Document:

Exhibit 10.1

 

SECURITIES PURCHASE AGREEMENT

 

SECURITIES PURCHASE
AGREEMENT (this “Agreement”), dated as of November 16, 2020 by and between Medicine Man Technologies, Inc.
a Nevada corporation (the “Company”), and each of the investors listed on the Schedule of Buyers attached hereto
(each individually a “Buyer” and collectively, the “Buyers”).

 

WHEREAS:

 

A.       The
Company and the Buyers, severally and not jointly, are executing and delivering this Agreement in reliance upon the exemption from
securities registration afforded by Section 4(a)(2) of the Securities Act of 1933, as amended (the “1933 Act”),
and Rule 506(b) of Regulation D (“Regulation D”) as promulgated by the United States Securities and Exchange
Commission (the “SEC”) under the 1933 Act.

 

B.       The
Buyers, severally and not jointly, wish to purchase, and the Company wishes to sell, upon the terms and conditions stated in this
Agreement, an aggregate of 12,400 shares (the “Shares”) of the Company’s Series A preferred stock, par
value $0.001 per share (the “Preferred Stock”), having the rights, preferences and privileges set forth in the
Certificate of Designation, the form of which is attached hereto as Exhibit A (the “Certificate of Designation”),
including the conversion of such Preferred Stock into shares of the Company’s common stock, par value $0.001 per share (“Common
Stock”). Such purchase and sale of Preferred Stock shall take place in a single closing (the “Closing,”),
subject to the terms and conditions of this Agreement.

 

C.       (i)
The Shares and (ii) the shares of Common Stock issued and issuable upon conversion of the Shares in accordance with the terms of
the Certificate of Designation (collectively, the “Underlying Shares”), are collectively referred to herein
as the “Securities.”

 

NOW, THEREFORE,
the Company and the Buyers hereby agree as follows:

 

1.                 
PURCHASE AND SALE OF SHARES.

 

(a)              
Purchase of Shares. Subject to the satisfaction (or waiver) of the conditions set forth in Sections 5
and 6 below at the Closing, the Company shall issue and sell to the Buyers all of the Shares, and each Buyer, severally
and not jointly, agrees to purchase from the Company on the Closing (as defined below), the number of Shares set forth on the signature
page hereto executed by such Buyer on the terms set forth herein.

 

(b)              
Closing. The date of the Closing shall be on such date and time as is mutually agreed to by the Company and the Buyers
after notification of satisfaction (or waiver) of the conditions to the Closing set forth in Sections 5 and 6
below, and the Closing shall be undertaken remotely by electronic transfer of Closing documentation.

 

(c)              
Purchase Price. The purchase price for the Shares to be purchased by the Buyers at the Closing shall be $1,000 per
Share (the “Purchase Price”).

 

(d)              
Form of Payment. On or before the Closing, (i) each Buyer shall pay its aggregate Purchase Price to the Company for
the Shares to be issued and sold to such Buyer at the Closing by wire transfer of immediately available funds in accordance with
the Company’s written wire instructions; and (ii) the Company shall deliver to each Buyer one or more stock certificates,
evidencing the number of Shares such Buyer is purchasing at the Closing, duly executed on behalf of the Company and registered
in the name of such Buyer or its designee.

 

 

 

 

    	 	1	 

     

    

 

 

2.                 
BUYERS’ REPRESENTATIONS AND WARRANTIES. Each Buyer, for itself and for no other Buyer, represents and warrants
to the Company that, as of the date hereof and as of the Closing (unless as of a specific date therein, in which case they shall
be accurate as of such date):

 

(a)              
No Public Sale or Distribution. The Buyer is (i) acquiring the Shares, and (ii) when issued in accordance with
the terms of the Certificate of Designation, will acquire the Underlying Shares, in the ordinary course of its business for its
own account and not with a view towards, or for resale in connection with, the public sale or distribution thereof, except pursuant
to sales registered or exempted under the 1933 Act; provided, however, that by making the representations herein, except as otherwise
set forth herein or the other Transaction Documents (as defined in Section 3(b)), 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. The Buyer does not presently have any
agreement or understanding, directly or indirectly, with any Person to distribute any of the Securities. As used herein, “Person”
means an individual, a limited liability company, a partnership, a joint venture, a corporation, a trust, an unincorporated organization,
any other entity and any governmental entity or any department or agency thereof.

 

(b)              
Buyer Status and Experience. The Buyer is, and on each date on which the Buyer acquires any Underlying Shares it
will be, an “accredited investor” as that term is defined in Rule 501(a) of Regulation D (“Accredited Investor”).
The Buyer, either alone or together with its representatives, has such knowledge, sophistication and experience in business and
financial matters so as to be capable of evaluating the merits and risks of the investment in the Securities, and has so evaluated
the merits and risks of such investment. The Buyer is able to bear the economic risk of an investment in the Securities and, at
the present time, is able to afford a complete loss of such investment.

 

(c)              
Reliance on Exemptions. The Buyer understands that the Securities are being offered and sold to it in reliance on
specific exemptions from the registration requirements of the United States federal and state securities laws and that the Company
is relying in part 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.

 

(d)              
Information. The Buyer and its advisors, if any, have been furnished with a copy of the Company’s Confidential
Private Placement Memorandum, dated November 6, 2020 (the “Confidential PPM”) and all materials relating to
the business, finances and operations of the Company and materials relating to the offer and sale of the Shares that have been
requested by the Buyer. The Buyer and its advisors, if any, have been afforded the opportunity to ask questions of the Company
and receive answers from the Company concerning the terms and conditions of the offering of the Securities, the merits and risks
of investing in the Securities and the business, finances and operations of the Company. Neither such inquiries nor any other due
diligence investigations conducted by the Buyer or its advisors, if any, or its representatives shall modify, amend or affect the
Buyer’s right to rely on the Company’s representations and warranties contained herein. The Buyer understands that
its investment in the Securities involves a high degree of risk, including the risks outlined in the Confidential PPM. The Buyer
has sought such accounting, legal and tax advice as it has considered necessary to make an informed investment decision with respect
to its acquisition of the Securities.

 

(e)              
No Governmental Review. The Buyer understands that no United States federal or state agency or any other
government or governmental agency has passed on or made any recommendation or endorsement of the Securities or the fairness or
suitability of the investment in the Securities nor have such authorities passed upon or endorsed the merits of the offering of
the Securities.

 

 

 

 

    	 	2	 

     

    

 

 

(f)               
Transfer or Resale. The Buyer understands that: (i) the Securities have not been and are not being registered under
the 1933 Act or any state securities laws, and may not be offered for sale, sold, assigned or transferred unless (A) subsequently
registered thereunder, (B) the Buyer shall have delivered to the Company (if requested by the Company) an opinion of counsel, in
a form reasonably acceptable to the Company, to the effect that such Securities to be sold, assigned or transferred may be sold,
assigned or transferred pursuant to an exemption from such registration, or (C) the Buyer provides the Company with reasonable
assurance that such Securities can be sold, assigned or transferred pursuant to Rule 144 or Rule 144A promulgated under the
1933 Act, as amended, (or a successor rule thereto) (collectively, “Rule 144”); (ii) any sale of the Securities
made in reliance on Rule 144 may be made only in accordance with the terms of Rule 144 and further, if Rule 144 is not applicable,
any resale of the 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) except as otherwise provided herein, neither the Company nor
any other Person is under any obligation to register the Securities under the 1933 Act or any state securities laws or to comply
with the terms and conditions of any exemption thereunder. Notwithstanding the foregoing, the Securities may be pledged in connection
with a bona fide margin account with a FINRA registered broker/dealer or other loan or financing arrangement with an Accredited
Investor secured by the Securities and such pledge of Securities shall not be deemed to be a transfer, sale or assignment of the
Securities hereunder, and if the Buyer effects such a pledge of Securities it shall not be required to provide the Company with
any notice thereof or otherwise make any delivery to the Company pursuant to this Agreement or any other Transaction Document,
including, without limitation, this Section 2(f).

 

(g)              
Legends. The Buyer understands that the Securities are “restricted securities” under applicable federal
and state securities laws and that certificates or other instruments representing Securities except as set forth below, shall bear
a restrictive legend in substantially the following form (and a stop-transfer order may be placed against transfer of such stock
certificates):

 

[NEITHER THE ISSUANCE AND SALE OF THE
SECURITIES REPRESENTED BY THIS CERTIFICATE NOR THE SECURITIES INTO WHICH THESE SECURITIES ARE CONVERTIBLE HAVE BEEN] [THE SECURITIES
REPRESENTED BY THIS CERTIFICATE HAVE NOT 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 TO THE HOLDER (IF REQUESTED
BY THE COMPANY), IN A FORM REASONABLY ACCEPTABLE TO THE COMPANY, THAT REGISTRATION IS NOT REQUIRED UNDER SAID ACT OR (II) UNLESS
SOLD OR ELIGIBLE TO BE SOLD PURSUANT TO RULE 144 OR RULE 144A UNDER SAID ACT. NOTWITHSTANDING THE FOREGOING, THE SECURITIES MAY
BE PLEDGED IN CONNECTION WITH A BONA FIDE MARGIN ACCOUNT WITH A FINRA REGISTERED BROKER/DEALER OR OTHER LOAN OR FINANCING ARRANGEMENT
SECURED BY THE SECURITIES.

 

 

 

 

    	 	3	 

     

    

 

 

No later than two days on which the principal
Trading Market (as defined below) is open (“Trading Days”) following the delivery by the Buyer to the Company
or its transfer agent of a certificate representing Securities issued with a restrictive legend (such date, the “Legend
Removal Date”), such legend shall be removed and the Company shall issue a certificate without such legend to the Buyer
or issue to the Buyer such Securities by electronic delivery at the applicable balance account at The Depository Trust Company
(“DTC”), if such Securities are DTC-eligible at such time, if (i) such Securities are registered for resale
under the 1933 Act and the holder has provided the Company with such documents as are reasonably required by the Company in connection
with the removal of the legend, including but not limited to the Buyer’s representation letter indicating an intent to sell,
(ii) in connection with a sale, assignment or other transfer, such holder provides the Company with an opinion of counsel, in a
generally acceptable form, to the effect that such sale, assignment or transfer of the Securities may be made without registration
under the applicable requirements of the 1933 Act, (iii) the Securities can be sold, assigned or transferred pursuant to Rule 144
without restriction or limitation, including without the requirement to be in compliance with Rule 144(c)(1), or Rule 144A, or
(iv) if such legend is not required under applicable requirements of the 1933 Act (including, without limitation, controlling judicial
interpretations and pronouncements issued by the SEC). The Company shall be responsible for the fees of its transfer agent and
all DTC fees associated with such issuance. If the Company shall fail for any reason or for no reason to issue to such Buyer,
a certificate without such legend to such holder or to issue to such Buyer such Securities by electronic delivery at the applicable
balance account at DTC, if such Securities are DTC-eligible at such time, on or before the applicable Legend Removal Date, and
if after such Legend Removal Date such Buyer purchases (in an open market transaction or otherwise) Securities to deliver in satisfaction
of a sale by such Buyer of all or any portion of the Securities that the holder anticipated receiving without legend from the Company,
then the Company shall, within five Trading Days after such Buyer’s request and in such Buyer’s discretion, either
(i) pay cash to such Buyer in an amount equal to such Buyer’s total purchase price (including brokerage commissions, if any)
for the Securities so purchased (the “Buy-In Price”), at which point the Company’s obligation to deliver
such unlegended Securities shall terminate, or (ii) promptly honor its obligation to deliver to such Buyer such unlegended Securities
as provided above and pay cash to such Buyer in an amount equal to the excess (if any) of the Buy-In Price over the product of
(A) such number Securities, times (B) any trading price of the Securities selected by such Buyer in writing as in effect at any
time during the period beginning on the applicable Legend Removal Date and the date the Company makes the applicable cash payment.
The Company shall be responsible for the fees of its transfer agent and all DTC fees associated with such issuance. The Company
shall issue irrevocable instructions to its transfer agent, and any subsequent transfer agent, in a form mutually acceptable to
the Company and each Buyer (the “Irrevocable Transfer Agent Instructions”). The Company represents and warrants that
no (x) instruction other than the Irrevocable Transfer Agent Instructions referred to in this Section 2(g) and (y) instructions
that are contradictory therewith, in each case, will be given by the Company to its transfer agent in connection with this Agreement,
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 other Transaction Documents and applicable law. The Company acknowledges that a breach by it of its obligations
under this Section 2(g) will cause irreparable harm to the Buyer. Accordingly, the Company acknowledges that the remedy
at law for a breach of its obligations under this Section 2(g) will be inadequate and agrees, in the event of a breach or
threatened breach by the Company of the provisions of this Section 2(g), that the Buyer shall be entitled, in addition to
all other available remedies, to an order and/or injunction restraining any breach and requiring immediate issuance and transfer,
without the necessity of showing economic loss and without any bond or other security being required.

 

(h)              
Validity; Enforcement. The Buyer is either an individual or an entity duly incorporated or formed, validly existing
and in good standing under the laws of the jurisdiction of its incorporation or formation with full right, corporate, partnership,
limited liability company or similar power and authority to enter into and to consummate the transactions contemplated by the Transaction
Documents and otherwise to carry out its obligations hereunder and thereunder. This Agreement and each other Transaction Document
have been duly and validly authorized, executed and delivered on behalf of the Buyer and constitutes the legal, valid and binding
obligations of the Buyer enforceable against the Buyer in accordance with their respective terms, except as such enforceability
may be limited by general principles of equity or to applicable bankruptcy, insolvency, reorganization, moratorium, liquidation
and other similar laws relating to, or affecting generally, the enforcement of applicable creditors’ rights and remedies.

 

(i)                
No Conflicts. The execution, delivery and performance by the Buyer of this Agreement and each other Transaction
Document and the consummation by the Buyer of the transactions contemplated hereby and thereby will not (i) result in a violation
of the organizational documents of the Buyer or (ii) conflict with, or constitute a default (or an event which with notice or lapse
of time or both would become a default) under, or give to others any rights of termination, amendment, acceleration or cancellation
of, any agreement, indenture or instrument to which the Buyer is a party, or (iii) result in a violation of any law, rule, regulation,
order, judgment or decree (including federal and state securities laws) applicable to the Buyer, except in the case of clauses
(ii) and (iii) above, for such conflicts, defaults, rights or violations which would not, individually or in the aggregate, reasonably
be expected to have a material adverse effect on the ability of the Buyer to perform its obligations hereunder.

 

 

 

 

    	 	4	 

     

    

 

 

(j)                
Residency. The Buyer is a resident of the jurisdiction specified on the Schedule of Buyers attached hereto.

 

(k)              
No Conflicts with Sanctions Laws. Neither the Buyer nor any director, officer, employee, agent, affiliate or
other person associated with or acting on behalf of the Buyer is, or is directly or indirectly owned or controlled by, a Person
that is currently the subject or the target of any sanctions administered or enforced by the U.S. government (including, without
limitation, the Office of Foreign Assets Control of the U.S. Department of the Treasury or the U.S. Departments of State or Commerce
and including, without limitation, the designation as a “Specially Designated National” or on the “Sectoral Sanctions
Identifications List”, collectively “Blocked Persons”), the United Nations Security Council, the European
Union, Her Majesty’s Treasury or any other relevant sanctions authority (collectively, “Sanctions Laws”);
neither the Buyer, nor any director, officer, employee, agent, affiliate or other person associated with or acting on behalf of
the Buyer is located, organized or resident in a country or territory that is the subject or target of a comprehensive embargo
or Sanctions Laws prohibiting trade with the country or territory, including, without limitation, Crimea, Cuba, Iran, North Korea,
Sudan and Syria (each, a “Sanctioned Country”); neither the Buyer nor any director, officer, employee, agent,
affiliate or other person associated with or acting on behalf of the Buyer, acting in any capacity in connection with the operations
of the Buyer, conducts any business with or for the benefit of any Blocked Person or engages in making or receiving any contribution
of funds, goods or services to, from or for the benefit of any Blocked Person, or deals in, or otherwise engages in any transaction
relating to, any property or interests in property blocked or subject to blocking pursuant to any applicable Sanctions Laws. No action
of the Buyer in connection with the execution, delivery and performance of this Agreement and the other Transaction Documents or
the consummation of any other transaction contemplated hereby or by the other Transaction Documents or the fulfillment of the terms
hereof or thereof. For the past five years, the Buyer has not knowingly engaged in and is not now knowingly engaged in any dealings
or transactions with any person that at the time of the dealing or transaction is or was the subject or the target of Sanctions
Laws or with any Sanctioned Country.

 

3.                 
REPRESENTATIONS AND WARRANTIES OF THE COMPANY.

 

The Company represents
and warrants to the Buyers that, as of the date hereof and as of the Closing:

 

(a)              
Organization and Qualification. The Company and each of its “Subsidiaries” (which for purposes
of this Agreement means any entity in which the Company, directly or indirectly, owns any of the capital stock or holds an equity
or similar interest), if any, are entities duly organized and validly existing and in good standing under the laws of the jurisdiction
in which they are formed, and have the requisite power and authorization to own their properties and to carry on their business
as now being conducted and as presently proposed to be conducted. Each of the Company and each of its Subsidiaries is duly qualified
as a foreign entity to do business and is in good standing in every jurisdiction in which its ownership of property or the nature
of the business conducted by it makes such qualification necessary, except to the extent that the failure to be so qualified or
be in good standing would not reasonably be expected to have a Material Adverse Effect. As used in this Agreement, “Material
Adverse Effect” means any fact, occurrence, circumstance, event or change that, individually or in the aggregate, has
had, or would reasonably be expected to have, a material adverse effect on the business, properties, assets, liabilities, operations,
results of operations, or condition (financial or otherwise) of the Company and its Subsidiaries taken as a whole, or on the transactions
contemplated hereby or on the other Transaction Documents or by the agreements and instruments to be entered into in connection
herewith or therewith, or on the authority or ability of the Company to perform any of its obligations under any of the Transaction
Documents, except to the extent related to: (i) a change in general political, economic, or financial market conditions (except
if such conditions have had, or would reasonably be expected to have, a disproportionately adverse effect on the Company and its
Subsidiaries, taken as a whole, relative to other Persons operating in the industries in which the Company or its Subsidiaries
operate generally); (ii) a change that affected the industries in which the Company or its Subsidiaries operate generally (except
if such change has had, or would reasonably be expected to have, a disproportionately adverse effect on the Company or its Subsidiaries,
taken as a whole, relative to other Persons operating in the industries in which the Company or its Subsidiaries operate generally);
(iii) the announcement or pendency of this Agreement and the transactions contemplated hereby; (iv) any changes after the date
of this Agreement in GAAP or Applicable Law or the enforcement, implementation or interpretation thereof (except if such changes
have had, or would reasonably be expected to have, a disproportionately adverse effect on the Company or its Subsidiaries, taken
as a whole, relative to other Persons operating in the industries in which the Company or its Subsidiaries operate generally);
(v) natural disaster, sabotage, acts of terrorism, civil unrest, rioting, looting or war (whether or not declared) or other outbreak
of hostilities or escalation thereof; or (vi) the failure of the Company to meet its financial projections. The Company has no Subsidiaries
except as set forth in Schedule 3(a). The outstanding shares of capital stock of each of the Subsidiaries have been duly
authorized and validly issued, are fully paid and non-assessable and are owned by the Company or another Subsidiary, if any, free
and clear of all liens, preemptive or similar rights, mortgages, defects, claims, pledges, charges, taxes, rights of first refusal,
encumbrances, security interests and other encumbrances (collectively, “Liens”) and equities and claims; and
no options, warrants or other rights to purchase, agreements or other obligations to issue or other rights to convert any obligations
into shares of capital stock or ownership interests in the Subsidiaries are outstanding.

 

 

 

 

    	 	5	 

     

    

 

 

(b)              
Authorization; Enforcement; Validity. The Company has the requisite corporate power and authority to enter into and
perform its obligations under this Agreement and each of the other agreements entered into by the parties hereto in connection
with the transactions contemplated by this Agreement (collectively, the “Transaction Documents”) and to issue
the Shares in accordance with the terms hereof and thereof. The execution and delivery of this Agreement and the other Transaction
Documents by the Company and the consummation by the Company of the transactions contemplated hereby and thereby have been duly
authorized by the Company’s Board of Directors and other than (i) a waiver of certain covenants in the Securities Purchase
Agreement, by and between the Company and Dye Capital Cann Holdings, LLC, dated June 5, 2019, as amended by the Amendment to Securities
Purchase Agreement, by and between the Company and Dye Capital Cann Holdings, LLC, dated July 15, 2019, as further amended by the
Amendment to Securities Purchase Agreement, by and between the Company and Dye Capital Cann Holdings, LLC, dated May 20, 2020 to
the full extent required to give effect to the Proposed Transaction (the “Dye SPA Waiver”), (ii) a Form
D with the SEC and any other filings as may be required by any state securities agencies, and (iii) the 8-K Filing (collectively,
the “Required Filings and Approvals”), no further filing, consent or authorization is required by the Company,
its Board of Directors or its stockholders. This Agreement and the other Transaction Documents have been duly executed and delivered
by the Company, and constitute the legal, valid and binding obligations of the Company, enforceable against the Company in accordance
with their respective terms, except as such enforceability may be limited by general principles of equity or applicable bankruptcy,
insolvency, reorganization, moratorium, liquidation or similar laws relating to, or affecting generally, the enforcement of applicable
creditors’ rights and remedies. Except as set forth in Schedule 3(b) there are no stockholder agreements, voting agreements,
or other similar arrangements with respect to the Company’s capital stock to which the Company is a party or, to the actual
knowledge after reasonable inquiry of the Company’s chief executive officer, chief financial officer and general counsel,
but without any obligation to conduct investigation of anyone outside of the Company or its Subsidiaries (collectively, the “Company’s
Knowledge”), between or among any of the Company’s stockholders.

 

(c)              
Issuance of Shares. The issuance of the Shares is duly authorized and, upon issuance in accordance with the terms
of the Transaction Documents, the Shares shall be validly issued and free from all preemptive or similar rights (except for those
which have been validly waived prior to the date hereof), taxes, liens and charges and other encumbrances with respect to the issue
thereof and the Shares shall be fully paid and nonassessable with the holders being entitled to all rights accorded to a holder
of Preferred Stock. As of the Closing, a number of shares of Common Stock shall have been duly authorized and reserved for issuance
which equals at least the number of shares of Common Stock issuable upon conversion of the Shares. Upon conversion of the Shares
in accordance with the terms of the Certificate of Designation, the Underlying Shares when issued will be validly issued, fully
paid and nonassessable and free from all preemptive or similar rights, taxes, liens, charges and other encumbrances with respect
to the issue thereof, with the holders being entitled to the rights accorded to a holder of Common Stock. Assuming the accuracy
of each of the representations and warranties set forth in Section 2, the offer and issuance by the Company of the
Shares is exempt from registration under the 1933 Act.

 

(d)              
No Conflicts. The execution, delivery and performance of the Transaction Documents by the Company and the consummation
by the Company of the transactions contemplated hereby and thereby (including, without limitation, the issuance of the Shares and
the reservation for issuance and issuance of Underlying Shares) will not (i) result in a violation of the Articles of Incorporation
(as defined below) or Bylaws (as defined below) or other organizational documents of the Company or any of its Subsidiaries, any
capital stock of the Company or any of its Subsidiaries or bylaws of the Company or any of its Subsidiaries or (ii) except as set
forth in Schedule 3(d), conflict with, or constitute a default (or an event which with notice or lapse of time or both would
become a default) in any respect under, or 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, other than conflicts or defaults
that would not reasonably be expected to have a Material Adverse Effect, or (iii) result in a violation of any law, rule, regulation,
order, judgment or decree (including foreign, federal and state securities laws and regulations and the rules and regulations of
the OTCQX market (the “Principal Market”) and including all applicable foreign, federal, state laws, rules and
regulations) 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, assuming, with respect to subsections (ii) and (iii), the making and receipt of the Required
Filings and Approvals, other than violations that would not reasonably be expected to have a Material Adverse Effect.

 

 

 

 

    	 	6	 

     

    

 

 

(e)              
Consents. Other than the Required Filings and Approvals, the Company is not required to obtain any consent from,
authorization or order of, or make any filing or registration with, any court, governmental agency or any regulatory or self-regulatory
agency or any other Person in order for it to execute, deliver or perform any of its obligations under or contemplated by the Transaction
Documents, in each case, in accordance with the terms hereof or thereof. Other than the Required Filings and Approvals, 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 Closing (or in the case of filings detailed above, will be made timely after the Closing),
and the Company is unaware of any facts or circumstances which might prevent the Company from obtaining or effecting any of the
registration, application or filings contemplated by the Transaction Documents. Except as set forth in Schedule 3(e), the
Company is not in violation of the listing requirements of the Principal Market and has no knowledge of any facts or circumstances
which would reasonably lead to the suspension of quotation of the Common Stock on the Principal Market in the foreseeable future.
The issuance by the Company of the Shares shall not have the effect of suspending of quotation of the Common Stock on the Principal
Market.

 

(f)               
Acknowledgment Regarding Buyers’ Purchase of Shares. The Company acknowledges and agrees that each Buyer is
acting solely in the capacity of an arm’s length purchaser with respect to the Transaction Documents and the transactions
contemplated hereby and thereby and that, except as set forth in Schedule 3(f), each Buyer is not (i) an officer or director
of the Company or any of its Subsidiaries, (ii) an “affiliate” of the Company or any of its Subsidiaries (as defined
in Rule 144), if any, or (iii) to the Company’s Knowledge, a “beneficial owner” of more than 10% of the Common
Stock (as defined for purposes of Rule 13d-3 of the Securities Exchange Act of 1934, as amended (the “1934 Act”)).
The Company further acknowledges that each Buyer is not acting as a financial advisor or fiduciary of the Company or any of its
Subsidiaries (or in any similar capacity), if any, with respect to the Transaction Documents and the transactions contemplated
hereby and thereby, and any advice given by the Buyers or any of its representatives or agents in connection with the Transaction
Documents and the transactions contemplated hereby and thereby is merely incidental to the Buyers’ purchase of the Shares.
The Company further represents to the Buyers that the Company’s decision to enter into the Transaction Documents has been
based solely on the independent evaluation by the Company and its representatives.

