Exhibit 10.39


 





 



 


NOTE PURCHASE
AGREEMENT


 


BY AND AMONG


 


ELECTROMEDICAL
TECHNOLOGIES, INC.


 


AND


 


JR-HD ENTERPRISES III, LLC


 


DATED AS OF
JULY 21, 2020


 





 



 






     


     


    

 


TABLE OF CONTENTS


 


	ARTICLE I.	DEFINITIONS	1
	 	 	 
	SECTION 1.01	DEFINITIONS	1
	 	 	 
	SECTION 1.02	INTERPRETIVE PROVISIONS	3
	 	 	 
	ARTICLE II.	PURCHASE AND SALE	3
	 	 	 
	SECTION 2.01	PURCHASE AND SALE.	3
	 	 	 
	SECTION 2.02	DELIVERABLES AT CLOSING.	3
	 	 	 
	SECTION 2.03	CLOSING.	3
	 	 	 
	SECTION 2.04	USE OF PROCEEDS.	3
	 	 	 
	ARTICLE III.	REPRESENTATIONS AND WARRANTIES OF THE COMPANY	4
	 	 	 
	SECTION 3.01	AUTHORIZATION OF TRANSACTIONS	4
	 	 	 
	SECTION 3.02	GOVERNMENTAL APPROVALS; NON-CONTRAVENTION	4
	 	 	 
	SECTION 3.03	BROKERS	4
	 	 	 
	ARTICLE IV.	REPRESENTATIONS AND WARRANTIES OF BUYER	4
	 	 	 
	SECTION 4.01	AUTHORIZATION OF TRANSACTIONS	4
	 	 	 
	SECTION 4.02	GOVERNMENTAL APPROVALS; NON-CONTRAVENTION	5
	 	 	 
	SECTION 4.03	INVESTMENT REPRESENTATIONS	5
	 	 	 
	SECTION 4.04	BROKERS	6
	 	 	 
	ARTICLE V.	INDEMNIFICATION	6
	 	 	 
	SECTION 5.01	GENERAL INDEMNIFICATION	6
	 	 	 
	SECTION 5.02	PROCEDURES FOR INDEMNIFICATION	6
	 	 	 
	SECTION 5.03	PAYMENT	6
	 	 	 
	SECTION 5.04	EFFECT OF KNOWLEDGE ON INDEMNIFICATION	7
	 	 	 
	ARTICLE VI.	MISCELLANEOUS	7
	 	 	 
	SECTION 6.01	NOTICES	7
	 	 	 
	SECTION 6.02	ATTORNEYS’ FEES	8
	 	 	 
	SECTION 6.03	AMENDMENTS; NO WAIVERS; NO THIRD-PARTY BENEFICIARIES	8
	 	 	 
	SECTION 6.04	EXPENSES	8
	 	 	 
	SECTION 6.05	FURTHER ASSURANCES	8
	 	 	 
	SECTION 6.06	SUCCESSORS AND ASSIGNS; BENEFIT	9
	 	 	 
	SECTION 6.07	GOVERNING LAW; ETC	9
	 	 	 
	SECTION 6.08	SURVIVAL	10
	 	 	 
	SECTION 6.09	RESOLUTION OF DISPUTES	10
	 	 	 
	SECTION 6.10	SEVERABILITY	10
	 	 	 
	SECTION 6.11	ENTIRE AGREEMENT	11
	 	 	 
	SECTION 6.12	SPECIFIC PERFORMANCE	11
	 	 	 
	SECTION 6.13	CONSTRUCTION	11
	 	 	 
	SECTION 6.14	COUNTERPARTS	11



 






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NOTE PURCHASE AGREEMENT


 


This Note Purchase Agreement
(together with all exhibits hereto, this “Agreement”) is entered into as of July 21, 2020 (the “Closing Date”),
by and among Electromedical Technologies, Inc., a Delaware corporation (the “Company”) and JR-HD Enterprises III, LLC,
a Delaware limited liability company (“Buyer”). The Company and the Buyer may be collectively referred to herein as the “Parties”
and individually as a “Party”.


