Document:

Document

Exhibit 10.13

Supplemental agreement in relation to certain amendments in connection 
with Silversea Cruise Holding Ltd. 

Dated:  29 August  2020

1.We refer to (a) the novation agreement dated 13 December 2019 (the Novation Agreement) entered into between, amongst others, Palmeraie Finance Limited as existing borrower, Royal Caribbean Cruises Ltd. as new borrower, Citibank Europe plc, UK Branch as facility agent (the Facility Agent) and the banks and financial institutions listed therein as lenders (the Lenders) and (b) the form of facility agreement in respect of hull no. A35 (the Facility Agreement) appended to the Novation Agreement.
2.Words and expressions defined in the Facility Agreement shall have the same meaning when used in this agreement. 
3.It is acknowledged that the Borrower has recently made certain amendments to a number of its other facility agreements in order to provide further exemptions to restrictive covenants equivalent to those set out in sections 7.2.2 and 7.2.3 of the Facility Agreement.  It has been agreed that such exemptions shall also be included in the Facility Agreement, and accordingly the Facility Agreement shall, with effect on and from the date of this agreement, be amended as follows:
(a)a new sub-paragraph f) shall be inserted into section 7.2.2 of the Facility Agreement as follows (and the remainder of the section shall be construed accordingly):

“Indebtedness of Silversea Cruise Holding Ltd. and its Subsidiaries (“Silversea”) identified in Section 1 of Exhibit F hereto”; 

(b)a new sub-paragraph r) shall be inserted into section 7.2.3 of the Facility Agreement as follows (and the remainder of the section shall be construed accordingly):

“Liens on any property of Silversea identified in Section 2 of Exhibit F hereto”; and

(c)a new exhibit in the form set out in the schedule to this agreement shall be inserted as a new exhibit F of the Facility Agreement entitled “Exhibit F – Silversea Indebtedness and Liens”.
4.Save as expressly amended by this agreement, all other terms and conditions of the Facility Agreement and the other Loan Documents shall remain unaltered and, other than in respect of the Facility Agreement (which shall come into effect on the Novation Effective Date), in full force and effect.
5.This agreement is a Loan Document.
6.No term of this agreement is enforceable under the Contracts (Rights of Third Parties) Act 1999 by anyone who is not a party to this agreement.
7.This agreement may be executed in any number of counterparts, and this has the same effect as if the signatures on the counterparts were on a single copy of this agreement.
8.This agreement and any non-contractual obligations arising out of or in connection with it are governed by English law.  The provisions of Section 11.14 of the Facility Agreement shall apply with equal effect to this agreement as if the Facility Agreement was in full force and effect on the date of this agreement. 

    
    

 

/s/ ELAINE ANDERSON
Elaine Anderson - Director
For and on behalf of
Palmeraie Finance Limited 
as Existing Borrower

/s/ ANTJE M. GIBSON
Antje M. Gibson
For and on behalf of
Royal Caribbean Cruises Ltd.  
as New Borrower

/s/ CLAIRE CRAWFORD
Claire Crawford, Delegated Signatory
For and on behalf of
Citibank Europe Plc, UK Branch
as Facility Agent on behalf of the Lenders

/s/ VIOLA JAPAUL
Viola Japaul, Attorney 
For and on behalf of
Citicorp Trustee Company Limited
as Security Trustee on behalf of the Finance Parties

/s/ CHRISTOPHER CONWAY
Christopher Conway, Managing Director
For and on behalf of
Citibank N.A., London Branch
as Global Coordinator

/s/ GUY WOELFEL
Guy Woelfel, Authorised Signatory
/s/ PHILIPPE ABONNEAU
Philippe Abonneau, Authorised Signatory
For and on behalf of
HSBC France 
as French Coordinating Bank

/s/ ALEXANDRA PENDA
Alexandra Penda, Authorised Signatory
For and on behalf of
HSBC France
as ECA Agent on behalf of the Lenders

    

 

Schedule 

Exhibit F
Silversea Liens and Indebtedness

			
	SECTION 1: Existing Indebtedness of Silversea
(a)     The obligations of the Borrower or its Subsidiaries in connection with those certain Bareboat Charterparties with respect to (i) the vessel SILVER EXPLORER dated July 22, 2011 between Silversea Cruises Ltd. and Hammonia Adventure and Cruise Shipping Company Ltd. and (ii) the vessel SILVER WHISPER dated March 15, 2012 between Whisper S.p.A. and various lessors, and the replacement, extension, renewal or amendment of each of the foregoing without increase in the amount or change in any direct or contingent obligor of such obligations, (the “Existing Silversea Leases”); 
(b)    Indebtedness arising pursuant to that certain Bareboat Charterparty dated May 17, 2018 by and between Hai Xing 1702 Limited and Silversea New Build Eight Ltd., as such agreement may be amended from time to time; and 
(c)     Indebtedness secured by Liens of the type described in Section 2 of this Exhibit F.
SECTION 2: Existing Liens of Silversea
(a)     Liens securing the $620,000,000 in principal amount of 7.25% senior secured notes due 2025 issued by Silversea Cruise Finance Ltd. pursuant that certain Indenture dated as of January 30, 2017; 
(b)     Liens on the vessels SILVER WHISPER and SILVER EXPLORER existing as of 29 April 2020 and securing the Existing Silversea Leases (and any Lien on such vessels securing any refinancing of the Existing Silversea Leases, so long as such Vessel was subject to a Lien securing the Indebtedness being refinanced immediately prior to such refinancing);  
(c)     Liens on the Vessel with Hull 6280 built or being built at Fincantieri S.p.A. and arising pursuant to that certain Bareboat Charterparty dated May 17, 2018 by and between Hai Xing 1702 Limited and Silversea New Build Eight Ltd., as such agreement may be amended from time to time (and any Lien on such Vessel securing any refinancing of such bareboat charterparty); and 
(d)     Liens securing Indebtedness of the type described in Section 1 of this Exhibit F.Exhibit 10.1

 

Securities Purchase Agreement

 

 

This
Securities Purchase Agreement (this “Agreement”), dated as of November 3, 2020, is entered into by and
between SPI Energy Co., Ltd., a Cayman Islands corporation (“Company”),
and Streeterville Capital, LLC, a Utah limited liability company, its successors
and/or assigns (“Investor”).

 

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

 

B.       Investor
desires to purchase and Company desires to issue and sell, upon the terms and conditions set forth in this Agreement a Convertible
Promissory Note, in the form attached hereto as Exhibit A, in the original principal amount of $2,110,000.00 (the “Note”),
convertible into Ordinary Shares, $0.0001 par value per share, of Company (the “Ordinary Shares”), upon the
terms and subject to the limitations and conditions set forth in such Note.

 

C.       This
Agreement, the Note, and all other certificates, documents, agreements, resolutions and instruments delivered to any party under
or in connection with this Agreement, as the same may be amended from time to time, are collectively referred to herein as the
“Transaction Documents”.

 

D.       For
purposes of this Agreement: “Conversion Shares” means all Ordinary Shares issuable upon conversion of all or
any portion of the Note; and “Securities” means the Note and the Conversion Shares.

 

NOW, THEREFORE,
in consideration of the above recitals and other good and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, Company and Investor hereby agree as follows:

 

1.             Purchase
and Sale of Securities.

 

1.1.          
Purchase of Securities. Company shall issue and sell to Investor and Investor shall purchase from Company the Note.
In consideration thereof, Investor shall pay the Purchase Price (as defined below) to Company.

 

1.2.          
Form of Payment. On the Closing Date (as defined below), Investor shall pay the Purchase Price to Company via wire
transfer of immediately available funds against delivery of the Note.

 

1.3.          
Closing Date. Subject to the satisfaction (or written waiver) of the conditions set forth in Section 5 and Section
6 below, the date of the issuance and sale of the Note pursuant to this Agreement (the “Closing Date”) shall
be November 3, 2020, or another mutually agreed upon date. The closing of the transactions contemplated by this Agreement (the
“Closing”) shall occur on the Closing Date by means of the exchange by email of signed .pdf documents, but shall
be deemed for all purposes to have occurred at the offices of Hansen Black Anderson Ashcraft PLLC in Lehi, Utah.

 

1.4.          
Collateral for the Note. The Note shall be unsecured.

 

1.5.          
Original Issue Discount; Transaction Expense Amount. The Note carries an original issue discount of $100,000.00 (the
“OID”). In addition, Company agrees to pay $10,000.00 to Investor to cover Investor’s legal fees, accounting
costs, due diligence, monitoring and other transaction costs incurred in connection with the purchase and sale of the Securities
(the “Transaction Expense Amount”), all of which amount is included in the initial principal balance of the
Note. The “Purchase Price”, therefore, shall be $2,000,000.00, computed as follows: $2,110,000.00 initial principal
balance, less the OID, less the Transaction Expense Amount.

 

2.             Investor’s
Representations and Warranties. Investor represents and warrants to Company that as of the Closing Date: (i) this Agreement
has been duly and validly authorized; (ii) this Agreement constitutes a valid and binding agreement of Investor enforceable in
accordance with its terms; and (iii) Investor is an “accredited investor” as that term is defined in Rule 501(a) of
Regulation D of the 1933 Act.

 

 

 

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3.             Company’s Representations and Warranties. Company represents and warrants to Investor that as of the Closing
Date: (i) Company is a corporation duly organized, validly existing and in good standing under the laws of its state of incorporation
and has the requisite corporate power to own its properties and to carry on its business as now being conducted; (ii) Company is
duly qualified as a foreign corporation to do business and is in good standing in each jurisdiction where the nature of the business
conducted or property owned by it makes such qualification necessary except where such failure would not have a material adverse
effect on Company; (iii) Company has registered its Ordinary Shares under Section 12(b) of the Securities Exchange Act of
1934, as amended (the “1934 Act”), and is obligated to file reports pursuant to Section 13 or Section 15(d)
of the 1934 Act; (iv) each of the Transaction Documents and the transactions contemplated hereby and thereby, have been duly and
validly authorized by Company and all necessary actions have been taken; (v) the Transaction Documents have been duly executed
and delivered by Company and constitute the valid and binding obligations of Company enforceable in accordance with their terms;
(vi) the execution and delivery of the Transaction Documents by Company, the issuance of Securities in accordance with the terms
hereof, and the consummation by Company of the other transactions contemplated by the Transaction Documents do not and will not
conflict with in any material respect or result in a material breach by Company of any of the terms or provisions of, or constitute
a material default under (a) Company’s formation documents or bylaws, each as currently in effect, (b) any indenture, mortgage,
deed of trust, or other material agreement or instrument to which Company is a party or by which it or any of its properties or
assets are bound, including, without limitation, any listing agreement for the Ordinary Shares, or (c) any existing applicable
law, rule, or regulation or any applicable decree, judgment, or order of any court, United States federal, state or foreign regulatory
body, administrative agency, or other governmental body having jurisdiction over Company or any of Company’s properties or
assets; (vii) no further authorization, approval or consent of any court, governmental body, regulatory agency, self-regulatory
organization, or stock exchange or market or the stockholders or any lender of Company is required to be obtained by Company for
the issuance of the Securities to Investor or the entering into of the Transaction Documents; (viii) none of Company’s filings
with the SEC contained, at the time they were filed, any untrue statement of a material fact or omitted to state any material fact
required to be stated therein or necessary to make the statements made therein, in light of the circumstances under which they
were made, not misleading; (ix) Company has filed all reports, schedules, forms, statements and other documents required to be
filed by Company with the SEC under the 1934 Act on a timely basis or has received a valid extension of such time of filing and
has filed any such report, schedule, form, statement or other document prior to the expiration of any such extension; (x) except
as has previously been disclosed, there is no action, suit, proceeding, inquiry or investigation before or by any court, public
board or body pending or, to the knowledge of Company, threatened against or affecting Company before or by any governmental authority
or non-governmental department, commission, board, bureau, agency or instrumentality or any other person, wherein an unfavorable
decision, ruling or finding would have a material adverse effect on Company or which would adversely affect the validity or enforceability
of, or the authority or ability of Company to perform its obligations under, any of the Transaction Documents; (xi) Company has
not consummated any financing transaction that has not been disclosed in a periodic filing or current report with the SEC under
the 1934 Act; (xii) Company is not, nor has it been at any time in the previous twelve (12) months, a “Shell Company,”
as such type of “issuer” is described in Rule 144(i)(1) under the 1933 Act; (xiii) with respect to any commissions,
placement agent or finder’s fees or similar payments that will or would become due and owing by Company to any person or
entity as a result of this Agreement or the transactions contemplated hereby (“Broker Fees”), any such Broker
Fees will be made in full compliance with all applicable laws and regulations and only to a person or entity that is a registered
investment adviser or registered broker-dealer; (xiv) Investor shall have no obligation with respect to any Broker Fees or with
respect to any claims made by or on behalf of other persons for fees of a type contemplated in this subsection that may be due
in connection with the transactions contemplated hereby and Company shall indemnify and hold harmless each of Investor, Investor’s
employees, officers, directors, stockholders, members, managers, agents, and partners, and their respective affiliates, from and
against all claims, losses, damages, costs (including the costs of preparation and reasonable attorneys’ fees) and expenses
suffered in respect of any such claimed Broker Fees; (xv) when issued, the Conversion Shares will be duly authorized, validly issued,
fully paid for and non-assessable, free and clear of all liens, claims, charges and encumbrances; (xvi) neither Investor nor any
of its officers, directors, stockholders, members, managers, employees, agents or representatives has made any representations
or warranties to Company or any of its officers, directors, employees, agents or representatives except as expressly set forth
in the Transaction Documents and, in making its decision to enter into the transactions contemplated by the Transaction Documents,
Company is not relying on any representation, warranty, covenant or promise of Investor or its officers, directors, members, managers,
employees, agents or representatives other than as set forth in the Transaction Documents; (xvii) Company acknowledges that the
State of Utah has a reasonable relationship and sufficient contacts to the transactions contemplated by the Transaction Documents
and any dispute that may arise related thereto such that the laws and venue of the State of Utah, as set forth more specifically
in Section 9.2 below, shall be applicable to the Transaction Documents and the transactions contemplated therein; and (xviii) Company
has performed due diligence and background research on Investor and its affiliates including, without limitation, John M. Fife,
and, to its satisfaction, has made inquiries with respect to all matters Company may consider relevant to the undertakings and
relationships contemplated by the Transaction Documents including, among other things, the following: http://investing.businessweek.com/research/stocks/people/person.asp?personId=7505107&ticker=UAHC;
SEC Civil Case No. 07-C-0347 (N.D. Ill.); SEC Civil Action No. 07-CV-347 (N.D. Ill.); and FINRA Case #2011029203701. In addition,
various affiliates of Investor are involved in ongoing litigation with the SEC regarding broker-dealer registration (see
SEC Civil Case No. 1:20-cv-05227 (N.D. Ill.)). Company, being aware of the matters described in subsection (xviii) above, acknowledges
and agrees that such matters, or any similar matters, have no bearing on the transactions contemplated by the Transaction Documents
and covenants and agrees it will not use any such information as a defense to performance of its obligations under the Transaction
Documents or in any attempt to avoid, modify or reduce such obligations.

