Document:

Exhibit 10.1

 

DATED

 

16 May
2018

 

SETTLEMENT AGREEMENT

 

AMONG

 

INSPIRED GAMING (GIBRALTAR) LIMITED

 

AND

 

DMWSL 633 LIMITED

 

AND

 

INSPIRED ENTERTAINMENT, INC.

 

AND

 

LUKE L. ALVAREZ

 

     

     

    

 

This AGREEMENT is made on 16 May 2018

 

AMONG

 

		(1)	Inspired Gaming (Gibraltar) Limited with a company registered number of 112428, and whose
registered office is at 57/63 Line Wall Road, Gibraltar (the “Employer”);

 

		(2)	DMWSL 633 Limited with a company registered number of 07176544, and whose registered office
is at 3 The Maltings, Wetmore Road, Burton-On-Trent, Staffordshire, DE14 1SE (the “UK Company”);

 

		(3)	Inspired Entertainment, Inc., a Delaware corporation, with its principal executive offices
at 250 West 57th Street, Suite 2223, New York, NY 10107 (“Inspired US”), (together the “Inspired Parties”);
and

 

		(4)	Luke L. Alvarez (the “Executive”); 

(together the “Parties”).

 

BACKGROUND

 

		A.	The Executive has served as President and CEO of the Employer under a service agreement with the
Employer dated 1 April 2015 as amended by a letter of amendment dated 23 March 2017 (together the “Service Agreement”)
and as President and CEO of Inspired US as an employee at will.

 

		B.	The Executive has also served as a director of the UK Company under a letter of appointment dated
23 March 2017 (“Letter of Appointment”) and was separately designated to serve on various other Inspired affiliated
Boards including Inspired US.

 

		C.	On 16 May 2018 (the “Separation Date”) the Parties agreed to separate
on an amicable basis, by means of the resignation with immediate effect by the Executive, from all directorships and employee and
other positions he holds with any and all of the entities in the Inspired Entertainment, Inc. consolidated group of companies (each
a “Group Company”) and pursuant to the other terms set out in this agreement (the “Agreement”).

 

IT IS AGREED THAT

 

		1.	Save as set out specifically in this Agreement, all defined terms shall have the same meaning as
under the Service Agreement.

 

		2.	In this Agreement, “Claim” or “Claims” includes (without
limitation) any and all actions, claims, rights, demands, and set-offs, including all causes of action and rights to bring any
civil, criminal or regulatory complaint (whether before any court, tribunal, regulatory or other authority) arising or made (or
to be made) in any jurisdiction whether in contract, tort or equity or under or in relation to any statute, regulation, rule or
guidance. A Claim or Claims includes, but is not limited to, any action or proceedings of any kind for any relief including by
way of equitable relief, damages, injunctions, declarations, costs and expenses (including, without limitation, the causes of action,
suits or proceedings listed in Schedules 3, 4 and 5).

 

    	 	1	 

     

    

 

		3.	In consideration of the Executive’s agreements, covenants, representations and warranties
herein, the Employer will pay to the Executive the following sums at the following times:

 

		3.1.	The sum of £200,000, to be paid to you within seven days of the execution of this Agreement
and the letters set forth in Schedules 1, 2 and 6 hereof;

 

		3.2.	The sum of £325,000, to be paid to you in nine substantially equal monthly installments on
or before the last business day of each such month, commencing on or before the last business day of June 2018 and ending on or
before the last business day of February 2019 (which, in addition to the £200,000 amount to be paid to you earlier pursuant
to clause 3.1, above, is equivalent to 12 months of salary under the Service Agreement and UK director fees);

 

		3.3.	A sum equal to the value of 12 months of the Executive’s current health and life insurance
premiums, to be paid to you in nine substantially equal monthly installments on or before the last business day of each such month,
commencing on or before the last business day of June 2018 and ending on or before the last business day of February 2019; and

 

		3.4.	The sum of £306,250, to be paid to you on or before 1 April 2019.

 

		3.5.	Amounts paid shall be subject to all applicable income tax, social insurance and other lawful deductions
as set out in Schedule 7.

 

		3.6.	For convenience, a schedule of such payments is set forth in Schedule 7 hereof.

 

		4.	In consideration of the above, the Executive agrees that he:

 

		4.1.	shall resign with immediate effect from all directorships and employments referred to in the resignation
letters set out in Schedule 6, and shall execute and deliver such letters, and shall resign with immediate effect from any and
all other directorships and employee and other positions he may hold in or on behalf of any Group Company, and shall carry out
any other act required or requested by the Employer to effect his resignation from any and all such positions. The Employer shall,
without undue delay, take such steps as are necessary to give effect to the Executive’s resignation from any directorships
or other office, trusteeship or position that he holds;

 

		4.2.	shall not at any time after the Separation Date represent himself as connected with the Employer
or any Group Company in any capacity other than as a former director and employee or as a shareholder; and

 

		4.3.	irrevocably appoints Inspired US to be his attorney in his name and on his behalf to sign, execute
or do any instrument or thing and generally to use his name in order to give the Inspired Parties (or their nominee) the full benefit
of the provisions of this clause.

 

		5.	In consideration of the above, the Executive agrees that he:

 

		5.1.	has been paid his salary up to April 2018 and will be paid until 10 May 2018 and will be paid his
accrued but unused holiday time in accordance with Schedule 7 and that he has received all contractual benefits up to 10 May 2018;
and

 

    	 	2	 

     

    

 

		5.2.	has been reimbursed in respect of any properly authorised and approved expenses claims incurred
up to and including 10 May 2018 in accordance with the Employer’s policies and the Executive warrants that he has notified
the Employer in writing of all unclaimed expenses incurred prior to the date of this Agreement.

 

		6.	The Employer shall pay direct to the Executive’s UK and Gibraltar legal advisers (“UK
Adviser” and “Gibraltar Adviser” respectively), provided the Employer receives within 14 days of the
date of this Agreement an invoice from them (addressed to the Executive and marked as payable by the Employer), their reasonable
legal fees and other charges incurred solely in connection with advising the Executive on the termination of the Executive’s
employment with the Employer and related resignations from directorships, up to an aggregate maximum of £10,000 (exclusive
of VAT).

 

		7.	With respect to the 617,515 Shares of Restricted Stock that were previously awarded to the Executive
under the Inspired Entertainment, Inc. 2016 Long-Term Incentive Plan and an Award Agreement between the Executive and the Employer,
and which are not yet vested (the “First Plan RSAs”), this clause acknowledges and confirms that the First Plan
RSAs will continue to remain assigned to the Executive as set forth in such plan and the Award Agreement for a good leaver termination
(i.e., termination without “cause” by service recipient) and be governed by the terms of such plan and award. The Inspired
Parties confirm that Inspired US remains bound by the Restricted Stock Agreement dated 29 December 2016 and Inspired US may not
amend the terms of the First Plan RSAs without the Executive’s prior written agreement.

 

		8.	Set forth in Schedule 8 hereof is a jointly agreed statement of the Executive and the Executive
Chairman of Inspired US, citing their mutual commitment to the success and continued growth of the business of the Group Companies
and setting forth the rationale for the Executive’s departure. The Parties agree that any statements made concerning the
Executive’s departure shall be consistent with the jointly agreed statement and otherwise in compliance with their respective
obligations under clause 11.4 hereof.

 

		9.	In regard to the Executive’s holdings of securities of Inspired US:

 

		9.1.	The Executive holds 1,076,992 shares of Inspired US common stock at the transfer agent level in
book-entry form, consisting of 926,272 shares awarded to the Executive under the Restricted Stock Agreement dated 29 December 2016
(308,757 of which shares no longer have performance conditions and 617,515 of which shares are the First Plan RSAs (as defined
above) and still have performance conditions), and 150,720 shares issued to the Executive under a subscription agreement with Inspired
US; and, based on a Form 4 filed by the Executive with the SEC, the Executive also holds an additional 5,000 shares, which he acquired
in the open market on February 26, 2018; and as a result of the foregoing the Executive holds a total of 1,081,992 shares, 617,515
of which shares are unvested.