 

(g)              
No General Solicitation; Placement Agent Fees. Neither the Company, nor any of its Subsidiaries or affiliates,
nor any Person acting on its or their behalf, has engaged in any form of general solicitation or general advertising (within the
meaning of Regulation D) in connection with the offer or sale of the Shares. The Company shall be responsible for the payment of
any placement agent fees, financial advisory fees, or brokers’ commissions (other than for Persons engaged by any Buyer or
any Buyer’s investment advisor) relating to or arising out of the transactions contemplated hereby, in connection with the
sale of the Shares. The Company shall pay, and hold the Buyers harmless against, any liability, loss or expense (including, without
limitation, reasonable attorney’s fees and out-of-pocket expenses) arising in connection with any such claim.

 

(h)              
No Integrated Offering. None of the Company, its Subsidiaries or any of their affiliates, nor any Person acting
on their behalf has, directly or indirectly, made any offers or sales of any security or solicited any offers to buy any security,
under circumstances that would require registration of the issuance of any of the Shares under the 1933 Act, whether through integration
with prior offerings or otherwise. None of the Company, its Subsidiaries, any of their affiliates nor any Person acting on their
behalf will take any action or steps that would require registration of the issuance of any of the Securities under the 1933 Act.

 

(i)                
Application of Takeover Protections; Rights Agreement. The Company and its Board of Directors have taken all necessary
action, if any, in order to render inapplicable any control share acquisition, interested stockholder, business combination, poison
pill (including, without limitation, any distribution under a rights agreement) or other similar anti-takeover provision under
the Articles of Incorporation, Bylaws or other organizational documents or the laws of the jurisdiction of its formation which
is or could become applicable to the Buyers as a result of the transactions contemplated by this Agreement, including, without
limitation, the Company’s issuance of the Securities and the Buyers’ ownership of the Securities. The Company and its
Board of Directors have taken all necessary action, if any, in order to render inapplicable any stockholder rights plan or similar
arrangement relating to accumulations of beneficial ownership of Preferred Stock or a change in control of the Company or any of
its Subsidiaries.

 

 

 

 

    	 	7	 

     

    

 

 

(j)                
SEC Documents; Financial Statements. Except as disclosed in Schedule 3(j), during the two years prior
to the date hereof, 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 1934 Act (all of the foregoing filed prior to the date hereof
or prior to the Closing, and all exhibits included therein and financial statements, notes and schedules thereto and documents
incorporated by reference therein being hereinafter referred to as the “SEC Documents”). The Company has delivered
to each Buyer or its representatives, upon request, true, correct and complete copies of the SEC Documents not available on the
EDGAR system. As of their respective filing dates, the SEC Documents complied in all material respects with the requirements of
the 1934 Act applicable to the Company 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 the light of the
circumstances under which they were made, not misleading. As of their respective filing dates, the financial statements of the
Company included in the SEC Documents (the “Financial Statements”) 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 U.S. generally accepted accounting principles (“GAAP”), consistently
applied during the periods involved (except (i) as may be otherwise indicated in such Financial Statements or the notes thereto,
or (ii) in the case of unaudited interim statements, to the extent they may exclude footnotes or may be condensed or summary statements)
and fairly present in all material respects the financial position of the Company and its Subsidiaries, as of the dates thereof
and the results of its operations and cash flows for the periods then ended (subject, in the case of unaudited statements, to normal
year-end audit adjustments which will not be material, either individually or in the aggregate). The Company is not currently contemplating
to amend or restate any of the Financial Statements, nor is the Company currently aware of facts or circumstances which would require
the Company to amend or restate any of the Financial Statements, in each case, in order for any of the Financial Statements to
be in material compliance with GAAP and the rules and regulations of the SEC. The Company has not been informed by its independent
accountants that they recommend that the Company amend or restate any of the Financial Statements or that there is any need for
the Company to amend or restate any of the Financial Statements.

 

(k)              
Absence of Certain Changes. Except as disclosed in Schedule 3(k)(i), since December 31, 2019, there has been
no  Material Adverse Effect. Except as disclosed in Schedule 3(k)(ii), since December 31, 2019, neither the Company nor any
of its Subsidiaries has (i) declared or paid any dividends, (ii) sold any assets, individually or in the aggregate, in excess of
$100,000 outside of the ordinary course of business or (iii) had capital expenditures, individually or in the aggregate, in excess
of $100,000. Neither the Company nor any of its Subsidiaries has taken any steps to seek protection pursuant to any law or statute
relating to bankruptcy, insolvency, reorganization, receivership, liquidation or winding up, nor to the Company’s Knowledge
does the Company or any Subsidiary believe that any of their respective creditors intend to initiate involuntary bankruptcy proceedings
or any actual knowledge of any fact which would reasonably lead a creditor to do so. The Company and its Subsidiaries as a whole
are not, as of the date hereof, and after giving effect to the transactions contemplated hereby to occur at the Closing, will not
be Insolvent (as defined below). For purposes of this Section 3(k), “Insolvent” means, with respect
to any Person, (w) the present fair saleable value of such Person’s assets is less than the amount required to pay such Person’s
total Indebtedness (as defined in Section 3(q)), (x) such Person is unable to pay its debts and liabilities, subordinated,
contingent or otherwise, as such debts and liabilities become absolute and matured, (y) such Person intends to incur or believes
that it will incur debts that would be beyond its ability to pay as such debts mature or (z) such Person has unreasonably small
capital with which to conduct the business in which it is engaged as such business is now conducted and is proposed to be conducted.

 

(l)              
No Undisclosed Events, Liabilities, Developments or Circumstances. Since December 31, 2019, no event, liability,
development or circumstance has occurred or exists, or is contemplated to occur with respect to the Company, its Subsidiaries,
or their respective business, properties, prospects, operations or financial condition, that would constitute a Material Adverse
Effect.

 

 

 

 

    	 	8	 

     

    

 

 

(m)             
Conduct of Business; Regulatory Permits. Neither the Company nor any of its Subsidiaries is in violation of any term
of or in default under its Articles of Incorporation, any certificate of designation, preferences or rights of any other outstanding
series of preferred stock of the Company or any of its Subsidiaries or Bylaws or their organizational charter, certificate of formation
or certificate of incorporation or bylaws, respectively. The Company and each of its Subsidiaries have been in material compliance
with all Applicable Laws (as defined below) since the incorporation of the Company and will continue to operate in compliance with
all Applicable Laws. “Applicable Law” means applicable provisions of federal, state or local law (including
common law), statute, rule, regulation, order, permit, judgment, injunction, decree or other decision of any court or other tribunal
or governmental authority legally binding on the Company, its properties, its Subsidiaries, or their properties, including applicable
state or local laws with respect to cannabis, all as may be amended, but excluding the Controlled Substances Act (21 U.S.C. §801,
et. seq.) federal law that prohibits the cultivation, processing, transportation, sale or possession of Cannabis or parts
of Cannabis including particular cannabinoids, the sale or possession of cannabis paraphernalia, or advertising the sale of Cannabis,
products containing Cannabis, or Cannabis paraphernalia. “Cannabis” means a plant in the genus Cannabis
including Cannabis sativa, Cannabis indica, Cannabis ruderalis, and all subspecies, hybrids, or yet to be discovered subspecies
and hybrids, and including the federal law definitions of Marijuana. “Marijuana” means any material, compound,
derivative, mixture, product or preparation that contains any quantity of the substances listed on Schedule 1 of the Controlled
Substances Act or in its implementing regulations, including without limitation 21 C.F.R. § 1308.11, 21 U.S.C. § 802(6)
as “Marihuana” or “Tetrahydrocannabinols,” except Hemp, as defined in 7 U.S.C. § 1639o and except
Cannabis Plant Materials defined in 21 C.F.R. 1308.35 or which contains any of their salts, isomers and salts of isomers, or any
derivative or mixture thereof or any synthetic equivalent or which would be a “controlled substance analogue” manufactured,
formulated, sold, distributed, or marketed with the intent to avoid the provisions of existing drug laws as defined under 21 U.S.C.
§ 813. The Company and each of its Subsidiaries possess all material certificates, authorizations and permits issued by the
appropriate foreign, federal or state regulatory authorities necessary to conduct their respective businesses. All such certificates,
authorizations and permits are valid and in full force and effect. During the period since the Company’s Common Stock was
designated for quotation on the Principal Market, (i) the Common Stock has been designated for quotation on the Principal Market,
(ii) trading in the Common Stock has not been suspended by the SEC or the Principal Market and (iii) the Company has received
no communication, written or oral, from the SEC or the Principal Market regarding the suspension of quotation of the Common
Stock on the Principal Market.

 

(n)              
Sarbanes-Oxley Act. The Company is in compliance with any and all applicable requirements of the Sarbanes-Oxley Act
of 2002, as amended, that are effective as of the date hereof, and any and all applicable rules and regulations promulgated by
the SEC thereunder that are effective as of the date hereof.

 

(o)              
Transactions With Affiliates. Except as set forth in Schedule 3(o), none of the current officers, directors
or employees (including, without limitation, any family member or affiliate thereof) of the Company or any of its Subsidiaries
is presently a party to (or has previously been a party to) any transaction with the Company or any of its Subsidiaries (other
than for ordinary course services as employees, officers or directors), including any contract, agreement or other arrangement
providing for the furnishing of goods or services to or by, providing for rental of real or personal property to or from, or otherwise
requiring payments to or from any such officer, director or employee or, to the Company’s Knowledge, any corporation, partnership,
trust or other Person in which any such officer, director, or employee (or family member or affiliate thereof) has a substantial
interest or is an employee, officer, director, trustee or partner.

 

 

 

 

    	 	9	 

     

    

 

 

(p)              
Equity Capitalization. As of the date hereof, the authorized capital stock of the Company consists of (i) 250,000,000
shares of Common Stock, of which as of the date hereof, ____________ are issued and outstanding, ____________ shares are reserved
for issuance pursuant to the Company’s stock option and purchase plans and ____________ shares are reserved for issuance
pursuant to securities (other than the aforementioned options) exercisable or exchangeable for, or convertible into, Common Stock
and (ii) 10,000,000 shares of preferred stock, par value $0.001 per share, none of which are designated and issued and outstanding.
_______ shares of Common Stock are held in treasury. All of such outstanding shares are duly authorized, validly issued and are
fully paid and nonassessable. ____________ shares of the Company’s issued and outstanding Common Stock on the date hereof
are as of the date hereof owned by Persons who are “affiliates” (as defined in Rule 405 of the 1933 Act) of the Company
or any of its Subsidiaries. (i) Except as disclosed in Schedule 3(p), none of the Company’s or any Subsidiary’s
capital stock is subject to preemptive rights or any other similar rights or any liens or encumbrances suffered or permitted by
the Company or any Subsidiary; (ii) except as disclosed in Schedule 3(p), there are no outstanding options, warrants,
scrip, rights to subscribe to, calls or commitments of any character whatsoever relating to, or securities or rights convertible
into, or exercisable or exchangeable for, any capital stock of the Company or any of its Subsidiaries, or contracts, commitments,
understandings or arrangements by which the Company or any of its Subsidiaries, is or may become bound to issue additional capital
stock of the Company or any of its Subsidiaries, or options, warrants, scrip, rights to subscribe to, calls or commitments of
any character whatsoever relating to, or securities or rights convertible into, or exercisable or exchangeable for, any capital
stock of the Company or any of its Subsidiaries; (iii) except as disclosed in Schedule 3(p), there are no outstanding
debt securities, notes, credit agreements, credit facilities or other agreements, documents or instruments evidencing Indebtedness
of the Company or any of its Subsidiaries, or by which the Company or any of its Subsidiaries, is or may become bound; (iv) except
as disclosed in Schedule 3(p), there are no financing statements securing obligations in any amounts filed in connection
with the Company or any of its Subsidiaries; (v) except as disclosed in Schedule 3(p), there are no agreements or
arrangements (other than as set forth herein) under which the Company or any of its Subsidiaries, is obligated to register the
sale of any of their securities under the 1933 Act; (vi) except as disclosed in Schedule 3(p), there are no outstanding
securities or instruments of the Company or any of its Subsidiaries, which contain any redemption or similar provisions, and there
are no contracts, commitments, understandings or arrangements by which the Company or any of its Subsidiaries is or may become
bound to redeem a security of the Company or any of its Subsidiaries; (vii) except as disclosed in Schedule 3(p), there
are no securities or instruments containing anti-dilution or similar provisions that will be triggered by the issuance of
the Shares; (viii) except as disclosed in Schedule 3(p), neither the Company nor any Subsidiary, if any, has any stock
appreciation rights or “phantom stock” plans or agreements or any similar plan or agreement; and (ix) neither the
Company nor any of its Subsidiaries have any material non-public information, including any material liabilities or obligations,
that are required to be disclosed in the SEC Documents which are not so disclosed in the SEC Documents. True, correct and complete
copies of the Company’s articles of incorporation, as amended and as in effect on the date hereof (the “Articles
of Incorporation”), and the Company’s bylaws, as amended and as in effect on the date hereof (the “Bylaws”),
and the terms of all securities convertible into, or exercisable or exchangeable for, Common Stock and the material rights of
the holders thereof in respect thereto have heretofore been filed as part of the SEC Documents. Except as set forth in Schedule
3(p), each stock option granted by the Company was granted (x) in accordance with the terms of the applicable stock option
plan of the Company and (y) with an exercise price at least equal to the fair market value of the Common Stock on the date such
stock option would be considered granted under GAAP and applicable law. To the Company’s Knowledge, no stock option granted
under the Company’s stock option plan has been backdated. To the Company’s Knowledge, the Company has not granted,
and there is no and has been no policy or practice of the Company to grant, stock options prior to, or otherwise coordinate the
grant of stock options with, the release or other public announcement of material information regarding the Company or its Subsidiaries
or their financial results or prospects.

 

 

 

 

    	 	10	 

     

    

 

 

(q)              
Indebtedness and Other Contracts. Neither the Company nor any of its Subsidiaries, (i) except as disclosed in Schedule
3(q), has any outstanding Indebtedness (as defined below), (ii) except as disclosed in the SEC Documents, is a party to any
material definitive agreement (as defined in Item 1.01(b) of the Current Report on Form 8-K), or (iii) except as disclosed in Schedule
3(q), neither the Company nor such Subsidiary, nor any other party to a material definitive agreement (as defined in Item 1.01(b)
of the Current Report on Form 8-K) is in material violation of any term of, or in default under, such material definitive agreement,
including any material definitive agreement relating to any Indebtedness. For purposes of this Agreement: (x) “Indebtedness”
of any Person means, without duplication (A) all indebtedness for borrowed money, (B) all obligations issued, undertaken or assumed
as the deferred purchase price of property or services (including, without limitation, “capital leases” in accordance
with GAAP, consistently applied during the periods involved) (other than trade payables entered into in the ordinary course of
business consistent with past practice), (C) all reimbursement or payment obligations with respect to letters of credit, surety
bonds and other similar instruments, (D) all obligations evidenced by notes, bonds, debentures or similar instruments, including
obligations so evidenced incurred in connection with the acquisition of property, assets or businesses, (E) all indebtedness created
or arising under any conditional sale or other title retention agreement, or incurred as financing, in either case with respect
to any property or assets acquired with the proceeds of such indebtedness (even though the rights and remedies of the seller or
bank under such agreement in the event of default are limited to repossession or sale of such property), (F) all monetary
obligations under any leasing or similar arrangement which, in connection with GAAP, consistently applied for the periods covered
thereby, is classified as a capital lease, (G) all indebtedness referred to in clauses (A) through (F) above secured by (or
for which the holder of such Indebtedness has an existing right, contingent or otherwise, to be secured by) any mortgage, claim,
lien, tax, right of first refusal, pledge, charge, security interest or other encumbrance upon or in any property or assets (including
accounts and contract rights) owned by any Person, even though the Person which owns such assets or property has not assumed or
become liable for the payment of such indebtedness, and (H) all Contingent Obligations in respect of indebtedness or obligations
of others of the kinds referred to in clauses (A) through (G) above; and (y) “Contingent Obligation” means,
as to any Person, any direct or indirect liability, contingent or otherwise, of that Person with respect to any indebtedness, capital
lease, dividend or other obligation of another Person if the primary purpose or intent of the Person incurring such liability,
or the primary effect thereof, is to provide assurance to the obligee of such liability that such liability will be paid or discharged,
or that any agreements relating thereto will be complied with, or that the holders of such liability will be protected (in whole
or in part) against loss with respect thereto.

 

(r)               
Absence of Litigation. Except as set forth in the SEC Documents, there is no material action, suit, proceeding,
inquiry or investigation before or by the Principal Market, any court, public board, arbitrator, panel, government agency, self-regulatory
organization or body pending or, to the Company’s Knowledge, threatened against or affecting the Company or any of its Subsidiaries,
the Preferred Stock, the consummation of the Proposed Transaction or any of the Company’s or its Subsidiaries’ officers
or directors, whether of a civil or criminal nature or otherwise, in their capacities as such. “Proposed Transaction”
means the acquisition by a wholly owned Subsidiary of the Company of substantially all of the assets of the Star Buds Group on
substantially the terms disclosed by the Company in its 8-K Filings prior to the date hereof. To the Company’s Knowledge,
no director, officer or employee of the Company or any of its Subsidiaries has willfully violated 18 U.S.C. §1519 or engaged
in spoliation in reasonable anticipation of litigation. Without limitation of the foregoing, there has not been, and to the Company’s
Knowledge, there is not pending, contemplated or anticipated, any inquiry or investigation by the SEC involving the Company, any
of its Subsidiaries or any current or former director or officer of the Company or any of its Subsidiaries. The SEC has not issued
any stop order or other order suspending the effectiveness of any registration statement filed by the Company under the 1933 Act
or the 1934 Act. Neither the Company nor any of its Subsidiaries is subject to any order, writ, judgment, injunction, decree, determination
or award of any governmental entity.

 

(s)              
Tax Status. The Company and each of its Subsidiaries (i) has timely made or filed all material foreign, federal and
state income and all other tax returns, reports and declarations required by any jurisdiction to which it is subject, (ii) has
timely 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 (iii) has set aside on its books adequate
reserves for the payment of all unpaid taxes. There are no unpaid taxes in any material amount claimed to be due by the taxing
authority of any jurisdiction, except for those being contested in good faith, and the officers of the Company and its Subsidiaries
know of no basis for any such claim.

 

 

 

 

    	 	11	 

     

    

 

 

(t)              
Internal Accounting and Disclosure Controls. The Company and each of its Subsidiaries, maintain a system of internal
accounting controls sufficient 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 GAAP, consistently applied during the periods involved, and Applicable Law, and to maintain asset and liability
accountability, (iii) access to assets or incurrence of liabilities is permitted only in accordance with management’s general
or specific authorization and (iv) the recorded accountability for assets and liabilities is compared with the existing assets
and liabilities at reasonable intervals and appropriate action is taken with respect to any difference. The Company maintains disclosure
controls and procedures (as such term is defined in Rule 13a-15 under the 1934 Act) that are effective in ensuring that information
required to be disclosed by the Company in the reports that it files or submits under the 1934 Act is recorded, processed, summarized
and reported, within the time periods specified in the rules and forms of the SEC, including, without limitation, controls and
procedures designed to ensure that information required to be disclosed by the Company in the reports that it files or submits
under the 1934 Act is accumulated and communicated to the Company’s management, including its principal executive officer
or officers and its principal financial officer or officers, as appropriate, to allow timely decisions regarding required disclosure.
Except as set forth in Schedule 3(s), during the twelve months prior to the date hereof neither the Company nor any of its
Subsidiaries, has received any written notice or correspondence from any accountant relating to any material weakness in any part
of the system of internal accounting controls of the Company or any of its Subsidiaries.

 

(u)             
Off Balance Sheet Arrangements. There is no transaction, arrangement, or other relationship between the Company
or any of its Subsidiaries and an unconsolidated or other off balance sheet entity that is required to be disclosed by the Company
in its 1934 Act filings and is not so disclosed or that otherwise has had or would be reasonably likely to have a Material Adverse
Effect.

 

(v)              
Investment Company Status. Neither the Company nor any of its Subsidiaries, is, and upon consummation of the sale
of the Shares, and for so long as the Buyers hold any Shares, will not be, an “investment company,” an affiliate of
an “investment company,” a company controlled by an “investment company” or an “affiliated person”
of, or “promoter” or “principal underwriter” for, an “investment company” as such terms are
defined in the Investment Company Act of 1940, as amended.

 

(w)            
Acknowledgement Regarding Buyers’ Trading Activity. The Company acknowledges and agrees that, except as otherwise
set forth herein or in any other Transaction Document, (i) the Buyers have not been asked to agree, nor have the Buyers agreed,
to desist from purchasing or selling, long and/or short, securities of the Company, or “derivative” securities based
on securities issued by the Company or to hold the Securities for any specified term; (ii) the Buyers, and counter-parties
in “derivative” transactions to which any Buyer is a party, directly or indirectly, presently may have a “short”
position in the Common Stock; (iii) the Buyers shall not be deemed to have any affiliation with or control over any arm’s
length counter-party in any “derivative” transaction; and (iv) each Buyer may rely on the Company’s obligation
to timely deliver shares of Common Stock as and when required pursuant to the Transaction Documents for purposes of effecting trading
in the Common Stock of the Company. The Company further understands and acknowledges that (a) the Buyers may engage in hedging
and/or trading activities at various times during the period that the Securities are outstanding, and (b) such hedging and/or trading
activities, if any, can reduce the value of the existing stockholders’ equity interest in the Company both at and after the
time the hedging and/or trading activities are being conducted. The Company acknowledges that such aforementioned hedging and/or
trading activities do not constitute a breach of this Agreement or any of the documents executed in connection herewith.

 

(x)              
Manipulation of Price. The Company has not, and, to the Company’s Knowledge, no one acting on its behalf
has, (i) taken, directly or indirectly, any action designed to cause or to result, or that could reasonably be expected to cause
or result, in the stabilization or manipulation of the price of any security of the Company to facilitate the sale or resale of
any of the Securities, (ii) sold, bid for, purchased, or paid any compensation for soliciting purchases of, any of the Securities
(other than to placement agents), (iii) paid or agreed to pay to any person any compensation for soliciting another to purchase
any other securities of the Company, or (iv) paid or agreed to pay any Person for research services with respect to any securities
of the Company or any of its Subsidiaries.

 

(y)              
Shell Company Status. The Company is not, and has never been, an issuer identified in, or subject to, Rule 144(i)(1)
of the 1933 Act.

 

 

 

 

    	 	12	 

     

    

 

 

(z)              
Compliance with Anti-Money Laundering Laws. Other than as a result of non-compliance with the Controlled Substances
Act (21 U.S.C. §801, et. seq.)that prohibits the cultivation, processing, transportation, sale or possession of Cannabis
or parts of Cannabis including particular cannabinoids, the sale or possession of Cannabis paraphernalia, or advertising the sale
of Cannabis, products containing Cannabis, or Cannabis paraphernalia, the operations of the Company and its Subsidiaries are and
have been conducted at all times in compliance with applicable financial recordkeeping and reporting requirements and all other
applicable U.S. and non-U.S. anti-money laundering laws, rules and regulations, including, but not limited to, those of the Currency
and Foreign Transactions Reporting Act of 1970, as amended, the United States Bank Secrecy Act, as amended by the USA PATRIOT Act
of 2001, and the United States Money Laundering Control Act of 1986 (18 U.S.C. §§1956 and 1957), as amended, as well
as the implementing rules and regulations promulgated thereunder, and the applicable money laundering statutes of all applicable
jurisdictions, the rules and regulations thereunder and any related or similar rules, regulations or guidelines, issued, administered
or enforced by any governmental agency or self-regulatory body (collectively, the “Anti-Money Laundering Laws”),
and no action, suit or proceeding by or before any court or governmental agency, authority or body or any arbitrator involving
the Company or any of its Subsidiaries with respect to the Anti-Money Laundering Laws is pending or, to the Company’s Knowledge,
threatened.

 

(aa)            
Sanctions. Neither the Company nor any of its Subsidiaries, nor any director, officer, employee, agent, affiliate
or other person associated with or acting on behalf of the Company or any of its Subsidiaries or affiliates is, or is directly
or indirectly owned or controlled by, a Person that is currently the subject or the target of any sanctions administered or enforced
by the U.S. government (including, without limitation, the Office of Foreign Assets Control of the U.S. Department of the Treasury
or the U.S. Departments of State or Commerce and including, without limitation, the designation as a “Specially Designated
National” or on the “Sectoral Sanctions Identifications List”, collectively “Blocked Persons”),
the United Nations Security Council, the European Union, Her Majesty’s Treasury or any other relevant sanctions authority
(collectively, “Sanctions Laws”); neither the Company, any of its Subsidiaries, nor any director, officer, employee,
agent, affiliate or other person associated with or acting on behalf of the Company or any of its Subsidiaries or affiliates, is
located, organized or resident in a country or territory that is the subject or target of a comprehensive embargo or Sanctions
Laws prohibiting trade with the country or territory, including, without limitation, Crimea, Cuba, Iran, North Korea, Sudan and
Syria (each, a “Sanctioned Country”); the Company maintains in effect and enforces policies and procedures designed
to ensure compliance by the Company and its Subsidiaries with applicable Sanctions Laws; neither the Company, any of its Subsidiaries,
nor any director, officer, employee, agent, affiliate or other person associated with or acting on behalf of the Company or any
of its Subsidiaries or affiliates, acting in any capacity in connection with the operations of the Company, conducts any business
with or for the benefit of any Blocked Person or engages in making or receiving any contribution of funds, goods or services to,
from or for the benefit of any Blocked Person, or deals in, or otherwise engages in any transaction relating to, any property or
interests in property blocked or subject to blocking pursuant to any applicable Sanctions Laws; no action of the Company or any
of its Subsidiaries in connection with (i) the execution, delivery and performance of this Agreement and the other Transaction
Documents, (ii) the issuance and sale of the Securities, or (iii) the direct or indirect use of proceeds from the Securities or
the consummation of any other transaction contemplated hereby or by the other Transaction Documents or the fulfillment of the terms
hereof or thereof, will result in the proceeds of the transactions contemplated hereby and by the other Transaction Documents being
used, or loaned, contributed or otherwise made available, directly or indirectly, to any Subsidiary, joint venture partner or other
person or entity, for the purpose of (i) unlawfully funding or facilitating any activities of or business with any person that,
at the time of such funding or facilitation, is the subject or target of Sanctions Laws, (ii) unlawfully funding or facilitating
any activities of or business in any Sanctioned Country or (iii) in any other manner that will result in a violation by any Person
(including any Person participating in the transaction, whether as underwriter, advisor, investor or otherwise) of Sanctions Laws.
For the past five years, the Company and its Subsidiaries have not knowingly engaged in and are not now knowingly engaged in any
dealings or transactions with any person that at the time of the dealing or transaction is or was the subject or the target of
Sanctions Laws or with any Sanctioned Country.

