Document:

Exhibit 101 Voting Agreement

		

			Exhibit 10.1

		

		
			VOTING AGREEMENT
		

		
			This VOTING AGREEMENT, dated as of December 19, 2019 (this “Agreement”), by and among Evans Bancorp, Inc. (“Evans”), a New York corporation,  FSB Bancorp, Inc. (“FSB”), a Maryland corporation, and the undersigned stockholder of FSB (the “Stockholder”). 
		

		
			W I T N E S  S E T H:
		

		
			WHEREAS, concurrently with the execution of this Agreement, Evans,  MMS Merger Sub, Inc., a Maryland corporation (“Merger Sub”), and FSB are entering into an Agreement and Plan of Reorganization, dated as of the date hereof (as amended, supplemented, restated or otherwise modified from time to time, the  “Merger Agreement”), pursuant to which, among other things, (i) Merger Sub will merge with and into FSB (the “Merger”), with FSB as the surviving corporation in the Merger and a wholly owned Subsidiary of Evans and (ii) immediately thereafter, FSB, as the surviving corporation in the Merger, will merge with and into Evans (the “Second Merger” and, together with the Merger, the “Holdco Mergers”), with Evans as the surviving corporation;
		

		
			WHEREAS, immediately following the Second Merger,  Fairport Savings Bank, a New York-chartered savings bank and wholly owned subsidiary of FSB, will merge with and into Evans Bank, a national banking association and wholly owned subsidiary of Evans (“Evans Bank”), with Evans Bank as the surviving bank (the “Bank Merger” and, together with the Holdco Mergers, the “Mergers”);
		

		
			WHEREAS, as of the date hereof, the Stockholder is a [director][executive officer] of FSB and has Beneficial Ownership of (as defined below), in the aggregate, those shares of common stock, $0.01 par value per share of FSB (“FSB Common Stock”) specified on Schedule 1 attached hereto, which, by virtue of the Merger, will be converted, at the election of the Stockholder pursuant to the Merger Agreement, into the right to receive the Merger Consideration, and therefore the Mergers are expected to be of substantial benefit to the Stockholder; and
		

		
			WHEREAS, as a material inducement to Evans entering into the Merger Agreement,  Evans has required that the Stockholder agree, and the Stockholder has agreed, to enter into this Agreement and abide by the covenants and obligations set forth herein.
		

		
			NOW THEREFORE, in consideration of the foregoing and the mutual representations, warranties, covenants and agreements herein contained, and intending to be legally bound hereby, the parties hereto agree as follows:
		

			
	
			
				 ARTICLE I
			
GENERAL

			
	
			
				 I.1.
			Defined Terms.  The following capitalized terms, as used in this Agreement, shall have the meanings set forth below.  Capitalized terms used but not otherwise defined herein shall have the meanings ascribed thereto in the Merger Agreement.  

		
			“Affiliate”  of a Person means any other Person directly, or indirectly through one or more intermediaries, controlling, controlled by or under common control with such Person. 
		

		
			“Beneficial Ownership”  by a Person of any securities means ownership by any Person who, directly or indirectly, through any contract, arrangement, understanding, relationship or otherwise, has or shares (i) voting power which includes the power to vote, or to direct the voting of, such security; and/or (ii) investment power which includes the power to dispose, or to direct the disposition, of such security; 
		

		 

		

			 

		

 

		and shall otherwise be interpreted in accordance with the term “beneficial ownership” as defined in Rule 13d-3 adopted by the SEC under the Exchange Act; provided, that for purposes of determining Beneficial Ownership, a Person shall be deemed to be the Beneficial Owner of any securities which such Person has, at any time during the term of this Agreement, the right to acquire pursuant to any agreement, arrangement or understanding or upon the exercise of conversion rights, exchange rights, warrants or options, or otherwise (irrespective of whether the right to acquire such securities is exercisable immediately or only after the passage of time, including the passage of time in excess of 60 days, the satisfaction of any conditions, the occurrence of any event or any combination of the foregoing).  The terms “Beneficially Own” and “Beneficially Owned”  shall have a correlative meaning.
		

		
			“control” (including the terms  “controlling”,  “controlled by” and “under common control with”), with respect to the relationship between or among two or more Persons, means  (i) the ownership, control, or power to vote 25 percent or more of any class of voting securities of the other Person, (ii) control in any manner of the election of a majority of the directors, trustees, managing members or general partners of the other Person, or (iii) the possession, directly or indirectly, of the power to exercise a controlling influence over the management or policies of the other Person, whether through the ownership of voting securities, as trustee or executor, by Contract or any other means.  
		

		
			“Constructive Sale” means, with respect to any security, a short sale with respect to such security, entering into or acquiring an offsetting derivative Contract with respect to such security, entering into or acquiring a futures or forward Contract to deliver such security or entering into any other hedging or other derivative transaction that has the effect of either directly or indirectly materially changing the economic benefits and risks of ownership of any security.  
		

		
			“Covered Shares” means, with respect to the Stockholder, the Stockholder’s Existing Shares, together with any shares of FSB Common Stock or other capital stock of FSB and any securities convertible into or exercisable or exchangeable for shares of FSB Common Stock or other capital stock of FSB, in each case that the Stockholder acquires Beneficial Ownership of on or after the date hereof. Covered Shares shall not include those shares of FSB Common Stock that Stockholders may exercise voting or investment power as a fiduciary.
		

		
			“Encumbrance” means any security interest, pledge, mortgage, lien (statutory or other), charge, option to purchase, lease or other right to acquire any interest or any claim, restriction, covenant, title defect, hypothecation, assignment, deposit arrangement or other encumbrance of any kind or any preference, priority or other security agreement or preferential arrangement of any kind or nature whatsoever (including any conditional sale or other title retention agreement), excluding restrictions under Securities Laws.
		

		
			“Existing Shares” means, with respect to the Stockholder, all shares of FSB Common Stock Beneficially Owned by the Stockholder as specified on Schedule 1 hereto.
		

