Document:

Exhibit 10.1

 

EXHIBIT B to CONFIDENTIAL OFFERING MEMORANDUM

 

SUBSCRIPTION DOCUMENTS

 

EASTSIDE DISTILLING, INC.

 

Offering of up to $1,040,000 of

Units consisting of Common Stock and Warrants

(800,000 Units)

 

CONTENTS

 

Instructions for Subscription

 

		Section A:	General Instructions - Wiring and Check Instructions

 

		Section B:	Subscription Agreement

 

		Section C:	Confidential Purchaser Questionnaire

 

     

     

    

 

SECTION A

 

INSTRUCTIONS FOR SUBSCRIPTION FOR UNITS

 

Each subscriber for Units offered
must do the following:

 

		1.	Complete, sign and deliver the Subscription Agreement (Section B) included in this Subscription
Booklet.

 

		2.	Complete, sign and deliver the Confidential Purchaser Questionnaire (Section C) included in this
Subscription Booklet.

 

		3.	Deliver payment in the amount of $1.30 per Unit subscribed for in accordance with the wire transfer
and check instructions as indicated in the Subscription Agreement (Section B).

 

		4.	All subscriptions from partnerships, corporations, trusts, or limited liability companies must
be accompanied by resolutions of the appropriate corporate authority (board of directors, trustee or managing partners or members)
and trust documents evidencing the authorization and power to make the subscription.

 

Delivery of the
completed subscription documents described above and check (if applicable) should be delivered directly to the Company at the following
address:

 

Eastside Distilling, Inc.

1805 SE Martin Luther King Jr. Blvd.

Portland, Oregon 97214

Email: SShum@eastsidedistilling.com

Attention: Chief Financial Officer

 

The Company may accept or reject subscriptions,
in whole or in part, in its sole discretion. The offering is available only to “accredited investors” as defined under
Regulation D under the Securities Act of 1933, as amended. All investors must have such knowledge and experience in financial and
business matters that they are each capable of evaluating the merits and risks of the prospective investment, or the Company must
reasonably believe immediately prior to making any sale that such purchaser comes within this description. The Confidential Purchaser
Questionnaire (Section C of this Subscription Booklet) will be used by the Company in assessing whether the subscribers are suitable
investors. In the event a subscription offer is not accepted by the Company, the subscription funds shall be returned to the subscriber,
without interest or deduction thereon.

 

    	 	A-1	 

     

    

 

SECTION B

 

SUBSCRIPTION AGREEMENT

 

EASTSIDE DISTILLING, INC.

 

Please review, sign on page B-15 or page
B-17, and return to:

 

Eastside Distilling, Inc.

1805 SE Martin Luther King Jr. Blvd.

Portland, Oregon 97214

Email: steven@eastsidedistilling.com

Attention: Chief Executive Officer

 

     

     

    

 

EASTSIDE DISTILLING, INC.

 

SUBSCRIPTION AGREEMENT

 

The undersigned (hereinafter
“Subscriber”) hereby confirms his/her/its subscription for the purchase of units (“Units”)
of Eastside Distilling, Inc., a Nevada corporation (the “Company”), on the terms described below, with each
Unit consisting of:

 

(a)       One
share (collectively, the “Shares”) of the Company’s common stock, par value $0.0001 per share (the “Common
Stock”).

 

(b)       a
warrant (collectively, the “Warrants”) to purchase, at any time prior to the third anniversary of the date of
issuance of the Warrant, one (1) share of Common Stock at the exercise price of $2.50 per whole share of Common Stock (the “Warrant
Exercise Price”). The shares of Common Stock underlying each Warrant are referred to herein as the “Warrant
Shares.”

 

The Units, the Shares,
the Warrants and the Warrant Shares are sometimes referred to collectively herein as the “Securities.”

 

In connection with this
subscription, Subscriber and the Company agree as follows:

 

1.       Purchase
and Sale of the Units.

 

(a)       The
Company hereby agrees to issue and to sell to Subscriber, and Subscriber hereby agrees to purchase from the Company, a number of
Units at a price equal to $1.30 per Unit (the “Unit Price”) and for the aggregate subscription amount set forth
on the signature page hereto. The form of Warrant is attached as Exhibit A to the Offering Memorandum (defined below). Upon acceptance
of this Subscription Agreement by the Company, the Company shall issue and deliver to Subscriber a share certificate and a warrant
certificate evidencing the applicable number of Shares and Warrants subscribed for against payment in U.S. Dollars of the Purchase
Price (as defined below).

 

(b)       Subscriber
has hereby delivered and paid concurrently herewith the aggregate purchase price (the “Purchase Price”) set
forth on the signature page hereof required to purchase the Units subscribed for hereunder which amount has been paid in U.S. Dollars
by cash, wire transfer, check, or cancellation of indebtedness, subject to collection, to the order of “Eastside Distilling,
Inc.”

 

(c)       Subscriber
understands and acknowledges that this subscription is part of a proposed placement by the Company of up to $1,040,000 of Units
(800,000 Units), which offering is being made on a “best efforts” basis (the “Offering”). During
the Offering Period, funds will be held in an account established by the Company and released at the discretion of the Company
from time to time. If a subscription is not accepted, whether in whole or in part, the subscription funds held therein will be
returned to the investor without interest or deduction.

 

    	 	B-1	 

     

    

 

2.       Covenants,
Representations and Warranties of Subscriber. Subscriber covenants with, and represents and warrants to, the Company as follows:

 

(a)       The
Confidential Purchaser Questionnaire has been completed, signed and delivered to the Company by the Subscriber and is, as of the
date hereof, true, complete, and correct in all respects.

 

(b)       The
undersigned has such knowledge and experience in financial and business matters so as to be capable of evaluating the merits and
risks of an investment in the Securities and protecting the undersigned’s own interests in this transaction, and does not
desire to utilize the services of any other person in connection with evaluating such merits and risks.

 

(c)       The
Subscriber acknowledges that the offering of the Securities is subject to the Federal securities laws of the United States and
state securities laws of those states in which the Units are offered.

 

(d)       The
Subscriber represents and warrants that it is an “accredited investor” as such term is defined in the Securities Act
of 1933, as amended (the “Act”) and that the Subscriber comes within the category so initialed and has truthfully
set forth the factual basis or reason the Subscriber comes within that category. All information in response to this paragraph
will be kept strictly confidential, unless required to be disclosed by the Staff of the Securities and Exchange Commission (the
“SEC”) or otherwise by law. The Subscriber agrees to furnish any additional information which the Company deems
necessary in order to verify the answers set forth below.

 

(e)       Subscriber
acknowledges and understands that the Securities are being purchased for investment purposes and not with a view to distribution
or resale, nor with the intention of selling, transferring or otherwise disposing of all or any part thereof for any particular
price, or at any particular time, or upon the happening of any particular event or circumstances, except selling, transferring,
or disposing of the Securities made in full compliance with all applicable provisions of the Act, the rules and regulations promulgated
by the SEC thereunder, and applicable state securities laws; and that an investment in the Securities is not a liquid investment.

 

(f)        Subscriber
acknowledges the Securities must be held indefinitely unless subsequently registered under the Act or unless an exemption from
such registration is available. Subscriber is aware of the provisions of Rule 144 promulgated under the Act, which permit limited
resale of common stock purchased in a private placement subject to the satisfaction of certain conditions, including, among other
things, the existence of a public market for the common stock, the availability of certain current public information about the
Company, the resale occurring not less than six-months after a party has purchased and paid for the security to be sold.

 

    	 	B-2	 

     

    

 

(g)       Subscriber
acknowledges that Subscriber has had the opportunity to ask questions of, and receive answers from the Company or any person acting
on its behalf concerning the Company and its business and to obtain any additional information, to the extent possessed by the
Company (or to the extent it could have been acquired by the Company without unreasonable effort or expense) necessary to verify
the accuracy of the information received by Subscriber. In connection therewith, Subscriber acknowledges that Subscriber has had
the opportunity to discuss the Company’s business, management and financial affairs with the Company’s management or
any person acting on its behalf. Subscriber has received and reviewed the Company’s Offering Memorandum, dated November 21,
2016, including the exhibits thereto (the “Offering Memorandum”) pertaining to the Unit Offering, and all the
information, both written and oral, that it desires. Without limiting the generality of the foregoing, Subscriber has been furnished
with or has had the opportunity to acquire, and to review: (i) copies of all of the Company’s publicly available documents,
and (ii) all information, both written and oral, it desires with respect to the Company’s business, management, financial
affairs and prospects. In determining whether to make this investment, Subscriber has relied solely on Subscriber’s own knowledge
and understanding of the Company and its business based upon Subscriber’s own due diligence investigations and the information
furnished pursuant to this paragraph. Subscriber understands that no person has been authorized to give any information or to make
any representations that were not furnished pursuant to this paragraph, and Subscriber has not relied on any other representations
or information.

 

(h)       Subscriber
has all requisite legal and other power and authority to execute and deliver this Subscription Agreement and to carry out and perform
Subscriber’s obligations under the terms of this Subscription Agreement. This Subscription Agreement constitutes a valid
and legally binding obligation of Subscriber, enforceable in accordance with its terms, and subject to laws of general application
relating to bankruptcy, insolvency and the relief of debtors and rules of law governing specific performance, injunctive relief
or other general principals of equity, whether such enforcement is considered in a proceeding in equity or law.

 

(i)        Subscriber
has carefully considered and has discussed with the Subscriber’s professional legal, tax, accounting and financial advisors,
to the extent Subscriber has deemed necessary, the suitability of this investment and the transactions contemplated by this Subscription
Agreement for the Subscriber’s particular federal, state, local and foreign tax and financial situation and has determined
that this investment and the transactions contemplated by this Subscription Agreement are a suitable investment for the Subscriber.
Subscriber relies solely on such advisors and not on any statements or representations of the Company or any of its agents. Subscriber
understands that Subscriber (and not the Company) shall be responsible for Subscriber’s own tax liabilities which may arise
as a result of this investment or the transactions contemplated by this Subscription Agreement.

 

(j)        Neither
this Subscription Agreement nor the Confidential Purchaser Questionnaire contain any untrue statement of a material fact or omit
any material fact concerning Subscriber.

 

(k)       There
are no actions, suits, proceedings or investigations pending against Subscriber or Subscriber’s properties before any court
or governmental agency (nor, to Subscriber’s knowledge, is there any threat thereof) which would impair in any way Subscriber’s
ability to enter into and fully perform Subscriber’s commitments and obligations under this Subscription Agreement or the
transactions contemplated hereby.

 

    	 	B-3	 

     

    

 

(l)        The
execution, delivery and performance of and compliance with this Subscription Agreement and the issuance of the Securities will
not result in any material violation of, or conflict with, or constitute a material default under, any of Subscriber’s articles
of incorporation or bylaws or other governing documents, if applicable, or any of Subscriber’s material agreements nor result
in the creation of any mortgage, pledge, lien, encumbrance or charge against any of the assets or properties of Subscriber or the
Securities.

 

(m)       Subscriber
acknowledges the Securities are speculative and involve a high degree of risk and that Subscriber can bear the economic risk of
the purchase of the Securities, including a total loss of his/her/its investment.

 

(n)       Subscriber
acknowledges he/she/it has carefully reviewed and considered the Offering Memorandum, including the risk factors discussed in the
“Risk Factors” section of the Offering Memorandum prior to making an investment decision.

 

(o)       Subscriber
recognizes that no federal, state or foreign agency has recommended or endorsed the purchase of the Securities.

