Document:

Exhibit 10.1

 

EXECUTIVE EMPLOYMENT AGREEMENT

This Amended Executive Employment Agreement (the “Agreement”) is made as of August 15, 2015, between Indoor Harvest, Corp., (the "Company") and John Choo (the "Executive").

 

	
1.

	
Terms of Employment

	
(a)

	
Position. Company hereby employs the Executive as President, and the Executive accepts such employment with Company subject to the terms and conditions of this Agreement.

	
(b)

	
Duties. Executive shall have such duties and responsibilities as may be assigned by the Board of Directors not inconsistent with the position.

	
(c)

	
Dedication. Executive shall devote his full business time and best efforts to the business and affairs of the Company.

	
(d)

	
Performance. Executive shall faithfully and diligently perform Executive’s duties in conformity with the directions of the Company and serve the Company to the best of Executive’s abilities.

	
(e)

	
       Permitted Activities. Executive may:

	
(i)

	
serve on industry, trade, civic or charitable boards or committees;

	
(ii)

	
          engage in charitable activities and community affairs; and

	
(iii)

	
manage personal investments, as long as such activities do not materially interfere with the performance of Executive's duties and responsibilities.

	
2.

	
Compensation

	
(a)

	
Base Salary

	
(i)

	
 Salary. Executive shall receive an annual base salary in the amount of $60,000 ("Base Salary").

	
(ii)

	
Equity. Executive, or an entity controlled by the executive such that the executive is deemed the sole beneficial owner under SEC Rule 13d-3, shall receive a total of 355,060 shares of restricted common  stock .

	
  (iii)

	
Payment. The Base Salary shall be payable monthly. The Executive is a Citizen of Canada and conducts his business for the Company in Canada and has elected to manage his own taxes under this agreement and the Company will maintain a Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding.

	
(iv)

	
Adjustments. The Base Salary may be increased, or decreased, from time to time during the term of this Agreement in the sole discretion of the Board of Directors based on the Company's ability to pay.

	
(b)

	
Incentive Compensation. During the term of employment, the Executive shall be eligible to participate in any equity-based incentive compensation plan or program adopted by the Board of Directors.

	
3.

	
Expenses

	
(a)

	
Reimbursement. Company shall pay all reasonable travel, dining and other ordinary, necessary and reasonable business expenses incurred by the Executive in the performance of his duties under this Agreement, subject to budget and/or other limitations or conditions imposed by the Board of Directors.

	
(b)

	
Substantiation. The Executive shall, as a condition of any such payment or reimbursement, submit verification, substantiation and documentation of the nature and amount of such expenses in accordance with the policies of Company from time to time.

	
4.

	
Vacation.

	
(a)

	
Entitlement. The Executive shall be entitled to two weeks (14 Days) of vacation leave each year during the term of this Agreement without any deduction in his compensation, and at such times within each year as the Executive may determine, taking into account Company's schedule and the Executive's duties relative thereto, such vacation leave which shall be forfeited at the end of each year if not fully utilized in that year.

	
(b)

	
Vacation Benefits upon Termination. Upon the termination or expiration of the Executive's employment by Company under this Agreement, the Executive shall not be entitled to compensation for any unutilized vacation leave.

	
5.

	
Representations and Warranties.

The Company and the Executive respectively represents and warrants to each other that each respectively is fully authorized and empowered to enter into the Agreement and that their entering into the Agreement and to each parties' knowledge the performance of their respective obligations under the Agreement will not violate any agreement between the Company or the Executive respectively and any other person, firm or organization or any law or governmental regulation.

	
6.

	
Confidential Information

	
(a)

	
Obligation. The Executive agrees to maintain the strict confidentiality of all Confidential Information during the term of this Agreement and thereafter.

	
(b)

	
Scope. For purposes of this Agreement, "Confidential Information" shall mean all information and materials of Company, and all information and materials received by Company from third parties (including but not limited to affiliates, subsidiaries, chapters, and members of Company), which are not generally publicly available and all other information and materials which are of a proprietary or confidential nature, even if they are not marked as such.

	
(c)

	
Survival. This provision shall survive the termination of this Agreement indefinitely.

	
7.

