Document:

Document

Exhibit 10.13

EMPLOYMENT AGREEMENT
December 1, 2019
This Employment Agreement (“Agreement”) is entered into to be made effective as of December 1, 2019 (the “Effective Date”), by and among S&A HOLDINGS (2013), LLC (“Holdings” or the “Company”), a limited liability company doing business under the laws of the State of Florida, and MARK ARNOLD, a resident of Maryland (“Executive”). The Company and Executive may each be referred to herein as a “Party” and collectively as the “Parties.” This Agreement supersedes and replaces all prior employment agreements and understandings by and among the Parties and, as of the Effective Date, any such prior agreements and understandings shall be of no further force and effect.
RECITALS
WHEREAS, the Company manages and operates several financial research and publishing businesses and other entities, including, but not limited to, Stansberry & Associates Investment Research, LLC; TradeSmith, LLC; and Legacy Research Group, LLC (and its subsidiaries and affiliates); and any other entities created by the Company hereafter that publish products and services (any and all publications and services provided by the businesses and entities managed and operated by the Company are hereinafter referred to as the “Products”);
WHEREAS, the Parties wish to enter into this Agreement to reflect their mutual understanding as to their overall business arrangement.
NOW THEREFORE, in consideration of the mutual covenants and agreements of the Parties herein contained and other good and valuable consideration as provided below, the Parties hereby agree as follows:
TERMS
1.    Executive’s Performance and Understanding.  The Company agrees to continue Executive’s employment with the Company with the Executive continuing to serve as Chief Executive Officer (“CEO”). Executive will have such duties and responsibilities as are consistent with Executive’s title and such other duties as may be assigned by the Company to Executive from time to time (the “Services”). Executive shall report directly to the Board of Managers (“Board”) of the Company.
2.    Compensation.  In consideration of Executive’s performance of the Services, the Company shall compensate Executive as follows:
(a)    Base Pay.  Executive shall receive an annual guaranteed payment of Five Hundred Thousand Dollars ($500,000.00) (“Base Pay”). Base Pay shall be paid to Executive on a monthly basis in equal installments without deductions and withholdings. The Base Pay shall be periodically reviewed by the Board and adjusted upward or downward by the Board as the Board deems appropriate; provided, however, that any adjustment downward shall only be permitted if the same adjustment is being made to other similarly situated executives of the Company.
(b)    Management Bonus.  The Executive will receive an annual management bonus (the “Management Bonus”) based on the performance of the Company each fiscal year during the Term (each, a “Performance Year”). The amount of the Management Bonus shall be equal to the product of (x) 1.5%, and (y) the Net Income of the Company for the applicable Performance Year. The Management Bonus will be paid in a lump sum, in cash and less any required withholdings, between January 1st and April 15th of the year following the applicable Performance Year.

