Document:

ex10-3.htm

Exhibit 10.3

 

MUTUAL GENERAL RELEASE AGREEMENT

 

This MUTUAL GENERAL RELEASE AGREEMENT (the “Agreement”) is made and entered into as of September 11, 2015, by and between each of the undersigned (each, a “Party” and collectively, the “Parties”). 

 

WHEREAS, RW LSG Holdings LLC (“RW LSG”) has previously, from time to time, purchased from Lighting Science Group Corporation, a Delaware corporation (the “Company”) various securities of the Company pursuant to various agreements (“Company Securities”), and certain affiliates of the RW LSG have from time to time performed certain services and entered into various other agreements, arrangements and understandings with the Company in addition to those entered into by RW LSG in its capacity as a holder of Company Securities (“Additional Arrangements”); and

 

WHEREAS, the Company has requested that RW LSG agree to amend the terms of certain of the Company Securities, and consent to certain other actions being taken by the Company, and in connection with and as a condition to such amendment and consent, the Parties have agreed to enter into this Agreement.

 

NOW THEREFORE, for and in consideration of the mutual covenants and promises expressed herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, and subject to the terms and conditions set forth herein, the Parties hereby agree as follows:

 

1.     Release of Known and Unknown Claims. 

 

(a)     Each Party, on behalf of itself and each and all of its affiliates (including without limitation (i) in the case of the Company, Pegasus Capital Advisors L.P. and its affiliates, and (ii) in the case of RW LSG, Riverwood Capital Partners, L.P. and its affiliates) and their current or former officers, directors, managers, partners, equityholders, employees, agents, successors and assigns (collectively, “Representatives”) hereby irrevocably and unconditionally releases and forever discharges (in such capacity, a “Releasor”) each other Party, such other Party’s predecessors and their respective Representatives (in such capacity, each, a “Releasee”), from any and all charges, complaints, claims, liabilities, controversies, damages, actions, causes of action, suits, rights, demands, costs, attorneys’ fees, losses, penalties, fines, and expenses of any nature whatsoever, known or unknown, suspected or unsuspected, including without limitation claims under any Federal, state or foreign securities laws and the rules and regulations promulgated thereunder (each a “Claim”) which such Releasor now has, owns or holds, or claims to have, own or hold, or at any time heretofore had, owned or held, or claimed to have, owned or held against any Releasee, in each case related to or arising from actions or omissions occurring prior to the date hereof and related to or arising from any Additional Arrangements or such Releasor’s or Releasee’s interests in the Company or any Company Securities (each a “Released Claim”). 

 

(b)     Notwithstanding the foregoing, “Released Claim” shall not include any claim by a Releasor solely in its individual capacity as a director or officer of the Company or any of its Subsidiaries, and this Agreement shall in no way limit the rights or obligations of any director or officer of the Company or any of its subsidiaries with respect to the exercise by such individual of his or her fiduciary duties solely in such individual capacity, nor affect (i) any right of any director or officer of the Company or any of its subsidiaries solely in its individual capacity as such to insurance, indemnification, expense reimbursement or similar compensation and benefits, (ii) any Claim that is the subject of a currently pending litigation (including any litigation where the current judgment is subject to appeal), insurance, indemnification or expense reimbursement claim, or (iii) the rights and obligations of the parties under the Equity Purchase Agreement, dated September 11, 2015 between LSGC Holdings III LLC and RW LSG, and the Membership Purchase Option, dated September 11, 2015, between LSGC Holdings III LLC and Riverwood Capital Partners, L.P.. 

 

 

 

 

  

(c)     As used herein: “affiliate” means, with respect to any Person, any other Person that, directly or indirectly through one or more intermediaries, controls, or is controlled by, or is under common control with, such Person, and the term “control” (including the terms “controlled by” and “under common control with”) means the possession, directly or indirectly, of the power to direct or cause the direction of the management and policies of such Person, whether through ownership of voting securities, by contract or otherwise; and “Person” means any individual, corporation, partnership, limited liability company, joint venture or other entity.

