Document:

Exhibit 4.5

 

DESCRIPTION OF THE REGISTRANT’S
SECURITIES REGISTERED PURSUANT

TO SECTION 12 OF THE SECURITIES EXCHANGE ACT OF 1934

 

As of the date of filing of the Annual
Report on Form 10-K for the year ended December 31, 2019, Sysorex’s class of common stock is registered under Section 12
of the Securities Exchange Act of 1934, as amended (the “Exchange Act”).

 

The following description of our common
stock is a summary and does not purport to be complete. It is subject to and qualified in its entirety by reference to our articles
of incorporation, as amended, and our bylaws, as amended, each of which is incorporated herein by reference as an exhibit to the
Annual Report on Form 10-K filed with the Securities and Exchange Commission, of which this Exhibit 4.5 is a part. We encourage
you to read our articles of incorporation, our bylaws and the applicable provisions of the Nevada Revised Statutes for additional
information.

 

Authorized and Outstanding Capital Stock

 

As of March 6, 2020,
we had 510,000,000 authorized shares of capital stock, par value $0.00001 per share, of which 500,000,000 were shares of common
stock and 10,000,000 were shares of “blank check” preferred stock.

 

Common Stock

 

The holders of our
common stock will be entitled to one vote per share. In addition, the holders of our common stock will be entitled to receive pro
rata dividends, if any, declared by our board of directors out of legally available funds; however, we expect that the Sysorex
board of directors will retain earnings, if any, for operations and growth. Upon liquidation, dissolution or winding-up, the holders
of our common stock will be entitled to share ratably in all assets that are legally available for distribution. The holders of
our common stock will have no preemptive, subscription, redemption or conversion rights. The rights, preferences and privileges
of holders of our common stock are subject to, and may be adversely affected by, the rights of the holders of any series of preferred
stock, which may be designated solely by action of our board of directors and issued in the future.

 

Anti - takeover Provisions in Sysorex’s
Articles of Incorporation and Bylaws

 

Authorized But Unissued Preferred Stock

 

As discussed above,
we will be authorized to issue a total of 10,000,000 shares of preferred stock. Our articles of incorporation provide that the
board of directors may issue preferred stock by resolution, without any action of the stockholders. In the event of a hostile takeover,
the board of directors could potentially use this preferred stock to preserve control.

 

Amending the Bylaws

 

Our articles of incorporation
authorize the board, exclusively, to adopt, amend or repeal our bylaws.

 

Special Meetings of Stockholders

 

Our articles of incorporation
provide that special meetings of our stockholders may be called at any time only by (i) the Board of Directors, (ii) any two directors,
(iii) the Chairperson of the Board or (iv) the Chief Executive Officer or the President together with one non-employee director.
Stockholders may not call a special meeting for any purpose.

 

Filling Vacancies

 

Our articles of incorporation
provide that, subject to the rights, if any, of the holders of shares of preferred stock then outstanding, newly created directorships
resulting from any increase in the number of directors or any vacancy on the board of directors resulting from death, resignation,
disqualification, removal or other cause shall be filled solely by the affirmative vote of a majority of the remaining directors
then in office, even though less than a quorum, or by a sole remaining director.

 

     

     

    

 

Removal of Directors

 

The provisions of our
bylaws may make it difficult for our stockholders to remove one or more of our directors. Our bylaws provide that the entire board
of directors, or any individual director, may be removed from office at any special meeting of stockholders called for such purpose
by vote of the holders of two-thirds of the voting power entitling the stockholders to elect directors in place of those to be
removed. Our bylaws also provide that when the holders of the shares of any class or series voting as a class or series are entitled
to elect one or more directors, any director so elected may be removed only by the applicable vote of the holders of the shares
of that class or series.

 

Board Action Without Meeting

 

Our bylaws provide
that the board may take action without a meeting if all the members of the board consent to the action in writing. Board action
through consent allows the board to make swift decisions, including in the event that a hostile takeover threatens current management.

 

No Cumulative Voting

 

Neither our bylaws
nor our articles of incorporation provide the right to cumulate votes in the election of directors. This provision means that the
holders of a plurality of the shares voting for the election of directors can elect all of the directors. Non-cumulative voting
makes it more difficult for an insurgent minority stockholder to elect a person to the board of directors.

 

Limitations on Liability, Indemnification
of Officers and Directors and Insurance

 

The Nevada Revised
Statutes provide that we may indemnify our officers and directors against losses or liabilities which arise in their corporate
capacity. The effect of these provisions could be to dissuade lawsuits against our officers and directors.

