Document:

Exhibit 10.1

 

Execution Version

 

Certain portions of this Exhibit have been redacted pursuant
to Item 601(b)(10) of Regulation S-K and, where applicable, have been marked with “[***]” to indicate where redactions
have been made. The marked information has been redacted because it is both (i) not material and (ii) would likely cause competitive
harm to the Company if publicly disclosed.

 

 

 

MEMBERSHIP INTEREST PURCHASE AGREEMENT

  

with respect to

 

VP-Arica TargetCo LLC

 

by and between

  

VP-Arica CE Seller LLC, as Seller

  

and

 

VP-Arica Parent Holdco LLC, as Purchaser

 

dated as of December 23, 2022

 

 

     

     

    

 

CONTENTS

 

	 	 	Page
	 	 	 
	Article 1 DEFINITIONS AND RULES OF INTERPRETATION	2
	 	 	 
	 	1.01.	Definitions	2
	 	 	 
	 	1.02. 	Rules of Interpretation	15
	 	 	 
	Article 2 SALE OF MEMBERSHIP INTERESTS AND CLOSING	15
	 	 	 
	 	2.01. 	Purchase and Sale	15
	 	 	 
	 	2.02. 	Payment of Purchase Price	15
	 	 	 
	 	2.03. 	Closing	16
	 	 	 
	 	2.04. 	Adjusted Purchase Price Amount	16
	 	 	 	 
	 	2.05. 	Certain Proceeds	17
	 	 	 
	 	2.06. 	Tax Reporting of Transaction	17
	 	 	 
	Article 3 REPRESENTATIONS AND WARRANTIES	18
	 	 	 
	 	3.01. 	Representations and Warranties with respect to Seller and the Acquired Companies	18
	 	 	 
	 	3.02. 	Representations and Warranties with Respect to Purchaser	28
	 	 	 
	Article 4
CONDITIONS PRECEDENT	30
	 	 	 
	 	4.01. 	Closing Date Conditions Precedent of the Parties	30
	 	 	 
	 	4.02. 	Closing Date Conditions Precedent of the Purchaser	30
	 	 	 
	 	4.03. 	Closing Date Conditions Precedent of the Seller	31
	 	 	 
	Article 5 Certain Covenants	32
	 	 	 
	 	5.01. 	Regulatory and Other Permits	32
	 	 	 
	 	5.02. 	Access to Information	32
	 	 	 
	 	5.03. 	Notification of Certain Matters	32
	 	 	 
	 	5.04. 	Conduct of Business	33
	 	 	 
	 	5.05. 	Fulfillment of Conditions	35
	 	 	 
	 	5.06. 	Further Assurances	35
	 	 	 
	 	5.07. 	Purchaser’s Substitute Support Obligations	36
	 	 	 
	 	5.08. 	Tax Matters	37
	 	 	 
	 	5.09. 	No Solicitation	38
	 	 	 
	 	5.10. 	Purchaser Parent Guaranty	38
	 	 	 
	 	5.11. 	Seller Parent Guaranty	38
	 	 	 
	 	5.12.	Post-Execution Date Documents	38

 

    i 

     

    

 

	Article 6 Indemnification	38
	 	 	 
	 	6.01. 	Indemnification by Seller	38
	 	 	 
	 	6.02. 	Indemnification by Purchaser	39
	 	 	 
	 	6.03. 	Survival of Representations, Warranties, Covenants and Agreements	39
	 	 	 
	 	6.04.	Limitations on Claims	39
	 	 	 
	 	6.05. 	Procedure for Indemnification of Third Party Claims	40
	 	 	 
	 	6.06. 	Rights of the Indemnifying Party in the Defense of Third Party Claims	41
	 	 	 
	 	6.07. 	Direct Claims	41
	 	 	 
	 	6.08. 	Exclusive Remedy	42
	 	 	 
	 	6.09. 	Mitigations	42
	 	 	 
	 	6.10. 	Indemnity Treatment	42
	 	 	 
	Article 7 Termination	42
	 	 	 
	 	7.01. 	Termination	42
	 	 	 
	 	7.02. 	Effect of Termination	43
	 	 	 
	Article 8
GENERAL PROVISIONS	43
	 	 	 
	 	8.01. 	Notices	43
	 	 	 
	 	8.02. 	Entire Agreement	44
	 	 	 
	 	8.03. 	Specific Performance	44
	 	 	 
	 	8.04. 	Time of the Essence	44
	 	 	 
	 	8.05. 	Expenses	44
	 	 	 
	 	8.06. 	Confidentiality; Disclosures	44
	 	 	 
	 	8.07. 	Waiver	44
	 	 	 
	 	8.08. 	Amendment	44
	 	 	 
	 	8.09. 	No Third Party Beneficiary	45
	 	 	 
	 	8.10. 	Assignment	45
	 	 	 
	 	8.11. 	Severability	45
	 	 	 
	 	8.12. 	Governing Law	45
	 	 	 
	 	8.13. 	Consent to Jurisdiction	45
	 	 	 
	 	8.14. 	Waiver of Jury Trial	46
	 	 	 
	 	8.15. 	Limitation on Certain Damages	46
	 	 	 
	 	8.16. 	Disclosures	46
	 	 	 
	 	8.17. 	PDF Signature; Counterparts	46
	 	 	 

 

    ii 

     

    

 

TABLE OF CONTENTS

(continued)

 

	Exhibits:
	 
	Exhibit A 	Form of Assignment of Membership Interests
	Exhibit B 	Form of Purchaser Parent Guaranty
	Exhibit C	Form of Seller Parent Guaranty
	Exhibit D	Form of Officer’s Certificate of Seller
	Exhibit E 	Form of Secretary’s Certificate of Seller
	Exhibit F	Form of Officer’s Certificate of Purchaser
	Exhibit G 	Form of Secretary’s Certificate of Purchaser
	Exhibit H	Form of A&R LLC Agreement
	Exhibit I 	Form of AIP Tax Equity Cross Guaranty
	 
	Schedules:
	 
	Schedule 6.01	Certain Indemnification Matters

 

	Seller Disclosure Schedules:
	 
	Schedule 1.01	Permitted Liens
	Schedule 3.01(c)	Seller Consents
	Schedule 3.01(e)	Seller Approvals
	Schedule 3.01(f)	Legal Proceedings
	Schedule 3.01(g)     	Brokers
	Schedule 3.01(i)     	Permitted Business Jurisdictions
	Schedule 3.01(i)(ii)     	Permitted Equity Encumbrances
	Schedule 3.01(i)(iii)     	Directors and Officers
	Schedule 3.01(i)(v)     	Permitted Options
	Schedule 3.01(i)(vi)     	Permitted Additional Investments
	Schedule 3.01(i)(vii)     	Permitted Additional Business Operations
	Schedule 3.01(j)     	Liabilities
	Schedule 3.01(k)     	Taxes
	Schedule 3.01(m)(i)     	Company Contracts
	Schedule 3.01(m)(iii)    	 Company Contracts Defaults
	Schedule 3.01(n)(i)     	Land
	Schedule 3.01(n)(ii)     	Permitted Real Property Agreements
	Schedule 3.01(n)(iii)     	Real Property Rights
	Schedule 3.01(o)     	Insured Property Rights
	Schedule 3.01(p)(i)     	Environmental Law Non-Compliance
	Schedule 3.01(p)(iii)    	 Environmental Permits
	Schedule 3.01(p)(iv)     	Release of Hazardous Substances
	Schedule 3.01(q)(i)     	Permits
	Schedule 3.01(q)(ii)     	Regulatory Noncompliance
	Schedule 3.01(r)     	Affiliate Transactions
	Schedule 3.01(s)(i)     	Intellectual Property
	Schedule 3.01(t)     	Insurance
	Schedule 3.01(v)     	Absence of Changes
	Schedule 3.01(w)     	Bank Accounts
	Schedule 3.01(y)     	Support Obligations
	Schedule 5.04(b)     	Conduct of Business
	 
	Purchaser Disclosure Schedules:
	 
	Schedule 3.02(c)     	Purchaser Consents
	Schedule 3.02(e)     	Permits
	Schedule 3.02(h)     	Brokers
	Schedule 3.02(i)     	Purchaser Approvals

 

    iii 

     

    

 

MEMBERSHIP INTEREST PURCHASE AGREEMENT

 

This MEMBERSHIP INTEREST
PURCHASE AGREEMENT (this “Agreement”), dated as of December 23, 2022 (the “Execution Date”),
is entered into by and between VP-Arica CE Seller LLC, a Delaware limited liability company (“Seller”), and VP-Arica
Parent Holdco LLC , a Delaware limited liability company (“Purchaser”). Purchaser and Seller are referred to, collectively,
as the “Parties” and each, individually, as a “Party.” Capitalized terms not otherwise defined
herein shall have the meaning given them in Section 1.01 of this Agreement.

 

RECITALS

 

WHEREAS, (a) Renew Development
HoldCo LLC, a Delaware limited liability company (“Project DevCo”) currently directly owns one hundred percent (100%)
of the limited liability company membership interests of VP-Arica Project HoldCo LLC, a Delaware limited liability company (“Project
HoldCo”), and (b) Project HoldCo currently directly owns one hundred percent (100%) of the limited liability company membership
interests of each of (i) Victory Pass Pledgor, LLC a Delaware limited liability company (the “VP Pledgor Company”),
and (ii) Arica Solar Pledgor, LLC a Delaware limited liability company (the “Arica Pledgor Company” and, together
with VP Pledgor Company, each a “Pledgor Company”);

 

WHEREAS, VP Pledgor Company
owns one hundred percent (100%) of the limited liability company membership interests of Victory Pass I, LLC, a Delaware limited liability
company (the “VP Project Company”);

 

WHEREAS Arica Pledgor Company
owns one hundred percent (100%) of the limited liability company membership interests of Arica Solar, LLC, a Delaware limited liability
company (the “Arica Project Company” and, together with the VP Project Company, each a “Project Company”);

 

WHEREAS,
(a) the VP Project Company is developing and constructing an approximately 200 MWAC solar PV electric generating
facility, together with a 50 MW battery energy storage system and associated infrastructure (the “VP Project”), and
(b) the Arica Project Company is developing and constructing an approximately 263 MWAC solar PV electric generating facility,
together with a 136 MW battery energy storage system and associated infrastructure (the “Arica Project” and, together
with the VP Project, each a “Project”), in each case, located in Riverside County, California;

 

WHEREAS, (a) Seller
directly owns one hundred percent (100%) of the limited liability company membership interests of VP-Arica TargetCo LLC, a Delaware limited
liability company (the “Target Company”), (b) the Target Company owns one hundred percent (100%) of the limited
liability company membership interests of VP-Arica Class B LLC, a Delaware limited liability company (“Class B HoldCo”),
and (c) until the Tax Equity Investor makes its initial investment in TE HoldCo in accordance with the Tax Equity Agreements, Class B
HoldCo will own one hundred percent (100%) of the limited liability company membership interests of VP-Arica TE HoldCo LLC, a Delaware
limited liability company (“TE HoldCo” and, together with VP Pledgor Company, Arica Pledgor Company, VP Project Company,
Arica Project Company, Class B HoldCo and the Target Company, the “Acquired Companies”);

 

WHEREAS, prior to the Closing
(as defined below), consistent with the provisions of the Tax Equity Agreements (as defined below), (a)  Class B HoldCo will
make a contribution to TE Holdco, and the Tax Equity Investor will make its initial investment in TE HoldCo in accordance with the Tax
Equity Agreements, (b) the limited liability company membership interests in TE HoldCo will be divided into Class A membership
interests and Class B membership interests, with (i) one hundred percent (100%) of the Class A membership interests in
TE HoldCo to be issued, directly or indirectly, to the Tax Equity Investor (as defined below), and (ii) the portion of the limited
liability company membership interests in TE HoldCo retained by Class B HoldCo to be converted into one hundred percent (100%) of
the Class B membership interests in TE HoldCo, and (c) pursuant to the TE HoldCo MIPA, TE HoldCo will acquire (i) one
hundred percent (100%) of the limited liability company membership interests of VP Pledgor Company, and (ii) one hundred percent
(100%) of the limited liability company membership interests of Arica Pledgor Company, in each case, from Project HoldCo;

 

    1

     

    

 

WHEREAS, immediately subsequent
to the consummation of the transactions described in the immediately preceding recital, TE HoldCo will own, directly or indirectly, all
the limited liability company membership interests in each of VP Pledgor Company, Arica Pledgor Company, VP Project Company, and Arica
Project Company;

 

WHEREAS, at the Closing,
and subsequent to Tax Equity Investor making its initial investment in TE HoldCo, Seller desires to sell, and Purchaser desires to purchase,
forty percent (40%) of the limited liability company membership interests of the Target Company (the “Acquired Interests”),
on the terms and subject to the conditions set forth in this Agreement;

 

WHEREAS,
simultaneously with Purchaser’s acquisition of the Acquired Interests (and as more particularly described in Section 2.06),
Seller will sell, and AIP Lorax LLC, a Delaware limited liability company (“AIP Member”), will purchase, sixty percent
(60%) of the limited liability company membership interests of the Target Company (the “AIP Interests”), pursuant
to the AIP Purchase Agreement (as defined below); and

 

WHEREAS, pursuant to the
A&R LLCA, upon the consummation of the Closing, (a) the AIP Interests shall be converted into one hundred percent (100%) of
the Class B limited liability company membership interests in the Target Company, which shall be designated the “Class B
Membership Interest,” and (b) the Acquired Interests shall be converted into one hundred percent (100%) of the Class A
limited liability company membership interests in the Target Company, which shall be designated the “Class A Membership Interest.”

 

NOW, THEREFORE, in consideration
of the foregoing premises and the respective representations, warranties, covenants and agreements set forth herein, and for other good
and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties hereby agree as follows:

 

AGREEMENT

 

NOW, THEREFORE, in consideration
of the mutual agreements, covenants, representations and warranties set forth herein, and intending to be legally bound hereby, the Parties
agree as follows:

 

Article 1

DEFINITIONS AND RULES OF INTERPRETATION

 

1.01.            Definitions.
As used in this Agreement, the following defined terms have the meanings indicated below:

 

“A&R LLCA”
means that certain Amended and Restated Limited Liability Company Agreement of the Target Company, substantially in the form attached
hereto as Exhibit H.

 

“Acquired
Companies” has the meaning set forth in the recitals to this Agreement.

 

“Acquired
Interests” has the meaning set forth in the recitals to this Agreement.

 

“Acquisition
Proposal” has the meaning set forth in Section 5.09.

 

“Action
or Proceeding” means any action, suit, proceeding, arbitration or investigation by or before any Governmental Authority.

 

“Adjusted Purchase
Price Amount” has the meaning set forth in Section 2.04(b).

 

    2

     

    

 

“Adjusted
Purchase Price Model” means [***].“Affiliate” of a specified Person means any other Person that directly
or indirectly through one or more intermediaries Controls, is Controlled by or is under common Control with the Person specified. For
the purposes of this Agreement, (a)(i) CEG, Seller and the direct or indirect subsidiaries of each (other than Clearway
Energy, Inc., and its direct or indirect subsidiaries), on the one hand, and (ii) Clearway Energy, Inc., Clearway
Energy LLC, Purchaser Parent, Purchaser and the direct or indirect subsidiaries of each, on the other hand, shall not be considered “Affiliates,”
(b) with respect to Purchaser, “Affiliates” shall be limited to Clearway Energy Inc. and its subsidiaries, and
(c) with respect to Seller, “Affiliates” shall be limited to Clearway Energy Group LLC and its subsidiaries.

 

“Agreement”
has the meaning set forth in the preamble to this Agreement.

 

“AIP Interests”
has the meaning set forth in the recitals to this Agreement.

 

“AIP
Member” has the meaning set forth in the recitals to this Agreement.

 

“AIP Parent”
means AIP CW Holding (US) LP, a Delaware limited partnership.

 

“AIP Purchase Agreement”
means the Membership Interest Purchase and Sale Agreement, dated on or about the date hereof, pursuant to which AIP Member will acquire
the AIP Interests upon the occurrence of the “Closing” (as defined thereunder).

 

“AIP Tax Equity Cross
Guaranty” means that certain Guaranty Agreement to be entered into on or around the Closing Date by AIP Parent, in favor of
Purchaser Parent, in the form attached as Exhibit I to this Agreement, any changes to which shall be subject to Purchaser’s
approval pursuant to Section 5.12(a).

 

“Ancillary
Documents” means (a) the Assignment of Membership Interests and (b) the respective certificates to be executed and
delivered at the Closing by Purchaser pursuant to Section 4.03(c) or by Seller pursuant to Section 4.02(d).

 

“Apportioned
Obligations” has the meaning set forth in Section 5.08(b).

 

“Appraisal”
has the meaning set forth in the Tax Equity ECCA.

 

“Arica Pledgor Company”
has the meaning set forth in the recitals to this Agreement.

 

“Arica Project”
has the meaning set forth in the recitals to this Agreement.

 

“Arica Project Company”
has the meaning set forth in the recitals to this Agreement.

 

“Assignment
of Membership Interests” means the Assignment and Assumption Agreement, in substantially the form of Exhibit A
attached hereto.

 

“Balance
Sheets” has the meaning set forth in Section 3.01(u).

 

“Balance
Sheets Date” has the meaning set forth in Section 3.01(u).

 

“Base
Case Model” means the financial projections with respect to the Projects in file “Victory Pass_Arica Financial Model
 – CWEN External – 12.18.2022_v1.xlsb”.

 

“Base Purchase Price”
has the meaning set forth in Section 2.02.

 

    3

     

    

 

“Business
Day” means a day other than Saturday, Sunday or any day on which banks located in the State of New York or the State of New
Jersey are authorized or obligated to close.

 

“CAISO”
means the California Independent System Operator, Inc.

 

“Cap”
has the meaning set forth in Section 6.04(b).

 

“CEG” means
Clearway Energy Group LLC, a Delaware limited liability company.

 

“Class A
Percentage Interest” means the “Percentage Interest” (as defined in the A&R LLCA) of Purchaser thereunder.

 

“Class B
Holdco” has the meaning set forth in the recitals to this Agreement.

 

“Closing”
has the meaning set forth in Section 2.03(a).

 

“Closing
Date” has the meaning set forth in Section 2.03(a).

 

“Closing Date Endorsement”
means (a) a date down endorsement to the Execution Date Title Policy and (b) an ALTA 15.1 endorsement naming Purchaser as an
additional insured.

 

“Closing
Date Schedule Supplement” has the meaning set forth in Section 5.03.

 

“Closing Payment”
has the meaning set forth in Section 2.02(a).

 

“Code”
means the Internal Revenue Code of 1986 and the rules and regulations promulgated thereunder.

 

“Company”
has the meaning set forth in the recitals to this Agreement.

 

“Company
Contracts” has the meaning set forth in Section 3.01(m)(i).

 

“Consequential
Damages” has the meaning set forth in Section 8.15.

 

“Constitutive
Documents” means the certificate of formation and the limited liability company agreement or partnership agreement of a Person.

 

“Contract”
means any agreement, purchase order, commitment, evidence of Indebtedness, mortgage, indenture, security agreement or other contract
entered into by a Person or by which a Person or any of its assets are bound.

 

“Control”
of a Person means the power, directly or indirectly, to direct or cause the direction of the management or policies of such Person (whether
through ownership of securities or partnership or other ownership interests, by contract or otherwise).

 

“CPUC”
means the California Public Utilities Commission.

 

“Deductible”
has the meaning set forth in Section 6.04(a).

 

“Delay
Damages” means any (a) “Delay Damages” (as defined in the Contract identified as item 1 on Schedule 3.01(m)(i))
payable pursuant to Section 2.4(b) of such Contract, (b) “Commercial Operation Delay Damages” (as defined
in the Contract identified as item 2 on Schedule 3.01(m)(i)) payable pursuant to Section 2(b) of Exhibit B
of such Contract, (c) “Commercial Operation Delay Damages” (as defined in the Contract identified as item 3 on Schedule 3.01(m)(i))
payable pursuant to Section 2(c) of Exhibit B of such Contract, (d) “Commercial Operation Delay Damages”
(as defined in the Contract identified as item 4 on Schedule 3.01(m)(i)) payable pursuant to Section 2(c) of Exhibit B
of such Contract, (e) “Commercial Operation Delay Damages” (as defined in the Contract identified as item 5 on Schedule 3.01(m)(i))
payable pursuant to Section 2(c) of Exhibit B of such Contract, or (f) “Daily Delay Liquidated Delay Damages”
(as defined in the Contract identified as item 7 on Schedule 3.01(m)(i)) payable pursuant to Section 2.06 of such Contract,
in each case, paid by any Project Company.

 

    4

     

    

 

“Disclosure
Schedules” means the schedules to Seller’s and Purchaser’s representations and warranties of even date herewith
delivered in connection with the execution and delivery of this Agreement.

 

“Employee
Plan” means any “employee benefit plan,” as such term is defined in Section 3(3) of ERISA, that is (or
when in effect was) subject to any provision of ERISA, including Title IV of ERISA, and is or was sponsored, maintained or contributed
to by Seller, any Acquired Company or any ERISA Affiliate.

 

“Environmental
Attributes” means all environmental air quality credits, green credits, carbon credits, emissions reduction credits, certificates,
tags, offsets, allowances or similar products or rights, howsoever entitled: (a) resulting from the avoidance of the emission
of any gas, chemical or other substance, including mercury, nitrogen oxide, sulfur dioxide, carbon dioxide, carbon monoxide, particulate
matter or similar pollutants or contaminants of air, water or soil, gas, chemical or other substance; and (b) attributable
to the generation, purchase, sale or use of renewable energy generated or use of renewable generation technologies by either Project,
or otherwise attributable to either Project, including any renewable energy credits (“RECs”).

 

“Environmental
Laws” means all applicable Laws relating to the environment, or the handling, storage, transportation, emissions, discharges,
Releases or threatened emissions, discharges or Releases of Hazardous Substances into the environment, including ambient air, surface
water, ground water or land, or otherwise relating to the manufacture, processing, distribution, use, treatment or disposal of any Hazardous
Substances, including the Clean Air Act, the Federal Water Pollution Control Act (including the Clean Water Act and the Oil Pollution
Act), the Safe Drinking Water Act, the Federal Solid Waste Disposal Act (including the Resource Conservation and Recovery Act of 1976),
the Comprehensive Environmental Response, Compensation, and Liability Act, the Toxic Substances Control Act, the Federal Insecticide,
Fungicide and Rodenticide Act, the Emergency Planning and Community Right-to-Know Act, the Occupational Safety and Health Act (to the
extent relating to human exposure to Hazardous Substances) and any other federal, state or local Laws now or hereafter existing relating
to any of the foregoing.

 

“Equity
Capital Contribution Account” has the meaning set forth in the Financing Agreement.

 

“ERISA”
means the Employee Retirement Income Security Act of 1974.

 

“ERISA Affiliate”
means any entity, trade or business that is a member of a group described in Section 414(b), (c), (m) or (o) of the Code
or Section 4001(b)(1) of ERISA that includes Seller or the Acquired Companies or that is a member of the same “controlled
group” as Seller pursuant to Section 4001(a)(14) of ERISA; provided, however, that the Acquired Companies shall
not be considered to be ERISA Affiliates from and after the Closing Date.

 

“Execution
Date” has the meaning set forth in the preamble to this Agreement.

 

    5

     

    

 

“Execution
Date Title Policy” means each of (a) that certain Owner’s Policy of Title Insurance in favor of the Arica Project
Company, dated November 17, 2022 and issued by the Title Company under Policy No. NCS-983439CA2-AS, and (b) that certain
Owner’s Policy of Title Insurance in favor of the VP Project Company, dated November 17, 2022 and issued by the Title Company
under Policy No. NCS-983439CA1-VP.

 

“Exempt
Wholesale Generator” or “EWG” has the meaning given to such term in PUHCA.

 

“FERC”
means the Federal Energy Regulatory Commission.

 

“Final
Payment” has the meaning set forth in Section 2.02(b).

 

“Final
Payment Date” has the meaning set forth in Section 2.02(b).

 

“Financing
Agreement” means that certain Financing Agreement, dated as of November 16, 2022, by and among Class B Holdco, Arica
Project Company, VP Project Company, MUFG Bank, Ltd., as administrative agent, Wilmington Trust, National Association, as collateral
agent, and the lenders and issuing banks from time to time party thereto.

 

“Financing
Documents” means, collectively: (a) the “Financing Documents” (as defined in the Financing Agreement)
and (b) the Tax Equity ECCA.

 

“FPA”
means the Federal Power Act and all rules and regulations adopted thereunder.

 

“Fraudulent
Action” means, with respect to the applicable Party, any fraud, intentional breach, intentional misrepresentation (excluding
negligent misrepresentation) or intentional omission by such Party or any Representative of such Party in connection with this Agreement.

 

“Fundamental
Representations” has the meaning set forth in Section 6.03.

 

“Funding Date”
has the meaning set forth in the Tax Equity ECCA.

