STOCK
REDEMPTION AGREEMENT
Blue
Star Foods Corp. (formerly known as AG Acquisition Group II, Inc.) - __________________ – _________ shares)
Dated
as of November 4, 2018
This
Stock Redemption Agreement (this “Agreement”), dated as of the date first set forth above (the “Effective Date”),
is entered into by and between Blue Star Foods Corp. (formerly known as AG Acquisition Group II, Inc.), a Delaware corporation
(“AGAG”) and _____________________________(“Shareholder”).
RECITALS
WHEREAS,
Shareholder is the owner of ___________ shares of common stock, par value $0.0001 per share, of AGAG (the “Common Stock”);
and
WHEREAS,
pursuant to the terms and conditions of this Agreement, Shareholder desires to sell, and AGAG desires to purchase, all of the
Shareholder’s rights, title, and interest in and to ___________ shares of Common Stock (the “Shares”) as further
described herein; and
WHEREAS,
in connection with the redemption of the Shares, the parties hereto shall undertake such further actions as set forth herein.
NOW,
THEREFORE, in consideration of the covenants, promises and representations set forth herein, and for other good and valuable consideration,
the receipt and sufficiency of which is hereby acknowledged, and intending to be legally bound hereby, the parties agree as follows:
1.
Agreement to Purchase and Sell. Subject to the terms and conditions of this Agreement, Shareholder shall sell, assign,
transfer, convey, and deliver to AGAG, and AGAG shall accept and purchase, the Shares and any and all rights in the Shares to
which Shareholder is entitled, and by doing so Shareholder shall be deemed to have assigned all of Shareholder’s rights,
titles and interest in and to the Shares to AGAG.
2.
Consideration. The consideration for the acquisition of the Shares is the transactions being consummated between AGAG and
Xxxx Xxxxxx & Co., Inc. d/b/a Blue Star Foods, a Florida corporation (“Blue Star”), pursuant to which AGAG is
acquiring all of the issued and outstanding shares of stock of Blue Star, and the resulting potential increase in the value of
the remaining shares of Common Stock that Shareholder will continue to hold following such transaction.
| |
3. |
Closing;
Deliveries; Additional Actions. |
| |
3.2. |
Deliveries
at Closing. At the Closing, Shareholder shall deliver to AGAG one or more stock certificates evidencing the Shares, duly
endorsed in blank or accompanied by stock powers duly executed in blank in the form as attached hereto as Exhibit A, or other
instruments of transfer in form and substance reasonably satisfactory to AGAG and such other documents as may be required
under applicable law or reasonably requested by AGAG. |
|
4. |
Representations
and Warranties of the Shareholder. Shareholder represents and warrants to AGAG as set forth below. |
| |
4.1. |
Right
and Title to Shares. Shareholder legally and beneficially owns the Shares and no other party has any rights therein or
thereto. There are no liens or other encumbrances of any kind on the Shares and Shareholder has the sole right to dispose
of the Shares. There are no outstanding options, warrants or other similar agreements with respect to the Shares. |
| |
4.2. |
Organization
and Standing. Shareholder is corporation, duly organized, validly existing, and in good standing under the laws of the
State of Florida and has all requisite power and authority to own its properties and conduct its business as it is now being
conducted. The nature of the business and the character of the properties Shareholder owns or leases do not make licensing
or qualification of such party as a foreign entity necessary under the laws of any other jurisdiction, except to the extent
such licensing or qualification have already been obtained. |
| |
4.3. |
Due
Authority; No Violation. Shareholder has all requisite rights and authority or the capacity to execute, deliver and perform
its obligations under this Agreement. The execution and delivery of this Agreement and the consummation of the transactions
contemplated hereby have been duly and validly authorized by all necessary action on the part of Shareholder, and no other
proceedings on the part of such party are necessary to authorize the execution, delivery and performance of this Agreement
or the transactions contemplated hereby or thereby on the part of Shareholder. The execution, delivery and performance of
this Agreement will not (x) violate, conflict with, or result in the breach, acceleration, default or termination of, or otherwise
give any other contracting party the right to terminate, accelerate, modify or cancel any of the terms, provisions, or conditions
of any material agreement or instrument to which Shareholder is a party or by which it or its assets may be bound or (y) constitute
a violation of any material applicable law, rule or regulation, or of any judgment, order, injunctive award or decree of any
governmental authority applicable to Shareholder or (z) conflict with, result in the breach or termination of any provision
of, or constitute a default under (in each case whether with or without the giving of notice or the lapse of time, or both)
Shareholder’s organizational or operating documents or any order, judgment, arbitration award, or decree to which such
Shareholder is a party or by which it or any of its assets or properties are bound. |
| |
4.4. |
Approvals.