 

 

 

 

    	 	13	 

     

    

 

 

(bb)           
Anti-Bribery. Neither the Company nor any of the Subsidiaries has made any contribution or other payment to any official
of, or candidate for, any federal, state or foreign office in violation of any law. Neither the Company, nor any of its Subsidiaries
or affiliates, nor any director, officer, agent, employee or other person associated with or acting on behalf of the Company, or
any of its Subsidiaries or affiliates, has (i) used any funds for any unlawful contribution, gift, entertainment or other unlawful
expense relating to political activity, (ii) made any direct or indirect unlawful payment to any foreign or domestic government
official or employee, to any employee or agent of a private entity with which the Company does or seeks to do business or to foreign
or domestic political parties or campaigns, (iii) violated or is in violation of any provision of any Applicable Law implementing
the OECD Convention on Combating Bribery of Foreign Public Officials in International Business Transactions or any applicable provision
of the U.S. Foreign Corrupt Practices Act of 1977, as amended, the U.K. Bribery Act 2010, or any other similar law of any other
jurisdiction in which the Company operates its business, including, in each case, the rules and regulations thereunder (the “Anti-Bribery
Laws”), (iv) taken, is currently taking or will take any action in furtherance of an offer, payment, gift or anything
else of value, directly or indirectly, to any person while knowing that all or some portion of the money or value will be offered,
given or promised to anyone to improperly influence official action, to obtain or retain business or otherwise to secure any improper
advantage or (v) otherwise made any offer, bribe, rebate, payoff, influence payment, unlawful kickback or other unlawful payment;
the Company and each of its respective Subsidiaries has instituted and has maintained, and will continue to maintain, policies
and procedures reasonably designed to promote and achieve compliance with the laws referred to in (iii) above and with this representation
and warranty; none of the Company, nor any of its Subsidiaries or affiliates will directly or indirectly use the proceeds of the
Shares or lend, contribute or otherwise make available such proceeds to any subsidiary, affiliate, joint venture partner or other
person or entity for the purpose of financing or facilitating any activity that would violate the laws and regulations referred
to in (iii) above; there are, and have been, no allegations, investigations or inquiries with regard to a potential violation of
any Anti-Bribery Laws by the Company, its Subsidiaries or affiliates, or any of their respective current or former directors, officers,
employees, stockholders, representatives or agents, or other persons acting or purporting to act on their behalf.

 

(cc)            
No Additional Agreements. Except as set forth in Schedule 3(cc), the Company does not have any agreement or
understanding with any Buyer with respect to the transactions contemplated by the Transaction Documents.

 

(dd)           
Disclosure. All disclosure provided to the Buyers regarding the Company and its Subsidiaries, their businesses and
the transactions contemplated hereby, including the schedules to this Agreement and the Confidential PPM, furnished by or on behalf
of the Company or any of its Subsidiaries, is true and correct and does not contain any untrue statement of a material fact or
omit to state any material fact necessary in order to make the statements made therein, in the light of the circumstances under
which they were made, not misleading. All of the written information furnished after the date hereof by or on behalf of the Company
or any of its Subsidiaries, to the Buyers pursuant to or in connection with this Agreement and the other Transaction Documents,
taken as a whole, will be true and correct in all material respects as of the date on which such information is so provided and
will not contain any untrue statement of a material fact or omit to state any material fact necessary in order to make the statements
made therein, in the light of the circumstances under which they are made, not misleading. Each press release issued by the Company
or any of its Subsidiaries, during the twelve months preceding the date of this Agreement did not at the time of release contain
any untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary in order to
make the statements therein, in the light of the circumstances under which they were made, not misleading. No event or circumstance
has occurred or information exists with respect to the Company or any of its Subsidiaries, or its or their business, properties,
liabilities, prospects, operations (including results thereof) or conditions (financial or otherwise), which, under Applicable
Law, requires public disclosure at or before the date hereof or announcement by the Company but which has not been so publicly
disclosed. The Company understands and confirms that each of the Buyers will rely on the foregoing representations in effecting
the transactions of securities of the Company. The Company acknowledges and agrees that the Buyers do not make and have not made
any representations or warranties with respect to the transactions contemplated hereby other than those specifically set forth
in Section 2.

 

(ee)           
No Disqualification Events. With respect to Securities to be offered and sold hereunder in reliance on Rule
506(b) under the 1933 Act, none of the Company, any of its predecessors, any affiliated issuer, any director, executive officer,
other officer of the Company participating in the offering hereunder, any beneficial owner of 20% or more of the Company’s
outstanding voting equity securities, calculated on the basis of voting power, nor any promoter (as that term is defined in Rule
405 under the 1933 Act) connected with the Company in any capacity at the time of sale (each, an “Issuer Covered Person”
and, together, “Issuer Covered Persons”) is subject to any of the “Bad Actor” disqualifications
described in Rule 506(d)(1)(i) to (viii) under the 1933 Act (a “Disqualification Event”), except for a Disqualification
Event covered by Rule 506(d)(2) or (d)(3). The Company has exercised reasonable care to determine whether any Issuer Covered Person
is subject to a Disqualification Event. The Company has complied, to the extent applicable, with its disclosure obligations under
Rule 506(e), and has furnished to the Buyers a copy of any disclosures provided thereunder.

 

 

 

 

    	 	14	 

     

    

 

 

(ff)             
Other Covered Persons. Except as set forth on Schedule 3(ff), the Company is not aware of any Person that
has been or will be paid (directly or indirectly) remuneration for solicitation of Buyers or potential purchasers in connection
with the sale of the Securities.

 

(gg)           
Intellectual Property Rights. The Company and its Subsidiaries own or possess adequate rights or licenses to use
all trademarks, trade names, service marks, service mark registrations, service names, original works of authorship, patents, patent
rights, copyrights, inventions, licenses, approvals, governmental authorizations, trade secrets and other intellectual property
rights and all applications and registrations therefor (“Intellectual Property Rights”) necessary to conduct
their respective businesses as now conducted. To the Company’s Knowledge, there is not any infringement by the Company or
its Subsidiaries of Intellectual Property Rights of others. There is no claim, action or proceeding being made or brought, or to
the Company’s Knowledge, being threatened, against the Company or any of its Subsidiaries regarding its Intellectual Property
Rights, except where such claim, action or proceeding is not reasonably likely to result in a Material Adverse Effect. Neither
the Company nor any of its Subsidiaries has received any written notice alleging any such infringement or claim, action or proceeding.

 

(hh)           
Title. Each of the Company and its Subsidiaries holds good title, or a valid leasehold interests in, to all real
property, leases in real property, facilities or other interests in real property owned or held by the Company or any of its Subsidiaries
that is material to the business of the Company (the “Real Property”). The Real Property is free and clear of
all Liens and is not subject to any rights of way, building use restrictions, exceptions, variances, reservations, or limitations
of any nature except for (a) Liens for current taxes not yet due and payable, (b) zoning laws and other land use restrictions that
do not impair the present or anticipated use of the property subject thereto and (c) those that are not likely to result in a Material
Adverse Effect. Any Real Property held under lease by the Company or any of its Subsidiaries are held by them under valid, subsisting
and enforceable leases with such exceptions as are not material and do not interfere in any material respect with the use made
and proposed to be made of such property and buildings by the Company or any of its Subsidiaries.

 

(ii)              
Fixtures and Equipment. Each of the Company and its Subsidiaries (as applicable) has good title to, or a valid leasehold
interest in, all material tangible personal property, equipment, improvements, fixtures, and other personal property and appurtenances
that are used by the Company or its Subsidiary in connection with the conduct of its business (the “Fixtures and Equipment”).
Each of the Company’s and its Subsidiary’s Fixtures and Equipment are structurally sound, are in good operating condition
and repair, are adequate for the uses to which they are being put, are not in need of maintenance or repairs except for ordinary,
routine maintenance and repairs and are sufficient for the conduct of the Company’s and/or its Subsidiaries’ businesses
(as applicable) in the manner as conducted prior to the Closing. Each of the Company and its Subsidiaries owns all of its Fixtures
and Equipment free and clear of all Liens except for (i) Liens for current taxes not yet due and payable, and (ii) zoning laws
and other land use restrictions that do not impair the present or anticipated use of the property subject thereto.

 

(jj)              
Environmental Laws.

 

(i)                
The Company and its Subsidiaries (A) are in compliance with any and all Environmental Laws (as defined below), other than
those that are not likely to result in a Material Adverse Effect, (B) have received all permits, licenses or other approvals required
of them under applicable Environmental Laws to conduct their respective businesses and (C) are in compliance with all terms and
conditions of any such permit, license or approval where, except in each of the foregoing clauses (A), (B) and (C), where the failure
to so comply or having such permits, licenses or other approval would not reasonably be expected to have, individually or in the
aggregate, a Material Adverse Effect. 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.

 

 

 

 

    	 	15	 

     

    

 

 

(ii)               
No Hazardous Materials:

 

(1)              
to the Company’s Knowledge, have been disposed of or otherwise released by the Company or any of its Subsidiaries
from any Real Property of the Company or any of its Subsidiaries in violation of any Environmental Laws; or

 

(2)              
to the Company’s Knowledge, are present on, over, beneath, in or upon any Real Property or any portion thereof in
quantities that would constitute a violation of any Environmental Laws. To the Company’s Knowledge, no prior use by the Company
or any of its Subsidiaries of any Real Property has occurred that violates any Environmental Laws, which violation would have a
Material Adverse Effect.

 

(iii)              
To the Company’s Knowledge, neither the Company nor any of its Subsidiaries knows of any other person who or entity
which has stored, treated, recycled, disposed of or otherwise located on any Real Property any Hazardous Materials, including,
without limitation, such substances as asbestos and polychlorinated biphenyls.

 

(iv)              
To the Company’s Knowledge, none of the Real Property is on any federal or state “Superfund” list or Liability
Information System (“CERCLIS”) list or any state environmental agency list of sites under consideration for
CERCLIS, nor subject to any environmental related Liens.

 

(kk)          
Management. During the past five year period, to the Company’s Knowledge, no current named executive officer
(as defined in Item 402 of Regulation S-K) or director has been the subject of:

 

(i)                
a petition under bankruptcy laws or any other insolvency or moratorium law or the appointment by a court of a receiver,
fiscal agent or similar officer for such Person, or any partnership in which such person was a general partner, or any corporation
or business association of which such person was an executive officer;

 

(ii)               
a conviction in a criminal proceeding or a named subject of a pending criminal proceeding (excluding traffic violations
that do not relate to driving while intoxicated or driving under the influence);

 

(iii)             
any order, judgment or decree, not subsequently reversed, suspended or vacated, of any court of competent jurisdiction,
permanently or temporarily enjoining any such person from, or otherwise limiting, the following activities:

 

(1)              
Acting as a futures commission merchant, introducing broker, commodity trading advisor, commodity pool operator, floor broker,
leverage transaction merchant, any other person regulated by the United States Commodity Futures Trading Commission or an associated
person of any of the foregoing, or as an investment adviser, underwriter, broker or dealer in securities, or as an affiliated person,
director or employee of any investment company, bank, savings and loan association or insurance company, or engaging in or continuing
any conduct or practice in connection with such activity;

 

(2)              
Engaging in any particular type of business practice; or

 

(3)              
Engaging in any activity in connection with the purchase or sale of any security or commodity or in connection with any
violation of securities laws or commodities laws;

 

(iv)              
any order, judgment or decree, not subsequently reversed, suspended or vacated, of any authority barring, suspending or
otherwise limiting for more than 60 days the right of any such person to engage in any activity described in the preceding sub
paragraph, or to be associated with persons engaged in any such activity;

 

 

 

    	 	16	 

     

    

 

 

(v)               
a finding by a court of competent jurisdiction in a civil action or by the SEC or other authority to have violated any securities
law, regulation or decree and the judgment in such civil action or finding by the SEC or any other authority has not been subsequently
reversed, suspended or vacated; or

 

(vi)              
a finding by a court of competent jurisdiction in a civil action or by the Commodity Futures Trading Commission to have
violated any federal commodities law, and the judgment in such civil action or finding has not been subsequently reversed, suspended
or vacated.

 

(ll)             
Cybersecurity. The Company and its Subsidiaries’ information technology assets and equipment, computers, systems,
networks, hardware, software, websites, applications, and databases (collectively, “IT Systems”) are adequate
for, and operate and perform in all material respects as required in connection with the operation of the business of the Company
and its Subsidiaries as currently conducted, free and clear of all material bugs, errors, defects, Trojan horses, time bombs, malware
and other corruptants. The Company and its Subsidiaries have implemented and maintained commercially reasonable physical, technical
and administrative controls, policies, procedures, and safeguards to maintain and protect their material confidential information
and the integrity, continuous operation, redundancy and security of all IT Systems and data, including “Personal Data,”
used in connection with their businesses. “Personal Data” means (i) a natural person’s name, street address,
telephone number, e-mail address, photograph, social security number or tax identification number, driver’s license number,
passport number, credit card number, bank information, or customer or account number; (ii) any information which would qualify
as “personally identifying information” under the Federal Trade Commission Act, as amended; (iii) “personal data”
as defined by the European Union General Data Protection Regulation (“GDPR”) (EU 2016/679); and (iv) any other
piece of information that allows the identification of such natural person, or his or her family, or permits the collection or
analysis of any data related to an identified person’s health or sexual orientation. To the Company’s Knowledge, there
have been no material breaches, violations, outages or unauthorized uses of or accesses to same, except for those that have been
remedied without material cost or liability or the duty to notify any other person, nor any incidents under internal review or
investigations relating to the same. The Company and its Subsidiaries are presently in material compliance with all applicable
laws or statutes and all judgments, orders, rules and regulations of any court or arbitrator or governmental or regulatory authority,
internal policies and contractual obligations relating to the privacy and security of IT Systems and Personal Data and to the protection
of such IT Systems and Personal Data from unauthorized use, access, misappropriation or modification.

 

(mm)          
Compliance with Data Privacy Laws. The Company and its Subsidiaries are, and at all prior times were, in material
compliance with all applicable state and federal data privacy and security laws and regulations, and the Company and its Subsidiaries
have taken commercially reasonable actions to prepare to comply with, and since May 25, 2018, have been and currently are in compliance
with, the GDPR (EU 2016/679) (collectively, the “Privacy Laws”). To ensure compliance with the Privacy Laws,
the Company and its Subsidiaries have in place, comply with, and take appropriate steps reasonably designed to ensure compliance
in all material respects with their policies and procedures relating to data privacy and security and the collection, storage,
use, disclosure, handling, and analysis of Personal Data (the “Policies”). The Company and its Subsidiaries
have at all times made all disclosures to users or customers required by applicable laws and regulatory rules or requirements,
and none of such disclosures made or contained in any Policy have, to the Company’s Knowledge, been inaccurate or in violation
of any applicable laws and regulatory rules or requirements in any material respect. To the Company’s Knowledge, neither
the Company nor any Subsidiary: (i) has received notice of any actual or potential liability under or relating to, or actual or
potential violation of, any of the Privacy Laws, and has no knowledge of any event or condition that would reasonably be expected
to result in any such notice; (ii) is currently conducting or paying for, in whole or in part, any investigation, remediation,
or other corrective action pursuant to any Privacy Law; or (iii) is a party to any order, decree, or agreement that imposes any
obligation or liability under any Privacy Law.

 

(nn)            
Transfer Taxes. All transfer, stamp, registration, court or documentary, recording, filing or other similar taxes
(other than taxes imposed on or measured by net income (however denominated)) which are required to be paid by the Company in connection
with the issuance, registration, sale or transfer of the Securities to be sold to each Buyer hereunder will be, or will have been,
fully paid or provided for by the Company, and all laws imposing such taxes will be or will have been complied with in all material
respects.

 

(oo)           
Insurance. The Company and each of its Subsidiaries, if any, are insured by insurers of recognized financial responsibility
against such losses and risks and in such amounts as management of the Company believes to be prudent and customary in the businesses
in which the Company and its Subsidiaries, if any, are engaged. Neither the Company nor any such Subsidiary, if any, has been refused
any insurance coverage sought or applied for and, to the Company’s Knowledge, neither the Company nor any such Subsidiary,
if any, has any reason to believe that it will be unable to renew its existing insurance coverage as and when such coverage expires
or to obtain similar coverage from similar insurers as may be necessary to continue its business at a cost that would not have
a Material Adverse Effect.

 

 

 

 

    	 	17	 

     

    

 

 

(pp)           
U.S. Real Property Holding Corporation. Neither the Company nor any of its Subsidiaries, if any, is, or has ever
been, a U.S. real property holding corporation within the meaning of Section 897 of the Internal Revenue Code of 1986, as amended,
and the Company and each Subsidiary shall so certify upon a Buyer’s request.

 

(qq)           
No Disagreements with Accountants and Lawyers. There are no material disagreements of any kind presently existing,
or reasonably anticipated by the Company to arise, between the Company and the accountants and lawyers formerly or presently employed
by the Company and the Company is current with respect to any fees owed to its accountants and lawyers which could affect the Company’s
ability to perform any of its obligations under any of the Transaction Documents.

 

4.                 
COVENANTS.

 

(a)              
Best Efforts. Each party hereto shall use its best efforts to timely satisfy each of the conditions to be satisfied
by it as provided in Sections 5 and 6.

 

(b)              
Form D and Blue Sky. The Company agrees to file a Form D with respect to the Securities as required under Regulation
D and to provide a copy thereof to the Buyers promptly after such filing. The Company shall, on or before the Closing, take such
action as the Company shall reasonably determine is necessary in order to obtain an exemption for or to qualify the Securities
for sale to the Buyers at the Closing pursuant to this Agreement under applicable securities or “Blue Sky” laws of
the states of the United States (or to obtain an exemption from such qualification), and shall provide evidence of any such action
so taken to the Buyers on or prior to the Closing. The Company shall make all filings and reports relating to the offer and sale
of the Securities required under applicable securities or “Blue Sky” laws of the states of the United States following
the Closing.

 

(c)              
Reporting Status. Until the date on which no Buyer holds any Shares (the “Reporting Period”),
the Company shall timely file all reports required to be filed with the SEC pursuant to the 1934 Act (reports filed in compliance
with the time period specified in Rule 12b-25 promulgated under the 1934 Act or SEC or SEC staff issued relief shall be considered
timely for this purpose), and the Company shall not terminate its status as an issuer required to file reports under the 1934 Act
even if the 1934 Act or the rules and regulations thereunder would no longer require or otherwise permit such termination,
and the Company shall take all actions necessary to maintain its eligibility to register the Underlying Shares for resale by the
Buyers on Form S-1.

 

(d)              
Use of Proceeds. The Company will use the proceeds from the Closing in the manner described in Exhibit D hereto,
provided that in no event may the proceeds be used, directly or indirectly, for the redemption or repurchase of any securities
of the Company or any of its Subsidiaries or repayment of any Indebtedness.

 

(e)              
Financial Information. The Company agrees to send the following to the Buyers that hold Shares during the Reporting
Period (i) unless the following are filed with the SEC through EDGAR and are available to the public through the EDGAR system,
within one Business Day after the filing thereof with the SEC, a copy of its Annual Reports on Form 10-K, any Quarterly Reports
on Form 10-Q, any Current Reports on Form 8-K (or any analogous reports under the 1934 Act) and any registration statements (other
than on Form S-8) or amendments filed pursuant to the 1933 Act, and (ii) copies of any notices and other information made available
or given to the stockholders of the Company generally, contemporaneously with the making available or giving thereof to the stockholders.
As used herein, “Business Day” means any day other than Saturday, Sunday or other day on which commercial banks
in The City of New York are authorized or required by law to remain closed.

 

(f)               
Listing. The Company shall promptly secure the listing of all of the Underlying Shares upon each national securities
exchange and automated quotation system, if any, upon which the Common Stock is then listed (subject to official notice of issuance)
and shall maintain such listing of all Underlying Shares from time to time issuable under the terms of the Preferred Stock. For
so long as any Buyer owns any Shares, (i) the Company shall maintain the authorization for quotation of the Common Stock on the
Principal Market or The New York Stock Exchange, the NYSE American, the Nasdaq Global Market, the Nasdaq Global Select Market,
the OTC Bulletin Board, the OTCQB or the OTCQX (or any successors to any of the foregoing) (“Trading Market”),
and (ii) neither the Company nor any of its Subsidiaries shall take any action which would be reasonably expected to result in
the suspension of quotation of the Common Stock on the Principal Market other than in connection with, as a result of or after
listing of the Common Stock on The New York Stock Exchange, the NYSE American, the Nasdaq Global Market, the Nasdaq Global Select
Market, or any other recognized stock exchange in North America, including, without limitation, the Toronto Stock Exchange, the
TSX Venture Exchange, the NEO Exchange Inc. or the Canadian Securities Exchange (or any successors to any of the foregoing). The
Company shall pay all fees and expenses in connection with satisfying its obligations under this Section 4(f).

 

 

 

 

    	 	18	 

     

    

 

 

(g)              
Fees. The Company shall be responsible for the payment of any placement agent fees, financial advisory fees, or broker’s
commissions (other than those for Persons engaged by any Buyer) relating to or arising out of the transactions contemplated hereby,
including, without limitation, any fees or commissions payable to placement agents, including any reasonable legal fees and expenses
of such placement agents. The Company shall pay, and hold the Buyers harmless against, any liability, loss or expense (including,
without limitation, reasonable attorney’s fees and out-of-pocket expenses) arising in connection with any claim relating
to any such payment. Except as otherwise set forth in the Transaction Documents, each party to this Agreement shall bear its own
expenses in connection with the sale of the Shares to the Buyers.

 

(h)              
Disclosure of Transactions and Other Material Information. On or before 9:00 AM New York City time four Business
Days after the date hereof, the Company shall (A) issue a press release disclosing all material terms of the transactions contemplated
hereby and (B) file a Current Report on Form 8-K describing the terms of the transactions contemplated by the Transaction Documents
in the form required by the 1934 Act and attaching the material Transaction Documents to the extent required by law (the “8-K
Filing”). Subject to the foregoing, neither the Company or its Subsidiaries nor the Buyers shall issue any press releases
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 Buyers, to make any press release or other public disclosure with respect to such
transactions (i) in substantial conformity with the 8-K Filing and contemporaneously therewith and (ii) as is required by Applicable
Law. Except for any registration statement filed in accordance with this Agreement, the 8-K Filing and as required by Applicable
Law and Trading Market regulations, without the prior written consent of a Buyer, neither the Company nor any of its Subsidiaries
or affiliates shall disclose the name of such Buyer in any filing, announcement, release or otherwise.

 

(i)                
Reservation of Shares of Common Stock. So long as any Buyer owns any Shares, the Company shall take all action necessary
to at all times after the date hereof have authorized, and reserved for the purpose of issuance, no less than the number of
shares of Common Stock issuable upon conversion of the Shares then outstanding based on the then current conversion price. If at
any time the number of shares of Common Stock so authorized and reserved for issuance is not sufficient to meet the foregoing obligation,
the Company will promptly take all corporate action necessary to authorize and reserve a sufficient number of shares of Common
Stock, including, without limitation, calling a special meeting of stockholders to authorize additional shares of Common Stock
to meet such obligation.

 

(j)               
Buyers Lock-Up. Notwithstanding anything to the contrary contained herein, each Buyer agrees that it will not sell
any Underlying Shares prior to the first anniversary of the Original Issue Date. Each Buyer may sell, in the aggregate, (1) up
to 25% of the Underlying Shares purchased hereunder at any time following the first anniversary of the Original Issue Date until
the eighteen month anniversary of the Original Issue Date, (2) up to 50% of the Underlying Shares purchased hereunder at any time
following the eighteen month anniversary of the Original Issue Date until the second anniversary of the Original Issue Date, and
(3) all of the Underlying Shares purchased hereunder at any time following the second anniversary of the Original Issue Date; provided,
however, that each Buyer may sell all of the Underlying Shares purchased hereunder at any time following the first Listing Event
that occurs after the Original Issue Date; provided further, however, that this Section 4(j) shall not apply to a Buyer’s
Underlying Shares issued upon conversion of Shares in connection with an Anticipated Change of Control Notice or a Forced Redemption
Notice (in the latter case, solely with respect to Underlying Shares issued upon conversion of the Shares that are the subject
of such Forced Redemption Notice).

 

(k)              
Notice of Disqualification Events. The Company will notify the Buyers in writing prior to any Closing of (i) any
Disqualification Event relating to any Issuer Covered Person and (ii) any event that would, with the passage of time, become a
Disqualification Event relating to any Issuer Covered Person.

 

(l)               
Compliance with Cannabis Law. The Company shall take all action to comply with state cannabis laws and regulations,
including making all requisite filings under such laws and regulations as and when required.

 

 

 

 

    	 	19	 

     

    

 

(m)             
Registration.

 

(i)                
After the earlier to occur of (1) a Listing Event (as defined in the Certificate of Designation), and (2) the date that
is 12 months after the Original Issue Date, Buyers holding Shares convertible into shares of Common Stock with a market value that
is equal to at least $10,000,000 shall have the right to require the Company at any time, and from time to time, to file a registration
statement on Form S-1 (or if eligible to use Form S-3, a registration statement on Form S-3) with the SEC covering the resale of
the Underlying Shares (each such registration statement and each registration statement filed pursuant to Section 4(m)(ii),
a “Resale Registration Statement”).

