Document:

Exhibit
10.1

 

 

 

JOINT
VENTURE AGREEMENT

 

THIS
JOINT VENTURE AGREEMENT (the “Agreement”) made and entered into this 20th day of Friday, March 2020 (the “Execution
Date”),

 

BETWEEN:

 

BorrowMoney.com,
inc of 512 Bayshore DR, suite 201 Fort Lauderdale FL 33304, and JVLS, LLC dba Vaccines 2Go of 4060 Johns Creek Parkway Suite H
Suwanee, GA 30024 (individually the “Member” and collectively the “Members”).

 

BACKGROUND:

 

	 	A.	The
    Members wish to enter into an association of mutual benefit and agree to jointly invest and set up a joint venture enterprise.
	 	 	 
	 	B.	This
    Agreement sets out the terms and conditions governing this association.

 

IN
CONSIDERATION OF and as a condition of the Members entering into this Agreement and other valuable consideration, the receipt
and sufficiency of which consideration is acknowledged, the Members agree as follows:

 

Formation

 

	 	1.	By
    this Agreement the Members enter into a joint venture (the “Venture”) in accordance with the laws of the State
    of Florida. The rights and obligations of the Members will be as stated in the applicable legislation of the State of Florida
    (the “Act”) except as otherwise provided here.

 

Name

 

	 	2.	The
    business name of the Venture will be BM&V2GO.

 

    	Page 1 of 13

     

    

 

Purpose

 

	 	3.	The
    exclusive purpose of the Venture (the “Purpose”) will be IT Development. internet Back office Maintenance And
    Deployment of medical Service.

 

Term

 

	 	4.	The
    duration of this Venture (the “Term”) will begin on March 1, 2020 and continue in full force and effect until
    February 28, 2025 or as otherwise provided in this Agreement.

 

	 	5.	The
    Term may be extended with the unanimous consent of all Members.

 

Place
of Business

 

	 	6.	The
    principal office of the business of the Venture will be located at 512 Bayshore Drive Suite 201 Fort Lauderdale, FL 33304
    or such other place as the Members may from time to time designate.

 

Business
Management

 

	 	7.	The
    following managers (the “Managers”) have been appointed by the Members to manage the Venture:

 

● Aaldo PIscitello

 

● Jody Stewart

 

	 	8.	Except
    as otherwise provided in this Agreement, the individual Managers may be appointed, replaced, or removed upon unanimous consent
    of the Members.
	 	 	 
	 	9.	The
    Managers will have a primary duty to the best interest of the Venture and not directly to any individual Member.
	 	 	 
	 	10.	Within
    the limits of the Purpose of the Venture and the terms of this Agreement, the Managers, acting jointly, will have full authority
    to bind the Members in all matters relating to the direction, control and management of the Venture. Conduct and actions of
    the Managers will be dictated by policy and procedure established by the Members. Authority to bind the Venture in contract
    or in any third party business relation lies exclusively with the Managers, acting jointly.
	 	 	 
	 	11.	The
    Managers will jointly decide major issues concerning the Venture. Where Managers are unable to reach agreement in deciding
    major issues, approval by a majority vote of the Members at a regular or special meeting will be required.

 

    	Page 2 of 13

     

    

 

Management
Duties

 

	 	12.	Except
    as otherwise specified in this agreement, the duties and obligations of the Managers in relation to the Venture will include
    the following:

 

	 	a.	managing
    the day to day business of the Venture;
	 	 	 
	 	b.	monitoring,
    controlling and directing the financial, business and operational affairs of the Venture;
	 	 	 
	 	c.	proper
    maintenance of books of account and financial records according to accepted accounting practices;
	 	 	 
	 	d.	monitoring,
    analyzing and acting on all issues over which it would have express or implied authority according to this Agreement; and
	 	 	 
	 	e.	all
    responsibilities attached to hiring of production and administration staff including any required labor negotiations, and
    all responsibilities attached to hiring of third party contractors.

 

Member
Duties

 

	 	13.	Each Member
will be responsible for its respective duties as follows:

 

    	Page 3 of 13

     

    

 

	Member	 	Duties
    Description
	BorrowMoney.com,
    inc	 	*HTML
    code, build, deploy and maintain all technical aspect requirements including a database for medical dispatch personal &
    product service as needed, including activity information, data storage and backup. provided by three qualified assigned Borrowmoney.com,
    inc. employees/personal
	 	 	 
	JVLS,
    LLC dba Vaccines 2Go	 	$60,000.00
    USD From Monthly Government , City And State, And Or Private Awarded Contracts. Plus (10%) Of Any Generated Gross Revenue
    From Awarded Contract, In Addition to The Total Contributions.

 

	 	14.	Duties
    of Members may be amended, from time to time, by decision of the Members, provided that the Members’ interests are not
    affected except with the unanimous consent of the Members.

 

Capital
Contributions

 

	 	15.	Each
    of the Members has contributed to the capital of the Venture, in cash or property in agreed upon value, as follows (the “Capital
    Contribution”):

 

	Member	 	Contribution
    Description	 	Agreed
    Value
	BorrowMoney.com,
    inc	 	1,
    500 square feet of Leased/rent office Space Including specified Description of duty*	 	$3,500,000.00
    USD
	 	 	 	 	 
	JVLS,
        LLC dba

        Vaccines
        2Go
	 	$60,000.00
    USD From Monthly Government , City And State, And Or Private Awarded Contracts. Plus (10%) Of Any Generated Gross Revenue,
    In Addition to The Total Contributions.	 	$3,500,000.00
    USD

 

	 	16.	All Members
will contribute their respective Capital Contributions fully and on time.

 

    	Page 4 of 13

     

    

 

Withdrawal
of Capital

 

	 	17.	No
    Member will have the right to demand or withdraw any portion of their capital contribution without the express written consent
    of the remaining Members.
	 	 	 
	 	18.	The
    Members will not be personally liable for the return of all or part of the Capital Contributions of a Member, except as otherwise
    provided in this Agreement.

 

Additional
Capital

 

	 	19.	Capital
    Contributions may be amended from time to time, according to the requirements of the Venture, by decision of the Members as
    recommended by the Managers. Where Members’ interests are affected, additional capital contributions (the “Additional
    Capital Contributions”) must have the unanimous consent of the Members.
	 	 	 
	 	20.	Any
    advance of money to the Venture by any Member in excess of the amounts provided for in this Agreement or subsequently agreed
    to as an Additional Capital Contribution will be deemed a debt due from the Venture rather than an increase in Capital Contribution
    of the Member. This liability will be repaid with interest at such rates and times to be determined by a majority of the Members.
    This liability will not entitle the lending Member to a greater voting power. Such debts may have preference or priority over
    any other payments to Members as may be determined by a majority of the Members.

 

Capital
Accounts

 

	 	21.	An
    individual capital account will be maintained for each Member and their initial Capital Contribution will be credited to this
    account. Any additional, approved contributions to the Venture’s capital made by a Member will be credited to that Member’s
    individual Capital Account.

 

Interest
on Capital

 

	 	22.	No
    borrowing charge or loan interest will be due or payable to any Member on any Capital Contribution or on their Capital Account
    despite any disproportion that may from time to time arise among the Capital Accounts of the Members.

 

    	Page 5 of 13

     

    

 

Books
of Account

 

	 	23.	Accurate
    and complete books of account of the transactions of the Venture will be kept in accordance with generally accepted accounting
    principles (GAAP) and at all reasonable times will be available and open to inspection and examination by any Member. The
    books and records of the Venture will reflect all the Venture’s transactions and will be appropriate and adequate for
    the business conducted by the Venture.

 

Banking
and Venture Funds

 

	 	24.	The
    funds of the Venture will be placed in such investments and banking accounts as will be designated by the Members. Venture
    funds will be held in the name of the Venture and will not be commingled with those of any other person or entity.

 

Member
Meetings

 

	 	25.	Regular
    Member meetings will be held quarterly. Minutes of the meetings will be maintained on file.

 

	 	26.	Any
    Member can call a special meeting to resolve urgent issues that require a vote and that cannot wait for the next regularly
    scheduled meeting. When calling a special meeting, all Members must be provided with reasonable notice. Where a special meeting
    has been called, the meeting will be restricted to the specific purpose for which the meeting was called.
	 	 	 
	 	27.	All
    meetings will be held at a time and in a location that is reasonable, convenient and practical considering the situation of
    all Members.
	 	 	 
	 	28.	Any
    vote required by the Members will be determined such that each Member receives one vote carrying equal weight.

 

Amendments

 

	 	29.	This
    Agreement may be amended only with the unanimous consent of all Members.

 

Admitting
a new Member

 

	 	30.	New
    Members may be admitted into the Venture only with the unanimous consent of the existing Members. The new Member agrees to
    be bound by all the covenants, terms, and conditions of this Agreement, inclusive of all current and future amendments. Further,
    a new Member will execute such documents as are needed or required for this admission. Any new Member will receive a business
    interest in the Venture as determined by all other Members.

 

    	Page 6 of 13

     

    

 

Dissociation
of a Member

 

	 	31.	Where
    a Member is in breach of this Agreement and that Member has not remedied the breach on notice from the Venture and after a
    reasonable period then the remaining Members will have the right to terminate this Agreement with regard to that individual
    defaulting Member (an “Involuntary Withdrawal”) and take whatever action necessary to protect the interests of
    the Venture.
	 	 	 
	 	32.	If
    the Venture is harmed as the result of an individual Member’s action or failure to act, then that individual Member
    will be liable for that harm. If more than one Member is at fault then they will be jointly and severally liable for that
    harm.
	 	 	 
	 	33.	Each
    Member will indemnify the remaining Members against all losses, costs and claims that may arise in the event of the Venture
    being terminated as a result of breach of the Agreement by that Member.
	 	 	 
	 	34.	If
    a Member is placed in bankruptcy, or withdraws voluntarily from the Venture, or if there is an Operation of Law against a
    Member, the other Members will be entitled to proceed as if the Member had breached this Agreement.
	 	 	 
	 	35.	Distribution
    of any amount owing to a dissociated Member will be made according to the percentage of ownership as described in the Valuation
    of Interest or as otherwise may be agreed in writing.

 

Dissolution
of the Joint Venture

 

	 	36.	The Venture
will be dissolved and its assets liquidated in the event of any of the following:

 

	 	a.	the
    Term expires and is not extended;
	 	 	 
	 	b.	a
    unanimous vote by the Members to dissolve the Venture;
	 	 	 
	 	c.	on
    satisfaction of the Purpose;
	 	 	 
	 	d.	loss
    or incapacity through any means of substantially all of the Venture’s assets; or
	 	 	 
	 	e.	where
    only one Member remains.

 

    	Page 7 of 13

     

    

 

Liquidation

 

	 	37.	On
    dissolution, the Venture will be liquidated promptly and within a reasonable time.
	 	 	 
	 	38.	On
    the liquidation of the Venture assets, distribution of any amounts to Members will be made in proportion to their respective
    capital accounts or as otherwise may be agreed in writing.

 

Valuation
of Interest

 

	 	39.	In
    the absence of a written agreement setting a value, the value of the Venture will be determined based on the fair market value
    appraisal of all Venture assets (less liabilities) in accordance with generally accepted accounting principles (GAAP) by an
    independent accounting firm agreed to by all Members. An appraiser will be appointed within a reasonable period of the date
    of withdrawal or dissolution. The results of the appraisal will be binding on all Members. A withdrawing Member’s interest
    will be based on the proportion of their respective capital account less any outstanding liabilities a Member may have to
    the Venture. The intent of this section is to ensure the survival of the Venture despite the withdrawal of any individual
    Member.
	 	 	 
	 	40.	No
    allowance will be made for goodwill, trade name, patents or other intangible assets, except where those assets have been reflected
    on the Venture books immediately prior to valuation.

 

Transfer
of Member Interest

 

	 	41.	A
    Member may assign their proprietary assets and their rights in distribution interest in the Venture. Such assignment will
    only include that Member’s economic rights and interests and will not include any other rights of that Member nor will
    it include an automatic admission as a Member of the Venture or the right to exercise any management or voting interests.
    A Member who assigns any or all of their Venture interest to any third party will relinquish their status as Member including
    all management and voting rights. Assignment of Member status, under this clause, including any management and voting interests,
    will require the consent of all the remaining Members.