 

 

 

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4.               
Company Covenants. Until all of Company’s obligations under all of the Transaction Documents are paid and performed
in full, or within the timeframes otherwise specifically set forth below, Company will comply with the following covenants: (i)
so long as Investor beneficially owns any of the Securities and for at least twenty (20) Trading Days (as defined in the Note)
thereafter, Company will timely file on the applicable deadline (which for these purposes, will include any automatic extension
available to Company) all reports required to be filed with the SEC pursuant to Sections 13 or 15(d) of the 1934 Act, and
will take all reasonable action under its control to ensure that adequate current public information with respect to Company, as
required in accordance with Rule 144 of the 1933 Act, is publicly available, and will 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 permit such termination;
(ii) when issued, the Conversion Shares will be duly authorized, validly issued, fully paid for and non-assessable, free and clear
of all liens, claims, charges and encumbrances; (iii) the Ordinary Shares shall be listed or quoted for trading on any of (a) NYSE,
(b) NYSE American, (c) NASDAQ, (d) OTCQX, or (e) OTCQB; (iv) trading in Company’s Ordinary Shares will not be suspended,
halted, chilled, frozen, reach zero bid or otherwise cease trading on Company’s principal trading market; (v) within sixty
(60) days of the Closing Date, Company will: (x) obtain a legal opinion stating that the Nasdaq 19.99% Cap (as defined in the Note)
does not apply to Company, and (y) apply to Nasdaq for confirmation that the Nasdaq 19.99% Cap does not apply to issuances of Conversion
Shares to Investor; and (vi) Company will not enter into any equity line of credit or other financing transaction that places any
limitations or restrictions longer than sixty (60) days on Company’s ability to issue Ordinary Shares to Investor.

 

5.             Conditions to Company’s Obligation to Sell. The obligation of Company hereunder to issue and sell the Securities
to Investor at the Closing is subject to the satisfaction, on or before the Closing Date, of each of the following conditions:

 

5.1.          
Investor shall have executed this Agreement and delivered the same to Company.

 

5.2.          
Investor shall have delivered the Purchase Price to Company in accordance with Section 1.2 above.

 

6.             Conditions to Investor’s Obligation to Purchase. The obligation of Investor hereunder to purchase the Securities
at the Closing is subject to the satisfaction, on or before the Closing Date, of each of the following conditions, provided that
these conditions are for Investor’s sole benefit and may be waived by Investor at any time in its sole discretion:

 

6.1.          
Company shall have executed this Agreement and the Note and delivered the same to Investor.

 

6.2.          
Company shall have delivered to Investor a fully executed Irrevocable Letter of Instructions to Transfer Agent (the “TA
Letter”) substantially in the form attached hereto as Exhibit B acknowledged and agreed to in writing by Company’s
transfer agent (the “Transfer Agent”).

 

6.3.          
Company shall have delivered to Investor a fully executed Secretary’s Certificate substantially in the form attached
hereto as Exhibit C evidencing Company’s approval of the Transaction Documents.

 

6.4.          
Company shall have delivered to Investor a fully executed Share Issuance Resolution substantially in the form attached hereto
as Exhibit D to be delivered to the Transfer Agent.

 

6.5.          
 Company shall have delivered to Investor fully executed copies of all other Transaction Documents required to be executed
by Company herein or therein.

 

7.             Reservation
of Shares. On the date hereof, Company will reserve 1,500,000 Ordinary Shares from its authorized and unissued Ordinary Shares
to provide for all issuances of Ordinary Shares under the Note (the “Share Reserve”). Company further agrees
to add additional Ordinary Shares to the Share Reserve in increments of 100,000 shares as and when requested by Investor if as
of the date of any such request the number of shares being held in the Share Reserve is less than three (3) times the number of
Ordinary Shares obtained by dividing the Outstanding Balance (as defined in the Note) as of the date of the request by the Redemption
Conversion Price (as defined in the Note). Company shall further require the Transfer Agent to hold the Ordinary Shares reserved
pursuant to the Share Reserve exclusively for the benefit of Investor and to issue such shares to Investor promptly upon Investor’s
delivery of a conversion notice under the Note. Finally, Company shall require the Transfer Agent to issue Ordinary Shares pursuant
to the Note to Investor out of its authorized and unissued shares, and not the Share Reserve, to the extent Ordinary Shares have
been authorized, but not issued, and are not included in the Share Reserve. The Transfer Agent shall only issue shares out of
the Share Reserve to the extent there are no other authorized shares available for issuance and then only with Investor’s
written consent.

 

 

 

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8.             OFAC; Patriot Act.

 

8.1.          
OFAC Certification. Company certifies that (i) it is not acting on behalf of any person, group, entity, or nation
named by any Executive Order or the United States Treasury Department, through its Office of Foreign Assets Control (“OFAC”)
or otherwise, as a terrorist, “Specially Designated Nation”, “Blocked Person”, or other banned or blocked
person, entity, nation, or transaction pursuant to any law, order, rule or regulation that is enforced or administered by OFAC
or another department of the United States government, and (ii) Company is not engaged in this transaction on behalf of, or instigating
or facilitating this transaction on behalf of, any such person, group, entity or nation.

 

8.2.          
Foreign Corrupt Practices. Neither Company, nor any of its subsidiaries, nor any director, officer, agent, employee
or other person acting on behalf of Company or any subsidiary has, in the course of his actions for, or on behalf of, Company,
used any corporate funds for any unlawful contribution, gift, entertainment or other unlawful expenses relating to political activity;
made any direct or indirect unlawful payment to any foreign or domestic government official or employee from corporate funds; violated
or is in violation of any provision of the U.S. Foreign Corrupt Practices Act of 1977, as amended, or made any bribe, rebate, payoff,
influence payment, kickback or other unlawful payment to any foreign or domestic government official or employee.

 

8.3.          
Patriot Act. Company shall not (i) be or become subject at any time to any law, regulation, or list of any government
agency (including, without limitation, the OFAC) that prohibits or limits Investor from making any advance or extension of credit
to Company or from otherwise conducting business with Company, or (ii) fail to provide documentary and other evidence of Company’s
identity as may be requested by Investor at any time to enable Investor to verify Company’s identity or to comply with any
applicable law or regulation, including, without limitation, Section 326 of the USA Patriot Act of 2001, 31 U.S.C. Section 5318.
Company shall comply with all requirements of law relating to money laundering, anti-terrorism, trade embargos and economic sanctions,
now or hereafter in effect. Upon Investor’s request from time to time, Company shall certify in writing to Investor that
Company’s representations, warranties and obligations under this Section 8.3 remain true and correct and have not been breached.
Company shall immediately notify Investor in writing if any of such representations, warranties or covenants are no longer true
or have been breached or if Company has a reasonable basis to believe that they may no longer be true or have been breached. In
connection with such an event, Company shall comply with all requirements of law and directives of governmental authorities and,
at Investor’s request, provide to Investor copies of all notices, reports and other communications exchanged with, or received
from, governmental authorities relating to such an event. Company shall also reimburse Investor any expense incurred by Investor
in evaluating the effect of such an event on the loan secured hereby, in obtaining any necessary license from governmental authorities
as may be necessary for Investor to enforce its rights under the Transaction Documents, and in complying with all requirements
of law applicable to Investor as the result of the existence of such an event and for any penalties or fines imposed upon Investor
as a result thereof.

 

9.             Miscellaneous. The provisions set forth in this Section 9 shall apply to this Agreement, as well as all other Transaction
Documents as if these terms were fully set forth therein; provided, however, that in the event there is a conflict between any
provision set forth in this Section 9 and any provision in any other Transaction Document, the provision in such other Transaction
Document shall govern.

 

9.1.          
Arbitration of Claims. The parties shall submit all Claims (as defined in Exhibit E) arising under this Agreement
or any other Transaction Document or any other agreement between the parties and their affiliates or any Claim relating to the
relationship of the parties to binding arbitration pursuant to the arbitration provisions set forth in Exhibit E attached
hereto (the “Arbitration Provisions”). For the avoidance of doubt, the parties agree that the injunction described
in Section 9.3 below may be pursued in an arbitration that is separate and apart from any other arbitration regarding all other
Claims arising under the Transaction Documents. The parties hereby acknowledge and agree that the Arbitration Provisions are unconditionally
binding on the parties hereto and are severable from all other provisions of this Agreement. By executing this Agreement, Company
represents, warrants and covenants that Company has reviewed the Arbitration Provisions carefully, consulted with legal counsel
about such provisions (or waived its right to do so), understands that the Arbitration Provisions are intended to allow for the
expeditious and efficient resolution of any dispute hereunder, agrees to the terms and limitations set forth in the Arbitration
Provisions, and that Company will not take a position contrary to the foregoing representations. Company acknowledges and agrees
that Investor may rely upon the foregoing representations and covenants of Company regarding the Arbitration Provisions.

 

 

 

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9.2.          
Governing Law; Venue. This Agreement shall be construed and enforced in accordance with, and all questions concerning
the construction, validity, interpretation and performance of this Agreement shall be governed by, the internal laws of the State
of Utah, without giving effect to any choice of law or conflict of law provision or rule (whether of the State of Utah or any other
jurisdiction) that would cause the application of the laws of any jurisdiction other than the State of Utah. Each party consents
to and expressly agrees that the exclusive venue for arbitration of any dispute arising out of or relating to any Transaction Document
or the relationship of the parties or their affiliates shall be in Salt Lake County, Utah. Without modifying the parties’
obligations to resolve disputes hereunder pursuant to the Arbitration Provisions, for any litigation arising in connection with
any of the Transaction Documents (and notwithstanding the terms (specifically including any governing law and venue terms) of any
transfer agent services agreement or other agreement between the Transfer Agent and Company, such litigation specifically includes,
without limitation any action between or involving Company and the Transfer Agent under the TA Letter or otherwise related to Investor
in any way (specifically including, without limitation, any action where Company seeks to obtain an injunction, temporary restraining
order, or otherwise prohibit the Transfer Agent from issuing Ordinary Shares to Investor for any reason)), each party hereto hereby
(i) consents to and expressly submits to the exclusive personal jurisdiction of any state or federal court sitting in Salt Lake
County, Utah, (ii) expressly submits to the exclusive venue of any such court for the purposes hereof, (iii) agrees to not bring
any such action (specifically including, without limitation, any action where Company seeks to obtain an injunction, temporary
restraining order, or otherwise prohibit the Transfer Agent from issuing Ordinary Shares to Investor for any reason) outside of
any state or federal court sitting in Salt Lake County, Utah, and (iv) waives any claim of improper venue and any claim or objection
that such courts are an inconvenient forum or any other claim, defense or objection to the bringing of any such proceeding in such
jurisdiction or to any claim that such venue of the suit, action or proceeding is improper. Finally, Company covenants and agrees
to name Investor as a party in interest in, and provide written notice to Investor in accordance with Section 9.9 below prior to
bringing or filing, any action (including without limitation any filing or action against any person or entity that is not a party
to this Agreement, including without limitation the Transfer Agent) that is related in any way to the Transaction Documents or
any transaction contemplated herein or therein, including without limitation any action brought by Company to enjoin or prevent
the issuance of any Ordinary Shares to Investor by the Transfer Agent, and further agrees to timely name Investor as a party to
any such action. Company acknowledges that the governing law and venue provisions set forth in this Section 9.2 are material terms
to induce Investor to enter into the Transaction Documents and that but for Company’s agreements set forth in this Section
9.2 Investor would not have entered into the Transaction Documents.

 

9.3.          
Specific Performance. Company acknowledges and agrees that Investor may suffer irreparable harm in the event that
Company fails to perform any material provision of this Agreement or any of the other Transaction Documents in accordance with
its specific terms. It is accordingly agreed that Investor shall be entitled to one or more injunctions to prevent or cure breaches
of the provisions of this Agreement or such other Transaction Document and to enforce specifically the terms and provisions hereof
or thereof, this being in addition to any other remedy to which the Investor may be entitled under the Transaction Documents, at
law or in equity. Company specifically agrees that following an Event of Default (as defined in the Note) under the Note, Investor
shall have the right to seek and receive injunctive relief from a court or an arbitrator prohibiting Company from issuing any of
its Ordinary Shares or other equity to any party unless the Note is being paid in full simultaneously with such issuance. Company
specifically acknowledges that Investor’s right to obtain specific performance constitutes bargained for leverage and that
the loss of such leverage would result in irreparable harm to Investor. For the avoidance of doubt, in the event Investor seeks
to obtain an injunction from a court or an arbitrator against Company or specific performance of any provision of any Transaction
Document, such action shall not be a waiver of any right of Investor under any Transaction Document, at law, or in equity, including
without limitation its rights to arbitrate any Claim pursuant to the terms of the Transaction Documents, nor shall Investor’s
pursuit of an injunction prevent Investor, under the doctrines of claim preclusion, issues preclusion, res judicata or other similar
legal doctrines, from pursuing other Claims in the future in a separate arbitration.

 

9.4.          
Counterparts. Each Transaction Document may be executed in any number of counterparts, each of which shall be deemed
an original, but all of which together shall constitute one instrument. The parties hereto confirm that any electronic copy of
another party’s executed counterpart of a Transaction Document (or such party’s signature page thereof) will be deemed
to be an executed original thereof.

 

9.5.          
Headings. The headings of this Agreement are for convenience of reference only and shall not form part of, or affect
the interpretation of, this Agreement.

 

9.6.          
Severability. In the event that any provision of this Agreement is invalid or unenforceable under any applicable
statute or rule of law, then such provision shall be deemed inoperative to the extent that it may conflict therewith and shall
be deemed modified to conform to such statute or rule of law. Any provision hereof which may prove invalid or unenforceable under
any law shall not affect the validity or enforceability of any other provision hereof.

 

 

 

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9.7.          
Entire Agreement. This Agreement, together with the other Transaction Documents, contains 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 Company nor Investor makes any representation, warranty, covenant or undertaking with respect to such matters. For the
avoidance of doubt, all prior term sheets or other documents between Company and Investor, or any affiliate thereof, related to
the transactions contemplated by the Transaction Documents (collectively, “Prior Agreements”), that may have
been entered into between Company and Investor, or any affiliate thereof, are hereby null and void and deemed to be replaced in
their entirety by the Transaction Documents. To the extent there is a conflict between any term set forth in any Prior Agreement
and the term(s) of the Transaction Documents, the Transaction Documents shall govern.

