Document:

exv10w28

 

Exhibit 10.28

ENGAGEMENT AGREEMENT

— Business Appraisal Services—

     ENGAGEMENT AGREEMENT made and entered into the date set forth below by and between Business
Capital Corporation; an Iowa Corporation (“BCC”), and the undersigned Amaizing Energy Holding
Company, LLC, an Iowa limited liability company, (“Client”), for purposes of business appraisal
services

     WHEREAS, Client desires to engage BCC as an independent business appraiser to retain and have
the benefit of its experience in performing business valuations. Client desires BCC to complete a
fair market valuation of Client.

     WHEREAS, BCC desires to be so engaged by Client on the terms and conditions herein contained.

     NOW, THEREFORE, it is agreed as follows;

     1. APPRAISAL. Client hereby engages BCC as an independent business appraiser, and BCC hereby
accepts such engagement commencing, on the date hereof and continuing until termination as
hereinafter provided.

     2. DUTIES. During the term of this Agreement, BCC, through its employees, including but not
limited to Alan D. Ryerson, Gregory L. Weber and/or James. D. Nalley, shall complete a
fair market valuation analysis of Client (“Appraisal”) and present it in a Self-Contained Appraisal
Report (“Appraisal Report”) addressed to Client’s board of directors.

     3. SCOPE. In conducting the Appraisal, BCC shall follow the Uniform Standards of Professional
Appraisal Practice of the Appraisal Foundation and the American Society of Appraisers’ Business
Valuation Standards, Principles of Appraisal Practice and Code of Ethics. The Appraisal Report will
be subject to the conditions listed in the Statement of Contingent and Limiting Conditions,
attached hereto marked Exhibit “A” and incorporated herein. BCC shall base its Appraisal on
economic and market conditions as they exist on the Appraisal Date, as defined below, and shall
take into account the following engagement-specific information:

	 	a.	 	Client desires BCC to provide its conclusions as to the fair market
value of Client’s membership units as of March. 31, 2007 or such other
date as is mutually agreed upon, (“Appraisal Date”).
	 
	 	b.	 	Client’s purpose for the appraisal is to .assist in determining the
fair market value of the units for Client to raise equity capital ‘through
issuance of additional units.

     This Appraisal and related fee specifically do not include BCC providing or obtaining any real property or personal property appraisals. Such appraisals, if necessary to complete this
Appraisal, must be obtained, separately Client.

 

 

     4. COMPENSATION. In exchange for appraisal services performed as a result of this
Agreement, Client will pay BCC at the applicable hourly rate of the BCC personnel assigned to
prepare the Appraisal and Appraisal Report. As of the date of this Agreement, these rates range
from $95 to $245 per hour. In no event will Client be required to pay BCC an amount exceeding
Fifteen Thousand Dollars ($15,000) plus reimbursable expenses for the Appraisal and Appraisal
Report. A retainer of Seven Thousand Five Hundred Dollars ($7,500) is due, and payable upon the
execution of this Agreement. BCC will provide a progress billing with the preliminary draft of the
Appraisal Report, and the final balance of the fee plus reimbursable expenses is due upon the
delivery of the final Appraisal Report. BCC’s fee for the Appraisal and Appraisal Report is in no
way contingent on BCC’s estimated. value, of Client in the Appraisal Report.

     Client agrees to reimburse BCC for all reasonable out-of-pocket expenses incurred in preparing
the Appraisal Report, including but not limited to photocopies and postage, as well as travel
expenses, including meals, lodging and mileage, and any other travel-related expenses reasonably
incurred in preparing the Appraisal Report. Travel, if any will be billed at $.50 per mile.

Fees for additional services (such as expert testimony, depositions, etc.) will be billed at the
standard hourly rate of the BCC personnel assigned to the project. As of the date of this
Agreement, these rates range from $95 to $245 per hour.

BCC reserves unto itself the right to increase in hourly fees upon thirty (30) days’ notice to
Client.

     5. SERVICE CHARGE. Client acknowledges and understands that BCC can attach a service charge
equal to 1 1/2% per month (18% annually) on all balances past due 30 days from date of invoice.
Such service charge will accrue from the date of invoice, Client agrees to pay such
service charge.

     6. PROVISION OF INFORMATION. Client agrees to provide BCC complete and accurate information
including, but. not limited to, documentation of the Client’s assets, liabilities, income and
expenses, appraisals, projections and other data as BCC may reasonably request. The
.cost of providing such information, and documentation shall be borne solely
by .Client. Client shall make such executive personnel available as may be necessary to
provide relevant Client information to BCC. Client will indemnify and hold BCC, its individual
shareholders, officers, director and employees harmless from all liabilities, costs, and expenses
claimed by third parties related to the information provided by Client, as well as all expenses,
including but not limited to outside attorney fees, incurred by BCC in any action taken in good
faith in defending itself against third parties claiming such liabilities, costs or
expenses. In no event will BCC be liable for incidental or consequential damages, even if it had
been advised of the possibility of such damages.

