Document:

Exhibit
10.7

 

ASSET/SHARE
EXCHANGE AGREEMENT

 

THIS
ASSET/SHARE EXCHANGE AGREEMENT (this “Agreement”), dated May 21, 2020 by and among: (i) Hemp Technology, Inc.
a Wyoming corporation, (the “Parent”); (ii) 4033002, a Wyoming corporation (“Sub”), a wholly owned subsidiary
of Parent and (iii) Cannary Packaging, Inc., a private British Columbia company (“Cannary”), and collectively known
as the “Parties.”

 

WHEREAS,
on the terms and conditions hereinafter provided, the Parent and its Sub desire to acquire non-operating assets from Cannary and
Cannary wishes to transfer to the Sub, its non-operating assets (the “Non-Operating Assets”) in consideration for
Parent’s agreement to exchange up to 21,999,667,720 unregistered restricted common shares (the “Issued Shares”)
of newly-issued common stock of the Parent to existing shareholders of Cannary (the “Cannary Stockholders”);

 

WHEREAS,
on the terms and conditions hereinafter provided, at Closing, the title to the Non-Operating Assets will transfer to the Sub,
following which the Sub will be a separate operating entity of the Parent;

 

WHEREAS,
on the terms and conditions hereinafter provided, at Closing, in order to protect its interests, Cannary will recommend two nominees
to be added to the board of directors of the Parent and the Parent will take such actions as are required to have such nominees
added to Parent’s board of directors; and

 

WHEREAS,
the purpose of acquiring these Non-Operating Assets is twofold: 1) 4033002 becomes the operating asset acquisition subsidiary
for Parent; and 2) the acquisition of these Non-Operating Assets helps qualify Parent for a NASDAQ listing.

 

NOW
THEREFORE, on the stated premises and for and in consideration of the mutual covenants and agreements hereinafter set forth
and the mutual benefits to the Parties to be derived here from, it is hereby agreed as follows:

 

ARTICLE
I

REPRESENTATIONS,
COVENANTS, AND

WARRANTIES
OF HEMP TECHNOLOGY, INC. AND 4033002 (Subsidiary)

 

As
an inducement to, and to obtain the reliance of Cannary, the Parent and its Sub, represent and warrant as follows:

 

1.1
Organization. (a) Parent and Sub are duly organized and validly existing under the laws of the State of Wyoming and they
have the corporate power and are duly authorized, qualified, franchised, and licensed under all applicable laws, regulations,
ordinances, and orders of public authorities to own all of their properties and assets and to carry on their respective businesses.
Unrelated to this transaction, Parent also owns a different Sub, named, 4033000, a Wyoming Corporation, 4033001, a Wyoming Corporation,
Sub, Hemp Technology, Inc., a Kentucky corporation, Hemp Biotech, Inc., a Kentucky corporation and Sol Terra, SAS, a Colombian
corporation. Parent is listed on the OTCMarkets, with the trading symbol of: HPTY.

 

    	 	1	 

     

    

 

1.2
Due Authorization. The Board of Directors of each of the Parent and Sub will have taken prior to Closing (as defined below),
all actions required by law, its articles of incorporation, its bylaws, or otherwise to authorize the execution and delivery of
this Agreement. No authorization, approval, consent, or order of, or registration, with, any court or other governmental body
is required in connection with the execution and delivery by Parent and Sub of this Agreement and consummation by the Parent and
Sub of the transactions contemplated by this Agreement.

 

1.3
Absence of Violation. The execution and delivery of this Agreement, and all exhibits hereto does not and the consummation
of the transactions contemplated hereby and thereby will not (a) conflict with, violate, result in a breach of or constitute a
default under any provision of the articles of incorporation (as amended) or bylaws or other organizational documents of the Parent
and Sub; (b) violate, conflict with or result in the breach or termination of or modification, or otherwise give any other contracting
party the right to terminate or modify, or constitute a default, with or without notice, the lapse of time or both, or cause the
acceleration of any obligation, under the terms of any contract to which Parent or Sub are a party; (c) result in the creation
of any lien, charge or encumbrance upon the properties or other assets of the Corporation or Sub; or (d) conflict with, violate,
result in a breach of or constitute a default under any judgment, order, injunction, decree or award against, or binding upon,
Parent or Sub or upon any of their respective properties or assets.

 

1.4
Consents. Parent and Sub are not subject to any law, ordinance, regulation, rule, order, judgment, injunction, decree,
charter, bylaw, contract, commitment, lease, agreement, instrument or other restriction of any kind which would prevent Parent
or Sub from performing the terms of this Agreement or any of the transactions contemplated hereby without the consent of any third
party, or which would require the consent of any third party for the consummation of this Agreement or any of the transactions
contemplated hereby, or which would result in any penalty, forfeiture or other termination as a result of such consummation.

 

1.5
Binding Obligation. When executed by the Corporation, this Agreement and the representations and warranties contained herein
will constitute valid and binding obligations of Parent and Sub enforceable in accordance with their respective terms.

 

1.6
Capitalization and Outstanding Shares. As of the date of this Agreement, the authorized capitalization of the Parent consists
of 50,000,000,000 shares of common stock and 10,000,000,000 preferred shares, US$0.001 par value, of which, 21,176,289,678 shares
of common stock are issued outstanding and no preferred shares are issued and outstanding. Such issued and outstanding shares
are validly issued, fully paid, and non-assessable and not issued in violation of the pre-emptive or other rights of any person.
The capitalization of the Sub consists of 70,000,000 shares of common stock and 5,000,000 preferred shares, US$0.001 par value,
where there are no common nor preferred shares issued or outstanding.

 

    	 	2	 

     

    

 

1.7
Compliance With Laws and Regulations. Parent and Sub have complied with all applicable statutes and regulations of any
federal, state, or other governmental entity or agency thereof, except to the extent that noncompliance would not materially and
adversely affect the business, operations, properties, assets, or condition of Parent and Sub or except to the extent that noncompliance
would not result in the occurrence of any material liability for the Parent, on a consolidated basis.

 

1.8
Litigation. There are no claims, actions, suits, proceedings or investigations pending or threatened or reasonably anticipated
against or affecting Parent or Sub or any of their respective assets or business or this Agreement or any exhibit hereto, at law
or in equity, by or before any court, arbitrator or governmental authority, domestic or foreign.

 

1.9
No Bankruptcy. There has not been filed any petition or application, nor any proceeding commenced by or against Parent
or Sub with respect to any assets of Parent or Sub under any law, domestic or foreign, relating to bankruptcy, reorganization,
fraudulent transfer, compromise, arrangements, insolvency, readjustment of debt or creditors’ rights, and no assignment
has been made by Parent or Sub for the benefit of creditors generally.

 

1.10
Shareholder’s Agreements. Except for this Agreement and any agreements incorporated as exhibits hereto, there is
no agreement which governs or purports to govern the shareholdings of Parent or Sub or which restricts or purports to restrict
the exercise by any shareholder of Parent or Sub of its rights as a shareholder of the Parent or Sub, as applicable, including
without restriction, any such agreement, arrangement, commitment or understanding restricting or otherwise relating to the voting,
dividend rates or disposition of the shares (or units or other equity interest, as the case may be) of the Corporation, save as
governed by applicable law.

 

1.11
Financial Statements. The financial statements of Parent contained in the filings with the U.S. Securities and Exchange
Commission (“SEC”) are accurate and in keeping with the requirements of the securities laws of the United States.

 

1.12
Guarantees. Neither Parent nor Sub not any outstanding contracts or commitments guaranteeing (or indemnifying or making
contribution to others for breaches in connection with) the payment or collection or the performance of the obligations of others,
and neither of them has entered into any deficiency agreements, or issued any comfort letters, or otherwise granted any material
financial assistance to any person, firm, corporation or other entity.

 

1.13
No Non-Competition Agreement. There is no restriction agreement nor any non-solicitation or non-competition agreement or
other agreement restricting in any way the carrying on of the business of Parent or Sub.

 

1.14
Real Property. Neither Parent nor Sub own any real or otherwise immovable property.

 

    	 	3	 

     

    

 

1.15
Employment Matters. Except as disclosed herein, neither Parent nor Sub have any employment, consulting or severance contract,
arrangement or understanding with any person whomsoever, with annual obligations in excess of $50,000. Neither Parent nor Sub
have granted any “golden parachute” to any of its past or present employees. The salaries and bonuses of all officers
and employees of Parent and Sub have been paid by the Parent. Parent and Sub are in compliance in all material respects with all
applicable laws relating to employment in all relevant jurisdictions. There is no pending or outstanding employment dispute involving
either Parent or Sub. The consummation of the transactions contemplated by this Agreement will not give rise to any liability
of Parent or Sub for bonuses, severance pay, termination benefits or other amounts. Parent and Sub are currently preparing new
employment agreements with its executive team. As of the date of this Agreement, these Employment agrees are not in place.

 

1.16
Intellectual Property. Neither Parent nor Sub have or are violating any patents, material trademarks, trade names, copyrights,
service marks, applications therefor and other industrial and intellectual property.

