Document:

Exhibit 10.3

 

Execution Version

 

AMENDMENT
NO. 1 TO SECURITIES PURCHASE AGREEMENT AND

 CONVERTIBLE SENIOR SECURED PROMISSORY NOTES

 

THIS
AMENDMENT NO. 1 TO SECURITIES PURCHASE AGREEMENT AND CONVERTIBLE SENIOR SECURED PROMISSORY NOTES (this “Amendment”)
is entered into as of September 23, 2022, among Faraday Future Intelligent Electric Inc., a Delaware corporation (the “Issuer”),
the Credit Parties from time to time party thereto (together with the Issuer, collectively the “Credit Parties” and
each a “Credit Party”), the financial institutions or other entities from time to time party thereto (collectively
the “Purchasers” and each a “Purchaser”), FF Simplicity Ventures LLC, as administrative and collateral
agent (in such capacity, the “Agent”, and together with the Purchasers, the “Holders”).

 

WHEREAS,
the Credit Parties, Purchasers and Agent are party to that certain Securities Purchase Agreement, dated as of August 14, 2022 (the “Existing
Securities Purchase Agreement” and the Existing Securities Purchase Agreement as amended by this Amendment, the “Amended
Securities Purchase Agreement”);

 

WHEREAS,
the Issuer executed that certain Convertible Senior Secured Promissory Note in favor of FF Simplicity Ventures LLC in the principal amount
of $25,000,000 dated as of August 15, 2022 (the “Existing FSV Convertible Note” and the Existing FSV Convertible Note
as amended by this Amendment, the “Amended FSV Convertible Note”);

 

WHEREAS,
the Issuer executed that certain Convertible Senior Secured Promissory Note in favor of RAAJJ Trading LLC in the principal amount of
$2,000,000 dated as of August 15, 2022 (the “Existing RAAJJ Convertible Note” and the Existing RAAJJ Convertible Note
as amended by this Amendment, the “Amended RAAJJ Convertible Note”);

 

WHEREAS,
the Issuer executed that certain Convertible Senior Secured Promissory Note in favor of FF Simplicity Ventures LLC in the principal amount
of $10,000,000 dated as of September 14, 2022 (the “Existing Second Bridge Note”, and together with the Existing FSV
Convertible Note and the Existing RAAJJ Convertible Note, the “Existing Convertible Notes”);

 

WHEREAS,
the Credit Parties have requested that the Existing Securities Purchase Agreement, the Existing FSV Convertible Note, the Existing RAAJJ
Convertible Note and the Existing Second Bridge Note be amended, subject to the terms and conditions set forth herein;

 

WHEREAS,
concurrent with the issuance of the Existing Convertible Notes, the Holders acquired warrants to purchase such aggregate number of shares
of Common Stock (as defined in the Existing Purchaser Warrants) as set forth on the signature page of the Holders (the “Existing
Purchaser Warrants”);

 

WHEREAS,
the Credit Parties, Purchasers and Agent have agreed to amend the Existing Securities Purchase Agreement, the Existing FSV Convertible
Note, the Existing RAAJJ Convertible Note and the Existing Second Bridge Note in certain respects, subject to the terms and conditions
set forth herein.

 

     

     

    

  

NOW
THEREFORE, in consideration of the premises and mutual agreements set forth in the Existing Securities Purchase Agreement, the Existing
FSV Convertible Note, the Existing RAAJJ Convertible Note, the Existing Second Bridge Notes and this Amendment, and other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

 

1. Defined
Terms. Unless otherwise defined herein, capitalized terms used herein shall have the meanings ascribed to such terms in the Amended
Securities Purchase Agreement.

 

2. Amendments
to Existing Securities Purchase Agreement. Effective on and as of the date hereof, the Existing Securities Purchase Agreement is
hereby amended as follows:

 

(a) Commitment,
Purchase, Sale and Issuance of the Notes.

 

(i) Section
2.1(a)(i) of the Existing Securities Purchase Agreement is amended and restated in its entirety as follows:

 

(i) Effective
as of the Closing Date, each Purchaser hereby commits to acquire from the Issuer the principal amount of Bridge Notes in an amount equal
to the Bridge Note Commitment Amount set forth opposite such Purchaser’s name on the Commitment Annex, with respect to the Initial
Bridge Notes, subject only to the conditions set forth in Section 7.1 and Section 7.2, with respect to the Second Bridge
Notes, Section 7.3, with respect to the Third Bridge Notes, Section 7.4, with respect to the Fourth Bridge Notes, Section
7.5 and with respect to the Fifth Bridge Notes, Section 7.6.

  

(i) Section
2.1(a)(ii) of the Existing Securities Purchase Agreement is amended and restated in its entirety as follows:

 

(ii)
On each Subsequent Closing Date, the Issuer shall issue and sell to each Purchaser, and each Purchaser shall acquire from the Issuer,
and hereby commits to acquire, subject only to the conditions contained in the definition of Subsequent Closing Date, senior secured
convertible promissory notes issued by the Issuer to each Purchaser in the principal amount set forth opposite such Purchaser’s
name on the Commitment Annex (each an “Incremental Note” and collectively, the “Incremental Notes”);
provided, however, the Issuer may also in its sole discretion sell to the Purchasers, and each Purchaser may in its sole discretion,
purchase from the Issuer, on any Subsequent Closing Date, additional Incremental Notes, upon and subject to the terms and conditions
contained in the definition of Subsequent Closing Date; provided, however, notwithstanding anything to the contrary set forth above or
set forth herein, the aggregate principal amounts of the Bridge Notes, Incremental Notes and principal amounts under the Additional Incremental
Debt (collectively, the “Tranche A Notes”) shall not in any event exceed $300,000,000. After the Closing Date, the
Issuer shall be permitted to identify Persons that desire to provide commitments to purchase Bridge Notes or Incremental Notes under
this Agreement and, upon execution and delivery by the Issuer and such Person of joinder documentation in substantially the form of Exhibit
E (or other form reasonably acceptable to the Issuer and such Person), such Person shall become a Purchaser hereunder for all purposes
and the Commitment Annex will be deemed amended to reflect such Person’s additional commitment in respect of Bridge Notes or Incremental
Notes, as applicable.

 

    -2-

     

    

 

(b) Closing.
Section 2.1(b)(iii) of the Existing Securities Purchase Agreement is amended and restated in its entirety as follows:

 

(iii) The
purchase and issuance of the Third Bridge Notes shall take place on or after September 23, 2022 on the first date that is a Business
Day on which the conditions set forth in Section 7.4 hereof have been satisfied or waived by the Agent (the “Third Bridge Closing”);
provided however, if such conditions are not satisfied by September 27, 2022, such commitment to purchase and issue such Third
Bridge Notes and all other commitments under this Agreement to purchase any Bridge Notes shall automatically terminate. At the Third
Bridge Closing, each applicable Purchaser shall purchase the Third Bridge Notes in accordance with its Third Bridge Note Commitment Percentage
and disburse the net proceeds (with netting to account for the amounts described in in Section 2.4(e)) from the purchase of the Third
Bridge Notes pursuant to the Notice of Issuance and Disbursement Authorization delivered by the Issuer. The purchase and issuance of
the Fourth Bridge Notes in an amount equal to (x) $5,500,000 shall take place on the later of (I) September 30, 2022 and (II) the filing
by the Issuer of an amendment to its outstanding S-1 and (y) $2,000,000 shall take place on the later of (I) October 7, 2022 and (II)
the filing by the Issuer of an amendment to its outstanding S-1, in each case, so long as all the conditions set forth in Section 7.5
hereof have been satisfied or waived by the Agent (each a “Fourth Bridge Closing”); provided however, if such
conditions are not satisfied as of October 7, 2022, such commitment to purchase and issue such Fourth Bridge Notes and all other commitments
under this Agreement to purchase any Bridge Notes shall automatically terminate. At each Fourth Bridge Closing, each applicable Purchaser
shall purchase the applicable Fourth Bridge Notes in accordance with its Fourth Bridge Note Commitment Percentage and disburse the net
proceeds (with netting to account for the amounts described in in Section 2.4(e)) from the purchase of the Fourth Bridge Notes pursuant
to the Notice of Issuance and Disbursement Authorization delivered by the Issuer. The purchase and issuance of the Fifth Bridge Notes
shall take place on the filing by the Issuer of an amendment to its outstanding S-1, so long as all the conditions set forth in Section
7.6 hereof have been satisfied or waived by the Agent (the “Fifth Bridge Closing”); provided however, if (x)
such conditions are not satisfied as of November 30, 2022 or (y) the Issuer has obtained cash equity or Debt proceeds (other than in
connection with the Third Bridge Closing and Fourth Bridge Closing) in an amount equal to at least $10,000,000 (such proceeds referred
to as the “Additional Debt/Equity Proceeds”) prior to such Fifth Bridge Closing, such commitment to purchase and issue
such Fifth Bridge Notes and all other commitments under this Agreement to purchase any Bridge Notes shall automatically terminate. At
the Fifth Bridge Closing, each applicable Purchaser shall purchase the Fifth Bridge Notes in accordance with its Fifth Bridge Note Commitment
Percentage and disburse the net proceeds (with netting to account for the amounts described in Section 2.4(e)) from the purchase of the
Fifth Bridge Notes pursuant to the Notice of Issuance and Disbursement Authorization delivered by the Issuer.

 

    -3-

     

    

 

(c) 
Commitments. Section 2.1(c)(iii) of the Existing Securities Purchase Agreement is amended and restated in its entirety as follows:

 

(iii) Notwithstanding
anything to the contrary contained herein, if the conditions set forth in (a) Section 7.2 are not satisfied on or before August 22, 2022,
(b) Section 7.3 are not satisfied on the Second Bridge Closing, (c) Section 7.4 are not satisfied by September 27, 2022, (d) Section
7.5 are not satisfied by October 7, 2022 or (e) Section 7.6 are not satisfied by November 30, 2022, all commitments and obligations to
purchase and issue any remaining Bridge Notes shall terminate.

 

(d) Premium
Payment Amount. The initial paragraph of Section 2.2 of the Existing Securities Purchase Agreement is amended and restated in its
entirety as follows:

 

In
the event that (a) any Note is prepaid, repaid, reduced, refinanced, or replaced in whole or in part before the Maturity Date (other
than pursuant to a mandatory prepayment made under Section 2.3(b), (c), (d) or (e)), (b) the Obligations are accelerated (whether pursuant
to the terms of this Agreement, by operation of law, or otherwise), (c) any Note is satisfied as a result of a foreclosure sale or by
any other means, or (d) an Event of Default occurs under Section 8.1(f) or 8.1(g), then, on the effective date of such
prepayment, repayment, reduction, refinancing, replacement, acceleration, sale or such Event of Default, the Issuer shall pay to the
Purchasers, in addition to all other Obligations, an amount equal to the percentage (the “Premium Percentage”) of
the principal amount of the Note(s) being prepaid, repaid, refinanced, replaced, accelerated, or subject to a sale through foreclosure
or otherwise or an Event of Default under Section 8.1(f) or 8.1(g) (or required or deemed to be prepaid, repaid, refinanced,
replaced, or subject to an acceleration, sale or such Event of Default), determined in accordance with the following chart:

 

(e) Mandatory
Prepayments. Section 2.3(c) of the Existing Securities Purchase Agreement is amended and restated in its entirety as follows:

 

Additional
Debt/Equity Proceeds. In the event the Fifth Bridge Closing has occurred and, subsequent to such date, any Credit Party or any Subsidiary
receives the Additional Debt/Equity Proceeds, within one (1) Business Day receipt of such Additional Debt/Equity Proceeds, the Issuer
shall prepay, or cause the prepayment, in full of the Fifth Bridge Notes.

 

    -4-

     

    

 

(f) Representations
and Warranties.