 

(ii)               
The Company also agrees that to the extent it files any registration statement with the SEC, other than a registration statement
on Form S-8, Form S-4 or Form S-3, it will prior to filing such registration statement, give the Buyers reasonable written notice
in order to permit the Buyers to include in such registration statement, the resale of the Underlying Shares; provided, however,
that if, solely in connection with any primary underwritten public offering for the account of the Company, the managing underwriter(s)
thereof shall, in its reasonable discretion, impose a limitation on the number of Underlying Shares which may be included in such
registration statement because, in such underwriter(s)’ judgment, marketing or other factors dictate such limitation is necessary
to facilitate public distribution, then the Company shall be obligated to allocate for inclusion in such registration statement
the Underlying Shares of each participating holder of Underlying Shares in direct proportion (as nearly as practicable) to the
number of Underlying Shares requested to be included by such holder; provided, however, that the Buyers shall not be disproportionately
negatively affected as compared to other holders of Company securities to be registered.

 

(iii)              
The Company will promptly file and use best efforts to cause to become promptly effective such Resale Registration Statement
as well as any filings required under any applicable state securities laws or regulations. The Company shall keep such Resale Registration
Statement effective until the earlier of (1) such time as all of the Underlying Shares registered for resale under such Resale
Registration Statement have been sold pursuant to such Resale Registration Statement or otherwise, or (2) such time as the Underlying
Shares registered for resale under such Resale Registration Statement may be sold under Rule 144 without restriction or limitation
and without the requirement to be in compliance with Rule 144(c)(1). The Buyers’ right to demand registration of the Underlying
Shares shall not terminate until such time as all the Underlying Shares have been registered for resale with the SEC and the Buyers
have sold or otherwise transferred to Persons not affiliated with the Buyers all of such Underlying Shares. All costs related to
the preparation, filing and effectiveness of such registrations, including accounting and legal fees and expenses (including reasonable
fees and expenses of counsel for the Buyers) shall be borne by the Company. The Company will enter into an agreement with the Buyers
including customary terms and conditions for any such registration, including customary indemnification provisions.

 

(iv)              
Notwithstanding the foregoing obligations, the Company may, upon written notice to the Buyers, for a reasonable period of
time, not to exceed 45 days in the case of clauses (1) and (2) below, or 30 days in the case of clause (3) below (each, a “Suspension
Period”), delay the filing of a Resale Registration Statement or a request for acceleration of the effective date, or
suspend the effectiveness of any Resale Registration Statement, in the event that (1) the Company is engaged in any activity or
transaction or preparations or negotiations for any activity or transaction that the Company desires to keep confidential for business
reasons, if the Company’s board of directors determines in its reasonable good faith judgement that the public disclosure
requirements imposed on the Company under the Securities Act in connection with the Resale Registration Statement would require
at that time disclosure of such activity, transaction, preparations or negotiations and such disclosure could result in material
harm to the Company or its business transactions or activities, (2) the Company does not yet have appropriate financial statements
of any acquired or to be acquired entities necessary for filing, or (3) any other event occurs that makes any statement of a material
fact made in such Resale Registration Statement, including any document incorporated by reference therein, untrue or that requires
the making of any additions or changes in the Resale Registration Statement in order to make the statements therein not misleading.
The Company may not invoke its right to suspend or delay a registration statement pursuant to this Section 4(m)(iv) more than twice
in any twelve month period. If the Company suspends the effectiveness of a Resale Registration Statement pursuant to this Section
4(m)(iv), the Company shall, as promptly as reasonably practicable following the termination of the circumstance which entitled
the Company to do so, take such actions as may be necessary to reinstate the effectiveness of such Resale Registration Statement
and give written notice to the applicable Buyers authorizing the applicable Buyers to resume offerings and sales pursuant to such
Resale Registration Statement.

 

 

 

 

    	 	20	 

     

    

 

 

(v)               
It shall be a condition precedent to the obligations of the Company to file or effect any Resale Registration Statement
pursuant to this Section 4(m) that each Buyer who desires to include Underlying Shares in such Resale Registration Statement shall
furnish to the Company such information regarding itself, the Company securities held by it and the intended method of disposition
of the Underlying Shares held by it as shall be reasonably required to effect and maintain the effectiveness of the registration
of such Resale Registration Statement and shall execute such documents in connection with such registration as the Company may
reasonably request.

 

(vi)             
Notwithstanding anything contained herein to the contrary, the Company shall not be obligated to (1) effect a registration
pursuant to this Section 4(m) within 90 days after the effective date of a previous registration; (2) effect a registration pursuant
to this Section 4(m) unless the request is for a number of shares of Common Stock with a market value that is equal to at least
$3,000,000 as of the date of such request; (3) effect a registration if the Company has effected two registrations on a Resale
Registration Statement in the 12-month period prior to such request, or (4) file or effect a Resale Registration Statement with
respect to any Underlying Shares subject to a registration demand that may be sold under Rule 144 without restriction or limitation
and without the requirement to be in compliance with Rule 144(c)(1) limitation.

 

(n)              
Closing Documents. On or prior to 14 calendar days after each Closing, the Company agrees to deliver, or cause to
be delivered, to the Buyers a complete closing set of the executed Transaction Documents and any other documents required to be
delivered to any party hereto pursuant to Section 6 hereof or otherwise.

 

(o)              
Equity Incentive Plan Limitation. For as long as any Buyer holds any Shares, without the prior written consent of
Buyers holding at least a majority of the then-outstanding Shares, the Company shall not have issued and outstanding awards under
any equity incentive plan for the issuance of shares of Common Stock representing more than 12% of the then-issued and outstanding
shares of Common Stock (calculated on an as-converted, fully-diluted basis, excluding warrants) in the aggregate.

 

(p)              
Regulation M. The Company will not take any action prohibited by Regulation M under the 1934 Act, in connection with
the distribution of the Securities contemplated hereby.

 

(q)             
General Solicitation. None of the Company, any of its affiliates (as defined in Rule 501(b) under the 1933 Act) or
any person acting on behalf of the Company or such affiliate will solicit any offer to buy or offer or sell the Preferred Stock
by means of any form of general solicitation or general advertising within the meaning of Regulation D, including: (i) any advertisement,
article, notice or other communication published in any newspaper, magazine or similar medium or broadcast over television or radio;
and (ii) any seminar or meeting whose attendees have been invited by any general solicitation or general advertising.

 

(r)              
Integration. None of the Company, any of its affiliates (as defined in Rule 501(b) under the 1933 Act), or any person
acting on behalf of the Company or such affiliate will sell, offer for sale, or solicit offers to buy or otherwise negotiate in
respect of any security (as defined in the 1933 Act) which will be integrated with the sale of the Securities in a manner which
would require the registration of the Securities under the 1933 Act or require stockholder approval under the rules and regulations
of the Principal Market and the Company will take all action that is appropriate or necessary to assure that its offerings of other
securities will not be integrated for purposes of the 1933 Act or the rules and regulations of the Principal Market, with the issuance
of Securities contemplated hereby.

 

(s)              
Pledge of Securities. The Company acknowledges and agrees that the Securities may be pledged in connection with a
bona fide margin account with a FINRA registered broker/dealer or other loan or financing arrangement with an Accredited Investor
secured by the Securities and such pledge of Securities shall not be deemed to be a transfer, sale or assignment of the Securities
hereunder, and if the Buyer effects such a pledge of Securities it shall not be required to provide the Company with any notice
thereof or otherwise make any delivery to the Company pursuant to this Agreement or any other Transaction Document, including,
without limitation, this Section 2(f).

 

 

 

 

    	 	21	 

     

    

 

 

5.                 
CONDITIONS TO THE COMPANY’S OBLIGATION TO SELL.

 

(a)              
The obligation of the Company hereunder to issue and sell the Shares to the Buyers at the Closing is subject to the satisfaction,
at or before the Closing, of each of the following conditions, 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 by providing the Buyers with prior written notice thereof:

 

(i)                
Each Buyer shall have executed each of the Transaction Documents to which it is a party and delivered the same to the Company.

 

(ii)               
Each Buyer shall have delivered to the Company such Buyer’s aggregate Purchase Price, for the Shares being purchased
by such Buyer at the Closing by wire transfer of immediately available funds pursuant to the wire instructions provided by the
Company.

 

(iii)              
The representations and warranties of each Buyer shall be true and correct as of the date when made and as of the Closing
as though made at that time (except for representations and warranties that speak as of a specific date which shall be true and
correct as of such specified date), and each 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 such Buyer at or
prior to the Closing.

 

(iv)              
The Company shall have received the Dye SPA Waiver.

 

(v)               
The Company shall have raised or otherwise secured a minimum of $72 million of capital from any combination of the sale
of shares of Preferred Stock and proceeds to be disbursed to the Company from a loan under a credit facility evidenced by a commitment
to lend (provided that such commitment may be subject to conditions to draw on the credit facility and may be funded in tranches;
exclusive of original issue discount on the loan).

 

(vi)              
The special committee of the Board of Directors of the Company shall have received an opinion from a financial advisor that
the consideration received by the Company for the issuance of the Preferred Stock is fair to the Company, from a financial point
of view.

 

6.                 
CONDITIONS TO EACH BUYER’S OBLIGATION TO PURCHASE.

 

(a)              
The obligation of each Buyer hereunder to purchase the Shares that such Buyer is purchasing at the Closing is subject to
the satisfaction, at or before the Closing, of each of the following conditions, provided that these conditions are for such Buyer’s
sole benefit and may be waived by such Buyer at any time in its sole discretion by providing the Company with prior written notice
thereof:

 

(i)                
The Company shall have duly executed and delivered to such Buyer (A) each of the Transaction Documents, and (B) the Shares
being purchased by such Buyer at the Closing pursuant to this Agreement.

 

(ii)               
The Company shall have delivered to such Buyer evidence of the filing and acceptance of the Certificate of Designation from
the Nevada Secretary of State.

 

(iii)              
The Company shall have delivered to such Buyer a certificate, executed by the Secretary of the Company and dated as of the
Closing, as to (i) the resolutions consistent with Section 3(b) as adopted by the Company’s Board of Directors
in a form reasonably acceptable to such Buyer, (ii) the Articles of Incorporation and (iii) the Bylaws, each as in effect at the
Closing, in the form attached hereto as Exhibit B.

 

 

 

 

    	 	22	 

     

    

 

 

(iv)              
The representations and warranties of the Company shall be true and correct as of the date when made and as of the Closing
as though made at that time (except for representations and warranties that speak as of a specific date which shall be true and
correct as of such specified date) and the Company shall have performed, satisfied and complied in all material respects with the
covenants, agreements and conditions required by the Transaction Documents to be performed, satisfied or complied with by the Company
at or prior to the Closing. Such Buyer shall have received a certificate, executed by the Chief Executive Officer of the Company,
dated as of the Closing, to the foregoing effect and as to such other matters as may be reasonably requested by such Buyer in the
form attached hereto as Exhibit C.

 

(v)               
The Common Stock (I) shall be designated for quotation on the Principal Market and (II) shall not have been suspended, as
of the Closing, by the SEC or the Principal Market from trading on the Principal Market nor shall suspension by the SEC or the
Principal Market have been threatened, as of the Closing, either (A) in writing by the SEC or the Principal Market or (B) by falling
below the minimum listing maintenance requirements of the Principal Market.

 

(vi)              
The Company shall have obtained all governmental, regulatory or third party consents and approvals, if any, necessary for
the sale of the Shares and the consummation of the transactions contemplated hereby.

 

(vii)             
The Company shall have delivered to such Buyer such other documents relating to the transactions contemplated by this Agreement
as such Buyer or its counsel may reasonably request.

 

(viii)            
The Company shall have received the Dye SPA Waiver.

 

(ix)               
The Company shall have raised or otherwise secured a minimum of $72 million of capital from any combination of the sale
of shares of Preferred Stock and proceeds to be disbursed to the Company from a loan under a credit facility evidenced by a commitment
to lend (provided that such commitment may be subject to conditions to draw on the credit facility and may be funded in tranches;
exclusive of original issue discount on the loan).

 

(x)               
All of the conditions precedent to the obligations of the parties to the Proposed Transaction to consummate the Proposed
Transaction shall have been satisfied or waived, such that the Proposed Transaction shall close upon the funding pursuant to this
Agreement and the Transaction Documents.

 

7.                 
TERMINATION. In the event that the Closing shall not have occurred on or before November 30, 2020 due to the Company’s
or the Buyers’ failure to satisfy the conditions set forth in Sections 5 and 6 above (and the nonbreaching
party’s failure to waive such unsatisfied condition(s)), the nonbreaching party shall have the option to terminate this Agreement
with respect to such breaching party at the close of business on such date by delivering a written notice to that effect to each
other party to this Agreement and without liability of any party to any other party; provided, however, that notwithstanding the
foregoing the Buyers shall not be deemed to have waived any right to seek damages in respect of any breach of this Agreement by
the Company and shall have all remedies available to it pursuant to this Agreement, under law or at equity.

 

8.                 
MISCELLANEOUS.

 

(a)              
Governing Law; Jurisdiction; Jury Trial. All questions concerning the construction, validity, enforcement and interpretation
of this Agreement shall be governed by the internal laws of the State of Nevada, without giving effect to any choice of law or
conflict of law provision or rule (whether of the State of Nevada or any other jurisdictions) that would cause the application
of the laws of any jurisdictions other than the State of Nevada. Each party hereby irrevocably submits to the exclusive jurisdiction
of the state and federal courts sitting in the City of New York, Borough of Manhattan for the adjudication of any dispute hereunder
or in connection herewith or with any transaction contemplated hereby or discussed herein, and hereby irrevocably waives, and agrees
not to assert in any suit, action or proceeding, any claim that it is not personally subject to the jurisdiction of any such court,
that such suit, action or proceeding is brought in an inconvenient forum or that the venue of such suit, action or proceeding is
improper. Each party hereby irrevocably waives personal service of process and consents to process being served in any such suit,
action or proceeding by mailing a copy thereof to such party at the address for such 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 manner permitted by law. EACH PARTY HEREBY IRREVOCABLY WAIVES ANY
RIGHT IT MAY HAVE, AND AGREES NOT TO REQUEST, A JURY TRIAL FOR THE ADJUDICATION OF ANY DISPUTE HEREUNDER OR IN CONNECTION WITH
OR ARISING OUT OF THIS AGREEMENT OR ANY TRANSACTION CONTEMPLATED HEREBY.

 

 

 

    	 	23	 

     

    

 

(b)              
Counterparts. This Agreement may be executed in two or more counterparts, all of which shall be considered one and
the same agreement and shall become effective when counterparts have been signed by each party and delivered to the other party;
provided that a facsimile or .pdf signature shall be considered due execution and shall be binding upon the signatory thereto with
the same force and effect as if the signature were an original, not a facsimile or .pdf signature.

 

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

 

(d)              
Severability. If any provision of this Agreement is prohibited by law or otherwise determined to be invalid or unenforceable
by a court of competent jurisdiction, the provision that would otherwise be prohibited, invalid or unenforceable shall be deemed
amended to apply to the broadest extent that it would be valid and enforceable, and the invalidity or unenforceability of such
provision shall not affect the validity of the remaining provisions of this Agreement so long as this Agreement as so modified
continues to express, without material change, the original intentions of the parties as to the subject matter hereof and the prohibited
nature, invalidity or unenforceability of the provision(s) in question does not substantially impair the respective expectations
or reciprocal obligations of the parties or the practical realization of the benefits that would otherwise be conferred upon the
parties. The parties will endeavor in good faith negotiations to replace the prohibited, invalid or unenforceable provision(s)
with a valid provision(s), the effect of which comes as close as possible to that of the prohibited, invalid or unenforceable provision(s).

 

(e)              
Entire Agreement; Amendments. This Agreement and the other Transaction Documents supersede all other prior oral or
written agreements between the Buyers, the Company, their affiliates and Persons acting on their behalf with respect to the matters
discussed herein, and this Agreement, the other Transaction Documents and the instruments referenced herein and therein 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 Buyers makes any representation, warranty, covenant or undertaking with respect
to such matters. No provision of this Agreement may be amended or waived other than by an instrument in writing signed by
the Company and the Buyers holding a majority of the then-outstanding Shares, and any amendment or waiver to this Agreement made
in conformity with the provisions of this Section 8(e) shall be binding on all holders of Securities and the Company;
provided, however, that no amendment shall be effective against any Buyer that is disproportionately affected by such amendment
as compared to any other Buyer without such Buyer’s written consent; provided, further, that no amendment requiring any Buyer
to purchase additional Securities shall be effective against a Buyer without such Buyer’s written consent; provided, further,
that no waiver of the provisions of Section 6(a) shall be effective against a Buyer without such Buyer’s written consent.
No such amendment shall be effective to the extent that it applies to less than all of the holders of the applicable Securities
then outstanding. No consideration shall be offered or paid to any Person to amend or consent to a waiver or modification
of any provision of any of the Transaction Documents unless the same consideration (other than the reimbursement of legal fees)
also is offered to all of the parties to the Transaction Documents; provided, however, for clarity, any Person’s participation
in a subsequent securities offering of the Company shall not be consideration for this purpose. The Company has not, directly or
indirectly, made any agreements with the Buyers relating to the terms or conditions of the transactions contemplated by the Transaction
Documents except as set forth in the Transaction Documents. Without limiting the foregoing, the Company confirms that, except as
set forth in this Agreement, the Buyers has not made any commitment or promise or has any other obligation to provide any financing
to the Company or otherwise. Whenever this Agreement requires the consent or approval of the holders of the Preferred Stock, unless
otherwise expressly and specifically set forth in this Agreement, such consent or approval shall require the approval of the Buyers
holding a majority of the then-outstanding Shares.

 

(f)               
Notices. Any notices, consents, waivers or other communications required or permitted to be given under the terms
of this Agreement or any of the other Transaction Documents must be in writing and will be deemed to have been delivered: (i) upon
receipt, when delivered personally; (ii) upon delivery, when sent by facsimile (provided confirmation of transmission is mechanically
or electronically generated and kept on file by the sending party) or by electronic mail; (iii) upon delivery, when sent by electronic
mail (provided that the sending party does not receive an automated rejection notice); or (iv) upon receipt, when sent by overnight
courier service, in each case properly addressed to the party to receive the same. The addresses, facsimile numbers and e-mail
addresses for such communications shall be:

 

 

 

 

    	 	24	 

     

    

 

 

If to the Company:

 

Medicine Man Technologies, Inc.

4880 Havana Street, Suite 201

Denver, CO 80239

Telephone:       (303)
371-0387

Facsimile:          (303)
371-0598

Attention:         General
Counsel

E-mail:               dan@schwazze.com

 

If to a Buyer, to such Buyer’s address
and e-mail address set forth on the Schedule of Buyers hereto, with copies to such Buyer’s representatives as set forth on
its signature page hereto. Any notice address, facsimile number or email address for a party may be changed by delivering such
other address, facsimile number and/or e-mail address and/or to the attention of such other Person as the specified by written
notice given to the Company or the Buyers, as applicable, five calendar days prior to the effectiveness of such change. Written
confirmation of receipt (A) given by the recipient of such notice, consent, waiver or other communication, (B) mechanically
or electronically generated by the sender’s facsimile machine or e-mail containing the time, date, recipient facsimile number
and an image of the first page of such transmission or (C) provided by an overnight courier service shall be rebuttable evidence
of personal service, receipt by facsimile or receipt from an overnight courier service in accordance with clause (i), (ii) or (iii)
above, respectively.

 

(g)              
Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of the parties and their respective
successors and assigns. The Company shall not assign this Agreement or any rights or obligations hereunder without the prior written
consent of the Buyers holding a majority of the then-outstanding Shares. A Buyer shall not assign this Agreement or any rights
or obligations hereunder without the prior written consent of the Company.

 

(h)              
No 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. Unless this Agreement is terminated under Section 7, the covenants and agreements of the Company and the
Buyer shall survive the Closing. Each Buyer shall be responsible only for its own representations, warranties, agreements and covenants
hereunder. The representations and warranties of the Company shall survive the Closing until the two year anniversary thereof.

 

(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 any 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.

 

 

 

    	 	25	 

     

    

 

(k)              
Indemnification.

 

(i)                
In consideration of each Buyer’s execution and delivery of the Transaction Documents and acquiring the Securities
thereunder and in addition to all of the Company’s other obligations under the Transaction Documents, the Company shall defend,
protect, indemnify and hold harmless each Buyer and all of their stockholders, partners, members, officers, directors, employees
and direct or indirect investors and any of the foregoing Persons’ agents or other representatives (including, without limitation,
those retained in connection with the transactions contemplated by this Agreement) (collectively, the “Indemnitees”)
from and against any and all actions, causes of action, suits, claims, losses, costs, penalties, fees, liabilities and damages,
other than special, exemplary, incidental, punitive or consequential damages, including lost profits, diminution in value, damage
to reputation or the like unless any such damages are awarded to a third party, and expenses in connection therewith (irrespective
of whether any such Indemnitee is a party to the action for which indemnification hereunder is sought), and including reasonable
attorneys’ fees and disbursements (the “Indemnified Liabilities”), incurred by any Indemnitee as a result
of, or arising out of, or relating to (x) any misrepresentation or breach of any representation or warranty made by the Company
or any Subsidiary in this Agreement, or (y) any breach of any covenant, agreement or obligation of the Company or any Subsidiary
contained in this Agreement or (z) any untrue or alleged untrue statement of a material fact contained in any Resale Registration
Statement or any amendment thereof or supplement thereto or any omission or alleged omission of a material fact required to be
stated therein or necessary to make the statements therein not misleading; provided, however, that the Company will not be liable
in any such case to the extent that any such Indemnified Liabilities (A) arise primarily out of or is based primarily upon the
inaccuracy of any representations and warranties made by such Buyer in this Agreement or (B) are caused by or contained in any
information furnished in writing to the Company by a Buyer expressly for use in a Resale Registration Statement or any amendment
thereof or supplement thereto. To the extent that the foregoing undertaking by the Company may be unenforceable for any reason,
the Company shall make the maximum contribution to the payment and satisfaction of each of the Indemnified Liabilities which is
permissible under applicable law. Notwithstanding anything to the contrary herein, the Company’s aggregate liability under
this Section 8(k) to any Indemnitee shall not exceed the Purchase Price paid by the applicable Buyer.

 

(ii)               
Promptly after receipt by an Indemnitee under this Section 8(k) of notice of the commencement of any action or proceeding
(including, without limitation, any governmental action or proceeding) involving an Indemnified Liability, such Indemnitee shall,
if a claim in respect thereof is to be made against any indemnifying party under this Section 8(k), deliver to the indemnifying
party a written notice of the commencement thereof, and the indemnifying party shall have the right to participate in, and, to
the extent the indemnifying party so desires, jointly with any other indemnifying party similarly noticed, to assume control of
the defense thereof with counsel mutually satisfactory to the indemnifying party and the Indemnitee; provided, however, that an
Indemnitee shall have the right to retain its own counsel with the fees and expenses of such counsel to be paid by the indemnifying
party if: (x) the indemnifying party has agreed in writing to pay such fees and expenses; (y) the indemnifying party shall have
failed promptly to assume the defense of such Indemnified Liability and to employ counsel reasonably satisfactory to such Indemnitee
in any such Indemnified Liability; or (z) the named parties to any such Indemnified Liability (including, without limitation, any
impleaded parties) include both such Indemnitee and the indemnifying party, and such Indemnitee shall have been advised by counsel
that a conflict of interest is likely to exist if the same counsel were to represent such Indemnitee and the indemnifying party
(in which case, if such Indemnitee notifies the indemnifying party in writing that it elects to employ separate counsel at the
expense of the indemnifying party, then the indemnifying party shall not have the right to assume the defense thereof and such
counsel shall be at the expense of the indemnifying party), provided further that in the case of clause (z) above the indemnifying
party shall not be responsible for the reasonable fees and expenses of more than one (1) separate legal counsel for such Indemnitee.
The Indemnitee shall reasonably cooperate with the indemnifying party in connection with any negotiation or defense of any such
action or claim by the indemnifying party and shall furnish to the indemnifying party all information reasonably available to the
Indemnitee which relates to such Indemnified Liability. The indemnifying party shall keep the Indemnitee reasonably apprised at
all times as to the status of the defense or any settlement negotiations with respect thereto. No indemnifying party shall be liable
for any settlement of any action, claim or proceeding effected without its prior written consent; provided, however, the indemnifying
party shall not unreasonably withhold, delay or condition its consent. No indemnifying party shall, without the prior written consent
of the Indemnitee, consent to entry of any judgment or enter into any settlement or other compromise which does not include as
an unconditional term thereof the giving by the claimant or plaintiff to such Indemnitee of a release from all liability in respect
to such Indemnified Liability, and such settlement shall not include any admission as to fault on the part of the Indemnitee. Following
indemnification as provided for hereunder, the indemnifying party shall be subrogated to all rights of the Indemnitee with respect
to all third parties, firms or corporations relating to the matter for which indemnification has been made. The failure to deliver
written notice to the indemnifying party within a reasonable time of the commencement of any such action shall not relieve such
indemnifying party of any liability to the Indemnitee under this Section 8(k), except to the extent that the indemnifying party
is materially and adversely prejudiced in its ability to defend such action. The indemnity agreements contained herein shall be
in addition to (A) any cause of action or similar right of the Indemnitees against the indemnifying party or others, and (B) any
liabilities the indemnifying party may be subject to pursuant to the law.

 

 

 

 

    	 	26	 

     

    

 

 

(l)                
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. Each party hereto agrees that
such party and/or its legal counsel has reviewed and had an opportunity to revise the Transaction Documents and, therefore, the
normal rule of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed
in the interpretation of the Transaction Documents or any amendments thereto. In addition, each and every reference to share prices
and shares of Common Stock in any Transaction Document shall be subject to adjustment for reverse and forward stock splits, stock
dividends, stock combinations and other similar transactions of the Common Stock that occur after the date of this Agreement.

