Document:

EX-10.6

 Exhibit 10.6 

ACUMEN PHARMACEUTICALS, INC. 

INDEMNIFICATION AGREEMENT 
  

 
 This Indemnification Agreement
(this “Agreement”) is dated as of ________________, and is between Acumen Pharmaceuticals, Inc., a Delaware corporation (the “Company”), and ___________________ (“Indemnitee”).

 RECITALS 

A.    Indemnitee’s service to the Company substantially benefits the Company. 

B.    Individuals are reluctant to serve as directors or officers of corporations or in certain other capacities
unless they are provided with adequate protection through insurance or indemnification against the risks of claims and actions against them arising out of such service. 

C.    Indemnitee does not regard the protection currently provided by applicable law, the Company’s governing
documents and any insurance as adequate under the present circumstances, and Indemnitee may not be willing to serve as a director or officer without additional protection. 

D.    In order to induce Indemnitee to continue to provide services to the Company, it is reasonable, prudent and
necessary for the Company to contractually obligate itself to indemnify, and to advance expenses on behalf of, Indemnitee as permitted by applicable law. 

E.    This Agreement is a supplement to and in furtherance of the indemnification provided in the Company’s
certificate of incorporation and bylaws, and any resolutions adopted pursuant thereto, and this Agreement shall not be deemed a substitute therefor, nor shall this Agreement be deemed to limit, diminish or abrogate any rights of Indemnitee
thereunder. 
 The parties therefore agree as follows: 

1.    Definitions. 

(a)    A “Change in Control” shall be deemed to occur upon the earliest to occur after the date of
this Agreement of any of the following events: 
 (i)    Acquisition of Stock by Third Party. Any Person (as
defined below) is or becomes the Beneficial Owner (as defined below), directly or indirectly, of securities of the Company representing fifty percent (50%) or more of the combined voting power of the Company’s then outstanding securities; 

(ii)    Change in Board Composition. During any period of two consecutive years (not including any period prior to
the execution of this Agreement), individuals who at the beginning of such period constitute the Company’s board of directors, and any new directors (other than a director designated by a person who has entered into an agreement with the
Company to effect a transaction described in Sections 1(a)(i), 1(a)(iii) or 1(a)(iv)) whose election by the board of directors or nomination for election by the Company’s stockholders was approved

 
by a vote of at least two-thirds of the directors then still in office who either were directors at the beginning of the period or whose election or
nomination for election was previously so approved, cease for any reason to constitute at least a majority of the members of the Company’s board of directors; 

(iii)    Corporate Transactions. The effective date of a merger or consolidation of the Company with any other
entity, other than a merger or consolidation which would result in the voting securities of the Company outstanding immediately prior to such merger or consolidation continuing to represent (either by remaining outstanding or by being converted into
voting securities of the surviving entity) more than 50% of the combined voting power of the voting securities of the surviving entity outstanding immediately after such merger or consolidation and with the power to elect at least a majority of the
board of directors or other governing body of such surviving entity; 
 (iv)    Liquidation. The approval by the
stockholders of the Company of a complete liquidation of the Company or an agreement for the sale or disposition by the Company of all or substantially all of the Company’s assets; and 

(v)    Other Events. Any other event of a nature that would be required to be reported in response to Item 6(e) of
Schedule 14A of Regulation 14A (or in response to any similar item on any similar schedule or form) promulgated under the Securities Exchange Act of 1934, as amended, whether or not the Company is then subject to such reporting requirement. 

For purposes of this Section 1(a), the following terms shall have the following meanings: 

(1)    “Person” shall have the meaning as set forth in Sections 13(d) and 14(d) of the Securities
Exchange Act of 1934, as amended; provided, however, that “Person” shall exclude (i) the Company, (ii) any trustee or other fiduciary holding securities under an employee benefit plan of the Company, and
(iii) any corporation owned, directly or indirectly, by the stockholders of the Company in substantially the same proportions as their ownership of stock of the Company. 

(2)    “Beneficial Owner” shall have the meaning given to such term in Rule 13d-3 under the Securities Exchange Act of 1934, as amended; provided, however, that “Beneficial Owner” shall exclude any Person otherwise becoming a Beneficial Owner by reason of
(i) the stockholders of the Company approving a merger of the Company with another entity or (ii) the Company’s board of directors approving a sale of securities by the Company to such Person. 

(b)    “Corporate Status” describes the status of a person who is or was a director, trustee,
general partner, managing member, officer, employee, agent or fiduciary of the Company or any other Enterprise. 

(c)    “DGCL” means the General Corporation Law of the State of Delaware. 

(d)    “Disinterested Director” means a director of the Company who is not and was not a party to
the Proceeding in respect of which indemnification is sought by Indemnitee. 

  
 2. 

 (e)    “Enterprise” means the Company and any
other corporation, partnership, limited liability company, joint venture, trust, employee benefit plan or other enterprise of which Indemnitee is or was serving at the request of the Company as a director, trustee, general partner, managing member,
officer, employee, agent or fiduciary. 
 (f)    “Expenses” include all reasonable
attorneys’ fees, retainers, court costs, transcript costs, fees and costs of experts, witness fees, travel expenses, duplicating costs, printing and binding costs, telephone charges, postage, delivery service fees, and all other disbursements
or expenses of the types customarily incurred in connection with prosecuting, defending, preparing to prosecute or defend, investigating, being or preparing to be a witness in, or otherwise participating in, a Proceeding. Expenses also include
(i) Expenses incurred in connection with any appeal resulting from any Proceeding, including without limitation the premium, security for, and other costs relating to any cost bond, supersedes bond or other appeal bond or their equivalent, and
(ii) for purposes of Section 12(d), Expenses incurred by Indemnitee in connection with the interpretation, enforcement or defense of Indemnitee’s rights under this Agreement or under any directors’ and officers’ liability
insurance policies maintained by the Company. Expenses, however, shall not include amounts paid in settlement by Indemnitee or the amount of judgments or fines against Indemnitee. 

(g)    “Independent Counsel” means a law firm, or a partner or member of a law firm, that is
experienced in matters of corporation law and neither presently is, nor in the past five years has been, retained to represent (i) the Company or Indemnitee in any matter material to either such party (other than as Independent Counsel with
respect to matters concerning Indemnitee under this Agreement, or other indemnitees under similar indemnification agreements), or (ii) any other party to the Proceeding giving rise to a claim for indemnification hereunder. Notwithstanding the
foregoing, the term “Independent Counsel” shall not include any person who, under the applicable standards of professional conduct then prevailing, would have a conflict of interest in representing either the Company or
Indemnitee in an action to determine Indemnitee’s rights under this Agreement. 

(h)    “Proceeding” means any threatened, pending or completed action, suit, arbitration,
mediation, alternate dispute resolution mechanism, investigation, inquiry, administrative hearing or proceeding, whether brought in the right of the Company or otherwise and whether of a civil, criminal, administrative or investigative nature,
including any appeal therefrom and including without limitation any such Proceeding pending as of the date of this Agreement, in which Indemnitee was, is or will be involved as a party, a potential party, a nonparty witness or otherwise by reason of
(i) the fact that Indemnitee is or was a director or officer of the Company, (ii) any action taken by Indemnitee or any action or inaction on Indemnitee’s part while acting as a director or officer of the Company, or (iii) the
fact that he or she is or was serving at the request of the Company as a director, trustee, general partner, managing member, officer, employee, agent or fiduciary of the Company or any other Enterprise, in each case whether or not serving in such
capacity at the time any liability or Expense is incurred for which indemnification or advancement of expenses can be provided under this Agreement. 

(i)    Reference to “other enterprises” shall include employee benefit plans; references to
“fines” shall include any excise taxes assessed on a person with respect to any employee benefit plan; references to “serving at the request of the Company” shall include any service as a director,
officer, employee or agent of the Company which imposes duties on, or 

  
 3. 

 
involves services by, such director, officer, employee or agent with respect to an employee benefit plan, its participants or beneficiaries; and a person who acted in good faith and in a manner
he or she reasonably believed to be in the best interests of the participants and beneficiaries of an employee benefit plan shall be deemed to have acted in a manner “not opposed to the best interests of the Company” as
referred to in this Agreement. 
 2.    Indemnity in Third-Party Proceedings. The Company shall indemnify
Indemnitee in accordance with the provisions of this Section 2 if Indemnitee is, or is threatened to be made, a party to or a participant in any Proceeding, other than a Proceeding by or in the right of the Company to procure a judgment in its
favor. Pursuant to this Section 2, Indemnitee shall be indemnified to the fullest extent permitted by applicable law against all Expenses, judgments, fines and amounts paid in settlement actually and reasonably incurred by Indemnitee or on his
or her behalf in connection with such Proceeding or any claim, issue or matter therein, if Indemnitee acted in good faith and in a manner he or she reasonably believed to be in or not opposed to the best interests of the Company and, with respect to
any criminal action or proceeding, had no reasonable cause to believe that his or her conduct was unlawful. 

3.    Indemnity in Proceedings by or in the Right of the Company. The Company shall indemnify Indemnitee in
accordance with the provisions of this Section 3 if Indemnitee is, or is threatened to be made, a party to or a participant in any Proceeding by or in the right of the Company to procure a judgment in its favor. Pursuant to this Section 3,
Indemnitee shall be indemnified to the fullest extent permitted by applicable law against all Expenses actually and reasonably incurred by Indemnitee or on Indemnitee’s behalf in connection with such Proceeding or any claim, issue or matter
therein, if Indemnitee acted in good faith and in a manner he or she reasonably believed to be in or not opposed to the best interests of the Company. No indemnification for Expenses shall be made under this Section 3 in respect of any claim,
issue or matter as to which Indemnitee shall have been adjudged by a court of competent jurisdiction to be liable to the Company, unless and only to the extent that the Delaware Court of Chancery or any court in which the Proceeding was brought
shall determine upon application that, despite the adjudication of liability but in view of all the circumstances of the case, Indemnitee is fairly and reasonably entitled to indemnification for such expenses as the Delaware Court of Chancery or
such other court shall deem proper. 
 4.    Indemnification for Expenses of a Party Who is Wholly or Partly
Successful. To the extent that Indemnitee is a party to or a participant in and is successful (on the merits or otherwise) in defense of any Proceeding or any claim, issue or matter therein, the Company shall indemnify Indemnitee against all
Expenses actually and reasonably incurred by Indemnitee or on Indemnitee’s behalf in connection therewith. To the extent permitted by applicable law, if Indemnitee is not wholly successful in such Proceeding but is successful, on the merits or
otherwise, in defense of one or more but less than all claims, issues or matters in such Proceeding, the Company shall indemnify Indemnitee against all Expenses actually and reasonably incurred by Indemnitee or on Indemnitee’s behalf in
connection with (a) each successfully resolved claim, issue or matter and (b) any claim, issue or matter related to any such successfully resolved claim, issue or matter. For purposes of this section, the termination of any claim, issue or
matter in such a Proceeding by dismissal, with or without prejudice, shall be deemed to be a successful result as to such claim, issue or matter. 

  
 4. 