 

“GAAP”
means generally accepted accounting principles in the United States, consistently applied throughout the relevant periods.

 

“Governmental
Approval” means any consent or approval required by any Governmental Authority.

 

“Governmental
Authority” means any federal, state, local or municipal governmental body, any governmental, quasi-governmental, regulatory
or administrative agency, commission, body or other authority exercising or entitled to exercise any administrative, executive, judicial,
legislative, policy, regulatory or taxing authority or power, including NERC, FERC, CAISO, CPUC, and the Regional Entity, or any court
or governmental tribunal.

 

“Hazardous
Substances” means any substance, element, compound or mixture, whether solid, liquid or gaseous: (a) which is defined
as “hazardous waste” or “hazardous substance” or “pollutant” or “contaminant” under any
Environmental Law; (b) which is otherwise hazardous and is subject to regulation by any Governmental Authority; (c) petroleum
hydrocarbons (other than naturally occurring petroleum hydrocarbons); (d) polychlorinated biphenyls (PCBs); (e) asbestos-containing
materials (other than naturally occurring asbestos); (f) per or poly fluoroalkyl substances; or (g) radioactive materials
(other than naturally occurring radioactive materials).

 

    6

     

    

 

“Indebtedness”
means all obligations of a Person: (a) for borrowed money; (b) evidenced by notes, bonds, debentures or similar
instruments; (c) for the deferred purchase price of goods or services (other than trade payables or accruals incurred in
the ordinary course of business and not past due); (d) under capital leases; (e) secured by a Lien on the assets
of such Person, whether or not such obligation has been assumed by such Person; (f) with respect to reimbursement obligations
for letters of credit and other similar instruments (whether or not drawn); (g) in the nature of guaranties of the obligations
described in clauses (a) through (f) above of any other Person or as to which such Person has an obligation substantially the
economic equivalent of a guaranty; (h) for unpaid interest, prepayment penalties, premiums, costs and fees that would arise
or become due as a result of the prepayment of any of the obligations referred to in the foregoing clauses (a) through (g); or (i) in
respect of any other amount properly characterized as indebtedness in accordance with GAAP.

 

“Indemnified
Party” means any Person claiming indemnification under any provision of Article 6.

 

“Indemnifying
Party” means any Person against whom a claim for indemnification is being asserted under any provision of Article 6.

 

“Initial
Funding Date” has the meaning set forth in the Tax Equity ECCA.

 

“Insured Property
Rights” has the meaning set forth in Section 3.01(o).

 

“Interim Period”
has the meaning set forth in Section 5.02.

 

“Knowledge”
means the actual knowledge of (a) in the case of Seller, [***], and (b) in the case of Purchaser, [***], in each case, after
reasonable inquiry of their direct reports.

 

“Land”
has the meaning set forth in Section 3.01(n)(i).

 

“Law”
means all laws, statutes, treaties, rules, injunctions, judgments, decrees, writs, orders, codes, ordinances, standards, regulations,
restrictions, executive orders, official guidelines, policies, directives, interpretations, permits or other pronouncements, in each
case, having the effect of law of any Governmental Authority.

 

“Liabilities”
means any liability, Indebtedness, obligation, commitment, or expense, in each case, requiring either: (a) the payment
of a monetary amount; or (b) any type or fulfillment of an obligation, and in each case whether accrued, absolute, contingent,
asserted, matured, unmatured, secured or unsecured.

 

“Lien”
means any lien, mortgage, pledge, security interest, charge or encumbrance of any kind (including any conditional sale or other title
retention agreement, any lease in the nature thereof, and any agreement to give any lien or security interest).

 

“Losses”
means any and all claims (including third-party and inter-party claims), damages, losses, Liabilities, costs, fines, penalties assessed
by any Governmental Authority and expenses (including settlement costs and any reasonable legal, accounting or other expenses for investigating
or defending any actions or threatened actions), and excluding any consequential, incidental, indirect, special, exemplary or punitive
damages except as otherwise provided in Section 8.15.

 

“Major
Project Change” means a: (a) delay in the construction of either Project that is reasonably likely to result in
a material delay in achieving commercial operations of such Project; (b) material increase in the costs of, or liability
to, either Project or any Acquired Company that will not be borne by Seller or otherwise paid, extinguished or fully satisfied as of
the Closing Date; or (c) to the extent not taken into account in the Base Case Model, fact, event, circumstance, condition
or change that has a material adverse effect on the expected generation or operating cost of either Project.

 

    7

     

    

 

“Material
Adverse Effect” means any fact, event, circumstance, condition, change or effect that has, or would reasonably be expected
to have, individually or in the aggregate, a materially adverse effect on the assets, properties, liabilities, financial condition
or results of operations of the Projects or the Acquired Companies, taken as a whole; provided, however, that none of
the following shall be or will be at the Closing Date deemed to constitute and shall not be taken into account in determining the
occurrence of a Material Adverse Effect: any fact, event, circumstance, condition, change or effect resulting from:
(a) any economic change generally affecting the international, national or regional electric generating industry or
wholesale markets for electric power; (b) any economic change in markets for commodities or supplies, including electric
power, as applicable, used in connection with the Acquired Company; (c) any change in general regulatory or political
conditions, including any engagements of hostilities, acts of war or terrorist activities, natural disasters or weather-related
events or changes imposed by a Governmental Authority associated with additional security; (d) any change in any Laws
(including Environmental Laws), industry standards generally affecting the industry or markets in which any Acquired Company
operates or GAAP; (e) any change in the financial condition of any Acquired Company caused by the transactions
contemplated by this Agreement; (f) any change in the financial, banking or securities markets (including any suspension
of trading in, or limitation on prices for, securities on the New York Stock Exchange, American Stock Exchange or Nasdaq Stock
Market) or any change in the general national or regional economic or financial conditions; (g) any actions to be taken
pursuant to or in accordance with this Agreement; or (h) the announcement or pendency of the transactions contemplated
hereby, including any labor union activities or disputes; provided, however, that any fact, event, circumstance,
condition, change or effect resulting from clauses (a) through (f) shall nonetheless be taken into consideration in
determining whether a Material Adverse Effect has occurred to the extent such changes, events, effects or occurrences have a
materially disproportionate impact on the Acquired Companies, taken as whole, as compared to similarly situated businesses in the
same industry and in the same geographical area, which shall be deemed to include the State of California.

 

“MBR
Authorization” means a final order issued by FERC: (a) authorizing the wholesale sale of electric energy,
capacity, and specified ancillary services at market-based rates pursuant to Section 205 of the FPA; (b) accepting a
tariff pertaining to such sales; and (c) granting waivers of regulations and blanket authorizations customarily granted by
FERC to an entity that makes wholesale sales of electric energy, capacity, and specified ancillary services at market-based rates, including
blanket approval for the issuance of securities and assumption of liabilities under Section 204 of the FPA.

 

“MW”
means megawatt (alternating current).

 

“NERC”
means the North American Electric Reliability Corporation.

 

“Option”
with respect to any Person means any security, right, subscription, warrant, option, “phantom” stock right or other Contract
that gives the right to: (a) purchase or otherwise receive or be issued any shares of capital stock or other security or
equity interest of such Person or any security or right of any kind convertible into or exchangeable or exercisable for any shares of
capital stock or other security or equity interest of such Person; or (b) receive or exercise any benefits or rights similar
to any rights enjoyed by or accruing to the holder of shares of capital stock (or any other equity interest or security) of such Person,
including any rights to participate in the equity or income of such Person or to participate in or direct the election of any directors
or officers (or similar positions) of such Person or the manner in which any shares of capital stock (or any other security or equity
interest) of such Person are voted.

 

    8

     

    

 

“Order”
means any writ, judgment, injunction, ruling, decision, order or similar direction of any Governmental Authority, whether preliminary
or final.

 

“Outside
Date” has the meaning set forth on Section 7.01(b).

 

“Party”
or “Parties” has the meaning set forth in the preamble to this Agreement.

 

“Permit”
means all licenses, permits, consents, authorizations, approvals, ratifications, certifications, exemptions, variances, exceptions and
similar consents granted or issued by or from, and filings and registrations with or delivered to, any Governmental Authority.

 

“Permitted
Equity Encumbrances” means: (a) those restrictions on transfer imposed by applicable securities laws; (b) Liens
or restrictions imposed on transfers set forth in the Constitutive Documents of the issuer; and (c) Liens created pursuant
to, and securing any Indebtedness under, the Financing Documents.

 

“Permitted
Exceptions” means, with respect to the Real Property Rights, the following:

 

(a)            all
Liens for Taxes, which are not due and payable as of the Closing Date or, if due, are: (i) not delinquent; or (ii) being
contested in good faith through appropriate proceedings and set forth on Schedule 1.01 of the Disclosure Schedules and as to which
adequate reserves in accordance with GAAP have been taken on the books of the Acquired Companies;

 

(b)            all
building codes and zoning ordinances and other Laws of any Governmental Authority heretofore, now or hereafter enacted, made or issued
by any such Governmental Authority affecting the Real Property Rights;

 

(c)            all
easements, rights-of-way, covenants, conditions, restrictions, reservations, licenses, agreements and other similar matters which would
not reasonably be expected to, in the aggregate, have a Material Adverse Effect on the use and enjoyment of the Real Property Rights;

 

(d)            all
encroachments, overlaps, boundary line disputes, shortages in area, drainage and other easements, cemeteries and burial grounds and other
similar matters which would not reasonably be expected to, in the aggregate, have a Material Adverse Effect on the use and enjoyment
of the Real Property Rights;

 

(e)            all
electric, telephone, gas, sanitary sewer, storm sewer, water and other utility lines, pipelines, service lines and facilities of any
nature now located on, over or under the Real Property Rights, and all licenses, easements, rights-of-way and other similar agreements
relating thereto which would not reasonably be expected to, in the aggregate, have a Material Adverse Effect on the use and enjoyment
of the Real Property Rights;

 

(f)            all
existing public and private roads and streets (whether dedicated or undedicated) and all railroad lines and rights-of-way affecting the
Real Property Rights which would not reasonably be expected to, in the aggregate, have a Material Adverse Effect on the use and enjoyment
of the Real Property Rights;

 

(g)            all
rights with respect to the ownership, mining, extraction and removal of minerals, of whatever kind and character (including all coal,
iron ore, oil, gas, sulfur, methane gas in coal seams, limestone and other minerals, metals and ores), that have been granted, leased,
excepted or reserved prior to the date hereof which would not, in the aggregate, reasonably be expected to have a Material Adverse Effect
on the use and enjoyment of the Real Property Rights; and

 

    9

     

    

 

(h)            inchoate
mechanic’s and materialmen’s liens for construction in progress and workmen’s, repairmen’s, warehousemen’s
and carrier’s liens arising in the ordinary course of business of the Acquired Companies: (i) as to which there is
no existing default on the part of the Acquired Companies; or (ii) that are being contested in good faith through appropriate
proceedings and as set forth on Schedule 1.01 of the Disclosure Schedules and as to which adequate reserves in accordance with
GAAP have been taken on the books of the Acquired Companies.

 

“Permitted
Lien” means any: (a) mechanic’s, laborer’s, workmen’s, repairmen’s and carrier’s
Liens, including all statutory Liens: (i) relating to obligations as to which there is no existing default on the part
of the Acquired Companies; or (ii) that Seller is contesting in good faith through appropriate proceedings and set forth
on Schedule 1.01 of the Disclosure Schedules and as to which adequate reserves in accordance with GAAP have been taken on the
books of the Acquired Companies, as applicable; (b) Liens for Taxes, assessments and other governmental charges not yet
due and payable or, if due: (i) not delinquent; or (ii) being contested in good faith through appropriate
proceedings and set forth on Schedule 1.01 of the Disclosure Schedules and as to which adequate reserves in accordance with
GAAP have been taken on the books of the Acquired Companies; (c) good faith deposits in connection with bids, tenders,
leases, contracts or other agreements, including rent security deposits; (d) pledges or deposits to secure public or
statutory obligations or appeal bonds; (e) in the case of personal property owned or held by the Acquired Companies,
covenants and other restrictions in the Company Contracts; (f) any Liens relating to or arising from the Financing
Documents; (g) any encumbrance or exception reflected in any Title Policy; (h) Liens against the assets of
any Acquired Company that would not, individually or in the aggregate, interfere in any material adverse respect with the ability of
such Acquired Company to use the property encumbered thereby for its intended purpose in connection with any Project; and
(i) any other Liens set forth on Schedule 1.01 of the Disclosure Schedules.

 

“Person”
means any natural person, corporation, limited liability company, general partnership, limited partnership, proprietorship, other business,
entity, organization, trust, union, association or Governmental Authority.

 

“Placed In Service
(ESS)” has the meaning set forth in the Tax Equity ECCA.

 

“Placed In Service
(Solar)” has the meaning set forth in the Tax Equity ECCA.

 

“Pledgor Company”
has the meaning set forth in the recitals to this Agreement.

 

“Pricing
Adjustments” means:

 

(a)            On
each of Initial Funding Date and the Substantial Completion Funding Date, the Base Case Model shall be updated to reflect the actual
applicable Funding Date.

 

(b)            On
the Substantial Completion Funding Date, the Base Case Model shall be updated to reflect the actual date on which Placed In Services
(Solar) and Placed In Service (ESS) occurred in respect of each Project.

 

(c)            On
each of Initial Funding Date and the Substantial Completion Funding Date, the Base Case Model shall be updated to reflect: (i) for
each Project, the fair market value set forth in the Appraisal bring-down delivered for the applicable Funding Date; (ii) for
each Project, any adjustment in cost allocation, depreciation and amortization recovery periods, amortization and depreciation methods
and rates and amount of depreciation and amortization expense or allowance, as confirmed by the Appraisal bring-down delivered in connection
with the applicable Funding Date; (iii) for each Project, any adjustment to degradation or the monthly annual generation,
as reflected in the bring downs of the “Independent Engineer Report” (as defined in the Tax Equity ECCA; (iv) for
each Project, to the extent revised in the bring-down of any “Independent Engineer Report” (as defined in the Tax Equity
ECCA), availability and the energy estimate, as mutually agreed by Purchaser and Seller; (v) for each Project, any adjustment
to operation and maintenance fees and expenses to the extent identified in the “Independent Engineer Report” (as defined
in the Tax Equity ECCA); and (vi) any adjustment in state or local Taxes that apply to either Project Company.

 

    10

     

    

 

(d)            The
energy price, the tenor of each “Power Purchase Agreement” (as defined in the Tax Equity ECCA), and the timing of receipt
of payments under each “Power Purchase Agreement” (as defined in the Tax Equity ECCA) shall be adjusted to the extent that,
prior to the applicable Funding Date, such agreement has been amended or terminated.

 

(e)            Amendments
to or additional “Transaction Documents” (as defined in the Tax Equity ECCA).

 

(f)            Property
tax expenses and franchise tax (if any) for the Projects shall be updated prior to the applicable Funding Date.

 

(g)            Insurance
expenses shall be updated prior to the applicable Funding Date to reflect the costs of insurance to be obtained and maintained for the
Projects, to the extent not yet in place, based on final advice from the “Insurance Consultant” (as defined in the Tax Equity
ECCA); provided that the escalation rate of two and one-tenth percent (2.1%) applied to the insurance cost forecast beyond the
prompt year shall not be adjusted.

 

“Project”
has the meaning set forth in the recitals to this Agreement.

 

“Project
Company” has the meaning set forth in the recitals to this Agreement.

 

“Project Devco”
has the meaning set forth in the recitals to this Agreement.

 

“Project
Holdco” has the meaning set forth in the recitals to this Agreement.

 

“Projections”
has the meaning set forth in Section 3.01(aa).

 

“Prudent
Industry Practices” means those practices, methods, standards and procedures as are commonly used by a significant portion
of those providing operating services on solar facilities of a type and size similar to the Projects, which in the exercise of reasonable
judgment and in the light of the facts known at the time the decision was made, are considered good, safe and prudent practice in connection
with the design, manufacture and construction and use of electrical and other equipment, facilities, equipment and improvements, with
commensurate standards of safety, performance, dependability, efficiency and economy.

 

“PUHCA”
means the Public Utility Holding Company Act of 2005 and the implementing regulations of the FERC thereunder.

 

“Purchase Price”
has the meaning set forth in Section 2.02(b).

 

    11

     

    

 

“Purchaser”
has the meaning set forth in the preamble to this Agreement.

 

“Purchaser
Indemnified Parties” means Purchaser and its Representatives.

 

“Purchaser
Parent” means Clearway Energy Operating LLC, a Delaware limited liability company.

 

“Purchaser
Parent Guaranty” means the Purchaser Parent Guaranty dated as of the Execution Date and issued by the Purchaser Parent, in
the form of Exhibit B.

 

“Purchaser Tax Equity
Guaranty” means that certain Guaranty Agreement to be entered into on or around the Closing Date by Purchaser Parent, on behalf
of Class B Holdco, in favor of the Tax Equity Investor, the form of which shall be subject to Purchaser’s approval pursuant
to Section 5.12(a).

 

“Real
Property Rights” means all real property rights and interests of the Acquired Companies, including all options, leases, easements,
land use rights, access easements, transmission line easements, rights to ingress and egress, any and all bids, grants, awards, applications,
rights to negotiate and all other rights relating to the Land.

 

“RECs”
has the meaning set forth in the definition of “Environmental Attributes.”

 

“Regional
Entity” means the Western Electricity Coordinating Council.

 

“Release”
means any release, spill, emission, leaking, pumping, pouring, injection, deposit, disposal, emptying, escaping, discharge, dispersal,
dumping, leaching or migration of Hazardous Substances into or upon any land, water or air, including the movement of Hazardous Substances
through or in any land, water or air, including the Land.

 

“Reports”
means, for each Project: (a) the “Independent Engineer Report” (as defined in the Tax Equity ECCA); (b) the
 “Environmental Report” (as defined in the Tax Equity ECCA); (c) the “Insurance Report” (as defined
in the Tax Equity ECCA); and (d) the “Transmission Report” (as defined in the Tax Equity ECCA); in each case,
including any bring downs of such reports delivered pursuant to the Tax Equity ECCA as of the Closing Date.

 

“Representatives”
means with respect to any Person, the officers, directors, employees, counsel, accountants, financing advisors, consultants and agents
of such Person.

 

“Retained
Support Obligation” has the meaning set forth in Section 5.07(b).

 

“Seller”
has the meaning set forth in the preamble to this Agreement.

 

“Seller
Approvals” has the meaning set forth in Section 3.01(e).

 

“Seller
Consents” has the meaning set forth in Section 3.01(c).

 

“Seller
Indemnified Parties” means Seller and each of its Representatives.

 

“Seller Parent”
means Clearway Renew LLC, a Delaware limited liability company.

 

“Seller Parent Guaranty”
means that guaranty of Seller Parent dated as of the Execution Date and attached hereto as Exhibit C.

 

    12

     

    

 

“Seller
Tax Equity Guaranty” means that certain Guaranty Agreement to be entered into pursuant to the Tax Equity ECCA by Clearway Renew,
LLC (or another Affiliate of Seller) on behalf of Class B Holdco, in favor of the Tax Equity Investor, the form of which shall be
subject to Purchaser’s approval pursuant to Section 5.12(a).

 

“Substantial Completion
Funding Date” has the meaning set forth in the Tax Equity ECCA.

 

“Substitute
Support Obligation” has the meaning set forth in Section 5.07(a).

 

“Support
Obligations” has the meaning set forth in Section 5.07(a).

 

“Tax”
or “Taxes” means any income, profits, gross or net receipts, property, sales, use, capital gain, transfer, excise,
license, production, franchise, employment, social security, occupation payroll, registration, capital, governmental pension or insurance,
withholding, royalty, severance, stamp or documentary, value added, goods and services, business or occupation or other tax, charge,
assessment, duty, levy, unclaimed property or escheat obligation, compulsory loan or fee of any kind (including any interest, additions
to tax or civil or criminal penalties thereon) of the United States or any state or local jurisdiction therein, or of any other nation
or any jurisdiction therein, together with any obligations for the Taxes of any other Person, whether as successor, a member of a group,
indemnitor or otherwise.

 

“Tax
Equity Agreements” means, collectively, the Tax Equity ECCA, the Tax Equity LLCA, the AIP Tax Equity Cross Guaranty,
Seller Tax Equity Guaranty, Purchaser Tax Equity Guaranty and the TE HoldCo MIPA.

 

“Tax Equity Documents”
means each of the Tax Equity Agreements and each other agreement or certificate to be executed and delivered pursuant to the Tax Equity
ECCA or the Tax Equity LLCA, in each case, pursuant to the terms and subject to the conditions of Section 5.12(a).

 

“Tax
Equity ECCA” means that certain Equity Capital Contribution Agreement, to be entered into by and between the Tax Equity
Investor and Class B Holdco, the form of which shall be subject to Purchaser’s approval pursuant to Section 5.12(a).

 

“Tax
Equity Investor” means Wells Fargo Bank, N.A.

 

“Tax
Equity LLCA” means that certain Amended and Restated Limited Liability Company Agreement of TE HoldCo, to be entered into between
Class B HoldCo and the Tax Equity Investor, the form of which shall be subject to Purchaser’s approval pursuant to
Section 5.12(a).

 

“Tax
Equity Model” means the “Base Case Model” as defined in and updated pursuant to the Tax Equity ECCA, the initial
form of which shall be subject to Purchaser’s approval pursuant to Section 5.12(a).

 

“Tax
Return” means any report, form, return, statement or other information (including any amendments) supplied to or filed with,
or required to be supplied to or filed with a Governmental Authority by a Person with respect to Taxes, including information returns,
any amendments thereof or schedule or attachment thereto and any documents with respect to or accompanying requests for the extension
of time in which to file any such report, form, return, statement or other information.

 

    13

     

    

 

“Tax
Equity Signing” has the meaning set forth in Section 5.12(a).

 

“TE
HoldCo” has the meaning set forth in the recitals to this Agreement.

 

“TE
HoldCo MIPA” means that certain Membership Interest Purchase and Sale Agreement for the sale by Project HoldCo and the purchase
by TE HoldCo of one hundred percent (100%) of the membership interests of each Pledgor Company, to be entered into between Project
HoldCo and the TE HoldCo, the form of which shall be subject to Purchaser’s approval pursuant to Section 5.12(a).

 

“Title Company”
means First American Title Insurance Company, or another nationally-recognized title insurance company reasonably acceptable to the Parties.

 

“Title
Policies” means each Owner’s Policy for an ALTA 2006 extended coverage owner’s policy of title insurance, issued
by the Title Company in favor of each Project Company or otherwise in form and substance reasonably acceptable to Purchaser.

 

“Title
Proformas” means, for each Project, that certain pro forma Title Policy to be delivered to the Tax Equity Investor pursuant
to the Tax Equity ECCA, in form and substance reasonably acceptable to Purchaser.

 

“Transaction
Documents” means this Agreement, the Ancillary Documents and the A&R LLCA.

 

“Transaction Expenses”
means (a) all unpaid costs, fees and expenses as of Closing for the negotiation, execution or delivery of this Agreement or any
Transaction Document, or for the performance of the actions required at the consummation of the Closing existing on or prior to the Closing
Date, but only to the extent such costs, fees and expenses are payable or reimbursable by Company or any Acquired Company, including
the fees, costs, disbursements and expenses of advisors with respect thereto, (b) all liabilities of the Company or any Acquired
Company under or in connection with any severance or retention arrangements, stay bonuses, incentive bonuses, transaction bonuses, termination
and change of control arrangements and similar obligations that exist on or prior to the Closing Date and that are owed or that will
be triggered, either automatically or in combination with any other event, in whole or in part by the consummation of the Closing, and
(c) all fees and expenses, if any, incurred by the Company or any Acquired Company on or prior to the Closing Date in connection
with obtaining the Seller Consents.

 

“Transfer
Taxes” means any and all transfer Taxes (excluding Taxes measured in whole or in part by net income), including sales, use,
real property transfer, recording, documentary, stamp, registration, stock, excise, conveyance, gross receipts, business and occupation,
securities transactions, notarial, filing, permit, license, authorization and similar Taxes, fees, duties, levies, customs, tariffs,
imposts, assessments, obligations and charges.

 

“Treasury
Regulations” means the final and temporary regulations promulgated by the U.S. Department of Treasury under the Code.

 

“VP Pledgor Company”
has the meaning set forth in the recitals to this Agreement.

 

“VP Project”
has the meaning set forth in the recitals to this Agreement.

 

“VP Project Company”
has the meaning set forth in the recitals to this Agreement.

 

    14

     

    

 

1.02.      Rules of
Interpretation.

 

(a)            Construction.
As used herein, the singular shall include the plural, the masculine gender shall include the feminine and neuter and the neuter gender
shall include the masculine and feminine unless the context otherwise indicates.

