Document:

Exhibit 10.3

 

 

 

 

 

 

 

 

 

Exclusive
Option Agreement

 

 

Beijing Asian League Wins Technology Co., Ltd,

 

Shuhua Liu, Beijing Chuang Jia Lian Consulting Co., Ltd.

 

and

 

Hengshui Jingzhen Environmental Company Limited

 

 

 

 

 

 

 

 

 

     

     

    

 

Table of Contents

  

	Section	 	Page
	 	 	 	 
	1.   	Sales and Purchase of Equity Interests	 	2
	 	 	 	 
	2.   	Covenant Relating to Equity Interests	 	4
	 	 	 	 
	3.   	Assets Purchase Option	 	7
	 	 	 	 
	4.  	Representations and Warranties of Party B and Party C	 	8
	 	 	 	 
	5.  	Effective Date and Term	 	9
	 	 	 	 
	6.  	Governing Law and Dispute Resolution	 	10
	 	 	 	 
	7.  	Taxes and Fees	 	10
	 	 	 	 
	8.   	Confidentiality	 	10
	 	 	 	 
	9.   	Further Assurance	 	11
	 	 	 	 
	10.   	Termination, Breach and Indemnification	 	11
	 	 	 	 
	11.   	Miscellaneous	 	12

 

     

     

    

 

This EXCLUSIVE OPTION
AGREEMENT (this “Agreement”) is entered into on January 20, 2021 by and among:

 

		A	Beijing Asian League Wins Technology Co., Ltd, a limited liability company duly incorporated
and existing under the laws of the People’s Republic of China (the “PRC”), with its address at 1162, 1/F,
15 Xiaoyun Road, Chaoyang District, Beijing, PRC (“Party A”);

 

		B	Shuhua Liu, a citizen of the PRC with the identity card number of __________;

 

		C	Beijing Chuang Jia Lian Consulting Co., Ltd., a limited liability company duly incorporated
and existing under the laws of the People’s Republic of China (the “PRC”), with its address at 3225, Floor
3, Building 6, No. 15, Guangximen Beili, Chaoyang District, Beijing, PRC (“Beijing Chuang Jia Lian”, together
with Shuhua Liu, “Party B”);

 

		D	Hengshui Jingzhen Environmental Company Limited, a limited liability company duly incorporated
and existing under the laws of the PRC, with its address at North Side of Changning Road, Economic and Technological Development
Zone, Hengshui City, Hebei Province, PRC (“Party C”);

 

Party A, Party B
and Party C shall be hereinafter referred to as the “Parties” collectively, and each as a “Party”
respectively.

 

Whereas,

 

		1	Party B holds in aggregate 100% equity interests of Party C. Shuhua Liu holds 75% equity interests
of Party C and Beijing Chuang Jia Lian holds 25% equity interests of Party C.

 

		2	Party A and Party C entered in to an exclusive technology development, consulting and
                                                         services agreement dated January 20, 2021 (the “Exclusive Technology Development, Consulting and Services
                                                         Agreement”).

 

		3	Party A, Party B and Party C entered into an equity pledge agreement dated January 20, 2021
                                                         (the “Equity Pledge Agreement”).

 

		4	Each of Party B executed and delivered a power of attorney dated January 20, 2021 (the
                                                         “Power of Attorney”).

 

Through mutual discussion,
the Parties have reached a consensus in respect to the exclusive option. For the purpose of the clarification of the rights and
obligations of the Parties, the Parties enter into this Agreement for mutual compliance.

 

    	 	Exclusive Option Agreement	1

     

    

 

		1.	Sales and Purchase of Equity Interests

 

		(1)	Grant of Option

 

		(a)	Party B hereby irrevocably grants Party A, to the extent permitted by laws of the PRC, in accordance
with the steps of exercise determined by Party A in its sole discretion, an irrevocable and exclusive option to purchase, or to
designate a person or persons (the “Nominee”) to purchase from Party B, at any time, all or part of the equity
interests held at present or to be held by Party B in Party C (regardless of whether the contribution or shareholding of Party
B changes in the future) at the price stipulated in Section 1(3) herein (the “Equity Interest Purchase Option”).
Except for Party A and the Nominee(s), no third person shall have the Equity Interest Purchase Option or any other rights related
to the shareholder’s rights. Party C hereby agrees to the grant of the Equity Interest Purchase Option to Party A by Party
B.

 

		(b)	Reference to “person” in this Section and this Agreement means any individual,
corporation, joint venture, partnership, enterprise, trust or non-corporate entity.

 

		(2)	Exercise Steps

 

The exercise
of the Equity Interest Purchase Option by Party A shall be subject to the compliance with laws and regulations of the PRC. When
Party A exercises the Equity Interest Purchase Option, a written notice shall be issued to Party B (the “Equity Interest
Purchase Notice”), specifying the following:

 

		(a)	Party A’s decision to exercise the Equity Interest Purchase Option;

 

		(b)	the portion of equity interests to be purchased by Party A from Party B (the “Purchased
Equity Interest”); and

 

		(c)	the date for purchasing the Purchased Equity Interests.

