Document:

EX-10.5

 Exhibit 10.5 

Execution Version 

THIRD AMENDED AND RESTATED EMPLOYMENT AGREEMENT 

THIS THIRD AMENDED AND RESTATED EMPLOYMENT AGREEMENT (“Agreement”), effective as of February 18, 2020 (the
“Effective Date”), is made by and among Vitesse Management Company LLC, a Delaware limited liability company (the “Company”), Brian J. Cree (“Executive”), Vitesse Energy, LLC, a
Delaware limited liability company (“Vitesse Energy”), and Vitesse Oil, LLC, a Delaware limited liability company (“Vitesse Oil”) (each individually a “Party” or collectively
the “Parties”). 
 W I T N E S S E T H: 

WHEREAS, Executive and the Company entered into that certain employment agreement, effective as of August 6, 2013 (the
“Initial Employment Agreement”); 
 WHEREAS, the Initial Employment Agreement was amended and restated effective as
of May 6, 2014, and again effective July 1, 2018 (the “Original Effective Date” and, the Initial Employment Agreement as so amended and restated, the “Amended and Restated Employment
Agreement”); 
 WHEREAS, Vitesse Energy has previously entered into a Services Agreement, dated as of May 6,
2014, with the Company (the “Vitesse Energy Services Agreement”), Vitesse Oil has previously entered into an Amended and Restated Services Agreement, dated as of May 6, 2014, with the Company (the “Vitesse Oil
Services Agreement”), and the Company has previously entered into a Services Agreement (the “JETX Services Agreement”) dated as of July 1, 2016, with JETX Energy, LLC (formerly known as Juneau Energy, LLC); and

 WHEREAS, the Parties desire to amend and restate the Amended and Restated Employment Agreement as set forth herein. 

NOW, THEREFORE, for and in consideration of the mutual promises, covenants and obligations contained herein, the Company and Executive
agree as follows: 
 ARTICLE I 

DEFINITIONS 
 In addition
to the terms defined in the body of this Agreement, for purposes of this Agreement, the following capitalized words shall have the meanings indicated below: 

1.1 “Affiliate” means, with respect to a particular person or entity, any other person or entity which owns or controls, is
owned or controlled by, or is under common ownership or control with, such particular person or entity. For purposes of this Agreement, (a) the Company and its Affiliates, on the one hand, and (b) Executive or any other Company Entity, on
the other, shall not be deemed “Affiliates.” 
 1.2 “Board” shall mean the Board of Managers of Vitesse Energy, or
an authorized committee thereof. 

 1.3 “Cause” shall mean a reasonable determination by the Board that
Executive (a) has engaged in gross negligence, gross incompetence or willful misconduct in the performance of Executive’s duties with respect to any Company Entity, (b) has refused without proper legal reason to perform
Executive’s duties and responsibilities to any Company Entity, (c) has materially breached any provision of Article VIII, any other provision of this Agreement or any future written agreement or corporate policy or code of conduct
that may be established (and as may be amended from time to time) by any Company Entity, including the Company, Vitesse Energy and Vitesse Energy Parent, (d) has engaged in conduct that is materially injurious to any Company Entity,
(e) has disclosed without specific authorization from the Company confidential information of any Company Entity that is materially injurious to any such Company Entity, (f) has committed an act of theft, fraud, embezzlement,
misappropriation or breach of a fiduciary duty to any Company Entity, (g) has been convicted of (or pleaded no contest to) a crime involving fraud, dishonesty or moral turpitude or any felony (or a crime of similar import in a foreign
jurisdiction), or (h) has, directly or indirectly (through a failure to put in place and enforce appropriate compliance controls and procedures), violated, or there appears to be, after due inquiry, a reasonable basis to conclude that Executive
has violated, the Foreign Corrupt Practices Act of 1977, as amended. 
 1.4 “Code” shall mean the Internal Revenue Code of
1986, as amended. 
 1.5 “Company Entity” or “Company Entities” shall mean (a) the Company and its
Affiliates as capitalized on the Effective Date and (b) any other entity for which the Company provides services, for so long as the Company provides services for such entity. 

1.6 “Date of Termination” shall mean the date specified in the Notice of Termination relating to termination of
Executive’s employment with the Company, subject to adjustment as provided in Section 3.3. 
 1.7
“Exchange Property Interests” has the meaning given to such term in the Vitesse Energy LLC Agreement. 
 1.8 “Good
Reason” shall mean the occurrence of any of the following events: 
 (a) a material diminution in Executive’s Base Salary or
Bonus Payment; 
 (b) a material diminution in Executive’s authority, duties, or responsibilities; 

(c) the involuntary relocation of the geographic location of Executive’s principal place of employment by more than 75 miles from the
location of Executive’s principal place of employment as of the Effective Date (as listed in Section 9.1); or 
 (d) a
material breach by the Company of a material provision of this Agreement. 

  
 2 

 Notwithstanding the foregoing provisions of this Section 1.8 or any other
provision in this Agreement to the contrary, any assertion by Executive of a termination of employment for “Good Reason” shall not be effective unless all of the following conditions are satisfied: (i) the condition described
in this Section 1.8 giving rise to Executive’s termination of employment must have arisen without Executive’s consent; and (ii) (A) Executive must provide written notice to the Company of such condition in accordance with
Section 9.1 within 30 days of the initial existence of the condition, (B) the condition specified in such notice must remain uncorrected for 30 days after receipt of such notice by the Company and (C) the date of
Executive’s termination of employment must occur within 30 days after the expiration of the cure period set forth in clause (B) of this Section 1.8. This definition of “Good Reason” shall be construed
and administered in accordance with the requirements of Treasury Regulation Section 1.409A-1(n)(2). 
 1.9 “Notice of
Termination” shall mean a written notice delivered by the Company or Executive to the other party indicating the specific termination provision in this Agreement relied upon for termination of Executive’s employment and the Date of
Termination that sets forth in reasonable detail the facts and circumstances claimed to provide a basis for termination of Executive’s employment under the provision so indicated. 

1.10 “Vitesse Energy LLC Agreement” means the Second Amended and Restated Limited Liability Company Agreement of Vitesse
Energy, dated as of the Original Effective Date, as amended. 
 1.11 “Vitesse Energy MIUs” means the Management Incentive
Units as defined in the Vitesse Energy LLC Agreement. 
 1.12 “Vitesse Energy Parent” means Jefferies Financial Group Inc.,
a New York corporation. 
 1.13 “Vitesse Oil LLC Agreement” means the First Amended and Restated Limited Liability Company
Agreement of Vitesse Oil, dated as of November 25, 2013, as amended. 
 1.14 “Vitesse Oil MIUs” means the Management
Incentive Units as defined in the Vitesse Oil LLC Agreement. 
 ARTICLE II 

EMPLOYMENT AND DUTIES 
 2.1
Employment; Effective Date. The Company agrees to employ Executive, and Executive agrees to be employed by the Company, pursuant to the terms of this Agreement beginning as of the Effective Date and continuing for the period of time
set forth in Article III of this Agreement, subject to the terms and conditions of this Agreement. 
 2.2 Positions.
From and after the Effective Date, Executive shall serve in the position of President and Chief Financial Officer of the Company or in such other position or positions as the Parties mutually may agree and shall report to the Board. 

2.3 Duties and Services. Executive agrees to serve in the positions referred to in Section 2.2 and to
perform diligently and to the best of Executive’s abilities the usual and customary duties and services appertaining to such positions, as well as such additional duties and services as the Company may determine, including the
proportionate amount of time spent with respect thereto, whether such duties and services be for the Company or any other Company 

  
 3 

 
Entity (the “Company Duties”). Executive’s employment shall also be subject to the policies maintained and established by the Company, Vitesse Energy and Vitesse
Energy Parent that are of general applicability to the employees of Company, Vitesse Energy or Vitesse Energy Parent, as applicable, as such policies may be amended from time to time. 

2.4 Other Interests. Executive agrees, during the period of Executive’s employment by the Company, to devote substantially
all of Executive’s business time, energy and best efforts to the business and affairs of the Company, unless otherwise expressly approved by the Company. Notwithstanding the foregoing, the Parties acknowledge and agree that Executive may (a)
engage in and manage Executive’s passive personal investments, (b) engage in charitable and civic activities, (c) own and manage any Exchange Property Interests, and (d) engage in such other activities that the Company and
Executive mutually agree to; provided, however, that such activities shall be permitted so long as such activities do not conflict with the business and affairs of the Company or interfere with the performance of Executive’s duties hereunder.
In addition, the Company agrees that Executive may make capital investments in Gerrity Bakken, LLC and its affiliates; provided, however, that Executive agrees that any future opportunities related to the Bakken shale that are not related to
existing leases or acreages owned or held by Executive or Gerrity Bakken, LLC as of the Original Effective Date shall be offered to the Company first. 

2.5 Performance of Duties. Executive represents and covenants that, other than with respect to (a) the Vitesse Energy LLC
Agreement, (b) the Vitesse Oil LLC Agreement, (c) the Vitesse Energy Services Agreement, (d) the JETX Services Agreement, and (e) the Vitesse Oil Services Agreement, he is not the subject of or a party to or bound by any
employment agreement, non-competition covenant, nondisclosure agreement, or any other agreement, covenant, understanding, or restriction that would prohibit Executive from executing this Agreement, and fully
performing his duties and responsibilities hereunder, or would in any manner, directly or indirectly, limit or affect the duties and responsibilities that may now or in the future be assigned to Executive hereunder. 

2.6 Duty of Loyalty. Executive acknowledges and agrees that Executive owes a fiduciary duty of loyalty, fidelity and allegiance
to act in the best interests of the Company and to do no act that would materially injure the business, interests, or reputation of the Company. In keeping with these duties, Executive shall make full disclosure to the Company of all business
opportunities pertaining to the business of the Company and shall not appropriate for Executive’s own benefit business opportunities concerning the subject matter of the fiduciary relationship. 

2.7 Conflicts of Interest. Except with respect to Vitesse Energy and its Affiliates, on the one hand, and any other
Company Entity (other than the Company) and its Affiliates, on the other, Executive agrees that he shall promptly disclose to the Company any conflict of interest involving Executive upon Executive becoming aware of such conflict. 

  
 4 

 ARTICLE III 

TERM AND TERMINATION OF EMPLOYMENT 

3.1 Term. Subject to the remaining terms of this Article III, this Agreement shall be for an initial term that begins on
the Effective Date and continues in effect through December 31, 2023 (the “Initial Term”); provided that, either Party may give notice to the other Party on or prior to December 31, 2021 that the Initial Term of
this Agreement will end on December 31, 2022; provided further that, unless terminated sooner as herein provided, the term shall continue on a year to year basis after December 31, 2023 (each a “Renewal Term” and
together with the Initial Term, the “Term”). If the Company or Executive elects not to renew this Agreement for a Renewal Term, the Company or Executive must give a Notice of Termination to the other Party at least 90 days
before the expiration of the then-current Initial Term or Renewal Term, as applicable. If the Company elects not to renew this Agreement and Executive’s employment with the Company is not terminated, Executive shall continue as an at-will employee of the Company and this Agreement shall terminate, subject to Section 9.11, at the end of the current Term. 

3.2 Company’s Right to Terminate. Notwithstanding the provisions of Section 3.1, the Company may terminate
Executive’s employment under this Agreement, with the prior written consent of the Board, at any time for any of the following reasons by providing Executive with a Notice of Termination: 

(a) upon Executive being unable to perform Executive’s duties or fulfill Executive’s obligations under this Agreement by reason of
any medically determinable physical or mental impairment that can be expected to result in death or can be expected to last for a continuous period of not less than three months as determined by the Company and certified in writing by a competent
medical physician jointly selected by Executive (or Executive’s legally authorized representative) and the Board (“Disability”); or 

(b) Executive’s death; or 

(c) for Cause; or 
 (d) for any
other reason whatsoever or for no reason at all, in the sole discretion of the Company. 
 3.3 Executive’s Right to
Terminate. Notwithstanding the provisions of Section 3.1, Executive shall have the right to terminate Executive’s employment under this Agreement for: 

(a) Good Reason; or 
 (b) for any
other reason whatsoever or no reason at all, in the sole discretion of Executive, by providing the Company with a Notice of Termination. 
 In the case of a
termination of employment by Executive pursuant to this Section 3.3, the Date of Termination specified in the Notice of Termination shall not be less than 15 nor more than 60 days, from the date such Notice of Termination is given, and
the Company may require a Date of Termination earlier than that specified in the Notice of Termination (and, if such earlier Date of Termination is so required, it shall not change the basis for Executive’s termination nor be construed or
interpreted as a termination of employment pursuant to Section 3.1 or 3.2). 

  
 5 

 3.4 Deemed Resignations. Unless otherwise agreed to in writing by the Company
and Executive prior to the termination of Executive’s employment, any termination of Executive’s employment shall constitute an automatic resignation of Executive as an officer of the Company and each of its applicable Affiliates, and an
automatic resignation of Executive from the Board (if applicable) and from the board of directors or similar governing body of any Affiliate of the Company and from the board of directors or similar governing body of any corporation, limited
liability entity or other entity in which the Company or any of its Affiliates holds an equity interest and with respect to which board or similar governing body Executive serves as the Company’s or such Affiliate’s designee or other
representative. 
 3.5 Meaning of Termination of Employment. For all purposes of this Agreement, Executive shall be considered
to have terminated employment with the Company when Executive incurs a “separation from service” with the Company within the meaning of Section 409A(a)(2)(A)(i) of the Code and applicable administrative guidance issued thereunder.

