Document:

ENDORSEMENT LICENSING AND CO-BRANDING
AGREEMENT

 

This ENDORSEMENT
LICENSING AND CO-BRANDING AGREEMENT is entered into on July 26, 2013 (the "Effective Date”) by and between Marine MP,
LLC (“Lender”), for services of Arnold Schwarzenegger (“Endorser”), and Fitness Publications, Inc. (“Fitness”)
(collectively, Lender, Endorser, and Fitness are referred to as the “AS Parties”) and MusclePharm Corporation with
its principal place of business in Denver, Colorado and its subsidiaries, (collectively, “MusclePharm” or the “Company”).

 

RECITALS

 

WHEREAS, the AS Parties
have the rights necessary to license the use of the rights of publicity with respect to name, voice, approved signature, approved
photographs, approved images, and approved likenesses of Arnold Schwarzenegger (the “Name and Appearance Rights”) and
the use of the Name and Appearance Rights as trademarks or service marks (the “Trademarks”); and

 

WHEREAS, MusclePharm
is engaged in the business of developing and marketing nutritional products for athletes and fitness enthusiasts, and

 

WHEREAS, MusclePharm
from time to time uses consumer, celebrity, and expert endorsements or testimonials to promote MusclePharm Products (as defined
in Section 2(b) of this Agreement) in marketing and advertising materials, and

 

WHEREAS,
MusclePharm desires to develop, market, promote and sell in conjunction and in cooperation with the Endorser a unique Arnold
Schwarzenegger customized product line approved by the Endorser initially comprised of between  four to eight (4 to 8)
products, subject to Section 2(b) below), that will be marketed and advertised under the Endorser’s name and likeness,
all subject to the Endorser’s approval, as described in Section 12, (the “AS Product Line”); and

 

WHEREAS, MusclePharm
desires to engage Endorser, and Endorser desires to accept the engagement, as more fully described in this Agreement, whereby Endorser
will lend his name, reputation, and appearance to (i) endorse and promote MusclePharm and its Products and (ii) to develop the
AS Product Line and several related promotional giveaway items that will depict the Endorser’s name and likeness solely in
conjunction with the MusclePharm logo or images of the AS Product Line on the permitted promotional products (the “Promotional
Products”) set forth on Exhibit A attached hereto, as may be amended in writing by the parties hereto from
time to time (collectively, the Promotional Products and the AS Product Line are referred to as the “Licensed Products”).

 

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

 

  

    	 

    	 

    

 

1. Term:

 

(a)  This
Agreement shall have an Initial Term of three (3) years. The Term shall commence on July 23, 2013 and shall expire on July 22,
2016, unless otherwise terminated earlier pursuant to Section 9 of this Agreement. The period from July 23, 2013 to July 22, 2014
shall be referred to as the “First Contract Year”. The period from July 23, 2014 to July 22, 2015 shall be referred
to as the “Second Contract Year”. The period from July 23, 2015 to July 22, 2016 shall be referred to as the “Third
Contract Year”.

 

(b)  In
the event that MusclePharm shall achieve Net Sales (as defined below) of $20 million (the “First
Renewal Threshold”) in the aggregate during the Third Contract Year, then this Agreement shall automatically be renewed
for an additional term of three (3) years (the “First Additional Term”) on the same terms and conditions for the
Initial Term except that: (i) no additional Stock Compensation (as defined below) shall be issued in connection with the
renewal Term, (ii) the Cash Compensation for the First Additional Term shall be as set forth in Section 7 and Exhibit
“C” Section (2) attached hereto, (iii) Endorser shall only be obligated to make two (2) Appearances
in each Contract Year during the First Additional Term pursuant to Section 4(a)(ii) below and (iv) the marketing budget
to promote the Licensed Products shall be $5.0 million during each Contract Year of the First Additional Term (subject to
Section 12(b) of this Agreement). If this Agreement is renewed for the First Additional Term, then the First Additional Term
shall commence on July 23, 2016, and the Agreement shall expire and terminate automatically without further notice on July
22, 2019.

 

(c) In the event
that MusclePharm shall achieve Net Sales of $50 million (the “Second Renewal Threshold”) in the aggregate during
the sixth Contract Year, then this Agreement shall automatically be renewed for an additional term of three (3) years (the
“Second Additional Term”) on the same terms and conditions for the initial Term except that: (i) no additional
Stock Compensation (as defined below) shall be issued in connection with the renewal Term, (ii) the Cash Compensation for the
renewal Term shall be as set forth in Section 7 and Exhibit “C” Section (3) attached hereto, (iii)
Endorser shall only be obligated to make two  (2) Appearances in each Contract Year during the Second Additional Term
pursuant to Section 4(a)(ii) below and (iv) the marketing budget to promote the Licensed Products shall be $5.0 in each
Contract Year of the Second Additional Term (subject to Section 12(b) of this Agreement). If this Agreement is renewed for
the Second Additional Term, then the Second Additional Term shall commence on July 23, 2019 and the Agreement shall expire
and terminate automatically without further notice on July 22, 2022.

 

2. Engagement:

 

(a) MusclePharm hereby
engages Endorser and Endorser promises and agrees to hold himself available to use, evaluate, advertise and promote certain MusclePharm
Products, as may be reasonably requested by MusclePharm in accordance with the terms and conditions set forth herein on a world-wide
basis. Endorser also agrees to the use on a world-wide basis (as specified pursuant to Section 6 below and subject to the terms
and conditions of this Agreement), during the Term, of his Name and Appearance Rights to advertise and promote the business of
MusclePharm, its Products, and the Licensed Products.

 

 

    	 

    	 

    

  

(b) Products.
As used in this Agreement, “Products” shall mean dietary supplements manufactured within the fifty states of the United
States of America; provided, however, MusclePharm shall not produce during the Term (and any renewal Term, if any) any diet pills
and/or sexual enhancement products; provided, further, that fat burning products, Shred Matrix and Live Shredded products and products
that increase testosterone levels currently produced by MusclePharm as of the date hereof shall be part of the definition of Products
for the purpose of this Agreement.

 

(c) New
Products. During the Term (including any renewal Term, if any), in the event that MusclePharm shall determine to develop
and introduce a new Product into the market, MusclePharm shall provide the AS Parties with a sample of the name, design,
marketing plan and an actual sample of such new Product (the “Sample”) and the AS Parties shall have a right of
first refusal (exercisable by written notice to MusclePharm within 15 days after receipt of the Sample) to include such new
Product in the AS Product Line, it being understood that there shall initially be no less than four (4) Products at the start
of the Term and thereafter no more than 8 (eight) Products in the AS Product Line without the mutual written agreement of the
parties hereto.

 

(d) Distribution
Channels – Licensed Products. Subject to the terms and conditions herein (including the Exhibits), the license to MusclePharm
with respect to distribution and promotion of the Licensed Products is on a worldwide basis through the Distribution Channels (as
defined below) subject to approval rights set forth in Section 13 herein. For the purposes of this Agreement, “Distribution
Channels” means the distribution of the Licensed Products through GNC retail and online chains worldwide during the First
Contract Year and, thereafter, through MusclePharm’s other worldwide distribution channels, as mutually determined by MusclePharm
and the AS Parties.

 

3. Endorsement
of Products:

 

Endorser agrees that
he will use and evaluate the Products and Licensed Products according to the recommended use and dose guidelines. Based on Endorser’s
knowledge, personal use and experience with the Products and Licensed Products that he shall from time to time during the Term
of this Agreement provide his honest evaluation, opinion, and findings about the Products and Licensed Products he is endorsing
and promoting.  The endorsements must be based on Endorser’s knowledge and/or personal use and experience with
the Products and Licensed Products at or about the times the endorsements are made.  Endorser’s statements and
endorsements, or paraphrases thereof, may be used by MusclePharm to advertise, promote and publicize its business, Products and
Licensed Products as provided herein.  Endorser’s endorsements of the Products and Licensed Products will be in
accordance with the guidelines established by the Federal Trade Commission for endorsements in advertising.  If requested
by MusclePharm, Endorser shall provide a signed affidavit in form satisfactory to MusclePharm confirming Endorser’s compliance
with the FTC standards in connection with his endorsements and endorsement activities.

 

 

    	 

    	 

    

 

4. Appearances,
Advertising and Promotional Activities:

 

(a) Appearances
and Video.

 

(i) In order to
ensure the success of the co-branded Licensed Products and maximize Net Sales of such Licensed Products to the mutual benefit
of the parties hereto, the Endorser agrees that he shall make four (4) personal appearances (“Appearances”) in
the First Contract Year on dates, times and places mutually agreed upon by the parties hereto. Endorser acknowledges that
such Appearances in the First Contract Year shall consist of: (i) one (1) appearance at an industry tradeshow to be mutually
agreed by the parties, (ii) one (1) charity event with Arnold’s All-Stars, (iii) one (1) appearance at the Arnold Classic, and
(iv) one (1) corporate and public relations event(s) in 2013 to be mutually agreed by the parties.

 

(ii) The Endorser and
MusclePharm may also agree to produce on dates, times and places mutually agreed upon by the parties hereto a GetSwole training
video (the “Training Video”) during a production session (the “Production Day”). In the event that Endorser
shall agree to produce the Training Video (such decision shall be made by the Endorser exercisable in his sole discretion) and
Products (other than the Licensed Products) are featured and sold in connection with such Training Video then Endorser shall receive
ten percent (10%) of Net Sales (as defined below) from the sale of any Products other than the Licensed Products featured and
sold directly in conjunction with the Training Video.

 

(iii) In order to
ensure the success of the co-branded Licensed Products and maximize Net Sales of such Licensed Products to the mutual benefit
of the parties hereto, the Endorser agrees that he shall make two (2) Appearances in each of the Second Contract Year and
Third Contract Year (and any subsequent Contract Years if applicable) on dates, times and places mutually agreed upon by the
parties hereto (one such appearance to include the Arnold Classic in each such Contract Year).

 

(iv) Each Appearance
may be up to two (2) hours in length not including travel time to and from the Appearance, as scheduled by MusclePharm, for the
purpose or promoting MusclePharm, its Products and the Licensed Products. The Production Day shall be for the purpose of MusclePharm
shooting the Training Video. In the event that the Endorser agrees to participate in the Training Video, the Production Day for
the Training Video may be up to two (2) hours in duration.

 

(v) In the event Endorser
agrees to appear in the Training Video on television promoting the Licensed Products during the Term hereof, the Training Video
shall be produced by a production company that is a SAG signatory and such production company shall pay on behalf of the Endorser
all pension, health & welfare benefit payments. For the purpose of computing such pension, health and welfare benefit contributions
and any other payments under any SAG or AFTRA contracts applicable to Endorser's appearance in such Training Video, 25% of the
compensation payable to Endorser under this Agreement shall be allocated as fair and reasonable consideration for Endorser's work
and appearance in the Training Video during the Term or thereafter during the Use-Up Period defined below.

 

 

    	 

    	 

    

 

(b) Advertisements,
Print Media, and Promotional Items. Endorser agrees that during the Term MusclePharm shall have the right to use, worldwide,
Endorser’s Name and Appearance Rights (as specified in Section 6) to advertise MusclePharm and its Products and Licensed
Products in print media, and in all other forms of media (other than telephone marketing or texting campaigns) including, but not
limited to, point of sale material, premiums and novelties, direct marketing material, and radio, television, electronic, and computer
media (including but not limited to MusclePharm’s Internet and social media websites). Print media will also include
promotional items on which Endorser’s approved picture; approved likeness, or facsimile signature may appear. Endorser will
have the right to approve, in writing via his representative’s office, all advertising materials which utilize Endorser’s
Name and Appearance Rights, but Endorser will not unreasonably withhold approval and will promptly respond to all approval requests.

 

(c) Use of Endorsements.
During the Term, MusclePharm also shall have the right to use, worldwide, Endorser’s oral or written endorsements of Products
and Licensed Products, or paraphrases thereof, to promote MusclePharm, its business, Products, and Licensed Products. Endorser
shall have the right to approve such oral or written endorsements and the use thereof, such approval not to be unreasonably withheld
or delayed.

 

(d) Use-Up Period.
During the Term, the right to use Endorser's Name and Appearance Rights granted to MusclePharm in this Section shall extend for
six (6) months beyond the expiration of this Agreement (the "Use-up Period"). MusclePharm shall create no new advertising
during the Use-up Period using Endorser's Name and Appearance, but shall have the right to use during the Use-up Period Endorser's
Name and Appearance in advertisements and promotional materials created before the expiration date of this Agreement.

 

(e) Promotional
Products. During the Term, MusclePharm shall have the right to create and distribute the Promotional Products world-wide. MusclePharm
shall be permitted to sell the Promotional Products at its cost to third parties and Endorser shall not be entitled to any additional
compensation with respect to the Promotional Products. In the event that MusclePharm shall sell any Promotional Products above
its cost then Endorser shall be entitled to receive 10% of Net Sales from the sale of such Promotional Products.

 

(f) Online content.
During the Term, Endorser will use good faith efforts to provide online content for MusclePharm’s websites and social media
websites as reasonably requested by MusclePharm.  This will be in a form agreed to by the parties (e.g. training video
or video interview with a MusclePharm representative). This will be scheduled so as to not interfere with Endorser’s movie
and other obligations. Endorser will use good faith efforts to promote MusclePharm on his website (e.g. www.schwarzenegger.com).

 

(g) GetSwole.
Endorser, in conjunction with MusclePharm’s management and fitness experts will help in the design of the GetSwole Diet and
Weight Training Program.

 

(h) Autographed
Items. Endorser shall also supply MusclePharm with at least fifty (50) signed items for each Contract Year, on the Licensed
Products or on other items to be mutually agreed upon by the parties hereto, to be used by MusclePharm in connection with the promotion
of the Products and/or Licensed Products.

