Document:

Exhibit 10.3

 

EXCHANGE
AGREEMENT

 

This
EXCHANGE AGREEMENT (the “Agreement”), dated as of July 15, 2020, is made by and between mPhase Technologies, Inc.,
a New Jersey corporation (“Company”) and Anshu Bhatnagar (“Holder”).

 

WHEREAS,
pursuant to that certain Common Stock Purchase Warrant Agreement (the “Warrant Agreement”) and the Transition Agreement
(the “Transition Agreement”) each by and between the Company and the Holder and each dated January 11, 2019, the Holder
is entitled to receive from the Company (i) the right to acquire 4% of the outstanding Common Stock of the Company at an exercise
price of $0.0001 per share, which will vest in full upon the date of grant, which grant shall occur each time the Company’s
revenue increase by $1,000,000, provided that such right will only vest up to the number of shares that would bring the total
amount of Holder’s beneficial ownership of the Company’s Common Stock, as calculated on January 11, 2019 pursuant
to Rule 13d-3 of the Securities Exchange Act of 1934, up to, but not in excess of, eighty percent (80%) of the fully diluted Common
Stock of the Company (the “Initial Warrants”) and (ii) the right to acquire the Common Stock of the Company that would
increase the Holder’s beneficial ownership of the Company’s Common Stock, as calculated on January 11, 2019 pursuant
to Rule 13d-3 of the Securities Exchange Act of 1934, and after taking into consideration any Initial Warrants, to eighty percent
(80%) of the outstanding shares of Common Stock of the Company, which right will vest in full upon the date of the grant which
shall occur when any of the following events occur:

	 	i.	the
    Company completes a stock or asset purchase of Scepter Commodities LLC; or
	 	ii.	the Company completes
    a stock or asset purchase of any other entity, either of which, in the aggregate, together with prior revenue increases achieved
    by the Company, shall result in the consolidated revenues of the Company being not less than $15,000,000; or
	 	iii.	the Company grows
    a similar business organically to include contracts generating revenues in excess of $15,000,000; or
	 	iv.	the Company meets
    the listing requirement of either the NYSE or NASDAQ on the filing of a Form 10Q.

 

(the “Subsequent Warrants”);

 

WHEREAS,
the Company has granted the Holder 2,620,899 shares (as adjusted for the 5,000 to 1 reverse stock split effective on May 22, 2019)
of the Company’s Common Stock as initial compensation pursuant to the terms of the Transition Agreement for beginning employment
with the Company as its Chief Executive Officer; and

 

WHEREAS,
Holder has earned and the Company has granted the Holder Initial Warrants to purchase 37,390,452 shares (as adjusted for the 5,000
to 1 reverse stock split effective on May 22, 2019) of the Company’s Common Stock pursuant to the terms of the Transition
Agreement and the Warrant Agreement; and

 

WHEREAS,
pursuant to the terms of the Transition Agreement and the Warrant Agreement, Holder will continue to be entitled in the future
to receive Initial Warrants if at any time Holder’s beneficial interest is less than eighty percent (80%) of the outstanding
shares of Common Stock of the Company; and

 

WHEREAS,
pursuant to the terms of the Transition Agreement, the Company issued to Holder warrants to purchase 5,650,708 shares of the Company’s
Common Stock for a purchase price of $0.50 per share (the “Additional Warrants,” and together with the Initial Warrants
and the Subsequent Warrants, the “Warrants”)); and

 

WHEREAS,
the Company desires that Holder forfeit for cancellation and termination the Initial Warrants and the Additional Warrants
and any right to receive Warrants in the future under the Transition Agreement and the Warrant Agreement in exchange for
the issuance by the Company to Holder of 37,390,452 shares of the Company’s Common Stock (the “Exchange Stock”)
which transaction is intended to make the Company’s capitalization more attractive to potential investors and to
remove the uncertainty associated with any future grants of Warrants; and

 

    	 	- 1 -	 

     

    

 

WHEREAS,
subject to the terms and conditions set forth in this Agreement, the Holder and Company desire to cancel and terminate the Transition
Agreement and the Warrant Agreement.

 

NOW,
THEREFORE, IN CONSIDERATION of the mutual covenants contained in this Agreement, and for other good and valuable consideration
the receipt and adequacy of which are hereby acknowledged, the Company and Holder agree as follows:

 

1.
Terms of the Exchange. The Holder and Company irrevocably agree hereby, effective as of the Effective Date (as defined below),
and without any further action on their part, that the Transition Agreement, Warrant Agreement, and the Warrants shall be cancelled
and terminated, as applicable, and in exchange and full satisfaction therefor, the Holder shall be issued 37,390,452 shares of
the Company’s Common Stock (“Holder’s Stock”) pursuant to the terms and conditions of this Agreement.

 

2.
Waiver and Termination. Effective as of the date hereof, the Holder hereby waives any rights pursuant to the Transition
Agreement and the Warrant Agreement, and the Company and the Holder agree and acknowledge that the Transition Agreement and the
Warrant Agreement shall be cancelled and terminated, as applicable, as of the Effective Date and neither party shall have any
further rights or obligations under the Transition Agreement and the Warrant Agreement as of the Effective Date.

 

3.
Closing. Upon satisfaction of the conditions set forth herein and upon receipt of all closing deliverables set forth in
this Section 3, unless waived by the Company and the Holder, a closing (the date of such closing sometimes referred to herein
as the “Closing Date” or the “Effective Date”) shall occur at the offices of mPhase Technologies, Inc.,
9841 Washingtonian Blvd., Suite 390, Gaithersburg, MD 20878, or such other location as the parties shall mutually agree. On or
before the Closing Date, Holder shall deliver to the Company the Transition Agreement, as applicable, and the Company shall deliver
to Holder certificates representing 37,390,452 shares of Common Stock. On the Effective Date, any and all obligations of the Company
to Holder under the Transition Agreement shall be fully satisfied, the Transition Agreement shall be cancelled and of no further
force or effect and Holder will have no remaining rights, powers, privileges, remedies or interests in or pursuant to the Transition
Agreement.

