Document:

Exhibit 10.1

 

WAIVER AND THIRD AMENDMENT TO CREDIT AGREEMENT

 

THIS WAIVER AND THIRD AMENDMENT TO CREDIT AGREEMENT (this “Amendment”) is entered into as of December 13, 2016 by and among the lenders identified on the signature pages hereof (each of such lenders, together with its successors and permitted assigns, is referred to hereinafter as a “Lender”), WELLS FARGO BANK, NATIONAL ASSOCIATION, a national banking association, as administrative agent for each member of the Lender Group and the Bank Product Providers (in such capacity, together with its successors and assigns in such capacity, “Agent”), WELLS FARGO BANK, NATIONAL ASSOCIATION, a national banking association, as sole lead arranger (in such capacity, together with its successors and assigns in such capacity, the “Sole Lead Arranger”), WELLS FARGO BANK, NATIONAL ASSOCIATION, a national banking association, as sole book runner (in such capacity, together with its successors and assigns in such capacity, the “Sole Book Runner”), HARTE HANKS, INC., a Delaware corporation (“Harte Hanks”), TRILLIUM SOFTWARE, INC., a Delaware corporation (“Trillium”), 3Q DIGITAL, INC., a Delaware corporation (“3Q”), HARTE-HANKS DATA SERVICES LLC, a Maryland limited liability company (“Data Services”), HARTE-HANKS DIRECT, INC., a New York corporation (“HH Direct”), HARTE-HANKS DIRECT MARKETING/DALLAS, INC., a Delaware corporation (“HH Dallas”), HARTE-HANKS DIRECT MARKETING/FULLERTON, INC., a California corporation (“HH Fullerton”), HARTE HANKS DIRECT MARKETING/BALTIMORE, INC., a Maryland corporation (“HH Baltimore”), HARTE-HANKS DIRECT MARKETING/JACKSONVILLE, LLC, a Delaware limited liability company (“HH Jacksonville”), HARTE-HANKS DIRECT MARKETING/KANSAS CITY, LLC, a Delaware limited liability company (“HH Kansas City”), HARTE-HANKS LOGISTICS, LLC, a Florida limited liability company (“Logistics”), HARTE-HANKS RESPONSE MANAGEMENT/AUSTIN, INC., a Delaware corporation (“HH Austin”), HARTE-HANKS RESPONSE MANAGEMENT/BOSTON, INC., a Massachusetts corporation (“HH Boston”), HARTE-HANKS STRATEGIC MARKETING, INC., a Delaware corporation (“Strategic Marketing”), NSO, INC., an Ohio corporation (“NSO”), SALES SUPPORT SERVICES, INC., a New Jersey corporation (“Sales Support” and, together with Harte Hanks, Trillium, 3Q, Data Services, HH Direct, HH Dallas, HH Fullerton, HH Baltimore, HH Jacksonville, HH Kansas City, Logistics, HH Austin, HH Boston, Strategic Marketing and NSO are referred to hereinafter each individually as a “Borrower”, and individually and collectively, jointly and severally, as the “Borrowers”).

 

WHEREAS, Borrowers, Agent, and Lenders are parties to that certain Credit Agreement dated as of March 10, 2016 (as amended, restated, supplemented or otherwise modified from time to time, the “Credit Agreement”);

 

WHEREAS, Borrowers have notified Agent and the Lenders that an Event of Default exists under Section 8.2(a) of the Credit Agreement as a result of a breach of Section 7(a) of the Credit Agreement due to Borrowers’ failure to have a Fixed Charge Coverage Ratio of at least 1.1:1.0, measured for the 12 month period ending on October 31, 2016 (the “Existing Event of Default”); and

 

WHEREAS, Borrowers have requested that Agent and the Lenders waive the Existing Event of Default, and Agent and the Lenders have agreed to such waiver, on the terms and conditions (including the amendments) set forth herein.

 

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

 

Section 1.                                    Definitions.  Capitalized terms used herein but not defined shall have the meanings given to such terms in the Credit Agreement.

 

Section 2.                                    Waiver.  Subject to the satisfaction of the conditions set forth in Section 4 below, and in reliance upon the representations and warranties of the Loan Parties set forth in Section 5 below,

 

 

Agent and Lenders hereby waive the Existing Event of Default.  This is a limited waiver and shall not be deemed to constitute a waiver of any other Event of Default or any future breach by the Borrowers of the Credit Agreement or any of the other Loan Documents or any other requirements of any provision of the Credit Agreement or any other Loan Documents.