 

2.     Non-Interference Covenant. For a period of three years after the date hereof, each Party agrees not to, and to cause their respective affiliates (including without limitation (i) in the case of the Company, Pegasus Capital Advisors L.P. and its affiliates, and (ii) in the case of RW LSG, Riverwood Capital Partners, L.P. and its affiliates) not to, cause, induce or encourage any supplier, distributor, customer, consultant, vendor, retailer or other entity that performs a similar function for, or any other person or entity who has a material business relationship with, the other Party and its controlled affiliates, to terminate or materially adversely modify any such relationship, including without limitation by publicly making or publishing negative or disparaging remarks that are known or intended to have such effect.

 

3.     Right to Consult an Attorney. Each Party expressly acknowledges and agrees that it: (i) has been advised to consult with an attorney (who is familiar with the provisions of California Civil Code Section 1542) before signing this Agreement; (ii) has carefully read this Agreement in its entirety, (iii) fully understands the significance of all of the terms and conditions of this Agreement and has discussed them with its independent legal counsel, or has had a reasonable opportunity to do so; (iv) has had answered to its satisfaction by its independent legal counsel any questions it has asked with regard to the meaning and significance of any of the provisions of this Agreement; and (v) is signing this Agreement voluntarily and of its own free will and agrees to abide by all the terms and conditions contained herein.

 

	 	
4.
	
Waiver of California Civil Code Section 1542.

 

(a)     Each Party hereby expressly waives and relinquishes all rights and benefits afforded by California Civil Code Section 1542 and does so understanding and acknowledging the significance and consequences of such specific waiver of California Civil Code Section 1542.

 

(b)     Each Party acknowledges and understands that California Civil Code Section 1542 provides as follows:

 

A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS WHICH THE CREDITOR DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER FAVOR AT THE TIME OF EXECUTING THE RELEASE, WHICH IF KNOWN BY HIM OR HER MUST HAVE MATERIALLY AFFECTED HIS OR HER SETTLEMENT WITH THE DEBTOR.

 

 

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Thus, notwithstanding the provisions of Section 1542, each Party expressly acknowledges and agrees that the release set forth in Section 1 above is intended to include and does include in its effect, without limitation, all such claims which such Party does not know or suspect to exist at the time of the execution of this Agreement, and that this Agreement contemplates the extinguishment of those claims.

 

5.     Series H Preferred Stock Rights. The Company has been informed and provided a copy of that certain Membership Interest Purchase Option (the “Pegasus Call Option”), dated as of the date hereof, by and between Riverwood Capital Partners, L.P. and the LSGC Holdings III LLC (“Holdings III”). As additional consideration for entering into this Agreement, RW LSG agrees that if Holdings III has properly delivered an exercise notice pursuant to the Pegasus Call Option, RW LSG shall not exercise the “Optional Redemption Right” as defined in and pursuant to the Certificate of Designation of Series H Convertible Preferred Stock (as may be amended from time to time, the “Series H Certificate of Designation), or otherwise submit any shares of Series H Convertible Preferred Stock to the Company for “Redemption” as defined in and pursuant to the terms of the Series H Certificate of Designation, or initiate or exercise rights with respect to a “Control Event” as defined in and pursuant to the Series H Certificate of Designation, in each case from the time of such exercise through the Closing (as defined in the Pegasus Call Option) (unless such exercise is abandoned or terminated).

 

6.     Representations and Warranties of the Parties. Each Party hereby represents and warrants to the other Releasees that such Party has not assigned, transferred, subrogated, purported to assign any Released Claim.

 

7.     Non-Assistance. Each Party agrees that it will not, and will not cause any of its Representatives to, voluntarily promote, assist, or participate in any other Claims against the other Releasees with respect to the Company or the Company Securities unless compelled to do so by court order, duly authorized subpoena, or order of a valid governmental authority.

 

8.     No Admissions. Nothing contained herein is an admission of wrongdoing or liability by any of the Parties, their Representatives or the other respective Releasees.

