Document:

Exhibit 10.01

 

SECURITIES
PURCHASE AGREEMENT

 

by and
between

 

WPCS AUSTRALIA
PTY LTD

 

and

 

TURQUINO
EQUITY LLC

 

 

 

dated
as of September 19, 2013

 

    	 

    	 

    

 

Table
of Contents

 

	 	 	Page
	 	 	 
	ARTICLE I	Purchase and Sale of Shares; Closing	 
	 	Section 1.01.	Purchase and Sale of the Shares; Payment	1
	 	Section 1.02.	Closing Date	2
	 	Section 1.03.	Transactions to be Effected at the Closing	2
	ARTICLE II	Representations and Warranties of Seller	 
	 	Section 2.01.	Organization	3
	 	Section 2.02.	Capitalization	3
	 	Section 2.03.	Authority; Execution and Delivery; Enforceability	4
	 	Section 2.04.	Title to Shares	4
	 	Section 2.05.	No Conflicts; Consents	4
	 	Section 2.06.	Financial Information	4
	 	Section 2.07.	Absence of Changes	5
	 	Section 2.08.	No Undisclosed Liabilities	5
	 	Section 2.09.	Litigation	5
	 	Section 2.10.	Condition of Assets	5
	 	Section 2.11.	Compliance with Laws; Permits	5
	 	Section 2.12.	Tax Matters	6
	 	Section 2.13.	Labor and Employee Benefit Matters	6
	 	Section 2.14.	Real Property	7
	 	Section 2.15.	Environmental	7
	 	Section 2.16.	Contracts	7
	 	Section 2.17.	Intellectual Property	8
	 	Section 2.18.	Brokers and Finders	8
	 	Section 2.19.	Disclosure	8
	 	Section 2.20.	Disclaimer of Other Representations and Warranties	8
	ARTICLE III	Representations and Warranties of Purchaser	 
	 	Section 3.01.	Organization	9
	 	Section 3.02.	Authority; Execution and Delivery; Enforceability	9
	 	Section 3.03.	No Conflicts; Consents	9
	 	Section 3.04.	Investment Representation	10

 

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Table
of Contents

(continued)

 

	 	 	 	Page
	 	 	 	 
	 	Section 3.05.	No Knowledge of Misrepresentation or Omission	10
	 	Section 3.06.	Brokers and Finders	10
	 	Section 3.07.	Solvency	10
	 	Section 3.08.	Certain Purchaser Acknowledgments	11
	ARTICLE IV	Covenants	 
	 	Section 4.01.	Access and Investigation	11
	 	Section 4.02.	Negative Covenant	11
	 	Section 4.03.	Required Approvals	12
	 	Section 4.04.	Confidentiality	12
	 	Section 4.05.	Retention of Books and Records	12
	 	Section 4.06.	Certain Consents and Waivers	12
	 	Section 4.07.	Expenses; Transfer Taxes	12
	 	Section 4.08.	Post-Closing Cooperation	13
	 	Section 4.09.	Publicity	13
	 	Section 4.10.	Further Assurances	13
	 	Section 4.11.	Survival and Right to Indemnification	13
	 	Section 4.12.	Employment and Indemnification Agreement Assumptions	14
	ARTICLE V	Conditions to Close	 
	 	Section 5.01.	Conditions to Obligations of Purchaser	14
	 	Section 5.02.	Conditions to Obligations of Seller	14
	ARTICLE VI	Termination	 
	 	Section 6.01.	Termination Events	15
	 	Section 6.02.	Effect of Termination	16
	ARTICLE VII	General Provisions	 
	 	Section 7.01.	Statutes	16
	 	Section 7.02.	Non-Business Days	16
	 	Section 7.03.	Amendments; Waivers	16
	 	Section 7.04.	Assignment	16
	 	Section 7.05.	No Third-Party Beneficiaries	16
	 	Section 7.06.	Notices	17

 

    	- ii -

    	 

    

 

Table
of Contents

(continued)

 

	 	 	 	Page
	 	 	 	 
	 	Section 7.07.	Interpretation; Exhibits and Sections; Certain Definitions	17
	 	Section 7.08.	Counterparts	23
	 	Section 7.09.	Entire Agreement; Survival	24
	 	Section 7.10.	Severability	24
	 	Section 7.11.	Governing Law	24
	 	Section 7.12.	Waiver of Jury Trial	24
	 	Section 7.13.	Consent to Jurisdiction	24

 

    	- iii -

    	 

    

 

securities
PURCHASE AGREEMENT

 

SECURITIES PURCHASE AGREEMENT
(the “Agreement”), dated as of September 19, 2013, by and between WPCS Australia Pty Ltd, an Australian corporation
(“Seller”), and Turquino Equity LLC, a Delaware limited liability company (“Purchaser”).
Capitalized terms used but not otherwise defined herein shall have the meanings set forth in Section 7.07 hereof unless
the context clearly provides otherwise.

 

WHEREAS, Seller owns
all of the issued and outstanding capital stock of The Pride Group (QLD) Pty Ltd, an Australian corporation (the “Company”),
which as of the date hereof consists of 97,939 shares of A Class Ordinary Shares (the “Shares”); and

 

WHEREAS, subject to the
terms and conditions set forth herein, Purchaser desires to purchase from Seller all of the Shares and Seller desires to sell to
Purchaser all of the Shares.

 

NOW, THEREFORE, in consideration
of the mutual covenants contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, the Parties hereby agree as follows:

 

ARTICLE
I

PURCHASE AND SALE OF SHARES; CLOSING

 

Section
1.01. Purchase and Sale of the Shares; Payment.

 

(a)On
the terms and subject to the conditions of this Agreement, at the Closing, Seller shall sell, transfer and deliver to Purchaser,
and Purchaser shall purchase from Seller, the Shares for an aggregate cash purchase price (the “Purchase Price”)
of One Million Four Hundred Thousand Dollars ($1,400,000), subject to adjustment as set forth herein.
An amount equal to Eight Hundred Fifteen Thousand One Hundred Ninety-Two Dollars and Fifty Cents ($815,192.50) (the “Net
Severance Amount”), which represents the full net amount due to Andrew Hidalgo pursuant to the Severance Agreement, shall
be credited against the Purchase Price and Purchaser shall send, by wire of immediately available funds, an amount equal to Five
Hundred Eighty-Four Eight Hundred Seven Dollars and Fifty Cents ($584,807.50) (the “Cash Component”) pursuant
to the written instruction to be delivered by the Seller to the Purchaser prior to the Closing Date. Notwithstanding the foregoing,
in the event that the Closing occurs on a date that is not November 1, 2013, the Net Severance Amount and Cash Component will be
adjusted accordingly to reflect the revised net amount due to Andrew Hidalgo pursuant to the Severance Agreement and the corresponding
change to the Cash Component due at Closing.

 

(b)Within
ninety (90) days after the Closing Date, the Purchaser shall cause to be prepared and delivered to Seller a calculation of the
Company’s net tangible asset value as of the Closing Date. Net tangible asset value is defined as total assets minus total
liabilities minus intangible assets (“NTAV”). The Seller shall have a period of sixty (60) days to review the
NTAV calculation. In the event the Seller and the Purchaser are unable to agree upon the NTAV after good faith negotiations for
a period of 20 days, the Seller and the Purchaser shall submit such dispute for resolution to CohnReznick LLP (the “Independent
Accounting Firm”), which shall determine and report to the parties and such report shall be final, binding and conclusive
on the parties hereto. If the Independent Accounting Firm determines that the NTAV is within five percent (5%), whether greater
or less, below the NTAV determined by the Purchaser, then the parties shall equally share the cost of the Independent Accounting
Firm. If the Independent Accounting Firm determines that the NTAV is more than five percent (5%) above the NTAV determined by the
Purchaser, then the Seller shall pay the fees and expenses of the Independent Accounting Firm. If the Independent Accounting Firm
determines that the NTAV is more than five percent (5%) below the NTAV determined by the Purchaser, then the Purchaser shall pay
the fees and expenses of the Independent Accounting Firm. The parties shall cooperate with one another and provide reasonable access
of all pertinent books and records to the other party. In the event the NTAV as of the Closing Date shall be less than AUD $1,400,000,
the Seller shall be required to pay the Purchaser the amount of the shortfall. In the event the NTAV as of the Closing Date shall
be greater than AUD $1,500,000, the Purchaser shall be required to pay the Seller the amount of such excess. Any payments required
to be made pursuant to this Section shall be paid within five (5) days after determination of the NTAV.

 

    	 

    	 

    

 

(c)The
purchase and sale of the Shares is referred to in this Agreement as the “Acquisition.”

 

Section
1.02. Closing Date. The closing of the Acquisition and the other transactions contemplated hereby (the “Closing”)
shall take place at the offices of Sichenzia Ross Friedman Ference LLP, 61 Broadway, 32nd Floor, New York, New York
10006, at 10:00 a.m. on November 1, 2013 or on such other date as mutually agreed to by the parties (the “Closing Date”).
The Closing shall be deemed to be effective as of 12:01 a.m. on the Closing Date.

 

Section
1.03. Transactions to be Effected at the Closing. At the Closing:

 

(a)Seller
shall deliver to Purchaser:

 

(i)A
cross-receipt in the form of Exhibit A hereto executed by Seller;

 

(ii)certificates
representing the Shares, duly endorsed in blank or accompanied by stock powers duly endorsed in blank in proper form for transfer;
and

 

(iii)with
the exception to Stephen Mullane, a duly executed resignation, effective as at the Closing, of each director of the Company set
forth on Section 1.03(a)(iii) of the Company Disclosure Letter.

 

(b)Purchaser
shall deliver to Seller:

 

(i)A
cross-receipt in the form of Exhibit A hereto executed by Purchaser;

 

(ii)The
Purchase Price; and

 

    	- 2 -

    	 

    

 

(iii)an
assignment and assumption agreement for each Lease set forth on Section 1.03(b)(iii) of the Company Disclosure Letter in
a form mutually acceptable to Seller, Purchaser and the applicable landlord transferring any related guarantees or obligations
of Seller to Purchaser, executed by Purchaser.

 

ARTICLE
II

Representations and Warranties OF Seller

 

Except as set forth in
(i) the WPCS SEC Documents filed during the period beginning on November 1, 2009 and ending on the date of this Agreement (the
“Filed WPCS SEC Documents”), to the extent reasonably apparent from the disclosure therein, or (ii) the disclosure
letter, dated the date of this Agreement and delivered by Seller to Purchaser prior to the execution of this Agreement, together
with any supplements delivered by Seller to Purchaser at or prior to the Closing Date to reflect any necessary changes between
the date of execution of this Agreement and the Closing Date (the “Company
Disclosure Letter”), which Company Disclosure Letter identifies the Section (or, if applicable, subsection)
to which such exception relates (it being understood that disclosure in one section shall also apply to other sections to the extent
it is reasonably apparent from the face of the disclosure that such disclosure would also apply to such other sections), Seller
hereby represents and warrants to Purchaser as of the date hereof as follows:

 

Section
2.01. Organization.

 

(a)Except
as would not, individually or in the aggregate, reasonably be expected to have a Company Material Adverse Effect, each of the Seller
and the Company (i) has been duly organized and is validly existing in good standing (to the extent such concept is applicable)
under the Laws of its jurisdiction of organization, with all requisite corporate power and authority to own its properties and
conduct its business as currently conducted and (ii) is duly qualified as a foreign corporation for the transaction of business,
and is in good standing (to the extent such concept is applicable) under the Laws of each other jurisdiction in which it owns or
leases properties, or conducts any business so as to require such qualification.

 

(b)Neither
the Seller nor the Company is in breach or violation of any of its certificate of incorporation, bylaws or other Organizational
Documents, except for any breach or violation that would not, individually or in the aggregate, reasonably be expected to have
a Company Material Adverse Effect. Prior to the Closing Date, Seller will deliver or make available to Purchaser true and complete
copies of the Company’s certificate of incorporation, bylaws or other Organizational Documents, each as amended to date.

 

Section
2.02. Capitalization. The Shares are all of the issued and outstanding equity interests in the Company. All of the
Shares have been duly authorized and validly issued, are fully paid and nonassessable and free of preemptive rights, with no personal
liability attaching to the ownership thereof, and are owned of record and beneficially by Seller. All of the Shares were issued
in compliance with applicable Laws. None of the Shares were issued in violation of any agreement, arrangement or commitment to
which Seller or the Company is a party or is subject to or in violation of any preemptive or similar rights of any Person. There
are no outstanding or authorized options, warrants or other rights of any kind relating to the sale, issuance or voting of any
Shares or any securities convertible into or evidencing the right to purchase any Shares. The Company does not own any shares of
capital stock of or equity interests in (including any securities exercisable or exchangeable for or convertible into capital stock
of or other voting or equity interests in) any other Person.

 

    	- 3 -

    	 

    

 

Section
2.03. Authority; Execution and Delivery; Enforceability. Seller has full power and authority to execute this Agreement
and to consummate the Acquisition and the other transactions contemplated hereby. The execution and delivery by Seller of this
Agreement and the consummation by Seller of the Acquisition and the other transactions contemplated hereby have been duly authorized
by all necessary corporate action, except for WPCS Shareholder Approval. Seller has duly executed and delivered this Agreement
and, assuming that this Agreement is the valid and binding agreement of Purchaser, this Agreement constitutes a legal, valid and
binding obligation of Seller, enforceable against Seller in accordance with its terms, subject to bankruptcy, insolvency, reorganization
and other Laws affecting creditors’ rights generally, and to general principles of equity.

 

Section
2.04. Title to Shares. Except as set forth on Section 2.04 of the Company Disclosure Letter, Seller has good
and valid title to the Shares, free and clear of all Liens other than Permitted Liens. Upon Seller’s receipt of the Purchase
Price, good and valid title to the Shares will pass to Purchaser, free and clear of all Liens, other than those arising from acts
of Purchaser and other than Permitted Liens.

 

Section
2.05. No Conflicts; Consents.

 

(a)Except
as set forth in Section 2.05(a) of the Company Disclosure Letter, the execution and delivery by Seller of this Agreement
do not, and the performance of this Agreement, including the consummation of the Acquisition and the other transactions contemplated
hereby and compliance by Seller with the terms hereof will not, (1) conflict with, constitute or result in any violation or breach
of or default (with or without notice or lapse of time, or both) under, or give rise to a right of termination, cancellation or
acceleration of any obligation or to loss of a material benefit under, or result in the creation of any Lien (other than Permitted
Liens) upon any of the properties or assets of the Company under, any provision of (i) the certificate of incorporation, bylaws
or other Organizational Documents of Seller or the Company, (ii) any Material Contract to which the Company is a party or by which
any of its properties or assets is bound, or (iii) any Law applicable to the Company or its properties or assets, other than in
each case any such items that, individually or in the aggregate, have not had and would not reasonably be expected to have a Company
Material Adverse Effect, or (2) result in the creation or imposition of any Lien other than Permitted Liens on any properties or
assets of the Company.

 

(b)Except
as set forth on Section 2.05(b) of the Company Disclosure Letter, no notice to, or Consent of, any Person, or registration,
declaration or filing with, any Governmental Entity is required to be obtained or made by Seller or the Company in connection with
Seller’s execution, delivery and performance of this Agreement or Seller’s consummation of the Acquisition or the other
transactions contemplated hereby except for such Consents, registrations, declarations or filings which, individually or in the
aggregate, have not had and would not reasonably be expected to have a Company Material Adverse Effect.

 

    	- 4 -

    	 

    

 

Section
2.06. Financial Information. The (i) consolidated financial statements of Seller and its consolidated Subsidiaries
included or incorporated by reference in the WPCS 2013 10-K, and (ii) the unaudited July 31, 2013 financial statements of the Company
included in Section 2.06 of the Company Disclosure Letter, are based on the books and records of the Company, and fairly
present in all material respects the consolidated financial position of Seller as they relate to the Company, as of the dates indicated
therein and the consolidated results of their operations and cash flows for the periods specified therein, and, except as stated
therein, such financial statements were prepared in conformity with GAAP applied on a consistent basis.

 

Section
2.07. Absence of Changes. Since April 30, 2013 until the date hereof, no event or circumstance has occurred that,
individually, or in the aggregate, has had or would reasonably be expected to have a Company Material Adverse Effect.

 

Section
2.08. No Undisclosed Liabilities. Except as and to the extent disclosed in the Filed WPCS SEC Documents, the Company
has not had any liabilities or obligations of any nature, whether or not accrued, absolute, contingent, unliquidated or otherwise,
whether due or to become due and whether or not required to be disclosed, reserved against or otherwise provided for which is required
by GAAP to be set forth on a consolidated balance sheet of WPCS and its consolidated Subsidiaries or in the notes thereto, other
than liabilities or obligations (i) in the amounts reflected on or reserved against in WPCS’ consolidated balance sheet as
of April 30, 2013 including in WPCS’ financial statements or (ii) that are incurred in the ordinary course of business since
April 30, 2013.

 

Section
2.09. Litigation. There is no pending, or to Seller’s Knowledge, threatened in writing action, claim, suit,
proceeding or investigation against the Company, or to which any property, assets or rights of the Company is subject, nor is the
Company subject to any Order that remains outstanding or unsatisfied, in each case, except as would not, individually or in the
aggregate, reasonably be expected to have a Company Material Adverse Effect.

 

Section
2.10. Condition of Assets. The buildings, plants, structures, furniture, fixtures, machinery, equipment, vehicles
and other items of tangible personal property of the Company are operational and in a condition adequate and sufficient for use
in the Company’s business as it has been conducted to date and as it shall be conducted in the future by Purchaser, ordinary
wear and tear excepted.

 

Section
2.11. Compliance with Laws; Permits.

 

(a)The
Company has all permits, licenses, franchises, authorizations, Orders and approvals of, and has made all filings, applications
and registrations with, all Governmental Entities that are required in order to permit it to own, lease or license their properties,
assets and rights, and to carry on their business as presently conducted, except where the failure to have such permits, licenses,
franchises, authorizations, Orders and approvals or the failure to make such filings, applications and registrations would not,
individually or in the aggregate, reasonably be expected to have a Company Material Adverse Effect. All such permits, licenses,
certificates of authority, Orders and approvals are in full force and effect and, to Seller’s Knowledge, no suspension or
cancellation of any of them is threatened in writing, and all such filings, applications and registrations are current, except
where such absence, suspension or cancellation would not, individually or in the aggregate, reasonably be expected to have a Company
Material Adverse Effect.

 

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(b)The
Company is in compliance with all applicable Laws, except where the failure to so comply would not result in a Company Material
Adverse Effect. This Section 2.10(b) does not relate to matters with respect to the compliance of the financial statements
with the Securities Act, the Exchange Act or SOX (which are the subject of Section 2.06), Taxes (which are the subject of
Section 2.11), Company Benefit Plans (which are the subject of Section 2.12) and environmental matters (which are
the subject of Section 2.14).

 

Section
2.12. Tax Matters. Except as would not, individually or in the aggregate, reasonably be expected to have a Company
Material Adverse Effect, (i) there has been filed by or on behalf of the Company all material Tax Returns required to be filed
by the applicable Company, (ii) all Taxes of the Company (whether or not shown on such Tax Returns) have been or will be paid in
a timely fashion or, where payment is not yet due, have been adequately provided for in the financial statements of the Company
in accordance with GAAP, and (iii) no audit or other proceeding by any Governmental Entity is pending with respect to any Taxes
due from the Company, except with respect to matters for which adequate reserves have been established in accordance with GAAP.
Notwithstanding the above, Seller agrees to fully indemnify Purchaser in any amount for any Tax payments Purchaser ultimately has
to make with respect to any time period prior to the date hereof as a result of findings by a Governmental Entity that Seller has
violated applicable Law.

 

Section
2.13. Labor and Employee Benefit Matters.

 

(a)Except
as would not, individually or in the aggregate, reasonably be expected to have a Company Material Adverse Effect, (i) the Company
is in compliance in all material respects with all applicable Laws respecting employment and employment practices, terms and conditions
of employment and wages and hours, (ii) there is no unfair labor practice complaint against the Company pending before any Governmental
Entity, (iii) there is no labor strike, dispute, slowdown or stoppage actually pending or, to the Knowledge of the Seller, threatened
against the Company, (iv) there are no unpaid dues, assessments, fines or other expenses regarding the Company relating to any
union violation, audit and/or issue, and (v) except as set forth on Section 2.12(a)(v) of the Company Disclosure Letter,
there are no collective bargaining or other labor union Contracts to which the Company is a party or by which the Company is bound.

 

(b)Section
2.12(b) of the Company Disclosure Letter sets forth a list as of the date of this Agreement of each material Employee Program
sponsored, maintained, or contributed to by the Company in which present or former employees of the Company participate or for
which the Company has any material liability (collectively, the “Benefit Plans”). Except as set forth in Section
2.12(b) of the Company Disclosure Letter, no Benefit Plan is a (pension or non-pension) employee benefit plan to which more
than one employer contributes and which is maintained pursuant to one or more collective bargaining agreements.