 ARTICLE IV 

COMPENSATION AND BENEFITS 

4.1 Base Salary. During the Term, Executive shall receive a minimum, annualized base salary of $400,000 (the “Base
Salary”). Executive’s annualized base salary shall be reviewed periodically, but at least annually, by the Board, and, in the sole discretion of the Board, such annualized base salary may be increased effective as of any date so
determined. Executive’s Base Salary shall be paid in equal installments in accordance with the standard policy of the Company regarding payment of compensation to executives but no less frequently than monthly. 

4.2 Bonuses. During the Term, Executive shall receive a minimum1 bonus
compensation set forth below (“Bonus Payment”) to be paid by January 31st of the following year (except for the Bonus Payment for 2019, which shall be paid by February 29,
2020): 
 (a) for the year ending December 31, 2019, $500,000; 

(b) for the year ending December 31, 2020, $575,000; 

(c) for the year ending December 31, 2021, $650,000; 

(d) for the year ending December 31, 2022, $725,000; and 

(e) for the year ending December 31, 2023 and thereafter, $800,000. 

Except as set forth in Section 7.1(b), (f) and (g), Executive must remain employed until the last day of the relevant calendar year in order to earn the
Bonus Payment payable in respect of such calendar year. 
 4.3 Benefits. During the Term, Executive shall be entitled to
receive all benefits of employment generally available to the Company’s other executive employees when and as such benefits, if any, become available and Executive becomes eligible for them, including any sick leave, medical, dental, life and
disability insurance benefits, long-term incentive plan, stock option plan, pension plan and/or profit-sharing plan. 
  

 

	1 	 NTD: “Minimum” added in the event significant work is provided by Executive outside the scope of
operating the Company Entities as they are currently operated or if consulting services are provided for non-Company Entities. 

  
 6 

 4.4 Vacation and Leave. Executive shall be entitled to paid vacation days in
accordance with the policy of the Company and industry standards. Executive shall also be entitled to all paid holidays given by the Company to its employees generally. 

4.5 Expenses. The Company shall promptly reimburse Executive for all reasonable business expenses incurred by Executive in
performing services hereunder, including all expenses of travel and living expenses while away from home on business or at the request of and in the service of the Company; provided, in each case, that such expenses are incurred and accounted for in
accordance with the policies and procedures established by the Company. Any such reimbursement of expenses shall be made by the Company upon or as soon as practicable following receipt of supporting documentation reasonably satisfactory to the
Company (but in any event not later than 30 days after receipt by the Company). In no event shall any reimbursement be made to Executive for such fees and expenses incurred after the date that is one month after the date of Executive’s
termination of employment with the Company. 
 4.6 Offices. Subject to Articles II, III, and IV, Executive
agrees to serve without additional compensation, if elected or appointed thereto, as a director or manager of any Company Entity and as a member of any committees of the board of directors or similar governing bodies of any such entities, and in one
or more executive positions of any Company Entity. 
 4.7 Vesting of Management Incentive Units. Subject to the terms of the
Vitesse Oil LLC Agreement and the Vitesse Energy LLC Agreement, as applicable, including for the avoidance of doubt, the Management Incentive Plan included as an exhibit thereto and any award letter issued with respect thereto, provided Executive
has not incurred a termination of employment from the Effective Date through the applicable vesting dates: 
 (a) the Vitesse Oil MIUs of
Executive are fully vested; and 
 (b) the Vitesse Energy MIUs of Executive are fully vested. 

For the avoidance of doubt, no further vesting of Vitesse Oil MIUs or Vitesse Energy MIUs will occur following the termination of
Executive’s employment. 
 ARTICLE V 

PROTECTION OF INFORMATION 

5.1 Disclosure to and Property of the Company. For purposes of this Article V, any reference to “employment” or
similar terms shall include a director, manager and/or consulting relationship. All information, trade secrets, designs, ideas, concepts, improvements, product developments, discoveries and inventions, whether patentable or not, that are conceived,
made, developed or acquired by Executive, individually or in conjunction with others, during the period of Executive’s employment by the Company (whether during business hours or otherwise and whether on the Company’s premises or
otherwise) that relate to any Company Entity’s business, trade secrets, products or services (including all such information relating to corporate 

  
 7 

 
opportunities, product specification, compositions, manufacturing and distribution methods and processes, research, financial and sales data, pricing terms, evaluations, opinions,
interpretations, acquisition prospects, the identity of customers or their requirements, the identity of key contacts within the customer’s organizations or within the organization of acquisition prospects, or production, marketing and
merchandising techniques, prospective names and marks) and all writings or materials of any type embodying any of such information, ideas, concepts, improvements, discoveries, inventions and other similar forms of expression (collectively,
“Confidential Information”) shall be retained for and, to the extent practicable, disclosed to the applicable Company Entity and are and shall be the sole and exclusive property of the applicable Company Entity (subject to
the provisions of Section 2.4 relating to Gerrity Bakken, LLC). Moreover, all documents, videotapes, written presentations, brochures, drawings, memoranda, notes, records, files, correspondence, manuals, specifications, computer programs, E-mail, voice mail, electronic databases, maps, architectural renditions, models and all other writings or materials of any type embodying any of such information, ideas, concepts, improvements, discoveries,
inventions and other similar forms of expression that are conceived, made, developed or acquired by Executive individually or in conjunction with others during the period of Executive’s employment by the Company (whether during business hours
or otherwise and whether on the Company’s premises or otherwise) that relate to any Company Entity’s business, trade secrets, products or services (collectively, “Work Product”) are and shall be the sole and
exclusive property of the applicable Company Entity. Executive agrees to perform all actions reasonably requested by the Company to establish and confirm such exclusive ownership. Upon termination of Executive’s employment by the Company, for
any reason, Executive promptly shall deliver such Confidential Information and Work Product, and all copies thereof, to the applicable Company Entity. 

5.2 Disclosure to Executive. The Company shall disclose to Executive, or place Executive in a position to have access to or
develop, Confidential Information and Work Product of the Company Entities; and shall entrust Executive with business opportunities of the Company Entities; and shall place Executive in a position to develop business good will on behalf of the
Company Entities. 
 5.3 No Unauthorized Use or Disclosure. Executive agrees to use reasonable efforts to preserve and protect
the confidentiality of all Confidential Information and of all Work Product containing Confidential Information of the Company Entities. Executive agrees that Executive will not, at any time during or after Executive’s employment with the
Company, make any unauthorized disclosure of, and Executive shall not remove from the Company premises, Confidential Information or Work Product of the Company Entities, or make any use thereof, except, in each case, in the carrying out of
Executive’s responsibilities hereunder. Executive shall use all reasonable efforts to obligate all persons or entities to whom any Confidential Information shall be disclosed by Executive hereunder to preserve and protect the confidentiality of
such Confidential Information. Executive shall have no obligation hereunder to keep confidential any Confidential Information if and to the extent (a) such Confidential Information has become publicly available other than as a result of a
breach of this Agreement by Executive, (b) the Confidential Information must be disclosed by Executive to perform his obligations and duties hereunder, (c) the Confidential Information is learned independently by the Executive without violation
of a duty of confidentiality owed to the Company Entities, or (d) the disclosure thereof is specifically required by law; provided, however, that in the event disclosure is required 

  
 8 

 
by applicable law, Executive shall provide the Company with prompt notice of such requirement prior to making any such disclosure, so that the Company may seek an appropriate protective order. At
the request of the Company at any time, Executive agrees to deliver to the Company all Confidential Information that Executive may possess or control. Executive agrees that all Confidential Information of the Company Entities (whether now or
hereafter existing) conceived, discovered or made by Executive during the period of Executive’s employment by the Company exclusively belongs to the applicable Company Entity (and not to Executive), and upon request by the Company for specified
Confidential Information, Executive will promptly disclose such Confidential Information to the Company and perform all actions reasonably requested by the Company to establish and confirm such exclusive ownership. As a result of Executive’s
employment by the Company, Executive may also from time to time have access to, or knowledge of, confidential information or work product of third parties, such as customers, suppliers, partners, joint venturers, and the like, of the Company
Entities. Executive also agrees to use reasonable efforts to preserve and protect the confidentiality of such third-party Confidential Information and Work Product. Pursuant to the Defend Trade Secrets Act of 2016, Executive shall not be held
criminally or civilly liable under any Federal or state trade secret law for the disclosure of any Confidential Information that (i) is made (A) in confidence to a Federal, state or local government official, either directly or indirectly,
or to an attorney and (B) solely for the purpose of reporting or investigating a suspected violation of law or (ii) is made in a complaint or other document filed in a lawsuit or other proceeding, if such filing is made under seal. 

5.4 Ownership. If, during Executive’s employment by the Company, Executive creates any work of authorship fixed in any
tangible medium of expression that is the subject matter of copyright (such as videotapes, written presentations, or acquisitions, computer programs, E-mail, voice mail, electronic databases, drawings, maps,
architectural renditions, models, manuals, brochures, or the like) relating to the business, products, or services of one or more Company Entities, whether such work is created solely by Executive or jointly with others (whether during business
hours or otherwise and whether on the Company’s premises or otherwise), including any Work Product, such applicable Company Entities shall be deemed the author of such work if the work is prepared by Executive in the scope of Executive’s
employment; or, if the work relating to the business, products, or services of one or more Company Entities is not prepared by Executive within the scope of Executive’s employment but is specially ordered by such Company Entities as a
contribution to a collective work, as a part of a motion picture or other audiovisual work, as a translation, as a supplementary work, as a compilation, or as an instructional text, then the work shall be considered to be work made for hire and such
applicable Company Entities shall be the author of the work. If the work relating to the business, products, or services of one or more Company Entities is either prepared by Executive within the scope of Executive’s employment or a work
specially ordered that is deemed to be a work made for hire during Executive’s employment by the Company, then Executive hereby agrees to assign, and by these presents does assign, to such applicable Company Entities all of Executive’s
worldwide right, title, and interest in and to such work and all rights of copyright therein. 

  
 9 

 5.5 Assistance by Executive. During the period of Executive’s employment
by the Company, Executive shall assist each Company Entity, at any time, in the protection of such Company Entity’s worldwide right, title and interest in and to Confidential Information and Work Product and the execution of all formal
assignment documents requested by such applicable Company Entity and the execution of all lawful oaths and applications for patents and registration of copyright in the United States and foreign countries. After Executive’s employment with the
Company terminates, at the request from time to time and expense of each Company Entity, Executive shall reasonably assist such Company Entity, at reasonable times and for reasonable periods and for reasonable compensation, in the protection of such
Company Entity’s worldwide right, title and interest in and to Confidential Information and Work Product and the execution of all formal assignment documents requested by such Company Entity and the execution of all lawful oaths and
applications for patents and registration of copyright in the United States and foreign countries. 
 5.6 Remedies. Executive
acknowledges that each Company Entity is a third-party beneficiary of Executive’s obligations to it under this Article V and has rights to enforce it as such, and that money damages would not be a sufficient remedy for any breach of this
Article V by Executive, and the Company Entities shall be entitled to enforce the provisions of this Article V by terminating payments then owing to Executive under this Agreement or otherwise and to specific performance and
injunctive relief as remedies for such breach or any threatened breach. Such remedies shall not be deemed the exclusive remedies for a breach of this Article V but shall be in addition to all remedies available at law or in equity, including
the recovery of damages from Executive and Executive’s agents. 
 ARTICLE VI 

STATEMENTS CONCERNING COMPANY ENTITIES 

6.1 Statements by Executive. Executive shall refrain, both during and after the termination of the employment relationship, from
publishing any oral or written statements about any Company Entity or its directors, managers, officers, employees, consultants, agents or representatives that (a) are slanderous, libelous or defamatory, (b) disclose Confidential
Information (other than Confidential Information that has become publicly available other than as a result of a breach of this Agreement by Executive) of any Company Entity or its business affairs, directors, managers, officers, employees,
consultants, agents or representatives, or (c) place any Company Entity or its directors, managers, officers, employees, consultants, agents or representatives in a false light before the public. A violation or threatened violation of this
prohibition may be enjoined by the courts. Executive acknowledges that each Company Entity is a third-party beneficiary of Executive’s obligations to it under this Article VI and has rights to enforce it as such. The rights afforded
under this Section 6.1 are in addition to any and all rights and remedies otherwise afforded by law. The foregoing notwithstanding, nothing shall prevent Executive from testifying in any legal proceeding pursuant to a subpoena or other
legal process. Notwithstanding any provision to the contrary in this Agreement, nothing in this Agreement prohibits Executive from reporting possible violations of law or regulation to any governmental agency or entity, including but not limited to
the Department of Justice, the Securities and Exchange Commission, the Congress, and any agency Inspector General, or making other disclosures that are protected under the whistleblower provisions of federal law or regulation. Additionally, the
parties acknowledge and agree that Executive does not need the prior authorization of the Company to make any such reports or disclosures and Executive is not required to notify the Company that Executive has made such reports or disclosures. 

