Document:

Exhibit 10.5

 

INTERCREDITOR AGREEMENT

 

This INTERCREDITOR
AGREEMENT (the “Agreement”) is dated June 3rd, 2019, by and between ARTHUR ROSEN, an individual (“Rosen”)
and ERIC GOLDBERG, an individual (“Goldberg” and together with Rosen, the “Creditors”
and each a “Creditor”).

 

RECITALS:

 

WHEREAS, the Creditors
are entering into that certain Loan Agreement, dated as of the date hereof (the “Loan Agreement”) with Jerrick
Media Holdings, Inc. (the “Debtor”), evidencing a loan with an aggregate principal amount as of the date hereof
of $2,400,000.00 (together with owing and outstanding and unpaid interest such thereon, the “Debt Amount”);

 

WHEREAS, the obligations
of the debtors in respect of the Debt Amount are documented pursuant to the Loan Agreement, and certain related documents (the
“Creditor Loan Documents”) and are secured by liens granted pursuant to such documents in certain assets of
the Debtor (the “Collateral”);

 

WHEREAS, the Creditors
intend that they shall be secured on a basis with respect to the Collateral proportionate to their respective Creditor Share (as
defined below); and

 

WHEREAS, the Creditors
wish to memorialize their agreements concerning their respective rights, duties and obligations to one another with respect to
the security interests granted under the Creditor Loan Documents.

 

NOW, THEREFORE, in
consideration of the mutual covenants and agreements herein contained and other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the parties hereto, each intending to be legally bound, do hereby agree as follows:

 

1. Recitals.
The recitals set forth above are true and correct and are hereby incorporated herein by this reference.

 

2. Ranking
of Interests. Each Creditor agrees and acknowledges that all sums secured or owing to either Creditor under the Creditor Loan
Documents shall be and are hereby declared by each Creditor to be held and/or receivable by the Creditors on a basis of fifty percent
(50.00%) to Goldberg and fifty percent (50.00%) to Rosen (each such share hereinafter referred to as each Creditor’s “Creditor
Share”). Any amounts payable hereunder shall be rounded to the nearest whole ten-dollar increment.

 

Notwithstanding anything
to the contrary contained in any Creditor Loan Documents and irrespective of: (i) dates, times or order of when a Creditor made
its loan to the Company under the Creditor Loan Documents; (ii) the time, order or method of attachment or perfection of the security
interests created in favor of either Creditor; (iii) the time or order of filing or recording of financing statements or other
documents filed or recorded to perfect security interests in any collateral; (iv) anything contained in any filing or agreement
to which any Creditor now or hereafter may be a party; (v) the rules for determining perfection or priority under the Uniform Commercial
Code or any other law governing the relative priorities of secured creditors; (vi) the time or order of obtaining control or possession
of any Collateral; or (vii) or the failure to perfect or maintain the perfection or priority of any security interests, each Creditor
hereby agrees and acknowledges that: (x) each of the Creditors has a valid security interest in the Collateral and (y) the security
interests of each Creditor in any Collateral pursuant to any Creditor Loan Documents shall be pari passu with each other
subject to each Creditor’s respective Creditor Share.

 

     

     

    

 

3. Payment
Obligations. The Creditors agree that in the event that any payments or distributions on account of the Debt Amount or
in any way relating to the Collateral or any assets or property of the Debtor shall be received by any Creditor, such
payments or distributions shall be held in trust by the receiving Creditor for the benefit of all the Creditors and the
receiving Creditor shall promptly pay each non-receiving Creditor their respective Creditor Share of such payments or
distributions, in the same form as received, with any necessary endorsements to the address listed below in Section 6(a)
within two (2) Business Days after the receipt thereof or to such account which may be notified to the receiving Creditor by
the non-receiving Creditor.

 

4.  Default.

 

(a) Notice
of Default. In that regard if a Creditor becomes aware of the occurrence of a default by the Debtor not cured within any applicable
cure period such Creditor shall notify the other Creditor in writing of the occurrence of any such default within two (2) business
days after the occurrence thereof.

 

(b) Enforcement
of Rights. Upon the occurrence of any default by a Debtor under any of the Creditor Loan Documents, each Creditor shall be
permitted to exercise and enforce its rights and remedies provided in its Creditor Loan Documents, provided, however, that all
the provisions of this Agreement shall remain in full force and effect and each Creditor shall remain bound hereby. 

 

(c) Post-Default
Payment. Upon the occurrence and during the continuance of any default by a Debtor under any of the Creditor Loan Documents,
payments shall be made to the Creditors based on their respective Creditor Share. Should any Debtor make any payments to any Creditor
not in compliance with this Agreement during the continuance of any such default, the other Creditors hereto shall be immediately
notified and such payment shall be shared with all of the other Creditors based on their respective Creditor Share as determined
at such time such payment is received and payment shall be sent to the address listed below in Section 6(a) within two (2) Business
Days after the receipt thereof.

