Document:

Exhibit
10.6

 

ESCROW
AGREEMENT

 

THIS
ESCROW AGREEMENT (this “Agreement”), dated as of August 30, 2021, is entered into by and among PIZZAREV ACQUISITION,
LLC, a Delaware limited liability company (“Rev Acquisition”), PIE SQUARED HOLDINGS, LLC, a Delaware limited liability
company (the “Company”), PIE SQUARED PIZZA, LLC, a California limited liability company (“Pie Squared”),
AMERGENT HOSPITALITY GROUP, INC., a Delaware corporation (“AHG”), and D’ANDREA & ASSOCIATES, LTD.,
a S corporation, as escrow agent (the “Escrow Agent”).

 

W
I T N E S S E T H:

 

WHEREAS,
Rev Acquisition, AHG and Pie Squared Investment, LLC, a Delaware limited liability company (“Squared Investment”),
have entered into a Unit Purchase Agreement (the “Purchase Agreement”), dated as of August 30, 2021, pursuant to which
AHG has agreed to purchase from Rev Acquisition and Squared Investment all of the Units (this and each other capitalized term used but
not defined herein shall have the definition assigned thereto in the Purchase Agreement) on the terms and conditions set forth therein;

 

WHEREAS,
the Purchase Agreement provides for the establishment of an escrow to hold, invest, reinvest and distribute the Escrowed Working Capital;
and

 

WHEREAS,
the Escrow Agent is willing to act as the escrow agent hereunder;

 

NOW,
THEREFORE, in contemplation of the foregoing and in consideration of the mutual agreements, covenants, representations and warranties
contained herein and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, and intending
to be legally bound hereby, the parties hereto agree as follows:

 

1.
Appointment of the Escrow Agent. The Company, Pie Squared, AHG and Rev Acquisition hereby appoint and designate the Escrow Agent
as escrow agent to receive, hold, invest, reinvest and disburse the Escrow Fund (as defined below) in accordance with the terms of this
Agreement. The Escrow Agent hereby accepts its appointment as the escrow agent and agrees to receive, hold, invest, reinvest, and disburse
the Escrow Amount (as defined below) and any income, interest or other amounts received thereon in accordance with the terms of this
Agreement.

 

2.
Establishment of Escrow Fund.

 

2.1.
Receipt of the Escrow Amount. Simultaneously with the execution hereof (a) Pie Squared has delivered $2,000,000 to the Escrow
Agent, (b) Rev Acquisition has delivered $173,186.65 to the Escrow Agent, and (c) AHG has delivered $100,000 to the Escrow Agent (the
amounts delivered to the Escrow Agent in accordance with this Section 2.1 are hereinafter sometimes collectively referred to as the “Escrow
Amount”). The Escrow Agent hereby acknowledges receipt of the Escrow Amount. The Escrow Amount, together with any interest
or other earnings thereon, is herein referred to as the “Escrow Fund”.

 

    	-1-

    	 

    

 

2.2.
Investment of the Escrow Fund. (a) The Escrow Agent shall invest and reinvest the Escrow Fund in (i) certificates of deposit issued,
or a money market account maintained, by federally chartered banks or trust companies, the assets of which are at least $100,000,000
in excess of their liabilities, (ii) commercial paper rated in the highest grade by a nationally recognized credit rating agency, (iii)
United States Treasury Bills (or an investment portfolio or fund investing only in United States Treasury Bills), or (iv) such other
interest-bearing investments as jointly approved in writing by AHG and Rev Acquisition.

 

(b)
Each of the foregoing investments shall be made in the name of the Escrow Agent. Notwithstanding anything to the contrary contained herein,
the Escrow Agent may, without notice to any party hereto, sell or liquidate any of the foregoing investments at any time if the proceeds
thereof are required for any release of funds permitted or required hereunder, and the Escrow Agent shall not be liable or responsible
for any loss, cost or penalty resulting from any such sale or liquidation. The Escrow Agent shall in no event be liable in connection
with its investment or reinvestment of the Escrow Fund held by it hereunder in good faith, in accordance with the terms hereof, including,
but not limited to, any liability for any delays (not resulting from its gross negligence or willful misconduct) in the investment or
reinvestment of the Escrow Fund, or any loss of interest incident to such delays.

