Document:

EX-10.5

 Exhibit 10.5 

COMPANY SUPPORT AGREEMENT 

This COMPANY SUPPORT AGREEMENT (this “Agreement”), dated as of July 18, 2021, is entered into by and among
Investindustrial Acquisition Corp., a Cayman Islands exempted company (“IIAC”), Ermenegildo Zegna Holditalia S.p.A, a joint stock company incorporated under Italian law (the “Company”), and the
undersigned shareholders of the Company (such shareholders, the “Shareholders” and, together with IIAC and the Company, each a “Party” and collectively, the “Parties”).
Unless specified otherwise or context requires, capitalized terms used herein and not otherwise defined shall have the meaning ascribed to them in the Business Combination Agreement, dated as of July 18, 2021 (as amended, supplemented or
otherwise modified from time to time, the “Business Combination Agreement”), by and among the Company, IIAC and EZ Cayman, a Cayman Islands exempted company and a direct, wholly owned subsidiary of the Company
(“Merger Sub”). 
 RECITALS 

WHEREAS, as of the date hereof, the Company, IIAC and Merger Sub have entered into the Business Combination Agreement, which provides for the
merger of Merger Sub with and into IIAC (the “Merger”), with IIAC surviving the Merger as a wholly owned subsidiary of the Company; 

WHEREAS, as of the date of this Agreement, each Shareholder is the sole record holder and beneficial owner (as such term is defined in Rule 13d-3 under the Exchange Act, which meaning shall apply for all purposes of this Agreement whenever the term “beneficial” or “beneficially” is used) of, and has full voting power over the number
of Company Ordinary Shares set forth opposite such Shareholder’s name on Schedule 1 attached hereto (such shares, together with any additional Company Ordinary Shares (or any securities convertible into or exercisable or exchangeable for
Company Ordinary Shares) of which such Shareholder acquires record or beneficial ownership after the date hereof, including by Transfer (as defined below), purchase, as a result of a stock dividend, stock split, recapitalization, combination,
reclassification, exchange or change of such shares, or upon exercise or conversion of any securities, the “Subject Shares”); and 

WHEREAS, as a material inducement to the Company and IIAC to enter into the Business Combination Agreement and consummate the Transactions,
the Shareholders and the Company desire to agree to certain matters as set forth herein. 
 NOW, THEREFORE, in consideration of the
foregoing premises and the representations, warranties, covenants and agreements set forth in this Agreement, the Parties agree as follows: 

ARTICLE 1 
 VOTING
AND TRANSFER OF SHARES 
 Section 1.01. Voting. 

(a) Each Shareholder, solely in his, her or its capacity as a shareholder of the Company and on behalf of himself, herself and itself and not
the other Shareholder, irrevocably and unconditionally agrees, during the period beginning on the date of this Agreement and ending on the Expiration Date (the “Applicable Period”), at each meeting of the shareholders of the
Company duly called and convened in accordance with the Governing Documents of the Company (a “Meeting”) and at each adjournment or postponement thereof, to 

 
cause to be present in person or represented by proxy and to vote or cause to be voted such Shareholder’s Subject Shares that are entitled to vote, in each case as follows: 

(i) in favor of any proposal for shareholders of the Company to approve and adopt the Business Combination Agreement and the Transactions and
any other matters necessary for consummation of the Conversion and the other Transactions, including, without limitation, in any circumstances upon which a consent or other approval is required under the Company’s Governing Documents, sought
with respect to the adoption and approval of the Conversion, the transfer of the Company Ordinary Shares and the Pre-Closing Restructuring Transactions or otherwise sought with respect to the Business
Combination Agreement or the Transactions; 
 (ii) in favor of any proposal to adjourn a Meeting at which there is a proposal for
shareholders of the Company to adopt the Business Combination Agreement to a later date if there are not sufficient votes to adopt the Business Combination Agreement or if there are not sufficient Company Ordinary Shares present in person or
represented by proxy at such Meeting to constitute a quorum; 
 (iii) against any proposal providing for a Company Acquisition Proposal or
the adoption of an agreement to enter into a Company Acquisition Proposal; and 
 (iv) against any action, transaction or agreement
that would, or would reasonably be expected to (A) result in a breach of any representation or warranty or covenant of the Company under the Business Combination Agreement or such Shareholder under this Agreement (or any other Ancillary
Document) or any of the conditions to the consummation of the Transactions not being fulfilled in accordance with the Business Combination Agreement, this Agreement and the other Ancillary Documents, (B) prevent, delay or impair
consummation of the Transactions, or (C) facilitate any proposal relating to a Company Acquisition Proposal or any agreement to enter into a Company Acquisition Proposal. 

(b) Any vote required to be cast pursuant to this Section 1.01 shall be cast in accordance with the applicable
procedures relating thereto so as to ensure that it is duly counted for purposes of determining that a quorum is present (if applicable) and for purposes of recording the results of that vote. For the avoidance of doubt, nothing contained herein
requires a Shareholder (or entitles any proxy of a Shareholder) to convert, exercise or exchange any options, warrants or convertible securities in order to obtain any Company Ordinary Shares. 

(c) Subject to the last sentence of this Section 1.01(c), and solely in the event of a failure by a Shareholder to
act in accordance with such Shareholder’s obligations as to voting all of its Company Ordinary Shares pursuant to Section 1.01(a) prior to the termination of this provision pursuant to
Section 6.01, each Shareholder, with respect to the Subject Shares, hereby irrevocably appoints the chief executive officer of IIAC or any other officer of IIAC so designated by IIAC as such Shareholder’s agent, attorney-in-fact and proxy (with full power of substitution and resubstitution), for and in the name, place and stead of such Shareholder, (i) to attend on behalf of such
Shareholder any Meeting (including at any adjournment or postponement thereof) with respect to the matters described in Section 1.01(a), (ii) to include the Subject Shares in any computation for purposes of establishing a
quorum at any such Meeting and (iii) to vote (or cause to be voted) with respect to, as applicable, the Subject Shares on the matters specified in, and in accordance and consistent with Section 1.01(a) in connection
with any Meeting. Notwithstanding anything contained herein to the contrary, this irrevocable proxy shall automatically terminate at the Expiration Date. 

(d) The proxy granted by each Shareholder pursuant to Section 1.01(c), if it becomes effective, is coupled with an
interest sufficient in law to support an irrevocable proxy and is granted in consideration for the Company and IIAC entering into the Business Combination Agreement and agreeing to consummate the Transactions in accordance with and subject to the
conditions set forth herein. The proxy granted by each Shareholder pursuant to Section 1.01(c), if it becomes effective, is also a durable proxy and shall survive the bankruptcy, dissolution, death, incapacity or other
inability to act by each Shareholder to the maximum extent 

  
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permitted by applicable Law and shall revoke any and all prior proxies granted by the Shareholder with respect to the Subject Shares. The proxyholder may not exercise the proxy granted pursuant
to Section 1.01(c), if it becomes effective, on any matter except for those matters described in Section 1.01(a). 

(e) Each Shareholder agrees not to enter into any commitment, agreement, understanding or similar arrangement with any Person to vote or give
voting instructions or express consent or dissent in writing with respect to any of such Shareholder’s Subject Shares in any manner inconsistent with the terms of this Section 1.01. 

Section 1.02. No Transfers. During the Applicable Period, each Shareholder shall not, directly or indirectly: (a) sell,
convey, assign, transfer (including by succession or otherwise by operation of Law), exchange, pledge, hypothecate or otherwise encumber or dispose of any Subject Shares (or any right, title or interest therein) or any rights to acquire any
securities or equity interests of the Company; (b) deposit any Subject Shares or any rights to acquire any securities or equity interests of the Company into a voting trust or enter into a voting agreement or any other
arrangement with respect to any Subject Shares or any rights to acquire any securities or equity interests of the Company or grant or purport to grant any proxy or power of attorney with respect thereto; (c) enter into any contract,
option, call or other arrangement or undertaking, whether or not in writing, with respect to the sale, conveyance, assignment, transfer (including by succession or otherwise by operation of Law), exchange, pledge, hypothecation or other encumbrance
or disposition, or limitation on the voting rights, of any Subject Shares (or any right, title or interest therein) or any rights to acquire any securities or equity interests of the Company; (d) otherwise grant, permit or suffer the creation
of an Encumbrance on any Subject Shares (other than applicable restrictions on transfer under U.S. state or federal securities or “blue sky” Laws) or (e) commit or agree to take any of the foregoing actions or discuss, negotiate or
make an offer or enter into a commitment, agreement, understanding or similar arrangement to take any of the foregoing actions (any action described in clauses (a), (b), (c), (d) and (e), a “Transfer”); provided,
however, that the foregoing shall not prohibit Transfers (i) between a Shareholder and any Affiliate of such Shareholder, (ii) to a trust for the benefit of a Shareholder or to any member of a Shareholder’s immediate family or
a trust for the benefit of such immediate family member or (iii) by will, other testamentary document or under the laws of intestacy upon the death of a Shareholder, in each case, so long as, prior to and as a condition to the effectiveness of
any such Transfer, such Affiliate or transferee executes and delivers to the Company a joinder to this Agreement in the form attached hereto as Annex A. Any Transfer or action in violation of this Section 1.02
shall be void ab initio. If any involuntary Transfer of any Subject Shares occurs, the transferee (and all transferees and subsequent transferees of such transferee) shall take and hold such Subject Shares subject to all of the restrictions,
liabilities and rights under this Agreement, which shall continue in full force and effect during the Applicable Period. For the avoidance of doubt, nothing in this Section 1.02 shall prevent entry into or performance of
any obligations pursuant to any Ancillary Documents to which a Shareholder is or will be a party. 
 Section 1.03. Waiver of
Appraisal Rights. Each Shareholder hereby agrees to irrevocably and unconditionally waive and not to assert any withdrawal rights or appraisal rights, including, without limitation, pursuant to Article 2437 and following of the Italian Civil
Code, which they might become entitled to exercise under applicable Law or the organizational documents of the Company as a result of any resolutions adopted in accordance with the terms of Section 1.01 of this Agreement or
otherwise in connection with the Business Combination Agreement and the Transactions. 
 Section 1.04. Agreement to Sell. Upon
the terms and subject to the conditions of this Agreement and the Business Combination Agreement, promptly following the Capital Distribution provided for in the Business Combination Agreement, Monterubello società semplice
(“Monterubello”) shall sell, assign, convey, transfer and deliver to the Company, and the Company shall purchase, acquire and accept from Monterubello, 54,600,000 Company Ordinary Shares, free and clear of all Encumbrances (other
than Permitted Encumbrances), in exchange for the Cash Consideration accompanied by evidence of the transfer thereof in form and substance reasonably satisfactory to the Company and IIAC. 

  
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 ARTICLE 2 

REPRESENTATIONS AND WARRANTIES OF THE SHAREHOLDERS 

Each Shareholder hereby represents and warrants, solely with respect to himself, herself or itself and not any of the other Shareholders, to
the Company and IIAC as follows: 
 Section 2.01. Organization; Authorization. In the event the Shareholder is an individual,
such Shareholder has full power, right and legal capacity to execute and deliver this Agreement and to perform his or her obligations hereunder and to consummate the transactions contemplated by this Agreement. In the event the Shareholder is a
legal entity, (a) such Shareholder is duly organized and validly existing under the Laws of its jurisdiction of its organization, (b) such Shareholder has all requisite corporate or similar power and authority and has taken all corporate
or similar action necessary in order to execute and deliver this Agreement, to perform its obligations under this Agreement and consummate the transactions contemplated by this Agreement, and (c) the execution and delivery of this Agreement has
been duly authorized by all necessary corporate (or other similar) action on the part of such Shareholder. This Agreement has been duly executed and delivered by each Shareholder and this Agreement constitutes a valid and binding agreement of each
Shareholder (assuming that this Agreement is duly authorized, executed and delivered by the other Parties hereto) enforceable against such Shareholder in accordance with its terms (except as enforceability may be limited by applicable bankruptcy,
insolvency, reorganization, moratorium or other Laws affecting generally the enforcement of creditors’ rights and subject to general principles of equity (collectively, the “Bankruptcy and Equity Exception”)). 

Section 2.02. Governmental Filings; No Violations; Certain Contracts. 

(a) No filings, notices, reports, consents, registrations, approvals, permits or authorizations are required to be made by such Shareholder
with, nor are any required to be made or obtained by such Shareholder with or from any Governmental Entity, in connection with the execution, delivery and performance of his, her or its covenants, agreements or obligations under this Agreement by
such Shareholder and the consummation of the Transactions or the transactions contemplated by this Agreement, except as would not, individually or in the aggregate, reasonably be expected to prevent, delay or impair the ability of such Shareholder
to perform its obligations under this Agreement or to consummate the Transactions or the transactions contemplated by this Agreement. 