	
Intellectual Property

(a) Ownership. Executive agrees that all copyrights, trademarks, patents, and other intellectual property rights to works or marks arising in from or in connection with the Executive's employment by Company are "work made for hire" within the definition of Section 101 of the Copyright Act (17 U.S.C. 101) and shall remain the sole and exclusive property of Company.

	
(c)

	
Assignment of Interest. To the extent any work product is not deemed to be a work made for hire within the definition of the Copyright Act, Executive with effect from creation of any and all work product, hereby assigns, and agrees to assign, to Company all right, title and interest in and to such work product, including but not limited to copyright, all rights subsumed thereunder, and all other intellectual property rights, including all extensions and renewals thereof.

	
(d)

	
Moral Rights. Executive also agrees to waive any and all moral rights relating to the work product, including but not limited to, any and all rights of identification of authorship and any and all rights of approval, restriction or limitation on use, and subsequent modifications.

	
(e)

	
Assistance. Executive further agrees to provide all assistance reasonably requested by Company, both during and subsequent to the Term of this Agreement, in the establishment, preservation and enforcement of Company's rights in the work product.

	
(f)

	
Return of Property. Upon the termination of this Agreement, Executive agrees to deliver promptly to Company all printed, electronic, audio-visual, and other tangible manifestations of work product, including all originals and copies thereof.

	
8.

	
Non-Solicitation.

During the term of this Agreement and for 5 years after any termination of this Agreement, Executive will not, without the prior written consent of the Company, either directly or indirectly, on Executives' own behalf or in the service or on behalf of others, solicit or attempt to solicit, divert or hire away any person employed by the Company, or any customer of the Company.

	
9.

	
Non-Disparagement.

	
(a)

	
Executive Obligation. Executive will not at any time, during or after the Term, disparage, defame or denigrate the reputation, character, image, products or services of the Company, or of any of its Affiliates, or, any of its or its Affiliate s directors, officers, stockholders, members, employees or agents.

	
(b)

	
Company Obligation. The Company will not, except as may be required by law, issue any official press release or statement which is intended to disparage Executive.

	
10.

	
Acknowledgement.

Executive expressly acknowledges that the covenants of this Agreement are supported by good and adequate consideration, and that such covenants are reasonable and necessary in terms of duration, scope and geographic area to protect the legitimate business interests of Company.

	
11.

	
Term of Employment

	
(a)

	
Initial Term. The term of the Executive's employment under this Agreement shall commence on the Effective Date and continue until August 15, 2016 (the "Term"), unless his employment is sooner terminated by the Board of Directors.

	
(b)

	
Automatic Renewal. Commencing on August 15 and on each anniversary of that date thereafter, the Term shall be extended for an additional one year period, subject to non-renewal provisions herein.

	
(c)

	
Notice Not to Renew. Either party may give notice of the intention not to extend the Term in writing at least 90 days prior to each such anniversary date. Non-renewal may be without cause, and neither party shall have any claim against the other for non-renewal under this provision of the Agreement.

	
12.

	
Termination of Employment

	
(a)

	
Termination Upon Death. This Agreement shall terminate automatically upon the death of the Executive.

	
(b)

	
Automatic Termination Upon Disability. This Agreement shall terminate automatically upon Total Disability of the Executive.

Total Disability. Total Disability means the Executive is unable to perform the duties set forth in this Agreement for a period of twelve consecutive weeks, or 90 cumulative business days in any 12-month period, as a result of physical or mental illness or loss of legal capacity.

	
(c)

	
Termination Upon Retirement. The Executive may voluntarily terminate this Agreement at any time by reason of Retirement.

Retirement. Retirement is the cessation by Executive of all full-time employment of any kind.

	
(d)

	
Termination by the Company For Cause. The Company shall have the right to terminate Executive's employment under this Agreement at any time for Cause, which termination shall be effective immediately. Termination for "Cause" shall include termination for:

	
(i)

	
material breach of this Agreement by Executive;

	
(ii)

	
intentional nonperformance or misperformance of such duties, or refusal to abide by or comply with the reasonable directives of his superior officers, or the Corporation's policies and procedures;

	
(iii)

	
Executive's gross negligence in the performance of his material duties under this Agreement;

	
(iv)

	
Executive's willful dishonesty, fraud or misconduct with respect to the business or affairs of the Corporation, that in the reasonable judgment of the President and/or the Board of Directors materially and adversely affects the Corporation;

	
(v)

	
Executive's conviction of, or a plea of nolo contendere to, a felony or other crime involving moral turpitude; or

	
(vi)

	
the commission of any act in direct or indirect competition with or materially detrimental to the best interests of Corporation that is in breach of Executive s fiduciary duties of care, loyalty and good faith to Corporation.

