Document:

KALA_Ex4_3

		
			Exhibit 4.3
		

		
			DESCRIPTION OF SECURITIES REGISTERED UNDER SECTION 12 OF THE EXCHANGE ACT
		

		
			The following description of registered securities of Kala Pharmaceuticals, Inc. (“us,” “our,” “we” or the “Company”) is intended as a summary only and therefore is not a complete description of our capital stock. This description is based upon, and is qualified by reference to, our certificate of incorporation, our bylaws and applicable provisions of the Delaware General Corporate Law (the “DGCL”). You should read our certificate of incorporation and our bylaws, which are incorporated by reference as Exhibit 3.1 and Exhibit 3.2, respectively, to the Annual Report on Form 10-K of which this Exhibit 4.3 is a part, for the provisions that are important to you.
		

		
			Authorized Capital Stock
		

		
			Our authorized capital stock consists of 120,000,000 shares of common stock, par value $0.001 per share, and 5,000,000 shares of preferred stock, par value $0.001 per share, all of which preferred stock is undesignated.  Our common stock is registered under Section 12(b) of the Exchange Act.
		

		
			Common Stock
		

		
			Annual Meeting. Annual meetings of our stockholders are held on the date designated in accordance with our by-laws. Written notice must be mailed to each stockholder entitled to vote not less than ten nor more than 60 days before the date of the meeting. The presence in person or by proxy of the holders of record of a majority of our issued and outstanding shares entitled to vote at such meeting constitutes a quorum for the transaction of business at meetings of the stockholders. Special meetings of the stockholders may be called for any purpose by the board of directors, the chairman of the board or the chief executive officer. Except as may be otherwise provided by applicable law, our certificate of incorporation or our by-laws, all elections of directors shall be decided by a plurality, and all other questions shall be decided by a majority, of the votes cast by stockholders entitled to vote thereon at a duly held meeting of stockholders at which a quorum is present.
		

		
			Voting Rights.  Holders of our common stock are entitled to one vote for each share held on all matters submitted to a vote of stockholders and do not have cumulative voting rights.
		

		
			Dividends. Holders of common stock are entitled to receive proportionately any dividends as may be declared by our board of directors, subject to any preferential dividend rights of outstanding preferred stock.
		

		
			Liquidation and Dissolution. In the event of our liquidation or dissolution, the holders of our common stock are entitled to receive proportionately all assets available for distribution to stockholders after the payment of all debts and other liabilities and subject to any preferential rights of any outstanding preferred stock.
		

		
			Other Rights. Holders of our common stock have no preemptive, subscription, redemption or conversion rights. The rights, preferences and privileges of holders of our common stock are subject to and may be adversely affected by the rights of the holders of shares of any series of our preferred stock that we may designate and issue in the future.
		

		
			Preferred Stock
		

		
			We are authorized to issue “blank check” preferred stock, which may be issued in one or more series upon authorization of our board of directors. Our board of directors is authorized to fix the designations, powers, preferences and the relative, participating, optional or other special rights and any qualifications, limitations and restrictions of the shares of each series of preferred stock. The authorized shares of our preferred stock are available for issuance without further action by our stockholders, unless such action is required by applicable law or the rules of any stock exchange on which our securities may be listed. The issuance of preferred stock could impede the completion of a merger, tender offer or other takeover attempt.
		

		
			Provisions of Our Certificate of Incorporation and By-laws and Delaware Law That May Have Anti-Takeover Effects
		

		
			Delaware Law.  We are subject to Section 203 of the DGCL. Subject to certain exceptions, Section 203 prevents a publicly held Delaware corporation from engaging in a "business combination" with any "interested stockholder" for three years following the date that the person became an interested stockholder, unless either the
		

		
			
		

		
			

		 

		

		
			 
		

		
			interested stockholder attained such status with the approval of our board of directors, the business combination is approved by our board of directors and stockholders in a prescribed manner or the interested stockholder acquired at least 85% of our outstanding voting stock in the transaction in which it became an  interested stockholder. A "business combination" includes, among other things, a merger or consolidation involving us and the "interested stockholder" and the sale of more than 10% of our assets. In general, an "interested stockholder" is any entity or person beneficially owning 15% or more of our outstanding voting stock and any entity or person affiliated with or controlling or controlled by such entity or person. The restrictions contained in Section 203 are not applicable to any of our existing stockholders that owned 15% or more of our outstanding voting stock upon the closing of our initial public offering.
		

		
			Staggered Board; Removal of Directors. Our certificate of incorporation and our bylaws divide our board of directors into three classes with staggered three-year terms. In addition, our certificate of incorporation and our bylaws provide that directors may be removed only for cause and only by the affirmative vote of the holders of 75% of our shares of capital stock present in person or by proxy and entitled to vote. Under our certificate of incorporation and bylaws, any vacancy on our board of directors, including a vacancy resulting from an enlargement of our board of directors, may be filled only by vote of a majority of our directors then in office. Furthermore, our certificate of incorporation provides that the authorized number of directors may be changed only by the resolution of our board of directors. The classification of our board of directors and the limitations on the ability of our stockholders to remove directors, change the authorized number of directors and fill vacancies could make it more difficult for a third party to acquire, or discourage a third party from seeking to acquire, control of our company.
		

