Document:

Exhibit 10.20

 

 

AMENDED AND RESTATED

 

EMPLOYEE AND DIRECTOR INCENTIVE RESTRICTED
SHARE PLAN

OF

HOSPITALITY INVESTORS TRUST, INC.

 

 SECTION 1.        
    PURPOSES OF THE PLAN AND DEFINITIONS

 

1.1             
Purposes. The purposes of the Employee and Director Incentive Restricted Share Plan (this “Plan”)
of Hospitality Investors Trust, Inc. (the “Company”), are to:

 

(1)              
provide incentives to selected Persons chosen to receive share-based awards because of their ability to improve operations
and increase profits of the Company;

 

(2)              
encourage selected Persons to accept positions with or continue to provide services to the Company and Affiliates of the
Company, as applicable; and

 

(3)              
increase the interest of Directors in the Company’s welfare through their participation in the growth in value of
the Company’s Shares.

 

To accomplish these
purposes, this Plan provides a means whereby Affiliates of the Company, employees and officers of the Company and Affiliates of
the Company, Directors, and other enumerated Persons may receive Awards.

 

1.2             
Definitions. For purposes of this Plan, the following terms have the following meanings:

 

“Affiliate”
means, with respect to any other Person: (i) any Person directly or indirectly owning, controlling or holding, with the power to
vote, ten percent (10.0%) or more of the outstanding voting securities of such other Person; (ii) any Person ten percent (10.0%)
or more of whose outstanding voting securities are directly or indirectly owned, controlled or held, with the power to vote, by
such other Person; (iii) any Person directly or indirectly controlling, controlled by or under common control with such other Person;
(iv) any executive officer, director, trustee, general partner or manager of such other Person; and (v) any legal entity for which
such Person acts as an executive officer, director, trustee, general partner or manager. The determination of whether a Person
is an Affiliate shall be made by the Board acting in its sole and absolute discretion.

 

“Applicable
Laws” means the requirements relating to the administration of Awards under state corporation laws, U.S. federal
and state securities laws, the Code, any stock exchange or quotation system on which the Shares are listed or quoted and the applicable
laws of any foreign country or jurisdiction where Awards are, or will be, granted under this Plan.

 

“Articles
Supplementary” means the Articles Supplementary of the Company as filed with the State Department of Assessments
and Taxation of Maryland on March 31, 2017.

 

     

     

    

 

“Award”
means any award of Restricted Shares or Restricted Share Units under this Plan.

 

“Award
Agreement” means, with respect to each Award, the written agreement executed by the Company and the Participant or
other written document approved by the Board setting forth the terms and conditions of the Award.

 

“Board”
means the Board of Directors of the Company.

 

“Change
in Control” shall have the meaning set forth on Exhibit A.

 

“Charter”
means the charter of the Company, as the same may be amended from time to time and including, for the avoidance of doubt, the Articles
Supplementary.

 

“Code”
means the Internal Revenue Code of 1986, as amended from time to time.

 

“Committee”
means the Board, the Compensation Committee of the Board or a duly appointed committee of the Board to which the Board has delegated
its powers and functions hereunder.

 

“Company
” means American Realty Capital Hospitality Trust, Inc., to be renamed Hospitality Investors Trust, Inc.

 

“Director
means a person elected or appointed and serving as a member of the Board in accordance with the Charter and the Maryland
General Corporation Law.

 

“Effective
Date” has the meaning set forth in Section 14.

 

“Exchange
Act means the Securities Exchange Act of 1934, as amended from time to time.

 

“Fair Market
Value” means with respect to Shares:

 

(i)                
If the Shares are listed on any established stock exchange or a national market system, their Fair Market Value shall be
the closing sales price for the Shares, or the mean between the high bid and low asked prices if no sales were reported, as quoted
on such system or exchange (or, if the Shares are listed on more than one exchange, then on the largest such exchange) for the
date the value is to be determined (or if there are no sales or bids for such date, then for the last preceding business day on
which there were sales or bids), as reported in The Wall Street Journal

 

(ii)              
If the Shares are regularly quoted by a recognized securities dealer but selling prices are not reported, or if there is
no secondary trading market for the Shares, their Fair Market Value shall be determined in good faith by the Board.

 

“Grant
Date” has the meaning set forth in Section 5.1(c).

 

“Participant”
means an eligible person who is granted an Award.

 

    	 	2	 

     

    

 

“Person”
means an individual, a corporation, partnership, trust, association, or any other entity.

 

“Plan”
means this Employee and Director Incentive Restricted Share Plan, as amended and or restated from time to time in accordance with
its terms.

 

“Restricted
Share Unit” means an Award granted under Section 5.3.

 

“Restricted
Shares” means an Award granted under Section 5.2.

 

“Rule 16b-3”
means Rule 16b-3 adopted under Section 16(b) or any successor rule, as it may be amended from time to time, and references to paragraphs
or clauses of Rule 16b-3 refer to the corresponding paragraphs or clauses of Rule 16b-3 as it exists at the Effective Date or the
comparable paragraph or clause of Rule 16b-3 or successor rule, as that paragraph or clause may thereafter be amended.

 

“Section
16(b)” means Section 16(b) of the Exchange Act.