(c)    Discretionary Bonus.  The Executive may also receive and the Company may choose to award the Executive an additional discretionary bonus (a “Discretionary Bonus”) based on the performance of the Company for the applicable Performance Year. The amount of the Discretionary Bonus for the applicable Performance Year shall be determined by the Board or a committee thereof in its sole discretion. The Discretionary Bonus will be paid in a lump sum, in cash and less required withholdings, on or before April 15th of the year following the applicable Performance Year.
(d)    Equity Incentive Compensation.  The Executive shall be eligible to receive equity incentive compensation with respect to the Company and/or its Affiliates pursuant to the applicable equity incentive compensation plan documents of the Company and/or its Affiliates, or other agreements between Executive and the Company and/or its Affiliates.
(e)    Self-Employment Taxes. Executive understands that he will be responsible for any self-employment taxes arising from payments of his guaranteed payment or any bonus amounts from Holdings and that, after the Effective Date, he shall no longer be treated as an employee of Holdings for purposes of federal or state income or employment tax withholding and reportings.
(f)    Definitions. As used in this Agreement, the following terms shall have the following meanings:
(i)    “Affiliate” or “Affiliated” of or with any specified entity means any other entity controlling, controlled by or under common control with such specified entity. For purposes of this definition, “control” (including the terms “controlling,” “controlled by” and “under common control with”) means the possession, direct or indirect, of the power to direct or cause the direction of the management and policies of any specified entity, whether through the ownership of voting securities, by contract or otherwise, and such “control” will be presumed if any other entity owns a majority or more of the voting capital stock or other ownership interests, directly or indirectly, of such specified entity.
(ii)    “Cause” means any of the following: (i) repeated and gross failure to perform Executive’s material duties under this Agreement, after written notice of such nonperformance has been given to Executive with thirty (30) days to cure such nonperformance; (ii) habitual use of illegal drugs by Executive; (iii) commission of a felony, a crime of moral turpitude or a misdemeanor involving fraud or dishonesty (for avoidance of doubt, a single driving while intoxicated (or other similar charge) shall not be considered a felony or crime of moral turpitude); (iv) the perpetration of any act of fraud or material dishonesty against or affecting the Company, its Affiliates, or their respective customers, agents or employees; (v) material breach of fiduciary duty or material breach of this Agreement, after written notice of such breach has been given to Executive and, to the extent such breach is curable, with thirty (30) days to cure such breach; (vi) repeated insolent or abusive conduct in the workplace, including but not limited to, harassment of others of a racial or sexual nature after notice of such behavior; (vii) taking any action which is intended to harm or disparage the Company and/or its Affiliates, or their respective reputations, or which would reasonably be expected to lead to unwanted or unfavorable publicity to the Company and/or its Affiliates; or (viii) engaging in any act of material self-dealing without prior notice to and consent by the Board.
(iii)    “Change of Control” shall mean the occurrence of any of the following events:
A.    the closing of the sale, transfer or other disposition of all or substantially all of the Company’s assets or the exclusive license of substantially all of the intellectual property of the Company material to the business of the Company resulting in the Company being unable to continue its business as in effect prior to such license;
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B.    the consummation of a merger or consolidation of the Company with or into another entity in which the equityholders of the Company exchange their equity interests of the Company for cash, stock, property or other consideration (except one in which the equityholders of the Company as constituted immediately prior to such transaction continue to hold after the transaction at least 50% of the voting power of the equityholders of the Company or the surviving or acquiring entity or parent entity of the surviving or acquiring entity);
C.    any “person,” as such term is used in Sections 13(d) and 14(d) of the Securities Exchange Act of 1934, as amended, and the rules and regulations thereunder (the “Exchange Act”) (other than (a) a trustee or other fiduciary holding securities under an employee benefit plan of the Company, (b) a corporation owned, directly or indirectly, by the equityholders of the Company in substantially the same proportions as their ownership of stock of the Company or (c) any current beneficial equityholder or group, as defined by Rule 13d-5 of the Exchange Act, including the heirs, assigns and successors thereof, of beneficial ownership, within the meaning of Rule 13d 3 of the Exchange Act, of securities possessing more than 20% of the total combined voting power of the Company’s outstanding securities) hereafter becomes the “beneficial owner,” as defined in Rule 13d-3 of the Exchange Act, directly or indirectly, of securities of the Company representing 35% or more of the total combined voting power represented by the Company’s then outstanding voting securities; or
D.    individuals who, as of sixty (60) days after the Effective Date of this Agreement are members of the Board (the “Incumbent Board”) cease for any reason to constitute at least a majority of the members of the Board; provided, however, that if the appointment or election (or nomination for election) of any new Board member was approved or recommended by a majority vote of the members of the Incumbent Board then still in office, such new member shall, for purposes of this Agreement, be considered as a member of the Incumbent Board.
Further and for the avoidance of doubt, a transaction shall not constitute a Change of Control if: (A) its primary purpose is to change the state of the Company’s incorporation; (B) its primacy purpose is to create a holding company that will be owned in substantially the same proportions by the persons who held the Company’s securities immediately prior to such transaction; or (C) it is a bona fide equity financing in which the Company is the surviving corporation.
(iv)    “Disability” shall mean an injury, or physical or mental illness or incapacity of such character as to substantially disable him from performing his duties (as determined in good faith by the Company) hereunder for a period of more than either (A) ninety (90) consecutive days, or (B) one hundred twenty (120) days whether or not consecutive, in any twelve (12) month period.
(v)    “Net Income” means, with respect to the applicable Performance Year, the net income earned by the Company as calculated in good faith by the Company and measured under the modified accrual basis of accounting used to produce its internal management reporting; for the avoidance of doubt, in calculating the Company’s Net Income, (i) the Company shall deduct any distributions paid to minority partners of any operating subsidiary in which the Company owns less than 100% of the equity of such subsidiary; and (ii) the Board shall determine whether to include or exclude any extraordinary items in the calculation of Net Income in any particular Performance Year.
(g)    Expenses.  The Company shall reimburse Executive for any reasonable travel and other out-of-pocket expenses incurred by Executive in the performance of his obligations hereunder, including, but not limited to, travel, cell phone, dining and entertainment, and similar expenses; provided that such expenses shall have been documented and submitted on a timely basis and in accordance with the regular reimbursement procedures and practices of the Company in effect from time to time. Travel expenses will be reimbursed within thirty (30) days of delivery of an expense report and applicable receipts.
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(h)    Benefits.  Executive shall be eligible to participate in all applicable medical, dental, disability, life insurance, accidental death, savings, retirement and/or 401k plan and other fringe benefits and executive perquisites generally provided to employees and/or other similar executives of the Company on terms and based on any required employee contributions no less favorable to Executive than as apply to other employees and similar executives generally.
3.    License Grant.
(a)    Executive hereby grants to the Company and its Affiliates the right to trade off Executive’s name, reputation, likeness and background in promotional material aimed at marketing the Products to potential and current subscribers, as well as at seminars, conferences and any related events, during the Term of this Agreement and for a period of five (5) years following the termination or expiration of this Agreement; provided, however, that in no event does this Agreement authorize the Company or any of its Affiliates to use Executive’s name, reputation, likeness and background in any manner that is negative or detrimental to Executive.
(b)    Executive agrees that all intellectual property and any rights associated therewith produced under this Agreement, including copyrights and trademarks, are considered work for hire and therefore the sole property of the Company and/or its Affiliates.
(c)    Executive agrees that all designs, trademarks, discoveries, formulas, processes, techniques, strategies, trade secrets, inventions, improvements, ideas, copyrightable works, and/or the like, including all rights to obtain, register, perfect and enforce these proprietary interests, that Executive may solely or jointly develop, conceive, or reduce to practice or author, in whole or in part, during Executive’s employment or association with the Company or its Affiliates that relate to his employment or association or are aided by the use of time, material, or facilities of the Company or its Affiliates, whether or not during normal working hours, (“Inventions”) are the sole and exclusive property of the Company and/or its Affiliates and are considered works for hire under the U.S. Copyright Act, including, but not limited to, as a contribution to a collective work, as a part of a motion picture or other audiovisual work, as editorial copy, as a translation, as a supplementary work, as a compilation, as an instructional text, as a test, as answer material for a test, as an atlas or as any other applicable category. Without compensation, Executive hereby assigns to the Company his entire right, title, and interest in and to the Inventions, and agrees to execute all documents and take all other actions deemed necessary by the Company to protect its rights in any such Inventions, including to vest the Company or its designee with sole ownership of all Inventions. Executive represents and warrants that his development and use of the Inventions will not infringe, misappropriate or otherwise violate any intellectual property rights of any third party (including without limitation any of the Company’s former employers) or any duty owed by the Company to any third party (including without limitation any of the Company’s former employers). To the extent allowed by applicable law, all rights to Inventions include all rights of paternity, integrity, disclosure and withdrawal and any other rights that may be known as or referred to as moral rights, artist’s rights, droit moral or the like (collectively, “Moral Rights”). To the extent Executive retains any such Moral Rights under applicable law, he hereby ratifies and consents to any action that may be taken with respect to such Moral Rights by or authorized by the Company and agrees to waive, release and not to assert any Moral Rights with respect thereto. Executive will confirm any such ratification, consent or agreement from time to time as requested by the Company. Executive shall return all tangible evidence of such Inventions, including, but not limited to, any papers, lists, books, files, and computer diskettes or CDs, to the Company prior to or at the termination of this Agreement or extensions thereof, if any, with or without the Company’s request, or upon the Company’s written request.
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4.    Non-Compete: Confidential Information: and Non-Disparagement.
(a)    Unless otherwise agreed to by the Board, Executive hereby agrees and covenants that he will not (i) write or otherwise contribute to the publication of any financial material; or (ii) directly or indirectly, engage in any business on behalf of himself or any other person, and whether as an owner, director, officer, employee, or consultant, which could be deemed competitive with the Products or other products owned or published by Holdings or its Affiliates (hereinafter, “Compete”) while he is an employee of the Company and for a period of two (2) years following the termination of such employment; provided, however, that if Executive is terminated without Cause or resigns for Good Reason, then the term of this covenant shall expire upon one (1) year from the effective date of such termination without Cause or resignation for Good Reason (the “Non-Compete Term”). Any financial writing and/or consulting for a financial newsletter and/or Internet-related financial product is deemed per se competitive. As used herein, “Good Reason” means (i) material breach of this Agreement by the Company, or (ii) a material reduction in Executive’s duties, title or annual Base Pay, unless otherwise provided for in this Agreement or unless agreed to by Executive in writing; provided, however, that Good Reason shall not be deemed to have occurred in the event of a reduction in your annual Base Pay that is pursuant to a salary reduction program affecting similarly situated employees of the Company; (iii) a requirement that Executive relocate his primary place of employment to a geographic location outside of a fifty (50) mile radius from the Company’s location as of the Effective Date unless agreed to by Executive in writing; provided, however, that a resignation will be a resignation for Good Reason only if Executive shall have first provided written notice of the condition constituting Good Reason to the Board no later than sixty (60) days after the initial existence of the condition and the Company shall have failed to cure such condition within thirty (30) days of the Board’s receipt of notice.
(b)    Unless otherwise agreed in a writing in advance duly signed by the Board, during the Non-Compete Term, Executive also will not, directly or indirectly:
(i)    induce or encourage any employee or independent contractor of the Company or any of its Affiliates to leave or reduce such employment or engagement, whether such employment or engagement is pursuant to a contract or at will, or, on his own behalf or on behalf of any person or entity, employ or engage in any capacity any former employee or independent contractor of the Company, or any of its Affiliates, unless such former employee or independent contractor will have ceased to be so employed or engaged by the Company or its Affiliates for a period of at least one (1) year immediately prior to Executive’s inducement or engagement of such employee or independent contractor; or
(ii)    on his own behalf or on behalf of any person or entity, solicit or call upon, or attempt to solicit or call upon, any customer or subscriber of the Company or its Affiliates (as of the date of termination of this Agreement or at any time during the one year period immediately prior to such termination), for the purpose of selling or providing any product or service which is competitive with any of the products owned, sold, managed or distributed by the Company or its Affiliates.
(c)    Confidential Information.  Executive acknowledges and agrees that the Company and its Affiliates, in the course of performing their business activities, acquire and develop Confidential Information (as defined below) that provides them with a business advantage and that Executive will be provided with such Confidential Information during his association with the Company and its Affiliates. Executive agrees that he will not, directly or indirectly, at any time during or after the Term of this Agreement, use (whether on his own behalf or on behalf of any other person or entity) or disclose (to any person or entity) any Confidential Information, except as may be required by law or necessary in the performance of his duties for the Company or its Affiliates during the Term of this Agreement. “Confidential Information” means all confidential, proprietary, and non-public information (whether in 
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written, electronic, or other form) of the Company or its Affiliates or third parties with whom the Company or any of its Affiliates do business (including without limitation investors, sources of investment capital, and suppliers of the Company or any of its Affiliates), including without limitation the following information of the Company or its Affiliates: trade secrets; business information; track record information; books and records used to calculate and present track record information; information regarding assets and affairs; financial information; operating methods or strategies; portfolio holdings and performance; marketing plans or strategies; competitive know-how; processes; forecasts; investor lists or other investor-related information of any kind; marketing promotions, copy packages, subscriber/customer lists, email addresses, contact information or other subscriber/customer-related information of any kind, and any other information of a similar nature not already in the public domain. Confidential Information also includes any information that becomes publicly available as a direct or indirect result of Executive’s breach of this Agreement or other obligation to the Company or any of its Affiliates. Executive will take all reasonable and necessary precautions to prevent disclosure of Confidential Information to unauthorized persons or entities. Executive further agrees to immediately notify the Company or any of its Affiliates if he becomes aware that Confidential Information has been improperly used or disclosed. In the event Executive is required by law to disclose Confidential Information, Executive will (i) immediately (and prior to such disclosure) notify the Company and cooperate with the Company and its Affiliates (at their expense) in any efforts by them to oppose such disclosure, and (ii) will disclose only that portion of the Confidential Information that is legally required to be disclosed and exercise best efforts to ensure that such Confidential Information will be afforded confidential treatment. Under no circumstances will Executive acquire any ownership interest in, or right to use, any Confidential Information. Confidential Information shall not include information (i) which is or becomes generally available to the public, (ii) acquired by the Executive from a third party lawfully entitled to disclose same, or (iii) knowingly disclosed by Holdings and/or its Affiliates to any third party without any intent to restrict the same as to further disclosure.
(d)    Notice of Immunity.  Executive acknowledges that the Company has provided Executive with the following notice of immunity rights in compliance with the requirements of the Defend Trade Secrets Act of 2016: (i) Executive shall not be held criminally or civilly liable under any U.S. federal or state trade secret law for the disclosure of Confidential Information that is made in confidence to a U.S. federal, state or local government official or to an attorney solely for the purpose of reporting or investigating a suspected violation of law; (ii) Executive shall not be held criminally or civilly liable under any U.S. federal or state trade secret law for the disclosure of Confidential Information that is made in a complaint or other document filed in a lawsuit or other proceeding, if such filing is made under seal; and (iii) if Executive files a lawsuit for retaliation by the Company for reporting a suspected violation of law, Executive may disclose the Confidential Information to Executive’s attorney and use the Confidential Information in the court proceeding, if Executive files any document containing the Proprietary Information under seal, and does not disclose the Confidential Information, except pursuant to court order. However, under no circumstance will Executive be authorized to disclose any information covered by attorney-client privilege or attorney work product of the Company without prior written consent of the Company’s general counsel or other officer designated by the Company. Notwithstanding anything to the contrary contained herein, no provision of this Agreement shall be interpreted so as to impede Executive (or any other individual) from reporting possible violations of U.S. federal law or regulation to any governmental agency or entity, including but not limited to the U.S. Department of Justice, the U.S. Securities and Exchange Commission, the U.S. Congress, and any agency Inspector General of the U.S. government, or making other disclosures under the whistleblower provisions of U.S. federal law or regulation. Executive does not need the prior authorization of the Company to make any such reports or disclosures and Executive shall not be not required to notify the Company that such reports or disclosures have been made.
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(e)    Non-Disparagement.  Executive agrees and covenants that Executive will not at any time, whether during the Term or thereafter, make, publish, or communicate to any person or entity or in any public forum any defamatory or disparaging remarks, comments, or statements both (i) concerning the Company, its Affiliates, or their respective employees, officers, directors, managers, products, services, or businesses and (ii) which would reasonably be expected to materially damage the reputation, goodwill or business of the Company. This Section does not, in any way, restrict or impede the Executive from exercising protected rights to the extent that such rights cannot be waived by agreement or from complying with any applicable law or regulation or a valid order of a court of competent jurisdiction or an authorized government agency, provided that such compliance does not exceed that required by the law, regulation, or order. If Executive materially breaches the foregoing non-disparagement obligations, then Executive shall pay to the Company $500,000 (the “Liquidated Damages”). The parties acknowledge and agree that the Company’s harm caused by a breach of Executive’s non-disparagement obligations would be impossible or very difficult to accurately estimate, and that the Liquidated Damages are a reasonable estimate of the anticipated or actual harm that might arise from Executive’s breach of his non-disparagement obligations. Executive’s payment of the Liquidated Damages is the Executive’s sole financial liability and obligation, but Company shall also be entitled to seek specific performance of the non-disparagement obligations under Section 4(e) in the event Executive breaches same.
5.    Warrants, Covenants, Indemnity and Forfeiture.
(a)    Executive hereby warrants and covenants that any editorial or promotional work produced under this Agreement by him shall not knowingly violate or infringe any copyright(s) and shall not knowingly contain anything libelous or otherwise contrary to the law. Executive shall also acknowledge and agrees to use his best efforts to comply with any and all written policies and procedures of the Company of which Executive is made aware, as revised and supplemented from time to time, including, but not limited to, the Company’s Securities and Cryptocurrencies Trading Policy, Customer Relations Policy, Information Barrier Policies and Procedures, and policies and procedures set forth in the Company’s Employee Handbook.
(b)    Each of the Parties shall have the right to take legal action against an unrelated third party in the event of any infringement or violation of the rights of the Party and each shall be solely responsible for its expenses in such suit, except as otherwise set forth in this Agreement.
(c)    Executive shall indemnify and hold harmless the Company and any of its Affiliates for any losses resulting from an intentional breach of the representations, warranties and covenants by Executive in Sections 4 and 5, including reasonable attorney’s costs, suffered by the Company and its Affiliates. The Parties agree that the foregoing representations, warranties, covenants and indemnity by Executive shall not extend to any editorial, marketing or promotional materials that the Company or its Affiliates provide to Executive so long as Executive’s presentation of such material is consistent with the warranties and covenants described in Section 5(a) above.
(d)    Executive represents and warrants to the Company that: (i) Executive has the full power and authority to enter into this Agreement and to incur and perform Executive’s obligations hereunder; and (ii) the execution, delivery and performance by Executive of this Agreement does not conflict with or result in a breach or violation of or constitute a default under (whether immediately, upon the giving of notice or lapse of time or both) any agreement or instrument to which Executive is a party or by which Executive may be bound or affected.
(e)    The Company represents and warrants to Executive that: (i) it is duly organized, validly existing and in good standing under the laws of the State of Florida, with the requisite power and authority to own and use its properties and assets and to carry on its business as currently conducted; (ii) 
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it is duly qualified to conduct business and is in good standing as a foreign corporation or other entity in each jurisdiction in which the nature of the business conducted or property owned by it makes such qualification necessary; (iii) it has full power and authority to enter into this Agreement and to incur and perform its obligations hereunder; and (iv) the execution, delivery and performance by the Company of this Agreement does not conflict with or result in a breach or violation of or constitute a default under (whether immediately, upon the giving of notice or lapse of time or both) the articles of organization, bylaws, or operating agreement of the Company, or any agreement or instrument to which the Company is a party or by which the Company or any of its properties may be bound or affected.
6.    Term and Termination.
(a)    Term.  Executive’s employment hereunder shall be effective as of the Effective Date and shall continue until January 2, 2025 (the “Initial Term”), unless terminated earlier pursuant to the terms of this Agreement. The Initial Term shall automatically expire on January 2, 2025, unless the Parties mutually agree, within one hundred eighty (180) days before the expiration of the Initial Term, to renew this Agreement for one (1) subsequent two (2) year renewal term (the “Renewal Term”). The Initial Term and the Renewal Term, if applicable, shall be collectively referred to herein as the “Term.”
(b)    Termination.  Either Party may terminate Executive’s employment at any time, provided that (i) the Company shall provide one hundred eighty (180) days’ prior written notice of such termination (absent Cause, in which case notice, if required, shall be provided as set forth in Section 2(e)(ii)) and (ii) Executive (absent Good Reason, in which case the notice period required in Section 4(a) shall be required) shall provide the Company with one hundred eighty (180) days prior written notice before terminating his employment, in which case, for the avoidance of doubt, the Company may relieve Executive of some or all of his duties during such 180-day notice period provided that the Company pays Executive his Base Pay for the portion of the notice period that is waived. Except as provided in Section 6(c) below, upon termination of Executive’s employment for any reason, he shall receive unpaid Base Pay through the date of termination and reimbursement for any expenses incurred through the date of termination pursuant to Section 2(g) and any benefits through such date.
If Executive’s employment by Company is terminated (1) by the Company without Cause during the Initial Term; (2) by Executive for Good Reason during the Initial Term; or (3) due to the expiration of the this Agreement at the end of the Initial Term and the Parties fail to renew this Agreement or enter into a new employment agreement, then all unvested awards granted to Executive that were scheduled to vest during the Initial Term, including, but not limited to, any profits interests, equity or other equity-based awards, shall immediately vest. For the avoidance of doubt, if any of the events listed in the preceding sentence occur, Executive shall forfeit all awards granted to Executive that were scheduled to vest during the Renewal Term, including, but not limited to, any profits interests, equity or other equity-based awards.
If Executive’s employment by Company is terminated (1) by the Company without Cause during the Renewal Term; or (2) by Executive for Good Reason during the Renewal Term, then all unvested awards granted to Executive that were scheduled to vest during the Renewal Term, including, but not limited to, any profits interests, equity or other equity-based awards, shall immediately vest.
(c)    Death or Disability.  Executive’s employment hereunder shall terminate automatically on Executive’s death during the Term, and the Company may terminate Executive’s employment on account of Executive’s Disability. If Executive’s employment is terminated during the Term on account of Executive’s death or Disability, Executive (or Executive’s estate and/or beneficiaries, as the case may be) shall be entitled to receive the following:
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(i)    any unpaid Base Pay and a pro-rated Management Bonus based on the Net Income of the Company through the date Executive dies or is terminated on account of Executive’s Disability; and
(ii)    all unvested awards granted to Executive including, but not limited to, any profits interests, equity or other equity-based awards, shall immediately vest.
Notwithstanding any other provision contained herein, all payments made in connection with the Executive’s Disability shall be provided in a manner which is consistent with applicable law.
(d)    Additional Payments Upon Termination.  If Executive’s employment by Company is terminated by (1) the Company without Cause or (2) the Executive resigns for Good Reason, then this Agreement shall be deemed to be terminated as of the date Executive ceases to be employed by the Company (the “Termination Date”). Upon the Termination Date under either of clauses (1) or (2) in the preceding sentence, the Company shall pay Executive (i) any unpaid Base Pay and a pro-rated Management Bonus based on the Net Income of the Company through the Termination Date, (ii) an amount equal to the two times the total Base Pay and Management Bonus paid to Executive for the calendar year prior to the Termination Date (the “Separation Amount”), and (iii) notwithstanding any vesting terms of any profits interest, option or other equity-based awards, any and all such profits interests, options or other equity-based awards shall immediately vest on the Termination Date and shall be exercisable for twelve (12) months following the Termination Date, but in no event beyond the maximum permitted expiration date of such profits interests, options or equity-based awards, as applicable. In the event that Executive’s employment is terminated within twenty (24) months following a Change of Control, the Executive shall be enitled to the benefits set forth in clauses (i) and (iii) of the preceding sentence and a single lump sum payment equal to one and a half times the Separation Amount. As a condition to receiving such payments following the Termination Date, Executive must sign, deliver, and not revoke a release in the form attached hereto as Exhibit A, such that it has become effective and enforceable as a condition to any payment pursuant to this Section 6(c).
(e)    Executive acknowledges and agrees to the following in the event that Executive breaches Sections 4(a) or (b) of this Agreement and such breach either (1) results in the termination of Executive’s employment with the Company or (2) occurs following the termination of Executive’s employment with the Company, then all compensation and benefits payable pursuant to Section 6(d)(ii) of this Agreement (the Separation Amount) shall immediately cease and be forfeited, or shall otherwise be immediately returned in its entirety by Executive to Company within thirty (30) days of written notice from the Company.
7.    Assignment of Agreement.  Executive’s services and functions are considered unique. This Agreement or any rights or obligations herein may not be assigned or otherwise transferred by Executive to any other party without the prior written consent of the Company, which consent shall not be unreasonably withheld.
8.    Indemnification; Insurance.  Executive shall be entitled to indemnification (including advancement of and reimbursement of Executive’s own reasonable attorney’s fees and costs) to the extent provided under applicable law and under the Company’s Certificate of Incorporation, Bylaws or Operating Agreement, as well as to liability insurance coverage (including directors and officers liability insurance coverage) provided at the Company’s cost, in each case, on the same basis as other directors and officers of the Company, with respect to Executive’s acts or failures to act in his capacity as an officer, employee or agent of the Company during the term of his employment with the Company. For the avoidance of doubt, in no event shall Executive’s indemnification rights described in this Section be less favorable than those provided to active directors and officers of the Company.
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(a)    Appearance as a Witness.  Notwithstanding any other provision of this Section 8, the Company shall pay or reimburse expenses incurred by the Executive in connection with his appearance as a witness or other participation in a Proceeding at a time when he is not a named defendant or respondent in the Proceeding.
9.    Integration, Amendments and Modifications.  This Agreement sets forth the entire agreement among the Parties hereto with respect to the subject matter herein and supersedes all prior and contemporaneous understandings, agreements representations and warranties, both written and oral, with respect to such subject matter. The Parties mutually agree that the Agreement can be specifically enforced in court and can be cited as evidence in legal proceedings alleging breach of the Agreement. This Agreement may not be amended or modified except by a writing duly executed by the Parties hereto.
10.    Confidentiality.  The Parties agree that this Agreement is confidential and, except as otherwise required by law or court order, no Party shall disclose the terms herein to anyone, including any employee of the Company. Notwithstanding the foregoing, the Company may disclose the terms of this Agreement to senior management of the Company. Executive may disclose this contract to his immediate family members and his legal and financial representatives provided such disclosures are protected by professional codes of conduct or signed confidentiality agreements.
11.    Severability; Provisions Subject to Applicable Law.  All provisions of this Agreement shall be applicable only to the extent that they do not violate any applicable law. If any provision of this Agreement is found invalid or unenforceable pursuant to judicial decree, such provision will be enforced to the maximum extent permissible and the remainder of the Agreement will remain in full force and effect according to its terms.
12.    Arbitration.  The Parties agree that any dispute arising from or relating to this Agreement, or the breach thereof, shall be submitted to the American Arbitration Association (“AAA”) for binding arbitration to take place in Baltimore, Maryland before a single arbitrator under the rules of the AAA Employment Arbitration Rules and Mediation Procedures, and the decision of the arbitrator shall be final and binding upon the Parties. Notwithstanding the foregoing, in the event of any Party’s breach of any of the covenants set forth in Sections 3, 4, 5 or 8, a Party shall have the right to obtain injunctive relief from any federal or state court of competent jurisdiction located within Baltimore County, Maryland and will not be required to arbitrate any claim for the breach of such Sections. Accordingly, except as provided in the prior sentence, the Parties will not be permitted to pursue court action regarding claims that are subject to arbitration.
13.    Governing Law; Venue.  This Agreement and the rights and obligations of the Parties hereto shall be governed, construed, interpreted and enforced in accordance with the laws of the State of Maryland, without giving effect to the principles of conflict of laws. The Parties hereto hereby irrevocably submit to the exclusive jurisdiction of the federal or state courts located within Baltimore County, Maryland in the event that:  a Party seeks injunctive relief with respect to a breach of any of the covenants set forth in Sections 3, 4, 5 or 8; or (ii) a Party seeks to enforce an arbitration award. In the event of a breach of the covenants set forth in Sections 3, 4, 5 or 8, the Parties agree that, in addition to any other remedies available at law or equity, a Party may file litigation against another Party seeking specific performance and temporary and/or preliminary injunctive relief, enjoining or restraining such breach, and the Parties consent to the issuance of such injunctive relief without bond. The Parties agree that if a Party initiates litigation seeking to enforce an arbitration award, the Party initiating such litigation shall be entitled to recover from the other Party reasonable attorney’s fees and costs incurred in such litigation, including all reasonable and necessary attorney’s fees and costs arising from a successful appeal. The Parties consent 
10

