Document:

Exhibit 4.1

 

FIRST SUPPLEMENTAL INDENTURE

 

FIRST SUPPLEMENTAL
INDENTURE (this “Supplemental Indenture”), dated as of November 18, 2019, by and among Option Care Health, Inc.
(f/k/a BioScrip, Inc.), a Delaware corporation (the “Parent Issuer”) and Ankura Trust Company, LLC as Trustee
and Collateral Agent under the Indenture referred to below.

 

W I T N E S S E T H:

 

WHEREAS, the Parent
Issuer, the guarantors party thereto (collectively, the “Guarantors”), the Trustee and the Collateral Agent
have heretofore executed and delivered an Indenture dated as of August 6, 2019 (as amended, supplemented, waived or otherwise modified,
the “Indenture”), providing for the issuance of Senior Secured Second Lien PIK Toggle Floating Rate Notes due
2027 (the “Notes”) of the Issuer;

 

WHEREAS, the Commitment
Letter, dated March 14, 2019, by and among HC Group Holdings II, Inc., the Initial GS Principal Investors party thereto and the
Initial Ares Principal Investors party thereto, contemplated the inclusion of a customary “AHYDO catch-up” payment
provision in the Indenture, which provision was unintentionally omitted from the Indenture due to a scrivener’s error;

 

WHEREAS, Section 9.01(a)
of the Indenture provides that the Company, the Guarantors, the Trustee and the Collateral Agent may supplement the Indenture in
order to, among other things, cure any omission or mistake;

 

WHEREAS, the Parent
Issuer and the Holders, together with the Guarantors, all desire to amend the Indenture, effective as of August 6, 2019 and as
set forth in Article I of this Supplemental Indenture (the “Proposed Amendment”), to correct the scrivener’s
error and provide for a customary AHYDO catch-up payment provision;

 

WHEREAS, the Controlling
Parties (which constitute all of the Beneficial Owners of the Notes as of the date hereof) have consented to the Proposed Amendment,
and have, through their respective participants in DTC, directed the Holder of all the Notes to consent to the amendments in this
Supplemental Indenture;

 

WHEREAS, the Holder
of all the Notes has consented to the Proposed Amendments pursuant to such direction from the Controlling Parties and has instructed
the Trustee and the Collateral Agent to execute this Supplemental Indenture; and

 

WHEREAS, this Supplemental
Indenture has been duly authorized by all necessary corporate action on the part of the Parent Issuer and the Guarantors.

 

NOW, THEREFORE, the
Parent Issuer, the Guarantors, the Trustee and the Collateral Agent mutually covenant and agree for the benefit of the Trustee,
the Collateral Agent and the Holders of the Notes as follows:

 

ARTICLE I

 

AMENDMENT

 

SECTION 1.1.Amendment
to the Indenture. Section 5.08 of the Indenture is hereby amended by (i) inserting “(a)” before “The Parent
Issuer” and (ii) adding a new subsection (b) as follows:

 

     

     

    

 

“(b)
Notwithstanding the foregoing or anything herein to the contrary, if, at the end of any “accrual period” (as defined
in Section 1272(a)(5) of the Code) ending after the fifth anniversary of the issue date of the Notes, the aggregate amount of accrued
and unpaid interest (including any accrued interest added to principal pursuant to Section 2.01(e) and any amounts treated as interest)
and “original issue discount” (as defined in Section 1273(a)(1) of the Code) on the Notes would, but for this Section
5.08(b), exceed an amount equal to the product of the Notes’ “issue price” (as defined in Section 1273(b) and
1274(a) of the Code) multiplied by the Notes’ “yield to maturity” (as defined in Treasury Regulations Section
1.1272-1(b)(1)(i)) (such product, the “Maximum Accrual”), the Parent Issuer shall redeem at each such applicable
date (an “AHYDO Catch-Up Payment Date”), without premium or penalty, the amount of principal plus accrued
and unpaid interest, if any, on the Notes to be redeemed, to, but excluding, the applicable AHYDO Catch-Up Payment Date, equal
to all accrued and unpaid interest and original issue discount on the Notes as of the end of such accrual period in excess of an
amount equal to the Maximum Accrual (the “AHYDO Catch-Up Payment”), and such AHYDO Catch-Up Payment shall be
treated for purposes of Section 163(i) of the Code as interest paid under the Notes. In making the AHYDO Catch-Up Payment(s) provided
for in this Section 5.08(b), the Parent Issuer shall comply with the provisions of Sections 5.01 through 5.06 as though each such
mandatory AHYDO Catch-Up Payment was a redemption of Notes and the applicable AHYDO Catch-Up Payment Date was a Redemption Date.
No partial redemption of the Notes prior to such AHYDO Catch-Up Payment Date pursuant to any other provision of this Indenture
(including any payment of cash interest) shall alter the Parent Issuer’s obligation to make the AHYDO Catch-Up Payment(s)
provided for in this Section 5.08(b). Any failure by the Parent Issuer to make an AHYDO Catch-Up Payment on an AHYDO Catch-Up Payment
Date shall constitute an immediate Event of Default. The Notes are not (i) an “applicable high yield discount obligation”
within the meaning of Section 163(i)(1) of the Code (or any successor provision of similar import) or (ii) subject to the so-called
 “AHYDO” rules under Section 163(e)(5) of the Code (or any successor provision of similar import), and this Indenture
shall be interpreted consistently therewith.”