 5.    Indemnification for Expenses of a Witness. To the
extent that Indemnitee is, by reason of his or her Corporate Status, a witness in any Proceeding to which Indemnitee is not a party, Indemnitee shall be indemnified to the extent permitted by applicable law against all Expenses actually and
reasonably incurred by Indemnitee or on Indemnitee’s behalf in connection therewith. 
 6.    Additional
Indemnification. 
 (a)    Notwithstanding any limitation in Sections 2, 3 or 4, the Company shall indemnify
Indemnitee to the fullest extent permitted by applicable law if Indemnitee is, or is threatened to be made, a party to or a participant in any Proceeding (including a Proceeding by or in the right of the Company to procure a judgment in its favor)
against all Expenses, judgments, fines and amounts paid in settlement actually and reasonably incurred by Indemnitee or on his or her behalf in connection with the Proceeding or any claim, issue or matter therein. 

(b)    For purposes of Section 6(a), the meaning of the phrase “to the fullest extent permitted by
applicable law” shall include, but not be limited to: 
 (i)    the fullest extent permitted by the
provision of the DGCL that authorizes or contemplates additional indemnification by agreement, or the corresponding provision of any amendment to or replacement of the DGCL; and 

(ii)    the fullest extent authorized or permitted by any amendments to or replacements of the DGCL adopted after the
date of this Agreement that increase the extent to which a corporation may indemnify its officers and directors. 

7.    Exclusions. Notwithstanding any provision in this Agreement, the Company shall not be obligated under
this Agreement to make any indemnity in connection with any Proceeding (or any part of any Proceeding): 
 (a)    for
which payment has actually been made to or on behalf of Indemnitee under any statute, insurance policy, indemnity provision, vote or otherwise, except with respect to any excess beyond the amount paid; 

(b)    for an accounting or disgorgement of profits pursuant to Section 16(b) of the Securities Exchange Act of 1934,
as amended, or similar provisions of federal, state or local statutory law or common law, if Indemnitee is held liable therefor (including pursuant to any settlement arrangements); 

(c)    for any reimbursement of the Company by Indemnitee of any bonus or other incentive-based or equity-based
compensation or of any profits realized by Indemnitee from the sale of securities of the Company, as required in each case under the Securities Exchange Act of 1934, as amended (including any such reimbursements that arise from an accounting
restatement of the Company pursuant to Section 304 of the Sarbanes-Oxley Act of 2002 (the “Sarbanes-Oxley Act”), or the payment to the Company of profits arising from the purchase and sale by Indemnitee of securities in
violation of Section 306 of the Sarbanes-Oxley Act), if Indemnitee is held liable therefor (including pursuant to any settlement arrangements); 

  
 5. 

 (d)    initiated by Indemnitee, including any Proceeding (or any part of
any Proceeding) initiated by Indemnitee against the Company or its directors, officers, employees, agents or other indemnitees, unless (i) the Company’s board of directors authorized the Proceeding (or the relevant part of the Proceeding)
prior to its initiation, (ii) the Company provides the indemnification, in its sole discretion, pursuant to the powers vested in the Company under applicable law, (iii) otherwise authorized in Section 12(d) or (iv) otherwise
required by applicable law; or 
 (e)    if prohibited by applicable law. 

8.    Advances of Expenses. The Company shall advance the Expenses incurred by Indemnitee in connection with
any Proceeding, and such advancement shall be made as soon as reasonably practicable, but in any event no later than 60 days, after the receipt by the Company of a written statement or statements requesting such advances from time to time (which
shall include invoices received by Indemnitee in connection with such Expenses but, in the case of invoices in connection with legal services, any references to legal work performed or to expenditure made that would cause Indemnitee to waive any
privilege accorded by applicable law shall not be included with the invoice). Advances shall be unsecured and interest free and made without regard to Indemnitee’s ability to repay such advances. Indemnitee hereby undertakes to repay any
advance to the extent that it is ultimately determined that Indemnitee is not entitled to be indemnified by the Company. This Section 8 shall not apply to the extent advancement is prohibited by law and shall not apply to any Proceeding for
which indemnity is not permitted under this Agreement, but shall apply to any Proceeding referenced in Section 7(b) or 7(c) prior to a determination that Indemnitee is not entitled to be indemnified by the Company. 

9.    Procedures for Notification and Defense of Claim. 

(a)    Indemnitee shall notify the Company in writing of any matter with respect to which Indemnitee intends to seek
indemnification or advancement of Expenses as soon as reasonably practicable following the receipt by Indemnitee of notice thereof. The written notification to the Company shall include, in reasonable detail, a description of the nature of the
Proceeding and the facts underlying the Proceeding. The failure by Indemnitee to notify the Company will not relieve the Company from any liability which it may have to Indemnitee hereunder or otherwise than under this Agreement, and any delay in so
notifying the Company shall not constitute a waiver by Indemnitee of any rights, except to the extent that such failure or delay materially prejudices the Company. 

(b)    If, at the time of the receipt of a notice of a Proceeding pursuant to the terms hereof, the Company has
directors’ and officers’ liability insurance in effect, the Company shall give prompt notice of the commencement of the Proceeding to the insurers in accordance with the procedures set forth in the applicable policies. The Company shall
thereafter take all commercially-reasonable action to cause such insurers to pay, on behalf of Indemnitee, all amounts payable as a result of such Proceeding in accordance with the terms of such policies. 

(c)    In the event the Company may be obligated to make any indemnity in connection with a Proceeding, the Company shall
be entitled to assume the defense of such Proceeding with counsel approved by Indemnitee, which approval shall not be unreasonably withheld, upon the delivery to Indemnitee of written notice of its election to do so. After delivery

  
 6. 

 
of such notice, approval of such counsel by Indemnitee and the retention of such counsel by the Company, the Company will not be liable to Indemnitee for any fees or expenses of counsel
subsequently incurred by Indemnitee with respect to the same Proceeding. Notwithstanding the Company’s assumption of the defense of any such Proceeding, the Company shall be obligated to pay the fees and expenses of Indemnitee’s counsel to
the extent (i) the employment of counsel by Indemnitee is authorized by the Company, (ii) counsel for the Company or Indemnitee shall have reasonably concluded that there is a conflict of interest between the Company and Indemnitee in the
conduct of any such defense such that Indemnitee needs to be separately represented, (iii) the fees and expenses are non-duplicative and reasonably incurred in connection with Indemnitee’s role in
the Proceeding despite the Company’s assumption of the defense, (iv) the Company is not financially or legally able to perform its indemnification obligations or (v) the Company shall not have retained, or shall not continue to
retain, such counsel to defend such Proceeding. The Company shall have the right to conduct such defense as it sees fit in its sole discretion. Regardless of any provision in this Agreement, Indemnitee shall have the right to employ counsel in any
Proceeding at Indemnitee’s personal expense. The Company shall not be entitled, without the consent of Indemnitee, to assume the defense of any claim brought by or in the right of the Company. 

(d)    Indemnitee shall give the Company such information and cooperation in connection with the Proceeding as may be
reasonably appropriate. 
 (e)    The Company shall not be liable to indemnify Indemnitee for any settlement of any
Proceeding (or any part thereof) without the Company’s prior written consent, which shall not be unreasonably withheld. 

(f)    The Company shall not settle any Proceeding (or any part thereof) without Indemnitee’s prior written consent,
which shall not be unreasonably withheld. 
 10.    Procedures upon Application for Indemnification. 

(a)    To obtain indemnification, Indemnitee shall submit to the Company a written request, including therein or therewith
such documentation and information as is reasonably available to Indemnitee and as is reasonably necessary to determine whether and to what extent Indemnitee is entitled to indemnification following the final disposition of the Proceeding. The
Company shall, as soon as reasonably practicable after receipt of such a request for indemnification, advise the board of directors that Indemnitee has requested indemnification. Any delay in providing the request will not relieve the Company from
its obligations under this Agreement, except to the extent such failure is prejudicial. 
 (b)    Upon written request
by Indemnitee for indemnification pursuant to Section 10(a), a determination, if required by applicable law, with respect to Indemnitee’s entitlement thereto shall be made in the specific case (i) if a Change in Control shall have
occurred, by Independent Counsel in a written opinion to the Company’s board of directors, a copy of which shall be delivered to Indemnitee or (ii) if a Change in Control shall not have occurred, (A) by a majority vote of the
Disinterested Directors, even though less than a quorum of the Company’s board of directors, (B) by a committee of Disinterested Directors designated by a majority vote of the Disinterested Directors, even though less than a quorum of the
Company’s board of directors, (C) if there are no such Disinterested Directors or, if such Disinterested Directors so direct, by 

  
 7. 

 
Independent Counsel in a written opinion to the Company’s board of directors, a copy of which shall be delivered to Indemnitee or (D) if so directed by the Company’s board of
directors, by the stockholders of the Company. If it is so determined that Indemnitee is entitled to indemnification, payment to Indemnitee shall be made within ten days after such determination. Indemnitee shall cooperate with the person, persons
or entity making the determination with respect to Indemnitee’s entitlement to indemnification, including providing to such person, persons or entity upon reasonable advance request any documentation or information that is not privileged or
otherwise protected from disclosure and that is reasonably available to Indemnitee and reasonably necessary to such determination. Any costs or expenses (including attorneys’ fees and disbursements) reasonably incurred by Indemnitee in so
cooperating with the person, persons or entity making such determination shall be borne by the Company, to the extent permitted by applicable law. 

(c)    In the event the determination of entitlement to indemnification is to be made by Independent Counsel pursuant to
Section 10(b), the Independent Counsel shall be selected as provided in this Section 10(c). If a Change in Control shall not have occurred, the Independent Counsel shall be selected by the Company’s board of directors, and the Company
shall give written notice to Indemnitee advising him or her of the identity of the Independent Counsel so selected. If a Change in Control shall have occurred, the Independent Counsel shall be selected by Indemnitee (unless Indemnitee shall request
that such selection be made by the Company’s board of directors, in which event the preceding sentence shall apply), and Indemnitee shall give written notice to the Company advising it of the identity of the Independent Counsel so selected. In
either event, Indemnitee or the Company, as the case may be, may, within ten days after such written notice of selection shall have been given, deliver to the Company or to Indemnitee, as the case may be, a written objection to such selection;
provided, however, that such objection may be asserted only on the ground that the Independent Counsel so selected does not meet the requirements of “Independent Counsel” as defined in Section 1 of this Agreement, and
the objection shall set forth with particularity the factual basis of such assertion. Absent a proper and timely objection, the person so selected shall act as Independent Counsel. If such written objection is so made and substantiated, the
Independent Counsel so selected may not serve as Independent Counsel unless and until such objection is withdrawn or a court has determined that such objection is without merit. If, within 20 days after the later of (i) submission by Indemnitee
of a written request for indemnification pursuant to Section 10(a) hereof and (ii) the final disposition of the Proceeding, the parties have not agreed upon an Independent Counsel, either the Company or Indemnitee may petition a court of
competent jurisdiction for resolution of any objection which shall have been made by the Company or Indemnitee to the other’s selection of Independent Counsel and for the appointment as Independent Counsel of a person selected by the court or
by such other person as the court shall designate, and the person with respect to whom all objections are so resolved or the person so appointed shall act as Independent Counsel under Section 10(b) hereof. Upon the due commencement of any
judicial proceeding pursuant to Section 12(a) of this Agreement, the Independent Counsel shall be discharged and relieved of any further responsibility in such capacity (subject to the applicable standards of professional conduct then
prevailing). 
 (d)    The Company agrees to pay the reasonable fees and expenses of any Independent Counsel and to
fully indemnify such counsel against any and all Expenses, claims, liabilities and damages arising out of or relating to this Agreement or its engagement pursuant hereto. 

