securities and Exchange Commission or  any other federal, state or local governmental agency or commission (each, a “Government  Agency”). The Executive further understands that this Agreement does not limit the Executive’s  ability to communicate with any Government Agency, including to report possible violations of  federal law or regulation or making other disclosures that are protected under the whistleblower  provisions of applicable federal, state or local law or regulation, or otherwise participate in any  

 

    investigation or proceeding that may be conducted by any Government Agency, including  providing documents or other information, without notice to the Company.  (e) This Agreement does not limit the Executive’s right to receive an  award for information provided to any Government Agency. The Executive will not be criminally  or civilly liable under any federal or state trade secret law for the disclosure of a trade secret that  (i) is made (x) in confidence to a federal, state, or local government official, either directly or  indirectly, or to an attorney; and (y) solely for the purpose of reporting or investigating a suspected  violation of law; or (ii) is made in a complaint or other document filed in a lawsuit or other  proceeding, if such filing is made under seal.  6.2 Cooperation. During the period the Executive is employed by the Company  and thereafter, the Executive shall cooperate with any investigation or inquiry by the Company or  any governmental or regulatory agency or body that relates to the operations of a Protected Party  during the period of the Executive’s employment by the Company; provided that any such  cooperation shall take into account the Executive’s then current business and other obligations.  Employee shall be reimbursed all out of pocket reasonable costs incurred by way of any such  cooperation.  6.3 Non-Solicitation or Hire. During the period the Executive is employed  by the Company and for a period following the termination of the Executive’s employment for any  reason equal to the longer of either (a) one (1) year following the Executive’s termination of  employment and (b) the applicable period during which the severance payments are scheduled to  be paid pursuant to Section 5.2(b) (such longer period, the “Restricted Period”), the Executive  shall not (i) directly or indirectly solicit, attempt to solicit or induce (x) any party who is a customer  of a Protected Party, who was a customer of a Protected Party at any time during the twelve (12)  month period immediately prior to the date the Executive’s employment terminates or who was a  prospective customer that has been identified and targeted by a Protected Party immediately prior  to the date the Executive’s employment terminates, for the purpose of marketing, selling or  providing to any such party any services or products offered by or available from a Protected Party  on the date the Executive’s employment terminates, or (y) any supplier or prospective supplier to  a Protected Party as of the date the Executive’s employment terminates to terminate, reduce or  alter negatively its relationship with the Protected Party or in any manner interfere with any  agreement or contract between the Protected Party and such supplier, or (ii) directly or indirectly  solicit or induce any current employee of a Protected Party or any person who was an employee  of a Protected Party during the twelve (12) month period immediately prior to the date the  Executive’s employment terminates to terminate such employee’s employment relationship with  a Protected Party in order, in either case, to enter into a similar relationship with the Executive, or  any other person or any entity.  6.4 Non-Competition. During the Restricted Period, the Executive shall  not, without the Company’s prior written consent, whether individually, as a director, manager,  member, stockholder, partner, owner, employee, consultant or agent of any business, or in any  other capacity, other than on behalf of a Protected Party, organize, establish, own, operate, manage,  control, engage in, participate in, invest in, permit her name to be used by, act as a consultant or  advisor to, render services for (alone or in association with any person, firm, corporation or  business organization), or otherwise engage in the business of providing financial products or  

 

    services to Taft-Hartley employee benefit plans, labor unions, employee benefit plans associated  with labor unions in any manner, or other entities associated or affiliated with labor unions  (the “Business”). Notwithstanding the foregoing, nothing in this Agreement shall prevent the  Executive from (a) owning for passive investment purposes not intended to circumvent this  Agreement, less than three percent (3%) of the publicly traded common equity securities of any  company engaged in the Business (so long as the Executive has no power to manage, operate,  advise, consult with or control the competing enterprise and no power, alone or in conjunction  with other affiliated parties, to select a director, manager, general partner, or similar governing  official of the competing enterprise other than in connection with the normal and customary voting  powers afforded the Executive in connection with any permissible equity ownership) or (b) being  employed by or otherwise associated with (including as a director) an organization or entity of  which a subsidiary, division, segment, unit, etc. is engaged in the Business (a “Competing  Division”), including in a position to which employees of the Competing Division report, directly  or indirectly, provided that the Executive has no direct responsibilities with such Competing  Division other than having general responsibility for the operation of such Competing Division.  For the avoidance of doubt, the Executive may be an officer of a bank or investment advisor or a  union or related organization that engages in the Business, provided that the Executive is not  directly employed in, or working in, the Competing Division.  6.5 Property. The Executive acknowledges that all originals and copies  of materials, records and documents generated by her or coming into her possession during her  employment by the Company (prior to or during the Term) are the sole property of the Company  or its subsidiaries or affiliates (“Company Property”). During the period the Executive is employed  by the Company, and at all times thereafter, the Executive shall not remove, or cause to be  removed, from the premises of the Company or any of its subsidiaries or affiliates, copies of any  record, file, memorandum, document, computer related information or equipment, or any other  item relating to the business of the Company, except in furtherance of her duties under this  Agreement. When the Executive’s employment with the Company terminates, or upon request of  the Company at any time, the Executive shall promptly deliver to the Company all copies of  Company Property in her possession or control.  6.6 Non-disparagement. The Executive agrees that he shall not, during  the period the Executive is employed by the Company and at any time thereafter, publish or  communicate to any person or entity any Disparaging remarks, comments or statements  concerning the Company and its directors, officers, shareholders, employees, agents, attorneys,  successors and assigns and the Company agrees that during the period the Executive is employed  by the Company and at any time thereafter, it shall not, and it shall use its reasonable efforts to  cause its directors and officers not to, publish or communicate to any person or entity any  Disparaging remarks, comments or statements concerning the Executive; provided, however, that  nothing contained in this Section 6.6 shall preclude either Party from providing truthful testimony  in connection with a valid subpoena, court order, regulatory request, other legal proceeding, or as  may be required by law. “Disparaging” remarks, comments or statements are those that impugn  the character, honesty, integrity or morality of the individual or entity being disparaged.  6.7 Reasonableness of Covenants. The Parties agree that the duration and  area for which the covenants set forth in this Section 6 apply are reasonable. In the event that any  arbitrator or court of competent jurisdiction determines that the time period or the area or both are  

 

    unreasonable and any such covenant is to that extent unenforceable, the Company and the  Executive agree that such covenant shall be modified to remain in full force and effect for the  greatest time period and in the greatest area that would not render it unenforceable.  6.8 Remedies; Specific Performance. The Parties acknowledge and agree that  the Executive’s breach or threatened breach of any of the restrictions set forth in Section 6 or the  Company’s breach or threatened breach of the restrictions set forth in Section 6.6 shall result in  irreparable and continuing damage to the Protected Parties or the Executive for which there may  be no adequate remedy at law and that the Protected Parties or the Executive shall be entitled to  seek equitable relief, including specific performance and injunctive relief as remedies for any such  breach or threatened or attempted breach, without requiring the posting of a bond. The Parties  hereby consent to the grant of an injunction (temporary or otherwise) against the other Party or the  entry of any other court order against the other party prohibiting and enjoining her or it from  violating, or directing her or it to comply with any provision of Section 6. The Parties also agree  that such remedies shall be in addition to any and all remedies, including damages, available to the  Protected Parties or the Executive for such breaches or threatened or attempted breaches.  7.  Other Provisions.  7.1 Notices. Any notice or other communication required or which may  be given hereunder shall be in writing and shall be delivered personally, sent by facsimile  transmission or sent by certified, registered or express mail, postage prepaid or overnight mail and  shall be deemed given when so delivered personally, or sent by facsimile transmission or, if mailed,  four (4) business days after the date of mailing or one (1) business day after overnight mail,  addressed to such party at the address set forth below or such other address as may hereafter be  designated in writing by the addressee as follows:  (a) If the Company, to:    Amalgamated Bank   275 Seventh Avenue   New York, New York 10001   Attention: Chairman of the Board   Telephone: (212) 255-6200   Fax: (212) 895-4428  With a copy to:  Amalgamated Financial Corp.  275 Seventh Avenue  New York, New York 10001  Attention: General Counsel  Telephone: (212) 895 4431  (b) If the Executive, to the Executive’s home address reflected in the  Company’s records.  