No approval, authority, or consent of or filing by Shareholder with, or notification to, any governmental authority, is necessary
to authorize the execution and delivery of this Agreement or the consummation of the transactions contemplated herein. |
| |
4.5. |
Enforceability.
This Agreement has been duly executed and delivered by Shareholder and, assuming that this Agreement constitutes the legal,
valid and binding obligation of AGAG, constitutes the legal, valid, and binding obligation of Shareholder, enforceable against
Shareholder in accordance with its terms, except to the extent that the enforceability thereof may be limited by applicable
bankruptcy, insolvency, reorganization, moratorium, fraudulent conveyance and other similar laws of general application affecting
enforcement of creditors’ rights generally. |
|
5. |
Representations
and Warranties of AGAG. AGAG represents and warrants to Shareholder as set forth below. |
| |
|
|
| |
5.1. |
Organization
and Standing. AGAG is duly organized, validly existing, and in good standing under the laws of the State of Delaware and
has all requisite power and authority to own its properties and conduct its business as it is now being conducted. The nature
of the business and the character of the properties AGAG owns or leases do not make licensing or qualification of such party
as a foreign entity necessary under the laws of any other jurisdiction, except to the extent such licensing or qualification
have already been obtained. |
| |
|
|
| |
5.2. |
Due
Authority; No Violation. AGAG has all requisite rights and authority or the capacity to execute, deliver and perform its
obligations under this Agreement. The execution and delivery of this Agreement and the consummation of the transactions contemplated
hereby have been duly and validly authorized by all necessary action on the part of AGAG, and no other proceedings on the
part of such party are necessary to authorize the execution, delivery and performance of this Agreement or the transactions
contemplated hereby or thereby on the part of AGAG. The execution, delivery and performance of this Agreement will not (x)
violate, conflict with, or result in the breach, acceleration, default or termination of, or otherwise give any other contracting
party the right to terminate, accelerate, modify or cancel any of the terms, provisions, or conditions of any material agreement
or instrument to which AGAG is a party or by which it or its assets may be bound or (y) constitute a violation of any material
applicable law, rule or regulation, or of any judgment, order, injunctive award or decree of any governmental authority applicable
to AGAG or (z) conflict with, result in the breach or termination of any provision of, or constitute a default under (in each
case whether with or without the giving of notice or the lapse of time, or both) AGAG’s organizational documents, or
any order, judgment, arbitration award, or decree to which such AGAG is a party or by which it or any of its assets or properties
are bound. |
| |
|
|
| |
5.3. |
Approvals.
No approval, authority, or consent of or filing by AGAG with, or notification to, any governmental authority, is necessary
to authorize the execution and delivery of this Agreement or the consummation of the transactions contemplated herein. |
| |
|
|
| |
5.4. |
Enforceability.