 

1.17
Issuance of Shares Exempt from Registration. The issuance of the Issued Shares to the Cannary Stockholders is exempt from
registration under United States federal and state securities laws and regulations. These shares will be issued in reliance on
the exemption under Section 4(2) of the Securities Act of 1933, as amended (the “Act”). These shares of the Parent’s
common stock qualify for exemption under Section 4(2) of the Securities Act of 1933 since the issuance shares does not involve
a public offering. The Cannary Stockholders were provided access to all material information and were afforded access to management
in connection with this transaction. Prior to the transaction, all of the Cannary Stockholders were sent a notice that provided
information about the transaction. Additionally, these shareholders had the necessary intent as required by Section 4(2) since
they agreed to and received share certificates bearing a legend stating that such shares are restricted pursuant to Rule 144 of
the 1933 Securities Act. The shareholders agreed not to resell or distribute the securities. They were able to evaluate the risks
and merits of the share exchange they are able to accept the economic risk in accepting Issued Shares in exchange for their shares
in the capital of Cannary.

 

1.18
No Materially Adverse Undisclosed Facts. There is no fact known to the management of Parent or Sub which has not previously
been disclosed in writing to Cannary which may materially adversely affect Parent of Sub or any of their respective assets, properties,
business, prospects, operation or condition (financial or otherwise), or which should be disclosed to Cannary in order to make
any of the warranties and representations herein true and not misleading and no state of facts is known (or with reasonable diligence
would be known) to the management of Parent or Sub that would operate to prevent Cannary from continuing to carry on its business
in the manner in which carried on at the date hereof.

 

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1.19
Absence of Certain Changes or Events. Except in order to fulfill the obligations created by this Agreement and to complete
the transactions contemplated herein, from the date of this Agreement until the completion of the Closing (as described below)
neither Parent nor Sub will: (a) incur any liability or obligation whatsoever, secured or unsecured, direct or indirect, other
than in the ordinary and usual course of its business; (b) enter into any contracts or agreements whatsoever, other than in the
ordinary and usual conduct and course of its business; (c) change any of its accounting methods, principles, practices or policies;
(d) cease to operate its properties and to carry on its business as heretofore carried on, nor fail to maintain all of its properties,
rights and assets consistently with past practices; (e) sell or otherwise in any way alienate or dispose of any of its assets
other than in the ordinary course of business and in a manner consistent with past practices; (f) modify its articles of incorporation,
bylaws or capital structure; (g) make any modification to its authorized or issued shares, nor redeem, retire, repurchase or otherwise
acquire, nor issue, sell or otherwise dispose of, shares of its capital stock other equity interests or warrants, bonds or rights
in its own capital, (h) make any distribution, by way of dividend or otherwise, to any of its shareholders or to any affiliate
or associate thereof, or reserve or declare any dividend; (i) make any material change in the form of compensation or remuneration
payable or to become payable to any of its shareholders, directors, officers, employees or agents nor in the rate thereof; (j)
other than the ordinary course of business, not grant to any customer any special allowance or discount, or change its pricing,
credit or payment policies; (k) make any loan or advance, or assume, guarantee or otherwise become liable with respect to the
liabilities or obligations of any person; (l) permit, cause or suffer any extraordinary losses not covered by insurance; (m) remove
any director or auditor or terminate any officer or have any of the foregoing resign; (n) purchase or otherwise acquire any shares
or other equity interest, as the case may be, in any person. Parent and Sub further represent and warrant that (o) neither of
them (nor their respective subsidiaries or affiliates) are currently facing any action or suit, proceeding, inquiry, or any threat
thereof, against or affecting them at law or in equity or before or by any foreign, federal, state, provincial, municipal or other
governmental department, commission, board, bureau, agency or instrumentality which may in any way materially and adversely affect
the Parent, on a consolidated basis; (p) except as described in its SEC filings, and/or the Parent’s interim financial statements,
there have not been any transactions, agreements, arrangements or payments (including, without limitation, salaries, bonuses,
royalties or fees) relating to or affecting Parent or Sub or their respective businesses: (i) involving any related entity of
the Parent, (ii) involving any current or former director, officer, shareholder of the Parent, or (iii) involving any member of
the immediate family of any individual described in clause (ii) above, (iv) involving any other person not acting at arm’s
length with Parent or (v) not otherwise at arm’s length.

 

1.20
Reliance. All representations and warranties of Parent and Sub contained herein, shall be deemed to have been relied upon
by Cannary notwithstanding any investigation heretofore or hereafter made by Cannary or by its counsel or by any other representative
of Cannary and shall survive the date hereof and continue in full force and effect for the benefit of Cannary for an unlimited
duration in case of fraud, gross negligence, material willful concealment or until the limitation period under any applicable
tax statute has expired or, in all other cases, until the second anniversary of the date hereof.

 

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ARTICLE
II

REPRESENTATIONS,
COVENANTS, AND WARRANTIES

OF
CANNARY PACKAGING, INC.

 

As
an inducement to, and to obtain the reliance the Parent and its Sub, Cannary represents and warrants, with respect to itself as
follows:

 

2.1
Organization. Cannary Packaging, Inc. is a company duly organized and validly existing under the laws of British Columbia,
Canada and has the corporate power and is duly authorized, qualified under all applicable laws, regulations, ordinances, and orders
of public authorities to own all of its properties and assets and to carry on its business. Cannary LA, a Wyoming company, is
a wholly owned subsidiary of Cannary Packaging, Inc.

 

2.2
Due Authorization. The Board of Directors of Cannary will have taken prior to Closing (as defined below), all actions required
by law, its articles or otherwise to ratify the execution and delivery of this Agreement. No authorization, approval, consent,
or order of, or registration, declaration, or filing with, any court or other governmental body is required in connection with
the execution and delivery by Cannary of this Agreement and consummation by the Parent of the transactions contemplated by this
Agreement. Provided, however, that the exchange by Cannary Stockholders of their shares in the capital of Cannary for Issued Shares
shall be at the discretion of each Cannary Stockholder and the sale of Cannary’s assets to Sub is subject to the receipt
of the requisite approval of the Cannary Stockholders.

 

2.3
Absence of Violation. The execution and delivery of this Agreement, and all exhibits hereto does not and the consummation
of the transactions contemplated hereby and thereby will not (a) conflict with, violate, result in a breach of or constitute a
default under any provision of the articles or other organizational documents of Cannary; (b) violate, conflict with or result
in the breach or termination of or modification, or otherwise give any other contracting party the right to terminate or modify,
or constitute a default, with or without notice, the lapse of time or both, or cause the acceleration of any obligation, under
the terms of any contract to which Cannary is a party; (c) result in the creation of any lien, charge or encumbrance upon the
properties or other assets of Cannary; or (d) conflict with, violate, result in a breach of or constitute a default under any
judgment, order, injunction, decree or award against, or binding upon, Cannary or upon any of its properties or assets.

 

2.4
Consents. Except for the requisite Cannary Stockholder approvals, Cannary is not subject to any law, ordinance, regulation,
rule, order, judgment, injunction, decree, charter, bylaw, contract, commitment, lease, agreement, instrument or other restriction
of any kind which would prevent Cannary from performing the terms of this Agreement or any of the transactions contemplated hereby
without the consent of any third party, or which would require the consent of any third party for the consummation of this Agreement
or any of the transactions contemplated hereby, or which would result in any penalty, forfeiture or other termination as a result
of such consummation.

 

    	 	6	 

     

    

 

2.5
Binding Obligation. When executed by Cannary, this Agreement, and all exhibits hereto and the representations and warranties
contained herein and therein will constitute a valid and binding obligation of Cannary enforceable in accordance with their respective
terms.

 

2.6
Capitalization and Outstanding Shares. Cannary is a private British Columbia company, owned by its shareholders. At the
time of this Agreement, Cannary has authorized the following share capital:

 

Class
“A” Voting Common shares without par value (the “Class A Shares”);

Class
“B” Voting Common shares without par value (the “Class B Shares”);

Class
“C” Voting Common shares without par value;

Class
“D” Voting Common shares without par value;

Class
“E” Voting Common shares without par value;

Class
“F” Non-Voting Common shares without par value;

Class
“G” Non-Voting Common shares without par value;

Class
“H” Non-Voting Common shares without par value

Class
“I” Non-Voting Common shares without par value;

Class
“J” Non-Voting Common shares without par value;

Class
“K” Preferred shares with a par value of $100.00; and

Class
“L” Preferred shares without par value,

 

of
which Cannary has issued 56,750,000 Class A Shares and 9,142,066 Class B Common Shares (collectively, the “Cannary Shares”).
Such shares owned by the shareholders are valid, fully paid and non-assessable. Cannary LA has 70,000,000 common shares and 5,000,000
preferred shares, par value $0.001, authorized and no shares are issued nor outstanding.

 

2.7
Ownership of Cannary Shares. The Cannary Shares constitute all of Cannary’s issued and outstanding share capital,
and are held, to the knowledge of Cannary’s board of directors, by Cannary Stockholders free and clear of any claims, charges,
equities, liens, security interests, and encumbrances whatsoever.

 

2.8
Transfer of Non-Operating Assets. Delivery of the Non-Operating Assets at the Closing will convey to the Sub good and marketable
title to the Non-Operating Assets, free and clear of any claims, charges, equities, liens, security interests and encumbrances
whatsoever.

 

2.9
Compliance With Laws and Regulations. Cannary has complied with all applicable statutes and regulations of the British
Columbia, except to the extent that noncompliance would not materially and adversely affect the business, operations, properties,
assets, or condition of Cannary or except to the extent that noncompliance would not result in the occurrence of any material
liability for Cannary.