 

ARTICLE II

DEFINITIONS

 

SECTION 2.1.Defined
Terms. As used in this Supplemental Indenture, terms defined in the Indenture or in the Preamble or Recitals hereto are used
herein as therein defined. The words “herein,” “hereof” and “hereby” and other words of similar
import used in this Supplemental Indenture refer to this Supplemental Indenture as a whole and not to any particular section hereof.

 

ARTICLE III

MISCELLANEOUS

 

SECTION 3.1.Parties.
Nothing expressed or mentioned herein is intended or shall be construed to give any Person, other than the Holders, the Trustee
and the Collateral Agent, any legal or equitable right, remedy or claim under or in respect of this Supplemental Indenture or the
Indenture or any provision herein or therein contained.

 

SECTION 3.2.Governing
Law. This Supplemental Indenture shall be governed by, and construed in accordance with, the laws of the State of New York.

 

SECTION 3.3.Severability.
In case any provision in this Supplemental Indenture shall be invalid, illegal or unenforceable, the validity, legality and enforceability
of the remaining provisions shall not in any way be affected or impaired thereby and such provision shall be ineffective only to
the extent of such invalidity, illegality or unenforceability.

 

SECTION 3.4.Ratification
of Indenture; Supplemental Indentures Part of Indenture. Except as expressly amended hereby, the Indenture is in all respects
ratified and confirmed and all the terms, conditions and provisions thereof shall remain in full force and effect. This Supplemental
Indenture shall form a part of the Indenture for all purposes effective as of August 6, 2019, and every Holder of Notes heretofore
or hereafter authenticated and delivered shall be bound hereby.

 

SECTION 3.5.The
Trustee and the Collateral Agent. Neither the Trustee nor the Collateral Agent make any representation or warranty as to the
validity or sufficiency of this Supplemental Indenture or with respect to the recitals contained herein, all of which recitals
are made solely by the other parties hereto. In entering into this Supplemental Indenture, the Trustee and the Collateral Agent
shall be entitled to the benefit of every provision of the Indenture and the Notes relating to the conduct or affecting the liability
of or affording protection to the Trustee and the Collateral Agent, whether or not elsewhere herein so provided.

 

     

     

    

 

SECTION 3.6.Counterparts.
The parties hereto may sign any number of copies of this Supplemental Indenture. Each signed copy shall be an original, but all
of them together represent the same agreement. The exchange of copies of this Supplemental Indenture and of signature pages by
facsimile or pdf transmission shall constitute effective execution and delivery of this Supplemental Indenture as to the parties
hereto and may be used in lieu of the original Supplemental Indenture for all purposes. Signatures of the parties hereto transmitted
by facsimile or pdf shall be deemed to be their original signatures for all purposes.

 

SECTION 3.7.Headings.
The headings of the Articles and the Sections in this Supplemental Indenture are for convenience of reference only and shall not
be deemed to alter or affect the meaning or interpretation of any provisions hereof.

 

 

 

 

     

     

    

 

IN WITNESS WHEREOF,
the parties hereto have caused this Supplemental Indenture to be duly executed as of the date first above written and effective
as of August 6, 2019.

 

 

	 	OPTION CARE HEALTH, INC.
	 	as Parent Issuer
	 	 
	 	 
	 	By:	/s/ Michael Shapiro
	 	 	Name:	Michael Shapiro
	 	 	Title:	Senior Vice President and Chief Financial
	 	 	 	Officer

 

 

 

 

 

 

 

 

 

 

 

 

     

     

    

 

	 	ANKURA TRUST COMPANY, LLC,
	 	as Trustee and Collateral Agent
	 	 
	 	 
	 	By:	/s/ Lisa J. Price
	 	 	Name:	Lisa J. Price
	 	 	Title:	Managing DirectorExhibit 4.1

 

Warrant Certificate No. ______

 

THE SECURITIES REPRESENTED HEREBY HAVE
BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”) OR ANY STATE SECURITIES
LAWS. SUCH SECURITIES MAY BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED ONLY (A) TO THE COMPANY, (B) IN COMPLIANCE WITH RULE
144 UNDER THE SECURITIES ACT, IF AVAILABLE, AND IN ACCORDANCE WITH APPLICABLE STATE SECURITIES LAWS, (C) PURSUANT TO AN EFFECTIVE
REGISTRATION STATEMENT, OR (D) IN A TRANSACTION THAT DOES NOT REQUIRE REGISTRATION UNDER THE SECURITIES ACT OR ANY APPLICABLE STATE
SECURITIES LAWS, AND THE HOLDER HAS, PRIOR TO SUCH SALE, FURNISHED TO THE COMPANY AN OPINION OF COUNSEL OR OTHER EVIDENCE OF EXEMPTION,
IN EITHER CASE REASONABLY SATISFACTORY TO THE COMPANY. HEDGING TRANSACTIONS INVOLVING THESE SECURITIES MAY NOT BE CONDUCTED UNLESS
IN COMPLIANCE WITH THE SECURITIES ACT.

 

 

	Effective Date: [__________ ___, 2019]	Expiration
Date: [__________ ___, 2022]

 

GROM SOCIAL ENTERPRISES, INC.

 

WARRANT TO PURCHASE COMMON STOCK

 

GROM SOCIAL ENTERPRISES,
INC., a Florida corporation (the “Company”), for value received, hereby issues to [insert name of holder],
(the “Holder”) this Warrant (the “Warrant”) to purchase [                                                                                     ] (________)] shares (each such
share a “Warrant Share” and all such shares being the “Warrant Shares”) of the Company’s
Common Stock (as defined below), at the Exercise Price (as defined below), as adjusted from time to time as provided herein, on
or before the Expiration Date, all subject to the following terms and conditions.