  
 10 

 ARTICLE VII 

EFFECT OF TERMINATION OF EMPLOYMENT ON COMPENSATION 

7.1 Effect of Termination of Employment on Compensation. 

(a) Benefit Obligation, Accrued Obligation and Bonus Obligation Defined. For purposes of this Agreement, payment of the
“Benefit Obligation” shall mean payment by the Company to Executive (or his designated beneficiary or legal representative, as applicable), in accordance with the terms of the applicable plan document, of all vested benefits
to which Executive is entitled under the terms of the employee benefit plans and compensation arrangements in which Executive is a participant as of the Date of Termination. “Accrued Obligation” means the sum of
(1) Executive’s Base Salary through the Date of Termination, (2) any accrued vacation pay earned by the Executive, and (3) any incurred but unreimbursed expenses for which Executive is entitled to reimbursement in accordance with
Section 4.5, in each case, to the extent not theretofore paid. “Bonus Obligation” means (i) Executive’s earned but unpaid Bonus Payment for any previously completed calendar year
determined in accordance with Section 4.2 (“Prior Year Bonus”) and (ii) Executive’s pro-rata Bonus Payment earned through the Date of Termination for the applicable calendar year determined in
accordance with Section 4.2 but prorated based on the number of days worked in the calendar year in which the Date of Termination occurs (“Current Year Pro-Rata Bonus”). 

(b) Disability; Death. Except as otherwise provided in Section 7.1(g), if during the Term Executive’s
employment is terminated pursuant to Section 3.2(a) or 3.2(b), the Company shall pay to Executive (or his designated beneficiary or legal representative, if applicable) the Accrued Obligation, the Prior Year Bonus (if not
previously paid) and the Current Year Pro-Rata Bonus within 30 days following the Date of Termination. Following such payments, the Company shall have no further obligations to Executive other than as may be required by law or the terms of an
employee benefit plan of the Company. The Company shall pay Executive (or his designated beneficiary or legal representative, if applicable) the Benefit Obligation at the times specified in and in accordance with the terms of the applicable employee
benefit plans and compensation arrangements unless otherwise required by law. 
 (c) By the Company for Cause. If during the Term
Executive’s employment is terminated by the Company pursuant to Section 3.2(c), the Company shall pay to Executive the Accrued Obligation and the Prior Year Bonus (if not previously paid) within 30 days following the Date of
Termination. Following such payment, the Company shall have no further obligations to Executive other than as may be required by law or the terms of an employee benefit plan of the Company. The Company shall pay Executive the Benefit Obligation at
the times specified in and in accordance with the terms of the applicable employee benefit plans and compensation arrangements. 
 (d) By
Executive Without Good Reason. If during the Term Executive terminates his employment for any reason other than Good Reason, the Company shall pay to Executive the Accrued Obligation and the Prior Year Bonus (if not previously paid) within 30
days following the Date of Termination. Following such payment, the Company shall have no further obligations to Executive other than as may be required by law or the terms of an employee benefit plan of the Company. The Company shall pay Executive
the Benefit 

  
 11 

 
Obligation at the times specified in and in accordance with the terms of the applicable employee benefit plans and compensation arrangements. If during the Initial Term, Executive terminates his
employment for any reason other than Good Reason, the Executive shall forfeit, if at all, the Vitesse Energy MIUs and Vitesse Oil MIUs, whether vested or unvested, at the time of such termination based on the following: 

(i) If such termination occurs after December 31, 2019 but prior to December 31, 2020, Executive shall forfeit 1/3rd of his Vitesse Energy MIUs and Vitesse Oil MIUs; and 
 (ii) If such termination occurs
after December 31, 2020, no MIUs shall 
 be forfeited. 

(e) At the End of the Term. If during the Term either Party provides the other with a written notice of its election not to renew the
Agreement and Executive’s employment with the Company is terminated at the end of the Term, the Company shall pay to Executive the Accrued Obligation and the Prior Year Bonus (if not previously paid) within 30 days following the Date of
Termination. Following such payments, the Company shall have no further obligations to Executive other than as may be required by law or the terms of an employee benefit plan of the Company. The Company shall pay Executive the Benefit Obligation at
the times specified in and in accordance with the terms of the applicable employee benefit plans and compensation arrangements unless otherwise required by law. The Party providing written notice of its election not to renew the Agreement to the
other Party shall not have breached this Agreement if such notice is timely provided. 
 (f) By the Company Without Cause or by Executive
for Good Reason. If during the Term Executive’s employment is terminated by the Company other than for Cause, death or Disability or if Executive terminates his employment for Good Reason, then, Executive shall receive the following
benefits and compensation from the Company: 
 (i) the Company shall pay Executive the Accrued Obligation within 30 days following
Executive’s Date of Termination; 
 (ii) the Company shall pay Executive the Prior Year Bonus (if not previously paid) and the Current
Year Pro-Rata Bonus within 30 days following Executive’s Date of Termination; 
 (iii) the
Company shall pay to Executive an amount equal to Executive’s Base Salary and Bonus Payment for the remaining Initial Term with such amount payable, at Executive’s election, in (a) a lump sum within 30 days following the date
Executive executes and delivers the General Release to Company or (b) in 12 equal monthly installments commencing on the 60th day following Executive’s Date of Termination; and 

(iv) the Company shall pay Executive the Benefit Obligation at the times specified in and in accordance with the terms of the applicable
employee benefit plans and compensation arrangements. 

  
 12 

 (g) Disability; Death While Performing Company Duties. If during the Term
Executive’s employment is terminated due to Disability or death while performing Company Duties, the Company shall pay to Executive (or his designated beneficiary or legal representative, if applicable) the benefits and compensation as provided
in Section 7.1(f). 
 Notwithstanding the foregoing, neither Executive, nor his estate, shall be permitted to
specify the taxable year in which a payment described in Section 7.1(f) or this Section 7.1(g) shall be paid. 

(h) General Release of Claims. Payments to Executive under this Section 7.1 (other than Accrued Obligations,
Benefit Obligations and Bonus Obligations) are contingent upon Executive’s execution of a release (the “General Release”) substantially in the form attached hereto as Exhibit A within 50 days of Executive’s Date of
Termination that is not revoked by Executive during any applicable revocation period provided in such release (which shall release and discharge the Company Entities and their officers, directors, managers, employees and agents from any and all
claims or causes of action of any kind or character, including all claims or causes of action arising out of Executive’s employment with the Company or the termination of such employment). 

ARTICLE VIII 
 NON-COMPETITION AGREEMENT 
 8.1 Definitions. As used in this Article VIII, the
following terms shall have the following meanings: 
 (a) “Business” means any endeavor in which any Company Entity
is engaged in during the Prohibited Period, and the provision of products or services that are substantially similar to the products or services provided by any business, partnership, firm, corporation or other entity which any Company Entity has
made substantial progress toward acquiring on or before the Date of Termination. For the purposes of this definition, the execution by any Company Entity of a binding or non-binding letter of intent, term
sheet, or similar agreement or a confidentiality agreement or similar agreement with respect to the acquisition of a business, partnership, firm, corporation or other entity on or before the Date of Termination shall constitute sufficient evidence
of the Company Entity having made substantial progress towards acquiring such business, partnership, firm, corporation or other entity. 

(b) “Business Opportunity” means any commercial, investment or other business opportunity relating to any Business.

 (c) “Competing Business” means any business, individual, partnership, firm, corporation or other entity which
wholly or in any significant part engages in any business competing with any Business in the Restricted Area other than the Exchange Property Interests and Gerrity Bakken, LLC or any of its Affiliates. In no event will any Company Entity, or,
subject to the provisions of Section 2.4 of this Agreement, any Exchange Property Interests or Gerrity Bakken, LLC or any of its Affiliates, be deemed a Competing Business. 

  
 13 

 (d) “Governmental Authority” means any governmental,
quasi-governmental, state, county, city or other political subdivision of the United States or any other country, or any agency, court or instrumentality, foreign or domestic, or statutory or regulatory body thereof. 

(e) “Legal Requirement” means any law, statute, code, ordinance, order, rule, regulation, judgment, decree, injunction,
franchise, permit, certificate, license, authorization, or other directional requirement (including any of the foregoing that relates to environmental standards or controls, energy regulations and occupational, safety and health standards or
controls including those arising under environmental laws) of any Governmental Authority. 
 (f) “Prohibited Period”
means the period during which Executive is employed by the Company hereunder and if (i) Executive is terminated by the Company without Cause, the Company elects not to renew the Term for a Renewal Term pursuant to Section 3.1, or
Executive terminates his employment with the Company for Good Reason, a period of six months following Executive’s Date of Termination or (ii) Executive’s employment with the Company is terminated for any reason other than as
described in clause (i), a period of one year following Executive’s Date of Termination. 
 (g) “Restricted
Area” means any county in which any Company Entity engages in any Business. 
 8.2
Non-Competition; Non-Solicitation. Executive and the Company agree to the non-competition and non-solicitation provisions of this Article VIII; (i) in consideration for the Confidential Information provided by the Company to Executive pursuant to Article V; (ii) as part of the
consideration for the compensation and benefits to be paid to Executive hereunder; (iii) to protect the trade secrets and confidential information of the Company Entities disclosed or entrusted to Executive by the Company Entities or created or
developed by Executive for the Company Entities, the business goodwill of the Company Entities developed through the efforts of Executive and/or the business opportunities disclosed or entrusted to Executive by the Company Entities; and (iv) as
an additional incentive for the Company to enter into this Agreement. 
 (a) Executive expressly covenants and agrees that during the
Prohibited Period (i) Executive will refrain from carrying on or engaging in, directly or indirectly, any Competing Business in the Restricted Area and (ii) Executive will not, and Executive will cause Executive’s Affiliates not to,
directly or indirectly, own, manage, operate, join, become an employee, partner, owner or member of (or an independent contractor to), control or participate in or loan money to, sell or lease equipment to or sell or lease real property to any
business, individual, partnership, firm, corporation or other entity which engages in a Competing Business in the Restricted Area. 
 (b)
Executive further expressly covenants and agrees that during the Prohibited Period and subject to Section 2.4 related to Gerrity Bakken, LLC, Executive will not, and Executive will cause Executive’s Affiliates not to
(i) engage or employ, or solicit or contact with a view to the engagement or employment of, any person who is an officer or employee of any Company Entity or (ii) canvass, solicit, approach or entice away or cause to be
canvassed, solicited, approached or enticed away from any Company Entity any person who or which is a customer of any of such entities during the period during which Executive is employed by the Company. 

  
 14 

 (c) Executive further expressly covenants and agrees that during the Prohibited Period,
Executive will not and Executive will cause Executive’s Affiliates not to appropriate any Business Opportunity of, or relating to, any Company Entity, or engage in any activity that is detrimental to such Company Entity or that limits such
Company Entity’s ability to fully exploit such Business Opportunities or prevents the benefits of such Business Opportunities from accruing to such Company Entity. 

(d) Executive expressly recognizes that Executive is a high-level, executive employee who will be provided with access to trade secrets as part
of Executive’s employment and that the restrictive covenants set forth in this Section 8.2 are reasonable and necessary in light of Executive’s executive position and access to the Company Entities’ trade secrets. 

8.3 Relief. Executive and the Company agree and acknowledge that the limitations as to time, geographical area and scope of
activity to be restrained as set forth in Section 8.2 are reasonable and do not impose any greater restraint than is necessary to protect the legitimate business interests of the Company Entities. Executive and the Company also
acknowledge that money damages would not be sufficient remedy for any breach of this Article VIII by Executive, and the Company Entities shall be entitled to enforce the provisions of this Article VIII by terminating payments then
owing to Executive under this Agreement or otherwise and to specific performance and injunctive relief as remedies for such breach or any threatened breach. Such remedies shall not be deemed the exclusive remedies for a breach of this Article
VIII but shall be in addition to all remedies available at law or in equity, including the recovery of damages from Executive and Executive’s agents. 

8.4 Reasonableness; Enforcement. Executive hereby represents to the Company that Executive has read and understands, and agrees
to be bound by, the terms of this Article VIII. Executive acknowledges that the geographic scope and duration of the covenants contained in this Article VIII are the result of arm’s-length
bargaining and are fair and reasonable in light of (a) the nature and geographic scope of the operations of any Business, (b) Executive’s level of control over and contact with any Business in all jurisdictions in which it is conducted,
(c) the fact that any Business is conducted throughout the Restricted Area and (d) the amount of compensation, trade secrets and Confidential Information that Executive is receiving in connection with the performance of Executive’s
duties hereunder. It is the desire and intent of the Parties that the provisions of this Article VIII be enforced to the fullest extent permitted under applicable Legal Requirements, whether now or hereafter in effect and therefore, to the
extent permitted by applicable Legal Requirements, Executive and the Company hereby waive any provision of applicable Legal Requirements that would render any provision of this Article VIII invalid or unenforceable. It is specifically agreed
that the period specified in Section 8.2 shall be computed by excluding from that computation any time during which Employee is in violation of any provision of Section 8.2. 