Cause will not, however, include any actions or circumstances constituting Cause under (i) or (ii) above if Executive cures such actions or circumstances within 30 days of receipt of written notice from Corporation setting forth the actions or circumstances constituting Cause. In the event Executive's employment under this Agreement is terminated for Cause, Executive shall thereafter have no right to receive compensation or other benefits under this Agreement.

	
(e)

	
Termination by the Company Without Cause. The Company may, upon a majority vote of the Board of Directors, terminate the Executive's employment under this Agreement without Cause at any time upon 90 days prior written notice to the Executive, and Executive shall have any right to a claim against the Company for termination under this provision of the Agreement.

	
(f)

	
Change in Control. For purposes of this Agreement, unless the Board determines otherwise, a Change of Control of the Company shall be deemed to have occurred at such time as:

	
(i)

	
any person (as the term is used in Sections 13(d) and 14(d) of the Securities Exchange Act of 1934, as amended (the Exchange Act)) is or becomes the beneficial owner (as defined in Rule 13d-3 under the Exchange Act), directly or indirectly, of voting securities of the Company representing more than 50% of the Company s outstanding voting securities or rights to acquire such securities except for any voting securities issued or purchased under any employee benefit plan of the Company or its subsidiaries; or

	
(ii)

	
any sale, lease, exchange or other transfer (in one transaction or a series of transactions) of all or substantially all of the assets of the Company; or

	
(iii)

	
a plan of liquidation of the Company or an agreement for the sale or liquidation of the Company is approved and completed; or

	
(iv)

	
the Board determines in its sole discretion that a Change in Control has occurred, whether or not any event described above has occurred or is contemplated.

	
13.

	
Indemnification.

The Company shall indemnify the Executive, to the maximum extent permitted by applicable law and by its certificate of incorporation, against all costs, charges and expenses incurred or sustained by the Executive in connection with any action, suit or proceeding to which he may be made a party by reason of being an officer, director or employee of the Company or of any subsidiary or affiliate of the Company or any other corporation for which the Executive serves in good faith as an officer, director, or employee at the Company's request.

	
14.

	
General Provisions

	
(a)

	
Entire Agreement. This Agreement constitutes the entire agreement between the parties, and supersedes all prior agreements, representations and understandings of the parties, written or oral.

	
(b)

	
Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed to be an original, but all of which, taken together, shall constitute one and the same agreement.

	
(c)

	
Amendement. This Agreement may be amended only by written agreement of the parties.

	
(d)

	
Notices. All notices permitted or required under this Agreement shall be in writing and shall be delivered in person or mailed by first class, registered or certified mail, postage prepaid, to the address of the party specified in this Agreement or such other address as either party may specify in writing. Such notice shall be deemed to have been given upon receipt.

	
(e)

	
Assignment. This Agreement shall not be assigned by either party without the consent of the other party.

	
(f)

	
Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of Texas, without regard to its conflict of laws rules.

	
(g)

	
No Waiver of Rights. A failure or delay in exercising any right, power or privilege in respect of this Agreement will not be presumed to operate as a waiver, and a single or partial exercise of any right, power or privilege will not be presumed to preclude any subsequent or further exercise, of that right, power or privilege or the exercise of any other right, power or privilege.

IN WITNESS WHEREOF, this Agreement has been duly executed this 15th day of August, 2015.