 

(b)            References.
References to Articles and Sections are intended to refer to Articles and Sections of this Agreement, and all references to Annexes,
Exhibits and Schedules are intended to refer to Annexes, Exhibits and Schedules attached to this Agreement, each of which is made a part
of this Agreement for all purposes. The terms “include,” “includes” and “including” mean “including,
without limitation” and “including but not limited to.” Any date specified for action that is not a Business Day shall
mean the first Business Day after such date. Any reference to a Person shall be deemed to include such Person’s successors and
permitted assigns. Any reference to any document or documents shall be deemed to refer to such document or documents as amended, modified,
supplemented or replaced from time to time in accordance with the terms of this Agreement. References to Laws refer to such Laws as they
may be amended from time to time, and references to particular provisions of a Law include any corresponding provisions of any succeeding
Law. The words “herein,” “hereof” and “hereunder” and words of similar import shall refer to this
Agreement as a whole and not to any particular section or subsection of this Agreement. References to money refer to legal currency of
the United States of America.

 

(c)            Accounting
Terms. As used in this Agreement and in any certificate or other documents made or delivered pursuant hereto, accounting terms
not defined in this Agreement or in any such certificate or other document, and accounting terms partly defined in this Agreement or
in any such certificate or other document to the extent not defined, will have the respective meanings given to them under GAAP. To
the extent that the definitions of accounting terms in this Agreement or in any such certificate or other document are inconsistent
with the meanings of such terms under GAAP, the definitions contained in this Agreement or in any such certificate or other document
will control.

 

Article 2

SALE OF MEMBERSHIP INTERESTS AND CLOSING

 

2.01.       Purchase
and Sale. Seller agrees to sell to Purchaser, and Purchaser agrees to purchase from Seller, all of the right, title and interest
of Seller in and to the Acquired Interests at the Closing on the terms and subject to the conditions set forth in this Agreement. In
consideration for the sale, transfer and delivery of all of the Acquired Interests to Purchaser, Purchaser shall pay to Seller, or otherwise
contribute in the manner specified pursuant to the Financing Agreement, in either case, in accordance with Section 2.02(a) and
Section 2.02(b) (as applicable), an aggregate amount equal to Two Hundred Twenty Seven Million Seven Hundred Fifty-Four
Thousand Nine Hundred Thirteen and 19/100 Dollars ($227,754,913.19) (the “Base Purchase Price”), subject to adjustment
in accordance with Section 2.04(a).

 

2.02.       Payment
of Purchase Price.

 

(a)            Closing
Payment. Upon the terms and subject to the conditions hereinafter set forth, in consideration of the delivery by Seller of the Acquired
Interests, Purchaser shall pay to Seller at the Closing an amount equal to twenty percent (20%) of the Base Purchase Price (the “Closing
Payment”). Payment of the Closing Payment shall be made by wire transfer of immediately available funds to the Equity Capital
Contribution Account (for application in accordance with Section 7.5(a) of the Financing Agreement), or such other account
or accounts as designated by Seller, in each case, in accordance with written notice delivered by Seller to Purchaser not less than two
(2) Business Days prior to the Closing Date.

 

(b)            Final
Payment. After the Closing Date and no later than and subject to the occurrence of the Substantial Completion Funding Date (reasonable
evidence of which shall be provided by Seller to Purchaser), Purchaser shall pay to Seller a dollar amount (the “Final Payment”
and the date such payment is made, the “Final Payment Date”) equal to (i) the Base Purchase Price, as adjusted
pursuant to Section 2.04(a) (such amount, the “Purchase Price”), less (ii) the Closing
Payment. Payment of the Final Payment shall be made by wire transfer of immediately available funds to the Equity Capital Contribution
Account (for application in accordance with Section 7.5(b) of the Financing Agreement), or such other account or accounts as
designated by Seller, in each case, in accordance with written notice delivered by Seller to Purchaser not less than two (2) Business
Days prior to the Final Payment Date. For the avoidance of doubt, on the “Discharge Date” (as defined in the Financing Agreement),
the Parties agree that any amounts remaining on deposit in the Equity Capital Contribution Account, as contemplated by Section 7.5(b) of
the Financing Agreement, shall be promptly transferred to Seller (or its designee).

 

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2.03.       Closing;
Final Payment.

 

(a)            Subject
to the terms and conditions of this Agreement, the closing of the transactions described in Section 2.01 (the “Closing”)
will take place remotely via the electronic exchange of documents and signatures no later than: (i) two (2) Business
Days following the fulfillment or waiver of the conditions set forth in Article 4 (other than those conditions that by their
nature are to be satisfied on the Closing Date); or (ii) such other time as may be determined by mutual agreement of Seller
and Purchaser (the day on which the Closing takes place being the “Closing Date”).

 

(b)            At
the Closing, the following shall occur:

 

(i)            Purchaser
shall pay the Closing Payment by wire transfer of immediately available funds to the account or accounts as designated by Seller in writing
pursuant to Section 2.02(a);

 

(ii)            Each
Party shall deliver, or cause to be delivered, to the other Party the certificates and other deliverables pursuant to Article 4;

 

(iii)            The
execution by both Parties of the Assignment of Membership Interests and all other agreements, documents, instruments or certificates
required to be delivered at or prior to the Closing pursuant to Article 4; and

 

(iv)            If
applicable, Seller shall deliver to Purchaser a certificate or certificates representing the Acquired Interests, duly endorsed for transfer
to Purchaser or accompanied by one or more membership interests powers duly endorsed for transfer to Purchaser.

 

(c)            On
the Final Payment Date, Purchaser shall pay the Final Payment by wire transfer of immediately available funds to the account or accounts
as designated by Seller in writing pursuant to Section 2.02(b).

 

2.04.            Adjusted
Purchase Price Amount.

 

(a)            If,
as of the Substantial Completion Funding Date, the Adjusted Purchase Price Amount is positive, the Base Purchase Price shall be increased
by the Adjusted Purchase Price Amount. If, as of the Substantial Completion Funding Date, the Adjusted Purchase Price Amount is negative,
the Base Purchase Price shall be decreased by the absolute value of the Adjusted Purchase Price Amount. Any adjustment made under this
Section 2.04 will be treated as an adjustment to the Base Purchase Price for Tax purposes.

 

    16

     

    

 

(b)            “Adjusted
Purchase Price Amount” shall equal (i) the number set forth in the tab entitled “PP Adj” of the Adjusted Purchase
Price Model minus (ii) any Transaction Expense of any Acquired Company as of the Closing Date (except to the extent such
Transaction Expense has already been applied as a reduction against the Adjusted Purchase Price Amount pursuant to the Adjusted Purchase
Price Model).

 

2.05.       Certain
Proceeds. Notwithstanding anything herein to the contrary, in the event that anytime following the Closing Date, Purchaser
(if Purchaser receives any such payment separately and not from any Acquired Company) or any Acquired Company receives any payment with
respect to (a) any amounts released from any completion escrow account funded by or on behalf of Seller or, prior to the Closing,
any Acquired Company, (b) any amounts released from adequate reserves funded by or on behalf of Seller or, prior to the Closing,
any Acquired Company, established at or prior to the Closing Date in accordance with GAAP, or (c) any other amounts described in
any of clauses (i) through (vi) of Section 5.06(a) of the A&R LLCA, Purchaser and Seller agree that such amount
shall be retained by, or immediately refunded or paid by Purchaser or the applicable Acquired Company to Seller or its designee, at the
times and in the manner as specified in Section 5.06 of the A&R LLCA.

 

2.06.       Tax
Reporting of Transaction. For federal income tax purposes, the Parties agree to report the transactions effectuated by this Agreement
as follows:

 

(a)            Immediately
prior to the Closing and the Initial Funding Date, each of the Target Company, Class B Holdco and TE HoldCo shall be treated as
a disregarded entity separate from Seller (or if Seller is a disregarded entity for U.S. federal income tax purposes, the Person or Persons
owning Seller that are not disregarded for such purposes) for U.S. federal income tax purposes;

 

(b)            Upon
the making of the capital contribution to be made by the Tax Equity Investor to TE HoldCo, and the issuance to the Tax Equity
Investor of the Class A membership interests in TE HoldCo, in each case, pursuant to the Tax Equity ECCA on the Initial Funding
Date, and the making of the capital contribution to be made by the Class B Member to the TE HoldCo, which shall be deemed to
occur prior to the Closing, in accordance with Revenue Ruling 99-5, Situation 2, each of Seller and the Tax Equity Investor is
treated as contributing cash or property to TE Holdco in exchange for an interest in TE HoldCo, as a result of which TE HoldCo shall
become a partnership between Seller and the Tax Equity Investor for U.S. federal income tax purposes;

 

(c)            On
the Initial Funding Date, but prior to the Closing, TE HoldCo will acquire, and Project HoldCo will sell, (i) all the limited liability
company membership interests of VP Pledgor Company (and, indirectly, all the limited liability company interests in VP Project Company)
and (ii) all the limited liability company membership interests of Arica Pledgor Company (and, indirectly, all the limited liability
company interests in Arica Project Company); and

 

(d)            At
the Closing, and subsequent to the making of the capital contribution to be made by the Tax Equity Investor to TE HoldCo, and the issuance
to the Tax Equity Investor of the Class A membership interests in TE HoldCo, in each case, pursuant to the Tax Equity ECCA, and
subsequent to the acquisition by TE HoldCo of all the interests in VP Pledgor Company and Arica Pledgor Company (and, indirectly, VP
Project Company and Arica Project Company), in accordance with the principles of Revenue Ruling 99-5, Situation 1, (i) simultaneously
(i.e., at the same moment in time), (A) AIP Member will acquire the AIP Interests from Seller, and Seller will sell the AIP
Interests to AIP Member, and (B) Purchaser will acquire the Acquired Interests from Seller, and Seller will sell the Acquired Interests
to Purchaser, (ii) immediately subsequent to the consummation of the transactions described in clause (i) of this Section 2.06(d),
AIP Member and Purchaser shall be the sole members of the Target Company, which shall be, and shall be treated as, a partnership for
U.S. federal income tax purposes, and (iii) as a result of, and in connection with, the transactions described in in clause (i) of
this Section 2.06(d), (A) the acquisition by AIP Member of the AIP Interests will be treated as (I) an acquisition
by AIP Member in a taxable transaction of an undivided interest in all of the assets and properties, tangible and intangible, of the
Target Company (including its ratable portion of the Class B membership interests in TE HoldCo), which Class B membership interests
will be treated as an interest in a partnership for federal income tax purposes and (II) pursuant to Section 721 of the Code,
the contribution by AIP Member of those assets and properties to the Target Company in exchange for the AIP Interests and (B) the
acquisition by Purchaser of the Acquired Interests will be treated as (I) an acquisition by Purchaser in a taxable transaction of
an undivided interest in all of the assets and properties, tangible and intangible, of the Target Company (including its ratable portion
of the Class B membership interests in TE HoldCo), which Class B membership interests will be treated as an interest in a partnership
for federal income tax purposes, and (II) pursuant to Section 721 of the Code, the contribution by Purchaser of those assets
and properties to the Target Company in exchange for the Acquired Interests.

 

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Article 3

REPRESENTATIONS AND WARRANTIES

 

3.01.       Representations
and Warranties with respect to Seller and the Acquired Companies. Seller hereby represents and warrants to Purchaser, as of the
Execution Date and the Closing Date, as follows (provided that any representation and warranty set forth in this Section 3.01
and expressly stated to be made only as of a specified date shall be made solely as of such date):

 

(a)            Existence.
Seller is a limited liability company duly formed, validly existing and in good standing under the Laws of the State of Delaware. Seller
has full power and authority to execute and deliver this Agreement and the other Transaction Documents to be executed and delivered by
Seller hereunder, and to perform its obligations hereunder and thereunder and to consummate the transactions contemplated hereby and
thereby.

 

(b)            Authority.
All actions or proceedings necessary to authorize the execution and delivery by Seller of this Agreement and the other Transaction Documents,
and the performance by Seller of its obligations hereunder and thereunder have been duly and validly taken. This Agreement and, at the
Closing, each other Transaction Document, has been duly and validly executed and delivered by Seller and constitutes the legal, valid
and binding obligations of Seller enforceable against Seller in accordance with its terms, except as the same may be limited by bankruptcy,
insolvency, reorganization, fraudulent conveyance, arrangement, moratorium or other similar Laws relating to or affecting the rights
of creditors generally, or by general equitable principles.

 

(c)            No
Consent. Except as set forth on Schedule 3.01(c) of the Disclosure Schedules (the “Seller
Consents”), and except as would not, individually or in the aggregate, reasonably be expected to be materially adverse to
(i) the ability of Seller to consummate the transactions contemplated by this Agreement or to perform its obligations
hereunder, or (ii) the Acquired Companies, taken as a whole, the execution, delivery and performance by Seller of this
Agreement does not require Seller to obtain any consent, approval or action of or give any notice to any Person as a result or under
any terms, conditions or provisions of any Contract or Permit by which it is bound.

 

(d)            No
Conflicts. The execution, delivery and performance of this Agreement and the other Transaction Documents by Seller does not and will
not: (i) conflict with, result in a breach of, or constitute a default under, the Constitutive Documents of Seller or any
Acquired Company or any material Contract to which Seller, or any Company Contract to which any Acquired Company, is a party; (ii) result
in the creation of any Lien upon any of the Acquired Interests, any equity interests of any Acquired Company or any assets or properties
of any Acquired Company; (iii) accelerate or modify, or give any party the right to accelerate or modify, the time within
which, or the terms under which, any duties or obligations are to be performed by Seller or any Acquired Company or any rights or benefits
are to be received by any Person, under any Contract to which Seller or any Acquired Company is a party; or (iv) violate
in any material respect any applicable Law.

 

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(e)            Regulatory
Matters. Except as set forth on Schedule 3.01(e) of the Disclosure Schedules (“Seller Approvals”),
no Governmental Approval is required on the part of Seller or any Acquired Company in connection with the execution, delivery and performance
of this Agreement or the consummation of the transactions contemplated by this Agreement.

 

(f)            Legal
Proceedings. Except as set forth in Schedule 3.01(f) of the Disclosure Schedules, and except for Actions or Proceedings
in respect of Environmental Laws that are governed exclusively by Section 3.01(p)(ii), there are no Actions or Proceedings
pending or, to the Knowledge of Seller, threatened as of the Execution Date against Seller or any Acquired Company that: (i) affect
Seller or any Acquired Company, or any of their assets or properties (including the Projects), except, solely in respect of Seller, which
would not reasonably be expected to have a material adverse effect on Seller’s ability to perform under this Agreement; or (ii) would
reasonably be expected to result in the issuance of an Order restraining, enjoining or otherwise prohibiting or making illegal the consummation
of any of the transactions contemplated by this Agreement. None of Seller or any Acquired Company is subject to any Order which materially
restricts the operation of its business or which would reasonably be expected to have a Material Adverse Effect.

 

(g)            Brokers.
Except as set forth on Schedule 3.01(g) of the Disclosure Schedules, no Person has any claim against Seller or any Acquired
Company for a finder’s fee, brokerage commission or similar payment directly or indirectly in connection with the transactions
contemplated by this Agreement.

 

(h)            Compliance
with Laws. Neither Seller nor any Acquired Company is in material violation of any material Law or Order applicable to the Acquired
Companies or the Projects, or by which any of the Acquired Interests are bound or subject. Notwithstanding the foregoing, compliance
with Environmental Laws is exclusively and solely governed by Section 3.01(p). None of Seller nor any Acquired Company has
received notice from any Governmental Authority of any material violation of any material Law.

 

(i)            Company
and the Acquired Companies.

 

(i)            Each
Acquired Company is a limited liability company validly existing and in good standing under the Laws of Delaware, and has full power
and authority to conduct its business as and to the extent now conducted and to own, use and lease its assets. Each Acquired Company
is duly qualified, licensed or admitted to do business and is in good standing in the applicable jurisdictions specified in Schedule 3.01(i) of
the Disclosure Schedules, which are the only jurisdictions in which the ownership, use or leasing of such Acquired Company’s assets,
or the conduct or nature of its businesses, makes such qualification, licensing or admission necessary, except in those jurisdictions
where the failure to be so qualified, licensed or admitted to do business would not reasonably be expected to result in a Material Adverse
Effect.

 

(ii)            All
of the issued and outstanding Acquired Interests are owned directly, beneficially and of record by Seller free and clear of all
Liens, other than Permitted Equity Encumbrances and except as set forth on Schedule 3.01(i)(ii) of the Disclosure
Schedules. Except as set forth on Schedule 3.01(i)(ii) of the Disclosure Schedules and for the ownership by the Tax
Equity Investor following the consummation of the transactions contemplated by the Tax Equity ECCA, all of the issued and
outstanding equity interests of the Acquired Companies (other than the Target Company) are owned directly or indirectly,
beneficially and of record by the Target Company, free and clear of all Liens, other than Permitted Equity Encumbrances and except
as set forth on Schedule 3.01(i)(ii) of the Disclosure Schedules. All of the equity interests of the Acquired
Companies have been duly authorized, validly issued and are fully paid and non-assessable and have been issued in compliance with
federal and state securities laws.

 

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(iii)            The
name of each director and officer (or similar positions) of each Acquired Company, and the position with such Acquired Company held by
each, are listed in Schedule 3.01(i)(iii) of the Disclosure Schedules.

 

(iv)            Seller
has, prior to the execution of this Agreement, delivered to Purchaser true and complete copies of the Constitutive Documents of each
Acquired Company as in effect on the Execution Date.

 

(v)            Except
as set forth in Part I of Schedule 3.01(i)(v) of the Disclosure Schedules, there are no outstanding Options issued or
granted by, or binding upon, any Acquired Company for any Person to purchase or sell or otherwise acquire or dispose of any equity interest
or other security or interest in any such Acquired Company. Except (I) as set forth in the Tax Equity Agreements, the Financing
Documents or the Constitutive Documents of any Acquired Company, (II) as provided pursuant to this Agreement or the AIP Purchase
Agreement, or (III) as set forth in Part II of Schedule 3.01(i)(v) of the Disclosure Schedules, none of
the Acquired Interests or the membership interests of the Acquired Companies are subject to any voting trust or voting trust agreement,
voting agreement, pledge agreement, buy-sell agreement, right of first refusal, preemptive right or proxy.

 

(vi)            Except
as set forth on Schedule 3.01(i)(vi) of the Disclosure Schedules, no Acquired Company has any subsidiaries, equity interests,
interests in joint ventures or general or limited partnerships or other investment or portfolio assets of a similar nature.

 

(vii)            Except
as set forth on Schedule 3.01(i)(vii) of the Disclosure Schedules, no Acquired Company conducts: (A) any
business other than the development, ownership, operation and management of either or both Projects; or (B) any operations
other than those incidental to the ownership, operation, and management of either or both Projects.

 

(viii)            The
books and records of the each Acquired Company are: (A) in all material respects, accurate and complete and have been maintained
in accordance with good business practices; and (B) state in reasonable detail and accurately and fairly reflect the activities
and transactions of such Acquired Company.

 

(ix)            (A) The
execution and delivery by Seller of the Assignment of Membership Interests; and (B) if applicable, the delivery of certificates
representing the Acquired Interests, duly endorsed for transfer to Purchaser or accompanied by one or more membership interest powers
duly endorsed for transfer to Purchaser, will transfer to Purchaser good, valid and marketable title to the Acquired Interests, free
and clear of all Liens, other than Permitted Equity Encumbrances.

 

(j)            No
Undisclosed Liabilities.

 

(i)            No
Acquired Company has any material liability or obligation that would be required to be disclosed on a balance sheet prepared in
accordance with GAAP, except for the liabilities and obligations of the Acquired Companies: (i) incurred in the ordinary
course of business consistent with past practice; (ii) that constitute amounts payable under the Company Contracts
expressly provided for under existing Company Contracts that have not arisen from a breach thereof or thereunder;
(iii) under the Financing Documents; or (iv) as set forth in Schedule 3.01(j) of
the Disclosure Schedules.

 

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(ii)            All
of the Indebtedness of the Company and each Acquired Company, other than Indebtedness under the Financing Documents, is listed on Schedule 3.01(j) of
the Disclosure Schedules.

 

(k)            Taxes.
Except as disclosed on Schedule 3.01(k) of the Disclosure Schedules, since the date of formation of each Acquired Company,
as applicable:

 

(i)            All
federal and all other material Tax Returns required to be filed by or with respect to each such Acquired Company (or income attributable
thereto) have been timely filed with the appropriate Governmental Authorities in all jurisdictions in which such Tax Returns are required
to be filed. Such Tax Returns are true, correct and complete in all material respects to the extent such Tax Returns relate to any Acquired
Company (or income attributable thereto), and Seller, Affiliates of Seller, and the Acquired Companies have paid, or made adequate provisions
for the payment of, all Taxes, assessments and other charges due or claimed to be due (regardless of whether shown on any Tax Return)
from any such Acquired Company or for which any Acquired Company or Purchaser could be held liable.

 

(ii)            There
are no: (A) Actions or Proceedings currently pending or threatened in writing against the Acquired Companies or related to
their business operations by any Governmental Authority for the assessment or collection of Taxes; (B) audits or other examinations
of any Tax Return of the Acquired Companies (or income attributable thereto) in progress nor has Seller, any Affiliate of Seller or the
Acquired Companies been notified in writing of any request for examination with respect to the Acquired Companies; (C) claims
for assessment or collection of Taxes that have been asserted in writing against Seller or any Affiliate of Seller with respect to the
Acquired Companies (or the income attributable thereto); or (D) matters under discussion with any Governmental Authority
regarding claims for assessment or collection of Taxes against the Acquired Companies (or income attributable thereto). There are no
outstanding agreements, waivers or consents extending the statutory period of limitations applicable to any Tax of the Acquired Companies,
and, except as set forth on Schedule 3.01(k) of the Disclosure Schedules, no Acquired Company has requested any extension
of time within which to file any Tax Return. There are no Liens for unpaid or delinquent Taxes, assessments or other charges or deposits
with respect to the Acquired Interests, other than Liens for Taxes not yet due or delinquent or being contested in good faith by appropriate
proceedings and for which adequate reserves on financial statements have been established.

 

(iii)            Seller
is not, and its owner for U.S. federal income tax purposes is not, a “foreign person” within the meaning of Code Sections
1445(b)(2) and 1446(f).

 

(iv)            The
Acquired Companies have been properly classified for federal and state income Tax purposes as disregarded entities or partnerships under
Treasury Regulations Section 301.7701-2 and -3 and neither Seller nor any Affiliate of Seller has made or caused to be made any
election for any Tax purposes to classify any Acquired Company other than as a disregarded entity or partnership.

 

(v)            No
Acquired Company is a party to any Tax allocation, Tax sharing or other similar agreement, other than customary Tax indemnification or
other provisions contained in any credit or other ordinary course commercial agreements the primary purpose of which is not Taxes (including,
for the avoidance of doubt, the Material Contracts and the Tax Equity Documents).

 

    21

     

    

 

(vi)            The
Target Company has never entered into or been a party to any “listed transaction,” as defined in Section 1.6011-4(b)(2) of
the Treasury Regulations.

 

(vii)            None
of the property owned by any Acquired Company is “tax exempt use property” within the meaning of Section 168(h) of
the Code or “tax exempt bond financed property” within the meaning of Code Section 168(g)(5) (for the avoidance
of doubt, other than as a result of Purchaser’s treatment as an indirect owner of such property).

 

(l)            Employees.
No Acquired Company has, nor has ever had, any employees or any Liability, actual or contingent, with respect to any Employee Plan.

 

(m)            Company
Contracts.

 

(i)            Schedule 3.01(m)(i) of
the Disclosure Schedules contains a true, correct and complete list of all material Contracts, and amendments, modifications and supplements
thereto, to which any Acquired Company is a party or by which any Acquired Company or any of its assets or properties are bound (collectively,
the “Company Contracts”) including the following:

 

(A)            all
Contracts for the purchase, exchange or sale of electric power, capacity, ancillary services or Environmental Attributes;

 

(B)            all
Contracts for the transmission of electric power;

 

(C)            all
interconnection Contracts for electricity;

 

(D)            all
Contracts with Seller, AIP Member or any of their respective Affiliates (other than any other Acquired Company); and

 

(E)            all
Contracts relating to the Acquired Interests or membership interests of any Acquired Company.

 

(ii)            Seller
has provided Purchaser with, or access to, true, correct and complete copies of all the Company Contracts required to be disclosed on
Schedule 3.01(m)(i) of the Disclosure Schedules and the agreements described on Schedule 3.01(y) of the
Disclosure Schedules, and all amendments, modifications and supplements thereto. Each Company Contract constitutes the legal, valid,
binding and enforceable obligation of the Acquired Company party thereto and to the Knowledge of Seller, the other parties thereto, except
as may be limited by: (A) bankruptcy, insolvency, reorganization, moratorium and other similar laws of general application
affecting the rights and remedies of creditors; and (B) general principles of equity (regardless of whether such enforcement
is considered in a proceeding in equity or at law). Each Company Contract is in full force and effect.

 

(iii)            Except
as disclosed on Schedule 3.01(m)(iii) of the Disclosure Schedules, no Acquired Company or, to the Knowledge of Seller,
the other parties thereto, is in material violation or material breach of or material default under any Company Contract to which it
is a party.

