Document:

STOCK
PURCHASE AGREEMENT

 

by
and between

 

ZHOU
YINGYING, as Buyer,

 

and

 

IOAN
HOSSU, MIRCEA GEORGESCU

 

and

 

BRAD
HEBERT, as Selling Stockholders,

 

and

 

IHO-AGRO
INTERNATIONAL, INC., as the Company

 

    	 

    	 

    

 

STOCK
PURCHASE AGREEMENT

Dated
as of October 20, 2017

 

This
Stock Purchase Agreement (together with the Exhibits, Schedules and attachments hereto, this “Agreement”) is
entered into as of the date first set forth above (the “Effective Date”) by and between (i) ZHOU YINGYING,
an individual (and/or any successor or assign, “Buyer”) and (ii) IHO-AGRO INTERNATIOANAL, INC., a Nevada corporation
(the “Company”), (iii) IOAN HOSSU, an individual (“Hossu” or the “Controlling Stockholder”)),
MIRCEA GEORGESCU, an individual (“Georgescu”), and BRAD HEBERT, an individual (“Hebert;”
(and together with Hossu and Georgescu, a “Selling Stockholder” and collectively, the “Selling Stockholders”).
Each of the Company and the Selling Stockholders may be referred to collectively herein as the “Company Parties”
and individually as a “Company Party.” Each of Buyer and each Company Party may be referred to herein collectively
as the “Parties” and separately as a “Party.” Capitalized terms used herein without definition
are defined in Exhibit A to this Agreement.

 

RECITALS

 

WHEREAS,
the Selling Stockholders owns, or will own, beneficially and of record shares of the capital stock of the Company representing
88.65% of the Company’s issued and outstanding capital stock;

 

WHEREAS,
Buyer wishes to purchase from the Selling Stockholders, and the Selling Stockholders wish to sell (the “Purchase”),
the number of shares (the “Purchased Shares”) of common stock, par value $0.0001 per share (the “Common
Stock”), held by the Selling Stockholders set forth opposite their name as “Purchased Shares” on
Schedule 1 of this Agreement, which at or prior to Closing (as defined below) will represent 86.99% of the capital stock
of the Company on a fully diluted basis.

 

WHEREAS,
Buyer and the Selling Stockholders have entered into that certain Escrow Agreement dated as of September 22, 2017 (the “Escrow
Agreement”) pursuant to which Buyer has deposited Fifty Thousand Dollars ($50,000) (the “Deposit”)
into the trust account of Legal and Compliance, LLC, counsel to the Buyer (in such capacity, “Buyer’s Escrow Agent”),
and the Selling Stockholders have deposited, or will at or prior to Closing deposit, certificates representing the Purchased Shares,
together with stock powers duly executed in blank, medallion signature guaranteed, in form and substance legally sufficient to
transfer the Purchased Shares to Buyer with McMurdo Law Group, LLC, escrow agent to the Selling Stockholders and the Company (in
such capacity, “Sellers’ Escrow Agent”);

 

WHEREAS,
the Company is a reporting company under the Securities Exchange Act of 1934, as amended (the “Exchange Act”)
and its shares of Common Stock are registered under the Exchange Act; and

 

WHEREAS,
at or prior to the Closing of the Purchase the Company will have divested itself of all of its assets and all of its outstanding
cash, and had all of its outstanding liabilities assumed or otherwise satisfied.

 

NOW,
THEREFORE, on the stated premises and for and in consideration of the mutual covenants and agreements hereinafter set forth
and the mutual benefits to the Parties to be derived herefrom, and each Party intending to be legally bound hereby, it is hereby
agreed as follows:

 

    	 

    	 

    

 

Article
I.

PURCHASE
AND SALE OF THE PURCHASED SHARES

 

Section
1.01 The Purchase. On the terms and subject to the conditions set forth in this Agreement, on the Closing Date (as defined
below):

 

	 	(i)	the
    Selling Stockholders shall sell, assign, transfer and deliver to Buyer, free and clear of all liens, pledges, encumbrances,
    charges, restrictions or known claims of any kind, nature, or description, all of the Purchased Shares as set forth on Schedule
    1 to this Agreement by delivery of the original certificates representing the Purchased Shares or irrevocable letters
    of instruction to the Company’s transfer agent with respect to shares of Purchased Shares held in book entry form and/or
    stock powers duly executed in blank, with signatures medallion guaranteed, in each case, in form and substance acceptable
    to Buyer’s counsel, and legally sufficient to transfer ownership of the Purchased Shares to Buyer; and
	 	 	 
	 	(ii)	Buyer
    shall pay an aggregate of Three Hundred Thousand Dollars ($300,000), comprised of the Deposit (as defined below) and an additional
    Two Hundred Fifty Thousand Dollars ($250,000) (the “Closing Payment;” and together with the Deposit, the
    “Purchase Price”), payable by delivery of the Deposit and the Closing Payment, less Twenty Thousand Thousand
    Dollars ($20,000) (the “Escrow Deposit”) as set forth in the Restricted Escrow Agreement, to the Buyer’s
    Escrow Agent in accordance with the wire instructions included with the Escrow Agreement or as otherwise instructed by the
    Selling Stockholders in writing not less than forty eight (48) hours prior to the Closing Date.

 

	(b)	At
    or prior to the Closing, the Company will spin out all assets and liabilities, including but not limited to, those representing
    monetary obligations, fixed and contingent, and all contractual obligations related to the assets of the Company or otherwise
    (the terms of this Section 1.02(b), together with those of Section 1.02(a) are hereinafter referred to collectively as the
    “Spin Off”), as set forth in the spinout documents required as a condition to Closing set forth in Section
    5.02(a) below (the “Spin Off Documents”).
	 	 
	(c)	At
    the Closing, Buyer shall, on delivery by the Selling Stockholders of the documentation described in Section 1.01(a)(i) above,
    be recorded in the stock ledger of the Company as the record and beneficial owner of the Purchased Stock.
	 	 
	 	 
	(d)	The
    purchase and sale of the Purchased Shares as set forth in this Section 1.01, subject to the other terms and conditions herein,
    is referred to herein as the “Purchase.”

 

Section
1.02 Other Issuances. The Parties acknowledge and agree that, at or prior to the Closing, the capitalization of the Company,
including any and all outstanding options, warrants. convertible debt or other rights to acquire shares of capital stock, shall
be as set forth on Schedule 1.

 

    	2

    	 

    

 

Article
II.

CLOSING

 

	(a)	The
    Closing. The closing of the transactions contemplated by this Agreement (the “Closing”) shall occur
    on second (2nd) Business Day following the satisfaction or waiver (by the Party for whose benefit the conditions
    to exist) of the conditions to closing set forth in Article V, at the offices of Legal & Compliance, LLC, 330 Clematis
    Street, Suite 217, West Palm Beach, FL 33401, at 10:00 a.m. local time, or at such other date, time or place as the Parties
    may agree (the date and time at which the Closing is actually held being the “Closing Date”).

 

Section
2.02 Buyer Deliverables at the Closing.

 

At
the Closing, the Buyer shall deliver to the Selling Stockholders the Purchase Price, less the Escrow Deposit, as set forth in
Section 1.01(b)(ii), and shall deliver the Escrow Deposit to the escrow agent as provided in the Restricted Escrow Agreement.

 

Section
2.03 Company Deliverables at the Closing. At the Closing, the Company shall deliver to Buyer:

 

	(a)	a
    certificate of the Secretary of the Company, dated as of the Closing Date:

 

	 	(i)	attaching
    and certifying copies of the resolutions of each of the Board of Directors of the Company and the stockholders of the Company
    authorizing the execution, delivery and performance of this Agreement and the other documents referenced herein and the completion
    of the transactions contemplated herein;
	 	 	 
	 	(ii)	attaching
    a certificate of good standing and legal existence issued by the Secretary of State of the State of Nevada for the Company,
    dated as of a date within five (5) days of the Closing Date;
	 	 	 
	 	(iii)	certifying
    that the actions set forth in Section 6.06 have been completed; and
	 	 	 
	 	(iv)	confirming
    that (a) the representations and warranties of the Company herein were true and correct when made and are true and correct
    in all material respects (other than representations and warranties which are qualified as to materiality, which shall be
    true and correct in all respects) at the Closing Date with the same force and effect as if such representations and warranties
    were made at and as of the Closing Date, except for changes therein permitted by this Agreement and (b) the performance of
    and compliance by the Company with the Company’s covenants and obligations to be performed or complied with at or prior
    to the Closing;

 

	(b)	the
    resignations of the officers and directors of the Company pursuant to Section 6.06(b);
	 	 
	(c)	an
    executed copy of the Restricted Escrow Agreement; and
	 	 
	(d)	executed
    copies of the Spin Off Documents and such evidence as the Buyer may reasonably request to confirm the consummation of the
    Spin Off.

 

    	3

    	 

    

 

Section
2.04 Selling Stockholders Deliverables at the Closing. At the Closing, the Selling Stockholders shall deliver to the Buyer:

 

	(a)	the
    original stock certificates evidencing all of the Purchased Shares, free and clear of all Encumbrances, accompanied by duly
    executed stock powers with medallion signature guarantees, and/or irrevocable written instructions to the transfer agent or
    such other instruments of transfer duly executed in blank and with all required stock transfer stamps affixed, in form and
    substance satisfactory to Buyer, as required for the same to be transferred to the ownership of Buyer on the books of the
    Company; and
	 	 
	(b)	a
    certificate executed by each Selling Stockholder, dated as of the Closing Date, confirming that (a) the representations and
    warranties of such Selling Stockholders herein were true and correct when made and are true and correct in all material respects
    (other than representations and warranties which are qualified as to materiality, which shall be true and correct in all respects)
    at the Closing Date with the same force and effect as if such representations and warranties were made at and as of the Closing
    Date, except for changes therein permitted by this Agreement and (b) the performance of and compliance by such Selling Stockholder
    with each such Party’s covenants and obligations to be performed or complied with at or prior to the Closing;
	 	 
	(c)	an
    executed copy of the Restricted Escrow Agreement; and
	 	 
	(d)	executed
    copies of the Spin Off Documents and such evidence as the Buyer may reasonably request to confirm the consummation of the
    Spin Off.

 

Section
2.05 Conveyance Taxes. The Selling Stockholders will pay all sales, use, value added, transfer, stamp, registration, documentary,
excise, real property transfer or gains, or similar Taxes incurred as a result of the transactions contemplated by this Agreement.

 

Article
III.

REPRESENTATIONS
AND WARRANTIES OF THE COMPANY PARTIES

 

As
an inducement to, and to obtain the reliance of Buyer, the Company and the Controlling Stockholder, jointly and severally, and
Georgescu and Hebert, severally as to the representations set forth in Sections 3.03 and 3.07, represent and warrant to Buyer,
as of the Effective Date and as of the Closing Date, as follows:

 

Section
3.01 Corporate Existence and Power.

 

	(a)	The
    Company is a corporation duly organized, validly existing, and in good standing under the Laws of the State of Nevada, and
    has the corporate power and is duly authorized under all applicable Laws, regulations, ordinances, and orders of public authorities
    to carry on its business in all material respects as it is now being conducted. The Company is duly qualified to do business
    as a foreign corporation and is in good standing under the laws of each state or other jurisdiction in which either the ownership
    or use of the properties owned or used by it, or the nature of the activities conducted by it, requires such qualification.
    The Company has delivered to Buyer complete and correct copies of the organizational documents and the corporate minute books
    of the Company as in effect on the Effective Date (the “Company Organizational Documents”).

 

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	(b)	The
    Company has full corporate power and authority to carry on its businesses as it is now being conducted and as now proposed
    to be conducted and to own or lease its properties and assets. The Company does not have any subsidiaries or direct or indirect
    interest (by way of stock ownership or otherwise) in any firm, corporation, limited liability company, partnership, association
    or business.

 

Section
3.02 Due Authorization. The execution, delivery and performance of this Agreement
does not, and the consummation of the transactions contemplated hereby will not, violate any provision of the
Company Organizational Documents. The Company has taken all actions required
by Law, the Company Organizational Documents or otherwise to authorize the execution,
delivery and performance of this Agreement and to consummate the transactions herein contemplated.

 

Section
3.03 Valid Obligation. This Agreement and all agreements and other documents executed by a Company Party in connection
herewith constitute the valid and binding obligations of each respective Company Party, enforceable against each of them in accordance
with its or their respective terms, except as may be limited by the Enforceability Exceptions.

 

Section
3.04 Governmental Authorization. Neither the execution, delivery nor performance of this Agreement by any Company Party
requires any consent, approval, license or other action by or in respect of, or registration, declaration or filing with any Authority,
except for filings with the SEC post-closing to describe the transactions contemplated by this Agreement and as may related to
the matters contemplated by the Restricted Escrow Agreement.

 

Section
3.05 Authorized Shares and Capital. The authorized capital stock of the Company consists of 40,000,000 shares of capital
stock, all of which are shares of Common Stock, of which 36,209,002 shares are issued and outstanding. All of the issued and outstanding
shares of Common Stock are held as set forth in Schedule 1 to this Agreement.

 

	(b)	The
    Company has no outstanding options, warrants, convertible securities or other rights or commitments to issue shares of Common
    Stock or any other equity security of Company.
	 	 
	(c)	There
    is no voting trust, agreement or arrangement among any of the beneficial holders of Common Stock affecting the nomination
    or election of directors or the exercise of the voting rights of Common Stock.
	 	 
	(d)	The
    offer, issuance and sale of such shares of Common Stock were (a) exempt from the registration and prospectus delivery requirements
    of the Securities Act, (b) registered or qualified (or were exempt from registration or qualification) under the registration
    or qualification requirements of all applicable state securities or “Blue Sky” Law and (c) accomplished in conformity
    with all other applicable securities Laws. None of such shares of Common Stock are subject to a right of withdrawal or a right
    of rescission under any federal or state securities or “Blue Sky” Law.

 

Section
3.06 Validity of Shares. The Purchased Shares to be delivered to Buyer at the Closing are, and will be at Closing, duly
and validly issued, fully paid and non-assessable and free and clear of any Liens.

 

    	5

    	 

    

 

Section
3.07 Title to and Issuance of the Common Stock. Each of the Selling Stockholders is, and on the Closing Date will be, the
record and beneficial owner and holder of the Common Stock as set forth opposite such Selling Stockholder’s name on Schedule
1, free and clear of all Liens, and Schedule 1 is true and correct in all respects. None of the Common Stock is subject to pre-emptive
or any similar rights, either pursuant to any the Company Organizational Documents, requirement of Law or any contract, and no
Person has any pre-emptive rights or similar rights to purchase or receive any the Common Stock or other interests in the Company
from the Selling Stockholders.

 

Section
3.08 Subsidiaries and Predecessor Corporations. The Company does not have any predecessor corporation(s), or any subsidiaries,
and does not own, beneficially or of record, any shares or any interest in any other corporation or other business entity.