	
EXECUTIVE

	
THE COMPANY

	
 

/s/ John Choo

	
 

/s/ Chad Sykes, CEO

	
Signature

	
Signature

	
 

Date:              8/15/2015

	
 

Date:              8/15/2015Exhibit 10.74

 

WAIVER AND AMENDMENT AGREEMENT

This Waiver and Amendment Agreement (“Agreement”), made and entered into as of February 12, 2016 (“Effective Date”), among RiceBran Technologies, a California corporation (“Borrower”), NutraCea, LLC (“NutraCea”), Rice Rx, LLC (“Rice”), Rice Science LLC (“Rice Science”), SRB-MERM, LLC (“MERM”), SRB-LC, LLC (“LC”), SRB-MT, LLC (“MT”), SRB-WS, LLC (“WS”) SRB-IP, LLC (“IP”), each of the foregoing a Delaware limited liability company, Healthy Natural, Inc., a Nevada corporation (“H&N”), The RiceX Company, a Delaware corporation, (“RiceX”) and RiceX Nutrients, Inc., a Montana corporation (“Nutrients,” and together with NutraCea, Rice, Rice Science, MERM, LC, MT, WS, IP, H&N and RiceX, each a  “Guarantor” and collectively, the “Guarantors”, and Borrower and Guarantors are collectively referred to as the “Grantors”) and Full Circle Capital Corporation, a Maryland corporation (“Agent” and a “Lender”).

Recitals:

	A.	The Grantors, the Lender and the Agent are parties to that certain Loan, Guarantee and Security Agreement dated as of May 12, 2015 (as amended from time to time, including the amendments effected pursuant to a Forbearance and Amendment Agreement (“Forbearance Agreement”) among the parties hereto, dated October 1, 2015, the “Loan Agreement”), pursuant to which the Agent and Lender extended a secured lending facility to the Borrower; and

	B.	Grantors acknowledge that the Borrower has informed the Agent that it anticipates to be in Default under Section 6 and Items 21(a), (b), (c) and (f) of the Schedule to the Loan Agreement for failure to comply with (i) the Total Debt to Adjusted EBITDA covenant for the periods ending March 31, 2016 and June 30, 2016 (ii) the Senior Debt to Adjusted EBITDA covenant for the periods ending March 31, 2016 and June 30, 2016, (iii) the Adjusted EBITDA to Fixed Charges covenant for the periods ending March 31, 2016 and June 30, 2016 , and (iv) Max Leverage Ratio for the quarters ending March 31, 2016 and June 30, 2016 (the “Potential Defaults”).

	C.	Grantors have requested that Agent and Lender (i) amend and waive certain provisions of the Loan Agreement in order to address the Potential Defaults and (ii) consent to the use of Borrower’s use of funds as provided herein;

NOW, THEREFORE, intending to be legally bound, the parties hereto covenant and agree as follows:

 

	
Section 1.

	
Recitals.

 

1.1       The Recitals set forth above are hereby made a part of this Agreement as if fully set forth herein below.

 

	
Section 2.

	
Use of Terms; Definitions.

 

2.1       Capitalized terms used herein (including the Recitals above) shall have the same meaning ascribed thereto in the Loan Agreement unless otherwise specified herein.

2.2       Defined Terms.  For purposes of this Agreement, the following terms shall have the meanings set forth below:

“New Financing” shall mean any equity financing completed by Borrower before February 29, 2016 in which the aggregate purchase price is at least $2,500,000.

“Early Maturing Notes” shall mean those promissory notes that constitute Subordinated Debt and that have scheduled maturity dates in 2016.

Section 3.          Waiver and Consent Regarding Halpern Loan.  On January 31, 2016, Baruch Halpern (or an entity affiliated with Baruch Halpern) (“New Lender”) loaned $300,000 to Borrower (“Halpern Loan”).  The Halpern Loan accrues interest at a rate of 11.75% per annum, matures on May 31, 2018 and must be repaid when funds are released from the Irgovel Escrow Account.  If the Halpern Loan is not repaid by June 30, 2016, then (i) the terms of the Halpern Loan automatically will amend and restate to be the same as the terms applicable to the secured promissory notes that constitute Subordinated Debt (ii) the Halpern Loan will be secured by Grantor’s assets in the same manner that the other Subordinated Debt that is secured pursuant to the Third Amended and Restated Security Agreement that constitutes of the of the Subordinated Indebtedness Documents (“Security Agreement”).  In connection with the Halpern Loan, Borrower agreed to issue to New Lender a warrant to purchase 25,000 shares of Borrower’s common stock.  If Borrower does not repay the Halpern Loan by June 30, 2016, then Borrower must issue to New Lender an addition warrant to purchase 25,000 shares of Borrower’s common stock.  Borrower used the Halpern Loan proceeds to make a capital contribution to Nutra SA, LLC, and Nutra SA, LLC used those funds to make a capital contribution to Irgovel.  Lender and Agent hereby consent to the Halpern Loan.  Further, Lender and Agent acknowledge and agree that the (i) the Halpern Loan, (ii) Borrower’s grant of a security interest in its collateral to secure the Halpern Loan pursuant to the Security Agreement, and (iii) the actions described above in this Section 3 do not and will not constitute a Default.

