Document:

Exhibit 10.9

 

JOFF Fintech Acquisition Corp.

1345 Avenue of the Americas

New York, NY 10105

 

January 17, 2021

Via Electronic Mail

 

Mr. Fraz Ahmed

Principal

MFA Growth, LLC

2726 Bissonnet Street, #202-406

Houston, Texas 77005

 

		Re:	Independent Contractor Agreement

 

Dear Mr. Ahmed:

 

This letter agreement
(this “Agreement”) sets forth the terms and conditions whereby MFA Growth, LLC (“MFA” or
“Consultant”) agrees to provide certain services (as described below) to JOFF Fintech Acquisition Corp. (the
“Company”). This Agreement further sets forth your agreement to abide by, in your individual capacity, the
terms set forth in §§ 3.2, 3.3, 3.4, 3.5, 5, 7, 8, and 9 of this Agreement and, in those sections, the term “you”
refers to you in your individual capacity.

 

1. SERVICES.

 

1.1 The
Company hereby engages Consultant effective [insert date], and Consultant hereby accepts such engagement, as an
independent contractor, on a non-exclusive basis, to perform such consulting services as requested by the Company from time to
time (collectively the “Services”). Consultant shall require you, Fraz Ahmed, to devote the majority of your
professional time to providing the Services. Nothing herein shall prohibit the Company from engaging other persons or entities
to perform the same or similar services.

 

1.2 You
will have the title of Senior Vice President, Corporate and Business Development. Consultant’s services will entail researching
appropriate potential business combination partners for the Company, supervising and performing due diligence on such business
combination partners, and assisting with the negotiation and closing of a business combination transaction in coordination with,
and with direction from, the Company’s senior management.

 

1.3 The
Company shall not control the manner or means by which Consultant performs the Services, including, but not limited to, the time
and place Consultant performs the Services.

 

     

     

    

MFA Growth,
LLC

January 17, 2021

Page 2

 

1.4 To
the extent Consultant performs any Services on the Company’s premises or using the Company’s equipment, Consultant’s
personnel shall comply with all applicable policies of the Company.

 

2. TERM/AT-WILL
RELATIONSHIP. The term of this Agreement shall commence on January __, 2021, and terminate upon the earlier of: (a)
termination of this engagement at will in accordance with the terms of this Agreement; or (b) the consummation of a business combination;
or (c) the expiration of the time in which the Company may enter into a business combination. This Agreement is “at-will,”
meaning that either party may terminate the engagement at any time, for any reason, or no reason, with 15 days prior written notice
to the other party. The period of time during which Company engages Consultant shall be referred to as “Term.”

 

3. FEES,
BONUS, AND EXPENSES.

 

3.1 To
the extent any services are provided to the Company prior to the effective date of this Agreement, the Company shall pay a signing
bonus to Consultant in the amount of $6,000 for each full calendar month of such services. As full compensation for the Services
during the Term, on behalf of the Company, or any of its officers, directors, shareholders, or employees, the Company shall pay
a monthly fee of $6,000.00 (Six Thousand Dollars) (the “Fees”), on the last day of the calendar month in which
the Services are provided. If the Services end before the last day of a calendar month, the Fee for that month shall be pro-rated
based on the number of days of the calendar month that have passed before the end of the Term. In addition to the Fees, the Company
will pay Consultant a bonus in an amount determined by the Company’s board of directors, in its sole discretion, of at least
$150,000 (One Hundred Fifty Thousand Dollars), which may be increased by the board of directors, in its sole discretion, to $500,000
(Five Hundred Thousand Dollars), which bonus shall be payable upon the successful completion of the Company’s initial business
combination. Consultant agrees that, absent a written agreement signed by the Chief Executive Officer of the Company, Consultant
and you shall not be entitled to any remuneration of any kind, other than that expressly set forth in this Agreement, for any
work or services Consultant performs for, or information Consultant provides to, the Company or any of its agents, during the
Term, regardless of whether such work or services fall within this Agreement’s definition of “Services.”

 

3.2 You
and Consultant acknowledge that you have not been promised, and are not entitled to, a position as an employee, contractor, or
director, with the entity that results from any business combination into which the Company enters. Consultant and you agree that
no such promise shall be binding in the absence of a written agreement signed by the Company’s Chief Executive Officer.