 

The Nevada Revised
Statutes Section 78.7502 provides that:

 

(1) A
corporation may indemnify any person who was or is a party or is threatened to be made a party to any threatened, pending or completed
action, suit or proceeding, whether civil, criminal, administrative or investigative, except an action by or in the right of the
corporation, by reason of the fact that he is or was a director, officer, employee or agent of the corporation, or is or was serving
at the request of the corporation as a director, officer, employee or agent of another corporation, partnership, joint venture,
trust or other enterprise, against expenses, including attorneys’ fees, judgments, fines and amounts paid in settlement actually
and reasonably incurred by him in connection with the action, suit or proceeding if the person: (a) is not liable pursuant
to NRS 78.138; or (b) acted in good faith and in a manner which he reasonably believed to be in or not opposed to the best interests
of the corporation, and, with respect to any criminal action or proceeding, had no reasonable cause to believe his conduct was
unlawful. The termination of any action, suit or proceeding by judgment, order, settlement, conviction or upon a plea of nolo contendere
or its equivalent, does not, of itself, create a presumption that the person is liable pursuant to NRS 78.138 or did not act in
good faith and in a manner which he reasonably believed to be in or not opposed to the best interests of the corporation, or that,
with respect to any criminal action or proceeding, he had reasonable cause to believe that his conduct was unlawful.

 

(2) A
corporation may indemnify any person who was or is a party or is threatened to be made a party to any threatened, pending or completed
action or suit by or in the right of the corporation to procure a judgment in its favor by reason of the fact that he is or was
a director, officer, employee or agent of the corporation, or is or was serving at the request of the corporation as a director,
officer, employee or agent of another corporation, partnership, joint venture, trust or other enterprise against expenses, including
amounts paid in settlement and attorneys’ fees actually and reasonably incurred by him in connection with the defense or
settlement of the action or suit if the person: (a) is not liable pursuant to NRS 78.138; or (b) acted in good faith and in
a manner which he reasonably believed to be in or not opposed to the best interests of the corporation. Indemnification may not
be made for any claim, issue or matter as to which such a person has been adjudged by a court of competent jurisdiction, after
exhaustion of all appeals therefrom, to be liable to the corporation or for amounts paid in settlement to the corporation, unless
and only to the extent that the court in which the action or suit was brought or other court of competent jurisdiction determines
upon application that in view of all the circumstances of the case, the person is fairly and reasonably entitled to indemnity for
such expenses as the court deems proper.

 

    2

     

    

 

(3) To
the extent that a director, officer, employee or agent of a corporation has been successful on the merits or otherwise in defense
of any action, suit or proceeding referred to in subsections 1 and 2, or in defense of any claim, issue or matter therein, the
corporation shall indemnify him against expenses, including attorneys’ fees, actually and reasonably incurred by him in connection
with the defense.

 

The Nevada Revised
Statutes Section 78.751 provides that:

 

(1) Any
discretionary indemnification pursuant to NRS 78.7502, unless ordered by a court or advanced pursuant to Section 78.751 subsection
2, may be made by the corporation only as authorized in the specific case upon a determination that indemnification of the director,
officer, employee or agent is proper in the circumstances. The determination must be made: (a) by the stockholders; (b) by the
board of directors by majority vote of a quorum consisting of directors who were not parties to the action, suit or proceeding;
(c) if a majority vote of a quorum consisting of directors who were not parties to the action, suit or proceeding so orders, by
independent legal counsel in a written opinion; or (d) if a quorum consisting of directors who were not parties to the action,
suit or proceeding cannot be obtained, by independent legal counsel in a written opinion.

 

(2) The
articles of incorporation, the bylaws or an agreement made by the corporation may provide that the expenses of officers and directors
incurred in defending a civil or criminal action, suit or proceeding must be paid by the corporation as they are incurred and in
advance of the final disposition of the action, suit or proceeding, upon receipt of an undertaking by or on behalf of the director
or officer to repay the amount if it is ultimately determined by a court of competent jurisdiction that he is not entitled to be
indemnified by the corporation. The provisions of this subsection do not affect any rights to advancement of expenses to which
corporate personnel other than directors or officers may be entitled under any contract or otherwise by law.

 

(3) The
indemnification pursuant to NRS 78.7502 and advancement of expenses authorized in or ordered by a court pursuant to this section:
(a) does not exclude any other rights to which a person seeking indemnification or advancement of expenses may be entitled under
the articles of incorporation or any bylaw, agreement, vote of stockholders or disinterested directors or otherwise, for either
an action in his official capacity or an action in another capacity while holding his office, except that indemnification, unless
ordered by a court pursuant to NRS 78.7502 or for the advancement of expenses made pursuant to subsection 2 above, may not be made
to or on behalf of any director or officer if a final adjudication establishes that his acts or omissions involved intentional
misconduct, fraud or a knowing violation of the law and was material to the cause of action. A right to indemnification or to advancement
of expenses arising under a provision of the articles of incorporation or any bylaw is not eliminated or impaired by an amendment
to such provision after the occurrence of the act or omission that is the subject of the civil, criminal, administrative or investigative
action, suit or proceeding for which indemnification or advancement of expenses is sought, unless the provision in effect at the
time of such act or omission explicitly authorizes such elimination or impairment after such action or omission has occurred; (b)
continues for a person who has ceased to be a director, officer, employee or agent and inures to the benefit of the heirs, executors
and administrators of such a person.

