UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT

 

PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

 

Date of Report (Date of Earliest Event Reported): February 5, 2020

 

Regnum Corp.

(Exact name of Registrant as specified in its charter)


Nevada

 

333-222083

 

82-0832447

(State or other jurisdiction

of incorporation)

 

(Commission

File Number)

 

(I.R.S. Employer

Identification No.)

 

765 Beach Street

San Francisco, CA 94109

(Address of principal executive offices zip code)

 

(844) 496-6539

(Registrant’s telephone number, including area code)

 

1541 Ocean Avenue

Santa Monica, CA 90401

(Former address)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

 

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

 

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

 

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

 

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

Securities registered pursuant to Section 12(b) of the Act: None.

 

Emerging growth company

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

 

 
 

 

 

 

Item 1.01 Entry into a Material Definitive Agreement.

 

On February 12, 2020, Tiffani Jones, the former sole director and officer of Regnum Corp. (the “Company”), who resigned from such positions as discussed below under Item 5.02, entered into a Consulting Agreement with the Company (the “Consulting Agreement”), whereby Ms. Jones agreed to perform consulting services on a part-time basis for thirty days (beginning February 12, 2020) for $3,750, plus the reimbursement of certain travel expenses. The agreement can be extended for up to two additional thirty-day periods for $3,750 each with the mutual consent of the parties. The agreement can be terminated by the Company at any time. The agreement contains customary confidentiality, liability limitation and similar provisions. The agreement has been extended and is currently in effect.

 

The foregoing description of the Consulting Agreement does not purport to be complete and is qualified in its entirety by reference to the Consulting Agreement, a copy of which is attached as Exhibit 10.1 to this Current Report on Form 8-K and incorporated in this Item 1.01 by reference.

 

Item 3.02 Unregistered Sales of Equity Securities.

 

On March 27, 2020, the Company agreed to issue 1 million shares of restricted common stock to Gary Allen (who served as a member of the Board of Directors of the Company from February 27, 2020 to March 27, 2020, as discussed below under Item 5.02) in consideration for services rendered and agreed to be rendered by Mr. Allen to the Company. The issuance was exempt from registration pursuant to Section 4(a)(2) and/or Rule 506 of Regulation D of the Securities Act of 1933, as amended (the “Securities Act”), since the foregoing issuance did not involve a public offering, the recipient took the securities for investment and not resale, we took appropriate measures to restrict transfer, and the recipient was (a) an “accredited investor”; and/or (b) had access to similar documentation and information as would be required in a Registration Statement under the Securities Act. The securities are subject to transfer restrictions, and the certificates evidencing the securities contain an appropriate legend stating that such securities have not been registered under the Securities Act and may not be offered or sold absent registration or pursuant to an exemption therefrom. The securities were not registered under the Securities Act and such securities may not be offered or sold in the United States absent registration or an exemption from registration under the Securities Act and any applicable state securities laws.

 

Item 5.01 Changes in Control of Registrant.

 

On February 5, 2020, Ocean Ave Holdings, LLC (“Ocean”) which is owned and controlled by Ms. Jones, sold 20,000,000 shares of restricted common stock of the Company in consideration for $345,000, to Tri Capital Energy Corporation (“Tri Capital”), pursuant to an Agreement for the Purchase of Common Stock. The shares which were sold represented 87% of the Company’s outstanding shares, which resulted in a change of control of the Company.

 

Tri Capital is controlled by Gary Allen and Mark Gustavson, its directors and its Chief Executive Officer and Chief Financial Officer, respectively.

 

Subsequently, on February 26, 2020, Tri Capital sold all 20,000,000 shares of the restricted common stock of the Company which it acquired pursuant to the February 5, 2020 Agreement for the Purchase of Common Stock to Wookey Search Technologies Corporation (“Wookey”), pursuant to a Stock Purchase Agreement. Consideration for the acquisition of the shares was $50,000 in cash and a promissory note (secured by the 20 million shares of the Company purchased pursuant to the agreement) in the amount of $400,000. A $200,000 principal payment is due under the note on the earlier of (a) March 15, 2020; and (b) two business days after either the Company or Wookey has raised $1 million, subject to a thirty day extension as part of the first extension option discussed below (which amount has not been paid to date, but which due date has been mutually extended by the parties) and the note is due and payable on the earlier of April 1, 2020 (which date may be extended for up to two 30 day periods in the event an extension fee of $10,000 is paid for each extension) and two business days after either the Company or Wookey has raised $2 million. Subsequent to entering into the note, the parties mutually verbally agreed that Wookey would pay an extension fee of $20,000 to Tri Capital on or before April 6, 2020, in consideration for an extension of the due date of the note to May 1, 2020. The note contains standard and customary events of default. Upon the occurrence of an event of default under the note, Tri Capital can exercise its rights under a pledge agreement entered into between Tri Capital and Wookey and re-take control and ownership of the 20 million shares of the Company, and therefore take back control of the Company.

 

 
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Additionally, the parties entered into a Voting Agreement whereby Wookey provided voting control over the 20 million shares of Company common stock. Such Voting Agreement terminates automatically upon the payment in full of the $400,000 promissory note. As such, Tri Capital continues to exercise voting control over the Company. The foregoing description of the Voting Agreement does not purport to be complete and is qualified in its entirety by reference to the Voting Agreement, a copy of which is attached as Exhibit 10.2 to this Current Report on Form 8-K and incorporated in this Item 5.01 by reference.