 

    7.2  Entire Agreement. This Agreement, together with the other agreements  referenced herein, contain the entire understanding of the Parties with respect to the subject matter  hereof and thereof and supersede all prior and contemporaneous oral or written agreements,  negotiations, understandings, statements or proposals with respect to the subject matter hereof and  thereof.  7.3 Representations and Warranties. The Executive represents and  warrants that he is not a party to or subject to any restrictive covenants, legal restrictions or other  agreements in favor of any entity or person which could preclude, inhibit, impair or limit the  Executive’s ability to perform her obligations under this Agreement, including, but not limited to,  non-competition agreements, non-solicitation agreements or confidentiality agreements. The  Company represents and warrants that (a) it has full corporate power and authority to execute and  deliver this Agreement and to perform its obligations contemplated hereunder, (b) it has taken all  corporate action necessary to authorize the execution and performance of this Agreement, (c) it  has obtained all required regulatory or other consents as may be necessary or appropriate to permit  it to enter into this Agreement and (d) this Agreement has been duly executed and delivered by it  and, assuming due authorization, execution, and delivery of this Agreement by the Executive, is  the legal, valid and binding obligation of the Company enforceable against the Company in  accordance with its terms.  7.4 Waiver and Amendments. This Agreement may be modified, amended,  superseded, canceled, renewed or extended, and the terms and conditions hereof may be waived,  only by a written instrument signed by the Parties or, in the case of a waiver, by the party waiving  compliance. No delay on the part of any party in exercising any right, power or privilege hereunder  shall operate as a waiver thereof, nor shall any waiver on the part of any right, power or privilege  hereunder, nor any single or partial exercise of any right, power or privilege hereunder, preclude  any other or further exercise thereof or the exercise of any other right, power or privilege  hereunder.  7.5 Governing Law, Dispute Resolution and Venue.  (a) This Agreement shall be governed and construed in accordance with  the laws of New York applicable to agreements made and to be performed entirely within such  state, without regard to conflicts of laws principles, unless superseded by federal law.  (b) Any controversy or claim arising out of or relating to this Agreement  or the breach hereof or otherwise arising out of the Executive’s employment or the termination of  that employment (including, without limitation, any claims of unlawful employment  discrimination whether based on age or otherwise) shall, to the fullest extent permitted by law, be  settled by arbitration in any forum and form agreed upon by the parties or, in the absence of such  an agreement, under the auspices of the American Arbitration Association (“AAA”) in New York,  New York in accordance with the Employment Dispute Resolution Rules of the AAA, including,  but not limited to, the rules and procedures applicable to the selection of arbitrators, except that  the arbitrator shall apply the law as established by decisions of the U.S. Supreme Court, the Court  of Appeals for the Second Circuit and the U.S. District Court for the Southern District of New  York in deciding the merits of claims and defenses under federal law (including without limitation  any federal antidiscrimination law). The Company and the Executive specifically agree that the  

 

    arbitrator may award injunctive relief. In the event that any person or entity other than the  Executive or the Company may be a party with regard to any such controversy or claim, such  controversy or claim shall be submitted to arbitration subject to such other person or entity’s  agreement. Judgment upon the award rendered by the arbitrator may be entered in any court having  jurisdiction thereof. The parties covenant that they shall participate in the arbitration in good faith.  Each party to any arbitration proceeding shall bear its or her own costs and expenses in connection  therewith, except as permitted by law or otherwise ordered by the arbitrator in such proceeding.  Notwithstanding the foregoing, this Section 7.5 shall not preclude any party hereto from pursuing  a court action pursuant to Section 6 or otherwise for the sole purpose of obtaining a temporary  restraining order or a preliminary injunction.  7.6 Assignability by the Company and the Executive. This Agreement, and the  rights and obligations hereunder, may not be assigned by the Company or the Executive without  written consent signed by the other party; provided that the Company may assign this Agreement  to any successor that continues the business of the Company, including any person or entity that  acquires all or substantially all of the assets of the Company.  7.7 Counterparts. This Agreement may be executed in counterparts, each  of which shall be deemed an original but all of which shall constitute one and the same instrument.  7.8 Headings. The headings in this Agreement are for convenience of reference  only and shall not limit or otherwise affect the meaning of terms contained herein.  7.9 Severability. If any term, provision, covenant or restriction of  this Agreement, or any part thereof, is held by a court of competent jurisdiction of any foreign,  federal, state, county or local government or any other governmental, regulatory or administrative  agency or authority to be invalid, void, unenforceable or against public policy for any reason, the  remainder of the terms, provisions, covenants and restrictions of this Agreement shall remain in  full force and effect and shall in no way be affected or impaired or invalidated. The Executive  acknowledges that the restrictive covenants contained in Section 6 are a condition of this  Agreement and are reasonable and valid in temporal scope and in all other respects.  7.10 Tax Withholding. The Company or other payor is authorized to withhold  from any benefit provided or payment due hereunder, the amount of withholding taxes due any  federal, state or local authority in respect of such benefit or payment and to take such other action  as may be necessary in the opinion of the Board to satisfy all obligations for the payment of such  withholding taxes.  7.11 Tax Advice.  Executive acknowledges that no representative or agent of the  Company has provided her with any tax advice of any nature, and Executive has had the  opportunity to consult with her own legal, tax and financial advisors as to tax and related matters  concerning the compensation to be received under this Agreement.  7.12 Indemnification and Insurance. The Executive shall be indemnified in  accordance with the Company’s certificate of incorporation, by-laws, and policies and to the fullest  extent permitted by, and in accordance with, applicable law. The Company agrees that it shall  promptly move to ensure that the Executive is insured under the Company’s Directors’ and  

 