 

		9.2.	Inspired US shall use its best efforts to have effected with the U.S. Securities and Exchange Commission,
on or prior to December 31, 2018, the registration for resale of the shares of Inspired US common stock held by the Executive as
of the Separation Date and on the date such registration is to be effected, and the shares of Inspired US common stock underlying
the First Plan RSAs held by the Executive as of the Separation Date and on the date such registration is to be effected; provided,
that (i) the Executive shall supply such information, and at such times, as may reasonably be requested by Inspired US in order
to effect and maintain the registration for resale of any such securities, and indemnify Inspired US against any losses arising
out of any untrue statement or allegedly untrue statement of a material fact contained in such information or any omission or alleged
omission to state a material fact required to be stated therein or necessary in order to make the statements therein, in the light
of the circumstances under which they were made, not misleading; and (ii) Inspired US shall have the right to defer or suspend
any such registration for so long as it would be materially detrimental to Inspired US and its stockholders for such registration
to be effected or maintained, as applicable, as determined in the good faith judgment of the Board of Directors of Inspired US,
with such determination to be evidenced to the Executive by a certificate to such effect signed by the Executive Chairman of Inspired
US, except that the fact that the Executive was formerly the Chief Executive Officer and a director of Inspired US, or formerly
held any of the other positions he held with any Group Companies, shall not be a sufficient basis for determining that effecting
or maintaining such registration would be materially detrimental to Inspired US and its stockholders.

 

    	 	3	 

     

    

 

		10.	The Employer and Inspired US (i) will procure that the Executive continues to be covered by the
Inspired US directors’ and officers’ insurance policy in respect of his actions while he was a director of Inspired
US and any Group Company for so long as such cover is maintained for “retired directors” under such policy; and (ii)
acknowledge that the terms of the current Inspired US certificate of incorporation (being the Second Amended and Restated Certificate
of Incorporation of Inspired US), extend indemnification “[t]o the fullest extent permitted by applicable law” to “each
person who is or was made a party or is threatened to be made a party to or is otherwise involved in any threatened pending or
completed action, suit or proceeding, whether civil, criminal, administrative or investigative (a “proceeding”) by
reason of the fact that he or she is or was a director or officer of [Inspired US] or, while a director or officer of [Inspired
US], is or was serving at the request of [Inspired US] as a director, officer, general partner, manager, managing member,
employee or agent of another corporation” (emphases supplied), state that the rights to such indemnification “shall
continue as to an indemnitee who has ceased to be a director, officer, employee or agent and shall inure to the benefit of his
or her heirs, executors and administrators” and state that any repeal or amendment of the foregoing provisions “shall,
unless otherwise required by law, be prospective only . . . and shall not in any way diminish or adversely affect any right or
protection existing at the time of such repeal or amendment”.

 

		11.	In consideration of the above:

 

		11.1.	the Executive accepts the terms of this Agreement in full and final settlement and release of:

 

		11.1.1.	the Claims listed at Schedule 3 (the “Gibraltar Claims”), the Claims listed
at Schedule 4 (the “UK Claims”), the claims listed at Schedule 5 (the “US Claims”), and any
other Claims as defined in this Agreement; and

 

		11.1.2.	any other Claims which the Executive has or may have now or in the future against the Employer
or any Group Company or its or their current or former directors, officers, employees or workers arising out of or in connection
with the Executive’s directorships, employment or other offices or positions, or their respective cessations (whether or
not the Executive or the Employer or any Group Company could have contemplated such a Claim at the date of this Agreement) but
excluding any Claim in respect of any breach of this Agreement or personal injury Claims of which the Executive is currently unaware
which the Executive may have relating to his employment with the Employer. The Inspired Parties confirm and warrant that, as at
the date of this Agreement, the Group Companies and their directors and officers are not aware of any circumstances relating to
the Executive’s employment with the Employer and/or directorship(s) or otherwise howsoever that would give rise to any Claim
or the contemplation of any claim now or in future by an Inspired Party against the Executive and accordingly they and their directors
and officers have no intention as at the date of this Agreement to make any such Claim against the Executive;

 

    	 	4	 

     

    

 

		11.1.3.	the release in this clause 11.1 shall not apply to:

 

		a.	any claim by the Executive to enforce this Agreement;

 

		b.	any claim by the Executive solely as a shareholder of Inspired US, which claim arises entirely
in the future, and for the avoidance of doubt is not a claim arising out of or in connection with any of his directorships, employment
or other offices or positions with any Group Company, or their respective cessations;

 

		c.	the Executive’s accrued pension rights; or

 

		d.	any personal injury claim of which the Executive is not aware and could not reasonably have been
aware at the time of signing this Agreement.

 

		11.2.	the Executive confirms that he will continue to be bound by:

 

		11.2.1.	the Executive’s obligations owed to the Employer or any Group Company relating to confidential
information (clause 16 of the Service Agreement);

 

		11.2.2.	the Executive’s obligations owed to the Employer or any Group Company under clause 17.2 of
the Service Agreement, and

 

		11.2.3.	the Executive’s obligations owed to the Employer or any Group Company relating to restrictive
covenants (clause 19 of the Service Agreement);

 

		11.3.	the Executive shall not, save as required by law, at any time disclose the terms of this Agreement
(other than to the Executive’s immediate family, professional advisers or HM Revenue & Customs, or the Gibraltar Commissioner
of Income Tax). The Inspired Parties shall not, and shall cause the Group Companies not to, disclose the terms of this Agreement
other than to their respective professional advisers and except as required by HM Revenue & Customs or the Gibraltar Commissioner
of Income Tax, or as otherwise required by law, regulation or necessary business practice (including without limitation to the
Gambling Commissioner or other gambling or gaming regulator or similar authority in any jurisdiction), or under the public disclosure
requirements of any jurisdiction in which that party is a public reporting or listed company;

 

		11.4.	in addition to the obligations of the Executive under clause 17.2.3 of the Service Agreement, the
Executive undertakes that at any time following the date hereof he will not make and shall use all reasonable endeavours to prevent
the making of any disparaging or derogatory statements whether or not the statement is true, whether in writing or otherwise concerning
the Employer or any Group Company or its or their past or current or future directors or officers or employees or consultants and
the Inspired Parties undertake that at any time following the date hereof they will not make, shall cause the Group Companies not
to make and shall use all reasonable endeavours to prevent the making of any disparaging or derogatory statements whether or not
the statement is true, whether in writing or otherwise concerning the Executive, excluding in all events any statements required
to be made by law, regulation or necessary business practice (including without limitation to the Gambling Commissioner or other
gambling or gaming regulator or similar authority in any jurisdiction), or under the public disclosure requirements of any jurisdiction
in which that party is a public reporting or listed company;

 

    	 	5	 

     

    

 

		11.5.	the Executive acknowledges that, except as provided for under this Agreement, there are no sums
or securities owed to him by the Employer or any Group Company including any payments under any bonus, incentive, commission, share
option or similar scheme and that neither the Employer nor any Group Company nor the trustees of any such scheme is or shall be
liable to make any payment or provide him with shares (not including the First Plan RSAs referred to in paragraph 7) or other benefits
under any such scheme;

 

		11.6.	the Executive shall be entitled to retain his mobile phone numbers and the Employer and the Executive
shall work together to ensure that this takes place within 28 days from the Separation Date; and

 

		11.7.	the Executive agrees to make himself available to, and to co-operate with, the Employer and its
advisers in respect of any current internal investigation or administrative, regulatory, judicial or quasi-judicial proceedings
in which the Executive was involved prior to the date hereof, which the Executive acknowledges this could involve, but is not limited
to, responding to or defending any regulatory or legal process, providing information in relation to any such process, preparing
witness statements and giving evidence in person on behalf of the Employer. The Employer will reimburse any reasonable expenses
incurred by the Executive as a consequence of complying with his obligations under this clause, provided that such expenses are
approved in advance by the Employer.

 

		12.	The Executive shall indemnify the Inspired Parties on a continuing basis in respect of any income
tax, social insurance or National Insurance contributions (save for employers’ National Insurance contributions), or equivalent
in any other jurisdiction wheresoever and howsoever arising, due in respect of the payments and benefits in clause 3 save insofar
as a deduction in respect of income tax, social insurance or National Insurance contributions have been made by the Employer or
a Group Company from the payment and benefits (and any related interest, penalties, costs and expenses save where caused by any
act or omission of the Employer or a Group Company). The Employer shall give the Executive reasonable notice of any demand for
tax which may lead to liabilities on the Executive under this indemnity, and shall provide the Executive with reasonable access
to any documentation he may reasonably require to dispute such a claim (provided that nothing in this clause shall prevent the
Employer from complying with its legal obligations).

 

		13.	If the Executive breaches any material provision of this Agreement or pursues a Claim against any
Group Company arising out of his directorships, employment or other positions or offices, or their respective cessations, he agrees
to indemnify the Inspired Parties for any losses suffered as a result thereof, including all legal and professional fees.

