SEC Contract Filing

Filing Date: 2020-04-03

Document Content:
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<TYPE>EX-10.1
<SEQUENCE>2
<FILENAME>ex10-1.htm
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<P STYLE="text-align: center; font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: right"><B>Exhibit 10.1</B></P>

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

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><B>FOURTH AMENDMENT TO THE</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><B>UNSECURED PROMISSORY NOTE</B></P>

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

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">THIS FOURTH AMENDMENT TO
THE UNSECURED PROMISSORY NOTE (this &ldquo;Fourth Amendment&rdquo;), effective as of March 31, 2020, is by and between Flux Power,
Inc., a California corporation (&ldquo;Borrower&rdquo;) and Cleveland Capital, L.P. (&ldquo;Holder&rdquo;). Holder and Borrower,
each a &ldquo;Party&rdquo; and collectively, the &ldquo;Parties&rdquo;.</P>

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

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

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

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">WHEREAS, the Borrower,
Flux Power Holdings, Inc., and the Holder entered into that certain Loan Agreement dated July 3, 2019 (the &ldquo;Loan Agreement&rdquo;),
pursuant to which the Holder provided a loan to the Company in the amount of One Million Dollar ($1,000,000) (&ldquo;Loan&rdquo;)
pursuant to the terms and conditions of the Loan Agreement. In connection with the Loan, the Borrower issued a certain Unsecured
Promissory Note dated July 3, 2019 (&ldquo;Original Note&rdquo;), as amended pursuant to the First Amendment to the Unsecured Promissory
Note dated September 1, 2019 (&ldquo;First Amendment&rdquo;), the Second Amendment to the Unsecured Promissory Note dated December
3, 2019 (&ldquo;Second Amendment&rdquo;), and the Third Amendment to the Unsecured Promissory Note dated December 31, 2019 ( the
&ldquo;Third Amendment&rdquo; and together with the Original Note, the First Amendment, the Second Amendment, and the Third Amendment,
the &ldquo;Amended Note&rdquo;).</P>

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

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">WHEREAS, the maturity date
for the Loan under the Amended Note is March 31, 2020.</P>

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

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">WHEREAS, the Parties desires
to amend the Amended Note to change the maturity date from &ldquo;March 31, 2020&rdquo; to &ldquo;April 30, 2020.&rdquo;</P>

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

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

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

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">NOW, THEREFORE, in consideration
of the foregoing premises, the mutual agreements set forth below, and other good and valuable consideration, the receipt and sufficiency
of which is hereby acknowledged, the parties hereto agree as follows:</P>

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

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">1. <U>Maturity
Date.</U> Section 1(b) of the Amended Note is hereby deleted in its entirety and shall, be amended to read in its entirety as follows:</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.5in; text-align: justify; text-indent: 0.5in">&ldquo;(b)
&ldquo;<U>Maturity Date</U>. Except as otherwise provided herein, the entire Principal Amount of this Note, together with all
accrued but unpaid interest payable thereon, shall be due and payable in full on the earlier of: (i) April 30, 2020 <FONT STYLE="letter-spacing: -0.1pt">(the
&ldquo;<U>Maturity Date</U>&rdquo;) or (ii) the occurrence of an Event of Default (as defined below); <U>provided</U>, <U>however</U>,
the Borrower shall make periodic payments of interest and principal within ten (10) days upon receipt of cash from accounts
receivables identified in <U>Schedule A</U> (&ldquo;<U>Receivables</U>&rdquo;), an amount equal to 100% of cash received from
such Receivables. Such payments shall be applied first to the payment of unpaid interest and second to reduce the outstanding
Principal amount.</FONT>&rdquo;</P>

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

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">2. <U>Accrued
Interest to Date</U>. As additional consideration, the Parties agreed that all accrued and unpaid interest on the Principal Amount
as of March 31, 2020 shall be converted into the Principal Amount and shall earn interest per the Amended Note.</P>

<P STYLE="font: 10pt Times New Roman, Times, Se