Document:

Exhibit 4.1
​
DESCRIPTION OF CAPITAL STOCK
​
The following summary description of the capital stock of Innovative Solutions and Support, Inc. (the “Company”) is not meant to be a complete description of each security. The description is qualified by reference to the Company’s Amended and Restated Articles of Incorporation (the “Charter”) and Amended and Restated Bylaws (the “Bylaws”), each of which is incorporated by reference as an exhibit to the Annual Report on Form 10-K of which this exhibit is a part. For additional information, please read the Company’s Charter and Bylaws and the applicable provisions of the Pennsylvania Business Corporation Law (the “PBCL”).
​
General
​
The Company’s authorized capital stock consists of (1) 75,000,000 shares of Common Stock, $.001 par value and (2) 10,000,000 shares of Preferred Stock, $.001 par value, of which 200,000 shares are authorized as Class A Convertible stock. As of November 30, 2022, there were 17,316,213 issued and outstanding shares of Common Stock and no issued or outstanding shares of Preferred Stock. However, the Company has issued rights to purchase shares of its Preferred Stock in connection with its Rights Agreement (as defined below), which rights are described below in this exhibit under the caption "Securities Issuable Pursuant to 2022 Rights Agreement."
​
Voting
​
The Company does not have any other classes of voting stock outstanding other Common Stock. Each share of Common Stock is entitled to one vote, and there are no cumulative voting rights when voting for directors.
​
Conversion Rights
​
Holders of the Company’s Common Stock do not have conversion rights. Shares of the Company’s Preferred Stock can be converted, at the option of the holder, into fully paid and nonassessable shares of Common Stock pursuant to and in accordance with Art. IV, § B(4) of the Company’s Charter.
​
Preemptive and Redemption Rights
​
Shareholders do not have (1) preemptive rights to purchase additional shares of the Company’s capital stock or (2) redemption of rights, in each case, except as may be expressly set forth in a separate agreement between the Company and one or more holders of Preferred Stock or as provided for in the Rights Agreement.
​
Dividends
​
The declaration and payment of any dividends is within the discretion of the Company’s Board of Directors (the “Board”).
​
Liquidation and Dissolution
​
In the event of any liquidation, dissolution or winding up of the Company, the holders of the Company’s Common Stock are entitled to share ratably in all assets remaining after payment of liabilities, subject to prior distribution rights of Preferred Stock, if any, then outstanding.
​
Listing
​
The Company’s Common Stock is listed on The Nasdaq Global Select Market under the symbol “ISSC”.
​
Securities Authorized for Issuance Under 2019 Stock-Based Incentive Compensation Plan
The Company maintains a 2019 Stock-Based Incentive Compensation Plan, under which 100,000 stock options have been granted as of September 30, 2022. For the complete terms of the 2019 Stock-Based Incentive Compensation Plan, please refer to the copy of the same which is incorporated by reference as an exhibit to the Annual Report on Form 10-K of which this exhibit is a part.
​

Securities Issuable Pursuant to 2022 Rights Agreement
​
On September 27, 2022, the Board of Directors of the Company distributed a dividend of one preferred share purchase right (a “Right”) for each share of Common Stock outstanding to the stockholders of record on that date. In connection with the distribution of the Rights, the Company entered into a Rights Agreement (the “Rights Agreement”), dated September 12, 2022, with Broadridge Corporate Issuer Solutions, Inc., as Rights Agent. Each Right entitles the registered holder to purchase from the Company one one-thousandth of a share of Series Junior Participating Preferred Stock, par value $0.001 per share (the “Series B Preferred Shares”), of the Company at a price of $41.57 per one one-thousandth of a Series B Preferred Share represented by a Right, subject to adjustment. The Rights are in all respects subject to and governed by the provisions of the Rights Agreement. For the complete terms of the Rights Agreement, please refer to the copy of the same which is incorporated by reference as an exhibit to the Annual Report on Form 10-K of which the exhibit is a part.
​
Anti-Takeover Provisions of the Company’s Charter and Bylaws and Pennsylvania Law
​
Some sections of the Company’s Charter and Bylaws and provisions of Pennsylvania law may discourage certain transactions involving a change in control of the Company. For example, the PBCL permits the Board to consider the interests of constituencies other than the shareholders when deciding what will be in the best interests of the Company. In addition, under the Company’s Charter, the Board has the power to alter, amend, and repeal the Company’s Bylaws without shareholder approval, except as to any subjects that are expressly committed to the shareholders by the terms of the Company’s Bylaws, by Section 1504 of the PBCL or otherwise.
​
Certain other provisions of the Company’s Charter and Bylaws could have the effect of preventing or delaying a change in control of the Company, including (1) the advance notification procedures governing certain shareholder nominations of candidates for the Board and for certain other shareholder business to be conducted at an annual meeting, (2) the absence of authority for shareholders to call special shareholders meetings, except as may be required by law, and (3) the absence of authority for shareholder action by written consent, except as may be required by law.
​
While as of September 30, 2022, no shares of authorized Preferred Stock are currently outstanding, the Company’s Charter permits the Board to, without shareholder approval, establish and issue classes of Preferred Stock with voting, conversion or other rights that could dilute the voting power or rights of the holders of the Company’s Common Stock. The issuance of Preferred Stock, while potentially providing flexibility in connection with possible acquisitions and other corporate purposes, could, among other things, have the effect of preventing or delaying a change in control of the Company and may adversely affect the market price of the Company’s Common Stock and the voting and other rights of the holders of the Company’s Common Stock.Exhibit 10.1

 

12 December 2022

 

SECRETARY OF STATE FOR TRANSPORT

 

AND

 

Lanzatech UK Limited

 

GRANT FUNDING AGREEMENT FOR THE ADVANCED FUELS
FUND (AFF)

COMPETITION

 

     

     

    

 

CONTENTS

 

	1.	INTRODUCTION	3
	2.	DEFINITIONS	3
	3.	DURATION AND PURPOSE OF THE GRANT	8
	4.	PAYMENT OF GRANT	8
	5.	GRANT CLAIM PROCEDURE	9
	6.	ELIGIBLE AND INELIGIBLE EXPENDITURE	10
	7.	WARRANTIES	11
	8.	GRANT REVIEW	13
	9.	MONITORING AND REPORTING	13
	10.	AUDITING AND ASSURANCE	15
	11.	FINANCIAL MANAGEMENT AND PREVENTION OF BRIBERY, CORRUPTION, FRAUD AND OTHER IRREGULARITY	15
	12.	CONFLICTS OF INTEREST	16
	13.	CHANGE OF CONTROL	16
	14.	CONFIDENTIALITY	16
	15.	STATUTORY DUTIES	17
	16.	DATA PROTECTION	17
	17.	PUBLIC PROCUREMENT	18
	18.	SUBSIDY CONTROL	18
	19.	INTELLECTUAL PROPERTY RIGHTS	18
	20.	INSURANCE	18
	21.	ASSIGNMENT	19
	22.	BORROWING, LOSSES, GIFTS, SPECIAL PAYMENTS	19
	23.	PUBLICITY	19
	24.	CLAWBACK, EVENTS OF DEFAULT, TERMINATION AND RIGHTS RESERVED FOR BREACH AND TERMINATION	20
	25.	DISPUTE RESOLUTION	22
	26.	LIMITATION OF LIABILITY	23
	27.	CODE OF CONDUCT FOR GRANT RECIPIENTS	23
	28.	VARIATIONS	23
	29.	NOTICES	23
	30.	ENVIRONMENTAL REQUIREMENTS	24
	31.	MISCELLANEOUS	24
	32.	GOVERNING LAW	24

 

	ANNEX 1	26
	ANNEX 2	27
	ANNEX 3	32
	ANNEX 4	33
	ANNEX 5	35
	ANNEX 6	49
	ANNEX 7	40

 

     

     

    

 

This Grant Funding Agreement is made on 12 December 2022

BETWEEN

 

		(1)	Secretary of State for Transport whose principal address is at Great Minster House, Horseferry Road, London SW1P 4DR (the “Authority”);
and

 

		(2)	LanzaTech UK Limited (Company No. 08239599) whose registered office is at c/o TMF Group, 8th Floor, 20 Farringdon Street, London,
United Kingdom, EC4A 4AB (the “Grant Recipient”).

 

In relation to:

 

Project Name: DRAGON (Decarbonising and Reimagining Aviation for the
Goal Of Netzero)

 

Project Number: [***]

 

BACKGROUND

 

	(A)	The Grant is made pursuant to section 5 of the Science and Technology Act 1965 for the purpose of developing advanced low carbon fuels
production in the UK.
	 	 
	(B)	The Authority ran a competition for grant applications in respect of the Advanced Fuels Fund (AFF) competition (the “Scheme”).
	 	 
	(C)	The Grant Recipient was successful under that competition and the Authority awarded it a grant to deliver selected activities for
Pre Front-End Engineering Design (Pre-FEED) and FEED of Project DRAGON.
	 	 
	(D)	The Authority will provide the Grant to the Grant Recipient as provided for in this Grant Funding Agreement.
	 	 
	(E)	The Grant Recipient will use the Grant solely for the Funded Activities. The conditions collectively (the “Conditions”)
are as follows:

 

		1.	INTRODUCTION

 

		1.1	This Grant Funding Agreement sets out the conditions which apply
to the Grant Recipient receiving the Grant from the Authority.