to the personal jurisdiction of such courts and thereby waive: (a) any objection to jurisdiction or venue; or (b) any defense claiming lack of jurisdiction or improper venue, in any action brought in such courts.
14.    Reports.  For so long as Executive holds any membership interests in the Company, the Company shall provide Executive with copies of the financial statements of the Company and its subsidiaries in such form and at such time as they are provided to the Company’s other equityholders; provided, however, all and all rights conferred to Executive under this Section 14 shall terminate upon the date of the Company’s (or its Affiliate’s) first underwritten public offering of common equity securities under the Securities Act of 1933, as amended.
15.    Excess Parachute Payments: Limitation on Payments.
(a)    Best Pay Cap.  Notwithstanding any other provision of this Agreement, in the event that any payment or benefit received or to be received by Executive (including any payment or benefit received in connection with a termination of Executive’s employment, whether pursuant to the terms of this Agreement or any other plan, arrangement or agreement) (all such payments and benefits, including the payments and benefits under Section 2 hereof, being hereinafter referred to as the “Total Payments”) would be subject (in whole or part), to the excise tax imposed under Section 4999 of the Internal Revenue Code of 1986 (the “Excise Tax”), then, after taking into account any reduction in the Total Payments provided by reason of Section 280G of the Code in-such other plan, arrangement or agreement, the cash severance payments under this Agreement shall first be reduced, and the noncash severance payments hereunder shall thereafter be reduced, to the extent necessary so that no portion of the Total Payments is subject to the Excise Tax but only if (i) the net amount of such Total Payments, as so reduced (and after subtracting the net amount of federal, state and local income taxes on such reduced Total Payments and after taking into account the phase out of itemized deductions and personal exemptions attributable to such reduced Total Payments) is greater than or equal to (ii) the net amount of such Total Payments without such reduction (but after subtracting the net amount of federal, state and local income taxes on such Total Payments and the amount of Excise Tax to which the Executive would be subject in respect of such unreduced Total Payments and after taking into account the phase out of itemized deductions and personal exemptions attributable to such unreduced Total Payments).
(b)    Certain Exclusions.  For purposes of determining whether and the extent to which the Total Payments will be subject to the Excise Tax, (i) no portion of the Total Payments the receipt or enjoyment of which the Executive shall have waived at such time and in such manner as not to constitute a “payment” within the meaning of Section 280G(b) of the Code shall be taken into account; (ii) no portion of the Total Payments shall be taken into account which, in the written opinion of an independent, nationally recognized accounting or consulting firm (the “Independent Advisors”) selected by the Company, does not constitute a “parachute payment” within the meaning of Section 280G(b)(2) of the Code (including by reason of Section 280G(b)(4)(A) of the Code) and, in calculating the Excise Tax, no portion of such Total Payments shall be taken into account which, in the opinion of the Independent Advisors, constitutes reasonable compensation for services actually rendered, within the meaning of Section 280G(b)(4)(B) of the Code, in excess of the “base amount” (as defined in Section 280G(b)(3) of the Code) allocable to such reasonable compensation; and (iii) the value of any non-cash benefit or any deferred payment or benefit included in the Total Payments shall be determined by the Independent Advisors in accordance with the principles of Sections 280G(d)(3) and (4) of the Code.
16.    Section 409A.  Notwithstanding any other provision of this Agreement to the contrary, the provision, time and manner of payment or distribution of all compensation and benefits provided by this Agreement that constitute nonqualified deferred compensation subject to and not exempted from the requirements of Code Section 409A (“Section 409A Deferred Compensation”) shall be subject to, limited 
11

by and construed in accordance with the requirements of Code Section 409A and all regulations and other guidance promulgated by the Secretary of the Treasury pursuant to such Section (such Section, regulations and other guidance being referred to herein as “Section 409A”), including the following:
(a)    Separation from Service.  Payments and benefits constituting Section 409A Deferred Compensation otherwise payable or provided upon the Executive’s termination of employment shall be paid or provided only at the time of a termination of the Executive’s employment that constitutes a Separation from Service. For the purposes of this Agreement, a “Separation from Service” is a separation from service within the meaning of Treasury Regulation Section 1.409A-1(h).
(b)    Six-Month Delay Applicable to Specified Employees.  If, at the time of a Separation from Service of the Executive, the Executive is a “specified employee” within the meaning of Section 409A(a)(2)(B)(i) (a “Specified Employee”), then any payments and benefits constituting Section 409A Deferred Compensation to be paid or provided upon the Separation from Service of the Executive shall be paid or provided commencing on the later of (i) the date that is six months after the date of such Separation from Service or, if earlier, the date of death of the Executive (in either case, the “Delayed Payment Date”), or (ii) the date or dates on which such Section 409A Deferred Compensation would otherwise be paid or provided. All such amounts that would, but for this Section, become payable prior to the Delayed Payment Date shall be accumulated and paid on the Delayed Payment Date.
(c)    Installments.  Executive’s right to receive any installment payments payable hereunder shall be treated as a right to receive a series of separate payments and, accordingly, each such installment payment shall at all times be considered a separate and distinct payment for purposes of Section 409A.
(d)    Reimbursements.  To the extent that any reimbursements or in-kind benefits payable to Executive pursuant to this Agreement are subject to the provisions of Section 409A of the Code, such reimbursements shall be paid to Executive no later than December 31 of the year following the year in which the cost was incurred; the amount of expenses reimbursed in one year shall not affect the amount eligible for reimbursement in any subsequent year; and Executive’s right to reimbursement under this Agreement will not be subject to liquidation or exchange for another benefit.
(e)    Any payments subject to Section 409A that are subject to execution of a waiver and release which may be executed and/or revoked in a calendar year following the calendar year in which the payment event (such as termination of employment) occurs shall commence payment only in the calendar year in which the consideration period or, if applicable, release revocation period ends, as necessary to comply with Section 409A
17.    Waiver.  No waiver by the Parties of any breach by a Party hereto of any condition or provision of this Agreement to be performed by such Party shall be deemed a waiver of any similar or dissimilar provision or condition at the same or any prior or subsequent time, nor shall the failure of or delay by a Party in exercising any right, power, or privilege hereunder operate as a waiver thereof to preclude any other or further exercise thereof or the exercise of any other such right, power or privilege.
18.    Survival.  Notwithstanding anything to the contrary in this Agreement, Sections 2, 3, 4, 5, 6(b), 8 and 10 through 26 will survive the termination of Executive’s employment and the termination or expiration of the Term, as shall all other Sections herein that by their nature contemplate survival beyond the termination of Executive’s employment with the Company.
19.    Notice.  Any notice, demand, request or other communication which Executive or Company may be required to give the other Party hereunder shall be in writing, shall be effective and deemed received the following business day when sent by overnight mail, upon transmission if sent by e-mail, or the third 
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business day after deposited in first class United States mail, postage prepaid. The current contact information for each Party is:
									