 

Section
3.09 Books and Records. The books and records, financial and otherwise, of the Company are in all material aspects complete
and correct and have been maintained in accordance with good business and accounting practices.

 

Section
3.10 Financial Statements.

 

	(a)	The
    Company has delivered to Buyer the (i) audited balance sheets of the Company as of December 31, 2015 and 2016 and the related
    audited income statements for the twelve (12) month periods then ended, together with the reports of MaloneBailey, LLP, independent
    public accountants, thereon, and (b) the unaudited balance sheet of the Company as of June 30, 2017 (the “Interim
    Balance Sheet”) and the related unaudited income statement for the six (6) months then ended (collectively, the
    “Financial Statements”).
	 	 
	(b)	The
    Financial Statements (a) are in accordance with the books and records of the Company, (b) were prepared in accordance with
    GAAP consistently applied and (c) present fairly in all material respects the financial condition of the Company at the dates
    therein specified and the results of its operations and changes in financial position for the periods therein specified. Except
    as disclosed, reflected or reserved against in the Interim Balance Sheet, or the SEC Reports (as defined below), the Company
    does not have any liabilities or obligations which are, individually or in the aggregate, material to the Company. Since the
    date of the Interim Balance Sheet, the Company has been operated in the ordinary course of business and consistent with past
    practices.

 

Section
3.11 Information. The information concerning the Company set forth in this Agreement,
the SEC Reports is complete and accurate in all material respects and does not contain any untrue statement of a material
fact or omit to state a material fact required to make the statements made, in light of the circumstances under which they were
made, not misleading. In addition, the Company has fully disclosed in writing to Buyer (through this Agreement) all information
relating to matters involving the Company or its assets or its present or past operations or activities which (i) indicated or
may indicate, in the aggregate, the existence of a greater than $5,000 liability, (ii) have led or may lead to a competitive disadvantage
on the part of the Company or (iii) either alone or in aggregation with other information covered by this Section 3.11, otherwise
have led or may lead to a Material Adverse Effect on the Company, its assets, or its operations or activities as presently conducted
or as contemplated to be conducted after the Closing Date, including, but not limited to, information relating to governmental,
employee, environmental, litigation and securities matters and transactions with affiliates.

 

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Section
3.12 Absence of Certain Changes or Events. Since the date of the Interim Balance Sheet: there has not been any Material
Adverse Change in the business, operations, properties, assets, or condition (financial or otherwise) of the Company;

 

	(b)	the
    Company has not (i) amended the Company Organizational Documents; (ii) declared or made, or agreed to declare or make, any
    payment of dividends or distributions of any assets of any kind whatsoever to stockholders or purchased or redeemed, or agreed
    to purchase or redeem, any of its shares; (iii) made any material change in its method of management, operation or accounting;
    (iv) entered into any other material transaction other than sales in the ordinary course of its business; or (v) made any
    increase in or adoption of any profit sharing, bonus, deferred compensation, insurance, pension, retirement, or other employee
    benefit plan, payment, or arrangement made to, for, or with its officers, directors, or employees; and
	 	 
	(c)	the
    Company has not (i) granted or agreed to grant any options, warrants or other rights for its stocks, bonds or other corporate
    securities calling for the issuance thereof, (ii) borrowed or agreed to borrow any funds or incurred, or become subject to,
    any material obligation or liability (absolute or contingent) except as disclosed herein and except liabilities incurred in
    the ordinary course of business; sold or transferred, or agreed to sell or transfer, any of its assets, properties, or rights
    or canceled, or agreed to cancel, any debts or claims; or (iv) issued, delivered, or agreed to issue or deliver any stock,
    bonds or other corporate securities including debentures (whether authorized and unissued or held as treasury stock) except
    in connection with this Agreement.

 

Section
3.13 Litigation and Proceedings. There are no actions, suits, proceedings, or investigations pending or, to the knowledge
of Hossu, after reasonable investigation, threatened by or against the Company or affecting the Company or its properties, at
law or in equity, before any court or other governmental agency or instrumentality, domestic or foreign, or before any arbitrator
of any kind. the Company does not have any knowledge of any material default on its part with respect to any judgment, order,
injunction, decree, award, rule, or regulation of any court, arbitrator, or governmental agency or instrumentality or of any circumstances
which, after reasonable investigation, would result in the discovery of such a default.

 

Section
3.14 Contracts.

 

	(a)	All
    Material Contracts to which the Company is a party or by which it or any of its assets, products, technology, or properties
    are bound other than those incurred in the ordinary course of business have been provided to Buyer.
	 	 
	(b)	All
    Material Contracts to which the Company is a party or by which its properties are bound and which are material to the operations
    of the Company taken as a whole are valid and enforceable by the Company in all respects, except as limited by the Enforceability
    Exceptions.
	 	 
	(c)	the
    Company is not a party to any oral or written (i) contract for the employment of any officer or employee; (ii) profit sharing,
    bonus, deferred compensation, stock option, severance pay, pension benefit or retirement plan, (iii) agreement, contract,
    or indenture relating to the borrowing of money, (iv) guaranty of any obligation; (vi) collective bargaining agreement; or
    (vii) agreement with any present or former officer or director of the Company.

 

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Section
3.15 Compliance with Laws and Regulations. To the knowledge of Hossu, after reasonable investigation, the Company has complied
with all applicable statutes and regulations of any provincial, federal, state, or other governmental entity or agency thereof,
except to the extent that noncompliance would not materially and adversely affect the business, operations, properties, assets,
or condition of the Company or except to the extent that noncompliance would not result in the occurrence of any material liability
for the Company.

 

Section
3.16 Taxes. Except for the Obligation (as defined in the Restricted Escrow Agreement, the Company has duly and punctually
paid all governmental fees and taxes which it has become liable to pay and has duly allowed for all taxes reasonably foreseeable
and is under no liability to pay any penalty or interest in connection with any claim for governmental fees or taxes and the Company
has made any and all proper declarations and returns for tax purposes and all information contained in such declarations and returns
is true and complete.

 

Section
3.17 Tax Returns and Audits. Except for the Obligation, all required federal, state and local Tax Returns of the Company
have been accurately prepared in all material respects and duly and timely filed, and all federal, provincial and local Taxes
required to be paid with respect to the periods covered by such returns have been paid to the extent that the same have become
due, except where the failure so to file or pay could not reasonably be expected to have a Material Adverse Effect on the Company.
Except for the Obligation, the Company is not and has not been delinquent in the payment of any Tax. Except with respect to the
Obligation, the Company has not had a Tax deficiency assessed against it and has not executed a waiver of any statute of limitations
or the assessment or collection of any Tax. None of the Company’s federal income, provincial and local income and franchise
tax returns has been audited by any Authority. The reserves for Taxes reflected on the Financial Statements and the amount of
the Escrow Deposit (as defined in the Restricted Escrow Agreement, are and will be sufficient for the payment of all unpaid Taxes
payable by the Company. Except with respect to the Obligation, the Company has not received any notice of any proposed audits,
investigations, claims or administrative proceedings relating to Taxes or any Tax Returns. The Company (i) is not a party to,
nor is it bound by or obligated under, any tax sharing agreements, and (ii) does not have any potential liability or obligation
to any Person as a result of, or pursuant to, any such tax sharing agreements. The Company has no liability for any other taxpayer
under U.S. Treasury Regulation 1.1502-6 or any other similar provision.

 

Section
3.18 Employees; Consultants; Agents. The Company does not have any employee, consultant or agent who has or does perform
services for or on behalf of the Company.

 

Section
3.19 Employee Benefit Plans; ERISA. There are no “employee benefit plans” (within the meaning of Section 3(3)
of ERISA) nor any other employee benefit or fringe benefit arrangements, practices, contracts, policies or programs other than
programs merely involving the regular payment of wages, commissions, or bonuses established, maintained or contributed to by the
Company, whether written or unwritten and whether or not funded. Any plans are hereinafter referred to as the “Company Employee
Benefit Plans.”

 

Section
3.20 Investment Company Act Status. The Company is not, and would not be but for the application of an applicable exemption,
an “investment company” for purposes of the Investment Company Act of 1940, as amended, or any rule or regulation
promulgated thereunder or any similar Law of any state or other jurisdiction applicable to it.

 

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Section
3.21 SEC Reports. The Company is current in all reports and other filings required to be made under the Exchange Act and
has not received any notice from the Securities Exchange Commission (the “SEC”) or with any other federal,
state other authority having jurisdiction over the Company or the Selling Stockholders that it is not in compliance in all material
respects with the registration, disclosure, filing or antifraud provisions of the Securities Act of 1933, as amended (the “Securities
Act”), the Exchange Act, or any state “Blue Sky” or the securities laws of any other applicable jurisdiction.
The annual, quarterly and other periodic reports and all other filings of the Company (“SEC Reports”) filed
or required to be filed by the Company with the SEC are complete and accurate in all material respects and do not contain any
untrue statement of a material fact or omit to state a material fact required to make the statements made, in light of the circumstances
under which they were made, not misleading.

 

Section
3.22 Brokerage. There are no claims for investment banking fees, brokerage commissions, finders’ fees, or similar
compensation in connection with the transactions contemplated by this Agreement based on any arrangement or agreement made by
or on behalf of the Company or any Selling Stockholder.

 

Article
IV.

REPRESENTATIONS
AND WARRANTIES OF THE BUYER

 

As
an inducement to, and to obtain the reliance of the Company and the Selling Stockholders, the Buyer represents and warrants to
the Company and the Selling Stockholders, as of the Effective Date and as of the Closing Date, as follows:

 

Section
4.01 Approval of Agreement. Buyer has authorized the execution and delivery of this Agreement by Buyer and has approved
this Agreement and the transactions contemplated hereby.

 

Section
4.02 Valid Obligation. This Agreement and all agreements and other documents executed by Buyer in connection herewith constitute
the valid and binding obligation of the Company, enforceable in accordance with its or their terms, except as may be limited by
the Enforceability Exceptions.

 

Section
4.03 Investment Representations.

 

	(a)	Investment
    Purpose. As of the Effective Date, Buyer understands and agrees that the consummation of this Agreement including the
    purchase and sale of the Purchased Shares to Buyer as contemplated hereby constitutes the offer and sale of securities under
    the Securities Act and applicable state statutes and that the Purchased Shares are being acquired for Buyer’s own account
    and not with a present view towards the public sale or distribution thereof, except pursuant to sales registered or exempted
    from registration under the Securities Act.
	 	 
	(b)	Investor
    Status. Buyer is an “accredited investor” as that term is defined in Rule 501(a) of Regulation D (an “Accredited
    Investor”). Buyer has been furnished with all documents and materials relating to the business, finances and operations
    of the Company and information that such Buyer requested and deemed material to making an informed decision regarding this
    Agreement and the underlying transactions.

 

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	(c)	Reliance
    on Exemptions. Buyer understands that the Purchased Shares are being offered and sold to Buyer in reliance upon specific
    exemptions from the registration requirements of United States federal and state securities Laws and that the Company is relying
    upon the truth and accuracy of, and Buyer’s compliance with, the representations, warranties, agreements, acknowledgments
    and understandings of Buyer set forth herein in order to determine the availability of such exemptions and the eligibility
    of Buyer to acquire the Purchased Shares.
	 	 
	(d)	Information.
    Buyer and his advisors have been furnished with all materials relating to the business, finances and operations of the Company
    and materials relating to the offer and sale of the Purchased Shares which have been requested by Buyer or his advisors. Buyer
    and its advisors, if any, have been afforded the opportunity to ask questions of the Company. Buyer understands that his investment
    in the Purchased Shares involves a significant degree of risk. Buyer is not aware of any facts that may constitute a breach
    of any of the Company’s representations and warranties made herein.
	 	 
	(e)	Governmental
    Review. Buyer understands that no United States federal or state agency or any other government or governmental agency
    has passed upon or made any recommendation or endorsement of the Purchased Shares.
	 	 
	(f)	Transfer
    or Resale. Buyer understands that (i) the sale or re-sale of the Purchased Shares has not been and is not being registered
    under the Securities Act or any applicable state securities Laws, and the Purchased Shares may not be transferred unless (a)
    the Purchased Shares are sold pursuant to an effective registration statement under the Securities Act, (b) Buyer shall have
    delivered to the Company, at the cost of Buyer, an opinion of counsel that shall be in form, substance and scope customary
    for opinions of counsel in comparable transactions to the effect that the Purchased Shares to be sold or transferred may be
    sold or transferred pursuant to an exemption from such registration, which opinion shall be accepted by the Company, (c) the
    Purchased Shares are sold or transferred to an “affiliate” (as defined in Rule 144 promulgated under the Securities
    Act (or a successor rule) (“Rule 144”)) of Buyer who agrees to sell or otherwise transfer the Purchased
    Shares only in accordance with this Section 3.04(f) and who is an Accredited Investor, (d) the Purchased Shares are sold pursuant
    to Rule 144 or (e) the Purchased Shares are sold pursuant to Regulation S under the Securities Act (or a successor rule) (“Regulation
    S”), and Buyer shall have delivered to the Company, at the cost of Buyer, an opinion of counsel that shall be in
    form, substance and scope customary for opinions of counsel in corporate transactions, which opinion shall be accepted by
    the Company; (ii) any sale of such Purchased Shares made in reliance on Rule 144 may be made only in accordance with the terms
    of said Rule and further, if said Rule is not applicable, any re-sale of such Purchased Shares under circumstances in which
    the seller (or the person through whom the sale is made) may be deemed to be an underwriter (as that term is defined in the
    Securities Act) may require compliance with some other exemption under the Securities Act or the rules and regulations of
    the SEC thereunder; and (iii) neither the Company nor any other person is under any obligation to register such Purchased
    Shares under the Securities Act or any state securities Laws or to comply with the terms and conditions of any exemption thereunder
    (in each case). Notwithstanding the foregoing or anything else contained herein to the contrary, the Purchased Shares may
    be pledged as collateral in connection with a bona fide margin account or other lending arrangement.

 

    	10

    	 

    

 

	(g)	Legends.
    Buyer understands that the Purchased Shares, until such time as the Purchased Shares have been registered under the Securities
    Act, or may be sold pursuant to Rule 144 or Regulation S without any restriction as to the number of securities as of a particular
    date that can then be immediately sold, the Purchased Shares may bear a standard Rule 144 legend and a stop-transfer order
    may be placed against transfer of the certificates for such Purchased Shares.

 

Section
4.04 Brokerage. There are no claims for investment banking fees, brokerage commissions, finders’ fees, or similar
compensation in connection with the transactions contemplated by this Agreement based on any arrangement or agreement made by
or on behalf of Buyer.

 

Article
V.

CONDITIONS
TO CLOSING

 

Section
5.01 Condition to the Obligations of all of the Parties. The obligations of all of the Parties to consummate the Closing
are subject to the satisfaction, or waiver by each of the Parties, at or before the Closing Date, of all the following conditions:

 

	(a)	no
    provisions of any applicable Law, and no Order shall prohibit or impose any condition on the consummation of the Closing;
	 	 
	(b)	there
    shall not be any Action brought by a third-party non-Affiliate to enjoin or otherwise restrict the consummation of the Closing;
    and
	 	 
	(c)	the
    Parties shall have received all necessary approvals from all required Authorities to consummate the transactions contemplated
    herein.