 

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(c)Except
as would not, individually or in the aggregate, reasonably be expected to have a Company Material Adverse Effect, the Benefit Plans
are in compliance with all applicable requirements of applicable Laws and have been administered in accordance with their terms
and such Laws.

 

(d)There
are no pending or, to the Knowledge of the Seller, threatened, claims with respect to any Benefit Plans, other than ordinary and
usual claims for benefits by participants and beneficiaries, that would, individually or in the aggregate, reasonably be expected
to have a Company Material Adverse Effect.

 

Section
2.14. Real Property. The Company does not own any real property. Section 2.13 of the Company Disclosure Letter
sets forth a complete and correct list in all material respects of the real property leased by the Company (the “Leased
Real Property,” and the leases, together with any amendments and modifications thereto, pursuant to which such real property
is leased, the “Leases”), which list sets forth each Lease and the address, landlord and tenant for each Lease.
The Company is not a lessor, sublessor or grantor under any lease, sublease or other instrument granting to any other Person any
right to the possession, lease, occupancy or enjoyment of any Leased Real Property. To Seller’s Knowledge, the Company has
valid leasehold interest in all of the Leased Real Property, subject to no Liens other than Permitted Liens. The Company is in
compliance with the terms of all leases relating to the Leased Real Property to which it is a party, except such compliance which
has not had or would not reasonable be expect to have, individually or in the aggregate, a Company Material Adverse Effect. To
Seller’s Knowledge, all such material Leases relating to the Leased Real Property are in full force and effect, and the Company
enjoys peaceful and undisturbed possession under all such applicable leases.

 

Section
2.15. Environmental.

 

(a)The
Company is in compliance with all applicable Environmental Laws and has obtained and is in compliance with all applicable permits,
licenses and authorizations required under applicable Environmental Laws, except, in each case, as would not, individually or in
the aggregate, reasonably be expected to have a Company Material Adverse Effect.

 

(b)The
Company has not received a notice in writing of violation or notification in writing of liability or potential liability arising
out of any Environmental Law, and there is no Litigation or claim pending or, to Seller’s Knowledge, overtly threatened in
writing under any Environmental Law, except in each case, with respect to any violation or liability that would not, individually
or in the aggregate, reasonably be expected to have a Company Material Adverse Effect.

 

(c)Except
for matters that would not, individually or in the aggregate, reasonably be expected to have a Company Material Adverse Effect,
no Release of Hazardous Substances has occurred at, on, above, under or from any real property currently or formerly owned, leased,
operated or used by the Company that has resulted or would reasonably be expected to result in a material investigation or remedial
action.

 

Section
2.16. Contracts. Each written contract to which the Company is a party or by which it is bound, which is material
to the business of such Company (each a “Material Contract”), is valid and binding on the Company in accordance
with its terms and is in full force and effect, except to the extent that the invalidity or non-binding nature of any Material
Contract would not, individually or in the aggregate, reasonably be expected to have a Company Material Adverse Effect, and none
of the Company or, to the Seller’s Knowledge, any other party thereto is in breach or of default under (or received any written
notice alleging to be in breach of or default under) of any such Material Contract, or has provided or received any written notice
of any intention to terminate, any Material Contract, except for defaults which would not, individually or in the aggregate, reasonably
be expected to have a Company Material Adverse Effect.

 

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Section
2.17. Intellectual Property.

 

(a)Except
as would not, individually or in the aggregate, reasonably be expected to have a Company Material Adverse Effect, the Company owns,
or possess sufficient and legally enforceable licenses or other rights to use, any and all Intellectual Property necessary for
the conduct of the businesses and operations of the Company as currently conducted.

 

(b)To
Seller’s Knowledge, the conduct of the business of the Company does not infringe, conflict with or otherwise violate any
Intellectual Property of any Person, and the Company has not received written notice or has knowledge of any such infringement,
conflict or other violation, except as would not, individually or in the aggregate, reasonably be expected to have a Company Material
Adverse Effect.

 

Section
2.18. Brokers and Finders. Neither the Company nor its Affiliates have retained any agent, broker, investment banker,
financial advisor or other firm or Person that is or will be entitled to any brokers’ or finder’s fee or any other
commission or similar fee in connection with any of the transactions contemplated by this Agreement.

 

Section
2.19. Disclosure. No representation or warranty of Seller or the Company in this Agreement and no statement in the
Company Disclosure Letter contains any material untrue statement or omits to state a material fact necessary to make the statements
herein or therein, in light of the circumstances in which they were made, not misleading. No notice given pursuant to Section
7.06 will contain any untrue statement or omit to state a material fact necessary to make the statements therein or in this
Agreement, in light of the circumstances in which they were made, not misleading. To the Seller’s Knowledge, there is no
fact that has specific application to the Company (other than general economic or industry conditions) that could have a Company
Material Adverse Effect on the financial or other condition, results of operations, assets, liabilities, equity, business or prospects
of the Company that has not been set forth in this Agreement.

 

Section
2.20. Disclaimer of Other Representations and Warranties. Except as otherwise expressly set forth in this Article II,
Seller makes no other representations or warranties and expressly disclaims any other representations or warranties of any kind
or nature, express or implied, as to the condition, value or quality of the business of the Company or the assets of the Company,
and Seller specifically disclaims any implied representation or warranty of merchantability, usage, suitability or fitness for
any particular purpose with respect to the assets of the Company, or any part thereof.

 

    	- 8 -

    	 

    

 

ARTICLE
III

Representations and Warranties of Purchaser

 

Purchaser hereby represents
and warrants to Seller as follows as of the date hereof:

 

Section
3.01. Organization.

 

(a)Purchaser
has been duly incorporated and is validly existing as a limited liability company in good standing under the Laws of the State
of Delaware, with all requisite corporate power and authority to own its properties and conduct its business as currently conducted,
and, except as would not, individually or in the aggregate, reasonably be expected to have a Purchaser Material Adverse Effect,
is duly qualified as a foreign limited liability company for the transaction of business, and is in good standing (to the extent
such concept is applicable) under the Laws of each other jurisdiction in which it owns or leases properties, or conducts any business
so as to require such qualification.

 

(b)Purchaser
is not in breach or violation of its articles of incorporation, bylaws, or other Organizational Documents.

 

Section
3.02. Authority; Execution and Delivery; Enforceability. Purchaser has full power and authority to execute this Agreement
and to consummate the Acquisition and the other transactions contemplated hereby. The execution and delivery by Purchaser of this
Agreement and the consummation by Purchaser of the Acquisition and the other transactions contemplated hereby have been duly authorized
by all necessary corporate action. Purchaser has duly executed and delivered this Agreement and, assuming that this Agreement is
the valid and binding agreement of Seller, this Agreement constitutes a legal, valid and binding obligation of Purchaser, enforceable
against Purchaser in accordance with its terms, subject to bankruptcy, insolvency, reorganization and other Laws affecting creditors’
rights generally, and to general principles of equity.

 

Section
3.03. No Conflicts; Consents.

 

(a)The
execution and delivery by Purchaser of this Agreement do not, and the consummation of the Acquisition and the other transactions
contemplated hereby and compliance by Purchaser with the terms hereof will not, (i) have a Purchaser Material Adverse Effect or
(ii) conflict with, constitute or result in any violation or breach of or default (with or without notice or lapse of time, or
both) under, or give rise to a right of termination, cancellation or acceleration of any obligation or to loss of a material benefit
under, or result in the creation of any Lien upon any of the properties or assets of Purchaser under, any provision of (A) its
articles of incorporation, bylaws, other governing instrument or comparable Organizational Documents of Purchaser, (B) any contract
to which Purchaser is a party or by which any of its properties or assets is bound, (C) any Law applicable to Purchaser or its
properties or assets, other than, in the case of clauses (B) and (C) above, any such items that, individually or in the aggregate,
have not had and would not reasonably be expected to have a Purchaser Material Adverse Effect.

 

    	- 9 -

    	 

    

 

(b)No
Consent of, or registration, declaration or filing with, any Governmental Entity is required to be obtained or made by Purchaser
in connection with the execution, delivery and performance of this Agreement or the consummation of the Acquisition or the other
transactions contemplated hereby.

 

Section
3.04. Investment Representation. Purchaser acknowledges that Seller has made (or caused to be made) available to
Purchaser and its representatives the opportunity to ask questions of the officers and management of the Company as well as access
to the documents, information and records of the Company, and Purchaser confirms that it has made an independent investigation,
analysis and evaluation of the Company and its assets, liabilities, business and financial condition. Purchaser has such knowledge
and experience in financial and business matters that it is capable of evaluating the Company and the merits and risks of an investment
in the Shares. Purchaser is acquiring the Shares for its own account and for investment and not with a view toward or for sale
in connection with any distribution (as such term in used in Section 2(a)(11) of the Securities Act) thereof in violation
of the Securities Act. Purchaser is an “accredited investor” (as such term is defined in Rule 501 of Regulation D
promulgated under the Securities Act) and understands that the Shares have not been registered under the Securities Act or registered
or qualified under any applicable state securities laws. Purchaser understands and agrees that the Shares may not be sold, transferred,
offered for sale or otherwise disposed of without registration under the Securities Act, except pursuant to an exemption from such
registration available under the Securities Act, and without compliance with state, local and foreign securities laws, in each
case, to the extent applicable.

 

Section
3.05. No Knowledge of Misrepresentation or Omission. To the Knowledge of the Purchaser, the representations and warranties
of Seller made in this Agreement are true and correct. Purchaser does not have any actual knowledge of any material errors in,
or material omissions from, any Section of the Company Disclosure Letter.

 

Section
3.06. Brokers and Finders. Neither Purchaser nor its Affiliates has retained any agent, broker, investment banker,
financial advisor or other firm or Person that is or will be entitled to any brokers’ or finder’s fee or any other
commission or similar fee in connection with any of the transactions contemplated by this Agreement.

 

Section
3.07. Solvency. Assuming Seller’s representations and warranties contained in Article II are true
and correct immediately after giving effect to the transactions contemplated by this Agreement and Seller has complied with its
covenants hereunder, as of the Closing Date, the Company shall be able to pay its debts as they become due and shall own property
which has a fair saleable value greater than the amounts required to pay its debts (including a reasonable estimate of the amount
of all contingent liabilities). Assuming Seller’s representations and warranties contained in Article II are
true and correct immediately after giving effect to the transactions contemplated by this Agreement and Seller has complied with
its covenants hereunder, as of the Closing Date, the Company shall have adequate capital to carry on its businesses. No transfer
of property is being made and no obligation is being incurred in connection with the transactions contemplated by this Agreement
with the intent to hinder, delay or defraud either present or future creditors of the Company.

 

    	- 10 -

    	 

    

 

Section
3.08. Certain Purchaser Acknowledgments.

 

(a)Purchaser acknowledges
that neither Seller nor the Company, nor any other Person acting on behalf of Seller or the Company or any of their Affiliates
has made any representation or warranty, express or implied, as to the accuracy or completeness of any information regarding Seller
or the Company or their respective businesses or assets, except as expressly set forth in Article II. Purchaser further
agrees that neither Seller nor any other Person shall have or be subject to any liability to Purchaser or any other Person resulting
from the distribution to Purchaser, or Purchaser’s use of, any such information and any information, document or material
made available to Purchaser or Purchaser’s representatives in certain “data rooms,” management presentations
or any other form in expectation of the transactions contemplated by this Agreement.

 

(b)In connection
with Purchaser’s investigation of the Company, Purchaser or Purchaser’s representatives have received from or on behalf
of Seller and the Company certain projections, including projected statements of operating revenues and income from operations
of the Company and certain business plan information. Purchaser acknowledges that there are uncertainties inherent in attempting
to make such estimates, projections and other forecasts and plans, that Purchaser is familiar with such uncertainties, that Purchaser
is taking full responsibility for making its own evaluation of the adequacy and accuracy of all estimates, projections and other
forecasts and plans so furnished to it (including the reasonableness of the assumptions underlying such estimates, projections
and forecasts), and that Purchaser shall have no claim against Seller or any other Person with respect thereto. Accordingly, neither
Seller nor any other Person makes any representations or warranties whatsoever with respect to such estimates, projections and
other forecasts and plans (including the reasonableness of the assumptions underlying such estimates, projections and forecasts).

 

ARTICLE
IV

Covenants

 

Section
4.01. Access and Investigation. Between the date of this Agreement and the Closing Date and upon reasonable advance
notice from Purchaser, Seller will, and will cause the Company and its representatives to, (a) afford Purchaser and its representatives
and prospective lenders and their representatives full and free access to the Company’s personnel, properties (including
subsurface testing), Contracts, books and records, and other documents and data, (b) furnish such Persons with copies of all such
Contracts, books and records, and other documents and data as Purchaser may reasonably request, and (c) furnish such Persons with
such additional financial, operating and other data and information as Purchaser may reasonably request.

 

Section
4.02. Negative Covenant. Except as otherwise expressly permitted by this Agreement, between the date of this Agreement
and the Closing Date, Seller will not, and will not cause or permit the Company to, without the prior consent of Purchaser, (a)
make any modifications to any Material Contract or Permit except in the ordinary course of business and consistent with past business
practices, or (b) enter into any compromise or settlement of any pending or threatened Litigation.

 

    	- 11 -

    	 

    

 

Section
4.03. Required Approvals. As promptly as practicable after the date of this Agreement, Seller will, and will cause
the Company to, (i) submit this Agreement to the shareholders of WPCS for their approval of the Agreement, the Acquisition and
all the transactions contemplated hereby, (ii) obtain such consents set forth on Section 2.05(b) of the Company Disclosure
Letter (each a “Material Consent”) and (iii) obtain a fairness opinion that the Purchase Price being paid by
Purchaser to Seller for the Company is fair (the “Fairness Opinion”). Between the date of this Agreement and
the Closing Date, Seller will, and will cause the Company to cooperate with Purchaser with respect to all filings that Purchaser
elects to make or that Purchaser is required by Law to make in connection with the Acquisition.

 

Section
4.04. Confidentiality. Purchaser acknowledges that the information being provided to it in connection with the Acquisition
and the consummation of the other transactions contemplated by this Agreement is subject to the terms of that certain confidentiality
agreement between Purchaser and Seller, dated as of September 3, 2013 (the “Confidentiality Agreement”), the
terms of which are incorporated in this Agreement by reference. Effective upon, and only upon, the Closing, the Confidentiality
Agreement shall terminate with respect to information relating solely to the Company; provided, however, that Purchaser
acknowledges that any and all other information provided to it by Seller, Seller’s Affiliates or Seller’s representatives
concerning Seller and its Affiliates shall remain subject to the terms and conditions of the Confidentiality Agreement after the
Closing Date.

 

Section
4.05. Retention of Books and Records. For a period of seven (7) years following the Closing, Purchaser shall retain
the books and records of the Company, and upon reasonable notice, afford the officers, employees, agents and representatives of
Seller reasonable access (including the right to make photocopies, at the expense of Seller), during normal business hours, to
such books and records.

 

Section
4.06. Certain Consents and Waivers. Notwithstanding the items disclosed in Section 2.05(b) of the Company
Disclosure Letter, Purchaser acknowledges that only the Material Consents shall have been obtained prior to the Closing Date and
certain consents and waivers other than the Material Consents with respect to the transactions contemplated by this Agreement may
be required from parties to the Contracts, Governmental Entities or other Persons and that such consents and waivers have not been
obtained. Except for the Material Consents, Seller shall not have any liability to Purchaser or the Company arising out of or relating
to the failure to obtain any consents or waivers that may be required in connection with the transactions contemplated by this
Agreement or because of the termination of any Contract or revocation, suspension or termination of any Permit as a result thereof.

 

Section
4.07. Expenses; Transfer Taxes.

 

(a)Except
as otherwise set forth in this Agreement, all costs and expenses incurred in connection with this Agreement and the transactions
contemplated hereby shall be paid by the Party incurring such expense, including all costs and expenses incurred pursuant to this
Section 4.04.

 

    	- 12 -

    	 

    

 

(b)Notwithstanding
anything to the contrary contained herein, Purchaser shall pay the amount of any documentary, sales, use, real property transfer,
real property gains, registration, value-added, transfer, stamp, recording and other similar Taxes, fees, and costs together with
any interest thereon, penalties, fines, costs, fees, additions to tax or additional amounts with respect thereto incurred in connection
with this Agreement and the transactions contemplated hereby. Each Party shall use commercially reasonable efforts to avail itself
of any available exemptions from any Taxes, and to cooperate with the other Parties in providing any information and documentation
that may be necessary to obtain such exemptions.

 

Section
4.08. Post-Closing Cooperation. Seller and Purchaser shall cooperate with each other, and shall cause their Affiliates
and their officers, employees, agents, auditors and representatives to cooperate with each other, for a reasonable period after
the Closing to ensure the orderly transition of the Company from Seller to Purchaser and to minimize any disruption to the Company
and the other respective businesses of Seller and Purchaser that may result from the transactions contemplated by this Agreement.
After the Closing, upon reasonable written notice, Seller and Purchaser shall furnish or cause to be furnished to each other and
their Affiliates and their respective employees, counsel, auditors and representatives access, during normal business hours, to
such information and assistance relating to the Company (to the extent within the control of such Party) as is reasonably necessary
for financial reporting and accounting matters.

 

Section
4.09. Publicity. No public release or announcement concerning the Acquisition and the other transactions contemplated
by this Agreement shall be issued by any Party following the Closing Date without the prior consent of the other Parties (which
consent shall not be unreasonably withheld), except as such release or announcement may be required by Law or the rules or regulations
of any securities exchange, in which case the Party required to make the release or announcement shall allow the other Party reasonable
time to comment on such release or announcement in advance of such issuance.

 

Section
4.10. Further Assurances. From time to time, as and when requested by any Party, each Party shall execute and deliver,
or cause to be executed and delivered, all such documents and instruments and shall take, or cause to be taken, all such further
or other actions, as such other Party may reasonably deem necessary or desirable to complete the Acquisition and to consummate
the transactions contemplated by this Agreement.

 

Section
4.11. Survival and Right to Indemnification.

 

(a)All
of Seller’s representations, warranties, covenants, and/or obligations in this Agreement, and any other certificate or document
delivered pursuant to this Agreement will survive the Closing and the consummation of the transactions contemplated herein for
a one year period from the Closing; however, that representations and warranties with respect to tax and securities law matters
shall survive for the applicable statute of limitations.

 

    	- 13 -

    	 

    

 

(b)Seller
will indemnify and hold harmless Purchaser and its employees, officers, directors and shareholders (collectively, the “Turquino
Indemnified Persons”) and will pay to the Turquino Indemnified Persons the amount of any damages arising, directly or
indirectly, from any breach in any respect of any representation, warranty, covenant and /or obligation made by Seller in this
Agreement or in any other certificate or document delivered pursuant to this Agreement; provided, however, that in
no event shall Seller’s liability under this Agreement or in connection with any certificate or document delivered pursuant
to this Agreement exceed an aggregate amount of One Hundred Thousand Dollars ($100,000).

 

Section
4.12. Employment and Indemnification Agreement Assumptions. Purchaser hereby agrees to assume the obligations of
WPCS under the existing employment agreement with Matthew Hidalgo and the existing indemnification agreements between WPCS and
each of Stephen Mullane and Mark Eaton.

 

ARTICLE
V

 

CONDITIONS TO CLOSE 

 

Section
5.01. Conditions to Obligations of Purchaser. The obligations of Purchaser to consummate the transactions contemplated
by this Agreement shall be subject to the fulfillment or Purchaser’s waiver, at or prior to the Closing, of each of the following
conditions:

 

(a)All
of Seller’s and Company’s representations and warranties in this Agreement (considered both collectively and individually)
must have been accurate in all material respects as of the date of this Agreement, and must be accurate in all material respects
as of the Closing Date as if then made;

 

(b)All
of the covenants and obligations that the Seller is required to perform or to comply with under this Agreement on or before the
Closing Date (considered both collectively and individually) must have been duly performed and complied with in all material respects
at Purchaser’s reasonable satisfaction;

 

(c)Since
the date of this Agreement, no event or circumstance shall have occurred that, individually, or in the aggregate, has had or would
reasonably be expected to have a Company Material Adverse Effect;

 

(d)There
must not have been made or threatened by any Person who is not a party to this Agreement any claim asserting that such Person (a)
is the holder or the beneficial owner of, or has the right to acquire or to obtain beneficial ownership of, any stock of or any
other voting, equity or ownership interest in the Company, or (b) is entitled to all or any portion of the Purchase Price; and

 

(e)There
must not be in effect any Law or Order that (a) prohibits the Acquisition or consummation of the transactions contemplated under
this Agreement and (b) has been adopted or issued, or has otherwise become effective, since the date of this Agreement.