 


WHEREAS, the Company desires
to issue and sell to the Buyer a convertible promissory note in the aggregate principal amount of $430,000 and in the form as attached
hereto as Exhibit A (the “Note”) on the terms set forth herein and the Buyer wishes to purchase the Note on the terms
and conditions provided for herein;


 


NOW, THEREFORE, in consideration
of the mutual covenants and agreements hereinafter set forth and for other good and valuable consideration, the receipt and sufficiency
of which are hereby acknowledged, the Parties agree as follows:


 


Article
I.         DEFINITIONS


 


Section 1.01
Definitions. In addition to the terms defined elsewhere in this Agreement, the following terms, as used herein, have the following
meanings:


 


		(a)	“Affiliate” means, with respect to a specified Person, any other Person that directly or indirectly
Controls, is Controlled by or is under common Control with, the specified Person.



 


		(b)	“Business Day” means any day except Saturday, Sunday and any legal holiday or a day on which
banking institutions in Delaware generally are authorized or required by Law or other governmental actions to close.



 


		(c)	“Contract” means any contract, commitment, understanding or agreement (whether oral or written).



 


		(d)	“Common Stock” mean shares of common stock, par value $0.00001 per share, of the Company.



 


		(e)	“Control” means (a) the possession, directly or indirectly, of the power to vote 10%
or more of the securities or other equity interests of a Person having ordinary voting power, (b) the possession, directly or indirectly,
of the power to direct or cause the direction of the management and policies of a Person, by contractor otherwise, or (c) being a
director, officer, executor, trustee or fiduciary (or their equivalents) of a Person or a Person that controls such Person.



 


		(f)	“Governmental Entity” means any federal, state, municipal, local or foreign government and
any court, tribunal, arbitral body, administrative agency, department, subdivision, entity, commission or other governmental, government
appointed, quasi-governmental or regulatory authority, reporting entity or agency, domestic, foreign or supranational.



 






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		(g)	“Law” means any applicable foreign, federal, state or local law (including common law), statute,
treaty, rule, directive, regulation, ordinances and similar provisions having the force or effect of law or an Order of any Governmental
Entity.



 


		(h)	“Liabilities” means liabilities, obligations or responsibilities of any nature whatsoever,
whether direct or indirect, matured or un-matured, fixed or unfixed, known or unknown, asserted or un asserted, choate or inchoate, liquidated
or unliquidated, secured or unsecured, absolute, contingent or otherwise, including any direct or indirect indebtedness, guaranty, endorsement,
claim, loss, damage, deficiency, cost or expense.



 


		(i)	“Lien” means, with respect to any property or asset, any lien, security interest, mortgage,
pledge, charge, claim, lease, agreement, right of first refusal, option, limitation on transfer or use or assignment or licensing, restrictive
easement, charge or any other restriction of any kind, and any conditional sale or voting agreement or proxy, and including any restriction
on the ownership, use, voting, transfer, possession, receipt of income or other exercise of any attributes of ownership, in respect of
such property or asset, and any agreement to give any of the foregoing.



 


		(j)	“Losses” means any losses, damages, deficiencies, Liabilities, assessments, fines, penalties,
judgments, actions, claims, costs, disbursements, fees, expenses or settlements of any kind or nature, including legal, accounting and
other professional fees and expenses.



 


		(k)	“Order” means any judgment, writ, decree, determination, award, compliance agreement, settlement
agreement, injunction, ruling, charge, judicial or administrative order, determination or other restriction of any Governmental Entity
or arbitrator.



 


		(l)	“Person” means a natural person, a corporation, a limited liability company, a partnership,
an association, a trust or any other entity or organization, including a government or political subdivision or any agency or instrumentality
thereof.



 


		(m)	“Securities Act” means the United States Securities Act of 1933, as amended, and the rules and
regulation promulgated thereunder.



 


		(n)	“Transactions” means the purchase and sale of the Note and the other transactions contemplated
under the Transaction Documents.



 


		(o)	“Transaction Documents” means this Agreement, the Note and any other agreement, document,
certificate or writing delivered or to be delivered in connection with this Agreement and any other document related to the Transactions
related to the forgoing, including, without limitations, those delivered at the Closing.



