Document:

Exhibit
10.12

 

AGREEMENT
TO EXCHANGE

ATHENA
EQUITY for PROMISSORY NOTE

 

THIS
EXCHANGE AGREEMENT, dated as of July 5, 2016 is entered into by and between Minerco, Inc. (the “Company”) and
MSF International, Inc. (“MSF”).

 

WITNESSETH:

 

WHEREAS,
the Company owns Eighty-One and Eight-Tenths percent (81.8%) of the equity of its subsidiary, Athena Brands, Inc. (“Athena”);
and

 

WHEREAS,
MSF owns Eighteen and Two-Tenths percent (18.2%) of equity of Athena;

 

WHEREAS,
MSF is willing to exchange its Eighteen and Two-Tenths percent (18.2%) equity in Athena for a Promissory Note, with original principal
amount of Three Hundred and Fifty Thousand Dollars ($350,000) with the Company as the Maker;

 

WHEREAS,
the Company is willing to exchange MSF’s Eighteen and Two-Tenths percent (18.2%) equity in Athena for a Promissory Note,
with original principal amount of Three Hundred and Fifty Thousand Dollars ($350,000) with the Company as the Maker; and

 

WHEREAS,
the Promissory Note, with original principal amount of Three Hundred and Fifty Thousand Dollars ($350,000) with the Company as
the Maker and MSF as Payee is attached as Exhibit 1, hereto.

 

NOW,
THEREFORE, in consideration for the foregoing, the parties hereto agree as follows:

 

		1.	Exchange.
                                         MSF agrees to exchange its Eighteen and Two-Tenths percent (18.2%) equity in Athena
                                         for a Promissory Note, with original principal amount of Three Hundred and Fifty Thousand
                                         Dollars ($350,000) with the Company as the Maker AND the Company agrees to exchange MSF’s
                                         Eighteen and Two-Tenths percent (18.2%) equity in Athena for a Promissory Note, with
                                         original principal amount of Three Hundred and Fifty Thousand Dollars ($350,000) with
                                         the Company as the Maker (hereinafter the “Exchange”).

 

		2.	MSF
                                         Representations, Warranties, Etc. MSF represents and warrants to, and covenants
                                         and agrees with, the Company as follows:

 

		a.	Due
                                         Authorization. MSF has all requisite legal capacity to execute, deliver and perform
                                         this Agreement and the transactions hereby contemplated. This Agreement constitutes a
                                         valid and binding agreement on the part of MSF and is enforceable in accordance with
                                         its terms.

 

		b.	No
                                         Consents; No Contravention. The execution, delivery and performance by MSF of this
                                         Agreement (i) requires no authorization, registration, consent, approval or action by
                                         or in respect of, or filings with, any governmental body, agency or official or other
                                         person (including but not limited to the Securities and Exchange Commission), and (ii)
                                         do not contravene, conflict with, result in a breach of or constitute a default under
                                         any material provision of applicable law or regulation, or of any material agreement
                                         to which MSF is a party.

 

     

     

    

 

		3.	Company
                                         Representations, Etc. The Company represents and warrants to MSF that:

 

		a.	Exchange
                                         Agreement. This Agreement and the transactions contemplated hereby, have been
                                         duly and validly authorized by the Company. This Agreement has been duly executed and
                                         delivered by the Company and is a valid and binding agreement of the Company enforceable
                                         in accordance with its terms, subject as to enforceability to general principles of equity
                                         and to bankruptcy, insolvency, moratorium, and other similar laws affecting the enforcement
                                         of creditors’ rights generally.

 

		b.	Non-contravention.
                                         The execution and delivery of this Agreement by the Company, and the consummation
                                         by the Company of the other transactions contemplated by this Agreement do not and will
                                         not conflict with or result in a breach by the Company of any of the terms or provisions
                                         of, or constitute a default under (i) the articles of incorporation or by-laws of the
                                         Company, (ii) any indenture, mortgage, deed of trust, or other material agreement or
                                         instrument to which the Company is a party or by which it or any of its properties or
                                         assets are bound, (iii) to its knowledge, any existing applicable law, rule, or regulation
                                         or any applicable decree, judgment, or (iv) to its knowledge, order of any court, United
                                         States federal or state regulatory body, administrative agency, or other governmental
                                         body having jurisdiction over the Company or any of its properties or assets, except
                                         such conflict, breach or default which would not have a material adverse effect on the
                                         transactions contemplated herein. The Company is not in violation of any material laws,
                                         governmental orders, rules, regulations or ordinances to which its property, real, personal,
                                         mixed, tangible or intangible, or its businesses related to such properties, are subject.

 

		c.	Approvals.
                                         No authorization, approval or consent of any court, governmental body, regulatory
                                         agency, self-regulatory organization, or stock exchange or market is required to be obtained
                                         by the Company for the Exchange as contemplated by this Agreement, except such authorizations,
                                         approvals and consents that have been obtained.