 

    	- 14 -

    	 

    

 

Section
5.02. Conditions to Obligations of Seller. The obligations of Seller to consummate the transactions contemplated
by this Agreement shall be subject to the fulfillment or Seller’s waiver, at or prior to the Closing, of each of the following
conditions:

 

(a)All
of Purchaser’s representations and warranties in this Agreement (considered both collectively and individually) must have
been accurate in all material respects as of the date of this Agreement and must be accurate in all material respects as of the
Closing Date as if then made;

 

(b)
All of the covenants and obligations that Purchaser is required to perform or to comply with under this Agreement on or before
the Closing Date (considered both collectively and individually) must have been duly performed and complied with in all material
respects at Seller’s reasonable satisfaction;

 

(c)WPCS
Shareholder Approval has been obtained,

 

(d)The
Fairness Opinion has been obtained, and

 

(e)There
must not be in effect any Law or Order that (a) prohibits the Acquisition or consummation of the transactions contemplated under
this Agreement and (b) has been adopted or issued, or has otherwise become effective, since the date of this Agreement.

 

ARTICLE
VI 

 

TERMINATION

 

Section
6.01. Termination Events. Subject to Section 6.02, this Agreement may, by notice given before or at the Closing,
be terminated:

 

(a)by
mutual consent of Purchaser and Seller;

 

(b)by
Purchaser or Seller if (i) WPCS Shareholder Approval is not obtained at a shareholder meeting duly called where such proposal is
submitted to the vote of the shareholders of WPCS or (ii) the Fairness Opinion is not obtained;

 

(c)by
Purchaser if Seller has committed a material breach of any provision of this Agreement, Purchaser has not waived such material
breach and Seller has not cure such material breach within 30 days of receipt of written notice (with specificity) of such;

 

(d)by
Seller if Purchaser has committed a material breach of any provision of this Agreement, Seller has not waived such material breach
and Purchaser has not cure such material breach within 30 days of receipt of written notice (with specificity) of such;

 

(e)by
Purchaser if the satisfaction of any condition in Section 5.01 is or becomes impossible (other than through the failure
of Purchaser to comply with its obligations under this Agreement) and Purchaser has not waived such condition; or

 

    	- 15 -

    	 

    

 

(f)by
Seller if the satisfaction of any condition in Section 5.02 is or becomes impossible (other than through the failure of
Seller to comply with its obligations under this Agreement) and Seller has not waived such condition.

 

Section
6.02. Effect of Termination. Each Party’s right of termination under Section 6.01 is in addition to any other
rights it may have under this Agreement or otherwise, and the exercise of such right of termination will not be an election of
remedies. If this Agreement is terminated pursuant to Section 6.01, all obligations of the Parties under this Agreement will terminate,
except that the obligations in Sections 7.09, 7.10, 7.11, 7.12, and 7.13 will survive; provided, however, that if this Agreement
is terminated by a Party because of the breach of the Agreement by another Party or because one or more of the conditions to the
terminating Party’s obligations under this Agreement is not satisfied as a result of any other Party’s failure to comply
with its obligations under this Agreement, the terminating Party’s right to pursue all legal remedies, including the right
to an immediate refund of any amounts paid to the other Party under this Agreement, will survive such termination unimpaired.

 

ARTICLE
VII

General Provisions

 

Section
7.01. Statutes. Except as otherwise provided in this Agreement, any reference in this Agreement to a statute refers
to such statute and all rules and regulations made under it, as it or they may have been amended or re-enacted.

 

Section
7.02. Non-Business Days. Whenever payments are to be made or an action is to be taken on a day which is not a Business
Day, such payment shall be made or such action shall be taken on or not later than the next succeeding Business Day.

 

Section
7.03. Amendments; Waivers. This Agreement may only be amended, supplemented or otherwise modified by written agreement
signed by Seller and Purchaser. By an instrument in writing, Purchaser or Seller may waive compliance by the other with any term
or provision of this Agreement that such other Party was or is obligated to comply with or perform. No waiver by a party of any
default, misrepresentation or breach of warranty or covenant hereunder, whether intentional or not, shall be deemed to extend to
any prior or subsequent default, misrepresentation or breach of warranty or covenant hereunder or affect in any way any rights
arising by virtue of any prior or subsequent occurrence. No failure or delay by a party in exercising any right, power or privilege
hereunder shall operate as a waiver thereof nor shall any single or partial exercise thereof preclude any other or further exercise
thereof or the exercise of any other right, power or privilege.

 

Section
7.04. Assignment. This Agreement and the rights and obligations under this Agreement shall not be assignable or transferable
by any Party (including by operation of law in connection with a merger or consolidation of such Party) without the prior written
consent of the other Party, such consent not to be unreasonably withheld. Any attempted assignment in violation of this Section
5.04 shall be void.

 

    	- 16 -

    	 

    

 

Section
7.05. No Third-Party Beneficiaries. This Agreement is for the sole benefit of the parties hereto and their respective
successors and permitted assigns and nothing herein, express or implied, is intended to or shall confer upon any other Person or
entity any legal or equitable right, benefit or remedy of any nature whatsoever under or by reason of this Agreement.

 

Section
7.06. Notices. All notices, requests, consents, claims, demands, waivers and other communications hereunder shall
be in writing and shall be deemed to have been given (a) when delivered by hand (with written confirmation of receipt), (b) when
received by the addressee if sent by a nationally recognized overnight courier (receipt requested), (c) on the date sent by facsimile
(with confirmation of transmission) if sent during normal business hours of the recipient, and on the next Business Day if sent
after normal business hours of the recipient, or (d) on the third (3rd) Business Day after the date mailed, by certified or registered
mail, return receipt requested, postage prepaid. Such communications must be sent to the respective parties at the following addresses
(or at such other address for a party as shall be specified in a notice given in accordance with this Section 5.06):

 

	If to Purchaser, to:	 	Turquino Equity LLC

10 East Kentucky Avenue

Long Beach Township, NJ 08008

Phone: (610) 564-5574

Attention: Andrew Hidalgo, Managing Partner
	 	 	 
	with a copy (which will not constitute notice) to:	 	Miller, Canfield, Paddock, and Stone, P.L.C.

500 Fifth Avenue, 43rd Floor

New York, New York 10110

Fax no: (212) 704-4410

Phone: (212) 704-4414

Attention: Gurinder J. Singh
	 	 	 
	If to Seller, to:	 	WPCS Australia Pty Ltd

c/o WPCS International Incorporated

One East Uwchlan Avenue

Suite 301

Exton, Pennsylvania, 19341

Facsimile: (610) 903-0401

Attention: Chief Executive Officer
	 	 	 
	with a copy (which will not constitute notice) to:	 	Sichenzia Ross Friedman Ference LLP

61 Broadway, 32nd Floor

New York, New York 10006

Facsimile: (212) 930-9725

Attention:  Thomas A. Rose

 

or to such other Persons, addresses or
facsimile numbers as may be designated in writing by the Person entitled to receive such communication as provided above.

 

    	- 17 -

    	 

    

 

Section
7.07. Interpretation; Exhibits and Sections; Certain Definitions.

 

(a)The
table of contents and headings herein are for convenience of reference only, do not constitute part of this Agreement and shall
not be deemed to limit or otherwise affect any of the provisions hereof. Where a reference in this Agreement is made to a Section
or Exhibit, such reference shall be to a Section of or Exhibit to this Agreement unless otherwise indicated. Whenever the words
“include,” “includes” or “including” are used in this Agreement, they shall be deemed to be
followed by the words “without limitation.” A reference in this Agreement to $ or dollars is to U.S. dollars, except
any reference to AUD $ refers to Australian dollars. The words “hereof”, “herein” and “hereunder”
and words of similar import when used in this Agreement shall refer to this Agreement as a whole and not to any particular provision
of this Agreement. References to “this Agreement” shall include all Exhibits hereto and the Company Disclosure Letter.

 

(b)The
parties have participated jointly in negotiating and drafting this Agreement. In the event that an ambiguity or a question of intent
or interpretation arises, this Agreement shall be construed as if drafted jointly by the parties, and no presumption or burden
of proof shall arise favoring or disfavoring any party by virtue of the authorship of any provision of this Agreement.

 

(c)For
all purposes of this Agreement:

 

“Affiliate” means,
with respect to any Person, any other Person that directly or indirectly controls, is controlled by or is under common control
with, such Person. For the purposes of this definition, “control” (including, the terms “controlling,”
“controlled by” and “under common control with”), as applied to any Person, means the possession, directly
or indirectly, of the power to direct or cause the direction of the management and policies of that Person, whether through the
ownership of voting securities, by Contract or otherwise.

 

“Business
Day” means any day, other than Saturday, Sunday or any day on which banking institutions located in New
York City are authorized or required by Law or other governmental action to close.

 

“Code”
means the Internal Revenue Code of 1986, as amended.

 

    	- 18 -

    	 

    

 

“Company
Material Adverse Effect” means any event, change, development, effect or occurrence (an “Effect”)
that, individually or together with any other Effect, is materially adverse to the business, assets, liabilities, results of operations
or condition (financial or otherwise) of the Company, taken as a whole; provided, however, that in determining whether a Company
Material Adverse Effect has occurred, there shall be excluded any Effect to the extent resulting from the following: (a) any Effect
affecting the businesses or industries in which the Company operates (including general pricing changes), (b) any change in general
economic or business conditions, including changes in the financial, securities or credit markets (including changes in interest
rates and currency rates), or changes in such conditions in any area in which the Company operates, (c) any change in global or
national political conditions, (d) the negotiation, execution, announcement, pendency or performance of this Agreement and the
transactions contemplated by this Agreement, (e) any failure, in and of itself, of the Company to meet any estimates, expectations,
forecasts or projections, including revenues, earnings or other measures of financial performance, for any period; provided, however,
that the facts and circumstances underlying any such failure may, except as may be provided in subsections (a), (b), (c), (d),
(f), (g), (h), (i) or (j) of this definition, be considered in determining whether a Company Material Adverse Effect has occurred,
(f) any change in GAAP or other accounting standards or any change in any Laws or interpretations thereof, in each case, after
the date of this Agreement, (g) any act of God or any change that is the result of any outbreak or escalation of acts of war, material
armed hostilities or other material international or national calamity, acts of terrorism or natural disasters, (h) any loss of
or adverse change in the business relationship between the Company, on the one hand, and Purchaser or any of its Affiliates, on
the other hand, (i) any fees, expenses or change of control payments incurred in connection with this Agreement and the transactions
contemplated by this Agreement or (j) any action expressly required or permitted by this Agreement, including actions required
to be taken by this Agreement upon the specific request of Purchaser, or the failure to take any actions due to the restrictions
set forth in this Agreement; except, with respect to clauses (a), (b), (c), (f) or (g), so long as such changes do not have a disproportionate
adverse impact on the Company, taken as a whole, relative to other businesses of similar size operating in the same industry in
which the Company operates.

 

“Consent”
means any consent, approval, authorization, permit, clearances, exemption and notice.

 

“Contracts” means
any contracts, agreements, licenses, notes, bonds, mortgages, deeds, undertakings, indentures, leases or other binding instruments
or binding commitments, whether written or oral.

 

“Employee
Program” means (a) all employee share or benefit plans within the meaning of Division 13 of the Income Tax
Assessment Act 1997 (Cth), including, but not limited to multiple employer welfare arrangements, plans to which more than one
unaffiliated employer contributes, and employee benefit plans (such as foreign or excess benefit plans) which do not qualify under
the aforementioned Division 13; and (b) all share and stock option plans, bonus or incentive award plans, severance pay policies
or agreements, deferred compensation agreements, supplemental income arrangements, vacation plans, and all other employee benefit
plans, agreements, and arrangements not described in (a) above.

 

“Environmental
Law” means any Law regulating or relating to the protection of human health, safety, natural resources or
the environment.

 

“Exchange
Act” means the Securities Exchange Act of 1934, as amended.

 

“GAAP”
means generally accepted accounting principles in the United States in effect from time to time.

 

“Governmental
Entity” means any international, national, federal, state, provincial or local governmental, regulatory or administrative
authority, agency, commission, court, tribunal, arbitral body, self-regulated entity or similar body, whether domestic or foreign.

 

    	- 19 -

    	 

    

 

“Hazardous
Substance” shall mean (a) any material, substance, chemical, waste, product, derivative, compound, mixture,
solid, liquid, mineral or gas, in each case, whether naturally occurring or manmade, that is hazardous, acutely hazardous, toxic,
or words of similar import or regulatory effect under Environmental Laws, and (b) any petroleum or petroleum-derived products,
radon, radioactive materials or wastes, asbestos in any form, lead or lead-containing materials, urea formaldehyde foam insulation
and polychlorinated biphenyls.

 

“Intellectual
Property” means all intellectual property and other similar proprietary rights in any jurisdiction, whether
owned or held for use under license, whether registered or unregistered, including such rights in and to: (a) patents and applications
therefor and all reissues, divisions, renewals, extensions, provisionals, continuations and continuations-in-part thereof, continuing
patent applications, reexaminations, and extensions thereof, any counterparts claiming priority therefrom, utility models, patents
of importation/confirmation, certificates of invention, certificates of registration and like rights (“Patents”);
inventions, invention disclosures, discoveries and improvements, whether or not patentable; (b) copyrights and all other similar
rights throughout the world; (c) design rights; (d) trade names, logos, trademarks and service marks, trade dress, certification
marks and the goodwill associated with the foregoing; (e) trade secrets (including, those trade secrets defined in the Uniform
Trade Secrets Act or under similar foreign statutory and common law), business, technical and know-how information, databases,
data collections and other confidential and proprietary information and all rights therein; (f) software, including data files,
source code, object code, application programming interfaces, architecture, documentation, files, records, schematics, computerized
databases and other software-related specifications and documentation; and (g) Internet domain names; and in each case of (a)
to (g) above, including any registrations of, applications to register, and renewals and extensions of, any of the foregoing with
or by any Governmental Entity in any jurisdiction.

 

“Laws” means
any domestic or foreign laws, common law, statutes, ordinances, rules, regulations, codes, Orders or legally enforceable requirements
enacted, issued, adopted, promulgated, enforced, ordered or applied by any Governmental Entity.

 

“Liens” means,
with respect to any property or asset, all pledges, liens, mortgages, charges, encumbrances, hypothecations, options, rights of
first refusal, rights of first offer and security interests of any kind or nature whatsoever.

 

“Litigation”
means any action, cause of action, claim, cease and desist letter, demand, suit, arbitration proceeding, citation, summons, subpoena
or investigation or proceeding of any nature, civil, criminal, regulatory or otherwise, at law or in equity.

 

“Order” means
order, writ, assessment, decision, injunction, decree, ruling or judgment of a Governmental Entity.

 

“Organizational
Documents” means the articles of incorporation, certificate of incorporation, charter, bylaws, articles of formation,
certificate of formation, regulations, operating agreement, certificate of limited partnership, partnership agreement, and all
other similar documents, instruments or certificates executed, adopted, or filed in connection with the creation, formation, or
organization of a Person, including any amendments thereto.

 

    	- 20 -

    	 

    

 

“Party”
means any of Purchaser or Seller, and “Parties” means both of them collectively.

 

“Permitted
Liens” means (a) statutory Liens for current Taxes or other governmental charges or assessments not yet
due and payable or the amount or validity of which is being contested in good faith (provided appropriate reserves required pursuant
to GAAP have been made in respect thereof), (b) mechanics’, carriers’, workers’, repairers’ and similar
statutory Liens arising or incurred in the ordinary course of business for amounts which are not delinquent or which are being
contested by appropriate proceedings (provided appropriate reserves required pursuant to GAAP have been made in respect thereof),
(c) zoning, entitlement, building and other land use regulations imposed by Governmental Entities having jurisdiction over such
Person’s owned or leased real property, which are not violated by the current use and operation of such real property, (d)
covenants, conditions, restrictions, easements and other similar non-monetary matters of record affecting title to such Person’s
owned or leased real property, which do not materially impair the occupancy or use of such real property for the purposes for
which it is currently used in connection with such Person’s businesses, (e) any right of way or easement related to public
roads and highways, and (f) Liens arising under workers’ compensation, unemployment insurance, social security, retirement
and similar legislation.

 

“Permits”
means any material certificates, licenses, permits, authorizations and approvals required by Law in connection with the operation
of the business of either Company as presently conducted.

 

“Person” means
any individual, corporation, limited or general partnership, limited liability company, limited liability partnership, trust,
association, joint venture, Governmental Entity and other entity and group (which term will include a “group” as such
term is defined in Section 13(d)(3) of the Exchange Act).

 

“Purchaser
Material Adverse Effect” means a material adverse effect on the ability of Purchaser to perform its obligations under
this Agreement or on the ability of Purchaser to consummate the Acquisition and the other transactions contemplated hereby.

 

“Purchaser’s
Knowledge” or “Knowledge of the Purchaser” means the actual knowledge of the managing member of Purchaser.

 

“Release”
means any releasing, disposing, discharging, injecting, spilling, leaking, leaching, pumping, dumping, emitting, escaping, emptying,
seeping, dispersal, migration, transporting, placing and the like, including without limitation, the moving of any materials through,
into or upon, any land, soil, surface water, groundwater or air, or otherwise entering into the indoor or outdoor environment.

 

“SEC” means
the Securities and Exchange Commission.

 

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

 

“Seller’s
Knowledge” or “Knowledge of the Seller” means the actual knowledge of the directors of Seller.

 

    	- 21 -

    	 

    

 

“Subsidiary”
means, when used with respect to any party, any corporation or other organization, whether incorporated or unincorporated, a majority
of the securities or other interests of which having by their terms ordinary voting power to elect a majority of the board of directors
or others performing similar functions with respect to such corporation or other organization is directly or indirectly owned or
controlled by such party or by any one or more of its subsidiaries, or by such party and one or more of its subsidiaries.

 

“Taxes”
means all federal, state, local, foreign and other income, gross receipts, sales, use, production, ad valorem, transfer, franchise,
registration, profits, license, lease, service, service use, withholding, payroll, employment, unemployment, estimated, excise,
severance, environmental, stamp, occupation, premium, property (real or personal), real property gains, windfall profits, customs,
duties or other taxes, fees, assessments or charges of any kind whatsoever, together with any interest, additions or penalties
with respect thereto and any interest in respect of such additions or penalties.

 

“Tax
Returns” means any return, declaration, report, claim for refund, information return or statement or other
document required to be filed with or provided to any taxing authority in respect of Taxes, including any schedule or attachment
thereto, and including any amendment thereof.

 

“WPCS” means
WPCS International Incorporated, a Delaware corporation and the parent company of the Seller.

 

“WPCS 2013
10-K” means WPCS’ Annual Report on Form 10-K for the fiscal year ended April 30, 2013 filed with the SEC.

 

“WPCS
SEC Documents” means all forms, statements, reports and documents, together with any required amendments
thereto, that WPCS was required to file or furnish with the SEC pursuant to the Securities Act and the Exchange Act.

 

“WPCS
Shareholder Approval” means the consent from the shareholders of WPCS approving the Agreement, the Acquisition
and all the transactions contemplated hereby at a duly called meeting of WPCS’ shareholders.

 

    	- 22 -

    	 

    

 

(d)Index
of Defined Terms.

 

	Defined Term	Section	Page
	Agreement	Preamble	1
	Acquisition	1.01(c)	2
	Benefit Plans	2.12(b)	6
	Closing	1.02	2
	Closing Date	1.02	2
	Company	Preamble	1
	Company Disclosure Letter	Article II	3
	Confidentiality Agreement	4.01	11
	Effect	Definition of “Company Material Adverse Effect”	15
	Filed WPCS SEC Documents	Article II	3
	Independent Accounting Firm	1.01(b)	1
	Leased Real Property	2.13	7
	Leases	2.13	7
	Material Contract	2.16	8
	NTAV	1.01(b)	1
	Purchase Price	1.01(a)	1
	Purchaser	Preamble	1
	Shares	Preamble	1
	Seller	Preamble	1
	Turquino Indemnified Persons	4.08(b)	13

 

Section
7.08. Counterparts. This Agreement may be executed in one or more counterparts, all of which shall be considered
one and the same agreement, and shall become effective when one or more such counterparts have been signed by each of the Parties
and delivered to the other Parties. In the event that any signature is delivered by facsimile transmission or by an e-mail which
contains a portable document format (.pdf) file of an executed signature page, such signature page shall create a valid and binding
obligation of the party executing (or on whose behalf such signature is executed) with the same force and effect as if such signature
page were an original thereof.