 

 

    	 

    	 

    

  

(i) Representations
and Warranties. Endorser expressly represents and warrants that he is not subject to any restriction or limitation by way of
employment or contractual obligation that may impair or limit his performance of the advertising and promotional activities described
above, and that Endorser has the express approval of any third party to make the promises and commitments set forth herein, and
will advise any future employer of his obligations hereunder.

 

5. Scheduling:

 

(a) The Appearances,
the Production Day, the Licensed Product launch and related media campaign, the interview of Endorser by MusclePharm, and all advertising
and promotional activities requested by MusclePharm and approved by Endorser shall be scheduled by mutual agreement and subject
to Endorser’s other business activities and commitments occurring during the Term of this Agreement. Endorser’s commitments
pursuant to this Agreement shall be scheduled so as not to conflict with Endorser’s other commitments. Endorser agrees that
he will in good faith make every reasonable effort, given his other commitments, to give priority to the fulfillment of his obligations
pursuant to this Agreement. The parties shall confer periodically for the purpose of coordinating and scheduling Endorser’s
advertising and promotional activities and services.

 

6. Right of Publicity:

 

(a) Name and Appearance
Rights. As provided below, during the Term, the AS Parties grant to MusclePharm the right to use the Trademarks as defined
in this Agreement and the Name and Appearance Rights, which shall include Endorser’s name, approved photograph, approved
picture (including, without limitation, any copyrighted pictures and video images of the Endorser owned by the Endorser which Endorser
agrees to make available for use hereunder), approved appearance, or approved likeness, including video and other recordings of
Endorser’s appearance, along with the right to use Endorser’s voice, including audio or other recordings of Endorser’s
voice, Endorser’s signature, personal or professional background and experience, reputation, approved quotations and approved
endorsements, or approved paraphrases of Endorser’s approved quotations and endorsements, including approved touch-ups, approved
simulations or approved compositions of any of the above whether generated by computer or by any other means, for the period of
time and for the purposes set forth in this Agreement. MusclePharm acknowledges that the use of some works may require that MusclePharm
obtain a copyright license from third parties.

 

(b) Promotional
Uses. During the Term of this Agreement, the AS Parties grant to MusclePharm and consent to MusclePharm’s commercial
use of the Name and Appearance Rights to advertise, promote, endorse and publicize Products, Licensed Products, and MusclePharm’s
business, worldwide in any media selected by MusclePharm (excluding telephone or texting campaigns), including but not limited
to print, radio, television, electronic, wireless or internet, pursuant to the terms and conditions set forth herein. MusclePharm
acknowledges that any use on products requires approval and that use of the Name and Appearance Rights on products is limited to
the Licensed Products.

 

 

    	 

    	 

    

 

(c) Editorial Uses.
Endorser also grants to MusclePharm and consents to MusclePharm‘s editorial use world-wide of Endorser’s Name and Appearance
in MusclePharm published materials approved by Endorser. For purposes of this Agreement, MusclePharm’s editorial use of Endorser’s
Name and Appearance shall mean a use that does not directly promote, advertise or endorse MusclePharm’s business, its Products
or Licensed Products. Nothing in this Section 6(c) shall entitle MusclePharm to reduce Endorser’s compensation pursuant to
Section 7 and Section 8 of this Agreement (including, without limitation, with respect to any renewal Term, if any).

 

(d) Discretion to
Utilize. Except as otherwise provided in this Agreement, MusclePharm may in its sole discretion exercise some or all of the
rights granted by Endorser in this Agreement, but MusclePharm shall have no obligation to exercise or use the rights Endorser has
granted. If MusclePharm elects to not exercise or use all the rights granted by Endorser, MusclePharm’s election shall not
be interpreted or construed as a waiver or release of such rights. MusclePharm shall have the rights to use Endorser’s Name
and Appearance Rights and the Right to Publicize Endorser’s Name and Appearance, as provided in this Agreement, unless Endorser
and MusclePharm enter into a separate written agreement in which MusclePharm waives or releases some or all of the rights Endorser
has granted in this Agreement.

 

(e) Representations
and Warranties. Endorser expressly represents and warrants that he is not subject to any restriction or limitation by way of
employment or contractual obligation that may impair or limit the right of publicity granted herein by Endorser, and that Endorser
has the express approval of his employer to make the promises and commitments set forth herein.

 

6A. News Releases
and Public Announcements:

 

Neither party may,
without the other party’s prior written consent, make any news release or public announcement of the existence or value of
this Agreement or its terms and conditions, or in any other manner advertise or publish its value, or its terms and conditions
and neither party shall issue any press release or other public announcement which includes the name of the other party without
such party’s prior written consent, such consent not to be unreasonably withheld or delayed. The parties hereby agree that
within four (4) business days after the execution and delivery of this Agreement and within four (4) business days after the launch
of the Licensed Products, the parties hereto shall issue a joint press release in form and substance mutually agreeable to the
parties hereto. Notwithstanding the foregoing, a party may make any filing of this Agreement or description of this Agreement in
a current report on Form 8-K or similar requisite filing with the Securities and Exchange Commission that it believes in good faith
and upon a reasonable basis is required by applicable law or any listing or trading agreement concerning its publicly traded securities.

 

6B. Sample Products
for Endorser’s Use:

 

MusclePharm shall provide
a reasonable supply of Products, Licensed Products, and Promotional Products for Endorser’s personal use and endorsement
as contemplated by this Agreement.

 

 

    	 

    	 

    

 

7. Compensation:

 

(a) Cash:

 

		(i)	During the Term of this Agreement and during any sell-off period, MusclePharm shall pay Lender
a royalty (the “Royalty”) of 10% on Net Sales (as defined below) of Licensed Products sold through its wholesale Distribution
Channels or retail Distribution Channels, as the case may be and 10% on Net Sales of the Training Video and any Products sold
in connection with any Training Video as contemplated pursuant to the last sentence of Section 4(a)(i) above. For purposes of this
Agreement, "Net Sales" shall mean MusclePharm's gross sales (the gross invoice amount billed customers) of the Licensed
Products, less discounts and allowances actually shown on the invoice (except cash discounts, transportation costs and commissions
not deductible in the calculation of Royalty) and less any bona fide returns (net of all returns actually made or allowed as supported
by credit memoranda actually issued to the customers not to exceed 5% in any reporting cycle), the aggregate of which discounts
and allowances shall not exceed 5% in any reporting cycle. No other costs incurred in the manufacturing, selling, advertising,
and distribution of the Licensed Products shall be deducted nor shall any deduction be allowed for any uncollectible accounts,
allowances or bad debt.

 

		(ii)	A Royalty obligation shall accrue upon the sale of the Licensed Products regardless of the time
of collection by MusclePharm. For purposes of this Agreement, Licensed Products shall be considered “sold” upon the
date when such Licensed Products are billed, invoiced, shipped, or paid for, whichever event occurs first.

 

		(iii)	If MusclePharm sells any Licensed Products to any party affiliated with MusclePharm, or in any
way directly or indirectly related to or under the common control with MusclePharm, at a price less than the regular price charged
to other parties, the Royalty payable to Lender shall be computed on the basis of the regular price charged to other parties.

 

		(iv)	All payments due hereunder shall be made in United States currency drawn on a United States bank,
unless otherwise specified between the parties.

 

		(v)	During the Term and during the sell-off period, MusclePharm shall make royalty payments in U.S.
dollars for the respective quarters ending on the last day of September, December, March and June (each, a “Royalty Period”)
within thirty (30) days from the end of each quarterly period. Each such royalty payment shall include an itemized statement showing
the nature and source of such royalties, including (i) the number of units of Licensed Products sold (by country and customer);
(ii) the total number of units returned for which credit was given and the total dollar amount of such credits, and (iii) the total
gross sales and the total royalties due with respect to such gross sales, and each itemized statement shall be certified by a duly
authorized officer of MusclePharm. Such statements shall be in the form attached hereto as Exhibit “B” and furnished
to Lender whether or not any Licensed Products were sold during the Royalty Period.

 

 

    	 

    	 

    

 

		(vi)	MusclePharm will send all statements and payments, including all royalties, to the Lender to the
address set forth in Section 20 below. MusclePharm will make all payments payable to the Lender.

 

		(vii)	Receipt or acceptance by Lender (or its authorized representative) of a royalty statement or receipt
or acceptance of any accompanying royalty payment shall not prevent Lender from at any time within three years after the Term of
this Agreement questioning the validity or accuracy of such royalty statement or payment.

 

		(viii)	MusclePharm’s obligations for the payment of a Royalty and the Guaranteed Minimum Royalty
(as defined below) shall survive expiration or termination of this Agreement and will continue for so long as MusclePharm continues
to manufacture, sell or otherwise market the Licensed Products.

 

Notwithstanding the
foregoing, Lender shall be entitled to receive a guaranteed minimum royalty for each Contract Year including the Additional Term,
if any (the “Guaranteed Minimum Royalty”), payable in accordance with Exhibit “C” attached
hereto.

 

8. Stock:

 

(a)      Within three
(3) days of the execution and delivery of this Agreement and prior to any news release or public disclosure of the existence of
this Agreement, its terms and conditions, or the relationship of the parties hereto, whether pursuant to a press release, a current
report on Form 8-K or other filing with the Securities and Exchange Commission or otherwise (the “Issuance Date”),
MusclePharm shall issue Lender 780,000 shares of MusclePharm’s restricted stock (the “Compensation Shares”),
for services performed and to be performed pursuant to this Agreement. All Compensation Shares will be fully vested upon
issuance, and for a period of six (6) months following the date hereof, Lender may not sell in excess of fifty percent (50%) of
the Compensation Shares without the prior consent of MusclePharm; provided, that, the Lender shall be entitled, without
the prior consent of MusclePharm, to transfer the Compensation Shares at any time to affiliates and family members so long as such
transfers are in compliance with state and federal securities laws and such transferees agree to be bound by foregoing transfer
restrictions for the six (6) month period following the date hereof with respect to the Compensation Shares. MusclePharm agrees
that (i) with respect to the Compensation Shares, Lender shall be entitled to all rights and benefits under the registration rights
agreement, dated as of March 28, 2013 (the “Registration Rights Agreement”), by and among MusclePharm and the investors
party thereto as if it were an investor party thereto, mutatis mutandis. MusclePharm shall promptly file (and in no event later
than August 14, 2013) a registration statement on Form S-1 pursuant to the Securities Act (as defined below) (the “Registration
Statement”) with the SEC and will include therein the offering of all of the Compensation Shares and no other securities
of the Company. MusclePharm agrees that if the SEC shall issue comments on the Registration Statement, MusclePharm shall in good
faith respond to such comments as soon as practicable. MusclePharm will cause the Registration Statement to be declared effective
as promptly as practicable.

 

 

    	 

    	 

    

  

(b)           MusclePharm
and Lender agree that, for purposes of determining the taxable income of Lender and the tax expense, deduction or other corresponding
charge of MusclePharm, in each case in connection with the issuance of the Compensation Shares in accordance with this Section
8, the fair market value of the Compensation Shares shall be the amount set forth in any third-party valuation report delivered
by Lender to MusclePharm within forty-five (45) days following the Issuance Date. MusclePharm will promptly provide all information
reasonably requested by Lender and/or its valuation firm in connection with the preparation and delivery of such report. MusclePharm
shall not take any position for tax purposes inconsistent with such fair market value as so determined without the consent of Lender;
provided, however, that nothing herein shall preclude MusclePharm from utilizing a different method of calculating the fair market
value of the Compensation Shares for financial accounting purposes if MusclePharm’s Chief Financial Officer, audit committee
and independent auditors shall determine in good faith that such alternative calculation of the fair market value of the Compensation
Shares is required under generally accepted accounting principles in the United States.

 

(c)           In connection
with the issuance of the Compensation Shares, but without limitation of Section 8(a) or the other terms and conditions in this
Agreement, Lender hereby makes the following representations to MusclePharm regarding the Compensation Shares:

 

(i)          Lender understands
that, as of the date hereof, none of the Compensation Shares have been registered under the Securities Act of 1933, as amended
(“Securities Act”), by reason of a specific exemption from the registration provisions of the Securities Act, the availability
of which depends upon, among other things, the bona fide nature of the investment intent and the accuracy of Lender’s representations
as expressed herein. Lender is acquiring all of the Compensation Shares for its own account, not as a nominee or agent, for investment
and not with a view to, or for resale in connection with, any distribution or public offering thereof within the meaning of the
Securities Act.

 

(ii)          Lender understands
that all of the Compensation Shares will constitute “restricted securities” under the federal securities laws, inasmuch
as it is being acquired from MusclePharm or such other company in one or more transactions not involving a public offering and
that under such laws the Compensation Shares may not be resold without registration under the Securities Act or an exemption therefrom.
The certificates representing the Compensation Shares will be endorsed with a legend to such effect. Lender has been informed and
understands that (i) there are substantial restrictions on the transferability of the Compensation Shares, and (ii) no federal
or state agency has made any finding or determination as to the fairness for public investment, nor any recommendation nor endorsement,
of the Compensation Shares.

 

(iii)          Lender, or Lender’s
business and financial advisors, have substantial experience in evaluating and investing in private transactions of securities
in companies similar to MusclePharm and such other company and Lender acknowledges that it can protect its own interests. Lender,
or such advisors, have such knowledge and experience in financial and business matters so that it is capable of evaluating the
merits and risks of its acceptance of all of the Compensation Shares of MusclePharm as compensation or otherwise.

 

 

    	 

    	 

    

 

(iv)          Lender is an
“accredited investor” within the meaning of Rule 501 of Regulation D promulgated under the Securities Act.