This Agreement has been duly executed and delivered by AGAG and, assuming that this Agreement constitutes the legal, valid
and binding obligation of Shareholder, constitutes the legal, valid, and binding obligation of AGAG, enforceable against AGAG
in accordance with its terms, except to the extent that the enforceability thereof may be limited by applicable bankruptcy,
insolvency, reorganization, moratorium, fraudulent conveyance and other similar laws of general application affecting enforcement
of creditors’ rights generally. |
| |
|
|
| 6 |
. |
Covenants
and Agreements. |
| |
|
|
| |
6.1. |
Each
of the parties hereto, as promptly as practicable, shall make, or cause to be made, all filings and submissions under laws
applicable to it and its affiliates, as may be required for it to consummate the transactions contemplated hereby and shall
use its commercially reasonable efforts to obtain, or cause to be obtained, all other authorizations, approvals, consents
and waivers from all persons and governmental authorities necessary to be obtained by it or its affiliates, in order for it
to consummate such transactions, at the cost of the party required to file or submit the same. Notwithstanding anything to
the contrary herein, nothing herein shall require, or be construed to require, any party to agree to hold separate or to divest
any of the businesses, product lines or assets. |
| |
6.2. |
Each
party hereto shall promptly inform the other parties of any material communication from any governmental authority regarding
any of the transactions contemplated by this Agreement and shall promptly furnish the other parties with copies of substantive
notices or other communications received from any third party or any governmental authority with respect to such transactions.
Each party shall agree on the content of any proposed substantive written communication or submission or any oral communication
to any governmental authority. If any party or any affiliate thereof receives a request for additional information or documentary
material from any such governmental authority with respect to the transactions contemplated by this Agreement, then such party
will endeavor in good faith to make, or cause to be made, as soon as reasonably practicable and after consultation with the
other parties, an appropriate response in compliance with such request. The parties shall, to the extent practicable, provide
the other parties and their counsel with advance notice of and the opportunity to participate in any substantive discussion,
telephone call or meeting with any governmental authority in respect of any filing, investigation or other inquiry in connection
with the transactions contemplated by this Agreement and to participate in the preparation for such discussion, telephone
call or meeting, to the extent not prohibited by the governmental authority. |
| |
|
|
| |
6.3. |
Each
of the parties shall execute such documents and perform such further acts as may be reasonably required to carry out the provisions
hereof and the actions contemplated hereby. |
| |
|
|
| 7. |
|
Conditions
Precedent to the Obligations of Shareholder. The obligations of Shareholder to consummate any of the transactions contemplated
herein are subject to the fulfillment or waiver by Shareholder of each of the following conditions: |
| |
7.1.1. |
The
representations and warranties of AGAG contained in this Agreement and all related documents shall be true and correct in
all material respects, except for those representations and warranties which are qualified as to materiality, which shall
be true and correct in all respects. |
| |
|
|
| |
7.1.2. |
AGAG
shall have complied in all material respects with all covenants, agreements, and conditions that this Agreement requires.
|
| |
|
|
| |
7.1.3. |
No
proceeding or investigation shall have been instituted before or by any court or governmental authority to restrain or prevent
the carrying out of the transactions contemplated by this Agreement and there shall exist no injunction or other order issued
by any governmental authority which prohibits the consummation of the transactions contemplated under this Agreement. |
| |
|
|
| |
7.1.4. |
Shareholder
shall have received all other documents and instruments from AGAG as Shareholder may reasonably request in order to consummate
the transactions contemplated herein |
| 8. |
|
Conditions
Precedent to the Obligations of AGAG. The obligation of AGAG to consummate any of the transactions contemplated herein
are subject to the fulfillment or waiver by AGAG of each of the following conditions: |
| |
|
|
| |
8.1.1. |
The
representations and warranties of Shareholder contained in this Agreement and all related documents shall be true and correct
in all material respects, except for those representations and warranties which are qualified as to materiality, which shall
be true and correct in all respects. |
| |
|
|
| |
8.1.2. |
Shareholder
shall have complied in all material respects with all covenants, agreements, and conditions that this Agreement requires.
|
| |
8.1.3. |
No
proceeding or investigation shall have been instituted before or by any court or governmental authority to restrain or prevent
the carrying out of the transactions contemplated by this Agreement; and there shall exist no injunction or other order issued
by any governmental authority which prohibits the consummation of the transactions contemplated under this Agreement. |
| |
|
|
| |
8.1.4. |
AGAG
shall have received all other documents and instruments from Shareholder as AGAG may reasonably request, in order to consummate
the transactions contemplated herein. |
| |
|
|
| |
9.1. |
Further
Assurances. From time to time, whether at or following the Closing, each party shall make reasonable commercial efforts
to take, or cause to be taken, all actions, and to do, or cause to be done, all things reasonably necessary, proper or advisable,
including as required by applicable laws, to consummate and make effective as promptly as practicable the transactions contemplated
by this Agreement. |
| |
|
|
| |
9.2. |
Expenses.
