Document:

Exhibit 10.7

 

CELULARITY
INC.

2021 Employee Stock Purchase Plan

 

Adopted
by the Board of Directors: July 12, 2021

Approved
by the Stockholders: July 14, 2021

 

1. General;
Purpose.

 

(a) The
Plan provides a means by which Eligible Employees of the Company and certain designated Related Corporations may be given an opportunity
to purchase shares of Common Stock. The Plan permits the Company to grant a series of Purchase Rights to Eligible Employees under an Employee
Stock Purchase Plan.

 

(b) The
Company, by means of the Plan, seeks to retain the services of such Employees, to secure and retain the services of new Employees and
to provide incentives for such persons to exert maximum efforts for the success of the Company and its Related Corporations.

 

2. Administration.

 

(a) The
Board will administer the Plan unless and until the Board delegates administration of the Plan to a Committee or Committees, as provided
in Section 2(c).

 

(b) The
Board will have the power, subject to, and within the limitations of, the express provisions of the Plan:

 

(i) To
determine how and when Purchase Rights will be granted and the provisions of each Offering (which need not be identical).

 

(ii) To
designate from time to time which Related Corporations of the Company will be eligible to participate in the Plan.

 

(iii) To
construe and interpret the Plan and Purchase Rights, and to establish, amend and revoke rules and regulations for its administration.
The Board, in the exercise of this power, may correct any defect, omission or inconsistency in the Plan, in a manner and to the extent
it deems necessary or expedient to make the Plan fully effective.

 

(iv) To
settle all controversies regarding the Plan and Purchase Rights granted under the Plan.

 

(v) To
suspend or terminate the Plan at any time as provided in Section 12.

 

(vi) To
amend the Plan at any time as provided in Section 12.

 

(vii) Generally,
to exercise such powers and to perform such acts as it deems necessary or expedient to promote the best interests of the Company and its
Related Corporations and to carry out the intent that the Plan be treated as an Employee Stock Purchase Plan.

 

(viii) To
adopt such procedures and sub-plans as are necessary or appropriate to permit participation in the Plan by Employees who are foreign nationals
or employed outside the United States.

 

(c) The
Board may delegate some or all of the administration of the Plan to a Committee or Committees. If administration is delegated to a Committee,
the Committee will have, in connection with the administration of the Plan, the powers theretofore possessed by the Board that have been
delegated to the Committee, including the power to delegate to a subcommittee any of the administrative powers the Committee is authorized
to exercise (and references to the Board in this Plan and in any applicable Offering Document will thereafter be to the Committee or subcommittee),
subject, however, to such resolutions, not inconsistent with the provisions of the Plan, as may be adopted from time to time by the Board.
The Board may retain the authority to concurrently administer the Plan with the Committee and may, at any time, revest in the Board some
or all of the powers previously delegated. Whether or not the Board has delegated administration of the Plan to a Committee, the Board
will have the final power to determine all questions of policy and expediency that may arise in the administration of the Plan.

 

(d) All
determinations, interpretations and constructions made by the Board in good faith will not be subject to review by any person and will
be final, binding and conclusive on all persons.

 

     

    

    

 

3. Shares
of Common Stock Subject to the Plan.

 

(a) Subject
to the provisions of Section 11(a) relating to Capitalization Adjustments, the maximum number of shares of Common Stock that may
be issued under the Plan will not exceed 2,139,220 shares of Common Stock, plus the number of shares of Common Stock that are automatically
added on January 1st of each year for a period of up to ten years, commencing on January 1, 2022 and ending on (and including)
January 1, 2031, in an amount equal to the lesser of (i) one percent (1.0%) of the total number of shares of Capital Stock outstanding
on December 31st of the preceding calendar year, and (ii) 2,139,220 shares of Common Stock. Notwithstanding the foregoing,
the Board may act prior to the first day of any calendar year to provide that there will be no January 1st increase in the
share reserve for such calendar year or that the increase in the share reserve for such calendar year will be a lesser number of shares
of Common Stock than would otherwise occur pursuant to the preceding sentence.

 

(b) If
any Purchase Right granted under the Plan terminates without having been exercised in full, the shares of Common Stock not purchased under
such Purchase Right will again become available for issuance under the Plan.

 

(c) The
stock purchasable under the Plan will be shares of authorized but unissued or reacquired Common Stock, including shares repurchased by
the Company on the open market.

 

4. Grant
of Purchase Rights; Offering.

 

(a) The
Board may from time to time grant or provide for the grant of Purchase Rights to Eligible Employees under an Offering (consisting of one
or more Purchase Periods) on an Offering Date or Offering Dates selected by the Board. Each Offering will be in such form and will contain
such terms and conditions as the Board will deem appropriate, and will comply with the requirement of Section 423(b)(5) of the Code
that all Employees granted Purchase Rights will have the same rights and privileges. The terms and conditions of an Offering shall be
incorporated by reference into the Plan and treated as part of the Plan. The provisions of separate Offerings need not be identical, but
each Offering will include (through incorporation of the provisions of this Plan by reference in the document comprising the Offering
or otherwise) the period during which the Offering will be effective, which period will not exceed 27 months beginning with the Offering
Date, and the substance of the provisions contained in Sections 5 through 8, inclusive.

 

(b) If
a Participant has more than one Purchase Right outstanding under the Plan, unless he or she otherwise indicates in forms delivered to
the Company: (i) each form will apply to all of his or her Purchase Rights under the Plan, and (ii) a Purchase Right with a
lower exercise price (or an earlier-granted Purchase Right, if different Purchase Rights have identical exercise prices) will be exercised
to the fullest possible extent before a Purchase Right with a higher exercise price (or a later-granted Purchase Right if different Purchase
Rights have identical exercise prices) will be exercised.

 

(c) The
Board will have the discretion to structure an Offering so that if the Fair Market Value of a share of Common Stock on the first Trading
Day of a new Purchase Period within that Offering is less than or equal to the Fair Market Value of a share of Common Stock on the Offering
Date for that Offering, then (i) that Offering will terminate immediately as of that first Trading Day, and (ii) the Participants
in such terminated Offering will be automatically enrolled in a new Offering beginning on the first Trading Day of such new Purchase Period.

 

5. Eligibility.

 

(a) Purchase
Rights may be granted only to Employees of the Company or, as the Board may designate in accordance with Section 2(b), to Employees
of a Related Corporation. Except as provided in Section 5(b), an Employee will not be eligible to be granted Purchase Rights unless,
on the Offering Date, the Employee has been in the employ of the Company or the Related Corporation, as the case may be, for such continuous
period preceding such Offering Date as the Board may require, but in no event will the required period of continuous employment be equal
to or greater than two years. In addition, the Board may provide that no Employee will be eligible to be granted Purchase Rights under
the Plan unless, on the Offering Date, such Employee’s customary employment with the Company or the Related Corporation is more
than 20 hours per week and more than five months per calendar year or such other criteria as the Board may determine consistent with Section 423
of the Code.

 

    2

    

    

 

(b) The
Board may provide that each person who, during the course of an Offering, first becomes an Eligible Employee will, on a date or dates
specified in the Offering which coincides with the day on which such person becomes an Eligible Employee or which occurs thereafter, receive
a Purchase Right under that Offering, which Purchase Right will thereafter be deemed to be a part of that Offering. Such Purchase Right
will have the same characteristics as any Purchase Rights originally granted under that Offering, as described herein, except that:

 

(i) the
date on which such Purchase Right is granted will be the “Offering Date” of such Purchase Right for all purposes, including
determination of the exercise price of such Purchase Right;

 

(ii) the
period of the Offering with respect to such Purchase Right will begin on its Offering Date and end coincident with the end of such Offering;
and

 

(iii) the
Board may provide that if such person first becomes an Eligible Employee within a specified period of time before the end of the Offering,
he or she will not receive any Purchase Right under that Offering.