 

Section 3.                                    Amendments to Credit Agreement.  Subject to the satisfaction of the conditions set forth in Section 4 below, and in reliance upon the representations and warranties of the Loan Parties set forth in Section 5 below, the Credit Agreement is hereby amended as follows:

 

(a)                                 Effective as of December 1, 2016, Section 2.6(a) of the Credit Agreement is hereby amended and restated, to read as follows:

 

(a) Interest Rates. Except as provided in Section 2.6(c), all Loans, and all Obligations (except for undrawn Letters of Credit) that have been charged to the Loan Account pursuant to the terms hereof, shall bear interest as follows:

 

(i) if the relevant Obligation is a portion of a Revolving Loan that is a LIBOR Rate Loan, at a per annum rate equal to the LIBOR Rate plus the LIBOR Rate Margin,

 

(ii) if the relevant Obligation is a portion of a Revolving Loan that is a Base Rate Loan, at a per annum rate equal to the Base Rate plus the Base Rate Margin,

 

(iii) if the relevant Obligation is a portion of the Term Loan that is a LIBOR Rate Loan, at a per annum rate equal to the LIBOR Rate plus 9.22 percentage points,

 

(iv) if the relevant Obligation is a portion of the Term Loan that is a Base Rate Loan, at a per annum rate equal to the Base Rate plus 8.22 percentage points, and

 

(v) otherwise, at a per annum rate equal to the Base Rate plus the Base Rate Margin.

 

(b)                                Effective as of December 1, 2016, the definition of Applicable Margin set forth in Schedule 1.1 of the Credit Agreement is hereby amended and restated to read as follows:

 

“Applicable Margin” means, as of any date of determination and with respect to Revolving Loans that are Base Rate Loans or LIBOR Rate Loans, as applicable, the applicable margin set forth in the following table that corresponds to the Average Excess Availability of Borrowers for the most recently completed month; provided, that for the period from June 1, 2016 through and including August 31, 2016, the Applicable Margin shall be set at the margin in the row styled “Level III”; provided further, that any time an Event of Default has occurred and is continuing, the Applicable Margin shall be set at the margin in the row styled “Level III”:

 

2

 

	
Level
    	
 
    	
Average Excess
   Availability
    	
 
    	
Applicable Margin
   Relative to Revolving
   Loans that are Base
   Rate Loans (the “Base
   Rate Margin”)
    	
 
    	
Applicable Margin
   Relative to Revolving
   Loans that are LIBOR
   Rate Loans (the “LIBOR
   Rate Margin”)
    
	
I
    	
 
    	
> $35,000,000
    	
 
    	
3.00 percentage points
    	
 
    	
4.00 percentage points
    
	
II
    	
 
    	
< $35,000,000 and >   $17,500,000
    	
 
    	
3.25 percentage points
    	
 
    	
4.25 percentage points
    
	
III
    	
 
    	
< $17,500,000
    	
 
    	
3.50 percentage points
    	
 
    	
4.50 percentage points
    

 

The Applicable Margin shall be re-determined as of the first day of each calendar month of Borrowers.

 

(c)                     The definition of Availability Block set forth in Schedule 1.1 of the Credit Agreement is hereby amended and restated to read as follows:

 

“Availability Block” means a reserve in an initial amount equal to $3,000,000, and increasing by an additional $1,000,000 on December 19, 2016 and on each Monday thereafter (or such lower amount as approved by Agent in its sole discretion).

 

Section 4.                                    Conditions to Effectiveness of Amendment.  The effectiveness of this Amendment shall be subject to the satisfaction of the following conditions precedent:

 

(a)                                 Representations and Warranties. The representations and warranties set forth in Section 5 hereof shall be true and correct (and each of the Loan Parties so certifies, by their signatures below) as of the date hereof.

 

(b)                                No Default or Event of Default. No Default or Event of Default (other than the Existing Event of Default) shall exist immediately prior to giving effect to this Amendment and no Default or Event of Default shall exist thereafter.

 

(c)                                 Execution of this Amendment. The Agent shall have received a fully-executed copy of this Amendment, signed by each of the Loan Parties, the Agent and the Lenders, and such related due diligence items as the Agent shall reasonably require in connection with this Amendment.