 

Wookey is controlled by Mark Gustavson, its Chief Executive Officer, director and holder of approximately 53% of its outstanding voting securities.

 

Item 5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.

 

On February 27, 2020, Tiffani Jones took action to increase the number of the Company’s directors from one to three pursuant to Section 2.03 of the Company’s bylaws. After taking action to increase the number of the Company’s board of directors (the “Board”), Ms. Jones appointed Gary Allen and Mark Gustavson to the Board, pursuant to the power provided to her as the then sole director pursuant to the Company’s bylaws. Following the increase in the number of the directors and the appointments of Mr. Allen and Mr. Gustavson, Ms. Jones resigned as a director of the Company. Her resignation was not the result of a disagreement with the Company.

 

Also on February 27, 2020, Tiffani Jones resigned as the Company’s Chief Executive Officer, President, Treasurer, and Secretary and Mark Gustavson was appointed to serve as the Company’s Chief Executive Officer and Secretary, and Robert J. Stubblefield was appointed to serve as the Company’s Chief Financial Officer and Treasurer to fill the vacancies resulting from Ms. Jones resignation. Her resignation was not the result of a disagreement with the Company.

 

Mr. Allen is the Chief Executive Officer and director of Tri Capital. Mr. Gustavson is the Chief Financial Officer and director of Tri Capital and the sole director and Chief Executive Officer of Wookey. Mr. Gustavson holds 3,750,000 shares or approximately 46.25% of the outstanding shares of common stock of Tri Capital and 12 million shares, or approximately 53% of the outstanding common stock of Wookey. Tri Capital holds 600,000 shares, or approximately 2% of the outstanding common stock of Wookey.

 

On March 29, 2020, Mr. Ross Meador was appointed as the Vice President and General Counsel of the Company. Mr. Meador holds 750,000 shares or approximately 3% of the outstanding common stock of Wookey and serves as the Vice President and General Counsel of Wookey.

 

Mr. Allen, Mr. Gustavson, Mr. Stubblefield and Mr. Meador are not a party to any material plan, contract or arrangement (whether or not written) with the Company.

 

Mr. Allen, Mr. Gustavson, Mr. Stubblefield and Mr. Meador are not a participant in any related party transaction required to be reported pursuant to Item 404(a) of Regulation S-K, except as discussed above in this Item 5.02 or under Item 5.01.

 

There are no family relationships between any director or executive officer of the Company, including, but not limited to Mr. Allen, Mr. Gustavson, Mr. Stubblefield and Mr. Meador.

 

Mr. Allen and Mr. Gustavson do not, and are not anticipated to, serve on any committees of the Board of Directors.

 

 
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The Company is not aware of any arrangements, including any pledge by any person of securities of the Company, the operation of which may at a subsequent date result in a change in control of the Company, except as discussed above in Item 5.01.

 

Effective on March 27, 2020, Mr. Allen resigned as a member of the Board of Directors of the Company, leaving Mr. Gustavson as the sole member of the Board of Directors.

 

Mr. Allen’s, Mr. Gustavson’s, Mr. Stubblefield’s and Mr. Meador’s biographical information are disclosed below:

 

Gary Allen, Age 59

 

Gary Allen has served as the President and Chief Executive Officer of Tri Capital Energy Corporation since July 2019. Tri Capital Energy Corporation is focused on the rapid development of niche oil and gas assets and salt water recovery and disposal primarily in Texas. Since April, 2004, Mr. Allen has served as the Founder and Managing Member of Real Capital Advisors, LLC, a mergers and acquisitions and corporate advisory firm. Mr. Allen received a Bachelor of Business Administration (B.B.A.) Finance & Real Estate from the Cox School of Business at Southern Methodist University. Mr. Allen has been licensed in Texas as a real estate broker since May 1984.

 

Mark Gustavson, Age 51

 

Mark Gustavson has served as the Chief Executive Officer, Secretary and Director of the Company since February 27, 2020. Mr. Gustavson has served as the Chief Financial Officer of Tri Capital Energy Corporation since June 2019. Tri Capital Energy Corporation is focused on the rapid development of niche oil and gas assets and salt water recovery and disposal primarily in Texas. From March 2015 to May 2019, Mr. Gustavson served as the Chief Financial Officer, Director and Founder of Wookey Search Technologies Corporation. Mr. Gustavson has continued to serve Wookey Search Technologies Corporation as a Senior Adviser since May 2019. From July 2016 to August 2017, Mr. Gustavson served as Chief Financial Officer and Director of Sharkreach Corporation. Mr. Gustavson received a Bachelor of Science degree from the University of Oregon.