 

2.3.
Disbursement of the Escrow Fund. (a) On the Closing Date, the Escrow Agent shall deliver, by wire transfer as instructed by each
recipient, to (i) Mastodon Ventures, Inc., $100,000, (ii) the William Simon & Fanchon Simon Testamentary Trusts, $101,799, (iii)
Shearman & Sterling, $25,000, (iv) AHG, $31,387.65, and (v) the Escrow Agent, $15,000. AHG, the Company and Pie Squared contemplate
requesting a distribution from the Escrow Agent of an amount of the Escrow Fund (the “Initial Requested Working Capital Distribution
Amount”) to Pie Squared to be used by Pie Squared to make various payments relating to the 30-day period commencing on the
Closing Date (the “Initial Budget Period”). To request the distribution of the Initial Requested Working Capital Distribution
Amount on the Closing Date, AHG, the Company and Pie Squared shall deliver to the Escrow Agent and Rev Acquisition no later than 10:00
a.m. on the Closing Date a certificate substantially in the form of Exhibit 2 hereto (a “Requested Working Capital Distribution
Certificate”) relating to the Initial Budget Period. In the event the Requested Working Capital Distribution Certificate is
delivered on the Closing Date relating to the Initial Budget Period, the Escrow Agent shall deliver the Initial Requested Working Capital
Distribution Amount to Pie Squared in accordance with the terms hereof unless, no later than 10:30 a.m. on the Closing Date, Rev Investment
delivers a notice to the Escrow Agent, AHG, the Company and Pie Squared substantially in the form of Exhibit 3 hereto (a “Requested
Working Capital Distribution Objection Notice”) notifying them that it objects to the distribution of some or all of the Initial
Requested Working Capital Distribution Amount (the amount of the Initial Requested Working Capital Distribution Amount or any Subsequent
Requested Working Capital Distribution Amount (as defined below) to which Rev Acquisition objects by the delivery of a Requested Working
Capital Objection Notice relating to a particular budget period in accordance with the terms hereof is hereinafter referred to as the
“Objection Amount” relating to such period) because Rev Acquisition has determined, in its sole discretion, that the
use of the Objection Amount relating to such period may not be an Eligible Use. In the event that Rev Investment delivers a Requested
Working Capital Distribution Objection Notice to the Escrow Agent, AHG and Pie Squared on the Closing Date in accordance with the terms
hereof relating to such period, the Escrow Agent shall deliver on the Closing Date to Pie Squared the Initial Requested Working Capital
Distribution Amount minus the Objection Amount as set forth in such Requested Working Capital Distribution Objection Notice.

 

    	-2-

    	 

    

 

(b)
In the event AHG, the Company, and Pie Squared desire to request a distribution from the Escrow Agent to Pie Squared on the initial day
of the 30 day period commencing on the first day after the end of the Initial Budget Period, and/or the initial day (each an “Initial
Day”) of each consecutive 30 day period thereafter (all such 30 day periods occurring after the Initial Budget Period are hereinafter
collectively referred to as the “Subsequent Budget Periods” and each a “Subsequent Budget Period”)
for Pie Squared to use for Eligible Uses relating to such Subsequent Budget Period, AHG, the Company and Pie Squared may do so by delivering
to the Escrow Agent and Rev Acquisition on such Initial Day of such Subsequent Budget Period a Working Capital Distribution Certificate
relating to such Subsequent Budget Period. In the event such Working Capital Distribution Certificate is delivered on any such Initial
Day in accordance with the terms hereof, on the next business day (the “Funding Day”) occurring after such Initial
Day, the Escrow Agent shall deliver the requested working capital distribution amount (a “Subsequent Requested Working Capital
Distribution Amount”) relating to such Working Capital Distribution Certificate to Pie Squared in accordance with the terms
hereof unless, on such Initial Day, Rev Investment delivers a Requested Working Capital Distribution Objection Notice to the Escrow Agent,
AHG and Pie Squared relating to such Working Capital Distribution Certificate in accordance with the terms hereof. In the event that
Rev Investment delivers a Requested Working Capital Distribution Objection Notice to the Escrow Agent relating to such Working Capital
Distribution Certificate on such Initial Day, the Escrow Agent shall deliver to Pie Squared on the Funding Date of such Subsequent Budget
Period the Subsequent Requested Working Capital Distribution Amount relating to such Subsequent Budget Period minus the Objection Amount
as set forth in such Requested Working Capital Distribution Objection Notice.