 

(i) The
introductory paragraph to Article 3 of the Existing Securities Purchase Agreement is amended and restated as follows:

 

To
induce the Agent and the Purchasers to enter into this Agreement and to purchase the Purchased Securities and other transactions contemplated
thereby, the Credit Parties hereby represent and warrant to the Agent and each Purchaser that the following are, and after giving effect
to the consummation of the transactions contemplated by the Financing Documents will be, true, correct and complete as of the Closing
Date, the Initial Bridge Closing, the Second Bridge Closing, the Third Bridge Closing, the Fourth Bridge Closing, the Fifth Bridge Closing
and the Subsequent Closing Date:

 

(ii) Section
3.30 of the Existing Securities Purchase Agreement is amended and restated as follows:

 

The
Common Stock is registered pursuant to Section 12(b) or 12(g) of the Exchange Act, and the Issuer has taken no action designed to, or
which to its knowledge is likely to have the effect of, terminating the registration of the Common Stock under the Exchange Act nor has
the Issuer received any notification that the Commission is contemplating terminating such registration. The Issuer is, and has no reason
to believe that within five (5) Trading Days it will not continue to be, in compliance with all such listing and maintenance requirements.
The Common Stock is currently eligible for electronic transfer through the Depository Trust Issuer or another established clearing corporation
and the Issuer is current in payment of the fees to the Depository Trust Issuer (or such other established clearing corporation) in connection
with such electronic transfer.

 

(g) Participation
in Future Financing. Section 4.25 of the Existing Securities Purchase Agreement is amended by adding the following clause (g) after
clause (f):

 

(g)
Notwithstanding anything to the contrary in this Agreement, the Agent and each Purchaser agrees that this Section 4.25 shall not apply
to the Amendment Date ELOC.

 

(h) Debt.
Section 5.1(h) of the Existing Securities Purchase Agreement is amended and restated in its entirety as follows:

 

(h)
Debt consisting of debtor-in-possession financing so long as( I) the interest rate, fees
and other terms of such financing are commercially reasonable under the circumstances as determined by a court of competent jurisdiction,
(II) subject to approval of a court of competent jurisdiction, the Agent is granted a lien on all Collateral including proceeds that
the provider of such Debt has received but on a junior basis (subject to intercreditor arrangements to be reasonably agreed), with the
Agent and the Purchasers receiving ongoing interest, fees and expenses payablehereunder and (III) the aggregate principal amount
of such Debt does not exceed $45,000,000, plus the amount of the professional fee carveout;

 

(i) Conditions
to Funding the Third Bridge Notes. Clauses (iv) and (v) of Section 7.4 of the Existing Securities Purchase Agreement are hereby amended
and restated as follows:

 

(iv)
subject to the Bridge Waivers, no Default or Event of Default exists;

 

(v)
subject to the Bridge Waivers, the representations and warranties contained in the Financing Documents are true and correct in all material
respects (without duplication of any materiality qualifier) as of the Third Bridge Closing, both before and after giving effect to the
Third Bridge Notes;

 

    -5-

     

    

 

(j) Conditions
to Funding the Fourth Bridge Notes. A new Section 7.5 is hereby added to the Existing Securities Purchase Agreement as follows:

 

Section
7.5 Conditions to Funding the Fourth Bridge Notes. On the Fourth Bridge Closing, the following conditions have been satisfied,
each in form and substance reasonably satisfactory to the Agent:

 

(i) the
Issuer has delivered to each applicable Purchaser, a Warrant registered in the name of such Purchaser to purchase up to a number of shares
of Common Stock equal to 33% of such Purchaser’s Conversion Shares on the Closing Date, with an exercise price equal to $5.00,
subject to adjustment therein, in a form attached as Exhibit D;

 

(ii) the
Issuer has delivered to each applicable Purchaser, the applicable Fourth Bridge Note; and

 

(iii) the
Bridge Equity Conditions have been satisfied;

 

(iv) subject
to the Bridge Waivers, no Default or Event of Default exists;

 

(v) subject
to the Bridge Waivers, the representations and warranties contained in the Financing Documents are true and correct in all material respects
(without duplication of any materiality qualifier) as of the Fourth Bridge Closing, both before and after giving effect to the Fourth
Bridge Notes; and

 

(vi) the
Initial Bridges Notes, the Second Bridge Notes and the Third Bridge Notes have been issued and purchased in accordance with the terms
of this Agreement.

 

    -6-

     

    

 

(k) Conditions
to Funding the Fifth Bridge Notes. A new Section 7.6 is hereby added to the Existing Securities Purchase Agreement as follows:

 

Section
7.6 Conditions to Funding the Fifth Bridge Notes. On the Fifth Bridge Closing, the following conditions have been satisfied, each
in form and substance reasonably satisfactory to the Agent:

 

(i) the
Issuer has delivered to each applicable Purchaser, a Warrant registered in the name of such Purchaser to purchase up to a number of shares
of Common Stock equal to 100% of such Purchaser’s Conversion Shares on the Closing Date, with an exercise price equal to $5.00,
subject to adjustment therein, in a form attached as Exhibit D;

 

(ii) the
Issuer has delivered to each applicable Purchaser, the applicable Fifth Bridge Note; and

 

(iii) the
Bridge Equity Conditions have been satisfied;

 

(iv) subject
to the Bridge Waivers, no Default or Event of Default exists;

 

(v) subject
to the Bridge Waivers, the representations and warranties contained in the Financing Documents are true and correct in all material respects
(without duplication of any materiality qualifier) as of the Fifth Bridge Closing, both before and after giving effect to the Fifth Bridge
Notes; and

 

(vi) the
Initial Bridges Notes, the Second Bridge Notes, the Third Bridge Notes and the Fourth Bridge Notes have been issued and purchased in
accordance with the terms of this Agreement.

 

(l) Definitions.
The following definitions contained in Annex A of the Existing Securities Purchase Agreement are hereby amended and restated as follows:

 

“Bridge
Equity Conditions” means, during the period in question, (a) the Issuer shall have duly honored all conversions and redemptions
scheduled to occur or occurring by virtue of one or more Notices of Conversion of the Purchaser pursuant to the Notes since the date
hereof, if any, (b) the Issuer shall have paid all liquidated damages and other amounts owing to a Purchaser in respect of the Transaction
Documents, (c) the Issuer has met since the date hereof the current public information requirements under Rule 144 (subject to the ability
for the Issuer to cure any failure to meet such requirements within one (1) Trading Day), or on the applicable Closing Date there is
an effective Registration Statement pursuant to which the Holder is permitted to utilize the prospectus thereunder to resell all of the
shares of Common Stock issuable pursuant to the Transaction Documents, (d) the Common Stock is trading on a Trading Market and all of
the shares issuable pursuant to the Transaction Documents are listed or quoted for trading on such Trading Market (and the Issuer believes,
in good faith, that trading of the Common Stock on a Trading Market will continue uninterrupted for the following five (5) consecutive
Trading Days), (e) there is a sufficient number of authorized but unissued and otherwise unreserved shares of Common Stock for the issuance
of all of the shares then issuable pursuant to the Transaction Documents, (f) there is no existing Event of Default and no existing event
which, with the passage of time or the giving of notice, would constitute an Event of Default, and (g) the applicable Purchaser is not
in possession of any information provided by the Issuer, any of its Subsidiaries, or any of their officers, directors, employees, agents
or Affiliates, that constitutes, or may constitute, material non-public information.

 

    -7-

     

    

 

“Bridge
Note Commitment Amount” means, as to any Purchaser, the percentage, if any, set forth opposite such Purchaser’s name
on the Commitment Annex under the columns “Initial Bridge Note Commitment Amount,” “Second Bridge Note Commitment Amount,”
“Third Bridge Note Commitment Amount,” “Fourth Bridge Note Commitment Amount” and/or “Fifth Bridge Note
Commitment Amount”.

 

“Bridge
Note Commitment Percentage” means, as to any Purchaser, the percentage, if any, set forth opposite such Purchaser’s name
on the Commitment Annex under the column “Initial Bridge Note Commitment Percentage,” “Second Bridge Note Commitment
Percentage,” “Third Bridge Note Commitment Percentage,” “Fourth Note Commitment Amount” and/or “Fifth
Note Commitment Amount”.

 

“Maturity
Date” means the earliest of (a) August 14, 2026, (b) such earlier date that the Notes become due and payable pursuant to Section
8.2 or (c) 91 days before the maturity date of any Junior Debt (other than any Existing Notes) of any Credit Party (except as agreed
by the Required Purchasers in their reasonable discretion with respect to customary working capital debt of the Credit Parties).

 

“Subsequent
FSV Bridge Notes” means, the Bridge Notes issued to FSV on the Second Bridge Closing, the Third Bridge Closing, the Fourth
Bridge Closing and the Fifth Bridge Closing.

 

    -8-

     

    

 

“Warrants”
means, collectively, the Common Stock purchase warrants delivered to the Purchasers at the Initial Bridge Closing, Second Bridge Closing,
Third Bridge Closing, Fourth Bridge Closing, Fifth Bridge Closing and each Subsequent Closing Date in accordance with this Agreement,
which Warrants shall be exercisable immediately and have a term of exercise equal to 7 years, in the form of Exhibit D attached
hereto or such other form as shall be agreed between the Issuer and such Purchaser.

 

(m) New
Definitions. The following new definitions are hereby added to Annex A of the Existing Securities Purchase Agreement in alphabetical
order as follows:

 

“Amendment
No. 1” means the Amendment No. 1 to Securities Purchase Agreement and Convertible Senior Secured Promissory Notes entered into
by the Issuer and the Required Purchasers on the Amendment No. 1 Effective Date.

 

“Amendment
No. 1 8-K” has the meaning set forth in the Amendment No. 1.

 

“Amendment
No. 1 Effective Date” has the meaning set forth in the Amendment No. 1.

 

“Amendment
Date ELOC” means an equity line of credit with one or more institutional investors to be entered into by the Issuer after the
occurrence of the Amendment No. 1 Effective Date, which provides the right of the Issuer to sell up to $350,000,000 of its Common Stock
on the terms and conditions set forth therein

 

“Bridge
Waivers” has the meaning set forth in the Amendment No. 1.

 

“Closing
Bid Price” means, for any security as of any date, the last closing trade price for such security on the principal Trading
Market, as reported by Bloomberg, or, if the principal Trading Market begins to operate on an extended hours basis and does not designate
the closing trade price, then the last trade price of such security prior to 4:00:00 p.m., New York time, as reported by Bloomberg, or,
if the principal Trading Market is not the principal securities exchange or trading market for such security, the last trade price of
such security on the principal securities exchange or trading market where such security is listed or traded as reported by Bloomberg,
or if the foregoing does not apply, the last trade price of such security in the over-the-counter market on the electronic bulletin board
for such security as reported by Bloomberg, or, if no last trade price is reported for such security by Bloomberg, the average of the
ask prices of any market makers for such security as reported in The Pink Open Market (or a similar organization or agency succeeding
to its functions of reporting prices).  If the Closing Bid Price cannot be calculated for a security on a particular date on any
of the foregoing bases, the Closing Bid Price of such security on such date shall be the fair market value as mutually determined by
the Company and the Purchasers of a majority in interest of the Securities.  If the Company and the Purchasers of a majority in
interest of the Securities are unable to agree upon the fair market value of such security, such determination shall be made by an independent
appraiser selected reasonably and in good faith by the Purchasers of a majority in interest of the Securities then outstanding and the
Issuer, the fees and expenses of which shall be split by such Purchasers and the Issuer. All such determinations shall be appropriately
adjusted for any share dividend, share split, share combination or other similar transaction during such
period.

 

    -9-

     

    

 

“Fifth
Bridge Notes” means, the Bridge Notes issued on the Fifth Bridge Closing in an amount equal to the Fifth Bridge Note Commitment
Amount.

 

“Fifth
Bridge Note Commitment Amount” means, as to any Purchaser, the percentage, if any, set forth opposite such Purchaser’s
name on the Commitment Annex under the column “Fifth Bridge Note Commitment Amount”.

 

“Fourth
Bridge Notes” means, the Bridge Notes issued on the Fourth Bridge Closing in an amount equal to the Fourth Bridge Note Commitment
Amount.