 






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Section 1.02 Interpretive
Provisions. Unless the express context otherwise requires, the words “hereof,” “herein,” and “hereunder”
and words of similar import, when used in this Agreement, shall refer to this Agreement as a whole and not to any particular provision
of this Agreement; terms defined in the singular shall have a comparable meaning when used in the plural, and vice versa; the terms “Dollars”
and “$” mean United States Dollars, unless otherwise specified herein; references herein to a specific Section, Subsection,
Recital or Exhibit shall refer, respectively, to Sections, Subsections, Recitals or Exhibits of this Agreement; wherever the word
 “include,” “includes,” or “including” is used in this Agreement, it shall be deemed to be followed
by the words “without limitation”; references herein to any gender shall include each other gender; references herein to
any Person shall include such Person’s heirs, executors, personal representatives, administrators, successors and assigns; provided,
however, that nothing contained in this Section 1.02 is intended to authorize any assignment or transfer not otherwise permitted
by this Agreement; references herein to a Person in a particular capacity or capacities shall exclude such Person in any other capacity;
references herein to any contract or agreement (including this Agreement) mean such contract or agreement as amended, supplemented or
modified from time to time in accordance with the terms thereof; with respect to the determination of any period of time, the word “from”
means “from and including” and the words “to” and “until” each means “to but excluding”;
references herein to any Law or any license mean such Law or license as amended, modified, codified, reenacted, supplemented or superseded
in whole or in part, and in effect from time to time; and references herein to any Law shall be deemed also to refer to all rules and
regulations promulgated thereunder.


 


Article II.          PURCHASE
AND SALE


 


Section 2.01
Purchase and Sale. Subject to the terms and conditions of this Agreement, at the Closing (as defined below), the Company shall
issue and sell to Buyer a Note in the aggregate principal amount of $107,500, for a purchase price of $100,000 (the “Purchase Price”),
reflecting a $7,500 original issue discount, and subject to the immediately following sentence. The Parties acknowledge and agree that
the Company has agreed to pay to Buyer $10,000 to cover Buyer’s legal costs in preparing this Agreement and the Note. To the extent
such amount has not been paid as of the Closing (as defined below), Buyer shall be entitled to retain such amount from the Purchase Price,
but such amount shall be deemed paid as a portion of the Purchase Price.


 


Section 2.02
Deliverables at Closing. At the Closing (as defined below), Buyer shall deliver the Purchase Price to the Company via a check payable
to the Company or wire transfer pursuant to the wire transfer instructions as provided by the Company to Buyer, and the Company shall
issue to Buyer the Note.


 


Section 2.03
Closing. On the terms set forth herein, the closing of the Transactions (the “Closing”) shall take place by conference
call and electronic communication (i.e., emails/pdf) or facsimile, with exchange of original signatures to follow by mail, on the date
hereof and effective as of 11:59 p.m. Eastern time, on such date.


 


Section 2.04
Use of Proceeds. The Company covenants and agrees that it shall utilize the Purchase Price to pay for auditing fees and other necessary
costs to get the Company’s filings with the Securities and Exchange Commission up to date and compliant, and to pay for legal, organizational
and marketing costs for a planned offering pursuant to Regulation A under the Securities Act.


 






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Article III.         REPRESENTATIONS
AND WARRANTIES OF THE COMPANY


 


The Company represents and
warrants to Buyer that the following representations and warranties contained in this Article III are true and correct as of the
Closing Date:


 


Section 3.01 Authorization
of Transactions. The Company is a corporation duly authorized and in good standing in the State of Delaware and has the requisite
power and capacity to execute and deliver the Transaction Documents to which it is a party and to perform its obligations hereunder and
thereunder. The execution, delivery and performance by the Company of the applicable Transaction Documents and the consummation of the
Transactions have been duly and validly authorized by all requisite action on the part of the Company. The Transaction Documents to which
the Company is a party have been duly and validly executed and delivered by The Company. Each Transaction Document to which the Company
is a party constitutes the valid and legally binding obligation of the Company, enforceable against the Company in accordance with its
terms and conditions, except to the extent enforcement thereof may be limited by applicable bankruptcy, insolvency or other Laws affecting
the enforcement of creditors’ rights or by the principles governing the availability of equitable remedies.