 

Robert J. Stubblefield, Age 56

 

Robert Stubblefield has served as the Company’s Chief Financial Officer and Treasurer since February 27, 2020. Since February of 2019, Mr. Stubblefield has served as the Chief Financial Officer of Sherpa Digital Media Inc., a company providing a platform for secure live and on-demand enterprise video communications based in San Mateo, California. From November of 2017 to January of 2019, Mr. Stubblefield served on a contract basis as the Chief Financial Officer of Opya, Inc., a company providing clinical services to autistic children and youth and developing software and digital tools to help clinicians and parents create the best outcomes. Prior to that, from July 2016 to June 2017, Mr. Stubblefield served as the Chief Financial Officer and Chief Operating Officer of Jobscience, Inc., a company providing staffing and recruitment software based in San Francisco, California. From 2014 to June of 2016, Mr. Stubblefield served as a contract Chief Financial Officer and Vice President of Finance to multiple start-ups and a growth company including Rafter, Inc. (September 2014 to November 2015), a venture capital-backed managed services growth company providing textbooks and courseware for higher education with four lines of business with both B2B and B2C revenue. From 2013 to 2014, Mr. Stubblefield served as the Chief Financial Officer of Findly Talent LLC, a private equity-backed provider of SaaS-based recruiting and talent management applications located in San Francisco, California. From 2006 to 2012, Mr. Stubblefield served as the Senior Director of Finance (2006-2008), Vice President of Finance (2008-2010) and Chief Financial Officer and Corporate Secretary (2010-2012) of Qumu, Inc., a venture capital-backed early stage enterprise software company offering perpetual, SaaS and appliance licensing models located in San Bruno, California. From 2001 to 2006, Mr. Stubblefield served as the Director of Sales Operations for iManage Inc. (purchased by Interwoven in 2003) and Interwoven, Inc., both of which were publicly-traded enterprise software companies with a perpetual license model located in California. Prior to that, he provided services as a Controller of Sales and Professional Services (Mycio.com/Network Associates); as Division Finance Officer and Controller (Wells Fargo Bank N.A. - San Francisco, California), and served as an Audit Supervisor (Hemming Morse, Inc. in San Francisco, California). Mr. Stubblefield obtained his Bachelors of Science degree in Business Administration from California State University, East Bay (Hayward, California) with a focus in accounting.

 

 
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Ross Meador, Age 65

 

Mr. Meador has served as the Vice President and General Counsel of the Company since March 29, 2020. He has been a legal advisor to Wookey since October 2014 and was appointed Vice President and General Counsel on January 2, 2019. Mr. Meador has worked as a corporate lawyer for over 30 years, and has held the position of Partner at CKR Law (November 2017- May 2019), TechLaw (January 2014 - October 2017), Meador & Engle (formerly Rogers & Meador) (January 2003 - December 2014), and Preston Gates & Ellis (now K&L Gates) (May 2001-December 2002). Earlier in his career, he worked as an attorney for Morrison & Foerster for 13 years, much of that time on secondment to Korea’s largest law firm, Kim & Chang, in Seoul, Korea and to SSEK in Jakarta Indonesia. He also worked for Vietnam’s largest law firm, VILAF Hong Duc, in Ho Chi Minh City, Viet Nam.

 

Mr. Meador is active in the California Bar Association, serving on the Executive Committee of the International Law Section. He also served as Chairman of the Legal Services Committee of the American Chamber of Commerce in Korea, as President of the Korean American Chamber of Commerce in San Francisco, and as Entrepreneur in Residence at the CSU Fullerton Business School.

 

Mr. Meador’s humanitarian work includes opening the wartime office of Friends of Children of Vietnam. His organization has been nominated twice for the Presidential Medal of Freedom.

 

Mr. Meador obtained his Bachelor of Arts Degree from the University of California San Diego and his Juris Doctorate from The University of California, Berkeley, School of Law.

 

Item 9.01 Financial Statements and Exhibits.

 

(d) Exhibits

 

Exhibit

Number

 

Description

10.1

 

Consulting Agreement dated February 12, 2020, by and between Tiffani Jones and Regnum Corp.

10.2

 

Voting Agreement dated March 27, 2020, by and between Wookey Search Technologies Corporation and Tri Capital Energy Corporation

 

 
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SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

 

REGNUM CORP.

       

Date March 31, 2020

By: /s/ Mark Gustavson

 

Name:

Mark Gustavson  
 

Title:

Chief Executive Officer

 

  

 
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EXHIBIT INDEX

 

Exhibit

Number

 

Description

10.1

 

Consulting Agreement dated February 12, 2020, by and between Tiffani Jones and Regnum Corp.

10.2

 

Voting Agreement dated March 27, 2020, by and between Wookey Search Technologies Corporation and Tri Capital Energy Corporation

 

 

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EXHIBIT 10.1

 

CONSULTING AGREEMENT

 

This Consulting Agreement (“Agreement”) is made by and between Tiffani Jones (“Consultant”) and Regnum Corp. (“Regnum,” together with its affiliates and subsidiaries, “Company”). Company and Consultant are collectively referred to herein as “parties,” in singular or plural usages, as required by context.

 

WHEREAS:

 

The Company wishes to retain the Consultant to perform part time consulting work for the Company on an exclusive basis subject to the terms of this Agreement.

 

IT IS HEREBY AGREED AS FOLLOWS:

 

1. Term. This Agreement shall commence on February 12, 2020 (the “Start Date”) and Consultant shall provide the services detailed below for a period of 30 days from the Start Date (the “Expiration Date”). This Agreement may be subsequently extended two times for an additional 30-day period not to exceed 90 days total, or terminated sooner as provided below.

