Document:

EX-10.13

 Exhibit 10.13 

WAIVER AND AMENDMENT NO. 4 TO CREDIT AGREEMENT AND AMENDMENT TO GUARANTY AND SECURITY AGREEMENT dated as of May 30, 2019 (this
“Amendment”) to the Credit Agreement dated as of August 28, 2017 (as amended, supplemented or modified prior to the date hereof, the “Credit Agreement”), by and among LULU’S FASHION LOUNGE, LLC, a Delaware
limited liability company (the “Borrower”), LULU’S FASHION LOUNGE PARENT, LLC, a Delaware limited liability company (“Holdings”), the Lenders party thereto and CREDIT SUISSE AG, CAYMAN ISLANDS BRANCH, as
administrative agent (in such capacity, including any successor thereto, the “Administrative Agent”) and as collateral agent (in such capacity, including any successor thereto, the “Collateral Agent” and, together
with the Administrative Agent, the “Agent”) for the Lenders. 
 (A) The Borrower has requested that (i) the Required
Lenders waive certain Defaults or Events of Default as specified herein, (ii) the Credit Agreement be amended in order to reset the maximum Consolidated Total Net Leverage Ratio levels required under the Financial Covenant and make certain
other modifications as set forth herein and (iii) the Guaranty and Security Agreement be amended in order to modify the definition of “Excluded Deposit Account” as set forth herein. 

(B) The Required Lenders are willing to waive certain Defaults or Events of Default specified herein and amend the Credit Agreement and the
Guaranty and Security Agreement, in each case, on the terms and subject to the conditions set forth herein. 
 Accordingly, in consideration
of the mutual agreements herein contained and other good and valuable consideration, the sufficiency and receipt of which are hereby acknowledged, the parties hereto agree as follows: 

SECTION 1. Defined Terms; Interpretation; Etc. Capitalized terms used but not defined herein shall have the meanings assigned to them
in the Credit Agreement. The rules of construction set forth in Section 11.2 of the Credit Agreement shall apply mutatis mutandis to this Amendment. 

SECTION 2. Waiver. Certain Defaults or Events of Default have occurred and are continuing as a result of the Borrower’s failure to
comply with (i) Section 6.1 of the Credit Agreement for the Fiscal Quarter ending on or about March 31, 2019 and (ii) Section 4.3(a) as a result of any failure to deliver prompt notice of the Default or Event of Default
described in clause (i) (such Defaults and Events of Defaults, the “Designated Defaults”). The Lenders party hereto, constituting the Required Lenders, hereby (i) waive the Designated Defaults and (ii) agree not to request
interest at the Default Rate with respect to the Designated Defaults. 
 SECTION 3. Amendment to the Credit Agreement. Effective as
of the Effective Date (as defined below), the Credit Agreement is hereby amended as follows: 
  

	 	a.	 Section 1.8(d) of the Credit Agreement is hereby amended by
(i) re-naming the header of such Section as “Incurrence of Indebtedness; Certain Equity Contributions; Initial Public Offering”, (ii) inserting the words “and any Unadjusted EBITDA
Equity Contribution” immediately following the words “Specified Equity Contribution” appearing in clause (ii) of such Section and (iii) inserting a new clause (iii) immediately at the end of such Section as follows:

 (iii) Immediately upon the receipt by any Credit Party or any Subsidiary of any Credit Party of Net Issuance Proceeds
from an Initial Public Offering, solely to the extent that the Consolidated Total Net Leverage Ratio is in excess of 2.00 to 1.00, determined on a Pro Forma Basis as of the last day of the most recently ended period of four Fiscal Quarters for which
financial statements have been delivered or were required to have been delivered hereunder prior to receipt of such Net 

 
Issuance Proceeds, the Borrower shall deliver, or cause to be delivered, to the Agent such Net Issuance Proceeds, for application to the Loans in accordance with
Section 1.8(f), solely to the extent necessary to cause the Consolidated Total Net Leverage Ratio to be no greater than 2.00 to 1.00, determined on a Pro Forma Basis giving effect to such repayment. 

 

	 	b.	 Section 1.8(f) of the Credit Agreement is hereby amended to replace the reference to Section 1.10(c)
with a reference to Section 1.10(b). 

  

	 	c.	 Section 4.2(b) of the Credit Agreement is hereby amended by inserting “(i)” at the beginning of
such Section and inserting the following new clause (ii) at the end of such Section: 

 and (ii) commencing with
the month ending June 30, 2019 and through the Fiscal Quarter ending on or about December 31, 2019, concurrently with the delivery of the financial statements referred to in Sections 4.1(b) and 4.1(c) above, a duly completed
Compliance Certificate solely with respect to the calculation of Consolidated Cumulative Unadjusted EBITDA as of the Consolidated Cumulative Unadjusted EBITDA Test Period ending as of such date, certified on behalf of Holdings, the Borrower and
their Subsidiaries by a Responsible Officer of the Borrower; 
  

	 	d.	 Section 5.1(aa) of the Credit Agreement is hereby amended by inserting the words “cash deposits in an
amount not to exceed $1,000,000 in the aggregate at any time outstanding or” immediately preceding the words “credit balances” appearing therein. 

 

	 	e.	 Section 6.1 of the Credit Agreement is hereby amended and restated in its entirety as follows:

 6.1 Consolidated Total Net Leverage Ratio. The Credit Parties shall not permit the Consolidated Total Net
Leverage Ratio as of the last day of any four Fiscal Quarter period ending on a date set forth below to be greater than the ratio set forth in the table below opposite such date: 

 

			
	 Date
	  	Maximum Consolidated
Total Net Leverage Ratio
	September 30, 2017	  	3.50 to 1.00
	December 31, 2017	  	3.50 to 1.00
	March 31, 2018	  	3.50 to 1.00
	June 30, 2018	  	3.50 to 1.00
	September 30, 2018	  	3.25 to 1.00
	December 31, 2018	  	3.00 to 1.00
	March 31, 2019	  	N/A
	June 30, 2019	  	4.25 to 1.00
	September 30, 2019	  	3.75 to 1.00
	December 31, 2019	  	3.00 to 1.00

			
	 Date
	  	Maximum Consolidated
Total Net Leverage Ratio
	March 31, 2020	  	2.75 to 1.00
	June 30, 2020	  	2.50 to 1.00
	September 30, 2020	  	2.25 to 1.00
	December 31, 2020 and thereafter	  	2.00 to 1.00

  

	 	f.	 Section 6.2 of the Credit Agreement is hereby amended and restated in its entirety as follows:

 6.2 Consolidated Cumulative Unadjusted EBITDA. The Credit Parties shall not permit the Consolidated Cumulative
Unadjusted EBITDA as of the last day of any Consolidated Cumulative Unadjusted EBITDA Test Period ending on a date set forth below to be less than the amount set forth in the table below opposite such date: 

 

			
	 Date
	  	Minimum Consolidated Cumulative
Unadjusted EBITDA
	June 30, 2019	  	$5,000,000
	July 31, 2019	  	$6,554,000
	August 31, 2019	  	$6,911,000
	September 30, 2019	  	$10,740,000
	October 31, 2019	  	$13,787,000
	November 30, 2019	  	$14,092,000
	December 31, 2019	  	$16,192,000

  

	 	g.	 Section 6.3 of the Credit Agreement is hereby amended by inserting the following sentence immediately at
the end of Section 6.3(d): 

 The Borrower may elect, in its sole discretion but subject to the requirements of
clauses (i) and (iv) of this Section 6.3(d), to treat an Unadjusted EBITDA Equity Contribution as a Specified Equity Contribution. 

	 	h.	 Article VI of the Credit Agreement is hereby amended inserting a new Section 6.4 immediately at the end of
such Article as follows: 

 6.4 Unadjusted Cumulative EBITDA Equity Cure. 

(a) In the event the Credit Parties fail to comply with the requirements of Section 6.2 as of the last day of any
Consolidated Cumulative Unadjusted EBITDA Test Period, any cash equity contribution to the Borrower (funded with proceeds of common equity issued by Holdings or Qualified Stock (or other equity issued by Holdings having terms reasonably acceptable
to the Agent) made after the date on which financial statements are required to be delivered for such calendar month or Fiscal Quarter, as the case may be, and on or prior to the day that is ten (10) Business Days after the day on which
financial statements are required to be delivered for such calendar month or Fiscal Quarter, as the case may be (the “Anticipated EBITDA Cure Deadline”) will, at the irrevocable election of the Borrower as of the date such proceeds
are received by the Borrower, be included in the calculation of Consolidated Cumulative Unadjusted EBITDA for the purposes of determining compliance with Section 6.2 at the end of such Consolidated Cumulative Unadjusted EBITDA Test Period and
any subsequent Consolidated Cumulative Unadjusted EBITDA Test Period that includes such Consolidated Cumulative Unadjusted EBITDA Test Period (any such equity contribution so included in the calculation of Consolidated EBITDA, a “Unadjusted
EBITDA Equity Contribution”). 
 (b) If, after giving effect to the Unadjusted EBITDA Equity Contribution, the
Credit Parties shall then be in compliance with Section 6.2, the Credit Parties shall be deemed to have satisfied Section 6.2 as of the relevant date of determination with the same effect as though there had been no failure to comply
therewith at such date, and the applicable breach or default of such covenants that had occurred shall be deemed cured for all purposes of this Agreement. 

(c) Upon receipt by the Agent of written notice from the Borrower on or prior to the Anticipated EBITDA Cure Deadline of its
intent to effectuate an Unadjusted EBITDA Equity Contribution in respect of such Consolidated Cumulative Unadjusted EBITDA Test Period until the day that is fifteen (15) Business Days after the day on which financial statements are required to
be delivered for such calendar month or Fiscal Quarter, as the case may be, notwithstanding any other provision of this Agreement or any other Loan Document, neither the Agent nor any Lender shall have any right to accelerate any Loans held by them
or to exercise any other rights or remedies available under the Loan Documents or applicable law against the Collateral (including, without limitation, any right to foreclose on or take possession of Collateral) solely on the basis of an allegation
of an Event of Default having occurred and being continuing under Section 7.1 due to failure by the Credit Parties to comply with Section 6.2, unless such failure is not cured pursuant to the Unadjusted EBITDA Equity
Contribution on or prior to the Anticipated EBITDA Cure Deadline; it being understood and agreed that there shall be no Borrowings of Revolving Loans permitted or Letters of Credit issued or received hereunder until the Unadjusted EBITDA Equity
Contribution has actually been received by the Borrower. 
 (d) Notwithstanding anything herein to the contrary, (i) no
more than one Unadjusted EBITDA Equity Contribution may be made, (ii) the amount of such Unadjusted EBITDA Equity Contribution will not exceed $1,000,000, and (iii) such Unadjusted EBITDA Equity Contribution will be counted solely for

 
purposes of the calculation of Consolidated Cumulative Unadjusted EBITDA as it relates to Section 6.2 and, if the Borrower elects to treat such Unadjusted EBITDA Equity Contribution as a
Specified Equity Contribution (solely to the extent a Specified Equity Contribution would be permitted for such period under the limitations set forth in clauses (i) and (iv) of Section 6.3(d)), for purposes of the calculation of
Consolidated EBITDA as it relates to the Financial Covenant (in each case, for the applicable test period and each subsequent test period) and shall not be included for all other purposes, including calculating basket levels, pricing and other items
governed by reference to Consolidated EBITDA. 
  

	 	i.	 Section 9.5 of the Credit Agreement is hereby amended by inserting the following at the end thereof:

 Notwithstanding anything to the contrary in this Section 9.5 and without limiting the rights of the Agent and
Lenders above, from and after the Fourth Amendment Effective Date, the Borrower agrees to pay or reimburse, within 30 days following written demand therefor together with a customary invoice supporting such reimbursement, the reasonable and
documented costs and expenses of consulting firm(s) to be retained by the Agent (at the direction of the Required Lenders) for purposes of conducting a one-time review of Holdings’ and its
Subsidiaries’ operations and consolidated financial forecasts (the “Fourth Amendment Consultant”); provided that (i) the aggregate amount of such reimbursement obligations shall not exceed $200,000 and
(ii) each of the Borrower, Holdings and their respective boards of directors shall be entitled to receive copies of all Fourth Amendment Consultant deliverables and work product on a customary
non-reliance basis promptly following delivery to the Agent and the Lenders (provided that such copies may be reasonably redacted at the direction of the Required Lenders). Holdings and its Subsidiaries
further agree to cooperate with the Fourth Amendment Consultant in furnishing information promptly upon the reasonable request by the Fourth Amendment Consultant. 
  

	 	j.	 Section 10.5 of the Credit Agreement is hereby amended by inserting “(a)” at the beginning of
such Section and inserting the following new clause (b) at the end of such Section: 

 (b) If at any time the
Administrative Agent determines (which determination shall be conclusive absent manifest error and shall be evidenced by written notice to the Borrower and each Lender), or the Borrower notifies the Administrative Agent and each Lender that it has
determined, that (i) the circumstances set forth in clause (a) of this Section have arisen and such circumstances are unlikely to be temporary or the circumstances set forth in clause (a) of this Section have not arisen but either
(w) the supervisor for the administrator of the LIBOR has made a public statement that the administrator of the LIBOR is insolvent (and there is no successor administrator that will continue publication of the LIBOR), (x) the administrator of
the LIBOR has made a public statement identifying a specific date after which the LIBOR will permanently or indefinitely cease to be published by it (and there is no successor administrator that will continue publication of the LIBOR), (y) the
supervisor for the administrator of the LIBOR has made a public statement identifying a specific date after which the LIBOR will permanently or indefinitely cease to be published or (z) the supervisor for the administrator of the LIBOR or a
Governmental Authority having jurisdiction over the Administrative 

 
Agent has made a public statement identifying a specific date after which the LIBOR may no longer be used for determining interest rates for loans, then reasonably promptly following receipt of
such notice by the Borrower or the Administrative Agent, as applicable, the Administrative Agent and the Borrower shall endeavor to negotiate in good faith to establish an alternate rate of interest to the LIBOR that gives due consideration to the
then prevailing market convention for determining a rate of interest for syndicated loans in the United States in Dollars at such time, and shall enter into an amendment to this Agreement to reflect such alternate rate of interest and such other
related changes to this Agreement as may be applicable (but for the avoidance of doubt, such related changes shall not include a reduction of the Applicable Margin); provided that, if such alternate rate of interest as so determined would be less
than zero, such rate shall be deemed to be zero for the purposes of this Agreement. Notwithstanding anything to the contrary in Section 9.1, any such amendment establishing an alternate rate of interest shall become effective without any
further action or consent of any other party to this Agreement so long as the Administrative Agent shall not have received, within ten Business Days of the date of notice of such amendment of such alternate rate of interest is provided to the
Lenders, a written notice from the Required Lenders stating that such Required Lenders object in good faith to such amendment. Until an alternate rate of interest shall be determined in accordance with this clause (b), (x) any Notice of
Conversion/Continuation that requests the conversion of any Loan to, or continuation of any Loan as, a LIBOR Rate Loan shall be ineffective and any such LIBOR Rate Loan shall be converted into or continued as a Base Rate Loan on the last day of the
then current Interest Period and (y) if any Notice of Borrowing or Notice of Conversion/Continuation requests a LIBOR Rate Loan, such Loan shall be made as a Base Rate Loan. 

 

	 	k.	 Section 11.1 of the Credit Agreement is hereby amended by inserting the following new defined terms in
proper alphabetical sequence: 

 “Anticipated EBITDA Cure Deadline” has the meaning ascribed thereto in
Section 6.4. 
 “Consolidated Cumulative Unadjusted EBITDA” means, with respect to Holdings and
its Subsidiaries, on a consolidated basis, for any Consolidated Cumulative Unadjusted EBITDA Test Period, the Consolidated Net Income of Holdings for such period: 

(e) increased (without duplication, including for purposes of determining Consolidated Net Income) by the following, in each
case to the extent deducted (and not added back or excluded) in determining Consolidated Net Income for such period: 
 (i)
provision for taxes based on income or profits or capital, including, without limitation, federal, provincial, state, franchise and similar taxes and foreign withholding taxes of such Person paid or accrued during such period (including penalties,
interest, costs and expenses related to such taxes or arising from any tax examinations or Restricted Payments permitted pursuant to Section 5.7(c)); plus 

(ii) Consolidated Interest Expense of such Person for such period; plus 

 (iii) Consolidated Depreciation and Amortization Expense of such Person for
such period; plus 
 (iv) fees, costs and expenses incurred in connection with the Fourth Amendment consisting of
(x) consent fees payable to Lenders in connection therewith, (y) legal fees of Latham & Watkins LLP, Cravath, Swaine & Moore LLP and Goldberg Kohn in connection therewith and (z) any payment of, or reimbursement of
the Agent and/or the Lenders for, costs and expenses of the Fourth Amendment Consultant; 
 (f) increased (without
duplication) by the amount of any Unadjusted EBITDA Equity Contribution solely for purposes of determining compliance with Section 6.2. 

“Consolidated Cumulative Unadjusted EBITDA Test Period” means, as of the last day of each fiscal month ending after the
Fourth Amendment Effective Date through and including December 31, 2019, the period commencing on the first day of Holdings’ fiscal month of May 2019 (which date is May 6, 2019) and ending on such date. 

“Fourth Amendment” means that certain Waiver and Amendment No. 4 to Credit Agreement and Amendment to Guaranty and
Security Agreement, dated as of May 30, 2019, by and among the Borrower, the Administrative Agent and the Lenders party thereto constituting the Required Lenders. 