 

(v)          
Lender understands that all books, records, and documents of MusclePharm relating to it have been and remain available for
inspection by him or his business and financial advisors upon reasonable notice. Lender confirms that all documents requested
have been made available, and that it or such advisors have been supplied with all of the information concerning MusclePharm
that has been requested. Lender confirms that it or such advisors have obtained sufficient information, in its and their
judgment to evaluate the merits and risks of receipt of the Compensation Shares as compensation or otherwise. Lender confirms
that it has had the opportunity to obtain such independent legal and tax advice and financial planning services as it has
deemed appropriate prior to making a decision to enter this Agreement. In making each such decision, Lender has relied
exclusively upon its experience and judgment, or that of such advisors, upon such independent investigations as it, or they,
deemed appropriate, and upon information provided by MusclePharm in writing or found in the books, records, or documents of
MusclePharm.

 

(vi)          
Lender is aware that the economic ownership of the Compensation Shares is highly speculative and subject to substantial
risks. Lender is capable of bearing the high degree of economic risk and burdens of this venture, including, but not limited
to, the possibility of a complete loss, the lack of a sustained and orderly public market, and limited transferability of the
Compensation Shares, which may make the liquidation thereof impossible for the indefinite future.

 

(vii)         The offer to
issue the Compensation Shares as compensation to Lender was directly communicated to Lender or its business or financial advisors
by such a manner that it or such advisors were able to ask questions of and receive answers from MusclePharm or a person acting
on its behalf concerning this Agreement. At no time was Lender presented with or solicited by or through any leaflet, public promotional
meeting, television advertisement, or any other form of general advertising.

 

(viii)        None of the
following information has ever been represented, guaranteed, or warranted to Lender, expressly or by implication by any broker,
MusclePharm, or agent or employee of the foregoing, or by any other person:

 

(1)          The approximate
or exact length of time that Lender will be required to remain as a holder of any of the Compensation Shares;

 

(2)          The amount of
consideration, profit, or loss to be realized, if any, as a result of owning any of the Compensation Shares; or

 

(3)          That the past performance or
experience of MusclePharm, its officers, directors, associates, agents, affiliates, or employees or any other person will in any
way indicate or predict economic results in connection with the plan of operations of MusclePharm or the return on any of the Compensation
Shares.

 

 

    	 

    	 

    

 

(d)           MusclePharm
represents, warrants and covenants to Lender that:

 

(i)          It has the full
right, power and authority to enter into this Agreement and to perform its obligations hereunder; (ii) it has acquired all rights
necessary to perform this Agreement and exploit the Licensed Products as contemplated herein; (iii) the Licensed Products, any
element thereof, or any advertising, promotional or publicity materials supplied by Licensee or third parties hereunder will not
contain any language or material which is obscene, libelous, slanderous or defamatory; and (iv) the use of the Licensed Product
and the Lender’s Name and Appearance rights as contemplated herein will not violate or infringe the copyright, trademark,
or other rights of any third party.

 

(ii)          It has duly executed
and delivered this Agreement and, assuming due authorization, execution and delivery by Lender, this Agreement constitutes its
legal, valid and binding agreement, enforceable against it in accordance with its terms.

 

(iii)          It is duly organized,
validly existing and in good standing under the laws of the State of Nevada. It has all requisite power to own its properties and
to carry on the business as it is now being conducted and is intended to be conducted and is duly licensed or qualified to do business
in each jurisdiction in which the nature of its business or the ownership or leasing of its properties makes such license or qualification
necessary.

 

(iv)          Neither the execution,
delivery nor performance by it of this Agreement does or will (a) violate, conflict with or result in the breach of any provision
of its organizational documents, (b) conflict with or violate any law or governmental authorization applicable to it or any of
its assets or its business, or (c) conflict with, result in any breach of, constitute a default (or event which with the giving
of notice or lapse of time, or both, would become a default) under, require any consent under, or give to others any rights of
termination, amendment or acceleration of, or result in the creation of any encumbrance on any of its assets pursuant to, any note,
bond, mortgage or indenture, contract, agreement, lease, license, permit or franchise to which it is a party or by which any of
its assets is bound or affected.

 

(v)          It has timely
filed all reports, schedules, forms, statements and other documents required to be filed by it with the SEC pursuant to the reporting
requirements of the Exchange Act (all the foregoing filed prior to the date hereof and all exhibits included or incorporated by
reference therein and financial statements and schedules thereto and documents included or incorporated by reference therein being
sometimes hereinafter collectively referred to as the “SEC Reports”). As of their respective filing dates, the SEC
Reports complied in all material respects with the requirements of the Exchange Act applicable to the SEC Reports (as amended or
supplemented), and none of the SEC Reports, at the time they were filed with the SEC, contained any untrue statement of a material
fact or omitted to state a material fact required to be stated therein or necessary in order to make the statements therein, in
light of the circumstances under which they were made, not misleading.

 

 

    	 

    	 

    

 

(vi)          Set forth on
Schedule 8(c) attached hereto is a true, complete, and accurate capitalization table of MusclePharm as of the date hereof on a
fully diluted basis, taking into account all equity interests of MusclePharm issued or outstanding, or issuable upon conversion
or exchange of any security, and any rights, options, or warrants or other agreements to acquire any such equity interests.

 

9. Termination:

 

(a) This
Agreement may be terminated by MusclePharm only:

 

(i) In the
event Endorser is convicted of a felony.

 

(ii) In the
event Endorser is in material breach or default of this Agreement, then MusclePharm may give written notice to Endorser of its
intent to terminate this agreement and in such notice shall set forth in reasonable detail the facts, circumstances or events causing
the alleged breach or default (“Endorser Events of Default”). The Endorser shall have thirty (30) days’ notice
in which to cure the Endorser Events of Default to the reasonable and objective satisfaction of Musclepharm. If the Endorser fails,
refuses or is unable for any reason to cure the Endorser Events of Default to the reasonable and objective satisfaction of MusclePharm,
then MusclePharm may terminate this Agreement by giving a written termination notice which shall be effective on third calendar
day after the date of such termination notice.

 

(iii) This
Agreement may also be terminated by MusclePharm, upon fifteen days prior written notice, if death, or physical disability, physical
injury, or other incapacity lasting more than eight (8) weeks, causes Endorser to be unable to perform a material amount of the
personal or consulting services described in this Agreement.

 

(b) This Agreement
may be terminated by the AS Parties only:

 

(i)          In
the event MusclePharm shall default under any indebtedness or financial obligations owed by MusclePharm in an amount in excess
of $1,000,000 including, without limitation, any failure to pay principal or interest thereon, and such event of default or condition shall
continue after any applicable grace period specified in such agreement or instrument, and the effect of such event or condition
results in an actual acceleration of the maturity of such indebtedness or obligations; and/or

 

(ii)          If
MusclePharm (A) dissolves, liquidates or otherwise terminates its business or operations; (B) shall generally not pay its debts
or obligations as the same become due; (C) commences or becomes the subject of any case or proceeding under the bankruptcy, insolvency
or equivalent laws of the United States or any other jurisdiction in the Territory which is not dismissed within 45 days; (D) has
appointed for it or for any substantial part of its property a court-appointed receiver, liquidator, assignee, trustee, custodian,
sequestrator or other similar official which is not dismissed within 45 days; (E) makes an assignment for the benefit of its creditors;
or (F) takes corporate action in furtherance of any of the foregoing; and/or

 

 

    	 

    	 

    

  

(iii)          If
the Company shall have (or with respect to the Company, the Chief Executive Officer or the Chief Financial Officer of the Company
shall have) (A) been charged with respect to a felony; (B) been sued by a governmental agency; (C) received a subpoena from a governmental
entity relating to an investigation of the Company; or (D) become the subject of an investigation by a governmental agency that,
in each case, if adversely determined, could have, as determined by Endorser in good faith (or, solely with respect to clause (D),
as reasonably determined by the Endorser), a material adverse effect on the Company’s reputation or financial performance;
and/or

 

(iv)          If
the AS Parties reasonably determine (based either on (A) internal MusclePharm information; (B) reports or other credible information
produced by established medical or scientific experts; or (C) multiple adverse events reported to MusclePharm or in the media)
that any of MusclePharm's products are harmful to the human body or unsafe.

 

(v)          In the
event Musclepharm is in material breach or default of this Agreement, the AS Parties may give written notice to Musclepharm of
intent to terminate, and such notice shall set forth in reasonable detail the facts, circumstances or events causing the alleged
breach or default (“MusclePharm Events of Default”). Musclepharm shall have thirty (30) days’ notice in which
to cure the MusclePharm Events of Default to the reasonable and objective satisfaction of the terminating party. If Musclepharm
fails, refuses or is unable for any reason to cure the MusclePharm Events of Default to the reasonable and objective satisfaction
of the terminating party, then the the AS Parties may terminate this Agreement by giving a written termination notice which shall
be effective on third calendar day after the date of the termination notice

 

(c) Effect
of Expiration/Termination: Upon expiration or termination of the Agreement for pursuant to Section 9 herein, Endorser shall
have no further obligation to render any services whatsoever. MusclePharm shall have no further right to use the rights
granted to MusclePharm hereunder and all such rights (including without limitation the rights to use the Name and Appearance
Rights and Trademarks) shall immediately and automatically be revoked and shall terminate and revert to the AS Parties
immediately with no “use-up period”. Notwithstanding the foregoing, in the event the expiration of this Agreement
or termination of this Agreement by Musclepharm pursuant to paragraph 9(a), MusclePharm shall be entitled to sell-off the
remaining Licensed Products for six (6) months after such expiration of this Agreement pursuant to paragraph 4(d) herein and
shall continue to pay Endorser the Royalty set forth in paragraph 7 herein. MusclePharm shall not be liable to pay any
compensation for services performed after the expiration or termination. In the event of a termination by MusclePharm
pursuant to paragraph 9(a)(i)-(ii), Musclepharm shall not be required to pay Endorser any further compensation except for
Royalties earned up until such termination date, and provided, however, that if Musclepharm terminates this Agreement because
of death, disability, physical injury, or other incapacity of Endorser, if Endorser has performed all services required by
this Agreement for a particular Contract Year, then MusclePharm shall continue to be obligated to compensate Lender with the
full compensation amount of this Agreement for such Contract Year. Notwithstanding anything contained herein, irrespective of
the expiratation or termination of this Agreement, the AS Parties shall always be entitled to retain and shall never be
obligated to return any monies paid and/or stock issued to Lender and/or Endorser pursuant to this Agreement. All formulas
used in the Licensed Products shall remain the property of MusclePharm, but all rights in any packaging, promotional
materials, and websites of the Licensed Products (including, without limitation, pictures, the name, logos and trade dress)
and all intellectual property of the AS Parties shall revert back or otherwise be vested in the AS Parties; provided,
however, that the MusclePharm trade name, any MusclePharm trademarks, and MusclePharm logo used on the Licensed Products
shall remain the property of MusclePharm. The AS Parties shall also have the right to purchase from MusclePharm the
Arnold.com domain name for a purchase price equal to MusclePharm’s actual cost in acquiring such domain name (in the
amount of Twenty Seven Thousand Five Hundred ($27,500) plus interest accruing at an annual rate of five percent (5%) from
April 27, 2013 the date of acquisition of such domain name through the date of the sale of such domain name.

  

 

    	 

    	 

    

 

10. Expenses:

 

In connection with
any Appearance or Production Day that Endorser shall be required to specifically travel solely for MusclePharm to make such Appearance
or Production Day and shall not already be in such geographic location for another commitment, MusclePharm shall be required to
pay the expenses associated with Endorser’s travel, lodging, security and other expenses as set forth on Exhibit “D”
attached hereto.

 

11. Audit Rights:

 

(a) The AS Parties
shall have the right, upon at least five (5) days written notice and no more than once each Contract Year of the Term to inspect
MusclePharm’s books and records and all other documents and material in the possession of or under the control of MusclePharm
with respect to the Licensed Products at the place or places where such records are normally retained by MusclePharm. The AS Parties
shall have reasonable access thereto for such purposes and shall be permitted to be able to make copies thereof and extracts therefrom.

 

(b) MusclePharm shall
keep complete and accurate books of account for the preceding three years from the date of termination and expiration. In the event
that any shortfalls, inconsistencies or mistakes are discovered, they shall immediately be rectified by MusclePharm at its sole
cost and expense.

 

(c) In the event a
shortfall in the amount of five percent (5%) or more is discovered, MusclePharm shall reimburse the AS Parties for the cost of
the audit including any reasonable attorney’s fees incurred in connection therewith.

 

(d) MusclePharm agrees
to preserve and keep accessible and available to the AS Parties all relevant books and records for a period of at least three (3)
years following the expiration or termination of the Agreement.

 

12. Sales and
Marketing Plan And AS Product Line and Trademarks: 

 

(a) MusclePharm shall
utilize its commercially reasonable efforts to advertise and promote the Licensed Products at its own expense and to sell the Licensed
Products through the Distribution Channels worldwide as contemplated herein during the Term and to promote both the goodwill of
the Endorser and the market reputation of the Licensed Products. MusclePharm will conduct its activities relating to the marketing
of the Licensed Products in a professional manner. In that connection:

 

 

    	 

    	 

    

  

(b) Prior to the execution
and delivery of this Agreement with respect to the First Contract Year and at least ninety (90) days prior to the beginning of
each Contract Year of the Term, MusclePharm will provide the AS Parties with a detailed marketing plan (the “Marketing Plan”).
The AS Parties shall be entitled to approve the Marketing Plan, such approval not to be unreasonably withheld or delayed. MusclePharm
shall use its commercially reasonable efforts to market and distribute the Licensed Products, and MusclePharm shall allocate between
$3,000,000 and $5,000,000 in the First Contract Year and $5,000,000 in each subsequent Contract Year (including any renewal terms if any) toward
the marketing of the Licensed Products (the “Marketing Budget”); it being understood that the parties may mutually
decide not to deploy the full Marketing Budget in any Contract Year if in the good faith determination by the parties that the
deployment of the full Marketing Budget is unnecessary to achieve its projected revenue targets in connection with the sale of
the Licensed Products. Notwithstanding the foregoing, MusclePharm shall be entitled to re-allocate marketing dollars in its good
faith judgment exercisable in its sole discretion from the media forms set forth in the Marketing Plan to promote the Licensed
Products in other media forms.