 

9.     Miscellaneous.

 

(a)     This Agreement shall be binding on the Parties and, as applicable, upon their heirs, administrators, Representatives, executors, successors and assigns, and shall inure to their benefit and to that of their heirs, administrators, representatives, executors, successors and assigns.

 

(b)     The Parties acknowledge that the Parties and, if represented, their counsel have reviewed and revised this Agreement and that the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of this Agreement or any exhibits or amendments hereto.

 

(c)     As used in this Agreement, the term “or” shall be deemed to include the term “and/or” and the singular or plural number shall be deemed to include the other whenever the context so indicates or requires.

 

 

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(d)     No waiver by any of the Parties of any term or provision of this Agreement shall be a waiver of any preceding, concurrent or succeeding breach of this Agreement or of any other term or provision of this Agreement. No waiver shall be binding on the part of, or on behalf of, any other party entering into this Agreement.

 

(e)     If any provision of this Agreement is deemed to be illegal, invalid, or unenforceable, such portion shall be deemed modified in such manner as to render such portion valid, legal and enforceable to the fullest extent permitted by law in such jurisdiction. The legality, validity and enforceability of the remaining parts shall not be affected.

 

(f)     Any amendment or modification of this Agreement must be in writing, and signed by each Party.

 

(g)     This Agreement, together with the documents expressly referenced herein, contains all of the terms and conditions agreed upon by the Parties regarding the subject matter of this Agreement. Any prior agreements, promises, negotiations or representations, either oral or written, relating to the subject matter of this Agreement are of no force or effect.

 

(h)     For the purpose of this Agreement, all communications provided for in this Agreement, shall be in writing and shall be deemed to have been duly given if delivered personally, if delivered by overnight courier service, or if mailed by registered mail, return receipt requested, postage prepaid, addressed to the respective addresses, sent via electronic mail to the respective email address or sent via facsimile to the respective facsimile numbers, as the case may be, as set forth below, or to such other address as either party may have furnished to the other in writing in accordance herewith, except that notice of change of address shall be effective only upon receipt; provided, however, that (i) notices sent by personal delivery, electronic mail or overnight courier shall be deemed given when delivered; (ii) notices sent by facsimile transmission shall be deemed given upon the sender’s receipt of confirmation of complete transmission, and (iii) notices sent by registered mail shall be deemed given two days after the date of deposit in the mail.

 

If to RW LSG Holdings, LLC, to:

 

c/o Riverwood Capital Management L.P.

70 Willow Road, Suite 100  

Menlo Park, CA 94025  

Attention: Jeffrey T. Parks  

Tel: (650) 618-7300

Fax:  (650) 618-7114  

Email: jeff@rwcm.com

 

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

 

Simpson Thacher & Bartlett LLP

2550 Hanover Street

Palo Alto, CA 94304

Attention: Kirsten Jensen

Tel: (650) 251-5000
Fax: (650) 251-5002

Email: kjensen@stblaw.com 

 

 

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If to the Company:

 

Lighting Science Group Corporation 
1830 Penn Street
Melbourne, FL 32901
Attention: Philip J. Ragona, General Counsel
Tel: (321) 779-5520 
Fax: (321) 779-5521 
Email: phil.ragona@lsgc.com

 

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

 

Haynes and Boone, LLP 
2323 Victory Avenue, Suite 700 
Dallas, TX 75219 
Attention: Ryan R. Cox 
Tel: (214) 651-5273
Fax: (214) 200-0534 
Email: ryan.cox@haynesboone.com

 

 

(i)     This Agreement and the rights, duties and obligations of the parties hereto shall be interpreted, construed, performed, and enforced in accordance with and shall be governed by the laws of the State of Delaware, without giving effect to its conflict of law provisions.

