Document:

Promissory Note

 Exhibit 10.38 
 THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “ACT”), OR UNDER THE SECURITIES LAWS OF CERTAIN STATES. THESE SECURITIES ARE SUBJECT
TO RESTRICTIONS ON TRANSFERABILITY AND RESALE AND MAY NOT BE TRANSFERRED OR RESOLD EXCEPT AS PERMITTED UNDER THE ACT AND THE APPLICABLE STATE SECURITIES LAWS, PURSUANT TO REGISTRATION OR EXEMPTION THEREFROM. HOLDERS SHOULD BE AWARE THAT THEY MAY BE
REQUIRED TO BEAR THE FINANCIAL RISKS OF THIS INVESTMENT FOR AN INDEFINITE PERIOD OF TIME. THE ISSUER OF THESE SECURITIES MAY REQUIRE AN OPINION OF COUNSEL IN FORM AND SUBSTANCE REASONABLY SATISFACTORY TO THE ISSUER TO THE EFFECT THAT ANY PROPOSED
TRANSFER OR RESALE IS IN COMPLIANCE WITH THE ACT AND ANY APPLICABLE STATE SECURITIES LAWS. 
 PROMISSORY NOTE

  

			
	$500,000.00	  	March 9, 2010
		  	Fort Lauderdale, Florida

 FOR
VALUE RECEIVED, the undersigned EDIETS.COM, INC. (hereinafter referred to as “Maker”), promises to pay to the order of KEVIN A. RICHARDSON, II (hereinafter referred to as “Payee”; Payee and any subsequent holder(s) hereof being
hereinafter referred to collectively as “Holder”), at the office of Payee at Boston, Massachusetts or at such other place as Holder may designate to Maker in writing from time to time, the principal sum of FIVE HUNDRED THOUSAND DOLLARS
($500,000.00), together with interest on so much thereof as is from time to time outstanding and unpaid, at the rate hereinafter set forth, in lawful money of the United States of America, such principal and interest to be paid in the following
manner: 
 The entire outstanding principal balance of this Promissory Note, together with all accrued and unpaid interest and
charges thereon, shall be due and payable on April 1, 2011. 
 It is hereby expressly agreed that unless and until there is
a default hereunder interest shall accrue on the unpaid principal balance at the simple rate equal to five percent (5%) per annum calculated on the actual number of days elapsed in a 365 day year. In the event the principal is not paid in full
within three business days of the due date stipulated above, or any other default occurs hereunder, then, from and after such date and until payment in full of the amount due hereunder, interest shall accrue on the outstanding principal balance of
this Promissory Note at the simple rate equal to ten percent per annum (10%). Time is of the essence of this Promissory Note. Maker agrees to pay all costs and expenses of collection of the indebtedness evidenced by this Note including 15% of the
amount of principal and interest involved as attorneys’ fees (if collected by or through an attorney) in connection with such collection. 

 Presentment for payment, demand, protest and notice of demand, dishonor, protest and
non-payment and all other notices are hereby waived by Maker. No acceptance of a partial installment, late payment or indulgences granted from time to time shall be construed (i) as a novation of this Promissory Note or as a reinstatement of
the indebtedness evidenced hereby or as a waiver of the right of Holder thereafter to insist upon strict compliance with the terms of this Promissory Note, or (ii) to prevent the exercise of any right granted hereunder or by the laws of the
State of Florida; and Maker hereby expressly waives the benefit of any statute or rule of law or equity now provided, or which may hereafter be provided, which would produce a result contrary to or in conflict with the foregoing. No extension of the
time for the payment of this Promissory Note or any installment due hereunder, made by agreement with any person now or hereafter liable for the payment of this Promissory Note, shall operate to release, discharge, modify, change or affect the
original liability of Maker under this Promissory Note, either in whole or in part, unless Holder agrees otherwise in writing. This Promissory Note may not be changed orally, but only by an agreement in writing signed by the party against whom
enforcement of any waiver, change, modification or discharge is sought. 
 This Promissory Note is intended as a contract under
and shall be construed and enforced in accordance with the laws of the State of Florida. The undersigned hereby certifies that this Promissory Note has been executed by Maker and delivered to Payee in the State of Florida. 
 If from any circumstances whatsoever, fulfillment of any provision of this Promissory Note or of any other instrument evidencing or securing
the indebtedness evidenced hereby, at the time performance of such provision shall be due, shall involve transcending the limit of validity presently prescribed by any applicable usury statute or any other applicable law, with regard to obligations
of like character and amount, then, the obligation to be fulfilled shall be reduced to the limit of such validity, so that in no event shall any action be possible under this Promissory Note or under any other instrument evidencing or securing the
indebtedness evidenced hereby, that is in excess of the current limit of such validity, but such obligation shall be fulfilled to the limit of such validity. 
 As used herein, the terms “Maker” and “Holder” shall be deemed to include their respective heirs, successors, legal representatives and assigns, whether by voluntary action of the
parties or by operation of law. 
 IN WITNESS WHEREOF, Maker has executed this Promissory Note as of the date first above
written. 
  