 

5. Termination.

 

(a) Unanimous
Agreement. The Creditors may terminate this Agreement at any time upon unanimous written approval of all Creditors.

 

(b) Effect
of Termination. Upon a termination of this Agreement in accordance with Section 5(a) above, neither Creditor shall have any
further obligation, each to the other, hereunder, except for any obligations or indemnities in this Agreement that specifically
survive such termination.

 

    2

     

    

 

6. Miscellaneous.

 

(a)  Notices.
All notices of request, demand and other communications hereunder shall be addressed to the parties as follows:

 

	If to Rosen:	Arthur Rosen
	 	P.O. Box 811
	 	Sullivan’s Island, SC 29482
	 	E-mail: arthurjrosen@gmail.com
	 	 
	With
a copy to:	 
	(which
shall not constitute notice)	 

 

	If to Goldberg:	Eric Goldberg
	 	E-Mail: axele329@gmail.com

 

	With a copy to:	Patrick Sturgeon
	(which shall not constitute notice)

	E-mail: patrick.sturgeon@brooklinecapmkts.com

 

unless the address is changed by the party
by like notice given to the other parties. Notice shall be in writing and shall be deemed delivered: (i) if mailed by certified
mail, return receipt requested, postage prepaid and properly addressed to the address below, then three (3) business days after
deposit of same in a regularly maintained U.S. Mail receptacle; or (ii) if mailed by Federal Express, UPS or other nationally recognized
overnight courier service, next business morning delivery, then one (1) business day after deposit of same in a regularly maintained
receptacle of such overnight courier; (iii) if hand delivered, then upon hand delivery thereof to the address indicated on or prior
to 5:00 p.m., EST, on a business day, any notice hand delivered after 5:00 p.m., EST, being deemed delivered on the following business
day; and (iv) if delivered by e-mail notification to the e-mail address of the applicable Person as shown on this Agreement, then
on the date such e-mail is sent, so long as the sender does not receive either a system rejection notice that such e-mail was not
properly sent or received, or a reply notice that the receiving party is not receiving e-mails at such time. Notwithstanding the
foregoing, notice, consents, waivers or other communications referred to in this Agreement may be sent by any other method of delivery,
but shall be deemed to have been delivered only when the sending party has confirmed that the notice has been received by the other
party.

 

    3

     

    

 

(b)  Entire
Agreement. This Agreement, and the documents delivered pursuant hereto, if any, set forth all the promises, covenants, agreements,
conditions and understandings between the parties hereto with respect to the subject matter hereof and thereof, and supersede all
prior and contemporaneous agreements, understandings, inducements or conditions, expressed or implied, oral or written, except
as contained herein.

 

(c)  Binding
Effect. This Agreement shall be binding upon the parties hereto, their respective successors and permitted assigns.

 

(d)  Amendment.
The parties hereby irrevocably agree that no attempted amendment, modification, or change of this Agreement shall be valid and
effective, unless all parties hereto shall unanimously agree in writing to such amendment, modification or change.

 

(e)  No
Waiver. No waiver of any provision of this Agreement shall be effective, unless it is in writing and signed by the party against
whom it is asserted, and any such written waiver shall only be applicable to the specific instance to which it relates and shall
not be deemed to be a continuing or future waiver.

 

(f)  Gender
and Use of Singular and Plural. All pronouns shall be deemed to refer to the masculine, feminine, neuter, singular or plural,
as the identity of the party or parties or their personal representatives, successors and assigns may require.

 

(g)  Execution.
This Agreement may be executed in one or more counterparts, all of which taken together shall be deemed and considered one and
the same Agreement, and same shall become effective when counterparts have been signed by each party and each party has delivered
its signed counterpart to the other party. In the event that any signature is delivered by facsimile transmission or by e-mail
delivery of a “.pdf” format file or other similar format file, such signature shall be deemed an original for all purposes
and shall create a valid and binding obligation of the party executing same with the same force and effect as if such facsimile
or “.pdf” signature page was an original thereof.

 

(h)  Headings.
The article and section headings contained in this Agreement are inserted for convenience only and shall not affect in any way
the meaning or interpretation of the Agreement.

 

(i)  Governing
Law. This Agreement shall be construed in accordance with the laws of the State of New Jersey, without regard to the principles
of conflicts of laws. The parties further agree that any action between them shall be heard in Bergen County, New Jersey and expressly
consent to the jurisdiction and venue of the State and Federal Courts sitting in New Jersey for the adjudication of any civil action
asserted pursuant to this Agreement.

 

(j)  Further
Assurances. The parties hereto will execute and deliver such further instruments and do such further acts and things as may
be reasonably required to carry out the intent and purposes of this Agreement.

