Company: DGLY
Filing Date: 2025-11-26
Form Type: S-1
Source: 0001493152-25-025057
Chunk: 12

Company: DIGITAL ALLY, INC.
Filing Date: 2025-11-26
Form: S-1
Chunk 12
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mination Rights

The Purchase Agreement will automatically terminate upon the earliest of (i) the first day of the month next following the 36-month anniversary of the Closing Date, (ii) the ELOC Investor’s purchase of Purchase Shares having an aggregate purchase price equal to Total Commitment under the Purchase Agreement, or (iii) the occurrence of certain other events set forth in the Purchase Agreement. The Company has the right to terminate the Purchase Agreement at any time after Commencement, at no cost or penalty, upon five (5) trading days’ prior written notice to the ELOC Investor, subject to certain conditions and the survival of certain provisions of the Purchase Agreement and the ELOC Registration Rights Agreement. The ELOC Investor may terminate the Purchase Agreement upon five (5) trading days’ prior written notice after the occurrence of certain events, including the occurrence of a Material Adverse Effect or a Fundamental Transaction (as such terms are defined in the Purchase Agreement) or upon the occurrence of certain other events as set forth in the Purchase Agreement. Neither the Company nor the ELOC Investor may assign or transfer their respective rights and obligations under the Purchase Agreement, and no provision of the Purchase Agreement or the ELOC Registration Rights Agreement may be modified or waived by the Company or the ELOC Investor.

The Purchase Agreement and the ELOC Registration Rights Agreement contain customary representations, warranties, conditions and indemnification obligations of the parties. The representations, warranties and covenants contained in such agreements were made only for purposes of such agreements and as of specific dates, were solely for the benefit of the parties to such agreements and may be subject to limitations agreed upon by the contracting parties.

Dilutive Effect on Our Stockholders

The Company is aware and acknowledges that issuance of the Shares could cause dilution to existing stockholders and could significantly increase the number of outstanding shares of Common Stock. The Company further acknowledges that its obligation to issue the Shares pursuant to the terms of a ELOC Purchase Notice in accordance with this Agreement is, in each case, absolute and unconditional regardless of the dilutive effect that such issuance may have on the ownership interests of other stockholders of the Company.

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<div align='center'>ABOUT THIS OFFERING</div>

This prospectus relates to the offer and resale by the Selling Stockholder of up to 71,527,777 Shares. All of the Shares, if and when sold, will be sold by the Selling Stockholder.

| Shares                                              
 offered by the Selling Stockholder:                 |     | Up to 71,