		For Company:
	
		S&A Holdings (2013), LLC	
		c/o Beacon Street Services - LEGAL	
		1125 N. Charles Street	
		Baltimore, Maryland 21210	
		Attn: Gary Anderson, Esq. - General Counsel	
		Email: ganderson@beaconstreetservices.com
	
			
		For Executive:	
		Mark Arnold	
		200 Garrison Forrest Road 	
		Owings Mills, Marylnad 21117	
		Email: mamold@stansberryresearch.com
	

20.    Headings.  The headings used in this Agreement are solely for convenience of reference and shall not affect its interpretation.
21.    Construction.  The Parties agree that any rule of construction to the effect that ambiguities are to be resolved against the drafting Party shall not apply in the interpretation of this Agreement.
22.    Counterparts.  This Agreement may be executed in one or more counterparts, each of which shall be deemed to be an original and all of which together shall constitute one instrument.
23.    Prevailing Party.  In the event any dispute arises out of or relating to this Agreement, whether in law or equity, the prevailing Party shall be entitled to recover, in addition to the relief awarded, its reasonable attorneys’ fees, paralegals’ fees and costs, at all levels whether pursuant to an arbitration proceeding, at trial, on appeal, or in bankruptcy.
24.    Specific Performance.  The Parties agree that irreparable damage would occur if any provision of this Agreement were not performed in accordance with the terms hereof and that the Parties shall be entitled to specific performance of the terms hereof, in addition to any other remedy to which they are entitled at law or in equity.
25.    Further Assurances.  If any further action is necessary or desirable to carry out the purposes of this Agreement, each Party agrees to take such further action (including the execution and delivery of such further instruments and documents) as the other Party may request, all at the sole cost and expense of the requesting Party.
26.    Signature.  A signed copy transmitted via e-mail or an electronic signature is presumed authentic and will be accepted as an original unless shown to be invalid by the other Party. This Agreement may be executed in two or more counterparts, each of which counterpart shall be deemed to be an original, and all such counterparts shall constitute one and the same instrument.
[REMAINDER OF THIS PAGE INTENTIONALLY LEFT BLANK]
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IN WITNESS WHEREOF, the Parties have duly executed this Agreement as of the Effective Date.
												
	THE COMPANY:	
				
	S & A Holdings (2013), LLC	
				
	By:	/s/ Myles Norin	
		Name:	Myles Norin	
				
	EXECUTIVE:	
				
	/s/ Mark Arnold	
	Mark Arnold	

EXHIBIT A
FORM OF RELEASE
THIS RELEASE (this “Release”) is dated ______________, 20__, by Mark Arnold (“Employee”) in favor of the Releasees (as defined below).
WHEREAS, pursuant to the Employment Agreement (the “Employment Agreement”), by and between Employee and S&A Holdings (2013), LLC (the “Company”), dated December 1, 2019, the Company has agreed to pay Employee the consideration described in the Employment Agreement (the “Severance”), subject to the terms and conditions described in the Employment Agreement.
WHEREAS, pursuant to the Employment Agreement, Employee is required to execute and not revoke this Release as provided in the Employment Agreement in order to receive the Severance.
NOW, THEREFORE, in consideration of the premises and other good and valuable consideration, the sufficiency and receipt of which are hereby acknowledged, Employee agrees as follows:
1.    Release in Full of All Claims.  In exchange for the Severance and other good and valuable consideration as provided in accordance with the terms of the Employment Agreement, Employee, for himself, his agents, attorneys, heirs, administrators, executors, assigns, and other representatives, and anyone acting or claiming on his or their joint or several behalf, hereby releases, waives, and forever discharges the Company, including its past or present employees, officers, directors, managers, trustees, board members, stockholders, agents, affiliates, parent entity(ies), subsidiaries, successors, assigns, and other representatives, and anyone acting on their joint or several behalf (the “Releasees”), from any and all known and unknown claims, causes of action, demands, damages, costs, expenses, liabilities, or other losses arising on or prior to the date Employee signs this Release, including, but not limited to, those that in any way arise from, grow out of, or are related to Employee’s employment with the Company or any of its affiliates and subsidiaries or the termination thereof. By way of example only and without limiting the immediately preceding sentence, Employee agrees that he is releasing, waiving, and discharging any and all claims against the Company and the Releasees under (a) any federal, state, or local employment law or statute, including, but not limited to, Title VII of the Civil Rights Act(s) of 1964 and 1991, Section 1981 of the Civil Rights Act of 1870, the Employee Retirement Income Security Act, the Americans with Disabilities Act (the “ADA”), the Age Discrimination in Employment Act (the “ADEA”), the Family and Medical Leave Act (the “FMLA”), the Worker Adjustment and Retraining Notification Act(“WARN”), the Uniformed Services Employment and Reemployment Rights Act (the “USERRA”), applicable state civil rights law(s), or (b) any federal, state or municipal law, statute, ordinance or common law doctrine regarding (i) the existence or breach of oral or written contracts of employment, (ii) negligent or intentional misrepresentations, (iii) promissory estoppel, (iv) interference with contract or employment, (v) defamation or damage to business or personal reputation, (vi) assault and battery, (vii) negligent or intentional infliction of emotional distress, (viii) unlawful discharge in violation of public policy, (ix) discrimination, (x) retaliation, (xi) wrongful discharge, (xii) harassment, (xiii) whistleblowing, (xiv) breach of implied covenant of good faith, or (xv) claims under any of the Releasees’ policies or practices.
Notwithstanding the foregoing, Employee does not: (A) give up his right to any benefits to which he is entitled under any retirement plan of the Company that is intended to be qualified under Section 40l(a) of the Code, (B) give up his rights, if any, under Part 6 of Subtitle B of Title I of the Employee Retirement Income Security Act of 1974, as amended (“COBRA”), (C) give up his rights to any monetary award from a government-administered whistleblower award program, such as that offered by the 
A-1

Securities and Exchange Commission pursuant to Section 21F of the Securities Exchange Act of 1934, (D) give up his rights to enforce the terms of the Employment Agreement and this Release, (E) give up his rights to any claims in respect of his equity interests in the Company and/or (F) release any claims to challenge the validity of this release under the ADEA or any claims that Employee cannot waive by operation of law. Nothing contained herein shall be construed to prohibit Employee from filing a charge with or participating in any investigation by the Equal Employment Opportunity Commission (the “EEOC”) or any other governmental or administrative agency or participating in investigations by that entity or any other governmental or administrative agency. However, Employee acknowledges that the release he executes herein waives his right to seek or accept individual remedies or monetary damages in any such action or lawsuit arising from such charges or investigations, including, but not limited to, back pay, front pay, or reinstatement. Employee further agrees that if any person, organization, or other entity should bring a claim against the Releasees involving any matter covered by this Release, Employee will not accept any personal relief in any such action, including damages, attorneys’ fees, costs, and all other legal or equitable relief.
2.    Assistance to Others.  Employee agrees not to assist or cooperate, in any way, directly or indirectly, with any person, entity or group (other than the EEOC or other governmental or administrative agency) involved in any proceeding, inquiry or investigation of any kind or nature against or involving the Company or any of the Releasees, except as required by law, subpoena or other compulsory process.
Moreover, Employee agrees that to the extent he is compelled to cooperate with such third parties, he shall disclose to the Company in advance that he intends to cooperate and shall disclose the manner in which he intends to cooperate. Further, Employee agrees that within three (3) days after such cooperation, he will meet with representatives of the Company and disclose the information that he provided to the third party. This Section is to be broadly construed and is to include conversations, informal comments, confirmations, suggestions or advice of any type to third parties, their counsel or their advisors. Further, if Employee is legally required to appear or participate in any proceeding that involves or is brought against the Company or the Releasees, Employee agrees to disclose to the Company in advance what he plans to say or produce and otherwise cooperate fully with the Company or the Releasees; however, nothing in this Release is intended to require Employee to notify the Company in advance of any communication with or disclose what he plans to say to the EEOC, the Securities and Exchange Commission (SEC) or any other governmental or administrative agency.
3.    No Admission of Wrongful Conduct.  Employee hereby acknowledges and agrees that, by the Company providing the consideration described above and entering into this Release, the Company, including its past or present employees, officers, managers, directors, trustees, board members, stockholders, agents, affiliates, subsidiaries, parent corporations, successors, assigns, or other representatives, and the Releasees are not admitting any unlawful or otherwise wrongful conduct or liability to Employee or his heirs, executors, administrators, assigns, agents, or other representatives.
Employee and the Company further understand and agree that the Employment Agreement and this Release shall not be admissible as evidence in any court or administrative proceeding, except that either party may submit the Employment Agreement and this Release to any appropriate forum in the event of an alleged breach of the Employment Agreement and this Release or a claim by either party concerning the enforceability or interpretation of the Employment Agreement and this Release.
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4.    Arbitration and Damages in Case of Breach.  Any and all disputes arising out of or in any way relating to this Release shall be submitted to binding arbitration before a panel mutually agreed to by the parties and conducted in accordance with the Rules of the American Arbitration Association.
Any breach of this Release by Employee or the Company shall entitle the other party to recover (a) any and all amounts paid pursuant to this Release, plus (b) any actual damages that the Company or Employee can establish resulted or will result from such breach, upon a showing to a binding arbitration panel mutually agreed to by the parties and conducted in accordance with the Rules of the American Arbitration Association. The costs of any such proceeding, including reasonable attorneys’ fees, shall be paid by the non-prevailing party. This Section shall not apply to any claim filed by Employee with the EEOC, SEC or other governmental or administrative agencies, including an action concerning the enforceability of this Release.
5.    ADEA/OWBPA Waiver & Acknowledgment.  Employee understands that the release set forth herein includes a release of any claims he may have under the Age Discrimination in Employment Act, 29 U.S.C. § 621 et seq., against any of the Releasees that may have existed on or prior to the date upon which Employee executes this Release. Employee understands that the ADEA is a federal statute that prohibits discrimination on the basis of age. Employee wishes to waive any and all claims under the ADEA that Employee may have against any of the Releasees as of the date upon which Employee executes this Release, and hereby waives such claims. Employee understands that any claims under the ADEA that may arise after the date this Release is executed by Employee are not waived. Employee acknowledges that he is receiving consideration for the waiver of any and all claims under the ADEA to which he is not already entitled.
Employee, pursuant to and in compliance with the rights afforded him under the Older Workers Benefit Protection Act: (a) is advised to consult with an attorney before executing this Release; (b) has, at his option, at least twenty-one (21) days to consider this Release; (c) may revoke this Release at any time within the seven (7) day period following his execution of this Release (the “Revocation Period”); (d) is advised that this Release shall not become effective or enforceable until the Revocation Period has expired; and (e) is advised that he is not waiving claims that may arise after the date on which he executes this Release.
Employee may revoke this Release by delivering a written notice of revocation to [name of contact], [contact title] at [contact address] or by email at [contact email address]. For this revocation to be effective, such written notice must be received by such person, at the address set forth above no later than the close of business on the seventh (7th) day after Employee signs this Release. If this Release is not revoked within the Revocation Period, this Release will become effective and enforceable on the date immediately following the last day of the Revocation Period (the “Effective Date”). Employee understands and acknowledges that if he revokes this Release within the Revocation Period, Employee will not receive any Severance and will be required to repay any Severance previously paid.
6.    Governing Law.  This Release shall in all respects be interpreted, construed and governed by and in accordance with the internal substantive laws of the State of Maryland.
7.    Severability.  Should any provision of this Release be declared or be determined by any court to be invalid, the validity of the remaining parts, terms or provisions shall not be affected thereby, and said invalid part, term or provision shall be deemed not to be part of this Release. The waiver of a breach of any of the provisions of this Release shall not operate or be construed as a waiver of any other provision of this Release or a waiver or any subsequent breach of the same provision. Notwithstanding the foregoing, if this Release is invalidated, the Employment Agreement is nullified in its entirety and the Company shall have no obligation under the Employment Agreement.
A-3

