Exhibit 10.5




This Bill of Sale and Assignment (this “Bill of Sale”) dated December 26, 2017 is executed and delivered by Workhorse Technologies Inc., an Ohio corporation (the “Transferor”), to Surefly, Inc., a Delaware corporation (the “Transferee”).


WHEREAS, the Transferor is the owner of all rights, title and interest in the assets listed on Schedule A attached hereto (collectively, the “Transferred Assets”); and


WHEREAS, the Transferor desires to transfer all of its rights, title and interest in the Transferred Assets to the Transferee.


NOW, THEREFORE, the hereto, intending to be legally bound, agree as follows:


1. The Transferor hereby sells, transfers, conveys, assigns and delivers to the Transferee, its successors and assigns, to have and to hold forever, all right, title and interest in, to and under all of the Transferred Assets.


2. The Transferor hereby covenants and agrees that it will, at the request of the Transferee and without further consideration, execute and deliver, and will cause its employees to execute and deliver, such other instruments of sale, transfer, conveyance and assignment, and take such other action, as may reasonably be necessary to more effectively sell, transfer, convey, assign and deliver to, and vest in, the Transferee, its successors and assigns, good, clear, record and marketable title to the Transferred Assets hereby sold, transferred, conveyed, assigned and delivered, or intended so to be, and to put the Transferee in actual possession and operating control thereof, to assist the Transferee in exercising all rights with respect thereto and to carry out the purpose and intent of the Agreement.


3.The Transferor does hereby irrevocably constitute and appoint the Transferee, its successors and assigns, its true and lawful attorney, with full power of substitution, in its name or otherwise, and on behalf of the Transferor, or for its own use, to claim, demand, collect and receive at any time and from time to time any and all of the Transferred Assets, and to prosecute the same at law or in equity and, upon discharge thereof, to complete, execute and deliver any and all necessary instruments of satisfaction and release.


4. The Transferor hereby authorizes and requests the competent authorities whose duty is to register trademarks, patents, intellectual property and/or industrial property protection on applications included in the Transferred Assets, if any, to issue the same to the Transferee, its successors, legal representatives and assigns, in accordance with the terms of this Bill of Sale.


5. This Bill of Sale shall be binding upon and inure to the benefit of the parties hereto and their respective successors, legal representatives and assigns. This Bill of Sale and any claim, controversy, dispute or cause of action (whether in contract, tort or otherwise) based upon, arising out of or relating to this Bill of Sale shall be governed by and construed in accordance with the internal laws of the State of Delaware applicable to agreements made and to be performed entirely within the State of Delaware, without regard to the conflicts of laws principles thereof. This Bill of Sale may be executed in any number of counterparts each of which when so executed shall be deemed to be an original and all of which taken together shall constitute one and the same agreement.


(Signature Page Follows)





IN WITNESS WHEREOF, the Transferor and the Transferee have caused this instrument to be duly executed under seal as of and on the date first above written.


  By: /s/ Stephen S. Burns
  Name: Stephen S. Burns
  Title: Chief Executive Officer


By: /s/ Duane Hughes  
Name: Duane Hughes  
Title: Interim Chief Executive Officer  




[Signature Page to Bill of Sale]




 Schedule A

Transferred Assets 

Spinco - Workhorse SureFly

Asset List – December 15, 2017 

1. Employee List – names and titles

Employee Name Title
Arkus, Alan Mechanical Engineer
Bennett, Jeffrey E Project Manager, Engineer
Bokeno, Elliot T Mechanical Engineer
Bort, Thadeous Chief SW Engineer
Burns, Brittney Sales
Carlton, Zachary M AE Masters
Conners, Patrick J FAA Specialist; Test Pilot
Jantzen, Jantzen Intrumentation Engineer
Kurdi, Ed (Ayed) Electrical Techician
Ratajzyak, Jay SW Engineer
Roth, Thomas Intern/Co-op
Wei, Wei PhD Aerospace Engineer
Wilson, Scott Telemtery Specialist

 2. Hardware and Software 

a. Computer Hardware – Laptops, Towers and Printers

Make Model Serial Number Form
Acer Aspire F15 NXGD7AA006703258FD7600 Laptop
Acer GX-785 DG883AA004703030F53000 Tower
Dell XPS 8VNQRF2 Laptop
Dell Lattitude E7450 G5THT3T Laptop
HP Envy 17t-u100 5CG7374SHT Laptop
Dell Percision 3520 FS9S8H2 Laptop
Dell Percision Tower 3620 G7DBHK2 Tower
Dell XPS 6SVHSF2 Laptop
MSI 7RDX K1706N0063493 Laptop
Lenovo Thinkpad T470 (in repair) Laptop
HP Compaq 8200 MXL24011PO Tower
Dell DCDO FGPF2G1 Tower
Dell Precision M3800 73N2F72 Laptop
Lenovo N580 CB22020008 Laptop
Dell P57G GBCVC82 Laptop
Dell Precision M6700 FKLTJV1 Laptop
MakerBot Replicator R50026193 Printer