 

Section
5.02 Conditions to the Obligations of Buyer. The obligations of Buyer to consummate the Closing are subject to the satisfaction
(or waiver by Buyer), at or before the Closing Date, of the following conditions:

 

	(a)	the
    Company shall deliver to Buyer evidence, satisfactory to Buyer, that the Spinout has been consummated in accordance with the
    terms of the Spinout Documents.
	 	 
	(b)	Buyer
    shall have completed its due diligence investigation of the Company to the Buyer’s satisfaction in Buyer’s sole
    discretion;
	 	 
	(c)	the
    representations and warranties made by the Company and/or the Selling Stockholders in this Agreement shall have been true
    and correct when made and shall be true and correct in all material respects (other than representations and warranties which
    are qualified as to materiality, which shall be true and correct in all respects) at the Closing Date with the same force
    and effect as if such representations and warranties were made at and as of the Closing Date, except for changes therein permitted
    by this Agreement;
	 	 
	(d)	no
    Material Adverse Change shall have occurred in the business, assets, liabilities, results, financial condition, affairs or
    prospects of the Company from the Effective Date to the Closing;

 

    	11

    	 

    

 

	(e)	each
    of the Company Parties shall have performed or complied with all covenants and conditions required by this Agreement to be
    performed or complied with by such the Company Parties prior to or at the Closing;
	 	 
	(f)	no
    Order, statute, rule, regulation, executive order, injunction, stay, decree, judgment or restraining order shall have been
    enacted, entered, promulgated or enforced by any court or governmental or regulatory authority or instrumentality which prohibits
    the consummation of the transactions contemplated hereby;
	 	 
	(g)	all
    consents, approvals, waivers or amendments pursuant to all contracts, licenses, permits, trademarks and other intangibles
    in connection with the transactions contemplated herein, or for the continued operation of the Company after the Closing Date
    on the basis as presently operated shall have been obtained; and
	 	 
	(h)	the
    Company’ board of directors shall have approved this Agreement and the transactions contemplated herein.

 

Section
5.03 Condition to the Obligations of the Company Parties. The obligations of the Company Parties to consummate the Closing
are subject to the satisfaction (or waiver by any of the Company Parties), at or before the Closing Date, of the following conditions: 

 

	(a)	the
    Spin Off shall have been completed;
	 	 
	(b)	the
    Company Parties shall have completed their due diligence investigation of the Company to the Company Parties’ satisfaction
    in their sole discretion;
	 	 
	(c)	The
    representations and warranties made by the Company in this Agreement shall have been true and correct when made and shall
    be true and correct in all material respects (other than representations and warranties which are qualified as to materiality,
    which shall be true and correct in all respects) at the Closing Date with the same force and effect as if such representations
    and warranties were made at and as of the Closing Date, except for changes therein permitted by this Agreement;
	 	 
	(d)	the
    Company shall have performed or complied with all covenants and conditions required by this Agreement to be performed or complied
    with by the Company prior to or at the Closing;
	 	 
	(e)	no
    Order, statute, rule, regulation, executive order, injunction, stay, decree, judgment or restraining order shall have been
    enacted, entered, promulgated or enforced by any court or governmental or regulatory authority or instrumentality which prohibits
    the consummation of the transactions contemplated hereby;
	 	 
	(f)	the
    Company’s board of directors and the Company’s stockholders shall have approved this Agreement and the transactions
    contemplated herein; and
	 	 
	(g)	the
    Company or the Selling Stockholders, as applicable, shall have received the Purchase Price, less the Escrow Deposit, as set
    forth in Section 1.01(b)(ii).

 

    	12

    	 

    

 

Article
VI.

ADDITIONAL
COVENANTS OF THE PARTIES

 

Section
6.01 Access to Properties and Records. From the Effective Date until the Closing or the earlier termination of this Agreement
in accordance with its terms, each of the Company Parties will each afford to the officers and authorized representatives of Buyer
full access to the properties, books and records of the Company in order that Buyer may have a full opportunity to make such reasonable
investigation as it shall desire to make of the affairs of the other, and each will furnish Buyer with such additional financial
and operating data and other information as to the business and properties of the Company as Buyer shall from time to time reasonably
request.

 

Section
6.02 Delivery of Books and Records. At the Closing, the Company shall deliver to Buyer, the originals of the corporate
minute books, books of account, contracts, records, and all other books or documents of the Company now in the possession of the
Company or its representatives.

 

Section
6.03 Third Party Consents and Certificates. The Company Parties and Buyer agree to cooperate with each other in order to
obtain any required third-party consents to this Agreement and the transactions herein contemplated.

 

Section
6.04 Actions
Prior to Closing. From and after the Effective Date until the Closing Date, except as permitted or contemplated by this
Agreement, the Company Parties will each:

 

	(a)	carry
    on the business of the Company in substantially the same manner as it has heretofore;
	 	 
	(b)	maintain
    and keep the Company’s properties in states of good repair and condition as at present, except for depreciation due
    to ordinary wear and tear and damage due to casualty;
	 	 
	(c)	maintain
    in full force and effect insurance comparable in amount and in scope of coverage to that now maintained by the Company;
	 	 
	(d)	perform
    in all material respects all of the Company’s obligations under material contracts, leases, and instruments relating
    to or affecting its assets, properties, and business;
	 	 
	(e)	use
    their respective best efforts to maintain and preserve the business organization of the Company intact, to retain its key
    employees, and to maintain its relationship with its material suppliers and customers; and
	 	 
	(f)	fully
    comply with and perform in all material respects all obligations and duties imposed on it by all federal and state Laws (including
    without limitation, the federal securities Laws) and file timely all reports required by the Exchange Act, the SEC and other
    applicable securities regulators and all rules, regulations, and orders imposed by federal or state governmental authorities,
    including, but not limited to, the SEC.

 

Section
6.05 Limitations on Actions. From and after the Effective Date until the Closing Date, except as required by this Agreement,
the Company Parties will not, except as contemplated by this Agreement and the Spinout Documents, take any actions that have the
effect to:

 

	(a)	make
    any changes in the Company’s charter documents;
	 	 
	(b)	enter
    into or amend any contract, agreement, or other instrument, except that a Company Party may enter into or amend any of the
    Company’s contracts, agreements, or other instrument in the ordinary course of business involving the sale of goods
    or services; or
	 	 
	(c)	sell
    any assets or discontinue any operations, sell any shares of capital stock or conduct any similar transactions of the Company
    other than in the ordinary course of business.

 

    	13

    	 

    

 

Section
6.06 Actions at the Closing. As of the Closing,

 

	(a)	the
    Company Parties will direct the transfer agent of the Company to register Buyer as the record and beneficial owner of the
    Purchased Shares;
	 	 
	(b)	all
    officers and directors of the Company will resign and Buyer will appoint new officers and directors of the Company; and
	 	 
	(c)	the
    Company, the Company Parties shall execute, acknowledge, and deliver (or shall ensure to be executed, acknowledged, and delivered),
    any and all certificates, opinions, financial statements, schedules, agreements, resolutions, rulings or other instruments
    required by this Agreement to be so delivered at or prior to the Closing, together with such other items as may be reasonably
    requested by the Parties and their respective legal counsel in order to effectuate or evidence the transactions contemplated
    hereby.

 

Article
VII.

TERMINATION

 

Section
7.01 Termination. This Agreement may be terminated on or prior to the Closing Date: by the Company Parties (i) if the conditions
to Closing as set forth in Section 5.01 and Section 5.03 have not been satisfied or waived by the Company Parties, which waiver
the Company Parties may give or withhold in its sole discretion, by the Termination Date, provided, however, that
the Company Parties may not terminate this Agreement pursuant to this Section 7.01(a) if the reason for the failure of any such
condition to occur was the breach of the terms of this Agreement by the Company Parties; or (ii) or there has been a material
violation, breach or inaccuracy of any representation, warranty, covenant or agreement of any Company Party contained in this
Agreement, which violation, breach or inaccuracy would cause any of the conditions set forth in Sections 5.01 and 5.03 not to
be satisfied, and such violation, breach or inaccuracy has not been waived by Buyer or cured by the Company Parties, applicable,
within five (5) Business Days after receipt by Buyer of written notice thereof from the Company Parties or is not reasonably capable
of being cured prior to the Termination Date;

 

	(b)	by
    all of the Company Parties acting together (i) if the conditions to Closing as set forth in Section 5.01 and Section 5.03
    have not been satisfied or waived by the Company Parties, which waiver the Company Parties may give or withhold in their sole
    discretion, by the Termination Date, provided, however, that the Company Parties may not terminate this Agreement
    pursuant to this Section 7.01(b) if the reason for the failure of any such condition to occur was the breach of the terms
    of this Agreement by any of the Company Parties; or (ii) or there has been a material violation, breach or inaccuracy of any
    representation, warranty, covenant or agreement of the Company contained in this Agreement, which violation, breach or inaccuracy
    would cause any of the conditions set forth in Section 5.03 not to be satisfied, and such violation, breach or inaccuracy
    has not been waived by Buyer or cured by the Company Parties, as applicable, within five (5) Business Days after receipt by
    the Company Parties of written notice thereof from Buyer or is not reasonably capable of being cured prior to the Termination
    Date;

 

    	14

    	 

    

 

	(c)	by
    any Party, if a court of competent jurisdiction or other Authority shall have issued an order or taken any other action permanently
    restraining, enjoining or otherwise prohibiting the transactions contemplated under this Agreement and such order or action
    shall have become final and nonappealable;
	 	 
	(d)	by
    Buyer, for any reason other than as listed in Sections 7.01(b), (c) and (d); or
	 	 
	(e)	by
    the Company Parties, for its convenience, subject to compliance with Section 7.02(b) as a condition precedent to its right
    to so terminate.

 

Section
7.02 Payments on Termination. If this Agreement is terminated by:

 

	(a)	Buyer
    pursuant to Section 7.01(e), or by the Company Parties pursuant to clause (ii) of Section 7.01(c), then Buyer shall pay to
    Selling Stockholders the Deposit.
	 	 
	(b)	the
    Company Parties pursuant to Section 7.01(f), or by Buyer pursuant to clause (ii) of Section 7.01(b), then there shall be no
    further obligation to pay the Deposit to the Selling Stockholders.

 

Section
7.03 Survival After Termination. If this Agreement is terminated by in accordance with Section 7.01, this Agreement shall
become void and of no further force and effect with no liability to any Person on the part of any Party hereto (or any officer,
agent, employee, direct or indirect holder of any equity interest or securities, or Affiliates of any Party); provided, however,
that this Section 7.03, Article VIII and Article X shall survive the termination of this Agreement and nothing herein shall relieve
any Party from any liability for fraud or any willful and material breach of the provisions of this Agreement prior to the termination
of this Agreement.

 

Article
VIII.

INDEMNIFICATION

 

Section
8.01 Indemnification of the Buyer. The Company and the Controlling Stockholder, jointly and severally, and Georgescu and
Hebert, severally, to the extent of the representations made by them in Sections 3.03 and 3.07 (the “Buyer Indemnifying
Parties”), each hereby agree to indemnify and hold harmless to the fullest extent permitted by applicable law Buyer,
each of his Affiliates and each of his and their respective members, managers, partners, directors, officers, employees, stockholders,
attorneys and agents and permitted assignees (each a “Buyer Indemnified Party”), against and in respect of
any and all out-of-pocket loss, cost, payments, demand, penalty, forfeiture, expense, liability, judgment, deficiency or damage,
and diminution in value or claim (including actual costs of investigation and attorneys’ fees and other costs and expenses)
(all of the foregoing collectively, “Losses”) incurred or sustained by any Buyer Indemnified Party as a result
of or in connection with any breach, inaccuracy or nonfulfillment or the alleged breach, inaccuracy or nonfulfillment of any of
the representations, warranties, covenants and agreements of the Buyer Indemnified Parties contained herein or in any of the additional
agreements or any certificate or other writing delivered pursuant hereto.

 

    	15

    	 

    

 

Section
8.02 Indemnification of the Company. The Controlling Stockholder (the “Company Indemnifying Party;”
and together with the Buyer Indemnifying Parties, the “Indemnifying Parties”), each hereby agrees to indemnify
and hold harmless to the fullest extent permitted by applicable law the Company and each of its officers, directors, employees,
stockholders, attorneys and agents and permitted assignees (each a “Company Indemnified Party;” and together
with the Buyer Indemnified Party, the “Indemnified Parties”), against and in respect of any and all Losses
incurred or sustained by any the Company Indemnified Parties as a result of or in connection with any breach, inaccuracy or nonfulfillment
or the alleged breach, inaccuracy or nonfulfillment of any of the representations, warranties, covenants and agreements of the
Company Parties contained herein or in any of the additional agreements or any certificate or other writing delivered pursuant
hereto.

 

Section
8.03 Expiration and Time Limit.

 

	(a)	In
    the event that the Closing occurs, the obligations of the Buyer Indemnifying Parties, including the Selling Stockholders,
    under Section 8.01 and Section 8.02 shall expire and be of no further force or effect, other than as set forth in Section
    8.03(b), as applicable.
	 	 
	(b)	Notwithstanding
    Section 8.03(a) the obligations of the Buyer Indemnifying Parties under Section 8.01 with respect to any breaches of the representations
    and warranties in Article II and with respect to any breaches by the Company Parties of the representations of the Company
    Parties in Section 10.01 shall survive the Closing for a period of two (2) years from the Closing Date and any indemnification
    claim asserted in accordance with the provisions of this Section 8.03(b) which remains unresolved as of such time shall survive
    and continue until such claim is resolved and paid, if applicable, provided, however, that in the case of indemnification
    obligations of the Buyer Indemnifying Parties under Section 8.01 with respect to any breaches of the representations and warranties
    in Section 3.07, such indemnification obligations of the Selling Stockholders shall be several and not joint, with each the
    Selling Stockholder only being required to indemnify the Buyer Indemnified Parties for any Losses resulting from a breach
    of the representations and warranties in Section 3.07 by such Selling Stockholder.

 

Section
8.04 Procedure. The following shall apply with respect to all claims by any the Company Indemnified Party or the Company
Indemnified Party for indemnification:

 

	(a)	An
    Indemnified Party shall give the Indemnifying Party prompt notice (an “Indemnification Notice”) of any
    third-party Action with respect to which such indemnified Party seeks indemnification pursuant to Section 8.01 or Section
    8.02 (a “Third-Party Claim”), which shall describe in reasonable detail the Loss that has been or may be
    suffered by the Indemnified Party. The failure to give the Indemnification Notice shall not impair any of the rights or benefits
    of such Indemnified Party under Section 8.01 or Section 8.02, except to the extent such failure materially and adversely affects
    the ability of the Indemnifying Party to defend such claim or increases the amount of such liability.
	 	 