 

(p)       Subscriber
is aware the Securities are and will be, when issued, “restricted securities” as that term is defined in Rule 144 of
the general rules and regulations under the Act.

 

(q)       Subscriber
understands any and all certificates representing the Securities and any and all securities issued in replacement thereof or in
exchange therefore shall bear the following legend or one substantially similar thereto, which Subscriber has read and understands:

 

“THE SECURITIES REPRESENTED HEREBY
HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAWS AND NEITHER THE SECURITIES
NOR ANY INTEREST THEREIN MAY BE OFFERED, SOLD, TRANSFERRED, PLEDGED OR OTHERWISE DISPOSED OF EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION
STATEMENT UNDER SUCH ACT OR SUCH LAWS OR AN EXEMPTION FROM REGISTRATION UNDER SUCH ACT AND SUCH LAWS WHICH, IN THE OPINION OF COUNSEL
FOR THIS CORPORATION, IS AVAILABLE.”

 

(r)        Because
of the restrictions imposed on resale, Subscriber understands the Company shall have the right to note stop-transfer instructions
in its stock transfer records, and Subscriber has been informed of the Company’s intention to do so. Any sales, transfers,
or any other dispositions of the Securities by Subscriber, if any, will be in compliance with the Act.

 

(s)       Subscriber
acknowledges that Subscriber has such knowledge and experience in financial and business matters that he/she/it is capable of evaluating
the merits and risks of an investment in the Securities and of making an informed investment decision.

 

    	 	B-4	 

     

    

 

(t)        Subscriber
represents: (i) Subscriber is able to bear the economic risks of an investment in the Securities and to afford the complete loss
of the investment, and (ii) (A) Subscriber could be reasonably assumed to have the capacity to protect his/her/its own interests
in connection with this subscription; or (B) Subscriber has a pre-existing personal or business relationship with either the Company
or any affiliate thereof of such duration and nature as would enable a reasonably prudent purchaser to be aware of the character,
business acumen and general business and financial circumstances of the Company or such affiliate and is otherwise personally qualified
to evaluate and assess the risks, nature and other aspects of this subscription.

 

(u)       Subscriber
further represents the address set forth in the Confidential Purchaser Questionnaire is his/her principal residence (or, if Subscriber
is a company, partnership or other entity, the address of its principal place of business); that Subscriber is purchasing the Securities
for Subscriber’s own account and not, in whole or in part, for the account of any other person; Subscriber is purchasing
the Securities for investment and not with a view to resale or distribution; and Subscriber has not formed any entity for the purpose
of purchasing the Securities.

 

(v)       Subscriber
understands the Company shall have the unconditional right to accept or reject each subscription, in whole or in part, for any
reason or without a specific reason, in the sole and absolute discretion of the Company (even after receipt and clearance of Subscriber’s
funds). No subscription will be binding upon the Company until accepted by an authorized officer of the Company. In the event the
subscription is rejected, Subscriber’s subscription funds will be returned without interest thereon or deduction therefrom.

 

(v)       Subscriber
has not been furnished with any oral representation or oral information in connection with the offering of the Securities that
is not contained in the Offering Memorandum and this Subscription Agreement.

 

(w)      Subscriber
represents that Subscriber is not subscribing for Securities as a result of or subsequent to any advertisement, article, notice
or other communication published in any newspaper, magazine or similar media or broadcast over the Internet, television or radio
or presented at any seminar or meeting.

 

(w)       Subscriber
has carefully read this Subscription Agreement, Warrant, and the Offering Memorandum, and Subscriber has accurately completed the
Confidential Purchaser Questionnaire that accompanies this Subscription Agreement.

 

(x)       No
representations or warranties have been made to Subscriber by the Company, or any officer, employee, agent, affiliate or subsidiary
of the Company, other than the representations of the Company contained herein, and in subscribing for the Securities, Subscriber
is not relying upon any representations other than those contained in the Offering Memorandum or in this Subscription Agreement.

 

(y)       Subscriber
represents and warrants, to the best of its knowledge, that other than set forth in the Offering Memorandum, no finder, broker,
agent, financial advisor or other intermediary, nor any purchaser representative or any broker-dealer acting as a broker, is entitled
to any compensation in connection with the transactions contemplated by this Subscription Agreement.

 

    	 	B-5	 

     

    

 

(z)       Subscriber
represents and warrants that Subscriber: (i) has not distributed or reproduced the Offering Memorandum, in whole or in part, at
any time, without the prior written consent of the Company; and (ii) for one (1) year from the date hereof, or until such time
as the information noted in this Clause (ii) becomes publicly available, will keep confidential the existence of the Offering Memorandum
and the information contained therein, and the Subscriber further represents and warrants that it will not make available such
information in connection with any further investigation of the Company and will not use the information about the Company for
any other purpose.

 

(aa)     If Subscriber is
a trust, this investment, together with all other securities of the Company held by the trust, does not exceed 10% of the trust
assets.

 

3.       Covenants,
Representations and Warranties of the Company. The Company covenants with, and represents and warrants to, Subscriber as follows:

 

(a)       The
Company is duly organized and validly exists as a corporation in good standing under the laws of the State of Nevada.

 

(b)       The
Company has all such corporate power and authority to enter into, deliver and perform its obligations under this Subscription Agreement
and the Warrant.

 

(c)       All
necessary corporate action has been duly and validly taken by the Company to authorize the execution, delivery and performance
of this Subscription Agreement and the Warrant by the Company, and the issuance and sale of the Securities to be sold by the Company
pursuant to this Subscription Agreement and the Warrant. This Subscription Agreement and the Warrant have been duly and validly
authorized, executed and delivered by the Company and constitutes the legal, valid and binding obligation of the Company enforceable
against the Company in accordance with its terms, except as the enforceability thereof may be limited by bankruptcy, insolvency,
reorganization, moratorium or other similar laws affecting the enforcement of creditors’ rights generally and by general
equitable principles.

 

(d)       As
of the date hereof, there is no litigation, arbitration, claim, governmental or other proceeding (formal or informal), or investigation
pending or to the Company's knowledge threatened, with respect to the Company, or its respective operations, businesses, properties,
or assets, except as properly described in the Offering Memorandum or Company filings made with the SEC or such as individually
or in the aggregate do not now have and will not, to the best knowledge of the Company, in the future have a material adverse effect
upon the operations, business, properties or assets of the Company. The Company is not, nor as of each Closing Date shall be, in
violation of, or in default with respect to, any law, rule, regulation, order, judgment or decree, except as properly described
in the Offering Memorandum or Company filings made with the SEC or such as individually or in the aggregate do not have and will
not in the future have a material adverse effect upon the operations, business, properties, or assets of the Company; nor is the
Company required to take any action in order to avoid any such violation or default.

 

    	 	B-6	 

     

    

 

(e)       The
Units (and component parts) to be issued and sold to the undersigned as provided in this Subscription Agreement have been duly
authorized and when issued and delivered against payment therefor, will be validly issued, fully paid and non-assessable. The Warrants
are exercisable for Common Stock and the shares of Common Stock issuable upon exercise of the Warrants have been duly authorized
and when issued and delivered upon exercise and due payment therefor will be validly issued, fully paid and non-assessable. The
Company has reserved sufficient shares of Common Stock to be issued upon exercise of the Warrants.

.

(f)       The
Offering Memorandum and/or information provided by the Company to the undersigned hereof does not and shall not contain any untrue
statement of a material fact or omit to state any material fact required to be stated therein or necessary to make the statements
therein in light of circumstances made therein not misleading.

 

4.       Indemnification.
Subscriber agrees to indemnify and hold harmless the Company and its officers, directors, employees, shareholders, agents representatives
and affiliates, and any person acting on behalf of the Company, from and against any and all damage, loss, liability, cost and
expense (including reasonable attorneys’ fees) which any of them may incur by reason of the failure by Subscriber to fulfill
any of the terms and conditions of this Subscription Agreement, or by reason of any breach of the representations and warranties
made by Subscriber herein, or in any other document provided by Subscriber to the Company. All representations, warranties and
covenants of each of Subscriber and the Company contained herein shall survive the acceptance of this subscription.

 

5.       Patriot
Act Compliance. (Terms used in this section are defined in paragraph (d) below.)

 

To induce the Company to
accept the undersigned’s investment, the undersigned hereby makes the following representations, warranties and covenants
to the Company:

 

(a)       The
undersigned represents and warrants that no holder of any beneficial interest in the undersigned’s equity securities of the
Company (each a “Beneficial Interest Holder”) and, no Related Person (in the case the undersigned is an entity)
is or will be:

 

		(1)	A person or entity whose name appears on the list of specially designated nationals and blocked
persons maintained by the Office of Foreign Asset Control from time to time;

 

		(2)	A Foreign Shell Bank; or

 

		(3)	A person or entity resident in or whose subscription funds are transferred from or through an account
in a Non-Cooperative Jurisdiction.

 

(b)       The
undersigned represents that the bank or other financial institution (the “Wiring Institution”) from which the
undersigned’s funds will be wired is located in a FATF Country.

 

    	 	B-7	 

     

    

 

(c)       The
undersigned represents that:

 

		(1)	Neither it, any Beneficial Interest Holder nor any Related
Person (in the case of the undersigned is an entity) is a Senior Foreign Political Figure, any member of a Senior Foreign Political
Figure’s Immediate Family or any Close Associate of a Senior Foreign Political Figure;

 

		(2)	Neither it, any Beneficial Interest Holder nor any Related Person (in the case the undersigned
is an entity) is resident in, or organized or chartered under the laws of, a jurisdiction designated by the Secretary of the Treasury
under Section 311 or 312 of the USA PATRIOT Act as warranting special measures due to money laundering concerns; and

 

		(3)	Its investment funds do not originate from, nor will they be routed through, an account maintained
at a Foreign Shell Bank, an “offshore bank,” or a bank organized or chartered under the laws of a Non-Cooperative Jurisdiction.

 

(d)       Definitions:

 

Close Associate: With
respect to a Senior Foreign Political Figure, a person who is widely and publicly known internationally to maintain an unusually
close relationship with the Senior Foreign Political Figure, and includes a person who is in a position to conduct substantial
domestic and international financial transactions on behalf of the Senior Foreign Political Figure.

 

FATF: The Financial
Action Task Force on Money Laundering.

 

FATF Country: A country
that is a member of FATF. As of September 1, 2003, the countries which are members of FATF are: Argentina; Australia; Austria;
Belgium; Brazil; Canada; Denmark; Finland; France; Germany; Greece; Hong Kong; Iceland; Ireland; Italy; Japan; Luxembourg; Mexico;
Kingdom of the Netherlands; New Zealand; Norway; Portugal; Singapore; South Africa; Spain; Sweden; Switzerland; Turkey; United
Kingdom and United States. For a current list of FATF members see http://www1.oecd.org/fatf/Members_en.htm.

 

Foreign Bank: An organization
which (i) is organized under the laws of a country outside the United States; (ii) engages in the business of banking; (iii) is
recognized as a bank by the bank supervisory or monetary authority of the country of its organization or principal banking operations;
(iv) receives deposits to a substantial extent in the regular course of its business; and (v) has the power to accept demand deposits,
but does not include the U.S. branches or agencies of a foreign bank.

 

Foreign Shell Bank:
A Foreign Bank without a Physical Presence in any country, but does not include a Regulated Affiliate.

 

Government Entity:
Any government or any state, department or other political subdivision thereof, or any governmental body, agency, authority or
instrumentality in any jurisdiction exercising executive, legislative, regulatory or administrative functions of or pertaining
to government.