 

“Fourth
Bridge Note Commitment Amount” means, as to any Purchaser, the percentage, if any, set forth opposite such Purchaser’s
name on the Commitment Annex under the column “Fourth Bridge Note Commitment Amount”.

 

“Fourth
Bridge Note Commitment Percentage” means, as to any Purchaser, the percentage, if any, set forth opposite such Purchaser’s
name on the Commitment Annex under the column “Fourth Bridge Note Commitment Percentage”.

 

“Amendment
Holders” means Senyun International Ltd. and/or its Affiliates.

 

“Amendment
Holders Pledge” means the pledge of all or a portion of the Issuer’s outstanding common stock held by FF Top Holding
LLC in connection with the Amendment Holders Purchase.

 

    -10-

     

    

 

“Amendment
Holders Purchase” means the purchase by the Amendment Holders of Incremental Notes / Tranche A Notes on or after the Amendment
No. 1 Effective Date (and issuance to the Amendment Holders of such Incremental Notes / Tranche A Notes) in accordance with the Amended
Securities Purchase Agreement.

 

“Trading
Day” means a day on which the Common Stock is traded on a Trading Market.

 

(n) Commitment
Annex. The Commitment Annex contained on Annex B of the Existing Securities Purchase Agreement is hereby amended and restated as
follows:

 

	Purchaser	 	Initial
 Bridge

    Note
 Commitment
 Amount	 	 	Initial
 Bridge

    Note
 Commitment
 Percentage	 	 	Second
 Bridge
 Note

    Commitment
 Amount	 	 	Second
 Bridge
 Note

    Commitment
 Percentage	 	 	Third
 Bridge
 Note

    Commitment
 Amount	 	 	Third
 Bridge
 Note

    Commitment
 Percentage	 	 	Fourth
 Bridge
 Note

    Commitment
 Amount	 	 	Fourth
 Bridge
 Note

    Commitment
 Percentage	 	 	Fifth
 Bridge
 Note

    Commitment
 Amount	 	 	Fifth
 Bridge
 Note

    Commitment
 Percentage	 	 	Incremental
 Note

    Commitment
 Amount	 	 	Incremental
 Note

    Commitment
 Percentage	 
	FSV	 	$	25,000,000	 	 	 	92.592593	%	 	$	10,000,000	 	 	 	100	%	 	$	7,500,000	 	 	 	100	%	 	$	7,500,000	 	 	 	100	%	 	$	5,000,000	 	 	 	100	%	 	$	      0	 	 	 	      0	%
	RAAJJ Trading LLC	 	$	2,000,000	 	 	 	7.4074074	%	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 
	TOTALS	 	$	27,000,000	 	 	 	100	%	 	$	10,000,000	 	 	 	100	%	 	$	7,500,000	 	 	 	100	%	 	$	7,500,000	 	 	 	100	%	 	$	5,000,000	 	 	 	100	%	 	$	0	 	 	 	0	%

 

(o) Amendments
to Certain Schedules of the Existing Securities Purchase Agreement and Guarantee and Collateral Agreement.

 

(i) Each
of Schedule 3.1, Schedule 3.4, Schedule 3.6, Schedule 3.20, Schedule 5.9 and, subject to the occurrence of the Amendment Holders Purchase,
Schedule 13.6 of the Existing Securities Purchase Agreement, shall be updated, supplemented and/or amended as set forth on Exhibit
A hereto.

 

(ii) Schedule
4.9 and Schedule 4.10 of the Guarantee and Collateral Agreement shall be updated and amended as set forth on Exhibit B hereto.

 

    -11-

     

    

 

(p) Covenant.

 

(i) Within
twenty (20) days of the Third Bridge Closing (or such longer period as the Agent may agree), Issuer shall (i) grant a junior Lien to
the holders of the Existing Notes pursuant to a security agreement substantially in the form of the Guarantee and Collateral Agreement
(including with respect to the customary exceptions to such Lien as set forth therein) and (ii) use commercially reasonable efforts to
cause the Agent and the holders of the Existing Notes (or an agent or other representative on their behalf) to enter into a Junior Lien
Intercreditor Agreement in respect of the junior Lien granted to the holders of the Existing Notes vis-à-vis the Liens granted
to the Agent.

 

(ii) By
no later than 8:30 AM NY time on Monday, September 26, 2022, the Agent shall have received confirmation that an 8-K with respect to the
transactions contemplated by this Amendment has been filed by the Issuer (such 8-K, the “Amendment No. 1 8-K”).

 

(q) Waivers.

 

(i) Each
Purchaser and the Agent hereby waive (such waivers, collectively, the “Bridge Waivers”) any:

 

(A) Default
or Event of Default set forth in any Financing Document;

 

(B) breach
of any representation or warranty set forth in any Financing Document;

 

(C) breach
of any covenant set forth in any Financing Document; or

 

(D) other
effect under the Existing Security Purchase Agreement, the Amended Security Purchase Agreement and/or any other Financing Document (including
without limitation in the event of the occurrence of a Material Adverse Effect);

 

in
each case, that exist as of the Amendment No. 1 Effective Date or that would occur on or after the Amendment No. 1 Effective Date until
the earlier of (x) 180 days after the Amendment No. 1 Effective Date (or such longer period as the Agent may agree) and (y) the receipt
by the Issuer of cash equity or Debt proceeds (other than in connection with the Third Bridge Closing, Fourth Bridge Closing, Fifth Bridge
Closing and the Amendment Holders Purchase) in an aggregate principal amount of $150,000,000 (or such greater amount as the Agent may
agree) (such end date, the “Specified Deadline”), solely with respect to any of the following:

 

(v)
failure to comply with Section 4.12(c) of the Existing Security Purchase Agreement on and as of the Amendment No. 1 Effective Date;

 

(w)
any amounts that (1) are, as of the Amendment No. 1 Effective Date, owed by the Issuer or its Subsidiaries to their respective trade
counterparties, suppliers, vendors or, in each case, other similar counterparties and that remain unpaid as of the Amendment No. 1 Effective
Date as set forth in the Amendment No. 1 8-K and (2) remain unpaid after the Amendment No. 1 Effective Date by the Issuer or its Subsidiaries
to their respective trade counterparties, suppliers, vendors or, in each case, other similar counterparties;

 

    -12-

     

    

 

(x)
any reduction in the workforce of the Issuer or its Subsidiaries as set forth in the Amendment No. 1 8-K or any additional reduction
in the workforce of the Issuer or its Subsidiaries that occurs after the Amendment No. 1 Effective Date;

 

(y)
the disclosure to the Agent and/or any Purchaser of material non-public information regarding the Issuer or any other Subsidiary on or
prior to the Amendment No. 1 Effective Date so long as such information is included in the Amendment No. 1 8-K; and/or

 

(z)
any reasonably foreseeable consequence in respect of any of the foregoing.

 

For
the avoidance of doubt, (A) each Purchaser and the Agent hereby agree no Default or Event of Default shall exist as a result of the failure
to comply with any representation and warranty, covenant or other term in the Financing Documents in respect of the Bridge Waivers on
or prior to the Specified Deadline, (B) the foregoing Bridge Waivers do not apply to an Event of Default that has occurred and is continuing
(after giving effect to any notice and cure periods) in respect of Section 8.1(a), Section 8.01(f) (other than in respect of any Credit
Party generally failing to pay, or admitting in writing its inability or refusal to pay, debts as they become due, to which, for the
avoidance of doubt, the Bridge Waivers apply), Section 8.01(g), Section 8.01(n) (in respect of the Issuer), Section 8.01(o), Section
8.01(p) or Section 8.01(q), in each case, of the Existing Security Purchase Agreement and/or the Amended Security Purchase Agreement
or (C) the foregoing Bridge Waivers do not apply in connection with the fundings contemplated by the Third Bridge Closing, the Fourth
Bridge Closing and the Fifth Bridge Closing, clause (d) of the definition of Bridge Equity Conditions of the Amended Security Purchase
Agreement.

 

(ii) Each
Purchaser and the Agent hereby:

 

(A) Agree
to the Amendment Holders Pledge and waive the applicable representation and warranty set forth in Section 3.4 in respect of the Capital
Stock of the Issuer that is the subject to the Amendment Holders Pledge, in each case, in connection with the Amendment Holders Purchase;
provided however that, the agreement and waiver in this clause 2(q)(ii)(A), is conditioned on each Amendment Holder (and any such
other pledgee under the Amendment Holders Pledge) having no ability (as evidenced by a written covenant by such Amendment Holder and
each other pledge under the Amendment Holders Pledge, as applicable, in a duly authorized, executed and delivered written agreement with
the Company) to, directly or indirectly, use (or have or otherwise direct any other Person (including any affiliates, agent, broker or
other designee thereof) to use) any Capital Stock of the Issuer that is the subject to the Amendment Holders Pledge in any “short”
position (as determined in accordance with Regulation SHO of the Securities Exchange Act of 1934, as amended), whether in any derivative
security, as “borrow” or otherwise with respect thereto.

 

    -13-

     

    

 

(B) Agrees
that Section 2.5 of the Existing Security Purchase Agreement and/or the Amended Security Purchase Agreement shall not apply to the Amendment
Holders Purchase in respect of the Amendment Holders Pledge.

 

3. Amendments
to Convertible Senior Secured Promissory Note. Effective on and as of the date hereof, each of the Existing FSV Convertible Note
and the Existing RAAJJ Convertible Note is hereby amended as follows:

 

(a) Conversion
Price. Section 3(b) of each of the Existing FSV Convertible Note and the Existing RAAJJ Convertible Note is amended and restated
in its entirety as follows:

 

(b)
The conversion price in effect on any Conversion Date shall be equal to $1.05, subject to adjustment herein (the “Conversion
Price”); provided, however, in the event that the effective price per share (i.e. conversion price) at which
shares of Common Stock are issued or issuable in connection with any Tranche A Financing after the date hereof (or after August 19, 2022
with respect to up to $31 million of additional Notes committed on or prior to August 17, 2022) is less than 117.647% of the Conversion
Price (the “Base Share Price”), then the Conversion Price shall be reduced, and only reduced, to equal 85% of the
Base Share Price, subject to adjustment hereunder (and if the Tranche A Financing is undertaken in multiple tranches or closings with
different effective prices, such adjustment shall be to the lowest effective price at which such securities are issued).

 

(b) Transfer
Restrictions. Section 3(f) of each of the Existing FSV Convertible Note and the Existing RAAJJ Convertible Note is amended and restated
in its entirety as follows:

 

Notwithstanding
anything to the contrary in this Note, there is and shall be no restriction on the direct or indirect transfer, pledge, sale or other
disposition of the shares of Common Stock issued upon conversion of this Note.

    -14-

     

    

 

 

(c) Voluntary
Adjustment. Section 4(c) of each of the Existing FSV Convertible Note and the Existing RAAJJ Convertible Note is amended and restated
in its entirety as follows:

 

Subject
to the rules and regulations of the principal Trading Market of the Common Stock, the Company may at any time during the term of this
Note, with the prior written consent of the Holder, reduce the then current Conversion Price of this Note to any amount and for any period
of time deemed appropriate by the board of directors of the Company.

 

4. Amendments
to Convertible Senior Secured Promissory Note. Effective on and as of the date hereof, the Second Bridge Note is hereby amended as
follows:

 

(a) Section
3(f) of the Second Bridge Note is amended and restated in its entirety as follows:

 

Notwithstanding
anything to the contrary in this Note, until the date that is three (3) months after the date hereof, the shares of Common Stock issued
upon conversion of this Note may not be directly or indirectly transferred, pledged, sold or otherwise disposed of without the prior
written consent of the Issuer (which written consent shall not be unreasonably withheld).

 

(b) Voluntary
Adjustment. Section 4(c) of the Second Bridge Note is amended and restated in its entirety as follows:

 

Subject to the rules and regulations
of the principal Trading Market of the Common Stock, the Company may at any time during the term of this Note, with the prior written
consent of the Holder, reduce the then current Conversion Price of this Note to any amount and for any period of time deemed appropriate
by the board of directors of the Company.