 

	
Section 4.

	
Waiver of Financial Covenants

 

4.1       Agent and Lender hereby waive any Defaults under the Loan Documents that occurred on or prior to the Effective Date.

4.2       Agent and Lender hereby waive the Potential Defaults and the Grantors’ obligations to comply with Items 21(a), (b), (c) and (f) of the Schedule for the periods ending March 31, 2016 and June 30, 2016.

 

	
Section 5.

	
Amendments to the Loan Agreement.

 

5.1       Item 21(e) of the Schedule is hereby amended and restated in its entirety as follows:

“Minimum Liquidity. For the periods from February 1, 2016 through the July 15, 2016 (the “Liquidity Trigger Date”), the Grantors shall at all times maintain cash on hand, including availability under the Revolving Commitment, of not less than $1,500,000, provided that at least $750,000 of such amount must be in the form of cash on hand.  From and after the Liquidity Trigger Date, the Grantors shall at all times maintain cash on hand, including availability under the Revolving Commitment, of not less than $2,000,000, provided that at least $1,000,000 of such amount must be in the form of cash on hand.”

 

5.2       Item 21(g) of the Schedule is hereby amended and restated in its entirety to read as follows:

“(g)     Monthly Adjusted EBITDA:  Borrower shall maintain at all times, on a consolidated basis, an average of the Monthly Adjusted EBITDA of not less than $100,000 for each consecutive three (3) month period beginning on January 1, 2016, February 1, 2016, March 1, 2016, April 1, 2016 and May 1, 2016.  Borrower shall submit to Lender its Monthly Adjusted EBITDA as soon as available, and in any case not later than twenty (20) days after the end of each month. The average of the Monthly Adjusted EBITDA shall be calculated by adding the Monthly Adjusted EBITDA for the three months in the applicable period and dividing that sum by three (3).”

Section 6.          Use of Proceeds.  Agent and Lender hereby consent to the use of Grantors’ cash as follows, and agrees that such use of cash shall be deemed to not be a Default under the Loan Documents:

6.1       Use of Proceeds from New Financing.  If Borrower completes a New Financing, Borrower may use proceeds from the New Financing (“New Financing Proceeds”) as follows:

(a)        Up to $1,000,000 may be reserved for use by Irgovel (such reserved funds, the “Irgovel Reserve”), and, so long as Borrower is not in default prior to or as a result of such contribution or loan, Borrower may contribute or loan funds constituting the Irgovel Reserve to Nutra SA, LLC for use by Irgovel; and

(b)       Any remaining proceeds (net of expenses related to the New Financing) may be used by Borrowers USA Segment for working capital purposes.

 

Any portion of the Irgovel Reserve that is maintained by Borrower because it has not been contributed or loaned to Nutra SA, LLC shall not constitute cash on hand for purposes of satisfying the Minimum Liquidity Requirement under Item 21(e) of the Schedule.

6.2       Use of Proceeds from Irgovel Escrow Account.  If funds are released from the Irgovel Escrow Account to Borrower (“Released Escrow Funds”), Borrower shall comply with Section 7 below, and subject to compliance with Section 7 below and so long as Borrower is not in default as a result of the repayments contemplated below, Borrower may use such funds as follows:

(a)        Up to $315,000 of the Released Escrow Funds may be used to repay the Halpern Loan;

(b)        Up to $225,000 of the Released Escrow Funds may be used to repay the Early Maturing Notes;  and

 

(c)       Any remaining portion of the Released Escrow Funds may be used by Borrower’s USA Segment for working capital purposes.

 

	
Section 7.

	
Borrower Payments.