 

3.3 Consultant
acknowledges that Consultant will receive an IRS Form 1099-MISC from the Company, and that Consultant shall be solely responsible
for all federal, state, and local taxes arising from any payments made to Consultant in connection with the Services and for any
compensation paid to you or any of Consultant’s personnel.

 

     

     

    

MFA Growth, LLC

January 17, 2021

Page 3

 

3.4 The
Company shall pay any reasonable travel or other reasonable costs or expenses incurred by Consultant in connection with the performance
of the Services. Consultant shall not book any air travel, or incur any expense in excess of $500, without consent of the Company’s
Chief Executive Officer.

 

4. RELATIONSHIP
OF THE PARTIES.

 

4.1 Consultant
is an independent contractor of the Company, and this Agreement shall not be construed to create any association, partnership,
joint venture, employee, or agency relationship between Consultant and the Company, or between you and the Company, for any purpose.

 

4.2 Without
limiting Section 4.1, neither you nor any of Consultant’s principals or agents will be eligible to participate in any vacation,
group medical or life insurance, disability, profit sharing or retirement benefits, or any other fringe benefits or benefit plans
offered by the Company to its employees, and the Company will not be responsible for withholding or paying any income, payroll,
Social Security, or other federal, state, or local taxes, making any insurance contributions, including for unemployment or disability,
or obtaining workers’ compensation insurance on behalf or Consultant or on behalf of you.

 

5.
CONFIDENTIALITY, NON-COMPETITION, AND NON-SOLICITATION.

 

5.1 Confidential
Information. During the Term, Consultant may receive confidential and proprietary information relating to the Company’s
business (the “Confidential Information”). Confidential Information will not, however, include information
which (i) is or becomes publicly available other than as a result of Consultant’s disclosure in violation of this Agreement,
(ii) is or becomes available to Consultant from a third party which, to Consultant’s actual knowledge is not bound by confidentiality
obligations to the Company with respect to such information, (iii) is known to Consultant prior to disclosure by or from the Company
or (iv) is or has been independently developed by Consultant without use of any Confidential Information. The Confidential Information
may include, but is not limited to, confidential and proprietary information regarding the Company’s business strategies,
financial information, internal organization, processes, methods, and know-how, as well as information of third parties as to
which the Company has an obligation of confidentiality. Consultant agrees that the Confidential Information is the sole, exclusive
and valuable property of the Company. Consultant also agrees not to use the Confidential Information other than to perform the
Services, and not to disclose the Confidential Information, in whole or in part, in any form, to any third party (other than as
reasonably necessary to perform the Services hereunder), either during or at any time after the Term. Consultant agrees any copies,
reproductions or other derivatives of the Confidential Information shall remain the property of the Company and upon the expiration
or termination of this Agreement for any reason, Consultant agrees to immediately cease using and to promptly destroy all whole
and partial copies, reproductions and any other derivatives of the Confidential Information provided to Consultant or otherwise
in Consultant’s possession or under Consultant’s control. This Section 5.1 and 5.2 shall survive for a period
of two years following the expiration or termination of this Agreement for any reason; following such period, the obligations
set forth in this Section 5.1 and 5.2 shall terminate.

 

     

     

    

MFA Growth,
LLC

January 17, 2021

Page 4

 

5.2 Non-Solicitation
of Employees. Consultant agrees and covenants not to directly or indirectly solicit, hire, recruit, attempt to hire
or recruit, or induce the termination of employment of any employee of the Company during the six (6) months, to run consecutively,
beginning at the end of the Term.

 

6. TERMINATION.

 

6.1 Consultant
or the Company may terminate this Agreement, with 15 days prior written notice to the other party to this Agreement.

 

6.2 Upon
expiration or termination of this Agreement for any reason, or at any other time upon the Company’s written request, Consultant
shall, within five calendar days, after such termination:

 

(a) deliver
to the Company all work product and all hardware or software provided for Consultant’s use by the Company;

 

(b) destroy
all tangible documents and materials (and any copies) containing, reflecting, incorporating, or based on the Confidential Information;

 

(c) permanently
erase all of the Confidential Information from Consultant’s computers and electronic devices;

 

(d) certify
in writing to the Company that Consultant has complied with the requirements of this clause;

 

(e) Notwithstanding
the foregoing, the Consultant may retain any Confidential Information (including any copies thereof and/or digital back-up files)
as it is legally required to retain in order to comply with applicable record retention law, rules, regulations, or orders, provided,
however, that the Consultant will maintain the confidentiality of all retained Confidential Information in accordance with
the terms of this Section 5 of this Agreement. 