 

		(3)	Purchase Price for Purchased Equity Interests

 

The purchase
price for the Purchased Equity Interest (the “Equity Interest Purchase Price”) shall be RMB100. If the laws
of the PRC require an evaluation of the Purchased Equity Interests upon the exercise by Party A, the Parties shall negotiate in
good faith, and make necessary adjustment to the Equity Interest Purchase Price on the basis of the result of the evaluation for
the compliance of the minimum price permitted by laws and regulations of the PRC then applicable. Notwithstanding of the foregoing,
if Party A and Party B agree otherwise, such agreement shall prevail.

 

    	 	Exclusive Option Agreement	2

     

    

 

		(4)	Transfer of Purchased Equity Interests

 

Upon each
exercise of the Equity Interest Purchase Option by Party A:

 

		(a)	Party B shall cause Party C to promptly convene a shareholders’ meeting, at which a resolution
shall be adopted approving Party B’s transfer of the Purchased Equity Interests to Party A and/or the Nominee(s);

 

		(b)	Party B shall issue the written statements to give consent to the transfer of the Purchased Equity
Interests to Party A and/or the Nominee(s) and waive any right of first refusal related thereto;

 

		(c)	Party B shall execute an equity interests transfer agreement with respect to each transfer, in
accordance with the provisions of this Agreement and the Equity Interest Purchase Notice with Party A and/or the Nominee(s) (if
applicable);

 

		(d)	The relevant parties shall execute all other necessary contracts, agreements or documents, obtain
all necessary government licenses and permits, and take all necessary actions to transfer the valid ownership, free from any security
interests, of the Purchased Equity Interests to Party A and/or the Nominee(s), and cause Party A and/or the Nominee(s) to become
the registered owner(s) of the Purchased Equity Interests.

 

		(e)	For purpose of this section and this Agreement, reference to “security interests”
includes any guarantee, pledge, third party right or interests, option to purchase shares, right to acquire, right of first refusal,
right to set-off, retention of title or other arrangement of guarantee, but, for the avoid of doubt, excludes any security interests
created pursuant to this Agreement and the Equity Pledge Agreement, that is, in accordance with the Equity Pledge Agreement, Party
B shall pledge all the equity interests it holds in Party C in favour of Party A for securing the performance of the obligations
under the Exclusive Technology Development, Consulting and Services Agreement by Party C.

 

    	 	Exclusive Option Agreement	3

     

    

 

		2.	Covenant Relating to Equity Interests

 

		(1)	Party C hereby covenants that:

 

		(a)	it shall not, without prior written consent of Party A or Summit Networks Inc., the parent company
of Party A (the “Party A’s Parent Company”), supplement, modify, or amend the charter documents and any
other constitutional documents of Party C, increase or reduce the registered capital of Party C, or otherwise change the structure
of the registered capital of Party C;

 

		(b)	it shall, in accordance with the good financial and business standard and practice, maintain the
good existing, and carry out its business and manage its affairs in a diligent and effective way;

 

		(c)	without prior written consent of Party A or Party A’s Parent Company, it shall not sell,
transfer, pledge or otherwise dispose of any of its assets, business, income or other legal interests, or permit to create any
other security interest thereon;

 

		(d)	without prior written consent of Party A or Party A’s Parent Company, it shall not incur,
inherent, assume or permit the existence of any indebtedness, except those:

 

		(i)	incurred in the usual or ordinary course of business other than by way of borrowing; and

 

		(ii)	which has been disclosed to Party A whose prior written consent has been obtained;

 

		(e)	it shall continue to carry out the business in the ordinary course to preserve the value of Party
C’s assets, and refrain from any act/omission that may have material effect on its condition of business and asset value;

 

		(f)	without prior written consent of Party A or Party A’s Parent Company, it shall not enter
into or terminate any material contract, other than in the ordinary course of business, the material contract above mentioned means
any contract with a value exceeding RMB50,000;

 

		(g)	without prior written consent of Party A or Party A’s Parent Company, it shall not provide
any loan or credit to any person;

 

    	 	Exclusive Option Agreement	4

     

    

 

		(h)	it shall provide to Party A, at its request, all the operational and financial information of Party
C;

 

		(i)	If required by Party A or Party A’s Parent Company, Party C shall purchase from and maintain
with an insurer acceptable to Party A adequate insurance, the insured amount and coverage of which are as same as what is usually
maintained by a company running similar business and owing similar properties or assets in the same area;

 

		(j)	without prior written consent of Party A or Party A’s Parent Company, it shall not merge,
consolidate with, acquire or invest in any person;

 

		(k)	it shall immediately notify Party A of the occurrence or possible occurrence of any litigation,
arbitration or administrative proceedings relating to the assets, business and income of Party C;

 

		(l)	it shall execute all necessary or appropriate documents, take all necessary or appropriate actions,
file all necessary or appropriate complaints, and/or raise necessary or appropriate defenses against all claims to maintain Party
C’s ownership of all its assets;

 

		(m)	without prior written consent of Party A or Party A’s Parent Company, it shall not distribute
any dividends to the shareholders in any manner, provided that upon Party A’s request, it shall immediately distribute part
or all of its distributable profits to its shareholders; and

 

		(n)	at the request of Party A, it shall appoint any person designated by Party A as a director and/or
the executive director of Party C.