 

(c) AS Product Line
and Trademarks. The parties hereto agree and understand that the AS Product Line will be marketed and promoted as a distinct
product line from MusclePharm’s overall product lines. Any trademarks and trade dress used as the brand of the AS Product
Line shall be owned by the AS Parties (as among them, to be determined among them) and shall be included within the defined term
Trademarks as used in this Agreement. Any trademark used as a brand for an individual product in the AS Product Line, as opposed
to a brand for the line of products, whether or not is based upon or derived from the Name and Appearance Rights or is independently
developed also shall be owned by the AS Parties (as among them, to be determined among them) and as shall be included within the
defined term Trademarks as used in this Agreement. Notwithstanding the foregoing, the MusclePharm trade name, any MusclePharm trademarks,
and MusclePharm logo used on the Licensed Products shall remain the property of MusclePharm.

 

13. Quality Control:

 

(a) MusclePharm acknowledges
and agrees that, in order to maintain the goodwill and integrity of the Endorser, the Name and Appearance Rights, and the Trademarks
(the “Endorser IP”), the Licensed Products shall be of a standard and of such style, appearance and quality as to protect
and enhance the goodwill associated with the Endorser IP, which standard the AS Parties may from time to time prescribe and which,
in any event, shall be of substantially the same or better quality than the samples previously provided by MusclePharm to Endorser.
To this end, MusclePharm will use the approval form attached hereto as Exhibit “E” to obtain required
approvals under this Agreement (including, ingredients contained in the Licensed Products). Prior to any use of any of the Endorser
IP, MusclePharm shall submit to the AS Parties for the AS Parties' prior written approval all artwork, photos, images, writings,
advertising campaigns, slogans, claims made and other Name and Appearance Rights associated with the Endorser IP, samples of materials
and design of the Licensed Products on which the Endorser IP are to appear and of all advertising, press and promotional literature
which MusclePharm intends to use in the marketing or merchandising of the Licensed Products using the submission form in Exhibit
“E” attached hereto. The AS Parties shall respond to any such approval request within ten (10) business days.
To the extent that the AS Parties shall fail to respond within such ten (10 day) period, the submissions shall be deemed disapproved.
Should MusclePharm desire to submit the same request for approval, the AS Parties shall respond within five (5) days detailing
the reason for disapproval. Should the AS Parties fail to respond in this last Five (5) business day period, submission shall be
deemed approved. In addition, MusclePharm shall send, at its expense, at a minimum, two (2) representative samples of each Licensed
Products, at each of the concept, pre-production and production stages, to the AS Parties at the address set forth in Section 20
below for prior approval. During the Term, MusclePharm will also send two (2) representative samples of the Licensed Products to
the AS Parties at the address set forth in Section 20 below upon request so that the AS Parties can determine whether the quality
of the Licensed Products bearing the Endorser IP is being maintained.

 

 

    	 

    	 

    

  

(b) MusclePharm shall
at all reasonable times during the Term (but no more than once during each Contract Year of the Term), and upon reasonable notice,
permit the AS Parties to send their authorized representatives to inspect the facilities of MusclePharm or its agents in order
to confirm that the production of the Licensed Products hereunder is in compliance with the quality standards set out herein and,
at MusclePharm’s expense, randomly test the formulas of the Licensed Products for quality control purposes, although the
AS Parties will have no obligation to do so.

 

(c) The Licensed Products
shall be of the highest quality and manufactured, produced, sold, distributed and promoted in strict compliance with all applicable
laws and regulations, and be of substantially the same or better quality as the samples previously submitted by MusclePharm. MusclePharm
shall be responsible for ensuring that the products are properly designed and manufactured for safe use and shall promptly and
fairly address and resolve all consumer complaints and warranty claims. MusclePharm hereby acknowledges that the AS Parties are
not competent to determine whether the products are safe for sale and/or distribution to the public at large. Accordingly, the
AS Parties’ approval rights relate to aspects of quality and not to a determination of the safety of the products and any
approvals given by the AS Parties of the products shall in no way detract from the MusclePharm’s obligations hereunder.

 

(d) The License Products
will be doctor-formulated and clinically tested at Stanford University or North Carolina University or another university mutually
acceptable to the parties hereto to prove the effectiveness of the Licensed Products. All Licensed Products will be tested by Informed
Choice or another independent testing laboratory mutually acceptable to the parties hereto to be certified “Banned Substance
Free” for athletes.

 

(e) Manufacturers will
comply with the requirements set forth in this Section 13(e):

 

(i)          MusclePharm and the manufacturers
will not use child labor (not including child actors or models) in the manufacturing, packaging, marketing, advertising, or distribution
of the Licensed Products.

 

 

    	 

    	 

    

 

(ii)          
MusclePharm and the manufacturers will only employ persons whose presence is voluntary. MusclePharm and the manufacturers
will not use any forced or involuntary labor.

 

(iii)          MusclePharm and the manufacturers
will treat each employee with dignity and respect, and will not use corporal punishment, threats of violence, abuse, or other forms
of physical, sexual, psychological, or verbal harassment.

 

(iv)         MusclePharm and the manufacturers
will not unlawfully discriminate in any hiring or employment practices.

 

(v)          MusclePharm and the manufacturers
will, at a minimum, materially comply with all applicable wage and hour laws, rules, regulations, and industry standards. MusclePharm
and the manufacturers agree that, where local industry standards are higher than applicable legal requirements, MusclePharm and
manufacturer will meet the higher local standards.

 

(vi)         MusclePharm and the manufacturers
will materially comply with all applicable workplace laws, rules, regulations, and industry standards, ensuring, at a minimum,
reasonable access to potable water and sanitary facilities, fire safety, and adequate lighting and ventilation.

 

(vii)        MusclePharm and the manufacturers
will respect the rights of employees to associate, organize, and bargain collectively in a lawful and peaceful manner, without
penalty or interference.

 

(viii)       MusclePharm and the manufacturers
will materially comply with all applicable environmental laws, rules, regulations, and industry standards.

 

(ix)          If MusclePharm becomes
aware that any manufacturer has used or is using Endorser IP for any unauthorized purpose, MusclePharm, will immediately notify
the AS Parties and, if so instructed by the AS Parties, will cause such manufacturer to cease such use immediately.

 

(f) Unless the AS Parties
expressly agree in advance and in writing otherwise, all Licensed Products shall be manufactured within the fifty states of the
United States of America and in no other locations.

 

13A. Ownership
and Registration of Trademarks and Name and Appearance Rights:

 

(a) During the Term
and after expiration or termination of this Agreement, MusclePharm shall not contest or otherwise challenge or attack the AS Parties’
rights in the Trademarks or Name and Appearance Rights or the validity of the license being granted herein.

 

(b) During the Term
and after expiration or termination of this Agreement, MusclePharm shall not use any trademark which so substantially resembles
any of the Trademarks or Name and Appearance Rights as to be likely to deceive or cause confusion or mistake or which might amount
to passing-off; provided however, nothing herein shall preclude MusclePharm from using any of the intellectual property to be retained
by MusclePharm contemplated pursuant to Section 9(f) of this Agreement after the termination of this Agreement.

 

 

    	 

    	 

    

 

(c) MusclePharm recognizes
the value of the good will associated with the Trademarks and Name and Appearance Rights and acknowledges that the Trademarks and
Name and Appearance Rights, and all rights therein and the good will pertaining thereto, belong exclusively to the AS Parties.

 

(d) MusclePharm agrees
that its use of the Trademarks and Name and Appearance Rights shall inure to the benefit of the AS Parties and that MusclePharm
shall not, at any time, acquire any rights in the Trademarks and/or Name and Appearance Rights by virtue of any use it may make
of the Trademarks and/or Name and Appearance Rights.

 

(e)
MusclePharm agrees that any copyrights in works created based upon the Trademarks and/or Name and Appearance Rights shall
become the rights of the AS Parties (as among them to be determined among them). MusclePharm irrevocably and unconditionally transfers
and assigns to the AS Parties in perpetuity and throughout the universe any and all of MusclePharm’s right, title, and interest,
if any (including, without limitation, the rights generally known as ‘moral rights’) in and to all works, including
any packaging, advertising and promotional materials, and other materials based upon the Trademarks and/or Name and Appearance
Rights, all of which shall, upon their creation, become and remain the property of the AS Parties. All such works based upon the
Trademarks and/or Name and Appearance Rights shall be prepared by an employee-for-hire of MusclePharm (under MusclePharms’s
sole supervision, responsibility, and monetary obligation) or as a work-for-hire by a third party who assigns to the AS Parties
in writing and in perpetuity throughout the universe all right, title, and interest in the same provided however, nothing herein
shall preclude MusclePharm from using any of the intellectual property to be retained by MusclePharm contemplated pursuant to Section
9(f) of this Agreement after the termination of this Agreement.

 

(f) Injunctive Relief.
MusclePharm acknowledges that the unauthorized use of the Name and Appearance Rights and Trademarks will result in immediate and
irreparable damages to the AS Parties and that the AS Parties would have no adequate remedy at law for such authorized use. MusclePharm
further agrees that in the event of any unauthorized use of the Name and Appearance Rights and/or the Trademarks, the AS Parties,
in addition to all other remedies available to them hereunder, shall be entitled to injunctive relief against any such unauthorized
use as well as such other relief as any court with jurisdiction may deem just and proper.

 

(g) Registration.
If the AS Parties decide in their sole discretion after consulting with MusclePharm to register the Trademarks and/or Name And
Appearance Rights as a trademark for the Licensed Products and/or any Promotional Products or to register the copyrights in any
works based upon the Trademarks and/or the Name And Appearance Rights, MusclePharm will cooperate to provide information, samples,
and documents as reasonably requested by the AS Parties to enable the AS Parties to comply with the application, registration,
license recordal, and other requirements of any applicable jurisdictions. If the AS Parties decide to register Trademarks and/or
Name And Appearance Rights as a trademark for the Licensed Products, MusclePharm will reimburse the AS Parties for any reasonable
expenses incurred in registering in the United States and Canada and such other countries as the parties shall mutually agree upon.

 

 

    	 

    	 

    

  

14. Independent
Contractor:

 

It is expressly agreed
that Endorser is acting as an independent contractor in performing his services hereunder. MusclePharm shall carry no worker's
compensation insurance or any health, accident or disability insurance to cover Endorser. MusclePharm shall not pay any contributions
to Social Security, unemployment insurance, federal or state withholding taxes, nor provide any other contributions or benefits
that might be expected in an employer-employee relationship. Endorser shall be solely responsible and liable for reporting and
paying all federal and state income or other taxes applicable to the Endorser’s compensation under this Agreement and MusclePharm
will provide Lender with an IRS Form 1099 at the end of each calendar year in which compensation is paid to Lender. It is further
understood and expressly agreed by Endorser that he has no right or authority to incur expenses, obligations or liabilities in
the name of or binding on MusclePharm, and he shall not represent to third parties that he has any relationship (e.g., employer-employee
or principal-agent) with MusclePharm other than the independent contractor arrangement set forth in this Agreement.

 

15. Indemnification.

 

(a) By the AS Parties.
The AS Parties will at all times indemnify and hold MusclePharm and its agents and licensees harmless from and against any and
all claims, damages, liabilities, costs and expenses (including reasonable outside attorneys’ fees), arising out of any breach
by the AS Parties of any warranty or agreement made by the AS Parties hereunder. In no event shall the AS Parties’ indemnification
obligations to MusclePharm hereunder exceed the after-tax value of the Cash Consideration received by Lender under this Agreement.

 

(b)	By MusclePharm.
MusclePharm agrees to protect, indemnify, save, defend, and hold harmless the AS Parties, their related companies, affiliates,
and partners, and each of their assigns, agents, representatives, officers, directors, shareholders, and employees from and against
any and all expenses, damages, liabilities, claims, suits, actions, judgments, costs and expenses whatsoever (including reasonable
attorney’s fees; both those incurred in connection with the defense or prosecution of the indemnifiable claim and those incurred
in connection with the enforcement of this provision), caused by, arising out of, or in any way connected with (i) any injury,
death, or other harm or claim connected with, or claimed defect in, Products or Licensed Products provided, manufactured, produced,
marketed, promoted, sold, and/or distributed by MusclePharm (including any party affiliated with MusclePharm); (ii) any material
inaccuracy or misrepresentation by MusclePharm in this Agreement; (iii) any advertisement and/or promotion of MusclePharm, its
Products, or Licensed Products, including but not limited to any use of the materials produced pursuant to this Agreement, as well
as MusclePharm’s advertising/promotion campaign described above in this Agreement and/or (iv) any breach of this Agreement
and/or in connection with this Agreement. No settlement will be entered into by the AS Parties without MusclePharm’s prior
written approval.

 

 

    	 

    	 

    

 

16. Exclusivity;
Non-Competition:

 

(a) During the term
of this Agreement, or any extensions of this Agreement, Endorser and the Lender hereby agree and warrant that it will not enter
into any other endorsement agreement for the use of Endorser’s name, image and/or likeness for advertising, marketing and/or
endorsement of any other dietary supplements during the Term of this Agreement. Notwithstanding the foregoing, the following will
not be a breach of this Agreement: (i) Endorser’s performance of services or appearing in the news or informational portion
of any radio, TV or film or entertainment program regardless of products or services therein or sponsorship thereof; (ii) Endorser’s
participation in movies or TV programs as well as merchandising, commercial tie-ins and/or product placements utilizing Endorser,
or (iii) Endorser’s performance of services, appearance or use of his name, likeness in connection with charitable events,
sports events, organizations, regardless of usage of products or services and/or sponsorship thereof.