 

		1.2	The Parties confirm that it is their intention to be legally
contractually bound by this Grant Funding Agreement.

 

		2.	DEFINITIONS

 

		2.1	Where they appear in these Conditions:

 

Annex means the annexes attached to these
Conditions which form part of the Grant Funding Agreement;

 

Asset means any assets that are to be purchased
or developed using the Grant including equipment or any other assets and Assets will be construed accordingly;

 

Authority Personal Data means
any Personal Data supplied for the purposes of, or in connection with, the Grant Funding Agreement by the Authority to the Grant Recipient;

 

Bribery Act means the Bribery
Act 2010 and any subordinate legislation made under that Act from time to time together with any guidance or codes of practice issued
by the relevant government department concerning this legislation;

 

Change of Control means the
sale of all or substantially all the assets of a Party; any merger, consolidation or acquisition of a Party with, by or into another
corporation, entity or person, or any change in the ownership of more than fifty percent (50%) of the voting capital stock of a
Party in one or more related transaction;

 

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Code of Conduct means
the Code of Conduct for Recipients of Government General Grants published by the Cabinet Office in November 2018 which is
available at https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/754555/2018-11-06_Code_of_Conduct_for_Grant_Recipients.pdf,
including any subsequent updates from time to time;

 

Commencement Date means the date on which
the Grant Funding Agreement comes into effect, being the date of this Grant Funding Agreement;

 

Confidential Information means any information
(however conveyed, recorded or preserved) disclosed by a Party or its personnel to another Party (and/or that Party’s personnel)
whether before or after the date of the Grant Funding Agreement, including but not limited to:

 

		a.	any information that ought reasonably to be considered to be
confidential (whether or not it is so marked) relating to:

 

		i.	the business, affairs, customers, clients, suppliers or plans of the disclosing Party; and

 

		ii.	the operations, processes, product information, know-how, designs, trade secrets or software of the disclosing Party; and

 

		b.	any information developed by the Parties in the course of delivering
the Project;

 

		c.	the Authority Personal Data;

 

		d.	any information derived from any of the above.

 

Confidential Information shall not include information which:

 

		a.	was public knowledge at the time of disclosure (otherwise than by breach of paragraph 14);

 

		b.	was in the possession of the receiving Party, without restriction as to its disclosure, before receiving
it from the disclosing Party;

 

		c.	is received from a Third Party (who lawfully acquired it) without restriction as to its disclosure; or

 

		d.	is independently developed without access to the Confidential Information.

 

Data Protection Legislation means (i) the
GDPR; (ii) the Data Protection Act 2018 to the extent that it relates to the processing of Personal Data and privacy; and (iii) all
applicable Law relating to the processing of Personal Data and privacy;

 

Delivery Partners means Ricardo Energy
and Environment, and E4tech (UK) Ltd or any Third Party nominated by the Authority to act as a Delivery Partner in respect of the Scheme;

 

Duplicate Funding means any funding provided
to the Grant Recipient, which is for the same purpose for which the Grant was made, but has not been declared to the Authority;

 

EEA has the meaning given in paragraph 2.2.5(a) ;

 

EIR means the Environmental Information Regulations 2004;

 

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Eligibility Criteria mean the Authority’s
selection criteria used to determine who should be grant recipients including the Grant Recipient;

 

Eligible Expenditure means the expenditure
of the type identified as such in Part B of Annex 2 that is properly and necessarily incurred by the Grant Recipient during the Funding
Period for the purposes of delivering the Funded Activities and which complies in all respects with the eligibility rules set out
in paragraph 6;

 

EU References has the meaning given in paragraph 2.2.5(a);

 

Event of Default means an event or circumstance set out in Annex
5;

 

Exit Day shall have the meaning in the European Union (Withdrawal)
Act 2018;

 

Financial Year means from 1 April to 31 March;

 

FOIA means the Freedom of Information Act
2000 and any subordinate legislation made under that Act from time to time together with any guidance or codes of practice issued by the
relevant government department concerning the legislation;

 

Funded Activities means the activities set out in Part A
of Annex 2;

 

Funding Period means the period for which
the Grant is awarded as set out in paragraph 3.1;

 

General Data Protection Regulation and
GDPR means the General Data Protection Regulation (EU) 2016/679;

 

Grant means the sum or sums the Authority
will pay to the Grant Recipient in accordance with this Grant Funding Agreement;

 

Grant Funding Agreement means these Conditions
together with its Annexes and Appendices;

 

Ineligible Expenditure means expenditure
incurred by the Grant Recipient which is not Eligible Expenditure, including expenditure of the type identified as such in Part B
of Annex 2;

 

Information Acts means the Data Protection
Legislation, FOIA and the EIR, as amended from time to time;

 

Intellectual Property Rights or IPRs
means copyright, rights related to or affording protection similar to copyright, rights in databases, patents and rights in inventions
semiconductor topography rights, trade marks, rights in internet domain names and website addresses and other rights in trade names, designs,
know-how, trade secrets and any modifications, amendments, updates and new releases of the same and all similar or equivalent rights or
forms of protection which subsist or will subsist now or in the future in any part of the world;

 

Law means any applicable law, statute,
byelaw, regulation, order, regulatory policy, guidance or industry code, judgment of a relevant court of law, or directives or requirements
of any regulatory body, delegated or subordinate legislation;

 

Match Funding means any contribution, in
whatever form, to the Project from a Third Party to the Grant Recipient to the parts of the Funded Activities not supported by the Grant
as set out in the Special Conditions;

 

Maximum Sum has the meaning given in paragraph 3.2;

 

    5

     

    

 

Monitoring Officer means the Delivery Partner
representative nominated by the Authority as the Grant Recipient’s point of contact for the Grant and, as relevant, the Scheme;

 

Party means the Authority or Grant Recipient and Parties shall
mean either Party; Payment Milestone means a milestone identified as such in Part A of Annex 2;

 

Personal Data has the meaning given to
it in the Data Protection Legislation as amended from time to time;

 

Procurement Regulations means the Public
Contracts Regulations 2015, Concession Contracts Regulations 2016, Defence Security Public Contracts Regulations 2011 and the Utilities
and Contracts Regulations 2016 together with their amendments, updates and replacements from time to time;

 

Prohibited Act means:

 

		a.	directly or indirectly offering, giving or agreeing to give to any servant of the Authority or the Crown any gift or consideration
of any kind as an inducement or reward for:

 

		i.	doing or not doing (or for having done or not having done) any act in relation to the obtaining or performance
of the Project; or

 

		ii.	showing or not showing favour or disfavour to any person in relation to the Grant Funding Agreement;

 

		b.	committing any offence:

 

		i.	under the Bribery Act;

 

		ii.	under legislation creating offences in respect of fraudulent
acts; or

 

		iii.	at common law in respect of fraudulent acts in relation to the Funding Agreement; and

 

		c.	defrauding or attempting to defraud or conspiring to defraud
the Authority or the Crown; Project has the meaning set out in paragraph 3.2;

 

Remedial Action Plan means the plan of
action submitted by the Grant Recipient to the Authority following an Event of Default pursuant to the Remedial Action Plan process set
out in paragraph 24.9 to 24.13;

 

Representatives means any of the Parties’
duly authorised directors, employees, officers, agents, professional advisors and consultants;

 

Request for Funds means the payment request
submitted by the Grant Recipient to the Authority for payment for the Grant in accordance with paragraph 5.4 to 5.6;

 

Scheme has the meaning given in paragraph (B) of the Background;

 

Special Conditions means the special conditions set out in Annex 7;

 

Subsidy Control Rules means the UK’s
subsidy control regime, including the Subsidy Control Act 2022 and any subordinate legislation made under that Act, subsidy control commitments
contained in the UK-EU Trade and Co-operation Agreement, commitments on subsidies arising from the UK’s membership of the WTO, and,
where relevant, any other subsidy control rules that are binding on the United Kingdom including the EU State aid rules as set
out in Article 107-109 of the Treaty of the Functioning of the European Union and associated regulations and guidelines under the
Northern Ireland Protocol;

 

    6

     

    

 

TCA has the meaning given in paragraph 18.1;

 

Third Party means any person or organisation other than the
Grant Recipient or the Authority;

 

Unspent Monies means any monies paid to
the Grant Recipient in respect of its Eligible Expenditure, which remains unspent and uncommitted at the end of the Financial Year, the
Funding Period or because of termination or breach of these Conditions; and

 

Working Day means any day from Monday to
Friday (inclusive) which is not specified or proclaimed as a bank holiday in England and Wales pursuant to section 1 of the Banking and
Financial Dealings Act 1971 including Christmas Day and Good Friday.

 

		2.2	In these Conditions, unless the context otherwise requires:

 

		2.2.1	the singular includes the plural and vice versa;

 

		2.2.2	reference to a gender includes the other gender and the neuter;

 

		2.2.3	references to a person include an individual, company, body
corporate, corporation, unincorporated association, firm, partnership or other legal entity or Crown Body;

 

		2.2.4	a reference to any Law includes a reference to that Law as amended,
extended, consolidated or re-enacted from time to time;

 

		2.2.5	any reference in these Conditions which immediately before Exit
Day was a reference to (as it has effect from time to time):

 

		(a)	any EU regulation, EU decision, EU tertiary legislation or provision of the European Economic Area (“EEA”)
agreement (“EU References”) which forms part of domestic law by application of section 3 of the European Union (Withdrawal)
Act 2018 shall be read on and after Exit Day as a reference to the EU References as they form part of domestic law by virtue of section
3 of the European Union (Withdrawal) Act 2018 as modified by domestic law from time to time; and

 

		(b)	any EU institution or EU authority or other such EU body shall be read on and after Exit Day as a reference
to the UK institution, authority or body to which its functions were transferred;

 

		2.2.6	the words "including", "other", "in
particular", "for example" and similar words will not limit the generality of the preceding words and will be construed
as if they were immediately followed by the words "without limitation;

 

		2.2.7	references to “representations” will be construed
as references to present facts, to “warranties” as references to present and future facts and to “undertakings”
as references to obligations under the Grant Funding Agreement;

 

		2.2.8	the headings in these Conditions are for ease of reference only
and will not affect the interpretation or construction of these Conditions.

 

		2.3	Where there is any conflict between the documents that make
up this Grant Funding Agreement the conflict shall be resolved in accordance with the following order of precedence:

 

		2.3.1	the Special Conditions;

 

		2.3.2	the Conditions set out within this Grant Funding Agreement;
and

 

		2.3.3	the remaining Annexes within this Grant Funding Agreement.

 

    7

     

    

 

		3.	DURATION AND PURPOSE OF THE GRANT

 

		3.1	The Funding Period starts on the Commencement Date and ends
on 31 March 2025. This Grant Agreement will subsist for the duration of the Funding Period unless terminated earlier in accordance
with its terms.

 

		3.2	The Authority is prepared to provide the Grant not exceeding,
 £24,961,000 (the “Maximum Sum”) to the Grant Recipient in connection with the application set out in Annex 1
for the provision of the Funded Activities in Part A of Annex 2 (the “Project”) provided that the Grant Recipient
uses the Grant in accordance with this Grant Funding Agreement.

 

		3.3	The Grant Recipient shall use the Grant solely for the delivery
of the Funded Activities. The Grant Recipient may not make any changes to the Funded Activities.