    Officers’ liability insurance policy (including Side A coverage). Subject to the requirements of  applicable law, the Company shall indemnify the Executive on a current basis and to the extent  the Company acquires insurance to cover all or part of the Company’s indemnification obligations,  the Company shall ensure that amounts paid in respect of such insurance are paid on a current  basis.  7.13 Section 409A. This Agreement is intended to comply with Code Section  409A to the extent subject thereto and shall be interpreted and administered in compliance  therewith. Any term used in this Agreement which is defined in Code Section 409A or the  regulations promulgated thereunder (the “Regulations”) shall have the meaning set forth therein  unless otherwise specifically defined herein. For purposes of determining the timing of payment  of any obligations to pay nonqualified deferred compensation (within the meaning of Code Section  409A) under this Agreement that arise in connection with the Executive’s “termination of  employment,” “termination” or other similar references, references to termination of employment  or similar references shall mean a “separation from service” within the meaning of §1.409A-l(h)  of the Regulations. Notwithstanding any other provision of this Agreement, if at the time of such  “separation from service”, the Executive is a “specified employee,” as defined in Code Section  409A or the Regulations, and any payments upon such termination under this Agreement hereof  shall result in additional tax or interest to the Executive under Code Section 409A, Executive shall  not be entitled to receive such payments until the date which is six (6) months after the termination  of the Executive’s employment for any reason or, if earlier, the date of the Executive’s death. Each  amount to be paid or benefit to be provided to the Executive under this Agreement that constitutes  nonqualified deferred compensation subject to Code Section 409A shall be construed as a separate  identified payment for purposes of Code Section 409A. If any expense reimbursement payable to  the Executive under this Agreement is determined to be “nonqualified deferred compensation”  within the meaning of Code Section 409A, including, without limitation any reimbursement under  Section 4.4, then the reimbursement shall be made to the Executive as soon as practicable after  submission for the reimbursement, but no later than December 31 of the year following the year  during which such expense was incurred. Any offset, recoupment or clawback provided by Section  7.14 or 7.15, or otherwise permitted in this Agreement, shall be applied to the maximum extent  possible to comply with Code Section 409A. In addition, if the Parties become aware that any  provision of this Agreement could reasonably be expected to subject the Executive to any  additional tax or interest under Code Section 409A, then the Company and the Executive agree to  act in good faith to reform such provision; provided that any such reform shall (x) maintain, to the  maximum extent practicable, the original intent of the applicable provision without subjecting the  Executive to such additional tax or interest, and (y) not incur any additional compensation expense  as a result of such reformation. Notwithstanding the foregoing, the Company does not represent,  warrant or guarantee that any payments that may be made pursuant to this Agreement will not  result in inclusion in Executive’s gross income, or any penalty, pursuant to Section 409A(a)(1) of  the Code or any similar state or local statute or regulation.  7.14 Golden Parachute Provisions.  (a) Anything in this Agreement to the contrary notwithstanding, if any  payment or benefit to the Executive under this Agreement or otherwise would be a “golden  parachute payment” or “indemnification payment” within the meaning of Section 18(k) of the  Federal Deposit Insurance Act, such payment or benefit shall not be made unless permitted under  

 

    applicable law. The Company shall use best efforts promptly to apply to the appropriate federal  banking agency for a determination that any golden parachute payment is permissible.  (b) In the event that the benefits provided for in the Agreement, when  aggregated with any other payments or benefits received by the Executive (the “Aggregate  Benefits”), would (i) constitute “parachute payments” within the meaning of Section 280G of the  Code, and (ii) would be subject to the excise tax imposed by Section 4999 of the Code (the “Excise  Tax”), then the Executive’s Aggregate Benefits will be either: (a) delivered in full, or (b) delivered  as to such lesser extent as would result in no portion of such Aggregate Benefits being subject to  the Excise Tax, whichever of the foregoing amounts, taking into account the applicable federal,  state and local income taxes and the Excise Tax, results in the receipt by the Executive on an after- tax basis of the greatest amount of Aggregate Benefits, notwithstanding that all or some portion of  such Aggregate Benefits may be taxable under Section 4999 of the Code. Unless the Company  and the Executive otherwise agree in writing, any determination required under this paragraph will  be made in writing by an independent certified public accounting firm mutually agreeable to the  Company and the Executive (the “Accounting Firm”) whose determination will be conclusive and  binding upon Executive and the Company for all purposes. For purposes of making the calculations  required by this paragraph, the Accounting Firm may make reasonable assumptions and  approximations concerning applicable taxes and may rely on reasonable, good faith interpretations  concerning the application of Sections 280G and 4999 of the Code. The Company and the  Executive will furnish to the Accounting Firm such information and documents as the Accounting  Firm may reasonably request in order to make a determination under this paragraph. To the extent  any reduction in Aggregate Benefits is required by this paragraph, Aggregate Benefits shall be  reduced or eliminated in reverse order of time of payment (that is, Aggregate Benefits payable  later shall be reduced or eliminated before any reduction or elimination of Aggregate Benefits  payable sooner), Aggregate Benefits payable at the same time shall be reduced or eliminated in  accordance with the Executive’s instructions provided the Company has no reasonable objection  thereto, and all reductions or eliminations shall be based on the value of the Aggregate Benefits  established for purposes of the determination required under this paragraph. All fees and expenses  of the Accounting Firm shall be borne solely by the Company.  (c) The provisions of this Agreement are subject to and shall be  interpreted to be consistent with Applicable Law, which terms control over the terms of this  Agreement in the event of a conflict between Applicable Law and this Agreement.  Notwithstanding anything herein to the contrary, no payment or benefit shall be paid or provided  to the Executive or be vested or accrued if any such payment or benefit, vesting or accrual would  violate Applicable Law and, to the extent any such payment or benefit that has been paid, provided,  vested or accrued is determined to be in violation of Applicable Law, any such payment or benefit  shall be subject to recoupment or cancellation. In the event of any such violation, the Executive  and the Company shall cooperate in good faith to endeavor to meet the requirements of Applicable  Law in a manner that preserves to the greatest extent possible the intent and purposes of this  Amendment. “Applicable Law” means the laws, statutes, rules, regulations, treaties, directives,  guidelines, ordinances, codes, administrative or judicial precedents or authorities and orders of any  Governmental Authority, as well as the interpretation or administration thereof by any  Governmental Authority charged with the enforcement, interpretation or administration thereof,  and all applicable administrative orders, decisions, judgments, directed duties, requests, licenses,  authorizations, decrees and permits of, and agreements with any Governmental Authority, to which  

 

    the Company or the Executive are a party or by which the Company or the Executive are bound,  in each case whether or not having the force of law, and all orders, decisions, judgments, and  decrees of all courts or arbitrators in proceedings or actions to which the Company or the Executive  are a party or by which the Company or the Executive are bound. “Governmental  Authority” means the United States of America, any state or territory thereof and any federal, state,  provincial, city, town, municipality, county or local authority, including without limitation, the  Federal Deposit Insurance Corporation, the New York State Department of Financial Services,  and any board, bureau, instrumentality, agency or other entity exercising executive, legislative,  judicial, taxing, regulatory or administrative powers or functions of or pertaining to government.  7.15 Claw-Back and Forfeiture. This Agreement and any Annual Bonus, Equity  Plan or other incentive or performance-based compensation paid or payable to the Executive  pursuant to this Agreement or under any other plan or arrangement adopted by the Company  (collectively, “Incentive Compensation”) shall be subject in all respects to the Company’s Policy  on Sound Executive Compensation and any other compensation claw-back or forfeiture policy  implemented by the Company from time to time and applicable to all officers of the Company on  the same terms and conditions, including without limitation, any such policy adopted to comply  with the requirements of applicable law or the rules and regulations of any stock exchange  applicable to the Company, and any revisions or amendments to any of the foregoing policies  adopted by the Company from time to time and applicable to all officers of the Company on the  same terms and conditions (collectively, the “Claw-Back Policy”). The Executive acknowledges  and agrees that, if the Company is permitted to and does affirmatively effect a claw-back or  forfeiture of Incentive Compensation pursuant to the Claw-Back Policy, the Company shall be  entitled to recover or retain any Incentive Compensation paid or payable to the Executive in  accordance with the terms and conditions of the Claw-Back Policy.  7.16 Execution.  This Agreement may be executed in several counterparts  (including counterparts by email, facsimile, portable document format (pdf) or any electronic  signature complying with the U.S. federal ESIGN Act of 2000 (including DocuSign)), each of  which shall be deemed an original and all of which shall together constitute one and the same  instrument.   7.17 Legal Representation and Independent Review. Executive acknowledges  that he was advised to consult with, and has had ample opportunity to receive the advice of,  independent legal counsel before executing this Agreement – and the Company hereby advises  Executive to do so – and that Executive has fully exercised that opportunity to the extent he desired.  Executive acknowledges that he had ample opportunity to consider this Agreement and to receive  an explanation from such legal counsel of the legal nature, effect, ramifications, and consequences  of this Agreement.  Executive warrants that he has carefully read this Agreement, that he  understands completely its contents, that he understands the significance, nature, effect, and  consequences of signing it, and that he has agreed to and signed this Agreement knowingly and  voluntarily of her own free will, act, and deed, and for full and sufficient consideration.    IN WITNESS WHEREOF, the Parties hereto, intending to be legally bound hereby, have executed  this Agreement as of the day and year first above mentioned.  