 

This Warrant to purchase
shares (collectively, the “Unit Warrant Shares”) of the Company’s Common Stock (as defined below) has
been issued in connection with the Company’s private placement offering (“Offering”) of units consisting
of one (1) share of the Company’s Common Stock and one (1) Unit Warrant Share exercisable for one share of the Common Stock
exercisable for a three-year periodsolely to the accredited investor, in accordance with, and subject to, the terms and conditions
described in the in the Subscription Agreement entered into by and between the Company and the Holder set forth on the signature
pages affixed thereto (the “Purchase Agreement”). Capitalized terms used herein without definition have the
meanings ascribed to them in the Purchase Agreement.

 

As used in this Warrant,
(i) “Business Day” means any day other than Saturday, Sunday or any other day on which commercial banks in the
City of New York, New York, are authorized or required by law or executive order to close; (ii) “Common Stock”
means the common stock of the Company, $0.001 par value per share, including any securities issued or issuable with respect thereto
or into which or for which such shares may be exchanged for, or converted into, pursuant to any stock dividend, stock split, stock
combination, recapitalization, reclassification, reorganization or other similar event; (iii) “Exercise Price”
means $0.25 per share of Common Stock, subject to adjustment as provided herein; (iv) “Trading Day” means
any day on which the Common Stock is traded on the primary national or regional stock exchange on which the Common Stock is listed,
or if not so listed, the OTC Markets, if quoted thereon, is open for the transaction of business; and (v) “Affiliate”
means any person that, directly or indirectly, through one or more intermediaries, controls, is controlled by, or is under common
control with, a person, as such terms are used and construed in Rule 144 promulgated under the Securities Act of 1933, as amended
(the “Securities Act”).

 

 

 

    
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		1.	DURATION AND EXERCISE OF WARRANTS

 

(a)       Exercise
Period. The Holder may exercise this Warrant for a period of three (3) years from the Effective Date of this Warrant in whole
or in part on any Business Day on or before 5:00 P.M., Eastern Time, on the Expiration Date, at which time this Warrant shall become
void and of no value.

 

 (b)       Exercise Procedures.

 

(i)       While
this Warrant remains outstanding and exercisable in accordance with Section 1(a), the Holder may exercise this Warrant in whole
or in part at any time and from time to time by:

 

(A)       delivery
to the Company of a duly completed and executed copy of the notice of exercise attached as Exhibit A (the “Notice
of Exercise”);

 

(B)       surrender
of this Warrant to the Secretary of the Company at its principal offices or at such other office or agency as the Company may specify
in writing to the Holder; and

 

(C)       payment
of the then-applicable Exercise Price per share multiplied by the number of Warrant Shares being purchased upon exercise of the
Warrant (such amount, the “Aggregate Exercise Price”) made in the form of cash, or by certified check, wire
transfer, bank draft or money order payable in lawful money of the United States of America, or in the form of a cashless Exercise
to the extent permitted in Section 1(b)(ii) below.

 

(ii)       Upon
the exercise of this Warrant in compliance with the provisions of this Section 1(b), and except as limited pursuant to Section
1(b)(iii), the Company shall promptly issue and cause to be delivered to the Holder a certificate for the Warrant Shares purchased
by the Holder. Each exercise of this Warrant shall be effective immediately prior to the close of business on the date (the “Date
of Exercise”) that the conditions set forth in Section 1(b) have been satisfied, as the case may be. On or before the
third Business Day following the date on which the Company has received each of the Notice of Exercise and the Aggregate Exercise
Price (the “Exercise Delivery Documents”), the Company shall transmit an acknowledgment of receipt of the Exercise
Delivery Documents to the Company’s transfer agent (the “Transfer Agent”). On or before the fifth Business
Day following the date on which the Company has received all of the Exercise Delivery Documents (the “Share Delivery Date”),
the Company shall (X) provided that the Warrant Shares have been registered or that the Warrant Shares are eligible for sale under
Rule 144 without restriction and that the Transfer Agent is participating in The Depository Trust Company (“DTC”)
Fast Automated Securities Transfer Program, upon the request of the Holder and to the extent applicable, Holder’s supplying
the Company with required Rule 144 documentation, credit such aggregate number of shares of Common Stock to which the Holder is
entitled pursuant to such exercise to the Holder’s or its designee’s balance account with DTC through its Deposit Withdrawal
Agent Commission system, or (Y) if the Warrant Shares have not been registered and are not eligible for sale under Rule 144 without
restriction or if Transfer Agent is not participating in the DTC Fast Automated Securities Transfer Program, issue and dispatch
by overnight courier to the address as specified in the Notice of Exercise, a certificate, registered in the Company’s share
register in the name of the Holder or its designee, for the number of shares of Common Stock to which the Holder is entitled pursuant
to such exercise. Upon delivery of the Exercise Delivery Documents, the Holder shall be deemed for all corporate purposes to have
become the holder of record of the Warrant Shares with respect to which this Warrant has been exercised, irrespective of the date
of delivery of the certificates evidencing such Warrant Shares.