8.    Voluntary Execution.  Employee acknowledges that he is executing this Release voluntarily and of his own free will and that he fully understands and intends to be bound by the terms of this Release. Further, Employee acknowledges that he has received a copy of this Release on _____ __, 20__ and has had an opportunity to carefully review this Release with his attorney prior to executing it or warrants that he chooses not to have his attorney review this Release prior to signing. Employee will be responsible for any attorneys’ fees incurred in connection with the review of this Release by his attorneys. This Release may be executed in counterparts and by signatures transmitted by fax or email. Employee acknowledges that this Release may not be executed prior Employee’s last day of employment, and if Employee executes the Release prior to his last day of employment, it is null and void. The offer to enter into this Release shall remain open for twenty-one (21) days following Employee’s last day of employment, after which time it shall be deemed withdrawn without further action or notice by the Company. Employee will not receive any Severance if this Release is not executed on or prior to the twenty-first (21st) day following his last day of employment and will be required to repay any Severance previously paid.
9.    No Assignment of Claims.  Employee hereby represents and warrants that he has not previously assigned or purported to assign or transfer to any person or entity any of the claims or causes of action herein released.
10.    Successors and Assigns.  This Release shall bind and inure to the benefit of and be enforceable by Employee, the Company and their respective heirs, executors, personal representatives, successors and assigns, except that neither party may assign any rights or delegate any obligations hereunder without the prior written consent of the other party. Employee hereby consents to the assignment by the Company of all of its rights and obligations hereunder to any successor to the Company by merger or consolidation or purchase of all or substantially all of the Company’s assets, provided such transferee or successor assumes the liabilities of the Company hereunder.
[SIGNATURE ON FOLLOWING PAGE]
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IN WITNESS WHEREOF, Employee has executed and delivered this Release on the date set forth below.
															
	Dated:			
				Name:	Mark Arnold

A-5Document

Exhibit 10.14
Execution Version
Confidential

EMPLOYMENT AGREEMENT
This Employment Agreement (this “Agreement”) is entered into on November 5, 2019 so as to be made effective as of December 2, 2019 (the “Effective  Date”) by and among Beacon Street Services, LLC (“Beacon Street”or the “Company”), a limited liability company doing business under the laws of Delaware, S&A Holdings (2013), LLC, a limited liability company doing business under the laws of  Florida (“Holdings”) and Dale Lynch (“Executive”).  Company, Holdings and Executive are collectively referred to herein as the “Parties” and each individually as a “Party.”
RECITALS
WHEREAS, Company provides support services to various publishing entities organized under Holdings which offer various publications, software, media and information services (hereinafter referred to as the “Products”); and
WHEREAS, Company wishes to employ Executive as its Chief Financial Officer, and Executive has agreed to such employment, on the terms and conditions set forth in this Agreement.
NOW THEREFORE, in consideration of the mutual covenants and agreements of the Parties herein contained and other good and valuable consideration as provided below, the Parties hereby agree as follows:
TERMS
1.    Executive’s Performance and Understanding.
(a)    During the term of the Executive’s employment under this Agreement, Company shall employ the Executive, and the Executive shall serve Company and Holdings, as the Chief Financial Officer of the Company reporting directly to the Chief Executive Officer (“CEO”) of Holdings.
(b)    The Executive shall perform services and duties (“Services”) at the direction of the CEO which Services shall be typically associated with such position and title held by the Executive.
(c)    While Executive is the Company’s employee, Employee agrees to devote his full business  time and attention to the performance of his duties and responsibilities hereunder. Employee’s principal work location shall be at the offices of the Company located in Baltimore, Maryland.
2.    Compensation.  In consideration of Executive’s performance of the Services, the Company shall compensate Executive as follows:
(a)    Salary.  Executive shall initially receive an annualized salary of  $500,000 (the “Base Salary”).  Base Salary payments shall be payable to Executive in accordance with the normal payroll practices and schedule of the Company, less applicable deductions and withholdings. This 

Confidential

Base Salary shall be periodically reviewed by the Board of Managers of Holdings (the “Board”) and adjusted by the Board as the Board deems appropriate in its sole discretion.
(b)    Initial Bonus; Bonus Pool.  (i) Initial Bonus: If Executive delivers a fully executed copy of this Agreement to Company on or before November 8, 2019 and is Continuously Employed by the Company from December 2, 2019 through December 31, 2019, Company will pay Executive a one-time bonus of Fifty Thousand Dollars ($50,000) in one (1) payment, less all required deductions and withholdings (“Initial Bonus”) within thirty (30) days of December 31, 2019; and (ii) Bonus Pool: Beginning with the 2020 Performance Year, Executive will be eligible to participate in the annual executive bonus pool (the “Bonus Pool”), from which annual bonus payments are determined and paid by the Company in its sole discretion, less all required deductions and witholdings.  If Executive has been Continuously  Employed by the  Company through the one-year anniversary of the Effective Date, Company will pay Executive a one-time payment of Two Hundred Thousand Dollars ($200,000), less all required deductions and withholdings within thirty (30) days of the one-year anniversary of the Effective Date, which payment shall set the floor, but not the ceiling, for Executive’s Bonus Pool payment for the 2020 Performance Year.  Executive must be an employee of the Company on the date any Initial Bonus or Bonus Pool payments are made, if any, in order to earn such bonus.
(c)    Holdings Equity Award.  Within ninety (90) days of the Effective Date, Holdings shall grant Executive 5.415 Class B Units, which grant shall become effective on January 1, 2020 (the “Profits Interest”).  The Profits Interest represents approximately 0.5% of the profits interests in Holdings and will be given to Executive pursuant to a grant agreement containing such terms and conditions as Holdings shall deem appropriate in its sole discretion.  Executive acknowledges that such grant is intended to be a profits interest within  the meaning of IRS Revenue Procedures 93-27, 1993-2 C.B. 343, and 2001-43, 2001-2 C.B. 191.
(d)    Definitions.  As used in this Agreement, the following terms shall have the following meanings:
i.    “Affiliate” or “Affiliated” of or with any specified entity or Person means any other entity or Person controlling, controlled by or under common control with such specified entity or Person.  For purposes of this definition, “control” (including the terms “controlling,” “controlled by” and “under common control with”) means the possession, direct or indirect, of the power to direct or cause the direction of the management and policies of any specified entity or Person, whether through the ownership of voting securities, by contract or otherwise, and such “control” will be presumed if any other entity or Person owns a majority or more of the voting capital stock or other ownership interests, directly or indirectly, of such specified entity or Person.
ii.    “Cause” means any of the following:  (i) Executive’s repeated and gross failure to perform his material duties under this Agreement, after written notice of such non performance has been given by Company to Executive with thirty (30) days to cure such non performance; (ii) use of illegal drugs by Executive; (iii) Executive’s commission of a felony, a crime of moral turpitude or a misdemeanor involving fraud or dishonesty (for avoidance of doubt, a single driving while intoxicated (or other similar charge) shall not be considered a felony or crime of moral turpitude); (iv) Executive’s perpetration of any act of fraud or material dishonesty against or affecting the Company or Holdings, any of their Affiliates, or any customer, agent or employee thereof; (v) 
2