		
			“Permitted Transfer” means a Transfer (i) as the result of the death of the Stockholder by the Stockholder to a descendant, heir, executor, administrator, testamentary trustee, lifetime trustee or legatee of the Stockholder, (ii) Transfers in connection with estate and tax planning purposes, (iii) to FSB in connection with the vesting, settlement or exercise of FSB equity awards to satisfy any withholding for the payment of taxes incurred in connection with such vesting, settlement or exercise, or, in respect of Purchaser equity awards, the exercise price thereon, (iv) as is otherwise permitted by Evans in its sole discretion, (v) Transfers by will or operation of Law, or (vi) Transfers to any other stockholder of FSB who has executed a copy of this Agreement on the date hereof; provided, that in the case of the foregoing clauses (i), (ii) and (v), prior to the effectiveness of such Transfer, such transferee executes and delivers to Evans and FSB  an agreement that is identical to this Agreement or such other written agreement, in form and 
		

		 

 

		substance acceptable to Evans, to assume all of Stockholder’s obligations hereunder in respect of the Covered Shares subject to such Transfer and to be bound by the terms of this Agreement, with respect to the Covered Shares subject to such Transfer, to the same extent as the Stockholder is bound hereunder and to make each of the representations and warranties hereunder in respect of the Covered Shares transferred as the Stockholder shall have made hereunder.
		

		
			“Transfer” means, with respect to any security, the direct or indirect assignment, sale, transfer, tender, exchange, pledge, bequeath, hypothecation, or the grant, creation or suffrage of an Encumbrance in or upon, or the gift, placement in trust, or the Constructive Sale or other disposition of such security (including transfers by testamentary or intestate succession or otherwise by operation of Law) or any right, title or interest therein (including, but not limited to, any right or power to vote to which the holder thereof may be entitled, whether such right or power is granted by proxy or otherwise), or the record or Beneficial Ownership thereof, the offer to make such a sale, transfer, Constructive Sale or other disposition, and each agreement, arrangement or understanding, whether or not in writing, to effect any of the foregoing (other than a proxy for the purpose of voting the Stockholder’s Covered Shares in accordance with Section 2.1 hereof). 
		

			
	
			
				 ARTICLE II
			
COVENANTS OF STOCKHOLDER

			
	
			
				 II.1.
			Agreement to Vote.  The Stockholder hereby irrevocably and unconditionally agrees that during the Support Period, at the FSB Meeting or at any other meeting of the stockholders of FSB, however called, including any adjournment or postponement thereof, and in connection with any written consent of the stockholders of FSB, the Stockholder shall, in each case to the fullest extent that such matters are submitted for the vote or written consent of the Stockholder and that the Covered Shares are entitled to vote thereon or consent thereto:

			
	
			
				 (a)
			appear at each such meeting or otherwise cause the Covered Shares as to which the Stockholder controls the right to vote to be counted as present thereat for purposes of calculating a quorum; and

			
	
			
				 (b)
			vote (or cause to be voted), in person or by proxy, or deliver (or cause to be delivered) a written consent covering, all of the Covered Shares as to which the Stockholder controls the right to vote:

			
	
			
				 (i)
			in favor of the adoption and approval of the Merger Agreement and the consummation of the transactions contemplated thereby, including the Mergers, and any actions required in furtherance thereof;

			
	
			
				 (ii)
			against any action or agreement that could result in a breach of any covenant, representation or warranty or any other obligation of FSB under the Merger Agreement;  

			
	
			
				 (iii)
			against any Acquisition Proposal; and

			
	
			
				 (iv)
			against any action, agreement, amendment to any agreement or organizational document, transaction, matter or proposal submitted for the vote or written consent of the stockholders of FSB that is intended or would reasonably be expected to prevent, impede, interfere with, delay, postpone, discourage, frustrate the purposes of or adversely affect the Mergers or the other transactions contemplated by the Merger Agreement or this Agreement or the performance by FSB of its obligations under the Merger Agreement or by the Stockholder of his or her obligations under this Agreement.

		 

 

			
	
			
				 II.2.
			No Inconsistent Agreements.  The Stockholder hereby covenants and agrees that, except for this Agreement, the Stockholder (a) has not entered into, and shall not enter into at any time while this Agreement remains in effect, any voting agreement or voting trust or any other Contract with respect to the Covered Shares, (b) has not granted, and shall not grant at any time while this Agreement remains in effect, a proxy,  Consent or power of attorney with respect to the Covered Shares except any proxy,  Consent or power of attorney to carry out the intent of this Agreement, (c) will not commit any act, except for Permitted Transfers, that could restrict or affect his or her legal power, authority and right to vote any of the Covered Shares then held of record or Beneficially Owned by the Stockholder or otherwise prevent, delay or disable the Stockholder from performing any of his or her obligations under this Agreement, and (d) has not taken and shall not take any action that would make any representation or warranty of the Stockholder contained herein untrue or incorrect or have the effect of impeding, preventing, delaying, postponing, discouraging, interfering with, disabling or adversely affecting the Stockholder’s performance of any of his or her obligations under this Agreement.

			
	
			
				 ARTICLE III
			
REPRESENTATIONS AND WARRANTIES

			
	
			
				 III.1.
			Representations and Warranties of the  Stockholder.   The Stockholder hereby represents and warrants to FSB and Evans as follows: 

			
	
			
				 (a)
			Organization; Authorization; Validity of Agreement; Necessary Action.  The Stockholder has the requisite power, capacity and authority to execute and deliver this Agreement, to perform his or her obligations hereunder and to consummate the transactions contemplated hereby.  This Agreement has been duly and validly executed and delivered by the Stockholder and, assuming this Agreement constitutes a valid and binding obligation of the other parties hereto, constitutes a legal, valid and binding obligation of the Stockholder, enforceable against him or her in accordance with its terms, (except as may be limited by the Bankruptcy and Equity Exceptions).

