EXHIBIT 10.6
Debt Conversion and Mutual
Settlement and Release Agreement
This Debt Conversion and Mutual Settlement and Release Agreement
("Conversion Agreement") is entered into at Orlando, Florida, effective as of
March 1, 2001 ("Effective Date"), between Holiday RV Superstores, Inc., a
Delaware corporation ("Holiday RV") and County Line Select Cars, Inc., a Florida
corporation ("County Line" and collectively with Holiday RV, the "Holiday RV
Group"), and Xxxxxxx Xxxxxx, an individual ("Xxxxxxx") and Xxxxxxxxx Xxxxxx, an
individual ("Francisco" and collectively with Xxxxxxx, the "Investor Group").
WITNESSETH:
Whereas, Holiday RV (as "Purchaser"), County Line (as "Company"), and the
Investor Group (as "Stockholders") are parties to an agreement entitled Stock
Purchase Agreement made and entered into on November 11, 1999 ("Stock Purchase
Agreement").
Whereas, in connection with the Stock Purchase Agreement, Holiday RV
executed a convertible promissory note dated November 11, 1999 (the "Xxxxxxx
Note"), pursuant to which Holiday RV promised to pay to the order of Xxxxxxx (as
"Holder") the principal sum of seven hundred and fifty thousand dollars
($750,000) together with interest as described therein on or before November 11,
2002.
Whereas, in connection with the Stock Purchase Agreement, Holiday RV
executed a convertible promissory note dated November 11, 1999 (the "Francisco
Note" and collectively with the Xxxxxxx Note the "Purchase Notes"), pursuant to
which Holiday RV promised to pay to the order of Francisco (as "Holder") the
principal sum of seven hundred and fifty thousand dollars ($750,000) together
with interest as described therein on or before November 11, 2002.
Whereas, in connection with the Stock Purchase Agreement, County Line (as
the "Company") entered into an employment agreement dated November 11, 1999 (the
"Xxxxxxx Employment Agreement") with Xxxxxxx (as "Employee"), pursuant to which
County Line agreed, among other things, to employ Xxxxxxx for a period of three
years as Senior Vice President and General Manager - Florida Division, at a
salary of one hundred and twenty-five thousand dollars ($125,000) per year.
Whereas, in connection with the Stock Purchase Agreement, County Line (as
the "Company") entered into an employment agreement dated November 11, 1999 (the
"Francisco Employment Agreement" and collectively with the Xxxxxxx Employment
Agreement the "County Line Employment Agreements") with Francisco (as
"Employee"), pursuant to which the County Line agreed, among other things, to
employ Francisco for a period of three years as Vice President and Assistant
General Manager - Florida Division, at a salary of one hundred and twenty-five
thousand dollars ($125,000) per year.
Whereas, the Holiday RV Group with respect to the Investor Group, and the
Investor Group with respect to the Holiday RV Group, desire to finally settle
all of their respective rights and obligations under the Stock Purchase
Agreement, the Purchase Notes, the County Line Employment Agreements and all
amendments thereto, and all other related agreements (collectively the "Former
Agreements"), terminate and release all of their respective rights and
obligations under the
Former Agreements, and settle all other disputes of any kind that may or could
exist between the Holiday RV Group and the Investor Group with respect to the
Former Agreements, all upon the terms and conditions set forth in this
Conversion Agreement. For purposes of this Agreement, the parties acknowledge
and agree that the term "Former Agreements" does not include the indebtedness
and obligation of Holiday RV secured by the mortgages on real property described
in Schedule 3.3 hereto, and (ii) the obligations of Holiday RV to make rental
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payments to or for the benefit of the Investor Group in exchange for the use of
two CD-3000-406 Key Systems (one located in Clermont and one located in Ocala),
two (2) electric signs (one located in Clermont and one located in Ocala) and
one other sign located in Clermont (collectively, the "Investor Group Leases").
Now Therefore, in consideration of the mutual agreements contained herein
and for other good and sufficient consideration, the receipt and sufficiency of
which is hereby acknowledged, Holiday RV, County Line, Xxxxxxx, and Francisco
agree as follows:
1. Defined Terms. In addition to those terms that may be defined
elsewhere in this Conversion Agreement, the following terms shall have the
meanings defined in this Section 1.
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1.1 "Common Stock" means the common stock, par value $.001 of
Holiday RV.
1.2 "Note Conversion" means the conversion of indebtedness in the
original principal amount of $1,500,000, excluding any accrued but unpaid
interest (which is the entire principal amount Holiday RV and the Investor Group
have agreed is due and payable pursuant to the Stock Purchase Agreement and the
Purchase Notes), into four hundred twelve thousand (412,000) shares of Common
Stock (the "Conversion Shares") at a price per share of $3.05 and a $60,000
merchandise credit.
2. Termination of County Line Employment Agreements. In consideration of
the Note Conversion and as of the Effective Date:
2.1. Xxxxxxx Employment Agreement. The Xxxxxxx Employment Agreement
shall be terminated and of no further force and effect, and any amounts
previously earned, due or payable, or amounts which could be earned or which
could become due or payable upon the happening of future events, including but
not limited to compensation (pursuant to Section 3.1 of the Xxxxxxx Employment
Agreement), Bonuses, Reimbursements, Fringe Benefits, Compensated Leave, and
Severance Pay (as defined in and pursuant to Sections 3.2, 3.3, 3.4, 6, and 10,
respectively, of the Xxxxxxx Employment Agreement) is irrevocably waived and the
obligation of any member of the Holiday RV Group to make such payments or any
other payments related in any way to the Former Agreements, or Armando's
employment at County Line is forever discharged and released, as set forth in
more detail pursuant to Section 7 of this Conversion Agreement; provided,
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however, that the Holiday RV Group shall provide, at its sole cost, medical
insurance coverage for Xxxxxxx comparable in all material respects to the
medical insurance coverage provided to Xxxxxxx pursuant to the Xxxxxxx
Employment Agreement, which medical insurance coverage shall apply at all times
beginning on the Effective Date and ending on November 11, 2002.
2.2. Francisco Employment Agreement. The Francisco Employment
Agreement shall be terminated and of no further force and effect, and any
amounts previously earned or amounts which could be earned upon the happening of
future events, including but not limited to
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compensation (pursuant to Section 3.1 of the Francisco Employment Agreement),
Bonuses Bonuses, Reimbursements, Fringe Benefits, Compensated Leave, and
Severance Pay (as defined in and pursuant to Sections 3.2, 3.3, 3.4, 6, and 10,
respectively, of the Francisco Employment Agreement) is irrevocably waived and
the obligation of any member of the Holiday RV Group to make such payments or
any other payments related in any way to the Former Agreements or Francisco's
employment at County Line is forever discharged and released, as set forth in
more detail pursuant to Section 7 of this Conversion Agreement; provided,
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however, that the Holiday RV Group shall provide, at its sole cost, medical
insurance coverage for Francisco comparable in all material respects to the
medical insurance coverage provided to Xxxxxxx pursuant to the Francisco
Employment Agreement, which medical insurance coverage shall apply at all times
beginning on the Effective Date and ending on November 11, 2002.