 

(c)
On the 14th day after the Initial Budget Period and each Subsequent Budget Period, Pie Squared, the Company and AHG shall deliver a certificate
(a “Use of Working Capital Certificate”) to the Escrow Agent and Rev Investment substantially in the form of Exhibit 4 hereto
relating to such budget period certifying that the use of all amounts of the Escrow Fund distributed by the Escrow Agent to Pie Squared
relating to such budget period was an Eligible Use. Notwithstanding any provision hereof, if any of the Escrow Fund is used by or on
behalf of Pie Squared and Rev Acquisition determines in its sole discretion that any of such use may not be an Eligible Use, Rev Acquisition
shall deliver a notice to AHG and Pie Squared of the amount of the finds so used substantially in the form of Exhibit 5 hereto and, within
2 days of receipt of such notice, AHG and Pie Squared shall deliver to the Escrow Agent cash in such amount to be deposited back into
the Escrow Fund to be again held, invested, reinvested and distributed in accordance with the terms hereof. AHG and Holdings shall cause
Pie Squared to use any Escrow Funds distributed by the Escrow Agent to Pie Squared relating to the Initial Budget Period or any Subsequent
Budget Period solely for an Eligible Use, or return such distributed Escrow Funds to the Escrow Agent.

 

    	-3-

    	 

    

 

2.4.
Release of Funds to Rev Acquisition. In the event that an Event of Default (as defined in the Note) occurs, the Escrow Agent shall
distribute and release to Rev Investment the balance of the Escrow Fund, if any, as directed by Rev Investment.

 

3.
Termination of the Escrow Fund. Except as otherwise set forth herein, this Agreement shall terminate on the first to occur of
(a) the distribution and utilization of all funds in the Escrow Fund by Pie Squared for Eligible Uses in accordance with the terms hereof,
(b) the disbursement of all funds in the Escrow Fund to Rev Acquisition upon the occurrence of an Event of Default, (c) the execution
of a mutual consent to that effect by Rev Acquisition, Pie Squared, the Company, and AHG, and (d) the reporting requirements relating
to funds received in connection with the RRFP and the restriction that funds received in connection with the RRFP be used for an Eligible
Use are terminated and not replaced by similar requirements and restrictions.

 

4.
Covenant of the Escrow Agent. The Escrow Agent hereby agrees and covenants that it will perform all of its obligations under this
Agreement in accordance with its terms and it will not deliver custody or possession of any of the Escrow Fund to anyone except pursuant
to the express terms of this Agreement.

 

5.
Liability of the Escrow Agent. The Escrow Agent undertakes to perform only such duties as are expressly set forth herein and shall
have no liability or obligation with respect to the Escrow Fund except for the Escrow Agent’s willful misconduct or gross negligence.
The Escrow Agent may rely upon any instrument, not only as to its due execution, validity and effectiveness, but also as to the truth
and accuracy of any information contained therein, which the Escrow Agent shall in good faith believe to be genuine, to have been signed
or presented by the person or parties purporting to sign or present the same and to conform to the provisions of this Agreement. The
Escrow Agent may consult legal counsel selected by it in the event of any dispute or question of the construction of this Agreement or
the Purchase Agreement or seek the assistance of a court of competent jurisdiction, and shall incur no liability and shall be fully protected
in acting in accordance with the opinion or instruction of such counsel or such court.

 

