SEC Contract Filing

Filing Date: 2019-09-26

Document Content:
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<TYPE>EX-10.2
<SEQUENCE>5
<FILENAME>awsm-ex102_9.htm
<DESCRIPTION>EX-10.2
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<p style="margin-bottom:0pt;margin-top:0pt;text-indent:0%;font-family:Times New Roman;font-size:11pt;">&nbsp;</p>
<p style="margin-bottom:0pt;margin-top:0pt;text-indent:0%;font-family:Times New Roman;font-size:11pt;">&nbsp;</p>
<p style="margin-bottom:0pt;margin-top:0pt;text-indent:0%;font-family:Times New Roman;font-size:11pt;">&nbsp;</p>
<p style="text-align:right;margin-bottom:12pt;margin-top:0pt;font-weight:bold;font-size:12pt;font-family:Times New Roman;font-style:normal;text-transform:none;font-variant: normal;text-indent:0%;"><font style="text-decoration:underline;">Exhibit 10.2</font></p>
<p style="text-align:center;margin-bottom:12pt;margin-top:0pt;text-indent:0%;font-weight:bold;font-size:12pt;font-family:Times New Roman;font-style:normal;text-transform:none;font-variant: normal;">ESCROW AGREEMENT</p>
<p style="text-align:justify;margin-bottom:12pt;margin-top:0pt;text-indent:7.69%;font-weight:bold;font-size:12pt;font-family:Times New Roman;font-style:normal;text-transform:none;font-variant: normal;">THIS ESCROW AGREEMENT<font style="font-weight:normal;">, dated effective as of September [&nbsp;&nbsp;], 2019 (&#8220;</font><font style="text-decoration:underline;font-weight:normal;">Agreement</font><font style="font-weight:normal;">&#8221;), is by and among Cool Holdings, Inc., a Maryland corporation (&#8220;</font><font style="text-decoration:underline;font-weight:normal;">Depositor</font><font style="font-weight:normal;">&#8221;), GameStop Corp., a Delaware corporation (&#8220;</font><font style="text-decoration:underline;font-weight:normal;">Recipient</font><font style="font-weight:normal;">&#8221;), and U.S. BANK NATIONAL ASSOCIATION, a national banking association, as escrow agent hereunder (&#8220;</font><font style="text-decoration:underline;font-weight:normal;">Escrow Agent</font><font style="font-weight:normal;">&#8221;).</font></p>
<p style="text-align:center;margin-bottom:12pt;margin-top:0pt;text-indent:0%;font-weight:bold;font-size:12pt;font-family:Times New Roman;font-style:normal;text-transform:none;font-variant: normal;">BACKGROUND</p>
<p style="text-align:justify;margin-bottom:12pt;margin-top:0pt;text-indent:7.69%;font-size:12pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">A. Depositor, Recipient and Simply Mac, Inc., a Utah corporation and wholly-owned subsidiary of Recipient (&#8220;<font style="text-decoration:underline;">Simply Mac</font>&#8221;), have entered into a Stock Purchase Agreement (the &#8220;<font style="text-decoration:underline;">Underlying Agreement</font>&#8221;), made and entered into as of May 9, 2019, pursuant to which Depositor is purchasing all of the outstanding capital stock of Simply Mac from Recipient, as described in the Underlying Agreement. Solely as between Depositor and Recipient, capitalized terms used herein and not otherwise defined herein shall have the meanings assigned to them in the Underlying Agreement. </p>
<p style="text-align:justify;margin-bottom:12pt;margin-top:0pt;text-indent:7.69%;font-size:12pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">B. Pursuant to Section 1.3(c) of the Underlying Agreement, at the Closing, Depositor shall deposit with Escrow Agent an amount equal to $345,000.00 (the &#8220;<font style="text-decoration:underline;">Escrow Amount</font>&#8221;), with any interest and other income earned thereon net of any distributions pursuant to the terms hereof to be held in escrow from time to time pursuant to this Agreement in order to provide a source of funding to the Purchaser Indemnified Parties in accordance with the Underlying Agreement.</p>
<p style="text-align:justify;margin-bottom:12pt;margin-top:0pt;text-indent:7.69%;font-size:12pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">C. Escrow Agent has agreed to accept, hold, and disburse the funds deposited with it and any earnings thereon in accordance with the terms of this Agreement.</p>
<p style="text-align:justify;margin-bottom:12pt;margin-top:0pt;text-indent:7.69%;font-size:12pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">D. Depositor and Recipient acknowledge that (i) Escrow Agent is not a party to and has no duties or obligations under the Underlying Agreement, (ii) all references in this Agreement to the Underlying Agreement are solely for the convenience of Depositor and Recipient, and (iii) Escrow Agent shall have no implied duties beyond the express duties set forth in this Agreement.</p>
<p style="text-align:justify;margin-bottom:12pt;margin-top:0pt;text-indent:7.69%;font-weight:bold;font-size:12pt;font-family:Times New Roman;font-style:normal;text-transform:none;font-variant: normal;">NOW THEREFORE<font style="font-weight:normal;">, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto, for themselves, their successors and assigns, hereby agree as follows:</font></p>
<p style="text-align:justify;margin-bottom:12pt;margin-top:0pt;text-indent:7.69%;font-size:12pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">1.<font style="margin-left:72pt;"></font><font style="text-decoration:underline;">Definitions</font>. The following terms shall have the following meanings when used herein:</p>
<p style="text-align:justify;margin-bottom:12pt;margin-top:0pt;text-indent:7.69%;font-size:12pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: norma