 

		3.4	The Authority may make changes to the Funded Activities (including
changing the amount of the Grant and/or the scope of the Funded Activities) by providing reasonable written notice to the Grant Recipient.

 

		3.5	Should the Grant Recipient wish to request a change to the Funded
Activities, this must be directed to the Authority’s nominated Monitoring Officer in the first instance.

 

		4.	PAYMENT OF GRANT

 

		4.1	Subject to the remainder of this paragraph 4 the Authority may
pay the Grant to the Grant Recipient:

 

		4.1.1	up to the Maximum Sum stated in paragraph 3.2;

 

		4.1.2	in pound sterling (GBP) and into a bank located in the UK, save that where it is more efficient to pay
the Grant in a foreign currency, the Authority may choose to do so at its sole discretion (in which case the Grant amount will be for
the sum agreed in GBP as at the Commencement Date); and

 

		4.1.3	in respect of Eligible Expenditure only.

 

		4.2	The Grant Recipient must provide the Authority with such evidence
as it may reasonably require (including receipts, invoices and other documentary evidence) that Grant Claims relate to costs which constitute
Eligible Expenditure.

 

		4.3	Payment of the Grant is conditional upon the Grant Recipient
providing the Authority with evidence in a form reasonably satisfactory to the Authority that at least three (3) competitive quotes
have been obtained for the provision of all goods and services with a cost of £5,000 or more, with at least one (1) of those
quotes being sources from a UK-based supplier, where reasonably practical. In cases where this is not possible, if the Grant Recipient
follows a single tender procedure for example, where the value of a contract is very low or where there is only one supplier capable
of providing the goods or services concerned, the Grant Recipient must keep a record of the reasons why that procedure was thought to
be appropriate.

 

		4.4	The Grant Recipient must notify the Authority of any Match Funding
which is or has been applied for (or which the Grant Recipient intends to apply for), approved or offered, before the Commencement Date
and during the Funding Period. Such notification must be made before receiving or using such Match Funding and must include the amount,
purpose and source of the proposed Match Funding.

 

		4.5	Upon receipt of the Grant Recipient's notice under paragraph
4.4, the Authority must notify the Grant Recipient that (at its sole discretion) it either agrees to or refuses the Grant Recipient's
acceptance of the Match Funding.

 

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		4.6	If the Authority agrees to the Grant Recipient's acceptance
of Match Funding under paragraph 4.5, the Grant Recipient may take receipt of the relevant Match Funding. In such circumstances, the Grant Recipient must provide
the Authority with a detailed summary of the Match Funding received, including the amount of Match Funding, the use of such Match Funding
and such other information as the Authority may reasonably require.

 

		4.7	If the Authority refuses the Grant Recipient's acceptance
of the Match Funding under paragraph 4.5, the Grant Recipient must not accept or use the Match Funding.

 

		4.8	The Grant Recipient agrees that it must not apply for or
obtain Duplicate Funding in respect of any part of the Funded Activities which have been paid for in full using the Grant. The Authority
may refer the Grant Recipient to the police should it dishonestly and intentionally obtain Duplicate Funding for the Funded Activities;

 

		4.9	The Authority will not make the first payment of the Grant
and/or any subsequent payments of the Grant unless and until the Authority is satisfied that:

 

		4.9.1	the Grant Recipient has signed an original copy of this Grant
Agreement;

 

		4.9.2	the Grant Recipient will use the Grant payment for Eligible
Expenditure only; and

 

		4.9.3	if applicable, any grant payments provided by the Authority
to the Grant Recipient prior to the first payment of the Grant to fund activities broadly equivalent to the Funded Activities (including
under a previous grant agreement) have been used for their intended purpose or repaid to the Authority.

 

		4.10	The Grant Recipient must promptly notify and repay immediately
to the Authority any money incorrectly paid to it either as a result of an administrative error or otherwise. Any sum which must be repaid
under this paragraph must be repaid immediately. If the Grant Recipient fails to repay the sum immediately (or within any other timeframe
specified by the Authority), the Authority may recover the sum summarily as a civil debt.

 

		5.	GRANT CLAIM PROCEDURE

 

		5.1	The Authority reserves the right not to pay any Grant Claims
where the relevant Funded Activities are not completed within the period set out in Part A of Annex 2 and/or which are incomplete,
incorrect or submitted without the full supporting documentation (including such documentation as may be reasonably requested by the
Monitoring Officer or the Authority).

 

		5.2	The Authority must pay the Grant to Grant Recipients in instalments,
on a reimbursement basis.

 

		5.3	The instalments for payment of the Grant are set out in Part A
of Annex 2. The Authority must endeavour to pay the Grant Recipient within twenty-one (21) working days of the Authority being satisfied
that the Grant Recipient has completed the relevant Funded Activities within the time set out in this Grant Funding Agreement.

 

		5.4	Any Request for Funds submitted by the Grant Recipient must
include the following:

 

		5.4.1	the information and evidence required for the relevant instalment,
as set out in the Appendix to Annex 3; and

 

		5.4.2	a reasonable assurance report, or a copy of one, provided at
the Grant Recipient’s expense and meeting the requirements set out in Annex 3.

 

		5.5	Unless agreed by the Authority under paragraph 4.1.2, all
Grant requested by the Grant Recipient must be accounted for in GB pounds sterling, with supporting evidence of exchange rates where
they have been used for conversions from other currencies.

  

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		5.6	When submitting a Request for Funds, the format of Annex
4 must be copied onto the Grant Recipient’s official letter heading. The Grant Recipient’s Finance Officer or another responsible
officer is required to certify the Request for Funds as set out in Annex 4. Such certifications must be sent in their original format
to the Authority’s Monitoring Officer for authorisation.

 

		5.7	The Authority reserves the right to call for and examine
any further evidence that it requires prior to making any payments of the Grant under this Grant Funding Agreement.

 

		5.8	The summary sheet set out in Annex 4 should be used, accompanied
by a detailed statement of expenditure as set out in the Appendix to Annex 4, evidence or a signed statement that Payment Milestones
have been achieved and a Request for Funds.

 

		5.9	The Authority bears no responsibility for paying any Third
Parties with whom the Grant Recipient enters into contracts in connection with the Funded Activities.

  

		5.10	Onward payment of the Grant and the use of sub-contractors
does not relieve the Grant Recipient of any of its obligations under this Grant Funding Agreement, including any obligation to repay
the Grant.

 

		5.11	The Grant Recipient must not retain any Unspent Monies without
the Authority’s prior written consent. If at the end of any Financial Year there are Unspent Monies, the Grant Recipient must repay
such Unspent Monies to the Authority no later than 30 days following the Authority’s request for repayment.

 

		5.12	The Authority may, at its sole discretion, determine how such
Unspent Monies may be reused, including redistributing them to other grant recipients under the Scheme.

 

		6.	ELIGIBLE AND INELIGIBLE EXPENDITURE

 

		6.1	The Authority may only pay the Grant in respect of Eligible
Expenditure incurred by the Grant Recipient to deliver the Funded Activities and the Grant Recipient must use the Grant solely for delivery
of the Funded Activities.

 

		6.2	The Eligible Expenditure and Ineligible Expenditure related
directly to the Funded Activities is listed in Part B of Annex 2.

 

		6.3	The Grant Recipient may also not in any circumstance claim
the following non-exhaustive list as Eligible Expenditure (the list below does not override activities which are deemed eligible in this
Grant Agreement):

 

		6.3.1	paid for lobbying, which means using the Grant to fund lobbying
(via an external firm or in-house staff) in order to undertake activities intended to influence or attempt to influence Parliament, government
or political activity; or attempting to influence legislative or regulatory action;

 

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		6.3.2	using the Grant to directly enable one part of government
to challenge another on topics unrelated to the agreed purpose of the grant;

 

		6.3.3	using the Grant to petition for additional funding;

 

		6.3.4	expenses such as for entertaining, specifically aimed at
exerting undue influence to change government policy;

 

		6.3.5	input VAT reclaimable by the grant recipient from HMRC; and

 

		6.3.6	payments for activities of a political or exclusively religious
nature.

 

		6.4	Other examples of expenditure which are prohibited include
the following:

 

		6.4.1	contributions in kind;

 

		6.4.2	interest payments or service charge payments for finance leases;

 

		6.4.3	gifts;

 

		6.4.4	statutory fines, criminal fines or penalties civil penalties,
damages or any associated legal costs;

 

		6.4.5	payments for works or activities which the grant recipient,
or any member of their partnership, has a statutory duty to undertake, or that are fully funded by other sources;

 

		6.4.6	bad debts to related parties;

 

		6.4.7	payments for unfair dismissal or other compensation;

 

		6.4.8	depreciation, amortisation or impairment of assets owned by
the Grant Recipient;

 

		6.4.9	the acquisition or improvement of Assets by the Grant Recipient
(unless the Grant is explicitly for capital use – this will be stipulated in the Grant Funding Letter); and

 

		6.4.10	liabilities incurred before the commencement of the Grant
Agreement unless agreed in writing by the Authority.

 

		7.	WARRANTIES

 

		7.1	The Grant Recipient represents, warrants and undertakes that:

 

		7.1.1	it is validly incorporated, organised and subsisting in accordance
with the Law of its place of incorporation;

 

		7.1.2	it has full capacity and authority to undertake the Funded Activities
and to agree to the terms and conditions of this Grant Funding Agreement and its Annexes;

 

		7.1.3	this Grant Funding Agreement is executed by its duly authorised
representative;

 

		7.1.4	it must at all times comply with all relevant Law and all applicable
codes of practice and other similar codes or recommendations, and shall notify the Authority immediately of any significant departure
from such Law, codes or recommendations;

 

		7.1.5	it has all necessary resources, powers and expertise to deliver
the Funded Activities;

 

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		7.1.6	it has obtained or will obtain any and all consents necessary
to undertake the Project and deliver the Funded Activities on time;

 

		7.1.7	it is not aware of anything in its own affairs, which it has
not disclosed to the Authority which might reasonably have influenced the decision of the Authority to make the Grant on the terms contained
in this Grant Funding Agreement;

 

		7.1.8	the information and evidence contained or referred to in the
Funded Activities as set out in Annex 1 remains true, complete and accurate;

 

		7.1.9	its circumstances, including its financial standing, have not
materially changed since the Project was submitted;

 

		7.1.10	it will comply with all terms and conditions of this Grant Funding
Agreement and its Annexes; and

 

		7.1.11	it is not aware of the existence of any circumstances entitling
the Authority to terminate this Grant Funding Agreement or to reduce, suspend, withhold or require the repayment of the Grant.