3. Completion of Conversion. Concurrently with or as soon as practicable
after the execution of this Conversion Agreement, Holiday RV and the Investor
Group shall complete the Note Conversion by concurrently taking the following
actions:
3.1 Actions By Holiday RV.
(a) Holiday RV shall deliver to the Investor Group stock
certificates, with the legends set forth in Section 4.1 hereof, representing the
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Conversion Shares to be issued by Holiday RV to the Investor Group in the
following names and numbers of shares:
(i) Xxxxxxx Xxxxxx for 206,000 shares; and
(ii) Xxxxxxxxx Xxxxxx for 206,000 shares.
(b) Holiday RV shall pay to each member of the Investor Group,
by wire transfer of immediately available U.S. Dollars, the interest owed by
Holiday RV to such member of the Investor Group and accrued as of the Effective
Date.
3.2 Actions By Investor Group.
(a) Each member of the Investor Group shall duly deliver to
Holiday RV the original Purchaser Note.
(b) Xxxxxxx and Francisco shall resign from their positions as
Senior Vice President and General Manager - Florida Division and Vice President
and Assistant General Manager - Florida Division, respectively, of County Line,
as evidenced by their written resignations in the form of the resignations
attached as Exhibit A hereto.
3.3 Effect of Conversion. Upon the Effective Date, (a) except as
provided in Section 3.1(a), any and all amounts owed by the Holiday RV Group
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under the Former Agreements to the members of the Investor Group shall be deemed
to have been converted, respectively, into the number of shares of Common Stock
issued to each respective member of the Investor Group, as set forth in Section
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3.1(b); (b) as of and after the Effective Date no member of the Holiday RV Group
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shall owe any debt or have any obligation of any kind to any of the members of
the Investor Group, except for (i) the indebtedness and obligation of Holiday RV
secured by the mortgages on real property set forth in Schedule 3.3 hereto, (ii)
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the obligation of Holiday RV to make rental
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payments pursuant to the Investor Group Leases; and (iii) the obligations of the
Holiday RV Group under this Conversion Agreement; and (c) each and all of the
Former Agreements shall be terminated and of no further force or effect.
4. Lock-Up. Except as provided in Section 4.2, below, the Investor Group
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agrees that they will not, without Holiday RV's prior written consent, offer,
sell, transfer, pledge, hypothecate, contract to sell, grant any option for the
sale of the Conversion Shares or otherwise dispose of (collectively, a
"Transfer"), directly or indirectly, any Conversion Shares beginning on the
Effective Date and ending on the twenty-ninth (29th) monthly anniversary of the
Effective Date.
4.1 Legends. Each member of the Investor Group understands that,
subject to Sections 4.2 and 7.8 hereof, until such time as the Conversion Shares
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acquired by the Investor Group pursuant to this Conversion Agreement are subject
to a Permitted Disposition in accordance with the terms of Section 4.2 hereof or
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registered pursuant to Section 7.8 hereof, as applicable, the certificates for
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the Conversion Shares will bear one or more restrictive legends (the "Stock
Legends") in the following forms:
THE SECURITIES REPRESENTED BY THIS CERTIFICATE MAY NOT BE SOLD,
TRANSFERRED, ASSIGNED, DISPOSED OF, LOANED, OR HYPOTHECATED
EXCEPT IN ACCORDANCE WITH THE TERMS OF THE DEBT CONVERSION AND
SETTLEMENT AGREEMENT DATED AS OF MARCH 1, 2001 ("CONVERSION
AGREEMENT") BETWEEN THE COMPANY AND THE OTHER PARTIES NAMED
THEREIN. A TRUE AND CORRECT COPY OF THE CONVERSION AGREEMENT IS
AVAILABLE FROM THE COMPANY UPON REQUEST.
THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN
REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE
"ACT"), OR ANY STATE SECURITIES LAW, AND SUCH SECURITIES MAY NOT
BE SOLD, TRANSFERRED OR OTHERWISE DISPOSED OF UNLESS THE SAME ARE
REGISTERED AND QUALIFIED IN ACCORDANCE WITH THE ACT AND ANY
APPLICABLE STATE SECURITIES LAWS, OR IN THE OPINION OF COUNSEL
REASONABLY SATISFACTORY TO THE COMPANY SUCH REGISTRATION AND
QUALIFICATION ARE NOT REQUIRED UNDER THE ACT AND APPLICABLE STATE
SECURITIES LAW.
4.2 Permitted Dispositions. Subject to compliance with Section 5
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below, on the Effective Date and upon the following 29 monthly anniversaries of
such date, each member of the Investor Group shall be permitted to effect
Transfers of the Conversion Shares (a "Permitted Disposition") with regard to
1/30/th/ of the number of initial Conversion Shares issued to such member of the
Investor Group. By way of example, and assuming no prior Permitted Dispositions,
upon the fourth and ninth monthly anniversary following the Effective Date, each
member of the Investor Group shall be entitled to Transfer an aggregate of
5/30/ths/ and 1/3rd/, respectively, of the initial Conversion Shares issued to
such individual, subject to compliance with the procedures set forth in Section
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5,
-
below.
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4.3 Put Rights. Subject to the terms and conditions herein, each
member of the Investor Group shall have the right (the "Investor Group Put
Right") to require Holiday RV to purchase any or all of the Conversion Shares
then-owned by such member of the Investor Group (the "Selling Member") and not
then-subject to the lock-up provision of Section 4.2, above. The Selling Member
shall notify Holiday RV of his exercise of the Investor Group Put Right by
providing Holiday RV with written notice thereof (the "Election Notice"). In the
event of the exercise of the Investor Group Put Right, Holiday RV shall be
obligated to pay to the Selling Member for the Conversion Shares subject to such
exercise (the "Put Conversion Shares") a per share purchase price (the "Per
Share Put Price") equal to the greater of (i) the closing price on the business
day immediately preceding the date of the Election Notice for one share of
Common Stock as reported in the Wall Street Journal, or (ii) Three and 05/100
Dollars ($3.05). The settlement of the purchase and sale of the Put Conversion
Shares shall be held at the principal office of Holiday RV at such time and date
as shall be provided in the Election Notice but which date shall in no event be
more than ten (10) days following the date of the Election Notice, unless a
later date is mutually agreed to in writing by the Selling Member and Holiday
RV. At settlement, the Selling Member shall deliver to Holiday RV the
certificate or certificates representing the Put Conversion Shares, free and
clear of any liens, claims or other encumbrances, and Holiday RV shall pay to
the Selling Member an amount equal to the Per Share Put Price multiplied by the
number of Put Conversion Shares, by wire transfer of immediately available
United States Dollars. In the event that the certificate or certificates
delivered by the Selling Member to Holiday RV represent a number of Conversion
Shares that exceeds the number of Put Conversion Shares, then Holiday RV shall
issue to the Selling Member a new certificate representing that number of shares
of Common Stock as shall equal such excess, which shares shall be considered
Conversion Shares and, as such, shall be subject to the terms and provisions of
this Conversion Agreement in the same manner and to the same extent as were the
Put Conversion Shares, and which new certificate shall bear the Stock Legends.
4.4 Prohibited Transactions. Each member of the Investor Group
agrees that unless and until all of the Conversion Shares are no longer subject
to the lock-up provisions set forth in Article 4 of this Conversion Agreement,
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such member shall not lend or enter into, directly or indirectly, any short sale
or similar transaction involving the Common Stock or any derivative security
related thereto.
5. Holiday RVOption. Subject to the terms and conditions herein, each
member of the Investor Group shall issue to Holiday RV an option in the form of
Exhibit B hereto (the "Holiday RV Option") to purchase the Conversion Shares
then-owned by a member of the Investor Group and then-subject to the lock-up
provisions set forth in Article 4 for a purchase price of Eight Dollars ($8.00)
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per share (the "Exercise Price").