 

 

 

    
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(iii)       If
the Company shall fail for any reason or for no reason to issue to the Holder, within five (5) Business Days of receipt of the
Exercise Delivery Documents, a certificate for the number of shares of Common Stock to which the Holder is entitled and register
such shares of Common Stock on the Company’s share register or to credit the Holder’s balance account with DTC for
such number of shares of Common Stock to which the Holder is entitled upon the Holder’s exercise of this Warrant, and if
on or after such Business Day the Holder purchases (in an open market transaction or otherwise) shares of Common Stock to deliver
in satisfaction of a sale by the Holder of shares of Common Stock issuable upon such exercise that the Holder anticipated receiving
from the Company (a “Buy-In”), then the Company shall, within three (3) Business Days after the Holder’s
request and in the Holder’s discretion, either (i) pay cash to the Holder in an amount equal to the Holder’s total
purchase price (including brokerage commissions, if any) for the shares of Common Stock so purchased (the “Buy-In Price”),
at which point the Company’s obligation to deliver such certificate (and to issue such shares of Common Stock) shall terminate,
or (ii) promptly honor its obligation to deliver to the Holder a certificate or certificates representing such shares of Common
Stock and pay cash to the Holder in an amount equal to the excess (if any) of the Buy-In Price over the product of (A) such number
of shares of Common Stock, times (B) the closing bid price on the date of exercise.

 

(c)       Partial
Exercise. This Warrant shall be exercisable, either in its entirety or, from time to time, for part only of the number of Warrant
Shares referenced by this Warrant. If this Warrant is submitted in connection with any partial exercise pursuant to Section 1hereof
and the number of Warrant Shares represented by this Warrant submitted for exercise is greater than the actual number of Warrant
Shares being acquired upon such exercise, then the Company shall, as soon as practicable, and in no event later than five (5) Business
Days after any exercise, and at its own expense, issue a new Warrant of like tenor representing the right to purchase the number
of Warrant Shares purchasable immediately prior to such exercise under this Warrant, less the number of Warrant Shares with respect
to which this Warrant is exercised.

 

(e)       Disputes.
In the case of a dispute as to the determination of the Exercise Price or the arithmetic calculation of the Warrant Shares, the
Company shall promptly issue to the Holder the number of Warrant Shares that are not disputed and resolve such dispute in accordance
with Section 15.

 

		2.	ISSUANCE OF WARRANT SHARES

 

(a)       The
Company covenants that all Warrant Shares will, upon issuance in accordance with the terms of this Warrant, be (i) duly authorized,
fully paid and non-assessable, and (ii) free from all liens, charges and security interests, with the exception of claims arising
through the acts or omissions of any Holder and except as arising from applicable Federal and state securities laws.

 

(b)       The
Company shall register this Warrant upon records to be maintained by the Company for that purpose in the name of the record holder
of such Warrant from time to time. The Company may deem and treat the registered Holder of this Warrant as the absolute owner thereof
for the purpose of any exercise thereof, any distribution to the Holder thereof and for all other purposes.

 

(c)       The
Company will not, by amendment of its certificate of incorporation, by-laws or through any reorganization, transfer of assets,
consolidation, merger, dissolution, issue or sale of securities or any other voluntary action, avoid or seek to avoid the observance
or performance of any of the terms to be observed or performed hereunder by the Company, but will at all times in good faith assist
in the carrying out of all the provisions of this Warrant and in the taking of all action necessary or appropriate in order to
protect the rights of the Holder to exercise this Warrant, or against impairment of such rights.

 

 

 

    
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		3.	ADJUSTMENTS OF EXERCISE PRICE, NUMBER AND TYPE OF WARRANT SHARES

 

(a)       The
Exercise Price and the number of shares purchasable upon the exercise of this Warrant shall be subject to adjustment from time
to time upon the occurrence of certain events described in this Section 3(a); provided, that notwithstanding the provisions
of this Section 3, the Company shall not be required to make any adjustment if and to the extent that such adjustment would require
the Company to issue a number of shares of Common Stock in excess of its authorized but unissued shares of Common Stock, less all
amounts of Common Stock that have been reserved for issue upon the conversion of all outstanding securities convertible into shares
of Common Stock and the exercise of all outstanding options, warrants and other rights exercisable for shares of Common Stock.
If the Company does not have the requisite number of authorized but unissued shares of Common Stock to make any adjustment, the
Company shall use its commercially reasonable efforts to obtain the necessary stockholder consent to increase the authorized number
of shares of Common Stock to make such an adjustment pursuant to this Section 3(a).

 

(i)       Subdivision
or Combination of Stock. In case the Company shall at any time subdivide (whether by way of stock dividend, stock split or
otherwise) its outstanding shares of Common Stock into a greater number of shares, the Exercise Price in effect immediately prior
to such subdivision shall be proportionately reduced and the number of Warrant Shares shall be proportionately increased, and conversely,
in case the outstanding shares of Common Stock of the Company shall be combined (whether by way of stock combination, reverse stock
split or otherwise) into a smaller number of shares, the Exercise Price in effect immediately prior to such combination shall be
proportionately increased and the number of Warrant Shares shall be proportionately decreased. The Exercise Price and the Warrant
Shares, as so adjusted, shall be readjusted in the same manner upon the happening of any successive event or events described in
this Section 3(a)(i).