 

4.
Further Assurances. Each party shall do and perform, or cause to be done and performed, all such further acts and things,
and shall execute and deliver all such other agreements, certificates, instruments and documents, as any other party may reasonably
request in order to carry out the intent and accomplish the purposes of this Agreement and the consummation of the transactions
contemplated hereby.

 

5.
Representations and Warranties of the Holder. The Holder represents and warrants as of the date hereof and as of the closing
to the Company as follows:

 

a.
Authorization; Enforcement. The Holder has the requisite power and authority to enter into and to consummate the transactions
contemplated by this Agreement and any other documents or agreements entered into by the parties hereto in connection with the
transactions contemplated by this Agreement (collectively, the “Transaction Documents”) and otherwise to carry out
its obligations hereunder and thereunder. The execution and delivery of this Agreement by the Holder and the consummation by it
of the transactions contemplated hereby and thereby have been duly authorized by all necessary action on the part of the Holder
and no further action is required by the Holder. This Agreement has been (or upon delivery will have been) duly executed by the
Holder and, when delivered in accordance with the terms hereof, will constitute the valid and binding obligation of the Holder
enforceable against the Holder in accordance with its terms, except: (i) as limited by general equitable principles and applicable
bankruptcy, insolvency, reorganization, moratorium and other laws of general application affecting enforcement of creditors’
rights generally, (ii) as limited by laws relating to the availability of specific performance, injunctive relief or other equitable
remedies and (iii) insofar as indemnification and contribution provisions may be limited by applicable law.

 

    	 	- 2 -	 

     

    

 

b.
Tax Advisors. The Holder has reviewed with its own tax advisors the U.S. federal, state, local and foreign tax consequences
of the transactions contemplated by this Agreement. With respect to such matters, the Holder relies solely on such advisors and
not on any statements or representations of the Company or any of its agents, written or oral. The Holder understands that it
(and not the Company) shall be responsible for its own tax liability that may arise as a result of this investment or the transactions
contemplated by this Agreement.

 

c.
Information Regarding Holder. Holder is an “accredited investor”, as such term is defined in Rule 501 of Regulation
D promulgated by the U.S. Securities and Exchange Commission (the “Commission”) under the Securities Act of 1933,
as amended (the “Securities Act”), is experienced in investments and business matters, has made investments of a speculative
nature and has purchased securities of companies in private placements in the past and, with its representatives, has such knowledge
and experience in financial, tax and other business matters as to enable the Holder to utilize the information made available
by the Company to evaluate the merits and risks of and to make an informed investment decision with respect to the proposed purchase,
which represents a speculative investment. Holder has the authority and is duly and legally qualified to purchase and own the
Common Stock. Holder is able to bear the risk of such investment for an indefinite period and to afford a complete loss thereof.

 

d.
Legend. The Holder understands that the Common Stock have been issued pursuant to an exemption from registration or qualification
under the Securities Act and applicable state securities laws, and except as set forth below, the Common Stock shall bear any
legend as required by the “blue sky” laws of any state and a restrictive legend in substantially the following form
(and a stop-transfer order may be placed against transfer of such stock certificates):

 

THE
SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “ACT”),
OR APPLICABLE STATE SECURITIES LAWS. THESE SECURITIES ARE SUBJECT TO RESTRICTIONS ON TRANSFERABILITY AND RESALE AND MAY NOT BE
OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED, EXCEPT AS PERMITTED UNDER THE ACT AND ANY APPLICABLE STATE SECURITIES LAWS, PURSUANT
TO REGISTRATION OR EXEMPTION THEREFROM, OR UNLESS THE COMPANY HAS RECEIVED AN OPINION OF COUNSEL SATISFACTORY TO THE COMPANY AND
ITS COUNSEL THAT SUCH REGISTRATION IS NOT REQUIRED.

 

e.
Removal of Legends. Certificates evidencing the Common Stock shall not be required to contain the legend set forth in Section
5(d) above or any other legend (i) while a registration statement covering the resale of such Common Stock is effective under
the Securities Act, (ii) following any sale of such Common Stock pursuant to Rule 144 (as defined herein) (assuming the transferor
is not an affiliate of the Company), (iii) if such Common Stock is eligible to be sold, assigned or transferred under Rule 144
and the Holder is not an affiliate of the Company (provided that the Holder provides the Company with reasonable assurances that
such Common Stock is eligible for sale, assignment or transfer under Rule 144), (iv) in connection with a sale, assignment or
other transfer (other than under Rule 144), provided that the Holder provides the Company with an opinion of counsel to the Holder,
in a generally acceptable form, to the effect that such sale, assignment or transfer of the Common Stock may be made without registration
under the applicable requirements of the Securities Act or (v) if such legend is not required under applicable requirements of
the Securities Act (including, without limitation, controlling judicial interpretations and pronouncements issued by the Commission).
If a legend is not required pursuant to the foregoing, the Company shall no later than five (5) business days following the delivery
by the Holder to the Company or the transfer agent (with notice to the Company) of a legended certificate representing such Common
Stock (endorsed or with stock powers attached, signatures guaranteed, and otherwise in form necessary to affect the reissuance
and/or transfer, if applicable), together with any other deliveries from the Holder as may be required above in this Section 5(e),
as directed by the Holder, either credit the aggregate number of Common Stock to which the Holder shall be entitled to the Holder’s
or its designee’s balance account with DTC through its Deposit/Withdrawal at Custodian system or issue a certificate without
a legend for the aggregate number of Common Stock to which the Holder shall be entitled. The Company shall be responsible for
any transfer agent fees or DTC fees with respect to any issuance of Common Stock and the removal of any legends with respect to
any Common Stock in accordance herewith, including, but not limited to, fees for the opinions of counsel rendered to the transfer
agent in connection with the removal of any legends.