  
 15 

 8.5 Reformation. The Company and Executive agree that the foregoing
restrictions are reasonable under the circumstances and that any breach of the covenants contained in this Article VIII would cause irreparable injury to the applicable Company Entity. Executive expressly represents that enforcement of the
restrictive covenants set forth in this Article VIII will not impose an undue hardship upon Executive or any person or entity Affiliated with Executive. Executive understands that the foregoing restrictions may limit Executive’s ability
to engage in certain businesses anywhere in the Restricted Area during the Prohibited Period, but acknowledges that Executive will receive sufficiently high remuneration and other benefits from the Company to justify such restriction. Further,
Executive acknowledges that Executive’s skills are such that Executive can be gainfully employed in non-competitive employment, and that the agreement not to compete will not prevent Executive from
earning a living. Nevertheless, if any of the aforesaid restrictions are found by a court of competent jurisdiction to be unreasonable, or overly broad as to geographic area or time, or otherwise unenforceable, the Parties intend for the
restrictions herein set forth to be modified by the court making such determination so as to be reasonable and enforceable and, as so modified, to be fully enforced. By agreeing to this contractual modification prospectively at this time, the
Company and Executive intend to make this provision enforceable under the law or laws of all applicable jurisdictions so that the entire agreement not to compete and this Agreement as prospectively modified shall remain in full force and effect and
shall not be rendered void or illegal. 
 ARTICLE IX 

MISCELLANEOUS 
 9.1
Notices. For purposes of this Agreement, notices and all other communications provided for herein shall be in writing and shall be deemed to have been duly given (a) when received if delivered personally or by courier, (b) on
the date receipt is acknowledged if delivered by certified mail, postage prepaid, return receipt requested or (c) one day after transmission if sent by facsimile transmission with confirmation of transmission or by email, as follows: 

If to Executive, addressed to: 

Brian J. Cree 
 [***] 

[***] 

  
 16 

 If to the Company, addressed to: 

Vitesse Management Company LLC 

9200 E. Mineral Avenue, Suite 200 

Centennial, Colorado 80112 

Facsimile: 720-361-2501 

With a copy (which shall not constitute notice) to: 

George Hutchinson 
 Jefferies
Financial Group Inc. 
 333 Clay St., Suite 1000 

Houston, TX 77002 
 Facsimile: 832-463-4341 
 or to such other address as either Party may furnish to the other
in writing in accordance herewith, except that notices or changes of address shall be effective only upon receipt. 

9.2    Applicable Law; Submission to Jurisdiction. 

(a)    This Agreement is entered into under, and shall be governed for all purposes by, the laws of the State of Colorado,
without regard to conflicts of laws principles thereof. 
 (b)    With respect to any claim or dispute related to or
arising under this Agreement, the Parties hereto hereby consent to the exclusive jurisdiction, forum and venue of the state and federal courts located in the State of Colorado. 

9.3 Litigation. Executive agrees to cooperate, in a reasonable and appropriate manner, with the Company and its attorneys, both
during and after the termination of his employment, in connection with any litigation or other proceeding arising out of or relating to matters in which Executive was involved prior to the termination of his employment to the extent the Company pays
all expenses Executive incurs in connection with such cooperation and to the extent such cooperation does not unduly interfere (as determined by Executive in good faith) with Executive’s personal or professional schedule. 

9.4 Dispute Resolution. Except as provided otherwise in Sections 5.6, 6.1 and 8.3, all claims, demands,
causes of action, disputes, controversies or other matters in question (“Claims”) arising out of this Agreement or Executive’s service (or termination from service) with the Company, whether arising in contract, tort or
otherwise and whether provided by statute, equity or common law, that any Company Entity may have against Executive or that Executive may have against any Company Entity, or against each of the foregoing entities’ respective officers,
directors, employees or agents in their capacity as such or otherwise, shall be settled in accordance with the procedures described in Section 9.4(a) and 9.4(b). Claims covered by this Section 9.4 include claims by
Executive for breach of this Agreement, wrongful termination, discrimination (based on age, race, sex, disability, national origin, sexual orientation, or any other factor), harassment and retaliation. 

  
 17 

 (a)    Agreement to Negotiate. First, the Parties shall attempt
in good faith to resolve any Claims promptly by negotiations between Executive and executives or directors of the Company and its Affiliates who have authority to settle the Claims. Either Party may give the other disputing Party written notice of
any Claim not resolved in the normal course of business. Within five days after the effective date of that notice, Executive and such executives or directors of the Company shall agree upon a mutually acceptable time and place to meet and shall meet
at that time and place, and thereafter as often as they reasonably deem necessary, to exchange relevant information and to attempt to resolve the Claim. The first of those meetings shall take place within 30 days of the date of the disputing
Party’s notice. If the Claim has not been resolved within 60 days of the date of the disputing Party’s notice, or if the Parties fail to agree on a time and place for an initial meeting within five days of that notice, either Party may
elect to undertake arbitration in accordance with Section 9.4(b). 
 (b)    Agreement to Arbitrate.
If a Claim is not resolved by negotiation pursuant to Section 9.4(a), such Claim must be resolved through arbitration regardless of whether the Claim involves claims that the Agreement is unlawful, unenforceable, void, or voidable or
involves claims under statutory, civil or common law. Any arbitration shall be conducted in accordance with the then-current Employment Arbitration Rules of the American Arbitration Association (“AAA”). If a Party refuses to
honor its obligations under this Section 9.4(b), the other Party may compel arbitration any federal or state court of competent jurisdiction. The arbitrator shall apply the substantive law of Colorado (excluding choice-of-law principles that might call for the application of some other jurisdiction’s law) or federal law, or both as applicable to the Claims asserted. The
arbitrator shall have exclusive authority to resolve any dispute relating to the interpretation, applicability or enforceability or formation of this Agreement (including this Section 9.4), including any claim that all or part of the
Agreement is void or voidable and any Claim that an issue is not subject to arbitration. The results of arbitration will be binding and conclusive on the Parties hereto. Any arbitrator’s award or finding or any judgment or verdict thereon will
be final and unappealable. The seat of arbitration shall be in the State of Colorado, and unless agreed otherwise by the Parties, all hearings shall take place at the seat. Any and all of the arbitrator’s orders, decisions and awards may be
enforceable in, and judgment upon any award rendered by the arbitrator may be confirmed and entered by any federal or state court having jurisdiction in Colorado. All evidentiary privileges under applicable state and federal law, including
attorney-client, work product and party communication privileges, shall be preserved and protected. The decision of the arbitrator will be binding on all Parties. Arbitrations will be conducted in such a manner that the final decision of the
arbitrator will be made and provided to Executive and the Company no later than 120 days after a matter is submitted to arbitration. All proceedings conducted pursuant to this agreement to arbitrate, including any order, decision or award of the
arbitrators, shall be kept confidential by all Parties. Each Party shall pay its own attorneys fees and disbursements and other costs of arbitration. The Company shall pay all of the arbitrator’s fees and related costs. EXECUTIVE ACKNOWLEDGES
THAT, BY SIGNING THIS AGREEMENT, EXECUTIVE IS WAIVING ANY RIGHT THAT EXECUTIVE MAY HAVE TO A JURY TRIAL OR A COURT TRIAL OF ANY SERVICE RELATED CLAIM ALLEGED BY EXECUTIVE. 

  
 18 

 9.5 No Waiver. No failure by either Party hereto at any time to give notice of
any breach by the other Party of, or to require compliance with, any condition or provision of this Agreement shall be deemed a waiver of similar or dissimilar provisions or conditions at the same or at any prior or subsequent time. 

9.6 Severability. If a court of competent jurisdiction determines that any provision of this Agreement is invalid or
unenforceable, then the invalidity or unenforceability of that provision shall not affect the validity or enforceability of any other provision of this Agreement, and all other provisions shall remain in full force and effect. 

9.7 Counterparts. This Agreement may be executed in one or more counterparts, each of which shall be deemed to be an original,
but all of which together will constitute one and the same Agreement. 
 9.8 Withholding of Taxes and Other Employee
Deductions. The Company may withhold from any benefits and payments made pursuant to this Agreement (whether actually or constructively made to Executive or treated as included in Executive’s income under Section 409A of the Code)
all federal, state, city and other applicable taxes and withholdings as may be required pursuant to any law or governmental regulation or ruling and all other customary deductions made with respect to the Company’s employees generally. 

9.9 References and Construction. In this Agreement: (a) unless the context requires otherwise, all references in this
Agreement to sections, subsections or other subdivisions shall be deemed to mean and refer to sections, subsections or other subdivisions of this Agreement; (b)    titles appearing at the beginning of any subdivision are for
convenience only and shall not constitute part of such subdivision and shall be disregarded in construing the language contained in such subdivision; (c) the words “this Agreement,” “this instrument,” “herein,”
“hereof,” “hereby,” “hereunder,” and words of similar import refer to this Agreement as a whole and not to any particular subdivision unless expressly so limited; (d) words in the singular form shall be
construed    to include the plural and vice versa, unless the context otherwise requires; (e)    pronouns in masculine, feminine and neuter genders shall be construed to include any other gender;
(f) examples shall not be construed to limit, expressly or by implication, the matters they illustrate; (g) the word “or” is not exclusive and the word “includes” and its derivatives means “includes, but is not
limited to” and corresponding derivative expressions; (h) no consideration shall be given to the fact or presumption that one party hereto had a greater or lesser hand in drafting this Agreement; (i) all references herein to
“$” or “dollars” shall refer to U.S. Dollars; and (j) unless the context otherwise requires or unless otherwise provided herein, any reference herein to a particular agreement, instrument or document shall also refer to and
include all renewals, extensions, modifications, amendments or restatements of such agreement, instrument, or document. 
 9.10
Successors. This Agreement shall be binding upon and inure to the benefit of the Company and any successor of the Company. Except as provided in the preceding sentence, this Agreement, and the rights and obligations of the Parties
hereunder, are personal and neither this Agreement, nor any right, benefit or obligation of either Party hereto, shall be subject to voluntary or involuntary assignment, alienation or transfer, whether by operation of law or otherwise, without the
prior written consent of the other Party. In addition, any payment owed to Executive hereunder after the date of Executive’s death shall be paid to Executive’s estate. 

  
 19 

 9.11 Term. Termination of this Agreement shall not affect any right or
obligation of any Party which is accrued or vested prior to such termination, except as set forth in Article VII. Without limiting the scope of the preceding sentence, the provisions of Articles V, VI, VII, VIII
and IX shall survive any termination of the employment relationship and/or of this Agreement. 
 9.12 Entire Agreement.
Except as provided in any signed written agreement contemporaneously or hereafter executed by any Company Entity and Executive, this Agreement and Exhibit A constitutes the entire agreement of the Parties with regard to the subject matter
hereof, and contains all the covenants, promises, representations, warranties and agreements between the Parties with respect to employment of Executive by the Company. Without limiting the scope of the preceding sentence, all understandings and
agreements preceding the date of execution of this Agreement and relating to the subject matter hereof are hereby null and void and of no further force and effect. 

9.13 Modification; Waiver. Any modification to or waiver of this Agreement will be effective only if it is in writing and signed
by the Parties to this Agreement; provided that the Company may, with prospective or retroactive effect, amend this Agreement at any time (to the extent Executive is not adversely affected by such amendment), if determined to be necessary,
appropriate or advisable in response to administrative guidance issued under Section 409A of the Code or to comply with the provisions of Section 409A of the Code. 

9.14 Compliance with Section 409A of the Code. This Agreement is intended to provide payments
and benefits that are exempt from or comply with the requirements of Section 409A of the Code and shall be construed and interpreted in accordance with such intent. To the extent any payment or benefit provided under this Agreement is subject
to Section 409A, such benefit shall be provided in a manner that complies with Section 409A, including any IRS guidance promulgated with respect to Section 409A. In this regard, notwithstanding the foregoing provisions of this
Agreement, if the payment of any severance compensation or severance benefits under Article VII would be subject to additional taxes and interest under Section 409A of the Code because the timing of such payment is not delayed as
provided in Section 409A(a)(2)(B)(i) of the Code, and Executive constitutes a specified employee within the meaning of Section 409A(a)(2)(B)(i) of the Code, then any such payments that Executive would otherwise be entitled to during the
first six months following Executive’s separation from service within the meaning of Section 409A(a)(2)(A)(i) of the Code shall be accumulated and paid on the date that is six months after Executive’s separation from service (or if
such payment date does not fall on a business day of the Company, the next following business day of the Company), or such earlier date upon which such amount can be paid under Section 409A of the Code without being subject to such additional
taxes and interest. 
 9.15 Vitesse Energy Guaranty. Vitesse Energy hereby unconditionally and irrevocably guarantees to
Executive the timely payment and performance of the financial obligations of the Company owed to Executive under this Agreement, arising after or attributable to any period after the Effective Date, upon the terms and conditions set forth herein.
This guaranty provision is absolute, independent and continuing under all circumstances, and is a guaranty of payment and performance, not of collection. Vitesse Energy hereby acknowledges that Executive has given sufficient consideration for this
guaranty provision by entering into this Agreement. 
 [EXECUTION PAGE FOLLOWS] 

  
 20 

 IN WITNESS WHEREOF, the Parties have executed this Agreement as of the Effective
Date. 
  

