Document:

December
31, 2018

 

Activa
Clinics

6610
Turner Valley Road, Suite 200

Mississauga,
Ontario L5N 2PI

Attn:
Neil Dhalla, CEO

Via
email

 

RE:
Amend the Termination Date of the Binding Letter of Intent, dated November 23, 2018, between Novo Integrated Sciences, Inc., Novo
Healthnet Limited and Activa Clinics

 

Dear
Mr. Dhalla:

 

Novo
Integrated Sciences, Inc., a Nevada corporation (“NVOS”), Novo Healthnet Limited, an Ontario corporation and Activa
Clinics, an Ontario corporation (“AC”), are parties to the Letter of Intent, dated 11-23-18, as attached hereto as
Exhibit A (the “LOI”).

 

The
purpose of this letter is to amend the LOI to extend the termination date therein. As we have discussed, the “Termination
Date” for all purposes under the LOI is hereby amended to be February 28, 2019. The LOI, as amended herein, shall remain
in full force and effect.

 

We
continue to look forward to working with you to complete the transaction successfully and expeditiously. If the foregoing correctly
sets forth your understanding, please execute a copy of this Letter in the space set forth below and return to me.

 

	 	

                                                                     Very truly yours,

	 	 	 
	 	By:	/s/
    Robert Mattacchione
	 	 	Robert
    Mattacchione
	 	 	CEO,
    Novo Integrated Sciences, Inc.
	 	 	Chairman,
    Novo Healthnet Limited
	 	 	 
	 	ACKNOWLEDGED AND AGREED to on January 7, 2018:
	 	 	 
	 	By:	/s/
    Neil Dhalla
	 	 	Neil
    Dhalla
	 	 	CEO,
    Activa Clinics

 

11120
NE 2nd Street, Suite 200 Bellevue, WA 98004 USA

Phone:
(206) 617-9797

www.novointegrated.com

 

    	 	 	 

    	 	 	Page
                                         | 2

    

 

Letter
of Intent

 

(Attached)AGREEMENT
OF TRANSFER AND ASSIGNMENT

 

 

 

This
Agreement of Absolute Transfer and Assignment (the “Agreement”) is effective December 21, 2018.

 

	BETWEEN:	2478659
    Ontario Ltd., (the “Transferor”), a company organized and existing under the laws of the Province of Ontario,
    with its head office located at:
	 	 
	 	119
    Westcreek Dr.
	 	Suite
    3
	 	Vaughan,
    Ontario
	 	L4L
    9N6
	 	 
	AND:	Novo
    Integrated Sciences Inc. (the “Transferee”), a company organized and existing under the laws of the State
    of Nevada, with its head office located at:
	 	 
	 	11120
    NE 2nd Street, Suite 200 
	 	Bellevue,
    Washington 98004 USA

 

WHEREAS
by an agreement of assignment and transfer dated as of January 8, 2019 (the “Assignment Agreement”) the Transferor
agreed to sell and assign all of its rights held with respects to the Joint Venture Agreement with Reference number ML-ON/GR-002
(“JV”) to the Transferee;

 

WHEREAS
pursuant to the Assignment Agreement, the Transferor agreed to sell, assign and transfer to the Transferee all rights, contracts,
contacts and any and all other assets related in any way to the JV;

 

WHEREAS
the Transferee agrees to perform all the duties and responsibilities identified within the JV;

 

NOW,
THEREFORE, IN CONSIDERATION OF THE FOREGOING AND OF THE MUTUAL COVENANTS AND AGREEMENTS HEREIN CONTAINED, THE PARTIES HEREBY AGREE
AS FOLLOWS:

 

For
good and valuable consideration, the receipt of which is hereby acknowledged by the Transferor, the Transferor does hereby absolutely
transfer, assign and make over unto the Transferee, hereto present and accepting the same, all of the Transferor’s right,
title and interest in the JV. The Transferor further assigns and transfers unto the Transferee all deeds, documents, writings,
papers, books of account and other books relating to or being records of the JV (the whole referred to in this agreement as the
“Documents”).

 

The
present absolute transfer and assignment is made subject to the following terms, clauses and conditions, all of which are essential
to this agreement:

 

	1.	ADDITIONAL
    ASSIGNMENT
	 	 
	 	The
    present assignment is given in addition to and not in substitution for any similar assignment heretofore given to and still
    held by the Transferee and in particular any and all assignments made or contemplated by any precedent Agreement if such Agreement
    is present or was contemplated both verbal or written.