 

7.1      Without limitation to any other obligation under this Agreement, the Loan Agreement or the other Loan Documents, in consideration of Agent and Lender agreeing to the waivers and amendments contained herein, the Borrower hereby agrees to pay a one-time waiver fee to Agent and Lender in the aggregate amount of Seventy-Five Thousand Dollars ($75,000.00) in cash or other immediately available funds upon execution of this Agreement.

7.2       Borrower agrees to apply One-Million Dollars ($1,000,000.00) of the Released Escrow Funds towards the repayment of the Term Loan with three (3) days of funds being released, and, regardless of whether such funds have been released, such repayment shall occur no later than March 31, 2016.

 

	
Section 8.

	
Acknowledgments.

 

8.1       (a)        Acknowledgement of Obligations.  Grantors hereby acknowledge, confirm and agree that as of the Effective Date, Borrower is indebted to Agent and Lender for Loans and other financial accommodations under the Loan Documents in the following principal amounts:

	
Revolving Loan:

	 	
$

	
1,720,350.00

	 
	
Term Loan:

	 	
$

	
2,500,000.00

	 

All such obligations under the Loan Agreement owing by Borrower together with interest accrued and accruing thereon, and all fees, costs, expenses and other charges now or hereafter payable by Borrower to Agent and Lender, are unconditionally owing by Borrower to Lender, without offset, defense or counterclaim of any kind, nature or description whatsoever.

 

(b)       Binding Effect of Documents.  Grantors hereby acknowledge, confirm and agree that: (i) each of the Loan Documents to which a party have been duly executed and delivered to Agent and Lender thereto by Grantors, and each is in full force and effect as of the Effective Date, (ii) the agreements and obligations of Grantors contained in the Loan Documents and in this Agreement constitute the legal, valid and binding obligations of Grantors, enforceable against Grantors in accordance with their respective terms, except as enforceability may be limited by applicable bankruptcy, insolvency, reorganization, moratorium or similar laws affecting creditors’ rights generally and by general equitable principles (whether enforcement is sought by proceedings in equity or at law), and Grantors have no valid defense to the enforcement of the obligations under the Loan Agreement and (iii)  Agent and Lender are and shall be entitled to the rights, remedies and benefits provided for in the Loan Documents and under applicable law or at equity.

 

	
Section 9.

	
Covenants, Representations and Acknowledgments of Grantors.

 

9.1       Each Grantor does hereby ratify, confirm and reaffirm all of the terms and conditions of the Loan Agreement, and the other Loan Documents, to which each are a party, in each case as such documents are amended and waived hereby; and the Grantors further agree that each continues to be bound by the terms and conditions thereof.

 

9.2       Each Grantor does hereby ratify, confirm and reaffirm, without condition, all liens and security interests in the collateral granted to the Lender pursuant to the Loan Documents; and all such liens and security interests shall continue to secure the Obligations as first priority liens (subject to Permitted Liens).

 

9.3       Each Grantor represents and warrants to the Lender and the Agent that:

(a)       this Agreement has been duly executed and delivered by each Grantor and constitutes the legal, valid and binding obligation of the Grantors enforceable in accordance with its terms;

 

(b)       the representations and warranties set forth within the Loan Agreement and the other Loan Documents continue to be true and correct in all material respects as of the date of this Agreement, except those changes resulting from the passage of time and those changes consented to by the Lender and the Agent, if any;

 

(c)       Each Grantor has not suffered a material adverse change with respect to its assets, business, operations or financial condition since the Closing Date, other than the material adverse changes subject to written Agent forbearance or waiver; and

(d)        the execution and delivery of this Agreement have been duly authorized by all necessary action by the Grantors.

9.4       Other Covenants.  Each Grantor covenants and agrees to:

(a)        take any and all commercially reasonable actions of any kind or nature whatsoever, either directly or indirectly, that are necessary to prevent Lender from suffering a loss with respect to the Obligations or being deprived of the Collateral, or of any rights or remedies of Agent with respect to the Term Loan and the Loan Documents in the event of a Default by Grantors under any other Loan Documents (or the ability to exercise such any rights or remedies); and

(b)       use commercially reasonable efforts to preserve all assets of the Grantors, except in the ordinary course of Grantor’s business.