 

2.10
Litigation. There are no claims, actions, suits, proceedings or investigations pending or threatened or reasonably anticipated
against or affecting Cannary or any of its assets or business or this Agreement or any exhibit hereto, at law or in equity, by
or before any court, arbitrator or governmental authority, domestic or foreign.

 

    	 	7	 

     

    

 

2.11
No Bankruptcy. There has not been filed any petition or application, nor any proceeding commenced by or against Cannary
with respect to any assets of Cannary under any law, domestic or foreign, relating to bankruptcy, reorganization, fraudulent transfer,
compromise, arrangements, insolvency, readjustment of debt or creditors’ rights, and no assignment has been made by Cannary
for the benefit of creditors generally.

 

2.12
Non-Operating Assets. The list of Non-Operating Assets attached hereto as Exhibit A accurately reflects in all material
respects the assets to be transferred to Sub based on the terms and conditions of this Agreement.

 

2.13
Guarantees. Cannary does not have any outstanding contracts or commitments guaranteeing (or indemnifying or making contribution
to others for breaches in connection with) the payment or collection or the performance of the obligations of others, and has
not entered into any deficiency agreements, or issued any comfort letters, or otherwise granted any material financial assistance
to any person, firm, corporation or other entity.

 

2.14
No Non-Competition Agreement. There is no restriction agreement nor any non-solicitation or non-competition agreement or
other agreement restricting in any way the carrying on of the business of Cannary binding upon Cannary.

 

2.15
Real Property. Cannary does not own any real or otherwise immovable property.

 

2.16
Intellectual Property. Cannary has not and is not violating any patents, material trademarks, trade names, copyrights,
service marks and other industrial and intellectual property.

 

2.17
No Materially Adverse Undisclosed Facts. There is no fact known to the management of Cannary which has not previously been
disclosed in writing to Parent or Sub which may materially adversely affect Cannary or its assets, properties, business, prospects,
(financial or otherwise), or which should be disclosed to Parent and Sub in order to make any of the warranties and representations
herein true and not misleading and no state of facts is known (or with reasonable diligence would be known) to the management
of Cannary, which would operate to prevent Cannary from continuing to carry on its business in the manner in which carried on
at the date hereof.

 

2.18
Holders of Cannary Shares. The majority if not all of the holders of Cannary Shares are not “U.S. Persons”
under relevant the United States securities law and are obtaining shares of the common stock of the Parent for their own accounts.
The shareholders of Cannary will be provided access to all material information and will be afforded access to the Parent management
in connection with this transaction. Prior to the transaction, all of the Cannary shareholders will be sent a notice that provides
information concerning this transaction. Additionally, these shareholders will be required to give their necessary intent as required
by Section 4(2) since they are to agree to receive share certificates bearing a legend stating that such shares are restricted
pursuant to Rule 144 of the 1933 Securities Act. The shareholders will agree not to resell or distribute the securities.

 

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2.19
Reliance. All representations and warranties of Cannary contained herein, shall be deemed to have been relied upon by the
Parent and Sub notwithstanding any investigation heretofore or hereafter made by Parent and Sub or by their counsel or by any
other representative of Parent and Sub and shall survive the date hereof and continue in full force and effect for the benefit
of Parent and Sub for an unlimited duration in case of fraud, gross negligence, material willful concealment or until the limitation
period under any applicable tax statute has expired or, in all other cases, until the second anniversary of the date hereof.

 

2.20
Absence of Certain Changes or Events. Except in order to fulfill the obligations created by this Agreement and to complete
the transactions contemplated herein, from the date of this Agreement until the completion of the Closing (as described below)
Cannary will: (a) not incur any liability or obligation whatsoever, secured or unsecured, direct or indirect, other than in the
ordinary and usual course of its business; (b) not enter into any contracts or agreements whatsoever, other than in the ordinary
and usual conduct and course of its business; (c) not change any of its accounting methods, principles, practices or policies;
(d) not cease to operate its properties and to carry on its business as heretofore carried on, nor fail to maintain all of its
properties, rights and assets consistently with past practices; (e) not sell or otherwise in any way alienate or dispose of any
of its assets other than in the ordinary course of business and in a manner consistent with past practices; (f) not modify its
articles of incorporation, bylaws or capital structure; (g) not make any modification to its authorized or issued shares, nor
redeem, retire, repurchase or otherwise acquire, nor issue, sell or otherwise dispose of, shares of its capital stock other equity
interests or warrants, bonds or rights in its own capital, (h) not make any distribution, by way of dividend or otherwise, to
any of its shareholders or to any affiliate or associate thereof, or reserve or declare any dividend; (i) not make any material
change in the form of compensation or remuneration payable or to become payable to any of its shareholders, directors, officers,
employees or agents nor in the rate thereof; (j) other than the ordinary course of business, not grant to any customer any special
allowance or discount, or change its pricing, credit or payment policies; (k) not make any loan or advance, or assume, guarantee
or otherwise become liable with respect to the liabilities or obligations of any person; (l) not permit, cause or suffer any extraordinary
losses not covered by insurance; (m) not remove any director or auditor or terminate any officer or have any of the foregoing
resign; (n) not purchase or otherwise acquire any shares or other equity interest, as the case may be, in any person. Cannary
further represents that (o) it is not currently facing any action or suit, proceeding, inquiry, or any threat thereof, against
or affecting Cannary at law or in equity or before or by any foreign, federal, state, provincial, municipal or other governmental
department, commission, board, bureau, agency or instrumentality which may in any way materially and adversely affect the Corporation;
(p) except as described in Cannary’s financial statements, there have not been any transactions, agreements, arrangements
or payments (including, without limitation, salaries, bonuses, royalties or fees) relating to or affecting Cannary or its business:
(i) involving any related entity of the Corporation, (ii) involving any current or former director, officer, shareholder of the
Corporation, or (iii) involving any member of the immediate family of any individual described in clause (ii) above, (iv) involving
any other person not acting at arm’s length with Cannary or (v) not otherwise at arm’s length.

 

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ARTICLE
III

THE
CLOSING

 

3.1
The Exchange. The sale by Cannary of the Non-Operating Assets in consideration for Parent’s agreement to exchange
Cannary Shares held by Cannary Stockholders for Issued Shares shall be subject to the receipt of the approval of no less than
two-thirds of Cannary Stockholders at a meeting of Cannary Stockholders held for such purpose. Cannary Stockholders shall be entitled
to dissent to the sale by Cannary of the Non-Operating Assets and receive fair value for their Cannary Shares.

 

Prior
to the transaction, all of the Cannary shareholders will receive a notice about the transaction. Additionally, these shareholders
will be able to express their necessary intent as required by Section 4(2) that they agree to and will received share certificates
bearing a legend stating that such shares will be restricted pursuant to Rule 144 of the 1933 Securities Act. The shareholders
will be required to agree not to resell or distribute the securities, unless done so under Rule 144 or under a registration statement.

 

Subject
to receipt of the requisite approvals of Cannary Stockholders, Cannary will assign, transfer, and deliver to the Sub, free and
clear of all liens, pledges, encumbrances, charges, restrictions or known claims of any kind, nature, or description, the Non-Operating
Assets of Cannary, substantially as described in Exhibit A. In addition, any Cannary Stockholder that agrees to exchange their
Cannary Shares for Issued Shares, shall do so at a ratio of 420:1.

 

The
number of Issued Shares to be issued to the Cannary Shareholders will be determined on a pro-rata basis which will be based on
the average market price of the Parent’s stock for the past 30 days. The exchange ratio is based on exchange of Class A
and Class B shares of Cannary. The number of shares can be increased or decreased, as the case may be, based on the average market
price of the Parent’s shares.

 

In
order to protect its interests, Cannary will have an opportunity to recommend that two Directors be appointed to the Board of
the Directors of the Parent. Based on the satisfactions of their qualifications, the Board of Directors of the Parent will appoint
them to their Board.

 

3.2
Closing. The closing (“Closing”) or Effective Time of the transactions contemplated by this Agreement shall
be by the middle of June 2020 or at such time and place as the Parties may mutually agree (“Closing Date”).

 

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3.3
Conditions Precedent to Closing.

 

The
conditions precedent to the obligations set forth in this Agreement for the Parent and Sub include:

 

	 	(a)	A
    complete and satisfactory due diligence review of the books, records, business and affairs of Cannary by Parent and Sub;
	 	(b)	Establish
    an evaluation/fair value of the Non-Operating Assets, to the satisfaction of the Parent’s auditors;
	 	(c)	The
    Parent’s Board of Directors approval to acquire the Non-Operating Assets.
	 	(d)	The
    final determination of the number of unregistered, restricted common shares of the Parent to be newly issued for Cannary Shares.
	 	(e)	Two
    new Directors be appointed to the Parent’s Board of Directors;
	 	(f)	All
    necessary filings with the SEC and any other governmental bodies; and
	 	(e)
    	Any
    other conditions precedent set forth in Articles V and VI of this Agreement.”

 

The
conditions precedent to the obligations set forth in this Agreement for Cannary include:

 

	 	(a)	Cannary
    shareholder approval for the sale of the Non-Operating Assets;
	 	(b)	Individual
    Cannary Stockholder consent to the exchange of Cannary Shares for shares of Parent; the shareholders of Cannary to be offered
    Dissenters’ Rights, in accordance with Business Corporations Act (British Columbia);
	 	(c)	Ratification
    by Cannary of this Agreement and all exhibits hereto;
	 	(d)	The
    recommendation of two new Directors to the Parent’s Board of Directors by Cannary;

 

3.4
Appropriate Approval. All of the items set forth in Section 3.3 of this Agreement and all of the transactions contemplated
hereunder, shall have been properly authorized and approved by the stockholders of Cannary, or the given Dissenters’ Rights
and the Board of Directors of the Parent and Sub.