 

    	Page 8 of 13

     

    

 

Management
Voting

 

	 	42.	Any
    management vote required will be determined such that each Manager receives one vote carrying equal weight.

 

Force
Majeure

 

	 	43.	A
    Member will be free of liability to the Venture where the Member is prevented from executing their obligations under this
    Agreement in whole or in part due to force majeure where the Member has communicated the circumstance of that event to any
    and all other Members and taken any and all appropriate action to mitigate that event. Force majeure will include, but not
    be limited to, earthquake, typhoon, flood, fire, and war or any other unforeseen and uncontrollable event.

 

Duty
of Loyalty

 

	 	44.	Provided
    a Member has the consent of the majority of the other Members, the Members to this Agreement and their respective affiliates
    may have interests in businesses other than the Venture. Neither the Venture nor any other Member will have any rights to
    the assets, income or profits of any such business, venture or transaction. Any and all businesses, ventures or transactions
    with any appearance of conflict of interest must be fully disclosed to all other Members. Failure to disclose any potential
    conflicts of interest will be deemed an Involuntary Withdrawal by the offending Member and may be treated accordingly by the
    remaining Members.

 

Confidentiality

 

	 	45.	All
    matters relating to this Agreement and the Venture will be treated by the Members as confidential and no Member will disclose
    or allow to be disclosed any Venture matter or matters, directly or indirectly, to any third party without the prior written
    approval of all Members except where the information properly comes into the public domain.
	 	 	 
	 	46.	This
    section will survive for one year after the expiration or termination of this Agreement or dissolution of the Venture.

 

Language

 

	 	47.	The
    Members expressly state that the English language is to be the language of choice for this Agreement and all other notices
    and agreements required by the Venture.

 

    	Page 9 of 13

     

    

 

Insurance

 

	 	48.	The
    Venture will insure all its assets against loss where reasonable and standard practice in the industry.

 

Indemnification

 

	 	49.	Each
    Member will be indemnified and held harmless by the Venture from any and all harm or damages of any nature relating to the
    Member’s participation in Venture affairs except where such harm or damages results from gross negligence or willful
    misconduct on the part of the Member.

 

Liability

 

	 	50.	No
    Member will be liable to the Venture or to any other Member for any error in judgment or any act or failure to act where made
    in good faith. The Member will be liable for any and all acts or failures to act resulting from gross negligence or willful
    misconduct.

 

Liability
Insurance

 

	 	51.	The
    Venture may acquire insurance on behalf of any Member, employee, agent or other person engaged in the business interest of
    the Venture against any liability asserted against them or incurred by them while acting in good faith on behalf of the Venture.

 

Covenant
of Good Faith

 

	 	52.	Members
    will use their best efforts, fairly and in good faith to facilitate the success of the Venture.

 

Joint
Venture Property

 

	 	53.	Where
    allowed by statute, title to all Venture property, including intellectual property, will remain in the name of the Venture.
    Where joint ventures are not recognized by statute as separate legal entities, Venture property, including intellectual property,
    will be held in the name of one or more Members. In all cases Venture property will be applied by the Members exclusively
    for the benefit and purposes of the Venture and in accordance with this Agreement.

 

Jurisdiction

 

	 	54.	The
    Members submit to the jurisdiction of the courts of the State of Florida for the enforcement of this Agreement and for any
    arbitration award or decision arising from this Agreement.

 

    	Page 10 of 13

     

    

 

Mediation
and Arbitration

 

	 	55.	In
    the event a dispute arises out of, or in connection with, this Agreement, the Members will attempt to resolve the dispute
    through friendly consultation.
	 	 	 
	 	56.	If
    the dispute is not resolved within a reasonable period then any or all outstanding issues may be submitted to mediation in
    accordance with any statutory rules of mediation. If mediation is not successful in resolving the entire dispute or is unavailable,
    any outstanding issues will be submitted to final and binding arbitration in accordance with the laws of the State of Florida.
    The arbitrator’s award will be final, and judgment may be entered upon it by any court having jurisdiction within the
    State of Florida.

 

Warranties

 

	 	57.	All
    Members represent and warrant that they have all authority, licenses and permits to execute and perform this Agreement and
    their obligations under this Agreement and that the representative of each Member has been fully authorized to execute this
    Agreement.
	 	 	 
	 	58.	Each
    Member represents and warrants that this Agreement is not in violation of any and all agreements and constitutional documents
    of the individual Member.

 

Definitions

 

	 	59.	For
    the purpose of this Agreement, the following terms are defined as follows:

 

	 	a.	“Capital
    Contributions” The capital contribution to the Venture actually made by the Members, including property, cash and
    any additional capital contributions made.
	 	 	 
	 	b.	“Majority
    Vote” A Majority Vote is any amount greater than one-half of the authorized votes.
	 	 	 
	 	c.	“Operation
    of Law” The Operation of Law means rights or duties that are cast upon a party by the law, without any act or agreement
    on the part of the individual including but not limited to an assignment for the benefit of creditors, a divorce, or a bankruptcy.

 

    	Page 11 of 13

     

    

 

Miscellaneous

 

	 	60.	This
    Venture is termed a contractual joint venture and will not constitute a partnership. Members will provide services to one
    another on an arms’ length basis while remaining independent business entities. There will be no pooling of profits
    and losses. Each Member is responsible only for its own actions and no Member is an agent for any other Member. Members will
    not be jointly or severally liable for the actions of the other Members.
	 	 	 
	 	61.	Time
    is of the essence in this Agreement.
	 	 	 
	 	62.	 This
    Agreement may be executed in counterparts. Facsimile signatures are binding and are considered to be original signatures.
	 	 	 
	 	63.	Headings
    are inserted for the convenience of the Members only and are not to be considered when interpreting this Agreement. Words
    in the singular mean and include the plural and vice versa. Words in the masculine gender include the feminine gender and
    vice versa. Words in the neuter gender include the masculine gender and the feminine gender and vice versa.
	 	 	 
	 	64.	If
    any term, covenant, condition or provision of this Agreement is held by a court of competent jurisdiction to be invalid, void
    or unenforceable, it is the Members’ intent that such provision be reduced in scope by the court only to the extent
    deemed necessary by that court to render the provision reasonable and enforceable and the remainder of the provisions of this
    Agreement will in no way be affected, impaired or invalidated as a result.
	 	 	 
	 	65.	This
    Agreement contains the entire agreement between the Members. All negotiations and understandings have been included in this
    Agreement. Statements or representations which may have been made by any Member in the negotiation stages of this Agreement
    may in some way be inconsistent with this final written Agreement. All such statements are declared to be of no value in this
    Agreement. Only the written terms of this Agreement will bind the Members.
	 	 	 
	 	66.	This
    Agreement and the terms and conditions contained in this Agreement apply to and are binding upon the Member’s successors,
    assigns, executors, administrators, beneficiaries, and representatives.
	 	 	 
	 	67.	Any
    notices or delivery required here will be deemed completed when hand-delivered, delivered by agent, or seven (7) days after
    being placed in the post, postage prepaid, to the Members at the addresses contained in this Agreement or as the Members may
    later designate in writing.

 

    	Page 12 of 13

     

    

 

	 	68.	All
    of the rights, remedies and benefits provided by this Agreement will be cumulative and will not be exclusive of any other
    such rights, remedies and benefits allowed by law.

 

IN
WITNESS WHEREOF the Members have duly affixed their signatures under hand and seal on this 20th day of March 2020.

 

	 	BorrowMoney.com,
    inc (Member) 
	 	 
	 	Per:	/s/ Aldo Piscitello
	 	(SEAL)
	 	Aldo
    Piscitello President
	 	 
	 	JVLS,
    LLC dba Vaccines 2Go (Member)
	 	 
	 	Per:	/s/
    Jody Stewart
	 		Jody Stewart (Mar 20, 2020)	 (SEAL)
	 	 	 	 
	 	Jody
    Stewart

 

    	Page 13 of 13SECURITIES
PURCHASE AGREEMENT

 

This SECURITIES
PURCHASE AGREEMENT (the “Agreement”), dated as of June 2, 2020, by and between KANNALIFE, INC., a
Delaware corporation, with headquarters located at 3805 Old Easton Road, Doylestown, PA 18902 (the “Company”),
and _______________________ , with its address at _________________ (the “Buyer”).

 WHEREAS: 

A.               
The Company and the Buyer are executing and delivering this Agreement in reliance upon the exemption from securities registration
afforded by the rules and regulations as promulgated by the United States Securities and Exchange Commission (the “SEC”)
under the Securities Act of 1933, as amended (the “1933 Act”); 

B.                
Buyer desires to purchase and the Company desires to issue and sell, upon the terms and conditions
set forth in this Agreement the 12% convertible note of the Company, in the form attached hereto as Exhibit A, in the aggregate
principal amount of US$165,000.00 (together with any note(s) issued in replacement thereof or as a dividend thereon or otherwise
with respect thereto in accordance with the terms thereof, the “Note”), convertible into shares of common stock of
the Company (the “Common Stock”), upon the terms and subject to the limitations and conditions set forth in such Note.

C.                
The Buyer wishes to purchase, upon the terms and conditions stated in this Agreement, such principal amount of Note as is set
forth immediately below its name on the signature pages hereto; and 

NOW
THEREFORE, the Company and the Buyer severally (and not jointly) hereby agree as follows:

1.
PURCHASE AND SALE OF NOTE.

 

a.                  
Purchase of Note and Warrant. On the Closing Date (as defined

below),
the Buyer shall pay the purchase price of $52,000.00 (the “Purchase Price”) for the first tranche of $55,000.00 under
the Note (the “First Tranche”), by wire transfer of immediately available funds, in accordance with the Company’s
written wiring instructions, against delivery of the Note and First Warrant (as defined in this Agreement), and (i) the Company
shall deliver such duly executed Note and First Warrant on behalf of the Company, to the Buyer. If the Buyer decides to pay, in
their sole discretion, additional amounts (additional tranches) under the Note (with the understanding that the face amount of
each tranche would be $55,000.00), as further described in the Note, then such additional amounts shall be paid in accordance
with the Company’s written wiring instructions as well. At the time of the Buyer’s funding of each tranche under the
Note (with the understanding that the face amount of each tranche shall be at least $55,000.00), the Company shall issue to Buyer
as a commitment fee, a common stock purchase warrant to purchase 36,666 shares of the Company’s common stock (such warrant
issuable upon closing of the First Tranche shall be the “First Warrant”)) pursuant to the terms provided therein (the
First Warrant and all additional common stock purchase warrants issuable hereunder, including now and in the future, shall be
referred to, in the aggregate, as the “Warrant”) (all warrants issuable hereunder shall be in the same form as the
First Warrant issued in connection with the First Tranche).

 b.                  
[Intentionally Omitted].

 c.                  
Closing Date. Subject to the satisfaction (or written waiver) of the

conditions
thereto set forth in Section 6 and Section 7 below, the date and time of the issuance and sale of the Note pursuant to this Agreement
(the “Closing Date”) shall be 5:00 P.M., Eastern Standard Time on or about June 2, 2020, or such other mutually agreed
upon time. The closing of the transactions contemplated by this Agreement (the “Closing”) shall occur on the Closing
Date at such location as may be agreed to by the parties.

