Document:

Exhibit 10.1

 

SECURITIES PURCHASE AGREEMENT

 

This
Securities Purchase Agreement (this “Agreement”) is made and entered into as of February 17,
2015, by and among Cirque Energy, Inc., a Florida corporation (the “Company”),
and each of the purchasers listed on Exhibit A attached hereto (collectively, the “Purchasers”
and individually, a “Purchaser”).

 

Recitals

 

 

A.           The
Company desires to issue and sell to the Purchasers, and the Purchasers desire to Purchase from the Company, up to 25,000 shares
of Class D Convertible Preferred Stock (“Class D Preferred Stock”), of the Company, on the terms and
subject to the conditions set forth in this Securities Purchase Agreement.

 

B.           The
Company and each Purchaser are executing and delivering this Agreement in reliance upon the exemption from securities registration
afforded by the provisions of Regulation D (“Regulation D”), as promulgated by the United States Securities
and Exchange Commission (the “SEC”) under the Securities Act of 1933, as amended (the “Securities
Act”).

 

The parties hereto
agree as follows:

 

1.          Agreement
To Purchase And Sell Stock.

 

(a)          Authorization.
The Company’s Board of Directors has authorized the issuance and sale, pursuant to the terms and conditions of this Agreement,
of up to 50,000 shares of Class D Preferred Stock (the “Shares” or the “Securities”).

 

(b)          Agreement
to Purchase and Sell Securities. On the terms and subject to the conditions contained in this Agreement, each Purchaser severally
agrees to purchase, and the Company agrees to sell and issue to each Purchaser, at Closing (as defined below), that number of Securities
set forth on such Purchaser’s signature page. The purchase price of each Share shall be $10.00.

 

(c)          Use
of Proceeds. The Company intends to apply the net proceeds from the sale of the Securities for working capital and general
corporate purposes, as well as for strategic purposes in connection with selected acquisitions that may be considered in the future.

 

(d)          Obligations
Several Not Joint. The obligations of each Purchaser under this Agreement are several and not joint with the obligations of
any other Purchaser, and no Purchaser shall be responsible in any way for the performance of the obligations of any other Purchaser
under this Agreement. Nothing contained herein, and no action taken by any Purchaser pursuant hereto, shall be deemed to constitute
the Purchasers as a partnership, an association, a joint venture or any other kind of entity, or create a presumption that the
Purchasers are in any way acting in concert or as a group with respect to such obligations or the transactions contemplated by
this Agreement. Each Purchaser shall be entitled to independently protect and enforce its rights, including without limitation
the rights arising out of this Agreement, and it shall not be necessary for any other Purchaser to be joined as an additional party
in any proceeding for such purpose.

 

2.          Closing.
The initial closing and all subsequent closings of the purchase and sale of the Securities shall take place at the offices of Sichenzia
Ross Friedman Ference LLP, 61 Broadway, New York, New York 10006 at such time and place as the Company shall determine (each of
which time and place are referred to in this Agreement as a “Closing”). At each Closing, each Purchaser
shall deliver to the Company, via wire transfer or a certified check, immediately available funds for full payment of the purchase
price for the Securities purchased by such Purchaser as specified in Section 1(b), and the Company shall deliver to each Purchaser
its respective Shares registered in the name of each Purchaser (or in such nominee name(s) as designated by such Purchaser in the
Stock Certificate Questionnaire (attached hereto as Appendix I) (the “Stock Certificate Questionnaire”),
representing the appropriate number of Shares based on the number of Shares to be purchased by such Purchaser as set forth on such
Purchaser’s signature page, and bearing the legend set forth in Section 4(j) herein. Closing documents may be delivered by
facsimile with original signature pages sent by overnight courier. The date of each Closing is referred to herein as a “Closing
Date.”

 

    	 

    	 

    

 

3.          Representations
and Warranties of The Company. The Company hereby represents and warrants to each Purchaser that the statements in this
Section 3 are true and correct:

 

(a)          Organization,
Good Standing and Qualification. The Company is a corporation duly organized, validly existing and in good standing under the
laws of the jurisdiction in which it was formed. The Company has all corporate power and authority required to carry on its business
as presently conducted and as described in the SEC Documents (as described below), and the Company has all corporate power and
authority required to enter into this Agreement and the other agreements, instruments and documents contemplated hereby, and to
consummate the transactions contemplated hereby and thereby. The Company is duly qualified as a foreign entity to do business and
is in good standing in each jurisdiction in which the failure to so qualify would have a Material Adverse Effect. As used in this
Agreement “Subsidiaries” means any entity in which the Company owns, directly or indirectly, 100% of
the capital stock. Further, as used in this Agreement, “Material Adverse Effect” means a material adverse
effect on, or a material adverse change in, or a group of such effects on or changes in, the business, operations, condition, financial
or otherwise, results of operations, prospects, assets or liabilities of the Company and its subsidiaries, taken as a whole.

 

(b)          Capitalization.
The capitalization of the Company, without including the Securities to be purchased pursuant to this Agreement, is as follows:

 

(i)          The
authorized capital stock of the Company consists of 300,000,000 shares of common stock, par value $0.0001 per share (“Common
Stock”), and 20,000,000 shares of preferred stock, par value $0.001 per share (“Preferred Stock”).
13,420 shares of Preferred Stock have been designated as the Class A Convertible Preferred Stock (the “Class A Shares”),
100,000 shares of Preferred Stock have been designated as the Class B Convertible Preferred Stock (the “Class B Shares”),
100,000 shares of Preferred Stock have been designated as the Class C Convertible Preferred Stock (the “Class C Shares”),
and 50,000 shares of Preferred Stock have been designated as the Class D Convertible Preferred Stock.

 

(ii)         As
of the date of this Agreement, the issued and outstanding capital stock of the Company consisted of 192,532,405 shares of Common
Stock, 13,420 Class A Shares, 38,193 Class B Shares, 24,340 Class C Shares and no Class D Shares. The shares of issued and outstanding
capital stock of the Company have been duly authorized and validly issued, are fully paid and non-assessable and have not been
issued in violation of or are not otherwise subject to any preemptive or other similar rights. All such shares have been issued
in compliance with applicable securities laws.

 

(c)          Subsidiaries.
The Company has no Subsidiaries.

 

(d)          Due
Authorization. All corporate actions on the part of the Company necessary for the authorization, execution, delivery of, and
the performance of all obligations of the Company under this Agreement and the authorization, issuance, reservation for issuance
and delivery of all of the Securities being sold under this Agreement have been taken, no further consent or authorization of the
Company or the Board of Directors or its stockholders is required, and this Agreement constitutes the legal, valid and binding
obligation of the Company, enforceable against the Company in accordance with its terms, except (i) as may be limited by (A) applicable
bankruptcy, insolvency, reorganization or others laws of general application relating to or affecting the enforcement of creditors’
rights generally and (B) the effect of rules of law governing the availability of equitable remedies and (ii) as rights to indemnity
or contribution may be limited under federal or state securities laws or by principles of public policy thereunder.

 

(e)          Valid
Issuance of Securities.

 

(i)          Securities.
The Shares will be, upon payment therefore by the Purchasers in accordance with this Agreement (and the Conversion Shares as defined
and in accordance with the Certificate of Designation of the Class D Preferred Stock), duly authorized, validly issued, fully paid
and non-assessable, free from all taxes, liens, claims, encumbrances with respect to the issuance of such Securities and will not
be subject to any pre-emptive rights or similar rights.

 

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(ii)         Compliance
with Securities Laws. Subject to the accuracy of the representations made by the Purchasers in Section 4 hereof, the Securities
(assuming no unlawful redistribution of the Securities by the Purchasers or other parties as of the date hereof) will be issued
to the Purchasers in compliance with applicable exemptions from (A) the registration and prospectus delivery requirements of the
Securities Act and (B) the registration and qualification requirements of all applicable securities laws of the states of the United
States.

 

(f)          Consents
and Approvals. No consent, approval, order or authorization of, or registration, qualification, designation, declaration or
filing with, or notice to, any federal, state or local governmental authority or self-regulatory agency or any other person on
the part of the Company is required in connection with the issuance of the Securities to the Purchasers, or the consummation of
the other transactions contemplated by this Agreement, except (i) such filings as have been made prior to the date hereof and (ii)
such additional post-Closing filings as may be required to comply with applicable state and federal securities laws.

 

(g)          Non-Contravention.
The execution, delivery and performance of this Agreement by the Company, and the consummation by the Company of the transactions
contemplated hereby (including issuance of the Securities), do not: (i) contravene or conflict with the Articles of Incorporation
of the Company, as amended to date (the “Articles of Incorporation”), or the Bylaws of the Company, as
amended to date (the “Bylaws”); (ii) constitute a violation of any provision of any federal, state, local
or foreign law, rule, regulation, order or decree applicable to the Company; or (iii) constitute a default (or an event that with
notice or lapse of time or both would become a default) or require any consent under, give rise to any right of termination, cancellation
or acceleration of, or to a loss of any material benefit to which the Company is entitled under, or result in the creation or imposition
of any lien, claim or encumbrance on any assets of the Company under, any material contract to which the Company is a party or
any material permit, license or similar right relating to the Company or by which the Company may be bound or affected.