 

3.5
Closing Events. At the Closing, each of the respective Parties hereto shall execute, acknowledge, and/or deliver, as applicable,
or shall ensure to be executed, acknowledged, and delivered, as applicable, the following:

 

	 	(a)	Cannary
    to provide a list of shareholders who will be issued unregistered restricted stock in the Parent based their pro-rata ownership;
	 	(b)	Evidence
    of the ratification by Cannary Stockholders of this Agreement and all exhibits hereto;
	 	(c)	Board
    Resolution of Parent authorizing the issuance of 21,176,290,000 unregistered restricted common shares to the Cannary shareholders
    based on their pro-rata ownership for the exchange of $2,117,629 USD Cannary assets;
	 	(d)	The
    issuance of share certificates evidencing the ownership by those Cannary Stockholders who have agreed to exchange their Cannary
    Shares of the Issued Shares from the Parent’s transfer agent;
	 	(e)	The
    appointment of two new Directors to the Parent Board of Directors; 
	 	(f)	4033002
    becomes the operating asset acquisition subsidiary for Hemp Technology, Inc.;
	 	(g)	The
    filing of this event on Form 8-K with the U.S. Securities and Exchange Commission, within four days of the Closing.

 

    	 	11	 

     

    

 

ARTICLE
IV

SPECIAL
REPRESENTATIONS, COVENANTS, AND WARRANTIES

OF
PARENT WITH RESPECT TO THE ISSUED SHARES

 

The
Issued Shares shall be issued on a pro-rata basis to the Cannary Stockholders only for the respective accounts, pursuant to an
exemption from the registration requirements of the U.S. federal and state securities laws and regulations. Each certificate representing
the Issued Shares issued and delivered at the Closing will have typed or printed thereon a restricted legend which will read substantially
as follows:

 

“The
shares represented by this certificate have not been registered under the Securities Act of 1933, as amended (the “Securities
Act”), or any state securities laws, but have been acquired by the registered owner hereof for the purpose of investment
and in reliance upon the statutory exemptions contained in the Securities Act and similar provisions of any applicable state securities
laws. The shares may not be sold, pledged, transferred or assigned except in accordance with tHE SECURITIES ACT and all other
applicable state securities laws.”

 

ARTICLE
V

CONDITIONS
PRECEDENT TO OBLIGATIONS OF PARENT AND SUB

 

In
addition to the conditions precedent set forth in Section 3.3 to this Agreement, The obligations of Parent and Sub under this
Agreement are subject to the satisfaction, at or before the Closing Date, of the following conditions:

 

5.1
Accuracy of Representations. The representations and warranties made by Cannary in this Agreement were true when made and
shall be true as of the Closing Date (except for changes therein permitted by this Agreement) with the same force and effect as
if such representations and warranties were made at and as of the Closing Date, and Cannary shall have performed and complied
with all covenants and conditions required by this Agreement to be performed or complied with by Cannary prior to or at the Closing.

 

    	 	12	 

     

    

 

5.2
No Material Adverse Change. Prior to the Closing Date, there shall not have occurred any material adverse change in the
financial condition, business, or operations of Cannary nor shall any event have occurred which, with the lapse of time or the
giving of notice, may cause or create any material adverse change in the financial condition, business or operations of the Cannary.

 

ARTICLE
VI

CONDITIONS
PRECEDENT TO OBLIGATIONS OF CANNARY

 

In
addition to the conditions precedent set forth in Section 3.3 to this Agreement, the obligations of Cannary under this Agreement
are subject to the satisfaction, at or before the Closing Date, of the following conditions:

 

6.1
Accuracy of Representations. The representations and warranties made by Parent and Sub in this Agreement were true when
made and shall be true at the Closing Date with the same force and effect as if such representations and warranties were made
at and as of the Closing Date (except for changes therein permitted by this Agreement), and Parent and Sub shall have performed
or complied with all covenants and conditions required by this Agreement to be performed or complied with by them prior to or
at the Closing.

 

6.2
No Material Adverse Change. Prior to the Closing Date, there shall not have occurred any material adverse change in the
financial condition, business, or operations of Parent and Sub nor shall any event have occurred which, with the lapse of time
or the giving of notice, may cause or create any material adverse change in the financial condition, business or operations of
Parent and Sub.

 

6.3
SEC Documents; Financial Statements. Parent shall have filed all reports required to be filed by it under the Securities
Exchange Act of 1934, as amended (the “Exchange Act”).

 

ARTICLE
VII

MISCELLANEOUS

 

7.1
Governing Law. This Agreement shall be governed by, enforced, and construed under and in accordance with the laws the State
of Wyoming without regard to its conflicts of laws principles.

 

7.2
Resolution of Disputes.

 

(a)
Any dispute, controversy or claim arising out of or relating to this Agreement, or the interpretation, breach, termination or
validity hereof, shall first be resolved through friendly consultation, if possible. Such consultation shall begin immediately
after one party has delivered to the other party a written request for such consultation (the “Consultation Date”).
If the dispute cannot be resolved within 30 days following the Consultation Date, the dispute shall be submitted to arbitration
upon the request of either party, with written notice to the other party.

 

    	 	13	 

     

    

 

(b)
Arbitration. The arbitration shall be conducted by a tribunal (the “Tribunal”) in under the auspices of the
American Arbitration Association (“AAA”) in accordance with the commercial arbitration rules and supplementary procedures
for international commercial arbitration of the AAA. All arbitration proceedings shall be conducted in English. Each party shall
cooperate with the other in making full disclosure of and providing complete access to all information and documents requested
by the other party in connection with the arbitration proceedings. Arbitration shall be the sole, binding, exclusive and final
remedy for resolving any dispute between the Parties; either party may apply to any court of competent jurisdiction in the State
of Wyoming for enforcement of any award granted by the Tribunal.

 

(c)
During the period when a dispute is being resolved, except for the matter being disputed, the Parties shall in all other respects
continue to abide by the terms of this Agreement.

 

7.3
Notices. Any notice or other communications required or permitted hereunder shall be sufficiently given if personally delivered
to it or sent by registered mail or certified mail, postage prepaid, or by prepaid telegram addressed as follows:

 

	 	(a)	If
    to the Parent or Sub, addressed as follows:
	 	 	 
	 	 	Attention:
    Michael Shenher
	 	 	Hemp
    Technology, Inc.
	 	 	3000,
    421-7th Avenue SW
	 	 	Calgary,
    Alberta, T2P 4K9
	 	 	Canada
	 	 	 
	 	(b)	If
    to Cannary Packaging, Inc. addressed as follows:
	 	 	 
	 	 	Cannary
    Packaging, Inc.
	 	 	2901
    Gardena Avenue
	 	 	Signal
    Hill, CA 90755

 

or
such other addresses as shall be furnished in writing by any party in the manner for giving notices hereunder, and any such notice
or communication shall be deemed to have been given as of the date so delivered, mailed or telegraphed.

 

7.4
Schedules; Knowledge. Each party is presumed to have full knowledge of all information set forth in the other party’s
schedules delivered pursuant to this Agreement.

 

7.5
Entire Agreement. This Agreement represents the entire agreement between the Parties relating to the subject matter thereof.

 

    	 	14	 

     

    

 

7.6
Survival; Termination. The representations, warranties, and covenants of the respective Parties shall survive the Closing
Date and the consummation of the transactions herein contemplated for a period of three months. All rights and obligations under
this entire Agreement shall be binding upon and inure to the benefit of the heirs, executors, administrators and assigns of the
Parties. Except as expressly amended hereby, the Share Exchange Agreement shall continue in full force and effect in accordance
with the provisions thereof and the Share Exchange Agreement is in all respects hereby ratified, confirmed and preserved. This
Amendment and all its provisions shall be deemed a part of the Share Exchange Agreement in the manner and to the extent herein
provided.

 

7.7
Counterparts. This Amendment may be executed in any number of counterparts, all of which taken together shall constitute
one and the same instrument, and any of the Parties hereto may execute this Amendment by signing any such counterpart.

 

7.8
Amendment or Waiver. Every right and remedy provided herein shall be cumulative with every other right and remedy, whether
conferred herein, at law, or in equity, and may be enforced concurrently herewith, and no waiver by any party of the performance
of any obligation by the other shall be construed as a waiver of the same of any other default then, theretofore, or thereafter
occurring or existing. At any time prior to the Closing Date, this Agreement may be amended by a writing signed by all Parties
hereto, with respect to any of the terms contained herein, and any term or condition of this Agreement may be waived or the time
for performance may be extended by a writing signed by the party or Parties for whose benefit the provision is intended.

 

7.9
Successors and Assigns. This Amendment shall be binding upon and inure to the benefit of the Parties hereto and their respective
successors and permitted assigns.

 

[Remainder
of Page Left Blank]

 

    	 	15	 

     

    

 

IN
WITNESS WHEREOF, this Agreement has been duly executed and delivered by each party hereto as of the date first above written.

 

	 	HEMP
    TECHNOLOGY, INC.
	 	 	 