 

2.
REPRESENTATIONS AND WARRANTIES OF THE BUYER. TheBuyer represents and warrants to the
Company that:

 

a.                  
Investment Purpose. As of the date hereof, the Buyer is purchasing the Note and the shares
of Common Stock issuable upon conversion of or otherwise pursuant to the Note (including, without limitation, such additional
shares of Common Stock, if any, as are issuable (i) on account of interest on the Note or (ii) as a result of the events described
in Sections 1.3 and 1.4(g) of the Note, such shares of Common Stock being collectively referred to herein as the “Conversion
Shares” and, collectively with the Note, Warrant, and shares of Common Stock issuable upon exercise of the Warrant, the
“Securities”) for its own account and not with a present view towards the public sale or distribution thereof, except
pursuant to sales registered or exempted from registration under the 1933 Act; provided, however, that by making
the representations herein, the Buyer does not agree to hold any of the Securities for any minimum or other specific term and
reserves the right to dispose of the Securities at any time in accordance with or pursuant to a registration statement or an exemption
under the 1933 Act.

 b.                  
Reliance on Exemptions. The Buyer understands that the Securities

are
being offered and sold to it in reliance upon specific exemptions from the registration requirements of United States federal
and state securities laws and that the Company is relying upon the truth and accuracy of, and the Buyer’s compliance with,
the representations, warranties, agreements, acknowledgments and understandings of the Buyer set forth herein in order to determine
the availability of such exemptions and the eligibility of the Buyer to acquire the Securities.

 c.                  
Information. The Buyer and its advisors, if any, have been, and for so

long
as the Note remain outstanding will continue to be, furnished with all materials relating to the business, finances and operations
of the Company and materials relating to the offer and sale of the Securities which have been requested by the Buyer or its advisors.
The Buyer and its advisors, if any, have been, and for so long as the Note remain outstanding will continue to be, afforded the
opportunity to ask questions of the Company. Notwithstanding the foregoing, the Company has not disclosed to the Buyer any material
nonpublic information and will not disclose such information unless such information is disclosed to the public prior to or promptly
following such disclosure to the Buyer. Neither such inquiries nor any other due diligence investigation conducted by Buyer or
any of its advisors or representatives shall modify, amend or affect Buyer’s right to rely on the Company’s representations
and warranties contained in Section 3 below. The Buyer understands that its investment in the Securities involves a significant
degree of risk. The Buyer is not aware of any facts that may constitute a breach of any of the Company's representations and warranties
made herein.

 d.                  
Governmental Review. The Buyer understands that no United States federal or state agency or any other government or governmental
agency has passed upon or made any recommendation or endorsement of the Securities.

 e.                  
Transfer or Re-sale. The Buyer understands that (i) the sale or re-sale of the Securities has not been and is not being
registered under the 1933 Act or any applicable state securities laws, and the Securities may not be transferred unless (a) the
Securities are sold pursuant to an effective registration statement under the 1933 Act, (b) the Buyer shall have delivered to
the Company, at the cost of the Buyer, an opinion of counsel that shall be in form, substance and scope customary for opinions
of counsel in comparable transactions to the effect that the Securities to be sold or transferred may be sold or transferred pursuant
to an exemption from such registration, which opinion shall be accepted by the Company, (c) the Securities are sold or transferred
to an “affiliate” (as defined in Rule 144 promulgated under the 1933 Act (or a successor rule) (“Rule 144”))
of the Buyer who agrees to sell or otherwise transfer the Securities only in accordance with this Section 2(f) and who is an Accredited
Investor, (d) the Securities are sold pursuant to Rule 144 or other applicable exemption, or (e) the Securities are sold pursuant
to Regulation S under the 1933 Act (or a successor rule) (“Regulation S”), and the Buyer shall have delivered to the
Company, at the cost of the Buyer, an opinion of counsel that shall be in form, substance and scope customary for opinions of
counsel in corporate transactions, which opinion shall be accepted by the Company; (ii) any sale of such Securities made in reliance
on Rule 144 may be made only in accordance with the terms of said Rule and further, if said Rule is not applicable, any re-sale
of such Securities under circumstances in which the seller (or the person through whom the sale is made) may be deemed to be an
underwriter (as that term is defined in the 1933 Act) may require compliance with some other exemption under the 1933 Act or the
rules and regulations of the SEC thereunder; and (iii) neither the Company nor any other person is under any obligation to register
such Securities under the 1933 Act or any state securities laws or to comply with the terms and conditions of any exemption thereunder
(in each case). Notwithstanding the foregoing or anything else contained herein to the contrary, the Securities may be pledged
as collateral in connection with a bona fide margin account or other lending arrangement.

 f.                   
Legends. The Buyer understands that the Note and, until such time as the Conversion Shares have been registered under the
1933 Act may be sold pursuant to Rule 144 or Regulation S or other applicable exemption without any restriction as to the number
of securities as of a particular date that can then be immediately sold, the Conversion Shares may bear a restrictive legend in
substantially the following form (and a stop-transfer order may be placed against transfer of the certificates for such Securities):

“NEITHER
THE ISSUANCE AND SALE OF THE SECURITIES REPRESENTED BY THIS CERTIFICATE NOR THE SECURITIES INTO WHICH THESE SECURITIES ARE EXERCISABLE
HAVE BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR APPLICABLE STATE SECURITIES LAWS. THE SECURITIES MAY NOT
BE OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED (I) IN THE ABSENCE OF (A) AN EFFECTIVE REGISTRATION 

STATEMENT
FOR THE SECURITIES UNDER THE SECURITIES ACT OF 1933, AS AMENDED,
OR (B) AN OPINION OF COUNSEL (WHICH COUNSEL SHALL BE SELECTED BY THE HOLDER), IN A GENERALLY ACCEPTABLE FORM, THAT REGISTRATION
IS NOT REQUIRED UNDER SAID ACT OR (II) UNLESS SOLD PURSUANT TO RULE 144 OR RULE 144A UNDER SAID ACT OR OTHER APPLICABLE EXEMPTION.
NOTWITHSTANDING THE FOREGOING, THE SECURITIES MAY BE PLEDGED IN CONNECTION WITH A BONA FIDE MARGIN ACCOUNT OR OTHER LOAN OR FINANCING
ARRANGEMENT SECURED BY THE SECURITIES” 

The
legend set forth above shall be removed and the Company shall issue a certificate without such legend to the holder of any Security
upon which it is stamped, if, unless otherwise required by applicable state securities laws, (a) such Security is registered for
sale under an effective registration statement filed under the 1933 Act or otherwise may be sold pursuant to Rule 144 or Regulation
S or other applicable exemption without any restriction as to the number of securities as of a particular date that can then be
immediately sold, or (b) such holder provides the Company with an opinion of counsel, in form, substance and scope customary for
opinions of counsel in comparable transactions, to the effect that a public sale or transfer of such Security may be made without
registration under the 1933 Act, which opinion shall be accepted by the Company so that the sale or transfer is effected. The
Buyer agrees to sell all Securities, including those represented by a certificate(s) from which the legend has been removed, in
compliance with applicable prospectus delivery requirements, if any. In the event that the Company does not accept the opinion
of counsel provided by the Buyer with respect to the transfer of Securities pursuant to an exemption from registration, such as
Rule 144 or Regulation

S
or other applicable exemption, at the Deadline, it will be considered an Event of Default pursuant to Section 3.2 of the Note.

 

g.
                    Authorization;
Enforcement. This Agreement has been duly andv alidly authorized. This Agreement has been
duly executed and delivered on behalf of the Buyer, and this Agreement constitutes a valid and binding agreement of the Buyer
enforceable in accordance with its terms.

 

h.                   
Residency. The Buyer is a resident of the jurisdiction set forthi mmediately below the Buyer’s name on the signature pages
hereto.

 3.
REPRESENTATIONS AND WARRANTIES OF THE COMPANY. The Company represents and warrants
to the Buyer that:

 

a.                  
Organization and Qualification. The Company and each of its Subsidiaries
(as defined below), if any, is a corporation duly organized, validly existing and in good standing under the laws of the jurisdiction
in which it is incorporated, with full power and authority (corporate and other) to own, lease, use and operate its properties
and to carry on its business as and where now owned, leased, used, operated and conducted. Schedule 3(a) sets forth a list of
all of the Subsidiaries of the Company and the jurisdiction in which each is incorporated. The Company and each of its Subsidiaries
is duly qualified as a foreign corporation to do business and is in good standing in every jurisdiction in which its ownership
or use of property or the nature of the business conducted by it makes such qualification necessary except where the failure to
be so qualified or in good standing would not have a Material Adverse Effect. “Material Adverse Effect” means any
material adverse effect on the business, operations, assets, financial condition or prospects of the Company or its Subsidiaries,
if any, taken as a whole, or on the transactions contemplated hereby or by the agreements or instruments to be entered into in
connection herewith. “Subsidiaries” means any corporation or other organization, whether incorporated or unincorporated,
in which the Company owns, directly or indirectly, any equity or other ownership interest.

 

b.                 
Authorization; Enforcement. (i) The Company has all requisite corporate power and authority to enter into and perform this
Agreement, the Note and to consummate the transactions contemplated hereby and thereby and to issue the Securities, in accordance
with the terms hereof and thereof, (ii) the execution and delivery of this Agreement, the Note by the Company and the consummation
by it of the transactions contemplated hereby and thereby (including without limitation, the issuance of the Note and the issuance
and reservation for issuance of the Conversion Shares issuable upon conversion or exercise thereof) have been duly authorized
by the Company’s Board of Directors and no further consent or authorization of the Company, its Board of Directors, or its
shareholders is required, (iii) this Agreement has been duly executed and delivered by the Company by its authorized representative,
and such authorized representative is the true and official representative with authority to sign this Agreement and the other
documents executed in connection herewith and bind the Company accordingly, and (iv) this Agreement constitutes, and upon execution
and delivery by the Company of the Note, each of such instruments will constitute, a legal, valid and binding obligation of the
Company enforceable against the Company in accordance with its terms.

c.                  
Capitalization. Except as disclosed in the SEC Documents, no shares are reserved for issuance pursuant to the Company’s
stock option plans, no shares are reserved for issuance pursuant to securities (other than the Note) exercisable for, or convertible
into or exchangeable for shares of Common Stock and sufficient shares are reserved for issuance upon conversion of the Note (as
required by the Note and transfer agent share reserve letter). All of such outstanding shares of capital stock are, or upon issuance
will be, duly authorized, validly issued, fully paid and non-assessable. No shares of capital stock of the Company are subject
to preemptive rights or any other similar rights of the shareholders of the Company or any liens or encumbrances imposed through
the actions or failure to act of the Company. Except as disclosed in the SEC Documents, as of the effective date of this Agreement,
(i) there are no outstanding options, warrants, scrip, rights to subscribe for, puts, calls, rights of first refusal, agreements,
understandings, claims or other commitments or rights of any character whatsoever relating to, or securities or rights convertible
into or exchangeable for any shares of capital stock of the Company or any of its Subsidiaries, or arrangements by which the Company
or any of its Subsidiaries is or may become bound to issue additional shares of capital stock of the Company or any of its Subsidiaries,
(ii) there are no agreements or arrangements under which the Company or any of its Subsidiaries is obligated to register the sale
of any of its or their securities under the 1933 Act and (iii) there are no anti-dilution or price adjustment provisions contained
in any security issued by the Company (or in any agreement providing rights to security holders) that will be triggered by the
issuance of the Note or the Conversion Shares. The Company has filed in its SEC Documents true and correct copies of the Company’s
Certificate of Incorporation as in effect on the date hereof (“Certificate of Incorporation”), the Company’s
By-laws, as in effect on the date hereof (the “By-laws”), and the terms of all securities convertible into or exercisable
for Common Stock of the Company and the material rights of the holders thereof in respect thereto. The Company shall provide the
Buyer with a written update of this representation signed by the Company’s Chief Executive on behalf of the Company as of
the Closing Date.

d.                 
Issuance of Shares. The Conversion Shares are duly authorized and reserved for issuance
and, upon conversion of the Note in accordance with its respective terms, will be validly issued, fully paid and non-assessable,
and free from all taxes, liens, claims and encumbrances with respect to the issue thereof and shall not be subject to preemptive
rights or other similar rights of shareholders of the Company and will not impose personal liability upon the holder thereof.

e.                  
Acknowledgment of Dilution. The Company understands and acknowledges the potentially
dilutive effect to the Common Stock upon the issuance of the Conversion Shares upon conversion of the Note. The Company further
acknowledges that its obligation to issue Conversion Shares upon conversion of the Note in accordance with this Agreement, the
Note is absolute and unconditional regardless of the dilutive effect that such issuance may have on the ownership interests of
other shareholders of the Company.