 

		(2)	Party B covenants that:

 

		(a)	without the prior written consent of Party A or Party A’s Parent Company, it shall not at
any time from the date of execution of this Agreement, sell, transfer, pledge, or otherwise dispose of any legal or beneficial
interest in the equity interests of Party C held by Party B, or allow any encumbrance thereon, except the pledge placed on the
equity interests of Party C held by Party B in accordance with the Equity Pledge Agreement;

 

		(b)	without the prior written consent of Party A and Party A’s Parent Company, Party B shall
not cause the shareholders’ meeting of Party C to approve any sale, transfer, mortgage, or other disposition of any legal
or beneficial interest in the equity interests of Party C held by Party B, or allow any encumbrance thereon, except for the approval
of the pledge placed on the equity interests of Party C held by Party B in accordance with the Equity Pledge Agreement;

 

    	 	Exclusive Option Agreement	5

     

    

 

		(c)	without the prior written consent of Party A and Party A’s Parent Company, Party B shall
not cause the shareholders’ meeting of Party C to approve the merger or consolidation with any person, or the acquisition
of or investment in any person;

 

		(d)	it shall promptly notify Party A of the occurrence or possible occurrence of any litigation, arbitration,
or administrative proceedings relating to the equity interests held by Party B;

 

		(e)	it shall cause the shareholders’ meeting of Party C to approve by voting the transfer of
the Purchased Equity Interests as provided herein and to take any and all other actions as requested by Party A;

 

		(f)	it shall execute all necessary or appropriate documents, take all necessary or appropriate actions,
and/or file all necessary or appropriate claims, or raise necessary or appropriate defenses against all claims to maintain its
ownership of the equity interests;

 

		(g)	at the request of Party A, it shall appoint any person designated by Party A as a director/the
executive director of Party C;

 

		(h)	as and when requested by Party A, it shall immediately transfer, unconditionally, the Purchased
Equity Interests to Party A or its Nominee, and waive its right of first refusal with respect to such transfer of equity interests
by the other shareholders; and

 

		(i)	it shall fully comply with all provisions of this Agreement and other agreements jointly or separately
entered into by Party A, Party A’s Parent Company, Party B and Party C, duly perform all obligations under such agreements,
and refrain from any act/omission that may have material effect on the validity and enforceability of such agreements.

 

    	 	Exclusive Option Agreement	6

     

    

 

		3.	Assets Purchase Option

 

		(1)	Definition

 

Reference
to “assets” means all the assets owned by Party C, including but not limited to any immovable assets, existing
assets, intellectual properties and interests under any agreement entered into by Party C. The intellectual properties set forth
above include any patent right, patent application right, trademark right, trademark application right, trade name, copyright,
trade secret, invention, know-how, appearance design, slogan, logo, website design, publication design and domain name owned at
present or to be created, owned, enjoyed in the future by Party C.

 

		(2)	Grant of Option

 

Party C hereby
irrevocably grants Party A, to the extent permitted by laws of the PRC, in accordance with the steps of exercise determined by
Party A in its sole discretion, an exclusive option to purchase, or to designate the Nominee(s) to purchase from Party C, at any
time, all or part of the assets held by Party C at the price stipulated in Section 3(4) herein (the “Asset Purchase Option”).
Party B hereby agrees to the grant of the Asset Purchase Option to Party A by Party C.

 

		(3)	Exercise Steps

 

		(a)	The exercise of the Asset Purchase Option by Party A shall be subject to the compliance with laws
and regulations of the PRC. When Party A exercises the Asset Purchase Option, a written notice shall be issued to Party B and Party
C (the “Asset Purchase Notice”), specifying the following:

 

		(i)	Party A’s decision to exercise the Asset Purchase Option;

 

		(ii)	the assets to be purchased by Party A from Party C (the “Purchased Assets”);
and

 

		(iii)	the date for purchasing the Purchased Assets.

 

		(b)	After the delivery of the Asset Purchase Notice, upon Party A’s each exercise of the Asset
Purchase Option, Party C covenants to take, and Party B covenants to procure Party C to take, the following actions:

 

		(i)	causing Party C to promptly convene a shareholders’ meeting, at which a resolution shall
be adopted approving Party C’s transfer of the Purchased Assets to Party A and/or the Nominee(s);

 

    	 	Exclusive Option Agreement	7

     

    

 

		(ii)	executing an asset transfer agreement with respect to each transfer of the Purchased Assets, in
accordance with the provisions of this Agreement and each Asset Purchase Notice; and

 

		(iii)	executing all other necessary contracts, agreements or documents, obtaining all necessary government
licenses and permits, and taking all necessary actions to transfer the valid ownership, free from any security interests, of the
Purchased Asset to Party A and/or the Nominee(s), and completing all registrations and filings necessary for the transfer of the
intellectual properties in accordance with laws of the PRC, to cause Party A and/or the Nominee(s) to become the legally registered
owner(s) of the Purchased Asset.

 

		(4)	Asset Purchase Price

 

Unless otherwise
provided by laws of the PRC, the purchase price for the Purchased Assets (the “Asset Purchase Price”) shall
be RMB100 or the minimum price permitted by laws and regulations of the PRC. Notwithstanding of the foregoing, if Party A and Party
C agree otherwise, such agreement shall prevail. Party C shall bear all taxes and fees arising from the transfer of the Purchased
Assets.