“Fourth Amendment Effective Date” means the “Effective Date” as defined in the Fourth Amendment, which date is
May 30, 2019. 
 “Subject Adjustment Cap” has the meaning ascribed thereto in the definition of “Consolidated
EBITDA”. 
 “Unadjusted EBITDA Equity Contribution” has the meaning ascribed thereto in
Section 6.4. 
  

	 	l.	 The definition of “Applicable Margin” in Section 11.1 of the Credit Agreement is hereby amended
and restated in its entirety as follows: 

 “Applicable Margin” means, for any date of determination:

 (a) with respect to the Term Loans, (x) prior to the Fourth Amendment Effective Date, (1) in the case of LIBOR Rate Loans,
7.00% per annum, and (2) in the case of Base Rate Loans, 6.00% per annum, (y) on and from the Fourth Amendment Effective Date to the date on which financial statements and accompanying Compliance Certificate for the first
full fiscal quarter ending after the Fourth Amendment Effective Date are delivered pursuant to Section 4.1(b) and Section 4.2(b), (1) in the case of LIBOR Rate Loans, 9.00% per annum and
(2) in the case of Base Rate Loans, 8.00% per annum and (z) thereafter, the applicable percentage set forth in the table below under the appropriate caption: 

											
	 Pricing
Level
	  	 Consolidated Total Net
Leverage Ratio
	  	Applicable
Margin for
LIBOR Rate
Term Loans	 	 	Applicable
Margin for Base
Rate Term
Loans	 
	I	  	Greater than 3.50 to 1.00	  	 	9.00	% 	 	 	8.00	% 
	II	  	 Less than or equal to 3.50 to 1.00, but greater than 2.25 to

1.00
	  	 	8.00	% 	 	 	7.00	% 
	III	  	Less than or equal to 2.25 to 1.00	  	 	7.00	% 	 	 	6.00	% 

 (b) with respect to the Revolving Loans, (x) on and from the Closing Date to the date on which the
financial statements and accompanying Compliance Certificate for the first full fiscal quarter ending after the Closing Date are delivered pursuant to Section 4.1(a) and Section 4.2(b), (i) in the case of LIBOR Rate Loans, 7.00% per annum,
(ii) in the case of Base Rate Loans, 6.00% per annum, and (iii) in the case of the Unused Commitment Fee, 0.50%, and (y) thereafter, the applicable percentage set forth in the table below under the appropriate caption: 

 

															
	 Pricing
Level
	  	 Consolidated
Total Net
Leverage Ratio
	  	Applicable
Margin for
LIBOR Rate
Revolving
Loans	 	 	Applicable
Margin for
Base Rate
Revolving
Loans	 	 	Applicable
Margin for
Unused
Commitment
Fee	 
	I	  	Greater than 2.50 to 1.00	  	 	7.00	% 	 	 	6.00	% 	 	 	0.50	% 
	II	  	Less than or equal to 2.50 to 1.00, but greater than 2.00 to 1.00	  	 	6.50	% 	 	 	5.50	% 	 	 	0.375	% 
	III	  	Less than or equal to 2.00 to 1.00	  	 	6.00	% 	 	 	5.00	% 	 	 	0.375	% 

 The Applicable Margin for the Term Loans and the Revolving Loans (including the Unused Commitment Fee) shall be
re-determined quarterly on the first Business Day following the date of delivery to the Agent of the calculation of the Consolidated Total Net Leverage Ratio based on the financial statements and the
accompanying Compliance Certificate delivered pursuant to Section 4.1(a), Section 4.1(b) and Section 4.2(b). If the Agent has not received such calculation of the
Consolidated Total Net Leverage Ratio for any fiscal quarter within the time period specified by Section 4.1(a) or Section 4.1(b) and Section 4.2(b), the Applicable Margin
shall be determined as if Pricing Level I shall have applied until one Business Day after the delivery of such calculation to the Agent. At any time during the continuance of an Event of Default as a result of any of the events set forth in
Section 7.1(a), Section 7.1(f) or Section 7.1(g), the Applicable Margin for the Term Loans and the Revolving Loans (including the Unused Commitment Fee) shall be set at
Pricing Level I. In the event that any financial statement or certificate delivered pursuant to Section  

 
4.1(a) or Section 4.1(b) and Section 4.2(b) is shown to be inaccurate, and such inaccuracy, if corrected, would have led to the
application of a higher Applicable Margin for any period (an “Applicable Period”) than the Applicable Margin applied for such Applicable Period, then (i) the Borrower shall promptly upon becoming aware of any such inaccuracy
deliver to the Agent a correct certificate required by Section 4.2(b) for such Applicable Period and (ii) the Borrower shall promptly pay to the Agent the accrued additional interest and fees owing as a result of such
increased Applicable Margin for such Applicable Period; provided, that notwithstanding the foregoing, no Default or Event of Default shall be deemed to have occurred as a result of such non-payment (and
no such shortfall amount shall be deemed overdue or accrue interest at the default rate under Section 1.3(b)) unless such shortfall amount is not paid promptly by the Borrower). 

 

	 	m.	 The definition of “Available Amount” in Section 11.1 of the Credit Agreement is hereby amended
by inserting the words “or an Unadjusted EBITDA Equity Contribution” immediately after each reference to “Specified Equity Contribution” appearing therein. 

 

	 	n.	 Clause (a)(iv) of the definition of “Consolidated EBITDA” in Section 11.1 of the Credit
Agreement is hereby amended by inserting the following proviso immediately prior to “; plus” appearing therein: 

; provided that the aggregate amount of fees, payments, expenses or charges related to preparation for an Initial Public Offering
(including costs associated with becoming a standalone entity or public company, but excluding any underwriter or other transaction fees payable in connection with an Initial Public Offering) pursuant to this clause (iv) shall not exceed
(A) for any period of four consecutive Fiscal Quarters ending after the Fourth Amendment Effective Date and on or prior to December 31, 2020, $4,900,000, (B) for Fiscal Years 2019 and 2020 in the aggregate, $4,900,000 and (C) for all
periods thereafter, the Subject Adjustment Cap (when taken together with all other adjustments expressly subject to the Subject Adjustment Cap). 
  

	 	o.	 Clause (a)(v) of the definition of “Consolidated EBITDA” in Section 11.1 of the Credit Agreement
is hereby amended by amending and restating the proviso appearing in such clause as follows: 

 ; provided that,
the aggregate amount pursuant to this clause (v), together with the aggregate amount pursuant to clause (xii) below, the aggregate amount of inventory disposition expense for Fiscal Year 2020 pursuant to clause (xxi) below, the aggregate
amount pursuant to clause (B) of the definition of Pro Forma Basis and all other adjustments expressly subject to the Subject Adjustment Cap (but excluding any adjustments under such clause (xii) and the definition of Pro Forma Basis
determined on a basis consistent with Article 11 of Regulation S-X promulgated under the Exchange Act and as interpreted by the staff of the Securities and Exchange Commission (or any successor agency)), shall
not exceed (1) in any period of four consecutive Fiscal Quarters ending on or before December 31, 2019, 20% of Consolidated EBITDA for such period, (2) in any period of four consecutive Fiscal Quarters ending after December 31,
2019 but on or prior to September 30, 2020, the sum of (x) 20% of Consolidated EBITDA attributable to the Fiscal Quarter or Fiscal Quarters in such period ending on or prior to December 31, 2019 and (y) 10% of Consolidated EBITDA
attributable to each other Fiscal 

 
Quarter in such period and (3) thereafter, 10% of Consolidated EBITDA for such period, in each case, prior to giving effect to such adjustments for the applicable period or periods (the
foregoing clauses (1) through (3), in each case, determined prior to giving effect to such adjustments for the applicable period or periods, the “Subject Adjustment Cap”); 

 

	 	p.	 Clause (a)(vi) of the definition of “Consolidated EBITDA” in Section 11.1 of the Credit
Agreement is hereby amended and restated as follows: 

 (vi) fees, costs and expenses incurred in connection with the
Fourth Amendment consisting of (x) consent fees payable to Lenders in connection therewith, (y) legal fees of Latham & Watkins LLP, Cravath, Swaine & Moore LLP and Goldberg Kohn in connection therewith and (z) any
payment of, or reimbursement of the Agent and/or the Lenders for, costs and expenses of the Fourth Amendment Consultant; plus 
  

	 	q.	 Clause (a)(xii) of the definition of “Consolidated EBITDA” in Section 11.1 of the Credit
Agreement is hereby amended by amending and restating the second and third provisos appearing therein as follows: 

provided further that, the aggregate amount pursuant to this clause (xii) and clause (B) of the definition of Pro Forma
Basis, together with the aggregate amount pursuant to clause (v) above, the aggregate amount of inventory disposition expense for Fiscal Year 2020 pursuant to clause (xxi) below and all other adjustments expressly subject to the Subject
Adjustment Cap, shall not exceed the Subject Adjustment Cap; provided that the limitations in the immediately preceding proviso will not apply to the extent such adjustments are determined on a basis consistent with Article 11 of Regulation S-X promulgated under the Exchange Act and as interpreted by the staff of the Securities and Exchange Commission (or any successor agency); 
  

	 	r.	 Clause (a)(xxi) of the definition of “Consolidated EBITDA” in Section 11.1 of the Credit
Agreement is hereby amended by inserting the following proviso immediately prior to “; plus” appearing therein: 

; provided that the aggregate amount of all expenses attributable to dispositions of inventory pursuant to this clause (xxi) shall
not exceed (A) for any period of four consecutive Fiscal Quarters ending after the Fourth Amendment Effective Date and on or prior to December 31, 2019, $1,000,000, (B) for any period of four consecutive Fiscal Quarters ending after
December 31, 2019 and on or prior to December 31, 2020, (1) with respect to such expenses attributable to dispositions of inventory for all Fiscal Quarters in such period ending on or prior to December 31, 2019, $1,000,000 plus
(2) with respect to such expenses attributable to dispositions of inventory in Fiscal Year 2020, additional amounts subject to the Subject Adjustment Cap and (C) with respect to such expenses attributable to dispositions of inventory
in any subsequent period, such expenses shall not exceed the Subject Adjustment Cap (when taken together with all other adjustments expressly subject to the Subject Adjustment Cap); 

 

	 	s.	 The definition of “Pro Forma Basis” in Section 11.1 of the Credit Agreement is hereby amended by
amending and restating the second proviso appearing therein as follows: 

 ; provided further, that such amounts pursuant to the preceding clause (B), together
with any addbacks made pursuant to clauses (v) and (xii) of the definition of Consolidated EBITDA, the aggregate amount of inventory disposition expense for Fiscal Year 2020 pursuant to clause (xxi) of the definition of Consolidated EBITDA
and all other adjustments expressly subject to the Subject Adjustment Cap (except to the extent such addbacks and adjustments pursuant to clause (xii) of the definition of Consolidated EBITDA are determined on a basis consistent with Article 11
of Regulation S-X promulgated under the Exchange Act and as interpreted by the staff of the Securities and Exchange Commission (or any successor agency)), shall not exceed the Subject Adjustment Cap. 

 

	 	t.	 Exhibit 4.2(b) to the Credit Agreement (Form of Compliance Certificate) is hereby amended and restated in its
entirety in the form attached as Exhibit A hereto. 

 SECTION 4. Amendment to the Guaranty and Security
Agreement. Effective as of the Effective Date, the definition of “Excluded Deposit Account” in Section 1.1(c) of the Guaranty and Security Agreement is hereby amended by (a) replacing the word “and” immediately
preceding clause (e) of such definition with “,” and (b) inserting the following at the end of such definition: “and (f) any deposit account the funds of which consist solely of deposits in favor of credit or debit card
issuers or credit or debit card processors in the ordinary course of business to secure the obligations of the Credit Parties or any of their Subsidiaries to such credit or debit card issuers and credit or debit card processors as a result of fees
or chargebacks (provided that the aggregate outstanding balance of all deposit accounts described in this clause (f) shall not exceed $1,000,000 at any one time outstanding).” 

SECTION 5. Conditions Precedent to Effectiveness. This Amendment shall become effective on the date (the “Effective
Date”) on which the Administrative Agent shall have received counterparts of this Amendment that, when taken together, bear the signatures of (a) the Borrower and (b) the Required Lenders. 

SECTION 6. Consent Fees. Each Lender party to this Amendment shall receive, not later than one Business Day after the Effective Date, a
fee equal to 0.50% of the aggregate principal amount of the Loans and/or Commitments (as the case may be) held by it as of the Effective Date. 

SECTION 7. Representations and Warranties. To induce the other parties hereto to enter into this Amendment, the Borrower represents and
warrants to the Agent and each Lender that, as of the Effective Date, (a) the representations and warranties set forth in Article III of the Credit Agreement and in each other Loan Document are true and correct in all material respects (without
duplication of any materiality qualifier contained therein) on and as of the Effective Date, except to the extent that any representation or warranty expressly relates to an earlier date or period (in which event such representations and warranties
were true and correct in all material respects (without duplication of any materiality qualifier contained therein) as of such earlier date or period) and (b) no Default or Event of Default (in each case, other than the Designated Defaults) has
occurred and is continuing. 
 SECTION 8. Effect of Amendment. Except as expressly set forth herein, this Amendment shall not, by
implication or otherwise, limit, impair, constitute a waiver of, or otherwise affect the rights and remedies of the Lenders or the Agent under the Credit Agreement or any other Loan Document, and shall not alter, modify, amend or in any way affect
any of the terms, conditions, obligations, covenants or agreements contained in the Credit Agreement or any other Loan Document, all of which shall continue in full force and effect. Nothing herein shall be deemed to entitle any Credit Party to a
consent to, or a waiver, amendment, modification or other change of, any of the terms, conditions, obligations, covenants or agreements contained in the Credit Agreement or any other Loan Document in similar or different circumstances. After the
date hereof, any reference in any Loan Document to the Credit Agreement shall be deemed to refer without further amendment to the Credit Agreement as amended hereby. This Amendment shall constitute a “Loan Document” for all purposes of the
Credit Agreement and the other Loan Documents. 

 SECTION 9. Counterparts. This Amendment may be executed in any number of counterparts
and by different parties in separate counterparts, each of which when so executed shall be deemed to be an original and all of which taken together shall constitute one and the same agreement. Signature pages may be detached from multiple separate
counterparts and attached to a single counterpart. Delivery of an executed signature page of this Amendment by facsimile transmission or Electronic Transmission shall be as effective as delivery of a manually executed counterpart hereof. 

SECTION 10. Governing Law. The laws of the State of New York shall govern all matters arising out of, in connection with or relating to
this Amendment, including, without limitation, its validity, interpretation, construction, performance and enforcement (including, without limitation, any claims based in contract or tort law arising out of the subject matter hereof and any
determinations with respect to post-judgment interest). 
 SECTION 11. Headings. The headings of this Amendment are for purposes of
reference only and shall not limit or otherwise affect the meaning hereof. 
 [Remainder of page intentionally left blank] 

 IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed by
their respective authorized officers as of the day and year first above written. 
  

			
	LULU’S FASHION LOUNGE, LLC

 
			
		
	By:	 	 /s/ Crystal Landsem

		 	Name: Crystal Landsem
		 	Title: CFO

 [Signature Page to Waiver and Amendment No. 4 to Credit Agreement 

and Amendment to Guaranty and Security Agreement] 

			
	CREDIT SUISSE AG, CAYMAN ISLANDS
	BRANCH, individually and as Administrative Agent
		
	By:	 	 /s/ Vipul Dhadda

		 	Name: Vipul Dhadda
		 	Title: Authorized Signatory
		
	By:	 	 /s/ Joan Park

		 	Name: Joan Park
		 	Title: Authorized Signatory

 [Signature Page to Waiver and Amendment No. 4 to Credit Agreement 

and Amendment to Guaranty and Security Agreement] 

 
			
	SIGNATURE PAGE TO WAIVER AND AMENDMENT NO. 4 DATED AS OF THE DATE FIRST WRITTEN ABOVE TO THE CREDIT AGREEMENT OF LULU’S FASHION LOUNGE, LLC
	
	Name of Lender: GOLDMAN SACHS FUNDING INTERNATIONAL LIMITED
		
	By:	 	 /s/ Daniel Lueders

		 	Name: Daniel Lueders
		 	Title: Authorized Signatory

 [Signature Page to Waiver and Amendment No. 4 to Credit Agreement 

and Amendment to Guaranty and Security Agreement] 

 
			
	SIGNATURE PAGE TO WAIVER AND AMENDMENT NO. 4 DATED AS OF THE DATE FIRST WRITTEN ABOVE TO THE CREDIT AGREEMENT OF LULU’S FASHION LOUNGE, LLC
	
	TCW DIRECT LENDING LLC
	
	By: TCW Asset Management Company LLC
	Its Investment Advisor
		
	By:	 	 /s/ Suzanne Grosso

		 	Name: Suzanne Grosso
		 	Title: Managing Director
	
	TCW BRAZOS FUND LLC
	
	By: TCW Asset Management Company LLC
	Its Investment Advisor
		
	By:	 	 /s/ Suzanne Grosso

		 	Name: Suzanne Grosso
		 	Title: Managing Director
	
	TCW DIRECT LENDING STRATEGIC VENTURES LLC
		
	By:	 	 /s/ Suzanne Grosso

		 	Name: Suzanne Grosso
		 	Title: Managing Director

 [Signature Page to Waiver and Amendment No. 4 to Credit Agreement 

and Amendment to Guaranty and Security Agreement] 

 
			
	TCW SKYLINE LENDING, L.P.
	By: TCW Asset Management Company LLC
Its Investment Advisor
		
	By:	 	 /s/ Suzanne Grosso

		 	Name: Suzanne Grosso
		 	Title: Authorized Signatory
	
	WEST VIRGINIA DIRECT LENDING LLC 
	By: TCW Asset Management Company LLC
Its Investment Advisor
		
	By:	 	 /s/ Suzanne Grosso

		 	Name: Suzanne Grosso
		 	Title: Managing Director

 [Signature Page to Waiver and Amendment No. 4 to Credit Agreement 

and Amendment to Guaranty and Security Agreement] 

 
			
	SIGNATURE PAGE TO WAIVER AND AMENDMENT NO. 4 DATED AS OF THE DATE FIRST WRITTEN ABOVE TO THE CREDIT AGREEMENT OF LULU’S FASHION LOUNGE, LLC
	
	MONROE CAPITAL CORPORATION,
	in its capacity as a Lender
		
	By:	 	 /s/ Jonathan D. Weinberg

		 	Name: Jonathan D. Weinberg
		 	Title: Director
	
	MONROE CAPITAL PRIVATE CREDIT FUND II (UNLEVERAGED OFFSHORE) LP, in its capacity as a Lender
		
		 	By: MONROE CAPITAL PRIVATE CREDIT FUND II LLC, its general partner
		
	By:	 	 /s/ Jonathan D. Weinberg

		 	Name: Jonathan D. Weinberg
		 	Title: Director
	
	MONROE CAPITAL PRIVATE CREDIT FUND II LP, in its capacity as a Lender
		
		 	By: MONROE CAPITAL PRIVATE CREDIT FUND II LP, as Designated Manager
		
		 	By: MONROE CAPITAL PRIVATE CREDIT FUND II LP, its general partner
		
	By:	 	 /s/ Jonathan D. Weinberg

		 	Name: Jonathan D. Weinberg
		 	Title: Director

 [Signature Page to Waiver and Amendment No. 4 to Credit Agreement  

and Amendment to Guaranty and Security Agreement] 

 
			
	MONROE CAPITAL PRIVATE CREDIT FUND II-O (UNLEVERAGED OFFSHORE) LP, in its capacity as a Lender
		
		 	By: MONROE CAPITAL PRIVATE CREDIT
		 	FUND II LLC, its general partner
		
	By:	 	 /s/ Jonathan D. Weinberg

		 	Name: Jonathan D. Weinberg
		 	Title: Director
	
	MONROE PRIVATE CREDIT FUND A FINANCING SPV LLC, in its capacity as a Lender
		
		 	By: MONROE PRIVATE CREDIT FUND A LP, as its Designated Manager
		
		 	By: MONROE PRIVATE CREDIT FUND A LLC, its general partner
		
	By:	 	 /s/ Jonathan D. Weinberg

		 	Name: Jonathan D. Weinberg
		 	Title: Director
	
	MONROE CAPITAL PRIVATE CREDIT FUND I FINANCING SPV LLC, in its capacity as a Lender
		
		 	 By: MONROE CAPITAL PRIVATE CREDIT

FUND I LP, as its Designated Manager

		
		 	 By: MONROE CAPITAL PRIVATE CREDIT

FUND I LLC, its general partner

		
	By:	 	 /s/ Jonathan D. Weinberg

		 	 Name: Jonathan D. Weinberg
 Title:
Director

	
	MONROE CAPITAL CLO 2014-1, LTD., in its capacity as a Lender
		
		 	By: MONROE CAPITAL MANAGEMENT, LLC, as Asset Manager and attorney-in-fact
		
	By:	 	 /s/ Jeffrey Williams

		 	Name: Jeffrey Williams
		 	Title: Managing Director

 [Signature Page to Waiver and Amendment No. 4 to Credit Agreement  

and Amendment to Guaranty and Security Agreement] 