 

(c) No
Employee will be eligible for the grant of any Purchase Rights if, immediately after any such Purchase Rights are granted, such Employee
owns stock possessing five percent or more of the total combined voting power or value of all classes of stock of the Company or of any
Related Corporation. For purposes of this Section 5(c), the rules of Section 424(d) of the Code will apply in determining the
stock ownership of any Employee, and stock which such Employee may purchase under all outstanding Purchase Rights and options will be
treated as stock owned by such Employee.

 

(d) As
specified by Section 423(b)(8) of the Code, an Eligible Employee may be granted Purchase Rights only if such Purchase Rights, together
with any other rights granted under all Employee Stock Purchase Plans of the Company and any Related Corporations, do not permit such
Eligible Employee’s rights to purchase stock of the Company or any Related Corporation to accrue at a rate which, when aggregated,
exceeds $25,000 of Fair Market Value of such stock (determined at the time such rights are granted, and which, with respect to the Plan,
will be determined as of their respective Offering Dates) for each calendar year in which such rights are outstanding at any time.

 

(e) Officers
of the Company and any designated Related Corporation, if they are otherwise Eligible Employees, will be eligible to participate in Offerings
under the Plan. Notwithstanding the foregoing, the Board may provide in an Offering that Employees who are highly compensated Employees
within the meaning of Section 423(b)(4)(D) of the Code will not be eligible to participate.

 

6. Purchase
Rights; Purchase Price.

 

(a) On
each Offering Date, each Eligible Employee, pursuant to an Offering made under the Plan, will be granted a Purchase Right to purchase
up to that number of shares of Common Stock purchasable either with a percentage or with a maximum dollar amount, as designated by the
Board, but in either case not exceeding 15% of such Employee’s earnings (as defined by the Board in each Offering) during the period
that begins on the Offering Date (or such later date as the Board determines for a particular Offering) and ends on the date stated in
the Offering, which date will be no later than the end of the Offering.

 

(b) The
Board will establish one or more Purchase Dates during an Offering on which Purchase Rights granted for that Offering will be exercised
and shares of Common Stock will be purchased in accordance with such Offering.

 

(c) In
connection with each Offering made under the Plan, the Board may specify (i) a maximum number of shares of Common Stock that may
be purchased by any Participant on any Purchase Date during such Offering, (ii) a maximum aggregate number of shares of Common Stock
that may be purchased by all Participants pursuant to such Offering and/or (iii) a maximum aggregate number of shares of Common Stock
that may be purchased by all Participants on any Purchase Date under the Offering. If the aggregate purchase of shares of Common Stock
issuable upon exercise of Purchase Rights granted under the Offering would exceed any such maximum aggregate number, then, in the absence
of any Board action otherwise, a pro rata (based on each Participant’s accumulated Contributions) allocation of the shares of Common
Stock available will be made in as nearly a uniform manner as will be practicable and equitable.

 

    3

    

    

 

(d) The
purchase price of shares of Common Stock acquired pursuant to Purchase Rights will be not less than the lesser of:

 

(i) an
amount equal to 85% of the Fair Market Value of the shares of Common Stock on the Offering Date; or

 

(ii) an
amount equal to 85% of the Fair Market Value of the shares of Common Stock on the applicable Purchase Date.

 

7. Participation;
Withdrawal; Termination.

 

(a) An
Eligible Employee may elect to participate in an Offering and authorize payroll deductions as the means of making Contributions by completing
and delivering to the Company, within the time specified in the Offering, an enrollment form provided by the Company. The enrollment form
will specify the amount of Contributions not to exceed the maximum amount specified by the Board. Each Participant’s Contributions
will be credited to a bookkeeping account for such Participant under the Plan and will be deposited with the general funds of the Company
except where applicable law requires that Contributions be deposited with a third party. If permitted in the Offering, a Participant may
begin such Contributions with the first practicable payroll occurring on or after the Offering Date (or, in the case of a payroll date
that occurs after the end of the prior Offering but before the Offering Date of the next new Offering, Contributions from such payroll
will be included in the new Offering). If permitted in the Offering, a Participant may thereafter reduce (including to zero) or increase
his or her Contributions. If specifically provided in the Offering, in addition to or instead of making Contributions by payroll deductions,
a Participant may make Contributions through the payment by cash or check prior to a Purchase Date.

 

(b) During
an Offering, a Participant may cease making Contributions and withdraw from the Offering by delivering to the Company a withdrawal form
provided by the Company. The Company may impose a deadline before a Purchase Date for withdrawing. Upon such withdrawal, such Participant’s
Purchase Right in that Offering will immediately terminate and the Company will distribute as soon as practicable to such Participant
all of his or her accumulated but unused Contributions and such Participant’s Purchase Right in that Offering shall thereupon terminate.
A Participant’s withdrawal from that Offering will have no effect upon his or her eligibility to participate in any other Offerings
under the Plan, but such Participant will be required to deliver a new enrollment form to participate in subsequent Offerings.

 

(c) Unless
otherwise required by applicable law, Purchase Rights granted pursuant to any Offering under the Plan will terminate immediately if the
Participant either (i) is no longer an Employee for any reason or for no reason (subject to any post-employment participation period
required by law) or (ii) is otherwise no longer eligible to participate. The Company will distribute to such individual as soon as
practicable all of his or her accumulated but unused Contributions.

 

(d) During
a Participant’s lifetime, Purchase Rights will be exercisable only by such Participant. Purchase Rights are not transferable by
a Participant, except by will, by the laws of descent and distribution, or, if permitted by the Company, by a beneficiary designation
as described in Section 10.

 

(e) Unless
otherwise specified in the Offering or required by applicable law, the Company will have no obligation to pay interest on Contributions.

 

8. Exercise
of Purchase Rights.

 

(a) On
each Purchase Date, each Participant’s accumulated Contributions will be applied to the purchase of shares of Common Stock, up to
the maximum number of shares of Common Stock permitted by the Plan and the applicable Offering, at the purchase price specified in the
Offering. No fractional shares will be issued unless specifically provided for in the Offering.

 

(b) Unless
otherwise provided in the Offering, if any amount of accumulated Contributions remains in a Participant’s account after the
purchase of shares of Common Stock and such remaining amount is less than the amount required to purchase one share of Common Stock
on the final Purchase Date of an Offering, then such remaining amount will be held in such Participant’s account for the
purchase of shares of Common Stock under the next Offering under the Plan, unless such Participant withdraws from or is not eligible
to participate in such next Offering, in which case such amount will be distributed to such Participant after the final Purchase
Date without interest (unless the payment of interest is otherwise required by applicable law). If the amount of Contributions
remaining in a Participant’s account after the purchase of shares of Common Stock is at least equal to the amount required to
purchase one (1) whole share of Common Stock on the final Purchase Date of an Offering, then such remaining amount will be
distributed in full to such Participant after the final Purchase Date of such Offering without interest.

 

    4

    

    

 

(c) No
Purchase Rights may be exercised to any extent unless the shares of Common Stock to be issued upon such exercise under the Plan are covered
by an effective registration statement pursuant to the Securities Act and the Plan is in material compliance with all applicable federal,
state, foreign and other securities and other laws applicable to the Plan. If on a Purchase Date the shares of Common Stock are not so
registered or the Plan is not in such compliance, no Purchase Rights will be exercised on such Purchase Date, and the Purchase Date will
be delayed until the shares of Common Stock are subject to such an effective registration statement and the Plan is in material compliance,
except that the Purchase Date will in no event be more than 6 months from the Offering Date. If, on the Purchase Date, as delayed to the
maximum extent permissible, the shares of Common Stock are not registered and the Plan is not in material compliance with all applicable
laws, no Purchase Rights will be exercised and all accumulated but unused Contributions will be distributed to the Participants without
interest.