 

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(iv)            None
of Seller or any Acquired Company has given or received notice or other written communication regarding any actual, alleged, possible
or potential material violation or material breach with respect to any material provision of, or any material default under, or intent
to cancel or terminate, any Company Contract, which violation, breach or default has not been remedied, cured or waived or for which
any such intent to cancel or terminate has been withdrawn.

 

(n)            Real
Property.

 

(i)            Schedule
3.01(n)(i) of the Disclosure Schedules lists all Real Property Rights of any Acquired Company, the real property in which any
Acquired Company has Real Property Rights, and appurtenances thereto (collectively, the “Land”). Each Project Company
has a good and valid leasehold, easement, access, license, or right of way interests, as applicable, in the Land required or associated
with the applicable Project, free and clear of all Liens, except: (A) for Permitted Exceptions; (B) as disclosed in the applicable
Title Proforma delivered by Seller to Purchaser on or before the Closing Date; and (C) as disclosed in the applicable Title Policy.

 

(ii)            Except
as set forth on Schedule 3.01(n)(ii) of the Disclosure Schedules, no Acquired Company has entered into any assignment, lease,
license, sublease, easement or other agreement granting to any Person any right to the possession, use, occupancy or enjoyment of the
Land.

 

(iii)            No
Acquired Company has caused or suffered to exist any easement, right-of-way, covenant, condition, restriction, reservation, license,
agreement or other similar matter that would materially interfere with the operation of the Projects or the business of the Acquired
Companies in respect of the Real Property Rights, except as set forth on Part I of Schedule 3.01(n)(iii) of the Disclosure
Schedules, in the applicable Title Proforma or in the applicable Title Policy.

 

(iv)            Except
as set forth on Part II of Schedule 3.01(n)(iii) of the Disclosure Schedules, the Real Property Rights are all the real
property rights necessary for the Acquired Companies to develop, construct, own and operate the Projects.

 

(v)            None
of Seller or any Acquired Company has received any written notice of: (A) condemnation, eminent domain or similar governmental
proceeding materially affecting, individually or in the aggregate, the Projects; or (B) zoning, ordinance, building, fire,
health or safety code violations materially affecting the Projects.

 

(o)            Title
Policy. Schedule 3.01(o) of the Disclosure Schedules lists all Real Property Rights insured by the Title Policies (the
 “Insured Property Rights”). As of the Execution Date, Seller has provided to Purchaser a true and correct copy of
the Execution Date Title Policies covering the Insured Property Rights. As of the Closing Date, Seller has provided to Purchaser copies
of the pro forma Closing Date Endorsements, and true and correct copy of the Title Pro Formas covering the Insured Property Rights. The
Insured Property Rights are subject only to: (i) Permitted Exceptions; (ii) matters disclosed in the Title Policies;
and (iii) matters consented to in writing by Purchaser (which consent shall not be unreasonably withheld, conditioned or
delayed).

 

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(p)            Environmental.

 

(i)            Except
as set forth on Schedule 3.01(p)(i) of the Disclosure Schedules, the Acquired Companies are in compliance with all Environmental
Laws, except to the extent that any such non-compliance would not reasonably be expected to have a Material Adverse Effect. There is
no material violation of any Environmental Law or other material Liability arising under any Environmental Law with respect to the Projects
or the Land.

 

(ii)            There
are no Actions or Proceedings pending or, to the Knowledge of Seller, threatened as of the Execution Date against Seller (solely in respect
of the Projects or the Acquired Companies), or the Acquired Companies, relating to any material violation of Environmental Law. None
of Seller or any Acquired Company has received written notice from any Governmental Authority of any material violation of any Environmental
Law in respect of the Projects or the Acquired Companies (other than those violations that have been resolved or remedied).

 

(iii)            Schedule 3.01(p)(iii) of
the Disclosure Schedules sets forth all material Permits required pursuant to any Environmental Law to be acquired or held by or for
the benefit of Seller or Acquired Companies for the development, construction, ownership, use or operation of the Land or the business
of the Acquired Companies as currently conducted. Except as set forth in Schedule 3.01(p)(iii) of the Disclosure Schedules,
such Permits have been obtained in a timely manner and are presently maintained in full force and effect in the name of an Acquired Company.

 

(iv)            Except
as set forth on Schedule 3.01(p)(iv) of the Disclosure Schedules, to the Knowledge of Seller, there has been no Release of
Hazardous Substances at or from the Projects in violation of Environmental Laws or Permits required by or issued pursuant to any Environmental
Law for the development, construction, ownership, use or operation of the Land or the business of the Acquired Companies as currently
conducted that would be reasonably expected to trigger any obligation of Seller or the Acquired Companies under Environmental Laws to
report, investigate, remove or remediate such Release, or that would be reasonably expected to result in a material liability or interfere
materially with the development, construction, ownership or operations of any Project.

 

(v)            Seller
has made available to Purchaser all material environmental reports, assessments and documents that are in the possession of Seller or
the Acquired Companies and that relate to actual or potential material Liabilities under Environmental Laws with respect to the Projects
or the Land.

 

(q)            Permits.

 

(i)            Schedule 3.01(q)(i) of
the Disclosure Schedules sets forth all material Permits required pursuant to any Law to be acquired or held by or for the benefit of
Seller or the Acquired Companies in connection with the development, construction, ownership, maintenance, or operation of the Projects,
except for those required by the Environmental Laws, which are exclusively and solely governed by Section 3.01(p), or those
of a type that are ministerial in nature and routinely granted on application and for which none of Seller or the Acquired Companies
has reason to believe will not be obtained in due course. Except as set forth in Schedule 3.01(q)(i) of the Disclosure
Schedules, such Permits have been obtained in a timely manner and are presently maintained in full force and effect in the name of an
Acquired Company.

 

(ii)            Except
as set forth on Schedule 3.01(q)(ii) of the Disclosure Schedules, and except as relates to compliance with Environmental
Laws which is exclusively and solely governed by Section 3.01(p), Seller and the Acquired Companies are in material compliance
with each such Permit, and in compliance with the FPA and PUHCA, except where the failure to so comply would not reasonably be expected
to have a Material Adverse Effect, and have received no written notice of violation or noncompliance from any Governmental Authority
which violation or noncompliance has not been remedied or any written notice or claim asserting or alleging that any such Permit: (A) is
not in full force and effect; or (B) is subject to any Action or Proceeding or unsatisfied condition, in each case of clause
(A) and (B) which has not been remedied or resolved.

 

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(iii)            There
are no proceedings pending or, to the Knowledge of Seller, threatened which would reasonably be expected to result in the modification,
revocation or termination of any material Permit set forth in Schedule 3.01(q)(i) of the Disclosure Schedules.

 

(r)            Affiliate
Transactions. Except for: (i) transactions (A) disclosed on Schedule 3.01(r) of the Disclosure
Schedules; or (B) under the Company Contracts disclosed on Schedule 3.01(m)(i) of the Disclosure Schedules;
and (ii) this Agreement, there are no existing or pending transactions, Contracts or Liabilities between or among any Acquired
Company on the one hand, and Seller or any of Seller’s Affiliates (other than any other Acquired Company), or any officer or director
of Seller or any of Seller’s Affiliates, on the other hand.

 

(s)            Intellectual
Property.

 

(i)            To
the Knowledge of Seller, except as set forth in Schedule 3.01(s)(i) of the Disclosure Schedules, there is not now and
has not been during the past three (3) years any infringement or misappropriation by Seller of any valid patent, trademark,
trade name, servicemark, copyright, trade secret or similar intellectual property which relates to the Acquired Interests or the assets
of the Acquired Companies and which is owned by any third party, and there is not now any existing or, to the Knowledge of Seller, threatened
claim against Seller of infringement or misappropriation of any patent, trademark, trade name, servicemark, copyright trade secret or
similar intellectual property which directly relates to the Acquired Interests or the assets of the Acquired Companies and which is owned
by any third party and which, in each case, would reasonably be expected to have a Material Adverse Effect.

 

(ii)            Each
Acquired Company owns or has the valid right to use pursuant to license, sublicense, agreement or permission, in each case free and clear
of all Liens other than Permitted Liens, any intellectual property necessary for it to conduct its business as currently conducted, other
than such intellectual property the absence of which ownership or the right to use would not, individually or in the aggregate, reasonably
be expected to have a Material Adverse Effect.

 

(iii)            There
is no pending or, to the Knowledge of Seller, threatened claim by Seller against others for infringement or misappropriation of any trademark,
trade name, servicemark, copyright, trade secret or similar intellectual property owned by Seller and which is utilized in the conduct
of the business of the Acquired Companies that would reasonably be expected to have a Material Adverse Effect.

 

(t)            Insurance.
Schedule 3.01(t) of the Disclosure Schedules contains a true, correct and complete list of all insurance policies as
of the Execution Date that insure the assets and properties and business of the Acquired Companies or affect or relate to the ownership
of any of the assets and properties the Acquired Companies. Seller has delivered to Purchaser detailed summaries of all the insurance
policies set forth on Schedule 3.01(t) of the Disclosure Schedules, all of which are in full force and effect. None of Seller
or any Acquired Company has received any notice with respect to the assets and properties and business of the Acquired Companies from
any insurer under any insurance policy applicable to the assets and properties and business of the Acquired Companies disclaiming coverage,
reserving rights with respect to a particular claim or such policy in general or canceling any such policy. All premiums due and payable
under all such policies have been paid and the terms of such policies have been complied with by Seller and the Acquired Companies, as
applicable, in all material respects. The insurance maintained by or on behalf of the Acquired Companies is adequate to comply with all
Laws and Company Contracts. Except as set forth on Schedule 3.01(t) of the Disclosure Schedules, there are no pending insurance
claims. Seller expects insurance coverage for property damage and business interruption for the Projects as described in the property
and casualty policies set forth on Schedule 3.01(t) of the Disclosure Schedules to continue in all material respects after
the Closing Date. Furthermore, at the expiration of such policies, Seller expects the aforementioned policies to be renewed with terms
substantially identical to those described in the policies above.

 

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(u)            Balance
Sheets. Seller has previously delivered to Purchaser true, correct and complete copies of the unaudited balance sheets (the “Balance
Sheets”) of the Acquired Companies, on a stand-alone basis, for the quarter ended September 30, 2022 (the “Balance
Sheets Date”). The Balance Sheets: (i) fairly present, in all material respects, the consolidated or stand-alone
financial position and results, as applicable, of operations of the Acquired Companies covered thereby, as of the Balance Sheets Date;
(ii) have been prepared in accordance with GAAP consistently applied during the period(s) involved except as otherwise
noted therein, subject to normal and recurring year-end adjustments that have not been and are not expected to be material in amount;
and (iii) have been prepared from the books and records of the Acquired Companies covered thereby.

 

(v)            Absence
of Changes. Except as set forth on Schedule 3.01(v) of the Disclosure Schedules, between the Balance Sheets Date (except
as otherwise indicated in subparagraph (vii) below) and the Execution Date, there has not been:

 

(i)            any
repurchase, redemption or other acquisition of any equity interests of any Acquired Company or any interests convertible into equity
interests of any Acquired Company or any other change in the capitalization or ownership of any Acquired Companies;

 

(ii)            any
merger of any Acquired Company into or with any other Person, consolidation of any Acquired Company with any other Person or acquisition
by any Acquired Company of all or substantially all of the business or assets of any Person;

 

(iii)            any
action by any Acquired Company or any commitment entered into by any member of any Acquired Company with respect to or in contemplation
of any liquidation, dissolution, recapitalization, reorganization or other winding up of its business or operations;

 

(iv)            any
material change in accounting policies or practices (including any change in depreciation or amortization policies) of any Acquired Company,
except as required under GAAP;

 

(v)            any
sale, lease (as lessor), transfer or other disposal of (including any transfers to any of its Affiliates), or mortgage or pledge, or
imposition of any Lien on, any of assets or properties of any Acquired Company, or interests therein, other than: (A) inventory
and personal property sold or otherwise disposed of in the ordinary course of business; and (B) Permitted Liens;

 

(vi)            any
creation, incurrence, assumption or guarantee, or agreement to create, incur, assume or guarantee any Indebtedness for borrowed money
or entry into any “keep well” or other agreement to maintain the financial condition of another Person, or any arrangement
having the economic effect of any of the foregoing (including entering into, as lessee, any capitalized lease obligations as defined
in Statement of Financial Accounting Standards No. 13), in each case, by any Acquired Company; or

 

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(vii)            any
event, circumstance, condition or change relating or with respect to any Acquired Company that would reasonably be expected to have,
individually or in the aggregate, a Material Adverse Effect.

 

(w)            Bank
Accounts. Schedule 3.01(w) of the Disclosure Schedules sets forth the names and locations of banks, trust companies and
other financial institutions at which any Acquired Company maintains bank accounts or safe deposit boxes, in each case listing the type
of account, the account number, and the names of all Persons authorized to draw thereupon or who have access thereto.

 

(x)            Regulatory
Status.

 

(i)            As
of the date that a Project Company first delivers test energy, such Project Company shall be an “Exempt Wholesale Generator.”
As an Exempt Wholesale Generator, such Project Company is exempt from PUHCA to the extent provided for in 18 C.F.R. § 366.7(e),
except as otherwise may be applicable under Section 1265 of PUHCA.

 

(ii)            As
of the date a Project Company first delivers test energy, each Acquired Company that directly or indirectly owns any equity interests
in such Project Company will become a “holding company,” as defined in PUHCA, solely with respect to its direct or indirect,
as applicable, ownership of such Project Company and, therefore, each such Acquired Company is entitled to the exemptions and waivers
set forth in at 18 C.F.R. § 366.3(a). Such Project Company is not a “holding company.”

 

(iii)            As
of the Closing Date, Purchaser, solely by virtue of its indirect ownership of each Project Company, will not be subject to, or will
not lose the exemption from: (A) regulation under PUHCA as an “electric utility company,” a “public
utility company,” or a “holding company,” or an “affiliate” or “subsidiary company” as
defined under PUHCA, except to the extent such regulation under PUHCA applies to a “holding company” solely with respect
to an Exempt Wholesale Generator; (B) as a “public utility” under the FPA; or (C) regulation by
the CPUC as a “public utility” or an “electrical corporation.”

 

(iv)            No
Acquired Company is subject to regulation as a “public utility” as that term is defined under FPA Section 201(e). As
of the date that a Project Company first delivers test energy, such Project Company shall have received MBR Authorization. No Acquired
Company is subject to regulation by the CPUC as a “public utility” or, other than such Project Company, an “electrical
corporation.”

 

(y)            Support
Obligations.

 

(i)            Part I.A
and Part I.B of Schedule 3.01(y) of the Disclosure Schedules sets forth a true, complete and correct list of all the
Support Obligations for which Purchaser shall be required to use commercially reasonable efforts to replace and/or effect the release
of pursuant to Section 5.07(a).

 

(ii)            Part II
of Schedule 3.01(y) of the Disclosure Schedules sets forth a true, complete and correct list of all the Support Obligations
for which Purchaser shall not be required to replace or effect the release of pursuant to Section 5.07(a).

 

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(z)            Reports.
Seller has made available to Purchaser true, complete and correct copies of all Reports delivered pursuant to the Tax Equity ECCA as
of the Execution Date. As of the Closing Date, Seller has made available to Purchaser true, correct and complete copies of all Reports
that were not made available to Purchaser on the Execution Date.

 

(aa)         Projections.
Seller has prepared the financial projections for the Acquired Companies, which are reflected in the Base Case Model (the “Projections”),
in good faith. To the Knowledge of Seller, the Projections: (i) are based on reasonable assumptions; (ii) reflect
all material payments to be made by the Acquired Companies to Seller or its Affiliates; and (iii) as to operation and maintenance
expenses, are consistent in all material respects with Prudent Industry Practices.

 

(bb)         Solvency.
There are no bankruptcy, reorganization or receivership proceedings pending against, being contemplated by or, to the Knowledge of Seller,
threatened in writing against, Seller or any Acquired Company.

 

(cc)         No
Other Warranties. Except for the warranties set forth herein, the Acquired Interests are
being sold hereunder on an “as is,” “where is” basis. The warranties set forth herein are exclusive and are in
lieu of all other warranties, whether statutory, written or oral, express or implied; Seller provides no other warranties with respect
to the Acquired Interests, the Projects, the ACQUIRED COMPANIES, or the assets of the
ACQUIRED COMPANIES, including implied warranties of merchantability and fitness for a
particular purpose, and warranties arising from course of dealing or usage of trade, all of which are expressly disclaimed. Except as
expressly set forth in Section 3.01, Seller makes no representation or warranty to Purchaser with respect to any financial
projections, forecasts or forward looking statements of any kind or nature whatsoever relating to the Projects, the ACQUIRED COMPANIES,
the assets of the ACQUIRED COMPANIES or the Acquired Interests.

 

3.02.            Representations
and Warranties with Respect to Purchaser. Purchaser hereby represents and warrants to Seller, as of the Execution Date and the
Closing Date, as follows (provided that any representation and warranty set forth in this Section 3.02 and expressly
stated to be made only as of a specified date shall be made solely as of such date):

 

(a)            Existence. Purchaser
is a limited liability company duly formed, validly existing and in good standing under the Laws of the State of Delaware. Purchaser
has full power and authority to execute and deliver this Agreement and each other agreement required to be executed by it pursuant
to the terms hereof, to perform its obligations hereunder and thereunder and to consummate the transactions contemplated hereby and
thereby and to own or lease its assets and properties and to carry on its business as currently conducted.

 

(b)            Authority.
All actions or proceedings necessary to authorize the execution and delivery by Purchaser of this Agreement, and the performance
by Purchaser of its obligations hereunder, have been duly and validly taken. This Agreement has been duly and validly executed and delivered
by Purchaser and constitutes the legal, valid and binding obligations of Purchaser enforceable against Purchaser in accordance with its
terms, except as the same may be limited by bankruptcy, insolvency, reorganization, fraudulent conveyance, arrangement, moratorium or
other similar Laws relating to or affecting the rights of creditors generally, or by general equitable principles.

 

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(c)            No
Consent. Except as disclosed on Schedule 3.02(c) of the Disclosure Schedules, and except as would not, individually
or in the aggregate, reasonably be expected to adversely affect the ability of Purchaser to consummate the transactions contemplated
by this Agreement or to perform its obligations hereunder, the execution, delivery and performance by Purchaser of this Agreement does
not require Purchaser to obtain any consent, approval or action of or give any notice to any Person as a result or under any terms, conditions
or provisions of any Contract by which it is bound.

 

(d)            No
Conflicts. The execution, delivery and performance of this Agreement by Purchaser does not and will not: (i) conflict
with, result in a breach of, or constitute a default under, Purchaser’s Constitutive Documents, or any material Contract to which
Purchaser is a party; (ii) result in the creation of any Lien upon any of the assets or properties of Purchaser; or (iii) accelerate
or modify, or give any party the right to accelerate or modify, the time within which, or the terms under which, any duties or obligations
are to be performed by Purchaser, or any rights or benefits are to be received by any Person, under any material Contract to which Purchaser
is a party.

 

(e)            Permits
and Filings. Except as disclosed on Schedule 3.02(e) of the Disclosure Schedules, no Permit is required on the part
of Purchaser in connection with the execution, delivery and performance of this Agreement, the consummation of the transactions contemplated
hereby or thereby or any borrowing or other action by Purchaser or any of its Affiliates in connection with obtaining or maintaining
sufficient financing to provide the payment of the Purchase Price.

 

(f)            Legal
Proceedings. There are no Actions or Proceedings pending or, to the knowledge of Purchaser, threatened as of the Execution Date against
Purchaser that affects Purchaser or any of its assets or properties which would reasonably be expected to result in the issuance of an
Order restraining, enjoining or otherwise prohibiting or making illegal the consummation of any of the transactions contemplated by this
Agreement.

 

(g)           Purchase
for Investment. Purchaser: (i) is acquiring the Acquired Interests for its own account and not with a view to distribution;
(ii) is an “accredited investor” as such term is defined in Rule 501(a) under the Securities Act of
1933; (iii) has sufficient knowledge and experience in financial and business matters so as to be able to evaluate the merits
and risk of an investment in the Acquired Interests and is able financially to bear the risks thereof; and (iv) understands
that the Acquired Interests will, upon purchase, be characterized as “restricted securities” under state and federal securities
laws and that under such laws and applicable regulations the Acquired Interests may be resold without registration under such laws only
in certain limited circumstances. Purchaser agrees that it will not sell, convey, transfer or dispose of the Acquired Interests, unless
such transaction is made pursuant to an effective registration statement under applicable federal and state securities laws or an exemption
from registration requirements of such securities laws.

 

(h)            Brokers.
Except as set forth on Schedule 3.02(h) of the Disclosure Schedules, no Person has any claim against Purchaser for a finder’s
fee, brokerage commission or similar payment directly or indirectly in connection with the transactions contemplated by this Agreement.

 

(i)            Governmental
Approvals. Except as set forth on Schedule 3.02(i) of the Disclosure Schedules or which have already been obtained,
no Governmental Approval is required on the part of Purchaser in connection with the execution, delivery and performance of this Agreement
or the consummation of the transactions contemplated hereby.

 

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(j)            Compliance
with Laws. Purchaser is not in material violation of any Law except where any such material violation would not in the aggregate
reasonably be expected to have a material adverse effect on Purchaser’s ability to satisfy its obligations under this Agreement.

 

(k)            Due
Diligence. Purchaser, or its Representatives, have had the opportunity to conduct all such due diligence investigations of the Acquired
Interests, the Acquired Companies and the Projects as they deemed necessary or advisable in connection with entering into this Agreement
and the related documents and the transactions contemplated hereby and thereby. Purchaser has
relied solely on its independent investigation and the representations and warranties made by Seller in Section 3.01 in making
its decision to acquire the Acquired Interests and has not relied on any other statements or advice from Seller or its Representatives.

 

Article 4

CONDITIONS PRECEDENT

 

4.01.      Closing
Date Conditions Precedent of the Parties. The obligations of each Party to consummate the Closing are subject to the fulfillment
(or waiver by the applicable Party), at or before the Closing, by the applicable Party of each of the following conditions:

 

(a)            Tax
Equity Financing. The Initial Funding Date with regards to the Projects under the Tax Equity ECCA shall have occurred.

 

(b)            Approvals/Consents.
All consents of Purchaser specified on Schedule 3.02(c) of the Disclosure Schedules and all approvals of Purchaser specified
in Schedule 3.02(i) of the Disclosure Schedules shall have been obtained by Purchaser; and all Seller Approvals and
Seller Consents shall have been obtained by Seller and shall in each case be in full force and effect.

 

(c)            Litigation.
No Order shall have been entered which restrains, enjoins or otherwise prohibits or makes illegal the consummation of any of the transactions
contemplated by this Agreement and no Action or Proceeding shall have been instituted before any Governmental Authority of competent
jurisdiction seeking to restrain, enjoin or otherwise prohibit or make illegal the consummation of any of the transactions contemplated
by this Agreement.

 

(d)            Material
Adverse Effect. There will not exist on the Closing Date any condition or fact that, individually or in the aggregate, has or would
reasonably be expected to result in a Material Adverse Effect.

 

(e)            AIP
Purchase Agreement. AIP Member shall, simultaneously with or prior to the Closing, have closed the acquisition of the AIP Interests
pursuant to the AIP Purchase Agreement.

 

4.02.       Closing
Date Conditions Precedent of the Purchaser. The obligations of the Purchaser to consummate the Closing are subject to the fulfillment
(or waiver by the Purchaser ), at or before the Closing, by the applicable Party of each of the following conditions:

 

(a)            Seller
Representations and Warranties. The representations and warranties made by Seller in this Agreement shall be true and correct in
all material respects (except that (i) each Fundamental Representation made by Seller shall be true and correct in all respects
and (ii) any of such representations and warranties that are qualified by materiality, including by reference to Material
Adverse Effect, shall be true and correct in all respects) on and as of the Closing Date as though such representations and
warranties were made on and as of the Closing Date, except to the extent such representations and warranties expressly relate to an
earlier date, in which case as of such earlier date.

 

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(b)            Seller
Covenants. The covenants and obligations required by this Agreement to be performed or complied with by Seller at or before the Closing
Date have been duly performed or complied with in all material respects.

 

(c)            Withholding
Certificate. Seller shall have delivered to Purchaser a valid, properly executed IRS Form W-9 (or, if Seller is an entity treated
as disregarded as separate from its owner for federal income tax purposes, Seller’s regarded owner for federal income tax purposes);
provided that Purchaser’s or the Company’s sole right if Seller fails to provide such IRS Form W-9 shall be to
make appropriate withholdings under Sections 1445 and 1446 of the Code.

 

(d)            Certificates.
Seller shall have delivered to Purchaser: (A) a certificate, dated as of the Closing Date and executed by an authorized officer
of Seller substantially in the form and to the effect of Exhibit D; (B) a certificate, dated as of the Closing
Date and executed by the Secretary of Seller substantially in the form and to the effect of Exhibit E; (C) a
commitment by the Title Company to issue the Closing Date Endorsements; and (D) copies of all recorded documents referred
to, or listed as exceptions to title in, the Closing Date Endorsements.