			
	
			
				 (b)
			Ownership.  As of the date hereof, except for the Covered Shares, the Stockholder is not the Beneficial owner or registered owner of any other shares of FSB Common Stock or rights to acquire FSB Common Stock. The Existing Shares are, and all of the Covered Shares owned by the Stockholder from the date hereof through the Support Period will be, Beneficially Owned and owned of record by the Stockholder except to the extent such Covered Shares are Transferred after the date hereof pursuant to a Permitted Transfer. From the date hereof through the Support Period, the Stockholder has and will have good and marketable title to the Covered Shares, free and clear of any Encumbrances other than those imposed by applicable Securities Laws.  The Stockholder has and will have at all times through the Support Period sole voting power (including the right to control such vote as contemplated herein), sole power of disposition, sole power to issue instructions with respect to the matters set forth in ARTICLE II hereof, and sole power to agree to all of the matters set forth in this Agreement, in each case with respect to all of the Stockholder’s Existing Shares and with respect to all of the Covered Shares owned by the Stockholder at all times through the Support Period.  The Stockholder has possession of an outstanding certificate or outstanding certificates representing all of the Covered Shares (other than Covered Shares held at the Depository Trust Company and/or in book-entry form) and such certificate or certificates does or do not contain any legend or restriction inconsistent with the terms of this Agreement, the Merger Agreement or the transactions contemplated hereby and thereby.

			
	
			
				 (c)
			No Violation.  The execution and delivery of this Agreement by the Stockholder does not, and the performance by the Stockholder of his or her obligations under this Agreement will not, (i) conflict with or violate, or require any Consent pursuant to, any Law or Order applicable to the Stockholder or by which any of his or her Assets is bound, or (ii) conflict with, result in any breach of or constitute a Default, require any Consent pursuant to, or result in the creation of any Encumbrance on the 
		

		 

 

			Assets of the Stockholder pursuant to, any Contract to which the Stockholder is a party or by which the Stockholder or any of his or her Assets or Covered Shares are bound. 

			
	
			
				 (d)
			Consents and Approvals.  The execution and delivery of this Agreement by the Stockholder does not, and the performance by the Stockholder of its obligations under this Agreement and the consummation by it of the transactions contemplated hereby will not, require the Stockholder to obtain any Consent. No Consent of Stockholder’s spouse is necessary under any “community property” or other laws in order for Stockholder to enter into and perform her or her obligations under this Agreement.

			
	
			
				 (e)
			Legal Proceedings.  There is no Litigation pending or, to the Knowledge of the Stockholder, threatened against or affecting the Stockholder or any of his or her Affiliates that could reasonably be expected to impair the ability of the Stockholder to perform his or her obligations hereunder or to consummate the transactions contemplated hereby on a timely basis.

			
	
			
				 (f)
			Reliance by Evans.  The Stockholder understands and acknowledges that Evans is entering into the Merger Agreement in reliance upon the Stockholder’s execution and delivery of this Agreement and the representations and warranties of Stockholder contained herein.

			
	
			
				 ARTICLE IV
			
OTHER COVENANTS

			
	
			
				 IV.1.
			Prohibition on Transfers; Other Actions.  

			
	
			
				 (a)
			During the Support Period, the Stockholder hereby agrees not to (i) Transfer any of the Covered Shares, Beneficial Ownership thereof or any other interest specifically therein unless such Transfer is a Permitted Transfer; (ii) enter into any Contract with any Person, or take any other action, that violates or conflicts with or would reasonably be expected to violate or conflict with, or result in or give rise to a violation of or conflict with, the Stockholder’s representations, warranties, covenants and obligations under this Agreement; (iii) except as otherwise permitted by this Agreement or by Order, take any action that could restrict or otherwise affect the Stockholder’s legal power, authority and right to vote all of the Covered Shares then Beneficially Owned by him or her, or otherwise comply with and perform his or her covenants and obligations under this Agreement; or (iv) publicly announce any intention to do any of the foregoing.  Any Transfer in violation of this provision shall be void. Following the date hereof, FSB shall notify its transfer agent that there is a stop transfer order with respect to all of the Covered Shares and that this Agreement places limits on the voting of the Covered Shares.  

			
	
			
				 (b)
			The Stockholder understands and agrees that if the Stockholder attempts to Transfer, vote or provide any other Person with the authority to vote any of the Covered Shares other than in compliance with this Agreement, FSB shall not, and the Stockholder hereby unconditionally and irrevocably instructs FSB to not (i) permit such Transfer on its books and records, (ii) issue a new certificate representing any of the Covered Shares, or (iii) record such vote unless and until the Stockholder shall have complied with the terms of this Agreement.

			
	
			
				 (c)
			The Stockholder shall not make any statement, written or oral, to the effect that he or she does not support the Merger or that other shareholders of FSB should not support the Merger.

			
	
			
				 IV.2.
			Certain Events.    The Stockholder agrees that this Agreement and the obligations hereunder shall attach to the Covered Shares and shall be binding upon any Person to which legal or Beneficial Ownership of the Covered Shares shall pass, whether by operation of Law or otherwise, including the Stockholders’ successors or assigns. In the event of a stock split, stock dividend, merger (other than the Mergers), exchange, reorganization, recapitalization or distribution, or any change in the capital structure 
		

		 

 

			of FSB affecting the FSB Common Stock, the terms “Existing Shares” and “Covered Shares” shall be deemed to refer to and include such shares as well as all such additional securities of FSB and any securities into which or for which any or all of such securities may be changed or exchanged or which are received in such transaction.

			
	
			
				 IV.3.
			Notice of Acquisitions, etc.  The Stockholder hereby agrees to notify FSB and Evans as promptly as practicable (and in any event within two Business Days after receipt) in writing of (i) the number of any additional shares of FSB Common Stock or other securities of FSB of which the Stockholder acquires Beneficial Ownership on or after the date hereof and (ii) any proposed Permitted Transfers of the Covered Shares, Beneficial Ownership thereof or other interest specifically therein.