 

9. Covenants
of the Company.

 

The Company will seek to
obtain from each U.S. federal or state, foreign or other regulatory commission or agency having jurisdiction over the Plan such authority
as may be required to grant Purchase Rights and issue and sell shares of Common Stock thereunder unless the Company determines, in its
sole discretion, that doing so would cause the Company to incur costs that are unreasonable. If, after commercially reasonable efforts,
the Company is unable to obtain the authority that counsel for the Company deems necessary for the grant of Purchase Rights or the lawful
issuance and sale of Common Stock under the Plan, and at a commercially reasonable cost, the Company will be relieved from any liability
for failure to grant Purchase Rights and/or to issue and sell Common Stock upon exercise of such Purchase Rights.

 

10. Designation
of Beneficiary.

 

(a) The
Company may, but is not obligated to, permit a Participant to submit a form designating a beneficiary who will receive any shares of Common
Stock and/or Contributions from the Participant’s account under the Plan if the Participant dies before such shares and/or Contributions
are delivered to the Participant. The Company may, but is not obligated to, permit the Participant to change such designation of beneficiary.
Any such designation and/or change must be on a form approved by the Company.

 

(b) 
If a Participant dies, and in the absence of a valid beneficiary designation, the Company will deliver any shares of Common Stock and/or
Contributions to the executor or administrator of the estate of the Participant. If no executor or administrator has been appointed (to
the knowledge of the Company), the Company, in its sole discretion, may deliver such shares of Common Stock and/or Contributions without
interest (unless the payment of interest is otherwise required by applicable law) to the Participant’s spouse, dependents or relatives,
or if no spouse, dependent or relative is known to the Company, then to such other person as the Company may designate.

 

11. Adjustments
upon Changes in Common Stock; Corporate Transactions.

 

(a) In
the event of a Capitalization Adjustment, the Board will appropriately and proportionately adjust: (i) the class(es) and maximum
number of securities subject to the Plan pursuant to Section 3(a), (ii) the class(es) and maximum number of securities by which
the share reserve is to increase automatically each year pursuant to Section 3(a), (iii) the class(es) and number of securities
subject to, and the purchase price applicable to outstanding Offerings and Purchase Rights, and (iv) the class(es) and number of
securities that are the subject of the purchase limits under each ongoing Offering. The Board will make these adjustments, and its determination
will be final, binding and conclusive.

 

    5

    

    

 

(b) In the
event of a Corporate Transaction, then: (i) any surviving corporation or acquiring corporation (or the surviving or acquiring
corporation’s parent company) may assume or continue outstanding Purchase Rights or may substitute similar rights (including a
right to acquire the same consideration paid to the stockholders in the Corporate Transaction) for outstanding Purchase Rights, or
(ii) if any surviving or acquiring corporation (or its parent company) does not assume or continue such Purchase Rights or does
not substitute similar rights for such Purchase Rights, then the Participants’ accumulated Contributions will be used to
purchase shares of Common Stock within ten business days prior to the Corporate Transaction under the outstanding Purchase Rights,
and the Purchase Rights will terminate immediately after such purchase.

 

12. Amendment,
Termination or Suspension of the Plan.

 

(a) The
Board may amend the Plan at any time in any respect the Board deems necessary or advisable. However, except as provided in Section 11(a)
relating to Capitalization Adjustments, stockholder approval will be required for any amendment of the Plan for which stockholder approval
is required by applicable law or listing requirements.

 

(b) The
Board may suspend or terminate the Plan at any time. No Purchase Rights may be granted under the Plan while the Plan is suspended or after
it is terminated.

 

(c) Any
benefits, privileges, entitlements and obligations under any outstanding Purchase Rights granted before an amendment, suspension or termination
of the Plan will not be materially impaired by any such amendment, suspension or termination except (i) with the consent of the person
to whom such Purchase Rights were granted, (ii) as necessary to comply with any laws, listing requirements, or governmental regulations
(including, without limitation, the provisions of Section 423 of the Code and the regulations and other interpretive guidance issued
thereunder relating to Employee Stock Purchase Plans) including without limitation any such regulations or other guidance that may be
issued or amended after the date the Plan is adopted by the Board, or (iii) as necessary to obtain or maintain favorable tax, listing,
or regulatory treatment. To be clear, the Board may amend outstanding Purchase Rights without a Participant’s consent if such amendment
is necessary to ensure that the Purchase Right and/or the Plan complies with the requirements of Section 423 of the Code.

 

Notwithstanding anything
in the Plan or any Offering Document to the contrary, the Board will be entitled to: (i) establish the exchange ratio applicable
to amounts withheld in a currency other than U.S. dollars; (ii) permit Contributions in excess of the amount designated by a Participant
in order to adjust for mistakes in the Company’s processing of properly completed Contribution elections; (iii) establish reasonable
waiting and adjustment periods and/or accounting and crediting procedures to ensure that amounts applied toward the purchase of Common
Stock for each Participant properly correspond with amounts withheld from the Participant’s Contributions; (iv) amend any outstanding
Purchase Rights or clarify any ambiguities regarding the terms of any Offering to enable the Purchase Rights to qualify under and/or comply
with Section 423 of the Code; and (v) establish other limitations or procedures as the Board determines in its sole discretion
advisable that are consistent with the Plan. The actions of the Board pursuant to this paragraph will not be considered to alter or impair
any Purchase Rights granted under an Offering as they are part of the initial terms of each Offering and the Purchase Rights granted under
each Offering.

 

13. Effective
Date of Plan.

 

The Plan will become effective
on July 16, 2021. No Purchase Rights will be exercised unless and until the Plan has been approved by the stockholders of the Company,
which approval must be within 12 months before or after the date the Plan is adopted (or if required under Section 12(a) above, materially
amended) by the Board.

 

14. Miscellaneous
Provisions.

 

(a) Proceeds
from the sale of shares of Common Stock pursuant to Purchase Rights will constitute general funds of the Company.

 

(b) A
Participant will not be deemed to be the holder of, or to have any of the rights of a holder with respect to, shares of Common Stock subject
to Purchase Rights unless and until the Participant’s shares of Common Stock acquired upon exercise of Purchase Rights are recorded
in the books of the Company (or its transfer agent).

 

    6

    

    

 

(c) The
Plan and Offering do not constitute an employment contract. Nothing in the Plan or in the Offering will in any way alter the at will nature
of a Participant’s employment or be deemed to create in any way whatsoever any obligation on the part of any Participant to continue
in the employ of the Company or a Related Corporation, or on the part of the Company or a Related Corporation to continue the employment
of a Participant.

 

(d) The
provisions of the Plan will be governed by the laws of the State of Delaware without resort to that state’s conflict of laws rules.

 

15. Definitions.

 

As used in the Plan, the
following definitions will apply to the capitalized terms indicated below:

 

(a) “Board”
means the Board of Directors of the Company.

 

(b) “Capital
Stock” means each and every class of common stock of the Company, regardless of the number of votes per share.

 

(c) “Capitalization
Adjustment” means any change that is made in, or other events that occur with respect to, the Common Stock subject to the
Plan or subject to any Purchase Right after the date the Plan is adopted by the Board without the receipt of consideration by the Company
through merger, consolidation, reorganization, recapitalization, reincorporation, stock dividend, dividend in property other than cash,
large nonrecurring cash dividend, stock split, liquidating dividend, combination of shares, exchange of shares, change in corporate structure
or other similar equity restructuring transaction, as that term is used in Financial Accounting Standards Board Accounting Standards Codification
Topic 718 (or any successor thereto). Notwithstanding the foregoing, the conversion of any convertible securities of the Company will
not be treated as a Capitalization Adjustment.

 

(d) “Code”
means the Internal Revenue Code of 1986, as amended, including any applicable regulations and guidance thereunder.

 

(e) “Committee”
means a committee of one or more members of the Board to whom authority has been delegated by the Board in accordance with Section 2(c).

 

(f) “Common
Stock” means the common stock of the Company.

 

(g) “Company”
means Celularity Inc., a Delaware corporation.