 

(d)                                Execution of the Amendment to the Agreement Among Lenders. The Agent shall have received a fully-executed copy of Amendment No. 2 to Agreement Among Lenders, signed by the Agent, LBC Credit Partners III, L.P. and LBC III WF Funding, LLC.

 

Section 5.                                    Representations and Warranties.  Each of the Loan Parties hereby, jointly and severally, represents and warrants to the Agent, for the benefit of the Lenders, that the following are true and correct:

 

(a)                                 After giving effect to the waiver set forth in Section 2 hereof, no Default or Event of Default has occurred and is continuing.

 

3

 

(b)                                All representations and warranties contained in the Credit Agreement and the other Loan Documents are true and correct in all material respects (except that such materiality qualifier shall not be applicable to any representations and warranties that already are qualified or modified by materiality in the text thereof) on and as of the date of this Amendment (except to the extent that such representations and warranties relate solely to an earlier date, in which case such representations and warranties shall be true and correct in all material respects (except that such materiality qualifier shall not be applicable to any representations and warranties that already are qualified or modified by materiality in the text thereof) as of such earlier date).

 

(c)                     This Amendment and the other related documents to which each is a party constitutes the legal, valid and binding obligation of obligations of each Borrower and are enforceable against such Borrower in accordance with their respective terms, except as enforcement may be limited by equitable principles or by bankruptcy, insolvency, reorganization, moratorium or similar laws relating to or limiting creditors’ rights generally.

 

Section 6.                                    Reaffirmation. Each Loan Party hereby ratifies, affirms, acknowledges and agrees that the Credit Agreement and the other Loan Documents represent the valid, enforceable and collectible obligations of the Loan Parties, and further acknowledges that there are no existing claims, defenses, personal or otherwise, or rights of setoff whatsoever with respect to the Credit Agreement or any other Loan Document.  Each Loan Party hereby agrees that this Amendment in no way acts as a release or relinquishment of the Liens and rights securing payments of the Obligations.  The Liens and rights securing payment of the Obligations are hereby ratified and confirmed by each Loan Party in all respects.

 

Section 7.                                    Release.

 

(a)                                 In consideration of the agreements of Agent and Lenders contained herein and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, each Borrower and each other Loan Party, on behalf of itself and its successors, assigns, and other legal representatives, hereby absolutely, unconditionally and irrevocably releases, remises and forever discharges Agent and Lenders, and their successors and assigns, and their present and former shareholders, affiliates, subsidiaries, divisions, predecessors, directors, officers, attorneys, employees, agents and other representatives (Agent, each Lender and all such other Persons being hereinafter referred to collectively as the “Releasees” and individually as a “Releasee”), of and from all demands, actions, causes of action, suits, covenants, contracts, controversies, agreements, promises, sums of money, accounts, bills, reckonings, damages and any and all other claims, counterclaims, defenses, rights of set-off, demands and liabilities whatsoever (individually, a “Claim” and collectively, “Claims”) of every name and nature, known or unknown, suspected or unsuspected, both at law and in equity, which any such Loan Party or any of their respective successors, assigns, or other legal representatives may now or hereafter own, hold, have or claim to have against the Releasees or any of them for, upon, or by reason of any circumstance, action, cause or thing whatsoever in relation to, or in any way in connection with any of the Credit Agreement, or any of the other Loan Documents or transactions thereunder or related thereto which arises at any time on or prior to the day and date of this Amendment.

 

(b)                                Each Borrower and each other Loan Party understands, acknowledges and agrees that the release set forth above may be pleaded as a full and complete defense and may be used as a basis for an injunction against any action, suit or other proceeding which may be instituted, prosecuted or attempted in breach of the provisions of such release.

 

(c)                                 Each Borrower and each other Loan Party agrees that no fact, event, circumstance, evidence or transaction existing or arising on or prior to the date hereof which could now be asserted or

 

4

 

which may hereafter be discovered shall affect in any manner the final, absolute and unconditional nature of the release set forth above.

 

Section 8.                                    Miscellaneous.

 

(d)                                Effect of this Amendment. The execution, delivery and effectiveness of this Amendment shall not operate as a waiver of any right, power or remedy of the Agent under the Credit Agreement or any other Loan Document, nor constitute a waiver of any provision of the Credit Agreement or any other Loan Document, except as specifically set forth herein.