 

    EXECUTIVE:    _________________________________  Mandy Tenner, an individual  COMPANY:  AMALGAMATED FINANCIAL CORP.    By:__________________________________        Name:        Title:    Priscilla Sims Brown President & CEOeresu-ex101_9.htm

Exhibit 10.1

 

SPONSOR SUPPORT AGREEMENT

August 30, 2022

East Resources Acquisition Company
7777 NW Beacon Square Boulevard

Boca Raton, Florida 33487

 

Abacus Settlements, LLC

2101 Park Center Drive, Suite 2200

Orlando, Florida 32835

and

 

Longevity Market Assets, LLC

2101 Park Center Drive, Suite 2200

Orlando, Florida 32835

 

Ladies and Gentlemen: 

Reference is made to that certain Agreement and Plan of Merger, dated as of the date hereof (as it may be amended, restated or otherwise modified from time to time in accordance with its terms, the “Merger Agreement”), by and among East Resources Acquisition Company, a Delaware corporation (“Parent”), LMA Merger Sub, LLC, a Delaware limited liability company (“LMA Merger Sub”), Abacus Merger Sub, LLC, a Delaware limited liability company (“Abacus Merger Sub” and, together with LMA Merger Sub and Parent, the “Parent Parties”), Longevity Market Assets, LLC, a Florida limited liability company (“LMA”), and Abacus Settlements, LLC, a Florida limited liability company (“Abacus” and, together with LMA, the “Companies”). This sponsor support agreement (this “Sponsor Support Agreement”) is being entered into and delivered by the Companies, Parent and East Sponsor, LLC, a Delaware limited liability company (“ERES Sponsor”), in connection with the transactions contemplated by the Merger Agreement. Capitalized terms used, but not defined, herein shall have the meanings ascribed to such terms in the Merger Agreement.

In consideration of the foregoing and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Sponsor, Parent and the Companies hereby agree that:

1.Waiver of Anti-dilution Protection. ERES Sponsor hereby, automatically and without any further action by ERES Sponsor or Parent, irrevocably (a) waives any adjustment to the conversion ratio set forth in Parent’s Organizational Documents and any rights to other anti-dilution protections pursuant to Parent’s Organizational Documents or otherwise, and (b) agrees not to assert or perfect any rights to adjustment or other anti-dilution protections, in each case, with respect to the rate that all of the shares of Parent’s Class B Common Stock, par value $0.0001 per share (“Parent Class B Common Stock”), held by ERES Sponsor convert into shares of Parent’s Class A Common Stock, par value $0.0001 per share (“Parent Class A Common Stock” and, 

 

 

together with the Parent Class B Common Stock, the “Parent Common Stock”), in connection with the consummation of the transactions contemplated by the Merger Agreement.

2.New Shares. If, between the date of this Sponsor Support Agreement and the Closing, (a) any shares of Parent Common Stock, Parent Private Warrants, Parent Public Warrants or other equity interests of Parent are issued to ERES Sponsor or the outstanding shares of Parent Common Stock or, if applicable, Parent Private Warrants or Parent Public Warrants owned by ERES Sponsor shall have been changed into a different number of shares or a different class, by reason of any dividend, subdivision, reclassification, recapitalization, split, combination or exchange, or any similar event, (b) ERES Sponsor purchases or otherwise acquires beneficial ownership of any shares of Parent Common Stock, Parent Private Warrants, Parent Public Warrants or other equity interests of Parent or (c) ERES Sponsor acquires the right to vote or share in the voting of any shares of Parent Common Stock, Parent Private Warrants, Parent Public Warrants or other equity interests of Parent (such Parent Common Stock, Parent Public Warrants, Parent Private Warrants or other equity interests of Parent issued or acquired by ERES Sponsor pursuant to the foregoing clauses (a), (b) or (c), collectively “New Securities”), then such New Securities issued to or acquired or purchased by ERES Sponsor shall be subject to the terms of this Sponsor Support Agreement to the same extent as if they constituted Sponsor Securities (as defined below) as of the date hereof, and the number of shares of Parent Common Stock to be terminated, forfeited, surrendered, subject to vesting and cancelled pursuant to this Sponsor Support Agreement will be equitably adjusted to reflect such change; provided, however, that nothing in this Section 2 shall be construed to permit Parent to take any action with respect to its securities that is prohibited by the terms and conditions of the Merger Agreement.

3.No Transfer. During the period commencing on the date hereof and ending on the earlier of (a) the Effective Time, (b) the termination of the Merger Agreement in accordance with its terms and (c) the liquidation of Parent, ERES Sponsor shall not, directly or indirectly, (i) sell, offer to sell, contract or agree to sell, hypothecate, pledge, grant a security interest in or lien on, grant any option to purchase or otherwise dispose of or agree to dispose of, file (or participate in the filing of) a registration statement with the SEC or establish or increase a put equivalent position or liquidate or decrease a call equivalent position within the meaning of Section 16 of the Exchange Act, with respect to any shares of Parent Common Stock, Parent Private Warrants, Parent Public Warrants or other equity interests of Parent owned by ERES Sponsor, (ii) enter into any swap or other arrangement that Transfers to another, in whole or in part, any of the economic consequences of ownership of any shares of Parent Common Stock, Parent Private Warrants, Parent Public Warrants or other equity interests of Parent owned by ERES Sponsor or (iii) take any action in furtherance of or announce any intention to, in each case, effect any transaction specified in clause (i) or (ii). ERES Sponsor agrees not to, directly or indirectly, deposit any of the Sponsor Securities in a voting trust, enter into a voting trust or subject any of the Sponsor Securities to any arrangement with respect to the voting of such Sponsor Securities other than this Sponsor Support Agreement. Any Transfer or attempted Transfer of Sponsor Securities in violation of this Section 3 shall be, to the fullest extent permitted by applicable Law, null and void ab initio.  For purposes of this Sponsor Support Agreement, “Transfer” shall mean the (i) sale of, offer to sell, contract or agreement to sell, hypothecate, pledge, grant a security interest in or lien on, grant of any option to purchase or otherwise dispose of or agreement to dispose of, directly or indirectly, or establishment or increase of a put equivalent position or liquidation with respect to or decrease of a call equivalent position within the meaning of Section 16 of the Exchange Act with respect to, 

2

 

any limited liability company interest or security, (ii) entry into any swap or other arrangement that transfers to another, in whole or in part, any of the economic consequences of ownership of any limited liability company interest or security, whether any such transaction is to be settled by delivery of such securities, in cash or otherwise, or (iii) public announcement of any intention to effect any transaction specified in clause (i) or (ii).

4.No Solicitation. During the period commencing on the date hereof and ending on the earlier of (a) the Effective Time, (b) the termination of the Merger Agreement in accordance with its terms and (c) the liquidation of Parent, ERES Sponsor shall not, and ERES Sponsor shall not authorize or (to the extent within its control) permit any of its directors, officers, employees, agents or representatives to, directly or indirectly, (i) knowingly encourage, initiate, solicit or facilitate, offer or make any offers or proposals related to a Business Combination, (ii) enter into, engage in or continue any discussions or negotiations with respect to any Business Combination with, or provide any non-public information, data or access to employees to, any Person that has made, or that is considering making, a proposal with respect to a Business Combination, or (iii) enter into any agreement (whether or not binding) relating to a Business Combination, in each case, other than to or with the Companies and their respective Representatives. From and after the date hereof, ERES Sponsor shall, and shall instruct its officers and directors to, and ERES Sponsor shall instruct and cause its Representatives, its Subsidiaries and their respective Representatives to, immediately cease and terminate all discussions and negotiations with any Persons that may be ongoing with respect to an Acquisition Proposal (other than the Company, its Subsidiaries and their respective Representatives). ERES Sponsor shall promptly notify the Company of any submissions, proposals or offers made with respect to a Business Combination as soon as practicable following ERES Sponsor’s awareness thereof.