 

5. Amendments
to Other Convertible Senior Secured Promissory Notes. The Third Bridge Note, Fourth Bridge Note, Fifth Bridge Note and each other
Incremental Note shall contain the following:

 

(a) Section
3(f) of the Third Bridge Note, Fourth Bridge Note, Fifth Bridge Note, and each other Incremental Note shall read as follows:

 

Notwithstanding
anything to the contrary in this Note, until the date that is three (3) months after the date hereof, the shares of Common Stock issued
upon conversion of this Note may not be directly or indirectly transferred, pledged, sold or otherwise disposed of without the prior
written consent of the Issuer (which written consent shall not be unreasonably withheld).

 

    -15-

     

    

 

(b) Voluntary
Adjustment. Section 4(c) of the Third Bridge Note, Fourth Bridge Note, Fifth Bridge Note and each other Incremental Note shall read
as follows:

 

Subject to the rules and regulations
of the principal Trading Market of the Common Stock, the Company may at any time during the term of this Note, with the prior written
consent of the Holder, reduce the then current Conversion Price of this Note to any amount and for any period of time deemed appropriate
by the board of directors of the Company.

 

6. Conditions
to Effectiveness of Amendment. This Amendment shall become effective as of the date first written above (the “Amendment
No. 1 Effective Date”) upon the satisfaction (or waiver in writing by the Agent and Required Purchasers) of the following conditions
precedent, each in form and substance reasonably satisfactory to, and the satisfaction of, the Agent and each Purchaser:

 

(a) Agent
shall have received a fully executed copy of this Amendment executed by each of the Credit Parties, each of the Purchasers (constituting
Required Purchasers), and the Agent;

 

(b) Receipt
by Agent of executed copies of (i) the Heads of Agreement regarding governance matters among Issuer, FF Global Partners LLC and FF Top
Holding LLC and (ii) the Mutual Release among FF Global Partners LLC, the FFGP Controlled Affiliates party thereto, the Executive Committee
Members party thereto, FF Top Holding LLC, Issuer, the FFIE Controlled Affiliates party thereto, Property Solutions Acquisitions Corp.,
and the Directors party thereto (in each case, as defined therein);

 

(c) Agent
shall have received a fully executed copies of support letters from FF Top Holding LLC and Season Smart Limited consenting to the Shareholder
Approval on the terms and conditions set forth in such support letters;

 

(d) Receipt
of all customary resolutions or written consents of the Credit Parties’ appropriate governing body approving and authorizing this
Amendment;

 

(e) [reserved];

 

(f) After
giving effect to this Amendment, subject to the Bridge Waivers, no Default or Event of Default shall have occurred and be continuing
or shall be caused by the transactions contemplated by this Amendment; and

 

(g) Subject
to the Bridge Waivers, the representations and warranties contained in the Amended Securities Purchase Agreement and the other Financing
Documents are true and correct in all material respects (without duplication of any materiality qualifier) as of the date hereof, both
before and after giving effect to the transactions contemplated by the Amended Securities Purchase Agreement and the other Financing
Documents.

 

    -16-

     

    

  

7. Representations
and Warranties. In order to induce the Agent and the Purchasers to enter into this Amendment, each Credit Party hereby represents
and warrants to the Agent and the Purchasers, immediately after giving effect to this Amendment, as of the date hereof and in each case,
subject to the Bridge Waivers:

 

(a) The
execution, delivery and performance of this Amendment has been duly authorized by all requisite organization action on the part of each
Credit Party party hereto and that this Amendment has been duly executed and delivered by each Credit Party party hereto;

 

(b) After
giving effect to this Amendment, no Default or Event of Default has occurred and is continuing or shall be caused by the transactions
contemplated by this Amendment;

 

(c) The
representations and warranties contained in the Amended Securities Purchase Agreement and the other Financing Documents are true and
correct in all material respects (without duplication of any materiality qualifier) as of the date hereof, both before and after giving
effect to the transactions contemplated by the Amended Securities Purchase Agreement, Amended FSV Convertible Note, Amended RAAJJ Convertible
Note and the other Financing Documents; and

 

(d) This
Amendment, the Amended Securities Purchase Agreement, the Amended FSV Convertible Note and the Amended RAAJJ Convertible Note, constitute
the legal, valid and binding obligations of such Credit Party which is a party hereto or thereto and are enforceable against such Credit
Party which is a party hereto or thereto in accordance with their terms, except as may be limited by applicable bankruptcy, insolvency,
reorganization, moratorium or similar laws affecting the enforcement of creditors’ rights generally and by general principles of equity.

 

(e) All
material non-public information regarding the Issuer or any other Credit Party that has been disclosed to the Agent or any Purchaser
on or prior to the date hereof, has been disclosed in the Amendment No. 1 8-K.

 

8. Additional
Agent Consideration.  As additional consideration for the Agent entering into this Amendment, on the date hereof the Issuer
shall issue to the Agent a warrant to purchase ten (10) shares of Common Stock of the Issuer in the form attached hereto as Exhibit
F hereto (the “Adjustment Warrant”).

 

9.
Adjustment Waiver. The Holders hereby agree to waive the adjustments to the
exercise price of the Existing Purchaser Warrants and the aggregate number of shares of Common Stock of the Issuer issuable upon exercise
of the Existing Purchaser Warrants (without regard to any limitations on exercise set forth therein) arising as a result of the issuance
of the Adjustment Warrant; provided, for the avoidance of doubt, that the waivers in this Section 9 shall not apply to
any future voluntary adjustments to the exercise price of the Adjustment Warrant by the Company in accordance with Section 3(b) of the
Adjustment Warrant, if any, and nothing in this Section 9 shall amend, modify or waive any provision of Section 1.3 to that certain
Warrant Exercise Agreement, dated as of the date hereof, by and between Issuer and the investors party thereto.

 

    -17-

     

    

 

10. Acknowledgment
and Reaffirmation of Financing Documents. Each Credit Party hereby ratifies, affirms, acknowledges and agrees that the
Amended Securities Purchase Agreement and the other Financing Documents to which it is a party represent the valid and enforceable
obligations of such Credit Party, subject to bankruptcy, insolvency, reorganization, moratorium and similar laws affecting the
enforceability of creditors’ rights generally and to general principles of equity. Each Credit Party hereby agrees that this
Amendment in no way acts as a release or relinquishment of the Liens and rights securing payment of the Obligations. The Liens and
rights securing payment of the Obligations are hereby ratified and confirmed by each Credit Party in all respects. This Amendment,
subject to satisfaction (or waiver in writing by the Agent and Required Purchasers) of the conditions provided in Section 6
above, shall constitute an amendment to the Existing Securities Purchase Agreement, the Existing FSV Convertible Note, , the
Existing RAAJJ Convertible Note and all of the other Financing Documents as appropriate to express the agreements contained herein.
In all other respects, the Existing Securities Purchase Agreement and the other Financing Documents shall remain unchanged and in
full force and effect in accordance with their original terms. The terms and provisions set forth in this Amendment shall modify and
supersede all inconsistent terms and provisions of the Existing Securities Purchase Agreement and shall not be deemed to be a
consent to the modification or waiver of any other term or condition of the Existing Securities Purchase Agreement. Except as
expressly modified and superseded by this Amendment, the terms and provisions of the Existing Securities Purchase Agreement and the
other Financing Documents are ratified and confirmed and shall continue in full force and effect.

 

11. Fees
and Expenses. The Credit Parties agree to pay all reasonable and documented out-of-pocket costs and expenses of the Agent and Purchasers
in connection with the execution and delivery of this Amendment to the extent required under Section 9.1 of the Amended Securities Purchase
Agreement.

 

12. Severability.
Any provision of this Amendment which is prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective
to the extent of such prohibition or unenforceability without invalidating the remaining portions hereof or affecting the validity or
enforceability of such provision in any other jurisdiction.

 

    -18-

     

    

 

13. References.
Subject to the satisfaction of the conditions set forth in Section 6 above, on and after the date hereof, each reference in the
(x) Existing Securities Purchase Agreement to “this Agreement,” “hereunder,” “hereof” or words of
like import shall mean and be a reference to the Amended Securities Purchase Agreement and each reference in any other Loan Document
to “the Securities Purchase Agreement” shall mean and be a reference to the Amended Securities Purchase Agreement, (y) Existing
FSV Convertible Note to “this Note,” “hereunder,” “hereof” or words of like import shall mean and
be a reference to the Amended FSV Convertible Note and each reference in any other Loan Document to “the Note” shall, to
the extent referencing the Existing FSV Convertible Note, mean and be a reference to the Amended FSV Convertible Note and (z) Existing
RAAJJ Convertible Note to “this Note,” “hereunder,” “hereof” or words of like import shall mean and
be a reference to the Amended RAAJJ Convertible Note and each reference in any other Loan Document to “the Note” shall, to
the extent referencing the Existing RAAJJ Convertible Note, mean and be a reference to the Amended RAAJJ Convertible Note.

 

14. Counterparts.
This Amendment may be executed in any number of counterparts and by different parties hereto in separate counterparts, each of which
shall be deemed to be an original, but all of which taken together shall constitute one and the same agreement. Delivery of an executed
counterpart of this Amendment by facsimile, email delivery or electronic signature shall be equally as effective as delivery of an original
executed counterpart of this Amendment.

 

15. Governing
Law. THIS AMENDMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW YORK APPLICABLE TO CONTRACTS
MADE AND TO BE PERFORMED IN THE STATE OF NEW YORK.

 

[Signature
pages follow]

 

    -19-

     

    

 

IN
WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed as of the date first set forth above.

 

	 	ISSUER:
	 	 	 
	 	FARADAY FUTURE INTELLIGENT ELECTRIC INC.
	 	 	 
	 	By:	/s/
Carsten Breitfeld
	 	Name:  	Carsten
Breitfeld
	 	Title:	Chief
Executive Officer

 

Signature
Page to Amendment No. 1 to Securities Purchase Agreement and Convertible Senior Secured Promissory Note

 

     

     

    

 

	 	GUARANTORS:
	 	 
	 	FARADAY&FUTURE
    INC.
	 	 
	 	By:	/s/ Carsten
Breitfeld
	 	Name: 	Carsten
Breitfeld
	 	Title: 	Authorized
Officer
	 	 
	 	FF
    INC.
	 	 
	 	By:	/s/ Carsten
Breitfeld
	 	Name: 	Carsten
Breitfeld
	 	Title: 	Authorized
Officer
	 	 
	 	FARADAY
    SPE, LLC
	 	 
	 	By:	/s/ Carsten
Breitfeld
	 	Name: 	Carsten
Breitfeld
	 	Title: 	Authorized
Officer
	 	 
	 	EAGLE
    PROP HOLDCO LLC
	 	 
	 	By:	/s/ Carsten
Breitfeld
	 	Name: 	Carsten
Breitfeld
	 	Title: 	Authorized
Officer
	 	 
	 	FF
    SALES AMERICAS, LLC
	 	 
	 	By:	/s/ Carsten
Breitfeld
	 	Name: 	Carsten
Breitfeld
	 	Title: 	Authorized
Officer

 

Signature
Page to Amendment No. 1 to Securities Purchase Agreement and Convertible Senior Secured Promissory Note

 

     

     

    

 

	 	FF
    EQUIPMENT LLC
	 	 
	 	By:	/s/ Carsten
Breitfeld
	 	Name: 	Carsten
Breitfeld
	 	Title: 	Authorized
Officer
	 	 
	 	FF
    MANUFACTURING LLC
	 	 
	 	By:	/s/ Carsten
Breitfeld
	 	Name: 	Carsten
Breitfeld
	 	Title: 	Authorized
Officer
	 	 
	 	FF
    ECO SALES COMPANY, LLC
	 	 
	 	By:	/s/ Carsten
Breitfeld
	 	Name: 	Carsten
Breitfeld
	 	Title: 	Authorized
Officer
	 	 
	 	FF
    INTELLIGENT MOBILITY GLOBAL HOLDINGS LTD.
	 	 