 

    4

     

    

 

(k)  Severability.
If any one of the provisions contained in this Agreement, for any reason, shall be held invalid, illegal or unenforceable in any
respect, such invalidity, illegality or unenforceability shall not affect any other provision of this Agreement, and this Agreement
shall remain in full force and effect and be construed as if the invalid, illegal or unenforceable provision had never been contained
herein.

 

(l)  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, except as otherwise
set forth in this Section 6(l).

 

(m)  WAIVER
OF JURY TRIAL. EACH CREDITOR AND COLLATERAL AGENT, AFTER CONSULTING OR HAVING HAD THE OPPORTUNITY TO CONSULT WITH COUNSEL,
EACH KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVES, IRREVOCABLY, THE RIGHT TO TRIAL BY JURY WITH RESPECT TO ANY LEGAL PROCEEDING
BASED HEREON, OR ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS AGREEMENT OR ANY OTHER AGREEMENT EXECUTED OR CONTEMPLATED TO
BE EXECUTED IN CONJUNCTION WITH THIS AGREEMENT, OR ANY COURSE OF CONDUCT OR COURSE OF DEALING IN WHICH ANY PARTIES HERETO ARE ADVERSE
PARTIES.

 

[Signatures on the following
page]

 

    5

     

    

 

IN WITNESS WHEREOF,
the parties hereto executed this Agreement effective as of the Effective Date.

 

		 
	ARTHUR ROSEN, as Creditor	 
	 	 
		 
	ERIC GOLDBERG, as Creditor  	 

 

 

6Exhibit 10.2

 

Execution Version

 

FIRST AMENDMENT TO

FOURTH AMENDED AND RESTATED LOAN AND
SECURITY AGREEMENT

 

This FIRST AMENDMENT
TO FOURTH AMENDED AND RESTATED LOAN AND SECURITY AGREEMENT (this “Amendment”) is entered into as of June 4,
2019, by and among Squadron Capital LLC, a Delaware limited liability company (“Lender”), OrthoPediatrics Corp.,
a Delaware corporation (“OrthoPediatrics”), OrthoPediatrics US Distribution Corp., a Delaware corporation, (“OrthoPediatrics
US Distribution”), OrthoPediatrics EU Limited, a company incorporated and registered in England and Wales (“OrthoPediatrics
EU”), OrthoPediatrics Aus Pty Ltd., a company organized under the laws of Australia (“OrthoPediatrics Aus”)
and OrthoPediatrics NZ Ltd., a company organized under the laws of New Zealand (“OrthoPediatrics NZ” and together
with OrthoPediatics, OrthoPediatrics US Distribution, OrthoPediatrics EU and OrthoPediatrics Aus, “Borrowers”
and individually a “Borrower”).

 

RECITALS:

 

A.           Lender
made loans and certain other financial accommodations to Borrowers as evidenced by that certain Fourth Amended and Restated Loan
and Security Agreement dated as of December 31, 2017, among Borrowers and Lender (as amended, the “Existing Loan and Security
Agreement”).

 

B.           Borrowers
and Lender hereby agree to amend the Existing Loan and Security Agreement as described in this Amendment.

 

NOW, THEREFORE, in
consideration of the foregoing Recitals, which are hereby incorporated into this Amendment and made a part hereof, and for good
and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

 

1.           Incorporation
of Recitals. Borrowers and Lender hereby agree that all of the Recitals in this Amendment are hereby incorporated into and
made a part hereof.

 

2.           Capitalized
Terms. Except as otherwise defined in this Amendment, each capitalized term used herein shall have the same meaning as that
assigned to it in the Existing Loan and Security Agreement, and such definitions shall be incorporated herein by reference, as
if fully set forth herein.

 

3.           Amendments
to Existing Loan and Security Agreement.

 

A.           Section
1.1 of the Existing Loan and Security Agreement is hereby amended by inserting the following new definitions in alphabetical
order:

 

“Equity Interest Purchase
Agreement”: The Equity Interest Purchase Agreement dated as of June 4, 2019 among OrthoPediatrics, the “Sellers”
as defined therein, the “Sellers’ Representative” as defined therein and the “Selling Equityholders”
as defined therein.

 

“First Amendment Date”:
June 4, 2019.

 

“Orthex”:
Orthex, LLC, a Florida limited liability company.

 

“Term Loan B”:
The term as defined in Section 2.1(b).

 

     

     

    

 

“Term Loan B Maturity
Date”: The earliest to occur (unless sooner terminated by acceleration or otherwise) of:

 

(a)          there
occurs any transaction or series of transactions pursuant to which any Person(s) in the aggregate acquire(s) (x) capital stock
of OrthoPediatrics possessing the voting power to elect a majority of OrthoPediatrics’ Board of Directors (whether by merger,
consolidation, reorganization, combination, sale or transfer of OrthoPediatrics’ capital stock) or (y) all or substantially
all of OrthoPediatrics’ assets determined on a consolidated basis;

 

(b)          the
sale of all of the Equity Interests in, or the sale of all or substantially all of the assets of, Vilex; and

 

(c)           May
31, 2020.