			
	VITESSE MANAGEMENT COMPANY LLC
		
	By:	 	 /s/ Robert W. Gerrity

	Name:	 	Robert W. Gerrity
	Title:	 	Chief Executive Officer

  

	
	
	EXECUTIVE
	
	 /s/ Brian J. Cree

	Brian J. Cree

  

			
	VITESSE ENERGY, LLC
		
	By:	 	 /s/ Robert W. Gerrity

	Name:	 	Robert W. Gerrity
	Title:	 	Chief Executive Officer
	
	VITESSE OIL, LLC
		
	By:	 	 /s/ Robert W. Gerrity

	Name:	 	Robert W. Gerrity
	Title:	 	Chief Executive Officer

  
 Signature Page to

 Third Amended and Restated Employment Agreement 

 Exhibit A 

Form of Waiver and Release Agreement 

Vitesse Management Company LLC has offered to pay me certain benefits (the “Benefits”) pursuant to Section 7.1(f) of my Third
Amended and Restated Employment Agreement with Vitesse Management Company LLC, effective as of February 18, 2020 (the “Employment Agreement”), which were offered to me in exchange for my agreement, among other things, to waive all of
my claims against and release Vitesse Management Company LLC and its predecessors, successors and assigns (collectively referred to as the “Company”), its Affiliates (as defined in the Employment Agreement), and their respective directors
and officers, employees and agents, insurers, employee benefit plans and the fiduciaries and agents of said plans (collectively the “Corporate Group”) from any and all claims, demands, actions, liabilities and damages arising out of or
relating in any way to my employment with or separation from the Company; provided, however, that this Waiver and Release shall not apply to (1) any existing right I have to indemnification, contribution and a defense, (2) any directors
and officers and general liability insurance coverage, (3) any rights I may have as a shareholder of any member of the Corporate Group, (4) any rights I have to the Benefit Obligations, Accrued Obligations and Bonus Obligations (as such
terms are defined in the Employment Agreement), and (5) any rights which cannot be waived or released as a matter of law. 
 I
understand that signing this Waiver and Release is an important legal act. I acknowledge that the Company has advised me in writing to consult an attorney before signing this Waiver and Release and has given me at least 21 days from the day I
received a copy of this Waiver and Release to sign it. 
 In exchange for the payment to me of Benefits, I, among other things,
(1) agree not to sue in any local, state and/or federal court regarding or relating in any way to my employment with or separation from the Company or the Affiliates, (2) knowingly and voluntarily waive all claims and release the Corporate
Group from any and all claims, demands, actions, liabilities, and damages, whether known or unknown, arising out of or relating in any way to my employment with or separation from the Company or the Affiliates and (3) waive any rights that I
may have under any of the Company’s involuntary severance benefit plans, except to the extent that my rights are vested under the terms of employee benefit plans sponsored by the Company or the Affiliates and except with respect to such rights
or claims as may arise after the date this Waiver and Release is executed. This Waiver and Release includes claims and causes of action under: Title VII of the Civil Rights Act of 1964, as amended (“Title VII”); the Age Discrimination in
Employment Act of 1967, as amended, including the Older Workers Benefit Protection Act of 1990 (“ADEA”); the Civil Rights Act of 1866, as amended; the Civil Rights Act of 1991; the Americans with Disabilities Act of 1990 (“ADA”);
the Energy Reorganization Act, as amended, 42 U.S.C. §§ 5851; the Workers Adjustment and Retraining Notification Act of 1988; the Sarbanes-Oxley Act of 2002; the Employee Retirement Income Security Act of 1974, as amended; the Family and
Medical Leave Act of 1993; the Fair Labor Standards Act; the Occupational Safety and Health Act; claims in connection with workers’ compensation statutes; and/or contract, tort, defamation, slander, wrongful termination or any other state or
federal regulatory, statutory or common law. Further, I expressly represent that no promise or agreement which is not expressed in the Employment Agreement has been made to me in executing this Waiver and Release, and that I am relying on my own
judgment in executing this Waiver and Release, and that I am not relying on any statement or representation of the Company, any of its Affiliates or any other member of the Corporate Group or any of their agents. I agree that this Waiver and Release
is valid, fair, adequate and reasonable, is entered into with my full knowledge and consent, was not procured through fraud, duress or mistake and has not had the effect of misleading, misinforming or failing to inform me. 

  
 Exhibit A - 1 

 Notwithstanding the foregoing, nothing contained in this Waiver and Release is intended to
prohibit or restrict me in any way from bringing a lawsuit against the Company to enforce the Company’s obligations to pay me the Benefits. This release does not apply to any claims for unemployment compensation or any other claims or rights
which, by law, cannot be waived, including the right to file an administrative charge or participate in an administrative investigation or proceeding; provided, however that Executive disclaims and waives any right to share or participate in any
monetary award from the Company resulting from the prosecution of such charge or investigation or proceeding. Notwithstanding the foregoing or any other provision in this Waiver and Release or the Employment Agreement to the contrary, the Company
and Executive further agree that nothing in this Waiver and Release or the Agreement (i) limits Executive’s ability to file a charge or complaint with the EEOC, the NLRB, OSHA, the SEC or any other federal, state or local governmental
agency or commission (each a “Government Agency” and collectively “Government Agencies”); (ii) limits Executive’s ability to communicate with any Government Agencies or otherwise participate in any investigation or
proceeding that may be conducted by any Government Agency, including providing documents or other information and reporting possible violations of law or regulation or other disclosures protected under the whistleblower provisions of applicable law
or regulation, without notice to the Company; or (iii) limits Executive’s right to receive an award for information provided to any Government Agencies. 

I understand that the Company knowingly and voluntarily waives any and all claims and releases me from any and all claims, demands, actions,
liabilities, and damages, including attorneys’ fees and costs, whether known or unknown, arising out of or relating in any way to my employment with or the performance of my duties for the Company or its Affiliates. Notwithstanding the
foregoing, I understand that the Company is not waiving or releasing any action related to the commission of any crime or act of willful misconduct by me or releasing me from any of my obligations set forth in the Employment Agreement. 

Should any of the provisions set forth in this Waiver and Release be determined to be invalid by a court, agency or other tribunal of
competent jurisdiction, it is agreed that such determination shall not affect the enforceability of other provisions of this Waiver and Release. I acknowledge that this Waiver and Release and the Employment Agreement set forth the entire
understanding and agreement between me and the Company or any other member of the Corporate Group concerning the subject matter of this Waiver and Release and supersede any prior or contemporaneous oral and/or written agreements or representations,
if any, between me and the Company or any other member of the Corporate Group. I understand that for a period of 7 calendar days following the date that I sign this Waiver and Release, I may revoke my acceptance of the offer, provided that my
written statement of revocation is received on or before that seventh day by___________________, Vitesse Management Company, LLC, 9200 E. Mineral Avenue, Suite 200, Centennial, Colorado 80112, facsimile number:
720-361-2501, in which case the Waiver and Release will not become effective. In the event I revoke my acceptance of this offer, the Company shall have no obligation to
provide me the Benefits. I understand that failure to revoke my acceptance of the offer within 7 calendar days from the date I sign this Waiver and Release will result in this Waiver and Release being permanent and irrevocable. 

  
 Exhibit A - 2 

 I acknowledge that I have read this Waiver and Release, have had an opportunity to ask
questions and have it explained to me and that I understand that this Waiver and Release will have the effect of knowingly and voluntarily waiving any action I might pursue, including breach of contract, personal injury, retaliation, discrimination
on the basis of race, age, sex, national origin, or disability and any other claims arising prior to the date of this Waiver and Release. By execution of this document, I do not waive or release or otherwise relinquish any legal rights I may have
which are attributable to or arise out of acts, omissions, or events of the Company or any other member of the Corporate Group which occur after the date of the execution of this Waiver and Release. 

 

					
	  
	 		  	  

	Employee’s Printed Name	 		  	Company Representative
			
	  
	 		  	  

	Employee’s Signature	 		  	Company’s Execution Date
			
	  
	 		  	
	Employee’s Signature Date	 		  	

  
 Exhibit A - 3flora_ex105.htm

EXHIBIT 4.1  
   
 EXECUTIVE EMPLOYMENT AGREEMENT
  
 This EXECUTIVE EMPLOYMENT AGREEMENT (“Agreement”) is made as of February 28, 2022 (the “Agreement Date”), with an effective date of March 1, 2022 (the “Effective Date”), by Flora Growth Management Corp., a Florida corporation with a principal business address located at 198 Davenport Road, Toronto, Ontario, M5R 1J2, Canada (“Flora Management”), and Luis Merchan (“Executive”). Executive and Flora Management are referred to as “Parties” or “Party” herein.
  
 WHEREAS, Executive is currently engaged as Chief Executive Officer (“CEO”) of Flora Growth Corp., a corporation formed under the laws of Ontario, Canada and publicly traded on the NASDAQ Capital Market (“Flora Growth”), pursuant to the terms of a consulting agreement dated June 15, 2020, as amended on December 16, 2020 (the “Prior Agreement”); and
  
 WHEREAS, as of the Effective Date, Flora Management desires to employ Executive as its CEO; and
  
 WHEREAS, Executive desires to serve as CEO of Flora Management pursuant to the terms and conditions of this Agreement.
  
 WHEREAS, as of the Effective Date, the Prior Agreement shall be null and void.
  
 NOW, THEREFORE, in consideration of the mutual covenants and promises contained herein, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged by the parties hereto, the parties agree as follows:
  
 1. Term
  
 Flora Management shall employ Executive, and Executive shall be employed by Flora Management, upon the terms and conditions set forth in this Agreement. Unless terminated earlier pursuant to Section 5 below, Executive’s employment pursuant to this Agreement shall be for a period of three (3) years commencing on the Effective Date and ending on February 28, 2025 (the “Term”). Non-renewal of this Agreement shall not constitute a termination of Executive under this Agreement for purposes of Section 5 below. The period of Executive’s employment with Flora Management shall be the “Employment Period.”
  
 2. Title; Duties
  
 (a) Executive shall be employed as CEO. Executive shall report to the board of directors of Flora Growth (the “Flora Growth Board”), which shall have the final and exclusive authority to direct, control and supervise the activities of Executive. Executive shall perform such services consistent with his position as may be assigned to him from time to time by the Flora Growth Board. Executive is employed in a fiduciary relationship with Flora Management. In addition to the foregoing, Executive shall perform duties consistent with his appointment from time to time to any other executive positions with Flora Management or any of Flora Management’s related or affiliated entities including, but not limited to, Flora Growth (collectively, the “Flora Affiliates”). For the avoidance of doubt, Executive may be appointed, removed, and reappointed to or from executive and directorship positions of any Flora Affiliate and any such action, other than a removal of Executive as an executive of Flora Management shall not constitute a termination of Executive under this Agreement.
   
 	 
	1
	

	 

  
 (b) Executive shall carry out his duties set forth in this Agreement at Flora Management’s offices in South Florida or remotely; provided, however, that Executive’s duties require extensive and extended travel, which the parties expect, may involve travel approximately fifty percent (50%) of the time with fluctuations based upon business exigencies.
   
 3. Extent of Services
  
 (a) General. Except as provided herein, Executive shall devote a substantial majority of his business time, attention, skill, and effort to the performance of his duties under this Agreement. Executive may, to the extent such activities do not impair the performance of his duties to Flora Management or the Flora Affiliates: (i) engage in personal investments and charitable, professional, and civic activities; (ii) serve on boards of directors (or other governing bodies) of non-competitive corporations (or other entities) other than Flora Management and the Flora Affiliates; and (iii) engage in such additional activities and serve on such additional boards of directors (or other governing bodies) as the Flora Growth Board shall approve (collectively, “Outside Activities”); provided, however, that Executive shall promptly cease any Outside Activity if directed to do so by the Flora Growth Board in its sole and absolute discretion. Executive shall not serve on the board of directors (or other governing body) of any corporation (or any other entity) that engages in activities in competition with those of Flora Management or the Flora Affiliates, nor shall Executive engage in activities that would create an actual or apparent conflict of interest, in each case as determined by the Flora Growth Board in its sole and absolute discretion. Executive shall perform his duties to the best of his ability, shall adhere to Flora Management’s published policies and procedures, and shall use his best efforts to promote the interests, reputation, business, and welfare of both Flora Growth and Flora Management.
  
 4. Compensation and Benefits
  
 (a) Salary. Flora Management shall pay Executive a gross annual base salary (“Base Salary”) of $385,000. For the avoidance of doubt, Executive shall not be entitled to receive any other salary to the extent he serves as an officer, director, or employee of any other Flora Affiliate. The Base Salary, minus such deductions as may be required by law or reasonably requested by Executive, shall be paid in accordance with Flora Management’s normal payroll practices but not less frequently than monthly. The Flora Growth Board shall review Executive’s Base Salary annually in conjunction with its regular review of executives’ salaries and make such increases, if any, to his Base Salary as the Flora Growth Board shall deem appropriate in its sole and absolute discretion.
   
 	 
	2
	

	 

  
 (b) Incentive Compensation
  
 (i) Executive shall be eligible to receive a “Discretionary Annual Bonus” with a target amount of one hundred percent (100%) of Base Salary. The amount, if any, of each Discretionary Annual Bonus payable to Executive shall be determined by the Flora Growth Board in its sole and absolute discretion, taking into account such criteria as the Flora Growth Board shall deem appropriate and may be more or less than the target amount. The Flora Growth Board shall make its determination of the amount of the Discretionary Annual Bonus (if any) payable to Executive promptly after the Flora Growth Board’s acceptance of the financial results for the applicable year. Executive shall be entitled to receive the Discretionary Annual Bonus (if any) for a given year so long as he is an employee on the last day of the year for which the Discretionary Annual Bonus is given. Each such Discretionary Annual Bonus directed to be awarded to Executive shall be payable as soon as practical, but no later than March 15 of the year following the year of performance. Subject to the foregoing, Executive may be entitled to receive a pro-rata amount of the Discretionary Annual Bonus for any partial calendar year occurring by reason of termination of this Agreement pursuant to Section 5(b) or (c) below.
  
 (ii) Executive shall be eligible to participate in any equity compensation plan under which similarly-situated senior executives of Flora Management and the Flora Affiliates are eligible to receive equity awards for service to Flora Management (the “EIP”). The terms and amounts of any EIP awards granted to Executive shall be determined by the Flora Growth Board in its sole and absolute discretion. Payments of amounts (if any) under the EIP shall be structured to provide liquidity at such times and in such amounts as is necessary to permit Executive to pay on a timely basis all income and employment taxes due by reason of any incentive compensation payable to him under the EIP.
   
 (iii) Executive may be eligible to participate in such other incentive compensation programs as may be provided to senior executives of Flora Management or the Flora Affiliates from time-to-time.
  