 

(m)            
Remedies. The Buyers and each holder of the Securities shall have all rights and remedies set forth in the Transaction
Documents and all rights and remedies which such holders have been granted at any time under any other agreement or contract and
all of the rights which such holders have under any law. Any Person having any rights under any provision of this Agreement shall
be entitled to enforce such rights specifically (without posting a bond or other security), to recover damages by reason of any
breach of any provision of this Agreement and to exercise all other rights granted by law. Furthermore, the Company recognizes
that in the event that it fails to perform, observe, or discharge any or all of its obligations under the Transaction Documents,
any remedy at law may prove to be inadequate relief to the Buyers. The Company therefore agrees that the Buyers shall be entitled
to seek temporary and permanent injunctive relief in any such case without the necessity of proving actual damages and without
posting a bond or other security. The remedies provided in this Agreement and the other Transaction Documents shall be cumulative
and in addition to all other remedies available under this Agreement and the other Transaction Documents, at law or in equity (including
a decree of specific performance and/or other injunctive relief).

 

(n)              
Withdrawal Right. Notwithstanding anything to the contrary contained in (and without limiting any similar provisions
of) this Agreement, whenever any Buyer exercises a right, election, demand or option under this Agreement and the Company or any
Subsidiary does not timely perform its related obligations within the periods therein provided, then such Buyer may rescind or
withdraw, in its sole discretion from time to time upon written notice to the Company or such Subsidiary (as the case may be),
any relevant notice, demand or election in whole or in part without prejudice to its future actions and rights.

 

(o)              
Payment Set Aside. To the extent that the Company makes a payment or payments to a Buyer hereunder or pursuant to
any of the other Transaction Documents or a Buyer enforces or exercises its rights hereunder or thereunder, and such payment or
payments or the proceeds of such enforcement or exercise or any part thereof are subsequently invalidated, declared to be fraudulent
or preferential, set aside, recovered from, disgorged by or are required to be refunded, repaid or otherwise restored to the Company,
a trustee, receiver or any other Person under any law (including, without limitation, any bankruptcy law, foreign, state or federal
law, common law or equitable cause of action), then to the extent of any such restoration the obligation or part thereof originally
intended to be satisfied shall be revived and continued in full force and effect as if such payment had not been made or such enforcement
or setoff had not occurred.

 

(p)              
Independent Nature of Buyers’ Obligations and Rights. The obligations of each Buyer under any Transaction Document
are several and not joint with the obligations of any other Buyer, and no Buyer shall be responsible in any way for the performance
or non-performance of the obligations of any other Buyer under any Transaction Document. Nothing contained herein or in any other
Transaction Document, and no action taken by any Buyer pursuant hereto or thereto, shall be deemed to constitute the Buyers as
a partnership, an association, a joint venture or any other kind of entity, or create a presumption that the Buyers are in any
way acting in concert or as a group with respect to such obligations or the transactions contemplated by the Transaction Documents.
Each Buyer shall be entitled to independently protect and enforce its rights, including, without limitation, the rights arising
out of this Agreement or out of the other Transaction Documents, and it shall not be necessary for any other Buyer to be joined
as an additional party in any proceedings for such purpose. Each Buyer has been represented by its own separate legal counsel in
its review and negotiation of the Transaction Documents. The Company has elected to provide all Buyers with the same terms and
Transaction Documents for the convenience of the Company and not because it was required or requested to do so by any of the Buyers.
It is expressly understood and agreed that each provision contained in this Agreement and in each other Transaction Document is
between the Company and the Buyer, solely, and not between the Company and the Buyers collectively and not between and among the
Buyers.

  

(q)              
Enforcement Fees. The prevailing party in any dispute under or relating to this Agreement shall have the right to
collect from the other all costs and expenses incurred by such prevailing party as a result of enforcement of this Agreement and
the collection of any amounts owed to such prevailing party hereunder (whether in cash, equity or otherwise), including, without
limitation, reasonable attorneys’ fees and expenses.

 

[Signature Page(s) Follows]

 

 

 

 

    	 	27	 

     

    

 

IN WITNESS WHEREOF,
the Buyers and the Company have caused their respective signature page to this Securities Purchase Agreement to be duly executed
as of the date first written above.

 

 

 

	 	COMPANY:
	 	 	 
	 	MEDICINE MAN TECHNOLOGIES, INC.
	 	 	 
	 	By:	/s/ Leonardo Riera
	 	 	Name: Leonardo Riera
	 	 	Title: Member of the Special Committee Member

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    	 	28	 

     

    

 

 

IN WITNESS WHEREOF,
the Buyers and the Company have caused their respective signature page to this Securities Purchase Agreement to be duly executed
as of the date first written above.

 

 

 

	 	BUYERS:
	 	 	 
	 	Dye Capital Cann Holdings II, LLC
	 	 	 
	 	 	 
	 	 	 
	 	By:	/s/ Justin Dye
	 	 	Name: Justin Dye
	 	 	Title: Managing Member

 

	 	 
	 	Copies of notices to:
	 	 
	 	 
	 	 
	 	Attention: Justin Dye
	 	Email: Dye Capital

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    	 	29EX-4.1

 Exhibit 4.1 

RESIDEO TECHNOLOGIES, INC. 

and 
 [_____], as
Trustee 
 INDENTURE 

Dated as of [_____] 

 TABLE OF CONTENTS 

 

					
	 ARTICLE I DEFINITIONS AND INCORPORATION BY REFERENCE
	  	 	1	 
		
	 SECTION 1.01.     Definitions
	  	 	1	 
	 SECTION 1.02.     Incorporation by Reference of Trust Indenture Act
	  	 	3	 
	 SECTION 1.03.     Rules of Construction
	  	 	3	 
		
	 ARTICLE II THE SECURITIES
	  	 	4	 
		
	 SECTION 2.01.     Form and Dating
	  	 	4	 
	 SECTION 2.02.     Amount Unlimited; Issuable in Series
	  	 	4	 
	 SECTION 2.03.     Denominations
	  	 	5	 
	 SECTION 2.04.     Execution and Authentication
	  	 	5	 
	 SECTION 2.05.     Registrar and Paying Agent
	  	 	5	 
	 SECTION 2.06.     Paying Agent to Hold Money in Trust
	  	 	6	 
	 SECTION 2.07.     Securityholder Lists
	  	 	6	 
	 SECTION 2.08.     Transfer and Exchange
	  	 	6	 
	 SECTION 2.09.     Replacement Securities
	  	 	7	 
	 SECTION 2.10.     Outstanding Securities
	  	 	7	 
	 SECTION 2.11.     Temporary Securities
	  	 	8	 
	 SECTION 2.12.     Cancellation
	  	 	8	 
	 SECTION 2.13.     Defaulted Interest
	  	 	8	 
	 SECTION 2.14.     CUSIP Numbers
	  	 	8	 
		
	 ARTICLE III REDEMPTION
	  	 	9	 
		
	 SECTION 3.01.     Company’s Option to Redeem
	  	 	9	 
	 SECTION 3.02.     Notices to Trustee
	  	 	9	 
	 SECTION 3.03.     Selection of Securities to Be Redeemed
	  	 	9	 
	 SECTION 3.04.     Notice of Redemption at the Company’s Option
	  	 	9	 
	 SECTION 3.05.     Effect of Notice of Redemption
	  	 	10	 
	 SECTION 3.06.     Deposit of Redemption Price
	  	 	10	 
	 SECTION 3.07.     Holder’s Right to Require Redemption
	  	 	10	 
	 SECTION 3.08.     Procedure for Requiring Redemption
	  	 	10	 
	 SECTION 3.09.     Securities Redeemed in Part
	  	 	11	 
		
	 ARTICLE IV COVENANTS
	  	 	11	 
		
	 SECTION 4.01.     Payment of Securities
	  	 	11	 
	 SECTION 4.02.     Reporting
	  	 	11	 
	 SECTION 4.03.     Corporate Existence
	  	 	11	 
	 SECTION 4.04.     Compliance Certificate
	  	 	12	 
	 SECTION 4.05.     Further Instruments and Acts
	  	 	12	 
		
	 ARTICLE V SUCCESSOR CORPORATION
	  	 	12	 
		
	 SECTION 5.01.     Company May Consolidate, etc., Only on Certain
Terms
	  	 	12	 
	 SECTION 5.02.     Successor Corporation Substituted
	  	 	12	 
		
	 ARTICLE VI DEFAULTS AND REMEDIES
	  	 	13	 
		
	 SECTION 6.01.     Events of Default
	  	 	13	 

  
 - ii - 

					
	 SECTION 6.02.     Acceleration
	  	 	14	 
	 SECTION 6.03.     Other Remedies
	  	 	14	 
	 SECTION 6.04.     Waiver of Existing Defaults
	  	 	14	 
	 SECTION 6.05.     Control by Majority
	  	 	15	 
	 SECTION 6.06.     Payments of Securities on Default; Suit Therefor
	  	 	15	 
	 SECTION 6.07.     Limitation on Suits
	  	 	15	 
	 SECTION 6.08.     Rights of Holders to Receive Payment and to Demand
Conversion
	  	 	16	 
	 SECTION 6.09.     Collection Suit by Trustee
	  	 	16	 
	 SECTION 6.10.     Trustee May File Proofs of Claim
	  	 	16	 
	 SECTION 6.11.     Restoration of Positions
	  	 	16	 
	 SECTION 6.12.     Priorities
	  	 	16	 
	 SECTION 6.13.     Undertaking for Costs
	  	 	17	 
	 SECTION 6.14.     Stay, Extension or Usury Laws
	  	 	17	 
	 SECTION 6.15.     Liability of Stockholders, Officers, Directors and
Incorporators
	  	 	18	 
		
	 ARTICLE VII TRUSTEE
	  	 	18	 
		
	 SECTION 7.01.     Duties of Trustee
	  	 	18	 
	 SECTION 7.02.     Rights of Trustee
	  	 	19	 
	 SECTION 7.03.     Individual Rights of Trustee
	  	 	21	 
	 SECTION 7.04.     Trustee’s Disclaimer
	  	 	21	 
	 SECTION 7.05.     Notice of Defaults
	  	 	21	 
	 SECTION 7.06.     Reports by Trustee
	  	 	22	 
	 SECTION 7.07.     Compensation and Indemnity
	  	 	22	 
	 SECTION 7.08.     Replacement of Trustee
	  	 	23	 
	 SECTION 7.09.     Successor Trustee by Merger, etc.
	  	 	24	 
	 SECTION 7.10.     Eligibility; Disqualification
	  	 	24	 
	 SECTION 7.11.     Preferential Collection of Claims
	  	 	24	 
		
	 ARTICLE VIII DISCHARGE OF INDENTURE
	  	 	24	 
		
	 SECTION 8.01.     Termination of the Company’s Obligations
	  	 	24	 
	 SECTION 8.02.     Application of Trust Money
	  	 	25	 
	 SECTION 8.03.     Repayment to the Company
	  	 	25	 
	 SECTION 8.04.     Deposited Money and U.S. Government Obligations to Be Held
in Trust
	  	 	25	 
		
	 ARTICLE IX AMENDMENTS, SUPPLEMENTS AND WAIVERS
	  	 	26	 
		
	 SECTION 9.01.     Without Consent of Holders
	  	 	26	 
	 SECTION 9.02.     With Consent of Holders
	  	 	26	 
	 SECTION 9.03.     Compliance with Trust Indenture Act
	  	 	27	 
	 SECTION 9.04.     Revocation and Effect of Consents
	  	 	27	 
	 SECTION 9.05.     Notation on or Exchange of Securities
	  	 	28	 
	 SECTION 9.06.     Trustee to Sign Amendments, etc.
	  	 	28	 
		
	 ARTICLE X CONVERSION OR EXCHANGE OF SECURITIES
	  	 	28	 
		
	 SECTION 10.01.     Provisions Relating to Conversion or Exchange of
Securities
	  	 	28	 

  
 - iii - 

					
	 ARTICLE XI SINKING OR PURCHASE FUNDS
	  	 	28	 
		
	 SECTION 11.01.     Provisions Relating to Sinking or Purchase Funds
	  	 	28	 
		
	 ARTICLE XII CONCERNING THE HOLDERS
	  	 	29	 
		
	 SECTION 12.01.     Action by Holders
	  	 	29	 
	 SECTION 12.02.     Proof of Execution by Holders
	  	 	29	 
	 SECTION 12.03.     Who Are Deemed Absolute Owners
	  	 	29	 
	 SECTION 12.04.     Revocation of Consents; Future Holders Bound
	  	 	30	 
		
	 ARTICLE XIII MISCELLANEOUS
	  	 	30	 
		
	 SECTION 13.01.     Trust Indenture Act Controls
	  	 	30	 
	 SECTION 13.02.     Supplemental Indentures Control
	  	 	30	 
	 SECTION 13.03.     Notices
	  	 	30	 
	 SECTION 13.04.     Communication by Holders with Other Holders
	  	 	31	 
	 SECTION 13.05.     Certificate and Opinion as to Conditions Precedent
	  	 	32	 
	 SECTION 13.06.     When Treasury Securities Disregarded
	  	 	32	 
	 SECTION 13.07.     Rules by Trustee, Paying Agent, Registrar
	  	 	33	 
	 SECTION 13.08.     Legal Holidays
	  	 	33	 
	 SECTION 13.09.     Governing Law and Submission to Jurisdiction
	  	 	33	 
	 SECTION 13.10.     Actions by the Company
	  	 	33	 
	 SECTION 13.11.     No Adverse Interpretation of Other Agreements
	  	 	33	 
	 SECTION 13.12.     Successors
	  	 	33	 
	 SECTION 13.13.     Table of Contents, Headings, etc.
	  	 	33	 
	 SECTION 13.14.     Authenticating Agent
	  	 	34	 
	 SECTION 13.15.     Execution in Counterparts
	  	 	35	 
	 SECTION 13.16.     Severability
	  	 	35	 
	 SECTION 13.17.     Waiver of Jury Trial
	  	 	35	 
	 SECTION 13.18.     Force Majeure
	  	 	35	 
	 SECTION 13.19.     FATCA
	  	 	35	 

  
 - iv - 

 CROSS REFERENCE TABLE 

 

			
	TIA Section	  	Indenture Section
	 310(a)(1)
	  	7.10
	 (a)(2)
	  	7.10
	 (a)(3)
	  	N.A.
	 (a)(4)
	  	N.A.
	 (a)(5)
	  	N.A.
	 (b)
	  	7.08; 7.10
	 311(a)
	  	7.11
	 (b)
	  	7.11
	 312(a)
	  	2.07
	 (b)
	  	13.04
	 (c)
	  	13.04
	 313(a)
	  	7.06
	 (b)(1)
	  	7.06
	 (b)(2)
	  	7.06
	 (c)
	  	7.06
	 (d)
	  	7.06
	 314(a)(1)
	  	4.02
	 (a)(2)
	  	4.02
	 (a)(4)
	  	4.04
	 (b)
	  	N.A.
	 (c)
	  	2.04; 7.02(b); 8.01
	 (c)(1)
	  	13.05
	 (c)(2)
	  	13.05
	 (c)(3)
	  	13.05
	 (d)
	  	N.A.
	 (e)
	  	4.04; 13.05
	 (f)
	  	13.05
	 315(a)(1)
	  	6.05; 7.01(b)(i)
	 (a)(2)
	  	7.01(b)(ii)
	 (b)
	  	7.05; 13.03
	 (c)
	  	7.01(a)
	 (d)(1)
	  	7.01(b)
	 (d)(2)
	  	7.01(c)
	 (d)(3)
	  	6.05; 7.01(d)
	 (e)
	  	6.13
	 316(a)(last sentence)
	  	13.06
	 (a)(1)(A)
	  	6.05
	 (a)(1)(B)
	  	6.04
	 (a)(2)
	  	N.A.
	 (b)
	  	6.08
	 (c)
	  	9.02; 13.03
	 317(a)(1)
	  	6.09
	 (a)(2)
	  	6.10
	 (b)
	  	2.06
	 318(a)
	  	1.02; 13.01

 N.A. means Not Applicable. 

Note: This cross-reference table shall not, for any purpose, be deemed to be a part of the Indenture. 

  
 - v - 

 INDENTURE, dated as of [_____] between Resideo Technologies, Inc., a Delaware corporation
(the “Company”), and [_____], a [_____] (the “Trustee”). Each party agrees as follows for the benefit of each other party and for the equal and ratable benefit of the Holders of the Company’s debentures, notes
or other evidences of unsecured indebtedness to be issued in one or more series (“Securities”): 
 
ARTICLE I 
 DEFINITIONS AND INCORPORATION BY REFERENCE 

SECTION 1.01. Definitions. 

“Bankruptcy Law” has the meaning provided in Section 6.01. 

“Board Resolution” means a resolution by the Board of Directors of the Company certified by its Secretary or an Assistant
Secretary as being duly adopted and in full force and effect. 
 “Business Day” means any day other than a Saturday, a
Sunday or a day on which the Federal Reserve Bank of New York is authorized or required by law or executive order to close or be closed. 

“Capital Stock” means, for any entity, any and all shares, interests, rights to purchase, warrants, options, participations
or other equivalents of or interests in (however designated) stock issued by that entity. 
 “Commission” means the
Securities and Exchange Commission. 
 “Common Stock” means the common stock, par value $.001 per share, of the Company, as
that stock may be reconstituted from time to time. 
 “Company” means the Person named as such in this Indenture until a
successor replaces it and after that means the successor. 
 “Company Order” means a written order of the Company, signed
by (a) [_____] and (b) any Officer designated in clause (a) of this definition or [_____], and delivered to the Trustee. 

“Corporate Trust Office” means the office of the Trustee at which at any particular time its corporate trust business is
principally administered (which at the date of this Indenture is at [_____]), or such other address as the Trustee may designate from time to time by notice to Holders and the Company, or the principal corporate trust office of any successor Trustee
(or such other address as such successor Trustee may designate from time to time by notice to the Holders and the Company). 

“Corporation” includes corporations, associations, companies and business trusts. 

“Custodian” has the meaning provided in Section 6.01. 

“Default” means any event that, upon the giving of notice or passage of time, or both, would be an Event of Default. 

  
 - 1 - 

 “Depositary” means The Depository Trust Company, its nominees and their
respective successors and assigns. 
 “$” means the lawful currency of the United States. 

“Event of Default” has the meaning provided in Section 6.01. 

“Exchange Act” means the Securities Exchange Act of 1934, as amended. 

“Global Security” has the meaning provided in Section 12.03. 

“Holder” or “Securityholder” means a Person in whose name a Security is registered on the Registrar’s
books. 
 “Indenture” means this Indenture as amended or supplemented from time to time and will include the form and terms
of the Securities of each series established as contemplated by Section 2.01. 
 “Interest Payment Date” means the
date on which an installment of interest on the Securities is due and payable. 
 “Maturity Date” means the date the
principal of Securities is due and payable. 
 “Officer” means, with respect to the Company, [____]. 

“Officer’s Certificate” when used with respect to the Company means a certificate signed by an Officer, and delivered to
the Trustee. Each such certificate will comply with Section 314 of the TIA and include the statements described in Section 13.05. 

“Opinion of Counsel” means an opinion in writing signed by legal counsel, who may be an employee of or counsel to the
Company, that is delivered to the Trustee, which opinion may contain customary exceptions and qualifications as to the matters set forth therein. Each such opinion will include the statements described in Section 13.05 if and to the extent
required by that Section. 
 “Paying Agent” has the meaning provided in Section 2.05. 

“Person” means any individual, corporation, limited liability company, partnership, joint venture, joint-stock company,
trust, unincorporated organization or government or any government agency or political subdivision. 
 “Registrar” has the
meaning provided in Section 2.05. 
 “Securities” has the meaning set forth in the first paragraph of this Indenture.

 “State” means any state of the United States or the District of Columbia. 

“Subsidiary” means, with respect to any Person, any corporation, association, partnership or other business entity of which
more than 50% of the total voting power of shares of Capital 

  
 - 2 - 

 
Stock or other interests (including partnership interests) entitled (without regard to the occurrence of any contingency) to vote in the election of directors, managers, general partners or
trustees thereof is at the time owned or controlled, directly or indirectly, by (i) such Person; (ii) such Person and one or more Subsidiaries of such Person; or (iii) one or more Subsidiaries of such Person. 

“Supplemental Indenture” means an indenture between the Company and the Trustee which supplements this Indenture. 

“TIA” means the Trust Indenture Act of 1939, as amended, as in effect on the date of this Indenture, except to the extent
that the Trust Indenture Act or any amendment thereto expressly provides for application of the Trust Indenture Act as in effect on another date. 

“Trustee” means the Person named as such in this Indenture and, subject to the provisions of Article VII, any successor to
that person. 
 “Trust Officer” means, when used with respect to the Trustee, any officer assigned to the corporate trust
department of the Trustee, who shall have direct responsibility for the administration of this Indenture, and for the purposes of Section 7.01(c) and Section 7.05 shall also include any other officer of the Trustee to whom any corporate
trust matter is referred because of such officer’s knowledge of and familiarity with the particular subject. 
 “United
States” means the United States of America. 
 “U.S. Government Obligations” means: (a) direct obligations of
the United States for the payment of which its full faith and credit is pledged; or (b) obligations of a person controlled or supervised by and acting as an agency or instrumentality of the United States the payment of which is unconditionally
guaranteed as a full faith and credit obligation by the United States. 
 SECTION 1.02. Incorporation by
Reference of Trust Indenture Act. Whenever this Indenture refers to a provision of the TIA, the provision is incorporated by reference in and made a part of this Indenture. In addition, the provisions of Sections 310 to and including 317 of the
TIA that impose duties on any person are incorporated by reference in, and form a part of, this Indenture. 
 All TIA terms used in this
Indenture that are defined in the TIA, defined in the TIA by reference to another statute or defined by Commission rule have the meanings assigned to them. 

SECTION 1.03. Rules of Construction. Unless the context otherwise requires: 

(a) a term has the meaning assigned to it; 

(b) an accounting term not otherwise defined has the meaning assigned to it in accordance with generally accepted accounting principles in the
United States; 
 (c) “or” is not exclusive; 

(d) the words “herein”, “hereof” and “hereunder” and other words of similar import refer to this Indenture as a
whole and not to any particular Article, Section or other subdivision; 

  
 - 3 - 

 (e) words importing any gender include the other genders; 

(f) references to “writing” include printing, typing, lithography and other means of reproducing words in a visible form; 

(g) the words “including,” “includes” and “include” shall be deemed to be followed by the words “without
limitation”; and 
 (h) words in the singular include the plural, and in the plural include the singular. 

ARTICLE II 

THE SECURITIES 
 
SECTION 2.01. Form and Dating. The Securities of each series will be substantially in the form established by a Supplemental Indenture relating to the Securities of that series. The Securities may have notations, legends or endorsements
required by law, stock exchange rules or usage. The Company will approve the form of the Securities and any notation, legend or endorsement on them. Each Security will be dated the date of its authentication. 

SECTION 2.02. Amount Unlimited; Issuable in Series. The aggregate principal amount of the Securities that
may be authenticated and delivered under this Indenture is unlimited. The Securities may be issued in one or more series. Prior to the issuance of Securities of a series, the Company and the Trustee will execute a Supplemental Indenture that will
set forth as to the Securities of that series, to the extent applicable: 
  

	 	(a)	 the title of the Securities; 

 

	 	(b)	 any limit upon the aggregate principal amount of Securities which may be issued; 

 

	 	(c)	 the date or dates on which the Securities will mature and the amounts to be paid upon maturity of the
Securities; 

  

	 	(d)	 the rate or rates (which may be fixed or variable) at which the Securities will bear interest, if any, or
contingent interest, if any, the dates from which interest will accrue, the dates on which interest will be payable and the record date for the interest payable on any interest payment date; 

 

	 	(e)	 the currency or currencies in which principal, premium, if any, and interest, if any, will be payable;

  

	 	(f)	 the place or places where principal of, premium, if any, and interest, if any, on the Securities will be
payable; 

  

	 	(g)	 any provisions regarding the right of the Company to redeem or repurchase Securities or of holders to require
the Company to redeem or repurchase Securities; 

  

	 	(h)	 whether the Securities are senior or subordinated debt securities, and if subordinated debt securities, the
terms of such subordination; 

  
 - 4 - 

	 	(i)	 the right, if any, of holders of the Securities to convert them into common stock or other securities of the
Company, including any contingent conversion provisions and any provisions intended to prevent dilution of those conversion rights; 

  

	 	(j)	 any provisions by which the Company will be required or permitted to make payments to a sinking fund which will
be used to redeem Securities or a purchase fund which will be used to purchase Securities; 

  

	 	(k)	 any index or formula used to determine the required payments of principal, premium, if any, or interest, if
any; 

  

	 	(l)	 the percentage of the principal amount of the Securities that is payable if maturity of the Securities is
accelerated because of a default; 

  

	 	(m)	 any special or modified events of default or covenants with respect to the Securities; 

 

	 	(n)	 any other terms of the Securities, which may be different from the terms set forth in this Indenture.

 SECTION 2.03. Denominations. Unless otherwise provided in the Supplemental
Indenture relating to a series of Securities, the Securities of each series will be issuable in registered form without coupons in denominations of $1,000 and multiples of $1,000. 

SECTION 2.04. Execution and Authentication. The Securities of each series shall be signed in the name and
on behalf of the Company by the manual or facsimile signature of its [____]. 
 At any time and from time to time after the execution and
delivery of this Indenture, the Company may deliver Securities executed by the Company to the Trustee for authentication, together with a Company Order for the authentication and delivery of such Securities, and the Trustee in accordance with such
Company Order shall authenticate and deliver such Securities. A Security will not be valid until an authorized signatory of the Trustee signs the certificate of authentication on the Security by manual or facsimile signature. The signature will be
conclusive evidence that the Security has been authenticated under this Indenture. 
 In case any Officer of the Company who shall have
signed any of the Securities shall cease to be such Officer before the Securities so signed shall have been authenticated and delivered by the Trustee, or disposed of by the Company, such Securities nevertheless may be authenticated and delivered or
disposed of as though the Person who signed such Securities had not ceased to be such Officer of the Company; and any Security may be signed on behalf of the Company by such persons as, at the actual date of the execution of such Security, shall be
the Officers of the Company, although at the date of the execution of this Indenture any such Person was not such an Officer. 
 