 

9.8.          
Amendments. No provision of this Agreement may be waived or amended other than by an instrument in writing signed
by both parties hereto.

 

9.9.          
Notices. Any notice required or permitted hereunder shall be given in writing (unless otherwise specified herein)
and shall be deemed effectively given on the earliest of: (i) the date delivered, if delivered by personal delivery as against
written receipt therefor or by email to an executive officer named below or such officer’s successor, or by facsimile (with
successful transmission confirmation which is kept by sending party), (ii) the earlier of the date delivered or the third Trading
Day after deposit, postage prepaid, in the United States Postal Service by certified mail, or (iii) the earlier of the date delivered
or the third Trading Day after mailing by express courier, with delivery costs and fees prepaid, in each case, addressed to each
of the other parties thereunto entitled at the following addresses (or at such other addresses as such party may designate by five
(5) calendar days’ advance written notice similarly given to each of the other parties hereto):

 

If to Company:

 

SPI Energy Co., Ltd.

Attn: Xiaofeng Peng

#1128, 11/F, No. 52
Hung To Road

Kwun Tong, Kowloon

Hong Kong SAR, China

 

 

If to Investor:

 

Streeterville Capital, LLC

Attn: John Fife

303 East Wacker Drive, Suite 1040

Chicago, Illinois 60601

 

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

 

Hansen Black Anderson Ashcraft PLLC

Attn: Jonathan Hansen

3051 West Maple Loop Drive, Suite 325

Lehi, Utah 84043

 

9.10.       
Successors and Assigns. This Agreement or any of the severable rights and obligations inuring to the benefit of or
to be performed by Investor hereunder may be assigned by Investor to a third party, including its affiliates, in whole or in part,
without the need to obtain Company’s consent thereto. Company may not assign its rights or obligations under this Agreement
or delegate its duties hereunder without the prior written consent of Investor.

 

9.11.       
Survival. The representations and warranties of Company and the agreements and covenants set forth in this Agreement
shall survive the Closing hereunder notwithstanding any due diligence investigation conducted by or on behalf of Investor. Company
agrees to indemnify and hold harmless Investor and all its officers, directors, employees, attorneys, and agents for loss or damage
arising as a result of or related to any breach or alleged breach by Company of any of its representations, warranties and covenants
set forth in this Agreement or any of its covenants and obligations under this Agreement, including advancement of reasonable expenses
as they are incurred, except as a result of fraud, gross negligence or willful misconduct by Investor.

 

 

 

    	 	6	 

     

    

 

9.12.       
Further Assurances. Each party shall do and perform, or cause to be done and performed, all such further acts and
things, and shall execute and deliver all such other agreements, certificates, instruments and documents, as the other party may
reasonably request in order to carry out the intent and accomplish the purposes of this Agreement and the consummation of the transactions
contemplated hereby.

 

9.13.       
Investor’s Rights and Remedies Cumulative. All rights, remedies, and powers conferred in this Agreement and
the Transaction Documents are cumulative and not exclusive of any other rights or remedies, and shall be in addition to every other
right, power, and remedy that Investor may have, whether specifically granted in this Agreement or any other Transaction Document,
or existing at law, in equity, or by statute, and any and all such rights and remedies may be exercised from time to time and as
often and in such order as Investor may deem expedient.

 

9.14.       
Attorneys’ Fees and Cost of Collection. In the event any suit, action or arbitration is filed by either party
against the other to interpret or enforce any of the Transaction Documents, the unsuccessful party to such action agrees to pay
to the prevailing party all costs and expenses, including attorneys’ fees incurred therein, including the same with respect
to an appeal. The “prevailing party” shall be the party in whose favor a judgment is entered, regardless of whether
judgment is entered on all claims asserted by such party and regardless of the amount of the judgment; or where, due to the assertion
of counterclaims, judgments are entered in favor of and against both parties, then the arbitrator shall determine the “prevailing
party” by taking into account the relative dollar amounts of the judgments or, if the judgments involve nonmonetary relief,
the relative importance and value of such relief. Nothing herein shall restrict or impair an arbitrator’s or a court’s
power to award fees and expenses for frivolous or bad faith pleading. If (i) the Note is placed in the hands of an attorney
for collection or enforcement prior to commencing arbitration or legal proceedings, or is collected or enforced through any arbitration
or legal proceeding, or Investor otherwise takes action to collect amounts due under the Note or to enforce the provisions of the
Note, or (ii) there occurs any bankruptcy, reorganization, receivership of Company or other proceedings affecting Company’s
creditors’ rights and involving a claim under the Note; then Company shall pay the costs incurred by Investor for such collection,
enforcement or action or in connection with such bankruptcy, reorganization, receivership or other proceeding, including, without
limitation, attorneys’ fees, expenses, deposition costs, and disbursements.

 

9.15.       
Waiver. No waiver of any provision of this Agreement shall be effective unless it is in the form of a writing signed
by the party granting the waiver. No waiver of any provision or consent to any prohibited action shall constitute a waiver of any
other provision or consent to any other prohibited action, whether or not similar. No waiver or consent shall constitute a continuing
waiver or consent or commit a party to provide a waiver or consent in the future except to the extent specifically set forth in
writing.

 

9.16.       
Waiver of Jury Trial. EACH PARTY TO THIS AGREEMENT IRREVOCABLY WAIVES ANY AND ALL RIGHTS
SUCH PARTY MAY HAVE TO DEMAND THAT ANY ACTION, PROCEEDING OR COUNTERCLAIM ARISING OUT OF OR IN ANY WAY RELATED TO THIS AGREEMENT,
ANY OTHER TRANSACTION DOCUMENT, OR THE RELATIONSHIPS OF THE PARTIES HERETO BE TRIED BY JURY. THIS WAIVER EXTENDS TO ANY AND ALL
RIGHTS TO DEMAND A TRIAL BY JURY ARISING UNDER COMMON LAW OR ANY APPLICABLE STATUTE, LAW, RULE OR REGULATION. FURTHER, EACH PARTY
HERETO ACKNOWLEDGES THAT SUCH PARTY IS KNOWINGLY AND VOLUNTARILY WAIVING SUCH PARTY’S RIGHT TO DEMAND TRIAL BY JURY.

 

9.17.       
Time is of the Essence. Time is expressly made of the essence with respect to each and every provision of this Agreement
and the other Transaction Documents.

 

9.18.       
Voluntary Agreement. Company has carefully read this Agreement and each of the other Transaction Documents and has
asked any questions needed for Company to understand the terms, consequences and binding effect of this Agreement and each of the
other Transaction Documents and fully understand them. Company has had the opportunity to seek the advice of an attorney of Company’s
choosing, or has waived the right to do so, and is executing this Agreement and each of the other Transaction Documents voluntarily
and without any duress or undue influence by Investor or anyone else.

 

[Remainder of page intentionally left
blank; signature page follows]

 

 

 

    	 	7	 

     

    

 

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

 

SUBSCRIPTION AMOUNT:

 

 

	Principal Amount of Note:	$2,110,000.00
	 	 
	Purchase Price:	$2,000,000.00

 

 

 

	 	INVESTOR:
	 	 
	 	Streeterville Capital, LLC
	 	 
	 	 
	 	 
	 	By: ___________________________
	 	       John M. Fife, President 
	 	 
	 	 
	 	 
	 	COMPANY:
	 	 
	 	SPI Energy Co., Ltd.
	 	 
	 	 
	 	By:_______________________
	 	Printed Name:_______________
	 	Title: _____________________

 

 

 

[Signature Page to Securities Purchase Agreement]

 

    	 	8	 

     

    

 

ATTACHED EXHIBITS:

 

		Exhibit	A               
Note

 

		Exhibit	B                
Irrevocable Transfer Agent Instructions

 

		Exhibit	C                
Secretary’s Certificate

 

		Exhibit	D               
Share Issuance Resolution

 

		Exhibit	E                
Arbitration Provisions

 

 

 

 

 

    	 	9	 

     

    

 

EXHIBIT A

  

CONVERTIBLE PROMISSORY NOTE

 

	Effective Date: November 3, 2020	U.S. $2,110,000.00

 

 

FOR VALUE RECEIVED,
SPI Energy Co., Ltd., a Cayman Islands corporation (“Borrower”),
promises to pay to Streeterville Capital, LLC, a Utah limited liability company,
or its successors or assigns (“Lender”), $2,110,000.00 and any interest, fees, charges, and late fees accrued
hereunder on the date that is twelve (12) months after the Purchase Price Date (the “Maturity Date”) in accordance
with the terms set forth herein and to pay interest on the Outstanding Balance at the rate of ten percent (10%) per annum from
the Purchase Price Date until the same is paid in full. All interest calculations hereunder shall be computed on the basis of a
360-day year comprised of twelve (12) thirty (30) day months, shall compound daily and shall be payable in accordance
with the terms of this Note. This Convertible Promissory Note (this “Note”) is issued and made effective as
of November 3, 2020 (the “Effective Date”). This Note is issued pursuant to that certain Securities Purchase
Agreement dated November 3, 2020, as the same may be amended from time to time, by and between Borrower and Lender (the “Purchase
Agreement”). Certain capitalized terms used herein are defined in Attachment 1 attached hereto and incorporated
herein by this reference.

 

This Note carries an
OID of $100,000.00. In addition, Borrower agrees to pay $10,000.00 to Lender to cover Lender’s legal fees, accounting costs,
due diligence, monitoring and other transaction costs incurred in connection with the purchase and sale of this Note (the “Transaction
Expense Amount”), all of which amount is fully earned and included in the initial principal balance of this Note. The
purchase price for this Note shall be $2,000,000.00 (the “Purchase Price”), computed as follows: $2,110,000.00
original principal balance, less the OID, less the Transaction Expense Amount. The Purchase Price shall be payable by Lender by
wire transfer of immediately available funds.

 

1.             Payment;
Prepayment.

 

1.1.          
Payment. All payments owing hereunder shall be in lawful money of the United States of America or Conversion Shares
(as defined below), as provided for herein, and delivered to Lender at the address or bank account furnished to Borrower for that
purpose. All payments shall be applied first to (a) costs of collection, if any, then to (b) fees and charges, if any, then to
(c) accrued and unpaid interest, and thereafter, to (d) principal.

 

1.2.          
Prepayment. Notwithstanding the foregoing, Borrower shall have the right to prepay all or any portion of the Outstanding
Balance (less such portion of the Outstanding Balance for which Borrower has received a Lender Conversion Notice (as defined below)
or a Redemption Notice (as defined below) from Lender where the applicable Conversion Shares have not yet been delivered). If Borrower
exercises its right to prepay this Note, Borrower shall make payment to Lender of an amount in cash equal to 115% multiplied by
the portion of the Outstanding Balance Borrower elects to repay.

 

2.             Security. This Note is unsecured.

 

3.             Lender
Optional Conversion.

 

3.1.          
Lender Conversions. Lender has the right at any time after the Purchase Price Date until the Outstanding Balance
has been paid in full, at its election, to convert (“Lender Conversion”) all or any portion of the Outstanding
Balance into shares (each instance of conversion is referred to herein as a “Lender Conversion Shares”) of fully
paid and non-assessable Ordinary Shares, $0.0001 par value per share (“Ordinary Shares”), of Borrower as per
the following conversion formula: the number of Lender Conversion Shares equals the amount being converted (the “Conversion
Amount”) divided by the Lender Conversion Price (as defined below). Conversion notices in the form attached hereto as
Exhibit A (each, a “Lender Conversion Notice”) may be effectively delivered to Borrower by any method
set forth in the “Notices” Section of the Purchase Agreement, and all Lender Conversions shall be cashless and not
require further payment from Lender. Borrower shall deliver the Lender Conversion Shares from any Lender Conversion to Lender in
accordance with Section 9 below.

 

 

 

    	 	A-1	 

     

    

 

3.2.          
Lender Conversion Price. Subject to adjustment as set forth in this Note, the price at which Lender has the right
to convert all or any portion of the Outstanding Balance into Ordinary Shares is $26.00 per share (the “Lender Conversion
Price”).

 

4.             Defaults and Remedies.

 

4.1.          
Defaults. The following are events of default under this Note (each, an “Event of Default”): (a)
Borrower fails to pay any principal, interest, fees, charges, or any other amount when due and payable hereunder; (b) Borrower
fails to deliver any Lender Conversion Shares in accordance with the terms hereof; (c) Borrower fails to deliver any Redemption
Conversion Shares (as defined below) in accordance with the terms hereof; (d) a receiver, trustee or other similar official shall
be appointed over Borrower or a material part of its assets and such appointment shall remain uncontested for twenty (20) days
or shall not be dismissed or discharged within sixty (60) days; (e) Borrower becomes insolvent or generally fails to pay, or admits
in writing its inability to pay, its debts as they become due, subject to applicable grace periods, if any; (f) Borrower makes
a general assignment for the benefit of creditors; (g) Borrower files a petition for relief under any bankruptcy, insolvency or
similar law (domestic or foreign); (h) an involuntary bankruptcy proceeding is commenced or filed against Borrower; (i) Borrower
or any pledgor, trustor, or guarantor of this Note defaults or otherwise fails to materially observe or materially perform any
covenant, obligation, condition or agreement of Borrower or such pledgor, trustor, or guarantor contained herein or in any other
Transaction Document (as defined in the Purchase Agreement), other than those specifically set forth in this Section 4.1 and Section
4 of the Purchase Agreement; (j) any representation, warranty or other statement made or furnished by or on behalf of Borrower
or any pledgor, trustor, or guarantor of this Note to Lender herein, in any Transaction Document, or otherwise in connection with
the issuance of this Note is false, incorrect, incomplete or misleading in any material respect when made or furnished; (k) the
occurrence of a Fundamental Transaction without Lender’s prior written consent; (l) Borrower fails to maintain the Share
Reserve (as defined in the Purchase Agreement); (m) Borrower effectuates a reverse split of its Ordinary Shares without twenty
(20) Trading Days prior written notice to Lender; (n) any money judgment, writ or similar process is entered or filed against Borrower
or any subsidiary of Borrower or any of its property or other assets for more than $100,000.00, and shall remain unvacated, unbonded
or unstayed for a period of twenty (20) calendar days unless otherwise consented to by Lender; (o) Borrower fails to be DWAC Eligible;
(p) Borrower fails to observe or perform in any material respect any covenant set forth in Section 4 of the Purchase Agreement
and such failure is not cured by the Borrower within ten (10) days of notice thereof; or (q) Borrower, any affiliate of Borrower,
or any pledgor, trustor, or guarantor of this Note breaches any covenant or other term or condition contained in any Other Agreements
and such breach is not cured by the Borrower within ten (10) days of notice thereof.