6.
Indemnification of the Escrow Agent. AHG, Rev Acquisition, the Company and Pie Squared (sometimes collectively referred to as the “Indemnifying
Parties” and individually as an “Indemnifying Party”) shall jointly and severally indemnify, defend, and
hold harmless the Escrow Agent and each of its affiliates, officers, directors, partners, members, managers, employees, agents, successors,
and assigns (each, an “Indemnified Party”) from and against all losses, damages, liabilities, deficiencies, claims,
actions, judgments, settlements, interest, awards, penalties, fines, costs, or expenses of whatever kind, including reasonable attorneys’
fees and the cost of enforcing any right to indemnification hereunder and the cost of pursuing any insurance providers (each a “Loss”
and collectively “Losses”) arising out of or in connection any claim, suit, action, or proceeding (each a “Claim”)
relating to the Escrow Agent entering into or performing its obligations under this Agreement; provided, however, the Escrow
Agent shall not be indemnified or held harmless in any event for any Loss resulting from the Escrow Agent’s gross negligence or
willful misconduct. This Section 6 shall survive the termination of this Agreement. Any Indemnified Party claiming to be entitled to
indemnification hereunder shall promptly notify each of the Indemnifying Parties upon becoming aware of a Claim with respect to which
the Indemnifying Party is obligated to provide indemnification hereunder (“Indemnified Claim”). The Indemnifying Parties
shall promptly assume control of the defense and investigation of the Indemnified Claim, with counsel reasonably acceptable to the Indemnified
Party, and the Indemnified Party shall reasonably cooperate with the Indemnifying Parties in connection therewith, in each case at the
Indemnifying Parties’ cost and expense. The Indemnified Party may participate in the defense of such Indemnified Claim, with counsel
of its own choosing and at its own cost and expense. The Indemnifying Parties shall not settle any Indemnified Claim on any terms or
in any manner that adversely affects the rights of any Indemnified Party without such Indemnified Party’s prior written consent
(which consent shall not be unreasonably withheld, conditioned, or delayed). If the Indemnifying Parties fail or refuse to assume control
of the defense of such Indemnified Claim, the Indemnified Party shall have the right, but no obligation, to defend against such Indemnified
Claim, including settling such Indemnified Claim after giving notice to the Indemnifying Parties, in each case in such manner and on
such terms as the Indemnified Party may deem appropriate. Neither the Indemnified Party’s failure to perform any obligation hereunder
nor any act or omission of the Indemnified Party in the defense or settlement of any Indemnified Claim shall relieve the Indemnifying
Parties of its obligations hereunder, including with respect to any Losses, except to the extent that the Indemnifying Party can demonstrate
that it has been materially prejudiced as a result thereof.

 

    	-4-

    	 

    

 

7.
Escrow Agent Fees and Expenses. As consideration for acting as the Escrow Agent hereunder, the Escrow Agent shall be paid (a) $15,000.00
on the Closing Date, and (b) $5,000.00 on each Initial Day of a Subsequent Budget Period (such amounts are hereinafter referred to as
the “Escrow Agent Compensation”). The Escrow Agent’s legal fees (the “Escrow Agent Legal Fees”)
relating to the review and negotiation of this Agreement which do not exceed $1000.00 shall be paid in accordance with the terms hereof.
AHG shall pay the first $30,000 of the Escrow Agent Compensation and Escrow Agent Legal Fees, and Rev Acquisition will pay the Escrow
Agent Compensation in excess of such amounts in accordance with the terms hereof.

 

8.
Miscellaneous.

 

8.1.
Assignment; Successors in Interest. No assignment or transfer by any party of such party’s rights and obligations hereunder
shall be made except with the prior written consent of the other parties. This Agreement shall be binding upon and shall inure to the
benefit of the parties and their respective successors and permitted assigns, and any reference to a party shall also be a reference
to the successors and permitted assigns thereof.

 

8.2.
Captions. The titles and captions contained herein are inserted herein only as a matter of convenience and for reference and in
no way define, limit, extend or describe the scope of this Agreement or the intent of any provision hereof.

 

8.3.
Severability. Any provision hereof that is prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be
ineffective to the extent of such prohibition or unenforceability without invalidating the remaining provisions hereof, and any such
prohibition or unenforceability in any jurisdiction shall not invalidate or render unenforceable such provision in any other jurisdiction.
To the extent permitted by law, each party hereby waives any provision of law that renders any such provision prohibited or unenforceable
in any respect.

 

    	-5-

    	 

    

 

8.4.
Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, and it shall
not be necessary in making proof of this Agreement or the terms hereof to produce or account for more than one of such counterparts.

 

8.5.
Enforcement of Certain Rights. Nothing expressed or implied herein is intended, or shall be construed, to confer upon or give
any person or entity other than the parties, and their successors or permitted assigns, any right, remedy, obligation or liability under
or by reason of this Agreement, or result in such person or entity being deemed a third-party beneficiary hereof.

 

8.6.
Waiver; Amendment. Any agreement on the part of a party to any extension or waiver of any provision hereof shall be valid only
if set forth in an instrument in writing signed on behalf of such party. A waiver by a party of the performance of any covenant, agreement,
obligation, condition, representation or warranty shall not be construed as a waiver of any other covenant, agreement, obligation, condition,
representation or warranty. A waiver by any party of the performance of any act shall not constitute a waiver of the performance of any
other act or an identical act required to be performed at a later time. This Agreement may not be amended, modified or supplemented except
by written agreement of the parties.