 

(b) Endorser shall
not use or provide endorsements or testimonials for products that compete with MusclePharm Products or the Licensed Products. Any
failure of Endorser to disclose such conflicting interests, or any breach of this Section, shall be deemed a material breach of
the Agreement. Endorser’s duty not to compete with the business of MusclePharm shall continue for a period of one year following
the expiration or termination of this Agreement. Endorser’s non-competition obligation shall not be required in the event
of a material breach of this Agreement by MusclePharm.

 

(c)
Notwithstanding the foregoing or anything else contained herein, this Agreement shall not prevent or shall in any
manner restrict Endorser from advertising, marketing and or endorsing products (or other companies which manufacture such
products) which incidentally contain dietary supplements (including without limitation protein, vitamins, minerals, amino
acids, herbs, legal performance enhancing substances) provided the primary purpose of such product or company is not to sell
or market a dietary supplement.

 

17. [RESERVED.]

 

18. Assignment:

 

The license granted
by this Agreement is personal to MusclePharm. Except as set forth below, MusclePharm shall not assign or otherwise transfer, license,
sublicense, or delegate any rights or obligations under this Agreement without the express prior written consent of the AS Parties.
Neither party shall voluntarily or by operation of law assign or otherwise transfer the rights and/or obligations incurred pursuant
to the terms of this Agreement without the prior written consent of the other party. Any attempted assignment or transfer by a
party of their rights and/or obligations without such consent shall be void. Nothwithstanding the foregoing, this Agreement may
be assigned without the AS Parties’ consent by MusclePharm in connection with a change of control transaction; provided that
the acquirer of MusclePharm shall have financial resources substantially similar or greater than MusclePharm and shall specifically
assume the obligations of MusclePharm under this Agreement in writing prior to the consummation of the change of control transaction.
In addition, notwithstanding the foregoing, the Endorser and the Lender shall be entitled to sell, transfer and assign the Cash
Compensation and the Compensation Shares (subject to compliance with the restrictions set forth in Section 8(a) above and federal
and state securities laws) to third parties; provided, however, that Endorser shall remain solely liable to fulfill all of his
obligations under this Agreement.

 

 

    	 

    	 

    

 

19. Modification
of Agreement:

 

The parties may modify
this Agreement hereto only by a written supplemental agreement executed by both parties.

 

20. Notice:

 

Any notice required
or permitted to be given hereunder shall be sufficient if given in writing, and sent by registered or certified mail, postage prepaid,
or by courier such as FedEx, addressed as follows:

 

If to MusclePharm:

 

MusclePharm

Attn: Brad Pyatt; CEO

4721 Ironton Street

Denver, CO 80237

 

With a copy to:

 

Sichenzia Ross Friedman Ference LLP

61 Broadway, 32nd Floor

New York, NY 10006

		Attn:	Harvey J. Kesner, Esq.

      Edward H. Schauder, Esq

  

If to the AS Parties:

 

Arnold Schwarzenegger

c/o Main Street Advisors, Inc.

3110 Main Street, Suite #310

Santa Monica, CA 90405

 

Marine MP, LLC

3110 Main Street, Suite #300

Santa Monica, CA 90405

ATTN: Arnold Schwarzenegger

 

Fitness Publications, Inc.

3110 Main Street, Suite #300

Santa Monica, CA 90405

ATTN: Arnold Schwarzenegger

 

 

    	 

    	 

    

 

With a copies to:

 

Main Street Advisors

3110 Main Street, Suite 310

Santa Monica, CA 90405

Attn: Paul Wachter & Alex
Cohen

 

and

 

Bloom Hergott Diemer Rosenthal
LaViolette Feldman

Schenkman
& Goodman, LLP

150 South Rodeo Drive, 3rd
Floor

Beverly Hills, CA 90212

Attn: Patrick M. Knapp, Esq.

 

and

 

Loeb & Loeb LLP

10100 Santa Monica Blvd., Suite
2200

Los Angeles, Ca 90067

Attn: David W. Grace

 

or to such other address as the parties
hereto may specify, in writing, from time to time. Written notice given as provided in this Section shall be deemed received by
the other party two business days after the date the mail is stamped registered or certified and deposited in the mail, or deposited
with courier.

 

21. Governing
Law:

 

This Agreement has
been executed and delivered in Los Angeles County in the State of California, and its interpretation, validity and performance
shall be construed and enforced in accordance with the laws of the State of California. The exclusive venue for any proceeding
to interpret, construe or enforce this Agreement in accordance with Section 22 below shall be Los Angeles County, California.

 

22. Dispute Resolution
and Attorneys’ Fees:

 

(a) Any
dispute, claim or controversy arising out of or relating to this Agreement or the breach, termination, enforcement, interpretation
or validity thereof, including the determination of the scope or applicability of this agreement to arbitrate, shall be determined
by arbitration in Los Angeles County before an arbitrator who is a retired U.S. District Court judge. The arbitration shall be
administered by JAMS pursuant to its Comprehensive Arbitration Rules and Procedures. Judgment on the Award may be entered in any
court having jurisdiction. The parties adopt and agree to implement the JAMS Optional Arbitration Appeal Procedure (as it exists
on the effective date of this Agreement) with respect to any final award in an arbitration arising out of or related to this Agreement.
Nothing in this agreement clause shall preclude parties from seeking provisional or injunctive relief remedies in aid of arbitration
from a court of appropriate jurisdiction.

 

 

    	 

    	 

    

  

(b) In any arbitration
arising out of or related to this Agreement, the arbitrator(s) shall award to the prevailing party, if any, the costs and attorneys’
fees reasonably incurred by the prevailing party in connection with the arbitration. If the arbitrator(s) determine a party to
be the prevailing party under circumstances where the prevailing party won on some but not all of the claims and counterclaims,
the arbitrator(s) may award the prevailing party an appropriate percentage of the costs and attorneys’ fees reasonably incurred
by the prevailing party in connection with the arbitration.

 

23. Binding Effect:

 

This Agreement when
signed by the parties shall be binding upon the parties, and their respective heirs, successors or legal representatives.

 

24. Representations,
Warranties and Covenants:

 

(a) The AS Parties
represent and warrant that (i) they hold all such rights, title, and interest in his Name and Appearance Rights as are required
to permit them to enter into this Agreement; (ii) they have the full right, power and authority to enter into this Agreement; (iii)
they have not authorized any third party to create products similar to the AS Product Line, and (iv) they do not own any equity
interest in any companies that produce nutrition and/or supplement products. MusclePharm expressly acknowledges that the AS Parties
have not ascertained the worldwide availability of the Name and Appearance Rights and related Trademarks for use as trademarks
on the Licensed Products or whether such use would infringe the rights of any other entities. EXCEPT AS SPECIFICALLY SET FORTH
HEREIN, THE AS PARTIES EXPRESSLY DISCLAIM ALL REPRESENTATIONS AND WARRANTIES, EXPRESS OR IMPLIED, IN CONNECTION WITH THE TRADEMARKS
AND NAME AND APPEARANCE RIGHTS, INCLUDING, BUT NOT LIMITED TO, THE IMPLIED WARRANTIES OF TITLE, NON-INFRINGEMENT OF INTELLECTUAL
PROPERTY RIGHTS, MERCHANTABILITY, AND FITNESS FOR A PARTICULAR PURPOSE. THE AS PARTIES SHALL NOT BE LIABLE TO MUSCLEPHARM OR ANY
THIRD PARTY FOR ANY DAMAGES ARISING FROM OR RELATING TO MUSCLEPHARM’S USE OF THE TRADEMARKS AND NAME AND APPEARANCE RIGHTS.
IN NO EVENT SHALL THE AS PARTIES BE LIABLE FOR SPECIAL, CONSEQUENTIAL, OR PUNITIVE DAMAGES.

 

(b) MusclePharm represents,
warrants and covenants that (i) it has the full right, power and authority to enter into this Agreement; (ii) it has acquired all
rights necessary to perform this Agreement and exploit the Licensed Products as contemplated herein; (iii) the Licensed Products,
any element thereof, or any advertising, promotional or publicity materials supplied by Licensee or third parties hereunder will
not contain any language or material which is obscene, libelous, slanderous or defamatory; (iv) the use of the Licensed Product
and the Name and Appearance Rights as contemplated herein will not violate or infringe the copyright, trademark, or other rights
of any third party; (v) the Products and Licensed Products will comply in all material respects with all applicable laws and regulations
and will be safe for human consumption.

 

 

    	 

    	 

    

 

25. Payments:

 

All cash payments shall
be made via wire transfer to the Lender to an account provided by Lender or his representative.

 

26. Confidentiality:

 

The parties acknowledge
that during the course of this Agreement the parties will provide to each other certain proprietary and confidential information
that is held and maintained confidentially by each party. Each party shall be entitled to share such confidential information received
by such party only with such party’s representatives, legal and accounting advisors who shall agree to be bound by the confidentiality
obligations set forth in this Section 26. During the term of this Agreement and for three (3) years thereafter, each party shall
hold in strict confidence all such information. This obligation shall not apply to any information which: (a) becomes known to
the general public through no fault of either party; (b) is required to be disclosed in the enforcement of rights hereunder, or
(c) is required to be disclosed by any state or federal statue, regulation or court order.

 

27. Insurance:

 

MusclePharm shall,
throughout the Term of the Agreement and for a period of not less than four years thereafter, obtain and maintain at its own cost
and expense from a qualified insurance company licensed to do business in California and New York, a commercial general liability
insurance policy including coverage for contractual liability (applying to the terms and conditions of this agreement), product
liability, personal injury liability, and advertiser's liability, in a form approved by the AS Parties, in the amount of at least
Five Million Dollars (US$5,000,000) per occurrence naming the AS Parties (for the avoidance of doubt, specifically including each
of Lender, Endorser, and Fitness) as additional named insureds. Without limiting the generality of the foregoing, such policy shall
provide protection against any and all claims, demands, and causes of action arising out of any defects or failure to perform,
alleged or otherwise, of the Products and Licensed Products or any material used in connection therewith or any use thereof. The
policy shall provide for ten (10) days notice to the AS Parties from the insurer by Registered or Certified Mail, return receipt
requested, in the event of any modification, cancellation, or termination thereof. MusclePharm agrees to furnish the AS Parties
a certificate of insurance evidencing same within thirty (30) days after execution of this Agreement and, in no event, shall MusclePharm
manufacture, distribute, advertise, or sell the Licensed Products prior to receipt by the AS Parties of such evidence of insurance.
MusclePharm shall be responsible to provide for any appearances pursuant to this Agreement by Endorser appropriate certificates
of insurance with coverage limits of at least Five Million Dollars (US$5,000,000) per occurrence endorsed to name the AS Parties
as additional named insureds with respect to claims arising out of appearances by Endorser. MusclePharm shall be responsible to
pay the deductible under any such insurance policies with respect to any claims made under such policies.

 

 

    	 

    	 

    

 

28. Entire Agreement:

 

This Agreement contains
the entire contract of the parties with respect to the subject matter hereof and supersedes all agreements and understandings between
the parties concerning the subject matter hereof. The language in all parts of this Agreement shall in every case be construed
simply according to its fair meaning.

 

29. Infringement:

 

(a) The
AS Parties shall have the exclusive right, but not the obligation, to prosecute, defend, and/or settle at their own cost and expense
and in their sole discretion, all actions, proceedings and claims involving an infringement of the Name and Appearance Rights or
Trademarks and to take any other action that they deem proper or necessary in their sole discretion for the protection and preservation
of such rights. In their sole option, the AS Parties may take any action described above in one or more of their own names and
MusclePharm will cooperate fully therewith. MusclePharm shall have the exclusive right, but not the obligation, to prosecute, defend
and/or settle at its own cost and expense and in its sole discretion, all actions, proceedings and claims involving an infringement
of the MusclePharm trade name, trademarks, and logo even if the matter involves the Licensed Products and to take any other action
that its deem proper or necessary in its sole discretion for the protection and preservation of such rights. In its sole option,
MusclePharm may take any action described above in its own name and the AS Parties will cooperate fully therewith if the matter
involves the Licensed Products. All expenses of any action taken by a party hereto as contemplated above shall be borne by such
party, and all relief granted in connection therewith shall be solely for the account of such party. A party hereto will not claim
or reserve any rights against the other party as the result of any such action contemplated above.

 

(b) Each
party shall notify the other party promptly of any adverse, pending or threatened action in respect of an infringement of the Name
and Appearance Rights or Trademarks or any infringement of the Licensed Products, as the case may be, and of any use by third parties
that would or might tend to be adverse to the rights of the parties hereto, as applicable.

 

 

* * * THE REMAINDER OF THIS PAGE
INTENTIONALLY LEFT BLANK. * * *

 

 

    	 

    	 

    

 

This Agreement when
signed and dated by all parties shall be deemed to be made, accepted and delivered in the City and County of Los Angeles, California,
regardless of where the Agreement is executed by the parties.

 

MusclePharm Corporation

 

	By:	/s/Brad Pyatt	 
	 	Name: Brad Pyatt	 
	 	Title:CEO	 

 

Dated: July 26, 2013

 

Marine MP, LLC

 

	By:	 /s/ Paul Wachter	 
	 	Name: Paul Wachter	 
	 	Title: Manager	 

 

Dated: July 26, 2013

 

	By:	/s/Arnold Schwarzenegger	 
	 	Arnold Schwarzenegger	 

 

Dated: July 26, 2013

 

Fitness Publications, Inc.