 

    	 

    	 

    

 

	2.	RIGHTS
    OF ASSIGNMENT
	 	 
	 	The
    Transferee shall, as the absolute assignee of the rights, be absolutely responsible for all and any liabilities associated
    to the JV and in so far as is clearly identified by the Documents. The Transferor fully indemnifies the Transferee for any
    claims and or liabilities not identified for a period of ten years. The Transferee is solely entitled to the financial benefit
    derived from the direct or indirect assignment of the JV.
	 	 
	3.	LIST
    OF DOCUMENTS
	 	 
	 	For
    the purposes of this agreement, the Transferor undertakes and agrees to furnish and deliver to the Transferee, together with
    the present absolute assignment, a list of all documents, correspondence, contact lists and studies of any kind related to
    the JV or the JV development from concept to present.
	 	 
	4.	REPRESENTATIONS
    AND WARRANTIES OF THE TRANSFEROR
	 	 
	 	The
    Transferor represents, warrants, covenants and declares that:

 

	 	 	a.
    It has good and marketable title to the JV (herein attached as schedule A); and
	 	 	 
	 	 	b.
    No other commitments or contemplated assignments have been made to any other party.

 

	5.	FURTHER
    DOCUMENTS
	 	 
	 	The
    Transferor covenants and agrees that it will from time to time and as requested by the Transferee, make and execute such further
    documents as may, in the opinion of the Transferee, be necessary or desirable with respect to the JV or as may be required
    to give effect to this agreement or the exercise of the powers conferred upon the Transferee by this agreement. Should the
    Transferor neglect or refuse to execute such further documents, the Transferee or any officer of the Transferee (being hereby
    appointed the attorney of the Transferor) may, as its true and lawful attorney make and execute all such documents, with the
    right to use the name of the Transferor whenever and wherever the Transferee may deem such use to be necessary or expedient
    with respect to the realization of the JV.
	 	 
	6.	CONSIDERATION
	 	 
	 	As
    a result of this Agreement of Transfer and Assignment the Transferor will receive TWELVE (12) MILLION COMMON RESTRICTED SHARES
    in the Transferee. The shares will be subject to a lock-up arrangement in addition to the usual Rule 144 limitations on sale.
    The issuance of shares will be full and final payment for the transfer of rights contemplated within this assignment. The
    shares will be issued upon the expiration of a twenty-day due diligence period or waiving of such period by the Transferee
    any time prior to the expiration date of January 28, 2019.
	 	 
	7.	BINDING
    EFFECT
	 	 
	 	This
    agreement, and the rights and obligations of the parties under this agreement, shall ensure to and be binding upon the parties
    and their respective heirs, assignees and representatives.
	 	 
	8.	DUE
    DILIGENCE
	 	 
	 	The
    Transferee shall be granted a twenty-day due diligence period in which the Transferor will allow direct contact to the JV
    parties as well as any documents related to the JV. The Transferee may terminate the Assignment at its sole and unfettered
    discretion by providing notice of termination in writing to the Transferor. The Transferee may waive the due diligence period
    prior to the expiration date, which date is twenty days from the date of execution of this Agreement.

 

    	 

    	 

    

 

IN
WITNESS WHEREOF, each party to this agreement has caused it to be executed at Vaughan,
Ontario on the date indicated above.

 

	TRANSFEROR
    	 	TRANSFEREE
	 	 	 
	/s/
    Robert Marchioni	 	/s/
    Robert Mattacchione
	Authorized
    Signature	 	Authorized
    Signature
	 	 	 
	Robert
    Marchioni, President	 	Robert
    Mattacchione, CEO
	Print
    Name and Title	 	Print
    Name and Title

 

    	 

    	 

    

 

SCHEDULE
A

 

JOINT
VENTURE AGREEMENT

Reference
Number: ML-ON/GR-002

 

Between

 

2478659
ONTARIO LTD.

(“247”)

 

And

 

KAINAI
COOPERATIVE

(“KA”)

 

FOR
THE DEVELOPMENT,

MANAGEMENT
AND

OPERATION
OF A GREENHOUSE, HEMP FARMING AND

RESERVE

INFRASTRUCTURE
PROJECTS

 

    	 

    	 

    

 

This
Joint Venture agreement is entered into between 2478659 Ontario Ltd., an Ontario company with offices located at 119 Westcreek
Drive, Suite 3, Vaughan, Ontario, Canada (herein referred to as “247”) and Kainai Cooperative, a cooperative organized
under the laws of Alberta, Canada with offices in Cardston, Alberta, Canada (herein referred to as “KA”) for the purpose
of developing, managing and arranging for financing of greenhouse and farming projects involving Hemp and Cannabis cash crops
on Kainai related lands, in addition to the primary agricultural objective the Joint Venture will develop additional infrastructure
projects creating jobs a food supply to local communities.