 

Our articles of incorporation
and bylaws include provisions that indemnify, to the fullest extent allowable under the Nevada Revised Statutes, the personal liability
of directors or officers for monetary damages for actions taken as a director or officer of Sysorex, or for serving at the request
of Sysorex as a director or officer or another position at another corporation or enterprise, as the case may be. Our articles
of incorporation and bylaws also provide that Sysorex must indemnify and advance reasonable expenses to its directors and officers,
subject to its receipt of an undertaking from the indemnified party as may be required under the Nevada Revised Statutes. Sysorex’s
bylaws expressly authorize Sysorex to carry insurance to protect Sysorex’s directors and officers against any liability asserted
against such person and incurred in any such capacity or arising out of such status, whether or not Sysorex would have the power
to indemnify such person.

 

    3

     

    

 

The limitation of liability
and indemnification provisions in Sysorex’s articles of incorporation and bylaws may discourage stockholders from bringing
a lawsuit against directors for breach of their fiduciary duty. These provisions may also have the effect of reducing the likelihood
of derivative litigation against Sysorex’s directors and officers, even though such an action, if successful, might otherwise
benefit Sysorex and its stockholders. However, these provisions do not limit or eliminate Sysorex’s rights, or those of any
stockholder, to seek non-monetary relief such as injunction or rescission in the event of a breach of a director’s duty of
care. The provisions do not alter the liability of directors under the federal securities laws. In addition, your investment may
be adversely affected to the extent that, in a class action or direct suit, Sysorex pays the costs of settlement and damage awards
against directors and officers pursuant to these indemnification provisions. There is currently no pending material litigation
or proceeding against any Sysorex directors, officers or employees for which indemnification is sought.

 

In addition, we intend
to enter into separate indemnification agreements with our directors and executive officers, in addition to the indemnification
provided for in our articles of incorporation and bylaws. These agreements, among other things, require us to indemnify our directors
and executive officers for certain expenses, including attorneys’ fees, judgments, penalties fines and settlement amounts
actually and reasonably incurred by a director or executive officer in any action or proceeding arising out of their services as
one of our directors or executive officers, or any other entity to which the person provides services at our request. We believe
that these charter provisions and indemnification agreements are necessary to attract and retain qualified persons such as directors
and officers.

 

Authorized but Unissued Shares

 

Our authorized but
unissued shares of common stock and preferred stock will be available for future issuance without your approval. We may use additional
shares for a variety of purposes, including future public offerings to raise additional capital, to fund acquisitions and as employee
compensation. The existence of authorized but unissued shares of common stock and preferred stock could render more difficult or
discourage an attempt to obtain control of Sysorex by means of a proxy contest, tender offer, merger or otherwise.

 

Listing

 

Our
shares of common stock are quoted on the OTCQB market of the OTC Markets Group, Inc. under the symbol “SYSX.”

 

Transfer Agent and Registrar

 

The transfer agent
and registrar for our common stock is Computershare Trust Company, N.A.

 

 

4Exhibit
10.1

 

EXECUTIVE
TRANSITION AND RELEASE AGREEMENT

 

This
Transition and Release Agreement (the “Transition Agreement”) is entered into as of March 28, 2020,
by and between Andrew Borene (“Executive”) and Cipherloc Corporation, a Texas corporation (the “Company”).
The signatories to this Agreement will be referred to collectively as the “Parties” and individually
as a “Party.”

 

WHEREAS,
Executive has been employed by the Company as its Chief Executive Officer and President since November 25, 2019, pursuant
to the terms of that certain Executive Agreement made by and between the Parties, effective as of November 25, 2019 (the “Executive
Agreement”);

 

WHEREAS,
Executive has served as a member of the Company’s Board of Directors (the “Board”) since December
20, 2019;

 

WHEREAS,
an unforeseen national pandemic emergency, combined with unprecedented economic challenges, have created conditions requiring
mutual sacrifice to support the Company’s cost-reduction efforts;

 

WHEREAS,
because of the aforementioned national emergency and economic challenges (and not because of any performance issues), the Parties
have agreed that Executive will be separated from the Company, effective March 28, 2020 (the “Separation Date”);

 

WHEREAS,
Executive has agreed to accept reduced severance benefits, among other things, that might otherwise be due to him under the terms
of the Executive Agreement in order to allow the Company to conserve its limited resources, to allow the Company to make payments
of severance compensation to other employees, and to permit Executive to transition out of his current roles without delay;

 

WHEREAS,
Executive and the Company desire, pursuant to the terms and conditions of this Transition Agreement, to enter into this Transition
Agreement to set forth the Parties’ rights and obligations existing as of and after the Separation Date.

 

NOW
THEREFORE, in consideration of the premises, the mutual promises and covenants contained herein, and for other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, Executive and the Company hereby AGREE AS FOLLOWS:

 

1.
Release and Waiver Agreement. The Parties acknowledge and understand that this Transition Agreement is a release and
waiver contract, and that this document is legally binding. The Parties acknowledge and understand that this Agreement applies
only to claims which accrue or have accrued prior to the Effective Date (as that term is defined below).