f.                   
No Conflicts. The execution, delivery and performance of this Agreement, the Note by the Company and the consummation by the Company
of the transactions contemplated hereby and thereby (including, without limitation, the issuance and reservation for issuance
of the Conversion Shares) will not (i) conflict with or result in a violation of any provision of the Certificate of Incorporation
or By-laws, or (ii) violate or conflict with, or result in a breach of any provision of, or constitute a default (or an event
which with notice or lapse of time or both could become a default) under, or give to others any rights of termination, amendment,
acceleration or cancellation of, any agreement, indenture, patent, patent license or instrument to which the Company or any of
its Subsidiaries is a party, or (iii) result in a violation of any law, rule, regulation, order, judgment or decree (including
federal and state securities laws and regulations and regulations of any self-regulatory organizations to which the Company or
its securities are subject) applicable to the Company or any of its Subsidiaries or by which any property or asset of the Company
or any of its Subsidiaries is bound or affected (except for such conflicts, defaults, terminations, amendments, accelerations,
cancellations and violations as would not, individually or in the aggregate, have a Material Adverse Effect). Neither the Company
nor any of its Subsidiaries is in violation of its Certificate of Incorporation, By-laws or other organizational documents and
neither the Company nor any of its Subsidiaries is in default (and no event has occurred which with notice or lapse of time or
both could put the Company or any of its Subsidiaries in default) under, and neither the Company nor any of its Subsidiaries has
taken any action or failed to take any action that would give to others any rights of termination, amendment, acceleration or
cancellation of, any agreement, indenture or instrument to which the Company or any of its Subsidiaries is a party or by which
any property or assets of the Company or any of its Subsidiaries is bound or affected, except for possible defaults as would not,
individually or in the aggregate, have a Material Adverse Effect. The businesses of the Company and its Subsidiaries, if any,
are not being conducted, and shall not be conducted so long as the Buyer owns any of the Securities, in violation of any law,
ordinance or regulation of any governmental entity. Except as specifically contemplated by this Agreement and as required under
the 1933 Act and any applicable state securities laws, the Company is not required to obtain any consent, authorization or order
of, or make any filing or registration with, any court, governmental agency, regulatory agency, self-regulatory organization or
stock market or any third party in order for it to execute, deliver or perform any of its obligations under this Agreement, the
Note in accordance with the terms hereof or thereof or to issue and sell the Note in accordance with the terms hereof and to issue
the Conversion Shares upon conversion of the Note. All consents, authorizations, orders, filings and registrations which the Company
is required to obtain pursuant to the preceding sentence have been obtained or effected on or prior to the date hereof. The Company
is not in violation of the listing requirements of the Over-theCounter Bulletin Board (the “OTCBB”), the OTCQB or
any similar quotation system, and does not reasonably anticipate that the Common Stock will be delisted by the OTCBB, the OTCQB
or any similar quotation system, in the foreseeable future. The Company and its Subsidiaries are unaware of any facts or circumstances
which might give rise to any of the foregoing.

g.                 
SEC Documents; Financial Statements. The Company has timely filed all reports, schedules, forms, statements and other documents
required to be filed by it with the SEC pursuant to the reporting requirements of the Securities Exchange Act of 1934, as amended
(the “1934 Act”) (all of the foregoing filed prior to the date hereof and all exhibits included therein and financial
statements and schedules thereto and documents (other than exhibits to such documents) incorporated by reference therein, being
hereinafter referred to herein as the “SEC Documents”). The Company has delivered to the Buyer true and complete copies
of the SEC Documents, except for such exhibits and incorporated documents. As of their respective dates, the SEC Documents complied
in all material respects with the requirements of the 1934 Act and the rules and regulations of the SEC promulgated thereunder
applicable to the SEC Documents, and none of the SEC Documents, at the time they were filed with the SEC, contained any untrue
statement of a material fact or omitted to state a material fact required to be stated therein or necessary in order to make the
statements therein, in light of the circumstances under which they were made, not misleading. None of the statements made in any
such SEC Documents is, or has been, required to be amended or updated under applicable law (except for such statements as have
been amended or updated in subsequent filings prior the date hereof). As of their respective dates, the financial statements of
the Company included in the SEC Documents complied as to form in all material respects with applicable accounting requirements
and the published rules and regulations of the SEC with respect thereto. Such financial statements have been prepared in accordance
with United States generally accepted accounting principles, consistently applied, during the periods involved and fairly present
in all material respects the consolidated financial position of the Company and its consolidated Subsidiaries as of the dates
thereof and the consolidated results of their operations and cash flows for the periods then ended (subject, in the case of unaudited
statements, to normal year-end audit adjustments). Except as set forth in the financial statements of the Company included in
the SEC Documents, the Company has no liabilities, contingent or otherwise, other than (i) liabilities incurred in the ordinary
course of business, and (ii) obligations under contracts and commitments incurred in the ordinary course of business and not required
under generally accepted accounting principles to be reflected in such financial statements, which, individually or in the aggregate,
are not material to the financial condition or operating results of the Company. The Company is subject to the reporting requirements
of the 1934 Act. For the avoidance of doubt, filing of the documents required in this Section 3(g) via the SEC’s Electronic
Data Gathering, Analysis, and Retrieval system (“EDGAR”) shall satisfy all delivery requirements of this Section 3(g).

 

h.                 
Absence of Certain Changes. There have been no material adverse change and no material adverse development in the assets,
liabilities, business, properties, operations, financial condition, results of operations, prospects or 1934 Act reporting status
of the Company or any of its Subsidiaries.

i.                   
Absence of Litigation. There is no action, suit, claim, proceeding, inquiry or investigation before or by any court, public
board, government agency, self-regulatory organization or body pending or, to the knowledge of the Company or any of its Subsidiaries,
threatened against or affecting the Company or any of its Subsidiaries, or their officers or directors in their capacity as such,
that could have a Material Adverse Effect. Schedule 3(i) contains a complete list and summary description of any pending or, to
the knowledge of the Company, threatened proceeding against or affecting the Company or any of its Subsidiaries, without regard
to whether it would have a Material Adverse Effect. The Company and its Subsidiaries are unaware of any facts or circumstances
which might give rise to any of the foregoing. 

j.                   
Patents, Copyrights, etc. The Company and each of its Subsidiaries owns or possesses
the requisite licenses or rights to use all patents, patent applications, patent rights, inventions, know-how, trade secrets,
trademarks, trademark applications, service marks, service names, trade names and copyrights (“Intellectual Property”)
necessary to enable it to conduct its business as now operated (and, as presently contemplated to be operated in the future);
Except as disclosed in the SEC Documents, there is no claim or action by any person pertaining to, or proceeding pending, or to
the Company’s knowledge threatened, which challenges the right of the Company or of a Subsidiary with respect to any Intellectual
Property necessary to enable it to conduct its business as now operated (and, as presently contemplated to be operated in the
future); to the best of the Company’s knowledge, the Company’s or its Subsidiaries’ current and intended products,
services and processes do not infringe on any Intellectual Property or other rights held by any person; and the Company is unaware
of any facts or circumstances which might give rise to any of the foregoing. The Company and each of its Subsidiaries have taken
reasonable security measures to protect the secrecy, confidentiality and value of their Intellectual Property.

k.                 
No Materially Adverse Contracts, Etc. Neither the Company nor any of its Subsidiaries
is subject to any charter, corporate or other legal restriction, or any judgment, decree, order, rule or regulation which in the
judgment of the Company’s officers has or is expected in the future to have a Material Adverse Effect. Neither the Company
nor any of its Subsidiaries is a party to any contract or agreement which in the judgment of the Company’s officers has
or is expected to have a Material Adverse Effect.

l.                   
Tax Status. The Company and each of its Subsidiaries has made or filed all federal, state and foreign income and all other
tax returns, reports and declarations required by any jurisdiction to which it is subject (unless and only to the extent that
the Company and each of its Subsidiaries has set aside on its books provisions reasonably adequate for the payment of all unpaid
and unreported taxes) and has paid all taxes and other governmental assessments and charges that are material in amount, shown
or determined to be due on such returns, reports and declarations, except those being contested in good faith and has set aside
on its books provisions reasonably adequate for the payment of all taxes for periods subsequent to the periods to which such returns,
reports or declarations apply. There are no unpaid taxes in any material amount claimed to be due by the taxing authority of any
jurisdiction, and the officers of the Company know of no basis for any such claim. The Company has not executed a waiver with
respect to the statute of limitations relating to the assessment or collection of any foreign, federal, state or local tax. None
of the Company’s tax returns is presently being audited by any taxing authority.

m.               
Certain Transactions. Except for arm’s length transactions pursuant to which
the Company or any of its Subsidiaries makes payments in the ordinary course of business upon terms no less favorable than the
Company or any of its Subsidiaries could obtain from third parties and other than the grant of stock options disclosed on Schedule
3(c), none of the officers, directors, or employees of the Company is presently a party to any transaction with the Company or
any of its Subsidiaries (other than for services as employees, officers and directors), including any contract, agreement or other
arrangement providing for the furnishing of services to or by, providing for rental of real or personal property to or from, or
otherwise requiring payments to or from any officer, director or such employee or, to the knowledge of the Company, any corporation,
partnership, trust or other entity in which any officer, director, or any such employee has a substantial interest or is an officer,
director, trustee or partner.

n.                 
Disclosure. All information relating to or concerning the Company or any of its Subsidiaries set forth in this Agreement
and provided to the Buyer pursuant to Section 2(d) hereof and otherwise in connection with the transactions contemplated hereby
is true and correct in all material respects and the Company has not omitted to state any material fact necessary in order to
make the statements made herein or therein, in light of the circumstances under which they were made, not misleading. No event
or circumstance has occurred or exists with respect to the Company or any of its Subsidiaries or its or their business, properties,
prospects, operations or financial conditions, which, under applicable law, rule or regulation, requires public disclosure or
announcement by the Company but which has not been so publicly announced or disclosed (assuming for this purpose that the Company’s
reports filed under the 1934 Act are being incorporated into an effective registration statement filed by the Company under the
1933 Act).

o.                 
Acknowledgment Regarding Buyer’s Purchase of Securities. The Company acknowledges and agrees that the Buyer is acting
solely in the capacity of arm’s length purchasers with respect to this Agreement and the transactions contemplated hereby.
The Company further acknowledges that the Buyer is not acting as a financial advisor or fiduciary of the Company (or in any similar
capacity) with respect to this Agreement and the transactions contemplated hereby and any statement made by the Buyer or any of
its respective representatives or agents in connection with this Agreement and the transactions contemplated hereby is not advice
or a recommendation and is merely incidental to the Buyer’ purchase of the Securities. The Company further represents to
the Buyer that the Company’s decision to enter into this Agreement has been based solely on the independent evaluation of
the Company and its representatives. 

p.                 
No Integrated Offering. Neither the Company, nor any of its affiliates,

nor
any person acting on its or their behalf, has directly or indirectly made any offers or sales in any security or solicited any
offers to buy any security under circumstances that would require registration under the 1933 Act of the issuance of the Securities
to the Buyer. The issuance of the Securities to the Buyer will not be integrated with any other issuance of the Company’s
securities (past, current or future) for purposes of any shareholder approval provisions applicable to the Company or its securities.

q.                 
No Brokers; No Solicitation. Except with respect to Garden State Securities, Inc., a registered broker-dealer (CRD#: 10083),
the Company has taken no action which would give rise to any claim by any person for brokerage commissions, transaction fees or
similar payments relating to this Agreement or the transactions contemplated hereby. The Company acknowledges and agrees that
neither the Buyer nor its employee(s), member(s), beneficial owner(s), or partner(s) solicited the Company to enter into this
Agreement and consummate the transactions described in this Agreement.

r.                   
Permits; Compliance. The Company and each of its Subsidiaries is in

possession
of all franchises, grants, authorizations, licenses, permits, easements, variances, exemptions, consents, certificates, approvals
and orders necessary to own, lease and operate its properties and to carry on its business as it is now being conducted (collectively,
the “Company Permits”), and there is no action pending or, to the knowledge of the Company, threatened regarding suspension
or cancellation of any of the Company Permits. Neither the Company nor any of its Subsidiaries is in conflict with, or in default
or violation of, any of the Company Permits, except for any such conflicts, defaults or violations which, individually or in the
aggregate, would not reasonably be expected to have a Material Adverse Effect. Neither the Company nor any of its Subsidiaries
has received any notification with respect to possible conflicts, defaults or violations of applicable laws, except for notices
relating to possible conflicts, defaults or violations, which conflicts, defaults or violations would not have a Material Adverse
Effect.

s.                  
Environmental Matters.