 

If the Employer, a Group Company
or an Inspired Party breaches any material provisions of this Agreement the Employer and the Inspired Parties US agree to indemnify
the Executive for any losses suffered as a result thereof, including all legal and professional fees; provided, that if any such
loss arises or allegedly arises from a failure to make a material payment hereunder, the breach shall be cured and no indemnification
obligation shall arise if such payment is made within three (3) UK business days of the Executive giving the Inspired Parties notice
of his failure to receive such payment.

 

    	 	6	 

     

    

 

		14.	The Executive warrants that:

 

		14.1.	to the extent he has any of the Gibraltar Claims or UK Claims these have been asserted by him or
by the Gibraltar or UK Adviser (as relevant) on his behalf to the Employer prior to the date of this Agreement;

 

		14.2.	except for those Claims asserted as indicated in clause 11.1 above, the Executive has no other
Claims of any nature against the Employer or any Group Company or its or their current or former officers, employees or workers,
under any of the acts or regulations listed in Schedules 3, 4 and 5, or any other Claim;

 

		14.3.	he has taken independent legal advice as to the full nature, terms and effect of this Agreement
and in particular its effect on the Executive’s ability to pursue rights before an employment tribunal in Gibraltar and in
the UK and will forthwith provide to the Employer a confirmation in the form set out in Schedules 1 and 2 to this Agreement from
the Executive’s Gibraltar Adviser and UK Adviser and in both cases duly signed by the Executive’s Gibraltar and UK
Advisers;

 

		14.4.	he has been granted all leaves of absence to which he may have been entitled, and upon payment
of the sums set forth in Paragraph 3 herein he has been paid and/or has received all compensation, wages, bonuses, commissions,
and/or benefits to which he may be entitled;

 

		14.5.	he has not been retaliated against for reporting any allegations of wrongdoing by the Inspired
Parties or any Group Company or any of its or their officers, including any allegations of corporate fraud; and

 

		14.6.	his waiver of rights and claims as herein provided is in exchange for payments and consideration
under this Agreement.

 

		15.	The Gibraltar Adviser was and is Christopher Allan Esq of Peter Caruana & Co, a Solicitor of
the Supreme Court of Gibraltar whose firm holds a contract of insurance in force or an indemnity provided for members of a professional
body covering the risk of a claim by the Executive in respect of loss arising in consequence of the advice.

 

		16.	The UK Adviser was and is Mark Mansell, Esq. of Allen & Overy LLP, a Solicitor of the Supreme
Court of England and Wales whose firm holds a contract of insurance in force or an indemnity provided for members of a professional
body covering the risk of a claim by the Executive in respect of loss arising in consequence of the advice.

 

		17.	In respect of the certificate from the Gibraltar Adviser and the Claims set out in Schedule 3,
the conditions regulating compromise and settlement agreements under the provisions of section 62 of the Equal Opportunities Act
2006.

 

		18.	In respect of the certificate from the UK Adviser and the Claims set out in Schedule 4, the conditions
regulating settlement agreements under the provisions of the Equality Act 2010, the Employment Rights Act 1996 and the Working
Time Regulations 1998, the Trade Union and Labour Relations (Consolidation) Act 1992 the Sex Discrimination Act 1975, the Race
Relations Act 1976, the Employment Equality (Sexual Orientation) Regulations 2003, the Employment Equality (Religion or Belief)
Regulations 2003, the Employment Equality (Age) Regulations 2006, the Disability Discrimination Act 1995, the Equal Pay Act 1970,
and the National Minimum Wage Act 1998 are satisfied.

 

    	 	7	 

     

    

 

19. The
Executive accepts that the Inspired Parties (for themselves and on behalf of the Group Companies) are entering into this Agreement
in reliance upon the warranties provided by the Executive in paragraph 14 of this Agreement.

 

20. The
Executive acknowledges that his obligations under this Agreement constitute severable undertakings given for the benefit of the
Inspired Parties and each Group Company and may be enforced by Inspired US on behalf of any of them.

 

		21.	The Executive has not been induced to enter into this Agreement in reliance on, nor has he been
given, any warranty, representation, statement, agreement or undertaking of any nature whatsoever other than as are expressly set
out in this Agreement and the Inspired Parties (for themselves and on behalf of the Group Companies) accept that the Executive
is entering into this Agreement in reliance upon the warranties in this Agreement.

 

		22.	This Agreement is made without admission of wrongdoing or liability on the part of the Inspired
Parties or any Group Company.

 

		23.	Any Group Company, officer, employee, worker or shareholder or consultant may enforce and take
the benefit of those clauses of this Agreement in which reference is expressly made to such Group Companies, officers, employees,
workers or consultants subject to and in accordance with the provisions of the Contracts (Rights of Third Parties) Act 1999. No
consent of any such Group Company, director, officer, employee or shareholder or consultant will be required for the variation
or rescission of this Agreement. Except as provided in this clause, a person who is not a party to this Agreement has no right
under the Contracts (Rights of Third Parties) Act 1999 to enforce any term of this Agreement but this does not affect any right
or remedy of a third party which exists or is available apart from under that Act.

 

		24.	No failure or delay by the Executive, the Employer or any Group Company in exercising any remedy
or right under or in relation to this Agreement shall operate as a waiver of the same nor shall any single or partial exercise
of any remedy or right preclude any further exercise of the same remedy or right or the exercise of any other remedy or right.

 

		25.	If any provision of this Agreement shall be, or become, void or unenforceable for any reason within
any jurisdiction, this shall not affect the validity of that provision within any other jurisdiction or any of the remaining provisions
of this Agreement.

 

		26.	This Agreement is governed by the laws of Gibraltar and the Courts of Gibraltar shall have exclusive
jurisdiction to determine any dispute arising under or in respect of it, SAVE THAT:

 

		26.1.	to the extent any dispute shall arise under or in respect of the releases of the Claims set out
in Schedule 4 and/or 5, the laws specified in the said Schedules shall, as appropriate, apply to that dispute and the Courts of
the place specified in the said Schedules shall have jurisdiction to determine such matters; and

 

    	 	8	 

     

    

 

		26.2.	the provisions relating to the UK Adviser and the UK Adviser certificate at Schedule 2 shall be
governed by the laws of England and Wales and the Courts of England and Wales shall have jurisdiction to determine any dispute
arising under or in respect thereof.

 

		27.	The Executive remains bound by all provisions of the Service Agreement which by their terms survive
the termination or other cessation of his directorships, employment or other offices or positions, including but not limited to
the confidentiality terms set forth therein.

 

		27.1.	Notice of Immunity Under the US Economic Espionage Act of 1996, as amended by the Defend Trade
Secrets Act of 2016: Notwithstanding any other provision of this Agreement or the Service Agreement, (1) Executive will not be
held criminally or civilly liable in the US under any federal or state trade secret law for any disclosure of a trade secret that:
(a) is made (I) in confidence to a federal, state, or local government official, either directly or indirectly, or to an attorney;
and (II) solely for the purpose of reporting or investigating a suspected violation of law; or (b) is made in a complaint or other
document filed under seal in a lawsuit or other proceeding.

 

		27.2.	If Executive files a lawsuit for retaliation by any of the Inspired Parties or any Group Company
for reporting a suspected violation of law, Executive may disclose the relevant company’s trade secrets to Executive’s
attorney and use the trade secret information in the court proceeding if Executive: (a) files any document containing trade secrets
under seal; and (b) does not disclose trade secrets, except pursuant to court order.

 

		27.3.	Executive understands and acknowledges that his obligations under this Agreement and the Service
Agreement with regard to any particular confidential information shall continue until such time as such confidential information
has become public knowledge other than as a result of Executive’s breach of this Agreement or the Service Agreement, or breach
by those acting in concert with Executive or on Executive’s behalf.

 

		28.	Each party to this Agreement has reviewed and revised this Agreement. Each party to this Agreement
has had the opportunity to have such party’s legal counsel review and revise this Agreement. The rule of construction that
any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of this Agreement or
of any amendments or schedules to this Agreement.

 

		29.	At the time of considering or executing this Agreement, Executive was not affected or impaired
by illness, use of alcohol, drugs or other substances or otherwise impaired. Executive is competent to execute this Agreement and
knowingly and voluntarily waives any and all Claims he may have against all released parties hereunder or set forth in Schedules
3, 4 or 5. Executive certifies that he is not a party to any bankruptcy, lien, creditor-debtor or other proceedings which would
impair his right or ability to waive all claims he may have against the Inspired Parties or any Group Company.