     7. MODIFICATION OF CONTRACT. No waiver or modification of this Agreement or of any
covenant, condition, or limitation herein contained shall be valid unless in writing and duly
executed by each party. Waiver of one condition of this Agreement by a party

 

 

does not automatically waive any additional conditions or the same condition subsequent to the
initial waiver.

     8. LIMITATION OF LIABILITY. BCC’s sole and exclusive liability to Client shall be
limited to the amount paid to BCC as compensation. Client releases any and all claims against BCC,
its employees, agents or assigns for compensatory, consequential or exemplary damages for any
breach of this Agreement, act or omission, negligence or non-performance; except those resulting
from BCC’s gross negligence.

     9. TERMINATION. Client may terminate this Agreement at will upon written notice to BCC. BCC
may terminate this Agreement, upon written notice to Client, immediately upon the
occurrence of any of the following:

	 	a.	 	Non-payment of invoices;
	 
	 	b.	 	failure to provide accurate and timely information requested by BCC
pursuant to Section 6 hereof; or
	 
	 	b.	 	Information becoming known by BCC that would, in BCC’s sole discretion,
make it unlawful, unethical or inappropriate for BCC to continue preparing the
Appraisal Report.

     10. CONFIDENTIAL INFORMATION. BCC will treat as confidential any information disclosed to it
in the course of conducting the Appraisal or preparing the Appraisal Report.

     11. CONSENT. BCC acknowledges that Client intends to use the Appraisal Report to assist Client
in the determination of the Client’s value and the value of Client’s equity interests to be sold to
investors. BCC consents to the disclosure of the Appraisal Report and the nature of BCC’s services
to such investors and securities regulators, including the procedures employed and the factors
considered and such related disclosures as may be required by law.

     12. NOTICE. Any notice required or permitted hereunder shall be in writing and shall be
deemed given when personally delivered or when delivered by United States Mail or by email
addressed to the addresses set forth below:

	 	 	 
	Business Capital Corporation

	 	Amaizing Energy Holding Co., LLC
	Attn: Greg L. Weber

	 	Attn: Alan Jentz
	666 Walnut Street, Suite 1508

	 	PO Box 309
	Des Moines, IA 50309-3914

	 	Denison, IA 51442
	Email: greg@bccadvisers.com

	 	 Email: al@amzenergy.com

     13. SUCCESSORS. This Agreement shall inure to the benefit of and be binding upon the
parties hereto, their successors in interest, heirs and assigns.

     14. GOVERNING LAW. This Agreement shall be governed by and construed in accordance with the
laws of the State of Iowa.

 

 

     15. SURVIVAL. Sections 4, 5, 8 and 10 hereof shall survive any
expiration or termination of this Agreement.

     16. NO OUTSIDE AGREEMENT. This contract contains the complete agreement. concerning the
consulting arrangement between the parties and shall, as of the effective date hereof,
supersede all other agreements between, the parties.

EXECUTED this 24th day of April, 2007.

	 	 	 	 	 	 	 	 	 	 	 
	BCC:

	 	 	 	 	 	Client:	 	 	 	 
	Business

	 	Capital Corporation
	 	 	 	Amaizing Energy
	 	Holding Company, LLC	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	By:

	 	Greg L. Weber
	 	 	 	By:
	 	/s/ Alan H. Jentz	 	 
	 

	 	 
	 	 	 	 	 	 	 	 
	Gregory

	 	L. Weber, CPA/ABV, ASA
	 	 	 	 	 	     4-2-07	 	 
	 

	 	Vice President	 	 	 	 	 	 	 	 

 

 

EXHIBIT A

STATEMENT OF CONTINGENT AND LIMITING CONDITIONS

The appraisal will be made subject to the following general contingent and limiting conditions, a
copy of which will be attached to and incorporated into the final Appraisal Report:

	1.	 	We assume no responsibility for the legal description of property or matters including legal
or title considerations. Title to the subject assets, properties, or business interests is
assumed to be good and marketable unless otherwise stated.

2. The subject assets, properties, or business interests are appraised free and clear of
any and all liens or encumbrances unless otherwise stated.

	3.	 	We assume responsible ownership and competent management with respect, to the subject
assets, properties, or business interests.

	4.	 	The information furnished by Client and its professional advisors and that obtained
from independent sources is believed to be reliable. However, we issue no warranty or other
form of assurance regarding its accuracy.