 

Whereas,
247 is willing to provide development, management, construction and financing of greenhouses and open field farming for health-related
cash crops and future indoor fish, shrimp and poultry production facilities and

 

Whereas,
247 through its wholly-owned subsidiaries, is a provider of healthcare services, products and healthtech and

 

Whereas
247 has strategic relationships in the development and management of greenhouses and other agricultural and energy projects,
and

 

Whereas,
247 will contribute subject matter expertise, management, financial resources, strategic partnerships and international procurement
expertise in conjunction with local companies to train local populations in the management and operation of greenhouse, outdoor
and indoor cash crop farming, and

 

Whereas,
247 is committed to sustainable sciences development and the integration of green technologies into project engineering, design
and construction, and

 

Whereas,
247 is committed to undertake optional progressive resource projects in:

 

	 	●	Dry
    Land Farming up to 150,000 acres
	 	●	Irrigation
    development up to 25,000 acres
	 	●	Processing
    plant
	 	●	Warehousing
	 	●	Agricultural
    development 100,000 plus acres
	 	●	Solar
    Energy development
	 	●	Wind
    Energy development

 

Whereas,
KA has a minimum of ten (10) acres of suitable land for initial development and the means to obtain the necessary approvals and
authorization to build and operate initial development objectives along with the necessary water, waste and power supply required
for initial development, and

 

Whereas,
KA is willing to grant the rights to 247 for the construction of the necessary infrastructure improvements required to house 247
operational management on location, and

 

Whereas,
KA wishes to develop greenhouse facilities and requires financing, design, engineering, construction and operational expertise,
and

 

    	 

    	 

    

 

Whereas,
KA will be working with present Land Occupant Members of the Cooperative to ensure the development of available land for the purposes
of the primary projects in this Agreement,

 

Therefore,
the Joint Venture Partners (247 and KA) agree to sign this agreement for the construction, operation and management of greenhouse
and outdoor farming operations focusing on hemp and cannabis production (hereinafter referred to as the “Primary Contract”)
under the following terms set out in this Joint Venture Agreement for the noted project (herein, referred to as the “Primary
Project”).

 

This
Agreement is in affect as of January 7th, 2019 and continues until terminated in accordance with the terms of this
agreement or for the duration of this agreement as identified herein.

 

ARTICLE
1-ENTERPRISE NAME

 

	1.1	The
    ON-KA Corporation will be registered and incorporated in Canada under the name of ON-KA Corporation (herein referred to as
    the “Company”) and the Company shall have all the liabilities of the project in relation to finance and
    operation with KA having no liability or financial responsibility in relation to the project.

 

ARTICLE
2- RELATIONSHIP OF PARTIES

 

	2.1	The
    parties will work in a joint venture relationship with 247 providing the finance, development and operation of the project
    including sales and KA providing the land and approvals for the development of the Primary Project and other agriculture and
    progressive resource projects.

 

ARTICLE
3- OFFICE LOCATION

 

	3.1	The
    Company shall have an office in the 247 head office location as well as an office on the Primary Project location and if necessary,
    offices in international jurisdictions for the purpose of sales and promotion.

 

    	 

    	 

    

 

ARTICLE
4- START UP CAPITAL AND CONTRIBUTIONS

 

	4.1	Each
    of the partners shall contribute to the start-up as follows:
	 	 
	4.1.1	247

 

	 	●	Provide
    land survey, engineering study and architectural plans
	 	●	Complete
    and finalize a Business Plan, farm engineering and layout plans, a detailed procurement project binder and an implementation
    and roll-out plan
	 	●	Make
    arrangements for construction of the greenhouses
	 	●	Direct
    project finance model and selection of EPC and Management service providers
	 	●	Retain
    greenhouse operational team
	 	●	Arrange
    for product purchase contracts

 

	4.1.2
    	KA

 

	 	●	Will
    provide the land survey and approvals for greenhouse
	 	●	Arrange
    for all required titled land for greenhouses and outdoor agriculture platforms
	 	●	Arrange
    for all building permits, environmental approvals and KA internal approvals including confirmation of tax-free Company status
    for the duration of the agreement

 

ARTICLE
5- KA AND 247 COMMITMENTS, GREENHOUSE CONSTRUCTION SCHEDULE

 

	5.1	Upon
    execution of the agreement, KA will provide necessary documentation (allocated land) required for the completion of the construction
    and management package.
	 	 