 

		4.	Representations and Warranties of Party B and Party C

 

Each of Party
B and Party C hereby severally represents and warrants to Party A, at the date of this Agreement and at the date of each transfer,
that:

 

		(1)	It has the power and capacity to execute and deliver this Agreement, and any equity interest/asset
transfer agreement (respectively, the “Transfer Agreement”) executed for each transfer of the Purchased Equity
Interests and/or Assets to which it is a party, and to perform its obligations under this Agreement and any Transfer Agreements.
This Agreement and any Transfer Agreements to which it is a party, upon due execution by Party B and Party C, shall constitute
the legal, valid and binding obligations of, and enforceable against Party B and Party C pursuant to the terms of this Agreement
or any Transfer Agreement.

 

		(2)	None of the execution and delivery of, and the performance of its obligations under this Agreement
or any Transfer Agreements will:

 

		(a)	cause any violation of any applicable laws of the PRC;

 

    	 	Exclusive Option Agreement	8

     

    

 

		(b)	be inconsistent with the articles of association, bylaws, or other organizational documents of
Party C;

 

		(c)	cause the violation of any agreements or instruments to which it is a party or which are binding
on it, or constitute any breach under any agreements or instruments to which it is a party or which are binding on it;

 

		(d)	cause any violation of any condition for the grant and/or continued effectiveness of any licenses
or permits issued to it; or

 

		(e)	cause the suspension or revocation of or imposition of additional conditions to any licenses or
permits issued to it.

 

		(3)	Party B has a legal ownership to the equity interests of Party C held by it. Other than the pledge
placed on the equity interests of Party C held by Party B in accordance with the Equity Pledge Agreement, Party B has not placed
any security interest on such equity interests.

 

Party C hereby
represents and warrants to Party A, at the date of this Agreement and at the date of each transfer, that:

 

		(1)	Party C does not have any outstanding debts, except:

 

		(a)	the debts incurred in the ordinary course of business; and

 

		(b)	the debts disclosed to Party A for which Party A’s written consent has been obtained.

 

		(2)	Party C has complied with all applicable laws and regulations of the PRC.

 

		(3)	There is no pending or threatened litigation, arbitration, or administrative proceedings relating
to the equity interests of Party C, the assets of Party C, or Party C itself.

 

		(4)	Party C has a good and merchantable ownership to all of its assets, and has not placed any security
interest on such assets.

 

		5.	Effective Date and Term

 

This Agreement
shall become effective upon execution by the Parties and shall remain valid for ten (10) years, which may be extended for another
ten (10) years upon Party A’s unilateral decision.

 

    	 	Exclusive Option Agreement	9

     

    

 

		6.	Governing Law and Dispute Resolution

 

		(1)	Governing Law

 

The execution,
effectiveness, interpretation, performance, amendment and termination of this Agreement as well as any dispute resolution hereunder
shall be governed by laws of the PRC.

 

		(2)	Methods of Dispute Resolution

 

In the event
of any dispute arising with respect to the construction and performance of this Agreement, the Parties shall first attempt to resolve
the dispute through friendly negotiations. In the event that the Parties fail to reach an agreement on the dispute within thirty
(30) days after any Party’s written request to the other Parties for dispute resolution through negotiations, any Party may
submit the relevant dispute to Beijing Arbitration Commission for arbitration, in accordance with its arbitration rules then in
effect. The arbitration award shall be final and binding to all Parties.

 

		7.	Taxes and Fees

 

All fees
and expenses related to this Agreement, including but not limited to the legal costs, nominal fees, stamp duty and other taxes
and fees, shall be borne by Party C.

 

		8.	Confidentiality

 

		(1)	The Parties acknowledge that any oral or written information exchanged between the Parties in connection
with this Agreement are regarded as confidential information. Each Party shall maintain the confidentiality of all such confidential
information, and without obtaining the written consent of other Parties, it shall not disclose any relevant confidential information
to any third person, except that:

 

		(a)	such information is or will be featured in the public domain (other than through the receiving
Party’s unauthorized disclosure);

 

		(b)	such information is required to be disclosed by applicable laws or regulations; or

 

    	 	Exclusive Option Agreement	10

     

    

 

		(c)	such information is required to be disclosed by any Party to its legal counsels or financial advisors
with regard to the transaction contemplated hereunder, provided that such legal counsels or financial advisors shall be bound by
the confidential obligations similar to those set forth in this Section.

 

		(2)	Disclosure of any confidential information by the employees of, or the agencies engaged by any
Party shall be deemed disclosure of such confidential information by such Party and that Party shall be held liable for breach
of this Agreement. This Section shall survive the termination of this Agreement for any reason.

 

		9.	Further Assurance

 

The Parties
agree to promptly execute the documents that are reasonably required for or are conducive to the implementation of the provisions
and purposes of this Agreement and to take further actions that are reasonably required for or are conducive to the implementation
of the provisions and purposes of this Agreement.