 

(h)          Litigation.
There is no action, suit, proceeding, claim or arbitration (“Action”) pending or, to the Company’s
knowledge, threatened in writing: (i) against the Company, its activities, properties or assets, or any officer, director
or employee of the Company in connection with such officer’s, director’s or employee’s relationship with, or
actions taken on behalf of, the Company, that is reasonably likely to have a Material Adverse Effect; or (ii) that seeks to prevent,
enjoin, alter, challenge or delay the transactions contemplated by this Agreement (including the issuance of the Securities).

 

(i)          Compliance.
The Company is not in violation or default of any provisions of the Articles of Incorporation or the Bylaws and the Company is
not in violation or default of any provisions of its organizational documents. The Company has complied and is currently in compliance
with all applicable statutes, laws, rules, regulations and orders of the United States of America and all states thereof, and other
governmental bodies and agencies having jurisdiction over the Company’s businesses or properties, except for any instance
of non-compliance that has not had, and would not reasonably be expected to have, a Material Adverse Effect.

 

(j)          SEC
Documents. The Company has filed all reports, schedules, forms, statements and other documents required to be filed by it with
the SEC pursuant to the reporting requirements of the Securities Exchange Act of 1934, as amended (the “Exchange Act”),
and the rules and regulations promulgated thereunder. The Company has made available, by reference to SEC’s web site www.sec.gov,
to the Purchasers prior to the date hereof copies of its Quarterly Report on Form 10-Q for the period ended September 30, 2014
(the “Form 10-Q”), its Annual Report on Form 10-K for the fiscal year ended December 31, 2013 (the
“Form 10-K”) and any Current Report on Form 8-K for events occurring since December 31, 2013 (“Forms
8-K”) filed by the Company with the SEC (the Form 10-Q, Form 10-K and the Forms 8-K are collectively referred
to herein as the “SEC Documents”). Each of the SEC Documents, as of the respective dates thereof (or,
if amended or superseded by a filing prior to the Closing Date, then on the date of such filing), did not contain any untrue statement
of a material fact or omit to state a material fact necessary in order to make the statements made therein, in light of the circumstances
under which they were made, not misleading. Each SEC Document, as it may have been subsequently amended by filings made by the
Company with the SEC prior to the date hereof, complied in all material respects with the requirements of the Exchange Act and
the rules and regulations of the SEC promulgated thereunder applicable to such SEC Document.

 

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(k)          Title
to Property and Assets. Except as set forth in the SEC Documents, the properties and assets of the Company are owned by the
Company free and clear of all mortgages, deeds of trust, liens, charges, encumbrances and security interests except for (i) statutory
liens for the payment of current taxes that are not yet delinquent and (ii) liens, encumbrances and security interests that arise
in the ordinary course of business and do not in any material respect affect the properties and assets of the Company. With respect
to the property and assets it leases, the Company is in compliance with such leases in all material respects.

 

(l)          Taxes.
The Company has filed or has valid extensions of the time to file all necessary federal, state, and local tax returns due prior
to the date hereof and has paid or accrued all taxes shown as due thereon, and the Company has no knowledge of any material tax
deficiency that has been or might be asserted or threatened against it or any of its Subsidiaries.

 

(m)        Labor
Relations. No material labor dispute exists or, to the knowledge of the Company, is imminent with respect to any of the employees
of the Company. No executive officer, to the knowledge of the Company, is, or is now expected to be, in violation of any material
term of any employment contract, confidentiality, disclosure or proprietary information agreement or non-competition agreement,
or any other contract or agreement or any restrictive covenant, and the continued employment of each such executive officer does
not subject the Company or any of its Subsidiaries to any liability with respect to any of the foregoing matters.

 

(n)          Internal
Accounting Controls. The Company maintains a system of internal accounting controls sufficient to provide reasonable assurance
that (i) transactions are executed in accordance with management’s general or specific authorizations, (ii) transactions
are recorded as necessary to permit preparation of financial statements in conformity with GAAP and to maintain asset accountability,
(iii) access to assets is permitted only in accordance with management’s general or specific authorization and (iv) the recorded
accountability for assets is compared with the existing assets at reasonable intervals and appropriate action is taken with respect
to any differences.

 

(o)          Investment
Company. The Company is not now, and after the sale of the Securities under this Agreement and the application of the net proceeds
from the sale of the Securities described in Section 1(b) herein will not be, an “investment company” within the meaning
of the Investment Company Act of 1940, as amended.

 

(q)          Brokers.
Neither the Company nor any Subsidiary has any liability to pay any fees, commissions or other similar compensation to any broker,
finder, investment banker, financial advisor or other similar person in connection with the transactions contemplated by this Agreement.
The Purchasers shall have no obligation with respect to any fees or with respect to any claims made by or on behalf of other persons
for fees of a type contemplated in this Section that may be due in connection with the transactions contemplated by this Agreement.

 

(r)          Purchaser
Representations. The Company acknowledges and agrees that no Purchaser makes or has made any representations or warranties
with respect to the transactions contemplated hereby other than those specifically set forth in Section 4 hereof.

 

(s)          No
Disagreements with Accountants and Lawyers. There are no disagreements of any kind presently existing, or reasonably anticipated
by the Company to arise, between the Company and the accountants and lawyers engaged by the Company.

 

(t)          Acknowledgment
Regarding Purchasers’ Purchase of Securities. The Company acknowledges and agrees that each of the Purchasers is acting
solely in the capacity of an arm’s length purchaser with respect to this Agreement and the transactions contemplated hereby.
The Company further acknowledges that no Purchaser is acting as a financial advisor or fiduciary of the Company (or in any similar
capacity) with respect to this Agreement and the transactions contemplated hereby and any advice given by any Purchaser or any
of their respective representatives or agents in connection with this Agreement and the transactions contemplated hereby is merely
incidental to the Purchasers’ purchase of the Securities. The Company further represents to each Purchaser that the Company’s
decision to enter into this Agreement has been based solely on the independent evaluation of the transactions contemplated hereby
by the Company and its representatives.

 

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4.          Representations,
Warranties and Certain Agreements of The Purchasers. Each Purchaser hereby represents and warrants to the Company, severally
and not jointly, and agrees that:

 

(a)          Organization,
Good Standing and Qualification. The Purchaser has all corporate, membership or partnership power and authority required to
enter into this Agreement and the other agreements, instruments and documents contemplated hereby, and to consummate the transactions
contemplated hereby and thereby.

 

(b)          Authorization.
The execution of this Agreement has been duly authorized by all necessary corporate, membership or partnership action on the part
of the Purchaser. This Agreement constitutes the Purchaser’s legal, valid and binding obligation, enforceable in accordance
with its terms, except (i) as may be limited by (A) applicable bankruptcy, insolvency, reorganization or other laws of general
application relating to or affecting the enforcement of creditors’ rights generally and (B) the effect of rules of law governing
the availability of equitable remedies and (ii) as rights to indemnity or contribution may be limited under federal or state securities
laws or by principles of public policy thereunder.

 

(c)          Litigation.
There is no Action pending to which such Purchaser is a party that is reasonably likely to prevent, enjoin, alter or delay the
transactions contemplated by this Agreement.

 

(d)          Purchase
for Own Account. The Securities are being acquired for investment for the Purchaser’s own account, not as a nominee or
agent, and not with a view to the public resale or distribution thereof within the meaning of the Securities Act, without prejudice,
however, to such Purchaser’s right at all times to sell or otherwise dispose of all or any part of such securities in compliance
with applicable federal and state securities laws. The Purchaser also represents that it has not been formed for the specific purpose
of acquiring the Securities.

 

(e)          Investment
Experience. The Purchaser understands that the purchase of the Securities involves substantial risk. The Purchaser has experience
as an investor in securities of companies and acknowledges that it can bear the economic risk of its investment in the Securities
and has such knowledge and experience in financial or business matters that it is capable of evaluating the merits and risks of
this investment in the Securities and protecting its own interests in connection with this investment.

 

(f)          Accredited
Investor Status. The Purchaser is an “accredited investor” within the meaning of Regulation D promulgated under
the Securities Act.

 

(g)          Reliance
Upon Purchaser’s Representations. The Purchaser understands that the issuance and sale of the Securities to it will not
be registered under the Securities Act on the ground that such issuance and sale will be exempt from registration under the Securities
Act pursuant to Section 4(a)(2) thereof, and that the Company’s reliance on such exemption is based on each Purchaser’s
representations set forth herein.