(b) The execution, delivery and performance of this Agreement by such Shareholder does not, and the consummation of the Transactions or the
transactions contemplated by this Agreement by such Shareholder shall not, constitute or result in (i) a breach or violation of, or a default under, the Governing Documents of such Shareholder, as applicable, (ii) with or without notice,
lapse of time or both, a breach or violation of, a termination (or right of termination) of or default under, the creation or acceleration of any obligations under or the creation of any Encumbrance on any of the Subject Shares or any other assets
of such Shareholder pursuant to, any Contract binding upon such Shareholder or under any Law to which such Shareholder is subject or (iii) any change in the rights or obligations of any party under any Contract binding upon such Shareholder,
except, in each case of clauses (ii) and (iii), as would not, individually or in the aggregate, reasonably be expected to prevent, delay or impair the ability of such Shareholder to perform its obligations under this Agreement or consummate the
Transactions or the transactions contemplated by this Agreement. 
 Section 2.03. Litigation. As of the date of this Agreement,
there is no Proceeding pending against such Shareholder or, to the knowledge of such Shareholder, threatened in writing against or involving such Shareholder that challenges the beneficial or record ownership of such Shareholder’s Subject
Shares or the validity of this Agreement, or challenges or seeks to prevent, enjoin or materially delay the performance by such Shareholder of its obligations under this Agreement. 

Section 2.04. Ownership of Company Stock; Voting Power. Schedule 1 hereto correctly sets forth the number of each Shareholder’s
Subject Shares as of the date of this Agreement, and, other than such Subject 

  
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Shares, as of the date of this Agreement, there are no Equity Securities of the Company held of record or beneficially owned by such Shareholder or in respect of which such Shareholder has voting
power. Such Shareholder is the holder of record and beneficial owner of, and has good and valid title to, all of its Subject Shares and has, and shall have throughout the Applicable Period, full voting power and power of disposition with respect to
all such Subject Shares free and clear of any liens, claims, pledges, proxies, voting trusts or agreements, options or any other encumbrances or restrictions on title, transfer or exercise of any rights of a shareholder in respect of such Subject
Shares (collectively, “Encumbrances”), except for any such Encumbrance that (a) may be imposed pursuant to (i) this Agreement, (ii) any applicable restrictions on transfer under U.S. state or federal securities
or “blue sky” Laws, or (iii) the Company’s Governing Documents or the terms of any customary custody or similar agreement applicable to Subject Shares held in brokerage accounts as of the date hereof (collectively, the
“Permitted Encumbrances”) or (b) would not, individually or in the aggregate, reasonably be expected to prevent, delay or impair the ability of such Shareholder to perform its obligations under this
Agreement or to consummate the transactions contemplated by this Agreement). No Person has any contractual or other right or obligation to purchase or otherwise acquire any of such Shareholders’ Subject Shares other than pursuant to the
Business Combination Agreement. 
 Section 2.05. Reliance. Each Shareholder understands and acknowledges that each of the
Company and IIAC is entering into the Business Combination Agreement in reliance upon such Shareholder’s execution, delivery and performance of this Agreement and upon the representations and warranties and covenants of such Shareholder
contained in this Agreement and but for the Shareholder’s execution, delivery and performance of this Agreement and the representations and warranties and covenants of such Shareholder contained in this Agreement, the Company and IIAC would not
have entered into or agreed to consummate the Transactions or the transactions contemplated by the Ancillary Documents. 

Section 2.06. Finder’s Fees. No agent, broker, investment banker, finder or other intermediary is or shall be entitled to any
fee or commission or reimbursement of expenses from IIAC or the Company or any of their respective Affiliates in respect of this Agreement based upon any arrangement or agreement made by or on behalf of such Shareholder. 

Section 2.07. Registration Statement / Proxy Statement. None of the information supplied or to be supplied by such Shareholder for
inclusion or incorporation by reference in the Registration Statement / Proxy Statement and any amendment or supplement thereto will, at the date of mailing to the shareholders of IIAC and at the time of the IIAC Shareholders Meeting contain any
untrue statement of a material fact or omit to state any material fact required to be stated therein or necessary in order to make the statements therein, in light of the circumstances under which they were made, not misleading. 

Section 2.08. Other Agreements. Such Shareholder has not taken or permitted any action that would or would reasonably be expected
to (a) constitute or result in a breach hereof, (b) make any representation or warranty of such Shareholder set forth herein untrue or inaccurate or (c) otherwise restrict, limit or interfere with the performance of this Agreement,
the Business Combination Agreement, the Transactions or the transactions contemplated by this Agreement. 
 Section 2.09. Shareholder Has
Adequate Information. Such Shareholder acknowledges that he, she or it is a sophisticated investor with respect to its Subject Shares and has adequate information concerning the business and financial condition of IIAC and the Company to make an
informed decision regarding the transactions contemplated by this Agreement and has, independently and without reliance upon IIAC, the Company or any Affiliate of IIAC and the Company, and based on such information as such Shareholder has deemed
appropriate, his, her or its own analysis and decision to enter into this Agreement. Each Shareholder acknowledges that he, she or it has had the opportunity to seek independent legal advice prior to executing this Agreement. 

Section 2.10. No Other Representations or Warranties. Except for the representations and warranties made by each Shareholder in
this Article 2, no Shareholder or any other Person makes any express or implied 

  
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representation or warranty to the Company or IIAC in connection with this Agreement or the transactions contemplated by this Agreement, and each Shareholder expressly disclaims any such other
representations or warranties. 
 ARTICLE 3 

CERTAIN COVENANTS 

Section 3.01. Public Announcements; Filings; Disclosures. 

(a) Each Shareholder (and such Shareholder’s controlled Affiliates) shall not issue any press release or make any other public
announcement or public statement (a “Public Communication”) with respect to this Agreement, the Business Combination Agreement, the Transactions or the transactions contemplated by this Agreement, except (i) as required
by applicable Law or court process or (ii) with the prior written consent of IIAC and the Company; provided, that the foregoing shall not apply to any disclosure required to be made by a Shareholder to a Governmental Entity so
long as such disclosure is consistent with the terms of this Agreement and the Business Combination Agreement and the disclosures made by the Company and IIAC pursuant to the terms of the Business Combination Agreement. Notwithstanding
anything to the contrary in this Section 3.01(a), if the Shareholder is a director or officer of the Company, in his or her capacity as a director or officer of the Company, he or she may make public statements in such
capacity to the extent permitted under the Business Combination Agreement. 
 (b) Each Shareholder hereby consents to and authorizes
the Company, Merger Sub and IIAC to publish and disclose in any Public Communication or in any disclosure required by the SEC and in the Registration Statement / Proxy Statement such Shareholder’s identity and ownership of Subject Shares and
his, her or its obligations under this Agreement (the “Shareholder Information”), consents to and authorizes the filing of this Agreement to the extent required by applicable Law to be filed with the SEC or any regulatory
authority relating to the Transactions, and agrees to cooperate with IIAC and the Company in connection with such filings, including providing Shareholder Information reasonably requested by the Company or IIAC. The Company and IIAC, as applicable,
shall provide the Shareholders with a reasonable opportunity to review and comment on any Shareholder Information included in such disclosure in advance of its filing. As promptly as practicable, each Shareholder shall notify the Company or IIAC, as
applicable, of any required corrections with respect to any Shareholder Information supplied by such Shareholder, if and to the extent such Shareholder becomes aware that any such Shareholder Information shall have become false or misleading in any
material respect. 
 (c) Each Shareholder shall be bound by and subject to Section 6.5 (Confidentiality and
Access to Information) of the Business Combination Agreement to the same extent as such provision applies to the Company, as if the Shareholder is directly party thereto. 

Section 3.02. Non-Solicitation. Each Shareholder acknowledges that such Shareholder has
read Section 6.7 (Exclusive Dealing) of the Business Combination Agreement. In addition, each Shareholder, solely in his, her or its capacity as a shareholder of the Company, agrees not to, directly or indirectly, take any action that
would violate Section 6.7 of the Business Combination Agreement if such Shareholder were deemed a “Representative” of the Company for purposes of Section 6.7 of the Business Combination Agreement; provided, that the
foregoing shall not serve to limit or restrict any actions taken by such Shareholder in any capacity other than as a shareholder of the Company, to the extent such actions are in compliance with or required under Section 6.7 of the Business
Combination Agreement. 
 Section 3.03. No Agreement as Director or Officer. Each Shareholder is entering into this Agreement
solely in such Shareholder’s capacity as record or beneficial owner of Subject Shares and, subject to compliance 

  
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with terms and conditions of the Business Combination Agreement, nothing herein is intended to or shall limit or affect any actions taken by such Shareholder or any employee, officer, director
(or person performing similar functions), partner or other Affiliate (including, for this purpose, any appointee or representative of such Shareholder to the Company Board) of such Shareholder, solely in his or her capacity as a director or officer
of the Company (or a Subsidiary of the Company) or other fiduciary capacity for the Company’s shareholders. 
 Section 3.04.
Acquisition of Additional Shares. In the event (i) of a stock split, stock dividend or distribution, or any change in the Company Ordinary Shares by reason of any split-up, reverse stock split,
recapitalization, combination, reclassification, exchange of Company Ordinary Shares, including by the exercise of Equity Securities of the Company or otherwise, (ii) a Shareholder purchases or otherwise acquires beneficial ownership of any
Company Ordinary Shares or (iii) the Shareholder acquires the right to vote or share in the voting of any Company Ordinary Shares, in each case during the Applicable Period, the term “Subject Shares” shall be deemed to refer to and
include such Company Ordinary Shares as well as all such stock dividends and distributions and any securities into which or for which any or all of such Company Ordinary Shares may be changed or exchanged or which are received in such transaction.

 Section 3.05. No Litigation. 

(a) Each Shareholder hereby agrees not to commence, maintain or participate in, or facilitate, assist or encourage, and agrees to take all
actions necessary to opt out of any class in any class action with respect to, any claim, derivative or otherwise, suit, proceeding or cause of action, in law or in equity, in any court or before any Governmental Entity (a) challenging the
validity of, or seeking to enjoin or delay the operation of, any provision of this Agreement, the Business Combination Agreement or any of the Ancillary Documents (including any claim seeking to enjoin or delay the consummation of the Transactions),
(b) alleging a breach of any fiduciary duty of any Person in connection with the Business Combination Agreement or the Transactions, or (c) otherwise relating to the Business Combination Agreement, this Agreement, any other Ancillary Document,
the Transactions or the transactions contemplated by this Agreement. Notwithstanding the foregoing, nothing herein shall be deemed to prohibit a Shareholder from enforcing such Shareholder’s rights under this Agreement or such
Shareholder’s right to receive the Cash Consideration pursuant to the Business Combination Agreement in accordance with the terms thereof. 

(b) Each Shareholder shall be bound by and subject to Section 9.18 (Trust Account Waiver) of the Business Combination Agreement to the
same extent as such provision applies to the Company, as if the Shareholder is directly party thereto. 
 Section 3.06. No Adverse
Action. Each Shareholder hereby agrees that, except as expressly provided or permitted by this Agreement, such Shareholder shall not, and shall cause its Affiliates not to, without the prior written consent of the Company (in the Company’s
sole discretion), directly or indirectly, take or permit any action that would in any way (a) restrict, limit or interfere with the performance of such Shareholder’s obligations hereunder, (b) make any representation or warranty of
such Shareholder herein untrue or inaccurate or (c) otherwise restrict, limit or interfere with the performance of this Agreement, the Business Combination Agreement, the Transactions or the transactions contemplated by this Agreement. Each
Shareholder shall notify the Company in writing promptly of (i) any fact, event or circumstance that would cause, or would reasonably be expected to cause or constitute, an untruth or inaccuracy in the representations and warranties of such
Shareholder herein and (ii) the receipt by such Shareholder of any notice or other communication from any Person alleging that the consent of such Person is or may be required in connection with the Transactions; provided,
however, that the delivery of any notice pursuant to this sentence shall not limit or otherwise affect the remedies available to any Party. 

Section 3.07. Ancillary Agreements. Each Shareholder hereby agrees that it shall deliver, substantially simultaneously with the
Closing, to the Company and IIAC a duly executed counterpart to any Ancillary Document to which he, she or it is or will be a party. 

