Document:

THIRTEENTH
AMENDMENT TO CREDIT AND SECURITY AGREEMENT

 

This
Thirteenth Amendment
to Credit and Security Agreement (this
“Amendment”)
is made effective as of July 11, 2017, by and among MB FINANCIAL BANK, N.A., successor
in interest to Cole Taylor Bank (“Lender”), MENDOCINO BREWING COMPANY,
INC., a California corporation (“MBC”),
and RELETA BREWING COMPANY, LLC, a Delaware limited liability company (“RBC”;
RBC and MBC are collectively referred to as “Borrowers” and, each individually,
as a “Borrower”). 

 

RECITALS:

 

A.
WHEREAS, pursuant to that certain Credit and Security Agreement dated as of June 23, 2011 (as amended, restated, or otherwise
modified from time to time, the “Credit Agreement”) by and among the Borrowers and Lender, the Lender has agreed
to extend certain credit facilities to the Borrowers.

 

B.
WHEREAS, MBC previously executed seven (7) unsecured promissory notes in favor of Catamaran Services, Inc., a Delaware
corporation (“Catamaran”), in an aggregate principal amount of Two Million Six Hundred Thousand Dollars ($2,600,000),
which was modified by that certain Promissory Note Modification Agreement dated as of July 11, 2017 to grant a lien and security
interest in favor of Catamaran, subject and subordinated to the security interests of Lender.

 

C.
WHEREAS, Borrowers have requested from Catamaran the ability for MBC to incur additional secured debt from Catamaran in
an aggregate principal amount not to exceed Two Million Dollars ($2,000,000) pursuant to the Catamaran LSA as defined below.

 

D.
WHEREAS, the granting of security interests to Catamaran and the incurrence of such additional debt will constitute Events
of Default under Section 13.01(b) of the Credit Agreement, as such granting of liens and incurrence of debt are prohibited
under Sections 11.03 and 11.02 of the Credit Agreement, respectively.

 

E.
WHEREAS, as a result of such potential Events of Default, the Borrowers have requested that Lender permit the Borrowers
incur the additional debt and make certain other changes to the Credit Agreement as set forth herein and Lender is agreeable on
the terms and subject to the conditions set forth herein.

 

NOW
THEREFORE, in consideration of the premises and mutual covenants and agreements contained herein and for other valuable consideration,
the receipt and sufficiency of which are hereby acknowledged, the parties hereby agree as follows:

 

AGREEMENTS:

 

1.
Recitals. The Borrowers hereby agree that the Recitals set forth above are accurate, represent the intent of the
parties hereto and are incorporated herein by reference.

 

2.
Terms Defined. Unless otherwise defined in this Amendment, capitalized terms used herein will have the same meaning
in this Amendment as set forth in the Credit Agreement (as may be amended by this Amendment).

 

3.
Amendments to Section 1.02 of the Credit Agreement. Section 1.02 of the Credit Agreement is hereby amended
as follows:

 

    	 	1 	 

     

    

 

(a)
The following new definitions are hereby added to Section 1.02 of the Credit Agreement in alphabetical order to read in
their respective entireties as follows:

 

‘“Catamaran’
means Catamaran Services, Inc., a Delaware corporation.”

 

‘“Catamaran
LSA’ means that certain Loan and Security Agreement dated as of July 11, 2017 by and between Catamaran and MBC.”

 

‘“Catamaran
Modification Agreement’ means that certain Promissory Note Modification Agreement dated as of July 11, 2017 by and between
MBC and Catamaran, which secures and subordinates the Catamaran Prior Debt.”

 

“Catamaran
New Debt’ means the Indebtedness owing by MBC to Catamaran in an aggregate original principal amount of $2,000,000,
pursuant to the Catamaran LSA.

 

‘“Catamaran
Prior Debt’ means the Indebtedness owing by MBC to Catamaran in an aggregate original principal amount of $2,600,000,
evidenced by seven (7) promissory notes.”

 

‘“Catamaran
Subordinated Debt’ means the Indebtedness owing by MBC to Catamaran, in an aggregate original principal amount not to
exceed $4,600,000, consisting of (a) the Catamaran Prior Debt and (b) the Catamaran New Debt, evidenced by the Catamaran Subordinated
Promissory Notes.”

 

‘“Catamaran
Subordinated Loan Documents’ means the Catamaran LSA, Catamaran Subordination Agreement, Catamaran Modification Agreement,
Catamaran Subordinated Promissory Notes, as the same may from time to time be amended, restated, supplemented or modified.”

 

‘“Catamaran
Subordinated Promissory Notes’ means, collectively, the following promissory notes made by MBC to Catamaran: (a) the
promissory note dated January 22, 2014 in the original principal amount of $500,000, (b) the promissory note dated April 24, 2014
in the original principal amount of $500,000, (c) the promissory note dated February 5, 2015 in the original principal amount
of $500,000, (d) the promissory note dated June 30, 2015 in the original principal amount of $200,000, (e) the promissory note
dated March 14, 2016 in the original principal amount of $325,000, (f) the promissory note dated March 30, 2016 in the original
principal amount of $75,000, (g) the promissory note dated May 22, 2017 in the original principal amount of $200,000 (which promissory
notes described in the foregoing clauses (a) through (g) collectively were secured and subordinated pursuant to the Catamaran
Modification Agreement and Catamaran Subordination Agreement, respectively), and (h) one or more promissory note(s) executed pursuant
to the Catamaran LSA, the aggregate original principal amount of which shall not exceed $2,000,000 (as such promissory note(s)
described in the foregoing clauses (a) through (h) are subordinated pursuant to the Catamaran Subordination Agreement).”

 

‘“Catamaran
Subordination Agreement’ means that certain Subordination Agreement dated as of July 11, 2017, by and among Catamaran,
MBC and Lender.”

 

(b)
The definition of “Subordinated Debt” in Section 1.02 of the Credit Agreement is hereby amended and
restated in its entirety to read as follows:

 

    	 	2 	 

     

    

 

“Subordinated
Debt’ means (a) the Indebtedness of Borrowers in favor of UNITED BREWERIES OF AMERICA INC., a Delaware corporation,
which is in an outstanding amount as of May 31, 2011 of $3,262,388.87 and (b) the Catamaran Subordinated Debt, which is in an
outstanding amount as of June 30, 2017 of $2,901,686.13.”

 

(c)
The definition of “Subordinated Loan Documents” in Section 1.02 of the Credit Agreement is hereby amended
and restated in its entirety to read as follows:

 

“Subordinated
Loan Documents’ means the Catamaran Subordinated Loan Documents and any and all promissory notes, agreements, documents
or instruments now or at any time evidencing, securing, guarantying or otherwise executed and delivered in connection with the
Subordinated Debt, as the same may from time to time be amended, restated, supplemented or modified.”

 

(d)
The definition of “Subordination Agreement” in Section 1.02 of the Credit Agreement is hereby amended
and restated in its entirety to read as follows:

 

‘“Subordination
Agreement” means, individually or collectively as the context may require, (a) that certain Subordination Agreement
dated as of June 23, 2011, by and among United Breweries of America Inc., a Delaware corporation, the Borrowers and the Lender
(as the same may be from time to time amended, restated, supplemented or modified), and (b) the Catamaran Subordination Agreement
(as the same may be from time to time amended, restated, supplemented or modified).”

 

4.
Amendment to Section 11.02 of the Credit Agreement. Section 11.02 of the Credit Agreement is hereby amended
and restated in its entirety to read as follows:

 

“11.02
Indebtedness. No Borrower shall create, incur, assume or become obligated (directly or indirectly), for any loans or
other Indebtedness other than the Loans, except that a Borrower may (a) borrow money from a Person other than Lender on an unsecured
and subordinated basis so long as a subordination agreement in favor of Lender and in form and substance satisfactory to Lender
is executed and delivered to Lender prior to any borrowing of money by such Borrower; (b) incur Hedging Obligations in favor of
Lender; (c) maintain its present Indebtedness listed on Schedule 9.14 hereto; (d) incur unsecured indebtedness to trade
creditors in the ordinary course of business; (e) incur purchase money indebtedness or capitalized lease obligations in connection
with Capital Expenditures permitted pursuant to Section 12.03 hereof; (f) incur operating lease obligations; (g) incur
indebtedness to an insurance premium financer; (h) incur unsecured indebtedness owing to Great Western Malting Company, Canada
Malting Company, Hop Union LLC, S.S. Steiner, Inc., or additional contractors that the Borrowers may engage in the future, from
time to time for the purchase of hops and malt payable in installments, without interest, as provided in the respective supply
agreement; and (i) incur the Catamaran Subordinated Debt pursuant and subject to the Catamaran Subordinated Loan Documents.”