	(b)	In
    the case of any Third-Party Claims as to which indemnification is sought by any Indemnified Party, such Indemnified Party
    shall be entitled, at the sole expense and liability of the Indemnifying Party, to exercise full control of the defense, compromise
    or settlement of any Third-Party Claim unless the Indemnifying Party, within a reasonable time after the giving of an Indemnification
    Notice by the Indemnified Party (but in any event within ten (10) days thereafter), shall (i) deliver a written confirmation
    to such Indemnified Party that the indemnification provisions of Section 8.01 or Section 8.02 are applicable to such Action
    and the Indemnifying Party will indemnify such Indemnified Party in respect of such Action pursuant to the terms of this Article
    VIII and, notwithstanding anything to the contrary, shall do so without asserting any challenge, defense, limitation on the
    Indemnifying Party’s liability for Losses, counterclaim or offset, (ii) notify such Indemnified Party in writing of
    the intention of the Indemnifying Party to assume the defense thereof, and (iii) retain legal counsel reasonably satisfactory
    to such Indemnified Party to conduct the defense of such Third-Party Claim.

 

    	16

    	 

    

 

	(c)	If
    the Indemnifying Party assumes the defense of any such Third-Party Claim pursuant to Section 8.04(b), then the Indemnified
    Party shall cooperate with the Indemnifying Party in any manner reasonably requested in connection with the defense, and the
    Indemnified Party shall have the right to be kept fully informed by the Indemnifying Party and their legal counsel with respect
    to the status of any legal proceedings, to the extent not inconsistent with the preservation of attorney-client or work product
    privilege. If the Indemnifying Party so assumes the defense of any such Third-Party Claim, the Indemnified Party shall have
    the right to employ separate counsel and to participate in (but not control) the defense, compromise, or settlement thereof,
    but the fees and expenses of such counsel employed by the Indemnified Party shall be at the expense of such Indemnified Party
    unless (i) the Indemnifying Party has agreed to pay such fees and expenses, or (ii) the named parties to any such Third-Party
    Claim (including any impleaded parties) include an Indemnified Party and the Indemnifying Party and the Indemnified Party
    shall have been advised by its counsel that there may be a conflict of interest between such Indemnified Party and the Indemnifying
    Party in the conduct of the defense thereof, and in any such case the reasonable fees and expenses of such separate counsel
    shall be borne by the Indemnifying Party.
	 	 
	(d)	If
    the Indemnifying Party elects to assume the defense of any Third-Party Claim pursuant to Section 8.04(b), the Indemnified
    Party shall not pay, or permit to be paid, any part of any claim or demand arising from such asserted liability unless the
    Indemnifying Party withdraws from or fails to vigorously prosecute the defense of such asserted liability, or unless a judgment
    is entered against the Indemnified Party for such liability. If the Indemnifying Party does not elect to defend, or if, after
    commencing or undertaking any such defense, the Indemnifying Party fails to adequately prosecute or withdraw such defense,
    the Indemnified Party shall have the right to undertake the defense or settlement thereof, at the Indemnifying Party’s
    expense. Notwithstanding anything to the contrary, the Indemnifying Party shall not be entitled to control, but may participate
    in, and the Indemnified Party (at the expense of the Indemnifying Parties) shall be entitled to have sole control over, the
    defense or settlement of (x) that part of any Third Party Claim (i) that seeks a temporary restraining order, a preliminary
    or permanent injunction or specific performance against the Indemnified Party, or (ii) to the extent such Third Party Claim
    involves criminal allegations against the Indemnified Party or (y) the entire Third Party Claim if such Third Party Claim
    would impose liability on the part of the Indemnified Party. In the event the Indemnified Party retains control of the Third-Party
    Claim, the Indemnified Party will not settle the subject claim without the prior written consent of the Indemnifying Party,
    which consent will not be unreasonably withheld or delayed.
	 	 
	(e)	If
    the Indemnified Party undertakes the defense of any such Third-Party Claim pursuant to Section 8.04(b) and proposes to settle
    the same prior to a final judgment thereon or to forgo appeal with respect thereto, then the Indemnified Party shall give
    the Indemnifying Party prompt written notice thereof and the Indemnifying Party shall have the right to participate in the
    settlement, assume or reassume the defense thereof or prosecute such appeal, in each case at the Indemnifying Party’s
    expense. The Indemnifying Party shall not, without the prior written consent of such Indemnified Party settle or compromise
    or consent to entry of any judgment with respect to any such Third-Party Claim (i) in which any relief other than the payment
    of money damages is or may be sought against such Indemnified Party, (ii) in which such Third Party Claim could be reasonably
    expected to impose or create a monetary liability on the part of the Indemnified Party (such as an increase in the Indemnified
    Party’s income Tax) other than the monetary claim of the third party in such Third-Party Claim being paid pursuant to
    such settlement or judgment, or (iii) which does not include as an unconditional term thereof the giving by the claimant,
    person conducting such investigation or initiating such hearing, plaintiff or petitioner to such Indemnified Party of a release
    from all liability with respect to such Third-Party Claim and all other Actions (known or unknown) arising or which might
    arise out of the same facts.

 

    	17

    	 

    

 

Section
8.05 Periodic Payments. Any indemnification required by this Article VIII for costs, disbursements or expenses of any Indemnified
Party in connection with investigating, preparing to defend or defending any Action shall be made by periodic payments by the
Indemnifying Party to each Indemnified Party during the course of the investigation or defense, as and when bills are received
or costs, disbursements or expenses are incurred.

 

Section
8.06 Insurance.
Any indemnification payments hereunder shall take into account any insurance proceeds or other third-party reimbursement actually
received.

 

Article
IX.

DISPUTE
RESOLUTION

 

Section
9.01 Arbitration.

 

	(a)	The
    Parties shall promptly submit any dispute, claim, or controversy arising out of or relating to this Agreement (including with
    respect to the meaning, effect, validity, termination, interpretation, performance, or enforcement of this Agreement) or any
    alleged breach thereof (including any action in tort, contract, equity, or otherwise), to binding arbitration before one arbitrator
    (the “Arbitrator”). Binding arbitration shall be the sole means of resolving any dispute, claim, or controversy
    arising out of or relating to this Agreement (including with respect to the meaning, effect, validity, termination, interpretation,
    performance or enforcement of this Agreement) or any alleged breach thereof (including any claim in tort, contract, equity,
    or otherwise).
	 	 
	(b)	If
    the Parties cannot agree upon the Arbitrator within ten (10) Business Days of the commencement of the efforts to so agree
    on an Arbitrator, each of the Parties shall select one arbitrator and the two arbitrators so selected shall select the Arbitrator.
	 	 
	(c)	The
    laws of the State of Florida shall apply to any arbitration hereunder. In any arbitration hereunder, this Agreement and any
    agreement contemplated hereby shall be governed by the laws of the State of Florida applicable to a contract negotiated, signed,
    and wholly to be performed in the State of Florida, which laws the Arbitrator shall apply in rendering his or her decision.
    The Arbitrator shall issue a written decision, setting forth findings of fact and conclusions of law, within sixty (60) days
    after he or she shall have been selected. The Arbitrator shall have no authority to award punitive or other exemplary damages.
	 	 
	(d)	The
    arbitration shall be held in Palm Beach County, Florida in accordance with and under the then-current provisions of the rules
    of the American Arbitration Association, except as otherwise provided herein.

 

    	18

    	 

    

 

	(e)	On
    application to the Arbitrator, any Party shall have rights to discovery to the same extent as would be provided under the
    Federal Rules of Civil Procedure, and the Federal Rules of Evidence shall apply to any arbitration under this Agreement; provided,
    however, that the Arbitrator shall limit any discovery or evidence such that his decision shall be rendered within the period
    referred to in Section 9.01(c).
	 	 
	(f)	The
    Arbitrator may, at his or her discretion and at the expense of the Party who will bear the cost of the arbitration, employ
    experts to assist him or her in his or her determinations.
	 	 
	(g)	The
    costs of the arbitration proceeding and any proceeding in court to confirm any arbitration award or to obtain relief, as applicable
    (including actual attorneys’ fees and costs), shall be borne by the unsuccessful Party and shall be awarded as part
    of the Arbitrator’s decision, unless the Arbitrator shall otherwise allocate such costs in such decision. The determination
    of the Arbitrator shall be final and binding upon the Parties and not subject to appeal.
	 	 
	(h)	Any
    judgment upon any award rendered by the Arbitrator may be entered in and enforced by any court of competent jurisdiction.
    The Parties expressly consent to the non-exclusive jurisdiction of the courts (Federal and state) in Palm Beach County, Florida
    to enforce any award of the Arbitrator or to render any provisional, temporary, or injunctive relief in connection with or
    in aid of the Arbitration. The Parties expressly consent to the personal and subject matter jurisdiction of the Arbitrator
    to arbitrate any and all matters to be submitted to arbitration hereunder. None of the Parties hereto shall challenge any
    arbitration hereunder on the grounds that any party necessary to such arbitration (including the Parties) shall have been
    absent from such arbitration for any reason, including that such Party shall have been the subject of any bankruptcy, reorganization,
    or insolvency proceeding.

 

Section
9.02 Waiver of Jury Trial; Exemplary Damages.

 

	(a)	EACH
    PARTY HERETO HEREBY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN
    ANY LEGAL PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED,
    INCLUDING THE TERM SHEET, OR ESCROW AGREEMENT, THE PERFORMANCE THEREOF OR THE TRANSACTIONS CONTEMPLATED THEREBY (WHETHER BASED
    ON CONTRACT, TORT OR ANY OTHER THEORY). EACH PARTY HERETO (A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER
    PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE
    THE FOREGOING WAIVER AND (B) ACKNOWLEDGES THAT IT AND THE OTHER PARTIES HERETO HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT
    BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS Section 9.02(a).
	 	 
	(b)	Each
    of the Parties acknowledge that each has been represented in connection with the signing of this waiver by independent legal
    counsel selected by the respective Party and that such Party has discussed the legal consequences and import of this waiver
    with legal counsel. Each of the Parties further acknowledge that each has read and understands the meaning of this waiver
    and grants this waiver knowingly, voluntarily, without duress and only after consideration of the consequences of this waiver
    with legal counsel.

 

    	19

    	 

    

 

Article
X.

MISCELLANEOUS

 

Section
10.01 Brokers. Buyer and the Company Parties agree that there were no finders or brokers involved in bringing the Parties
together or who were instrumental in the negotiation, execution or consummation of this Agreement. Buyer and the Company Parties
each agree to indemnify the other against any claim by any third person other than those described above for any commission, brokerage,
or finder’s fee arising from the transactions contemplated hereby based on any alleged agreement or understanding between
the Indemnifying Party and such third person, whether express or implied from the actions of the Indemnifying Party.

 

Section
10.02 Governing Law. This Agreement shall be governed by, enforced, and construed under and in accordance with the Laws
of the State of Florida, without giving effect to the principles of conflicts of law thereunder. Each of the Parties (a) irrevocably
consents and agrees that any legal or equitable action or proceedings arising under or in connection with this Agreement shall
be brought exclusively in the state or federal courts of the United States with jurisdiction in Palm Beach County, Florida. By
execution and delivery of this Agreement, each Party hereto irrevocably submits to and accepts, with respect to any such action
or proceeding, generally and unconditionally, the jurisdiction of the aforesaid courts, and irrevocably waives any and all rights
such Party may now or hereafter have to object to such jurisdiction.

 

Section
10.03 Notices.

 

	(a)	Any
    notice or other communications required or permitted hereunder shall be in writing and shall be sufficiently given if personally
    delivered to it or sent by email with return receipt requested and received, overnight courier or registered mail or certified
    mail, postage prepaid, addressed as follows:

 

If
to Buyer:

 

Zhou
Yingying

Room
1816, Apartment Li Xiang Di

Tianhe
District, Guangzhou City - China

Email:
contact@chronosinvestments.com

 

With
a copy, which shall not constitute notice, to:

 

Legal
& Compliance, LLC

Attn:
Laura Anthony

330
Clematis Street, Suite 217

West
Palm Beach, FL 33401

Email:
LAnthony@legalandcompliance.com

 

    	20

    	 

    

 

If
to the Company:

 

IHO-Agro
International, Inc.

3101
Portofino Point

Unit
04

Coconut
Creek, Florida 33066

Attn:
Ioan Hossu

Email:
ioan.hossu&gmail.com

 

With
a copy, which shall not constitute notice, to:

 

Lucosky
Brookman LLP

Attn:
Joseph Lucosky

101
Wood Avenue South, 5th Floor

Woodbridge,
NJ 08830

Email:
jlucosky@lucbro.com

 

If
to any of the Selling Stockholders, to the address as set forth below their signatures on the signature page hereof.

 

With
a copy, in the case of the Company or any of the Selling Stockholders, which copy shall not constitute notice, to:

 

Lucosky
Brookman LLP

Attn:
Joseph Lucosky

101
Wood Avenue South, 5th Floor

Woodbridge,
NJ 08830

Email:
jlucosky@lucbro.com

 

	(b)	Any
    Party may change its address for notices hereunder upon notice to each other Party in the manner for giving notices hereunder.
	 	 
	(c)	Any
    notice hereunder shall be deemed to have been given (i) upon receipt, if personally delivered, (ii) on the day after dispatch,
    if sent by overnight courier, (iii) upon dispatch, if transmitted by email with return receipt requested and received and
    (iv) three (3) days after mailing, if sent by registered or certified mail.

 

Section
10.04 Attorneys’ Fees. In the event that any Party institutes any action or suit to enforce this Agreement or to
secure relief from any default hereunder or breach hereof, the prevailing Party shall be reimbursed by the losing Party for all
costs, including reasonable attorneys’ fees, incurred in connection therewith and in enforcing or collecting any judgment
rendered therein.

 

    	21

    	 

    

 

Section
10.05 Confidentiality. Each Party agrees that, unless and until the transactions contemplated by this Agreement have been
consummated, it and its representatives will hold in strict confidence all data and information obtained with respect to another
Party or any subsidiary thereof from any representative, officer, director or employee, or from any books or records or from personal
inspection, of such other Party, and shall not use such data or information or disclose the same to others, except (i) to the
extent such data or information is published, is a matter of public knowledge, or is required by Law to be published; or (ii)
to the extent that such data or information must be used or disclosed in order to consummate the transactions contemplated by
this Agreement. In the event of the termination of this Agreement, each Party shall return to the applicable other Party all documents
and other materials obtained by it or on its behalf and shall destroy all copies, digests, work papers, abstracts or other materials
relating thereto, and each Party will continue to comply with the confidentiality provisions set forth herein.