 

“Section
409A of the Code” means the nonqualified deferred compensation rules under Section 409A of the Code and any applicable
Treasury regulation or other official guidance promulgated thereunder.

 

“Securities
Act” means the Securities Act of 1933, as amended from time to time.

 

“Shares
” means shares of common stock of the Company, $0.01 par value per share.

 

“Termination”
means that a Participant has ceased, for any reason and with or without cause, to be an employee or Director of, or a consultant
to, the Company or any Affiliate of the Company.

 

 SECTION 2.               ELIGIBLE PERSONS

 

Every Person who, at
or as of the Grant Date, is:

 

(a)               
a full-time employee of the Company or any Affiliate of the Company;

 

(b)              
an officer of the Company or any Affiliate of the Company;

 

(c)               
a Director of the Company;

 

(d)              
a director of any Affiliate of the Company; or

 

(e)               
a Person that the Board designates as eligible for an Award because such Person:

 

(i)                
performs bona fide consulting or advisory services for the Company or any Affiliate of the Company pursuant to a written
agreement (other than services in connection with the offer or sale of securities in a capital-raising transaction), and

 

    	 	3	 

     

    

 

(ii)              
has a direct and significant effect on the financial development of the Company or any Affiliate of the Company, shall be
eligible to receive Awards hereunder.

 

 SECTION 3.              SHARES SUBJECT TO THIS PLAN

 

The total number of
Shares that may be issued pursuant to Awards shall not exceed 5.0% of the Company’s outstanding Shares on a fully diluted
basis at any time and in any event will not exceed 4,000,000 Shares. The number of Shares reserved for issuance under this Plan
is subject to adjustment in accordance with the provisions for adjustment in Section 5.1. If any Shares awarded under this
Plan are forfeited for any reason, the number of forfeited Shares shall again be available for purposes of granting Awards under
this Plan.

 

 SECTION 4.              ADMINISTRATION

 

4.1             
Administration. This Plan shall be administered by the Committee.

 

4.2             
Committee’s Powers. Subject to the express provisions of this Plan, the Committee shall have the authority,
in its sole discretion:

 

(a)               
to adopt, amend and rescind administrative and interpretive rules and regulations relating to this Plan;

 

(b)              
to determine the eligible Persons to whom, and the time or times at which, Awards shall be granted;

 

(c)               
to determine the number of Shares that shall be the subject of each Award;

 

(d)              
to determine the terms and provisions of each Award (which need not be identical) and any amendments thereto, including
provisions defining or otherwise relating to:

 

(i)                
the extent to which the transferability of Shares issued or transferred pursuant to any Award is restricted;

 

(ii)              
the effect of Termination on an Award;

 

(iii)            
the effect of approved leaves of absence; and

 

(iv)            
to construe the respective Award Agreements and this Plan.

 

(e)               
to make determinations of the Fair Market Value of Shares;

 

(f)               
to waive any provision, condition or limitation set forth in an Award Agreement;

 

(g)              
to delegate its duties under this Plan to such agents as it may appoint from time to time; and

 

(h)              
to make all other determinations, perform all other acts and exercise all other powers and authority necessary or advisable
for administering this Plan, including the delegation of those ministerial acts and responsibilities as the Committee deems appropriate.

 

    	 	4	 

     

    

 

The Committee may correct
any defect, supply any omission or reconcile any inconsistency in this Plan, in any Award or in any Award Agreement in the manner
and to the extent it deems necessary or desirable to implement this Plan, and the Committee shall be the sole and final judge of
that necessity or desirability. The determinations of the Committee on the matters referred to in this Section 4.2 shall
be final and conclusive.

 

4.3             
Term of Plan. No Awards shall be granted under this Plan after 10 years from the Effective Date of this Plan.

 

 SECTION 5.              CERTAIN TERMS AND CONDITIONS OF AWARDS

 

5.1             
All Awards. All Awards shall be subject to the following terms and conditions:

 

(a)               
Changes in Capital Structure. If the number of outstanding Shares is increased by means of a share dividend payable
in Shares, a share split or other subdivision or by a reclassification of Shares, then, from and after the record date for such
dividend, subdivision or reclassification, the number and class of Shares subject to this Plan shall be increased or adjusted,
as applicable, in proportion to such increase in outstanding Shares. If the number of outstanding Shares is decreased by means
of a reverse share split or other combination or by a reclassification of Shares, then, from and after the record date for such
combination or reclassification, the number and class of Shares subject to this Plan shall be decreased or adjusted, as applicable,
in proportion to such decrease in outstanding Shares.

 

(b)              
Certain Corporate Transactions. In the event of any change in the capital structure or business of the Company by
reason of any recapitalization, reorganization, merger, consolidation, split-up, subdivision, combination, exchange of Shares or
any similar change affecting the Company’s capital structure or business, then the aggregate number and kind of Shares which
thereafter may be issued under this Plan shall be appropriately adjusted consistent with such change in such manner as the Committee
may deem equitable to prevent substantial dilution or enlargement of the rights granted to, or available for, Participants under
this Plan, and any such adjustment determined by the Committee in good faith shall be binding and conclusive on the Company and
all Participants and employees and their respective heirs, executors, administrators, successors and assigns.

 

(c)               
Grant Date. Each Award Agreement shall specify the date as of which it shall be effective (the “ Grant
Date”).