 

2.
Separation/Resignation as Board Member. Executive and the Company acknowledge that Executive’s employment with
the Company shall be deemed to have concluded on the Separation Date. Additionally, in return for the Company’s execution
of this Transition Agreement, Executive hereby waives any “severance” or “company sale or liquidation bonus”
obligations set forth in any agreement between Executive and the Company, including any such obligations set forth in the Executive
Agreement, as well as any stock options he may have been awarded or entitled to receive under the terms of any agreement between
Executive and the Company. Additionally, Executive agrees to resign from the Board no later than twenty-four (24) hours after
the Effective Date (as that term is defined below) and, further, he agrees to execute any documents provided by the Company to
effectuate such resignation.

 

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3.
Review Period; Revocation Period. Executive understands that he has twenty-one (21) calendar days from March 28, 2020
(the “Delivery Date”) to decide whether or not to sign this Transition Agreement (the “Consideration
Period”), during which time Executive may seek counsel. The Parties agree that any changes to this Transition
Agreement after the Delivery Date, whether material or immaterial, will not restart the running of the Consideration Period. Executive
can accept this Transition Agreement at any time before the close of business on the 21st day after the Delivery Date
by signing and returning it (via US post, overnight delivery, or hand delivery (to 2200 Ross Avenue, 24th Floor, Dallas,
TX 75201)) to the attention of Stephen E. Fox, or by electronic mail (to sfox@sheppardmullin.com). Executive acknowledges and
understands that he may revoke or cancel his acceptance of this Transition Agreement by so notifying Stephen E. Fox in writing
via US post, overnight delivery, or hand delivery or by electronic mail (to the addresses set forth in this Section 3)
no later than seven (7) days after Executive returns an executed version of this Transition Agreement (the “Revocation
Period”). Executive understands and acknowledges that, if he revokes his acceptance of this Transition Agreement
within the Revocation Period, he will not receive any of the consideration set forth in this Transition Agreement, and this Transition
Agreement will be void. If Executive does not revoke his acceptance within the Revocation Period, this Transition Agreement will
become effective and enforceable on the eighth calendar day after Executive returns an executed version of the Transition Agreement
to Stephen E. Fox (at the addresses set forth in this Section 3) (the “Effective Date”).

 

4.
Separation Consideration to Executive. In exchange for the promises made, covenants contained, and consideration provided
by Executive in this Transition Agreement, and for other good and valuable consideration, the receipt and sufficiency of which
is hereby acknowledged, the Company agrees to provide the following monetary benefits and other consideration to Executive:

 

A.
The Company agrees to pay Executive the total sum of $182,000.00, less deductions for applicable taxes, in one lump sum payment
24 hours after the Effective Date. The consideration referenced in this Section 4(A) shall be referred to herein as the
“Separation Consideration”.

 

B.
If Executive takes any legal action to challenge the enforceability of this Transition Agreement for any reason, including,
without limitation, that Executive did not knowingly or voluntarily enter into this Transition Agreement, Executive agrees that
he will first return to the Company the full amount of the Separation Consideration received by him under this Transition Agreement.

 

C.
Executive acknowledges that the Separation Consideration does not constitute an “exit incentive or other employment
termination program offered to a group or class of Executives” within the meaning of federal law. Moreover, Executive acknowledges
that the Separation Consideration represents good and sufficient consideration for the promises set forth in this Transition Agreement,
including the promises set forth in Section 5.

 

D.
Indemnification for Specific Acts, Omissions and Events. In addition to the Separation Consideration, the Parties agree
that, subject to applicable law, Executive shall be provided indemnification as permitted by the Company’s governing documents,
including coverage, if applicable, under any directors and officers insurance policies, with such indemnification determined by
the Company in good faith based on principles consistently applied (subject to such limited exceptions as the Company may approve
in cases of hardship) and on terms no less favorable than those provided to any other Company executive officer or director. Such
rights shall include, to the extent permitted by applicable law, the right to be paid by the Company, on terms no less favorable
than those provided to any other Company executive officer or director, the legal fees that may arise in defending individual
claims against Executive made in connection with his role as an officer or director of the Company and to which Executive is entitled
to in advance of a final disposition. The foregoing advancement shall be subject to (i) Executive granting an ‘allied-litigant’
privilege for the Company and its attorneys and (ii) the receipt by the Company of an undertaking by Executive in form reasonably
satisfactory to the Company to repay such amounts, or a portion thereof, if it shall ultimately be adjudicated that Executive
is not entitled to be indemnified by the Company pursuant hereto or as otherwise permitted by law. It is expressly understood
and agreed by the parties hereto that the Executive shall not be liable for any act or matters arising out of any act committed
by Company officers prior to, or after, the Executive’s tenure at the Company.

