Document:

Exhibit 10.2

 

 

 

STOCKHOLDER
SUPPORT AGREEMENT

 

by
and among

 

CF
FINANCE ACQUISITION CORP. III,

 

AEYE,
INC.

 

and
certain

 

STOCKHOLDERS
OF AEYE, INC.

 

Dated
as of February 17, 2021

 

 

 

     

     

    

 

STOCKHOLDER
SUPPORT AGREEMENT

 

This
STOCKHOLDER SUPPORT AGREEMENT (this “Agreement”) is made and entered into as of February 17, 2021 by and among
the persons identified on Schedule I hereto (each, a “Stockholder” and collectively the “Stockholders”),
CF Finance Acquisition Corp. III, a Delaware corporation (“Acquiror”), and AEye, Inc., a Delaware corporation
(the “Company”). Capitalized terms used but not defined herein have the meanings assigned to them in the Agreement
and Plan of Merger dated as of the date of this Agreement (as amended from time to time, the “Merger Agreement”)
by and among Acquiror, Meliora Merger Sub, Inc., a Delaware corporation and a direct wholly owned subsidiary of Acquiror (“Merger
Sub”) and the Company.

 

WHEREAS,
each Stockholder owns the number and class(es) of shares of Company Capital Stock, par value $0.00001 per share of the Company
set forth next to the name of such Stockholder on Schedule I (collectively, together with all other securities of the Company
that such Stockholder purchases or otherwise acquires beneficial or record ownership of or becomes entitled to vote during the
Restricted Period (as defined below), including by reason of any stock split, stock dividend, distribution, reclassification,
recapitalization, conversion or other transaction, or pursuant to the vesting of restricted stock units or the exercise of options
or warrants to purchase such shares or rights, the “Stockholder Shares”);

 

WHEREAS,
the Board of Directors of the Company has approved this Agreement and the execution, delivery and performance thereof by the parties
hereto;

 

WHEREAS,
concurrently with the execution and delivery of this Agreement, Acquiror, Merger Sub, and the Company are entering into the Merger
Agreement, which provides for, among other things, the merger of Merger Sub with and into the Company (with the Company surviving
such merger as a wholly-owned subsidiary of Acquiror) upon the terms and subject to the conditions set forth therein (the “Merger”);

 

WHEREAS,
obtaining the Company Written Consent is a condition precedent to the consummation of the Merger; and

 

WHEREAS,
as a condition and inducement to Acquiror’s willingness to enter into the Merger Agreement, Acquiror has required each Stockholder
to enter into this Agreement and a Lock-Up Agreement entered into concurrently herewith.

 

NOW,
THEREFORE, in consideration of the representations, warranties, covenants and agreements contained herein and for other good and
valuable consideration, the receipt and adequacy of which are hereby acknowledged, and subject to the conditions set forth herein,
the parties hereto agree as follows:

 

Section
1 Covenants of the Stockholders.

 

(a)
During the period beginning on the date of this Agreement and ending on the earlier of (x) the Effective Time and (y) the
date on which the Merger Agreement is validly terminated in accordance with its terms (such period, the “Restricted Period”),
each Stockholder, severally and not jointly, hereby agrees, provided that no changes are made to the Merger Agreement or Ancillary
Agreements after the date of this Agreement that are materially adverse to one or more of the Stockholders:

 

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(i)
(A) at any meeting (whether annual or special and whether or not an adjourned or postponed meeting) of the stockholders of the
Company, however called, and in any action by written consent of the stockholders of the Company, at which the Merger Agreement
and other related agreements (or any amended version thereof) or such other related actions, are submitted for the consideration
of the stockholders of the Company, to vote, or to cause the voting of, the Stockholder Shares in favor of: (1) the approval and
adoption of the Merger Agreement; and (2) the Merger and the other Transactions, including the Convertible Equity Conversion,
and the Ancillary Agreements and all other agreements related to the Merger to which the Company or any of its Subsidiaries is
a party; and (B) promptly, but in no event later than five (5) Business Days, after the registration statement filed with the
SEC on Form S-4 is declared effective and the Company has furnished the Company Written Consent to such Stockholder, to execute
and deliver the Company Written Consent and, if reasonably requested by Acquiror, to execute and deliver further written consents
with respect to the Stockholder Shares approving any matter referred to in sub-clause (1) or (2) of the preceding clause (A);
and

 

(ii)
(A) at each such meeting, and at any adjournment or postponement thereof, and in any such action by written consent, to vote,
or to cause the voting of, the Stockholder Shares against (other than pursuant to, or in furtherance of, the Merger and the
other Transactions): (1) any action, proposal, transaction or agreement that is intended or that would reasonably be expected
to frustrate the purposes of, impede, hinder, interfere with, prevent or delay the consummation of, or otherwise adversely
affect, the Merger, the Convertible Equity Conversion or any of the other Transactions, the Merger Agreement or any of the
other agreements related to the Merger (including the Ancillary Agreements to which the Company or any of its Subsidiaries is
a party) including: (aa) any extraordinary corporate transaction, such as a merger, consolidation or other business
combination involving the Company or any of its Subsidiaries (other than the Merger); (bb) a sale, lease or transfer of any
material asset of the Company or any of its Subsidiaries or a reorganization, recapitalization or liquidation of the Company
or any of its Subsidiaries (other than the Merger); (cc) an election of new members to the Company Board, other than
nominees to the Company Board approved in writing by Acquiror or pursuant to Section 1.4 of the Voting Agreement; (dd) any
change in the present capitalization or dividend policy of the Company or any of its Subsidiaries or any amendment or other
change to the Company’s certificate of incorporation or bylaws or the organizational documents of any Subsidiary of the
Company (other than as expressly contemplated in or permitted by the Merger Agreement or the Ancillary Agreements), except if
approved in writing by Acquiror; (ee) any other change in the corporate structure (other than the Merger) or fundamental
change to the business of the Company or any of its Subsidiaries, except if approved in writing by Acquiror; or (ff) the
execution of any convertible debt or equity agreements, subscription agreements or other similar agreements with respect to
equity or other securities in the Company or any of its Subsidiaries; (2) any Acquisition Proposal or Alternative
Transaction and any action required or desirable in furtherance thereof or any other transaction, proposal, agreement or
action made in opposition to the adoption of the Merger Agreement or in competition or inconsistent with the Merger and the
other Transactions (or with the Ancillary Agreements to which the Company or any of its Subsidiaries is a party); (3) any
action, proposal, transaction or agreement that would reasonably be expected to result in a breach of any covenant,
agreement, representation or warranty of the Company contained in the Merger Agreement or of such Stockholder contained in
this Agreement; (4) any action or agreement that would reasonably be expected to result in any condition to the consummation
of the Merger set forth in Article VIII of the Merger Agreement not being fulfilled and (5) any action that would
preclude Acquiror from filing with the SEC a registration statement on Form S-4 as contemplated by the Merger Agreement; and
(B) not to approve or otherwise consent to any matter referred to in any of sub-clauses (1) through (5) of the preceding
clause (A) by written consent.

 

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Notwithstanding
anything to the contrary in this Section 1(a), this Section 1(a) shall not apply to (i) any proposal submitted to
any of the Stockholders holding the number of shares of Company Capital Stock required by the terms of Section 280G(b)(5)(B) of
the Code, whether at a meeting or in an action by written consent, to render the parachute payment provisions of Section 280G
inapplicable to any and all payments or benefits provided pursuant to any employee benefit plan or other Company Contracts (as
defined below) that might result, separately or in the aggregate, in the payment of any amount or the provision of any benefit
that would not be deductible by reason of Section 280G or that would be subject to an excise tax under Section 4999 of the
Code or (ii) any actions requested by or consented to by Acquiror.