  
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 Section 3.08. Release. Subject to and upon the consummation of the Merger and
the receipt of the consideration that is due to it in accordance with the Business Combination Agreement, and for other good and valuable consideration, the sufficiency of which such Shareholder hereby agrees and acknowledges, from and after (and
effective upon) the Closing, such Shareholder, and, if the Shareholder is a legal entity, together with the Shareholder’s officers, directors, stockholders, Subsidiaries and Affiliates, and each of their respective heirs, Representatives,
successors and assigns (such persons, the “Releasors”) hereby fully and unconditionally (subject to the receipt of the amounts specified in this paragraph) releases and forever discharges, to the maximum extent permitted by
applicable Law, each of IIAC, the Company, Merger Sub, and each of their respective Subsidiaries and Affiliates, and each of their respective current, former or future Representatives, predecessors, successors and assigns (collectively, the
“Released Parties”), from and against any and all liabilities, actions, causes of action, claims, demands, damages, judgments, debts, dues and suits of every kind, nature and description whatsoever, whether known or unknown,
asserted or unasserted, suspected or unsuspected, absolute or contingent, unmatured or inchoate, both at law and in equity, which such Shareholder or any of the Releasors ever had, now has or may hereafter have against any of the Released Parties,
on or by reason of any matter, cause or thing whatsoever that arose prior to the Closing. Notwithstanding the foregoing or anything to the contrary contained herein, nothing in this Agreement will waive or preclude such Shareholder from exercising
Shareholder’s rights, if any, (a) to receive and be paid the portion of the consideration (including the Cash Consideration) payable under, and subject to the terms and conditions set forth in, the Business Combination Agreement in respect
of each Subject Share held by such Shareholder immediately prior to the Closing, (b) if such Shareholder is or was prior to the Closing, an officer or director of the Company, to indemnification, advancement of expenses or exculpation in
accordance with the terms and conditions and other limitations set forth in Section 6.16 of the Business Combination Agreement, (c) to indemnification to which such Shareholder may be entitled pursuant to an indemnification agreement with
the Company or the Governing Documents of the Company, (d) any employment compensation or benefits matter owed to Releasor in his or her capacity as a director, manager, officer or employee of the Company, its Affiliates or its Subsidiaries,
and (e) any liabilities of a Released Party in connection with any future transactions between the parties that are not related to the Business Combination Agreement, the Transactions, the Ancillary Documents, or the transactions contemplated
thereby. Such Shareholder understands and acknowledges on behalf of itself and the other Releasors that it is releasing potentially unknown claims, and that it may have limited knowledge with respect to some of the claims being released. Each
Shareholder acknowledges that the Releasors may hereafter discover facts different from or in addition to the facts the Releasors now know or believe to be true with respect to the subject matter of this Agreement; however, the Releasors intend that
the general releases herein given shall be and remain in full force and effect, notwithstanding the discovery or existence of any such different or additional facts. Without limiting the foregoing, by signing this Agreement, such Shareholder, on
behalf of itself and the other Releasors, expressly waives and releases any provision of Law that purports to limit the scope of a general release. 

Section 3.09. Further Assurances. Each Shareholder shall execute and deliver, or cause to be executed and delivered, such further
certificates, instruments and other documents and to take such further actions as may be necessary, desirable or appropriate for the purpose of effectively carrying out the Transactions and the transactions contemplated by this Agreement. 

ARTICLE 4 

REPRESENTATIONS AND WARRANTIES OF THE COMPANY 

The Company represents and warrants to each Shareholder and IIAC as follows: 

Section 4.01. Organization. The Company is a legal entity duly organized, validly existing and in good standing under the Laws of
Italy. 
 Section 4.02. Authorization. The Company has all requisite corporate power and authority to execute and deliver this
Agreement, to perform its obligations under this Agreement and to consummate the transactions 

  
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contemplated by this Agreement. The execution and delivery of this Agreement and the consummation of the transactions contemplated hereby have been duly and validly authorized and approved by the
Company Board and upon receipt of the Company Required Shareholder Approval, no other corporate or equivalent action or proceeds on the part of the Company is necessary to authorize this Agreement or the performance of the Company’s obligations
hereunder. This Agreement has been duly executed and delivered by the Company and constitutes a valid and binding agreement of the Company enforceable against the Company in accordance with its terms, subject to the Bankruptcy and Equity Exception.

 Section 4.03. No Other Representations or Warranties. Except for the representations and warranties made by the Company in
this Article 4, neither the Company nor any other Person makes any express or implied representation or warranty to the Shareholders or IIAC in connection with this Agreement or the transactions contemplated by this
Agreement, and the Company expressly disclaims any such other representations or warranties. 
 ARTICLE 5 

REPRESENTATIONS AND WARRANTIES OF IIAC 

IIAC represents and warrants to each Shareholder and the Company as follows: 

Section 5.01. Organization. IIAC is an exempted company duly incorporated, validly existing and in good standing (or the
equivalent thereof, if applicable, in each case, with respect to the jurisdictions that recognize the concept of good standing or any equivalent thereof) under the Laws of its jurisdiction of incorporation. 

Section 5.02. Authorization. IIAC has all requisite exempted company power and authority to execute and deliver this Agreement, to
perform its obligations under this Agreement and to consummate the transactions contemplated by this Agreement. The execution and delivery of this Agreement and the consummation of the transactions contemplated hereby have been duly and validly
authorized and approved by the IIAC Board and upon receipt of the Required IIAC Shareholder Approval, no other corporate or equivalent action or proceeds on the part of IIAC is necessary to authorize this Agreement or the performance of IIAC’s
obligations hereunder. This Agreement has been duly executed and delivered by IIAC and constitutes a valid and binding agreement of IIAC enforceable against IIAC in accordance with its terms, subject to the Bankruptcy and Equity Exception. 

Section 5.03. No Other Representations or Warranties. Except for the representations and warranties made by IIAC in this
Article 5, neither IIAC nor any other Person makes any express or implied representation or warranty to the Shareholders or the Company in connection with this Agreement or the transactions contemplated by this Agreement, and
IIAC expressly disclaims any such other representations or warranties. 
 ARTICLE 6 

GENERAL PROVISIONS 

Section 6.01. Termination. This Agreement, including the voting agreements contemplated by this Agreement, shall automatically
terminate, without any notice or other action by any Party, and be void ab initio upon the earliest of: (a) the Closing; (b) the termination of the Business Combination Agreement in accordance with its terms; and (c) the
effective date of a written agreement duly executed and delivered by IIAC, the Company and each Shareholder terminating this Agreement (the date and time at which the earlier of clause (a), (b) and (c) occurs being, the “Expiration
Date”); provided, however, that Section 3.01, Section 3.05, Section 3.08 and Article 6 of this Agreement shall survive
termination of this Agreement. Nothing set forth in this Section 6.01 or elsewhere in this Agreement shall affect any Liability on the part of any Party for fraud or any willful and material breach of this Agreement. 

  
 9 

 Section 6.02. Non-Survival of Representations and Warranties. None of the
representations or warranties contained in this Agreement or other writing delivered pursuant hereto shall survive the Closing. 

Section 6.03. Notices. All notices, requests, claims, demands and other communications hereunder shall be in writing and shall be
given (and shall be deemed to have been duly given ) by delivery in person, by e-mail (having obtained electronic delivery confirmation thereof (i.e., an electronic record of the sender that the e-mail was sent to the intended recipient thereof without an “error” or similar message that such e-mail was not received by such intended recipient)), or by
registered or certified mail (postage prepaid, return receipt requested) (upon receipt thereof) to the other Parties as follows: 
 If to
IIAC: 
 Investindustrial Acquisition Corp. 

Suite 1, 3rd Floor, 11-12 St James’s Square 

London SW1Y 4LB 
 United Kingdom

 Attention:    Andrea Cicero 

                    Alex Browning 

E-mail:        acicero@investindustrial.com 

                    
abrowning@investindustrial.com 
 with a copy to (which shall not constitute notice): 

Kirkland & Ellis LLP 

601 Lexington Avenue 
 New York,
NY 10022 
 Attention:     Jonathan L. Davis, P.C.; David Perechocky 

E-mail: jonathan.davis@kirkland.com; david.perechocky@kirkland.com 

and to: 
 Kirkland &
Ellis International LLP 
 30 St. Mary Axe 

London, EC3A 8AF 
 United
Kingdom 
 Attention:     Cedric Van den Borren 

E-mail: cedric.vandenborren@kirkland.com 

and to: 
 Chiomenti 

Via Verdi, 2 
 20121 - Milano

 Italia 
 Attention: Carlo
Croff 
 Luigi Vaccaro 
 E-mail:     carlo.croff@chiomenti.net 

                 luigi.vaccaro@chiomenti.net 

if to the Company: 
 Ermenegildo
Zegna Holditalia S.p.A. 
 Via Roma 99/100 

Valdilana (Biella) 
 Italy 

Attention: Gianluca Ambrogio Tagliabue 

Email: Gianluca.Tagliabue@zegna.com 

  
 10 

 with copy to (which shall not constitute notice): 

Sullivan & Cromwell LLP 

125 Broad Street 
 New York, NY
10004 
 Attention: Scott D. Miller 

Email: millersc@sullcrom.com 

If to a Shareholder, to such Shareholder’s address set forth on Schedule 2 hereto. 

Section 6.04. No Ownership Interest. Nothing contained in this Agreement shall be deemed to vest in IIAC or the Company any direct
or indirect ownership or incidence of ownership of or with respect to the Subject Shares of any Shareholder. All rights, ownership and economic benefits of and relating to the Subject Shares of the Shareholders shall remain vested in and belong to
the Shareholders, and neither IIAC nor the Company shall have any authority to direct the Shareholders in the voting or disposition of any of a Shareholder’s Subject Shares, in each case, except as otherwise provided herein. 

Section 6.05. Miscellaneous. Sections 9.2 (Entire Agreement; Assignment), 9.3 (Amendment), 9.5 (Governing Law), 9.7 (Construction;
Interpretation), 9.9 (Parties in Interest), 9.10 (Severability), 9.11 (Counterparts; Electronic Signatures), 9.13 (No Recourse), 9.14 (Extension; Waiver), 9.15 (Waiver of Jury Trial), 9.16 (Arbitration) and 9.17 (Remedies) of the Business
Combination Agreement shall be deemed incorporated into, made part of and shall apply mutatis mutandis to, this Agreement. 

[Signature Page Follows] 

  
 11 

 IN WITNESS WHEREOF, the Parties have caused this Agreement to be duly executed as of the
date first written above. 
  

			
	 ERMENEGILDO ZEGNA HOLDITALIA S.P.A.

		
	By:	 	/s/ Ermenegildo Zegna Di Monte Rubello
		 	 Name: Ermenegildo Zegna Di Monte Rubello

		 	 Title:   Chief Executive Officer

  

			
	 INVESTINDUSTRIAL ACQUISITION CORP.

		
	By:	 	/s/ Roberto Ardagna
		 	 Name: Roberto Ardagna

		 	 Title:   Chief Executive Officer

  

			
	 MONTERUBELLO SOCIETÀ SEMPLICE

		
	By:	 	/s/ Ermenegildo Zegna Di Monte Rubello
		 	 Name: Ermenegildo Zegna Di Monte Rubello

		 	 Title:   Authorized Signatory

  

	
	 Ermenegildo Zegna Di Monte Rubello

	
	/s/ Ermenegildo Zegna Di Monte Rubello

 [Signature Page to Support Agreement] 

 SCHEDULE 1 

 

							
	 Shareholder
	  	 Shares Owned

Beneficially as of
 the date
hereof
	  	 Shares Held

of Record as
 of the
date
 hereof
	  	 Shares Over Which

the Shareholder has
 Full
Voting Power
 as of the date hereof

	 Monterubello società semplice
	  	3,956,000	  	3,956,000	  	3,956,000
	Ermenegildo Zegna	  	93,449	  	93,449	  	93,449

 SCHEDULE 2 

 

			
	 Shareholder
	  	 Address

	Monterubello società semplice	  	Via Trieste 13, Biella 13900, Italy
		
	Ermenegildo Zegna	  	Via Roma 99/100, Valdilana (Biella) 13835, Italy

 Annex A 

ANNEX A 
 FORM OF JOINDER

 This Joinder Agreement (this “Joinder Agreement”) is made as of the date written below by the undersigned
(the “Joining Party”) in accordance with the Company Support Agreement, dated as of July 18, 2021 (the “Support Agreement”), by and among Investindustrial Acquisition Corp., a Cayman Islands
exempted company, Ermenegildo Zegna Holditalia S.p.A, a joint stock company incorporated under Italian law (the “Company”) and the shareholders of the Company that are party thereto as the same may be amended, supplemented or
otherwise modified from time to time in accordance with its terms. Unless specified otherwise or context requires, capitalized terms used herein and not otherwise defined shall have the meaning ascribed to them in the Support Agreement. 