 

5.
Amendment to Section 11.13 of the Credit Agreement. Section 11.13 of the Credit Agreement is hereby amended
and restated in its entirety to read as follows:

 

“11.13
Subordinated Debt. No Borrower shall, nor shall any Borrower permit any Subsidiary to make: (a) any payment of principal
of any of the Subordinated Debt; (b) any payment of interest on any of the Subordinated Debt, if a Default or an Event of Default
then exists hereunder or would result from such payment; (c) any payment of the principal or interest due on the Subordinated
Debt as a result of acceleration thereunder or a mandatory prepayment thereunder; or (d) any amendment or modification of or supplement
to the documents evidencing or securing the Subordinated Debt other than an extension of the maturity date thereunder. Notwithstanding
the foregoing, no payments of principal, interest or fees may be made on the Catamaran New Debt or the Catamaran Subordinated
Debt except for accrued PIK (payment in kind) interest as more particularly set forth in the Catamaran Subordination Agreement.”

 

    	 	3 	 

     

    

 

6.
Reservation of Rights; No Waiver. All new advances continue to be in the sole discretion of Lender and neither the
entering into this Amendment nor the making of additional advances by Lender waives any of the default rights and remedies of
Lender under Section 13.02 of the Credit Agreement or otherwise. All default rights and remedies of Lender are therefore
reserved.

 

7.
Conditions Precedent to Effectiveness of this Amendment. The following are conditions precedent to the effectiveness
of this Amendment, notwithstanding anything contained herein to the contrary:

 

(a)
Lender shall have received a fully executed copy of this Amendment, in form and substance satisfactory to Lender;

 

(b)
Lender shall have received a fully executed copy of the Catamaran Modification Agreement, in form and substance satisfactory to
Lender;

 

(c)
Lender shall have received a fully executed copy of the Catamaran LSA, in form and substance satisfactory to Lender;

 

(d)
Lender shall have received fully executed copies of each of the Catamaran Subordinated Promissory Notes, as modified and subordinated
by the Catamaran Modification Agreement and Catamaran Subordination Agreement, each in form and substance satisfactory to Lender;

 

(e)
Lender shall have received a fully executed Catamaran Subordination Agreement, in form and substance satisfactory to the Lender;

 

(f)
Lender shall have received payment from Borrowers of all amounts due to Lender in connection with this Amendment, including the
Amendment Fee (defined below); and

 

(g)
Lender shall have received such other documents, certificates and information that the Lender shall require each in form and substance
satisfactory to the Lender in its reasonable credit judgment.

 

8.
Expenses. Immediately upon request, Borrowers shall pay all reasonable expenses and costs of Lender (including,
without limitation, the reasonable attorney fees of counsel for Lender and reasonable expenses of counsel for Lender) in connection
with the preparation, negotiation, execution and approval of this Amendment and any and all other documents, instruments and things
contemplated hereby, whether or not such transactions are consummated, together with all other reasonable expenses and costs incurred
by Lender chargeable to Borrowers pursuant to the terms of the Credit Agreement which are unpaid at such time.

 

9.
Amendment Fee. The Borrowers shall pay to the Lender, in addition to all other fees and charges set forth in the
Credit Agreement, a non-refundable amendment fee equal to $3,000 (the “Amendment Fee”). The Amendment Fee may
be charged by the Lender to the Borrowers’ loan account. The Borrowers hereby acknowledge and agree that the foregoing Amendment
Fee is fully-earned as of the date hereof and non-refundable for any reason.

 

    	 	4 	 

     

    

 

10 Ratification;
Estoppel; Reaffirmation.

 

(a)
Each Borrower reaffirms the Credit Agreement and other Loan Documents, and ratifies the Credit Agreement and the other Loan Documents,
as amended, modified, and supplemented.

 

(b)
Each Borrower reaffirms to Lender each of the representations, warranties, covenants and agreements set forth in Sections 9
through 12 of the Credit Agreement and the other Loan Documents with the same force and effect as if each were separately
stated herein and made as of the date hereof to Lender.

 

(c)
Each Borrower further represents and warrants that, as of the date hereof, there are no counterclaims, defenses or offsets of
any nature whatsoever to the Loans or any of the Loan Documents and that, as of the date hereof, no Event of Default (other than
the Existing Defaults) has occurred or exists under any of the Loan Documents.

 

(d)
Each Borrower ratifies, affirms and agrees that the Credit Agreement and other Loan Documents, as amended, modified, and supplemented
hereby by this Amendment, represent the valid, enforceable and collectible obligations of Borrower.

 

11.
Release. Each Borrower does hereby release, remise, acquit and forever discharge Lender and Lender’s employees, agents,
representatives, consultants, attorneys, fiduciaries, servants, officers, directors, partners, predecessors, successors and assigns,
subsidiary corporations, parent corporation, and related corporate divisions (all of the foregoing hereinafter called the “Released
Parties”), from any and all action and causes of action, judgments, executions, suits, debts, claims, demands, liabilities,
obligations, damages and expenses of any and every character, known or unknown, direct and/or indirect, at law or in equity, of
whatsoever kind or nature, whether heretofore or hereafter arising, for or because of any matter or things done, omitted or suffered
to be done by any of the Released Parties prior to and including the date of execution hereof, and in any way directly or indirectly
arising out of or in any way connected to this Amendment, the Credit Agreement and the other Loan Documents (all of the foregoing
hereinafter called the “Released Matters”). Each Borrower acknowledges that the agreements in this paragraph
are intended to be in full satisfaction of all or any alleged injuries or damages arising in connection with the Released Matters.
Each Borrower represents and warrants to Lender that it has not purported to transfer, assign or otherwise convey any right, title
or interest of such Borrower in any Released Matter to any other Person and that the foregoing constitutes a full and complete
release of all Released Matters.

 

EACH
BORROWER INTENDS THE ABOVE RELEASE TO COVER, ENCOMPASS, RELEASE, AND EXTINGUISH, INTER ALIA, ALL CLAIMS, DEMANDS, AND CAUSES
OF ACTION THAT MIGHT OTHERWISE BE RESERVED BY THE CALIFORNIA CIVIL CODE SECTION 1542, (OR ITS EQUIVALENT UNDER ILLINOIS LAW) WHICH
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.”

 

    	 	5 	 

     

    

 

EACH
BORROWER ACKNOWLEDGES THAT IT MAY HEREAFTER DISCOVER FACTS DIFFERENT FROM OR IN ADDITION TO THOSE NOW KNOWN OR BELIEVED TO BE
TRUE WITH RESPECT TO SUCH CLAIMS, DEMANDS, OR CAUSES OF ACTION, AND AGREES THAT THIS AMENDMENT AND THE ABOVE RELEASE ARE AND WILL
REMAIN EFFECTIVE IN ALL RESPECTS NOTWITHSTANDING ANY SUCH DIFFERENCES OR ADDITIONAL FACTS

 

12.
No Cancellation. This Amendment evidences the same indebtedness as evidenced by the Credit Agreement and other Loan
Documents (as modified hereby). This Amendment is secured by the Collateral as provided in the Credit Agreement including all
amendments and modifications thereto. This Amendment is an extension, modification and amendment of the prior documents and the
execution hereof does not evidence a cancellation of the indebtedness evidenced by the prior documents.

 

13.
Miscellaneous.

 

(a)
No inference in favor of, or against, any party will be drawn from the fact that such party has drafted any portion of this Amendment,
the Credit Agreement, or any other Loan Document, as each may be amended.

 

(b)
This Amendment may be executed in any number of counterparts and by different parties hereto in separate counterparts, each of
which, when so executed and delivered, shall be deemed an original, but all of which counterparts together shall constitute but
one agreement. Delivery of an executed counterpart of a signature page of this Amendment by facsimile or in electronic (i.e.,
“pdf” or “tif”) format shall be effective as delivery of a manually executed counterpart of this Amendment.
Any party who chooses to deliver its signature in such manner agrees to provide promptly to the other parties a copy of this Amendment
with its inked signature, but the party’s failure to deliver a copy of this Amendment with its inked signature shall not
affect the validity, enforceability and binding effect of this Amendment.

 

(c)
This Amendment shall be governed and controlled by the internal laws of the State of Illinois as to interpretation, enforcement,
validity, construction, effect, and in all other respects.

 

(d)
This Amendment will be binding upon and will inure to the benefit of the parties hereto and to their respective successors and
assigns.

 

(e)
Sections 16.03 and 16.09 of the Credit Agreement are specifically incorporated herein as though set forth in full.

 

(f)
This Amendment is a Loan Document.

 

[Signature
Page Follows]

 

    	 	6 	 

     

    

 

IN
WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed as of the date first written above.

 

	LENDER:	MB
    FINANCIAL BANK, N.A.
	 	 