 

		7.2	In accepting the Grant and any payment of it, the Grant Recipient
represents and warrants that it is not aware of any circumstances which might materially and adversely impact on its ability to undertake
the Funded Activities or comply with the terms and conditions of this Grant Funding Agreement and its Annexes including (without limitation):

 

		7.2.1	any contractual obligations;

 

		7.2.2	any legal or administrative proceedings (such as any litigation
or any winding-up or insolvency proceedings); or

 

		7.2.3	any circumstances which might give rise to such proceedings.

 

		7.3	The Grant Recipient warrants, agrees, undertakes and represents
to the Authority that the warranties set out in paragraph 7.1 and 7.2:

 

		7.3.1	are true and accurate as at the Commencement Date; and

 

		7.3.2	shall continue to be true and accurate throughout the Funding
Period, including when each Request for Funds is made by the Grant Recipient to the Authority and when the Authority makes any payment
of any part of the Grant.

 

		7.4	The Grant Recipient agrees and acknowledges that:

  

		7.4.1	the warranties, representations and undertakings contained in
this Grant Funding Agreement are material and are designed to induce the Grant Funding Authority into entering into this Grant Funding
Agreement and into paying each instalment of the Grant;

 

		7.4.2	the Authority has been induced into entering into this Grant
Funding Agreement and in entering into this Grant Funding Agreement, has relied upon the warranties, representations and undertakings
contained herein; and

 

		7.4.3	the Authority will (amongst other things) on each and every
occasion that it pays an instalment of the Grant, be induced into doing so by and in being so induced, shall rely upon the warranties,
representations and undertakings contained in this Grant Funding Agreement.

 

		7.5	Each of the warranties is separate and independent and the Authority
has a separate claim and right of action in respect of every breach of every warranty.

 

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		7.6	The Grant Recipient must notify the Authority immediately in
writing in the event that it is in breach of any warranty, providing full details of such breach.

 

		8.	GRANT REVIEW

 

		8.1	The Authority must review the Grant annually after the end of
each financial year. The review must take into account the Grant Recipient’s delivery of the Funded Activities. As part of the
annual review the Authority must review the reports produced by the Grant Recipient in accordance with paragraph 9.2.

 

		8.2	Following the review carried out under paragraph 8.1, the Authority
may, taking into account any representations made by the Grant Representative in the course of the review, choose to do any of the following:

  

		8.2.1	consent to the Funded Activities and the Grant Agreement continuing
in line with existing plans;

 

		8.2.2	increase or decrease the Grant for the subsequent Financial
Year or the remainder of the Funding Period, as applicable;

 

		8.2.3	redefine the Funded Activities;

 

		8.2.4	require the Grant Recipient to carry out remedial activity with
the aim of improving delivery of the Funded Activities;

 

		8.2.5	recover any Unspent Monies; or

 

		8.2.6	terminate the Grant Agreement in accordance with paragraph 24.

 

		8.3	If required pursuant to paragraph 8.2.4, the Grant Recipient
will submit a remedial action plan to the Authority setting out:

 

		8.3.1	the areas identified by the Authority in which improvements
to the Funded Activities are required; and

 

		8.3.2	the steps which the Grant Recipient proposes to take to rectify
the areas identified by the Authority and the timetable for taking such steps.

 

		9.	MONITORING AND REPORTING

 

		9.1	The Grant Recipient must closely monitor the delivery and success
of the Funded Activities throughout the Funding Period and shall notify the Monitoring Officer and the Authority as soon as reasonably
practicable of any actual or potential failure to comply with any of its obligations under this Grant Agreement.

 

		9.2	The Grant Recipient must provide the Monitoring Officer and
the Authority with:

 

		9.2.1	brief monthly narrative updates in respect of its delivery of
the Funded Activities. Monthly updates will be due by the 10th day of the following month (i.e. the report for June 2021 would be
due by 10 July 2021);

 

		9.2.2	a three (3) month financial and narrative report for each
financial quarter within ten (10) days of the end of each quarter until the Funded Activities are completed, which shall include:

 

		(a)	a progress update on the Funded Activities;

 

		(b)	an explanation of any technical or administrative challenges faced and what was done to resolve them;

 

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		(c)	an indication of whether the Funded Activities are likely to be delivered to the agreed timeframe (accompanied
by an updated Project Plan to complete the Funded Activities) and, if not, what needs to be done to resolve any delays or technical challenges
(including decisions by the Grant Recipient);

 

		(d)	a revised Project risk register;

 

		(e)	a revised rolling forecast of Funded Activities milestones, budgeted cost and cash-flow to completion;
and

 

		(f)	the amount of Match Funding received by the Recipient together with details of what it has used that Match
Funding for; and

 

		9.2.3	a final financial and narrative report within thirty (30) days
of the completion of the Funded Activities.

 

		9.3	Templates for the reports set out in paragraph 9.2 will be supplied
by the Monitoring Officer.

 

		9.4	The Grant Recipient must ensure that the Authority receives
the information and evidence required by paragraph 4.3 to coincide with the Payment Milestones. Should the Grant Recipient fail to do
so, or should the Authority reasonably conclude that the information and evidence provided prior to that deadline is unsatisfactory,
the Authority may withdraw the Grant. The Grant Recipient must provide the Authority with all reasonable assistance and cooperation in
relation to any ad-hoc information, explanations and documents as the Authority may require, from time to time, so the Authority may
establish if the Grant Recipient has used the Grant in accordance with the Grant Funding Agreement.

 

		9.5	The Grant Recipient must permit any person authorised by the
Authority reasonable access, with or without notice, to its employees, agents, premises, facilities and records, for the purpose of discussing,
monitoring and evaluating the Grant Recipient's fulfilment of its obligations under the Grant Funding Agreement and must, if so required,
provide appropriate oral or written explanations to such authorised persons as required during the Funding Period.

 

		9.6	The Grant Recipient must notify the Authority as soon as reasonably
practicable of:

 

		9.6.1	any actual or potential failure to comply with any of its obligations
under the Grant Funding Agreement, which includes those caused by any administrative, financial, technical, or managerial difficulties;
and

 

		9.6.2	actual or potential variations to the Eligible Expenditure and/or
any event which materially affects the continued accuracy of such information.

 

		9.7	The Grant Recipient represents and undertakes (and shall repeat
such representations on delivery of the reports set out in paragraph 9.2) that:

 

		9.7.1	the reports and information it gives pursuant to this paragraph
9.2 are accurate

 

		9.7.2	it has diligently made full and proper enquiry of the matter
pertaining to the reports and information given; and

 

		9.7.3	any data it provided pursuant to an application for the Grant
may be shared within the powers conferred by legislation with other organisations for the purpose of preventing or detecting crime.

 

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		10.	AUDITING AND ASSURANCE

 

		10.1	Within six months of the end of each Financial Year the Grant
Recipient must provide the Authority with independent assurance that the Grant has been used for delivery of the Funded Activities. To satisfy this requirement the Grant
Recipient must provide, at the Authority's discretion:

  

		10.1.1	annual accounts audited by an independent and appropriately
qualified auditor where the Grant is clearly segregated from other funds; or

 

		10.1.2	a statement showing that the Grant has been certified by an
independent and appropriately qualified auditor, accompanied by the Grant Recipient’s annual audited accounts.

 

		10.2	The Grant Recipient must:

 

		10.2.1	maintain to the Authority's satisfaction an appropriate system
of financial management and controls, maintain detailed records in relation to such controls, and provide copies of such records to the
Authority on request; and

 

		10.2.2	retain, and procure that its sub-contractors retain, all relevant
documentation relating to the Eligible Expenditure and any income generated by the Funded Activities (including invoices, receipts and
accounting records) during the Funding Period and for a period of 7 years.

 

		10.3	The Authority may, at any time during and up to seven (7) years
after the end of the Grant Funding Agreement, conduct additional audits or ascertain additional information where the Authority considers
it necessary. The Grant Recipient agrees to grant the Authority or its Representatives access, as required, to all Project sites and
relevant records. The Grant Recipient must ensure that necessary information and access rights are explicitly included within all arrangements
with sub-contractors.

 

		10.4	If the Authority requires further information, explanations
and documents, in order for the Authority to establish that the Grant has been used properly in accordance with the Grant Funding Agreement,
the Grant Recipient must, within five (5) Working Days of a request by the Authority, provide the Authority, free of charge, with
the requested information.

 

		10.5	The Grant Recipient must co-operate with any examination conducted
by the UK’s National Audit Office into the economy, efficiency and effectiveness with which the Authority’s funds have been
used in relation to the Funded Activities.

 

Retention of Documents

 

		10.6	The Grant Recipient must retain adequate records to demonstrate
that it has complied the Conditions and all invoices, receipts, accounting records and any other documentation (including but not limited
to, correspondence) relating to the Eligible Expenditure and any income generated by the Funded Activities during the Funding Period
for a period of seven (7) years from the date on which the Funding Period ends.

 

		10.7	The Grant Recipient must ensure that all its sub-contractors
retain each record, item of data and document relating to the Funded Activities for a period of seven (7) years from the date on
which the Funding Period ends.

 

		11.	FINANCIAL MANAGEMENT AND PREVENTION OF BRIBERY, CORRUPTION,
FRAUD AND OTHER IRREGULARITY

 

		11.1	The Grant Recipient must:

 

		11.1.1	at all times comply with all applicable laws, statutes and regulations
relating to anti- bribery and anti-corruption, including but not limited to the Bribery Act;

 

		11.1.2	maintain a sound administration and audit process, including
internal financial controls to safeguard against fraud and theft, money laundering, counter terrorist financing or any other impropriety,
or mismanagement in connection with the administration of the Grant; and

 

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		11.1.3	notify the Authority of all actual or suspected cases of fraud,
theft or financial irregularity relating to the Funded Activities as soon as they are identified and keep the Authority informed in relation
to its remedial actions thereafter.