		
			Stockholder Action; Special Meeting of Stockholders; Advance Notice Requirements for Stockholder Proposals and Director Nominations. Our certificate of incorporation and our bylaws provide that any action required or permitted to be taken by our stockholders at an annual meeting or special meeting of stockholders may only be taken if it is properly brought before such meeting and may not be taken by written action in lieu of a meeting. Our certificate of incorporation and our bylaws also provide that, except as otherwise required by law, special meetings of the stockholders can only be called by the chairman of our board of directors, our chief executive officer or our board of directors. In addition, our bylaws establish an advance notice procedure for stockholder proposals to be brought before an annual meeting of stockholders, including proposed nominations of candidates for election to our board of directors. Stockholders at an annual meeting may only consider proposals or nominations specified in the notice of meeting or brought before the meeting by or at the direction of our board of directors, or by a stockholder of record on the record date for the meeting who is entitled to vote at the meeting and who has delivered timely written notice in proper form to our secretary of the stockholder’s intention to bring such business before the meeting. These provisions could have the effect of delaying until the next stockholder meeting stockholder actions that are favored by the holders of a majority of our outstanding voting securities. These provisions also could discourage a third party from making a tender offer for our common stock because even if the third party acquired a majority of our outstanding voting stock, it would be able to take action as a stockholder, such as electing new directors or approving a merger, only at a duly called stockholders meeting and not by written consent.
		

		
			Super-Majority Voting. The DGCL provides generally that the affirmative vote of a majority of the shares entitled to vote on any matter is required to amend a corporation’s certificate of incorporation or bylaws unless a corporation’s certificate of incorporation or bylaws, as the case may be, requires a greater percentage. Our bylaws may be amended or repealed by a majority vote of our board of directors or the affirmative vote of the holders of at least 75% of the votes that all our stockholders would be entitled to cast in any annual election of directors. In addition, the affirmative vote of the holders of at least 75% of the votes that all our stockholders would be entitled to cast in any election of directors is required to amend or repeal or to adopt any provisions inconsistent with any of the provisions of our certificate of incorporation described above.
		

		
			Exclusive Forum Selection. Our certificate of incorporation provides that, unless we consent in writing to the selection of an alternative forum, the Court of Chancery of the State of Delaware shall be the sole and exclusive forum for (1) any derivative action or proceeding brought on behalf of our company, (2) any action asserting a claim of breach of a fiduciary duty owed by any of our directors, officers or employees to our company or our stockholders, (3) any action asserting a claim arising pursuant to any provision of the General Corporation Law of the State of Delaware or as to which the General Corporation Law of the State of Delaware confers jurisdiction on the Court of Chancery of the State of Delaware, or (4) any action asserting a claim arising pursuant to any provision
		

		
			
		

		
			

		 

		

		
			 
		

		
			of our certificate of incorporation or bylaws (in each case, as they may be amended from time to time) or governed by the internal affairs doctrine. Although our certificate of incorporation contains the choice of forum provision described above, we do not expect this choice of forum provision will apply to suits brought to enforce a duty or liability created by the Securities Act of 1933, as amended, the Securities Exchange Act of 1934, as amended, or any other claim for which federal courts have exclusive jurisdiction.Exhibit 4.1

 

NEITHER THIS SECURITY NOR THE SECURITIES INTO
WHICH THIS SECURITY IS CONVERTIBLE (IF ANY) HAVE BEEN REGISTERED WITH THE SECURITIES AND EXCHANGE COMMISSION OR THE SECURITIES
COMMISSION OF ANY STATE IN RELIANCE UPON AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES
ACT”), AND, ACCORDINGLY, MAY NOT BE OFFERED OR SOLD EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES
ACT OR PURSUANT TO AN AVAILABLE EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE SECURITIES
ACT AND IN ACCORDANCE WITH APPLICABLE STATE SECURITIES LAWS AS EVIDENCED BY A LEGAL OPINION OF COUNSEL TO THE HOLDER TO SUCH EFFECT,
THE SUBSTANCE OF WHICH SHALL BE REASONABLY ACCEPTABLE TO THE BORROWERS.

 

Original Issue Date: June 4, 2019

Reissuance Date: February 10, 2020

 

Original Principal Amount: $11,500,000

 

AMENDED
AND RESTATED PROMISSORY NOTE

 

THIS AMENDED AND RESTATED
PROMISSORY NOTE is one of a series of duly authorized and validly issued Promissory Notes of MariMed Hemp Inc., a Delaware corporation
(the “Company”) and MariMed Inc., a Delaware corporation (“MariMed” and together with the
Company, the “Borrowers”), each having its principal place of business at 10 Oceana Way, Norwood, MA 02062 (this
note, as amended, restated, supplemented or otherwise modified from time to time, the “Note” and collectively
with the other notes of such series, the “Notes”) and is issued pursuant to the Facility Agreement (as defined
below). This Note amends, restates, renews and replaces that certain Promissory Note made by Borrower to the order of Holder (as
defined below) on the Original Issue Date (the “Original Note”). This Note is not intended to, nor shall it
be construed to, constitute a novation of the Original Note or the obligations contained therein.