 

		30.	Any notice to be served on the Executive shall be served on him by email at such email address
as the Executive shall notify to the Inspired Parties.

 

		31.	This Agreement may be executed in any number of counterparts, each of which, when executed, shall
constitute a duplicate original, but all the counterparts shall together constitute the one agreement.

 

    	 	9	 

     

    

 

This Agreement is marked “without
prejudice” and “subject to contract” but, once signed by the parties, shall have effect as, and can be relied
on as evidence of, a binding agreement. For the avoidance of doubt, this Agreement shall not be binding unless and until it is
signed by the parties.

 

	Signed: 	/s/ Luke L. Alvarez	 	 
	Luke L. Alvarez	 
	Date: 16/5/18	 

 

	Signed: 	/s/ Stewart F.B Baker	 	 
	Stewart F.B. Baker on behalf of Inspired Gaming (Gibraltar) Limited
	Date: May 16, 2018	 

 

	Signed: 	/s/ Stewart F.B. Baker	 	 
	Stewart F.B. Baker on behalf of DMWSL 633 Limited
	Date: May 16, 2018	 

 

	Signed: 	/s/ Stewart F.B Baker	 	 
	Stewart F.B. Baker on behalf of Inspired Entertainment, Inc.
	Date: May 16, 2018Exhibit 10.2

 

Execution Copy

 

INSPIRED
ENTERTAINMENT, INC.

250
West 57th Street, Suite 2223

New
York, New York 10107

 

May 1, 2018

 

VIA ELECTRONIC MAIL

 

Brooks H. Pierce

605 Old Kennett Road

Wilmington, Delaware 19807

 

Re: Terms of Continued Employment

 

Dear Brooks:

 

This letter agreement
(this “Agreement”) sets forth the terms and conditions of your continued employment with Inspired Entertainment,
Inc., a Delaware corporation (“Inspired” or the “Company”), as mutually agreed upon by you
and the Company. For valuable consideration and intending to be legally bound, the parties agree as follows:

 

1.    Prior Employment
Agreements. Effective as of May 1, 2018 (the “Effective Date”), the employment agreement between the Company
and you, dated as of April 11, 2018 (the “Prior Employment Agreement”), shall terminate and be of no further
force and effect. You shall forfeit any equity award under the Prior Employment Agreement and it will be replaced with the restricted
stock unit award provided under this Agreement. As of the Effective Date, this Agreement and your restricted stock unit award agreement
referred to below will constitute the entire agreement between the Company and you with respect to your terms and conditions of
employment.

 

2.    Duties and Responsibilities.
You shall serve in the capacity of, and have such powers, duties and responsibilities as are generally associated with the office
of President and Chief Operating Officer of the Company. In this capacity, you shall report directly to the Company’s Executive
Chairman.

 

3.    Performance.
You covenant and agree to faithfully and diligently perform all of the duties of your employment, devoting your full business and
professional time, attention, energy and ability to promote the business interests of the Company and all its properties. You further
agree that during the period of your employment with the Company, you will not engage in any other business or professional pursuit
whatsoever unless the Board of Directors of the Company (the “Board”) shall consent thereto in writing; provided,
however, that the foregoing shall not preclude you from engaging in civic, charitable, or religious activities or from devoting
a reasonable amount of time to private investments that do not unreasonably interfere or conflict with the performance of your
duties under this Agreement.

 

4.    Term. The term
of your employment under this Agreement shall commence as of the Effective Date and shall expire on May 1, 2020 (the “Initial
Term”), unless sooner terminated as provided under the terms of this Agreement. Upon the scheduled expiration of the
Initial Term, your employment may thereafter only be extended upon the express mutual written agreement of both you and the Company.

 

     

     

    

 

5.    Base
Salary and Annual Bonus.

 

(a)   Beginning
as of the Effective Date and throughout the duration of the Initial Term, you shall receive a base annual salary of $400,000 (Four
Hundred Thousand Dollars) (the “Base Salary”), payable in substantially equal installments every month or otherwise
in accordance with the regular payroll practices of the Company.

 

(b)   You
will, during your employment, be eligible to earn a target annual bonus of not less than 100% of your annual base salary
(“Target Bonus”) and a maximum annual bonus of 200% of your annual base salary. Annual performance goals, which
will be the same as those that apply to the Executive Chairman of the Company, will be established by the Compensation
Committee in consultation with you, and such goals, once final, will be communicated to you not later than 60 days after the
start of the applicable fiscal year. It is understood that for the fiscal year ending September 30, 2018 the goals shall be
set and communicated to you by June 1, 2018. Any annual bonus that becomes payable hereunder shall be paid to you within two
and one-half months after the end of the applicable fiscal year. For the fiscal year in which you are hired, your bonus will
be pro-rated based upon the number of weeks you are employed in the fiscal year.

 

6.    Equity Award.
As of the Effective Date (the “Date of Grant”), you shall be granted a one-time award of 100,000 (One Hundred
Thousand) restricted stock units under the Inspired Entertainment, Inc. Second Long-Term Incentive Plan, as amended (the “Plan”),
to vest in accordance with the terms of the Plan and the form of award previously provided to you (a copy of which is attached
hereto).

 

7.    Employee Benefit
Plans. During the Initial Term and any renewal, you shall be entitled to participate in any fringe group health, medical, dental,
hospitalization, life, accident insurance or other welfare plans, and any tax-qualified pension, tax-qualified profit sharing or
tax-qualified retirement plans, which may be placed in effect or maintained by the Company for the benefit of its employees generally,
or for its senior executives subject to all restrictions and limitations contained in such plans or established by governmental
regulation, provided, that no “most favored nation” clauses in other employment agreements shall thereby be incorporated
into your terms of employment.

 

8.    Communications Equipment
and Service. During the your employment hereunder, the Company will reimburse you for expenses relating to a mobile phone (iPhone
or similar device) and any associated service contract for such mobile phone. The use of such device shall be subject to the Company’s
prevailing policies.

 

9.    Expense Reimbursement.
You are authorized to incur such reasonable expenses as may be necessary for the performance of your duties hereunder in accordance
with the policies of the Company established and in effect from time to time and, except as may be otherwise agreed, the Company
will reimburse you for all such authorized expenses upon submission of an itemized accounting and substantiation of such expenditures
adequate to secure for the Company a tax deduction for the same, in accordance with applicable Internal Revenue Service guidelines.

 

10.   Vacations and Holidays.
You shall be entitled to vacations and holidays as provided in the Company’s vacation and leave policies as in effect from
time to time, but no less than four (4) weeks of paid vacation leave per year, at such times as may be requested by you and approved
by the Company. No more than two (2) weeks of vacation shall be taken consecutively.

 

11.   Termination by
the Company; Termination by You for Good Reason. The Company may terminate your employment hereunder for Cause (as defined
below). The Company may terminate your employment without Cause (and other than due to death or Disability (as defined below))
without advance notice. You may terminate your employment for Good Reason (as defined below).

 

    	 	2	 

     

    

 

(a)   In
the event the Company terminates your employment for Cause or you resign without Good Reason, or if the Company declines to extend
this Agreement beyond the Initial Term, you shall be entitled to receive: (i) Base Salary at the rate in effect at the time of
the termination through the date of termination of employment; (ii) reimbursement for allowable business expenses incurred, but
not paid prior to such termination of employment, subject to the receipt of supporting information by the Company; and (iii) such
other compensation and benefits as may be provided in applicable plans and programs of the Company, according to the terms and
conditions of such plans and programs. The restrictions set forth in Sections 17 and 18 shall continue to apply following such
termination of employment.

 

(b)   In
the event that the Company terminates your employment without Cause (and other than due to death or Disability), or you
terminate your employment for Good Reason, you shall be entitled to receive: (i) continuation of Base Salary for six (6)
months following termination of employment; (ii) reimbursement for allowable business expenses incurred, but not paid prior
to such termination of employment, subject to the receipt of supporting information by the Company; and (iii) any earned but
not yet paid bonus from the prior year; (iv) a pro-rated Target Bonus for the year in which the termination occurred (based
on a fraction, the numerator of which is the number of days you were employed by the Company during the year and the
denominator of which is 365; (v) acceleration to the termination date of 100% vesting of the 100,000 restricted stock units
granted under this Agreement; (vi) provided you timely elect continuation of your health coverage under the Consolidated
Omnibus Budget Reconciliation Act or applicable state law (“COBRA”), continued participation in the health plans
of the Company, with the Company paying the applicable COBRA premium for the first six months of such coverage; and (vii)
such other compensation and benefits as may be provided in applicable plans and programs of the Company, according to the
terms and conditions of such plans and programs. The restrictions set forth in Section 17 shall continue to apply following
such termination of employment.