 

(j)     This Agreement may be executed in one or more counterparts, each of which shall be deemed an original, all of which shall constitute one and the same instrument together. Delivery of an executed signature page to this Agreement by facsimile or other electronic transmission (including documents in Adobe PDF format) will be effective as delivery of a manually executed counterpart to this Agreement

 

 

*     *     *     *     *

 

 

5

 

 

IN WITNESS WHEREOF, the parties have executed this Mutual General Release Agreement on the dates set forth below.

 

 

 

	
 
	
Lighting Science Group Corporation
	
 

	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
 

	
 
	
By: 
	
/s/ Ed Bednarick
	
 

	
 
	
Name:
	
Ed Bednarcik 
	
 

	
 
	
Title:  
	
Chief Executive Officer
	
 

	 	 	 	 
	 	 	 	 
	 	 	 	 
	 	RW LSG HOLDINGS LLC	 
	 	 	 
	 	By: Riverwood Capital Management, L.P.,	 
	 	its Managing Member	 
	 	 	 
	 	By: Riverwood Capital Management Ltd.,	 
	 	its General Partner	 
	 	 	 	 
	 	 	 	 
	 	By:	/s/ Thomas J. Smach	 
	 	Name: 	Thomas J. Smachex10-4.htm

Exhibit 10.4

 

 

 

 

September 11, 2015

 

 

Lighting Science Group Corporation

BioLogical Illumination, LLC

1830 Penn Street

Melbourne, Florida 32901

Attn.: Chief Financial Officer

Facsimile No.:      (321) 779-5521

 

 

Ladies and Gentlemen:

 

Reference is hereby made to that certain Loan and Security Agreement dated as of April 25, 2014 (as at any time amended, restated, supplemented or otherwise modified, the "Loan Agreement"), among LIGHTING SCIENCE GROUP CORPORATION, a Delaware corporation ("LSG"), BIOLOGICAL ILLUMINATION, LLC, a Delaware limited liability company ("BioLogical"; LSG and BioLogical are hereinafter referred to collectively as "Borrowers" and each individually as a "Borrower"), the various financial institutions from time to time party thereto as lenders (collectively, "Lenders") and ACF FINCO I LP, as assignee of FCC, LLC, in its capacity as agent for Lenders (together with its successors and assigns in such capacity, "Agent"). Each capitalized term used herein, unless otherwise defined herein, shall have the meaning ascribed to such term in the Loan Agreement.

 

Borrowers, Agent and Lenders desire to amend the Loan Agreement, on the terms and subject to the conditions hereinafter set forth.

 

NOW, THEREFORE, for TEN DOLLARS ($10.00) in hand paid and other good and valuable consideration, the receipt and sufficiency of which are hereby severally acknowledged, the parties hereto, intending to be legally bound hereby, agree as follows:

 

The Loan Agreement is hereby amended as follows:

 

(a)     By deleting clause (b) from the definition of "Permitted Liens" set forth in Section 1 of the Loan Agreement and by substituting in lieu thereof the following:

 

(b)     deposits or pledges to secure (i) statutory obligations, (ii) surety or appeal bonds, or (iii) bonds for release of attachment, stay of execution or injunction; provided, that no deposit or pledge to secure a Geveran Appeal Bond shall constitute a Permitted Lien;

 

(b)     By adding the following definitions of "Geveran Appeal Bond", "Geveran Indemnitor", "Geveran Subordinated Creditor", "Geveran Surety", "Specified Appeal Bond Documents", "Specified Geveran Documents", "Specified Geveran Intercreditor Amendment", "Third Amendment", and "Third Amendment Date" to Section 1 of the Loan Agreement in alphabetical order:

 

 

 

 

  

"Geveran Appeal Bond" shall mean any bond posted in connection with the Geveran Case, including the Appeal Bond (as defined in the Second Amendment).

 

"Geveran Indemnitor" shall mean any obligor or indemnitor under a Geveran Appeal Bond.

 

"Geveran Subordinated Creditor" shall mean any Person that is a "Sponsor Affiliate" under (and as defined in) the Geveran Appeal Bond Rights Subordination Agreement or that otherwise is a holder of "Subordinated Obligations" (as defined in the Geveran Appeal Bond Rights Subordination Agreement).