 

FOR VALUE RECEIVED, the
Borrowers, jointly and severally as co-borrowers, promise to pay to SYYM LLC or its registered assigns (the “Holder”),
or shall have paid pursuant to the terms hereunder, the principal sum of eleven million five hundred thousand dollars ($11,500,000)
in cash on the Maturity Date (as defined below) or such earlier date as this Note is required or permitted to be repaid as provided
hereunder, and to pay such other amounts due and payable hereunder in accordance with the provisions hereof. This Note is subject
to the following additional provisions:

 

Section 1. Definitions.
For the purposes hereof, in addition to the terms defined elsewhere in this Note, (a) capitalized terms not otherwise defined herein
shall have the meanings set forth in the Facility Agreement and (b) the following terms shall have the following meanings:

 

“Additional
Collateral” means any property taken, or that may be taken after the date hereof, as collateral for the repayment of
the Note pursuant to the Illinois Security Agreement, the Massachusetts Security Agreement (Springing), the Brands Security Agreement
and the Pledge Agreement.

 

    	 

    	 

    

 

“Agent”
means SYYM LLC, a Delaware limited liability company.

 

“Bankruptcy
Event” means any of the following events: (a) any Loan Party commences a case or other proceeding under any bankruptcy,
reorganization, arrangement, adjustment of debt, relief of debtors, dissolution, insolvency or liquidation or similar law of any
jurisdiction relating to such Loan Party, (b) there is commenced against a Loan Party any such case or proceeding that is not dismissed
within sixty (60) days after commencement, (c) a Loan Party is adjudicated insolvent or bankrupt or any order of relief or other
order approving any such case or proceeding is entered, (d) a Loan Party suffers any appointment of any custodian or the like for
it or any substantial part of its property that is not discharged or stayed within sixty (60) calendar days after such appointment,
(e) a Loan Party makes a general assignment for the benefit of creditors, or (f) a Loan Party admits in writing its inability to
pay its debts as they become due or that it is insolvent.

 

“Board
of Directors” means the board of directors or equivalent governing body of a Borrower.

 

“Brands
Security Agreement” means that certain Security Agreement, dated February 10, 2020, by among Agent and MariMed.

 

“Business
Day” means any day except any Saturday, any Sunday, any day which is a federal legal holiday in the United States or
any day on which banking institutions in the State of New York are authorized or required by law or other governmental action to
close.

 

“Commission”
means the Securities and Exchange Commission.

 

“Common
Stock” means the common stock of MariMed, $0.001 par value per share.

 

“Dispose”
means the sale, transfer, license, lease or other disposition (including any sale and leaseback transaction or by way of a merger)
of any property by any Person, including any sale, assignment, transfer, exclusive license or other disposal, with or without recourse,
of any notes or accounts receivable or any rights and claims associated therewith, in each case, whether or not the consideration
therefor consists of cash, securities or other assets owned by the acquiring Person, excluding any sales of inventory or used equipment
in the ordinary course of business on ordinary business terms.

 

“Equity
Interests” means, with respect to any Person, all of the shares of capital stock of (or other ownership or profit interests
in) such Person, all of the warrants, options or other rights for the purchase or acquisition from such Person of shares of capital
stock of (or other ownership or profit interests in) such Person, all of the securities convertible into or exchangeable for shares
of capital stock of (or other ownership or profit interests in) such Person or warrants, rights or options for the purchase or
acquisition from such Person of such shares (or such other interests), and all of the other ownership or profit interests in such
Person (including partnership, member or trust interests therein), whether voting or nonvoting, and whether or not such shares,
warrants, options, rights or other interests are outstanding on any date of determination.

 

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“Event
of Default” shall have the meaning set forth in Section 4(a).

 

“Facility
Agreement” means that certain Facility Agreement dated as of June 4, 2019 between the Borrowers, Agent and the lenders
signatory thereto, as amended by the Amendment Agreement dated February 10, 2020.

 

“Illinois
Security Agreement” means that certain Security Agreement, dated February 10, 2020, by and among Agent and KPG of Anna
LLC and KPG of Harrisburg LLC.