 

    	 	- 3 -	 

     

    

 

f.
Restricted Securities. The Holder understands that: (i) the Common Stock has not been and will not be registered under
the Securities Act or any state securities laws and, consequently, Holder may have to bear the risk of owning the Common Stock
for an indefinite period of time because the Common Stock may not be offered for sale, sold, assigned or transferred unless (A)
subsequently registered thereunder, (B) the Holder shall have delivered to the Company (if requested by the Company) an opinion
of counsel to the Holder, in form reasonably acceptable to the Company, to the effect that such Common Stock to be sold, assigned
or transferred may be sold, assigned or transferred pursuant to an exemption from such registration, or (C) the Holder provides
the Company with reasonable assurance that such Common Stock can be sold, assigned or transferred pursuant to Rule 144 or Rule
144A promulgated under the Securities Act (or a successor rule thereto) (collectively, “Rule 144”); (ii) any sale
of the Common Stock made in reliance on Rule 144 may be made only in accordance with the terms of Rule 144, and further, if Rule
144 is not applicable, any resale of the Common Stock under circumstances in which the seller (or the Person (as defined herein)
through whom the sale is made) may be deemed to be an underwriter (as that term is defined in the Securities Act) may require
compliance with some other exemption under the Securities Act or the rules and regulations of the Commission promulgated thereunder;
and (iii) neither the Company nor any other Person is under any obligation to register the Common Stock under the Securities Act
or any state securities laws or to comply with the terms and conditions of any exemption thereunder.

 

g.
Investment Representations. Holder is acquiring the Common Stock for its own account for the purpose of investment and
not with a view to or for sale in connection with any distribution thereof, and has no present intention to effect, or any present
or contemplated plan, agreement, undertaking, arrangement, obligation, indebtedness, or commitment providing for, any distribution
of the Common Stock; and Holder has carefully reviewed the representations concerning the Company contained in this Agreement
and has made detailed inquiry concerning the Company, its business and its personnel.

 

h.
Certain Fees. No broker, finder or investment banker is entitled to any brokerage, finder or other fee or commission in
connection with the transactions contemplated by this Agreement based on arrangements made by Holder.

 

    	 	- 4 -	 

     

    

 

6.
Representations and Warranties of the Company. The Company hereby makes the following representations and warranties to
the Holder:

 

a.
Authorization; Enforcement. The Company has the requisite corporate power and authority to enter into and to consummate
the transactions contemplated by this Agreement and any other Transaction Documents to which the Company is a party and otherwise
to carry out its obligations hereunder and thereunder. The execution and delivery of this Agreement by the Company and the consummation
by it of the transactions contemplated hereby and thereby have been duly authorized by all necessary action on the part of the
Company and no further action is required by the Company, the Board of Directors of the Company or the Company’s stockholders
in connection therewith and no further filing, consent, or authorization is required by the Company, its Board of Directors or
its stockholders. This Agreement has been (or upon delivery will have been) duly executed by the Company and, when delivered in
accordance with the terms hereof, will constitute the valid and binding obligation of the Company enforceable against the Company
in accordance with its terms, except: (i) as limited by general equitable principles and applicable bankruptcy, insolvency, reorganization,
moratorium and other laws of general application affecting enforcement of creditors’ rights generally, (ii) as limited by
laws relating to the availability of specific performance, injunctive relief or other equitable remedies and (iii) insofar as
indemnification and contribution provisions may be limited by applicable law.

 

b.
Organization and Qualification. Each of the Company and its subsidiaries (the “Subsidiaries”) are entities
duly organized and validly existing and in good standing under the laws of the jurisdiction in which they are formed, and have
the requisite power and authorization to own their properties and to carry on their business as now being conducted and as presently
proposed to be conducted. Each of the Company and each of its Subsidiaries is duly qualified as a foreign entity to do business
and is in good standing in every jurisdiction in which its ownership of property or the nature of the business conducted by it
makes such qualification necessary, except to the extent that the failure to be so qualified or be in good standing would not
have a Material Adverse Effect. As used in this Agreement, “Material Adverse Effect” means any material adverse effect
on (i) the business, properties, assets, liabilities, operations (including results thereof) or condition (financial or otherwise)
of the Company or any Subsidiary, individually or taken as a whole, (ii) the transactions contemplated hereby or in any of the
other Transaction Documents or (iii) the authority or ability of the Company to perform any of its obligations under any of the
Transaction Documents. Other than its Subsidiaries, there is no Person in which the Company, directly or indirectly, owns capital
stock or holds an equity or similar interest. “Person” means an individual, a limited liability company, a partnership,
a joint venture, a corporation, a trust, an unincorporated organization, any other entity and any governmental entity or any department
or agency thereof.

 

c.
No Conflict. The execution, delivery and performance of the Transaction Documents by the Company and the consummation by
the Company of the transactions contemplated hereby and thereby (including, without limitation, the issuance of the Common Stock)
will not (i) result in a violation of the Company’s Amended and Restated Certificate of Incorporation, as amended, or other
organizational documents of the Company or any of its Subsidiaries, any capital stock of the Company or any of its Subsidiaries
or Amended and Restated Bylaws of the Company or any of its Subsidiaries, (ii) conflict with, or constitute a default (or an event
which with notice or lapse of time or both would become a default) under, or give to others any rights of termination, amendment,
acceleration or cancellation of, any agreement, indenture or instrument to which the Company or any of its Subsidiaries is a party,
or (iii) result in a violation of any law, rule, regulation, order, judgment or decree (including foreign, federal and state securities
laws and regulations and the rules and regulations of The OTC Markets (the “Principal Market”)) applicable to the
Company or any of its Subsidiaries or by which any property or asset of the Company or any of its Subsidiaries is bound or affected
except, in the case of clause (ii) or (iii) above, to the extent such violations that would not reasonably be expected to have
a Material Adverse Effect.