 

		11.2	In the event of any actual or suspected fraud, theft or other
financial irregularity (which includes use of the Grant for any purpose other than that envisaged by this Grant Agreement), the Authority
may, at its absolute discretion:

 

		11.2.1	require the Grant Recipient to take such remedial steps as the
Authority shall reasonably specify; and/or

 

		11.2.2	suspend future payment of the Grant to the Grant Recipient, 

 

	 	 	and in all cases the Grant Recipient must explain to the Authority what steps are being taken to investigate the irregularity and must
keep the Authority informed about the progress of any such investigation. The Grant Recipient must, if required by the Authority, refer
the matter to an external auditor or any other Third Party.
	 	 	 
		11.3	The Grant Recipient must provide statements and evidence to
the Authority or the appropriate organisation where such statements and evidence are required as part of pursuing sanctions, criminal
or civil proceedings.

 

		11.4	The Grant Recipient agrees and accepts that it will become ineligible
for grant support and be required to repay all or part of the Grant if it engages in tax evasion or aggressive tax avoidance in the opinion
of HMRC.

 

		11.5	For the purposes of paragraph 11.2 “financial irregularity”
includes (but is not limited to) actual or suspected fraud or other impropriety, mismanagement, and the use of the Grant for any
purpose other than those stipulated in the Grant Funding Agreement.

 

		12.	CONFLICTS OF INTEREST

 

		12.1	The Grant Recipient and its Representatives must not engage
in any personal, business or professional activity which conflicts or could conflict with any of their obligations in relation to the
Grant Agreement.

 

		12.2	The Grant Recipient must have and will keep in place adequate
procedures to manage and monitor any actual or perceived bias or conflicts of interest.

 

		13.	CHANGE OF CONTROL

 

The
Grant Recipient must notify the Authority immediately in writing and as soon as the Grant Recipient is aware (or ought reasonably to
be aware) that it is anticipating, undergoing, undergoes or has undergone a Change of Control, provided such notification does not contravene
any Law.

 

		14.	CONFIDENTIALITY

 

		14.1	Except to the extent set out in this paragraph 14 or where disclosure
is expressly permitted, a Party must treat all Confidential Information belonging to the other Party as confidential and must not disclose
any Confidential Information belonging to the other Party to any other person without the prior written consent of the other Party, except
to such persons who are directly involved in the provision of the Funded Activities and who need to know the information. The Parties
agree to use their best endeavours to ensure that persons involved in the provisions of the Funded Activities that are provided with
information treat all Confidential Information as the Parties themselves are required to treat such information under this paragraph.

 

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		14.2	The Grant Recipient gives its consent for the Authority to publish
the Grant Agreement in any medium in its entirety (but with any information which is Confidential Information belonging to the Authority
or the Grant Recipient redacted), including from time to time agreed changes to the Grant Agreement.

 

		14.3	Nothing in this paragraph shall prevent the Authority disclosing
any Confidential Information obtained from the Grant Recipient:

 

		14.3.1	for the purpose of the examination and certification of the
Authority’s accounts and/or pursuant to section 6(1) of the National Audit Act 1983;

 

		14.3.2	to any government department, consultant, contractor or other
person engaged by the Authority, provided that the Authority only discloses information which is necessary for the purpose concerned
and obtains appropriate confidentiality undertakings in relation to such information; or

 

		14.3.3	where disclosure is required by Law, including under the Information
Acts.

 

		14.4	Nothing in this paragraph shall prevent either Party from using
any techniques, ideas or know-how gained during the performance of its obligations under the Grant Agreement in the course of its normal
business, to the extent that this does not result in a disclosure of the other Party’s Confidential Information or an infringement
of the other Party’s Intellectual Property Rights.

 

		15.	STATUTORY DUTIES

 

		15.1	The Grant Recipient agrees to adhere to its obligations under
the Law.

 

		15.2	The Grant Recipient hereby acknowledges that the Authority is
subject to requirements under the Information Acts. Where requested by the Authority, the Grant Recipient must provide reasonable assistance
and cooperation to the Authority to assist the Authority’s compliance with its information disclosure obligations.

 

		15.3	On request from the Authority, the Grant Recipient must provide
the Authority with all such relevant documents and information relating to the Grant Recipient’s data protection policies and procedures
as the Authority may reasonably require.

  

		15.4	The Grant Recipient acknowledges that the Authority, acting
in accordance with the codes of practice issued and revised from time to time under the Information Acts, may disclose information concerning
the Grant Recipient and the Grant Agreement without consulting the Grant Recipient.

 

		15.5	The Authority must take reasonable steps to notify the Grant
Recipient of a request for information to the extent that it is permissible and reasonably practical for it to do so.

  

		15.6	Notwithstanding any other provision in the Grant Agreement,
the Authority will be responsible for determining in its absolute discretion whether any information is exempt from disclosure in accordance
with the Information Acts.

 

		16.	DATA PROTECTION

  

		16.1	The Grant Recipient and the Authority must comply at all times
with their respective obligations under Data Protection Legislation.

 

		16.2	Given the nature of this Grant Agreement and the Funded Activities,
the Parties do not envisage that either Party will process any Personal Data for or on behalf of the other Party, under or in connection
with this Grant Agreement or the Funded Activities. Where and to the extent that in undertaking the obligations set out in this Grant
Agreement or performing the Funded Activities, either Party anticipates that the other will process any Personal Data for and on behalf
of the other Party it shall notify the other Party and the Parties shall agree a variation to this Grant Agreement to incorporate appropriate
provisions in accordance with Article 28 of the UK GDPR, or as otherwise required by the Data Protection Legislation.

 

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		17.	PUBLIC PROCUREMENT

 

		17.1	The Grant Recipient must ensure that value for money is obtained
in the procurement of goods or services funded by the Grant. Where the Grant Recipient is a Contracting Authority within the meaning
of the Procurement Regulations, the Grant Recipient must comply with the Procurement Regulations when procuring goods and services in
connection with the Grant Agreement.

 

		18.	SUBSIDY CONTROL

 

		18.1	The Authority considers that the Grant constitutes a subsidy
applicable under Subsidy Control Rules and, relying on information provided by the Grant Recipient, that the grant is compliant
with Subsidy Control Rules and meets the principles set out at Article 366 of the TCA.

 

		18.2	The Grant Recipient must (and acknowledges that the Authority
must) comply with all requirements of any applicable Subsidy Control Rules; for which purpose the Authority must publish information
relating to the Grant on the national database in line with the requirements of Article 369 of the TCA.

 

		18.3	The Grant Recipient must keep detailed records to demonstrate
compliance with Subsidy Control Rules and must provide a copy of such records to the Authority.

 

		18.4	The Grant Recipient acknowledges and represents that the Grant
is being awarded on the basis that the Funded Activities do not affect trade in goods and electricity between Northern Ireland and the
European Union and the Grant Recipient must ensure that the Grant is not used in way that affects any such trade.

 

		18.5	The Grant Recipient shall inform the Secretary of State in writing
of any other “public funding” applied for or awarded against the eligible costs covered by this grant offer. Total “public
funding” for the Funded Activities must be within the amounts permitted by Subsidy Control Rules.

 

		19.	INTELLECTUAL PROPERTY RIGHTS

 

		19.1	All Intellectual Property Rights in the progress reports produced
pursuant to paragraph 9.2 of this Grant Funding Agreement by the Grant Recipient or the Grant Recipient’s personnel, members or
Representatives in the course of undertaking the Funded Activities are the property of the Authority. Any data submitted with progress
reports that is confidential must be submitted as a separate non-publishable annex.

 

		19.2	The Authority and the Recipient agree that, subject to paragraph
19.1, all Intellectual Property Rights owned by the Authority or the Grant Recipient before the Commencement Date or developed by any
Party during the Funding Period, remain the property of that Party.

 

		20.	INSURANCE

 

The Grant Recipient must put in
place and maintain adequate insurance coverage (including public liability insurance) with an insurer of good repute to cover all
insurable claims and liabilities under or in connection with this Grant Agreement. The Grant Recipient must provide evidence of such
insurance to the Authority on request.

 

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		21.	ASSIGNMENT

 

The Grant Recipient must not transfer, assign,
novate or otherwise dispose of the whole or any part of the Grant Agreement or any rights under it, to another organisation or individual,
without the Authority’s prior approval.

 

		22.	BORROWING, LOSSES, GIFTS, SPECIAL PAYMENTS

 

		22.1	The Grant Recipient must obtain the Authority's prior written
consent before:

 

		22.1.1	borrowing or lending money from any source in connection with
the Grant Agreement;

 

		22.1.2	giving any guarantee, indemnity, security over any Asset or
letter of comfort in relation to the Grant Agreement;

 

		22.1.3	giving any gift, making any Special Payment and/or writing off
any debt or liability in connection with the Grant, and shall keep a record of all gifts given and received in connection with the Grant.

 

		23.	PUBLICITY

 

		23.1	The Authority may publish this Grant Funding Agreement and any
other information relating to the Funded Activities on the designated competition website (www.ricardo.com/AFF) or a .gov.uk page and/or
in any other way considered appropriate. Such information may include, without limitation: lead organisation name, Project Name and Reference,
type of enterprise (SME/large) at the time of granting, the location of the Project, the amount of Grant, and the Project’s objectives.

 

		23.2	The Authority must, prior to publication, consider any representations
that the Grant Recipient may make about information it considers to be commercially sensitive.

 

		23.3	The Grant Recipient must:

 

		23.3.1	provide the Monitoring Officer with draft press releases in
connection with the Funded Activities, the Grant and/or the Scheme for approval (such approval not to be unreasonably withheld or delayed)
except where the content of such draft releases does not extend beyond the content of a press release that has been previously approved
by the Authority, in which case no such approval shall be required;

 

		23.3.2	give appropriate recognition to the provision of the Grant by
the Authority in any press release or other contact with the media in connection with the Funded Activities, the Grant and/or the Scheme.
The nature of such recognition will be decided in advance with the Monitoring Officer; and

 

		23.3.3	provide representatives of the Authority’s Press Office
with any assistance required to formulate the Authority’s approach to the media in relation to the Funded Activities.

 

		23.4	The Grant Recipient must, at its own cost, attend at least three
networking events (whether physical or virtual) hosted by the Authority during the Funding Period.