 

“Indebtedness”
of a Loan Party, means all (a) indebtedness for borrowed money; (b) obligations for the deferred purchase price of property or
services, other than ordinary trade payables that are not past due; (c) obligations evidenced by notes, bonds, debentures or other
similar instruments; (d) obligations as lessee under capital leases; (e) obligations in respect of any interest rate swaps, currency
exchange agreements, commodity swaps, caps, collar agreements or similar arrangements entered into by such Loan Party providing
for protection against fluctuations in interest rates, currency exchange rates or commodity prices or the exchange of nominal interest
obligations, either generally or under specific contingencies; (f) obligations under acceptance facilities and letters of credit;
(g) all obligations or liabilities secured by a lien on the assets of such Loan Party, (h) any obligation arising with respect
to any other transaction that is the functional equivalent of borrowing but which does not or would not constitute a liability
on the balance sheet of such Loan Party, (i) guaranties, endorsements (other than for collection or deposit in the ordinary course
of business), and other contingent obligations to purchase, to provide funds for payment, to supply funds to invest in any Person,
or otherwise to assure a creditor against loss, in each case, in respect of Indebtedness set out in clauses (a) through (h) of
a Person other than such Loan Party; and (j) Indebtedness set out in clauses (a) through (i) of any Person other than such Loan
Party secured by any lien on any asset of such Loan Party, whether or not such Indebtedness has been assumed by such Loan Party.

 

“Liens”
means any mortgage, deed of trust, pledge, hypothecation, assignment for security, security interest, encumbrance, levy, lien or
charge of any kind, whether voluntarily incurred or arising by operation of law or otherwise, against any property, any conditional
sale or other title retention agreement, and any lease in the nature of a security interest.

 

“Loan
Parties” and “Loan Party” means, each of the following Persons individually and collectively, the
Borrowers, KPG of Anna LLC, KPG of Harrisburg LLC and ARL Healthcare, Inc.

 

“Massachusetts
Security Agreement (Springing)” means the Security Agreement, dated February 10, 2020, by and among Agent and ARL Healthcare,
Inc.

 

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“Maturity
Date” shall have the meaning set forth in Section 2(b).

 

“New
York Courts” shall have the meaning set forth in Section 6(d).

 

“Note
Register” shall have the meaning set forth in Section 3(c).

 

“Obligations”
shall have the meaning set forth in Section 5(k)(i).

 

“Original
Issue Date” means June 4, 2019, regardless of any transfers of this Note or amendments to this Note and regardless of
the number of instruments which may be issued to evidence this Note.

 

“Person”
means any natural person, corporation, partnership, limited liability company, limited liability partnership, joint venture, trust,
association, company, or other entity, and any governmental authority or self-regulatory organization.

 

“Pledge
Agreement” means that certain Pledge Agreement, dated February 10, 2020, by and among Agent and MariMed with respect
to MariMed’s ownership of Equity Interests of KPG of Anna LLC, KPG of Harrisburg LLC and ARL Healthcare Inc.

 

“Subsidiaries”
as to any Person, means any corporation, partnership, limited liability company, joint venture, trust or estate of or in which
more than 50% of (a) the issued and outstanding capital stock having ordinary voting power to elect a majority of the board of
directors of such corporation (irrespective of whether at the time capital stock of any other class of such corporation may have
voting power upon the happening of a contingency), (b) the interest in the capital or profits of such partnership, limited liability
company, or joint venture or (c) the beneficial interest in such trust or estate is at the time directly or indirectly owned or
controlled through one or more intermediaries, or both, by such Person.

 

Section 2. Payments.

 

a)
Amortization Payments. The Borrowers shall make principal amortization payments of $2,300,000 in cash (by wire transfer
of immediately available funds) on or before each of February 28, 2020, March 31, 2020, April 30, 2020 and May 31, 2020; provided,
however, the failure of the Borrowers to make any such amortization payment shall not result in an Event of Default hereunder unless
the Borrowers fail to repay at least $3,000,000 of principal in cash on or before April 30, 2020.

 

b)
Final Payment. The entire outstanding principal balance of this Note, all accrued and unpaid interest thereon and all other
amounts required to be paid by the Borrowers hereunder shall be due and payable in cash (by wire transfer of immediately available
funds) on June 15, 2020 (the “Maturity Date”).

 

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c)
Interest. Interest shall accrue on the outstanding principal balance of this Note at the rate of fifteen percent (15%) per
annum, calculated based on a 360-day year, commencing as of February 1, 2020. Interest shall be due and payable in-kind monthly
in arrears on the last Business Day of each calendar month by adding the amount of the interest payment to the outstanding principal
balance of this Note.

 

d)
Optional Prepayment. Subject to the provisions of this Section 2(d), the Borrowers may, at any time, prepay all,
or a portion, of the then outstanding principal amount of this Note, accrued and unpaid interest thereon and all other amounts
due and owing hereunder in cash. Any partial prepayment shall be in increments of at least $250,000.

 

Section 3. Registration
of Transfers and Exchanges.

 

a)
Different Denominations. This Note is exchangeable for an equal aggregate principal amounts of Notes of different denominations,
as requested by the Holder surrendering the same. No service charge will be payable for such registration of transfer or exchange.

 

b)
Investment Representations. This Note may be transferred or exchanged only in compliance with applicable federal and state
securities laws and regulations.