 

(c)   “Cause,”
as used above, shall mean: (i) conviction of a felony, misappropriation of any material funds or material property of the Company,
its subsidiaries or affiliates; (ii) commission of fraud or embezzlement with respect to the Company, its subsidiaries or affiliates;
(iii) any material act of dishonesty relating to your employment by the Company resulting in direct or indirect personal gain
or enrichment at the expense of the Company, its subsidiaries or affiliates; (iv) use of alcohol or drugs that renders you materially
unable to perform the functions of your job or carry out your duties to the Company; (v) a material breach of this Agreement by
you; (vi) committing any act or acts of serious and willful misconduct (including disclosure of confidential information) that
is likely to cause a material adverse effect on the business of the Company, its subsidiaries or affiliates; (vii) willful violation
of the Company’s internal financial controls or anti-corruption policy or any applicable gaming or financial laws or regulations,
provided, that, with respect to (iv), and (v) above, the Company shall have first provided you with written notice stating with
specificity the acts, duties or directives you have committed or failed to observe or perform, and you shall not have corrected
the acts or omissions complained of within thirty (30) days of receipt of such notice.

 

(d)   “Good
Reason,” as used above, shall mean the occurrence of any of the following without Cause or without your consent: (i)
the Company’s removal of you as an executive officer of the Company or (ii) the Company’s reduction of the Base Salary;
or (iii) the Company making any other material adverse change in your status, position, duties, or responsibilities which is not
cured within thirty (30) days after written notice thereof is delivered by you to the Company. No purported termination for Good
Reason shall be effective unless you deliver a written notice of termination (specifying in reasonable detail the facts and circumstances
claimed to provide a basis for termination for Good Reason) to the Company within 90 days following your first obtaining
actual knowledge that facts or circumstances constituting Good Reason exist.

 

    	 	3	 

     

    

 

(e)   Except
as otherwise provided herein, the exercise and/or termination of any equity awards under this Agreement shall be governed by the
Plan and the applicable award agreements.

 

12.   Termination
Following a Change in Control.

 

(a)   You
may voluntarily terminate this Agreement and your employment with the Company upon 30 days’ written notice to the Company
without further restrictions or liability if there is a “Change in Control” as that term is defined in the Plan;
provided, that you give such notice within twelve months after the Change in Control and further provided that the restrictions
set forth in Sections 17 and 18 shall continue to apply following such termination of employment.

 

(b)   In
the case of a termination of this Agreement and your employment with the Company by you for Good Reason, or by the Company
without Cause, within twelve months following a Change in Control, you shall be entitled to receive promptly following the
date of such termination: (i) all accrued and unpaid Base Salary and previously earned bonus(es) through the date of
termination; (ii) a lump sum payment of two (2) times the Base Salary; (iii) acceleration to the termination date of 100%
vesting of the 100,000 restricted stock units granted under this Agreement; (iv) reimbursement for allowable business
expenses incurred, but not paid prior to such termination of employment, subject to the receipt of supporting information by
the Company; (v) such other compensation and benefits as may be provided in applicable plans and programs of the Company,
according to the terms and conditions of such plans and programs; and (vi) provided you timely elect continuation of your
health coverage under the Consolidated Omnibus Budget Reconciliation Act or applicable state law (“COBRA”),
continued participation in the health plans of the Company, with the Company paying the applicable COBRA premium for the
first two years of such coverage and employer contributions to non-qualified retirement plans and deferred compensation
plans, if any, for two years following the date of termination; provided, that the Company’s obligation to provide such
benefits shall cease at the time you and your covered dependents become eligible for comparable benefits from another
employer that do not exclude any pre-existing condition of you or any covered dependent that was not excluded under
the Company’s health and welfare plans immediately prior to the date of termination.

 

(c)   To
the extent that the health and welfare benefits provided for in Sections 11(b)(iv) and 12(b)(vi) are not permissible after termination
of employment under the terms of the benefit plans of the Company then in effect (and cannot be provided through the Company’s
paying the applicable premium for you under COBRA), the Company shall pay you such amount as is necessary to provide you, after
tax, with an amount equal to the cost of acquiring, for you and your spouse and dependents, if any, on a non-group basis, for the
required period, those health and other welfare benefits that would otherwise be lost to you and your spouse and dependents as
a result of your termination. Any amount payable under this Section 12(c) shall be determined as soon as practicable following
termination of employment and shall be paid to you within 60 days following termination of employment.

 

(d)   Except
as otherwise provided herein, the exercise and/or termination of the equity awards under this Agreement shall be governed by the
Plan and the applicable award agreements.

 

13.   Termination Due
to Death or Disability. Your employment hereunder shall terminate upon the occurrence of your death. The Company may terminate
your employment due to Disability. The restrictions set forth in Section 17 shall continue to apply following the termination of
employment due to Disability.

 

    	 	4	 

     

    

 

(a)   In
the event of a termination of your employment due to your death or Disability, you or your estate, as the case may be, shall be
entitled to receive: (i) continuation of Base Salary for 12 months following termination of employment (or, if shorter, the remainder
of the Initial Term), less any short term disability insurance proceeds you receive during such period in the event termination
of your employment is due to your Disability, and less any life insurance proceeds you receive from any company-paid life insurance
policies in the event of your death; (ii) acceleration to the termination date of 100% vesting of the 100,000 restricted stock
units granted under this Agreement; (iii) reimbursement for allowable business expenses incurred, but not paid prior to such termination
of employment, subject to the receipt of supporting information by the Company; and (iv) such other compensation and benefits as
may be provided in applicable plans and programs of the Company, according to the terms and conditions of such plans and programs.

 

(b)   Except
as otherwise provided herein, the exercise and/or termination of the equity awards under this Agreement shall be governed by the
Plan and the applicable award agreements.

 

(c)   “Disability”
as used above shall mean that, during your employment with the Company, you shall, in the opinion of an independent physician selected
by agreement between the Board and you, become so physically or mentally incapacitated that you are unable to perform the duties
of your employment for an aggregate of 180 days in any 365 day consecutive period or for a continuous period of six (6) consecutive
months.

 

14.   Post-Termination
Exercise Period for Equity Grants. Except as otherwise provided herein, the exercise and/or termination of any restricted stock
unit award, or any equity award, or option award under any plan the Company may create in the future, shall be governed by the
applicable plans and the applicable award agreements.

 

15.   Timing of Certain
Payments. Subject to Sections 16 and 19: (a) any amounts payable under Sections 11(a)(i), 11(b)(i), (iii) and (iv) or 12(b)(i)-(ii)
shall be paid as soon as practicable, and in any event within 30 days following termination of employment; and (b) any reimbursements
for allowable business expenses incurred under Sections 11(a)(ii), 11(b)(ii), 12(b)(iv) or 13(a)(iii) (to the extent such reimbursements
are treated as deferred compensation subject to Section 409A) shall be paid as soon as practicable following submission of the
claims but in any event not later than the third calendar year following the calendar year in which your separation from service
occurs.

 

16.   Release.
Notwithstanding any other provision of this Agreement to the contrary, you acknowledge and agree that any and all payments or
benefits to which you are entitled under Sections 11, 12, 13 or 14 are conditional upon and subject to your execution of the
General Release and Covenant Not to Sue in the form attached hereto as Exhibit A (which form may be reasonably
modified to reflect changes in the law), of all claims you may have against the Company and its directors, officers and
affiliates, except as to matters covered by provisions of this Agreement that expressly survive the termination of this
Agreement. You shall execute and deliver such General Release and Covenant Not to Sue within 60 days following termination of
employment, and, except as otherwise provided in Section 19, any payments that are subject to the execution of such General
Release and Covenant Not to Sue shall commence to be paid on the 61st day following termination of employment (with the first
such installment including any prior unpaid installments) or the 8th day after the effective date of the release,
whichever is later.