 

d.
No Consents. Neither the Company nor any Subsidiary is required to obtain any consent from, authorization or order of,
or make any filing or registration with, any court, governmental agency or any regulatory or self-regulatory agency or any other
Person in order for it to execute, deliver or perform any of its respective obligations under or contemplated by the Transaction
Documents, in each case, in accordance with the terms hereof or thereof. All consents, authorizations, orders, filings and registrations
which the Company or any Subsidiary is required to obtain pursuant to the preceding sentence have been obtained or effected on
or prior to the date of this Agreement or, in respect of notices required or permitted to be filed with certain state and federal
securities commissions, which notices will be filed on a timely basis, and neither the Company nor any of its Subsidiaries is
aware of any facts or circumstances which might prevent the Company or any of its Subsidiaries from obtaining or effecting any
of the registration, application or filings contemplated by the Transaction Documents. Except as disclosed in any of the reports,
schedules, forms, statements or other documents required to be filed by the Company with the Commission under the Securities Act
or the Exchange Act of 1934, as amended (the “Exchange Act”), including the rules and regulations promulgated thereunder,
including pursuant to Section 13(a) or 15(d) thereof (the foregoing materials, including the exhibits thereto and documents incorporated
by reference therein, being collectively referred to herein as the “SEC Reports”), the Company is not in violation
of the requirements of the Principal Market and has no knowledge of any facts or circumstances which could reasonably lead to
delisting or suspension of the Company’s common stock in the foreseeable future.

 

    	 	- 5 -	 

     

    

 

e.
Securities Law Exemptions. Assuming the accuracy of the representations and warranties of the Holder contained herein,
the offer and issuance by the Company of the Common Stock is exempt from registration under the Securities Act. The offer and
issuance of the Common Stock is exempt from registration under the Securities Act pursuant to the exemption provided by Section
3(a)(9) thereof. The Company covenants and represents to the Holder that neither the Company nor any of its Subsidiaries has received,
anticipates receiving, has any agreement to receive or has been given any promise to receive any consideration from the Holder
or any other Person in connection with the transactions contemplated by the Transaction Documents.

 

f.
Issuance of Common Stock. The issuance of the Common Stock is duly authorized and, upon issuance in accordance with the
terms of the Transaction Documents, shall be validly issued, fully paid and non-assessable and free from all liens, charges and
other encumbrances with respect to the issue thereof, other than as a result of any action of the Holder or under federal or state
securities laws.

 

g.
Transfer Taxes. As of the date of this Agreement, all share transfer or other taxes (other than income or similar taxes)
which are required to be paid by the Company in connection with the issuance of the Common Stock to be issued to the Holder hereunder
will be, or will have been, fully paid or provided for by the Company, and all laws imposing such taxes will be or will have been
complied with.

 

7.
Release by the Holder. In consideration of the foregoing, Holder and each of Holder’s respective related parties,
affiliates, successors and assigns (collectively, the “Releasing Parties”) hereby forever releases, remises, acquits
and discharges each of the Company and its Subsidiaries, as well as each of their respective officers, directors, principals,
control persons, affiliates, stockholders, past and present employees and agents, insurers, predecessors in interest, successors,
and assigns (collectively, the “Company Parties”), from any and all actions, causes of action, suits, debts, dues,
sums of money, accounts, reckonings, bonds, bills, costs, loss of services, expenses, compensation, specialties, covenants, contracts,
controversies, agreements, promises, variances, trespasses, damages, judgments, extents, executions, claims, liabilities and demands
whatsoever, in law, admiralty or equity, which any of the Releasing Parties ever had, now have or hereafter can, shall or may
have for, upon, or by reason of any matter, cause or thing whatsoever, whether or not known or unknown, arising under or related
to the Exchange Securities or any other Transaction Documents. It is the intention of the Releasing Parties that this release
is a general release with regard to the performance, services, or fulfillment of duties of any kind, and shall be effective as
a bar to each and every claim, demand, or cause of action that any of the Releasing Parties may now, or ever, have against the
Company Parties arising out of, related to, or in any way connected with the relationship of the parties on or before the date
hereof or arising out of or in connection with the Exchange Securities or any other Transaction Documents. The Releasing Parties
recognize that they may have some claim, demand, or cause of action against the Company Parties of which they are totally unaware
and unsuspecting, and that the Releasing Parties are giving up such claims, demands, and causes of action by execution of this
release. It is the intention of the Releasing Parties in executing this release that it will deprive each of them of each such
unknown claim, demand, and cause of action, and prevent any of them from ever asserting such unknown claim, demand, or cause of
action against any of the Released Parties. It being understood that this Section shall not limit the Holder from taking action
for matters with respect to this Agreement.

 

    	 	- 6 -	 

     

    

 

8.
Miscellaneous.

 

a.
Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of the parties and their respective
successors and assigns. This Agreement may not be assigned by the Holder without the prior written consent of the Company, which
consent may be withheld by the Company in its sole discretion.