	 	By:	/sd/
	 	Name:	Martha
    Gaskin
	 	Title:	Senior
    Vice President
	 	 	 
	BORROWERS:	MENDOCINO
    BREWING COMPANY, INC.,
	 	a
    California corporation
	 	 
	 	By:	/sd/
	 	Name:	Mahadevan
    Narayanan
	 	Title:	Chief
    Financial Officer
	 	 	 
	 	RELETA
    BREWING COMPANY, LLC,
	 	a
    Delaware limited liability company
	 	 
	 	By:	MENDOCINO
    BREWING COMPANY,
	 	 	a
    California corporation,
	 	 	its
    sole member
	 	 	 
	 	By:	/sd/
	 	Name:	Mahadevan
    Narayanan
	 	Title:	Chief
    Financial OfficerExhibit 10.1

 

EMPLOYMENT AGREEMENT

 

THIS
EMPLOYMENT AGREEMENT (this “Agreement”) is entered into as of the 14th day of July, 2017, by and
between Akoustis Technologies, Inc., a Delaware corporation, with a business address of 9805 Northcross Center Court, Suite
H, Huntersville, NC 28078 (together with any successor thereto, the “Company”), and John T. Kurtzweil, an individual
with a residence address of 2230 Wheeler Road, Raleigh NC 27607 (the “Executive”).

 

INTRODUCTION

 

WHEREAS,
the Company is in the business of designing, manufacturing, marketing, and selling acoustic wave filters for the wireless communications
markets (the “Business”);

 

WHEREAS,
the Company wishes to employ the Executive under the title and capacity set forth on Schedule A attached hereto and incorporated
herein by reference; and

 

WHEREAS,
the Executive desires to be employed by the Company in such capacity, subject to the terms of this Agreement;

 

AGREEMENT

 

NOW, THEREFORE,
in consideration of the premises and mutual promises herein below set forth, the parties hereby agree as follows:

 

1.                 
Definitions

 

1.1              
“2016 Plan” means the Akoustis Technologies, Inc. 2016 Stock Incentive Plan, or any successor
stock plan, in each case as it may be amended and/or restated.

 

1.2              
“Affiliate” means any Parent or Subsidiary of the Company, and also includes any other business
entity which controls, is controlled by or is under common control with the Company; provided, however, that the
term “Affiliate” shall be construed in a manner in accordance with the registration provisions of applicable federal
securities laws if and to the extent required.

 

		1.3	“Board” means the Board of Directors of the Company.

 

		1.4	“Cause” means the occurrence of any of the following events:

 

(a)   
any act or omission that constitutes a material breach by the Executive of any of the Executive’s obligations
under this Agreement;

 

(b)   
the failure or refusal of the Executive to satisfactorily perform the duties and responsibilities described herein;

 

    	 	1	 

     

    

 

(c)   
the Executive’s conviction of, or plea of nolo contendere to, (i) any felony or (ii) a crime involving
dishonesty or moral turpitude or which could reflect negatively upon the Company or otherwise impair or impede its operations;

 

(d)   
the Executive’s engaging in any misconduct, negligence, act of dishonesty (including, without limitation, theft
or embezzlement), violence, threat of violence or any activity that could result in any violation of federal securities laws, in
each case, that is injurious to the Company or any of its Affiliates;

 

(e)   
the Executive’s breach of a written policy of the Company or the rules of any governmental or regulatory body
applicable to the Company;

 

(f)    
the Executive’s refusal to follow the directions of the Chief Executive Officer of the Company or the Board,
unless such directions are, in the reasonable written opinion of legal counsel, illegal or in violation of applicable regulations;

 

(g)   
any other misconduct by the Executive which is injurious to the financial condition or business reputation of the
Company or any of its Affiliates;

 

(h)   
the Executive’s breach of the Executive’s obligations under Sections 3, 7, 8 or 9 hereof;

 

(i)   
the knowing misstatement by Executive of the financial records of the Company or its Subsidiaries or complicit actions
in respect thereof;

 

(j)    
Executive’s habitual drunkenness or substance abuse that interferes with his ability to discharge his duties,
responsibilities, or obligations under this Agreement;

 

(k)   
the Executive’s knowing failure to disclose material financial or other information to the Board; or

 

(l)    
Executive’s engagement in conduct that results in Executive’s obligation to reimburse the Company for
the amount of any bonus, incentive-based compensation, equity- based compensation, profits realized from the sale of the Company’s
securities, or other compensation pursuant to application of the provisions of Section 304 of the Sarbanes-Oxley Act of 2002, Section
954 of the Dodd-Frank Wall Street Reform and Consumer Protection Act, or other applicable laws, rules, or regulations

 

1.5              
“Change of Control” shall (except as may be otherwise required, if at all, under Code Section
409A) be deemed to have occurred on the earliest of the following dates:

 

(a)   
the date any entity or person shall have become the beneficial owner of, or shall have obtained voting control over,
more than fifty percent (50%) of the total voting power of the Company’s then outstanding voting stock;

 

(b)   
the date of the consummation of (A) a merger, recapitalization, consolidation or reorganization of the Company (or
similar transaction involving the Company), in which the holders of the common stock of the Company immediately prior to the transaction
have voting control over less than fifty-one percent (51%) of the voting securities of the surviving corporation immediately after
such transaction, or (B) the sale or disposition of all or substantially all the assets of the Company; or

 

    	 	2	 

     

    

 

 

(c)   
the date there shall have been a change in a majority of the Board within a 12-month period unless the nomination
for election by the Company’s stockholders or the appointment of each new member of the Board was approved by the vote of
two-thirds of the members of the Board then still in office who were in office at the beginning of the 12-month period.

 

For
the purposes of this Section 1.5, the term “person” shall mean any individual, corporation, partnership, group,
association or other person, as such term is defined in Section 13(d)(3) or Section 14(d)(2) of the Exchange Act, other than the
Company, a Subsidiary of the Company or any employee benefit plan(s) sponsored or maintained by the Company or any Subsidiary thereof,
and the term “beneficial owner” shall have the meaning given the term in Rule 13d-3 under the Exchange Act.

 

For the
avoidance of doubt, a transaction shall not constitute a “Change of Control” if its principal purpose is to change
the state of the Company’s incorporation, create a holding company that would be owned in substantially the same proportions
by the persons who held the Company’s securities immediately before such transaction or is another transaction of other similar
effect.

 

Notwithstanding
the preceding provisions of this Section 1.5, in the event that any equity incentive awards granted under the 2016 Plan are deemed
to be deferred compensation subject to (and not exempt from) the provisions of Code Section 409A, then distributions related to
such equity incentive awards to be made upon a Change of Control may be permitted, in the Board’s or the Compensation Committee’s
discretion, upon the occurrence of one or more of the following events (as they are defined and interpreted under Code Section
409A): (A) a change in the ownership of the Company; (B) a change in effective control of the Company; or (C) a change in the ownership
of a substantial portion of the assets of the Company.

 

1.6              
“Code” means the Internal Revenue Code of 1986, as amended. Any reference herein to a specific
Code section shall be deemed to include all related regulations or other guidance with respect to such Code section.

 

1.7              
“Compensation Committee” means the Compensation Committee of the Board (or a subcommittee thereof),
or such other committee of the Board which may be appointed to perform compensation-related duties of the Board. In the event that
the Board elects to perform such duties, the term “Compensation Committee” also refers to the Board.

 

1.8              
“Confidential Information” means any and all information (to the extent that such information
is not publicly available) relating to (a) Customers and Suppliers (as hereinafter defined) of the Company or any of its Affiliates;
(b) any Inventions and related Proprietary Rights (as hereinafter defined) of the Company or any of its Affiliates; (c) budgets,
financial statements, projections and other financial information of the Company or any of its Affiliates; (d) marketing, engagement,
retention and training for Customers, prospective and current employees and contractors of the Company or any of its Affiliates;
(e) pricing, pricing strategies, budgets, financial statements, projections and other financial information of the Company or any
of its Affiliates; (f) the skills and compensation of past or present officers, directors, and employees of the Company or any
of its Affiliates, and other persons providing services to the Company or any of its Affiliates, and other personnel information;
(g) research, development, current and proposed products, marketing, promotions, sales, and other business plans of the Company
or any of its Affiliates; and (h) any other information regarding the Company or any of its Affiliates that is not generally known
to the public.

 

    	 	3	 

     

    

 

 

1.9              
“Customer” means any natural person or business entity, or groups of natural persons or business
entities that, within twelve (12) months preceding the termination of the Executive’s employment with the Company, purchased
products or services from the Company or any of its Affiliates. “Customer” also includes prospective customers or groups
of customers that the Company, or any of its Affiliates, has directly or indirectly targeted or intends to target, as evidenced
by a business, marketing or sales plan, strategy or report known to the Executive within the twelve (12) months preceding the termination
of the Executive’s employment with the Company for any reason.

 

1.10           
“Disability” means (unless otherwise required under Code Section 409A) the Executive is unable
to discharge the Executive’s duties to the Company for a period of ninety

(90) consecutive days, or one
hundred twenty (120) days in any one hundred eighty (180) consecutive day period (unless longer periods are required under applicable
local labor regulations). A determination of a Disability shall be made by a physician satisfactory to both the Executive and the
Company; provided, however, that if the Executive and the Company do not agree on a physician, the Executive and
the Company shall each select a physician and those two physicians together shall select a third physician, whose determination
as to a Disability shall be binding on all parties. The Executive and the Company agree to each pay half of the costs of the physician(s)
selected to provide the determination of Disability and/or to select the physician to provide such determination.

 

		1.11	“Exchange Act” means the Securities Exchange Act of 1934, as amended.