 

(e)            A&R
LLCA. Simultaneously with or prior to the Closing, AIP Member and Clearway Renew LLC shall have executed and delivered the A&R
LLCA.

 

(f)            Tax
Equity Cross Guaranties. Simultaneously with or prior to the Closing, (i) AIP Parent shall have executed, and delivered to Purchaser,
the AIP Tax Equity Cross Guaranty, and (ii) Seller Parent shall have executed, and delivered to Purchaser, the Seller Tax Equity
Guaranty.

 

4.03.       Closing
Date Conditions Precedent of the Seller. The obligations of the Seller to consummate the Closing are subject to the fulfillment
(or waiver by the Seller), at or before the Closing, by the applicable Party of each of the following conditions:

 

(a)            Purchaser
Representations and Warranties. The representations and warranties made by Purchaser in this Agreement shall be true and correct
in all material respects (except (i) each Fundamental Representation made by Purchaser shall be true and correct in all respects
and (ii) any of such representations and warranties that are qualified by materiality, including by reference to Material Adverse
Effect, shall be true and correct in all respects) on and as of the Closing Date as though such representations and warranties were made
on and as of the Closing Date, except to the extent such representations and warranties expressly relate to an earlier date, in which
case as of such earlier date.

 

(b)            Purchaser
Covenants. The covenants and obligations required by this Agreement to be performed or complied with by Purchaser at or before the
Closing Date have been duly performed or complied with in all material respects.

 

(c)            Certificates.
Purchaser shall have delivered to Seller: (A) a certificate, dated as of the Closing Date and executed by an authorized officer
of Purchaser substantially in the form and to the effect of Exhibit F; and (B) a certificate, dated as of the
Closing Date and executed by the Secretary of Purchaser substantially in the form and to the effect of Exhibit G.

 

(d)            A&R
LLCA. Simultaneously with or prior to the Closing, Purchaser shall have executed and delivered the A&R LLCA.

 

(e)            Purchaser
Tax Equity Guaranty. Simultaneously with or prior to the Closing, Purchaser Parent shall have executed, and delivered to the Tax
Equity Investor, the Purchaser Tax Equity Guaranty.

 

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Article 5

Certain Covenants

 

5.01.            Regulatory
and Other Permits. Following the Execution Date, Seller shall, or shall cause the Acquired Companies to, as promptly as practicable,
use commercially reasonable efforts to make all filings with all Governmental Authorities and other Persons required by Seller or its
Affiliates to consummate the transactions contemplated hereby and shall use commercially reasonable efforts to obtain as promptly as
practicable all Permits and all consents, approvals or actions of all Governmental Authorities and other Persons necessary to consummate
the transactions contemplated hereby, including the Seller Approvals and Seller Consents. Without limiting the generality of the foregoing,
prior to the first sale of test power from each Project, the applicable Project Company shall have obtained EWG status. Seller shall
promptly provide Purchaser with a copy of any filing, Order or other document delivered to or received from any Governmental Authority
or other Person relating to the obtaining of any such Permits, consents, approvals or actions of Governmental Authorities and other Persons
for any Project. Seller shall provide a status report to Purchaser upon the reasonable request of Purchaser. Seller shall use commercially
reasonable efforts not to cause its Representatives, or the Acquired Companies or other Affiliates of Seller or any of their respective
Representatives, to take any action which would reasonably be expected to materially and adversely affect the likelihood of any approval
or consent required to consummate the transactions contemplated hereby. Seller shall bear its own costs and legal fees contemplated by
this Section 5.01.

 

5.02.            Access
to Information. From the Execution Date and continuing until the earlier of the termination of this Agreement or the Closing
Date (the “Interim Period”), Seller shall at all reasonable times and upon reasonable prior notice during regular
business hours make the properties, assets, books and records pertaining to the Acquired Companies, the Acquired Interests or the Projects
reasonably available for examination, inspection and review by Purchaser and its Representatives; provided that: (a) Purchaser
and its Representatives shall be subject to customary confidentiality undertakings with respect to any such information or access made
available; (b) for any site visit or access, Purchaser and its Representatives will agree to comply with all safety and other
policies and procedures disclosed to it while conducting such visit or access; and (c) Purchaser’s and its Representatives’
inspections and examinations shall not unreasonably disrupt the normal operations of Seller, the Acquired Companies or the Projects and
shall be at Purchaser’s sole cost and expense; and provided further that neither Purchaser, nor any of its Affiliates or
Representatives, shall conduct any intrusive environmental site assessment or activities with respect to the Acquired Companies or their
properties without the prior written consent of Seller.

 

5.03.            Notification
of Certain Matters. Seller shall have the right to deliver to Purchaser, not later than ten (10) Business Days prior to
the Closing Date, a supplement to the Disclosure Schedules (the “Closing Date Schedule Supplement”) to disclose any
matter arising after the date hereof, that, if existing at or arising prior to the date hereof, would have been required to be set forth
in the Disclosure Schedules for the representations and warranties of Seller set forth herein to be true and correct as of the date hereof,
and the Disclosure Schedules shall be deemed to be modified, supplemented and amended to include the items listed in the Closing Date
Schedule Supplement for all purposes hereunder, other than to cure any breach or inaccuracy of any representation or warranty of Seller
contained in this Agreement for purposes of Article 6. If any item set forth in the Closing Date Schedule Supplement discloses
any event, circumstance or development that, individually or in the aggregate when taken together with other previously disclosed events,
circumstances or developments, would prevent any of the conditions set forth in ‎Section 4.01 (other than those conditions
related to the bring-down of representations and warranties) to be satisfied, then Purchaser may terminate this Agreement by delivering
notice of termination to Seller within ten (10) Business Days of its receipt of the Closing Date Schedule Supplement; provided
that if Purchaser does not deliver such notice within such ten (10) Business Day period, then Purchaser shall be deemed to have
irrevocably waived its right to terminate this Agreement with respect to such item and its right to not consummate the transactions contemplated
hereby with respect to such item, in each case, after giving effect to such item under any of the conditions set forth in Section 4.01,
but shall not be deemed to have irrevocably waived its right to indemnification under ‎Section 6.01 with respect to
such item (provided that updates shall not give rise to any right of indemnification to the extent such updates are solely to
reflect the execution of any Tax Equity Document pursuant to and in accordance with Section 5.12).

 

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5.04.       Conduct
of Business.

 

(a)            During
the Interim Period, and subject to Section 5.04(b), Seller shall cause each Acquired Company to operate and carry on its
business in the ordinary course and substantially as operated prior to the Execution Date. Without limiting the foregoing, and subject
to Section 5.04(b), Seller shall cause each Acquired Company to perform in all material respects the Company Contracts to
which such Acquired Companies is a party and use commercially reasonable efforts consistent with good business practice to preserve the
goodwill of the suppliers, contractors, lenders, Governmental Authorities, licensors, customers, distributors and others having business
relations with the Acquired Companies.

 

(b)            Without
limiting Section 5.04(a), except: (i) as set forth on Schedule 5.04(b) of the Disclosure Schedules;
(ii) as would not be reasonably likely to cause a Major Project Change (with respect to clauses (F), (G), (I), and (N) of
this Section 5.04(b) only); or (iii) with the express written approval of Purchaser, such approval not to
be unreasonably withheld or delayed, during the Interim Period, Seller shall cause each Acquired Company not to:

 

(A)        transfer
any of the Acquired Interests to any Person or create or suffer to exist any Lien upon the Acquired Interests other than the Permitted
Equity Encumbrances;

 

(B)         issue,
grant, deliver or sell or authorize or propose to issue, grant, deliver or sell, or purchase or propose to purchase, any of its equity
securities (other than the sale and delivery of the Acquired Interests pursuant to this Agreement, the issuance of membership interests
in TE HoldCo pursuant to the Tax Equity ECCA, and the sale of interests in each Pledgor Company pursuant to the TE HoldCo MIPA), options,
warrants, calls, rights, exchangeable or convertible securities, commitments or agreements of any character, written or oral, obligating
it to issue, deliver, sell, repurchase or redeem, or cause to be issued, delivered, sold, repurchased or redeemed, any of its equity
securities (other than this Agreement, the Tax Equity ECCA and the TE HoldCo MIPA);

 

(C)         declare,
set aside or pay any dividends on or make any other distributions in respect of the Acquired Interests, or combine, split or reclassify
any of the Acquired Interests or issue or authorize the issuance of any other securities in respect of, in lieu of or in substitution
for any of the Acquired Interests, other than distributions to Seller of any loan proceeds received under the Financing Agreement (in
accordance therewith) or any other amounts described in any of clauses (i) through (vi) of Section 5.06(a) of the
A&R LLCA;

 

(D)         take
any action or enter into any commitment with respect to or in contemplation of any liquidation, dissolution, recapitalization, reorganization
or other winding up of business or operations;

 

(E)         open
or establish any new accounts with financial institutions, other than as required by the Financing Documents or the Tax Equity Agreements;

 

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(F)         make
any material change in its business or operations, except such changes as may be required to comply with any applicable Law;

 

(G)         make
any material capital expenditures (or enter into any Contracts in respect of material capital expenditures) other than as contemplated
by the Company Contracts or the Tax Equity Agreements;

 

(H)        merge
Company or any Acquired Company into or with any other Person or consolidate Company or any Acquired Company with any other Person;

 

(I)          enter
into any Contract for the purchase of real property or any interests therein, other than as contemplated by the Tax Equity Agreements;

 

(J)          acquire,
or enter into any Contract for any acquisitions (by merger, consolidation, or acquisition of stock or assets or any other business combination),
of any Person or business or any division thereof, other than as contemplated by the Tax Equity Agreements;

 

(K)        sell,
lease (as lessor), transfer or otherwise dispose of (including any transfers to any of its Affiliates), or mortgage or pledge, or impose
or suffer to be imposed any Lien on, any of its assets or properties, other than: (1) inventory and personal property sold
or otherwise disposed of in the ordinary course of business; (2) Permitted Liens; or (3) as contemplated by the Financing
Documents or the Tax Equity Agreements;

 

(L)         create,
incur, assume or guarantee, or agree to create, incur, assume or guarantee, any Indebtedness for borrowed money, or enter into any “keep
well” or other agreement to maintain the financial condition of another Person or into any arrangement having the economic effect
of any of the foregoing (including entering into, as lessee, any capitalized lease obligations as defined in Statement of Financial Accounting
Standards No. 13), other than any Indebtedness arising from the Financing Agreement or any of the Financing Documents;

 

(M)        make
any loans or advances to any Person (other than another Acquired Company), except in the ordinary course of business consistent with
past practice;

 

(N)        except
for the execution of the Tax Equity Agreements, enter into any Contract that would constitute a Company Contract or amend, modify, grant
a waiver in respect of, cancel or consent to the termination of any Company Contract other than any amendment, modification or waiver
which is not material to such Company Contract and is otherwise in the ordinary course of business;

 

(O)        enter
into or adversely amend, modify or waive any rights under, in each case, in any material respect, any material Contract (or series of
related Contracts) with Seller or any Affiliate of Seller other than the entry into or amendment, modification, or waiver of any such
Contracts on an arms’ length basis which are not in the aggregate materially adverse to the business of Company or any Acquired
Company;

 

(P)         make
any material change in accounting policies or practices (including any change in depreciation or amortization policies) of Company or
any Acquired Company, except as required under GAAP or if such change would not have a material adverse effect on Purchaser, or revalue
any of the Target Company’s or any Acquired Company’s assets;

 

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(Q)         in
each case, except as required by any Tax Equity Document, make or change any material Tax election, change an annual accounting period,
adopt or change any accounting method with respect to Taxes, file any material amended Tax Return, or enter into any closing agreement
(as described in Section 7121 of the Code), settle or compromise any proceeding with respect to any material Tax claim or assessment,
surrender any right to claim a material refund of Taxes, consent to any extension or waiver of the limitation period applicable to any
material Tax claim or assessment relating to the Company or any other Acquired Company or take any other similar action relating to the
filing of any material Tax Return or the payment of any material Tax;

 

(R)         pay,
discharge, settle or satisfy any claims, liabilities or obligations prior to the same being due in excess of $50,000 in the aggregate
other than as due and payable in the ordinary course under material Contracts;

 

(S)         hire
any employees or adopt any Employee Plans;

 

(T)        except
as contemplated pursuant to the Tax Equity Agreements, enter into any joint venture;

 

(U)        fail
to maintain insurance coverage substantially equivalent to its insurance coverage as in effect on the date hereof; or

 

(V)        otherwise
make any commitment to do any of the foregoing in this Section 5.04.

 

(c)            Notwithstanding
the foregoing, Seller may permit the Acquired Companies to take commercially reasonable actions with respect to emergency situations
so long as Seller shall, upon receipt of notice of any such actions, promptly inform Purchaser of any such actions taken outside the
ordinary course of business.

 

5.05.      Fulfillment
of Conditions. Each Party shall take all commercially reasonable steps necessary or desirable, and proceed diligently and in
good faith, to satisfy each condition to the obligations of the other Party contained in this Agreement.

 

5.06.      Further
Assurances. During the Interim Period, each Party shall use its commercially reasonable efforts to execute and deliver, or cause
to be executed and delivered, all such documents and instruments and shall take, or cause to be taken, all such further or other actions
as may be necessary to consummate the transactions contemplated by this Agreement, including such actions at its expense as are necessary
in connection with obtaining or providing any third-party consents or notices and all Governmental Approvals required to be obtained
by Seller. During the Interim Period, each Party shall cooperate with the other Party and provide any information regarding such Party
necessary to assist the other Party in making any filings or applications or providing notices required to be made with any Governmental
Authority. Notwithstanding anything to the contrary contained in this Section 5.06, if the Parties are in an adversarial
relationship in litigation or arbitration, the furnishing of any documents or information in accordance herewith shall be solely subject
to applicable rules relating to discovery and the remainder of this Section 5.06 shall not apply.

 

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5.07.      Purchaser’s
Substitute Support Obligations.

 

(a)            Purchaser
acknowledges that Seller and certain Affiliates have provided certain credit support pursuant to the support obligations and related
agreements described on Schedule 3.01(y) of the Disclosure Schedules (the “Support Obligations”). From
the Execution Date and continuing until the earlier of the termination of this Agreement or the replacement or release of each Support
Obligation set forth on Part I.A and Part I.B of Schedule 3.01(y) of the Disclosure Schedules, Purchaser shall
use commercially reasonable efforts to negotiate a replacement of each such Support Obligation (each, a “Substitute Support
Obligation”) with the beneficiary thereof or to effect the complete and unconditional release of each such Support Obligation
in a manner reasonably satisfactory to Purchaser, Seller and the beneficiary thereof, including by means of a letter of credit, escrow,
posting a bond or cash deposit or other arrangements; provided, with respect to each Support Obligation identified on Part I.B
of Schedule 3.01(y) of the Disclosure Schedules, Purchaser’s obligations under this Section 5.07(a) shall
be limited to the Class A Percentage Interest of the amount of such Support Obligation. The effective date of the Substitute Support
Obligations shall be no earlier than the Closing Date.

 

(b)            From
the Execution Date and continuing until the earlier of: (i) the termination of this Agreement; (ii) the
effective date of the applicable Substitute Support Obligation, if any; and (iii) the date such Support Obligation is no
longer required to be maintained under the applicable Company Contract, Seller shall, and shall cause its Affiliates to:
(A) maintain each Support Obligation in full force and effect in accordance with the requirements under the applicable
Company Contract; (B) perform all of its obligations under each Support Obligation; and (C) not amend,
modify, grant a waiver in respect of, cancel or consent to the termination of any Support Obligation; provided that solely to
the extent that a Support Obligation cannot be released, terminated or replaced by Purchaser at or prior to the Closing or is set
forth on Part II of Schedule 3.01(y) of the Disclosure
Schedules (each, a “Retained Support Obligation”), subject to Section 5.07(c) below, Seller
shall, and shall cause its Affiliates to, perform its obligations with respect to each such Support Obligation.

 

(c)            To
the extent there is a Retained Support Obligation, Purchaser shall: (i) indemnify and hold harmless Seller and its Affiliates
(as applicable) from and against any and all Losses that may be suffered, incurred or sustained by any of them or to which any of them
become subject, resulting from a claim on any such Retained Support Obligation after the Closing Date and arising out of or relating
to the business, operations, properties, assets or obligations of any Acquired Company conducted, existing or arising after the Closing
(including as a result of any draw or demand for or making of any payment by Seller or any such Affiliate of Seller under any Support
Obligation); (ii) diligently continue to seek the release, termination and replacement of such Support Obligation as required
pursuant to Section 5.07(a); and (iii) reimburse Seller or its Affiliates (as applicable) for the actual out-of-pocket
costs of, and fees paid by, Seller or its Affiliates in maintaining such Retained Support Obligation accruing at any time after the Closing
and until such time as such Retained Support Obligation is replaced; provided that Purchaser’s indemnification obligations
under clause (i) shall not affect Seller’s indemnification obligations under Section 5.07(d) or Section 6.01;
provided, further, with respect to any Support Obligation identified on Part I.B of Schedule 3.01(y) of the Disclosure
Schedules, Purchaser’s obligations under this Section 5.07(c) shall be limited to the Class A Percentage
Interest of such Losses and actual out-of-pocket costs and fees, respectively.

 

(d)            Following
the replacement of a Support Obligation by Purchaser for a Project pursuant to a Substitute Support Obligation, Seller shall indemnify
and hold harmless Purchaser and its Affiliates (as applicable) from and against any and all Losses that may be suffered, incurred or
sustained by any of them or to which any of them become subject, resulting from a claim on any such Substitute Support Obligation and
arising out of or relating to the business, operations, properties, assets or obligations of any Acquired Company conducted, existing
or arising at or prior to the Closing (including as a result of any draw or demand for or making of any payment by Purchaser or any such
Affiliate of Purchaser under any Substitute Support Obligation).

 

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5.08.      Tax
Matters. 

 

(a)            All
Transfer Taxes, if any, arising out of or in connection with the consummation of the transactions contemplated by this Agreement shall
be shared equally by Purchaser and Seller. Purchaser shall timely file all Tax Returns relating to any Transfer Taxes, shall notify Seller
when such filings have been made, and shall use commercially reasonable efforts to provide such Tax Returns to Seller at least ten (10) Business
Days prior to the date such Tax Returns are due to be filed.

 

(b)            All
real property Taxes, personal property Taxes and similar obligations of any Acquired Company imposed by any Governmental Authority
that are due or become due for Tax periods within which the Closing Date occurs shall be apportioned between Seller for the
pre-Closing Date period (which shall include the Closing Date), on the one hand, and the applicable Acquired Company for the
post-Closing Date period, on the other hand, as of the Closing Date, based upon the actual number of days of the Tax period that
have elapsed before and after the Closing Date, and any income Taxes imposed on any Acquired Company shall be allocated between the
pre-Closing Date period and the post-Closing Date period as though a taxable year of the applicable Acquired Company has ended on
(and includes) the Closing Date (collectively, the “Apportioned Obligations”). Seller shall be responsible for
the portion of such Apportioned Obligations attributable to the period ending on (and including) the Closing Date. The Company (or
the applicable Acquired Companies) shall be responsible for the portion of such Apportioned Obligations attributable to the period
beginning after the Closing Date. Each Party shall cooperate in assuring that Apportioned Obligations that are the responsibility of
Seller pursuant to the preceding sentences are paid by Seller, and that Apportioned Obligations that are the responsibility of the
any Acquired Company pursuant to the preceding sentence shall be paid by such Acquired Company. If any refund, rebate or similar
payment is received by any Acquired Company for any real property Taxes, personal property Taxes or similar obligations referred to
above that are Apportioned Obligations, such refund shall be apportioned between Seller and the applicable Acquired
Company as aforesaid on the basis of the obligations of the Acquired Companies during the applicable Tax period. Any refund, rebate
or similar payment received by any Acquired Company for any income Tax or Transfer Tax (other than Transfer Taxes governed under Section 5.08(a))
attributable to the pre-Closing Date period, as determined above, shall be for the benefit of Seller; and any such refund, rebate or
similar payment attributable to the post-Closing Date period, as determined above, shall be for the benefit of the applicable
Acquired Company.

 

(c)            For
any Taxes with respect to which the taxable period (or portion thereof) of the applicable Acquired Company ends on or before the Closing
Date, Seller shall, at its sole cost and expense, timely prepare and file with the appropriate authorities all Tax Returns required to
be filed by the applicable Acquired Company, and pay or cause to be paid all Taxes shown to be due thereon. After the Closing Date, each
Acquired Company shall, at its sole cost and expense, timely prepare and file, or cause to be timely prepared and filed, with the appropriate
authorities all other Tax Returns required to be filed by such Acquired Company, and pay all Taxes shown to be due thereon.

 

(d)            Seller
and Purchaser shall reasonably cooperate, and shall cause their respective Affiliates, employees and agents reasonably to cooperate,
in preparing and filing all Tax Returns of each Acquired Company, including maintaining and making available to each other all records
that are necessary for the preparation of any Tax Returns that the Party is required to file under this Section 5.08, and
in resolving all Actions or Proceedings, and audits or examinations with respect to such Tax Returns.

 

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5.09.       No
Solicitation. Until the Closing or, if earlier, termination of this Agreement, Seller shall not, and shall not authorize or permit
the Acquired Companies, any of their Affiliates or any of their Representatives to, directly or indirectly: (a) encourage,
solicit, initiate, facilitate or continue inquiries regarding an Acquisition Proposal; (b) enter into discussions or negotiations
with, or provide any information to, any Person concerning a possible Acquisition Proposal; or (c) enter into any agreements
or other instruments (whether or not binding) regarding an Acquisition Proposal. Seller shall immediately cease and cause to be terminated,
and shall cause the Acquired Companies, any of their Affiliates and all of their Representatives to immediately cease and cause to be
terminated, all existing discussions or negotiations with any Persons conducted heretofore with respect to, or that could lead to, an
Acquisition Proposal. For purposes hereof, “Acquisition Proposal” shall mean (other than with respect to the transactions
contemplated by the Financing Documents, the AIP Purchase Agreement and the TE HoldCo MIPA) any inquiry, proposal or offer from any Person
concerning: (i) a merger, consolidation, liquidation, recapitalization, share exchange or other business combination transaction
involving the Acquired Companies; (ii) the issuance or acquisition of equity securities of the Acquired Companies; or (iii) the
sale, lease, exchange or other disposition of any significant portion of the Acquired Companies’ properties or assets.

 

5.10.       Purchaser
Parent Guaranty. Purchaser shall, concurrently with the execution and delivery of this Agreement, cause to be executed and delivered
to Seller the Purchaser Parent Guaranty.

 

5.11.       Seller
Parent Guaranty. Seller shall, concurrently with the execution and delivery of this Agreement, cause to be executed and delivered
to Purchaser the Seller Parent Guaranty.

 

5.12.       Post-Execution
Date Documents.

 

(a)            As
soon as practicable following the Execution Date, Seller shall enter into (or shall cause the Company or the applicable Acquired Company
to enter into) the Tax Equity ECCA, the TE HoldCo MIPA, and the other Tax Equity Documents to be entered into upon the execution of the
Tax Equity ECCA or the TE HoldCo MIPA (the execution of the foregoing, the “Tax Equity Signing”). The form of the
Tax Equity ECCA and the TE HoldCo MIPA, along with each schedule, exhibit or annex thereto (including the form of each other Tax Equity
Agreement) and the initial form of the Tax Equity Model, in each case, shall be subject to the prior written consent of Purchaser (which
consent shall not be unreasonably withheld or delayed, except that such consent may be withheld in Purchaser’s sole discretion
with respect to the Purchaser Tax Equity Guaranty and the initial Tax Equity Model).

 

(b)            Following
the Tax Equity Signing, Seller shall promptly provide to Purchaser true, complete and correct copies of each such Contract or document,
including any schedule, exhibit or annex thereto, and, with respect to the Tax Equity ECCA, the following documents delivered pursuant
to Section 4.01 of the Tax Equity ECCA: (i) the Tax Equity Model, (ii) the Reports and (iii) the
Title Proformas.

 

Article 6

Indemnification

 

6.01.       Indemnification
by Seller. Seller hereby indemnifies and holds harmless the Purchaser Indemnified Parties in respect of, and holds each of them
harmless from and against, any and all Losses suffered, incurred or sustained by any of them or to which any of them become subject,
resulting from, arising out of or related to (a) any breach of any representation, warranty, covenant, agreement or obligation made
by Seller in this Agreement or any certificate delivered by Seller pursuant to this Agreement (with any breach and the calculation of
any Losses therefrom determined without regard to any Material Adverse Effect or other materiality qualifier), (b) the matters referenced
on Schedule 6.01; or (c) except to the extent included in the calculation of the Purchase Price, any Transaction Expense
of any Acquired Company as of the Closing Date; provided that the foregoing indemnity shall not apply to Losses to the extent
caused by the gross negligence or willful misconduct of Purchaser Indemnified Parties or their agents, officers, employees or contractors.
If a Purchaser Indemnified Party has recovered any Losses pursuant to one subsection of this Section 6.01, such Purchaser
Indemnified Party shall not be entitled to recover the same Losses under another subsection of this Section 6.01 or any other
contract or agreement related to either Project between Purchaser or any of its Affiliates, on the one hand, and Seller or any of its
Affiliates, on the other hand.