Each of the parties shall pay its own costs that it incurs incident to the preparation, execution, and delivery of this Agreement
and the performance of any related obligations, whether or not the transactions contemplated by this Agreement shall be consummated.
|
| |
|
|
| |
9.3. |
Fees.
Each party hereto agrees to pay the costs and expenses, including reasonable attorneys’ fees, incurred by the prevailing
party in litigation, arbitration, administrative proceeding or any other proceeding related to the enforcement or interpretation
of any of the terms of this Agreement. |
| |
|
|
| |
9.4. |
Consequential
Damages. EACH PARTY HERETO WAIVES ANY AND ALL CLAIMS AGAINST THE OTHER FOR ANY LOSS, COST, DAMAGE, EXPENSE, INJURY OR
OTHER LIABILITY WHICH IS IN THE NATURE OF INDIRECT, SPECIAL, INCIDENTAL, PUNITIVE OR CONSEQUENTIAL DAMAGES WHICH ARE SUFFERED
OR INCURRED AS THE RESULT OF, ARISE OUT OF, OR ARE IN ANY WAY CONNECTED TO THE PERFORMANCE OF THE OBLIGATIONS UNDER THIS AGREEMENT. |
| |
9.5. |
Representations
and Warranties. All representations, warranties, and agreements made by the parties pursuant to this Agreement shall survive
the consummation of the transactions contemplated herein until the expiration of the applicable statute of limitations. |
| |
9.6. |
Notices.
All notices or other communications required or permitted hereunder shall be in writing shall be deemed duly given (a) if
by personal delivery, when so delivered, (b) if mailed, three (3) business days after having been sent by registered or certified
mail, return receipt requested, postage prepaid and addressed to the intended recipient as set forth below, or (c) if sent
through an overnight delivery service in circumstances to which such service guarantees next day delivery, the day following
being so sent to the addresses of the parties as indicated on the signature page hereto; or (d) if sent via email, when sent
with return receipt requested and received, in each case to the addresses as set forth below. Any party may change the address
to which notices and other communications hereunder are to be delivered by giving the other parties notice in the manner herein
set forth. |
If
to AGAG, to:
Blue
Star Foods Corp.
Attn:
Xxxxx Xxxxxxx, Chief Financial Officer
000
Xxxxxxxx Xxxxxx, Xxxxx 000
Xxxx
Xxxx Xxxxx, XX 00000
E-mail:
Xxxxxxxx@xxxxxxxxxxxxxxxxxx.xxx
If
to Shareholder, to:
| |
9.7. |
Choice
of Law. This Agreement shall be governed, construed and enforced in accordance with the laws of the State of Delaware,
without giving effect to principles of conflicts of law. |
| |
|
|
| |
9.8. |
Jurisdiction.
Any claim arising out of or relating to this Agreement or the transactions contemplated hereby shall be instituted only in
any federal or state court located in the Palm Beach County, Florida, and each party agrees not to assert, by way of motion,
as a defense or otherwise, in any such claim, that it is not subject personally to the exclusive jurisdiction of such court,
that the claim is brought in an inconvenient forum, that the venue of the claim is improper or that this Agreement or the
subject matter hereof may not be enforced in or by such court. Each party further irrevocably submits to the jurisdiction
of such court in any such claim. |
| |
9.9. |
Waiver
of Jury Trial. EACH PARTY HERETO HEREBY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE
TO A TRIAL BY JURY IN ANY LEGAL PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE TRANSACTIONS
CONTEMPLATED HEREIN. EACH PARTY HERETO (A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED,
EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER
AND (B) ACKNOWLEDGES THAT IT AND THE OTHER PARTIES HERETO HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS,
THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION 9.9. |
| |
9.10. |
Assignment.