 

8.7.
Integration. This Agreement and the Purchase Agreement supersede all negotiations, agreements and understandings among the parties
with respect to the subject matter hereof and constitute the entire agreement among the parties with respect thereto (except that the
Escrow Agent is not a party to the Purchase Agreement).

 

8.8.
Interpretation. Where the context requires, the use of a pronoun of one gender or the neuter is to be deemed to include a pronoun
of the appropriate gender. References herein to any law shall be deemed to refer to such law, as amended from time to time, and all rules
and regulations promulgated thereunder.

 

8.9.
Cumulative Remedies. The rights, remedies, powers and privileges provided in this Agreement are cumulative and not exclusive of
any rights, remedies, powers and privileges provided by law.

 

    	-6-

    	 

    

 

8.10.
Notices. All notices, communications and deliveries required or made hereunder must be made in writing signed by or on behalf
of the party making the same, shall specify the Section hereunder pursuant to which it is given or being made, and shall be delivered
personally or by telecopy transmission or by a national overnight courier service or by registered or certified mail (return receipt
requested) (with postage and other fees prepaid) as follows:

 

	 	To
    Rev Acquisition:	PizzaRev
    Acquisition LLC

c/o
Cleveland Avenue, LLC

222
N. Canal Street, Third Floor

Chicago,
IL 60602

Attn:
Legal

Email:
MSeale@clevelandave.com

 

	 	To
    the Pie Squared and AHG:	Amergent
    Hospitality Group Inc.

PO
Box 470695

Charlotte,
NC 28247

Attn:
Michael Pruitt

 

	 	To
the Escrow Agent:	D’ANDREA
    & ASSOCIATES, LTD.

53
W Jackson Blvd Suite 260

Chicago,
IL 60604

Attn:
Chris D’Andrea

Fax:
312-341-9997

 

or
to such other representative or at such other address of a party as such party may furnish to the other parties in writing. Any such
notice, communication or delivery shall be deemed given or made (a) on the date of delivery, if delivered in person, (b) upon transmission
by facsimile if receipt is confirmed by telephone, (c) on the first (1st) Business Day following delivery to a national overnight courier
service or (d) on the fifth (5th) Business Day following it being mailed by registered or certified mail.

 

8.11.
Controlling Law. This Agreement shall be governed by and construed and enforced in accordance with the internal laws of the State
of Delaware without reference to its choice of law rules.

 

8.12.
Further Assurances. Following the date hereof, each party shall deliver to the other parties such further information and documents
and shall execute and deliver to the other parties such further instruments and agreements as any other party shall reasonably request
to consummate or confirm the transactions provided for herein, to accomplish the purpose hereof or to assure to any other party the benefits
hereof.

 

8.13.
Collateral Agreements. The Escrow Agent shall not be deemed to have knowledge of or to be bound in any way by any contract or
agreement between the other parties hereto (other than with respect to this Agreement), including, but not limited to, the Purchase Agreement,
whether or not the Escrow Agent has actual knowledge of any such contract or agreement or of its terms and conditions.

 

*       *       *

 

    	-7-

    	 

    

 

IN
WITNESS WHEREOF, the Company, AHG, Pie Squared, Rev Acquisition and the Escrow Agent have caused this Agreement to be duly executed
as of the day and year first above written.

 

	 	PIZZA SQUARED HOLDINGS, LLC
	 	 	 
	 	By:
    	/s/
    Jim Kepple
	 	Name: 
    	 
	 	Its:
    	 
	 	 	 
	 	PIE SQUARED PIZZA, LLC
	 	 	 
	 	By:
    	/s/
    Jim Kepple
	 	Name:
    	 
	 	Its:
    	 
	 	 	 
	 	PIZZAREV ACQUISITION, LLC
	 	 	 
	 	By:	/s/
    Jim Kepple
	 	Name:
    	 
	 	Its:
    	 
	 	 	 
	 	D’ANDREA & ASSOCIATES, LTD.
	 	 	 
	 	By:
    	/s/
    Christopher D’Andrea
	 	Name:
    	 
	 	Title:
    	 
	 	 	 
	 	AMERGENT HOSPITALITY GROUP, INC.
	 	 	 