 

“Term Note B”:
The term as defined in Section 2.1(b).

 

“Vilex”: Vilex
in Tennessee, Inc., a Tennessee corporation.

 

B.           Section
1.1 of the Existing Loan and Security Agreement is hereby amended by amending and restating the following definition:

 

“Loan
Documents”: Collectively, this Agreement, the Term Note A, the Term Note B, the Revolving Note, the Incumbency Certificates,
the Closing Certificate, security agreements and collateral agreements in connection with the pledge of Collateral of the Non U.S.
Loan Parties and all documents, certificates, agreements and other written matter heretofore, now and/or from time to time hereafter
executed by and/or on behalf of Borrowers and delivered to Lender, or issued by Lender upon the application and/or other request
of, and on behalf of, Borrowers in any way relating to, evidencing or securing the Term Loan A, Term Loan B, Revolving Loan and
all Modifications thereto and thereof.

 

C.           Section
2.1 of the Existing Loan and Security Agreement is hereby amended by amending and restating the heading as “Term Loans”.

 

D.           Section
2.1(a) of the Existing Loan and Security Agreement is hereby amended by amending and restating the heading as “Term Loan
A”.

 

E.           The
Existing Loan and Security Agreement is hereby amended by inserting the following new Section 2.1(b) immediately after Section
2.1(a):

 

(b)          Term
Loan B. Subject to the terms and provisions hereof, Lender shall lend to Borrowers and Borrowers shall borrow a term loan in
the principal amount of $30,000,000 (the “Term Loan B”). The Term Loan B shall be evidenced by the term note
made payable by the Borrowers, jointly and severally, to the order of the Lender in the form attached as Exhibit A-1 hereto (the
 “Term Note B”). The Term Loan B, the obligations of the Borrowers and the rights and remedies of the Lender
are pari passu with the Term Loan A and the Revolving Loan and senior to all other Indebtedness of the Borrowers. The entire amount
of the proceeds of the Term Loan B shall be disbursed in full on the First Amendment Date.

 

    	 	2	 

     

    

 

F.           Section
2.2(a) of the Existing Loan and Security Agreement is hereby amended by (i) inserting in the sixth sentence therein, “the
Term Loan B,” immediately following “the Term Loan A” and (ii) inserting the following sentence immediately following
the sixth sentence therein:

 

Notwithstanding anything to the
contrary contained herein, no borrowings of the Revolving Loan shall be permitted until the outstanding principal amount of the
Term Loan B and all accrued interest thereon has been paid in full.

 

G.           Section
2.3 of the Existing Loan and Security Agreement is hereby amended by inserting in the first sentence therein, “the Term
Note B,” immediately following “the Term Note A”.

 

H.           Section
3.1 of the Existing Loan and Security Agreement is hereby amended by (i) deleting the reference to “(b)” and inserting
in place thereof “(c)” and (ii) inserting the following new Section 3.1(b) immediately following Section
3.1(a):

 

(b)          Term
Loan B. The Term Loan B shall bear interest at the Applicable Rate; provided that (i) the Applicable Rate shall be adjusted
as of each January 1, and July 1 of each year during the term of the Term Loan B, (ii) following the Term Loan B Maturity Date,
whether by acceleration or otherwise, the Term Loan B shall bear interest at the Default Rate and (iii) following the occurrence
of any Event of Default under Section 9.1 hereof (including after acceleration or judgment), the Term Loan B shall bear
interest at the Default Rate. Interest in respect of the Term Loan B shall be calculated based on a 360 day year for the actual
number of days elapsed.

 

I.           Section
3.2 of the Existing Loan and Security Agreement is hereby amended by inserting “, Term Loan B” immediately following
 “Term Loan A” in the second and fourth lines thereof.

 

J.           Section
3.3(a) of the Existing Loan and Security Agreement is hereby amended by inserting “, Term Loan B” in the heading
immediately following “Term Loan A” and by inserting the following sentence at the end of the section:

 

Borrowers promise to pay, jointly
and severally, to the order of Lender the Term Loan B, plus all accrued but unpaid interest on the Term Loan B on the Term Loan
B Maturity Date.

 

K.          Section
3.5(a) of the Existing Loan and Security Agreement is hereby amended by inserting “, Term Loan B” immediately following
 “Term Loan A” in the second line thereof and inserting “Term Loan B, then to” immediately following “first
to the” in the third line thereof.