	5.2	Sample
    funding schedule:

 

	 	●	Day
    01- KA provides land details and construction permits
	 	●	Day
    20- 247 establishes JV company – the Company
	 	●	Day
    SV + 31 - KA and 247 execute this or similar contract confirming the project and use of land for Primary Project in order
    to “trigger” the financing for 247 funding officers
	 	●	Day
    SV + 32 – 247 starts development process
	 	●	Day
    SV + 122 – 247 starts construction process
	 	●	Day
    SV + 140 – local community workforce training commences

 

	5.3	Harvesting
    schedule occurs as dictated by determined cash crop selection. Accompanying cash flow projections will be completed upon binding
    buyer contract receipt.

 

    	 

    	 

    

 

ARTICLE
6- PRINCIPLE AND LINE OF CREDIT RETURNS

 

	6.1	Priority
    is given to all debt service requirements with principle pay-back schedule adherence based on cash flow actual conditions.
    Distribution to partners as per agreement on a “last to issue” basis.

 

ARTICLE
7- TERM OF AGREEMENT

 

	7.1	The
    initial term of this Agreement shall, unless sooner terminated, expire in Fifty (50) years from the date of execution of the
    Agreement. 247 and KA may renew the agreement within Five (5) years of the expiry of the initial term upon mutual agreement.
	 	 
	7.2	247
    shall be responsible for the total management of the projects.
	 	 
	7.3	Both
    parties may enter into buyout negotiations on terms agreeable to both parties.

 

ARTICLE
8- OBLIGATIONS OF 247

 

	8.1	To
    maintain all financial records of the Company and provide quarterly and annual reporting to all Company stakeholders. All
    records are kept under GAAP compliance standards.
	 	 
	8.2	Assign
    and direct operational staff from onset to agreement termination.
	 	 
	8.3	To
    remunerate KA on the basis of a twenty percent of net Company income basis on an annual basis commencing 12 months after the
    first full 12-month revenue period.
	 	 
	8.4	All
    books and records can be reviewed by KA upon seventy hours written notice. Any review or inspection must be done in the head
    office of 247.

 

    	 

    	 

    

 

ARTICLE
9- OBLIGATIONS OF KA

 

	9.1	To
    assist the Company in any way deemed necessary by the Company in the marketing and sales of all cash crop associated to the
    Projects both domestically and internationally.
	 	 
	9.2	To
    maintain positive relations with agencies (government and environmental) ensuring continuing land use and development.
	 	 
	9.3	To
    promote and maintain positive public relations activities ensuring positive Company public opinion.
	 	 
	9.4	To
    provide “historical family traditional land occupant holdings” held in an escrow structure with the Cooperative
    Law Firm protecting 247 investments.
	 	 
	9.5	To
    provide a minimum of ten (10) acres for the first phase of the Primary Project.

 

ARTICLE
10- MANAGEMENT PERSONNEL

 

	10.1	All
    staffing, including but not limited to, management, specialized or general labor requirements will be the sole responsibility
    of 247.

 

ARTICLE
11- DIVIDEND DISTRIBUTIONS

 

	11.1	The
    JV will distribute to 247 and KA all net proceeds after debt and principle servicing and repayment allocation, as well as
    operating capital allotment on a ratio equal to 80% 247 and 20% KA.
	 	 
	11.2	The
    distribution will be based on 247 audited review and will be made within three months of annual considerations.

 

ARTICLE
12- CURRENCY

 

	12.1	Except
    where otherwise expressly provided, all amounts of monies referenced are in Canadian dollars.

 

    	 

    	 

    

 

ARTICLE
13- BANKING AND ACCOUNTING

 

	13.1	The
    Company will have a segregated bank account for general operating expenses and a segregated investment account for passive
    short-term secured investments.

 

ARTICLE
14- FINANCIAL STATEMENTS

 

	14.1	The
    Company will prepare quarterly statements for partner review, released on the 15th day of each subsequent quarter.
	 	 
	14.2	The
    Company’s audited annual filing will be prepared in accordance to 247 requirements for the purposes of consolidation
    on a GAAP basis.