 

7. OTHER
BUSINESS ACTIVITIES. Consultant and the Company agree that you may be engaged or employed in any other business, trade,
profession, or other activity which does not materially impair Consultant’s ability to provide the Services or place Consultant
or you in a conflict of interest with the Company.

 

8. INDEMNIFICATION.
 The Company shall indemnify, out of the assets of the Company only (including cash and the proceeds from liability insurance,
if any), and hold you harmless, to the fullest extent permitted by applicable law, from and in respect of all (a) reasonable fees,
judgments, fines, costs, and expenses (including reasonable attorneys’ fees) as they are incurred in connection with, relating
to or resulting from any claim, demand, action, suit or proceeding, and any appeal therefrom, relating to this Agreement, the
Services, or the activities of the Company, its properties, business, or affairs, including without limitation, consummating an
initial business combination on behalf of the Company or any other activities relating to Consultant’s responsibilities
to the Company and (b) losses or damages resulting from such claims, demands, actions, suits or proceedings, and any appeal therefrom,
including amounts paid in settlement or compromise (if recommended by attorneys for the Company) of any such claim, demand, action,
suit or proceeding, and any appeal therefrom,; provided, however, that this indemnity shall not extend to Consultant if Consultant
acted with willful misconduct or gross negligence, or with respect to any criminal action or proceeding  where Consultant’s
conduct was unlawful.

 

     

     

    

MFA Growth,
LLC

January 17, 2021

Page 5

 

9. WAIVER OF
TRUST. Consultant acknowledges that (a) you have read the prospectus of the Company and understand that the Company has established
the Trust Account referred to in the prospectus, in an amount of $300,000,000 (or $345,000,000 if the underwriters’ over-allotment
option is exercised in full) for the benefit of the Public Stockholders and that, except for a portion of the interest earned
on the amounts held in the Trust Account, the Company may disburse monies from the Trust Account only (i) to the Public Stockholders
in the event they elect to redeem shares of Common Stock contained in the Public Securities in connection with the consummation
of a Business Combination, (ii) to the Public Stockholders if the Company fails to consummate a Business Combination within the
time period set forth in the Charter Documents, or (iii) to the Company after or concurrently with the consummation of a Business
Combination. Consultant agrees that Consultant does not have any right, title, interest or claim of any kind in or to any monies
in the Trust Account (“Claim”) and waive any Claim Consultant or you may have in the future as a result of,
or arising out of, any negotiations, contracts or agreements with the Company and will not seek recourse against the Trust Account
for any reason whatsoever.

 

10. ASSIGNMENT.
Neither party shall assign any rights, or delegate or subcontract any obligations, under this Agreement without the other party’s
prior written consent. Any assignment in violation of the foregoing shall be deemed null and void. Subject to the limits on assignment
stated above, this Agreement will inure to the benefit of, be binding on, and be enforceable against each of the parties hereto
and their respective successors and assigns.

 

11. MISCELLANEOUS.

 

11.1 All
notices, requests, consents, claims, demands, waivers, and other communications hereunder (each, a “Notice”)
shall be in writing and addressed to the parties at the addresses set forth on the first page of this Agreement (or to such other
address that may be designated by the receiving party from time to time in accordance with this Section). All Notices shall be
delivered by personal delivery, nationally recognized overnight courier (with all fees prepaid), facsimile or email (with confirmation
of transmission). Except as otherwise provided in this Agreement, a Notice is effective only if (a) the receiving party has received
the Notice and (b) the party giving the Notice has complied with the requirements of this Section.

 

11.2 This
Agreement constitutes the sole and entire agreement of the parties to this Agreement with respect to the subject matter contained
herein, and supersedes all prior and contemporaneous understandings, agreements, representations, and warranties, both written
and oral, with respect to such subject matter. The provisions of this Agreement
are for the sole benefit of the parties hereto and their successors and permitted assigns, and they will not be construed as conferring
any rights to any third party (including any third party beneficiary rights). 

 

     

     

    

MFA Growth,
LLC

January 17, 2021

Page 6

 

11.3 This
Agreement may only be amended, modified, or supplemented by an agreement in writing signed by each party hereto.