	 	By:	/s/ Carsten
Breitfeld
	 	Name:  	Carsten
Breitfeld
	 	Title:	Authorized
Officer
	 	 
	 	SMART
    TECHNOLOGY HOLDINGS LTD.
	 	 
	 	By:	/s/ Carsten
Breitfeld
	 	Name: 	Carsten
Breitfeld
	 	Title:	Authorized
Officer

 

Signature
Page to Amendment No. 1 to Securities Purchase Agreement and Convertible Senior Secured Promissory Note

 

     

     

    

 

	 	AGENT AND PURCHASER:
	 	 
	 	FF SIMPLICITY VENTURES LLC
	 	 	 
	 	By:	/s/ Antonio Ruiz-Gimenez
	 	Name: 	Antonio Ruiz-Gimenez

	 	Title:	 Managing Member

 
Signature Page to Amendment No. 1 to Securities Purchase Agreement
and Convertible Senior Secured Promissory Note

 

     

     

    

 

	 	PURCHASER: 
	 	 	 
	 	RAAJJ TRADING LLC
	 	 	 
	 	By:	/s/  Alan Rubenstein
	 	Name: 	Alan Rubenstein
	 	Title:	Manager

 

Signature Page to Amendment No.
I to Securities Purchase Agreement and Convertible Senior Secured Promissory NoteExhibit 10.4

 

THIS
SECURITY HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR ANY APPLICABLE STATE SECURITIES LAWS AND MAY NOT BE
SOLD OR TRANSFERRED WITHOUT COMPLIANCE WITH THE REGISTRATION OR QUALIFICATION PROVISIONS OF APPLICABLE FEDERAL AND STATE SECURITIES LAWS
OR APPLICABLE EXEMPTIONS THEREFROM.

 

THE
HOLDER HEREOF SHOULD CONTACT THE RESPONSIBLE OFFICER OF THE ISSUER AT THE ISSUER’S PRINCIPAL OFFICE, CURRENTLY 18455 SOUTH FIGUEROA
STREET, LOS ANGELES, CALIFORNIA 90248, TO OBTAIN THE INFORMATION RELATED TO THIS NOTE’S
ORIGINAL ISSUE DISCOUNT CALCULATIONS. THIS LEGEND IS INTENDED TO SATISFY THE ORIGINAL ISSUE DISCOUNT REPORTING REQUIREMENTS UNDER TREASURY
REGULATIONS SECTION 1.1275-3.

 

Convertible
Senior Secured Promissory Note

 

	$7,500,000	New
    York, New York
	 	September
    [__], 2022

 

FOR
VALUE RECEIVED, the undersigned (together with each other Person who becomes an issuer by execution of a joinder to the Securities Purchase
Agreement, each an “Issuer” and collectively the “Issuers”), hereby jointly and severally, and
unconditionally, promise to pay to FF Simplicity Ventures LLC (“Holder”) at the office of the Holder at One Logan
Square

Philadelphia, Pennsylvania 19103, or at such other place as Holder may from time to time designate in writing to Parent, in lawful money
of the United States of America and in immediately available funds, the principal sum of seven million five hundred thousand Dollars
($7,500,000). This Convertible Senior Secured Promissory Note (this “Note”) is issued in accordance with the provisions
of that certain Securities Purchase Agreement dated as of the date hereof, among the Issuers, various financial institutions as are,
or may from time to time become, party thereto as lenders (including without limitation Holder), FF Simplicity Ventures LLC, as administrative
and collateral agent (in such capacity, “Agent”) (as amended, restated, supplemented or otherwise modified from time
to time, the “Securities Purchase Agreement”) and is entitled to the benefits and security of the Securities Purchase
Agreement and the other Financing Documents, and reference is hereby made to the Securities Purchase Agreement for a statement of the
terms and conditions under which the Note evidenced hereby is required to be repaid. All capitalized terms used herein (which are not
otherwise specifically defined herein) shall be used in this Note as defined in the Securities Purchase Agreement.

 

The
outstanding principal balance of the portion of the Note evidenced by this Note shall be due and payable as provided for in the Securities
Purchase Agreement.

 

Section
1.Definitions.

 

“Beneficial
Ownership Limitation” shall have the meaning set forth in Section 3(d).

 

“Buy-In”
shall have the meaning set forth in Section 3(c)(v).

 

“Conversion”
shall have the meaning ascribed to such term in Section 3(a).

 

“Conversion
Date” shall have the meaning set forth in Section 3(a).

 

     

     

    

 

“Conversion
Price” shall have the meaning set forth in Section 3(b).

 

“Conversion
Shares” means, collectively, the shares of Common Stock issuable upon conversion of this Note in accordance with the terms
hereof.

 

“Note
Register” shall have the meaning set forth in Section 2(c).

 

“Dilutive
Issuance” shall have the meaning set forth in Section 4(b).

 

“Dilutive
Issuance Notice” shall have the meaning set forth in Section 4(b).

 

“Equity
Conditions” means, each of the days during the period in question, (a) the Issuer shall have duly honored all conversions and
redemptions scheduled to occur or occurring by virtue of one or more Notices of Conversion of the Holder, if any, (b) the Issuer shall
have paid all liquidated damages and other amounts owing to the Holder in respect of this Note, (c)(i) there is an effective Registration
Statement pursuant to which the Holder is permitted to utilize the prospectus thereunder to resell all of the shares of Common Stock
issuable pursuant to the Transaction Documents (and the Issuer believes, in good faith, that such effectiveness will continue uninterrupted
for the foreseeable future) or (ii) all of the Conversion Shares issuable pursuant to the Transaction Documents (and shares issuable
in lieu of cash payments of interest) may be resold pursuant to Rule 144 without volume or manner-of-sale restrictions or current public
information requirements as determined by counsel to the Issuer, (d) the Common Stock is trading on a Trading Market and all of the shares
issuable pursuant to the Transaction Documents are listed or quoted for trading on such Trading Market (and the Issuer believes, in good
faith, that trading of the Common Stock on a Trading Market will continue uninterrupted for the next five (5) Trading Days), (e) there
is a sufficient number of authorized but unissued and otherwise unreserved shares of Common Stock for the issuance of all of the shares
then issuable pursuant to the Transaction Documents, (f) there is no existing Event of Default and no existing event which, with the
passage of time or the giving of notice, would constitute an Event of Default, (g) the issuance of the shares in question to the Holder
would not violate the limitations set forth in Section 3(d) and Section 3(e) herein, (h) there has been no public announcement of a pending
or proposed Fundamental Transaction or Change of Control Transaction that has not been consummated and (i) the applicable Holder is not
in possession of any information provided by the Issuer, any of its Subsidiaries, or any of their officers, directors, employees, agents
or Affiliates, that constitutes, or may constitute, material non-public information.

 

“Exempt
Issuance” means the issuance of (a) shares of Common Stock or options to employees, officers or directors of the Issuer pursuant
to any stock or option plan duly adopted for such purpose, by a majority of the non-employee members of the Board of Directors or a majority
of the members of a committee of non-employee directors established for such purpose for services rendered to the Issuer, (b) securities
upon the exercise or exchange of or conversion of any Securities issued hereunder and/or other securities exercisable or exchangeable
for or convertible into shares of Common Stock issued and outstanding on the date of this Agreement, provided that such securities have
not been amended since the date of this Agreement to increase the number of such securities or to decrease the exercise price, exchange
price or conversion price of such securities (other than in connection with stock splits or combinations) or to extend the term of such
securities, and (c) securities issued pursuant to acquisitions or strategic transactions approved by a majority of the disinterested
directors of the Issuer, provided that any such issuance shall only be to a Person (or to the equityholders of a Person) which is, itself
or through its subsidiaries, an operating Issuer or an owner of an asset and shall provide to the Issuer additional benefits in addition
to the investment of funds, but shall not include a transaction in which the Issuer is issuing securities primarily for the purpose of
raising capital or to an entity whose primary business is investing in securities.

 

    2

     

    

  

“Fundamental
Transaction” shall have the meaning set forth in Section 4(e).

 

“Interest
Conversion Rate” means the lesser of (a) the Conversion Price or (b) 90% of the lowest VWAP for the 5 consecutive Trading Days
ending on the Trading Day that is immediately prior to the date on which interest is paid in shares of Common Stock.

 

“Interest
Conversion Shares” shall have the meaning set forth in Section 2(a).

 

“Interest
Notice Period” shall have the meaning set forth in Section 2(a).

 

“Interest
Payment Date” shall have the meaning set forth in Section 2(a).

 

“Interest
Share Amount” shall have the meaning set forth in Section 2(a).

 

“Issuable
Maximum” shall have the meaning set forth in Section 3(e).

 

“Make-Whole
Amount” shall have the meaning set forth in Section 3(c)(i).

 

“Notice
of Conversion” shall have the meaning set forth in Section 3(a).

 

“Registration
Statement” means a registration statement covering the resale of the Underlying Shares by each Holder.

 

“Share
Delivery Date” shall have the meaning set forth in Section 3(c)(ii).

 

“Trading
Day” means a day on which the principal Trading Market is open for trading.

 

“Trading
Market” means any of the following markets or exchanges on which the Common Stock is listed or quoted for trading on the date
in question: the NYSE American, the Nasdaq Capital Market, the Nasdaq Global Market, the Nasdaq Global Select Market, the New York Stock
Exchange (or any successors to any of the foregoing).

 

“Tranche
A Financing” means any closing of the Tranche A Notes (as defined in the Purchase Agreement).

 

“VWAP”
means, for any date, the price determined by the first of the following clauses that applies: (a) if the Common Stock is then listed
or quoted on a Trading Market, the daily volume weighted average price of the Common Stock for such date (or the nearest preceding date)
on the Trading Market on which the Common Stock is then listed or quoted as reported by Bloomberg L.P. (based on a Trading Day from 9:30
a.m. (New York City time) to 4:02 p.m. (New York City time)), (b)  if OTCQB or OTCQX is not a Trading Market, the volume weighted
average price of the Common Stock for such date (or the nearest preceding date) on OTCQB or OTCQX as applicable, (c) if the Common Stock
is not then listed or quoted for trading on OTCQB or OTCQX and if prices for the Common Stock are then reported on The Pink Open Market
(or a similar organization or agency succeeding to its functions of reporting prices), the most recent bid price per share of the Common
Stock so reported, or (d) in all other cases, the fair market value of a share of Common Stock as determined by an independent appraiser
selected in good faith by the Purchasers of a majority in interest of the Securities then outstanding and reasonably acceptable to the
Issuer, the fees and expenses of which shall be split by the Issuer and the Purchasers.

 

    3

     

    

 

Section
2.Interest.

 

		(a)	The
                                            Issuer shall pay interest to the Holder on the aggregate unconverted and then outstanding
                                            principal amount of this Note (including any Make-Whole Amount payable upon conversion of
                                            this Note) at the rate of 10% per annum, payable quarterly on January 1, April 1, July 1
                                            and October 1, beginning on the first such date after the Closing Date, on each Conversion
                                            Date and on the Maturity Date (each such date, an “Interest Payment Date”)
                                            (if any Interest Payment Date is not a Business Day, then the applicable payment shall be
                                            due on the next succeeding Business Day), in cash or, at the Issuer’s option, in duly
                                            authorized, validly issued, fully paid and non-assessable shares of Common Stock (the “Interest
                                            Conversion Shares”) at the Interest Conversion Rate (the dollar amount to be paid
                                            in shares, the “Interest Share Amount”) or a combination thereof; provided,
                                            however, that payment in shares of Common Stock may only occur if (i) all of the Equity
                                            Conditions have been met (unless waived by the Holder in writing) on the applicable Interest
                                            Payment Date (the “Interest Notice Period”) and through and including
                                            the date such shares of Common Stock are actually issued to the Holder, (ii) the Issuer shall
                                            have given the Holder notice in accordance with the notice requirements set forth below (other
                                            than the Make-Whole Amount which shall require notice from the Company within three (3) Trading
                                            Days of a Notice of Conversion), (iii) as to any Interest Share Amount, the effective rate
                                            of interest shall be calculated at 15% per annum and (iv) as to interest only but not the
                                            Make-Whole Amount, at least 5% of interest must be paid in cash. Notwithstanding anything
                                            to the contrary, during any periods that the Note is outstanding and an Event of Default
                                            is occurring, the interest rate shall be 15% per annum if paid in cash only and 18% if paid
                                            in cash and stock otherwise as set forth above.