 

17.   Confidentiality.

 

(a)   In
addition to your common law obligations to keep confidential information secret, you must not disclose to any person, firm or company,
otherwise than in the proper course of his duties or with the written consent of the Company, any trade secret or information of
a confidential nature concerning the Company’s business, or any client of the Company including, but not limited to:

 

    	 	5	 

     

    

 

		i)	any trade secret or confidential or secret information concerning the business development, affairs,
future plans, business methods, connections, operations, accounts, finances, organization, processes, policies or practices, designs,
dealings, trading, software, or know-how relating to or belonging to the Company and/or to any affiliated company or any of its
suppliers, agents, distributors, clients or customers;

 

		ii)	confidential computer software, computer-related know-how, passwords, computer programs, specifications,
object codes, source codes, network designs, business processes, business logic, inventions, improvements and/or modifications
relating to or belonging to the Company and/or any affiliated company;

 

		iii)	details of the Company’s or any affiliated company’s financial projections or projects,
prices or pricing strategy, advertising, marketing or development plans, product development plans or strategies, fee levels, commissions
and commission structures, market share and pricing statistics, marketing surveys and research reports and their interpretation;

 

		iv)	any confidential research, report or development undertaken by or for the Company or any affiliated
company;

 

		v)	details of relationships or arrangements with, or knowledge of the needs or the requirements of,
the Company’s or any affiliated company’s actual or potential clients or customers;

 

		vi)	information supplied in confidence by customers, clients or any third party to which the Company
or any affiliated company owes an obligation of confidentiality;

 

		vii)	lists and details of contracts with the Company’s or any affiliated company’s actual
or potential suppliers;

 

		viii)	information of a personal or otherwise of a confidential nature relating to fellow employees, directors
or officers of and/or consultants to, the Company and/or any affiliated company for which the you may from time to time provide
services;

 

		ix)	confidential information concerning, or details of, any competitive business pitches, and/or target
details;

 

		x)	any document or information marked as confidential on its face; or

 

		xi)	any document or information which has been supplied to you in confidence or which he has been informed
is confidential or which he might reasonably be aware is confidential.

 

		xii)	any information of the sort described in this Section which you obtain or becomes aware of during
the course of your employment under this Agreement or which, by virtue of the your position, it may reasonably be assumed you have
obtained or become aware of during the course of you employment under this Agreement shall be “Confidential Information”
for the purposes of this Agreement.

 

(b)   You
undertake to use your best endeavors (subject to payment by the Company of any expense reasonably incurred in so doing) to prevent
unauthorized publication or disclosure to any third party of any Confidential Information (save as may be required by law or a
duly authorized regulatory body).

 

    	 	6	 

     

    

 

(c) The provisions
in this Section shall continue to apply after termination of employment, howsoever arising, without any time limit. The provisions
in this Section shall not apply to any information or knowledge which (i) is or comes into the public domain other than through
unauthorized disclosure of the Executive, (ii) is or becomes available to the Executive on a non-confidential basis from a source
which is entitled to disclose it to the Executive, or (iii) was already known to the Executive prior to the date hereof.

 

(d)   Nothing
in this Section shall be construed or interpreted as preventing the Executive from making a disclosure pursuant to any applicable
legal requirement or order of any court or other tribunal or regulatory body. In circumstances where the Executive feels it is
necessary for him to make such a disclosure, he should, to the extent practical, first raise the issue with the Board, or if the
Executive’s concerns relate to certain members of the Board, to an officer or officers of the Company whom he believes are
not involved or implicated in the relevant matter.

 

(e)   Nothing
in this Agreement or otherwise shall prohibit the Executive from (i) reporting possible violations of federal or state law or regulation
to any U.S. governmental agency or entity or self-regulatory organization (including but not limited to the U.S. Department of
Justice, the U.S. Securities and Exchange Commission, the U.S. Congress, and any U.S. agency Inspector General), or making other
disclosures that are protected under the whistleblower provisions or other provisions of U.S. federal or state law or regulation,
(ii) providing truthful testimony or statements to the extent, but only to the extent, required by applicable law, rule, regulation,
legal process or by any court, arbitrator, mediator or administrative, regulatory, judicial or legislative body (including any
committee thereof) with apparent jurisdiction (provided, however, that in such event, except as set forth in the foregoing clause
(i) above or clause (iii) below, Executive will give the applicable Group Company prompt written notice thereof prior to such disclosure
so that the Group Company may seek appropriate protection for such information), (iii) reporting or disclosing information under
the terms of the Company’s Reporting Suspected Violations of Law Policy or such similar policy as the applicable Group Company
may have in effect from time to time or (iv) disclosing information to the extent necessary to enforce the terms of this Agreement.

 

(f)   Notice
of Immunity Under the Economic Espionage Act of 1996, as amended by the Defend Trade Secrets Act of 2016 (“DTSA”).
Notwithstanding any other provision of this Agreement:

 

(i)   You
will not be held criminally or civilly liable under any federal or state trade secret law for any disclosure of a trade secret
that:

 

(A)   is
made (1) in confidence to a federal, state, or local government official, either directly or indirectly, or to an attorney; and
(2) solely for the purpose of reporting or investigating a suspected violation of law; or

 

(B)   is
made in a complaint or other document filed under seal in a lawsuit or other proceeding.

 

(ii)   If
you file a lawsuit for retaliation by the Company for reporting a suspected violation of law, you may disclose the Company’s
trade secrets to your attorney and use the trade secret information in the court proceeding if you:

 

(A)   file
any document containing trade secrets under seal; and

 

(B)   do
not disclose trade secrets, except pursuant to court order.

 

    	 	7	 

     

    

 

18.   Restrictive Covenant. You acknowledge and recognize
the highly competitive nature of the businesses of the Company and its subsidiaries and affiliates and accordingly agrees as follows:

 

(a)   During
your employment with the Company and for a period of one (1) year from the date of termination of your employment for any reason
(the “Restriction Period”), you shall not, in in any geographic area in which such business was so conducted
by the Company or any of its affiliates, directly or indirectly, either as principal, agent, employee, consultant, partner, officer,
director, shareholder, or in any other individual or representative capacity, own, manage, finance, operate, control or otherwise
engage or participate in any manner or fashion in the business of (i) creating, supplying and distributing real money, social and/or
virtual gaming, gambling and betting content, games and systems for lotteries, gaming and/or betting operators and retail customers,
worldwide, distributed and/or accessible through physical locations and using online means and/or mobile devices, and (ii) providing
gambling and lottery services, server-based gaming, virtual sports betting, electronic table gaming, licensing of gaming software,
sale, rental and lease of gaming machines and equipment, betting and lottery content, video lottery terminals, ticket dispensing
apparatus and distributing betting and lottery content online or via mobile, remote and field support and development related to
the provision of the aforementioned and anything ancillary which is materially similar to such goods and services, and other business(s)
of the Company from time to time or those parts of the business(es) of the Company and any Group Company with which you were involved
to a material extent in the six months before Termination.

 

(b)   In
addition to, and not in limitation of, the provisions of Section 18(a), you agree, for the benefit of the Company and its affiliates,
that during the Restriction Period, you shall not, directly or indirectly, either as principal, agent, employee, consultant, partner,
officer, director, shareholder, or in any other individual or representative capacity, on your behalf or any other person or entity
other than the Company or its affiliates (i) solicit or induce, or attempt to solicit or induce, directly or indirectly, any person
who is, or during the six months prior to the termination of your employment with the Company was, an employee or agent of, or
consultant to, the Company or any of its affiliates to terminate its, his or her relationship therewith, or (ii) hire or engage
any person who is, or during the six months prior to the termination of your employment with the Company was, an employee, agent
of or consultant to the Company or any of its affiliates.

 

(c)   You
understand that the provisions of this Section 18 may limit your ability to earn a livelihood in a business similar to the business
of the Company but you nevertheless agree and hereby acknowledge that (i) such provisions do not impose a greater restraint than
is necessary to protect the goodwill or other business interests of the Company, (ii) such provisions contain reasonable limitations
as to time and scope of activity to be restrained, (iii) such provisions are not harmful to the general public, (iv) such provisions
are not unduly burdensome to you, and (v) the consideration provided hereunder is sufficient to compensate you for the restrictions
contained in this Section 18. In consideration of the foregoing and in light of your education, skills and abilities, you agree
that you shall not assert that, and it should not be considered that, any provisions of Section 18 otherwise are void, voidable
or unenforceable or should be voided or held unenforceable.

 

(d)   It
is expressly understood and agreed that although you and the Company consider the restrictions contained in this Section 18 to
be reasonable, if a judicial determination is made by a court of competent jurisdiction that the time or territory or any other
restriction contained in this Agreement is an unenforceable restriction against you, the provisions of this Agreement shall not
be rendered void but shall be deemed amended to apply as to such maximum time and territory and to such maximum extent as such
court may judicially determine or indicate to be enforceable. Alternatively, if any court of competent jurisdiction finds that
any restriction contained in this Agreement is unenforceable, and such restriction cannot be amended so as to make it enforceable,
such finding shall not affect the enforceability of any of the other restrictions contained herein.