 

Section
7.09. Entire Agreement; Survival. This Agreement (including the Exhibits to this Agreement), the Company Disclosure
Letter and the Confidentiality Agreement constitute the entire agreement among the Parties with respect to the subject matter of
this Agreement and supersede all other prior agreements and understandings, both written and oral, among the parties to this Agreement
with respect to the subject matter of this Agreement. In the event of any inconsistency between the statements in the body of this
Agreement, the Confidentiality Agreement and the Company Disclosure Letter (other than an exception expressly set forth as such
in the Company Disclosure Letter), the statements in the body of this Agreement will control. The Confidentiality Agreement will
survive the Closing Date in accordance with its terms.

 

    	- 23 -

    	 

    

 

Section
7.10. Severability. If any term or provision of this Agreement is invalid, illegal or unenforceable in any jurisdiction,
such invalidity, illegality or unenforceability shall not affect any other term or provision of this Agreement or invalidate or
render unenforceable such term or provision in any other jurisdiction. Upon such determination that any term or other provision
is invalid, illegal or unenforceable, the parties hereto shall negotiate in good faith to modify this Agreement so as to effect
the original intent of the parties as closely as possible in a mutually acceptable manner in order that the transactions contemplated
hereby be consummated as originally contemplated to the greatest extent possible.

 

Section
7.11. Governing Law. This Agreement shall be governed by and construed in accordance with the internal laws of the
State of Delaware without giving effect to any choice or conflict of law provision or rule (whether of the State of Delaware or
any other jurisdiction) that would cause the application of Laws of any jurisdiction other than those of the State of Delaware.

 

Section
7.12. Waiver of Jury Trial. EACH PARTY ACKNOWLEDGES AND AGREES THAT ANY CONTROVERSY WHICH MAY ARISE UNDER THIS AGREEMENT
IS LIKELY TO INVOLVE COMPLICATED AND DIFFICULT ISSUES AND, THEREFORE, EACH SUCH PARTY IRREVOCABLY AND UNCONDITIONALLY WAIVES ANY
RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LEGAL ACTION ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE TRANSACTIONS
CONTEMPLATED BY THIS AGREEMENT. EACH PARTY TO THIS AGREEMENT CERTIFIES AND ACKNOWLEDGES THAT (A) NO REPRESENTATIVE OF ANY OTHER
PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT SEEK TO ENFORCE THE FOREGOING WAIVER IN THE EVENT
OF A LEGAL ACTION, (B) SUCH PARTY HAS CONSIDERED THE IMPLICATIONS OF THIS WAIVER, (C) SUCH PARTY MAKES THIS WAIVER VOLUNTARILY,
AND (D) SUCH PARTY HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS
IN THIS SECTION 5.12.

 

Section
7.13. Consent to Jurisdiction. Each Party hereby irrevocably and unconditionally submits, for itself and its property,
to the exclusive jurisdiction of the United States District Court for the Southern District of New York, or, if (and only if) such
court lacks subject matter jurisdiction, the Federal court of the United States of America sitting in New York, and any appellate
court from any thereof, in any action or proceeding arising out of or relating to this Agreement or the agreements delivered in
connection herewith or the transactions contemplated hereby or thereby or for recognition or enforcement of any judgment relating
thereto, and each of the parties hereby irrevocably and unconditionally (a) agrees not to commence any such action or proceeding
except in the United States District Court for the Southern District of New York, or, if (and only if) such court lacks subject
matter jurisdiction, the Federal court of the United States of America sitting in New York, and any appellate court from any thereof,
(b) agrees that any claim in respect of any such action or proceeding may be heard and determined in the United States District
Court for the Southern District of New York, or, if (and only if) such court lacks subject matter jurisdiction, the Federal court
of the United States of America sitting in New York, and any appellate court from any thereof, (c) waives, to the fullest extent
it may legally and effectively do so, any objection that it may now or hereafter have to the laying of venue of any such action
or proceeding in the United States District Court for the Southern District of New York, or, if (and only if) such court lacks
subject matter jurisdiction, the Federal court of the United States of America sitting in New York, and any appellate court from
any thereof and (d) waives, to the fullest extent permitted by Law, the defense of an inconvenient forum to the maintenance of
such action or proceeding in the United States District Court for the Southern District of New York, or, if (and only if) such
court lacks subject matter jurisdiction, the Federal court of the United States of America sitting in New York, and any appellate
court from any thereof. Each Party agrees that a final judgment in any such action or proceeding shall be conclusive and may be
enforced in other jurisdictions by suit on the judgment or in any other manner provided by Law. Each party to this Agreement irrevocably
consents to service of process in the manner provided for notices in Section 5.13. Nothing in this Agreement will affect
the right of any party to this Agreement to serve process in any other manner permitted by Law.

 

[signature page follows]

 

 

    	- 24 -

    	 

    

 

IN WITNESS WHEREOF, Seller
and Purchaser have duly executed this Agreement as of the date first written above.

 

	 	WPCS AUSTRALIA PTY LTD
	 	 	 	 
	 	 	 	 
	 	By:	/s/ JOSEPH HEATER	 
	 	 	Name: Joseph Heater	 
	 	 	Title: Director	 
	 	 	 	 
	 	 	 	 
	 	TURQUINO EQUITY LLC
	 	 	 	 
	 	 	 	 
	 	By:	/s/ ANDREW HIDALGO	 
	 	 	Name: Andrew Hidalgo	 
	 	 	Title: Managing Member	 

 

 

Signature Page to Securities Purchase AgreementBIOFUELS EVALUATION AND LICENSE AGREEMENT

 

This Biofuels Evaluation and License Agreement
(this “Agreement”), dated as of May 14, 2013 (the “Effective Date”), is made by and between
Senesco Technologies, Inc., a Delaware corporation with a place of business at 721 Route 202/206, Suite 130, Bridgewater, New Jersey
08807 (“Senesco”) and Senesco, Inc., a New Jersey corporation with a place of business at 721 Route 202/206,
Suite 130, Bridgewater, New Jersey 08807 a wholly-owned subsidiary of Senesco (“Senesco Sub”, and together with
Senesco, the “Senesco Parties”), on the one hand, and BioCorp Ventures LLC, a Delaware limited liability company
with a place of business at 336 Bon Air Center #418, Greenbrae, CA 94904 (“BCV”), on the other. The Senesco
Parties and BCV are each hereinafter referred to individually as a “Party” and together as the “Parties”;
provided, however, that for clarity Senesco Sub does not make any representations or warranties to BCV pursuant to
Sections 8.1 or 8.2 and does not have any obligations under Sections 8.4 or 8.6 below.

 

RECITALS

 

WHEREAS, the Senesco Parties own
certain proprietary technology related to modulating the expression of genes in algal and plant cells to increase yield, increase
growth rates and reduce the harmful effects of a wide variety of environmental stresses;

 

WHEREAS, BCV desires to evaluate
the Senesco Parties’ technology and, upon satisfactory completion of such evaluation, to obtain an exclusive license to develop
and commercialize such Senesco Parties’ technology in the field of biofuels products, and the Senesco Parties are willing
to grant such license on the terms and conditions set forth below.

 

NOW, THEREFORE, in consideration
of the mutual covenants contained herein, and for other good and valuable consideration, the receipt and adequacy of which are
hereby acknowledged, the Parties hereby agree as follows:

ARTICLE I

DEFINITIONS

 

Section 1.1.Certain Defined Terms.
The following terms shall have the meanings set forth below:

 

“Affiliate” means with
respect to each Party, any Person that directly or indirectly is controlled by, controls or is under common control with a Party.
For the purposes of this definition only, the term “control” (including, with correlative meanings, the terms “controlled
by” and “under common control with”) as used with respect to a Person means (a) in the case of a corporate entity,
direct or indirect ownership of voting securities entitled to cast at least fifty percent (50%) of the votes in the election of
directors or (b) in the case of a non-corporate entity, direct or indirect ownership of at least fifty percent (50%) of the equity
interests with the power to direct the management and policies of such entity. For purposes of this Agreement, notwithstanding
anything to the contrary herein, neither Senesco nor any other equity holders of BCV shall be deemed to be an Affiliate of BCV,
other than a holder of all of the outstanding capital stock of BCV.

 

    	 

    	 

    

  

“Agreement” has the meaning
set forth in the introductory paragraph hereof.

 

“Applicable Law” means
all applicable laws, statutes, rules, regulations, ordinances and other pronouncements having the effect of law of any federal,
national, multinational, state, provincial, county, city or other political subdivision, domestic or foreign.

 

“Bankruptcy Code” has
the meaning set forth in Section 9.9.

 

“BCV” has the meaning
set forth in the introductory paragraph hereof.

 

“BCV Improvements” means
all Sole Inventions and Technology and other intellectual property, whether or not patentable, that are conceived of, discovered,
developed or authored after the Effective Date, by or on behalf of BCV, whether alone or together with Third Parties, whether or
not in connection with this Agreement, that relate to or are an improvement to or derivative of any Biofuel IP. BCV Improvements
excludes Joint Inventions and Joint Patents.

 

“BCV Indemnitees” has
the meaning set forth in Section 8.4(b).

 

“BCV Owned Service Improvements”
means any and all Technology created pursuant to the Services pursuant to Section 2.4 that (a) is not related to or an improvement
to or a derivative of the Biofuel IP and (b) is not related to or derived from any research or development conducted by or on behalf
of the Senesco Parties or their Affiliates relating to eIF-5A technology.

 

“Biofuel IP” means (a)
the Biofuel Patent Rights; and (b) the Biofuel Know-How.

 

“Biofuel Know-How” means
any and all (a) Existing Technology, (b) Developed Technology and (c) Joint Inventions. The Biofuel Know-How does not include any
trademarks, software or information technology systems.

 

“Biofuel Patent Rights”
means (a) the Existing Biofuel Patent Rights, (b) any and all Patent Rights that claim Biofuel Know-How and that are Controlled
by the Senesco Parties or their Affiliates as of the Effective Date and/or during the Term, including the Senesco Parties’
and their Affiliates’ interest in any Joint Patent, and (c) Senesco Improvement Patent Rights.

 

“Commercialization License”
has the meaning set forth in 0(b).

 

“Commercialization License Commencement
Date” means the date of the next day following the Evaluation Period Termination Date.

 

“Commercially Reasonable Efforts”
means, with respect to a Party’s obligation under this Agreement, the carrying out of such obligations in a diligent and
sustained manner using such effort and employing such resources as would normally be exerted or employed by a similarly-situated
company.

 

    	- 2 -

    	 

    

 

“Confidential Information”
means, with respect to a Party, all proprietary or confidential information and materials (whether or not patentable) disclosed
by one Party to the other, including all trade secrets, processes, formulae, data, know-how, improvements, inventions, chemical
or biological materials, assays, techniques, marketing plans, strategies, and customer lists, regardless of whether any of the
foregoing are marked “confidential” or “proprietary” or communicated to the other Party by the disclosing
Party in oral, written, graphic, or electronic form.

 

“Control” or “Controlled”
shall mean with respect to the subject item, the possession (whether by ownership or license, other than pursuant to this Agreement)
by a Party of the right to grant to the other Party access or a license as provided herein under such item or right without violating
the terms of any agreement or other arrangement with any Third Party or, with respect to any agreements or arrangements executed
with any Third Party after the Effective Date, incurring any additional costs or expenses under any such agreement or arrangement,
provided that if the other Party agrees to bear such additional costs or expenses with respect to the subject item, such
subject item shall be deemed Controlled by the Party granting the access or license herein. Notwithstanding anything to the contrary
in this Agreement, no Technology, materials, information or other intellectual property or other proprietary rights not Controlled
by a Party or any of its Affiliates prior to an Industry Transaction (as defined below) of such Party will be Controlled for purposes
of this Agreement after such Industry Transaction, other than (a) Technology, material, intellectual property or information conceived,
reduced to practice, authored, developed, generated or otherwise made by any Person within the Acquiring Group (defined below)
as part of the activities under this Agreement or in the course of performing research or development in the Field using the Biofuel
IP during the Term, and (b) any Patent Right that claims priority, directly or indirectly, to any other Patent Right first Controlled
by a Party of its Affiliates before the Industry Transaction no matter when such Patent Right is filed or issued. For purposes
of the foregoing, “Industry Transaction” for a Party shall mean that (x) that such Party will have become an
Affiliate of a Third Party or (y) any sale, license or other transfer (in one transaction or a series of related transactions,
and by any means, including by merger or consolidation) of all or substantially all of such Party’s assets or that portion
of its business pertaining to the subject matter of this Agreement will have occurred to a Third Party (such Third Party in this
clause (x) and/or (y), together with its affiliates (for clarity including any Person that becomes an affiliate of such Third Party
as a result of the Industry Transaction), the “Acquiring Group”).

 

“Cover” means, with respect
to any Patent Rights, that the manufacture, use, offer for sale, sale or import of any article or composition of matter, or the
practice of any process or method, infringes at least one (1) Valid Claim of such Patent Rights.

 

“Developed Technology”
means any and all Technology that is (a) created by or on behalf of the Senesco Parties or their Affiliates in the course of performing
research or development in the Field during the Term, or (b) created pursuant to the Services provided by the Senesco Parties’
or their Affiliates’ employees pursuant to Section 2.4 (excluding BCV Owned Service Improvements), in each case that
is Controlled by a Senesco Party or its Affiliates during the Term.

 

    	- 3 -

    	 

    

 

“Development Plan” has
the meaning set forth in Section 3.1(c).

 

“Effective Date” has
the meaning set forth in the introductory paragraph hereof.

 

“Evaluation License”
has the meaning set forth in 0(a).

 

“Evaluation Period” means
the period commencing on the Effective Date and ending on the Evaluation Period Termination Date.

 

“Evaluation Period Termination
Date” means (a) the twelve (12) month anniversary of the Effective Date, or (b) such earlier date on which BCV elects
to terminate the Evaluation Period without terminating this Agreement, by written notice by BCV to Senesco.

 

“Excluded Products” means
the products listed on Schedule B.

 

“Existing Biofuel Patent Rights”
means the Patent Rights listed on Schedule A and any and all continuations, continuations-in-part (solely for claims that
claim priority to the Patent Rights listed on Schedule A), and divisionals thereof, and all foreign equivalents of the foregoing
Patent Rights, and all reissues, reexaminations and extensions thereof.

 

“Existing Technology”
means any and all Technology that (a) (i) provided proof of concept for the Existing Biofuel Patent Rights, including the coding
region, promoter guidance and vectors used for plant transformations, or (ii) is necessary or useful for the practice of the Existing
Biofuel Patent Rights or the research, development, manufacture, use or sale of products in the Field and (b) is Controlled by
a Senesco Party or its Affiliates as of the Effective Date.

 

“Field” means any and
all (a) plants and plant products (including plant organisms, progeny, cells, seeds, grain, grain component, tissue, and other
parts of plants) suitable for use in the production of biofuel and/or biofuel feedstock, including all species of algae and all
species in the genus Miscanthus, but excluding the Excluded Products; (b) biodiesel, bioethanol and other biofuels derived
from the plants and plant products described in clause (a) above; and (c) other products derived from the plants and plant products
described in clause (a), other than pharmaceutical, nutraceutical and food products, provided that the foregoing exclusion
of food products shall not apply to algae.

 

“GAAP” means generally
accepted accounting principles in the United States, or internationally, as appropriate, consistently applied and shall mean the
international financial reporting standards (“IFRS”) at such time as IFRS (a) becomes the generally accepted
accounting standard and applicable laws require that a Party use IFRS or (b) is adopted as the applicable accounting standard of
such Party.

 

“Indemnifying Party”
has the meaning set forth in 0(c).

 

“Indemnitee” means any
Person indemnified under 0. 

 

 

    	- 4 -

    	 

    

 

“Joint Inventions” has
the meaning set forth in Section 6.2.

 

“Joint Patents” has the
meaning set forth in Section 6.2.

 

“Licenses” means, collectively,
the Evaluation License and the Commercialization License.

 

“Licensed Products” means
any product in the Field that incorporates, contains, utilizes, is enabled by or otherwise exploits the Biofuel IP, or the making,
using, selling or importing of which would, absent the Licenses granted hereunder, infringe the Biofuel IP.

 

“Loss” has the meaning
set forth in Section 8.4(a).

 

“Net Sales” means all
amounts received by BCV or its Affiliates in consideration for, or directly in connection with, (a) the sale or any other commercial
disposition of Licensed Products by BCV or its Affiliates to Third Parties, including without limitation wholesalers and/or other
intermediate Third Parties, or (b) the sale or any other commercial disposition of Licensed Products by BCV to a Sublicensee, where
such Sublicensee is the final end user of the Licensed Product and does not resell the Licensed Product, after deducting (i) credits
or allowances, if any, actually granted; (ii) discounts, rebates, refunds, and chargebacks, actually granted or allowed, and customary
fees paid to distributors; (iii) freight, packaging, storage, shipping and insurance charges; (iv) customs duties; (v) excises,
sales taxes, duties or other taxes imposed upon and paid with respect to such sales; and (vi) returns; in each case to the extent
specifically related to the Licensed Products and actually allowed, incurred or paid during such period and not already reflected
in the amounts received; provided that all of the foregoing deductions are incurred in the ordinary course and calculated
in accordance with then-current GAAP. For clarity, Net Sales do not include Sublicense Income. For purposes of example and not
limitation, if BCV or its Affiliates sells a quantity of Licensed Product (e.g., Miscanthus seed) to a Third Party or Sublicensee
(to the extent within the scope of clause (b) above) and receives a payment therefor, and BCV or its Affiliates subsequently receive
payments or other consideration from the Third Party or Sublicensee for a product derived from such quantity of Licensed Product
(e.g., seedlings, plants or biofuel), whether characterized as partial payment for the initial sale of the Licensed Product, a
success payment, or otherwise, then Net Sales shall include the payment or other consideration received from the initial sale of
the Licensed Product to the Third Party as well as such subsequent payments or other consideration (unless such subsequent payments
or other consideration fall within the scope of Sublicense Income).

 

If a Licensed Product is sold together with
another product and not separately invoiced or billed, the Parties shall agree upon the appropriate allocation of the amount received
in consideration for the Licensed Product, which allocation shall reflect the fair market value of the Licensed Product and the
other product. If a Licensed Product contains one or more Traits in addition to the Senesco Trait that confer material benefits
to the Licensed Product, then the Parties shall agree upon the appropriate allocation of the amount received in consideration for
the Senesco Trait, which allocation shall reflect the fair market value of the Senesco Trait and the other Traits.

 

    	- 5 -

    	 

    

 

“Party” and “Parties”
have the meaning set forth in the introductory paragraph hereof.

 

“Patent Rights” means
all rights arising under patents or patent applications (including any patents issuing therefrom), as well as any continuations,
continuations-in-part, divisionals thereof and all reissues, reexaminations and extensions thereof.

 

“Paying Party” has the
meaning set forth in Section 4.7.

 

“Person” means an individual,
partnership, joint venture, corporation, limited liability company, trust, unincorporated organization or other similar entity
or governmental authority.

 

“Recipient Party” has
the meaning set forth in Section 4.7.

 

“Relinquishing Party”
has the meaning set forth in Section 7.1(c).

 

“Royalty Term” means,
on a Licensed Product-by-Licensed Product and country-by-country basis, the period beginning on the date of first commercial sale
of a Licensed Product in a country, and ending upon the later of: (a) the ten (10) year anniversary of such first commercial sale
and (b) expiration of the last-to-expire Valid Claim of a Biofuel Patent Right Covering such Licensed Product in such country.

 

“SEC” has the meaning
set forth in 0.

 

“Senesco” has the meaning
set forth in the introductory paragraph hereof.

 

“Senesco Field” means
all applications outside of the Field.

 

“Senesco Improvement Patent Rights”
means any and all Patent Rights that claim Technology created by or on behalf of a Senesco Party or its Affiliates in the course
of performing research or development outside of the Field during the Term and which Technology (i) is an improvement to the Existing
Technology or any Developed Technology, and (ii) is applicable to plants and plant products (including plant organisms, progeny,
cells, seeds, grain, grain component, tissue, and other parts of plants, but excluding Excluded Products).

 

“Senesco Indemnitees”
has the meaning set forth in Section 8.4(a).

 

“Senesco Parties” has
the meaning set forth in the introductory paragraph hereof.

 

“Senesco Sub” has the
meaning set forth in the introductory paragraph hereof.

 

“Senesco Trait” means
any Trait that is caused or regulated by one or more genes and is covered by a claim under the Biofuel Patent Rights.

 

“Sole Invention” has
the meaning set forth in Section 6.2.

 

“Sublicense” means each
sublicense agreement entered into by BCV pursuant to 0.

 

    	- 6 -

    	 

    

 

“Sublicensee” means any
Third Party of BCV to whom BCV grants a Sublicense of the rights granted to BCV under this Agreement, as provided under 0.