 

(h)          Receipt
of Information. The Purchaser has had an opportunity to ask questions and receive answers from the Company regarding the terms
and conditions of the issuance and sale of the Securities and the business, properties, prospects and financial condition of the
Company and to obtain any additional information requested and has received and considered all information it deems relevant to
make an informed decision to purchase the Securities. Neither such inquiries nor any other investigation conducted by or on behalf
of such Purchaser or its representatives or counsel shall modify, amend or affect such Purchaser’s right to rely on the truth,
accuracy and completeness of such information and the Company’s representations and warranties contained in this Agreement.

 

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(i)          Restricted
Securities. The Purchaser understands that the Securities have not been registered under the Securities Act and will not sell,
offer to sell, assign, pledge, hypothecate or otherwise transfer any of the Securities unless (i) pursuant to an effective registration
statement under the Securities Act, (ii) such holder provides the Company with an opinion of counsel, in form and substance reasonably
acceptable to the Company, to the effect that a sale, assignment or transfer of the Securities may be made without registration
under the Securities Act and the transferee agrees to be bound by the terms and conditions of this Agreement, or (iii) such holder
provides the Company with reasonable assurances (in the form of seller and broker representation letters) that the Securities or
the Conversion Shares underlying the Securities, as the case may be, can be sold pursuant to Rule 144 promulgated under the Securities
Act (“Rule 144”).

 

For the purposes of
this Agreement, an “Affiliate” of any specified Purchaser means any other person or entity directly or
indirectly controlling, controlled by or under direct or indirect common control with such specified Purchaser. For purposes of
this definition, “control” means the power to direct the management and policies of such person or firm,
directly or indirectly, whether through the ownership of voting securities, by contract or otherwise.

 

(j)          Legends.
The Purchaser agrees that the certificates for the Shares and the Conversion Shares underlying the Shares shall bear the following
legend and that the Purchaser will comply with the restrictions on transfer set forth in such legend:

 

“THESE SECURITIES HAVE NOT
BEEN REGISTERED WITH THE SECURITIES AND EXCHANGE COMMISSION OR THE SECURITIES COMMISSION OF ANY STATE IN RELIANCE UPON AN EXEMPTION
FROM REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND, ACCORDINGLY, MAY
NOT BE OFFERED OR SOLD EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OR PURSUANT TO AN AVAILABLE
EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT AND IN ACCORDANCE WITH
APPLICABLE STATE SECURITIES LAWS AS EVIDENCED BY A LEGAL OPINION OF COUNSEL TO THE TRANSFEROR TO SUCH EFFECT, THE SUBSTANCE OF
WHICH SHALL BE REASONABLY ACCEPTABLE TO THE COMPANY.”

 

(k)          Questionnaires.
The Purchaser has completed or caused to be completed the Stock Certificate Questionnaire, and the answers to such questionnaires
are true and correct as of the date of this Agreement..

 

(l)          Prohibited
Transactions. During the last thirty (30) days prior to the date hereof, neither such Purchaser nor any Affiliate of such Purchaser,
foreign or domestic, has, directly or indirectly, effected or agreed to effect any “short sale” (as defined in Rule
200 under Regulation SHO), whether or not against the box, established any “put equivalent position” (as defined in
Rule 16a-1(h) under the Exchange Act) with respect to the Common Stock, borrowed or pre-borrowed any shares of Common Stock, or
granted any other right (including, without limitation, any put or call option) with respect to the Common Stock or with respect
to any security that includes, relates to or derived any significant part of its value from the Common Stock or otherwise sought
to hedge its position in the Company’ securities (each, a “Prohibited Transaction”).

 

5.          Conditions
to The Purchaser’s Obligations at the Closing. The obligations of
the Purchasers under Section 1(b) of this Agreement are subject to the fulfillment or waiver, on or before the Closing, of each
of the following conditions:

 

(a)          Representations
and Warranties True. Each of the representations and warranties of the Company contained in Section 3 shall be true and correct
in all material respects on and as of the date hereof (provided, however, that such materiality qualification shall only
apply to representations or warranties not otherwise qualified by materiality) and on and as of the date of the Closing with the
same effect as though such representations and warranties had been made as of the Closing; provided, however, that if a representation
and warranty is made as of a specific date, it shall be true and correct in all material respects only as of such date.

 

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(b)          Performance.
The Company shall have performed and complied in all material respects with all agreements, obligations and conditions contained
in this Agreement that are required to be performed or complied with by it on or before the Closing and shall have obtained all
approvals, consents and qualifications necessary to complete the purchase and sale described herein; provided, however,
that the Company may furnish to each Purchaser a facsimile copy of stock certificate representing the Securities, with the original
stock certificate held in trust by counsel for the Company until delivery thereof on the next business day.

 

(c)          Agreement.
The Company shall have executed and delivered to the Purchasers this Agreement.

 

(d)          No
Statute or Rule Challenging Transaction. No statute, rule, regulation, executive order, decree, ruling, injunction, action,
proceeding or interpretation shall have been enacted, entered, promulgated, endorsed or adopted by any court or governmental authority
of competent jurisdiction or any self-regulatory organization or the staff of any of the foregoing, having authority over the matters
contemplated hereby that questions the validity of, or challenges or prohibits the consummation of, any of the transactions contemplated
by this Agreement.

 

(e)          Other
Actions. The Company shall have executed such certificates, agreements, instruments and other documents, and taken such other
actions as shall be customary or reasonably requested by the Purchasers in connection with the transactions contemplated hereby.

 

6.          Conditions
to The Company’s Obligations at the Closing. The obligations of the Company to the Purchasers under this Agreement
are subject to the fulfillment or waiver, on or before the Closing, of each of the following conditions:

 

(a)          Representations
and Warranties True. The representations and warranties of the Purchasers contained in Section 4 shall be true and correct
in all material respects on and as of the date hereof (provided, however, that such materiality qualification shall only
apply to representations and warranties not otherwise qualified by materiality) and on and as of the date of the Closing with the
same effect as though such representations and warranties had been made as of the Closing.

 

(b)          Performance.
The Purchasers shall have performed and complied in all material respects with all agreements, obligations and conditions contained
in this Agreement that are required to be performed or complied with by it on or before the Closing and shall have obtained all
approvals, consents and qualifications necessary to complete the purchase and sale described herein.

 

(c)          Agreement.
The Purchasers shall have executed and delivered to the Company this Agreement (and Appendix I hereto).

 

(d)          Securities
Exemptions. The offer and sale of the Securities to the Purchasers pursuant to this Agreement shall be exempt from the registration
requirements of the Securities Act and the registration and/or qualification requirements of all applicable state securities laws.

 

(e)          Payment
of Purchase Price. The Purchasers shall have delivered to the Company by wire transfer of immediately available funds, full
payment of the purchase price for the Securities as specified in Section 1(b).

 

(f)          No
Statute or Rule Challenging Transaction. No statute, rule, regulation, executive order, decree, ruling, injunction, action,
proceeding or interpretation shall have been enacted, entered, promulgated, endorsed or adopted by any court or governmental authority
of competent jurisdiction or any self-regulatory organization or the staff of any of the foregoing, having authority over the matters
contemplated hereby that questions the validity of, or challenges or prohibits the consummation of, any of the transactions contemplated
by this Agreement.

 

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7.          Registration
Rights. If at any time the Company shall determine to register under the Securities Act of 1933, as amended (including
pursuant to a demand of any shareholder of the Company exercising registration rights) any of its Common Stock (other than a registration
statement on Form S-4 or S-8), it shall send to the Purchasers, written notice of such determination at least thirty (30) days
prior to the filing of any registration statement and, if within fifteen (15) days after receipt of such notice, the Purchasers,
shall so request in writing, the Company shall use its commercially reasonable efforts to include in such registration statement
all of the Registrable Shares that such Purchasers request to be registered, subject to the rules, regulations, and interpretations
of the SEC, including, without limitation Rule 415 under the Securities Act.  For purposes of this Article VII, the term "Registrable
Shares" means the Conversion Shares and includes any shares of Common Stock that may be issued as a result of a stock
split, dividend or other distribution with respect to or in exchange for or in replacement of the Shares or Conversion Shares.
Notwithstanding the above, as to any particular Registrable Shares, such securities shall cease to be Registrable Shares when (i)
a registration statement has been declared effective by the SEC and such Registrable Shares have been disposed of by pursuant to
such registration statement, (ii) such Registrable Shares have been sold under circumstances under which all of the applicable
conditions of Rule 144 are met, or (iii) such time as such Registrable Shares have been otherwise transferred to holders who may
trade such shares without restriction under the Securities Act.

