Document:

Exhibit

EMPLOYMENT AGREEMENT

This EMPLOYMENT AGREEMENT (the "Agreement") dated as of June 5, 2017 by and between Alexion Pharmaceuticals, Inc., a Delaware corporation (the "Company"), and John J. Orloff (the "Employee").

WITNESSETH

WHEREAS, the Company agrees to employ the Employee, subject to the terms and conditions contained in this Agreement; and

WHEREAS, the Employee agrees to accept employment with the Company, subject to the terms and conditions contained in this Agreement.

NOW, THEREFORE, in consideration of the premises and the mutual covenants and agreements herein contained, the parties hereto agree as follows:

		
	1.
	Employment Duties and Acceptance.

(a)The Company hereby employs the Employee, for the Term (as hereinafter defined), to render full-time services to the Company as Executive Vice President, Research & Development, or such other position determined by the Company, and to perform such duties commensurate with such office or other office as the Employee shall reasonably be directed by the Company to perform.  The Employee hereby accepts such employment and agrees to render the services described above.  The Employee shall report to the Chief Executive Officer of the Company.

(b)During the Term, the Employee shall devote his full business time and his best efforts, business judgment, skill and knowledge exclusively to the advancement of the business and interests of the Company and its Affiliates and to the discharge of his duties and responsibilities hereunder.  Notwithstanding  anything to the contrary herein, although the Employee shall provide services as a full time employee, it is understood that the Employee, with consent of the Chief Executive Officer, may (1) have non full-time academic appointments;
(2) participate in professional activities; (3) publish academic articles; (4) participate in community and/or philanthropic activities; and (5) may, with the consent of the Chief Executive Officer serve on one outside board of directors (collectively, "Permitted Activities"); provided, however, that such Permitted Activities do not interfere with the Employee's duties to the Company.

		
	2.
	Term of Employment.

The term of the Employee's employment under this Agreement shall commence as of June 5, 2017 (the "Effective Date") and shall end on the third anniversary thereof, unless sooner terminated pursuant to Section 6, 7 or 8 of this Agreement. Notwithstanding the foregoing, unless notice is given by the Employee or the Company at least sixty (60) days prior to the expiration of the Term of this Agreement (or at least sixty (60) days prior to the expiration of any extension hereof), the Term of the Agreement shall be automatically extended by one (1) year from the date it would otherwise end (whether upon expiration of the original Term or any extension(s) thereof), unless sooner terminated pursuant to Section 6, 7 or 8 hereof.  The term of this Agreement as from time to time extended or renewed is hereafter referred to as "the Term of this Agreement" or "the Term".

		
	3.
	Compensation and Benefits.

(a)As compensation for services to be rendered pursuant to this Agreement, the Company agrees to pay the Employee, during the Term, an annual base salary of $675,000.00 as adjusted from time to time, which base salary as so adjusted, shall be not less than the Employee's base salary in effect immediately prior to the Effective Date (the "Base Salary"), payable in accordance with its regular payroll practices.  The Employee's Base Salary hereunder shall be reviewed at least annually thereafter during the Term of the Agreement for increase at the discretion of the Company.

(b)The Company agrees that the Employee shall be eligible for an annual performance bonus from the Company with respect to each fiscal year of the Company that ends during the Term, pursuant to the Company's management incentive bonus program in effect from time to time (such plan, as so in effect, the "Bonus Plan").  The Employee's target bonus under the Bonus Plan will be 70% of the Base Salary.  The actual amount of any such bonus payable to the Employee under the Bonus Plan shall be determined by the Board of Directors of the Company (the "Board") or the Compensation Committee thereof (the "Committee") and paid by the Company in accordance with the terms of the Bonus Plan, subject to the Employee's remaining employed on the date that bonuses are paid under the Bonus Plan, except as otherwise expressly provided herein.

(c)The Employee shall be eligible to receive stock-based awards under the equity incentive plan or program maintained by the Company as in effect from time to time (such plan, as so in effect, the "Equity Plan") in the discretion of the Board or the Committee.  Any such stock-based award will be subject to the terms of the Equity Plan, the terms of the award agreement evidencing such stock-based award, and such other restrictions and limitations as are generally applicable to shares of the Company's common stock or Company employees or otherwise imposed by law.

(d)The Company shall pay or reimburse the Employee for all reasonable, customary and necessary business expenses actually incurred or paid by the Employee during the Term in the performance of services under this Agreement, subject to travel and other policies and such reasonable substantiation and documentation as may be required by the Company from time to time, provided that (i) the amount of expenses eligible for reimbursement during any calendar year may not affect the expenses eligible for reimbursement in any other taxable year, (ii) reimbursement is made not later than December 31 of the calendar year following the calendar year in which the expense was incurred, and (iii) the right to reimbursement is not subject to liquidation or exchange for any other benefit.

(e)During the Term, the Employee shall be eligible to participate in all employee benefit plans from time to time in effect for employees of the Company generally, except to the extent such plans are duplicative of benefits otherwise provided under this Agreement (e.g., a severance pay plan).  Participation in such employee benefit plans will be subject to the terms of the applicable plan documents and generally applicable Company policies, as the same may be in effect from time to time, and any other restrictions or limitations imposed by law.

(f)During the Term, the Employee shall be eligible for paid vacation of four weeks and two personal days per calendar year taken in accordance with applicable Company policy.

(g)On the first regular payroll date following the Effective Date, the Employee will be advanced the gross amount of $200,000.00, subject to taxes and other withholdings, as a sign­ on wage advance. The Employee shall be required to repay the full gross amount of such payment to the Company if this Agreement is terminated under Sections 6(c) or 7(a) hereof prior to the first anniversary of the Effective Date; the Employee shall be required to repay 50% of the gross amount of such payment to the Company if this Agreement is terminated under Sections 6(c) or 7(a) hereof between the first and second anniversaries of the Effective Date.

		
	4.
	Confidentiality.

The Employee acknowledges and agrees that he is bound by the terms and conditions of the Proprietary Information and Inventions Agreement separately entered into with the Company.  Notwithstanding any other provision of this Agreement, the Employee shall continue to be bound by the terms of such Proprietary Information and Inventions Agreement which shall survive the termination of this Agreement in accordance with its terms.

		
	5.
	Non-Competition, Non-Solicitation and Non-Disparagement.

(a)During the Term, the Employee shall not (1) provide any services, directly or indirectly, to any other business or commercial entity without the consent of the Company, which may be withheld in the Company's sole discretion, or (2) participate in the formation of any business or commercial entity without the consent of the Company, which may be withheld in the Company's sole discretion; provided, however, that nothing contained in this Section 5(a) shall be deemed to prohibit the Employee from acquiring, solely as an investment, shares of capital stock (or other interests) of any corporation (or other entity) not exceeding 2% of such corporation's (or other entity's) then outstanding shares of capital stock and provided, further, that nothing contained herein shall be deemed to limit the Employee's Permitted Activities pursuant to Section 1(b).

(b)Upon a termination of the Employee's employment by the Company for any reason other than pursuant to Section 6(a) or Section 6(b), or upon a termination of the Employee's employment by the Employee for any reason, following such termination of employment and during the Restricted Period, the Employee shall not, directly or indirectly, whether as owner, partner, investor, consultant, agent, employee, co-venturer, or otherwise, compete with the Company or any of its Affiliates, or undertake any planning for any business competitive with the Company or any of its Affiliates. Specifically, but without limiting the foregoing, during the Restricted Period the Employee will not: (1) provide any services  directly or indirectly, whether as an employee or independent contractor or otherwise, whether with or without compensation, to any other business or commercial entity in the United States that is competitive with all or any portion of the business of the Company or its Affiliates; (2)  participate in the formation of any business or commercial entity in the United States that is competitive with all or any portion of the business of the Company or its Affiliates, (3) directly  or indirectly seek to employ, any person employed by the Company or any of its Affiliates anywhere in the world, or otherwise encourage or entice any such person to leave such employment; (4) solicit or encourage any independent contractor providing services to the Company or any of its Affiliates anywhere in the world to terminate or diminish its relationship with the Company or its Affiliates; or (5) solicit or encourage any customer, consultant, or  vendor of the Company or its Affiliates anywhere in the world, to terminate or diminish its relationship with the Company or its Affiliates; provided, however, that nothing contained in this Section 5(b) shall be deemed to prohibit the Employee from acquiring, solely as an investment, shares of capital stock (or other interests) of any corporation (or other entity) not exceeding 2% of such corporation's (or other entity's) then outstanding shares of capital stock and provided, further, that nothing contained herein shall be deemed to limit Employee's Permitted Activities pursuant to Section l(b).  This Section 5(b) shall be subject to written waivers that may be obtained by the Employee from the Company.

(c)At no time during the Term of this Agreement or thereafter, regardless of the reason for termination, will Employee knowingly make any written or verbal untrue statement that disparages the Company, its Affiliates, its business, its management, or its products in communications with any customer, client or the public.  The employee will, furthermore, not otherwise do or say anything that could disrupt the good morale of employees of the Company or any of its Affiliates, or that harms the interests or reputation of the Company or any of its Affiliates.

(d)Nothing in this Agreement or the Proprietary Information and Inventions Agreement limits,  restricts, or in any other way affects the Employee's communicating with any governmental agency or entity, or communicating with any official or staff person of a governmental agency or entity, concerning matters relevant to the governmental agency or entity.

(e)The Employee acknowledges that he has read and considered all the terms and conditions of this Agreement, including the restraints imposed upon him pursuant to Sections 5(a)-(c) above. The Employee agrees without reservation that these restraints are necessary for the reasonable and proper protection of the Company and its Affiliates, and are reasonable in respect to subject matter, length of time, and geographic area. If the Employee commits a breach, or threatens to commit a breach, of any of the provisions of this Section 5, the Company shall have the right and remedy to have the provisions of this Agreement specifically enforced by any court having equity jurisdiction, it being acknowledged and agreed that any such breach or threatened breach will cause irreparable injury to the Company and that money damages may not provide an adequate remedy to the Company.  The Employee therefore agrees that the Company, in addition to any other remedies available to it, shall be entitled to preliminary and permanent injunctive relief against any breach or threatened breach by the Employee of any of the provisions of this Section 5, without having to post bond. So that the Company may enjoy the full benefit of the covenants contained above, the Employee agrees that the Restricted Period shall be tolled, and shall not run, during the period of any breach by the Employee of such covenants.

