Document:

Exhibit 10.2

 

 

 

STOCK OPTION AGREEMENT

(2022Incentive
Stock Option Plan)

 

Genufood Energy Enzymes Corp.
(the “Company”) (or a successor, if appropriate), desiring
to afford an opportunity to the Grantee named below to purchase certain shares of common stock of the Company (or a successor, if appropriate)
(the “Common Stock”) to provide the Grantee with an added
incentive as an employee of the Company (or a successor, if appropriate), hereby grants to Grantee, and the Grantee hereby accepts, an
option to purchase the number of such shares

optioned as specified below, during the term
ending at midnight (prevailing local time at the Company’s (or
a successor, if appropriate) principal offices) on the expiration date of this Option specified below, at the option exercise price
specified below, subject to and upon the following terms and conditions:

 

1.
Identifying Provisions. As used in this Option, the following terms shall have the following respective meanings.

 

	(a)	Grantee: David Tang;

 

	(b)	Date of grant: July 15, 2022;

 

	(c)	Number of shares optioned: 15,000,000;

 

	(d)	Option exercise price per share: $.01;

 

	(e)	Expiration Date: July 15, 2032;

 

	(f)	Cliff: 12 months

 

	(g)	Plan: The Company’s 2022Incentive
Stock Option Plan;

 

	(h)	Committee: The stock option committee of the Company’s
(or a successor, if appropriate) Board of Directors (the “Board”),
or if none, the Board.

 

 2. Vesting.

 

This Option will be subject to
a vesting schedule providing for twenty-five percent (25%) vesting after the first twelve (12) months of employment and monthly vesting
as to the remaining seventy-five percent (75%) of the shares over the following thirty-six (36) months after the first anniversary of
the employment commencement date:

 

	Vesting Date	 	Number of Shares	 
	July 15, 2023	 	 	3,750,000	 
	July 15, 2024	 	 	3,750,000	 
	July 15, 2025	 	 	3,750,000	 
	July 15, 2026	 	 	3,750,000	 

 

     

     

    

 

 

 

3. Restrictions on
Exercise. The following additional provisions shall apply to the exercise of this Option:

 

(a) Termination of
Employment Without Cause or Change in Control (as defined in Section 13). If the Grantee’s
employment is terminated without Cause or Change in Control by the Company (or a successor, if appropriate), then this Option shall
fully vest and remain exercisable until the Expiration Date.

 

(b) Death of Grantee.
If the Grantee shall die during the term of this Option, the Grantee’s
legal representative or representatives, or the person or persons entitled to do so under the Grantee’s
last will and testament or under applicable intestate laws, shall have the right to exercise this Option, but only for the number of
shares as to which the Grantee was entitled to exercise this Option in accordance with Section 2 hereof on the date of his death,
and such right shall expire and this Option shall terminate three years after the date of the Grantee’s
death or on the Expiration Date, whichever date is sooner.

 

(c) Continuity of Employment.
This Option shall not be exercisable by the Grantee in any part unless at all times beginning with the date of grant and ending no more
than one year prior to the date of exercise, the Grantee has, except for military service leave, sick leave or other bona fide leave of absence (such as temporary employment by the United States Government) been in the continuous employ of the Company (or a
successor, if appropriate).

 

(d) Grantee resigns for Good Reason (as defined in Section 13); then the vesting of this
Equity Award, effective immediately prior to such termination of Grantee’s
Continuous Service Status, shall accelerate such that this Equity Award shall become vested according to the following formula of the Shares then
unvested as specified below:

 

(a)
the total percentage of vested shares will be equal to the sum of (i) 50% of all option shares, plus (ii) 50% of all option shares multiplied
by a fraction, the numerator of which is the number of whole months that you have been continuously employed by the Company (and the Company’s
successor, if applicable) and the denominator of which is 48 months, the aggregate total number of shares issued and issuable under the
Option Agreement th t are vested and exercisable shall automatically be accelerated to a number that is equal to:

 

(50% x A) + [(B / 48) x (50% x A)].

 

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For purposes of the foregoing formula:

 

A = The total number of shares
originally issuable upon exercise in full of the Option Agreement on the date it was granted (as such number may be adjusted for any subsequent
stock splits, reverse stock splits, stock dividends, or like events).

 

B = The total number of full
months that you have been continuously employed by the Company (including any successor of the Company following the Corporate Transaction).

 

4. Non-Transferable. The
Grantee may not transfer this Option except by will or the laws of descent and distribution. This Option shall not be otherwise
transferred, assigned, pledged, hypothecated or disposed of in any way, whether by operation of law or otherwise, and shall be
exercisable during the Grantee’s lifetime only by the Grantee
or his guardian or legal representative.