 

    	 	8	 

     

    

 

(e)   In
the event that you violate any of the restrictive covenants set forth in Sections 18(a) or 18(b), in addition to any other remedy
which may be available (i) at law or in equity, (ii) pursuant to any other provision of this Agreement or (iii) pursuant to any
applicable equity award agreement, all outstanding stock options to purchase shares of Inspired common stock and other unvested
equity awards granted to you shall be automatically forfeited effective as of the date on which such violation first occurs.

 

19.   Section
409A.

 

(a)   For
purposes of this Agreement, “Section 409A” means Section 409A of the Internal Revenue Code of 1986, as amended,
and the Treasury Regulations promulgated thereunder (and such other Treasury or Internal Revenue Service guidance) as in effect
from time to time. In addition, for purposes of this Agreement, with respect to payments of any amounts that are considered to
be “deferred compensation” subject to Section 409A, references to “termination of employment” (and substantially
similar phrases) shall be deemed to refer to “separation from service” within the meaning of Section 409A (without
application of any alternative definitions permitted thereunder) and shall be interpreted and applied in a manner that is consistent
with the requirements of Section 409A.

 

(b)   It
is intended that the provisions of this Agreement comply with Section 409A, and all provisions of this Agreement shall be construed
and interpreted in a manner consistent with the requirements for avoiding taxes or penalties under Section 409A. In this regard,
the provisions of this Section 20 shall only apply if, and to the extent, required to avoid the imputation of any tax, penalty
or interest pursuant to Section 409A. In light of the uncertainty as of the date hereof with respect to the proper application
of Section 409A, the Company and you agree to negotiate in good faith to make amendments to this Agreement as the parties mutually
agree are necessary or desirable to avoid the imposition of taxes or penalties under Section 409A. Notwithstanding the foregoing,
you shall be solely responsible and liable for the satisfaction of all taxes and penalties that may be imposed on or for your account
in connection with this Agreement (including any taxes and penalties under Section 409A), and neither the Company nor any affiliate
shall have any obligation to indemnify or otherwise hold you (or any beneficiary) harmless from any or all of such taxes or penalties.

 

(c) Except as permitted
under Section 409A, any deferred compensation that is subject to Section 409A and is payable to or for your benefit under any Company-sponsored
plan, program, agreement or arrangement may not be reduced by, or offset against, any amount owing by you to the Company.

 

(d) Notwithstanding
anything in this Agreement to the contrary, in the event that you are deemed to be a “specified employee” within the
meaning of Section 409A(a)(2)(B)(i), no payments or benefits under Sections 12, 13 or 14 that are “deferred compensation”
subject to Section 409A shall be made to you prior to the date that is six (6) months after the date of your “separation
from service” or, if earlier, your date of death. Following any applicable six (6) month delay, all such delayed payments
will be paid in a single lump sum on the earliest permissible payment date. In addition, for a period of six months following the
date of separation from service, to the extent that the Company reasonably determines that any of the benefit plan coverages described
in this Agreement may not be exempt from U.S. federal income tax, you shall in advance pay to the Company an amount equal to the
stated taxable cost of such coverages for six months. At the end of such six-month period, you shall be entitled to receive from
the Company a reimbursement of the amounts paid by you for such coverages.

 

    	 	9	 

     

    

 

(e)   For
purposes of Section 409A, each of the payments that may be made under the Agreement are designated as separate payments.

 

(f)   To
the extent that any reimbursements pursuant to this Agreement are taxable to you, any such reimbursement payment due to you shall
be paid to you as promptly as practicable, and in all events on or before the last day of your taxable year following the taxable
year in which the related expense was incurred. Any such reimbursements are not subject to liquidation or exchange for another
benefit and the amount of such benefits and reimbursements that you receive in one taxable year shall not affect the amount of
such benefits or reimbursements that you receive in any other taxable year.

 

20.   Miscellaneous.

 

(a)   Assignment
and Assumption. This Agreement is personal to you and shall not be assignable by you otherwise than by will or the laws of
descent and distribution. This Agreement shall inure to the benefit of and be enforceable by your legal representatives. This Agreement
shall inure to the benefit of and be binding upon the Company and its successors. The Company will require any successor (whether
direct or indirect, by purchase, merger, consolidation or otherwise) to all or substantially all of the business and/or assets
of the Company to expressly assume and agree to perform this Agreement in the same manner and to the same extent that the Company
would be required to perform it if no such succession had taken place. As used in this Agreement, “Company”
shall mean the Company as hereinbefore defined and any successor to its business and/or assets as aforesaid which assumes and agrees
to perform this Agreement by operation of law, or otherwise.

 

(b)   Notices.
All notices and other communications required or permitted hereunder shall be in writing and shall be deemed to have been given
if sent via a national overnight courier service or by certified mail, return receipt requested, postage prepaid, addressed to
the parties as follows:

 

If to you, to:

 

Brooks H. Pierce

605 Old Kennett Road

Wilmington, Delaware 19807

 

If to the Company, to:

 

Inspired Entertainment, Inc.

250 W. 57th
St., 22nd Floor

New York, New York 10107

Attn: Lorne Weil, Executive Chairman

 

With a copy (which will not be considered notice)
to:

 

Douglas Ellenoff, Esq.

Ellenoff Grossman & Schole LLP

1345 Avenue of the Americas, 11th
Floor

New York, New York 10105

 

or to such other address as any party shall request of the others
by giving notice in accordance with this Section.

 

    	 	10	 

     

    

 

(c)   Waiver
of Provisions. The failure of either party to insist upon a strict performance of any of the terms or provisions of this Agreement
or to exercise any option, right, or remedy herein contained, shall not be construed as a waiver or as a relinquishment for the
future of such term, provision, option, right, or remedy, but the same shall continue and remain in full force and effect. No waiver
by either party of any term or provision hereof shall be deemed to have been made unless expressed in writing and signed by such
party.

 

(d)   Severability;
Integration. If any provision of this Agreement shall be declared void or unenforceable by any judicial or administrative authority,
the validity of any other provision and of the entire Agreement shall not be affected thereby. This Agreement constitutes the entire
agreement between the parties as of the date hereof and supersedes all previous agreements and understandings between the parties
with respect to the subject matter hereof including the Employment Agreement.

 

(e)   Governing
Law. This Agreement shall be governed by and construed and interpreted in accordance with the laws of New York, without reference
to the principles of conflict of laws thereof.

 

(f)   JURY
TRIAL WAIVER. THE PARTIES EXPRESSLY AND KNOWINGLY WAIVE ANY RIGHT TO A JURY TRIAL IN THE EVENT ANY ACTION ARISING UNDER OR
IN CONNECTION WITH THIS AGREEMENT OR YOUR EMPLOYMENT WITH THE COMPANY IS LITIGATED OR HEARD IN ANY COURT.

 

(g)   Dispute
Resolution/Arbitration. The parties agree that all claims, disputes, and/or controversies arising under this Agreement and/or
related to the your employment hereunder or the termination of such employment (whether or not based on contract, tort or upon
any federal, state or local statute, including but not limited to claims asserted under the Age Discrimination in Employment Act,
as amended, Title VII of the Civil Rights Act of 1964, as amended, any state Fair Employment Practices Act, and/or the Americans
with Disabilities Act), shall be resolved exclusively through mediation/arbitration by JAMS, in the County of New York in the State
of New York, in accordance with the JAMS Rules and Procedures for Mediation/Arbitration of Employment Disputes; provided, however,
that in the event that the Company alleges that you are in breach of any of the provisions contained in Sections 17 or 18, the
Company shall not be exclusively required to submit such dispute to mediation/arbitration. In such event, the Company may, at its
option, seek and obtain from any court having jurisdiction, injunctive or equitable relief, in addition to pursuing at arbitration
all other remedies available to it (including without limitation any claims for relief arising out of any breach of Sections 17
or 18 of this Agreement).

 

(h)   Withholding
Taxes. The Company may withhold from any amounts payable under this Agreement such Federal, state and local taxes as may be
required to be withheld pursuant to any applicable law or regulation.

 

(i)   Continuation
of Employment. Unless the parties otherwise agree in writing, continuation of your employment with the Company beyond the expiration
of the Initial Term shall be deemed an employment at will and shall not be deemed to extend any of the provisions of this Agreement,
and your employment may thereafter be terminated “at will” by you or the Company.