6. Settlement and Mutual Release. As of the Effective Date, the Holiday
RV Group and the Investor Group agree that the terms and conditions of this
Section 6 shall be in effect with respect to the Former Agreements and all of
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the respective rights and obligations of the Holiday RV Group and the Investor
Group pursuant to the Former Agreements and all other related agreements:
6.1 The Former Agreements shall be deemed to have been voluntarily
terminated pursuant to the mutual agreement of Holiday RV, County Line, Xxxxxxx,
and Francisco, without any remaining liability to either Holiday RV, County
Line, Xxxxxxx, or Francisco. Without limiting the generality of the foregoing
provisions of this section, Holiday RV,
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County Line and each member of the Investor Group agree that the Holiday RV
Group shall no longer have any obligations of any kind under the Former
Agreements to pay any amount to the Investor Group, and the Investor Group shall
no longer have any rights of any kind under the Former Agreements to collect
from the Holiday RV Group or their predecessors, successors, former and current
subsidiaries, affiliates, shareholders, directors, officers, agents, attorneys,
representatives, insurers, employees and assigns (collectively, "Related
Parties") any amounts owed under the Former Agreements or convert such amounts
into, or to otherwise obtain ownership of, shares of Common Stock.
6.2 The Holiday RV Group with respect to the Investor Group, and the
Investor Group with respect to the Holiday RV Group, shall be deemed to have
forever released and discharged each other and each other's Related Parties from
and against any and all claims, damages and causes of action, in law or equity,
whether or not known, suspected, or claimed, direct or indirect fixed or
contingent, whether now existing or hereafter arising that they may have against
each other with respect to and in connection with the Former Agreements and any
matter arising out of the terms and conditions thereof, including without
limitation, any breach of any representation or warranty or noncompliance or
nonfulfillment of any covenant or agreement contained in or arising out of the
Former Agreements.
7. Representations, Warranties and Agreements of Holiday RV and County
Line. In addition to any representations and warranties Holiday RV and County
Line may make to the Investor Group elsewhere in this Conversion Agreement, or
in any other document delivered to the Investor Group in connection herewith,
each of Holiday RV and County Line represents and warrants to the Investor Group
that the statements contained in this Section 7 are true, accurate, complete,
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and not misleading in any material respect, and also shall be so as of the
Effective Date.
7.1 Organization and Good Standing, and Other Status. Holiday RV is
a corporation, legally and validly incorporated, organized and existing under
the laws of the State of Delaware and County Line is a corporation legally and
validly incorporated, organized and existing under the laws of the State of
Florida.
7.2 Authority to Conduct Business. Each of Holiday RV and County
Line possesses full corporate power and lawful authority to own, lease and
operate its assets, and to carry on its business as presently conducted. Each of
Holiday RV and County Line is duly and legally qualified to do business and is
in good standing in each country, state, county, city or other jurisdiction in
which the failure to so qualify would have a material adverse impact on Holiday
RV's or County Line's business.
7.3 Authority Regarding this Agreement.
7.3.1 Each of Holiday RV and County Line has the complete and
unrestricted right, power, authority and capacity to (a) execute and deliver
this Conversion Agreement, and every other document executed and delivered by
Holiday RV and County Line to the Investor Group in connection therewith
(collectively the "Transaction Documents"); and (b) carry out and perform each
of Holiday RV's or County Line's obligations pursuant to the Transaction
Documents.
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7.3.2 This Conversion Agreement has been, and, as of the
Effective Date all of the other Transaction Documents will have been, duly and
validly executed and delivered by each of Holiday RV and County Line, and when
so executed and delivered, will constitute legal, valid and binding obligations
of each of Holiday RV and County Line, enforceable in accordance with their
terms, except (i) as limited by applicable bankruptcy, insolvency,
reorganization, moratorium, and other laws of general application affecting
enforcement of creditors' rights generally, and (ii) as limited by laws relating
to the availability of specific performance, injunctive relief, or other
equitable remedies.
7.4 Valid Issuance of Common Stock. The Conversion Shares, when
issued and delivered in accordance with the terms of this Conversion Agreement,
will be duly and validly issued, fully paid, and nonassessable, and will be free
of restrictions on transfer other than those stated in this Conversion Agreement
and/or that may arise under applicable state and federal securities laws.
7.5 Disclosure. Each of Holiday RV and County Line has fully
provided each member of the Investor Group with all information each such party
has requested for deciding whether to enter into the transactions contemplated
by the Transaction Documents, including without limitation, the acquisition of
the Common Stock.
7.8 Restricted Securities; Registration. The Investor Group agrees
and acknowledges that the Conversion Shares are "restricted securities" within
the meaning of Rule 144 under the Securities Act of 1933, as amended (the
"Act"), and may not be resold or transferred without registration under the Act
and applicable state securities laws or an exception from such registration.
Holiday RV agrees to file a registration statement under the Act covering the
Conversion Shares as promptly as practicable after the Effective Date and will
use commercially reasonable efforts to cause such registration statement to be
declared effective by the Securities and Exchange Commission no later than the
120th day following the Effective Date. Holiday RV shall not be required to
maintain the effectiveness of such registration statement after any of the
Conversion Shares may be resold pursuant to Rule 144 under the Act.
8. Representations, Warranties and Agreements of the Investor Group. In
addition to any representations and warranties the Investor Group may make to
the Holiday RV Group elsewhere in this Conversion Agreement, or in any other
document delivered to Holiday RV or County Line in connection herewith, the
members of the Investor Group, jointly and severally represent and warrant to
Holiday RV and County Line that the statements contained in this Section 8 are
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true, accurate, complete, and not misleading in any material respect.
8.1 Authority Regarding this Agreement.
8.1.1 Each member of the Investor Group has the complete and
unrestricted right, power, authority and capacity to (a) execute and deliver
each Transaction Document to which it is a party; and (b) carry out and perform
each of their respective obligations pursuant to such Transaction Documents.
8.1.2 This Conversion Agreement has been, and, as of the
Effective Date all of the other Transaction Documents will have been, duly and
validly executed and delivered by each member of the Investor Group which is a
party to such agreements or documents, and when
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so executed and delivered, will constitute legal, valid and binding obligations
of each member of the Investor Group which is a party to such agreements or
documents, enforceable in accordance with their terms, except (i) as limited by
applicable bankruptcy, insolvency, reorganization, moratorium, and other laws of
general application affecting enforcement of creditors' rights generally, and
(ii) as limited by laws relating to the availability of specific performance,
injunctive relief, or other equitable remedies.
8.2 Purchase Entirely For Own Account. Each member of the Investor
Group is aware that Holiday RV is entering into the Transaction Documents in
reliance on the representation made by each member of the Investor Group, which
representation is respectively confirmed by each such member's execution of this
Conversion Agreement, and each such member hereby confirms, that the Conversion
Shares will be acquired for investment and not with a view to the resale or
distribution of any part thereof, and that such member has no present intention
of selling, granting any participation in, or otherwise distributing the same.
By executing this Conversion Agreement, each member of the Investor Group
further represents that such member does not have any contract, undertaking,
agreement or arrangement with any person to sell, transfer or grant
participations to such person or to any third person, with respect to any of the
Conversion Shares.