 


Section 3.02 Governmental
Approvals; Non-contravention.


 


		(a)	No consent, Order, action or non-action of, or filing, notification, declaration or registration with,
any Governmental Entity or Person is necessary for the execution, delivery or performance by the Company of this Agreement or any other
Transaction Document to which the Company is a party.



 


		(b)	The execution, delivery and performance by the Company of the Transaction Documents to which the Company
is a party, and the consummation by the Company of the Transactions, do not (i) violate or conflict with any Law or Order to which
the Company or the Note may be subject, (ii) constitute a violation or breach of, be in conflict with, constitute or create (with
or without due notice or lapse of time or both) a default (or give rise to any right of termination, modification, cancellation or acceleration)
of any obligation under any Contract to which the Company is a party or to which the Company or the Note are subject or by which the Company’s
properties, assets or rights are bound or (iii) result in the creation or imposition of any Lien upon any of the rights, properties
or assets of the Company or on the Note.



 


Section 3.03
Brokers. The Company has not engaged, or caused to be incurred any Liability or obligation to, any investment banker, finder, broker
or sales agent or any other Person in connection with the origin, negotiation, execution, delivery or performance of the Transaction Documents
to which it is a party, or the Transactions.


 


Article IV.        REPRESENTATIONS
AND WARRANTIES OF BUYER


 


Buyer represents and warrants
to the Company that the following statements contained in this Article IV are true and correct as of the Closing Date:


 


Section 4.01
Authorization of Transactions. Buyer is a limited liability company, duly qualified under the laws of the State of Delaware, and
has the requisite power and capacity to execute and deliver the Transaction Documents to which it is a party and to perform its obligations
hereunder and thereunder. The execution, delivery and performance by Buyer of the applicable Transaction Documents and the consummation
of the Transactions have been duly and validly authorized by all requisite action on the part of Buyer. The Transaction Documents to which
Buyer is a party have been duly and validly executed and delivered by Buyer. Each Transaction Document to which Buyer is a party constitutes
the valid and legally binding obligation of Buyer, enforceable against Buyer in accordance with its terms and conditions, except to the
extent enforcement thereof may be limited by applicable bankruptcy, insolvency or other Laws affecting the enforcement of creditors’
rights or by the principles governing the availability of equitable remedies.


 






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Section 4.02 Governmental
Approvals; Non-contravention.


 


		(a)	No consent, Order, action or non-action of, or filing, notification, declaration or registration with,
any Governmental Entity is necessary for the execution, delivery or performance by Buyer of this Agreement or any other Transaction Document
to which Buyer is a party.



 


		(b)	The execution, delivery and performance by Buyer of the Transaction Documents to which Buyer is a party,
and the consummation by Buyer of the Transactions, do not violate any Laws or Orders to which Buyer is subject or violate, breach or conflict
with any provision of Buyer’s organizational documents.



 


Section 4.03 Investment Representations.


 


		(a)	Buyer understands and agrees that the consummation of this Agreement including the delivery of the Note
as contemplated hereby and the shares of Common Stock that may be issued to Buyer pursuant to the Note (the “Shares” and,
together with the Note, collectively, the “Securities”) constitute the offer and sale of securities under the Securities Act
and applicable state statutes and that the Securities are being acquired for Buyer’s own account and not with a present view towards
the public sale or distribution thereof, except pursuant to sales registered or exempted from registration under the Securities Act.



 


		(b)	Buyer is an “accredited investor” as that term is defined in Rule 501(a) of Regulation
D under the Securities Act.



 


		(c)	Buyer understands that the Securities are being offered and sold to Buyer in reliance upon specific exemptions
from the registration requirements of United States federal and state securities Laws and that the Company is relying upon the truth and
accuracy of, and Buyer’s compliance with, the representations, warranties, agreements, acknowledgments and understandings of Buyer
set forth herein in order to determine the availability of such exemptions and the eligibility of Buyer to acquire the Securities.