	5.	 	We have compiled summary financial data and ratios that are contained in the report and
various exhibits. The data in these exhibits represent financial data extracted from Client’s
historical financial statements as well as other sources. We have not audited or reviewed this
financial data, and therefore do not express an opinion or any other form of assurance on it.
The financial summaries presented in the exhibits do not constitute a complete presentation of
Client’s financial statements in accordance with generally accepted accounting principles.

	6.	 	The forecasts of earnings or cash flows used in the analysis herein are solely to assist in
the development of the value conclusion presented in the Appraisal Report. These presentations
do not include all disclosures required by the guidelines established by the American
Institute of Certified Public Accountants for the presentation of a financial forecast. These
forecasts have been based upon identified assumptions. Some of these assumptions may not
materialize; and unanticipated events may occur; therefore, the actual results achieved may
vary from the forecasts and the variations may be substantial. Therefore, we express no
assurance on these forecasts.

	7.	 	We assume no hidden or unapparent conditions regarding the subject assets, properties, or
business interests.

	8.	 	We assume that there is full compliance with all applicable federal, state, and local
regulations and laws unless the lack of compliance is stated, defined, and considered in the
Appraisal Report.

	9.	 	We assume that all required licenses, certificates of occupancy; consents, or legislative

 

 

	 	 	or administrative authority from any local, state, or national government, or private entity
or organization have been or can be obtained or reviewed for any use on which the opinion
contained in this report is based.

	10.	 	Unless otherwise stated in this report, we did not observe, and we have no knowledge of, the
existence of hazardous materials with regard to the subject assets, properties, or business
interests. However, we are not qualified to detect such substances. We assume no
responsibility for such conditions or for any expertise required to .discover them.

	11.	 	Possession of this report does not carry with it the right of publication. It may not be used
for any purpose by any person other than the client to whom it is addressed without our
written consent and, in any event, only with proper written qualifications and. only in its
entirety.

	12.	 	We, by reason of this Appraisal, are not required to furnish a complete valuation report, or
to give testimony, or to be in attendance in court with reference to the assets, properties,
or business interests in question unless arrangements have ‘been previously made.

	13.	 	Neither all nor any part of the contents of this report shall be disseminated to the public
through advertising, public relations, news, sales; or other media without our prior written
consent and approval.

	14.	 	The analyses, opinions, and conclusions presented in this Appraisal Report apply to this
engagement only and may not be used out of the context presented herein. This Appraisal
Report is valid only for the effective date(s) specified herein and only for the purpose(s)
specified herein.exv10w29

 

Exhibit 10.29

PROJECT DEVELOPMENT AGREEMENT

     This Project Development Agreement (the “Agreement”) is made and entered into the 31
day of May, 2007 (the “Effective Date”), by and between AMAIZING ENERGY HOLDING COMPANY, LLC
(“Amaizing”), an Iowa limited liability company, and TH PARTNERS, LLC, a Minnesota limited
liability company (“Consultant”).

     WHEREAS, Amaizing intends to develop, construct, and operate an ethanol plant near Atlantic,
Iowa and to expand an existing ethanol plant near Denison, Iowa (the “Project”);

     WHEREAS, Amaizing desires to engage Consultant to perform certain project development services
on behalf of Amaizing;

     WHEREAS, Amaizing is willing to engage Consultant and Consultant is willing to undertake the
engagement with Amaizing subject to the terms and conditions set forth in this Agreement; and

     WHEREAS, Consultant is willing to be subject to the restrictive covenants and other terms and
conditions as set forth in this Agreement.

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

     1. Engagement and Scope or Services. Upon the terms and conditions set forth in this
Agreement, Amaizing hereby engages Consultant to perform Services, as defined below, and Consultant
hereby accepts such engagement. Consultant shall determine the manner in which Services are to be
performed and the specific hours to be worked by Consultant. Consultant acknowledges and agrees to
work as many hours as may be reasonably necessary to fulfill its commitments under this Agreement.
Services shall include, without limitation, the following:

	 	a)	 	Assist the planning and development of Amaizing’s
comprehensive business plan;
	 
	 	b)	 	On behalf of Amaizing and following receipt of Amaizing’s
consent, identifying and developing the sites, markets, supplies,
sellers and potential business partners necessary to execute Amaizing’s
business plan;
	 
	 	c)	 	Assist in the formulation and execution of business
strategies for Amaizing;
	 
	 	d)	 	Prepare forecasting model and assist in the development
of Amaizing’s financial plan and forecasts;
	 
	 	e)	 	Assist in administration of Amaizing’s equity marketing
effort;

 