 

4.2.          
Remedies. At any time and from time to time after Lender becomes aware of the occurrence of any Event of Default
(taking into account any cure periods), Lender may accelerate this Note by written notice to Borrower, with the Outstanding Balance
becoming immediately due and payable in cash at the Mandatory Default Amount. Notwithstanding the foregoing, at any time following
the occurrence of any Event of Default, Lender may, at its option, elect to increase the Outstanding Balance by applying the Default
Effect (subject to the limitation set forth below) via written notice to Borrower without accelerating the Outstanding Balance,
in which event the Outstanding Balance shall be increased as of the date of the occurrence of the applicable Event of Default pursuant
to the Default Effect, but the Outstanding Balance shall not be immediately due and payable unless so declared by Lender (for the
avoidance of doubt, if Lender elects to apply the Default Effect pursuant to this sentence, it shall reserve the right to declare
the Outstanding Balance immediately due and payable at any time and no such election by Lender shall be deemed to be a waiver of
its right to declare the Outstanding Balance immediately due and payable as set forth herein unless otherwise agreed to by Lender
in writing). Notwithstanding the foregoing, upon the occurrence of any Event of Default described in clauses (d), (e), (f), (g)
or (h) of Section 4.1, the Outstanding Balance as of the date of acceleration shall become immediately and automatically due and
payable in cash at the Mandatory Default Amount, without any written notice required by Lender. At any time following the occurrence
of any Event of Default, upon written notice given by Lender to Borrower, interest shall accrue on the Outstanding Balance beginning
on the date the applicable Event of Default occurred at an interest rate equal to the lesser of fifteen percent (15%) per annum
or the maximum rate permitted under applicable law (“Default Interest”). For the avoidance of doubt, Lender
may continue making Lender Conversions and Redemption Conversions (as defined below) at any time following an Event of Default
until such time as the Outstanding Balance is paid in full. In connection with acceleration described herein, Lender need not provide,
and Borrower hereby waives, any presentment, demand, protest or other notice of any kind, and Lender may immediately and without
expiration of any grace period enforce any and all of its rights and remedies hereunder and all other remedies available to it
under applicable law. Such acceleration may be rescinded and annulled by Lender at any time prior to payment hereunder and Lender
shall have all rights as a holder of the Note until such time, if any, as Lender receives full payment pursuant to this Section
4.2. No such rescission or annulment shall affect any subsequent Event of Default or impair any right consequent thereon. Nothing
herein shall limit Lender’s right to pursue any other remedies available to it at law or in equity including, without limitation,
a decree of specific performance and/or injunctive relief with respect to Borrower’s failure to timely deliver Conversion
Shares upon Conversion of the Note as required pursuant to the terms hereof.

 

 

 

    	 	A-2	 

     

    

 

5.             Unconditional
Obligation; No Offset. Borrower acknowledges that this Note is an unconditional, valid, binding and enforceable obligation
of Borrower not subject to offset, deduction or counterclaim of any kind. Borrower hereby waives any rights of offset it now has
or may have hereafter against Lender, its successors and assigns, and agrees to make the payments or Conversions called for herein
in accordance with the terms of this Note.

 

6.             Waiver.
No waiver of any provision of this Note shall be effective unless it is in the form of a writing signed by the party granting
the waiver. No waiver of any provision or consent to any prohibited action shall constitute a waiver of any other provision or
consent to any other prohibited action, whether or not similar. No waiver or consent shall constitute a continuing waiver or consent
or commit a party to provide a waiver or consent in the future except to the extent specifically set forth in writing.

 

7.             Rights
Upon Issuance of Securities.

 

7.1.          
 [INTENTIONALLY OMITTED]

 

7.2.          
Adjustment of Lender Conversion Price upon Subdivision or Combination of Ordinary Shares. Without limiting any provision
hereof, if Borrower at any time on or after the Effective Date subdivides (by any stock split, stock dividend, recapitalization
or otherwise) one or more classes of its outstanding Ordinary Shares into a greater number of shares, the Lender Conversion Price
in effect immediately prior to such subdivision will be proportionately reduced. Without limiting any provision hereof, if Borrower
at any time on or after the Effective Date combines (by combination, reverse stock split or otherwise) one or more classes of its
outstanding Ordinary Shares into a smaller number of shares, the Lender Conversion Price in effect immediately prior to such combination
will be proportionately increased. Any adjustment pursuant to this Section 7.2 shall become effective immediately after the effective
date of such subdivision or combination. If any event requiring an adjustment under this Section 7.2 occurs during the period that
a Redemption Conversion Price is calculated hereunder, then the calculation of such Redemption Conversion Price shall be adjusted
appropriately to reflect such event.

 

7.3.          
Other Events. In the event that Borrower (or any subsidiary) shall take any action to which the provisions hereof
are not strictly applicable, or, if applicable, would not operate to protect Lender from dilution or if any event occurs of the
type contemplated by the provisions of this Section 7 but not expressly provided for by such provisions (including, without
limitation, the granting of stock appreciation rights, phantom stock rights or other rights with equity features), then Borrower’s
board of directors shall in good faith determine and implement an appropriate adjustment in the Lender Conversion Price so as to
protect the rights of Lender, provided that no such adjustment pursuant to this Section 7.3 will increase the Lender Conversion
Price as otherwise determined pursuant to this Section 7, provided further that if Lender does not accept such adjustments
as appropriately protecting its interests hereunder against such dilution, then Borrower’s board of directors and Lender
shall agree, in good faith, upon an independent investment bank of nationally recognized standing to make such appropriate adjustments,
whose determination shall be final and binding and whose fees and expenses shall be borne by Borrower.

 

8.             Borrower Redemptions.

 

8.1.          
Redemption Conversion Price. Subject to the adjustments set forth herein, the conversion price for each Redemption
Conversion (the “Redemption Conversion Price”) shall be the lesser of (a) the Lender Conversion Price, and (b)
the Market Price.

 

8.2.          
Redemption Conversions. Beginning on the date that is six (6) months from the Purchase Price Date, Lender shall have
the right, exercisable at any time in its sole and absolute discretion, to redeem (each, a “Redemption”) any
portion of the Note up to $350,000.00 per calendar month (such amount, the “Redemption Amount”) by providing
Borrower with a notice substantially in the form attached hereto as Exhibit B (each, a “Redemption Notice”,
and each date on which Lender delivers a Redemption Notice, a “Redemption Date”). For the avoidance of doubt,
Lender may submit to Borrower one (1) or more Redemption Notices in any given calendar month so long as the aggregate amount redeemed
in such calendar month does not exceed $350,000.00. At the election of the Borrower, payments of each Redemption Amount may be
made (a) in cash, or (b) by converting such Redemption Amount into Ordinary Shares (“Redemption Conversion Shares”,
and together with the Lender Conversion Shares, the “Conversion Shares”) in accordance with this Section 8.2
(each, a “Redemption Conversion”) per the following formula: the number of Redemption Conversion Shares equals
the portion of the applicable Redemption Amount being converted divided by the Redemption Conversion Price, or (c) by any combination
of the foregoing, so long as the cash is delivered to Lender on the third (3rd) Trading Day immediately following the
applicable Redemption Date and the Redemption Conversion Shares are delivered to Lender on or before the applicable Delivery Date
(as defined below). Notwithstanding the foregoing, Borrower will not be entitled to elect a Redemption Conversion with respect
to any portion of any applicable Redemption Amount and shall be required to pay the Redemption Amount in cash, if on the applicable
Redemption Date there is an Equity Conditions Failure, and such failure is not waived in writing by Lender. Notwithstanding that
failure to repay this Note in full by the Maturity Date is an Event of Default, the Redemption Dates shall continue after the Maturity
Date pursuant to this Section 8.2 until the Outstanding Balance is repaid in full. Once Borrower has redeemed an amount equal
to half of the original principal amount of this Note in cash, any subsequent Redemptions it makes in cash will be subject to a
twenty-five percent (25%) premium.

 

 

 

    	 	A-3	 

     

    

 

8.3.          
Allocation of Redemption Amounts. Following its receipt of a Redemption Notice, Borrower may either ratify Lender’s
proposed allocation in the applicable Redemption Notice or elect to change the allocation by written notice to Lender by email
or fax within seventy-two (72) hours of its receipt of such Redemption Notice, so long as the sum of the cash payments and the
amount of Redemption Conversions equal the applicable Redemption Amount. If Borrower fails to notify Lender of its election to
change the allocation prior to the deadline set forth in the previous sentence, it shall be deemed to have ratified and accepted
the allocation set forth in the applicable Redemption Notice prepared by Lender. Borrower acknowledges and agrees that the amounts
and calculations set forth thereon are subject to correction or adjustment because of error, mistake, or any adjustment resulting
from an Event of Default or other adjustment permitted under the Transaction Documents (an “Adjustment”). Furthermore,
no error or mistake in the preparation of such notices, or failure to apply any Adjustment that could have been applied prior to
the preparation of a Redemption Notice may be deemed a waiver of Lender’s right to enforce the terms of any Note, even if
such error, mistake, or failure to include an Adjustment arises from Lender’s own calculation. Borrower shall deliver the
Redemption Conversion Shares from any Redemption Conversion to Lender in accordance with Section 9 below on or before each applicable
Delivery Date.

 

9.             Method
of Conversion Share Delivery. On or before the close of business on the fifth (5th) Trading Day following each
Redemption Date or the fifth (5th) Trading Day following the date of delivery of a Lender Conversion Notice, as applicable
(the “Delivery Date”), Borrower shall, provided it is DWAC Eligible at such time and such Conversion Shares
are eligible for delivery via DWAC, deliver or cause its transfer agent to deliver the applicable Conversion Shares electronically
via DWAC to the account designated by Lender in the applicable Lender Conversion Notice or Redemption Notice. If Borrower is not
DWAC Eligible or such Conversion Shares are not eligible for delivery via DWAC, it shall deliver to Lender or its broker (as designated
in the Lender Conversion Notice or Redemption Notice), via reputable overnight courier, a certificate representing the number
of Ordinary Shares equal to the number of Conversion Shares to which Lender shall be entitled, registered in the name of Lender
or its designee. For the avoidance of doubt, Borrower has not met its obligation to deliver Conversion Shares by the Delivery
Date unless Lender or its broker, as applicable, has actually received the certificate representing the applicable Conversion
Shares no later than the close of business on the relevant Delivery Date pursuant to the terms set forth above. Moreover, and
notwithstanding anything to the contrary herein or in any other Transaction Document, in the event Borrower or its transfer agent
refuses to deliver any Conversion Shares without a restrictive securities legend to Lender on grounds that such issuance is in
violation of Rule 144 under the Securities Act of 1933, as amended (“Rule 144”), Borrower shall deliver or
cause its transfer agent to deliver the applicable Conversion Shares to Lender with a restricted securities legend, but otherwise
in accordance with the provisions of this Section 9. In conjunction therewith, Borrower will also deliver to Lender a written
explanation from its counsel or its transfer agent’s counsel opining as to why the issuance of the applicable Conversion
Shares violates Rule 144.

 

10.          Conversion
Delays. If Borrower fails to deliver Conversion Shares in accordance with the timeframe stated in Section 9, Lender may at
any time prior to receiving the applicable Conversion Shares rescind in whole or in part such Conversion, with a corresponding
increase to the Outstanding Balance (any returned amount will tack back to the Purchase Price Date for purposes of determining
the holding period under Rule 144). In addition, for each Lender Conversion, in the event that Lender Conversion Shares are not
delivered by the fifth (5th) Trading Day (inclusive of the day of the Conversion), a late fee equal to 2% of the applicable
Conversion Share Value rounded to the nearest multiple of $100.00 but with a floor of $500.00 per day (but in any event the cumulative
amount of such late fees for each Conversion shall not exceed 200% of the applicable Conversion Share Value) will be assessed
for each day after the fifth (5th) Trading Day (inclusive of the day of the Conversion) until Lender Conversion Share
delivery is made; and such late fee will be added to the Outstanding Balance (such fees, the “Conversion Delay Late Fees”).

 

11.          Restriction on Equity Sales. If at any time after the date that is six (6) months from the Purchase Price Date, Borrower
is unable to issue Ordinary Shares to Lender as result of any lock-up or other agreement or restriction prohibiting the issuance
of Ordinary Shares for a certain period of time, then the Outstanding Balance will automatically be increased by three percent
(3%) for each thirty (30) day period that Borrower is prohibited from issuing Ordinary Shares (which increase shall be pro-rated
for any partial period). For the avoidance of doubt, such increase to the Outstanding Balance shall be in addition to all other
rights and remedies available to Lender under this Note and the other Transaction Documents and shall not be in lieu of, nor deemed
to be a waiver of any other rights or remedies available to Lender under this Note or any of the other Transaction Documents, including
without limitation calling an Event of Default if Borrower fails to deliver Conversion Shares in accordance with the terms of this
Note.

 

 

 

    	 	A-4	 

     

    

 

12.          Ownership Limitation. Notwithstanding anything to the contrary contained in this Note or the other Transaction Documents,
Borrower shall not effect any conversion of this Note to the extent that after giving effect to such conversion would cause Lender
(together with its affiliates) to beneficially own a number of shares exceeding 4.99% of the number of Ordinary Shares outstanding
on such date (including for such purpose the Ordinary Shares issuable upon such issuance) (the “Maximum Percentage”).
For purposes of this section, beneficial ownership of Ordinary Shares will be determined pursuant to Section 13(d) of the 1934
Act. Notwithstanding the forgoing, the term “4.99%” above shall be replaced with “9.99%” at such time as
the Market Capitalization is less than $10,000,000.00. Notwithstanding any other provision contained herein, if the term “4.99%”
is replaced with “9.99%” pursuant to the preceding sentence, such increase to “9.99%” shall remain at 9.99%
until increased, decreased or waived by Lender as set forth below. By written notice to Borrower, Lender may increase, decrease
or waive the Maximum Percentage as to itself but any such waiver will not be effective until the 61st day after delivery thereof.
The foregoing 61-day notice requirement is enforceable, unconditional and non-waivable and shall apply to all affiliates and assigns
of Lender.