 

c)
Reliance on Note Register. Prior to due presentment for transfer to the Borrowers of this Note, the Borrowers and any agent
of the Borrowers may treat the Person in whose name this Note is duly registered in the books and records of the Borrowers regarding
registration and transfers of the Notes (the “Note Register”) as the owner hereof for the purpose of receiving
payment as herein provided and for all other purposes, whether or not this Note is overdue, and none of the Borrowers nor any such
agent shall be affected by notice to the contrary.

 

Section 4. Covenants.

 

a)
As long as any portion of this Note remains outstanding, unless the Holder shall have otherwise given prior written consent, each
Borrower shall not, and shall not permit any Loan Party to, directly or indirectly:

 

i.      
enter into, create, incur, assume or suffer to exist any Liens of any kind, on or with respect to the Collateral or the Additional
Collateral (provided, however, once the Borrowers have repaid at least $6,900,000 of the principal amount of this Note, this Section
4(a)(i) shall no longer apply with respect to the properties, assets and Equity Interests of ARL Healthcare Inc.);

 

ii.      
dispose of any Collateral or any Additional Collateral (other than, with respect to Additional Collateral, sales of inventory in
the ordinary course of business);

 

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iii.      
amend its charter documents, including, without limitation, its certificate of incorporation and bylaws, in any manner that materially
and adversely affects any rights of the Holder;

 

iv.      
repay, repurchase or offer to repay, repurchase or otherwise acquire any of its Equity Interests; or

 

v.      
pay dividends or distributions (whether in cash or other assets) on any of its Equity Interests (other than a dividend or distribution
by MariMed payable solely in shares of MariMed’s Common Stock).

 

b) As long
as any portion of this Note remains outstanding, no Loan Party shall consolidate with or merge with or into, or sell, convey,
lease or transfer in any manner all or substantially all of its properties and assets (in a single or series of transactions)
to, another Person or Persons, unless, simultaneously with the consummation of such transaction, the Borrowers repay to the
Holders the entire outstanding principal balance of this Note, all accrued and unpaid interest thereon and all other amounts
required to be paid by the Borrowers hereunder.

 

Section 5. Events of
Default.

 

a)
“Event of Default” means, wherever used herein, any of the following events (whatever the reason for such event
and whether such event shall be voluntary or involuntary or effected by operation of law or pursuant to any judgment, decree or
order of any court, or any order, rule or regulation of any administrative or governmental body):

 

i.   
any default in the payment of (A) principal, (B) interest or (C) any other amounts due owing, in each case, under this Note or
any of the other Transaction Documents as and when the same shall become due and payable;

 

ii.   
a Borrower shall fail to observe or perform any other covenant or agreement contained in this Note or any of the other Notes which
failure is not cured, if possible to cure, within the earlier to occur of (A) ten (10) days after notice of such failure to the
Company and (B) ten (10) days after a Borrower has become or should have become aware of such failure;

 

iii.   
a Loan Party shall fail to observe or perform any covenant or agreement contained any Transaction Document which failure is not
cured, if possible to cure, within the earlier to occur of (A) ten (10) days after notice of such failure to the Company and (B)
ten (10) days after the applicable Loan Party has become or should have become aware of such failure, or an event of default occurs
under any Transaction Document;

 

iv.   
any representation or warranty made in this Note or any of the other Notes, any other Transaction Document, any written statement
pursuant hereto or thereto or any other report, financial statement or certificate made or delivered by the Borrowers or any of
their Subsidiaries shall be untrue or incorrect in any material respect as of the date when made or deemed made;

 

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v.   
a Loan Party or any Subsidiary thereof shall be subject to a Bankruptcy Event;

 

vi.   
a Loan Party shall default on any of its obligations under any mortgage, credit agreement or other facility, indenture agreement,
factoring agreement or other instrument under which there may be issued, or by which there may be secured or evidenced, any Indebtedness
for borrowed money or money due under any long term leasing or factoring arrangement that (a) involves an obligation greater than
$500,000, whether such Indebtedness now exists or shall hereafter be created, and (b) results in such Indebtedness becoming or
being declared due and payable prior to the date on which it would otherwise become due and payable; or

 

vii.   
a Borrower, any Subsidiary of a Borrower, or any current officer, director or senior executive of a Borrower or Subsidiary thereof
shall be indicted or convicted (including in a settled action or by plea of nolo contendere) for any felony, in each case,
related to the business of such Borrower or Subsidiary.