 

		4.	Certain
                                         Covenants And Acknowledgments. The Company undertakes and agrees to make all
                                         necessary filings in connection with the exchange effected hereby under any United States
                                         laws and regulations, and to provide a copy thereof to MSF promptly after such filing.

 

		5.	Governing
                                         Law; Miscellaneous. This Agreement shall be governed by and interpreted in accordance
                                         with the laws of the State of Nevada. A facsimile transmission of this signed Agreement
                                         shall be legal and binding on all parties hereto. This Agreement may be signed in one
                                         or more counterparts, each of which shall be deemed an original. The headings of this
                                         Agreement are for convenience of reference and shall not form part of, or affect the
                                         interpretation of, this Agreement. If any provision of this Agreement shall be invalid
                                         or unenforceable in any jurisdiction, such invalidity or unenforceability shall not affect
                                         the validity or enforceability of the remainder of this Agreement or the validity or
                                         enforceability of this Agreement in any other jurisdiction. This Agreement may be amended
                                         only by an instrument in writing signed by the party to be charged with enforcement.
                                         This Agreement, and the related agreements referred to herein, contain the entire agreement
                                         of the parties with respect to the subject matter hereto, superseding all prior agreements,
                                         understandings or discussions.

 

    	 	2	 

     

    

 

		6.	Notices.
                                         Any notice required or permitted hereunder shall be given in writing (unless otherwise
                                         specified herein) and shall be deemed effectively given, (i) on the date delivered, (a)
                                         by personal delivery, or (b) if advance copy is given by fax, (ii) seven business days
                                         after deposit in the United States Postal Service by regular or certified mail, or (iii)
                                         three business days mailing by international express courier, with postage and fees prepaid,
                                         addressed to each of the other parties thereunto entitled at the last known mailing address,
                                         or at such other addresses as a party may designate by ten days advance written notice
                                         to each of the other parties hereto.

 

		7.	Successors
                                         And Assigns. This Agreement shall be binding upon and inure to the benefit of
                                         the parties hereto and their respective successors and permitted assigns.

 

 

[Intentionally
Left Blank – Signature Page Follows]

 

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IN
WITNESS WHEREOF, the Company and MSF have caused this Exchange Agreement to be executed by their duly authorized representatives
on the date as first written above.

 

	 	MINERCO,
    INC.
	 	 	 
	 	By:	/s/
    V. Scott Vanis
	 	Name: 	V.
    Scott Vanis
	 	Title:	Chief
    Executive Officer
	 	 	 
	 	

MSF INTERNATIONAL,
INC.

	 	 	 
	 	 	/s/ Marco Mena
	 	Name:	Marco A. Mena
	 	Title	President

 

    	 	4	 

     

    

 

Exhibit
A

Promissory
Note

 

 

 

 

 

 

 

 

 

 

 

 

 

5Exhibit 10.13

 

PROMISSORY
NOTE

 

Athena
Equity Exchange

 

	Principal
    Amount:  U.S. $350,000.00	Effective
    Date: July 5, 2016

 

FOR
VALUE RECEIVED, Minerco, Inc., a Nevada corporation (the “Maker”), hereby promises to pay to MSF International,
Inc., a Belize Corporation, or his successors and assigns (the “Payee”), at its address at 15 2nd Avenue, Buttonwood
Bay, Belize City, Belize, Central America, or to such other address as Payee shall provide in writing to the Maker for such purpose,
a principal sum of Three Hundred and Fifty Thousand U.S. Dollars and 00/100 Cents (U.S. $350,000.00). The aggregate principal
amount outstanding under this Note will be conclusively evidenced by the schedule annexed as Exhibit B hereto (the “Loan
Schedule”), up to a maximum principal amount of U.S $350,000.00. The entire principal amount hereunder shall be due
and payable on January 5, 2017 (the “Maturity Date”), or on such earlier date as such principal amount may
earlier become due and payable pursuant to the terms hereof.

 

This
Note is being issued pursuant to that certain Exchange Agreement, dated July 5, 2016, contemplating the exchange of Athena Brands,
Inc. equity from the Payee to the Maker in exchange for this Note and attached hereto as Exhibit A (the “Exchange
Agreement”).

 

1.       Consideration.
The Maker agrees to pay and the Payee agrees to accept the Note as contemplated in the Exchange Agreement.

 

2.       Exchange
Agreement. Attached as Exhibit A, hereto.

 

3.       Interest
Rate. Interest shall accrue on the unpaid principal amount of this Convertible Promissory Note (the “Note”)
at the rate of five percent (5%) per annum from the date of the first making of the loan for such principal amount until such
unpaid principal amount is paid in full. Interest hereunder shall be paid on such date as the principal amount under this Note
becomes due and payable in accordance with the terms hereof and shall be computed on the basis of a 360-day year for the actual
number of days elapsed.