 

	 	f)	 	Formulate employee incentive plan options and prepare
comparison of such options for Amaizing’s review;
	 
	 	g)	 	Assist in defining performance parameters for employee;
	 
	 	h)	 	Assist negotiations of contracts with various service and
product providers;
	 
	 	i)	 	Provide monthly updates to Amaizing in the form of
written summaries of the previous month’s activities performed by
Consultant;
	 
	 	j)	 	Participate in meetings on a monthly basis by telephone
or in person with representatives of Amaizing to discuss the written
summary, goals and strategies;
	 
	 	k)	 	Provide ongoing cooperation to representatives of
Amaizing and participating in additional discussions and meetings with
Amaizing as may be reasonable requested by Amaizing;
	 
	 	l)	 	Assist in the procurement of debt financing;
	 
	 	m)	 	Assist in the negotiation of the sale of any build slot
if requested by Amaizing;
	 
	 	n)	 	Representing the interests of Amaizing and its business
plan to potential suppliers, sellers, business partners, and members of
governments and local businesses; and
	 
	 	o)	 	Performing such other services as Amaizing may from time
to time reasonably request and are reasonably within the scope of the
services the parties anticipate will be provided. Notwithstanding the
foregoing, neither Consultant nor its Affiliates (as defined below)
shall be asked to, nor will solicit an offer to buy, or accept an offer
to sell, any security to be issued by Amaizing, nor shall Consultant and
its Affiliates be required to provide any services that would cause any
of them to be in non-compliance with any federal or state securities
laws, including, without limitation, any services that would cause the
Consultant or its Affiliates to be a promoter, broker-dealer, or
investment advisor. For purposes of this Agreement, “Affiliate” shall
mean all members, managers, officers, employees and agents of
Consultant.

     All Services shall be performed by Consultant (i) in a professional manner, and (ii) in
compliance with all federal and state laws, regulations and orders. Unless otherwise agreed to by
Amaizing, the Consultant shall cause Brian D. Thome to personally perform all material Services

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under this Agreement. Failure to cause Brian D. Thome to personally perform all material
Services under this Agreement shall be deemed a breach of this Agreement and if this Agreement is
terminated by Amaizing as a result of such breach, the termination of this Agreement will be deemed
a termination for cause. Other than the foregoing, Consultant disclaims all other warranties with
respect to the Services.

     During the Term of this Agreement, Consultant (i) shall be an independent contractor with full
power to select the means, manner and method of performing the Services; and (ii) shall have no
right or power to bind Amaizing under any agreement or to transaction any business or make any
representations or promises in Amaizing’s name or on its behalf, except insofar as Consultant is
expressly authorized to do so in writing by the Amaizing. All decisions regarding the
implementation of any advice or recommendations of Consultant that are provided as Services under
this Agreement shall be made by and shall be the responsibility of Amaizing.

     2. Compensation.

     (a) Amaizing agrees to pay to Consultant the sum of Three Hundred Thousand Dollars ($300,000)
payable as follows: (i) $60,000 payable upon execution of this Agreement; and (ii) the remaining
$240,000 payable in eight (8) equal monthly installments of $30,000, with the first installment due
on the one month anniversary date of this Agreement and thereafter on each monthly anniversary date
of this Agreement until all eight installments have be paid.

     (b) In addition, Consultant shall be paid: (i) a bonus in the amount of $200,000 within 30
days following Financial Close, as defined below, of the Amaizing Atlantic, Iowa ethanol plant
project for the completion of Services (the “Atlantic Success Bonus”) and which Atlantic Success
Bonus shall be earned and payable upon and subject to such Financial Close, and (ii) $300,000
within 30 days following Financial Close of the Amaizing Denison, Iowa expansion project for the
completion of Services (the “Denison Success Bonus”) and which Denison Success Bonus be earned and
payable upon and subject to such Financial Close. For purposes of this Agreement, Financial Close
shall mean with respect to each project the actual closing (execution and delivery of all required
documents and the fulfillment of all conditions precedent under the loan documents necessary to
permit the advance of funds to Amaizing) by Amaizing with its project lender(s) for debt financing
for the respective project, including senior and subordinated debt and any other project financing
characterized by debt obligations and repayable as debt which is required by the project senior
lender(s) for the project.

     3. Expenses. Upon Consultant providing to Amaizing proper documentation, Amaizing
shall promptly reimburse Consultant for all reasonable, ordinary and necessary expenses incurred in
performance of its duties hereunder; provided, however, that Amazing shall only reimburse
Consultant’s travel expenses (including but not limited to automobile mileage, air fare, meals and
lodging) after such aggregate travel expenses exceed Twenty-Five Thousand Dollars ($25,000) and
then such reimbursement shall be only be for expenses in excess of the aggregate Twenty-Five
Thousand Dollars ($25,000). Consultant shall provide to Amaizing all documentation for all travel
expenses incurred in performance of its duties hereunder whether or not reimbursement is to be made
by Amaizing.