 

		10.	Termination, Breach and Indemnification

 

		(1)	If any Party breaches the obligations provided herein (the “Defaulting Party”),
any other Party (the “Non-Defaulting Party”) may issue a written notice to the Defaulting Party demanding the
Defaulting Party to rectify its breach. The Defaulting Party shall stop its breach within thirty (30) days from the receipt of
such notice, and indemnify the Non-Defaulting Party against all losses incurred thereby. If the Defaulting Party continues the
breach after thirty (30) days from its receipt of such notice, any Non-Defaulting Party may unilaterally terminate this Agreement
and demand the Defaulting Party to indemnify the Non-Defaulting Party against all losses incurred thereby.

 

		(2)	No tolerance, indulgence or delay by the Non-Defaulting Party in exercising its rights under laws
or under this Agreement shall be deemed as a waiver by the Non-Defaulting Party of its rights.

 

		(3)	Party B and Party C shall indemnify, defend and hold harmless Party A from and against any and
all claims, damages, liabilities, costs and expenses borne by Party A, the advanced employees, managers, directors, shareholders,
members, representatives, agents and employees of Party A, including but not limited to reasonable attorneys’ fees with respect
to any litigation or legal proceedings between any indemnifying Party and the indemnified Party, or between the indemnified Party
and any third party caused by the breach of any warranties, representations provided by laws or by this Agreement or other provisions
by Party B or Party C, or by any litigation raised by any third party with respect to the Purchased Equity Interests or Purchased
Assets prior to the transfer of the Purchased Equity Interests or Purchased Assets.

 

    	 	Exclusive Option Agreement	11

     

    

 

		11.	Miscellaneous

 

		(1)	Amendment, change and supplement

 

Any amendment,
change and supplement to this Agreement shall be made in writing and come into effect upon signing and stamping by the Parties
hereto.

 

		(2)	Compliance with Laws and Regulations

 

The Parties
shall comply with and ensure their operations to be in full compliance with all laws and regulations officially published, publicly
available and in effect in the PRC.

 

		(3)	Entire Agreement

 

Except for
the amendments, supplements, or changes in writing executed after the execution of this Agreement, this Agreement shall constitute
the entire agreement among the Parties hereto with respect to the subject matter hereof, and shall supersede all prior oral and
written consultations, representations and agreements reached with respect to the subject matter of this Agreement.

 

		(4)	Headings

 

The headings
of the Sections in this Agreement are inserted for the convenience of reference only, and under no circumstances shall be used
in or otherwise affect the construction or interpretation of this Agreement.

 

		(5)	Language

 

This Agreement
is made in Chinese in four (4) copies. Each Party shall have one copy with the same effect.

 

		(6)	Severability

 

In the event
that any one or several provisions of this Agreement is held invalid, illegal or unenforceable in any way by any laws or regulations,
the validity, legality or enforceability of the remaining provisions of this Agreement shall not be affected or impaired in any
way. The Parties shall endeavor in good faith negotiations to replace the invalid, illegal or unenforceable provisions with valid
provisions to the maximum extent expected by the Parties, the economic effect of which comes as close as possible to that of the
invalid, illegal or unenforceable provisions.

 

    	 	Exclusive Option Agreement	12

     

    

 

		(7)	Successor

 

		(a)	This Agreement shall be binding on and shall inure to the interests of the respective successors
of the Parties and the permitted assigns of the Parties.

 

		(b)	Notwithstanding any other provisions herein, Party B and Party C shall not assign their rights
and obligations under this Agreement to any third party without prior written consent by Party A.

 

		(c)	Party B and Party C hereby agree that Party A has the right to assign its rights and obligations
under this Agreement to a third party at its discretion. Party A shall only notify the other Parties hereto of such transfer and
is not required obtain the consent of the other Parties.

 

		(8)	Survival

 

		(a)	Any obligations which occur or are due under this Agreement prior to the expiration or early termination
of this Agreement shall survive the expiration or early termination thereof.

 

		(b)	The provisions of Sections 6, 8, 10 and Section 11(8) shall survive the termination of this Agreement.

 

		(9)	Waivers

 

Any Party
may waive the terms and conditions of this Agreement, provided that such a waiver must be issued in writing and signed by the Parties.
No waiver by any Party in certain circumstances with respect to a breach by other Parties shall be deemed as a waiver by such a
Party with respect to any similar breach in other circumstances.

 

 

[The remainder of this
page is intentionally left blank]

 

    	 	Exclusive Option Agreement	13

     

    

 

[Signature Page]

 

Beijing Asian League Wins Technology Co., Ltd (Seal)

  

	By:	/s/ Shuhua Liu	 
	Name:	Shuhua Liu	 
	Title:	Legal representative	 

  

Shuhua Liu

	 	 	 
	By:	/s/ Shuhua Liu	 

 

Beijing Chuang Jia Lian Consulting Co., Ltd. (Seal)

 

	By:	/s/ Shuhua Liu	 
	Name:	Shuhua Liu	 
	Title:	Legal representative	 

  

Hengshui Jingzhen Environmental Company Limited (Seal)

  

	By:	/s/ Jianwei Zhang	 
	Name:	Jianwei Zhang	 
	Title:	Legal representative	 

 

    Signature Page to Exclusive Option AgreementExhibit 10.4

 