			
	
			
				 IV.4.
			Non-Solicit.  In his or her capacity as a stockholder of FSB, and not in his or her capacity as a director or officer of FSB, as applicable, the Stockholder shall not, and shall cause his or her Affiliates and each of their respective Representatives not to, directly or indirectly, (a) solicit, initiate, encourage (including by providing information or assistance), facilitate or induce any Acquisition Proposal, (b) engage or participate in any discussions or negotiations regarding, or furnish or cause to be furnished to any Person any confidential or nonpublic information or data in connection with, or take any other action to facilitate any inquiries or the making of any offer or proposal that constitutes, or may reasonably be expected to lead to, an Acquisition Proposal, (c) adopt, approve, agree to, accept, endorse or recommend any Acquisition Proposal, (d) solicit proxies or become a “participant” in a “solicitation” (as such terms are defined in the Exchange Act) with respect to an Acquisition Proposal or otherwise encourage or assist any party in taking or planning any action that would reasonably be expected to compete with, restrain or otherwise serve to interfere with or inhibit the timely consummation of the Merger in accordance with the terms of the Merger Agreement, (e) initiate a stockholders’ vote or action by consent of FSB’s stockholders with respect to an Acquisition Proposal, (f) except by reason of this Agreement, become a member of a “group” (as such term is used in Section 13(d) of the Exchange Act) with respect to any voting securities of FSB that takes any action in support of an Acquisition Proposal, or (g) approve, endorse, recommend, agree to or accept, or propose to approve, endorse, recommend, agree to or accept, any Acquisition Agreement contemplating or otherwise relating to any Acquisition Transaction.

			
	
			
				 IV.5.
			Further Assurances.  From time to time, at the request of Evans or FSB and without further consideration, the Stockholder shall execute and deliver such additional documents and take all such further action as may be reasonably necessary to effect the actions and consummate the transactions contemplated by this Agreement.    

			
	
			
				 IV.6.
			Disclosure.  The Stockholder hereby authorizes Evans and FSB to publish and disclose in any announcement or disclosure required by applicable Law and any proxy statement filed in connection with the transactions contemplated by the Merger Agreement, including the Proxy/Prospectus, the Stockholder’s identity and ownership of the Covered Shares and the nature of the Stockholder’s obligation under this Agreement.  

			
	
			
				 ARTICLE V
			
MISCELLANEOUS

			
	
			
				 V.1.
			Termination.  This Agreement shall remain in effect until the earlier to occur of (a) the receipt of the FSB Stockholder Approval or  (b) the date of termination of the Merger Agreement in accordance with its terms (the “Support Period”); provided, that (i) the provisions of Section 4.4 shall survive until the earlier to occur of (x) the Closing or (y) the termination of the Merger Agreement in accordance with its terms, and (ii) the provisions of ARTICLE V shall survive any termination of this Agreement.  Nothing in this Section 5.1  and no termination of this Agreement shall relieve or otherwise limit any party of liability for fraud, or willful or intentional breach of this Agreement.

		 

 

			
	
			
				 V.2.
			No Ownership Interest.  Nothing contained in this Agreement shall be deemed to vest in Evans or FSB any direct or indirect ownership or incidence of ownership of or with respect to any Covered Shares.  All rights, ownership and economic benefits of and relating to the Covered Shares shall remain vested in and belong to the Stockholder, and Evans or FSB shall not have any authority to direct the Stockholder in the voting or disposition of any of the Covered Shares, except as otherwise provided herein. 

			
	
			
				 V.3.
			Notices.  All notices or other communications which are required or permitted hereunder shall be in writing and sufficient if delivered by hand, by facsimile transmission (followed by overnight courier), by registered or certified mail, postage pre-paid, or by courier or overnight carrier, or by email (with receipt confirmed) to the persons at the addresses set forth below (or at such other address as may be provided hereunder), and shall be deemed to have been delivered as of the date so delivered: 

		
			
		

			
					
						﻿

					
					
						 

					
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						Evans:

					
					
						 

					
					
						Evans Bancorp, Inc. 

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						Evans Bank, N.A.

					
					
						 

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						One Grimsby Drive

					
					
						 

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						Hamburg, NY 14075

					
					
						 

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						Facsimile Number:  716-926-2005

				
	
					
						﻿

					
					
						 

					
					
						Attention:  David J. Nasca

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						Email: dnasca@evansbank.com

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						Copy to Counsel: 

					
					
						 

					
					
						Covington & Burling LLP

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						One CityCenter

					
					
						 

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						850 Tenth Street NW

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						Washington, DC  20001

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						Facsimile Number: (202) 778-5986

				
	
					
						﻿

					
					
						 

					
					
						Attention: Frank M. Conner III

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						Email: rconner@cov.com;

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						Attention: Michael P. Reed

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						Email: mreed@cov.com;

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						Attention: Christopher J. DeCresce

				
	
					
						﻿

					
					
						 

					
					
						Email: cdecresce@cov.com

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						FSB:

					
					
						 

					
					
						FSB Bancorp, Inc.

					
					
						 

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						Fairport Savings Bank

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						45 South Main Street

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						Fairport, New York 14450

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						Facsimile Number:  585-381-9243

				
	
					
						﻿

					
					
						 

					
					
						Attention:  Kevin D. Maroney

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						Email: kmaroney@fairportsavingsbank.com

				
	
					
						﻿

					
					
						 

					
					
						 

					
					
						 

					
					
						 

					
					
						 

				
	
					
						Copy to Counsel:

					
					
						 

					
					
						 Luse Gorman, PC

					
					
						 

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						 5335 Wisconsin Avenue, N.W., Ste. 780

				
	
					
						﻿

					
					
						 

					
					
						 Washington, D.C. 20015

					
					
						 

				

		 

 

			
					
						﻿

					
					
						 

					
					
						 Facsimile Number:  202-362-2902

				
	
					
						﻿

					
					
						 

					
					
						 Attention:  Eric Luse

					
					
						 

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						 Email: eluse@luselaw.com

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						 Attention:  Benjamin M. Azoff

					
					
						 

				
	
					
						﻿

					
					
						 

					
					
						 Email: bazoff@luselaw.com

					
					
						 

				

		
			﻿
		

		
			
		

		
			Stockholder:To those persons indicated on Schedule 1.
		