The Joining Party hereby acknowledges, agrees and confirms that, by its execution of this Joinder Agreement, the Joining Party shall be deemed
to be a party to, and a “Shareholder” under, the Support Agreement as of the date hereof and shall have all of the rights and obligations of a Shareholder as if it had executed the Support Agreement. The Joining Party hereby ratifies, as
of the date hereof, and agrees to be bound by, all of the terms, provisions and conditions contained in the Support Agreement. 
 IN WITNESS
WHEREOF, the undersigned has duly executed this Joinder Agreement as of the date written below. 
 Date: [●] [●],
20[●] 
  

			
	By:	 	   

		 	 Name:

		 	 Title:

	
	 Address for Notices:

	
	 With copies to:ex_264941.htm

EXHIBIT 10.1

 

 

 

 

 

 

MEMBERSHIP INTEREST PURCHASE AGREEMENT

 

between

 

SKY FINANCIAL AND INTELLIGENCE LLC, HIGHERGROUND CAPITAL LLC, AND JEFF NICKEL

 

and

 

CHARGE SAVVY LLC

 

and

 

GREENBOX POS

 

dated as of July 9, 2021

 

 

 

 

 

TABLE OF CONTENTS

 

 

	
			ARTICLE I PURCHASE AND SALE

				
			4

			
	 	
			Section 1.01 Purchase and Sale

				
			4

			
	 	
			Section 1.02 Purchase Price

				
			4

			
	 	 	 
	
			ARTICLE II CLOSING

				
			5

			
	 	
			Section 2.01 Closing

				
			5

			
	 	
			Section 2.02 Seller Closing Deliverables

				
			5

			
	 	
			Section 2.03 Buyer's Deliveries

				
			6

			
	 	 	 
	
			ARTICLE III REPRESENTATIONS AND WARRANTIES OF SELLER

				
			6

			
	 	
			Section 3.01 Organization and Authority of Seller

				
			6

			
	 	
			Section 3.02 Organization, Authority, and Qualification of the Company

				
			6

			
	 	
			Section 3.03 Capitalization

				
			7

			
	 	
			Section 3.04 No Subsidiaries

				
			7

			
	 	
			Section 3.05 No Conflicts or Consents

				
			7

			
	 	
			Section 3.06 Financial Statements

				
			7

			
	 	
			Section 3.07 Undisclosed Liabilities

				
			8

			
	 	
			Section 3.08 Absence of Certain Changes, Events, and Conditions

				
			8

			
	 	
			Section 3.09 Material Contracts

				
			8

			
	 	
			Section 3.10 Real Property; Title to Assets

				
			9

			
	 	
			Section 3.11 Intellectual Property

				
			10

			
	 	
			Section 3.12 [Material Customers and Suppliers

				
			10

			
	 	
			Section 3.13 Insurance

				
			11

			
	 	
			Section 3.14 Legal Proceedings; Governmental Orders

				
			11

			
	 	
			Section 3.15 Compliance with Laws; Permits

				
			11

			
	 	
			Section 3.16 Environmental Matters

				
			12

			
	 	
			Section 3.17 Employee Benefit Matters

				
			12

			
	 	
			Section 3.18 Employment Matters

				
			14

			
	 	
			Section 3.19 Taxes

				
			15

			
	 	
			Section 3.20 Books and Records

				
			15

			
	 	
			Section 3.21 Brokers

				
			15

			
	 	
			Section 3.22 [Full Disclosure

				
			15

			

 

 

 

 

	
			ARTICLE IV REPRESENTATIONS AND WARRANTIES OF BUYER

				
			16

			
	 	
			Section 4.01 Organization and Authority of Buyer

				
			16

			
	 	
			Section 4.02 No Conflicts; Consents

				
			16

			
	 	
			Section 4.03 Investment Purpose

				
			16

			
	 	
			Section 4.04 Brokers

				
			16

			
	 	 	 
	
			ARTICLE V COVENANTS

				
			16

			
	 	
			Section 5.01 Confidentiality

				
			17

			
	 	
			Section 5.02 Non-Competition; Non-Solicitation

				
			17

			
	 	
			Section 5.03 Further Assurances

				
			18

			
	 	 	 
	
			ARTICLE VI TAX MATTERS

				
			18

			
	 	
			Section 6.01 Tax Covenants

				
			18

			
	 	
			Section 6.02 Straddle Period

				
			19

			
	 	
			Section 6.03 Termination of Existing Tax Sharing Agreements

				
			19

			
	 	
			Section 6.04 Tax Indemnification

				
			19

			
	 	
			Section 6.05 [No Section 336(e) Election

				
			20

			
	 	
			Section 6.06 Cooperation and Exchange of Information

				
			20

			
	 	
			Section 6.07 Survival

				
			20

			
	 	 	 
	
			ARTICLE VII INDEMNIFICATION

				
			20

			
	 	
			Section 7.01 Indemnification by Seller

				
			20

			
	 	
			Section 7.02 Indemnification by Buyer

				
			20

			
	 	
			Section 7.03 Indemnification Procedures

				
			21

			
	 	
			Section 7.04 Survival

				
			21

			
	 	
			Section 7.05 Tax Claims

				
			21

			
	 	
			Section 7.06 Cumulative Remedies

				
			21

			
	 	 	 
	
			ARTICLE VIII MISCELLANEOUS

				
			22

			
	 	
			Section 8.01 Expenses

				
			22

			
	 	
			Section 8.02 Notices

				
			22

			
	 	
			Section 8.03 Interpretation; Headings

				
			22

			
	 	
			Section 8.04 Severability

				
			23

			
	 	
			Section 8.05 Entire Agreement.

				
			23

			
	 	
			Section 8.06 Successors and Assigns

				
			23

			
	 	
			Section 8.07 Amendment and Modification; Waiver

				
			23

			
	 	
			Section 8.08 Governing Law; Submission to Jurisdiction[; Waiver of Jury Trial].

				
			23

			
	 	
			Section 8.09 Counterparts

				
			24

			

 

 

 

 

MEMBERSHIP INTEREST PURCHASE AGREEMENT

 

This Membership Interest Purchase Agreement (this “Agreement”), dated as of July 9, , 2021, is entered into between Sky Financial and Intelligence LLC, HigherGround Capital LLC, and Jeff Nickel (collectively, “Sellers”), Charge Savvy LLC, an Illinois limited liability company (the “Company”) and GreenBox POS, a Nevada corporation (“Buyer”), each a Party and collectively the Parties. Capitalized terms used in this Agreement have the meanings given to such terms herein.

 

RECITALS

 

WHEREAS, Sellers hold one hundred percent (100%) of the membership interests (the “Membership Interests”) of the Company; and

 

WHEREAS, Sellers wish to sell to Buyer, and Buyer wishes to purchase from Sellers, the Membership Interests, subject to the terms and conditions set forth herein.

 

NOW, THEREFORE, in consideration of the mutual covenants and agreements hereinafter set forth and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

 

ARTICLE I PURCHASE AND SALE

 

Section 1.01 Purchase and Sale. Subject to the terms and conditions set forth herein, at the Closing, Sellers shall sell to Buyer, and Buyer shall purchase from Sellers, the Membership Interests, free and clear of any mortgage, pledge, lien, charge, security interest, claim, community property interest, option, equitable interest, restriction of any kind (including any restriction on use, voting, transfer, receipt of income, or exercise of any other ownership attribute), or other encumbrance (each, an “Encumbrance”). The term “Disclosure Schedules” means the disclosure schedules, attached hereto, and made a part hereof, delivered by Sellers and the Company concurrently with the execution, closing, and delivery of this Agreement.

 

Section 1.02 Consideration at Closing. Upon the terms and subject to the conditions set forth in this Agreement, at the Closing, Buyer shall:

 

(a)    issue and deliver to Sellers 900,000 shares of Buyer’s Common Stock, par value $0.001 per share (the “Buyer Common Stock”), in proportion to their share of Membership Interests, which may be represented by one or more certificates or may be uncertificated, at Buyer’s election; it being agreed that the remaining 100,000 shares of Buyer Common Stock may or may not be issued depending on conditions precedent to such further issuance outlined below in this Agreement.

 

(b)    minus the outstanding debt of the Company (if any) as of the Closing Date.

 

4

 

 

Section 1.03 Post-Closing Consideration. Upon the terms and subject to the conditions set forth in this Agreement, after the Closing and subject to the conditions set forth in this Section 1.03, Buyer shall:

 

(a) Upon Buyer’s receipt of a Phase I Environmental Assessment Report (the “Phase I”) for the building located at 3333 East End Avenue, South Chicago Heights, Illinois 60411 (the “Building”) that does not raise environmental issues of concern to the Buyer, Buyer shall issue and deliver an additional 100,000 shares of Buyer’s Common Stock to Sellers in proportion to their share of Membership Interests only in the event that no issues with the Building or Recognized Environmental Conditions are identified in such Phase I, in Buyer’s sole discretion. For the avoidance of doubt, the additional 100,000 shares of Buyer’s Common Stock shall only be issued and delivered to Seller if Buyer determines, in its sole discretion, that no issues or Recognized Environmental Conditions are identified on the Phase I.

 

 

ARTICLE II CLOSING

 

Section 2.01 Closing. The closing of the transactions contemplated by this Agreement (the “Closing”) shall take place simultaneously with the execution of this Agreement on the date of this Agreement (the “Closing Date”) at the offices of Lucosky Brookman LLP, 101 Wood Avenue South, Woodbridge, New Jersey 08830, or remotely by exchange of documents and signatures (or their electronic counterparts). The consummation of the transactions contemplated by this Agreement shall be deemed to occur at 3:00 PM ET time on the Closing Date.

 

Section 2.02 Sellers Closing Deliverables. At the Closing, Sellers shall deliver to Buyer the following:

 

(a)    An assignment of memberships interests with respect to the Membership Interests or a certificate or certificates representing the Membership Interests, free and clear of all Encumbrances, duly authorized or endorsed in blank or accompanied by members and manager powers or other instruments of transfer duly executed in blank.

 

(b)    A certificate of the Secretary, Manager, or individual (or other officer or authorized party) of Sellers certifying: (i) that attached thereto are true and complete consents of all the members of the Company, representing all Membership Interests of the Company, authorizing the execution, delivery, and performance of this Agreement, and the other agreements, instruments, and documents required to be delivered in connection with this Agreement or at the Closing (collectively, the “Transaction Documents”) to which Sellers are a party and the consummation of the transactions contemplated hereby and thereby, and that such consents are in full force and effect; (ii) the names, titles, and signatures of all members of the Company; and (iii) that attached thereto are true and complete copies of the governing documents of the Company, including any amendments or restatements thereof, and that such governing documents are in full force and effect.

 

5

 

 

(c)    A good standing certificate (or its equivalent) for the Company from the secretary of state or similar Governmental Authority of the jurisdiction in which the Company is organized and each jurisdiction where the Company is required to be qualified, registered, or authorized to do business. The term “Governmental Authority” means any federal, state, local, or foreign government or political subdivision thereof, or any agency or instrumentality of such government or political subdivision, or any arbitrator, court, or tribunal of competent jurisdiction.

 

(d)    A certificate pursuant to Treasury Regulations Section 1.1445-2(b) that Seller is not a foreign person within the meaning of Section 1445 of the Internal Revenue Code of 1986 (as amended, the “Code”).

 

Section 2.03 Buyer’s Deliveries. At the Closing, Buyer shall deliver the following to Seller:

 

(a)    The Buyer’s Common Stock.

 

ARTICLE III

REPRESENTATIONS AND WARRANTIES REGARDING THE COMPANY

 

 

Sellers, on behalf of themselves and the Company, represent and warrant to Buyer that the statements contained in this Article ARTICLE III are true and correct as of the date hereof. For purposes of this Article ARTICLE III, “Sellers’ knowledge,” “knowledge of Sellers,” and any similar phrases shall mean the actual or constructive knowledge of any member, director or officer of the Company, after due inquiry.

 

Section 3.01 Authority of Sellers. Sellers have full authority to enter into this Agreement and the other Transaction Documents to which Sellers are a party, to carry out their obligations hereunder and thereunder, and to consummate the transactions contemplated hereby and thereby. The execution and delivery by Sellers of this Agreement and any other Transaction Document to which Sellers are a party, the performance by Sellers of their obligations hereunder and thereunder, and the consummation by Sellers of the transactions contemplated hereby and thereby have been duly authorized by all requisite corporate or other action on the part of Sellers. This Agreement and each Transaction Document to which Sellers are a party constitute legal, valid, and binding obligations of Sellers enforceable against Sellers in accordance with their respective terms.

 

Section 3.02 Organization, Authority, and Qualification of the Company. The Company is a limited liability company duly organized, validly existing, and in good standing under the Laws of the state of Illinois and has full limited liability company power and authority to own, operate, or lease the properties and assets now owned, operated, or leased by it and to carry on its business as it has been and is currently conducted. Schedule 3.02 sets forth each jurisdiction in which the Company is licensed or qualified to do business, and the Company is duly licensed or qualified to do business and is in good standing in each jurisdiction in which the properties owned or leased by it or the operation of its business as currently conducted makes such licensing or qualification necessary.

 

6

 

 

Section 3.03  Capitalization.

 

(a)    Schedule 3.03(a) accurately reflects all of the Membership Interests, together with the record and beneficial owners thereof. All of the Membership Interests have been duly authorized, are validly issued, fully paid and nonassessable, and are owned of record and beneficially by Sellers, free and clear of all Encumbrances. Upon the transfer, assignment, and delivery of the Membership Interests and payment therefor in accordance with the terms of this Agreement, Buyer shall own all of the Membership Interests, free and clear of all Encumbrances.

