IP HII EDVA 00483 Doc. 0180 Exhibit 2
2. Stand Still. During the period of the Government's review of the Agreement, neither Party shall file or otherwise pursue any judicial or other action for money damages against the other with respect to...
DISTIL analysis
- Subcontract P000043846 terminated for convenience following Government termination of underlying work
- Settlement contingent on Government Contracting Officer approval per FAR 49.108-3
- Drone inventory categorized into Groups A-D reflecting different stages of completion at time of Stop-Work Order
- Mutual release provisions upon Government approval, covering all claims related to stop-work or termination
- Cyberlux prohibited from direct communication with U.S. Navy or GSA regarding subcontract matters
Extracted text
8 pages · 12632 charactersHI
Cast '4.25 CY-01689
HII
tabbles 2
Mission Technologies
Modification No. 4 to Subcontract No. P000043846 To Effectuate a Termination Settlement
This Modification No. 4 to Effectuate a Termination Settlement (the "Agreement"), effective as of February 26, 2025, is made by and between HII Mission Technologies Corp. ("HII"), a Delaware company with offices located at 8350 Broad St., Suite 1400, McLean, VA 22102, and Cyberlux Corporation ("Cyberlux") a Nevada company with offices located at 800 Park Offices Drive, Suite 3209, Research Triangle Park, NC 27709 (each a "Party," and collectively, "the Parties").
WHEREAS, the Parties entered into Subcontract No. P000043846, dated August 29, 2023 (the "Subcontract"), issued under Hil's Prime Task Order 47QFCA22F0039 and Technical Direction feffer 1-023 ("TDL 23") supporting the Department of the Navy and the General Services Administration, Federal Systems Integration and Management Center (each and collectively, the "Government") ;
WHEREAS, on December 22, 2023, the Government issued a Stop-Work Order on the TDL 23 work scope, and HII in turn issued a Stop-Work Order on the Subcontract to Cyberlux (the OSWO");
WHEREAS, the Government terminated the TDL 23 work scope for convenience on May 13, 2024, and HIl subsequently exercised the termination provisions of Subcontract Section 32.1 on May 17, 2024; and
WHEREAS, Cyberlux has asserted entitlement to payment under Subcontract Section 32.1, and following negotiation, the Parties now wish to resolve any disagreement and reach a settlement.
NOW, THEREFORE, in consideration of the mutual covenants and agreements exchanged herein and other good and valuable consideration, the Parties agree as follows:
a. The Parties acknowledge that pursuant to FAR 49.108-3, the Government expects HIl to submit a subcontractor settlement fo the Government Contracting Officer for review and approval. Accordingly, the Parties agree that Sections 3 through 6 of this Agreement shall become effective and enforceable only if and when the Government Contracting Officer approves of the Agreement.
b. Following execution of the Agreement, HII will promptly submit the Agreement to the Government Contracting Officer as a contractor settlement. Thereafter, HII will promptly notify Cyberlux if the Government Contracting Officer approves of the Agreement. The Parties shall cooperate in good faith to obtain such approval. In furtherance of that effort, Cyberlux shall cooperate with any auditor other review directed or conducted by the Government in connection with its review of this Agreement, including by granting the Government or its designee access to all books, records, documents, and other information relating to the Subcontract.
HHI HII
Document 180-2 Filed 04/15/26 Page 2 of 8 PageID# 3840 1-2 Filed on 04/11/25 in TXSD
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Mission Technologies
CLIN 1001
Categories
Description
Drone Kits Delivered/Accepted Prior to SWO
"Group A" refers to the 37 drone kit's (K8-1 (12 kits); K8-2 (25 kits)) that Cyberlux has stated have passed HII-witnessed Flight Acceptance Testing ("FAT") and were only awaiting Government acceptance and shipment when the SWO was issued on December 22, 2023.
