SEC Contract Filing

Filing Date: 2024-10-08

Document Content:
<DOCUMENT>
<TYPE>EX-10.2
<SEQUENCE>4
<FILENAME>umac_ex1002.htm
<DESCRIPTION>LETTER AGREEMENT TITAN MULTI-STRATEGY FUND I, LTD.
<TEXT>
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<P STYLE="margin: 0"><B>Exhibit 10.2</B></P>

<P STYLE="margin: 0"><B>&nbsp;</B></P>

<P STYLE="margin: 0"><B>&nbsp;</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>Unusual Machines, Inc. </B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>4677 L B McLeod Rd, Suite J</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>Orlando, Florida 32811</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>&nbsp;</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">October 3, 2024</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Titan Multi-Strategy Fund I, Ltd.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">5825 Windsor Court</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Boca Raton, FL 33496</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Attn: Jonathan Honig</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in">Re: Unusual Machines, Inc.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Dear Mr. Honig:</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">This letter agreement documents
our understanding regarding the Transactions (as defined herein) between Ventures LLC (&ldquo;Eleven&rdquo;) and Unusual Machines, Inc.
(the &ldquo;Company&rdquo;) and Titan Multi-Strategy Fund I, Ltd. (&ldquo;Titan&rdquo;) Eleven and the Company.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">Reference is made to two certain
Exchange Agreements, dated August 21, 2024, under which Eleven and Titan each represented by separate legal counsel exchanged their respective
8% Promissory Notes (the &ldquo;Old Notes&rdquo;) for (i) new 4% Convertible Promissory Notes (the &ldquo;New Notes&rdquo;), convertible
into shares of the Company&rsquo;s common stock; (ii) 105 shares of the Company&rsquo;s Series C Convertible Preferred Stock (the &ldquo;Series
C&rdquo;) convertible into 315,000 shares of the Company&rsquo;s common stock; and (iii) five-year warrants exercisable for 315,000 shares
of the Company&rsquo;s common stock (the &ldquo;Warrants&rdquo; and together with the New Notes and Series C, the &ldquo;Convertible Securities&rdquo;).
The issuance of the Company&rsquo;s common stock upon the conversion or exercise of the Convertible Securities under the two certain Exchange
Agreements to Eleven and Titan is referred to herein as the &ldquo;Transactions.&rdquo;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">In the process of reviewing
a Supplemental Listing Application, we have been advised by the New York Stock Exchange (the &ldquo;NYSE&rdquo;) that in order to satisfy
NYSE American Guide Section 713, it must be clear in the Convertible Securities documents that no more than 19.9% of the common stock
outstanding immediately prior to the Transactions can be issued in the aggregate without first obtaining stockholder approval. Rather
than requiring the Company to amend and restate each of the above-referenced documents, the NYSE has agreed that Side Letter will be sufficient
to satisfy this requirement.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">On August 20, 2024, there
were 6,184,983 shares of the Company&rsquo;s common stock outstanding. By executing this Side Letter, Titan acknowledges that, notwithstanding
the terms of the Exchange Agreements and the terms of the Convertible Securities, the Company shall not issue common stock under the Transactions
if the issuance would exceed 19.9%, or 1,236,378 shares, of the Company&rsquo;s common stock in the aggregate, as allocated on the signature
page hereto, under any circumstances, without first obtaining stockholder approval. Once the Company obtains stockholder approval the
allocation set forth below shall no longer apply.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">Please execute and return
this letter to the Company via email to brian@unusualmachines.com Attention: Brian Hoff,
CFO, with a copy to mharris@nasonyeager.com.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"></P>

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 <TD STYLE="vertical-align: top">&nbsp;</TD>
 <TD>Sincerely yours, </TD></TR>
<TR>
 <TD S