 

8.          Miscellaneous.

 

(a)          Successors
and Assigns. The terms and conditions of this Agreement will inure to the benefit of and be binding upon the respective successors
and permitted assigns of the parties. The Company shall not assign this Agreement or any rights or obligations hereunder without
the prior written consent of the Purchasers holding a majority of the total aggregate number of Securities then outstanding (excluding
any shares sold to the public pursuant to Rule 144 or otherwise). A Purchaser may assign its rights under this Agreement to any
person to whom the Purchaser assigns or transfers any Securities, provided that such transferee agrees in writing to be bound by
the terms and provisions of this Agreement, and such transfer is in compliance with the terms and provisions of this Agreement
and the Certificate of Designation of Class D Preferred Stock, and permitted by federal and state securities laws.

 

(b)          Governing
Law. This Agreement will be governed by and construed and enforced under the internal laws of the State of Florida, without
reference to principles of conflict of laws or choice of laws. EACH PARTY HEREBY IRREVOCABLY WAIVES ANY RIGHT IT MAY HAVE, AND
AGREES NOT TO REQUEST, A JURY TRIAL FOR THE ADJUDICATION OF ANY DISPUTE HEREUNDER OR IN CONNECTION HEREWITH OR ARISING OUT OF THIS
AGREEMENT OR ANY TRANSACTION CONTEMPLATED HEREBY.

 

(c)          Survival.
The representations and warranties of the Company and the Purchasers contained in Sections 3 and 4 of this Agreement shall survive
until the second anniversary of the Closing Date.

 

(d)          Counterparts.
This Agreement may be executed in two or more counterparts, each of which will be deemed an original, but all of which together
will constitute one and the same instrument.

 

(e)          Headings.
The headings and captions used in this Agreement are used for convenience only and are not to be considered in construing or interpreting
this Agreement. All references in this Agreement to sections, paragraphs, exhibits and schedules will, unless otherwise provided,
refer to sections and paragraphs hereof and exhibits and schedules attached hereto, all of which exhibits and schedules are incorporated
herein by reference.

 

(f)          Notices.
Any notices and other communications required or permitted under this Agreement shall be in writing and shall be delivered (i)
personally by hand or by courier, (ii) mailed by United States first-class mail, postage prepaid or (iii) sent by facsimile directed
(A) if to a Purchaser, at such Purchaser’s address or facsimile number set forth on such Purchaser’s signature page
to this Agreement, or at such address or facsimile number as such Purchaser may designate by giving at least ten days’ advance
written notice to the Company or (B) if to the Company, to its address or facsimile number set forth below, or at such other address
or facsimile number as the Company may designate by giving at least ten days’ advance written notice to the Purchaser. All
such notices and other communications shall be deemed given upon (I) receipt or refusal of receipt, if delivered personally, (II)
three days after being placed in the mail, if mailed, or (III) confirmation of facsimile transfer, if faxed.

 

    	-8-

    	 

    

 

The address of the
Company for the purpose of this Section 8(f) is as follows:

 

Cirque Energy, Inc.

Penobscot Building, 645 Griswold Street,
Suite 3274

Detroit, MI 48226

Tel: (888) 963-2622

Fax:

Attention: Joseph DuRant

 

with a copy to:

 

Sichenzia Ross Friedman Ference LLP

61 Broadway

New York, NY 10018

Tel: (212) 930-9700

Fax: (212) 930-9725

Attention: Marc J. Ross, Esq.

 

(g)          Amendments
and Waivers. This Agreement may be amended and the observance of any term of this Agreement may be waived only with the written
consent of the Company and the Purchasers holding a majority of the total aggregate number of Securities then outstanding (excluding
any shares sold to the public pursuant to Rule 144 or otherwise). Any amendment effected in accordance with this Section 8(g) will
be binding upon the Purchasers, the Company and their respective successors and permitted assigns.

 

(h)          Severability.
If any provision of this Agreement is held to be unenforceable under applicable law, such provision will be excluded from this
Agreement and the balance of the Agreement will be interpreted as if such provision were so excluded and will be enforceable in
accordance with its terms.

 

(i)          Entire
Agreement. This Agreement, together with all exhibits and schedules hereto and thereto, constitutes the entire agreement and
understanding of the parties with respect to the subject matter hereof and supersedes any and all prior negotiations, correspondence,
agreements, understandings, duties or obligations between the parties with respect to the subject matter hereof.

 

(j)          No
Additional Agreements. The Company does not have any written or oral contract, agreement, arrangement or understanding with
any Purchaser with respect to the transactions contemplated by this Agreement other than as expressly stated herein.

 

(k)          Further
Assurances. From and after the date of this Agreement, upon the request of the Company or the Purchasers, the Company and the
Purchasers will execute and deliver such instruments, documents or other writings, and take such other actions, as may be reasonably
necessary or desirable to confirm and carry out and to effectuate fully the intent and purposes of this Agreement.

 

(l)          Meaning
of Include and Including. Whenever in this Agreement the word “include” or “including” is used, it
shall be deemed to mean “include, without limitation” or “including, without limitation,” as the case may
be, and the language following “include” or “including” shall not be deemed to set forth an exhaustive
list.

 

(m)          Fees,
Costs and Expenses. All fees, costs and expenses (including attorneys’ fees and expenses) incurred by any party hereto
in connection with the preparation, negotiation and execution of this Agreement and the exhibits and schedules hereto and the consummation
of the transactions contemplated hereby and thereby shall be the sole and exclusive responsibility of such party. In addition,
the Company will pay the costs associated with any filings with, or compliance with any of the requirements of any governmental
authorities.

  

    	-9-

    	 

    

 

(n)          8-K
Filing; Standstill. On or before 5:30 p.m., eastern time, on the fourth business day following the date of this Agreement,
the Company shall file a Current Report on Form 8-K describing the terms of the transactions contemplated by this Agreement in
the form required by the Exchange Act and attaching this Agreement as an exhibit to such filing (the “8-K Filing”).
From and after the filing of the 8-K Filing with the SEC, the Purchasers as a consequence of participating in the transactions
contemplated by this Agreement shall not be in possession of any material, nonpublic information received from the Company or
any of its officers, directors, employees or agents authorized to disclose such information, that is not disclosed in the 8-K
Filing. The Company shall not, and shall cause each of its officers, directors, employees and agents, not to, provide the Purchasers
with any material, nonpublic information regarding the Company or any of its subsidiaries from and after the filing of the 8-K
Filing with the SEC without the consent of the Purchasers. If a Purchaser has, or believes it has, received any such material,
nonpublic information regarding the Company prior to the Closing Date, it shall provide the Company with written notice thereof
and the Company shall within five (5) business days thereafter, make public disclosure of such material, nonpublic information
if permitted under applicable law or without breach or violation of any agreement, contract or other obligation of the Company
unless the Board of Directors of the Company shall determine that such disclosure would reasonably be expected to result in a
material and adverse effect on the Company or its business, prospects, finances or properties. 

 

(o)          Reserved.

 

(p)          Remedies.
In addition to being entitled to exercise all rights provided herein or granted by law, including recovery of damages, each Purchaser
and the Company will be entitled to specific performance under this Agreement. The parties agree that monetary damages may not
be adequate compensation for any loss incurred by reason of any breach of obligations described in the foregoing sentence and hereby
agrees to waive in any action for specific performance of any such obligation the defense that a remedy at law would be adequate.

 

(q)          Several
Liability; Advice. Each Purchaser agrees that no other Purchaser nor the respective controlling persons, officers, directors,
partners, agents or employees of any other Purchaser shall be liable to such Purchaser for any losses incurred by such Purchaser
in connection with its investment in the Company. Each Purchaser acknowledges that it is not relying upon any person, firm or corporation
(including without limitation any other Purchaser), other than the Company and its officers and directors (acting in their capacity
as representatives of the Company), in deciding to invest and in making its investment in the Company. The Company acknowledges
that no Purchaser is acting or has acted as an advisor, agent or fiduciary of the Company (or in any similar capacity) with respect
to this Agreement and any advice given by any Purchaser or any of its representatives in connection with this Agreement is merely
incidental to the Purchasers’ purchase of securities of the Company hereunder.

 

(r)          Form
D Filing. The Company hereby agrees that it shall file in a timely manner a Form D relating to the sale of the Securities under
this Agreement, pursuant to Regulation D promulgated under the Securities Act.

 

    	-10-

    	 

    

 

The parties hereto
have executed this Agreement as of the date and year first above written.

 

	 	Cirque Energy, Inc.
	 	 
	 	By: 	 
	 	 	Joseph DuRant
	 	 	Chief Executive Officer

 

[PURCHASER SIGNATURE PAGES TO FOLLOW]

 

    	-11-

    	 

    

  

SIGNATURE PAGE TO

SECURITIES PURCHASE AGREEMENT

DATED AS OF FEBRUARY __, 2015

BY AND AMONG

CIRQUE ENERGY, INC.