Section 10.        Conditions Precedent.  This Agreement shall be effective as of the date hereof provided that on the date of execution of this Agreement each of the following conditions has been satisfied:

10.1     Contemporaneously with or prior to the execution hereof, each Grantor shall deliver, or cause to be delivered, to the Agent and the Lenders such other documents reasonably required by counsel for the Agent in connection with the transactions contemplated by this Agreement.

 

10.2     The Agent for the benefit of the Lender shall continue to have a first priority lien (subject to Permitted Liens) on and security interest in the collateral described in the Loan Agreement.

10.3     All legal details and proceedings in connection with the transactions contemplated by this Agreement shall be satisfactory to counsel for the Agent, and the Agent shall have received all such originals or copies of such documents as the Agent may request.

10.4     Borrower shall have paid to the Agent its expenses associated with this Agreement, including reasonable fees and expenses of counsel.  At the request of the Borrower, the Agent will confirm that the conditions under this Section 9 were met to its satisfaction and this Agreement became effective.

 

	
Section 11.

	
Reservation of Rights.

 

11.1    Each Grantor acknowledges and agrees that Agent and Lender (i) have not acquiesced to any noncompliance by the Borrower with the exact terms of the Loan Agreement relating to any Default except as expressly set forth herein and the Forbearance Agreement, (ii) intend to strictly enforce the terms of the Loan Agreement and the Loan Documents (as amended and waived hereby), in the exercise of Agent’s and Lender’s sole and absolute discretion, and (iii) hereby reserve all rights, powers and remedies under the Loan Agreement and the other Loan Documents with respect to any noncompliance with the terms of the Loan Agreement or any of the other Loan Documents. Agent, in its discretion, may honor requests by the Borrower for advances pursuant to the Loan Agreement, but in no event shall Agent’s honoring of any such requests be deemed a waiver of any Default that may occur or exist. Each Grantor acknowledges and agrees that advances and other extensions of credit made by Agent to or for the benefit of the Borrower and Grantor have been made in reliance upon, and are consideration for, among other things, the covenants, agreements, representations and warranties of the Grantors herein.

 

	
Section 12.

	
Miscellaneous

 

12.1     This Agreement shall be construed in accordance with, and governed by the internal laws of, the State of New York without giving effect to its conflict of laws principles.

12.2     This Agreement shall inure to the benefit of, and shall be binding upon, the respective successors and assigns of the Grantors, the Lender and the Agent. The Grantors may not assign any of its rights or obligations hereunder without the prior written consent of the Agent.

12.3     This Agreement may be executed in any number of counterparts and by the different parties hereto on separate counterparts each of which, when so executed, shall be deemed an original, but all such counterparts shall constitute but one and the same instrument.

12.4     All notices, communications, agreements, certificates, documents or other instruments executed and delivered after the execution and delivery of this Agreement may refer to the Loan Agreement without making specific reference to this Agreement, but nevertheless all such references shall include this Agreement unless the context requires otherwise.

 

12.5     Each Grantor hereby ratifies and reaffirms the Loan Agreement and all of its obligations and liabilities thereunder.  Borrower acknowledges and agrees that all terms and provisions, covenants and conditions of this Agreement shall be and remain in full force and effect and constitute the legal, valid, binding and enforceable obligations of the Grantors.  Borrower shall pay to Agent all costs and expenses, including legal fees, incurred by Agent in connection with preparation, negotiation and closing of this Agreement.

12.6     This Agreement is not intended to be, nor shall it be construed to create, a novation or accord and satisfaction, and the Loan Agreement, as amended hereby, shall remain in full force and effect.  Notwithstanding any prior mutual temporary disregard of any of the terms of the Loan Agreement, the parties agree that the term of each of the Loan Agreement shall be strictly adhered to on and after the date hereof, except as expressly modified or waived by this Agreement and the Forbearance Agreement.

12.7     To induce Agent to enter into this Agreement, each Grantor hereby releases, acquits, and forever discharges Agent and the Lender and their respective officers, directors, agents, employees, successors and assigns (the “Released Parties”), from all liabilities, claims, demands, actions or causes of action of any kind (if any there be) arising on or before the date of this Agreement, whether absolute or contingent, due or to become due, disputed or undisputed, liquidated or unliquidated, at law or in equity, or known or unknown, that any one or more of them now have or ever have had against the Released Parties, whether arising under or in connection with the Loan Agreement or otherwise.