 


		(d)	At no time was Buyer presented with or solicited by any leaflet, newspaper or magazine article, radio
or television advertisement, or any other form of general advertising or solicited or invited to attend a promotional meeting otherwise
than in connection and concurrently with such communicated offer. Buyer is not purchasing the Note acquired by Buyer hereunder as a result
of any “general solicitation” or “general advertising,” as such terms are defined in Regulation D under the Securities
Act, which includes, but is not limited to, any advertisement, article, notice or other communication regarding the Note acquired by Buyer
hereunder published in any newspaper, magazine or similar media or on the internet or broadcast over television, radio or the internet
or presented at any seminar or any other general solicitation or general advertisement.



 






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		(e)	Buyer is acquiring the Securities for its own account as principal, not as a nominee or agent, for investment
purposes only, and not with a view to, or for, resale, distribution or fractionalization thereof in whole or in part and no other person
has a direct or indirect beneficial interest in the Securities. Further, Buyer does not have any contract, undertaking, agreement or arrangement
with any person to sell, transfer or grant participations to such person or to any third person, with respect to the Securities.



 


		(f)	Buyer, either alone or together with its representatives, has such knowledge, sophistication and experience
in business and financial matters so as to be capable of evaluating the merits and risks of the prospective investment in the Securities,
and has so evaluated the merits and risks of such investment.



 


		(g)	Buyer understands that no United States federal or state agency or any other governmental or state agency
has passed on or made recommendations or endorsement of the Securities or the suitability of the investment in the Securities nor have
such authorities passed upon or endorsed the merits of the transactions set forth herein.



 


Section 4.04
Brokers. Buyer has not engaged any investment banker, finder, broker or sales agent or any other Person in connection with the
origin, negotiation, execution, delivery or performance of any Transaction Document to which it is a party, or the Transactions.


 


Article V.         INDEMNIFICATION


 


Section 5.01
General Indemnification. Each Party (the “Indemnifying Party”) agrees to indemnify, defend and hold harmless the other
Party and such other Party’s Affiliates and each of their respective directors, officers, managers, partners, employees, agents,
equity holders, successors and assigns (each, an “Indemnified Party”), from and against any and all Losses incurred or suffered
by any Indemnified Party arising out of, based upon or resulting from any breach of any representation or warranty of the Indemnifying
Party herein or breach by the Indemnifying Party of, or any failure the Indemnifying Party to perform, any of the covenants, agreements
or obligations contained in or made pursuant to this Agreement or the Transaction Documents by the Indemnifying Party.


 


Section 5.02
Procedures for Indemnification. In the event that an Indemnified Party shall incur or suffer any Losses in respect of which indemnification
may be sought under this Article V against the Indemnifying Party, the Indemnified Party shall assert a claim for indemnification
by providing a written notice (the “Notice of Loss”) to the Indemnifying Party stating the nature and basis of such indemnification.
The Notice of Loss shall be provided to the Indemnifying Party as soon as practicable after the Indemnified Party becomes aware that it
has incurred or suffered a Loss.


 


Section 5.03
Payment. Upon a determination of liability under this Article V the Indemnifying Party shall pay or cause to be paid to the
Indemnified Party the amount so determined within five (5) Business Days after the date of such determination. If there should be
a dispute as to the amount or manner of determination of any indemnity obligation owed under this Agreement, the Indemnifying Party shall
nevertheless pay when due such portion, if any, of the obligation that is not subject to dispute. Upon the payment in full of any amounts
due under this Article V with respect to any claim, the Indemnifying Party shall be subrogated to the rights of the Indemnified Party
against any Person with respect to the subject matter of such claim.


 






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Section 5.04 Effect of
Knowledge on Indemnification. The right to indemnification, reimbursement or other remedy based upon any representations, warranties,
covenants and obligations set forth in this Agreement shall not be affected by any investigation conducted with respect to, or any knowledge
acquired (or capable of being acquired) at any time, whether before or after the execution and delivery of this Agreement, with respect
to the accuracy or inaccuracy of or compliance with any such representation, warranty, covenant or obligation. The waiver of any condition
based upon the accuracy of any representation or warranty, or on the performance of or compliance with any covenant or obligation, shall
not affect the right to indemnification, reimbursement or other remedy based upon such representations, warranties, covenants or obligations.