(i)
There are, to the Company’s knowledge, with respect tot he Company or any of its Subsidiaries or any predecessor of the
Company, no past or present violations of Environmental Laws (as defined below), releases of any material into the environment,
actions, activities, circumstances, conditions, events, incidents, or contractual obligations which may give rise to any common
law environmental liability or any liability under the Comprehensive Environmental Response, Compensation and Liability Act of
1980 or similar federal, state, local or foreign laws and neither the Company nor any of its Subsidiaries has received any notice
with respect to any of the foregoing, nor is any action pending or, to the Company’s knowledge, threatened in connection
with any of the foregoing. The term “Environmental Laws” means all federal, state, local or foreign laws relating
to pollution or protection of human health or the environment (including, without limitation, ambient air, surface water, groundwater,
land surface or subsurface strata), including, without limitation, laws relating to emissions, discharges, releases or threatened
releases of chemicals, pollutants contaminants, or toxic or hazardous substances or wastes (collectively, “Hazardous Materials”)
into the environment, or otherwise relating to the manufacture, processing, distribution, use, treatment, storage, disposal, transport
or handling of Hazardous Materials, as well as all authorizations, codes, decrees, demands or demand letters, injunctions, judgments,
licenses, notices or notice letters, orders, permits, plans or regulations issued, entered, promulgated or approved thereunder.

(ii)
Other than those that are or were stored, used or disposed of in compliance with applicable
law, no Hazardous Materials are contained on or about any real property currently owned, leased or used by the Company or any
of its Subsidiaries, and no Hazardous Materials were released on or about any real property previously owned, leased or used by
the Company or any of its Subsidiaries during the period the property was owned, leased or used by the Company or any of its Subsidiaries,
except in the normal course of the Company’s or any of its Subsidiaries’ business.

 

(iii)
There are no underground storage tanks on or under anyr eal property owned, leased or used
by the Company or any of its Subsidiaries that are not in compliance with applicable law.

 

t.                   
Title to Property. Except as disclosed in the SEC Documents the Company and its Subsidiaries have good and marketable title
in fee simple to all real property and good and marketable title to all personal property owned by them which is material to the
business of the Company and its Subsidiaries, in each case free and clear of all liens, encumbrances and defects or such as would
not have a Material Adverse Effect. Any real property and facilities held under lease by the Company and its Subsidiaries are
held by them under valid, subsisting and enforceable leases with such exceptions as would not have a Material Adverse Effect. 

u.                 
Internal Accounting Controls. Except as disclosed in the SEC Documents the Company and each of its Subsidiaries maintain
a system of internal accounting controls sufficient, in the judgment of the Company’s board of directors, to provide reasonable
assurance that (i) transactions are executed in accordance with management’s general or specific authorizations, (ii) transactions
are recorded as necessary to permit preparation of financial statements in conformity with generally accepted accounting principles
and to maintain asset accountability, (iii) access to assets is permitted only in accordance with management’s general or
specific authorization and (iv) the recorded accountability for assets is compared with the existing assets at reasonable intervals
and appropriate action is taken with respect to any differences. 

v.                 
Foreign Corrupt Practices. Neither the Company, nor any of its Subsidiaries, nor any director, officer, agent, employee
or other person acting on behalf of the Company or any Subsidiary has, in the course of his actions for, or on behalf of, the
Company, used any corporate funds for any unlawful contribution, gift, entertainment or other unlawful expenses relating to political
activity; made any direct or indirect unlawful payment to any foreign or domestic government official or employee from corporate
funds; violated or is in violation of any provision of the U.S. Foreign Corrupt Practices Act of 1977, as amended, or made any
bribe, rebate, payoff, influence payment, kickback or other unlawful payment to any foreign or domestic government official or
employee.

w.               
Solvency. The Company (after giving effect to the transactions contemplated by this
Agreement) is solvent (i.e., its assets have a fair market value in excess of the amount required to pay its probable liabilities
on its existing debts as they become absolute and matured) and currently the Company has no information that would lead it to
reasonably conclude that the Company would not, after giving effect to the transaction contemplated by this Agreement, have the
ability to, nor does it intend to take any action that would impair its ability to, pay its debts from time to time incurred in
connection therewith as such debts mature. The Company did not receive a qualified opinion from its auditors with respect to its
most recent fiscal year end and, after giving effect to the transactions contemplated by this Agreement, does not anticipate or
know of any basis upon which its auditors might issue a qualified opinion in respect of its current fiscal year. For the avoidance
of doubt any disclosure of the Company’s ability to continue as a “going concern” shall not, by itself, be a
violation of this Section 3(w). 

x.                 
No Investment Company. The Company is not, and upon the issuance and sale of the Securities
as contemplated by this Agreement will not be an “investment company” required to be registered under the Investment
Company Act of 1940 (an “Investment Company”). The Company is not controlled by an Investment Company.

y.                 
Insurance. Upon written request the Company will provide to the Buyer true and correct copies of all policies relating
to directors’ and officers’ liability coverage, errors and omissions coverage, and commercial general liability coverage,
if any.

z.                  
Breach of Representations and Warranties by the Company. If the Company breaches any of the representations or warranties
set forth in this Section 3, and in addition to any other remedies available to the Buyer pursuant to this Agreement, it will
be considered an Event of default under Section 3.4 of the Note.

 

4.
COVENANTS.

 

a.                  
Best Efforts. The parties shall use their commercially reasonable best efforts to
satisfy timely each of the conditions described in Section 6 and 7 of this Agreement.

 

b.                 
Use of Proceeds. The Company shall use the proceeds from the sale of the Note for
working capital and other general corporate purposes and shall not, directly or indirectly, use such proceeds for any loan to
or investment in any other corporation, partnership, enterprise or other person (except in connection with its currently existing
direct or indirect Subsidiaries). 

c.                  
Financial Information. The Company agrees to send or make available the following reports to the Buyer until the Buyer
transfers, assigns, or sells all of the Securities: (i) within ten (10) days after the filing with the SEC, a copy of its Annual
Report on Form 10-K its Quarterly Reports on Form 10-Q and any Current Reports on Form 8-K; (ii) within one (1) day after release,
copies of all press releases issued by the Company or any of its Subsidiaries; and (iii) contemporaneously with the making available
or giving to the shareholders of the Company, copies of any notices or other information the Company makes available or gives
to such shareholders. For the avoidance of doubt, filing the documents required in (i) above via EDGAR or releasing any documents
set forth in (ii) above via a recognized wire service shall satisfy the delivery requirements of this Section 4(f).

d.                 
Listing. The Company shall promptly secure the listing of the Conversion Shares upon each national securities exchange
or automated quotation system, if any, upon which shares of Common Stock are then listed (subject to official notice of issuance)
and, so long as the Buyer owns any of the Securities, shall maintain, so long as any other shares of Common Stock shall be so
listed, such listing of all Conversion Shares from time to time issuable upon conversion of the Note. The Company will obtain
and, so long as the Buyer owns any of the Securities, maintain the listing and trading of its Common Stock on the OTCBB, OTCQB,
OTC Pink or any equivalent replacement exchange, the Nasdaq National Market (“Nasdaq”), the Nasdaq SmallCap Market
(“Nasdaq SmallCap”), the New York Stock Exchange (“NYSE”), or the NYSE MKT and will comply in all respects
with the Company’s reporting, filing and other obligations under the bylaws or rules of the Financial Industry Regulatory
Authority (“FINRA”) and such exchanges, as applicable. The Company shall promptly provide to the Buyer copies of any
material notices it receives from the OTCBB, OTCQB and any other exchanges or quotation systems on which the Common Stock is then
listed regarding the continued eligibility of the Common Stock for listing on such exchanges and quotation systems.

 e.                  
Corporate Existence. So long as the Buyer beneficially owns any Note, the Company shall maintain its corporate existence
and shall not sell all or substantially all of the Company’s assets, except in the event of a merger or consolidation or
sale of all or substantially all of the Company’s assets, where the surviving or successor entity in such transaction (i)
assumes the Company’s obligations hereunder and under the agreements and instruments entered into in connection herewith
and (ii) is a publicly traded corporation whose Common Stock is listed for trading on the OTCBB, OTCQB, OTC Pink, Nasdaq, NasdaqSmallCap,
NYSE or AMEX.

f.                   
No Integration. The Company shall not make any offers or sales of any security (other than the Securities) under circumstances
that would require registration of the Securities being offered or sold hereunder under the 1933 Act or cause the offering of
the Securities to be integrated with any other offering of securities by the Company for the purpose of any stockholder approval
provision applicable to the Company or its securities.

g.                 
Failure to Comply with the 1934 Act. So long as the Buyer

beneficially
owns the Note, the Company shall comply with the reporting requirements of the 1934 Act; and the Company shall continue to be
subject to the reporting requirements of the 1934 Act.

h.                 
Trading Activities. Neither the Buyer nor its affiliates has an open

short
position (or other hedging or similar transactions) in the common stock of the Company and the Buyer agree that it shall not,
and that it will cause its affiliates not to, engage in any short sales of or hedging transactions with respect to the common
stock of the Company.

i.                   
Restriction on Activities. Commencing as of the date first above written, and until the earlier of payment of the Note
in full or full conversion of the Note, the Company shall not, directly or indirectly, without the Buyer’s prior written
consent, which consent shall not be unreasonably withheld: (a) change the nature of its business; (b) sell, divest, acquire, change
the structure of any material assets other than in the ordinary course of business; or (c) solicit any offers for, respond to
any unsolicited offers for, or conduct any negotiations with any other person or entity in respect of any Variable Rate Transaction
(as defined herein), whether a transaction similar to the one contemplated hereby or any other investment. From the date hereof
until such time as the Buyer no longer holds the Note or any of the Conversion Shares, the Company shall be prohibited from effecting
or entering into an agreement involving a Variable Rate Transaction. “Variable Rate Transaction” means a transaction
in which the Company (i) issues or sells any debt or equity securities that are convertible into, exchangeable or exercisable
for, or include the right to receive, additional shares of Common Stock either (A) at a conversion price, exercise price or exchange
rate or other price that is based upon, and/or varies with, the trading prices of or quotations for the shares of Common Stock
at any time after the initial issuance of such debt or equity securities or (B) with a conversion, exercise or exchange price
that is subject to being reset at some future date after the initial issuance of such debt or equity security or upon the occurrence
of specified or contingent events directly or indirectly related to the business of the Company or the market for the Common Stock
or (ii) enters into any agreement, including, but not limited to, an equity line of credit, whereby the Company may issue securities
at a future determined price. The Buyer shall be entitled to obtain injunctive relief against the Company to preclude any such
issuance, which remedy shall be in addition to any right to collect damages. 

j.                   
Breach of Covenants. If the Company breaches any of the covenants set forth in this
Section 4, and in addition to any other remedies available to the Buyer pursuant to this Agreement, it will be considered an event
of default under Section 3.3 of the Note.