 

13.          Issuance
Cap. Notwithstanding anything to the contrary contained in this Note or the other Transaction Documents, Borrower and Lender
agree that the total cumulative number of shares of Common Stock issued to Lender hereunder together with all other Transaction
Documents may not exceed the requirements of Nasdaq Listing Rule 5635(d) (“Nasdaq 19.99% Cap”), except that
such limitation will not apply following Approval (defined below). If the number of shares of Common Stock issued to Investor
reaches the Nasdaq 19.99% Cap, so as not to violate the 20% limit established in Listing Rule 5635(d), Borrower will use reasonable
commercial efforts to: (a) obtain stockholder approval of the Note and the issuance of additional Conversion Shares, if necessary,
in accordance with the requirements of Nasdaq Listing Rule 5635(d), or (b) obtain Nasdaq approval of the Note and the issuance
of additional Conversion Shares (the “Approval”). In the event Borrower is unable to deliver any additional
Conversion Shares to Lender as a result of the Nasdaq 19.99% Cap, then until such time as Borrower is able to obtain the Approval,
all Redemption Amounts must be paid in cash.

 

14.          Opinion
of Counsel. In the event that an opinion of counsel is needed for any matter related to this Note, Lender has the right to
have any such opinion provided by its counsel.

 

15.          Governing
Law; Venue. This Note shall be construed and enforced in accordance with, and all questions concerning the construction, validity,
interpretation and performance of this Note shall be governed by, the internal laws of the State of Utah, without giving effect
to any choice of law or conflict of law provision or rule (whether of the State of Utah or any other jurisdiction) that would
cause the application of the laws of any jurisdiction other than the State of Utah. The provisions set forth in the Purchase Agreement
to determine the proper venue for any disputes are incorporated herein by this reference.

 

16.          Arbitration
of Disputes. By its issuance or acceptance of this Note, each party agrees to be bound by the Arbitration Provisions (as defined
in the Purchase Agreement) set forth as an exhibit to the Purchase Agreement.

 

17.          Cancellation. After repayment or conversion of the entire Outstanding Balance, this Note shall be deemed paid in
full, shall automatically be deemed canceled, and shall not be reissued.

 

18.          Amendments.
The prior written consent of both parties hereto shall be required for any change or amendment to this Note.

 

19.          Assignments. Borrower may not assign this Note without the prior written consent of Lender. This Note and any Ordinary
Shares issued upon conversion of this Note may be offered, sold, assigned or transferred by Lender without the consent of Borrower.

 

20.          Notices.
Whenever notice is required to be given under this Note, unless otherwise provided herein, such notice shall be given in accordance
with the subsection of the Purchase Agreement titled “Notices.”

 

21.          Liquidated
Damages. Lender and Borrower agree that in the event Borrower fails to comply with any of the terms or provisions of this
Note, Lender’s damages would be uncertain and difficult (if not impossible) to accurately estimate because of the parties’
inability to predict future interest rates, future share prices, future trading volumes and other relevant factors. Accordingly,
Lender and Borrower agree that any fees, balance adjustments, Default Interest or other charges assessed under this Note are not
penalties but instead are intended by the parties to be, and shall be deemed, liquidated damages (under Lender’s and Borrower’s
expectations that any such liquidated damages will tack back to the Purchase Price Date for purposes of determining the holding
period under Rule 144).

 

22.          Severability.
If any part of this Note is construed to be in violation of any law, such part shall be modified to achieve the objective of Borrower
and Lender to the fullest extent permitted by law and the balance of this Note shall remain in full force and effect.

 

[Remainder of page intentionally left
blank; signature page follows]

 

 

 

    	 	A-5	 

     

    

 

IN WITNESS WHEREOF,
Borrower has caused this Note to be duly executed as of the Effective Date.

 

	 	BORROWER:

SPI
Energy Co., Ltd.

 

 

By: _____________________________

Name: ___________________________

Title: ____________________________

 

ACKNOWLEDGED, ACCEPTED AND AGREED:

LENDER:

Streeterville
Capital, LLC

 

 

By: ___________________________

       John M. Fife, President 

 

 

[Signature Page
to Convertible Promissory Note]

 

    	 	A-6	 

     

    

 

ATTACHMENT 1

DEFINITIONS

 

For purposes of this
Note, the following terms shall have the following meanings:

 

A1.           
“Approved Stock Plan” means any stock option plan in effect as of the Purchase Price Date which has been
approved by the board of directors of Borrower, pursuant to which Borrower’s securities may be issued to any employee, officer
or director for services provided to Borrower.

 

A2.           
“Closing Bid Price” and “Closing Trade Price” means the last closing bid price and
last closing trade price, respectively, for the Ordinary Shares on its principal market, as reported by Bloomberg, or, if its principal
market begins to operate on an extended hours basis and does not designate the closing bid price or the closing trade price (as
the case may be) then the last bid price or last trade price, respectively, of the Ordinary Shares prior to 4:00:00 p.m.,
New York time, as reported by Bloomberg, or, if its principal market is not the principal securities exchange or trading market
for the Ordinary Shares, the last closing bid price or last trade price, respectively, of the Ordinary Shares on the principal
securities exchange or trading market where the Ordinary Shares is listed or traded as reported by Bloomberg, or if the foregoing
do not apply, the last closing bid price or last trade price, respectively, of the Ordinary Shares in the over-the-counter market
on the electronic bulletin board for the Ordinary Shares as reported by Bloomberg, or, if no closing bid price or last trade price,
respectively, is reported for the Ordinary Shares by Bloomberg, the average of the bid prices, or the ask prices, respectively,
of any market makers for the Ordinary Shares as reported by OTC Markets Group, Inc., and any successor thereto. If the Closing
Bid Price or the Closing Trade Price cannot be calculated for the Ordinary Shares on a particular date on any of the foregoing
bases, the Closing Bid Price or the Closing Trade Price (as the case may be) of the Ordinary Shares on such date shall be the fair
market value as mutually determined by Lender and Borrower. All such determinations shall be appropriately adjusted for any stock
dividend, stock split, stock combination or other similar transaction during such period.

 

A3.           
“Conversion” means a Lender Conversion under Section 3 or a Redemption Conversion under Section 8.

 

A4.           
“Conversion Factor” means 80%.

 

A5.           
“Conversion Share Value” means the product of the number of Lender Conversion Shares deliverable pursuant
to any Lender Conversion Notice multiplied by the Closing Trade Price of the Ordinary Shares on the Delivery Date for such Lender
Conversion.

 

A6.           
“Deemed Issuance” means an issuance of Ordinary Shares that shall be deemed to have occurred on the latest
possible permitted date pursuant to the terms hereof in the event Borrower fails to deliver Conversion Shares as and when required
pursuant to Section 9 of this Note. For the avoidance of doubt, if Borrower has elected or is deemed under Section 8.3 to have
elected to pay a Redemption Amount in Redemption Conversion Shares and fails to deliver such Redemption Conversion Shares, such
failure shall be considered a Deemed Issuance hereunder even if an Equity Conditions Failure exists at that time or other relevant
date of determination.

 

A7.           
“Default Effect” means multiplying the Outstanding Balance as of the date the applicable Event of Default
occurred by (a) fifteen percent (15%) for each occurrence of any Major Default, or (b) five percent (5%) for each occurrence of
any Minor Default, and then adding the resulting product to the Outstanding Balance as of the date the applicable Event of Default
occurred, with the sum of the foregoing then becoming the Outstanding Balance under this Note as of the date the applicable Event
of Default occurred; provided that the Default Effect may only be applied three (3) times hereunder with respect to Major Defaults
and three (3) times hereunder with respect to Minor Defaults; and provided further that the Default Effect shall not apply to any
Event of Default pursuant to Section 4.1(b) hereof.

 

A8.           
“DTC” means the Depository Trust Company or any successor thereto.

 

A9.           
“DTC/FAST Program” means the DTC’s Fast Automated Securities Transfer program.

 

 

Attachment 1 to Convertible Promissory Note

 

    	 	A-7	 

     

    

 

A10.        
“DWAC” means the DTC’s Deposit/Withdrawal at Custodian system.

 

A11.        
“DWAC Eligible” means that (a) Borrower’s Ordinary Shares is eligible at DTC for full services
pursuant to DTC’s operational arrangements, including without limitation transfer through DTC’s DWAC system; (b) Borrower
has been approved (without revocation) by DTC’s underwriting department; (c) Borrower’s transfer agent is approved
as an agent in the DTC/FAST Program; (d) the Conversion Shares are otherwise eligible for delivery via DWAC; and (e) Borrower’s
transfer agent does not have a policy prohibiting or limiting delivery of the Conversion Shares via DWAC.

 

A12.        
“Equity Conditions Failure” means that any of the following conditions has not been satisfied on any
given Redemption Date: (a) with respect to the applicable date of determination all of the Conversion Shares would be freely
tradable under Rule 144 or without the need for registration under any applicable federal or state securities laws (in each case,
disregarding any limitation on conversion of this Note); (b) no Event of Default shall have occurred or be continuing hereunder;
(c) the average and median daily dollar volume of the Ordinary Shares on its principal market for the previous twenty (20) and
two hundred (200) Trading Days shall be greater than $75,000.00; and (d) the Market Capitalization is greater than or equal to
$30,000,000.00.

 

A13.        
“Excluded Securities” means any shares of Common Stock or options to purchase Common Stock issued or
issuable: (a) in connection with any Approved Stock Plan; provided that the option term, exercise price or similar provisions
of any securities outstanding pursuant to such Approved Stock Plan are not amended, modified or changed on or after the Purchase
Price Date; or (b) other than pursuant to a convertible debt instrument.

 

A14.        
“Fundamental Transaction” means that (a) (i) Borrower or any of its subsidiaries shall, directly
or indirectly, in one or more related transactions, consolidate or merge with or into (whether or not Borrower or any of its subsidiaries
is the surviving corporation) any other person or entity, or (ii) Borrower or any of its subsidiaries shall, directly or indirectly,
in one or more related transactions, sell, lease, license, assign, transfer, convey or otherwise dispose of all or substantially
all of its respective properties or assets to any other person or entity, or (iii) Borrower or any of its subsidiaries shall,
directly or indirectly, in one or more related transactions, allow any other person or entity to make a purchase, tender or exchange
offer that is accepted by the holders of more than 50% of the outstanding shares of voting stock of Borrower (not including any
shares of voting stock of Borrower held by the person or persons making or party to, or associated or affiliated with the persons
or entities making or party to, such purchase, tender or exchange offer), or (iv) Borrower or any of its subsidiaries shall,
directly or indirectly, in one or more related transactions, consummate a stock or share purchase agreement or other business combination
(including, without limitation, a reorganization, recapitalization, spin-off or scheme of arrangement) with any other person or
entity whereby such other person or entity acquires more than 50% of the outstanding shares of voting stock of Borrower (not including
any shares of voting stock of Borrower held by the other persons or entities making or party to, or associated or affiliated with
the other persons or entities making or party to, such stock or share purchase agreement or other business combination), or (v) Borrower
or any of its subsidiaries shall, directly or indirectly, in one or more related transactions, reorganize, recapitalize or reclassify
the Ordinary Shares, other than an increase in the number of authorized shares of Borrower’s Ordinary Shares, or (b) any
“person” or “group” (as these terms are used for purposes of Sections 13(d) and 14(d) of the 1934 Act and
the rules and regulations promulgated thereunder) is or shall become the “beneficial owner” (as defined in Rule 13d-3
under the 1934 Act), directly or indirectly, of 50% of the aggregate ordinary voting power represented by issued and outstanding
voting stock of Borrower. Notwithstanding the foregoing, any transaction related to the spinoff or reorganization of SolarJuice
Co., Ltd. or Orange Power Co., Ltd. will not be considered to be a Fundamental Transaction.

 

A15.        
“Major Default” means any Event of Default occurring under Sections 4.1(a), 4.1(c), 4.1(l), or 4.1(p).

 

A16.        
 “Mandatory Default Amount” means the Outstanding Balance following the application of the Default Effect.

 

A17.        
“Market Capitalization” means a number equal to (a) the average VWAP of the Ordinary Shares for the immediately
preceding fifteen (15) Trading Days, multiplied by (b) the aggregate number of outstanding Ordinary Shares as reported on Borrower’s
most recently filed Form 10-Q or Form 10-K.

 

A18.        
“Market Price” means the Conversion Factor multiplied by the lowest Closing Trade Price during the ten
(10) Trading Days immediately preceding the applicable measurement date.

 

 

Attachment 1 to Convertible Promissory Note,

 

    	 	A-8	 

     

    

 

A19.        
“Minor Default” means any Event of Default that is not a Major Default.

 

A20.        
“OID” means an original issue discount.

 

A21.        
“Other Agreements” means, collectively, (a) all existing and future agreements and instruments between,
among or by Borrower (or an affiliate), on the one hand, and Lender (or an affiliate), on the other hand, and (b) any financing
agreement or a material agreement that affects Borrower’s ongoing business operations.

 

A22.        
“Outstanding Balance” means as of any date of determination, the Purchase Price, as reduced or increased,
as the case may be, pursuant to the terms hereof for payment, Conversion, offset, or otherwise, plus the OID, the Transaction Expense
Amount, accrued but unpaid interest, collection and enforcements costs (including attorneys’ fees) incurred by Lender, transfer,
stamp, issuance and similar taxes and fees related to Conversions, and any other fees or charges (including without limitation
Conversion Delay Late Fees) incurred under this Note.

 

A23.        
“Purchase Price Date” means the date the Purchase Price is delivered by Lender to Borrower.

 

A24.        
“Trading Day” means any day on which the New York Stock Exchange (or such other principal market for
the Ordinary Shares) is open for trading.

 

A25.        
“VWAP” means the volume weighted average price of the Ordinary Shares on the principal market for a particular
Trading Day or set of Trading Days, as the case may be, as reported by Bloomberg.

 

 

 

[Remainder of page
intentionally left blank]

 

 

Attachment 1 to Convertible Promissory Note

 

    	 	A-9	 

     

    

 

EXHIBIT A

 

Streeterville Capital, LLC

303 East Wacker Drive, Suite 1040

Chicago, Illinois 60601

 

	SPI Energy Co., Ltd.	Date:_________________
	Attn: Xiaofeng Peng	 
	#1128, 11/F, No. 52 Hung To Road	 
	Kwun Tong, Kowloon	 
	Hong Kong SAR, China	 

 

LENDER CONVERSION NOTICE

 

The above-captioned Lender hereby gives
notice to SPI Energy Co., Ltd., a Cayman Islands corporation (the “Borrower”), pursuant to that certain Convertible
Promissory Note made by Borrower in favor of Lender on November 3, 2020 (the “Note”), that Lender elects to
convert the portion of the Note balance set forth below into fully paid and non-assessable Ordinary Shares of Borrower as of the
date of conversion specified below. Said conversion shall be based on the Lender Conversion Price set forth below. In the event
of a conflict between this Lender Conversion Notice and the Note, the Note shall govern, or, in the alternative, at the election
of Lender in its sole discretion, Lender may provide a new form of Lender Conversion Notice to conform to the Note. Capitalized
terms used in this notice without definition shall have the meanings given to them in the Note.