 

(b)
 During the Restricted Period, each Stockholder shall not, and shall cause such Stockholder’s
Affiliates not to, directly or indirectly, (i) initiate any negotiations with any Person with respect to, or provide any non-public
information or data concerning any AEye Company to any Person relating to, an Acquisition Proposal or Alternative Transaction
or afford to any Person access to the business, properties, assets or personnel of any AEye Company in connection with an Acquisition
Proposal or Alternative Transaction, (ii) enter into, or encourage any AEye Company to enter into, any acquisition agreement,
merger agreement or similar definitive agreement, or any letter of intent, memorandum of understanding or agreement in principle,
or any other agreement relating to an Acquisition Proposal or Alternative Transaction, (iii) grant any waiver, amendment or release
under any confidentiality agreement or the anti-takeover Laws of any state in connection with an Acquisition Proposal or Alternative
Transaction, or (iv) otherwise knowingly facilitate any such inquiries, proposals, discussions, or negotiations or any effort
or attempt by any Person to make an Acquisition Proposal or Alternative Transaction.

 

(c)
Each Stockholder hereby irrevocably and unconditionally waives, and agrees to cause to be waived, any rights to seek appraisal,
rights of dissent or any similar rights in connection with the Merger Agreement, the Merger and the transactions contemplated
thereby, including under Section 262 of the Delaware General Corporation Law (the “DGCL”), that such Stockholder
may have with respect to the Stockholder Shares owned beneficially or of record by such Stockholder.

 

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(d)
Subject to and conditioned upon the Closing, each Stockholder hereby agrees that each of the following to which such Stockholder
is a party shall terminate (provided that all Terminating Rights (as defined below) between the Company or any of its subsidiaries
and any other holder of Company Capital Stock shall also terminate at such time), effective immediately prior to the Effective
Time: (A) the IRA; (B) the ROFR Agreement; (C) the Voting Agreement; (D) the Side Letter(s); (E) any subscription or other purchase
agreements relating to shares of Company Capital Stock; and (F) if applicable to any Stockholder, any rights under any agreement
providing for redemption rights, put rights, purchase rights or other similar rights not generally available to stockholders of
the Company (the “Terminating Rights”) between Stockholder and the Company, but excluding, for the avoidance
of doubt, any rights such Stockholder may have that relate to any commercial agreements, non-disclosure agreements, employment
agreements, offer letters, advisor agreements, consulting agreements, indemnification agreements, invention assignment agreements
or any other agreements providing the Company rights in intellectual property by and between such Stockholder and the Company
or any subsidiary, which shall survive in accordance with their terms.

 

(e)
 Each Stockholder hereby agrees that he, she or it shall, from time to time, (i) execute and deliver, or cause to be executed
and delivered, such Ancillary Agreements as may be necessary to satisfy any condition to the Closing under the Merger Agreement,
in substantially the form previously provided to the Stockholder as of the date of this Agreement, (ii) execute and deliver, or
cause to be executed and delivered, such additional or further consents, documents and other instruments, (iii) consent to the
termination or amendment of such other agreement and (iv) take, or cause to be taken, all actions, and do, or cause to be done,
and assist and cooperate with the other parties in doing all things, in each case, as another party hereto may reasonably request
for the purpose of effectively carrying out the transactions contemplated by this Agreement and the Merger Agreement (in substantially
the form previously provided to the Stockholder as of the date of this Agreement), including the Merger.

 

Section
2 Irrevocable Proxy. Each Stockholder hereby revokes any proxies that such Stockholder has heretofore granted with respect
to such Stockholder’s Stockholder Shares (other than pursuant to Section 5.2 of the Voting Agreement), hereby irrevocably
constitutes and appoints Acquiror as attorney-in-fact and proxy for the purposes of complying with the obligations hereunder in
accordance with the DGCL for and on such Stockholder’s behalf, for and in such Stockholder’s name, place and stead,
in the event that such Stockholder fails to comply in any material respect with his, her or its obligations hereunder in a timely
manner, to vote the Stockholder Shares of such Stockholder and grant all written consents thereto in each case in accordance with
the provisions of Sections 1(a)(i) and (ii) and represent and otherwise act for such Stockholder in the same manner and with the
same effect as if such Stockholder were personally present at any meeting held for the purpose of voting on the foregoing. The
foregoing proxy is coupled with an interest, is irrevocable (and, with respect to any Stockholder that is an individual, as such
shall survive and not be affected by the death, incapacity, mental illness or insanity of the Stockholder) until the end of the
Restricted Period and shall not be terminated by operation of Law or upon the occurrence of any other event other than following
a termination of this Agreement pursuant to Section 7.13. Each Stockholder authorizes such attorney-in-fact and proxy
to substitute any other Person to act hereunder, to revoke any substitution and to file this proxy and any substitution or revocation
with the Secretary of the Company. Each Stockholder hereby affirms that the irrevocable proxy set forth in this Section 2
is given in connection with the execution by Acquiror of the Merger Agreement and that such irrevocable proxy is given to secure
the obligations of such Stockholder under Section 1. The irrevocable proxy set forth in this Section 2 is executed
and intended to be irrevocable. Each Stockholder agrees not to grant any proxy that conflicts or is inconsistent with the proxy
granted to Acquiror in this Agreement.

 

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Section
3 Representations and Warranties of the Stockholders. Each Stockholder, represents and warrants to Acquiror, severally
and not jointly, as follows:

 

3.1 Authorization.
If such Stockholder is an individual, such Stockholder has all requisite capacity to execute and deliver this Agreement, to perform
such Stockholder’s obligations hereunder and to consummate the transactions contemplated hereby. If such Stockholder is
not an individual, such Stockholder (a) is a corporation, partnership, limited liability company, trust or other entity duly organized,
validly existing and in good standing (with respect to jurisdictions which recognize such concept) under the laws of its jurisdiction
of incorporation or organization, (b) has all requisite power and authority to execute and deliver this Agreement, to perform
such Stockholder’s obligations hereunder and to consummate the transactions contemplated hereby, and (c) the execution,
delivery and performance of this Agreement by such Stockholder and the consummation by such Stockholder of the transactions contemplated
hereby have been duly and validly authorized by all necessary action on the part of such Stockholder and no other proceedings
on the part of any such Stockholder or such Stockholder’s equityholders are necessary to authorize the execution and delivery
of this Agreement or the consummation of the transactions contemplated hereby except as have been obtained prior to the date of
this Agreement. This Agreement has been duly and validly executed and delivered by such Stockholder and, assuming the due execution
and delivery by Acquiror, constitutes the legal, valid and binding obligation of such Stockholder, enforceable against such Stockholder
in accordance with its terms, except as limited by Laws affecting the enforcement of creditors’ rights generally, by general
equitable principles or by the discretion of any Governmental Authority before which any Action seeking enforcement may be brought.

 

 3.2. Consents and Approvals; No Violations.

 

(a) The
execution, delivery and performance of this Agreement by such Stockholder and the consummation by such Stockholder of the transactions
contemplated hereby do not and will not require any filing or registration with, notification to, or authorization, permit, license,
declaration, Governmental Order, consent or approval of, or other action by or in respect of, any Governmental Authority, Nasdaq
or the NYSE on the part of such Stockholder.