3

 

     4. Support Services. Amaizing shall provide the following support services for the
benefit of Consultant, as approved by Amaizing: office space, secretarial support, and office
supplies.

     5. Term & Termination. This Agreement shall commence as of the Effective Date and,
unless sooner terminated in accordance with the terms of this Agreement, shall continue for nine
(9) months (the “Term”). The parties hereto acknowledge that the Services provided by Consultant or
any of its Affiliates on behalf of Amaizing prior to the Effective Date shall be deemed to have
been rendered during the Term, and the obligations of Amaizing and Consultant hereunder, including
without limitation their respective indemnification obligations, shall apply.

     Either party may terminate this Agreement with or without cause upon fourteen (14) days prior
written notice. Amaizing shall have “cause” to terminate this Agreement in the event of any of the
following with respect to Consultant: (i) disloyal, dishonest or illegal conduct or willful
misconduct; (ii) refusal or gross failure to substantially comply with the terms and provisions of
this Agreement or to follow the directives and instructions of Amaizing that are given in
conformance with this Agreement; (iii) refusal or gross failure to use it’s good faith efforts
and/or devote substantial and significant time, attention and efforts to perform its duties under
this Agreement; or (iv) in the event Consultant materially breaches or otherwise fails to perform
any material term, covenant or condition of this Agreement. In the event of any default or
non-performance set forth in (ii) through (iii) above, Amaizing shall provide written notice of the
default or non-performance and Consultant shall have thirty (30) days from such written notice to
cure the default or non-performance. Failure to cure the default or non-performance within the
thirty (30) day period shall result in automatic termination of this Agreement unless waived by
Amaizing. Consultant shall have “cause” to terminate this Agreement in the event of any of the
following with respect to Amaizing: (i) materially breaches or otherwise fails to perform any
material term, covenant or condition of this Agreement and fails to cure such default or breach
within thirty (30) days of written notice thereof from Consultant; or (ii) is or becomes insolvent,
or becomes the subject of any bankruptcy, creditor or insolvency proceeding.

     If the Agreement is terminated with cause in accordance with the terms of this Agreement, upon
such termination, neither Amaizing nor Consultant shall have any further rights or obligations
under the terms of this Agreement other than to payment for Services and reimbursement of expenses
to which Consultant is entitled through the date of termination, except that Sections 5, 6, 7, 13
and 14 shall survive termination of this Agreement. If the Agreement is terminated without cause,
upon such termination neither Amaizing nor Consultant shall have any further rights or obligations
under the terms of this Agreement other than to payment for Services and reimbursement of expenses
to which Consultant may be entitled through the date of termination plus payment of any success
bonus pursuant to Section 2(b) if Financial Close for the respective project occurs within six (6)
months following the termination of this Agreement. In all cases, Sections 5, 6, 7, 13 and 14 shall
survive termination of this Agreement.

     During the Term, Amaizing shall have the right to suspend the obligations of the parties under
this Agreement from time to time up to a maximum cumulative suspension of ninety (90) days.
Amaizing shall provide written notice of such suspension to Consultant which shall be

4

 

effective the date of the notice. The period of suspension shall last until such time as
Amaizing has provided written notice to Consultant of the termination of the suspension; provided,
however, the cumulative time of suspension of this Agreement may not exceed ninety (90) days. In
the event of a suspension, Consultant shall not be obligated to provide any Services to Amaizing
and Amaizing shall not be obligated to make any payments under Section 2 to Consultant; provided,
however, Amaizing shall pay Consultant Three Thousand Dollars ($3,000) for each thirty (30) day
period during the suspension. All other rights and obligations of the parties under this Agreement
shall continue during the period of suspension. Upon the continuance of the Agreement, all right
and obligations of the parties shall be reinstated and continued and the Term will be extended an
additional amount of time equal to the actual length of the suspension.

     This Agreement may be extended, upon mutual agreement of Amaizing and Consultant, on a month
to month basis upon the conclusion of the Term. In the event the Agreement is extended, Amaizing
shall pay Consultant Thirty Thousand Dollars ($30,000) per month for its Services.