 

(d)              
Vesting. Each Award shall vest, and any restrictions thereunder shall lapse, as the case may be, at such times and
in such amounts as may be specified by the Committee in the applicable Award Agreement.

 

(e)               
Nonassignability of Rights. Awards shall not be transferable other than with the consent of the Committee or by will
or the laws of descent and distribution.

 

(f)               
Termination from the Company or any Affiliate of the Company; Change in Control. The Committee shall establish, in
respect of each Award when granted, the effect of a Termination on the rights and benefits thereunder and in so doing may, but
need not, make distinctions based upon the cause of termination (such as retirement, death, disability or other factors) or which
party effected the termination (the employer or the employee). Subject to Sections 5.1(a) and (b) above, the Committee may establish,
in respect of each Award when granted, the effect of a Change in Control on the rights and benefits thereunder.

 

(g)              
Minimum Purchase Price. Notwithstanding any provision of this Plan to the contrary, if authorized but previously
unissued Shares are issued under this Plan, such Shares shall not be issued for a consideration which is less than as permitted
under Applicable Laws, and in no event, shall such consideration be less than the par value per Share multiplied by the number
of Shares to be issued.

 

(h)              
Other Provisions. Each Award Agreement may contain such other terms, provisions and conditions not inconsistent with
this Plan, as may be determined by the Committee.

 

    	 	5	 

     

    

 

5.2             
Restricted Shares. Restricted Shares shall be subject to the following terms and conditions:

 

(a)               
Grant. The Committee may grant one or more Awards of Restricted Shares to any Participant. Each Award of Restricted
Shares shall specify the number of Shares to be issued to the Participant, the date of issuance and the restrictions imposed on
the Shares including the conditions of release or lapse of such restrictions. Upon the issuance of Restricted Shares, the Participant
may be required to furnish such additional documentation or other assurances as the Committee may require to enforce restrictions
applicable thereto.

 

(b)              
Restrictions. Except as specifically provided elsewhere in this Plan or the Award Agreement regarding Restricted
Shares, Restricted Shares may not be sold, assigned, transferred, pledged or otherwise disposed of or encumbered, either voluntarily
or involuntarily, until the restrictions have lapsed and the rights to the Shares have vested. The Committee may in its sole discretion
provide for the lapse of such restrictions in installments and may accelerate or waive such restrictions, in whole or in part,
based on service, performance or such other factors or criteria as the Committee may determine.

 

(c)               
Dividends. Unless otherwise determined by the Committee, cash dividends with respect to Restricted Shares shall be
paid to the recipient of the Award of Restricted Shares on the normal dividend payment dates, and dividends payable in Shares shall
be paid in the form of Restricted Shares having the same terms as the Restricted Shares upon which such dividend is paid. Each
Award Agreement for Awards of Restricted Shares shall specify whether and, if so, the extent to which the Participant shall be
obligated to return to the Company any cash dividends paid with respect to any Restricted Shares which are subsequently forfeited.

 

(d)              
Forfeiture of Restricted Shares. Except to the extent otherwise provided in the applicable Award Agreement, when
a Participant’s Termination occurs, the Participant shall automatically forfeit all Restricted Shares still subject to restriction.

 

5.3             
Restricted Share Units. Restricted Share Units shall be subject to the following terms and conditions:

 

    	 	6	 

     

    

 

(a)               
Grant. The Committee may grant one or more Awards of Restricted Share Units to any Participant. Each Award of Restricted
Share Units represents a bookkeeping entry representing a right granted to a Participant under this Section 5.3 to receive
one Share, a cash payment equal to the Fair Market Value of one Share, or a combination thereof, as determined in the sole discretion
of the Committee. The applicable Award Agreement shall specify the number of Awards to be granted to the Participant, the Grant
Date and the restrictions imposed on the Restricted Share Units, including the conditions of release, vesting and/or the lapse
of such restrictions, and terms relating to settlement of Awards.

 

(b)              
Restrictions. Except as specifically provided elsewhere in this Plan or the applicable Award Agreement, Restricted
Share Units may not be sold, assigned, transferred, pledged or otherwise disposed of or encumbered, either voluntarily or involuntarily,
until the restrictions have lapsed and the rights to the Shares (or cash, as applicable) have vested. Furthermore, a Participant’s
right, if any, to receive cash or Shares upon termination of the Restricted Period may not be assigned or transferred except by
will or by the laws of descent and distribution. The Committee may in its sole discretion provide for the lapse of such restrictions
in installments and may accelerate or waive such restrictions, in whole or in part, based on service, performance or such other
factors or criteria as the Committee may determine.

 

(c)               
Rights as a Shareholder. Holders of Restricted Share Units shall have none of the rights of a holder of Shares with
respect to such Restricted Share Units, or any Shares underlying any Award of Restricted Share Units. Holders of Restricted Share
Units are not entitled to receive distribution of rights in respect of such Shares, or to vote such Shares as the record owner
thereof; provided, however, that unless otherwise determined by the Committee, (i) during the Restricted Period, Participants
will be credited with dividend or other distribution equivalents equal in value to those declared and paid on Shares, on all Restricted
Share Units granted to them, (ii) these dividend or other distribution equivalents will be regarded as having been reinvested
in Restricted Share Units on the date of the Share dividend payments based on the then Fair Market Value of the Shares thereby
increasing the number of Restricted Share Units held by a Participant, and (iii) such dividend or other distribution equivalents
will be paid only to the extent the underlying Awards vest.