5.Sponsor PIK Note. ERES Sponsor agrees that, in the event that immediately prior to the Closing, the Aggregate Transaction Proceeds are less than $1,000,000 (the “Minimum Cash Amount”), it shall make an unsecured loan to Parent (in substantially the form attached hereto as Exhibit A, the “Sponsor PIK Note”) in an amount (the “Sponsor PIK Note Amount”) equal to the lesser of (a) the difference between the Minimum Cash Amount and the Aggregate Transaction Proceeds and (b) the sum of the Parent Transaction Expenses, the Company Transaction Expenses and the Working Capital Loan Amount; provided, however, that the Sponsor PIK Note Amount shall not exceed an amount equal to the sum of (x) the Parent Transaction Expenses, (y) the Company Transaction Expenses and (z) the Working Capital Loan Amount, unless otherwise agreed by ERES Sponsor in its sole discretion.  

6.Representations and Warranties. ERES Sponsor hereby represents and warrants to the Companies as follows:

(a)ERES Sponsor owns free and clear of all Liens (other than transfer restrictions under applicable securities Laws) (i) 8,615,000 shares of Parent Class B Common Stock and (ii) 8,900,000 Private Placement Warrants (the “Sponsor Securities”). ERES Sponsor has, and will have at all times during the term of this Sponsor Support Agreement, the sole voting power with respect to the Sponsor Securities. The Sponsor Securities are the only equity securities in Parent owned of record or beneficially by Sponsor on the date of this Sponsor Support Agreement, and none of the Sponsor Securities are subject to any proxy, voting trust or other agreement or arrangement with respect to the 

3

 

voting of the Sponsor Securities, except as provided hereunder and pursuant to that certain Letter Agreement, dated as of July 23, 2020, by and among Parent, ERES Sponsor and Parent’s directors and officers. ERES Sponsor does not hold or own any rights to acquire (directly or indirectly) any equity interests of Parent or any equity securities convertible into, or which can be exchanged for, equity securities of Parent.

(b)ERES Sponsor has been duly formed and is validly existing as a limited liability company and in good standing under the Laws of its jurisdiction of formation, and has the requisite power and authority to own, lease or operate all of its properties and assets and to conduct its business as it is now being conducted. ERES Sponsor has all requisite power and authority to execute and deliver this Sponsor Support Agreement and to consummate the transactions contemplated hereby and to perform all of its obligations hereunder. The execution and delivery of this Sponsor Support Agreement have been, and the consummation of the transactions contemplated hereby has been, duly authorized by all requisite action by ERES Sponsor. This Sponsor Support Agreement has been duly and validly executed and delivered by Sponsor and, assuming this Sponsor Support Agreement has been duly authorized, executed and delivered by the other parties hereto, this Sponsor Support Agreement constitutes, and upon its execution will constitute, a legal, valid and binding obligation of ERES Sponsor enforceable against it by the Companies in accordance with its terms, subject to applicable bankruptcy, insolvency and other similar Laws affecting the enforceability of creditors’ rights generally, general equitable principles and the discretion of courts in granting equitable remedies.

(c)There are no Actions pending against ERES Sponsor or any of its directors, managers or officers, or to the knowledge of ERES Sponsor threatened against ERES Sponsor or any of its directors, managers or officers, by or before (or, in the case of threatened Actions, that would be before) any arbitrator or any Governmental Entity, that would reasonably be expected to challenge or seek to enjoin, alter or materially delay the performance by ERES Sponsor of its obligations under this Sponsor Support Agreement.

(a)The execution and delivery of this Sponsor Support Agreement by ERES Sponsor does not, and the performance by ERES Sponsor of its obligations hereunder will not, (i) conflict with or result in a violation of ERES Sponsor’s Organization Documents or (ii) require any consent or approval that has not been given or other action that has not been taken by any Person (including under any Contract binding upon ERES Sponsor or the Sponsor Securities), in each case, to the extent such consent, approval or other action would reasonably be expected to prevent, enjoin or materially delay the performance by ERES Sponsor of its obligations under this Sponsor Support Agreement.

(b)Except as expressly described on Section 4.12 of the Parent Disclosure Schedules, no broker, finder, investment banker or other Person is entitled to any brokerage fee, finders’ fee or other commission in connection with the transactions contemplated by the Merger Agreement based upon arrangements made by ERES Sponsor, for which Parent or any of its Affiliates may become liable.

4

 

(c)ERES Sponsor has had the opportunity to read the Merger Agreement and this Sponsor Support Agreement and has had the opportunity to consult with its tax and legal advisors.

(d)ERES Sponsor has not entered into, and shall not enter into, any agreement that would restrict, limit or interfere with the performance of ERES Sponsor’s obligations hereunder.

(e)ERES Sponsor understands and acknowledges that, as a material inducement to Parent and each of the Companies entering into the Merger Agreement, Parent and each of the Companies is entering into the Merger Agreement in reliance upon ERES Sponsor’s execution and delivery of this Sponsor Support Agreement.

7.Sponsor Agreements. Unless the Merger Agreement is terminated in accordance with its terms, ERES Sponsor hereby unconditionally and irrevocably agrees to:

(a)at the Parent Common Stockholders Meeting (including any adjournment thereof or any other stockholder or warrantholder meeting of Parent at which any of the Transaction Proposals are to be voted on), to be present in person or by proxy and vote, or cause to be voted at such meeting, all Sponsor Securities entitled to vote thereon in favor of the Transaction Proposals; 

(b)at the Parent Common Stockholders Meeting (including any adjournment thereof or any other stockholder or warrantholder meeting of Parent at which any of the Transaction Proposals are to be voted on), to be present in person or by proxy and vote, or cause to be voted at such meeting, all Sponsor Securities entitled to vote thereon unconditionally against (i) any Business Combination other than with the Company, its stockholders and their respective affiliates and representatives; (ii) any merger, consolidation, combination, sale of substantial assets, reorganization, recapitalization, dissolution, liquidation or winding up of Parent; (iii) any change in the business, management or board of directors of Parent (the “Board”); and (iv) any other action, proposal or agreement that would be reasonably expected to (1) impede, frustrate, nullify, interfere with, delay, postpone or adversely affect the Transaction Proposals or any of the other transactions contemplated by the Merger Agreement, in each case, other than the proposal to adjourn the Parent Common Stockholders Meeting, if necessary, to permit further solicitation of proxies because there are not sufficient votes to approve and adopt the other Transaction Proposals, (2) result in a breach of any covenant, representation or warranty or other obligation or agreement of Parent or ERES Sponsor under the Merger Agreement, (3) result in a breach of any covenant, representation or warranty or other obligation or agreement of ERES Sponsor contained in this Sponsor Support Agreement, (4) result in any of the conditions set forth in Article VI of the Merger Agreement not being fulfilled or (5) change in any manner the dividend policy or capitalization of, including the voting rights of any class of capital stock of, Parent; 

(c)at any applicable annual or special meeting of Parent or action taken by written consent in lieu thereof prior to the Closing, vote or consent to, or cause to be voted or consented to, at such meeting (or written consent in lieu thereof), all Sponsor Securities 

5

 

entitled to vote thereon for such actions as are necessary to cause the election of members of the board of directors (or similar governing body) of the Company consistent with Section 1.4 of the Merger Agreement; and

(d)not redeem any shares of Parent Common Stock owned by it in connection with the Parent Common Stockholders Meeting.