 
			
	MONROE CAPITAL MML CLO 2016-1, LTD., in its capacity as a Lender
		
		 	By: MONROE CAPITAL MANAGEMENT LLC, as Collateral Manager Attorney-in-Fact
		
	By:	 	/s/ Jeffrey Williams
		 	Name: Jeffrey Williams
		 	Title: Managing Director

  

			
	MONROE CAPITAL MML CLO 2017-1, LTD., in its capacity as a Lender
		
		 	By: MONROE CAPITAL MANAGEMENT LLC, as Collateral Manager Attorney-in-Fact
		
	By:	 	/s/ Jeffrey Williams
		 	Name: Jeffrey Williams
		 	Title: Managing Director

  

			
	MONROE CAPITAL MML CLO VI, LTD., in its capacity as a Lender
		
		 	By: MONROE CAPITAL ASSET MANAGEMENT LLC, as Asset Manager and Attorney-in-Fact
		
	By:	 	/s/ Jeffrey Williams
		 	Name: Jeffrey Williams
		 	Title: Managing Director

 [Signature Page to Waiver and Amendment No. 4 to Credit Agreement 

and Amendment to Guaranty and Security Agreement] 

 
			
	SIGNATURE PAGE TO WAIVER AND AMENDMENT NO. 4 DATED AS OF THE DATE FIRST WRITTEN ABOVE TO THE CREDIT AGREEMENT OF LULU’S FASHION LOUNGE, LLC
	
	Name of Lender: Main Street Capital Corporation
		
	By:	 	/s/ Watt Matthews
		 	Name: Watt Matthews
		 	Title: Managing Director

 [Signature Page to Waiver and Amendment No. 4 to Credit Agreement 

and Amendment to Guaranty and Security Agreement] 

 
			
	SIGNATURE PAGE TO WAIVER AND AMENDMENT NO. 4 DATED AS OF THE DATE FIRST WRITTEN ABOVE TO THE CREDIT AGREEMENT OF LULU’S FASHION LOUNGE, LLC
	
	HMS FUNDING I LLC
	By:	 	 HMS Income Fund, Inc.
 Its Designated
Manager

		
	By:	 	/s/ Alejandro Palomo
		 	Name: Alejandro Palomo
		 	Title: Authorized Agent

 [Signature Page to Waiver and Amendment No. 4 to Credit Agreement 

and Amendment to Guaranty and Security Agreement] 

 
			
	SIGNATURE PAGE TO WAIVER AND AMENDMENT NO. 4 DATED AS OF THE DATE FIRST WRITTEN ABOVE TO THE CREDIT AGREEMENT OF LULU’S FASHION LOUNGE, LLC
	
	Name of Lender: Premia L V 1 Ltd. -1
		
	By:	 	/s/ Todd A. Berry
		 	Name: Todd A. Berry
		 	 Title: COO of its general partner,
 Birch
Grove Advisors LLC

	
	For any Lender requiring a second signature block:
		
	By:	 	/s/
		 	Name:
		 	Title:

 [Signature Page to Waiver and Amendment No. 4 to Credit Agreement 

and Amendment to Guaranty and Security Agreement] 

 
			
	SIGNATURE PAGE TO WAIVER AND AMENDMENT NO. 4 DATED AS OF THE DATE FIRST WRITTEN ABOVE TO THE CREDIT AGREEMENT OF LULU’S FASHION LOUNGE, LLC
	
	Name of Lender: Premia LV 1 Ltd. —Guideone
		
	By:	 	/s/ Todd A. Berry
		 	Name: Todd A. Berry
		 	 Title: COO of its general partner,
 Birch
Grove Advisors LLC

	
	For any Lender requiring a second signature block:
		
	By:	 	 
		 	Name:
		 	Title:

 [Signature Page to Waiver and Amendment No. 4 to Credit Agreement 

and Amendment to Guaranty and Security Agreement] 

 
			
	SIGNATURE PAGE TO WAIVER AND AMENDMENT NO. 4 DATED AS OF THE DATE FIRST WRITTEN ABOVE TO THE CREDIT AGREEMENT OF LULU’S FASHION LOUNGE, LLC
	
	Name of Lender: BGC Income Fund-01 LP
		
	By:	 	/s/ Todd A. Berry
		 	Name: Todd A. Berry
		 	 Title: COO of its general partner,
 Birch
Grove Advisors

	
	For any Lender requiring a second signature block:
		
	By:	 	 
		 	Name:
		 	Title:

 [Signature Page to Waiver and Amendment No. 4 to Credit Agreement 

and Amendment to Guaranty and Security Agreement] 

 
			
	SIGNATURE PAGE TO WAIVER AND AMENDMENT NO. 4 DATED AS OF THE DATE FIRST WRITTEN ABOVE TO THE CREDIT AGREEMENT OF LULU’S FASHION LOUNGE, LLC
	
	Name of Lender: BGC Credit Opportunities Fund Ltd
		
	By:	 	/s/ Todd A. Berry
		 	Name: Todd A. Berry
		 	 Title: COO of its general partner,
 Birch
Grove Advisors

	
	For any Lender requiring a second signature block:
		
	By:	 	 
		 	Name:
		 	Title:

 [Signature Page to Waiver and Amendment No. 4 to Credit Agreement 

and Amendment to Guaranty and Security Agreement] 

 
			
	SIGNATURE PAGE TO WAIVER AND AMENDMENT NO. 4 DATED AS OF THE DATE FIRST WRITTEN ABOVE TO THE CREDIT AGREEMENT OF LULU’S FASHION LOUNGE, LLC
	
	 Name of Lender: Swiss Capital Alternative Strategies Funds

SPC RE: SC Alternative Strategy 14SP

		
	By:	 	/s/ Todd A. Berry
		 	Name: Todd A. Berry
		 	 Title: COO of its general partner,
 Birch
Grove Advisors

	
	For any Lender requiring a second signature block:
		
	By:	 	 
		 	Name:
		 	Title:

 [Signature Page to Waiver and Amendment No. 4 to Credit Agreement 

and Amendment to Guaranty and Security Agreement] 

 
			
	SIGNATURE PAGE TO WAIVER AND AMENDMENT NO. 4 DATED AS OF THE DATE FIRST WRITTEN ABOVE TO THE CREDIT AGREEMENT OF LULU’S FASHION LOUNGE, LLC
	
	Name of Lender: I-45 SPV LLC
		
	By:	 	/s/ Josh Weinstein
		 	Name: Josh Weinstein
		 	Title: Managing Director

 [Signature Page to Waiver and Amendment No. 4 to Credit Agreement 

and Amendment to Guaranty and Security Agreement] 

 
			
	SIGNATURE PAGE TO WAIVER AND AMENDMENT NO. 4 DATED AS OF THE DATE FIRST WRITTEN ABOVE TO THE CREDIT AGREEMENT OF LULU’S FASHION LOUNGE, LLC
	
	Name of Lender: Snow Hill Designated Activity Company
		
	By:	 	/s/ Ruth Dominguez
		 	Name: Ruth Dominguez
		 	Title: Associate Director
	
	For any Lender requiring a second signature block:
		
	By:	 	 
		 	Name:
		 	Title:

 [Signature Page to Waiver and Amendment No. 4 to Credit Agreement 

and Amendment to Guaranty and Security Agreement] 

 EXHIBIT 4.2(b) 

[FORM OF] 
 COMPLIANCE CERTIFICATE1 
 Lulu’s Fashion Lounge Parent, LLC 

Lulu’s Fashion Lounge, LLC 

Financial Statement Date: _____________, 20___ 

This Compliance Certificate (this “Certificate”) is given by Lulu’s Fashion Lounge, LLC, a Delaware limited liability
company (the “Borrower”), pursuant to Section 4.2(b)(i) of that certain Credit Agreement, dated as of August 28, 2017 (as the same may be amended, restated, amended and restated, extended, refinanced,
supplemented or otherwise modified from time to time, the “Credit Agreement”), by and among the Lulu’s Fashion Lounge Parent, LLC, a Delaware limited liability company (“Holdings”), the Borrower, Credit Suisse
AG, Cayman Islands Branch, as Administrative Agent and as Collateral Agent for all Lenders, and the Lenders from time to time party thereto. Capitalized terms used herein but not otherwise defined herein shall have the respective meanings ascribed
to such terms in the Credit Agreement. The officer executing this Certificate hereby certifies that [he/she] is a Responsible Officer of Borrower and as such is duly authorized to execute and deliver this Certificate on behalf of the Credit Parties.
By executing this Certificate, such officer hereby certifies, in [his/her] capacity as a Responsible Officer of the Borrower and not in [his/her] individual capacity, to Agent, the Lenders and the L/C Issuers, on behalf of Holdings, the Borrower and
their Subsidiaries, that as of the date hereof: 
 (a) Such officer has reviewed and is familiar with the terms of the Credit Agreement and
has made, or has caused to be made under [his/her] supervision, a review of the activities of Holdings and its Subsidiaries during the fiscal period covered by the attached financial statements. 

[(b) Attached hereto as Annex A are the financial statements required by Section 4.1(a) of the Credit Agreement for
the Fiscal Year ended as of the above date.]2 
 [(c) Attached hereto as Annex A are
the consolidated financial statements required by Section 4.1(b) of the Credit Agreement for the Fiscal Quarter ended as of the above date.]3 

[(d) The financial statements delivered with this Certificate fairly present, in all material respects, in accordance with GAAP, the financial
condition and results of operations of Holdings and its Subsidiaries for the periods covered by such statements[, subject, in the case of financial statements delivered pursuant to Section 4.1(b) of the Credit Agreement, to
normal year-end adjustments and absence of footnote disclosures]4. 

 

	1 	 For use solely for purposes of Section 4.2(b)(i). For purposes of Section 4.2(b)(ii), use the
separate form of Consolidated Cumulative Unadjusted EBITDA Compliance Certificate appearing at the end of this Exhibit 4.2(b). The obligations of the Credit Parties under the Credit Agreement, including Section 6.1 thereof, are as set forth in
the Credit Agreement, and nothing in this Certificate shall modify such obligations or constitute a waiver of compliance therewith in accordance with the terms of the Credit Agreement. In the event of any conflict between the terms of this
Certificate and the terms of the Credit Agreement, the terms of the Credit Agreement shall govern and control, and the terms of this Certificate are to be modified accordingly. 

	2 	 Include only if Certificate is delivered for end of Fiscal Year. 

	3 	 Include only if Certificate is delivered for end of Fiscal Quarter. 

	4 	 Include only if Certificate is delivered for end of Fiscal Quarter. 

 (e) Attached hereto as Annex B is a complete and correct calculation of Consolidated EBITDA,
[Excess Cash Flow,]5 and Consolidated Interest Expense for the four Fiscal Quarter period ended as of the above date. Annex B also includes a complete and correct calculation of the Consolidated
Total Net Leverage Ratio for the four Fiscal Quarter period ended as of the above date. 
 (f) Attached hereto as Annex C is a complete and
correct calculation in reasonable detail of the Available Amount as of the date hereof. 
 (g) To the knowledge of such officer, as of the
date hereof, no Default or Event of Default has occurred and is continuing. 
 [Remainder of Page Intentionally Left Blank; Signature Page
Follows] 
  
  

	5 	 Include only if Certificate is delivered for end of Fiscal Year commencing December 31, 2018.

 IN WITNESS WHEREOF, the Borrower has caused this Certificate to be executed by one of its
Responsible Officers as of the date first above written. 
  

			
	Lulu’s Fashion Lounge, LLC, a
	Delaware limited liability company
		
	By:	 	 
		 	Name:
		 	Title:

 [Signature Page to Compliance Certificate] 

 ANNEX A 

TO COMPLIANCE CERTIFICATE 

Financial Statements 
 [ATTACHED]

  
 A-1 

 ANNEX B 

TO COMPLIANCE CERTIFICATE 
 Selected
Financial Definitions and Calculations 
  

	I.	 Calculation of Consolidated EBITDA 

Consolidated EBITDA means, with respect to Holdings for any period: 
  

	A.	 Net income of Holdings6 and its Subsidiaries for such
period, on a consolidated basis, and otherwise determined in accordance with GAAP 

 provided, however, that, without
duplication (including for purposes of determining Consolidated EBITDA), 
  

			
	 (i) non-cash extraordinary, non-recurring or unusual gains, losses, charges or expenses shall be excluded
	  	
		  	  

		
	 (ii)  the cumulative effect of a change in accounting principles and changes as a
result of the adoption or modification of accounting policies during such period shall be excluded to the extent not otherwise reflected in a change to the Financial Covenant
	  	
		  	  

		
	 (iii)  [reserved]
	  	
		  	  

		
	 (iv) the net income for such period of any Person that is not a Subsidiary, shall be
excluded to the extent such Person is prohibited by contract (including its Organization Documents) or governmental approval (which has not been obtained), from making dividends or distributions to the Borrower or a Subsidiary; provided that
Consolidated Net Income of the Borrower shall be increased by the amount of dividends or distributions or other payments that are actually paid to the Borrower or a Subsidiary thereof from a Person that is not such a Subsidiary in respect of such
period
	  	
		  	  

		
	 (v)   [reserved]
	  	
		  	  

		
	 (vi) [reserved]
	  	
		  	  

		
	 (vii) any impairment charge or asset write off or write down, including impairment charges or
asset write-offs or write-downs related to intangible assets, long-lived assets, investments in debt and equity securities or as a result of a change in law or regulation, in each case, pursuant to GAAP, and the amortization of intangibles arising
pursuant to GAAP shall be excluded
  
 For the avoidance of doubt,
Consolidated Net Income shall be calculated on a Pro Forma Basis.
	  	
		  	  

		
	 B. Total exclusions to consolidated net income (sum of (i)-(vii) above)
	  	
		  	  

		
	 C. Consolidated Net Income (result of A minus B)
	  	
		  	  

 

	6 	 Unless the context shall otherwise require, references to Consolidated Net Income herein shall mean
Consolidated Net Income of Holdings. 

  
 B-1 

			
	 D. Increased (without duplication, including for purposes of determining Consolidated Net
Income) by the following, in each case (other than clause (xii)) to the extent deducted (and not added back or excluded) in determining Consolidated Net Income for such period:
	  	
		  	  

		
	 (i)  provision for taxes based on income or profits or capital, including, without
limitation, federal, provincial, state, franchise and similar taxes and foreign withholding taxes of such Person paid or accrued during such period (including penalties, interest, costs and expenses related to such taxes or arising from any tax
examinations or Restricted Payments permitted pursuant to Section 5.7(c) of the Credit Agreement)
	  	
		  	  

		
	 (ii)   Consolidated Interest Expense of such Person for such period
	  	
		  	  

		
	 (iii)   Consolidated Depreciation and Amortization Expense of such Person for
such period
	  	
		  	  

		
	 (iv)  any
out-of-pocket fees, payments, expenses or charges (including legal, tax, structuring and other costs and expenses, but excluding depreciation and amortization expense)
related to: (a) the Transactions, including any payments and expenses, or any amortization thereof, related to the Transactions that are incurred within twelve months after the Closing Date and (b) any proposed or actual equity offering
(including, without limitation, any Initial Public Offering), Investment, acquisition (including costs and expenses in connection with the de-listing of public targets and compliance with public company
requirements), disposition, dividend, restricted payment or recapitalization or the incurrence and/or repayment of Indebtedness (including any incremental facility, any refinancing of any such Indebtedness, any letter of credit fees and/or breakage
costs) (in each of the forgoing whether or not consummated or successful), including (1) such fees, expenses or charges related to the Loans, the Loan Documents and any credit facilities, (2) any amendment, restatement, extension, increase
or other modification of the Loans, the Loan Documents and any credit facilities, (3) any charges, non-recurring acquisition costs or contingent transaction costs incurred during such period as a result
of any such transaction and (4) one-time expenses related to enhanced accounting function or other transaction costs, including those associated with becoming standalone entity or public company;
provided that the aggregate amount of fees, payments, expenses or charges related to preparation for an Initial Public Offering (including costs associated with becoming a standalone entity or public company, but excluding any underwriter or
other transaction fees payable in connection with an Initial Public Offering) pursuant to this clause (iv) shall not exceed (A) for any period of four consecutive Fiscal Quarters ending after the Fourth Amendment Effective Date and on or
prior to December 31, 2020, $4,900,000, (B) for Fiscal Years 2019 and 2020 in the aggregate, $4,900,000 and (C) for all periods thereafter, the Subject Adjustment Cap (when taken together with all other adjustments expressly subject to the
Subject Adjustment Cap).
	  	