 

ARTICLE
15- TAXES

 

	15.1	The
    Company will ensure timely remittance of all tax liabilities and ensure specific adherence to any specific Cooperative tax
    considerations. KA will ensure maximum tax reduction and where possible elimination of any tax consideration.

 

ARTICLE
16- PRESERVATION OF RECORDS

 

	16.1	All
    company records will be kept for a minimum of five years unless otherwise required by federal or provincial law.

 

ARTICLE
17- ASSIGNMENT BY 247

 

	17.1	During
    the term of this agreement 247 shall have the right to assign, transfer or sell all or part of its interest in the agreement
    upon the terms and conditions herein, subject only to prior written notice to KA.

 

    	 

    	 

    

 

ARTICLE
18- ASSIGNMENT BY KA

 

	18.1	During
    the term of this agreement KA shall have the right, upon written approval of 247, to assign, transfer or sell all or part
    of their interest in this agreement.

 

ARTICLE
19- BEST EFFORTS

 

	19.1	247
    and KA covenant and agree to make their best efforts to fully develop the Primary Projects as well as all Projects associated
    to this agreement as per this agreement at all times faithfully, honestly and diligently perform or cause to be performed
    their obligations hereunder and to continuously exert best efforts to promote and enhance the business and in that regards
    they hereby covenant and agree, so long as this Agreement shall remain in effect, to operate the business, as to preserve,
    maintain and enhance the reputation of 247 and KA through the Company.

 

ARTICLE
20- INDEMNIFICATION

 

	20.1	The
    parties agree to mutually defend, indemnify and save one another harmless from and against any claims, demands, actions, losses,
    damages, costs, charges, liabilities and any expenses, including legal fees of whatever kind arising out of or in connection
    with each parties’ activities conducted pursuant to this Agreement.

 

ARTICLE
21- CONFORMITY WITH LAWS

 

	21.1	In
    this Agreement, the singular includes the plural and the masculine includes the feminine and neuter and vice versa unless
    the context otherwise requires.
	 	 
	21.2	If
    any provision or part of any provision in this Agreement is void for any reason or found to be unenforceable, it may be severed
    without affecting the validity and enforceability of the balance of the Agreement.
	 	 
	21.3	This
    Agreement binds and benefits the parties and their respective heirs, executors, administrators, personal representatives,
    successors and assigns.
	 	 
	21.4	This
    Agreement contains the sole and entire agreement between the parties and supersedes any and all other agreements, both verbal
    and written, between them.
	 	 
	21.5	The
    parties agree that neither of them has made any representations with respect to the subject matter of this Agreement, or any
    representations inducing the execution and delivery hereof, except such representations as are specifically set forth herein.

 

    	 

    	 

    

 

ARTICLE
22- CONFIDENTIALITY

 

	22.1	The
    parties shall keep confidential all business terms and conditions of this Agreement and neither shall release such information
    to any other party without the express written consent of the other, in the case of 247, it is understood that 247 will be
    filing this Agreement with the Security Exchange Commission of the United States of America in a matter compliant to publicly
    listed company rules.

 

ARTICLE
23- ENTIRE AGREEMENT

 

	23.1	No
    waiver or modification of this Agreement or of any covenant, condition or limitation herein contained shall be valid unless
    in writing and duly executed by the party to be charged therewith.
	 	 
	23.2	Furthermore,
    no evidence of any waiver or modification shall be offered or received in evidence in any proceeding, arbitration, or litigation
    between the parties arising out of or affecting this agreement, or the rights or obligations of any party hereunder, unless
    such waiver or modification is in writing, duly executed as aforesaid.
	 	 
	23.3	the
    provisions of this paragraph may not be waived as set forth herein.

 

    	 

    	 

    

 

ARTICLE
24- AFFIRMATION AND EXECUTION

 

	Kainai Cooperative	 	2478659 Ontario Ltd.
	 	 	 	 	 
	Signature    	 /s/
    Chris Shade	 	Signature	 /s/
    Robert Marchioni
	Name    	 Chris
    Shade	 	Name
    	 Robert
    Marchioni
	Title    	 Chairman	 	Title
    	 President
	 	 	 	 	 
	Signed
    and Delivered on January 7, 2018, in the presence of:
	 	 	 	 	 
	Witness	 	 	Witness	 
	Signature
    	 /s/
    Eugene Fox	 	Signature
    	 /s/
    Gabriel Petricca
	Name
    	 Eugene
    Fox	 	Name
    	 Gabriel
    Petricca

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