 

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		23.5	The Grant Recipient must collaborate with the Authority:

 

		23.5.1	to build support for development and raise awareness of the UK government's funding for the demonstration
of advanced renewable fuels production;

 

		23.5.2	to proactively look for ways to raise awareness of UK government funding for development

 

		23.5.3	on other awareness raising activities where feasible and appropriate to profile the Scheme and the results
it is delivering

 

		23.5.4	on any future evaluation of the Scheme; and

 

		23.5.5	on all reasonable requests from the Authority to facilitate visits, provide reports, statistics, photographs
and case studies that will assist the Authority in their promotional activities relating to the Funded Activities and the Scheme.

 

		23.6	The Authority may share information relevant to the Grant with
other public authorities and their agents.

 

		24.	CLAWBACK, EVENTS OF DEFAULT, TERMINATION AND RIGHTS RESERVED
FOR BREACH AND TERMINATION

 

Events of Default

 

		24.1	The Grant Recipient must inform the Authority urgently, in writing,
if it becomes aware that an Event of Default has arisen. If an Event of Default arises after the Grant Recipient has received an instalment
of the Grant, the Grant Recipient must not make any use of the Grant until the Authority has authorised continued use of the Grant in
writing.

 

		24.2	Where, the Authority determines that an Event of Default has
or may have occurred, the Authority must notify the Grant Recipient to that effect in writing, setting out any relevant details of the
failure to comply with this Grant Funding Agreement or pertaining the Event of Default, and details of any action that the Authority
intends to take or has taken.

 

Rights reserved for the Authority in relation to an Event of Default

 

		24.3	Where, the Authority determines that an Event of Default has
or may have occurred, the Authority may by written notice to the Grant Recipient take any one or more of the following actions:

 

		24.3.1	suspend the payment of Grant for such period as the Authority may determine; and/or

 

		24.3.2	reduce the Maximum Sum, in which case the payment of Grant shall thereafter be made in accordance with
the reduction and notified to the Grant Recipient; and/or

 

		24.3.3	cease to make payments of Grant to the Grant Recipient under the Grant Agreement and (in addition) require
the Grant Recipient to repay the Authority the whole or any part of the amount of Grant previously paid to the Grant Recipient; or

 

		24.3.4	terminate the Grant Agreement.

 

		24.4	Where the Authority requires the Grant Recipient to repay any
amount, the Authority may recover that amount by withholding or deducting the amount from any sum due to the Grant Recipient from the
Authority under an offer of grant for any other projects or activities under any scheme or programme administered by the Authority.

 

		24.5	Where the Authority requires any or all of the Grant to be repaid
in accordance with paragraph 24.3.3, the Grant Recipient shall repay this amount no later than 30 days following the date of the demand
for repayment. If the Grant Recipient fails to repay the Grant within such period, the sum will be recoverable summarily as a civil debt.

 

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		24.6	Ordinary interest will be calculated from the date of the Grant
payment to the date of repayment at the rate of 8% above the base rate of the Bank of England but, if the Grant Recipient fails to make
the relevant repayment by the relevant deadline, further interest on the outstanding sum (inclusive of ordinary interest) will accrue
after that deadline, at the statutory rate of interest under section 6 of the Late Payment of Commercial Debts (Interest) Act 1998 or
any other rate required by law in the circumstances, if higher.

 

		24.7	The Authority must, prior to exercising any rights in paragraph
24.3, notify the Grant Recipient of the grounds concerned and, as far as possible, consider the Grant Recipient’s representations
(provided that the Grant Recipient makes such representations within any reasonable deadline required by the Authority).

 

Opportunity for the Grant Recipient to remedy an Event of Default

 

		24.8	If the Authority wishes to exercise any right under paragraph
24.3 in connection with an Event of Default which the Authority considers remediable:

 

		24.8.1	the Authority must provide reasonable notice to the Grant Recipient specifying particulars of the Event
of Default, how it must be resolved and the timescales for its resolutions; and

 

		24.8.2	following receipt of a notification under paragraph 24.8.1, the Grant Recipient must be given reasonable
opportunity to resolve the Event of Default before the Authority exercises the relevant right under paragraph 24.3.

 

		24.9	Where the Grant Recipient is provided with an opportunity to
submit a draft Remedial Action Plan in accordance with paragraph 24.8.2, the draft Remedial Action Plan must be submitted to the Authority
for approval, within five (5) Working Days of the Grant Recipient receiving notice from the Authority.

 

		24.10	The draft Remedial Action Plan must set out:

 

		24.10.1	full details of the Event of Default; and

 

		24.10.2	the steps which the Grant Recipient proposes to take to rectify
the Event of Default including timescales.

 

		24.11	On receipt of the draft Remedial Action Plan and as soon as
reasonably practicable, the Authority must submit its comments on the draft Remedial Action Plan to the Grant Recipient.

 

		24.12	The Authority may accept or reject the draft Remedial Action
Plan. If the Authority rejects the draft Remedial Action Plan, the Authority must confirm, in writing, the reasons why they have rejected
the draft Remedial Action Plan and must confirm whether the Grant Recipient is required to submit an amended Remedial Action Plan to
the Authority.

 

		24.13	If the Authority directs the Grant Recipient to submit an amended
draft Remedial Action Plan, the Parties must agree a timescale for the Grant Recipient to amend the draft Remedial Action Plan to take
into account the Authority’s comments.

 

		24.14	If the Authority wishes to exercise any right under paragraph
24.3 in connection with an Event of Default that it considers to be irremediable, or if a remediable Event of Default has not been resolved
after the Grant Recipient has been given reasonable opportunity under paragraph 24.8.2, the Authority may immediately exercise the relevant
right under paragraph 24.3.

 

    21

     

    

 

General Termination Rights – Termination for Convenience

 

		24.15	Notwithstanding the Authority’s right to terminate the
Grant Agreement pursuant to paragraph 24.3.4 , either Party may terminate the Grant Agreement at any time by giving at least twenty eight
(28) days’ written notice to the other Party.

 

		24.16	If this Grant Funding Agreement is terminated pursuant to paragraph
24.15, the Authority must pay to the Grant Recipient a reasonable amount in respect of the activities properly carried out by the Grant
Recipient prior to the date of termination where payment has not already been made by the Authority including, without limitation, amounts
properly due and owing to the Grant Recipient under this Grant Funding Agreement and/or any other parties engaged by the Grant Recipient
in respect of which the Grant Recipient has, prior to the date of termination necessarily, properly and irrevocably entered into a commitment
to make payment for goods or services relating to the Funded Activities (whether or not such amounts have already been paid by the Grant
Recipient).

 

Consequences of Termination

 

		24.17	If the Authority terminates the Grant Agreement in accordance
with paragraph 24.3.4 or 24.15 the Grant Recipient must return any Unspent Monies to the Authority within 30 days of the date of the
Authority's termination notice, save where the Authority gives written consent to their retention.

 

		24.18	In the event of termination or expiry of this Grant Agreement,
the Authority will not be liable to pay any of the Grant Recipient’s costs or those of any contractor/supplier of the Grant Recipient
related to any transfer or termination of employment of any employees engaged in the provision of the Funded Activities.

 

		24.19	The Grant Recipient must, on the Authority's request, promptly
prepare a written exit plan to provide for the cessation or seamless transfer of the Funded Activities following expiry or termination
of this Grant Agreement.

 

		25.	DISPUTE RESOLUTION

 

		25.1	The Parties must use all reasonable endeavours to resolve in
good faith any dispute that arises during the term of the Grant Agreement.

 

		25.2	All disputes and complaints (except for those which relate to
the Authority’s right to withhold funds or terminate the Grant Agreement) must be referred in the first instance to the Grant Manager
and the Project Representative.

 

		25.3	If the dispute cannot be resolved between the Parties’
Representatives within a maximum of ten (10) Working Days, then the matter must be escalated to formal meeting between the Authority’s
nominated representative and the Grant Recipient’s chief executive (or equivalent).

 

    22

     

    

 

		26.	LIMITATION OF LIABILITY

 

		26.1	The Authority accepts no liability for any consequences or Losses,
whether arising directly or indirectly, that may arise in connection with:

 

		26.1.1	the Grant Recipient running the Funded Activities;

 

		26.1.2	the use of the Grant by any person;

 

		26.1.3	any reduction, suspension, withdrawal or request for repayment
of the Grant; or

 

		26.1.4	termination of this Grant Agreement for any reason.

 

		26.2	The Grant Recipient must indemnify and hold harmless the Authority
and its Representatives with respect to all actions, claims, charges, demands, Losses and/or proceedings arising from or incurred by
reason of the actions or omissions of the Grant Recipient in relation to the Funded Activities, the non-fulfilment of obligations of
the Grant Recipient under this Grant Agreement or its obligations to Third Parties.

 

		26.3	Save in respect of any liabilities that cannot be lawfully limited,
the Authority's liability to the Grant Recipient under this Grant Agreement is limited to the obligation to make payment of the Grant
Funding when due and payable in accordance with this Grant Agreement.

 

		27.	CODE OF CONDUCT FOR GRANT RECIPIENTS

 

The Grant Recipient agrees to comply with
the Code of Conduct and ensure that its Representatives undertake their duties in a manner consistent with the principles set out in
the Code of Conduct. The Grant Recipient must immediately notify the Authority if it becomes aware of any actual or suspected
breaches of the principles outline in the Code of Conduct.

 

		28.	VARIATIONS

 

		28.1	Save in respect of changes made under paragraph 3.4, 8.2.2 or
24.3.2 any variation to this Grant Agreement is only valid if it is in writing and signed by authorised representatives of both Parties.
The Authority reserves the right to require the Grant Recipient to comply with such additional conditions as the Authority may require
in its sole discretion before agreeing to a variation.

 

		28.2	This Grant Funding Agreement is the entire agreement relating
to the Grant and supersedes any previous correspondence and understandings between the Parties. However, this does not exclude the liability
of either Party in respect of any previous fraud or fraudulent misrepresentation.

 

		29.	NOTICES

 

		29.1	All notices and other communications in relation to this Grant
Agreement must be in writing and must be deemed to have been duly given if personally delivered, e-mailed, or mailed (first class postage
prepaid) to the address of the relevant party as stated in the Grant Funding Letter. All notices and other communications must be marked
for the attention of the Grant Manager (for the Authority) and the Project Representative (for the Recipient).