 

2. Services To Be Provided. Consultant will provide limited consultation services relating to acquiring unproduced and unpublished quality intellectual properties at a discount from studios, agencies and production companies for subsequent recycling or production in wide variety of media with the intent to resell back to the entertainment community for a profit. Consultant shall have the ability to select the means, manner and method of performing these services. Consultant shall have the right to provide the services in such manner as Consultant deems appropriate. Consultant further shall have the right to dictate her hours of work, as well as how much work to perform. Consultant, however, agrees to use her best efforts to promote Company’s interests, and to give Company the benefit of her experience, knowledge, and skills. Consultant undertakes to perform services in a timely and professional manner and to devote such time, attention and skill to her duties under this Agreement as she deems necessary.

 

Nothing herein shall be deemed to preclude Company from retaining the Services of other persons or entities undertaking the same or similar services as those undertaken by Consultant hereunder or from independently developing or acquiring materials or programs that are similar to, or competitive with, the services.

 

3. Compensation.

 

a. In consideration of the performance of the Services and of the acceptance by the Consultant of the restrictive covenants set out in this Agreement, Company will pay Consultant $3,750 on a monthly basis.

 

b. The Consultant shall invoice the Company for Services on a monthly basis. The Company shall discharge any valid invoice within 14 days of receipt of the valid invoice.

 

4. Reimbursement of Travel Expenses. During the term of this Agreement and with the prior written consent of the Company for travel, Company will reimburse Consultant for her actual, reasonable, out-of-pocket expenses for travel in connection with her work under this Agreement. Consultant shall submit accurate and complete supporting documents for reimbursement of such expenses and shall follow any policies, requirements, or directions imposed by Company in connection with such expenses.

 

5. Preservation of Company Confidential Information. Consultant agrees at all times:

 

a. Not to disclose to any third party any Confidential Information learned by Consultant at any time or any Confidential Information developed by Consultant pursuant to this Agreement; except such information which is now public or hereafter becomes published or otherwise generally available to the public other than through breach of this Agreement;

 

 
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b. Not to put to commercial use or use in any way except for the benefit of Company any Confidential Information disclosed to Consultant or any Confidential Information developed by Consultant pursuant to this Agreement.

 

c. As used herein, “Confidential Information” includes any non-public information Consultant receives directly or indirectly from the Company or acquired or developed in the course of her consultancy and any other non-public information received or developed by, or disclosed to, Consultant during the course of or arising out of her previous employment with the Company, including by way of example only, trade secrets (including organizational charts, employee information such as credentials, skill sets and background information), ideas, inventions, methods, designs, formulas, systems, improvements, prices, discounts, business affairs, products, product specifications, manufacturing processes, data and know-how and technical information of any kind whatsoever, unless such information has been publicly disclosed by authorized officials of the Company. In the event information which is non-public becomes public due to disclosure by Consultant which is not authorized by the Company, such information shall be deemed non-public for purposes of this Agreement.

 

6. Intellectual Property. As a material condition to which Consultant agrees in exchange for the opportunity to provide the Services, Consultant expressly acknowledges and agrees that any literary materials procured by Consultant which relate to or affect the business of Company (“Intellectual Property”), shall be the sole and exclusive property of Company. Consultant expressly agrees to disclose and reveal to Company all Intellectual Property, and all information regarding Intellectual Property, concurrent with the discovery or development of the Intellectual Property. Consultant hereby assigns to Company all rights, title, and interests in any Intellectual Property. Consultant agrees that she will not use or disclose any Intellectual Property owned by Company to benefit a competitor, customer, individual, or other entity without the express written permission of the Chief Executive Officer.

 

7. Independent Contractor. Consultant shall perform his duties as an independent contractor and not as an employee.

 

8. No Benefits. The parties agree that by virtue of the provision of the Services under this Agreement, Consultant shall not be entitled to any Company benefits pursuant to this Agreement, including but not limited to life insurance, death benefits, accident and health insurance, qualified pension or retirement plan or other benefits.

 

9. Contracting Power. In no event shall Consultant have any power or authority to bind Company in any manner, it being expressly understood that Consultant is an independent contractor and not an agent or employee of Company. No form of joint venture, partnership, or similar relationship between the parties is intended or hereby created as a result of the entry into or performance by the parties of this Agreement.

 

10. Termination.

 

a. This Agreement shall be terminable by the Company, with or without breach, and for any reason and without prior notice.

 

b. In the event Company terminates this Agreement without Material Breach or the Agreement expires, the Company shall pay to Consultant a sum equal to the unpaid amounts earned and accrued hereunder through the date of termination or expiration.

 

c. In the event that the parties wish to extend this Agreement beyond the Expiration Date, the parties will mutually agree in writing to the extension no later than 10 days prior to the Expiration Date.

 

 
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If the parties do not mutually agree to extend this Agreement as of 10 days prior to the Expiration Date, this Agreement will terminate on the Expiration Date.

 

11. Consultant’s Representations/Warranties and Covenants. Consultant represents, warrantsand covenants to Company the following:

 

a. Consultant has the full power and authority to enter into this Agreement withoutthe consent or approval of any other person; and

 

b. Consultant’s execution, delivery and performance of this Agreement will not violateor cause a breach of any existing employment, consultant or any other agreement, covenant, promise or any other duties by which Consultant is bound, including confidentiality obligations or covenants not to compete including any present or previous employer except Regnum Corp.