 

b)
Remedies Upon Event of Default. If any Event of Default occurs and is continuing, the outstanding principal amount of this
Note and accrued but unpaid interest and other amounts owing in respect thereof through the date of acceleration, shall become,
at the Holder’s election, immediately due and payable in cash; provided, that such acceleration shall be automatic, without
any notice or other action of the Holder required, in respect of an Event of Default occurring pursuant to clause (v) of Section
5(a). In connection with such acceleration described herein, the Holder need not provide, and the Borrowers hereby waive, any
presentment, demand, protest or other notice of any kind, and the Holder may immediately and without expiration of any grace period
enforce any and all of its rights and remedies hereunder, the other Transaction Documents and all other remedies available to it
under applicable law. Such acceleration may be rescinded and annulled by Holder at any time prior to payment hereunder and the
Holder shall have all rights as a holder of this Note until such time, if any, as the Holder receives full payment pursuant to
this Section 5(b). No such rescission or annulment shall affect any subsequent Event of Default or impair any right consequent
thereon.

 

Section 6. Miscellaneous.

 

a)
Notices. Any and all notices or other communications or deliveries to be provided by the Holder hereunder shall be in writing
and delivered personally, by facsimile, by email attachment, or sent by a nationally recognized overnight courier service, addressed
to the Borrowers, at the address set forth above, or such other facsimile number, email address, or address as the Borrowers may
specify for such purposes by notice to the Holder delivered in accordance with this Section 6(a). Any and all notices or
other communications or deliveries to be provided by the Borrowers hereunder shall be in writing and delivered personally, by facsimile,
by email attachment, or sent by a nationally recognized overnight courier service addressed to the Holder at the facsimile number
or email address or address of the Holder appearing on the books of the Borrowers, or if no such facsimile number or email attachment
or address appears on the books of the Borrowers, at the principal place of business of such Holder, as set forth in the Facility
Agreement. Any notice or other communication or deliveries hereunder shall be deemed given and effective on the earliest of (i)
the date of transmission, if such notice or communication is delivered via facsimile at the facsimile number or email attachment
to the email address set forth on the signature pages attached hereto prior to 11:59 p.m. (New York City time) on any day and with
respect to other notices prior to 5:30 p.m. (New York City time) on any date, (ii) the next Business Day after the date of transmission,
if such notice or communication is delivered via facsimile at the facsimile number or email attachment to the email address set
forth on the signature pages attached hereto on a day that is not a Business Day or later than 5:30 p.m. (New York City time) on
any Business Day, (iii) the second Business Day following the date of mailing, if sent by U.S. nationally recognized overnight
courier service or (iv) upon actual receipt by the party to whom such notice is required to be given.

 

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b)
Absolute Obligation. Except as expressly provided herein, no provision of this Note shall alter or impair the obligation
of the Borrowers, which is absolute and unconditional, to pay the principal of this Note and other amounts due and payable hereunder
at the time, place, and rate, and in the coin or currency, herein prescribed. This Note is a direct debt obligation of the Borrowers.
All payments hereunder shall be made without deduction, offset, counterclaim or defenses of any nature whatsoever.

 

c)
Lost or Mutilated Note. If this Note shall be mutilated, lost, stolen or destroyed, the Borrowers shall execute and deliver,
in exchange and substitution for and upon cancellation of a mutilated Note, or in lieu of or in substitution for a lost, stolen
or destroyed Note, a new Note for the principal amount of this Note so mutilated, lost, stolen or destroyed, but only upon receipt
of evidence of such loss, theft or destruction of such Note, and of the ownership hereof, reasonably satisfactory to the Borrowers.

 

d)
Governing Law. All questions concerning the construction, validity, enforcement and interpretation of this Note shall be
governed by and construed and enforced in accordance with the internal laws of the State of New York without regard to any laws
of the State of New York that would require the application of the laws of another jurisdiction. Each party agrees that all legal
proceedings concerning the interpretation, enforcement and defense of the transactions contemplated by any of the Transaction Documents
(whether brought against a party hereto or its respective Affiliates, directors, officers, shareholders, employees or agents) shall
be commenced in the state and federal courts sitting in the City of New York, Borough of Manhattan (the “New York Courts”).
Each party hereto hereby irrevocably submits to the exclusive jurisdiction of the New York Courts for the adjudication of any dispute
hereunder or in connection herewith or with any transaction contemplated hereby or discussed herein (including with respect to
the enforcement of any of the Transaction Documents), and hereby irrevocably waives, and agrees not to assert in any suit, action
or proceeding, any claim that it is not personally subject to the jurisdiction of such New York Courts, or such New York Courts
are improper or inconvenient venue for such proceeding. Each party hereby irrevocably waives personal service of process and consents
to process being served in any such suit, action or proceeding by mailing a copy thereof via registered or certified mail or overnight
delivery (with evidence of delivery) to such party at the address in effect for notices to it under this Note and agrees that such
service shall constitute good and sufficient service of process and notice thereof. Nothing contained herein shall be deemed to
limit in any way any right to serve process in any other manner permitted by applicable law. Each party hereto hereby irrevocably
waives, to the fullest extent permitted by applicable law, any and all right to trial by jury in any legal proceeding arising out
of or relating to this Note or the transactions contemplated hereby.

