SEC Contract Filing

Filing Date: 2023-01-18

Document Content:
<DOCUMENT>
<TYPE>EX-10.3
<SEQUENCE>4
<FILENAME>ea171821ex10-3_akernacorp.htm
<DESCRIPTION>RELEASE AND AGREEMENT
<TEXT>
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<P STYLE="font: 10pt Times New Roman, Times, Serif; text-align: right; margin: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>Exhibit
10.3</B></FONT></P>

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

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 111.15pt 0pt 107.7pt; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>RELEASE
AND AGREEMENT</B></FONT></P>

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

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">THIS
RELEASE AND AGREEMENT (the &ldquo;<B>Release</B>&rdquo;) dated January 11 2023 (the &ldquo;<B>Effective Date</B>&rdquo;) is granted by
HT Investments MA LLC, in its capacity as collateral agent (the &ldquo;<B>Collateral Agent</B>&rdquo;) under that certain Amended and
Restated Security and Pledge Agreement dated as of October 5, 2021 (the &ldquo;<B>Security Agreement</B>&rdquo;) related to the issuance
of senior secured convertible notes (the &ldquo;<B>Notes</B>&rdquo;) by Akern a Corp., a Delaware corporation (the &ldquo;<B>Company</B>&rdquo;),
acting on behalf of the holders of the Notes (the &ldquo;<B>Holders</B>&rdquo;), for the benefit of the Company and the Company&rsquo;s
wholly-owned subsidiary, The NAV Peopl e Inc., a Delaware corporation (&ldquo;<B>NAV People</B>&rdquo;).</FONT></P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 108.1pt 0pt 107.75pt; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">RECITALS</FONT></P>

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

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">WHEREAS,
the Company is party to that certain Securities Purchase Agreement, dated as of October 5, 2021 (as amended, restated, extended, replaced
or otherwise modified from time to time, the &ldquo;<B>Securities Purchase Agreement</B>&rdquo;), by and among the Company, the Collateral
Agent and the Holders, pursuant to which the Company sold Notes to the Holders (capitalized terms not defined herein shall have the meaning
as set forth in the Securities Purchase Agreement);</FONT></P>

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

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">WHEREAS,
as security for the repayment of the Company&rsquo;s obligations under the Notes, the Company and certain subsidiaries of the Company
(the &ldquo;Material <B>Subsidiaries</B>&rdquo;), including, without limitation, NAV People, entered into the Security Agreement, pursuant
to which, among other things, the Company granted the Collateral Agent, in its capacity as collateral agent to the Holders, a first priority
security interest on substantially all of the assets of the Company and its Material Subsidiaries, including, without limitation, a pledge
by the Company of all of the outstanding shares (the &ldquo;<B>NAV Shares</B>) of common stock of NAV People and a pledge by NAV People
of 65% of the issued and outstanding shares of its wholly-owned subsidiary 365 Dynamics People Software and Services Ltd., a British
Columbia corporatio n (the &ldquo;<B>365DP Shares</B>&rdquo;);</FONT></P>

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

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">WHEREAS,
as a further inducement to the Holders purchasing the Notes, NAV People was one of certain grantors (other than the Company) that executed
and delivered an Amended and Restated Guaranty, dated October 5, 2021 (the &ldquo;<B>Guaranty</B>&rdquo;) guaranteeing the payment of
the Company&rsquo;s obligations under the Notes and entered into an Intellectual Property Security Agreement, dated October 5, 2021 (the
&ldquo;<B>IP Agreement</B>&rdquo;) granting the Collateral Agent a security interest in the intellectual property collateral of NAV People
on the terms set forth in the IP Agreement;</FONT></P>

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

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; text-align: left; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">WHEREAS,
the Company desires to enter into that certain Stock Purchase Agreement (&ldquo;<B>SPA</B>&rdquo;) by and between the Company and 365
Holdco LLC (&ldquo;<B>365</B>&rdquo;), to be dated on or about the date hereof, under which the Company will sell to 365 all of the issued
and outstanding N