 

(b)    All of the Membership Interests were issued in compliance with applicable Laws. None of the Membership Interests were issued in violation of any agreement or commitment to which Sellers or the Company are a party or is subject to or in violation of any preemptive or similar rights of any individual, corporation, partnership, joint venture, limited liability company, Governmental Authority, unincorporated organization, trust, association, or other entity (each, a “Person”).

 

(c)    Except as set out in Schedule 3.03(c), there are no outstanding or authorized options, warrants, convertible securities, stock appreciation, phantom stock, profit participation, or other rights, agreements, or commitments relating to the Membership Interests of the Company or obligating Sellers or the Company to issue or sell any membership interests of, or any other interest in, the Company. There are no voting trusts, member agreements, proxies, or other agreements in effect with respect to the voting or transfer of any of the Membership Interests.

 

Section 3.04 No Subsidiaries. The Company does not have, or have the right to acquire, an ownership interest in any other Person.

 

Section 3.05 No Conflicts or Consents. The execution, delivery, and performance by Sellers of this Agreement and the other Transaction Documents to which it is a party, and the consummation of the transactions contemplated hereby and thereby, do not and will not: (a) violate or conflict with any provision of the operating agreement or other governing documents of Sellers or the Company; (b) violate or conflict with any provision of any statute, law, ordinance, regulation, rule, code, treaty, or other requirement of any Governmental Authority (collectively, “Law”) or any order, writ, judgment, injunction, decree, determination, penalty, or award entered by or with any Governmental Authority (“Governmental Order”) applicable to Sellers or the Company; (c) require the consent, notice, or filing with or other action by any Person or require any Permit, license, or Governmental Order; (d) violate or conflict with, result in the acceleration of, or create in any party the right to accelerate, terminate, or modify any contract, lease, deed, mortgage, license, instrument, note, indenture, joint venture, or any other agreement, commitment, or legally binding arrangement, whether written or oral (collectively, “Contracts”), to which Sellers or the Company is a party or by which Sellers or the Company is bound or to which any of their respective properties and assets are subject; or (e) result in the creation or imposition of any Encumbrance on any properties or assets of the Company.

 

Section 3.06 Financial Statements. Complete copies of the Company’s audited financial statements consisting of the balance sheet of the Company as at December 31 in each of

 

7

 

 

the years 2018, 2019, and 2020 and the related statements of income and retained earnings, stockholders’ equity, and cash flow for the years then ended (the “Financial Statements”) have been delivered to Buyer; provided, however, that if the Sellers do not have audited financial statements for the Company, they will cooperate if the Buyer determines at any time that it needs audited financial statements of the Company. The Financial Statements have been prepared in accordance with generally accepted accounting principles in effect in the United States from time to time (“GAAP”), applied on a consistent basis throughout the period involved. The Financial Statements are based on the books and records of the Company and fairly present the financial condition of the Company as of the respective dates they were prepared and the results of the operations of the Company for the periods indicated. The balance sheet of the Company as of December 31, 2020 is referred to herein as the “Balance Sheet” and the date thereof as the “Balance Sheet Date”. The Company maintains a standard system of accounting established and administered in accordance with GAAP.

 

Section 3.07 Undisclosed Liabilities. The Company has no liabilities, obligations, or commitments of any nature whatsoever, whether asserted, known, absolute, accrued, matured, or otherwise (collectively, “Liabilities”), except: (a) those which are adequately reflected or reserved against in the Balance Sheet as of the Balance Sheet Date; and (b) those which have been incurred in the ordinary course of business consistent with past practice since the Balance Sheet Date and which are not, individually or in the aggregate, material in amount. The Company further represents and warrants that as of the Closing Date, the Company’s outstanding debt will equal U.S. zero dollars ($0).

 

Section 3.08 Absence of Certain Changes, Events, and Conditions. Since the Balance Sheet Date, and other than in the ordinary course of business consistent with past practice, there has not been, with respect to the Company, any change, event, condition, or development that is, or could reasonably be expected to be, individually or in the aggregate, materially adverse to the business, results of operations, condition (financial or otherwise), or assets of the Company.

 

Section 3.09 Material Contracts.

 

(a)    Schedule 3.09(a) lists each Contract that is material to the Company (such Contracts, together with all Contracts concerning the occupancy, management, or operation of any Real Property (as defined in Section Section 3.10(a)), being “Material Contracts”), including the following:

 

(i)    each Contract of the Company involving aggregate consideration in excess of $15,000 and which, in each case, cannot be cancelled by the Company without penalty or without more than 20 days’ notice;

 

(ii)    all Contracts that provide for the indemnification by the Company of any Person or the assumption of any Tax (as defined in Section Section 3.19(a)), environmental, or other Liability of any Person;

 

8

 

 

(iii)    all Contracts relating to Intellectual Property (as defined in Section Section 3.11(a)), including all licenses, sublicenses, settlements, coexistence agreements, covenants not to sue, and permissions;

 

(iv)    except for Contracts relating to trade payables, all Contracts relating to indebtedness (including, without limitation, guarantees) of the Company; and

 

(v)    all Contracts that limit or purport to limit the ability of the Company to compete in any line of business or with any Person or in any geographic area or during any period of time.

 

(b)    Each Material Contract is valid and binding on the Company in accordance with its terms and is in full force and effect. None of the Company or, to Sellers’ knowledge, any other party thereto is in breach of or default under (or is alleged to be in breach of or default under) or has provided or received any notice of any intention to terminate, any Material Contract. Complete and correct copies of each Material Contract (including all modifications, amendments, and supplements thereto and waivers thereunder) have been made available to Buyer.

 

Section 3.10  Real Property; Title to Assets.

 

(a)    Schedule 3.10(a) lists all real property in which the Company has an ownership or leasehold (or subleasehold) interest (together with all buildings, structures, and improvements located thereon, the “Real Property”), including: (i) the street address of each parcel of Real Property; (ii) for Real Property that is leased or subleased by the Company, the landlord under the lease, the rental amount currently being paid, and the expiration of the term of such lease or sublease, and any termination or renewal rights of any party to the lease; and (iii) the current use of each parcel of Real Property. Sellers have delivered or made available to Buyer true, correct, and complete copies of all Contracts, title insurance policies, and surveys relating to the Real Property.

 

(b)    The Company has good and valid (and, in the case of owned Real Property, good and indefeasible fee simple) title to, or a valid leasehold interest in, all Real Property and personal property and other assets reflected in the Financial Statements or acquired after the Balance Sheet Date (other than properties and assets sold or otherwise disposed of in the ordinary course of business consistent with past practice since the Balance Sheet Date). All Real Property and such personal property and other assets (including leasehold interests) are free and clear of Encumbrances except for those items set forth in Schedule 3.10(b).

 

(c)    The Company is not a sublessor or grantor under any sublease or other instrument granting to any other Person any right to possess, lease, occupy, or use any leased Real Property. The use of the Real Property in the conduct of the Company’s business does not violate in any material respect any Law, covenant, condition, restriction, easement, license, permit, or Contract and no material improvements

 

9

 

 

constituting a part of the Real Property encroach on real property owned or leased by a Person other than the Company.

 

Section 3.11  Intellectual Property.

 

(a)    The term “Intellectual Property” means any and all of the following in any jurisdiction throughout the world: (i) issued patents and patent applications; (ii) trademarks, service marks, trade names, and other similar indicia of source or origin, together with the goodwill connected with the use of and symbolized by, and all registrations, applications for registration, and renewals of, any of the foregoing; (iii) copyrights, including all applications and registrations; (iv) trade secrets, know-how, inventions (whether or not patentable), technology, and other confidential and proprietary information and all rights therein; (v) internet domain names and social media accounts and pages; and (vi) other intellectual or industrial property and related proprietary rights, interests, and protections.

 

(b)    Schedule 3.11(b) lists all issued patents, registered trademarks, domain names and copyrights, and pending applications for any of the foregoing and all material unregistered Intellectual Property that are owned by the Company (the “Company IP Registrations”). The Company owns or has the valid and enforceable right to use all Intellectual Property used or held for use in or necessary for the conduct of the Company’s business as currently conducted or as proposed to be conducted (the “Company Intellectual Property”), free and clear of all Encumbrances. All of the Company Intellectual Property is valid and enforceable, and all Company IP Registrations are subsisting and in full force and effect. The Company has taken all necessary steps to maintain and enforce the Company Intellectual Property.

 

(c)    The conduct of the Company’s business as currently and formerly conducted and as proposed to be conducted has not infringed, misappropriated, or otherwise violated and will not infringe, misappropriate, or otherwise violate the Intellectual Property or other rights of any Person. No Person has infringed, misappropriated, or otherwise violated any Company Intellectual Property.

 

Section 3.12  Material Customers and Suppliers.

 

(a)    Schedule 3.12(a) sets forth each customer who has paid aggregate consideration to the Company for goods or services rendered in an amount greater than or equal to $15,000 for each of the two most recent fiscal years (collectively, the “Material Customers”). The Company has not received any notice, and has no reason to believe, that any of its Material Customers has ceased, or intends to cease after the Closing, to purchase or use its goods or services or to otherwise terminate or materially reduce its relationship with the Company.

 

(b)    Schedule 3.12(b) sets forth each supplier to whom the Company has paid consideration for goods or services rendered in an amount greater than or equal to $15,000 for each of the two most recent fiscal years (collectively, the “Material Suppliers”). The Company has not received any notice, and has no reason to believe, that

 

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any of its Material Suppliers has ceased, or intends to cease, to supply goods or services to the Company or to otherwise terminate or materially reduce its relationship with the Company.

 

Section 3.13 Insurance. Schedule 3.13 sets forth a true and complete list of all current policies or binders of insurance maintained by Sellers or its Affiliates (including the Company) and relating to the assets, business, operations, employees, officers, members, managers, and directors of the Company (collectively, the “Insurance Policies”). Such Insurance Policies: (a) are in full force and effect; (b) are valid and binding in accordance with their terms; (c) are provided by carriers who are financially solvent; and (d) have not been subject to any lapse in coverage. Neither Sellers nor any of their Affiliates (including the Company) has received any written notice of cancellation of, premium increase with respect to, or alteration of coverage under, any of such Insurance Policies. All premiums due on such Insurance Policies have been paid. None of Seller or any of its Affiliates (including the Company) is in default under, or has otherwise failed to comply with, in any material respect, any provision contained in any Insurance Policy. The Insurance Policies are of the type and in the amounts customarily carried by Persons conducting a business similar to the Company and are sufficient for compliance with all applicable Laws and Contracts to which the Company is a party or by which it is bound. For purposes of this Agreement: (x) “Affiliate” of a Person means any other Person that directly or indirectly, through one or more intermediaries, controls, is controlled by, or is under common control with, such Person; and (y) the term “control” (including the terms “controlled by” and “under common control with”) means the possession, directly or indirectly, of the power to direct or cause the direction of the management and policies of a Person, whether through the ownership of voting securities or other ownership interests, by contract, or otherwise.

 

Section 3.14 Legal Proceedings; Governmental Orders.

 

(a)    There are no claims, actions, causes of action, demands, lawsuits, arbitrations, inquiries, audits, notices of violation, proceedings, litigation, citations, summons, subpoenas, or investigations of any nature, whether at law or in equity (collectively, “Actions”) pending or, to Sellers’ knowledge, threatened against or by the Company, Sellers, or any Affiliate of Sellers: (i) relating to or affecting the Company or any of the Company’s properties or assets; or (ii) that challenge or seek to prevent, enjoin, or otherwise delay the transactions contemplated by this Agreement. No event has occurred or circumstances exist that may give rise to, or serve as a basis for, any such Action.

 

(b)    There are no outstanding, and the Company is in compliance with all, Governmental Orders against, relating to, or affecting the Company or any of its properties or assets.

 

Section 3.15         Compliance with Laws; Permits.

 

(a)    The Company has complied, and is now complying, with all Laws applicable to it or its business, properties, or assets.

 

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(b)    All permits, licenses, franchises, approvals, registrations, certificates, variances, and similar rights obtained, or required to be obtained, from Governmental Authorities (collectively, “Permits”) in order for the Company to conduct its business, including, without limitation, owning or operating any of the Real Property, have been obtained and are valid and in full force and effect. Schedule 3.15(b) lists all current Permits issued to the Company and no event has occurred that would reasonably be expected to result in the revocation or lapse of any such Permit.

 

(c)    The operations of the Company have been conducted at all times in compliance with the U.S. Bank Secrecy Act (31 U.S.C. §§ 5311, et seq.) and its implementing regulations, including money laundering requirements of applicable governmental authorities and related or similar rules, regulations, or guidelines issued, administered, or enforced by any governmental authority (collectively, the “Money Laundering Laws”) and no action, suit, or proceeding by or before any court or governmental authority or any arbitrator involving the Company with respect to the Money Laundering Laws is pending or, to Sellers’ knowledge, threatened.