 

1.12           
“Good Reason” means the occurrence of any of the following (without the Executive’s express
written consent ); provided, however, that it is not “Good Reason” if any of the following actions are
taken by the Company in conjunction with Cause:

 

(a)   
the removal of the Executive from the Executive’s position as set forth on Schedule A and/or assignment
to the Executive of duties that are significantly different from, and that result in a substantial diminution of, the duties that
the Executive assumed on the Effective Date;

 

(b)   
a reduction by the Company in the Executive’s then applicable Base Salary or other compensation of more than
twenty percent (20%), unless said reduction is pari passu with other senior executives of the Company; the taking of any action
by the Company that would, directly or indirectly, materially reduce the Executive’s Benefits (with materiality being agreed
to be a more than twenty percent (20%) reduction of the costs of the Executive’s then current Benefits), unless said reductions
are pari passu with other senior executives of the Company;

 

    	 	4	 

     

    

 

 

(c)   
a breach by the Company of any material term of this Agreement that is not cured by the Company within thirty (30)
days following receipt by the Company of written notice thereof; or

 

(d)   
the relocation by the Company of the Executive’s principal place of employment to a location outside of a 30
mile radius of 9805 Northcross Center Court, Suite H, Huntersville, NC 28078.

 

Notwithstanding the preceding,
for any of the foregoing events to constitute Good Reason, the Executive must provide written notification of his intention to
resign for Good Reason within 30 days after the Executive knows or has reason to know of the occurrence of any such event, and
the Company shall have 30 days from the date of receipt of such notice to effect a cure of the condition constituting Good Reason,
and, upon cure thereof by the Company, such event shall no longer constitute Good Reason.

 

1.13           
“Inventions” means trade secrets, inventions, ideas, processes, formulas, software, source or
object codes, data, programs, other works of authorship, know-how, improvements, discoveries, developments, designs and techniques.

 

1.14           
“Parent” means a “parent corporation,” whether now or hereafter existing, as defined
in Code Section 424(e).

 

1.15           
“Proprietary Rights” means all trade secret, patent, copyright and other intellectual property
rights throughout the world.

 

1.16           
“Restricted Period” means the period commencing on the Effective Date and ending one (1) year
following the date of termination of the Executive’s employment with the Company.

 

		1.17	“Securities Act” means the Securities Act of 1933, as amended.

 

1.18           
“Subsidiary” means a “subsidiary corporation,” whether now or hereafter existing,
as defined in Code Section 424(f).

 

1.19           
“Supplier” means, as of the date of determination, any natural person or business entity, or groups
of natural persons or business entities, with which the Company or any of its Affiliates has or has had an agreement (whether in
writing or not) regarding the obligation of such person or entity to supply products or services to the Company or any of its Affiliates
during the twelve (12) months prior to such date.

 

    	 	5	 

     

    

 

 

1.20           
“Territory” means (a) the United States of America; (b) any state in which the Company had any
Customer during the twelve (12)-month period preceding the termination of the Executive’s employment with the Company for
any reason; (c) any state in which the Executive performed services for the Company during the twelve (12)-month period preceding
the termination of the Executive’s employment with the Company for any reason; or (d) the state of North Carolina.

 

		2.	Employment Period and Place of Performance

 

2.1.       Employment
Period. The term of the Executive’s employment by the Company pursuant to this Agreement (the “Employment Period”)
shall commence upon the date hereof (the “Effective Date”) and shall continue through July 31, 2018. Thereafter,
the Employment Period shall automatically renew for successive periods of one (1) year each, unless either party shall have given
to the other written notice at least thirty (30) days prior to the end of the Employment Period or the then applicable renewal
term, as the case may be, of the Executive’s or the Company’s intention not to renew the Employment Period, in which
case the term “Employment Period” shall include any such renewal periods. The Employment Period may be sooner terminated
by either party in accordance with the provisions of Section 6 below. For the avoidance of doubt, non-renewal of the Employment
Period pursuant to this Agreement shall not, by itself, constitute Good Reason or termination of the Executive’s employment.

 

2.2       Place
of Performance. The principal place of employment of Executive shall be at the Company’s headquarters in Huntersville,
NC, provided that Executive may perform the Executive’s duties at any other location, where the Company now or hereafter
has a business facility and at any other location where Executive’s presence is necessary to perform the Executive’s
duties. The parties acknowledge that the Executive may be required to travel in connection with the performance of the Executive’s
duties hereunder.

 

		3.	Employment; Duties

 

3.1.   
Position and Duties. Subject to the terms and conditions set forth herein, the Company hereby employs the
Executive to act for the Company during the Employment Period in the capacity set forth on Schedule A hereto, and the Executive
hereby accepts such employment. The duties and responsibilities of the Executive shall include such duties and responsibilities
as are appropriate to such office and as are normally associated with and appropriate for such position and as the Company’s
Chief Executive Officer and/or the Board may from time to time reasonably assign to the Executive, including, without limitation,
the duties and responsibilities set forth on Schedule A hereto.

 

		3.2.	Devotion of Time and Effort

 

(a)   
Executive recognizes that during the period of Executive’s employment hereunder
Executive owes an undivided duty of loyalty to the Company, and Executive shall use Executive’s good faith efforts and judgment
in performing Executive’s duties required hereunder to promote and develop the Business of the Company and its Affiliates.
Executive shall devote all of Executive’s business time, attention and skills to the performance of Executive’s services
as an executive of the Company. Recognizing and acknowledging that it is essential for the protection and enhancement of the name
and Business of the Company and the goodwill pertaining thereto, Executive shall perform the Executive’s duties under this
Agreement professionally, in accordance with all material, applicable laws, rules and regulations and such reasonable standards,
policies and procedures established by the Company and the industry from time to time.

    	 	6	 

     

    

 

(b)   
Notwithstanding the foregoing, the parties acknowledge that the Executive currently engages in the outside activities
set forth on Schedule B hereto and agree that the Executive may continue to engage in such activities during the term of
this Agreement; provided, however, that unless otherwise determined by the Board, the Executive’s participation
in such activities shall be limited to the respective role(s) set forth on Schedule B. Executive acknowledges and agrees
that during the term of the Agreement, he or she will not, without advance approval by the Board, expand his or her involvement
in the activities listed on Schedule B or participate in additional outside activities, including, but not limited to, any
of the following: (i) civic, community, or charitable board membership; (ii) serving as a director (or in a similar capacity) of
other corporations (or other entities); or (iii) participating as an active investor in other companies and projects. Such approval
shall be given or withheld at the sole discretion of the Board.

 

		4.	Compensation

 

4.1.   
Base Salary. The Executive shall be entitled to receive a salary from the Company during the Employment Period
at a rate per year indicated on Schedule A hereto (the “Base Salary”) payable in U.S. dollars in bi-weekly
installments in accordance with the Company’s customary payroll practices, and pro- rated for any partial year. The Base
Salary may be increased or decreased at the Board’s sole discretion; provided, however, that any decrease must
be communicated to the Executive reasonably in advance of the date by which notice must be given of intent not to renew the Executive’s
employment.

 

		4.2.	Annual Bonus.

 

(a)   
For each fiscal year during the Employment Period and for any partial fiscal year at the commencement of the Employment
Period, the Executive shall be eligible to receive an annual bonus (the “Annual Bonus”) as set forth in Schedule
A hereto, payable no later than the 15th day of the third month following the end of the Executive’s taxable
year in which the Executive’s right to the bonus vests or the 15th day of the third month following the end of the Company’s
taxable year in which the Executive’s right to the bonus vests, or otherwise in a manner intended to be exempt from or in
accordance with Code Section 409A.

 

(b)   
The Executive shall be eligible to participate in any other bonus or incentive program established by the Company
for other senior executives of the Company; provided, however, that the Compensation Committee and/or the Board shall have sole
discretion to determine if, and the extent to which, any such bonuses or incentives have been earned.

    	 	7	 

     

    

 

4.3.   
Equity Incentive Awards. As soon as practicable during the Company’s next open trading windowafter the
Effective Date, the Executive shall be entitled to receive the equity incentive awards under the 2016 Plan, as specified on
Schedule A attached hereto. The Executive may be entitled to receive additional stock options, restricted stock awards or other
equity incentive awards under the 2016 Plan if, as and when determined by the Compensation Committee or the Board. All awards granted
to the Executive shall be of a type(s) determined by the Compensation Committee, e.g., restricted stock awards, options, other
equity awards, or any combination of the foregoing, and shall be subject to such vesting, transfer, resale and other terms and
conditions as may be established by the Compensation Committee and the terms of the 2016 Plan and the applicable award agreement(s)
in form(s) established by the Compensation Committee. All awards granted to the Executive shall be further subject to the Company’s
Insider Trading Policy, as it may be amended, any clawback/ recoupment policies and share ownership guidelines or similar policies
adopted from time to time by the Company, and transaction reporting requirements under applicable securities laws.