 

12. Assignment. The rights and obligations of the Company under this Agreement shall inure to the benefit of and shall be binding upon the successors and assigns of the Company. The rights and obligations of Consultant are non-assignable.

 

13. Limitation of Liability.

 

a. Neither party is assuming any liability for the actions or omissions of the other party except as stated in this Agreement. The Company shall indemnify Consultant for claims arising out of Consultant’s performance of the Services.

 

b. Neither party shall be liable for consequential, special, incidental or indirect losses including, without limitation, (i) loss of profits, revenue or goodwill; (ii) loss of business or (iii) loss of anticipated savings.

 

14. Publicity: Consultant shall not publicize or disclose the existence of this Agreement nor any information regarding any other terms and conditions of this Agreement. For the avoidance of doubt, the Consultant agrees, during the term of this Agreement and thereafter, not to engage in any form of conduct or make any statements or representations that disparage, portray in a negative light, or otherwise impair the reputation, goodwill or commercial interests of the Company, or its past, present and future subsidiaries, divisions, affiliates, successors, officers, directors, attorneys, agents and employees.

 

15. Controlling Law and Venue. Consultant agrees that the construction, interpretation, and performance of this Agreement shall be governed by the laws of State of Texas. It is agreed that any controversy, claim or dispute between the parties, directly or indirectly, concerning this Agreement or the breach thereof shall only be resolved in the courts of State of California.

 

16. Entire Agreement; Amendment. Consultant agrees that this Agreement constitutes the entire agreement between her and Company with respect to the matters contemplated by this Agreement, and that this Agreement and supersedes any and all prior and/or contemporaneous written and/or oral agreements relating to such matters. Consultant acknowledges that this Agreement may not be modified except by written document, signed by him and a duly authorized officer of the Company.

 

17. Counterparts. This Agreement may be executed simultaneously in one or more faxed counterparts, any one of which need not contain the signatures of more than one party, but all such counterparts taken together shall constitute one and the same Agreement.

 

18. Notices: Any notices required to be sent by a party under this Agreement shall be given in writing.

 

 
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IN WITNESS WHEREOF, Company and Consultant have duly executed and delivered this Agreement as of the day first written above.

 

 

CONSULTANT 

 

 

REGNUM CORP 

 

 

 

 

 

 

TIFFANI JONES

    President  

 

 

 

 

 

/s/ Tiffani Jones

    /s/ Gary Allen  
     

Signature

   

Signature

 

 

 

 

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  EXHIBIT 10.2

 

VOTING AGREEMENT

 

THIS VOTING AGREEMENT, dated March 27, 2020 and effective as of February 26, 2020 (this “Agreement”), is made by and among Tri Capital Energy Corporation, a Delaware corporation (“Tri Capital”) and Wookey Search Technologies Corporation, a Delaware corporation (the “Securityholder”).

 

RECITALS

 

WHEREAS, the Securityholder holds 20 million shares of the common stock of Regnum Corp., a Nevada corporation (the “Company” and the “Shares”) which it purchased from Tri Capital pursuant to that certain Stock Purchase Agreement dated February 26, 2020, by and between the Securityholder, as purchaser, and Tri Capital, as seller (the “Stock Sale Agreement”);

 

WHEREAS, the consideration payable to Tri Capital pursuant to the Stock Sale Agreement was (a) $50,000 in cash; and (b) a $400,000 Secured Promissory Note (the “Note”); and

 

WHEREAS, the Securityholder desires to enter into this Agreement to provide voting control over the Shares until such time as the Note has been repaid in full.

 

Accordingly, in consideration of the mutual representations, warranties, covenants and agreements set forth herein, for $10, the receipt and sufficiency of which Securityholder acknowledges from Tri Capital, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties to this Agreement, intending to be legally bound, agree as follows:

 

ARTICLE I.SHARES AND VOTING PROXY

 

1.1. The Shares. Any interest or other voting securities, or the voting rights relating thereto, of the Company, that may be owned, held or subsequently acquired in any manner, legally or beneficially, directly or indirectly, of record or otherwise, by the Securityholder, other than the Shares, at any time during the term of this Agreement as (a) a result of the ownership of the Shares whether issued incident to any split, dividend, conversion, increase in capitalization, recapitalization, merger, consolidation, reorganization, or other transaction; and (b) any additional voting shares or other voting securities of the Company, or the voting rights relating thereto, that may be owned, held or subsequently acquired in any manner, legally or beneficially, directly or indirectly, of record or otherwise, by the Securityholder from time to time during the Term of this Agreement; shall be included within the term “Shares” as used herein and shall be subject to the terms of this Agreement.