 

		29.2	If personally delivered or if e-mailed all such communications
are deemed to have been given when received (except that if received on a non-working day or after 5.00 pm on any Working Day they are
deemed received on the next Working Day) and if mailed all such communications are deemed to have been given and received on the second
Working Day following such mailing.

 

    23

     

    

 

		29.3	All correspondence from the Grant Recipient concerning this
Grant Funding Agreement must be sent to the Monitoring Officer and referenced with the Project Name and Reference Number above.

 

		30.	ENVIRONMENTAL REQUIREMENTS

 

		30.1	The Grant Recipient must perform the Funded Activities in accordance
with the Authority’s environmental policy, which is to conserve energy, water, wood, paper and other resources; reduce waste; phase
out the use of ozone depleting substances; and minimise the release of greenhouse gases, volatile organic compounds and other substances
damaging to health and the environment.

 

		30.2	The Grant Recipient must pay due regard to the use of recycled
products, so long as they are not detrimental to the provision of the Funded Activities or the environment, including the use of all
packaging, which must be capable of recovery for re-use or recycling.

 

		30.3	The Grant Recipient must take all possible precautions to ensure
that any equipment and materials used in the provision of the Funded Activities do not contain chlorofluorocarbons, halons or any other
damaging substances, unless unavoidable, in which case the Authority shall be notified in advance of their use. The Grant Recipient must
endeavour to reduce fuel emissions wherever possible.

 

		31.	MISCELLANEOUS

 

		31.1	The Grant Recipient may not assign or otherwise transfer to
any other person the benefit of the Grant or any other benefit arising by virtue of this Grant Funding Agreement without the approval
in writing of the Authority. It is a condition of the Grant that the Funded Activities are substantially carried out by the Grant Recipient
or by the persons specified in the Project.

 

		31.2	The Authority may at any time assign or otherwise transfer to
any other person the benefit of the Grant or any other benefit arising by virtue of this Grant Funding Agreement.

 

		31.3	Any failure by the Authority to exercise its rights under this
Grant Funding Agreement, or any delay in doing so, does not constitute a waiver of those rights unless the Authority confirms such waiver
in writing. Furthermore, any such waiver does not constitute a precedent for any other, or subsequent, circumstances.

 

		31.4	Nothing in this Grant Funding Agreement creates a relationship
of employment, agency, partnership, or a joint venture between the Parties. Accordingly, the Grant Recipient must not hold itself out
as having any such relationship with the Authority.

 

		32.	GOVERNING LAW

 

This Grant Agreement is governed by and construed
in accordance with the law of England and Wales and the Parties irrevocably submit to the exclusive jurisdiction of the courts of England
and Wales.

 

    24

     

    

 

Signed on behalf of Secretary of State for Transport:

 

/s/ Vicky Edmonds

	Name:	Vicky Edmonds and Debbie Stockwell
	Department/Position:	Programme SROs
	Address:	Great Minister House,33 Horseferry Road, London. SW1P 4DR

E-mail: [***]

 

Date: 12/12/2022

 

Signed on behalf of Lanzatech UK Limited:

 

/s/ Jennifer Holmgren

Name: Dr. Jennifer Holmgren

Department/Position: CEO

Address: c/o TMF Group, 8th Floor, 20 Farringdon Street,
London, EC4A 3AB

E-mail: [***]

 

Date: December 12, 2022

 

    25

     

    

 

ANNEX 1
 

THE PROJECT

 

[***]

 

    26

     

    

 

ANNEX 2

 

PART A - THE FUNDED ACTIVITIES

 

		1.	Background/purpose
                                            of the Grant

 

[***]

 

    27

     

    

 

		2.	Aims and objectives
                                            of the Funded Activities

 

[***]

 

		2.2	Permitting process for both
                                            the GF and ATJ plants:

 

[***]

 

    28

     

    

 

		3.	Funded Activities

 

[***]

 

    29

     

    

 

ANNEX 2

PART B – ELIGIBLE EXPENDITURE

 

Guidance
Document Version:

 

 

 

Eligible Expenditure

 

		·	Technical
                                            reviews, in-depth research and feasibility studies.

		·	Strategy
                                            work and option appraisals.

		·	Plant
                                            site identification and review.

		·	Permitting
                                            and planning application work.

		·	Feedstock
                                            availability assessments.

		·	Economic
                                            assessments (including detailed revenue and cost modelling).

		·	Process
                                            Flow Diagram (PFD) and Process and Instrumentation Diagrams (P&IDs) development up to
                                            Approved for Construction revision.

		·	Hazard
                                            and Operability (HAZOP) and Hazard Identification (HAZID) Workshop.

		·	Process
                                            and Mechanical specifications and data sheets.

		·	Safety,
                                            Mechanical, Civil, Structural, Architecture, Electrical, Instrument’s lists, drawings
                                            and studies.

		·	Plant
                                            layout design and plant modelling work.

		·	Material
                                            Take Off (MTO).

		·	Developing
                                            detailed GHG emissions projections for plants.

		·	Developing
                                            detailed project execution plans, risk assessments, and detailed budgets.

		·	Tendering,
                                            bidding, visiting vendor and subcontractor’s site.

		·	Procurement
                                            of main equipment for the project. The equipment eligible for grant support is the conversion
                                            and fuel upgrading technology, any onsite feedstock preprocessing equipment, CO2 capture
                                            equipment.

		·	Own
                                            labour costs, including agreed overheads and project management cost, but not profit. These
                                            costs should be directly linked to the design, and evaluation of the equipment contained
                                            in the project and auditable as such. In this context “own costs” include applicant’s
                                            own costs and eligible costs incurred by consortium members and eligible costs incurred by
                                            companies connected to any of these

		·	Hosting
                                            meetings with potential consortia members.

		·	Formalising
                                            a consortium or partnership arrangement.

		·	Hosting
                                            meetings between applicant consortia and others necessary to further the development of the
                                            project.

		·	Securing
                                            private sector funding.

		·	Addressing
                                            legal issues.

 

    30

     

    

 

Ineligible Expenditure

 

		·	Any
                                            costs incurred before a grant offer letter has been signed with the Authority.

		·	Any
                                            cost incurred for construction or installation of the plant. This includes own or subcontractor
                                            labour, overhead and operating costs.

		·	Any
                                            cost incurred in commissioning, start up, operations and maintenance.

		·	Any
                                            bulk material costs including pipework.

		·	Any
                                            building works.

		·	Purchase
                                            or lease cost of any land on which the project is built.

		·	Input
                                            VAT (except where it cannot be reclaimed by grantees).

		·	Interest
                                            charges, bad debts.

		·	Hire
                                            purchase interest and any associated service charges.

		·	Loan
                                            repayments.

		·	Mark
                                            up and profits.

		·	Profit
                                            earned by a subsidiary or by an associate undertaking work sub-contracted under the project.

		·	Notional
                                            costs (e.g. opportunity costs).

		·	Audit
                                            fee for certification of claims by an independent accountant.

		·	Grants
                                            that contribute directly to a company’s distributed profits.

		·	Endowments.

		·	Funds
                                            to build up a reserve or surplus.

		·	Retrospective
                                            funding.

		·	Any
                                            costs that are already being funded by another grant source, or are to be funded by another
                                            grant source in the future.

		·	Advertising,
                                            marketing, sales activities, entertaining.

 

    31

     

    

 

ANNEX 3

 

PAYMENT MILESTONES

 

		1.	The Grant Recipient must submit the information
                                            and evidence required in Payment Milestones and ensure that it is received on or by the relevant
                                            deadline specified. Where the Grant Recipient becomes aware of delays, the Monitoring Officer
                                            and the Authority must be notified immediately.

 

		2.	The reasonable assurance report must be a report
                                            issued to the Grant Recipient by an identified and independent reporting accountant, in which
                                            that accountant:

 

		2.1	confirms that the Grant Recipient has provided
                                            it with the grant offer letter, and the information and evidence relied on in support of
                                            the Grant Recipient’s claim for a grant payment; and

 

		2.2	concludes that, in its opinion, the Grant
                                            Recipient has complied, in all material aspects, with the terms and conditions of the Grant.

 

    32

     

    

 

ANNEX 4

 

REQUEST FOR FUNDS

 

[Note: To be copied onto the Grant Recipient’s
official letter heading, completed and signed before being submitted.]

 

REQUEST FOR FUNDS

 

	Name of organisation	 
	Country	 
	Project
    Title	 
	Reference
    Number	 
	Period
    covered by the Statement of Expenditure	[dd/mm/yyyy]	to	[dd/mm/yyyy]
	Period
    covered by the Forecast of Expenditure	[dd/mm/yyyy]	to	[dd/mm/yyyy]
	 
	1.    Expenditure
    from previous claim	 
	2.    Expenditure
    for total Project to date	 
	3.    Total
    value of previous claims to date	 
	4.    Payment
    requested	 
	5.    Match
                                            Funding applied for 

                                                                                                            Provide
                                            details of what third party funding has been applied for, specifically:

    ·    the
    source of the funding

    ·    the
    purpose of the application

    ·    the
    amount of funding applied for

    ·    the
    status of the application

     the extent to which the
    application duplicates the Grant
	 
	6.    Match
    Funding received	 
	7.    Match
    Funding payment date	 

 

“I certify that:

 

		(a)	any expenditure shown above and detailed
                                            in the below statement of expenditure has been necessarily and properly expended in accordance
                                            with the terms and conditions of the accountable grant arrangement for the period to {INSERT
                                            DATE};

 

		(b)	I am not aware that any change has occurred
                                            which may significantly impair the delivery of the Project nor am I aware that any of the
                                            Events of Default set out in Annex 5 of the Grant Funding Agreement have occurred. In particular, I
                                            have no reason to believe that progress towards completion of the Project is unsatisfactory
                                            or that the Project may no longer meet the objectives of the Scheme; and

 

		(c)	the warranties set out in paragraph
                                            7.1 and 7.2 of the Grant Funding Agreement remain true and accurate.”

 

[Signature of authorised certified officer e.g. Finance Officer]

 

[Printed name and title]

 

[Date]

 

 

    33

     

    

ANNEX 4

 

APPENDIX – STATEMENT OF EXPENDITURE

 

	1.       Annex
                                            3

    Provide the name of the relevant
    Annex 2 document version and date of approval.
	 