AND EACH PURCHASER NAMED THEREIN

 

The undersigned hereby
executes and delivers to Cirque Energy, Inc., the Securities Purchase Agreement (the “Agreement”) to
which this signature page is attached, which Agreement and signature page, together with all counterparts of such Agreement and
signature pages of the other Purchasers named in such Agreement, shall constitute one and the same document in accordance with
the terms of such Agreement.

 

	 	Number of Shares: __________
	 	 	 
	 	 	 
	 	Name of Purchaser
	 	 	 
	 	Signature: 	 
	 	 	 
	 	By: 	 
	 	 	 
	 	Title: 	 
	 	 	 
	 	Address: 	 
	 	 	 
	 	 	 
	 	 	 
	 	 	 
	 	 	 
	 	Telephone:	 
	 	 	 
	 	Fax: 	 
	 	 	 
	 	Tax ID Number: 	 

 

    	 

    	 

    

  

EXHIBIT A

Schedule of Purchasers

 

    	 

    	 

    

 

Appendix
I

 

STOCK CERTIFICATE QUESTIONNAIRE

 

Please provide us with
the following information:

 

	1.	The exact name that the Securities are to be registered in (this is the name that will appear on the stock certificate(s)). You may use a nominee name if appropriate:	 	 
	 	 	 	 
	2.	The relationship between the Purchaser of the Securities and the Registered Holder listed in response to item 1 above:	 	 
	 	 	 	 
	3.	The mailing address of the Registered Holder listed in response to item 1 above:	 	 
	 	 	 	 
	 	 	 	 
	 	 	 	 
	 	 	 	 
	 	 	 	 
	4.	The Tax Identification Number of the Registered Holder listed in response to item 1 above:SJW 2014 Q4 10K Exhibit 10.52

EXHIBIT 10.52

SJW CORP.

RESTRICTED STOCK UNIT ISSUANCE AGREEMENT

RECITALS

A.     The Board has adopted the Plan for the purpose of retaining the services of selected Employees of the Corporation (or any Parent or Subsidiary).

B.     Participant is to render valuable services to the Corporation (or a Parent or Subsidiary), and this Agreement is executed pursuant to, and is intended to carry out the purposes of, the Plan in connection with the Corporation’s issuance of an equity incentive award under the Plan designed to retain Participant’s continued service.

C.     All capitalized terms in this Agreement shall have the meaning assigned to them in the attached Appendix A.

NOW, THEREFORE, it is hereby agreed as follows:

1.    Grant of Restricted Stock Units.  The Corporation hereby awards to Participant, as of the Award Date, a performance based award (the “Award”) under the Plan entitling Participant to receive a number of shares of Common Stock based upon the attainment of a pre-established performance objective tied to return on equity measured over a specified period, provided Participant continues in Service through the completion date of that measurement period. The target number of shares of Common Stock used to determine Participant’s rights under the Award, the actual number of shares to which Participant may become entitled, the applicable performance target for the vesting of those shares, the alternative and special vesting provisions which may become applicable to such shares, the date or dates on which the vested shares shall become issuable to Participant and the remaining terms and conditions governing the Award shall be as set forth in this Agreement.

	
		
	Participant:
	_______________________________

	Award Date:
	_______________, _______________

	 
	 

	Target Number of Shares:
	_____ shares of Common Stock (the “Target Shares”).  The actual number of shares of Common Stock that may become issuable pursuant to the Award shall be determined in accordance with the Vesting Schedule below.

	 
	 

	Vesting Schedule:
	The number of shares of Common Stock which may actually vest and become issuable pursuant to the Award shall be determined pursuant to a two-step process: (i) first the maximum number of shares of Common Stock in which Participant can vest under the Performance Vesting section below shall be calculated on the basis of the level at which the Performance Objective specified on attached Schedule I is actually attained and (ii) then the number of shares calculated under clause (i) in which Participant may actually vest shall be determined on the basis of his or her completion of the applicable Service vesting requirements set forth in Paragraph 3 of this Agreement.

	 
	 

	
		
	 
	Performance Vesting:  Attached Schedule I specifies the Performance Objective to be attained for the specified Measurement Period.  No later than the last business day of February in the calendar year immediately following the end of the Measurement Period, the Plan Administrator shall determine and certify the actual level of attainment for the Performance Objective (the “Performance Certification Date”).  On the basis of that certified level of attainment, the number of Target Shares will be multiplied by the applicable percentage (which may range from 0% to 150%) determined in accordance with the table set forth in Schedule I.  The number of shares resulting from such calculation shall constitute the maximum number of shares of Common Stock in which Participant may vest under this Award and shall be designated the “Performance-Qualified Shares.”  In no event may the number of such Performance-Qualified Shares exceed 150% of the number of Target Shares.

To the extent the number of Performance-Qualified Shares resulting from the calculation described in the preceding paragraph equals zero, the Award shall be forfeited and shall be immediately cancelled.  Participant shall thereupon cease to have any further right, title or interest in the shares of Common Stock underlying the cancelled Award.

Service Vesting.  The number of Performance-Qualified Shares in which Participant actually vests shall be determined on the basis of Participant’s satisfaction of the Service vesting requirements set forth in Paragraph 3.

Change in Control Vesting.  The shares of Common Stock underlying the Award may also vest on an alternative basis in accordance with Paragraph 5 should a Change in Control occur prior to the completion of the Measurement Period.

	 
	 

	Issuance Schedule:
	The shares of Common Stock which actually vest and become issuable pursuant to the terms of this Agreement shall be issued in accordance with the provisions of this Agreement applicable to the particular circumstances under which such vesting occurs.  The actual issuance of the shares shall be subject to the Corporation’s collection of all applicable Withholding Taxes as set forth in Paragraph 7 of this Agreement.

2.    Limited Transferability. Prior to actual receipt of the shares of Common Stock which vest and become issuable hereunder, Participant may not transfer any interest in the Award or the underlying shares. Any shares which vest hereunder but which otherwise remain unissued at the time of Participant’s death may be transferred pursuant to the provisions of Participant’s will or the laws of inheritance or to Participant’s designated beneficiary or beneficiaries of this Award. Participant may also direct the Corporation to re-issue the stock certificates for any shares which in fact vest and become issuable under the Award during his lifetime to one or more designated family members or a trust established for Participant and/or his family members. Participant may make such a beneficiary designation or certificate directive at any time by filing the appropriate form with the Plan Administrator or its designee.
3.    Service Requirement. The number of Performance-Qualified Shares calculated in accordance with the Performance-Vesting provisions of Paragraph 1 and attached Schedule I represent the maximum number of shares of Common Stock in which Participant can vest hereunder.  The actual number of shares of Common Stock in which Participant shall vest shall be determined as follows:

-    Participant shall vest in one hundred percent (100%) of the Performance-Qualified Shares on the Performance Certification Date provided Participant has remained in Service through December 31, _______________.

2

-    Except to the extent otherwise provided in Paragraph 5, should Participant’s cessation of Employee status occur prior to the completion of the Measurement Period by reason of Participant’s death or Permanent Disability, then Participant shall, following the completion of the Measurement Period, vest in that number of shares of Common Stock determined by multiplying the Performance-Qualified Shares in which Participant could vest based on the actual level of attainment of the Performance Objective certified by the Plan Administrator by a fraction, the numerator of which is the number of whole months of Service (rounded up to the next whole month) completed by Participant during the Measurement Period and the denominator of which is twelve (12) months.
-    If  Participant’s Service ceases for any other reason prior to the completion of the Measurement Period, then Participant shall not vest in any of the shares of Common Stock subject to the Award, and all of Participant’s right, title and interest to the Award shall immediately terminate; provided, however, that should a Change in Control occur prior to the completion of the Measurement Period, then the provisions of Paragraph 5 shall govern the vesting of the shares.
To the extent Participant so vests in one or more Performance-Qualified Shares pursuant to this Paragraph 3, the underlying shares that vest on the Performance Certification Date shall be issued on the last business day of February in the calendar year immediately following the end of the Measurement Period (the “Issuance Date”), subject to the Corporation’s collection of the applicable Withholding Taxes, but in no event later than the close of the calendar year in which the Issuance Date occurs.
4.    Stockholder Rights. Participant shall not have any stockholder rights, including voting, dividend or liquidation rights, with respect to the shares of Common Stock subject to the Award until the shares vest and Participant becomes the record holder of those shares upon their actual issuance following the Corporation’s collection of the applicable Withholding Taxes.
5.    Change in Control. 
A.    In the event a Change of Control occurs during the Measurement Period and Participant remains in Service through the effective date of the Change of Control, then the number of Performance-Qualified Shares issuable under the Award shall be equal to the Target Shares.
B.    The Award as so adjusted at the time of a Change in Control may be assumed by the successor entity or otherwise continued in full force and effect or may be replaced with a cash retention program of the successor entity which preserves the Fair Market Value of the underlying shares of Common Stock at the time of the Change in Control and provides for the subsequent vesting and payout of that value in accordance with the provisions of this Paragraph 5.B.  In the event the Award is assumed or otherwise continued in effect, the following Service-based vesting schedule shall apply:
(i)    The Award (whether in its assumed or continued form or as converted into a cash retention program) shall vest in full upon Participant’s continuation in Service through the completion date of the Measurement Period.  Following the completion of such Service‐vesting period, the securities, cash or other property underlying the vested Award shall be issued on the Issuance Date or as soon as administratively practicable thereafter, subject to the Corporation’s collection of the applicable Withholding Taxes, but in no event later than March 15 following the end of the Measurement Period.  
(ii)    Should any of the following events occur after the effective date of such Change in Control but prior to the completion date of the Measurement Period:  (A) Participant’s cessation of Employee status by reason of death or Permanent Disability, (B) Participant’s resignation from Employee status for Good Reason or (C) the Corporation’s termination of Participant’s Employee status other than for Good Cause, then the Award shall immediately vest in full with respect to the Performance-Qualified Shares determined under Paragraph 5.A, and the securities, cash or other property underlying such portion of the Award shall, subject to the Corporation’s collection of the applicable Withholding Taxes, be distributed on the earlier of (x) the Issuance Date or (y) the date of Participant’s Separation from Service, provided such Separation from Service occurs within twenty-four (24) months after a Qualifying Change in Control, or as soon as administratively practicable after the applicable distribution date, but in no event later than the close of the calendar year in which such distribution date occurs (subject to the delayed payment provisions of Paragraph 8). 