 

 

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Voting Agreement

 

 

 

1.2. Irrevocable Proxy and Power of Attorney.

 

1.2.1 Securityholder, by its entry into this Agreement, hereby constitutes and appoints Tri Capital, with the power to act alone and with full power of substitution, during and for the Term, as Securityholder’s true and lawful attorney and irrevocable proxy, for and in the Securityholder’s name, place and stead, to vote or act by written consent with respect to the Shares owned or held by Securityholder as Securityholder’s proxy, and to execute all appropriate instruments consistent with this Agreement on behalf of Securityholder, in all proceedings in which the vote or written consent of the Securityholder may be required or authorized by law during the Term (including, but not limited to actual meetings of the stockholders of the Company and written consents to action) regardless of whether such Securityholder actually attends any applicable meeting or signs any applicable consent, or not (the “Proxy”). Securityholder intends the foregoing Proxy to be, and it shall be, irrevocable and coupled with an interest during the Term. All action to be taken on any question shall be determined by Tri Capital, or its assigns, in its/their sole discretion. Without limiting the foregoing, Securityholder shall deliver to Tri Capital a duly executed Irrevocable Voting Proxy, which shall be irrevocable to the fullest extent permissible by law, in the form attached hereto simultaneously with the execution hereof.

 

1.2.2 The proxy and power granted by such Securityholder pursuant to this Section 1.2 are coupled with an interest. The proxy and power will be irrevocable for the Term hereof, and the vote (or action by written consent) of Tri Capital (or its assigns), in its capacity as proxyholder, shall control in any conflict between the vote (or action by written consent) of Tri Capital (or its assigns), in its capacity as proxyholder, with respect to Securityholder’s Shares and the vote (or action by written consent) of each such Securityholder with respect to Securityholder’s Shares.

 

1.2.3 Securityholder agrees that, except as required under the Company’s organizational documents, as soon as reasonably practicable prior to (i) any meeting of the stockholders of the Company, however called, including any adjournment, recess or postponement thereof, and (ii) the requested execution of any written consent of the stockholders of the Company, Securityholder shall notify Tri Capital in writing of such meeting or written consent and, in the case of a meeting, deliver to Tri Capital any proxy card received by Securityholder relating thereto. Tri Capital agrees that it shall exercise its duty as proxyholder in accordance with the terms of this Section 1.2.

 

1.2.4 Securityholder hereby agrees that, except for this Agreement, Securityholder (i) has not entered into, and shall not enter into at any time while this Agreement remains in effect, any voting agreement or voting trust with respect to any Shares and (ii) has not granted, and shall not grant at any time while this Agreement remains in effect, a proxy, consent or power of attorney with respect to any Shares, in the case of each of clause (i) and (ii), that would prevent the Securityholder’s compliance with this Agreement.

 

1.3. Termination. The provisions of this Agreement shall terminate automatically upon the payment in full of the Note (the “Term”).

 

1.4. Reservation of Rights. All other rights and privileges of ownership of the Shares shall be reserved to and retained by Securityholder, except to the extent expressly set forth herein.

 

 

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Voting Agreement

 

 

 

ARTICLE II.TRANSFERS

 

2.1. General Restrictions. Securityholder agrees that during the Term, Securityholder shall not, and shall not permit anyone else to, (i) sell, transfer, encumber, pledge, assign or otherwise dispose of any of the Shares, (ii) deposit the Shares into a voting trust or enter into a voting agreement or arrangement with respect to the Shares or grant any proxy or power of attorney with respect thereto, or (iii) enter into any contract, option or other legally binding undertaking providing for any transaction provided in (i) or (ii) hereof (each a “Transfer”). Any Transfer not in accordance with this Section 2.1 shall be deemed to constitute a Transfer by Securityholder in violation of this Agreement, shall be void ab initio, and the Company shall not recognize any such Transfer.

 

ARTICLE III.GENERAL PROVISIONS

 

3.1. Proxyholder’s Liability. Tri Capital, in its capacity as a proxyholder pursuant to Section 1.2, shall not be liable for any error of judgment nor for any act done or omitted, nor for any mistake of fact or law nor for anything which Tri Capital may do or refrain from doing in good faith in its capacity as a proxyholder, nor shall Tri Capital have any accountability hereunder, except for its own bad faith, gross negligence or willful misconduct. Furthermore, upon any judicial or other inquiry or investigation of or concerning Tri Capital’s acts pursuant to its rights and powers as a proxyholder, such acts shall be deemed reasonable and in the best interests of the Securityholder unless proved to the contrary by clear and convincing evidence. The provisions contained in this Section 3.1 shall survive the termination of this Agreement (or any provision hereof).

 

3.2. Counterparts. This Agreement and any signed agreement or instrument entered into in connection with this Agreement, and any amendments hereto or thereto, may be executed in one or more counterparts, all of which shall constitute one and the same instrument. Any such counterpart, to the extent delivered by means of a facsimile machine or by .pdf, .tif, .gif, .jpg or similar attachment to electronic mail (any such delivery, an “Electronic Delivery”) shall be treated in all manner and respects as an original executed counterpart and shall be considered to have the same binding legal effect as if it were the original signed version thereof delivered in person. At the request of any party, each other party shall re-execute the original form of this Agreement and deliver such form to all other parties. No party shall raise the use of Electronic Delivery to deliver a signature or the fact that any signature or agreement or instrument was transmitted or communicated through the use of Electronic Delivery as a defense to the formation of a contract, and each such party forever waives any such defense, except to the extent such defense relates to lack of authenticity.

 

3.3. Review of Agreement and Representations. Each party herein expressly represents and warrants to all other parties hereto that (a) before executing this Agreement, said party has fully informed itself of the terms, contents, conditions and effects of this Agreement; (b) said party has relied solely and completely upon its own judgment in executing this Agreement; (c) said party has had the opportunity to seek and has obtained the advice of its own legal, tax and business advisors before executing this Agreement; (d) said party has acted voluntarily and of its own free will in executing this Agreement; and (e) this Agreement is the result of arm’s length negotiations conducted by and among the parties and their respective counsel.