		  	  

		
	 (v)    the amount (together with any fees, expenses or other charges in
connection therewith) of any out-of-pocket deferred compensation, severance, signing bonuses, stay bonus, retention, recruiting and relocation costs, integration costs,
transition costs, costs incurred in connection with any non-recurring strategic initiatives and intellectual property development, project startup costs and other restructuring
	  	
		  	  

  
 B-2 

			
	 charges, costs associated with establishing new facilities or reserves, any other
one-time costs incurred in connection with acquisitions, excess fulfillment costs incurred prior to warehouse consolidation through December 31, 2017 and costs related to the closure and/or consolidation
of facilities in the good faith determination of the Borrower and as certified by the Borrower’s chief financial officer, chief executive officer, controller or other comparable executive; provided that, the aggregate amount pursuant to
this clause (v), together with the aggregate amount pursuant to clause (xii) below, the aggregate amount of inventory disposition expense for Fiscal Year 2020 pursuant to clause (xxi) below, the aggregate amount pursuant to clause
(B) of the definition of Pro Forma Basis and all other adjustments expressly subject to the Subject Adjustment Cap (but excluding any adjustments under such clause (xii) and the definition of Pro Forma Basis determined on a basis
consistent with Article 11 of Regulation S-X promulgated under the Exchange Act and as interpreted by the staff of the Securities and Exchange Commission (or any successor agency)), shall not exceed
(1) in any period of four consecutive Fiscal Quarters ending on or before December 31, 2019, 20% of Consolidated EBITDA for such period, (2) in any period of four consecutive Fiscal Quarters ending after December 31, 2019 but on
or prior to September 30, 2020, the sum of (x) 20% of Consolidated EBITDA attributable to the Fiscal Quarter or Fiscal Quarters in such period ending on or prior to December 31, 2019 and (y) 10% of Consolidated EBITDA attributable to each
other Fiscal Quarter in such period and (3) thereafter, 10% of Consolidated EBITDA for such period, in each case, prior to giving effect to such adjustments for the applicable period or periods (the foregoing clauses (1) through (3), in
each case, determined prior to giving effect to such adjustments for the applicable period or periods, the “Subject Adjustment Cap”);
	  	
		
	 (vi)  fees, costs and expenses incurred in connection with the Fourth Amendment
consisting of (x) consent fees payable to Lenders in connection therewith, (y) legal fees of Latham & Watkins LLP, Cravath, Swaine & Moore LLP and Goldberg Kohn in connection therewith and (z) any payment of, or
reimbursement of the Agent and/or the Lenders for, costs and expenses of the Fourth Amendment Consultant;
	  	
		
	 (vii)  fees paid in an amount not to exceed $500,000 in any Fiscal Year to the Sponsor
and its Affiliates pursuant to or in connection with services rendered pursuant to the Management Agreement, any amounts payable with respect to indemnities thereunder, and reasonable,
out-of-pocket expenses paid, or reimbursed, to the Sponsor and its Affiliates
	  	
		  	  

		
	 (viii)   non-cash stock option and other
equity-based compensation
	  	
		  	  

		
	 (ix)  (A) compensation and fees paid to directors of Holdings or any of its
Subsidiaries permitted under the Credit Agreement in an aggregate cash amount not to exceed $1,000,000 in any Fiscal Year, (B) expense reimbursements for travel and other expenses paid to directors of Holdings or any of its Subsidiaries
permitted under the Credit Agreement and (C) indemnifications of directors, officers and comparable managers of Holdings or any of its Subsidiaries permitted under the Credit Agreement
	  	
		  	  

  
 B-3 

			
	 (x)    to the extent covered by insurance or reimbursed, or, so long as
the Borrower has made a determination that there exists reasonable evidence that such amount will in fact be reimbursed by the insurer, losses or expenses with respect to liability or casualty event; provided that Consolidated EBITDA shall be
decreased in any future period in which such reimbursement is actually received by the amount, if any, by which such reimbursement is less than the accrued amounts added back pursuant to this clause (x)
	  	
		
	 (xi)  the amount of any earn out obligation which was reserved or paid during such
period and deducted in the calculation of Consolidated Net Income for such period, to the extent such earn out obligations are permitted under the Credit Agreement
	  	
		  	  

		
	 (xii)  the amount of cost savings, operating expense reductions, other operating
improvements and initiatives and synergies which are projected by the Borrower in good faith to be reasonably anticipated to be realizable within eighteen (18) months of the date thereof (which will be added to Consolidated EBITDA as so
projected until fully realized and calculated on a pro forma basis as though such cost savings, operating expense reductions, other operating improvements, initiatives and synergies had been realized on the first day of such period) net of the
amount of actual benefits realized during such period from such actions; provided that all steps have been taken or are reasonably expected to be taken for realizing such cost savings and such cost savings are reasonably identifiable and factually
supportable (in the good faith determination of the Borrower and certified by a Responsible Officer of the Borrower); provided further that, the aggregate amount pursuant to this clause (xii) and clause (B) of the definition of Pro Forma
Basis, together with the aggregate amount pursuant to clause (v) above, the aggregate amount of inventory disposition expense for Fiscal Year 2020 pursuant to clause (xxi) below and all other adjustments expressly subject to the Subject
Adjustment Cap, shall not exceed the Subject Adjustment Cap; provided that the limitations in the immediately preceding proviso will not apply to the extent such adjustments are determined on a basis consistent with Article 11 of Regulation S-X promulgated under the Exchange Act and as interpreted by the staff of the Securities and Exchange Commission (or any successor agency);
	  	
		  	  

		
	 (xiii)   non-cash costs or losses
related to hedging obligations
	  	
		  	  

		
	 (xiv) non-cash foreign exchange losses resulting
from the impact of foreign currency changes on the valuation of assets or liabilities
	  	
		  	  

		
	 (xv)   [Reserved]
	  	
		  	  

		
	 (xvi) any purchase accounting adjustments, restructuring and other non- recurring items or expenses incurred in connection with any Permitted Acquisition (including any debt or equity issuance in connection therewith) or any non-recurring
items or expenses incurred in connection with a Disposition
	  	
		  	  

		
	 (xvii)  (A) non-cash costs and expenses
relating to any equity-based compensation or equity-based incentive plan or any other management or employee benefit plan or agreement or any stock subscription or shareholder agreement, in each case, of Holdings, the Borrower or any Subsidiary for
such period and (B) any costs or expense incurred by Holdings, the Borrower or any Subsidiary pursuant to any management
	  	
		  	  

  
 B-4 

			
	 equity plan or stock option plan or any other management or employee benefit plan or agreement or any stock
subscription or shareholder agreement, to the extent that such cost or expenses are funded with cash proceeds contributed to the capital of Holdings or the Borrower or Net Issuance Proceeds of an issuance of equity interests (other than Disqualified
Stock) of Holdings or the Borrower
	  	
		
	 (xviii)  all costs or losses (whether cash or
non-cash) (without duplication) resulting from the early termination or extinguishment of Indebtedness
	  	
		  	  

		
	 (xix) cash expenses of Holdings, the Borrower and their Subsidiaries incurred during such
period to the extent (x) deducted in determining Consolidated Net Income and (y) reimbursed in cash by any person (other than any of Holdings, the Borrower or any of their Subsidiaries or any owners, directly or indirectly, of equity
interests, respectively, therein) during such period (or reasonably expected to be so reimbursed within 365 days of the end of such period to the extent not accrued) pursuant to an indemnity or guaranty or any other reimbursement agreement in favor
of Holdings, the Borrower or any of their Subsidiaries to the extent such reimbursement has not been accrued (provided that (A) if not so reimbursed or received by Holdings, the Borrower or such Subsidiary within such 365 day period, such
expenses or losses shall be subtracted in the subsequent calculation period or (B) if reimbursed or received by Holdings, the Borrower or such Subsidiary in a subsequent period, (1) such amount shall not be permitted to be added back in
determining Consolidated EBITDA for such subsequent period and (2) Consolidated EBITDA shall be decreased for such subsequent period by an amount, if any, by which such reimbursement is less than the accrued amounts added back pursuant to this
clause)
	  	
		  	  

		
	 (xx)   to the extent deducted (and any reimbursement therefor not already added
back) in determining Consolidated Net Income, the aggregate amount of expenses or losses incurred by Holdings, the Borrower or any Subsidiary relating to business interruption to the extent covered by insurance and (x) actually reimbursed or
otherwise paid to Holdings, the Borrower or such Subsidiary or (y) so long as such amount for any calculation period is reasonably expected to be received by Holdings, the Borrower or such Subsidiary in a subsequent calculation period and
within one year of the date of the underlying loss (provided that (A) if not so reimbursed or received by Holdings, the Borrower or such Subsidiary within such 365 day period, such expenses or losses shall be subtracted from Consolidated
EBITDA in the subsequent calculation period or (B) if reimbursed or received by Holdings, the Borrower or such Subsidiary in a subsequent period, (1) such amount shall not be permitted to be added back in determining Consolidated EBITDA
for such subsequent period and (2) Consolidated EBITDA shall be decreased for such subsequent period by an amount, if any, by which such reimbursement is less than the accrued amounts added back pursuant to this clause)
	  	
		  	  

		
	 (xxi) losses, charges and expenses attributable to (x) asset sales or other
dispositions or the repurchase, redemption, sale or disposition of any equity interests of any Person other than in the ordinary course of business and (y) repurchases or redemptions of any equity interests of Holdings from existing or former
directors, officers or employees of Holdings, the Borrower or their Subsidiaries, their estates, beneficiaries
	  	
		  	  

  
 B-5 

			
	 under their estates, transferees, spouses or former spouses; provided that the aggregate amount of all expenses
attributable to dispositions of inventory pursuant to this clause (xxi) shall not exceed (A) for any period of four consecutive Fiscal Quarters ending after the Fourth Amendment Effective Date and on or prior to December 31, 2019,
$1,000,000, (B) for any period of four consecutive Fiscal Quarters ending after December 31, 2019 and on or prior to December 31, 2020, (1) with respect to such expenses attributable to dispositions of inventory for all Fiscal Quarters in
such period ending on or prior to December 31, 2019, $1,000,000 plus (2) with respect to such expenses attributable to dispositions of inventory in Fiscal Year 2020, additional amounts subject to the Subject Adjustment Cap and
(C) with respect to such expenses attributable to dispositions of inventory in any subsequent period, such expenses shall not exceed the Subject Adjustment Cap (when taken together with all adjustments expressly subject to the Subject
Adjustment Cap);
	  	
		
	 (xxii)  payments to employees, directors or officers of Holdings, the Borrower and its
Subsidiaries paid in connection with dividends that are otherwise permitted under the Credit Agreement (including, without limitation, the Special Dividend) to the extent such payments are not made in lieu of, or as a substitution for, ordinary
salary or ordinary payroll payments
	  	
		  	  

		
	 (xxiii)  the aggregate amount of all other
non-cash items otherwise reducing Consolidated Net Income
	  	
		  	  

		
	 (xxiv) unamortized fees, costs and expenses paid in cash in connection with the repayment of
Indebtedness of Holdings or its Subsidiaries to persons that are not Affiliates of Holdings or any of its Subsidiaries
	  	
		  	  

		
	 Total addbacks to consolidated net income (sum of (i)-(xxiv) above)
	  	
		  	  

		
	 E.  [Reserved]
	  	
		  	  

		
	 F.  Increased (without duplication) by the amount of any Specified Equity Contribution
solely for purposes of determining compliance with the Financial Covenant
	  	
		  	  

		
	 G. [Reserved]
	  	
		  	  

		
	 H. Decreased (without duplication) to the extent included in determining Consolidated Net
Income for such period, by non-cash gains increasing Consolidated Net Income of such Person for such period, but excluding (x) any non-cash gains to the extent they
represent the reversal of an accrual or reserve for a potential cash item that reduced Consolidated EBITDA in any prior period and (y) any non-cash gains with respect to cash actually received in a prior
period so long as such cash did not increase Consolidated EBITDA in such prior period; provided that, to the extent non-cash gains are deducted pursuant to this clause (e) for any previous period and not
otherwise added back to Consolidated EBITDA, Consolidated EBITDA shall be increased by the amount of any cash receipts (or any netting arrangements resulting in reduced cash expenses) in respect of such
non-cash gains received in subsequent periods to the extent not already included therein
	  	
		  	  

  
 B-6 

					
	I.	  	Decreased (without duplication) by non-cash gains related to hedging obligations	  	                
		  		  	  

			
	J.	  	Decreased (without duplication) by non-cash gains resulting from the impact of foreign currency changes on the valuation of assets or liabilities	  	
		  		  	  

			
	K.	  	Decreased (without duplication) by gains attributable to (x) asset sales or other dispositions or the repurchase, redemption, sale or disposition of any equity interests of any Person other than in the ordinary course of
business and (y) repurchases or redemptions of any equity interests of Holdings from existing or former directors, officers or employees of Holdings, the Borrower or their Subsidiaries, their estates, beneficiaries under their estates,
transferees, spouses or former spouses	  	
		  		  	  

			
	L.	  	Decreased (without duplication) by any gains (whether cash or non-cash) resulting from the early termination or extinguishment of Indebtedness	  	
		  		  	  

			
	M.	  	Consolidated EBITDA (sum of C plus D plus E plus F plus G minus H minus I minus J minus K minus L above)7	  	
		  		  	  

			
	II.	  	Calculation of Excess Cash Flow	  	
			
		  	Excess Cash Flow is defined as:	  	
			
	A.	  	Consolidated EBITDA of Holdings (per Section I of Annex B)	  	
		  		  	  

			
	B.	  	Minus, without duplication:	  	
		  		  	  

			
		  	 (i) any scheduled principal installments of term loans paid by Holdings or any of its
Subsidiaries during such period and any other scheduled, mandatory or optional principal payment made by Holdings or any of its Subsidiaries during such period on any Indebtedness other than the Loans (including, without limitation, the principal
component of payments in respect of Capital Lease Obligations) and payment of revolving Indebtedness, to the extent such payment results in a permanent reduction in the commitments thereof
	  	
		  		  	  

			
		  	 (ii)  any capital expenditure made by Holdings or any of its Subsidiaries during such
period and permitted by Section 5.14 excluding any such capital expenditure to the extent funded with the Net Proceeds from a disposition of assets or proceeds of an insurance award in respect of an Event of Loss or financed with the incurrence
of Indebtedness (other than Revolving Loans and intercompany indebtedness) or the proceeds of an equity issuance by or capital contributions to Holdings)
	  	
		  		  	  

  

	7 	 For purposes of determining Consolidated EBITDA under the Credit Agreement for any period that includes the
Fiscal Quarters ended September 25, 2016, January 1, 2017, April 2, 2017 or July 2, 2017, Consolidated EBITDA for such Fiscal Quarter shall be $6,858,306, $7,295,681, $11,450,012 and $15,002,144, respectively, subject to
adjustments pursuant to clause (a)(xii) above for events and transactions not otherwise reflected in the foregoing amounts. For the avoidance of doubt, Consolidated EBITDA shall be determined on a Pro Forma Basis, and there shall be included in
determining Consolidated EBITDA for any period, without duplication, on a Pro Forma Basis, the Acquired EBITDA of any Person, all or substantially all of the assets of a Person, or any business unit, line of business or division of any Person
acquired by any Credit Party or any Subsidiary of a Credit Party during such period (but not the acquired EBITDA of any related Person, property, business or assets to the extent not so acquired), to the extent not subsequently sold, transferred or
otherwise disposed of by any Credit Party or any Subsidiary of a Credit Party during such period based on the actual and audited (if available) acquired EBITDA of such Acquired Entity or Business for such period (including the portion thereof
occurring prior to such acquisition). 

  
 B-7 

					
		  	 (iii)   Consolidated Interest Expense of Holdings paid or payable in cash in
respect of such period
	  	                
		  		  	  

			
		  	 (iv) all cash expenses, charges, losses and other cash items added back to Consolidated Net
Income or to Consolidated EBITDA pursuant to clause (a) (i.e., clause D of Section I of this Annex B) of the definition of “Consolidated EBITDA”, excluding Consolidated Interest Expense to the extent deducted in clause
(iii) above
	  	
		  		  	  

			
		  	 (v)   any cash payment made during such period with respect to Restricted
Payments permitted by Section 5.7 (other than pursuant to Section 5.7,(m) of the Credit Agreement), excluding amounts to the extent funded with long-term indebtedness
	  	
		  		  	  

			
		  	 (vi) any taxes measured by income, profits or capital (including federal, foreign and state,
local, franchise, excise and similar taxes) paid or payable in cash for such period, including Restricted Payments permitted pursuant to Section 5.7(c) of the Credit Agreement
	  	
		  		  	  

			
		  	 (vii)  any increase in the Working Capital of Holdings during such period (measured as
the excess of such Working Capital at the end of such period over such Working Capital at the beginning of such period)
	  	
		  		  	  

			
		  	 (viii)  all non-cash gains included in and
other non-cash items that increase the calculation of Consolidated Net Income or Consolidated EBITDA
	  	
		  		  	  

			
		  	 (ix) the aggregate amount of all mandatory prepayments made pursuant to the Loan Documents
with the proceeds of an asset sale or other disposition or loss or casualty event during such period to the extent such proceeds are included in the calculation of Consolidated EBITDA for such period
	  	
		  		  	  

			
		  	 (x)   all amounts increasing Consolidated EBITDA pursuant to sections D(xii),
(E) and (F) of the definition of “Consolidated EBITDA” in part I of Annex B and any increase in Consolidated Net Income or Consolidated EBITDA as a result of Pro Forma adjustments
	  	
		  		  	  

			
		  	 (xi) [Reserved]
	  	
		  		  	  

			
		  	 (xii)  cash payments in respect of any earn-outs and hedging obligations to the extent
not deducted in arriving at Consolidated EBITDA
	  	
		  		  	  

			
		  	 (xiii)  the aggregate amount of consideration paid in cash during such period with
respect to a Permitted Acquisition or other permitted Investment
	  	
		  		  	  

			
		  	Total deductions from Consolidated EBITDA (sum of (i) through (xiii) above)	  	
		  		  	  

			
	C.	  	Plus, without duplication, any decrease in the Working Capital of Holdings during such period (measured as the excess of such Working Capital at the beginning of such period over such Working Capital at the end thereof)	  	
		  		  	  

  
 B-8 

					
	D	  	Excess Cash Flow (result of A minus B plus C above)8	  	                
		  		  	  

			
	E	  	Prepayment percentage pursuant to Section 1.8(e) of the Credit Agreement and definition of “ECF Percentage”9	  	[75%][50%]
			
	F	  	Excess Cash Flow Prepayment Amount	  	
		  		  	  

			
	G	  	At the option of the Borrower, the amount of such mandatory prepayment hereunder shall be reduced dollar-for-dollar by the amount of voluntary
prepayments under Section 1.7(a) of the Term Loans, and, to the extent accompanied by a permanent reduction of the Aggregate Revolving Loan Commitment, any Revolving Loans, in each case, without duplication of any such prepayments from prior
periods, prior to any Excess Cash Flow Prepayment Date except to the extent financed with long-term Indebtedness (other than Revolving Loans)	  	
		  		  	  

			
	H	  	Net amount of Excess Cash Flow prepayment	  	
		  		  	  

			
	III.	  	Consolidated Interest Expense	  	
		  		  	  

			
		  	The consolidated interest expense of Holdings and its Subsidiaries for such period, determined in accordance with GAAP.10	  	
		  		  	  

			
	IV.	  	Consolidated Total Net Leverage Ratio	  	
		  		  	  

			
	A.	  	Consolidated Total Net Debt (the sum of (i) minus (ii) below):	  	
		  		  	  

			
		  	 (i) Consolidated Total Debt (which means, the aggregate outstanding principal amount of all
Indebtedness of Holdings and its Subsidiaries of a type described in clause (a), (b), (c) (solely to the extent of amounts that are drawn but not reimbursed), (f) and (g) of the definition of Indebtedness and all Guarantees with respect to any
such Indebtedness, in each case of on a consolidated basis)
	  	
		  		  	  

			
		  	 (ii)  the aggregate amount of Unrestricted Cash and Cash Equivalents of Holdings and
its Subsidiaries that are held in a deposit account or securities account in which the Agent has a perfected security interest, in an aggregate amount not to exceed $5,000,000
	  	
		  		  	  

			
	B.	  	Consolidated EBITDA (Item M of Section I above)	  	
		  		  	  

			
	C.	  	Consolidated Total Net Leverage Ratio (ratio of A to B above)	  	
		  		  	  

			
	D.	  	Maximum permitted Consolidated Total Net Leverage Ratio for such Period	  	
		  		  	  

			
		  	In Compliance	  	[Yes]/[No]

  

	8 	 For purposes of calculating Excess Cash Flow, without duplication of anything above, any Acquired EBITDA of any
Acquired Entity or Business accrued prior to the date it becomes a Subsidiary of Holdings or is merged or consolidated with Holdings or any of its Subsidiaries or the date that such Acquired Entity or Business’s assets are acquired by Holdings
or any of its Subsidiaries shall be excluded. 

	9 	 50%, if the Consolidated Total Net Leverage Ratio as of the last day of the applicable Fiscal Year ending on or
after December 31, 2018 per Annex B is less than 2.00 to 1.00. 

	10 	 For purposes of the foregoing, interest expense shall be determined after giving effect to any net payments
made or received by such Person and its Subsidiaries pursuant to interest rate swap obligations with respect to Indebtedness. 