 

(d)              
Forfeiture of Restricted Share Units. Except to the extent otherwise provided in the applicable Award Agreement,
upon a Participant’s Termination, the Participant shall automatically forfeit all Restricted Share Units still subject to
restriction.

 

(e)               
Payment of Restricted Share Units. The payment of Restricted Share Units shall be made in Shares, unless otherwise
determined by the Committee. The payment of Restricted Share Units shall be made as soon as practicable after vesting (but in any
event within two-and-one-half (2.5) months following the calendar year in which vesting occurs), except as otherwise provided in
the applicable Award Agreement and unless payment is deferred pursuant to a timely election permitted by the Committee in compliance
with Code Section 409A.

 

 SECTION 6.              SECURITIES LAWS

 

Nothing in this Plan
or in any Award or Award Agreement shall require the Company to issue any Shares with respect to any Award if, in the opinion of
counsel for the Company, that issuance could constitute a violation of any Applicable Laws. As a condition to the grant of any
Award, the Company may require the Participant (or, in the event of the Participant’s death, the Participant’s legal
representatives, heirs, legatees or distributees) to provide written representations concerning the Participant’s (or such
other person’s) intentions with regard to the retention or disposition of the Shares covered by the Award and written covenants
as to the manner of disposal of such Shares as may be necessary or useful to ensure that the grant or disposition thereof will
not violate the Securities Act, any other law or any rule of any applicable securities exchange or securities association then
in effect. The Company shall not be required to register any Shares under the Securities Act or register or qualify any Shares
under any state or other securities laws.

 

    	 	7	 

     

    

 

 SECTION 7.              EMPLOYMENT OR OTHER RELATIONSHIP

 

Nothing in this Plan
or any Award shall in any way interfere with or limit the right of the Company or any Affiliate of the Company to terminate any
Participant’s employment or status as a consultant, advisor or Director at any time, nor confer upon any Participant any
right to continue in the employ of, or as a Director, consultant or advisor of, the Company or any Affiliate of the Company.

 

 SECTION 8.              AMENDMENT, SUSPENSION AND TERMINATION OF THIS PLAN

 

The Board may at any
time amend, suspend or discontinue this Plan, provided that such amendment, suspension or discontinuance meets the requirements
of Applicable Laws, including without limitation, any applicable requirements for stockholder approval. Notwithstanding the above,
an amendment, suspension or discontinuation shall not be made if it would impair the rights of any Participant under any Award
previously granted, without the Participant’s consent, except to conform this Plan and Awards granted to the requirements
of Applicable Laws. Notwithstanding any provision of the Plan to the contrary, if the Board determines that any Award may be subject
to Section 409A of the Code, the Board may adopt such amendment to the Plan and the applicable Award Agreement or adopt other policies
and procedures (including amendments, policies and procedures with retroactive effect), or take any other actions that the Board
determines are necessary or appropriate, without the consent of the Participant, to (a) exempt the Award from Section 409A of the
Code and/or preserve the intended tax treatment of the benefits provided with respect to the Award, or (b) comply with the requirements
of Section 409A of the Code.

 

 SECTION 9.               LIABILITY AND INDEMNIFICATION OF THE BOARD

 

No person constituting,
or member of the group constituting, the Board shall be liable for any act or omission on such person’s part, including but
not limited to the exercise of any power or discretion given to such member under this Plan, except for those acts or omissions
resulting from such member’s gross negligence or willful misconduct. The Company shall indemnify each present and future
person constituting, or member of the group constituting, the Board against, and each person or member of the group constituting
the Board shall be entitled without further act on his or her part to indemnity from the Company for, all expenses (including the
amount of judgments and the amount of approved settlements made with a view to the curtailment of costs of litigation) reasonably
incurred by such person in connection with or arising out of any action, suit or proceeding to the fullest extent permitted by
law and by the Charter and Bylaws of the Company.

 

    	 	8	 

     

    

 

 SECTION 10.            SEVERABILITY

 

If any provision of
this Plan is held to be illegal or invalid for any reason, that illegality or invalidity shall not affect the remaining portions
of this Plan, but such provision shall be fully severable and this Plan shall be construed and enforced as if the illegal or invalid
provision had never been included in this Plan. Such an illegal or invalid provision shall be replaced by a revised provision that
most nearly comports to the substance of the illegal or invalid provision. If any of the terms or provisions of this Plan or any
Award Agreement conflict with the requirements of Applicable Laws, those conflicting terms or provisions shall be deemed inoperative
to the extent they conflict with Applicable Law.