 

	By:	/s/Arnold Schwarzenegger	 
	 	Name:	 
	 	Title:	 

 

Dated: July 26, 2013

 

 

    	 

    	 

    

 

EXHIBIT A

 

PROMOTIONAL PRODUCTS

 

Promotional Products shall include the
following products:

		·	T-Shirts;

		·	Golf Shirts;

		·	Hats;

		·	Visors;

		·	Wristbands and Headbands; and

		·	Shakers.

 

Each and every of the foregoing Promotional
Products must be specifically approved in advance and in writing by the AS Parties and shall always prominently include the MusclePharm
logo or images of the Licensed Products.

 

 

    	 

    	 

    

 

Exhibit “B”

Royalty Statement

 

		Company Name:	MusclePharm Corporation

 

		Licensee Address:	4721 Ironton Street, Unit A, Denver, Colorado 80239

 

		For Quarter Ending:	____________________

 

	Customer

Name	 	Item/SKU

Number or

Description	 	Invoice

Price	 	No.

Units

Sold	 	Sales

Invoice	 	Less

Returns	 	Net

Sales	 	Royalty

Percentage	 	Royalty

Amount

 

	Total Royalty Earned This Quarter:	 	$		 
	 	 	 	 	 
	Total Earned Royalty To Date (This Contract Year):	 	$		 
	 	 	 	 	 
	TOTAL	 	$		 
	 	 	 	 	 
	Less Paid and Un-Recouped Minimum Guarantee:	 	$ 	([     ]	)
	 	 	 	 	 
	Balance Due From the Company and  Payable This Quarter:	 	$		 

 

I hereby certify
that the above is accurate and complete.

 

	 	 	 	 
	 	Signature	 	Date
	 	 	 	 
	 	Title	 	 
	 	 	 	 
	 	Printed Name	 	 

 

	Submit to:	 	 
	 	 	 
	Name: 	 	 
	Email: 	 	 
	Tel:	 	 
	Date Received:  	 	 

 

 

    	 

    	 

    

 

Exhibit “C”

 

Section (1)

 

Guaranteed Minimum Royalty during
the initial Term:

 

	Contract Year	 	Minimum Royalty	 	Timing of Payment
	One 	 	$1,500,000	 	$500,000 payment due on the following dates: July 23, 2013; October 1, 2013; February 1, 2014
	Two 	 	$2,000,000	 	$666,666.66 payment due on the following dates: July 23, 2014; October 1, 2014; February 1, 2015
	Three	 	$2,500,000	 	$833,333.33 payment due on the following dates: July 23, 2015; October 1, 2015; February 1, 2016

 

 

    	 

    	 

    

 

Section (2)

 

Guaranteed Minimum Royalty during the First
Additional Term:

 

In the event that the Renewal Threshold
is achieved in the Third Contract Year, during the First Additional Term the Minimum Royalty and Timing of Payment shall be as
follows:

 

	Contract Year	 	Minimum Royalty	 	Timing of Payment
	Four	 	$2,500,000	 	$833,333.33 payment due on the following dates: July 23, 2016; October 1, 2016; February 1, 2017
	Five	 	$2,500,000	 	$833,333.33 payment due on the following dates: July 23, 2017; October 1, 2017; February 1, 2018
	Six	 	$2,500,000	 	$833,333.33 payment due on the following dates: July 23, 2018; October 1, 2018; February 1, 2019

 

 

    	 

    	 

    

 

Section (3)

 

Guaranteed Minimum Royalty during the Second
Additional Term:

 

In the event that the Second Renewal Threshold
is achieved in the Sixth Contract Year, during the Second Additional Term the Minimum Royalty and Timing of Payment shall be as
follows:

 

	Contract Year	 	Minimum Royalty	 	Timing of Payment
	Seven	 	$5,000,000	 	$1,666,666.66 payment due on the following dates:  July 23, 2019; October 1, 2019; February 1, 2020
	Eight	 	$5,000,000	 	$1,666,666.66 payment due on the following dates:  July 23, 2020; October 1, 2020; February 1, 2021
	Nine	 	$5,000,000	 	$1,666,666.66 payment due on the following dates:  July 23, 2021; October 1, 2021; February 1, 2022

  

 

    	 

    	 

    

 

Exhibit “D”

 

Endorser Expenses

 

MusclePharm shall be responsible for the
following expenses:

		·	Exclusive private jet transportation (Netjets, or as otherwise indicated by Endorser) to be arranged
through  M. Paul Wachter or Alex Cohen;

		·	A first class suite at a hotel of Endorser’s choice;

		·	A security detail; and

		·	A reasonable per diem expense allowance while Endorser is on location.

 

 

    	 

    	 

    

 

Exhibit “E”

Approval Request Response

 

Tracking Number: _____________________

 

CONCEPT: ________________________________               Date:
__________________

 

Approved. Supply pre-production sample
as soon as available for approval. 

 

Not approved, pending changes indicated.
Re-submit concept sample for approval.

 

Not approved. 

 

PRE-PRODUCTION SAMPLE: _____________________     Date:
_____________ 

 

Approved. Supply production sample as
soon as available for approval.	

 

Not approved, pending changes indicated.
Re-submit pre-production sample for approval.	

 

Not approved.	

 

PRODUCTION SAMPLE: _______________________      Date:
______________ 

 

Approved. Supply production sample for Arnold Schwarzenegger’s
records.		

 

Approved with changes for next production run – please
re-submit.	 	

 

Not approved, pending changes indicated. Re-submit production
sample for approval.	

 

Not approved. Cease all manufacture, sale, display, marketing,
and distribution.	

 

COMMENTS:

	 
	 

 

	Signature: 	 	 
	Title:rlgt-ex101_88.htm

 

 

Exhibit 10.1

Radiant Logistics, Inc. 

2012 Stock OPTION and Performance Award Plan 

RESTRICTED STOCK UNIT AWARD

Radiant Logistics, Inc., a Delaware corporation (the “Corporation”), pursuant to the terms of its 2012 Stock Option and Performance Award Plan effective as of November 13, 2012 (the “Plan”) and the Restricted Stock Unit Award Agreement attached to this Restricted Stock Unit Award (this “RSU Award”), hereby grants to the individual named below (the “Grantee”) the right to receive the number of shares of the Corporation’s Common Stock as is set forth below, subject to vesting as set forth below and the terms and conditions of this RSU Award and the Restricted Stock Unit Award Agreement attached to this RSU Award. The terms of this RSU Award are subject to all of the provisions of the Plan and the attached Restricted Stock Unit Award Agreement, with such provisions being incorporated herein by reference. All of the capitalized terms used in this RSU Award and the Restricted Stock Unit Award Agreement not otherwise defined herein or therein shall have the same meaning as defined in the Plan.  A copy of the Plan and the prospectus for the Plan have been delivered to Grantee together with this RSU Award and the Restricted Stock Unit Award Agreement. In addition, reference is made to that “Employee Information Supplement” attached hereto as Exhibit A, the purpose of which is to provide a general summary of the tax consequences and other issues associated with the grant of the RSU Award to Grantees domiciled within Canada.

 

	
1.
	
Date of Grant:
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
 
	
 
	
 

	
2.
	
Name of Grantee:
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
 
	
 
	
 

	
3.
	
Number of Units:
	
 
	
 
	
 
	
 

	
 
	
 
	
 
	
 
	
(each Unit representing one share of  Common Stock, subject to adjustment as provided in the Plan)

	
 
	
 
	
 
	
 
	
 
	
 

	
4.
	
Vesting of Restricted Stock Units (subject to adjustment as provided in the Plan):

 

		
	
Vesting Date
	
No. of Units to be Vested*

	
 
	
 

*Vesting to occur pursuant to Section 1 of the attached Restricted Stock Unit Award Agreement and conditioned upon continued employment or service as described in Sections 1 and 5 therein.

The Grantee acknowledges receipt of, and understands and agrees to be bound by all of the terms of, this RSU Award, inclusive of the attached Restricted Stock Unit Award Agreement, and the Plan, and that the terms thereof supersede any and all other written or oral agreements between the Grantee and the Corporation regarding the subject matter contained herein.

 

	
Radiant Logistics, Inc.
	
 
	
 
	
Grantee:

	
 
	
 
	
 
	
 
	
 
	
 
	
 

	
By:
	
 
	
 
	
 
	
 
	
 
	
 

	
Title:
	
 
	
 
	
 
	
Date:
	
 
	
 

	
Date:
	
 
	
 
	
 
	
 
	
 
	
 

 

 

 

RESTRICTED STOCK UNIT AWARD AGREEMENT

THIS AGREEMENT made as of the grant date set forth in Section 1 of the RSU Award to which this Agreement relates and is attached (the “Date of Grant”) between Radiant Logistics, Inc., a Delaware corporation (the “Corporation”), and the individual identified in Section 2 of the Restricted Stock Unit Award to which this Agreement relates and is attached (the “Grantee”).

W I T N E S S E T H:

WHEREAS, the Corporation adopted the Radiant Logistics, Inc. 2012 Stock Option and Performance Award Plan effective as of November 13, 2012 (the “Plan”), providing for the grant of Restricted Stock Units or the right to receive shares of Common Stock of the Corporation (the “Common Stock”) by Employees and/or Consultants of the Corporation; and 

WHEREAS, the Audit and Executive Oversight Committee (the “Committee”) has authorized the grant of Restricted Stock Units to the Grantee on the date of this Agreement as evidenced by the Restricted Stock Unit Award to which this Agreement is attached (the “RSU Award”), thereby allowing the Grantee to acquire a proprietary interest in the Corporation in order that the Grantee will have a further incentive for remaining with and increasing his or her efforts on behalf of the Corporation; and

WHEREAS, this Agreement is prepared in conjunction with and under the terms of the Plan, which are incorporated herein and made a part hereof by reference; and

WHEREAS, the Grantee has accepted the grant of Restricted Stock Units evidenced by the RSU Award and has agreed to the terms and conditions stated herein.

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

1. Grant and Vesting of RSU Award.  The Corporation hereby grants to the Grantee as a separate incentive in connection with his or her employment and not in lieu of any salary or other compensation or fees for his or her services, an award of that number of Restricted Stock Units (as set forth in Section 3 of the RSU Award) on the date hereof, subject to all of the terms and conditions in this Agreement and the Plan. The RSU Award grants to the Grantee the right to receive that number of shares of Common Stock of the Corporation (at the rate of one share of Common Stock for each Restricted Stock Unit) as provided in the vesting schedule set forth in Section 4 of the RSU Award, provided that the Grantee remains an Employee or Consultant of the Corporation or any Affiliate as of each such vesting date or dates as indicated in Section 4 of the RSU Award and as provided in Section 5 hereof. In addition, the RSU Award may vest and shares of Common Stock subject to the RSU Award may become vested and issuable pursuant to and as provided in Sections 3, 4(c) and 10 of this Agreement.

- 2 -

 

2. Issuance of Shares of Common Stock.  As soon as practicable, but not more than 30 days, after each date as of which shares of Common Stock subject to the RSU Award become vested and issuable pursuant to Section 1, 3, 4(c) or 10 of this Agreement, the Corporation shall direct its transfer agent to issue such number of shares of Common Stock in the name of Grantee or a nominee in book entry. Notwithstanding anything to the contrary in this Agreement or the Plan, the RSU Award shall be settled only in Shares (and may not be settled via a cash payment). The Corporation may, in its sole discretion, settle all or a portion of this RSU Award in the form of Shares but require an immediate sale of such Shares (in which case, this Agreement shall give the Corporation the authority to issue sales instructions on the Grantee’s behalf).

3. Committee Discretion to Accelerate Vesting.  The Committee may decide, in its absolute discretion, to accelerate the vesting on the balance, or some lesser portion of the balance, of the Restricted Stock Units evidenced by the RSU Award at any time.  If so accelerated, the Restricted Stock Units will be considered to have vested as of the date specified by the Committee.

4. Termination or Forfeiture of Unvested RSU Awards Upon Termination of Employment and Termination of Consulting Relationship.

(a)As of the date of termination of the Grantee’s employment with the Corporation and its Affiliates or Termination of Consulting Relationship for any reason other than death or Disability of the Grantee, then the Grantee shall forfeit his or her rights to receive all of the remaining shares of Common Stock subject to the RSU Award that have not vested pursuant to Section 1, 3 or 10 of this Agreement and been issued as of the date Grantee’s employment with the Corporation or any Affiliate terminates or as of the date of Termination of Consulting Relationship.

(b)If the Grantee dies or his or her employment or Consulting Relationship with the Corporation or any Affiliate is terminated by reason of his or her Disability while he or she is employed by or in a Consulting Relationship with the Corporation or any Affiliate, in each case within one (1) year after the Date of Grant, then the Grantee shall forfeit his or her rights to receive all of the remaining shares of Common Stock subject to the RSU Award that have not vested pursuant to Section 1, 3 or 10 of this Agreement as of the date Grantee’s employment the Corporation or any Affiliate terminates or date of Termination of Consulting Relationship. 