 

Section 3.16  Environmental Matters.

 

(a)    The terms: (i) “Environmental Laws” means all Laws, now or hereafter in effect, in each case as amended or supplemented from time to time, relating to the regulation and protection of human health, safety, the environment, and natural resources, including any federal, state, or local transfer of ownership notification or approval statutes; and (ii) “Hazardous Substances” means: (A) “hazardous materials,” “hazardous wastes,” “hazardous substances,” “industrial wastes,” or “toxic pollutants,” as such terms are defined under any Environmental Laws; (B) any other hazardous or radioactive substance, contaminant, or waste; and (C) any other substance with respect to which any Environmental Law or Governmental Authority requires environmental investigation, regulation, monitoring, or remediation.

 

(b)    The Company has complied, and is now complying, with all Environmental Laws. Neither the Company nor Sellers have received notice from any Person that the Company, its business or assets, or any real property currently or formerly owned, leased, or used by the Company is or may be in violation of any Environmental Law or any applicable Law regarding Hazardous Substances.

 

(c)    There has not been any spill, leak, discharge, injection, escape, leaching, dumping, disposal, or release of any kind of any Hazardous Substances in violation of any Environmental Law: (i) with respect to the business or assets of the Company; or (ii) at, from, in, adjacent to, or on any real property currently or formerly owned, leased, or used by the Company. There are no Hazardous Substances in, on, about, or migrating to any real property currently or formerly owned, leased, or used by the Company, and such real property is not affected in any way by any Hazardous Substances.

 

Section 3.17  Employee Benefit Matters.

 

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(a)    Schedule 3.17(a) contains a true and complete list of each “employee benefit plan” as defined in Section 3(3) of the Employee Retirement Income Security Act of 1974 (as amended, and including the regulations thereunder, “ERISA”), whether or not written and whether or not subject to ERISA, and each supplemental retirement, compensation, employment, consulting, profit-sharing, deferred compensation, incentive, bonus, equity, change in control, retention, severance, salary continuation, and other similar agreement, plan, policy, program, practice, or arrangement which is or has been established, maintained, sponsored, or contributed to by the Company or under which the Company has or may have any Liability (each, a “Benefit Plan”).

 

(b)    For each Benefit Plan, Sellers have made available to Buyer accurate, current, and complete copies of each of the following: (i) the plan document with all amendments, or if not reduced to writing, a written summary of all material plan terms; (ii) any written contracts and arrangements related to such Benefit Plan, including trust agreements or other funding arrangements, and insurance policies, certificates, and contracts; (iii) in the case of a Benefit Plan intended to be qualified under Section 401(a) of the Code, the most recent favorable determination or national office approval letter issued by the Internal Revenue Service and any legal opinions issued thereafter with respect to the Benefit Plan’s continued qualification; (iv) the most recent Form 5500 filed with respect to such Benefit Plan; and (v) any material notices, audits, inquiries, or other correspondence from, or filings with, any Governmental Authority relating to the Benefit Plan.

 

(c)    Each Benefit Plan and related trust has been established, administered, and maintained in accordance with its terms and in compliance with all applicable Laws (including ERISA and the Code). Nothing has occurred with respect to any Benefit Plan that has subjected or could subject the Company or, with respect to any period on or after the Closing Date, Buyer, or any of its Affiliates, to a civil action, penalty, surcharge, or Tax under applicable Law or which would jeopardize the previously determined qualified status of any Benefit Plan. All benefits, contributions, and premiums relating to each Benefit Plan have been timely paid in accordance with the terms of such Benefit Plan and all applicable Laws and accounting principles. Benefits accrued under any unfunded Benefit Plan have been paid, accrued, or adequately reserved for to the extent required by GAAP.

 

(d)    The Company has not incurred and does not reasonably expect to incur: (i) any Liability under Title I or Title IV of ERISA, any related provisions of the Code, or applicable Law relating to any Benefit Plan; or (ii) any Liability to the Pension Benefit Guaranty Corporation. No complete or partial termination of any Benefit Plan has occurred or is expected to occur.

 

(e)    The Company has not now or at any time within the previous six years contributed to, sponsored, or maintained: (i) any “multiemployer plan” as defined in Section 3(37) of ERISA; (ii) any “single-employer plan” as defined in Section 4001(a)(15) of ERISA; (iii) any “multiple employer plan” as defined in Section 413(c) of the Code; (iv) any “multiple employer welfare arrangement” as defined in Section 3(40) of ERISA; (v) a leveraged employee stock ownership plan described in Section

 

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4975(e)(7) of the Code; or (vi) any other Benefit Plan subject to required minimum funding requirements.

 

(f)    Other than as required under Sections 601 to 608 of ERISA or other applicable Law, no Benefit Plan provides post-termination or retiree welfare benefits to any individual for any reason.

 

(g)    Neither the execution of this Agreement nor any of the transactions contemplated by this Agreement will, either alone or in combination with any other event: (i) entitle any current or former director, officer, employee, independent contractor, or consultant of the Company to any severance pay, increase in severance pay, or other payment; (ii) accelerate the time of payment, funding, or vesting, or increase the amount of compensation (including stock-based compensation) due to any such individual; (iii) limit or restrict the right of the Company to amend or terminate any Benefit Plan; (iv) increase the amount payable under any Benefit Plan; (v) result in any “excess parachute payments” within the meaning of Section 280G(b) of the Code; or (vi) require a “gross-up” or other payment to any “disqualified individual” within the meaning of Section 280G(c) of the Code.

 

Section 3.18  Employment Matters.

 

(a)    Schedule 3.18(a) lists: (i) all employees, independent contractors, and consultants of the Company; and (ii) for each individual described in clause (i), (A) the individual’s title or position, hire date, and compensation, (B) any Contracts entered into between the Company and such individual, and (C) the fringe benefits provided to each such individual. All compensation payable to all employees, independent contractors, or consultants of the Company for services performed on or prior to the Closing Date have been paid in full.

 

(b)    The Company is not, and has not been, a party to or bound by any collective bargaining agreement or other Contract with a union or similar labor organization (collectively, “Union”), and no Union has represented or purported to represent any employee of the Company. There has never been, nor has there been any threat of, any strike, work stoppage, slowdown, picketing, or other similar labor disruption or dispute affecting the Company or any of its employees.

 

(c)    The Company is and has been in compliance with: (i) all applicable employment Laws and agreements regarding hiring, employment, termination of employment, plant closings and mass layoffs, employment discrimination, harassment, retaliation, and reasonable accommodation, leaves of absence, terms and conditions of employment, wages and hours of work, employee classification, employee health and safety, engagement and classification of independent contractors, payroll taxes, and immigration with respect to all employees, independent contractors, and contingent workers; and (ii) all applicable Laws relating to the relations between it and any labor organization, trade union, work council, or other body representing employees of the Company.

 

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Section 3.19  Taxes.

 

(a)    All returns, declarations, reports, information returns and statements, and other documents relating to Taxes (including amended returns and claims for refund) (collectively, “Tax Returns”) required to be filed by the Company on or before the Closing Date have been timely filed. Such Tax Returns are true, correct, and complete in all respects. All Taxes due and owing by the Company (whether or not shown on any Tax Return) have been timely paid. No extensions or waivers of statutes of limitations have been given or requested with respect to any Taxes of the Company. Sellers have delivered to Buyer copies of all Tax Returns and examination reports of the Company and statements of deficiencies assessed against, or agreed to by, the Company, for all Tax periods ending after 2018. The term “Taxes” means all federal, state, local, foreign, and other income, gross receipts, sales, use, production, ad valorem, transfer, franchise, registration, profits, license, lease, service, service use, withholding, payroll, employment, unemployment, estimated, excise, severance, environmental, stamp, occupation, premium, property (real or personal), real property gains, windfall profits, customs, duties, or other taxes, fees, assessments, or charges of any kind whatsoever, together with any interest, additions, or penalties with respect thereto.

 

(b)    The Company has not been a member of an affiliated, combined, consolidated, or unitary Tax group for Tax purposes. The Company has no Liability for Taxes of any Person (other than the Company) under Treasury Regulations Section 1.1502-6 (or any corresponding provision of state, local, or foreign Law), as transferee or successor, by contract, or otherwise.

 

(c)    There are no liens for Taxes (other than for current Taxes not yet due and payable) upon the assets of the Company.

 

(d)    Sellers are not a “foreign person” as that term is used in Treasury Regulations Section 1.1445-2. The Company is not, nor has it been, a United States real property holding corporation (as defined in Section 897(c)(2) of the Code) during the applicable period specified in Section 897(c)(1)(a) of the Code.

 

Section 3.20 Books and Records. The minute books and share record and transfer books of the Company, all of which are in the possession of the Company and have been made available to Buyer, are complete and correct.

 

Section 3.21 Brokers. No broker, finder, or investment banker is entitled to any brokerage, finder’s, or other fee or commission in connection with the transactions contemplated by this Agreement or any other Transaction Document based upon arrangements made by or on behalf of Seller.

 

Section 3.22 Full Disclosure. No representation or warranty by Seller in this Agreement and no statement contained in the Disclosure Schedules to this Agreement or any certificate or other document furnished or to be furnished to Buyer pursuant to this Agreement contains any untrue statement of a material fact or omits to state a material fact necessary to

 

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make the statements contained therein, in light of the circumstances in which they are made, not misleading.

 

ARTICLE IV REPRESENTATIONS AND WARRANTIES OF BUYER

 

Buyer represents and warrants to Sellers as follows:

 

Section 4.01 Organization and Authority of Buyer. Buyer is a corporation duly organized, validly existing, and in good standing under the Laws of the state of Nevada. Buyer has requisite corporate power and authority to enter into this Agreement and the other Transaction Documents to which Buyer is a party, to carry out its obligations hereunder and thereunder, and to consummate the transactions contemplated hereby and thereby. The execution and delivery by Buyer of this Agreement and any other Transaction Document to which Buyer is a party, the performance by Buyer of its obligations hereunder and thereunder, and the consummation by Buyer of the transactions contemplated hereby and thereby have been duly authorized by all requisite corporate action on the part of Buyer. This Agreement and each Transaction Document constitute legal, valid, and binding obligations of Buyer enforceable against Buyer in accordance with their respective terms.

 

Section 4.02 No Conflicts; Consents. The execution, delivery, and performance by Buyer of this Agreement and the other Transaction Documents to which it is a party, and the consummation of the transactions contemplated hereby and thereby, do not and will not: (a) violate or conflict with any provision of the certificate of incorporation, by-laws, or other governing documents of Buyer; (b) violate or conflict with any provision of any Law or Governmental Order applicable to Buyer; or (c) require the consent, notice, declaration, or filing with or other action by any Person or require any Permit, license, or Governmental Order.

 

Section 4.03 Investment Purpose. Buyer is acquiring the Membership Interests solely for its own account for investment purposes and not with a view to, or for offer or sale in connection with, any distribution thereof or any other security related thereto within the meaning of the Securities Act of 1933, as amended (the “Securities Act”). Buyer acknowledges that Sellers have not registered the offer and sale of the Membership Interests under the Securities Act or any state securities laws, and that the Membership Interests may not be pledged, transferred, sold, offered for sale, hypothecated, or otherwise disposed of except pursuant to the registration provisions of the Securities Act or pursuant to an applicable exemption therefrom and subject to state securities laws and regulations, as applicable.

 

Section 4.04 Brokers. No broker, finder, or investment banker is entitled to any brokerage, finder’s, or other fee or commission in connection with the transactions contemplated by this Agreement or any other Transaction Document based upon arrangements made by or on behalf of Buyer.

 

ARTICLE V COVENANTS

 

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Section 5.01 Confidentiality. From and after the Closing, Sellers shall, and shall cause their Affiliates and its and their respective directors, officers, employees, consultants, counsel, accountants, and other agents (collectively, “Representatives”) to, hold in confidence any and all information, in any form, concerning the Company, except to the extent that Sellers can show that such information: (a) is generally available to and known by the public through no fault of Sellers, any of their Affiliates, or their respective Representatives; or (b) is lawfully acquired by Sellers, any of their Affiliates, or their respective Representatives from and after the Closing from sources which are not prohibited from disclosing such information by any obligation. If Sellers or any of their Affiliates or their respective Representatives are compelled to disclose any information by Governmental Order or Law, Sellers shall promptly notify Buyer in writing and shall disclose only that portion of such information which is legally required to be disclosed; provided, however, Sellers shall use reasonable best efforts to obtain as promptly as possible an appropriate protective order or other reasonable assurance that confidential treatment will be accorded such information.

 

Section 5.02  Non-Competition; Non-Solicitation.