 

(h) “Contributions”
means the payroll deductions and other additional payments specifically provided for in the Offering that a Participant contributes to
fund the exercise of a Purchase Right. A Participant may make additional payments into his or her account if specifically provided for
in the Offering, and then only if the Participant has not already had the maximum permitted amount withheld during the Offering through
payroll deductions.

 

(i) “Corporate
Transaction” means the consummation, in a single transaction or in a series of related transactions, of any one or more
of the following events:

 

(i) a
sale or other disposition of all or substantially all, as determined by the Board in its sole discretion, of the consolidated assets of
the Company and its subsidiaries;

 

(ii) a
sale or other disposition of more than 50% of the outstanding securities of the Company;

 

(iii) a
merger, consolidation or similar transaction following which the Company is not the surviving corporation; or

 

(iv) a
merger, consolidation or similar transaction following which the Company is the surviving corporation but the shares of Common Stock outstanding
immediately preceding the merger, consolidation or similar transaction are converted or exchanged by virtue of the merger, consolidation
or similar transaction into other property, whether in the form of securities, cash or otherwise.

 

(j) “Director”
means a member of the Board.

 

    7

    

    

 

(k) “Eligible
Employee” means an Employee who meets the requirements set forth in the document(s) governing the Offering for eligibility
to participate in the Offering, provided that such Employee also meets the requirements for eligibility to participate set forth in the
Plan.

 

(l) “Employee”
means any person, including an Officer or Director, who is “employed” for purposes of Section 423(b)(4) of the Code by
the Company or a Related Corporation. However, service solely as a Director, or payment of a fee for such services, will not cause a Director
to be considered an “Employee” for purposes of the Plan.

 

(m) “Employee
Stock Purchase Plan” means a plan that grants Purchase Rights intended to be options issued under an “employee stock
purchase plan,” as that term is defined in Section 423(b) of the Code.

 

(n) “Exchange
Act” means the Securities Exchange Act of 1934, as amended and the rules and regulations promulgated thereunder.

 

(o) “Fair
Market Value” means, as of any date, the value of the Common Stock determined as follows:

 

(i) If
the Common Stock is listed on any established stock exchange or traded on any established market, the Fair Market Value of a share of
Common Stock will be, unless otherwise determined by the Board, the closing sales price for such stock as quoted on such
exchange or market (or the exchange or market with the greatest volume of trading in the Common Stock) on the date of determination,
as reported in such source as the Board deems reliable. Unless otherwise provided by the Board, if there is no closing sales price for
the Common Stock on the date of determination, then the Fair Market Value will be the closing sales price on the last preceding date for
which such quotation exists.

 

(ii) In
the absence of such markets for the Common Stock, the Fair Market Value will be determined by the Board in good faith in compliance with
applicable laws and in a manner that complies with Sections 409A of the Code.

 

(p) “Offering”
means the grant to Eligible Employees of Purchase Rights, with the exercise of those Purchase Rights automatically occurring at the end
of one or more Purchase Periods. The terms and conditions of an Offering will generally be set forth in the “Offering Document”
approved by the Board for that Offering.

 

(q) “Offering
Date” means a date selected by the Board for an Offering to commence.

 

(r) “Officer”
means a person who is an officer of the Company or a Related Corporation within the meaning of Section 16 of the Exchange Act.

 

(s) “Participant”
means an Eligible Employee who holds an outstanding Purchase Right.

 

(t) “Plan”
means this Celularity Inc. 2021 Employee Stock Purchase Plan, as amended from time to time.

 

(u) “Purchase
Date” means one or more dates during an Offering selected by the Board on which Purchase Rights will be exercised and on
which purchases of shares of Common Stock will be carried out in accordance with such Offering.

 

(v) “Purchase
Period” means a period of time specified within an Offering, generally beginning on the Offering Date or on the first Trading
Day following a Purchase Date, and ending on a Purchase Date. An Offering may consist of one or more Purchase Periods.

 

(w) “Purchase
Right” means an option to purchase shares of Common Stock granted pursuant to the Plan.

 

(x) “Related
Corporation” means any “parent corporation” or “subsidiary corporation” of the Company whether now
or subsequently established, as those terms are defined in Sections 424(e) and (f), respectively, of the Code.

 

(y) “Securities
Act” means the Securities Act of 1933, as amended.

 

(z) “Trading
Day” means any day on which the exchange(s) or market(s) on which shares of Common Stock are listed, including but not limited
to the NYSE, Nasdaq Global Select Market, the Nasdaq Global Market, the Nasdaq Capital Market or any successors thereto, is open for trading.

 

 

8EX-10.2

  eXHIBIT 10.2

  Certain identified information has been omitted from this document because it is both not material and would be competitively harmful if publicly disclosed, and had been marked with “[***]” to indicate where omissions have been made.

  SETTLEMENT AGREEMENT
AND
MUTUAL RELEASE OF CLAIMS

  1.PARTIES

  This Settlement Agreement and Mutual Release of Claims (“Agreement”) is made and entered into on the last day set forth on the signature page hereto (the “Effective Date”) by and among JANONE INC. (F/K/A APPLIANCE RECYCLING CENTERS OF AMERICA. INC.) (“JanOne”); GEOTRAQ, INC. (“GeoTraq”) (JanOne and GeoTraq hereinafter referred to collectively as “Plaintiffs”); ANTONIOS (“TONY”) ISAAC (“T. Isaac”). as indemnitee of JanOm (Plaintiffs and T. Isaac hereinafter referred to collectively as the “JanOne Parties”): and GREG SULLIVAN (“Sullivan” or “Defendant”), for the purpose of resolving by compromise and settlement. all claims, liabilities and disputes among the parties. In the remainder of this Agreement, Plaintiffs. T. Isaac. and Sullivan shall be referred to collectively as the “Parties” and any one of the Parties may be referred to as a “Party”.

  2.RECITALS

  This Agreement is entered into with reference to the following facts:

  A.On or about February 27, 2019, Plaintiffs filed a complaint against Sullivan in the District Court of Clark County, Nevada under case no. A-19-790073-B (the “Litigation”), which complaint was twice amended, most recently on March 10, 2020, with the filing of Plaintiffs’ Second Amended Complaint (“Complaint”).

  B.On or about June 21, 2019, Sullivan filed his Answer to First Amended Complaint, Counter-Claim, and Third-Party Complaint against the JanOne Parties and others which counterclaims were amended three times, most recently on January 31, 2020, with the filing of Sullivan’s Revised Second Amended Counterclaims (collectively, “Sullivan’s Counterclaims”).

  C.Sullivan’s Counterclaims allege eleven (11) counts: (1) Breach of Employment Contract; (2) Breach of Implied Covenant of Good Faith and Fair Dealing; (3) Fraud; (4) Negligent Misrepresentation; (5) Civil Conspiracy; (6) Conversion of Stock; (7) Indemnity and Contribution; (8) Tortious Discharge; (9) Alter Ego; (10) Judicial Determination – Unconscionable Agreements and/or Unconscionable Clauses; and (11) Judicial Determination – Conflict of Interest.

  D.Certain of Sullivan’s Counterclaims relate to, inter alia, representations made in advance of, and in connection with the negotiation and execution of, an Agreement and Plan of Merger entered into between and among Sullivan, JanOne, GeoTraq, 

  	1

  

  E.and others on or about August 18, 2017 and disposition of Sullivan’s property, including intellectual property and stock, while others relate to Sullivan’s prior employment with GeoTraq and his claim of wrongful termination therefrom seeking a return of stock and payment of deferred compensation.

  E.Each of the Parties denies (i) all of the allegations pled against them in their entirety, whether in the Complaint, Sullivan’s Counterclaims, or otherwise in the Litigation and (ii) that any amounts or relief are owing to any other Party, but, in the interest of avoiding additional time and undue expense, JanOne, on behalf of itself and the Other JanOne Parties, and Sullivan have hereby entered into this Agreement, which each of the Parties intends to be a global and comprehensive settlement agreement and mutual release of all claims asserted or unasserted, known and unknown, among the Parties, all as set forth herein.