 

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e)
Amendments; Waivers. No provision herein may be waived, modified, supplemented or amended except in a written instrument
signed, in the case of an amendment, by the Borrowers and the Holder, or, in the case of a waiver, by the party against whom enforcement
of any such waived provision is sought. No waiver of any default with respect to any provision, condition or requirement of this
Note shall be deemed to be a continuing waiver in the future or a waiver of any subsequent default or a waiver of any other provision,
condition or requirement hereof, nor shall any delay or omission of any party to exercise any right hereunder in any manner impair
the exercise of any such right.

 

f)  
Severability. If any provision of this Note is invalid, illegal or unenforceable, the balance of this Note shall remain
in effect, and if any provision is inapplicable to any Person or circumstance, it shall nevertheless remain applicable to all other
Persons and circumstances. If it shall be found that any interest or other amount deemed interest due hereunder violates the applicable
law governing usury, the applicable rate of interest due hereunder shall automatically be lowered to equal the maximum rate of
interest permitted under applicable law. The Borrowers covenant (to the extent that they may lawfully do so) that they shall not
at any time insist upon, plead, or in any manner whatsoever claim or take the benefit or advantage of, any stay, extension or usury
law or other law which would prohibit or forgive the Borrowers from paying all or any portion of the principal of or interest on
this Note as contemplated herein, wherever enacted, now or at any time hereafter in force, or which may affect the covenants or
the performance of this Note, and the Borrowers (to the extent it may lawfully do so) hereby expressly waive all benefits or advantage
of any such law, and covenants that it will not, by resort to any such law, hinder, delay or impede the execution of any power
herein granted to the Holder, but will suffer and permit the execution of every such as though no such law has been enacted.

 

g)
Remedies, Characterizations, Other Obligations, Breaches and Injunctive Relief. The remedies provided in this Note shall
be cumulative and in addition to all other remedies available under this Note and any of the other Transaction Documents at law
or in equity (including a decree of specific performance and/or other injunctive relief), and nothing herein shall limit the Holder’s
right to pursue actual and consequential damages for any failure by the Borrowers to comply with the terms of this Note. The Borrowers
covenant to the Holder that there shall be no characterization concerning this instrument other than as expressly provided herein.
Amounts set forth or provided for herein with respect to payments, conversion and the like (and the computation thereof) shall
be the amounts to be received by the Holder and shall not, except as expressly provided herein, be subject to any other obligation
of the Borrowers (or the performance thereof). Each Borrower acknowledges that a breach by it of its obligations hereunder will
cause irreparable harm to the Holder and that the remedy at law for any such breach may be inadequate. Each Borrower shall provide
all information and documentation to the Holder that is reasonably requested by the Holder to enable the Holder to confirm each
Borrower’s compliance with the terms and conditions of this Note.

 

    	9

    	 

    

 

h)
Next Business Day. Whenever any payment or other obligation hereunder shall be due on a day other than a Business Day, such
payment shall be made on the next succeeding Business Day.

 

i)  
Headings. The headings contained herein are for convenience only, do not constitute a part of this Note and shall not be
deemed to limit or affect any of the provisions hereof.

 

j)  
Security Interest. The Borrowers’ obligations under this Note are secured by a first ranking lien and security interest
in the Collateral and the Additional Collateral in favor of Agent (for the benefit of and on behalf of the Holder) pursuant to
the terms and conditions of the Facility Agreement, the Brands Security Agreement, the Massachusetts Security Agreement (Springing),
the Illinois Security Agreement and the Pledge Agreement.

 

k)
Co-Borrowers.

 

i.      
Borrowers are jointly and severally liable for all of the indebtedness, obligations, and liabilities of the Borrowers now or hereafter
existing under this Note and the Transaction Documents, whether for principal, interest, fees, expenses, indemnification or otherwise
(the “Obligations”) and the Holder may proceed against one Borrower to enforce the Obligations without waiving
its right to proceed against the other Borrower. This Note and the Transaction Documents are a primary and original obligation
of each Borrower and shall remain in effect notwithstanding future changes in conditions, including any change of law or any invalidity
or irregularity in the creation or acquisition of any Obligations or in the execution or delivery of any agreement between the
Holder and any Borrower. Each Borrower shall be liable for existing and future Obligations as fully as if all of the principal
amount of this Note were advanced to such Borrower. The Holder may rely on any certificate or representation made by any Borrower
as made on behalf of, and binding on, all Borrowers. Each Borrower appoints each other Borrower as its agent with all necessary
power and authority to give and receive notices, certificates or demands for and on behalf of all Borrowers. This authorization
cannot be revoked, and the Holder need not inquire as to one Borrower’s authority to act for or on behalf of another Borrower.