 (iv) Notwithstanding anything to the contrary contained in this Agreement, Executive’s entitlement to any Discretionary Annual Bonus and any award granted to Executive under the EIP or any other incentive compensation program shall be determined and approved by the Flora Growth Board, in each case in its sole and absolute discretion.
  
 (c) Other Benefits. Executive shall be entitled to paid time off and holiday pay in accordance with Flora Management policies in effect from time to time, and to participate in such life, health and disability insurance, pension, deferred compensation and incentive plans, stock options and awards, performance bonuses and other benefits as Flora Management extends, as a matter of policy, to senior executive employees of Flora Management. Until such time as Executive is enrolled in a 401(k) plan and health insurance plan offered by Flora Management or a Flora Affiliate, Executive shall receive an annual stipend, payable monthly, in an amount equal to fifteen percent (15%) of Executive’s Base Salary, less all legally required payroll deductions and withholdings.
  
 (d) Reimbursement of Business Expenses. Flora Management shall reimburse Executive for all reasonable travel, entertainment and other expenses incurred or paid by Executive in connection with, or related to, the performance of his duties, responsibilities or services to Flora Management and the other Flora Affiliates under this Agreement in accordance with the reimbursement policy and procedure then adopted, from time to time, by Flora Management and upon presentation by Executive of reasonable documentation, expense statements, vouchers and such other supporting information as Flora Management may reasonably request.
   
 	 
	3
	

	 

  
 5. Termination
  
 (a) Termination by Flora Management for Cause. Flora Management may terminate Executive’s employment at any time for Cause upon written notice. For purposes of this Agreement, “Cause” for termination shall mean any of the following: (i) the conviction of Executive of, or the entry of a plea of guilty, first offender probation before judgment or nolo contendere by Executive to, any felony or any other crime involving dishonesty; (ii) fraud, misappropriation or embezzlement in connection with employment; (iii) breach of fiduciary duty or duty of loyalty by Executive with respect to Flora Management or any of the Flora Affiliates; (iv) Executive’s willful failure or refusal to perform assigned duties or comply with any lawful written directive of the Flora Growth Board; (v) Executive’s gross negligence in the performance of his assigned duties for Flora Management or any Flora Affiliate; (vi) any willful act or omission of Executive that the Flora Growth Board reasonably determines to be likely to have a material adverse impact on Flora Management’s or any Flora Affiliate’s business or reputation for honesty and fair dealing; (vi) the material breach by Executive of this Agreement or any other contract with Flora Management or any Flora Affiliate that is not cured (if capable of cure, as determined by the Flora Growth Board in its reasonable judgment) within thirty (30) days following written notice to Executive describing such breach; or (vii) the material violation by Executive of any applicable policy of Flora Management or any of the Flora Affiliates that is not cured (if capable of cure, as determined by the Flora Management Board in its reasonable judgment) within thirty (30) days following written notice to Executive describing such violation.  For purposes of this Section 5(a), conduct is “willful” if Executive engages in such conduct in bad faith or without a reasonable basis to believe that such conduct is required by law or otherwise in the best interests of Flora Management.
  
 (b) Termination by Flora Management without Cause. Flora Management may terminate Executive’s employment at any time without Cause upon sixty (60) days’ written notice. At Flora Management’s sole and absolute discretion, during all or any part of such notice period, Flora Management may (i) relieve Executive of all or any part of his duties, and such action shall not constitute Good Reason, and/or (ii) provide pay in lieu of notice by paying one day of Base Salary for each day of notice not given. Any pay in lieu of notice shall not be offset against any entitlement Executive may have to the Severance Payment pursuant to Section 6(c)(i) below.
   
 (c) Termination by Executive for Good Reason. Executive may terminate his employment with Flora Management at any time for Good Reason, upon sixty (60) days’ written notice by Executive to Flora Management. Executive may not terminate this Agreement for Good Reason hereunder unless and until he has provided Flora Management with written notice of the action which Executive contends to be Good Reason (which notice must specify that such action constitutes the basis for a “Good Reason” resignation hereunder), such written notice is provided within sixty (60) days after the first occurrence of the event which Executive contends to be Good Reason and Flora Management has failed to reasonably remedy such action within thirty (30) days after receiving such written notice. For purposes of this Agreement, “Good Reason” for termination shall mean any of the following: (i) a material diminution in Executive’s duties or responsibilities; (ii) a material reduction in Executive’s Base Salary; or (iii) a material breach of this Agreement by Flora Management. As used herein, “a material diminution in Executive’s duties or responsibilities” shall mean the assignment to Executive on a sustained basis of substantial duties and responsibilities that are materially inconsistent with, and materially below those reasonably expected to be performed by a person in, Executive’s position with Flora Management. For the avoidance of doubt, the removal of Executive from any position with a Flora Affiliate shall not constitute Good Reason.
   
 	 
	4
	

	 

  
 (d) Executive’s Death or Disability. Executive’s employment with Flora Management shall terminate immediately upon his death or, upon written notice as set forth below, his Disability. As used in this Agreement, “Disability” shall mean such permanent physical or mental impairment as would render Executive unable to perform his duties under this Agreement for more than one hundred eighty (180) days. If Executive’s employment is terminated by reason of Executive’s Disability, either party shall give thirty (30) days’ advance written notice to that effect to the other. This Section 5(d) is intended to be interpreted and applied consistent with any laws, statutes, regulations, and ordinances prohibiting discrimination, harassment, or retaliation on the basis of a disability.
  
 (e) Termination by Executive without Good Reason. Executive may terminate his employment with Flora Management at any time without Good Reason upon giving Flora Management sixty (60) days’ written notice. At Flora Management’s sole and absolute discretion, during all or any part of such notice period, Flora Management may (i) relieve Executive of all or any part of his duties, and such action shall not constitute Good Reason, and/or (ii) provide pay in lieu of notice by paying one day of Base Salary for each day of notice not given. Any pay in lieu of notice shall not be offset against any entitlement Executive may have to the Severance Payment pursuant to Section 6(c)(i) below.
  
 6. Effect of Termination
  
 (a) General. Regardless of the reason for any termination of this Agreement (other than terminations due to Executive’s death or Disability, which are covered by Sections 6(e)(i) and (ii) below, respectively), Executive shall be entitled to receive each of the following: (i) payment of any unpaid portion of his Base Salary through the effective date of termination; (ii) reimbursement for any outstanding reasonable business expense he has incurred in performing his duties hereunder in accordance with Section 4(d) above; (iii) continued insurance benefits to the extent required by law; and (iv) payment of any fully vested but unpaid rights as required by the terms of any bonus or other incentive pay plan, or any other employee benefit plan or program of Flora Management or a Flora Affiliate.
  
 (b) Termination by Flora Management for Cause. If Flora Management terminates Executive’s employment for Cause, Executive shall have no rights or claims under this Agreement against Flora Management or any of the Flora Affiliates or their officers, directors, employees, or equity holders, with respect to such termination of employment or termination of any other position then held by Executive with any of the Flora Affiliates, except only to receive the payments and benefits described in Section 6(a) above.
   
 	 
	5
	

	 

  
 (c) Termination by Flora Management without Cause or by Executive for Good Reason. If Flora Management terminates Executive’s employment without Cause pursuant to Section 5(b) above or Executive terminates his employment for Good Reason pursuant to Section 5(c) above, and such termination is effective during the Term, then Executive shall only be entitled to receive, and Flora Management shall pay, in addition to the items referenced in Section 6(a) above, the following:
   
 (i) An aggregate amount equal to two times (2.0x) his Base Salary at the rate in effect on his last day of employment (the “Severance Payment”), less all legally required payroll deductions and withholdings. Fifty percent (50%) of the Severance Payment shall be paid in a lump sum on the third business day following the Release Effective Date (the “Payment Date”), and the remaining fifty percent (50%) of the Severance Payment shall be paid in twelve (12) equal monthly installments commencing on the effective date of termination; provided, however, that the first such payment will be made on the Payment Date and will include all payments that would have been made sooner if the Release Effective Date had occurred on the effective date of termination. The twelve (12)-month period during which Severance Payments shall be tendered is the “Severance Payment Period.”
  
 (ii) To help defray Executive’s costs of procuring health insurance coverage (including, to the extent applicable, continuation coverage under COBRA), Flora Management shall pay Executive an additional monthly stipend of Two Thousand Dollars ($2.000.00) (the “Additional Amount”), less all legally required payroll deductions and withholdings, with each Severance Payment installment during the Severance Payment Period to be paid to Executive under Section 6(c)(i) above; provided, however, that Executive shall promptly notify Flora Management if he becomes eligible to obtain insurance coverage under another group insurance plan at which time payment of the Additional Amount to Executive shall cease. In no event shall payment of the Additional Amount to Executive extend beyond the Severance Payment Period.
  
 (iii) A pro-rata share of any Discretionary Annual Bonus which Executive otherwise would have been entitled under Section 4(b)(i) above for the calendar year in which his employment terminates without Cause or for Good Reason, with such discretionary amount determined by the Flora Growth Board in good faith and prorated based on the number of days Executive is employed in the year of termination. Such pro-rated bonus shall be paid to Executive no later than March 15 of the year following the year of termination, and in no event shall any discretionary amount be determined in a manner different than such amounts are determined for still-employed senior executives of Flora Management.
   
 	 
	6
	

	 

  
 (d) Termination by Executive without Good Reason. If Executive terminates this Agreement without Good Reason, Executive shall only be entitled to receive the payments and benefits described in Section 6(a).
  
 (e) Termination upon Death or Disability
  
 (i) If Executive’s employment terminates in the event of his death, Executive’s estate shall be entitled to receive (a) payment of any unpaid portion of his Base Salary through the date of his death, (b) payment of any fully vested but unpaid rights as required by the terms of any bonus or other incentive pay plan or any other employee benefit plan or program of Flora Management or the Flora Affiliates and (c) a pro-rata share of any Discretionary Annual Bonus to which he otherwise would have been entitled under Section 4(b)(i) above for the calendar year in which his death occurs at no less than the target bonus percentage, paid at the time discretionary annual bonuses are paid to still-employed executives of Flora Management. Further, Flora Management shall pay the Additional Amount for a period of twelve (12) months following his date of death. Executive’s estate shall not be entitled to receive any severance pay or benefits or other amounts for termination due to his death other than as provided in this Section 6(e)(i); and
  
 (ii) In the event Executive’s employment terminates due to his Disability, he shall be entitled to receive his Base Salary through the date he is terminated due to his Disability. Executive also shall be entitled to receive a pro-rata share of any Discretionary Annual Bonus to which he otherwise would have been entitled under Section 4(b)(i) above for the calendar year in which his employment terminates due to his Disability, paid at the time discretionary annual bonuses are paid to still-employed executives of Flora Management. Further, Flora Management shall pay the Additional Amount for a period of twelve (12) months following the date of termination of his employment; provided, however, that if such insurance coverage becomes available under another group insurance plan during the twelve (12)-month period, payment of the Additional Amount shall cease. Executive shall receive no severance pay or benefits for termination due to his Disability other than as provided in this Section 6(e)(ii).
   
 (f) Non-Renewal of Employment. If employment terminates based upon the expiration of the Employment Term, then Executive shall only be entitled to receive the items referenced in Section 6(a) above.
  
 (g) Termination following Change in Control. If a Change in Control (as defined below) occurs during the Term, the following provisions shall apply:
  
 (i) Termination without Cause or for Good Reason. If Flora Management terminates Executive’s employment without Cause or Executive terminates his employment for Good Reason within twelve (12) months following a Change in Control, the termination shall be treated as a termination pursuant to Section 6(c) above; provided, however, that the Severance Payment shall be increased to two and one half times (2.5x) Executive’s Base Salary.
   
 	 
	7
	

	 

  
 For purposes of this Agreement, a “Change in Control” means a (i) Change in Ownership of Flora Growth, (ii) Change in Ownership of Assets of Flora Growth, or (iii) a Change in Effective Control of Flora Growth, as described herein and construed in accordance with Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”).
  
 	  
	 (A)
	 A “Change in Ownership of Flora Growth” shall occur on the date that any Person acquires, or Persons Acting as a Group acquire, ownership of the equity interests of Flora Growth that, together with the stock held by such Person or Group, constitutes more than fifty percent (50%) of the total fair market value or total voting power of the equity interests of Flora Growth. However, if any Person is, or Persons Acting as a Group are, considered to own more than fifty percent (50%) of the total fair market value or total voting power of the equity interests of Flora Growth, the acquisition of additional stock by the same Person or Persons Acting as a Group is not considered to cause a Change in Ownership of Flora Growth. An increase in the percentage of equity interests owned by any Person, or Persons Acting as a Group, as a result of a transaction in which Flora Growth acquires its equity interests in exchange for property shall be treated as an acquisition of equity interests.

	  
	  
	  

	  
	 (B)
	 A “Change in the Ownership of Assets of Flora Growth” shall occur on the date that any Person acquires, or Persons Acting as a Group acquire (or has or have acquired during the twelve (12)-month period ending on the date of the most recent acquisition by such Person or Persons) assets from Flora Growth that have a total gross fair market value equal to or more than eighty-five percent (85%) of the total gross fair market value of all of the assets of Flora Growth immediately before such acquisition or acquisitions. For this purpose, gross fair market value means the value of the assets of Flora Growth, or the value of the assets being disposed of, determined without regard to any liabilities associated with such assets.

	  
	  
	  

	  
	 (C)
	 A “Change in Effective Control of Flora Growth” shall occur on the date more than fifty percent (50%) of the members of the Flora Growth Board are replaced during any twelve (12)-month period by directors whose appointment or election is not endorsed by a majority of the existing members of the Flora Growth Board.