8.3 Disclosure of Information. Each member of the Investor Group is
an insider of Holiday RV and has received all the information it considers
necessary or appropriate in making an investment decision with respect to the
Conversion Shares. Each member of the Investor Group has had an opportunity to
ask questions and has received answers from Holiday RV regarding the terms and
conditions of the Transaction Documents and the business, properties, prospects
and financial condition of Holiday RV.
8.4 Investment Experience. Each member of the Investor Group
acknowledges that it is able to fend for itself, can bear the economic risk of
its investment, and has such knowledge and experience in financial or business
matters that it is capable of evaluating the merits and risks of the investment
in the Conversion Shares. Each member of the Investor Group has carefully
evaluated such member's financial resources and investment position and the
risks associated with an investment in the Conversion Shares, and acknowledges
that such member is able to bear the economic risks of this investment. Each
member of the Investor Group further acknowledges that such member's financial
condition is such that the member is not under any present necessity or
constraint to dispose of the securities to satisfy any existing or contemplated
debt or undertaking.
8.5 Further Restrictions on Transfer. Without in any way limiting
the representations set forth above in this Section 8, each member of the
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Investor Group further agrees not to make any disposition of all or any portion
of the Conversion Shares unless and until either (a) the Registration Statement
is then in effect covering such proposed disposition and such disposition is
made in accordance with such Registration Statement or (b) such member shall
have furnished Holiday RV with an opinion of counsel, reasonably satisfactory to
Holiday RV, that such disposition will not require registration of the
Conversion Shares in question under the Act.
Notwithstanding the provisions of paragraphs (a) and (b) above, no such
registration statement or opinion of counsel shall be required: (i) for any
transfer of any Conversion Shares in compliance with SEC Rule 144 or Rule 144A;
or (ii) for any transfer of any Conversion Shares by a holder thereof that is a
partnership or a corporation to: (1) a partner of such partnership or a
shareholder of such corporation; (2) a retired partner of such partnership who
retires after the date
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hereof; or (3) the estate of any such partner or shareholder; provided, that in
each of the foregoing cases (1) - (3) of Section 8.5(ii), the transferee agrees
in writing to be subject to the terms of this Section 8 and Sections 4 and 5 to
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the same extent as if the transferee were an original transferee of Conversion
Shares hereunder.
9. Representations, Warranties and Agreements of the Parties with Regard
to Insider Status. In addition to any representations and warranties any member
of the Holiday RV Group and any member of the Investor Group may make elsewhere
in this Conversion Agreement, or in any other document delivered to any party in
connection herewith, Holiday RV, County Line, Xxxxxxx and Francisco, jointly and
severally represent and warrant to each other party that the statements
contained in this Section 9 are true, accurate, complete, and not misleading in
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any material respect, and acknowledge that each of them are relying upon such
representations, warranties and agreements in entering into this Conversion
Agreement and the transactions contemplated herein.
9.1 Possession of Material Non-Public Information.
9.1.1 The parties acknowledge that Xxxxxxx and/or Francisco may
have possession of, or may have received, confidential or material non-public
information concerning the Common Stock and/or Holiday RV that the Holiday RV
and/or County Line do not possess or have access to (the "Buyer Information").
In addition, the parties acknowledge that Holiday RV and/or County Line may have
possession of, or may have received, confidential or material non-public
information concerning the Common Stock and/or Holiday RV, that Xxxxxxx and/or
Francisco do no possess or have access to (the "Seller Information");
9.1.2 The Holiday RV Group and the Investor Group have each
requested that the other not disclose to it any of the Buyer Information or the
Seller Information;
9.1.3 The Holiday RV Group and the Investor Group have each
complied with the other's request not to disclose to it any of the Buyer
Information or the Seller Information; and
9.1.4 As a consequence of such non-disclosure of the Buyer
Information or the Seller Information, as the case may be, there may exist a
disparity of information between the Holiday RV Group and the Investor Group
with respect to the Common Stock and/or Holiday RV.
9.2 Indemnification. As a condition to the Investor Group's
agreement to purchase, and the Holiday RV Group's agreement to sell the
Conversion Shares, each agree to waive against the other, and hereby release and
agree to indemnify and hold harmless the other from, claims, if any the other
could otherwise have with respect to the non-disclosure of the Buyer Information
or the Seller Information.
10. Miscellaneous Provisions.
10.1 Exhibits. All exhibits described in this Conversion Agreement
are incorporated by reference as if fully set forth herein, and constitute a
material part of this Conversion Agreement, whether or not such exhibits are
attached hereto.
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10.2 Governing Law. This Conversion Agreement shall in all respects
be construed, interpreted and enforced in accordance with and governed by the
laws of the State of Florida, United States of America. Any legal action between
the parties regarding this Conversion Agreement shall be brought in, and the
parties hereby consent to the jurisdiction of and venue in the federal and state
courts located in the State of Florida, United States of America.
10.3 Notices. Any notice, demand or other communication required or
permitted under this Conversion Agreement shall be deemed given and delivered
when in writing and (a) personally served upon the receiving party, or (b) upon
the third (3rd) calendar day after mailing to the receiving party by either (i)
United States registered or certified mail, postage prepaid, or (ii) Federal
Express or other comparable overnight delivery service, delivery charges
prepaid, and addressed as follows:
To Holiday RV: Holiday RV Superstores, Inc.
000 X. Xxxxxxx, Xxxxx 000
Xx. Xxxxxxxxxx, XX 00000
Attn: Xxxxxxx X. Xxxxx
Telephone: 000-000-0000
Facsimile: 000-000-0000
To any member of
the Investor Group: Xxxxxxx Xxxxxx
00000 Xxxx Xxxxx Xxxxxx Xxxx
Xxxxxxxxx Xxxx, XX 00000
Telephone: 000-000-0000
Facsimile: 000-000-0000
Xxxxxxxxx Xxxxxx
00000 Xxxx Xxxxx Xxxxxx Xxxx
Xxxxxxxxx Xxxx, XX 00000
Telephone: 000-000-0000
Facsimile: 000-000-0000
with a copy to: Xxxx X. Xxxxxxxx, Xx., Esq.
Gray, Harris & Xxxxxxxx, P.A.
000 Xxxx Xxxx Xxxxxx, Xxxxx 0000
Xxxxxxx, XX 00000
Telephone: 000-000-0000
Facsimile: 000-000-0000
Any party may change the address specified in this section by giving the other
party notice of such new address in the manner set forth herein.
10.4 Severability. In the event that any provision of this
Conversion Agreement becomes or is declared by a court of competent jurisdiction
to be illegal, unenforceable or invalid, then this Conversion Agreement shall
continue in full force and effect without said provision. If this Conversion
Agreement continues in full force and effect as provided above, the parties
shall replace
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the invalid provision with a valid provision which corresponds as far as
possible to the spirit and purpose of the invalid provision.
10.5 Counterparts. This Conversion Agreement may be executed in
any number of counterparts, each of which may be executed by less than all of
the parties hereto, each of which shall be enforceable against the parties
actually executing such counterparts, and all of which together shall constitute
one document.
10.6 Entire Agreement. This Conversion Agreement, and the
documents and agreements contemplated herein and therein, constitute the entire
agreement between the parties with respect to the subject matter hereof, and
supersede all prior oral or written agreements, representations or warranties
between the parties other than those set forth herein or herein provided for.