(f)    If any of the covenants contained in this Section 5, or any part thereof, is hereafter construed to be invalid or unenforceable, the same shall not affect the remainder of the covenant or covenants, which shall be given full effect without regard to the invalid portions.

(a)If any of the covenants contained in this Section 5, or any part thereof, is held to be unenforceable because of the duration or scope of such provision or the area covered thereby, the parties agree that the court making such determination shall have the power to reduce the duration and/or area of such provision, and that the patties intend for the court to modify the duration and/or area of such provision to the maximum extent permitted by law.  The parties agree that in its reduced form, such provision shall then be enforceable.

(b)In the event that the courts of any one or more of such states shall hold any such covenant wholly unenforceable by reason of the breadth of such scope or otherwise, it is the intention of the parties hereto that such determination not bar or in any way affect the Company's right to the relief provided above in the courts of any other states within the geographical scope of such other covenants, as to breaches of such covenants in such other respective jurisdictions,  the above covenants as they relate to each state being, for this purpose, severable into diverse and independent covenants.

		
	6.
	Termination by the Company.

The Company may terminate the employment of the Employee as follows during the Term of this Agreement if any one or more of the following shall occur:

(a)Death.  If the Employee shall die during the Term, the Employee's employment hereunder shall automatically terminate.

(b)Disability.  If the Employee shall become physically or mentally disabled so that the Employee is unable substantially to perform his services hereunder for (1) a period of 120 consecutive days, or (2) for shorter periods aggregating to 180 days during any twelve-month period, the Company may terminate the Employee's employment hereunder upon written notice given by the Company to the Employee.

(c)For Cause.  If the Employee acts, or fails to act, in a manner that provides Cause for termination, the Company may at any time terminate the Employee's employment hereunder upon written notice given by the Company to the Employee.  For purposes of this Agreement,  the term "Cause" means (1) the Employee's indictment for, or conviction of, a felony or other crime involving moral turpitude, or any crime or serious offense involving money or other property which constitutes a felony in the jurisdiction  involved, (2) the Employee's willful and continual neglect or failure to discharge duties (including fiduciary duties), responsibilities and obligations with respect to the Company hereunder; provided such neglect or failure, if susceptible of cure, remains uncured for a period of thirty (30) days after written notice describing the same is given to the Employee; provided further that isolated and insubstantial neglect or failures shall not constitute 

Cause hereunder, (3) the Employee's material breach of this Agreement or any other material agreement with the Company, (4) the Employee's violation of Section 5 hereof or the Employee's breach of any confidentiality provisions contained in the Proprietary Information and Inventions Agreement, or (5) any act of fraud or embezzlement by the Employee involving the Company or any of its Affiliates.

(d)Without Cause.  The Company may at any time terminate the Employee's employment hereunder without Cause upon written notice given by the Company to the Employee.

		
	7.
	Termination by the Employee.

(a)Other than for Constructive Termination.  The Employee may terminate his employment hereunder at any time, for any reason and for no reason, upon not less than sixty
(60) days' prior written notice to the Company.

(b)Constructive Termination.  The Employee may terminate his employment hereunder upon written notice to the Company if any one or more of the following shall occur, each of which is deemed a Constructive Termination:

(i)a material breach of the terms of this Agreement by the Company and such breach continues uncured for thirty (30) days after the Employee first gives written notice of such breach to the Company;

(ii)a relocation of the Employee's place of employment to a location beyond a 30- mile radius of New Haven, Connecticut; or

(iii)a material breach by the Company of any other material agreement with the Employee and such breach continues uncured for thirty (30) days after the Employee first gives written notice of such breach to the Company

Notwithstanding the foregoing, the Employee shall not be deemed to have a "Constructive Termination" unless the Employee gives the Company written notice of such a condition within ninety (90) days after such condition first comes into existence, the Company fails to remedy such condition within thirty (30) days after receiving the Employee's written notice and the Employee terminates this Agreement not later than thirty (30) days after the Company so fails to remedy such condition.

		
	8.
	Termination by Employee for Good Reason Following a Change in Control.

In addition to Section 7(b)(i) through (iii) above, during the period commencing on the Change in Control (as defined in Section 14) and ending on the eighteen (18) month anniversary of such Change in Control, the Employee may terminate this Agreement upon expiration of ninety (90) days' prior written notice if "Good Reason" exists for the Employee's termination. For this purpose, termination by the Employee for "Good Reason" shall mean a termination by the Employee of his employment hereunder following the initial occurrence, without his prior written consent, of any of the following events, unless the Company or its successor fully cures all grounds for such termination within thirty (30) days after receipt of the Employee's written notice (it being understood that a termination of employment hereunder shall only be for Good Reason if the Employee terminates his employment not later than thirty (30) days after the Company so fails to cure such grounds):

(a)any material adverse change in the Employee's authority, duties, titles or offices (including reporting responsibility), from those existing immediately prior to the Change in Control;

(b)a diminution of the Employee's Base Salary or annual bonus opportunity as provided for in Section 3; or

(c)the failure of the Company to obtain the assumption in writing of its obligation to perform this Agreement by any successor to all or substantially all of the assets of the Company upon a merger, consolidation, sale or similar transaction.

		
	9.
	Severance and Benefit Continuation.

(a)Termination for Cause or Voluntary Termination. In the event of a termination of the Employee's employment by the Company for Cause pursuant to Section 6(c) hereof or by the Employee pursuant to Section 7(a) hereof, no severance or other termination pay or benefits shall be due to the Employee and the only obligation of the Company shall be to pay the Employee any accrued but unpaid Base Salary as of the date of termination and any accrued but unpaid vacation as of the date of termination (the "Accrued Obligations"), which amounts shall be paid to the Employee within thirty (30) days of the date of termination.  In the event of a termination of the Employee's employment pursuant to Section 7(a), the Company may elect to waive the period of notice required by Section 7(a), or any portion thereof, and, if the Company so elects, the Company will pay the Employee his Base Salary for the period so waived.  Upon a termination covered by this Section 9(a), the Employee shall have the same opportunity to continue group health benefits at the Employee's expense in accordance with the Consolidated Omnibus Budget Reconciliation Act of 1985 ("COBRA") as is available generally to other employees terminating employment with the Company.  Any outstanding equity awards previously granted to the Employee under the Equity Plan shall be treated in accordance with the terms of the Equity Plan and any individual award agreements under which such equity awards were granted.  A termination of the Employee's employment that occurs by reason of the Employee's notice to the Company of non-renewal of the Term under Section 2 hereof will be treated as a termination by the Employee under Section 7(a).

(b)Termination for Death or Disability.  In the event of termination of the  Employee's employment pursuant to Section 6(a) or Section 6(b) by reason of the death or disability of the Employee, the Company shall pay the Employee (or his estate in the event of a termination due to death), a pro-rata annual bonus for the year in which such termination of employment occurs, calculated by multiplying the Employee's target annual bonus by a fraction, the numerator of which is the number of days the Employee was employed during such year and the denominator of which is 365 and shall provide the Health Continuation Benefits (as defined in Section 9(c)(ii)).  In the event of a termination of the Employee's employment due to death, the Company shall also pay to the Employee's estate an amount equal to three (3) months of Base Salary.  The Base Salary (if applicable) and the pro-rata bonus shall be paid within thirty (30) days of the date of termination.  All Time-Vesting Equity Awards previously granted to the Employee shall become immediately vested and shall remain exercisable for such periods as provided under the terms of the Equity Plan and any individual award agreements under which such awards were granted.  All other equity awards previously granted to the Employee will vest as determined in good faith by the Board of Directors based on the percentage of goals and objectives achieved by the Employee and the Company.

(c)Involuntary Termination Other Than for Cause, Constructive Termination by the Employee, or Non-Renewal by the Company.  If (1) the Company terminates the Employee's employment pursuant to Section 6(d) hereof, (2) the Employee terminates his employment pursuant to Section 7(b) hereof or (3) at the end of the Term of this Agreement the Employee shall cease to be employed by the Company by reason of the Company's decision not to renew the Term under Section 2 hereof ("Non-Renewal"), and in each case the termination of employment does not occur within eighteen (18) months following the consummation of a Change in Control of the Company, then, in addition to the Accrued Obligations:

(i)the Company shall pay the Employee  1.5 times the sum of (A) the Employee's Base Salary at the time of his termination of employment plus (B) the amount equal to
the Employee's bonus target under the Bonus Plan as determined by the Company for the
year in which the termination of employment occurs.  Subject to Section 9(g), such amounts will be paid to the Employee sixty (60) days after such Separation from Service in a cash lump sum;

(ii)if the Employee timely elects to continue his participation and that of his eligible dependents in the Company's group medical, dental and vision plans under COBRA, the Company shall pay the Employee a lump-sum amount that, after all applicable taxes and withholdings are deducted, is the economic equivalent of the monthly health premiums paid by the Company on behalf of the Employee and his eligible dependents immediately prior to the date of his Separation from Service for a period of eighteen (18) months (the "Health Continuation Benefits"); provided that all such payments shall comply with the reimbursement rules of Treasury Regulations Sections  1.409A-1(b)(9)(v) or 1.409A-3(i)(1)(iv);

(iii)all Time-Vesting Equity Awards granted to the Employee on or about the Effective Date shall fully and immediately vest as of the Separation Date, and all other Time-Vesting Equity Awards that have both been previously granted to the Employee and are at least 50% vested as of the Separation Date shall fully and immediately vest as of the Separation Date; any such Time-Vesting awards that consist of stock options shall become exercisable immediately prior to such termination of employment and shall remain exercisable for such periods as provided under the terms of the Equity Plan and any individual award agreements under which such equity awards were granted; and

(iv)equity awards, other than the Time-Vested Equity Awards, that have been granted to and earned by the Employee and are at least 50% vested as of the Separation Date, shall fully and immediately vest as of the Separation Date and become exercisable immediately prior to such termination of employment, and shall remain exercisable for such periods as provided under the terms of the Equity Plan and any individual award agreements under which such equity awards were granted.