 

“Sublicense Income” means
any fees, royalties or other consideration received by BCV or its Affiliates from a Sublicensee in consideration for, or directly
in connection with, the grant of a Sublicense pursuant to Section 2.2 or from the sale or other commercial disposition of
Licensed Products to a Sublicensee (other than the consideration described in clause (b) of the definition of “Net Sales”),
including license fees, upfront payments, milestone payments, license maintenance fees and equity; provided, that in the
event that BCV receives non-monetary consideration for the grant of a Sublicense, Sublicense Income shall be calculated based on
the fair market value of such consideration, assuming an arm’s length transaction made in the ordinary course of business;
and provided further that Sublicense Income will be reduced by any amounts returned by BCV on account of refunds
or rebates given in respect of Sublicense Income. Sublicense Income will not include (a) loaned or reimbursable amounts (including
research and patent expense reimbursements), (b) payments for the supply of products or for research or other services provided
by BCV (after the effective date of Licensee’s sublicense agreement with such Sublicensee), but only up to the fully loaded
cost of goods (calculated in accordance with GAAP) of such goods or the fully loaded internal cost of such services, or (c) consideration
for the purchase of an equity interest in BCV, but only up to the fair market value of such equity interest.

 

“Technology” means all
ideas, inventions, discoveries, biologic and other materials, trade secrets, data, instructions, formulae, designs, specifications,
methods, processes, formulations, assays, techniques, know-how, technical information (including structural and functional information),
and manufacturing process information, patentable or otherwise.

 

“Term” has the meaning
set forth in 0.

 

“Territory” means worldwide.

 

“Third Party” means any
Person other than BCV, the Senesco Parties and their respective Affiliates.

 

“Third Party Agreements”
has the meaning set forth in Section 8.2(d).

 

“Trait” means any biochemical,
physiological, physical or other attribute or phenotype of a cell, plant, or other plant component or organism.

 

“Valid Claim” means a
claim in an unexpired and issued patent or pending patent application that has not been disclaimed, revoked or held invalid or
unenforceable by a final unappealable decision of a government agency or court of competent jurisdiction, or unappealed within
the time limit allowed for appeal, or which has not been admitted to be invalid or unenforceable through reissue, reexamination
or disclaimer or otherwise; provided that, on a country-by-country basis, a patent application pending for more than seven
(7) years from the date of filing of such application as a utility, non-provisional application shall not be considered to have
any Valid Claim for purposes of this Agreement from and after such seven (7) year date unless and until a patent with respect to
such application issues.

 

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“Withholding Taxes” has
the meaning set forth in Section 4.7.

 

Section 1.2.Rules of Construction
and Interpretation.

 

(a)The definitions of the terms
herein shall apply equally to the singular and plural forms of the terms defined. Whenever the context may require, any pronoun
shall include the corresponding masculine, feminine and neuter forms. The words “include”, “includes” and
“including” shall be deemed to be followed by the phrase “without limitation”. The word “will”
shall be construed to have the same meaning and effect as the word “shall”. The word “any” means “any
and all” unless otherwise clearly indicated by context. “$” as used in this Agreement means the lawful currency
of the United States. Where either Party’s consent is required hereunder, except as otherwise specified herein, such Party’s
consent may be granted or withheld in such Party’s sole discretion.

 

(b)Unless the context requires
otherwise, (i) any definition of or reference to any agreement, instrument or other document herein shall be construed as referring
to such agreement, instrument or other document as from time to time amended, supplemented or otherwise modified (subject to any
restrictions on such amendments, supplements or modifications set forth herein or therein), (ii) any reference to any laws herein
shall be construed as referring to such laws as from time to time enacted, repealed or amended, (iii) any reference herein to any
Person shall be construed to include the Person’s successors and assigns, (iv) the words “herein”, “hereof”
and “hereunder”, and words of similar import, shall be construed to refer to this Agreement in its entirety and not
to any particular provision hereof, and (v) all references herein to Articles, Sections or Schedules, unless otherwise specifically
provided, shall be construed to refer to Articles, Sections and Schedules of this Agreement.

 

ARTICLE II

GRANT OF RIGHTS

 

Section 2.1.Licenses.

 

(a)Evaluation License.
Subject to the terms and conditions of this Agreement, during the Evaluation Period the Senesco Parties and their Affiliates grant
to BCV, and BCV accepts, an exclusive, royalty-free, sublicensable (pursuant to Section 2.2) license under and to use the
Biofuel IP to perform research and development activities with respect to Licensed Products in the Field and in the Territory to
evaluate the Biofuel IP in order to determine BCV’s interest in obtaining the Commercialization License (the “Evaluation
License”). Each of the Senesco Parties agrees, on behalf of itself and its Affiliates, that other than the Evaluation
License, during the Evaluation Period it will not grant a license under or to use the Biofuel IP to research, develop, make, have
made, use, import, export, offer to sell or sell Licensed Products in the Field and in the Territory without BCV’s prior
written consent. BCV agrees that, during the Evaluation Period, it will not sell, assign, license or otherwise encumber, or transfer
or fail to secure all ownership rights in and to any BCV Improvements, BCV Owned Service Improvements, Joint Inventions or Joint
Patents (other than the Senesco Parties rights in the Joint Inventions and Joint Patents), provided that BCV may grant non-exclusive
licenses to and under the foregoing to Affiliates and Third Parties to perform, during the Evaluation Period, research and development
activities on behalf of and for the benefit of BCV with respect to Licensed Products in the Field and in the Territory to evaluate
the Biofuel IP in order to determine BCV’s interest in obtaining the Commercialization License.

 

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(b)Commercialization License.
Subject to the terms and conditions of this Agreement, including the performance of BCV’s payment obligations hereunder,
on the Commercialization License Commencement Date the Senesco Parties and their Affiliates grant to BCV, and BCV accepts, an exclusive,
royalty-bearing, sublicensable (pursuant to Section 2.2) license under and to use the Biofuel IP to research, develop, make,
have made, use, import, export, offer to sell and sell Licensed Products in the Field and in the Territory (the “Commercialization
License”).

 

(c)Except as expressly set forth
in this Agreement, neither Party grants any licenses under its intellectual property rights to the other Party. Moreover, notwithstanding
anything to the contrary herein, the Senesco Parties and their Affiliates reserve all rights in and to, and BCV receives no license
hereunder to, the Biofuel IP in the Senesco Field.

 

Section 2.2.Right to Sublicense.

 

(a)BCV may sublicense its rights
under the Evaluation License solely to any Affiliate or Third Party engaged by BCV to perform research and/or development activities
on behalf of and for the benefit of BCV, but without the right to grant further sublicenses, subject to compliance with the terms
of this Agreement. Not later than ten (10) business days after granting any Sublicense, BCV shall provide Senesco with a true and
correct copy of the Sublicense agreement.

 

(b)On and after the Commercialization
License Commencement Date, BCV may sublicense its rights under the Commercialization License to any Affiliate or Third Party, including
the right to grant further sublicenses through one or more tiers of sublicensees, subject to compliance with the terms of this
Agreement. Not later than ten (10) business days after granting any Sublicense, BCV shall provide Senesco with a true and correct
copy of the Sublicense agreement.

 

(c)Each Sublicense granted by
BCV to a permitted sublicensee pursuant to this 0 shall be subject and subordinate to the terms and conditions of this Agreement
and shall contain terms and conditions consistent with those in this Agreement and shall not in any way diminish, reduce or eliminate
any of BCV’s obligations under this Agreement. Without limiting the foregoing, each Sublicense agreement with a permitted
sublicensee shall be in writing and shall contain the following provisions: (i) if the Sublicense includes commercialization rights
with respect to Licensed Products, a requirement that such sublicensee submit applicable sales or other reports consistent with
the requirements of this Agreement, and (ii) a requirement to keep books and records, and if the Sublicense includes commercialization
rights with respect to Licensed Products or the payment of Sublicense Income, to permit Senesco and any licensor to Senesco of
Biofuel IP licensed under this Agreement to BCV to audit (through an independent auditor) such books and records, in each case
consistent with the requirements of this Agreement, (iii) a requirement that such sublicensee comply with the confidentiality provisions
of this Agreement, (iv) a requirement to comply with all other applicable terms of this Agreement, and (v) a provision specifying
that Senesco shall be a third party beneficiary of such Sublicense agreement with the independent right to enforce its terms against
the sublicensee to the extent reasonably necessary to protect the Senesco Parties’ rights under this Agreement. In addition,
BCV shall use Commercially Reasonable Efforts to obtain for Senesco and its licensors (x) the right to audit the books and records
of any Sublicensee that does not fall within the requirements of clause (ii) above, and (y) the right to inspect each Sublicensee’s
facilities upon reasonable notice to the extent reasonably required to verify the Sublicensee’s compliance with the terms
of this Agreement, provided that if BCV is unable to secure such rights for Senesco and its licensors, BCV shall secure
such rights for itself, and shall exercise such rights, at Senesco’s cost, promptly after Senesco’s request and provide
to Senesco a written report of the audit and/or inspection.

 

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(d)BCV shall diligently enforce
compliance by each of its sublicensees with the applicable Sublicense agreement. Any act or omission of a sublicensee shall be
deemed an act or omission of BCV under this Agreement. If BCV discovers that a sublicensee has taken any action or failed to take
any action that would, if done so by BCV, constitute a breach of this Agreement that continues beyond all applicable grace periods,
BCV promptly shall notify Senesco thereof, and in addition to taking all actions reasonably necessary to cause the cessation of
such breach, BCV shall take such remedial action as may be reasonably requested by Senesco, including termination of such sublicensee’s
agreement as reasonably requested by Senesco.

 

Section 2.3.Marking. BCV shall
label or mark each Licensed Product or the Licensed Product container, package or labeling with the patent number or numbers of
any issued or pending patents included in the Biofuel IP that Cover the Licensed Product. The content, form, location and language
used for such marking shall be in accordance with the laws and practices of each country in which the Licensed Products are sold
or the patents have issued or are pending.

 

Section 2.4.Services. If at any
time BCV desires that John Thompson or any other employee of a Senesco Party or its Affiliates perform research and development
services related to the practice of the Biofuel IP in the Field and/or any Licensed Product, the Parties shall in good faith negotiate
for a period of ninety (90) days from BCV’s written request a services agreement pursuant to which such research and development
services will be provided to BCV. Such agreement will include provisions addressing confidentiality of each Party’s Confidential
Information and clear allocation of ownership of intellectual property rights created by John Thompson and other employees of the
Senesco Parties and their Affiliates. Any BCV Owned Service Improvements will be owned by BCV.

 

Section 2.5.Jatropha
Field Expansion. Senesco will use Commercially Reasonable Efforts to obtain the right to expand the Field of the Commercialization
License under this Agreement to include all species in the genus Jatropha, and will keep BCV promptly apprised of Senesco’s
progress in this regard. It is the intent of the Parties that such Field expansion would require no additional compensation from
BCV to Senesco. Notwithstanding the foregoing, if a Senesco Party would be required to pay compensation to a Third Party in order
to grant such Field expansion to BCV, Senesco will so notify BCV and the Parties will discuss and negotiate in good faith the terms
of such Field expansion, however, BCV will not be under any obligation to agree to such Field expansion, nor shall the Senesco
Parties be required to grant such Field expansion to BCV if BCV elects not to pay any required compensation to such Third Party
or if the Parties otherwise are not able to agree upon the terms of such Field expansion.

 

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ARTICLE III

DEVELOPMENT AND COMMERCIALIZATION

OF LICENSED PRODUCTS

 

Section 3.1.Evaluation,
Development and Commercialization.

 

(a)Evaluation Activities.
During the Evaluation Period BCV shall, at its sole cost and expense, perform the validation, market analysis research and other
activities described in the Development Plan with respect to Licensed Products in the Field and in the Territory to evaluate the
Biofuel IP in order to determine BCV’s interest in obtaining the Commercialization License.

 

(b)Development and Commercialization
Responsibility. After the Evaluation Period, as between the Parties, BCV shall be fully responsible for, and shall have full
control and authority over, the research, development and commercialization of the Licensed Products and all costs and expenses
related thereto, including (i) all activities relating to manufacture, supply and sale of all Licensed Products and (ii) all activities
relating to any governmental filings, registrations, applications and approvals relating to any of the foregoing.

 

(c)Diligence. After the
Evaluation Period, BCV shall use Commercially Reasonable Efforts to research, develop and commercialize at least one Licensed Product
in the Territory in accordance with the Development Plan attached hereto as Schedule C (as such Development Plan may be
updated from time to time by BCV upon written notice to Senesco, the “Development Plan”); provided that
the Development Plan shall at all times reflect Commercially Reasonable Efforts to develop and commercialize the Licensed Products).
BCV shall provide Senesco with a copy of each updated Development Plan promptly after it has been prepared by BCV. For purposes
of this Section 3.1(c), the efforts of BCV’s Affiliates and Sublicensees will also be considered the efforts of BCV.

 

(d)Compliance with Law.
BCV shall comply in all respects with all Applicable Laws in its research, development and commercialization of Licensed Products.

 

(e)Updates and Reports.
In addition to royalty information reports to be provided by BCV pursuant to Section 4.6 hereof, BCV shall provide Senesco
with (i) written reports at the end of each month during the Evaluation Period, which reports shall update the validation and market
research plan and goals in Schedule C, contain all tests, experiments, experimental methods, conditions, results and conclusions
with respect to Licensed Products in the Field and the Biofuel IP generated by or for BCV during such month, and contain all tests
and experiments planned to be conducted by or for BCV during the subsequent month, and (ii) after the Evaluation Period, written
reports at least every six (6) months summarizing BCV’s and any Sublicensees’ efforts to conduct the research, development
and commercialization of the Licensed Products as contemplated hereunder. For the avoidance of doubt, such reports after the Evaluation
Period shall at minimum discuss in a reasonably detailed fashion the steps BCV and its Sublicensees have taken in the immediately
preceding six (6) months with respect to BCV’s obligations under this 0. In addition, BCV shall provide Senesco with
prompt written notice of the occurrence of the first commercial sale of each of the Licensed Products. All such reports an0d updates
shall be considered Confidential Information of BCV, subject to the terms of 0 hereof.

 

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Section 3.2.Technology Transfer and
Assistance. Senesco will, as soon as reasonably possible after the Effective Date, provide BCV with (a) a copy of all Biofuel
Know-How reduced to writing and possessed by the Senesco Parties or their Affiliates as of the Effective Date, and (b) upon BCV’s
reasonable request, copies of any pending, unpublished Biofuel Patent Rights. Thereafter, Senesco will promptly provide or make
available to BCV any additional Biofuel Know-How in the Senesco Parties’ or their Affiliates’ Control. During the first
three (3) months after the Effective Date, Senesco will use Commercially Reasonable Efforts to provide reasonable assistance to
BCV for the orderly transfer and transition to BCV of all current Senesco Party research and development activities relating to
the Biofuel IP in the Field and/or any Licensed Products in the Field, and Senesco will use Commercially Reasonable Efforts to
make available to BCV employees and/or consultants of the Senesco Parties with knowledge about the Biofuel IP in the Field and/or
any Licensed Products in the Field. During the subsequent nine (9) months, Senesco shall provide up to an aggregate of ten (10)
hours per month of such assistance and employee and/or consultant time. Any such access or availability after such twelve (12)
month period shall be subject to the Parties entering into a service agreement as contemplated by Section 2.4.

 

ARTICLE IV

PAYMENTS AND ROYALTIES.

 

Section 4.1.Upfront and Other Payments.
In partial consideration for entering into this Agreement, BCV shall pay to Senesco the following amounts:

 

(a)one hundred thousand dollars
($100,000) on the Commercialization License Commencement Date; and

 

(b)one hundred fifty thousand
dollars ($150,000) on the six (6) month anniversary of the Commercialization License Commencement Date.

 

Section 4.2.BCV Equity. On the
Commercialization License Commencement Date, in partial consideration for the grant of the Commercialization License, BCV shall
issue to Senesco an equity interest representing fifteen percent (15%) of the equity of BCV on a fully-diluted basis, which equity
interest will not be diluted by the first $1.0 million of equity investment into BCV, and shall otherwise have the same rights
and privileges as the equity interests of BCV that are owned by the founders of BCV (including, if the founders of BCV have such
protections, anti-dilution protection for additional financings in excess of the initial $1.0
million investment identical to any anti-dilution protection of the founders of BCV (noting that the founders do not expect to
have any such anti-dilution protection)), all on such terms and conditions to be more fully set forth in BCV’s Operating
Agreement (“Senesco’s Equity Interest”). In addition, for as long as Senesco retains ownership of Senesco’s
Equity Interest, (a) Senesco shall have the right to appoint one (1) member to BCV’s advisory board and (b) in the event
of the conversion of BCV from a limited liability company to a corporation, Senesco shall receive shares of capital stock in said
corporation such that Senesco’s rights in such corporation (including anti-dilution protection, if any, and the right to
the advisory board seat) will be substantially equivalent to Senesco’s Equity Interest.

 

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Section 4.3.Ordinary Royalties.

 

(a)In addition to the payments specified
in Sections 4.1 and 4.4 and the issuance of BCV equity specified in Section 4.2, in partial consideration
for the grant of the Commercialization License by the Senesco Parties hereunder, on a Licensed Product-by-Licensed Product and
country-by-country basis, during the applicable Royalty Term and subject to the provisions of this Section 4.3, BCV will
pay to Senesco a royalty equal to three percent (3%) of Net Sales of such Licensed Product.

 

(b)Only one royalty will be due with
respect to the same unit of Licensed Product. No royalties will be due upon the sale or other transfer among BCV and its Affiliates,
but in such case the royalty will be due and calculated upon BCV’s or its Affiliates’ Net Sales to the first independent
Third Party or Sublicensee. No royalties will accrue on the sale or other disposition of the Licensed Product by BCV or its Affiliates
for use in a field trial sponsored or funded by BCV or its Affiliates for which no consideration is received other than reimbursement
of costs, or on the disposition of a Licensed Product in reasonable quantities by BCV or its Affiliates as donations (for example,
to non-profit institutions or government agencies for a non-commercial purpose), for which no consideration is received.

 

(c)BCV will pay Senesco a minimum annual
aggregate royalty of one hundred thousand dollars ($100,000) on each anniversary of the Commercialization License Commencement
Date during the Term. For clarity, such payment will not be made on a Licensed Product-by-Licensed Product or country-by-country
basis. Each minimum annual royalty payment is creditable in full against payments due Senesco pursuant to Section 4.3(a)
solely in the calendar year in which such minimum annual royalty payment is made.

 

Section 4.4.Sublicense Income.
In addition to the payments specified in Sections 4.1 and 4.3 and the issuance of BCV equity specified in Section
4.2, in partial consideration of the grant of the Commercialization License by the Senesco Parties hereunder, BCV will pay
Senesco sublicense fees during the Term in an amount equal to twenty percent (20%) of any Sublicense Income received by BCV or
its Affiliates.

 

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Section 4.5.Payment. All payments
to be made by BCV hereunder shall be made in United States Dollars by wire transfer of immediately available funds to such United
States bank account as shall be designated by Senesco within thirty (30) days of any applicable due date, and shall be computed
in United States dollars at the exchange rate prevailing in each country in the Territory at the close of the last business day
of the applicable calendar quarter. The exchange rates used for such conversion shall be those set forth in the Wall Street Journal,
New York edition. Late payments shall bear interest at the rate of one percent (1%) of the outstanding balance per month as prorated,
or the maximum amount permitted by law, whichever is less. In the event that, by reason of Applicable Laws in any country, it becomes
impossible or illegal for BCV to transfer, or have transferred on its behalf, royalties or other payments to Senesco, payments
will be made in the country in local currency by deposit in a local bank designated by Senesco.

 

Section 4.6.Sales Reports and Royalty
Payments. After the first commercial sale of each Licensed Product and during the Term, BCV shall furnish to Senesco a written
report, with respect to each such Licensed Product, within sixty (60) days after the end of each calendar quarter (or portion thereof,
if this Agreement terminates during a calendar quarter), showing the amount of royalty and other payments due for the immediately
preceding calendar quarter (or portion thereof). Royalty and other payments for each calendar quarter shall be due within sixty
(60) days after the end of each calendar quarter (or portion thereof, if this Agreement terminates during a calendar quarter).
Each written report shall include a full and accurate accounting of:

 

(a)the gross sales and quantity
of each Licensed Product sold by BCV and its Affiliates in the preceding calendar quarter;

 

(b)the calculation of Net Sales
from such gross sales, including each deduction;

 

(c)the amount of Sublicense Income
received by BCV from its Sublicensees;

 

(d)the amount of taxes, if any
withheld to comply with Applicable Law; and

 

(e)a calculation of payments due
to Senesco with respect to the foregoing (including the application of any credits pursuant to Sections 4.3(c) and/or 7.1(a)
and any calculation of currency conversion).

 

If no royalty or other payment is due for
any royalty period hereunder, BCV shall so report to Senesco in writing.