 


Article VI.         MISCELLANEOUS


 


Section 6.01
Notices.


 


		(a)	Any notice or other communications required or permitted hereunder shall be in writing and shall be sufficiently
given if personally delivered to it or sent by email, overnight courier or registered mail or certified mail, postage prepaid, addressed
as follows:



 


if to the Company,
to:


 


Electromedical
Technologies, Inc.


Attn: Matthew
Wolfson


16561 N. 92nd
Street, Suite 101


Scottsdale,
AZ 85260


Email: ceo@electromedtech.com


 


If to the Buyer,
to:


 


JR-HD Enterprises
III, LLC


Attn: Jeff Ramson


150 East 58th
Street, 20th Floor


New York, NY
10155


Email: Jramson@pcgadvisory.com


 


With a copy,
which shall not constitute notice, to:


 


Anthony L.G.,
PLLC


Attn: John Cacomanolis


625 N. Flagler
Drive, Suite 600


West Palm Beach,
FL 33401


Email: jcacomanolis@anthonypllc.com


 


		(b)	Any Party may change its address for notices hereunder upon notice to each other Party in the manner for
giving notices hereunder.



 


		(c)	Any notice hereunder shall be deemed to have been given (i) upon receipt, if personally delivered,
(ii) on the day after dispatch, if sent by overnight courier, (iii) upon dispatch, if transmitted by email with return receipt
requested and received and (iv) three (3) days after mailing, if sent by registered or certified mail.



 






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Section 6.02
Attorneys’ Fees. In the event that any Party institutes any action or suit to enforce this Agreement or to secure relief
from any default hereunder or breach hereof, the prevailing Party shall be reimbursed by the losing Party for all costs, including reasonable
attorney’s fees, incurred in connection therewith and in enforcing or collecting any judgment rendered therein.


 


Section 6.03 Amendments; No
Waivers; No Third-Party Beneficiaries.


 


		(a)	This Agreement may be amended, modified, superseded, terminated or cancelled, and any of the terms, covenants,
representations, warranties or conditions hereof may be waived, only by a written instrument executed by both of the Parties.



 


		(b)	Every right and remedy provided herein shall be cumulative with every other right and remedy, whether
conferred herein, at law, or in equity, and may be enforced concurrently herewith, and no waiver by any Party of the performance of any
obligation by another Party shall be construed as a waiver of the same or any other default then, theretofore, or thereafter occurring
or existing.



 


		(c)	Neither any failure or delay in exercising any right or remedy hereunder or in requiring satisfaction
of any condition herein nor any course of dealing shall constitute a waiver of or prevent any Party from enforcing any right or remedy
or from requiring satisfaction of any condition. No notice to or demand on a Party waives or otherwise affects any obligation of that
Party or impairs any right of the Party giving such notice or making such demand, including any right to take any action without notice
or demand not otherwise required by this Agreement. No exercise of any right or remedy with respect to a breach of this Agreement shall
preclude exercise of any other right or remedy, as appropriate to make the aggrieved Party whole with respect to such breach, or subsequent
exercise of any right or remedy with respect to any other breach.



 


		(d)	Notwithstanding anything else contained herein, no Party shall seek, nor shall any Party be liable for,
consequential, punitive or exemplary damages, under any tort, contract, equity, or other legal theory, with respect to any breach (or
alleged breach) of this Agreement or any provision hereof or any matter otherwise relating hereto or arising in connection herewith.



 


Section 6.04
Expenses. Unless otherwise contemplated or stipulated by a Transaction Document, all costs and expenses incurred in connection
with this Agreement shall be paid by the Party incurring such cost or expense.


 


Section 6.05
Further Assurances. Following the Closing, each Party shall execute and deliver such documents and other papers and take such further
action as may be reasonably required to carry out the provisions of the Transaction Documents.