3

C.    In the event the Award is assumed or otherwise continued in effect, the shares of Common Stock subject to the Award (as determined pursuant to Paragraph 5.A) will be adjusted immediately after the consummation of the Change in Control so as to apply to the number and class of securities into which the shares of Common Stock subject to the Award immediately prior to the Change in Control would have been converted in consummation of that Change in Control had those shares actually been issued and outstanding at that time.  To the extent the actual holders of the outstanding Common Stock receive cash consideration for their Common Stock in consummation of the Change in Control, the successor corporation may, in connection with the assumption or continuation of the Award at that time, substitute one or more shares of its own common stock with a fair market value equivalent to the cash consideration paid per share of Common Stock in the Change in Control transaction, provided such shares are registered under the federal securities laws and readily tradable on an established securities exchange.  

D.    If the Award is not so assumed or otherwise continued in effect or replaced with a cash retention program under Paragraph 5.B, then the Award will vest immediately prior to the closing of the Change in Control with respect to the Performance-Qualified Shares determined under Paragraph 5.A.  The shares subject to the vested Award shall be converted into the right to receive the same consideration per share of Common Stock payable to the other stockholders of the Corporation in consummation of that Change in Control, and such consideration shall be distributed to Participant on the tenth (10th) business day following the earliest to occur of (i) the Issuance Date, (ii) the date of Participant’s Separation from Service (subject to the delayed payment provisions of Paragraph 8), provided such Separation from Service occurs within twenty-four (24) months after a Qualifying Change in Control, or (iii) the first date following a Qualifying Change in Control on which the distribution can be made without contravention of any applicable provisions of Code Section 409A. Such distribution shall be subject to the Corporation’s collection of the applicable Withholding Taxes pursuant to the provisions of Paragraph 7. 

E.    This Agreement shall not in any way affect the right of the Corporation to adjust, reclassify, reorganize or otherwise change its capital or business structure or to merge, consolidate, dissolve, liquidate or sell or transfer all or any part of its business or assets.

6.     Adjustment in Shares. Should any change be made to the Common Stock by reason of any stock split, stock dividend, recapitalization, combination of shares, exchange of shares, spin-off transaction, extraordinary dividend or distribution or other change affecting the outstanding Common Stock as a class without the Corporation’s receipt of consideration, or should the value of outstanding shares of Common Stock be substantially reduced as a result of a spin-off transaction or an extraordinary dividend or distribution, or should there occur any merger, consolidation or other reorganization, then equitable adjustments shall be made by the Plan Administrator to the total number and/or class of securities issuable pursuant to this Award in order to reflect such change and the determination of the Plan Administrator shall be final, binding and conclusive. In the event of a Change in Control, the adjustments (if any) shall be made in accordance with the provisions of Paragraph 5.
7.     Issuance of Shares/Collection of Withholding Taxes. 
A.     On the Issuance Date (or any earlier date on which the shares of Common Stock are to be issued in accordance with the terms of this Agreement), the Corporation shall issue to or on behalf of Participant a certificate (which may be in electronic form) for the applicable number of shares of Common Stock, subject, however, to the Corporation’s collection of the applicable Withholding Taxes. 

B.     The Corporation shall collect the applicable Withholding Taxes with respect to the shares of Common Stock which vest and become issuable hereunder through an automatic share withholding procedure pursuant to which the Corporation will withhold, at the time of such issuance, a portion of the shares with a Fair Market Value (measured as of the applicable issuance date) equal to the amount of those taxes; provided, however, that the amount of any shares so withheld shall not exceed the amount necessary to satisfy the Corporation‘s required tax withholding obligations using the minimum statutory withholding rates for federal and state tax purposes that are applicable to supplemental taxable income. In the event payment is to be made in a form other than the shares, then the Corporation shall collect from Participant the applicable Withholding Taxes pursuant to such procedures as the Corporation deems appropriate under the circumstances.

C.     Notwithstanding the foregoing provisions of Paragraph 7.B, the employee portion of the federal, state and local employment taxes required to be withheld by the Corporation in connection with the vesting of the shares of Common Stock or any other amounts hereunder (the “Employment Taxes”) shall in all events be collected from Participant no later than the last business day of the calendar year in which the shares or other amounts vest hereunder. Accordingly, to the extent the Issuance Date for one or more vested shares or the distribution date for such other amounts is to occur in a year subsequent to the calendar year in which those shares or other amounts vest, Participant shall, on or before the last business day of the calendar year in which the shares or other amounts vest, deliver to the Corporation a check payable to its order in the dollar amount equal to the Employment Taxes required to be withheld with respect to those shares or other amounts. The provisions of this Paragraph 7.C shall be applicable only to the extent necessary to comply with the applicable tax withholding requirements of Code Section 3121(v). 

4

D.     Except as otherwise provided in Paragraph 5 and Paragraph 7.B, the settlement of the vested Award shall be made solely in shares of Common Stock. In no event, however, shall any fractional shares be issued. Accordingly, the total number of shares of Common Stock to be issued pursuant to this Award shall, to the extent necessary, be rounded down to the next whole share in order to avoid the issuance of a fractional share. 

8.     Deferred Issuance Date. Notwithstanding any provision to the contrary in this Agreement, no shares of Common Stock or other amounts which become issuable or distributable by reason of Participant’s Separation from Service shall actually be issued or distributed to Participant prior to the earlier of (i) the first day of the seventh (7th) month following the date of such Separation from Service or (ii) the date of Participant’s death, if Participant is deemed at the time of such Separation from Service to be a specified employee under Section 1.409A-1(i) of the Treasury Regulations issued under Code Section 409A, as determined by the Plan Administrator in accordance with consistent and uniform standards applied to all other Code Section 409A arrangements of the Corporation, and such delayed commencement is otherwise required in order to avoid a prohibited distribution under Code Section 409A(a)(2). The deferred shares or other distributable amount shall be issued or distributed in a lump sum on the first day of the seventh (7th) month following the date of Participant’s Separation from Service or, if earlier, the first day of the month immediately following the date the Corporation receives proof of Participant’s death. 

9.    Clawback.  Notwithstanding anything to the contrary in this Agreement or the Plan, any shares, cash or other property issued to Participant pursuant to this Agreement shall be subject to reduction, recovery and/or recoupment to the extent required by any present or future law, government regulation or stock exchange listing requirement. 

10.     Benefit Limit. 

A.    In the event the vesting and issuance of the shares of Common Stock subject to this Award would otherwise constitute a parachute payment under Code Section 280G, then the vesting and issuance of those shares shall be subject to reduction to the extent necessary to assure that the number of shares which vest and are issued under this Award will be limited to the greater of (i) the number of shares of Common Stock which can vest and be issued without triggering a parachute payment under Code Section 280G or (ii) the maximum number of shares of Common Stock which can vest and be issued under this Award so as to provide Participant with the greatest after-tax amount of such vested and issued shares after taking into account any excise tax Participant may incur under Code Section 4999 with respect to those shares and any other benefits or payments to which Participant may be entitled in connection with any change in control or ownership of the Corporation or the subsequent termination of Participant’s Service.