  NOW, THEREFORE, in consideration of the facts and general releases and promises contained herein, and for other good and valuable consideration, the receipt and adequacy of which are acknowledged by each Party hereto, the Parties promise and agree as follows:

  3.AGREEMENTS. RELEASES AND PROMISES

  F.Settlement Amount. JanOne shall tender to Sullivan, on behalf of itself, T. Isaac, and GeoTraq, the aggregate of One Million Nine Hundred Fifty Thousand Dollars (US$1,950,000.00) (the “Settlement Amount”), as calculated hereinbelow and as allocated between JanOne and T. Isaac in their sole and absolute discretion. The Settlement Amount shall be accomplished in the following manner:

  1.Initial Payment. On the Effective Date, JanOne shall tender to Sullivan, through his counsel, Two Hundred Fifty Thousand Dollars (US$250,000.00) in cash (the “Initial Payment”).

  2.Quarterly Payment. On or before June 1, 2021, and on or before three months from and after June 1, 2021, for a total of up to ten (10) payments, JanOne shall tender to Sullivan, through his counsel, a minimum of One Hundred Seventy Thousand Dollars (US$170,000.00), in cash or deliver shares of Equivalent Stock (the “Quarterly Payments”). Equivalent Stock is defined as shares of JanOne common stock (NASDAQ: JAN), which shares (i) shall not constitute “restricted securities” (as that term is defined in §230.144(a)(3) of the General Rules and Regulations under the Securities Act of 1933, as amended, as promulgated by the Securities and Exchange Commission) and (ii) on the Quarterly Payment Date (or the date on which the Plaintiffs elect to make a Prepayment (as defined in Paragraph 3(A)(3), below, as memorialized by a written notice thereof (each, a “Prepayment Notice”) shall have an aggregate value of US$170,000.00, based upon [***].

  For the avoidance of doubt, Plaintiffs shall make Quarterly Payments (each, a “Quarterly Payment Date”) on or before the following dates:

  June 1, 2021

  September 1, 2021

  	2

  

  December 1, 2021

  March 1, 2022

  June 1, 2022

  September 1, 2022

  December 1, 2022

  March 1, 2023

  June 1, 2023

  September 1, 2023

  Notwithstanding anything to the contrary set forth in this Agreement, to accommodate the relevant issuance and delivery procedures and protocols for delivery of the shares of Equivalent Stock, the date for the “DWAC” of such shares into a brokerage account of Sullivan, shall be not later than 3 Standard Trading Days following the relevant Quarterly Payment Date or the date of the relevant Prepayment Notice. Whether any given Quarterly Payment is made in cash or shares of Equivalent Stock shall be at the sole and absolute discretion of Plaintiffs. The making of any given Quarterly Payment by tender of cash or delivery of shares of Equivalent Stock, respectively, shall not limit Plaintiffs’ discretion to elect to make any remaining Quarterly Payment(s) by a different means (tender of cash or delivery of shares of Equivalent Stock). However, notwithstanding such payment option, under no circumstances should this settlement be construed as a non-monetary settlement.

  3.Prepayments. On or after the first Quarterly Payment Date, Plaintiffs shall have the option to accelerate and make earlier (in full or in part at any time or from time to time) any or all of the then-remaining Quarterly Payments. Any one or more of the Quarterly Payments that are so accelerated (in full or in. part) (hereinafter, each, a “Prepayment”) may be tendered in cash or. with the written consent of Sullivan as to up to [***] of the shares of Prepayment Stock (as defined below). which consent may only be withheld, delayed, denied, or conditioned in accordance with the provisions of footnote 4, by delivery of shares of Equivalent Stock (such shares, the “Prepayment Stock”). Notwithstanding anything to the contrary contained herein, and for clarity, Sullivan’s consent rights in respect of the delivery of shares of Prepayment Stock shall only apply to up to [***] of such shares and Sullivan does not have any consent rights in respect of the “other” [***] of such shares. If JanOne elects to make a Prepayment by delivery of Prepayment Stock, it shall provide Sullivan with a Prepayment Notice in the manner set forth in Paragraph 3(N), below. Sullivan shall have [***] days from receipt of the Prepayment Notice to consent or decline the request for Prepayment by the delivery of Prepayment Stock. Any Prepayment that is to be made in cash shall be tendered within three Trading Days of the date of the Prepayment Notice. If such Prepayment in cash has not been so tendered, the Prepayment Notice shall be void ab initio and shall be of no further effect. Any Prepayment that is to be made by delivery of shares of Prepayment Stock shall be based upon the same calculation modality as set forth in Paragraph 3(A)(2), above; however, rather than utilizing a Quarterly Payment Date in such [***], the date of the Prepayment Notice shall be utilized in lieu thereof and [***]. If [***], then the value of the shares of Prepayment Stock to 

  	3

  

  4.be delivered shall instead be based upon [***]. In any event, the date for the “DWAC” of such shares of Prepayment Stock into a brokerage account of Sullivan, shall be not later than [***] following the date of the relevant Prepayment Notice. If such shares of Prepayment Stock shall not have been delivered by DWAC by the end of such third Standard Trading Day, the Prepayment Notice shall be void ab initio and shall be of no further effect.

  4.Tax Consequences. The Parties acknowledge that Sullivan’s, or his assignee(s) receipt of the Settlement Amount may be considered taxable income in whole or in part and/or capital gains or losses in whole or in part and, in each case, shall be subject to disclosure to the appropriate taxing authorities by JanOne and/or GeoTraq. Sullivan, and or his assignee(s), agree to pay any federal or state taxes that are required by law to be paid by Sullivan with respect to the receipt of the Settlement Amount.

  5.Adequacy of Consideration. The Parties agree that the covenants and promises made in this Agreement are in consideration of the payment and other promises made in this Agreement, which the Parties acknowledge to be sufficient, just, and adequate consideration for the covenants, obligations, and promises in this Agreement. The Parties agree that the payment of the Settlement Amount shall constitute the entire amount of payments provided to Sullivan under this Agreement and that Sullivan is not entitled to and will not seek any further compensation, monetary or otherwise, for any other claimed damages, costs, or attorneys’ fees in connection with the matters encompassed in this Agreement.

  6.Specific Assumption of Equivalent Stock or Prepayment Stock Risk. Sullivan acknowledges and understands that (i) [***] of JanOne’s common stock has been highly volatile and may continue to be highly volatile and (ii) the value of the shares of Equivalent Stock or Prepayment Stock that may be delivered to Sullivan under this Agreement will fluctuate between the date(s) of calculation of the number of shares thereof, as delivered to Sullivan, and the date(s) of Sullivan’s sales thereof.

  G.Irrevocable Transfer Instruction Letter. Not later than the Effective Date, JanOne shall execute and deliver to its transfer agent an irrevocable instruction letter (the “Irrevocable Transfer Agent Instruction Letter”) in the form attached hereto as Exhibit “B.” The Irrevocable Transfer Agent Instruction Letter shall provide, in pertinent part, instructions for the transfer agent to deliver the shares of Equivalent Stock or Prepayment Stock to Sullivan for each Quarterly Payment upon (i) JanOne’s direction to the transfer agent to deliver the shares of Equivalent Stock to Sullivan for a Quarterly Payment or shares of Prepayment Stock to Sullivan for a Prepayment or (ii) Sullivan’s direction to the transfer agent to deliver the shares of Equivalent Stock to Sullivan if JanOne had failed to deliver to Sullivan a Quarterly Payment (in cash or shares of Equivalent Stock) on or before the Quarterly Payment Date. Further, during the period that commences on the Effective Date and terminates on JanOne’s tender of the entire Settlement Amount to Sullivan, JanOne shall not terminate its transfer agent (EO By Equiniti) unless, prior to the effective date of such transfer, JanOne and the successor transfer agent 

  	4

  

  H.have executed and delivered to Sullivan a letter substantially in the form of the Irrevocable Transfer Agent Instruction Letter.

