Exhibit 10.16


 


Journey Medical Corporation


 


FUTURE ADVANCE PROMISSORY NOTE


 


FOR AMOUNTS ADVANCED AS SHOWN

ON EXHIBIT A ATTACHED HERETO


 


1.              Principal
Amounts. Journey Medical Corporation (f/k/a Coronado Dermatology, Inc.) (the "Company"), for
value received, pursuant to this Future Advance Promissory Note (the "Note") hereby promises to pay to the
order of Fortress Biotech, Inc. ("Fortress"), in lawful money of the United States of America, the
principal amount as may be or have been advanced from time to time by Fortress as shown on Exhibit A attached hereto,
with zero interest payable on such principal amounts. All principal amounts shall be paid on or before December 31, 2024. Any
or all unpaid principal on this Note may be prepaid at any time without penalty. By its signature below, the Company acknowledges
the dates and amounts of all prior advances by Fortress as of the issuance of this Note.


 


2.              Advances.
Advances under this Note shall be subject to the following terms and conditions:


 


		(a)	draws may be made upon request by the Company with at least three (3) days advance notice to Fortress;



 


		(b)	in its sole and absolute discretion, Fortress may refuse to make any advance hereunder;



 


		(c)	all advances, at the time made, shall be noted on Exhibit A of this Note and shall be signed by an authorized officer
of the Company; and



 


		(d)	no advances will be made if the outstanding principal hereunder exceeds Twenty Million Dollars ($20,000,000)
at the time a request is made by the Company.



 


3.              Attorneys'
Fees. If the indebtedness represented by this Note or any part thereof is collected in bankruptcy, receivership or other
judicial proceedings or if this Note is placed in the hands of attorneys for collection after default, the Company agrees to pay, in
addition to the principal payable hereunder, reasonable attorneys' fees and costs incurred by Fortress.


 


4.              Notices.
Any notice, other communication or payment required or permitted hereunder shall be in writing and shall be deemed to have
been given upon receipt by the other party.


 






     


     


    




 


5.              Acceleration.
This Note shall become immediately due and payable if (i) the Company commences any proceeding in bankruptcy or for
dissolution, liquidation, winding-up, composition or other relief under state or federal bankruptcy laws; or (ii) such
proceedings are commenced against the Company, or a receiver or trustee is appointed for the Company or a substantial part of its
property; or (iii) there is any material breach of any material covenant, warranty, representation or other term or condition
of this Note at any time that is not cured within the time periods permitted therein, or if no cure period therein, within five
(5) days after the date on which such breach occurs.


 


6.              No
Dilution or Impairment. The Company will not, by amendment of its charter documents or through any reorganization, transfer of assets,
consolidation, merger, dissolution, issue or sale of securities or any other voluntary action, avoid or seek to avoid the observance
or performance of any of the terms of this Note, but will at all times in good faith assist in the carrying out of all such terms and
in the taking of all such action as may be necessary or appropriate in order to protect the rights of the holder of this Note.


 


7.              Waivers.
Company hereby waives presentment, demand for performance, notice of nonperformance, protest, notice of protest and notice of dishonor.
No delay on the part of Fortress in exercising any right hereunder shall operate as a waiver of such right or any other right. This Note
is being delivered in and shall be construed in accordance with the laws of the State of Delaware, without regard to the conflicts of
laws provisions thereof.


 


8.              Governing
Law. This Note is being delivered in and shall be construed in accordance with the laws of the State of New York, without regard
to the conflicts of laws provisions thereof.


 


ISSUED as of June 6, 2015.


 


	 	Journey Medical Corporation
	 	 
	 	 
	 	By: 	/s/ Claude Maraoui
	 	 	Claude Maraoui
	 	 	Chief Executive Officer



 






     


     


    

 


EXHIBIT A


 


SCHEDULE OF ADVANCES


 


	Date of Advance	 	Amount Advanced	 	Signature