 

(a)    For a period of five years commencing on the Closing Date (the “Restricted Period”), Sellers shall not, directly develop a point of sale product in direct competition with Seller Charge Savvy, LLC (the “Restricted Business”) in the United States (the “Territory”); (ii) undertake any new interest in any Person that engages, directly, in the Restricted Business in the Territory, as a partner, stockholder, director, officer, member, manager, or, , principal,; (iii) provide any business opportunity of which Sellers become aware related to the Restricted Business to any entity without first offering it to the Company and giving it a right to pursue the opportunity or right of first refusal for 60 days, or (iv) intentionally interfere in any material respect with the business relationships (whether formed prior to or after the date of this Agreement) between the Company and customers or suppliers of the Company. Notwithstanding the foregoing, Sellers may own, directly or indirectly, solely as an investment, securities of any Person traded on any national securities exchange if Sellers are not an officer or director of, or an officer or director of a group which controls such Person. Nothing herein shall restrict Seller from having an interest, owning, or otherwise investing in any Person in the Restricted Business in the Territory provided that such interest, ownership, or investment pre-dates the closing.

 

(b)    During the Restricted Period, Sellers shall not, and shall not permit any of their Affiliates to, directly or indirectly, hire or solicit any current employee of the Company or encourage any employee to leave the Company’s employment for five years commencing on the Closing Date. Notwithstanding the foregoing, it shall not be deemed a violation if any such employee responds to a publicly posted job advertisement.

 

(c)    Sellers acknowledge that a breach or threatened breach of this Section Section 5.02 would give rise to irreparable harm to Buyer, for which monetary damages would not be an adequate remedy, and hereby agrees that in the event of a breach or a threatened breach by Sellers of any such obligations, Buyer shall, in addition to any and all other rights and remedies that may be available to it in respect of such breach, be

 

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entitled to equitable relief, including a temporary restraining order, an injunction, or specific performance (without any requirement to post bond).

 

(d)    Sellers acknowledge that the restrictions contained in this Section Section 5.02 are reasonable and necessary to protect the legitimate interests of Buyer and constitute a material inducement to Buyer to enter into this Agreement and consummate the transactions contemplated by this Agreement. In the event that any covenant contained in this Section 5.02 should ever be adjudicated to exceed the time, geographic, product or service, or other limitations permitted by applicable Law in any jurisdiction or any Governmental Order, then any court is expressly empowered to reform such covenant, and such covenant shall be deemed reformed, in such jurisdiction to the maximum time, geographic, product or service, or other limitations permitted by applicable Law or such Governmental Order. The covenants contained in this Section 5.02 and each provision hereof are severable and distinct covenants and provisions. The invalidity or unenforceability of any such covenant or provision as written shall not invalidate or render unenforceable the remaining covenants or provisions hereof, and any such invalidity or unenforceability in any jurisdiction shall not invalidate or render unenforceable such covenant or provision in any other jurisdiction.

 

(e)    The above restrictions shall be void in the event that either Buyer or Company petition, whether involuntarily or voluntarily, for bankruptcy, is limited by Governmental action in the business it performs, or is otherwise declared insolvent.

 

Section 5.03 Further Assurances. Following the Closing, each of the parties hereto shall, and shall cause their respective Affiliates to, execute and deliver such additional documents and instruments and take such further actions as may be reasonably required to carry out the provisions hereof and give effect to the transactions contemplated by this Agreement and the other Transaction Documents.

 

 

ARTICLE VI TAX MATTERS

 

Section 6.01 Tax Covenants.

 

(a)    Without the prior written consent of Buyer, Sellers shall not, to the extent it may affect or relate to the Company: (i) make, change, or rescind any Tax election; (ii) amend any Tax Return; (iii) take any position on any Tax Return; or (iv) take any action, omit to take any action, or enter into any other transaction that would have the effect of increasing the Tax liability or reducing any Tax asset of Buyer or the Company, in respect of any taxable period that begins after the Closing Date or, in respect of any taxable period that begins before and ends after the Closing Date (each such period, a “Straddle Period”), the portion of any Straddle Period beginning after the Closing Date.

 

(b)    All transfer, documentary, sales, use, stamp, registration, value added, and other such Taxes and fees (including any penalties and interest) incurred in connection

 

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with this Agreement and the other Transaction Documents shall be borne and paid by Sellers when due. Sellers shall, at their own expense, timely file any Tax Return or other document with respect to such Taxes or fees (and Buyer shall cooperate with respect thereto as necessary).

 

(c)    Buyer shall prepare, or cause to be prepared, all Tax Returns required to be filed by the Company after the Closing Date with respect to any taxable period or portion thereof ending on or before the Closing Date and all Straddle Period Tax Returns. Any such Tax Return shall be prepared in a manner consistent with past practice (unless otherwise required by Law) and without a change of any election or any accounting method.

 

Section 6.02 Straddle Period. In the case of Taxes that are payable with respect to a Straddle Period, the portion of any such Taxes that are allocated to Pre-Closing Tax Periods (as defined in Section Section 6.04) for purposes of this Agreement shall be: (a) in the case of Taxes:

 

(i)    based upon, or related to, income, receipts, profits, wages, capital, or net worth; (ii) imposed in connection with the sale, transfer, or assignment of property; or (iii) required to be withheld, the amount of Taxes which would be payable if the taxable year ended with the Closing Date; and (b) in the case of other Taxes, the amount of such Taxes for the entire period multiplied by a fraction, the numerator of which is the number of days in the period ending on the Closing Date and the denominator of which is the number of days in the entire period.

 

Section 6.03 Termination of Existing Tax Sharing Agreements. Any and all existing Tax sharing agreements (whether written or not) binding upon the Company shall be terminated as of the Closing Date. After such date neither the Company, Sellers, nor any of Sellers’ Affiliates and their respective Representatives shall have any further rights or liabilities thereunder.

 

Section 6.04 Tax Indemnification. Sellers shall indemnify the Company, Buyer, and each Buyer Indemnitee (as defined in Section Section 7.01) and hold them harmless from and against (a) any loss, damage, liability, deficiency, Action, judgment, interest, award, penalty, fine, cost or expense of whatever kind (collectively, including reasonable attorneys’ fees and the cost of enforcing any right to indemnification under this Agreement, “Losses”) attributable to any breach of or inaccuracy in any representation or warranty made in Section Section 3.19; (b) any Loss attributable to any breach or violation of, or failure to fully perform, any covenant, agreement, undertaking, or obligation in Article ARTICLE VI; (c) all Taxes of the Company or relating to the business of the Company for all Pre-Closing Tax Periods (as defined below); (d) all Taxes of any member of an affiliated, consolidated, combined, or unitary group of which the Company (or any predecessor of the Company) is or was a member on or prior to the Closing Date by reason of a liability under Treasury Regulation Section 1.1502-6 or any comparable provisions of foreign, state, or local Law; and (e) any and all Taxes of any Person imposed on the Company arising under the principles of transferee or successor liability or by contract, relating to an event or transaction occurring before the Closing Date. In each of the above cases, together with any out-of-pocket fees and expenses (including attorneys’ and accountants’ fees) incurred in connection therewith, Sellers shall reimburse Buyer for any Taxes of the Company that are the responsibility of Sellers pursuant to this Section 6.04 within ten business days after payment of such Taxes by Buyer or the Company. The term “Pre-Closing Tax Period” means any taxable

 

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period ending on or before the Closing Date and, with respect to any taxable period beginning before and ending after the Closing Date, the portion of such taxable period ending on and including the Closing Date.

 

Section 6.05 No Section 336(e) Election. Sellers shall not make an election under Section 336(e) of the Code with respect to the transactions contemplated by this Agreement.

 

Section 6.06 Cooperation and Exchange of Information. Sellers and Buyer shall provide each other with such cooperation and information as either of them reasonably may request of the other in filing any Tax Return pursuant to this Article ARTICLE VI or in connection with any proceeding in respect of Taxes of the Company, including providing copies of relevant Tax Returns and accompanying documents. Each of Sellers and Buyer shall retain all Tax Returns and other documents in its possession relating to Tax matters of the Company for any Pre-Closing Tax Period (collectively, “Tax Records”) until the expiration of the statute of limitations of the taxable periods to which such Tax Records relate.

 

Section 6.07 Survival. Notwithstanding anything in this Agreement to the contrary, the provisions of Section Section 3.19 and this Article ARTICLE VI shall survive for the full period of all applicable statutes of limitations (giving effect to any waiver, mitigation, or extension thereof) plus 90 days.

 

ARTICLE VII INDEMNIFICATION

 

Section 7.01 Indemnification by Sellers. Subject to the other terms and conditions of this Article ARTICLE VII, Sellers shall, jointly and severally, indemnify and defend each of Buyer and its Affiliates (including the Company) and their respective Representatives (collectively, the “Buyer Indemnitees”) against, and shall hold each of them harmless from and against, and shall pay and reimburse each of them for, any and all Losses incurred or sustained by, or imposed upon, the Buyer Indemnitees based upon, arising out of, with respect to, or by reason of:

 

 

(a)    any inaccuracy in or breach of any of the representations or warranties of Seller contained in this Agreement or the other Transaction Documents; or

 

(b)    any breach or non-fulfillment of any covenant, agreement, or obligation to be performed by Sellers pursuant to this Agreement or the other Transaction Documents.

 

Section 7.02 Indemnification by Buyer. Subject to the other terms and conditions of this Article ARTICLE VII, Buyer shall indemnify and defend each of Seller and its Affiliates and their respective Representatives (collectively, the “Seller Indemnitees”) against, and shall hold each of them harmless from and against, and shall pay and reimburse each of them for, any and all Losses incurred or sustained by, or imposed upon, the Sellers Indemnitees based upon, arising out of, with respect to, or by reason of:

 

(a)    any inaccuracy in or breach of any of the representations or warranties of Buyer contained in this Agreement or the other Transaction Documents; or

 

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(b)    any breach or non-fulfillment of any covenant, agreement, or obligation to be performed by Buyer pursuant to this Agreement.

 

Section 7.03 Indemnification Procedures. Whenever any claim shall arise for indemnification hereunder, the party entitled to indemnification (the “Indemnified Party”) shall promptly provide written notice of such claim to the other party (the “Indemnifying Party”). In connection with any claim giving rise to indemnity hereunder resulting from or arising out of any Action by a Person who is not a party to this Agreement, the Indemnifying Party, at its sole cost and expense and upon written notice to the Indemnified Party, may assume the defense of any such Action with counsel reasonably satisfactory to the Indemnified Party. The Indemnified Party shall be entitled to participate in the defense of any such Action, with its counsel and at its own cost and expense. If the Indemnifying Party does not assume the defense of any such Action, the Indemnified Party may, but shall not be obligated to, defend against such Action in such manner as it may deem appropriate, including settling such Action, after giving notice of it to the Indemnifying Party, on such terms as the Indemnified Party may deem appropriate and no action taken by the Indemnified Party in accordance with such defense and settlement shall relieve the Indemnifying Party of its indemnification obligations herein provided with respect to any damages resulting therefrom. The Indemnifying Party shall not settle any Action without the Indemnified Party's prior written consent (which consent shall not be unreasonably withheld or delayed).

 

Section 7.04 Survival. Subject to the limitations and other provisions of this Agreement, the representations and warranties contained herein (other than any representations or warranties contained in Section Section 3.19 which are subject to Article ARTICLE VI) and all related rights to indemnification shall survive the Closing and shall remain in full force and effect until the date that is 12 months from the Closing Date; provided, however, the representations and warranties in Section Section 3.01, Section Section 3.02, Section Section 3.03, Section Section 3.04, Section Section 3.21, Section Section 4.01 and Section Section 4.04 shall survive indefinitely. Subject to Article ARTICLE VI, all covenants and agreements of the parties contained herein shall survive the Closing indefinitely unless another period is explicitly specified herein. Notwithstanding the foregoing, any claims which are timely asserted in writing by notice from the non-breaching party to the breaching party prior to the expiration date of the applicable survival period shall not thereafter be barred by the expiration of the relevant representation or warranty and such claims shall survive until finally resolved.

 

Section 7.05 Tax Claims. Notwithstanding any other provision of this Agreement, the control of any claim, assertion, event, or proceeding in respect of Taxes of the Company (including, but not limited to, any such claim in respect of a breach of the representations and warranties in Section Section 3.19 hereof or any breach or violation of or failure to fully perform any covenant, agreement, undertaking, or obligation in Article ARTICLE VI) shall be governed exclusively by Article VI hereof.

 

Section 7.06 Cumulative Remedies. The rights and remedies provided for in this Article ARTICLE VII (and in Article VI) are cumulative and are in addition to and not in substitution for any other rights and remedies available at Law or in equity or otherwise.

 

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ARTICLE VIII MISCELLANEOUS

 

Section 8.01 Expenses. All costs and expenses incurred in connection with this Agreement and the transactions contemplated hereby shall be paid by the party incurring such costs and expenses.