(d)Involuntary Termination Other Than for Cause, Constructive Termination or Voluntary Termination for Good Reason, or Non-Renewal by the Company, Upon a Change in Control.  In the event that (1) the Company terminates this Agreement pursuant to Section 6(d) hereof, (2) the Employee terminates this Agreement Following Constructive Termination under Section 7(b) hereof or for Good Reason under Section 8 hereof, or (3) there is a Non-Renewal by the Company, and in each case the termination of employment or Non-Renewal occurs within eighteen (18) months following the consummation of a Change in Control of the Company, then, in addition to the Accrued Obligations:

(i)       the Company shall pay the Employee two (2) times the sum of (A) the Employee's Base Salary at the time of his termination of employment plus (B) the amount equal to the Employee's bonus target under the Bonus Plan as determined by the Company for the year in which the termination of employment occurs.  The Company shall also pay the Employee a pro-rata annual bonus for the year in which such termination of employment occurs, calculated by multiplying the Employee's target annual bonus by a fraction, the numerator of which is the number of days the Employee was employed during such year and the denominator of which is 365.  Subject to Section 9(g), such amounts will be paid to the Employee sixty (60) days after such Separation from Service in a cash lump sum; and the Company shall provide the Employee with the Health Continuation Benefits; provided that all such payments shall comply with the reimbursement rules of Treasury Regulations  Sections 1.409A-1(b)(9)(v) or 1.409A- 3(i)(1)(iv);

(ii)           all equity awards for which the vesting schedule is based solely on the passage of time and continuation of employment ("Time-Vesting Equity Awards") previously granted to the Employee under the Equity Plan shall fully and immediately vest and become exercisable immediately prior to such termination of employment and shall remain exercisable for such periods as provided under the terms of the Equity Plan and any individual award agreements under which such equity awards were granted; and

(iii)all equity awards, other than the Time-Vesting Equity Awards, previously earned by and granted to the Employee shall fully and immediately vest and become exercisable immediately prior to such termination of employment and shall remain exercisable for such periods as provided under the 

terms of the Equity Plan and any individual award agreements under which such equity awards were granted. All other non-time vesting awards previously granted to the Employee, but not earned as of the date of termination of employment, will vest, if at all, as determined in good faith by the Board of Directors based upon the achievement of performance conditions by the Employee and the Company.

(e)The payments provided in Section 9(c) and 9(d) are intended as enhanced severance for a termination by the Company or by the Employee in the circumstances provided and are subject to the Employee's continued compliance with the provisions of Section 5 hereof. As a condition to receiving such payments, the Employee shall first execute and deliver a general release of all claims against the Company, its Affiliates, agents and employees (other than any claims or rights pursuant to this Agreement or pursuant to equity or employee benefit plans), in a form and substance reasonably satisfactory to the Company (the "Release").  Any such payments and benefits shall be paid in a lump sum sixty (60) days after the Employee's Separation from Service, subject to Section 9(g) below. The Employee must execute and return the Release on or before the date specified by the Company in the prescribed form (the "Release Deadline"). The Release Deadline will in no event be later than fifty (50) days after the Employee's Separation from Service. If the Employee fails to return the Release on or before the Release Deadline, or if the Release is revoked by the Employee, then the Employee will not be entitled to the payments described in Section 9(c) and 9(d).

(f)Termination of Employment and Separation from Service. All references in the Agreement to termination of employment, a termination, retirement, cessation of employment, separation from service, and correlative terms, that result in the payment or vesting of any amounts or benefits that constitute "nonqualified deferred compensation" within the meaning of Section 409A shall be construed to require a Separation from Service, and the date of such termination in any such case shall be construed to mean the date of the Separation from Service.

(g)Payment to a "Specified Employee".  To the extent any payment hereunder that is payable by reason of termination of the Employee's employment constitutes "nonqualified deferred compensation" subject to Section 409A and would otherwise have been required to be paid during the six (6)-month period following such termination of employment, it shall instead (unless at the relevant time the Employee is no longer a Specified Employee) be delayed and paid, without interest, in a lump sum on the date that is six (6) months and one (1) day after the Employee's termination (or, if earlier, the date of the Employee's death).

(h)In the event that the Employee's employment with the Company terminates for any reason, except as otherwise expressly provided by the Company, the Employee's employment with, or other service to, all Affiliates of the Company by which he is then employed or otherwise engaged in service shall automatically and immediately terminate.

		
	10.
	Cooperation.

Following his termination of employment, the Employee agrees to cooperate with, and assist, the Company to ensure a smooth transition in management and, if requested by the Company, will make himself available to consult during regular business hours at mutually  agreed upon times for up to a three month period thereafter.  At any time following his termination of employment for any reason, the Employee will provide such information as the Company may reasonably request with respect to any Company-related transaction or other matter in which the Employee was involved in any way while employed by the Company. The Employee further agrees to assist and cooperate with the Company in connection with the defense, prosecution, government investigation, or internal investigation of any claim or matter that may be made against, concerning, or by, the Company or its Affiliates. Such assistance and cooperation shall include timely, comprehensive, and truthful disclosure of all relevant facts known to the Company, including through in-person interview(s) with the Company's internal Legal Department or outside counsel for the Company. The Employee shall be entitled to reimbursement for all properly documented expenses incurred in connection with rendering services under this Section, including, but not limited to, reimbursement for all reasonable travel, lodging, and meal expenses.

11.    Indemnification.

The Company shall indemnify the Employee to the fullest extent permitted by applicable law and its then-current articles of incorporation and by-laws.  The Employee agrees to promptly notify the Company of any actual or threatened claim arising out of or as a result of his employment with the Company, or consultant pursuant to Section 10 above.  The Company shall provide, at its expense, Directors and Officers insurance for the Employee in amounts reasonably satisfactory to the Employee, to the extent such insurance is available at reasonable rates, which determination shall be made by the Board of Directors.  The Employee shall also be party to an Indemnification Agreement with the Company in substantially the form attached as Exhibit A hereto.

		
	1.
	Excise Tax.

If any payment or benefit that Employee would receive following a Change in Control of the Company or otherwise ("Payment") would (i) constitute a "parachute payment" within the meaning of Section 280G of the Code, and (ii) but for this sentence, be subject to the excise tax imposed by Section 4999 of the Code (the "Excise Tax"), then such Payment shall be reduced to the Reduced Amount. The "Reduced Amount" shall be either (a) the largest portion of the Payment that would result in no portion of the Payment being subject to the Excise Tax or (b) the largest portion, up to and including the total amount, of the Payment, whichever of the amounts determined under (a) and (b), after taking into account all applicable federal, state and local employment taxes, income taxes, and the Excise Tax (all computed at the highest applicable marginal rate), results in the Employee's receipt, on an after-tax basis, of the greater amount of the Payment notwithstanding that all or some portion of the Payment may be subject to the Excise Tax. If a reduction in payments or benefits constituting "parachute payments" is  necessary so that the Payment equals the Reduced Amount, reduction shall occur in the  following order: reduction of cash payments; cancellation of accelerated vesting of outstanding awards under the Equity Plan; and reduction of employee benefits.  In the event that acceleration of vesting of outstanding awards under the Equity Plan is to be reduced, such acceleration of vesting shall be undertaken in the reverse order of the date of grant of the Employee's outstanding equity awards.

The accounting firm engaged by the Company for general audit purposes as of the day prior to the effective date of the Change in Control of the Company shall perform the foregoing calculations. If the accounting firm so engaged by the Company is serving as accountant or auditor for the individual, entity or group effecting the Change in Control, then the Company shall appoint another, nationally recognized accounting firm to make the determinations required hereunder. The Company shall bear all expenses with respect to the determinations by such accounting firm required to be made hereunder.

The accounting firm engaged to make the determinations hereunder shall provide its calculations, together with detailed supporting documentation, to the Employee and the Company within a commercially reasonable period of time after the date on which the Employee's right to a Payment is triggered (if requested at that time by the Employee or the Company).  Any good faith determinations of the accounting firm made hereunder shall be final, binding and conclusive upon the Employee and the Company.

		
	2.
	No Mitigation.

The Employee shall not be required to mitigate the amount of any payment provided for hereunder by seeking other employment or otherwise, nor shall the amount of any payment provided for hereunder be reduced by any compensation earned by the Employee as the result of employment by another employer after the date of termination of employment by the Company (other than as described above in Section 9(c)(ii) and Section 9(d)(ii)).

		
	3.
	Definitions.

As used herein, the following terms have the following meaning:

(a)"Affiliate" means and includes any person, corporation or other entity controlling, controlled by or under common control with the corporation in question.

		
	(b)
	"Change in Control" means the occurrence of any of the following events:

(i)Any Person, other than the Company, its affiliates (as defined in Rule 12b-2 under the Exchange Act) or any Company employee benefit plan (including any trustee of such plan acting as trustee), is or becomes the Beneficial Owner, directly or indirectly, of securities of the Company representing more than 40% of the combined voting power of the then outstanding securities entitled to vote generally in the election of Directors ("Voting Securities") of the Company, or

(ii)Individuals who constitute the Board of Directors of the Company (the "Incumbent Directors") as of the beginning of any twenty-four month period (not including any period prior to the date of this Agreement), cease for any reason to constitute at least a majority of the Directors.  Notwithstanding the foregoing, any individual becoming a Director subsequent to the beginning of such period, whose election or nomination for election by the Company's stockholders was approved by a vote of at least two-thirds of the Directors then comprising the Incumbent Directors, shall be considered an Incumbent Director; or

(iii)Consummation by the Company of a recapitalization, reorganization, merger, consolidation or other similar transaction (a "Business Combination"), with respect to which all or substantially all of the individuals and entities who were the Beneficial Owners of the Voting Securities immediately prior to such Business Combination (the "Incumbent Shareholders") do not, following consummation of all transactions intended to constitute part of such Business Combination, beneficially own, directly or indirectly, 50% or more of the Voting Securities of the corporation, business trust or other entity resulting from or being the surviving entity in such Business Combination (the "Surviving Entity"), in substantially the same proportion as their ownership of such Voting Securities immediately prior to such Business Combination; or

(iv)Consummation of a complete liquidation or dissolution of the Company, or the sale or other disposition of all or substantially all of the assets of the Company, other than to a corporation, business trust or other entity with respect to which, following consummation of all transactions intended to constitute part of such sale or disposition, more than 50% of the combined Voting Securities is then owned beneficially, directly or indirectly, by the Incumbent Shareholders in substantially the same proportion as their ownership of the Voting Securities immediately prior to such sale or disposition.

For purposes of this definition 14(b), the following terms shall have the meanings set forth below:

(A)"Beneficial Owner" shall have the meaning set forth in Rule 13d-3 under the Exchange Act;

(B)"Exchange Act" shall mean the Securities Exchange Act of 1934, as amended; and

(C)"Person" shall have the meaning as used in Sections 13(d) and 14(d) of the Exchange Act.

		
	(c)
	"Code" means the Internal Revenue Code of 1986, as amended.

		
	(d)
	"Restricted Period" shall mean eighteen (18) months.