 

		5.	Benefits

 

5.1.   
Benefit Plans. In addition to the other compensation payable to the Executive hereunder, and except as otherwise
set forth herein, the Executive, during the Employment Period, shall be entitled to participate in all pension, profit sharing,
retirement savings plan, 401K or other similar benefit, medical, disability and other employee benefit plans and programs generally
provided by the Company to its senior executives from time to time hereafter, as the same may be adopted, amended and/or terminated
from time to time in the sole discretion of the Company (the “Benefits”). The Executive shall be bound by all
of the policies and procedures relating to Benefits established by the Company from time to time.

 

5.2.   
Vacation; Personal Days. During the Employment Period, the Executive shall be entitled to an annual vacation
of such duration as set forth in Schedule A. The Executive shall be entitled to paid personal days on a basis consistent
with the Company’s other senior executives, as determined by the Board.

 

5.3.   
Expense Reimbursement. The Company shall reimburse the Executive for all reasonable business, promotional,
travel and entertainment expenses (“Reimbursable Expenses”) incurred or paid by the Executive during the Employment
Period in the performance of Executive’s services under this Agreement on a basis consistent with the Company’s other
senior executives, as determined by the Board, provided that the Executive furnishes to the Company appropriate documentation required
by the Code and/or other taxing authorities in a timely fashion in connection with such expenses and shall furnish such other documentation
and accounting as the Company may from time to time reasonably request. The amount of Reimbursable Expenses incurred in one taxable
year shall not affect the expenses eligible for reimbursement in any other taxable year. Each category of reimbursement shall be
paid as soon as administratively practicable, but in no event shall any such reimbursement be paid after the last day of the Executive’s
taxable year following the taxable year in which the expense was incurred. No right to reimbursement is subject to liquidation
or exchange for other benefits.

 

    	 	8	 

     

    

 

 

		6.	Termination

 

6.1.   
Employment “At Will”; Termination. The Executive’s employment with the Company shall be
entirely “at-will,” meaning that either the Executive or the Company may terminate such employment relationship by
terminating this Agreement in writing delivered to the other party at any time for any reason or for no reason at all, subject,
however, to the following. Subject to the terms of this Agreement, the Executive’s right to compensation for periods after
the date the Executive’s employment with the Company terminates shall be determined in accordance with the provisions of
paragraphs (a) through (e) below:

 

(a)                
Voluntary Resignation; Termination without Cause.

 

(i)                
Voluntary Resignation. The Executive may terminate the Executive’s employment
at any time upon thirty (30) days prior written notice to the Company. In the event of the Executive’s voluntary termination
of employment other than for Good Reason, the Company shall have no obligation to make payments to the Executive in accordance
with the provisions of Sections 4.1 or 4.2 hereof, or, except as otherwise required by this Agreement or by applicable law, to
provide the Benefits described in Section 5 hereof for periods after the date on which the Executive’s employment with the
Company terminates due to the Executive’s voluntary resignation, except for (A) the payment of the Executive’s Base
Salary accrued through the date of such resignation, such amount to be paid within 30 days following the date of the Executive’s
termination of employment pursuant to the Company’s regular payroll practices and required withholdings, and (B) payment
of the Executive’s Annual Bonus for the preceding year, if and to the extent earned pursuant to Section 4.2 and Schedule
A and if not already paid. Any of the Executive’s unvested stock options, restricted stock awards or other equity awards
granted by the Company to the Executive shall vest or be forfeited in accordance with (and otherwise shall be subject to) the terms
of the applicable award agreement(s). The Executive shall have no further rights under this Agreement or otherwise to receive any
other compensation or Benefits after such termination of employment.

 

(ii)              
Termination without Cause. Subject to the terms of this Agreement (including the requirement
to sign a waiver and release as described in Section 11.12), in the event of the termination of the Executive’s employment
by the Company without Cause, the Company shall (w) continue to pay the Executive the Base Salary in bi-weekly installments (at
the rate in effect on the date the Executive’s employment is terminated) as severance for a period equal to the number of
months set forth on Schedule A hereto as the Severance Period, subject to the Company’s regular payroll practices
and required withholdings, with such payments to commence on the first payroll date that occurs on or after the 30th day following
the date of the Executive’s termination of employment, (x) pay the Executive’s Annual Bonus for the preceding year,
if and to the extent earned pursuant to Section 4.2 and Schedule A and if not already paid, (y) pay any other compensation
and Benefits accrued through the date of termination, and (z) reimburse the Executive for a period of one (1) year after the date
of termination for the cost of committed living allowance expenses and any COBRA continuation of health coverage if the Executive
elects such coverage, subject to the terms of Section 6(i). Any of the Executive’s unvested stock options, restricted stock
awards or other equity awards granted by the Company to the Executive shall vest or be forfeited in accordance with (and otherwise
shall be subject to) the terms of the applicable award agreement(s). The Executive shall have no further rights under this Agreement
or otherwise to receive any other compensation or Benefits after such termination of employment.

 

    	 	9	 

     

    

 

 

(b)                
Termination for Cause. Upon written notice to the Executive, the Company may terminate the Executive’s
employment for Cause. In the event of the termination of the Executive’s employment by the Company for Cause, the Company
shall have no obligation to make payments to Executive in accordance with the provisions of Sections 4.1 or 4.2 hereof, or, except
as otherwise required by law, to provide the Benefits described in Section 5 hereof for periods after the Executive’s employment
with the Company is terminated on account of the Executive’s discharge for Cause, except for the Executive’s then applicable
Base Salary accrued through the date of such termination, such amount to be paid within 30 days following the date of the Executive’s
termination of employment pursuant to the Company’s regular payroll practices and required withholdings. Any of the Executive’s
unvested stock options, restricted stock awards or other equity awards granted by the Company to the Executive shall vest or be
forfeited in accordance with (and otherwise shall be subject to) the terms of the applicable award agreement(s). The Executive
shall have no further rights under this Agreement or otherwise to receive any other compensation or Benefits after such termination
of employment.

 

(c)                
Disability. The Company shall have the right, but shall not be obligated, to terminate the Executive’s
employment hereunder due to a Disability of the Executive. In the event of the termination of the Executive’s employment
due to a Disability, the Company shall have no obligation to make payments to the Executive in accordance with the provisions of
Sections 4.1 or 4.2 hereof, or, except as otherwise required by this Agreement or by applicable law, to provide the Benefits described
in Section 5 hereof for periods after the date on which the Executive’s employment with the Company terminates due to a Disability,
except for (i) the payment of the Executive’s then applicable Base Salary accrued through the date of such termination, such
amount to be paid within 30 days following the date of the Executive’s termination of employment pursuant to the Company’s
regular payroll practices and required withholdings, and (ii) payment of the Executive’s Annual Bonus for the preceding year,
if and to the extent earned pursuant to Section 4.2 and Schedule A and if not already paid. Any of the Executive’s
unvested stock options, restricted stock awards or other equity awards granted by the Company to the Executive shall vest or be
forfeited in accordance with (and otherwise shall be subject to) the terms of the applicable award agreement(s). The Executive
shall have no further rights under this Agreement or otherwise to receive any other compensation or Benefits after such termination
of employment.

 

(d)               
Death. If the Executive dies during the Employment Period, the Executive’s employment and this Agreement
shall terminate on the date of the Executive’s death and the Company shall have no obligation to make payments to the Executive’s
beneficiary (as indicated in writing by the Executive to the Company), or, if no such beneficiary has been designated, the Executive’s
estate in accordance with the provisions of Sections 4.1 or 4.2 hereof, or, except as otherwise required by this Agreement or by
applicable law, to provide the Benefits described in Section 5 hereof for periods after the date of death, except for (i) the payment
of the Executive’s then applicable Base Salary accrued through the date of such termination, such amount to be paid within
30 days following the date of death pursuant to the Company’s regular payroll practices and required withholdings, (ii) payment
of the Executive’s Annual Bonus for the preceding year, if and to the extent earned pursuant to Section 4.2 and Schedule
A and if not already paid. Any of the Executive’s unvested stock options, restricted stock awards or other equity awards
granted by the Company to the Executive shall vest or be forfeited in accordance with (and otherwise shall be subject to) the terms
of the applicable award agreement(s). The Company shall have no obligation to make other payments to the Executive’s beneficiary
or the Executive’s estate, as the case may be, except as otherwise required by law after the date of the Executive’s
death. The Executive’s beneficiary or the Executive’s estate, as the case may be, shall have no further rights under
this Agreement or otherwise to receive any other compensation or Benefits after such termination of employment.