 

11.4 This
Agreement and all related documents, and all matters arising out of or relating to this Agreement, whether sounding in contract,
tort, or statute, are governed by, and construed in accordance with, the laws of the State of New York (including its statutes
of limitations), without giving effect to principles of conflicts of laws. With respect to any disputes concerning this agreement
or Consultant’s engagement, the parties consent to the exclusive jurisdiction of the state and federal courts with jurisdiction
over New York County, New York. The parties waive any right to a trial by jury with respect to such disputes.

 

11.5 The
invalidity, illegality, or unenforceability of any term of this Agreement shall not affect any other term of this Agreement.

 

11.6 
This Agreement may be executed in multiple counterparts and by facsimile signature, each of which shall be deemed an original
and all of which together shall constitute one instrument.

 

11.7 Sections
5, 8, 9, 10, and 11 shall survive the termination of this Agreement.

 

11.8 By
his signature below, Fraz Ahmed agrees that: (a) he is personally bound by §§ 3.2, 3.3, 3.4, 3.5, 5, 7, 8 and 9 of this
Agreement; (b) that all references to “Consultant” in those sections shall also be considered to refer to him personally
and; (c) that the obligations of “Consultant” set forth in those sections of this Agreement shall also be considered
his personal obligations.

 

[Signature
Page Follows]

 

     

     

    

MFA Growth,
LLC

January 17, 2021

Page 7

 

If this letter accurately
sets forth our understanding, kindly execute the enclosed copy of this letter and return it to the undersigned.

 

	 	Very truly yours,
	 	 	 
	 	JOFF FINTECH ACQUISITION CORP.
	 	 	 
	 	By:	 
	 	 	Joel Leonoff
	 	 	Chief Executive Officer

 

ACCEPTED AND AGREED:

 

MFA GROWTH LLC

 

	BY:	 	 
	 	Fraz Ahmed, Principal	 

 

Dated: January ___, 2021

 

ACCEPTED AND AGREED

 

	BY:	 	 
	 	Fraz Ahmed, in his	 
	 	individual capacity, as to	 
	 	Sections 3.2, 3.3, 3.4, 3.5, 5, 7, 8,	 
	 	and 9 only.	 

 

Dated: January ___, 2021ex_222930.htm

EXHIBIT 10.1

THIRD AMENDMENT TO

SECOND AMENDED AND RESTATED LOAN AGREEMENT

 

THIS THIRD AMENDMENT TO SECOND AMENDED AND RESTATED LOAN AGREEMENT (this “Amendment”) is dated as of the 27th day of January, 2021, by and between Bank of America, N.A. (the “Bank”) and Hooker Furniture Corporation, a Virginia corporation, Bradington-Young, LLC, a Virginia limited liability company, Sam Moore Furniture LLC, a Virginia limited liability company, and Home Meridian Group, LLC, a Virginia limited liability company (collectively, the “Borrowers,” and individually, a “Borrower”).

 

The Borrowers and the Bank are parties to a Second Amended and Restated Loan Agreement dated as of September 29, 2017, as amended by a First Amendment to Second Amended and Restated Loan Agreement dated as of January 31, 2019, and a Second Amendment to Second Amended and Restated Loan Agreement dated as of November 4, 2020 (as so amended, the “Existing Loan Agreement”), and they now desire to amend certain provisions of the Existing Loan Agreement as provided herein.

 

Accordingly, for and in consideration of the premises and the mutual covenants contained herein, the receipt and sufficiency of which consideration are hereby mutually acknowledged, the Borrowers and the Bank hereby agree as follows:

 

1.     Capitalized Terms; Effective Date. Capitalized terms used in this Amendment which are not otherwise defined herein shall have the meanings assigned thereto in the Existing Loan Agreement, as amended by this Amendment (the Existing Loan Agreement, as amended by this Amendment, being hereinafter referred to as the “Loan Agreement”). Except as expressly provided to the contrary herein, all amendments to the Existing Loan Agreement set forth herein shall be effective as of the date of this Amendment.

 

2.     Amendments to Existing Loan Agreement. The following provisions of the Existing Loan Agreement are amended as follows:

 

2.1.     Line of Credit Amount. Section 1.1(a) of the Existing Loan Agreement is amended to read as follows:

 

“(a)     During the availability period described below, the Bank will continue to provide a line of credit to the Borrowers upon the terms and conditions set forth in this Agreement (“Facility No. 1”). The maximum amount of Facility No. 1 shall be $35,000,000 (the “Facility No. 1 Commitment”).”