 

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(b) The
execution, delivery and performance by such Stockholder of this Agreement and the consummation by such Stockholder of the transactions
contemplated by this Agreement do not and will not (i) conflict with or violate any provision of the organizational documents
of such Stockholder if such Stockholder is not an individual, (ii) conflict with or violate, in any respect, any Law applicable
to such Stockholder or by which any property or asset of such Stockholder is bound, (iii) require any consent or notice, or result
in any violation or breach of, or conflict with, or constitute (with or without notice or lapse of time or both) a default (or
give rise to any right of purchase, termination, amendment, acceleration or cancellation) under, result in the loss of any benefit
under, or result in the triggering of any payments (including any right of acceleration of any royalties, fees, profit participations
or other payments to any Person) pursuant to, any of the terms, conditions or provisions of any Contract to which such Stockholder
is a party or by which any of such Stockholder’s properties or assets are bound or any Governmental Order or Law applicable
to such Stockholder or such Stockholder’s properties or assets, or (iv) result in the creation of a Lien on any property
or asset of such Stockholder, except in the case of clauses (ii) and (iv) above as would not reasonably be expected, either individually
or in the aggregate, to impair in any material respect the ability of such Stockholder to timely perform its obligations hereunder
or consummate the transactions contemplated hereby. If such Stockholder is a married individual and is subject to community property
laws, such Stockholder’s spouse has consented to this Agreement and the Lock-Up Agreement entered into concurrently herewith
and the transactions contemplated thereby by having executed a spousal consent in the form attached hereto as Exhibit A.

 

3.3 Ownership
of Stockholder Shares. Except to the extent that such Stockholder holds Shares as nominee, such Stockholder (a) is the sole
record and beneficial owner of all of the Stockholder Shares listed next to the name of such Stockholder on Schedule I,
free and clear of all Liens (other than Liens arising under applicable securities Laws), (b) has the sole voting power with respect
to such Stockholder Shares and (c) has not entered into any voting agreement (other than this Agreement and the Voting Agreement)
with or granted any Person any proxy (revocable or irrevocable) with respect to such Stockholder Shares (other than this Agreement
and Section 5.2 of the Voting Agreement). Except as set forth on Schedule I, neither such Stockholder nor any family member
of such Stockholder (if such Stockholder is an individual) nor any of the Affiliates of such Stockholder or of such family member
of such Stockholder (or any trusts for the benefit of any of the foregoing) owns, of record or beneficially, or has the right
to acquire any securities of the Company. As of the time of any meeting of the stockholders of the Company referred to in Section
1(a)(i) and with respect to any written consent of the stockholders of the Company referred to in clause (B) of each of Section
1(a)(i) or (ii), such Stockholder or such Stockholder’s Permitted Transferee (as defined hereinafter) will be the
sole record and beneficial owner of all of the Stockholder Shares listed next to the name of such Stockholder on Schedule I,
free and clear of all Liens (other than Liens arising under applicable securities Laws), except with respect to any Stockholder
Shares transferred pursuant to a Permitted Transfer (as defined hereinafter).

 

3.4 Independent
Advice. Such Stockholder has received a copy of and has reviewed the Merger Agreement and Lock-Up Agreement and has had an
opportunity to discuss such agreements and this Agreement with legal, financial and tax advisors of his, her or its own choosing,
and has had the opportunity to review such information regarding the Company as such Stockholder deems relevant or appropriate.

 

Section
4 No Transfers.

 

(a) Each
Stockholder hereby agrees not to, during the Restricted Period, Transfer (as defined below), or cause to be Transferred, any Stockholder
Shares, Company Options, Company RSUs or Company Warrants owned of record or beneficially by such Stockholder, or any voting rights
with respect thereto (“Subject Securities”), or enter into any Contract with respect to conducting any such
Transfer. Each Stockholder hereby authorizes Acquiror to direct the Company to impose stop, transfer or similar orders to prevent
the Transfer of any Subject Securities on the books of the Company in violation of this Agreement. Any Transfer or attempted Transfer
of any Subject Securities in violation of any provision of this Agreement shall be void ab initio and of no force or effect.

 

    7

     

    

 

(b) “Transfer”
means (i) any direct or indirect sale, tender pursuant to a tender or exchange offer, assignment, encumbrance, disposition, pledge,
hypothecation, gift or other transfer (by operation of law or otherwise), either voluntary or involuntary, of any capital stock,
options or warrants or any interest (including any beneficial ownership interest) in any capital stock, options or warrants (including
the right or power to vote any capital stock) or (ii) in respect of any capital stock, options or warrants or interest (including
any beneficial ownership interest) in any capital stock, options or warrants to directly or indirectly enter into any swap, derivative
or other agreement, transaction or series of transactions, in each case referred to in this clause (ii) that has an exercise or
conversion privilege or a settlement or payment mechanism determined with reference to, or derived from the value of, such capital
stock, options or warrants and that hedges or transfers, in whole or in part, directly or indirectly, the economic consequences
of such capital stock, options or warrants or interest (including any beneficial ownership interest) in capital stock, options
or warrants whether any such transaction, swap, derivative or series of transactions is to be settled by delivery of securities,
in cash or otherwise. A “Transfer” shall not include the transfer of Subject Securities by a Stockholder to
such Stockholder’s estate, such Stockholder’s immediate family, to a trust for the benefit of such Stockholder’s
family, upon the death of such Stockholder or to an Affiliate of such Stockholder (each such transferee a “Permitted
Transferee” and each such transfer, a “Permitted Transfer”). As a condition to any Permitted Transfer,
the applicable Permitted Transferee shall be required to become a party to this Agreement by signing a joinder agreement hereto
in form and substance reasonably satisfactory to Acquiror (each a “Joinder”). References to “the parties
hereto” and similar references shall be deemed to include any later party signing a Joinder.

 

(c) Each
Stockholder hereby agrees not to, and not to permit any Person under such Stockholder’s control to deposit any of such Stockholder’s
Stockholder Shares in a voting trust or subject any of the Stockholder Shares owned beneficially or of record by such Stockholder
to any arrangement with respect to the voting of such Stockholder Shares other than agreements entered into with Acquiror or Merger
Sub.

 

Section
5 Waiver and Release of Claims. Each Stockholder covenants and agrees, severally with respect to such Stockholder only
and not with respect to any other Stockholder, as follows:

 

(a) Effective
as of the Closing, subject to the limitations set forth in paragraph (c) below, each Stockholder, on behalf of such Stockholder
and his, her or its Affiliates and his, her or its respective successors, assigns, representatives, administrators, executors
and agents, and any other person or entity claiming by, through, or under any of the foregoing, does hereby unconditionally and
irrevocably release, waive and forever discharge each of the AEye Companies, Acquiror, Merger Sub, CF Finance Holdings III, LLC
and each of their respective past and present directors, officers, employees, agents, predecessors, successors, assigns, Subsidiaries
and Affiliates, from any and all past or present claims, demands, damages, judgments, causes of action and liabilities of any
nature whatsoever, whether or not known, suspected or claimed, arising directly or indirectly from any act, omission, event or
transaction occurring (or any circumstances existing) at or prior to the Closing (each a “Claim” and, collectively,
the “Claims”), arising out of or relating to the Stockholder’s capacity as a current or former stockholder
of the Company or any of its predecessors.