  
 8. 

 11.    Presumptions and Effect of Certain Proceedings.

 (a)    In making a determination with respect to entitlement to indemnification hereunder, the person, persons or
entity making such determination shall, to the fullest extent not prohibited by law, presume that Indemnitee is entitled to indemnification under this Agreement if Indemnitee has submitted a request for indemnification in accordance with
Section 10(a) of this Agreement, and the Company shall, to the fullest extent not prohibited by law, have the burden of proof to overcome that presumption in connection with the making by such person, persons or entity of any determination
contrary to that presumption. 
 (b)    The termination of any Proceeding or of any claim, issue or matter therein, by
judgment, order, settlement or conviction, or upon a plea of nolo contendere or its equivalent, shall not (except as otherwise expressly provided in this Agreement) of itself adversely affect the right of Indemnitee to indemnification or
create a presumption that Indemnitee did not act in good faith and in a manner which he or she reasonably believed to be in or not opposed to the best interests of the Company or, with respect to any criminal Proceeding, that Indemnitee had
reasonable cause to believe that his or her conduct was unlawful. 
 (c)    For purposes of any determination of good
faith, Indemnitee shall be deemed to have acted in good faith to the extent Indemnitee relied in good faith on (i) the records or books of account of the Enterprise, including financial statements, (ii) information supplied to Indemnitee
by the officers of the Enterprise in the course of their duties, (iii) the advice of legal counsel for the Enterprise or its board of directors or counsel selected by any committee of the board of directors or (iv) information or records
given or reports made to the Enterprise by an independent certified public accountant, an appraiser, investment banker or other expert selected with reasonable care by the Enterprise or its board of directors or any committee of the board of
directors. The provisions of this Section 11(c) shall not be deemed to be exclusive or to limit in any way the other circumstances in which Indemnitee may be deemed to have met the applicable standard of conduct set forth in this Agreement.

 (d)    Neither the knowledge, actions nor failure to act of any other director, officer, agent or employee of the
Enterprise shall be imputed to Indemnitee for purposes of determining the right to indemnification under this Agreement. 

12.    Remedies of Indemnitee. 

(a)    Subject to Section 12(e), in the event that (i) a determination is made pursuant to Section 10 of
this Agreement that Indemnitee is not entitled to indemnification under this Agreement, (ii) advancement of Expenses is not timely made pursuant to Section 8 or 12(d) of this Agreement, (iii) no determination of entitlement to
indemnification shall have been made pursuant to Section 10 of this Agreement within 90 days after the later of the receipt by the Company of the request for indemnification or the final disposition of the Proceeding, (iv) payment of
indemnification pursuant to this Agreement is not made (A) within ten days after a determination has been made that Indemnitee is entitled to indemnification or (B) with respect to indemnification pursuant to Sections 4, 5 and 12(d) of
this Agreement, within 30 days after receipt by the Company of a written request therefor, or (v) the Company or any other person or entity takes or threatens to take any action to declare this Agreement void or unenforceable, or institutes any
litigation or other action or proceeding designed to deny, or to recover from, Indemnitee the benefits provided or intended to be provided to Indemnitee hereunder, Indemnitee shall be entitled to an adjudication by a court of competent jurisdiction
of his or her entitlement to such indemnification or advancement of Expenses. The Company shall not oppose Indemnitee’s right to seek any such adjudication in accordance with this Agreement. 

  
 9. 

 (b)    Neither (i) the failure of the Company, its board of
directors, any committee or subgroup of the board of directors, Independent Counsel or stockholders to have made a determination that indemnification of Indemnitee is proper in the circumstances because Indemnitee has met the applicable standard of
conduct, nor (ii) an actual determination by the Company, its board of directors, any committee or subgroup of the board of directors, Independent Counsel or stockholders that Indemnitee has not met the applicable standard of conduct, shall be
a defense to the action or create a presumption that Indemnitee has or has not met the applicable standard of conduct. In the event that a determination shall have been made pursuant to Section 10 of this Agreement that Indemnitee is not
entitled to indemnification, any judicial proceeding commenced pursuant to this Section 12 shall be conducted in all respects as a de novo trial, on the merits, and Indemnitee shall not be prejudiced by reason of that adverse
determination. In any judicial proceeding commenced pursuant to this Section 12, the Company shall, to the fullest extent not prohibited by law, have the burden of proving Indemnitee is not entitled to indemnification or advancement of
Expenses, as the case may be. 
 (c)    To the fullest extent not prohibited by law, the Company shall be precluded from
asserting in any judicial proceeding commenced pursuant to this Section 12 that the procedures and presumptions of this Agreement are not valid, binding and enforceable and shall stipulate in any such court that the Company is bound by all the
provisions of this Agreement. If a determination shall have been made pursuant to Section 10 of this Agreement that Indemnitee is entitled to indemnification, the Company shall be bound by such determination in any judicial proceeding commenced
pursuant to this Section 12, absent (i) a misstatement by Indemnitee of a material fact, or an omission of a material fact necessary to make Indemnitee’s statements not materially misleading, in connection with the request for
indemnification, or (ii) a prohibition of such indemnification under applicable law. 
 (d)    To the extent not
prohibited by law, the Company shall indemnify Indemnitee against all Expenses that are incurred by Indemnitee in connection with any action for indemnification or advancement of Expenses from the Company under this Agreement or under any
directors’ and officers’ liability insurance policies maintained by the Company to the extent Indemnitee is successful in such action, and, if requested by Indemnitee, shall (as soon as reasonably practicable, but in any event no later
than 60 days, after receipt by the Company of a written request therefor) advance such Expenses to Indemnitee, subject to the provisions of Section 8. 

(e)    Notwithstanding anything in this Agreement to the contrary, no determination as to entitlement to indemnification
shall be required to be made prior to the final disposition of the Proceeding. 
 13.    Contribution. To
the fullest extent permissible under applicable law, if the indemnification provided for in this Agreement is unavailable to Indemnitee, the Company, in lieu of indemnifying Indemnitee, shall contribute to the amounts incurred by Indemnitee, whether
for Expenses, judgments, fines or amounts paid or to be paid in settlement, in connection with any claim relating to an indemnifiable event under this Agreement, in such proportion as is deemed fair and reasonable in light of all of the
circumstances of such Proceeding in order to reflect (i) the 

  
 10. 

 
relative benefits received by the Company and Indemnitee as a result of the events and transactions giving rise to such Proceeding; and (ii) the relative fault of Indemnitee and the Company
(and its other directors, officers, employees and agents) in connection with such events and transactions. 

14.    Non-exclusivity. The rights of indemnification and to receive
advancement of Expenses as provided by this Agreement shall not be deemed exclusive of any other rights to which Indemnitee may at any time be entitled under applicable law, the Company’s certificate of incorporation or bylaws, any agreement, a
vote of stockholders or a resolution of directors, or otherwise. To the extent that a change in Delaware law, whether by statute or judicial decision, permits greater indemnification or advancement of Expenses than would be afforded currently under
the Company’s certificate of incorporation and bylaws and this Agreement, it is the intent of the parties hereto that Indemnitee shall enjoy by this Agreement the greater benefits so afforded by such change, subject to the restrictions
expressly set forth herein or therein. Except as expressly set forth herein, no right or remedy herein conferred is intended to be exclusive of any other right or remedy, and every other right and remedy shall be cumulative and in addition to every
other right and remedy given hereunder or now or hereafter existing at law or in equity or otherwise. Except as expressly set forth herein, the assertion or employment of any right or remedy hereunder, or otherwise, shall not prevent the concurrent
assertion or employment of any other right or remedy. 
 15.    Primary Responsibility. The Company
acknowledges that to the extent Indemnitee is serving as a director on the Company’s board of directors at the request or direction of a venture capital fund or other entity and/or certain of its affiliates (collectively, the “Secondary
Indemnitors”), Indemnitee may have certain rights to indemnification and advancement of expenses provided by such Secondary Indemnitors. The Company agrees that, as between the Company and the Secondary Indemnitors, the Company is primarily
responsible for amounts required to be indemnified or advanced under the Company’s certificate of incorporation or bylaws or this Agreement and any obligation of the Secondary Indemnitors to provide indemnification or advancement for the same
amounts is secondary to those Company obligations. To the extent not in contravention of any insurance policy or policies providing liability or other insurance for the Company or any director, trustee, general partner, managing member, officer,
employee, agent or fiduciary of the Company or any other Enterprise, the Company waives any right of contribution or subrogation against the Secondary Indemnitors with respect to the liabilities for which the Company is primarily responsible under
this Section 15. In the event of any payment by the Secondary Indemnitors of amounts otherwise required to be indemnified or advanced by the Company under the Company’s certificate of incorporation or bylaws or this Agreement, the
Secondary Indemnitors shall be subrogated to the extent of such payment to all of the rights of recovery of Indemnitee for indemnification or advancement of expenses under the Company’s certificate of incorporation or bylaws or this Agreement
or, to the extent such subrogation is unavailable and contribution is found to be the applicable remedy, shall have a right of contribution with respect to the amounts paid. The Secondary Indemnitors are express third-party beneficiaries of the
terms of this Section 15. 
 16.    No Duplication of Payments. The Company shall not be liable under
this Agreement to make any payment of amounts otherwise indemnifiable hereunder (or for which advancement is provided hereunder) if and to the extent that Indemnitee has otherwise actually received payment for such amounts under any insurance
policy, contract, agreement or otherwise. 

  
 11. 

 17.    Insurance. To the extent that the Company maintains
an insurance policy or policies providing liability insurance for directors, trustees, general partners, managing members, officers, employees, agents or fiduciaries of the Company or any other Enterprise, Indemnitee shall be covered by such policy
or policies to the same extent as the most favorably-insured persons under such policy or policies in a comparable position. 

18.    Subrogation. In the event of any payment under this Agreement, the Company shall be subrogated to the
extent of such payment to all of the rights of recovery of Indemnitee, who shall execute all papers required and take all action necessary to secure such rights, including execution of such documents as are necessary to enable the Company to bring
suit to enforce such rights. 
 19.    Services to the Company. Indemnitee agrees to serve as a director
or officer of the Company or, at the request of the Company, as a director, trustee, general partner, managing member, officer, employee, agent or fiduciary of another Enterprise, for so long as Indemnitee is duly elected or appointed or until
Indemnitee tenders his or her resignation or is removed from such position. Indemnitee may at any time and for any reason resign from such position (subject to any other contractual obligation or any obligation imposed by operation of law), in which
event the Company shall have no obligation under this Agreement to continue Indemnitee in such position. This Agreement shall not be deemed an employment contract between the Company (or any of its subsidiaries or any Enterprise) and Indemnitee.
Indemnitee specifically acknowledges that any employment with the Company (or any of its subsidiaries or any Enterprise) is at will, and Indemnitee may be discharged at any time for any reason, with or without cause, with or without notice, except
as may be otherwise expressly provided in any executed, written employment contract between Indemnitee and the Company (or any of its subsidiaries or any Enterprise), any existing formal severance policies adopted by the Company’s board of
directors or, with respect to service as a director or officer of the Company, the Company’s certificate of incorporation or bylaws or the DGCL. No such document shall be subject to any oral modification thereof. 