	 	By:	/s/
    Michael D. Pruitt
	 	Name:
    	 
	 	Title:
    	 

 

    	-8-

    	 

    

 

REQUESTED
WORKING CAPITAL DISTRIBUTION CERTIFICATE

 

August
30, 2021

 

In
accordance with Section 2.3(a) of that certain Escrow Agreement, dated as of August 30, 2021 (the “Escrow Agreement”), by
and among Amergent Hospitality Group, Inc. (“AHG”), Pie Squared Holdings, LLC (“Holdings”), Pie Squared Pizza,
LLC (“Pie Squared”), PizzaRev Acquisition, LLC (“Rev Acquisition”), and D’Andrea & Associates, Ltd.,
as the escrow agent thereunder (the “Escrow Agent”), AHG, Holdings and Pie Squared hereby certify to Rev Acquisition and
the Escrow Agent the following:

 

	 	1.	The
    Initial Requested Working Capital Distribution Amount (this and each other capitalized term used herein shall have the meaning assigned
    thereto in the Escrow Agreement) is $273,426.25;
	 	 	 
	 	2.	The
    Requested Working Capital Distribution Budget for the Initial Budget Period is attached hereto as Attachment 1; and
	 	 	 
	 	3.	The
    use of the Initial Requested Working Capital Distribution Amount in accordance with the Requested Working Capital Distribution Budget
    is an Eligible Use.

 

[Signature
Page Follows]

 

    	 

    	 

    

 

IN
WITNESS WHEREOF, the parties have executed this Certificate as of the date first written above.

 

	 	PIE SQUARED HOLDINGS, LLC
	 	 	 
	 	By:	/s/
    Jim Kepple
	 	Name:	 
	 	Its:	 
	 	 	 
	 	PIE SQUARED PIZZA, LLC
	 	 	                  
	 	By:	/s/
    Jim Kepple
	 	Name:	 
	 	Its:	 
	 	 	 
	 	AMERGENT HOSPITALITY GROUP, INC.
	 	 	 
	 	By:
    	/s/
    Michael D. Pruitt
	 	Name:	 
	 	Its:	 

 

    	 

    	 

    

  

EXHIBIT
2 TO ESCROW AGREEMENT

 

REQUESTED
WORKING CAPITAL DISTRIBUTION OBJECTION NOTICE 

 

In
accordance with Section 2.3(a) of that certain Escrow Agreement, dated as of August 30, 2021 (the “Escrow Agreement”), by
and among Amergent Hospitality Group, Inc. (“AHG”), Pie Squared Holdings, LLC (“Holdings”), Pie Squared Pizza,
LLC (“Pie Squared”), PizzaRev Acquisition, LLC (“Rev Acquisition”), and D’Andrea & Associates, Ltd.,
as the escrow agent thereunder (the “Escrow Agent”), Rev Acquisition hereby notifies the Escrow Agent, AHG, Holdings and
Pie Squared that it objects to the distribution of $_________ (the “Objection Amount”) of the Initial Requested Working Capital
Distribution Amount (this and each other capitalized term used herein shall have the meaning assigned thereto in the Escrow Agreement).

 

	PIZZAREV
    ACQUISITION, LLC	 
	 	 
	By:
    _____________	 
	Name:___________	 
	Its:______________	 
	Date:_____________	 

 

    	 

    	 

    

 

EXHIBIT
3 TO ESCROW AGREEMENT

 

TRUE
UP CERTIFICATE

 

In
accordance with Section 2.3(c) of that certain Escrow Agreement, dated as of August 30, 2021 (the “Escrow Agreement”), by
and among Amergent Hospitality Group, Inc. (“AHG”), Pie Squared Holdings, LLC (“Holdings”), Pie Squared Pizza,
LLC (“Pie Squared”), PizzaRev Acquisition, LLC (“Rev Acquisition”), and D’Andrea & Associates, Ltd.,
as the escrow agent thereunder (the “Escrow Agent”), AHG, Holdings and Pie Squared hereby certify to Rev Acquisition and
the Escrow Agent that the use of all amounts of the Escrow Fund (this and each other capitalized term used herein shall have the meaning
assigned thereto in the Escrow Agreement) distributed by the Escrow Agent to Pie Squared for the [Initial Budget Period] [Subsequent
Budget Period ending on __________] were used for an Eligible Use.

 

AMERGENT
HOSPITALITY GROUP, INC.