			
	
			
				 V.4.
			Interpretation.   Neither this Agreement nor any uncertainty or ambiguity herein shall be construed or resolved against any party, whether under any rule of construction or otherwise.  No party to this Agreement shall be considered the draftsman.  The parties acknowledge and agree that this Agreement has been reviewed, negotiated, and accepted by all parties and their attorneys and, unless otherwise defined herein, the words used shall be construed and interpreted according to their ordinary meaning so as fairly to accomplish the purposes and intentions of all parties hereto. Section headings of this Agreement are for reference purposes only and are to be given no effect in the construction or interpretation of this Agreement.  Whenever the context may require, any pronoun used herein shall include the corresponding masculine, feminine or neuter forms.  Whenever the words “include,” “includes” or “including” are used in this Agreement, they shall be deemed to be followed by the words “without limitation.”

			
	
			
				 V.5.
			Counterparts; Delivery by Facsimile or Electronic Transmission.  This Agreement may be executed in two or more counterparts, each of which shall be deemed to be an original, but all of which together shall constitute one and the same instrument.  This Agreement and any signed agreement or instrument entered into in connection with this Agreement, and any amendments or waivers hereto or thereto, to the extent signed and delivered by means of a facsimile machine or by e-mail delivery of a “.pdf” format data file, shall be treated in all manner and respects as an original agreement or instrument and shall be considered to have the same binding legal effect as if it were the original signed version thereof delivered in person. No party hereto or to any such agreement or instrument shall raise the use of a facsimile machine or e-mail delivery of a “.pdf” format data file to deliver a signature to this Agreement or any amendment or waiver hereto or any agreement or instrument entered into in connection with this Agreement or the fact that any signature or agreement or instrument was transmitted or communicated through the use of a facsimile machine or e-mail delivery of a “.pdf” format data file as a defense to the formation of a contract and each party hereto forever waives any such defense.

			
	
			
				 V.6.
			Entire Agreement.  This Agreement and, to the extent referenced herein, the Merger Agreement, together with the several agreements and other documents and instruments referred to herein or therein or annexed hereto or thereto, constitute the entire agreement between the parties hereto with respect to the transactions contemplated hereunder and thereunder and supersedes  all prior arrangements or understandings, with respect thereto, written and oral.  

			
	
			
				 V.7.
			Governing Law; Consent to Jurisdiction; Waiver of Jury Trial.

			
	
			
				 (a)
			The parties agree that this Agreement shall be governed by and construed in all respects in accordance with the Laws of the State of New York without regard to any conflict of Laws or choice of Law principles that might otherwise refer construction or interpretation of this Agreement to the substantive Law of another jurisdiction.

			
	
			
				 (b)
			Each party agrees that it will bring any action or proceeding in respect of any claim arising out of or related to this Agreement or the transactions contemplated hereby exclusively in any federal 
		

		 

 

			or state court of competent jurisdiction located in the State of New York (the “Chosen Courts”), and, solely in connection with claims arising under this Agreement or the transactions that are the subject of this Agreement, (i) irrevocably submits to the exclusive jurisdiction of the Chosen Courts, (ii) waives any objection to laying venue in any such action or proceeding in the Chosen Courts, (iii) waives any objection that the Chosen Courts are an inconvenient forum or do not have jurisdiction over any party and (iv) agrees that service of process upon such party in any such action or proceeding will be effective if notice is given in accordance with Section 5.3.

			
	
			
				 (c)
			EACH PARTY ACKNOWLEDGES AND AGREES THAT ANY CONTROVERSY WHICH MAY ARISE UNDER THIS AGREEMENT IS LIKELY TO INVOLVE COMPLICATED AND DIFFICULT ISSUES, AND THEREFORE EACH SUCH PARTY HEREBY IRREVOCABLY AND UNCONDITIONALLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT SUCH PARTY MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY SUIT, ACTION OR OTHER PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED BY THIS AGREEMENT. EACH PARTY CERTIFIES AND ACKNOWLEDGES THAT: (I) NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF ANY ACTION, SUIT OR PROCEEDING, SEEK TO ENFORCE THE FOREGOING WAIVER, (II) EACH PARTY UNDERSTANDS AND HAS CONSIDERED THE IMPLICATIONS OF THIS WAIVER, (III) EACH PARTY MAKES THIS WAIVER VOLUNTARILY, AND (IV) EACH PARTY HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION 5.7.

			
	
			
				 V.8.
			Amendments; Waivers.  To the extent permitted by Law, this Agreement may be amended or waived by a subsequent writing signed by each of the parties upon the approval of each of the parties. 

			
	
			
				 V.9.
			Enforcement of Agreement.  The parties hereto agree that irreparable damage would occur in the event that any of the provisions of this Agreement was not performed in accordance with its specific terms or was otherwise breached.  It is accordingly agreed that the parties shall be entitled, without the requirement of posting bond, to an injunction or injunctions to prevent breaches of this Agreement and to enforce specifically the terms and provisions hereof in any court of the United States or any state having jurisdiction, this being in addition to any other remedy to which they are entitled at law or in equity.    Each of the parties waives any defense in any action for specific performance that a remedy at law would be adequate.

			
	
			
				 V.10.
			Severability.  Any term or provision of this Agreement which is invalid or unenforceable in any jurisdiction shall, as to that jurisdiction, be ineffective to the extent of such invalidity or unenforceability without rendering invalid or unenforceable the remaining terms and provisions of this Agreement or affecting the validity or enforceability of any of the terms or provisions of this Agreement in any other jurisdiction.  If any provision of this Agreement is so broad as to be unenforceable, the provision shall be interpreted to be only so broad as is enforceable.  