  
 B-9 

 ANNEX C 

TO COMPLIANCE CERTIFICATE 

Available Amount 
  

					
	I.	  	Calculation of Available Amount	  	                
		  		  	  

			
	A.	  	The Sum of (i) through (v) below:	  	
		  		  	  

			
		  	 (i) Cumulative amount of Net Issuance Proceeds of Excluded Equity Issuances and capital
contributions (other than Specified Equity Contributions or an Unadjusted EBITDA Equity Contribution) received by the Borrower after the Closing Date and prior to the date hereof
	  	
		  		  	  

			
		  	 (ii)  Net Incurrence Proceeds of Indebtedness and Net Issuance Proceeds of
Disqualified Stock that have been incurred or issued after the Closing Date and prior to the date hereof (other than Specified Equity Contributions or an Unadjusted EBITDA Equity Contribution) and exchanged or converted into Qualified Stock of the
Borrower (or any direct or indirect parent company thereof)
	  	
		  		  	  

			
		  	 (iii)  Declined Amounts
	  	
		  		  	  

			
		  	 (iv) Net Proceeds of any sale of any Investment originally made using the Available
Amount
	  	
		  		  	  

			
		  	 (v)   Without duplication to (iv), cash returns, profits, distributions and
similar amounts received on Investments (other than in respect of intercompany investments) originally made using the Available Amount to the extent not included in Consolidated Net Income
	  	
		  		  	  

			
	B.	  	Available Amount that has been applied to make Investments pursuant to Section 5.4(x) of the Credit Agreement	  	
		  		  	  

			
	C.	  	Available Amount (A minus B):	  	
		  		  	  

  
 B-10 

 ANNEX C 

TO COMPLIANCE CERTIFICATE 

Available Amount 
 [FORM OF]
CONSOLIDATED CUMULATIVE UNADJUSTED 
 EBITDA COMPLIANCE CERTIFICATE1 

Lulu’s Fashion Lounge Parent, LLC 

Lulu’s Fashion Lounge, LLC 

Financial Statement Date: ______________, 20___ 

This Compliance Certificate (this “Certificate”) is given by Lulu’s Fashion Lounge, LLC, a Delaware limited liability
company (the “Borrower”), pursuant to Section 4.2(b)(ii) of that certain Credit Agreement, dated as of August 28, 2017 (as the same may be amended, restated, amended and restated, extended, refinanced,
supplemented or otherwise modified from time to time, the “Credit Agreement”), by and among the Lulu’s Fashion Lounge Parent, LLC, a Delaware limited liability company (“Holdings”), the Borrower, Credit Suisse
AG, Cayman Islands Branch, as Administrative Agent and as Collateral Agent for all Lenders, and the Lenders from time to time party thereto. Capitalized terms used herein but not otherwise defined herein shall have the respective meanings ascribed
to such terms in the Credit Agreement. The officer executing this Certificate hereby certifies that [he/she] is a Responsible Officer of Borrower and as such is duly authorized to execute and deliver this Certificate on behalf of the Credit Parties.
By executing this Certificate, such officer hereby certifies, in [his/her] capacity as a Responsible Officer of the Borrower and not in [his/her] individual capacity, to Agent, the Lenders and the L/C Issuers, on behalf of Holdings, the Borrower and
their Subsidiaries, that as of the date hereof: 
 (a) Such officer has reviewed and is familiar with the terms of the Credit Agreement and
has made, or has caused to be made under [his/her] supervision, a review of the activities of Holdings and its Subsidiaries during the fiscal period covered by the attached financial statements. 

[(b) Attached hereto as Annex A are the consolidated financial statements required by Section 4.1(b) of the Credit
Agreement for the Fiscal Quarter ended as of the above date.]2 
 [(c) Attached hereto
as Annex A are the consolidated financial statements required by Section 4.1(c) of the Credit Agreement for the fiscal month ended as of the above date.]3 

(d) The financial statements delivered with this Certificate fairly present, in all material respects, in accordance with GAAP, the financial
condition and results of operations of Holdings and its Subsidiaries for the periods covered by such statements, subject to normal year-end adjustments and absence of footnote disclosures. 

 

	1 	 For use solely for purposes of Section 4.2(b)(ii). The obligations of the Credit Parties under the Credit
Agreement, including Section 6.2 thereof, are as set forth in the Credit Agreement, and nothing in this Certificate shall modify such obligations or constitute a waiver of compliance therewith in accordance with the terms of the Credit Agreement. In
the event of any conflict between the terms of this Certificate and the terms of the Credit Agreement, the terms of the Credit Agreement shall govern and control, and the terms of this Certificate are to be modified accordingly.

	2 	 Include only if Certificate is delivered for end of Fiscal Quarter ended on or around June 30,
2019, September 30, 2019 or December 31, 2019. 

	3 	 Include only if Certificate is delivered for end of July 31, 2019, August 31, 2019, October 31,
2019 or November 30, 2019. 

  
 C-1 

 (e) Attached hereto as Annex B is a complete and correct calculation of Consolidated
Cumulative Unadjusted EBITDA for the Consolidated Cumulative Unadjusted EBITDA Test Period ending as of the above date. 
 (f) To the
knowledge of such officer, as of the date hereof, no Default or Event of Default has occurred and is continuing. 
 [Remainder of
Page Intentionally Left Blank; Signature Page Follows] 

 IN WITNESS WHEREOF, the Borrower has caused this Certificate to be executed by one of its
Responsible Officers as of the date first above written. 
  

			
	Lulu’s Fashion Lounge, LLC, a
	Delaware limited liability company
		
	By:	 	 
		 	Name:
		 	Title:

 [Signature Page to Compliance Certificate] 

 ANNEX C 

TO COMPLIANCE CERTIFICATE 
 ANNEX A

 TO CONSOLIDATED 
 CUMULATIVE
UNADJUSTED 
 EBITDA COMPLIANCE CERTIFICATE 

Financial Statements 
 [ATTACHED]

  
 A-1 

 ANNEX B 

TO CONSOLIDATED 
 CUMULATIVE
UNADJUSTED 
 EBITDA COMPLIANCE 

CERTIFICATE 
 Financial Statements

  

					
	I.	  	Calculation of Consolidated Cumulative Unadjusted EBITDA	  	
			
		  	Consolidated Cumulative Unadjusted EBITDA means, with respect to Holdings for any period:	  	
			
	A.	  	Net income of Holdings1 and its Subsidiaries for such period, on a consolidated basis, and otherwise determined in accordance with GAAP	  	
			
		  	provided, however, that, without duplication, (including for purposes of determining Consolidated EBITDA),	  	
			
		  	 (i) non-cash extraordinary, non-recurring or unusual gains, losses, charges or expenses shall be excluded
	  	                
		  		  	  

			
		  	 (ii)  the cumulative effect of a change in accounting principles and changes as a
result of the adoption or modification of accounting policies during such period shall be excluded to the extent not otherwise reflected in a change to the Financial Covenant
	  	
		  		  	  

			
		  	 (iii)  [reserved]
	  	
		  		  	  

			
		  	 (iv) the net income for such period of any Person that is not a Subsidiary, shall be
excluded to the extent such Person is prohibited by contract (including its Organization Documents) or governmental approval (which has not been obtained), from making dividends or distributions to the Borrower or a Subsidiary; provided that
Consolidated Net Income of the Borrower shall be increased by the amount of dividends or distributions or other payments that are actually paid to the Borrower or a Subsidiary thereof from a Person that is not such a Subsidiary in respect of such
period
	  	
		  		  	  

			
		  	 (v)   [reserved]
	  	
		  		  	  

			
		  	 (vi) [reserved]
	  	
		  		  	  

			
		  	 (vii) any impairment charge or asset write off or write down, including impairment charges or
asset write-offs or write-downs related to intangible assets, long-lived assets, investments in debt and equity securities or as a result of a change in law or regulation, in each case, pursuant to GAAP, and the amortization of intangibles arising
pursuant to GAAP shall be excluded
  
 For the avoidance of doubt,
Consolidated Net Income shall be calculated on a Pro Forma Basis.
	  	                
		  		  	  

 

	1 	 Unless the context shall otherwise require, references to Consolidated Net Income herein shall mean
Consolidated Net Income of Holdings. 

  
 B-1 

					
			
	B.	  	Total exclusions to consolidated net income (sum of (i)-(vii) above)	  	
		  		  	  

			
	C.	  	Consolidated Net Income (result of A minus B)	  	
		  		  	  

			
	D.	  	Increased (without duplication, including for purposes of determining Consolidated Net Income) by the following, in each case to the extent deducted (and not added back or excluded) in determining Consolidated Net Income for such
period:	  	
		  		  	  

			
		  	 (i) provision for taxes based on income or profits or capital, including, without
limitation, federal, provincial, state, franchise and similar taxes and foreign withholding taxes of such Person paid or accrued during such period (including penalties, interest, costs and expenses related to such taxes or arising from any tax
examinations or Restricted Payments permitted pursuant to Section 5.7(c) of the Credit Agreement)
	  	
			
		  	 (ii)  Consolidated Interest Expense of such Person for such period
	  	
		  		  	  

			
		  	 (iii)  Consolidated Depreciation and Amortization Expense of such Person for such
period
	  	
		  		  	  

			
		  	 (iv) fees, costs and expenses incurred in connection with the Fourth Amendment consisting of
(x) consent fees payable to Lenders in connection therewith, (y) legal fees of Latham & Watkins LLP, Cravath, Swaine & Moore LLP and Goldberg Kohn in connection therewith and (z) any payment of, or reimbursement of
the Agent and/or the Lenders for, costs and expenses of the Fourth Amendment Consultant;
	  	
			
	E.	  	Increased (without duplication) by the amount of any Unadjusted EBITDA Equity Contribution solely for purposes of determining compliance with Section 6.2.	  	
		  		  	  

			
	F.	  	Consolidated Cumulative Unadjusted EBITDA (sum of C plus D plus E)8	  	
		  		  	  

			
	G.	  	Minimum permitted Consolidated Cumulative Unadjusted EBITDA for such Period	  	
		  		  	  

			
		  	In Compliance	  	[Yes]/[No]

  
 B-2EX-10.14

 Exhibit 10.14 

COMMERCIAL LEASE AGREEMENT 

(C.A.R. Form CL, Revised 12/15) 
  

											
	Date (For reference only): October 26, 2016
	
	 Hegan Lane Partnership (“Landlord”) and Lulu’s Fashion Lounge, Inc.,
(“Tenant”) agree as follows:

		
	1.	  	PROPERTY: Landlord rents to Tenant and Tenant rents from Landlord, the real property and improvements described as: 2812 Hegan Lane C & F Warehouse. 9,000 Sq. Ft. plus 80,546 Sq. Ft.
(“Premises”), which comprise approximately         % of the total square footage of rentable space in the entire property. See exhibit A for a further description of the Premises.
		
	2.	  	TERM: The term begins on January 1, 2017 (“Commencement Date”),
		
		  	(Check A or B):
				
		  	A.	  	☒	  	Lease: and shall terminate on December 31, 2019 at 5:00 ☐ AM ☒ PM. Any holding over after the term of this agreement expires, with Landlord’s consent, shall create a month-to-month tenancy that either party may terminate as specified in paragraph 2B. Rent shall be at a rate equal to the rent for the immediately preceding month, payable in
advance. All other terms and conditions of this agreement shall remain in full force and effect.
				
		  	B.	  	☐	  	Month-to-month: and continues as a month-to-month
tenancy. Either party may terminate the tenancy by giving written notice to the other at least 30 days prior to the intended termination date, subject to any applicable laws. Such notice may be given on any date.
				
		  	C.	  	☒	  	RENEWAL OR EXTENSION TERMS: See attached addendum. See paragraph 40.
		
	3.	  	BASE RENT:
			
		  	A.	  	Tenant agrees to pay Base Rent at the rate of (CHECK ONE ONLY):
					
		  		  	(1)	  	☐	  	$          per month, for the term of the agreement.
					
		  		  	(2)	  	☐	  	$          per month, for the first 12 months of the agreement. Commencing with the 13th month, and upon expiration of each 12 months thereafter, rent shall be adjusted according
to any increase in the U.S. Consumer Price Index of the Bureau of Labor Statistics of the Department of Labor for All Urban Consumers (“CPI”) for          (the city nearest the location of the
Premises), based on the following formula: Base Rent will be multiplied by the most current CPI preceding the first calendar month during which the adjustment

									
		  		  		  		  	is to take effect, and divided by the most recent CPI preceding the Commencement Date. In no event shall any adjusted Base Rent be less than the Base Rent for the month immediately preceding the adjustment. If the CPI is no longer
published, then the adjustment to Base Rent shall be based on an alternate index that most closely reflects the CPI.
					
		  		  	(3)	  	☐	  	$         per month for the period commencing          and ending          and
					
		  		  		  		  	$         per month for the period commencing          and ending          and
					
		  		  		  		  	$         per month for the period commencing          and ending         .
					
		  		  	(4)	  	☐	  	In accordance with the attached rent schedule.
					
		  		  	(5)	  	☒	  	Other: See paragraph 40.
			
		  	B.	  	Base Rent is payable in advance on the 1st (or         ) day of each calendar month, and is delinquent on the next day.
			
		  	C.	  	If the Commencement Date falls on any day other than the first day of the month, Base Rent for the first calendar month shall be prorated based on a 30-day period. If Tenant has
paid one full month’s Base Rent in advance of Commencement Date, Base Rent for the second calendar month shall be prorated based on a 30-day period.
		
	4.	  	RENT:
			
		  	A.	  	Definition: (“Rent”) shall mean all monetary obligations of Tenant to Landlord under the terms of this agreement, except security deposit.
			
		  	B.	  	Payment: Rent shall be paid to Hegan Lane Partnership at 4801 Feather River Bld. #29, Oroville, CA 95965, or at any other location specified by Landlord in writing to Tenant.
			
		  	C.	  	Timing: Base Rent shall be paid as specified in paragraph 3. All other Rent shall be paid within 30 days after Tenant is billed by Landlord.
		
	5.	  	EARLY POSSESSION: Tenant is entitled to possession of the Premises on 11/01/2016 9,000 SF Unit F. If Tenant is in possession prior to the Commencement Date, during this time (i) Tenant is not obligated to pay
Base Rent, and (ii) Tenant [☐is/☒is not] obligated to pay Rent other than Base Rent. Whether or not Tenant is obligated to pay Rent prior to Commencement Date, Tenant is obligated to comply with all other terms of this
agreement.

  
 2 

	6.	 SECURITY DEPOSIT: 

 

	 	A.	 Tenant agrees to pay Landlord $31,341.00 as a security deposit. Tenant agrees not to hold Broker responsible
for its return. (IF CHECKED): ☐ If Base Rent increases during the term of this agreement, Tenant agrees to increase security deposit by the same proportion as the increase in Base Rent. 

 

	 	B.	 All or any portion of the security deposit may be used, as reasonably necessary, to: (i) cure Tenant’s
default in payment of Rent, late charges, non-sufficient funds (“NSF”) fees, or other sums due; (ii) repair damage, excluding ordinary wear and tear, caused by Tenant or by a guest or licensee
of Tenant; (iii) broom clean the Premises, if necessary, upon termination of tenancy; and (iv) cover any other unfulfilled obligation of Tenant. SECURITY DEPOSIT SHALL NOT BE USED BY TENANT IN LIEU OF PAYMENT OF LAST MONTH’S
RENT. If all or any portion of the security deposit is used during tenancy, Tenant agrees to reinstate the total security deposit within 5 days after written notice is delivered to Tenant. Within 30 days after Landlord receives possession of the
Premises, Landlord shall: (i) furnish Tenant an itemized statement indicating the amount of any security deposit received and the basis for its disposition, and (ii) return any remaining portion of security deposit to Tenant. However, if the
Landlord’s only claim upon the security deposit is for unpaid Rent, then the remaining portion of the security deposit, after deduction of unpaid Rent, shall be returned within 14 days after the Landlord receives possession.

  

	 	C.	 No interest will be paid on security deposit, unless required by local ordinance. 

 

	7.	 PAYMENTS: 

  

																			
	 	 	 	 	 	  	 	 	  	PAYMENT	 	  	BALANCE	 	  	 
	 	 	 	 	 	  	TOTAL DUE	 	  	RECEIVED	 	  	DUE	 	  	DUE DATE
	 A.
	 	 Rent: From 01/01/2017 to 01/31/2017
	  	$	11,900.00	 	  	$	 	 	  	$	11,900.00	 	  	11/01/2016
		 		 		  				  	  
	  
	 	  				  	
	 B.
	 	 Security Deposit
	  	$	31,341.00	 	  	$	 	 	  	$	31,341.00	 	  	11/01/2016
		 		 		  				  	  
	  
	 	  				  	
	 C.
	 	 Other:
	 	
                   
                 
	  	$	 	 	  	$	 	 	  	$	 	 	  	
		 		 		  	  
	  
	 	  	  
	  
	 	  	  
	  
	 	  	
		 		 	 category
	  				  				  				  	
	 D.
	 	 Other:
	 	
                   
                 
	  	$	 	 	  	$	 	 	  	$	 	 	  	
		 		 		  	  
	  
	 	  	  
	  
	 	  	  
	  
	 	  	
		 		 	 category
	  				  				  				  	
	 E.
	 	 Total:
	 		  	$	43,241.00	 	  	$	 	 	  	$	43,241.00	 	  	
		 		 		  				  	  
	  
	 	  				  	

  

	8.	 PARKING: Tenant is entitled to any unreserved and N/A reserved vehicle parking spaces. The right to
parking is/is not included in the Base Rent charged pursuant to paragraph 3. If not included in the Base Rent, the parking rental fee shall be an additional $N/A per month. Parking space(s) are to be used for parking operable motor vehicles, except
for trailers, boats, campers, or buses. Tenant shall park in assigned space(s) only. Parking space(s) are to be kept clean. Vehicles leaking oil, gas or other motor vehicle fluids shall not be parked in parking spaces or on the Premises. Mechanical
work or storage of inoperable vehicles is not allowed in parking space(s) or elsewhere on the Premises. No overnight parking is permitted. 

  
 3 

	9.	 ADDITIONAL STORAGE: Storage is permitted as follows: within leased space. The right to additional
storage space ☐is/☒is not included in the Base Rent charged pursuant to paragraph 3. If not included in Base Rent, storage space shall be an additional $N/A per month. Tenant shall store only personal property that Tenant owns, and shall
not store property that is claimed by another, or in which another has any right, title, or interest. Tenant shall not store any improperly packaged food or perishable goods, flammable materials, explosives, or other dangerous or hazardous material.
Tenant shall pay for, and be responsible for, the clean-up of any contamination caused by Tenant’s use of the storage area. 

 

	10.	 LATE CHARGE; INTEREST; NSF CHECKS: Tenant acknowledges that either late payment of Rent or issuance of a
NSF check may cause Landlord to incur costs and expenses, the exact amount of which are extremely difficult and impractical to determine. These costs may include, but are not limited to, processing, enforcement and accounting expenses, and late
charges imposed on Landlord. If any installment of Rent due from Tenant is not received by Landlord within 5 calendar days after date due, or if a check is returned NSF, Tenant shall pay to Landlord, respectively, $10% as late charge, plus
10% interest per annum on the delinquent amount and $25.00 as a NSF fee, any of which shall be deemed additional Rent. Landlord and Tenant agree that these charges represent a fair and reasonable estimate of the costs Landlord may incur by reason of
Tenant’s late or NSF payment. Any late charge, delinquent interest, or NSF fee due shall be paid with the current installment of Rent. Landlord’s acceptance of any late charge or NSF fee shall not constitute a waiver as to any default of
Tenant. Landlord’s right to collect a Late Charge or NSF fee shall not be deemed an extension of the date Rent is due under paragraph 4, or prevent Landlord from exercising any other rights and remedies under this agreement, and as provided by
law. 