     6. Restrictive Covenants. From the Effective Date and for a period of one (1) year
following termination of the Agreement, Consultant and its Affiliates shall not, except on behalf
of Amaizing or in furtherance of Amaizing’s business objectives and purposes, by or for themselves
or through others as their agent:

	 	a)	 	without the prior written consent of Amaizing, render services similar
to the Services for any other person, corporation, limited liability company,
partnership, city, county, or other entity within a seventy-five (75) mile
radius of each of the Atlantic and Denison sites (collectively the “Territory”)
or within a seventy-five (75) mile radius of Sabetha, Kansas;
	 
	 	b)	 	directly or indirectly, develop, own, manage, operate, join, control or
participate in the development, ownership, management, operation, or control of,
or be connected in any manner with any business engaged in the manufacture or
marketing of fuel ethanol within the Territory;
	 
	 	c)	 	solicit for employment, retain or employ, or become employed by, any
past or present employee of Amaizing;
	 
	 	d)	 	request, induce or advise any employee of Amaizing to leave the employ
of or cease affiliation with Amaizing; or
	 
	 	e)	 	interfere with, or counsel or direct others to interfere with, Amaizing
or its business or business relationships, or disparage in any way the good name
or reputation of Amaizing or its officers, directors, employees, agents and
representatives.

     Consultant represents and warrants that its directors, managers, officers, members and
affiliates have all agreed to be bound by the restrictive covenants in this Section 6 and further

5

 

acknowledge and agree that they have given careful consideration to the necessity of providing
protection against competition, disclosure, interference and solicitation by restricting the
activities of Consultant and its directors, managers, officers, members and affiliates as provided
in this Agreement. The parties further acknowledge and agree that they believe the duration, scope
and geographic area of the restrictions set forth in this Section 6 are fair, reasonable and
necessary, that adequate consideration has been received by Consultant for such restrictions, and
that such restrictions will not prevent them from earning a livelihood. If, however, any court of
competent jurisdiction determines that any of the restrictions set forth herein are unenforceable
or unreasonable, whether as to duration, scope or geographic area, the parties hereby grant the
court the right and power to interpret, alter, amend or modify such restrictions and to enforce
them to the fullest extent deemed reasonable. The covenants and restrictions set forth in this
Section 6 shall survive the expiration or termination of this Agreement; provided, however,
subsections (a) and (b) of this Section 6 shall not apply to Consultant if this Agreement is
terminated by Amaizing without cause or by Consultant for cause prior to the expiration of the
Term.

     Other than the foregoing, Consultant does not agree to any terms which may be construed as
precluding or limiting in any way its right to provide services of any kind or nature whatsoever to
any person or entity as Consultant, in its sole discretion, deems appropriate.

     7. Injunctive Relief; Cumulative Remedies. Consultant acknowledges and agrees that any
breach, attempted breach or repudiation by any of them of any promise, agreement, term, condition
or covenant set forth in this Agreement (including, but not limited to the restrictive covenants
set forth in Section 6 above) would produce irreparable harm and injury to Amaizing, and it would
be difficult, if not impossible, to compute Amaizing’s actual damages resulting therefrom.
Consultant further acknowledges and agrees that no adequate remedy exists at law for the breach,
attempted breach or repudiation by Consultant. Consultant therefore consent to the equity
jurisdiction of the courts of the State of Iowa and acknowledge and agree that an injunction is an
appropriate and necessary remedy to prevent the breach, attempted breach or repudiation of any such
any promise, agreement, term, condition or covenant set forth in this Agreement. The remedial
provisions set forth related to injunctive relief and others elsewhere in this Agreement, are
cumulative and shall not prevent or prohibit any party hereto from exercising any other rights or
remedies available under this Agreement, at law or in equity.

     8. Representations and Warranties. Each party represents and warrants to the other
that:

	 	a)	 	there is no existing, or any pending or threatened litigation,
suit, action or proceeding before any court or administrative agency which
would prevent the performance of the parties’ respective obligations under the
Agreement;
	 
	 	b)	 	performance under the Agreement will not result in the breach
of any other agreement with any other third party;
	 
	 	c)	 	no authorization, consent or approval of any party is necessary
to the

6

 

	 	 	 	validity of the transactions contemplated by the Agreement, or to permit the
consummation of the transactions contemplated herein; and
	 	c)	 	the parties have and will have full right, power and authority
to make, execute, deliver and perform their obligations under the Agreement.

     9. Notices. All notices, requests, demands, and other communications under this
Agreement shall be in writing and shall be deemed to have been duly given (a) on the date of
service if served personally on the party to whom notice is to be given, (b) on the day of
transmission if sent by facsimile transmission to the facsimile number given below, and telephonic
confirmation of receipt is obtained promptly after completion of transmission, (c) on the next day
on which such deliveries are made in Denison, Iowa, when delivery is to Federal Express or similar
overnight courier or the Express Mail service maintained by the United states Postal Service, or
(d) on the fifth day after mailing, if mailed to the party to whom notice is to be given, by first
class mail, registered or certified, postage prepaid, and properly addressed, return receipt
requested, to the party as follows:

	 	 	 
	If to Amaizing :

	 	Amaizing Energy Holding Company, LLC
	 

	 	Attention: President
	 

	 	2404 West Highway 30
	 

	 	Denison, Iowa 551442
	 

	 	Telephone: (712) 263-2676
	 

	 	Facsimile: (712) 263-4134
	 
	 	 
	With a copy to:

	 	BrownWinick
	 

	 	Attention: Thomas D. Johnson, Esq.
	 