 

		(b)	Subject
                                            to the terms and conditions herein, the decision whether to pay interest hereunder in cash,
                                            shares of Common Stock or a combination thereof shall be at the sole discretion of the Issuer.
                                            Prior to the commencement of any Interest Notice Period, the Issuer shall deliver to the
                                            Holder a written notice of its election to pay interest hereunder on the applicable Interest
                                            Payment Date either in cash, shares of Common Stock or a combination thereof (other than
                                            with respect to any Make-Whole Payment which election shall be made within three (3) Trading
                                            Days of the applicable Conversion Date). During any Interest Notice Period (or after the
                                            election is made in connection with a Make-Whole Payment), the Issuer’s election (whether
                                            specific to an Interest Payment Date or continuous) shall be irrevocable as to such Interest
                                            Payment Date. Subject to the aforementioned conditions, failure to timely deliver such written
                                            notice to the Holder shall be deemed an election by the Issuer to pay the interest on such
                                            Interest Payment Date in cash.

 

		(c)	Interest
                                            shall be calculated on the basis of a 360-day year, consisting of twelve 30 calendar day
                                            periods, and shall accrue daily commencing on the Closing Date until payment in full of the
                                            outstanding principal, together with all accrued and unpaid interest, liquidated damages
                                            and other amounts which may become due hereunder, has been made. Payment of interest in shares
                                            of Common Stock (other than the Interest Conversion Shares issued prior to an Interest Notice
                                            Period) shall otherwise occur pursuant to Section 3 herein and, solely for purposes of the
                                            payment of interest in shares, the Interest Payment Date shall be deemed the Conversion Date.
                                            Interest shall cease to accrue with respect to any principal amount converted, provided that,
                                            the Issuer actually delivers the Conversion Shares within the time period required by Section
                                            3(c) herein. Interest hereunder will be paid to the Person in whose name this Note is registered
                                            on the records of the Issuer regarding registration and transfers of this Note (the “Note
                                            Register”). Except as otherwise provided herein, if at any time the Issuer pays
                                            interest partially in cash and partially in shares of Common Stock to the holders of the
                                            Notes, then such payment of cash shall be distributed ratably among the holders of the then-outstanding
                                            Notes based on their (or their predecessor’s) initial purchases of Notes pursuant to
                                            the Purchase Agreement.

 

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		(d)	All
                                            overdue accrued and unpaid interest to be paid hereunder shall entail a late fee at an interest
                                            rate equal to the lesser of 18% per annum or the maximum rate permitted by applicable law
                                            (the “Late Fees”) which shall accrue daily from the date such interest
                                            is due hereunder through and including the date of actual payment in full. Notwithstanding
                                            anything to the contrary contained herein, if, on any Interest Payment Date the Issuer has
                                            elected to pay accrued interest in the form of Common Stock but the Issuer is not permitted
                                            to pay accrued interest in Common Stock because it fails to satisfy the conditions for payment
                                            in Common Stock set forth in Section 2(a) herein, then, at the option of the Holder, the
                                            Issuer, in lieu of delivering either shares of Common Stock pursuant to this Section 2 or
                                            paying the regularly scheduled interest payment in cash, shall deliver, within three (3)
                                            Trading Days of each applicable Interest Payment Date, an amount in cash equal to the product
                                            of (x) the number of shares of Common Stock otherwise deliverable to the Holder in connection
                                            with the payment of interest due on such Interest Payment Date multiplied by (y) the highest
                                            VWAP during the period commencing on the Interest Payment Date and ending on the Trading
                                            Day prior to the date such payment is actually made.

 

Section
3.Conversion.

 

		(a)	Voluntary
                                            Conversion. At any time after the date that hereof until this Note is no longer outstanding,
                                            this Note shall be convertible, in whole or in part, into shares of Common Stock at the option
                                            of the Holder, at any time and from time to time (subject to the conversion limitations set
                                            forth in Section 3(d) and Section 3(e) hereof) (each a “Conversion”).
                                            The Holder shall effect conversions by delivering to the Issuer a Notice of Conversion, the
                                            form of which is attached hereto as Annex A (each, a “Notice of Conversion”),
                                            specifying therein the principal amount of this Note to be converted, the Make-Whole Amount
                                            (as defined below) and the date on which such conversion shall be effected (such date, the
                                            “Conversion Date”). If no Conversion Date is specified in a Notice of
                                            Conversion, the Conversion Date shall be the date that such Notice of Conversion is deemed
                                            delivered hereunder. No ink-original Notice of Conversion shall be required, nor shall any
                                            medallion guarantee (or other type of guarantee or notarization) of any Notice of Conversion
                                            form be required. To effect conversions hereunder, the Holder shall not be required to physically
                                            surrender this Note to the Issuer unless the entire principal amount of this Note, plus all
                                            accrued and unpaid interest thereon, has been so converted in which case the Holder shall
                                            surrender this Note as promptly as is reasonably practicable after such conversion without
                                            delaying the Issuer’s obligation to deliver the shares on the Share Delivery Date.
                                            Conversions hereunder shall have the effect of lowering the outstanding principal amount
                                            of this Note in an amount equal to the applicable conversion. The Holder and the Issuer shall
                                            maintain records showing the principal amount(s) converted and the date of such conversion(s).
                                            The Issuer may deliver an objection to any Notice of Conversion within one (1) Business Day
                                            of delivery of such Notice of Conversion. The Holder, and any assignee by acceptance of
                                            this Note, acknowledge and agree that, by reason of the provisions of this paragraph, following
                                            conversion of a portion of this Note, the unpaid and unconverted principal amount of this
                                            Note may be less than the amount stated on the face hereof.

 

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		(b)	Conversion
                                            Price. The conversion price in effect on any Conversion Date shall be equal to $2.69,
                                            subject to adjustment herein (the “Conversion Price”).

 

		(c)	Mechanics
                                            of Conversion.

 

		i.	Conversion
                                            Shares Issuable Upon Conversion of Principal Amount. The number of Conversion Shares
                                            issuable upon a conversion hereunder shall be determined by the quotient obtained by dividing
                                            the outstanding principal amount of this Note to be converted by (y) the Conversion Price.
                                            Additionally, on each Conversion Date, the Company shall pay to the Holder, in cash, the
                                            sum of (A) all accrued interest on this Note to date plus (B) all interest that would otherwise
                                            accrue on such principal amount of this Note if such converted principal would be held to
                                            the Maturity Date (the amount in clause (B), (the “Make-Whole Amount”)
                                            minus (C) 50% of the original issue discount in respect of such converted portion of this
                                            Note; provided, however, at the election of the Company, such interest and
                                            Make-Whole Amount may be paid in a combination of cash and Common Stock, otherwise pursuant
                                            to the terms of Section 2.

 

		ii.	Delivery
                                            of Conversion Shares Upon Conversion. Not later than two (2) Trading Days after each
                                            Conversion Date (the “Share Delivery Date”), the Issuer shall deliver,
                                            or cause to be delivered, to the Holder (A) the Conversion Shares which, on or after the
                                            earlier of (i) the six month anniversary of the Closing Date to the extent permitted under
                                            the Securities Act or (ii) the Effective Date, shall be free of restrictive legends and trading
                                            restrictions (other than those which may then be required by the Purchase Agreement) representing
                                            the number of Conversion Shares being acquired upon the conversion of this Note and (B) a
                                            bank check in the amount of accrued and unpaid interest (if the Issuer has elected or is
                                            required to pay accrued interest in cash). On or after the earlier of (i) the six-month anniversary
                                            of the Closing Date to the extent permitted under the Securities Act or (ii) the Effective
                                            Date, the Issuer shall deliver any Conversion Shares required to be delivered by the Issuer
                                            under this Section 3 electronically through the Depository Trust Company or another established
                                            clearing corporation performing similar functions.

 

		iii.	Failure
                                            to Deliver Conversion Shares. If, in the case of any Notice of Conversion, such Conversion
                                            Shares are not delivered to or as directed by the applicable Holder by the 3rd
                                            Trading Day following the Share Delivery Date, the Holder shall be entitled to elect by written
                                            notice to the Issuer at any time on or before its receipt of such Conversion Shares, to rescind
                                            such Conversion, in which event the Issuer shall promptly return to the Holder any original
                                            Note delivered to the Issuer and the Holder shall promptly return to the Issuer the Conversion
                                            Shares issued to such Holder pursuant to the rescinded Conversion Notice.

 

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		iv.	Obligation
                                            Absolute; Partial Liquidated Damages. The Issuer’s obligations to issue and deliver
                                            the Conversion Shares upon conversion of this Note in accordance with the terms hereof are
                                            absolute and unconditional, irrespective of any action or inaction by the Holder to enforce
                                            the same, any waiver or consent with respect to any provision hereof, the recovery of any
                                            judgment against any Person or any action to enforce the same, or any setoff, counterclaim,
                                            recoupment, limitation or termination, or any breach or alleged breach by the Holder or any
                                            other Person of any obligation to the Issuer other than the terms hereof, and irrespective
                                            of any other circumstance (other than a violation of law) which might otherwise limit such
                                            obligation of the Issuer to the Holder in connection with the issuance of such Conversion
                                            Shares; provided, however, that such delivery shall not operate as a waiver
                                            by the Issuer of any such action the Issuer may have against the Holder. In the event the
                                            Holder of this Note shall elect to convert any or all of the outstanding principal amount
                                            hereof in accordance with the terms hereof, the Issuer may not refuse conversion based on
                                            any claim that the Holder or anyone associated or affiliated with the Holder has been engaged
                                            in any violation of any other agreement or for any other reason (other than a violation of
                                            law), unless an injunction from a court, on notice to Holder, restraining and or enjoining
                                            conversion of all or part of this Note shall have been sought and obtained. In the absence
                                            of such injunction, the Issuer shall issue Conversion Shares or, if applicable, cash, upon
                                            a properly noticed conversion. If the Issuer fails for any reason to deliver to the Holder
                                            such Conversion Shares pursuant to Section 3(c)(ii) by the 3rd Trading Day following
                                            the Share Delivery Date, the Issuer shall pay to the Holder, in cash, as liquidated damages
                                            and not as a penalty, for each $1,000 of principal amount being converted, $5 per Trading
                                            Day for each Trading Day after such 3rd Trading Day following the Share Delivery
                                            Date until such Conversion Shares are delivered or Holder rescinds such conversion.

 

		v.	Compensation
                                            for Buy-In on Failure to Timely Deliver Conversion Shares Upon Conversion. In addition
                                            to any other rights available to the Holder, if the Issuer fails for any reason to deliver
                                            to the Holder such Conversion Shares by the 3rd Trading Day following the Share
                                            Delivery Date pursuant to Section 3(c)(ii), and if after such 3rd Trading Day
                                            following the Share Delivery Date the Holder is required by its brokerage firm to purchase
                                            (in an open market transaction or otherwise), or the Holder’s brokerage firm otherwise
                                            purchases, shares of Common Stock to deliver in satisfaction of a sale by the Holder of the
                                            Conversion Shares which the Holder was entitled to receive upon the conversion relating to
                                            such 3rd Trading Day following the Share Delivery Date (a “Buy-In”),
                                            then the Issuer shall (A) pay in cash to the Holder (in addition to any other remedies available
                                            to or elected by the Holder) the amount, if any, by which (x) the Holder’s total purchase
                                            price (including any brokerage commissions) for the Common Stock so purchased exceeds (y)
                                            the product of (1) the aggregate number of shares of Common Stock that the Holder was entitled
                                            to receive from the conversion at issue multiplied by (2) the actual sale price at which
                                            the sell order giving rise to such purchase obligation was executed and (B) at the option
                                            of the Holder, either reissue (if surrendered) this Note in a principal amount equal to the
                                            principal amount of the attempted conversion (in which case such conversion shall be deemed
                                            rescinded) or deliver to the Holder the number of shares of Common Stock that would have
                                            been issued if the Issuer had timely complied with its delivery requirements under Section
                                            4(c)(ii). For example, if the Holder purchases Common Stock having a total purchase price
                                            of $11,000 to cover a Buy-In with respect to an attempted conversion of this Note with respect
                                            to which the actual sale price of the Conversion Shares (including any brokerage commissions)
                                            giving rise to such purchase obligation was a total of $10,000 under clause (A) of the immediately
                                            preceding sentence, the Issuer shall be required to pay the Holder $1,000. The Holder shall
                                            provide the Issuer written notice indicating the amounts payable to the Holder in respect
                                            of the Buy-In and, upon request of the Issuer, evidence of the amount of such loss.