(c)If the Grantee dies or his or her employment or Consulting Relationship with the Corporation or any Affiliate is terminated by reason of his or her Disability while he or she is employed by or in a Consulting Relationship with the Corporation or any Affiliate, in each case one (1) year or more after the Date of Grant, the Restricted Stock Units evidenced by the RSU Award will become immediately vested with respect to that number of underlying shares of Common Stock subject to the RSU Award that would have vested and become issuable pursuant to Section 4 of the RSU Award and Section 1 of this Agreement on the next annual anniversary of the Date of Grant, irrespective of the Grantee’s death or Disability (such date, the “Section 4(c) Deemed Vesting Date”), and such shares of Common Stock underlying such Restricted Stock Units shall be issued immediately thereafter to the Grantee and the Grantee shall forfeit his or her rights to receive all of the 

- 3 -

 

remaining shares of Common Stock subject to the RSU Award that have not vested pursuant to Section 1, 3, 4(c) or 10 of this Agreement; provided, however, that if Section 4 of the RSU Award provides for cliff vesting on a date certain that occurs after the Section 4(c) Deemed Vesting Date, then for purposes of determining any immediate vesting under this Section 4(c), the vesting period of the RSU Award shall be re-determined as if such RSU Award vested in equal annual installments over its originally scheduled vesting time period instead of in one installment on the cliff vesting date as indicated in Section 4 of the RSU Award and the Restricted Stock Units evidenced by the RSU Award will become immediately vested with respect to that number of underlying shares of Common Stock subject to the RSU Award that would have vested and become issuable on this re-determined basis during the period of time between the Date of Grant and the Section 4(c) Deemed Vesting Date, and such shares of Common Stock underlying such Restricted Stock Units shall be issued immediately thereafter to the Grantee and the Grantee shall forfeit his or her rights to receive all of the remaining shares of Common Stock subject to the RSU Award that have not vested pursuant to Section 1, 3, 4(c) or 10 of this Agreement. As soon as practicable, but not more than 30 days, after such date, the Corporation shall direct its transfer agent to issue such number of shares of Common Stock that have vested pursuant to this Section 4(c) of this Agreement in the name of Grantee or a nominee in book entry. By way of example and for clarification and the avoidance of doubt, if the RSU Award was scheduled to cliff vest on the three-year anniversary of the Date of Grant and the Grantee dies or his or her employment or Consulting Relationship with the Corporation or any Affiliate is terminated by reason of his or her Disability while he or she is employed by or in a Consulting Relationship with the Corporation or any Affiliate on the 18th month anniversary of the Date of Grant,  the Restricted Stock Units evidenced by the RSU Award will become immediately vested with respect to two-thirds of the underlying shares of Common Stock subject to the RSU Award (which represents that number of underlying shares of Common Stock that would have been vested as of the Section 4(c) Deemed Vesting Date assuming the RSU Award vested in three equal annual installments), and such shares of Common Stock shall be issued immediately thereafter to the Grantee and the Grantee shall forfeit his or her rights to receive the remaining one-third shares of Common Stock subject to the RSU Award that have not vested pursuant to Section 1, 3, 4(c) or 10 of this Agreement.

(d)The change in a Grantee’s status from that of an Employee to that of a Consultant will, for purposes of this Agreement, be deemed to result in a termination of such Grantee’s employment with the Corporation and its Affiliates, unless the Committee otherwise determines in its sole discretion. The change in a Grantee’s status from that of a Consultant to that of an Employee will not, for purposes of this Agreement, be deemed to result in a termination of such Grantee’s service as a Consultant, and such Grantee will thereafter be deemed to be an Employee for purposes of this Agreement. Unless the Committee otherwise determines in its sole discretion, a Grantee’s employment or other service will, for purposes of this Agreement, be deemed to have terminated on the date recorded on the personnel or other records of the Corporation or the Affiliate for which the Grantee provides employment or other service, as determined by the Committee in its sole discretion based upon such records. Notwithstanding the foregoing, if payment of the RSU Award is subject to Section 409A of the Code and payment is triggered by a termination of the Grantee's employment or Consulting Relationship, such termination must also constitute a 

- 4 -

 

"separation from service" within the meaning of Section 409A of the Code, and any change in employment status that constitutes a "separation from service" under Section 409A of the Code will be treated as a termination of employment or Termination of Consulting Relationship, as the case may be.

(e)Notwithstanding any language to the contrary set forth in this Agreement, for purposes of vesting under the RSU Award, the Grantee’s employment will be considered terminated the date that the Grantee is no longer actively providing services (unless the Grantee is on a leave of absence approved by the Corporation), regardless of any notice period or period of pay in lieu of such notice required under applicable statutory law, regulatory law and/or common law; the Corporation shall have the exclusive discretion to determine when Grantee is no longer actively providing services for purposes of this RSU Award.

5. Continuous Employment or Consulting Relationship Required.  The Restricted Stock Units evidenced by the RSU Award shall not vest as described in Section 1 of this Agreement unless the Grantee shall have been continuously employed by the Corporation or any Affiliate or in a continuous Consulting Relationship with the Corporation or any Affiliate from the Date of Grant until the applicable vesting date. 

6. Withholding of Taxes.  Notwithstanding anything in this Agreement to the contrary, no certificate or book-entry notation representing shares of Common Stock may be delivered to the Grantee upon vesting of the Restricted Stock Units evidenced by the RSU Award unless and until the Grantee shall have delivered to the Corporation the minimum statutorily required amount of any non-U.S., U.S. federal, state, provincial or local income, social contributions, payroll, or other taxes which the Corporation may be required by law to withhold with respect to such vesting of the RSU Award and the issuance and delivery of shares of Common Stock in connection therewith.  The Grantee may elect to satisfy any such income tax withholding requirement by payment in cash to the Corporation on or prior to the vesting date, or in the Committee’s  sole discretion and pursuant to such procedures as may be established by the Committee in its sole discretion, (i) by having the Corporation withhold shares of Common Stock otherwise deliverable to the Grantee upon vesting of the RSU Award or by delivering to the Corporation previously acquired shares of Common Stock; provided, however, that the number of such shares of Common Stock so withheld shall not exceed the amount necessary to satisfy the Corporation’s required tax withholding obligations using the minimum statutory withholding rates for federal, state, local and foreign tax purposes, including payroll taxes, that are applicable to supplemental taxable income; (ii) by effecting “sell-to-cover” transactions through a broker in which the Grantee sells that number of shares of Common Stock in the open market (whether under a trading plan or instruction pursuant to Rule 10b5-1 of the Exchange Act or otherwise) to fund the required tax withholding obligations and all applicable fees and commissions due to, or required to be collected by the broker and making arrangements to remit the cash proceeds of such sales to the Corporation; or (iii) by a combination of such methods. Regardless of any action the Corporation takes with respect to any or all income tax (including U.S. federal, state and local taxes and/or non-U.S. taxes), social insurance, payroll tax, payment on account or other tax-related withholding (“Tax-Related Items”), the Grantee acknowledges that the ultimate liability for all Tax-Related Items legally due by the Grantee is and remains the Grantee’s responsibility and that the Corporation: (i) makes no representations 

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or undertakings regarding the treatment of any Tax-Related Items in connection with any aspect of the RSU Award, including the grant of the RSU Award, the vesting of the RSU Award, and the settlement of the RSU Award; and (ii) does not commit to structure the terms of the RSU Award or any aspect of the RSU Award to reduce or eliminate the Grantee’s liability for Tax-Related Items. If the Grantee becomes subject to taxation in more than one country between the Date of Grant and the date of any relevant taxable or tax withholding event, as applicable, the Grantee acknowledges that the Corporation may be required to withhold or account for Tax-Related Items in more than one country.

7. After the Death of the Grantee.  Any delivery of Common Stock to be made to the Grantee under this Agreement shall, if the Grantee is then deceased, be made to the Grantee’s designated beneficiary, or if no such beneficiary survives the Grantee, his or her estate.  Any transferee must furnish the Corporation with (a) written notice of his or her status as transferee, and (b) evidence satisfactory to the Corporation to establish the validity of the transfer and compliance with any laws or regulations pertaining to said transfer.

8. Reservation of Shares of Common Stock. The Corporation shall at all times during the term of this Agreement reserve and keep available such number of shares of the Common Stock as will be sufficient to satisfy the requirements of this Agreement. The shares of Common Stock deliverable to the Grantee may be either previously authorized but unissued shares or issued shares which have been reacquired by the Corporation. 

9. No Rights of Stockholder.  Neither the Grantee nor any person claiming under or through the Grantee shall be, or have any of the rights or privileges of, a stockholder of the Corporation in respect of any shares of Common Stock deliverable hereunder unless and until such shares of Common Stock have been issued pursuant to Section 2 of this Agreement. Notwithstanding the generality of the foregoing, Grantee shall not be entitled to vote any of the shares of Common Stock subject to the RSU Award, or otherwise exercise any incidents of ownership with respect to such shares of Common Stock until such shares have been issued pursuant to Section 2 of this Agreement, but shall be entitled to dividend equivalents with respect to dividends declared on Common Stock and such dividend equivalents shall vest and be delivered in the same manner as the shares of Common Stock subject to the RSU Award.  

10.Change in Control of the Corporation. If there is a Change in Control, the Restricted Stock Units evidenced by the RSU Award will be subject to the provisions of Article IX of the Plan; provided, however, that if the Restricted Stock Units evidenced by the RSU Award are continued, assumed or substituted pursuant to Article IX of the Plan and within one (1) year following such event, the Grantee’s employment or Consulting Relationship is terminated by the Corporation or any Affiliate without Cause, the Restricted Stock Units evidenced by the RSU Award shall vest automatically and the shares of Common Stock underlying such Restricted Stock Units shall be issued immediately thereafter to the Grantee; provided, however, that if such RSU Award is subject to Section 409A of the Code, the Grantee’s termination must also constitute a "separation from service" within the meaning of Section 409A of the Code, and any change in employment status that constitutes a "separation from service" under Section 409A of the Code will be treated as a termination of employment or Termination of Consulting Relationship, as the case may be. As soon as practicable, but not more than 30 days, after such date, the Corporation shall direct its transfer agent to issue such number of shares of Common Stock in the name of Grantee or a nominee in book entry.

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11.Registration.  The Corporation shall, at any time, register or qualify the shares of Common Stock pursuant to the Securities Act of 1933, as amended.

12.Approval of Counsel.  The issuance and delivery of shares of Common Stock pursuant to the Plan shall be subject to approval by the Corporation’s counsel of all legal matters in connection therewith, including, but not limited to, compliance with the requirements of the Securities Act of 1933, as amended, and the Securities Exchange Act of 1934, as amended, and the rules and regulations thereunder, and the requirements of any stock exchange or automated trading medium upon which the Common Stock may then be listed or traded.

13.Resale of Common Stock, Etc.  The Common Stock issued hereunder shall bear the following (or similar) legend if required by counsel for the Corporation:

THE SHARES EVIDENCED BY THIS CERTIFICATE MAY NOT BE SOLD, TRANSFERRED, PLEDGED, HYPOTHECATED OR OTHERWISE DISPOSED OF UNLESS THEY HAVE FIRST BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR UNLESS, IN THE OPINION OF COUNSEL FOR THE CORPORATION, SUCH REGISTRATION IS NOT REQUIRED. 

14.Limitation of Action.  The Grantee and the Corporation each acknowledges that every right of action accruing to the Grantee or it, as the case may be, and arising out of or in connection with this Agreement against the Corporation, on the one hand, or against the Grantee, on the other hand, shall, irrespective of the place where an action may be brought, cease and be barred by the expiration of three (3) years from the date of the act or omission in respect of which such right of action arises.

15.Notices.  Each notice relating to the RSU Award and this Agreement shall be in writing and delivered in person, by recognized overnight carrier or by certified mail to the proper address.  All notices to the Corporation or the Committee shall be addressed to them at 405 114th Avenue, SE, Third Floor, Bellevue, WA 98004 Attn:  General Counsel.  All notices to the Grantee shall be addressed to the Grantee or such other person or persons at the Grantee’s address set forth in the Corporation’s records.  Anyone to whom a notice may be given under this Agreement may designate a new address by notice to that effect.

16.Benefits of Agreement.  This Agreement shall inure to the benefit of the Corporation, the Grantee and their respective heirs, executors, administrators, personal representatives, successors and assigns.

17.Severability.  In the event that any one or more provisions of this Agreement shall be deemed to be illegal or unenforceable, such illegality or unenforceability shall not affect the validity and enforceability of the remaining legal and enforceable provisions hereof, which shall be construed as if such illegal or unenforceable provision or provisions had not been inserted.

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18.Governing Law.  This Agreement will be construed and governed in accordance with the laws of the State of Delaware, United States of America, without regard to its principles of conflicts of law. In the event that either party is compelled to bring a claim related to this Agreement, to interpret or enforce the provisions of the Agreement, to recover damages as a result of a breach of this Agreement, or from any other cause (a “Claim”), such Claim must be processed in the manner set forth below: 

(i)THE SOLE AND EXCLUSIVE METHOD TO RESOLVE ANY CLAIM IS ARBITRATION, AND EACH PARTY WAIVES THE RIGHT TO A JURY TRIAL OR COURT TRIAL.  Neither party shall initiate or prosecute any lawsuit in any way related to any Claim covered by this Agreement.

(ii)The arbitration shall be binding and conducted before a single arbitrator in accordance with the then-current JAMS Arbitration Rules and Procedures for Employment Disputes or the appropriate governing body, as modified by the terms and conditions of this paragraph.  Venue for any arbitration pursuant to this Agreement will lie in Seattle, Washington, United States of America. The arbitrator will be selected by mutual agreement of the parties or, if the parties cannot agree, then by striking from a list of arbitrators supplied by JAMS or the appropriate governing body.  The Corporation shall pay the arbitrator’s fees and arbitration costs (recognizing that each side bears the cost of its own deposition(s), witness, expert and attorneys’ fees and other expenses as and to the same extent as if the matter were being heard in a court of law).  Upon the conclusion of the arbitration hearing, the arbitrator shall issue a written opinion revealing, however briefly, the essential findings and conclusions upon which the arbitrator’s award is based.  The award of the arbitrator shall be final and binding.  Judgment upon any award may be entered in any court having jurisdiction thereof.  

19.No Right to Continue Employment or Consulting Relationship.  Nothing contained in this Agreement shall be construed as (a) a contract of employment between the Grantee and the Corporation, (b) as a right of the Grantee to be continued in the employ of the Corporation or any Affiliate or continue its Consulting Relationship with the Corporation or any Affiliate, or (c) as a limitation of the right of the Corporation to discharge the Grantee at any time, with or without cause (subject to any applicable employment agreement) or terminate the Grantee’s Consulting Relationship with the Corporation or any Affiliate at any time or for any reason.