 

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6.02.      Indemnification
by Purchaser. Purchaser hereby indemnifies and holds harmless the Seller Indemnified Parties in respect of, and holds each of
them harmless from and against, any and all Losses suffered, incurred or sustained by any of them or to which any of them become subject,
resulting from, arising out of or relating to any breach by Purchaser of any representation, warranty, covenant, agreement or obligation
made by Purchaser in this Agreement or any certificate delivered by Purchaser pursuant to this Agreement; provided that the foregoing
indemnity shall not apply to Losses to the extent caused by the gross negligence or willful misconduct of Seller Indemnified Parties
or their agents, officers, employees or contractors. If a Seller Indemnified Party has recovered any Losses pursuant to one subsection
of this Section 6.02, such Seller Indemnified Party shall not be entitled to recover the same Losses under another subsection
of this Section 6.02 or any other contract or agreement related to either Project between Seller or any of its Affiliates,
on the one hand, and Purchaser or any of its Affiliates, on the other hand.

 

6.03.      Survival
of Representations, Warranties, Covenants and Agreements. The representations, warranties, covenants, agreements and obligations
of Seller and Purchaser contained in this Agreement are material, were relied on by such Parties, and will survive the Closing Date as
provided in this Section 6.03. Subject to the limitations and other provisions of this Agreement, the representations and
warranties contained herein shall survive the Closing for twelve (12) months after the Closing Date; provided that: (i) the
representations and warranties contained in Section 3.01(a) (Existence), Section 3.01(b) (Authority),
Section 3.01(g) (Brokers), Section 3.01(i)(i), Section 3.01(i)(ii), Section 3.01(i)(v),
and Section 3.01(i)(ix) (Company and the Acquired Companies), Section 3.02(a) (Existence), Section 3.02(b) (Authority)
and Section 3.02(h) (Brokers) (collectively, the “Fundamental Representations”) shall survive the
Closing for five (5) years after the Closing Date; (ii) the representations and warranties in Section 3.01(k) (Taxes)
shall survive the Closing until thirty (30) days after the expiration of the applicable Tax statute of limitations. The indemnity obligations
of Seller pursuant to Section 6.01(b) shall survive until (A) as to item 1 in Schedule 6.01, any
right of a counterparty of the Project Companies to receive Delay Damages has expired or been terminated, (B) as to item
2 in Schedule 6.01, until the Tax Equity Guaranty has expired or been terminated and any claims thereunder are fully and finally
resolved and no longer subject to appeal or rehearing, and (C) as to item 3 in Schedule 6.01, until the period during
which any such tariffs can be imposed under applicable Law has expired. The other covenants, agreements and obligations in this Agreement
to be performed shall survive until the date on which they have been fully performed. No claim under this Agreement may be made unless
such Party shall have delivered, with respect to any claim under Section 6.01 or Section 6.02, a written notice
of claim prior to the applicable survival expiration date; provided that, if written notice for a claim of indemnification has
been provided by the Indemnified Party pursuant to Section 6.04(a) on or prior to the applicable survival expiration
date, then the obligation of the Indemnifying Party to indemnify the Indemnified Party pursuant to this Article 6 shall survive
with respect to such claim until such claim is finally resolved.

 

6.04.      Limitations
on Claims.

 

(a)            An
Indemnifying Party shall have no obligation to indemnify an Indemnified Party until the aggregate amount of all Losses incurred that
are subject to indemnification by such Indemnifying Party pursuant to this Article 6 equal or exceed [***] of the Purchase
Price (the “Deductible”) in which event the Indemnifying Party shall be liable for Losses only to the extent they
are in excess of the Deductible; provided that the Deductible shall not apply to Losses resulting from, arising out of or relating
to (i) any Fraudulent Action, (ii) the matters referenced on Schedule 6.01, or (iii) a breach of any Fundamental
Representations.

 

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(b)            The
aggregate liability of the Seller Indemnifying Parties and the Purchaser Indemnifying Parties under this Article 6 resulting
from any claims under any breaches of representations or warranties herein and in any certificates delivered pursuant hereto shall be
limited to an amount equal to [***] of the Purchase Price (the “Cap”); provided that the Cap shall not apply
to Losses resulting from, arising out of or relating to: (i) any Fraudulent Action; or (ii) a breach of the Fundamental
Representations; provided further that the aggregate liability of the Seller Indemnifying Parties or the Purchaser Indemnifying
Parties, as applicable, resulting from breaches of representations or warranties (including Fundamental Representations), covenants,
agreements or obligations made in this Agreement or in any certificates delivered pursuant hereto, shall be limited to an amount equal
to the Purchase Price. For the avoidance of doubt, the foregoing limitation will not apply to Losses resulting from, arising out of or
relating to the matter referenced as item 2 on Schedule 6.01.

 

(c)            The
amount of any claim pursuant to this Article 6 will be reduced by the amount of (i) any actual recovery under
insurance policies that provide coverage, (ii) any actual recovery of reimbursement, indemnification or payment from any
third Person, and (iii) the amount of any Tax benefit (which for this purpose means any reduction in cash Taxes payable that
would otherwise be due or the receipt of a refund of Taxes by the Indemnified Parties (or, in the case of an Indemnified Party that is
either a disregarded entity, partnership or other pass-through entity for U.S. federal income tax purposes, the ultimate taxpayer(s) with
respect to such entity), in each case only with respect to the taxable year in which the Loss was incurred or paid) to the Indemnified
Party in respect of such claim or the facts or events giving rise to such indemnity obligation. If the Indemnified Party realizes such
payment or Tax benefit after the date on which an indemnity payment has been made to the Indemnified Party, the Indemnified Party shall
promptly make payment to the Indemnifying Party in an amount equal to such payment or Tax benefit; provided that such payment
shall not exceed the amount of the indemnity payment.

 

(d)            Notwithstanding
any provision of this Agreement to the contrary, neither Purchaser nor Seller shall be obligated to indemnify any Seller Indemnified
Party or Purchaser Indemnified Party, as applicable, for any Losses to the extent such Loss, or the economic effect of the event or circumstance
giving rise to such Loss, is accounted for in the determination of the Adjusted Purchase Price pursuant to the Adjusted Purchase Price
Model.

 

6.05.      Procedure
for Indemnification of Third Party Claims.

 

(a)            Notice.
Whenever any claim by a third party shall arise for indemnification under this Article 6, the Indemnified Party shall promptly
notify the Indemnifying Party of the claim and, when known, the facts constituting the basis for such claim and, if known, the notice
shall specify the amount or an estimate of the amount of the liability arising therefrom. The Indemnified Party shall provide to the
Indemnifying Party copies of all material notices and documents (including court papers) received or transmitted by the Indemnified Party
relating to such claim. The failure or delay of the Indemnified Party to deliver prompt written notice of a claim shall not affect the
indemnity obligations of the Indemnifying Party hereunder, except to the extent the Indemnifying Party was actually disadvantaged by
such failure or delay in delivery of notice of such claim.

 

(b)            Settlement
of Losses. If the Indemnified Party has assumed the defense of any claim by a third party which may give rise to indemnity hereunder
pursuant to this Article 6, the Indemnified Party shall not settle, consent to the entry of a judgment of or compromise such
claim without the prior written consent (which consent shall not be unreasonably withheld or delayed) of the Indemnifying Party.

 

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6.06.       Rights
of the Indemnifying Party in the Defense of Third Party Claims.

 

(a)            Right
to Assume the Defense. In connection with any claim by a third party which may give rise to indemnity hereunder, the Indemnifying
Party shall have thirty (30) days after the date the Indemnifying Party is notified of such claim by the Indemnified Party to assume
the defense of any such claim, which defense shall be prosecuted by the Indemnifying Party to a final conclusion or settlement in accordance
with the terms hereof.

 

(b)            Procedure.
If the Indemnifying Party assumes the defense of any such claim, the Indemnifying Party shall: (i) select counsel reasonably
acceptable to the Indemnified Party to conduct the defense of such claim; and (ii) take all steps necessary in the defense
or settlement thereof, at its sole cost and expense. The Indemnified Party shall be entitled to participate in (but not control) the
defense of any such claim, with its own counsel and at its sole cost and expense; provided that, if the claim includes allegations
for which the Indemnifying Party both would and would not be obligated to indemnify the Indemnified Party, the Indemnifying Party and
the Indemnified Party shall in that case jointly assume the defense thereof. The Indemnified Party and the Indemnifying Party shall fully
cooperate with each other and their respective counsel in the defense or settlement of such claim. The Party in charge of the defense
shall keep the other Party appraised at all times as to the status of the defense or any settlement negotiations with respect thereto.

 

(c)            Settlement
of Losses. The Indemnifying Party shall not consent to a settlement of or the entry of any judgment arising from, any such claim
or legal proceeding, without the prior written consent of the Indemnified Party (which consent shall not be unreasonably withheld or
delayed).

 

(d)            Decline
to Assume the Defense. The Indemnified Party may defend against any such claim, at the sole cost and expense of the Indemnifying
Party, in such manner as it may deem reasonably appropriate, including settling such claim in accordance with the terms hereof, if: (i) the
Indemnifying Party does not assume the defense of any such claim resulting therefrom within thirty (30) days after the date the
Indemnifying Party is notified of such claim by the Indemnified Party; or (ii) the Indemnified Party reasonably concludes
that the Indemnifying Party is: (A) not diligently defending the Indemnified Party; (B) not contesting such claim
in good faith through appropriate proceedings; or (C) has not taken such action (including the posting of a bond, deposit
or other security) as may be necessary to prevent any action to foreclose a Lien against or attachment of any asset or property of the
Indemnified Party for payment of such claim; provided that, in the case of this clause (ii), the Indemnified Party will provide
written notice to the Indemnifying Party of Indemnified Party’s conclusion, and Indemnifying Party shall have failed to take the
applicable actions within thirty (30) days of such written notice.

 

6.07.      Direct
Claims. In the event that any Indemnified Party has a claim against any Indemnifying Party which may give rise to indemnity hereunder
that does not involve a claim brought by a third party, the Indemnified Party shall promptly notify the Indemnifying Party of the claim
and the facts constituting the basis for such claim and, if known, the amount or an estimate of the amount of the liability arising therefrom.
If the Indemnifying Party does not notify the Indemnified Party within thirty (30) days from receipt of such claim notice that the Indemnifying
Party disputes such claim, the amount of such claim shall be conclusively deemed a liability of the Indemnifying Party hereunder; provided
that if the Indemnifying Party does notify the Indemnified Party that it disputes such claim within the required thirty (30) day
period, the Parties shall attempt in good faith to agree upon the rights of the respective Parties with respect to such claim. If the
Parties should so agree, a memorandum setting forth such agreement shall be prepared and signed by both Parties. If such Parties shall
not agree, the Indemnified Party shall be entitled to take any action in law or in equity as such Indemnified Party shall deem necessary
to enforce the provisions of this Article 6 against the Indemnifying Party.

 

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6.08.       Exclusive
Remedy. Absent any Fraudulent Action, the indemnities set forth in this Article 6 shall be the exclusive remedies
of Purchaser and Seller and their respective members, officers, directors, employees, agents and Affiliates due to misrepresentation,
breach of warranty, nonfulfillment or failure to perform any covenant or agreement contained in this Agreement, and the Parties shall
not be entitled to a rescission of this Agreement or to any further indemnification rights or claims of any nature whatsoever in respect
thereof, all of which the Parties hereto hereby waive.

 

6.09.       Mitigations.

 

(a)            Each
of the Parties agrees to take all commercially reasonable steps to mitigate their respective Losses upon and after becoming aware of
any event or condition which would reasonably be expected to give rise to any Losses that are indemnifiable hereunder.

 

(b)            Upon
making any payment to the Indemnified Party for any indemnification claim pursuant to this Article 6, the Indemnifying Party
shall be subrogated, to the extent of such payment, to any rights which the Indemnified Party may have against any third parties with
respect to the subject matter underlying such indemnification claim and the Indemnified Party shall assign any such rights to the Indemnifying
Party.

 

6.10.       Indemnity
Treatment. Any amount of indemnification payable pursuant to the provisions of this Article 6 shall, to the extent
permitted by law, be treated as an adjustment to the Purchase Price (as determined for all relevant Tax purposes).

 

Article 7

Termination

 

7.01.       Termination.
This Agreement may be terminated at any time prior to the Closing Date as follows:

 

(a)            by
mutual written consent of Seller and Purchaser;

 

(b)            by
either Party if the Closing has not occurred on or before June 30, 2024 (the “Outside Date”), and the failure
to reach the Closing Date was not caused by a breach of this Agreement by the terminating Party;

 

(c)            by
Purchaser if there has been a breach by Seller of any representation, warranty, covenant or agreement contained in this Agreement that:
(i) would result in a failure of a condition set forth in Section 4.01, as applicable; and (ii) either
(A) is a breach of Seller’s obligations to transfer the Acquired Interests at Closing in accordance with this Agreement;
or (B) such breach has not been cured, or by its nature cannot be cured, within thirty (30) days following written notification
thereof; provided that if, at the end of such thirty (30) day period, Seller is endeavoring in good faith, and proceeding diligently,
to cure such breach, Seller shall have an additional thirty (30) days in which to effect such cure; and

 

(d)            by
Seller if there has been a breach by Purchaser of any representation, warranty, covenant or agreement contained in this Agreement that:
(i) would result in a failure of a condition set forth in Section 4.01, as applicable; and (ii) such
breach has not been cured, or by its nature cannot be cured, within thirty (30) days following written notification thereof; provided
that if, at the end of such thirty (30) day period, Purchaser is endeavoring in good faith, and proceeding diligently, to cure such
breach, Purchaser shall have an additional thirty (30) days in which to effect such cure.

 

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7.02.       Effect
of Termination.

 

(a)            If
this Agreement is validly terminated pursuant to Section 7.01, this Agreement will forthwith become null and void, and there
will be no liability or obligation on the part of either Purchaser or Seller (or any of their respective Representatives or Affiliates)
in respect of this Agreement, except that the applicable portions of this Section 7.02, and the entirety of Article 6
and Article 8 will continue to apply following any termination; provided that nothing in this Section 7.02
shall release any Party from liability for any breach of this Agreement by such Party prior to the termination of this Agreement
(and any attempted termination by the breaching Party shall be void).

 

(b)            Upon
termination of this Agreement by a Party for any reason: (i) Purchaser shall return all documents and other materials of
Seller relating to the Target Company and the Acquired Companies, the assets or properties of the Target Company and the Acquired Companies
and the transactions contemplated hereby; and (ii) Seller shall return all documents and other materials of Purchaser relating
to the transactions contemplated hereby. Each Party shall also return to the other Party any information relating to the Parties to this
Agreement furnished by one Party to the other, whether obtained before or after the execution of this Agreement. All information received
by each Party with respect to the Target Company, the Acquired Companies, the assets of the Target Company, the assets of the Acquired
Companies or the other Party shall remain subject to the provisions of Section 8.06.

 

Article 8

GENERAL PROVISIONS

 

8.01.       Notices.
All notices, requests and other communications hereunder must be in writing and will be deemed to have been duly given only if delivered
personally, by email, by reputable national overnight courier service or by registered or certified mail (postage prepaid) to the Parties
at the following addresses or email addresses, as applicable:

 

If to Purchaser, to:                            VP-Arica Parent
Holdco LLC

c/o Clearway Energy, Inc.

300 Carnegie Center Drive, Suite 300

Princeton, NJ 08540

Attn: [***]

Email: [***]

 

If to Seller, to:                                  VP-Arica CE Seller
LLC

[***]

Attention: [***]

E-mail: [***]

 

With a copy to:                                 VP-Arica CE Seller LLC

[***]

Attention: [***]

E-mail: [***]

 

Notices, requests
and other communications will be deemed given upon the first to occur of such item having been: (a) delivered personally
(or refusal of delivery) to the address provided in this Section 8.01; (b) delivered by confirmed email
transmission to the email address provided in this Section 8.01; or (c) delivered (or refusal of such delivery)
by registered or certified mail (postage prepaid) or by reputable national overnight courier service in the manner described above to
the address provided in this Section 8.01 (in each case regardless of whether such notice, request or other communication
is received by any other Person to whom a copy of such notice, request or other communication is to be delivered pursuant to this Section 8.01).
Any Party from time to time may change its address, email address or other information for the purpose of notices to that Party by giving
notice specifying such change to the other Party.

 

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8.02.       Entire
Agreement. This Agreement and the documents referenced herein supersede all prior discussions and agreements, whether oral or
written, between the Parties with respect to the subject matter hereof, and contains the entire agreement between the Parties with respect
to the subject matter hereof.

 

8.03.       Specific
Performance. The Parties to this Agreement agree that if any of the provisions of this Agreement were not performed in accordance
with their specific terms or were otherwise breached, irreparable damage would occur and money damages may not be a sufficient remedy.
In addition to any other remedy at law or in equity, each of Purchaser and Seller shall be entitled to specific performance by the other
Party of its obligations under this Agreement and immediate injunctive relief, without the necessity of proving the inadequacy of money
damages as a remedy.

 

8.04.      Time
of the Essence. Time is of the essence with regard to all duties and time periods set forth in this Agreement.

 

8.05.      Expenses.
Except as otherwise expressly provided in this Agreement, whether or not the transactions contemplated hereby are consummated, each Party
will pay its own costs and expenses incurred in connection with the negotiation, execution and performance of this Agreement.

 

8.06.       Confidentiality;
Disclosures. This Agreement is confidential, and neither Party shall disclose the terms and conditions of this Agreement to any
other Person (other than such Party’s Affiliates and its and their respective officers, directors, employees, representatives,
agents and advisors) or issue, or permit any of its Affiliates to issue, any press release or otherwise make any public statements or
announcements regarding this Agreement or the transactions contemplated by this Agreement without the prior written consent (which consent
will not be unreasonably withheld, conditioned or delayed) of the other Party, except as otherwise determined to be necessary or appropriate
to comply with applicable Law or any rules or regulations of any supervisory authority, regulatory authority or other Governmental
Authority having jurisdiction over it or any of its Affiliates (including the Securities and Exchange Commission and the New York Stock
Exchange), in which case, the Party required to make such disclosure or issue such press release or public announcement shall use reasonable
efforts to provide the other Party a reasonable opportunity to comment on such disclosure, press release or public announcement in advance
thereof. Notwithstanding the foregoing, nothing contained in this Agreement shall limit either Party’s (or either Party’s
respective Affiliates’) rights to disclose the existence of this Agreement and the general nature of the transactions described
herein on any earnings call or in similar discussions with financial media or analysts, stockholders and other members of the investment
community.

 

8.07.       Waiver.
Any term or condition of this Agreement may be waived at any time by the Party that is entitled to the benefit thereof, but no such waiver
shall be effective unless set forth in a written instrument duly executed by or on behalf of the Party waiving such term or condition
and delivered pursuant to Section 8.01. No waiver by any Party of any term or condition of this Agreement, in any one or
more instances, shall be deemed to be or construed as a waiver of the same or any other term or condition of this Agreement on any future
occasion. All remedies, either under this Agreement or by Law or otherwise afforded, will be cumulative and not alternative.

 

8.08.       Amendment.
This Agreement may be amended, supplemented or modified only by a written instrument duly executed by or on behalf of each Party.

 

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8.09.       No
Third Party Beneficiary. The terms and provisions of this Agreement are intended solely for the benefit of each Party and their
respective successors or permitted assigns, and it is not the intention of the Parties to confer third party beneficiary rights upon
any other Person other than any Person entitled to indemnity under Article 6.

 

8.10.       Assignment.
The obligations of the Parties under this Agreement are not assignable without the prior written consent of the other Party, which such
Party may withhold in its discretion; provided that Purchaser may assign this Agreement, including the right to acquire the Acquired
Interests, without the prior written consent of Seller, to: (a) any Affiliate of Purchaser, or (b) any financial
institution providing purchase money or other financing to Purchaser from time to time as collateral security for such financing, in
each case so long as Purchaser remains fully liable for its obligations under this Agreement.

 

8.11.       Severability.
If any provision of this Agreement is held to be illegal, invalid or unenforceable under any present or future Law, and if the rights
or obligations of any Party under this Agreement shall not be materially and adversely affected thereby: (a) such provision
shall be fully severable; (b) this Agreement shall be construed and enforced as if such illegal, invalid or unenforceable
provision had never comprised a part hereof; and (c) the remaining provisions of this Agreement shall remain in full force
and effect and shall not be affected by the illegal, invalid or unenforceable provision or by its severance here from.

 

8.12.       Governing
Law. THIS AGREEMENT AND ALL DISPUTES AND CONTROVERSIES ARISING HEREUNDER SHALL BE GOVERNED BY AND CONSTRUED IN ALL RESPECTS IN ACCORDANCE
WITH THE LAWS OF THE STATE OF NEW YORK WITHOUT GIVING EFFECT TO THE CONFLICTS OF LAWS PRINCIPLES THEREOF EXCEPT FOR SECTIONS 5-1401 AND
5-1402 OF THE NEW YORK GENERAL OBLIGATIONS LAW.

 

8.13.       Consent
to Jurisdiction.

 

(a)            For
all purposes of this Agreement, and for all purposes of any Action or Proceeding arising out of or relating to the transactions contemplated
hereby or for recognition or enforcement of any judgment, each Party hereto submits to the personal jurisdiction of the courts of the
State of New York and the federal courts of the United States sitting in New York County, and hereby irrevocably and unconditionally
agrees that any such Action or Proceeding may be heard and determined in such New York court or, to the extent permitted by law, in such
federal court. Each Party hereto agrees that a final judgment in any such Action or Proceeding may be enforced in any other jurisdiction
by suit on the judgment or in any other manner provided by Law. Nothing in this Agreement shall affect any right that any Party may otherwise
have to bring any Action or Proceeding relating to this Agreement against the other Party or its properties in the courts of any jurisdiction.

 

(b)            Each
Party hereto irrevocably and unconditionally waives, to the fullest extent it may legally and effectively do so:

 

(i)            any
objection which it may now or hereafter have to the laying of venue of any Action or Proceeding arising out of or relating to this Agreement
or any related matter in any New York state or federal court located in New York County; and

 

(ii)            the
defense of an inconvenient forum to the maintenance of such Action or Proceeding in any such court.

 

(c)            Each
Party hereto irrevocably consents to service of process by registered mail, return receipt requested, as provided in Section 8.01.
Nothing in this Agreement will affect the right of any Party hereto to serve process in any other manner permitted by Law.

 

    45

     

    

 

8.14.            Waiver
of Jury Trial. TO THE FULLEST EXTENT PERMITTED BY LAW, EACH PARTY HEREBY WAIVES ALL RIGHTS TO A TRIAL BY JURY IN ANY LEGAL ACTION
TO ENFORCE OR INTERPRET THE PROVISIONS OF THIS AGREEMENT OR THAT OTHERWISE RELATES TO THIS AGREEMENT.

 

8.15.            Limitation
on Certain Damages. NOTWITHSTANDING ANYTHING IN THIS AGREEMENT TO THE CONTRARY, NO PARTY SHALL BE LIABLE TO ANY OTHER PARTY FOR
ANY CONSEQUENTIAL, SPECIAL, INDIRECT, SPECULATIVE, EXEMPLARY, OR PUNITIVE DAMAGES (COLLECTIVELY, “CONSEQUENTIAL DAMAGES”)
FOR ANY REASON WITH RESPECT TO ANY MATTER ARISING OUT OF OR RELATING TO THIS AGREEMENT, WHETHER BASED ON STATUTE, CONTRACT, TORT OR OTHERWISE
AND WHETHER OR NOT ARISING FROM THE OTHER PARTY’S SOLE, JOINT OR CONCURRENT NEGLIGENCE, STRICT LIABILITY OR OTHER FAULT; PROVIDED
THAT ANY LOSSES ARISING OUT OF THIRD PARTY CLAIMS FOR WHICH A PARTY IS ENTITLED TO INDEMNIFICATION UNDER THIS AGREEMENT SHALL NOT
CONSTITUTE CONSEQUENTIAL DAMAGES. FOR THE AVOIDANCE OF DOUBT, AN ACTION FOR THE PAYMENT OF THE PURCHASE PRICE SHALL NOT BE CONSIDERED
CONSEQUENTIAL DAMAGES.