 

"Geveran Surety" shall mean any surety with respect to a Geveran Appeal Bond.

 

"Specified Appeal Bond Documents" shall mean documentation executed in connection with the Order Entry (as defined in the Second Amendment) that is identical in form to the drafts of such documentation that are attached as Exhibit A to the Third Amendment, other than changes that solely consist of inserting the dates of such documents and confirming the final "Bond Amount" (as defined in such documentation).

 

"Specified Geveran Documents" shall mean the Specified Appeal Bond Documents, the Specified Geveran Intercreditor Amendment, the Geveran Appeal Bond Rights Subordination Agreement and the Second Lien Geveran Appeal Bond Rights Subordination Agreement.

 

"Specified Geveran Intercreditor Amendment" shall mean an agreement in the form attached as Exhibit D to the Third Amendment.

 

"Third Amendment" means that certain letter amendment to this Agreement dated the Third Amendment Date among Obligors, Agent and Lenders.

 

"Third Amendment Date" means September 11, 2015.

 

(c)     By deleting the definitions of "Certificates of Designation", "Change of Control", "Geveran Appeal Bond Rights", "Geveran Appeal Bond Rights Subordination Agreement" and "Second Lien Geveran Appeal Bond Rights Subordination Agreement" from Section 1 of the Loan Agreement and by substituting the following in lieu thereof, respectively:

 

"Certificates of Designation" means, collectively, the Certificates of Designation filed with the Delaware Secretary of State with respect to the Series H Preferred Shares of LSG, the Series I Preferred Shares of LSG, the Series J Preferred Shares of LSG and the Series J Preferred Shares of LSG, in each case as in effect on the Third Amendment Date.

 

"Change of Control" means (a) the transfer (in one transaction or a series of transactions) of all or substantially all of the assets of any Borrower or any other Obligor to any Person or group (as such term is used in Section 13(d)(3) of the Securities Exchange Act of 1934, as in effect from time to time), other than as permitted in Section 8(a) hereof; (b) the liquidation or dissolution of any Borrower or any other Obligor or the adoption of a plan by the stockholders of any Borrower or any other Obligor relating to the dissolution or liquidation of such Borrower or such Obligor; (c) the acquisition by any Person or group (as such term is used in Section 13(d)(3) of the Securities Exchange Act of 1934, as in effect from time to time), except for Sponsor, of beneficial ownership, directly or indirectly, of a greater share of the voting power of the total outstanding voting stock of any Borrower or any Guarantor or the board of directors of any Borrower than is held by the Sponsor at such time; (d) (i) Sponsor fails to (i) own and control, directly or indirectly, more than 35.0% of the equity interests of any Borrower having the right to vote for the election of members of the board of directors of such Borrower or (ii) own and control, directly or indirectly, more than 35.0% of the economic interests in respect of the equity interests of any Borrower; (e) the failure of LSG to own directly or indirectly one hundred percent (100.0%) of the voting power of the total outstanding voting stock of any other Obligor, except as expressly permitted under Section 8(a) hereof; or (f) a Change of Control as defined in any Certificate of Designation.

 

 

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"Geveran Appeal Bond Rights" has the meaning set forth in Section 13(a)(xxvi).

 

"Geveran Appeal Bond Rights Subordination Agreement" shall mean an agreement in the form attached as Exhibit B to the Third Amendment.

 

"Second Lien Geveran Appeal Bond Rights Subordination Agreement" shall mean an agreement identical in form (other than changes that solely consist of inserting the date of such agreement) to the draft of such agreement attached as Exhibit C to the Third Amendment, as long as such agreement does not become effective prior to the effectiveness of the Geveran Appeal Bond Rights Subordination Agreement or the Specified Geveran Intercreditor Amendment.

 

(d)     By deleting the word "not" after the phrase "No Borrower will" in Section 8(a) of the Loan Agreement.