8.Lock-Up; Transfer Restrictions.

(a)ERES Sponsor agrees that it shall not Transfer (i) any Phase I Lock-up Shares until the date that is 180 days after the Closing Date and (ii) any Phase II Lock-up Shares until the date that is 24 months after the Closing Date.  For purposes of this Sponsor Support Agreement, (x) “Phase I Lock-up Shares” means 15% of the Parent Common Stock received by ERES Sponsor in connection with the Closing and (y) “Phase II Lock-up Shares” means 85% of the shares of Parent Common Stock received by ERES Sponsor in connection with the Closing.

(b)ERES Sponsor agrees that it shall not effectuate any Transfer of Private Placement Warrants or Parent Common Stock underlying such Private Placement Warrants until thirty (30) days after the Closing Date.

(c)Notwithstanding the provisions set forth in paragraphs 8(a) and (b), Transfers of Phase I Lock-up Shares or Phase II Lock-up Shares are permitted (i) to Parent’s officers or directors, any affiliate or family member of any of Parent’s officers or directors, any members or partners of ERES Sponsor or their affiliates, any affiliates of ERES Sponsor, or any employees of such affiliates; (ii) in the case of an individual, by gift to a member of one of the individual’s immediate family or to a trust, the beneficiary of which is a member of the individual’s immediate family, an affiliate of such person or to a charitable organization; (iii) in the case of an individual, by virtue of laws of descent and distribution upon death of the individual; (iv) in the case of an individual, pursuant to a qualified domestic relations order; (v) by virtue of the laws of Delaware or ERES Sponsor’s organizational documents upon liquidation or dissolution of ERES Sponsor; or (vi) in the event of Parent’s completion of a liquidation, merger, share exchange or other similar transaction which results in all of Parent’s stockholders having the right to exchange their Parent Common Stock for cash, securities or other property subsequent to the Closing; provided, however, that in the case of clauses (i) through (v), these permitted transferees must enter into a written agreement with Parent agreeing to be bound by the transfer restrictions imposed on ERES Sponsor under this Sponsor Support Agreement.

9.Further Assurances. ERES Sponsor hereby irrevocably and unconditionally agrees not to commence or participate in, and to take all actions necessary to opt out of any class action with respect to, any action or claim, derivative or otherwise, against the Companies, Parent or any of their respective Affiliates, successors and assigns relating to the negotiation, execution or delivery of this Sponsor Support Agreement, the Merger Agreement or the consummation of the transactions contemplated hereby and thereby.

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10.No Inconsistent Agreement. ERES Sponsor hereby represents and covenants that ERES Sponsor has not entered into, and shall not enter into, any agreement that would restrict, limit or interfere with the performance of ERES Sponsor’s obligations hereunder.

11.Termination. This Sponsor Support Agreement shall terminate, and have no further force and effect, upon the earlier of (a) the termination of the Merger Agreement in accordance with its terms or (b) the date that is 24 months from the Closing Date. No such termination shall relieve ERES Sponsor, Parent or the Company from any liability resulting from a breach of this Sponsor Support Agreement occurring prior to such termination.

12.Miscellaneous. Sections 9.2 through 9.14, Section 9.16 and Section 9.17 of the Merger Agreement are incorporated by reference herein and shall apply hereto mutatis mutandis. 

[Signature Pages Follow.]

7

 

 

Please indicate your agreement to the terms of this Sponsor Support Agreement by signing where indicated below.

 

	
EAST SPONSOR, LLC

	
 
	
 
	
 

	
By:
	
 
	
East Asset Management, LLC,

	
 
	
 
	
the Managing Member of East Sponsor, LLC

	
 
	
 
	
 

	
By:
	
 
	
/s/ Gary L. Hagerman, Jr.

	
Name:
	
 
	
Gary L. Hagerman, Jr.

	
Title:
	
 
	
Chief Financial Officer and Treasurer

	
 
	
 
	
 

 

 

 

 

Signature Page to Sponsor Support Agreement

 

 

 

	
Accepted and Agreed:

	
 
	
 
	
 

	
EAST RESOURCES ACQUISITION COMPANY

	
 
	
 
	
 

	
 
	
 
	
 

	
By:
	
 
	
/s/ Gary L. Hagerman, Jr.

	
Name:
	
 
	
Gary L. Hagerman, Jr.

	
Title:
	
 
	
Chief Financial Officer and Treasurer

	
 
	
 
	
 

 

 

 

 

Signature Page to Sponsor Support Agreement

 

 

 

	
Accepted and Agreed:

	
 
	
 
	
 

	
LONGEVITY MARKET ASSETS, LLC

	
 
	
 
	
 

	
 
	
 
	
 

	
By:
	
 
	
/s/ Jay Jackson

	
Name:
	
 
	
Jay Jackson

	
Title:
	
 
	
Chief Executive Officer

	
 
	
 
	
 

 

 

 

 

	
ABACUS SETTLEMENTS, LLC

	
 
	
 
	
 

	
 
	
 
	
 

	
By:
	
 
	
/s/ Jay Jackson

	
Name:
	
 
	
Jay Jackson

	
Title:
	
 
	
Chief Executive Officer

	
 
	
 
	
 

 

 

 

 

 

Signature Page to Sponsor Support Agreement

 

 

EXHIBIT A

Form of Sponsor PIK Note

 

THIS UNSECURED SENIOR PROMISSORY NOTE (“NOTE”) HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR ANY STATE SECURITIES LAWS.  THIS NOTE HAS BEEN ACQUIRED FOR INVESTMENT ONLY AND MAY NOT BE SOLD, TRANSFERRED OR ASSIGNED IN THE ABSENCE OF REGISTRATION OF THE RESALE THEREOF UNDER THE SECURITIES ACT OR AN OPINION OF COUNSEL REASONABLY SATISFACTORY IN FORM, SCOPE AND SUBSTANCE TO MAKER THAT SUCH REGISTRATION IS NOT REQUIRED.

UNSECURED SENIOR PROMISSORY NOTE

	
Original Principal Amount: $[______]
	
Dated as of [______]

	
 
	
Boca Raton, Florida 

 

Abacus Life, Inc. (f/k/a East Resources Acquisition Company), a Delaware corporation (“Maker”), promises to pay to the order of East Sponsor, LLC, a Delaware limited liability company, or its registered, permitted assigns or successors in interest (“Payee”), the amount set out above as the Original Principal Amount, as such amount may be (i) increased pursuant to the payment in kind of any interest under this Note as provided in Section 2 and any other additional amounts due from Maker to Payee hereunder and added to such amount pursuant to the terms hereof or (ii) reduced pursuant to any repayment effected in accordance with the terms hereof (the balance of such amount from time to time being the “Outstanding Principal Balance”), and any other amounts owed by Maker to Payee hereunder on the Maturity Date (as defined below) in lawful money of the United States of America, on the terms and conditions described below.  All payments on this Note shall be made by check or wire transfer of immediately available funds or as otherwise determined by Maker to such account as Payee may from time to time designate by written notice in accordance with the provisions of this Note.

1.Principal.  If this Note has not yet been redeemed or otherwise repaid, the entire Outstanding Principal Balance of this Note shall be due and payable by Maker on [●] (the “Maturity Date”).1  The Outstanding Principal Balance may be prepaid by Maker in full or in part, at any time, without premium or penalty, at the election of Maker.  Under no circumstances shall any individual, including but not limited to any officer, director, employee or stockholder of Maker, be obligated personally for any obligations or liabilities of Maker hereunder. 

2.Payment of Interest.  