 

Immediate Family:
With respect to a Senior Foreign Political Figure, typically includes the political figure’s parents, siblings, spouse, children
and in-laws.

 

    	 	B-8	 

     

    

 

Non-Cooperative Jurisdiction:
Any foreign country or territory that has been designated as non-cooperative with international anti-money laundering principles
or procedures by an intergovernmental group or organization, such as FATF, of which the United States is a member and with which
designation the United States representative to the group or organization continues to concur. See http://www1.oecd.org/fatf/NCCT_en.htm
for FATF’s list of non-cooperative countries and territories.

 

Physical Presence:
A place of business maintained by a Foreign Bank and is located at a fixed address, other than solely a post office box or an electronic
address, in a country in which the Foreign Bank is authorized to conduct banking activities, at which location the Foreign Bank:
(a) employs one or more individuals on a full-time basis; (b) maintains operating records related to its banking activities; and
(c) is subject to inspection by the banking authority that licensed the Foreign Bank to conduct banking activities.

 

Publicly Traded Company:
An entity whose securities are listed on a recognized securities exchange or quoted on an automated quotation system in the U.S.
or country other than a Non-Cooperative Jurisdiction or a wholly-owned subsidiary of such an entity.

 

Qualified Plan: A
tax qualified pension or retirement plan in which at least 100 employees participate that is maintained by an employer organized
in the U.S. or is a U.S. Government Entity.

 

Regulated Affiliate:
A Foreign Shell Bank that: (a) is an affiliate of a depository institution, credit union or Foreign Bank that maintains a Physical
Presence in the U.S. or a foreign country, as applicable; and (b) is subject to supervision by a banking authority in the country
regulating such affiliated depository institution, credit union or Foreign Bank.

 

Related Person: With
respect to any entity, any interest holder, director, senior officer, trustee, beneficiary or grantor of such entity; provided
that in the case of an entity that is a Publicly Traded Company or a Qualified Plan, the term “Related Person” shall
exclude any interest holder holding less than 5% of any class of securities of such Publicly Traded Company and beneficiaries of
such Qualified Plan.

 

Senior Foreign Political
Figure: A senior official in the executive, legislative, administrative, military or judicial branches of a non-U.S. government
(whether elected or not), a senior official of a major non-U.S. political party, or a senior executive of a non-U.S. government-owned
corporation. In addition, a Senior Foreign Political Figure includes any corporation, business or other entity that has been formed
by, or for the benefit of, a Senior Foreign Political Figure.

 

USA PATRIOT Act: The
Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism (USA PATRIOT Act)
Act of 2001 (Pub. L. No. 107-56).

 

    	 	B-9	 

     

    

 

6.       Independent
Nature of Subscriber’s Obligations and Rights. The obligations of the Subscriber under this Agreement and any other documents
delivered in connection herewith and therewith (collectively, the “Transaction Documents”) are several and not
joint with the obligations of any other purchaser of Units, and the Subscriber is not responsible in any way for the performance
of the obligations of any other purchaser of Units under any Transaction Document. The decision of the Subscriber to purchase Units
pursuant to the Transaction Documents has been made by the Subscriber independently of any other purchaser of Units. Nothing contained
herein or in any Transaction Document, and no action taken by any purchaser of Units pursuant thereto, shall be deemed to constitute
such purchasers as a partnership, an association, a joint venture, or any other kind of entity, or create a presumption that the
purchasers of Units are in any way acting in concert or as a group with respect to such obligations or the transactions contemplated
by the Transaction Documents. The Subscriber acknowledges that no other purchaser of Units has acted as agent for the Subscriber
in connection with making its investment hereunder and that no other purchaser of Units will be acting as agent of the Subscriber
in connection with monitoring its investment in the Units or enforcing its rights under the Transaction Documents. The Subscriber
shall be entitled to independently protect and enforce its rights, including without limitation the rights arising out of this
Agreement or out of the other Transaction Documents, and it shall not be necessary for any other purchaser of Units to be joined
as an additional party in any proceeding for such purpose.

 

7.       Miscellaneous.

 

(a)       Subscriber
agrees not to transfer or assign this Subscription Agreement or any of Subscriber’s interest herein and further agrees that
the transfer or assignment of the Securities acquired pursuant hereto shall be made only in accordance with all applicable laws.

 

(b)       Subscriber
agrees that Subscriber cannot cancel, terminate or revoke this Subscription Agreement or any agreement of Subscriber made hereunder,
and this Subscription Agreement shall survive the death or legal disability of Subscriber and shall be binding upon Subscriber’s
heirs, executors, administrators, successors and permitted assigns.

 

(c)       Subscriber
has read and accurately completed this entire Subscription Agreement and Offering Memorandum (including all Exhibits attached thereto).

 

(d)       This
Subscription Agreement constitutes the entire agreement among the parties hereto with respect to the subject matter hereof and
may be amended only by a written execution by all parties.

 

(e)       Subscriber
acknowledges it has been advised to consult with his/her/its own attorney regarding this subscription and Subscriber has done so
to the extent that Subscriber deems appropriate. Subscriber understands and agrees that Subscriber has not been represented in
this transaction by counsel to the Company.

 

(f)        Any
notice or other document required or permitted to be given or delivered to the Subscriber shall be in writing and sent: (i) by
registered or certified mail with return receipt requested (postage prepaid) or (ii) by a recognized overnight delivery service
(with charges prepaid).

 

If to the Company, at:

 

Eastside Distilling, Inc.

1805 SE Martin Luther King Jr Blvd.

Portland, Oregon 97214

 

    	 	B-10	 

     

    

 

Email: SShum@eastsidedistilling.com

Attn.: Chief
Financial Officer

 

If to the Subscriber,
at its address set forth on the signature page to this Subscription Agreement, or such other address as it shall have specified
to the Company in writing.

 

(g)       Failure
of the Company to exercise any right or remedy under this Subscription Agreement or any other agreement between the Company and
the Subscriber, or otherwise, or delay by the Company in exercising such right or remedy, will not operate as a waiver thereof.
No waiver by the Company will be effective unless and until it is in writing and signed by the Company.

 

(h)       This
Subscription Agreement shall be enforced, governed and construed in all respects in accordance with the laws of the State of Nevada,
as such laws are applied by the Nevada courts except with respect to the conflicts of law provisions thereof, and shall be binding
upon the Subscriber, the Subscriber’s heirs, estate, legal representatives, successors and assigns and shall inure to the
benefit of the Company, its successors and assigns.

 

(i)        Any
legal suit, action or proceeding arising out of or relating to this Subscription Agreement or the transactions contemplated hereby
shall be instituted exclusively in state or federal courts located in City of Portland, State of Oregon (the “Oregon Courts”).
The parties hereto hereby: (i) waive any objection which they may now have or hereafter have to the venue of any such suit, action
or proceeding, and (ii) irrevocably consent to the jurisdiction of the applicable Oregon Court in any such suit, action or proceeding.
The parties further agree to accept and acknowledge service of any and all process which may be served in any such suit, action
or proceeding in the Oregon Courts and agree that service of process upon a party mailed by certified mail to such party’s
address shall be deemed in every respect effective service of process upon such party in any such suit, action or proceeding.

 

(j)       If
any provision of this Subscription Agreement is held to be invalid or unenforceable under any applicable statute or rule of law,
then such provision shall be deemed modified to conform to such statute or rule of law. Any provision hereof that may prove invalid
or unenforceable under any law shall not affect the validity or enforceability of any other provisions hereof.

 

(k)       The
parties understand and agree money damages would not be a sufficient remedy for any breach of the Subscription Agreement by the
Company or the Subscriber and that the party against which such breach is committed shall be entitled to equitable relief, including
injunction and specific performance, as a remedy for any such breach. Such remedies shall not be deemed to be the exclusive remedies
for a breach by either party of the Subscription Agreement but shall be in addition to all other remedies available at law or equity
to the party against which such breach is committed.

 

(l)       All
pronouns and any variations thereof used herein shall be deemed to refer to the masculine, feminine, singular or plural, as identity
of the person or persons may require.

 

    	 	B-11	 

     

    

 

(m)       This
Subscription Agreement may be executed in counterparts and by facsimile, each of which shall be deemed an original, but all of
which shall constitute one and the same instrument.

 

[Signature Pages Follow]

 

    	 	B-12	 

     

    

 

Signature Page for Individuals:

 

IN WITNESS WHEREOF, Subscriber
has caused this Subscription Agreement to be executed as of the date indicated below.

 

	$______________________ ($1.30 per Unit)	 	 
	
        Purchase Price

         
	 	Number of Units
	 	 	 
	
        Print or Type Name

         
	 	
        Print or Type Name (Joint-owner)

         

	 	 	 
	
        Signature

         
	 	
        Signature (Joint-owner)

         

	 	 	 
	
        Date

         
	 	
        Date (Joint-owner)

         

	 	 	 
	
        IRS Taxpayer Identification Number

         
	 	
        IRS Taxpayer Identification Number (Joint-owner)

         

	 	 	 
	Address	 	Address (Joint-owner)
	 	 	 
	Telephone Number	 	Telephone Number
	 	 	 
	Fax Number	 	Fax Number
	 	 	 
	E-mail Address	 	E-mail Address

 

Type of Ownership

 

		 ̈	Individual

		 ̈	Tenants in common

		 ̈	Joint tenants with right of survivorship

		 ̈	Community property (check only if resident of community property state)

		 ̈	Other (please specify:____________________)

 

Wiring Instructions:

Bank Name: Chase

ABA: #021000021

SWIFT: CHASUS33

Tel Number: (503) 238-3250

Address: 3902 SE Hawthorne Blvd.
Portland, OR 97214

Acct #: 658397315

Acct. Name: Eastside Distilling,
Inc.

 

    	 	B-13	 

     

    

 

Partnerships, Corporations or Other Entities:

 

IN WITNESS WHEREOF, Subscriber
has caused this Subscription Agreement to be executed as of the date indicated below.

 

	$ ______________________ ($1.30 per Unit)	 	 
	Total Purchase Price	 	Number of Units

 

	 
	Print or Type Name of Entity
	 
	Address

 

	 	 
	Telephone Number	 
	 	 
	 	 
	Fax Number	 
	 	 
	 	 
	Email Address	 

 

	 	 	 
	Taxpayer I.D. No. (if applicable)	 	Date

 

	By:	 	 	 
	Signature:	Name:	 	Print or Type Name and Indicate
	 	Title:	 	Title or Position with Entity

 

	 	 	 
	Signature (other authorized signatory)	 	Print or Type Name and Indicate
	 	 	Title or Position with Entity

 

Type of Ownership

 

		 ̈	Corporation

		 ̈	Limited Liability Company

		 ̈	Partnership

		 ̈	Trust

		 ̈	Other (please specify:____________________)

 

    	 	B-14	 

     

    

 

All subscriptions from partnerships, corporations,
trusts or limited liability companies must be accompanied by resolutions of the appropriate corporate authority (board of directors,
trustee or managing partner or members, as applicable) and trust documents evidencing the authorization and power to make the subscription.

 

Wiring Instructions:

 

Bank Name: Chase

ABA: #021000021

SWIFT: CHASUS33

Tel Number: (503) 238-3250

Address: 3902 SE Hawthorne Blvd.
Portland, OR 97214

Acct #: 658397315

Acct. Name: Eastside Distilling,
Inc.