 

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E.
General Release by the Company. The Company, for itself, its current and former parent, subsidiary, affiliated, and
related corporations, firms, associations, partnerships, and entities, their successors and assigns, and the current and former
owners, shareholders, directors, officers, employees, agents, attorneys, representatives, and insurers of said corporations, firms,
associations, partnerships, and entities, and their guardians, successors, assigns, heirs, executors, administrators and insurers
IRREVOCABLY and UNCONDITIONALLY RELEASES, ACQUITS, AND FOREVER DISCHARGES Executive, his attorneys, heirs, assigns, successors,
executors and administrators (hereinafter collectively referred to as “Executive Releasees”), from any
and all claims, complaints, grievances, liabilities, obligations, promises, agreements, damages, causes of action, rights, debts,
demands, controversies, costs, losses, damages, and expenses (including attorney’s fees and expenses) whatsoever, other
than any arising under this Agreement, under any municipal, local, state, or federal law, common law or statute, whether arising
in contract or tort whether known or unknown and whether connected with the employment of Employee by Company, or the termination
thereof, or not, which existed or may have existed prior to, or contemporaneously with, the execution of this Agreement.

 

F.
Scope of Release. Executive acknowledges and agrees that the Company is not waiving or releasing any rights or claims
that may arise after the Effective Date, including Claims (as that term is defined below) arising from or related to a breach
of this Transition Agreement; and (ii) the Company is not waiving or releasing any rights or claims which cannot be waived by
law.

 

G.
Non-Disparagement. The Company’s officers and members of the Board will not engage in any conduct or communications
(verbal or written) which denigrates, disparages, or harms the personal reputation of Executive. Such conduct shall include, but
not be limited to, any disparaging, defamatory, or negative statements, comments or opinions made verbally or in writing about
Executive, including disparaging, defamatory, or negative statements, comments or opinions concerning Executive’s method
of doing business or employment practices. The restrictions in this Section 4(H) shall not apply to any responses the Company
is required to make in compliance with applicable law.

 

5.
Consideration to the Company. In exchange for the promises made, covenants contained, and consideration provided by
the Company in this Transition Agreement, and for other good and valuable consideration, the receipt and sufficiency of which
is hereby acknowledged, Executive agrees to the following terms:

 

A.
Reduction of Severance Payment. Executive agrees to accept the Separation Consideration in lieu of any severance or
separation payments he might have been entitled to receive under the terms of the Executive Agreement.

 

B.
Final Wages and Expense Reimbursement. Aside from future payment of the Separation Consideration, Executive acknowledges
and agrees that, as to the Delivery Date, he has received all wages, bonuses, commission payments, and vacation and/or paid-time
off payments due him for work performed through the Separation Date. Further, as of the Separation Date, he has submitted for
reimbursement of any and all business expenses incurred during and in connection with his employment with the Company, and the
Company agrees that it will pay those expenses on the March 31, 2020 payroll. Executive further affirms and agrees that he is
waiving any rights under the terms of the Executive Agreement to receive any commissions, bonuses, or paid time off that may have
accrued as of the Separation Date.

 

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C.
Releases.

 

(1)
General Release by Executive. Executive, individually and on behalf of his descendants, dependents, heirs, executors,
trustees, administrators, assigns, and successors, knowingly and voluntarily releases and forever discharges the Released Parties
(as defined below) from any and all manner of actions, causes of action, suits, debts, contracts, agreements, promises, liability,
claims, demands, damages, compensation, loss, cost, or expense, of any nature whatsoever, known or unknown, in law or in equity
(hereinafter “Claims”), which Executive now has or may have against the Company, its divisions, subsidiaries,
and related or affiliated entities, and each of their associates, owners, representatives, trustees, shareholders, members, directors,
officers, partners, employees, insurers, contractors, agents, and attorneys, past or present, and all persons acting by, through,
under, or in concert with any of them, and all predecessors, successors, and assigns thereof (collectively the “Released
Parties”) arising out of, based upon, or indirectly or directly related to any matter, cause, or thing that occurs,
accrues, or otherwise exists on or before the Effective Date of this Agreement. Claims released by Executive include, without
limitation, claims relating to or arising out of (i) Executive’s hiring, compensation, benefits, and employment with the
Company; (ii) Executive’s transition from employment with the Company; (iii) any salary, claimed bonus, or any other compensation
or reimbursement payments, and (iv) all Claims arising out of Executive’s employment, known or unknown, that could or have
been asserted by him against the Company, at law or in equity, or sounding in contract, express or implied (including breach of
or any rights under any agreement to which Executive, on the one hand, and the Company, on the other hand, are parties), sounding
in tort, and any and all fraud-based Claims. Claims released specifically include, but are not limited to, any Claims arising
under any federal, state, or local laws of any jurisdiction that prohibit age, sex, race, national origin, color, disability,
religion, veteran, military status, sexual orientation, or any other form of discrimination, harassment, or retaliation, including,
without limitation, all Claims under the Age Discrimination in Employment Act of 1967, 29 U.S.C. § 621, et seq. (the
“ADEA”), the Americans with Disabilities Act, Title VII of the Civil Rights Act of 1964, the Rehabilitation
Act, the Equal Pay Act, the Family and Medical Leave Act, 42 U.S.C. §1981, the Civil Rights Act of 1991, the Civil Rights
Act of 1866 and/or 1871, the Sarbanes Oxley Act, the Occupational Safety and Health Act, the Uniform Services and Employment and
Re- Employment Rights Act, the Worker Adjustment Retraining Notification Act, the Lilly Ledbetter Act, the Genetic Information
and Nondiscrimination Act, the Employment Non-Discrimination Act, the National Labor Relations Act, the retaliation provisions
of the Fair Labor Standards Act, the Labor Management Relations Act, and any other similar or equivalent federal, state, or local
laws, all as amended; all Claims under any federal, state, local, municipal, or common law concerning whistleblower protection;
and all Claims arising under the Employee Retirement Income Security Act of 1974, as amended. This release is intended to apply
to any rights Executive may have under any Company policy or practice, any employment agreement that may exist between Executive
and the Company including any bonus, commission, or incentive plan, and all other compensation not specifically set forth herein.