 

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		vi.	Reservation
                                            of Shares Issuable Upon Conversion. The Issuer covenants that it will at all times reserve
                                            and keep available out of its authorized and unissued shares of Common Stock for the sole
                                            purpose of issuance upon conversion of this Note and payment of interest on this Note, each
                                            as herein provided, free from preemptive rights or any other actual contingent purchase rights
                                            of Persons other than the Holder (and the other holders of the Notes), not less than such
                                            aggregate number of shares of the Common Stock as shall (subject to the terms and conditions
                                            set forth in the Purchase Agreement) be issuable (taking into account the adjustments and
                                            restrictions of Sections 3(d) and (e)) upon the conversion of the then outstanding principal
                                            amount of this Note and payment of interest hereunder. The Issuer covenants that all shares
                                            of Common Stock that shall be so issuable shall, upon issue, be duly authorized, validly
                                            issued, fully paid and nonassessable and, if the Registration Statement is then effective
                                            under the Securities Act, shall be registered for public resale in accordance with such Registration
                                            Statement.

 

		vii.	Fractional
                                            Shares. No fractional shares or scrip representing fractional shares shall be issued
                                            upon the conversion of this Note. As to any fraction of a share which the Holder would otherwise
                                            be entitled to purchase upon such conversion, the Issuer shall at its election, either pay
                                            a cash adjustment in respect of such final fraction in an amount equal to such fraction multiplied
                                            by the Conversion Price or round up to the next whole share.

 

		viii.	Transfer
                                            Taxes and Expenses. The issuance of Conversion Shares on conversion of this Note shall
                                            be made without charge to the Holder hereof for any documentary stamp or similar taxes that
                                            may be payable in respect of the issue or delivery of such Conversion Shares, provided that
                                            the Issuer shall not be required to pay any tax that may be payable in respect of any transfer
                                            involved in the issuance and delivery of any such Conversion Shares upon conversion in a
                                            name other than that of the Holder of this Note so converted and the Issuer shall not be
                                            required to issue or deliver such Conversion Shares unless or until the Person or Persons
                                            requesting the issuance thereof shall have paid to the Issuer the amount of such tax or shall
                                            have established to the satisfaction of the Issuer that such tax has been paid. The Issuer
                                            shall pay all Transfer Agent fees required for same-day processing of any Notice of Conversion
                                            and all fees to the Depository Trust Company (or another established clearing corporation
                                            performing similar functions) required for same-day electronic delivery of the Conversion
                                            Shares.

 

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(d)       Holder’s
Conversion Limitations. The Issuer shall not effect any conversion of this Note, and a Holder shall not have the right to convert
any portion of this Note, to the extent that after giving effect to the conversion set forth on the applicable Notice of Conversion,
the Holder (together with the Holder’s Affiliates, and any other Persons acting as a group together with the Holder or any of the
Holder’s Affiliates (such Persons, “Attribution Parties”)) would beneficially own in excess of the Beneficial
Ownership Limitation (as defined below).  For purposes of the foregoing sentence, the number of shares of Common Stock beneficially
owned by the Holder and its Affiliates and Attribution Parties shall include the number of shares of Common Stock issuable upon conversion
of this Note with respect to which such determination is being made, but shall exclude the number of shares of Common Stock which would
be issuable upon (i) conversion of the remaining, unconverted principal amount of this Note beneficially owned by the Holder or any of
its Affiliates or Attribution Parties and (ii) exercise or conversion of the unexercised or unconverted portion of any other securities
of the Issuer subject to a limitation on conversion or exercise analogous to the limitation contained herein (including, without limitation,
any other Notes or the Warrants) beneficially owned by the Holder or any of its Affiliates or Attribution Parties.  Except as set
forth in the preceding sentence, for purposes of this Section 3(d), beneficial ownership shall be calculated in accordance with Section
13(d) of the Exchange Act and the rules and regulations promulgated thereunder. To the extent that the limitation contained in this Section
3(d) applies, the determination of whether this Note is convertible (in relation to other securities owned by the Holder together with
any Affiliates and Attribution Parties) and of which principal amount of this Note is convertible shall be in the reasonable discretion
of the Holder, and the submission of a Notice of Conversion shall be deemed to be the Holder’s determination of whether this Note
may be converted (in relation to other securities owned by the Holder together with any Affiliates or Attribution Parties) and which
principal amount of this Note is convertible, in each case subject to the Beneficial Ownership Limitation, and the Issuer shall have
no obligation to verify or confirm the accuracy of such determination. In addition, a determination as to any group status as contemplated
above shall be determined in accordance with Section 13(d) of the Exchange Act and the rules and regulations promulgated thereunder.
For purposes of this Section 3(d), in determining the number of outstanding shares of Common Stock, the Holder may rely on the number
of outstanding shares of Common Stock as reflected in (A) the Issuer’s most recent periodic or annual report filed with the Commission,
as the case may be, (B) a more recent public announcement by the Issuer, or (C) a more recent written notice by the Issuer or the Issuer’s
transfer agent setting forth the number of shares of Common Stock outstanding.  Upon the written or oral request of a Holder, the
Issuer shall within two (2) Trading Days confirm orally and in writing to the Holder the number of shares of Common Stock then outstanding. 
In any case, the number of outstanding shares of Common Stock shall be determined after giving effect to the conversion or exercise of
securities of the Issuer, including this Note, by the Holder or its Affiliates since the date as of which such number of outstanding
shares of Common Stock was reported. The “Beneficial Ownership Limitation” shall be 4.99% of the number of shares
of the Common Stock outstanding immediately after giving effect to the issuance of shares of Common Stock issuable upon conversion of
this Note. The Holder, upon notice to the Issuer, may increase or decrease the Beneficial Ownership Limitation provisions of this Section
3(d), provided that the Beneficial Ownership Limitation in no event exceeds 9.99% of the number of shares of the Common Stock outstanding
immediately after giving effect to the issuance of shares of Common Stock upon conversion of this Note held by the Holder and the Beneficial
Ownership Limitation provisions of this Section 3(d) shall continue to apply. Any increase in the Beneficial Ownership Limitation will
not be effective until the 61st day after such notice is delivered to the Issuer. The Beneficial Ownership Limitation provisions
of this paragraph shall be construed and implemented in a manner otherwise than in strict conformity with the terms of this Section 3(d)
to correct this paragraph (or any portion hereof) which may be defective or inconsistent with the intended Beneficial Ownership Limitation
contained herein or to make changes or supplements necessary or desirable to properly give effect to such limitation. The limitations
contained in this paragraph shall apply to a successor holder of this Note.

 

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(e)       Issuance
Limitations. Notwithstanding anything herein to the contrary, if the Issuer has not obtained Shareholder Approval or the financial
viability exception pursuant to NASDAQ Rule 5635(f) for the issuance of the Securities under the Purchase Agreement, then the Issuer
may not issue, upon conversion of this Note, a number of shares of Common Stock which, when aggregated with any shares of Common Stock
issued on or after the Closing Date and prior to such Conversion Date (i) in connection with the conversion of any Notes issued pursuant
to the Purchase Agreement, and (ii) in connection with the exercise of any Warrants issued pursuant to the Purchase Agreement, would
exceed 65,549,995 shares of Common Stock (subject to adjustment for forward and reverse stock splits, recapitalizations and the like)
(such number of shares, the “Issuable Maximum”). The Holder and the holders of the other Notes issued pursuant to
the Purchase Agreement shall be entitled to a portion of the Issuable Maximum in the following order of priority:

 

(1)
First, 35% of the Issuable Maximum towards the issuance of the Conversion Shares underlying the Initial Bridge Notes (not to exceed
$33.5 million in initial principal amount, and provided that such Initial Bridge Notes are committed on or before August 15, 2022 and
funded on or prior to the earlier of (x) August 22, 2022 and (y) the date on which the Issuer’s Q2 2022 Form 10-Q is filed (or
the following Business Day if such filing is after noon ET)) ratably based on the quotient obtained by dividing (x) the Holder’s
original Subscription Amount for Initial Bridge Notes by (y) the aggregate original Subscription Amount of all holders of Initial Bridge
Notes;

 

(2)
Second, to the extent that any of the Issuable Maximum remains after the application of clause (1), towards the issuance of the
Conversion Shares underlying the next $200 million of other Notes issued on or prior to October 15, 2022 pursuant to the Purchase Agreement
(other than the Initial Bridge Notes) ratably based on the quotient obtained by dividing (x) the Holder’s original Subscription
Amount for all such Notes other than the Initial Bridge Notes by (y) the aggregate original Subscription Amount of all holders of such
Notes pursuant to the Purchase Agreement other than the Initial Bridge Notes;

 

(3)
Third, to the balance of any of the Issuable Maximum that remains after the application of clauses (1) and (2), towards the issuance
of Warrant Shares issuable upon exercise of the Warrants ratably based on the quotient obtained by dividing (x) the Holder’s original
Subscription Amount for all Notes by (y) the aggregate original Subscription Amount of all holders of the Notes pursuant to the Purchase
Agreement;

 

provided,
however, the Holder may re-allocate its pro-rata portion of the Issuable Maximum among Notes and Warrants held by it in its sole
discretion provided that such re-allocation will not change the aggregate portion of the Issuable Maximum within any category above.
Such portion shall be adjusted upward ratably in the event a Purchaser no longer holds any Notes or Warrants and the amount of shares
issued to such Purchaser pursuant to its Notes and Warrants was less than such Purchaser’s pro-rata share of the Issuable Maximum.
The Company shall not issue to any Holder any portion of the Issuable Maximum other than in compliance with this Section 3(e).

 

		(f)	Transfer
                                            Restriction. Notwithstanding anything to the contrary in this Note, until the date that
                                            is three (3) months after the date hereof, the shares of Common Stock issued upon conversion
                                            of this Note may not be directly or indirectly transferred, pledged, sold or otherwise disposed
                                            of without the prior written consent of the Issuer (which written consent shall not be unreasonably
                                            withheld).

 

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Section
4.Certain Adjustments.

 

		(a)	Stock
                                            Dividends and Stock Splits. If the Issuer, at any time while this Note is outstanding:
                                            (i) pays a stock dividend or otherwise makes a distribution or distributions payable in shares
                                            of Common Stock on shares of Common Stock or any Common Stock Equivalents (which, for avoidance
                                            of doubt, shall not include any shares of Common Stock issued by the Issuer upon conversion
                                            of, or payment of interest on, the Notes), (ii) subdivides outstanding shares of Common Stock
                                            into a larger number of shares, (iii) combines (including by way of a reverse stock split)
                                            outstanding shares of Common Stock into a smaller number of shares or (iv) issues, in the
                                            event of a reclassification of shares of the Common Stock, any shares of capital stock of
                                            the Issuer, then the Conversion Price shall be multiplied by a fraction of which the numerator
                                            shall be the number of shares of Common Stock (excluding any treasury shares of the Issuer)
                                            outstanding immediately before such event, and of which the denominator shall be the number
                                            of shares of Common Stock outstanding immediately after such event. Any adjustment made pursuant
                                            to this Section shall become effective immediately after the record date for the determination
                                            of stockholders entitled to receive such dividend or distribution and shall become effective
                                            immediately after the effective date in the case of a subdivision, combination or re-classification.