 

 

 

 

 

 

 

 

EXCLUSIVE
TECHNOLOGY DEVELOPMENT, CONSULTING AND SERVICES AGREEMENT

 

 

Beijing
Asian League Wins Technology Co., Ltd

 

and

 

Hengshui
Jingzhen Environmental Company Limited

 

 

 

 

 

 

 

 

 

     

     

    

 

Table
of Contents

  

	Section	 	Page
	 	 	 	 
	1.	Technology
    Development, Consulting and Services; Sole and Exclusive Rights	 	2
	 	 	 	 
	2.	Calculation
    and Payments of Fees	 	2
	 	 	 	 
	3.	Representations
    and Warranties	 	3
	 	 	 	 
	4.	Confidentiality	 	4
	 	 	 	 
	5.	Indemnity	 	4
	 	 	 	 
	6.	Effectiveness
    and Term	 	4
	 	 	 	 
	7.	Termination	 	4
	 	 	 	 
	8.	Dispute
    Resolution	 	5
	 	 	 	 
	9.	Force
    Majeure	 	5
	 	 	 	 
	10.	Assignment	 	6
	 	 	 	 
	11.	Severability	 	6
	 	 	 	 
	12.	Amendment
    and Supplement of this Agreement	 	6
	 	 	 	 
	13.	Governing
    Law	 	6

 

     

     

    

 

This
EXCLUSIVE TECHNOLOGY DEVELOPMENT, CONSULTING AND SERVICES AGREEMENT (this “Agreement”) is entered into on January 20, 2021 by and between:

 

		A	Beijing
                                         Asian League Wins Technology Co., Ltd, a limited liability company duly incorporated
                                         and existing under the laws of the People’s Republic of China (the “PRC”),
                                         with its address at 1162, 1/F, 15 Xiaoyun Road, Chaoyang District, Beijing, PRC (“Party
                                         A”);

 

		B	Hengshui
                                         Jingzhen Environmental Company Limited, a limited liability company duly incorporated
                                         and existing under the laws of the PRC, with its address at North Side of Changning Road,
                                         Economic and Technological Development Zone, Hengshui City, Hebei Province, PRC (“Party
                                         B”);

 

Party
A and Party B shall be hereinafter referred to as the “Parties” collectively, and each as a “Party”
respectively.

 

Whereas,

 

		1	Party
                                         A is a wholly foreign owned enterprise established in the PRC, and has the resources
                                         and qualification for technology development, consulting and services;

 

		2	Party
                                         A agrees to provide Party B with technology development, consulting and related services,
                                         and Party B agrees to accept such technology development, consulting and related services
                                         provided by Party A.

 

Through
mutual discussion, the Parties have reached a consensus on the provision of technology consulting and related services. For the
purpose of the clarification of the rights and obligations of the Parties, the Parties enter into this Agreement for mutual compliance.

 

    	 	Exclusive Technology Development, Consulting and Services Agreement	 1

     

    

 

		1.	Technology
                                         Development, Consulting and Services; Sole and Exclusive Rights

 

		(1)	During
                                         the term of this Agreement, Party A agrees to, as the technology development, consulting
                                         and service provider of Party B, provide the relevant technology development, consulting
                                         and services to Party B (the details set forth in Appendix I) in accordance with
                                         the conditions of this Agreement.

 

		(2)	Party
                                         B agrees to accept the technology development, consulting and services provided by Party
                                         A and further agrees that, during the term of this Agreement, it shall not accept any
                                         technology development, consulting and services in respect of the above business provided
                                         by any third party which are same as or similar (to those provided by Party A) without
                                         the prior written consent of Party A.

 

		(3)	Party
                                         A shall be the sole and exclusive owner of all rights and interests arising from or in
                                         connection with the performance of this Agreement, including without limitation the proprietary
                                         rights, intellectual property rights such as copyright, patent, know-how, trade secret
                                         and others, regardless of whether it is developed by Party A or by Party B based on the
                                         intellectual property owned by Party A.

 

		2.	Calculation
                                         and Payments of Fees

 

		(1)	The
                                         Parties agree that Party B shall pay the fees of the technology development, consulting
                                         and services under this Agreement (the “Consulting Service Fees”)
                                         in quarter, and the Consulting Service Fees shall be determined based on the actual services
                                         provided by the Parties. The Consulting Service Fees shall be in principle the balance
                                         of all the income of Party B deducting all the fees, but the Parties may otherwise negotiate
                                         upon the particular amount of the Consulting Service Fees. Within thirty (30) days of
                                         the end of each quarter, Party B shall deliver to Party A the management statements and
                                         the business data for such quarter, including Party B’s net income for such quarter.

 

		(2)	The
                                         amount of the Consulting Service Fees shall be determined based on the following factors:

 

		(a)	Difficulty
                                         of the technology development and complexity of the consulting and management services;

 

		(b)	Time
                                         consumed by Party A providing such technology development, consulting and management
                                         services; and

 

		(c)	Specific
                                         contents and commercial value of the technology development, consulting and management
                                         services.

 

    	 	Exclusive Technology Development, Consulting and Services Agreement	 2

     

    

 

		(3)	The
                                         Consulting Service Fees shall be in the amount determined by Party A. Any adjustment
                                         and change of the Consulting Service Fees shall be subject to the written consent by
                                         Party A.