 

(2)
ADEA Release. Executive acknowledges and agrees that his release and waiver of Claims also includes all Claims under the
ADEA, as amended, including by the Older Workers Benefit Protection Act, and any municipal, state, or federal law regarding age
discrimination. The following terms and conditions apply to and are part of the release of ADEA claims under this Agreement: (i)
Executive is not waiving or releasing a claim challenging the validity of his release and waiver of Claims based on the ADEA;
and (ii) Executive is not waiving or releasing any right or claim under the ADEA that may arise after the Effective Date of this
Agreement.

 

(3)
Covenant Not to Sue. Executive covenants and agrees that he will not initiate, or cause to be initiated, any action
or cause of action against any of the Released Parties in the future asserting any Claims covered by the release set forth herein.
Executive further agrees to indemnify the Released Parties for (i) any additional sum of money that any of them may hereafter
be compelled to pay Executive, and (ii) any of the Released Parties’ legal fees, costs, and expenses associated therewith,
on account of Executive bringing or allowing to be brought on his behalf any legal action based directly or indirectly upon the
claims covered by the release.

 

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(4)
No Interference with Rights. The Parties agree that nothing in this Transition Agreement shall be construed to limit
Executive’s ability to file a charge or complaint with the Equal Employment Opportunity Commission, the National Labor Relations
Board, the Occupational Safety and Health Administration, the Securities and Exchange Commission, or any other federal, state,
or local government agency or commission (collectively “Government Agency”). Further, the Parties agree
that this Transition Agreement does not limit Executive’s ability to communicate with any Government Agency or otherwise
participate in any investigation or proceeding that may be conducted by any Government Agency, including providing documents or
other information, without notice to Company.

 

(5)
Scope of Release. Executive acknowledges and agrees that (i) the consideration provided under this Agreement shall
be the sole relief to him for the released Claims, and Executive is not entitled to recover, and agrees to waive, any monetary
benefits or recovery against the Released Parties in connection with any charge filed with or investigation by any Government
Agency, without regard to who filed such charge or initiated such investigation; (ii) Executive is not waiving or releasing any
rights or claims that may arise after the Effective Date, including Claims arising from or related to a breach of this Transition
Agreement; and (iii) Executive is not waiving or releasing any rights or claims which cannot be waived by law, including, but
not limited to, his right to workers’ compensation or to pursue claims for vested pension benefits. However, Executive’s
release and waiver of Claims in this Agreement includes any Claims that currently exist and/or have been asserted by him in any
forum, venue, or judicial or administrative proceeding.

 

D.
Cooperation. Executive agrees to cooperate with the Company: (i) regarding the transition of any business matters Executive
handled or had involvement with on behalf of the Company; and (ii) in the defense or prosecution of any claims or actions now
in existence or which may be brought in the future against or on behalf of any of the Released Parties that relate in any way
to events or occurrences that transpired while Executive was employed by the Company. Executive’s cooperation in connection
with such claims or actions will include, but not be limited to, being available to meet with the Company’s counsel to prepare
for discovery or any legal proceeding, and to act as a witness on behalf of the Company at mutually convenient times. The Company
will reimburse Executive for reasonable, pre-approved out-of-pocket costs and expenses (but not including attorneys’ fees
for a personal attorney, or compensation for time that Executive incurs in connection with fulfilling his obligations under this
Section 5(D) to the extent permitted by law). Notwithstanding anything herein to the contrary, nothing in this Transition Agreement
is intended to prohibit, restrict, or otherwise discourage Executive from making reports of unsafe, wrongful, or illegal conduct
to any agency or branch of the local, state, or federal government, including law enforcement authorities, the SEC, or any other
lawful authority. Specifically, nothing in this Transition Agreement shall (i) prohibit Executive from making reports of possible
violations of federal law or regulation to any governmental agency or entity in accordance with the provisions of and rules promulgated
under Section 21F of the Securities Exchange Act of 1934 or Section 806 of the Sarbanes-Oxley Act of 2002, or of any other whistleblower
protection provisions of state or federal law or regulation, or (ii) require notification or prior approval by the Company of
any reporting described in clause (i).