5.
Transfer Agent Instructions. Prior to registration of the Conversion Sharesu nder
the 1933 Act or the date on which the Conversion Shares may be sold pursuant to Rule 144 or other applicable exemption without
any restriction as to the number of Securities as of a particular date that can then be immediately sold, all such certificates
shall bear the restrictive legend specified in Section 2(g) of this Agreement. The Company warrants that: (i) no stop transfer
instructions to give effect to Section 2(f) hereof (in the case of the Conversion Shares, prior to registration of the Conversion
Shares under the 1933 Act or the date on which the Conversion Shares may be sold pursuant to Rule 144 or other applicable exemption
without any restriction as to the number of Securities as of a particular date that can then be immediately sold), will be given
by the Company to its transfer agent and that the Securities shall otherwise be freely transferable on the books and records of
the Company as and to the extent provided in this Agreement and the Note; (ii) it will not direct its transfer agent not to transfer
or delay, impair, and/or hinder its transfer agent in transferring (or issuing) (electronically or in certificated form) any certificate
for Conversion Shares to be issued to the Buyer upon conversion of or otherwise pursuant to the Note as and when required by the
Note and this Agreement; and (iii) it will not fail to remove (or directs its transfer agent not to remove or impairs, delays,
and/or hinders its transfer agent from removing) any restrictive legend (or to withdraw any stop transfer instructions in respect
thereof) on any certificate for any Conversion Shares issued to the Buyer upon conversion of or otherwise pursuant to the Note
as and when required by the Note and this Agreement. Nothing in this Section shall affect in any way the Buyer’s obligations
and agreement set forth in Section 2(g) hereof to comply with all applicable prospectus delivery requirements, if any, upon re-sale
of the Securities. If the Buyer provides the Company, at the cost of the Buyer, with (i) an opinion of counsel in form, substance
and scope customary for opinions in comparable transactions, to the effect that a public sale or transfer of such Securities may
be made without registration under the 1933 Act and such sale or transfer is effected or (ii) the Buyer provides reasonable assurances
that the Securities can be sold pursuant to Rule 144 or other applicable exemption, the Company shall permit the transfer, and,
in the case of the Conversion Shares, promptly instruct its transfer agent to issue one or more certificates, free from restrictive
legend, in such name and in such denominations as specified by the Buyer. The Company acknowledges that a breach by it of its
obligations hereunder will cause irreparable harm to the Buyer, by vitiating the intent and purpose of the transactions contemplated
hereby. Accordingly, the Company acknowledges that the remedy at law for a breach of its obligations under this Section may be
inadequate and agrees, in the event of a breach or threatened breach by the Company of the provisions of this Section, that the
Buyer shall be entitled, in addition to all other available remedies, to an injunction restraining any breach and requiring immediate
transfer, without the necessity of showing economic loss and without any bond or other security being required.

 

6.
CONDITIONS PRECEDENT TO THE COMPANY’S OBLIGATIONS TO SELL. The obligation of the Company hereunder to issue and sell
the Note to the Buyer at the Closing is subject to the satisfaction, at or before the Closing Date of each of the following conditions
thereto, provided that these conditions are for the Company’s sole benefit and may be waived by the Company at any time
in its sole discretion:

 

a.                  
The Buyer shall have executed this Agreement and delivered the same to the Company.

b.                 
The Buyer shall have delivered the Purchase Price in accordance with Section 1(b) above. 

c.                  
The representations and warranties of the Buyer shall be true and correct in all material
respects as of the date when made and as of the Closing Date as though made at that time (except for representations and warranties
that speak as of a specific date), and the Buyer shall have performed, satisfied and complied in all material respects with the
covenants, agreements and conditions required by this Agreement to be performed, satisfied or complied with by the Buyer at or
prior to the Closing Date. 

d.                 
No litigation, statute, rule, regulation, executive order, decree, ruling or injunction shall
have been enacted, entered, promulgated or endorsed by or in any court or governmental authority of competent jurisdiction or
any self-regulatory organization having authority over the matters contemplated hereby which prohibits the consummation of any
of the transactions contemplated by this Agreement.

 

7.
CONDITIONS PRECEDENT TO THE BUYER’S OBLIGATION TOP URCHASE. The obligation of the Buyer hereunder to purchase the
Note at the Closing is subject to the satisfaction, at or before the Closing Date of each of the following conditions, provided
that these conditions are for the Buyer’s sole benefit and may be waived by the Buyer at any time in its sole discretion:

 

a.                  
The Company shall have executed this Agreement and delivered the

same
to the Buyer.

 b.                 
The Company shall have delivered to the Buyer duly executed Note and First Warrant in accordance with this Agreement.

c.                  
The representations and warranties of the Company shall be true and correct in all material
respects as of the date when made and as of the Closing Date as though made at such time (except for representations and warranties
that speak as of a specific date) and the Company shall have performed, satisfied and complied in all material respects with the
covenants, agreements and conditions required by this Agreement to be performed, satisfied or complied with by the Company at
or prior to the Closing Date. The Buyer shall have received a certificate or certificates, executed by the chief executive officer
of the Company, dated as of the Closing Date, to the foregoing effect and as to such other matters as may be reasonably requested
by the Buyer including, but not limited to certificates with respect to the Company’s Certificate of Incorporation, By-laws
and Board of Directors’ resolutions relating to the transactions contemplated hereby.

d.                 
No litigation, statute, rule, regulation, executive order, decree, ruling or injunction shall have been enacted, entered, promulgated
or endorsed by or in any court or governmental authority of competent jurisdiction or any self-regulatory organization having
authority over the matters contemplated hereby which prohibits the consummation of any of the transactions contemplated by this
Agreement.

e.                  
No event shall have occurred which could reasonably be expected to have a Material Adverse Effect on the Company including but
not limited to a change in the 1934 Act reporting status of the Company or the failure of the Company to be timely in its 1934
Act reporting obligations.

f.                   
The Conversion Shares shall have been authorized for quotation on the OTCBB, OTCQB or any similar quotation system and trading
in the Common Stock on the OTCBB, OTCQB or any similar quotation system shall not have been suspended by the SEC or the OTCBB,
OTCQB or any similar quotation system.

g.                 
The Buyer shall have received an officer’s certificate described in Section 3(c) above, dated as of the Closing Date.

8.
GOVERNING LAW; MISCELLANEOUS.

 a.                  
Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of Delaware without
regard to principles of conflicts of laws. Any action brought by either party against the other concerning the transactions contemplated
by this Agreement shall be brought only in the state courts located in New York, NY or in the federal courts located in New York,
NY. The parties to this Agreement hereby irrevocably waive any objection to jurisdiction and venue of any action instituted hereunder
and shall not assert any defense based on lack of jurisdiction or venue or based upon forum non conveniens. The Company
and Buyer waive trial by jury. The prevailing party shall be entitled to recover from the other party its reasonable attorney's
fees and costs. In the event that any provision of this Agreement or any other agreement delivered in connection herewith is invalid
or unenforceable under any applicable statute or rule of law, then such provision shall be deemed inoperative to the extent that
it may conflict therewith and shall be deemed modified to conform with such statute or rule of law. Any such provision which may
prove invalid or unenforceable under any law shall not affect the validity or enforceability of any other provision of any agreement.
Each party hereby irrevocably waives personal service of process and consents to process being served in any suit, action or proceeding
in connection with this Agreement or any other Transaction Document by mailing a copy thereof via registered or certified mail
or overnight delivery (with evidence of delivery) to such party at the address in effect for notices to it under this Agreement
and agrees that such service shall constitute good and sufficient service of process and notice thereof. Nothing contained herein
shall be deemed to limit in any way any right to serve process in any other manner permitted by law.

b.                 
Counterparts; Signatures by Facsimile. This Agreement may be executed in one or more
counterparts, each of which shall be deemed an original but all of which shall constitute one and the same agreement and shall
become effective when counterparts have been signed by each party and delivered to the other party. This Agreement, once executed
by a party, may be delivered to the other party hereto by facsimile transmission of a copy of this Agreement bearing the signature
of the party so delivering this Agreement.

c.                  
Headings. The headings of this Agreement are for convenience of reference only and shall not form part of, or affect the
interpretation of, this Agreement.

d.                 
Severability. In the event that any provision of this Agreement is invalid or unenforceable under any applicable statute
or rule of law, then such provision shall be deemed inoperative to the extent that it may conflict therewith and shall be deemed
modified to conform with such statute or rule of law. Any provision hereof which may prove invalid or unenforceable under any
law shall not affect the validity or enforceability of any other provision hereof.

 e.                  
Entire Agreement; Amendments. This Agreement and the instruments referenced herein contain the entire understanding of
the parties with respect to the matters covered herein and therein and, except as specifically set forth herein or therein, neither
the Company nor the Buyer makes any representation, warranty, covenant or undertaking with respect to such matters. No provision
of this Agreement may be waived or amended other than by an instrument in writing signed by the majority in interest of the Buyer.

 f.                   
Notices. All notices, demands, requests, consents, approvals, and other communications required or permitted hereunder
shall be in writing and, unless otherwise specified herein, shall be (i) personally served, (ii) deposited in the mail, registered
or certified, return receipt requested, postage prepaid, (iii) delivered by reputable air courier service with charges prepaid,
or (iv) transmitted by hand delivery, telegram, facsimile, or electronic mail addressed as set forth below or to such other address
as such party shall have specified most recently by written notice. Any notice or other communication required or permitted to
be given hereunder shall be deemed effective (a) upon hand delivery, delivery by facsimile, with accurate confirmation generated
by the transmitting facsimile machine, or delivery by electronic mail when sent, at the address or number designated below (if
delivered on a business day during normal business hours where such notice is to be received), or the first business day following
such delivery (if delivered other than on a business day during normal business hours where such notice is to be received) or
(b) on the second business day following the date of mailing by express courier service, fully prepaid, addressed to such address,
or upon actual receipt of such mailing, whichever shall first occur. The addresses for such communications shall be: 

If
to the Company, to: 

KANNALIFE,
INC. 

3805
Old Easton Road Doylestown, PA 18902 e-mail: info@kannalife.com  If to the Buyer, to:

Each
party shall provide notice to the other party of any change in address.

g.                 
Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of the parties and their successors
and assigns. The Company shall not assign this Agreement or any rights or obligations hereunder without the prior signed written
consent of the Buyer (any such assignment or transfer shall be null and void if the Company does not obtain the prior signed written
consent of the Buyer). The Buyer may assign its rights hereunder to any person that purchases Securities in a private transaction
from the Buyer or to any of its “affiliates,” as that term is defined under the 1934 Act, without the consent of the
Company.

h.                 
Third Party Beneficiaries. This Agreement is intended for the benefit of the parties hereto and their respective permitted
successors and assigns, and is not for the benefit of, nor may any provision hereof be enforced by, any other person. 

i.                   
Survival. The representations and warranties of the Company and the agreements and covenants set forth in this Agreement
shall survive the closing hereunder. The Company agrees to indemnify and hold harmless the Buyer and all their officers, directors,
employees and agents for loss or damage arising as a result of or related to any breach by the Company of any of its representations,
warranties and covenants set forth in this Agreement or any of its covenants and obligations under this Agreement, including advancement
of expenses as they are incurred.

j.                   
Further Assurances. Each party shall do and perform, or cause to be done and performed, all such further acts and things,
and shall execute and deliver all such other agreements, certificates, instruments and documents, as the other party may reasonably
request in order to carry out the intent and accomplish the purposes of this Agreement and the consummation of the transactions
contemplated hereby. 

k.                 
No Strict Construction. The language used in this Agreement will be deemed to be the language chosen by the parties to
express their mutual intent, and no rules of strict construction will be applied against any party. 

l.                   
[Intentionally Omitted].

m.               
Publicity. The Company, and the Buyer shall have the right to review a reasonable
period of time before issuance of any press releases, SEC, OTCQB (or other applicable trading market), or FINRA filings, or any
other public statements with respect to the transactions contemplated hereby; provided, however, that the Company
shall be entitled, without the prior approval of the Buyer, to make any press release or SEC, OTCQB (or other applicable trading
market) or FINRA filings with respect to such transactions as is required by applicable law and regulations (although the Buyer
shall be consulted by the Company in connection with any such press release prior to its release and shall be provided with a
copy thereof). 

n.                 
Piggyback Registration Rights. The Company hereby grants the Buyer the piggyback registration rights set forth on Exhibit
B hereto, with respect to the Note, the shares of Common Stock in which the Note is convertible into, so long as the Note is outstanding.

 

 

[
- signature page follows - ]

 

    	 	1	 

     

    

IN
WITNESS WHEREOF, the undersigned Buyer and the Company have caused this Agreement to be duly executed as of the date first above
written.

 

KANNALIFE,
INC. 