 

    	 	B-15	 

     

    

 

SUBSCRIPTION ACCEPTANCE BY EASTSIDE DISTILLING
INC.

 

IN WITNESS WHEREOF, the
Company has caused this Subscription Agreement to be executed, and the foregoing subscription accepted, as of the date indicated
below.

 

	 	Eastside Distilling, Inc.
	 	 	 
	 	By:  	 
	 	Name:	 
	 	Title:	 

 

Date: _______________________, 2016

 

    	 	B-16	 

     

    

 

SECTION C

 

CONFIDENTIAL PURCHASER QUESTIONNAIRE

 

Please review, sign on page C-9, and return
to:

 

Eastside Distilling, Inc.

1805 SE Martin Luther King Jr. Blvd.

Portland, Oregon 97214

Phone 971-888-4264

Fax No.: 866-554-0271

Email: SShum@eastsidedistilling.com

Attention: Chief Financial Officer

 

     

     

    

 

CONFIDENTIAL PURCHASER QUESTIONNAIRE

 

THIS QUESTIONNAIRE WILL BE USED IN CONNECTION
WITH THE UNDERSIGNED’S EXPRESSED INTEREST IN A PROPOSED INVESTMENT IN EASTSIDE DISTILLING, INC. (THE “COMPANY”).

 

THE COMPANY SHALL HAVE THE RIGHT TO FULLY RELY
ON THE REPRESENTATIONS AND WARRANTIES CONTAINED HEREIN UNTIL SUCH TIME AS THE UNDERSIGNED HAS FURNISHED AN AMENDED CONFIDENTIAL
PURCHASER QUESTIONNAIRE.

 

THIS QUESTIONNAIRE MUST BE ANSWERED FULLY AND
RETURNED TO THE COMPANY

 

THE INFORMATION SUPPLIED IN THIS QUESTIONNAIRE
WILL BE HELD IN STRICT CONFIDENCE. NO INFORMATION WILL BE DISCLOSED EXCEPT TO THE EXTENT THAT SUCH DISCLOSURE IS REQUIRED BY LAW
OR REGULATION, OTHERWISE DEMANDED BY PROPER LEGAL PROCESS OR IN LITIGATION INVOLVING THE COMPANY AND ITS CONTROLLING PERSONS.

 

		(1)	The undersigned represents and warrants that has such knowledge and experience in financial and
business matters so as to be capable of evaluating the merits and risks of an investment in the Units and protecting the undersigned’s
own interests in this transaction, and does not desire to utilize the services of any other person in connection with evaluating
such merits and risks.

 

		(2)	By initialing one of the categories below, the Subscriber represents and warrants that the Subscriber
is an “accredited investor” as such term is defined in the Securities Act of 1933, as amended and that Subscriber comes
within the category so initialed and has truthfully set forth the factual basis or reason the Subscriber comes within that category.
All information in response to this paragraph will be kept strictly confidential. The Subscriber agrees to furnish any additional
information which the Company deems necessary in order to verify the answers set forth below.

 

	Category I       ______	 	The Subscriber is a director or executive officer of the Company.
	 	 	 
	Category II       _____	 	The Subscriber is an individual (not a partnership, corporation, etc.) whose individual net worth, or joint net worth with the Subscriber’s spouse, presently exceeds $1,000,000, excluding the value of the primary residence of the Subscriber.
	 	 	 
	 	 	Explanation.  In calculation of net worth, the Subscriber may include equity in personal property and real estate (other than the primary residence of the Subscriber), including the Subscriber’s cash, short term investments, stocks, securities.  Equity in personal property and real estate should be based on the fair market value of such property less debt secured by such property.

 

    	 	C-1	 

     

    

 

 

	Category III       _____	 	The Subscriber is an individual (not a partnership, corporation, etc.) who had an individual income in excess of $200,000 in each of the two most recent years, or joint income with the Subscriber’s spouse in excess of $300,000 in each of the two most recent years, and has a reasonable expectation of reaching the same income level in the current year.
	 	 	 
	Category IV       _____	 	The undersigned is (i) a bank, as defined in Section 3(a)(2) of the Securities Act of 1933, as amended (the “Act”); (ii) a savings and loan association or other institution as defined in Section 3(a)(5)(A) of the Act, whether acting in its individual or fiduciary capacity; (iii) an insurance company as defined in Section 2(13) of the Act; (iv) an investment company registered under the Investment Company Act of 1940 or a business development company as defined in Section 2(a)(48) of that Act; (v) a Small Business Investment Company (SBIC) licensed by the U.S. Small Business Administration under Section 301(c) or (d) of the Small Business Investment Act of 1958; or (vi) a plan established and maintained by a state, its political subdivisions, or any agency or instrumentality of a state or its political subdivisions, for the benefit of its employees, if such plan has total assets in excess of $5,000,000;
	 	 	 
	 	 	 
	 	 	 
	 	 	 
	Category V       _____	 	The undersigned is an (i) employee benefit plan within the meaning of the Employee Retirement Income Security Act of 1974 if the investment decision is made by a plan fiduciary, as defined in Section 3(21) of such act, which is either a bank, savings and loan association, insurance company, or registered investment advisor, (ii) an employee benefit plan with total assets in excess of $5,000,000, or (iii) a self-directed employee benefit plan (including a self-directed individual retirement account or IRA, Keough or SEP plan) with investment decisions made solely by persons that are accredited investors (describe entity).
	 	 	 
	 	 	 
	 	 	 
	 	 	 
	Category VI       _____	 	The undersigned is a private business development company as defined in section 202(a) (22) of the Investment Advisors Act of 1940 (describe entity)  
	 	 	 
	 	 	 
	 	 	 

 

    	 	C-2	 

     

    

 

	Category VII       _____	 	The undersigned is either a corporation, limited liability company, partnership, Massachusetts business trust, or non-profit organization within the meaning of Section 501(c)(3) of the Internal Revenue Code, in each case not formed for the specific purpose of acquiring the Securities and with total assets in excess of $5,000,000. (describe entity)
	 	 	 
	 	 	 
	 	 	 
	 	 	 
	Category VIII       _____	 	The undersigned is a trust with total assets in excess of $5,000,000, not formed for the specific purpose of acquiring the Securities, where the purchase is directed by a “sophisticated investor” as defined in Regulation 506(b)(2)(ii) under the Act. (Must also answer Question 5 below).
	 	 	 
	Category IX       _____	 	The undersigned is an entity (other than a trust) in which all of the equity owners are “accredited investors” within one or more of the above categories.  If relying upon this category alone, each equity owner must complete a separate copy of this Purchaser Questionnaire.  (describe entity below)
	 	 	 
	 	 	 
	 	 	 
	 	 	 
	 	 	The undersigned agrees that the undersigned will notify SMH Capital at any time in the event that the representations and warranties in this Purchaser Questionnaire shall cease to be true, accurate and complete.

 

		(2)	Suitability (please answer each question)

 

		(a)	For an individual, please describe your current employment, including the company by which you
are employed and its principal business:

 

	 	 	 
	 	 	 
	 	 	 

 

		(b)	For an individual, please describe any college or graduate degrees held by you:

 

	 	 	 
	 	 	 
	 	 	 

 

		(c)	For all subscribers, please list types of prior investments:

 

	 	 	 
	 	 	 
	 	 	 

 

    	 	C-3	 

     

    

 

		(d)	For all subscribers, please state whether you have participated in other private placements
before:

 

YES      __________           NO       __________  

 

		(e)	If your answer to question (d) above was “YES”, please indicate frequency of such prior
participation in private placements of:

 

	 	 	Public

 Companies	 	Private 

Companies
	 	Frequently	 	 	 
	 	Occasionally	 	 	 
	 	Never	 	 	 

 

		(f)	For individuals, do you expect your current level of income to significantly decrease in the foreseeable
future?

 

YES       __________
          NO       __________  

 

		(g)	For trust, corporate, partnership and other institutional subscribers, do you expect your total
assets to significantly decrease in the foreseeable future?

 

YES       __________           NO       __________  

 

		(h)	For all subscribers, do you have any other investments or contingent liabilities which you reasonably
anticipate could cause you to need sudden cash requirements in excess of cash readily available to you?

 

YES       __________           NO       __________  

 

		(i)	For all subscribers, are you familiar with the risk aspects and the non-liquidity of investments
such as the Securities for which you seek to purchase?

 

YES       __________           NO       __________  

 

		(j)	For all subscribers, do you understand that there is no guarantee of financial return on this investment
and that you run the risk of losing your entire investment?

 

YES       __________           NO       __________ 

 

    	 	C-4	 

     

    

 

(3)       Manner
in which title is to be held: (circle one)

 

(a)       Individual
Ownership

(b)       Community
Property

(c)        Joint
Tenant with Right of Survivorship (both parties must sign)

(d)       Partnership

(e)       Tenants
in Common

(f)        Limited
Liability Company

(g)       Corporation

(h)       Trust

(i)        Other

 

(4)       FINRA
Affiliation.

 

Are you affiliated
or associated with a FINRA member firm (please check one):

 

YES       __________           NO       __________  

 

If Yes, please
describe:

 

_________________________________________________________

_________________________________________________________

_________________________________________________________

 

*If subscriber is a Registered Representative
with a FINRA member firm, have the following acknowledgment signed by the appropriate party:

 

The undersigned FINRA member firm acknowledges
receipt of the notice required by the FINRA Conduct Rules.

 

_________________________________

Name of FINRA Member Firm

 

By: ______________________________

              Authorized Officer

 

Date: ____________________________

 

(5)       For
Trust Subscribers

 

A. Certain trusts generally
may not qualify as accredited investors except under special circumstances. Therefore, if you intend to hold securities in whole
or in part through a trust, please answer each of the following questions.

 

    	 	C-5	 

     

    

 

 

Is the trustee of the trust
a national or state bank that is acting in its fiduciary capacity in making the investment on behalf of the trust?

 

	 	Yes  ̈	 	No  ̈

 

B. If the trust is a revocable
trust, please complete Question 1 below. If the trust is an irrevocable trust, please complete Question 2 below.

 

1.        REVOCABLE
TRUSTS

 

Can the trust be amended or revoked
at any time by its grantors:

 

	 	Yes  ̈	 	No  ̈

 

If yes, please answer the following
questions relating to each grantor (please add sheets if necessary):

 

Grantor Name: _________________________

 

Net worth of grantor
(including spouse, if applicable), including home, home furnishings and automobiles exceeds $1,000,000?

 

	 	Yes  ̈	 	No  ̈

 

OR

Income (exclusive
of any income attributable to spouse) was in excess of $200,000 for the prior two taxable years and is reasonably expected to be
in excess of $200,000 for the current taxable year?

 

	 	Yes  ̈	 	No  ̈

 

OR

 

Income (including
income attributable to spouse) was in excess of $300,000 for the prior two taxable years and is reasonably expected to be in excess
of $300,000 for the current taxable year?

 

	 	Yes  ̈	 	No  ̈

 

    	 	C-6	 

     

    

 

2.        IRREVOCABLE
TRUSTS

 

If the trust is an irrevocable trust,
please answer the following questions:

 

Please provide the name of each
trustee:

 

Trustee Name: ________________________________________

 

Trustee Name: ________________________________________

 

Does the trust
have assets greater than $5 million?