 

 SECTION 11.           SECTION 409A OF THE CODE

 

This Plan and Awards
granted under the Plan are intended to comply with or be exempt from Section 409A of the Code, and shall be limited, construed
and interpreted in accordance with such intent. Notwithstanding the foregoing, in no event whatsoever shall the Company be liable
for any additional taxes, penalties, interest or other expenses that may be incurred by or imposed on a Participant by Section
409A of the Code or any damages for failing to comply with Section 409A of the Code. Whenever
an Award Agreement specifies a payment period with reference to a number of days, the actual date of payment within the specified
period shall be within the sole discretion of the Company. To the extent any payments provided for under the Plan or any
Award are treated as “nonqualified deferred compensation” subject to Section 409A of the Code, (i) if on the date of
the Participant’s separation from service (as defined in Treasury Regulation §1.409A-1(h)) with the Company, the Participant
is a specified employee (as defined in Section 409A of the Code and Treasury Regulation §1.409A-1(i)), no payment constituting
the “deferral of compensation” within the meaning of Treasury Regulation §1.409A-1(b) and after application of
the exemptions provided in Treasury Regulation §§1.409A-1(b)(4) and 1.409A-1(b)(9)(iii) shall be made to the Participant
at any time prior to the earlier of (A) the expiration of the six (6) month period following the Participant’s separation
from service or (B) the Participant’s death, and any such amounts deferred during such applicable period shall instead be
paid in a lump sum to the Director (or, if applicable, to the Participant’s estate) on the first payroll payment date following
expiration of such six (6) month period or, if applicable, the Participant’s death, and (ii) for purposes of conforming this
Agreement to Section 409A of the Code, any reference to termination of employment, severance from employment, resignation from
employment or similar terms shall mean and be interpreted as a “separation from service” as defined in Treasury Regulation
§1.409A-1(h).

 

 SECTION 12.           WITHHOLDING

 

The Company shall have
the right to deduct from any payment to be made to a Participant, or to otherwise require, prior to the issuance, vesting or delivery
of any Award or delivery of any Shares or the payment of any cash hereunder, payment by the Participant of, any federal, state
or local taxes required by law to be withheld. In addition, on the occurrence of any event with respect to an Award that requires
the Company to withhold taxes (including but not limited to the vesting of Restricted Shares, or the making of an election under
Section 83(b) of the Code), a Participant shall pay all required withholding to the Company or otherwise make arrangements satisfactory
to the Company whereby such taxes may be paid. The Board may permit any such statutory withholding obligation with regard to any
Participant to be satisfied by reducing the number of Shares otherwise deliverable or by delivering Shares already owned.

 

    	 	9	 

     

    

 

 SECTION 13.            GOVERNING LAW

 

This Plan shall be
governed and construed in accordance with the laws of the State of Maryland (regardless of the law that might otherwise govern
under applicable principles of conflict of laws).

 

 SECTION 14.              EFFECTIVE DATE AND PROCEDURAL HISTORY

 

This Plan was originally
approved by the Board on December 6, 2013, and was amended and restated following approval by the Special Compensation Committee
of the Board pursuant to an express delegation of power and authority by the Board as of March 31, 2017 (the “Effective
Date”). 

 

    	 	10	 

     

    

 

EXHIBIT A

 

“Change in Control” means, except
as provided below, the happening of any of the following:

 

(i)                
the consummation of a merger of the Company into or consolidation of the Company with another entity, or the closing of
a sale or other disposition of all or substantially all of the Company’s assets (in one or a substantially concurrent or
otherwise related series of transactions); provided, however, that a Change in Control  under this clause (i)
shall not be deemed to have occurred by reason of a transaction, or a substantially concurrent or otherwise related series of transactions,
upon the completion of which the beneficial ownership of securities representing 50% or more of the combined voting power of the
Company, the surviving entity or entity directly or indirectly controlling the Company or the surviving entity, as the case may
be, is held by the same Persons as held the securities representing the beneficial ownership of the combined voting power of the
Company immediately prior to the transaction or the substantially concurrent or otherwise related series of transactions;

 

(ii)              
the “beneficial ownership” (as defined in Rule 13d-3 under the Exchange Act) of securities representing greater
than 50% of the combined voting power of the Company is held by any “person” or “group” as defined in Sections
13(d) and 14(d) of the Exchange Act;

 

(iii)            
any “person” or “group” as defined in Sections 13(d) and 14(d) of the Exchange Act shall have obtained
the right or power (whether or not exercised) to elect or appoint a majority of the members of the Board (or similar governing
body) of the Company; or

 

(iv)            
individuals who at the Effective Date constituted the Board of the Company (together with (A) any new directors whose election
by the board of directors of the Company or whose nomination for election by the shareholders of the Company was approved by a
vote of at least a majority of the directors then still in office who either were directors at the beginning of such period or
whose elections or nomination for election was previously so approved or (B) any new directors designated or elected to the Board
from time to time by an Affiliate of Brookfield Asset Management, Inc., its successors and its assigns (collectively, “Brookfield”)
cease for any reason other than death or disability to constitute a majority of the directors then in office.

 

Notwithstanding anything in this definition
to the contrary, a “Change in Control” shall exclude any event or occurrence resulting from any of the following:

 

(a) the consummation
of any of the transactions contemplated by the Securities Purchase, Voting and Standstill Agreement, dated as of January 12, 2017
(the “SPA”), by and among the Company, Hospitality Investors Trust Operating Partnership, L.P. (f/k/a
American Realty Capital Hospitality Operating Partnership, L.P.) and Brookfield Strategic Real Estate Partners II Hospitality REIT
II LLC and the other Transaction Documents (as defined in the SPA) (collectively, the “Brookfield Transaction Agreements”);

 

(b) the exercise by
Brookfield or (its applicable Affiliates) of its rights and remedies under any of the Brookfield Transaction Agreements pursuant
to the terms thereof; and

 

    	 	11	 

     

    

 

(c) any consensual
transaction between the Company and/or its subsidiaries, on the one hand, and Brookfield and/or its Affiliates, on the other hand,
in respect of which Brookfield provides additional capital or debt to the Company and/or its subsidiaries (beyond the amounts contemplated
by the Brookfield Transaction Agreements).