SECTION 2.05. Registrar and Paying Agent. The Company will maintain an office or agency where Securities of each series may be presented for conversion, registration of transfer or for exchange (the “Registrar”) and an
office or agency where Securities of each series may be presented for payment (“Paying Agent”). The Registrar will keep a register of the Securities of 

  
 - 5 - 

 
each series and of their transfer and exchange. The Company may have one or more co-registrars and one or more additional paying agents. The term
“Paying Agent” includes any additional paying agent. 
 The Company will enter into an appropriate agency agreement with any
Registrar, Paying Agent or co-registrar not a party to this Indenture that will incorporate the terms of the TIA. The agreement will implement the provisions of this Indenture that relate to that agent. The
Company will notify the Trustee of the name and address of any such agent. If the Company fails to maintain a Registrar or Paying Agent, the Trustee will act as such. The Company or any Subsidiary may act as Paying Agent, Registrar, co-registrar or transfer agent. 
 The Company initially appoints the Trustee to act as Registrar and
Paying Agent in connection with the Securities of each series, except in instances in which the Supplemental Indenture relating to a series of Securities appoints a different Registrar or Paying Agent. 

SECTION 2.06. Paying Agent to Hold Money in Trust. Prior to each due date of the principal of, premium,
if any, or interest, if any, on any Security, the Company will deposit with the Paying Agent a sum sufficient to pay that principal, premium or interest when due. The Paying Agent will hold in trust for the benefit of the Holders of the Securities
of a series, and if the Paying Agent is not the Trustee, in trust for the benefit of the Trustee, all sums held by the Paying Agent for the payment of principal, premium or interest on the Securities of that series and, in the case of a Paying Agent
other than the Trustee, the Paying Agent will give the Trustee notice of any default by the Company in making any such payment. If the Company or a Subsidiary acts as Paying Agent, it will segregate the money held by it as Paying Agent and hold it
as a separate trust fund. The Company at any time may require a Paying Agent to pay all money held by it to the Trustee and to account for any funds disbursed by the Paying Agent. Upon complying with this Section, the Paying Agent will have no
further liability for the money. 
 SECTION 2.07. Securityholder Lists. The Trustee will preserve in
as current a form as is reasonably practicable the most recent list available to it of the names and addresses of the Holders of the Securities of each series. If the Trustee is not the Registrar, in accordance with Section 312(a) of the TIA,
the Company will furnish to the Trustee in writing at least five Business Days before each Interest Payment Date and at such other times as the Trustee may request in writing within 30 days after the receipt by the Company of any such request all
information in the possession or control of the Company or its Paying Agent as to the names and addresses of Holders of the Securities of a series. 

SECTION 2.08. Transfer and Exchange. Unless otherwise provided in the Supplemental Indenture relating to
Securities of a series, Securities which are issued in registered form will be transferred only upon the surrender of the Securities for registration of transfer. When a Security is presented to the Registrar or a
co-registrar with a request to register a transfer, the Registrar will register the transfer as requested if the requirements of Article 8 of the New York Uniform Commercial Code are met. When Securities are
presented to the Registrar or a co-registrar with a request to exchange them for an equal principal amount of Securities of the same series of other denominations, the Registrar will make the exchange as
requested if the same requirements are met. To permit registration of transfers and exchanges, the Company will execute and the Trustee will authenticate Securities at the Registrar’s or
co-registrar’s request. The 

  
 - 6 - 

 
Company will not charge a fee for transfers or exchanges, but the Company may require payment from the applicable Securityholder of a sum sufficient to cover any tax or other governmental charge
and any other expenses (including fees and expenses of the Trustee) that may be imposed in connection with any registration of transfer or exchange of the Securities, other than exchanges pursuant to Sections 2.11, 3.09 and 9.05 not involving any
transfer. 
 The Company will not be required to make, and the Registrar need not register, transfer or exchange (a) Securities
selected for redemption (except, in the case of Securities to be redeemed in part, transfers or exchanges of the portion of the Securities not to be redeemed) or (b) any Securities of a series for a period of 15 days before the first mailing of
a notice of the Securities of that series which are to be redeemed. 
 Prior to the due presentation for registration or transfer of any
Security which was issued in registered form, the Company, the Trustee, the Paying Agent, any authenticating agent, the Registrar or any co-registrar may deem and treat the person in whose name the Security is
registered as the absolute owner of the Security for all purposes, and none of the Company, the Trustee, the Paying Agent, the Registrar or any co-registrar will be affected by notice to the contrary. 

SECTION 2.09. Replacement Securities. If a mutilated Security which had been issued in registered form
is surrendered to the Registrar or if the Holder presents evidence to the satisfaction of the Company and the Trustee that a Security which had been issued in registered form has been lost or destroyed, the Company will issue and the Trustee or an
authenticating agent appointed by the Trustee will authenticate a replacement Security of the same series if the requirements of Section 8-405 of the New York Uniform Commercial Code are met and the
Holder satisfies any other reasonable requirements of the Trustee. If required by the Trustee or the Company, the replacement Security will not be issued until the Holder furnishes an indemnity bond sufficient in the judgment of the Company and the
Trustee to protect the Company, the Trustee, and if applicable, the authenticating agent, the Paying Agent and the Registrar or any co-registrar from any loss which any of them may suffer if the Security is
replaced. The Company may charge the Holder for its expenses in replacing a Security. 
 Every replacement Security will be an obligation of
the Company, even if the replaced Security is subsequently found. 
 SECTION 2.10. Outstanding
Securities. The Securities outstanding at any time will be all the Securities authenticated by the Trustee, except those cancelled by it, those delivered to it for cancellation and those described in this Section as not outstanding. A Security
does not cease to be outstanding because the Company or its affiliate holds the Security. 
 If a Security is replaced pursuant to
Section 2.09, it ceases to be outstanding unless the Trustee and the Company receive proof satisfactory to them that the replaced Security is held by a protected purchaser (in which case the replaced Security will be treated as outstanding to
the extent permitted by Section 8-210 of the New York Uniform Commercial Code). 
 If the
Paying Agent (other than the Company or a Subsidiary) segregates and holds in trust, in accordance with this Indenture, on a redemption date or Maturity Date money sufficient to pay 

  
 - 7 - 

 
all principal, premium, if any, and interest, if any, payable on that date with respect to the Securities to be redeemed or maturing, as the case may be, then on that date those Securities will
cease to be outstanding and interest on them will cease to accrue. 
 SECTION 2.11. Temporary
Securities. Until definitive Securities of a series are ready for delivery, the Company may prepare and the Trustee or an authenticating agent appointed by the Trustee will authenticate temporary Securities of that series. Temporary Securities
will be substantially in the form of definitive Securities but may have variations that the Company considers appropriate for temporary Securities. Without unreasonable delay, the Company will prepare and the Trustee or an authenticating agent
appointed by the Trustee will authenticate definitive Securities and deliver them in exchange for temporary Securities. 
 
SECTION 2.12. Cancellation. The Company at any time may deliver Securities of a series to the Trustee for cancellation and the Trustee will reduce accordingly the aggregate amount of the Securities of that series which are outstanding.
The Registrar and the Paying Agent will forward to the Trustee any Securities surrendered to them for registration of transfer, exchange, payment, or conversion. The Trustee and no one else will cancel and dispose of all Securities surrendered for
registration of transfer, exchange, payment, conversion or cancellation in accordance with its procedures for the disposition of cancelled securities and deliver certificates of such disposition to the Company unless the Company directs the Trustee
to deliver the cancelled Securities to the Company. Subject to Section 2.09, the Company may not issue new Securities of a series to replace Securities of the series it has redeemed, paid, converted or delivered to the Trustee for cancellation.

 SECTION 2.13. Defaulted Interest. If the Company defaults in a payment of interest on the
Securities of a series, it will pay defaulted interest (plus interest on such defaulted interest to the extent lawful) to the persons who are Holders of the Securities of that series on a subsequent special record date, which date will be at least
five Business Days prior to the payment date. The Company will fix the special record date and payment date, and, at least 15 days before the special record date, the Company will mail to each Holder of Securities of that series a notice that states
the special record date, the payment date and the amount of defaulted interest and any interest on that defaulted interest which is to be paid. Notwithstanding the foregoing, the Company may pay defaulted interest in any other lawful manner. 

SECTION 2.14. CUSIP Numbers. The Company in issuing the Securities may use “CUSIP,”
“ISIN” or other similar numbers (if then generally in use), and, if so, the Trustee shall use “CUSIP,” “ISIN” or other similar numbers, as the case may be, in notices of redemption or exchange as a convenience to
Holders; provided that any such notice may state that no representation is made as to the correctness of such numbers either as printed on the Securities or as contained in any notice of a redemption and that reliance may be placed only on the other
identification numbers printed on the Securities, and any such redemption shall not be affected by any defect in or omission of such numbers. The Company will promptly notify the Trustee in writing of any change in the “CUSIP,”
“ISIN” or other similar numbers. 

  
 - 8 - 

 ARTICLE III 

REDEMPTION 
 
SECTION 3.01. Company’s Option to Redeem. The Company will have the option to redeem Securities of a series only to the extent, if any, and only on the terms, set forth in the Supplemental Indenture relating to the
Securities of that series. If the Company has the option to redeem Securities of a series, unless otherwise provided in the Supplemental Indenture relating to the series, the terms of the redemption will include those set forth in Sections 3.02
through 3.06 and 3.08. 
 SECTION 3.02. Notices to Trustee. If the Company elects to redeem Securities
of a series, it will notify the Trustee of the redemption date and the principal amount and series of Securities to be redeemed. The Company will give each notice provided for in this Section not less than 35 days before the redemption date (or such
shorter period of time as may be acceptable to the Trustee). If fewer than all the Securities of a series are to be redeemed, the record date for determining which Securities of the series are to be redeemed will be selected by the Company, which
will give notice of the record date to the Trustee at least 15 days before the record date. 
 SECTION 3.03.
Selection of Securities to Be Redeemed. If fewer than all the Securities of a series are to be redeemed at the Company’s option, such Securities or portions thereof shall be selected in accordance with the procedures of the Depositary in
the case of global Securities, and in the case of Securities in definitive form the Trustee will select the Securities of that series to be redeemed by lot. Provisions of this Indenture that apply to Securities called for redemption also apply to
portions of Securities called for redemption. The Trustee will notify the Company promptly of the Securities or portions of Securities to be redeemed. 

SECTION 3.04. Notice of Redemption at the Company’s Option. At least 30 days and not
more than 60 days before a date set for redemption at the Company’s option, the Company will deliver a notice of redemption to each Holder of Securities to be redeemed in whole or in part. The notice will identify the principal amount and
series of each Security to be redeemed and will state: 
  

	 	(a)	 the redemption date; 

 

	 	(b)	 the redemption price plus accrued interest, if any; 

 

	 	(c)	 the name and address of the Paying Agent; 

 

	 	(d)	 that Securities called for redemption in whole or in part must be surrendered to the Paying Agent to collect
the redemption price plus accrued interest, if any; 

  

	 	(e)	 that, unless the Company defaults in making the redemption payment, interest on Securities (or portions of
Securities) called for redemption will cease to accrue on the redemption date and, if applicable, that those Securities (or the portions of then called for redemption) will cease on the redemption date (or such other date as is provided in the
Supplemental Indenture relating to the Securities) to be convertible into, or exchangeable for, other securities or assets; 

  
 - 9 - 

	 	(f)	 if applicable, the current conversion or exchange price; and 

 

	 	(g)	 the CUSIP, ISIN or other similar numbers, if any, assigned to such Securities. 

At the Company’s request delivered at least five (5) days prior to the date such notice of redemption is to be given (unless a
shorter period shall be acceptable to the Trustee), the Trustee will give the notice of redemption in the Company’s name and at the Company’s expense. In such event, the Company will provide the Trustee with the information required by
clauses (a) through (c), (f) and (g). 
 SECTION 3.05. Effect of Notice of Redemption. Once
notice of redemption is sent, Securities, or portions of Securities called for redemption will become due and payable on the redemption date and at the redemption price. Upon surrender to the Paying Agent, those Securities will be paid at the
redemption price, plus accrued and unpaid interest to the redemption date. On and after the date fixed for redemption (unless the Company defaults in the payment of the redemption price, together with interest accrued to the redemption date)
interest on the Securities, or portions of them, which are redeemed will cease to accrue and any right to convert those Securities into, or exchange them for, other securities or assets will terminate and those Securities will cease to be
convertible or exchangeable. Failure to give notice or any defect in the notice to any Holder will not affect the validity of the notice to any other Holder. 

SECTION 3.06. Deposit of Redemption Price. No later than the Business Day prior to the redemption date
specified in a notice of redemption, the Company will deposit with the Paying Agent (or, if the Company or a Subsidiary is the Paying Agent, segregate and hold in trust) money sufficient to redeem on the redemption date all the Securities called for
redemption on that redemption date at the appropriate redemption price, together with accrued interest to the redemption date, other than Securities or portions of Securities called for redemption which have been delivered by the Company to the
Trustee for cancellation or Securities which have been surrendered for conversion or exchange. If any Securities called for redemption are converted or exchanged, any money deposited with the Paying Agent for redemption of those Securities will be
paid to the Company upon its request, or, if the money is held in trust by the Company or a Subsidiary as Paying Agent, the money will be discharged from the trust. 

SECTION 3.07. Holder’s Right to Require Redemption. Holders of Securities of a series
will have the right to require the Company to redeem those Securities only to the extent, and only on the terms, set forth in the Supplemental Indenture relating to the Securities of that series. If Holders of Securities of a series have the right
to require the Company to redeem those Securities, unless otherwise provided in the Supplemental Indenture relating to the Securities of that series, the terms of the redemption will include those set forth in Section 3.08. 

SECTION 3.08. Procedure for Requiring Redemption. If a Holder has the right to require the Company to
redeem Securities, to exercise that right, the Holder must deliver the Securities to the Paying Agent, endorsed for transfer and with the form on the reverse side entitled “Option to Require Redemption” completed. Delivery of Securities to
the Paying Agent as provided in this Section will constitute an irrevocable election to cause the specified principal amount of Securities to be redeemed. When Securities are delivered to the Paying Agent as provided in this Section, unless the
Company fails to make the payments due as a result of the 

  
 - 10 - 

 
redemption within 20 days after the Securities are delivered to the Paying Agent as provided in this Section interest on the Securities will cease to accrue and, if the Securities are convertible
or exchangeable, the Holder’s right to convert or exchange the Securities will terminate. 
 The Company’s determination of all
questions regarding the validity, eligibility (including time of receipt of Securities delivered by the Holders) and acceptance of any Security for redemption will be final and binding. 

SECTION 3.09. Securities Redeemed in Part. Upon surrender of a Security that is redeemed in part, the
Company will execute and the Trustee will authenticate and deliver to the Holder (at the Company’s expense) a new Security equal of the same series in principal amount equal to the unredeemed portion of the Security which was surrendered. 

ARTICLE IV 

COVENANTS 
 
SECTION 4.01. Payment of Securities. The Company will promptly pay or cause to be paid the principal of, premium, if any, and interest, if any, on each of the Securities of a series at the places and time and in the manner provided in the
Securities and in the Supplemental Indenture relating to the series. An installment of principal, premium or interest will be considered paid on the date it is due if the Trustee or Paying Agent holds on that date in accordance with this Indenture
or the applicable Supplemental Indenture money designated for and sufficient to pay the installment then due. 
 The Company will pay or
cause to be paid interest on overdue principal at the rate specified in the Securities; it will also pay interest on overdue installments of interest at the same rate (or such other rate as is provided in the applicable Supplemental Indenture), to
the extent lawful. 
 SECTION 4.02. Reporting. The Company will file with the Trustee within 15 days
after filing with the Commission, copies of its annual reports and of the information, documents, and other reports (or copies of such portions of any of the foregoing as the Commission may by rules and regulations prescribe) that the Company is
required to file with the Commission pursuant to Section 13 or 15(d) of the Exchange Act. Any such document or report that the Company files with the Commission via the Commission’s EDGAR system shall be deemed to be filed with the Trustee
for purposes of this Section 4.02 at the time such documents are filed via the EDGAR system. 
 Delivery of such reports, information
and documents to the Trustee is for informational purposes only and the Trustee’s receipt of such shall not constitute actual or constructive notice of any information contained therein or determinable from information contained therein,
including the Company’s compliance with any of its covenants hereunder (as to which the Trustee is entitled to rely exclusively on an Officer’s Certificate). 

SECTION 4.03. Corporate Existence. Subject to Article V, the Company will do or cause to be done all
things necessary to preserve and keep in full force and effect its corporate existence. 

  
 - 11 - 

 SECTION 4.04. Compliance Certificate. The Company will
deliver to the Trustee within 120 days after the end of each year an Officer’s Certificate stating that in the course of the performance by the signers of their duties as Officers of the Company they would normally have knowledge of any default
by the Company and whether or not the signers know of any default that occurred during such year. If they do, the certificate will describe the default, its status and what action the Company is taking or proposes to take with respect thereto. The
Company also will comply with TIA Section 314(a)(4). 
 SECTION 4.05. Further Instruments and
Acts. Upon request of the Trustee, the Company will execute and deliver such further instruments and do such further acts as may be reasonably necessary or proper to carry out more effectively the purpose of this Indenture. 

ARTICLE V 

SUCCESSOR CORPORATION 
 
SECTION 5.01. Company May Consolidate, etc., Only on Certain Terms. The Company will not consolidate with or merge into any other corporation or convey, transfer or lease all or substantially all of its properties and assets to another
Person, unless: 
 (a) the corporation formed by the consolidation or into which the Company is merged or the person which acquires by
conveyance or transfer, or which leases, the properties and assets of the Company substantially as an entirety will be a corporation organized and existing under the laws of the United States of America, a State of the United States of America or
the District of Columbia and expressly assumes, by one or more Supplemental Indentures, executed and delivered to the Trustee, in form satisfactory to the Trustee, the due and punctual payment of the principal of, premium, if any, and interest, if
any, on all the Securities of each series and the performance of every covenant of this Indenture and of all Supplemental Indentures to be performed or observed by the Company; 

(b) with regard to each series of Securities, immediately after giving effect to the transaction, no Event of Default with respect to that
series of Securities, and no event which, after notice or lapse of time or both, would become an Event of Default with respect to that series of Securities, will have occurred and be continuing; and 

(c) the Company has delivered to the Trustee an Officer’s Certificate, and an Opinion of Counsel, each stating that the consolidation,
merger, conveyance, transfer or lease and the Supplemental Indenture (or the Supplemental Indentures together) comply with this Article and that all the conditions precedent relating to the transaction set forth in this Section have been fulfilled.

 SECTION 5.02. Successor Corporation Substituted. Upon any event described in Section 5.01, the
successor corporation will succeed to, and be substituted for, and may exercise every right and power of, the Company under this Indenture and all the Supplemental Indentures relating to outstanding series of Securities, and the predecessor
corporation will be relieved of all obligations and covenants under this Indenture and each of those Supplemental Indentures. 

  
 - 12 - 

 ARTICLE VI 

DEFAULTS AND REMEDIES 
 
SECTION 6.01. Events of Default. An “Event of Default” occurs if: 
 (a) The Company defaults in the payment of interest
on any Security of any series when it becomes due and payable and the default continues for a period of 30 days (or such other period, which may be no period as is specified in the Supplemental Indenture relating to the series); 

(b) The Company defaults in the payment of the principal of, or premium, if any, on any Security of any series as and when it becomes due and
payable at its stated maturity or upon redemption, acceleration or otherwise and, if provided in the Supplemental Indenture relating to a series, the default continues for a period specified in the Supplemental Indenture; 

(c) The Company fails to comply with any of its other covenants or agreements with regard to Securities of a series or this Indenture (other
than a covenant or agreement, a default in whose performance or whose breach is dealt with specifically elsewhere in this Section) and that failure continues for a period of 90 days after the date of the notice specified below; 

(d) the Company, pursuant to any Bankruptcy Law applicable to the Company: 

(i) commences a voluntary case; 

(ii) consents to the entry of an order for relief against it in an involuntary case; 

(iii) consents to the appointment of a Custodian of it or for any substantial part of its property; or 

(iv) makes a general assignment for the benefit of its creditors; or 

(e) a court of competent jurisdiction enters an order or decree under any applicable Bankruptcy Law: 

(i) for relief in an involuntary case; 

(ii) appointing a Custodian of the Company or for any substantial part of its property; or 

(iii) ordering its winding up or liquidation; and the order or decree remains unstayed and in effect for 90 days. 

Each of the occurrences described in clauses (a) through (e) will constitute an Event of Default whatever the reason for the occurrence
and whether it is voluntary or involuntary or is effected by operation of law or pursuant to any judgment, decree or order of any court or any order, rule or regulation of any administrative or governmental body. 

  
 - 13 - 

 The term “Bankruptcy Law” means Title 11 of the United States Code or any
similar United States Federal or State law for the relief of debtors. The term “Custodian” means any receiver, trustee, assignee, liquidator, custodian or similar official under any Bankruptcy Law. 

A Default under clause (c) of this Section is not an Event of Default until the Trustee notifies the Company, or the Holders of at least
25% in principal amount of the then outstanding Securities of a series with regard to which the Company has failed to comply with a covenant or agreement notify the Company and the Trustee, of the Default and the Company does not cure the Default
within 90 days after the giving of the notice. The notice must specify the Default, demand that it be remedied and state that the notice is a “Notice of Default.” 

A Default under clause (a), (b) or (c) with regard to Securities of a series will not constitute a Default with regard to Securities of
any other series except to the extent, if any, provided in the Supplemental Indenture relating to the other series. 
 
SECTION 6.02. Acceleration. If an Event of Default as to the Securities of a series occurs and is continuing, unless the principal of all of the Securities of the series has already become due and payable, the Trustee by notice to the
Company, or the Holders of at least 25% in aggregate principal amount of the Securities of the series then outstanding by notice to the Company and the Trustee, may declare the principal of and accrued interest, if any, on all the Securities of the
series to be due and payable. Upon such a declaration, that principal and interest will be due and payable immediately. If an Event of Default specified in Section 6.01(d) or (e) occurs, the principal of, premium, if any, and accrued
interest, if any, on all the Securities will automatically become and be immediately due and payable without any declaration or other act on the part of the Trustee or any Securityholders. The Holders of a majority in principal amount of the
Securities of a series then outstanding, on behalf of the Holders of all the Securities of the series, by notice to the Trustee may rescind an acceleration and its consequences if all existing Events of Default have been cured or waived except
nonpayment of principal, premium, if any, or interest, if any, that has become due solely because of acceleration, and if the rescission would not conflict with any judgment or decree. No such rescission will affect any subsequent default or impair
any consequent right. 
 SECTION 6.03. Other Remedies. If an Event of Default as to a series occurs
and is continuing, the Trustee may pursue any available remedy to collect the payment of principal of, premium, if any, and interest, if any, on the Securities of the series or to enforce the performance of any provision under this Indenture or any
applicable Supplemental Indenture. 
 The Trustee may maintain a proceeding even if it does not possess any of the Securities or does not
produce any of them in the proceeding. A delay or omission by the Trustee or any Securityholder in exercising any right or remedy accruing upon an Event of Default will not impair the right or remedy or constitute a waiver of or acquiescence in the
Event of Default. No remedy is exclusive of any other remedy. All available remedies are cumulative. 

SECTION 6.04. Waiver of Existing Defaults. The Holders of a majority in aggregate principal amount of
the Securities of a series then outstanding, on behalf of the Holders of all the Securities of that series, by notice to the Trustee may consent to the waiver of any past Default with regard to Securities of the series and its consequences except
(a) a default in the payment of 

  
 - 14 - 

 
interest or premium, if any, on, or the principal of, Securities of the series, or (b) a default in respect of a covenant or a provision that under Section 9.02 cannot be modified or
amended without the consent of the Holders of all Securities of the series then outstanding. The defaults described in clauses (a) and (b) in the previous sentence may be waived with the consent of the Holders of all Securities of the series
then outstanding. When a Default or Event of Default is waived, it is deemed cured and not continuing, but no waiver will extend to any subsequent or other Default or impair any consequent right. 

SECTION 6.05. Control by Majority. The Holders of a majority in principal amount of the Securities of a
series then outstanding may direct the time, method and place of conducting any proceeding for any remedy available to the Trustee with regard to the Securities of that series or of exercising any trust or power conferred on the Trustee with regard
to the Securities of that series. However, the Trustee may refuse to follow any direction that conflicts with law or this Indenture or, subject to Section 7.01, that the Trustee determines is unduly prejudicial to the rights of other
Securityholders or that would involve the Trustee in personal liability provided, however, that the Trustee may take any other action deemed proper by the Trustee that is not inconsistent with such direction. Prior to taking any action as a result
of a direction given under this Section, the Trustee will be entitled to indemnification satisfactory to it in its sole discretion against all losses and expenses caused by taking or not taking that action. 

SECTION 6.06. Payments of Securities on Default; Suit Therefor. The Company covenants that upon the
occurrence of an Event of Default described in Section 6.01(a) or (b), then, upon demand of the Trustee, the Company will pay to the Trustee, for the benefit of the holders of the Securities in all series, the whole amount that will then have
become due and payable on all such Securities for principal, premium, if any, and interest, with interest on the overdue principal and premium, if any, and (to the extent that payment of such interest is enforceable under applicable law) on the
overdue installments of interest at the rate borne by the Securities in all series; and, in addition, such further amount as will be sufficient to cover the costs and expenses of collection, including a reasonable compensation to the Trustee, its
agents, attorneys and counsel, and any expenses or liabilities incurred by the Trustee hereunder other than through its gross negligence or willful misconduct. Until such demand by the Trustee, the Company may pay the principal of and premium, if
any, and interest on the Securities of all series to the registered Holders, whether or not the Securities in that series are overdue. 
 
SECTION 6.07. Limitation on Suits. A Securityholder may not pursue any remedy with respect to this Indenture, unless: 
 (a) the
Holder gives to the Trustee written notice stating that an Event of Default as to a series is continuing; 
 (b) the Holders of at least 25%
in principal amount of the Securities of the series then outstanding make a written request to the Trustee to institute such action, suit or proceeding in its own name as Trustee hereunder; 

(c) such Holder or Holders offer to the Trustee security or indemnity reasonably satisfactory to the Trustee against any loss, liability or
expense; 

  
 - 15 - 

 (d) the Trustee does not comply with the request within 60 days after receipt of the request
and the offer of security or indemnity, and the Event of Default has not been waived; and 
 (e) the Trustee has received no contrary
direction from the Holders of a majority in principal amount of the Securities of the series then outstanding during such 60-day period. 