 

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(b) Each
Stockholder acknowledges that he, she or it may hereafter discover facts in addition to or different from those which he, she
or it now knows or believes to be true with respect to the subject matter of this Agreement, and that he, she or it may hereafter
come to have a different understanding of the law that may apply to potential claims which he, she or it is releasing hereunder,
but he, she or it affirms that, except as is otherwise specifically provided herein, it is his, her or its intention to fully,
finally and forever settle and release any and all Claims. In furtherance of this intention, each of the Stockholders acknowledges
that the releases contained herein shall be and remain in effect as full and complete general releases notwithstanding the discovery
or existence of any such additional facts or different understandings of law. Each Stockholder knowingly and voluntarily waives
and releases any and all rights and benefits arising out of Stockholder’s capacity as a stockholder of the Company that
he, she or it may now have, or in the future may have, under Section 1542 of the California Civil Code (or any analogous Law of
any other state), which reads as follows:

 

“A
GENERAL RELEASE DOES NOT EXTEND TO CLAIMS THAT THE CREDITOR OR RELEASING PARTY DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER
FAVOR AT THE TIME OF EXECUTING THE RELEASE AND THAT, IF KNOWN BY HIM OR HER, WOULD HAVE MATERIALLY AFFECTED HIS OR HER SETTLEMENT
WITH THE DEBTOR OR RELEASED PARTY.”

 

Each
Stockholder understands that Section 1542, or a comparable Law of another jurisdiction, gives such Stockholder the right not to
release existing claims of which the Stockholder is not aware, unless the Stockholder voluntarily chooses to waive this right.
Having been so apprised, each Stockholder nevertheless hereby voluntarily elects to and does waive the rights described in Section
1542, or such other comparable Law, and elects to assume all risks for claims that exist, existed or may hereafter exist in its
favor, known or unknown, suspected or unsuspected, arising out of or related to claims or other matters purported to be released
pursuant to this Section 5, in each case, effective at the Closing. Each Stockholder acknowledges and agrees that the foregoing
waiver is an essential and material term of the release provided pursuant to this Section 5 and that, without such waiver,
Acquiror would not have agreed to the terms of this Agreement.

 

(c) Notwithstanding
the foregoing provisions of this Section 5 or anything to the contrary set forth herein, no Stockholder or any of
its Affiliates releases or discharges, and each Stockholder expressly does not release or discharge, any Claims: (i) that
arise under or are based upon the terms of the Merger Agreement, any of the Ancillary Agreements, any Letter of Transmittal or
any other document, certificate or Contract executed or delivered in connection with the Merger Agreement; or (ii) for indemnification,
contribution, set-off, reimbursement or similar rights pursuant to any certificate of incorporation, indemnification agreement
or bylaws of the Company or any of its Subsidiaries with respect to such Stockholder, any of its Affiliates or their respective
designated members of the board of directors of the Company or any of its Subsidiaries solely to the extent set forth in
Section 5.4 of the Merger Agreement.

 

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(d) Notwithstanding
the foregoing provisions of this Section 5, nothing contained in this Agreement shall be construed as an admission
by any party hereto of any liability of any kind to any other party hereto.

 

Section
6 Convertible Equity Instruments Amendment. The Company and each Stockholder that is a holder of Convertible Equity
Instruments agrees that in accordance with Section 4(b) therein, and together with (when delivered) the consent agreement of Continental
Automotive Systems, Inc. (“Continental”), to be entered into by Continental and the Company following the execution
and delivery of the Merger Agreement and prior to the Closing, the Convertible Equity Instruments are hereby amended to the extent
necessary such that, if the Closing occurs, all the Convertible Equity Instruments shall automatically (without any further action
on the part of the Company, such Stockholder or any other investor or other holder of a Convertible Equity Instrument) convert
into shares of Company Common Stock as of immediately prior to the Effective Time in accordance with Section 2.1(a) of the Merger
Agreement, and for the avoidance of doubt, if the Closing occurs, the Stockholders waive the right in the proviso to Section 2(b)
of the Convertible Equity Instruments to convert into cash in connection with a Change of Control or Dissolution Event with respect
to the Transactions. Any other provisions of the Convertible Equity Instruments that have not been amended hereby shall remain
in full force and effect.

 

Section
7. General.

 

7.1. Notices.
All notices and other communications among the parties shall be in writing and shall be deemed to have been duly given (a) when
delivered in person, (b) when delivered after posting in the United States mail having been sent registered or certified mail
return receipt requested, postage prepaid, (c) when delivered by FedEx or other nationally recognized overnight delivery service,
or (d) when delivered by email during normal business hours at the location of the recipient, and otherwise on the next following
Business Day, addressed as follows:

 

If
to Acquiror:

 

CF
Finance Acquisition Corp. III

110
East 59th Street 

New
York, NY 10022

Attention:
Chief Executive Officer

Email:
CFFinanceIII@cantor.com

 

with
a copy to (which shall not constitute notice):

 

Hughes
Hubbard & Reed LLP

One Battery Park Plaza

New York, NY 10004

Attention: Kenneth A. Lefkowitz

Facsimile: +1 212 299-6557

Email: ken.lefkowitz@hugheshubbard.com

 

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If
to the Company:

 

AEye,
Inc.

1
Park Pl

Dublin,
CA 94568

Email:
blacorte@aeye.ai

Attention:
Chief Executive Officer

 

with
a copy (which shall not constitute notice) to:

 

DLA
Piper LLP (US)

555
Mission Street, Suite 2400

San
Francisco, CA 94105

Email:
jonathan.axelrad@us.dlapiper.com; jeffrey.selman@us.dlapiper.com; john.maselli@us.dlapiper.com

Attention: Jonathan Axelrad; Jeffrey Selman; John Maselli

 

If
to a Stockholder, at such Stockholder’s address set forth on Schedule I

 

with
a copy (which shall not constitute notice) to:

 

DLA
Piper LLP (US)

555
Mission Street, Suite 2400

San
Francisco, CA 94105

Email:
jonathan.axelrad@us.dlapiper.com; jeffrey.selman@us.dlapiper.com; john.maselli@us.dlapiper.com

Attention: Jonathan Axelrad; Jeffrey Selman; John Maselli

 

7.2. Headings;
Counterparts. The headings in this Agreement are for convenience only and shall not be considered a part of or affect the
construction or interpretation of any provision of this Agreement. This Agreement may be executed in two or more counterparts,
and by different parties in separate counterparts, with the same effect as if all parties hereto had signed the same document,
but all of which together shall constitute one and the same instrument. Copies of executed counterparts of this Agreement transmitted
by electronic transmission (including by email or in .pdf format) or facsimile as well as electronically or digitally executed
counterparts (such as DocuSign) shall have the same legal effect as original signatures and shall be considered original executed
counterparts of this Agreement.

 

7.3. Entire
Agreement. This Agreement, including the documents and the instruments referred to herein, together with the Merger Agreement
and each Ancillary Agreement to which a Stockholder is a party constitute the entire agreement among the parties to this Agreement
with respect to the Transactions and supersede any other agreements whether written or oral, that may have been made or entered
into by or among any of the parties hereto or any of their respective Subsidiaries relating to the subject matter hereof. No representations,
warranties, covenants, understandings, agreements, oral or otherwise, relating to the transactions contemplated by this Agreement
exist between such parties except as expressly set forth in this Agreement, the Merger Agreement and each Ancillary Agreement
to which a Stockholder is a party.

 

    11

     

    

 

7.4. Governing
Law; Jurisdiction; Waiver of Jury Trial. Sections 10.7 and 10.14 of the Merger Agreement shall apply to this
Agreement mutatis mutandis.