 

		A.	Date of Conversion: ____________
		B.	Lender Conversion #: ____________
		C.	Conversion Amount: ____________
		D.	Lender Conversion Price: _______________
		E.	Lender Conversion Shares: _______________ (C divided by D)
		F.	Remaining Outstanding Balance of Note: ____________*

 

* Subject to adjustments for corrections,
defaults, interest and other adjustments permitted by the Transaction Documents (as defined in the Purchase Agreement), the terms
of which shall control in the event of any dispute between the terms of this Lender Conversion Notice and such Transaction Documents.

 

Please transfer the Lender Conversion
Shares electronically (via DWAC) to the following account:

 

	Broker:  ______________________	Address:	_________________________
	DTC#:  _______________________	 	________________________
	Account #:  ___________________	 	________________________
	Account Name:  ________________	 	 

 

To the extent the
Lender Conversion Shares are not able to be delivered to Lender electronically via the DWAC system, deliver all such certificated
shares to Lender via reputable overnight courier after receipt of this Lender Conversion Notice (by facsimile transmission or otherwise)
to:

_____________________________________

_____________________________________

_____________________________________

 

 

[Signature Page Follows]

 

Exhibit A to Convertible Promissory Note

 

    	 	A-10	 

     

    

 

 

Sincerely,

 

Lender:

 

Streeterville
Capital, LLC

 

By: Iliad Management, LLC, its General
Partner

 

By:       Fife
Trading, Inc., its Manager

 

 

By: _________________________

       John
M. Fife, President

 

 

 

 

 

 

 

Exhibit A to Convertible Promissory Note

 

    	 	A-11	 

     

    

 

EXHIBIT B

 

Streeterville Capital, LLC

303 East Wacker Drive, Suite 1040

Chicago, Illinois 60601

 

	SPI Energy Co., Ltd.	Date:
    ________________
	Attn: Xiaofeng Peng	 
	#1128, 11/F, No. 52 Hung To Road Kwun Tong, Kowloon	 
	Hong Kong SAR, China	 

 

REDEMPTION NOTICE

 

The above-captioned Lender hereby gives
notice to SPI Energy Co., Ltd., a Cayman Islands corporation (the “Borrower”), pursuant to that certain Convertible
Promissory Note made by Borrower in favor of Lender on November 3, 2020 (the “Note”), that Lender elects to
redeem a portion of the Note in Redemption Conversion Shares or in cash as set forth below. In the event of a conflict between
this Redemption Notice and the Note, the Note shall govern, or, in the alternative, at the election of Lender in its sole discretion,
Lender may provide a new form of Redemption Notice to conform to the Note. Capitalized terms used in this notice without definition
shall have the meanings given to them in the Note.

 

REDEMPTION INFORMATION 

 

		A.	Redemption Date: ____________, 201_
		B.	Redemption Amount: ____________
		C.	Portion of Redemption Amount to be Paid in Cash: ____________
		D.	Portion of Redemption Amount to be Converted into Ordinary Shares: ____________ (B minus C)
		E.	Redemption Conversion Price: _______________ (lower of (i) Lender Conversion Price in effect and
(ii) Market Price as of Redemption Date)
		F.	Redemption Conversion Shares: _______________ (D divided by E)
		G.	Remaining Outstanding Balance of Note: ____________ *

 

* Subject to adjustments for corrections,
defaults, interest and other adjustments permitted by the Transaction Documents (as defined in the Purchase Agreement), the terms
of which shall control in the event of any dispute between the terms of this Redemption Notice and such Transaction Documents.

 

Please transfer the Redemption Conversion
Shares, if applicable, electronically (via DWAC) to the following account:

 

	Broker:  ____________________	Address:	_________________________
	DTC#:  ______________________	 	________________________
	Account #:  ___________________	 	________________________
	Account Name:  ________________	 	 

 

To the extent the
Redemption Conversion Shares are not able to be delivered to Lender electronically via the DWAC system, deliver all such certificated
shares to Lender via reputable overnight courier after receipt of this Redemption Notice (by facsimile transmission or otherwise)
to:

_____________________________________

_____________________________________

_____________________________________

 

 

 

Exhibit B to
Convertible Promissory Note

 

    	 	A-12	 

     

    

 

Sincerely,

 

Lender:

 

Streeterville
Capital, LLC

 

By: Iliad Management, LLC, its General
Partner

 

By:       Fife
Trading, Inc., its Manager

 

 

By: _________________________

       John
M. Fife, President

 

 

 

 

 

 

 

 

Exhibit B to
Convertible Promissory Note

 

    	 	A-13	 

     

    

 

EXHIBIT B

 

IRREVOCABLE LETTER OF INSTRUCTIONS TO TRANSFER
AGENT

 

 

 

Date: November 3, 2020

 

To the transfer agent of SPI Energy Co.,
Ltd.

 

Re:       Instructions
to Reserve and Issue Shares

 

Ladies and Gentlemen:

 

Reference is made to
that certain Convertible Promissory Note dated as of November 3, 2020 (as the same may be amended or exchanged from time to time,
the “Note”), made by SPI Energy Co., Ltd., a Cayman Islands corporation (“Company”), pursuant
to which Company agreed to pay to Streeterville Capital, LLC, a Utah limited liability company, its successors and/or assigns (“Investor”),
the aggregate sum of $2,110,000.00, plus interest, fees, and collection costs. The Note was issued pursuant to that certain Securities
Purchase Agreement dated November 3, 2020, by and between Company and Investor (the “Purchase Agreement”, and
together with the Note, and all other documents entered into in conjunction therewith, including any amendments thereto, the “Transaction
Documents”). Pursuant to the terms of the Note, the Outstanding Balance (as defined in the Note) of the Note may be converted
into Ordinary Shares, par value $0.0001 per share, of Company (the “Ordinary Shares”, and the Ordinary Shares
issuable upon any conversion or otherwise under the Note, the “Shares”).

 

Pursuant to the terms
of the Purchase Agreement, Company has agreed to establish a reserve of authorized but unissued Ordinary Shares for Investor’s
sole and exclusive benefit in an amount not less than 1,500,000 shares (the “Share Reserve”). Company further
agreed to add additional Ordinary Shares to the Share Reserve in increments of 100,000 shares, as and when requested by Investor,
if the number of shares being held in the Share Reserve is less than the amount calculated as follows: three (3) times the number
of Ordinary Shares obtained by dividing the Outstanding Balance by the Redemption Conversion Price (as defined in the Note). For
the avoidance of doubt, this Share Reserve shall be in addition to any previous share reserves put in place for the benefit of
Investor.

 

This irrevocable letter
of instructions (this “Letter”) shall serve as the authorization and direction of Company to VStock Transfer,
LLC, or its successors, as Company’s transfer agent (hereinafter, “you” or “your”),
to reserve Ordinary Shares and to issue (or where relevant, to reissue in the name of Investor) Ordinary Shares to Investor or
its broker, upon conversion of the Note as follows:

 

1.               
From and after the date hereof and until all of Company’s obligations under the Purchase Agreement and the Note are
paid and performed in full, (a) you shall establish a reserve of authorized but unissued Ordinary Shares in an amount not less
than the Share Reserve, (b) you shall maintain and hold the Share Reserve for the exclusive benefit of Investor, (c) you shall
issue the Ordinary Shares held in the Share Reserve to Investor or its broker only, (d) when you issue Ordinary Shares to Investor
or its broker under the Note pursuant to the other instructions in this Letter, you shall issue such shares from the Share Reserve,
(e) you shall not otherwise reduce the Share Reserve under any circumstances, unless Investor delivers to you written pre-approval
of such reduction, and (f) you shall immediately add Ordinary Shares to the Share Reserve in increments of 100,000 shares as and
when requested by Company or Investor in writing from time to time.

 

2.               
You shall issue the Shares to Investor or its broker in accordance with Paragraph 3 upon a conversion of all or any portion
of the Note, upon delivery to you of a duly executed Lender Conversion Notice substantially in the form attached hereto as Exhibit
A (a “Conversion Notice”), or a duly executed Redemption Notice substantially in the form attached hereto
as Exhibit B (a “Redemption Notice”, and together with a Lender Conversion Notice, a “Conversion
Notice”). By your signature below, you acknowledge and agree that a conversion of the Note may include any conversion
by Investor of any judgment amount or arbitration award granted in favor of Investor, as set forth in the Note, and that you will
issue Shares to Investor in accordance with Paragraph 3 below upon Investor’s delivery to you of a duly executed Conversion
Notice wherein Investor seeks to convert any portion of any judgment amount or arbitration award granted in favor of Investor.
You further acknowledge that Company and Investor have agreed that it is their expectation that any such judgment amount or arbitration
award that is converted will tack back to the Purchase Price Date (as defined in the Note) for purposes of determining the holding
period under Rule 144 (as defined below) and that Company agreed that it will not take a contrary position in any filing, document,
letter, agreement or setting.

 

 

 

    	 	B-14	 

     

    

 

3.               
In connection with a Conversion Notice delivered to you pursuant to Paragraph 2 above, you will receive a legal opinion
as to the free transferability of the Shares, dated within ninety (90) days from the date of the Conversion Notice, from either
Investor’s or Company’s legal counsel, indicating that the Shares to be issued are registered pursuant to an effective
registration statement under the Securities Act of 1933, as amended (the “1933 Act”), or pursuant to Rule 144
promulgated under the 1933 Act (“Rule 144”), or any other available exemption under the 1933 Act, the issuance
of the applicable Shares to Investor is exempt from registration under the 1933 Act, and thus the Shares may be issued or delivered
without restrictive legend (the “Opinion Letter”). Upon your receipt of a Conversion Notice and an Opinion Letter,
you shall, within three (3) Trading Days (as defined below) thereafter, (i) if you are eligible to participate in the Depository
Trust Company (“DTC”) Fast Automated Securities Transfer program, and the Ordinary Shares are eligible to be
transferred electronically with DTC through the Deposit/Withdrawal at Custodian system (“DWAC Eligible”), credit
such aggregate number of DWAC Eligible Ordinary Shares to Investor’s or its designee’s balance account with DTC, provided
Investor identifies its bank or broker (by providing its name and DTC participant number) and causes its bank or broker to initiate
such DWAC Eligible transaction, or (ii) if the Ordinary Shares are not then DWAC Eligible, issue and deliver to Investor or its
broker (as specified in the applicable Conversion Notice), via reputable overnight courier, to the address specified in the Conversion
Notice, as the case may be, a certificate, registered in the name of Investor or its designee, representing such aggregate number
of Ordinary Shares as have been requested by Investor to be transferred in the Conversion Notice, as applicable. Such Shares (A)
shall not bear any legend restricting transfer, (B) shall not be subject to any stop-transfer restrictions, and (C) shall otherwise
be freely transferable on the books and records of Company. For purposes hereof, “Trading Day” shall mean any
day on which the New York Stock Exchange is open for trading.

 

If you receive a Conversion
Notice but you do not also receive an Opinion Letter, and you are required to issue the Shares in certificated form, then any certificates
for the applicable Shares shall bear a restrictive legend substantially as follows:

 

THESE SECURITIES HAVE
NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR THE SECURITIES LAWS OF ANY STATE AND MAY NOT BE SOLD OR OFFERED
FOR SALE IN THE ABSENCE OF AN EFFECTIVE REGISTRATION STATEMENT FOR THE SECURITIES OR AN OPINION OF COUNSEL IN FORM, SUBSTANCE AND
SCOPE CUSTOMARY FOR OPINIONS OF COUNSEL IN COMPARABLE TRANSACTIONS OR OTHER EVIDENCE ACCEPTABLE TO COMPANY THAT SUCH REGISTRATION
IS NOT REQUIRED, OR UNLESS SOLD PURSUANT TO RULE 144 UNDER SAID ACT.

 

4.               
Please note that a share issuance resolution is not required for each conversion and issuance of Shares since this Letter
and the Transaction Documents have been approved by resolution of Company’s board of directors (the “Share Issuance
Resolution”). Pursuant to the Share Issuance Resolution, all of the Shares are authorized to be issued to Investor. For
the avoidance of doubt, this Letter is your authorization and instruction by Company to issue the Shares pursuant to this Letter
without any further authorization or direction from Company. You shall rely exclusively on the instructions in this Letter and
shall have no liability for relying on any Conversion Notice provided by Investor. Any Conversion Notice delivered hereunder shall
constitute an irrevocable instruction to you to process such notice or notices in accordance with the terms thereof, without any
further direction or inquiry. Such notice or notices may be transmitted to you by fax, email, or any commercially reasonable method.

 

5.               
Notwithstanding any other provision hereof, Company and Investor understand that you shall not be required to perform any
issuance or transfer of Shares if (a) such an issuance or transfer of Shares is in violation of any state or federal securities
laws or regulations, or (b) the issuance or transfer of Shares is prohibited or stopped as required or directed by a court order.
Additionally, Company and Investor understand that you shall not be required to perform any issuance or transfer of Shares if Company
is in default of its payment obligations under its agreement with you; provided, however, that in such case Investor shall
have the right to pay the applicable issuance or transfer fee on behalf of Company and upon payment of the issuance or transfer
fee by Investor, you shall be obligated to make the requested issuance or transfer.

 

6.               
You are hereby authorized and directed to promptly disclose to Investor, after Investor’s request from time to time,
the total number of Ordinary Shares issued and outstanding and the total number of shares that are authorized but unissued and
unreserved.

 

7.               
Company hereby confirms to you and to Investor that no instruction other than as contemplated herein (including instructions
to increase the Share Reserve as necessary pursuant to Paragraph 1(f) above) will be given to you by Company with respect to the
matters referenced herein. Company hereby authorizes you, and you shall be obligated, to disregard any contrary instruction received
by or on behalf of Company or any other person purporting to represent Company.

 

 

 

    	 	B-15	 

     

    

 

8.               
Notwithstanding anything to the contrary herein or in any previous Irrevocable Letter of Instructions to Transfer Agent
with Investor and Company, Company hereby agrees that the Share Reserve set forth in this Letter may, at Investor’s election,
be used to satisfy any prior obligations owed by Company to Investor or any obligations owed by Company to Investor that may arise
in the future. Company further agrees that any prior or future share reserves established for the benefit of Investor may also
be used to satisfy Company’s obligations under the Note.

 

9.               
Company hereby agrees not to change you as its transfer agent without first (a) providing Investor with at least 30-days’
written notice of such proposed change, and (b) obtaining Investor’s written consent to such proposed change. Any such consent
is conditioned upon the new transfer agent executing an irrevocable letter of instructions substantially similar to this Letter
so that such transfer agent is bound by the same terms set forth herein.