20.    Duration. This Agreement shall continue until and terminate upon the later of (a) ten years
after the date that Indemnitee shall have ceased to serve as a director or officer of the Company or as a director, trustee, general partner, managing member, officer, employee, agent or fiduciary of any other Enterprise, as applicable; or
(b) one year after the final termination of any Proceeding, including any appeal, then pending in respect of which Indemnitee is granted rights of indemnification or advancement of Expenses hereunder and of any proceeding commenced by
Indemnitee pursuant to Section 12 of this Agreement relating thereto. 
 21.    Successors. This
Agreement shall be binding upon the Company and its successors and assigns, including any direct or indirect successor by purchase, merger, consolidation or otherwise to all or substantially all of the business or assets of the Company, and shall
inure to the benefit of Indemnitee and Indemnitee’s heirs, executors and administrators. 

22.    Severability. Nothing in this Agreement is intended to require or shall be construed as requiring the
Company to do or fail to do any act in violation of applicable law. The Company’s inability, pursuant to court order or other applicable law, to perform its obligations under this Agreement shall not constitute a breach of this Agreement. If
any provision or provisions of this Agreement shall be held to be invalid, illegal or unenforceable for any reason whatsoever: (i) the validity, legality and enforceability of the remaining provisions of this Agreement (including

  
 12. 

 
without limitation, each portion of any section of this Agreement containing any such provision held to be invalid, illegal or unenforceable, that is not itself invalid, illegal or unenforceable)
shall not in any way be affected or impaired thereby and shall remain enforceable to the fullest extent permitted by law; (ii) such provision or provisions shall be deemed reformed to the extent necessary to conform to applicable law and to
give the maximum effect to the intent of the parties hereto; and (iii) to the fullest extent possible, the provisions of this Agreement (including, without limitation, each portion of any section of this Agreement containing any such provision
held to be invalid, illegal or unenforceable, that is not itself invalid, illegal or unenforceable) shall be construed so as to give effect to the intent manifested thereby. 

23.    Enforcement. The Company expressly confirms and agrees that it has entered into this Agreement and
assumed the obligations imposed on it hereby in order to induce Indemnitee to serve as a director or officer of the Company, and the Company acknowledges that Indemnitee is relying upon this Agreement in serving as a director or officer of the
Company. 
 24.    Entire Agreement. This Agreement constitutes the entire agreement between the parties
hereto with respect to the subject matter hereof and supersedes all prior agreements and understandings, oral, written and implied, between the parties hereto with respect to the subject matter hereof; provided, however, that this
Agreement is a supplement to and in furtherance of the Company’s certificate of incorporation and bylaws and applicable law. 

25.    Modification and Waiver. No supplement, modification or amendment to this Agreement shall be binding
unless executed in writing by the parties hereto. No amendment, alteration or repeal of this Agreement shall adversely affect any right of Indemnitee under this Agreement in respect of any action taken or omitted by such Indemnitee in his or her
Corporate Status prior to such amendment, alteration or repeal. No waiver of any of the provisions of this Agreement shall constitute or be deemed a waiver of any other provision of this Agreement nor shall any waiver constitute a continuing waiver.

 26.    Notices. All notices and other communications required or permitted hereunder shall be in
writing and shall be mailed by registered or certified mail, postage prepaid, sent by facsimile or electronic mail or otherwise delivered by hand, messenger or courier service addressed: 

(a)    if to Indemnitee, to Indemnitee’s address, facsimile number or electronic mail address set forth below
Indemnitee signature hereto; or 
 (b)    if to the Company, to the attention of the President and Chief Executive
Officer of the Company at Acumen Pharmaceuticals, Inc., 427 Park St, Charlottesville, VA 22902, or at such other current address as the Company shall have furnished to Indemnitee, with a copy (which shall not constitute notice) to Darren DeStefano,
Cooley LLP, 11951 Freedom Dr # 1500, Reston, VA 20190. 
 Each such notice or other communication shall for all purposes of this Agreement
be treated as effective or having been given (i) if delivered by hand, messenger or courier service, when delivered (or if sent via a nationally-recognized overnight courier service, freight prepaid, specifying next-business-day delivery, one business day after deposit with the courier), or (ii) if sent via mail, at the earlier of its receipt or five days after the same has been deposited in a

  
 13. 

 
regularly-maintained receptacle for the deposit of the United States mail, addressed and mailed as aforesaid , or (iii) if sent via facsimile, upon confirmation of facsimile transfer
or, if sent via electronic mail, upon confirmation of delivery when directed to the relevant electronic mail address, if sent during normal business hours of the recipient, or if not sent during normal business hours of the recipient, then on
the recipient’s next business day. 
 27.    Applicable Law and Consent to Jurisdiction. This
Agreement and the legal relations among the parties shall be governed by, and construed and enforced in accordance with, the laws of the State of Delaware, without regard to its conflict of laws rules. Except with respect to any arbitration
commenced by Indemnitee pursuant to Section 12(a) of this Agreement, the Company and Indemnitee hereby irrevocably and unconditionally (i) agree that any action or proceeding arising out of or in connection with this Agreement shall be
brought only in the Delaware Court of Chancery, and not in any other state or federal court in the United States of America or any court in any other country, (ii) consent to submit to the exclusive jurisdiction of the Delaware Court of
Chancery for purposes of any action or proceeding arising out of or in connection with this Agreement, (iii) appoint, to the extent such party is not otherwise subject to service of process in the State of Delaware, Capitol Services, Inc.,
Dover, Delaware as its agent in the State of Delaware as such party’s agent for acceptance of legal process in connection with any such action or proceeding against such party with the same legal force and validity as if served upon such party
personally within the State of Delaware, (iv) waive any objection to the laying of venue of any such action or proceeding in the Delaware Court of Chancery, and (v) waive, and agree not to plead or to make, any claim that any such action
or proceeding brought in the Delaware Court of Chancery has been brought in an improper or inconvenient forum. 

28.    Counterparts. This Agreement may be executed in one or more counterparts, each of which shall for all
purposes be deemed to be an original but all of which together shall constitute one and the same Agreement. This Agreement may also be executed and delivered by facsimile signature and in counterparts, each of which shall for all purposes be deemed
to be an original but all of which together shall constitute one and the same Agreement. Only one such counterpart signed by the party against whom enforceability is sought needs to be produced to evidence the existence of this Agreement. 

29.    Captions. The headings of the paragraphs of this Agreement are inserted for convenience only and
shall not be deemed to constitute part of this Agreement or to affect the construction thereof. 
 (signature page follows) 

  
 14. 

 The parties are signing this Indemnification Agreement as of the date stated in the
introductory sentence. 
  

	
	ACUMEN PHARMACEUTICALS, INC.
	
	  

	(Signature)
	
	  

	(Print name)
	
	  

	(Title)
	
	[INSERT INDEMNITEE NAME]
	
	  

	(Signature)
	
	  

	(Print name)
	
	  

	(Street address)
	
	  

	(City, State and ZIP)

  
 (Signature page
to Indemnification Agreement)Exhibit
10.1

 

EXECUTIVE
EMPLOYMENT AGREEMENT

 

This
Executive Employment Agreement (this “Agreement”) is made and entered into effective this 28th day of June, 2021 (the
“Effective Date”) by and between Surna Inc., a Nevada corporation whose address is 1780 55th Street, Boulder,
Colorado 80301 (the “Company”) and R. Brian Knaley, an adult resident of the State of Colorado (the “Executive”).
The Executive and the Company may be referred to herein individually as a “Party” or collectively as the “Parties.”

 

AGREED
ACKNOWLEDGMENTS

 

A.
The Company is engaged in the development, design and distribution of cultivation technologies for controlled environment agriculture
for state-regulated cannabis cultivation facilities and traditional indoor agricultural facilities, including lighting, environmental
control and air sanitation designed to meet the specific environmental conditions required for indoor cultivation and to reduce energy
and water consumption (the “Business”).

 

B.
In connection with the Business, the Company manufactures or is developing, sells and delivers the following products and services: (i)
liquid-based process cooling and climate control systems, (ii) reflectors and lighting systems, including water-cooled reflectors, (iii)
a full-service engineering package for designing and engineering commercial scale thermodynamic systems specific to indoor cultivation
facility conditions, (iv) automation and control devices, systems and technologies used for environmental, lighting and climate control
in indoor cultivation facilities, (v) a comprehensive, hybrid cultivation facility design and building utilizing sunlight and a high-power
LED lighting system, and (vi) and other products, services, and technologies now or hereafter developed related to the foregoing (collectively,
the “Products”)

 

C.
The Business of the Company is highly competitive and requires the creation of intimate and prolonged relationships with the Company’s
customers because of the custom products developed for individual customers, and the significance of adapting to the marketing plans
continually being created by these customers.

 

D.
The Company has invested and will continue to invest considerable sums of time, money, and other resources in developing the confidence
and loyalty of its customers and potential customers and to recruit, train, support and compensate its employees and potential employees.
In addition, the Company expends significant amounts of time and money to attract, identify, locate, and establish contacts and business
relationships with prospective customers. The loss of these existing and prospective relationships with customers, and with existing
and potential employees, will cause substantial and irreparable harm to the Company, which cannot be accurately or adequately compensated
by money alone.

 

E.
The Company desires to retain the services of the Executive as a member of the Company’s management team. The Executive desires
to continue such employment and commits to devote all of the Executive’s business time and attention to services benefiting the
Company. Both the Executive and the Company wish to enter into this Agreement to set forth the terms and conditions of the Executive’s
employment with the Company.

 

F.
The Executive acknowledges that, in the course of the Executive’s employment with the Company, the Executive will frequently come
into contact with the Company’s customers and suppliers to such an extent that the Executive may be able to control or direct,
in whole or in part, the business and relationships between the Company and its customers and suppliers. Accordingly, the Company reposes
its trust in the Executive not to disrupt or otherwise misappropriate the customer and supplier relationships developed and/or supported
by the Company.

 

    	 

     

    

 

G.
The Executive will also, during the course of the Executive’s employment with the Company, have frequent and close contact with
the Company’s other executive managers, salespeople, and key staff employees. As a result of the Executive’s position, the
Executive will acquire and have access to confidential information concerning the Company’s employees, prospective employees, customers,
suppliers, and prospective customers and suppliers that is not easily or generally available to the Company’s competitors.

 

H.
The Executive acknowledges that, by virtue of the Executive’s position with the Company, the Executive will have access to certain
secret and confidential business data and information belonging to the Company including, but not limited to: marketing plans, financial
strategies, market surveys and assessments, customer and Company technical information, financial statements, budget data, personnel
records, customer profiles and purchase requirements, product design, engineering and technical specifications, pricing plans and strategies,
sales contracts and proposals, private and confidential discussions with executive managers, legal advice and strategies, performance
evaluations, price schedules from suppliers, litigation and planned litigation, capital needs, lists of customers and potential customers,
hiring and training goals, internal operation and production reports and schedules, compensation packages, customer account projections,
licenses, promotional plans and information, corporate policies for internal operations, bids and proposals by suppliers and to customers,
identities and personal profiles of key persons at customers and potential customers, expense data by customer, and other confidential
and sensitive business information developed and maintained by the Company.