By:

Name:
Dean Petkanas

Title:
Chief Executive Officer

AGGREGATE
SUBSCRIPTION AMOUNT:

	Aggregate
                                         Principal Amount of Note:
	up
    to US$165,000.00
	Aggregate
    Purchase Price:	up
    to US$156,000.00*

 

*The
purchase price of $52,000.00, relating to the first tranche of $55,000.00, shall be paid within a reasonable amount of time after
the full execution of the Note and related transaction documents. Additional tranches may be funded by the Buyer, in Buyer’s
sole discretion, in accordance with the terms of the Note.

    	 	2	 

     

    

 

EXHIBIT
B

 

REGISTRATION
RIGHTS AGREEMENT

This
REGISTRATION RIGHTS AGREEMENT (the “Agreement”), dated as of June 2, 2020 (the “Execution Date”),
is entered into by and between KANNALIFE, INC., a Delaware corporation, with headquarters located at 3805 Old Easton Road, Doylestown,
PA 18902 (the “Company”), and _____________________, with its address
at ______________________ (the “Investor”).

RECITALS

A.               
Pursuant to the securities purchase agreement entered into by and between the Company and the Investor of this even date (the
“Securities Purchase Agreement”), the Company has agreed to issue and sell to the Investor, the 12% convertible
note in the aggregate principal amount of US$165,000.00 (the “Note”), which is convertible into an indeterminate
number of shares of the Company’s common stock (collectively the “Common Stock”);

B.                
As an inducement to the Investor to execute and deliver the Securities Purchase Agreement, the Company has agreed to provide certain
registration rights under the Securities Act of 1933, as amended, and the rules and regulations thereunder, or any similar successor
statute (collectively, the “1933 Act”), and applicable state securities laws, with respect to the shares of
Common Stock issuable pursuant to the conversion of the Note.

C.                
NOW THEREFORE, in consideration of the foregoing promises and the mutual covenants contained hereinafter and other good
and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Company and the Investor hereby
agree as follows:

    	 	3	 

     

    

SECTION
1 DEFINITIONS

1.1
As used in this Agreement, the following terms shall have the following meanings:

“Execution
Date” shall have the meaning set forth in the preambles.

“Investor”
shall have the meaning set forth in the preambles.

“Person”
means a corporation, a limited liability company, an association, a partnership, an organization, a business, an individual, a
governmental or political subdivision thereof or a governmental agency.

“Potential
Material Event” means any of the following: (i) the possession by the Company of material information not ripe for disclosure
in the Registration Statement, which shall be evidenced by determinations in good faith by the Board of Directors of the Company
that disclosure of such information in the Registration Statement would be detrimental to the business and affairs of the Company,
or (ii) any material engagement or activity by the Company which would, in the good faith determination of the Board of Directors
of the Company, be adversely affected by disclosure in the Registration Statement at such time, which determination shall be accompanied
by a good faith determination by the Board of Directors of the Company that the Registration Statement would be materially misleading
absent the inclusion of such information.

“Register,”
“Registered,” and “Registration” refer to the Registration effected by preparing and filing
one (1) or more Registration Statements in compliance with the 1933 Act and pursuant to Rule 415 under the 1933 Act or any successor
rule providing for offering securities on a continuous basis (“Rule 415”), and the declaration or ordering of effectiveness
of such Registration Statement(s) by the United States Securities and Exchange Commission (the “SEC”).

“Registrable
Securities” means (i) all shares of Common Stock issued or issuable pursuant to the Note, and (ii) any shares of capital
stock issued or issuable with respect to such shares of Common Stock, if any, as a result of any stock split, stock dividend,
recapitalization, exchange or similar event or otherwise, which have not been (x) included in the Registration Statement that
has been declared effective by the SEC, or (y) sold under circumstances meeting all of the applicable conditions of Rule 144 (or
any similar provision then in force) under the 1933 Act.

“Registration
Statement” means the registration statement of the Company filed under the 1933 Act covering the Registrable Securities.

“Transaction
Documents” shall mean this Agreement and the Securities Purchase Agreement between the Company and the Investor as of
the date hereof, and any other agreements between the Company and the Investor executed in conjunction with this transaction

All
capitalized terms used in this Agreement and not otherwise defined herein shall have the same meaning ascribed to them as in the
Securities Purchase Agreement.

    	 	4	 

     

    

 

SECTION
2 REGISTRATION

2.1
In the event that the Company files a Registration Statement or Registration Statements (as is necessary) on Form S-1 (or, if
such form is unavailable for such a registration, on such other form as is available for such registration), at any time on or
after the issuance date of the Note to which this Agreement is an exhibit to (May 4, 2020), then such Registration Statement shall
cover the resale by the Investor of all Registrable Securities (the “Registration Amount”), and such Registration
Statement(s) shall state that, in accordance with Rule 416 promulgated under the 1933 Act, that such Registration Statement also
covers such indeterminate number of additional shares of Common Stock as may become issuable upon stock splits, stock dividends
or similar transactions..

2.2
Notwithstanding the registration obligations set forth in this Section 2.1, if the staff of the SEC (the “Staff”)
or the SEC informs the Company that all of the unregistered Registrable Securities cannot, as a result of the application of Rule
415, be registered for resale as a secondary offering on a single Registration Statement, the Company agrees to promptly (i) inform
Investor of such fact and use its commercially reasonable efforts to file amendments to the Registration Statement as required
by the SEC and/or (ii) withdraw the Registration Statement and file a new registration statement (the “New Registration
Statement”), in either case covering the maximum number of Registrable Securities permitted to be registered by the
SEC, on Form S-1 to register for resale the Registrable Securities as a secondary offering. If the Company amends the Registration
Statement or files a New Registration Statement, as the case may be, under clauses (i) or (ii) above, the Company will use its
commercially reasonable efforts to file with the SEC, as promptly as allowed by the Staff or SEC, one or more registration statements
on Form S-1 to register for resale those Registrable Securities that were not registered for resale on the Registration Statement,
as amended, or the New Registration Statement (each, an “Additional Registration Statement”). Additionally,
the Company shall have the ability to file one or more New Registration Statements to cover the Registrable Securities once the
shares under the initial Registration Statement referenced in Section 2.1 have been sold.

    	 	5	 

     

    

 

SECTION
3 RELATED OBLIGATIONS

If
the Company decides to file the Registration Statement with the SEC pursuant to Section 2, the Company will affect the registration
of the Registrable Securities in accordance with the intended method of disposition thereof and, with respect thereto, the Company
shall have the following obligations:

3.1
The Company shall use all commercially reasonable efforts to cause such Registration Statement relating to the Registrable Securities
to become effective and shall keep such Registration Statement effective until the earlier to occur of the date on which (A) the
Investor shall have sold all the Registrable Securities; or (B) the Investor has no right to acquire any additional shares of
Common Stock under the Securities Purchase Agreement (the “Registration Period”). The Registration Statement
(including any amendments or supplements thereto and prospectuses contained therein) shall not contain any untrue statement of
a material fact or omit to state a material fact required to be stated therein, or necessary to make the statements therein, in
light of the circumstances in which they were made, not misleading. The Company shall use all commercially reasonable efforts
to respond to all SEC comments within ten (10) business days from receipt of such comments by the Company. The Company shall use
all commercially reasonable efforts to cause the Registration Statement relating to the Registrable Securities to become effective
no later than two (2) business days after notice from the SEC that the Registration Statement may be declared effective. The Investor
agrees to provide all information which is required by law to provide to the Company, including the intended method of disposition
of the Registrable Securities, and the Company’s obligations set forth above shall be conditioned on the receipt of such
information.

3.2
The Company shall prepare and file with the SEC such amendments (including post-effective amendments) and supplements to the Registration
Statement and the prospectus used in connection with such Registration Statement, which prospectus is to be filed pursuant to
Rule 424 promulgated under the 1933 Act, as may be necessary to keep such Registration Statement effective during the Registration
Period, and, during such period, comply with the provisions of the 1933 Act with respect to the disposition of all Registrable
Securities of the Company covered by such Registration Statement until such time as all of such Registrable Securities shall have
been disposed of in accordance with the intended methods of disposition by the Investor thereof as set forth in such Registration
Statement. In the event the number of shares of Common Stock covered by the Registration Statement filed pursuant to this Agreement
is at any time insufficient to cover all of the Registrable Securities, the Company shall amend such Registration Statement, or
file a new Registration Statement (on the short form available therefor, if applicable), or both, so as to cover all of the Registrable
Securities, in each case, as soon as practicable, but in any event within thirty (30) calendar days after the necessity therefor
arises. The Company shall use commercially reasonable efforts to cause such amendment and/or new Registration Statement to become
effective as soon as practicable following the filing thereof.

3.3
The Company shall make available to the Investor whose Registrable Securities are included in any Registration Statement and its
legal counsel without charge (i) promptly after the same is prepared and filed with the SEC at least one (1) copy of such Registration
Statement and any amendment(s) thereto, including financial statements and schedules, all documents incorporated therein by reference
and all exhibits, the prospectus included in such Registration Statement (including each preliminary prospectus) and, with regards
to such Registration

Statement(s),
any correspondence by or on behalf of the Company to the SEC or the staff of the SEC and any correspondence from the SEC or the
staff of the SEC to the Company or its representatives; (ii) upon the effectiveness of any Registration Statement, the Company
shall make available copies of the prospectus, via EDGAR, included in such Registration Statement and all amendments and supplements
thereto; and (iii) such other documents, including copies of any preliminary or final prospectus, as the Investor may reasonably
request from time to time to facilitate the disposition of the Registrable Securities.

3.4
The Company shall use commercially reasonable efforts to (i) register and qualify the Registrable Securities covered by the Registration
Statement under such other securities or “blue sky” laws of such states in the United States as the Investor reasonably
requests; (ii) prepare and file in those jurisdictions, such amendments (including post-effective amendments) and supplements
to such registrations and qualifications as may be necessary to maintain the effectiveness thereof during the Registration Period;
(iii) take such other actions as may be necessary to maintain such registrations and qualifications in effect at all times during
the Registration Period, and (iv) take all other actions reasonably necessary or advisable to qualify the Registrable Securities
for sale in such jurisdictions; provided, however, that the Company shall not be required in connection therewith or as a condition
thereto to (A) qualify to do business in any jurisdiction where it would not otherwise be required to qualify but for this Section
3.4, or (B) subject itself to general taxation in any such jurisdiction. The Company shall promptly notify the Investor who holds
Registrable Securities of the receipt by the Company of any notification with respect to the suspension of the registration or
qualification of any of the Registrable Securities for sale under the securities or “blue sky” laws of any jurisdiction
in the United States or its receipt of actual notice of the initiation or threatening of any proceeding for such purpose.

3.5
As promptly as practicable after becoming aware of such event, the Company shall notify Investor in writing of the happening of
any event as a result of which the prospectus included in the Registration Statement, as then in effect, includes an untrue statement
of a material fact or omission to state a material fact required to be stated therein or necessary to make the statements therein,
in light of the circumstances under which they were made, not misleading (“Registration Default”) and use all
diligent efforts to promptly prepare a supplement or amendment to such Registration Statement and take any other necessary steps
to cure the Registration Default (which, if such Registration Statement is on Form S-3, may consist of a document to be filed
by the Company with the SEC pursuant to Section 13(a), 13(c), 14 or 15(d) of the 1934 Act (as defined below) and to be incorporated
by reference in the prospectus) to correct such untrue statement or omission, and make available copies of such supplement or
amendment to the Investor. The Company shall also promptly notify the Investor (i) when a prospectus or any prospectus supplement
or post-effective amendment has been filed, and when the Registration Statement or any post-effective amendment has become effective
(the Company will prepare notification of such effectiveness which shall be delivered to the Investor on the same day of such
effectiveness and by overnight mail), additionally, the Company will promptly provide to the Investor, a copy of the effectiveness
order prepared by the SEC once it is received by the Company; (ii) of any request by the SEC for amendments or supplements to
the Registration Statement or related prospectus or related information, (iii) of the Company’s reasonable determination
that a post-effective amendment to the Registration Statement would be appropriate, (iv) in the event the Registration Statement
is no longer effective, or (v) if the Registration Statement is stale as a result of the Company’s failure to timely file
its financials or otherwise

3.6
The Company shall use all commercially reasonable efforts to prevent the issuance of any stop order or other suspension of effectiveness
of the Registration Statement, or the suspension of the qualification of any of the Registrable Securities for sale in any jurisdiction
and, if such an order or suspension is issued, to obtain the withdrawal of such order or suspension at the earliest possible moment
and to notify the Investor holding Registrable Securities being sold of the issuance of such order and the resolution thereof
or its receipt of actual notice of the initiation or threat of any proceeding concerning
the effectiveness of the registration statement.