 

10.            
Company acknowledges that Investor is relying on the representations and covenants made by Company in this Letter and that
the representations and covenants contained in this Letter constitute a material inducement to Investor to make the loan evidenced
by the Note. Company further acknowledges that without such representations and covenants of Company, Investor would not have made
the loan to Company evidenced by the Note.

 

11.            
Company shall indemnify you and your officers, directors, members, managers, principals, partners, agents and representatives,
and hold each of them harmless from and against any and all loss, liability, damage, claim or expense (including the reasonable
fees and disbursements of its attorneys) incurred by or asserted against you or any of them arising out of or in connection with
the instructions set forth herein, the performance of your duties hereunder and otherwise in respect hereof, including the costs
and expenses of defending yourself or themselves against any claim or liability hereunder, except that Company shall not be liable
hereunder as to matters in respect of which it is determined that you have acted with gross negligence or in bad faith.

 

12.            
Investor is an intended third-party beneficiary of this Letter. The parties hereto specifically acknowledge and agree that
in the event of a breach or threatened breach by a party hereto of any provision hereof, Investor will be irreparably damaged,
and that damages at law would be an inadequate remedy if this Letter were not specifically enforced. Therefore, in the event of
a breach or threatened breach of this Letter, Investor shall be entitled, in addition to all other rights or remedies, to an injunction
restraining such breach, without being required to show any actual damage or to post any bond or other security, and/or to a decree
for a specific performance of the provisions of this Letter.

 

13.            
This Letter shall be fully binding and enforceable against Company even if it is not signed by you. If Company takes (or
fails to take) any action contrary to this Letter, then such action or inaction will constitute a default under the Transaction
Documents. Although no additional direction is required by Company, any refusal by Company to immediately confirm this Letter and
the instructions contemplated herein to you will constitute a default hereunder and under the Transaction Documents.

 

14.            
Whenever possible, each provision of this Letter shall be interpreted in such a manner as to be effective and valid under
applicable law, but if any provision of this Letter shall be invalid or unenforceable in any jurisdiction, such provision shall
be modified to achieve the objective of the parties to the fullest extent permitted and such invalidity or unenforceability shall
not affect the validity or enforceability of the remainder of this Letter or the validity or enforceability of this Letter in any
other jurisdiction.

 

15.            
By signing below, (a) each individual executing this Letter on behalf of an entity represents and warrants that he or she
has authority to so execute this Letter on behalf of such entity and thereby bind such entity to the terms and conditions hereof,
and (b) each party to this Letter represents and warrants that such party has received good and valuable consideration in exchange
for executing this Letter.

 

16.            
Company and Investor agree that any action which names you as a party shall be brought in a court of general jurisdiction
in Nassau County, New York and no other court and shall be subject to New York law. Notwithstanding the foregoing, nothing herein
shall be construed to modify, change or amend Company’s agreement to arbitrate disputes with Investor pursuant to the Arbitration
Provisions (as defined in the Purchase Agreement) set forth as an exhibit to the Purchase Agreement. For the avoidance of doubt,
only claims directly involving you will be subject to litigation in Nassau County, New York and New York law, all other claims
between Company and Investor will be subject to the Arbitration Provisions and Utah law and may proceed concurrently with any action
among the parties in Nassau County, New York. Notwithstanding the foregoing, each party further agrees to not participate in any
action, suit, proceeding or arbitration (including without limitation any action or proceeding seeking an injunction or temporary
restraining order against your issuance of Shares to Investor) of any dispute arising out of or relating to this Letter or the
relationship of the parties or their affiliates that takes place outside of the jurisdictions set forth herein.

 

 

 

    	 	B-16	 

     

    

 

17.            
Company hereby authorizes and directs you to provide to Investor a copy of any process, stop order, notice or other instructions
delivered to you in furtherance of any attempt to prohibit or prevent you from issuing Shares to Investor. By your signature below,
you covenant and agree to promptly and as soon as reasonably practicable provide to Investor, upon a request from Investor, a copy
of any such process, stop order, notice or other instructions.

 

[Remainder of page intentionally left
blank; signature page follows]

 

	 	Very truly yours,
	 	 
	 	SPI Energy Co., Ltd.
	 	 
	 	 
	 	By: _____________________________
	 	Name: ___________________________
	 	Title: ____________________________

 

 

ACKNOWLEDGED AND AGREED:

 

INVESTOR:

 

Streeterville
Capital, LLC

 

 

By: _______________________________

John M. Fife, President

 

 

 

 

TRANSFER AGENT:

 

VStock
Transfer, LLC

 

 

By:______________________________

Name: ____________________________

Title: _____________________________

 

 

 

Attachments:

 

		Exhibit	A               
Form of Lender Conversion Notice

 

		Exhibit	B                
Form of Redemption Notice

 

 

 

 

    	 	B-17	 

     

    

 

EXHIBIT C

 

SPI ENERGY CO., LTD.

SECRETARY’S CERTIFICATE

 

I, ____________________,
hereby certify that I am the duly elected, qualified and acting Secretary of SPI Energy Co., Ltd., a Cayman Islands corporation
(“Company”), and I am authorized to execute this Secretary’s Certificate (this “Certificate”)
on behalf of Company. This Certificate is delivered in connection with that certain Securities Purchase Agreement dated November
3, 2020 (the “Purchase Agreement”), by and between Company and Streeterville Capital, LLC, a Utah limited liability
company.

 

Solely in my capacity
as Secretary, I certify that Schedule 1 attached hereto is a true, accurate and complete copy of all of the resolutions
adopted by the Board of Directors of Company (the “Resolutions”) approving and authorizing the execution, delivery
and performance of the Purchase Agreement and related documents to which Company is a party on the date hereof, and the transactions
contemplated thereby. Such Resolutions have not been amended, rescinded or modified since their adoption and remain in effect as
of the date hereof.

 

IN WITNESS WHEREOF,
I have made this Secretary’s Certificate effective as of November 3, 2020.

 

	 	SPI Energy Co., Ltd.
	 	 
	 	 
		____________________________________
	 	Printed Name: ________________________
	 	Title: Secretary

 

 

 

 

 

 

    	 	C-1	 

     

    

 

Schedule 1

 

BOARD RESOLUTIONS

 

[attached]

 

 

 

 

 

 

 

 

 

 

 

 

 

    	 	C-2	 

     

    

 

SPI ENERGY CO., LTD.

RESOLUTIONS ADOPTED BY THE BOARD OF
DIRECTORS

 

________________________

 

Effective November 3, 2020

 

________________________

 

APPROVAL OF FINANCING

 

WHEREAS, the Board
of Directors (the “Board”) of SPI Energy Co., Ltd., a Cayman Islands corporation (“Company”),
has determined that it is in the best interests of Company to seek financing in the amount of $2,000,000.00 through the issuance
and sale to Streeterville Capital, LLC, a Utah limited liability company (“Investor”), of a Convertible Promissory
Note (the “Financing”);

 

WHEREAS, the terms
of the Financing are reflected in a Securities Purchase Agreement substantially in the form attached hereto as Exhibit A
(the “Purchase Agreement”), a Convertible Promissory Note issued by Company to Investor in the original principal
amount of $2,110,000.00 substantially in the form attached hereto as Exhibit B (the “Note”), an Irrevocable
Letter of Instructions to Transfer Agent substantially in the form attached hereto as Exhibit C, a Share Issuance Resolution
substantially in the form attached hereto as Exhibit D (“Share Issuance Resolution”), and all other agreements,
certificates, instruments and documents being or to be executed and delivered under or in connection with the Financing (collectively,
the “Financing Documents”); and

 

WHEREAS, the Board,
having received and reviewed the Financing Documents, believes that it is in the best interests of Company and its stockholders
to approve the Financing and the Financing Documents and authorize the officers of Company to execute such documents.

 

NOW, THEREFORE, BE
IT:

 

RESOLVED, that the
Financing is hereby approved and determined to be in the best interests of Company and its stockholders;

 

RESOLVED FURTHER, that
the form, terms and provisions of the Financing Documents (including all exhibits, schedules and other attachments thereto) are
hereby ratified, confirmed and approved;

 

RESOLVED FURTHER, that
the Note shall be duly and validly issued upon the issuance and delivery thereof in accordance with the Purchase Agreement;

 

RESOLVED FURTHER, that
the Conversion Shares (as defined in the Note) shall be duly authorized, validly issued, fully paid for and non-assessable upon
the issuance and delivery thereof in accordance with the Note;

 

RESOLVED FURTHER, that
Company shall take all action necessary to at all times have authorized and reserved for the purpose of issuance under the Note
such number of shares of Company’s Ordinary Shares required under the Purchase Agreement (the “Share Reserve”);

 

RESOLVED FURTHER, that
the fixed number of Ordinary Shares set forth in the Share Issuance Resolution to be reserved by the transfer agent is not meant
to limit or restrict in any way the resolutions contained herein, including without limitation the calculation of the Share Reserve
under the Purchase Agreement, as required from time to time;

 

RESOLVED FURTHER, that
each of the officers of Company be, and each of them hereby is, authorized to instruct the transfer agent to increase the Share
Reserve, from time to time, in the incremental amount set forth in the Share Issuance Resolution; provided, however, that
any decrease in the Share Reserve held by the transfer agent will require the prior written consent of Investor;

 

 

 

    	 	C-3	 

     

    

 

RESOLVED FURTHER, that
in the event of any conflict between these resolutions and the Share Issuance Resolution, these resolutions shall control;

 

RESOLVED FURTHER, that
with respect to each Conversion (as defined in the Note) under the Note, the reduction in the Outstanding Balance (as defined in
the Note and as the same may increase or decrease pursuant to the terms of the Note) in an amount equal to the applicable Conversion
Amount (as defined in the Note) or Redemption Amount (as defined in the Note) being converted into Conversion Shares shall constitute
fair and adequate consideration to Company for the issuance of the applicable Conversion Shares, regardless of the conversion price
used to determine the number of Conversion Shares deliverable with respect to any Conversion;

 

RESOLVED FURTHER, that
each of the officers of Company be, and each of them hereby is, authorized to execute and deliver in the name of and on behalf
of Company, each of the Financing Documents and any other related agreements (with such additions to, modifications to, or deletions
from such documents as the officer approves, such approval to be conclusively evidenced by such execution and delivery), to conform
Company’s minute books and other records to the matters set forth in these resolutions, and to take all other actions on
behalf of Company as any of them deem necessary, required, or advisable with respect to the matters set forth in these resolutions;

 

RESOLVED FURTHER, that
the Board hereby determines that all acts and deeds previously performed by the Board and other officers of Company relating to
the foregoing matters prior to the date of these resolutions are ratified, confirmed and approved in all respects as the authorized
acts and deeds of Company; and

 

RESOLVED FURTHER, that
all prior actions or resolutions of Company’s directors that are inconsistent with the foregoing are hereby amended, corrected
and restated to the extent required to be consistent herewith.

 

******************

 

EXHIBITS ATTACHED TO BOARD RESOLUTIONS:

 

		Exhibit	A               
PURCHASE AGREEMENT

 

		Exhibit	B                
NOTE

 

		Exhibit	C                
TRANSFER AGENT LETTER

 

		Exhibit	D               
SHARE ISSUANCE RESOLUTION

 

 

 

[Remainder of page intentionally left
blank]

 

 

 

 

    	 	C-4	 

     

    

 

EXHIBIT D

 

 

Share Issuance Resolution

Authorizing The Issuance Of New
Ordinary Shares In

 

SPI
Energy Co., Ltd.

 

___________________________

 

Effective November 3, 2020

 

___________________________

 

 

The undersigned, as
a qualified officer of SPI Energy Co., Ltd., a Cayman Islands corporation (“Company”), hereby certifies that
this Share Issuance Resolution is authorized by and consistent with the resolutions of Company’s board of directors (“Board
Resolutions”) regarding that certain Convertible Promissory Note in the face amount of $2,110,000.00 with an original
issuance date of November 3, 2020 (the “Note”), made by Company in favor of Streeterville Capital, LLC, a Utah
limited liability company, its successors and/or assigns (“Investor”), pursuant to that certain Securities Purchase
Agreement dated November 3, 2020, by and between Company and Investor (the “Purchase Agreement”).

 

RESOLVED, that VStock
Transfer, LLC, as transfer agent (including any successor transfer agent, the “Transfer Agent”) of shares of
Company’s Ordinary Shares, $0.0001 par value per share (“Ordinary Shares”), is authorized to rely upon:

 

		(i)	a Lender Conversion Notice substantially in the form of Exhibit A attached hereto, whether
an original or a copy (the “Lender Conversion Notice”), and

 

		(ii)	a Redemption Notice substantially in the form of Exhibit B attached hereto, whether an original
or a copy (the “Redemption Notice”),

 

in each case without
any further inquiry, to be delivered to the Transfer Agent from time to time either by Company or Investor.

 

RESOLVED FURTHER, that
the Transfer Agent is authorized to issue the number of:

 

		(i)	“Lender Conversion Shares” (representing Ordinary Shares) set forth in each Lender
Conversion Notice delivered to the Transfer Agent,

 

		(ii)	“Redemption Conversion Shares” (representing Ordinary Shares) set forth in each Redemption
Notice delivered to the Transfer Agent, and

 

		(iii)	all additional Ordinary Shares Company may subsequently instruct the Transfer Agent to issue in
connection with any of the foregoing or otherwise under the Note,

 

with such shares to be
issued in the name of Investor, or its successors, transferees, or designees, free of any restricted security legend, as permitted
by the Note.

 

RESOLVED FURTHER, that
consistent with the terms of the Purchase Agreement, the Transfer Agent is authorized and directed to immediately create a share
reserve equal to 1,500,000 shares of Company’s Ordinary Shares for the benefit of Investor (the “Share Reserve”);
provided that the Share Reserve may increase in increments of 100,000 shares from time to time by written instructions provided
to the Transfer Agent by Company or Investor as required by the Purchase Agreement and as contemplated by the Board Resolutions.

 

 

 

    	 	D-5	 

     

    

 

RESOLVED FURTHER, that
Investor and the Transfer Agent may rely upon the more general approvals and authorizations set forth in the Board Resolutions,
and the Transfer Agent is hereby authorized and directed to take those further actions approved under the Board Resolutions.

 

RESOLVED FURTHER, that
Investor must consent in writing to any reduction of the Share Reserve held by the transfer agent; provided, however, that
upon full conversion and/or full repayment of the Note, the Share Reserve will terminate thirty (30) days thereafter.

 

RESOLVED FURTHER, that
Company shall indemnify the Transfer Agent and its employees against any and all loss, liability, damage, claim or expenses incurred
by or asserted against the Transfer Agent arising from any action taken by the Transfer Agent in reliance upon this Share Issuance
Resolution.