 

(j)   No
Waiver. The failure of a party to insist upon strict adherence to any term of this Agreement on any occasion shall not be considered
a waiver of such party’s rights or deprive such party of the right thereafter to insist upon strict adherence to that term
or any other term of this Agreement.

 

(k)   No
Mitigation. You shall not be required to mitigate the value of any payments or benefits contemplated by this Agreement, nor
shall any such benefits be reduced from any earnings or benefits that you may receive from any other source.

 

    	 	11	 

     

    

 

(l)   Survival.
Sections 17 and 18 shall survive and continue in full force and effect in accordance with their terms notwithstanding the termination
of this Agreement and your employment for any reason.

 

(m)  Amendments.
This Agreement may not be amended, changed or modified except by a written document signed by each of the parties to this Agreement.

 

(n)   Headings.
Section headings in this Agreement are included for convenience of reference only and are not intended to define, limit or describe
the scope or intent of any provision of this Agreement.

 

(o)   Counterparts.
This Agreement may be executed in several counterparts, each of which shall be considered an original, but which when taken together,
shall constitute one agreement. Facsimile and electronic .pdf signatures shall be considered original signatures for purposes of
execution of this Agreement.

 

Please indicate your
understanding and acceptance of this Agreement by executing both copies below, and retaining one fully executed original for your
files and returning one fully executed original to the Company.

 

	 	Very truly yours,
	 	 
	 	INSPIRED ENTERTAINMENT, INC.

 

	 	By:	/s/ A. Lorne Weil
	 	Name:	A. Lorne Weil
	 	Title: 	Executive Chairman of the Board

 

I hereby accept the terms of this Agreement and agree to abide
by the provisions hereof:

 

	/s/ Brooks H. Pierce	 
	Brooks H. Pierce
	 
	Date: May 1, 2018

 

    	 	12	 

     

    

 

Exhibit A

 

General Release and

Covenant Not to Sue

 

TO ALL WHOM THESE PRESENTS SHALL COME OR MAY CONCERN,
KNOW that:

 

Brooks H. Pierce
(“Executive”), on Executive’s own behalf and on behalf of Executive’s descendants, dependents,
heirs, executors and administrators and permitted assigns, past and present, in consideration for the amounts payable and
benefits to be provided to Executive under that letter agreement dated as of May 1, 2018, and effective as of May 1, 2018
(the “Letter Agreement”) by and among Executive, and Inspired Entertainment, Inc.
(“Inspired”), a Delaware corporation, (the “Company”) does hereby covenant not to sue
or pursue any litigation against, and waives, releases and discharges the Company, its assigns, affiliates, subsidiaries,
parents, predecessors and successors, and the past and present shareholders, employees, officers, directors, representatives
and agents of any of them (collectively, the “Company Group”), from any and all claims, demands, rights,
judgments, defenses, actions, charges or causes of action whatsoever, of any and every kind and description, whether known or
unknown, accrued or not accrued, that Executive ever had, now has or shall or may have or assert as of the date of this
General Release and Covenant Not to Sue against the Company Group relating to his employment with the Company or the
termination thereof or his service as an officer or director of any subsidiary or affiliate of the Company or the termination
of such service, including, without limiting the generality of the foregoing, any claims, demands, rights, judgments,
defenses, actions, charges or causes of action related to employment or termination of employment or that arise out of or
relate in any way to the Age Discrimination in Employment Act of 1967 (“ADEA,” a law that prohibits
discrimination on the basis of age), the National Labor Relations Act, the Civil Rights Act of 1991, the Americans With
Disabilities Act of 1990, Title VII of the Civil Rights Act of 1964, the Employee Retirement Income Security Act of 1974, the
Family and Medical Leave Act, the Sarbanes-Oxley Act of 2002, all as amended, and other Federal, state and local laws
relating to discrimination on the basis of age, sex or other protected class, all claims under Federal, state or local laws
for express or implied breach of contract, wrongful discharge, defamation, intentional infliction of emotional distress, and
any related claims for attorneys’ fees and costs; provided, however, that nothing herein shall release
the Company from any of its obligations to Executive under the Letter Agreement (including, without limitation, its
obligation to pay the amounts and provide the benefits upon which this General Release and Covenant Not to Sue is
conditioned) or any rights Executive may have to indemnification under any charter or by-laws (or similar documents) of any
member of the Company Group or any insurance coverage under any directors and officers insurance or similar policies.

 

Executive further agrees
that this General Release and Covenant Not to Sue may be pleaded as a full defense to any action, suit or other proceeding covered
by the terms hereof that is or may be initiated, prosecuted or maintained by Executive or Executive’s heirs or assigns. Executive
understands and confirms that Executive is executing this General Release and Covenant Not to Sue voluntarily and knowingly, but
that this General Release and Covenant Not to Sue does not affect Executive’s right to claim otherwise under ADEA. In addition,
Executive shall not be precluded by this General Release and Covenant Not to Sue from filing a charge with any relevant Federal,
state or local administrative agency, but Executive agrees to waive Executive’s rights with respect to any monetary or other
financial relief arising from any such administrative proceeding.

 

    	 	13	 

     

    

 

In furtherance of the
agreements set forth above, Executive hereby expressly waives and relinquishes any and all rights under any applicable statute,
doctrine or principle of law restricting the right of any person to release claims that such person does not know or suspect to
exist at the time of executing a release, which claims, if known, may have materially affected such person’s decision to
give such a release. In connection with such waiver and relinquishment, Executive acknowledges that Executive is aware that Executive
may hereafter discover claims presently unknown or unsuspected, or facts in addition to or different from those that Executive
now knows or believes to be true, with respect to the matters released herein. Nevertheless, it is the intention of Executive to
fully, finally and forever release all such matters, and all claims relating thereto, that now exist, may exist or theretofore
have existed, as specifically provided herein. The parties hereto acknowledge and agree that this waiver shall be an essential
and material term of the release contained above. Nothing in this paragraph is intended to expand the scope of the release as specified
herein.

 

Executive agrees that
at any time following the date hereof he will not make and shall use all reasonable endeavors to prevent the making of any disparaging
or derogatory statements whether or not the statements are true, whether in writing or otherwise concerning the Company or its
past or current or future directors or officers or employees or consultants and the Company undertakes that at any time following
the date hereof its senior executives will not make and shall use all reasonable endeavors to prevent the making of any disparaging
or derogatory statements whether or not the statement is true, whether in writing or otherwise concerning the Executive, excluding
in all events any statements required to be made by law, regulation or necessary business practice (including without limitation
to the any gambling or gaming regulator or similar authority in any jurisdiction), or under the public disclosure requirements
of any jurisdiction in which that party is a public reporting or listed company.

 

This General Release
and Covenant Not to Sue shall be governed by and construed in accordance with the laws of the State of Nevada, applicable to agreements
made and to be performed entirely within such State.

 

To the extent that
Executive is forty (40) years of age or older, this paragraph shall apply. Executive acknowledges that Executive has been offered
a period of time of at least twenty-one (21) days to consider whether to sign this General Release and Covenant Not to Sue, which
Executive has waived, and the Company agrees that Executive may cancel this General Release and Covenant Not to Sue at any time
during the seven (7) days following the date on which this General Release and Covenant Not to Sue has been signed by all parties
to this General Release and Covenant Not to Sue. In order to cancel or revoke this General Release and Covenant Not to Sue, Executive
must deliver to the General Counsel of the Company written notice stating that Executive is canceling or revoking this General
Release and Covenant Not to Sue. If this General Release and Covenant Not to Sue is timely cancelled or revoked, none of the provisions
of this General Release and Covenant Not to Sue shall be effective or enforceable and the Company shall not be obligated to make
the payments to Executive or to provide Executive with the other benefits described in the Letter Agreement and all contracts and
provisions modified, relinquished or rescinded hereunder shall be reinstated to the extent in effect immediately prior hereto.

 

Executive acknowledges
and agrees that Executive has entered into this General Release and Covenant Not to Sue knowingly and willingly and has had ample
opportunity to consider the terms and provisions of this General Release and Covenant Not to Sue.

 

[Signature page follows]

 

    	 	14	 

     

    

 

IN WITNESS WHEREOF, the undersigned has caused this General
Release and Covenant Not to Sue to be executed on this _____day of _________________.

 

	 	EXECUTIVE
	 	 
	 	 
	 	Brooks H. Pierce

 

    	 	15

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