 

5. Adjustments and
Corporate Reorganization. Subject to any required action by the shareholders of the Company (or a successor, if appropriate),
the number of shares covered by the Option, as well as the exercise price per share of the Option, shall be proportionately adjusted
for any increase or decrease in the number of issued shares resulting from a stock split, reverse stock split, stock dividend,
combination or reclassification of the Common Stock, or any other increase or decrease in the number of issued shares of Common
Stock effected without receipt of consideration by the Company (or a successor, if appropriate); provided, however, that conversion
of any convertible securities of the Company (or a successor, if appropriate) shall not be deemed to have been “effected
without receipt of consideration.” Such adjustment shall be made by the Committee, whose determination in that respect shall
be final, binding and conclusive. Except as expressly provided herein, no issuance by the Company (or a successor, if appropriate)
of shares of stock of any class, or securities convertible into shares of stock of any class, shall affect, and no adjustment by
reason thereof shall be made with respect to, the number or price of shares subject to the Option.

 

In the event of the proposed
dissolution or liquidation of the Company (or a successor, if appropriate), the Option will terminate immediately prior to the consummation
of such proposed action, unless otherwise provided by the Committee. The Committee may, in the exercise of its sole discretion in any
such instance, declare that the Option shall terminate as of a date fixed by the Committee and give Grantee the right to exercise his
Option as to all or any part of the Option, including shares as to which the Option would not otherwise be exercisable. In the event of
the proposed sale of all or substantially all of the assets of the Company (or a successor, if appropriate), or the merger of the Company
(or a successor, if appropriate) with or into another corporation in a transaction in which the Company (or a successor, if appropriate)
is not the survivor, the Option shall be assumed or an equivalent option shall be substituted by such successor corporation or a parent
or subsidiary of such successor corporation, unless the Committee determines, in the exercise of its sole discretion and in lieu of such
assumption or substitution, that the Grantee shall have the right to exercise the Option as to all of the optioned stock, including shares
as to which the Option would not otherwise be exercisable. If the Committee makes an Option fully exercisable in lieu of assumption or
substitution in the event of such a merger or sale of assets, the Committee shall notify the Grantee that the Option shall be fully exercisable
for a period of 30 days from the date of such notice, and the Option will terminate upon the expiration of such period.

 

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6. Exercise,
Payment For and Delivery of Stock. This Option may be exercised by the Grantee or other person then entitled to exercise it by
giving four business days ‘written notice of exercise to the
Company (or a successor, if appropriate) specifying the number of shares to be purchased and the total purchase price. The exercise
price shall become immediately due upon exercise of the Option and shall be payable in one of the following alternative forms
specified below:

 

 (a) full payment in cash or check drawn to the Company’s (or a successor, if appropriate) order;

 

(b) full payment in shares
of Common Stock held for at least six months and valued at fair market value on the Exercise Date (as such term is defined
below);

 

(c) 
full payment through a combination of shares of Common Stock held for at least six months and valued at fair market value on the
Exercise Date and cash or check; or

 

(d) 
full payment through a broker-dealer sale and remittance procedure provided that sale of the optioned stock is permitted as a result
of an effective registration statement under the Securities Act of 1933, as amended, and Grantee complies with all applicable securities
laws, pursuant to which the Grantee (i) shall provide irrevocable written instructions to a Company-designated (or a successor, if appropriate)
brokerage firm to effect the immediate sale of the purchased shares and remit to the Company (or a successor, if appropriate), out of
the sale proceeds available on the settlement date, sufficient funds to cover the aggregate exercise price payable for the purchased shares
plus all applicable Federal and State income taxes required to be withheld by the Company (or a successor, if appropriate) in connection
with such purchase and (ii) shall provide written directives to the Company (or a successor, if appropriate) to deliver the certificates
for the purchased shares directly to such brokerage firm in order to complete the sale transaction.

 

For purposes of this section
6, the Exercise Date shall be the date on which written notice of the Option exercise is delivered to the Company (or a successor, if
appropriate). Except to the extent the sale and remittance procedure is utilized in connection with the exercise of the Option, payment
of the exercise price for the purchased shares must accompany such notice. The fair market value per share of Common Stock on any relevant
date shall be determined in accordance with the following provisions:

 

(i) If the Common Stock is
not at the time listed or admitted to trading on any national stock exchange but is traded on The NASDAQ National Market, the fair
market value shall be the closing selling price per share of Common Stock on the date in question, as such price is reported by the
National Association of Securities Dealers on The NASDAQ National Market or any successor system. If there is no reported closing
selling price for the Common Stock on the date in question, then the closing selling price on the last preceding date for which such
quotation exists shall be determinative of fair market value.