3.7
The Company shall permit the Investor and one (1) legal counsel, designated by the Investor, to review and comment upon the Registration
Statement and all amendments and supplements thereto at the request of the Investor. However, any postponement of a filing of
a Registration Statement or any postponement of a request for acceleration or any postponement of the effective date or effectiveness
of a Registration Statement by written request of the Investor (collectively, the “Investor’s Delay”)
shall not act to trigger any penalty of any kind, or any cash amount due or any in-kind amount due the Investor from the Company
under any and all agreements of any nature or kind between the Company and the Investor. The event(s) of an Investor’s Delay
shall act to suspend all obligations of any kind or nature of the Company under any and all agreements of any nature or kind between
the Company and the Investor.

3.8
At the request of the Investor, the Company’s counsel shall furnish to the Investor an opinion letter confirming the effectiveness
of the registration statement and the free trading status of the Registrable Securities. Such opinion letter shall be issued as
of the date of the effectiveness of the registration statement and be in a form reasonably acceptable to the Investor, Company’s
transfer agent, and Investor’s broker(s).

3.9
The Company shall hold in confidence and not make any disclosure of information concerning the Investor unless (i) disclosure
of such information is necessary to comply with federal or state securities laws, (ii) the disclosure of such information is necessary
to avoid or correct a misstatement or omission in any Registration Statement, (iii) the release of such information is ordered
pursuant to a subpoena or other final, non-appealable order from a court or governmental body of competent jurisdiction, or (iv)
such information has been made generally available to the public other than by disclosure in violation of this Agreement or any
other agreement. The Company agrees that it shall, upon learning that disclosure of such information concerning the Investor is
sought in or by a court or governmental body of competent jurisdiction or through other means, give prompt written notice to the
Investor and allow the Investor, at the Investor’s expense, to undertake appropriate action to prevent disclosure of, or
to obtain a protective order covering such information.

3.10
The Company shall use all commercially reasonable efforts to maintain designation and quotation of all the Registrable Securities
covered by any Registration Statement on the principal market in which the Company’s common stock is then traded. If, despite
the Company’s commercially reasonable efforts, the Company is unsuccessful in satisfying the preceding sentence, it shall
use commercially reasonable efforts to cause all the Registrable Securities covered by any Registration Statement to be listed
on each other national securities exchange and automated quotation system, if any, on which securities of the same class or series
issued by the Company are then listed, if any, if the listing of such Registrable Securities is then permitted under the rules
of such exchange or system. The Company shall pay all fees and expenses in connection with satisfying its obligation under this
Section 3.10.

3.11
The Company shall cooperate with the Investor to facilitate electronic delivery of the Registrable Securities or if requested
by the Investor, the preparation of certificates to be offered pursuant to the Registration Statement and enable such certificates
to be in such denominations or amounts, as the case may be, as the Investor may reasonably request and after any sales of such
Registrable Securities by the Investor, such certificates not bearing any restrictive legend).

3.12
       The Company shall provide a transfer agent for all the Registrable Securities not later
than the effective date of the first Registration Statement filed pursuant hereto.

3.13
If requested by the Investor, the Company shall (i) as soon as reasonably practical incorporate in a prospectus supplement or
post-effective amendment such information as the Investor reasonably determines should be included therein relating to the sale
and distribution of Registrable Securities, including, without limitation, information with respect to the offering of the Registrable
Securities to be sold in such offering; (ii) make all required filings of such prospectus supplement or post-effective amendment
as soon as reasonably possible after being notified of the matters to be incorporated in such prospectus supplement or post-effective
amendment; and (iii) supplement or make amendments to any Registration Statement if reasonably requested by the Investor.

3.14
The Company shall use all commercially reasonable efforts to cause the Registrable Securities covered by the applicable Registration
Statement to be registered with or approved by such other governmental agencies or authorities as may be necessary to facilitate
the disposition of such Registrable Securities.

3.15
The Company shall otherwise use all commercially reasonable efforts to comply with all applicable rules and regulations of the
SEC in connection with any registration hereunder.

3.16
Within two (2) business day after the Registration Statement which includes Registrable Securities is declared effective by the
SEC, the Company shall deliver to the transfer agent for such Registrable Securities, with copies to the Investor, confirmation
that such Registration Statement has been declared effective by the SEC.

3.17
The Company shall take all other reasonable actions necessary to expedite and facilitate disposition by the Investor of Registrable
Securities pursuant to the Registration Statement.

SECTION
4 OBLIGATIONS OF THE INVESTOR

4.1
At least five (5) calendar days prior to the first anticipated filing date of the Registration Statement the Company shall notify
the Investor in writing of the information the Company requires from the Investor for the Registration Statement. It shall be
a condition precedent to the obligations of the Company to complete the registration pursuant to this Agreement with respect to
the Registrable Securities and the Investor agrees to furnish to the Company that information regarding itself, the Registrable
Securities and the intended method of disposition of the Registrable Securities as shall reasonably be required to effect the
registration of such Registrable Securities and the Investor shall execute such documents in connection with such registration
as the Company may reasonably request.

4.2
The Investor, by its acceptance of the Registrable Securities, agrees to cooperate with the Company as reasonably requested by
the Company in connection with the preparation and filing of any Registration Statement hereunder.

4.3
The Investor agrees that, upon receipt of written notice from the Company of the happening of any event of the kind described
in Section 3.6 or the first sentence of 3.5, the Investor will immediately discontinue disposition of Registrable Securities pursuant
to any Registration Statement(s) covering such Registrable Securities until the Investor’s receipt of the copies of the
supplemented or amended prospectus contemplated by Section 3.6 or the first sentence of 3.5.

SECTION
5 EXPENSES OF REGISTRATION

All
legal expenses, other as set forth in the Securities Purchase Agreement, incurred in connection with registrations including comments,
filings or qualifications pursuant to Sections 2 and 3, including, without limitation, all registration, listing and qualifications
fees, and printing fees shall be paid by the Company.

 

SECTION
6 INDEMNIFICATION 

[Intentionally
Omitted] 

    	 	6	 

     

    

SECTION
7 CONTRIBUTION 

[Intentionally
Omitted].

    	 	7	 

     

    

 

SECTION
8

REPORTS
UNDER THE 1934 ACT

8.1
With a view to making available to the Investor the benefits of Rule 144 promulgated under the 1933 Act or any other similar rule
or regulation of the SEC that may at any time permit the Investor to sell securities of the Company to the public without registration
(“Rule 144”), provided that the Investor holds any Registrable Securities are eligible for resale under Rule 144,
the Company agrees to:

(a)
make and keep public information available, as those terms are understooda nd defined in Rule 144;

 

(b)
file with the SEC in a timely manner all reports and other documents required of the Company under the 1933 Act and the 1934 Act
so long as the Company remains subject to such requirements (it being understood that nothing herein shall limit the Company’s
obligations under Section 5(c) of the Securities Purchase Agreement) and the filing of such reports and other documents is required
for the applicable provisions of Rule 144; and

 

(c)
furnish to the Investor, promptly upon request, (i) a written statement byt he Company that it has complied with the reporting
requirements of Rule 144, the 1933 Act and the 1934 Act, (ii) a copy of the most recent annual or quarterly report of the Company
and such other reports and documents so filed by the Company, and (iii) such other information as may be reasonably requested
to permit the Investor to sell such securities pursuant to Rule 144 without registration.

 

SECTION
9 MISCELLANEOUS

9.1
Notices. Any notices or other communications required or permitted to be given under the terms of this Agreement must be
given in accordance with the Securities Purchase Agreement.

9.2
No Waivers. Failure of any party to exercise any right or remedy under this Agreement or otherwise, or delay by a party
in exercising such right or remedy, shall not operate as a waiver thereof.

9.3
No Assignments. The rights and obligations under this Agreement shall not be assignable.

9.4
Entire Agreement/Amendment. This Agreement and the Transaction

Documents
constitute the entire agreement among the parties hereto with respect to the subject matter hereof and thereof. There are no restrictions,
promises, warranties or undertakings, other than those set forth or referred to herein and therein. This Agreement and the Transaction
Documents supersede all prior agreements and understandings among the parties hereto with respect to the subject matter hereof
and thereof. The provisions of this Agreement may be amended only with the written consent of the Company and Investor.

9.5
Headings. The headings in this Agreement are for convenience of reference only and shall not limit or otherwise affect
the meaning hereof. Whenever required by the context of this Agreement, the singular shall include the plural and masculine shall
include the feminine. This Agreement shall not be construed as if it had been prepared by one of the parties, but rather as if
all the parties had prepared the same.

9.6
Counterparts. This Agreement may be executed in any number of counterparts and by the different signatories hereto on separate
counterparts, each of which, when so executed, shall be deemed an original, but all such counterparts shall constitute but one
and the same instrument. This Agreement may be executed by facsimile transmission, PDF, electronic signature or other similar
electronic means with the same force and effect as if such signature page were an original thereof.

9.7
Further assurances. Each party shall do and perform, or cause to be done and performed, all such further acts and things,
and shall execute and deliver all such other agreements, certificates, instruments and documents, as the other party may reasonably
request in order to carry out the intent and accomplish the purposes of this Agreement and the consummation of the transactions
contemplated hereby.

9.8
Severability. In case any provision of this Agreement is held by a court of competent jurisdiction to be excessive in scope
or otherwise invalid or unenforceable, such provision shall be adjusted rather than voided, if possible, so that it is enforceable
to the maximum extent possible, and the validity and enforceability of the remaining provisions of this Agreement will not in
any way be affected or impaired thereby.

9.9
Law governing this agreement. This Agreement shall be governed by and construed in accordance with the laws of the State
of Delaware without regard to principles of conflicts of laws. Any action brought by either party against the other concerning
the transactions contemplated by this Agreement shall be brought only in the state courts located in New York City, New York or
federal courts located in New York City, New York. The parties to this Agreement hereby irrevocably waive any objection to jurisdiction
and venue of any action instituted hereunder and shall not assert any defense based on lack of jurisdiction or venue or based
upon forum non conveniens. The parties executing this Agreement and other agreements referred to herein or delivered
in connection herewith on behalf of the Company agree to submit to the in personam jurisdiction of such courts and hereby irrevocably
waive trial by jury. The prevailing party shall be entitled to recover from the other party its reasonable attorney’s
fees and costs. In the event that any provision of this Agreement or any other agreement delivered in connection herewith is invalid
or unenforceable under any applicable statute or rule of law, then such provision shall be deemed inoperative to the extent that
it may conflict therewith and shall be deemed modified to conform with such statute or rule of law. Any such provision which may
prove invalid or unenforceable under any law shall not affect the validity or enforceability of any other provision of any agreement.
Each party hereby irrevocably waives personal service of process and consents to process being served in any suit, action or proceeding
in connection with this Agreement or any other Transaction Documents by mailing a copy thereof via registered or certified mail
or overnight delivery (with evidence of delivery) to such party at the address in effect for notices to it under this Agreement
and agrees that such service shall constitute good and sufficient service of process and notice thereof. Nothing contained herein
shall be deemed to limit in any way any right to serve process in any other manner permitted by law.

9.10
No third party beneficiaries. This Agreement is intended for the benefit of the parties hereto and is not for the benefit
of, nor may any provision hereof be enforced by, any other person, except that the Company acknowledges that the rights of the
Investor may be enforced by its general partner.

(Signature
page immediately follows)

IN
WITNESS WHEREOF, the parties have caused this Agreement to be duly executed by their respective authorized representatives
as of the Execution Date.

 

KANNALIFE,
INC. 

 

 

By:
  

Name:
Dean Petkanas

Title:
Chief Executive Officer

 

    	 	8

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