 

Section 4.7.Tax Withholding. All
payments under this Agreement shall be made without any deduction or withholding for or on account of any tax, except as set forth
in this Section 4.7. The Parties agree to cooperate with one another and use reasonable efforts to minimize obligations
for any and all income or other taxes required by Applicable Law to be withheld or deducted from any of the royalty and other payments
made by or on behalf of a Party hereunder (“Withholding Taxes”). The applicable Paying Party under this Agreement
(the “Paying Party”) shall, if required by Applicable Law, deduct from any amounts that it is required to pay
to the Recipient Party hereunder (the “Recipient Party”) an amount equal to such Withholding Taxes, provided
that the Paying Party shall give the Recipient Party reasonable notice prior to paying any such Withholding Taxes. Such Withholding
Taxes shall be paid to the proper taxing authority for the Recipient Party’s account and, if available, evidence of such
payment shall be secured and sent to recipient within one (1) month of such payment. The Paying Party shall, at the Recipient Party’s
cost and expense, do all such lawful acts and things and sign all such lawful deeds and documents as the Recipient Party may reasonably
request to enable the Paying Party to avail itself of any applicable legal provision or any double taxation treaties with the goal
of paying the sums due to the Recipient Party hereunder without deducting any Withholding Taxes.

 

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Section 4.8.Records and Audit.
BCV shall keep, and shall cause each of its Affiliates and Sublicensees, if any, to keep, full and accurate books of accounting
in accordance with GAAP, as may be reasonably necessary for the purpose of calculating the royalties and other amounts payable
to Senesco hereunder. Such books of accounting (including those of BCV’s Affiliates and Sublicensees, if any) shall be kept
at their principal place of business and, with all necessary supporting data, shall during all reasonable times during business
hours for the three (3) years next following the end of the calendar year to which each shall pertain, be open for inspection upon
written notice by Senesco and at Senesco’s sole cost (except as provided below), no more than once per year, by a nationally-recognized
independent certified public accountant, for the purpose of verifying royalty and other payment statements for compliance with
this Agreement. Such independent certified accountant will execute BCV’s standard form of confidentiality agreement, and
will be permitted to share with Senesco solely its findings with respect to the accuracy of the royalties and other amounts reported
as payable under this Agreement. The results of each inspection, if any, shall be binding on both Parties. Senesco shall pay for
such inspections, except that in the event there is any upward adjustment in aggregate royalties or other amounts payable for the
period of such inspection of more than five percent (5%) of the amount actually paid to Senesco, BCV shall pay for the reasonable
out-of-pocket Third Party costs of such audit. In the event such accounting determines that BCV paid Senesco more than the amount
properly due in respect of any calendar quarter, then any excess payments made by BCV will be credited against future amounts due
to Senesco from BCV, or if no such future amounts are reasonably expected to be due to Senesco from BCV, then Senesco will reimburse
BCV for any overpayment by BCV.

 

ARTICLE V

CONFIDENTIAL INFORMATION

 

Section 5.1.Confidentiality Obligations.
Each of the Senesco Parties and BCV agree that during the Term and for ten (10) years thereafter, it shall keep confidential, and
shall cause its Affiliates and its and their directors, employees, consultants, agents, subcontractors, and sublicensees to keep
confidential, all Confidential Information of the disclosing Party. Neither of the Senesco Parties nor BCV nor any of their Affiliates
or its or their directors, employees, consultants, agents, subcontractors, or sublicensees shall use Confidential Information of
the disclosing Party for any purpose whatsoever other than to exercise any rights granted to it or reserved by it hereunder or
to carry out its responsibilities hereunder. Without limiting the foregoing but subject to 0, 0, 0, and Section
5.5 below, each Party may disclose such information to the extent such disclosure is reasonably necessary to (a) file and prosecute
patent applications and/or maintain patents which are filed or prosecuted in accordance with the provisions of this Agreement or
submit regulatory applications and filings, (b) file, prosecute or defend litigation in accordance with the provisions of this
Agreement, or (c) comply with Applicable Laws or the order of a court of competent jurisdiction, including Applicable Laws of the
U.S. Securities and Exchange Commission (“SEC”) or any nationally recognized securities exchange, quotation
system or over-the-counter market on which such Party has its securities listed or traded; provided, however, that
if a Party is required to make any such disclosure of the disclosing Party’s Confidential Information in connection with
any of the foregoing, it shall give reasonable advance notice to the disclosing Party of such disclosure requirement and shall
use reasonable efforts to assist such disclosing Party in efforts to avoid or minimize the degree of such disclosure and secure
confidential treatment of such information required to be disclosed. Moreover, BCV may disclose Confidential Information of the
Senesco Parties relating to the research, development or commercialization of the Biofuel IP in the Field and/or any Licensed Products
to entities with whom BCV has (or may have) a marketing, commercialization and/or development collaboration and who have a specific
need to know such Confidential Information and who are bound in writing by a like obligation of confidentiality and restrictions
on use, provided that BCV shall be liable for any breach of such confidentiality and non-use obligations by any such Third
Party.

 

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Section 5.2.Exclusions. The obligations
of confidentiality and non-use imposed by this 0 shall not apply to any information, data or materials that a receiving
Party can demonstrate by written records or other tangible evidence, (a) as of the date of disclosure is demonstrably known to
the receiving Party or its Affiliates other than by virtue of a prior confidential disclosure to such Party or its Affiliates;
(b) as of the date of disclosure is in, or subsequently becomes publicly known, through no fault or omission of the receiving Party
or its Affiliates; (c) is obtained from a Third Party having a lawful right to make such disclosure free from any obligation of
confidentiality to the disclosing Party; or (d) is independently developed by or for the receiving Party or its Affiliates without
reference to or reliance upon any Confidential Information of the disclosing Party.

 

Section 5.3.Limited Disclosure and
Use. Each of the Senesco Parties and BCV agree that any disclosure of the other Party’s Confidential Information to any
of its Affiliates or its or their directors, employees, consultants, agents, subcontractors, or sublicensees shall be made only
if and to the extent necessary to carry out its rights and responsibilities under this Agreement, shall be limited to the maximum
extent possible consistent with such rights and responsibilities, and shall only be made if such Persons are bound by written confidentiality
obligations to maintain the confidentiality thereof and not to use such Confidential Information except as expressly permitted
by this Agreement. Either Party may disclose Confidential Information of the disclosing Party to any bona fide actual or prospective
collaborators, underwriters, sublicensees, investors, lenders or other financing sources who are obligated in writing to keep such
information confidential on terms as protective as terms of this ARTICLE V, to the extent reasonably necessary to enable such actual
or prospective collaborators, underwriters, sublicensees, investors, lenders or other financing sources, acquirors, or companies
being acquired by such Party to determine their interest in collaborating with, sublicensing, underwriting or making an investment
in, otherwise providing financing to, acquiring or being acquired by the receiving Party; provided that such Party shall
be liable for any breach of such confidentiality and non-use obligations by any such Third Party. Each of the Senesco Parties and
BCV further agree not to disclose or transfer the other Party’s Confidential Information to any Third Parties under any circumstance
without the prior written approval from the other Party, except as otherwise required by Applicable Law, and except as otherwise
expressly permitted by this Agreement. Each Party shall take such action, and shall cause its Affiliates, and its and their employees,
consultants, agents, subcontractors, and sublicensees to take such action, to preserve the confidentiality of each other Party’s
Confidential Information as it would customarily take to preserve the confidentiality of its own Confidential Information. Each
Party, upon the termination of this Agreement, shall return all the Confidential Information disclosed or transferred to it by
the other Party pursuant to this Agreement, including all copies and extracts of documents and all manifestations of Confidential
Information in any form; provided, however, that a Party may retain (a) any Confidential Information of the other
Party relating to any license which expressly survives such termination, provided that such Confidential Information shall
remain subject to the obligations of confidentiality set forth herein, and (b) one (1) copy of all other Confidential Information
in inactive archives solely for the purpose of maintaining a record of information and materials deemed to be Confidential Information
hereunder.

 

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Section 5.4.Publicity. Neither
Party may publicly disclose the existence or terms or any other matter of fact regarding this Agreement without the prior written
consent of the other Party; provided, however, that either Party may make such a disclosure (a) to the extent required
to comply with Applicable Laws or court orders or the requirements of the SEC or any nationally recognized securities exchange,
quotation system or over-the-counter market on which such Party has its securities listed or traded, or (b) to any actual or prospective
collaborators, underwriters, sublicensees, investors, lenders, other financing sources, acquirors, or companies being acquired
by such Party who are obligated in writing to keep such information confidential on terms as protective as terms of this 0,
provided that such Party shall be liable for any breach of such confidentiality and non-use obligations by any such Third
Party. The Party desiring to make any such disclosure under clause (a) above shall inform the other Party of the proposed announcement
or disclosure in reasonably sufficient time prior to public release, which shall be at least five (5) business days, and shall
provide the other Party with a written copy thereof. Each Party agrees that it shall reasonably cooperate with the other with respect
to all disclosures regarding this Agreement to the SEC and any other governmental or regulatory agencies, including requests for
confidential treatment of proprietary information of either Party included in such disclosure.

 

Section 5.5.Publications. After
the Evaluation Period, BCV may publish or present the results of research and development of the Biofuel IP in the Field and/or
a Licensed Product generated by BCV or its Affiliates or Sublicensees, subject to the prior review and approval by Senesco for
patentability and protection of the Senesco Parties’ Confidential Information as provided in this Section 5.5. BCV
will provide to Senesco the opportunity to review any proposed abstracts, manuscripts or summaries of presentations that cover
the results of research and development of the Biofuel IP in the Field and/or a Licensed Product or that may include Senesco Party
Confidential Information. Senesco will designate a person or persons who will be responsible for reviewing such publications. Such
designated person will respond in writing promptly and in no event later than sixty (60) days after receipt of the proposed material
with either approval of the proposed material or a specific statement of concern, based upon either the need to seek patent protection
or concern regarding competitive disadvantage arising from the proposal or inclusion of Senesco Party Confidential Information.
In the event of concern, BCV agrees not to submit such publication or to make such presentation that contains such information
until Senesco is given a reasonable period of time (not to exceed ninety (90) days) to seek patent protection for any material
in such publication or presentation that it believes is patentable or to resolve any other issues, and BCV will remove from such
proposed publication any Confidential Information of the Senesco Parties as requested by Senesco.

 

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Section 5.6.Use of Name; Press Release.
Neither Party shall employ or use the name of the other Party in any promotional materials or advertising without the prior express
written permission of the other Party. Upon execution of this Agreement, the Parties intend to issue a mutually agreed press release
regarding the subject matter of this Agreement. Each Party understands that this Agreement is likely to be of significant interest
to investors, analysts and others and, therefore, that either Party has the right to make announcements of events or developments
with respect its own development and commercialization activities relating to this Agreement that are material to such Party. The
Parties agree that any such announcement will not contain Confidential Information of the disclosing Party (including the terms
of this Agreement) or, if disclosure of such Confidential Information is required by the SEC or any nationally recognized securities
exchange, quotation system or over-the-counter market on which such Party has its securities listed or traded, will make reasonable
efforts to minimize such disclosure and obtain confidential treatment for any such information that is disclosed to a government
agency. Each Party agrees to provide the other Party with a copy of any public announcement as soon as reasonably practicable prior
to its scheduled release. Except in the case of extraordinary circumstances, each Party will provide the other with an advance
copy of any announcement at least five (5) business days prior to its scheduled release. Each Party has the right to expeditiously
review and recommend changes to any announcement regarding this Agreement, provided that such right of review and recommendation
will only apply for the first time that specific information is disclosed and will not apply to the subsequent disclosure of substantially
similar information that has been previously disclosed.

 

ARTICLE VI

INTELLECTUAL PROPERTY

 

Section 6.1.Biofuel IP. As between
the Parties, subject to the rights granted to BCV under this Agreement, the Senesco Parties shall retain sole and exclusive ownership
of all rights, title and interest in and to the Biofuel IP.

 

Section 6.2.Ownership of Inventions.
Each Party will exclusively own all Technology developed or conceived and reduced to practice solely by its and its Affiliates’
employees, agents or independent contractors (each, a “Sole Invention”). Although the Parties do not intend
or expect to jointly develop any Technology (except pursuant to an agreement entered into pursuant to Section 2.4, which
agreement shall separately address ownership and other rights in Technology developed thereunder), in the event they do so, then
all inventions made jointly by employees, agents or independent contractors of each Party (including each Party’s Affiliates)
will be owned jointly by the Parties such that each Party has an undivided one-half interest therein (“Joint Inventions”).
(All Patents claiming patentable Joint Inventions will be referred to as “Joint Patents”). Except to the extent
either Party is restricted by the rights granted to the other Party and covenants contained herein, each Party will be entitled
to practice, and to grant to Third Parties or its Affiliates or sublicensees the right to practice, inventions claimed in a Joint
Patent without restriction or an obligation to account to the other Party.

 

    	- 18 -

    	 

    

 

Section 6.3.License to Senesco.
BCV grants to Senesco, and Senesco accepts, subject to the terms and conditions of this Agreement, an exclusive, fully paid-up,
perpetual and worldwide license, with the right to grant sublicenses through multiple tiers, under the BCV Improvements, Joint
Inventions and Joint Patents to research, develop, make, have made, use, sell, offer for sale and otherwise commercialize products
and services in the Senesco Field.

 

Section 6.4.Inventorship. Inventorship
and authorship of inventions and other intellectual property rights conceived, reduced to practice and/or authored in connection
with this Agreement shall be determined in accordance with the laws of the United States.

 

ARTICLE VII

PROVISIONS CONCERNING THE FILING, PROSECUTION

AND MAINTENANCE OF PATENT RIGHTS

 

Section 7.1.Patent Filing,
Prosecution and Maintenance.

 

(a)Subject to the other terms of this
0, the Senesco Parties, at their expense, shall have the sole right, but not the obligation (except as set forth below with
respect to the Existing Biofuel Patent Rights), to prepare, file, prosecute, maintain and defend, throughout the world, the Biofuel
Patent Rights (other than the Joint Patents, which are addressed in Section 7.1(c) below), including seeking any extensions
thereto and supplementary protection certificates therefor. The Senesco Parties will use Commercially Reasonable Efforts to file,
prosecute, maintain and defend the Existing Biofuel Patent Rights. Promptly after the filing, submission or receipt thereof, Senesco
shall provide BCV with copies of new applications for any Patent Rights that Senesco reasonably determines are Biofuel Patent Rights
(other than Joint Patents) and all material correspondence received from and all material submissions to be made to any government
patent office or authority with respect to any patent application or patent included in such Biofuel Patent Rights (other than
Joint Patents). If the Senesco Parties elect not to file in any country in the Territory a patent application on a patentable Sole
Invention of Senesco or its Affiliates constituting Developed Technology, or to cease the prosecution, maintenance or defense of
an Existing Biofuel Patent Right, or any other Patent Rights that Senesco reasonably determines are Biofuel Patent Rights (other
than Joint Patents), then subject to Senesco’s obligations under the Third Party Agreements, Senesco shall provide BCV with
prompt written notice of the decision to not file or continue the prosecution of such patent application or maintenance or defense
of such patent in sufficient time to allow BCV to file, continue prosecution of such application or maintain or defend such patent
in a timely manner. In such event, subject to the Third Party Agreements in the case of the Existing Biofuel Patent Rights, the
Senesco Parties shall permit BCV, in BCV’s sole discretion, to file or continue prosecution or maintenance or defense of
such Biofuel Patent Right in the applicable country at BCV’s own expense and in the applicable Senesco Party’s name,
and BCV will be entitled to apply all such expense as a credit against any amounts payable to Senesco under this Agreement, provided,
however, that any such action does not violate the terms of any judgment, settlement, compromise or other resolution or
agreement then binding upon such Senesco Party. Each Party will, at the prosecuting Party’s request and expense, reasonably
assist and cooperate in the filing and prosecution, maintenance or defense of any application, amendment, submission, response
or correspondence with respect to any such Biofuel Patent Rights. Each Party will give due consideration to the comments of the
other Party.

 

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(b)Subject to the other terms
of this 0, BCV, at its expense, shall have the sole right but not the obligation to prepare, file, prosecute, maintain and
defend, throughout the world, any Patent Rights claiming the BCV Improvements, including seeking any extensions thereto and supplementary
protection certificates therefor. BCV shall have the first right, but not the obligation, to file or continue prosecution or maintenance
of any application for any such Patent Right claiming a BCV Improvement using patent counsel selected by BCV. Promptly after the
filing, submission or receipt thereof, then BCV shall provide Senesco with copies of new applications for any such Patent Rights
and all material correspondence received from and all material submissions to be made to any government patent office or authority
with respect to any patent application or patent claiming BCV Improvements. In addition, if BCV elects not to file in any country
in the world a patent application on BCV Improvements, or to cease the prosecution or maintenance or defense of such Patent Rights
claiming BCV Improvements in any country in the world, BCV shall provide Senesco with prompt written notice upon the decision to
not file or continue the prosecution of such patent application or maintenance or defense of such patent in sufficient time to
allow Senesco to file, continue prosecution of such application or maintain or defend such patent in a timely manner. In such event,
BCV shall permit Senesco, in Senesco’s sole discretion, to file or continue prosecution or maintenance or defense of such
Patent Rights claiming the BCV Improvements in the applicable country at Senesco’s own expense and in BCV’s name, provided,
however, that any such action does not violate the terms of any judgment, settlement, compromise or other resolution or
agreement then binding upon BCV and provided further that Senesco shall incorporate BCV’s reasonable comments
and shall confer and reasonably discuss with BCV any concerns and seek to resolve such concerns by mutual agreement.

 

(c)In the case of Joint Inventions,
the Parties shall decide whether or not to secure patent protection and which Party shall bear the primary responsibility for preparing,
filing and prosecuting the patent applications resulting therefrom. Patent-related expenses for Joint Patents are to be shared
equally by the Parties. If the Parties cannot agree which Party shall bear the primary responsibility for preparing, filing, and
prosecuting patent applications resulting from a Joint Patent, then counsel mutually agreeable to the Parties shall prepare, file
and prosecute the patent applications and the Parties shall equally share the expenses related thereto. Each Party shall promptly
render all necessary assistance reasonably requested by the other Party in applying for and prosecuting the patent applications.
Neither Party shall file any patent application on Joint Inventions which shall lead to the disclosure of the other Party’s
Confidential Information, unless the other Party has first agreed in writing to the filing. If a Party responsible for the prosecution
or maintenance of a patent or patent application directed to a Joint Invention elects not to continue prosecution or maintenance
of such patent or patent application, the Party will give the other Party notice of such election within a reasonable period prior
to allowing such patent or patent application to lapse or become unenforceable, and the other Party will have the right to continue
prosecution or maintenance of such patent or patent application. If a Party (the “Relinquishing Party”) declines
to pay its share of patent-related expenses for any patent application or patent directed to a Joint Invention, the other Party
may assume payment of the Relinquishing Party’s share of the patent-related expenses, and the Relinquishing Party will assign
title to such patent application or patent to the Party assuming payment.

 

    	- 20 -

    	 

    

 

Section 7.2.Notice of Infringement.
If, during the Term, either Party learns of any actual, alleged or threatened infringement or misappropriation by a Third Party
of any Biofuel IP or BCV Improvements, such Party shall promptly notify the other Party and shall provide such other Party with
available evidence of such infringement or misappropriation.

 

Section 7.3.Enforcement
of Patent Rights.

 

(a)BCV shall have the first right
(but not the obligation), at its own cost and expense and with legal counsel of its own choice, to bring suit (or take other appropriate
legal action) against any actual, alleged or threatened infringement of the Biofuel Patent Rights, Joint Patents and Patent Rights
claiming BCV Improvements, each in the Field, provided that such rights with respect to the Biofuel Patent Rights and Joint
Patents shall commence only on and after the Commercialization License Commencement Date, and prior to such date (i) Senesco shall
have the exclusive right (but not the obligation) to bring suit (or take other appropriate legal action) against any actual, alleged
or threatened infringement of the Biofuel Patent Rights and (ii) neither Party shall have the right to bring suit or take other
legal action against any actual, alleged or threatened infringement of the Joint Patents without the other Party’s prior
written consent. Senesco and its Affiliates each shall have the right, at its own cost and expense, to be represented in any such
action brought by BCV, to the extent involving the Biofuel Patent Rights or Joint Patents, by counsel of Senesco’s own choice;
provided, however, that under no circumstances shall the foregoing affect the right of BCV to control the suit or
other legal action as described in the first sentence of this Section 7.3(a).