 

(e)                                 Expenses.  Borrowers jointly and severally agree to pay on demand all Lender Group Expenses of Agent and all Lenders (including, without limitation, the reasonable and documented fees and expenses of outside counsel for Agent and all Lenders) in connection with the preparation, negotiation, execution, delivery and administration of this Amendment and all other instruments or documents provided for herein or delivered or to be delivered hereunder or in connection herewith.  All obligations provided herein shall survive any termination of this Amendment and the Credit Agreement as modified hereby.

 

(f)                                   Counterparts.  This Amendment may be executed in any number of counterparts and by the different parties on separate counterparts, and each such counterpart shall be deemed to be an original, but all such counterparts shall together constitute but one and the same instrument. Delivery of the executed counterpart of this Amendment by facsimile or electronic mail shall be as effective as delivery of a manually executed counterpart to this Amendment.

 

Section 9.                                    Governing Law.  THIS AMENDMENT SHALL BE A CONTRACT MADE UNDER AND GOVERNED BY THE INTERNAL LAWS OF THE STATE OF ILLINOIS APPLICABLE TO CONTRACTS MADE AND TO BE PERFORMED ENTIRELY WITHIN SUCH STATE, WITHOUT REGARD TO THE CONFLICT OF LAWS PRINCIPLES THEREOF.  THE CHOICE OF LAW AND VENUE AND JURY TRIAL WAIVER SET FORTH IN SECTION 12 OF THE CREDIT AGREEMENT ARE INCORPORATED HEREIN BY REFERENCE AND SHALL APPLY IN ALL RESPECTS TO THIS AMENDMENT.

 

Section 10.                             Accrued Interest and Letter of Credit Fees.  All interest and Letter of Credit Fees which accrued under the Credit Agreement prior to December 1, 2016 shall not be affected by the amendment to the defined term “Applicable Margin” set forth above.  Such accrued interest and Letter of Credit Fees shall remain due and owing and shall be paid as provided in the Credit Agreement without giving effect to this Amendment.  All changes to interest rates and Letter of Credit Fees contemplated hereby shall be effective as of December 1, 2016.

 

[Signature Pages Follow]

 

5

 

IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed by their respective authorized officers as of the day and year first above written.

 

	
BORROWERS:
    	
HARTE HANKS, INC.
    
	
 
    	
TRILLIUM SOFTWARE, INC.
    
	
 
    	
HARTE-HANKS   RESPONSE MANAGEMENT/BOSTON, INC.
    
	
 
    	
HARTE-HANKS LOGISTICS, LLC
    
	
 
    	
HARTE HANKS DIRECT   MARKETING/BALTIMORE, INC.
    
	
 
    	
HARTE-HANKS DIRECT, INC.
    
	
 
    	
HARTE-HANKS   DIRECT MARKETING/JACKSONVILLE, LLC
    
	
 
    	
HARTE-HANKS   DIRECT MARKETING/KANSAS CITY, LLC
    
	
 
    	
HARTE-HANKS STRATEGIC MARKETING, INC.
    
	
 
    	
HARTE-HANKS RESPONSE   MANAGEMENT/AUSTIN, INC.
    
	
 
    	
SALES SUPPORT SERVICES, INC.
    
	
 
    	
3Q DIGITAL, INC.
    
	
 
    	
HARTE-HANKS DATA SERVICES LLC
    
	
 
    	
HARTE-HANKS DIRECT MARKETING/DALLAS, INC.
    
	
 
    	
HARTE-HANKS   DIRECT MARKETING/FULLERTON, INC.
    
	
 
    	
NSO, INC.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Douglas C. Shepard
    
	
 
    	
Name:
    	
Douglas C. Shepard
    
	
 
    	
Title:
    	
Authorized Officer
    

 

Signature Page to Waiver and Third Amendment to Credit Agreement

 

 

	
 
    	
WELLS FARGO BANK, NATIONAL ASSOCIATION, a national banking association, as Agent, as Sole Lead   Arranger, as Sole Book Runner and as a Lender
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Paul Truax
    
	
 
    	
Name: Paul Truax
    
	
 
    	
Its: Authorized Signatory
    

 

Signature Page to Waiver and Third Amendment to Credit Agreement

 

 

	
 
    	
LBC III WF FUNDING, LLC,
    
	
 
    	
as a Lender
    
	
 
    	
By: LBC Credit Management, L.P.
    
	
 
    	
Its: Designated Manager
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Christopher J. Calabrese
    
	
 
    	
Name: Christopher J. Calabrese
    
	
 
    	
Its: Executive Manager
    
	
 
    	
 
    	
 
    
	
 
    	
LBC III KB FUNDING, LLC,
    
	
 
    	
as a Lender
    
	
 
    	
By: LBC Credit Management, L.P.
    
