SEC Contract Filing

Filing Date: 2022-11-28

Document Content:
<DOCUMENT>
<TYPE>EX-10.3
<SEQUENCE>4
<FILENAME>ttcfex103subordinationagre.htm
<DESCRIPTION>EX-10.3
<TEXT>
<!DOCTYPE html PUBLIC "-//W3C//DTD HTML 4.01 Transitional//EN" "http://www.w3.org/TR/html4/loose.dtd"><html><head>
<!-- Document created using Wdesk -->
<!-- Copyright 2022 Workiva -->
<title>Document</title></head><body><div id="iee26e33ebc454ad88740acd9dcea2345_38"></div><div style="min-height:67.68pt;width:100%"><div style="margin-top:10pt;text-align:right"><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:700;line-height:100%">Exhibit 10.3</font></div></div><div style="margin-top:3.7pt;padding-left:150.97pt;padding-right:150.97pt;text-align:center"><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:400;line-height:100%;text-decoration:underline">SUBORDINATION AGREEMENT</font></div><div style="margin-top:0.45pt"><font><br></font></div><div style="margin-top:4.6pt;padding-left:5.35pt;padding-right:13.8pt;text-align:justify;text-indent:36pt"><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:400;line-height:100%">THIS SUBORDINATION AGREEMENT (this &#8220;Agreement&#8221;), dated as of November 23, 2022, is entered into by and between UMB BANK, N.A. (&#8220;Senior Creditor&#8221;), and Tattooed Chef, Inc., a Delaware corporation (the &#34;Subordinate Creditor&#34;), and is acknowledged and consented to by ITTELLA INTERNATIONAL, LLC., a California limited liability company (&#34;Company&#34;), with reference to the following facts&#58;</font></div><div style="margin-top:0.5pt;text-align:justify"><font><br></font></div><div style="padding-left:150.92pt;padding-right:150.92pt;text-align:center"><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:400;line-height:100%;text-decoration:underline">RECITALS</font></div><div style="text-align:justify"><font><br></font></div><div style="padding-left:5.35pt;padding-right:8.9pt;text-align:justify;text-indent:72pt"><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:12pt;font-weight:400;line-height:100%">1.</font><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:400;line-height:100%;padding-left:21.65pt">Reference is made to the Amended and Restated Loan and Security Agreement dated as of June 30, 2022, between Company and Senior Creditor (the &#8220;Senior Creditor Financing Agreement&#8221;), pursuant to which Senior Creditor has provided Company with certain credit facilities. To secure its obligations to Senior Creditor under the Senior Creditor Financing Agreement and the other Loan Documents (executed by Company in connection with and as defined in the Senior Creditor Financing Agreement), Company granted Senior Creditor a security interest in all &#34;Collateral&#34; (as defined in the Senior Creditor Financing Agreement) which includes all of Company's personal property.</font></div><div style="margin-top:0.4pt;text-align:justify"><font><br></font></div><div style="padding-left:5.35pt;padding-right:18.95pt;text-align:justify;text-indent:72pt"><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:12pt;font-weight:400;line-height:115%">2.</font><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:400;line-height:115%;padding-left:21.65pt">Company is obligated to Subordinate Creditor pursuant to that certain Subordinated Note dated November 23, 2022 in the original principal amount of Five Million Dollars ($5,000,000) (the &#34;Subordinated Note&#34;).</font></div><div style="margin-top:0.1pt;text-align:justify"><font><br></font></div><div style="margin-top:4.6pt;padding-left:5.35pt;padding-right:11.05pt;text-align:justify;text-indent:72pt"><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:12pt;font-weight:400;line-height:115%">3.</font><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:400;line-height:115%;padding-left:21.65pt">Senior Creditor and the Subordinate Creditor desire to agree as to the relative priority of their respective rights to receive payment from Company, the relative priority of their respective security interests in the personal property of Company, and certain other rights, priorities, and interests.</font></div><div style="margin-top:0.05pt;text-align:justify"><font><br></font></div><div style="padding-left:5.35pt;padding-right:15.1pt;text-align:justify;text-indent:36pt"><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:400;line-height:100%">NOW, THEREFORE, in consideration of the foregoing and the mutual covenants herein contained, and for other good and valuable consideration, Senior Creditor and the Subordinate Creditor hereby agree as follows, and Company hereby acknowledges and consents to the following&#58;</font></div><div style="margin-top:0.05pt;text-align:justify"><font><br></font></div><div style="padding-left:5.4pt;padding-right:22.1pt;text-align:justify;text-indent:36pt"><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:12pt;font-weight:400;line-height:115%">1.</font><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:400;line-height:115%;padding-left:21.6pt;text-decoration:underline">Definitions</font><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:400;line-height:115%">. As used herein, the following initially capitalized terms shall have the respective indicated definitions&#58;</font></div><div style="margin-top:0.45pt;text-align:justify"><font><br></font></div><div style="padding-left:5.4pt;padding-right:55.2pt;text-align:justify;text-indent:71.95pt"><font style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:11pt;font-weight:400;line-height:100%