Company: DGLY
Filing Date: 2025-10-21
Form Type: DRS
Source: 0001493152-25-018831
Chunk: 11

Company: DIGITAL ALLY, INC.
Filing Date: 2025-10-21
Form: DRS
Chunk 11
---
 and (b) any and all certificates and other instruments or documents representing any of the other Collateral, in each case, together with all Necessary Endorsements. The Debtors are, contemporaneously with the execution hereof, delivering to Agent, or have previously delivered to Agent, a true and correct copy of each Organizational Document governing any of the Pledged Securities.

Termination Rights

This Agreement and the Security Interests shall terminate on the date on which all payments under the Notes have been indefeasibly paid in full and all other Obligations have been paid or discharged; provided, however, that all indemnities of the Debtors contained in this Agreement shall survive and remain operative and in full force and effect regardless of the termination of this Agreement.

Registration Rights Agreement

Concurrently with entering into the Purchase Agreement, we also entered into the Registration Rights Agreement, in which we agreed to file one or more registration statements, as necessary, to register under the Securities Act the resale of the shares of all of the Registrable Securities, including (a) all the shares of Common Stock then issued and issuable upon conversion in full of the Notes, (b) all the shares of Common Stock then issued and issuable upon exercise in full of the Warrants, (c) all shares of Common Stock issued and issuable as interest or principal on the Notes assuming all permissible interest and principal payments are made in shares of Common Stock and the Notes are held until maturity, (d) any additional shares of Common Stock issued and issuable in connection with any anti-dilution provisions in the Notes or Warrants and (e) any securities issued or then issuable upon any stock split, dividend or other distribution, recapitalization or similar event with respect to the foregoing relating to the Notes or Warrants, that are not then registered on an effective Registration Statement for an offering to be made on a continuous basis pursuant to Rule 415.

At no point may the Investor
convert any portion of the Note or exercise any Warrants, if such conversion or exercise, as applicable, would make the Investor beneficially
own greater than 9.99% of the number of shares of Common Stock outstanding immediately after giving effect to such issuance of shares
of Common Stock.

| 5 |

<div align='center'>THE OFFERING</div>

This prospectus relates to the offer and resale by the Selling Stockholder of up to 2,777,777 Shares underlying the Note and 619,409 Shares underlying the Warrant issued directly to