 

(b)If none of BCV, its Affiliates
or any of its Sublicensees, on its own initiative, files any suit or other legal action against any such infringement to the extent
permitted by this Agreement within ninety (90) days after the earliest of notice under Section 7.2 (or, if sooner, fifteen
(15) days prior to any deadline relating to loss of any rights with respect to such infringement), then Senesco or its Affiliates
shall have the right to bring suit or take other appropriate legal action against such actual, alleged or threatened infringement
with respect to the Biofuel Patent Rights, Joint Patents or Patent Rights claiming BCV Improvements in the Field, in Senesco’s
name and at its expense, upon written notice delivered to BCV within five (5) days of the expiration of such ninety (90) day or
fifteen (15) day period, as the case may be. BCV shall have the right, at its own cost and expense, to be represented in any such
action brought by Senesco or its Affiliates by counsel of BCV’s own choice; provided, however, that under no
circumstances shall the foregoing affect the right of Senesco or its Affiliates to control the suit or other legal action as described
in the first sentence of this Section 7.3(b).

 

 

    	- 21 -

    	 

    

 

(c)Senesco and its Affiliates
shall have the sole right, but not the obligation, at its sole expense to file any suit or take other legal action against any
infringement of the Biofuel Patent Rights, Joint Patents and Patent Rights claiming the BCV Improvements in the Senesco Field and
to retain any damages, monetary awards or other amounts recovered therefrom. BCV shall have the right, at its own cost and expense,
to be represented in any such action brought by Senesco or its Affiliates, to the extent involving Patent Rights claiming BCV Improvements
or Joint Patents, by counsel of BCV’s own choice; provided, however, that under no circumstances shall the
foregoing affect the right of Senesco and its Affiliates to control the suit or other legal action as described in the first sentence
of this Section 7.3(c).

 

(d)The Parties shall not settle,
compromise or otherwise resolve any suit or legal action addressed by this Section 7.3, nor make any admissions, filings,
statements or other disclosures in any such suit or legal action, that would restrict, waive or otherwise encumber or impair the
rights licensed to the applicable Party hereunder, or subject the other Party to any liability or obligations in connection therewith,
without the prior written consent of that affected Party.

 

(e)Any damages, monetary awards
or other amounts recovered, whether by judgment or settlement, pursuant to any suit or other legal action taken under Sections
7.3(a) or (b), shall be applied as follows:

 

(i)first, to reimburse the Parties for
their respective costs and expenses (including reasonable attorneys’ fees and costs) incurred in prosecuting such enforcement
action; and

 

(ii)any amounts remaining shall be allocated
as follows: (A) if BCV or any of its Sublicensees is the Party bringing such suit or taking such legal action, all such amounts
shall be retained by BCV or such Sublicensee, subject to such amounts being treated as Net Sales for which royalties shall be due
to Senesco pursuant to 0 and (B) if Senesco or its Affiliate is the Party bringing such suit or taking such other legal
action, all such amounts shall be retained by Senesco, subject to such amounts being treated as Net Sales for which royalties shall
be payable by Senesco to BCV under the terms of 0 applied mutatis mutandis.

 

(f)If a Party brings any such
suit or legal action under this Section 7.3, the other Party agrees to be joined as a party plaintiff if necessary to prosecute
such suit or legal action, and to give the Party bringing such action or proceeding reasonable assistance and authority to file
and prosecute the suit, at the expense of the Party bringing such suit or legal action; provided, however, that neither
Party shall be required to transfer any right, title or interest in or to any property to the other Party or any Third Party to
confer standing on a Party hereunder.

 

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Section 7.4.Infringement of Third
Party Rights. If any Licensed Product that is manufactured, used or sold by or for BCV becomes the subject of a Third Party’s
claim or assertion of infringement of a Patent controlled by such Third Party, the Party first having notice of the claim or assertion
will promptly notify the other Party in writing, and the Parties will promptly meet to consider the claim or assertion and the
appropriate course of action. Each Party has the right to take action to defend any such claim brought against it by a Third Party,
provided, however, that neither Party will enter into any settlement of any claim described in this Section 7.4
that affects adversely the other Party’s rights or interests without first obtaining the other Party’s written consent,
which consent will not be unreasonably withheld. Nothing in this Section 7.4 will be deemed to relieve either Party of its
obligations under Section 8.4.

 

Section 7.5.Other Infringement Resolutions.
In the event of a dispute or potential dispute which has not ripened into a demand, claim or suit of the types described in Sections
7.3 or 7.4, the same principles governing control of the resolution of the dispute, consent to settlement of the dispute,
and implementation of the settlement of the dispute (including the sharing in and allocating the receipt of damages, license fees,
royalties and other compensation) will apply.

 

ARTICLE VIII

REPRESENTATIONS, WARRANTIES AND COVENANTS

 

Section 8.1.Mutual Representations
and Warranties. BCV hereby represents and warrants to Senesco, and Senesco represents and warrants, to BCV, as to each of the
Senesco Parties as follows:

 

(a)Corporate Existence and
Power. It is a company or corporation duly organized, validly existing and in good standing under the laws of the jurisdiction
in which it is incorporated, and has full corporate power and authority and the legal right to own and operate its property and
assets and to carry on its business as it is now being conducted and as contemplated in this Agreement.

 

(b)Authority and Binding Agreement.
As of the Effective Date, (i) it has the corporate power and authority and the legal right to enter into this Agreement and perform
its obligations hereunder; (ii) it has taken all necessary corporate action on its part required to authorize the execution and
delivery of this Agreement and the performance of its obligations hereunder; and (iii) this Agreement has been duly executed and
delivered on behalf of such Party, and constitutes a legal, valid and binding obligation of such Party that is enforceable against
it in accordance with its terms, subject to bankruptcy, insolvency, reorganization, arrangement, winding-up, moratorium, and similar
laws of general application affecting the enforcement of creditors’ rights generally, and subject to general equitable principles,
including the fact that the availability of equitable remedies, such as injunctive relief or specific performance, is in the discretion
of the court.

 

    	- 23 -

    	 

    

 

(c)No Conflict. It has
not entered, and will not enter, into any agreement with any Third Party that is in conflict with the rights granted to the other
Party under this Agreement, and has not taken and will not take any action that would in any way prevent it from granting the rights
granted to the other Party under this Agreement, or that would otherwise materially conflict with or adversely affect the rights
granted to the other Party under this Agreement. Its performance and execution of this Agreement does not result in a breach of
any other contract to which it is a party.

 

Section 8.2.Senesco. Senesco represents
and warrants, as of the Effective Date, to BCV that:

 

(a)it or Senesco Sub is the sole
and exclusive owner of all right, title and interest in the Biofuel IP existing as of the Effective Date and is entitled to grant
the Licenses specified herein. The Biofuel IP is free and clear of any liens, charges and encumbrances. Senesco Sub is a wholly
owned subsidiary of Senesco. Senesco will promptly notify BCV in writing if at any time during the Term it becomes aware that the
foregoing representation and warranty ceases to be true.

 

(b)The Biofuel Patent Rights listed
on Schedule A and the Biofuel Know-How provided to BCV pursuant to Section 3.2 constitute all of the Patent Rights
and Technology owned by Senesco or its Affiliates on the Effective Date that would, but for the rights granted to BCV pursuant
to this Agreement, be infringed or misappropriated by the exercise by BCV of its rights under this Agreement, provided that
if after the Effective Date BCV identifies any Biofuel Patent Rights that, as of the Effective Date, have been omitted from Schedule
A or Biofuel Know-How that have not been provided to BCV pursuant to Section 3.2, and if such omissions were unintentional
BCV’s sole remedy shall be to require Senesco to include (and to cause the Senesco Sub to include) such Biofuel Patent Rights
on Schedule A or to provide such Biofuel Know-How to BCV pursuant to Section 3.2.

 

(c)To the Senesco Parties’
knowledge, there are no claims, judgments or settlements against or owed by Senesco or its Affiliates or pending or threatened
claims or litigation against Senesco or its Affiliates or to which Senesco or its Affiliate is a party relating to the Biofuel
IP that would reasonably be expected to impact activities under this Agreement. Without limiting the generality of the foregoing,
as of the Effective Date, to the Senesco Parties’ knowledge, no claim has been made against them (i) asserting the invalidity,
misuse, unregisterability or unenforceability of any of the Biofuel Patent Rights (other than in the ordinary course of patent
prosecution before the U.S. Patent and Trademark Office or any foreign patent office) or (ii) challenging the Senesco Parties’
ownership or Control of the Biofuel IP or making any adverse claim of ownership of the Biofuel IP. Senesco will promptly notify
BCV in writing if at any time during the Term it becomes aware that the foregoing representation and warranty ceases to be true.

 

(d)Listed on Schedule D
are all the agreements existing as of the Effective Date between Senesco or its Affiliates and any Third Parties pursuant to which
Senesco or its Affiliates has rights and/or obligations with respect to any Biofuel IP to the extent relevant to BCV’s rights
under this Agreement in the Field (“Third Party Agreements”). Prior to the Effective Date Senesco has provided
to BCV true and correct copies of all Third Party Agreements from which copies have been redacted only those terms that are not
material to either the Senesco Parties’ obligations under this Agreement or the rights granted to BCV under this Agreement.
Neither Senesco nor any of its Affiliates is or has been a party to any agreement with the U.S. federal government or an agency
thereof pursuant to which the U.S. federal government or such agency provided funding relating to the Biofuel IP or any Licensed
Product.

 

 

    	- 24 -

    	 

    

 

(e)The Senesco Parties have no
knowledge of any Patent Rights (other than the Biofuel Patent Rights) that may be infringed by the practice or use of the Biofuel
IP in the Field or by the development, manufacture, use or sale of Licensed Products, and no claim of infringement of the Patent
Rights of any Third Party has been made nor, to the Senesco Parties’ knowledge, threatened against Senesco or any of its
Affiliates with respect to the practice or use of the Biofuel IP in the Field or the development, manufacture, sale or use of Licensed
Products. To the Senesco Parties’ knowledge, neither Senesco nor any of its Affiliates or their respective current or former
employees has misappropriated any of the Biofuel Know-How from any Third Party, and the Senesco Parties have no knowledge of any
claim by a Third Party that such misappropriation has occurred.

 

(f)To the Senesco Parties’
knowledge, the Biofuel IP is not being infringed or misappropriated by any Third Party in the Field.

 

Section 8.3.No Warranties. EXCEPT
AS EXPRESSLY SET FORTH IN THIS AGREEMENT, NEITHER PARTY MAKES ANY REPRESENTATION OR EXTENDS ANY WARRANTIES OF ANY KIND, WHETHER
EXPRESS OR IMPLIED, WRITTEN OR ORAL, AND EXCEPT AS EXPRESSLY SET FORTH IN THIS AGREEMENT, ALL SUCH WARRANTIES ARE HEREBY DISCLAIMED,
INCLUDING WARRANTIES ARISING BY COURSE OF DEALING, PERFORMANCE, CUSTOM OR USAGE IN THE TRADE, AND IMPLIED WARRANTIES OF MERCHANTABILITY
AND FITNESS FOR A PARTICULAR PURPOSE. EACH PARTY HEREBY DISCLAIMS ANY REPRESENTATION OR WARRANTY THAT THE DEVELOPMENT, MANUFACTURE
OR COMMERCIALIZATION OF ANY LICENSED PRODUCT OR OTHER PRODUCT PURSUANT TO THIS AGREEMENT WILL BE SUCCESSFUL OR THAT ANY PARTICULAR
SALES LEVEL WITH RESPECT TO A LICENSED PRODUCT WILL BE ACHIEVED.

 

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Section 8.4.Indemnification.

 

(a)BCV Indemnity. BCV shall
indemnify, defend and hold harmless Senesco, its Affiliates and their respective directors, officers, employees, stockholders and
agents and their respective successors, heirs and assigns (the “Senesco Indemnitees”) from and against any liability,
damage, loss or expense (including reasonable attorneys’ fees and expenses of litigation) (“Loss”) incurred
by or imposed upon such Senesco Indemnitees, or any of them, in connection with any Third Party claims, suits, actions, demands
or judgments, including product liability matters, to the extent arising, (i) as a consequence of a material breach by BCV of its
representations, warranties, covenants or agreements hereunder, (ii) as a consequence of the gross negligence or willful misconduct
of any BCV Indemnitee in exercising its rights or performing its obligations under this Agreement, (iii) out of the conduct by
or on behalf of BCV or its Affiliates or Sublicensees of research, development and commercialization activities relating to the
Licensed Products, or (iv) out of the sale or use by any Person of any Licensed Products sold by or on behalf of BCV or any of
its Affiliates or Sublicensees; except in the case of clauses (iii) and (iv) to the extent such Loss arises from a matter for which
Senesco is obligated to indemnify BCV under Section 8.4(b).

 

(b)Senesco Indemnity. Senesco
shall indemnify, defend and hold harmless BCV, its Affiliates and their respective directors, officers, employees, agents and equity
holders and their respective successors, heirs and assigns (the “BCV Indemnitees”), from and against any Loss
incurred by or imposed upon such BCV Indemnitees, or any of them, in connection with any Third Party claims, suits, actions, demands
or judgments, to the extent arising (i) as a consequence of a material breach by a Senesco Party of its representations, warranties,
covenants or agreements hereunder, (ii) as a consequence of the gross negligence or willful misconduct of any Senesco Indemnitee
in exercising its rights or performing its obligations under this Agreement, or (iii) out of or related to the exercise by Senesco,
its Affiliates or any Third Party deriving rights from Senesco or its Affiliates, of Senesco’s rights under Sections 6.3
or 9.5.

 

(c)Indemnification Procedures.
In the event that any Indemnitee is seeking indemnification under this 0 from a Party (the “Indemnifying Party”),
the other Party shall notify the Indemnifying Party of such claim with respect to such Indemnitee as soon as reasonably practicable
after the Indemnitee receives notice of the claim, and the Party (on behalf of itself and such Indemnitee) shall permit the Indemnifying
Party to assume direction and control of the defense of the claim (including the right to settle the claim solely for monetary
consideration) and shall cooperate as requested (at the expense of the Indemnifying Party) in the defense of the claim; it being
understood and agreed that the right to assume the direction and control of such litigation shall be conditioned upon the ongoing
existence of each of the following: (i) the Indemnifying Party expressly agrees in writing to the Indemnified Party without a reservation
of rights that, as between the Parties, the Indemnifying Party shall be solely obligated to fully satisfy and discharge the claim
notwithstanding any limitation with respect to indemnification included in this Agreement; (ii) such claim is solely for monetary
damage; and (iii) such claim shall not involve a criminal matter or be a claim being brought by a governmental authority. The indemnification
obligations under this 0 shall not apply to any harm suffered as a direct result of any delay in notice to the Indemnifying
Party hereunder or to amounts paid in settlement of any claim, demand, action or other proceeding if such settlement is effected
without the consent of the Indemnifying Party, which consent shall not be withheld or delayed unreasonably. The Indemnitee, its
employees and agents, shall reasonably cooperate with the Indemnifying Party and its legal representatives in the investigation
of any claim, demand, action or other proceeding covered by this 0.

 

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Section 8.5.LIMITATION OF
LIABILITY.

 

(a)NEITHER PARTY SHALL BE LIABLE
TO THE OTHER, OR TO ANY THIRD PARTY CLAIMING THROUGH OR UNDER THE OTHER PARTY, FOR ANY LOST PROFITS OR FOR ANY INDIRECT, EXEMPLARY,
SPECIAL, CONSEQUENTIAL OR INCIDENTAL DAMAGES OF ANY KIND ARISING OUT OF THIS AGREEMENT, EVEN IF IT HAS BEEN ADVISED OF THE POSSIBILITY
OF SUCH DAMAGES, EXCEPT WITH RESPECT TO A BREACH OF EITHER PARTY’S OBLIGATIONS WITH RESPECT TO 0, A PARTY’S
INDEMNIFICATION OBLIGATIONS UNDER 0, A PARTY’S INFRINGEMENT OR MISAPPROPRIATION
OF THE INTELLECTUAL PROPERTY RIGHTS OF THE OTHER PARTY, OR A PARTY’S GROSS NEGLIGENCE, WILLFUL MISCONDUCT OR FRAUD.

 

(b)THE LIMITATIONS OF LIABILITY
CONTAINED IN THIS AGREEMENT ARE A FUNDAMENTAL PART OF THE BASIS OF EACH PARTY’S BARGAIN HEREUNDER, AND NEITHER PARTY WOULD
ENTER INTO THIS AGREEMENT ABSENT SUCH LIMITATION OF LIABILITY.

 

Section 8.6.Insurance. Each Party
will maintain insurance during the Term of this Agreement and for a period of at least two (2) years thereafter with a reputable,
solvent insurer in an amount appropriate for its business and products of the type that are the subject of this Agreement, and
for its obligations under this Agreement. BCV’s commercial general liability insurance coverage shall name Senesco as an
additional insured from the Effective Date forward with respect to BCV’s performance hereof. Each Party will provide the
other Party, upon written request, with evidence of the existence and maintenance of such insurance coverage. Moreover, BCV agrees
to provide Senesco with certificates evidencing such coverage at least sixty (60) days prior to the first commercial sale
of a Licensed Product and at least annually thereafter. Such insurance certificates shall state that such insurance shall not be
canceled or materially altered except upon written notice to the other Party.

 

ARTICLE IX

TERM AND TERMINATION

 

Section 9.1.Term. Unless terminated
earlier pursuant to this Article IX, the term of this Agreement (“Term”) shall commence on the Effective Date
and shall continue until the expiration of the last-to-expire Royalty Term for a Licensed Product. Upon expiration of the Term,
the rights granted under Article 2 will become fully-paid and perpetual.

 

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Section 9.2.Termination
by Senesco.

 

(a)Insolvency. Senesco
shall have the right, on behalf of the Senesco Parties, to terminate this Agreement, at Senesco’s sole discretion, on written
notice to BCV upon the filing by BCV in any court or agency pursuant to any statute or regulation of the United States or any other
jurisdiction a petition in bankruptcy or insolvency or for reorganization or similar arrangement for the benefit of creditors or
for the appointment of a receiver or trustee of BCV or its assets, or if BCV is served with an involuntary petition against it
in any insolvency proceeding, upon the ninety-first (91st) day after such service if such involuntary petition has not previously
been stayed or dismissed, or upon the making by BCV of an assignment of substantially all of its assets for the benefit of its
creditors.

 

(b)Material Breach. Senesco
shall have the right, on behalf of the Senesco Parties, to terminate this Agreement, in its entirety or on a Licensed Product-by-Licensed
Product basis, at Senesco’s sole discretion, upon delivery of written notice to BCV, in the event of any material breach
by BCV of any terms and conditions of this Agreement applicable to this Agreement or such Licensed Product, if such breach has
not been cured within (i) thirty (30) days with respect to a material breach involving the failure to make a payment when due or
(ii) forty-five (45) days with respect to any other material breach of this Agreement, after written notice thereof is given by
Senesco to BCV specifying the nature of the alleged breach.

 

(c)Diligence. BCV’s
breach of its obligation in Section 3.1(c) to use Commercially Reasonable Efforts to research, develop and commercialize
at least one Licensed Product in the Field shall be deemed a material breach of this Agreement. Senesco may exercise its termination
right under Section 9.2(b) with respect to such material breach in its sole discretion on a Licensed Product-by-Licensed
Product basis or with respect to this Agreement in its entirety.

 

Section 9.3.Termination
by BCV.

 

(a)Insolvency. BCV shall
have the right to terminate this Agreement, at BCV’s sole discretion, on written notice to Senesco upon the filing by a Senesco
Party in any court or agency pursuant to any statute or regulation of the United States or any other jurisdiction a petition in
bankruptcy or insolvency or for reorganization or similar arrangement for the benefit of creditors or for the appointment of a
receiver or trustee of a Senesco Party or its assets, or if a Senesco Party is served with an involuntary petition against it in
any insolvency proceeding, upon the ninety-first (91st) day after such service if such involuntary petition has not previously
been stayed or dismissed, or upon the making by a Senesco Party of an assignment of substantially all of its assets for the benefit
of its creditors (“Senesco Party Bankruptcy”). Notwithstanding the foregoing, BCV agrees to exercise the foregoing
termination right only in the event that the Senesco Party Bankruptcy has or is reasonably likely to have a material adverse effect
on BCV’s rights or the performance of the Senesco Parties’ obligations under this Agreement.

 

(b)Material Breach. BCV
may terminate this Agreement in the event of any material breach by a Senesco Party of any terms and conditions of this Agreement,
provided that such breach has not been cured within forty-five (45) days after written notice thereof is given by BCV to
Senesco specifying the nature of the alleged breach.

 

 

    	- 28 -

    	 

    

 

(c)Elective Termination During
the Evaluation Period. BCV may terminate this Agreement at any time during the Evaluation Period, for any or no reason, effective
upon written notice to Senesco delivered no later than the Evaluation Period Termination Date.

 

(d)Elective Termination After
the Evaluation Period. BCV may terminate this Agreement at any time on or after the second anniversary of the Commercialization
License Commencement Date for any or no reason upon sixty (60) days prior written notice to Senesco.