 

	 	Yes  ̈	 	No  ̈

 

Indicate how often
you invest in:

 

Marketable Securities

 

	 	Often  ̈	Occasionally  ̈	Seldom  ̈	Never  ̈

 

Restricted Securities

 

	 	Often  ̈	Occasionally  ̈	Seldom  ̈	Never  ̈

 

Venture Capital
Companies

 

	 	Often  ̈	Occasionally  ̈	Seldom  ̈	Never  ̈

 

This completes the questions applicable
to Trust Investors. Please sign below.

 

    	 	C-7	 

     

    

 

The undersigned has been
informed of the significance of the foregoing representations and answers contained in this Confidential Purchaser Questionnaire
and such representations and answers have been provided with the understanding that the Company, will rely on them.

 

	 	 	 	Individual	 
	 	 	 	 	 
	Date:	 	 	 	 
	 	 	 	Name of Individual	 
	 	 	 	(Please type or print)	 
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	Signature of Individual	 
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	Name of Joint Owner	 
	 	 	 	(Please type or print)	 
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	Signature (Joint Owner)	 
	 	 	 	 	 
	 	 	 	Partnership, Corporation or	 
	 	 	 	Other Entity	 
	 	 	 	 	 
	Date:	 	 	 	 
	 	 	 	Print or Type Entity Name	 

 

	 	By:	 	 
	 	Name:	 	 
	 	Title:	 	 

 

	 	 	 
	 	 	 
	 	 	 
	 	Signature (other authorized signatory, if any)	 

 

    	 	C-8Exhibit 10.2

 

REGISTRATION RIGHTS AGREEMENT

 

This Registration Rights
Agreement (this “Agreement”) is made and entered into as of December __, 2016 between Eastside Distilling,
Inc., a Nevada corporation (the “Company”) and the purchasers (the “Purchasers”) who have
subscribed for units (the “Units”), each Unit consisting of one share of the Company’s common stock (the
“Shares” and one common stock purchase warrant (the “Warrants,”) pursuant to the Confidential
Private Placement Memorandum of the Company dated November 21, 2016 and accompanying Subscription Agreement (“Offering
Materials”).

 

The parties hereby agree
as follows:

 

NOW, THEREFORE, IN CONSIDERATION
of the mutual covenants contained in this Agreement, and for other good and valuable consideration, the receipt and adequacy of
which are hereby acknowledged, the Company and each of the Holders agree as follows:

 

1.       Definitions.
Capitalized terms used and not otherwise defined herein that are defined in the Subscription Agreement shall have the meanings
given such terms in the Subscription Agreement. As used in this Agreement, the following terms shall have the following meanings:

 

“415 Cutback
Shares” has the meaning set forth in Section 2(a).

 

“Advice”
has the meaning set forth in Section 6(c).

 

“Affiliate”
means, with respect to any person, any other person which directly or indirectly controls, is controlled by, or is under common
control with, such person.

 

“Agreement”
has the meaning set forth in the Preamble.

 

“Closing”
has the meaning set forth in the Subscription Agreement.

 

“Closing Date”
has the meaning set forth in the Subscription Agreement.

 

“Commission”
means the Securities and Exchange Commission.

 

“Common Stock”
means the common stock of the Company, par value $0.0001 per share, and any securities into which such common stock may hereinafter
be reclassified.

 

“Company”
has the meaning set forth in the Preamble.

 

“Effective Date”
means each date that the Registration Statement filed pursuant to Section 2(a) and any post-effective amendment thereto is
declared effective by the Commission.

 

“Exchange Act”
means the Securities Exchange Act of 1934, as amended, and the rules and regulations promulgated thereunder.

 

“Holder”
or “Holders” means the holder or holders, as the case may be, from time to time of Registrable Securities.

 

“Indemnified Party”
has the meaning set forth in Section 5(c).

 

“Indemnifying
Party” has the meaning set forth in Section 5(c).

 

     

     

    

 

“Initial Registration
Statement” means the initial Registration Statement filed pursuant to this Agreement.

 

“Losses”
has the meaning set forth in Section 5(a).

 

“Offering”
means the offering of up to 769,230 Units by the Company pursuant to the Offering Materials.

 

“Prospectus”
means the prospectus included in a Registration Statement (including, without limitation, a prospectus that includes any information
previously omitted from a prospectus filed as part of an effective registration statement in reliance upon Rule 430A promulgated
under the Securities Act), as amended or supplemented by any prospectus supplement, with respect to the terms of the offering of
any portion of the Registrable Securities covered by a Registration Statement, and all other amendments and supplements to the
Prospectus, including post-effective amendments, and all material incorporated by reference or deemed to be incorporated by reference
in such Prospectus.

 

“Registrable Securities”
means (i) all shares of Common Stock issued to the Holder and all other purchasers of Units pursuant to the terms of the Subscription
Agreement; (ii) any securities issued or issuable upon any stock split, dividend or other distribution, recapitalization or
similar event with respect to the foregoing; and (iii) the shares of Common Stock underlying the Warrants issued to the Holder
and all other purchasers pursuant to the terms of the Subscription Agreement, provided, that the Holder has completed and
delivered to the Company a Selling Shareholder Questionnaire. Notwithstanding the foregoing, the Securities will cease to be Registrable
Securities of a particular Holder upon the earliest of (v) when they have been effectively registered under the Securities Act
and disposed of in accordance with a Registration Statement covering them, (w) when they have been sold to the public pursuant
to Rule 144 (or by similar provision under the Securities Act) (in which case, only such securities sold by the Holder shall cease
to be a Registrable Security), or (x) when they are otherwise transferred and such securities may be resold without subsequent
registration under the Securities Act.

 

“Registration
Statement” means any one or more registration statements of the Company filed under the Securities Act that covers the
resale of any of the Registrable Securities pursuant to the provisions of this Agreement (including, without limitation, the Initial
Registration Statement, the New Registration Statement and any Remainder Registration Statements), including (in each case) the
amendments and supplements to such Registration Statements, including pre- and post-effective amendments thereto, all exhibits
and all material incorporated by reference or deemed to be incorporated by reference in such Registration Statements.

 

“Remainder Registration
Statement” has the meaning set forth in Section 2(a).

 

“Rule 144”
means Rule 144 promulgated by the Commission pursuant to the Securities Act, as such Rule may be amended from time to time, or
any similar rule or regulation hereafter adopted by the Commission having substantially the same effect as such Rule.

 

“Rule 415”
means Rule 415 promulgated by the Commission pursuant to the Securities Act, as such Rule may be amended or interpreted
from time to time, or any similar rule or regulation hereafter adopted by the Commission having substantially the same purpose
and effect as such Rule.

 

“Rule 424”
means Rule 424 promulgated by the Commission pursuant to the Securities Act, as such Rule may be amended or interpreted
from time to time, or any similar rule or regulation hereafter adopted by the Commission having substantially the same purpose
and effect as such Rule.

 

    	 	2	 

     

    

 

“Selling Shareholder
Questionnaire” has the meaning set forth in Section 2(c).

 

“SEC Guidance”
means (i) any publicly-available written or oral guidance, comments, requirements or requests of the Staff and (ii) the
Securities Act.

 

“Securities Act”
means the Securities Act of 1933, as amended, and the rules and regulations promulgated thereunder.

 

“Staff”
means the staff of the Commission.

 

“Trading Day”
means (i) a day on which the Common Stock is listed or quoted and traded on its principal market, or (ii) if the Common Stock is
not listed on a Trading Market), a day on which the Common Stock is traded in the over-the-counter market, or (iii) if the Common
Stock is not quoted on any Trading Market, a day on which the Common Stock is quoted in the over-the-counter market as reported
in the “pink sheets” by OTCPink (or any similar organization or agency succeeding to its functions of reporting prices);
provided, that in the event that the Common Stock is not listed or quoted as set forth in (i), (ii) and (iii) hereof, then
Trading Day shall mean a Business Day.

 

“Trading Market”
means whichever of the NYSE, the NYSE MKT, the NASDAQ Global Select Market, the NASDAQ Global Market, the NASDAQ Capital Market
or the OTC Markets on which the Common Stock is listed or quoted for trading on the date in question.

 

2.               Required
Registration

 

(a)       As
soon as reasonable practicable following the final closing of the Offering, the Company shall use its commercially reasonable efforts
to prepare and file with the Commission a Registration Statement covering the resale of all of the Registrable Securities for an
offering to be made on a continuous basis pursuant to Rule 415 or, if Rule 415 is not available for offers and sales of the Registrable
Securities, by such other means of distribution of Registrable Securities as the Holders may reasonably specify (the “Initial
Registration Statement”). The Initial Registration Statement shall be on Form S-1 (or such other form available to register
for resale the Registrable Securities as a secondary offering). Notwithstanding the registration obligations set forth in this
Section 2, in the event the Commission informs the Company that all of the Registrable Securities cannot, as a result of
the application of Rule 415, be registered for resale as a secondary offering on a single registration statement, the Company agrees
to promptly (i) inform each of the Holders thereof and use its commercially reasonable efforts to file amendments to the Initial
Registration Statement as required by the Commission and/or (ii) withdraw the Initial Registration Statement and file a new registration
statement (a “New Registration Statement”), in either case covering the maximum number of Registrable Securities
permitted to be registered by the Commission, on Form S-1 or such other form available to register for resale the Registrable
Securities as a secondary offering. Notwithstanding any other provision of this Agreement, if any SEC Guidance sets forth a limitation
of the number of Registrable Securities permitted to be registered on a particular Registration Statement as a secondary offering
(and notwithstanding that the Company used commercially reasonable efforts to advocate with the Commission for the registration
of all or a greater number of Registrable Securities), or in the event the Staff seeks to characterize any offering pursuant to
a Registration Statement filed pursuant to this Agreement as constituting an offering of securities by or on behalf of the Company
such that Rule 415 is not available to the Company to register the resale of such Registrable Securities and as a result the Staff
or the SEC does not permit such Registration Statement to become effective and used for resales in a manner that permits the continuous
resale at the market by the Holders participating therein (or as otherwise may be acceptable to each Holder) without being named
therein as an “underwriter,” unless otherwise directed in writing by a Holder as to its Registrable Securities, the
number of Registrable Securities to be registered on such Registration Statement will be reduced by on a pro rata basis based on
the total number of unregistered Shares held by such Holders (such reduced Registrable Securities, the “415 Cutback Shares”).
In the event the Company amends the Initial Registration Statement or files a New Registration Statement, as the case may be, under
clauses (i) or (ii) above, the Company will use its commercially reasonable efforts to file with the Commission, as promptly as
allowed by Commission or SEC Guidance provided to the Company or to registrants of securities in general, one or more registration
statements on Form S-1 or such other form available to register for resale those Registrable Securities that were not registered
for resale on the Initial Registration Statement, as amended, or the New Registration Statement, including the 415 Cutback Shares
(the “Remainder Registration Statements”). No Holder shall be named as an “underwriter” in any Registration
Statement without such Holder’s prior written consent.

 

    	 	3	 

     

    

 

(b)       The
Company shall use its commercially reasonable efforts to cause each Registration Statement or any post-effective amendment thereto
to be declared effective by the Commission as soon as practicable (including, with respect to the Initial Registration Statement
or the New Registration Statement, as applicable, filing with the Commission a request for acceleration of effectiveness in accordance
with Rule 461 promulgated under the Securities Act within five Business Days after the date that the Company is notified (orally
or in writing, whichever is earlier) by the Commission that such Registration Statement will not be “reviewed,” or
not be subject to further review and the effectiveness of such Registration Statement may be accelerated), shall use its commercially
reasonable efforts to keep each Registration Statement continuously effective under the Securities Act until the earlier of (i)
such time as all of the Registrable Securities covered by such Registration Statement have been publicly sold by the Holders or
(ii) the date that is three years following the Closing Date (the “Effectiveness Period”). The Company shall
promptly notify the Holders via facsimile or electronic mail of the effectiveness of a Registration Statement or any post-effective
amendment thereto on or before the first Trading Day after the date that the Company telephonically confirms effectiveness with
the Commission.