 

L.           Section
4.1 of the Existing Loan and Security Agreement is hereby amended by (i) deleting “and” and inserting “,”
after “OrthoPediatrics” in the second line thereof, (ii) inserting “and Orthex” after “OrthoPediatrics
US Distribution” in the third line thereof and (iii) inserting the following new sentence at the end of the section:

 

Notwithstanding anything to the
contrary contained herein, the Obligations of the Borrowers with respect to the Term Loan B shall be secured solely by the Equity
Interests of Vilex and Orthex owned by OrthoPediatrics and the personal Property of Orthex owned by Orthex; provided, however,
that (i) during the continuance of an Event of Default, all such Equity Interests and personal Property shall secure all Obligations
hereunder and (ii) upon payment in full of the principal of the Term Loan B including all accrued interest thereon, the Equity
Interests and personal Property of Orthex shall secure all Obligations hereunder.

 

    	 	3	 

     

    

 

M.          Section
5 of the Existing Loan and Security Agreement is hereby amended by inserting “, the Term Loan B” immediately following
 “the Term Loan A” in the first line thereof.

 

N.           Section
5.6 of the Existing Loan and Security Agreement is hereby amended by inserting “, the Term Loan B” immediately
following “the Term Loan A” in the third line thereof.

 

O.           Section
6.9 of the Existing Loan and Security Agreement is hereby amended by inserting the following sentence at the end of the section:

 

OrthoPediatrics shall use the
proceeds of the Term Loan B solely to acquire the shares of stock of Vilex and the membership interests of Orthex pursuant to the
Equity Interest Purchase Agreement.

 

P.           Section
7.4(b) of the Existing Loan and Security Agreement is hereby amended by inserting “, the Term Loan B” immediately
following “the Term Loan A” in the fourth line thereof.

 

Q.          Section
7.7 of the Existing Loan and Security Agreement is hereby amended by amending and restating the section as follows:

 

7.7           Sale
of Assets. No Borrower will lease, sell or otherwise dispose of its Property to any other Person, except (i) sales of Inventory
in the ordinary course of business, (ii) the sale of all of the Equity Interests in, or the sale of all or substantially all of
the assets of, Vilex or (iii) the license of any Intellectual Property of Orthex.

 

R.           Section
7.9 of the Existing Loan and Security Agreement is hereby amended by (i) inserting “; and” in place of “.”
at the end of clause (b) and (ii) inserting the following new clause (c) immediately following clause (b):

 

(c)          Investments
by OrthoPediatrics pursuant to the Equity Interest Purchase Agreement.

 

S.           Section
8.3 of the Existing Loan and Security Agreement is hereby amended by inserting “, the Term Loan B” immediately
following “the Term Loan A” in the first line thereof.

 

T.           Section
8.3(a) of the Existing Loan and Security Agreement is hereby amended by inserting “, the Term Loan B” immediately
following “the Term Loan A” in the fourth line thereof.

 

U.           Section
8.3(b) of the Existing Loan and Security Agreement is hereby amended by inserting “, the Term Loan B” immediately
following “the Term Loan A” in the third line thereof.

 

V.           Section
8.3(d) of the Existing Loan and Security Agreement is hereby amended by inserting “, the Term Loan B” immediately
following “the Term Loan A” in the second line thereof.

 

W.         Section
9.1(a) of the Existing Loan and Security Agreement is hereby amended by amending and restating the section as follows:

 

    	 	4	 

     

    

 

(a)          Borrowers
shall fail to pay (i) interest under the Term Loan A, the Term Loan B, the Revolving Loan or other Obligations under this Agreement
within 10 calendar days after the same becomes due, (ii) principal and accrued interest under the Term Loan A and the Revolving
Note on the Maturity Date and (iii) principal and accrued interest under the Term Loan B on the Term Loan B Maturity Date;

 

X.           Section
9.4 of the Existing Loan and Security Agreement is hereby amended by inserting “, the Term Loan B” immediately
following “the Term Loan A” in the second line thereof.

 

Y.           Section
11.13 of the Existing Loan and Security Agreement is hereby amended by inserting “, the Term Loan B” immediately
following “the Term Loan A” in the second sentence thereof.

 

Z.           The
Existing Loan and Security Agreement is hereby amended by inserting Exhibit A hereto as Exhibit A-1 thereto.

 

4.           Joinder
to Existing Loan and Security Agreement.

 

A.           Effective
as of the date of this Amendment, Orthex hereby acknowledges that it has received and reviewed a copy of the Existing Loan and
Security Agreement, and acknowledges and hereby:

 

(i)          joins
in the execution of, and becomes a party to, the Existing Loan and Security Agreement as a Borrower thereunder, as indicated by
its signature below;

 

(ii)         agrees
to be bound by all representations, warranties, covenants, agreements, liabilities and acknowledgements of a Borrower under the
Existing Loan and Security Agreement with the same force and effect as if Orthex was an original signatory to the Existing Loan
and Security Agreement;

 

(iii)        assumes
all rights and interests and agrees to perform all applicable duties and Obligations of a Borrower under the Existing Loan and
Security Agreement;

 

(iv)        as
collateral security for the prompt and complete payment and performance when due (whether at stated maturity, by acceleration or
otherwise) of the Obligations of Borrowers and Orthex, grants to Lender a lien on and security interest in, all of Orthex’s
right, title and interest in, to and under the personal Property of Orthex and expressly assumes all obligations and liability
of a debtor thereunder;

 

(v)         adds
the information in Exhibit B attached hereto to the Schedules to the Existing Loan and Security Agreement; and

 

(vi)        agrees
to execute a Joinder to the Revolving Note and Second Amended and Restated Term Note A in a form acceptable to Lender.