	 	By:	/s/
                                         Michael Shenher

	 	Name:
    	Michael
    Shenher
	 	Title:
    	CEO
    and Director
	 	 	 
	 	4033002,
    a Wyoming Corporation
	 	DBA
                                         Cannary Distribution

	 	 	 
	 	By:	/s/
                                         Stephen Jesson

	 	Name:	Stephen
    Jesson
	 	Title:
    	President

	 	 	
	 	CANNARY
    PACKAGING, INC.
	 	 	 
	 	By:	/s/
    Chad Costa
	 	Name:
    	Chad
    Costa
	 	Title:
    	Founder,
    Director

 

    	 	16	 

     

    

 

Exhibit
A

 

BULK
ASSET SALE AGREEMENT

 

THIS
BULK ASSET SALE AGREEMENT (“Agreement”) has been made and entered into as of this 7 day of May, 2020, by and among
(i) Hemp Technology, Inc. a Wyoming corporation, (the “Parent”); (ii) 4033002, a Wyoming corporation (“Sub”),
a wholly owned subsidiary of Hemp Technology, Inc. and (iii) Cannary Packaging, Inc., a private British Columbia company (“Cannary”),
and collectively known as the “Parties.”

 

RECITALS

 

The
Parties hereto desire to enter into this Agreement whereby Cannary Packaging, Inc., a private Canadian Company will sell to 4033002,
a Wyoming Company, approximately $2,200,000 USD in non-operating assets described in Exhibit A in exchange for Parent’s
agreement to issue unregistered restricted common shares of the Parent to holders of Cannary shares, which is listed on OTCMarkets,
under the trading symbol: HPTY.

 

NOW,
THEREFORE, in consideration of the mutual agreements and covenants contained herein, the Parties hereto agree as follows:

 

ARTICLE
I.

THE
ASSET SALE

 

1.1.
Sale of Bulk Assets. Cannary hereby sells to 4033002, its Non-Operating Assets in exchange for Parent’s agreement to issue
up to 21,852,907,580 unregistered restricted common shares of the Parent to holders of Cannary shares.

 

1.2
No Warranty. The Non-Operating Assets are sold on an “AS IS” basis.

 

1.3
Transfer of Title of Assets. The sale of the Assets will be accomplished by transferring Title of these Non-Operating Assets to
the Sub as of the date of this Agreement.

 

ARTICLE
II.

REPRESENTATIONS
AND WARRANTIES

 

2.1.
Representations and Warranties of Cannary. Cannary represents that the transferred non-operating assets are free from any liabilities,
any mortgage, charge, security interest, lien, claim, charge or other encumbrance of any nature or kind whatsoever.

 

ARTICLE
III.

MISCELLANEOUS

 

3.1.
Assignability and Parties in Interest. This Agreement shall not be assignable by any of the Parties hereto without the consent
of all other Parties hereto. This Agreement shall inure to the benefit of and be binding upon the Parties hereto and their respective
successors. Nothing in this Agreement is intended to confer, expressly or by implication, upon any other person any rights or
remedies under or by reason of this Agreement.

 

    	 	17	 

     

    

 

3.2.
Governing Law. This Agreement shall be governed by, and construed and enforced in accordance with, the laws of the State of Wyoming.
Each of the Parties hereto consents to the personal jurisdiction of the federal and state courts in the State of Wyoming in connection
with any action arising under or brought with respect to this Agreement.

 

3.3.
Counterparts. This Agreement may be executed as of the same effective date in one or more counterparts, each of which shall be
deemed an original.

 

3.4.
Headings. The headings and subheadings contained in this Agreement are included solely for ease of reference and are not intended
to give a full description of the contents of any particular Section and shall not be given any weight whatever in interpreting
any provision of this Agreement.

 

3.5.
Complete Agreement. This Agreement and the documents referred to herein contain the entire agreement between the Parties and,
except as provided herein, supersede all previous negotiations, commitments and writings.

 

3.6.
Modifications, Amendments and Waivers. This Agreement shall not be modified or amended except by a writing signed by each of the
Parties hereto.

 

3.7.
Severability. If any term or other provision of this Agreement is invalid, illegal, or incapable of being enforced by any rule
of law or public policy, all other terms and provisions of this Agreement will nevertheless remain in full force and effect. Upon
any such determination that any term or other provision is invalid, illegal, or incapable of being enforced, the Parties hereto
will negotiate in good faith to modify this Agreement so as to effect the original intent of the Parties as closely as possible.

 

[Remainder
of Page Left Blank]

 

    	 	18	 

     

    

 

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

 

	CANNARY
    PACKAGING, INC.	 
	 	 	 
	By:	/s/
Chad Costa

	 
	 	Chad
    Costa	 
	 	Founder,
    Director	 

 

	Acceptance:	 
	 	 	 
	HEMP
    TECHNOLOGY, INC.	 
	 	 	 
	By:	/s/
    Michael Shenher	 
	Name:
    	Michael
    Shenher	 
	Title:
    	CEO
    and Director	 
	 	 	 
	4033002,
    a Wyoming Corporation	 
	DBA
                                         Cannary Distribution

	 
	 	 	 
	By:	/s/Stephen
    Jesson	 
	Name:
    	Stephen
    Jesson	 
	Title:
    	President
	 

 

    	 	19	 

     

    

 

Exhibit
B

 

BILL
OF SALE – TRANSFER OF TITLE

 

THIS
BILL OF SALE AND TRANSFER OF TITLE is made and entered into as of May ●, 2020, by and among (i) Hemp Technology, Inc. a Wyoming
corporation, (the “Parent”); 4033002, a Wyoming corporation, a wholly owned subsidiary of Parent (together with Parent,
the “Buyers”) and (iii) Cannary Packaging, Inc., a private Canadian Company (“Cannary” or the “Seller”).

 

RECITALS

 

WHEREAS,
Cannary has entered into an Asset/Share Exchange Agreement with the Buyers to transfer its non-operating asset in exchange for
unregistered restricted shares of Parent.

 

WHEREAS,
the Seller wishes to sell, and the Buyers wish to buy the Non-Operating Assets (hereinafter the “Assets”).

 

WHEREAS,
upon the Sale of these Assets as described in the Asset/Share Exchange Agreement, the transfer of Title of the Assets will take
place.

 

NOW
THEREFORE THIS BILL OF SALE witnesses that for good and valuable consideration (the receipt and sufficiency of which is acknowledged),
the Seller grants, bargains, sells, assigns, transfers, conveys and sets over to the Buyers the Assets, as described on Exhibit
A, upon and subject to the following terms and conditions:

 

	1.	The
    Seller covenants, warrants and represents that:

 

	 	(a)	the
    Seller has good and marketable title to the Non-Operating Assets, free and clear of any mortgage, charge, security interest,
    lien, claim, charge or other encumbrance of any nature or kind whatsoever;
	 	 	 
	 	(b)	the
    Buyers shall, immediately after execution and delivery of this Bill of Sale, have quiet and peaceful possession and enjoyment
    of the Assets for its own use and benefit without any manner of hindrance, interruption, molestation, claim or demand whatsoever
    of, from or by the Seller or any person;
	 	 	 
	 	(c)	the
    Seller will, from time-to-time and at all times hereafter, on every reasonable request of the Buyers, make, do and execute
    or cause to be made, done and executed all further acts, or assurances as may be reasonably required by the Buyers for more
    effectually and completely vesting in the Buyers the Assets;
	 	 	 
	 	(d)	to
    indemnify and save harmless the Buyers from all costs, damages, expenses and other losses resulting or arising from the breach
    or untruth of any covenant, warranty or representation made or given by the Seller hereunder.

 

	2.	This
    Bill of Sale shall enure to the benefit of the successors and assigns of the Buyers.

 

    	 	20	 

     

    

 

IN
WITNESS WHEREOF, the Seller has executed this Bill of Sale as of the date first above mentioned.

 

	Seller

        Cannary
        Packaging, Inc.
	 	Buyer

        Hemp
        Technology, Inc.

	 	 	 
	/s/
    Chad Costa	 	/s/
    Michael Shenher
	Chad
    Costa	 	Michael
    Shenher
	Founder,
    Director	 	Chief
    Executive Officer
	 	 	 
	 	 	Buyer
	 	 	4033002,
    a Wyoming Company
	 	 	DBA
    Cannary Distribution
	 	 	 
	 	 	/s/
    Stephen Jesson
	 	 	Stephen
                                         Jesson

	 	 	President

 

    	 	21	 

     

    

 

Exhibit
A - Inventory

 

Cannary
Packaging and Cannary LA Assets

 

	 	 	USD$	 
	 	 	 	 
	Tangible Assets	 	 	 	 
	Inventory - Vape Hardware & Batteries	 	$	1,166,927	 
	Inventory - Terpenes	 	$	105,672	 
	Inventory - Packaging	 	$	248,976	 
	Fixed Assets - Office and warehouse equipment - Canada	 	$	49,364	 
	Fixed Assets - Office and warehouse equipment - LA	 	$	24,850	 
	Accounts Receivable	 	$	417,534	 
	 	 	 	 	 
	Total Tangible Assets	 	$	2,013,323	 
	 	 	 	 	 
	Intangible Assets (IP and customer/sales data)	 	$	186,644	 
	 	 	 	 	 
	Total Assets	 	$	2,199,967	 

 

	Country Break-down:	 	 	 	 	 	 
	 	 	 	 	 	 	 
	Canada	 	Terpenes	 	$	105,672	 
	 	 	 	 	 	 	 
	 	 	Packaging	 	$	248,975	 
	 	 	Vape Hardware + Batteries	 	$	352,174	 
	 	 	 	 	 	 	 
	USA	 	Vape Hardware + Batteries	 	$	81,4752	 
	 	 	 	 	 	 	 
	 	 	Total Vape Hardware + Batteries	 	$	1,166,926	 

 

    	 	22Exhibit
10.1

 

EXECUTIVE
EMPLOYMENT AGREEMENT

 

This
Executive Employment Agreement (the “Agreement”) by and between Eastside Distilling, Inc., a Nevada corporation
(the “Company”), and Paul R. Block (“Executive”) (collectively, the “Parties”),
is to be effective as of July 1, 2020 (the “Effective Date”). This Agreement shall replace any prior agreement
between the Company and Executive existing prior to the Effective Date.