(a)During the term of this Note, interest shall accrue daily on the Outstanding Principal Balance at a rate equal to 12.0% per annum compounding semi-annually.  The accrual of interest on  Outstanding Principal Balance as of any date will be calculated based on the 

	
	 

	
1
	
 To be the date that is five years following the closing of the business combination.

Exhibit A

 

Outstanding Principal Balance as of the close of business on the immediately preceding Interest Payment Due Date (or, if no preceding Interest Payment Due Date, on the date hereof).

(b)Accrued and unpaid interest due under this Note shall be payable in arrears on March 31, June 30, September 30 and December 31 of each year, commencing on [●]2 (each, an “Interest Payment Due Date”), and shall be paid, at the sole option of Maker, (i) by check or wire transfer of immediately available funds in an amount equal to such accrued and unpaid interest, or (ii) by adding all such accrued and unpaid interest to the Outstanding Principal Balance under this Note on such Interest Payment Due Date (such payment, a “PIK Interest Payment”), which addition of accrued and unpaid interest will be effective as of 9:00 a.m., Eastern Time, on such Interest Payment Due Date.  Interest shall accrue and shall be computed daily on the basis of a 365-day year.

(c)On each Interest Payment Due Date for which a PIK Interest Payment is elected by Maker, Maker shall make a record on its books and in the register of the increase in the Outstanding Principal Balance of this Note due to the completion of a PIK Interest Payment, which addition of such accrued and unpaid interest will be effective as of 9:00 a.m., Eastern Time, on such Interest Payment Due Date, each Note shall represent the increased Outstanding Principal Balance and no separate Note will be issued with respect to such accrued and unpaid interest.  

3.Security.  This Note is a general unsecured obligation of Maker.

4.Application of Payments.  All payments shall be applied first to payment in full of any costs incurred in the collection of any sum due under this Note, including (without limitation) reasonable attorney’s fees, then to the payment in full of any late charges and finally to the reduction of the Outstanding Principal Balance.

5.Change of Control Event.  

(a)Change of Control Event Notice.  Maker shall deliver to Payee a written notice of a Change of Control Event (the “Change of Control Notice”) as promptly as practicable, and, in any event, no later than the earlier of (i) three (3) business days following the execution of a definitive agreement relating to a Change of Control Event or (ii) twenty (20) business days prior to the anticipated Change of Control Effective Time.  The date of the anticipated Change of Control Effective Time will be determined in good faith Maker.

(b)Change of Control Election.  Following the receipt of a Change of Control Notice, Payee may, at its option, make a COC Redemption Election with respect to this Note no later than the close of business on the day that is fifteen (15) business days prior to the anticipated Change of Control Effective Time (the “COC Deadline”).

(c)Redemption upon Change of Control Event.  Subject to, and immediately upon, the Change of Control Effective Time, if Payee has delivered a COC Redemption Election by the COC Deadline, Maker shall redeem this Note (in full but not in part) for an amount in cash 

	
	 

	
2
	
 To be the last day of the first full quarter following the closing of the business combination.

2

 

equal to the Outstanding Principal Balance, plus any accrued and unpaid interest thereon, as of the Change of Control Effective Time.

(d)Definitions.  For purposes of this Note, the following terms shall have the respective meanings set forth below:

(1)“Change of Control Effective Time” means the point in time at which a Change of Control Event closes or is otherwise consummated.

(2)“Change of Control Event” means (i) the closing of the sale, lease, transfer or other disposition by Maker or any material subsidiary of all or substantially all of the assets of Maker and its subsidiaries, taken as a whole, in one transaction or a series of related transactions, or the sale or disposition (whether by merger, consolidation or otherwise) of one or more subsidiaries if substantially all of the assets of Maker and its subsidiaries, taken as a whole, are held by such subsidiary or subsidiaries, except where such sale, lease, transfer or other disposition is to a wholly-owned subsidiary, (ii) the consummation of the merger or consolidation of Maker or a subsidiary, and Maker issues shares of its capital stock pursuant to such merger or consolidation, with or into another entity (except a merger or consolidation in which the holders of capital stock of Maker immediately prior to such merger or consolidation continue to own beneficially at least a majority of the voting power of the capital stock of Maker and/or the surviving or acquiring entity, whether on a combined basis or individually), (iii) the closing of the transfer (whether by merger, consolidation or otherwise), in one transaction or a series of related transactions, to a person or group of affiliated persons (other than an underwriter of Maker’s securities), of Maker’s securities if, after such closing, such person or group of affiliated persons would hold more than forty nine percent (49%) of the outstanding voting stock of Maker (or the surviving or acquiring entity), or (iv) a liquidation, dissolution or winding up of Maker.

(3)“COC Redemption Election” means an election by Payee to have Maker redeem this Note pursuant to Section 5(c).

6.Ranking and Priority. This Note will be indebtedness of Maker, ranking (i) equally in right of payment with any other present and future senior unsecured indebtedness of Maker and (ii) ranking senior in right of payment to any present and future subordinated indebtedness of Maker and to any present or future equity securities or other interests of Maker.

7.Events of Default.  The following shall constitute an event of default (“Event of Default”):

(a)Failure to Make Required Payments.  Failure by Maker to pay the Outstanding Principal Balance due pursuant to this Note within five (5) business days of the Maturity Date.

(b)Voluntary Bankruptcy, Etc.  The commencement by Maker of a voluntary case under any applicable bankruptcy, insolvency, reorganization, rehabilitation or other similar law, or the consent by it to the appointment of or taking possession by a receiver, liquidator, 

3

 

assignee, trustee, custodian, sequestrator (or other similar official) of Maker or for any substantial part of its property, or the making by it of any assignment for the benefit of creditors, or the failure of Maker generally to pay its debts as such debts become due, or the taking of corporate action by Maker in substantial furtherance of any of the foregoing.

(c) Involuntary Bankruptcy, Etc.  The entry of a decree or order for relief by a court having jurisdiction in the premises in respect of Maker in an involuntary case under any applicable bankruptcy, insolvency or other similar law, or appointing a receiver, liquidator, assignee, custodian, trustee, sequestrator (or similar official) of Maker or for any substantial part of its property, or ordering the winding-up or liquidation of its affairs, and the continuance of any such decree or order unstayed and in effect for a period of 60 consecutive days.

(d)Default under other Indebtedness.The failure by Maker to perform or comply with any term, covenant, condition or agreement contained in any agreement(s) or instrument(s) governing any indebtedness for borrowed money in an aggregate principal amount in excess of $[1,000,000], whether such indebtedness now exists or is created after the date hereof, (i) that, after giving effect to any applicable grace period, causes, or permits the holder or holders of such indebtedness or a trustee or other representative on its or their behalf (with or without the giving of notice, the lapse of time or both) to cause, the entire amount of such indebtedness to become due prior to its stated maturity (or in the case of any such indebtedness constituting a guarantee by Maker in respect of indebtedness to become payable in full) or become subject to a mandatory offer purchase by the obligor or (ii) constitutes a failure to pay the principal or interest (regardless of amount) of any such indebtedness when due and payable.

8.Remedies.

(a)Upon the occurrence of an Event of Default specified in Section 7(a) hereof, Payee may, by written notice to Maker, declare this Note to be due immediately and payable, whereupon the Outstanding Principal Balance of this Note, and all other amounts payable by Maker to Payee hereunder, shall become immediately due and payable without presentment, demand, protest or other notice of any kind, all of which are hereby expressly waived, anything contained herein or in the documents evidencing the same to the contrary notwithstanding.

(b)Upon the occurrence of an Event of Default specified in Section 7(b), Section 7(c) or Section 7(d) the Outstanding Principal Balance of this Note, and all other amounts payable by Maker to Payee hereunder, shall automatically and immediately become due and payable, in all cases without any action on the part of Payee.