A Securityholder may not use this Indenture to prejudice the rights of another Holder of the same series of Securities or to obtain a
preference or priority over another Holder of the same series of Securities. 
 SECTION 6.08. Rights of
Holders to Receive Payment and to Demand Conversion. Notwithstanding any other provision of this Indenture, the right of any Holder of a Security of any series to receive payment of principal of, premium, if any, and interest, if any, on the
Security (and interest on overdue principal and interest on overdue installments of interest, if any, as provided in Section 4.01), on or after the respective due dates expressed in the Security or, in the case of redemption, on or after the
redemption date, or in the case of conversion or exchange, to receive the security issuable upon conversion or exchange or to institute suit for the enforcement of any such payment, conversion or exchange on or after the applicable due date,
redemption date or conversion or exchange date, as the case may be, against the Company, will not be impaired or affected without the consent of the Holder. 

SECTION 6.09. Collection Suit by Trustee. If an Event of Default in payment of principal, premium, if
any, or interest, if any, specified in clause (a) or (b) of Section 6.01 occurs and is continuing, the Trustee may recover judgment in its own name and as trustee of an express trust against the Company for the whole amount of principal,
premium, if any, and interest remaining unpaid (together with interest on that unpaid interest to the extent lawful) and the amounts provided for in Section 7.07. 

SECTION 6.10. Trustee May File Proofs of Claim. The Trustee may file such proofs of claim and other
papers or documents as may be necessary or advisable in order to have the claims of the Trustee and the Holders of the Securities of any or all series allowed in any judicial proceedings relative to the Company, its creditors or its property and,
unless prohibited by law or applicable regulations, may vote on behalf of the Holders in any election of a trustee in bankruptcy or other person performing similar functions, and any Custodian in any such judicial proceeding is hereby authorized by
each Holder to make payments to the Trustee and, if the Trustee consents to the making of such payments directly to the Holders, to pay to the Trustee any amount due it for the reasonable compensation, expenses, disbursements and advances of the
Trustee, its agents and its counsel, and any other amounts due the Trustee under Section 7.07. 

SECTION 6.11. Restoration of Positions. If a judicial proceeding by the Trustee or a Securityholder to
enforce any right or remedy under this Indenture or any Supplemental Indenture is dismissed or decided favorably to the Company, except as otherwise provided in the judicial proceeding, the Company, the Trustee and the Securityholders will be
restored to the positions they would have been in if the judicial proceeding had not been instituted. 

SECTION 6.12. Priorities. If the Trustee collects any money pursuant to this Article VI with respect to
Securities of a series, subject to Article XI, or, after an Event of Default set forth 

  
 - 16 - 

 
in Section 6.01(d) or (e), any money or other property distributable in respect of the Company’s obligations under this Indenture, it will pay out the money or property in the following
order: 
  

	 	FIRST:	 to the Trustee (including any predecessor trustee) for amounts due under Section 7.07;

  

	 	SECOND:	 to Securityholders for amounts due and unpaid on the Securities of the series for principal and interest,
ratably, without preference or priority of any kind, according to the amounts due and payable on the Securities of the series for principal and interest, respectively; and 

 

	 	THIRD:	 to the Company. 

The Trustee may fix a record date and payment date for any payment to Holders of Securities of a series pursuant to this Section. At least 15
days before the record date, the Company will mail to each Holder of Securities of the series and the Trustee a notice that states the record date, the payment date and the amount to be paid. 

SECTION 6.13. Undertaking for Costs. In any suit for the enforcement of any right or remedy under this
Indenture or any Supplemental Indenture, or in any suit against the Trustee for any action taken or omitted by it as Trustee, a court in its discretion may require the filing by any party litigant in the suit of an undertaking to pay the costs of
the suit, and the court in its discretion may assess reasonable costs, including reasonable attorneys’ fees and expenses (whether incurred before trial, at trial or on appeal or in any bankruptcy, arbitration or other administrative
proceeding), against any party litigant in the suit, having due regard to the merits and good faith of the claims or defenses made by the party litigant. This Section 6.13 does not apply to a suit by the Trustee, a suit by a Holder pursuant to
Section 6.07, or a suit by Holders of in aggregate more than 10% in principal amount of the Securities of a series then outstanding, or to any suit instituted by any Holder for the enforcement of the payment of the principal of, premium, if
any, or interest on any Security held by that Holder on or after the due date provided in the Security or to any suit for the enforcement of the right to convert or exchange any Security in accordance with the provisions of a Supplemental Indenture
applicable to that Security. 
 SECTION 6.14. Stay, Extension or Usury Laws. The Company agrees (to
the extent that it may lawfully do so) that it will not at any time insist upon, or plead, or in any manner whatsoever claim, and will resist any and all efforts to be compelled to take the benefit or advantage of, any stay or extension law or any
usury or other law, wherever enacted, now or at any subsequent time in force, which would prohibit or forgive the Company from paying all or any portion of the principal of, premium, if any, and/or interest on any of the Securities as contemplated
in this Indenture or a Supplemental Indenture, or which may affect the covenants or performance of this Indenture, and the Company (to the extent that it may lawfully do so) hereby expressly waives all benefit or advantage of any such law and agrees
that it will not hinder, delay or impede the execution of any power granted to the Trustee in this Indenture or any Supplemental Indenture, but (to the extent that it may lawfully do so) will suffer and permit the execution of any such power as
though no such law had been enacted. 

  
 - 17 - 

 SECTION 6.15. Liability of Stockholders, Officers,
Directors and Incorporators. No stockholder, officer, director or incorporator, as such, past, present or future, of the Company, or any of its successor corporations, will have any personal liability in respect of the Company’s obligations
under this Indenture or any Securities by reason of his or its status as such stockholder, officer, director or incorporator; provided, however, that nothing in this Indenture or in the Securities will prevent recourse to and enforcement of the
liability of any stockholder or subscriber to Capital Stock which have not been fully paid up. 
 ARTICLE VII

 TRUSTEE 
 
SECTION 7.01. Duties of Trustee. 
 (a) The Trustee, prior to the occurrence of an Event of Default and after the curing or
waiver of all Events of Default that may have occurred, undertakes to perform such duties and only such duties as are specifically set forth in this Indenture. In the event an Event of Default has occurred and is continuing, the Trustee shall
exercise such of the rights and powers vested in it by this Indenture, and use the same degree of care and skill in its exercise, as a prudent person would exercise or use under the circumstances in the conduct of such person’s own affairs;
provided that if an Event of Default occurs and is continuing, the Trustee will be under no obligation to exercise any of the rights or powers under this Indenture at the request or direction of any of the Holders unless such Holders have offered to
the Trustee indemnity or security satisfactory to it against any loss, liability or expense that might be incurred by it in compliance with such request or direction. 

(b) No provision of this Indenture shall be construed to relieve the Trustee from liability for its own grossly negligent action, its own
grossly negligent failure to act or its own willful misconduct, except that: 
 (i) prior to the occurrence of an Event of
Default and after the curing or waiving of all Events of Default that may have occurred: 
 (A) the duties and obligations of
the Trustee shall be determined solely by the express provisions of this Indenture, and the Trustee shall not be liable except for the performance of such duties and obligations as are specifically set forth in this Indenture and no implied
covenants or obligations shall be read into this Indenture against the Trustee; and 
 (B) in the absence of bad faith,
willful misconduct or gross negligence on the part of the Trustee, the Trustee may conclusively rely, as to the truth of the statements and the correctness of the opinions expressed therein, upon any certificates or opinions furnished to the Trustee
and conforming to the requirements of this Indenture; but, in the case of any such certificates or opinions that by any provisions hereof are specifically required to be furnished to the Trustee, the Trustee shall be under a duty to examine the same
to determine whether or not they conform to the requirements of this Indenture (but need not confirm or investigate the accuracy of any mathematical calculations or other facts stated therein). 

  
 - 18 - 

 (ii) the Trustee shall not be liable for any error of judgment made in good
faith by a Trust Officer, unless it shall be proved that the Trustee was negligent in ascertaining the pertinent facts; 

(iii) the Trustee shall not be liable with respect to any action taken or omitted to be taken by it in good faith in accordance
with the written direction of the Holders of not less than a majority (or in the case of Section 6.02, not less than 25%) of the aggregate principal amount of the series of Securities then outstanding relating to the time, method and place of
conducting any proceeding for any remedy available to the Trustee, or exercising any trust or power conferred upon the Trustee, under this Indenture; 

(iv) every provision of this Indenture relating to the conduct or affecting the liability of or affording protection to the
Trustee is subject to the provisions of this Section 7.01 and to the provisions of the TIA; 
 (v) the Trustee shall not
be liable in respect of any payment (as to the correctness of amount, entitlement to receive or any other matters relating to payment) or notice effected by the Company or any Paying Agent or any records maintained by any Registrar with respect to
the Securities; 
 (vi) if any party fails to deliver a notice relating to an event the fact of which, pursuant to this
Indenture, requires notice to be sent to the Trustee, the Trustee may conclusively rely on its failure to receive such notice as reason to act as if no such event occurred, unless a Trust Officer had actual knowledge of such event; 

(vii) in the absence of written investment direction from the Company, all cash received by the Trustee shall be placed in a non-interest bearing trust account, and in no event shall the Trustee be liable for the selection of investments or for investment losses incurred thereon or for losses incurred as a result of the liquidation of any
such investment prior to its maturity date or the failure of the party directing such investments prior to its maturity date or the failure of the party directing such investment to provide timely written investment direction, and the Trustee shall
have no obligation to invest or reinvest any amounts held hereunder in the absence of such written investment direction from the Company; and 

(viii) in the event that the Trustee is also acting as Custodian, Registrar, Paying Agent, or transfer agent hereunder, the
rights and protections afforded to the Trustee pursuant to this Article VII shall also be afforded to such Custodian, Note Registrar, Paying Agent, or transfer agent. 

None of the provisions contained in this Indenture shall require the Trustee to expend or risk its own funds or otherwise incur personal
financial liability in the performance of any of its duties or in the exercise of any of its rights or powers. 
 
SECTION 7.02. Rights of Trustee. Except as otherwise provided in Section 7.01: 
 (a) The Trustee may conclusively rely and
shall be fully protected in acting upon any resolution, certificate, statement, instrument, opinion, report, notice, request, consent, order, bond, 

  
 - 19 - 

 
note, coupon or other paper or document believed by it in good faith to be genuine and to have been signed or presented by the proper party or parties. 

(b) Before the Trustee acts or refrains from acting, it may require an Officer’s Certificate which conforms to Section 13.05. The
Trustee will not be liable for any action it takes or omits to take in good faith in reliance on such an Officer’s Certificate. 
 (c)
The Trustee may execute any of the trusts or powers hereunder or perform any duties hereunder either directly or by or through agents or attorneys and the Trustee shall not be responsible for any misconduct or negligence on the part of any agent or
attorney appointed with due care by it hereunder. 
 (d) The Trustee will not be liable for any action it takes, suffers or omits to take in
good faith which it believes to be authorized or within its rights or powers, except conduct which constitutes willful misconduct or gross negligence. 

(e) The Trustee may consult with counsel of its selection and any advice of such counsel shall be full and complete authorization and
protection in respect of any action taken or omitted by it hereunder in good faith and in accordance with such advice or opinion of counsel. 

(f) The Trustee shall not be bound to make any investigation into the facts or matters stated in any resolution, certificate, statement,
instrument, opinion, report, notice, request, direction, consent, order, bond, debenture or other paper or document, but the Trustee, in its discretion, may make such further inquiry or investigation into such facts or matters as it may see fit,
and, if the Trustee shall determine to make such further inquiry or investigation, it shall be entitled to examine the books, records and premises of the Company, personally or by agent or attorney at the expense of the Company for any reasonable
expenses incurred and shall incur no liability of any kind by reason of such inquiry or investigation. 
 (g) Any request or direction of
the Company mentioned herein shall be sufficiently evidenced by a Company Order and any resolution of the Board of Directors may be sufficiently evidenced by a Board Resolution. 

(h) Whenever in the administration of this Indenture the Trustee shall deem it desirable that a matter be proved or established prior to
taking, suffering or omitting any action hereunder, the Trustee (unless other evidence be herein specifically prescribed) may, in the absence of bad faith on its part, conclusively rely upon an Officer’s Certificate. 

(i) The Trustee shall be under no obligation to exercise any of the rights or powers vested in it by this Indenture at the request or
direction of any of the Holders pursuant to this Indenture, unless such Holders shall have offered to the Trustee security or indemnity satisfactory to the Trustee against the costs, expenses and liabilities which might be incurred by it in
compliance with such request or direction. In no event shall the Trustee be required to risk or expend its own funds in the performance of its obligations under this Indenture. 

(j) In no event shall the Trustee be responsible or liable for special, indirect, punitive or consequential loss or damage of any kind
whatsoever (including, but not limited to, loss of 

  
 - 20 - 

 
profit) irrespective of whether the Trustee has been advised of the likelihood of such loss or damage and regardless of the form of action. 

(k) The Trustee shall not be deemed to have notice of any Default or Event of Default except any Default or Event of Default occurring
pursuant to clause (a) or (b) of Section 6.01 if, at the time of the occurrence of such Default or Event of Default, the Trustee is the Paying Agent, unless a Trust Officer of the Trustee has actual knowledge thereof or unless written
notice of any event which is in fact such a default and which shall have been given to a Trust Officer of the Trustee at the Corporate Trust Office of the Trustee. 

(l) The rights, privileges, protections, immunities and benefits given to the Trustee, including, without limitation, its right to be
indemnified, are extended to, and shall be enforceable by, the Trustee in each of its capacities hereunder, and each agent and other Person employed to act hereunder. 

(m) The Trustee may request that the Company deliver a certificate setting forth the names of individuals and/or titles of officers authorized
at such time to take specified actions pursuant to this Indenture, which certificate may be signed by any person authorized to sign an Officer’s Certificate, including any person specified as so authorized in any such certificate previously
delivered and not superseded. 
 SECTION 7.03. Individual Rights of Trustee. The Trustee in its
individual or any other capacity may become the owner or pledgee of Securities and may otherwise deal with the Company or any of its affiliates with the same rights it would have if it were not Trustee. Any Paying Agent, Registrar, co-registrar or co-paying agent may do the same with like rights. However, the Trustee must comply with Sections 7.10 and 7.11. 

SECTION 7.04. Trustee’s Disclaimer. The Trustee (a) is not responsible for and
makes no representation as to the validity, sufficiency or adequacy of this Indenture or any Securities, (b) will not be responsible for and will not make any representation as to the validity, sufficiency or adequacy of any Supplemental
Indenture, (c) will not be accountable for the Company’s use of the proceeds from the Securities of any series, and (d) will not be responsible for any recital or statement of the Company in this Indenture any Supplemental Indenture
or any Securities, other than the Trustee’s certificate of authentication, or in any prospectus used in the sale of any of the Securities, other than statements, if any, provided in writing or approved by the Trustee for use in such a
prospectus. The Trustee shall not be responsible to make any calculation with respect to any matter under this Indenture. 
 
SECTION 7.05. Notice of Defaults. The Trustee will give to the Holders of the Securities of a series notice of any Default with regard to the Securities of that series known to the Trustee (upon receipt in writing by a Trust Officer),
within 90 days after it occurs; provided, that, except in the case of a Default in the payment of the principal of, or premium, if any, or interest on any Security, the Trustee will be protected in withholding notice of the Default if and so long as
a committee of its Trust Officers in good faith determines that the withholding of the notice is in the interests of the Holders of the Securities of the series. 

  
 - 21 - 

 SECTION 7.06. Reports by Trustee. Within 60 days after
each May 15 beginning with the May 15 following the date of this Indenture, the Trustee will deliver to the Depositary (in the case of global Securities) or to each Securityholder (in the case of definitive Securities), at the name and
address which appears on the registration books of the Company, and to each Securityholder who has, within the two years preceding the mailing, filed that person’s name and address with the Trustee for that purpose and each Securityholder whose
name and address have been furnished to the Trustee pursuant to Section 2.07, a brief report dated as of that May 15 which complies with TIA Section 313(a). The Trustee also will comply with TIA Section 313(b). 

A copy of each report will at the time of its delivery to the Depositary or the Securityholders be filed with each stock exchange on which
Securities are listed and also with the Commission. The Company will promptly notify the Trustee when the Securities of any series are listed on any stock exchange and of any delisting of Securities of any series. 

SECTION 7.07. Compensation and Indemnity. The Company will pay to the Trustee from time to time such
compensation for its services as the Company and the Trustee shall from time to time agree in writing. The Trustee’s compensation will not be limited by any law on compensation of a trustee of an express trust. The Company will reimburse the
Trustee upon request for all reasonable out-of-pocket expenses incurred or made by it, including costs of collection, in addition to the compensation for its services.
Those expenses will include the reasonable compensation and expenses, disbursements and advances of the Trustee’s agents, counsel, accountants and experts. The Company will indemnify the Trustee and its officers, directors, employees and agents
against any and all loss, liability or expense (including reasonable attorneys’ fees and expenses) incurred by it in connection with the administration of the trust created by this Indenture or any Supplemental Indenture and the performance of
its duties under this Indenture or any Supplemental Indenture, including the costs and expenses of defending itself against any claim (whether asserted by the Company, or any Holder or any other Person) or liability in connection with the exercise
or performance of any of its powers or duties hereunder, or in connection with enforcing the provisions of this Section. The Trustee will notify the Company promptly of any claim for which it may seek indemnity. Failure by the Trustee to so notify
the Company will not relieve the Company of its obligations under this Section. The Company will defend the claim and the Trustee may have separate counsel and the Company will pay the fees and expenses of such counsel. The Company need not pay for
any settlement made without its consent. The Company need not reimburse any expense or indemnify against any loss, expense or liability incurred by the Trustee to the extent it is due to the Trustee’s own willful misconduct or gross negligence.

 To secure the Company’s obligation to make payments to the Trustee under this Section 7.07, the Trustee will have a lien prior
to the Securities on all money or property held or collected by the Trustee, other than money or property held in trust to pay principal or interest on particular Securities. Those obligations of the Company will survive the satisfaction and
discharge of this Indenture, the termination for any reason of this Indenture and the resignation or removal of the Trustee. 
 When the
Trustee incurs expenses or renders services after an Event of Default specified in clause (d) or (e) of Section 6.01 occurs, the expenses (including the reasonable charges and 

  
 - 22 - 

 
expenses of its counsel) and the compensation for the services of the Trustee are intended to constitute expenses of administration under any Bankruptcy Law. 

For purposes of this Section 7.07, “Trustee” will include any predecessor Trustee, but the willful misconduct,
negligence or bad faith of any Trustee will not affect the rights of any other Trustee under this Section 
7.07. 
 SECTION 7.08. Replacement of Trustee. The Trustee may resign at any time by giving written
notice of such resignation to the Company. The Holders of a majority in aggregate principal amount of the Securities of all series then outstanding may remove the Trustee by so notifying the Trustee and the Company and may appoint a successor
Trustee. The Company may remove the Trustee if: 
 (a) the Trustee fails to comply with Section 7.10; 

(b) the Trustee is adjudged bankrupt or insolvent or an order for relief is entered with respect to the Trustee under any Bankruptcy Law; 

(c) a receiver or other public officer takes charge of the Trustee or its property; or 

(d) the Trustee becomes incapable of acting. 

If the Trustee resigns or is removed or if a vacancy exists in the office of Trustee for any reason, the Company will promptly appoint a
successor Trustee. Within one year after the successor Trustee takes office, the Holders of a majority in aggregate principal amount of Securities of all series then outstanding may appoint a successor Trustee to replace the successor Trustee
appointed by the Company. 
 No removal or appointment of a Trustee will be valid if that removal or appointment would conflict with any law
applicable to the Company. 
 A successor Trustee will deliver a written acceptance of its appointment to the retiring Trustee and to the
Company. Immediately after that, the retiring Trustee will, provided all sums owing to the retiring Trustee hereunder have been paid and subject to the lien provided for in Section 7.07, transfer all property held by it as a Trustee to the
successor Trustee, the resignation or removal of the retiring Trustee will become effective, and the successor Trustee will have all the rights, powers and duties of the Trustee under this Indenture and all Supplemental Indentures. A successor
Trustee will mail notice of its succession to each Securityholder. 
 If a successor Trustee does not take office within 30 days after the
retiring Trustee resigns or is removed, the retiring Trustee, at the Company’s expense, the Company or the Holders of a majority in aggregate principal amount of Securities of all series then outstanding may petition any court of competent
jurisdiction for the appointment of a successor Trustee. 
 If the Trustee fails to comply with Section 7.10, any Securityholder may
petition any court of competent jurisdiction for the removal of the Trustee and the appointment of a successor Trustee. 

  
 - 23 - 

 Notwithstanding the replacement of the Trustee pursuant to this Section, the Company’s
obligations under Section 7.07 will continue for the benefit of the retiring Trustee. 
 SECTION 7.09.
Successor Trustee by Merger, etc. Any corporation or other entity into which the Trustee may be merged or converted or with which it may be consolidated, or any corporation or other entity resulting from any merger, conversion or
consolidation to which the Trustee shall be a party, or any corporation or other entity succeeding to all or substantially all of the corporate trust business of the Trustee (including the administration of this Indenture), shall be the successor to
the Trustee hereunder without the execution or filing of any paper or any further act on the part of any of the parties hereto; provided that in the case of any corporation or other entity succeeding to all or substantially all of the corporate
trust business of the Trustee such corporation or other entity shall be eligible under the provisions of Section 7.10. 
 If at the
time a successor by merger, conversion or consolidation to the Trustee succeeds to the trusts created by this Indenture any of the Securities have been authenticated but not delivered, the successor to the Trustee may adopt the certificate of
authentication of the predecessor Trustee, and deliver the Securities which were authenticated by the predecessor Trustee; and if at that time any of the Securities have not been authenticated, the successor to the Trustee may authenticate those
Securities either in the name of the predecessor or in its own name as the successor to the Trustee; and in either case the certificates of authentication will have the full force provided in this Indenture for certificates of authentication. 

SECTION 7.10. Eligibility; Disqualification. The Trustee will at all times satisfy the requirements of
TIA Section 310(a). The Trustee will at all times have a combined capital and surplus of at least $50,000,000 as set forth in its most recently published annual report of condition, which will be deemed for this paragraph to be its combined
capital and surplus. The Trustee will comply with TIA Section 310(b), including the optional provision permitted by the second sentence of TIA Section 310(b)(9); provided, however, that there shall be excluded from the operation of TIA
Section 310(b)(1) any indenture or indentures under which other securities or certificates of interest or participation in other securities of the Company are outstanding if the requirements for such exclusion set forth in TIA
Section 310(b)(1) are met, other than the fact that such indentures are not described herein. 
 SECTION
7.11. Preferential Collection of Claims. The Trustee will comply with TIA Section 311(a), excluding any creditor relationship listed in TIA Section 311(b). A Trustee who has resigned or been removed will be subject to TIA
Section 311(a) to the extent indicated. 
 ARTICLE VIII 

DISCHARGE OF INDENTURE 
 
SECTION 8.01. Termination of the Company’s Obligations. When (a) the Company delivers to the Trustee all outstanding Securities of all series (other than Securities replaced pursuant to Section 2.09) for
cancellation or (b) all outstanding Securities of all series have become due and payable, or are due and payable within one year or are to be called for redemption within one year, under arrangements satisfactory to the Trustee for giving the
notice of redemption, and the Company irrevocably deposits in trust with the Trustee (subject to Article XI) money or U.S. Government Obligations without reinvestment sufficient to pay the principal, premium, if any, and

  
 - 24 - 

 
interest, if any, on the Securities of all series to maturity or redemption, as the case may be, and if, in the case of either (a) or (b) above the Company also pays or causes to be paid all
other sums payable by the Company under this Indenture, then this Indenture will cease to be of further effect. 
 Notwithstanding the
foregoing, the Company’s obligations to pay principal, premium, if any, and interest, if any, on the Securities and the Company’s obligations in Sections 2.05, 2.06, 2.07, 2.08, 2.09, 7.07, 7.08 and in Article X will survive until all the
Securities of all series are no longer outstanding. Thereafter, the Company’s obligations in Section 7.07 will survive. 
 Before
or after a deposit the Company may make arrangements satisfactory to the Trustee for the redemption of Securities of a series at a future date to the extent the Securities are redeemable in accordance with Article III and the applicable Supplemental
Indenture. 
 After a deposit pursuant to this Section 8.01 or after all outstanding Securities of all series have been delivered to
the Trustee for cancellation, the Trustee upon request from the Company, accompanied by an Officer’s Certificate and an Opinion of Counsel which complies with Section 13.05, and at the cost of the Company, will acknowledge in writing the
satisfaction and discharge of the Company’s obligations under the Securities of all series and this Indenture except for those surviving obligations specified above. 

In order to have money available on payment dates to pay principal, premium, if any, or interest, if any, on the Securities of a series, the
U.S. Government Obligations will be payable as to principal, premium, if any, or interest on or before those payment dates in amounts sufficient to provide the necessary money. U.S. Government Obligations used for this purpose may not be callable at
the issuer’s option. 
 SECTION 8.02. Application of Trust Money. Subject to Article XI and
Section 8.03, the Trustee will hold in trust money or U.S. Government Obligations deposited with it pursuant to Section 8.01. It will apply the deposited money and the money from the U.S. Government Obligations through the Paying Agent and
in accordance with this Indenture and any applicable Supplemental Indentures to the payment of principal of, premium, if any, and interest, if any, on the Securities with regard to which the money or U.S. Government Obligations were deposited. 

SECTION 8.03. Repayment to the Company. The Trustee and the Paying Agent will promptly pay to the
Company upon request any excess money or securities held by them at any time. The Trustee and the Paying Agent will pay to the Company upon request any money held by them for the payment of principal, premium or interest that remains unclaimed for
two years. After such payment, all liability of the Trustee and the Paying Agent with respect to that money will cease. 
 