 

By:
_____________

Name:___________

Its:______________

Date:_____________

 

PIE
SQUARED HOLDINGS, LLC

 

By:_________________

Name:______________

Its:_________________

Date:________________

 

PIE
SQUARED PIZZA, LLC

By:________________

Name:______________

Its:__________________

Date:__________________

 

    	 

    	 

    

 

Exhibit
4 to Escrow Agreement

 

NOTICE
OF POTENTIAL NON-ELIGIBLE USE

 

In
accordance with Section 2.3(c) of that certain Escrow Agreement, dated as of August 30, 2021 (the “Escrow Agreement”), by
and among Amergent Hospitality Group, Inc. (“AHG”), Pie Squared Holdings, LLC (“Holdings”), Pie Squared Pizza,
LLC (“Pie Squared”), PizzaRev Acquisition, LLC (“Rev Acquisition”), and D’Andrea & Associates, Ltd.,
as the escrow agent thereunder (the “Escrow Agent”), Rev Acquisition hereby notifies the Escrow Agent, AHG, Holdings, and
Pie Squared that Rev Acquisition has determined that the use of Escrow Funds (this and each other capitalized term used herein shall
have the meaning assigned thereto in the Escrow Agreement) by Pie Squared in the amount of $__________ may not have been an Eligible
Use.

 

	PIZZAREV
    ACQUISITION, LLC	 
	 	 
	By:
    _____________	 
	Name:___________	 
	Its:______________	 
	Date:_____________Exhibit
10.7

 

Guaranty
of PizzaRev Franchising, LLC

 

IN
CONSIDERATION OF, and as an inducement for, PizzaRev Acquisition, LLC, a Delaware limited liability company (“Rev Acquisition”),
entering into that certain Unit Purchase Agreement, dated as of August 30, 2021 (the “Purchase Agreement”), with Pie
Squared Investment, LLC (“Squared Investment”), and Amergent Hospitality Group, Inc. (“AHG”), PizzaRev
Franchising, LLC, a Delaware limited liability company (the “Guarantor”), does hereby absolutely and unconditionally
guarantee the full payment of all monetary obligations (collectively, the “Guaranteed Obligations”) arising under
or in connection with the Note (this and each other capitalized terms used but not defined herein shall have the meaning assigned thereto
in the Purchase Agreement) in accordance with the terms of the Note.

 

1.       The
obligation of Guarantor hereunder may be enforced against Guarantor whether or not Rev Acquisition first proceeds against AHG under the
Note.

 

2.       Notwithstanding
anything to the contrary herein, nothing in this Guaranty (this “Guaranty”) of Guarantor shall grant to Rev Acquisition
any right of action against the Guarantor unless an Event of Default (as defined in the Note) has
occurred and is continuing.

 

3.       Guarantor
hereby consents that Rev Acquisition may, in its sole discretion, without affecting the liability of Guarantor, in whole or in part and
as often as Rev Acquisition may wish (a) renew, extend, modify, accelerate, reduce the amount of, change the time for payment of, or
otherwise change the terms of the Note, (b) waive, fail to enforce, settle, release (by operating of law or otherwise), compromise, collect
or liquidate in any manner any of the Guaranteed Obligations, and/or (c) take and hold security for the payment of the Guaranteed Obligations.

 

4.       Guarantor
shall have no right of subrogation and does hereby waive any right to participate in any security now or hereafter held by Rev Acquisition.
Guarantor further does hereby waive any right to contribution from AHG.

 

5.       Rev
Acquisition may, without notice, assign this Guaranty or the Note in whole or in part, and no assignment or transfer of this Guaranty
or the Note shall operate to extinguish or diminish the liability of Guarantor hereunder. This Guaranty is binding on the Guarantor,
and its successors and assigns.

 

6.
       This Guaranty is governed by the laws of the State of Delaware.

 

7.       This
Guaranty may not be changed, modified, discharged or terminated except by a written agreement signed by Guarantor and Rev Acquisition.

 

8.       Guarantor’s
notice address is: 7621 Little Avenue, Suite 414, Charlotte, NC 28228. .

 

[Remainder
of Page Intentionally Blank]

 

    	 

    	 

    

 

IN
WITNESS WHEREOF, Guarantor is signing this Guaranty as of August 30, 2021.

 

	 	GUARANTOR:
	 	 	 
	 	PIZZAREV FRANCHISING, LLC
	 	 	 
	 	By:	/s/
    Jim Kepple
	 	Name:	Jim
    Kepple
	 	Its:	Authorized
    Signatory

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00333-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00333-of-00352.parquet"}]]