 

8.16.            Disclosures.
Seller or Purchaser may, at its option, include in the Disclosure Schedules items that are not material in order to avoid any
misunderstanding, and any such inclusion, or any references to dollar amounts, shall not be deemed to be an acknowledgment or
representation that such items are material, to establish any standard of materiality or to define further the meaning of such terms
for purposes of this Agreement. In no event shall the inclusion of any matter in the Disclosure Schedules be deemed or interpreted
to broaden Seller’s or Purchaser’s representations, warranties, covenants or agreements contained in this Agreement.
Neither the specification of any dollar amount in any representation nor the mere inclusion of any item in a schedule or in the
Disclosure Schedules as an exception to a representation or warranty shall be deemed an admission by a Party that such item
represents a material fact, event or circumstance or that such item is reasonably likely to result in a Material Adverse Effect on,
the Target Company, the Acquired Companies or Purchaser.

 

8.17.            PDF
Signature; Counterparts. This Agreement may be executed by PDF signature in any number of counterparts, each of which
will be deemed an original, but all of which together will constitute one and the same instrument.

 

[Signature Page Follows]

 

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IN WITNESS WHEREOF, the Parties
have caused this Membership Interest Purchase Agreement to be executed and delivered by their duly authorized officers as of the date
first above written.

 

	 	Seller:
	 	 
	 	VP-ARICA CE SELLER LLC,
	 	a Delaware limited liability company
	 	 
	 	By: 	/s/ Craig Cornelius
	 	 	Name: Craig Cornelius
	 	 	Title: President

 

[Lorax – CWEN MIPSA]

 

     

     

    

 

	 	Purchaser:
	 	 
	 	VP-Arica Parent Holdco LLC,
	 	a Delaware limited liability company
	 	 
	 	By:	/s/ Christopher Sotos
	 	 	Name: Christopher Sotos
	 	 	Title: President

 

[Lorax
 – CWEN MIPSA]Document

EMPLOYMENT AGREEMENT

            THIS EMPLOYMENT AGREEMENT (this “Agreement”), is made effective the 19th day of December, 2022 (the “Effective Date”), by and between Nature’s Sunshine Products, Inc., a Utah corporation, (the “Company”) and Shane Jones (“Executive”).

            1.         Employment.
1.1       Positions and Duties. Beginning on or before the Effective Date (the “Date of Employment”), and continuing until Executive’s employment with the Company is terminated either by the Company or by Executive (the “Term”), Executive will be employed by the Company as Executive Vice President, Chief Financial Officer reporting directly to the Chief Executive Officer (“CEO”) of the Company. In addition, without additional compensation, if lawfully and reasonably requested by the CEO or the Board of Directors of the Company (the “Board”), Executive will serve in other additional officer positions of the Company and its subsidiaries or as an officer, director, manager or equity owner of any affiliate of the Company or any division or branch of the Company. 

1.2       Place of Performance. Executive shall perform his services hereunder at the Company’s current principal office in Lehi, Utah, or in another location designated by the Company that is within 50 miles of Lehi, Utah; provided, however, that Executive will be required to travel from time to time as reasonably required for business purposes.

1.3       Company Policies. Executive will follow and adhere to all written policies of the Company in force and as may be added, amended or replaced from time to time, which are not inconsistent with this Agreement or applicable law including, without limitation, securities laws compliance (including, without limitation, use or disclosure of material nonpublic information, restrictions on sales of Company stock, and reporting requirements), conflicts of interest, and employee harassment.

2.         Compensation and Benefits.

2.1       Base Salary. Executive shall receive an annual salary in the amount set forth on Schedule A, paid in accordance with the Company’s payroll practices, as in effect from time to time. Base salary shall be subject to review on at least an annual basis by the CEO. Executive understands that no further compensation will be given for his acting as an officer or shareholder of any Affiliate of the Company or any division or branch of the Company.

2.2       Bonus.  Executive shall be eligible to participate in the Company’s executive bonus program (as modified from time to time) or any successor program (the “EBP”). The EBP, as currently constituted, provides for additional compensation commensurate with Executive’s responsibilities based upon company and individual performance measures, with an EBP target as set forth on Schedule A and a maximum bonus potential payout equal to the greater of (i) 175% of Executive’s EBP target or (ii) the maximum bonus payout set forth in the EBP as established by the Board for the relevant year. Payment of any bonus under the EBP is in the Company’s sole discretion and such payments will be made in accordance with Internal Revenue Code Section 409A and the Treasury Regulations thereunder (“Code Section 409A”) and the terms of the EBP.

2.3       Employee Benefits. Executive will be eligible to participate in retirement/savings, health insurance, term life insurance, long term disability insurance and other employee benefit plans, policies or arrangements maintained by the Company as provided to similarly situated employees 
        1

and, at the discretion of the Board, in incentive plans, stock option plans and change in control severance plans maintained by the Company for its executives, if any, subject to the terms and conditions of such plans, policies or arrangements. Benefits may be modified by the Company at any time without notice to Executive.

2.4       Sign-on Bonus. The Company shall provide a one-time sign-on bonus to Executive in the amount of $150,000, less applicable payroll deductions and withholdings, after the completion of thirty (30) days from the Effective Date, subject to Executive’s continued employment. Executive shall promptly repay the Company the total amount of the sign-on bonus if Executive resigns without Good Reason (as defined below) on or before January 1, 2024. Executive expressly agrees that the amount of such repayment may be withheld from Executive’s final paycheck, or other amounts due to Executive at the time of his termination, and that Executive will sign additional documentation as needed to authorize to Company to withhold such amount.

3.         Indemnification; D&O Insurance. 

3.1       Indemnification. To the fullest extent permitted by the laws of the State of Utah in effect on the date hereof, or as such laws may from time to time hereafter be amended to increase the scope of such permitted indemnification, the Company shall indemnify Executive if Executive becomes a party to or participant in, or is threatened to be made a party to or participant in, any action or proceeding, whether civil, criminal, judicial, legislative, administrative or investigative, including an action by or in the right of Company to procure a judgment in its favor, and including an action by or in the right of any other corporation, partnership, joint venture, trust, employee benefit plan or other enterprise of any type or kind, domestic or foreign, related to the fact that Executive is or was an officer, director, employee or agent of the Company or any subsidiary of the Company or is or was serving at the request of the Company as a director, officer, employee, member, manager, trustee or agent of any other corporation, limited liability company, partnership, joint venture, trust or other entity or enterprise, or by reason of any action or inaction by Executive in any such capacity, whether or not serving in such capacity at the time any loss is incurred for which indemnification can be provided under this Section 3.1 (each an “Action”), against all judgments, fines, amounts paid in settlement and all reasonable expenses and costs, including attorneys' fees, experts’ fees, court costs, transcript costs, travel expenses, and all other costs and expenses incurred in connection with investigating, defending, being a witness in or participating in (including on appeal), or preparing to defend, be a witness or participate in, any Action, or in connection with any appeal resulting from any Action, including without limitation costs relating to any bond or its equivalent, and expenses incurred by Executive in connection with the interpretation, enforcement or defense of Executive’s rights under this Agreement, by litigation or otherwise (collectively, “Expenses”), incurred or suffered by or imposed upon Executive in connection with any such Action, or in connection with an appeal therein; and provided, however, than no such indemnification shall be required with respect to any settlement or other non-adjudicated disposition of any threatened or pending action or proceeding unless Company has given its prior consent to such settlement or other disposition, which consent shall not be unreasonably withheld, conditioned or delayed. The indemnification requirement of this Section 3.1 is intended to be broadly interpreted and to provide for indemnification to the fullest extent permitted by law and is intended to be in addition to any other rights of indemnification available to Executive under the Company’s articles of incorporation or bylaws or under applicable law.

3.2       Advancement of Expenses. To the fullest extent permitted by the laws of the State of Utah in effect on the date hereof, or as such laws may from time to time hereafter be amended to increase the scope of such permitted advances, the Company shall, upon request, advance to or promptly 
        2

reimburse Executive for all Expenses reasonably incurred in defending any such Action in advance of the final disposition of such Action; provided, however, that Executive shall cooperate in good faith with any request by Company that common counsel be utilized by the parties to an Action who are similarly situated unless to do so would be inappropriate due to actual or potential differing interests between or among such parties. As a condition of such advancement, Executive must furnish to the Company (a) a written affirmation of his good faith belief that (i) his conduct was in good faith; and (ii) he reasonably believed that his conduct was in, or not opposed to, the Company’s best interests; and (iii) in the case of any criminal proceeding, he had no reasonable cause to believe his conduct was unlawful, and (b) a written undertaking, executed personally or on his behalf, to repay the advance if Executive is ultimately found not to be entitled to indemnification or, where indemnification is granted, to the extent the expenses so advanced or reimbursed by Company exceed the indemnification to which Executive is entitled. 

                        3.3       D&O Insurance. For the duration of Executive’s service as an officer of the Company, and thereafter for so long as Executive is subject to any action for which the Company is obligated to indemnify Executive under Section 3.1 above, the Company will maintain directors’ and officers’ liability insurance commensurate (“D&O Insurance”) with industry standard terms and amount but shall in all events which shall in all events be no less protective and extensive in scope and amount to that provided by the Company’s D&O Insurance policies as of the date hereof. The Company’s obligation to advance Expenses under Section 3.2 shall be net of amounts for such Expenses received under D&O Insurance.

4.         Expenses. 

            4.1       Reimbursement of Business Expenses. In accordance with the Company’s normal policies for expense reimbursement, the Company shall reimburse Executive for all reasonable travel, entertainment and other expenses incurred or paid by Executive in connection with, or related to, the performance of Executive’s duties, responsibilities or services under this Agreement, upon presentation of documentation, including expense statements, vouchers and/or such other supporting information as the Company may request.

            4.2       Conditions to Reimbursement. Executive must submit proper documentation for each reimbursable expense eligible for reimbursement under Section 4.1 within sixty (60) days after the later of (i) Executive’s incurrence of such expense or (ii) Executive’s receipt of the invoice for such expense. If such expense qualifies hereunder for reimbursement, then the Company will reimburse Executive for that expense within ten (10) business days after Executive’s submission of a request that complies with this Section 4.2, and in all events each reimbursement must be made no later than the end of the calendar year following the calendar year in which the expense was incurred. The amount of reimbursements in any calendar year shall not affect the expenses eligible for reimbursement in the same or any other calendar year. Executive’s right to reimbursement may not be liquidated or exchanged for any other benefit.

5.         Termination. Upon cessation of his employment with the Company, Executive will be entitled only to such compensation and benefits as described in this Section 5.

5.1.      Termination without Cause or for Good Reason. The Company may terminate Executive’s employment at any time without Cause (as defined below), and Executive may resign at any time with Good Reason (as defined below). If Executive’s employment by the Company is terminated by the Company without Cause, or if Executive resigns for Good Reason:

        3

5.1.1.    the Company shall pay all accrued and unpaid base salary through the date of such termination and reimburse all then unreimbursed expenses properly incurred by Executive pursuant to Section 4;

5.1.2.    provided a Release (as defined below) has been executed and become effective and enforceable in accordance with its terms following expiration of the applicable revocation period and Executive complies with the Restrictive Covenants (as set forth in Section 6), the Company shall pay equal installment payments payable in accordance with the Company's normal payroll practices, but no less frequently than monthly, which are in the aggregate equal to  the severance period set forth on Schedule A (the “Severance Period”) of Executive’s base salary for the year in which the termination occurs. The first such payment will be made on the sixtieth (60th) day following Executive’s “separation from service” (as such term is defined under Code Section 409A) and the remaining payments will be made in accordance with the Company’s normal payroll schedule for salaried employees; 

5.1.3.    provided a Release has been executed and become effective and enforceable in accordance with its terms following expiration of the applicable revocation period and Executive complies with the Restrictive Covenants (as set forth in Section 6), the Company shall reimburse Executive for the costs he incurs for continuation of Executive’s health insurance coverage under COBRA (and for his family members if Executive provided for their coverage during his employment) during the Severance Period and in accord with the Company’s group health plans applicable to its employees currently in effect. Executive shall, within thirty (30) days after each monthly COBRA payment he pays during the Severance Period for which he is entitled to reimbursement in accordance with the foregoing, submit appropriate evidence of such payment to the Company, and the Company shall reimburse Executive, within ten (10) business days following receipt of such submission. The following provisions shall govern such reimbursement of continuation costs: (i) the amount of the COBRA costs eligible for reimbursement in any one (1) calendar year of coverage will not affect the amount of such costs eligible for reimbursement in any other calendar year for which such reimbursement is to be provided hereunder; (ii) no COBRA costs will be reimbursed after the close of the calendar year following the calendar year in which those costs were incurred; and (iii) Executive’s right to the reimbursement of such costs cannot be liquidated or exchanged for any other benefit. In the event the Company’s reimbursement of the reimbursable portion of any COBRA payment hereunder results in Executive’s recognition of taxable income (whether for federal, state or local income tax purposes), the Company will report such taxable income as taxable W-2 wages and collect the applicable withholding taxes, and Executive will be responsible for the payment of any additional income tax liability resulting from such coverage; and

5.1.4     Executive’s bonus for the year in which the employment termination occurs, if any, will be pro-rated based upon the percentage of the year in which Executive was employed and paid by the Company. Any bonus paid out under this Section 5.1.4 will be based on Executive’s target bonus for the corporate or divisional performance as applicable, once such performance is known, and paid at the same time as all other Company bonuses are paid for the applicable year.

            For purposes of this Agreement, “Good Reason” means 

1.a material reduction in Executive’s base salary other than a general reduction in base salary that affects all similarly situated executives in substantially the same proportions;

2.a material reduction in Executive’s target bonus percentage, or benefits;

3.any material breach by the Company of a material provision of this Agreement;
        4

4.the Company's failure to obtain an agreement from any successor to the Company to assume and agree to perform this Agreement in a substantially similar manner and extent that the Company would be required to perform if no succession had taken place, except where such assumption occurs by operation of law; or

5.or, if within 18 months of a Change in Control as defined in Section 5.6 below there is:

a.a relocation of Executive’s principal place of employment by more than 50 miles;

b.a material, adverse change in Executive’s title, authority, duties, or responsibilities (other than temporarily while Executive is physically or mentally incapacitated or as required by applicable law) taking into account the Company’s size, status as a public company, and capitalization as of the date of this Agreement; 

provided, that in each case Executive must provide the Company with written notice of the events Executive indicates constitutes Good Reason within thirty (30) days after the occurrence of such event.  Failure to give such notice within thirty (30) days of the occurrence shall be deemed a waiver by Executive of his right to terminate for Good Reason with respect to such circumstances.  If Executive provides such notice, in the case of the circumstances described in clauses (d) and (g) above, the Company thereafter will have thirty (30) days to cure such alleged breach.  If a cure period applies and the Company does not cure the alleged breach within the thirty (30) day notice period, Executive must thereafter resign within fifteen (15) days of the expiration of the thirty (30) day notice period in order to resign for Good Reason. If no cure period applies, Executive must thereafter resign within fifteen (15) days of Executive’s delivery of notice in order to resign for Good Reason.

5.2.      Release and Restrictive Covenants. Notwithstanding any provision of this Agreement, the payments and benefits described in Sections 5.1.2 and 5.1.3 and any other Section that incorporates such payment requirements are conditioned on (a) Executive’s execution and delivery in a manner consistent with the requirements of the Older Workers Benefit Protection Act, if applicable, and any applicable state law, to the Company of a release of all claims related to Executive’s employment by the Company and the termination thereof (the “Release”), and (b) Executive’s compliance with the Restrictive Covenants set forth in Section 7 of this Agreement. A breach of the Restrictive Covenants by Executive shall constitute a breach of this Agreement, which shall relieve the Company of any further payment obligation under Sections 5.1.2 and 5.1.3.

5.3.      Termination for Cause. The Company may terminate Executive’s employment immediately for Cause. If Executive’s employment with the Company is terminated by the Company for Cause then the Company’s obligation to Executive will be limited solely to the payment of accrued and unpaid base salary through the date of such termination and reimbursement of all then unreimbursed expenses properly incurred by Executive pursuant to Section 4. To terminate Executive’s employment for Cause, the CEO, in consultation with the Board, must determine in good faith that Cause exists, that Executive has been notified of the basis of such determination, and that after any applicable time to cure such Cause has not done so. 

            “For Cause” means the Executive’s:

a)         conviction of, or the entry of a plea of guilty or no contest to, a felony or any crime that materially adversely affects the business, standing or reputation of the Company;
        5

b)         engagement in fraud, embezzlement or other misappropriation of funds, or any act of material dishonesty committed in connection with Executive’s employment;

c)         material breach of any material provisions of this Agreement, which breach is not cured within fifteen (15) days after the Company provides written notice to Executive of such material breach; or

d)         willful refusal to perform the lawful and reasonable directives of the CEO or the Board, other than any such failure resulting from Incapacity (as defined below) due to mental or physical illness which failure or refusal is not cured within fifteen (15) days after the Company provides written notice to Executive of such material failure or refusal.

5.4       Resignation by Executive. Executive may resign his employment without Good Reason by giving the Company four weeks’ notice of said resignation; the Company may elect to pay Executive’s base salary in lieu of notice. If Executive resigns without Good Reason, then the Company’s obligation to Executive will be limited solely to the payment of accrued and unpaid base salary through the date of such termination and reimbursement of all then unreimbursed expenses properly incurred by Executive pursuant to Section 4. 

5.5       Termination upon Death or Incapacity of Executive. Executive's employment hereunder shall terminate automatically upon Executive's death during the Employment Term, and the Company may terminate Executive's employment on account of Executive's Incapacity (as defined below). In the event of termination of Executive’s employment by reason of Executive’s death or Incapacity, the provisions governing termination without Cause in Section 5.1 above shall apply. “Incapacity” shall mean Executive's inability, due to physical or mental incapacity, to substantially perform his duties and responsibilities under this Agreement for one hundred eighty (180) days out of any three hundred sixty-five (365) day period or one hundred twenty (120) consecutive days; provided, however, in the event the Company temporarily replaces Executive, or transfers Executive's duties or responsibilities to another individual on account of Executive's inability to perform such duties due to a mental or physical incapacity which is, or is reasonably expected to become, an Incapacity, then Executive's employment shall not be deemed terminated by the Company and Executive shall not be able to resign with Good Reason as a result thereof. Any question as to the existence of Executive's Incapacity as to which Executive and the Company cannot agree shall be determined in writing by a qualified independent physician mutually acceptable to Executive and the Company. If Executive and the Company cannot agree as to a qualified independent physician, each shall appoint such a physician and those two physicians shall select a third who shall make such determination in writing. The determination of Incapacity made in writing to the Company and Executive shall be final and conclusive for all purposes of this Agreement. 

5.6       Termination in Connection with a Change in Control Event. Provided the Release under Section 5.2 has been executed and become effective and enforceable in accordance with its terms following expiration of the applicable revocation period and Executive complies with the Restrictive Covenants set forth in Section 7, in the event: (i) Executive’s employment is terminated for any reason, except for Cause, within eighteen (18) months following the occurrence of a Change in Control Event (as defined below) or in anticipation of a Change in Control Event or (ii) Executive terminates his employment within eighteen (18) months following the occurrence of a Change in Control Event for Good Reason, Executive will be entitled to the amounts set forth in Sections 5.1.1 and 5.1.3 (except that for purposes of Section 5.1.3 the Severance Period shall be the period set forth on Schedule A), and an amount equal to the change in control multiplier set forth on Schedule A times the sum of (i) Executive’s target EBP bonus (ii) and Executive’s annual base salary at the time of termination. All 
        6

amounts payable to Executive pursuant to this Section 5.6 shall be paid in a lump sum payment within fifteen (15) days of any applicable revocation period, except as required by Section 11.2 of this Agreement. For purposes of this Agreement, a “Change in Control Event” shall mean the occurrence of any one of the following events:

5.6.1.    consummation of a plan approved by the shareholders of the Company of complete dissolution or liquidation of the Company; or

5.6.2.    consummation of a merger, consolidation, statutory share exchange or similar form of corporate transaction involving the Company or any of its subsidiaries that requires the approval of the Company’s shareholders, whether for such transaction or the issuance of securities in the transaction (a “Business Combination”), unless immediately following such Business Combination: (A) more than 50% of the total voting power of (x) the corporation resulting from such Business Combination (the “Surviving Corporation”), or (y) if applicable, the ultimate parent corporation that directly or indirectly has beneficial ownership of at least 90% of the voting securities eligible to elect directors of the Surviving Corporation (the “Parent Corporation”), is represented by Company Voting Securities (as defined in Section 5.6.4 that were outstanding immediately prior to such Business Combination (or, if applicable, is represented by shares into which such Company Voting Securities were converted pursuant to such Business Combination), and such voting power among the holders thereof is in substantially the same proportion as the voting power of such Company Voting Securities among the holders thereof immediately prior to the Business Combination, (B) no person (other than any employee benefit plan (or related trust) sponsored or maintained by the Surviving Corporation or the Parent Corporation) is or becomes the beneficial owner, directly or indirectly, of 50% or more of the total voting power of the outstanding voting securities eligible to elect directors of the Parent Corporation (or, if there is no Parent Corporation, the Surviving Corporation) and (C) at least a majority of the members of the board of directors of the Parent Corporation (or, if there is no Parent Corporation, the Surviving Corporation) following the consummation of the Business Combination were Incumbent Directors (as defined in Section 5.6.5 at the time of the approval by the Board of the execution of the initial agreement providing for such Business Combination (any Business Combination which satisfies all of the criteria specified in (A), (B) and (C) above shall be deemed to be a “Non-Qualifying Transaction”); or

5.6.3.    consummation of a sale of all or substantially all of the Company’s business and/or assets to a person or entity which is not a subsidiary; or

5.6.4.    any “person” (as such term is used in Sections 13(d) and 14(d) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”)) is or becomes a “beneficial owner” (as defined in Rule 13d-3 under the Exchange Act), directly or indirectly, of securities of the Company representing 50% or more (an “Acquiring Person”) of the combined voting power of the Company’s then outstanding securities eligible to vote for the election of the Board (the “Company Voting Securities”); provided, however, that the event described in this Section 5.6.4 shall not be deemed to be a Change in Control Event by virtue of any of the following acquisitions: (A) by the Company or any subsidiary, (B) by any employee benefit plan (or related trust) sponsored or maintained by the Company or any subsidiary, (C) by any underwriter temporarily holding securities pursuant to an offering of such securities, or (D) pursuant to a Non-Qualifying Transaction, as defined in Section 5.6.2; or

5.6.5.    during any period not longer than two consecutive years, individuals who at the beginning of such period constituted the Board (the “Incumbent Directors”) cease for any reason to constitute at least a majority thereof, provided that any person becoming a director subsequent to the beginning of such period whose election or nomination for election was approved by a vote of a least a majority of the Incumbent Directors then on the Board (either by a specific vote or by approval of the 
        7

proxy statement of the Company in which such person is named as a nominee for director, without written objection to such nomination) shall be an Incumbent Director, provided, however, that no individual initially elected or nominated as a director of the Company as a result of an actual or threatened election contest with respect to directors or as a result of any other actual or threatened solicitation of proxies by or on behalf of any person other than the Board shall be deemed to be an Incumbent Director.

5.7.      Foreign Entities. Without regard to the circumstances of Executive’s termination from employment, Executive hereby also covenants that upon termination, if he is listed as an officer, director, partner, secretary or shareholder on any Affiliate, division or branch of the Company, he will sign over any and all rights to stock (except Company stock and stock rights that Executive holds personally) and/or resign as an officer or director of such entity prior to departure from the Company as required by the law applicable to the entity or by that entity’s procedural requirements.

            6.         Confidential Information.  Executive understands and acknowledges that during the Employment Term, he will have access to and learn about information of any sort (whether merely remembered or embodied in a tangible or intangible form) that is (i) related to the Company or its subsidiaries’ or affiliates’ (including their predecessors) current or potential business and (ii) not generally or publicly known (“Confidential Information”). Confidential Information includes, without limitation, information, and data obtained by Executive while employed by the Company and its subsidiaries (or any of their predecessors) or while performing services hereunder concerning the business or affairs of the Company or any of its subsidiaries or affiliates; technical information concerning Company software (including source code and object code), products and services, including product data, specifications, documentation, hardware configuration information, diagrams, flow charts, drawings, test results, formulas, algorithms, processes, inventions, research projects, engineering, and product development; business information, including markets, cost information, profits, sales information, accounting and unpublished financial information, business plans, markets and marketing methods, customer lists (including, but not limited to, customers of the Company on whom Executive called or with whom Executive became acquainted during the term of Executive’s Employment), and customer information (including pricing, preferences, discounts and contracts), purchasing techniques, supplier lists, supplier information (including pricing, preferences, discounts, and contracts) and advertising and business strategies; information about employees, including their compensation, strengths, weaknesses and skills, recruiting strategies and goals and hiring criteria; and other information not generally known to the public, which has independent economic value to the owner or discloser of the information or which, if misused or disclosed, could reasonably be expected to adversely affect the business of the owner or discloser of the information.  Confidential Information does not, however, include information that (w) was lawfully in Executive’s possession prior to disclosure of such information by the Company; (x) was, or at any time becomes, available in the public domain other than through a violation of this Agreement; (y) is documented by Executive as having been developed by Executive outside the scope of his rendering services hereunder and independently; or (z) is furnished to Executive by a third party not under an obligation of confidentiality to the Company.  Executive agrees that he will not directly or indirectly use or divulge, or permit others to use or divulge, any Confidential Information for any reason, except as authorized in writing by the Company.  Executive will be allowed to disclose such information of the Company to the extent that such disclosure is:

(a)        duly approved in writing by the Company; 

(b)        necessary for Executive to enforce his rights under this Agreement in connection with a legal proceeding;  

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(c)        required by law or by the order of a court or similar judicial or administrative body, provided that Executive notifies the Company of such required disclosure promptly and reasonably cooperates with the Company in any lawful action to contest or limit the scope of such required disclosure; or

(d)        to report possible violations of federal law or regulation to any governmental agency or entity or making other disclosures that are protected under the whistleblower provisions of federal law or regulation.  Executive does not need the prior authorization of the Company to make any such reports or disclosures and he is not required to notify the Company that he has made such reports or disclosures.