 

I.
The Company has a valuable and proprietary interest in the confidential information described in paragraph H above and has expended considerable
time and money to safeguard and protect such information from direct or indirect divulgence of same by its employees, including the Executive.
In addition, as part of the Company’s relationship with each of its customers, the Company assures customers that the unique, confidential,
and secret information shared by customers with the Company will be protected from disclosure to and unauthorized use by others. Any
divulgence of such information will constitute an irreparable injury to the Company and the Company’s customers.

 

J.
The Executive acknowledges that (i) the Executive’s position with the Company is one of great trust and confidence requiring that
the Executive exercise a high degree of loyalty, honesty, and integrity, (ii) the Executive has and will receive substantial and adequate
monetary consideration and benefits pursuant to this Agreement, (iii) the Executive has read and understood the terms of this Agreement
and signed the same as a free and voluntary act, and (iv) the Executive understands that there is no need to continue employment with
the Company, but the Executive has freely chosen to enter into this Agreement because of a desire to take advantage of the specific and
unique opportunities offered by continued employment with the Company and the additional benefits provided for herein.

 

AGREEMENTS

 

In
consideration of the Agreed Acknowledgments and the mutual covenants and agreements set forth in this Agreement, the Parties agree as
follows:

 

1.
Acknowledgments. The acknowledgments set forth above are accurate and are hereby incorporated by reference in this Agreement.

 

2.
Employment. The Company hereby employs the Executive and the Executive hereby accepts employment with the Company on the
terms and conditions set forth in this Agreement.

 

3.
Duties. During the Term (as defined below), the Executive shall be employed by the Company as the Chief Financial Officer
(“CFO”) and, as such, the Executive shall have such responsibilities and authority as are customary for a CFO of a
publicly traded company of similar size and nature as the Company as may be assigned from time to time by the Company’s Chief Executive
Officer (the “CEO”), and shall faithfully perform for the Company the duties of such office and shall report directly to
the CEO. At all times during the Term, the Executive shall adhere to all of the Company’s policies, rules and regulations governing
the conduct of its employees, including without limitation, any compliance manual, code of ethics, employee handbook or other policies
adopted by the Company from time to time. The Company and the Executive acknowledge that the Parties have entered into that certain Indemnification
Agreement dated 28 June, 2021 (“D&O Indemnity Agreement”). Beginning with the Company’s Quarterly Report
on Form 10-Q for the quarter ended September 30, 2021, the Company and the Executive acknowledge and agree that the Executive will sign
the Company’s periodic reports to be filed with the Securities and Exchange Commission (the “SEC”) and will
be designated by the Board as the Company’s Principal Financial and Accounting Officer. Subject to the request and approval of
the Board, the Executive will serve as the Company’s Treasurer and Secretary.

 

    	2

     

    

 

4.
Extent of Services. Except for illnesses and vacation periods, the Executive shall devote the Executive’s full business
time and attention and the Executive’s best efforts to the performance of the Executive’s duties and responsibilities under
this Agreement. Notwithstanding the foregoing, the Executive may participate in charitable, academic, community religious or other non-profit
activities, and in trade or professional organizations (the “Permitted Activities”) or such other activities as specifically
agreed to in writing by the Company in advance from time to time in the Company’s sole discretion, provided that all of the Executive’s
activities outside of the Executive’s duties to the Company, individually or in the aggregate, shall comply with the Company’s
conflict of interest policies and corporate governance guidelines as in effect from time to time, do not otherwise interfere with the
Executive’s duties and responsibilities to the Company, and do not compete with or adversely affect the Business of the Company.
Subject to the provisions of Section 11 herein, the Executive may make any passive investment in any publicly traded entity, or own five
percent (5%) or less of the issued and outstanding voting securities of any entity, provided, in any event, that the Executive is not
obligated or required to, and shall not in fact, devote any consulting or managerial effort or services in connection therewith, except
for the Permitted Activities.

 

5.
Place of Performance. The Executive will perform the Executive’s duties for the Company from the Company’s
corporate offices in Boulder, Colorado (the “Corporate Office”), except that the Executive will travel to perform
services as required for the proper performance of the Executive’s duties under this Agreement.

 

6.
Term; At-Will Employment; Termination. This Agreement and the Executive’s employment hereunder shall commence on
the Effective Date and, subject to earlier termination as provided in this Section 6, shall continue in full force and effect thereafter
until June 30, 2024 (the “Initial Term”) and, by mutual written agreement of the Parties, may be extended for a term
of one (1) additional year (an “Extended Term”) at the end of the Initial Term, and an additional one (1) year Extended
Term at the end of each Extended Term (the last day of the Initial Term and each such Extended Term is referred to herein as a “Term
Date”). Notwithstanding any other provision of this Agreement to the contrary, either Party may terminate this Agreement, at
any time, with or without Cause (as defined herein), by providing the other Party with thirty (30) days’ prior written notice.
During the Term (as defined below) and for so long as the Executive is employed by Company, the Executive shall be an at-will employee
of Company. The employment of the Executive by the Company shall terminate immediately upon death of the Executive. Any termination of
the Executive’s employment by the Company or by the Executive (other than termination pursuant to death) shall be communicated
by written notice of termination to the other Party hereto in accordance with this Agreement. The Executive acknowledges and agrees that
this Agreement does not constitute a contract of employment or obligate the Company to employ the Executive for a stated period of time.
For purposes of this Agreement, “Term” shall mean the actual duration of the Executive’s employment hereunder,
taking into account any extensions or any termination of employment pursuant to this Section 6, and “Date of Termination”
shall mean the date the Executive’s employment is terminated in accordance with this Section 6.

 

    	3

     

    

 

7.
Compensation.

 

a.
Salary. The Company shall pay the Executive an annualized base salary (the “Base Salary”) of $250,000
per year, which shall be payable in equal installments in accordance with the Company’s standard payroll practice from time to
time, less customary or legally required withholdings and deductions, for periods actually worked by the Executive. Upon the uplisting
of the Company to a national stock exchange (Nasdaq or NYSE), the Base Salary will be increased to $275,000.

 

b.
Non-qualified Stock Options. Upon execution of this Agreement or as soon as practicable thereafter, subject to the approval
of the Board (or an authorized committee thereof), the Company shall grant Options (as defined in the Company’s 2017 Equity Incentive
Plan, as adopted by the Board on August 1, 2017, as modified and amended by the Company from time to time (the “EIP”)),
which shall not be designated as Incentive Stock Options (as defined in the EIP) (the “Non-qualified Stock Options”),
to the Executive, which shall be subject to the terms of the EIP and a separate Non-qualified Stock Option Agreement to be executed by
the Company and the Executive, substantially in the form attached hereto as Exhibit A. The exercise price of the Non-qualified
Stock Options shall be valued at 100% of the Fair Market Value (as defined in the EIP) on the date immediately prior to the date such
Non-qualified Stock Options are granted by the Board (the “Grant Date”). As a condition to the Company’s obligations
with respect to the Non-qualified Stock Options (including, without limitation, any obligation to deliver any shares of the Company’s
common stock upon the exercise of the Non-qualified Stock Options), the Executive shall make arrangements satisfactory to the Company
to pay to the Company the exercise price together with any federal, state, local, or foreign taxes of any kind required to be withheld
with respect to the delivery of shares of common stock underlying the Non-qualified Stock Options. The number of Non-qualified Stock
Options and the vesting schedules thereof are set forth below:

 

	 	Number
    of Shares of

    Common
    Stock underlying Non-qualified Stock Options
	 	Vesting
    Schedule
	 	 	 	 
	 	250,000
shares
	 	Vest
and become exercisable on the Grant Date

	 	 	 	 
	 	417,000
shares
	 	

    Vest
and become exercisable on June 30, 2022, provided the Executive is employed on June 30, 2022

	 	 	 	 
	 	665,000
shares
	 	Vest
and become exercisable on June 30, 2023, provided the Executive is employed on June 30, 2023

	 	 	 	 
	 	668,000
shares
	 	Vest
and become exercisable on June 30, 2024, provided the Executive is employed on June 30, 2024

 

    	4

     

    

 

c.
Incentive Bonus Program. The Executive shall be eligible to receive an annual incentive bonus (each an “Annual
Incentive Bonus”) as described in the Company’s Annual Incentive Compensation Plan and Policy (the “Plan”)
for each full or partial completed calendar year of employment during the Term as determined by the Board in its sole discretion. Given
the agreed upon base salary as set forth above, the Executive will only be eligible for 50% of the incentive award allocated to Executives
under the Plan for plan year 2021. If a similar plan is in place for playnyear 2022 and subsequent years, the Executive will be eligible
for 100% of the incentive award allocated to Executives under the Plan. The Annual Incentive Bonus for a completed calendar year of employment
shall be paid on or before the March 31st immediately following the end of the completed calendar year. Other than as set
forth in Section 9, the Executive must be employed by, or be providing services to, the Company or an affiliate of the Company on the
date an Annual Incentive Bonus is to be paid to be eligible to receive the Annual Incentive Bonus for such completed calendar year of
employment. Payment of the Annual Incentive Bonus may be made in the form of cash, stock bonus (issued pursuant to the EIP), or a combination
thereof, as determined in the sole discretion of the Board (or an authorized committee thereof). As a condition to the Company’s
obligations with respect to any stock bonus (including, without limitation, any obligation to deliver any shares of Common Stock with
respect to any stock bonus), the Executive shall make arrangements satisfactory to the Company to pay to the Company any federal, state,
local, or foreign taxes of any kind required to be withheld with respect to the delivery of shares of Common Stock with respect to such
stock bonus. The award of any Annual Incentive Bonus shall be determined by the Board in its sole discretion. Notwithstanding the foregoing,
the Executive acknowledges and agrees that the Non-qualified Stock Options are the primary form of incentive compensation to which the
Executive will be entitled during the Initial Term.

 

d.
Clawback. Notwithstanding any other provisions in this Agreement to the contrary, any incentive-based compensation, or
any other compensation, paid to the Executive pursuant to this Agreement or any other agreement or arrangement with the Company which
is subject to recovery under any law, governmental regulation, or stock exchange listing requirement, will be subject to such deductions
and clawback as may be required to be made pursuant to such law, government regulation or stock exchange listing requirement.

 

8.
Fringe Benefits. The Company shall provide the following benefits to the Executive during the Term:

 

a.
Executive Benefit Plans. The Executive will be eligible to participate in any employee benefit plans including, without
limitation, group insurance, profit sharing and 401(k) plans, sponsored generally by the Company for its employees as may be offered
from time to time. Notwithstanding the foregoing, the Company may modify or terminate any employee benefit plan at any time.

 

b.
Vacation. The Executive shall accrue in accordance with the Company’s vacation policy as in effect from time to time
twenty (20) days per year of paid vacation time, provided that, any earned but unused vacation in a year may not be carried forward to
future years.

 

c.
Personal Days, Sick Leave and Holidays. The Executive shall be entitled to receive paid personal days, sick days and holidays
under the guidelines established by the Company from time to time for the Company’s executive and management employees, provided
that, any earned but unused personal and sick days in a year may not be carried forward to future years.