 

    	 	10	 

     

    

 

 

(e)                
Termination for Good Reason. Upon written notice to the Company as provided in this Agreement, the Executive
may terminate this Agreement at any time for Good Reason. Subject to the terms of this Agreement (including the requirement to
sign a waiver and release as described in Section 11.12), in the event of the termination of the Executive’s employment by
the Executive for Good Reason, the Company shall, (w) continue to pay the Executive the Base Salary in bi-weekly installments (at
the rate in effect on the date the Executive’s employment is terminated) as severance for the Severance Period, subject to
the Company’s regular payroll practices and required withholdings, with such payments commencing on the first payroll date
that occurs on or after the 30th day following the Executive’s termination of employment, (x) pay the Executive’s Annual
Bonus for the preceding year, if and to the extent earned pursuant to Section 4.2 and Schedule A and if not already paid,
pay any other compensation and Benefits accrued through the date of termination, and (z) reimburse the Executive for a period of
one (1) year after the date of termination for the cost of committed living allowance expenses and any COBRA continuation of health
coverage if the Executive elects such coverage, subject to the terms of Section 6(i). Any of the Executive’s unvested stock
options, restricted stock awards or other equity awards granted by the Company to the Executive shall vest or be forfeited in accordance
with (and otherwise shall be subject to) the terms of the applicable award agreement(s). The Executive shall have no further rights
under this Agreement or otherwise to receive any other compensation or Benefits after such resignation.

 

(f)    
Notice of Termination. Any termination of employment by the Company or the Executive shall be communicated
by a written “Notice of Termination” to the other party hereto given in accordance with Section 11.4 of this Agreement.
In the event of a termination by the Company for Cause or by the Executive for Good Reason, in addition to the notice requirements
stated in Section 1.12 herein, the Notice of Termination shall (i) indicate the specific termination provision in this Agreement
relied upon, (ii) set forth in reasonable detail the facts and circumstances claimed to provide a basis for termination of the
Executive’s employment under the provision so indicated and (iii) specify the date of termination. The failure by the Executive
or the Company to set forth in the Notice of Termination any fact or circumstance which contributes to a showing of Cause or Good
Reason shall not waive any right of the Executive or the Company, respectively, hereunder or preclude the Executive or the Company,
respectively, from asserting such fact or circumstance in enforcing the Executive’s or the Company’s rights hereunder.

 

    	 	11	 

     

    

 

 

(g)   
Termination of Rights upon Breach; Recoupment. If, following a termination of employment by either party for
any reason, it is conclusively determined by a court that the Executive has breached the provisions of Sections 7, 8 or 9 hereof,
the Executive shall not be eligible, as of the date of such breach (as determined by the court), for the payments and Benefits
described in this Section 6, and any and all obligations and agreements of the Company with respect to such payments shall thereupon
cease, except as otherwise required by applicable law. In addition, if after the termination of the Executive the Company discovers
facts and circumstances that would have justified a termination for Cause, the Company may: (i) retroactively deem the termination
of the Executive to be for Cause; (ii) cease any remaining payments due to the Executive hereunder, except as otherwise required
by applicable law; (iii) recoup or clawback any severance payments made hereunder; and (iv) take any actions allowed relating to
any equity awards pursuant to the applicable award agreements and/or plans. The Executive agrees that
the compensation and benefits provided by the Company under this Agreement or otherwise are subject to forfeiture, recoupment and/or
clawback as provided in this Agreement or under any applicable Company clawback or recoupment policy that is generally applicable
to the Company's executives, as may be in effect from time to time, or as required by law.

 

(h)   
Resignation from Directorships and Officerships. The termination of the Executive’s employment for any
reason shall constitute the Executive’s resignation from (i) any director, officer or employee position the Executive has
with the Company or any of its Affiliates, and (ii) all fiduciary positions (including as a trustee) the Executive holds with respect
to any employee benefit plans or trusts established by the Company. The Executive agrees that this Agreement shall serve as written
notice of resignation in this circumstance, unless otherwise required by any plan or applicable law.

 

(i)    
If under Sections 6(a)(ii) or 6(e) the Executive timely and properly elects health continuation coverage under the
Consolidated Omnibus Budget Reconciliation Act of 1985 (“COBRA”), the Company shall reimburse Executive
for the monthly COBRA premium paid by Executive for himself and his dependents for continuation coverage under the Company’s
group medical plan; provided, however, that if at any time during the Severance Period Executive becomes eligible to receive health
insurance from a subsequent employer or is no longer eligible to receive COBRA continuation coverage under the Company’s
group medical plan, the Company’s obligation to continue to reimburse Executive for his COBRA premium payments shall terminate
immediately. Such reimbursement shall be paid to Executive on the 20th day of the month immediately following the month in which
Executive timely remits the required COBRA premium payment.

 

7.                 
Ownership of Work Products. The Executive
acknowledges that all Inventions, innovations, patents, patent applications, improvements, know-how, Proprietary Rights (as defined
below), plans, development, methods, designs, specifications, software, drawings, mask works, know-how, methods, analyses, research,
reports and all similar or related property or information (whether or not patentable or reduced to practice) which relate to any
of the Company’s actual or proposed business activities and which are created, designed or conceived, developed or made by
the Executive during the Executive’s past or future employment with the Company (“Work Product”) belong
to the Company or any of its Affiliates. Any copyrightable work falling within the definition of Work Product shall be deemed a
“work made for hire” and ownership of all right, title and interest shall vest in the Company. The Executive hereby
irrevocably assigns, transfers and conveys, to the fullest extent permitted by law, all right, title and interest in the Work Product,
on a worldwide basis, to the Company to the extent ownership of any rights does not automatically vest in the Company under applicable
law. The Executive shall promptly disclose any such Work Product to the Company and perform all actions requested by the Company
(whether during or after the Executive’s employment) to establish and confirm ownership of such Work Product by the Company
(including, without limitation, assignments, consents, powers of attorney and other instruments).

 

    	 	12	 

     

    

 

 

		8.	Restrictive Covenants

 

8.1              
Confidentiality. The Executive understands that the Company and any of its Affiliates, from time to time,
may impart Confidential Information to the Executive, whether such information is written, oral, electronic or graphic. The Executive
hereby acknowledges the Company’s exclusive ownership of such Confidential Information. In exchange for good and valuable
consideration, including the Executive’s employment hereunder and the Executive’s Base Salary, for the duration of
the Executive’s employment and for all times thereafter, the Executive agrees that the Executive shall: (x) only use the
Confidential Information in the performance of the Executive’s duties hereunder; (y) only communicate the Confidential Information
to fellow employees, agents and representatives strictly on a need-to-know basis; and (z) not otherwise disclose or use any of
the Confidential Information, except as may be required by law or otherwise authorized by the Board. Notwithstanding the foregoing,
the Executive understands that: (i) nothing in this Agreement or other agreement prohibits the Executive from reporting possible
violations of law or regulation to any federal, state, or local governmental agency or entity (the “Government Agencies”),
or communicating with Government Agencies or otherwise participating in any investigation or proceeding that may be conducted by
Government Agencies, including providing documents or other information; (ii) the Executive does not need the prior authorization
of the Company to take any action described in clause (i) immediately above, and that the Executive is not required to notify the
Company that the Executive has taken any action described in clause (i) immediately above; and (iii) this Agreement does not limit
the Executive’s right to receive an award for providing information relating to a possible securities law violation to the
U.S. Securities and Exchange Commission (the “SEC”). Further, the Executive understands that the Defend Trade
Secrets Act of 2016 provides that an individual shall not be held criminally or civilly liable under any federal or state trade
secret law for the disclosure of a trade secret that: (i) is made (A) in confidence to a federal, state or local government official,
either directly or indirectly, or to an attorney; and (B) solely for the purpose of reporting or investigating a suspected violation
of law; or (ii) is made in a complaint or other document filed in a lawsuit or other proceeding, if such filing is made under seal.

 

Upon demand
by the Company or upon termination of the Executive’s employment, the Executive shall deliver to the Company all manuals,
photographs, recordings and any other instrument or device by which, through which or on which Confidential Information has been
recorded and/or preserved, and which are in the Executive’s possession, custody or control.

 

8.2              
Non-Competition. During the Restricted Period, the Executive agrees that the Executive shall not anywhere
in the Territory engage, or cause another to engage, directly or indirectly, as a principal, owner, shareholder, director, officer,
manager, partner, member, agent, employer, employee, consultant or otherwise for any other person or entity in the Business in
the provision of services the same or similar to those the Executive rendered on behalf of the Company during the twelve (12)-month
period preceding the termination of the Executive’s employment with the Company for any reason.

 

    	 	13	 

     

    

 

 

8.3              
Non-Solicitation. During the Restricted Period, the Executive shall not (i) contact any Customer of the Company
with whom the Executive had material contact or about whom the Executive gained Confidential Information during the twelve (12)-month
period preceding the termination of the Executive’s employment with the Company for purposes of (A) soliciting such Customer’s
business, except on behalf of the Company, or (B) persuading or attempting to persuade any such Customer to cease to do business,
or to reduce the amount of business which such Customer has customarily done or is reasonably expected to do, with the Company,
or (ii) employ or solicit the employment, cause another to employ or solicit the employment, of any person employed by the Company
or that has been an employee of the Company at any time during the six (6) months preceding the termination of the Executive’s
employment with the Company for any reason.