 

Section
10.06 Public Announcements and Filings. Unless required by applicable Law or regulatory authority, none of the Parties
will issue any report, statement or press release to the general public, to the trade, to the general trade or trade press, or
to any third party (other than its advisors and representatives in connection with the transactions contemplated hereby) or file
any document, relating to this Agreement and the transactions contemplated hereby, except as may be mutually agreed by the Parties.
Copies of any such filings, public announcements or disclosures, including any announcements or disclosures mandated by Law or
regulatory authorities, shall be delivered to each Party at least one (1) business day prior to the release thereof.

 

Section
10.07 Schedules; Knowledge. Each Party is presumed to have full knowledge of all information set forth in the other Party’s
schedules delivered pursuant to this Agreement.Third Party Beneficiaries. This contract is strictly between Buyer, the Company
and the Selling Stockholders and, except as specifically provided, no other Person and no director, officer, stockholder (other
than the Company Stockholders), employee, agent, independent contractor or any other Person shall be deemed to be a third-party
beneficiary of this Agreement.

 

Section
10.09 Expenses. Subject to Section 10.04, whether or not the Purchase is consummated, each of Buyer, the Company and the
Selling Stockholders will bear their own respective expenses, including legal, accounting and professional fees, incurred in connection
with the Purchase or any of the other transactions contemplated hereby.Entire Agreement; Definitions; Interpretation. This Agreement
represents the entire agreement between the Parties relating to the subject matter thereof and supersedes all prior agreements,
understandings and negotiations, written or oral, with respect to such subject matter. Defined terms used herein without definition
shall have the meaning given in Exhibit A. Unless the express context otherwise requires: the words “hereof,”
“herein,” and “hereunder” and words of similar import, when used in this Agreement, shall refer to this
Agreement as a whole and not to any particular provision of this Agreement;

 

	(b)	terms
    defined in the singular shall have a comparable meaning when used in the plural, and vice versa;
	 	 
	(c)	the
    terms “Dollars” and “$” mean United States Dollars;
	 	 
	(d)	references
    herein to a specific Section, Section, Recital, Schedule or Exhibit shall refer, respectively, to Sections, Sections, Recitals,
    Schedules or Exhibits of this Agreement;
	 	 
	(e)	wherever
    the word “include,” “includes,” or “including” is used in this Agreement, it shall be
    deemed to be followed by the words “without limitation”;
	 	 
	(f)	references
    herein to any gender shall include each other gender;
	 	 
	(g)	references
    herein to any Person shall include such Person’s heirs, executors, personal representatives, administrators, successors
    and assigns; provided, however, that nothing contained in this Section 10.10 is intended to authorize any assignment
    or transfer not otherwise permitted by this Agreement;

 

    	22

    	 

    

 

	(h)	references
    herein to a Person in a particular capacity or capacities shall exclude such Person in any other capacity;
	 	 
	(i)	references
    herein to any contract or agreement (including this Agreement) mean such contract or agreement as amended, supplemented or
    modified from time to time in accordance with the terms thereof;
	 	 
	(j)	with
    respect to the determination of any period of time, the word “from” means “from and including” and
    the words “to” and “until” each means “to but excluding”;
	 	 
	(k)	references
    herein to any Law or any license mean such Law or license as amended, modified, codified, reenacted, supplemented or superseded
    in whole or in part, and in effect from time to time; and
	 	 
	(l)	references
    herein to any Law shall be deemed also to refer to all rules and regulations promulgated thereunder.

 

Section
10.11 Survival; Termination. The covenants of the respective Parties, and the representations and warranties in Section
3.22, Section 4.04 and Section 10.01, shall survive the Closing Date and the consummation of the transactions herein contemplated
for a period of two years, and all other representations and warranties shall not survive the Closing Date.

 

Section
10.12 Amendment; Waiver; Remedies; Agent. At any time prior to the Closing Date, this Agreement may be amended, modified,
superseded, terminated or cancelled, and any of the terms, covenants, representations, warranties or conditions hereof may be
waived, only by a written instrument executed by all of the Parties hereto.

 

	(b)	Every
    right and remedy provided herein shall be cumulative with every other right and remedy, whether conferred herein, at law,
    or in equity, and may be enforced concurrently herewith, and no waiver by any Party of the performance of any obligation by
    the other shall be construed as a waiver of the same or any other default then, theretofore, or thereafter occurring or existing.
	 	 
	(c)	Neither
    any failure or delay in exercising any right or remedy hereunder or in requiring satisfaction of any condition herein nor
    any course of dealing shall constitute a waiver of or prevent any Party from enforcing any right or remedy or from requiring
    satisfaction of any condition. No notice to or demand on a Party waives or otherwise affects any obligation of that Party
    or impairs any right of the Party giving such notice or making such demand, including any right to take any action without
    notice or demand not otherwise required by this Agreement. No exercise of any right or remedy with respect to a breach of
    this Agreement shall preclude exercise of any other right or remedy, as appropriate to make the aggrieved Party whole with
    respect to such breach, or subsequent exercise of any right or remedy with respect to any other breach.
	 	 
	(d)	Notwithstanding
    anything else contained herein, no Party shall seek, nor shall any Party be liable for, consequential, punitive or exemplary
    damages, under any tort, contract, equity, or other legal theory, with respect to any breach (or alleged breach) of this Agreement
    or any provision hereof or any matter otherwise relating hereto or arising in connection herewith.

 

    	23

    	 

    

 

	(e)	For
    purposes of this Agreement, each of the Selling Stockholders hereby appoint the Company as his, her or its agent and attorney-in-fact
    to make and execute and any all such amendments, modifications, supplements, termination and waivers and hereby acknowledge
    and agree that a decision by the Company shall be final, binding and conclusive on such the Selling Stockholders, as the case
    may be, and that the other Parties may rely upon any act, decision, consent or instruction of the Company.

 

Section
10.13 Arm’s Length Bargaining; No Presumption Against Drafter. This Agreement has been negotiated at arm’s-length
by parties of equal bargaining strength, each represented by counsel or having had but declined the opportunity to be represented
by counsel and having participated in the drafting of this Agreement. This Agreement creates no fiduciary or other special relationship
between the Parties, and no such relationship otherwise exists. No presumption in favor of or against any Party in the construction
or interpretation of this Agreement or any provision hereof shall be made based upon which Person might have drafted this Agreement
or such provision.

 

Section
10.14 Headings.
The headings contained in this Agreement are intended solely for convenience and shall not affect the rights of the Parties.

 

Section
10.15 Exhibits and Schedules. Any matter, information or item disclosed in the Schedules delivered under any specific representation,
warranty or covenant or Schedule number hereof, shall be deemed to have been disclosed for all purposes of this Agreement in response
to every representation, warranty or covenant in this Agreement where its application is reasonably apparent on the face of the
disclosure, even in the absence of an explicit cross reference. The inclusion of any matter, information or item in any Schedule
to this Agreement shall not be deemed to constitute an admission of any liability by the Company to any third party or otherwise
imply, that any such matter, information or item is material or creates a measure for materiality for the purposes of this Agreement.

 

Section
10.16 No Assignment or Delegation . No Party may assign any right or delegate any obligation hereunder, including by merger,
consolidation, operation of law, or otherwise, without the written consent of the all of the other Parties and any purported assignment
or delegation without such consent shall be void, in addition to constituting a material breach of this Agreement; provided, however,
that the Buyer may assign the Purchased Shares or some portion of them; but provided, further, that such assignment shall not
relieve the Buyer of his obligations under this Agreement. This Agreement shall be binding on the permitted successors and assigns
of the Parties.

 

Section
10.18 Commercially Reasonable Efforts. Subject to the terms and conditions herein provided, each the Company Party and
Buyer shall use their respective commercially reasonable efforts to perform or fulfill all conditions and obligations to be performed
or fulfilled by it under this Agreement so that the transactions contemplated hereby shall be consummated as soon as practicable,
and to take, or cause to be taken, all actions and to do, or cause to be done, all things necessary, proper or advisable under
applicable Laws and regulations to consummate and make effective this Agreement and the transactions contemplated herein.

 

    	24

    	 

    

 

Section
10.19 Further Assurances. Each Party shall execute and deliver such documents and take such action, as may reasonably be
considered within the scope of such Party’s obligations hereunder, necessary to effectuate the transactions contemplated
by this Agreement.

 

Section
10.20 Specific Performance. The Parties agree that irreparable damage would occur in the event that any of the provisions
of this Agreement were not performed by them in accordance with the terms hereof or were otherwise breached and that each Party
hereto shall be entitled to an injunction or injunctions, specific performance and other equitable relief to prevent breaches
of the provisions hereof and to enforce specifically the terms and provisions hereof, without the proof of actual damages, in
addition to any other remedy to which they are entitled at law or in equity. Each Party agrees to waive any requirement for the
security or posting of any bond in connection with any such equitable remedy, and agrees that it will not oppose the granting
of an injunction, specific performance or other equitable relief on the basis that (a) the other Party has an adequate remedy
at law, or (b) an award of specific performance is not an appropriate remedy for any reason at law or equity.

 

Section
10.21 Counterparts. This Agreement may be executed in multiple counterparts, each of which shall be deemed an original
and all of which taken together shall be but a single instrument. The execution and delivery of a facsimile or other electronic
transmission of a signature to this Agreement shall constitute delivery of an executed original and shall be binding upon the
person whose signature appears on the transmitted copy.

 

    	25

    	 

    

 

IN
WITNESS WHEREOF, the Parties have executed this Agreement as of the date first-above written.

 

	 	BUYER
	 	 	 
	 	 	 
	 	Name:	Zhou
    Yingying
	 	 	 
	 	IHO-AGRO INTERNATIONAL, INC.
	 	 	 
	 	By:	 
	 	Name:	Ioan
    Hossu
	 	Title:	President
	 	 	 
	 	SELLING STOCKHOLDERS
	 	 	 
	 	HOSSU
	 	 	 
	 	 	 
	 	Name:	Ioan
    Hossu
	 	 	 
	 	 	Address
    for Notices:
	 	 	 
	 	 	309
    Warner Crescent
	 	 	Newmarket,
    Ontario, L3X2G7, Canada
	 	 	Email:
    ioan.hossu@ihoagro.com

 

Signatures
continued on the next page

 

    	26

    	 

    

 

	 	GEORGESCU
	 	 	 
	 	 	 
	 	Name:	Mircea
    Georgescu
	 	 	 
	 	 	Address
    for Notices:
	 	 	 
	 	 	28
    Wheatfield Drive
	 	 	Woodbridge,
    Ontario, L4H2K7, Canada
	 	 	Email:
    Mircea.georgescu@ihoagro.com
	 	 	 
	 	HEBERT
	 	 	 
	 	 	 
	 	Name:	Brad
    Hebert
	 	 	 
	 	 	Address
    for Notices:
	 	 	 
	 	 	288
    Mineola Road, East
	 	 	Mississauga,
    Ontario L5G2G3, Canada
	 	 	Email:
    eh_bear@rogers.com

 

    	27

    	 

    

 

EXHIBIT
A

 

DEFINED
TERMS

 

In
addition to the terms defined in the body of the Agreement, the following terms have the following meanings for purposes of the
Agreement:

 

	(a)	“Action”
    means any legal action, suit, claim, investigation, hearing or proceeding, including any audit, claim or assessment for Taxes
    or otherwise.
	 	 
	(b)	“Affiliate”
    means, with respect to any Person, any other Person directly or indirectly Controlling, Controlled by, or under common Control
    with such Person.
	 	 
	(c)	“Authority”
    means any governmental, regulatory or administrative body, agency or authority, any court or judicial authority, any arbitrator,
    or any public, private or industry regulatory authority, whether international, national, Federal, state, or local.
	 	 
	(d)	“Business
    Day” means any day that is not a Saturday, Sunday or other day on which banking institutions in Florida are authorized
    or required by law or executive order to close.
	 	 
	(e)	“Control”
    of a Person means the possession, directly or indirectly, of the power to direct or cause the direction of the management
    and policies of such Person, whether through the ownership of voting securities, by contract, or otherwise.” Controlled”,
    “Controlling” and “under common Control with” have correlative meanings. Without limiting
    the foregoing a Person (the “Controlled Person”) shall be deemed Controlled by (a) any other Person (the
    “10% Owner”) (i) owning beneficially, as meant in Rule 13d-3 under the Exchange Act, securities entitling
    such Person to cast ten (10%) or more of the votes for election of directors or equivalent governing authority of the Controlled
    Person or (ii) entitled to be allocated or receive ten percent (10%) or more of the profits, losses, or distributions of the
    Controlled Person; (b) an officer, director, general partner, partner (other than a limited partner), manager, or member (other
    than a member having no management authority that is not a 10% Owner ) of the Controlled Person; or (c) a spouse, parent,
    lineal descendant, sibling, aunt, uncle, niece, nephew, mother-in-law, father-in-law, sister-in-law, or brother-in-law of
    an Affiliate of the Controlled Person or a trust for the benefit of an Affiliate of the Controlled Person or of which an Affiliate
    of the Controlled Person is a trustee.
	 	 
	(f)	“Encumbrance”
    means any charge, claim, community property interest, pledge, condition, equitable interest, lien (statutory or other), option,
    security interest, mortgage, easement, encroachment, right of way, right of first refusal, or restriction of any kind, including
    any restriction on use, voting, transfer, receipt of income or exercise of any other attribute of ownership.
	 	 
	(g)	“Enforceability
    Exceptions” means applicable bankruptcy, insolvency, moratorium or other similar Laws affecting the enforcement
    of creditors’ rights generally and subject to the qualification that the availability of equitable remedies is subject
    to the discretion of the court before which any proceeding therefore may be brought.

 

    	Ex. A - page 1

    	 

    

 

	(h)	“ERISA”
    means the Employee Retirement Income Security Act of 1974, as amended, and the regulations thereunder.
	 	 
	(i)	“Law”
    means any domestic or foreign, federal, state, municipality or local law, statute, ordinance, code, rule, or regulation.
	 	 
	(j)	“Lien”
    means any mortgage, lien, pledge, charge, security interest or encumbrance of any kind in respect of such asset, and any conditional
    sale or voting agreement or proxy, including any agreement to give any of the foregoing.
	 	 
	(k)	“Material
    Adverse Effect” or “Material Adverse Change” means a material and adverse change or a material
    and adverse effect, individually or in the aggregate, on the condition (financial or otherwise), net worth, management, earnings,
    cash flows, business, operations or properties of a Party taken as a whole, whether or not arising from transactions in the
    ordinary course of business.
	 	 
	(l)	“Material
    Contract” means any contract, agreement, franchise, license agreement, debt instrument or other commitment to which
    the Company is a party or by which it or any of its assets, products, technology, or properties are bound and which (i) will
    remain in effect for more than six (6) months after the date of this Agreement or (ii) involves aggregate obligations of at
    least five thousand dollars ($5,000).
	 	 
	(m)	“Order”
    means any decree, order, judgment, writ, award, injunction, rule or consent of or by an Authority.
	 	 
	(n)	“Person”
    means an individual, corporation, partnership (including a general partnership, limited partnership or limited liability partnership),
    limited liability company, association, trust or other entity or organization, including a government, domestic or foreign,
    or political subdivision thereof, or an agency or instrumentality thereof.
	 	 