 

7.5. Amendments.
This Agreement may be amended or modified in whole or in part, only by a duly authorized agreement in writing executed in the
same manner as this Agreement and which makes reference to this Agreement.

 

7.6. Failure
or Delay Not Waiver; Remedies Cumulative. No provision of this Agreement may be waived except by a written instrument signed
by the party against whom such waiver is to be effective. Any agreement on the part of a party to any such waiver shall be valid
only if set forth in a written instrument executed and delivered by a duly authorized officer on behalf of such party. No failure
or delay on the party of any party in the exercise of any right hereunder shall impair such right or be construed to be a waiver
of or acquiescence in, any breach of any representation, warranty or agreement herein, nor shall any single or partial exercise
of any such right preclude any other or further exercise thereof or of any other right. All rights and remedies existing under
this Agreement are cumulative to, and not exclusive of any rights or remedies otherwise available.

 

7.7. Assignment.
Neither this Agreement nor any of the rights, interests or obligations under this Agreement shall be assigned, in whole or in
part, by operation of Law or otherwise by any Stockholder without the prior written consent of Acquiror. Acquiror may assign its
rights, interests or obligations under this Agreement to any of its Affiliates in conjunction with a valid assignment of its rights,
interests or obligations under the Merger Agreement. Any purported assignment in violation of the preceding two sentences shall
be null and void ab initio. Subject to this Section 7.7, this Agreement will be binding upon, inure to the benefit of,
and be enforceable by, the parties and their respective successors and permitted assigns.

 

7.8. Severability.
If any provision of this Agreement is held invalid, illegal or unenforceable by any court of competent jurisdiction, the other
provisions of this Agreement shall remain in full force and effect. The parties further agree that if any provision contained
herein is, to any extent, held invalid, illegal or unenforceable in any respect under the Laws governing this Agreement, they
shall take any actions necessary to render the remaining provisions of this Agreement valid and enforceable to the fullest extent
permitted by Law and, to the extent necessary, shall amend or otherwise modify this Agreement to replace any provision contained
herein that is held invalid or unenforceable with a valid and enforceable provision giving effect to the intent of the parties.

 

    12

     

    

 

7.9. Enforcement.

 

(a)
Stockholder expressly acknowledges and agrees that (i) it is receiving good and valuable consideration sufficient to make this
Agreement, and each of the terms herein, binding and fully enforceable, each of the restrictions contained in this Agreement are
supported by adequate consideration and are reasonable in all respects (including with respect to subject matter, time period
and geographical area) and such restrictions are necessary to protect Acquiror’s interest in, and value of, the Company’s
business (including the goodwill inherent therein) and (ii) Acquiror would not have entered into the Merger Agreement and this
Agreement or consummate the transactions contemplated thereby or hereby without the restrictions contained in this Agreement.

 

(b)
The parties hereto agree that irreparable damage could occur in the event that any of the provisions of this Agreement were not
performed in accordance with their specific terms or were otherwise breached. It is accordingly agreed that the parties shall
be entitled to an injunction or injunctions to prevent breaches of this Agreement and to specific enforcement of the terms and
provisions of this Agreement, in addition to any other remedy to which any party is entitled at law or in equity. In the event
that any Action shall be brought in equity to enforce the provisions of this Agreement, no party shall allege, and each party
hereby waives the defense, that there is an adequate remedy at law, and each party agrees to waive any requirement for the securing
or posting of any bond in connection therewith.

 

(c)
The parties hereto further agree that (i) by seeking the remedies provided for in this Section7.9, Acquiror shall not in
any respect waive its rights to seek any other form of relief that may be available to it under this Agreement (including damages)
in the event that this Agreement has been terminated or in the event that the remedies provided for in this Section 7.9
are not available or otherwise are not granted, and (ii) nothing set forth in this Agreement shall require Acquiror to institute
any Action for (or limit Acquiror’s right to institute any Action for) specific performance under this Section 7.9
prior to pursuing any other form of relief referred to in the preceding clause (i).

 

7.10. Costs
and Expenses. Each party to this Agreement will pay his, her or its own costs and expenses (including legal, accounting and
other fees) relating to the negotiation, execution, delivery and performance of this Agreement.

 

7.11. No
Joint Venture. Nothing contained in this Agreement shall be deemed or construed as creating a joint venture or partnership
between any of the parties hereto. Except as provided otherwise in Section 2, no party is by virtue of this Agreement authorized
as an agent, employee or legal representative of any other party. Without in any way limiting the rights or obligations of any
party hereto under this Agreement and except as provided otherwise in Section 2, prior to the Effective Time, (i) no party
shall have the power by virtue of this Agreement to control the activities and operations of any other and (ii) no party shall
have any power or authority by virtue of this Agreement to bind or commit any other party. No party shall hold itself out as having
any authority or relationship in contravention of this Section 7.11.

 

7.12. Publicity.

 

(a)
All press releases or other public communications of any Stockholder relating to this Agreement and the Transactions shall be
subject to the prior written approval of Acquiror, which approval shall not be unreasonably withheld; provided, that no
Stockholder shall be required to obtain consent pursuant to this Section 7.12(a) to the extent any proposed release or
statement is substantially equivalent to the information that has previously been made public without breach of the obligation
under this Section 7.12(a); provided, however, nothing herein shall prohibit Stockholder from indicating that it was an
early investor in the Company.

 

    13

     

    

 

(b)
The restriction in Section 7.12(a) shall not apply to the extent the public announcement is required by applicable securities
Law, any Governmental Authority or stock exchange rule; provided, however, that in such an event, the Stockholder making the announcement
shall use its reasonable efforts to consult with Acquiror in advance as to its form, content and timing.

 

7.13. Termination.
This Agreement shall terminate on the earlier to occur of (a) the Effective Time or (b) the termination of the Merger
Agreement in accordance with its terms; provided, however, that no termination of this Agreement shall relieve or
release any Stockholder from any obligations or liabilities arising out of such Stockholder’s breaches of this Agreement
prior to such termination.

 

7.14. Capacity
as Stockholder. Each Stockholder signs this Agreement solely in such Stockholder’s capacity as a stockholder of the
Company, and not in such Stockholder’s capacity as a director (including “director by deputization”), board
observer, officer or employee of the Company, if applicable. Nothing herein shall be construed to limit or affect any actions
or inactions by such Stockholder or any representative of Stockholder, as applicable, serving as a director of the Company or
any Subsidiary of the Company, acting in such person’s capacity as a director of the Company or any Subsidiary of the Company
(it being understood and agreed that the Merger Agreement contains provisions that govern the actions or inactions by the directors
of the Company with respect to the Merger and the other Transactions).

 

 

[The
next page is the signature page]

 

    14

     

    

 

IN
WITNESS WHEREOF, the parties hereto have executed this Stockholder Support Agreement as of the date first written above.