 

8.4              
Injunctive Relief. The Executive recognizes and agrees that any violation of the Executive’s obligations
under this Section shall cause irreparable harm to the Company and any of its Affiliates that would be difficult to quantify and
for which money damages would be inadequate, and that the Company shall, in addition to any other claims or rights the Company
may have at law or in equity, have the right to injunctive relief to prevent or restrain any such violation, without the necessity
of posting a bond. The Restricted Period shall be extended by the duration of any violation by the Executive of any of the Executive’s
obligations under this Section.

 

8.5              
Modification. The Executive intends that the provisions of this Section be enforced as written. However, if
any provision of this Agreement is determined to be unenforceable, in whole or in part, then the parties hereto agree to enter
into an agreement to reform such provisions to set forth the maximum limitations permitted by applicable law. If any Court determines
that any provision of this Section, or any part thereof, is unenforceable because of the duration or scope of such provision, such
court shall have the power to modify such provision and, in its modified form, such provision shall then be enforceable.

 

8.6              
Non-Disparagement. During the term of the Executive’s employment, and thereafter, neither the Executive,
nor the Company shall make disparaging remarks, or any remarks that could reasonably be construed as disparaging, regarding the
Executive, Company, its Subsidiaries or its other Affiliates, or its or their officers, directors, employees, stockholders, representatives
or agents.

 

    	 	14	 

     

    

 

 

		9.	Representations and Warranties

 

9.1              
Executive’s Representation. The Executive hereby represents and warrants to the Company, and the Executive
acknowledges that the Company has relied on such representations and warranties in employing the Executive and entering into this
Agreement, as follows:

 

(a)   
the Executive has the legal capacity and right to execute and deliver this Agreement and to perform the Executive’s
obligations contemplated hereby, and this Agreement has been duly executed by the Executive;

 

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

 

(c)   
the Executive is not a party to or bound by any employment agreement, consulting agreement, non-compete agreement,
fee for services agreement or similar agreement with any other person;

 

(d)   
upon the execution and delivery of this Agreement by the Company and the Executive, this Agreement shall be a legal,
valid and binding obligation of the Executive, enforceable in accordance with its terms;

 

(e)   
the Company has made no warranties or representations to the Executive with respect to the tax consequences (including,
but not limited to, income tax consequences) related to the transactions contemplated by this Agreement, the Executive is in no
manner relying on the Company or its representatives for an assessment of such tax consequences, the Executive has been advised
that the Executive should consult with the Executive’s own attorney, accountant, and/or tax advisor regarding the decision
to enter into this Agreement and the consequences thereof, and the Company has no responsibility to take or refrain from taking
any actions in order to achieve a certain tax result for the Executive;

 

(f)    
the Executive hereby acknowledges and represents that the Executive has consulted with independent legal counsel
regarding the Executive’s rights and obligations under the Agreement and that the Executive fully understands the terms and
conditions contained herein; and

(g)   
the Executive understands that the Company shall rely upon the accuracy and truth of the representations and warranties
of the Executive set forth herein and the Executive consents to such reliance.

 

 

    	 	15	 

     

    

 

		10.	Public Company Obligations; Indemnification

 

10.1.  
The Executive acknowledges that the Company is a public company with shares of common stock that have been registered
under the Exchange Act, and that this Agreement shall be subject to the public filing requirements of the Exchange Act. In addition,
both parties acknowledge that the Executive’s compensation and perquisites (each as determined by the rules of the SEC or
any other regulatory body or exchange having jurisdiction) (which may include benefits or regular or occasional aid/assistance,
such as recreation, club memberships, meals, education for the Executive’s family, vehicle, lodging or clothing, occasional
bonuses or anything else the Executive receives, during the Employment Period and any renewals thereof, in cash or in kind) paid
or payable or received or receivable under this Agreement or otherwise, and the Executive’s transactions and other dealings
with the Company, shall be required to be publicly disclosed.

 

10.2.  
The Executive acknowledges and agrees that the applicable insider trading rules, transaction reporting rules, limitations
on disclosure of non-public information and other requirements set forth in the Securities Act, the Exchange Act and rules and
regulations promulgated by the SEC may apply to this Agreement and the Executive’s employment with the Company.

 

10.3.  
The Executive (on behalf of himself, as well as the Executive’s executors, heirs, administrators and assigns)
absolutely and unconditionally agrees to indemnify and hold harmless the Company and all of its past, present and future affiliates,
executors, heirs, administrators, shareholders, employees, officers, directors, attorneys, accountants, agents, representatives,
predecessors, successors and assigns from any and all claims, debts, demands, accounts, judgments, causes of action, equitable
relief, damages, costs, charges, complaints, obligations, controversies, actions, suits, proceedings, expenses, responsibilities
and liabilities of every kind and character whatsoever (including, but not limited to, reasonable attorneys’ fees and costs)
in the event of the Executive’s breach of any obligation of the Executive under the Securities Act, the Exchange Act, any
rules promulgated by the SEC and any other applicable federal, state or foreign laws, rules, regulations or orders.

 

		11.	General Provisions

 

11.1.  
Governing Law/Jurisdiction. This Agreement and any disputes or controversies arising hereunder shall be construed
and enforced in accordance with and governed by the internal laws of the State of North Carolina without regard to the conflicts
of laws principles thereof.

 

11.2.  
Arbitration. Any controversy or claim arising out of or relating to this Agreement, or that arises out of
or that is based upon the employment relationship between the Company and the Executive (including any wage claim, any claim for
wrongful termination, or any claim based upon any statute, regulation, or law, including those dealing with employment discrimination,
sexual harassment, civil rights, age, or disabilities), including tort claims (except a tort that is a “compensable injury”
under applicable workers’ compensation law), shall be settled by arbitration administered by the American Arbitration Association
under its Employment Arbitration Rules and Mediation Procedures and judgment upon the award rendered by the arbitrator(s) may be
entered in any court having jurisdiction thereof. The arbitration proceedings shall be conducted in Charlotte, North Carolina,
unless the parties otherwise agree.

 

    	 	16	 

     

    

 

 

11.3.  
Entire Agreement. This Agreement constitutes the entire agreement between the parties hereto with respect
to the subject matter hereof and thereof and supersedes and cancels any and all previous agreements, written and oral, regarding
the subject matter hereof between the parties hereto. This Agreement shall not be changed, altered, modified or amended, except
by a written agreement signed by both parties hereto.

 

11.4.  
Notices. All notices, requests, demands and other communications called for or contemplated hereunder shall
be in writing and shall be deemed to have been given when delivered to the party to whom addressed or when sent by telecopy (if
promptly confirmed by registered or certified mail, return receipt requested, prepaid and addressed) to the parties, their successors
in interest, or their assignees at the following addresses, or at such other addresses as the parties may designate by written
notice in the manner aforesaid:

 

		(a)	to the Company at:

Akoustis Technologies,
Inc.

9805 Northcross Center Court, Suite H

Huntersville, NC 28078

Attn: Jeffrey Shealy

Fax: (704) 897-5734

 

with a copy to:

Womble Carlyle Sandridge & Rice, LLP

301 S. College Street, Suite 3500

Charlotte, NC 28202

Attn: Anna Mills

Fax: (704) 338-7840

 

		(b)	to the Executive as set forth on Schedule A hereto.

 

All such
notices, requests and other communications shall (i) if delivered personally to the address as provided in this Section, be deemed
given upon delivery, (ii) if delivered by facsimile transmission to the facsimile number as provided for in this Section, be deemed
given upon facsimile confirmation, (iii) if delivered by mail in the manner described above to the address as provided for in this
Section, be deemed given on the earlier of the third business day following mailing or upon receipt and (iv) if delivered by overnight
courier to the address as provided in this Section, be deemed given on the earlier of the first business day following the date
sent by such overnight courier or upon receipt (in each case regardless of whether such notice, request or other communication
is received by any other person to whom a copy of such notice is to be delivered pursuant to this Section). Either party may, by
notice given to the other party in accordance with this Section, designate another address or person for receipt of notices hereunder.

 

    	 	17	 

     

    

 

 

11.5.  
Severability. If any term or provision of this Agreement, or the application thereof to any person or under
any circumstance, shall to any extent be invalid or unenforceable, the remainder of this Agreement, or the application of such
terms to the persons or under circumstances other than those as to which it is invalid or unenforceable, shall be considered severable
and shall not be affected thereby, and each term of this Agreement shall be valid and enforceable to the fullest extent permitted
by law. The invalid or unenforceable provisions shall, to the extent permitted by law, be deemed amended and given such interpretation
as to achieve the economic intent of this Agreement.

 

11.6.  
Waiver. The failure of any party to insist in any one instance or more upon strict performance of any of the
terms and conditions hereof, or to exercise any right or privilege herein conferred, shall not be construed as a waiver of such
terms, conditions, rights or privileges, but same shall continue to remain in full force and effect. Any waiver by any party of
any violation of, breach of or default under any provision of this Agreement by the other party shall not be construed as, or constitute,
a continuing waiver of such provision, or waiver of any other violation of, breach of or default under any other provision of this
Agreement.

 

11.7.  
Successors and Assigns. This Agreement shall be binding upon the Company and any successors and assigns of
the Company. Neither this Agreement nor any right or obligation hereunder may be assigned by the Executive. The Company may assign
this Agreement and its right and obligations hereunder, in whole or in part.