	
 
    	
Its: Designated Manager
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Christopher J. Calabrese
    
	
 
    	
Name: Christopher J. Calabrese
    
	
 
    	
Its: Executive Manager
    

 

Signature Page to Waiver and Third Amendment to Credit Agreement

 

 

CONSENT AND REAFFIRMATION

 

The undersigned hereby (i) acknowledges receipt of a copy of the foregoing Waiver and Third Amendment to Credit Agreement (the “Amendment”); (ii) consents to Borrowers’ execution and delivery of the Amendment; (iii) agrees to be bound by the Amendment; and (iv) affirms that nothing contained therein shall modify in any respect whatsoever any Loan Documents (other than as specifically provided in the Amendment) to which the undersigned is a party and reaffirms that the Loan Documents to which it is a party shall continue to remain in full force and effect.  Although each of the undersigned has been informed of the matters set forth herein and has acknowledged and agreed to same, the undersigned understands that Agent and Lenders have no obligation to inform the undersigned of such matters in the future or to seek the undersigned’s acknowledgment or agreement to future amendments, waivers or consents, and nothing herein shall create such a duty.

 

 

IN WITNESS WHEREOF, the undersigned has executed this Consent and Reaffirmation on and as of the date of the Amendment.

 

	
 
    	
HARTE-HANKS FLORIDA, INC.
    
	
 
    	
HARTE-HANKS PRINT, INC.
    
	
 
    	
HARTE-HANKS STS, INC.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Douglas C. Shepard
    
	
 
    	
Name:
    	
Douglas C. Shepard
    
	
 
    	
Title:
    	
Authorized Officer
    

 

Consent and Reaffirmation to Waiver and Third Amendment to Credit AgreementExhibit 4.1

 

THIS NOTE HAS NOT BEEN REGISTERED UNDER
THE SECURITIES ACT OF 1933. THIS NOTE HAS BEEN ACQUIRED FOR INVESTMENT AND MAY NOT BE SOLD, TRANSFERRED OR ASSIGNED IN THE ABSENCE
OF AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933 OR AN OPINION OF THE COMPANY’S COUNSEL THAT REGISTRATION
IS NOT REQUIRED UNDER SAID ACT.

 

10% PROMISSORY NOTE

 

		$__________	 	 	 	December __, 2016	

 

FOR VALUE RECEIVED,
the undersigned, Microphase Corporation, a Connecticut corporation with a business address at 100 Trap Falls Road Extension, Suite
400, Shelton, Connecticut 84058 (the “Maker”), promises to pay to the order of __________, an individual maintaining
an address at __________________________ (hereinafter the “Payee”), at the above address or at any other location designated
in writing by the Payee, the principal amount of __________________________ Dollars ($_________) (the “Principal Amount”),
together with a premium payable thereon and interest as provided below, in lawful money of the United States of America. The Principal
Amount and the premium and interest thereon is payable in the manner and at the times set forth in this Promissory Note (the “Note”).
This Note is one of a series of Notes known as the Maker’s 10% Promissory Notes (the “Bridge Notes”) all of like
tenor, except as to the name of the Payee, the date of issuance, the principal amount thereof and other non-material details. The
Bridge Notes are limited in aggregate principal amount to Seven Hundred Thousand Dollars ($700,000). The Note is made as of the
date first written above (the “Issuance Date”).

 

1.       Interest
shall accrue on the unpaid Principal Amount at a rate of ten percent (10%) per annum, quarterly, beginning on the date that is
90 days from the date of issuance hereof. All computations of interest shall be made on the basis of a year consisting of 360 days
for the actual number of days occurring in the period for which interest is payable.