SECTION 8.04. Deposited Money and U.S. Government Obligations to Be Held in Trust. The Company shall pay and indemnify the Trustee against any tax, fee or other charge imposed on or assessed against the U.S. Government Obligations
deposited pursuant to Section 8.01 or the principal and interest received in respect thereof other than any such tax, fee or other charge which by law is for the account of the Holders of outstanding Securities. 

  
 - 25 - 

 ARTICLE IX 

AMENDMENTS, SUPPLEMENTS AND WAIVERS 

SECTION 9.01. Without Consent of Holders. The Company and the Trustee may amend or supplement this
Indenture or the Securities without notice to or consent of any Securityholder: 
 (a) to cure any ambiguity, omission, defect, error or
inconsistency; 
 (b) to comply with Article V; 

(c) to establish the form and terms of the Securities of any series as contemplated in Article II of this Indenture; 

(d) to provide for uncertificated Securities in addition to or in place of certificated Securities; or 

(e) to amend, modify or supplement any of the provisions contained herein or in any Supplemental Indenture, provided that no such amendment or
supplement shall materially adversely affect the rights of any Securityholder, and provided further that any amendment, modification or supplement that conforms this Indenture or any Supplemental Indenture, as applied to a series of Securities, to
the terms described in the prospectus (including any prospectus supplement) pursuant to which such Securities were initially sold shall be deemed not to adversely affect the rights of Securityholders. 

After an amendment under this Section becomes effective, the Company will mail to the Securityholders a notice briefly describing the
amendment. The failure to give such notice to all Securityholders, or any defect in a notice, will not impair or affect the validity of an amendment under this Section. 

SECTION 9.02. With Consent of Holders. The Company and the Trustee may (x) amend or supplement this
Indenture or the Securities without notice to any Securityholder but with the written consent of the Holders of a majority in aggregate principal amount of the Securities of all series then outstanding or (y) supplement this Indenture with
regard to a series of Securities, amend or supplement a Supplemental Indenture relating to a series of Securities, or amend the Securities of a series, without notice to any Securityholder but with the written consent of the Holders of a majority in
aggregate principal amount of the Securities of that series then outstanding. The Holders of a majority in principal amount of the Securities of all series then outstanding may waive compliance by the Company with any provision of this Indenture or
the Securities without notice to any Securityholder. The Holders of a majority in principal amount of the Securities of any series then outstanding may waive compliance with any provision of this Indenture, any Supplemental Indenture or the
Securities of that series with regard to the Securities of that series without notice to any Securityholder. However, without the consent of the Holder so affected, no amendment, supplement or waiver, including a waiver pursuant to
Section 6.04, may: 
 (a) extend the fixed maturity of any Security, reduce the rate or extend the time for payment of interest on any
Security, reduce the principal amount of any Security or premium, if any, on any Security; 

  
 - 26 - 

 (b) impair or affect the right of a Holder to institute suit for the payment of interest, if
any, principal or premium, if any, on the Securities; 
 (c) change the currency in which the Securities are payable from that specified in
the Securities or in a Supplemental Indenture applicable to the Securities; 
 (d) impair the right, if any, to convert the Securities into,
or exchange the Securities for, other securities or assets; 
 (e) reduce the percentage of Securities required to consent to an amendment,
supplement or waiver; 
 (f) reduce the amount payable upon the redemption of any Security or change the time at which any Security may or
will be redeemed; 
 (g) modify the provisions of any Supplemental Indenture with respect to subordination of the Securities of a series in
a manner adverse to the Securityholders; or 
 (h) make any change in Section 6.04 or 6.08 or the fifth sentence of this Section. 

It will not be necessary for the consent of the Holders under this Section to approve the particular form of any proposed amendment,
supplement or waiver, but it will be sufficient if the consent approves the substance of the amendment, supplement or waiver. 
 The Company
may, but shall not be obligated to, fix a record date for the purpose of determining the Persons entitled to consent to any indenture supplemental hereto. If a record date is fixed, the Holders on such record date, or their duly designated proxies,
and only such Persons, shall be entitled to consent to such Supplemental Indenture, whether or not such Holders remain Holders after such record date; provided, that unless such consent shall have become effective by virtue of the requisite
percentage having been obtained prior to the date which is 90 days after such record date, any such consent previously given shall automatically and without further action by any Holder be cancelled and of no further effect. 

After an amendment under this Section becomes effective, the Company will mail to the Securityholders a notice briefly describing the
amendment. The failure to give such notice to all Securityholders, or any defect in a notice, will not impair or affect the validity of an amendment under this Section. 

SECTION 9.03. Compliance with Trust Indenture Act. Every amendment or supplement to this Indenture, any
Supplemental Indenture or the Securities will comply with the TIA as then in effect. 
 SECTION 9.04.
Revocation and Effect of Consents. A consent to an amendment, supplement or waiver by a Holder of a Security will bind the Holder and every subsequent Holder of a Security or portion of a Security that evidences the same debt as the
consenting Holder’s Security, even if notation of the consent is not made on any Security. However, any such Holder or subsequent Holder may revoke the consent as to the Holder’s Security or portion of a Security. For a revocation to be
effective, the Trustee must receive notice of the revocation before the date 

  
 - 27 - 

 
the amendment, supplement or waiver becomes effective. After an amendment, supplement or waiver becomes effective in accordance with its terms, it will bind every Holder of every Security of
every series to which it applies. 
 SECTION 9.05. Notation on or Exchange of Securities. If an
amendment changes the terms of a series of Securities, the Trustee may require the Holder of a Security of the series to deliver the Holder’s Security to the Trustee, who will place an appropriate notation about the amendment, supplement or
waiver on the Security and will return it to the Holder. Alternatively, the Company may, in exchange for the Security, issue, and the Trustee (or an authenticating agent duly appointed by the Trustee pursuant to Section 13.14) will
authenticate, a new Security that reflects the amendment, supplement or waiver. 
 SECTION 9.06. Trustee
to Sign Amendments, etc. In executing, or accepting the additional trusts created by, any Supplemental Indenture permitted by Article II or this Article IX or the modification thereby of the trusts created by this Indenture, the Trustee shall
receive, and shall be fully protected in relying upon, an Opinion of Counsel and an Officer’s Certificate stating that the execution of such Supplemental Indenture is authorized or permitted by this Indenture. The Trustee will sign any
amendment, supplement or waiver authorized pursuant to Article II or this Article IX if the amendment, supplement or waiver does not adversely affect the rights, duties, liabilities or immunities of the Trustee. If it does adversely affect those
rights, duties, liabilities or immunities, the Trustee may but need not sign it. The Company may not sign an amendment or supplement until the amendment or supplement is approved by an appropriate Board Resolution. 

ARTICLE X 

CONVERSION OR EXCHANGE OF SECURITIES 

SECTION 10.01. Provisions Relating to Conversion or Exchange of Securities. Any rights which Holders of
Securities of a series will have to convert those Securities into other securities of the Company or to exchange those Securities for securities of other Persons or other assets, including but not limited to the terms of the conversion or exchange
and the circumstances, if any, under which those terms will be adjusted to prevent dilution or otherwise, will be set forth in a Supplemental Indenture relating to the series of Securities. In the absence of provisions in a Supplemental Indenture
relating to a series of Securities setting forth rights to convert or exchange the Securities of that series into or for other securities or assets, Holders of the Securities of that series will not have any such rights. 

ARTICLE XI 

SINKING OR PURCHASE FUNDS 
 
SECTION 11.01. Provisions Relating to Sinking or Purchase Funds. Any requirements that the Company make, or rights of the Company to make at its option, payments prior to maturity of the Securities of a series which will be used as a fund
with which to redeem or to purchase Securities of that series, including but not limited to provisions regarding the amount of the payments, when the Company will be required, or will have the option, to make the payments and when the payments will
be applied, will be set forth in a Supplemental Indenture relating to the series of Securities. In the absence of provisions in a Supplemental Indenture relating to a series of Securities setting forth requirements that the Company make, or rights
of the Company to make 

  
 - 28 - 

 
at its option, payments to be used as a fund with which to redeem or purchase Securities of the series, the Company will not be subject to any such requirements and will not have any such rights.
However, unless otherwise specifically provided in a Supplemental Indenture relating to a series of Securities, the Company will at all times have the right to purchase Securities from Holders in market transactions or otherwise. 

ARTICLE XII 

CONCERNING THE HOLDERS 
 
SECTION 12.01. Action by Holders. Whenever in this Indenture it is provided that the Holders of a specified percentage of the aggregate principal amount of the Securities may take any action (including the making of any demand or request,
the giving of any notice, consent or waiver or the taking of any other action), the fact that at the time of taking any such action the Holders of such specified percentage have joined therein may be evidenced (a) by any instrument or any
number of instruments of similar tenor executed by Holders in person or by agent or proxy appointed in writing, or (b) by the record of the Holders voting in favor thereof at any meeting of Holders duly called and held or (c) by a
combination of such instrument or instruments and any such record of such a meeting of Holders. Whenever the Company or the Trustee solicits the taking of any action by the Holders, the Company or the Trustee may fix, but shall not be required to,
in advance of such solicitation, a date as the record date for determining Holders entitled to take such action. The record date if one is selected shall be not more than 15 days prior to the date of commencement of solicitation of such action. 

SECTION 12.02. Proof of Execution by Holders. Subject to the provisions of Section 7.01 and
Section 7.02, proof of the execution of any instrument by a Holder or its agent or proxy shall be sufficient if made in accordance with such reasonable rules and regulations as may be prescribed by the Trustee or in such manner as shall be
satisfactory to the Trustee. The holding of Securities shall be proved by the Registrar’s books or by a certificate of the Registrar’s books. The record of any Holders’ meeting shall be proved in the manner determined by the Trustee
in accordance with Section 13.07. 
 SECTION 12.03. Who Are Deemed Absolute Owners. The Company,
the Trustee, any authenticating agent, any Paying Agent, any Conversion Agent and any Registrar may deem the Person in whose name a Security shall be registered upon the Registrar’s books to be, and may treat it as, the absolute owner of such
Security (whether or not such Security shall be overdue and notwithstanding any notation of ownership or other writing thereon made by any Person other than the Company or any Registrar) for the purpose of receiving payment of or on account of the
principal of and accrued and unpaid interest on such Security, for conversion of such Security and for all other purposes under this Indenture; and neither the Company nor the Trustee nor any Paying Agent nor any Conversion Agent nor any Registrar
shall be affected by any notice to the contrary. The sole registered holder of a Security in global form (a “Global Security”) shall be the Depositary or its nominee. All such payments or deliveries so made to any Holder for the
time being, or upon its order, shall be valid, and, to the extent of the sums or shares of Common Stock so paid or delivered, effectual to satisfy and discharge the liability for monies payable or shares deliverable upon any such Security.
Notwithstanding anything to the contrary in this Indenture or the Securities, following an Event of Default, any owner of a beneficial interest in a Global Security may directly enforce against the Company, without the consent, solicitation, proxy,

  
 - 29 - 

 
authorization or any other action of the Depositary or any other Person, such owner’s right to exchange such beneficial interest for a Security in certificated form in accordance with the
provisions of this Indenture. 
 SECTION 12.04. Revocation of Consents; Future Holders Bound. At any
time prior to (but not after) the evidencing to the Trustee, as provided in Section 12.01, of the taking of any action by the Holders of the percentage of the aggregate principal amount of the Securities specified in this Indenture in
connection with such action, any Holder that is shown by the evidence to be included in the Securities the Holders of which have consented to such action may, by filing written notice with the Trustee at its Corporate Trust Office and upon proof of
holding as provided in Section 12.02, revoke such action so far as concerns such Security. Except as aforesaid, any such action taken by the Holder shall be conclusive and binding upon such Holder and upon all future Holders and owners of such
Security and of any Securities issued in exchange or substitution therefor or upon registration of transfer thereof, irrespective of whether any notation in regard thereto is made upon such Security or any Securities issued in exchange or
substitution therefor or upon registration of transfer thereof. 
 ARTICLE XIII 

MISCELLANEOUS 
 
SECTION 13.01. Trust Indenture Act Controls. If any provision of this Indenture or any Supplemental Indenture limits, qualifies or conflicts with the duties imposed by Section 310 through 317 of the TIA, the imposed duties will
control. 
 SECTION 13.02. Supplemental Indentures Control. If any provision of a Supplemental
Indenture relating to a series of Securities is inconsistent with any provision of this Indenture, the provision of the Supplemental Indenture will control with regard to the Securities of the series to which it relates. 

SECTION 13.03. Notices. Any notice or communication under or relating to this Indenture or any
Supplemental Indenture will be sufficiently given if made upon, given or furnished to, or filed with the applicable party, in writing and delivered by facsimile transmission, in person or mailed by first-class mail, certified or registered, return
receipt requested, or sent by email, addressed as follows: 
 if to the Company:     Resideo Technologies,
Inc. 
  901 E 6th Street 

 Austin, Texas 78702 

 Attention: General Counsel 

with a copy (which shall not constitute notice and shall not be required to be delivered in satisfaction of any requirement hereof) to: 

 Willkie Farr & Gallagher LLP 

 787 Seventh Avenue 

 New York, New York 10019 

 Attention: Russell Leaf 

  
 - 30 - 

  Phone: (212) 728-8593 

 Email: rleaf@willkie.com 

if to the Trustee:     [_____] 

Either the Company or the Trustee by a notice to the other may designate additional or different addresses for subsequent notices or
communications. 
 Any notice or communication sent to a Securityholder will be sent to the Securityholder at the Securityholder’s
address as it appears on the registration books of the Registrar and will be sufficiently given to the Securityholder if so sent within the time prescribed. 

Failure to send a notice or communication to a Securityholder or any defect in it will not affect its sufficiency with respect to other
Securityholders. If a notice or communication is mailed in the manner provided above, it is duly given, whether or not the addressee receives it. 

If by reason of the suspension of regular mail service, or by reason of any other cause, it is impossible to send any notice as required by
this Indenture or any Supplemental Indenture, then any method of notification which is approved by the Trustee will constitute a sufficient sending of the notice. 

The Company may set a record date for purposes of determining the identity of Securityholders entitled to vote or consent to any action by
vote or consent authorized or permitted by Sections 6.04 and 6.05. The record date will be the later of 30 days prior to the first solicitation of consents or the date of the most recent list of Holders furnished to the Trustee pursuant to
Section 2.07 prior to the solicitation. 
 The Trustee shall have the right, but shall not be required, to rely upon and comply with
notices, instructions, directions or other communications sent by e-mail, facsimile and other similar unsecured electronic methods by persons believed by the Trustee to be authorized to give instructions and
directions on behalf of the Company. The Trustee shall have no duty or obligation to verify or confirm that the person who sent such instructions or directions is, in fact, a person authorized to give instructions or directions on behalf of the
Company; and the Trustee shall have no liability for any losses, liabilities, costs or expenses incurred or sustained by the Company as a result of such reliance upon or compliance with such notices, instructions, directions or other communications.
The Company agrees to assume all risks arising out of the use of such electronic methods to submit notices, instructions, directions or other communications to the Trustee, including without limitation the risk of the Trustee acting on unauthorized
instructions, and the risk of interception and misuse by third parties. The Company shall use all reasonable endeavors to ensure that any such notices, instructions, directions or other communications transmitted to the Trustee pursuant to this
Indenture are complete and correct. Any such notices, instructions, directions or other communications shall be conclusively deemed to be valid instructions from the Company to the Trustee for the purposes of this Indenture. 

SECTION 13.04. Communication by Holders with Other Holders. Securityholders may communicate pursuant to
TIA Section 312(b) with other Securityholders with respect to their 

  
 - 31 - 

 
rights under this Indenture or the Securities. Each of the Company, the Trustee, the Registrar and anyone else will have the protection of TIA Section 312(c). 

SECTION 13.05. Certificate and Opinion as to Conditions Precedent. Upon any request or application by
the Company to the Trustee to take any action under this Indenture or any Supplemental Indenture, the Company will furnish to the Trustee: 

(a) an Officer’s Certificate stating that, in the opinion of the signer, all conditions precedent, if any, provided for in this Indenture
or any Supplemental Indenture relating to the proposed action have been complied with; 
 (b) an Opinion of Counsel stating that, in the
opinion of such counsel, all those conditions precedent, if any, provided for in this Indenture or any Supplemental Indenture relating to the proposed action have been complied with; and 

(c) such other opinions and certificates as may be required by applicable provisions of this Indenture or the Supplemental Indenture. 

Each certificate or opinion with respect to compliance with a condition or covenant provided for in this Indenture or a Supplemental Indenture
will include: 
 (i) a statement that each person signing the certificate or opinion has read such covenant or condition and the definitions
herein relating thereto; 
 (ii) a brief statement as to the nature and scope of the examination or investigation upon which the statements
or opinions contained in the certificate or opinion are based; 
 (iii) a statement that, in the opinion of the person giving the
certificate or opinion, that person has made such examination or investigation as is necessary to enable that person to express an informed opinion as to whether or not the covenant or condition has been complied with; and 

(iv) a statement as to whether or not, in the opinion of that person, the condition or covenant has been complied with. 

Nothing in this Section 13.05 will be construed as requiring that the Company furnish to the Trustee any evidence of compliance with the
conditions and covenants provided for in this Indenture or any Supplemental Indenture other than the evidence specified in this Section 13.05 except as may be required by any other provision of this Indenture. 

SECTION 13.06. When Treasury Securities Disregarded. In determining whether the Holders of the required
principal amount of Securities have concurred in any direction, waiver or consent, Securities owned by the Company, or anyone under direct or indirect control or under direct or indirect common control with the Company will be disregarded and deemed
not to be outstanding, except that for the purposes of determining whether the Trustee will be protected in relying on any such direction, waiver or consent, only Securities which a Trust Officer of the Trustee actually knows are so owned will be so
disregarded. Securities so owned which have been pledged in good faith will not be disregarded if the pledgee establishes to the satisfaction of the Trustee the pledgee’s right to act with respect to the Securities and that the pledgee is not
the 

  
 - 32 - 

 
Company or a person directly or indirectly controlling or controlled by, or under common control with, the Company. Nothing in this Section 13.06 will be construed as requiring that the
Company furnish to the Trustee any evidence of compliance with the conditions and covenants provided for in the Indenture other than the evidence specified in this Section 13.06. 

SECTION 13.07. Rules by Trustee, Paying Agent, Registrar. The Trustee may make reasonable rules for
action by or at a meeting of Securityholders. The Paying Agent or Registrar may make reasonable rules for its functions. 
 
SECTION 13.08. Legal Holidays. If a payment date or Maturity Date is not a Business Day, then any action to be taken on such date need not be taken on such date, but may be taken on the next succeeding Business Day with the same force and
effect as if taken on such date, and no interest shall accrue in respect of any payment that would otherwise need to be made on such date on account of the delay. 

SECTION 13.09. Governing Law and Submission to Jurisdiction. The laws of the State of New York will
govern this Indenture, each Supplemental Indenture and the Securities, and any dispute, case or controversy arising thereunder or relating thereto. The Company submits to the jurisdiction of the courts of the State of New York sitting in the Borough
of Manhattan, The City of New York, and of the United States District Court for the Southern District of New York, in any action or proceeding to enforce any of its obligations under this Indenture or any Supplemental Indenture or with regard to the
Securities, and agrees not to seek a transfer of any such action or proceeding on the basis of inconvenience of the forum or otherwise (but the Company will not be prevented from removing any such action or proceeding from a state court to the
United States District Court for the Southern District of New York). The Company agrees that process in any such action or proceeding may be served upon it by registered mail or in any other manner permitted by the rules of the court in which the
action or proceeding is brought. 
 SECTION 13.10. Actions by the Company. Any action or proceeding
brought by the Company to enforce any right, assert any claim or obtain any relief in connection with this Indenture, any Supplemental Indenture or the Securities will be brought by the Company exclusively in the courts of the State of New York
sitting in the Borough of Manhattan, The City of New York or in the United States District Court for the Southern District of New York. 
 
SECTION 13.11. No Adverse Interpretation of Other Agreements. Neither this Indenture nor any Supplemental Indenture may be used to interpret another indenture, loan or debt agreement of the Company or any Subsidiary. No such indenture,
loan or debt agreement may be used to interpret this Indenture or any Supplemental Indenture. 
 SECTION
13.12. Successors. All agreements of the Company in this Indenture, any Supplemental Indentures and the Securities will bind its successors. All agreements of the Trustee in this Indenture and any Supplemental Indentures will bind its
successors. 
 SECTION 13.13. Table of Contents, Headings, etc. The table of contents,
cross-reference sheet and headings of the Articles and Sections of this Indenture have been inserted for convenience of reference only. They are not to be considered a part of this Indenture, and will in no way modify or restrict any of the terms or
provisions of this Indenture. 

  
 - 33 - 

 SECTION 13.14. Authenticating Agent. The Trustee may
appoint an authenticating agent that shall be authorized to act on its behalf and subject to its direction in the authentication and delivery of Securities in connection with the original issuance thereof and transfers and exchanges of Securities
hereunder, including under Section 2.04, Section 2.05, Section 2.09, Section 2.11 and Section 9.05 as fully to all intents and purposes as though the authenticating agent had been expressly authorized by this Indenture and
those Sections to authenticate and deliver Securities. For all purposes of this Indenture, the authentication and delivery of Securities by the authenticating agent shall be deemed to be authentication and delivery of such Securities “by the
Trustee” and a certificate of authentication executed on behalf of the Trustee by an authenticating agent shall be deemed to satisfy any requirement hereunder or in the Securities for the Trustee’s certificate of authentication. Such
authenticating agent shall at all times be a Person eligible to serve as trustee hereunder pursuant to Section 7.10. 
 Any corporation
or other entity into which any authenticating agent may be merged or converted or with which it may be consolidated, or any corporation or other entity resulting from any merger, consolidation or conversion to which any authenticating agent shall be
a party, or any corporation or other entity succeeding to the corporate trust business of any authenticating agent, shall be the successor of the authenticating agent hereunder, if such successor corporation or other entity is otherwise eligible
under this Section 13.14, without the execution or filing of any paper or any further act on the part of the parties hereto or the authenticating agent or such successor corporation or other entity. 

Any authenticating agent may at any time resign by giving written notice of resignation to the Trustee and to the Company. The Trustee may at
any time terminate the agency of any authenticating agent by giving written notice of termination to such authenticating agent and to the Company. Upon receiving such a notice of resignation or upon such a termination, or in case at any time any
authenticating agent shall cease to be eligible under this Section, the Trustee may appoint a successor authenticating agent (which may be the Trustee), shall give written notice of such appointment to the Company and shall mail or transmit notice
of such appointment to all Holders as the names and addresses of such Holders appear on the Note Register. 
 The Company agrees to pay to
the authenticating agent from time to time reasonable compensation for its services although the Company may terminate the authenticating agent, if it determines such agent’s fees to be unreasonable. 

The provisions of Section 2.08, Section 7.02, Section 7.03 and Section 7.04 and this Section 13.14 shall be
applicable to any authenticating agent. 
 If an authenticating agent is appointed pursuant to this Section 13.14, the Securities may
have endorsed thereon, in addition to the Trustee’s certificate of authentication, an alternative certificate of authentication in the following form: 

                       
         , as Authenticating Agent, certifies that this is one of the Securities described in the within-named Indenture. 

 

			
		
	By:	 	 
	Authorized Officer

  
 - 34 - 

 SECTION 13.15. Execution in Counterparts. This
Indenture may be executed in any number of counterparts, each of which shall be an original, but such counterparts shall together constitute but one and the same instrument. The exchange of copies of this Indenture and of signature pages by
facsimile or PDF transmission shall constitute effective execution and delivery of this Indenture as to the parties hereto and may be used in lieu of the original Indenture for all purposes. Signatures of the parties hereto transmitted by facsimile
or PDF shall be deemed to be their original signatures for all purposes. 
 SECTION 13.16.
Severability. In the event any provision of this Indenture or in the Securities shall be invalid, illegal or unenforceable, then (to the extent permitted by law) the validity, legality or enforceability of the remaining provisions shall not
in any way be affected or impaired. 
 SECTION 13.17. Waiver of Jury Trial. EACH OF THE COMPANY, THE
HOLDERS AND THE TRUSTEE HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING ARISING OUT OF OR RELATING TO THIS INDENTURE, THE SECURITIES OR THE TRANSACTION
CONTEMPLATED HEREBY. 
 SECTION 13.18. Force Majeure. In no event shall the Trustee be responsible or
liable for any failure or delay in the performance of its obligations hereunder arising out of or caused by, directly or indirectly, forces beyond its control, including, without limitation, strikes, work stoppages, accidents, acts of war or
terrorism, civil or military disturbances, nuclear or natural catastrophes or acts of God, and interruptions, loss or malfunctions of utilities, communications or computer (software and hardware) services; it being understood that the Trustee shall
use reasonable best efforts which are consistent with accepted practices in the banking industry to resume performance as soon as practicable under the circumstances. 

SECTION 13.19. FATCA. In order to comply with Sections 1471 through 1474 of the U.S. Internal Revenue
Code and the rules and regulations thereunder (as in effect from time to time, collectively, the “Applicable Law”), a foreign financial institution, issuer, collateral agent, paying agent, holder or other institution is or has
agreed to be subject to related to this Indenture, the Company and the Securityholders agree (a) to provide to the Trustee upon its request information in the Company’s possession about holders or other applicable parties and/or
transactions (including any modification to the terms of such transactions) so the Trustee can determine whether it has tax related obligations under the Applicable Law and (b) that the Trustee shall be entitled to make any withholding or
deduction from payments under this Indenture to the extent necessary to comply with the Applicable Law for which the Trustee shall not have any liability for its withholding or deduction from payment under this Indenture to the extent necessary to
comply with Applicable Law. The terms of this section shall survive the termination of this Indenture. 

  
 - 35 - 

 IN WITNESS WHEREOF, the parties to this Indenture have caused it to be duly executed as of
the day and year first above written. 
  

			
	RESIDEO TECHNOLOGIES, INC.
		
	By:	 	 
	      	 	Name:
		 	Title:

  

	
	[_____],
	 as Trustee

  

			
	By:	 	 
		 	Name:
		 	Title:

  
 - 36 -

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00317-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00317-of-00352.parquet"}]]