SEC Contract Filing

Filing Date: 2020-06-29

Document Content:
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<TYPE>EX-10.3
<SEQUENCE>4
<FILENAME>ex10-3.htm
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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: right"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>Exhibit
10.3</B></FONT></P>

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

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">This
<B>STOCK CANCELLATION AGREEMENT</B> (this &ldquo;<U>Agreemen</U>t&rdquo;), dated June 23, 2020 <B>(</B>the &ldquo;<U>Effective
Date</U>&rdquo;), by and between Surge Holdings, Inc., a Nevada corporation (the &ldquo;<U>Company</U>&rdquo;), and Yossi Attia
individually (the &ldquo;<U>Shareholder</U>&rdquo;). Company and the Shareholder are also hereinafter individually and jointly
referred to as &ldquo;<U>Party</U>&rdquo; and/or &ldquo;<U>Parties</U>&rdquo;.</FONT></P>

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

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>WHEREAS</B>,
the Shareholder is the owner of 3,333,333 free trading shares of the Company&rsquo;s common stock (the &ldquo;<U>Shares</U>&rdquo;);</FONT></P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>WHEREAS</B>,
the Company has agreed to redeem: (a) 2,380,952 of the Shares (the &ldquo;<U>Initial Tranche Shares</U>&rdquo;) upon the execution
hereof in exchange for $500,000 (the &ldquo;<U>Initial Tranche Redemption Price</U>&rdquo;); and (b) all or part of the remaining
Shares, as determined by the Company from time to time (such amount to be redeemed, the &ldquo;<U>Subsequent Tranche Shares</U>&rdquo;)
on or prior to July 23, 2020 (the &ldquo;<U>Expiration Date</U>&rdquo;), against the delivery of $0.21 per share of common stock
(per share, the &ldquo;<U>Redemption Price</U>&rdquo;), subject to the terms and conditions herein provided;</FONT></P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>WHEREAS</B>,
on the date hereof, in exchange for the delivery of the Initial Tranche Redemption Price of $500,000 as herein provided to the
Shareholder, Shareholder agrees to immediately cancel said Initial Tranche Shares;</FONT></P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>WHEREAS</B>,
following the date hereof and prior to the Expiration Date, in exchange for the delivery of the Redemption Price per share as
herein provided to the Shareholder, Shareholder agrees to cancel that portion of the Subsequent Tranche Shares which has been
paid for and redeemed; and</FONT></P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>WHEREAS</B>,
the Shareholder acknowledges that the Shares are being held as free trading in book entry form.</FONT></P>

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THEREFORE</B>, in consideration of the mutual promises, covenants and representations contained herein, and other good and valuable
consideration, the receipt and sufficiency of which is hereby acknowledged, and subject to the terms and conditions hereof, the
Parties hereby agree as follows:</FONT></P>

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