	(o)	“Restricted
    Escrow Agreement” means that certain escrow agreement between the Sellers, the Buyer and the Company dated as of
    the date of Agreement.
	 	 
	(p)	“Tax(es)”
    means any federal, state, local or foreign tax, charge, fee, levy, custom, duty, deficiency, or other assessment of any
    kind or nature imposed by any Taxing Authority (including any income (net or gross), gross receipts, profits, windfall profit,
    sales, use, goods and services, ad valorem, franchise, license, withholding, employment, social security, workers compensation,
    unemployment compensation, employment, payroll, transfer, excise, import, real property, personal property, intangible property,
    occupancy, recording, minimum, alternative minimum, environmental or estimated tax), including any liability therefor as a
    transferee (including under Section 6901 of the Code or similar provision of applicable Law) or successor, as a result of
    Treasury Regulation Section 1.1502-6 or similar provision of applicable Law or as a result of any Tax sharing, indemnification
    or similar agreement, together with any interest, penalty, additions to tax or additional amount imposed with respect thereto.
	 	 
	(q)	“Taxing
    Authority” means the Internal Revenue Service and any other Authority responsible for the collection, assessment
    or imposition of any Tax or the administration of any Law relating to any Tax.
	 	 
	(r)	“Tax
    Return” means any return, information return, declaration, claim for refund or credit, report or any similar statement,
    and any amendment thereto, including any attached schedule and supporting information, whether on a separate, consolidated,
    combined, unitary or other basis, that is filed or required to be filed with any Taxing Authority in connection with the determination,
    assessment, collection or payment of a Tax or the administration of any Law relating to any Tax.
	 	 
	(s)	“Termination
    Date” means any date prior to the Closing Date, provided that the Parties may amend such Termination Date pursuant
    to Section 10.12(a).

 

    	Ex. A - page 2

    	 

    

 

SCHEDULE
1

 

COMPANY
CAPITALIZATION

 

PURCHASED
SHARES

 

	Ioan Hossu	 	 	24,550,000	 
	Brad Hebert	 	 	3,900,000	 
	Mircea Georgescu	 	 	3,650,000	 

 

PURCHASE
WARRANTS

 

	Name	 	# Warrants	 
	 	 	 	 
	Adam Amato	 	 	5,000	 
	Angela Dickson	 	 	7,500	 
	Anna Raposo	 	 	5,000	 
	BSW Accounting	 	 	50,000	 
	Carlene Dickson	 	 	5,000	 
	Charlotte Bermack Roth	 	 	7,500	 
	David Nadler	 	 	5,000	 
	2205633 Ontario Limited	 	 	25,000	 
	Eva Bak Hebert	 	 	21,675	 
	Frank Roth	 	 	50,000	 
	Fred Rossi - Maple Terrazzo	 	 	150,000	 
	Gert Fromhold-Treu	 	 	5,000	 
	Joanne Rich	 	 	25,000	 
	Jocelyn Ina Bornstein	 	 	5,000	 
	Joe Mozzone	 	 	17,500	 
	Joli Roth	 	 	25,000	 
	Julius Fortis	 	 	10,000	 
	Kathy Pritchard	 	 	7,500	 
	Kip Cosgrove CVIS	 	 	83,500	 
	Kip Cosgrove CVIS	 	 	45,000	 
	Margie Crackower	 	 	12,500	 
	Marvin Crackower	 	 	12,500	 
	Michael Goldman	 	 	25,000	 
	Paula Kane	 	 	16,650	 
	Ralph Eisenberg	 	 	33,300	 
	Jodrel	 	 	16,650	 
	Sam Sussman	 	 	8,250	 
	Sheila Bogart	 	 	5,000	 
	Zane Jordan Roth	 	 	7,500	 
	 	 	 	 	 
	Total	 	 	692,525.00	 

 

    	Schedule 1 - page 1Exhibit 10.1

 

This EMPLOYMENT AGREEMENT by and between Green Brick Partners, Inc., a Delaware corporation (the “Company”), and Jed Dolson (“Executive”) (each a “Party” and collectively the “Parties”) is made as of October 27, 2017 (the “Effective Date”).

WHEREAS, the Company desires to employ Executive as President of Texas Region, and Executive desires to accept such employment, on the terms and conditions set forth in this employment agreement (this “Agreement”).

NOW, THEREFORE, in consideration of the premises and of the mutual covenants, understandings, representations, warranties, undertakings and promises hereinafter set forth, intending to be legally bound thereby, the Parties agree as follows:

		1.	
Employment Period.

Subject to earlier termination in accordance with Section 3 of this Agreement, Executive shall be employed by the Company for a period commencing on the Effective Date and ending on the third anniversary of the Effective Date (the “Employment Period”) unless the Parties mutually agree to extend the term at least ninety (90) days prior to the end of the Employment Period. Upon Executive’s termination of employment with the Company for any reason, at the Company’s request, Executive shall immediately resign all positions with the Company and all of its subsidiaries (including any minority-owned subsidiaries) and its affiliates (collectively, the “Company Group”), including any position as a member of the Company’s Board of Directors (the “Board”).

		2.	
Terms of Employment.

a.          Position. During the Employment Period, Executive shall serve as President of Texas Region and will perform such duties and exercise such supervision with regard to the business of the Company as are associated with such position, including such duties as may be prescribed from time to time by the Chief Executive Officer of the Company (the “CEO”) and the Board. Executive shall report directly to the CEO and, if reasonably requested by the Board, Executive hereby agrees to serve (without additional compensation) as an officer and director of other members of the Company Group.

b.          Duties. During the Employment Period, Executive shall have such responsibilities, duties, and authority that are customary for Executive’s position, subject at all times to the control of the CEO and the Board, and shall perform such services as customarily are provided by an executive of a corporation with Executive’s position and such other services consistent with Executive’s position, as shall be assigned to Executive from time to time by the CEO and the Board. During the Employment Period, and excluding any periods of vacation and sick leave to which Executive is entitled, Executive agrees to devote all of Executive’s business time to the business and affairs of the Company Group and to use Executive’s commercially reasonable efforts to perform faithfully, effectively and efficiently Executive’s responsibilities and obligations hereunder. Executive shall be entitled to engage in charitable and educational activities and to manage Executive’s personal and family investments, to the extent such activities are not competitive with the business of the Company Group, do not interfere with the performance of Executive’s duties for the Company Group and are otherwise consistent with the Company Group’s governance policies.

		c.	
Compensation.

i.          Base Salary. During the Employment Period, Executive shall receive an annual base salary in an amount equal to five hundred and fifty thousand dollars ($550,000), which shall be paid in accordance with the customary payroll practices of the Company and prorated for partial calendar years of employment (as in effect from time to time, the “Annual Base Salary”). The Annual Base Salary shall be subject to review every three years by the Board, in its sole discretion, for possible increase (but not decrease) and any such increased Annual Base Salary shall constitute “Annual Base Salary” for purposes of this Agreement.

ii.          Annual Bonus. During the Employment Period, with respect to each completed fiscal year of the Company commencing with the 2018 fiscal year, Executive shall be eligible to receive a bonus (the “Bonus”) under the Company’s 2014 Omnibus Equity Incentive Plan, as it may be amended from time to time (the “Plan”), with a target amount equal to 200% of the Annual Base Salary (the “Target Bonus”) based upon and subject to the achievement of annual performance goals established under the Plan within the first ninety (90) days of each fiscal year  during the Employment Period.  During the Employment Period, with respect to the 2017 fiscal year, Executive shall be eligible to receive a bonus (the “2017 Bonus”) contingent upon the achievement of qualitative and quantitative performance goals (based on EBITDA targets of the Company, land development and the number of  builders and volume of assets under his supervision) established by the Board and assessed solely at the discretion of the Board with a target amount determined as follows: (i) the target amount that relates to Executive’s employment with the Company from January 1, 2017 through the day immediately preceding the Effective Date shall be equal to $400,000 and (ii) the target amount that relates to Executive’s employment with the Company from the Effective Date through December 31, 2017 shall be equal to the Target Bonus.  The 2017 Bonus or the Bonus, as applicable, shall be paid in accordance with the terms of the Company’s bonus plan as in effect from time to time. The 2017 Bonus or the Bonus, as applicable, may be paid partially in cash and partially in equity, as determined by the Board in its sole discretion.

iii.          Special Bonus. During the Employment Period, in consideration of Executive’s position and ability to identify and source deals beneficial to the Company and undertake additional responsibilities to supervise land development, Executive may become eligible for an additional special bonus (a “Special Bonus”), to be awarded at the sole discretion of the Board based on Executive’s performance in such areas, or in such other performance areas as may later be determined by the Board.  Any such Special Bonus shall be payable in cash or shares of common stock of the Company, or any combination thereof, as determined by the Board in its sole discretion.  The Board may, in its sole discretion, establish a vesting and/or payment schedule in respect of any such Special Bonus, the details of which shall be determined at the time such Special Bonus shall be awarded.

iv.          Benefits. During the Employment Period, Executive shall be eligible to participate in all retirement, compensation and employee benefit plans, practices, policies and programs provided by the Company to the extent applicable generally to senior executives of the Company (except severance plans, policies, practices, or programs) subject to the eligibility criteria set forth therein, as such may be amended or terminated from time to time. During the Employment Period, the Company will provide Executive with indemnification to the fullest extent permitted by applicable law and directors’ and officers’ insurance coverage. In addition, Executive shall be eligible to receive a car, cell phone and toll road allowance.

2

v.          Expenses. During the Employment Period, Executive shall be entitled to receive reimbursement for all reasonable business expenses incurred by Executive in the performance of Executive’s duties hereunder provided that Executive provides all necessary documentation in accordance with the Company’s policies.

vi.          Indemnification. The Company shall maintain an adequate level of directors’ and officers’ liability insurance to protect the Executive from liability related to his employment with the Company on a basis no less favorable than that provided to any director or officer of the Company. To the extent Executive is not indemnified by such insurance, the Company agrees to indemnify Executive for liability related to his employment with the Company, other than any liability related to Executive’s gross negligence, willful misconduct, fraud or material breach of this Agreement or any of the Company’s policies, to the maximum extent permitted by applicable law and to promptly advance to Executive or Executive’s heirs or representatives related expenses upon written request with appropriate documentation of such expense upon receipt of an undertaking by Executive or on Executive’s behalf to repay such amount if it shall ultimately be determined that Executive is not entitled to be indemnified by the Company. The Company further agrees that such indemnification and agreement to advance expenses shall survive Executive’s resignation, termination or expiration of this Agreement, with respect to actions taken by him during his employment with the Company, unless such actions could have been grounds for termination by the Company for Cause.

vii.          Claw-Back. The Company may claw back from Executive any Bonus, Special Bonus and equity-based compensation received in the prior year if the Company is required to restate financial results due to material non-compliance with any financial reporting requirements; provided, however, that, notwithstanding the foregoing, the Company shall be entitled to claw back any Bonus, Special Bonus or equity-based compensation received by Executive, irrespective of when received, that is required to be recovered pursuant to Section 954 of the Dodd-Frank Wall Street Reform and Consumer Protection Act once the rules thereunder have been implemented.

		3.	
Termination of Employment.

a.          Death or Disability. Executive’s employment shall terminate automatically upon Executive’s death. If Executive becomes subject to a “Disability” (as defined below) during the Employment Period, the Company may give Executive written notice in accordance with Sections 3(g) and 9(g) hereof of its intention to terminate Executive’s employment. For purposes of this Agreement, “Disability” means Executive’s inability to perform Executive’s duties hereunder by reason of any medically determinable physical or mental impairment for a period of ninety (90) consecutive days or one hundred eighty (180) days or more in any twelve (12) month period.

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b.          Cause. Executive’s employment may be terminated at any time by the Company for “Cause” (as defined below). For purposes of this Agreement, “Cause” shall mean Executive’s (i) commission of a felony or a crime of moral turpitude, (ii) engaging in conduct that constitutes fraud or embezzlement, (iii) engaging in conduct that constitutes gross negligence or willful misconduct that results or could reasonably be expected to result in harm to the Company Group’s business or reputation, (iv) breach of any material terms of Executive’s employment, including this Agreement or (v) continued willful failure to substantially perform Executive’s duties. Executive’s employment shall not be terminated for “Cause” within the meaning of clauses (iv) and (v) above unless Executive has been given written notice by the Company stating the basis for such intended termination and Executive is given fifteen (15) days to cure, to the extent curable, the neglect or conduct that is the basis of any such claim.

c.          Termination Without Cause. The Company may terminate Executive’s employment hereunder without Cause at any time for any reason or no reason upon thirty (30) days’ prior written notice.

d.          Good Reason. Executive’s employment may be terminated by Executive for Good Reason upon the occurrence of any event or condition constituting Good Reason. For purposes of this Agreement, “Good Reason” means any of the following actions taken by the Company without Executive’s written consent: (i) any material failure of the Company to fulfill its obligations under this Agreement, (ii) a material and adverse change to, or a material reduction of, Executive’s duties and responsibilities to the Company, (iii) a material reduction in Executive’s then-current Annual Base Salary (not including any diminution related to a broader compensation reduction that is not limited to Executive specifically and that is not more than 10% in the aggregate), or (iv) the relocation of Executive’s primary office to a location more than fifty (50) miles from the prior location, which materially increases Executive’s commute to work; provided that any such event shall not constitute Good Reason unless and until Executive shall have provided the Company with notice thereof no later than thirty (30) days following the initial occurrence of such event and the Company shall have failed to remedy such event within thirty (30) days following receipt of such notice (such 30-day period, the “Good Reason Cure Period”). If, at the end of the Good Reason Cure Period, the event or condition that constitutes Good Reason has not been remedied, Executive will be entitled to terminate employment for Good Reason during the 30-day period that follows the end of the Good Reason Cure Period. If Executive does not terminate employment during such 30-day period, Executive shall not be permitted to terminate employment for Good Reason as a result of such event or condition.

e.          Voluntary Termination. Executive’s employment may be terminated at any time by Executive without Good Reason upon thirty (30) days’ prior written notice.

f.          Termination as a Result of Expiration of the Employment Period. Unless otherwise agreed between the Parties pursuant to Section 1 hereof or otherwise, Executive’s employment shall automatically terminate upon the expiration of the Employment Period.

g.          Notice of Termination. Any termination by the Company for Cause or without Cause or by reason of Disability, or by Executive for Good Reason or without Good Reason shall be communicated by Notice of Termination to the other Party hereto given in accordance with Section 9(g). For purposes of this Agreement, a “Notice of Termination” means a written notice that (i) indicates the specific termination provision in this Agreement relied upon, (ii) to the extent applicable, sets forth in reasonable detail the facts and circumstances claimed to provide a basis for termination of Executive’s employment under the provision so indicated and (iii) if the “Date of Termination” (as defined below) is other than the date of receipt of such notice, specifies the termination date. The failure by Executive or the Company to set forth in the Notice of Termination any fact or circumstance that contributes to a showing of Good Reason or Cause shall not waive any right of Executive or the Company hereunder or preclude Executive or the Company from asserting such fact or circumstance in enforcing Executive’s or the Company’s rights hereunder.