(e)"Separation from Service" shall mean a "separation from service" (as that term is defined at Section 1.409A-1(h) of the Treasury Regulations under Section 409A) from the Company and from all other corporations and trades or businesses, if any, that would be treated as a single "service recipient" with the Company under Section 1.409A-1(h)(3) of such Treasury Regulations.   The Board of Directors or the Compensation Committee of the Board of Directors may, but need not, elect in writing, subject to the applicable limitations under Section 409A, any of the special elective rules prescribed in Section 1.409A-1(h) of the Treasury Regulations  for purposes of determining whether a "separation from service" has occurred.  Any such written election shall be deemed part of the Agreement.

(f)"Specified Employee" shall mean an individual determined by the Board of Directors, Compensation Committee of the Board of Directors or their delegate to be a specified employee as defined in subsection (a)(2)(B)(i) of Section 409A.  The Committee may, but need not, elect in writing, subject to the applicable limitations under Section 409A, any of the special elective rules prescribed in Section 1.409A-1(i) of the Treasury Regulations for purposes of determining "specified employee" status.  Any such written election shall be deemed part of the Agreement.

		
	4.
	Representations by Employee.

The Employee represents and warrants that he has full right, power and authority to execute the terms of this Agreement; this Agreement has been duly executed by the Employee and such execution and the performance of this Agreement by the Employee does not result in any conflict, breach or violation of or default under any other agreement or any judgment, order or decree to which the Employee is a party or by which he is bound.  The Employee acknowledges and agrees that any material breach of the representations set forth in this Section will constitute Cause under Section 6.

		
	5.
	Arbitration.

Any controversy or claim arising out of or relating to this Agreement or the breach thereof, or arising out of Employee's employment and the termination of such employment, shall be settled by arbitration in Connecticut, in accordance with the employment dispute rules then existing of the American Arbitration Association, and judgment upon the award rendered may be entered in any court having jurisdiction thereof. Such claims shall include, without limitation, claims for breach of contract or breach of the covenant of good faith and fair dealing, any claims of discrimination or other claims under Title VII of the Civil Rights Act of 1964, as amended, the Age Discrimination in Employment Act of 1967, as amended by the Older Workers Benefits Protection Act, the Americans with Disabilities Act, the Family and Medical Leave Act, the Fair Labor Standards Act, ERISA, and/or any applicable or equivalent state or local laws, claims for wrongful termination, including employment termination in violation of public policy, and claims for personal injury including, without limitation, defamation, fraud and infliction of emotional distress.  The parties shall be free to pursue any remedy before the arbitrator that they shall be otherwise permitted to pursue in a court of competent jurisdiction.   As a material part of this agreement to arbitrate claims, the Employee and company expressly waive all rights to a jury
trial in court on all statutory or other claims. The award of the arbitrator shall be final and binding.  The costs of the American Arbitration Association and the arbitrator will be borne equally by the Company and the Employee.  Nothing contained herein, however, shall limit the right of the Company or any of its Affiliates to seek equitable or other relief from any court of competent jurisdiction for violation of any provision of Sections 4 and 5 above.

		
	6.
	Recoupment.

The Employee hereby acknowledges and agrees that the annual bonus described in Section 3(b) and all other payments of incentive-based compensation payable to the Employee  by the Company or its Affiliates (whether under this Agreement or otherwise) shall be subject to any applicable clawback or recoupment policy of the Company, as such policy may be amended and in effect from time to time, and shall be subject to recoupment as otherwise required by applicable law or applicable stock exchange listing standards, including, 

without limitation, Section 10D of the Securities Exchange Act of 1934, as amended.

		
	7.
	Notices.

All notices, requests, consents and other communications required or permitted to be given hereunder shall be in writing and shall be deemed to have been duly given if sent by private overnight mail service (delivery confirmed by such service), registered or certified mail (return receipt requested and received), telecopy (confirmed receipt by return fax from the receiving party) or delivered personally, as follows (or to such other address as either party shall designate by notice in writing to the other in accordance herewith):

If to the Company:

Alexion Pharmaceuticals, Inc. 100 College Street
New Haven, Connecticut 06510 Telephone:    (203) 272-2596
Fax:   (203) 271-8198
Attn:  General Counsel

If to the Employee:  to the Employee's Address on file with the Company.

		
	8.
	General.

(a)This Agreement shall be governed by and construed and enforced in accordance with the laws of the State of Connecticut applicable to agreements made and to be performed entirely in Connecticut by Connecticut residents.

(b)This Agreement sets forth the entire agreement and understanding of the patties relating to the subject matter hereof, and supersedes all prior agreements, arrangements and understandings, written or oral, relating to the subject matter hereof, except for the Proprietary Information and Inventions Agreement and the Indemnification Agreement.  No representation, promise or inducement has been made by either patty that is not embodied in this Agreement, and neither party shall be bound by or liable for any alleged representation, promise or inducement not so set forth.

(c)This Agreement may be amended, modified, superseded, canceled, renewed or extended, and the terms or covenants hereof may be waived, only by a written instrument executed by the parties hereto, or in the case of a waiver, by the party waiving compliance.  The failure of a party at any time or times to require performance of any provision hereof shall in no manner affect the right at a later time to enforce the same.  No waiver by a party of the breach of any term or covenant contained in this Agreement, whether by conduct or otherwise, or any one or more or continuing waivers of any such breach, shall constitute a waiver of the breach of any other term or covenant contained in this Agreement.

(d)This Agreement shall be binding upon the legal representatives, heirs, distributees, successors and assigns of the parties hereto.  The Company may not assign its rights and obligation under this Agreement without the prior written consent of the Employee, except to a successor of substantially all the Company's business which expressly assumes the Company's obligations hereunder in writing.  In the event of a sale of all or substantially all of the assets of the Company, the Company shall use its best efforts to cause the purchaser to expressly assume this Agreement.  The Employee may not assign, transfer, alienate or encumber any rights or obligations under this Agreement, except by will or operation of law, provided that the Employee may designate beneficiaries to receive any payments permitted under the terms of the Company's benefit plans.

(e)If any portion or provision of this Agreement shall to any extent be declared illegal or 

unenforceable by a court of competent jurisdiction, then the remainder of this Agreement, or the application of such portion or provision in circumstances other than those as to which it is so declared illegal or unenforceable, shall not be affected thereby, and each portion and provision of this Agreement shall be valid and enforceable to the fullest extent permitted by law.

(f)Provisions of this Agreement shall survive any termination of employment if so provided herein or if necessary or desirable fully to accomplish the purposes of other surviving provisions, including without limitation, the obligations of the Employee under Section 5 hereof.  Upon termination of the Employee's employment hereunder by either the Employee or the Company as permitted hereby, all rights, duties and obligations of the Employee and the Company to each other pursuant to this Agreement shall cease, except for the provisions hereof that contemplate performance after termination, including without limitation the obligations of the Employee under Section 5 hereof.

(g)    This Agreement is intended to comply with the applicable requirements of  Section 409A and shall be construed accordingly.  Each payment made under this Agreement shall be treated as a separate payment and the right to a series of installment payments under this Agreement is to be treated as a right to a series of separate payments.   In no event shall the Company have any liability relating to the failure or alleged failure of any payment or benefit under this Agreement to comply with, or be exempt from, the requirements of Section 409A.

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

ALEXION PHARMACEUTICALS, INC.

By: /s/ Ludwig Hantson
      Name: Ludwig Hantson
      Title: Chief Executive Officer

EMPLOYEE

/s/ John Orloff 7/5/17
    John OrloffExhibit 10.14

 

SUBSCRIPTION AGREEMENT

 

Subscription
Agreement between the Company, and purchaser identified on the signature page to this Agreement (the “Subscriber”),
and is being delivered to the Subscriber in connection with its investment in OriginClear, Inc., a Nevada corporation (the “Company”).
The Company is conducting a private placement (the “Offering”) for an amount of up to $4,000,000 of Units, each
Unit consisting of (i) 100 shares (the “Series I Preferred Shares”) of the Company’s newly created Series I Preferred
Stock, having the rights set forth the Certificate of Designation of Series I Preferred Stock substantially in the form of Exhibit
A hereto (the “Series I Certificate of Designation”), and (ii) such number of shares of newly created Series J Preferred
Stock, substantially in the form of Exhibit B hereto (the “Series J Certificate of Designation”) equal to the number
that, if such Series J Preferred Shares were converted to common stock, the number of shares of common stock issuable upon such
conversion would be equal to the amount determined by dividing $50,000 by the conversion price of the Series J Preferred Stock
based on Section 6(a)(i)(a) under the Series J Certificate of Designation (which is equal to the closing price of the common stock
on the date the Company has banked funds and received and accepted executed subscription documents and the purchase price under
the Subscription Agreement from the investor (the “Series J Preferred Shares”; the Units, the Series I Preferred Shares,
the Series J Preferred Shares and the shares of common stock issuable upon conversion of the Series J Preferred Shares are referred
to collectively herein as the “Securities”) at a purchase price of $100,000 per Unit. For the avoidance of doubt, the
amount of Series I Preferred Shares and Series J Preferred Shares received by Subscriber will be determined on a pro rata basis
with respect to any partial Units purchased.

 

Solely
by way of illustration, in the event a Subscriber hereunder purchases $100,000 of Units, and the closing price of the common stock
on the date the Company has banked funds and received and accepted executed subscription documents and the purchase price from
such Subscriber is $0.001, such Subscriber would receive 100 shares of Series I Preferred Stock and 50 shares of Series J Preferred
Stock.

 

Aggregate
chronological sales of Series I Preferred Shares of $500,000 will each be deemed to be one “Tranche” for purposes of
the Series I Certificate of Designation, provided that, in the event any Tranche is not fully sold within 3 months from the date
of commencement of such Tranche, such Tranche will then be deemed to expire on such date. Shares of Series J Preferred Stock purchased
hereunder may include fractional shares which will be rounded to the nearest one-hundredth of a share.

 

IMPORTANT INVESTOR NOTICES

 

NO OFFERING LITERATURE OR ADVERTISEMENT
IN ANY FORM MAY BE RELIED UPON IN THE OFFERING OF THE UNITS EXCEPT FOR THIS SUBSCRIPTION AGREEMENT AND ANY SUPPLEMENTS HERETO (THE
“AGREEMENT”), AND NO PERSON HAS BEEN AUTHORIZED TO MAKE ANY REPRESENTATIONS EXCEPT THOSE CONTAINED HEREIN.