 

(e)     By deleting Section 8(c)(i)(D) of the Loan Agreement in its entirety and by substituting in lieu thereof the following:

 

(D)     LSG may effect a redemption of its Series H Preferred Shares, Series I Preferred Shares, Series J Preferred Shares and Series K Preferred Shares, in each case pursuant to the terms of the applicable Certificates of Designation; provided, that, in all events Borrowers shall indefeasibly repay the Obligations in full and cause all Letters of Credit to be cancelled and returned (or cash collateralized pursuant to Section 17(c)) at least 1 Business Day prior to the date on which LSG effects such redemption as permitted by this Section 8(c).

 

(f)     By deleting Section 8(h) of the Loan Agreement in its entirety and by substituting the following in lieu thereof:

 

(h)     Notice of Geveran Litigation. Borrowers' Agent shall notify Agent and each Lender promptly (and in any event within two (2) Business Days) of the Order Entry (as defined in the Second Amendment);

 

(g)     By deleting clauses (xviii) and (xix) of Section 13(a) of the Loan Agreement and by substituting the following in lieu thereof:

 

(xviii) entry or filing of any one or more judgments, orders, or awards for the payment of money in the Geveran Case involving an aggregate amount of $250,000 or more, against a Borrower or any of its subsidiaries, or with respect to any of their respective assets, if either:

 

 

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(A)     there is a period of forty-five (45) consecutive days at any time after the entry of any such judgment, order, or award during which (1) the same is not discharged, satisfied, vacated, or bonded pending appeal, or (2) a stay of enforcement thereof is not in effect;

 

(B)     enforcement proceedings are commenced with respect to any such judgment, order, or award against any Obligor, any subsidiary of an Obligor, or any property of an Obligor or a subsidiary of an Obligor;

 

(C)     any Person becomes a lien creditor (as defined in the Uniform Commercial Code as in effect from time to time in any applicable jurisdiction) as a result of or based upon any such judgment, order or award entered or rendered in the Geveran Case; or

 

(D)     as a result of the entry or rendition of any such judgment, order or award, any Lien in favor of Agent is (or with the passage of time, may become) subordinate in priority to any Lien arising from or created by such judgment, order or award;

 

(xix) any Lien with respect to any of the Collateral shall exist in favor of any Person (including, without limitation, Sponsor, any of Sponsor's Affiliates, any Geveran Surety or any Geveran Indemnitor) with respect to or otherwise in connection with a Geveran Appeal Bond,

 

(xx) any Obligor other than LSG shall agree to become liable for any obligations with respect to a Geveran Appeal Bond, whether as a guarantor, indemnitor or otherwise, 

 

(xxi) any payment by any Obligor shall become due with respect to a Geveran Appeal Bond (unless such payment is paid in full by a Geveran Subordinated Creditor when it becomes due); provided, that this clause (xxi) shall not prohibit LSG from paying premium payments to one or more Geveran Sureties in connection with the posting of one or more Geveran Appeal Bonds, as long as the aggregate amount of all such premium payments paid by LSG does not exceed $200,000,

 

(xxii) any Geveran Surety shall make any payment with respect to a Geveran Appeal Bond and shall not be reimbursed in full for such payment by a Geveran Subordinated Creditor within five (5) Business Days thereafter,

 

(xxiii) any Borrower, Obligor, Sponsor or Affiliate of Sponsor shall execute any agreement other than the Second Lien Geveran Appeal Bond Rights Subordination Agreement in favor of the Term Loan Parties (or any of them) that provides for the subordination of any Geveran Appeal Bond Rights,

 

(xxiv) any Obligor shall enter into any documentation in respect of a Geveran Appeal Bond without Agent's written consent (not to be unreasonably withheld or delayed) other than (A) the Specified Geveran Documents, and (B) corporate or other company authorization documentation that does not alter the Specified Geveran Documents or otherwise contravene the provisions of this Agreement, as long as the form of such authorization documentation is provided to Agent prior to the execution thereof,

 

 

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(xxv) Sponsor, any of Sponsor’s Affiliates, or any Obligor shall enter into any Specified Appeal Bond Documents unless:

 

(A)     concurrently with the execution of such Specified Appeal Bond Documents, Borrowers' Agent shall provide Agent with true, correct and complete copies of such Specified Appeal Bond Documents, together with a certification from an authorized officer of Borrowers' Agent that such copies are true, correct and complete;

 

(B)     prior to the execution of such Specified Appeal Bond Documents, Borrowers' Agent shall have provided to Agent fully executed copies of the Geveran Appeal Bond Rights Subordination Agreement and, if a Second Lien Geveran Appeal Bond Rights Subordination Agreement is executed in connection with such documents, (1) a true, correct and complete copy of such Second Lien Geveran Appeal Bond Rights Subordination Agreement, and (2) a fully executed copy of the Specified Geveran Intercreditor Amendment; 

 

(C)     the "Bond Amount" (as defined in the Specified Appeal Bond Documents) is not greater in the aggregate than the lesser of (A) $25,000,000, and (B) 50% of the amount of the judgment, order or award entered or rendered in the Geveran Case pursuant to the Order Entry (as defined in the Second Amendment); and 

 

(xxvi) whether pursuant to the Specified Geveran Documents or otherwise in connection with a Geveran Appeal Bond, any Person (including, without limitation, Sponsor, any of Sponsor's Affiliates, any Geveran Surety or any Geveran Indemnitor) shall have recourse against any Obligor or any Collateral that is in either case senior to or pari passu with the interests of Agent or any Lender (other than pari passu recourse with respect to LSG (but not to any other Obligor or any Collateral) for amounts that are to be reimbursed by a Geveran Subordinated Creditor in accordance with Section 13(a)(xxii), as long as such amounts are actually reimbursed by a Geveran Subordinated Creditor in accordance with Section 13(a)(xxii) and not reimbursed by LSG or any other Obligor); provided, that it is understood and agreed that certain Persons who procure or participate in the procurement of a Geveran Appeal Bond may have rights of contribution or indemnification from LSG or other Obligors and any such rights of contribution or indemnification (collectively, "Geveran Appeal Bond Rights") in favor of the Sponsor or any of Sponsor’s Affiliates shall be subject to the Geveran Appeal Bond Rights Subordination Agreement.

 

(h)     By deleting Item 8 of the Schedule in its entirety and by substituting in lieu thereof the following:

 

8.     Interest Margin:     5.50%

 

(i)     By deleting the section entitled "If to Agent or Lenders:" from Item 31 of the Schedule and by substituting in lieu thereof the following:

 

 

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If to Agent or Lenders:                                                       ACF FinCo I LP

580 White Plains Road, Suite 610

Tarrytown, NY 10580

Attn.: Oleh Szczupak

Facsimile No.: (914) 418-1217

 

In consideration of the foregoing amendments, Borrowers agree to deliver to the Agent true, correct and complete executed copies of all Specified Appeal Bond Documents within ten (10) Business Days after the Order Entry (as defined in the Second Amendment), or such later date to which the Agent may consent in its sole discretion. 

 

The effectiveness of the amendments contained herein is subject to Agent's receipt of (a) a duly executed amendment to the Term Loan Agreement in form and substance satisfactory to Agent, and (b) a duly executed secretary's or manager's certificate of resolutions with respect to each Borrower, in each case in form and substance satisfactory to Agent.

 