 

1.       Duties
and Scope of Employment.

 

(a)       Positions
and Duties. Executive will serve as Chief Executive Officer (“CEO”) of the Company as of the Effective
Date. Executive will render such business and professional services in the performance of Executive’s duties, consistent
with Executive’s position within the Company, as will reasonably be assigned to him by the Company’s Board of Directors
to whom he shall report.

 

(b)       Term.
This Agreement will commence on the Effective Date and remain in effect until Executive resigns or is terminated in accordance
with this Agreement (the “Employment Term”).

 

(c)       Obligations.
Executive will devote Executive’s full business efforts and time to the Company and will use good faith efforts to discharge
Executive’s obligations under this Agreement to the best of Executive’s ability and in accordance with each of the
Company’s corporate guidance and ethics guidelines, conflict of interest policies and code of conduct as may be in effect
from time to time. Notwithstanding the foregoing, nothing in this letter shall preclude Executive from devoting reasonable periods
of time to charitable and community activities, managing personal investment or business assets and serving on no more than two
boards of other companies (public or private) not in competition with the Company, provided that none of these activities interferes
with the performance of Executive’s duties hereunder or creates a conflict of interest.

 

(d)
       Work Location. Executive’s principal place of employment may be in Connecticut
or another remote location.

 

2.       Compensation.

 

(a)       Base
Salary. For the period of July 1, 2020 through December 31, 2020, the Company will pay Executive salary in all stock of 31,250
shares per month (which salary is inclusive of a 2020 bonus equal to 50% of his salary during the six-month period). Beginning
January 1, 2021, the Company will pay Executive an annual cash base salary of $350,000 as compensation for Executive’s services,
which will increase to $375,000 on January 1, 2022 if Company revenue exceeds $20 million in 2021, and will increase to $400,000
on January 1, 2023 if Company revenue exceeds $30 million in 2022. Annual salary, as is then effective, to be referred to herein
as “Base Salary”. All compensation paid to Executive will be paid periodically in accordance with the Company’s
normal payroll practices and be subject to the usual, required withholdings.

 

(b)       RSU
Grant. The Company will request that the Compensation Committee of the Board of Directors, and the Compensation Committee
intends to, approve the following grants of restricted stock units (“RSUs”) to Executive:

 

(i)       On
or promptly after the Effective Date, the equivalent of $100,000 of RSUs, one-half (1/2) of which will be earned and vested on
each of March 31, 2021 and June 30, 2021, if Executive remains employed on the applicable quarterly vesting date;

 

(ii)       On
or promptly after January 1, 2021, the equivalent of $200,000 of RSUs, one-twelfth (1/12) of which will be earned and vested on
each of March 31, June 30, September 30 and December 31, beginning March 31, 2021 and ending December 31, 2023, if Executive remains
employed on the applicable quarterly vesting date;

 

    	1 

     

    

 

(iii)       On
or promptly after January 1, 2022, the equivalent of $200,000 of RSUs, one-twelfth (1/12) of which will be earned and vested on
each of March 31, June 30, September 30 and December 31, beginning March 31, 2022 and ending December 31, 2024, if the Executive
remains employed on the applicable quarterly vesting date; and

 

(iv)       On
or promptly after January 1, 2023, the Executive the equivalent of $100,000 of RSUs, one-twelfth (1/12) of which will be earned
and vested on each of March 31, June 30, September 30 and December 31, beginning March 31, 2023 and ending December 31, 2025,
if the Executive remains employed on the applicable quarterly vesting date.

 

The
number of shares to be issued upon each vesting date for each RSU award will be determined based on the volume weighted average
daily closing price for the twenty (20) trading day period immediately preceding each applicable vesting date. Each award will
be subject to the terms and conditions of the Company’s 2016 Equity Incentive Plan and an award agreement (collectively,
the “Equity Documents”).

 

Notwithstanding
the foregoing, Executive shall not be entitled to any equity award unless and until the Compensation Committee or the Board specifically
approves the grant of the equity award to Executive, and each equity award granted to Executive shall be automatically forfeited
unless Executive executes and delivers all applicable award agreements regarding the same within sixty (60) days following the
applicable grant date.

 

(c)       Annual
Bonus. Executive will be eligible to participate in the Company’s bonus plan, beginning in fiscal 2021. Executive’s
target bonus shall be 100% of Base Salary. Actual payments will be determined based on a combination of Company results and individual
performance against the applicable performance goals established by the Compensation Committee.

 

(d)       Option/Equity
Grant. Provided the Compensation Committee determines in its discretion that the total compensation package of the Executive
is within an acceptable market range of compensation, the Executive will be eligible to participate in the Company’s equity
plan program applicable to executives of the Company. The award will be subject to the terms and conditions of the Equity Documents.
Notwithstanding the foregoing, Executive shall not be entitled to any form of equity award unless and until the Compensation Committee
or the Board grants Executive the equity award and Executive executes and delivers all applicable award agreements regarding the
same.

 

3.       Employee
Benefits and Perquisites. Executive will be eligible to participate in the employee benefit plans and programs generally available
to the Company’s senior executives, subject to the terms and conditions of such plans and programs. Executive will be entitled
to other benefits and perquisites that are made available to other senior executives of the Company, each in accordance with and
subject to the eligibility and other provisions of such plans and programs. The Company reserves the right to amend, modify or
terminate any of its benefit plans or programs at any time and for any reason.

 

4.       Expenses.
The Company will reimburse Executive for reasonable expenses incurred by Executive in the furtherance of the performance of Executive’s
duties hereunder, in accordance with the Company’s expense reimbursement policy as in effect from time to time.

 

5.       Termination
of Employment. Notwithstanding anything else in this Agreement to the contrary, either the Company or Executive may terminate
Executive’s employment and this Agreement at any time with or without cause. If Executive’s employment with the Company
terminates for any reason, Executive will be entitled to only the payments set forth in Section 6 (if any) and any (a) unpaid
Base Salary accrued up to the effective date of termination; (b) pay for accrued but unused vacation or time-off, if Company policy
is to accrue vacation or time-off and the payment is required by law; (c) benefits or compensation as provided under the terms
of any employee benefit and compensation agreements or plans applicable to Executive; and (d) unreimbursed business expenses required
to be reimbursed to Executive.

 

    	2 

     

    

 

6.       Severance
and Acceleration.

 

(a)       Termination
by the Company Without Cause. If (i) Executive’s employment is terminated by the Company without Cause (as defined below)
or without Cause (as defined below) within 12 months following a Change of Control (as defined in the Company’s 2016 Equity
Incentive Plan) if a Change of Control occurs during the Executive’s employment or (ii) Executive terminates for Good Reason
(as defined below), then, subject to Sections 7 and 8, Executive will receive, in addition to the compensation set forth in Section
5, (x) one times Executive’s then-current annual Base Salary (which will be deemed $350,000 during 2020) and (y) continued
vesting of the RSUs referred to in Section 2(b) for a period of 12 months after the date of termination. The Base Salary payment
will be paid out over 12 months in accordance with the Company’s regular payroll practices.

 

(b)       Definition
of Cause. For purposes of this Agreement, “Cause” will mean:

 

(i)       Executive’s
continued failure to perform the duties and responsibilities of Executive’s position after there has been delivered to Executive
a written demand for performance from the Board which describes the basis for the Board’s belief that Executive has continued
to fail to perform Executive’s duties and provides Executive with thirty (30) days to take corrective action;

 

(ii)       Any
act of personal dishonesty taken by Executive in connection with Executive’s responsibilities as an employee of the Company
with the intention or reasonable expectation that such action will result in the personal enrichment of Executive;

 

(iii)       Executive’s
conviction of, or plea of nolo contendere to, a felony;

 

(iv)       Executive’s
commission of any tortious act, unlawful act, malfeasance or violation of Company policies (such as workplace harassment or insider
trading policy) which causes or reasonably could cause (for example, if it became publicly known) in the sole and good faith judgement
of the Board material harm to the Company’s standing, condition or reputation;

 

(v)       Any
material breach by Executive of the Company’s standard form of Confidentiality and Proprietary Rights Agreement, in substantially
the form attached hereto as Exhibit A (such agreement, the “Confidentiality Agreement”) or any other
improper disclosure by Executive of the Company’s confidential or proprietary information;

 

(vi)       A
breach of any fiduciary duty owed to the Company by Executive;

 

(vii)       The
existence of “Cause” under the Company’s 2016 Equity Incentive Plan; or

 

(viii)       Executive
(A) obstructing or impeding; (B) endeavoring to influence, obstruct or impede; or (C) failing to materially cooperate with, any
investigation authorized by the Board or any governmental or self-regulatory entity (an “Investigation”). However,
Executive’s failure to waive attorney-client privilege relating to communications with Executive’s own attorney in
connection with an Investigation will not constitute “Cause.”