 

THIS AGREEMENT IS CONFIDENTIAL
AND THE CONTENTS HEREOF MAY NOT BE REPRODUCED, DISTRIBUTED OR DIVULGED BY OR TO ANY PERSONS OTHER THAN THE RECIPIENT OR ITS REPRESENTATIVE,
ACCOUNTANT OR LEGAL COUNSEL, WITHOUT THE PRIOR WRITTEN CONSENT OF THE COMPANY. EACH PERSON WHO ACCEPTS DELIVERY OF THIS AGREEMENT
ACKNOWLEDGES AND AGREES TO THE FOREGOING RESTRICTIONS.

 

THIS AGREEMENT DOES NOT PURPORT
TO BE ALL-INCLUSIVE OR TO CONTAIN ALL OF THE INFORMATION THAT YOU MAY DESIRE IN EVALUATING THE COMPANY, OR AN INVESTMENT IN THE
OFFERING. THIS AGREEMENT DOES NOT CONTAIN ALL OF THE INFORMATION THAT WOULD NORMALLY APPEAR IN A PROSPECTUS FOR AN OFFERING REGISTERED
UNDER THE SECURITIES ACT. YOU MUST CONDUCT AND RELY ON YOUR OWN EVALUATION OF THE COMPANY AND THE TERMS OF THE OFFERING, INCLUDING
THE MERITS AND RISKS INVOLVED, IN DECIDING WHETHER TO INVEST IN THE OFFERING.

 

THIS AGREEMENT DOES NOT CONSTITUTE
AN OFFER OR SOLICITATION OF AN OFFER TO ANY PERSON OR IN ANY JURISDICTION WHERE SUCH OFFER OR SOLICITATION IS UNLAWFUL OR NOT AUTHORIZED.
EACH PERSON WHO ACCEPTS DELIVERY OF THIS AGREEMENT AGREES TO RETURN IT AND ALL RELATED DOCUMENTS IF SUCH PERSON DOES NOT PURCHASE
ANY OF THE UNITS DESCRIBED HEREIN.

 

     

     

    

 

NEITHER THE DELIVERY OF THIS AGREEMENT
AT ANY TIME NOR ANY SALE OF UNITS HEREUNDER SHALL IMPLY THAT INFORMATION CONTAINED HEREIN IS CORRECT AS OF ANY TIME SUBSEQUENT
TO ITS DATE. THE COMPANY WILL EXTEND TO EACH PROSPECTIVE INVESTOR (AND TO ITS REPRESENTATIVE, ACCOUNTANT OR LEGAL COUNSEL, IF
ANY) THE OPPORTUNITY, PRIOR TO ITS PURCHASE OF UNITS, TO ASK QUESTIONS OF AND RECEIVE ANSWERS FROM THE COMPANY CONCERNING THE
OFFERING AND TO OBTAIN ADDITIONAL INFORMATION, TO THE EXTENT THE COMPANY POSSESSES THE SAME OR CAN ACQUIRE IT WITHOUT UNREASONABLE
EFFORT OR EXPENSE, IN ORDER TO VERIFY THE ACCURACY OF THE INFORMATION SET FORTH HEREIN. ALL SUCH ADDITIONAL INFORMATION SHALL
ONLY BE PROVIDED IN WRITING AND IDENTIFIED AS SUCH BY THE COMPANY THROUGH ITS DULY AUTHORIZED OFFICERS AND/OR DIRECTORS ALONE;
NO ORAL INFORMATION OR INFORMATION PROVIDED BY ANY BROKER OR THIRD PARTY MAY BE RELIED UPON.

 

NO REPRESENTATIONS, WARRANTIES
OR ASSURANCES OF ANY KIND ARE MADE OR SHOULD BE INFERRED WITH RESPECT TO THE ECONOMIC RETURN, IF ANY, THAT MAY ACCRUE TO AN INVESTOR
IN THE COMPANY.

 

THIS AGREEMENT CONTAINS FORWARD-LOOKING
STATEMENTS REGARDING THE COMPANY’S PERFORMANCE, STRATEGY, PLANS, OBJECTIVES, EXPECTATIONS, BELIEFS AND INTENTIONS. THE OUTCOME
OF THE EVENTS DESCRIBED IN THESE FORWARD-LOOKING STATEMENTS IS SUBJECT TO SUBSTANTIAL RISKS, AND ACTUAL RESULTS COULD DIFFER MATERIALLY.

 

THE OFFERING PRICE OF THE UNITS
HAS BEEN DETERMINED ARBITRARILY. THE PRICE OF THE UNITS DOES NOT NECESSARILY BEAR ANY RELATIONSHIP TO THE ASSETS, EARNINGS OR BOOK
VALUE OF THE COMPANY, OR TO POTENTIAL ASSETS, EARNINGS, OR BOOK VALUE OF THE COMPANY. THERE IS NO PUBLIC MARKET FOR THE COMPANY”S
SERIES I PREFERRED STOCK OR SERIES J PREFERRED STOCK AND A LIMITED MARKET IN THE COMPANY’S COMMON STOCK AND THERE CAN BE
NO ASSURANCE THAT AN ACTIVE TRADING MARKET IN ANY OF THE COMPANY’S SECURITIES WILL DEVELOP OR BE MAINTAINED. THE PRICE OF
SHARES OF COMMON STOCK QUOTED ON THE OTC MARKETS OR TRADED ON ANY EXCHANGE MAY BE IMPACTED BY A LACK OF LIQUIDITY OR AVAILABILITY
OF SUCH SHARES FOR PUBLIC SALE AND ALSO WILL NOT NECESSARILY BEAR ANY RELATIONSHIP TO THE ASSETS, EARNINGS, BOOK VALUE OR POTENTIAL
PROSPECTS OF THE COMPANY. SUCH PRICES SHOULD NOT BE CONSIDERED ACCURATE INDICATORS OF FUTURE QUOTED OR TRADING PRICES THAT MAY
SUBSEQUENTLY EXIST FOLLOWING THIS OFFERING.

 

THE COMPANY RESERVES THE RIGHT,
IN ITS SOLE DISCRETION, TO REJECT ANY SUBSCRIPTION IN WHOLE OR IN PART FOR ANY REASON OR FOR NO REASON. THE COMPANY IS NOT OBLIGATED
TO NOTIFY RECIPIENTS OF THIS AGREEMENT WHETHER ALL OF THE UNITS OFFERED HEREBY HAVE BEEN SOLD.

 

FOR RESIDENTS OF ALL STATES

 

THIS OFFERING IS BEING MADE
SOLELY TO “ACCREDITED INVESTORS,” AS SUCH TERM IS DEFINED IN RULE 501 OF REGULATION D UNDER THE SECURITIES ACT OF 1933,
AS AMENDED (THE “SECURITIES ACT”). THE SECURITIES OFFERED HEREBY HAVE NOT BEEN REGISTERED UNDER THE SECURITIES
ACT OR THE SECURITIES LAWS OF ANY STATE AND WILL BE OFFERED AND SOLD IN RELIANCE UPON THE EXEMPTION FROM REGISTRATION AFFORDED
BY SECTION 4(a)(2) THEREUNDER AND REGULATION D (RULE 506) OF THE SECURITIES ACT AND CORRESPONDING PROVISIONS OF STATE SECURITIES
LAWS.

 

THE SECURITIES OFFERED HEREBY
ARE SUBJECT TO RESTRICTION ON TRANSFERABILITY AND RESALE AND MAY NOT BE TRANSFERRED OR RESOLD EXCEPT AS PERMITTED UNDER THE SECURITIES
ACT AND APPLICABLE STATE LAWS, PURSUANT TO REGISTRATION OR EXEMPTION THEREFROM. INVESTORS SHOULD BE AWARE THAT THEY WILL BE REQUIRED
TO BEAR THE FINANCIAL RISKS OF THIS INVESTMENT FOR AN INDEFINITE PERIOD OF TIME.

 

    - 2 -

     

    

 

THE SECURITIES OFFERED HEREBY
HAVE NOT BEEN APPROVED OR DISAPPROVED BY THE UNITED STATES SECURITIES AND EXCHANGE COMMISSION (“SEC”), ANY STATE
SECURITIES COMMISSION OR ANY OTHER REGULATORY AUTHORITY, NOR HAVE ANY OF THE FOREGOING AUTHORITIES PASSED UPON OR ENDORSED THE
MERITS OF THIS OFFERING OR THE ACCURACY OR ADEQUACY OF THIS AGREEMENT. ANY REPRESENTATION TO THE CONTRARY IS UNLAWFUL.

 

PROSPECTIVE INVESTORS SHOULD
NOT CONSTRUE THE CONTENTS OF THIS AGREEMENT AS INVESTMENT, LEGAL, BUSINESS, OR TAX ADVICE. EACH INVESTOR SHOULD CONTACT HIS, HER
OR ITS OWN ADVISORS REGARDING THE APPROPRIATENESS OF THIS INVESTMENT AND THE TAX CONSEQUENCES THEREOF, WHICH MAY DIFFER DEPENDING
ON AN INVESTOR’S PARTICULAR FINANCIAL SITUATION. IN NO EVENT SHOULD THIS AGREEMENT BE DEEMED OR CONSIDERED TO BE TAX ADVICE
PROVIDED BY THE COMPANY.

 

FOR FLORIDA RESIDENTS ONLY

 

THE SECURITIES REFERRED TO
HEREIN WILL BE SOLD TO, AND ACQUIRED BY, THE HOLDER IN A TRANSACTION EXEMPT UNDER § 517.061 OF THE FLORIDA SECURITIES ACT.
THE SECURITIES HAVE NOT BEEN REGISTERED UNDER SAID ACT IN THE STATE OF FLORIDA. IN ADDITION, ALL FLORIDA RESIDENTS SHALL HAVE THE
PRIVILEGE OF VOIDING THE PURCHASE WITHIN THREE (3) DAYS AFTER THE FIRST TENDER OF CONSIDERATION IS MADE BY SUCH SUBSCRIBER TO THE
COMPANY, AN AGENT OF THE COMPANY, OR WITHIN THREE DAYS AFTER THE AVAILABILITY OF THAT PRIVILEGE IS COMMUNICATED TO SUCH SUBSCRIBER,
WHICHEVER OCCURS LATER.

 

		1.	SUBSCRIPTION AND PURCHASE PRICE

 

(a) Subscription.
Subject to the conditions set forth in Section 2 hereof, the Subscriber hereby subscribes for and agrees to purchase the number
of Units indicated on the Subscriber’s signature pages hereof on the terms and conditions described herein.