 

(ii)       Dividends
in Stock, Property, Reclassification. If at any time, or from time to time, all of the holders of Common Stock (or any shares
of stock or other securities at the time receivable upon the exercise of this Warrant) shall have received or become entitled to
receive, without payment therefor:

 

(A)       any
shares of stock or other securities that are at any time directly or indirectly convertible into or exchangeable for Common Stock,
or any rights or options to subscribe for, purchase or otherwise acquire any of the foregoing by way of dividend or other distribution,
or

 

(B)       additional
stock or other securities or property (including cash) by way of spin-off, split-up, reclassification, combination of shares or
similar corporate rearrangement (other than shares of Common Stock issued as a stock split or adjustments in respect of which shall
be covered by the terms of Section 3(a)(i) above),

 

then and in each such case, the Exercise
Price and the number of Warrant Shares to be obtained upon exercise of this Warrant shall be adjusted proportionately, and the
Holder hereof shall, upon the exercise of this Warrant, be entitled to receive, in addition to the number of shares of Common Stock
receivable thereupon, and without payment of any additional consideration therefor, the amount of stock and other securities and
property (including cash in the cases referred to above) that such Holder would hold on the date of such exercise had such Holder
been the holder of record of such Common Stock as of the date on which holders of Common Stock received or became entitled to receive
such shares or all other additional stock and other securities and property. The Exercise Price and the Warrant Shares, as so adjusted,
shall be readjusted in the same manner upon the happening of any successive event or events described in this Section 3(a)(ii).

 

 

 

    
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(iii)       Reorganization,
Reclassification, Consolidation, Merger or Sale. If any recapitalization, reclassification or reorganization of the capital
stock of the Company, or any consolidation or merger of the Company with another corporation, or the sale of all or substantially
all of its assets or other transaction shall be effected in such a way that holders of Common Stock shall be entitled to receive
stock, securities or other assets or property (an “Organic Change”), then as a condition of such Organic Change,
lawful and adequate provisions shall be made by the Company whereby the Holder hereof shall thereafter have the right to purchase
and receive (in lieu of the shares of the Common Stock of the Company immediately theretofore purchasable and receivable upon the
exercise of the rights represented by this Warrant) such shares of stock, securities or other assets or property as may be issued
or payable with respect to or in exchange for a number of outstanding shares of such Common Stock equal to the number of shares
of such stock immediately theretofore purchasable and receivable assuming the full exercise of the rights represented by this Warrant.
In the event of any Organic Change, appropriate provision shall be made by the Company with respect to the rights and interests
of the Holder of this Warrant to the end that the provisions hereof (including, without limitation, provisions for adjustments
of the Exercise Price and of the number of shares purchasable and receivable upon the exercise of this Warrant and registration
rights) shall thereafter be applicable, in relation to any shares of stock, securities or assets thereafter deliverable upon the
exercise hereof. The Company will not effect any such consolidation, merger or sale unless, prior to the consummation thereof,
the successor corporation (if other than the Company) resulting from such consolidation or merger or the corporation purchasing
such assets shall assume by written instrument reasonably satisfactory in form and substance to the Holder executed and mailed
or delivered to the registered Holder hereof at the last address of such Holder appearing on the books of the Company, the obligation
to deliver to such Holder such shares of stock, securities or assets as, in accordance with the foregoing provisions, such Holder
may be entitled to purchase. If there is an Organic Change, then the Company shall cause to be mailed to the Holder at its last
address as it shall appear on the books and records of the Company, at least 10 calendar days before the effective date of the
Organic Change, a notice stating the date on which such Organic Change is expected to become effective or close, and the date as
of which it is expected that holders of the Common Stock of record shall be entitled to exchange their shares for securities, cash,
or other property delivered upon such Organic Change; provided, that the failure to mail such notice or any defect therein
or in the mailing thereof shall not affect the validity of the corporate action required to be specified in such notice. The Holder
is entitled to exercise this Warrant during the 10-day period commencing on the date of such notice to the effective date of the
event triggering such notice. In any event, the successor corporation (if other than the Company) resulting from such consolidation
or merger or the corporation purchasing such assets shall be deemed to assume such obligation to deliver to such Holder such shares
of stock, securities or assets even in the absence of a written instrument assuming such obligation to the extent such assumption
occurs by operation of law.

 

At the effective time
of the Merger, the Holders of all of the Unit Warrants to purchase Unit Warrant Shares of Common Stock of the Company will receive,
in exchange for all of their Unit Warrants, warrants to purchase shares of common stock of the Combined Company, at an exchange
rate of 1-for-1, with appropriate adjustments and, otherwise, on their original terms and conditions.

 

(b)       Certificate
as to Adjustments. Upon the occurrence of each adjustment or readjustment pursuant to this Section 3, the Company at its expense
shall promptly compute such adjustment or readjustment in accordance with the terms hereof and furnish to each Holder of this Warrant
a certificate setting forth such adjustment or readjustment and showing in detail the facts upon which such adjustment or readjustment
is based. The Company shall promptly furnish or cause to be furnished to such Holder a like certificate setting forth: (i) such
adjustments and readjustments; and (ii) the number of shares and the amount, if any, of other property which at the time would
be received upon the exercise of the Warrant.

 

 

 

    
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(c)       Certain
Events. If any event occurs as to which the other provisions of this Section 3 are not strictly applicable but the lack of
any adjustment would not fairly protect the purchase rights of the Holder under this Warrant in accordance with the basic intent
and principles of such provisions, or if strictly applicable would not fairly protect the purchase rights of the Holder under this
Warrant in accordance with the basic intent and principles of such provisions, then the Company's Board of Directors will, in good
faith and subject to applicable law, make an appropriate adjustment to protect the rights of the Holder; provided, that
no such adjustment pursuant to this Section 3(c) will increase the Exercise Price or decrease the number of Warrant Shares as otherwise
determined pursuant to this Section 3.