 

2.2.     Availability Period and Method of Borrowing. The first sentence of Section 1.2(a) of the Existing Loan Agreement is amended to read as follows:

 

“Facility No. 1 is available between the date of this Agreement and February 1, 2026, or such earlier date as the availability may terminate as provided in this Agreement or such later date as the Bank may from time to time in its sole discretion designate in any “Extension Notice,” as defined hereafter (the “Facility No. 1 Expiration Date”).”

 

-1-

 

 

2.3.     Interest Rate on Facility No. 1. Section 1.4(a) of the Existing Loan Agreement is amended to read as follows:

 

“(a)     The outstanding principal amount of Facility No. 1 will bear interest at a rate per year equal to the LIBOR Rate (Adjusted Periodically) plus 1.00%.”

 

2.4.     Letter of Credit Fee. Section 1.5(d)(vi) of the Existing Loan Agreement is amended to read as follow:

 

“(vi)     To pay the Bank in connection with letters of credit, (i) a fee payable quarterly in arrears on the first day of each quarter, which fee shall equal the actual daily amount of the undrawn amounts of the letters of credit during the specified period times a per annum rate equal to 1.00% (calculated on the basis of a 360-day year for the actual number days elapsed) and (ii) the Bank’s then customary fees and charges in connection with all amendments, extensions, draws and other actions regarding letters of credit.”

 

2.5.     Increase to Facility No. 1 Commitment Amount. A new Section 1.6 is added to the Existing Loan Agreement to read as follow:

 

“1.6     Increase to Facility No. 1 Commitment. Provided that no Default or Event of Default (each as hereinafter defined) has occurred and is then continuing, upon written notice to the Bank, the Borrowers may, on a one-time basis, request an increase in the Facility No. 1 Commitment by an amount not to exceed $30,000,000 (the “Facility No. 1 Commitment Increase”). If the Bank, in its sole discretion, agrees to the Facility No. 1 Commitment Increase, the Bank shall notify the Borrowers of such decision and determine the effective date of the Facility No. 1 Commitment Increase. As conditions precedent to the effectiveness of the Facility No. 1 Commitment Increase, the Borrowers shall deliver to the Bank such documents, instruments, certificates and other documents as may be requested by the Bank.”

 

2.6.     Facility No. 2. Article 2 of the Existing Loan Agreement is amended and restated in its entirety to read as follows:

 

“2.     FACILITY NO. 2: [INTENTIONALLY OMITTED]”

 

2.7.     Facility No. 3. Article 3 of the Existing Loan Agreement is amended and restated in its entirety to read as follows:

 

“3.     FACILITY NO. 3: [INTENTIONALLY OMITTED]”

 

2.8.     Facility No. 4. Article 3.A of the Existing Loan Agreement is amended and restated in its entirety to read as follows:

 

“3.A     FACILITY NO. 4: [INTENTIONALLY OMITTED]”

 

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2.9.     Collateral for Facility No. 3. Article 4 of the Existing Loan Agreement is amended and restated in its entirety to read as follows:

 

“4     [INTENTIONALLY OMITTED]”

 

2.10.     Unused Commitment Fee. Section 5.1(d) of the Existing Loan Agreement is amended to read as follows:

 

“(d)     Unused Commitment Fee. The Borrowers shall pay a quarterly fee on any difference between the Facility No. 1 Commitment and the amount of credit it actually uses under Facility No. 1, determined by the actual daily amount of credit outstanding during the specified period. The fee will be equal to such difference multiplied by a percentage equal to 0.15%. This fee is due on the first day of each calendar quarter, with respect to the immediately preceding calendar quarter, and on the Facility No. 1 Expiration Date with respect to the period ending on that date.”

 

2.11.     Representations and Warranties. A new Section 8.16 is added to the Existing Loan Agreement to read as follows:

 

“8.16.     Beneficial Ownership Certification. The information included in the Beneficial Ownership Certification most recently provided to the Bank, if applicable, is true and correct in all respects.”