By its signature hereto, each Borrower hereby (a) ratifies and reaffirms the Obligations, each of the Loan Documents and all of such Borrower's covenants, duties, indebtedness and liabilities under the Loan Documents; (b) acknowledges and stipulates that the Loan Agreement and the other Loan Documents executed by such Borrower are legal, valid and binding obligations of such Borrower that are enforceable against such Borrower in accordance with the terms thereof; all of the Obligations are owing and payable without defense, offset or counterclaim (and to the extent there exists any such defense, offset or counterclaim on the date hereof, the same is hereby waived by each Borrower); and the security interests and liens granted by such Borrower in favor of Agent are duly perfected, first priority security interests and liens; (c) represents and warrants to Agent and Lenders, to induce Agent and Lenders to enter into this agreement, that (i) no Default exists on the date hereof or would result from the effectiveness of this agreement, (ii) the execution, delivery and performance of this agreement have been duly authorized by all requisite company action on the part of such Borrower and this agreement has been duly executed and delivered by such Borrower, and (iii) all of the representations and warranties made by such Borrower in the Loan Agreement are true and correct on and as of the date hereof; and (d) acknowledges that LIBOR is presently 0.20% per annum and, therefore, the rate of interest in effect on the date hereof, expressed in simple interest terms, is 5.70% per annum with regard to any loans outstanding under the Loan Agreement bearing interest based upon LIBOR.

 

In consideration of Agent's and Lenders' willingness to enter into this agreement, Borrowers jointly and severally agree to pay to Agent and Lenders, on demand, all costs and expenses (including taxes and legal fees and expenses) incurred by Agent and Lenders in connection with the preparation, negotiation and execution of this agreement and any other Loan Documents executed pursuant hereto and any and all amendments, modifications, and supplements thereto. Except as otherwise expressly provided in this agreement, nothing herein shall be deemed to amend or modify any provision of the Loan Agreement or any of the other Loan Documents, each of which shall remain in full force and effect. This agreement is not intended to be, nor shall it be construed to create, a novation or accord and satisfaction, and the Loan Agreement as herein modified shall continue in full force and effect. This agreement shall be governed by and construed in accordance with the internal laws of the State of Georgia and shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns. This agreement may be executed in any number of counterparts and by different parties to this agreement on separate counterparts, each of which, when so executed, shall be deemed an original, but all such counterparts shall constitute one and the same agreement. Any manually executed signature page hereto that is delivered by facsimile or other electronic transmission shall be deemed to be an original signature hereto. To the fullest extent permitted by applicable law, the parties hereto each hereby waives the right to trial by jury in any action, suit, counterclaim or proceeding arising out of or related to this agreement.

 

 

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To induce Agent and Lenders to enter into this Amendment, each Borrower hereby RELEASES, ACQUITS AND FOREVER DISCHARGES Agent and each Lender, and all officers, directors, agents, employees, successors and assigns of Agent or any Lender, from any and all liabilities, claims, demands, actions or causes of action of any kind or nature (if there be any), whether absolute or contingent, disputed or undisputed, at law or in equity, or known or unknown, that any Borrower now has or ever had against Agent or any Lender arising under or in connection with any of the Loan Documents or otherwise. Each Borrower represents and warrants to Agent and Lenders that such Borrower has not transferred or assigned to any Person any claim that such Borrower ever had or claimed to have against Agent or any Lender.

 

[Signatures appear on following page]

 

 

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The parties hereto have caused this agreement to be duly executed under seal and delivered by their respective duly authorized officers on the date first written above.

 

	
 
	
AGENT AND SOLE LENDER:
	
 

	 	 	 
	 	ACF FINCO I LP, as assignee of FCC, LLC 	 
	
 
	
 
	
 
	
 

	
 
	
By: 
	
/s/ Oleh Szczupak
	
 

	
 
	
Name:
	
Oleh Szczupak
	
 

	
 
	
Title:
	
Vice President
	
 

 

 

Accepted and agreed to:

 

BORROWERS:

 

LIGHTING SCIENCE GROUP CORPORATION

 

By: /s/ Ed Bednarcik                                                    

Name: Ed Bednarcik                                                     

Title: Chief Executive Officer                                     

 

 

BIOLOGICAL ILLUMINATION, LLC

 

By: /s/ Phil Ragona                                                      

Name: Phil Ragona                                                       

Title: Executive Vice President and Secretary          

 

 

Consented to by Guarantor:

 

 

LSGC, LLC

 

By: /s/ Phil Ragona                                                          

Name: Phil Ragona                                                           

Title: Executive Vice President and Secretary

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00249-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00249-of-00352.parquet"}]]