 

B.           Orthex
hereby makes the representations and warranties set forth in Section 5 of the Existing Loan and Security Agreement as of
the date hereof and confirms that such representations and warranties are true and correct.

 

    	 	5	 

     

    

 

C.           Orthex
covenants and agrees to be bound by and to comply with the affirmative and negative covenants set forth in Sections 6 and
7 of the Existing Loan and Security Agreement as if Orthex was an original party to the Existing Loan and Security Agreement.

 

5.           Representations,
Warranties and Covenants. Each Borrower hereby represents, warrants and covenants to Lender as follows:

 

A.           no
Unmatured Default or Event of Default has occurred and is continuing under the Existing Loan and Security Agreement or any other
Loan Document;

 

B.           the
representations and warranties of such Borrower in the Existing Loan and Security Agreement and each other Loan Document are true
and correct in all material respects as of the date hereof as though each of said representations and warranties was made on the
date hereof (except, in each case for representations and warranties which by their terms are expressly applicable to an earlier
date, in which case, such representations and warranties shall be true and correct in all material respects as of such earlier
date); and

 

C.           this
Amendment has been duly authorized, executed and delivered on behalf of such Borrower and this Amendment constitutes the legal,
valid and binding obligation of such Borrower, enforceable in accordance with its terms except as enforceability may be limited
by applicable bankruptcy, insolvency or laws affecting creditor's rights generally and by general principles of equity.

 

6.           Conditions
Precedent. The obligation of Lender to enter into this Amendment is subject to the following conditions precedent:

 

A.           Borrowers
shall have entered into, executed and delivered to Lender:

 

(i)          this
Amendment;

 

(ii)         the
Term Note B in the form attached hereto as Exhibit A; and

 

(iii)        Certificate(s)
and assignment(s) separate from certificate executed in blank for the shares of stock of Vilex;

 

B.           Orthex
shall have entered into, executed and delivered to Lender:

 

(i)          the
Joinder to Revolving Note and Second Amended and Restated Term Note A;

 

(ii)         the
Grant of Patent Security Agreement covering patents filed by Orthex; and

 

(iii)        Grant
of Trademark Security Agreement covering trademarks filed by Orthex.

 

(iv)        Certificate(s)
and assignment(s) separate from certificate executed in blank for the shares of stock of Vilex.

 

C.           Lender
shall have received a certificate from the Secretary of Borrowers (i) attesting to the resolutions of the Board of Directors authorizing
its execution, delivery and performance of this Amendment, (ii) authorizing specific officers of Borrowers to execute this Amendment,
and (iii) attesting to the incumbency and signature of specific officers of Borrowers.

 

    	 	6	 

     

    

 

7.          Waiver
of Claims. Each Borrower hereby acknowledges, agrees and affirms that it currently possesses no claims, defenses, offsets,
recoupment or counterclaims of any kind or nature against or with respect to the enforcement of the Existing Loan and Security
Agreement or any other Loan Document or any amendments thereto (collectively, the “Claims”), nor does any Borrower
now have knowledge of any facts that would or might give rise to any Claims. If facts now exist which would or could give rise
to any Claim against or with respect to the enforcement of the Existing Loan and Security Agreement or any other Loan Document,
as amended hereby, each Borrower hereby unconditionally, irrevocably and unequivocally waives to the extent permitted by applicable
law and fully releases any and all such Claims as if such Claims were the subject of a lawsuit (other than the defense of payment
in full), adjudicated to final judgment from which no appeal could be taken and therein dismissed with prejudice.

 

8.          Ratification
of Existing Loan and Security Documents. From and after the date hereof, the Existing Loan and Security Agreement and the other
Loan Documents shall be deemed to be amended and modified as provided herein, and, except as so amended and modified, the Existing
Loan and Security Agreement and the other Loan Documents shall continue in full force and effect and the Existing Loan and Security
Agreement and the applicable provisions of this Amendment shall be read, taken and construed as one and the same instrument. Each
Borrower hereby remakes, ratifies and reaffirms all of its Obligations under the terms of the Existing Loan and Security Agreement
and the other Loan Documents and any other document to which it is a party evidencing, creating or securing the Loans, as of the
date hereof after giving effect to the amendments contained herein including, without limitation, the granting of a security interest
thereunder. On and after the date hereof, the term “Loan and Security Agreement” used in any document evidencing the
Loan shall mean the Existing Loan and Security Agreement as amended hereby. Except as expressly set forth in this Amendment, nothing
in this Amendment shall constitute a waiver or relinquishment of (a) any Unmatured Default or Event of Default under any of the
Loan Documents, (b) any of the agreements, terms or conditions contained in any of the Loan Documents, (c) any rights or remedies
of Lender with respect to the Loan Documents, or (d) the rights of Lender to collect the full amounts owing to them under the Loan
Documents.