  

	11.	 CONDITION OF PREMISES: Tenant has examined the Premises and acknowledges that Premise is clean and in
operative condition, with the following exceptions:         . Items listed as exceptions shall be dealt with in the following manner: (See attached Addendum #2). 

 

	12.	 ZONING AND LAND USE: Tenant accepts the Premises subject to all local, state and federal laws,
regulations and ordinances (“Laws”). Landlord makes no representation or warranty that Premises are now or in the future will be suitable for Tenant’s use. Tenant has made its own investigation regarding all applicable Laws.

  

	13.	 TENANT OPERATING EXPENSES: Tenant agrees to pay for all utilities and services directly billed to
Tenant. After the initial 3 year term, Tenant will pay $0.01 per sq. ft. per month at a CAM charge. ($895.00). 

  

	14.	 PROPERTY OPERATING EXPENSES: 

 

	 	A.	 Tenant agrees to pay its proportionate share of Landlord’s estimated monthly property operating expenses,
including but not limited to, common area maintenance, consolidated utility and service bills, insurance, and real property taxes, based on the ratio of the square footage of the Premises to the total square footage of the rentable space in the
entire property. 

  
 4 

 OR 
  

	 	B.	 ☒ (If checked) Paragraph 14 does not apply. 

 

	15.	 USE: The Premises are for the sole use as Warehouse and distribution, general office space and other
permissible uses. No other use is permitted without Landlord’s prior written consent. If any use by Tenant causes an increase in the premium on Landlord’s existing property insurance, Tenant shall pay for the increased cost. Tenant will
comply with all Laws affecting its use of the Premises. 

  

	16.	 RULES/REGULATIONS: Tenant agrees to comply with all nondiscriminatory rules and regulations of
Landlord (and, if applicable, Owner’s Association) that are at any time posted on the Premises or delivered to Tenant. Tenant shall not, and shall ensure that guests and licensees of Tenant do not, disturb, annoy, endanger, or interfere with
other tenants of the building or neighbors, or use the Premises for any unlawful purposes, including, but not limited to, using, manufacturing, selling, storing, or transporting illicit drugs or other contraband, or violate any law or ordinance, or
committing a waste or nuisance on or about the Premises. 

  

	17.	 MAINTENANCE: See Addendum 1. 

 

	18.	 ALTERATIONS: Tenant shall not make any alterations in or about the Premises, including installation of
trade fixtures and signs, without Landlord’s prior written consent, which shall not be unreasonably withheld. Any alterations to the Premises shall be done according to Law and with required permits. Tenant shall give Landlord advance notice of
the commencement date of any planned alteration, so that Landlord, at its option, may post a Notice of Non-Responsibility to prevent potential liens against Landlord’s interest in the Premises. Landlord
may also require Tenant to provide Landlord with lien releases from any contractor performing work on the Premises. 

  

	19.	 GOVERNMENT IMPOSED ALTERATIONS: Any alterations required by Law as a result of Tenant’s use shall
be Tenant’s responsibility. Landlord shall be responsible for any other alterations required by Law. 

  

	20.	 ENTRY: Tenant shall make Premises available to Landlord or Landlord’s agent for the purpose of
entering to make inspections, necessary or agreed repairs, alterations, or improvements, or to supply necessary or agreed services, or to show Premises to prospective or actual purchasers, tenants, mortgagees, lenders, appraisers, or contractors.
Landlord and Tenant agree that 24 hours notice (oral or written) shall be reasonable and sufficient notice. In an emergency, Landlord or Landlord’s representative may enter Premises at any time without prior notice. 

 

	21.	 SIGNS: Tenant authorizes Landlord to place a FOR SALE sign on the Premises at any time, and a FOR LEASE
sign on the Premises within the 90 (or         ) day period preceding the termination of the agreement. 

  
 5 

	22.	 SUBLETTING/ASSIGNMENT: Tenant shall not sublet or encumber all or any part of Premises, or assign or
transfer this agreement or any interest in it, without the prior written consent of Landlord, which shall not be unreasonably withheld. Unless such consent is obtained, any subletting, assignment, transfer, or encumbrance of the Premises, agreement,
or tenancy, by voluntary act of Tenant, operation of law, or otherwise, shall be null and void, and, at the option of Landlord, terminate this agreement. Any proposed sublessee, assignee, or transferee shall submit to Landlord an application and
credit information for Landlord’s approval, and, if approved, sign a separate written agreement with Landlord and Tenant. Landlord’s consent to any one sublease, assignment, or transfer, shall not be construed as consent to any subsequent
sublease, assignment, or transfer, and does not release Tenant of Tenant’s obligation under this agreement. 

  

	23.	 POSSESSION: If Landlord is unable to deliver possession of Premises on Commencement Date, such date
shall be extended to the date on which possession is made available to Tenant. However, the expiration date shall remain the same as specified in paragraph 2. If Landlord is unable to deliver possession within 60 (or
        ) calendar days after the agreed Commencement Date, Tenant may terminate this agreement by giving written notice to Landlord, and shall be refunded all Rent and security deposit paid.

  

	24.	 TENANT’S OBLIGATIONS UPON VACATING PREMISES: Upon termination of agreement, Tenant shall:
(i) give Landlord all copies of all keys or opening devices to Premises, including any common areas; (ii) vacate Premises and surrender it to Landlord empty of all persons and personal property; (iii) vacate all parking and storage
spaces; (iv) deliver Premises to Landlord in the same condition as referenced in paragraph 11; (v) clean Premises; (vi) give written notice to Landlord of Tenant’s forwarding address; and (vii)
        . All improvements installed by Tenant, with or without Landlord’s consent, become the property of Landlord upon termination. Landlord may nevertheless require Tenant to remove any such
improvement that did not exist at the time possession was made available to Tenant. 

  

	25.	 BREACH OF CONTRACT/EARLY TERMINATION: In event Tenant, prior to expiration of this agreement,
breaches any obligation in this agreement, abandons the premises, or gives notice of tenant’s intent to terminate this tenancy prior to its expiration, in addition to any obligations established by paragraph 24, Tenant shall also be responsible
for lost rent, rental commissions, advertising expenses, and painting costs necessary to ready Premises for re-rental. Landlord may also recover from Tenant: (i) the worth, at the time of award, of the
unpaid Rent that had been earned at the time of termination; (ii) the worth, at the time of award, of the amount by which the unpaid Rent that would have been earned after expiration until the time of award exceeds the amount of such rental
loss the Tenant proves could have been reasonably avoided; and (iii) the worth, at the time of award, of the amount by which the unpaid Rent for the balance of the term after the time of award exceeds the amount of such rental loss that Tenant
proves could be reasonably avoided. Landlord may elect to continue the tenancy in effect for so long as Landlord does not terminate Tenant’s right to possession, by either written notice of termination of possession or by reletting the Premises
to another who takes possession, and Landlord may enforce all Landlord’s rights and remedies under this agreement, including the right to recover the Rent as it becomes due. 

  
 6 

	26.	 DAMAGE TO PREMISES: If, by no fault of Tenant, Premises are totally or partially damaged or destroyed by
fire, earthquake, accident or other casualty, Landlord shall have the right to restore the Premises by repair or rebuilding. If Landlord elects to repair or rebuild, and is able to complete such restoration within 90 days from the date of damage,
subject to the terms of this paragraph, this agreement shall remain in full force and effect. If Landlord is unable to restore the Premises within this time, or if Landlord elects not to restore, then either Landlord or Tenant may terminate this
agreement by giving the other written notice. Rent shall be abated as of the date of damage. The abated amount shall be the current monthly Base Rent prorated on a 30-day basis. If this agreement is not
terminated, and the damage is not repaired, then Rent shall be reduced based on the extent to which the damage interferes with Tenant’s reasonable use of the Premises. If total or partial destruction or damage occurs as a result of an act of
Tenant or Tenant’s guests, (i) only Landlord shall have the right, at Landlord’s sole discretion, within 30 days after such total or partial destruction or damage to treat the lease as terminated by Tenant, and (ii) Landlord
shall have the right to recover damages from Tenant. 

  

	27.	 HAZARDOUS MATERIALS: Tenant shall not use, store, generate, release or dispose of any hazardous material
on the Premises or the property of which the Premises are part. However, Tenant is permitted to make use of such materials that are required to be used in the normal course of Tenant’s business provided that Tenant complies with all applicable
Laws related to the hazardous materials. Tenant is responsible for the cost of removal and remediation, or any clean-up of any contamination caused by Tenant. 

 

	28.	 CONDEMNATION: If all or part of the Premises is condemned for public use, either party may terminate
this agreement as of the date possession is given to the condemner. All condemnation proceeds, exclusive of those allocated by the condemner to Tenant’s relocation costs and trade fixtures, belong to Landlord. 

 

	29.	 INSURANCE: Tenant’s personal property, fixtures, equipment, inventory and vehicles are not insured
by Landlord against loss or damage due to fire, theft, vandalism, rain, water, criminal or negligent acts of others, or any other cause. Tenant is to carry Tenant’s own property insurance to protect Tenant from any such loss. In addition,
Tenant shall carry (i) liability insurance in an amount of not less than $2,000,000.00 and (ii) property insurance in an amount sufficient to cover the replacement cost of the property if Tenant is responsible for maintenance under
paragraph 17B. Tenant’s insurance shall name Landlord and Landlord’s agent as additional insured. Tenant, upon Landlord’s request, shall provide Landlord with a certificate of insurance establishing Tenant’s compliance. Landlord
shall maintain liability insurance insuring Landlord, but not Tenant, in an amount of at least $2,000,000.00, plus property insurance in an amount sufficient to cover the replacement cost of the property unless Tenant is responsible for maintenance
pursuant to paragraph 17B. Tenant is advised to carry business interruption insurance in an amount at least sufficient to cover Tenant’s complete rental obligation to Landlord. Landlord is advised to obtain a policy of rental loss insurance.
Both Landlord and Tenant release each other, and waive their respective rights to subrogation against each other, for loss or damage covered by insurance. 

  
 7 

	30.	 TENANCY STATEMENT (ESTOPPEL CERTIFICATE): Tenant shall execute and return a tenancy statement (estoppel
certificate), delivered to Tenant by Landlord or Landlord’s agent, within 3 days after its receipt. The tenancy statement shall acknowledge that this agreement is unmodified and in full force, or in full force as modified, and state the
modifications. Failure to comply with this requirement: (i) shall be deemed Tenant’s acknowledgment that the tenancy statement is true and correct, and may be relied upon by a prospective lender or purchaser; and (ii) may be treated
by Landlord as a material breach of this agreement. Tenant shall also prepare, execute, and deliver to Landlord any financial statement (which will be held in confidence) reasonably requested by a prospective lender or buyer. 

 

	31.	 LANDLORD’S TRANSFER: Tenant agrees that the transferee of Landlord’s interest shall be
substituted as Landlord under this agreement. Landlord will be released of any further obligation to Tenant regarding the security deposit, only if the security deposit is returned to Tenant upon such transfer, or if the security deposit is actually
transferred to the transferee. For all other obligations under this agreement, Landlord is released of any further liability to Tenant, upon Landlord’s transfer. 

 

	32.	 SUBORDINATION: This agreement shall be subordinate to all existing liens and, at Landlord’s option,
the lien of any first deed of trust or first mortgage subsequently placed upon the real property of which the Premises are a part, and to any advances made on the security of the Premises, and to all renewals, modifications, consolidations,
replacements, and extensions. However, as to the lien of any deed of trust or mortgage entered into after execution of this agreement, Tenant’s right to quiet possession of the Premises shall not be disturbed if Tenant is not in default and so
long as Tenant pays the Rent and observes and performs all of the provisions of this agreement, unless this agreement is otherwise terminated pursuant to its terms. If any mortgagee, trustee, or ground lessor elects to have this agreement placed in
a security position prior to the lien of a mortgage, deed of trust, or ground lease, and gives written notice to Tenant, this agreement shall be deemed prior to that mortgage, deed of trust, or ground lease, or the date of recording.

  

	33.	 TENANT REPRESENTATIONS; CREDIT: Tenant warrants that all statements in Tenant’s financial documents
and rental application are accurate. Tenant authorizes Landlord and Broker(s) to obtain Tenant’s credit report at time of application and periodically during tenancy in connection with approval, modification, or enforcement of this agreement.
Landlord may cancel this agreement: (i) before occupancy begins, upon disapproval of the credit report(s); or (ii) at any time, upon discovering that information in Tenant’s application is false. A negative credit report reflecting on
Tenant’s record may be submitted to a credit reporting agency, if Tenant fails to pay Rent or comply with any other obligation under this agreement. 

  

	34.	 CONSTRUCTION-RELATED ACCESSIBILITY STANDARDS: Landlord states that the Premises ☐ has, or ☒
has not been inspected by a Certified Access Specialist. If so, Landlord states that the Premises ☐ has, or ☐ has not been determined to meet all applicable construction-related accessibility standards pursuant to Civil Code
Section 55.53. 

  
 8 

	35.	 DISPUTE RESOLUTION: 

 

	 	A.	 MEDIATION: Tenant and Landlord agree to mediate any dispute or claim arising between them out of this
agreement, or any resulting transaction, before resorting to arbitration or court action, subject to paragraph 35B(2) below. Paragraphs 35B(2) and (3) apply whether or not the arbitration provision is initialed. Mediation fees, if any, shall be
divided equally among the parties involved. If for any dispute or claim to which this paragraph applies, any party commences an action without first attempting to resolve the matter through mediation, or refuses to mediate after a request has been
made, then that party shall not be entitled to recover attorney fees, even if they would otherwise be available to that party in any such action. THIS MEDIATION PROVISION APPLIES WHETHER OR NOT THE ARBITRATION PROVISION IS INITIALED.

  

	 	B.	 ARBITRATION OF DISPUTES: (1) Tenant and Landlord agree that any dispute or claim
in Law or equity arising between them out of this agreement or any resulting transaction, which is not settled through mediation, shall be decided by neutral, binding arbitration, including and subject to paragraphs 35B(2) and
(3) below. The arbitrator shall be a retired judge or justice, or an attorney with at least 5 years of real estate transactional law experience, unless the parties mutually agree to a different arbitrator, who shall render an
award in accordance with substantive California Law. In all other respects, the arbitration shall be conducted in accordance with Part III, Title 9 of the California Code of Civil Procedure. Judgment upon the award of the arbitrator(s) may be
entered in any court having jurisdiction. The parties shall have the right to discovery in accordance with Code of Civil Procedure §1283.05. 

 

	 	(2)	 EXCLUSIONS FROM MEDIATION AND ARBITRATION: The following matters are excluded from Mediation and
Arbitration hereunder: (i) a judicial or non-judicial foreclosure or other action or proceeding to enforce a deed of trust, mortgage, or installment land sale contract as defined in Civil Code §2985;
(ii) an unlawful detainer action; (iii) the filing or enforcement of a mechanic’s lien; (iv) any matter that is within the jurisdiction of a probate, small claims, or bankruptcy court; and (v) an action for bodily injury or
wrongful death, or for latent or patent defects to which Code of Civil Procedure §337.1 or §337.15 applies. The filing of a court action to enable the recording of a notice of pending action, for order of attachment, receivership,
injunction, or other provisional remedies, shall not constitute a violation of the mediation and arbitration provisions. 

  

	 	(3)	 BROKERS: Tenant and Landlord agree to mediate and arbitrate disputes or claims involving either or both
Brokers, provided either or both Brokers shall have agreed to such mediation or arbitration, prior to, or within a reasonable time after the dispute or claim is presented to Brokers. Any election by either or both Brokers to participate in mediation
or arbitration shall not result in Brokers being deemed parties to the agreement. 

  
 9 

 “NOTICE: BY INITIALING IN THE SPACE BELOW YOU ARE AGREEING TO HAVE
ANY DISPUTE ARISING OUT OF THE MATTERS INCLUDED IN THE ‘ARBITRATION OF DISPUTES’ PROVISION DECIDED BY NEUTRAL ARBITRATION AS PROVIDED BY CALIFORNIA LAW AND YOU ARE GIVING UP ANY RIGHTS YOU MIGHT POSSESS TO HAVE THE DISPUTE LITIGATED IN A
COURT OR JURY TRIAL. BY INITIALING IN THE SPACE BELOW YOU ARE GIVING UP YOUR JUDICIAL RIGHTS TO DISCOVERY AND APPEAL, UNLESS THOSE RIGHTS ARE SPECIFICALLY INCLUDED IN THE ‘ARBITRATION OF DISPUTES’ PROVISION. IF YOU REFUSE TO SUBMIT TO
ARBITRATION AFTER AGREEING TO THIS PROVISION, YOU MAY BE COMPELLED TO ARBITRATE UNDER THE AUTHORITY OF THE CALIFORNIA CODE OF CIVIL PROCEDURE. YOUR AGREEMENT TO THIS ARBITRATION PROVISION IS VOLUNTARY.” 

“WE HAVE READ AND UNDERSTAND THE FOREGOING AND AGREE TO SUBMIT DISPUTES ARISING OUT OF THE MATTERS INCLUDED IN THE
‘ARBITRATION OF DISPUTES’ PROVISION TO NEUTRAL ARBITRATION.” 
  

	36.	 JOINT AND INDIVIDUAL OBLIGATIONS: If there is more than one Tenant, each one shall be individually and
completely responsible for the performance of all obligations of Tenant under this agreement, jointly with every other Tenant, and individually, whether or not in possession. 

 

	37.	 NOTICE: Notices may be served by mail, facsimile, or courier at the following address or location, or at
any other location subsequently designated: 

 Landlord: Hegan Lane Partnership, 4801 Feather River Bld. #29, Oroville, CA
95965 
 Tenant: Lulu’s Fashion Lounge, Inc., 195 Humboldt Ave., Chico, CA 95928 

Notice is deemed effective upon the earliest of the following: (i) personal receipt by either party or their agent; (ii) written
acknowledgement of notice; or (iii) 5 days after mailing notice to such location by first class mail, postage pre-paid. 
  

	38.	 WAIVER: The waiver of any breach shall not be construed as a continuing waiver of the same breach or a
waiver of any subsequent breach. 

  

	39.	 INDEMNIFICATION: Tenant shall indemnify, defend and hold Landlord harmless from all claims, disputes,
litigation, judgments and attorney fees arising out of Tenant’s use of the Premises. 

  
 10 

	40.	 OTHER TERMS AND CONDITIONS/SUPPLEMENTS: Option to Extend Lease Term: Providing Tenant is in compliance
with the Lease and subject to Six (6) months prior written notice. Tenant shall have Two (2) Options to extend the lease, each for a period of Three (3) years. Base Rent during the extended term(s) shall be increased by 2.0% above the
prior year base rent. Base Rent to be as follows: Base rent to be $0.35 psf for the initial term on lease. Base rent to be calculated on actual square feet delivered to Tenant. Per Exhibit A1 and Exhibit A. 