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h.          Date of Termination. “Date of Termination” means (i) if Executive’s employment is terminated by the Company for Cause, without Cause or by reason of Disability, or by Executive for Good Reason or without Good Reason, the date specified in the Notice of Termination (in the case of a termination with or without Good Reason, provided such Date of Termination is in accordance with Section 3(d) or Section 3(e) hereof), (ii) if Executive’s employment is terminated by reason of death, the date of death, and (iii) if Executive’s employment is terminated pursuant to Section 1, automatically at the expiration of the Employment Period.

		4.	
Obligations of the Company upon Termination.

a.          For Good Reason; Without Cause. If, during the Employment Period, the Company shall terminate Executive’s employment without Cause or Executive shall terminate Executive’s employment for Good Reason, then the Company will provide Executive with the following payments and/or benefits:

i.          The Company shall pay to Executive (A) any vested payments or benefits to which Executive or Executive’s estate may be entitled to receive under any of the Company’s benefit plans or applicable law, in accordance with the terms of such plans or applicable law and (B) as soon as reasonably practicable but no later than 60 days following the Date of Termination in a lump sum to the extent not previously paid, (1) the Annual Base Salary through the Date of Termination, (2) the Bonus earned for any fiscal year ended prior to the year in which the Date of Termination occurs, provided that Executive was employed on the last day of such fiscal year, and (3) the amount of any unpaid expense reimbursements to which Executive may be entitled pursuant to Section 2(c)(v) hereof (clauses (A) and (B), the “Accrued Obligations”); and

ii.          Subject to Sections 4(e) and 5(i) below, after the Date of Termination, the Company will pay Executive severance in an amount equal to one and one-half times (1.5x) the sum of (x) Executive’s Annual Base Salary plus (y) the amount of Executive’s Bonus in respect of the year immediately prior to the year in which the Date of Termination occurs (the “Severance Payment”). The Severance Payment shall, subject to Section 4(e) below, be paid in a lump sum on a date that is no later than sixty (60) days following the Date of Termination, subject to the terms and conditions in Sections 4(e) and 5(i) below.

b.          Death or Disability. If Executive’s employment shall be terminated by reason of Executive’s death or Disability, then the Company will provide Executive with the Accrued Obligations. Thereafter, the Company Group shall have no further obligation to Executive or Executive’s legal representatives.

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c.          Cause; Other than for Good Reason. If Executive’s employment shall be terminated by the Company for Cause or by Executive without Good Reason, then the Company will provide Executive with the Accrued Obligations. Thereafter, the Company Group shall have no further obligation to Executive or Executive’s legal representatives.

d.          Expiration of the Employment Period. If Executive’s employment terminates by reason of the expiration of the Employment Period pursuant to Section 1 as result of the Company’s or Executive’s non-extension, then the Company will provide Executive with the Accrued Obligations. Thereafter, the Company Group shall have no further obligation to Executive or Executive’s legal representatives.

e.          Separation Agreement and General Release. The Company’s obligation to pay the Severance Payment pursuant to Section 4(a) is conditioned on Executive or Executive’s legal representative executing a separation agreement and general release of claims related to or arising from Executive’s employment with the Company or the termination of employment, against the Company Group (and their respective officers and directors) in a form reasonably determined by the Company, which shall be provided by the Company to Executive within five (5) days following the Date of Termination; provided, that if such release does not become effective and irrevocable in accordance with its terms within fifty-five (55) days following the Date of Termination, the Company shall not have any obligation to provide the Severance Payment.

		5.	
Restrictive Covenants.

a.          Non-Solicitation. In consideration of Executive’s employment and receipt of payments hereunder, during the period commencing on the Effective Date and ending twelve (12) months after the Date of Termination (the “Restricted Period”), Executive shall not, directly or indirectly, through another person or entity, (x) induce or attempt to induce any employee, representative, agent or consultant of any member of the Company Group to leave the employ or services of the Company Group, or in any way interfere with the relationship between any member of the Company Group and any employee, representative, agent or consultant thereof, (y) hire any person who was an employee, representative, agent or consultant of any member of the Company Group at any time during the twelve (12)-month period immediately prior to the date on which such hiring would take place or (z) directly or indirectly call on, solicit or service any customer, supplier, licensee, licensor, representative, agent or other business relation of any member of the Company Group in order to induce or attempt to induce such person or entity to cease doing business with, or reduce the amount of business conducted with, any member of the Company Group, or in any way interfere with the relationship between any such customer, supplier, licensee, licensor, representative, agent or business relation of any member of the Company Group. No action by another person or entity shall be deemed to be a breach of this provision unless Executive, directly or indirectly, assisted, encouraged or otherwise counseled such person or entity to engage in such activity.

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b.          Non-Competition. Executive acknowledges and agrees that the Company Group would be irreparably damaged if Executive were to provide services to any person or entity competing with any member of the Company Group or engaged in a similar business and that such competition by Executive would result in a significant loss of goodwill by the Company Group. Therefore, in consideration of the payments and benefits provided to Executive and other obligations of the Company to Executive pursuant to this Agreement, including, without limitation, the Company’s promise and obligation to provide Executive with Confidential Information (as defined below), Executive agrees that, during the Restricted Period, Executive shall not (and shall cause each of Executive’s affiliates not to), directly or indirectly, own any interest in, manage, control, participate in (whether as an officer, director, manager, employee, partner, equity holder, member, agent, representative or otherwise), consult with, render services for, or in any other manner engage in any business engaged, directly or indirectly, in the Geographic Area (as defined below), in the business of the Company Group as currently conducted or proposed to be conducted as of the Date of Termination; provided, that nothing herein shall prohibit Executive from being a passive owner of not more than 5% of the outstanding stock of any class of a corporation which is publicly traded so long as Executive does not actively participate in the business of such corporation. For purposes of this Agreement, the “Geographic Area” shall mean the United States of America and any other country or territory in which the Company Group has material business operations.

c.          Non-Disclosure; Non-Use of Confidential Information. Executive acknowledges that the Company Group has a legitimate and continuing proprietary interest in the protection of its Confidential Information and that it has invested substantial sums and will continue to invest substantial sums to develop, maintain and protect such Confidential Information. Executive shall not disclose or use at any time, either during Executive’s employment with the Company or at any time thereafter, any Confidential Information of which Executive is or becomes aware, whether or not such information is developed by Executive, except to the extent that such disclosure or use is directly related to and required by Executive’s performance in good faith of duties assigned to Executive by the Company. Executive will take all appropriate steps to safeguard Confidential Information in Executive’s possession and to protect it against disclosure, misuse, espionage, loss and theft. Executive shall deliver to the Company at the termination of Executive’s employment with the Company, or at any time the Company may request, all memoranda, notes, plans, records, reports, computer tapes and software and other documents and data (and copies thereof) relating to the Confidential Information or the “Work Product” (as defined in Section 5(e)(ii)) of the business of the Company Group that Executive may then possess or have under Executive’s control. In accordance with the Defend Trade Secrets Act, 18 U.S.C. § 1833(b), and other applicable law, nothing in this Agreement or any other agreement or policy shall prevent Executive from, or expose Executive to criminal or civil liability under federal or state trade secret law for, (A) directly or indirectly sharing any Company Group trade secrets or other confidential information (except information protected by the Company’s attorney-client or work product privilege) with an attorney or with any federal, state, or local government agencies, regulators, or officials, for the purpose of investigating or reporting a suspected violation of law, whether in response to a subpoena or otherwise, without notice to the Company, or (B) disclosing trade secrets in a complaint or other document filed in connection with a legal claim, provided that the filing is made under seal.

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d.          Proprietary Rights. Executive recognizes that the Company Group possesses a legitimate and continuing proprietary interest in all Confidential Information and Work Product and has the exclusive right and privilege to use, protect by copyright, patent or trademark, or otherwise exploit the processes, ideas and concepts described therein to the exclusion of Executive, except as otherwise agreed between the Company Group and Executive in writing. Executive expressly agrees that any Work Product made or developed by Executive or Executive’s agents during the course of Executive’s employment, including any Work Product which is based on or arises out of Work Product, shall be the property of and inure to the exclusive benefit of the Company Group. Executive further agrees that all Work Product developed by Executive (whether or not able to be protected by copyright, patent or trademark) during the course of Executive’s employment with the Company, or involving the use of the time, materials or other resources of the Company Group, shall be promptly disclosed to the Company Group and shall become the exclusive property of the Company Group, and Executive shall execute and deliver any and all documents necessary or appropriate to implement the foregoing.

e.          Certain Definitions.

i.          As used herein, the term “Confidential Information” means information that is not generally known to the public (but for purposes of clarity, Confidential Information shall never exclude any such information that becomes known to the public because of Executive’s unauthorized disclosure) and that is used, developed or obtained by the Company Group in connection with its business, including, but not limited to, information, observations and data obtained by Executive while employed by the Company Group concerning (A) the business or affairs of the Company Group, (B) products or services, (C) fees, costs and pricing structures, (D) designs, (E) analyses, (F) drawings, photographs and reports, (G) computer software, including operating systems, applications and program listings, (H) flow charts, manuals and documentation, (I) databases, (J) accounting and business methods, (K) inventions, devices, new developments, methods and processes, whether patentable or unpatentable and whether or not reduced to practice, (L) customers and clients and customer or client lists, (M) other copyrightable works, (N) all production methods, processes, strategies, plans, technology and trade secrets, (O) personnel information, and (P) all similar and related information in whatever form. Confidential Information will not include any information that has been published in a form generally available to the public (except as a result of Executive’s unauthorized disclosure) prior to the date Executive proposes to disclose or use such information. Confidential Information will not be deemed to have been published or otherwise disclosed merely because individual portions of the information have been separately published, but only if all material features comprising such information have been published in combination.

ii.          As used herein, the term “Work Product” means all inventions, innovations, improvements, technical information, systems, software developments, methods, designs, analyses, drawings, reports, service marks, trademarks, trade names, logos and all similar or related information (whether patentable or unpatentable) that relates to the Company Group’s actual or anticipated business, research and development or existing or future products or services and that are conceived, developed or made by Executive (whether or not during usual business hours and whether or not alone or in conjunction with any other person) while employed by the Company together with all patent applications, letters patent, trademark, trade name and service mark applications or registrations, copyrights and reissues thereof that may be granted for or upon any of the foregoing.

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f.          Enforcement. If Executive commits a breach of any of the provisions of this Section 5 or Section 6 below, the Company shall have the right and remedy to have the provisions specifically enforced by any court having jurisdiction, it being acknowledged and agreed by Executive that the services being rendered hereunder to the Company Group are of a special, unique and extraordinary character and that any such breach will cause irreparable injury to the Company Group and that money damages will not provide an adequate remedy to the Company Group. Such right and remedy shall be in addition to, and not in lieu of, any other rights and remedies available to the Company at law or in equity. Accordingly, Executive consents to the issuance of an injunction, whether preliminary or permanent, consistent with the terms of this Agreement (without posting a bond or other security) if the Company establishes a violation of Section 5 or 6 of this Agreement.

g.          Blue Pencil. If, at any time, the provisions of this Section 5 shall be determined to be invalid or unenforceable under any applicable law, by reason of being vague or unreasonable as to area, duration or scope of activity, this Agreement shall be considered divisible and shall become and be immediately amended to only such area, duration and scope of activity as shall be determined to be reasonable and enforceable by the court or other body having jurisdiction over the matter and Executive and the Company agree that this Agreement as so amended shall be valid and binding as though any invalid or unenforceable provision had not been included herein.

h.          EXECUTIVE ACKNOWLEDGES THAT EXECUTIVE HAS CAREFULLY READ THIS SECTION 5 AND HAS HAD THE OPPORTUNITY TO REVIEW ITS PROVISIONS WITH ANY ADVISORS AS EXECUTIVE CONSIDERED NECESSARY AND THAT EXECUTIVE UNDERSTANDS THIS AGREEMENT’S CONTENTS AND SIGNIFIES SUCH UNDERSTANDING AND AGREEMENT BY SIGNING BELOW.

i.          Severance Payments. In addition to the rights and remedies available to the Company under this Agreement, and not in any way in limitation of any right or remedy otherwise available to the Company Group, in the event that Executive violates any material term of this Agreement or any other agreement between the Company and Executive, (i) the Company’s obligation to pay the Severance Payment and Executive’s right to receive such Severance Payment shall terminate and be of no further force or effect and (ii) Executive shall promptly repay to the Company an amount equal to the portion of the Severance Payment previously paid to Executive.

		6.	
Non-Disparagement.

a.          During the Employment Period and at all times thereafter, neither Executive nor Executive’s agents shall, directly or indirectly, whether in public or private, make, publish, encourage, ratify, or authorize; or assist or enable any other person or entity in making, authorizing, ratifying, or publishing any statements that in any way defame, criticize, malign, impugn, reflect negatively on, or disparage any of the Company Parties (as defined below), or cast any of the Company Parties (as defined below) in a negative light in any manner whatsoever. Executive also agrees that Executive will not publicly comment upon or discuss, or assist or permit any other person or entity to publicly comment upon or discuss, any of the Company Parties with any media source or outlet (whether negatively or otherwise), including, but not limited to, or with any reporters, bloggers, weblogs, websites, newspapers, magazines, television stations or productions, radio stations, news organizations, news outlets, or publications, or in any movie, book, or theatrical production. The foregoing shall not be violated by truthful responses to (i) legal process or governmental inquiry or (ii) by private statements to the Company’s officers, directors or employees; provided, that in the case of Executive, with respect to clause (ii), such statements are made in the course of carrying out Executive’s duties pursuant to this Agreement. For purposes of this Agreement, “Company Parties” shall include the Company Group and all of its members; and all of the past, present, and future stockholders, members, partners, principals, investors, directors, officers, managers, benefit plans, fiduciaries, employees, agents, attorneys, heirs, representatives, administrators, successors, and assigns of any of the foregoing entities. Each of the Company Parties shall be a third-party beneficiary of this Agreement and shall be authorized to enforce this Agreement in accordance with its terms.

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b.          During the Employment Period and at all times thereafter, the Company shall take all reasonable steps to ensure that no member of the Board nor any senior executive of the Company (the “Key Persons”) shall, directly or indirectly, whether in public or private, make, publish, encourage, ratify, or authorize; or assist or enable any other person or entity in making, authorizing, ratifying, or publishing, any statements that in any way defame, criticize, malign, impugn, reflect negatively on, or disparage Executive, or cast Executive in a negative light in any manner whatsoever. The foregoing shall not be violated by truthful responses to (i) legal process or governmental inquiry or (ii) by private statements to the Company’s officers, directors or employees by Key Persons; provided, that with respect to clause (ii), such statements are made in the course of carrying out the Key Person’s duties pursuant to the Company.