 

11.8.  
Counterparts. This Agreement may be executed in multiple counterparts, each of which shall be deemed an original,
and all of which together shall constitute one and the same instrument. Additionally, a facsimile counterpart of this Agreement
shall have the same effect as an originally executed counterpart.

 

11.9.  
Headings. Headings in this Agreement are for reference purposes only and shall not be deemed to have any substantive
effect.

 

11.10.  
Opportunity to Seek Advice. The Executive acknowledges and confirms that the Executive has had the opportunity
to seek such legal, financial and other advice and representation as the Executive has deemed appropriate in connection with this
Agreement, that the Executive is fully aware of its legal effect, and that Executive has entered into it freely based on the Executive’s
judgment and not on any representations or promises other than those contained in this Agreement.

 

11.11.  
Withholding and Payroll Practices. All salary, severance payments, bonuses or benefits payments made by the
Company under this Agreement shall be net of any tax or other amounts required to be withheld by the Company under applicable law
and shall be paid in the ordinary course pursuant to the Company’s then existing payroll practices.

 

    	 	18	 

     

    

 

 

11.12  
Waiver and Release. The Executive acknowledges and agrees that the Company may at any time require, as a condition
to receipt of benefits payable under this Agreement, including but in no way limited to the payment of termination benefits pursuant
to Sections 6.1(a)(ii) and 6.1(e) herein, that the Executive (or a representative of his Estate) execute a waiver and release discharging
the Company and its Subsidiaries, and their respective Affiliates, and its and their officers, directors, managers, employees,
agents, and representatives and the heirs, predecessors, successors, and assigns of all of the foregoing, from any and all claims,
actions, causes of action, or other liability, whether known or unknown, contingent or fixed, which can be released by law, arising
out of or in any way related to the Executive’s employment, or the ending of Executive’s employment with the Company
or the benefits thereunder, including, without limitation, any claims under this Agreement or other related instruments. The waiver
and release shall be in a form satisfactory to the Company and shall be executed prior to the first payment of such benefits and
is a condition to receipt of such benefits, except where prohibited by law.

 

11.13  
Code Section 409A. Notwithstanding any other provision in this Agreement to the contrary, if and to the extent
that Code Section 409A is deemed to apply to any benefit under this Agreement, it is the general intention of the Company that
such benefits shall, to the extent practicable, comply with, or be exempt from, Code Section 409A, and this Agreement shall, to
the extent practicable, be construed in accordance therewith. Deferrals of benefits distributable pursuant to this Agreement that
are otherwise exempt from Code Section 409A in a manner that would cause Code Section 409A to apply shall not be permitted unless
such deferrals are in compliance with or otherwise exempt from Code Section 409A. In the event that the Company (or a successor
thereto) has any stock which is publicly traded on an established securities market or otherwise and the Executive is determined
to be a “specified employee” (as defined under Code Section 409A), any payment of deferred compensation subject to
Code Section 409A to be made to the Executive upon a separation from service may not be made before the date that is six months
after the Executive’s separation from service (or death, if earlier). To the extent that the Executive becomes subject to
the six-month delay rule, all payments of deferred compensation subject to Code Section 409A that would have been made to the Executive
during the six months following his separation from service, if any, will be accumulated and paid to the Executive during the seventh
month following his separation from service, and any remaining payments due will be made in their ordinary course as described
in this Agreement. For the purposes herein, the phrase “termination of employment” or similar phrases will be interpreted
in accordance with the term “separation from service” as defined under Code Section 409A if and to the extent required
under Code Section 409A. Whenever payments under the Agreement are to be made in installments, each such installment shall be deemed
to be a separate payment for purposes of Code Section 409A. Further, (i) in the event that Code Section 409A requires that any
special terms, provisions, or conditions be included in this Agreement, then such terms, provisions, and conditions shall, to the
extent practicable, be deemed to be made a part of this Agreement, and (ii) terms used in this Agreement shall be construed in
accordance with Code Section 409A if and to the extent required. Further, in the event that this Agreement or any benefit thereunder
shall be deemed not to comply with Code Section 409A, then neither the Company, the Board, the Compensation Committee, nor its
or their designees or agents shall be liable to the Executive or other person for actions, decisions, or determinations made in
good faith.

 

11.14  
Expenses. Unless expressly set forth to the contrary elsewhere in this Agreement, the parties will pay all
of their respective expenses incurred in connection with any legal proceeding concerning a dispute arising out of this Agreement.

 

[The next page is the signature page.]

 

    	 	19	 

     

    

 

 

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

 

COMPANY:

 

AKOUSTIS TECHNOLOGIES, INC.

 

 

 

By: /s/ Jeffrey Shealy

Name:Jeffrey Shealy

Title:Chief Executive Officer

 

 

EXECUTIVE:

 

 

 

/s/ John T. Kurtzweil

Name: John T. Kurtzweil

 

 

 

    	 	20	 

     

    

 

 

Schedule A

		1.	Employment:

a.                  
Title: Chief Financial Officer (CFO) and Chief Accounting Officer (CAO).

b.                  
Executive Duties: During the term of this Agreement, Executive’s duties and responsibilities shall generally
include all rights, duties and responsibilities customarily associated with the executive position of CFO. During the term of this
Agreement, Executive shall report directly to the Chief Executive Officer. Executive shall have the following specific duties and
obligations:

		i.	Work with executive team members and other functional leaders to maximize
share value through organic growth, acquisition and cost savings/cost containment;

		ii.	Perform investor/banking relationship duties including presentation and
discussion of operating results, budgets, forecasts, working capital metrics, etc.;

		iii.	Work with executive team members to develop and implement sound financial,
operating and internal control procedures;

		iv.	Complete required SEC filings and accurate monthly/quarterly/annual financial
statements in compliance with GAAP;

		v.	Work closely with executive team members and other functional leadership
to develop timely annual operating budgets, financial forecasts and cash flow projections;

		vi.	Provide human resource leadership, including (a) development of policies
and procedures as necessary, (b) work with functional leadership on hiring practices that result in talent acquisition and retention,
(c) management of employee benefits, and (d) performance management, etc.;

		vii.	Provide financial leadership on and sound preparation for all due diligence
efforts; and

		viii.	Lead investor relations activities, helping to raise capital and promote
the Company’s interests at investor conferences.

		2.	Base Salary: $151,000 per year, pro-rated for any partial year.

		3.	Annual Bonus: The Executive shall have a target bonus equal to seventy percent

(70%) of Executive’s Base
Salary paid in the fiscal year (the “Target Bonus”). The Board and/or Compensation Committee shall establish,
prior to the start of each fiscal year, certain operation, financial and other milestones (“Milestones”) for the Company
and will communicate these to the Executive. Annual Bonus entitlement vests and is fully payable if Executive is employed full-time
by the Company in good standing on the last day of the applicable fiscal year, even if Executive is no longer employed at the time
the Annual Bonus is scheduled to be paid. The Board and/or Compensation Committee may or may not determine that all or any portion
of the Annual Bonus shall be earned upon the achievement of the Milestones established by the Board and/or Compensation Committee
in consultation with the Executive and that all or any portion of any Annual Bonus shall be paid in cash or securities at the Board’s
and/or Compensation Committee’s discretion.

 

    	 	A-1	 

     

    

  

		4.	Restricted Stock Award to be Granted During the Next Open Trading Window:
100,000 shares of restricted stock under the 2016 Plan; vesting 25% on each of the first, second, third, and fourth anniversaries
of the date of grants subject to the Executive’s full time employment from the grant date until each vesting date and to
the terms and conditions of the 2016 Plan and applicable award agreements in form established by the Compensation Committee.

		5.	Options to be Granted During the Next Open Trading Window: Options
for 75,000 shares of common stock under the 2016 Plan, at an exercise price per share equal to the fair market value per share
of common stock on the grant date; vesting 25% on each of the first, second, third, and fourth anniversaries of the date of grant
subject to the Executive’s full time employment from the grant date until each vesting date and to the terms and conditions
of the 2016 Plan and applicable award agreements in form established by the Compensation Committee.

		6.	Allowance for Living Expenses: The Executive
shall be reimbursed for up to $1,600 per month of living expenses, subject to the reimbursement requirements set forth in Section
5.3 hereof, with such reimbursements to be reported as income of the Executive.

		7.	Paid Vacation: Three (3) weeks per year, pro-rated for any partial
calendar year, timing to be approved by the CEO.

		8.	Severance Period: 12 months.

		9.	Executive Contact Information: John T. Kurtzweil, residence address of 2230 Wheeler Road, Raleigh
NC 27607

 

 

 

 

 

 

 

 

 

 

    	 	A-2	 

     

    

 

 

 

Schedule B

 

 

 

Outside Affiliation Summary

 

		1.	Axcelis Technologies Inc. - Board of Directors

		2.	Kurtzweil Consulting, LLC – Single Member LLC

 

Neither of these outside affiliations are a competitor
with the company.

 

 

    	 	B-1

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