 

Section 8.02 Notices. All notices, claims, demands, and other communications hereunder shall be in writing and shall be deemed to have been given: (a) when delivered by hand (with written confirmation of receipt); (b) when received by the addressee if sent by a nationally recognized overnight courier (receipt requested); (c) on the date sent by facsimile or email of a PDF document (with confirmation of transmission) if sent during normal business hours of the recipient, and on the next business day if sent after normal business hours of the recipient; or (d) on the third day after the date mailed, by certified or registered mail, return receipt requested, postage prepaid, if sent to the respective parties at the following addresses (or at such other address for a party as shall be specified in a notice given in accordance with this Section 8.02):

 

 

 

	 	If to Sellers:	In accordance with the schedules delivered by Sellers to the Buyer in connection with the Closing.
	 	 	 
	 	with a copy (which shall not constitute notice) to:	In accordance with the schedules delivered by Sellers to the Buyer in connection with the Closing
	 	 	 
	 	 	 
	 	If to Buyer:	GreenBox POS
	 	 	8880 Rio San Diego Drive, Suite 102
	 	 	San Diego, CA 92108
	 	 	Email:
	 	 	Attention: Lindsey Lee, VP Legal Affairs
	 	 	 
	 	with a copy (which shall not constitute notice) to:	Lucosky Brookman LLP
	 	 	101 Wood Avenue South
	 	 	Woodbridge, New Jersey 08830
	 	 	Facsimile: (732) 395-4401
	 	 	Email:
	 	 	Attention: Joseph M. Lucosky, Esq.

 

Section 8.03 Interpretation; Headings. This Agreement shall be construed without regard to any presumption or rule requiring construction or interpretation against the party drafting an instrument or causing any instrument to be drafted. The headings in this Agreement are for reference only and shall not affect the interpretation of this Agreement.

 

22

 

 

Section 8.04 Severability. If any term or provision of this Agreement is invalid, illegal, or unenforceable in any jurisdiction, such invalidity, illegality, or unenforceability shall not affect any other term or provision of this Agreement.

 

Section 8.05 Entire Agreement. This Agreement and the other Transaction Documents constitute the sole and entire agreement of the parties to this Agreement with respect to the subject matter contained herein and therein, and supersede all prior and contemporaneous understandings and agreements, both written and oral, with respect to such subject matter. In the event of any inconsistency between the statements in the body of this Agreement and those in the other Transaction Documents (and Exhibits, if any) and the Disclosure Schedules (other than an exception expressly set forth as such in the Disclosure Schedules), the statements in the body of this Agreement will control.

 

Section 8.06 Successors and Assigns. This Agreement shall be binding upon and shall inure to the benefit of the parties hereto and their respective successors and permitted assigns. Neither party may assign its rights or obligations hereunder without the prior written consent of the other party, which consent shall not be unreasonably withheld or delayed. No assignment shall relieve the assigning party of any of its obligations hereunder.

 

Section 8.07 Amendment and Modification; Waiver. This Agreement may only be amended, modified, or supplemented by an agreement in writing signed by each party hereto. No waiver by any party of any of the provisions hereof shall be effective unless explicitly set forth in writing and signed by the party so waiving. No failure to exercise, or delay in exercising, any right or remedy arising from this Agreement shall operate or be construed as a waiver thereof. No single or partial exercise of any right or remedy hereunder shall preclude any other or further exercise thereof or the exercise of any other right or remedy.

 

Section 8.08  Governing Law; Submission to Jurisdiction; Waiver of Jury Trial.

 

(a)    This Agreement, including all matters arising out of or relating to this Agreement shall be governed by and construed in accordance with the internal laws of the State of Illinois without giving effect to any choice or conflict of law provision or rule (whether of the State of Illinois or any other jurisdiction). Any legal suit, action, proceeding, or dispute arising out of or related to this Agreement, the other Transaction Documents, or the transactions contemplated hereby or thereby may be instituted in the federal courts of the United States of America or the courts of the State of Illinois in each case located in the city of Chicago, and each party irrevocably submits to the exclusive jurisdiction of such courts in any such suit, action, proceeding, or dispute.

 

(b)    EACH PARTY ACKNOWLEDGES AND AGREES THAT ANY CONTROVERSY WHICH MAY ARISE UNDER THIS AGREEMENT OR THE OTHER TRANSACTION DOCUMENTS IS LIKELY TO INVOLVE COMPLICATED AND DIFFICULT ISSUES AND, THEREFORE, EACH PARTY IRREVOCABLY AND UNCONDITIONALLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN ANY LEGAL ACTION, PROCEEDING, CAUSE OF ACTION, OR COUNTERCLAIM ARISING OUT OF OR RELATING TO THIS AGREEMENT, INCLUDING ANY

 

23

 

 

EXHIBITS AND SCHEDULES ATTACHED TO THIS AGREEMENT, THE OTHER TRANSACTION DOCUMENTS, OR THE TRANSACTIONS CONTEMPLATED HEREBY OR THEREBY. EACH PARTY CERTIFIES AND ACKNOWLEDGES THAT: (I) NO REPRESENTATIVE OF THE OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT THE OTHER PARTY WOULD NOT SEEK TO ENFORCE THE FOREGOING WAIVER IN THE EVENT OF A LEGAL ACTION;(II) EACH PARTY HAS CONSIDERED THE IMPLICATIONS OF THIS WAIVER; (III) EACH PARTY MAKES THIS WAIVER KNOWINGLY AND VOLUNTARILY; AND (IV) EACH PARTY HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION.

 

Section 8.09 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an original, but all of which together shall be deemed to be one and the same agreement. A signed copy of this Agreement delivered by email or other means of electronic transmission shall be deemed to have the same legal effect as delivery of an original signed copy of this Agreement.

 

 

 

[SIGNATURE PAGE FOLLOWS]

 

24

 

 

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as of the date first written above by their respective officers thereunto duly authorized.

 

	
			 

				
			SKY FINANCIAL AND INTELLIGENCE LLC

			
	 	
			(Seller)

			
	 	 
	 	 
	 	
			By:                                                                    

			
	 	
			Name: Kenneth Haller

			
	 	
			Title: Manager

			
	 	 
	
			 

				
			HIGHERGROUND CAPITAL LLC

			
	 	
			(Seller)

			
	 	 
	 	 
	 	By:                                                                    
	 	
			Name:

			
	 	
			Title: Manager

			
	 	 
	
			 

				
			JEFF NICKEL

			
	 	
			(Seller)

			
	 	 
	 	 
	 	By:                                                                    
	 	
			Name: Jeff Nickel

			
	 	 
	
			 

				
			CHARGE SAVVY LLC

			
	 	
			(Company)

			
	 	 
	 	 
	 	By:                                                                    
	 	
			Name: Kenneth Haller

			
	 	
			Title: CEO

			
	 	 
	
			 

				
			GREENBOX POS

			
	 	
			(Buyer)

			
	 	 
	 	 
	 	By:                                                                    
	 	
			Name: Ben Errez

			
	 	
			Title: Chairman

			

 

25

 

 

EXHIBIT A

 

DEFINITIONS CROSS-REFERENCE TABLE

 

The following terms have the meanings set forth in the location in this Agreement referenced below:

	
			Term

				
			Section

			
	
			Actions

				
			Section Section 3.14(a)

			
	
			Affiliate

				
			Section Section 3.13

			
	
			Agreement

				
			Preamble

			
	
			Balance Sheet

				
			Section Section 3.06

			
	
			Balance Sheet Date

				
			Section Section 3.06

			
	
			Benefit Plans

				
			Section Section 3.17(a)

			
	
			Buyer

				
			Preamble

			
	
			Buyer Common Stock

				
			Section 1.02(b)

			
	
			Buyer Indemnitees

				
			Section Section 7.01

			
	
			Closing

				
			Section Section 2.01

			
	
			Closing Date

				
			Section Section 2.01

			
	
			Code

				
			Section Section 2.02(d)

			
	
			Company

				
			Recitals

			
	
			Company Intellectual Property

				
			Section Section 3.11(b)

			
	
			Company IP Registrations

				
			Section Section 3.11(b)

			
	
			Contracts

				
			Section Section 3.05

			
	
			Disclosure Schedules

				
			Section Section 1.02

			
	
			Encumbrance

				
			Section Section 1.01

			
	
			Environmental Laws

				
			Section Section 3.16(a)

			
	
			ERISA

				
			Section Section 3.17(a)

			
	
			Financial Statements

				
			Section Section 3.06

			
	
			GAAP

				
			Section Section 3.06

			
	
			Governmental Authority

				
			Section Section 2.02(c)

			
	
			Governmental Order

				
			Section Section 3.05

			
	
			Hazardous Substances

				
			Section Section 3.16(a)

			
	
			Indemnified Party

				
			Section Section 7.03

			

 

 

 

 

	
			Indemnifying Party

				
			Section Section 7.03

			
	
			Insurance Policies

				
			Section Section 3.13

			
	
			Intellectual Property

				
			Section Section 3.11(a)

			
	
			Law

				
			Section Section 3.05

			
	
			Liabilities

				
			Section Section 3.07

			
	
			Losses

				
			Section Section 6.04

			
	
			Material Contracts

				
			Section Section 3.09(a)

			
	
			Material Customers

				
			Section Section 3.12(a)

			
	
			Material Suppliers

				
			Section Section 3.12(b)

			
	
			Membership Interests

				
			Recitals

			
	
			Permits

				
			Section Section 3.15(b)

			
	
			Person

				
			Section Section 3.03(b)

			
	
			Pre-Closing Tax Period

				
			Section Section 6.04

			
	
			Real Property

				
			Section Section 3.10(a)

			
	
			Representatives

				
			Section Section 5.01

			
	
			Restricted Business

				
			Section Section 5.02(a)

			
	
			Restricted Period

				
			Section Section 5.02(a)

			
	
			Securities Act

				
			Section Section 4.03

			
	
			Sellers

				
			Preamble

			
	
			Seller Indemnitees

				
			Section Section 7.02

			
	
			Straddle Period

				
			Section Section 6.01(a)

			
	
			Taxes

				
			Section Section 3.19(a)

			
	
			Tax Records

				
			Section Section 6.06

			
	
			Tax Returns

				
			Section Section 3.19(a)

			
	
			Territory

				
			Section Section 5.02(a)

			
	
			Transaction Documents

				
			Section Section 2.02(b)

			
	
			Union

				
			Section Section 3.18(b)

			

 

 

 

 

Disclosure Schedules

 

 

Schedule 3.02 Schedule

3.03(a) Schedule 3.03(c)

Schedule 3.09(a)

Schedule 3.10(a)

Schedule 3.10(b)

Schedule 3.11(b)

Schedule 3.12(a)

Schedule 3.12(b)

Schedule 3.13

Schedule 3.15(b) Schedule

3.17(a) Schedule 3.18(a)

 

 

 

 

Schedule § 3.02 Jurisdictions

 

 

 

 

 

 

27

 

 

Disclosure Schedule § 3.03(a) Membership Interests

 

	
			Sellers

				
			Membership Interests % of Total

			
	
			 

			 

			 

			 

			 

				 
	
			 

			 

			 

			 

				 
	
			 

			 

			 

			 

			 

				 

 

 

 

 

 

Disclosure Schedule § 3.03(c) Capitalization

 

 

 

 

 

 

 

 

 

Disclosure Schedule § 3.09(a) Material Contracts

 

 

 

 

 

 

 

 

 

Disclosure Schedule § 3.10(a) Real Property

 

 

 

 

 

 

 

 

 

Disclosure Schedule § 3.10(b) Real Property Encumbrances

 

 

 

 

 

 

 

 

 

Disclosure Schedule § 3.11(b) Intellectual Property

 

 

 

 

 

 

 

 

 

Disclosure Schedule § 3.12(a) Material Customers

 

 

 

 

 

 

 

 

 

Disclosure Schedule § 3.12(b) Material Suppliers

 

 

 

 

 

 

 

 

 

Disclosure Schedule § 3.13 Insurance

 

 

Insurance policies:

 

	
			Carrier

				
			Policy Type

				
			Policy #

			
	 	 	 
	 	 	 
	 	 	 
	 	 	 
	 	 	 
	 	 	 
	 	 	 

 

 

 

 

Disclosure Schedule § 3.15(b) Permits & Licenses

 

 

 

 

 

 

 

 

 

Disclosure Schedule § 3.17(a) Employee Benefit Plans

 

 

 

 

 

 

 

 

 

Disclosure Schedule § 3.18(a) Employees, Independent Contractors, & Consultants

 

Employees:

 

	
			Name

				
			Title/Position

				
			Hire Date

				
			Comp

				
			Contracts

				
			Fringe benefits

			

 

 

 

 

 

 

Independent contractors:

 

	
			Vendor

				
			Vendor Type

				
			Date

				
			Pay

				
			Contracts

				
			Fringe benefits

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