 

(b) Purchase
of Units. The Subscriber understands and acknowledges that the Purchase Price to be remitted to the Company in exchange for
the Units shall be set at $100,000 per Unit, for an aggregate purchase price as set forth on page 12 hereof (the “Aggregate
Purchase Price”). The Subscriber shall concurrently with delivery of this Agreement to the Company pay the Purchase Price
for the Units subscribed for hereunder, payable in United States Dollars, by wire transfer of immediately available funds to the
Company in accordance with the wire instructions provided on Annex A, or by remitting a check using the Company’s Federal
Express account and address which are also provided on Annex A. The Subscriber understands and agrees that, subject to
Section 2 and applicable laws, by executing this Agreement, it is entering into a binding agreement.

 

		2.	ACCEPTANCE, OFFERING TERM AND CLOSING PROCEDURES

 

(a) Acceptance
or Rejection. Subject to full, faithful and punctual performance and discharge by the Company of all of its duties, obligations
and responsibilities as set forth in this Agreement and any other agreement entered into between the Subscriber and the Company
relating to this subscription (collectively, the “Transaction Documents”), the Subscriber shall be legally bound
to purchase the Units pursuant to the terms and conditions set forth in this Agreement. For the avoidance of doubt, upon the occurrence
of the failure by the Company to fully, faithfully and punctually perform and discharge any of its duties, obligations and responsibilities
as set forth in any of the Transaction Documents, which shall have been performed or otherwise discharged prior to the Closing,
the Subscriber may, on or prior to the Closing (as defined below), at its sole and absolute discretion, elect not to purchase the
Units and provide instructions to the Company to receive the full and immediate refund of the Aggregate Purchase Price. The Subscriber
understands and agrees that the Company reserves the right to reject this subscription for Units in whole or part in any order
at any time prior to the Closing for any reason or for no reason, notwithstanding the Subscriber’s prior receipt of notice
of acceptance of the Subscriber’s subscription. In the event the Closing does not take place because of (i) the rejection
of subscription for Units by the Company; or (ii) the election not to purchase the Units by the Subscriber; or (iii) a Tranche
expires prior to any closings taking place under such Tranche (provided, that, the Company may in its sole discretion continue
the offering and include any subsequent Subscribers in a subsequent Tranche, subject to the maximum amount of $4,000,000 in Units
offered) for any reason or no reason, this Agreement and any other Transaction Documents shall thereafter be terminated and have
no force or effect, and the parties shall take all steps, to ensure that the Aggregate Purchase Price shall promptly be returned
or caused to be returned to the Subscriber without interest thereon or deduction therefrom.

 

    - 3 -

     

    

 

(b) Closing.
The closing of the purchase and sale of the Units hereunder (the “Closing”) shall take place at the offices
of the Company or such other place as determined by the Company and may take place in one of more closings. Closings shall take
place on a Business Day promptly following the satisfaction of the conditions set forth in Section 7 below, as determined by the
Company (the “Closing Date”). “Business Day” shall mean from the hours of 9:00 a.m. (Eastern
Time) through 5:00 p.m. (Eastern Time) of a day other than a Saturday, Sunday or other day on which commercial banks in New York,
New York are authorized or required to be closed. The Series I Preferred Shares and Series J Preferred Shares comprising the Units
purchased by the Subscriber will be delivered by the Company within 15 Business Days following the Closing Date.

 

(c) Following
Acceptance or Rejection. The Subscriber acknowledges and agrees that this Agreement and any other documents delivered in connection
herewith will be held by the Company. In the event that this Agreement is not accepted by the Company for whatever reason, which
the Company expressly reserves the right to do, this Agreement, the Aggregate Purchase Price received (without interest thereon)
and any other documents delivered in connection herewith will be returned to the Subscriber at the address of the Subscriber as
set forth in this Agreement. If this Agreement is accepted by the Company, the Company is entitled to treat the Aggregate Purchase
Price received as an interest free loan to the Company until such time as the Subscription is accepted.

 

		3.	THE SUBSCRIBER’S REPRESENTATIONS, WARRANTIES AND
COVENANTS

 

The Subscriber
hereby acknowledges, agrees with and represents, warrants and covenants to the Company, as follows:

 

(a) The
Subscriber has full power and authority to enter into this Agreement, the execution and delivery of which has been duly authorized
by all the necessary corporate actions, and no other acts or proceedings on the part of the Subscriber are necessary to authorize
the execution, delivery or performance by the Subscriber of this Agreement, if applicable, and this Agreement constitutes a valid
and legally binding obligation of the Subscriber, except as may be limited by bankruptcy, reorganization, insolvency, moratorium
and similar laws of general application relating to or affecting the enforcement of rights of creditors, and except as enforceability
of the obligations hereunder are subject to general principles of equity (regardless of whether such enforceability is considered
in a proceeding in equity or law).

 

(b) The
Subscriber acknowledges its understanding that the Offering and sale of the Securities is intended to be exempt from registration
under the Securities Act of 1933, as amended (the “Securities Act”), by virtue of Section 4(a)(2) of the Securities
Act and the provisions of Regulation D promulgated thereunder (“Regulation D”). In furtherance thereof, the
Subscriber represents and warrants to the Company and its affiliates as follows:

 

(i) The
Subscriber realizes that the basis for the exemption from registration may not be available if, notwithstanding the Subscriber’s
representations contained herein, the Subscriber is merely acquiring the Securities for a fixed or determinable period in the future,
or for a market rise, or for sale if the market does not rise. The Subscriber does not have any such intention.

 

(ii) The
Subscriber realizes that the basis for exemption would not be available if the Offering is part of a plan or scheme to evade registration
provisions of the Securities Act or any applicable state or federal securities laws.

 

(iii) The
Subscriber is acquiring the Securities solely for investment purposes, and not with a view towards, or resale in connection with,
any distribution of the Securities

 

(iv) The
Subscriber has the financial ability to bear the economic risk of the Subscriber’s investment, has adequate means for providing
for its current needs and contingencies, and has no need for liquidity with respect to an investment in the Company.

 

    - 4 -

     

    

 

(v) The
Subscriber and the Subscriber’s attorney, accountant, purchaser representative and/or tax advisor, if any (collectively,
the “Advisors”) has such knowledge and experience in financial and business matters as to be capable of evaluating
the merits and risks of a prospective investment in the Securities. If other than an individual, the Subscriber also represents
it has not been organized solely for the purpose of acquiring the Securities.

 

(vi) The
Subscriber has carefully reviewed and understands this Agreement in its entirety, including without limitation all Exhibits hereto
(including the Series I Certificate of Designation, the Series J Certificate of Designation, and the security agreement attached
as Exhibit C (the “Security Agreement”)) and Composite Annex B including the Risk Factors included therein. Without
limiting the generality of the foregoing, the Subscriber is aware that, pursuant to the Series J Certificate of Designation, upon
conversion of shares of Series J Preferred Stock, a Subscriber that is a Prior Series F or G Holder (as defined therein) will be
entitled to Make-Good Shares (as defined therein) that a Subscriber that is not a Prior Series F or G Holder will not be entitled
to.

 

(vii) The
Subscriber (together with its Advisors, if any) has received all documents requested by the Subscriber or its agents (including
that which is attached hereto forming Composite Annex B, attached hereto), has carefully reviewed them and understands
the information contained therein, prior to the execution of this Agreement.

 

(c) The
Subscriber is not relying on the Company or any of its employees, agents, sub-agents or advisors with respect to the legal, tax,
economic and related considerations involved in this investment. The Subscriber has relied on the advice of, or has consulted with,
only its Advisors.

 

(d) The
Subscriber has carefully considered the potential risks relating to the Company and a purchase of the Securities, and fully understands
that the Securities are a speculative investment that involves a high degree of risk of loss of the Subscriber’s entire
investment. Among other things, the Subscriber has carefully considered each of the risks as described on Annex C,
attached hereto.

 

(e) The
Subscriber will not sell or otherwise transfer any Securities without registration under the Securities Act or an exemption therefrom,
and fully understands and agrees that the Subscriber must bear the economic risk of its purchase because, among other reasons,
the Securities have not been registered under the Securities Act or under the securities laws of any state and, therefore, cannot
be resold, pledged, assigned or otherwise disposed of unless they are subsequently registered under the Securities Act and under
the applicable securities laws of such states, or an exemption from such registration is available. In particular, the Subscriber
is aware that the Securities are “restricted securities,” as such term is defined in Rule 144 promulgated under the
Securities Act (“Rule 144”), and they may not be sold pursuant to Rule 144 unless all of the conditions of Rule
144 are met. The Subscriber understands that any sales or transfers of the Securities are further restricted by state securities
laws.

 

(f) No
oral or written representations or warranties have been made, or information furnished, to the Subscriber or its Advisors, if any,
by the Company or any of its officers, employees, agents, sub-agents, affiliates, advisors or subsidiaries in connection with the
Offering, other than any representations of the Company contained herein, and in subscribing for the Units, the Subscriber is not
relying upon any representations other than those contained herein.

 

(g) The
Subscriber’s overall commitment to investments that are not readily marketable is not disproportionate to the Subscriber’s
net worth, and an investment in the Securities will not cause such overall commitment to become excessive.

 

(h) The
Subscriber understands and agrees that the certificates for the Securities shall bear substantially the following legend until
(i) such Securities shall have been registered under the Securities Act and effectively disposed of in accordance with a registration
statement that has been declared effective or (ii) in the opinion of counsel acceptable to the Company, such Securities may be
sold without registration under the Securities Act, as well as any applicable “blue sky” or state securities laws:

 

“THE SHARES REPRESENTED
BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”),
OR ANY APPLICABLE STATE SECURITIES LAWS. SUCH SHARES HAVE BEEN ACQUIRED FOR INVESTMENT PURPOSES AND MAY NOT BE OFFERED FOR SALE,
SOLD, DELIVERED AFTER SALE, TRANSFERRED, PLEDGED OR HYPOTHECATED IN THE ABSENCE OF AN EFFECTIVE REGISTRATION STATEMENT FILED BY
THE ISSUER WITH THE U.S. SECURITIES AND EXCHANGE COMMISSION COVERING SUCH SHARES UNDER THE SECURITIES ACT OR AN OPINION OF COUNSEL
THAT SUCH REGISTRATION IS NOT REQUIRED.

 

    - 5 -

     

    

 

(i) Neither
the SEC nor any state securities commission has approved the Securities or passed upon or endorsed the merits of the Offering.
There is no government or other insurance covering any of the Securities.