 

	 	CF FINANCE ACQUISITION CORP. III
	 	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:
	 	 	 
	 	 	 
	 	AEYE, INC.
	 	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:

 

 

[Signatures
continue on following pages]

 

[Signature
Page to Stockholder Support Agreement by and among CF Finance Acquisition Corp. III, AEye, Inc. and

the stockholders of AEye,
Inc. party thereto]

 

    15

     

    

 

	 	[STOCKHOLDER]
	 	 
	 	 
	 	[STOCKHOLDER]
	 	 
	 	 
	 	

 

 

[Signature
Page to Stockholder Support Agreement by and among CF Finance Acquisition Corp. III, AEye, Inc. and

the stockholders of AEye,
Inc. party thereto]

 

    16

     

    

 

SCHEDULE
I

 

	Stockholder
    & Notice Address	Shares
    and class of Company Capital Stock	Company
    Options	Company
    RSUs	Company
    Warrants (by class)	Beneficial
    or Record Ownership
	[●]
	[●]	[●]	[●]	[●]	 
	[●]
	[●]	[●]	[●]	[●]	 
	[●]
	[●]	[●]	[●]	[●]	 
	[●]
	[●]	[●]	[●]	[●]	 
	

        [●]
	[●]	[●]	[●]	[●]	 
	Total	[●]	[●]	[●]	[●]	 

 

    Sch. I-1

     

    

 

Exhibit
A

Form
of Spousal Consent

 

STOCKHOLDER
SUPPORT AGREEMENT

AND
LOCK-UP AGREEMENT

SPOUSAL
CONSENT

 

I
____________________, spouse of ____________________, have read and approve the foregoing Stockholder Support Agreement and that
certain Lock-Up Agreement, dated as of the date hereof, by and among my spouse, CF Finance Acquisition Corp. III, and AEye, Inc.
(collectively, the “Agreements”). In consideration of the terms and conditions as set forth in the Agreements,
I hereby appoint my spouse as my attorney-in-fact with respect to the exercise of any rights and obligations under the Agreements,
and agree to be bound by the provisions of the Agreements insofar as I may have any rights or obligations in the Agreements under
the community property laws or similar laws relating to marital or community property in effect in the state of our residence
as of the date of the Agreements.

 

	 	Date	 

 

	 	Signature of Spouse	 

 

	 	Printed Name of Spouse	 

 

	WITNESSED
    BY:	 
	 	 	 
	Date	 	 

 

	Signature	 	 

 

	Printed Name	 	 

 

    A-1Exhibit 10.3

 

SPONSOR
SUPPORT AGREEMENT

 

This
SPONSOR SUPPORT AGREEMENT (this “Agreement”) is made and entered into as of February 17, 2021, by and among
CF Finance Holdings III, LLC, a Delaware limited liability company (“Sponsor”), CF Finance Acquisition
Corp. III, a Delaware corporation (“Acquiror”), and AEye, Inc., a Delaware corporation (the “Company”).
Capitalized terms used but not defined herein have the meanings assigned to them in the Agreement and Plan of Merger dated as
of the date of this Agreement (as amended from time to time, the “Merger Agreement”) by and among Acquiror,
Meliora Merger Sub, Inc., a Delaware corporation and a direct wholly-owned subsidiary of Acquiror (“Merger Sub”),
and the Company.

 

WHEREAS,
Sponsor owns 5,710,000 shares (including any shares of Class A Common Stock (as defined below) issued upon conversion of such
shares, the “Founder Shares”) of Class B common stock, par value $0.0001 per share, of Acquiror (the “Class
B Common Stock”);

 

WHEREAS,
in connection with Acquiror’s initial public offering, Acquiror, Sponsor and certain officers and directors of Acquiror
(collectively, the “Insiders”) entered into a letter agreement, dated as of November 12, 2020 (the “Insider
Letter”), pursuant to which Sponsor and the Insiders agreed to certain voting requirements, transfer restrictions and
waiver of redemption rights with respect to the Acquiror securities owned by them;

 

WHEREAS,
Article IV, Section 4.3(b)(ii) of Acquiror’s Amended and Restated Certificate of Incorporation (the “Acquiror Charter”)
provides, among other matters, that the Founder Shares will automatically convert into shares of Class A Common Stock, par value
$0.0001 per share, of Acquiror upon the consummation of an initial business combination, subject to adjustment if additional shares
of Class A Common Stock (together with any successor equity security thereto in the Transactions (as defined below), “Class
A Common Stock”), or Equity-linked Securities (as defined in the Acquiror Charter), are issued or deemed issued in excess
of the amounts sold in Acquiror’s initial public offering (the “Anti-Dilution Right”), excluding certain
exempted issuances;

 

WHEREAS,
concurrently with the execution and delivery of this Agreement, Acquiror, Merger Sub and the Company are entering into the Merger
Agreement, pursuant to which, upon the consummation of the transactions contemplated thereby (the “Closing”),
among other matters, Merger Sub will merge with and into the Company (with the Company surviving such merger as a wholly-owned
subsidiary of Acquiror) upon the terms and subject to the conditions set forth therein (the transactions contemplated by the Merger
Agreement, the “Transactions”); and

 

WHEREAS,
as a condition and inducement to the Company’s willingness to enter into the Merger Agreement, the Company has required
that Sponsor enter into this Agreement.

 

NOW,
THEREFORE, in consideration of the representations, warranties, covenants and agreements contained herein and for other good and
valuable consideration, the receipt and adequacy of which are hereby acknowledged, and subject to the conditions set forth herein,
the parties hereto agree as follows:

 

     

     

    

 

Section
1 Enforcement of Sponsor Voting Requirements, Transfer Restrictions and Redemption Waiver. During the period beginning
on the date of this Agreement and ending on the earlier of (x) the Effective Time and (y) the date on which the Merger Agreement
is validly terminated in accordance with its terms, for the benefit of the Company, (a) Sponsor agrees that it will comply with,
and perform all of its obligations, covenants and agreements set forth in, the Insider Letter in all material respects, including
voting in favor of the Transactions and not redeeming its shares of Acquiror common stock in connection with the Transactions,
(b) Acquiror agrees to enforce the Insider Letter in accordance with its terms, and (c) each of Sponsor and Acquiror agree (i)
that the prior written consent of the Company (not to be unreasonably withheld, delayed or conditioned) will be required in addition
to the prior written consent of the Representative (as defined in the Insider Letter) for any of the matters described in clauses
(i) through (iii) under Section 3(a) of the Insider Letter, and (ii) not to amend, modify or waive any provision of the Insider
Letter without the prior written consent of the Company (not to be unreasonably withheld, delayed or conditioned). Notwithstanding
the foregoing, the Company hereby acknowledges that Sponsor has agreed to transfer forty (40%) percent of the Founder Shares to
Lidar AI Investments, LLC (or any of its affiliates or any related investment funds or vehicles controlled or managed by such
persons or their respective affiliates) after the Effective Time pursuant to the terms and conditions set forth in the Founder
Shares Transfer Agreement entered into among Sponsor, Acquiror and Lidar AI Investments, LLC as of the date hereof (the “Founder
Share Transfer Agreement”), and consents to such agreement and the performance of Sponsor’s and Acquiror’s
obligations thereunder and consummation of the transactions contemplated thereby. Sponsor and Acquiror represent and warrant that
(A) they have delivered a true and complete copy of the Founder Share Transfer Agreement to the Company, and (B) that the Founder
Share Transfer Agreement is in full force and effect as of the date of this Agreement. Sponsor and Acquiror agree not to amend,
modify or waive any provision of the Founder Share Transfer Agreement without the prior written consent of the Company (not to
be unreasonably withheld, delayed or conditioned).

 

Section
2 Waiver of Anti-Dilution Protection. Sponsor, as the holder of a majority of the issued and outstanding shares of
Class B Common Stock, solely in connection with and only for the purpose of the proposed Transactions, hereby waives, to the fullest
extent permitted by law, the Anti-Dilution Right, and agrees that the Class B Common Stock will convert only upon the Initial
Conversion Ratio (as defined in the Acquiror Charter) in connection with the Transactions. This waiver shall be void and of no
force and effect following the earlier of (x) the Effective Time and (y) the date on which the Merger Agreement is validly terminated
in accordance with its terms. All other terms related to the Class B Common Stock shall remain in full force and effect, except
as modified as set forth directly above, which modification shall be effective only upon the consummation of the Transactions.