10.7 Successors and Assigns. Except as specifically permitted
pursuant to the terms and conditions hereof, no party shall be permitted to
assign their respective rights or obligations under this Conversion Agreement
without the prior written consent of the other parties. The provisions hereof
shall inure to the benefit of, and be binding upon, the permitted successors and
assigns, heirs, executors, and administrators of the parties hereto.
10.8 Amendment and Waiver. No modification or waiver of any
provision of this Conversion Agreement shall be binding upon the party against
whom it is sought to be enforced, unless specifically set forth in writing
signed by an authorized representative of that party. A waiver by any party of
any of the terms or conditions of this Conversion Agreement in any one instance
shall not be deemed or construed to be a waiver of such terms or conditions for
the future, or of any subsequent breach thereof. The failure by any party hereto
at any time to enforce any of the provisions of this Conversion Agreement, or to
require at any time performance of any of the provisions hereof, shall in no way
to be construed to be a waiver of such provisions or to affect either the
validity of this Conversion Agreement or the right of any party to thereafter
enforce each and every provision of this Conversion Agreement.
[Signature Page Follows]
11
IN WITNESS WHEREOF, the parties hereto have duly executed this Conversion
Agreement as of the date first above written.
HOLIDAY RV SUPERSTORES, INC.
By: ________________________________
Xxxxxxx X. Xxxxx
Chief Executive Officer
COUNTY LINE SELECT CARS, INC.
By: ________________________________
Xxxxxxx X. Xxxxx
Chief Executive Officer
___________________________________
Xxxxxxx Xxxxxx
___________________________________
Xxxxxxxxx Xxxxxx
SCHEDULE 3.3
Mortgaged Real Property
PARCEL 1 -XXXXXX COUNTY
(Ocala North - CLRV Store)
A parcel of land lying in the North 1/2 of Section 6, Township 15 South, Range
22 East, Xxxxxx County, Florida, being more particularly described as follows:
Commence at the intersection of the East right of way line of X.X. 00xx Xxxxxx
and the South right of way line of N.W. 00xx Xxxxxx (not open), thence North 89
degrees 09 minutes 36 seconds East, along said South right of way line of N.W.
31st Street, 1034.85 feet to the point of beginning; thence continue North 89
degrees 09 minutes 36 seconds East, along said right of way line, 500.58 feet to
the West right of way line of Alternate U.S. Highway 441, thence South 32
degrees 31 minutes 25 seconds East, along said right of way line, 40.64 feet;
thence continuing along said right xx xxx xxxx, Xxxxx 00 degrees 28 minutes 35
seconds West, 35.00 feet, thence continuing along said right xx xxx xxxx, Xxxxx
00 degrees 41 minutes 21 seconds East, 434.36 feet, thence departing said right
xx xxx xxxx, Xxxxx 00 degrees 26 minutes 46 seconds West, 531.90 feet, thence
North 25 degrees 09 minutes 23 seconds West, 460.09 feet to the point of
beginning.
Parcel ID#R25238-000-02
PARCEL 2 - XXXXXX COUNTY
(Ocala Xxxxx Xxxxxx Xxxxx (X & X, Xxx.))
Commencing at the Northwest corner of Section 0, Xxxxxxxx 00 Xxxxx, Xxxxx 22
East; thence run South 89 degrees 40 minutes 27 seconds East, along the North
line of said Section 6, a distance of 666.60 feet; thence run South 32 degrees
20 minutes 27 seconds East along the Easterly right of way line of S.R. 25, a
distance of 1630.48 feet to the Point of Beginning; thence continue South 32
degrees 20 minutes 27 seconds East a distance of 202.63 feet; thence run North
89 degrees 33 minutes 33 seconds East, a distance of 112.05 feet; thence run
South 32 degrees 20 minutes 27 seconds East, a distance of 198.99 feet to a
point on the Westerly right of way line of U.S. Highways 441 and 301; thence run
North 11 degrees 35 minutes 26 seconds West, along the chord of a curve, (said
curve having a radius of 5829.65 feet and a delta angle of 02 degrees 17 minutes
58 seconds) a chord distance of 233.94 feet to the P.T. of said curve; thence
run North 10 degrees 26 minutes 27 seconds West, along said right of way, a
distance of 108.71 feet; thence run North 89 degrees 29 minutes 35 seconds West,
a distance of 260.25 feet to the Point of Beginning; said property lying and
being all in the Northwest 1/4 of Section 0, Xxxxxxxx 00 Xxxxx, Xxxxx 00 Xxxx,
Xxxxxx Xxxxxx, Xxxxxxx.
Parcel ID#R25226-003-01
LESS AND EXCEPT the lands conveyed in the Warranty Deed recorded in Official
Records Book 2442, Page 1568, Public Records of Xxxxxx County, Florida,
described as follows:
A portion of the North Half of Section 6, Township 15 South, Range 22 East,
Xxxxxx County, Florida, being more particularly described as follows:
Commence at the Northwest corner of said Section 6; thence South 89 degrees 40
minutes 27 seconds East, along the North line of said Section, 666.60 feet to
the intersection with the Easterly right of way line of State Road 25A (width
varies); thence departing said North line, South 32 degrees 20 minutes 27
seconds East, along said Easterly right of way line 1,833.11 feet; thence North
89 degrees 33 minutes 33 seconds East along a deviation in said right of way
line, 112.05 feet to the POINT OF BEGINNING; thence departing said right xx xxx
xxxx, Xxxxx 00 degrees 26 minutes 27 seconds West, 20.00 feet; thence North 89
degrees 33 minutes 33 seconds East, 67.22 feet to the intersection with the
Westerly right of way line of U.S. Highway No. 441-301 (200 feet width); said
point being on a curve concave Southerly and having as its elements a central
angle of 00 degrees 12 minutes 00 seconds and a radius of 5,829.65 feet; thence
Southerly along the arc of said curve and said right of way line, 20.34 feet;
thence departing said right xx xxx xxxx, Xxxxx 00 degrees 33 minutes 33 seconds
West, 70.93 feet to the POINT OF BEGINNING.
(Parcel ID#R25226-003-02 - less out parcel)
PARCEL 3 - XXXXXX COUNTY
(Ocala North Retail Sign at Accessory Store)
A portion of the North 1/2 of Section 6, Township 15 South, Range 22 East,
Xxxxxx County, Florida, being more particularly described as follows:
Commence at the Northwest corner of said Section 6; thence South 89 degrees 40
minutes 27 seconds East, along the North line of said Section, 666.60 feet to
the intersection with the Easterly right of way line of State Road 25A (width
varies); thence departing said North line, South 32 degrees 20 minutes 27
seconds East, along said Easterly right of way line, 1,833.11 feet, thence North
89 degrees 33 minutes 33 seconds East, along a deviation in said right of way
line, 112.05 feet to the Point of Beginning; thence departing said right xx xxx
xxxx, Xxxxx 00 degrees 26 minutes 27 seconds West, 20.00 feet; thence North 89
degrees 33 minutes 33 seconds East, 67.22 feet to the intersection with the
Westerly right of way line of U.S. Highway 441-301 (200 feet wide), said point
being on a curve concave Southerly and having as its elements a central angle of
00 degrees 12 minutes 00 seconds and a radius of 5,829.65 feet; thence Southerly
along the arc of said curve and said right of way line, 20.34 feet; thence
departing said right xx xxx xxxx, Xxxxx 00 degrees 33 minutes 33 seconds West,
70.93 feet to the Point of Beginning.