 

2.12.     Covenants. A new Section 9.24 is added to the Existing Loan Agreement to read as follows:

 

“9.24     Patriot Act; Beneficial Ownership Regulation. Promptly following any request therefor, to provide information and documentation reasonably requested by the Bank for purposes of compliance with applicable “know your customer” and anti-money-laundering rules and regulations, including, without limitation, the PATRIOT Act and the Beneficial Ownership Regulation.”

 

2.13.     Miscellaneous. A new Section 11.18 is added to the Existing Loan Agreement to read as follows:

 

“11.18     Acknowledgement Regarding Any Supported QFCs. To the extent that this Agreement and any other Loan Documents provide support, through a guarantee or otherwise, for any Swap Contract or any other agreement or instrument that is a QFC (such support, “QFC Credit Support”, and each such QFC, a “Supported QFC”), the parties acknowledge and agree as follows with respect to the resolution power of the Federal Deposit Insurance Corporation under the Federal Deposit Insurance Act and Title II of the Dodd-Frank Wall Street Reform and Consumer Protection Act (together with the regulations promulgated thereunder, the “U.S. Special Resolution Regimes”) in respect of such Supported QFC and QFC Credit Support (with the provisions below applicable notwithstanding that the Loan Documents and any Supported QFC may in fact be stated to be governed by the laws of the Governing Law State and/or of the United States or any other state of the United States):

 

-3-

 

 

	 	
			(a)

				
			In the event a Covered Entity that is party to a Supported QFC (each, a “Covered Party”) becomes subject to a proceeding under a U.S. Special Resolution Regime, the transfer of such Supported QFC and the benefit of such QFC Credit Support (and any interest and obligation in or under such Supported QFC and such QFC Credit Support, and any rights in property securing such Supported QFC or such QFC Credit Support) from such Covered Party will be effective to the same extent as the transfer would be effective under the U.S. Special Resolution Regime if the Supported QFC and such QFC Credit Support (and any such interest, obligation and rights in property) were governed by the laws of the United States or a state of the United States. In the event a Covered Party or a BHC Act Affiliate of a Covered Party becomes subject to a proceeding under a U.S. Special Resolution Regime, Default Rights under the Loan Documents that might otherwise apply to such Supported QFC or any QFC Credit Support that may be exercised against such Covered Party are permitted to be exercised to no greater extent than such Default Rights could be exercised under the U.S. Special Resolution Regime if the Supported QFC and the Loan Documents were governed by the laws of the United States or a state of the United States.

			

 

	 	
			(b)

				
			As used in this paragraph, the following terms have the following meanings:

			

 

“BHC Act Affiliate” of a party means an “affiliate” (as such term is defined under, and interpreted in accordance with, 12 U.S.C. 1841(k)) of such party.

 

“Covered Entity” means any of the following: (i) a “covered entity” as that term is defined in, and interpreted in accordance with, 12 C.F.R. § 252.82(b); (ii) a “covered bank” as that term is defined in, and interpreted in accordance with, 12 C.F.R. § 47.3(b); or (iii) a “covered FSI” as that term is defined in, and interpreted in accordance with, 12 C.F.R. § 382.2(b).

 

“Default Right” has the meaning assigned to that term in, and shall be interpreted in accordance with, 12 C.F.R. §§ 252.81, 47.2 or 382.1, as applicable.

 

“QFC” has the meaning assigned to the term “qualified financial contract” in, and shall be interpreted in accordance with, 12 U.S.C. 5390(c)(8)(D).

 

“Swap Contract” means (a) any and all rate swap transactions, basis swaps, credit derivative transactions, forward rate transactions, commodity swaps, commodity options, forward commodity contracts, equity or equity index swaps or options, bond or bond price or bond index swaps or options or forward bond or forward bond price or forward bond index transactions, interest rate options, forward foreign exchange transactions, cap transactions, floor transactions, collar transactions, currency swap transactions, cross-currency rate swap transactions, currency options, spot contracts, or any other similar transactions or any combination of any of the

 

-4-

 

 

foregoing (including any options to enter into any of the foregoing), whether or not any such transaction is governed by or subject to any master agreement, and (b) any and all transactions of any kind, and the related confirmations, which are subject to the terms and conditions of, or governed by, any form of master agreement published by the International Swaps and Derivatives Association, Inc., any International Foreign Exchange Master Agreement, or any other master agreement (any such master agreement, together with any related schedules, a “Master Agreement”), including any such obligations or liabilities under any Master Agreement.”