 

b.
Governing Law; Jurisdiction; Waiver of Jury Trial. This Agreement shall be governed by and construed under the laws of
the State of New York without regard to the choice of law principles thereof. Each party hereby irrevocably submits to the exclusive
jurisdiction of the state and federal courts sitting in the State of New York located in The City of New York, Borough of Manhattan
for the adjudication of any dispute hereunder or in connection herewith or therewith or with any transaction contemplated hereby
or thereby, and hereby irrevocably waives any objection that such suit, action or proceeding is brought in an inconvenient forum
or that the venue of such suit, action or proceeding is improper. Nothing contained herein shall be deemed to limit in any way
any right to serve process in any manner permitted by law. EACH PARTY HEREBY IRREVOCABLY WAIVES ANY RIGHT IT MAY HAVE, AND AGREES
NOT TO REQUEST, A JURY TRIAL FOR THE ADJUDICATION OF ANY DISPUTE HEREUNDER OR IN CONNECTION WITH OR ARISING OUT OF THIS AGREEMENT
OR ANY TRANSACTION CONTEMPLATED HEREBY.

 

c.
Severability. If any provision of this Agreement shall be invalid or unenforceable in any jurisdiction, such invalidity
or unenforceability shall not affect the validity or enforceability of the remainder of this Agreement in that jurisdiction or
the validity or enforceability of any provision of this Agreement in any other jurisdiction.

 

d.
Counterparts/Execution. This Agreement may be executed in two or more identical counterparts, all of which shall be considered
one and the same agreement and shall become effective when counterparts have been signed by each party and delivered to the other
party. In the event that any signature is delivered by facsimile transmission or by an e-mail which contains an electronic file
of an executed signature page, such signature page shall create a valid and binding obligation of the party executing (or on whose
behalf such signature is executed) with the same force and effect as if such facsimile or electronic file signature page (as the
case may be) were an original thereof.

 

e.
Notices. All notices and other communications required or permitted under this Agreement shall be in writing and shall
be delivered personally by hand or by overnight courier, mailed by United States first-class mail, postage prepaid, sent by facsimile
or sent by electronic mail directed (a) if to Holder, at such Holder’s address, facsimile number or electronic mail address
set forth in the Company’s records, or at such other address, facsimile number or electronic mail address as such Holder
may designate by five (5) days’ advance written notice to the other parties hereto; or (b) if to the Company, to its address,
facsimile number or electronic mail address set forth below, or at such other address, facsimile number or electronic mail address
as the Company may designate by five (5) days’ advance written notice to the other parties hereto. All such notices and
other communications shall be effective or deemed given upon delivery, on the date that is three (3) days following the date of
mailing, upon confirmation of facsimile transfer or upon confirmation of electronic mail.

 

	 	If
    to the Company, to:	mPhase
    Technologies, Inc.
	 	 	9841
    Washingtonian Boulevard, #390
	 	 	Gaithersburg,
    MD 20878

 

    	 	- 7 -	 

     

    

 

f.
Expenses. Except as otherwise set forth herein, the parties hereto shall pay their own costs and expenses in connection
herewith.

 

g.
Entire Agreement; Amendments. This Agreement and the other Transaction Documents constitute the entire agreement between
the parties hereto with regard to the subject matter hereof and thereof, superseding all prior agreements or understandings, whether
written or oral, between or among the parties. In the event of a conflict between this Agreement and any other Transaction Document,
this Agreement shall prevail. This Agreement may be amended, modified, superseded, cancelled, renewed or extended, and the terms
and conditions hereof may be waived, only by a written instrument signed by all parties, or, in the case of a waiver, by the party
waiving compliance. Except as expressly stated herein, no delay on the part of any party in exercising any right, power or privilege
hereunder shall operate as a waiver thereof, nor shall any waiver on the part of any party of any right, power or privilege hereunder
preclude any other or future exercise of any other right, power or privilege hereunder.

 

h.
Headings. The headings used in this Agreement are used for convenience only and are not to be considered in construing
or interpreting this Agreement.

 

i.
Reporting Status. Until the date on which the Holder no longer holds Common Stock, the Company shall use its best efforts
to timely file all reports required to be filed with the Commission pursuant to the Exchange Act.

 

(Signature
Pages Follow)

 

    	 	- 8 -	 

     

    

 

IN
WITNESS WHEREOF, the parties have caused this Agreement to be duly executed as of the day and year first above written.

 

MPHASE
TECHNOLOGIES, INC.

 

	By:		 
	Name:		 
	Title:		 

 

HOLDER:
ANSHU BHATNAGAR

 

	 	 	 

 

Address
for Notices:

		__________________________________	

		__________________________________	

		__________________________________	

Social
Security: _______________________

Copies
To:

Address
for delivery of Common Stock:

		__________________________________	

		__________________________________	

		__________________________________	

 

    	 	- 9 -EX-10.11

 Exhibit 10.11 

DIVIDEND REINVESTMENT PLAN 

1.    The Plan 
 The Dividend
Reinvestment Plan (“Plan”) of Presidio Property Trust, Inc. (formerly known as NetREIT, Inc.), a Maryland corporation (“Company”), provides a convenient means for eligible stockholders of the Company to purchase additional Shares
of the same class or series of stock by reinvesting their cash dividends. The Plan amends and restates in its entirety the Company’s Dividend Reinvestment Plan effective June 1, 1999, as amended effective January 1, 2000, as amended
effective March 8, 2006, as amended effective August 5, 2010, as amended effective April 1, 2016, and which was suspended on December 7, 2018. Unless otherwise expressly stated, capitalized terms used in this Plan shall have the
respective meanings set forth in Section 16. 
 Under the Plan, Shares will be acquired by the Agent, on behalf of Participants, from the Company at
95% of their applicable “Market Price” (as defined below). As these Shares will be purchased directly from the Company, no brokerage commissions or service charges will be payable. All administrative costs of the Plan will be paid by the
Company. 
 Through the reinvestment of cash dividends, the Company will acquire additional capital which the Company intends to use for its general
corporate purposes. 
 2.    Eligibility and Enrollment 