Executive’s obligations under this Agreement are in addition to any obligations he has under state or federal law.  Executive agrees that he will not violate in any way the rights that the Company has with regard to trade secrets or Confidential Information. Executive’s obligations under this Section 6 are indefinite in term.

7.         Restrictive Covenants. In consideration of the compensation and other benefits provided to Executive pursuant to this Agreement, Executive agrees to be bound by the provisions of this Section 7 (the “Restrictive Covenants”). These Restrictive Covenants will apply without regard to whether any termination or cessation of Executive’s employment is initiated by the Company or Executive, and without regard to the reason for that termination or cessation.

7.1.      Covenant Not To Compete. Executive covenants and agrees that, during his employment by the Company and for a period of twelve (12) months following immediately thereafter (the “Restricted Period”), Executive will not, anywhere within the territory where the Company did business during Executive’s employment do any of the following, directly or indirectly:

7.1.1.    own, manage, operate, control, serve as a consultant to, be employed by, participate in, or be connected, in any manner, with the ownership, management, operation or control of any business that distributes its product through a multilevel marketing program or that engages in any activity that competes with any activity in which the Company is then engaged, including sales or distribution of herbs, vitamins or nutritional supplements or any other product which the Company sells or distributes at the time of Executive’s termination (a “Competing Business”);

Notwithstanding Executive’s obligations under this Section 7.1, Executive will be entitled to own, as a passive investor, up to two percent (2%) of any publicly traded company without violating this provision.

                        7.2.      Covenant Not to Solicit.  During the Restricted Period, Executive covenants and agrees that he will not do any of the following, directly or indirectly:

                                    7.2.1. solicit or attempt to solicit any employee or agent of the Company or any of its affiliates to alter or terminate their employment with the Company or hire or offer to hire any employee or agent of the Company or any of its affiliates;

                                    7.2.2. solicit or attempt to solicit any distributor or wholesale customer of the Company to alter or discontinue its relationship with the Company; or

                                    7.2.3. solicit or attempt to persuade any supplier or vendor of the Company to alter or discontinue its relationship with the Company.
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                        7.3       Acknowledgements. The Company and Executive agree that (a) the Restrictive Covenants do not impose an undue hardship on Executive and are reasonably necessary to protect the business of the Company and its Affiliates; (b) the nature of Executive’s responsibilities with the Company under this Agreement require him to have access to Confidential Information which is valuable and confidential to the Company; (c) the scope of the Restrictive Covenants is reasonable in terms of length of time and geographic scope; and (d) adequate consideration supports the Restrictive Covenants, including the provisions of this Agreement. 

8.         Property of the Company.

                        8.1.      Proprietary Information. All right, title and interest in and to Proprietary Information (as defined below) will be and remain the sole and exclusive property of the Company. Executive will not remove from the Company’s offices or premises any documents, records, notebooks, files, correspondence, reports, memoranda or similar materials of or containing Proprietary Information, or other materials or property of any kind belonging to the Company unless necessary or appropriate in the performance of Executive’s duties to the Company. If Executive removes such materials or property in the performance of Executive’s duties, Executive will return such materials or property promptly after the removal has served its purpose. Executive will not make, retain, remove and/or distribute any copies of any such materials or property, or divulge to any third person the nature of and/or contents of such materials or property, except to the extent necessary to perform Executive’s duties on behalf of the Company. Upon termination of Executive’s employment with the Company, Executive will leave with the Company or promptly return to the Company all originals and copies of such materials or property then in Executive’s possession, custody, or control.

                        8.2.      “Proprietary Information” means any and all proprietary information developed or acquired by the Company that has not been specifically authorized to be disclosed. Such Proprietary Information shall include, but shall not be limited to, the following items and information relating to the following items: (a) all trade secrets (including research and development, know-how, formulas, compositions, manufacturing and production processes and techniques, methodologies, technical data, designs, drawings and specifications) as well as all inventions (whether patentable or unpatentable and whether or not reduced to practice) and all improvements thereto, (b) computer codes and instructions, processing systems and techniques, inputs, and outputs (regardless of the media on which stored or located) and hardware and software configurations, designs, architecture and interfaces, (c) business research, studies, procedures and costs, (d) financial data, (e) distributor network information, the identities of actual and prospective distributors and distribution methods, (f) marketing data, methods, plans and efforts, (g) the identities of actual and prospective suppliers, (h) the terms of contracts and agreements with, the needs and requirements of and the Company’s course of dealing with, actual or prospective suppliers, (i) personnel information, (j) customer and vendor credit information, and (k) information received from third parties subject to obligations of nondisclosure or non-use. Failure by the Company to mark any of the Proprietary Information as confidential or proprietary shall not affect its status as Proprietary Information.
                        8.3.      Intellectual Property. Executive agrees that all the Intellectual Property (as defined below) will be considered “works made for hire” as that term is defined in Section 101 of the Copyright Act (17 U.S.C. § 101) and that all right, title and interest in such Intellectual Property will be the sole and exclusive property of the Company. To the extent that any of the Intellectual Property may not by law be considered a work made for hire, or to the extent that, notwithstanding the foregoing, Executive retains any interest in the Intellectual Property, Executive hereby irrevocably assigns and transfers to the Company any and all right, title, or interest that Executive may now or in the future have in the Intellectual Property under patent, copyright, trade secret, trademark or other law, in perpetuity or 
        10

for the longest period otherwise permitted by law, without the necessity of further consideration. The Company will be entitled to obtain and hold in its own name all copyrights, patents, trade secrets, trademarks and other similar registrations with respect to such Intellectual Property. Executive further agrees to execute any and all documents and provide any further cooperation or assistance reasonably required by the Company to perfect, maintain or otherwise protect its rights in the Intellectual Property, at no cost to Executive. If the Company is unable after reasonable efforts to secure Executive’s signature, cooperation or assistance in accordance with the preceding sentence, whether because of Executive’s incapacity or any other reason whatsoever, Executive hereby designates and appoints the Company or its designee as Executive’s agent and attorney-in-fact to act on his behalf solely for the purpose of executing and filing documents and doing all other lawfully permitted acts necessary or desirable to perfect, maintain or otherwise protect the Company’s rights in the Intellectual Property. Executive acknowledges and agrees that such appointment is coupled with an interest and is therefore irrevocable.  Notwithstanding the foregoing, nothing in this Agreement shall be construed to require Executive to assign or license to the Company any right in or to an invention that (a) is created by Executive entirely on Executive’s own time; and (b) is not an Employment Invention. An “Employment Invention” means any invention or part thereof conceived, developed, reduced to practice, or created by Executive which is (a) conceived, developed, reduced to practice, or created by Executive: (i) within the scope of Executive’s employment; (ii) on the Company’s time; or (iii) with the aid, assistance, or use of any of the Company’s property, equipment, facilities, supplies, resources, or intellectual property; (b) the result of any work, services, or duties performed by Executive for the Company; (c) related to the industry or trade of the Company; or (d) related to the current or demonstrably anticipated business, research, or development of the Company.
                                    8.3.1. “Intellectual Property” means (a) all inventions (whether patentable or unpatentable and whether or not reduced to practice), all improvements thereto, and all patents and patent applications claiming such inventions, (b) all trademarks, service marks, trade dress, logos, trade names, fictitious names, brand names, brand marks and corporate names, together with all translations, adaptations, derivations, and combinations thereof and including all goodwill associated therewith, and all applications, registrations, and renewals in connection therewith, (c) all copyrightable works, all copyrights, and all applications, registrations, and renewals in connection therewith, (d) all mask works and all applications, registrations, and renewals in connection therewith, (e) all trade secrets (including research and development, know-how, formulas, compositions, manufacturing and production processes and techniques, methodologies, technical data, designs, drawings and specifications), (f) all computer software (including data, source and object codes and related documentation), (g) all other proprietary rights and (h) all copies and tangible embodiments thereof (in whatever form or medium) which, in the case of any or all of the foregoing, pertains to an Employment Invention.
9.         Acknowledgements. Executive acknowledges that the nature of Executive's position gives him access to and knowledge of Confidential Information and places him in a position of trust and confidence with the Company. Executive understands and acknowledges that the services he provides to the Company are unique, special or extraordinary.  Executive further understands and acknowledges that the Company's ability to reserve these for the exclusive knowledge and use of the Company is of great competitive importance and commercial value to the Company, and that improper use or disclosure by Executive is likely to result in unfair or unlawful competitive activity.
Executive further acknowledges that the amount of his compensation reflects, in part, his obligations and the Company's rights under Section 6, Section 7 and Section 8 of this Agreement; that he has no expectation of any additional compensation, royalties or other payment of any kind not otherwise referenced herein in connection herewith; that he will not be subject to undue hardship by reason of his full compliance with the terms and conditions of Section 6, Section 7 and Section 8 of this Agreement or the Company's enforcement thereof.
10.       Remedies and Enforcement Upon Breach.
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                        10.1.     Injunctive Relief. In the event of a breach or threatened breach by Executive of Section 6, Section 7 and Section 8 of this Agreement, Executive hereby consents and agrees that the Company shall be entitled to seek, in addition to other available remedies, a temporary or permanent injunction or other equitable relief against such breach or threatened breach from any court of competent jurisdiction, without the necessity of showing any actual damages or that money damages would not afford an adequate remedy, and without the necessity of posting any bond or other security. The aforementioned equitable relief shall be in addition to, not in lieu of, legal remedies, monetary damages or other available forms of relief
10.2.     Disclosure of Restrictive Covenants. Executive agrees fully and completely to disclose the existence and terms of this Agreement to any future employer or potential employer of Executive and authorizes the Company, at its election, to make such disclosure.

10.3.     Extension and Termination of Restricted Period. If Executive breaches Section 7 in any respect, the restrictions contained in that section will be extended for a period equal to the period that Executive was in breach. 

11.       Miscellaneous.

11.1.     Other Agreements. Executive represents and warrants to the Company that there are no restrictions, agreements or understandings whatsoever to which Executive is a party that would prevent or make unlawful his execution of this Agreement, that would be inconsistent or in conflict with this Agreement or Executive’s obligations hereunder, or that would otherwise prevent, limit or impair the performance of Executive’s duties under this Agreement.

11.2.     Successors and Assigns. This Agreement shall be binding upon 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, and the Company shall require any such successor to expressly assume and agree in writing to perform this Agreement in the same manner and to the same extent that the Company would be required to perform it if no such succession had taken place, or, in the event the Company remains in existence, the Company shall continue to employ Executive under the terms hereof. As used in this Agreement, the term “Company” shall mean and include the Company and any successor to its business and/or assets, which assumes or is obligated to perform this Agreement by contract, operation of law or otherwise. This Agreement shall inure to the benefit of and be enforceable by Executive and his personal or legal representatives, executors, estate, trustee, administrators, successors, heirs, distributees, devisees and legatees. The duties of Executive hereunder are personal to Executive and may not be assigned by him. If Executive dies and any amounts become payable under this Agreement, the Company will pay those amounts to his estate.

11.3.     Governing Law and Enforcement; Arbitration. EXCEPT WHERE PREEMPTED BY FEDERAL LAW, THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH FEDERAL LAW AND THE LAWS OF THE STATE OF UTAH, APPLICABLE TO AGREEMENTS MADE AND TO BE PERFORMED IN THAT STATE.  
To the fullest extent permitted by applicable law, Executive and the Company agree that any and all disputes, demands, claims, or controversies (“claims”) relating to, arising from or regarding Executive’s employment, including claims by the Company, claims against the Company, and claims against any current or former parent, affiliate, subsidiary, successor or predecessor of the Company, and each of the Company’s and these entities’ respective officers, directors, agents or employees, shall be resolved by final and binding arbitration before a single arbitrator in Utah County, Utah, which will be the sole and exclusive procedure for the resolution of any disputes. The binding arbitration will be administered by AAA in accordance with AAA Employment Arbitration Rules and Procedures (the “Rules”), except as 
        12

modified herein. The arbitrator must have had both training and experience as an arbitrator of general employment and commercial matters and who is and for at least ten (10) years has been, a state or federal judge, or a partner, shareholder, or member in a law firm in Salt Lake City, Utah (the “Qualifications”). If Executive and the Company cannot agree on an arbitrator, then the arbitrator will be selected in accordance with the Rules but will still be required to meet the Qualifications. Reasonable and proportional discovery will be permitted and the arbitrator may decide any issue as to the scope of discovery or any discovery disputes that arise. Unless otherwise agreed by the parties, all depositions shall take place in Salt Lake City, Utah. 

Nothing in this provision shall prevent either Executive or the Company from seeking and obtaining temporary or preliminary injunctive relief in court to prevent irreparable harm to Executive’s or Company’s confidential information or trade secrets pending the conclusion of any arbitration. This arbitration agreement does not apply to any claims that have been expressly excluded from arbitration by a governing law not preempted by the Federal Arbitration Act and does not restrict or preclude Executive from communicating with, filing an administrative charge or claim with, or providing testimony to any governmental entity about any actual or potential violation of law or obtaining relief through a government agency process. The parties hereto agree that claims shall be resolved on an individual basis only, and not on a class, collective, or representative basis on behalf of other employees to the fullest extent permitted by applicable law (“Class Waiver”). Any claim that all or part of the Class Waiver is invalid, unenforceable, or unconscionable may be determined only by a court. In no case may class, collective or representative claims proceed in arbitration on behalf of other employees. Except as to the Class Waiver, the arbitrator may decide any issue as to whether or as to the extent to which any dispute is subject to the dispute resolution provisions in this provision and the arbitrator may award any relief permitted by law. The arbitrator will consider and decide any motion for summary judgment or summary adjudication based on the Federal Rules of Civil Procedure as if being decided by a federal district court. The arbitrator must base the arbitration award on the provisions of this section and applicable law and must render the award in writing, including an explanation of the reasons for the award. Judgment upon the award may be entered by any court having jurisdiction of the matter, and the decision of the arbitrator will be final and binding. There is no right to an appeal. Any award or finding will be confidential. 

The arbitrator’s fees will be paid by the Company. Unless otherwise agreed, the prevailing party will be entitled to its costs and attorneys' fees incurred in any litigation or dispute relating to the claims. The arbitrator shall apply the applicable substantive law of Utah in deciding the claims at issue, except as otherwise required by law. Claims will be governed by their applicable statute of limitations and failure to demand arbitration within the prescribed time period shall bar the claims as provided by law. This arbitration agreement is enforceable under and governed by the Federal Arbitration Act. In the event that any portion of this arbitration agreement is held to be invalid or unenforceable, any such provision shall be severed, and the remainder of this arbitration agreement will be given full force and effect. Executive acknowledges and agrees that Executive has read this arbitration agreement carefully, is bound by it and are WAIVING ANY RIGHT TO HAVE A TRIAL BEFORE A COURT OR JURY OF ANY AND ALL CLAIMS SUBJECT TO ARBITRATION UNDER THIS ARBITRATION AGREEMENT.

11.4.     Waivers. The waiver by either party of any right hereunder or of any breach by the other party will not be deemed a waiver of any other right hereunder or of any other breach by the other party. No waiver will be deemed to have occurred unless set forth in writing. No waiver will constitute a continuing waiver unless specifically stated, and any waiver will operate only as to the specific term or condition waived.

11.5.     Severability. Whenever possible, each provision of this Agreement will be interpreted in such manner as to be effective and valid under applicable law. However, if any provision of this Agreement is held to be invalid, illegal or unenforceable in any respect, such invalidity, illegality or 
        13

unenforceability will not affect any other provision, and this Agreement will be reformed, construed and enforced as though the invalid, illegal or unenforceable provision had never been herein contained.

11.6.     Survival. Sections 3, 4, 5, 6, 7, 8, 10 and 12 of this Agreement will survive termination of this Agreement and/or the cessation of Executive’s employment by the Company.

11.7.     Notices. Any notice or communication required or permitted under this Agreement shall be made in writing and shall be sufficient if personally delivered or sent by overnight delivery or by registered or certified mail and addressed, if to Executive, to Executive’s address set forth in the Company’s records, or if to the Company, to its principal office, to the attention of the CEO. Such notice shall be deemed given when delivered if delivered personally, or, if sent by registered or certified mail, at the earlier of actual receipt or three days after mailing in United States mail, addressed as aforesaid with postage prepaid.

11.8.     Entire Agreement: Amendments. This Agreement, the attached exhibits, the Plan, and the RSU Agreement contain the entire agreement and understanding of the parties hereto relating to the subject matter hereof; and merge and supersede all prior and contemporaneous discussions, agreements and understandings of every nature relating to Executive’s employment or engagement with, or compensation by, the Company and any of its affiliates or subsidiaries or any of their predecessors. This Agreement may not be changed or modified, except by an agreement in writing signed by each of the parties hereto.

11.9.     Withholding. The Company shall have the right to withhold from any amount payable hereunder any Federal, state and local taxes in order for the Company to satisfy any withholding tax obligation it may have under any applicable law or regulation.

11.10.  Section Headings. The headings of sections and paragraphs of this Agreement are inserted for convenience only and shall not in any way affect the meaning or construction of any provision of this Agreement.

11.11.  Counterparts; Facsimile. This Agreement may be executed in multiple counterparts (including by facsimile signature), each of which will be deemed to be an original, but all of which together will constitute one and the same instrument.

11.12.  Third Party Beneficiaries. This Agreement will be binding on, inure to the benefit of and be enforceable by the parties and their respective heirs, personal representatives, successors and assigns. This Agreement does not confer any rights, remedies, obligations or liabilities to any entity or person other than Executive and the Company and Executive’s and the Company’s permitted successors and assigns.

11.13.   Acknowledgment of Full Understanding. EXECUTIVE ACKNOWLEDGES AND AGREES THAT HE HAS FULLY READ, UNDERSTANDS AND VOLUNTARILY ENTERS INTO THIS AGREEMENT. EXECUTIVE ACKNOWLEDGES AND AGREES THAT HE HAS HAD AN OPPORTUNITY TO ASK QUESTIONS AND CONSULT WITH AN ATTORNEY OF HIS CHOICE BEFORE SIGNING THIS AGREEMENT.

                        11.14.   Section 409A. The parties intend that the provisions of this Agreement comply with or be exempt from Section 409A of the Internal Revenue Code of 1986, as amended, and the regulations thereunder (collectively, “Section 409A”) and all provisions of this Agreement shall be construed in a manner consistent with the requirements for avoiding taxes or penalties under Section 
        14

409A.  Notwithstanding the foregoing, nothing in the Agreement shall be interpreted or construed to transfer any liability for any tax (including a tax or penalty due as a result or a failure to comply with Section 409A) from Employee to the Company or to any other individual or entity. A termination of employment shall not be deemed to have occurred for purposes of any provision of the Agreement providing for the payment of any amounts or benefits upon or following a termination for employment unless such termination also constitutes a “Separation from Service” within the meaning of Section 409A and, for purposes of any such provision of this Agreement, referees to a “termination,” “termination of employment,” “separation from service” or like terms shall mean Separation from Service. Each installment payment required under this Agreement shall be considered a separate payment for purposes of Section 409A. If, upon separation from service, Executive is a “specified employee” within the meaning of  Section 409A, any payment under this Agreement that is subject to Section 409A and would otherwise be paid within six (6) months after Executive’s separation from service will instead be paid in the seventh moth following Executive’s separation from service (to the extent required by Section 409A(a)(2)(B)(i)).

            11.15.   Protected Activity Not Prohibited.  Executive understands that nothing in this Agreement shall in any way limit or prohibit Executive from engaging in any Protected Activity. For purposes of this Agreement, “Protected Activity” shall mean filing a charge, complaint, or report with, or otherwise communicating, cooperating, or participating in any investigation or proceeding that may be conducted by, any federal, state or local government agency or commission, including the Securities and Exchange Commission, the Equal Employment Opportunity Commission, the Occupational Safety and Health Administration, and the National Labor Relations Board (“Government Agencies”). Executive understands that in connection with such Protected Activity, Executive is permitted to disclose documents or other information as permitted by law, and without giving notice to, or receiving authorization from, the Company. Notwithstanding the foregoing, Executive agrees to take all reasonable precautions to prevent any unauthorized use or disclosure of any information that may constitute Confidential Information to any parties other than the Government Agencies. Executive further understands that “Protected Activity” does not include the disclosure of any Company attorney-client privileged communications. In addition, pursuant to the Defend Trade Secrets Act of 2016, Executive is notified that an individual will not be held criminally or civilly liable under any federal or state trade secret law for the disclosure of a trade secret that (a) is made in confidence to a federal, state, or local government official (directly or indirectly) or to an attorney solely for the purpose of reporting or investigating a suspected violation of law, or (b) is made in a complaint or other document filed in a lawsuit or other proceeding, if (and only if) such filing is made under seal. In addition, an individual who files a lawsuit for retaliation by an employer for reporting a suspected violation of law may disclose the trade secret to the individual’s attorney and use the trade secret information in the court proceeding, if the individual files any document containing the trade secret under seal and does not disclose the trade secret, except pursuant to court order.

            11.16.   280G. Anything in this Agreement to the contrary notwithstanding, in the event that it shall be determined that any payment, distribution, or other action by the Company to or for Executive’s benefit (whether paid or payable or distributed or distributable pursuant to the terms of the Agreement or otherwise (a “Parachute Payment”), would result in an “excess parachute payment” within the meaning of Section 280G(b)(i) of the Code, and the value determined in accordance with Section 280G(d)(4) of the Code of the Parachute Payments, net of all taxes imposed on Executive (the “Net After-Tax Amount”) that Executive would receive would be increased if the Parachute Payments were reduced, then the Parachute Payments shall be reduced by an amount (the “Reduction Amount”) 
        15

so that the Net After-Tax Amount after such reduction is greatest. For purposes of determining the Net After-Tax Amount, Executive shall be deemed to (i) pay federal income taxes at the highest marginal rates of federal income taxation for the calendar year in which the Parachute Payment is to be made, and (ii) pay applicable state and local income taxes at the highest marginal rate of taxation for the calendar year in which the Parachute Payment is to be made, net of the maximum reduction in federal income taxes which could be obtained from deduction of such state and local taxes. Subject to the provisions of this Section 11.16, all determinations required to be made under this Section 11.16, including the Net After-Tax Amount, the Reduction Amount and the Parachute Payments that are to be reduced pursuant to this Section 11.16 and the assumptions to be utilized in arriving at such determinations, shall be made by an independent public accounting firm selected by Executive (the “Accounting Firm”), which shall provide detailed supporting calculations both to the Company and Executive within fifteen (15) business days of the receipt of notice from Executive that there has been a Parachute Payment, or such earlier time as is requested by Executive. The Accounting Firm’s decision as to which Parachute Payments are to be reduced shall be made (a) only from Parachute Payments that the Accounting Firm determines reasonably may be characterized as “parachute payments” under Section 280G of the Code; (b) only from Parachute Payments that are required to be made in cash; (c) only with respect to any amounts that are not payable pursuant to a “nonqualified deferred compensation plan” subject to Code Section 409A of the Code, until those payments have been reduced to zero; and (d) in reverse chronological order, to the extent that any Parachute Payments subject to reduction are made over time (e.g., in installments). In no event, however, shall any Parachute Payments be reduced if and to the extent such reduction would cause a violation of Code Section 409A or other applicable law. All fees and expenses of the Accounting Firm shall be borne solely by the Company. Any determination by the Accounting Firm shall be binding upon the Company and Executive.

 [This space left blank intentionally; signature page follows]

                                                                        NATURE’S SUNSHINE PRODUCTS, INC.

By: /s/ Terrence O. Moorehead

Title: President and Chief Executive Officer

                                                                        SHANE JONES, an individual

  /s/ Shane Jones                                    

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Schedule A
Employment Agreement 

Section 2.1 – Annual Salary: $ 430,000

Section 2.2 – Bonus Target Percentage: 60%

Section 5.1.2 – Severance Period: 12 months

Section 5.6 – Severance Period in a Change of Control for purposes of COBRA coverage: 12 months

Section 5.6 – Change in Control Multiplier: 1.25x 

Employee Initials:    SJ                         Date:         12/19/2022                               

Company Initials:    TM                       Date:       12/19/2022                               

        17

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