			
	
			
				 V.11.
			Assignment.   Except as expressly contemplated hereby, neither this Agreement nor any of the rights, interests or obligations hereunder shall be assigned by any party hereto (whether by operation of Law or otherwise) without the prior written consent of the other parties.  Any purported assignment in contravention hereof shall be null and void.  Subject to the preceding sentences, this Agreement will be binding upon, inure to the benefit of and be enforceable by the parties and their respective successors and assigns.

		 

 

			
	
			
				 V.12.
			Third Party Beneficiaries.  Nothing in this Agreement expressed or implied, is intended to confer upon any Person, other than the parties or their respective successors, any rights, remedies, obligations, or liabilities under or by reason of this Agreement.  The representations and warranties in this Agreement are the product of negotiations among the parties hereto and are for the sole benefit of the parties.  Any inaccuracies in such representations and warranties are subject to waiver by the parties hereto in accordance herewith without notice or liability to any other Person.  In some instances, the representations and warranties in this Agreement may represent an allocation among the parties hereto of risks associated with particular matters regardless of the Knowledge of any of the parties hereto.  Consequently, Persons other than the parties may not rely upon the representations and warranties in this Agreement as characterizations of actual facts or circumstances as of the date of this Agreement or as of any other date.  Notwithstanding any other provision hereof to the contrary, no Consent, approval or agreement of any third party beneficiary will be required to amend, modify to waive any provision of this Agreement.

			
	
			
				 V.13.
			Stockholder Capacity.  Notwithstanding any other provision contained in this Agreement, this Agreement applies solely to the Stockholder in his or her capacity as a stockholder and, Stockholder makes no agreement or understanding in this Agreement in Stockholder’s capacity as a director or officer of FSB (if Stockholder holds such office), and nothing in this Agreement: (a) will limit or affect any actions or omissions taken by Stockholder in Stockholder’s capacity as such a director or officer, including in exercising rights under the Merger Agreement, and no such actions or omissions shall be deemed a breach of this Agreement; or (b) will be construed to prohibit, limit or restrict the Stockholder from exercising Stockholder’s fiduciary duties as an officer or director to FSB or its stockholders.

		
			[Remainder of this page intentionally left blank]
		

		
			﻿
		

		
			 
		

		

		

		 

 

		

			 

		

		IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be signed (where applicable, by their respective officers or other authorized Person thereunto duly authorized) as of the date first written above.
		

		
			EVANS BANCORP, INC.
		

		
			﻿
		

		
			﻿
		

		
			By: __________________________
		

		
			Name: 
		

		
			Title: 
		

		
			﻿
		

		
			﻿
		

		
			FSB BANCORP, INC.
		

		
			﻿
		

		
			﻿
		

		
			By: __________________________
		

		
			Name: 
		

		
			Title: 
		

		
			﻿
		

		
			﻿
		

		
			Stockholder
		

		
			﻿
		

		
			﻿
		

		
			______________________________
		

		
			Name:
		

		
			﻿
		

		
			﻿
		

		
			﻿
		

		
			 
		

		

		

		 

		

			[Signature Page to Voting Agreement]

		

		

			 

		

 

		

			 

		

		Schedule 1
		

		
			INFORMATION
		

		
			﻿
		

			
					
						Name

					
					
						 

					
					
						Existing Shares

				
	
					
						﻿

					
					
						 

					
					
						 

				
	
					
						______________________________

					
					
						 

					
					
						_______________________________

				

		
			﻿
		

		
			﻿
		

		
			Address for notice:
		

		
			﻿
		

		
			Name:________________________
		

		
			﻿
		

		
			Street: ________________________
		

		
			________________________
		

		
			﻿
		

		
			City, State:________________________
		

		
			﻿
		

		
			ZIP Code:________________________
		

		
			﻿
		

		
			Telephone:________________________
		

		
			﻿
		

		
			Fax:________________________
		

		
			﻿
		

		
			Email:________________________
		

		
			﻿
		

		
			﻿
		

		
			﻿Exhibit 10.1

 

THE EXCHANGE CONTEMPLATED
HEREIN IS INTENDED TO COMPORT WITH THE REQUIREMENTS OF SECTION 3(a)(9) OF THE SECURITIES ACT OF 1933, AS AMENDED.

 

EXCHANGE
AGREEMENT

 

This
Exchange Agreement (this “Agreement”) is entered into as of December 16, 2019 by and between Iliad Research
and Trading, L.P., a Utah limited partnership (“Lender”), and China Recycling Energy Corporation, a Nevada corporation
(“Borrower”). Capitalized terms used in this Agreement without definition shall have the meanings given to them
in the Exchange Note (defined below).

 

A. 
Borrower previously sold and issued to Lender that certain Convertible Promissory Note dated January 31, 2019 in the original
principal amount of $1,050,000.00 (the “Original Note”) pursuant to that certain Securities Purchase Agreement
dated January 31, 2019 by and between Lender and Borrower (the “Purchase Agreement”).

 

B. 
Pursuant to an Exchange Agreement dated April 14, 2019 (the “Exchange Agreement”), Borrower and Lender
exchanged the Original Note for a new Promissory Note in the original principal amount of $1,173,480.00 (the “Exchange
Note,” and together with the Exchange Agreement and all other documents entered into in conjunction therewith, the “Exchange
Documents”).

 

C. 
Subject to the terms of this Agreement, Borrower and Lender desire to partition a new Promissory Note in the original principal
amount of $120,000.00 (the “Partitioned Note”) from the Exchange Note and then cause the outstanding balance
of the Exchange Note to be reduced by an amount equal to the initial outstanding balance of the Partitioned Note.

 

D. 
Borrower and Lender further desire to exchange (such exchange is referred to as the “Note Exchange”)
the Partitioned Note for the delivery of 400,000 shares of the Company’s Common Stock, par value $0.001 (the “Common
Stock,” and such 400,000 shares of Common Stock, the “Exchange Shares”), according to the terms and
conditions of this Agreement.