Parcel ID#R25226-003-02
PARCEL 4 - XXXXXX COUNTY
(Ocala North Wild Frontier)
A portion of the Southwest 1/4 of the Northwest 1/4 of Section 0, Xxxxxxxx 00
Xxxxx, Xxxxx 00 Xxxx, Xxxxxx Xxxxxx, Xxxxxxx, and a portion of Lots 20, 21 and
22, Homewood, as recorded in Plat Book C, Page 76 of the Public Records of
Xxxxxx County, Florida, being more particularly described as follows:
Begin at the Northeast corner of the Southwest 1/4 of the Northwest 1/4 of said
Section 6, said point also being the Northwest corner of the aforementioned Lot
20; thence South 25 degrees 07 minutes 52 seconds East, 503.95 feet; thence
South 89 degrees 27 minutes 37 seconds West, 1249.30 feet to the East right of
way line of N.W. 16th Avenue (Xxxxxxx Avenue) (50 feet wide); thence North 00
degrees 01 minute 47 seconds East along said East right of way line of N.W. 16th
Avenue, 456.58 feet to the point of intersection with the South right of way
line of N.W. 31st Street (Xxxxxxx Avenue)(50 feet wide), said point also being
on the North boundary of the Southwest 1/4 of the Northwest 1/4 of said Section
6; thence departing said East right of way line North 89 degrees 22 minutes 00
seconds East along said South right of way line and said North boundary, 1035.05
feet to the Point of Beginning.
Parcel ID#R25226-000-00
PARCELS 5 AND 6 - XXXXXX COUNTY
Parcel 5 - Ocala South (RV Sales Lot and Office)
Parcel 6 - Ocala South Mobile Home Park
Parcel 1:
Commencing at the Northwest corner of Section 00, Xxxxxxxx 00 Xxxxx, Xxxxx 22
East, thence South along the West boundary of said Section 967.39 feet, thence
North 68 degrees 36 minutes 20 seconds East, 686.11 feet for the Point of
Beginning; North 68 degrees 36 minutes 20 seconds East, 135.00 feet, thence
South 26 degrees 37 minutes 50 seconds East, 135.00 feet, thence South 68
degrees 36 minutes 20 seconds West, 135.00 feet, thence North 26 degrees 37
minutes 50 seconds West, 135.00 feet to the Point of Beginning; known as Lot 10
of an unrecorded subdivision in the Northwest 1/4 of the Northwest 1/4 of
Section 00, Xxxxxxxx 00 Xxxxx, Xxxxx 00 Xxxx, Xxxxxx Xxxxxx, Xxxxxxx.
Portion of Parcel ID#R36501-000-00
Parcel 2:
Commencing at the intersection of the North boundary of Section 00, Xxxxxxxx 00
Xxxxx, Xxxxx 22 East, Xxxxxx County, Florida, with the West right of way line of
U.S. Highway 441, thence South 26 degrees 49 minutes 30 seconds East along said
West right of way line 950 feet to the Point of Beginning; thence South 76
degrees 22 minutes 30 seconds West 359.52 feet; thence South 26 degrees 49
minutes 30 seconds East and parallel to the aforementioned West right of way
line 174.26 feet; thence East 392.16 feet to the West right of way line of U.S.
Xxxxxxx Xx. 000; thence North 26 degrees 49 minutes 30 seconds West along said
West right of way line 269.15 feet to the Point of Beginning.
Parcel ID#R36503-007-00
Parcel 3:
All that certain tract or parcel of land lying and being situate in the
Northwest 1/4 of Section 10, Township 16 South, Range 22 East, Xxxxxx County,
Florida, being more fully and particularly described as follows:
For a Point of Reference commence at the Northwest corner of said Section 10,
from which proceed on the West line thereof South, a distance of 967.39 feet;
thence departing from said line North 68 degrees 36 minutes 20 seconds East, a
distance of 821.11 feet; thence South 26 degrees 37 minutes 50 seconds East a
distance of 135.00 feet to the Point of Beginning. From the Point of Beginning
thus described continue South 26 degrees 37 minutes 50 seconds East, a distance
of 339.26 feet; thence North 89 degrees 48 minutes 20 seconds West, a distance
of 150.64 feet; thence North 26 degrees 37 minutes 50 seconds West, a distance
of 283.63 feet; thence North 68 degrees 36 minutes 20 seconds East a distance of
135.00 feet to the Point of Beginning.
Portion of Parcel ID#R36501-000-00
Parcel 4:
Beginning at a point 250 feet North of the Northeast corner of the Northwest 1/4
of the Southwest 1/4 of the Northwest 1/4 of Section 00, Xxxxxxxx 00 Xxxxx,
Xxxxx 00 Xxxx, Xxxxxx Xxxxxx, Xxxxxxx; thence run South 250 feet to said
Northeast corner of Northwest 1/4 of Southwest 1/4 of Northwest 1/4 of Section
10, Township 16 South, Range 22 East; thence run East 908.45 feet, more or less,
to the West right of way line of the Dixie Highway 441; thence run Northwesterly
with and along said West right of way line of said Dixie Highway to a point due
East of the Point of Beginning; thence run West to the Point of Beginning.
Portion of Parcel ID#R36501-000-00
Parcel 5 ID#R36503-007-00
Parcel 6 ID#R36501-000-00
PARCEL 7 - LAKE COUNTY
(Clermont - CLRV Store)
All that part of the Southeast 1/4 of the Southeast 1/4 of Section 22, Township
21 South, Range 25 East, lying Xxxxx xx Xxxxxxx 00, Xxxx Xxxxxx, Xxxxxxx.
Parcel ID#2221250004-000-01501
PARCEL 8 - LAKE COUNTY
(Clermont - CLRV Store)
That part of the West 400.00 feet of the Southwest 1/4 of the Southeast 1/4 of
Section 22, Township 21 South, Range 25 East in Lake County, Florida, lying
South of the Southerly line of the right xx xxx xx X.X. Xxxxxxx 00, Xxxx Xxxxxx,
Xxxxxxx.
Parcel ID#2221250004-000-01300
PARCEL 9 - LAKE COUNTY
(Clermont)
INTENTIONALLY DELETED FROM TRANSACTION
PARCEL 10 - LAKE COUNTY
(Clermont)
Commence at the Southwest corner of the Southeast 1/4 of Section 00, Xxxxxxxx 00
Xxxxx, Xxxxx 00 Xxxx, Xxxx Xxxxxx, Xxxxxxx, thence run North 89 degrees 46
minutes 15 seconds East along the South line of the Southeast 1/4 of said
Section 22 for a distance of 400.00 feet to the Point of Beginning: thence
leaving said South line run North 00 degrees 29 minutes 04 seconds East for a
distance of 880.90 feet to the South right of way line of U.S. Xxxxxxx Xx. 00;
thence run South 78 degrees 21 minutes 58 seconds East along said right of way
line for a distance of 441.39 feet; thence leaving said right xx xxx xxxx xxx
Xxxxx 00 degrees 38 minutes 02 seconds West for a distance of 807.34 feet to the
aforesaid South line of the Southeast 1/4; thence run South 89 degrees 46
minutes 15 seconds West along said South line for a distance of 276.97 feet to
the Point of Beginning.