	2.       Milestones
                                            Payment Milestones completed

    Provide here the Payment Milestones
    completed as set out in Annex 2.
	 
	3.       Evidence
                                            provided

    Provide here a description of
    the corresponding evidence provided as set out in Annex 2.
	 
	4.       Value
                                            of milestones

    Provide here the relevant cost
    figure attributed to the above milestones as set out in Annex 2.
	 
	5.       Alignment
                                            of Payment Milestones

    Please detail
    whether the claim amount and date align with Annex 2 (latest approved milestone payment schedule). If not, please give justification
    for any variation from Annex 2 milestone completion schedule.

     

    Please note that claim variations
    of +or – 10% may trigger a requirement for an amendment to the Annex 2 document. Annex 2 amends require Monitoring Officer
    and Authority approval before any claims can be approved for processing and may delay claim payment.
	

 

    34

     

    

 

ANNEX 5

 

EVENTS OF DEFAULT

 

Grounds relating to performance

 

Non-compliance with requirements

 

		1.	A material failure to comply with a term or
                                            condition of this Grant Funding Agreement, in particular, but without limitation, in cases
                                            where the Grant Recipient fails to:

 

		1.1	properly incur some or all of the Eligible
                                            Expenditure (or the Authority has reasonable grounds to consider that the Eligible Expenditure
                                            has not been properly incurred or that the Grant Recipient has not paid for any relevant
                                            goods or services);

 

		1.2	complete the Funded Activities
                                            within the required timescale;

 

		1.3	comply with any deadline
                                            required to be met;

 

		1.4	provide any information
                                            or evidence required set out in paragraph 4, 9, 10, 18, 24

 

		1.5	comply with the Special
                                            Conditions; or

 

		1.6	comply with any of the conditions
                                            set out in paragraph 7, 9, 14, 15, 11, 12, 27

 

		2.	The Grant Recipient uses the Grant for a purpose other than the Funded
                                            Activities.

 

		3.	The Grant Recipient uses the Grant for Ineligible Expenditure.

 

		4.	The Grant Recipient breaches any of the warranties set out in paragraph
                                            7.1 and 7.2. 

 

Jeopardy and unsatisfactory
progress

 

		5.	The Authority has reasonable grounds to consider that:

 

		5.1	progress towards completion
                                            of the Funded Activities is unsatisfactory; or

 

		5.2	the future of the Funded
                                            Activities is in jeopardy.

 

		5.3	the Grant Recipient fails
                                            to:

 

		5.3.1	submit an adequate Remedial Action
                                            Plan to the Authority in accordance with the process set out in paragraph 24.9 to 24.13;
                                            or

 

		5.3.2	improve delivery of the Funded Activities
                                            in accordance with the Remedial Action Plan approved by the Authority.

 

Unsatisfactory report

 

		6.	A report or opinion from a reporting accountant,
                                            the Monitoring Officer, or from any other expert, is unsatisfactory because it contains an
                                            adverse opinion, a qualified opinion or a disclaimer of opinion, to which the Grant Recipient
                                            has not (in the reasonable opinion of the Authority) responded to appropriately.

 

    35

     

    

 

Match Funding

 

		7.	The Grant Recipient fails to declare any Match
                                            Funding or the Authority does not agree to the use of such Match Funding in accordance with
                                            paragraph 4.4.

 

Duplicate Funding

 

		8.	The Grant Recipient fails to declare Duplicate Funding. 

 

Recovery of sums due
under other agreements etc.

 

		9.	A sum is recoverable from, or repayable by,
                                            the Grant Recipient under any other agreement or arrangement with the Authority, or with
                                            another government department.

 

Material changes

 

Changes to the Funded Activities

 

		10.	There is a change to the Funded Activities which the Authority:

 

		10.1	reasonably considers to
                                            be material; and

 

		10.2	has not agreed with the
                                            Recipient in writing.

 

Changes to the Grant Recipient’s business

 

		11.	There has been a change to the Grant Recipient’s
                                            business, which the Authority reasonably considers makes (or would have made) a material
                                            difference to:

 

		11.1	the Grant Recipient’s
                                            eligibility for the Grant; or

 

		11.2	the conditions on which
                                            it is appropriate to award the Grant.

 

Cessation of business, insolvency and winding
up etc.

 

Cessation of business

 

		12.	The Grant Recipient ceases or suspends
the carrying on of its business or a material part of it.

 

Insolvency and bankruptcy etc.

 

		13.	The Grant Recipient is a company (or other
                                            body corporate) and any of the following events occurs:

 

		13.1	a proposal is made for a voluntary arrangement
                                            within Part I of the Insolvency Act 1986, an arrangement or reconstruction under Part 26
                                            of the Companies Act 2006 or any other composition scheme or arrangement with, or assignment
                                            for the benefit of the company’s creditors;

 

		13.2	a shareholders’ meeting is convened
                                            for the purpose of considering a resolution that the company is wound up or a resolution
                                            for its winding-up is passed (other than as part of, and exclusively for the purpose of,
                                            a bona fide reconstruction or amalgamation);

 

		13.3	a petition is presented for the winding up
                                            of the company (which is not dismissed within 14 days of its service) or an application is
                                            made for the appointment of a provisional liquidator or a creditors’ meeting is convened
                                            pursuant to section 98 of the Insolvency Act 1986;

 

		13.4	a receiver, administrative receiver or similar
                                            officer is appointed over the whole or any part of the Grant Recipient’s business or
                                            assets;

 

    36

     

    

 

		13.5	an application order is made either for the
                                            appointment of an administrator or for an administration order, an administrator is appointed,
                                            or notice of intention to appoint an administrator is given;

 

		13.6	the Grant Recipient is or becomes unable
                                            to pay its debts within the meaning of section 123 of the Insolvency Act 1986;

 

		13.7	being a company subject to the small companies
                                            regime under section 381 of the Companies Act 2006, a moratorium comes into force pursuant
                                            to Schedule A1 of the Insolvency Act 1986; or

 

		13.8	any other event occurs, in any jurisdiction
                                            to which the Grant Recipient is subject, which is similar to those listed in paragraph 14.1
                                            to 14.7 of this Annex 5.

 

		14.	The Grant Recipient is a partnership and/or
                                            consortium, and any of the events referred to in paragraph 14 of this Annex 5 occur in relation
                                            to any partner and/or member of the consortium.

 

Probity etc.

 

The Grant Recipient’s application and
correspondence

 

		15.	The Authority has reasonable grounds to consider
                                            that any of the information and evidence provided by the Grant Recipient, or in subsequent
                                            correspondence (in particular any Request for Funds, the reports set out in paragraph 9.2
                                            or other correspondence material to the payment of the grant), has not been, in any material
                                            respect:

 

		15.1	complete and accurate;
                                            or

 

		15.2	supplied honestly and in
                                            good faith.

 

		16.	The Grant Recipient receives funding from
                                            a Third Party which, in the opinion of the Authority, undertakes activities that are likely
                                            to bring the reputation of the Funded Activities or the Authority into disrepute.

 

		17.	The Grant Recipient commits or has committed
                                            a Prohibited Act or fails to report a Prohibited Act to the Authority, whether committed
                                            by the Grant Recipient, its Representatives or a Third Party, as soon as they become aware
                                            of it.

 

		18.	The Authority determines, acting reasonably,
                                            that the Grant Recipient or any of its Representatives has:

 

		18.1	acted dishonestly or negligently at any time
                                            during the term of the Grant Funding Agreement and to the detriment of the Authority;

 

		18.2	taken any actions which unfairly bring or
                                            are likely to unfairly bring the Authority’s name or reputation and/or the Authority
                                            into disrepute. Actions include omissions in this context;

 

		18.3	transferred, assigns or
                                            novates the Grant to any Third Party without the Authority’s consent; or

 

		18.4	failed to act in accordance with the Law;
                                            howsoever arising, including incurring expenditure on unlawful activities.

 

Misuse of Grant

 

		19.	The Authority has reasonable grounds to consider that:

 

		19.1	the Grant Recipient has
                                            misused the Grant or any instalment of it; or

 

		19.2	there is a serious risk
                                            that the Grant Recipient will do so.

 

Criminal convictions and proceedings

 

		20.	The Authority becomes aware that the Grant
                                            Recipient, or a connected person referred to in regulation 23(1) of the Public Contracts
                                            Regulations 2006 has been convicted of:

 

    37

     

    

 

		20.1	any offence referred to
                                            in that regulation;

 

		20.2	any other criminal offence
                                            relating to the conduct of the Grant Recipient’s business; or

 

		20.3	failure to fulfil obligations relating to
                                            the payment of taxes; or any equivalent offence in another jurisdiction to which the Grant
                                            Recipient is subject.

 

Subsidy Control Rules

 

		21.	Any or all of the Grant is considered to be
                                            an unlawful subsidy under Subsidy Control Rules and an order for its repayment is made
                                            by any body or court which has the power to make such order;

 

Change of Control

 

		22.	The Grant Recipient undergoes a Change of
                                            Control which the Authority, acting reasonably, considers:

 

		22.1	will be materially detrimental
                                            to the Funded Activities;

 

		22.2	the new body corporate cannot continue to
                                            receive the Grant because they do not meet the Eligibility Criteria;

 

		22.3	the Authority believes
                                            that the Change of Control would raise national security concerns; or

 

		22.4	the new body corporate intends to make fundamental
                                            change(s) to the purpose for which the Grant was given.

 

    38

     

    

 

ANNEX 6

 

CONTACT DETAILS

 

The main departmental contact in connection with the Grant is:

 

	Name
    of contact	[***]
	Position
    in organisation	[***]
	Email
    address	[***]
	Telephone
    number	[***]
	Postal
    address	[***]

 

This information is correct at the date of the
Grant Funding Agreement. The Authority must send the Grant Recipient a revised contact sheet if any of the details change.

 

The Grant Recipient’s main contact in connection with the Grant
Funding Agreement is:

 

	Reference	[***]
	Organisation	[***]
	Name
    of contact	[***]
	Position
    in organisation	[***]
	Email
    address	[***]
	Telephone
    number	[***]
	Postal
    address	[***]

 

Please inform the Authority if the Grant Recipient’s main contact
changes.

 

    39

     

    

 

ANNEX 7

 

SPECIAL CONDITIONS

 

[***]

 

    40

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