 

		(b)	Subsequent
                                            Equity Sales. If, at any time while this Note is outstanding, the Issuer or any Subsidiary,
                                            as applicable, sells or grants any option to purchase or sells or grants any right to reprice,
                                            or otherwise disposes of or issues (or announces any sale, grant or any option to purchase
                                            or other disposition), any Common Stock or Common Stock Equivalents entitling any Person
                                            to acquire shares of Common Stock at an effective price per share that is lower than the
                                            then Conversion Price (such issuances, collectively, a “Dilutive Issuance”
                                            and such effective price, the “Base Price”)) (if the holder of the Common
                                            Stock or Common Stock Equivalents so issued shall at any time, whether by operation of purchase
                                            price adjustments, reset provisions, floating conversion, exercise or exchange prices or
                                            otherwise, or due to warrants, options or rights per share which are issued in connection
                                            with such issuance, be entitled to receive shares of Common Stock at an effective price per
                                            share that is lower than the Conversion Price, such issuance shall be deemed to have occurred
                                            for less than the Conversion Price on such date of the Dilutive Issuance), then simultaneously
                                            with the consummation (or, if earlier, the announcement) of each Dilutive Issuance the Conversion
                                            Price shall be reduced to equal the Base Price. Notwithstanding the foregoing, no adjustment
                                            will be made under this Section 4(b) in respect of an Exempt Issuance or an adjustment under
                                            Section 4(a). The Issuer shall notify the Holder in writing, no later than the Trading Day
                                            following the issuance of any Common Stock or Common Stock Equivalents subject to this Section
                                            4(b), indicating therein the applicable issuance price, or applicable reset price, exchange
                                            price, conversion price and other pricing terms (such notice, the “Dilutive Issuance
                                            Notice”). For purposes of clarification, whether or not the Issuer provides a Dilutive
                                            Issuance Notice pursuant to this Section 4(b), upon the occurrence of any Dilutive Issuance,
                                            the Holder is entitled to receive a number of Conversion Shares based upon the adjusted Conversion
                                            Price on or after the date of such Dilutive Issuance, regardless of whether the Holder accurately
                                            refers to the adjusted Conversion Price in the Notice of Conversion.

 

(c)       Voluntary
Adjustment. Subject to the rules and regulations of the principal Trading Market of the Common Stock, the Company may at any time
during the term of this Note, with the prior written consent of the Holder, reduce the then current Conversion Price of this Note to
any amount and for any period of time deemed appropriate by the board of directors of the Company.

 

		(d)	[RESERVED]

 

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		(e)	Fundamental
                                            Transaction. If, at any time while this Note is outstanding, (i) the Issuer, directly
                                            or indirectly, in one or more related transactions effects any merger or consolidation of
                                            the Issuer with or into another Person, (ii) the Issuer (and all of its Subsidiaries, taken
                                            as a whole), directly or indirectly, effects any sale, lease, license, assignment, transfer,
                                            conveyance or other disposition of all or substantially all of its assets in one or a series
                                            of related transactions, (iii) any, direct or indirect, purchase offer, tender offer or exchange
                                            offer (whether by the Issuer or another Person) is completed pursuant to which holders of
                                            Common Stock are permitted to sell, tender or exchange their shares for other securities,
                                            cash or property and has been accepted by the holders of more than 50% of the outstanding
                                            Common Stock, (iv) the Issuer, directly or indirectly, in one or more related transactions
                                            effects any reclassification, reorganization or recapitalization of the Common Stock or any
                                            compulsory share exchange pursuant to which the Common Stock is effectively converted into
                                            or exchanged for other securities, cash or property, or (v) the Issuer, directly or indirectly,
                                            in one or more related transactions consummates a stock or share purchase agreement or other
                                            business combination (including, without limitation, a reorganization, recapitalization,
                                            spin-off or scheme of arrangement) with another Person whereby such other Person acquires
                                            more than 50% of the outstanding shares of Common Stock (not including any shares of Common
                                            Stock held by the other Person or other Persons making or party to, or associated or affiliated
                                            with the other Persons making or party to, such stock or share purchase agreement or other
                                            business combination) (each a “Fundamental Transaction”), then, upon any
                                            subsequent conversion of this Note, the Holder shall have the right to receive, for each
                                            Conversion Share that would have been issuable upon such conversion immediately prior to
                                            the occurrence of such Fundamental Transaction (without regard to any limitation in Section
                                            3(d) or Section 3(e) on the conversion of this Note), the consideration (the “Alternate
                                            Consideration”) receivable as a result of such Fundamental Transaction by a holder
                                            of the number of shares of Common Stock for which this Note is convertible immediately prior
                                            to such Fundamental Transaction (without regard to any limitation in Section 3(d) or Section
                                            3(e) on the conversion of this Note). For purposes of any such conversion, the determination
                                            of the Conversion Price shall be appropriately adjusted to apply to such Alternate Consideration
                                            based on the amount of Alternate Consideration issuable in respect of one (1) share of Common
                                            Stock in such Fundamental Transaction, and the Issuer shall apportion the Conversion Price
                                            among the Alternate Consideration in a reasonable manner reflecting the relative value of
                                            any different components of the Alternate Consideration. If holders of Common Stock are given
                                            any choice as to the securities, cash or property to be received in a Fundamental Transaction,
                                            then the Holder shall be given the same choice as to the Alternate Consideration it receives
                                            upon any conversion of this Note following such Fundamental Transaction.

 

		(f)	Calculations.
                                            All calculations under this Section 4 shall be made to the nearest cent or the nearest 1/100th
                                            of a share, as the case may be. For purposes of this Section 4, the number of shares of Common
                                            Stock deemed to be issued and outstanding as of a given date shall be the sum of the number
                                            of shares of Common Stock (excluding any treasury shares of the Issuer) issued and outstanding.

 

    12

     

    

 

		(g)	Notice
                                            to the Holder.

 

		i.	Adjustment
                                            to Conversion Price. Whenever the Conversion Price is adjusted pursuant to any provision
                                            of this Section 4, the Issuer shall promptly deliver to each Holder a notice setting forth
                                            the Conversion Price after such adjustment and setting forth a brief statement of the facts
                                            requiring such adjustment.

 

		ii.	Notice
                                            to Allow Conversion by Holder. If (A) the Issuer shall declare a dividend (or any other
                                            distribution in whatever form) on the Common Stock, (B) the Issuer shall declare a special
                                            nonrecurring cash dividend on or a redemption of the Common Stock, (C) the Issuer shall authorize
                                            the granting to all holders of the Common Stock of rights or warrants to subscribe for or
                                            purchase any shares of capital stock of any class or of any rights, (D) the approval of any
                                            stockholders of the Issuer shall be required in connection with any reclassification of the
                                            Common Stock, any consolidation or merger to which the Issuer(and all of its Subsidiaries,
                                            taken as a whole) is a party, any sale or transfer of all or substantially all of the assets
                                            of the Issuer, or any compulsory share exchange whereby the Common Stock is converted into
                                            other securities, cash or property or (E) the Issuer shall authorize the voluntary or involuntary
                                            dissolution, liquidation or winding up of the affairs of the Issuer, then, in each case,
                                            the Issuer shall cause to be filed at each office or agency maintained for the purpose of
                                            conversion of this Note, and shall cause to be delivered to the Holder at its last address
                                            as it shall appear upon the Note Register, at least fifteen (15) calendar days prior to the
                                            applicable record or effective date hereinafter specified, a notice stating (x) the date
                                            on which a record is to be taken for the purpose of such dividend, distribution, redemption,
                                            rights or warrants, or if a record is not to be taken, the date as of which the holders of
                                            the Common Stock of record to be entitled to such dividend, distributions, redemption, rights
                                            or warrants are to be determined or (y) the date on which such reclassification, consolidation,
                                            merger, sale, transfer or share exchange is expected to become effective or close, and the
                                            date as of which it is expected that holders of the Common Stock of record shall be entitled
                                            to exchange their shares of the Common Stock for securities, cash or other property deliverable
                                            upon such reclassification, consolidation, merger, sale, transfer or share exchange, provided
                                            that the failure to deliver such notice or any defect therein or in the delivery thereof
                                            shall not affect the validity of the corporate action required to be specified in such notice.
                                            The Holder shall remain entitled to convert this Note during the 15-day period commencing
                                            on the date of such notice through the effective date of the event triggering such notice
                                            except as may otherwise be expressly set forth herein.

 

Presentment,
demand, protest and notice of presentment, demand, nonpayment and protest are each hereby waived by each Issuer.

 

THIS
NOTE SHALL BE GOVERNED BY, AND SHALL BE CONSTRUED AND ENFORCED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT REGARD TO
CONFLICTS OF LAW PRINCIPLES. Whenever possible each provision of this Note shall be interpreted in such manner as to be effective
and valid under applicable law, but in case any provision of or obligation under this Note shall be invalid, illegal or unenforceable
in any jurisdiction, the validity, legality and enforceability of the remaining provisions or obligations, or of such provision or obligation
in any other jurisdiction, shall not in any way be affected or impaired thereby. Whenever in this Note reference is made to Holder or
an Issuer, such reference shall be deemed to include, as applicable, a reference to their respective successors and assigns. The provisions
of this Note shall be binding upon each Issuer and its successors and assigns, and shall inure to the benefit of Holder and its successors
and assigns.

 

In
addition to and without limitation of any of the foregoing, this Note shall be deemed to be a Financing Document and shall otherwise
be subject to all of general terms and conditions contained in Article 12 of the Securities Purchase Agreement, mutatis mutandis.

 

[signature
page follows]

 

    13

     

    

 

IN
WITNESS WHEREOF, the undersigned have executed this Note the day and year first written above written intending to be legally bound hereby.

 

	 	ISSUER:
	 	 	 
	 	FARADAY FUTURE INTELLIGENT ELECTRIC INC.
	 	 	 
	 	By:	 
	 	Name: 	Carsten
    Breitfeld
	 	Title:	Chief
    Executive Officer

 

Signature
Page to Convertible Senior Secured Promissory Note

 

     

     

    

 

ANNEX
A

 

NOTICE
OF CONVERSION

 

The
undersigned hereby elects to convert principal under the Convertible Senior Secured Note due 2026 of Faraday Future Intelligent Electric
Inc., a Delaware corporation (the “Issuer”), into shares of common stock (the “Common Stock”),
of the Issuer according to the conditions hereof, as of the date written below. If shares of Common Stock are to be issued in the name
of a person other than the undersigned, the undersigned will pay all transfer taxes payable with respect thereto and is delivering herewith
such certificates and opinions as reasonably requested by the Issuer in accordance therewith. No fee will be charged to the holder for
any conversion, except for such transfer taxes, if any.

 

By
the delivery of this Notice of Conversion the undersigned represents and warrants to the Issuer that its ownership of the Common Stock
does not exceed the amounts specified under Section 4 of this Note, as determined in accordance with Section 13(d) of the Exchange Act.

 

The
undersigned agrees to comply with the prospectus delivery requirements under the applicable securities laws in connection with any transfer
of the aforesaid shares of Common Stock.

 

Conversion
calculations:

 

	 	Date to Effect Conversion:
	 	 
	 	Principal Amount of Note to be Converted:
	 	 
	 	Payment of Interest in Common Stock __ yes  __ no
	 	 
	 	If yes, $_____ of Interest Accrued on Account of Conversion at Issue.
	 	 
	 	Number of shares of Common Stock to be issued:
	 	 
	 	Signature:
	 	 
	 	Name:
	 	 
	 	Address for Delivery of Common Stock Certificates:
	 	 
	 	Or
	 	 
	 	DWAC Instructions:
	 	 
	 	Broker No:	   
	 	 
	 	Account No:

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