  H.Assistance in Deposit of Shares. JanOne agrees to cooperate in good faith with Sullivan and/or his attorneys, representatives, agents, executors, heirs, assignees, or nominees, in obtaining any usual and customary regulatory letters, such as legal opinions and the like, to facilitate the deposit of the shares of Equivalent Stock and Prepayment Stock, if any, comprising any given Quarterly Payment or Prepayment, respectively, into the brokerage accounts of Sullivan and/or his representatives, agents, executors, heirs, assignees, or nominees at a broker-dealer in the United States, which broker-dealer is a member of The Depository Trust Company.

  I.Payment of [***]. Upon the Execution Date, at the specific request and direction of Sullivan, Plaintiffs shall tender to [***] (collectively, “[***]”), Sullivan’s former counsel, the amount of [***] in full and final satisfaction of the [***] from the Initial Payment, which is included in the total Settlement Amount. Prior to the tender of any of the Quarterly Payments or Prepayments to be made hereunder, Sullivan shall obtain the release of the attorneys’ fees lien claimed by [***], in the approximate amount of [***] (the “[***]”). Plaintiffs and Third-Party Defendants agree to cooperate in good faith with Sullivan and his attorneys to address and obtain the release the [***].

  J.Release of Fee Award. Plaintiffs expressly release and forever discharge Sullivan and his attorneys, representatives, insurers, assignees, agents, executors, administrators, heirs, and all persons acting by, through, or in any way on behalf of Sullivan, of and from any liability for the award of attorney’s fees in the amount of [***] ordered in the Litigation against Sullivan by order of the Court dated August 6, 2020. The Parties acknowledge that Plaintiffs’ release of their right to collect this amount as ordered by the Court (although subject to appeal or reconsideration by Sullivan) is a portion of the consideration received by Sullivan in connection with this compromise and settlement. 

  K.Release of Restrictive Covenants. Plaintiffs expressly release Sullivan from any and all restrictive covenants to which he is or may be subject under Sections 7(a), (b), (c), (d), and, as relevant, Sections 7(f) and (g) of the Employment Agreement entered into between Sullivan and GeoTraq on or about August 18, 2017, and Section 5.07 of the Merger Agreement, including, without limitation, any non-competition provisions. Nothing in this Paragraph shall affect the ownership or license of any intellectual property transferred or assigned by, between, or among the Parties.

  L.In Respect of Shares of JanOne Capital Stock. Sullivan expressly agrees that:

  7.Delivery of Series A Stock Certificate. Within three Standard Trading Days of the Effective Date, he shall deliver to JanOne any and all certificates, endorsed in blank, that are registered in his name and formerly represented shares of JanOne Series A Convertible Preferred Stock (the “Superseded Series A Stock”).

  	5

  

  8.Superseded Series A Convertible Preferred Stock. The JanOne Series A Convertible Preferred Stock has been superseded by the JanOne Series A-1 Convertible Preferred Stock (the “Series A-1 Stock”).

  9.Delivery of Stock Power and Release of Claims to Convertible Preferred Stock. Within three Standard Trading Days of Sullivan’s receipt of the entire Settlement Amount, he shall deliver to JanOne a Stock Power, Stock Assignment, or equivalent form, in any such case endorsed in blank, with his signature medallion guaranteed, in respect of the shares of Series A-1 Convertible Preferred Stock that are registered in his name as of the Effective Date (the “Stock Power”) and, in connection therewith, will be deemed to have released any and all claims to any and all shares of the Superseded Series A Stock and any and all then-outstanding Series A-1 Stock and any shares of capital stock underlying such shares and any rights to any other shares of capital stock of the Company or GeoTraq.

  10.Series A-1 Stock Conversion Rights. Notwithstanding any language to the contrary in any Certificate of Designation of the Preferences, Rights, and Limitations of the Series A-1 Convertible Preferred Stock of the Company, as amended or as amended and restated, Sullivan expressly agrees that, in connection with the transactions contemplated by, and by the express and implied terms of, this Agreement, from and after the Effective Date through and including the date on which he has delivered the Stock Power to JanOne, he shall be deemed (i) to have provided to JanOne his proxy to vote the shares of the Series A-1 Stock and the underlying shares, whether in the context of an annual meeting of stockholders or a special meeting of stockholders or in the context of a written consent of stockholders, which deemed proxy shall be irrevocable and coupled with an interest, and (ii) to have released to JanOne the sole and exclusive right to exercise any and all conversion rights in respect of the shares of the Series A-1 Stock. In connection with the Litigation, the shares of the Series A-1 Stock and any shares into which they might have been converted are deemed to have been the subject of a “lock-up.” In connection with the terms of this Agreement, any shares of Equivalent Stock and any shares of Prepayment Stock are the subject of a “DWAC leak-out” in accordance with the delivery provisions set forth above. To the extent JanOne breaches any material term of this Agreement, following notice and an opportunity to cure, the proxy and sole and exclusive right to exercise conversion rights in respect to the Series A-1 Stock contemplated in this Paragraph (G)(4) shall be deemed revoked as to any shares of Series A-1 Stock then issued and outstanding, as well as JanOne’s proxy rights in respect of any shares of common stock into which shares of Series A-1 Stock may have been converted for delivery to Sullivan or to his designated broker-dealer.

  M.Release of [***]. Sullivan expressly agrees to forego any further action with respect to the “[***]” made by Sullivan to the [***] (the “[***]”) on or about October 1, 2019 under [***] (the “[***]”), including, but not limited to, initiating further contact with the [***] either directly or through his attorneys, representatives, agents, or third parties. Sullivan further agrees to withdraw the [***] in writing, to the extent permitted by law, by sending a notice of withdrawal the [***] to the [***] in the form 

  	6

  

  N.attached hereto as Exhibit “D” and, to the extent permitted by law, agrees to refrain from submitting any new or amended complaint, grievance, tip, referral, or other action to the [***] or any other governmental or regulatory body or self-regulatory organization, which new or amended complaint, grievance, tip, referral, or other action relates in any way to the subject matter of the Complaint, Sullivan’s Counterclaims, the Third-Party’s Counterclaims, this Agreement, or the matters set forth in the [***].

  N.Mutual Release of Known and Unknown Claims. The Parties, and their officers, directors and attorneys (past and present) do hereby release and forever discharge one another and each of their respective affiliates, subsidiaries, parent entities, equity holders, employees, officers, directors, partners, attorneys, predecessors, successors, representatives, insurers, assignees, agents, executors, administrators, heirs, devisees, legatees, and all persons acting by, through, or in any way on behalf of one another (the “Released Parties”), of and from any and all claims, debts, defenses, liabilities, costs, attorneys’ fees, actions, suits at law or equity, demands, contracts, expenses, damages, whether general, specific, punitive, exemplary, contractual or extra-contractual, and causes of action of any kind or nature that any of the Parties may now have or claim to have against the Released Parties, including, without limitation, all claims or causes of action that in any way, directly or indirectly, or in any other way arises from or are connected with or that could have been asserted in connection with the Complaint and Sullivan’s Counterclaims and any claims, causes of action, damages, promises or demands that could have been asserted in the Complaint and Sullivan’s Counterclaims and the Parties further covenant and agree that this Agreement may be pleaded or asserted by or on behalf of the Released Parties as a defense and complete bar to any action or claim that may be brought against or involving the Released Parties by anyone acting or purporting to act on behalf of any of the Parties with respect to any of the matters within the scope of this Agreement, excepting only the obligations of the Parties under this Agreement. This full and final release shall cover and shall include and does cover and does include any and all known damages or future damages not now known to any of the Parties hereto, but that may later develop or be discovered, including the effects and consequences thereof, and including all causes of action therefor that arise out of the same facts as were alleged or could have been alleged in the Complaint and Sullivan’s Counterclaims.