 

For purposes of this
definition of Change in Control, “control”, when used with respect to any Person, means the power to
direct the management and policies of such Person, directly or through one or more intermediaries, whether through the ownership
of voting securities, by contract or otherwise, and the terms “controlling” and “controlled”
have meanings correlative to the foregoing.

 

Notwithstanding anything herein to the
contrary, with respect to any payment under the Plan or any Award that (x) provides for payments that are triggered upon a Change
in Control and (y) constitutes “nonqualified deferred compensation” within the meaning of Section 409A, such amount
shall not be paid until the earliest of (1) a “change in the ownership of the corporation,” a “change in effective
control of the corporation” or a “change in the ownership of a substantial portion of the assets of the corporation,”
within the meaning of Section 409A(a)(2)(A)(v) of the Code, (2) the date such amount would otherwise be settled pursuant to the
terms of this Agreement and (3) the Participant’s “separation of service” within the meaning of Section 409A.

 

    	 	12Exhibit 10.21

 

Executive Form

 

 

FORM OF RESTRICTED SHARE UNIT AWARD
AGREEMENT

PURSUANT TO THE

AMENDED AND RESTATED EMPLOYEE AND DIRECTOR

INCENTIVE RESTRICTED SHARE PLAN OF

HOSPITALITY INVESTORS TRUST, INC.

 

THIS AGREEMENT (this
“Agreement”) is made as of [______ _], 20__ (the “Grant Date”), by and between Hospitality
Investors Trust, Inc., a Maryland corporation with its principal office at 3950 University Drive, Fairfax, Virginia 22030 (the
“Company”), and [___________] (the “Participant”).

 

WHEREAS, the Board
of Directors of the Company (the “Board”) adopted the Employee and Director Incentive Restricted Share Plan
of Hospitality Investors Trust, Inc. (as amended and/or restated from time to time, the “Plan”);

 

WHEREAS, the Plan
provides that the Company, through the Committee, has the ability to grant awards of restricted share units to directors, officers,
employees and certain consultants or entities, in each case, that are employed by or provide services to the Company or any Affiliate
of the Company; and

 

WHEREAS, subject to
the terms and conditions of this Agreement and the Plan, the Committee has determined that the Participant shall be awarded restricted
share units in the amount set forth below.

 

NOW, THEREFORE, the
Company and the Participant agree as follows:

 

1.                 
Award of Restricted Share Units. Subject to the terms, conditions and restrictions of the Plan and this Agreement,
the Company hereby grants to the Participant an award consisting of [________] restricted share units (the “Restricted
Share Units”) in respect of shares of common stock of the Company, $0.01 par value per share (“Shares”).

 

2.                 
Vesting. Subject to the terms of the Plan and this Agreement, except as provided in Section 4 of this
Agreement, the Restricted Share Units shall vest as follows:

 

(a)               
The Restricted Share Units shall vest in equal annual installments on each of the first four (4) anniversaries of the Grant
Date (each of the first through fourth anniversaries, a “Vesting Date”); provided that the Participant
has not experienced a Termination prior to each applicable Vesting Date.

 

(b)              
There shall be no proportionate or partial vesting in the periods prior to each Vesting Date.

 

     

     

    

 

3.                 
Settlement. Subject to Section 6 hereof, to the extent vested, the Restricted Share Units shall be settled
in Shares on the earliest of: (a) the date of the Participant’s Termination; (b) a Section 409A Change in Control Event
(as defined below); or (c) the calendar year in which the third (3rd) anniversary of each applicable Vesting Date occurs.
For purposes of this Agreement, a “409A Change in Control Event” shall mean a “change in the ownership
of the corporation,” a “change in effective control of the corporation” or a “change in the ownership
of a substantial portion of the assets of the corporation,” within the meaning of Section 409A(a)(2)(A)(v) of the Code.

 

4.                 
Termination. In the event of the Participant’s Termination, the following shall apply to the Restricted
Share Units:

 

(a)               
Termination by the Company without Cause; Termination by the Participant for Good Reason; Termination Upon Expiration
Following Non-Renewal of the Employment Agreement by the Company. If the Participant experiences a Termination (i) by the
Company without Cause (as defined in the Participant’s employment agreement with the Company dated as of [March __, 2017]
(the “Employment Agreement”)), (ii) by the Participant for Good Reason (as defined in the Employment Agreement)
or (iii) upon expiration of the Employment Term (as defined in the Employment Agreement) following non-renewal by the Company,
any unvested Restricted Share Units shall immediately vest and no longer be subject to forfeiture as of the date of the Termination.