 

(ii) If the Common Stock is
at the time listed or admitted to trading on any national stock exchange, then the fair market value shall be the closing selling
price per share of Common Stock on the date in question on the stock exchange determined by the Committee to be the primary market
for the Common Stock, as such price is officially quoted in the composite tape of transactions on such exchange. If there is no
reported sale of Common Stock on such exchange on the date in question, then
the fair market value shall be the closing selling price on the exchange on the last preceding date for which such quotation exists.

 

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(iii) If the Common Stock is
quoted on The NASDAQ Capital Market or any similar system of automated dissemination of quotations of securities in common use, the
fair market value shall be the mean between the closing bid and asked quotations for the Common Stock on such date.

 

(iv) If neither clause (i),
(ii) or (iii) is applicable, then the fair market value shall be the mean between the closing bid and asked quotations for the
Common Stock as reported by the National Quotation Bureau, Inc., if at least two securities dealers have inserted both bid and asked
quotations for Common Stock on at least five of the ten preceding business days.

 

(v) If none of clauses (i) -
(iv) is applicable then the fair market value shall be determined by the Committee.

 

7. 
Rights in Shares Before Issuance and Delivery. No person shall be entitled to the privileges of stock ownership in respect
of any shares issuable upon exercise of this Option unless and until such shares have been issued to such person as fully paid shares.

 

8. 
Requirements of Law and of Stock Exchanges. By accepting this Option, the Grantee represents and agrees for himself and his
transferees by will or the laws of descent and distribution that, unless a registration statement under the Securities Act of 1933 is
in effect as to shares purchased upon any exercise of this Option, (i) any and all shares so purchased shall be acquired for his personal
account and not with a view to or for sale in connection with any distribution, and (ii) each notice of the exercise of any portion of
this Option shall be accompanied by a representation and warranty in writing, signed by the person entitled to exercise the same, that
the shares are being so acquired in good faith for his personal account and not with a view to or for sale in connection with any distribution.

 

No certificate
or certificates for shares of stock purchased upon exercise of this Option shall be issued and delivered unless and until, in the opinion
of counsel for the Company , such securities may be issued and delivered without causing the Company to be in violation of or incur liability
under any federal, state or other securities law, any requirement of any securities exchange listing agreement to which the Company may
be a party, or any other requirement of law or of any regulatory body having jurisdiction over the Company.

 

9.  Stock
Option Plan. This Option is subject to, and the Company (or a successor, if appropriate) and the Grantee agree to be bound by,
all of the terms and conditions of the Plan, as the same shall have been amended from time to time in accordance with the terms
thereof, provided that no such amendment shall deprive the Grantee, without his consent, of this Option or any of his rights
hereunder. Pursuant to the Plan, the Committee is vested with final authority to interpret and construe the Plan and this Option and
is authorized to adopt rules and regulations for carrying out the Plan. A copy of the Plan in its present form is available for
inspection during business hours by the Grantee or other persons entitled to exercise this Option at the Company’s
principal office. The Plan, as amended from time to time, is hereby incorporated by reference.

 

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10. 
Notices. Any notice to be given to the Company shall be addressed to the Company in care of its Secretary at its principal
office, and any notice to be given to the Grantee shall be addressed to him at the address given beneath his signature hereto or at such
other address as the Grantee may hereafter designate in writing to the Company. Any such notice shall be deemed duly given when actually
delivered by hand, facsimile, certified or registered mail or recognized overnight courier.

 

11. 
Conflict with Employment Agreement. In the event that any provision of this Option Agreement is inconsistent with a provision
of an employment agreement between the Grantee and the Company, then this option agreement shall govern and supersede the inconsistent
provision of Employment Agreement.

 

12. 
Laws Applicable to Construction. This Agreement has been executed and delivered by the Company in the State of California,
and this Agreement shall be construed and enforced in accordance with the laws of said State.

 

 13. Definitions.

 

(i) Change in Control:

 

(a) 
if there occurs any transaction (which shall include a series of transactions occurring within 60 days or occurring pursuant to
a plan) that has the result that stockholders of the Company (or a successor, if appropriate) immediately before such transaction cease
to own at least 51% percent of the voting stock of the Company (or a successor, if appropriate) or of any entity that results from the
participation of the Company (or a successor, if appropriate) in a reorganization, consolidation, merger, liquidation or any other form
of corporate transaction;

 

(b) 
if, during any period of two consecutive years, individuals who at the beginning of such period constitute the Board cease for
any reason to constitute at least a majority thereof, unless the Board in existence immediately preceding the two year period shall have
nominated the new Directors whose directorships have created the altered Board composition;

 

(c) 
if the stockholders of the Company (or a successor, if appropriate) shall approve a plan of merger, consolidation, reorganization,
liquidation or dissolution in which the Company does not survive (unless the approved merger, consolidation, reorganization, liquidation
or dissolution is subsequently abandoned); or

 

(d) 
if the stockholders of the Company (or a successor, if appropriate) shall approve a plan for the sale, lease, exchange or other
disposition of all or substantially all of the property and assets of the Company (unless such approved plan is subsequently abandoned).