 

E. 
The Note Exchange will consist of Lender surrendering the Partitioned Note in exchange for the Exchange Shares, which will
be issued free of any restrictive securities legend pursuant to Rule 144. Other than the surrender of the Partitioned Note, no
consideration of any kind whatsoever shall be given by Lender to Borrower in connection with this Agreement.

 

F. 
Lender and Borrower now desire to exchange the Partitioned Note for the Exchange Shares on the terms and conditions set
forth herein.

 

NOW,
THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree
as follows:

 

1. 
Recitals and Definitions. Each of the parties hereto acknowledges and agrees that the recitals set forth above in
this Agreement are true and accurate, are contractual in nature, and are hereby incorporated into and made a part of this Agreement.

 

2. 
Partition. Effective as of the date hereof, Borrower and Lender agree that the Partitioned Note is hereby partitioned
from the Exchange Note. Following such partition of the Exchange Note, Borrower and Lender agree that the Exchange Note shall remain
in full force and effect, provided that the outstanding balance of the Exchange Note shall be reduced by an amount equal to the
initial outstanding balance of the Partitioned Note.

 

    	 	1	 

     

    

 

3. 
Issuance of Shares. Pursuant to the terms and conditions of this Agreement, the Exchange Shares shall be delivered
to Lender on or before December 19, 2019 and the Note Exchange shall occur with Lender surrendering the Partitioned Note to Borrower
on the Free Trading Date (as defined below). On the Free Trading Date, the Partitioned Note shall be cancelled and all obligations
of Borrower under the Partitioned Note shall be deemed fulfilled. All Exchange Shares delivered hereunder shall be delivered via
DWAC to Lender’s designated brokerage account. Subject to the securities laws and regulations, Borrower agrees to provide
all necessary cooperation or assistance that may be required to cause all Exchange Shares delivered hereunder to become Free Trading
(the first date such occurs, the “Free Trading Date”). For purposes hereof, the term “Free Trading”
means that (a) the Exchange Shares have been cleared and approved for public resale by the compliance departments of Lender’s
brokerage firm and the clearing firm servicing such brokerage, and (b) such shares are held in the name of the clearing firm servicing
Lender’s brokerage firm and have been deposited into such clearing firm’s account for the benefit of Lender.

 

4. 
Closing. The closing of the transaction contemplated hereby (the “Closing”) along with the delivery
of the Exchange Shares to Lender shall occur on the date that is mutually agreed to by Borrower and Lender by means of the exchange
by email of .pdf documents, but shall be deemed to have occurred at the offices of Hansen Black Anderson Ashcraft PLLC in Lehi,
Utah.

 

5. 
Holding Period, Tacking and Legal Opinion. Lender and Borrower agree that for the purposes of Rule 144 (“Rule
144”) of the Securities Act of 1933, as amended (the “Securities Act”), the holding period of the
Partitioned Note and the Exchange Shares will include Lender’s holding period of the Exchange Note from January 31, 2019,
which date is the date that the Original Note was originally issued. Borrower agrees not to take a position contrary to this Section
5 in any document, statement, setting, or situation. Borrower agrees to take all action necessary to issue the Exchange Shares
without restriction, and not containing any restrictive legend without the need for any action by Lender; provided that the applicable
holding period has been met. In furtherance thereof, prior to the Closing, counsel to Lender may, in its sole discretion, provide
an opinion that: (a) the Exchange Shares may be resold pursuant to Rule 144 without volume or manner-of-sale restrictions or current
public information requirements; and (b) the transactions contemplated hereby and all other documents associated with this transaction
comport with the requirements of Section 3(a)(9) of the Securities Act. Borrower represents that it is in full compliance with
the tests and standards set forth in Rule 144(i)(2) as of the date of this Agreement. The Exchange Shares are being issued in substitution
of and exchange for and not in satisfaction of the Partitioned Note. The Exchange Shares shall not constitute a novation or satisfaction
and accord of the Partitioned Note. Borrower acknowledges and understands that the representations and agreements of Borrower in
this Section 5 are a material inducement to Lender’s decision to consummate the transactions contemplated herein.

 

    	 	2	 

     

    

 

6.  Representations,
Warranties and Agreements of Borrower. In order to induce Lender to enter into this Agreement, Borrower, for itself, and
for its affiliates, successors and assigns, hereby acknowledges, represents, warrants and agrees as follows: (a) Borrower has
full power and authority to enter into this Agreement and to incur and perform all obligations and covenants contained
herein, all of which have been duly authorized by all proper and necessary action, (b) no consent, approval, filing or
registration with or notice to any governmental authority is required as a condition to the validity of this Agreement or
the performance of any of the obligations of Borrower hereunder, (c) except as specifically set forth herein, nothing herein
shall in any manner release, lessen, modify or otherwise affect Borrower’s obligations under the Exchange Note, (d) the
issuance of the Exchange Shares is duly authorized by all necessary corporate action and the Exchange Shares are validly
issued, fully paid and non-assessable, free and clear of all taxes, liens, claims, pledges, mortgages, restrictions,
obligations, security interests and encumbrances of any kind, nature and description, (e) Borrower has not received any
consideration in any form whatsoever for entering into this Agreement, other than the surrender of the Partitioned Note, and
(f) Borrower has taken no action which would give rise to any claim by any person for a brokerage commission, placement agent
or finder’s fee or other similar payment by Borrower related to this Agreement.

 

7. 
Representations, Warranties and Agreements of Lender. In order to induce Borrower to enter into this Agreement, Lender,
for itself, and for its affiliates, successors and assigns, hereby acknowledges, represents, warrants and agrees as follows: (a)
Lender has full power and authority to enter into this Agreement and to incur and perform all obligations and covenants contained
herein, all of which have been duly authorized by all proper and necessary action, and (b) no consent, approval, filing or registration
with or notice to any governmental authority is required as a condition to the validity of this Agreement or the performance of
any of the obligations of Lender hereunder.