 

(b)              
Termination as a result of the Participant’s Death or Disability. If the Participant experiences a Termination
as a result of the Participant’s death or Disability (as defined in the Employment Agreement), any unvested Restricted Share
Units that would have become vested within the one-year period beginning on the date of Termination and ending on the first anniversary
of the date of Termination if the Participant had continued to be employed by the Company during such period shall immediately
vest and no longer be subject to forfeiture as of the date of the Termination. Any outstanding Restricted Share Units that do
not become vested pursuant to the preceding sentence shall be immediately forfeited and cancelled as of the date of Termination,
without any further action on the part of the Company or the Participant.

 

(c)               
All Other Terminations. If the Participant experiences a Termination for any reason other than those set forth in
Section 4(a) and (b), any Restricted Share Units that have not yet vested shall be immediately forfeited and cancelled
as of the date of Termination, without any further action on the part of the Company or the Participant.

 

5.                 
Rights as a Holder of Restricted Share Units. The Company shall record in its books and records the number of
Restricted Share Units granted to the Participant. No Shares shall be issued to the Participant at the time the grant is made
and, except as set forth in this Section 5, the Participant shall not be, nor have any of the rights or privileges of,
a stockholder of the Company with respect to any Restricted Share Units, unless and until paid in Shares; provided, however,
that, to the extent the Company issues a dividend in the form of Shares or other property, the Participant shall have the rights
to dividend equivalents as provided in Section 5.3(c) of the Plan. The Participant shall not have any interest in any fund
or specific assets of the Company by reason of this Agreement.

 

    	 	2	 

     

    

 

6.                 
Tax Withholding. To the extent applicable, the Participant shall be subject to the provisions of Section
12 of the Plan with respect to any withholding or other tax obligations in connection with the grant, vesting or settlement
of the Restricted Share Units or otherwise in connection with this Agreement. In the event that any of the Restricted Share Units
are settled in Shares prior to (a) a Change in Control, (b) a public listing of the Shares on a national securities exchange or
(c) Brookfield’s ceasing to be an Affiliate of the Company, then the Participant may elect for such tax withholding obligations
to be effectuated by the Company withholding a number of Shares otherwise deliverable to the Participant with respect to the settlement
of the Restricted Share Units having a Fair Market Value equal to the amount of such tax withholding obligations. The Company’s
obligation to deliver Shares to the Participant upon settlement of the Restricted Share Units is subject to the satisfaction of
any and all applicable federal, state and local income and employment tax withholding requirements.

 

7.                 
No Obligation to Continue Employment. This Agreement is not an agreement of employment or service. Neither the
execution of this Agreement nor the issuance of the Restricted Share Units hereunder constitute an agreement by the Company to
continue to engage the Participant as an employee during the entire, or any portion of the, term of this Agreement, including
but not limited to any period during which any Restricted Share Units are outstanding, nor does it modify in any respect the Company’s
right to terminate or modify the Participant’s service or compensation.

 

8.                 
Restrictions on Transfer. Except as provided in this Agreement or the Plan, the Participant may not sell, transfer,
hypothecate, pledge, or assign any Restricted Share Units or any rights or interest therein, including without limitation any
rights under this Agreement or, prior to settlement under Section 3, any Shares payable in respect of any Restricted Share
Units. In addition, the Participant may not sell, transfer, hypothecate, pledge or assign any Restricted Share Units or any Shares
delivered in connection with settlement of the Restricted Share Units during the time that Brookfield remains an Affiliate of
the Company. Any attempted sale, assignment, transfer, pledge, exchange, encumbrance, hypothecation or other disposition of the
Restricted Share Units or any Shares paid or payable in respect of any Restricted Share Units in violation of the Plan or this
Agreement will be void and of no effect and the Company will have the right to disregard the same on its books and records.

 

9.                 
Power of Attorney. The Company, its successors and assigns, is hereby appointed the attorney-in-fact, with full
power of substitution, of the Participant for the purpose of carrying out the provisions of this Agreement and taking any action
and executing any instruments which such attorney-in-fact may deem necessary or advisable to accomplish the purposes hereof, which
appointment as attorney-in-fact is irrevocable and coupled with an interest. The Company, as attorney-in-fact for the Participant,
may in the name and stead of the Participant, make and execute all conveyances, assignments and transfers of any Shares provided
for herein, and the Participant hereby ratifies and confirms that which the Company, as said attorney-in-fact, will do by virtue
hereof. Nevertheless, the Participant will, if so requested by the Company, execute and deliver to the Company all such instruments
as may, in the judgment of the Company, be advisable for this purpose.

 

    	 	3	 

     

    

 

10.             
Miscellaneous.

 

(a)               
This Agreement shall inure to the benefit of and be binding upon the parties hereto and their respective heirs, personal
legal representatives, successors, trustees, administrators, distributees, devisees and legatees. The Company may assign to, and
require, any successor (whether direct or indirect, by purchase, merger, consolidation or otherwise) to all or substantially all
of the business and/or assets of the Company to expressly assume and agree in writing to perform this Agreement. Notwithstanding
the foregoing, the Participant may not assign this Agreement or any of the Participant’s rights, interests or obligations
hereunder.