9.Enforcement Costs. In case any Outstanding Principal Balance of this Note is not paid when due, Maker shall be liable for all reasonable costs of enforcement and collection of this Note incurred by Payee and any permitted transferee, including but not limited to reasonable attorneys’ fees and expenses. 

10.Waivers.  Maker and all endorsers and guarantors of, and sureties for, this Note waive presentment for payment, demand, notice of dishonor, protest, and notice of protest with regard to the Note, all errors, defects and imperfections in any proceedings instituted by Payee 

4

 

under the terms of this Note, and all benefits that might accrue to Maker by virtue of any present or future laws exempting any property, real or personal, or any part of the proceeds arising from any sale of any such property, from attachment, levy or sale under execution, or providing for any stay of execution, exemption from civil process, or extension of time for payment; and Maker agrees that any real estate that may be levied upon pursuant to a judgment obtained by virtue hereof, or any writ of execution issued hereon, may be sold upon any such writ in whole or in part in any order desired by Payee.

11.Unconditional Liability.  Maker hereby waives all notices in connection with the delivery, acceptance, performance, default, or enforcement of the payment of this Note, and agrees that its liability shall be unconditional, without regard to the liability of any other party, and shall not be affected in any manner by any indulgence, extension of time, renewal, waiver or modification granted or consented to by Payee, and consents to any and all extensions of time, renewals, waivers, or modifications that may be granted by Payee with respect to the payment or other provisions of this Note, and agrees that additional makers, endorsers, guarantors, or sureties may become parties hereto without notice to Maker or affecting Maker’s liability hereunder.  Any failure of Payee to exercise any right hereunder shall not be construed as a waiver of the right to exercise the same or any other right at any time and from time to time thereafter. Payee may accept late payments, or partial payments, even though marked “payment in full” or containing words of similar import or other conditions, without waiving any of its rights.

12.Notices.  All notices, statements or other documents which are required or contemplated by this Note shall be made in writing and delivered: (i) personally or sent by first class registered or certified mail, overnight courier service or facsimile or electronic transmission to the address designated in writing, (ii) by facsimile to the number most recently provided to such party or such other address or fax number as may be designated in writing by such party or (iii) by electronic mail, to the electronic mail address most recently provided to such party or such other electronic mail address as may be designated in writing by such party.  Any notice or other communication so transmitted shall be deemed to have been given on the day of delivery, if delivered personally, on the business day following receipt of written confirmation, if sent by facsimile or electronic transmission, one (1) business day after delivery to an overnight courier service or five (5) days after mailing if sent by mail.  As of the date of this Note, the following addresses are designated for notices: Maker, 2101 Park Center Drive, Suite 220, Orlando, Florida 32835, Attn: Jay Jackson, email: jay@abacuslife.com; Payee, 7777 NW Beacon Square Boulevard, Boca Raton, Florida 33487, Attn: Gary L. Hagerman, Jr., email: ghagerman@emslp.com.

13.Construction; Governing Law; Venue; Waiver Of Jury Trial; Etc. THIS NOTE SHALL BE CONSTRUED AND ENFORCED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT REGARD TO CONFLICT OF LAW PROVISIONS THEREOF. MAKER HEREBY IRREVOCABLY AND UNCONDITIONALLY SUBMITS, FOR ITSELF AND ITS PROPERTY, TO THE NONEXCLUSIVE JURISDICTION OF THE SUPREME COURT OF THE STATE OF NEW YORK SITTING IN NEW YORK COUNTY AND OF THE UNITED STATES DISTRICT COURT OF THE SOUTHERN DISTRICT OF NEW YORK, AND ANY APPELLATE COURT FROM ANY THEREOF, IN ANY ACTION OR PROCEEDING 

5

 

ARISING OUT OF OR RELATING TO THIS NOTE, OR FOR RECOGNITION OR ENFORCEMENT OF ANY JUDGMENT, AND EACH OF THE PARTIES HERETO HEREBY IRREVOCABLY AND UNCONDITIONALLY AGREES THAT ALL CLAIMS IN RESPECT OF ANY SUCH ACTION OR PROCEEDING MAY BE HEARD AND DETERMINED IN SUCH NEW YORK STATE OR, TO THE EXTENT PERMITTED BY LAW, IN SUCH FEDERAL COURT. EACH OF THE PARTIES HERETO AGREES THAT A FINAL JUDGMENT IN ANY SUCH ACTION OR PROCEEDING SHALL BE CONCLUSIVE AND MAY BE ENFORCED IN OTHER JURISDICTIONS BY SUIT ON THE JUDGMENT OR IN ANY OTHER MANNER PROVIDED BY LAW. NOTHING IN THIS NOTE SHALL AFFECT ANY RIGHT THAT PAYEE OR ANY PERMITTED TRANSFEREE MAY OTHERWISE HAVE TO BRING ANY ACTION OR PROCEEDING RELATING TO THIS NOTE AGAINST MAKER OR ITS PROPERTIES IN THE COURTS OF ANY OTHER JURISDICTION. MAKER WAIVES PERSONAL SERVICE OF ANY AND ALL PROCESS UPON IT AND CONSENTS THAT ALL SUCH SERVICE OF PROCESS BE MADE BY REGISTERED MAIL DIRECTED TO MAKER AT ITS ADDRESS SET FORTH IN SECTION 11 OR TO ANY OTHER ADDRESS AS MAY APPEAR IN PAYEE’S OR SUCH PERMITTED TRANSFEREE’S RECORDS AS THE ADDRESS OF MAKER. IN ANY ACTION, SUIT OR PROCEEDING IN RESPECT OF OR ARISING OUT OF THIS NOTE, PAYEE AND MAKER WAIVE TRIAL BY JURY, AND EACH OF MAKER AND PAYEE WAIVES (I) THE RIGHT TO INTERPOSE ANY SET-OFF OR COUNTERCLAIM OF ANY NATURE OR DESCRIPTION, (II) ANY OBJECTION BASED ON FORUM NON CONVENIENS OR VENUE, AND (III) ANY CLAIM FOR CONSEQUENTIAL, PUNITIVE OR SPECIAL DAMAGES.

14.Severability.  Any provision contained in this Note which is prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such prohibition or unenforceability without invalidating the remaining provisions hereof, and any such prohibition or unenforceability in any jurisdiction shall not invalidate or render unenforceable such provision in any other jurisdiction.

15.Amendment; Waiver.  Any amendment hereto or waiver of any provision hereof may be made with, and only with, the written consent of Maker and Payee.

16.Assignment.  This Note binds and is for the benefit of the successors and permitted assigns of Maker and Payee. No assignment or transfer of this Note or any rights, remedies or obligations hereunder may be made by any party hereto (by operation of law or otherwise) without the prior written consent of the other party hereto and any attempted assignment without the required consent shall be void; provided, that upon the occurrence and during the continuation of an Event of Default, Payee shall have the right to assign this Note in its discretion without the consent of Maker.  Notwithstanding anything to the contrary, Payee may transfer this Note in whole or in part to one or more of its affiliates or members; provided that Payee shall provide prompt notice of such transfer to Maker. 

[Signature page follows]

 

 

6

 

 

IN WITNESS WHEREOF, Maker, intending to be legally bound hereby, has caused this Note to be duly executed by the undersigned as of the day and year first above written.

	
 
	
Abacus Life, Inc.

	
 
	
 

	
 
	
By:
	
 

	
 
	
 
	
Name:
	
 

	
 
	
 
	
Title:
	
 

	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
 

		
	
ACCEPTED AND AGREED:

	
 

	
East Sponsor, LLC

	
 

	
 

	
By:
	
 

	
 
	
Name:

	
 
	
Title:

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