 

(j) The
Subscriber and its Advisors, if any, have had a reasonable opportunity to ask questions of and receive answers from a person or
persons acting on behalf of the Company concerning the Offering, the Securities, and the business, financial condition, results
of operations and prospects of the Company, and all such questions have been answered to the full satisfaction of the Subscriber
and its Advisors, if any.

 

(k) In
making the decision to invest in the Securities the Subscriber has relied solely upon the information provided by the Company in
the Transaction Documents. To the extent necessary, the Subscriber has retained, at its own expense, and relied upon appropriate
professional advice regarding the investment, tax and legal merits and consequences of this Agreement and the purchase of the Securities
hereunder. The Subscriber disclaims reliance on any statements made or information provided by any person or entity in the course
of Subscriber’s consideration of an investment in the Securities other than the Transaction Documents.

 

(l) The
Subscriber has taken no action that would give rise to any claim by any person for brokerage commissions, finders’ fees or
the like relating to this Agreement or the transactions contemplated hereby.

 

(m) The
Subscriber is not relying on the Company or any of its employees, agents, or advisors with respect to the legal, tax,
economic and related considerations of an investment in the Securities, and the Subscriber has relied on the advice of, or
has consulted with, only its own Advisors.

 

(n) The
Subscriber acknowledges that any estimates or forward-looking statements or projections furnished by the Company to the Subscriber
were prepared by the management of the Company in good faith, but that the attainment of any such projections, estimates or forward-looking
statements cannot be guaranteed by the Company or its management and should not be relied upon.

 

(o) No
oral or written representations have been made, or oral or written information furnished, to the Subscriber or its Advisors, if
any, in connection with the Offering that are in any way inconsistent with the information contained herein.

 

(p) (For
ERISA plans only) The fiduciary of the ERISA plan (the “Plan”) represents that such fiduciary has been informed
of and understands the Company’s investment objectives, policies and strategies, and that the decision to invest “plan
assets” (as such term is defined in ERISA) in the Company is consistent with the provisions of ERISA that require diversification
of plan assets and impose other fiduciary responsibilities. The Subscriber or Plan fiduciary (i) is responsible for the decision
to invest in the Company; (ii) is independent of the Company and any of its affiliates; (iii) is qualified to make such investment
decision; and (iv) in making such decision, the Subscriber or Plan fiduciary has not relied primarily on any advice or recommendation
of the Company or any of its affiliates.

 

(q) This
Agreement is not enforceable by the Subscriber unless it has been accepted by the Company, and the Subscriber acknowledges and
agrees that the Company reserves the right to reject any subscription for any reason or for no reason.

 

(r) The
Subscriber will indemnify and hold harmless the Company and, where applicable, its directors, officers, employees, agents, advisors,
affiliates and shareholders, and each other person, if any, who controls any of the foregoing from and against any and all loss,
liability, claim, damage and expense whatsoever (including, but not limited to, any and all fees, costs and expenses whatsoever
reasonably incurred in investigating, preparing or defending against any claim, lawsuit, administrative proceeding or investigation
whether commenced or threatened) (a “Loss”) arising out of or based upon any representation or warranty of the
Subscriber contained herein or in any document furnished by the Subscriber to the Company in connection herewith being untrue in
any material respect or any breach or failure by the Subscriber to comply with any covenant or agreement made by the Subscriber
herein or therein.

 

    - 6 -

     

    

 

(s) The
Subscriber is, and on each date on which the Subscriber acquires restricted Securities will be, an “Accredited
Investor” as defined in Rule 501(a) under the Securities Act. In general, an “Accredited Investor” is
deemed to be an institution with assets in excess of $5,000,000 or individuals with a net worth in excess of $1,000,000
(excluding such person’s principal residence) or annual income exceeding $200,000 or $300,000 jointly with his or her
spouse.

 

(t) The
Subscriber, either alone or together with its representatives, has such knowledge, sophistication and experience in business and
financial matters so as to be capable of evaluating the merits and risks of the Offering, and has so evaluated the merits and risks
of such investment. The Subscriber has not authorized any person or entity to act as its Purchaser Representative (as that term
is defined in Regulation D of the General Rules and Regulations under the Securities Act) in connection with the Offering. The
Subscriber is able to bear the economic risk of an investment in the Securities and, at the present time, is able to afford a complete
loss of such investment.

 

(u) The
Subscriber has reviewed, or had an opportunity to review, the Company’s Annual Report on Form 10-K for the year ended December
31, 2017 filed with the SEC on April 17, 2018 as well as all of the Company’s filings with the SEC since the Company’s
Annual Report on Form 10-K for the year ended December 31, 2017 filed with the SEC on April 17, 2018 (the “SEC Filings”),
all of which are deemed incorporated herein by reference, including, without limitation, all “Risk Factors” and “Forward
Looking Statements” disclaimers contained in the SEC Filings.

 

		4.	THE COMPANY’S REPRESENTATIONS, WARRANTIES AND COVENANTS

 

The Company
hereby acknowledges, agrees with and represents, warrants and covenants to the Subscriber, as follows:

 

(a) The Company
is a corporation, validly existing and in good standing under the laws of Nevada, with the requisite power and authority to own
and use its properties and assets and to carry on its business as currently conducted.

 

(b) The
Company has the requisite corporate power and authority to enter into and to consummate the transactions contemplated by this Agreement
and otherwise to carry out its obligations hereunder. The execution and delivery of this Agreement by the Company and the consummation
by it of the transactions contemplated hereby and thereby have been duly authorized by all necessary action on the part of the
Company.

 

(c) The
execution, delivery and performance by the Company of this Agreement, the issuance and sale of the Securities and the consummation
by it of the transactions contemplated hereby party do not and will not conflict with or violate any provision of the Company’s
articles of incorporation or other organizational or charter documents.

 

(d)
The Company’s capitalization as of March 20, 2019 is substantially as set forth in Annex D.

 

		5.	CONDITIONS TO ACCEPTANCE OF SUBSCRIPTION

 

The Company’s
right to accept the subscription of the Subscriber is conditioned upon satisfaction of the following conditions precedent on or
before the date the Company accepts such subscription:

 

(a) As
of the Closing, no legal action, suit or proceeding shall be pending that seeks to restrain or prohibit the transactions contemplated
by this Agreement.

 

(b) The
representations and warranties of the Company contained in this Agreement shall have been true and correct in all material respects
on the date of this Agreement and shall be true and correct in all material respects as of the Closing as if made on the Closing
Date (except for any such representations and warranties which are as of a different specific date).

 

		6.	MISCELLANEOUS PROVISIONS

 

(a) No
inference shall be drawn in favor of or against any party by virtue of the fact that such party’s counsel was or was not
the principal draftsman of this Agreement.

 

    - 7 -

     

    

 

(b) Each
of the parties hereto shall be responsible to pay the costs and expenses of its own legal counsel in connection with the preparation
and review of this Agreement and related documentation.

 

(c) Neither
this Agreement, nor any provisions hereof, shall be waived, modified, discharged or terminated except by an instrument in writing
signed by the party against whom any waiver, modification, discharge or termination is sought.

 

(d) The
representations, warranties and agreement of the Subscriber and the Company made in this Agreement shall survive the execution
and delivery of this Agreement and the delivery of the Securities.

 

(e) Any
party may send any notice, request, demand, claim or other communication hereunder to the Subscriber at the address set forth on
the signature page of this Agreement or to the Company at its primary office (including personal delivery, expedited courier, messenger
service, fax, ordinary mail or electronic mail), but no such notice, request, demand, claim or other communication will be deemed
to have been duly given unless and until it actually is received by the intended recipient. Any party may change the address to
which notices, requests, demands, claims and other communications hereunder are to be delivered by giving the other parties written
notice in the manner herein set forth.

 

(f) Except
as otherwise provided herein, this Agreement shall be binding upon, and inure to the benefit of, the parties to this Agreement
and their heirs, executors, administrators, successors, legal representatives and assigns. If the Subscriber is more than one person
or entity, the obligation of the Subscriber shall be joint and several and the agreements, representations, warranties and acknowledgments
contained herein shall be deemed to be made by, and be binding upon, each such person or entity and its heirs, executors, administrators,
successors, legal representatives and assigns. This Agreement sets forth the entire agreement and understanding between the parties
as to the subject matter hereof and merges and supersedes all prior discussions, agreements and understandings of any and every
nature among them.

 

(g)
This Agreement is not transferable or assignable by the Subscriber.

 

(h) Except
as otherwise provided herein, this Agreement shall not be changed, modified or amended except by a writing signed by both (a) the
Company and (b) the Subscribers.

 

(i) This
Agreement shall be governed by and construed in accordance with the laws of the State of New York, without giving effect to conflicts
of law principles.

 

(j) The
Company and the Subscriber hereby agree that any dispute that may arise between them arising out of or in connection with this
Agreement shall be adjudicated before a court located in New York County, New York, and they hereby submit to the exclusive jurisdiction
of the federal and state courts of the State of New York located in New York County with respect to any action or legal proceeding
commenced by any party, and irrevocably waive any objection they now or hereafter may have respecting the venue of any such action
or proceeding brought in such a court or respecting the fact that such court is an inconvenient forum, relating to or arising out
of this Agreement or any acts or omissions relating to the sale of the Securities hereunder, and consent to the service of process
in any such action or legal proceeding by means of registered or certified mail, return receipt requested, postage prepaid, in
care of the address set forth herein or such other address as either party shall furnish in writing to the other.

 

(k) WAIVER
OF JURY TRIAL. IN ANY ACTION, SUIT, OR PROCEEDING IN ANY JURISDICTION BROUGHT BY ANY PARTY AGAINST ANY OTHER PARTY, THE PARTIES
EACH KNOWINGLY AND INTENTIONALLY, TO THE GREATEST EXTENT PERMITTED BY APPLICABLE LAW, HEREBY ABSOLUTELY, UNCONDITIONALLY, IRREVOCABLY
AND EXPRESSLY WAIVES FOREVER TRIAL BY JURY.

 

(l) This
Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together shall
constitute one and the same instrument.