 

    	10

    	 

    

 

ii.      
Notwithstanding any other provision of this Note or any other Transaction Document, each Borrower irrevocably waives, until all
Obligations are paid in full, all rights that it may have at law or in equity (including, without limitation, any law subrogating
a Borrower to the rights of the Holder under this Note or any other Transaction Documents) to seek contribution, indemnification,
or any other form of reimbursement from any other Borrower, or any other Person now or hereafter primarily or secondarily liable
for any of the Obligations, for any payment made by a Borrower with respect to the Obligations in connection with the Transaction
Documents or otherwise and all rights that it might have to benefit from, or to participate in, any security for the Obligations
as a result of any payment made by a Borrower with respect to the Obligations in connection with the Transaction Documents or otherwise.
Any agreement providing for indemnification, reimbursement or any other arrangement prohibited under this Section shall be null
and void. If any payment is made to a Borrower in contravention of this Section, such Borrower shall hold such payment in trust
for the Holder and such payment shall be promptly delivered to the Holder for application to the Obligations, whether matured or
unmatured.

 

iii.      
Each Borrower waives, to the extent permitted by law, notice of acceptance hereof; notice of the existence, creation or acquisition
of any of the Obligations; notice of an Event of Default except as set forth herein; notice of the amount of the Obligations outstanding
at any time; notice of any adverse change in the financial condition of any other Borrower or of any other fact that might increase
a Borrower’s risk; presentment for payment; demand; protest and notice thereof as to any instrument; and all other notices
and demands to which Borrower would otherwise be entitled by virtue of being a co-borrower or a surety. Each Borrower waives any
defense arising from any defense of any other Borrower, or by reason of the cessation from any cause whatsoever of the liability
of any other Borrower. The Holder’s failure at any time to require strict performance by any Borrower of any provision of
this Note or the other Transaction Documents shall not waive, alter or diminish any right of the Holder thereafter to demand strict
compliance and performance therewith. Each Borrower also waives any defense arising from any act or omission of the Holder that
changes the scope of such Borrower’s risks hereunder. Each Borrower hereby waives any right to assert against the Holder
any defense (legal or equitable), setoff, counterclaim, or claims that such Borrower individually may now or hereafter have against
another Borrower or any other Person liable to the Holder with respect to the Obligations in any manner or whatsoever.

 

iv.      
The liability of the Borrowers hereunder shall not be diminished by (i) any agreement, understanding or representation that any
of the Obligations is or was to be guaranteed by another Person or secured by property, or (ii) any release or unenforceability,
whether partial or total, of rights, if any, which the Holder may now or hereafter have against any other Person, including another
Borrower, or property with respect to any of the Obligations. Without notice to any given Borrower and without affecting the liability
of any given Borrower hereunder, the Holder may (i) compromise, settle, renew, extend the time for payment, change the manner or
terms of payment, discharge the performance of, decline to enforce, or release all or any of the Obligations with respect to any
other Borrower by written agreement with such other Borrower, (ii) grant other indulgences to another Borrower in respect of the
Obligations, (iii) modify in any manner any documents relating to the Obligations with respect to any other Borrower by written
agreement with such other Borrower, (iv) release, surrender or exchange any deposits or other property securing the Obligations,
whether pledged by a Borrower or any other Person, or (v) compromise, settle, renew, or extend the time for payment, discharge
the performance of, decline to enforce, or release all or any obligations of any guarantor, endorser or other Person who is now
or may hereafter be liable with respect to any of the Obligations.

 

    	11

    	 

    

 

v.      
Post Judgment Interest. If Holder obtains a money judgment against Borrowers on this Note, Borrowers agree that, to the
extent permitted by applicable law, the judgment shall bear interest at the rate of fifteen percent (15%) per annum until the judgment,
including, without limitation, the principal of this Note, is paid in full and satisfied. Borrowers acknowledge that this judgment
interest rate may be higher than the statutory judgment rate contained in NYS CPLR Section 5004.

 

vi.      
Costs of Enforcement. Notwithstanding anything contained herein or in the other Transaction Documents to the contrary, the
Borrowers agree to pay all costs and expenses of enforcement of this Note, including, without limitation, reasonable attorneys’
fees and expenses.

 

 

*********************

 

(Signature Pages Follow)

 

    	12

    	 

    

 

 

IN WITNESS WHEREOF, the
parties below have caused this Note to be duly executed by a duly authorized officer as of the Original Issue Date.

 

	 	Marimed hemp inc.
	 	 
	 	By:	              
	 	Name:	 
	 	Title:	 
	 	Facsimile No. for delivery of Notices: _________________
	 	E-mail Address for delivery of Notices: _____________
	 	 
	 	MARIMED INC.
	 	 
	 	By:	 
	 	Name:	 
	 	Title:	 
	 	Facsimile No. for delivery of Notices: _________________
	 	E-mail Address for delivery of Notices: _________________
	 	 
	 	SYYM LLC
	 	 
	 	By:	 
	 	Name: 	Brett Cohen
	 	Title:	 President
	 	Facsimile No. for delivery of Notices: (212) 253-4093
	 	E-mail Address(es) for delivery of Notices:
	 	sehrenberg@jgbcap.com, bcohen@jgbcap.com,

    dariyeh@jgbcap.com, vvacco@jgbcap.com

 

Signature Page to Note

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