 

2.14.     New Defined Terms. The following new defined terms of “Beneficial Ownership Certification” and “Beneficial Ownership Certification” are added to the Schedule of Definitions set forth at the end of the Existing Loan Agreement to read as follows:

 

“Beneficial Ownership Certification” means a certification regarding beneficial ownership required by the Beneficial Ownership Regulation.

 

“Beneficial Ownership Regulation” means 31 C.F.R. § 1010.230.

 

3.     Representations and Warranties. The Borrowers hereby represent and warrant to the Bank that:

 

3.1.     The Borrowers are in compliance with all of the terms, covenants and conditions of the Existing Loan Agreement, and all of the terms, covenants and conditions of each of the other Loan Documents to which each is a party, and there exists no Default or Event of Default.

 

3.2.     After giving effect to this Amendment, the representations and warranties contained in Article 8 of the Loan Agreement are, except to the extent that they relate solely to an earlier date, true with the same effect as though such representations and warranties had been made on the date hereof.

 

3.3.     Each of the Borrowers has full organizational power and authority to execute and deliver this Amendment, to perform its obligations under the Loan Agreement and to incur the obligations provided for herein and therein, all of which have been duly authorized by all proper and necessary organizational action.

 

3.4.     This Amendment and the Loan Agreement constitute the valid and legally binding obligations of the Borrowers, enforceable in accordance with their respective terms, except as the enforceability hereof or thereof may be limited by bankruptcy, insolvency, or similar laws affecting creditors’ rights generally or by general principles of equity (regardless of whether such enforceability is considered in a proceeding at law or in equity).

 

3.5.     There are no actions, suits, proceedings or investigations pending or, so far as the officers, members or managers (as applicable) of any Borrower know, threatened before any court or administrative agency that, in the opinion of such officers, members or managers, would, if adversely determined, materially adversely affect (i) the financial condition or operations of the Borrowers, or (ii) the ability of the Borrowers to execute or deliver this Amendment or to carry out the terms of the Loan Agreement.

 

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4.     Conditions. The effectiveness of this Amendment is subject to the following conditions precedent:

 

4.1.     Amendment. The Borrowers and the Bank shall have executed and delivered one or more counterparts of this Amendment.

 

4.2.     Repayment of Term Loans. The Borrower shall have repaid Facility No. 2, Facility No. 3 and Facility No. 4 under the Existing Loan Agreement in full.

 

4.3.     KYC Information. Upon the request of the Bank, (a) the Borrowers shall have provided to the Bank, and the Bank shall be reasonably satisfied with, the documentation and other information so requested in connection with applicable “know your customer” and anti-money-laundering rules and regulations, including, without limitation, the PATRIOT Act, and (b) if any Borrower qualifies as a “legal entity customer” under the Beneficial Ownership Regulation, such Borrower shall have delivered a Beneficial Ownership Certification to the Bank.

 

4.4.     Other Conditions. The Bank shall have received any and all other certificates, statements, opinions and other documents required by the terms of this Amendment or otherwise requested by the Bank.

 

5.     No Other Amendments; Reaffirmation; No Novation; No Waiver; Reservation of Rights and Release. Except as expressly amended hereby, the terms of the Loan Agreement shall remain in full force and effect in all respects, and each Borrower hereby reaffirms its obligations under the Loan Agreement and under each of the other Loan Documents to which it is a party. Each Borrower acknowledges and agrees that (a) the execution and delivery of this Amendment and consummation of the transactions contemplated hereby do not reduce, discharge, release, impair or otherwise limit any of such Borrower’s obligations under the Loan Agreement or any of the other Loan Documents to which it is a party, (b) no Borrower has any offset, counterclaim or defense of any kind to its obligations, covenants or agreements under the Loan Agreement or any of the other Loan Documents to which it is a party, (c) nothing contained in this Amendment shall be deemed to constitute a waiver or release by the Bank of any Default or Event of Default that may now or hereafter exist under the Loan Agreement or any of the other Loan Documents, or of the Bank’s right to exercise any and all of its rights and remedies thereunder, all of which rights and remedies are hereby reserved by the Bank, and (d) nothing contained in this Amendment shall be construed to constitute a novation with respect to the indebtedness described in the Loan Agreement and the other Loan Documents. Each Borrower, for itself and for its successors and assigns, hereby releases and forever discharges the Bank and the Bank’s, respective predecessors, successors, assigns, officers, managers, directors, employees, agents, attorneys, representatives and affiliates (collectively, the “Bank Group”), from any and all presently existing claims, demands, damages, liabilities, actions and/or causes of action of any nature whatsoever, including, without limitation, all claims, demands and causes of action for contribution and indemnity, whether arising at law or in equity, whether known or unknown, whether liability be direct or indirect, liquidated or unliquidated, whether absolute or contingent, foreseen or unforeseen, and whether or not heretofore asserted, which any Borrower may have or claim to have against any of the Bank Group arising out of facts or events in any way related to the Loan Agreement, any of the other Loan Documents, or the transactions contemplated thereby or hereby that exist on the date hereof or arise from facts or actions occurring prior hereto or on the date hereof.