 

(c)       Each
Holder agrees to furnish to the Company a completed Selling Shareholder Questionnaire in the form attached to this Agreement as
Annex B or in a form mutually agreeable between the Parties. At least 10 Trading Days prior to the first anticipated filing
date of a Registration Statement for any registration under this Agreement, the Company will notify each Holder of the information
the Company requires from that Holder other than the information contained in the Selling Shareholder Questionnaire, if any, which
shall be completed and delivered to the Company promptly upon request and, in any event, within three Trading Days prior to the
applicable anticipated filing date. Each Holder further agrees that it shall not be entitled to be named as a Selling Shareholder
in the Registration Statement or use the Prospectus for offers and resales of Registrable Securities at any time, unless such Holder
has returned to the Company a completed and signed Selling Shareholder Questionnaire and a response to any requests for further
information as described in the previous sentence. If a Holder of Registrable Securities returns a Selling Shareholder Questionnaire
or a request for further information, in either case, after its respective deadline, the Company shall use its commercially reasonable
efforts at the expense of the Holder who failed to return the Selling Shareholder Questionnaire or to respond for further information
to take such actions as are required to name such Holder as a selling security holder in the Registration Statement or any pre-effective
or post-effective amendment thereto and to include (to the extent not theretofore included) in the Registration Statement the Registrable
Securities identified in such late Selling Shareholder Questionnaire or request for further information. Each Holder acknowledges
and agrees that the information in the Selling Shareholder Questionnaire or request for further information as described in this
Section 2(c) will be used by the Company in the preparation of the Registration Statement and hereby consents to the inclusion
of such information in the Registration Statement.

 

    	 	4	 

     

    

 

(d)       Notwithstanding
anything to the contrary herein, at any time after any Registration Statement has been declared effective by the Commission, the
Company may delay the disclosure of material non-public information concerning the Company if the disclosure of such information
at the time is not, in the good faith judgment of the Company, in the best interests of the Company (a “Grace Period”);
provided, however, the Company shall promptly (i) notify the Holders in writing (including via facsimile or other
electronic transmission) of the existence of material non-public information giving rise to a Grace Period (provided that the Company
shall not disclose the content of such material non-public information to the Holders) or the need to file a supplement or post-effective
amendment, as applicable, and the date on which such Grace Period will begin, and (ii) notify the Holders in writing (including
via facsimile or other electronic transmission) of the date on which the Grace Period ends; provided, further, that
no single Grace Period shall exceed 30 consecutive days, and during any 365 day period, the aggregate of all Grace Periods shall
not exceed an aggregate of 60 days (each Grace Period complying with this provision being an “Allowable Grace Period”).
For purposes of determining the length of a Grace Period, the Grace Period shall be deemed to begin on and include the date the
Holders receive the notice referred to in clause (i) above and shall end on and include the later of the date the Holders receive
the notice referred to in clause (ii) above and the date referred to in such notice; provided, however, that no Grace
Period shall be longer than an Allowable Grace Period.

 

3.       Registration
Procedures. In connection with the Company’s registration obligations hereunder, the Company shall:

 

(a)       Not less
than five Trading Days prior to the filing of each Registration Statement and not less than one Trading Day prior to the filing
of any related Prospectus or any amendment or supplement thereto (not including any document that would be incorporated or deemed
to be incorporated therein by reference, and not including a supplement or amendment filed solely for the purpose of adding the
contents of a Form 10-K, Form 10-Q or Form 8-K filed at such as time as the Registration Statement is on a form that does not permit
“forward” incorporation by reference) by the Company, the Company shall (i) furnish to each Holder copies of all
such documents proposed to be filed, which documents (other than those incorporated or deemed to be incorporated by reference,
and other than a supplement or amendment filed solely for the purpose of adding the contents of a Form 10-K, Form 10-Q or Form
8-K filed at such as time as the Registration Statement is on a form that does not permit “forward” incorporation by
reference by the Company) will be subject to the review of such Holder (it being acknowledged and agreed that if a Holder does
not object to or comment on the aforementioned documents within such five Trading Day or one Trading Day period, as the case may
be, then the Holder shall be deemed to have consented to and approved the use of such documents) and (ii) cause its officers
and directors, counsel and independent certified public accountants to respond to such inquiries as shall be necessary, in the
reasonable opinion of respective counsel to each Holder, to conduct a reasonable investigation within the meaning of the Securities
Act. The Company shall not file a Registration Statement or any such Prospectus or any amendments or supplements thereto to which
the Holders of a majority of the Registrable Securities shall reasonably object in good faith, provided that the Company is notified
of such objection in writing no later than five Trading Days after the Holders have been so furnished copies of a Registration
Statement or one Trading Day after the Holders have been so furnished copies of any related Prospectus or amendments or supplements
thereto.

 

    	 	5	 

     

    

 

(b)(i)   Prepare and file
with the Commission such amendments, including post-effective amendments, to a Registration Statement and the Prospectus used in
connection therewith as may be necessary to keep a Registration Statement continuously effective as to the applicable Registrable
Securities for the Effectiveness Period and prepare and file with the Commission such additional Registration Statements in order
to register for resale under the Securities Act all of the Registrable Securities (except during an Allowable Grace Period); (ii) cause
the related Prospectus to be amended or supplemented by any required Prospectus supplement (subject to the terms of this Agreement),
and, as so supplemented or amended, to be filed pursuant to Rule 424 (except during an Allowable Grace Period); (iii) respond
as promptly as reasonably possible to any comments received from the Commission with respect to a Registration Statement or any
amendment thereto and provide as promptly as reasonably possible to the Holders true and complete copies of all correspondence
from and to the Commission relating to a Registration Statement (provided that the Company may excise any information contained
therein which would constitute material non-public information concerning the Company); and (iv) comply in all material respects
with the provisions of the Securities Act and the Exchange Act with respect to the disposition of all Registrable Securities covered
by a Registration Statement during the applicable period in accordance (subject to the terms of this Agreement) with the intended
methods of disposition by the Holders thereof set forth in such Registration Statement as so amended or in such Prospectus as so
supplemented; provided, however, that each Holder shall be responsible for the delivery of the Prospectus to the
Persons to whom such Holder sells any of the Shares (including in accordance with Rule 172 under the Securities Act), and each
Holder agrees to dispose of Registrable Securities in compliance with the plan of distribution described in the Registration Statement
and otherwise in compliance with applicable federal and state securities laws.

 

(c)       Notify
the Holders of Registrable Securities to be sold (which notice shall, pursuant to clauses (iii) through (vi) hereof,
be accompanied by an instruction to suspend the use of the Prospectus until the requisite changes have been made) as promptly as
reasonably possible (and, in the case of (i)(A) below, not less than one Trading Day prior to such filing) and (if requested
by any such Person) confirm such notice in writing (including via facsimile or other electronic transmission) no later than one
Trading Day following the day (i) of the receipt by the Company of any notification with respect to the suspension of the qualification
or exemption from qualification of any of the Registrable Securities for sale in any jurisdiction, or the initiation or threatening
of any Proceeding for such purpose; and (ii) of the occurrence of any event or passage of time that makes the financial statements
included in a Registration Statement ineligible for inclusion therein or any statement made in a Registration Statement or Prospectus
or any document incorporated or deemed to be incorporated therein by reference untrue in any material respect or that requires
any revisions to a Registration Statement, Prospectus or other documents so that, in the case of a Registration Statement or the
Prospectus, as the case may be, it will not contain any untrue statement of a material fact or omit to state any material fact
required to be stated therein or necessary to make the statements therein, in light of the circumstances under which they were
made, not misleading; and (vi) of the occurrence or existence of any pending corporate development with respect to the Company
that the Company believes may be material and that, in the determination of the Company, makes it not in the best interest of the
Company to allow continued availability of a Registration Statement or Prospectus, provided that any and all of such information
shall be kept confidential by each Holder until such information otherwise becomes public, unless disclosure by a Holder is required
by law; provided, further, that notwithstanding each Holder’s agreement to keep such information confidential,
each such Holder makes no acknowledgement that any such information is material, non-public information.

 

(d)       Use
its commercially reasonable efforts to avoid the issuance of, or, if issued, obtain the withdrawal of (i) any order stopping
or suspending the effectiveness of a Registration Statement, or (ii) any suspension of the qualification (or exemption from
qualification) of any of the Registrable Securities for sale in any jurisdiction, at the earliest practicable moment.

 

(e)       The
Company may require each selling Holder to furnish to the Company a certified statement as to (i) the number of shares of Common
Stock beneficially owned by such Holder and any Affiliate thereof, (ii) any Financial Industry Regulatory Authority, Inc. (“FINRA”)
affiliations, (iii) any natural persons who have the power to vote or dispose of the common stock and (iv) any other information
as may be requested by the Commission, FINRA or any state securities commission.

 

    	 	6	 

     

    

 

(f)       Subject
to the terms of this Agreement, the Company hereby consents to the use of such Prospectus and each amendment or supplement thereto
by each of the selling Holders in connection with the offering and sale of the Registrable Securities covered by such Prospectus
and any amendment or supplement thereto, except after the giving of any notice pursuant to Section 3(c).

 

(g)       Prior
to any resale of Registrable Securities by a Holder, use its commercially reasonable efforts to register or qualify or cooperate
with the selling Holders in connection with the registration or qualification (or exemption from the Registration or qualification)
of such Registrable Securities for the resale by the Holder under the securities or Blue Sky laws of such jurisdictions within
the United States as any Holder reasonably requests in writing, to keep each registration or qualification (or exemption therefrom)
effective during the Effectiveness Period and to do any and all other acts or things reasonably necessary to enable the disposition
in such jurisdictions of the Registrable Securities covered by each Registration Statement; provided, that the Company shall not
be required to qualify generally to do business in any jurisdiction where it is not then so qualified, would subject the Company
to any material tax in any such jurisdiction where it is not then so subject or file a general consent to service of process in
any such jurisdiction.

 

(h)       If
requested by a Holder, cooperate with such Holder to facilitate the timely preparation and delivery of certificates representing
Registrable Securities to be delivered to a transferee pursuant to a Registration Statement, which certificates shall be free,
to the extent permitted by the Subscription Agreement and applicable state and Federal laws, of all restrictive legends, and to
enable such Registrable Securities to be in such denominations and registered in such names as any such Holder may request.

 

(i)       If
the Company notifies the Holders to suspend the use of any Prospectus until a requisite changes to such Prospectus has been made,
then the Holders shall suspend use of such Prospectus. The Company will use its commercially reasonable efforts to ensure that
the use of the Prospectus may be resumed as promptly as is practicable. The Company shall be entitled to exercise its right under
this Section 3(i) to suspend the availability of a Registration Statement and Prospectus, for a period not to exceed
60 calendar days (which need not be consecutive days) in any 12 month period.

 

(j)        Comply
in all material respects with all applicable rules and regulations of the Commission.