 






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Section 6.06
Successors and Assigns; Benefit. The provisions of this Agreement shall be binding upon and inure to the benefit of the Parties
and their respective successors and assigns. No Party may assign, delegate or otherwise transfer any of its rights or obligations under
this Agreement without the written consent of the other Party. Other than as specifically set forth herein, including in Article V,
nothing in this Agreement shall confer on any Person other than the Parties, and their respective successors and assigns, any rights,
remedies, obligations, or Liabilities under or by reason of this Agreement.


 


Section 6.07 Governing Law;
Etc.


 


		(a)	This Agreement, and all matters based upon, arising out of or relating in any way to the Transactions
or the Transaction Documents, including all disputes, claims or causes of action arising out of or relating to the Transactions or the
Transaction Documents as well as the interpretation, construction, performance and enforcement of the Transaction Documents, shall be
governed by the laws of the United States and the State of Delaware, without regard to any jurisdiction’s conflict-of-laws principles.



 


		(b)	SUBJECT TO Section 6.09, ANY LEGAL SUIT, ACTION OR PROCEEDING ARISING OUT OF OR
BASED UPON THIS AGREEMENT, THE OTHER TRANSACTION DOCUMENTS OR THE CONTEMPLATED TRANSACTIONS SHALL BE INSTITUTED SOLELY IN THE
FEDERAL COURTS OF THE UNITED STATES OF AMERICA OR THE COURTS OF THE STATE OF NEW YORK, IN EACH CASE LOCATED IN NEW YORK CITY,
NEW YORK, AND EACH PARTY IRREVOCABLY SUBMITS TO THE PERSONAL JURISDICTION OF SUCH COURTS IN ANY SUCH SUIT, ACTION OR PROCEEDING. THE
PARTIES IRREVOCABLY AND UNCONDITIONALLY WAIVE ANY OBJECTION TO THE LAYING OF VENUE OF ANY SUIT, ACTION OR ANY PROCEEDING IN SUCH
COURTS AND IRREVOCABLY WAIVE AND AGREE NOT TO PLEAD OR CLAIM IN ANY SUCH COURT THAT ANY SUCH SUIT, ACTION OR PROCEEDING BROUGHT IN
ANY SUCH COURT HAS BEEN BROUGHT IN AN INCONVENIENT FORUM.



 


 


		(c)	EACH PARTY HERETO HEREBY WAIVES, TO THE FULLEST EXTENT PERMITTED
BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN ANY LEGAL PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF OR
RELATING TO THIS AGREEMENT OR THE TRANSACTIONS, THE PERFORMANCE THEREOF OR THE FINANCINGS CONTEMPLATED THEREBY (WHETHER BASED ON
CONTRACT, TORT OR ANY OTHER THEORY). EACH PARTY HERETO (A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER
PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION,     SEEK     TO     ENFORCE     THE     FOREGOING     WAIVER     AND (B) ACKNOWLEDGES
THAT IT AND THE OTHER PARTIES HERETO HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND
CERTIFICATIONS IN THIS Section 6.07(c).



 






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		(d)	Each of the Parties acknowledge that each has been represented in connection with the signing of this
waiver by independent legal counsel selected by the respective Party and that such Party has discussed the legal consequences and import
of this waiver with legal counsel. Each of the Parties further acknowledge that each has read and understands the meaning of this waiver
and grants this waiver knowingly, voluntarily, without duress and only after consideration of the consequences of this waiver with legal
counsel.



 


Section 6.08
Survival. The representations and warranties in this Agreement shall survive the Closing for a period of 12 months from the Closing
Date, and no claim for indemnification may be made after such time. All covenants and agreements in this Agreement will survive until
fully performed; provided, however, that, nothing herein shall prevent a Party from making any claim hereunder, or relieve any other Party
from any liability hereunder, after such time for any breach thereof.