 

9.          Consents.
Each Borrower hereby represents that this Amendment does not violate any provision of any instrument, document, contract or agreement
to which such party is a party, or each Borrower hereby represents that it has obtained all requisite consents under those third
party instruments prior to entering into this Amendment.

 

10.         Further
Assurances. The parties hereto, shall, at any time and from time to time, following the execution of this Amendment, execute
and deliver all such further instruments and take all such further action as may be reasonably necessary or appropriate in order
to carry out the provisions of this Amendment.

 

11.         Counterparts.
This Amendment may be executed in any number of counterparts, and by the different parties hereto and thereto on the same or separate
counterparts, each of which, when so executed and delivered, shall be deemed to be an original; all the counterparts for this Amendment
shall together constitute one and the same agreement. Delivery of a counterpart to this Amendment by facsimile or electronic transmission
shall constitute delivery of an original counterpart hereto.

 

12.         Representation
by Counsel. Each Borrower hereby represents that it has been represented by competent counsel of its choice in the negotiation
and execution of this Amendment; that it has read and fully understands the terms hereof, that such party and its counsel have
been afforded an opportunity to review, negotiate and modify the terms of this Amendment, and that it intends to be bound hereby.

 

    	 	7	 

     

    

 

13.         No
Third Party Beneficiaries. The terms and provisions of this Amendment shall be for the sole benefit of the parties hereto and
their respective successors and assigns; no other person, firm, entity or corporation shall have any right, benefit or interest
under this Amendment.

 

14.         Governing
Law. The provision of Section 11.15 of the Existing Loan and Security Agreement is hereby incorporated herein by reference.

 

15.         WAIVER
OF TRIAL BY JURY. TO THE EXTENT PERMITTED BY LAW, BORROWERS AND LENDER HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVE
THE RIGHT TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION BASED HEREON, ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS AMENDMENT
OR THE OTHER LOAN DOCUMENTS OR ANY COURSE OF CONDUCT, COURSE OF DEALINGS, STATEMENTS (WHETHER VERBAL OR WRITTEN) OR ACTIONS OF
EITHER PARTY IN CONNECTION HEREWITH. EACH BORROWER HEREBY EXPRESSLY ACKNOWLEDGES THAT THIS WAIVER IS A MATERIAL INDUCEMENT FOR
LENDER TO ENTER INTO THIS AMENDMENT.         

 

THE REMAINDER OF
THIS PAGE IS INTENTIONALLY LEFT BLANK.

 

    	 	8	 

     

    

 

IN WITNESS WHEREOF,
the parties hereto have executed this First Amendment to Fourth Amended and Restated Loan and Security Agreement dated as of the
date first written above.

 

	 	ORTHOPEDIATRICS CORP.
	 	 
	 	By:	 /s/ Mark Throdahl
	 	 	Mark Throdahl
	 	 	President & Chief Executive Officer
	 	 
	 	ORTHOPEDIATRICS US DISTRIBUTION CORP.
	 	 
	 	By: 	/s/ Mark Throdahl
	 	 	Mark Throdahl
	 	 	President & Chief Executive Officer
	 	 
	 	ORTHOPEDIATRICS EU LIMITED
	 	 
	 	By: 	/s/ Fred Hite
	 	Name: Fred Hite
	 	Title: Chief Financial Officer
	 	 
	 	ORTHOPEDIATRICS AUS PTY LTD
	 	 
	 	By:	 /s/ Fred Hite
	 	Name: Fred Hite
	 	Title: Chief Financial Officer
	 	 
	 	ORTHOPEDIATRICS NZ LTD
	 	 
	 	By: 	/s/ Fred Hite
	 	Name: Fred Hite
	 	Title: Chief Financial Officer
	 	 
	 	ORTHEX, LLC
	 	 
	 	By:	 /s/ Fred Hite
	 	Name: Fred Hite
	 	Title: Manager

 

First Amendment to

 Fourth Amended and Restated Loan and Security Agreement

 

     

     

    

 

	 	LENDER:
	 	 
	 	SQUADRON CAPITAL LLC
	 	 
	 	By:	/s/ David R. Pelizzon
	 	Name: David R. Pelizzon
	 	Title: President

 

First Amendment to

Fourth
Amended and Restated Loan and Security Agreement

 