  
 	 
	8
	

	 

  
 The following rules of construction apply in interpreting the definition of Change in Control:
  
 	  
	 (D)
	 A “Person” means any individual, entity or group within the meaning of Section 13(d)(3) or 14(d)(2) of the Securities Exchange Act of 1934, as amended, other than employee benefit plans sponsored or maintained by Flora Growth and by entities controlled by Flora Growth or an underwriter of the equity interests of Flora Growth in a registered public offering.

	  
	  
	  

	  
	 (E)
	 Persons shall be considered to be “Persons Acting as a Group (or a Group)” if they are owners of a corporation that enters into a merger, consolidation, purchase or acquisition of stock or similar business transaction with Flora Growth. If a Person owns equity interests in both Flora Growth and the other corporation that enters into a merger, consolidation, purchase or acquisition of stock or similar business transaction, such holder is considered to be acting as a Group with other holders only with respect to the ownership in the entity giving rise to the change and not with respect to the ownership interest in Flora Growth. Persons shall not be considered to be acting as a Group solely because they purchase assets of the same entity at the same time or purchase or own stock of the same corporation at the same time, or as a result of the same public offering.

	  
	  
	  

	  
	 (F)
	 For purposes of this definition, fair market value shall be determined by the Flora Growth Board.

	  
	  
	  

	  
	 (G)
	 A Change in Control shall not include a transfer to a related person as described in Code Section 409A.

	  
	  
	  

	  
	 (H)
	 For purposes of this definition, Code Section 318(a) applies to determine ownership. Equity underlying a vested option is considered owned by the individual who holds the vested option (and the stock underlying an unvested option is not considered owned by the individual who holds the unvested option). For purposes of the preceding sentence, however, if a vested option is exercisable for equity that is not substantially vested (as defined by Treasury Regulation §§1.83-3(b) and (j)), the equity underlying the option is not treated as owned by the individual who holds the option.

     
 (h) Release Agreement Required for Severance Payments. No post-employment payments by Flora Management relating to termination of employment under the provisions of Section 6(c), (d), (e), or (g) above shall commence until Executive executes and delivers a Separation and General Release Agreement (the “Release Agreement”) in the form of attached Exhibit A in all material respects and the Release Agreement has become effective and irrevocable (the date thereof, the “Release Effective Date”), all of which must occur by no later than the thirtieth (30th) day following the termination of Executive’s employment (or such later deadline as applicable law may require). 
   
 	 
	9
	

	 

  
 (i) Payments upon Separation. Notwithstanding any contrary payment provisions of this Section 6, all payments in connection with a separation from service under this Agreement shall be made as of the latest of the following dates: (i) the thirtieth (30th) day following the termination of Executive’s employment and his delivery without revocation of the executed Separation Agreement; (ii) to the extent required under Section 11(b) below, the first business day that is six (6) months following Executive’s separation from service; or (iii) the payment date required under the terms of any deferred compensation plan subject to the requirements of Code Section 409A. Amounts otherwise payable prior to these dates shall be delayed pursuant to this provision. Executive shall not retain the ability to elect the tax year of any payments under the Separation Agreement and to the extent any payment could be made in one (1) of two (2) tax years, such payment shall be made in the later tax year. All payments under this Agreement shall be subject to all applicable federal, state, and local tax withholding.
  
 (j) Cooperation. Following the Employment Period, Executive shall assist and cooperate with Flora Management and the Flora Affiliates in the orderly transition of work to others if so requested by Flora Management or the Flora Affiliates. Executive shall cooperate with Flora Management and the Flora Affiliates and be responsive to requests for information by any of them relating to their respective business matters about which Executive may have information or knowledge and reasonably assist Flora Management and the Flora Affiliates, as the case may be, with any litigation, threatened litigation or arbitration proceeding relating to Flora Management’s or any Flora Affiliate’s business as to which business Executive had relevant knowledge, and Flora Management shall reimburse Executive for reasonable costs, including attorneys’ fees and expenses, actually incurred by Executive in connection with such assistance.
   
 7. Confidentiality
  
 (a) Definition of Proprietary Information. Executive acknowledges that he may be furnished or may otherwise receive or have access to confidential information which relates to Flora Management’s or a Flora Affiliate’s past, present or future business activities, strategies, services or products, research and development; financial analysis and data; improvements, inventions, processes, techniques, designs or other technical data; profit margins and other financial information; fee arrangements; terms and contents of leases, asset management agreements and other contracts; tenant and vendor lists or other compilations for marketing or development; confidential personnel and payroll information; or other information regarding administrative, management, financial, marketing, leasing or sales activities of Flora Management or any Flora Affiliates or of a third party which provided proprietary information to either or both on a confidential basis. All such information, including any materials or documents containing such information, shall be considered by Flora Management, the Flora Affiliates, and Executive as proprietary and confidential information of Flora Management and the Flora Affiliates (the “Proprietary Information”).
  
 (b) Exclusions. Notwithstanding the foregoing, Proprietary Information shall not include (i) information disseminated by Flora Management or Flora Affiliates on a non-confidential basis to third parties in the ordinary course of business; (ii) information in the public domain not as a result of a breach of any duty by Executive or any other person; or (iii) information that Flora Management or Flora Affiliates, as the case may be, does not consider confidential.
   
 	 
	10
	

	 

  
 (c) Obligations. Both during the Employment Period and after termination of his employment for any reason, including expiration of the Term (the “Nondisclosure Restricted Period”), Executive shall preserve and protect the confidentiality of the Proprietary Information and all physical forms thereof, whether disclosed to him before this Agreement is signed or afterward. In addition, Executive shall not (i) disclose or disseminate the Proprietary Information to any third party, including employees of Flora Management or Flora Affiliates without a legitimate business need to know; (ii) remove the Proprietary Information from Flora Management’ or any of the Flora Affiliate’s premises without a valid business purpose; or (iii) use the Proprietary Information for his own benefit or for the benefit of any third party, in each of the foregoing cases during the Nondisclosure Restricted Period.
  
 (d) Notice of Immunity under the Economic Espionage Act of 1996, as amended by the Defend Trade Secrets Act of 2016 (“DTSA”)
  
 (i) Notwithstanding any other provision of this Agreement, Executive shall not be held criminally or civilly liable under any federal or state trade secret law for any disclosure of a trade secret that:
  
 	  
	 (A)
	 is made: (1) in confidence to a federal, state, or local government official, either directly or indirectly, or to an attorney; and (2) solely for the purpose of reporting or investigating a suspected violation of law; or

	  
	  
	  

	  
	 (B)
	 is made in a complaint or other document that is filed under seal in a lawsuit or other proceeding.

   
 (ii) Notwithstanding any other provision of this Agreement, if Executive files a lawsuit for retaliation by Flora Management for reporting a suspected violation of law, Executive may disclose the Flora Management’s trade secrets to Executive’s attorney and use the trade secret information in the court proceeding if Executive:
  
 	  
	 (A)
	 files any document containing the trade secret under seal; and

	  
	  
	  

	  
	 (B)
	 does not disclose the trade secret, except pursuant to court order.

  
 (e) Communications with Government Agencies. Nothing in this Agreement or any other agreement between Flora Management and Executive or any policy of Flora Management:
  
 (i) prohibits Executive from communicating with the Equal Employment Opportunity Commission, the National Labor Relations Board, the Occupational Health and Safety Administration, the Securities and Exchange Commission, or any other government agency (each a “Government Agency”) about a potential violation of the law;
   
 	 
	11
	

	 

  
 (ii) limits Executive’s ability, without notice to or approval from Flora Management:
  
 	  
	 (A)
	 to file a charge or complaint with a Government Agency;

	  
	  
	  

	  
	 (B)
	 to participate in an investigation or proceeding conducted by a Government Agency; or

	  
	  
	  

	  
	 (C)
	 to provide information or documents to a Government Agency in connection with an investigation or proceeding.

  
 (iii) restricts Executive’s right to receive a reward or incentive for information provided to a Government Agency.
  
 (f) Return of Proprietary Information. Executive acknowledges that all the Proprietary Information pre-existing, used or generated during the course of his employment by Flora Management is the property of Flora Management and the Flora Affiliates, as the case may be, and Executive holds and uses such as a trustee for Flora Management or the Flora Affiliates and subject to Flora Management’s and the Flora Affiliates’ sole control. Executive shall deliver to Flora Management or the Flora Affiliates, as applicable, all documents and other tangibles (including diskettes and other storage media) containing the Proprietary Information (x) at any time upon request by the Flora Growth Board or the applicable Flora Affiliate during his Employment Period and (y) immediately upon termination of the Employment Period.
  
 8. Noncompetition
  
 The following definitions shall apply for the purpose of this Section 8:
  
 (i) “Competing Business” shall mean any natural person or entity engaged in the business of selling, manufacturing or distributing cannabis or cannabis related products.
  
 (ii) “Customer” shall mean any Person with which Flora Management or Flora Affiliates has an existing sales contract with or whom purchases a material amount of goods and/or services from Flora Affiliates.
  
 (iii) “Prospective Customer” shall mean any person or entity to whom Executive or Flora Management or any of the Flora Affiliates sent or delivered a written sales proposal, quote or contract, or with whom Executive or Flora Management or any of the Flora Affiliates had business contact for the purpose of developing that person or entity into a customer of Flora Management or a Flora Affiliate.
  
 (iv) “Restricted Area” shall mean within the United States and any other geographic area included in Flora Management’s and any Flora Affiliate’s business plans during the Employment Period.
   
 	 
	12
	

	 

  
 (v) “Restricted Period” shall mean the Employment Period and a period of twelve (12) months following the expiration, resignation, or termination of Executive’s employment for any reason.
   
 (vi) “Solicit” shall mean to knowingly solicit, call upon, or initiate communications or contacts with a person or entity for the purpose of developing or continuing a business relationship.
  
 (a) Restriction on Competition. During the Restricted Period, Executive shall not engage, directly or indirectly, either individually or through another person or entity, whether as an owner, employee, consultant, partner, principal, agent, representative, stockholder or otherwise, of, in, to or for any Competing Business in the Restricted Area; provided, however, that this Section 8(a) shall not prohibit Executive from (i) owning five percent (5%) or less of the outstanding stock of any publicly traded corporation, (ii) owning an equity interest in any other entity approved by the Flora Growth Board and listed on Exhibit B hereto, or (iii) serving on the board of directors of any Flora Affiliate.
  
 (b) Non-Solicitation of Customers. During the Restricted Period, Executive shall not (except on behalf of Flora Management or a Flora Affiliate) Solicit, directly or indirectly, on his own behalf or on behalf of any other person(s), any Customer or Prospective Customer of Flora Management or any of the Flora Affiliates for any line of business that Flora Management or Flora Affiliates conducts or plans to conduct as of the date of Executive’s termination of employment for the purpose of conducting, marketing or providing for a Competing Business.
  
 (c) Non-Solicitation of Employees. During the Restricted Period, Executive shall not, directly or indirectly, Solicit or employ or cause any business, other than an affiliate of Flora Management or Flora Growth, to Solicit or employ any person who is then or was at any time during the two (2)-year period prior to Executive’s termination as an employee of Flora Management or any of the Flora Affiliates and who is at the time of such employee’s separation from Flora Management or Flora Affiliates, a director, vice president, senior vice president, executive vice president or similar position of Flora Management or any of the Flora Affiliates, except to the extent that such action is undertaken in the ordinary course of hiring practices (e.g., an employment solicitation that is transmitted generally to the public or in the industry, rather than one that is targeted directly to any such Flora Management or Flora Affiliates’ employee).
  
 (d) Acknowledgement. Executive acknowledges that he will acquire much Proprietary Information concerning the past, present and future business of Flora Management and the Flora Affiliates as the result of his employment with Flora Management, as well as access to the relationships between Flora Management, Flora Growth and the other Flora Affiliates and their respective clients and employees. Executive further acknowledges that the business of Flora Management and the Flora Affiliates is very competitive and that competition by him in that business during the Employment Period and the Restricted Period would severely injure Flora Management and the Flora Affiliates, as the case may be. Executive understands that the restrictions contained in this Section 8 are reasonable and are required for Flora Management’ and the Flora Affiliates’ legitimate protection, and do not unduly limit his ability to earn a livelihood.
   
 	 
	13
	

	 

  
 (e) Judicial Modification; Severability. If a court or arbitrator of competent jurisdiction determines that any provision of this Section 8 is overly broad or otherwise unenforceable, it is the intention of the parties that such court or arbitrator shall modify such provision to the minimum extent necessary to render such provision enforceable and then enforce such provision as modified. If any provision of this Agreement cannot be enforced, notwithstanding judicial modification as provided in this Section 8(e), such unenforceable provision shall be severed from this Agreement.
  
 (f) Successors and Assigns. Flora Management and its successors and assigns may enforce these restrictive covenants.
  
 9. Executive Representations
  
 Executive represents and warrants to Flora Management that he is aware of the essential functions of his position set forth in Section 2 above, and that he is able to perform all of the essential functions of CEO with or without a reasonable accommodation under the law. Further, except as otherwise identified in this Agreement, Executive is not now under any obligation of a contractual or other nature to any person, business or other entity which is inconsistent or in conflict with this Agreement or which would prevent him from performing his obligations under this Agreement.
  