 

		7.	LEAK OUT.

 

The Subscriber hereby agrees
that, for a period commencing on the date of this Agreement, and expiring on the date that the Subscriber does not beneficially
own any Securities (the “Restricted Period”), Subscriber will not sell, dispose or otherwise transfer, directly or
indirectly, (including, without limitation, any sales, short sales, swaps or any derivative transactions that would be equivalent
to any sales or short positions) on any Trading Day during the Restricted Period (any such date, a “Date of Determination”),
shares of common stock of the Company, in an amount more than 1% of the Monthly Trading Volume of the common stock as reported
by Bloomberg, LP for the applicable Date of Determination. The “Monthly Trading Volume” means the total trading volume
for the prior 30 calendar days of the common stock as of the Date of Determination. The Subscriber agrees that the Company may
have stop transfer instructions placed with the Company’s transfer agent against transfer of shares held by Subscriber except
in compliance with this Section 7. “Trading Day” means any day on which the New York Stock Exchange is open for business.

 

[Signature Pages Follow]

 

    - 8 -

     

    

 

SUBSCRIBER MUST COMPLETE THIS PAGE

 

IN WITNESS WHEREOF, the Subscriber has executed this
Agreement on the          day of           ,
2019.

 

		 x  $100,000 for
    each Unit   =	
	Units subscribed for		Aggregate Purchase Price

 

Manner in which Title is to be held (Please Check One):

 

	1.
     	Individual	7.
      	Trust/Estate/Pension
                                         or Profit sharing Plan

                                                                     Date
                                         Opened:                              

	2.
  
	Joint
    Tenants with Right of Survivorship	8.
  
	As
                                         a Custodian for

        ______________________________________

        Under
        the Uniform Gift to Minors Act of the State of ____________________________________

	3.
     	Community
    Property	9.
      	Married
    with Separate Property
	4.
     	Tenants
    in Common	10.
    	Keogh
	5.
     	Corporation/Partnership/
    Limited Liability Company	11.
    	Tenants
    by the Entirety
	6.
     	IRA	 	 

 

ALTERNATIVE DISTRIBUTION INFORMATION

 

To direct distribution to a party other than the
registered owner, complete the information below.

 

YOU MUST COMPLETE THIS SECTION IF THIS IS AN IRA INVESTMENT.

 

	Name of Firm (Bank, Brokerage, Custodian):	 

 

	Account Name:	 

 

	Account Number:	 

 

	Representative Name:	 

 

	Representative Phone Number: 	 

 

	Address:	 

 

	City, State, Zip: 	 

 

    - 9 -

     

    

 

IF MORE THAN ONE SUBSCRIBER, EACH
SUBSCRIBER MUST SIGN.

INDIVIDUAL SUBSCRIBERS MUST COMPLETE THIS PAGE 13.

SUBSCRIBERS WHICH ARE ENTITIES
MUST COMPLETE PAGE 14.

 

EXECUTION BY NATURAL PERSONS

 

Exact Name in Which Title is to be Held

 

	 	 	 
	Name (Please Print)	 	Name of Additional Subscriber
	 	 	 
	 	 	 
	Residence: Number and Street	 	Address of Additional Subscriber
	 	 	 
	 	 	 
	City, State and Zip Code	 	City, State and Zip Code
	 	 	 
	 	 	 
	Social Security Number	 	Social Security Number
	 	 	 
	 	 	 
	Telephone Number	 	Telephone Number
	 	 	 
	 	 	 
	Fax Number (if available)	 	Fax Number (if available)
	 	 	 
	 	 	 
	E-Mail (if available)	 	E-Mail (if available)
	 	 	 
	 	 	 
	(Signature)	 	(Signature of Additional Subscriber)

 

ACCEPTED this       day
of        , 2019, on behalf of the Company.

 

	 	ORIGINCLEAR, INC.
	 	 	 
	 	By:	 
	 	Name:  	T. Riggs Eckelberry
	 	Title:	Chief Executive Officer

 

[SIGNATURE PAGE
FOR SUBSCRIPTION AGREEMENT]

 

     

     

    

 

Exhibit A

 

Certificate of Designation
of Series I Preferred Stock

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

     

     

    

 

Exhibit B

 

Certificate of Designation
of Series J Preferred Stock

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

     

     

    

 

Exhibit C

 

Security Agreement

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

     

     

    

 

ANNEX A

 

SENDING OPTIONS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    A-1

     

    

 

COMPOSITE ANNEX B

 

DOCUMENTATION PROVIDED TO
SUBSCRIBER

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    B-1

     

    

 

ANNEX C

 

RISK FACTORS

 

An investment in the Securities
of the Company involves a high degree of risk and should be considered only by persons who can afford to lose their entire investment
and who have no need for liquidity in their investment. You should carefully consider the risk factors described below, and discussed
in the section titled “Risk Factors” in our most recent Annual Report on Form 10-K, as well as the risks, uncertainties
and additional information set forth in our SEC Filings incorporated by reference herein. Our business, financial condition or
results of operations could be materially adversely affected by any of these risks. The trading price of our common stock could
decline due to any of these risks, and you may lose all or part of your investment.

 

Risks Related to the Securities and This Offering

 

There is no public market for the Series
I Preferred Shares or Series J Preferred Shares and a limited public market for the common stock.

 

There is no public market for
the Series I Preferred Shares or the Series J Preferred Shares, and we not intend to have such securities quoted or listed on any
market. In addition, our common stock is quoted on the OTC Pink which is an unorganized, inter-dealer, over-the-counter market
which provides significantly less liquidity than the NASDAQ Capital Market or other national securities exchange. These factors
may have an adverse impact on the trading and price of our common stock.

 

The Securities will be subject to restrictions
on resale.

 

We have not registered the
sale of any of the Securities under the Securities Act or any state securities laws. The securities offered hereby are highly illiquid,
and are not transferable except in accordance with the Securities Act. Consequently, the Securities may not be resold or otherwise
transferred unless they are subsequently registered under applicable securities laws or an exemption therefrom is available. In
view of these and other limitations to the transfer of the Securities as described herein, the Securities should be considered
an illiquid investment which may need to be held indefinitely. Limitations on the transfer of the Securities may also adversely
affect the price that a Subscriber might be able to obtain for such securities in a private sale.

 

The price of the Units has been determined
without a third party valuation or fairness opinion.

 

We have set the price of Units
without the benefit of any third party valuation or fairness opinion or review. You must make your own determination as to the
accuracy, fairness or reasonableness of the price of the Units and the other terms of the Offering.

 

We will have significant discretion
over the use of the gross proceeds.

 

The Company intends to use
the net proceeds of this Offering for general corporate purposes and to meet working capital needs. Accordingly, Company management
will have broad discretion as to the application of such proceeds. There can be no assurance that management’s use of proceeds
generated through this Offering will prove optimal or translate into revenue or profitability for the Company.

 

There is no investor counsel.

 

The Company has not retained any independent professionals
to review or comment on this Offering or otherwise protect the interests of Subscribers. Although the Company has retained its
own counsel, neither such firm nor any other firm has made any independent examination of any factual matters represented by management
herein, and purchasers of the Securities offered hereby should not rely on any such firms so retained with respect to any matters
herein described.

 

No governmental entity has evaluated
our securities.

 

No federal or state commission, department or agency
has made any evaluation, finding, recommendation or endorsement with respect to the Securities.

 

    C-1

     

    

Additional stock offerings in the future
may dilute then-existing shareholders’ percentage ownership of the Company.

 

Given our plans and expectations
that we will need additional capital and personnel, we anticipate that we will need to issue additional shares of common stock
or securities convertible or exercisable for shares of common stock, including convertible preferred stock, convertible notes,
stock options or warrants. The issuance of additional securities in the future will dilute the percentage ownership of then current
stockholders. Without limiting the generality of the foregoing, the Company may conduct other offerings concurrent with this offering.

 

Subscribers in this Offering who are
not holders of the Company’s Series F Preferred Stock or Series G Preferred Stock will be subject to additional dilution.

 

Pursuant to the Series J Certificate of Designation,
subscribers in this Offering who are holders of the Company’s outstanding shares of Series F Preferred Stock or Series G
Preferred Stock, at such time as they convert Series J Preferred Stock to common stock, will be entitled to additional shares of
common stock, pursuant to the formula set forth therein, that holders of Series J Preferred Stock who convert shares to common
stock will not otherwise be entitled to. This will result in additional dilution to subscribers in this Offering who are not holders
of the Company’s outstanding shares of Series F or G Preferred Stock and will thus not be entitled to such additional shares.

 

We may be unable
to redeem the Series I Preferred Shares when required.

 

Pursuant to the Series I Certificate
of Designation, the Company will be required to redeem the Series I Preferred Shares offered in this offering on the date that
is two years following the final closing or expiration date for the applicable Tranche, for the stated value plus any accrued but
unpaid dividends. There is no assurance the Company will be able to make such payment. Further, although such redemption will be
secured by a security interest in the outstanding shares of our wholly-owned subsidiary, Progressive Water Treatment, Inc., pursuant
to the Security Agreement, there is no assurance holders will be able to realize such amount pursuant to such security interest.
In addition, we will be required to redeem any outstanding shares of our Series F Preferred Stock on September 1, 2020, which is
prior to the date that we will be required to redeem our outstanding shares of Series I Preferred Stock, and may have an adverse
effect on our available capital for such redemption.

 

The Series I Preferred
Shares will not have voting rights.

 

Holders of the Series I Preferred
Shares, by virtue of holding such shares, will not have any voting rights, except as may be required under applicable law. Thus,
the holders of the Series I Preferred Shares, by virtue of holding such shares, will have no right to participate in the election
of directors of the Company or any other matter that may be brought to the vote of the shareholders of the Company.

 

The Series I Preferred
Shares will be subject to the Company’s right of redemption.

 

Pursuant to the Series I Certificate
of Designation, the Company will have the right to redeem outstanding shares of Series I Preferred Stock, in the Company’s
discretion, subject to the terms and conditions set forth therein. Such redemption, if it occurs, may reduce the return on Series
I Preferred Shares for Subscribers, as redeemed shares will no longer be entitled to further dividends.

 

The Series I Preferred
Stock will not be convertible to common stock.

 

The Series I Preferred Stock
will not be convertible to common stock. This may reduce the value of the Series I Preferred Stock as the holders, by virtue of
being holders of the Series I Preferred Shares, will not have the opportunity to benefit from any increase in the market price
of the common stock.

 

Investors should consult their own tax
advisers regarding tax consequences of this Offering and the Series I and Series J Preferred Shares.

 

The Company makes no representations
regarding the tax treatment that will apply to the Series I Preferred Shares, Series J Preferred Shares, or this Offering, including,
without limitation, with respect to any dividend or redemption payments under the Series I Preferred Shares. Subscribers should
consult their own tax advisers regarding such tax consequences.

 

 

C-2

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