 

4.       Registration
Expenses.     All fees and expenses incident to the performance of or compliance with this Agreement by the Company shall be borne
by the Company whether or not any Registrable Securities are sold pursuant to a Registration Statement. The fees and expenses referred
to in the foregoing sentence shall include, without limitation, (i) all registration and filing fees (including, without limitation,
fees and expenses of the Company’s counsel and auditors) (A) with respect to filings made with the Commission, (B) with
respect to filings required to be made with any Trading Market on which the Common Stock is then listed for trading, (C) in
compliance with applicable state securities or Blue Sky laws reasonably agreed to by the Company in writing (including, without
limitation, fees and disbursements of counsel for the Company in connection with Blue Sky qualifications or exemptions of the Registrable
Securities) and (D) if not previously paid by the Company in connection with an issuer filing, with respect to any filing
that may be required to be made by any broker through which a Holder intends to make sales of Registrable Securities with the FINRA
pursuant to FINRA Rule 5110, so long as the broker is receiving no more than a customary brokerage commission in connection
with such sale, (ii) printing expenses (including, without limitation, expenses of printing certificates for Registrable Securities),
(iii) messenger, telephone and delivery expenses, (iv) fees and disbursements of counsel for the Company, (v) Securities
Act liability insurance, if the Company so desires such insurance, and (vi) fees and expenses of all other persons retained
by the Company in connection with the consummation of the transactions contemplated by this Agreement. In addition, the Company
shall be responsible for all of its internal expenses incurred in connection with the consummation of the transactions contemplated
by this Agreement (including, without limitation, all salaries and expenses of its officers and employees performing legal or accounting
duties), the expense of any annual audit and the fees and expenses incurred in connection with the listing of the Registrable Securities
on any securities exchange as required hereunder. In no event shall the Company be responsible for any underwriting, broker or
similar commissions of any Holder or any legal fees or other costs of the Holders.

 

    	 	7	 

     

    

 

5.       Indemnification.

 

(a)       Indemnification
by the Company. The Company shall, notwithstanding any termination of this Agreement, indemnify and hold harmless each Holder,
the officers, directors, members, partners, agents and employees (and any other persons with a functionally equivalent role of
a person holding such titles, notwithstanding a lack of such title or any other title) of each of them, each person who controls
any such Holder (within the meaning of Section 15 of the Securities Act or Section 20 of the Exchange Act) and the officers,
directors, members, shareholders, partners, agents and employees (and any other persons with a functionally equivalent role of
a person holding such titles, notwithstanding a lack of such title or any other title) of each such controlling person, to the
fullest extent permitted by applicable law, from and against any and all losses, claims, damages, liabilities, costs (including,
without limitation, reasonable attorneys’ fees) and expenses (collectively, “Losses”), as incurred, arising
out of or relating to (1) any untrue or alleged untrue statement of a material fact contained in a Registration Statement,
any Prospectus or any form of prospectus or in any amendment or supplement thereto or in any preliminary prospectus, or arising
out of or relating to any omission or alleged omission of a material fact required to be stated therein or necessary to make the
statements therein (in the case of any Prospectus or supplement thereto, in light of the circumstances under which they were made)
not misleading or (2) any violation or alleged violation by the Company of the Securities Act, the Exchange Act or any state
securities law, or any rule or regulation thereunder, in connection with the performance of its obligations under this Agreement,
except to the extent, but only to the extent, that (i) such untrue statements or omissions are in reliance upon, and in conformity
with, information regarding such Holder furnished in writing to the Company by such Holder expressly for use therein, or to the
extent that such information relates to such Holder or such Holder’s proposed method of distribution of Registrable Securities
and was reviewed and expressly approved in writing by such Holder expressly for use in a Registration Statement, such Prospectus
or in any amendment or supplement thereto (it being understood that the Holder has approved Annex A hereto for this purpose)
or (ii) in the case of an occurrence of an event of the type specified in Section 3(c)(ii)-(vi), the use by such Holder
of an outdated or defective Prospectus after the Company has notified such Holder in writing that the Prospectus is outdated or
defective and prior to the receipt by such Holder of the Advice contemplated in Section 6(c). The Company shall notify the
Holders promptly of the institution, threat or assertion of any Proceeding arising from or in connection with the transactions
contemplated by this Agreement of which the Company is aware.

 

(b)       Indemnification
by Holders. Each Holder shall, severally and not jointly, indemnify and hold harmless the Company, its directors, officers,
agents and employees, each person who controls the Company (within the meaning of Section 15 of the Securities Act and Section 20
of the Exchange Act), and the directors, officers, agents or employees of such controlling persons, to the fullest extent permitted
by applicable law, from and against all Losses, as incurred, to the extent arising out of or based solely upon: (x) such Holder’s
failure to comply with the prospectus delivery requirements of the Securities Act or (y) any untrue or alleged untrue statement
of a material fact contained in any Registration Statement, any Prospectus, or in any amendment or supplement thereto or in any
preliminary prospectus, or arising out of or relating to any omission or alleged omission of a material fact required to be stated
therein or necessary to make the statements therein not misleading (i) to the extent, but only to the extent, that such untrue
statement or omission is contained in any information so furnished in writing by such Holder to the Company specifically for inclusion
in such Registration Statement or such Prospectus or (ii) to the extent that such information relates to such Holder’s
proposed method of distribution of Registrable Securities and was reviewed and expressly approved in writing by such Holder expressly
for use in a Registration Statement (it being understood that the Holder has approved Annex A hereto for this purpose), such Prospectus
or in any amendment or supplement thereto or (iii) in the case of an occurrence of an event of the type specified in Section 3(c)(ii)-(vi),
the use by such Holder of an outdated or defective Prospectus after the Company has notified such Holder in writing that the Prospectus
is outdated or defective and prior to the receipt by such Holder of the Advice contemplated in Section 6(c). In no event shall
the liability of any selling Holder hereunder be greater in amount than the dollar amount of the net proceeds received by such
Holder upon the sale of the Registrable Securities giving rise to such indemnification obligation.

 

    	 	8	 

     

    

 

(c)       Conduct
of Indemnification Proceedings. If any Proceeding shall be brought or asserted against any person entitled to indemnity hereunder
(an “Indemnified Party”), such Indemnified Party shall promptly notify the person from whom indemnity is sought
(the “Indemnifying Party”) in writing, and the Indemnifying Party shall have the right to assume the defense
thereof, including the employment of counsel reasonably satisfactory to the Indemnified Party and the payment of all fees and expenses
incurred in connection with defense thereof; provided, that the failure of any Indemnified Party to give such notice shall not
relieve the Indemnifying Party of its obligations or liabilities pursuant to this Agreement, except (and only) to the extent that
it shall be finally determined by a court of competent jurisdiction (which determination is not subject to appeal or further review)
that such failure shall have prejudiced the Indemnifying Party.

 

An Indemnified Party shall
have the right to employ separate counsel in any such Proceeding and to participate in the defense thereof, but the fees and expenses
of such counsel shall be at the expense of such Indemnified Party or Parties unless:  (1) the Indemnifying Party has
agreed in writing to pay such fees and expenses; (2) the Indemnifying Party shall have failed promptly to assume the defense
of such Proceeding and to employ counsel reasonably satisfactory to such Indemnified Party in any such Proceeding; or (3) the
named parties to any such Proceeding (including any impleaded parties) include both such Indemnified Party and the Indemnifying
Party, and counsel to the Indemnified Party shall reasonably believe that a material conflict of interest is likely to exist if
the same counsel were to represent such Indemnified Party and the Indemnifying Party (in which case, if such Indemnified Party
notifies the Indemnifying Party in writing that it elects to employ separate counsel at the expense of the Indemnifying Party,
the Indemnifying Party shall not have the right to assume the defense thereof and the reasonable fees and expenses of no more than
one separate counsel shall be at the expense of the Indemnifying Party). The Indemnifying Party shall not be liable for any settlement
of any such Proceeding effected without its written consent, which consent shall not be unreasonably withheld or delayed. No Indemnifying
Party shall, without the prior written consent of the Indemnified Party, effect any settlement of any pending Proceeding in respect
of which any Indemnified Party is a party, unless such settlement includes an unconditional release of such Indemnified Party from
all liability on claims that are the subject matter of such Proceeding.

 

Subject to the terms of this
Agreement, all reasonable fees and expenses of the Indemnified Party (including reasonable fees and expenses to the extent incurred
in connection with investigating or preparing to defend such Proceeding in a manner not inconsistent with this Section) shall be
paid to the Indemnified Party, as incurred, within 20 Trading Days of written notice thereof to the Indemnifying Party; provided,
that the Indemnified Party shall promptly reimburse the Indemnifying Party for that portion of such fees and expenses previously
disbursed and that are applicable to such actions for which such Indemnified Party is judicially determined to be not entitled
to indemnification hereunder.

 

    	 	9	 

     

    

 

(d)       Contribution.
If the indemnification under Section 5(a) or 5(b) is unavailable to an Indemnified Party or insufficient to hold
an Indemnified Party harmless for any Losses, then each Indemnifying Party shall contribute to the amount paid or payable by such
Indemnified Party, in such proportion as is appropriate to reflect the relative fault of the Indemnifying Party and Indemnified
Party in connection with the actions, statements or omissions that resulted in such Losses as well as any other relevant equitable
considerations. The relative fault of such Indemnifying Party and Indemnified Party shall be determined by reference to, among
other things, whether any action in question, including any untrue or alleged untrue statement of a material fact or omission or
alleged omission of a material fact, has been taken or made by, or relates to information supplied by, such Indemnifying Party
or Indemnified Party, and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent
such action, statement or omission. The amount paid or payable by a party as a result of any Losses shall be deemed to include,
subject to the limitations set forth in this Agreement, any reasonable attorneys’ or other reasonable fees or expenses incurred
by such party in connection with any Proceeding to the extent such party would have been indemnified for such fees or expenses
if the indemnification provided for in this Section was available to such party in accordance with its terms.

 

The parties hereto agree
that it would not be just and equitable if contribution pursuant to this Section 5(d) were determined by pro rata allocation
or by any other method of allocation that does not take into account the equitable considerations referred to in the immediately
preceding paragraph. Notwithstanding the provisions of this Section 5(d), no Holder shall be required to contribute, in the
aggregate, any amount in excess of the amount by which the net proceeds actually received by such Holder from the sale of the Registrable
Securities subject to the Proceeding exceeds the amount of any damages that such Holder has otherwise been required to pay by reason
of such untrue or alleged untrue statement or omission or alleged omission.

 

The indemnity and contribution
agreements contained in this Section are in addition to any liability that the Indemnifying Parties may have to the Indemnified
Parties.

 

6.       Miscellaneous.

 

(a)       Remedies.
Subject to the limitations set forth in this Agreement, in the event of a breach by the Company or by a Holder of any of their
respective obligations under this Agreement, each Holder or the Company, as the case may be, in addition to being entitled to exercise
all rights granted by law and under this Agreement, including recovery of damages, shall be entitled to specific performance of
its rights under this Agreement. The Company and each Holder agree that monetary damages would not provide adequate compensation
for any losses incurred by reason of a breach by it of any of the provisions of this Agreement and hereby further agrees that,
in the event of any action for specific performance in respect of such breach, it shall not assert or shall waive the defense that
a remedy at law would be adequate.

 

(b)       Compliance.
Each Holder covenants and agrees that it will comply with the prospectus delivery requirements of the Securities Act as applicable
to it in connection with sales of Registrable Securities pursuant to a Registration Statement.