 

(e) 
if the Company’s successor (which, for the purposes of this
provision, is the acquirer of the Company’s assets in a Change of
Control resulting from the sale of all or substantially all of the Company’s
assets) does not agree to assume this Equity Award, or to substitute an equivalent award or right for this Equity Award, and Executive
remains in Continuous Service Status through the consummation of such Change of Control, and does not voluntarily resign without continuing
with the Company’s successor, then the vesting of this Equity Award
shall accelerate such that this Equity
Award shall be vested to the same extent as if Executive had been terminated without Cause as described below, effective immediately prior
to, and contingent upon, the consummation of such Change of Control.

 

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 (ii) “Cause” shall mean the occurrence of:

 

(a) 
The willful misconduct or gross negligence in performance of his duties, including his refusal to comply in any material respect
with the legal directives of the Company’s Board of Directors so
long as such directives are not inconsistent with a party’s position
and duties, and such refusal to comply is not remedied within ten (10) working days after written notice from the Company, which written
notice shall state that failure to remedy such conduct may result in termination for Cause;

 

(b) 
dishonest or fraudulent conduct, a deliberate attempt to do an injury to the Company (or a successor, if appropriate) or the conviction
of a felony; or

 

(c) 
breach of the Proprietary Information and Inventions Assignment Agreement entered into with the Company (or a successor, if appropriate).

 

(iii) Good
Reason: As used herein, “Good Reason” will mean
Executive’s resignation due to the occurrence of any of the
following conditions which occurs without Executive’s written
consent, provided that the requirements regarding advance notice and an opportunity to cure set forth

below are satisfied:

 

(a) 
there is a material adverse change in employee’s position
of employment causing such position to be of materially less stature or of materially less responsibility, including without limitation,
a change of title or responsibilities normally associated with such title, without employee’s
consent,

 

(b) 
there is a reduction of more than ten percent (10%) of employee’s
base compensation unless in connection with similar decreases of other similarly situated employees of the Company, or

 

(c) 
employee refuses to relocate to a facility or location more than thirty-five (35) miles from such employee’s
principal work site; and

 

(d) 
within the one (1) year period immediately following such event the employee elects to terminate voluntarily his employment relationship
with the Company.

 

(e) 
In order for Executive to resign for Good Reason, Executive must provide written notice to the Company of the existence of the
Good Reason condition within 60 days of the initial existence of such Good Reason condition. Upon receipt of such notice, the Company
will have 30 days during which it may remedy the Good Reason condition and not be required to provide for the vesting acceleration described
herein as a result of such proposed resignation. If the Good Reason condition is not remedied within such 30-day period, Executive may
resign based on
the Good Reason condition specified in the notice effective no later than 30 days following the expiration of the 30-day cure period.

 

 (iv) Termination:

 

(a) 
means a termination of your employment for any reason other than “Cause”
(as defined above).

 

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IN WITNESS WHEREOF, the Company
has granted this Option on July 15, 2022.

 

	GENUFOOD ENERGY ENZYMES CORP.	 
	 	 
	By:	 /s/ Jui-Pin (John) Lin,	 
	 	 Chairman of the Board	 
	 	 	 
	 	 	 
	 	 
	GRANTEE	 
	 	 
	By:	 /s/ David Tang	 
	 	 	 
	 		 

 

 

8EX-10.1

  GREEN THUMB INDUSTRIES INC. 2018 STOCK AND INCENTIVE PLAN NOTICE OF STOCK OPTION GRANT

   

   

   

  You have been granted the following option to purchase Subordinate Voting Shares of Green Thumb Industries Inc. (the “Company”):

   

  		
	Name of Optionee:
 
	_______________________________________________

	Total Number of Shares Granted:
 
	_______________________________________________

	Type of Option:
 
	Non-Qualified Stock Option

	Exercise Price Per Share
 
	CDN$__________________ or US$__________________

	Date of Grant:
 
	_______________________________________________

	Vesting Terms:
 
	_______________________________________________

	Expiration Date:
	_______________________________________________

   

  By your signature and the signature of the Company’s representative below, you and the Company agree that this option is granted under and governed by the terms and conditions of the Company’s 2018 Stock and Incentive Plan, as amended and the attached Stock Option Agreement, both of which are made a part of this document.

   

  	 

   

   

  	 

  		
	OPTIONEE:
 
	GREEN THUMB INDUSTRIES INC.

	_______________________________________________
	By:____________________________________________
 

	_______________________________________________
	Title:___________________________________________

	Print Name
	 

   

   

   

   

   

  Updated July 2022

  

  GREEN THUMB INDUSTRIES INC. 2018 STOCK AND INCENTIVE PLAN STOCK OPTION AGREEMENT

   

   

  SECTION 1.	GRANT OF OPTION.