     

     

    

 

Exhibit A

 

TERM NOTE B

 

     

     

    

 

Exhibit A-1

 

TERM NOTE B

 

	$30,000,000	June 4, 2019

 

FOR VALUE RECEIVED, the undersigned, OrthoPediatrics
Corp., a Delaware corporation (“OrthoPediatrics”), OrthoPediatrics US Distribution Corp., a Delaware corporation,
(“OrthoPediatrics US Distribution”), OrthoPediatrics EU Limited, a company incorporated and registered in England
and Wales (“OrthoPediatrics EU”), OrthoPediatrics Aus Pty Ltd., a company organized under the laws of Australia
(“OrthoPediatrics Aus”), OrthoPediatrics NZ Ltd., a company organized under the laws of New Zealand (“OrthoPediatrics
NZ”) and Orthex, LLC, a Florida limited liability company (“Orthex” and together with OrthoPediatics,
OrthoPediatrics US Distribution, OrthoPediatrics EU, OrthoPediatrics Aus and OrthoPediatrics NZ, “Borrowers”
and individually a “Borrower”), jointly and severally promise to pay to the order of Squadron Capital LLC, a
Delaware limited liability company (the “Lender”), at the place and times provided in the Fourth Amended and
Restated Loan and Security Agreement referred to below, the principal sum of $30,000,000, together with all accrued and unpaid
interest under this Term Note B (“Term Note B”) pursuant to that certain Fourth Amended and Restated Loan and
Security Agreement, dated as of the date hereof (as amended, supplemented, modified or restated from time to time, the “Fourth
Amended and Restated Loan and Security Agreement”) by and among Borrowers and Lender. Capitalized terms used herein and
not defined herein shall have the meanings assigned thereto in the Fourth Amended and Restated Loan Agreement.

 

The unpaid principal amount of this Term
Note B from time to time outstanding is subject to mandatory repayment as provided in the Fourth Amended and Restated Loan and
Security Agreement and shall bear interest as provided in Section 3.1(b) of the Fourth Amended and Restated Loan and Security Agreement.
This Term Note B may be voluntarily prepaid from time to time as provided in the Fourth Amended and Restated Loan and Security
Agreement. All payments of principal and interest on this Term Note B shall be payable in lawful currency of the United States
of America in immediately available funds to such account as the Lender shall specify from time to time by notice to the Borrowers.
The principal and all accrued and unpaid interest under this Term Note B shall be due and payable on the Term Loan B Maturity Date.

 

This Term Note B is entitled to the benefits
of, and evidences Obligations incurred under, the Fourth Amended and Restated Loan Agreement, to which reference is made for a
description of the security for this Term Note B and for a statement of the terms and conditions on which Borrowers are permitted
and required to make prepayments and repayments of principal of the Obligations evidenced by this Term Note B and on which such
Obligations may be declared to be immediately due and payable.

 

THIS TERM NOTE B SHALL BE GOVERNED, CONSTRUED
AND ENFORCED IN ACCORDANCE WITH THE INTERNAL LAWS OF THE STATE OF ILLINOIS, WITHOUT REFERENCE TO THE CONFLICTS OR CHOICE OF LAW
PRINCIPLES THEREOF.

 

Each Borrower hereby waives all requirements
as to diligence, presentment, demand of payment, protest and (except as required by the Fourth Amended and Restated Loan and Security
Agreement) notice of any kind with respect to this Term Note B.

 

* * Signature Page to Follow * *

 

     

     

    

 

IN WITNESS WHEREOF,
the undersigned has executed this Term Note B as of the day and year first written above.

 

	 	BORROWERS:
	 	 	 
	 	ORTHOPEDIATRICS CORP.
	 	 	 
	 	By:	 
	 	 	Name: Mark Throdahl
	 	 	Title: President and Chief Executive Officer
	 	 	 
	 	ORTHOPEDIATRICS U.S. DISTRIBUTION CORP.
	 	 	 
	 	By:	 
	 	 	Name: Mark Throdahl
	 	 	Title: President and Chief Executive Officer
	 	 	 
	 	ORTHOPEDIATRICS EU LIMITED
	 	 	 
	 	By:	 
	 	 	Name: Fred Hite
	 	 	Title: Chief Financial Officer
	 	 	 
	 	ORTHOPEDIATRICS AUS PTY LTD
	 	 	 
	 	By:	 
	 	 	Name: Fred Hite
	 	 	Title: Chief Financial Officer
	 	 	 
	 	ORTHOPEDIATRICS NZ LTD
	 	 	 
	 	By:	 
	 	 	Name: Fred Hite
	 	 	Title: Chief Financial Officer
	 	 	 
	 	ORTHEX, LLC
	 	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:

 

     

     

    

 

Exhibit B

 

ADDENDUM TO SCHEDULES

 

[Omitted from filing.]

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