 

		4.	TRANSFERS AND EXCHANGES OF WARRANT AND WARRANT SHARES

 

(a)       Registration
of Transfers and Exchanges. Subject to Section 4(c), upon the Holder’s surrender of this Warrant, with a duly executed
copy of the Form of Assignment attached as Exhibit B, to the Secretary of the Company at its principal offices or
at such other office or agency as the Company may specify in writing to the Holder, the Company shall register the transfer of
all or any portion of this Warrant. Upon such registration of transfer, the Company shall issue a new Warrant, in substantially
the form of this Warrant, evidencing the acquisition rights transferred to the transferee and a new Warrant, in similar form, evidencing
the remaining acquisition rights not transferred, to the Holder requesting the transfer.

 

(b)       Warrant
Exchangeable for Different Denominations. The Holder may exchange this Warrant for a new Warrant or Warrants, in substantially
the form of this Warrant, evidencing in the aggregate the right to purchase the number of Warrant Shares, which may then be purchased
hereunder, each of such new Warrants to be dated the date of such exchange and to represent the right to purchase such number of
Warrant Shares as shall be designated by the Holder. The Holder shall surrender this Warrant with duly executed instructions regarding
such re-certification of this Warrant to the Secretary of the Company at its principal offices or at such other office or agency
as the Company may specify in writing to the Holder.

 

(c)       Restrictions
on Transfers. This Warrant may not be transferred at any time without (i) registration under the Securities Act or (ii) an
exemption from such registration and a written opinion of legal counsel addressed to the Company that the proposed transfer of
the Warrant may be effected without registration under the Securities Act, which opinion will be in form and from counsel reasonably
satisfactory to the Company.

 

(d)       Permitted
Transfers and Assignments. Notwithstanding any provision to the contrary in this Section 4, the Holder may transfer, with or
without consideration, this Warrant or any of the Warrant Shares (or a portion thereof) to the Holder’s Affiliates (as such
term is defined under Rule 144 of the Securities Act) without obtaining the opinion from counsel that may be required by Section
4(c)(ii), provided, that the Holder delivers to the Company and its counsel certification, documentation, and other assurances
reasonably required by the Company’s counsel to enable the Company’s counsel to render an opinion to the Company’s
Transfer Agent that such transfer does not violate applicable securities laws.

 

		5.	MUTILATED OR MISSING WARRANT CERTIFICATE

 

If this Warrant is
mutilated, lost, stolen or destroyed, upon request by the Holder, the Company will, at its expense, issue, in exchange for and
upon cancellation of the mutilated Warrant, or in substitution for the lost, stolen or destroyed Warrant, a new Warrant, in substantially
the form of this Warrant, representing the right to acquire the equivalent number of Warrant Shares; provided, that, as
a prerequisite to the issuance of a substitute Warrant, the Company may require satisfactory evidence of loss, theft or destruction
as well as an indemnity from the Holder of a lost, stolen or destroyed Warrant.

 

 

 

    
	 	6	 

     

    

 

		6.	PAYMENT OF TAXES

 

The Company will pay
all transfer and stock issuance taxes attributable to the preparation, issuance and delivery of this Warrant and the Warrant Shares
(and replacement Warrants) including, without limitation, all documentary and stamp taxes; provided, however, that
the Company shall not be required to pay any tax in respect of the transfer of this Warrant, or the issuance or delivery of certificates
for Warrant Shares or other securities in respect of the Warrant Shares to any person or entity other than to the Holder.

 

		7.	FRACTIONAL WARRANT SHARES

 

No fractional Warrant
Shares shall be issued upon exercise of this Warrant. The Company, in lieu of issuing any fractional Warrant Share, shall round
up the number of Warrant Shares issuable to nearest whole share.

 

		8.	NO STOCK RIGHTS AND LEGEND

 

No holder of this Warrant,
as such, shall be entitled to vote or be deemed the holder of any other securities of the Company that may at any time be issuable
on the exercise hereof, nor shall anything contained herein be construed to confer upon the holder of this Warrant, as such, the
rights of a stockholder of the Company or the right to vote for the election of directors or upon any matter submitted to stockholders
at any meeting thereof, or give or withhold consent to any corporate action or to receive notice of meetings or other actions affecting
stockholders (except as provided herein), or to receive dividends or subscription rights or otherwise (except as provide herein).

 

Each certificate for
Warrant Shares initially issued upon the exercise of this Warrant, and each certificate for Warrant Shares issued to any subsequent
transferee of any such certificate, shall be stamped or otherwise imprinted with a legend in substantially the following form:

 

THE SECURITIES REPRESENTED HEREBY
HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”) OR ANY STATE
SECURITIES LAWS. SUCH SECURITIES MAY BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED ONLY (A) TO THE COMPANY, (B) IN COMPLIANCE
WITH RULE 144 UNDER THE SECURITIES ACT, IF AVAILABLE, AND IN ACCORDANCE WITH APPLICABLE STATE SECURITIES LAWS, (C) PURSUANT TO
AN EFFECTIVE REGISTRATION STATEMENT, OR (D) IN A TRANSACTION THAT DOES NOT REQUIRE REGISTRATION UNDER THE SECURITIES ACT OR ANY
APPLICABLE STATE SECURITIES LAWS, AND THE HOLDER HAS, PRIOR TO SUCH SALE, FURNISHED TO THE COMPANY AN OPINION OF COUNSEL OR OTHER
EVIDENCE OF EXEMPTION, IN EITHER CASE REASONABLY SATISFACTORY TO THE COMPANY. HEDGING TRANSACTIONS INVOLVING THESE SECURITIES MAY
NOT BE CONDUCTED UNLESS IN COMPLIANCE WITH THE SECURITIES ACT.