12.8     Each Grantor hereby waives the benefit of any statute of limitations that might otherwise bar the recovery of any of the Obligations from any one or more of them.

12.9     Except as specifically set forth herein, neither this Agreement, Lenders’ continued making of loans or other extensions of credit at any time extended to Borrower in accordance with the Loan Agreement shall be deemed a waiver of or consent to any Default.

12.10   Nothing in this Agreement shall be construed to alter the existing debtor-creditor relationship between Grantors and Lender.  This Agreement is not intended, nor shall it be construed, to create a partnership or join venture relationship between or among any of the parties hereto.  No Person other than a party hereto is intended to be a beneficiary hereof and no Person other than a party hereto shall be authorized to rely upon or enforce the contents of this Agreement.

12.11   Any provision of this Agreement held by a court of competent jurisdiction to be invalid or unenforceable shall not impair or invalidate the remainder of this Agreement and the effect thereof shall be confined to the provision so held to be invalid or unenforceable.

12.12   Any reference to the Loan Agreement contained in any document, instrument or agreement executed in connection with the Loan Agreement, shall be deemed to be a reference to the Loan Agreement as modified or waived by this Agreement.

12.13   This Agreement is a Loan Document.

 

12.14   In the event there is a conflict between the terms of this Agreement and the other Loan Documents, the terms of this Agreement shall control.

[Signature Page Follows]

 

IN WITNESS WHEREOF, Grantors, Agent and Lender have executed this Agreement as of the day and year first above written.

GRANTORS:

 

	
RICEBRAN TECHNOLOGIES

	
 

	
SRB-MT, LLC

	
 

	
 

	
 

	
 

	
 

	
By:

	
  

	 	
By:

	
  

	
Name:

	 	
 

	
Name:

	
 

	
Title:

	 	
 

	
Title:

	
 

	
 

	
 

	
 

	
 

	
 

	
NUTRACEA, LLC

	
 

	
SRB-WS, LLC

	
 

	
 

	
 

	 	
 

	
By:

	
  

	
 

	
By:

	
  

	
Name:

	 	
 

	
Name:

	 
	
Title:

	
 

	
 

	
Title:

	
 

	
 

	
 

	
 

	
 

	
 

	
RICE RX, LLC

	
 

	
SRB-IP, LLC

	
 

	
 

	
 

	 	
 

	
By:

	
  

	
 

	
By:

	
  

	
Name:

	
 

	
 

	
Name:

	 
	
Title:

	
 

	
 

	
Title:

	
 

	
 

	
 

	
 

	
 

	
 

	
RICE SCIENCE LLC

	
 

	
HEALTHY NATURAL, INC.

	
 

	
 

	
 

	 	
 

	
By:

	
  

	
 

	
By:

	
  

	
Name:

	
 

	
 

	
Name:

	
 

	
Title:

	
 

	
 

	
Title:

	
 

	
 

	
 

	
 

	 	
 

	
SRB-MERM, LLC

	
 

	
THE RICEX COMPANY

	
 

	
 

	
 

	 	
 

	
By:

	
  

	
 

	
By:

	
  

	
Name:

	
 

	
 

	
Name:

	
 

	
Title:

	
 

	
 

	
Title:

	
 

	
 

	
 

	
 

	
 

	
 

	
SRB-LC, LLC

	
 

	
RICEX NUTRIENT, INC.

	
 

	
 

	
 

	
 

	
 

	
By:

	
  

	
 

	
By:

	
  

	
Name:

	
 

	
 

	
Name:

	
 

	
Title:

	 	
 

	
Title:

	
 

 

[Signature Page to Waiver and Amendment Agreement]

 

Agreed to and accepted this __ day of February, 2016.

	
AGENT AND LENDER

	 
	 	 	 
	
FULL CIRCLE CAPITAL CORPORATION

	 
	 	 	 
	
By:

	/s/ Gregg J Felton	 
	
Name: Gregg J Felton

	 
	
Title:   President & CEO

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00256-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00256-of-00352.parquet"}]]