	 	666 Grand Avenue, Suite 2000
	 

	 	Des Moines, IA 50309
	 

	 	Telephone: (515) 242-2400
	 
	 	 
	If to Consultant:

	 	TH Partners, LLC
	 

	 	Attention: Brian D. Thome
	 

	 	6200 Lamar Avenue S.
	 

	 	Cottage Grove, MN 55016
	 

	 	Telephone: (651) 458-1199
	 
	 	 
	With a copy to:

	 	Leonard, Street and Deinard
	 

	 	Attention: Thomas A. Jensen, Esq.
	 

	 	150 South Fifth Street, Suite 2300
	 

	 	Minneapolis, MN 55402
	 

	 	Telephone: (612) 335-1809
	 

	 	Facsimile: (612) 335-1657

     10. Relationship of the Parties; Taxes. In the performance of Services by Consultant
under this Agreement, Consultant is at all times acting and performing as an independent

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contractor with respect to Amaizing and this Agreement shall not be interpreted or construed
as creating any other relationship, including, without limitation, that of principal-agent,
employer-employee, partnership or joint venture. Consultant shall be entirely and solely
responsible for Consultant’s acts and the acts of Consultant’s agents and employees while engaged
in the performance of Services hereunder. Consultant shall have no authority, express or implied,
to bind Amaizing or to transact any business in the name of Amaizing or on its behalf, or to make
any promises or representations on behalf of Amaizing in any respect. Amaizing shall not have any
responsibility to withhold taxes from Consultant or Consultant’s employees, pay any employment
taxes on behalf of Consultant or Consultant’s employees, or contribute to any pension plan, social
security or other similar plan or program on Consultant’s or Consultant’s employees’ behalf.
Consultant shall not be entitled to receive any benefits that are provided to employees of
Amaizing. Consultant shall secure its own liability insurance with respect to its Services under
this Agreement in amounts acceptable to Arnaizing. Consultant will provide proof of such insurance
to Amaizing, as requested from time to time by Amaizing.

     11. Insurance. Consultant agrees to maintain the following insurance coverages: a)
Commercial General Liability Insurance in the amount of at least $1,000,000.00; b) Workers’
Compensation Insurance with statutory limits; c) Employer’s Liability Insurance in the amount of
$1,000,000.00; d) Automobile Liability Insurance in the amount of at least $1,000,000.00; and e)
Errors and Omissions Insurance in the amount of $1,000,000.00. All insurance provided for in this
section shall be effective under valid and enforceable policies issued by insurers of recognized
responsibility, licensed to do business in states where the respective parties currently conduct
business. Consultant shall name Amaizing as an additional insured with respect to each policy and
shall furnish the other with proof of the payment of all premiums due on said policies of insurance
and that the policies of insurance are in full force and effect. Each policy or certificate of
insurance shall contain an agreement by the insurer that coverages shall not cancelled for any
reason without at least 30 days prior written notice to Amaizing.

     12. Compliance with Laws. Consultant and Amaizing each agree to comply with all
federal and state laws, regulations and orders, including, but not limited to those related to
payment of minimum wages and overtime, nondiscrimination in employment in the performance of all
services under this Agreement, and tax reporting and payment obligations to any state or federal
tax authority.

     13. Confidentiality. In providing Services hereunder, Consultant and Amaizing may have
access to documents and information relating to the other party and its business plans and
operations including, without limitation the following types of information (whether or not in
writing or designated as confidential): data, records, reports, drawings, tapes, concepts,
inventions, innovations, ideas, plans, specifications, formulas, research, interpretations,
analyses, forecasts, proposals, business strategies, methods, trade secrets, financial information,
statistics, personnel and investor information, (hereafter collectively referred to as
“Confidential Information”). Confidential Information shall not include information falling into
any of the following categories:

	 	(a)	 	information that at the time of disclosure is in the public domain;

8

 

	 	(b)	 	information that, after disclosure hereunder, enters the public domain other than
by breach of this Agreement or the obligation of confidentiality;
	 
	 	(c)	 	information that, prior to disclosure hereunder, was already in the recipient’s
possession, either without limitation on disclosure to others or subsequently becoming
free of such limitation;
	 
	 	(d)	 	information obtained by the recipient from a third party having an independent
right to disclose this information; and
	 
	 	(e)	 	information that is available through discovery by independent research without
use of or access to the Confidential Information acquired from the other party.