20.Definitions.  Unless otherwise defined herein, all capitalized terms used in this Agreement shall have the same definitions as set forth in the Plan.

21.Incorporation of Terms of Plan.  This Agreement shall be interpreted under, and subject to, all of the terms and provisions of the Plan, which are incorporated herein by reference. 

23.Repatriation; Compliance with Laws.  As a condition of the RSU Award, the Grantee agrees to repatriate all payments attributable to the RSU Award in accordance with local foreign exchange rules and regulations in the Grantee’s country of residence (and country of employment, if different).  In addition, the Grantee agrees to take any and all actions, and 

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consents to any and all actions taken by the Corporation and its Affiliates, as may be required to allow the Corporation and its Affiliates to comply with local laws, rules and regulations in the Grantee’s country of residence (and country of employment, if different).  Finally, the Grantee agrees to take any and all actions that may be required to comply with his or her personal legal and tax obligations under local laws, rules and regulations in the Grantee’s country of residence (and country of employment, if different).   

24.Nature of the Grant.  In accepting this RSU Award, the Grantee acknowledges that:

(a)the Plan is established voluntarily by the Corporation, it is discretionary in nature and it may be modified, amended, suspended or terminated by the Corporation in its sole discretion at any time, unless otherwise provided in the Plan or this Agreement;

(b)the grant of the RSU Award is voluntary and occasional and does not create any contractual or other right to receive future RSU Award grants, or benefits in lieu of RSU Award grants, even if RSU Award grants have been granted repeatedly in the past; 

(c)all decisions with respect to future RSU Award grants, if any, will be at the sole discretion of the Corporation; 

(d)the Grantee is voluntarily participating in the Plan; 

(e)the RSU Award grant is not part of normal or expected compensation or salary for any purposes, including, but not limited to, calculating any severance, resignation, termination, redundancy, end of service payments, bonuses, long-service awards, pension or retirement benefits or similar payments and in no event shall be considered as compensation for, or relating in any way to, past services for the Corporation; 

(f)in the event that the Grantee is not an employee of the Corporation or any Affiliate, the RSU Award will not be interpreted to form an employment contract or relationship with the Corporation;

(g)the future value of the underlying Shares is unknown and cannot be predicted with certainty and if the Grantee vests in the RSU Award grant and is issued Shares, the value of those Shares may increase or decrease;

(h)neither the Corporation, nor any Affiliate of the Corporation shall be liable for any foreign exchange rate fluctuation between the local currency of the Grantee’s country of residence and the U.S. dollar that may affect the value of the RSU Award or of any amounts due to the Grantee pursuant to the settlement of the RSU Award or the subsequent sale of any Shares acquired upon settlement of the RSU Award;

(i)in consideration of the grant of the RSU Award, no claim or entitlement to compensation or damages shall arise from termination of the RSU Award or diminution in value of the RSU Award or Shares acquired upon settlement of the RSU Award resulting from termination of the Grantee’s employment or service by the Corporation or any Affiliate (for any reason whatsoever and whether or not in breach of local labor laws) and 

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the Grantee irrevocably releases the Corporation and its Affiliates from any such claim that may arise; if, notwithstanding the foregoing, any such claim is found by a court of competent jurisdiction to have arisen, then, by acceptance of the RSU Award and this Agreement, the Grantee shall be deemed irrevocably to have waived his or her entitlement to pursue such claim; 

(j)the Corporation is not providing any tax, legal or financial advice, nor is the Corporation making any recommendations regarding the Grantee’s participation in the Plan, or the Grantee’s acquisition of or sale of the underlying Shares; and 

(k)the Grantee is hereby advised to consult with his or her own personal tax, legal and financial advisors regarding his or her participation in the Plan before taking any action related to the Plan or the RSU Award.

25.Data Privacy Consent.  Pursuant to applicable personal data protection laws, the Corporation hereby notifies the Grantee of the following in relation to the Grantee’s personal data and the collection, use, processing and transfer of such data in relation to the Corporation’s grant of the RSU Award and the Grantee’s participation in the Plan.  The collection, use, processing and transfer of the Grantee’s personal data is necessary for the Corporation’s administration of the Plan and the Grantee’s participation in the Plan.  The Grantee’s denial and/or objection to the collection, use, processing and transfer of personal data may affect the Grantee’s participation in the Plan.  As such, the Grantee voluntarily acknowledges and consents (where required under applicable law) to the collection, use, processing and transfer of personal data as described herein.  

The Corporation holds certain personal information about the Grantee, including the Grantee’s name, home address and telephone number, date of birth, social security number or other employee identification number, salary, nationality, job title, any Shares or directorships held in the Corporation, details of all equity awards or any other entitlement to Shares awarded, canceled, purchased, vested, unvested or outstanding in the Grantee’s favor, for the purpose of managing and administering the Plan (“Data”).  The Data may be provided by the Grantee or collected, where lawful, from third parties, and the Corporation will process the Data for the exclusive purpose of implementing, administering and managing the Grantee’s participation in the Plan. The Data processing will take place through electronic and non-electronic means according to logics and procedures strictly correlated to the purposes for which Data are collected and with confidentiality and security provisions as set forth by applicable laws and regulations in the Grantee’s country of residence (and country of employment, if different).  Data processing operations will be performed minimizing the use of personal and identification data when such operations are unnecessary for the processing purposes sought. Data will be accessible within the Corporation’s organization only by those persons requiring access for purposes of the implementation, administration and operation of the Plan and for the Grantee’s participation in the Plan.

The Corporation will transfer Data as necessary for the purpose of implementation, administration and management of the Grantee’s participation in the Plan, and the Corporation may further transfer Data to any third parties assisting the Corporation in the implementation, administration and management of the Plan.  These recipients may be located in the European 

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Economic Area, Canada, or elsewhere throughout the world, such as the United States.  The Grantee hereby authorizes (where required under applicable law) them to receive, possess, use, retain and transfer the Data, in electronic or other form, for purposes of implementing, administering and managing the Grantee’s participation in the Plan, including any requisite transfer of such Data as may be required for the administration of the Plan and/or the subsequent holding of Shares on the Grantee’s behalf to a broker or other third party with whom the Grantee may elect to deposit any Shares acquired pursuant to the Plan.  

The Grantee may, at any time, exercise his or her rights provided under applicable personal data protection laws, which may include the right to (a) obtain confirmation as to the existence of the Data, (b) verify the content, origin and accuracy of the Data, (c) request the integration, update, amendment, deletion, or blockage (for breach of applicable laws) of the Data, and (d) to oppose, for legal reasons, the collection, use, processing or transfer of the Data which is not necessary or required for the implementation, administration and/or operation of the Plan and the Grantee’s participation in the Plan.  The Grantee may seek to exercise these rights by contacting the Grantee’s local HR manager or the Corporation’s Human Resources Department.

26.Private Placement.  If the Grantee is resident and/or employed outside of the United States, the grant of the RSU Award is not intended to be a public offering of securities in the Grantee’s country of residence (and country of employment, if different).  The Corporation has not submitted any registration statement, prospectus or other filing with the local securities authorities (unless otherwise required under local law), and the RSU Award is not subject to the supervision of the local securities authorities. 

27.Insider Trading/Market Abuse Laws.  The Grantee’s country of residence may have insider trading and/or market abuse laws that may affect the Grantee’s ability to acquire or sell Shares during such times the Grantee is considered to have “inside information” (as defined in the laws in the Grantee ‘s country of residence).  These laws may be the same or different from any Corporation insider trading policy. The Grantee acknowledges that it is the Grantee’s responsibility to be informed of and compliant with such regulations, and the Grantee is advised to consult with the Grantee ‘s personal advisors for additional information.

28.English Language.  If the Grantee is resident and/or employed outside of the United States, the Grantee acknowledges and agrees that it is the Grantee’s express intent that this Agreement, the Plan and all other documents, notices and legal proceedings entered into, given or instituted pursuant to the RSU Award, be drawn up in English.  If the Grantee has received this Agreement, the Plan or any other documents related to the RSU Award translated into a language other than English, and if the meaning of the translated version is different from the English version, the meaning of the English version shall control.  

BY WAY OF THEIR EXECUTION OF THE RSU AWARD TO WHICH THIS AGREEMENT RELATES AND IS ATTACHED, the Corporation and the Grantee (and each of their heirs, successors and assigns) agree to be bound by each and every one of the terms set forth in this Agreement.

 

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EXHIBIT “A”

RADIANT LOGISTICS, INC.

Employee Information Supplement
Restricted Stock Units

CANADA

 

	
	
Overview

	
This supplement has been prepared to provide you with a summary of the tax consequences and other issues associated with the grant of restricted stock units ("RSUs") by Radiant Logistics, Inc. (the “Company”) under the Radiant Logistics, Inc. 2012 Stock Option and Performance Award Plan effective as of November 13, 2012 (as amended, the “Plan”).

This supplement is based on tax and other laws in effect in your country as of 1 October 2016.  Further, this supplement assumes that your employer will not reimburse the Company in connection with your award.  It does not necessarily address all local tax laws that may apply to you.  Such laws often are complex and can change frequently.  As a result, the information contained in the supplement may be outdated at the time your restricted stock units vest and you receive shares of Company common stock in settlement of your restricted stock units, or at the time you sell the shares you acquire under the Plan.

Please note that this supplement is general in nature and does not discuss all of the various laws, rules and regulations that may apply.  It may not apply to your particular tax or financial situation, and the Company is not in a position to assure you of any particular tax result. The information contained within this supplement assumes that restricted stock units will be settled in shares of Company common stock. In addition, the information within this supplement assumes that the restricted stock units will be settled as soon as administratively practicable following the date of vesting.  Tax treatment may differ if the restricted stock units are settled in cash (rather than shares of Company common stock) or if the restricted stock units vest but are not settled until a future specified date.  Accordingly, you are strongly advised to seek appropriate professional advice as to how the tax or other laws in your country apply to your specific situation.

If you are a citizen or resident of another country or transfer employment after you are granted restricted stock units or if you are no longer actively employed, the information contained in this supplement may not be applicable to you.

 

	
	
This document constitutes part of a prospectus covering securities that have been registered with the U.S. Securities and Exchange Commission under the Securities Act of 1933, as amended.

 

	
GENERAL Tax Information

	
Grant
	
No taxation.

	
Vesting
	
On the date the RSUs vest and you receive shares of Company common stock in settlement of the RSUs, you will be subject to taxation.

	
Taxable Amount
	
The fair market value of the shares on the date of vesting.

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GENERAL Tax Information

	
Nature of Taxable Amount
	
Employment income.

	
Income Tax Payable?
	
Yes.

	
Source Deductions Payable?
	
Yes (to the extent the applicable Canada Pension Plan (“CPP”), Employment Insurance (“EI”), Quebec Pension Plan (“QPP”), or Quebec Paternal Insurance Plan (“QPIP”) premium ceiling is not exceeded).

	
Other Taxes Payable?
	
No. 

	
tax withholding and reporting

	
Withholding
	
When the RSUs vest and the taxable amount is recognized:

	
Is Income Tax Withheld?
	
Yes.

	
Are Sourse  Deductions Withheld?
	
Yes (to the extent the applicable CPP/EI/QPP/QPIP premium ceiling has not been exceeded).

	
Are Other Taxes Withheld?
	
Not applicable. 

	
Reporting
	
Your employer will report the taxable amount at the time of RSU vesting as taxable income to the Canada Revenue Agency ("CRA") on Form T4.

 

	
other Tax Information

	
Payment of Dividends

	
Tax Treatment
	
You will be subject to taxation on any dividends you receive on the shares of Company common stock you acquire under the Plan (but not CPP / QPP premiums).

You personally will be responsible for reporting the dividends as taxable income and paying the applicable income taxes directly to the CRA.

	
Sale of Shares

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other Tax Information

	
Tax Treatment
	
When you subsequently sell or otherwise dispose of your shares of Company common stock acquired under the Plan, you will be subject to capital gains tax on 50% of any gain you realize.  The gain will equal the difference between the sale proceeds and your tax basis in the shares (generally, the fair market value of the shares on the date of vesting), and this amount generally will be subject to taxation at your marginal income tax rates. CPP/QPP premiums are not payable on the gain.

If you have acquired other shares of Company common stock (either via other awards granted under the Plan, awards granted under other equity 

compensation plans of the Company, or shares you personally purchased), you generally must calculate an average cost basis for your shares and use the average cost basis when computing any gain or loss upon the sale of the shares.  This may lead to a capital gain or loss on the sale of your shares. You should consult with your personal tax advisor for additional information regarding the calculation of any gain or loss attributable to the sale of your shares and to consider the alternatives available to you.

If you sell your shares of Company common stock at a loss (i.e., the sales proceeds you receive are less than your tax basis in the shares), 50% of any loss may be deducted from any taxable capital gains for the current tax year, or may be carried back to the previous three tax years or carried forward to any subsequent tax year.

You personally will be responsible for reporting any taxable income arising upon the sale or disposition of the shares of Company common stock you acquire under the Plan and paying the applicable tax directly to the CRA.

 

	
Other Information

	
Exchange Control

	
In General
	
In general, you should not be subject to any foreign exchange requirements in connection with your acquisition or sale of shares of Company common stock under the Plan.

	
Foreign Income Verification Statement

	
Overview
	
You may be required to report any foreign property on Form T1135 (Foreign Income Verification Statement) if the total cost of your foreign property exceeds C$100,000 at any time during the calendar year.  Foreign property includes shares received under the Plan and may include unvested RSUs.  Form T1135 must be filed by April 30 of the following year. You should consult with your personal tax advisor for additional information about your reporting obligations on Form T1135.

 

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