 

(c)       Definition
of Good Reason. For purposes of this Agreement, “Good Reason” will mean the termination of Executive’s
employment with the Company by Executive after the occurrence of one or more of the following events without Executive’s
express written consent

 

(i)       a
material reduction of Executive’s duties, authorities, or responsibilities relative to Executive’s duties, authorities,
or responsibilities in effect immediately prior to the reduction; provided, however, that continued employment following a Change
in Control with substantially the same duties, authorities, or responsibilities with respect to the Company’s business and
operations will not constitute “Good Reason” (for example, “Good Reason” does not exist if Executive is
employed by the Company or a successor with substantially the same duties, authorities, or responsibilities with respect to the
Company’s business that Executive had immediately prior to the Change in Control regardless of whether Executive’s
title is revised to reflect Executive’s placement within the overall corporate hierarchy or whether Executive provides services
to a subsidiary, affiliate, business unit or otherwise);

 

    	3 

     

    

 

(ii)       a
material reduction by the Company in Executive’s annual total target cash compensation; provided, however, that, a reduction
of annual total target cash compensation that also applies to substantially all other similarly situated employees of the Company
members will not constitute “Good Reason”; or

 

(iii)       failure
of a successor corporation to assume the obligations under this Agreement.

 

In
order for the termination of Executive’s employment with the Company to be for Good Reason, Executive must not terminate
employment without first providing written notice to the Company of the acts or omissions constituting the grounds for “Good
Reason” within 30 days of the initial existence of the grounds for “Good Reason” and a cure period of 30 days
following the date of written notice (the “Cure Period”), the grounds must not have been cured during that
time, and Executive must terminate Executive’s employment within 30 days following the Cure Period.

 

(d)       Voluntary
Termination or Termination for Cause. If Executive’s employment is terminated voluntarily or due to death or disability
or is terminated for Cause by the Company, then except as set forth in Section 5, all payments of compensation by the Company
to Executive hereunder will terminate immediately. In the event that the Executive voluntarily resigns without providing 120 days
advanced notice to the Company, then the Executive will forfeit twelve (12) months of RSUs most recently earned and vested.

 

7.       Conditions
to Receipt of Severance and Acceleration.

 

(a)       Separation
Agreement and Release of Claims. The receipt of any severance or other benefits pursuant to Section 6 will be subject to Executive
signing and not revoking a separation agreement and release of claims in form and substance reasonably acceptable to the Company
in its discretion that becomes effective no later than sixty (60) days following Executive’s employment termination date
(such date, the “Release Deadline”). If the release does not become effective by the Release Deadline, Executive
will forfeit any rights to severance under this Agreement. In no event will severance payments be paid or provided until the Release
Deadline. Any payments delayed from the date Executive terminates employment through the Release Deadline will be payable in a
lump sum without interest on the Release Deadline and all other amounts will be payable in accordance with the payment schedule
applicable to each payment or benefit. Subject to Section 8, in the event the termination occurs at a time during the calendar
year where the release could become effective in the calendar year following the calendar year in which Executive’s termination
occurs, then any severance payments under this letter that would be considered Deferred Compensation Separation Benefits (as defined
below) will be paid on the latest to occur of (i) the first payroll date to occur during the calendar year following the calendar
year in which such termination occurs, (ii) the Release Deadline, or (iii) such time as required by the payment schedule provided
above that is applicable to each payment or benefit.

 

(b)       Other
Requirements. Executive’s receipt and retention of severance payments will be subject to Executive executing and continuing
to comply with the terms of the Confidentiality Agreement.

 

8.       Section
409A. The parties intend that this Agreement and the payments and benefits provided hereunder be exempt from the requirements
of Internal Revenue Code Section 409A and the regulations, ruling and other guidance issued thereunder (“Section 409A”)
to the maximum extent possible, whether pursuant to the short-term deferral exception described in Treas. Reg. Section 1.409A-1(b)(4),
the involuntary separation pay plan exception described in Treas. Reg. Section 1.409A-1(b)(9)(iii), or otherwise. To the extent
Section 409A is applicable to this Agreement, the parties intend that this Agreement and any payments and benefits hereunder comply
with the deferral, payout and other limitations and restrictions imposed under Section 409A. Notwithstanding anything herein to
the contrary, this Agreement shall be interpreted, operated and administered in a manner consistent with such intentions; provided,
however that in no event shall the Company or its agents, parents, subsidiaries, affiliates or successors be liable for any additional
tax, interest or penalty that may be imposed on Executive pursuant to Section 409A or for any damages incurred by Executive as
a result of this Agreement (or the payments or benefits hereunder) failing to comply with, or be exempt from, Section 409A. Without
limiting the generality of the foregoing, and notwithstanding any other provision of this Agreement to the contrary (other than
the proviso in the immediately preceding sentence):

 

    	4 

     

    

 

(a)       To
the extent Section 409A is applicable to this Agreement, a termination of employment shall not be deemed to have occurred for
purposes of any provision of this Agreement providing for the payment of amounts or benefits upon or following a termination of
employment unless such termination is also a “separation from service,” as defined in Treas. Reg. Section 1.409A-1(h),
after giving effect to the presumptions contained therein (and without regard to the optional alternative definitions available
therein), and, for purposes of any such provision of this Agreement, references to “terminate,” “termination,”
“termination of employment” and like terms shall mean separation from service.

 

(b)       If
at the time Executive’s employment terminates, Executive is a “specified employee” within the meaning of Section
409A, then to the extent necessary to avoid subjecting Executive to the imposition of any additional tax or interest under Section
409A, amounts that would (but for this provision) be payable within six (6) months following the date of Executive’s termination
of employment shall not be paid to Executive during such period, but shall instead be paid in a lump sum on the first regularly
scheduled payroll date following the six-month anniversary of Executive’s termination of employment or, if earlier, as soon
as administratively practicable (and, in any event, within 90 days) after Executive’s death.

 

(c)       Each
payment made under this Agreement shall be treated as a separate and distinct payment and the right to a series of installment
payments under this Agreement shall be treated as a right to a series of separate and distinct payments.

 

(d)       With
regard to any provision in this Agreement that provides for reimbursement of expenses or in-kind benefits, except for any expense,
reimbursement or in-kind benefit provided pursuant to this Agreement that does not constitute a “deferral of compensation,”
within the meaning of Treasury Regulation Section 1.409A-1(b), (i) the amount of expenses eligible for reimbursement, or in-kind
benefits provided, during any calendar year shall not affect the expenses eligible for reimbursement, or in-kind benefits to be
provided, in any other calendar year, (ii) such payments shall be made on or before the last day of the calendar year following
the calendar year in which the expense was incurred, and (iii) the right to reimbursement or in-kind benefits shall not be subject
to liquidation or exchange for another benefit.

 

(e)       Executive
and the Company agree to work together in good faith to consider amendments to this Agreement and to take such reasonable actions
which are necessary, appropriate or desirable to avoid imposition of any additional tax or income recognition prior to actual
payment to Executive under Section 409A.

 

9.       Representations.
By executing this Agreement, Executive represents that Executive is able to accept this role and carry out the work that it would
involve.

 

10.       Confidential
Information. Executive reaffirms that any confidentiality agreement executed by Executive in favor of the Company remains
in full force and effect in accordance with its terms.

 

11.       Assignment.
This Agreement will be binding upon and inure to the benefit of (a) the heirs, executors and legal representatives of Executive
upon Executive’s death, and (b) any successor of the Company. Any such successor of the Company will be deemed substituted
for the Company under the terms of this Agreement for all purposes. For this purpose, “successor” means any person,
firm, corporation, or other business entity which at any time, whether by purchase, merger, or otherwise, directly or indirectly
acquires all or substantially all of the assets or business of the Company. None of the rights of Executive to receive any form
of compensation payable pursuant to this Agreement may be assigned or transferred except by will or the laws of descent and distribution.
Any other attempted assignment, transfer, conveyance, or other disposition of Executive’s right to compensation or other
benefits will be null and void.

 

12.       Notices.
All notices, requests, demands and other communications called for hereunder will be in writing and will be deemed given (a) on
the date of delivery if delivered personally or by electronic mail; (b) one (1) day after being sent overnight by a well-established
commercial overnight service, or (c) four (4) days after being mailed by registered or certified mail, return receipt requested,
prepaid and addressed to the Parties or their successors at the following addresses, or at such other addresses as the Parties
may later designate in writing:

 

    	5 

     

    

 

If
to the Company:

 

Eastside
Distilling, Inc.

1001
SE Water Ave, suite 390

Portland,
OR 97214

Attn:
Compensation Committee Chair

 

If
to Executive, at the address set forth on the signature page hereto.

 

13.       Severability.
If any provision hereof becomes or is declared by a court of competent jurisdiction to be illegal, unenforceable, or void, this
Agreement will continue in full force and effect without said provision.

 

14.       Arbitration.
The Parties agree that any dispute or controversy arising out of, relating to, or concerning the interpretation, construction,
performance, or breach of this Agreement will be settled by arbitration to be held in Portland, Oregon, in accordance with the
terms and conditions of the Confidentiality Agreement, unless prohibited by law.