									
		 		 	Maker:
			
		 		 	EDIETS.COM, INC.
				
	 /s/ Thomas Hoyer
	 		 	By:	 	 /s/ Kevin N. McGrath

	Witness	 		 		 	Title:	 	President
				
		 		 	Address:	 	1000 Corporate Drive
		 		 		 		 	Suite 600
		 		 		 		 	Fort Lauderdale, FL 33334Waiver Letter No. 4

 Exhibit 10.39 
 WAIVER LETTER NO. 4 
 Dated as of
March 9, 2010 
  

			
	To	 	 Prides Capital Fund I, L.P., LLC
 as purchaser (the “Purchaser”)
 under the Note and Warrant Purchase
 Agreements referred to below

 Ladies and Gentlemen: 
 We refer to the following agreements: (i) the Note and Warrant Purchase Agreement dated as
of August 31, 2007 between eDiets.com, Inc. (the “Company”) and the Purchaser (the “August 2007 Note and Warrant Purchase Agreement”); and (ii) the Note and Warrant Purchase Agreement dated as of
May 30, 2008 between the Company and the Purchaser (the “May 2008 Note and Warrant Purchase Agreement” and together with the August 2007 Note and Warrant Purchase Agreement, the “Note and Warrant Purchase
Agreements”). Capitalized terms not otherwise defined in this Waiver Letter No. 4 have the same meanings as specified in the May 2008 Note and Warrant Purchase Agreement. 
 Section 4 of the Note and Warrant Purchase Agreements provide in part that, except as otherwise consented to or waived by the Majority
Holders, the Company will not (and will not permit any of its Subsidiaries to), for so long as any amount due under any Note is outstanding: 
 4.2 Enter into any transaction with any person or entity that is affiliated with, controls or is controlled by, the Company, except for transactions in the ordinary course of business and on terms not
less favorable to the Company than it would obtain in a transaction between unrelated parties. 
 ... 
 4.7 Create, incur, assume or suffer to exist any indebtedness, including without limitation, through any sale-leaseback or similar
transaction or any guarantees of indebtedness of other Persons, except for indebtedness incurred (a) pursuant to the Notes, (b) pursuant to the contract dated June 21, 2007 with California First Leasing Corporation, (c) pursuant
to capital leases; provided that the aggregate principal component of such leases does not exceed $2,000,000 and (d) indebtedness in an aggregate principal amount not in excess of $250,000 incurred in the ordinary course of business.

 The Company intends to enter into a financing transaction (the “Transaction”) pursuant to which it will borrow the
sum of $500,000 from Kevin A. Richardson, II, and will issue a promissory note in substantially the form attached hereto as Exhibit A. In order to carry out the Transaction, the Company hereby requests that the Purchaser waive the application of
Sections 4.2 and 4.7 of the Note and Warrant Purchase Agreements only in respect of the Transaction. 
  

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 The Note and Warrant Purchase Agreements, except to the extent of the waiver specifically
provided for herein, are and shall continue to be in full force and effect and are hereby in all respects ratified and confirmed. This Waiver Letter No. 4 shall be effective to implement the waiver described herein. The execution, delivery and
effectiveness of this Waiver Letter No. 3 shall not, except as expressly provided herein, operate as a waiver or amendment of any right, power or remedy of the Purchaser under the Note and Warrant Purchase Agreements, nor constitute a waiver or
amendment of any other provision of the Note and Warrant Purchase Agreements. 
 To acknowledge your waiver of the
above-described provisions of the Note and Warrant Purchase Agreements in connection with the Transaction, please countersign this letter in the space provided below and return a counterpart of this Waiver Letter No. 4 to Andrew Kingston,
General Counsel, eDiets.com, Inc., 1000 Corporate Drive, Suite 600, Fort Lauderdale FL 33334, fax: (954) 333-3715, email: akingston@ediets.com. 
 This Waiver Letter No. 4 may be executed in any number of counterparts and by the parties hereto in separate counterparts, each of which when so executed shall be deemed to be an original and all of
which taken together shall constitute one and the same agreement. Delivery of an executed counterpart of a signature page to this Waiver Letter No. 4 by facsimile or electronic copy (“pdf”) shall be effective as delivery of a manually
executed counterpart of this Waiver Letter No. 4. After execution by both the Purchaser and the Company, this Waiver Letter No. 4 shall become effective as of the date first above written. 
 This Waiver Letter No. 4 shall be governed by, and construed and enforced in accordance with, the laws of the State of New York.

  

			
	Very truly yours,
	
	eDIETS.COM, INC.
		
	By	 	 /s/ Thomas Hoyer

	Name:	 	Thomas Hoyer
	Title:	 	Chief Financial Officer

 Agreed as of the date first
above written: 
  

			
	PRIDES CAPITAL FUND I, L.P.,
	as Purchaser and as Majority Holder

  

			
	By:	 	Prides Capital Partners, LLC, its General Partner
		
	By	 	 /s/ Kevin A. Richardson II

	Name:	 	Kevin A. Richardson II
	Title:	 	Managing Partner

  

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