 

 

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3.4. Entire Agreement. This Agreement (including the exhibits and schedules hereto and thereto) contain all of the terms, conditions and representations and warranties agreed to by the parties relating to the subject matter of this Agreement and supersede all prior or contemporaneous agreements, negotiations, correspondence, undertakings, understandings, representations and warranties, both written and oral, among the parties to this Agreement with respect to the subject matter of this Agreement. No representation, warranty, inducement, promise, understanding or condition not set forth in this Agreement has been made or relied upon by any of the parties to this Agreement.

  

3.5. Authority to Enter Into Agreement. Each of the parties to this Agreement hereby represents and warrants to the other that it is duly authorized and empowered to execute, deliver and perform this Agreement and the transactions contemplated herein, and that such actions do not conflict with or violate any provision of law, regulation, policy, contract, deed of trust or other instrument to which it is a party or by which it is bound and that this Agreement constitutes a valid and binding obligation of it enforceable in accordance with its terms. Assuming the due authorization, execution and delivery of this Agreement by the parties hereto and thereto, this Agreement constitutes, the legal, valid and binding obligation of the parties enforceable against each party in accordance with its terms, except as such enforcement may be limited by applicable bankruptcy, insolvency, reorganization, moratorium or similar laws affecting creditors’ rights generally and general equitable principles.

 

3.6. Third-Party Beneficiary. Except for the Company’s rights hereunder to reject a Transfer not in compliance with the terms of this Agreement, nothing in this Agreement, express or implied, is intended or shall be construed to confer upon, or give to, any person, firm, corporation or other entity other than the parties hereto any remedy or claim under or by reason of this Agreement or any terms or conditions hereof, and all of the terms, conditions, promises and agreements contained in this Agreement shall be for the sole and exclusive benefit of the parties hereto and the Company, as applicable.

 

3.7. Governing Law. This Agreement and any claim, controversy or dispute arising under or related thereto, the relationship of the parties, and/or the interpretation and enforcement of the rights and duties of the parties, whether arising in law or in equity, in contract, tort or otherwise, shall be governed by, and construed and interpreted in accordance with, the laws of the State of Delaware without regard to its rules regarding conflicts of law to the extent that the application of the laws of another jurisdiction would be required thereby.

 

3.8. Assignment. This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and permitted assigns. The Securityholder may not, directly or indirectly, assign any of its rights or delegate any of its obligations under this Agreement, by operation of law or otherwise, without the prior written consent of Tri Capital. Any purported direct or indirect assignment in violation of this Section 3.8 shall be void and of no force or effect.

 

 

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3.9. Submission to Jurisdiction; Service. Each party (a) irrevocably and unconditionally submits to the personal jurisdiction of the federal or state courts of Delaware, (b) agrees that it will not attempt to deny or defeat such personal jurisdiction by motion or other request for leave from any such court, (c) agrees that any actions or proceedings arising in connection with this Agreement or the transactions contemplated by this Agreement shall be brought, tried and determined only in such courts, (d) waives any claim of improper venue or any claim that those courts are an inconvenient forum and (e) agrees that it will not bring any action relating to this Agreement or the transactions contemplated by this Agreement in any court other than the aforesaid courts.

 

3.10. Severability. If any term or other provision of this Agreement is held to be invalid, illegal or incapable of being enforced by any rule of law or public policy by a court of competent jurisdiction, all other conditions and provisions of this Agreement shall nevertheless remain in full force and effect, insofar as the foregoing can be accomplished without materially affecting the economic benefits anticipated by the parties to this Agreement. Upon such determination that any term or other provision is invalid, illegal or incapable of being enforced, the parties hereto shall negotiate in good faith to modify this Agreement so as to effect the original intent of the parties as closely as possible to the fullest extent permitted by applicable law.

 

3.11. Waiver of Jury Trial. Each party acknowledges and agrees that any controversy which may arise under this Agreement is likely to involve complicated and difficult issues and, therefore, each such party irrevocably and unconditionally waives any right it may have to a trial by jury in respect of any legal action directly or indirectly arising out of or relating to this Agreement or the transactions contemplated by this Agreement. Each party to this Agreement certifies and acknowledges that (a) no other party has represented, expressly or otherwise, that such other party would not seek to enforce the foregoing waiver in the event of a legal action, (b) such party has considered and understands the implications of this waiver, (c) such party makes this waiver voluntarily and (d) such party has been induced to enter into this Agreement by, among other things, the mutual waivers and certifications in this Section 3.12.

 

3.12. Specific Performance. The parties agree that irreparable damage would occur if any of the provisions of this Agreement were not performed in accordance with their specific terms or were otherwise breached. It is accordingly agreed that the parties shall be entitled to an injunction or injunctions to prevent breaches or threatened breaches of this Agreement and to enforce specifically the terms and provisions of this Agreement in any federal or state court, this being in addition to any other remedy at law or in equity, and the parties to this Agreement hereby waive any requirement for the posting of any bond or similar collateral in connection therewith. The parties agree that they shall not object to the granting of injunctive or other equitable relief on the basis that there exists an adequate remedy at law.