 

8. 
Arbitration. By its execution of this Agreement, each party agrees to be bound by the Arbitration Provisions (as
defined in the Purchase Agreement) set forth as an exhibit to the Purchase Agreement and the parties agree to submit all Claims
(as defined in the Purchase Agreement) arising under this Agreement or any Transaction Document or other agreement between the
parties and their affiliates to binding arbitration pursuant to the Arbitration Provisions.

 

9. 
Governing Law; Venue. This Agreement shall be construed and enforced in accordance with, and all questions concerning
the construction, validity, interpretation and performance of this Agreement shall be governed by, the internal laws of the State
of Utah, without giving effect to any choice of law or conflict of law provision or rule (whether of the State of Utah or any other
jurisdictions) that would cause the application of the laws of any jurisdictions other than the State of Utah. The provisions set
forth in the Purchase Agreement to determine the proper venue for any disputes are incorporated herein by this reference. BORROWER
HEREBY IRREVOCABLY WAIVES ANY RIGHT IT MAY HAVE TO, AND AGREES NOT TO REQUEST, A JURY TRIAL FOR THE ADJUDICATION OF ANY DISPUTE
HEREUNDER OR IN CONNECTION WITH OR ARISING OUT OF THIS AGREEMENT OR ANY TRANSACTION CONTEMPLATED HEREBY.

 

10.  Counterparts.
This Agreement may be executed in any number of counterparts with the same effect as if all signing parties had signed the
same document. All counterparts shall be construed together and constitute the same instrument. The exchange of copies of
this Agreement and of signature pages by facsimile transmission or other electronic transmission (including email) shall
constitute effective execution and delivery of this Agreement as to the parties and may be used in lieu of the
original Agreement for all purposes. Signatures of the parties transmitted by facsimile transmission or other electronic
transmission (including email) shall be deemed to be their original signatures for all purposes.

 

    	 	3	 

     

    

 

11. 
 Attorneys’ Fees. In the event of any arbitration or action at law or in equity to enforce or interpret the
terms of this Agreement, the prevailing party shall therefore be entitled to an additional award of the full amount of the attorneys’
fees and expenses paid by such prevailing party in connection with the arbitration, litigation and/or dispute without reduction
or apportionment based upon the individual claims or defenses giving rise to the fees and expenses. Nothing herein shall restrict
or impair an arbitrator’s or a court’s power to award fees and expenses for frivolous or bad faith pleading.

 

12. 
No Reliance. Each party acknowledges and agrees that neither the other party nor any of such other party’s
officers, directors, members, managers, equity holders, representatives or agents has made any representations or warranties to
the party or any of its agents, representatives, officers, directors, or employees except as expressly set forth in this Agreement
and the Exchange Documents and, in making its decision to enter into the transactions contemplated by this Agreement, the party
is not relying on any representation, warranty, covenant or promise of the other party or such other party’s officers, directors,
members, managers, equity holders, agents or representatives other than as set forth in this Agreement.

 

13. 
Severability. If any part of this Agreement is construed to be in violation of any law, such part shall be modified
to achieve the objective of the parties to the fullest extent permitted and the balance of this Agreement shall remain in full
force and effect.

 

14. 
Entire Agreement. This Agreement, together with the Exchange Documents, and all other documents referred to herein,
supersedes all other prior oral or written agreements between Borrower, Lender, its affiliates and persons acting on its behalf
with respect to the matters discussed herein, and this Agreement and the instruments referenced herein contain the entire understanding
of the parties with respect to the matters covered herein and therein and, except as specifically set forth herein or therein,
neither Lender nor Borrower makes any representation, warranty, covenant or undertaking with respect to such matters.

 

15. 
Amendments. This Agreement may be amended, modified, or supplemented only by written agreement of the parties. No
provision of this Agreement may be waived except in writing signed by the party against whom such waiver is sought to be enforced.

 

16. 
Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of the parties and their respective
successors and assigns. This Agreement or any of the severable rights and obligations inuring to the benefit of or to be performed
by Lender hereunder may be assigned by Lender to a third party, including its financing sources, in whole or in part. Neither party
shall assign this Agreement or any of its obligations herein without the prior written consent of the other party.

 

    	 	4	 

     

    

 

17. 
Continuing Enforceability; Conflict Between Documents. Except as otherwise modified by this Agreement, the Exchange
Note and each of the other Exchange Documents shall remain in full force and effect, enforceable in accordance with all of its
original terms and provisions. This Agreement shall not be effective or binding unless and until it is fully executed and delivered
by Lender and Borrower. If there is any conflict between the terms of this Agreement, on the one hand, and the Exchange Note or
any other Transaction Document, on the other hand, the terms of this Agreement shall prevail.

 

18. 
Time of Essence. Time is of the essence with respect to each and every provision of this Agreement.

 

19. 
Notices. Unless otherwise specifically provided for herein, all notices, demands or requests required or permitted
under this Agreement to be given to Borrower or Lender shall be given as set forth in the “Notices” section of the
Purchase Agreement.

 

20. 
Further Assurances. Each party shall do and perform or cause to be done and performed, all such further acts and
things, and shall execute and deliver all such other agreements, certificates, instruments and documents, as the other party may
reasonably request in order to carry out the intent and accomplish the purposes of this Agreement and the consummation of the transactions
contemplated hereby.

 

[Remainder of page intentionally
left blank]

 

    	 	5	 

     

    

 

IN WITNESS WHEREOF, the undersigned
have executed this Agreement as of the date first set forth above.

 

	 	COMPANY:
	 	 	 
	 	CHINA RECYCLING ENERGY CORPORATION
	 	 	 
	 	By:	                 
	 	Title:	 
	 	Name:	 

 

	 	LENDER:
	 	 	 	 	 
	 	ILIAD RESEARCH AND TRADING, L.P.
	 	 	 	 	 
	 	By:	Iliad Management, LLC, its General Partner
	 	 	 	 	 
	 	 	By:	Fife Trading, Inc., its Manager
	 	 	 	 	 
	 	 	 	By:	 
	 	 	 	 	John M. Fife, President

 

[Signature Page to Exchange Agreement]

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00302-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00302-of-00352.parquet"}]]