B.    The benefit limitation of this Paragraph 10 shall apply only to the extent Participant is not otherwise entitled to a Code Section 4999 tax gross-up, pursuant to the terms of the Corporation’s Executive Severance Plan (or any successor plan), with respect to the shares that vest on an accelerated basis in connection with a Change in Control or subsequent cessation of Employee status. 

11.     Compliance with Laws and Regulations. The issuance of shares of Common Stock pursuant to the Award shall be subject to compliance by the Corporation and Participant with all applicable requirements of law relating thereto and with all applicable regulations of any Stock Exchange on which the Common Stock may be listed for trading at the time of such issuance.

12.     Notices. Any notice required to be given or delivered to the Corporation under the terms of this Agreement shall be in writing and addressed to the Corporation at its principal corporate offices. Any notice required to be given or delivered to Participant shall be in writing and addressed to Participant at the address indicated below Participant’s signature line on this Agreement. All notices shall be deemed effective upon personal delivery or upon deposit in the U.S. mail, postage prepaid and properly addressed to the party to be notified.

13.     Successors and Assigns. Except to the extent otherwise provided in this Agreement, the provisions of this Agreement shall inure to the benefit of, and be binding upon, the Corporation and its successors and assigns and Participant, Participant’s assigns, the legal representatives, heirs and legatees of Participant’s estate and any beneficiaries of the Award designated by Participant.

5

14.     Construction. This Agreement and the Award evidenced hereby are made and granted pursuant to the Plan and are in all respects limited by and subject to the terms of the Plan. All decisions of the Plan Administrator with respect to any question or issue arising under the Plan or this Agreement shall be conclusive and binding on all persons having an interest in the Award. To the extent there is any ambiguity as to whether any provision of this Agreement would otherwise contravene one or more applicable requirements or limitations of Code Section 409A and the Treasury Regulations thereunder, such provision shall be interpreted and applied in a manner that complies with the applicable requirements of Code Section 409A and the Treasury Regulations thereunder.  For purposes of Code Section 409A, each installment distribution of shares of Common Stock (or other installment distribution hereunder) shall be treated as a separate payment, and Participant’s right to receive each such installment of shares (or other installment distribution hereunder) shall accordingly be treated as a right to receive a series of separate payments.

15.     Governing Law. The interpretation, performance and enforcement of this Agreement shall be governed by the laws of the State of California without resort to that State’s conflict-of-laws rules.

16.     Employment at Will. Nothing in this Agreement or in the Plan shall confer upon Participant any right to continue in Service for any period of specific duration or interfere with or otherwise restrict in any way the rights of the Corporation (or any Parent or Subsidiary employing or retaining Participant) or of Participant, which rights are hereby expressly reserved by each, to terminate Participant’s Service at any time for any reason, with or without cause.

Signature page follows.

6

IN WITNESS WHEREOF, the parties have executed this Restricted Stock Unit Issuance Agreement on the respective dates indicated below.

	
		
	SJW CORP.

	

By:
	

____________________________

	Title:
	____________________________

	Dated:
	__________, _______________

	 
	 

	 
	 

	_____________________________

	

Signature:
	

____________________________

	Dated:
	__________, _______________

	 
	 

7

APPENDIX A
DEFINITIONS
The following definitions shall be in effect under the Agreement:
A.     Agreement shall mean this Restricted Stock Unit Issuance Agreement.
B.     Award shall mean the award made to Participant pursuant to the terms of the Agreement.
C.     Award Date shall mean the date the Award is granted to Participant pursuant to the Agreement and shall be the date indicated in Paragraph 1 of the Agreement.
D.     Board shall mean the Corporation’s Board of Directors.
E.     Change in Control shall mean any change in control or ownership of the Corporation which occurs by reason of one or more of the following events:
(i)     the acquisition, directly or indirectly by any person or related group of persons (as such term is used in Sections 13(d) and 14(d) of the Exchange Act), other than the Corporation or a person that directly or indirectly controls, is controlled by, or is under control with, the Corporation or an employee benefit plan maintained by any such entity, of beneficial ownership (as defined in Rule 13d-3 of the Exchange Act) of securities of the Corporation that results in such person or related group owning thirty percent (30%) or more of the total combined voting power of the Corporation’s then-outstanding securities;
(ii)     a merger, recapitalization, consolidation, or other similar transaction to which the Corporation is a party, unless securities representing at least 50% of the combined voting power of the then-outstanding securities of the surviving entity or a parent thereof are immediately thereafter beneficially owned, directly or indirectly and in substantially the same proportion, by the persons who beneficially owned the Corporation’s outstanding voting securities immediately before the transaction;
(iii)     a sale, transfer or disposition of all or substantially all of the Corporation’s assets, unless securities representing at least 50% of the combined voting power of the then-outstanding securities of the entity acquiring the Corporation’s assets or parent thereof are immediately thereafter beneficially owned, directly or indirectly and in substantially the same proportion, by the persons who beneficially owned the Corporation’s outstanding voting securities immediately before the transaction;
(iv)     a merger, recapitalization, consolidation, or other transaction to which the Corporation is a party or the sale, transfer, or other disposition of all or substantially all of the Corporation’s assets if, in either case, the members of the Board immediately prior to consummation of the transaction do not, upon consummation of the transaction, constitute at least a majority of the board of directors of the surviving entity or the entity acquiring the Corporation’s assets, as the case may be, or a parent thereof (for this purpose, any change in the composition of the board of directors that is anticipated or pursuant to an understanding or agreement in connection with a transaction will be deemed to have occurred at the time of the transaction); or
(v)     a change in the composition of the Board over a period of thirty-six 36) consecutive months or less such that a majority of the Board members ceases by reason of one or more contested elections for Board membership, to be comprised of individuals who either (a) have been Board members since the beginning of such period or (b) have been elected or nominated for election as Board members during such period by at least a majority of the Board members who were described in clause (a) or who were previously so elected or approved and who were still in office at the time the Board approved such election or nomination; provided, however, that solely for purposes of determining whether a permissible Section 409A distribution can be made under Paragraph 5.C in connection with such Change in Control event, the period for measuring a change in the composition of the Board shall be limited to a period of twelve (12) consecutive months or less;

A-1    

provided however, that no Change in Control shall occur if the result of the transaction is to give more ownership or control of the Corporation to any person or related group of persons who held securities representing more than thirty percent (30%) of the combined voting power of the Corporation's outstanding securities as of March 3, 2003.
F.     Code shall mean the Internal Revenue Code of 1986, as amended.
G.     Common Stock shall mean the shares of the Corporation’s common stock.
H.     Corporation shall mean SJW Corp., a California corporation, and any successor corporation to all or substantially all of the assets or voting stock of SJW Corp. which shall by appropriate action adopt the Plan and/or assume the Award.
I.     Employee shall mean an individual who is in the employ of the Corporation (or any Parent or Subsidiary), subject to the control and direction of the employer entity as to both the work to be performed and the manner and method of performance; provided, however, that solely for purposes of determining whether Participant has incurred a Separation from Service, the term “Employee” shall have the meaning assigned to such term in the Separation from Service definition set forth in this Appendix.
J.     Fair Market Value per share of Common Stock on any relevant date shall be the closing selling price per share on the date in question on the Stock Exchange on which the Common Stock is at that time primarily traded, as such price is officially quoted in the composite tape of transactions on such exchange. If there is no reported sale of Common Stock on such Stock Exchange on the date in question, then the Fair Market Value shall be the closing selling price on the exchange on the last preceding date for which such quotation exists.
K.     Good Cause shall mean:
(i)    Any act or omission by Participant that results in substantial harm to the business or property of the Corporation (or any Parent or Subsidiary) and that constitutes dishonesty, intentional breach of fiduciary obligation or intentional wrongdoing, 
(ii)    Participant’s conviction of a criminal violation involving fraud or dishonesty, or
(iii)    Participant’s intentional and knowing participation in the preparation or release of false or materially misleading financial statements relating to the operations and financial condition of the Corporation (or any Parent or Subsidiary) or Participant’s intentional and knowing submission of any false or erroneous certification required of him or her under the Sarbanes-Oxley Act of 2002 or any securities exchange on which the Common Stock is at the time listed for trading.
The foregoing definition shall not in any way preclude or restrict the right of the Corporation (or any Parent or Subsidiary) to discharge or dismiss Participant or any other person in the Service of the Corporation (or any Parent or Subsidiary) for any other acts or omissions, but such other acts or omissions shall not be deemed, for purposes of the Plan or this Agreement, to constitute grounds for termination for Good Cause.
L.     Good Reason shall be deemed to exist with respect to Participant if and only if, without Participant’s express written consent:
(i)    there is a significantly adverse change in the nature or the scope of Participant’s authority or in his or her overall working environment;
(ii)    Participant is assigned duties materially inconsistent with his or her present duties, responsibilities and status;
(iii)    there is a reduction in the sum of Participant’s rate of base salary and target bonus; or