 

(b)              
This award of Restricted Share Units shall not affect in any way the right or power of the Board or stockholders of the
Company to make or authorize an adjustment, recapitalization or other change in the capital structure or the business of the Company,
any merger or consolidation of the Company or subsidiaries, any issue of bonds, debentures, preferred or prior preference stock
ahead of or affecting the Restricted Share Units, the dissolution or liquidation of the Company, any sale or transfer of all or
part of its assets or business or any other corporate act or proceeding.

 

(c)               
No modification or waiver of any of the provisions of this Agreement shall be effective unless in writing and signed by
the party against whom it is sought to be enforced.

 

(d)              
This Agreement may be executed in one or more counterparts, all of which taken together shall constitute one contract.
One or more counterparts of this Agreement may be delivered by facsimile or scanned electronic transmission, with the intention
that they shall have the same effect as an original counterpart hereof.

 

(e)               
The failure of any party hereto at any time to require performance by another party of any provision of this Agreement
shall not affect the right of such party to require performance of that provision, and any waiver by any party of any breach of
any provision of this Agreement shall not be construed as a waiver of any continuing or succeeding breach of such provision, a
waiver of the provision itself, or a waiver of any right under this Agreement.

 

(f)               
The headings of the sections of this Agreement have been inserted for convenience of reference only and shall in no way
restrict or modify any of the terms or provisions hereof.

 

(g)              
All notices, consents, requests, approvals, instructions and other communications provided for herein will be in writing
and validly given or made when delivered, or on the second succeeding business day after being mailed by registered or certified
mail, whichever is earlier, to the persons entitled or required to receive the same, addressed, in the case of the Company to
the Chief Financial Officer of the Company at the principal office of the Company and, in the case of the Participant, at the
address most recently on file with the Company, or to such other address as either party may designate by like notice. Notices
to the Company shall be addressed to Hospitality Investors Trust, Inc. at 3950 University Drive, Fairfax, Virginia 22030, Attn:
Chief Financial Officer.

 

    	 	4	 

     

    

 

(h)              
This Agreement shall be construed, interpreted and governed and the legal relationships of the parties determined in accordance
with the internal laws of the State of Maryland without reference to rules relating to conflicts of law.

 

11.             
Provisions of Plan Control. This Agreement is subject to all the terms, conditions and provisions of the Plan,
including, without limitation, the amendment provisions thereof, and to such rules, regulations and interpretations relating to
the Plan as may be adopted thereunder and as may be in effect from time to time. The Plan is incorporated herein by reference.
A copy of the Plan has been delivered to the Participant. If and to the extent that this Agreement conflicts or is inconsistent
with the terms, conditions and provisions of the Plan, the Plan shall control, and this Agreement shall be deemed to be modified
accordingly. Unless otherwise indicated, any capitalized term used but not defined herein shall have the meaning ascribed to such
term in the Plan. This Agreement contains the entire understanding of the parties with respect to the subject matter hereof (other
than any other documents expressly contemplated herein or in the Plan) and supersedes any prior agreements between the Company
and the Participant.

 

12.             
Section 409A. This Agreement and the Restricted Share Units granted hereunder are intended to comply with or
be exempt from Section 409A of the Code and shall be construed and interpreted in a manner that is consistent with the requirements
for avoiding additional taxes or penalties under Section 409A of the Code. Notwithstanding the foregoing, the Company makes no
representations that the Restricted Share Units provided under this Agreement comply with Section 409A of the Code and in no event
shall the Company be liable for all or any portion of any taxes, penalties, interest or other expenses that may be incurred by
the Participant on account of non-compliance with Section 409A of the Code. Whenever a payment under this Agreement specifies
a payment period with reference to a number of days, the actual date of payment within the specified period shall be within the
sole discretion of the Company. To the extent any payments provided for under this Agreement are treated as “nonqualified
deferred compensation” subject to Section 409A of the Code, (a) if on the date of the Participant’s separation from
service (as defined in Treasury Regulation §1.409A-1(h)) with the Company, the Participant is a specified employee (as defined
in Section 409A of the Code and Treasury Regulation §1.409A-1(i)), no payment constituting the “deferral of compensation”
within the meaning of Treasury Regulation §1.409A-1(b) and after application of the exemptions provided in Treasury Regulation
§§1.409A-1(b)(4) and 1.409A-1(b)(9)(iii) shall be made to the Participant at any time prior to the earlier of (i) the
expiration of the six (6) month period following the Participant’s separation from service or (ii) the Participant’s
death, and any such amounts deferred during such applicable period shall instead be paid in a lump sum to the Participant (or,
if applicable, to the Participant’s estate) on the first payroll payment date following expiration of such six (6) month
period or, if applicable, the Participant’s death, and (b) for purposes of conforming this Agreement to Section 409A of
the Code, any reference to termination of employment, severance from employment, resignation from employment or similar terms
shall mean and be interpreted as a “separation from service” as defined in Treasury Regulation §1.409A-1(h).

 

[signature page(s) follow]

 

    	 	5	 

     

    

 

IN WITNESS WHEREOF,
the parties hereto have caused this Agreement to be duly executed as of the day and year first above written.

 

	 	 	HOSPITALITY INVESTORS TRUST, INC.
	 	 	 	 
	 	 	By:	 
	 	 	 	Name:
	 	 	 	Title:
	 	 	 	 
	Participant	 	 	 
	 	 	 	 
	 	 	 	 
	(Signature)	 	 	 

 

    	 	6

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