 

3.13. Further Assurances. Securityholder hereby covenants that it will, whenever and as reasonably requested by Tri Capital and at Securityholder’s sole cost and expense, do, execute, acknowledge and deliver any and all such other and further acts, deeds, assignments, transfers, conveyances, confirmations, powers of attorney and any instruments of further assurance, approvals and consents as Tri Capital may reasonably require in order to complete, insure and perfect the terms and conditions of this Agreement, the Proxy and the rights provided in connection with the Proxy.

 

 

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3.14. Stock Splits, Stock Dividends, etc. In the event of any issuance of shares of the Company’s voting securities hereafter to Securityholder (including, without limitation, in connection with any stock split, stock dividend, recapitalization, reorganization or similar transaction), such shares shall become subject to this Agreement. Wherever in this Agreement (or the Proxy) there is a reference to a specific number of Shares of the equity securities of the Company, then, upon the occurrence of any of foregoing events, the specific number of Shares so referenced in this Agreement (or the Proxy) shall automatically be proportionally adjusted to reflect the effect on the outstanding shares of such class or series of stock by such event.

 

IN WITNESS WHEREOF, this Agreement has been duly executed and delivered by the duly authorized officers of the parties to this Agreement as of the date first written above.

  

  Tri Capital
       

 

 

Tri Capital Energy Corporation

 

 

 

 

 

/s/ Gary Allen

 

 

Gary Allen  
    Chief Executive Officer  

 

  
Securityholder” 
     

 

Wookey Search Technologies Corporation 

 

 

 

 

/s/ Mark Gustavson

 

Mark Gustavson  
  Chief Executive Officer  
     

Company

 

Confirming the restrictions on Transfer described in the Agreement above, and that the Company agrees to use commercially reasonable efforts: (a) to assist in the enforcement of the terms of this Agreement, including, without limitation; (b) to inform the parties of this Agreement of any breach of this Agreement (to the extent the Company has knowledge thereof); and (c) to assist the parties of this Agreement in the exercise of their rights and the performance of their obligations under this Agreement:

 

Regnum Corp.

 

/s/ Mark Gustavson                       

Mark Gustavson

Chief Executive Officer 

 

 

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IRREVOCABLE VOTING PROXY

 

Wookey Search Technologies Corporation, a Delaware corporation (“Securityholder”), which beneficially owns 20 million shares of the common stock of Regnum Corp., a Nevada corporation (the “Company” and the “Shares”, which term shall include such other shares as it may come to own or have voting control over, as described in greater detail in the Voting Agreement, dated March 27, 2020, which this Irrevocable Voting Proxy is attached as an exhibit to) of the Company as of the date hereof, hereby appoints Tri Capital Energy Corporation, a Delaware corporation, as its proxy (the “Proxy”), with the power to act alone and with full power of substitution, during and for the Term, as Securityholder’s true and lawful attorney and irrevocable proxy, for and in the Securityholder’s name, place and stead, to vote or act by written consent with respect to the Shares owned or held by Securityholder as Securityholder’s proxy, and to execute all appropriate instruments consistent with this Irrevocable Voting Proxy on behalf of Securityholder, in all proceedings in which the vote or written consent of the stockholders may be required or authorized by law during the Term (including, but not limited to actual meetings of the stockholders of the Company and written consents to action) regardless of whether Securityholder actually attends any applicable meeting or signs any applicable consent, or not, as if the undersigned were present and voting such Shares.

 

Upon Securityholder’s execution of this Irrevocable Voting Proxy, any and all prior proxies (other than this Irrevocable Voting Proxy) given by Securityholder with respect to the subject matter contemplated by this Irrevocable Voting Proxy are hereby revoked with respect to such subject matter and Securityholder agrees not to grant any subsequent proxies with respect to such subject matter or enter into any agreement or understanding with any person to vote or give instructions with respect to such subject matter in any manner inconsistent with the terms of this Irrevocable Voting Proxy until after the expiration of the Term (as defined below).

 

The Proxy named above, and its assigns, are hereby authorized and empowered by Securityholder, at any time prior to the end of the Term, to act as Securityholder’s attorney and proxy to vote the Shares, and to exercise all voting and other rights of Securityholder with respect to the Shares (including, without limitation, the power to execute and deliver written consents pursuant to the Nevada Revised Statutes (or such law applicable to the Company’s then jurisdiction of organization)), at every annual, special or adjourned meeting of the stockholders of the Company and in every written consent in lieu of such meeting

 

The undersigned hereby affirms that this Irrevocable Voting Proxy, which shall be irrevocable to the fullest extent permissible by law, is coupled with an interest and ratifies and confirms all that the Proxy may lawfully do or cause to be done by virtue hereof. This Irrevocable Voting Proxy shall terminate upon the payment in full of that certain secured promissory note in the amount of $400,000 entered into by the Securityholder to evidence amounts owed to the Proxy dated February 26, 2020 (the “Term”).

 

All authority herein conferred shall be binding upon the heirs, representatives, successors and assigns of Securityholder. Executed this 27th day of March 2020.

 

Wookey Search Technologies Corporation

 

/s/ Mark Gustavson                         

Mark Gustavson

Chief Executive Officer