 b. Software 

Software Version
Solidworks Premium 2017
Solidworks Flow Simulator  
Solidworks Simulation  
Daisy Lab 14 (2016)
Appcelerator 4.1
Real Flight Simulator RF 8
MatLab 2017b
MatLab Simulink  
MatLab Toolbox: SysID  
MatLab Toolbox: Instrument Control  





c. Carbon Fiber Molds and Bucks 

i. SureFly #1 Mold – can make additional 50 - 100 SureFly’s 



ii. Bucks – are used to produce additional molds 


d. Test Stands 

i. Steel Mule 

ii. Instrumented Thrust Test Stand 






iii. Prop and Roof Test Fixture – for testing the prop arm and roof structure




iv. Engine Generator Test Stand


3. SureFly #1


  a. SureFly’s stated design goal is to be the safest, easiest to fly and most cost-effective helicopter available. Like any modern flying machine, SureFly is composed of 3 primary systems, all of which have been designed from the ground up to achieve the project goals. For simplicity and safety, the SureFly team chose not to include any transitional wing elements in its version 1.0 design. The resulting design incorporates 4 fixed prop arms that support the fuselage. To keep weight to a minimum, the entire fuselage and adjoining prop arms are custom designed and made of carbon fiber. The engineering team and outside consultants that designed and built the craft focus on keeping the overall weight to a minimum, while still maintaining a strong and long-lasting craft. Our ten years of experience building custom battery packs and our millions of miles on our UPS trucks have given Workhorse a unique advantage in developing a powertrain for an electric VTOL machine. We have detailed knowledge of how battery packs change with age, with temperature extremes and under heavy load. That deep understanding propelled us to design a hybrid drivetrain for SureFly, it utilizes a fossil fuel based generator coupled with a custom lithium battery back to supply the electricity to the 8 electric motors that are directly coupled to the carbon fiber propellers.


4. Patent Request Materials – 2 files Attached


a. Filename = AMPI 26 final drarwings.PDF


b. Filename = Prov Appl.pdf








Workhorse Group, Inc.

Surefly Tangible Assets

December 21, 2017
b:/Accounting:/Projects:/Surefly:/Surefly Historical


Full Use        


Asset  Asset Description  Surefly Usage   Acq Cost   FA Register
1 Furniture/Fixtures  Office Furniture   100%   8818    
2 Furniture/Fixtures  Television   100%  $130    
3 Furniture/Fixtures  Desktop Computer   100%        
4 Fixture  Ocular left Delux System   100%        
5 Mold  Surefly Buck/plug for mold   100%        
6 Furniture/Fixtures  Mobile Protective Walls (4)   100%        
7 Inventory  Original Rotor Arms (6)   100%        
8 Vehicle  Trailer   100%       Yes
9 Furniture/Fixtures  Test Rig (Donkey)   100%        
10 Inventory  Battery Pack w/ Conjunction Box & Charging station   100%        
11 Furniture/Fixtures  Thrust Stand   100%        
12 Furniture/Fixtures  Weights for Calibration   100%        
13 Furniture/Fixtures  Mock Surefly Top for Air Testing   100%        
14 Inventory  Engine Component   100%        
15 Inventory  Battery Pack 850V (inside Test Surefly)   100%        
16 Inventory  Battery Management System (BMS) (Inside Surefly)   100%        
17 Inventory  High Voltage Junction Box (Inside Surefly)   100%        
18 Inventory  Carbaon Fiber Racing Seats (2) (Inside Surefly)   100%        
19 Inventory  Joystick (Inside Surefly)   100%        
20 Inventory  Parker Touch Screen Monitor (inside Surefly)   100%        
21 Inventory  Fuse Panel (inside Surefly)   100%        
22 Inventory  Pintot 2 Air Pressure Gauge (under Surefly)   100%        
23 Inventory  Arms (4)   100%        
24 Inventory  Propellors (8) (ontop of Surefly)   100%        
25 Inventory  Propellors (7)   100%        
26 Inventory  Propellors 75” (8)   100%        
27 Inventory  Emrax Air Cool Motors (12)   100%        
28 Inventory  Emrax Water Cooler Motors (2)   100%        
29 Inventory  Rinehart Inverters (10)   100%        
30 Inventory  Coolant system   100%        
31 Furniture/Fixtures  Video Camera for Testing Videos (3)   100%        
32 Furniture/Fixtures  Testing Station Desktop PC   100%        
33 Furniture/Fixtures  Testing Station Analogue Signal   100%        
34 Furniture/Fixtures  Testing Station DC Signal (12)   100%        
35 Furniture/Fixtures  Testing Station Stream Gauge Completion mod (9)   100%        
36 Furniture/Fixtures  Testing StationPower Supply   100%        
37 Inventory  EDN Charger   100%        
38 Inventory  Orion Battery Management System (3)   100%        
39 Tools  Toolboxes w Tools (2)   100%        
40 Tools  Welder   100%       Yes
41 Tools  Proforma Scales   100%        
42 Tools  Foam Blocks   100%        
43 Tools  Battery Pack   100%        
44 Furniture/Fixtures  Inventory Shelving   100%