This Agreement shall be binding upon and shall inure to the benefit of the parties hereto and their permitted successors
and assigns. No party to this Agreement may assign or delegate, by operation of law or otherwise, all or any portion of its
rights, obligations or liabilities under this Agreement without the prior written consent of the other parties to this Agreement,
which any such party may withhold in its absolute discretion. |
| |
|
|
| |
9.11. |
No
Third Party Beneficiaries. Nothing in this Agreement shall confer any rights, remedies or claims upon any Person or entity
not a party or a permitted assignee of a party to this Agreement. |
| |
|
|
| |
9.12. |
Specific
Performance. The parties hereto agree that irreparable damage would occur in the event that any of the provisions of this
Agreement were not performed by them in accordance with the terms hereof or were otherwise breached and that each party hereto
shall be entitled to an injunction or injunctions, specific performance and other equitable relief to prevent breaches of
the provisions hereof and to enforce specifically the terms and provisions hereof, without the proof of actual damages, in
addition to any other remedy to which they are entitled at law or in equity. Each party agrees to waive any requirement for
the security or posting of any bond in connection with any such equitable remedy, and agrees that it will not oppose the granting
of an injunction, specific performance or other equitable relief on the basis that (a) any other party has an adequate
remedy at law, or (b) an award of specific performance is not an appropriate remedy for any reason at law or equity. |
| |
|
|
| |
9.13. |
Entire
Agreement. This Agreement represents the entire understanding and agreement between the parties regarding the subject
matter hereof and supersede all prior agreements, representations, warranties, and negotiations between the parties. This
Agreement may be amended, supplemented, or changed only by an agreement in writing that makes specific reference to this Agreement
or the agreement delivered pursuant to it, and must be signed by all of the parties hereto. This Agreement may not be amended
by email or other electronic communications. |
| |
|
|
| |
9.14. |
Interpretation.
The parties have jointly participated in the drafting and negotiation of this Agreement and if an ambiguity or question of
interpretation should arise, this Agreement shall be construed as if drafted jointly by the parties thereto and no presumption
of burden of proof shall arise favoring or burdening any party by virtue of the authorship of any provision in this Agreement. |
| |
|
|
| |
9.15. |
Severability.
Whenever possible, each provision of this Agreement shall be interpreted in a manner to be effective and valid under applicable
law, but if one or more of the provisions of this Agreement is subsequently declared invalid or unenforceable, the invalidity
or unenforceability shall not in any way affect the validity or enforceability of the remaining provisions of this Agreement.
In the event of the declaration of invalidity or unenforceability, this Agreement, as modified, shall be applied and construed
to reflect substantially the intent of the parties and achieve the same economic effect as originally intended by its terms.
In the event that the scope of any provision to this Agreement is deemed unenforceable by a court of competent jurisdiction,
or by an arbitrator, the parties agree to the reduction of the scope of the provision as the court or arbitrator shall deem
reasonably necessary to make the provision enforceable under the circumstances. |
| |
9.16. |
Headings.
The headings contained in this Agreement are intended solely for convenience and shall not affect the rights of the parties
to this Agreement. |
| |
|
|
| |
9.17. |
Waiver.
Waiver of any term or condition of this Agreement by any party shall only be effective if in writing and shall not be construed
as a waiver of any subsequent breach or failure of the same term or condition, or a waiver of any other term or condition
of this Agreement. |
| |
|
|
| |
9.18. |
Counterparts.
This Agreement may be signed in any number of counterparts with the same effect as if the signature on each counterpart were
on the same instrument. |
| |
|
|
[Remainder
of page intentionally left blank – Signature pages follow]
IN
WITNESS WHEREOF, the parties have duly executed this Agreement as of the date first above written.