Group B
"Group B" refers to the 745 drones (K8-1 (248 drones); K8-2 (497 drones)) that Cyberlux has stated have completed quality control ("QC") and bench testing, but for which FAT has not occurred. The drones have not yet been placed into drone kit configuration.
Group C Unofficia
"Group C" refers to the 526 Work in Progress drones that Cyberlux has stated had not undergone Cyberlux QC or bench testing. In addition, the drones have not undergone HII- witnessed FAT, nor have they yet been placed into drone kit configuration. Cyberlux stated that a number of these drones had been moved to a Tier 3 status between the issuance of the SWO (December 22, 2023) and the issuance of the Termination Notice (May 17, 2024). Group C has three subsets: 1. Subset 1: 46 drones (K8-1 (16 kits); K8-2 (30 kits)) for which Cyberlux has provided to HII documentation indicating that assembly of the drone was initiated prior
A division of HII
Issued by: Mission Technologies Command Media
HH HII
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Mission Technologies
Categories
Amount
Description
to the SWO (December 22, 2023), consistent with Cyberlux's Group C categorization of July 24, 2024. 2. Subset 2: 383 drones for which Cyberlux has not supplied to HII documentation indicating assembly of the drone was initiated prior to the SWQ, consistent with Cyberlux's Group C categorization of July 24, 2024. 3. Subset 3: 97 drones for which Cyberlux has provided to HI, documentation indicating assembly of the drone was initiated after issuance of the SWO. agorisist
Group D
'Group D" refers to the components, parts and spares associated with 300 drone builds for which Cyberlux has stated that assembly had not been initiated prior to the SWO. Cyberlux provided an inventory of these components, parts and spares on September 13, 2024, as revised on September 20, 2024. Cyberlux has stated that these items are "not in any initial airframe assembly phase."
Drone Training Kits
Copy Cmc
Simulation Software
Simulation software delivered and accepted prior to the SWO.
Training Course Delivered
Insurance costs Unofficial
Related to shipments of drone kits prior to the SWO. Supported by provider invoice documented in Cyberlux Invoice 003 dated August 9, 2024.
Trucking costs
Related to shipments of drone kits prior to the SWO. Supported by provider invoice documented in Cyberlux Invoice 003 dated August 9, 2024.
Less initial payment made at award
Invoice 20230829-HII001 dated August 29, 2023.
A division of HIl
Issued by: Mission Technologies Command Media
HHI HII
Document 180-2 . Filed 04/15/26 . Page 4 of 8 PageID# 3842 Filed on 04/11/25 in TXSD 1-2
Mission Technologies
Description
Categories
Amount
CLIN 1001 Total
CLINS 1002, 1003, 1004
CLIN
Description
Burgess Distr
i. For Groups A, B, and C:
E ii. For Group D:
A division of HII
180-2 Document 1-2
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HHI HII
P
HHI HII
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L. nol
HHI HII
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Mission Technologies
agents, and employees, of and from any and all liabilities, obligations, claims, losses, appeals, and demands that it now has or hereafter may have, whether known or unknown, administrative, judicial, legal, or equitable, arising out of or in any way related to the stop-work or termination of the Subcontract; provided, however, that this section shall not limit or diminish the rights of the Parties under the Agreement, including any right to enforce the provisions of this Agreement.
[signature page to follow]
Document 180-2 _Filed 04/15/26 Page 8 of 8 PageID# 3846 Document 1-2 Filed on 04/11/25 in TXSD
HH HII
Mission Technologies
IN WITNESS WHEREOF, the Parties have caused this Agreement to be executed by their duly authorized representatives.
Richard M. Fiene
Hil Mission Technologies Corp. Printed Name:
Title: SVP Contracts
Date: 02/27/2025
Mark televideo
Cyberlux Corporation Printed Name: Mark Schmidt
Title: CEO
Date: 02/26/2025
Unofficial Copy Office of Marilyn Burgess District Clerk
Original source file
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