Confidential

Executive’s material breach of any fiduciary duty or material breach of this Agreement or any other contractual duty to, written policy of, or written agreement with the Company, which breach is not cured or corrected within 30 days of written notice thereof from the Company or Holdings, except for breaches of Section 4 of this Agreement, which cannot be cured and for which the Company or Holdings need not give any opportunity to cure; (vi) Executives repeated insolent or abusive conduct in the workplace, including but not limited to harassment of others of a racial or sexual nature after notice of such behavior; (vii) Executive knowingly taking any action which is intended to materially harm or disparage the Company or Holdings, their Affiliates, or their reputations, or which would reasonably be expected to lead to unwanted or unfavorable publicity to the Company or Holdings, or any of their Affiliates; or (viii) Executive knowingly engaging in any act of material self-dealing without prior notice to and consent by the Board.  Any act, or failure to act, based upon authority given pursuant to a resolution duly adopted by the Board or based upon the advice of counsel for the Company shall be conclusively presumed to be done, or omitted to be done, by Executive in good faith and in the best interests of the Company.
iii.    “Continuously Employed” means the absence of any interruption or termination of the Services provided by Executive to the Company.
iv.    “Good Reason” means, without Executive’s consent: (i) material breach of this Agreement by either the Company or Holdings: (ii) a requirement that Executive relocate his primary place of employment to a geographic location outside of a seventy-five (75) mile radius from the Company’s location as of the Effective Date unless agreed to by Executive in writing; or (iii) a reduction in Executive’s annual base salary in a percentage greater than concurrent base salary reductions for similarly-situated executives; provided, however, that a resignation will be a resignation for Good Reason only if Executive shall have first provided written notice of the condition constituting Good Reason to the Board no later than sixty (60) days after Executive knew or should have reasonably known given his position with the Company of the existence of the condition and the Company or Holdings shall have failed to cure such condition within thirty (30) days of the Boards receipt of notice.
v.    “Performance Year” means the calendar year during which the Executive’s performance is measured for the purpose of allocating a share of the Bonus Pool to Executive’s annual bonus, as determined by the Company in its sole discretion.
vi.    “Person” means any individual, sole proprietorship, partnership, joint venture, trust, unincorporated association, corporation, limited liability company, entity or governmental entity (whether federal, state, county, city or otherwise and including any instrumentality, division. agency or department thereof), including any group of Affiliated Persons.
(e)    Expenses.  The Company shall reimburse Executive for any reasonable travel and other out-of-pocket expenses incurred by Executive in the performance of his obligations hereunder, including travel, cell phone, dining and entertainment, and similar expenses; provided that such expenses shall have been documented and submitted in accordance with the regular reimbursement procedures and practices of the Company in effect from time to time.  Travel expenses will be reimbursed within thirty (30) days of delivery of an expense report and applicable receipts.
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(f)    Benefits. Executive  shall  be  eligible  to participate  in  all individual  and  group medical, dental,  disability,  life  insurance, accidental death,  savings, retirement and/or 401k plan and all  other fringe  benefits  and executive  perquisites generally provided  to  employees and/or other executives  of the Company  similar  to Executive  on  terms and  based on  any required employee contributions no less favorable to  Executive  than as apply to other  such  employees and similar executives  generally.   Executive is entitled to four  (4)  weeks’ paid  vacation during each calendar  year,  with  the scheduling  of such vacation to be  determined in  accordance with the Company’s  vacation  policies as in effect  from time to time.   If Executive  does not take the full vacation  available in  any year, the unused vacation  may not be carried over to the next calendar year, and Executive will  not be compensated for it.
3.    License Grant.
(a)    Executive hereby grants to Company and its affiliates the right to trade off Executive’s name, reputation, likeness and background in promotional material aimed at marketing the Products to potential and current subscribers, as well as at seminars, conferences and any related events, during the term of this Agreement and for a period of five (5) years following the termination or expiration of this Agreement; provided, however, that in no event does  this  Agreement authorize Company  or  any of  its affiliates to use Executive’s name, reputation, likeness and background in any manner that is negative or detrimental to Executive.
(b)    Executive agrees that all intellectual property, including copyright and  trademark, produced under this Agreement is  considered work  for hire and therefore  is the sole  property of Company and/or its affiliates.
(c)    Executive agrees that all designs, trademarks, discoveries, formulas, processes, techniques, strategies,  trade secrets, inventions, improvements,  copyrightable works.  and/or  the like, including all rights to obtain, register,  perfect  and enforce these proprietary  interests,  that Executive may solely or jointly develop, conceive, or reduce to practice or author, in whole or in part,  during  Executive’s employment or association with Company or  its affiliates that  relate to his employment or association or are aided by the use of time, material,  or facilities of Holdings, Company  or their affiliates, whether or not during normal working hours, (“Inventions”) are the sole  and  exclusive  property of Company and/or its affiliates  and  are  considered works  for  hire under the  U.S. Copyright Act, including. but not  limited  to, as a contribution to a collective work, as a part of a motion picture or other audiovisual  work, as editorial copy, as a translation, as a supplementary work,  as a compilation, as an instructional text, as a test,  as answer material for a test, as an atlas or as any other  applicable  category.  Without compensation, Executive  hereby assigns to  Company his entire right, title,  and interest  in  and  to  the Inventions,  and  agrees to execute  all documents and take all other actions deemed necessary by Company  to protect its rights  in  any such Inventions, including to vest Company or its  designee  with  sole  ownership of all Inventions. Executive represents  and warrants that his development and use of the Inventions will not infringe, misappropriate or otherwise violate any intellectual property rights of any third party (including without  limitation any of Company’s former  employers) or any duty owed by Company to  any third  party  (including without  limitation  any of Company’s  former employers).   To the extent allowed by applicable law, all  rights to Inventions include all rights of paternity,  integrity, disclosure and withdrawal and any other rights that may be known as or referred to as moral rights, artist’s rights, droit moral or the like (collectively, “Moral Rights”). To the extent  Executive retains 
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any such Moral  Rights under applicable  law, he hereby ratifies and consents to any action that may be taken with respect to such Moral Rights by or authorized by Company and agrees not to assert any Moral Rights with respect thereto.  Executive  will confirm any such ratification,  consent  or agreement from time to time as requested by Company. Executive shall return all tangible evidence of such  Inventions, including, but  not  limited  to, any  papers,  lists,  books,  files, and  computer diskettes or CDs, to Company prior to or at the termination of this Agreement or extensions thereof, if any, with or without Company’s request, or upon Company’s written request.
4.    Non-Compete and Confidential Information.
(a)    Unless otherwise agreed to by the Board, Executive hereby agrees and covenants that he will  not (i) write or contribute to the publication of any financial material, or (ii) directly  or indirectly, engage in any business on behalf of himself or any other person,  and  whether as an owner, director, officer, employee,  or consultant, which could  be deemed  competitive with the Products or other products owned by Company or Holdings or any of their Affiliates (hereinafter, “Compete”) while he is an employee  of Company  and for a period of two (2) years following the termination of  such  employment; (the “Non-Compete Term”); provided.  however,   that   if Executive resigns for Good Reason or is terminated  by the Company without Cause, then the Non-Compete Term shall expire  upon such resignation or termination of employment.  Any  financial writing for a financial newsletter and/or Internet-related   financial  product  is  deemed per  se competitive.
(b)    During the Non-Compete Term, Executive also will not, directly or indirectly:
i.    induce or encourage  any  employee or  independent contractor of Holdings, Company or their affiliates to leave or reduce such employment or engagement, whether such employment or engagement is pursuant to a contract or at will, or, on his own behalf or on behalf of any person or entity, employ or engage in any capacity any former employee or  independent contractor of Holdings, Company or their affiliates, unless such former  employee or independent contractor will have ceased to be so employed  or engaged by Holdings, Company or their affiliates for a period of at least one (1) year immediately prior to such employment or engagement; or
ii.    on his own behalf or on behalf of any person or entity, solicit or call upon, or attempt to  solicit or call upon, any  customer of Holdings,  Company or their affiliates  (as of the date of termination of this Agreement), for the purpose of selling or providing any product  or service which is competitive with any of the products owned, sold, managed or  distributed  by Holdings, Company or their affiliates.
(c)    Confidential Information.  Executive acknowledges and agrees that Holdings, Company and any of their Affiliates, in the course of performing their business activities, acquire and develop Confidential Information (as defined below) that provides them with a business advantage and that Executive will be provided with such Confidential Information during his association with Holdings, Company and any of their Affiliates. Executive agrees that he will not, directly or indirectly, at any time during or after  the Term  of this Agreement,  use (whether on his own behalf or on behalf of any other person or entity) or disclose (to  any  person or entity) any Confidential Information, except as may be required by law or necessary in the performance of his duties for  Holdings, Company or any of their Affiliates during the Term.  “Confidential
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Information” means all confidential, proprietary, and non-public information (whether  in written, electronic, or other form) of Holdings. Company or any of their Affiliates or third  parties with whom Holdings, Company  or any  of their  Affiliates do business (including  without limitation investors, sources of investment capital,  and suppliers of Holdings,  Company  or any of their Affiliates),  including without limitation the  following information  of Holdings, Company or any of their Affiliates: trade secrets: business information; track record information; books  and records used to calculate  and present track  record  information;  information regarding the assets and affairs of  Holdings,  Company or any  their Affiliates;  financial information;  operating  methods  or strategies; portfolio holdings and performance;  marketing plans or strategies; competitive  know-how; processes; forecasts; investor lists or  other investor-related information of any kind; subscriber lists or other subscriber-related information of any kind, and any other information of a similar  nature  not  already  in  the  public domain. Confidential  Information also includes any information that  becomes publicly available as a direct or indirect result of Executive’s breach of this Agreement or other obligation to Holdings, Company or any their Affiliates. Notwithstanding anything to the  contrary in  this  Section 4(c), the  provisions in  this  Section  shall not apply  to information  that:  (1) is  in   the  public  domain   at  the time of  disclosure  by Executive  or  is subsequently  made  available to the general  public through no violation  of this Section 4(c)  by Executive; (2) is independently developed by Executive without use of or  reference to  the Confidential  Information; (3) is disclosed with the prior written consent of the Holdings, Company or any of their  Affiliates; or (4)  is required to be disclosed by law or  by regulatory, judicial  or arbitration process.  Executive  will take   all  reasonable and necessary precautions   to  prevent disclosure  of Confidential  Information  to  unauthorized persons  or entities. Executive  further agrees to immediately notify the Holdings, Company or any of their Affiliates if he becomes aware that Confidential Information has been improperly used or disclosed.  In the event  Executive is requested  or required (by oral questions, interrogatories, requests for Confidential  Information or documents  in a court or administrative proceeding, subpoena, civil investigative demand or other similar process) to disclose any Confidential Information, Executive will, to the extent permitted under  applicable  law. (i) immediately (and prior to such disclosure) notify the  Company  by providing notice  to the Company cooperate with Company (at Company’s  sole expense) in any efforts  by  them to oppose such disclosure,  and (ii)  will  disclose   only that portion of the Confidential Information that is legally required to be disclosed and exercise reasonable efforts to ensure that such  Confidential  Information  will  be afforded confidential  treatment.  Executive acknowledges and agrees that Executive has not, and will not, acquire any right, title or interest in or to any of the Confidential  Information.
Under the Defend Trade Secrets Act  of 2016, the Company hereby provides notice and Executive hereby acknowledges that Executive may not be held criminally  or civilly liable under any federal or state trade secret  law for the disclosure of a trade  secret  that (i) is made (A)  in  confidence  to a federal, state, or local government official, either  directly or indirectly, or to an attorney and (B) is solely for the purpose  of reporting or investigating  a suspected violation of law; or (ii)  is made in a complaint or other  document filed in a lawsuit or other  proceeding,  if such filing  is made under seal.
5.    Warrants, Covenants, Indemnity and Forfeiture.
(a)    Executive hereby warrants and covenants that  any editorial or promotional work produced under this Agreement by him shall not knowingly violate  or infringe any copyright(s) 
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and shall not knowingly contain anything libelous or otherwise contrary to the law. Executive also covenants and agrees to undertake best efforts to comply with any and all internal securities trading (such Securities and Cryptocurrencies Trading Policy attached hereto as Exhibit A to  be executed by Executive concurrently with  this  Agreement), customer relations (such  Customer  Relations Policy  attached hereto as Exhibit B to  be  executed by Executive concurrently with this Agreement), information barrier, and similar policies of the Company.
(b)    Each of the Parties shall each have the right to take legal action against an unrelated third party in the event of any infringement or violation of the rights of the Party and each shall be solely responsible for its expenses in  such suit.  However, the Company agrees to provide  a legal defense (including  the payment of legal fees and  any court ordered damages that are assessed against   Executive)  for   legal   claims   asserted  against  Executive   arising  out   of   Executive’s employment with Company, unless such actions are in  violation   of this Agreement,  applicable policies of the Company or Holdings, or applicable law.
(c)    Executive shall indemnify and hold  harmless  Holdings, Company   and  their Affiliates for any losses resulting from a willful and intentional breach in bad faith of the warranties and covenants by Executive in Sections 3, 4 and 5, including reasonable attorney’s costs, suffered by Holdings, Company and/or their Affiliates.  The Parties agree that the foregoing representations, covenants and indemnity by Executive shall not extend to any editorial, marketing or promotional  materials  Holdings or Company provides  to Executive so  long as Executive’s presentation of such  material  is  consistent with the warranties and covenant described in Section 5(a) above.
(d)    Executive  represents and warrants to the Company that: (i) Executive has the  full power and authority to enter into this Agreement and to incur and perform Executive’s obligations hereunder; and (ii) the execution, delivery  and performance by Executive of this Agreement does not conflict with  or result in  a breach  or violation  of or constitute a default  under (whether immediately, upon the giving of notice or lapse of time or both) any agreement or instrument to which Executive is a party or by which Executive may be bound or affected.
(e)    The Company represents and warrants to Executive that:  (i) it is  duly organized, validly existing and in good standing under the laws  of the State of Maryland, with the  requisite power and authority to own and use its properties and assets and to carry on its business as currently conducted;  (ii)  it  is  duly qualified  to conduct business and  is  in   good standing as  a  foreign corporation or other entity in each jurisdiction in which  the nature of the business  conducted or property  owned  by it makes qualification necessary;  (iii) it  has full  power and  authority to enter   into  this Agreement  and  to  incur and perform   its  obligations  hereunder;   and  (iv)  the execution,  delivery and performance  by the Company of this Agreement does not conflict with or result in a breach or violation of or constitute a default under (whether  immediately,  upon the giving of  notice  or lapse  of time or both) the  articles  of organization,  bylaws,  or operating agreement of the  Company, or any agreement or instrument to which the  Company  is a party  or by which the Company or any of its properties may be bound or affected.
(f)    Holdings represents and warrants to Executive that:  (i) it is duly organized, validly existing and in good standing  under the  laws of the State of Florida, with the requisite power and authority to  own and  use its properties and  assets  and to  carry  on  its  business  as currently 
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conducted; (ii)  it is  duly  qualified  to  conduct  business and  is  in  good  standing  as a  foreign corporation or other entity  in each jurisdiction  in which the nature of the business  conducted or property owned by it makes such  qualification   necessary; (iii)  it has full  power and authority to enter into this  Agreement and to  incur and perform its  obligations  hereunder; and (iv) the execution, delivery and performance by Holdings of this Agreement does not conflict with or result in a breach or violation of or constitute a default under (whether immediately, upon the giving of notice or lapse of time or both) the articles of organization,  bylaws, or operating agreement of Holdings, or any agreement or instrument to which  Holdings is a party  or by which Holdings or any of its properties  may be bound or affected.
6.    Term and Termination.