 

Section
3 Waiver and Release of Claims. Sponsor covenants and agrees as follows:

 

(a)
Effective as of the Closing, subject to the limitations set forth in paragraph (c) below, Sponsor, on behalf of itself and
its successors, assigns, representatives, administrators, executors and agents, and any other person or entity claiming by,
through, or under any of the foregoing (each a “Releasing Party” and, collectively, the “Releasing
Parties”), does hereby unconditionally and irrevocably release, waive and forever discharge each of the Company,
Acquiror, Merger Sub and each of their respective past and present directors, officers, employees, agents, predecessors,
successors, assigns, Subsidiaries, from any and all past or present claims, demands, damages, judgments, causes of action and
liabilities of any nature whatsoever, whether or not known, suspected or claimed, arising directly or indirectly from any
act, omission, event or transaction occurring (or any circumstances existing) at or prior to the Closing (each a
“Claim” and, collectively, the “Claims”), including any and all Claims arising out of
or relating to (i) a Releasing Party’s capacity as a current or former stockholder, officer or director, manager,
employee or agent of Acquiror or any of its predecessors or Subsidiaries (or its capacity as a current or former trustee,
director, officer, manager, employee or agent of any other entity in which capacity it is or was serving at the request of
Acquiror or any of its Subsidiaries) or (ii) any Contract with Acquiror or any of its Subsidiaries entered into or
established prior to the Closing, with the effect that any such Contract, including any provision purporting to survive
termination of such Contract and without regard to any notice requirement thereunder, is hereby terminated in its entirety
with respect to Sponsor.

 

    2

     

    

 

(b)
Sponsor acknowledges that it may hereafter discover facts in addition to or different from those which it now knows or believes
to be true with respect to the subject matter of this Agreement, and that it may hereafter come to have a different understanding
of the law that may apply to potential claims which it is releasing hereunder, but it affirms that, except as is otherwise specifically
provided herein, it is its intention to fully, finally and forever settle and release any and all Claims. In furtherance of this
intention, Sponsor acknowledges that the releases contained herein shall be and remain in effect as full and complete general
releases notwithstanding the discovery or existence of any such additional facts or different understandings of law. Sponsor knowingly
and voluntarily waives and releases any and all rights and benefits it may now have, or in the future may have, under Section
1542 of the California Civil Code (or any analogous law of any other state), which reads as follows:

 

“A
GENERAL RELEASE DOES NOT EXTEND TO CLAIMS THAT THE CREDITOR OR RELEASING PARTY DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER
FAVOR AT THE TIME OF EXECUTING THE RELEASE AND THAT, IF KNOWN BY HIM OR HER, WOULD HAVE MATERIALLY AFFECTED HIS OR HER SETTLEMENT
WITH THE DEBTOR OR RELEASED PARTY.”

 

Sponsor
understands that Section 1542, or a comparable statute, rule, regulation or order of another jurisdiction, gives Sponsor the right
not to release existing Claims of which Sponsor is not aware, unless Sponsor voluntarily chooses to waive this right. Having been
so apprised, Sponsor nevertheless hereby voluntarily elects to and does waive the rights described in Section 1542, or such other
comparable statute, rule, regulation or order, and elects to assume all risks for Claims that exist, existed or may hereafter
exist in its favor, known or unknown, suspected or unsuspected, arising out of or related to claims or other matters purported
to be released pursuant to this Section 3(b), in each case, effective as of the Closing. Sponsor acknowledges and agrees
that the foregoing waiver is an essential and material term of the release provided pursuant to this Section 3(b) and that,
without such waiver, Acquiror and the Company would not have agreed to the terms of this Agreement.

 

(c)
Notwithstanding the foregoing provisions of this Section 3 or anything to the contrary set forth herein, the Releasing
Parties do not release or discharge, and each Releasing Party expressly does not release or discharge: (i) any Claims that arise
under or are based upon the terms of (A) this Agreement, the Merger Agreement (including with respect to any Acquiror Transaction
Expenses), any of the Ancillary Agreements, any Letter of Transmittal or any other document, certificate or Contract executed
or delivered in connection with the Merger Agreement; (B) the Insider Letter, (C) the Registration Rights Agreement, dated as
of November 12, 2020, by and among Acquiror, Sponsor and the other Holders party thereto, (D) the Expense Advancement Agreement,
dated as of November 12, 2020, by and between Acquiror and Sponsor, the promissory note, dated as of November 12, 2020 by Acquiror
in favor of the Sponsor, and any other promissory notes and/or expense advance agreements entered into by and between Acquiror
and Sponsor prior to the Closing without violation of the terms of the Merger Agreement, or (E) any PIPE Subscription Agreements
to which a Releasing Party may be a party, as each such agreement or instrument described in this clause (i) may be amended in
accordance with its terms; (ii) any rights with respect to the capital stock or warrants of Acquiror owned by such Releasing Party,
or (iii) any Claims for indemnification, contribution, set-off, reimbursement or similar rights pursuant to any certificate of
incorporation or bylaws of Acquiror or any of its Subsidiaries or any indemnity or similar agreements by Acquiror or any of its
Subsidiaries with or for the benefit of a Releasing Party.

 

(d)
Notwithstanding the foregoing provisions of this Section 3, nothing contained in this Agreement shall be construed as an
admission by any party hereto of any liability of any kind to any other party hereto. Notwithstanding anything to the contrary
contained herein, Sponsor and Acquiror (and each of their respective Affiliates) shall be deemed not to be Affiliates of each
other for purposes of this Section 3.

 

    3

     

    

 

Section
5 General.

 

(a)
Termination. This Agreement shall terminate on the earlier to occur of (a) the Effective Time or (b) at such time, if any,
as the Merger Agreement is terminated in accordance with its terms prior to the Closing, and upon such termination this Agreement
shall be null and void and of no effect whatsoever, and the parties hereto shall have no obligations under this Agreement; provided,
however, that no termination of this Agreement shall relieve or release a party from any obligations or liabilities arising
out of such party’s breaches of this Agreement prior to such termination.

 

(b)
Notices. All notices, consents, waivers and other communications hereunder shall be in writing and shall be deemed to have
been duly given when delivered (i) in person, (ii) by email during normal business hours, (iii) by FedEx or other nationally recognized
overnight courier service, or (iv) after posting in the United States mail having been sent registered or certified mail return
receipt requested, postage prepaid, and otherwise on the next Business Day, addressed as follows (or at such other address for
a party as shall be specified by like notice):

 

if
to Acquiror, to it at:

 

CF
Finance Acquisition Corp. III

110
East 59th Street

New York, NY 10022

Attention:
Chief Executive Officer

Email:
CFFinanceIII@cantor.com

 

with
a copy to:

 

Hughes
Hubbard & Reed LLP

One
Battery Park Plaza

New
York, NY 10004

Attention:
Kenneth A. Lefkowitz

Facsimile:
+1 212 299-6557

Email:
ken.lefkowitz@hugheshubbard.com 

 

if
to the Sponsor, to it at:

 

CF
Finance Holdings III, LLC

110
East 59th Street

New
York, NY 10022

Attention:
Chief Executive Officer

Email:
CFFinanceIII@cantor.com

 

if
to the Company, to it at:

 

AEye,
Inc.