     Consultant and Amaizing each hereby acknowledges and agrees that all such Confidential
Information shall be and remain at all times throughout the Term of this Agreement and thereafter,
the sole and exclusive property of the party disclosing the Confidential Information to the other
party. Consultant and Amaizing each further covenants and agrees to, at all times during the Term
hereof and thereafter: (a) that Consultant shall utilize Amaizing’s Confidential Information solely
in connection with the providing of Services, and not, under any circumstances, utilize such
Confidential Information, directly or indirectly, for any business or purpose which is competitive
with Amaizing; (b) treat, and cause their respective officers, directors, agents, employees and
representatives to treat, all such Confidential Information as confidential and proprietary
sensitive business information, and as trade secrets of the disclosing party; (c) maintain policies
and procedures designed to ensure the confidentiality and safekeeping of such Confidential
Information; and (d) not, unless compelled by legal process, except with the disclosing party’s
prior written consent, divulge, disclose or otherwise make any Confidential Information available
to third parties, other than their employees and agents directly involved in providing Services,
who shall be provided with such Confidential Information only on a need-to-know basis. Upon the
expiration or termination of this Agreement for any reason whatsoever, the parties hereto shall
promptly return to all Confidential Information to the disclosing party. This section shall survive
the termination of this Agreement.

     14. Indemnifications and Other Agreements. Consultant shall indemnify and hold
Amaizing and its employees, members or agents harmless from and against any and all liabilities,
losses, damages, costs or expenses, including, but not limited to, reasonable attorneys’ fees and
legal expenses, incurred by Amaizing as a result of a breach of this Agreement by Consultant or any
of its Affiliates or any tortious, unlawful or unauthorized acts or omissions by Consultant or its
Affiliates. Amaizing shall indemnify and hold Consultant and its employees, members or agents
harmless from and against any and all liabilities, losses, damages, costs or expenses, including,
but not limited to, reasonable attorneys’ fees and legal expenses, incurred by Consultant as a
result of a breach of this Agreement by Amaizing, or any tortious, unlawful or unauthorized acts or
omissions by Amaizing. Notwithstanding the foregoing, in no event shall the liability of
Consultant, whether by reason of breach of contract, tort (including without limitation
negligence), statute, or otherwise exceed the greater of (i) the amount of fees paid by Amaizing to
Consultant under this Agreement or (ii) the amount of insurance coverage available to respond to
the claim or liability under any policy of insurance carried by Consultant; provided,

9

 

however, the foregoing limitation shall not apply to any gross negligence, intentional
misconduct, bad faith or reckless act or omission of Consultant or its Affiliates. Further, in no
event shall Consultant have any liability for loss of profits, loss of business, indirect,
incidental, consequential, special, punitive, indirect or exemplary damages, even if Consultant has
been advised of the possibility of such damages. In furtherance and not in limitation of the
foregoing, Consultant shall not be liable in respect of any decisions made by Amaizing as a result
of Consultant’s services.

     15. Miscellaneous. This Agreement constitutes the entire understanding between the
parties concerning the subject matter hereof. No prior or contemporaneous representations,
inducements, promises or agreements not contained herein are of any force or effect. This Agreement
shall be governed by and construed in accordance the laws of the State of Iowa, without regard,
however, to choice of law principles. The parties, by their execution of this Agreement, submit to
the jurisdiction of the courts of the State of Iowa and agree that venue shall be in Crawford
County, Iowa. This Agreement shall not be modified except in a writing signed by all parties. If
any provision herein is held to be invalid, unenforceable, or contrary to public policy, in whole
or in part, the remaining provisions shall not be affected. This Agreement is binding upon the
parties and their heirs, representatives, agents, successors and permitted assigns. This Agreement
may not be assigned by any party hereto without the prior written consent of the other party to
this Agreement. No omission or delay by either party in enforcing any right or remedy or in
requiring any performance hereunder shall constitute a waiver of any such right, remedy or required
performance. The remedies set forth herein are cumulative and in addition to all other remedies
available hereunder, at law and in equity. This Agreement may be executed in counterparts.

     IN WITNESS WHEREOF, the undersigned have executed this Agreement as of the Effective Date.

	 	 	 	 	 	 	 	 	 	 	 
	AMAIZING:	 	CONSULTANT:	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	AMAIZING ENERGY HOLDING 

COMPANY, LLC	 	TH PARTNERS, LLC	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	By:

	 	/s/ Alan H. Jentz
 

	 	 	 	By:
	 	/s/ Brian Thome
 

	 	 
	Its:

	 	President
 

	 	 	 	Its:
	 	President
 

	 	 
	 

	 	5/31/07	 	 	 	 	 	 	 	 

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