Any holder of record of Shares is eligible to become a participant in the Plan (a “Participant”) at any time by completing a participation form
(“Participation Form”) and sending it to the Company’s transfer agent, Broadridge Corporate Issuer Solutions, Inc. (or any successor that the Company may designate from time to time, “Agent”). A Participant may elect to
reinvest the full amount of the cash dividends paid on all Shares registered in his or her name. 
 A beneficial owner of Shares whose Shares are held
through a broker, bank or other nominee must either become a registered stockholder by having his, her or its Shares transferred into the beneficial owner’s name, or, if permitted by such broker, bank or other nominee, arrange with the record
holder to participate in the Plan on behalf of the beneficial owner. 
 The Company reserves the right to terminate a Participant’s participation in
the Plan if it is deemed advisable under applicable laws or regulations. 
 3.    How the Plan Works 

Upon the election of the Participant to participate in the Plan, the full amount of the cash dividends paid on all Shares registered in the name of a
Participant will be applied automatically on each dividend payment date (an “Investment Date”) to purchase additional Shares under the Plan. All dividends paid on Shares acquired under the Plan and held for the account of the

 
Participant will be automatically reinvested in additional Shares of the same class or series of stock on each subsequent Investment Date. Accordingly, cash dividends authorized and declared on
shares of Series A Common Stock will be reinvested in shares of Series A Common Stock, and cash dividends authorized and declared on shares of Series C Common Stock will be reinvested in shares of Series C Common Stock. 

The price that will be paid for Shares (both Series A Common Stock and Series C Common Stock) under the Plan on any Investment Date (“Market Price”)
will be 95% of the average Closing Price of the Series C Common Stock as reported by the principal consolidated transaction reporting system for the Nasdaq for the 20 trading days immediately preceding the relevant Investment Date. On each
Investment Date, the Company will pay to the Agent the cash dividends otherwise payable to a Participant in respect of the Shares registered in the name of the Participant or held by the Agent for the account of the Participant, in each case net of
any applicable withholding taxes. Cash dividends paid on the Shares registered in the name of the Participant (or held by the Agent for the account of the Participant) net of any applicable withholding taxes will be used by the Agent to purchase
Shares of the same class or series of stock from the Company for the account of the Participant in accordance with the election of the Participant. 

Shares purchased under the Plan will be registered in the name of the Agent, as agent for the Participant, and the Participant’s account maintained by
the Agent will be credited with the number of Shares, including fractions computed to three decimal places, equal to the cash dividends (or relevant percentage) paid on the Participant’s Shares net of any applicable withholding taxes divided by
the relevant Market Price. 
 4.    How to Enroll 

Eligible stockholders may enroll in the Plan at any time by completing a Participation Form and sending it to the Agent. The Participation Form must be signed
by all registered holders of Shares which are registered in more than one name. Copies of the Plan and Participation Forms can be obtained from the Agent at any time. 

A completed Participation Form must be received by the Agent no later than five business days prior to the record date for any cash dividend in order for that
dividend to be reinvested under the Plan. If the Participation Form is received less than five business days prior to the applicable record date, the stockholder would receive his, her or its dividend in cash and the first dividend invested under
the Plan would be the next dividend payable. 
 Once a Participant has enrolled in the Plan, participation will continue until the Participant terminates
his, her or its participation (as set forth below) or until the Plan is suspended or terminated. 
 5.    Statements of Account

 As soon as reasonably practicable after each Investment Date, a statement of account will be provided to each Participant setting out the amount of
the relevant cash dividend reinvested, the 

 
applicable Market Price, the number and class or series of Shares purchased under the Plan on the Investment Date, and the total number of Shares, computed to three decimal places, held for the
account of the Participant under the Plan. 
 The statements are a continuing record of the cost basis of the Shares purchased under the Plan and should be
retained for U.S. income tax purposes. In addition, the Agent will annually provide each Participant with appropriate information for applicable tax reporting purposes. 

6.    Certificates for Shares 
 For
your convenience, the Agent will maintain Shares purchased under the Plan in uncertificated form. However, in the event that the Company determines to issue shares of stock represented by certificates, a Participant may request a stock certificate
for any number of whole Shares held for the Participant’s account under the Plan by writing to the Agent. Certificates for Shares acquired under the Plan will not be issued to Participants unless specifically requested. 

If the request for a certificate is received by the Agent less than five business days prior to the applicable record date, such request will be processed
after the dividend payment date, subject to the Company’s determination as to whether Shares will be certificated or uncertificated. Shares held for the account of a Participant under the Plan may not be pledged. 

Consequently, a Participant who wishes to effect a transaction of this type must remove the Participant’s Shares from the Plan or, if certificated,
request that certificates for his, her or its Shares be issued by the Agent. 
 7.    Termination of Participation 

A Participant may terminate his or her participation in the Plan at any time by giving written notice to the Agent. The notice of termination must be received
no later than five business days prior to the record date for a cash dividend in order for the notice to be effective with respect to that dividend. If notice of termination is received less than five business days prior to a dividend record date,
the cash dividends payable on the relevant Investment Date net of any applicable withholding taxes will be invested under the Plan and the termination will be effective only with respect to cash dividends subsequently authorized and declared. The
notice of termination must be signed by all registered holders of Shares which are registered in more than one name. Participation in the Plan may be renewed at any time by signing a new Participation Form and returning it to the Agent. 

8.    Voting of Shares Held Under the Plan 

Shares held for the account of a Participant under the Plan on any record date for a vote of stockholders (as with Shares not subject to the Plan) may be voted
by the Participant, either in person or by proxy. Shares for which instructions are not received will not be voted. 