 

		(4)	Within
                                         thirty (30) days from the end of each year, Party B shall provide Party A with the financial
                                         statements and all business records, business contracts and financial materials for that
                                         year. Party A may appoint a reputable independent accountant to audit the relevant materials
                                         if Party A questions the financial materials provided by Party B, and Party B shall cooperate.

 

		3.	Representations
                                         and Warranties

 

		(1)	Party
                                         A hereby represents and warrants as follows:

 

		(a)	Party
                                         A is a company legally established and validly existing in accordance with the PRC laws.

 

		(b)	Party
                                         A executes this Agreement within its power and business scope, and has taken all corporate
                                         actions, obtained all necessary authorizations as well as all consents and approvals
                                         from third parties and government authorities, and does not violate the restriction of
                                         any laws or contracts by which it is bound or affected.

 

		(c)	This
                                         Agreement, upon execution, constitutes Party A’s legal, valid and binding obligations,
                                         enforceable against it in accordance with its terms.

 

		(2)	Party
                                         B hereby represents and warrants as follows:

 

		(a)	Party
                                         B is a company legally established and validly existing in accordance with the PRC laws.

 

		(b)	Party
                                         B executes this Agreement within its power and business scope, and has taken all corporate
                                         actions, obtained all necessary authorizations as well as all consents and approvals
                                         from third parties and government authorities, and does not violate the restriction of
                                         any laws or contracts by which it is bound or affected.

 

		(c)	This
                                         Agreement, upon execution, constitutes Party B’s legal, valid and binding obligations,
                                         enforceable against it in accordance with its terms.

 

    	 	Exclusive Technology Development, Consulting and Services Agreement	 3

     

    

 

		4.	Confidentiality

 

		(1)	Party
                                         B agrees to use all reasonable measures to maintain confidentiality of the confidential
                                         materials and information that are known or have access to due to the acceptation of
                                         Party A’s exclusive technology development, consulting and services (the “Confidential
                                         Information”). Without Party A’s prior written consent, Party B shall
                                         not disclose, provide or transfer any such Confidential Information to any third party.
                                         Upon termination of this Agreement, Party B shall, at the request of Party A, return
                                         any and all documents, information or software containing any such Confidential Information
                                         to Party A, or destroy them, delete all of such Confidential Information from any memory
                                         devices, and cease to use such Confidential Information.

 

		(2)	The
                                         Parties agree that this Section shall survive the amendment, termination and expiration
                                         of this Agreement.

 

		5.	Indemnity

 

Party
B shall indemnify Party A against any loss, damage, liability and/or cost caused by any litigation, claim or other demands against
Party A arising out of the technology development, consulting and services required by Party B. Party B shall also hold Party
A harmless against any loss and damage caused by Party B’s act or any claim from any third party as a result of Party B’s
act, excluding any litigation, claim or other demand cause by any willful misconduct or gross negligence of Party A.

 

		6.	Effectiveness
                                         and Term

 

		(1)	This
                                         Agreement shall become effective upon execution by the Parties on the date first above
                                         written herein. Unless terminated in advance in accordance with the provisions of this
                                         Agreement or relevant agreement entered into by the Parties, the term of this Agreement
                                         is ten (10) years.

 

		(2)	The
                                         term of this Agreement may be extended with prior written confirmation by Party A before
                                         expiration. The extended term shall be ten (10) years or any other term as determined
                                         by the negotiation of the Parties.

 

		7.	Termination

 

		(1)	Termination
                                         upon Expiration

 

Unless
extended in accordance with the relevant provisions herein, this Agreement shall be terminated upon its expiration.

 

    	 	Exclusive Technology Development, Consulting and Services Agreement	 4

     

    

 

		(2)	Early
                                         Termination

 

During
the term of this Agreement, this Agreement shall not be terminated in advance unless Party A goes bankrupt or dissolves or terminates
in accordance with the laws, and this Agreement shall be automatically terminated if Party B goes bankrupt or dissolves or terminates
in accordance with the laws before the expiration of this Agreement. Notwithstanding the foregoing, Party A shall have the right
to terminate this Agreement with thirty (30) days prior written notice to Party B at any time.

 

		(3)	Survival

 

The
rights and obligations of the Parties under Sections 4, 5 and 8 shall survive the termination of this Agreement.

 

		8.	Dispute
                                         Resolution

 

In
the event of any dispute with respect to the construction and performance of this Agreement, the Parties shall first resolve the
dispute through friendly negotiations. In the event the Parties fail to reach an agreement on the dispute within thirty (30) days
after either Party’s written request to the other Party for resolution of the dispute through negotiations, either Party
may submit the relevant dispute to Beijing Arbitration Commission for arbitration, in accordance with its arbitration rules then
in effect. The language to be used in arbitration shall be Chinese. The arbitration award shall be final and binding to both Parties.