   

  (a)Option. On the terms and conditions set forth in the Notice of Stock Option Grant and this Agreement, the Company grants to the Optionee on the Date of Grant the option to purchase at the Exercise Price the number of Shares set forth in the Notice of Stock Option Grant. This option is intended to be a Non-Qualified Stock Option (NSO), as provided in the Notice of Stock Option Grant.

   

  (b)Stock Plan and Defined Terms. This option is granted pursuant to the 2018 Stock and Incentive Plan, as amended (the “Plan”), a copy of which the Optionee acknowledges having received. The provisions of the Plan are incorporated into this Agreement by this reference. Capitalized terms are defined in Section 9 of this Agreement, unless otherwise defined elsewhere herein or in Section 2 of the Plan.

   

  SECTION 2.	RIGHT TO EXERCISE.

   

  (a)In General. Except as set forth below and subject to any other conditions of this Agreement, all or part of this option may be exercised prior to its expiration at the time or times set forth in the Notice of Stock Option Grant.

   

  (b)Change in Control. If within 12 months following a Change in Control, the Company terminates the Optionee’s service with the Company for reasons other than for Cause, then the option shall become immediately exercisable in full on the date of such termination, and the Optionee may exercise all or part of this option at any time before its expiration.

   

  SECTION 3.	NO TRANSFER OR ASSIGNMENT OF OPTION.

   

  Except as otherwise provided in this Agreement, this option and the rights and privileges conferred hereby shall not be sold, pledged or otherwise transferred (whether by operation of law or otherwise) and shall not be subject to sale under execution, attachment, levy or similar process.

   

  SECTION 4.	EXERCISE PROCEDURES.

   

  (a)Notice of Exercise. The Optionee or the Optionee’s representative may exercise this option by giving written notice to the Company, which notice may be electronic and/or delivered through the Company’s share plan portal. The notice shall specify the election to exercise this option, the number of Shares for which it is being exercised and the form of payment. The notice shall be signed by the person exercising this option. In the event that this option is being exercised by the representative of the Optionee, the notice shall be accompanied by proof (satisfactory to the Company) of the representative’s right to exercise this option. The Optionee or the Optionee’s representative shall deliver to the Company, at the time of giving the notice, payment in a form permissible under Section 5 of this Agreement for the full amount of the Purchase Price.

   

  (b)Applicable Exercise Price.  The options granted hereby include a Canadian Dollar and U.S. Dollar Exercise Price that are equivalent as of the Date of Grant.  The Company shall have the sole authority, to be exercised in its sole discretion, to determine to apply the U.S. Dollar or Canadian Dollar Exercise Price based on the Company’s share plan administration procedures.  

   

  (c)Issuance of Shares. After receiving a proper notice of exercise, the Company shall cause to be issued Shares (either in certificate or book entry form, as determined by the Company) as to which this option has been exercised, registered in the name of the person exercising this option (or in the names of such person and his or her spouse as community property or as joint tenants with right of survivorship). If the Optionee is a resident of the United States, the Optionee acknowledges that any securities (the “Securities”) issued hereunder may be “restricted securities”, as such term is defined under Rule 144 under the Securities Act of 1933, as amended, (the “U.S. Securities Act”) and the Optionee agrees that if it decides to offer, sell or otherwise transfer, pledge or 

   

  Updated July 2022

  2

  

  hypothecate all or any part of the Securities, it will not offer, sell or otherwise transfer, pledge or hypothecate any or any part of the Securities other than pursuant to an effective registration statement under the U.S. Securities Act or pursuant to an exception to any applicable restrictions imposed thereby, directly or indirectly. Participant further, acknowledges that, if the Securities are not registered pursuant to a valid registration statement, a legend to the foregoing effect will be affixed to any certificates representing the Securities. 

   