  In addition, and not by way of limitation, to the broad and general release set forth above, Sullivan specifically acknowledges and agrees that, by executing this Agreement, Sullivan is releasing any claims against JanOne and GeoTraq for any disability discrimination in violation of the Americans with Disabilities Act of 1990 (ADA) (42 U.S.C. §§ 12101); any violation of Title VII of the Civil Rights Act of 1964 (42 U.S.C. §§ 2000e, et seq.); any claims under 42 U.S.C. § 1981; any violation of the Equal Pay Act of 1963 (29 U.S.C. § 2006(d)); any claims under the Employee Retirement Income Security Act of 1974 (ERISA); any claims under the Age Discrimination in Employment Act of 1967 (ADEA) (29 U.S.C. §§ 621, et seq.); the Older Workers Benefit Protection Act (OWBPA); the Family and Medical Leave Act (FMLA) (29 U.S.C. §§ 2601, et seq.); the Worker Adjustment 

  	7

  

  Retraining and Notification Act of 1988 (29 U.S.C. §§ 2101, et seq.); Nevada Revised Statutes §§ 613.310 to 613.430 (Employment Discrimination, Harassment and Retaliation); Nevada Revised Statutes §§ 608.005 to 608.195 (Payment and Collection of Wages and Penalties); Nevada Revised Statutes §§ 608.250 to 608.290 (Minimum Wage); Nevada Revised Statutes §§ 616A to 616D (Nevada Industrial Insurance Act); Nevada Revised Statutes §§ 617.010, et seq. (Nevada Occupational Diseases Act); Nevada Revised Statutes §§ 618.005 to 618.936 (Nevada Occupational Safety and Health Act); Nevada Revised Statutes §§ 629.101, et seq. (Nevada Genetic Information and Testing Law); Nevada Labor Relations Laws; future causes of action under the federal False Claims Act (31 U.S.C. §§ 3729 – 3733); and/or any state false claims acts relating in any manner to information learned while employed with GeoTraq or affiliated with JanOne; the Sarbanes-Oxley Act of 2002; any claims under any state law, statute or ordinance, including state equal opportunities for employment laws and fair employment and housing laws; any claims arising under the Fair Labor Standards Act (29 U.S.C. §§ 201, et seq.) and any similar state statute, any wage, hour, tip, or bonus claims arising under any federal, state; or local law; any claim for retaliation; and any claims growing out of any legal restriction on JanOne and/or GeoTraq’s right to terminate or constructively terminate their respective employees, including, but not limited to, contract, tort, public policy, or wrongful discharge, which arises from any and all events occurring on or before the Effective Date. All such claims (including related attorneys’ fees and costs) are forever barred by this Agreement. To the extent applicable law may prohibit a waiver of claims under a particular statute, Sullivan acknowledges that he has waived any claim under each such statute, as identified herein.

  O.Waiver of Unknown Claims and Affirmative Disclosure that Parties Have Identified All Pending Claims. The Parties understand that there may hereafter be a discovery of claims or facts in addition to those currently known or believed to be true, accrued or unaccrued; nevertheless, and for the purpose of implementing a full and complete release and discharge. and except as expressly limited herein, the Parties expressly acknowledge that this Agreement is intended to include and does include in effect, without limitation, all claims that the Parties do not know or suspect to exist in favor at the time the Parties sign this Agreement and that this Agreement expressly contemplates the extinguishment of all such known or unknown claims against all known and unknown tortfeasors, people, companies or any other legal entity.

  EACH OF THE PARTIES ACKNOWLEDGES AND AGREES THAT THE RELEASE AND DISCHARGE SET FORTH IN THIS AGREEMENT IS A GENERAL RELEASE AND DISCHARGE AS TO IT AND ALL OTHER RELEASED PARTIES. EACH OF THE PARTIES FURTHER EXPRESSLY WAIVES AND ASSUMES THE RISK THAT ANY AND ALL CLAIMS FOR DAMAGES THAT EXIST AS OF THE EFFECTIVE DATE BUT OF WHICH IT DOES NOT KNOW OR THAT IT DOES NOT SUSPECT EXIST, WHETHER THROUGH IGNORANCE, OVERSIGHT, ERROR, NEGLI¬GENCE, OR OTHERWISE, AND THAT, IF KNOWN, WOULD 

  	8

  

  MATERIALLY AFFECT A PARTY’S DECISION TO ENTER INTO THIS AGREEMENT, ARE BEING RELEASED AND WAIVED BY THIS AGREEMENT.

  P.Attorneys’ Fees and Costs. It is expressly understood by the Parties that each Party shall bear its own costs, expenses, and attorney’s fees in connection with the Litigation and this Agreement. Further, the Parties waive and release any claims they otherwise have or may have had to such costs, expenses and/or attorneys’ fees in any way arising from or relating to the Litigation and this Agreement.

  Q.Compromise and Full Settlement. This Agreement is made as a compromise and full settlement of the Litigation, resulting from arms-length negotiations. For these and other reasons, the Parties agree that this Agreement: (a) shall not be presumptively construed against any Party, even if a court determines that the Agreement or any provision hereof was drafted by one Party; (b) shall not be admissible in any proceeding as evidence of, and shall not under any circumstances be considered an admission of the truth or legal sufficiency of, any or all of the arguments, allegations, claims and/or other matters asserted in the Litigation; and (c) is entered into with prejudice. The Parties further agree that, by executing this Agreement, none of the Parties admits any liability or fault. This Agreement and compliance with this Agreement shall not be construed or deemed as an admission by any of the Parties of any fault, liability, or concession whatsoever.

  R.Dismissal of Claims. Upon execution of this Agreement and payment of the Initial Payment, all Parties shall dismiss all pending claims in the Litigation with prejudice with each Party to bear its own attorneys’ fees and costs.

  S.Notice of Breach of Agreement. Each of the Parties covenants and agrees to provide via Certified Mail, Return Receipt to Sender, postage prepaid written notice with the right to cure (a “Notice”) of any alleged breach of this Agreement (a “Breach”) to the offending Party prior to initiating a civil action against that Party. The Party that received Notice of the alleged Breach shall have thirty (30) days to investigate and cure any alleged Breach without incurring civil liability. The Notice shall be provided to the applicable Party at the following respective addresses:

  Gregg Sullivan
c/o Sylvester & Polednak, Ltd.
Attn: Jeff Sylvester
1731 Village Center Cir. #120
Las Vegas. NV 89134

  JanOne, GeoTraq, and/or T. Isaac
c/o Holland & Hart
Attn: Steve Peek/Jessica Whelan
9555 Hillwood Dr., Floor 2
Las Vegas, NV 89134

  	9

  

  T.Right To Cure Breach of Agreement. After proper Notice has been given, if good faith efforts are not made to cure the alleged Breach within thirty (30) days, only then may the Party that provided the Notice bring a civil action for the alleged Breach. Conversely, if within thirty (30) days of proper Notice of the alleged Breach, good faith efforts are made to cure the alleged Breach or the Breach is reasonably cured, the Party that provided the Notice is precluded from filing a civil action in respect of the alleged breach against the Party that received the Notice. If a civil action is properly brought in accordance with this Agreement, the prevailing Party in such civil action, including all appeals, shall receive all of its damages, costs, expenses, and reasonable attorneys’ fees, as well as any such other relief, to which the Party may be entitled by law.

  U.Governing Law. Jurisdiction, and Venue. This Agreement is entered into in the State of Nevada. The laws of the State of Nevada (without giving effect to choice of law or conflict of law principles) shall govern the validity, construction, performance, and effect of this Agreement. Any dispute arising out of or relating to this Agreement shall be adjudicated in a court of competent jurisdiction located in Clark County, Nevada, which shall be the exclusive jurisdiction for any such dispute. Each of the Parties knowingly and voluntarily accepts personal jurisdiction and venue within Clark County, Nevada and waives any right to object to jurisdiction or venue within Clark County, Nevada on any ground, including grounds of convenience of this forum.