 

d.
Business Expense Reimbursement. Subject to the Company’s policies and procedures for the reimbursement of business
expenses incurred by its executive and management employees, the Company shall reimburse the Executive for reasonable expenses incurred
by the Executive in connection with the performance of the Executive’s duties pursuant to this Agreement, including, but not limited
to, travel expenses, continuing professional education, professional conventions or similar professional functions and other reasonable
business expenses. The Executive agrees to provide the Company with receipts and/or documentation sufficient to permit the Company to
take its full business expense deduction. The Company shall have no obligation to reimburse the Executive for expenses claimed if the
Executive does not provide sufficient receipts and/or documentation. The Executive shall submit requests for reimbursement of business
expenses at least once every month. The Executive shall not be entitled to a corporate credit card, and any frequent flyer miles earned
for travel contemplated under this Agreement shall be owned by the Executive.

 

e.
Miscellaneous Benefits. The Executive is also entitled to receive any other fringe benefits that Company may from time
to time make available generally to its management employees.

 

    	5

     

    

 

9.
Effects of Termination.

 

a.
Accrued Benefits. If the employment of the Executive should terminate at the election of the Company with or without Cause,
at the election of the Executive, due to the Executive’s death, or upon expiration of the Term, then the Company will pay or provide
to the Executive or, in the event of the Executive’s death, to the estate of the Executive:

 

i.
any earned and accrued but unpaid Base Salary through the Date of Termination payable in accordance with the Company’s normal payroll
practices;

 

ii.
reimbursement for any unreimbursed business expenses incurred through the Date of Termination in accordance with Section 8(d); and

 

iii.
all other applicable payments or benefits to which the Executive shall be entitled under, and paid or provided in accordance with, the
terms of any applicable arrangement, plan or program under Section 8(a)-(c) (collectively, Sections 9(a)(i)-(iii), payable in accordance
with this Section 9(a), shall be hereafter referred to as the “Accrued Benefits”).

 

b.
Death Benefit. If the employment of the Executive should terminate during the Term due to the Executive’s death,
then the Company will pay or provide to the estate of the Executive (in addition to the Accrued Benefits payable under Section 9(a)),
subject to Section 9(e), any Board-approved but unpaid Annual Incentive Bonus for any completed period of employment prior to
the Executive’s death, payable when the applicable Annual Incentive Bonus for such completed period of employment would have otherwise
been paid.

 

c.
Termination by the Company without Cause. If the employment of the Executive should terminate at the election of the Company
without Cause, the Company will pay or provide to the Executive (in addition to the Accrued Benefits payable under Section 9(a)), subject
to Sections 9(e) and 10:

 

i.
continued payment of the Executive’s Base Salary for a period equal to the lesser of thirty (30) days from the Date of Termination
or the then applicable Term Date, whichever occurs first, payable in accordance with the Company’s normal payroll practices (but
off employee payroll) (the “Severance Payments”); provided that, the first payment of the Severance Payments shall
be made on the fifteenth (15th) day after the Date of Termination, and will include payment of any amount of the Severance
Payments that were otherwise due prior thereto; and

 

ii.
any Board-approved but unpaid Annual Incentive Bonus for any completed period of employment prior to the Executive’s termination,
payable when the applicable Annual Incentive Bonus for such completed period of employment would have otherwise been paid.

 

For
purposes of this Agreement, the term “Cause” means that the Executive: (i) has been convicted of, or entered a plea
of guilty or “nolo contendere” to, a felony or a crime involving moral turpitude causing material harm to the standing
and reputation of the Company, (ii) violated any of the Executive’s obligations under this Agreement, any award agreement under
the EIP, any proprietary rights, non-competition, non-disclosure or other restrictive covenant agreements in effect between the Executive
and the Company, including such agreements in this Agreement, which are demonstrably willful or deliberate on the Executive’s part,
(iii) has willfully or deliberately failed to perform the Executive’s material duties assigned by, or to follow the lawful orders
and direction of, the Board (other than by reason of illness or temporary disability), (iv) has engaged in illegal conduct, gross misconduct,
fraud or material dishonesty in connection with the Business of the Company, (v) has engaged in willful misappropriation or embezzlement
of any of the Company’s funds or property, or (vi) has engaged in conduct that violated the Company’s then existing written
internal policies or procedures and which is detrimental to the Business or reputation of the Company. Any of the aforesaid clauses (ii),
(iii) and (vi) may be cured by the Executive, if curable, if cured within fifteen (15) days after receipt by the Executive of written
notice of the same. In the event such acts or omissions are capable of being cured, the effective date of termination, in the event of
the Executive’s failure to cure, must be at least fifteen (15) days after such notice of termination to afford the Executive the
ability to cure the same. The Company may place the Executive on paid leave for up to sixty (60) consecutive days while it is determining
whether there is a basis to terminate Executive’s employment for Cause.

 

    	6

     

    

 

d.
Expiration of Term. In the event that the Initial Term expires on June 30, 2024 without being extended by the Parties,
the Company will pay or provide to the Executive (in addition to the Accrued Benefits payable under Section 9(a)), subject to Section
9(e), any Board-approved but unpaid Annual Incentive Bonus for the six-month period ended June 30, 2024, payable when the applicable
Annual Incentive Bonus for such completed period of employment would have otherwise been paid.

 

e.
Release. Any payments or benefits by the Company required under Sections 9(b), 9(c), and 9(d) shall be conditioned on and
shall not be payable unless the Company receives from the Executive (or, in the event of the Executive’s death, the estate of the
Executive) within thirty (30) days of the Date of Termination a fully effective and non-revocable written release in form and substance
reasonably acceptable to the Company of any and all past, present or future claims that the Executive (or, in the event of the Executive’s
death, the estate of the Executive) may have against the Company or any of its affiliates and any of their respective officers, directors
and other related parties (all claims released in this Section 9(e) being referred to as the “Released Claims”), provided,
however, that the Released Claims shall not include any claim by the Executive for indemnification from the Company relating to any act
or omission prior to the Date of Termination, in each instance to the extent the Executive would have the right to be indemnified therefor
under (and not otherwise prohibited or restricted by): (i) the laws of the State of Nevada, (ii) any Federal law applicable to the Company
or the Executive, (iii) the Company’s articles of incorporation or bylaws, as amended, and (iv) the D&O Indemnity Agreement.
The Company agrees to provide a form of release within seven (7) days of the Date of Termination.

 

f.
Termination of Authority. Immediately upon the Executive terminating or being terminated from the Executive’s employment
with the Company for any reason, notwithstanding anything else appearing in this Agreement or otherwise, the Executive will stop serving
the functions of the Executive’s terminated or expired position(s), including but not limited to any director or officer positions
at the Company or any of its affiliates, and shall be without any of the authority or responsibility for such position(s).

 

10.
Section 409A.

 

a.
Although the Company does not guarantee the tax treatment of any payments under this Agreement, the intent of the Parties is that the
payments and benefits under this Agreement be exempt from, or comply with, Section 409A of the Internal Revenue Code of 1986, as amended
(the “Code”), and all Treasury Regulations and guidance promulgated thereunder (“Code Section 409A”)
and to the maximum extent permitted this Agreement shall be limited, construed and interpreted in accordance with such intent. In no
event whatsoever shall the Company or its affiliates or their respective officers, directors, employees or agents be liable for any additional
tax, interest or penalties that may be imposed on the Executive by Code Section 409A or damages for failing to comply with Code Section
409A.

 

b.
Notwithstanding any other provision of this Agreement to the contrary, to the extent that any reimbursement of expenses constitutes “deferred
compensation” under Code Section 409A, such reimbursement shall be provided no later than December 31st of the year
following the year in which the expense was incurred (or, where applicable, no later than such earlier time required by this Agreement).
The amount of expenses reimbursed in one year shall not affect the amount eligible for reimbursement in any subsequent year. The amount
of any in-kind benefits provided in one year shall not affect the amount of in-kind benefits provided in any other year.

 

    	7

     

    

 

c.
For purposes of Code Section 409A (including, without limitation, for purposes of Treasury Regulation Section 1.409A-2(b)(2)(iii)), the
right to receive payments in the form of installment payments shall be treated as a right to receive a series of separate payments and,
accordingly, each installment payment shall at all times be considered a separate and distinct payment. Whenever a payment under this
Agreement may be paid within a specified period, the actual date of payment within the specified period shall be within the sole discretion
of the Company.

 

d.
Notwithstanding any other provision of this Agreement to the contrary, if at the time of the Executive’s separation from service
(as defined in Code Section 409A), the Executive is a “Specified Executive”, then the Company will defer the payment or commencement
of any nonqualified deferred compensation subject to Code Section 409A payable upon separation from service (without any reduction in
such payments or benefits ultimately paid or provided to the Executive) until the date that is six (6) months following separation from
service or, if earlier, the earliest other date as is permitted under Code Section 409A (and any amounts that otherwise would have been
paid during this deferral period will be paid in a lump sum on the day after the expiration of the six (6)- month period or such shorter
period, if applicable). The Executive will be a “Specified Executive” for purposes of this Agreement if, on the date of the
Executive’s separation from service, the Executive is an individual who is, under the method of determination adopted by the Company
designated as, or within the category of executives deemed to be, a “Specified Executive” within the meaning and in accordance
with Treasury Regulation Section 1.409A-1(i). The Company shall determine in its sole discretion all matters relating to who is designated
as a “Specified Executive” and the application of and effects of the change in such determination.

 

e.
Notwithstanding anything in this Agreement or elsewhere to the contrary, a termination of employment shall not be deemed to have occurred
for purposes of any provision of this Agreement providing for the payment of any amounts or benefits that constitute “non-qualified
deferred compensation” within the meaning of Code Section 409A upon or following a termination of the Executive’s employment
unless such termination is also a “separation from service” within the meaning of Code Section 409A and, for purposes of
any such provision of this Agreement, references to a “termination,” “termination of employment” or like terms
shall mean “separation from service” and the date of such separation from service shall be the date of termination for purposes
of any such payment or benefits.

 

11.
Activity Restrictions; Executive Covenants.

 

a.
Purpose. As previously acknowledged, the Company has invested heavily in its information systems, personnel, product development,
customers, and customer development. As a member of the Company’s executive management group, the Executive is entrusted with the
fruits of these investments and the decisions to be made regarding similar future investments. In order to participate in the benefits
of a highly compensated position of trust with the Company, the Company requires a written commitment from key employees that its trust
will not be misplaced and its investments lost or damaged. Accordingly, the Executive makes the following promises regarding the Executive’s
activities.

 

b.
Best Efforts. The Executive will at all times perform all of the Executive’s assigned duties faithfully and exert
the Executive’s best efforts to fully perform those duties pursuant to the express and implicit terms of this Agreement to the
reasonable satisfaction of the Company. During employment, the Executive will not engage in or become interested in any calling, activity,
or other business which is or may be contrary to or in competition with the interests and welfare of the Company.

 

    	8

     

    

 

c.
Inventions; Intellectual Property.