 

		9.	NO THIRD-PARTY RIGHTS

 

This Warrant is not
intended, and will not be construed, to create any rights in any parties other than the Company and the Holder, and no person or
entity may assert any rights as third-party beneficiary hereunder.

 

 

 

    
	 	7	 

     

    

 

		10.	NOTICES

 

All notices, consents,
waivers, and other communications under this Warrant must be in writing and will be deemed given to a party when (a) delivered
to the appropriate address by hand or by nationally recognized overnight courier service (costs prepaid); (b) sent by facsimile
or e-mail with confirmation of transmission by the transmitting equipment; (c) received or rejected by the addressee, if sent by
certified mail, return receipt requested, if to the registered Holder hereof; or (d) seven days after the placement of the notice
into the mails (first class postage prepaid), to the Holder at the address, facsimile number, or e-mail address furnished by the
registered Holder to the Company in accordance with the Subscription Agreement by and between the Company and the Holder or, if
the registered Holder is not the original purchaser of this Warrant, then as provided in the Form of Assignment delivered to the
Company pursuant to Section 4(a) in connection with the assignment of this Warrant to such Holder, or if to the Company, to it
at:

 

Grom Social Enterprises, Inc.

2060 NW Boca Raton Blvd. #6

Boca Raton, Florida 33431

Attn.: Mel Leiner

Telephone: (561) 287-5776

Facsimile:_______________

E-Mail: mel@gromsocial.com

 

(or to such other address, facsimile number,
or e-mail address as the Holder or the Company as a party may designate by notice to the other party in accordance with this Section
10) with a copy to

 

The Crone Law Group, P.C.

500 Fifth Ave, Suite 938

New York, NY 10110

Attn: Mark E. Crone

Telephone: (860) 202-6845

Facsimile: (818) 688-3130

E-Mail: mcrone@cronelawgroup.com

 

		11.	SEVERABILITY

 

If a court of competent
jurisdiction holds any provision of this Warrant invalid or unenforceable, the other provisions of this Warrant will remain in
full force and effect. Any provision of this Warrant held invalid or unenforceable only in part or degree will remain in full force
and effect to the extent not held invalid or unenforceable.

 

 

 

    
	 	8	 

     

    

 

		12.	BINDING EFFECT

 

This Warrant shall
be binding upon and inure to the sole and exclusive benefit of the Company, its successors and assigns, the registered Holder or
Holders from time to time of this Warrant and the Warrant Shares.

 

		13.	TERMINATION; SURVIVAL OF RIGHTS AND DUTIES

 

(a)       This
Warrant shall terminate and be of no further force and effect on the earlier of 5:00 P.M., Eastern Time, on the Expiration Date
or the date on which this Warrant has been exercised in full.

 

(b)       This
Warrant shall terminate upon the Company’s payment to the Holder of the Put Price following the Holder’s exercise of
the Put Right.

 

		14.	GOVERNING LAW

 

This Warrant will be
governed by and construed under the laws of the State of Florida without regard to conflicts of laws principles that would require
the application of any other law.

 

		15.	DISPUTE RESOLUTION

 

In the case of a dispute
as to the determination of the Exercise Price or the arithmetic calculation of the Warrant Shares, the Company shall submit the
disputed determinations or arithmetic calculations via facsimile within five (5) Business Days of receipt of the Notice of Exercise
giving rise to such dispute, as the case may be, to the Holder. If the Holder and the Company are unable to agree upon such determination
or calculation of the Exercise Price or the Warrant Shares within three Business Days of such disputed determination or arithmetic
calculation being submitted to the Holder, then the Company shall, at its sole discretion, within five (5) Business Days, submit
via facsimile (a) the disputed determination of the Exercise Price to an independent, reputable investment bank selected by the
Company and approved by the Holder, or (b) the disputed arithmetic calculation of the Warrant Shares to the Company’s independent,
outside accountant. The Company shall cause at its expense the investment bank or the accountant, as the case may be, to perform
the determinations or calculations and notify the Company and the Holder of the results no later than ten (10) Business Days from
the time it receives the disputed determinations or calculations; provided that, if such disputed determination or arithmetic calculation
being submitted by the Holder is determined to be incorrect, then the expense of the investment bank or the accountant shall be
the responsibility of the Holder. Such investment bank’s or accountant’s determination or calculation, as the case
may be, shall be final, binding and conclusive upon the parties thereto absent demonstrable error.