7.          Confidentiality of Agreement.  The Parties acknowledge and agree that this Agreement shall be filed with the Securities and Exchange Commission. Notwithstanding the foregoing, the Parties agree that the discussions and correspondence that led to this Agreement are private and confidential. Except as may be required by applicable law, regulation, or stock exchange requirement, neither Party may disclose the above information to any other person or entity without the prior written approval of the other Party.

8.          Executive’s Representations, Warranties and Covenants.

		a.	
Executive hereby represents and warrants to the Company that:

i.          Executive has all requisite power and authority to execute and deliver this Agreement and to consummate the transactions contemplated hereby, and this Agreement has been duly executed by Executive;

ii.          the execution, delivery and performance of this Agreement by Executive does not and will not, with or without notice or the passage of time, conflict with, breach, violate or cause a default under any agreement, contract or instrument to which Executive is a party or any judgment, order or decree to which Executive is subject;

iii.          Executive is not a party to or bound by any employment agreement, consulting agreement, non-compete agreement, fee for services agreement, confidentiality agreement or similar agreement with any other person;

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iv.          upon the execution and delivery of this Agreement by the Company and Executive, this Agreement will be a legal, valid and binding obligation of Executive, enforceable in accordance with its terms;

v.          Executive understands that the Company will rely upon the accuracy and truth of the representations and warranties of Executive set forth herein and Executive consents to such reliance; and

vi.          as of the date of execution of this Agreement, Executive is not in breach of any of its terms, including having committed any acts that would form the basis for a Cause termination if such act had occurred after the Effective Date.

		b.	
The Company hereby represents and warrants to Executive that:

i.          the Company has all requisite power and authority to execute and deliver this Agreement and to consummate the transactions contemplated hereby, and this Agreement has been duly executed by the Company;

ii.          the execution, delivery and performance of this Agreement by the Company does not and will not, with or without notice or the passage of time, conflict with, breach, violate or cause a default under any agreement, contract or instrument to which the Company is a party or any judgment, order or decree to which the Company is subject;

iii.          upon the execution and delivery of this Agreement by the Company and Executive, this Agreement will be a legal, valid and binding obligation of the Company, enforceable in accordance with its terms; and

iv.          the Company understands that Executive will rely upon the accuracy and truth of the representations and warranties of the Company set forth herein and the Company consents to such reliance.

		9.	
General Provisions.

a.          Severability. It is the desire and intent of the Parties hereto that the provisions of this Agreement be enforced to the fullest extent permissible under the laws and public policies applied in each jurisdiction in which enforcement is sought. Accordingly, if any particular provision of this Agreement shall be adjudicated by a court of competent jurisdiction to be invalid, prohibited or unenforceable under any present or future law, and if the rights and obligations of any Party under this Agreement will not be materially and adversely affected thereby, such provision, as to such jurisdiction, shall be ineffective, without invalidating the remaining provisions of this Agreement or affecting the validity or enforceability of such provision in any other jurisdiction; furthermore, in lieu of such invalid or unenforceable provision there will be added automatically as a part of this Agreement, a legal, valid and enforceable provision as similar in terms to such invalid or unenforceable provision as may be possible. Notwithstanding the foregoing, if such provision could be more narrowly drawn so as not to be invalid, prohibited or unenforceable in such jurisdiction, it shall, as to such jurisdiction, be so narrowly drawn, without invalidating the remaining provisions of this Agreement or affecting the validity or enforceability of such provision in any other jurisdiction.

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b.          Entire Agreement and Effectiveness. Effective as of the Effective Date, this Agreement embodies the complete agreement and understanding among the Parties hereto with respect to the subject matter hereof and supersedes and preempts any prior understandings, agreements or representations by or among the Parties, written or oral, which may have related to the subject matter hereof in any way, including, without limitation, the employment agreement by and between the Company and Executive, made as of October 27, 2014.

c.          Successors and Assigns.

i.          This Agreement is personal to Executive and without the prior written consent of the Company shall not be assignable by Executive otherwise than by will or the laws of descent and distribution. This Agreement shall inure to the benefit of and be enforceable by Executive’s legal representatives.

ii.          This Agreement shall inure to the benefit of and be binding upon the Company Group and their successors and assigns.

d.          Governing Law. THIS AGREEMENT WILL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF DELAWARE, WITHOUT GIVING EFFECT TO ANY CHOICE OF LAW OR CONFLICTING PROVISION OR RULE THAT WOULD CAUSE THE LAWS OF ANY JURISDICTION OTHER THAN THE STATE OF DELAWARE TO BE APPLIED. IN FURTHERANCE OF THE FOREGOING, THE INTERNAL LAW OF THE STATE OF DELAWARE WILL CONTROL THE INTERPRETATION AND CONSTRUCTION OF THIS AGREEMENT, EVEN IF UNDER SUCH JURISDICTION’S CHOICE OF LAW OR CONFLICT OF LAW ANALYSIS, THE SUBSTANTIVE LAW OF SOME OTHER JURISDICTION WOULD ORDINARILY APPLY.

e.          Enforcement.

i.          Arbitration. Except as specifically set forth in Section 5(f) of this Agreement, in consideration of Executive’s employment with the Company and Executive’s receipt of compensation and other benefits under this Agreement, EXECUTIVE AGREES THAT ANY AND ALL CONTROVERSIES, CLAIMS, OR DISPUTES WITH ANYONE (INCLUDING THE COMPANY GROUP AND ANY EMPLOYEE, OFFICER, DIRECTOR, STOCKHOLDER OR BENEFIT PLAN OF THE COMPANY GROUP, IN THEIR CAPACITY AS SUCH OR OTHERWISE) ARISING OUT OF, RELATING TO, OR RESULTING FROM EXECUTIVE’S EMPLOYMENT WITH THE COMPANY OR THE TERMINATION OF EXECUTIVE’S EMPLOYMENT WITH THE COMPANY, INCLUDING ANY BREACH OF THIS AGREEMENT, SHALL BE SUBJECT TO BINDING ARBITRATION. Such arbitration shall take place in Dallas, Texas (unless the Parties agree in writing to a different location), before a single arbitrator, who shall be an attorney, in accordance with the Employment Dispute Resolution Rules of the American Arbitration Association then in effect. Executive agrees that the arbitrator shall have the power to decide any motions brought by any party to the arbitration, including motions for summary judgment and/or adjudication and motions to dismiss and demurrers, prior to any arbitration hearing. Executive also agrees that the arbitrator shall have the power to award any remedies, including attorneys’ fees and costs, available under applicable law. The decision and award made by the arbitrator shall be final, binding and conclusive on all Parties hereto for all purposes, and judgment may be entered thereon in any court having jurisdiction thereof. The Company will bear the totality of the arbitrator’s and administrative fees and costs. Each Party shall otherwise bear its own litigation costs and expenses; provided, however, that the arbitrator shall have the discretion to award the prevailing Party reimbursement of its reasonable attorney’s fees and costs. The arbitration shall be conducted on a strictly confidential basis, and Executive shall not disclose the existence of a claim, the nature of a claim, any documents, exhibits, or information exchanged or presented in connection with such a claim, or the result of any claim (collectively, “Arbitration Materials”) to any third party, with the sole exception of Executive’s legal counsel, who Executive shall ensure also fully complies with the confidentiality provisions of this Agreement. In the event of any court proceeding to challenge or enforce an arbitrator’s award, the Parties hereby consent to the exclusive jurisdiction of the state and federal courts in Dallas, Texas and agree to exclusive venue in Dallas, Texas. The Parties hereby agree to take all steps necessary to protect the confidentiality of the Arbitration Materials in connection with any court proceeding, agree to take all appropriate steps to file all Confidential Information (and documents containing Confidential Information) under seal in any such proceeding where possible, and agree to the entry of an appropriate protective order encompassing the confidentiality provisions of this Agreement.

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ii.          Remedies. All remedies hereunder are cumulative, are in addition to any other remedies provided for by law and may, to the extent permitted by law, be exercised concurrently or separately, and the exercise of any one remedy shall not be deemed to be an election of such remedy or to preclude the exercise of any other remedy.

iii.          Waiver of Jury Trial. EACH OF THE PARTIES HERETO HEREBY IRREVOCABLY WAIVES ALL RIGHT TO TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM ARISING OUT OF OR RELATING TO THIS AGREEMENT.

f.          Amendment and Waiver. The provisions of this Agreement may be amended and waived only with the prior written consent of the Company and Executive and no course of conduct or failure or delay in enforcing the provisions of this Agreement shall be construed as a waiver of such provisions or affect the validity, binding effect or enforceability of this Agreement or any provision hereof.

g.          Notices. Any notice provided for in this Agreement must be in writing and must be either personally delivered, transmitted via telecopier, mailed by first class mail (postage prepaid and return receipt requested) or sent by reputable overnight courier service (charges prepaid) to the recipient at the address below indicated or at such other address or to the attention of such other person as the recipient party has specified by prior written notice to the sending party. Notices will be deemed to have been given hereunder and received when delivered personally, when received if transmitted via telecopier, five (5) days after deposit in the U.S. mail and one day after deposit for overnight delivery with a reputable overnight courier service.

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If to the Company, to:

Green Brick Partners, Inc.

2805 North Dallas Parkway Suite 400

Dallas, TX 75205

Attention: Chairman of the Board

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

Akin Gump Strauss Hauer & Feld LLP

One Bryant Park

New York, NY 10036

Facsimile: (212) 872-1002

Attention: Alice Hsu

         If to Executive, to:

Executive’s home address most recently on file with the Company.

h.          Withholdings Taxes. The Company may withhold from any amounts payable under this Agreement such federal, state and local taxes as may be required to be withheld pursuant to any applicable law or regulation.

i.          Survival of Representations, Warranties and Agreements. All representations, warranties and agreements contained herein shall survive any termination of Executive’s employment under this Agreement.

j.          Descriptive Headings. The descriptive headings of this Agreement are inserted for convenience only and do not constitute a part of this Agreement. All references to a “Section” in this Agreement are to a section of this Agreement unless otherwise noted.

k.          Construction. Where specific language is used to clarify by example a general statement contained herein, such specific language shall not be deemed to modify, limit or restrict in any manner the construction of the general statement to which it relates. The language used in this Agreement shall be deemed to be the language chosen by the Parties to express their mutual intent, and no rule of strict construction shall be applied against any Party.

l.          Counterparts. This Agreement may be executed in separate counterparts, each of which is deemed to be an original and all of which taken together constitute one and the same agreement.

m.          Section 409A.

i.          Compliance. Notwithstanding anything herein to the contrary, this Agreement is intended to be interpreted and applied so that the payments and benefits set forth herein either shall either be exempt from the requirements of Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”), or shall comply with the requirements of Code Section 409A, and, accordingly, to the maximum extent permitted, this Agreement shall be interpreted to be exempt from or in compliance with Code Section 409A. To the extent that the Company determines that any provision of this Agreement would cause the Executive to incur any additional tax or interest under Code Section 409A, the Company shall be entitled to reform such provision to attempt to comply with or be exempt from Code Section 409A through good faith modifications. To the extent that any provision hereof is modified in order to comply with Code Section 409A, such modification shall be made in good faith and shall, to the maximum extent reasonably possible, maintain the original intent and economic benefit to Executive and the Company without violating the provisions of Code Section 409A. Notwithstanding anything herein to the contrary, in no event does the Company, its affiliates, officers, equityholders, employees, agents, members, directors, or representatives guarantee the exemption from or compliance with Code Section 409A and no such party shall have any liability for failure of this Agreement to be exempt from or comply with such Code section.

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ii.          Separate Payments. Notwithstanding anything in this Agreement to the contrary, each payment payable hereunder shall be deemed to be a payment in a series of separate payments for purposes of Code Section 409A.

iii.          Specified Employee. Notwithstanding any provision in this Agreement or elsewhere to the contrary, if on the date of Executive’s termination from employment with the Company, Executive is deemed to be a “specified employee” within the meaning of Code Section 409A and the Final Treasury Regulations using the identification methodology selected by the Company from time to time, or if none, the default methodology under Code Section 409A, any payments or benefits that constitute non-exempt deferred compensation under Code Section 409A and that are due upon a termination of Executive’s employment shall be delayed and paid or provided (or commence, in the case of installments) on the first payroll date on or following the earlier of (i) the date which is six (6) months and one (1) day after Executive’s termination of employment for any reason other than death, and (ii) the date of Executive’s death, and any remaining payments and benefits shall be paid or provided in accordance with the normal payment dates specified for such payment or benefit.

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

v.          No Designation. In no event may Executive, directly or indirectly, designate the calendar year of any payment to be made under this Agreement or otherwise which constitutes a “deferral of compensation” within the meaning of Code Section 409A.

vi.          Expense Reimbursement. With regard to any provision herein that provides for reimbursement of costs and expenses or in-kind benefits, except as permitted by Code Section 409A, (i) the right to reimbursement or in-kind benefits shall not be subject to liquidation or exchange for another benefit, (ii) the amount of expenses eligible for reimbursement, or in-kind benefits, provided during any taxable year shall not affect the expenses eligible for reimbursement, or in-kind benefits to be provided, in any other taxable year, and (iii) such payments shall be made on or before the last day of Executive’s taxable year following the taxable year in which the expense was incurred.

n.          Excess Parachute Payments. Notwithstanding anything in this Agreement to the contrary, if any of the payments or benefits provided or to be provided by the Company or any its affiliates to Executive or for Executive’s benefit pursuant to the terms of this Agreement or otherwise (“Covered Payments”) are determined to constitute “excess parachute payments” within the meaning of Section 280G of the Code and would, but for this Section 9(n) be subject to the excise tax imposed under Section 4999 of the Code (or any successor provision thereto) or any similar tax imposed by state or local law or any interest or penalties with respect to such taxes (collectively, the “Excise Tax”), then the Covered Payments shall be reduced (but not below zero) to the minimum extent necessary to ensure that no portion of the Covered Payments is subject to the Excise Tax. All determinations required to be made under this Section 9(n), including whether a payment would result in an “excess parachute payment” and the assumptions utilized in arriving at such determination, shall be made by an accounting firm selected by the Company.

o.          Employee Not to Act. Executive agrees that Executive is not entitled to, and will not, exercise any rights of the Company under this Agreement or act for or on behalf of the Company under this Agreement.

[SIGNATURE PAGE FOLLOWS]

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IN WITNESS WHEREOF, the Parties hereto have executed this Agreement as of the date first written above.

	 	
GREEN BRICK PARTNERS, INC.

	 	 	 
	 	
By: 

	
/s/ James R. Brickman

	 	
Name:

	
James R. Brickman

	 	
Title:

	
Chief Executive Officer

	 	 	 
	 	
EXECUTIVE

	 	 	 
	 	
By:

	
/s/ Jed Dolson

	 	
Name:

	
Jed Dolson

	 	
Title:

	
President of Texas Region

[Signature Page to Dolson Employment Agreement]

 

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