Parcel ID#2221250004-000-02400
PARCEL 11 - CITRUS COUNTY
(Inverness)
Part of Xxx 0, XXX-XXX-XXX XXXXX, being more particularly described as follows:
Begin at the most Northerly corner of Xxx 0, XXX-XXX-XXX XXXXX as recorded in
Plat Book 4, Page 112, Public Records of Citrus County, Florida, said point
being on the Southwesterly right of way line of State Road No. 44, thence South
55 degrees 12 minutes 30 seconds East along said right of way line a distance of
249.00 feet, thence South 09 degrees 53 minutes 48 seconds West a distance of
136.69 feet, thence North 44 degrees 57 minutes 49 seconds West a distance of
5.92 feet, thence South 45 degrees 02 minutes 11 seconds West a distance of 4.75
feet, thence South 44 degrees 57 minutes 49 seconds East a distance of 9.26
feet, thence South 09 degrees 53 minutes 48 seconds West a distance of 80.06
feet to the Northerly right of way line of Crystal Boulevard as shown on said
plat, said right of way line also being the South line of said Lot 2, thence
North 89 degrees 08 minutes 15 seconds West along said South line a distance of
44.05 feet to the Southwesterly corner of Lot 2, thence North 18 degrees 43
minutes West along Southwesterly boundary of said Lot 2, a distance of 380.80
feet to the Point of Beginning: LESS AND EXCEPT that portion lying within a 100
foot Power Line Easement across the Westerly 50 feet thereof.
AND
Commence at the most Easterly corner of Xxx 00, XXX-XXX-XXX XXXXX as recorded in
Plat Book 4, Page 112, Public Records of Citrus County, Florida, thence South 89
degrees 08 minutes 15 seconds East along the Northerly right of way line of
Crystal Boulevard (33 feet wide) as shown on said plat a distance of 53.07 feet
to the Point of Beginning, said point also being the most Westerly corner of Lot
1 as shown on said plat, thence North 18 degrees 43 minutes West along the
Northeasterly line of a Power Line Easement 50 feet on each side of the
Northeasterly boundary of Lot 16 and 3 as shown on said plat a distance of 18.60
feet, thence North 09 degrees 53 minutes 48
seconds East 25.06 feet, thence South 18 degrees 43 minutes East parallel to
said Power Line Easement a distance of 44.87 feet to the Northerly right of way
line of Crystal Boulevard as shown on said plat, thence North 89 degrees 08
minutes 15 seconds West 12.74 feet along said right of way line to the Point of
Beginning.
Parcel ID#R12-19S19E0030-0020
PARCEL 12 - CITRUS COUNTY
(Inverness CLRV Store)
Lot 1 and all that part of Lot 2 lying East of Power Line Easement, of KAR-MAN-
CHE HILLS, according to the map or plat thereof recorded in Plat Book 4, Page
112, Public Records of Citrus County, Florida, LESS AND EXCEPT the following:
Begin at the most Northerly corner of Xxx 0, XXX-XXX-XXX XXXXX as recorded in
Plat Book 4, Page 112, Public Records of Citrus County, Florida, said point
being the Southwesterly right of way of State Road No. 44, thence South 55
degrees 12 minutes 30 seconds East along said right of way line a distance of
249.00 feet, thence South 09 degrees 53 minutes 48 seconds West a distance of
136.69 feet, thence North 44 degrees 57 minutes 49 seconds West a distance of
5.92 feet, thence South 45 degrees 02 minutes 11 seconds West a distance of 4.75
feet, thence South 44 degrees 57 minutes 49 seconds East a distance of 9.26
feet, thence South 09 degrees 53 minutes 48 seconds West a distance of 80.06
feet to the Northerly right of way line of Crystal Boulevard as shown on said
Plat, said right of way line also being the South line of said Lot 2, thence
North 89 degrees 08 minutes 15 seconds West along said South line a distance of
44.05 feet to the Southwesterly corner of said Lot 2, thence North 18 degrees 43
minutes West along the Southwesterly boundary of said Lot 2 a distance of 380.80
feet to the Point of Beginning, LESS that portion of the above-described land
lying within the 100 foot wide Power Line Easement as shown on the Plat of said
KAR-MAN-CHE HILLS.
LESS AND EXCEPT
Commence at the most Easterly Corner of Xxx 00, XXX-XXX-XXX XXXXX as recorded in
Plat Book 4, Page 112, Public Records of Citrus County, Florida, thence South 89
degrees 08 minutes 15 seconds East along the Northerly right of way line of
Crystal Boulevard (33 feet wide) as shown on said plat a distance of 53.07 feet
to the Point of Beginning, said point also being the most Westerly Corner of Lot
1 as shown on said plat, thence North 18 degrees 43 minutes West along the
Northeasterly line of a Power Line Easement 50 feet on each side of the
Northeasterly boundary of Lots 16 and 3 as shown on said plat a distance of
18.60 feet, thence North 09 degrees 53 minutes 48 seconds East 25.06 feet,
thence South 18 degrees 43 minutes East parallel to said Power Line Easement a
distance of 44.87 feet to the Northerly right of way line of Crystal Boulevard
as shown on said plat, thence North 89 degrees 08 minutes 15 seconds West, 12.74
feet along said right of way line to the Point of Beginning.
ALSO LESS AND EXCEPT THE FOLLOWING DESCRIBED LAND TAKEN BY THE STATE OF FLORIDA
IN THE FINAL JUDGMENT RECORDED IN OFFICIAL RECORDS BOOK 1120, PAGE 1806, PUBLIC
RECORDS OF CITRUS COUNTY, FLORIDA, DESCRIBED AS FOLLOWS:
That part of:
Xxx 0 xxx Xxx 0, xxxxx Xxxx of powerline easement, of KAR-MAN-CHE HILLS,
according to the map or plat thereof as recorded in Plat Book 4, Page 112,
Public Records of Citrus County, Florida, Section 12, Township 19 South, Range
19 East.
described as follows:
Commence at the Southwest corner of Section 00, Xxxxxxxx 00 Xxxxx, Xxxxx 00
Xxxx, Xxxxxx Xxxxxx, Xxxxxxx; thence run South 88 degrees 51 minutes 57 seconds
East along the South line of said Section 12, being the Northerly right of way
line of Crystal Blvd., a 00-xxxx xxxxxxx xxxxxx and the South line of KAR-MAN-
CHE HILLS, as recorded in Plat Book 4, Page 112, Public Records of Citrus
County, Florida, a distance of 1131.45 feet to a point that is North 88 degrees
51 minutes 57 seconds West, 230.06 feet from the center line of State Road 44,
as shown on Florida Department of Transportation Right of Way Map, Section
02050-2535, for the POINT OF BEGINNING; thence continue South 88 degrees 51
minutes 57 seconds East along said South line (Northerly right of way line)
140.00 feet to the Southerly existing right of way line of said Xxxxx Xxxx Xx.
00; thence North 54 degrees 57 minutes 49 seconds West along said right of way
line 105.00 feet; thence South 43 degrees 11 minutes 51 seconds West 78.89 feet
to the Point of Beginning.
Parcel ID#R12-19S19E0030-0010
EXHIBIT A
RESIGNATIONS
OFFICER RESIGNATION
I, Xxxxxxx Xxxxxx, do hereby resign as Senior Vice President and General
Manager - Florida Division of County Line Select, Inc. My resignation becomes
effective immediately.
Dated: March 1, 2001 _______________________________
Xxxxxxx Xxxxxx
OFFICER RESIGNATION
I, Xxxxxxxxx Xxxxxx, do hereby resign as Vice President and General Manager
- Florida Division of County Line Select, Inc. My resignation becomes effective
immediately.