 

15.       Integration.
This Agreement, together with the Confidentiality Agreement, and the Equity Documents referenced herein, represents the entire
agreement and understanding between the parties as to the subject matter herein and supersedes all prior or contemporaneous agreements
whether written or oral. No waiver, alteration, or modification of any of the provisions of this Agreement will be binding unless
in a writing and signed by duly authorized representatives of the parties hereto. In entering into this Agreement, no party has
relied on or made any representation, warranty, inducement, promise, or understanding that is not in this Agreement. To the extent
that any provisions of this Agreement conflict with those of any other agreement, the terms in this Agreement will prevail.

 

16.       Waiver
of Breach. The waiver of a breach of any term or provision of this Agreement, which must be in writing, will not operate as
or be construed to be a waiver of any other previous or subsequent breach of this Agreement.

 

17.       Headings.
All captions and Section headings used in this Agreement are for convenient reference only and do not form a part of this Agreement.

 

18.       Tax
Withholding; Clawback. All payments made pursuant to this Agreement will be subject to withholding of applicable taxes. Any
amounts payable hereunder are subject to any policy (whether currently in existence or later adopted) established by the Company
providing for clawback or recovery of amounts that were paid to Executive. The Company will make any determination for clawback
or recovery in its sole discretion and in accordance with any applicable law or regulation.

 

19.       Governing
Law. This Agreement and any disputes or claims arising hereunder will be construed in accordance with, governed by and enforced
under the laws of the State of Oregon without regard for any rules of conflicts of law. Executive expressly consents to the personal
jurisdiction of the state and federal courts located in Multnomah County, Oregon for any lawsuit filed there against him by the
Company arising from or relating to this Agreement.

 

20.       Acknowledgment.
Executive acknowledges that he has had the opportunity to discuss this matter with and obtain advice from Executive’s private
attorney, has had sufficient time to, and has carefully read and fully understands all the provisions of this Agreement, and is
knowingly and voluntarily entering into this Agreement.

  

21.       Counterparts.
This Agreement may be executed in counterparts, and each counterpart will have the same force and effect as an original and will
constitute an effective, binding agreement on the part of each of the undersigned.

 

    	6 

     

    

 

IN
WITNESS WHEREOF, each of the parties has executed this Executive Employment Agreement, in the case of the Company by a duly authorized
officer, effective as of the Effective Date.

 

	 	COMPANY:
	 	 
	 	EASTSIDE
    DISTILLING, INC.
	 	 
	 	/s/
    Geoffrey Gwin
	 	Geoffrey
    Gwin, Chief Financial Officer
	 	1001
    SE Water Ave., Suite 390
	 	Portland,
    OR 97214
	 	 
	 	Date
    : 7/6/2020
	 	 
	 	EXECUTIVE:
	 	 
	 	/s/
    Paul Block
	 	Paul
    R. Block
	 	22
    Burr Farms Rd
	 	Westport,
    CT 06880
	 	 
	 	Date:
    7/7/2020

 

    	7 

     

    

 

EXHIBIT
A

 

This
NONDISCLOSURE AGREEMENT is made as of the date set forth above between:

 

Eastside
Distilling, Inc., (the “Company”) having an office at 1001 SE Water Street, Suite 390, Portland, OR 97214.

 

And;

 

Paul
R. Block (“Employee”).

 

1.       Purpose.
The Company and the Employee are about to begin or have begun an employment relationship in connection with which each party may
disclose its Confidential Information to the other.

 

2.       Definition
of Confidential Information. “Confidential Information” means any information, technical data, or know-how,
including, but not limited to, that which relates to research, acquisitions, product plans, products, services, customers, consultants,
markets, processes, designs, drawings, marketing or finances of the Company. The term “Confidential Information” includes
trade secrets and to any and all information of any nature or kind whatsoever which relates to all proprietary and financial information
relating to the Company’s business; to any and all information concerning the Company’s customers; and to the content
of any and all working papers, discussion papers, business plans, documents and products of any nature or kind which the Company
has created, amended or enhanced. Confidential Information does not include information, technical data or know-how which (a)
to the extent Employee can prove was in the possession of the Employee prior to executing this agreement, as shown by the Employee’s
files and records; (b) the Employee can prove, from contemporaneous written evidence, has been independently developed by Employee
without access to, either directly or indirectly, the Company’s Confidential Information or during employment with the Company;
(c) prior to the time of disclosure was part of the public knowledge or literature other than as a result of any improper inaction
or action of the Employee; (d) is approved in writing by the Company for release; or (e) is required to be disclosed by applicable
law or proper legal, governmental or other competent authority (provided that the Company shall be notified sufficiently in advance
of such requirement so that it may seek a protective order (or equivalent) with respect to such disclosure, with which the Employee
shall fully comply).

 

3.       Nondisclosure
of Confidential Information. Employee (a) recognizes that the business and financial records, customer and client lists, proprietary
knowledge or data, intellectual property, trade secrets and confidential methods of operations of the Company, its subsidiaries
and its Affiliates and their respective successors, assigns and nominees, as they may exist from time to time and which relate
to the then conducted or planned business of the Company, its subsidiaries and its Affiliates or of entities with which the Company
was or is expected to be affiliated during such periods, are valuable, special and unique assets of the Company, access to and
knowledge of which are essential to Employee’s performance with the Company; and (b) shall not, during or after the Term,
disclose any of such records, lists, knowledge, data, property, secrets, methods or information to any Person for any reason or
purpose whatsoever (except for disclosures (x) compelled by law; provided that Employee promptly notifies the Company of
any request for such information before disclosing the same, if practical, and (y) made as necessary in connection with the performance
of his duties with the Company) or make use of any such property for his own purposes or for the benefit of any Person except
the Company. Employee acknowledges that a breach of this Section 3 may cause irreparable injury to the Company for which
monetary damages are inadequate, difficult to compute, or both. Accordingly, Employee agrees that the provisions of this Section
3 may be enforced by specific performance or other injunctive relief. Nothing in this Nondisclosure Agreement, however, will
preclude Employee from in good faith providing information to any governmental agency in connection with potentially improper
conduct by the Company or its personnel, including reporting potentially illegal activity to any governmental agency.

 

    	8 

     

    

 

4.       Inventions,
Developments, Improvements. All inventions, developments or improvements made by Employee, either alone or in conjunction
with others, at any time or at any place during the term of Employee’s employment with Company, which relate to the business
in which Company is engaged or in which Company intends to engage, shall be the exclusive property of the Company and Employee
hereby assigns all inventions, developments or improvements to the Company. Executive shall promptly disclose any such invention,
development or improvement to the Company, and shall evidence assignment of all of Employee’s rights to the same to the
Company. Employee shall sign all instruments necessary for the filing and prosecution of any applications for or extension or
renewals of letters of foreign or US patents or copyrights, which the Company desires to file, and agrees to cooperate fully with
the Company in its pursuit of any such applications, both during employment and following termination of employment

 

5.       Non-solicitation.
Employee acknowledges that the Company, its subsidiaries and its Affiliates have expended and shall continue to expend substantial
amounts of time, money and effort to develop business strategies, employee, client and customer relationships and goodwill to
build an effective organization. Employee acknowledges that Employee is and shall become familiar with the confidential information
of the Company, its subsidiaries and its Affiliates, including trade secrets, and that Employee’s services are of special,
unique and extraordinary value to the Company. Employee acknowledges that the opportunities of employment and compensation offered
by the Company are adequate consideration for the covenants contained in this Section 5. Employee acknowledges that the
Company and each of its subsidiaries and Affiliates and their respective successors, assigns and nominees, has a legitimate business
interest and right in protecting its confidential information, business, strategies, employee, client and customer relationships
and goodwill, and that each of the Company, its subsidiaries and Affiliates and their respective successors, assigns and nominees
would be seriously damaged by the disclosure of confidential information and the loss or deterioration of its business strategies,
employee and customer relationships and goodwill.

 

6.       Return
of Materials. All materials or documents containing or embodying Confidential Information shall remain the property of the
Company, and any such materials or documents will be promptly returned to the Company by the Employee, accompanied by all copies
of such documentation, within 10 days after (a) the employment relationship has been terminated, or (b) the delivery of written
request on the part of the Company.

 

7.       Term.
This Agreement shall apply to disclosures of Confidential Information made on or before the signing of this Agreement (including,
for the avoidance of doubt, disclosures of Confidential Information made before the date of this Agreement). This Agreement shall
remain in effect during Employee’s employment term and shall survive two years from the date Employee ceases to be an employee
of the Company.

 

8.       Governing
law. This Agreement shall be governed by and shall be construed in accordance with the laws of the State of Oregon, without
giving effect to the conflicts of laws principles thereof, to the exclusion of the law of any other jurisdiction.

 

9.       Remedies.
Employee agrees that its obligations provided in this Agreement are necessary and reasonable in order to protect the Company and
its business, and each Party expressly agrees that monetary damages would be inadequate to compensate the Discloser for any breach
by the Recipient of its covenants and agreements set forth in this Agreement. Accordingly, Employee agrees and acknowledges that
any such violation or threatened violation will cause irreparable injury to the Company and that, in addition to any other remedies
that may be available, in law, in equity or otherwise, the Discloser shall be entitled to obtain both mandatory and prohibitory
injunctive relief against the threatened breach of this Agreement or the continuation of any such breach by the Recipient, without
the necessity of proving actual damages.

 

    	9

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