  (d)Taxes. The Optionee hereby agrees to make adequate provision for any sums required to satisfy the applicable federal, state, local or foreign employment, social insurance, payroll, income or other tax withholding obligations (the “Withholding Obligations”) that arise in connection with this Agreement, the option, the exercise of the option or any portion thereof and the sale of any Securities acquired pursuant to the exercise of the option or any portion thereof. The Company may establish procedures to ensure satisfaction of all applicable Withholding Obligations arising in connection with this Agreement, including any means permitted in Section 8 of the Plan. The Optionee hereby authorizes the Company, at its sole discretion and subject to any limitations under applicable law, to satisfy any such Tax Obligations by (1) withholding a portion of the Securities otherwise to be issued pursuant to the exercise of the option (or any portion thereof) having a value equal to the amount of Withholding Obligation in accordance with such rules as the Company may from time to time establish; (2) withholding from the wages and other cash compensation payable to the Optionee or by causing the Optionee to tender a cash payment or other Securities to the Company; or (3) selling on the Optionee’s behalf (using any brokerage firm determined acceptable to the Company for such purpose) a portion of the Securities issued in connection with the exercise of the option (or any portion thereof) as the Company determines to be appropriate to generate cash proceeds sufficient to satisfy the Withholding Obligations. The Optionee shall be responsible for all brokerage fees and other costs of sale, and the Optionee further agrees to indemnify and hold the Company harmless from any losses, costs, damages or expenses relating to any such sale. The Company may refuse to deliver Securities if the Optionee fails to comply with the Optionee’s obligations in connection with the Withholding Obligations described in this paragraph. The Optionee agrees to pay to the Company or its applicable Affiliate, any amount of Withholding Obligations that the Company or its applicable Affiliate may be required to withhold or account for as a result of Optionee’s participation in the Plan that cannot be satisfied by the means described in this Agreement. The Company may refuse to issue or deliver the Shares, cash or the proceeds of the sale of Shares, if the Optionee fails to comply with the Optionee’s obligations in connection with the Withholding Obligations.

   

  SECTION 5.	PAYMENT FOR STOCK.

   

  (a)Cash. All or part of the Purchase Price may be paid in cash or cash equivalents, as permitted by the Company’s share plan administration procedures.

   

  (b)Surrender of Stock. Subject to applicable corporate and securities laws, and stock exchange requirements, all or any part of the Purchase Price may be paid by surrendering, or attesting to the ownership of, Shares that are already owned by the Optionee. Such Shares shall be surrendered to the Company in good form for cancellation and shall be valued at their Fair Market Value on the date when this option is exercised. The Optionee shall not surrender, or attest to the ownership of, Shares in payment of the Purchase Price if such action would cause the Company to recognize compensation expense (or additional compensation expense) with respect to this option for financial reporting purposes.

   

  (c)Exercise/Sale. If Shares are publicly traded, all or part of the Purchase Price and any withholding taxes may be paid by the delivery (on a form prescribed by the Company) of an irrevocable direction to a securities broker approved by the Company to sell Shares and to deliver all or part of the sales proceeds to the Company.

   

  (d)Net Exercise. The Company may, in its discretion, permit an Option to be exercised by delivering to the Optionee a number of Shares having an aggregate Fair Market Value (determined as of the date of exercise) equal to the excess, if positive, of the Fair Market Value of the Shares underlying the Option being exercised on the date of exercise, over the Purchase Price of the Option for such Shares.

   

  SECTION 6.	TERM AND EXPIRATION.

   

  (a)Basic Term. This option shall in any event expire on the expiration date set forth in the Notice of Stock Option Grant, which date shall not exceed seven years after the Date of Grant (five years after the Date of Grant if this option is designated as an ISO in the Notice of Stock Option Grant, and the Optionee is a 10% owner 

   

  Updated July 2022

  3

  

  as described in Section 6 of the Plan).

   

  (b)Termination of Service (Except by Death). If the Optionee’s service terminates prior to the expirary date of Optionee’s service contract, if applicable, for any reason other than death, then this option shall expire on the earliest of the following occasions:

   

  (i)The expiration date determined pursuant to Subsection (a) above;

   

  (ii)The date three months after the termination of the Optionee’s service for any reason other than Cause; or

  (iii)The date of termination of the Optionee’s service for Cause.

   

  The Optionee may exercise all or part of this option at any time before its expiration under the preceding sentence, but only to the extent that this option is then vested and exercisable. In the event that the Optionee dies after termination of service but before the expiration of this option, all or part of this option may be exercised (prior to expiration) by the executors or administrators of the Optionee’s estate or by any person who has acquired this option directly from the Optionee by beneficiary designation, bequest or inheritance, but only to the extent that this option had become exercisable before the Optionee’s death. For avoidance of doubt, if the Optionee is employed by an Affiliate that is sold or otherwise ceases to be an Affiliate of the Company, the Optionee shall incur a termination of service.

   

  (c)Death of the Optionee. If the Optionee dies while in service, then any unvested portions of the option shall immediately vest and become exercisable in full upon the date of death, and this option shall expire on the earlier of the following dates:

   

  (i)The expiration date determined pursuant to Subsection (a) above; or

   

  (ii)The date 12 months after the Optionee’s death.

   

  All or part of this option may be exercised at any time before its expiration under the preceding sentence by the executors or administrators of the Optionee’s estate or by any person who has acquired this option directly from the Optionee by beneficiary designation, bequest or inheritance, but only to the extent that this option had become exercisable before the Optionee’s death.