 

			
	November 1, 2016 thru December 31, 2016	 	 Base Rent to be $0.00 per month.
 For Bldg.
F

		
	January 1, 2017 thru June 20, 2017:	 	 Base rent to be $11,900.00 per month.
 For Bldg.
F + 25,000 sq. ft. of Bldg. C per
 Exhibit A1

		
	July 1, 2017 thru October 31, 2017:	 	Base rent to be $31,341.00 per month.
		
	November 1, 2017 thru October 31, 2018	 	 Base rent to be $31,968.00 per month.
 For Bldg.
F & Bldc. Per Exhibit A

		
	November 1, 2018 thru October 31, 2019	 	Base rent to be $32,607.00 per month.

 The following ATTACHED supplements/exhibits are incorporated in this agreement: 

☐ Option Agreement (C.A.R. Form OA) 

Exhibit A, Exhibit A1, Addendum 1, Addendum 2, Addendum 3, Addendum 4. 

 

	41.	 ATTORNEY FEES: In any action or proceeding arising out of this agreement, the prevailing party between
Landlord and Tenant shall be entitled to reasonable attorney fees and costs from the non-prevailing Landlord or Tenant, except as provided in paragraph 35A. 

 

	42.	 ENTIRE CONTRACT: Time is of the essence. All prior agreements between Landlord and Tenant are
incorporated in this agreement, which constitutes the entire contract. It is intended as a final expression of the parties’ agreement, and may not be contradicted by evidence of any prior agreement or contemporaneous oral agreement. The parties
further intend that this agreement constitutes the complete and exclusive statement of its terms, and that no extrinsic evidence whatsoever may be introduced in any judicial or other proceeding, if any, involving this agreement. Any provision of
this agreement that is held to be invalid shall not affect the validity or enforceability of any other provision in this agreement. This agreement shall be binding upon, and inure to the benefit of, the heirs, assignees and successors to the
parties. 

  

	43.	 BROKERAGE: Landlord shall pay to Broker(s) the fees agreed to, if any, in a separate written agreement.
Neither Tenant nor Landlord has utilized the services of, or for any other reason owes compensation to, a licensed real estate broker (individual or corporate), agent, finder, or other entity, other than as named in this agreement, in connection
with any act relating to the Premises, including, but not limited to, inquiries, introductions, consultations, and negotiations leading to this agreement. Tenant and Landlord each agree to indemnify, defend and hold harmless the other, and the
Brokers specified herein, and their agents, from and against any costs, expenses, or liability for compensation claimed inconsistent with the warranty and representation in this paragraph 43. 

  
 11 

	44.	 AGENCY CONFIRMATION: The following agency relationships are hereby confirmed for this transaction:

 Listing Agent: The Group Real Estate Brokers (Print Firm Name) is the agent of (check one): 

☒ the Landlord exclusively; or ☐ both the Tenant and Landlord. 

Selling Agent: Keller Williams Commercial (Print Firm Name) (if not same as Listing Agent) is the agent of (check one): 

☒ the Tenant exclusively; or ☐ the Landlord exclusively; or ☐ both the Tenant and Landlord. 

Landlord and Tenant acknowledge and agree that Brokers: (i) do not guarantee the condition of the Premises; (ii) cannot verify
representations made by others; (iii) will not verify zoning and land use restrictions; (iv) cannot provide legal or tax advice; (v) will not provide other advice or information that exceeds the knowledge, education or experience
required to obtain a real estate license. Furthermore, if Brokers are not also acting as Landlord in this agreement, Brokers: (vi) do not decide what rental rate a Tenant should pay or Landlord should accept; and (vii) do not decide upon
the length or other terms of tenancy. Landlord and Tenant agree that they will seek legal, tax, insurance, and other desired assistance from appropriate professionals. 
  

			
	Tenant:	  	/s/ Crystal Estes                                
	(Print name)	  	                                     
                     
		  	Lulu’s Fashion Lounge, Inc.
	Date:	  	11/1/2016
	Address:	  	195 Humboldt Ave
	City:	  	Chico
	State:	  	CA
	Zip:	  	95928-5786
		
	Tenant:	  	                                     
                   
	(Print name)	  	                                     
                   
	 	  	         
	Date:	  	        
	Address:	  	        
	City:	  	        
	State:	  	        
	Zip.:	  	        

 ☐ GUARANTEE: In consideration of the execution of this Agreement by and between Landlord
and Tenant and for valuable consideration, receipt of which is hereby acknowledged, the undersigned (“Guarantor”) does hereby: (i) guarantee unconditionally to Landlord and Landlord’s agents, successors and assigns, the prompt
payment of Rent or other sums that become due pursuant to this Agreement, including any and all court costs and attorney fees included in enforcing the Agreement; (ii) consent to any changes, modifications or alterations of any term in this
Agreement agreed to by Landlord and Tenant; and (iii) waive any right to require Landlord and/or Landlord’s agents to proceed against Tenant for any default occurring under this Agreement before seeking to enforce this Guarantee. 

  
 12 

			
	Guarantor:	  	                                     
                   
	(Print name)	  	                                     
                   
	Date:	  	        
	Address:	  	        
	City:	  	        
	State:	  	        
	Zip:	  	        
	Telephone:	  	        
	Fax:	  	        
	E-mail:	  	        

 Landlord agrees to rent the Premises on the above terms and conditions. 

 

			
	Landlord:	  	                                     
                       
	(owner or agent with authority to enter into this agreement) Hegan Lane Partnership
	Date:	  	        
	Address:	  	4801 Feather River Blvd., Suite 29
	City:	  	Oroville
	State:	  	CA
	Zip:	  	95965
		
	Landlord:	  	/s/                                     
                   
	(owner or agent with authority to enter into this agreement)
	Date:	  	10-31-16
	Address:	  	        
	City:	  	        
	State:	  	        
	Zip:	  	        

 Agency relationships are confirmed as above. Real estate brokers who are not also Landlord in this agreement
are not a party to the agreement between Landlord and Tenant. 
  

			
	Real Estate Broker (Leasing Firm): Keller Williams Commercial
	CalBRE Lic. #	  	        
	By (Agent)	  	/s/ John
Barroso                                    
	CalBRE Lic. #	  	01434090
	Date:	  	11/01/2016
	Address:	  	261 East 3rd Street
	City:	  	Chico
	State:	  	CA
	Zip.:	  	95928
	Telephone:	  	 [***]

	Fax:	  	 [***]

	E-mail:	  	 [***]

  
 13 

			
	Real Estate Broker (Listing Firm): The Group Real Estate Brokers
	CalBRE Lic. #	  	01494515
	By (Agent)	  	                                      
                       (Frank Ross)
	CalBRE Lic. #	  	01014400
	Date:	  	        
	Address:	  	2580 Sierra Sunrise Ter. Suite 110
	City:	  	Chico
	State:	  	CA
	Zip:	  	95928
	Telephone:	  	 [***]

	Fax:	  	 [***]

	E-mail:	  	 [***]

 © 2015, California Association of REALTORS®, Inc. United States copyright law (Title 17 U.S. Code) forbids the
unauthorized distribution, display and reproduction of this form, or any portion thereof, by photocopy machine or any other means, including facsimile or computerized formats. 

THIS FORM HAS BEEN APPROVED BY THE CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.). NO REPRESENTATION IS MADE AS TO THE LEGAL VALIDITY OR ACCURACY OF ANY
PROVISION IN ANY SPECIFIC TRANSACTION. A REAL ESTATE BROKER IS THE PERSON QUALIFIED TO ADVISE ON REAL ESTATE TRANSACTIONS. IF YOU DESIRE LEGAL OR TAX ADVICE, CONSULT AN APPROPRIATE PROFESSIONAL. 

Published and Distributed by: 
 REAL ESTATE BUSINESS SERVICES,
INC.  
 a subsidiary of the California Association of REALTORS® 525 South Virgil Avenue, Los Angeles, California 90020 

Reviewed by: /s/ 
 Date: 10/31/16 

  
 14 

 ADDENDUM No. 1 

(C.A.R. Form ADM, Revised 12/15) 

The following terms and conditions are hereby incorporated in and made a part of the: ☐ Purchase Agreement, ☐ Residential Lease or
Month-to-Month Rental Agreement, ☐ Transfer Disclosure Statement (Note: An amendment to the TDS may give the Buyer a right to rescind), ☒ Other Commercial
Lease Agreement, dated October 26, 2016, on property known as 2812 Hegan Lane C & F, Chico, CA 95928 in which Lulu’s Fashion Lounge, Inc. is referred to as (“Buyer/Tenant”) and Hegan Lane Partnership is referred to as
(“Seller/Landlord”). 
 Landlord Operation and Maintenance Obligations: 

Landlord, in consideration the capital reserve, shall keep and maintain in good order and condition at its sole cost and expense (i.e. without reimbursement),
capital repair(s) and or replacement the foundation, exterior walls, roof structure and membrane, exterior paint, fire suppression systems, parking lot and utility systems to the point of connection into the premises. Landlord at their sole cost
shall be responsible for exterior common areas maintenance and repair including but not limited to routine roof repairs (as opposed to replacement being Landlord expense), gutter/scupper cleaning and maintenance, storm water conveyance facilities,
exterior pest control, landscape irrigation and maintenance, fire monitoring and inspection of fire suppression systems, and backflow device, common area utilities, property management, fire insurance and property taxes. Landlord, at their sole cost
and expense and without reimbursement by Tenant shall be obligated for major HVAC repair and or replacement. Notwithstanding Tenant’s obligations below, Landlord shall be obligated for any repairs to the premises caused by Landlord negligence,
including acts by its employees or agents. 
 Tenant Maintenance Obligations: Tenant shall maintain the interior of the Premises in sanitary
condition and appearance, normal and reasonable wear and tear accepted. Excluding Landlord maintenance and service obligations described above, Tenant shall be responsible for glass breakage, Tenant’s signage and services that Tenant has
delivered to the Premises, including but not limited to janitorial, trash, interior pest control, all water, gas and electric utilities, phone, data and building security. 

Tenant shall be obligated to maintain interior walls and flooring (normal wear and tear excepted), roll up doors and dock equipment, plumbing, lighting,
electrical fixtures and equipment as well as routine HVAC maintenance and filter changes (as opposed to repair and replacement described as a Landlord obligation above) such routine service administered through Landlord on a direct cost reimbursable
basis. Tenant shall be responsible for liability insurance (naming Landlord as an additional insured) and personal property coverage, a copy of which shall be provided to Landlord prior to Tenants early access. Notwithstanding Landlord’s
maintenance obligations described above, Tenant shall be obligated for any repairs to the premises caused by Tenant negligence, including acts by its employees, agents and or clients. 

 The foregoing terms and conditions are hereby agreed to, and the undersigned acknowledge
receipt of a copy of this document. 
  

			
	Date:	  	11/1/2016
	Buyer/Tenant	  	/s/ Crystal
Estes                                        
Lulu’s Fashion Lounge, Inc.
	Buyer/Tenant	  	        

  

			
	Date:	  	        
	Seller/Landlord	  	/s/ Hegan Lane Partnership                       
	Seller/Landlord	  	        

 © 1986-2015, California Association of REALTORS®, Inc. United States copyright law (Title 17 U.S. Code) forbids the
unauthorized distribution, display and reproduction of this form, or any portion thereof, by photocopy machine or any other means, including facsimile or computerized formats. 

THIS FORM HAS BEEN APPROVED BY THE CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.). NO REPRESENTATION IS MADE AS TO THE LEGAL VALIDITY OR ACCURACY OF ANY
PROVISION IN ANY SPECIFIC TRANSACTION. A REAL ESTATE BROKER IS THE PERSON QUALIFIED TO ADVISE ON REAL ESTATE TRANSACTIONS. IF YOU DESIRE LEGAL OR TAX ADVICE, CONSULT AN APPROPRIATE PROFESSIONAL. 

This form is made available to real estate professionals through an agreement with or purchase from the California Association of REALTORS®. It is not
intended to identify the user as a REALTOR®. REALTOR® is a registered collective membership mark which may be used only by members of the NATIONAL ASSOCIATION OF REALTORS® who subscribe to its Code of Ethics. 

Published and Distributed by: 
 REAL ESTATE BUSINESS SERVICES,
INC. a subsidiary of the California Association of REALTORS® 525 South Virgil Avenue, Los Angeles, California 90020 
 Reviewed by:
/s/ 
 Date: 10/31/16 

  
 16 

 ADDENDUM No. 2 

(C.A.R. Form ADM, Revised 12/15) 

The following terms and conditions are hereby incorporated in and made a part of the: ☐ Purchase Agreement, ☐ Residential Lease or
Month-to-Month Rental Agreement, ☐ Transfer Disclosure Statement (Note: An amendment to the TDS may give the Buyer a right to rescind), ☒ Other Commercial
Lease Agreement, dated October 26, 2016, on property known as 2812 Hegan Land C & F, Chico, CA 95928 in which Lulu’s Fashion Lounge, Inc. is referred to as (“Buyer/Tenant”) and Hegan Lane Partnership is referred to as
(“Seller/Landlord”). 
 Condition of Premises upon Commencement and Landlord Base Improvements: 

The premises are offered and are being accepted by Tenant in an AS IS condition except that prior to and as a condition to term commencement, Landlord shall at
Landlords sole expense and without reimbursement, complete the following Base Improvements: 
 Site & Exterior Improvements: 

1. The Asphalt Parking area designated for the building shall be sealed and re-striped, including handicapped stalls
and signage as required by law. Any and all ADA requirements to be addressed. 
 2. The Asphalt loading area abutting the north and east side of the
building servicing tenant’s allocated bays shall be patched and sealed if deemed necessary. If present, any raised concrete presenting trip hazards shall be removed. 

3. Roof shall have been inspected and free of known leaks. Damaged and or missing downspouts shall be repaired and or replaced. 

Office Improvements: 
 4. Landlord shall be obligated to
fund any ADA improvements as may be required by the City of Chico to existing facilities. 
 5. In addition to any ADA requirements, all bathrooms to be
updated and painted. 
 Warehouse Improvements: 
 6.
Roll up doors shall be serviced and in good operating order. 
 7. All exit man doors shall be in good operating order. 

 The foregoing terms and conditions are hereby agreed to, and the undersigned acknowledge
receipt of a copy of this document. 
  

			
	Date:	  	11/1/2016
	Buyer/Tenant	  	/s/ Crystal Estes                                 Lulu’s
Fashion Lounge, Inc.
	Buyer/Tenant	  	

  

			
	Date:	  	
	Seller/Landlord	  	/s/ Hegan Lane Partnership              
	Seller/Landlord	  	

 © 1986-2015, California Association of REALTORS®, Inc. United States copyright law (Title 17 U.S. Code) forbids the
unauthorized distribution, display and reproduction of this form, or any portion thereof, by photocopy machine or any other means, including facsimile or computerized formats. 

THIS FORM HAS BEEN APPROVED BY THE CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.). NO REPRESENTATION IS MADE AS TO THE LEGAL VALIDITY OR ACCURACY OF ANY
PROVISION IN ANY SPECIFIC TRANSACTION. A REAL ESTATE BROKER IS THE PERSON QUALIFIED TO ADVISE ON REAL ESTATE TRANSACTIONS. IF YOU DESIRE LEGAL OR TAX ADVICE, CONSULT AN APPROPRIATE PROFESSIONAL. 

This form is made available to real estate professionals through an agreement with or purchase from the California Association of REALTORS®. It is not
intended to identify the user as a REALTOR®. REALTOR® is a registered collective membership mark which may be used only by members of the NATIONAL ASSOCIATION OF REALTORS® who subscribe to its Code of Ethics. 

Published and Distributed by: 
 REAL ESTATE BUSINESS SERVICES,
INC. a subsidiary of the California Association of REALTORS® 525 South Virgil Avenue, Los Angeles, California 90020 
 Reviewed by:
/s/ 
 Date: 10/31/16 

  
 18 

 ADDENDUM No. 3 

(C.A.R. Form ADM, Revised 12/15) 

The following terms and conditions are hereby incorporated in and made a part of the: ☐ Purchase Agreement, ☐ Residential Lease or
Month-to-Month Rental Agreement, ☐ Transfer Disclosure Statement (Note: An amendment to the TDS may give the Buyer a right to rescind), ☒ Other Commercial
Lease Agreement, dated October 26, 2016, on property known as 2812 Hegan Land C & F, Chico, CA 95928 in which Lulu’s Fashion Lounge, Inc. is referred to as (“Buyer/Tenant”) and Hegan Lane Partnership is referred to as
(“Seller/Landlord”). 
 Tenant Funded and Constructed Improvements: 

Tenant Funded Improvements (TI’s) shall be understood to mean the design, permitting, fees and any other expenses associated with improvements to the
premises being done by Tenant at their sole cost and expense and on their own timeline as necessary for Tenant business operations. The Parties acknowledge that scope of TI’s, subject to further refinement, may include but is not limited to:

 1. Conversion of a portion of the rented space to a conditioned server room. 

2. Other renovations as may be needed for Tenants particular business operation. As soon as practicable following execution of the Lease, Tenant shall provide
to Landlord a conceptual sketch plan for Landlord’s review and approval, not to be unreasonably withheld or delayed. Upon Landlord’s approval of the conceptual plan, Tenant shall have final working drawings prepared, which shall be subject
to Landlord’s review and approval but not unreasonably withheld. The Parties acknowledge that Landlords approval of Tenant’s plan for renovation is a material condition of the Lease, and Landlord’s failure to reasonably approve (aside
from objections related to structural integrity of the building and or permanent alterations which would cause undue hardship on re tenanting) shall be cause for Tenant(s) one time right to terminate the lease. Any and all improvement work done by
Tenant shall be done in good workmanlike manner and according to plans and spec’s provided to Landlord. Material Change Orders (if any) involving structural components shall be subject to Landlord approval not unreasonably withheld. 

The foregoing terms and conditions are hereby agreed to, and the undersigned acknowledge receipt of a copy of this document. 

 

			
	Date:	  	11/1/2016
	Buyer/Tenant	  	/s/ Crystal Estes                                 
Lulu’s Fashion Lounge, Inc.
	Buyer/Tenant	  	

  

			
	Date:	  	10-31-16
	Seller/Landlord	  	/s/ Hegan Lane Partnership             
	Seller/Landlord	  	

 © 1986-2015, California Association of REALTORS®, Inc. United States copyright law (Title 17 U.S. Code) forbids the
unauthorized distribution, display and reproduction of this form, or any portion thereof, by photocopy machine or any other means, including facsimile or computerized formats. 

 THIS FORM HAS BEEN APPROVED BY THE CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.). NO REPRESENTATION IS
MADE AS TO THE LEGAL VALIDITY OR ACCURACY OF ANY PROVISION IN ANY SPECIFIC TRANSACTION. A REAL ESTATE BROKER IS THE PERSON QUALIFIED TO ADVISE ON REAL ESTATE TRANSACTIONS. IF YOU DESIRE LEGAL OR TAX ADVICE, CONSULT AN APPROPRIATE PROFESSIONAL. 

This form is made available to real estate professionals through an agreement with or purchase from the California Association of REALTORS®. It is not
intended to identify the user as a REALTOR®. REALTOR® is a registered collective membership mark which may be used only by members of the NATIONAL ASSOCIATION OF REALTORS® who subscribe to its Code of Ethics. 