 


Section 6.09
Resolution of Disputes. Except as otherwise provided herein, all controversies, disputes or actions between the Parties arising
out of the Transactions or this Agreement, including their respective Affiliates, owners, officers, directors, agents and employees, arising
from or relating to this Agreement shall on demand of either party be submitted for arbitration to in accordance with the rules and
regulations of the American Arbitration Association. The arbitration shall be conducted by one arbitrator jointly selected by each Party
who is a party to the Dispute, provided, however, that if such Parties are unable to agree on the identity of the arbitrator within 10
Business Days of commencement of efforts to do so, each Party who is a party to the Dispute shall select one arbitrator and the arbitrators
so selected shall select a final arbitrator, and the final arbitrator shall conduct the arbitration alone. The Parties agree that, in
connection with any such arbitration proceeding, each shall submit or file any claim which would constitute a compulsory counterclaim
(as defined by Rule 13 of the Federal Rules of Civil Procedures) within the same proceeding as the claim to which it relates.
Any such claim which is not submitted or filed in such proceeding shall be barred. The arbitrator shall be instructed to use every reasonable
effort to perform its services within seven days of request, and, in any case, as soon as practicable. The Parties agree to be bound by
the provisions of any limitation on the period of time by which claims must be brought under Delaware law or any applicable federal law.
The arbitrator(s) shall have the right to award the relief which he or she deems proper, consistent with the terms of this Agreement,
including compensatory damages (with interest on unpaid amounts from due date), injunctive relief, specific performance, legal damages
and costs. The award and decision of the arbitrator(s) shall be conclusive and binding on all Parties, and judgment upon the award
may be entered in any court of competent jurisdiction. Any right to contest the validity or enforceability of this award shall be governed
exclusively by the United States Arbitration Act. The arbitration shall be conducted in New York City, New York. The provisions of this
Section 6.09 shall continue in full force and effect subsequent to and notwithstanding the expiration or termination of this Agreement.


 


Section 6.10
Severability. If any provision of this Agreement is invalid, illegal or incapable of being enforced by any rule of law, or
public policy, all other conditions and provisions of this Agreement shall nevertheless remain in full force and effect so long as the
economic or legal substance of the Transactions is not affected in any manner adverse to any Party. Upon such determination that any provision
is invalid, illegal or incapable of being enforced, the Parties shall negotiate in good faith to modify this Agreement so as to effect
the original intent of the Parties as closely as possible in an acceptable manner to the end that the Transactions are fulfilled to the
extent possible.


 






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Section 6.11
Entire Agreement. The Transaction Documents constitute the entire agreement between the Parties with respect to the subject matter
hereof and thereof and supersede all prior agreements and understandings, both oral and written, between the Parties with respect to the
subject matter hereof and thereof.


 


Section 6.12
Specific Performance. Each Party agrees that irreparable damage would occur if any provision of this Agreement were not performed
in accordance with the terms hereof and that each Party shall be entitled to seek specific performance of the terms hereof in addition
to any other remedy at law or in equity.


 


Section 6.13
Construction. The table of contents and headings contained in this Agreement are for reference purposes only and will not affect
in any way the meaning or interpretation of this Agreement. In the event of a conflict between language or amounts contained in the body
of this Agreement and language or amounts contained in the Exhibits attached hereto, the language or amounts in the body of the Agreement
shall control. References to Articles or Sections shall refer to those portions of this Agreement. The use of the terms “hereunder,”
 “hereof,” “hereto” and words of similar import shall refer to this Agreement as a whole and not to any particular
Article, Section or clause of or Exhibit to this Agreement.


 


Section 6.14
Counterparts. This Agreement may be executed in two or more counterparts, all of which shall be considered one and the same agreement
and shall become effective when counterparts have been signed by each of the Parties and delivered to the other Parties, it being understood
that each Party need not sign the same counterpart. A facsimile copy or electronic transmission of a signature page shall be deemed
to be an original signature page.


 


[Signature page follows]


 






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IN WITNESS WHEREOF, the Parties
have caused this Agreement to be duly executed as of the Closing Date.


 


	 	Electromedical Technologies, Inc.
	 	 
	 	 
	 	By:	/s/  Matthew Wolfson
	 	Name:	Matthew Wolfson
	 	Title:	Chief Executive Officer




 


 


	 	JR-HD Enterprises III, LLC
	 	 
	 	 
	 	By:	/s/  Jeff Ramson
	 	Name:	Jeff Ramson
	 	Title:	Manager




 






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Exhibit A


Convertible Promissory Note


 


(Attached)


 






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