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(iv)    the Corporation changes by fifty-five (55) miles or more the principal location in which Participant  is required to perform services;
provided, however, that, before Participant may resign for any Good Reason event or transaction, Participant must first provide written notice to the Corporation (or the Parent or Subsidiary employing Participant) identifying such Good Reason event or transaction within ninety (90) days after the occurrence of such event or transaction and the Corporation (or the Parent or Subsidiary employing Participant) shall have failed to cure such event or transaction within thirty (30) days after receipt of such written notice. 
M.     Measurement Period shall mean the period specified on attached Schedule I over which the attainment of the Performance Objective is to be measured.
N.    1934 Act shall mean the Securities Exchange Act of 1934, as amended.
O.    Participant shall mean the person to whom the Award is made pursuant to the Agreement.
P.     Parent shall mean any corporation (other than the Corporation) in an unbroken chain of corporations ending with the Corporation, provided each corporation in the unbroken chain (other than the Corporation) owns, at the time of the determination, stock possessing fifty percent (50%) or more of the total combined voting power of all classes of stock in one of the other corporations in such chain.
Q.    Performance Objective shall mean the attainment of the return on equity objective set forth in attached Schedule I, as calculated over the Measurement Period.
R.     Permanent Disability shall mean Participant’s inability to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment expected to result in death or to be of continuous duration of twelve (12) months or more. 
S.     Plan shall mean the Corporation’s Long Term Incentive Plan.
T.     Plan Administrator shall mean either the Board or a committee of the Board acting in its capacity as administrator of the Plan.
U.     Qualifying Change in Control shall mean the date on which there occurs a Change in Control that also qualifies as: (i) a change in the ownership of the Corporation, as determined in accordance with Section 1.409A-3(i)((5)(v) of the Treasury Regulations, (ii) a change in the effective control of the Corporation, as determined in accordance with Section 1.409A-3(i)((5)(vi) of the Treasury Regulations, or (iii) a change in the ownership of a substantial portion of the assets of the Corporation, as determined in accordance with Section 1.409A-3(i)((5)(vii) of the Treasury Regulations.

V.     Separation from Service shall mean Participant’s cessation of Employee status by reason of his death, retirement or termination of employment. Participant shall be deemed to have terminated employment for such purpose at such time as the level of his bona fide services to be performed as an Employee (or as a consultant or independent contractor) permanently decreases to a level that is not more than twenty percent (20%) of the average level of services he rendered as an Employee during the immediately preceding thirty-six (36) months. Solely for purposes of determining when a Separation from Service occurs, Participant will be deemed to continue in “Employee” status for so long as he remains in the employ of one or more members of the Employer Group, subject to the control and direction of the employer entity as to both the work to be performed and the manner and method of performance. “Employer Group” means the Corporation and any Parent or Subsidiary and any other corporation or business controlled by, controlling or under common control with, the Corporation, as determined in accordance with Sections 414(b) and (c) of the Code and the Treasury Regulations thereunder, except that in applying Sections 1563(1), (2) and (3) of the Code for purposes of determining the controlled group of corporations under Section 414(b), the phrase “at least 50 percent” shall be used instead of “at least 80 percent” each place the latter phrase appears in such sections and in applying Section 1.414(c)-2 of the Treasury Regulations for purposes of determining trades or businesses that are under 

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common control for purposes of Section 414(c), the phrase “at least 50 percent” shall be used instead of “at least 80 percent” each place the latter phrase appears in Section 1.4.14(c)-2 of the Treasury Regulations. Any such determination as to Separation from Service, however, shall be made in accordance with the applicable standards of the Treasury Regulations issued under Section 409A of the Code.
W.     Service shall mean Participant’s performance of services for the Corporation (or any Parent or Subsidiary) in the capacity of an Employee, a non-employee member of the Board or a consultant or independent advisor. Participant shall be deemed to cease Service immediately upon the occurrence of either of the following events: (i) Participant no longer performs services in any of the foregoing capacities for the Corporation (or any Parent or Subsidiary) or (ii) the entity for which Participant performs such services ceases to remain a Parent or Subsidiary of the Corporation, even though Participant may subsequently continue to perform services for that entity. Service as an Employee shall not be deemed to cease during a period of military leave, sick leave or other personal leave approved by the Corporation; provided, however, that the following special provisions shall be in effect for any such leave:
(i)     Should the period of such leave (other than a disability leave) exceed six (6) months, then Participant shall be deemed to cease Service and to incur a Separation from Service upon the expiration of the initial six (6)-month period of that leave, unless Participant retains a right to re-employment under applicable law or by contract with the Corporation (or any Parent or Subsidiary). 
(ii)     Should the period of a disability leave exceed twenty-nine (29) months, then Participant shall be deemed to cease Service and to incur a Separation from Service upon the expiration of the initial twenty-nine (29)-month period of that leave, unless Participant retains a right to re-employment under applicable law or by contract with the Corporation (or any Parent or Subsidiary). For such purpose, a disability leave shall be a leave of absence due to any medically determinable physical or mental impairment that can be expected to result in death or to last for a continuous period of not less than six (6) months and causes Participant to be unable to perform the duties of his position of employment with the Corporation (or any Parent or Subsidiary) or any substantially similar position of employment.
(iii)     Except to the extent otherwise required by law or expressly authorized by the Plan Administrator or by the Corporation’s written policy on leaves of absence, no Service credit shall be given for vesting purposes for any period Participant is on a leave of absence.
X.     Stock Exchange shall mean the American Stock Exchange, the Nasdaq Global or Global Select Market or the New York Stock Exchange.
Y.     Subsidiary shall mean any corporation (other than the Corporation) in an unbroken chain of corporations beginning with the Corporation, provided each corporation (other than the last corporation) in the unbroken chain owns, at the time of the determination, stock possessing fifty percent (50%) or more of the total combined voting power of all classes of stock in one of the other corporations in such chain. 
Z.     Target Shares shall mean number of shares specified in the Target Number of Shares section under Paragraph 1. 
AA.     Withholding Taxes shall mean (i) the employee portion of the federal, state and local employment taxes required to be withheld by the Corporation in connection with the vesting of the shares of Common Stock (or any other property) under the Award and (ii) the federal, state and local income taxes required to be withheld by the Corporation in connection with the issuance of those vested shares (or any other property). 

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SCHEDULE I
PERFORMANCE OBJECTIVE AND MEASUREMENT PERIOD
MEASUREMENT PERIOD
The Measurement Period shall be the period beginning January 1, _______________ and ending December 31, _______________.
PERFORMANCE OBJECTIVE
The Performance Objective which must be attained for the Award to vest shall be a certified return on equity to the Corporation’s shareholders over the Measurement Period.  For such purpose, the return on equity (“ROE”) shall be determined pursuant to the following formula:
	
		
	ROE =
	Adjusted Net Income

	Adjusted Average Shareholders’ Equity

Where:
“Adjusted Net Income” means the Corporation’s net income (as measured in accordance with U.S. generally accepted accounting principles (“GAAP”)) for the Measurement Period, adjusted to eliminate bonus or incentive compensation costs and expenses associated with awards to officers of the Corporation (or any Parent or Subsidiary) of cash-based awards made under the Plan, the Corporation’s Executive Officer Short-Term Incentive Plan, or other cash-paid bonus or incentive compensation plans or arrangements of the Corporation or any Parent or Subsidiary (such costs and expenses, the “Incentive Compensation Costs and Expenses”).
“Adjusted Average Shareholders’ Equity” means an amount equal to one-half (1/2) of the sum of (i) the total shareholders’ equity as of the end of the most recent fiscal year of the Corporation ending prior to the commencement of the Measurement Period, as reported in the Corporation’s annual report filed with the U.S. Securities and Exchange Commission and adjusted to eliminate the effects of the Incentive Compensation Costs and Expenses for such fiscal year, plus (ii) the total shareholders’ equity as of the end of the Measurement Period (as measured in accordance with U.S. GAAP) and adjusted to eliminate the Incentive Compensation Costs and Expenses for the Measurement Period.
No later than the last business day of February in the calendar year immediately following the completion of the Measurement Period, the Plan Administrator shall certify the actual level at which the Performance Objective was attained during the Measurement Period.  The actual number of shares of Common Stock which vest and become issuable pursuant to the Award as a result of such certification (the “Performance-Qualified Shares”) may range from 0% to 150% of the Target Shares based on the level of attainment of the Performance Objective as follows:
	
					
	ROE
	< 
____%
	Threshold 
____%
	Target 
____%
	Maximum 
____%

	% of Target Shares Paid
	0%
	50%
	100%
	150%

No payment will occur if ROE is less than the Threshold level.  Payouts between Threshold and Target and between Target and Maximum are determined by straight line interpretation.

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