Published and Distributed by: 
 REAL ESTATE BUSINESS SERVICES,
INC. a subsidiary of the California Association of REALTORS® 525 South Virgil Avenue, Los Angeles, California 90020 
 Reviewed by:
/s/ 
 Date: 10/31/16 

  
 20 

 Addendum No. 4 

The following terms and conditions are hereby incorporated in and made a part of the Commercial Lease Agreement dated October 26, 2016 on property known
as 2812 Hegan Lane C & F in which Lulu’s Fashion Lounge, Inc. is referred to as Tenant and Hegan Lane Partnership is referred to as Landlord, and shall control in the event of any inconsistency with the provisions of such Lease
Agreement. 
 Assignment: Notwithstanding anything to the contrary contained elsewhere in this Lease, Tenant, without Landlord’s approval
written or otherwise, but with written notice to Landlord by Tenant, shall have the absolute right to assign, sublease or otherwise transfer all or a portion of its interest in this Lease to (i) a parent or operating subsidiary of Tenant,
(ii) a subsidiary of Tenant’s parent, (iii) a corporation or other entity with which Tenant may merge, (iv) any lender of Tenant or leasehold mortgagee for the purpose of securing indebtedness, or (vi) to any entity to whom
Tenant sells all or substantially all of its assets. 
 Indemnification: Tenant’s indemnification, defense and holding Landlord harmless set
forth in Paragraph 39 shall not apply to any liability, penalties, losses, damages, costs, expenses, causes of action, claims, or judgments arising from landlord’s gross negligence or willful misconduct. 

Landlord agrees to indemnify, defend and hold Tenant, and Tenant’s employees, agents and contractors harmless from all liability, penalties, losses,
damages, costs, expenses, causes of action, claims or judgments arising by reason of any death, bodily injury, personal injury, or property damage resulting from: 
  

	 	(i)	 any cause occurring in or about or resulting from an occurrence in or about the Building or Premises during the
Lease Term arising as a result of any act of Landlord’s or Landlord’s employees or guests in or around the Building or Premises. 

  

	 	(ii)	 the gross negligence or willful misconduct of Landlord or Landlord’s agents, employees, and contractors,
wherever it occurs, or 

  

	 	(iii)	 any default by Landlord under the terms of this Lease. 

 

 

  
 22 

 

 

  
 23 

 MEGAN’S LAW DATA BASE DISCLOSURE 

Regarding Registered Sex Offenders 

(C.A.R. Form DBD, Revised 11/08) 

The following terms and conditions are hereby incorporated in and made a part of the: ☐ Purchase Agreement, ☐ Residential Lease or
Month-to-Month Rental Agreement, ☒ other Commercial Lease Agreement,         , on property known as 2812 Hegan Land
C & F, Chico, CA 95928 in which Lulu’s Fashion Lounge, Inc. is referred to as (“Buyer/Tenant”) and Hegan Lane Partnership is referred to as (“Seller/Landlord”). 

Notice: Pursuant to Section 290.46 of the Penal Code, information about specified registered sex offenders is made available to the public via an
Internet Web site maintained by the Department of Justice at www.meganslaw.ca.gov. Depending on an offender’s criminal history, this information will include either the address at which the offender resides or the community of residence and ZIP
Code in which he or she resides. 
 (Neither Seller nor Brokers are required to check this website. If Buyer wants further information, Broker recommends
that Buyer obtain information from this website during Buyer’s inspection contingency period. Brokers do not have expertise in this area.) 
  

			
	Date:	  	11/1/2016
	Buyer/Tenant	  	/s/ Crystal Estes                                 Lulu’s
Fashion Lounge, Inc.
	Buyer/Tenant	  	

  

			
	Date:	  	
	Seller/Landlord	  	Hegan Lane Partnership
	Seller/Landlord	  	

 The copyright laws of the United States (Title 17 U.S. Code) forbid the unauthorized reproduction of this form, or any portion
thereof, by photocopy machine or any other means, including facsimile or computerized formats. Copyright © 2008, CALIFORNIA ASSOCIATION OF REALTORS®, INC. ALL RIGHTS RESERVED. 

THIS FORM HAS BEEN APPROVED BY THE CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.). NO REPRESENTATION IS MADE AS TO THE LEGAL VALIDITY OR ADEQUACY OF ANY
PROVISION IN ANY SPECIFIC TRANSACTION. A REAL ESTATE BROKER IS THE PERSON QUALIFIED TO ADVISE ON REAL ESTATE TRANSACTIONS. IF YOU DESIRE LEGAL OR TAX ADVICE, CONSULT AN APPROPRIATE PROFESSIONAL. 

This form is available for use by the entire real estate industry. It is not intended to identify the user as a REALTOR®. REALTOR® is a registered
collective membership mark which may be used only by members of the NATIONAL ASSOCIATION OF REALTORS® who subscribe to its Code of Ethics. 
 Published
and Distributed by: 
 REAL ESTATE BUSINESS SERVICES, INC. a subsidiary of the California Association of REALTORS® 525 South Virgil Avenue, Los Angeles,
California 90020 
 Reviewed by: 
 Date: 

 DISCLOSURE REGARDING 

REAL ESTATE AGENCY RELATIONSHIP 

(Selling Firm to Buyer) 

(As required by the Civil Code) 

(C.A.R. Form AD, Revised 12/14) 
 ☐
(If checked) This form is being provided in connection with a transaction for a leasehold interest exceeding one year as per Civil Code section 2079.13(k) and (m). 

When you enter into a discussion with a real estate agent regarding a real estate transaction, you should from the outset understand what type of agency
relationship or representation you wish to have with the agent in the transaction. 
 SELLER’S AGENT 

A Seller’s agent under a listing agreement with the Seller acts as the agent for the Seller only. A Seller’s agent or a subagent of that agent has
the following affirmative obligations: 
 To the Seller: A Fiduciary duty of utmost care, integrity, honesty and loyalty in dealings with the Seller. 

To the Buyer and the Seller: 
  

	 	(a)	 Diligent exercise of reasonable skill and care in performance of the agent’s duties.

  

	 	(b)	 A duty of honest and fair dealing and good faith. 

 

	 	(c)	 A duty to disclose all facts known to the agent materially affecting the value or desirability of the property
that are not known to, or within the diligent attention and observation of, the parties. An agent is not obligated to reveal to either party any confidential information obtained from the other party that does not involve the affirmative duties set
forth above. 

 BUYER’S AGENT 
 A
selling agent can, with a Buyer’s consent, agree to act as agent for the Buyer only. In these situations, the agent is not the Seller’s agent, even if by agreement the agent may receive compensation for services rendered, either in full or
in part from the Seller. An agent acting only for a Buyer has the following affirmative obligations: 
 To the Buyer: A fiduciary duty of utmost care,
integrity, honesty and loyalty in dealings with the Buyer. 
 To the Buyer and the Seller: 

(a) Diligent exercise of reasonable skill and care in performance of the agent’s duties. 

(b) A duty of honest and fair dealing and good faith. 

(c) A duty to disclose all facts known to the agent materially affecting the value or desirability of the property that are not known to, or
within the diligent attention and observation of, the parties. 
 An agent is not obligated to reveal to either party any confidential information of the
property obtained from the other party that does not involve the affirmative duties set forth above. 
 AGENT REPRESENTING BOTH SELLER AND BUYER 

A real estate agent, either acting directly or through one or more associate licensees, can legally be the agent of both the Seller and the Buyer in a
transaction, but only with the knowledge and consent of both the Seller and the Buyer. 
 In a dual agency situation, the agent has the following
affirmative obligations to both the Seller and the Buyer: 
  

	 	(a)	 A fiduciary duty of utmost care, integrity, honesty and loyalty in the dealings with either the Seller or the
Buyer. 

  
 23 

 (b) Other duties to the Seller and the Buyer as stated above in their respective sections.

 In representing both Seller and Buyer, the agent may not, without the express permission of the respective party, disclose to the other
party that the Seller will accept a price less than the listing price or that the Buyer will pay a price greater than the price offered. 
 The above duties
of the agent in a real estate transaction do not relieve a Seller or Buyer from the responsibility to protect his or her own interests. You should carefully read all agreements to assure that they adequately express your understanding of the
transaction. A real estate agent is a person qualified to advise about real estate. If legal or tax advice is desired, consult a competent professional. 

Throughout your real property transaction you may receive more than one disclosure form, depending upon the number of agents assisting in the transaction. The
law requires each agent with whom you have more than a casual relationship to present you with this disclosure form. You should read its contents each time it is presented to you, considering the relationship between you and the real estate agent in
your specific transaction. This disclosure form includes the provisions of Sections 2079.13 to 2079.24, inclusive, of the Civil Code set forth on page 2. Read it carefully. I/WE ACKNOWLEDGE RECEIPT OF A COPY OF THIS DISCLOSURE AND THE PORTIONS OF
THE CIVIL CODE PRINTED ON THE BACK (OR A SEPARATE PAGE). 
  

			
	☐ Buyer ☐ Seller ☐ Landlord ☒ Tenant: /s/ Crystal Estes                     Date
11/1/2016
	                                    
                                  Lulu’s Fashion Lounge, Inc.
	☐ Buyer ☐ Seller ☐ Landlord ☐ Tenant          Date 

  

			
	Real Estate Broker (Firm): Keller Williams Realty Chico Area
	CalBRE Lic. #	  	01842969
	By (Salesperson or Broker-Associate):
	(Agent)	  	/s/ John Barroso                        
	CalBRE Lic. #	  	01434090
	Date:	  	11/1/2016

 Agency Disclosure Compliance (Civil Code §2079.14): 

 

	 	•	 	 When the listing brokerage company also represents Buyer/Tenant: The Listing Agent shall have one AD form signed
by Seller/Landlord and a different AD form signed by Buyer/Tenant. 

  

	 	•	 	 When Seller/Landlord and Buyer/Tenant are represented by different brokerage companies: (i) the Listing
Agent shall have one AD form signed by Seller/Landlord and (ii) the Buyer’s/Tenant’s Agent shall have one AD form signed by Buyer/Tenant and either that same or a different AD form presented to Seller/Landlord for signature prior to
presentation of the offer. If the same form is used, Seller may sign here: 

  

			
	Date:	  	
	Seller/Landlord	  	                                     
    Hegan Lane Partnership
	Date:	  	
	Seller/Landlord	  	

 The copyright laws of the United States (Title 17 U.S. Code) forbid the unauthorized reproduction of this form, or any portion
thereof, by photocopy machine or any other means, including facsimile or computerized formats. 
 Copyright © 1991-2010, CALIFORNIA ASSOCIATION OF
REALTORS®, INC. 
 ALL RIGHTS RESERVED. 

  
 26 

 CIVIL CODE SECTIONS 2079.24 (2079.16 APPEARS ON THE FRONT) 

2079.13 As used in Sections 2079.14 to 2079.24, inclusive, the following terms have the following meanings: (a) “Agent” means a person acting
under provisions of Title 9 (commencing with Section 2295) in a real property transaction, and includes a person who is licensed as a real estate broker under Chapter 3 (commencing with Section 10130) of Part 1 of Division 4 of the
Business and Professions Code, and under whose license a listing is executed or an offer to purchase is obtained. (b) “Associate licensee” means a person who is licensed as a real estate broker or salesperson under Chapter 3 (commencing
with Section 10130) of Part 1 of Division 4 of the Business and Professions Code and who is either licensed under a broker or has entered into a written contract with a broker to act as the broker’s agent in connection with acts requiring
a real estate license and to function under the broker’s supervision in the capacity of an associate licensee. The agent in the real property transaction bears responsibility for his or her associate licensees who perform as agents of the
agent. When an associate licensee owes a duty to any principal, or to any buyer or seller who is not a principal, in a real property transaction, that duty is equivalent to the duty owed to that party by the broker for whom the associate licensee
functions. (c) “Buyer” means a transferee in a real property transaction, and includes a person who executes an offer to purchase real property from a seller through an agent, or who seeks the services of an agent in more than a casual,
transitory, or preliminary manner, with the object of entering into a real property transaction. “Buyer” includes vendee or lessee. (d) “Commercial real property” means all real property in the state, except single-family
residential real property, dwelling units made subject to Chapter 2 (commencing with Section 1940) of Title 5, mobilehomes, as defined in Section 798.3, or recreational vehicles, as defined in Section 799.29. (e) “Dual
agent” means an agent acting, either directly or through an associate licensee, as agent for both the seller and the buyer in a real property transaction. (f) “Listing agreement” means a contract between an owner of real property and
an agent, by which the agent has been authorized to sell the real property or to find or obtain a buyer. (g) “Listing agent” means a person who has obtained a listing of real property to act as an agent for compensation. (h) “Listing
price” is the amount expressed in dollars specified in the listing for which the seller is willing to sell the real property through the listing agent. (i) “Offering price” is the amount expressed in dollars specified in an offer to
purchase for which the buyer is willing to buy the real property. (j) “Offer to purchase” means a written contract executed by a buyer acting through a selling agent that becomes the contract for the sale of the real property upon
acceptance by the seller. (k) “Real property” means any estate specified by subdivision (1) or (2) of Section 761 in property that constitutes or is improved with one to four dwelling units, any commercial real property, any
leasehold in these types of property exceeding one year’s duration, and mobilehomes, when offered for sale or sold through an agent pursuant to the authority contained in Section 10131.6 of the Business and Professions Code. (l) “Real
property transaction” means a transaction for the sale of real property in which an agent is employed by one or more of the principals to act in that transaction, and includes a listing or an offer to purchase. (m) “Sell,”
“sale,” or “sold” refers to a transaction for the transfer of real property from the seller to the buyer, and includes exchanges of real property between the seller and buyer, transactions for the creation of a real property
sales contract within the meaning of Section 2985, and transactions for the creation of a leasehold exceeding one year’s duration. (n) “Seller” means the transferor in a real property transaction, and includes an owner who lists
real property with an agent, whether or not a transfer results, or who receives an offer to purchase real property of which he or she is the owner from an agent on behalf of another. “Seller” includes both a vendor and a lessor. (o)
“Selling agent” means a listing agent who acts alone, or an agent who acts in cooperation 

  
 27 

 with a listing agent, and who sells or finds and obtains a buyer for the real property, or an agent who
locates property for a buyer or who finds a buyer for a property for which no listing exists and presents an offer to purchase to the seller. (p) “Subagent” means a person to whom an agent delegates agency powers as provided in Article 5
(commencing with Section 2349) of Chapter 1 of Title 9. However, “subagent” does not include an associate licensee who is acting under the supervision of an agent in a real property transaction. 

2079.14 Listing agents and selling agents shall provide the seller and buyer in a real property transaction with a copy of the disclosure form
specified in Section 2079.16, and, except as provided in subdivision (c), shall obtain a signed acknowledgement of receipt from that seller or buyer, except as provided in this section or Section 2079.15, as follows: (a) The listing
agent, if any, shall provide the disclosure form to the seller prior to entering into the listing agreement. (b) The selling agent shall provide the disclosure form to the seller as soon as practicable prior to presenting the seller with an
offer to purchase, unless the selling agent previously provided the seller with a copy of the disclosure form pursuant to subdivision (a). (c) Where the selling agent does not deal on a
face-to-face basis with the seller, the disclosure form prepared by the selling agent may be furnished to the seller (and acknowledgement of receipt obtained for the
selling agent from the seller) by the listing agent, or the selling agent may deliver the disclosure form by certified mail addressed to the seller at his or her last known address, in which case no signed acknowledgement of receipt is required.
(d) The selling agent shall provide the disclosure form to the buyer as soon as practicable prior to execution of the buyer’s offer to purchase, except that if the offer to purchase is not prepared by the selling agent, the selling agent
shall present the disclosure form to the buyer not later than the next business day after the selling agent receives the offer to purchase from the buyer. 

2079.15 In any circumstance in which the seller or buyer refuses to sign an acknowledgement of receipt pursuant to Section 2079.14, the agent, or
an associate licensee acting for an agent, shall set forth, sign, and date a written declaration of the facts of the refusal. 
 2079.16 Reproduced
on Page 1 of this AD form. 
 2079.17 (a) As soon as practicable, the selling agent shall disclose to the buyer and seller whether the selling agent
is acting in the real property transaction exclusively as the buyer’s agent, exclusively as the seller’s agent, or as a dual agent representing both the buyer and the seller. This relationship shall be confirmed in the contract to purchase
and sell real property or in a separate writing executed or acknowledged by the seller, the buyer, and the selling agent prior to or coincident with execution of that contract by the buyer and the seller, respectively, (b) As soon as
practicable, the listing agent shall disclose to the seller whether the listing agent is acting in the real property transaction exclusively as the seller’s agent, or as a dual agent representing both the buyer and seller. This relationship
shall be confirmed in the contract to purchase and sell real property or in a separate writing executed or acknowledged by the seller and the listing agent prior to or coincident with the execution of that contract by the seller. 

(c) The confirmation required by subdivisions (a) and (b) shall be in the following form. 

(DO NOT COMPLETE. SAMPLE ONLY) is the agent of (check one): ☐ the seller exclusively; or ☐ both the buyer and seller. 

(Name of Listing Agent) 
 (DO NOT COMPLETE. SAMPLE ONLY) is
the agent of (check one): ☐ the buyer exclusively; or ☐ the seller exclusively; or ☐ both the buyer and seller. 
 (Name of Selling Agent if
not the same as the Listing Agent) 
 (d) The disclosures and confirmation required by this section shall be in addition to the disclosure required by
Section 2079.14. 

  
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 2079.18 No selling agent in a real property transaction may act as an agent for the buyer only, when
the selling agent is also acting as the listing agent in the transaction. 
 2079.19 The payment of compensation or the obligation to pay
compensation to an agent by the seller or buyer is not necessarily determinative of a particular agency relationship between an agent and the seller or buyer. A listing agent and a selling agent may agree to share any compensation or commission
paid, or any right to any compensation or commission for which an obligation arises as the result of a real estate transaction, and the terms of any such agreement shall not necessarily be determinative of a particular relationship. 

2079.20 Nothing in this article prevents an agent from selecting, as a condition of the agent’s employment, a specific form of agency relationship
not specifically prohibited by this article if the requirements of Section 2079.14 and Section 2079.17 are complied with. 
 2079.21 A dual
agent shall not disclose to the buyer that the seller is willing to sell the property at a price less than the listing price, without the express written consent of the seller. A dual agent shall not disclose to the seller that the buyer is willing
to pay a price greater than the offering price, without the express written consent of the buyer. This section does not alter in any way the duty or responsibility of a dual agent to any principal with respect to confidential information other than
price. 
 2079.22 Nothing in this article precludes a listing agent from also being a selling agent, and the combination of these functions in one
agent does not, of itself, make that agent a dual agent.  
 2079.23 A contract between the principal and agent may be modified or altered to
change the agency relationship at any time before the performance of the act which is the object of the agency with the written consent of the parties to the agency relationship. 

2079.24 Nothing in this article shall be construed to either diminish the duty of disclosure owed buyers and sellers by agents and their associate
licensees, subagents, and employees or to relieve agents and their associate licensees, subagents, and employees from liability for their conduct in connection with acts governed by this article or for any breach of a fiduciary duty or a duty of
disclosure. 
 Published and Distributed by: 
 REAL ESTATE
BUSINESS SERVICES, INC. a subsidiary of the California Association of REALTORS® 525 South Virgil Avenue, Los Angeles, California 90020 

  
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