 

2.       Payments
of principal, premium and interest shall be made as follows:

 

(a)       in
the event that the public offering of the Company’s securities that is contemplated in the Company’s Form S-1 filed
with the Securities and Exchange Commission on July 28, 2016 (the “Offering”) closes prior to the first anniversary
of the Issuance Date, the amount that is equal to (A) the entire original principal amount of the Note multiplied by 1.25 plus
(B) the interest, if any, accrued and compounded quarterly, every 90 days, beginning on the date that is 90 days from the Issuance
Date on the entire outstanding principal amount, will be due and payable by no later than five days from the date of closing of
the Offering;

 

(b)       in
the event that the Offering has not closed prior to the first anniversary of the Issuance Date, on such first anniversary of the
Issuance Date, the amount that is equal to (A) the amount that is equal to the entire original principal amount of the Note multiplied
by 1.25, plus (B) the interest accrued and compounded quarterly, every 90 days, beginning on the date that is 90 days from the
Issuance Date on the entire outstanding principal amount will be due and payable;

 

    	 	 	 

     

    

 

(c)       in
the event that the Offering closes on a date that is sooner than 90 days from the Issuance Date, no interest will accrue; and

 

(d)       any
payment which is due and payable on a day which is not a business day in the State of New York shall be made on the next succeeding
business day.

 

3.       An
event of default under this Note shall include (i) the failure of the Maker to make a payment required hereunder within five (5)
days of when due, (ii) an assignment by the Maker for the benefit of creditors or the Maker’s application for or consent
to the appointment of a receiver or trustee for it or for a substantial part of its property or business, or such a receiver or
trustee shall otherwise be appointed without the consent of Maker and is not dismissed within sixty (60) days of appointment, (iii)
the Maker is subject to any bankruptcy proceeding against it that remains undismissed for a period of sixty (60) days, (iv) the
Maker files a voluntary petition of bankruptcy, (v) the occurrence of an event of default under any of the other Bridge Notes or
(vi) the breach by the Maker of any representation or warranty contained in the Note Purchase Agreement pursuant to which this
Note was issued. Upon the occurrence of an event of default, then, at the option of the Payee, the entire unpaid Principal Amount
of this Note plus any unpaid premium (calculated at the rate of .25 times the original Principal Amount) and any unpaid accrued
interest on the Principal Amount shall become immediately due and payable. The failure of the Payee to exercise this option to
accelerate payment of the amounts due under this Note shall not constitute a waiver of the Payee’s right to exercise the
acceleration provision in the event of any subsequent default on this Note.

 

4.       Maker
shall pay all of the Payee’s reasonable expenses incurred to enforce or collect any of the Maker’s obligations hereunder,
including, without limitation, attorneys' fees and experts' fees and expenses, whether incurred without the commencement of a suit,
in any trial, or in any appellate or bankruptcy proceeding.

 

5.       The
Maker shall have the right to prepay at any time, part or all of the outstanding Principal Amount of this Note, together with the
premium thereon (calculated at the rate of .25 times the original Principal Amount) and accrued but unpaid interest on the Principal
Amount prepaid to the date of prepayment, without additional premium or penalty. No partial prepayment shall affect the obligation
of Maker to make any payment of principal, premium or interest due under this Note on the due dates specified. Monies received
by Payee from any source for application toward this Note shall be applied first to accrued interest, then to premium and then
to the Principal Amount.

 

6.       Except
as otherwise provided herein, the Maker hereby waives presentment, demand for payment, notice of dishonor, and any or all other
notices or demands in connection with the delivery, acceptance, performance, default or endorsement of this Note, and assents to
extension of the time of payment, release or forbearance as determined by the holder hereof, without notice.

 

    	 	2	 

     

    

 

7.       This
Note may not be amended or modified in any manner without the prior written consent of the party against which enforcement of the
amendment or modification is sought. No waivers, amendments or modifications of this Note shall be valid unless the same shall
be given in writing. No failure or delay on the part of the Payee in exercising any right, power or remedy under this Note shall
operate as a waiver thereof, nor shall a single or partial exercise thereof preclude any further exercise.

 

8.       This
Note shall be governed by and construed and enforced in accordance with the laws of the State of New York. The Maker hereby agrees
to the non-exclusive jurisdiction of the federal and state courts located in the State of New York. The provisions of this Note
are severable and the invalidity or unenforceability of any provision shall not alter or impair the remaining provisions of this
Note.

 

9.       All
notices hereunder shall be in writing and shall be delivered personally, by certified mail or registered mail (postage prepaid
and return receipt requested), or by a nationally recognized overnight courier, to the addresses set forth in the introductory
paragraph of this Note. Notices shall be effective upon receipt.

 

IN WITNESS WHEREOF, the
Maker has duly executed this Note.

 

	 	 	Microphase Corporation	 
	 	 	 	 
	 	 	 	 
	 	By:  	 	 
	 	Name:  	 	 
	 	Title:  	 	 

 

    	 	3

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00265-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00265-of-00352.parquet"}]]