1
Park Pl

Dublin,
CA 94568

Attention:
Chief Executive Officer

Email:
blacorte@aeye.ai

 

    4

     

    

 

with
a copy to:

 

DLA
Piper LLP (US)

555
Mission Street

Suite
2400

San
Francisco, CA 94105

Attention:
Jeffrey Selman; John Maselli; Jonathan Axelrad

Email:
jeffrey.selman@us.dlapiper.com; john.maselli@us.dlapiper.com;

jonathan.axelrad@us.dlapiper.com

 

(c)
Entire Agreement. This Agreement (including the Merger Agreement and each of the other documents and the instruments referred
to herein, to the extent incorporated herein) constitutes the entire agreement and understanding of the parties hereto in respect
of the subject matter hereof and supersedes all prior understandings, agreements, or representations by or among the parties hereto,
written or oral, to the extent they relate in any way to the subject matter hereof.

 

(d)
Governing Law; Jurisdiction; Waiver of Jury Trial. Sections 10.7 and 10.14 of the Merger Agreement shall apply to this
Agreement mutatis mutandis.

 

(e)
Remedies. All rights and remedies existing under this Agreement are cumulative to, and not exclusive of any rights or remedies
otherwise available. The parties hereto agree that irreparable damage could occur in the event that any of the provisions of this
Agreement were not performed in accordance with their specific terms or were otherwise breached. It is accordingly agreed that
the parties shall be entitled to seek an injunction or injunctions to prevent breaches of this Agreement and to specific enforcement
of the terms and provisions of this Agreement, in addition to any other remedy to which any party is entitled at law or in equity.
In the event that any Action shall be brought in equity to enforce the provisions of this Agreement, no party shall allege, and
each party hereby waives the defense, that there is an adequate remedy at law, and each party agrees to waive any requirement
for the securing or posting of any bond in connection therewith.

 

(f)
Amendments and Waivers. This Agreement may be amended or modified only with the written consent of Acquiror, the Company
and Sponsor. The observance of any term of this Agreement may be waived (either generally or in a particular instance, and either
retroactively or prospectively) only with the written consent of the party against whom enforcement of such waiver is sought.
No failure or delay by a party in exercising any right hereunder shall operate as a waiver thereof. No waivers of or exceptions
to any term, condition, or provision of this Agreement, in any one or more instances, shall be deemed to be or construed as a
further or continuing waiver of any such term, condition, or provision.

 

(g)
Severability. If any provision of this Agreement is held invalid or unenforceable by any court of competent jurisdiction,
the other provisions of this Agreement shall remain in full force and effect. The parties further agree that if any provision
contained herein is, to any extent, held invalid or unenforceable in any respect under the Laws governing this Agreement, they
shall take any actions necessary to render the remaining provisions of this Agreement valid and enforceable to the fullest extent
permitted by Law and, to the extent necessary, shall amend or otherwise modify this Agreement to replace any provision contained
herein that is held invalid or unenforceable with a valid and enforceable provision giving effect to the intent of the parties.

 

(h)
Assignment. No party hereto may assign either this Agreement or any of its rights, interests, or obligations hereunder
without the prior written consent of the other parties; provided, that in the event that Sponsor transfers any of its Founder
Shares or Private Placement Units (as defined in the Insider Letter) (or component securities or shares of Class A Common Stock
issuable upon the exercise of the warrants underlying the Private Placement Units) to any Permitted Transferee in accordance with
Section 7(c) of the Insider Letter and this Agreement, Sponsor may, by providing notice to Acquiror and the Company prior to or
promptly after such transfer, transfer its rights and obligations under this Agreement with respect to such securities to such
Permitted Transferee so long as such Permitted Transferee agrees in writing to be bound by the terms of this Agreement that apply
to Sponsor hereunder with respect to such securities. Any purported assignment in violation of this Section 5(h) shall
be void and ineffectual and shall not operate to transfer or assign any interest or title to the purported assignee. This Agreement
shall be binding on the undersigned and their respective successors and permitted assigns.

 

    5

     

    

 

(i)
Costs and Expenses. Each party to this Agreement will pay its own costs and expenses (including legal, accounting and other
fees) relating to the negotiation, execution, delivery and performance of this Agreement.

 

(j)
No Joint Venture. Nothing contained in this Agreement shall be deemed or construed as creating a joint venture or partnership
between any of the parties hereto. No party is by virtue of this Agreement authorized as an agent, employee or legal representative
of any other party. Without in any way limiting the rights or obligations of any party hereto under this Agreement, prior to the
Effective Time, (i) no party shall have the power by virtue of this Agreement to control the activities and operations of any
other and (ii) no party shall have any power or authority by virtue of this Agreement to bind or commit any other party. No party
shall hold itself out as having any authority or relationship in contravention of this Section 5(j).

 

(k)
Capacity as Stockholder. Sponsor signs this Agreement solely in its capacity as a stockholder of Acquiror, and not in its
capacity as a director (including “director by deputization”), officer or employee of Acquiror, if applicable. Nothing
herein shall be construed to limit or affect any actions or inactions by Sponsor or any representative of Sponsor, as applicable,
serving as a director of Acquiror or any Subsidiary of Acquiror, acting in such person’s capacity as a director or officer
of Acquiror or any Subsidiary of Acquiror (it being understood and agreed that the Merger Agreement contains provisions that govern
the actions or inactions by the directors of the Company with respect to the Merger and Transactions).

 

(l)
Headings; Interpretation. The headings and subheadings in this Agreement are for convenience only and shall not be considered
a part of or affect the construction or interpretation of any provision of this Agreement. In this Agreement, unless the context
otherwise requires: (i) any pronoun used shall include the corresponding masculine, feminine or neuter forms, and the singular
form of nouns, pronouns and verbs shall include the plural and vice versa; (ii) the term “including” (and with correlative
meaning “include”) shall be deemed in each case to be followed by the words “without limitation”; (iii)
the words “herein,” “hereto,” and “hereby” and other words of similar import shall be deemed
in each case to refer to this Agreement as a whole and not to any particular section or other subdivision of this Agreement; and
(iv) the term “or” means “and/or”. The parties have participated jointly in the negotiation and drafting
of this Agreement. Consequently, in the event an ambiguity or question of intent or interpretation arises, this Agreement shall
be construed as if drafted jointly by the parties hereto, and no presumption or burden of proof shall arise favoring or disfavoring
any party by virtue of the authorship of any provision of this Agreement.

 

(m)
Counterparts. This Agreement may be executed in two or more counterparts, and by different parties in separate counterparts,
with the same effect as if all parties hereto had signed the same document, but all of which together shall constitute one and
the same instrument. Copies of executed counterparts of this Agreement transmitted by electronic transmission (including by email
or in .pdf format) or facsimile as well as electronically or digitally executed counterparts (such as DocuSign) shall have the
same legal effect as original signatures and shall be considered original executed counterparts of this Agreement.

 

 

[The
next page is the signature page]

 

    6

     

    

 

IN
WITNESS WHEREOF, the parties hereto have executed this Sponsor Support Agreement as of the date first written above.

 

		ACQUIROR:
	 	 	 
	 	CF
                                         FINANCE ACQUISITION CORP. III
	 	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:
	 	 	 
	 	 	 
	 	SPONSOR:
	 	 	 
	 	CF
                                         FINANCE HOLDINGS III, LLC
	 	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:
	 	 	 
	 	 	 
	 	THE
                                         COMPANY:
	 	 	 
	 	AEYE,
                                         Inc.
	 	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:

 

 

[Signature
Page to Sponsor Support Agreement (Project Meliora)]

 

    7

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