 

4.       Prepayment
Right. Prepayment of principal and/or other amounts owed under this Note may be made prior to the Maturity Date without written
consent of the Payee. Unless otherwise agreed in writing each payment will be applied to the extent of available funds from such
payment in the following order: (i) first to accrued but unpaid interest, and (ii) lastly to the outstanding principal.

 

5.       Acceleration.
After the Maturity Date, at the option of the Payee, all principal and other amounts owed under this Note shall become immediately
due and payable without notice or demand by the Payee, and the Payee will have, in addition to its rights and remedies under this
Note, full recourse against any assets of Maker, and may pursue any legal or equitable remedies that are available to it.

 

    	 		 

     

    

 

6.       No
Waiver of Payee’s Rights, etc. All payments of principal and interest shall be made without setoff, deduction or counterclaim.
No delay or failure on the part of the Payee in exercising any of its options, powers or rights, nor any partial or single exercise
of its options, powers or rights shall constitute a waiver thereof or of any other option, power or right, and no waiver on the
part of the Payee of any of its options, powers or rights shall constitute a waiver of any other option, power or right. The Maker
hereby waives presentment of payment, protest, and notices or demands in connection with the delivery, acceptance, performance,
default or endorsement of this Note. Acceptance by the Payee of less than the full amount due and payable hereunder shall in no
way limit the right of the Payee to require full payment of all sums due and payable hereunder in accordance with the terms hereof.

 

7.       Modifications.
No term or provision contained herein may be modified, amended or waived except by written agreement or consent signed by the
party to be bound thereby.

 

8.       Cumulative
Rights and Remedies; Usury. The rights and remedies of the Payee expressed herein are cumulative and not exclusive of any
rights and remedies otherwise available. If it shall be found that any interest outstanding hereunder shall violate applicable
laws governing usury, the applicable rate of interest outstanding hereunder shall be reduced to the maximum permitted rate of
interest under such law.

 

9.       Collection
Expenses. If this obligation is placed in the hands of an attorney for collection after default, and provided the Payee prevails
on the merits in respect to its claim of default, the Maker shall pay (and shall indemnify and hold harmless the Payee from and
against), all reasonable attorneys’ fees and expenses incurred by the Payee in pursuing collection of this Note.

 

10.       Successors
and Assigns. This Note shall be binding upon the Maker and its successors and shall inure to the benefit of the Payee and
its successors and assigns. The term “Payee” as used herein, shall also include any endorsee, assignee or other holder
of this Note.

 

11.       Lost
or Stolen Promissory Note. If this Note is lost, stolen, mutilated or otherwise destroyed, the Maker shall execute and deliver
to the Payee a new promissory note containing the same terms, and in the same form, as this Note. In such event, the Maker may
require the Payee to deliver to the Maker an affidavit of lost instrument and customary indemnity in respect thereof as a condition
to the delivery of any such new promissory note.

 

12.       Due
Authorization. This Note has been duly authorized, executed and delivered by the Maker and is the legal obligation of the
Maker, enforceable against the Maker in accordance with its terms.

 

13.       Governing
Law. This Note shall be governed by and construed and enforced in accordance with the internal laws of the State of Nevada
without regard to the principles of conflicts of law thereof.

 

14.       Severability.
If any provision of this Note is held invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining
provisions of this Note are not affected or impaired in any way and the Maker and Payee agree to negotiate in good faith to replace
such invalid, illegal and unenforceable provision with a valid, legal and enforceable provision, that achieves, to the greatest
lawful extent under this Note, the economic, business and other purposes of such invalid, illegal or unenforceable provision.

 

[Intentionally
Left Blank – Signature Page Follows]

 

    	 	2	 

     

    

 

IN
WITNESS WHEREOF, the Maker has caused this Promissory Note to be duly executed and delivered as of the date first set forth
above.

 

	 	MAKER
	 	MINERCO,
    INC.
	 	 	 
	 	By:	/s/
    V. Scott Vanis
	 	Name :	V.
    Scott Vanis
	 	Title:	CEO

 

[Signature
Page for Promissory Note]

 

    	 	3	 

     

    

 

EXHIBIT
A

 

EXCHANGE
AGREEMENT

MINERCO
– MSF

ATHENA
EQUITY - NOTE

 

 

 

 

 

    	 	A-1	 

     

    

 

LOAN
SCHEDULE

 

Promissory
Note Issued by Fuse Live Events, Inc.

 

Dated:
_________________

 

SCHEDULE

OF

PAYMENTS
OF PRINCIPAL & INTEREST

 

	Date
    of Payment	Amount
    of Payment	Total
Amount Due Subsequent

        To
        Payment

	 	 	 
	 	 	 
	 	 	 
	 	 	 
	 	 	 
	 	 	 
	 	 	 
	 	 	 
	 	 	 

 

 

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