   

  (d)Leaves of Absence. For any purpose under this Agreement, service shall be deemed to continue while the Optionee is on a bona fide leave of absence, if such leave was approved by the Company in writing and if continued crediting of service for such purpose is expressly required by the terms of such leave or by applicable law (as determined by the Company).

   

  SECTION 7.	ADJUSTMENT OF SHARES.

   

  In the event of any transaction described in Section 4(c) of the Plan, the terms of this option (including, without limitation, the number and kind of Shares subject to this option and the Exercise Price) shall be adjusted as set forth in Section 4(c) of the Plan. In the event that the Company is a party to any corporate transaction, this option shall be subject to amendment as provided in Section 7(b) of the Plan.

   

  SECTION 8.	MISCELLANEOUS PROVISIONS.

   

  (a)Rights as a Shareholder. Neither the Optionee nor the Optionee’s representative shall have any rights as a shareholder with respect to any Shares subject to this option until the Optionee or the Optionee’s representative becomes entitled to receive such Shares by filing a notice of exercise and paying the Purchase Price pursuant to Sections 4 and 5 of this Agreement.

   

  (b)Compliance Matters. The Company may require from the Optionee such investment representation, undertaking or agreement, if any, as the Company may consider necessary in order to comply with applicable laws and policies of any applicable exchange. The Optionee understands and acknowledges that Shares 

   

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  to be issued upon exercise of this option may be issued subject to any restrictive legend or other transfer restrictions as may be required by applicable securities laws and stock exchange requirements.

   

  (c)No Retention Rights. Nothing in this option or in the Plan shall confer upon the Optionee any right to continue in service for any period of specific duration or interfere with or otherwise restrict in any way the rights of the Company (or any Affiliate employing or retaining the Optionee) or of the Optionee, which rights are hereby expressly reserved by each, to terminate his or her service at any time and for any reason, with or without Cause.

   

  (d)Notice. Any notice required by the terms of this Agreement shall be given in writing and notice to the Company shall be deemed effective upon receipt by the Company (i) upon personal delivery, (ii) through registered or certified mail with postage and fees prepaid; or (iii) through electronic notification using a form and process approved by the Company. If mailed or delivered, notice to the Company shall be addressed to the Company at its principal executive office and notice to the Optionee shall be addressed to the address that he or she most recently provided to the Company.

   

  (e)Entire Agreement. The Notice of Stock Option Grant, this Agreement and the Plan constitute the entire contract between the parties hereto with regard to the subject matter hereof. They supersede any other agreements, representations or understandings (whether oral or written and whether express or implied) which relate to the subject matter hereof.

   

  (f)Choice of Law. This Agreement shall be governed by, and construed in accordance with, the laws of the State of Delaware, as such laws are applied to contracts entered into and performed in such State.

   

  (g)Insider Trading / Market Abuse Laws. By participating in the Plan, the Optionee agrees to comply with the Company’s policy on insider trading as in effect at any given time. The Optionee further acknowledges that the Optionee may be subject to local insider trading and/or market abuse laws and regulations that are separate from and in addition to any restrictions that may be imposed under any applicable Company insider trading policy. The Optionee acknowledges that it is the Optionee’s personal responsibility to comply with any applicable restrictions, and that the Optionee should consult the Optionee’s personal advisor on this matter.

   

  (h)Electronic Delivery. The Company may, in its sole discretion, deliver by electronic means any documents related to the option or the Optionee’s future participation in the Plan. The Optionee hereby consents to receive such documents by electronic delivery and agrees to participate in the Plan through an on-line or electronic system established and maintained by the Company or a third party designated by the Company. To the extent that this Agreement is manually signed, instead of electronically accepted by the Optionee (if permitted by the Company), it may be signed in counterparts, each of which shall be deemed an original, with the same effect as if the signatures thereto and hereto were upon the same instrument.

   

  (i)Legend on Certificates. Any Shares issued or transferred to the Optionee pursuant to this Agreement shall be subject to such stop transfer orders and other restrictions as the Board of Directors of the Company or the Compensation Committee thereof may deem advisable under the Plan or the rules, regulations, and other requirements of the U.S. Securities and Exchange Commission, the British Columbia Securities Commission, or any other applicable regulator, or any stock exchange upon which such Shares are listed, any applicable Canadian Federal or provincial, or U.S. Federal or state laws or relevant securities laws of the jurisdiction of the domicile of the Optionee or to ensure compliance with any additional transfer restrictions that may be in effect from time to time, and the Board of Directors of the Company or the Compensation Committee thereof may cause a legend or legends to be put on any certificates representing such Shares to make appropriate reference to such restrictions.

   

  (j)No Rights of a Shareholder. The Optionee pant shall not have any rights as a shareholder of the Company until the Shares in question have been registered in the Company’s register of shareholders.