 

E.
Non-Disparagement. Executive hereby agrees not engage in any conduct or communications (verbal or written) which denigrates,
disparages, or harms the business and/or personal reputation of the Company or any of the Released Parties. Such conduct shall
include, but not be limited to, any disparaging, defamatory, or negative statements, comments or opinions made verbally or in
writing by Executive about the Company, or its officers, directors, owners, shareholders, or employees, including disparaging,
defamatory, or negative statements, comments or opinions concerning the Company’s products, services, methods of doing business,
or employment practices. Executive will not discuss or otherwise disclose to anyone, including, but not limited to, the press
or media or any organization or individual associated with the press or media, any allegations of wrongdoing made against the
Company. The restrictions in this Section 5(E) shall not apply to any responses Executive is required to make in compliance
with applicable law.

 

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F.
Press Release Language. Executive shall have a right of prior review of and to provide comments upon any written language
used in Section 8K filings, press releases, or other public releases related to this mutually-agreed transition.

 

G.
Survival of Pre-Existing Obligations; Confirmation of Access to Company Confidential Information; Non-Disclosure Promise. Return
of Company Information.

 

(1)
Survival of Pre-Existing Obligations. Except as otherwise provided here, this Transition Agreement does not amend,
modify, restrict, alter or change in any way the terms set forth in the Confidentiality and Non-Competition Agreement, made effective
November 25, 2019, by and between the Company and Executive, which terms shall survive Executive’s termination, or in any
other agreement between the Parties addressing: (i) inventions, (ii) confidential and proprietary information, (iii) non-competition,
and/or (iv) non-solicitation.

 

(2)
Confirmation of Access to Company Confidential Information/Non-Disclosure Promise. During his employment with the Company,
Executive acknowledges and confirms that the Company provided him with access to certain proprietary information relevant to his
position and duties (and Executive acknowledges that, prior to his association with the Company, he was unfamiliar with such information),
as well as specialized training and instruction about the Company’s business relevant to his position and duties (collectively,
“Confidential Information”)1. Executive agrees that all Confidential Information is and
shall be the exclusive property of the Company. Executive further agrees that all Confidential Information made available to him
or that he conceives, creates, develops, reduces to paper, or compiles, either alone or with others, during the term of his association
with Employer, shall be the exclusive property of the Company. Executive further agrees to preserve in confidence and not disclose,
use, distribute, copy, publish, summarize or remove, after the termination of his association with the Company, any Confidential
Information.

 

 

1
“Confidential Information” is information acquired by Executive in the course and scope of his
activities for Employer (i) that is designated as “confidential” by the Company, or (ii) that federal or state law,
or the Company indicates through its policies, procedures, or other instructions, should not be disclosed to anyone outside of
the Company except through controlled means, or (iii) that is or should be reasonably understood by Executive to be confidential;
provided, however, that Confidential Information shall not include information that is generally available to the public
in its compiled form or that is properly obtained by Executive from a completely independent source under no obligation of confidentiality.
Confidential Information may be provided in any form, including electronic, oral, visual, or written form, whether or not it is
marked as being confidential. Confidential Information need not be a trade secret or know-how to be protected under this Agreement.
By way of illustration, but not limitation, Confidential Information includes any confidential information about the business,
methods, business plans, operations, products, processes, and services of the Company. Confidential Information shall also include,
without limitation, information pertaining to: (i) the identities of the Company’s customers or clients; (ii) the volume
of business and the nature of the business relationship between the Company and its customers or clients; (iii) the Company’s
billing practices, as well as the pricing of the Company’s products and services, including any deviations from its standard
pricing; (iv) information regarding the Company’s employees, including their identities, skills, talents, knowledge, experience,
compensation, and preferences; (v) the Company’s business plans and strategies, marketing and sales plans and strategies,
revenue, expense and profit projections, industry analyses, and any proposed or actual implemented technology changes; (vi) information
about the Company’s financial results and business condition; and (vii) computer programs, software, source code, and program
designs developed by or for the Company and/or tailored to its needs by its employees, independent contractors, consultants or
vendors. Confidential Information also includes any information found in documents provided to the Company by its customers or
clients. Confidential Information may be contained on the Company’s computer network, in computerized documents or files,
or in any written or printed documents, including written reports summarizing such information.

 

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H.
Return of Property. As of the Execution Date, Company acknowledges that Executive has returned all Company property
that is required to be returned.

 

6.
Miscellaneous.

 

A.
Entire Agreement. This Transition Agreement supersedes any and all prior agreements, arrangements, or understandings
between the Parties regarding the subject matter herein, other than any prior non-disclosure, non-competition, or non-solicitation
agreement, which is re-affirmed by Executive as consideration for this Transition Agreement. The Parties acknowledge and agree
that there have been no representations, promises, understandings, or agreements made by either Party as an inducement for the
other Party to enter into this Transition Agreement other than what are expressly set forth and contained in the terms of this
Transition Agreement.