 

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6.     References. All references in the Loan Agreement to “this Agreement,” “herein,” “hereunder” or other words of similar import, and all references to the “Loan Agreement” or similar words in the other Loan Documents, or any other document or instrument that refers to the Loan Agreement, shall be deemed to be references to the Loan Agreement as amended by this Amendment.

 

7.     Expenses. The Borrowers hereby agree to pay all costs and expenses incurred by the Bank in connection with the preparation of this Amendment and the consummation of the transactions described herein, including, without limitation, the reasonable attorneys’ fees and expenses of the Bank.

 

8.     Applicable Law. This Amendment shall be construed in accordance with and governed by the laws of the Commonwealth of Virginia, without reference to conflicts of law principles.

 

9.     Counterparts; Electronic Delivery. This Amendment may be executed in any number of counterparts, each of which shall be an original, but all of which taken together shall constitute one and the same instrument. Delivery by any party to this Amendment of its signatures hereon through facsimile or other electronic image file (including .pdf) (i) may be relied upon as if this Amendment were physically delivered with an original hand-written signature of such party, and (ii) shall be binding on such party for all purposes.

 

10.     Successors. This Amendment shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns.

 

11.     FINAL AGREEMENT. BY SIGNING THIS AMENDMENT, EACH PARTY REPRESENTS AND AGREES THAT: (A) THIS AMENDMENT REPRESENTS THE FINAL AGREEMENT BETWEEN OR AMONG THE PARTIES WITH RESPECT TO THE SUBJECT MATTER HEREOF, (B) THIS AMENDMENT SUPERSEDES ANY COMMITMENT LETTER, TERM SHEET OR OTHER WRITTEN OUTLINE OF TERMS AND CONDITIONS RELATING TO THE SUBJECT MATTER HEREOF, UNLESS SUCH COMMITMENT LETTER, TERM SHEET OR OTHER WRITTEN OUTLINE OF TERMS AND CONDITIONS EXPRESSLY PROVIDES TO THE CONTRARY, (C) THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN OR AMONG THE PARTIES, AND (D) THIS AMENDMENT MAY NOT BE CONTRADICTED BY EVIDENCE OF ANY PRIOR, CONTEMPORANEOUS, OR SUBSEQUENT ORAL AGREEMENTS OR UNDERSTANDINGS OF THE PARTIES.

 

 

[Signatures begin on following page]

 

 

 

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IN WITNESS WHEREOF, the Borrowers and the Bank have caused this Amendment to be duly executed under seal, all as of the day and year first above written.

 

	
			Bank:

				
			Borrowers:

			
	
			 

			Bank of America, N.A.

			 

			 

			By: /s/Colleen Landau                          

			Name: Colleen Landau

			Title:   Senior Vice President

				
			 

			Hooker Furniture Corporation

			 

			 

			By: /s/Paul A. Huckfeldt   (Seal)

			Name: Paul A. Huckfeldt

			Title:   Chief Financial Officer

			 

			 

			Bradington-Young, LLC

			 

			 

			By: /s/Paul A. Huckfeldt   (Seal)

			Name: Paul A. Huckfeldt

			Title:   Chief Financial Officer

			 

			 

			Sam Moore Furniture LLC

			 

			 

			By: /s/Paul A. Huckfeldt   (Seal)

			Name: Paul A. Huckfeldt

			Title:   Chief Financial Officer

			 

			Home Meridian Group, LLC

			 

			 

			By: /s/Paul A. Huckfeldt   (Seal)

			Name: Paul A. Huckfeldt

			Title:   Chief Financial Officer

			

 

 

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