(a)    Term.  Unless terminated earlier pursuant to the terms of this Agreement, Executive’s employment hereunder shall  be effective as of the Effective Date, shall continue for ten (10) years  after  the  Effective Date  (the “Initial Term”), and shall  automatically  renew  for additional  one (1) year renewal  periods (each, a “Renewal Term,” and together with the Initial Term, the “Term”); provided, however, at any time within one hundred eighty (180) days prior to the expiration of the Initial Term or any subsequent Renewal Term. any Party may (1) request the other to negotiate the terms of a renewal of this Agreement or (2) elect not to renew the Agreement by providing written notice to the other Parties. Notwithstanding the foregoing. none of the Parties shall be obligated to renew this Agreement beyond the Initial Term or any  subsequent Renewal Term, as applicable.
(b)    Termination.  Any Party may terminate Executive’s employment at any time in accordance with the applicable provisions herein, provided that: (i) the Company  shall  provide  Executive sixty (60) days prior written  notice in the event the Company terminates  Executive without Cause; or (ii) Executive shall provide the Company  with ninety  (90) days  prior  written notice before terminating  his employment,in which case, for the avoidance of doubt, the Company may relieve Executive of some or all of his duties (which shall not trigger Good Reason) during such 90-day notice period provided that the Company pays Executive  his salary, bonuses, benefits and any compensation due to Executive for the portion  of the notice period that is waived. Upon termination of Executive’s employment, for any reason, he shall receive any unpaid  Base  Salary through the date of termination and reimbursement for  any expenses incurred  through the date of termination pursuant  to Section 2(f) along with any benefits  through such date.
i.    If during the applicable Performance Year, Company terminates the Executives employment for any reason other than for Cause (including due to Executive’s disability) or Executive dies, then Executive shall receive a prorated  bonus, as applicable, based on the  date of termination or death occurring  in the applicable Performance Year.  If during the applicable Performance Year. Executive resigns without Good Reason or Company terminates the Executive’s employment for Cause, then Executive  shall not receive and Executive  shall not be entitled to any  bonus, nor any portion thereof.
ii.    Any Profits Interests rights granted to Executive by Holdings that are unvested as of the date on which Executive’s employment terminates shall automatically be forfeited and Executive shall have no further rights with respect to such award.
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iii.    Executive acknowledges and agrees  in  the  event  that   Executive  breaches Section 4 of this Agreement,  such breach shall constitute  grounds for  termination of Executive's employment for Cause.  If Executive  breaches Section 4 and such breach either (1)  results  in the termination of Executive’s employment with the Company or (2) occurs following the termination of Executive’s employment with the Company. then  the following shall occur: all compensation and benefits otherwise  payable pursuant to this Agreement and the vesting and/or exercisability of applicable  bonuses, Profits Interests,  and  other forms of compensation  previously awarded to Executive,  shall immediately  cease; and any and all Profits Interests in  described  herein shall be immediately forfeited by Executive.
iv.    In  the event that  before  the third anniversary of the Effective  Date (a) the Company terminates the Executive's employment for any reason other than termination for Cause, (b) there  is a Change in Control  of the Company  that  results  in the Involuntary Separation from Employment of the Executive by the Company or its successor,  or (c) Executive resigns for Good Reason, then the Executive shall have the following rights and benefits subject to Executive’s execution, delivery and non-revocation of a general  release of claims in a form approved by the Company: (1) Executive shall be entitled to any unpaid salary, bonuses, benefits and any compensation due to Executive through  the date of termination of employment and reimbursement for any expenses incurred before such date pursuant to Section2(f); and (2) Executive shall receive one (1) year of Base Salary less applicable deductions and withholdings which shall be paid pursuant to the terms of the Company’s regular payroll schedule, and the extension of Executive’s benefits (excluding vacation time and paid time  off)  for a period of one (1) year following the date of termination.  For the purpose of this Section 6(b)(iv), the following definitions shall apply:
A.    “Involuntary Separation from Employment” shall be defined as either: (i) termination without Cause; or (ii) a reduction in Executive’s title, responsibilities or authority (unless agreed to  in advance by Executive in writing) resulting from duplication of the Executive’s position by another equivalent executive employed by the Company.
B.    “Change  in Control” shall be defined as (i) the sale of all  or substantially all of the assets   Holdings: (ii) any  merger or acquisition of Holdings with, by or into another corporation,  or (iii) any change of ownership of more than fifty percent (50%) the equity interests in Holdings in one or more related transactions. Notwithstanding the foregoing, for purposes of this Section, the following shall not be considered a Change in Control:  (x) the completion of a public offering of the equity interests  of Holdings or  any  change  in the composition of the Board or the Board of Directors of Holdings within one (1) year  following such public offering:  or (y) the merger  of Holdings with, by or into another corporation or a sale of fifty percent (50%) or more of the equity  interests in Holdings   in one or more related transactions  where the ability to elect the Board of Directors  of Holdings or determine the strategic direction of Holdings is retained by the current equity holders of Holdings or a portion thereof.
7.    Assignment of Agreement.  Executive’s services and functions are considered unique. This Agreement  or  any rights or obligations  herein may not be assigned or otherwise transferred by 
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Executive to any other party  without  the prior written  consent of Company and Holdings, which consent shall not be unreasonably withheld.
8.    Indemnification; Insurance.  During Executive’s employment and thereafter, the Company shall indemnify and hold Executive harmless against any costs or expenses (including attorneys’ fees), judgments, fines, penalties, losses, claims, damages or liabilities  incurred  in connection with any claim, action, suit,  proceeding or  investigation,  whether civil,  criminal,  administrative  or investigative,  by reason of the fact that  Executive   is or was a Board member,  manager,  director, officer, employee or agent of the Company or any Affiliate, whether asserted or claimed prior to, at or after the date of Executives termination of employment, to the fullest extent permitted under applicable law and on a basis  no less  favorable than  what is provided to any other continuing officer or director of the Company; provided, however, that Executive acted in good faith and in a manner Executive reasonably believed to be in or not opposed to the best interests of the Company; or was acting in good  faith  reliance  upon the  records of the Company, including its financial statements, or upon information, opinions,  reports or statements furnished  to  Executive  by  the Board, officers or employees of the Company, or Holdings, or any of their Affiliates in the course of their duties,  or by committees of the  Board, or by any other person (including legal counsel, accountants and financial advisors) who has been selected with reasonable  care by or on behalf of the Company  or Holdings  or  any of their Affiliates; or in the case  of a criminal proceeding  or claim, had no reasonable cause to believe Executive’s conduct was unlawful.  During Executive’s employment and thereafter, Company shall provide Executive with  coverage under a policy of directors’ and officers’ liability insurance that provides Executive with coverage on the same basis as is provided  for the Company’s continuing officers and directors from  time  to time, in the event Company decides to obtain such coverage.
9.    Integration, Amendments and Modifications.  This Agreement sets forth the entire agreement among the  Parties hereto with respect  to the subject matter herein and supersedes all prior and contemporaneous understandings,  agreements  representations  and  warranties, both written and oral, with respect to such subject matter.  The Parties mutually agree that the  Agreement can be specifically  enforced in court and can be cited as evidence  in legal proceedings  alleging breach of the Agreement.  This Agreement may not be amended or modified except by a writing duly executed  by the Parties hereto.
10.    Confidentiality.  The Parties agree that this Agreement is confidential and, except as otherwise required  by law or court order, no party shall disclose the terms herein to anyone, including any employee of Company or Holdings. Notwithstanding  the foregoing, Company may disclose the terms of this Agreement to senior management of Company and Holdings. Executive may disclose this contract to his immediate family member  and  his  legal  and  financial representatives provided such disclosures are  protected by professional codes of conduct or signed confidentiality agreements.
11.    Severability; Provisions Subject to Applicable Law.  All provisions of this Agreement shall be applicable only to the extent that they do not violate  any applicable law.  If any provision of this Agreement is found invalid or unenforceable pursuant to judicial decree, such provision will be enforced  to the maximum extent permissible and the remainder of the Agreement  will remain in full force and effect according to its terms.
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12.    Arbitration.  The Parties agree that  any dispute arising from or relating to this Agreement, or the breach thereof,  shall  be submitted  to  the American  Arbitration Association (“AAA”)  for binding arbitration to take place in Baltimore, Maryland before a single arbitrator under the rules of the AAA Employment  Arbitration Rules and Mediation Procedures,  and the  decision of the arbitrator shall be final and binding upon the Parties.   Notwithstanding the foregoing,  in the event of any Party’s breach  of any of the covenants set forth in Sections 3, 4, 5 or 8, a Party shall have the right to obtain injunctive relief from any federal or state  court of competent jurisdiction located within Baltimore County, Maryland  and will not be required to arbitrate any claim for the breach of such  Sections.  Accordingly. except as provided in the  prior sentence, the Parties  will not be permitted to pursue  court action  regarding claims that are subject  to arbitration.
13.    Governing Law; Venue.  This Agreement  and the rights  and obligations of the Parties hereto shall  be governed, construed, interpreted and enforced in accordance with the  laws of the State of Maryland, without giving effect to the principles of conflict of laws.  The Parties hereto hereby irrevocably submit to the exclusive jurisdiction of the federal or state courts located within Baltimore County, Maryland in the event that (1) a Party seeks injunctive relief with respect to a breach of any of the covenants set forth in Sections 3, 4, 5 or 8 or (2) a Party seeks to enforce an arbitration award. In the event of a breach of the covenants set forth in Sections 3, 4, 5 or 8, the Parties agree that, in  addition to any other remedies available at law or equity, a Party may file litigation against  another Party seeking specific performance  and temporary and/or preliminary injunctive relief, enjoining or restraining such breach, and the Parties consent to the issuance of such injunctive relief without bond. The Parties agree that if a Party initiates litigation seeking to enforce an arbitration award, the Party initiating such litigation shall be entitled to recover from the  other  Party  reasonable  attorney’s fees and costs  incurred  in  such  litigation,  including  all reasonable and necessary attorneys fees and costs arising from a successful appeal. The Parties consent  to  the  personal  jurisdiction  of  such  courts and thereby waive:  (a) any  objection  to jurisdiction  or venue; or (b) any defense claiming lack of jurisdiction or  improper venue, in any action brought in such courts.
14.    Section 409A.
(a)    The intent of the  parties is that payments and benefits under this Agreement comply with or be exempt from Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”)  and the regulations and guidance  promulgated thereunder  (collectively “Section 409A”) and the Company shall have complete discretion to interpret and construe this Agreement and any associated documents  in any manner that establishes an exemption from (or compliance with) the requirements of Section 409A.  If for any reason, such as imprecision in drafting. any provision of this Agreement (or of any award of  compensation, including, without limitation,  equity compensation or benefits) does not accurately reflect  its intended  establishment of an exemption  from (or compliance with) Section 409A, as demonstrated by  consistent interpretations or other evidence of intent, such  provision shall be considered  ambiguous as  to its exemption from (or compliance  with)  Section 409A and shall be  interpreted  by the Company in a manner  consistent with such intent, as determined in the discretion of the Company.
(b)    A termination of employment shall not be deemed to have occurred for purposes of any  provision  of this Agreement providing for the  payment  of any amounts or benefits  that  are considered nonqualified deferred compensation under Section 409A upon or following a 
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termination of employment unless such termination is also a “separation from service” within the meaning of Section 409A, and, for purposes of any such  provision of this Agreement,  references to a “termination,” “termination of employment” or like terms shall mean “such a separation from service.”  The determination  of whether and when a separation  from service has occurred for proposes of this Agreement shall be made in accordance with the presumptions set forth in Section 1.409A-1(h) of the  Treasury Regulations.
(c)    For purposes of  Section  409A, Executive’s right to receive any installment payments shall be treated as a right  to receive a series of separate and distinct payments. Whenever a payment under this Agreement specifies a payment period with reference to a number of  days (for example, “payment shall be made within thirty (30) days following the date of termination”), the actual date of payment within  the specified period  shall be within  sole discretion of the Company.  In no event may the Executive, directly or  indirectly, designate the calendar year of any payment to be made under this Agreement, to the extent such payment is subject to Section 409A.
(d)    If Executive is a “specified employee” (as that  term used in Section 409A) on the date the separation from service becomes effective and the  payment of the amounts under this Agreement  payable    upon  a   separation compensation,  the payment of which would  result in additional taxes or penalties  under Section 409A, then such payments  shall be delayed until the first business day following the six (6)-month anniversary of the date the separation from service becomes effective,  but only to the extent necessary  to avoid such additional taxes or  penalties under  Section 409A. On  the first  business day following the six (6) month anniversary of the date the  separation from service  becomes effective, the Company shall pay Executive in a lump sum the aggregate value of the nonqualified deferred compensation  that the  Company otherwise would have  paid prior to that  date  under this Agreement.
(e)    The provisions of this Agreement are intended to be exempt from or otherwise comply with Section 409A and will be operated and administered in accordance with such intent.
15.    Waiver.  No waiver by the  Parties of any breach by a Party hereto of any condition  or provision of this Agreement to be performed by such Party shall be deemed a waiver of any similar  or dissimilar provision or condition at the same  or any prior or subsequent time, nor shall the failure of or delay by a Party in exercising any right, power,  or privilege hereunder  operate  as a waiver thereof to  preclude  any other  or  further  exercise thereof or the exercise  of any  other such right, power or privilege.
16.    Survival.  Notwithstanding anything to the contrary  in this  Agreement,  Sections 2, 3, 4, 5, 6(b), 8 and 10 through 24 will survive the termination of Executive’s employment and the termination or expiration of the Term, as shall all other Sections herein that by their nature contemplate survival beyond the termination of Executive’s  employment with the Company.
17.    Notice.  Any  notice, demand,  request or other communication which Executive or Company may be required to give the other Party hereunder  shall be in writing, shall be effective and deemed received  the following business day when  sent by overnight mail, upon transmission 
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if sent by e-mail, or the third business day after deposited in first class United States mail, postage prepaid.  The current contact information  for each Party is:
For Company:
Mark Arnold
Chief Executive Officer
1125 N. Charles Street
Baltimore, MD, 21201 
Email: marnold@stansberryholdings.com
With a copy to:
Gary Anderson
General Counsel
1125 N. Charles Street
Email: ganderson@beaconstreetsenrices.com
For Executive:
Dale Lynch
9648 Maymont Drove
Vienna. Virginia 22182
Email: rdlynch1764@gmail.com
18.    Headings.  The headings used in this Agreement are solely for convenience of reference and shall not affect its interpretation.
19.    Construction.  The Parties agree that any rule of construction to the effect that ambiguities are to be resolved against   drafting Party shall not apply in the interpretation of this Agreement.
20.    Counterparts.  This Agreement may be executed in one or more counterparts, each of which shall be deemed to be an original and all of which together shall constitute  one  instrument.
21.    Prevailing Party. In the event any  dispute arises  out of or  relating to  this Agreement, whether in law or equity,the prevailing Party shall be entitled  to recover,  in addition  to the relief awarded, its reasonable  attorneys fees, paralegals’ fees and costs, at all levels  whether pursuant to an arbitration proceeding, at trial, on appeal, or in bankruptcy.
22.    Specific Performance.  The  Parties  agree  that   irreparable  damage   would  occur   if any provision of this Agreement  were  not performed  in  accordance  with the terms hereof and that the Parties shall be entitled to specific performance of the terms hereof, in addition to any other  remedy to which they are entitled  at law or in equity.
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23.    Further Assurances.  If any further action is necessary or desirable to carry out the purposes of this Agreement, each Party agrees to take such further action (including the execution and delivery of such further instruments and documents) as the other Party may request, all at the sole cost and expense of the requesting Party.
24.    Signature.  A signed copy transmitted via e-mail or an electronic signature is  presumed authentic and will be accepted as an original unless shown to be invalid by the other Party. This Agreement may be executed in two or more counterparts, each of which counterpart shall be deemed to be an original, and all such counterparts shall constitute one and the same instrument.
[SIGNATURES ON FOLLOWING PAGE]
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IN WITNESS  WHEREOF,   the Parties have duly executed  this Agreement  so as to be made effective as of the Effective Date.
															