 

i.
Inventions. Every invention and improvement conceived, invented or developed by the Executive relating to or useable in
the Business then being carried on or actively contemplated by the Company now existing or hereafter developed shall become the exclusive
property of the Company. With respect to all inventive ideas originated or developed by the Executive which relate to the Business during
the Term hereof, or as to which the Executive has acquired information as a result of the Executive’s employment with the Company,
and all patents obtained on such inventive ideas, (a) the Executive agrees to disclose and assign, without charge, all such inventive
ideas and any patents obtained thereon to the Company, but without expense to the Executive, (b) the Executive agrees that all such inventive
ideas and any patents thereof shall be the exclusive property of the Company, and (c) the Executive will, at any and all times, furnish
such information and assistance and execute such applications and other documents as may be advisable in the opinion of the Company to
obtain both domestic and foreign patents, title to which is to be vested in the Company, and the Executive shall give the Company the
full and exclusive power to prosecute all such applications and all proceedings in connection therewith.

 

ii.
Intellectual Property. The Executive shall promptly disclose to the Company or any successor or assign, and grant to the
Company or its successors and assigns without any separate remuneration or compensation other than that received by the Executive in
the course of the Executive’s employment, the Executive’s entire right, title and interest in and to any and all inventions,
developments, discoveries, models, or business plans or opportunities, or any other intellectual property of any type or nature whatsoever
related to the Business or the Products (“Intellectual Property”), developed by the Executive during the period of
the Executive’s employment by the Company or its affiliates and whether developed by the Executive during or after business hours,
or alone or in connection with others, that is in any way related to the Business of the Company, its successors or assigns. This provision
shall not apply to books or articles authored by the Executive during non-work hours, consistent with the Executive’s obligations
under this Agreement, so long as such books or articles (a) are not funded in whole or in part by the Company, and (b) do not contain
any confidential information or Intellectual Property of the Company. The Executive agrees, at the Company’s expense, to take all
steps necessary or proper to vest title to all such Intellectual Property in the Company, and cooperate fully and assist the Company
in any litigation or other proceedings involving any such Intellectual Property.

 

d.
Non-solicitation of Business. During the Term hereof and for a period of one (1) year after the termination or expiration
of this Agreement, regardless of who initiated the termination, the Executive will not, directly or indirectly, solicit, interfere with,
or divert away from the Company any customer of the Company who did any business with the Company during the Term hereof.

 

e.
Non-enticement of Personnel. During the Term hereof and for a period of one (1) year after the termination or expiration
of this Agreement, regardless of who initiated the termination, the Executive shall not, directly or indirectly, as an individual or
on behalf of any other person or entity, hire, solicit, recruit, or attempt to entice away from the Company or any customer of the Company
any person employed by or providing services to the Company or any customer of the Company. The Executive shall not approach any such
employees for such a prohibited purpose and shall not knowingly cooperate in any other person or entity’s efforts to do so. The
Company’s customers are third-party beneficiaries of this covenant and shall have standing to enforce the terms of this Section
11(e) by seeking whatever equitable and legal remedies may be available to the Company hereunder.

 

f.
Confidentiality. The Executive shall not at any time during the Term hereof or at any time thereafter communicate, divulge,
disclose, take, or use for himself any information, knowledge, data, or materials that were disclosed or obtained by the Executive during
the Term (including, without limitation, any information and knowledge that was conceived, created, or developed by the Executive during
the course of the Executive’s employment with the Company) which is related to the Business and the Products and is not already
generally known in the Company’s trade by competitors. This restriction on confidential information disclosure and use shall apply
to knowledge or information which relates to the Business or the business of the Company’s customers and is in the nature of a
business secret of the Company or the Company’s customers. Included within the scope of this restriction shall be the specific
items identified in Section 11(h) hereof and any other information and matters designated by the Company (verbally or in writing) to
be confidential during the Term hereof. The Company’s customers are third-party beneficiaries of the aforestated covenants in this
Section 11(f) and shall have standing to enforce its terms and seek whatever equitable or legal remedy that is necessary to repay or
avoid harm to them, including, but not limited to, any remedy available to the Company under this Agreement. The obligations of the Executive
with respect to the disclosure and use of confidential information under this Section 11(f) shall cease to the extent such information
becomes generally known in the Company’s trade by competitors through a means other than a breach of this Agreement by the Executive.
In the event the Executive is required by any legal proceedings to disclose confidential information, the Executive shall provide the
Company with prompt notice thereof so that the Company may seek an appropriate protective order and/or waive compliance by the Executive
with the provisions hereof.

 

    	9

     

    

 

g.
Non-competition. During the Term hereof and for a period of one (1) year after the termination or expiration of this Agreement,
regardless of who initiated the termination, the Executive shall not, alone, or as an agent, employee, servant, officer, partner or stockholder
of any other corporation or business, directly or indirectly, engage in employment or business activity which relates to the sale, manufacturing,
or marketing of products which are competitive with, substantially similar to, or serve the same function as the Products manufactured,
marketed or sold by the Company either now or at any time during the Term. This post-termination restriction is limited to activities
in or directed at the geographic area located in North America where the Company has sold or manufactured the Products at any time during
the Term hereof. The Executive specifically agrees, without limitation, that the Executive will not accept a similar position or perform
the same or similar responsibilities or services as performed for the Company for any business entity that is engaged in a business that
is the same, or substantially similar to, the Business (i.e., a competitor).

 

h.
Return of Company Materials. Upon request at any time during the Term hereof and without request at the time of the termination
or expiration of this Agreement, without regard for who initiated the termination, the Executive agrees to promptly return (without retaining
any copies, summaries, files or notes derived from source materials) all information and records regarding the Business and the Products,
whether or not created by the Executive during the Term hereof including, but not be limited to: all financial, sales and purchase data
for the Business and the Company’s customers, all financial statements and projections, all marketing surveys and analyses, all
strategic planning material, all data on the Company’s competitors, all customer information, all records regarding prospective
customers of the Company, all documents regarding pending or threatened litigation involving the Company, all legal opinions, all personnel
evaluations for the Company’s employees and outside vendors and contractors, all computer hardware and software, all price lists
and formulas, all pricing quotations or proposals, all lists or compilations of customers and prospects, all promotional materials, all
internal operating reports, all budgets and projections, all information related to the Company’s product development and intellectual
property, all product designs, specifications, drawing, engineering, bills of material and other information related to the Products,
all corporate and equipment manuals and policies, all contracts with customers and suppliers, all supplier prices and quotations, all
business correspondence, all catalogs and product samples, all sensitive customer information, all sales reports and invoices, and all
tangible and intangible property owned by the Company.

 

i.
Non-Disparagement. During the Term and thereafter, the Executive shall not knowingly, directly or indirectly, make negative
comments or otherwise disparage the Company, any of its affiliates, or any of their respective officers, directors, employees, shareholders,
agents or businesses in any manner likely to be harmful to them or their business reputations or personal reputations. The Company shall
direct its officers, directors and senior management team to not disparage or encourage or induce others to disparage the Executive.
The foregoing shall not be violated by truthful statements in response to legal process, required governmental testimony or filings,
or administrative or arbitral proceedings (including depositions in connection with such proceedings), provided that the Executive has
given the Company prompt written notice of any such legal process and cooperated with the Company’s efforts to seek a protective
order.

 

    	10

     

    

 

j.
Executive’s Representations. The Executive represents and acknowledges that none of the activity restrictions set
forth in this Section 11 will prevent the Executive from obtaining employment, cause undue hardship, cause a relocation, or adversely
impact numerous other business and employment opportunities that are not affected by the existence of these restrictions. The Executive
further acknowledges that the Executive believes the foregoing restrictions to be reasonable and necessary to protect the Company’s
legitimate business interests. Any violation of the restrictions in this Section 11 can cause harm to the Company of an irreparable nature
for which money damages alone will not suffice. The Executive agrees that the Executive will fully and promptly disclose to any person
or entity with which the Executive becomes associated subsequent to the termination or expiration of this Agreement all of the restrictions
on the Executive’s post-termination activities. The Company shall also have the right to disclose this Agreement to any business
entity hiring or utilizing the services of the Executive subsequent to the termination or expiration of this Agreement.

 

k.
Common Law and Trade Secrets. The Executive and the Company agree that nothing in this Agreement shall be construed to
limit or negate the common law of torts or trade secrets where it provides the Company with broader protection than that provided herein.

 

l.
Tolling. In the event of any violation of the provisions of this Section 11, the Executive acknowledges and agrees that
the post-termination restrictions contained in this Section 11 shall be extended by a period of time equal to the period of such violation,
it being the intention of the Parties hereto that the running of the applicable post-termination restriction period shall be tolled during
any period of such violation.

 

m.
Rights and Remedies upon Breach. The Executive acknowledges and agrees that any breach by the Executive of any of the provisions
of Section 11 (the “Restrictive Covenants”) would result in irreparable injury and damage for which money damages
would not provide an adequate remedy. Therefore, if the Executive breaches, or threatens to commit a breach of, any of the provisions
of the Restrictive Covenants, the Company and its affiliates shall have the following rights and remedies, each of which rights and remedies
shall be independent of the other and severally enforceable, and all of which rights and remedies shall be in addition to, and not in
lieu of, any other rights and remedies available to the Company and its affiliates, under law or in equity (including, without limitation,
the recovery of damages):

 

i.
the right and remedy to have the Restrictive Covenants specifically enforced (without posting bond and without the need to prove damages)
by any court of competent jurisdiction, including, without limitation, the right to an entry against the Executive of restraining orders
and injunctions (preliminary, mandatory, temporary and permanent) against violations, threatened or actual, and whether or not then continuing,
of such covenants; and

 

ii.
the right and remedy to require the Executive to account for and pay over to the Company or any of its affiliates all compensation, profits,
monies, accruals, increments or other benefits (collectively, “Benefits”) derived or received by the Executive as
the result of any transactions constituting a breach of the Restrictive Covenants, and the Executive shall account for and pay over such
Benefits to the Company and, if applicable, its affected affiliates.

 

12.
Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of the Company’s successors
and assigns and the Executive’s personal or legal representatives, executors, administrators, heirs, distributees, devisees and
legatees. This Agreement shall not be assignable by the Executive, it being understood and agreed that this is a contract for the Executive’s
personal services. This Agreement shall not be assignable by the Company, except that the Company may assign it to an affiliate of the
Company and shall assign it in connection with a transaction involving the succession by a third party to all or substantially all of
the Company’s business and/or assets (whether direct or indirect and whether by purchase, merger, consolidation, liquidation or
otherwise). When assigned to a successor, the assignee shall assume this Agreement and expressly agree to perform this Agreement in the
same manner and to the same extent as the Company would be required to perform it in the absence of such an assignment and the Company
shall be released of all obligations hereunder. For all purposes under this Agreement, the term “Company” shall include any
successor to the Company’s business and/or assets that executes and delivers the assumption agreement described in the immediately
preceding sentence or that becomes bound by this Agreement by operation of law. This Agreement is intended for the benefit of the parties
hereto and their respective successors and permitted assigns as provided in this Section 12 and is not for the benefit of, nor may any
provision hereof be enforced by, any other person, except as otherwise set forth in this Agreement.