   

  (k)Acknowledgement of Exchange Rate Risks. By accepting te award, the Optionee acknowledges that the Company has the authority to elect the U.S. Dollar or Canadian Dollar Exercise Price in its sole discretion, and that fluctuations in the exchange rate for U.S. Dollars and Canadian Dollars may impact the value of the Options pursuant to the exercise of the options or the subsequent sale of any Shares acquired in connection 

   

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  therewith.  The Optionee accepts all foreign exchange risk and understands that the Company shall have no liability with respect to any changes in the value of the options (including if the options have no value) due to currency fluctuations, and has no obligation to elect to administer the awards in any currency or the currency most favorable to the Optionee.

   

  (l)Rule 16b-3. If the Optionee has been designated by the Company’s Board of Directors as a “Section 16 Officer” as of the Date of Grant, the grant of the option to the Optionee hereunder is intended to be exempt from the provisions of Section 16(b) of the Securities Exchange Act of 1934, as amended from time to time (the “Exchange Act”) pursuant to Rule 16b-3 promulgated under the Exchange Act.

   

  SECTION 9.	DEFINITIONS.

   

  In addition to the definitions set forth in the Plan, the following terms shall have the meanings ascribed herein (in the event a conflict exists, the meaning set forth in this Agreement shall prevail):

   

  (a)“Agreement” shall mean this Stock Option Agreement.

   

  (b)“Cause” shall mean a (i) willful and repeated failure to perform duties or contravention in any material respect of specific written lawful directions related to a material duty or responsibility which is directed to be undertaken by the Board (other than due to physical or mental illness); (ii) conviction of guilty or nolo contendere plea to, a misdemeanor which is materially and demonstrably injurious to the Company or any of its subsidiaries or any felony; (iii) commission of an act, or a failure to act, that constitutes fraud, gross negligence or willful misconduct (including without limitation, embezzlement, misappropriation or breach of fiduciary duty resulting or intending to result in personal gain at the expense of the Company or any of its subsidiaries); and (iv) violation of any applicable laws, rules or regulations or failure to comply with applicable confidentiality,

  non-solicitation and non-competition obligations to the Company or any of its subsidiaries, corporate code of business conduct or other material policies of the Company or any of its subsidiaries in connection with or during performance of the Optionee’s duties to the Company or any of its subsidiaries that could, in the Board’s opinion, cause material injury to the Company or any of its subsidiaries; and (v) failure to maintain applicable professional licenses or certifications. In the case of a violation or failure under (iv) or (v), if such violation or failure is curable, such violation or failure shall only constitute “Cause” if it is not cured within thirty (30) days after notice thereof to the Optionee.

   

  (c)“Change in Control” shall mean:

   

  (i)the occurrence of any of the following events (each, a “Business Combination”): (a) the sale of more than 50% of the outstanding equity securities of the Company in a single transaction or in a series of transactions occurring during a period of not more than twelve months; (b) the Company is merged, amalgamated or consolidated with another corporation; or (c) a sale of substantially all of the assets of the Company to another entity, unless, following any of the foregoing Business Combinations in (a) through (c) above, all or substantially all of the individuals and entities that were the beneficial owners of the Company’s outstanding voting securities immediately prior to such Business Combination beneficially own immediately after the transaction or transactions, directly or indirectly, 50% or more of the combined voting power of the then outstanding voting securities (or comparable interests) of the entity resulting from such Business Combination (including an entity that, as a result of such transaction, owns the Company or all or substantially all of the Company’s assets either directly or through one or more Affiliates) in substantially the same proportions as their ownership of the Company’s voting securities immediately prior to such Business Combination; or

   

  (ii)in any twelve (12) month period, the individuals who, as of the beginning of the 12-month period, constitute the Board of Directors (the “Incumbent Board”) cease for any reason to constitute at least a majority of the Board of Directors; provided, however, that any individual becoming a director subsequent to the Effective Date whose election or appointment, or nomination for election by Company’s shareholders, was approved by a vote of at least a majority of the directors then comprising the Incumbent Board will be 

   

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  considered as though such individual were a member of the Incumbent Board, but excluding, for this purpose, any such individual whose initial assumption of office occurs as a result of an actual or threatened election contest with respect to the election or removal of directors or other actual or threatened solicitation of proxies or consents by or on behalf of a Person other than the Board of Directors.

   

  (d)“Date of Grant” shall mean the date specified in the Notice of Stock Option Grant.

   

  (e)“Exercise Price” shall mean the amount for which one Share may be purchased upon exercise of this option, as specified in the Notice of Stock Option Grant.

   

  (f)“Notice of Stock Option Grant” shall mean the document so entitled to which this Agreement is attached.

  (g)“Optionee” shall mean the individual named in the Notice of Stock Option Grant.

   

  (h)“Purchase Price” shall mean the Exercise Price multiplied by the number of Shares with respect to which this option is being exercised.

   

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