 

Section 9.4.Effect of Termination
for Senesco Breach or Insolvency. Notwithstanding anything to the contrary in Section 9.8, if BCV terminates this Agreement
pursuant to Section 9.3(a) or (b), then Sections 6.3 and 7.3(c) shall terminate and all the rights
granted to BCV in Article 2 and Article 7 will survive such termination until the Term would otherwise expire under
Section 9.1; provided, that BCV continues to use Commercially Reasonable Efforts to develop and commercialize Licensed
Products in the Field and shall pay all amounts due to Senesco pursuant to Article 4 until such time at which the Term would
otherwise have expired under Section 9.1 (at which time the Commercialization License will be fully paid and perpetual pursuant
to Section 9.1), which payments may be reduced by any damages awarded in a final judgment (from which no appeal is or may
be taken) against the Senesco Parties for their breach of this Agreement.

 

Section 9.5.Effect of Termination
by BCV During the Evaluation Period. Upon any termination of this Agreement pursuant to Section 9.3(c), notwithstanding
anything to the contrary in Section 9.8, the rights and obligations of the Parties hereunder, and all licenses granted to
BCV, shall immediately cease, and:

 

(a)BCV shall promptly assign to
Senesco all of BCV’s rights, title and interest in and to any and all BCV Improvements, BCV Owned Service Improvements, Joint
Inventions and Joint Patents.

 

(b)Within thirty (30) days after
the effective date of termination, BCV shall provide to Senesco a comprehensive final report containing the research and development
activities undertaken by BCV during the Evaluation Period, and shall provide Senesco with copies of, and BCV hereby assigns to
Senesco all of BCV’s rights, title and interest in and to, all data and results of such activities, including business plans,
testing plans, testing results, a summary of all business development initiatives and results, presentations, research materials
and industry data (“Final Report”). Senesco may use the information contained in the Final Report for any purpose.

 

(c)BCV shall, and shall cause
any Sublicensee or other Person to which BCV has provided any Confidential Information of the Senesco Parties, to return (or purge
its systems and files of, and suitably account for) all tangible Confidential Information of the Senesco Parties (including the
BCV Improvements, BCV Owned Service Improvements, Joint Inventions and Joint Patents and information contained in the Final Report
to the extent they are Confidential Information), except that BCV shall be entitled to retain, through its legal counsel, one (1)
copy of such Confidential Information to the extent required under any Applicable Law or to ensure compliance with the terms of
this Agreement. BCV shall certify in writing that it has fully complied with its obligations under this Section 9.5(c) within
seven (7) days after its receipt of a request by Senesco for such a certification.

 

    	- 29 -

    	 

    

 

(d)The rights and obligations
of the Parties set forth in Section 8.3 (No Warranties), Section 8.4 (Indemnification), Section 8.5 (Limitation
of Liability), and Section 8.6 (Insurance) and ARTICLE V (Confidential Information), ARTICLE IX (Term and
Termination) and ARTICLE X (Miscellaneous) (and any definitions referred to therein), shall survive termination of this
Agreement.

 

Section 9.6.Effect of Other Termination.
Upon any termination of this Agreement other than pursuant to Section 9.3(a), 9.3(b) or 9.3(c), the rights
and obligations of the Parties hereunder, and all licenses granted to BCV, shall immediately cease (except as otherwise provided
in this Section 9.6 and Section 9.8), and:

 

(a)All amounts due and payable
to Senesco prior to the effective date of termination shall be paid to Senesco no later than the effective termination date of
this Agreement.

 

(b)Should BCV have any inventory
of the terminated Licensed Product, other than upon termination of this Agreement pursuant to 0, BCV shall have the right
to dispose of such inventory after termination of this Agreement with respect to such terminated Licensed Product (subject to the
payment to Senesco of any royalties due hereunder thereon). If Senesco terminates this Agreement pursuant to 0, BCV and
its Affiliates and Sublicensees shall immediately cease all sales of the terminated Licensed Products.

 

(c)In the event that the Commercialization
License is terminated, any granted Sublicenses that include commercialization rights will remain in full force and effect and Senesco
will enter into appropriate agreements or amendments to the Sublicense to substitute itself for BCV as the licensor thereunder;
provided that (i) the Sublicense complies with the terms of this Agreement, (ii) the Sublicensee is not then in breach of
its Sublicense, (iii) the Sublicensee agrees to be bound to the Senesco Parties as licensors under the terms and conditions of
the Sublicense without imposing any greater obligation, representation, warranty or liability on the Senesco Parties than imposed
on the Senesco Parties under this Agreement, and (iv) all payments under the Sublicense in respect of the Biofuel IP and Licensed
Products shall be made directly to Senesco. If any of the foregoing requirements are not satisfied with respect to a Sublicense,
such Sublicense shall terminate upon termination of the Commercialization License.

 

(d)Each Party shall return and
shall cause any Sublicensee or other Person to which it has provided Confidential Information of the other Party (or purge its
systems and files of, and suitably account for) all tangible Confidential Information of the other Party (in the case of termination
on a Licensed Product-by-Licensed Product basis, in connection with the terminated Licensed Product(s)), except that such Party
shall be entitled to retain, through its legal counsel, one (1) copy of such Confidential Information to the extent required under
any Applicable Law or to ensure compliance with the terms of this Agreement. Each Party shall certify in writing that it has fully
complied with its obligations under this Section 9.60 within seven (7) days after its receipt of a request by the other
Party for such a certification.

 

    	- 30 -

    	 

    

 

(e)The license granted under Section
6.3 shall survive, but shall not include any BCV Improvement that is (i) first conceived, discovered, developed or authored
eighteen (18) months or more after the effective date of termination and that is (ii) a BCV Improvement solely by virtue of being
related to the Biofuel IP as opposed to an improvement to or derivative of the Biofuel IP. Further, BCV agrees to negotiate in
good faith with Senesco with respect to BCV granting to Senesco a royalty-bearing license under any Technology Controlled by BCV
that BCV actually uses and is necessary to develop, manufacture or commercialize the Licensed Products in the Field, the terms
of such license to be commercially reasonable.

 

Section 9.7.Remedies. Except as
otherwise expressly set forth in this Agreement, the termination provisions of this 0 are in addition to any other relief
and remedies available to either Party at law or in equity.

 

Section 9.8.Surviving Provisions.
Except as otherwise expressly stated in this Agreement, the rights and obligations of the Parties set forth in 0 (Sales
Reports and Royalty Payment) (with respect to the last calendar quarter of the Term), Section 4.7 (Tax Withholding), Section
4.8 (Sales Record Audit), Section 7.1(c) (Prosecution of Joint Patents), Sections 7.3(c) and (d) (with
respect to Senesco’s right to enforce certain Patent Rights), 0 (No Warranties), 0 (Indemnification), 0
(Limitation of Liability) and Section 8.6 (Insurance) and 0 (Confidential Information), 0 (Intellectual Property),
0 (Term and Termination) and 0 (Miscellaneous) (and any definitions referred to therein), as well as any rights or
obligations otherwise accrued hereunder (including any accrued payment obligations), shall survive the termination of this Agreement
for any reason. Termination of this Agreement for any reason shall not release any Party from any liability or obligation that
has accrued prior to such expiration or termination, nor affect the survival of any provision hereof to the extent it is expressly
stated to survive termination. Termination of this Agreement for any reason shall not constitute a waiver or release of, or otherwise
be deemed to prejudice or adversely affect, any rights, remedies, or claims, whether for damages or otherwise, that a Party may
have hereunder or that may arise out of or in connection with such termination.

 

Section 9.9.Bankruptcy Rights.
All rights and licenses granted under or pursuant to this Agreement by a Party are, and shall otherwise be deemed to be, for purposes
of Section 365(n) of the U.S. Bankruptcy Code (the “Bankruptcy Code”), licenses of rights to “intellectual
property” as defined under Section 101(35A) of the Bankruptcy Code. The Parties agree that a Party, as a licensee of intellectual
property under this Agreement, shall retain and may fully exercise all of its rights and elections under the Bankruptcy Code. The
Parties further agree that, in the event of a rejection of this Agreement by a Party in any bankruptcy proceeding by or against
such Party under the U.S. Bankruptcy Code, (a) the other Party shall be entitled to a complete duplicate of (or complete access
to, as appropriate) any such intellectual property and all embodiments of such intellectual property, which, if not already in
such other Party’s possession, shall be promptly delivered to it upon written request therefor, and (b) such Party (in any
capacity, including debtor-in-possession) and its successors and assigns (including any trustee) shall not interfere with the other
Party’s rights to intellectual property and all embodiments of intellectual property, and shall assist and not interfere
with the other Party in obtaining intellectual property and all embodiments of intellectual property from another entity. The term
“embodiments” of intellectual property includes all tangible, intangible, electronic or other embodiments of rights
and licenses hereunder, including all compounds and products embodying intellectual property, Licensed Products, regulatory filings
and related rights, and Biofuel IP, Joint Inventions, Joint Patents and BCV Improvements. The foregoing provisions are without
prejudice to any rights a Party, as licensee of intellectual property under this Agreement, may have arising under the Bankruptcy
Code or other applicable law.

 

    	- 31 -

    	 

    

 

ARTICLE X

MISCELLANEOUS

 

Section 10.1.Notification. All
notices, requests and other communications hereunder shall be in writing, shall be addressed to the receiving Party’s address
set forth below or to such other address as a Party may designate by notice hereunder, and shall be either (a) delivered by hand,
(b) sent by private courier service providing evidence of receipt, or (c) sent by registered or certified mail, return receipt
requested, postage prepaid. The addresses and other contact information for the Parties are as follows:

 

	
         

         

        If to Senesco or Senesco Sub:
	
        721 Route 202/206, Suite 130

        Bridgewater, New Jersey 08807

        Attn: Joel Brooks, CFO

	 	 
	
         

        With a copy to:
	
        Morgan Lewis & Bockius LLP

        502 Carnegie Center

        Princeton, New Jersey 08540-6241

        Attn: Emilio Ragosa

         

	
         

        If to BCV:
	
        BioCorp Ventures LLC

        336 Bon Air Center #418

        Greenbrae, CA 94904

        Attn: Tony Shapiro

         

         

	
         

        With a copy to:
	
        Faber Daeufer Itrato & Cabot PC

        950 Winter Street

        Suite 4500

        Waltham, MA 02451

        Attn: Ken Itrato

 

All
notices, requests and other communications hereunder shall be deemed to have been given either (i) if by hand, at the time of the
delivery thereof to the receiving Party at the address of such Party set forth above, (ii) if sent by private courier, on the day
such notice is delivered to the recipient, or (iii) if sent by registered or certified mail, on the fifth (5th) business
day following the day such mailing is made.

 

    	- 32 -

    	 

    

 

 

Section 10.2.Governing Law; Jurisdiction.
This Agreement shall be deemed to have been made in the State of Delaware, and its form, execution, validity, construction and
effect shall be determined in accordance with, and any dispute arising from the performance or breach hereof shall be governed
by and construed in accordance with, the laws of the State of Delaware, excluding its body of law controlling conflicts of law.
Each of the Parties irrevocably submits to the exclusive jurisdiction of the federal and state courts situated in the State of
Delaware for purposes of any suit, action or proceeding arising out of this Agreement or any transaction contemplated hereby and
agrees not to commence any action, suit or proceeding related hereto except in such courts. Neither Party shall challenge or contest
the subject matter or personal jurisdiction of any such court or its venue or assert the defense of forum nonconveniens.

 

Section 10.3.Entire Agreement.
This Agreement, together with all of its Schedules, constitutes the entire agreement between the Parties with respect to the subject
matter hereof and supersedes all prior representations, understandings and agreements between the Parties with respect to the subject
matter hereof. No modification to this Agreement shall be effective unless in writing with specific reference to this Agreement
and signed by the Parties.

 

Section 10.4.Waiver. The terms
or conditions of this Agreement may be waived only by a written instrument executed by the Party waiving compliance. The failure
of either Party at any time or times to require performance of any provision hereof shall in no manner affect its rights at a later
time to enforce the same. No waiver by either Party of any condition or term shall be deemed as a continuing waiver of such condition
or term or of another condition or term.

 

Section 10.5.Headings. Section
and subsection headings are inserted for convenience of reference only and do not form part of this Agreement.

 

Section 10.6.Assignment.
This Agreement shall not be assignable by either Party to any Affiliate or Third Party without the prior written consent of the
other Party hereto, except to an entity that acquires all or substantially all of the capital stock, business or assets of the
Party to which this Agreement pertains (whether by merger, reorganization, acquisition, sale or otherwise), provided that
in each case the assigning Party provides written notice to the other Party of such assignment and the assignee agrees in writing
to be bound by the terms and conditions of this Agreement. Any permitted assignee shall assume all obligations of its assignor
under this Agreement. Any purported assignment in violation of this 0 shall be null and void, ab initio. In the event
that either of the Senesco Parties is party to an Industry Transaction or any other consolidation or reorganization, BCV agrees
to reasonably negotiate in good faith any amendments to this Agreement requested by a Senesco Party, so long as such amendments
would not have a material adverse effect on BCV’s rights or obligations under this Agreement.

 

Section 10.7.Force Majeure. Except
for obligations of payment arising hereunder, neither Party shall be liable to the other for failure or delay in the performance
of any of its obligations under this Agreement for the time and to the extent such failure or delay is caused by earthquake, riot,
civil commotion, terrorism, war, hostilities between nations, governmental law, order or regulation, embargo, action by the government
or any agency thereof, act of God, storm, fire, accident, labor dispute or strike, sabotage, explosion or other similar or different
contingencies, in each case, beyond the reasonable control of the respective Party. The Party affected by force majeure shall provide
the other Party with full particulars thereof as soon as it becomes aware of the same (including its best estimate of the likely
extent and duration of the interference with its activities), and shall use its commercially reasonable efforts to overcome the
difficulties created thereby and to resume performance of its obligations as soon as practicable. If the performance of any obligation
under this Agreement is delayed owing to a force majeure for any continuous period of more than three (3) months, the Parties hereto
shall consult with respect to an equitable solution including the possible termination of this Agreement.

 

    	- 33 -

    	 

    

 

Section 10.8.Construction. The
Parties hereto acknowledge and agree that: (a) each Party and its counsel reviewed and negotiated the terms and provisions of this
Agreement and have contributed to its revision; (b) the rule of construction to the effect that any ambiguities are resolved against
the drafting Party shall not be employed in the interpretation of this Agreement; and (c) the terms and provisions of this Agreement
shall be construed fairly as to all Parties hereto and not in favor of or against any Party, regardless of which Party was generally
responsible for the preparation of this Agreement. Neither Party shall challenge the validity or enforceability of the terms, conditions,
obligations and covenants hereunder.

 

Section 10.9.Severability. If
any provision(s) of this Agreement are or become invalid, are ruled illegal by any court of competent jurisdiction or are deemed
unenforceable under then current Applicable Law from time to time in effect during the Term hereof, it is the intention of the
Parties that the remainder of this Agreement shall not be affected thereby, provided that a Party’s rights under this
Agreement are not materially affected. The Parties hereto covenant and agree to renegotiate any such term, covenant or application
thereof in good faith in order to provide a reasonably acceptable alternative to the term, covenant or condition of this Agreement
or the application thereof that is invalid, illegal or unenforceable, it being the intent of the Parties that the basic purposes
of this Agreement are to be effectuated.

 

Section 10.10.Status. Nothing
in this Agreement is intended or shall be deemed to constitute a partner, agency, employer-employee, or joint venture relationship
between the Parties.

 

Section 10.11.Further Assurances.
Each Party agrees to execute, acknowledge and deliver such further instructions, and to do all such other acts, as may be necessary
or appropriate in order to carry out the purposes and intent of this Agreement.

 

Section 10.12.Counterparts. This
Agreement may be executed simultaneously in one or more counterparts, each of which shall be deemed an original, but all of which
together shall constitute one and the same instrument.

 

 

    	- 34 -

    	 

    

 

 

IN WITNESS
WHEREOF, each of the Parties has caused this Agreement to be executed by its duly authorized representative.

 

	SENESCO TECHNOLOGIES, INC.	 	BIOCORP VENTURES, LLC
	 	 	 	 
	By:	/s/ Leslie J. Browne	 	By:	/s/ Todd Weimer
	 	 	 	 	 
	Name:	Leslie J. Browne	 	Name:	Todd Weimer
	 	 	 	 	 
	Title:	President & CEO	 	Title:	Director
	 	 	 	 	 
	SENESCO, INC.	 	 	 
	 	 	 	 	 
	By:	/s/ Leslie J. Browne	 	 	 
	 	 	 	 	 
	Name:	Leslie J. Browne	 	 	 
	 	 	 	 	 
	Title:	President	 	 	 

 

    	 

    	 

    

 

 

SCHEDULE A

 

BIOFUEL IP

 

See attached.

 

 

    	ii

    	 

    

 

 

SCHEDULE B

 

EXCLUDED PRODUCTS

 

Banana seedlings, transgenic banana plants

 

“Cotton”: Cells, plants, seeds, part of plants of
any species of the genus Gossypium cultivated for cotton fiber and/or cotton seed oil production

 

“Brassica”: Cells, plants, seeds, part of plants
of any species of the genus Brassica cultivated for oilseed production, including but not limited to Brassica napus, Brassica
juncea, Brassica rapa, Brassica carinata

 

“Rice”: Oryza sativa sp, and hybrids thereof

 

Corn, soy and any hybrid varieties thereof

 

Alfalfa, Medicago species

 

Garden plants: Bedding plants are flowering plants used in outdoor
garden, container and hanging basket settings. Some examples of bedding plants include, but are not limited to, Petunia, Begonia,
Impatiens, Marigold, Geranium, Vinca and Pansy.

 

Potted plants: Potted plants are herbaceous or woody flowering
plants used in indoor pot situations for aesthetic purposes. Some examples of potted plants include, but are not limited to, Poinsettia,
Lilly, potted Rose, Azalea, African Violet, Chrysanthemum, Kalanchoe and Cyclamen

 

Turf grass, excluding grasses used for forage: fine turf, amenity
turf grass, recreational turf

 

All trees cultivated, harvested or produced for any purpose
(other than those grown for the purpose of edible fruit and nut production) including all derivative products from such trees regardless
of end use.

 

Any and all products, goods or services to the extent incorporating,
containing, utilized or enabled by or otherwise exploiting any of the foregoing.

 

    	iii

    	 

    

 

 

SCHEDULE C

DEVELOPMENT PLAN

BioCorp Ventures development plan consists of 4 primary steps:

		1.	Validation

		2.	Market Analysis

		3.	Use of Funds

		4.	Capital

Each of these four development plan steps are summarized below.

BCV’s initial Development plan goals are to establish
whether or not a commercially viable product for biofuel can be extracted using the Senesco technology. BCV will focus its efforts
on that discovery process.

STEP 1. VALIDATION

BCV will likely work with a reputable research center
(such as Fraunhofer) for the validation of Senesco’s technology, in particular its improvements to transgenic algae and jatropha
compared to wild types and current best commercial strains. Validation may also include a discovery phase whereby additional algal
variations are evaluated.

BCV may also elect to work with private individuals
(such as John Thompson) for commercial validation processes.

In parallel with validation work, BCV will
also engage in:

STEP 2. MARKET ANALYSIS

BCV will work with market experts to determine the best
use of funds for market focus, business development and commercialization.

STEP 3. USE OF FUNDS 

Upon completion of validation and market analysis, BCV will
be in a position to properly evaluate and allocate an appropriate use of funds. 

The use of funds will include (but not be limited to) operational
needs such as:

		1.	G&A staffing plans

		2.	Business development efforts

		3.	Grant application work

STEP 4. CAPITAL

Capital sources will be determined by the amount of money required
to properly execute on the use of funds.

 

    	iv

    	 

    

  

SCHEDULE D

 

THIRD PARTY AGREEMENTS

 

Patent License Agreement, between Senesco Technologies, Inc.
and Monsanto Company, effective August 6, 2007.

 

Commercial License Agreement, between Senesco Technologies,
Inc. and Arborgen, LLC, effective December 31, 2006.

 

Development and License Agreement, between Senesco Technologies,
Inc. and The Scotts Company, effective March 8, 2004.

 

License Agreement, between Senesco Technologies, Inc. and Bayer
CropScience AG, executed on July 17, 2007.

 

License Agreement, between Senesco Technologies, Inc. and Bayer
CropScience AG, executed on August 30, 2007.

 

License Agreement, between Senesco Technologies, Inc. and Bayer
CropScience GmbH, effective November 8, 2006.

 

Senesco Inc. License Agreement, between Senesco Technologies,
Inc. and Rahan Meristem, effective May 17, 1999.

 

Development and License agreement, between Senesco Technologies,
Inc. and Cal/West Seeds, dated as of September 14, 2002.

 

    	v

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