 

		16.	NOTICES OF RECORD DATE

 

Upon (a) any establishment
by the Company of a record date of the holders of any class of securities for the purpose of determining the holders thereof who
are entitled to receive any dividend or other distribution, or right or option to acquire securities of the Company, or any other
right, or (b) any capital reorganization, reclassification, recapitalization, merger or consolidation of the Company with or into
any other corporation, any transfer of all or substantially all the assets of the Company, or any voluntary or involuntary dissolution,
liquidation or winding up of the Company, or the sale, in a single transaction, of a majority of the Company’s voting stock
(whether newly issued, or from treasury, or previously issued and then outstanding, or any combination thereof), the Company shall
mail to the Holder at least ten (10) Business Days, or such longer period as may be required by law, prior to the record date specified
therein, a notice specifying (i) the date established as the record date for the purpose of such dividend, distribution, option
or right and a description of such dividend, option or right, (ii) the date on which any such reorganization, reclassification,
transfer, consolidation, merger, dissolution, liquidation or winding up, or sale is expected to become effective and (iii) the
date, if any, fixed as to when the holders of record of Common Stock shall be entitled to exchange their shares of Common Stock
for securities or other property deliverable upon such reorganization, reclassification, transfer, consolation, merger, dissolution,
liquidation or winding up.

 

 

 

    
	 	9	 

     

    

 

		17.	RESERVATION OF SHARES

 

The Company shall reserve
and keep available out of its authorized but unissued shares of Common Stock for issuance upon the exercise of this Warrant, free
from pre-emptive rights, such number of shares of Common Stock for which this Warrant shall from time to time be exercisable. The
Company will take all such reasonable action as may be necessary to assure that such Warrant Shares may be issued as provided herein
without violation of any applicable law or regulation. Without limiting the generality of the foregoing, the Company covenants
that it will use commercially reasonable efforts to take all such action as may be necessary or appropriate in order that the Company
may validly and legally issue fully paid and non-assessable Warrant Shares upon the exercise of this Warrant and use commercially
reasonable efforts to obtain all such authorizations, exemptions or consents, including but not limited to consents from the Company’s
stockholders or Board of Directors or any public regulatory body, as may be necessary to enable the Company to perform its obligations
under this Warrant.

 

		18.	HEADINGS

 

The headings used in
this Warrant are for the convenience of reference only and shall not, for any purpose, be deemed a part of this Warrant.

 

		19.	AMENDMENT AND WAIVERS

 

Any term of this Warrant
may be amended and the observance of any term of this Agreement may be waived (either generally or in a particular instance and
either retroactively or prospectively), with the written consent of the Company and the Holders of a majority of the Unit Warrants.

 

 

[SIGNATURE PAGE FOLLOWS]

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    
	 	10	 

     

    

 

IN WITNESS WHEREOF,
the Company has caused this Warrant to be duly executed as of the date first set forth above.

 

 

	 	GROM SOCIAL ENTERPRISES,
INC.
	 	 
	 	 
	 	 
	 	By:                                                                              
	 	 	 Name: Darren Marks
	 	 	 Title: Chief Executive Officer
	 	 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    
	 	11	 

     

    

 

EXHIBIT A

 

NOTICE OF EXERCISE

 

(To be executed by the Holder of Warrant
if such Holder desires to exercise Warrant)

 

To [Company Name]:

 

The undersigned hereby
irrevocably elects to exercise this Warrant and to purchase thereunder, ___________________ full shares of [Company Name], Common
Stock issuable upon exercise of the Warrant and delivery of $_________ (in cash as provided for in the foregoing Warrant) and any
applicable taxes payable by the undersigned pursuant to such Warrant.

 

The undersigned
requests that certificates for such shares be issued in the name of:

 

_________________________________________

 

_________________________________________

 

_________________________________________

 

(Please print name, address and social security
or federal employer

identification number (if applicable))*

 

If the shares issuable
upon this exercise of the Warrant are not all of the Warrant Shares which the Holder is entitled to acquire upon the exercise of
the Warrant, the undersigned requests that a new Warrant evidencing the rights not so exercised be issued in the name of and delivered
to:

 

_________________________________________

 

 

_________________________________________

 

_________________________________________

 

(Please print name, address and social security
or federal employer

identification number (if applicable))*

 

 

Name of Holder (print):
___________________________

(Signature): _____________________________________

(By:) __________________________________________

(Title:) ________________________________________

Dated: _________________________________________

 

 

____________________

 

*               If Warrant Shares are to be issued
in any name other than that of the registered Holder of the Warrant, then the Holder must include an opinion of counsel, reasonably
satisfactory to the Company, to the effect that such issuance complies with all applicable securities laws.

 

 

 

 

 

 

 

 

 

    
	 	12	 

     

    

 

EXHIBIT B

 

FORM OF ASSIGNMENT

 

FOR VALUE RECEIVED,
___________________________________ hereby sells, assigns and transfers to each assignee set forth below all of the rights of the
undersigned under the Warrant (as defined in and evidenced by the attached Warrant) to acquire the number of Warrant Shares set
opposite the name of such assignee below and in and to the foregoing Warrant with respect to said acquisition rights and the shares
issuable upon exercise of the Warrant:

 

 

	
        Name of Assignee

        (and social security or federal employer

        identification number (if applicable))
	Address	Number of Shares
	
         

         
	 	 
	
         

         
	 	 
	
         

         
	 	 
	
         

         
	 	 

 

 

If the total of the
Warrant Shares are not all of the Warrant Shares evidenced by the foregoing Warrant, the undersigned requests that a new Warrant
evidencing the right to acquire the Warrant Shares not so assigned be issued in the name of and delivered to the undersigned.

 

 

Name of Holder (print):
___________________________

(Signature): ____________________________________

(By:) _________________________________________

(Title:) ________________________________________

Dated: ________________________________________

 

 

 

 

 

 

 

 

 

    
	 	13

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