 

B.
Severability. If any provision of this Transition Agreement shall be determined by a court of competent jurisdiction
to be void or unenforceable, the remaining provisions shall remain effective and legally binding, and the void or unenforceable
term shall be modified to the extent necessary to render it enforceable under applicable law.

 

C.
Modification. Except as otherwise provided herein, the Parties agree that alterations, amendments, modifications, or
changes to this Transition Agreement may only be made in a written document that specifically references this Transition Agreement
and is signed by an authorized representative of each Party. The Parties cannot orally agree to alter, amend, modify, or in any
way change the terms of this Transition Agreement. The Parties further agree that evidence of prior promises, commitments, agreements,
arrangements, or understandings cannot be used to attempt to alter, amend, modify, or in any way change the written terms of this
Transition Agreement.

 

D.
Reliance. Executive hereby represents and acknowledges that in signing this Transition Agreement, he does not rely,
and has not relied, upon any representation or statement not set forth in this Transition Agreement made by the Company or by
any of its employees, managers, officers, directors, agents, representatives, or attorneys with regard to the subject matter of
this Transition Agreement.

 

E.
Construction of Agreement/Counterparts. The Parties acknowledge and agree that this Transition Agreement shall not
be construed more favorably in favor of one Party than another based upon which Party drafted same, it being acknowledged and
agreed that the Parties all contributed substantially to the negotiation and preparation of this Transition Agreement. This Transition
Agreement can be executed in any number of counterparts, each of which shall be effective only upon delivery and thereafter shall
be deemed an original, and all of which shall be taken to be one and the same instrument for the same effect as if all Parties
hereto had signed the same signature page. A facsimile or e-mail copy of any Party’s signature is as legally binding as
the original signature.

 

F.
Binding Agreement/Non-Assignment of Claims. This Transition Agreement shall inure to the benefit of, be binding upon,
and be enforceable by Executive’s legal representatives. This Transition Agreement shall inure to the benefit of, be binding
upon, and be enforceable by the Released Parties. By signing this Transition Agreement, Executive represents and warrants that
he has not assigned to any third party any claim involving the Company or authorized any third party to assert on her behalf any
claims against the Company.

 

G.
Notices. All notices, requests, demands and other communications under this Transition Agreement shall be in writing
and delivered by electronic mail, courier or by registered or certified mail (return receipt requested) to the following addresses:

 

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If
to Executive:

 

Andrew
Borene

c/o
David S. Jonas, Attorney at Law

1751
Pinnacle Drive, Suite 1000

Tysons,
VA 22102

 

If
to CipherLoc Corporation, to:

 

Sheppard,
Mullin, Richter & Hampton LLP

2200 Ross Avenue, 24th Floor

Dallas,
Texas 75201

Attention:
Stephen Fox (sfox@sheppardmullin.com)

 

H.
Governing Law and Forum. It is the intention of the parties that the laws of the State
of Texas should govern the validity of this Transition Agreement, the construction of its
terms, and the interpretation of the rights and duties of the parties hereto without regard to any contrary conflicts of laws
principles or provisions of any state or jurisdiction. It is stipulated by both Parties that
Texas has a compelling state interest in the subject matter of this Transition Agreement,
although Executive has not had and will not have regular contact with Texas in the performance of this Transition Agreement.
Further, the Parties hereby irrevocably submit to the exclusive jurisdiction of any federal or state court located within
Travis County, Texas or, if a mandatory venue provision is applicable, to the jurisdiction of any other federal or state court
within the State of Texas required to hear such matter by any such applicable mandatory venue provision. The Parties hereby irrevocably
waive, to the fullest extent permitted by applicable law, any objection which they may now or hereafter have to the laying of
venue of any such dispute brought in such court or any defense of inconvenient forum for the maintenance of such dispute. Each
of the Parties agrees that a judgment in any such dispute may be enforced in other jurisdiction by suit on the judgment or in
any other manner provided by law.

 

I.
Knowing and Voluntary Agreement. Executive acknowledges and agrees that (i) after he received a copy of this Transition
Agreement in writing, he has been granted a reasonable time to consider the terms of this Transition Agreement; (ii) he has personally
read this Transition Agreement; (iii) he fully understands its contents; and (iv) he enters into this Transition Agreement knowingly,
voluntarily, and after any consultations with his attorney or other advisor, as he deems appropriate.

 

PLEASE
READ CAREFULLY. THIS AGREEMENT INCLUDES

A
RELEASE OF ALL KNOWN AND UNKNOWN CLAIMS.

 

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IN
WITNESS WHEREOF, this Transition and Release Agreement has been executed by each of the listed Parties below:

 

	Andrew
    Borene	 	CipherLoc
    Corporation
	 	 	 
	/s/
    Andrew Borene	 	/s/
    Milton Mattox
	Signature	 	Signature
	 	 	 
	March
    28, 2020	 	Milton
    Mattox
	Date	 	Printed
    Name
	 	 	 
	 	 	Chief
    Operating Officer
	 	 	Title
	 	 	 
	 	 	March
    29, 2020
	 	 	Date

 

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