 

		9.	Force
                                         Majeure

 

		(1)	A
                                         “Force Majeure Event” means any event beyond reasonable control of
                                         one Party and cannot be prevented with reasonable care of the Party so affected, including
                                         without limitation, governmental action, acts of nature, fire, explosion, typhoon, flood,
                                         earthquake, tide, lightning or war. However, any shortage of credit, capital or financing
                                         shall not be regarded as an event beyond reasonable control of the Party. The affected
                                         Party who is claiming to be exempted from its obligations under this Agreement by a Force
                                         Majeure Event shall as soon as practicable notify the other Party of such exemption and
                                         the necessary steps to be taken for the fulfillment of such obligations.

 

		(2)	In
                                         the event that the performance of this Agreement is delayed or prevented due to the Force
                                         Majeure Event as defined above, the Party affected by the Force Majeure shall not be
                                         held liable hereunder to the extent of such delay or prevention. The Party affected by
                                         the Force Majeure shall take appropriate measures to reduce or eliminate the effect of
                                         the Force Majeure and make efforts to resume the performance of the obligations delayed
                                         or prevented by the Force Majeure. Once the Force Majeure Event is eliminated, the Parties
                                         agree to resume the performance of this Agreement with their best efforts.

 

    	 	Exclusive Technology Development, Consulting and Services Agreement	 5

     

    

 

		10.	Assignment

 

Party
B shall not assign or transfer any rights and/or obligations under this Agreement to any third party, unless the prior written
consent of Party A has been obtained.

 

		11.	Severability

 

In
the event that any provision of this Agreement is held invalid or unenforceable due to unconformity with relevant laws, such provisions
shall become invalid or unenforceable only to the extent under such applicable laws and the legal effect of the remaining provisions
hereunder shall not be affected.

 

		12.	Amendment
                                         and Supplement of this Agreement

 

The
Parties may amend and supplement this Agreement in writing. Any amendment and supplement to this Agreement by the Parties, upon
execution by the Parties, is an integral part of and has the same effect with this Agreement.

 

		13.	Governing
                                         Law

 

This
Agreement shall be governed by and enforced and interpreted in accordance with the laws of the PRC.

 

 

[The
remainder of this page is intentionally left blank]

 

    	 	Exclusive Technology Development, Consulting and Services Agreement	 6

     

    

 

[Signature
Page]

 

Beijing
Asian League Wins Technology Co., Ltd (Seal)

 

	By:	/s/
    Shuhua Liu	 
	Name:	Shuhua Liu	 
	Title:	Legal representative	 

  

Hengshui
Jingzhen Environmental Company Limited (Seal)

 

	By:	/s/
    Jianwei Zhang	 
	Name:	Jianwei Zhang	 
	Title:	Legal representative	 

 

    Signature Page to Exclusive Technology Development, Consulting and Services Agreement

     

    

 

Appendix
I

 

List
of Technology Development, Consulting and Services

 

Party
A will provide Party B with the following technology development, consulting and services:

 

		(1)	research
                                         and development of relevant technologies necessary for Party B’s business, which
                                         include the development, design and creation of database software for the storage of
                                         relevant business information, antivirus software, UI software and other relevant technologies,
                                         and grant a license to Party B for the use of such technologies;

 

		(2)	apply
                                         and implement the relevant technologies for the operation of Party B’s business,
                                         including without limitation the systematic master design proposal, system installation,
                                         debugging and test run;

 

		(3)	be
                                         responsible for daily maintenance, monitoring, test run and debugging of the computer
                                         network equipment, including entering users’ information into database in a timely
                                         manner, or updating the database with other business information provided by Party B
                                         from time to time, updating user interface on a regular basis and providing other relevant
                                         technology services;

 

		(4)	provide
                                         consulting service on the procurement of relevant equipment, software and hardware necessary
                                         for the provision of network service by Party B, including without limitation the selection,
                                         system installation and testing of various utility software, application software and
                                         technology platform, and provide consultancy proposal on the selection, model and performance
                                         of various types of accessorial hardware, facilities and equipment; provide consultancy
                                         and answers Party B’s question in respect to network equipment, technical product
                                         and software;

 

		(5)	provide
                                         adequate training and technology support and assistance to the employees of Party B,
                                         including without limitation the technical training such as the training on application
                                         and editing of various image processing softwares, customer service or techniques and
                                         others; provide consultancy and advice on other online editing platform and software
                                         application, and assist Party B in compiling and collecting various types of information
                                         and contents;

 

		(6)	assist
                                         Party B in customer management and post-sale tracking services related to the business;

 

    Appendix I-1

     

    

 

		(7)	provide
                                         government public relations services and assist Party B in communicating with relevant
                                         government authorities;

 

		(8)	assist
                                         Party B in personnel management, including the recommendation of technical backbones,
                                         the selection of employees for vacant positions, and the management of employee’s
                                         social insurance and paid vacation benefits;

 

		(9)	introduce
                                         to Party B and its employees the knowledge and experience in the installation and operation
                                         of the software system and equipment, and assist Party B in solving problems arising
                                         from the installation and operation of the system and equipment;

 

		(10)	assist
                                         Party B to recover debts, mortgages, security deposit and other amounts from customers
                                         in accordance with Party B’s receivables; and

 

		(11)	provide
                                         other technology and consulting services as may be necessary for Party B’s business.

 

    Appendix I-2

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00319-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00319-of-00352.parquet"}]]