 	 
	14
	

	 

  
 10. Arbitration
  
 (a) Jury Trial Waiver, Arbitration. ALL ISSUES, MATTERS AND DISPUTES BETWEEN THE PARTIES REGARDING THE PARTIES’ EMPLOYMENT RELATIONSHIP OR TERMINATION OF THAT RELATIONSHIP, INCLUDING THIS AGREEMENT OR ANY BREACH OF THIS AGREEMENT, SHALL BE SUBMITTED TO AND DECIDED BY BINDING ARBITRATION IN FORT LAUDERDALE, FLORIDA. Executive agrees, on behalf of Executive and his agents or assigns that, except as otherwise provided in this paragraph, all potentially litigable claims or controversies arising out of this Agreement, Executive’s employment with Flora Management, or the termination of that employment, shall be submitted to final and binding arbitration pursuant to the Federal Arbitration Act. Said arbitration will be conducted before a mutually acceptable arbitrator with JAMS under JAMS’ Commercial Arbitration Rules and Mediation Procedures. If the Parties cannot agree upon an arbitrator, the claim or controversy shall be arbitrated by a single arbitrator selected in accordance with the applicable JAMS’ rules. This Agreement to arbitrate covers all grievances, disputes, claims, or causes of action that otherwise could be brought in a federal, state, or local court or agency under applicable federal, state, or local laws, arising out of or relating to Executive’s employment with Flora Management and the termination thereof, including claims Executive may have against Flora Management or against its officers, directors, supervisors, managers, employees, or agents in their capacity as such or otherwise, or that Flora Management may have against Executive. The claims covered by this Agreement include, but are not limited to, claims for breach of any contract or covenant (express or implied), tort claims, claims for wages, or other compensation due, claims for wrongful termination (constructive or actual), claims for whistle blowing, claims for discrimination or harassment (including, but not limited to, harassment or discrimination based on race, age, color, sex, gender, national origin, alienage or citizenship status, creed, religion, marital status, partnership status, military status, predisposing genetic characteristics, medical condition, psychological condition, mental condition, criminal accusations and convictions, disability, sexual orientation, or any other trait or characteristic protected by federal, state, or local law), and claims for violation of any federal, state, local, or other governmental law, statute, regulation, or ordinance. Neither Flora Management nor the Executive may pursue or participate in any claim against the other (i) as a class action or collective action; (ii) in a representative capacity on behalf of other persons or entities who are claimed to be similarly situated; (iii) in the capacity of a class member in any action, proceeding or arbitration against any party to this agreement; or (iv) absent the written consent of all parties, on a consolidated basis. Arbitration shall be brought solely on an individual basis and not on a class, group, collective, or representative basis, and the arbitrator in any arbitration under this Agreement has no power or authority to conduct the arbitration as a class or collective action or in a representative capacity. The arbitrator has the authority to award any type of relief or damages that could otherwise be awarded by a judge or jury to the Executive or Flora Management in their individual capacities. The arbitrator shall not, however, modify or disregard any provision of this Agreement. ARBITRATION AS PROVIDED IN THIS AGREEMENT SHALL BE THE EXCLUSIVE AND BINDING REMEDY AND WILL BE USED INSTEAD OF ANY COURT ACTION OR JURY TRIAL, WHICH IS HEREBY EXPRESSLY WAIVED. Each Party shall be responsible for its or his own costs incurred in such arbitration and in enforcing any arbitration award, including attorneys’ fees and expenses. The Executive hereby consents to personal jurisdiction and exclusive venue in the Federal Courts of Broward County, Florida, if such Court can exercise jurisdiction over the matter for any action brought by Flora Management seeking injunctive relief.
  
 (b) Injunctive Relief Pending Arbitration. Notwithstanding the foregoing, either party may apply to a court of competent jurisdiction at any time for (i) an order compelling arbitration pursuant to this Agreement and/or (ii) temporary and/or preliminary injunctive relief to preserve the status quo and prevent irreparable harm pending arbitration.
  
 	 
	15
	

	 

  
 11. Miscellaneous
  
 (a) Parachute Payments. In the event that (i) any severance payment, insurance benefits, accelerated vesting, pro-rated bonus or other benefit payable to Executive shall constitute a “parachute payment” within the meaning of Code Section 280G (“Parachute Payment”) and be subject to the excise tax imposed by Code Section 4999 (the “Excise Tax”), and (ii) if the payments to Executive were reduced to the minimum extent necessary so that such payments did not constitute Parachute Payments, the net benefits retained by Executive after the deduction of any federal, state or local income taxes would be greater than the net benefits retained by Executive if there was no such reduction after the deduction of Excise Tax and any federal, state or local income taxes, then such payments shall be so reduced. Such reduction shall be accomplished in any manner deemed appropriate by Flora Management after consultation with Executive. For purposes of making the foregoing determination: (1) Parachute Payments provided under arrangements with Executive other than this Agreement, if any, shall be taken into account in determining the total amount of Parachute Payments received by Executive so that the amount of Parachute Payments that are attributable to provisions of this Agreement is maximized; and (2) Executive shall be deemed to pay federal, state and local income taxes at the highest marginal rate of taxation for Executive’s taxable year in which the Parachute Payments are includable in Executive’s income for purposes of federal, state and local income taxation. The determination of whether the Excise Tax is payable, and the amount of any reduction necessary to make the Excise Tax not payable, as well as whether such a reduction would result in greater after-tax benefits to Executive, shall be made in writing in good faith by a nationally-recognized independent certified public accounting firm approved by Flora Management and Executive, such approval not to be unreasonably withheld (the “Accounting Firm”). For purposes of making the calculations required by this Section 11(a), to the extent not otherwise specified herein, reasonable assumptions and approximations may be made with respect to applicable taxes and reasonable, good faith interpretations of the Code may be relied upon. Flora Management and Executive shall furnish such information and documents as may be reasonably requested in connection with the performance of the calculations under this Section 11(a). Flora Management shall bear all costs incurred in connection with the performance of the calculations contemplated by this Section 11(a).
  
 (b) Section 409A Compliance. Notwithstanding anything to the contrary in this Agreement, in-kind benefits and reimbursements provided under this Agreement shall be provided in accordance with the requirements of Treasury Regulation Section 1.409A-3(i)(1)(iv), such that any in-kind benefits and reimbursements provided under this Agreement during any calendar year shall not affect in-kind benefits or reimbursements to be provided in any other calendar year, other than an arrangement providing for the reimbursement of medical expenses referred to in Code Section 105(b), and any in-kind benefits and reimbursements shall not be subject to liquidation or exchange for another benefit. Notwithstanding anything to the contrary in this Agreement, reimbursement requests must be timely submitted by Executive and, if timely submitted, reimbursement payments shall be promptly made to Executive following such submission, but in no event later than December 31st of the calendar year following the calendar year in which the expense was incurred. In no event shall Executive be entitled to any reimbursement payments after December 31st of the calendar year following the calendar year in which the expense was incurred.
   
 	 
	16
	

	 

  
 Notwithstanding anything to the contrary in this Agreement, to the maximum extent permitted by applicable law, amounts payable to Executive pursuant to the severance pay provisions of Section 6 above and the parachute payment provisions of Section 11(a) above are intended to be exempt from treatment as nonqualified deferred compensation under Code Section 409A to the maximum extent permitted by the Code and applicable Treasury Regulations, including exemptions under Treasury Regulation Section 1.409A-1(b)(9) (separation pay plans) or Treasury Regulation Section 1.409A-1(b)(4) (short-term deferrals). If Executive is treated as a “specified employee” (as determined by the Flora Management in its discretion in accordance with applicable regulations under Code Section 409A) at the time of his separation from service (within the meaning of Code Section 409A) from Flora Management and each employer treated as a single employer with Flora Management under Code Section 414(b) or (c) (provided that in applying such Sections and in accordance with the rules of Treasury Regulations Section 1.409A-1(h)(3), the language “at least 50 percent” shall be used instead of “at least 80 percent”) and if any amounts of nonqualified deferred compensation (within the meaning of Code Section 409A) are payable under this Agreement by reason of Executive’s separation from service, then payment of the amounts so treated as nonqualified deferred compensation which would otherwise be payable during the six (6)-month period following Executive’s separation from service shall be delayed until the earlier of (i) the first business day which is at least six (6) months and one (1) day following the date of such separation from service, (ii) the death of Executive, or (iii) such earlier date on which payment is permitted under Code Section 409A(a)(2)(B), and such payment shall be increased for delayed payment based on a crediting rate of the applicable federal short-term rate under Code Section 1274(d) (as determined on the date(s) payment(s) would have otherwise been made) from the date payment(s) would have otherwise been made without regard to this provision and the date payment is actually made. Any series of payments due under this Agreement, other than a payment which is a life annuity, shall for all purposes of Code Section 409A be treated as a series of separate payments and not as a single payment. If any amount otherwise payable under this Agreement by reason of a termination of employment from Flora Management is treated as nonqualified deferred compensation (within the meaning of Code Section 409A), then instead of making such payment upon occurrence of the termination of employment, such payment shall be made at such time as Executive has a separation from service (within the meaning of Code Section 409A) from Flora Management and each employer treated as a single employer with Flora Management, as determined above.
   
 (c) Notices. All notices required or permitted under this Agreement shall be in writing and shall be deemed effective (i) upon personal delivery, (ii) upon deposit with the United States Postal Service, by registered or certified mail, postage prepaid or (iii) in the case of email transmission or delivery by nationally recognized overnight deliver service, when received, addressed as follows:
  
 (i) If to Flora Management, to:
  
 Flora Growth Management Corp.
 198 Davenport Road
 Toronto, Ontario M5R 1J2, Canada
 Email: matt.cohen@floragrowth.com
  
 (ii) If to Executive, to:
  
 Luis Merchan
  
 Address on File
  
 or to such other address or addresses as either party shall designate to the other in writing from time to time by like notice.
  
 (d) Pronouns. Whenever the context may require, any pronouns used in this Agreement shall include the corresponding masculine, feminine, or neuter forms, and the singular forms of nouns and pronouns shall include the plural, and vice versa.
   
 	 
	17
	

	 

  
 (e) Entire Agreement. This Agreement constitutes the entire agreement between the Parties and supersedes all prior agreements and understandings, whether written or oral, relating to the subject matter of this Agreement. The Prior Agreement is declared null and void as of the Effective Date.
  
 (f) Amendment. This Agreement may be amended or modified only after approval by the Flora Growth Board and by a written instrument executed by both Flora Management and Executive.
  
 (g) Governing Law. This Agreement shall be construed, interpreted, and enforced in accordance with the laws of the State of Florida, without regard to its conflicts of laws principles.
  
 (h) Successors and Assigns; Change in Control. This Agreement shall be binding upon and inure to the benefit of both parties and each of its successors and assigns, including any entity with which or into which Flora Management may be merged or which may succeed to its assets or business or any entity to which Flora Management may assign its rights and obligations under this Agreement; provided, however, that the obligations of Executive are personal and shall not be assigned or delegated by him.
  
 (i) Waiver. No delays or omission by Flora Management or Executive in exercising any right under this Agreement shall operate as a waiver of that or any other right. A waiver or consent given by Flora Management or Executive on any one (1) occasion shall be effective only in that instance and shall not be construed as a bar or waiver of any right on any other occasion.
   
 (j) Captions. The captions appearing in this Agreement are for convenience of reference only and in no way define, limit or affect the scope or substance of any section of this Agreement.
  
 (k) Severability. In case any provision of this Agreement shall be held by a court or arbitrator with jurisdiction over the parties to this Agreement to be invalid, illegal or otherwise unenforceable, such provision shall be restated to reflect as nearly as possible the original intentions of the parties in accordance with applicable law, and the validity, legality and enforceability of the remaining provisions shall in no way be affected or impaired thereby.
  
 (l) Counterparts. This Agreement may be executed in one (1) or more counterparts, each of which shall be deemed an original but all of which together shall constitute one (1) and the same instrument.
  
 (m) Survival. The provisions of Sections 7 through 11 of this Agreement shall survive any termination of Executive’s employment.
  
 12. Approvals
  
 The effectiveness of this Agreement is subject to the approval of the Flora Growth Board. Delivery of this Agreement executed by Flora Management to Executive shall be deemed conclusive evidence of such approval and upon such approval this Agreement shall be deemed effective as of the Effective Date.
   
 	 
	18
	

	 

  
 13. No Other Employment or Compensation
  
 Executive (x) represents and warrants to Flora Management and the other Flora Affiliates that, and (y) agrees that during the Employment Period, (a) he is not and shall not be a party to any employment agreement or directly or indirectly involved in any employment or consulting arrangement or relationship with Flora Management or any other Flora Affiliate, except for this Agreement and as expressly permitted hereunder, and (b) he is not and shall not be directly or indirectly receiving any compensation, fees or payments of any other kind in exchange for any employment, consulting or other services provided to Flora Management or any other Flora Affiliate, except as provided under this Agreement and as expressly permitted hereunder.
  
 14. Taxes
  
 All payments to Executive pursuant to this Agreement shall be subject to withholding for taxes required by applicable law.
  
 IN WITNESS WHEREOF, the parties have executed this Agreement as of the Agreement Date.
  
 	 EXECUTIVE:
		 FLORA GROWTH MANAGEMENT CORP.
	
	  
	  
	  
	  
	
	  
	  
	  
	  
	
	 /s/ Luis Merchan
	  
	 By:
	 /s/ Matthew Cohen
	
	 Luis Merchan
	  
	  
	 Name: Matthew Cohen
	
	  
	  
	  
	 Title: General Counsel
	

  
 	 
	19

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00349-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00349-of-00352.parquet"}]]