 9.    Stock Dividends and Stock Splits 

Stock dividends authorized and declared on the Shares and any shares resulting from the subdivision of the Shares will be credited to the account of the
Participant based on whole and fractional shares held for the account of the Participant under the Plan. 
 10.    Ownership
Limitation 
 In order to assist the Company in continuing to qualify as a real estate investment trust, or REIT, for federal income tax purposes, among
other purposes, no person may own more than 9.8% in value or number of shares, whichever is more restrictive, of the outstanding shares of common stock of the Company or more than 9.8% in value of the aggregate outstanding shares of all classes and
series of the Company’s capital stock, unless the Board of Directors of the Company waives this limitation. 
 10.    Death or
Incompetence of a Participant 
 Participation in the Plan will not be affected by a Participant’s death or incompetence and participation will
remain effective until it is terminated in accordance with the provisions of the Plan. 
 11.    Amendment, Suspension or Termination
of the Plan 
 The Company reserves the right to amend, suspend or terminate the Plan at any time, but this action cannot have a retroactive effect that
would prejudice the interests of Participants. Participants will be sent a written notice of any amendment to or suspension or termination of the Plan, except in the case of an amendment deemed by the Board of Directors of the Company not to be
material. 
 If the Plan is suspended or terminated by the Company, no investment will be made under the Plan on any subsequent Investment Date. Dividends
that are paid after the effective date of any suspension or termination of the Plan will be remitted by the Company or the Agent, as the case may be, directly to each Participant or credited to the Participant’s account in cash. 

12.    Notices 
 All notices required
to be given to a Participant will be provided to the Participant at his, her or its latest address shown on the records of the Agent. All notices to the Agent should be mailed to the address noted below. All notices to the Company should be
addressed to Presidio Property Trust, Inc., 4995 Murphy Canyon Road, Suite 300, San Diego, CA 92123. 
 13.    United States Federal
Income Tax Consequences 
 Notice Pursuant to U.S. Treasury Regulations Circular 230: You are hereby advised that: (i) any discussion of U.S.
federal tax issues set forth herein, including attachments, is not 

 
intended or written to be used and cannot be used by any taxpayer for the purpose of avoiding penalties that may be imposed on the taxpayer under the U.S. Internal Revenue Code of 1986, as
amended; (ii) such discussion is written to support the promotion or marketing of the transactions or matters addressed herein; and (iii) each taxpayer should seek advice based on the taxpayer’s particular circumstances from an
independent tax adviser. 
 The following is a general summary of certain U.S. federal income tax considerations generally applicable to Participants
who are U.S. taxpayers and who reinvest cash dividends in additional Shares under the Plan. This summary only addresses the tax considerations for Participants who are not subject to special U.S. federal income tax rules and who hold their Shares as
capital assets. In addition, this summary is qualified in its entirety by the discussion set forth under the heading “United States Federal Income Tax Considerations” in the registration statement of the Company filed with the U.S.
Securities and Exchange Commission on Form S-3D. 
 A Participant who is a U.S. taxpayer and who reinvests cash
dividends under the Plan generally will be treated for U.S. federal income tax purposes as receiving a distribution equal to the fair market value of the Shares acquired (plus the amount of any income tax withheld) notwithstanding that the dividends
are reinvested in stock. The distribution will be treated as a taxable dividend to the extent of the Company’s current and accumulated earnings and profits as determined under U.S. federal tax rules. In addition, the 5% discount may also be
taxable. 
 Such Participant’s tax basis in Shares purchased under the Plan will equal the fair market value of the shares on the Investment Date. The
holding period for such Shares will begin on the day following the Investment Date. Any gain or loss realized upon the sale or other disposition of such Shares will be capital gain or loss. 

Each Participant in the Plan should consult an independent tax adviser concerning the tax consequences particular to reinvesting cash dividends under the
Plan. 
 14.    Administration 
 The
Agent will act as administrator of the Plan for the Company and will maintain an account for each Participant. The Agent will keep all records necessary for the administration of the Plan. The Company reserves the right to interpret and regulate the
Plan as it deems necessary or desirable. 
 Neither the Company nor the Agent will be liable for any act or for any omission to act in connection with the
operation of the Plan undertaken or omitted in good faith. Participants should recognize that neither the Company nor the Agent can assure profit or protect against a loss on Shares acquired under the Plan. 

15.    Governing Law 
 The Plan and
the Participants’ election to participate in the Plan shall be governed by the laws of the State of Maryland. 

 16.    Certain Definitions 

“Closing Price” on any date means the last sale price for such stock, regular way, or in the case no such sale takes place on such day, the average
of the closing bid and asked prices, regular way, for such stock. 
 “Series A Common Stock” means the Company’s Series A Common Stock, $0.01
par value per share. 
 “Series C Common Stock” means the Company’s Series C Common Stock, $0.01 par value per share. 

“Share(s)” means the shares of the Company’s common stock, $0.01 par value per share, including, without limitation, shares of Series A Common
Stock and Series C Common Stock, offered pursuant to the registration statement of the Company filed with the U.S. Securities and Exchange Commission on Form S-3D. 

“Stockholder(s)” means, as of any particular date, all holders of record of outstanding Shares on such date. 

16.     Effective Date 
 The effective
date of the Plan is [                 ], 2020. 
 End of Plan 

 QUESTIONS AND ANSWERS 

What is the Dividend Reinvestment Plan? 
 The Dividend
Reinvestment Plan (“Plan”) of Presidio Property Trust, Inc. (“Company”) enables eligible holders of Shares of the Company to purchase additional Shares of the same class or series of stock by reinvesting their cash dividends.

 What are the advantages of the Plan? 
 As Shares
acquired under the Plan are generally purchased directly from the Company, participants in the Plan (“Participants”) do not pay brokerage commissions or service charges of any kind. All administrative costs of the Plan are borne by the
Company. 
 Full investment of all cash dividends net of any applicable withholding taxes is possible since fractional shares will be credited to a
Participant’s account. In addition, Participants may purchase Shares at a 5% discount from the Market Price by reinvesting cash dividends on Shares registered in the Participant’s name. 