  V.Jury Waiver. EXCEPTING HEREFROM SOLELY ANY CLAIMS FOR FRAUD IN THE INDUCEMENT IN RESPECT OF THE EXECUTION AND DELIVERY OF THIS AGREEMENT, EACH PARTY ACKNOWLEDGES AND AGREES THAT ANY CONTROVERSY THAT MAY ARISE UNDER THIS AGREEMENT IS LIKELY TO INVOLVE COMPLICATED AND DIFFICULT ISSUE AND, THEREFORE, EACH PARTY IRREVOCABLY AM) UNCONDITIONALLY WAIVES ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LEGAL ACTION ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY. EACH PARTY CERTIFIES AND ACKNOWLEDGES THAT (A) NO REPRESENTATIVE OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT SEEK TO ENFORCE THE FOREGOING WAIVER IN THE EVENT OF A LEGAL ACTION; (B) SUCH PARTY HAS CONSIDERED THE IMPLICATIONS OF THIS WAIVER; (C) SUCH PARTY MAKES THIS WAIVER VOLUNTARILY; AND (D) SUCH PARTY HAS HAD THE OPPORTUNITY TO REVIEW THIS AGREEMENT, INCLUDING THIS EXPRESS WAIVER OF THE RIGHT TO A TRIAL. BY JURY.

  W.Severability. If any provision of this Agreement is held to be illegal, invalid, or unenforceable, (i) such provisions shall be fully severable, (ii) the Agreement shall be construed and enforced as if such illegal, invalid, or unenforceable provision had never comprised a part of this Agreement, and (iii) the remaining provisions of this Agreement shall remain in full force and effect and shall not be affected by such 

  	10

  

  X.illegal, invalid, or unenforceable provision or by its severance from this Agreement. Furthermore, in lieu of such illegal, invalid, or unenforceable provision, there shall be added automatically as part of this Agreement a provision as similar in terms to such illegal, invalid, or unenforceable provision as may be possible and be legal, valid, and enforceable.

  X.Confidentiality. In the absence of prior written consent of the other Parties hereto, none of the Parties, nor any of their respective agents or representatives, may disclose to any third party the terms of this Agreement or the information any Party provides to another Party pursuant to this Agreement. This Paragraph shall not prohibit the Parties from disclosing the fact of settlement or the existence of this Agreement, but not the contents thereof, to any third party, or from disclosing the existence of this Agreement or the terms hereof to such Party’s accounting or financial personnel for accounting or tax purposes, or as is required to comply with any applicable statutes or regulations of any governmental agency or self-regulatory organization, or from complying with lawful subpoenas or other process to provide testimony, information and/or documents in connection with any civil, criminal, or administrative proceeding.

  Y.Non-Disparagement. Each Party agrees that it will not, at any time now or in the future, make any verbal or written statement, including over the Internet (anonymously or otherwise), to a third party, which statement is reasonably likely to be harmful to, or to be injurious to the goodwill, good name, reputation or business standing of another Party or other Parties, or of another Party or other Parties’ affiliates, subsidiaries, officers, directors, members, managers, partners, executives, employees or agents. Nothing in this Paragraph shall prohibit the Parties from providing truthful testimony if called upon to provide the same under oath in a court, regulatory, administrative, or other proceeding in which sworn testimony is sought.

  Z.Non-Cooperation. Each Party agrees that it will not cooperate with, aid, assist, or encourage in any way, any other person, including, without limitation, current and former investors, actual, prospective, or putative stockholders, current and former employees of any entity owned, controlled, or in which any Party now, or has ever had, any interest or in which any Party ever served as a director or executive officer, to pursue any legal claims, charges, or lawsuits against any of the other Parties related to the subject matter of this Litigation_ Notwithstanding the above, a Party may cooperate in the pursuit of legal claims, charges, or lawsuits described in this Paragraph only if it is compelled to testify under oath pursuant to a lawfully issued subpoena or other similar legal process, written notice of which that Party shall provide to the Party against which it is cooperating within five (5) days of the cooperating Party’s receipt or three (3) days prior to the cooperating Party giving any such testimony, whichever occurs first. Each Party agrees that its cooperation under the circumstances set forth herein shall be in a manner no more extensive than reasonably required.

  	11

  

  AA.Counsel. The Parties acknowledge that this Agreement and the separate Settlement Agreement and Mutual Release of Claims with the Other Parties of approximately even date herewith (the “Other Agreement”) were each executed and delivered voluntarily by each of the Parties, without any duress or undue influence on the part of, or on behalf of any of them. The Parties further acknowledge that they have or had the opportunity for representation in the negotiations for, and in the preparation and performance of, this Agreement by counsel of their choice and that they have read this Agreement, and have had an opportunity to have it fully explained to them by their counsel; and that in any case they are fully aware of the contents of this Agreement and its legal affect. Consistent with such acknowledgements, and without objection, each of the Parties has assumed the risks attendant to settling the matters referenced this Agreement and in the Other Agreement in the manner and for the type and amount of consideration set forth herein and therein.

  BB.Entire Agreement. This Agreement constitutes a single, integrated. written contract: expressing the entire understanding and agreement among the Parties in respect of the contents hereof, and the terms of the Agreement are contractual and not merely recitals. Further, this Agreement supersedes any previous negotiations, agreements, and understandings among the Parties in respect of the contents hereof. Each Party acknowledges that it has not relied on any oral or written representations by any other Party or Parties to induce it to sign and deliver this Agreement, other than the terms of this Agreement. Further, the Parties agree that no modifications of this Agreement can be made except in writing signed by each of the Parties or by an authorized representative of each of the Parties.

  CC.Representative Capacity. The individuals whose signatures are affixed to this Agreement in a representative capacity represent- and warrant that they are authorized to execute the Agreement on behalf of and to bind the entity on whose behalf the signature is affixed.

  DD.Counterparts. This Agreement may be executed in counterpart facsimile signatures and all such counterparts shall constitute a single form of this Agreement. Copies and facsimile copies of signature pages shall be deemed to be originals for any and all purposes.

  [Signatures on following page]

   

  	12

  

  IN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be executed as of the last day set forth below.

  		
	DATED:  4/9/2021
	JANONE INC.

	 
	 

	 
	 

	 
	By:   /s/ Tony Isaac

	 
	 

	 
	Its:   President and CEO

	 
	 

	 
	 

	DATED:  4/9/2021
	GEOTRAQ, INC.

	 
	 

	 
	 

	 
	By:   /s/ Tony Isaac____________

	 
	 

	 
	Its: 

	 
	 

	 
	 

	DATED:  4/8/2021
	 /s/ Gregg Sullivan

	 
	GREGG SULLIVAN

	 
	 

	 
	 

	DATED:   4/9/2021
	 /s/ Antonios Isaac

	 
	ANTONIOS (“TONY”) ISAAC

  SOLELY IN RESPECT OF PARAGRAPH 31 EACH OF THE “PARTIES” TO THIS “SETTLEMENT AGREEMENT AND MUTUAL RELEASE OF CLAIMS” AND EACH OF THE UNDERSIGNED HEREBY AGREES THAT EACH OF THE UNDERSIGNED IS INCLUDED IN THE DEFINITION OF “RELEASED PARTIES” HEREIN.

  		
	DATED:  4/8/2021
	ISAAC ORGANIZATION, LLC

	 
	 

	 
	 

	 
	By:   /s/ Jon Isaac

	 
	 

	 
	Its: 

	 
	 

	 
	 

	DATED:  4/8/2021
	THE ISAAC FAMILY TRUST

	 
	 

	 
	 

	 
	By:   /s/ Jon Isaac

	 
	 

	 
	Its: 

    DOCPROPERTY "CUS_DocIDChunk0" 17198651_v1

  	13

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00332-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00332-of-00352.parquet"}]]