	Beacon Street Services, LLC	
					
					
	By:	/s/ Mark Arnold	
					
		Name:	Mark Arnold	
					
		Its:	Authorized Agent	
					
					
					
					
	S&A Holdings (2013), LLC	
					
					
	By:	/s/ Mark Arnold	
					
		Name:	Mark Arnold	
					
		Its:	Authorized Agent	
					
					
					
					
					
	/s/ Dale Lynch	
	Dale Lynch	

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EXHIBIT A - SECURITIES AND CRYPTOCURRENCIES TRADING POLICY
This  Securities  and  Cryptocurrencies Trading Policy (the  “Policy”) applies  to  all   employees  and independent contractors of the Company.   For purposes of this Policy, the term “securities” includes all digital assets, cryptocurrencies and “utility tokens,” as well as derivatives (e.g.,  options and futures)  on securities  and cryptocurrencies.
NO PERSONALIZED ADVICE
•    You may not give personalized investment advice to customers of the Company.
•    You may not engage  in  discussions  about securities or cryptocurrencies  with any  individual customer.
•    You  may  address  customer service issues that do  not involve  recommending securities  or cryptocurrencies.
EDITORIAL PROCESS
Special restrictions apply to writers (including editors,  any member of the editorial  team, copywriters, and any other employees  or independent contractors) involved in selecting securities or cryptocurrencies for recommendations  for publication or promotion.  The Policy  for writers and other such individuals is as follows:
•    You may  not  participate in the selection of a security  or cryptocurrency recommendation  for publication in which you have a direct or indirect interest.
•    You may not purchase  a security while  it is an open recommendation for subscribers if you participated in the selection  of that security or cryptocurrency recommendation.
For all employees and independent contractors of the Company who are aware of unpublished security and cryptocurrency recommendations:
•    You may  not take  a benefit of any kind in exchange  for passing on knowledge  of an upcoming,  unpublished  recommendation by the Company to a third party.
PERMISSIBLE & PROHIBITED TRADING
Because the Company and  its affiliates publish  a wide variety of financial  information, it is unrealistic to expect that all employees and  independent contractors ensure  that they are not invested in any  unpublished recommendation to purchase or sell a security. However, to the extent that such information is known by you, you are expected to abide by the following restrictions:
•    You must wait a full 24 hours after a published securities or cryptocurrency recommendation is posted  by  Company on the  Internet before trading based on the  security or  cryptocurrency recommendation,  so  as  to  allow  our  readers a reasonable first opportunity  to  trade  on  our recommendation.
•    Similarly,  you may not increase your holdings  in any security  or cryptocurrency  based  upon knowledge obtained in the course of your employment/engagement with Company  that Company intends to publish a new buy recommendation, such as an editorial instruction  to “buy more” or a promo that will more widely disseminate existing “buy” instructions.
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•    Likewise,  you may not decrease  your holdings  in  a  security  or  cryptocurrency  based  upon knowledge obtained in the course of your employment/engagement with Company that Company intends to publish a new sell recommendation, such as an editorial instruction to “sell” or a promo  that will more widely disseminate existing “sell”  instructions.
EXEMPTIONS
The above Policy restrictions do not apply to the following securities, cryptocurrencies  and other assets which may be traded at any time by any Company employee or independent contractor, including writers:
•    Mutual  funds (including  ETFs),  money market  funds and  unit investment  trusts  invested exclusively in one or more mutual funds;
•    Educational  savings  plans (i.e., 529 plans); 
•    Futures and options on broad-based securities indexes (e.g., S&P 500 futures);
•    Accounts  managed  by  an independent  third party without prior input from  an employee  or independent contractor  of the Company  (i.e., managed by an investment  adviser acting with discretion);
•    Automatic transactions (e.g., reinvested dividends);
•    Bitcoin;
•    Ethereum; and
•    Investments in  physical  commodities, such as precious metals (e.g.,  coins, although the Policy applies to options on gold), silver, currency or real estate (e.g., a hard asset like a house, although it would apply to a REIT).
The Company may add to the list of securities and cryptocurrencies exempt from this Policy from time to time, through e-mail or other written communications to employees and independent contractors.
The Company will not condone, and does not wish to be accused of condoning, any of the above-mentioned prohibited practices.  The Company will not assist any employee or independent contractor who violates this Policy, and the Company and/or its affiliates may serve as a witness against a violator.
I have read and understand the Securities and Cryptocurrencies Trading Policy. I shall comply with the above stated policy and all securities regulations.
																		
	Signed:	/s/ Dale Lynch		Date:	11/5/19	
						
						
	Print Name:	Dale Lynch				

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EXHIBIT  B-CUSTOMER RELATIONS POLICY
This Customer Relations Policy (the “Policy”) applies to all employees and independent contractors of the Company. The purpose of this Policy is to avoid any perception that you, as a representative of the Company, are engaging in  communications in  your capacity as a representative  of the Company  or otherwise for compensation for the purpose of providing individualized investment  advice to any  person (“Customer”).  Exceptions to this Policy are addressed below.
This perception  alone – even without  the commission  of any violative act – endangers the Company’s essential qualification  for the “publisher’s  exclusion”  and therefore strict adherence  to this Policy is required,  The Company’s  ability to rely upon the publisher’s exclusion relies upon, among other things, communications from the Company/Company personnel regarding securities  and any other investments1 (collectively, “Securities”) remaining entirely impersonal and not tailored to any individual’s (or specific group of individuals’) circumstances.
If you have any questions or concerns regarding this Policy, please contact the Company’s legal department.
CORRESPONDENCE
You are not at any time for any reason to correspond with any Customer for the purpose  of providing investment-related advice that is tailored to the individual needs of a specific individual or group. Prohibited correspondence  activities in this regard include, but  are  not limited to, the following examples:
a.    Sending an e-mail/letter to a Customer which relates  to, or has the potential  to  relate to, an individualized, investment-related advice topic;
b.    Engaging in a phone conversation with a Customer which  relates to, or has the potential to relate to, an individualized, investment-related advice topic; 
c.    Meeting  or speaking with a Customer regarding an individualized,  investment-related advice topic;
d.    Communicating  with  a  Customer  through a  customer service representative  regarding  an individualized, investment-related advice topic (for example, this means that you may  not write a response to a Customer over e-mail and have a customer service representative forward your response to the Customer, nor may you receive a Customer inquiry e-mail from a customer service representative and then respond directly  on your own).
If you do receive such an e-mail/letter/phone call from a Customer, please forward  it immediately to a customer service representative or a  telesales agent for further assistance.
You may read e-mails/letters from a Customer but you may not respond directly to them if such a response could  be interpreted as providing individualized, investment-related advice.

1 For example and without limitation, other investments may include cryptocurrencies, digital assets, utility tokens, or derivatives (e.g., options and futures).
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CONFERENCES, SEMINARS, MEETUPS AND INTERNET CHAT FUNCTIONS
You are not at any time, for any reason, to give individualized  investment advice on any Security to attendees of any Company sponsored event, seminar, meetup or conference or otherwise through  any internet chat function as a representative of the Company. Rendering individualized investment  advice is considered outside your scope of authority as a representative for the Company.
a.    As an example, this means that you are not to engage in one-on-one conversations with any attendee or chat  participant  that discusses  the  subject  of investing  in any  type  of Security whatsoever or that discusses an attendee’s personal financial situation or portfolio.  Examples of questions that should not be answered:  “How much money do you think I need to work your strategy?”; “If you  had $X to invest in the market,  what would  you do?”;   “Right now, I’m holding  shares  of ABC Company,  what  should I do with them?”;  ·What do you think is  the best way to make 20% in the next two months?”; “What do you see ABC Company  doing in the next six months?”
b.    Attendees may ask questions after the Company representative has finished their presentation. In such situations, either: (1) you should inform attendees before you take questions that you cannot  answer questions  designed to elicit  personalized  investment  advice  or  (2)  if an attendee’s  question seeks personalized investment advice, you should remind the audience that you cannot give personalized  investment advice and answer the question  in a generalized way, if possible.
It is especially  important  to be aware and mindful of these  rules when attending social events that are sponsored by the Company (e.g., cocktail receptions, luncheons and dinners). standing at a vendor booth that  attendees may approach or simply conversing with individuals before or after a lecture.  It is very easy for  an attendee to  wander over and attempt to solicit your opinion for individualized  investment advice during  these events.
EXCEPTIONS
The Legal  Department, in consultation with the Chief Executive Officer of S&A Holdings (2013), LLC, has the sole authority to grant  exceptions from  any provision  of this Policy to an  employee  or independent contractor of the Company.  Any  such exception,  which shall be infrequently granted, shall  be based  upon a determination that such exception  would  not conflict  with  the interests of the Company in general and would not endanger the Company’s  reliance upon the publisher’s exclusion.
																		
	Signed:	/s/ Dale Lynch		Date:	11/5/19	
						
						
	Print Name:	Dale Lynch				

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