 

(c)       Discontinued
Disposition. By its acquisition of Registrable Securities, each Holder agrees that, upon receipt of a notice from the Company
of the occurrence of any event of the kind described in Section 3(c)(ii), such Holder will forthwith discontinue disposition
of such Registrable Securities under a Registration Statement until it is advised in writing (the “Advice”)
by the Company that the use of the applicable Prospectus (as it may have been supplemented or amended) may be resumed. The Company
will use its commercially reasonable efforts to ensure that the use of the Prospectus may be resumed as promptly as is practicable.

 

    	 	10	 

     

    

 

(d)       Amendments
and Waivers. The provisions of this Agreement, including the provisions of this sentence, may not be amended, modified or supplemented,
and waivers or consents to departures from the provisions hereof may not be given, unless the same shall be in writing and signed
by the Company and the Holders of a majority of the then outstanding Registrable Securities. If a Registration Statement does not
register all of the Registrable Securities pursuant to a waiver or amendment done in compliance with the previous sentence, then
the number of Registrable Securities to be registered for each Holder shall be reduced pro rata among all Holders and each Holder
shall have the right to designate which of its Registrable Securities shall be omitted from such Registration Statement. Notwithstanding
the foregoing, a waiver or consent to depart from the provisions hereof with respect to a matter that relates exclusively to the
rights of some Holders and that does not directly or indirectly affect the rights of other Holders may be given by Holders of all
of the Registrable Securities to which such waiver or consent relates; provided, however, that in the event the Company
shall deliver written notice to a Holder with respect to a requested waiver or amendment, such Holder shall be deemed to have consented
and agreed to such amendment or waiver if such Holder does not provide written notice to the Company indicating such Holder’s
non-consent within 10 calendar days of delivery by the Company of such written notice; provided, further, that the
provisions of this sentence may not be amended, modified, or supplemented except in accordance with the provisions of the first 
sentence of this Section 6(d).

 

(e)       Notices.
Any and all notices or other communications or deliveries required or permitted to be provided hereunder shall be delivered as
set forth in the Subscription Agreement.

 

(f)        Successors
and Assigns. This Agreement shall inure to the benefit of and be binding upon the successors and permitted assigns of each
of the parties and shall inure to the benefit of each Holder. Nothing in this Agreement, express or implied, is intended to confer
upon any party other than the parties hereto or their respective successors and assigns any rights, remedies, obligations, or liabilities
under or by reason of this Agreement, except as expressly provided in this Agreement. The Company may not assign its rights (except
by merger or in connection with another entity acquiring all or substantially all of the Company’s assets) or obligations
hereunder without the prior written consent of all the Holders of the then outstanding Registrable Securities. Each Holder may
assign its respective rights with respect to any or all of its Registrable Securities hereunder in the manner and to the persons
as permitted under the Subscription Agreement; provided in each case that (i) the Holder agrees in writing with the
transferee or assignee to assign such rights and related obligations under this Agreement, and for the transferee or assignee to
assume such obligations, and a copy of such agreement is furnished to the Company within a reasonable time after such assignment,
(ii) the Company is, within a reasonable time after such transfer or assignment, furnished with written notice of the name
and address of such transferee or assignee and the securities with respect to which such registration rights are being transferred
or assigned, (iii) at or before the time the Company received the written notice contemplated by clause (ii) of this
sentence, the transferee or assignee agrees in writing with the Company to be bound by all of the provisions contained herein and
(iv) the transferee is an “accredited investor,” as that term is defined in Rule 501 of Regulation D
and completes any required documentation requested by the Company to confirm the foregoing.

 

(g)       No
Inconsistent Agreements. Except as set forth in the Subscription Agreement or in the Company’s filings with the Securities
and Exchange Commission under the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, as amended, neither
the Company nor any of its subsidiaries has previously entered into any agreement granting any registration rights with respect
to any of its securities to any person that have not been satisfied in full.

 

    	 	11	 

     

    

 

(h)       Execution
and Counterparts. This Agreement may be executed in two or more counterparts, all of which when taken together shall be considered
one and the same agreement and shall become effective when counterparts have been signed by each party and delivered to the other
party, it being understood that both parties need not sign the same counterpart. In the event that any signature is delivered by
facsimile transmission or other electronic transmission of a “.pdf” format data file, such signature shall create a
valid and binding obligation of the party executing (or on whose behalf such signature is executed) with the same force and effect
as if such facsimile or “.pdf” signature page were an original thereof.

 

(i)        Governing
Law. All questions concerning the construction, validity, enforcement and interpretation of this Agreement shall be determined
in accordance with the provisions of the Subscription Agreement.

 

(j)        Cumulative
Remedies. The remedies provided herein are cumulative and not exclusive of any other remedies provided by law.

 

(k)        Severability.
If any term, provision, covenant or restriction of this Agreement is held by a court of competent jurisdiction to be invalid, illegal,
void or unenforceable, the remainder of the terms, provisions, covenants and restrictions set forth herein shall remain in full
force and effect and shall in no way be affected, impaired or invalidated, and the parties hereto shall use their commercially
reasonable efforts to find and employ an alternative means to achieve the same or substantially the same result as that contemplated
by such term, provision, covenant or restriction. It is hereby stipulated and declared to be the intention of the parties that
they would have executed the remaining terms, provisions, covenants and restrictions without including any of such that may be
hereafter declared invalid, illegal, void or unenforceable.

 

(l)        Headings.
The headings in this Agreement are for convenience only, do not constitute a part of the Agreement and shall not be deemed to limit
or affect any of the provisions hereof.

 

(m)       Independent
Nature of Holders’ Obligations and Rights. The obligations of each Holder hereunder are several and not joint with the
obligations of any other Holder hereunder, and no Holder shall be responsible in any way for the performance of the obligations
of any other Holder hereunder. Nothing contained herein or in any other agreement or document delivered at any closing, and no
action taken by any Holder pursuant hereto or thereto, shall be deemed to constitute the Holders as a partnership, an association,
a joint venture or any other kind of entity, or create a presumption that the Holders are in any way acting in concert with respect
to such obligations or the transactions contemplated by this Agreement. Each Investor acknowledges that no other Investor has acted
as agent for such Investor in connection with making its investment hereunder and that no Investor will be acting as agent of such
Investor in connection with monitoring its investment in the Shares or enforcing its rights under the Subscription Agreement or
any other agreement entered into in connection with the Subscription Agreement. Each Holder shall be entitled to protect and enforce
its rights, including without limitation the rights arising out of this Agreement, and it shall not be necessary for any other
Holder to be joined as an additional party in any proceeding for such purpose.

 

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

 

[Signature
pages follow]

 

    	 	12	 

     

    

 

IN WITNESS WHEREOF, the
parties have executed this Registration Rights Agreement as of the date first written above.

 

	 	EASTSIDE DISTILLING, INC.
	 	 	 
	 	By:	 
	 	 	Steve Shum
	 	 	Chief Financial Officer

 

[Signature
Page of Investors Follows]

 

    	 	13	 

     

    

 

INVESTOR SIGNATURE PAGE TO REGISTRATION RIGHTS
AGREEMENT

 

Name of Investor:

 

 

 

Signature of Authorized Signatory of Investor:

 

 

 

Name of Authorized Signatory:

 

 

 

Title of Authorized Signatory:

 

 

 

Address for Notice of Investor:

 

 

 

 

 

    	 	14	 

     

    

 

ANNEX
A

 

EASTSIDE
DISTILLING, INC.

 

Purchaser Information Request 

 

The undersigned beneficial
owner of common stock (the “Registrable Securities”) of Eastside Distilling, Inc., a Delaware corporation (the
“Company”), understands that the Company has filed or intends to file with the Securities and Exchange Commission
(the “Commission”) a registration statement (the “Registration Statement”) for the registration
and resale under Rule 415 of the Securities Act of 1933, as amended (the “Securities Act”), of the Registrable
Securities, in accordance with the terms of the Registration Rights Agreement (the “Registration Rights Agreement”)
to which this document is annexed. A copy of the Registration Rights Agreement is available from the Company upon request at the
address set forth below. All capitalized terms not otherwise defined herein shall have the meanings ascribed thereto in the Registration
Rights Agreement.

 

Certain legal consequences
arise from being named as a selling Shareholder in the Registration Statement and the related prospectus. Accordingly, holders
and beneficial owners of Registrable Securities are advised to consult their own securities law counsel regarding the consequences
of being named or not being named as a selling Shareholder in the Registration Statement and the related prospectus.

 

The undersigned beneficial
owner (the “Selling Shareholder”) of Registrable Securities hereby elects to include the Registrable Securities
owned by it in the Registration Statement.

 

The undersigned hereby
provides the following information to the Company and represents and warrants that such information is accurate:

 

		1.	Name.

 

		(a)	Full Legal Name of Selling Shareholder:

 

 

 

		(b)	Full Legal Name of Registered Holder (if not the same as (a) above) through which Registrable Securities
are held:

 

 

 

		(c)	Full Legal Name of Natural Control Person (which means a natural person who directly or indirectly
alone or with others has power to vote or dispose of the securities covered by the questionnaire):

 

 

 

		2.	Address for Notices to Selling Shareholder.

 

 

 

 

 

 

 

     

     

    

 

	Contact Person:	 

 

	Email:	 

 

	Telephone:	 

 

	Fax:	
        

 

		3.	Broker-Dealer Status:

 

(a)       Are
you a broker-dealer?

 

Yes             ̈            No             ̈

 

(b)       If
“yes” to Section 3(a), did you receive your Registrable Securities as compensation for investment banking services
to the Company?

 

Yes             ̈            No             ̈

 

(c)       Are
you an affiliate of a broker-dealer?

 

Yes             ̈            No             ̈

 

(d)       If
you are an affiliate of a broker-dealer, do you certify that you bought the Registrable Securities in the ordinary course of business,
and at the time of the purchase of the Registrable Securities to be resold, you had no agreements or understandings, directly or
indirectly, with any person to distribute the Registrable Securities?

 

Yes             ̈            No             ̈

 

Note: If no, the Commission’s staff has
indicated that you should be identified as an underwriter in the Registration Statement.

 

		4.	Beneficial Ownership of Securities of the Company Owned by the Selling Shareholder.

 

Except as set forth below in this Item 4,
the undersigned is not the beneficial or registered owner of any securities of the Company other than the securities issuable pursuant
to the Subscription Agreement.

 

(a)            Type
and Amount of other securities of the Company beneficially owned by the Selling Shareholder:

 

 

 

 

 

 

 

    	 	2	 

     

    

 

		5.	Relationships with the Company:

 

Except as set forth below, neither the undersigned
nor any of its affiliates, officers, directors or principal equity holders (owners of 5% of more of the equity securities of the
undersigned) has held any position or office or has had any other material relationship with the Company (or its predecessors or
affiliates) during the past three years.

 

State any exceptions here:

 

 

 

 

 

 

 

The undersigned agrees
to promptly notify the Company of any inaccuracies or changes in the information provided herein that may occur subsequent to the
date hereof at any time while the Registration Statement remains effective.

 

By signing below, the undersigned
consents to the disclosure of the information contained herein in its answers to Items 1 through 5 and the inclusion of such information
in the Registration Statement and the related prospectus and any amendments or supplements thereto. The undersigned understands
that such information will be relied upon by the Company in connection with the preparation or amendment of the Registration Statement
and the related prospectus.

 

IN WITNESS WHEREOF the
undersigned, by authority duly given, has caused this Notice and Questionnaire to be executed and delivered either in person or
by its duly authorized agent.

 

Dated:_____________________________

 

	 	Beneficial Owner:
	 	 
	 	 	 
	 	By:	 
	 	Name:	 
	 	Title:	 

 

    	 	3

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