 

    	11

     

    

 

13.
Alternative Dispute Resolution.

 

a.
Coverage. Except as otherwise expressly provided in this Agreement or by law, this Section 13 is the sole and exclusive
method by which the Executive and the Company are required to resolve any and all disputes arising out of or related to the Executive’s
employment with the Company or the termination of that employment, each of which is referred to as “Employment-Related Dispute,”
including, but not limited to, disputes arising out of or related to any of the following subjects: (i) compensation or other terms or
conditions of the Executive’s employment, (ii) application or enforcement of any Company program or policy to the Executive, (iii)
any disciplinary action or other adverse employment decision of the Company or any statement related to the Executive’s employment,
performance or termination, (iv) any policy of the Company or any agreement between the Executive and the Company, (v) disputes over
the arbitrability of any controversy or claim which arguably is or may be subject to this Section 13, (vi) claims arising out of or related
to any current or future federal, state or local civil rights laws, fair employment laws, wage and hour laws, fair labor or employment
standards laws, laws against discrimination, equal pay laws, wage and salary payment laws, plant or facility closing or layoff laws,
laws in regard to employment benefits or protections, family and medical leave laws, and whistleblower laws, including by way of example,
but not limited to, the federal Civil Rights Acts of 1866, 1871, 1964 and 1991, the Pregnancy Discrimination Act of 1978, the Age Discrimination
in Employment Act of 1967, the Equal Pay Act of 1963, the Fair Labor Standards Act of 1938, the Americans with Disabilities Act of 1990,
the Family and Medical Leave Act of 1993, and the Executive Retirement Income Security Act of 1978, as they have been or may be amended
from time to time, or (vii) any other dispute arising out of or related to the Executive’s employment or the Executive’s
termination.

 

b.
Negotiation; Mediation. Any Employment-Related Dispute asserted by one Party against the other Party shall be delivered
in writing to the other Party. During the fifteen (15)-day period following receipt of the assertion by the other Party, the Parties
shall attempt in good faith to negotiate a resolution of the Employment-Related Disputes so asserted. If the Employment-Related Disputes
so asserted cannot be settled through negotiation and remains unresolved after the fifteen (15)-day negotiation period, the Executive
or the Company may submit the dispute to mediation and the Parties shall attempt in good faith to resolve the dispute by mediation, under
the mediation procedure of the American Arbitration Association (“AAA”). Unless the Parties agree otherwise in writing,
the mediation shall be conducted by a single mediator, and the mediator shall be selected from an appropriate AAA panel pursuant to the
AAA rules, respectively. The mediation shall be conducted in Denver, Colorado. Unless the Parties agree otherwise, the cost of the mediator’s
professional fees and expenses and any reasonable administrative fee will be shared and paid equally by the Parties, and each Party shall
bear its own attorneys’ fees and costs of the mediation.

 

c.
Binding Arbitration. If the Employment-Related Disputes so asserted cannot be settled through mediation and remains unresolved
thirty (30) days after the appointment of a mediator, the Executive or the Company may submit the dispute to arbitration and the dispute
shall be settled in arbitration. Notice of a demand to arbitrate a dispute by either Party shall be given in writing to the other at
their last known address. Arbitration shall be commenced by the filing by a party of an arbitration demand with the AAA in its office
in Denver, Colorado. The arbitration and resolution of the dispute shall be resolved by a single arbitrator appointed by the AAA pursuant
to AAA rules. The arbitration shall in all respects be governed and conducted by applicable AAA rules, and any award and/or decision
shall be conclusive and binding on the parties. The arbitration shall be conducted in Denver, Colorado regardless of the particular plant
or facility of the Parties. The arbitrator shall supply a written opinion supporting any award, and judgment may be entered on the award
in any court of competent jurisdiction. Each Party shall pay its own fees and expenses for the arbitration except for any costs and charges
imposed by the AAA which may be assessed against the losing Party by the arbitrator. Any fees of the arbitrator for the arbitrator’s
services shall in all events be shared and paid equally by the Parties.

 

    	12

     

    

 

d.
Equitable Relief. In the event that preliminary or permanent injunctive relief is necessary or desirable in order to prevent
a Party from acting contrary to this Agreement or to prevent irreparable harm prior to a confirmation of an arbitration award, including
without limitation as provided under Section 14(h) hereof, then either Party is authorized and entitled to commence a lawsuit solely
to obtain equitable relief against the other pending the completion of the arbitration in a court having jurisdiction over the Parties.
All rights and remedies of the parties shall be cumulative and in addition to any other rights and remedies obtainable from arbitration.

 

e.
Severability. In the event that any court or arbitrator finds or holds any restriction contained in this Agreement, including
the Restrictive Covenants, to be unreasonable, invalid, or unenforceable, then it is the express intent of the Parties that the court
or arbitrator so holding shall modify or amend the offending restriction or restrictions in any reasonable fashion so as to render it
or them enforceable to the fullest extent possible under prevailing law. In the event that any restriction is deemed void and unenforceable
and not suitable or capable of being so modified, then such restriction shall be severed. Each term and provision of this Agreement is
and shall be construed as severable in whole or in part, and, if any provision or the application thereof to particular circumstances
should be invalid, illegal, or unenforceable, then the remaining terms and provisions shall not be affected and shall remain fully enforceable.
An adjudication or finding of invalidity or unenforceability for one jurisdiction of any particular provision shall not invalidate or
void such provision in any other jurisdiction. It is the express intent of the Parties that all restrictions imposed by this Agreement
be construed and applied to avoid legal nullities and with a view towards enforcement whenever possible

 

14.
Miscellaneous.

 

a.
Time of the Essence. Time is of the essence with respect to this Agreement. If the last or appointed day for the taking
of any action or the expiration of any right required or granted herein shall not be a business day (i.e, a Saturday, Sunday or federal
holiday), then such action may be taken or such right may be exercised on the next succeeding business day.

 

b.
Entire Agreement. This Agreement constitutes the entire understanding or agreement between the Company and the Executive
relating to the subject matter hereof and there is no understanding or agreement, oral or written, which is not set forth herein. This
Agreement supersedes and replaces any prior employment agreement or understanding, oral or written, between the Company and the Executive.
This Agreement may only be amended by a writing signed by the Company and the Executive.

 

c.
Waiver. No provision of this Agreement may be waived, modified, supplemented or amended except in a written instrument
signed by the Parties. No waiver of any default with respect to any provision, condition or requirement of this Agreement shall be deemed
to be a continuing waiver in the future or a waiver of any subsequent default or a waiver of any other provision, condition or requirement
hereof, nor shall any delay or omission of any Party to exercise any right hereunder in any manner impair the exercise of any such right.

 

    	13

     

    

 

d.
Construction. In the event of a conflict or ambiguity created between the Company’s current personnel manual for
all employees and this Agreement, it is agreed that this Agreement shall control. No policies, procedures, or statements of any nature
by the Company shall modify this Agreement or be construed to create express or implied obligations to the Executive. The titles and
subtitles used in this Agreement are used for convenience only and are not to be considered in construing or interpreting this Agreement.
The Parties agree that each of them and/or their respective counsel have reviewed and had an opportunity to revise this Agreement and,
therefore, the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting Party shall not
be employed in the interpretation of this Agreement or any amendments thereto. The word “including” shall be construed to
include the words “without limitation.” In this Agreement, unless the context otherwise requires, references to the singular
shall include the plural and vice versa. The word “Company” shall be construed to include the Company and its subsidiaries
and affiliates, whether now existing or hereafter established.

 

e.
Notices. All notices and other communications hereunder shall be in writing, and shall be deemed to have been duly given
if delivered personally or if sent by overnight courier or by certified mail, return receipt requested, postage prepaid, to the relevant
address set forth below, or to such other address as the recipient of such notice or communication shall have specified in writing to
the other Party hereto, in accordance with this Section 14(e).

 

	 	i.	If
    to the Company: 	 	Surna
    Inc.
	 	 	 	 	1780
    55th Street
	 	 	 	 	Boulder,
    Colorado 80301
	 	 	 	 	Attention:
    CEO

 

	 	ii.	If
    to the Executive, at the Executive’s last residence shown on the records of the Company.

 

f.
Public Announcements. The Company intends to publicly announce and disclose this Agreement and the subject matter hereof
in accordance with applicable laws. Until such time as the Company has publicly announced and/or disclosed this Agreement and the subject
matter hereof, the Executive shall not publicly announce or disclose to any third party the existence of this Agreement or the subject
matter hereof.

 

g.
Governing Law. All questions concerning the construction, validity, enforcement and interpretation of this Agreement shall
be governed by and construed and enforced in accordance with the internal laws of the State of Colorado, without regard to the principles
of conflicts of law thereof.

 

h.
Equitable Relief. The Executive acknowledges and agrees that, notwithstanding anything herein to the contrary, including
without limitation Section 13(d) hereof, upon any breach by the Executive of the Executive’s obligations under Section 11, the
Company will have no adequate remedy at law, and accordingly shall be immediately entitled to specific performance and other appropriate
injunctive and equitable relief in a court of competent jurisdiction.

 

i.
Cooperation in Future Matters. The Executive hereby agrees that for a period of eighteen (18) months following the Executive’s
termination of employment, the Executive shall cooperate fully with the Company’s reasonable requests relating to matters that
pertain to the Executive’s employment by the Company, including, without limitation, providing information or limited consultation
as to such matters, participating in legal proceedings, investigations or audits on behalf of the Company, or otherwise making himself
reasonably available to the Company for other related purposes. Any such cooperation shall be performed at scheduled times taking into
consideration the Executive’s other commitments. The Executive shall not be required to perform such cooperation to the extent
it conflicts with any requirements of exclusivity of services for another employer or otherwise, nor in any manner that in the good faith
belief of the Executive would conflict with the Executive’s rights under or ability to enforce this Agreement.

 

j.
Withholding. Any payments provided for in this Agreement shall be paid net of any applicable income tax withholding required
under federal, state or local law.

 

k.
Survival. Notwithstanding anything in this Agreement or elsewhere to the contrary, the provisions of Sections 9, 10, 11,
12, 13 and 14 shall survive the termination of the Executive’s employment or this Agreement.

 

l.
Execution and Counterparts. This Agreement may be executed in one or more counterparts, each of which shall be deemed an
original, but all of which together shall constitute one and the same instrument. Counterparts may be delivered via facsimile, electronic
mail (including pdf or any electronic signature complying with the U.S. ESIGN Act of 2000, e.g., www.docusign.com) or other transmission
method and any counterpart so delivered shall be deemed to have been duly and validly delivered and be valid and effective for all purposes.

 

[Remainder
of this page intentionally left blank. Signature page follows.]

 

    	14

     

    

 

IN
WITNESS WHEREOF, the parties have executed this Agreement as of the day and year written below.

 

	 	EXECUTIVE

    
	 	COMPANY

	 	 	 	 
	 	 	 	Surna Inc.
	 	 	 	 	 
	 	/s/
    R. Brian Knaley	 	By:	/s/
    Anthony K. McDonald
	 	R.
    Brian Knaley, Individually 	 	 	Anthony
    K. McDonald, Chief Executive Officer
	 	 	 	 	 
	Date:	 	 	Date:	 

 

    	15

     

    

 

[Signature
Page to Executive Employment Agreement]

 

    	16

     

    

 

EXHIBIT
A

 

Form
of Non-Qualified Stock Option Agreement

 

    	 

     

    

 

EXHIBIT
B

PERMITTED
ACTIVITIES

 

Investment
in and advisory work for Proximo

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