Dated: March 1, 2001 ______________________________________
Xxxxxxxxx Xxxxxx
EXHIBIT B
[FORM OF OPTION CERTIFICATE]
[FORM OF OPTION CERTIFICATE]
THE OPTIONS REPRESENTED BY THIS CERTIFICATE AND THE OTHER SECURITIES
TRANSFERABLE UPON EXERCISE THEREOF MAY NOT BE OFFERED OR SOLD EXCEPT PURSUANT TO
(i) AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933, (ii)
TO THE EXTENT APPLICABLE, RULE 144 UNDER SUCH ACT (OR ANY SIMILAR RULE UNDER
SUCH ACT RELATING TO THE DISPOSITION OF SECURITIES), OR (iii) AN OPINION OF
COUNSEL, IF SUCH OPINION SHALL BE REASONABLY SATISFACTORY TO COUNSEL FOR THE
ISSUER, THAT AN EXEMPTION FROM REGISTRATION UNDER SUCH ACT IS AVAILABLE.
THE TRANSFER OR EXCHANGE OF THE OPTIONS REPRESENTED BY THIS CERTIFICATE IS
RESTRICTED IN ACCORDANCE WITH THE WARRANT EXCHANGE AGREEMENT REFERRED TO HEREIN.
EXERCISABLE ON OR BEFORE
5:00 P.M., ORLANDO, FLORIDA TIME, November 1, 2003
Date: March 1, 2001 Options to Purchase
Up to 206,000 Common Shares
OPTION CERTIFICATE
This Option Certificate certifies that Holiday RV Superstores, Inc., or
registered assigns, is the registered holder of Options to purchase, until 5:00
p.m. Orlando, Florida time on November 1, 2003 ("Expiration Date") from
______________ Alonso ("Alonso"), up to 206,000 shares (the "Option Shares") of
fully-paid and non-assessable shares of common stock, par value $0.001 (the
"Common Stock") of HOLIDAY RV SUPERSTORES, INC., a Delaware corporation
("Holiday RV"), at the initial exercise price, subject to adjustment in certain
events (the "Exercise Price"), of $8.00 per Option Share upon surrender of this
Option Certificate and payment of the Exercise Price, at an office or agency of
Alonso, but subject to the conditions set forth herein. Payment of the Exercise
Price shall be made by certified or official bank check payable to the order of
Alonso or by surrender of this Option Certificate.
The Options shall expire upon the following schedule: On March 1, 2001,
and upon each of the following 29 monthly anniversaries after such date, the
Option shall expire with regard to 1/30th of the Option Shares initially subject
to this Option Certificate.
No Option may be exercised after 5:00 p.m., Ft. Lauderdale, Florida time,
on the Expiration Date, at which time all Options evidenced hereby, unless
exercised prior thereto, hereby shall thereafter be void.
The Options evidenced by this Option Certificate are part of a duly
authorized grant of Options pursuant to the Debt Conversion and Mutual
Settlement and Release Agreement ("Conversion Agreement"), which Conversion
Agreement is hereby incorporated by
reference in and made a part of this instrument and is hereby referred to for a
description of the rights, limitation of rights, obligations, duties and
immunities thereunder of Alonso and the holders (the words "holders" or "holder"
meaning the registered holders or registered holder) of the Options.
If the outstanding Common Stock shall be subdivided into a greater number
of shares of Common Stock, the Exercise Price and number of Option Shares in
effect at the opening of business on the day following the day upon which such
subdivision becomes effective shall be proportionately reduced and increased,
respectively, and, conversely, if the outstanding Common Stock shall be combined
into a smaller number of shares of Common Stock, the Exercise Price and number
of Option Shares in effect at the opening of business on the day following the
day upon which such combination becomes effective shall be proportionately
increased and reduced, respectively, such reduction and increase or increase and
reduction, as the case may be, to become effective immediately after the opening
of business on the day following the day upon which such subdivision or
combination becomes effective.
If at any time after the date of this Option there shall be a merger or
consolidation of Holiday RV with or into or a transfer of substantially all of
the assets of Holiday RV to another entity, then the holder(s) hereof shall be
entitled to receive upon or after such transfer, merger or consolidation
becoming effective, and upon payment of the Exercise Price then in effect, the
number of shares or other securities or other property of Holiday RV or of the
successor corporation resulting from such merger or consolidation, which was
received by Alonso in exchange for the Option Shares.
In the event the Exercise Price and the type and/or number of Holiday RV's
securities transferable thereupon are adjusted, in such event, Alonso will, at
the request of the holder, issue a new Option Certificate evidencing the
adjustment in the Exercise Price and the number and/or type of securities
transferable upon the exercise of the Options; provided, however, that the
failure of Alonso to issue such new Option Certificates shall not in any way
change, alter, or otherwise impair, the rights of the holder as set forth in the
Conversion Agreement.
Upon due presentment for registration of transfer of this Option
Certificate at an office or agency of Alonso, a new Option Certificate or Option
Certificates of like tenor and evidencing in the aggregate a like number of
Options shall be issued to the transferee(s) in exchange for this Option
Certificate, subject to the limitations provided herein and in the Conversion
Agreement, without any charge except for any tax or other governmental charge
imposed in connection with such transfer.
Upon the exercise of less than all of the Options evidenced by this
Certificate, Alonso shall forthwith issue to the holder hereof a new Option
Certificate representing such remaining unexercised Options.
Alonso may deem and treat the registered holder(s) hereof as the absolute
owner(s) of this Option Certificate (notwithstanding any notation of ownership
or other writing hereon made by anyone), for the purpose of any exercise hereof,
and for all other purposes, and Alonso shall not be affected by any notice to
the contrary.
All terms used in this Option Certificate which are defined in the
Conversion Agreement shall have the meanings assigned to them in the Conversion
Agreement.
IN WITNESS WHEREOF, Alonso has caused this Option Certificate to be duly
executed under its corporate seal.
Dated as of March 1, 2001.
______________________________
________ Alonso
NOTICE OF EXERCISE
------------------
To: __________________ Alonso ("Alonso")
(1) The undersigned hereby elects to exercise the attached Option Certificate
for and to purchase thereunder, _______ shares of Common Stock, and
herewith makes payment therefor of $____________.
(2) Please issue a certificate or certificates representing said shares of
Common Stock in the name of the undersigned or in such other name as is
specified below:
__________________________________
(Name)
__________________________________
(Address)
__________________________________
(3) Please issue a new Option Certificate for the unexercised portion of the
attached Option Certificate in the name of the undersigned or in such other
name as specified below:
_____________________________________
(Name)
_____________________ _____________________________
(Date) (Signature)
____________________________________
(Address)
Dated: _______________
_____________________________
Signature
ASSIGNMENT FORM
---------------
(To assign the foregoing Option Certificate, execute
this form and supply required information.
Do not use this form to exercise the Option Certificate.)
FOR VALUE RECEIVED, the foregoing Option Certificate and all rights
evidenced thereby are hereby assigned to ______________________________________
whose address is ______________________________________.
Dated: _______________ Holder's Signature: __________________________
Holder's Address: __________________________
__________________________
Signature Guaranteed: ____________________________________
NOTE: The signature to this Assignment Form must correspond with the name as
it appears on the face of the Option Certificate, without alteration or
enlargement or any change whatsoever, and must be guaranteed by a bank or trust
company. Officers of corporations and those acting in an fiduciary or other
representative capacity should file proper evidence of authority to assign the
foregoing Warrant.