Who is eligible to participate? 
 Any holder of record of
Shares may participate in the Plan. 
 A beneficial owner of Shares whose Shares are held through a broker, bank or other nominee must either become a
registered stockholder by having his, her or its Shares transferred into the beneficial owner’s name, or, if permitted by such broker, bank or other nominee, arrange with the record holder to participate in the Plan on behalf of the beneficial
owner. 
 How does an eligible stockholder become a Participant in the Plan? 

By completing a Participation Form and returning it to the Agent. Once a stockholder has enrolled, his or her participation continues until terminated by the
stockholder or until the Plan is suspended or terminated by the Company. 
 Will it be possible for Participants to receive a proportion of their
dividends in cash and have the remainder reinvested? 
 No, partial participation in the Plan is not permitted. Stockholders that elect to participate in
the Plan will have 100% of the amount of the cash dividends paid on all Shares registered in their names reinvested in Shares. Regular quarterly statements of account will be provided to each Participant. 

 How will new Shares be purchased for Participants? 

The Company will pay to the Agent the cash dividends paid on the Shares registered in the name of a Participant, in addition to the cash dividends paid on any
Shares held by the Agent for the account of a Participant under the Plan, in each case net of any applicable withholding taxes. Depending upon the election of the Participant, the Agent will apply these funds to purchase Shares of the same class or
series of stock from the Company which will be held by the Agent for the account of the Participant. 
 What will be the price of new Shares purchased
under the Plan? 
 The price that will be paid for Shares (both Series A Common Stock and Series C Common Stock) under the Plan on any Investment Date
will be 95% of the average closing price of the Series C Common Stock as reported by the Nasdaq for the 20 trading days immediately preceding the relevant Investment Date. 

May I change options under the Plan? 
 Yes. You may change
options under the Plan at any time by completing and signing a new Participation Form and returning it to the Agent or changing your election online at www.shareholder.broadridge.com. Any change concerning the reinvestment of dividends must be
received by the Agent no later than five business days prior to the record date for a dividend in order for the change to become effective with that dividend. 

Will certificates be issued for the new Shares? 
 No.
Shares purchased by the Agent for your account will be registered in the name in which your plan account is maintained, in book-entry form on the Agent’s records, and certificates for such Shares will not be issued to you. The total number of
Shares credited to your account will be shown on each statement of account. This custodial service helps to protect you against the risk of loss, theft or destruction of stock certificates. However, in the event that the Company determines to issue
shares of stock represented by certificates, a Participant may request a certificate for any number of whole Shares held for the account of the Participant under the Plan by writing to the Agent. If the request for a certificate is received by the
Agent less than five business days prior to the applicable record date, such request will be processed after the dividend payment date, subject to the Company’s determination as to whether Shares will be certificated or uncertificated. 

Can I transfer Shares that I hold in the Plan to someone else? 

Yes. You may transfer ownership of some or all of your shares held through the Plan. 

You may call the Agent at the toll free number
1-855-894-4930 for complete transfer instructions or go to www.shareholder.broadridge.com to download the appropriate materials.
You will be asked to send the Agent written transfer instructions and your signature must be “Medallion Guaranteed” by a financial institution. Most banks and brokers participate in the Medallion

 
Guarantee Program. The Medallion Guarantee Program ensures that the individual signing is in fact the owner of the shares to be transferred. A notary is not sufficient. 

Are there restrictions on dealing with Shares purchased under the Plan? 

Yes. Shares held for a Participant’s account may not be pledged. Therefore, prior to a transaction of this type, a Participant must remove the
Participant’s Shares from the Plan or, if certificated, request that a stock certificate be issued. In the event that the Company issues shares of stock represented by certificates, certificates will not be issued for fractional shares. Rather,
a cash payment will be made for any fractional shares. In addition, under the charter of the Company, no person may own more than 9.8% in value or number of shares, whichever is more restrictive, of the outstanding shares of common stock of the
Company or more than 9.8% in value of the aggregate outstanding shares of all classes and series of the Company’s capital stock. 
 Will interest be
paid on Plan accounts? 
 No. Interest will not be paid on Plan accounts or on any amounts held pending investment. 

How is the Plan to be interpreted? 
 Any question of
interpretation arising under the Plan will be determined by the Company and any such determination will be final. 
 How does a Participant terminate
participation in the Plan? 
 Participation in the Plan may be terminated at any time by giving written notice to the Agent. 

When is termination effective? 
 If notice of termination
is received by the Agent less than five business days prior to an applicable dividend record date, the request will be processed after the applicable dividend payment date. 

What statements will be sent to Participants? 
 After each
dividend payment date, a statement of account will be provided to each Participant. The statements are a continuing record of purchases made under the Plan and should be retained for U.S. tax purposes. In addition, the Agent will annually provide
each Participant with appropriate information for U.S. tax reporting purposes. 

 What are the tax consequences of participation in the Plan? 

Participants will be subject to income tax on dividends reinvested in accordance with the Plan as though they had received cash dividends from the Company
equal to the fair market value of the Shares acquired (plus the amount of any income tax withheld). 
 Where should further inquiries be directed?

 Inquiries should be addressed to the Agent as follows: 
  

	Telephone:	
1-855-894-4930

	Email:	 Shareholder@Broadridge.com 

	Mail:	 Broadridge Corporate Issuer Solutions, Inc. 

PO Box 1342 
 Brentwood, NY
11717 
 Inquiries can also be addressed to the Company’s principal executive offices as follows: 

 

	Telephone:	 760-471-8536

	Fax:	 Investor Relations at
760-471-0399 

	Email:	 info@PresidioPT.com 

	Mail:	 Presidio Property Trust, Inc. 

4995 Murphy Canyon Road, Suite 300 

San Diego, CA 92123

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