 

Nothing in this Share
Issuance Resolution shall limit or restrict those resolutions and authorizations set forth in the Board Resolutions, including
without limitation increasing the Share Reserve from time to time required by the Purchase Agreement.

 

The undersigned officer
of Company hereby certifies that this is a true copy of Company’s Share Issuance Resolution, effective as of the date set
forth below, and that said resolution has not been in any way rescinded, annulled, or revoked, but the same is still in full force
and effect.

 

	 	_________________	________________
		Officer’s Signature	Date

 

_________________

Printed Name and Title

 

 

EXHIBITS ATTACHED TO SHARE ISSUANCE RESOLUTION:

 

Exhibit A          Lender Conversion Notice

 

Exhibit B          Redemption Notice

 

 

 

 

 

    	 	D-6	 

     

    

Exhibit
E

 

ARBITRATION PROVISIONS

 

1.       Dispute
Resolution. For purposes of this Exhibit E, the term “Claims” means any disputes, claims, demands,
causes of action, requests for injunctive relief, requests for specific performance, liabilities, damages, losses, or controversies
whatsoever arising from, related to, or connected with the transactions contemplated in the Transaction Documents and any communications
between the parties related thereto, including without limitation any claims of mutual mistake, mistake, fraud, misrepresentation,
failure of formation, failure of consideration, promissory estoppel, unconscionability, failure of condition precedent, rescission,
and any statutory claims, tort claims, contract claims, or claims to void, invalidate or terminate the Agreement (or these Arbitration
Provisions (defined below)) or any of the other Transaction Documents. For the avoidance of doubt, Investor’s pursuit of
an injunction or other Claim pursuant to these Arbitration Provisions or with a court will not later prevent Investor under the
doctrines of claim preclusion, issue preclusion, res judicata or other similar legal doctrines from pursuing other Claims in a
separate arbitration in the future. The parties to this Agreement (the “parties”) hereby agree that the Claims
may be arbitrated in one or more Arbitrations pursuant to these Arbitration Provisions (one for an injunction or injunctions and
a separate one for all other Claims). The term “Claims” specifically excludes a dispute over Calculations. The parties
to the Agreement hereby agree that the arbitration provisions set forth in this Exhibit E (“Arbitration Provisions”)
are binding on each of them. As a result, any attempt to rescind the Agreement (or these Arbitration Provisions) or declare the
Agreement (or these Arbitration Provisions) or any other Transaction Document invalid or unenforceable for any reason is subject
to these Arbitration Provisions. These Arbitration Provisions shall also survive any termination or expiration of the Agreement.
Any capitalized term not defined in these Arbitration Provisions shall have the meaning set forth in the Agreement.

 

2.       Arbitration.
Except as otherwise provided herein, all Claims must be submitted to arbitration (“Arbitration”) to be conducted
exclusively in Salt Lake County, Utah and pursuant to the terms set forth in these Arbitration Provisions. Subject to the arbitration
appeal right provided for in Paragraph 5 below (the “Appeal Right”), the parties agree that the award of the
arbitrator rendered pursuant to Paragraph 4 below (the “Arbitration Award”) shall be (a) final and binding upon
the parties, (b) the sole and exclusive remedy between them regarding any Claims, counterclaims, issues, or accountings presented
or pleaded to the arbitrator, and (c) promptly payable in United States dollars free of any tax, deduction or offset (with respect
to monetary awards). Subject to the Appeal Right, any costs or fees, including without limitation attorneys’ fees, incurred
in connection with or incident to enforcing the Arbitration Award shall, to the maximum extent permitted by law, be charged against
the party resisting such enforcement. The Arbitration Award shall include default interest (as defined or otherwise provided for
in the Note, “Default Interest”) (with respect to monetary awards) at the rate specified in the Note for Default
Interest both before and after the Arbitration Award. Judgment upon the Arbitration Award will be entered and enforced by any state
or federal court sitting in Salt Lake County, Utah.

 

3.       The
Arbitration Act. The parties hereby incorporate herein the provisions and procedures set forth in the Utah Uniform Arbitration
Act, U.C.A. § 78B-11-101 et seq. (as amended or superseded from time to time, the “Arbitration Act”).
Notwithstanding the foregoing, pursuant to, and to the maximum extent permitted by, Section 105 of the Arbitration Act, in the
event of conflict or variation between the terms of these Arbitration Provisions and the provisions of the Arbitration Act, the
terms of these Arbitration Provisions shall control and the parties hereby waive or otherwise agree to vary the effect of all requirements
of the Arbitration Act that may conflict with or vary from these Arbitration Provisions.

 

4.       Arbitration
Proceedings. Arbitration between the parties will be subject to the following:

 

4.1       Initiation
of Arbitration. Pursuant to Section 110 of the Arbitration Act, the parties agree that a party may initiate Arbitration by
giving written notice to the other party (“Arbitration Notice”) in the same manner that notice is permitted
under Section 9.9 of the Agreement; provided, however, that the Arbitration Notice may not be given by email or fax. Arbitration
will be deemed initiated as of the date that the Arbitration Notice is deemed delivered to such other party under Section 9.9 of
the Agreement (the “Service Date”). After the Service Date, information may be delivered, and notices may be
given, by email or fax pursuant to Section 9.9 of the Agreement or any other method permitted thereunder. The Arbitration Notice
must describe the nature of the controversy, the remedies sought, and the election to commence Arbitration proceedings. All Claims
in the Arbitration Notice must be pleaded consistent with the Utah Rules of Civil Procedure.

 

 

 

    	 	E-1	 

     

    

 

4.2       Selection
and Payment of Arbitrator.

 

(a) Within ten
(10) calendar days after the Service Date, Investor shall select and submit to Company the names of three (3) arbitrators that
are designated as “neutrals” or qualified arbitrators by Utah ADR Services (http://www.utahadrservices.com) (such three
(3) designated persons hereunder are referred to herein as the “Proposed Arbitrators”). For the avoidance of
doubt, each Proposed Arbitrator must be qualified as a “neutral” with Utah ADR Services. Within five (5) calendar days
after Investor has submitted to Company the names of the Proposed Arbitrators, Company must select, by written notice to Investor,
one (1) of the Proposed Arbitrators to act as the arbitrator for the parties under these Arbitration Provisions. If Company fails
to select one of the Proposed Arbitrators in writing within such 5-day period, then Investor may select the arbitrator from the
Proposed Arbitrators by providing written notice of such selection to Company.

 

(b) If Investor
fails to submit to Company the Proposed Arbitrators within ten (10) calendar days after the Service Date pursuant to subparagraph
(a) above, then Company may at any time prior to Investor so designating the Proposed Arbitrators, identify the names of three
(3) arbitrators that are designated as “neutrals” or qualified arbitrators by Utah ADR Service by written notice to
Investor. Investor may then, within five (5) calendar days after Company has submitted notice of its Proposed Arbitrators to Investor,
select, by written notice to Company, one (1) of the Proposed Arbitrators to act as the arbitrator for the parties under these
Arbitration Provisions. If Investor fails to select in writing and within such 5-day period one (1) of the three (3) Proposed Arbitrators
selected by Company, then Company may select the arbitrator from its three (3) previously selected Proposed Arbitrators by providing
written notice of such selection to Investor.

 

(c) If a Proposed
Arbitrator chosen to serve as arbitrator declines or is otherwise unable to serve as arbitrator, then the party that selected such
Proposed Arbitrator may select one (1) of the other three (3) Proposed Arbitrators within three (3) calendar days of the date the
chosen Proposed Arbitrator declines or notifies the parties he or she is unable to serve as arbitrator. If all three (3) Proposed
Arbitrators decline or are otherwise unable to serve as arbitrator, then the arbitrator selection process shall begin again in
accordance with this Paragraph 4.2.

 

(d) The date that
the Proposed Arbitrator selected pursuant to this Paragraph 4.2 agrees in writing (including via email) delivered to both parties
to serve as the arbitrator hereunder is referred to herein as the “Arbitration Commencement Date”. If an arbitrator
resigns or is unable to act during the Arbitration, a replacement arbitrator shall be chosen in accordance with this Paragraph
4.2 to continue the Arbitration. If Utah ADR Services ceases to exist or to provide a list of neutrals and there is no successor
thereto, then the arbitrator shall be selected under the then prevailing rules of the American Arbitration Association.

 

(e) Subject to
Paragraph 4.10 below, the cost of the arbitrator must be paid equally by both parties. Subject to Paragraph 4.10 below, if one
party refuses or fails to pay its portion of the arbitrator fee, then the other party can advance such unpaid amount (subject to
the accrual of Default Interest thereupon), with such amount being added to or subtracted from, as applicable, the Arbitration
Award.

 

4.3       Applicability
of Certain Utah Rules. The parties agree that the Arbitration shall be conducted generally in accordance with the Utah Rules
of Civil Procedure and the Utah Rules of Evidence. More specifically, the Utah Rules of Civil Procedure shall apply, without limitation,
to the filing of any pleadings, motions or memoranda, the conducting of discovery, and the taking of any depositions. The Utah
Rules of Evidence shall apply to any hearings, whether telephonic or in person, held by the arbitrator. Notwithstanding the foregoing,
it is the parties’ intent that the incorporation of such rules will in no event supersede these Arbitration Provisions. In
the event of any conflict between the Utah Rules of Civil Procedure or the Utah Rules of Evidence and these Arbitration Provisions,
these Arbitration Provisions shall control.

 

4.4       Answer
and Default. An answer and any counterclaims to the Arbitration Notice shall be required to be delivered to the party initiating
the Arbitration within twenty (20) calendar days after the Arbitration Commencement Date. If an answer is not delivered by the
required deadline, the arbitrator must provide written notice to the defaulting party stating that the arbitrator will enter a
default award against such party if such party does not file an answer within five (5) calendar days of receipt of such notice.
If an answer is not filed within the five (5) day extension period, the arbitrator must render a default award, consistent with
the relief requested in the Arbitration Notice, against a party that fails to submit an answer within such time period.

 

 

 

    	 	E-2	 

     

    

 

4.5       Related
Litigation. The party that delivers the Arbitration Notice to the other party shall have the option to also commence concurrent
legal proceedings with any state or federal court sitting in Salt Lake County, Utah (“Litigation Proceedings”),
subject to the following: (a) the complaint in the Litigation Proceedings is to be substantially similar to the claims set forth
in the Arbitration Notice, provided that an additional cause of action to compel arbitration will also be included therein, (b)
so long as the other party files an answer to the complaint in the Litigation Proceedings and an answer to the Arbitration Notice,
the Litigation Proceedings will be stayed pending an Arbitration Award (or Appeal Panel Award (defined below), as applicable) hereunder,
(c) if the other party fails to file an answer in the Litigation Proceedings or an answer in the Arbitration proceedings, then
the party initiating Arbitration shall be entitled to a default judgment consistent with the relief requested, to be entered in
the Litigation Proceedings, and (d) any legal or procedural issue arising under the Arbitration Act that requires a decision of
a court of competent jurisdiction may be determined in the Litigation Proceedings. Any award of the arbitrator (or of the Appeal
Panel (defined below)) may be entered in such Litigation Proceedings pursuant to the Arbitration Act.

 

4.6       Discovery.
Pursuant to Section 118(8) of the Arbitration Act, the parties agree that discovery shall be conducted as follows:

 

(a) Written discovery
will only be allowed if the likely benefits of the proposed written discovery outweigh the burden or expense thereof, and the written
discovery sought is likely to reveal information that will satisfy a specific element of a claim or defense already pleaded in
the Arbitration. The party seeking written discovery shall always have the burden of showing that all of the standards and limitations
set forth in these Arbitration Provisions are satisfied. The scope of discovery in the Arbitration proceedings shall also be limited
as follows:

 

(i)       To
facts directly connected with the transactions contemplated by the Agreement.

 

(ii)       To
facts and information that cannot be obtained from another source or in another manner that is more convenient, less burdensome
or less expensive than in the manner requested.

 

(b) No party shall
be allowed (i) more than fifteen (15) interrogatories (including discrete subparts), (ii) more than fifteen (15) requests for admission
(including discrete subparts), (iii) more than ten (10) document requests (including discrete subparts), or (iv) more than three
(3) depositions (excluding expert depositions) for a maximum of seven (7) hours per deposition. The costs associated with depositions
will be borne by the party taking the deposition. The party defending the deposition will submit a notice to the party taking the
deposition of the estimated attorneys’ fees that such party expects to incur in connection with defending the deposition.
If the party defending the deposition fails to submit an estimate of attorneys’ fees within five (5) calendar days of its
receipt of a deposition notice, then such party shall be deemed to have waived its right to the estimated attorneys’ fees.
The party taking the deposition must pay the party defending the deposition the estimated attorneys’ fees prior to taking
the deposition, unless such obligation is deemed to be waived as set forth in the immediately preceding sentence. If the party
taking the deposition believes that the estimated attorneys’ fees are unreasonable, such party may submit the issue to the
arbitrator for a decision. All depositions will be taken in Utah.

 

(c) All discovery
requests (including document production requests included in deposition notices) must be submitted in writing to the arbitrator
and the other party. The party submitting the written discovery requests must include with such discovery requests a detailed explanation
of how the proposed discovery requests satisfy the requirements of these Arbitration Provisions and the Utah Rules of Civil Procedure.
The receiving party will then be allowed, within five (5) calendar days of receiving the proposed discovery requests, to submit
to the arbitrator an estimate of the attorneys’ fees and costs associated with responding to such written discovery requests
and a written challenge to each applicable discovery request. After receipt of an estimate of attorneys’ fees and costs and/or
challenge(s) to one or more discovery requests, consistent with subparagraph (c) above, the arbitrator will within three (3) calendar
days make a finding as to the likely attorneys’ fees and costs associated with responding to the discovery requests and issue
an order that (i) requires the requesting party to prepay the attorneys’ fees and costs associated with responding to the
discovery requests, and (ii) requires the responding party to respond to the discovery requests as limited by the arbitrator within
twenty-five (25) calendar days of the arbitrator’s finding with respect to such discovery requests. If a party entitled to
submit an estimate of attorneys’ fees and costs and/or a challenge to discovery requests fails to do so within such 5-day
period, the arbitrator will make a finding that (A) there are no attorneys’ fees or costs associated with responding to such
discovery requests, and (B) the responding party must respond to such discovery requests (as may be limited by the arbitrator)
within twenty-five (25) calendar days of the arbitrator’s finding with respect to such discovery requests. Any party submitting
any written discovery requests, including without limitation interrogatories, requests for production subpoenas to a party or a
third party, or requests for admissions, must prepay the estimated attorneys’ fees and costs, before the responding party
has any obligation to produce or respond to the same, unless such obligation is deemed waived as set forth above.

 

 

 

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(d) In order to
allow a written discovery request, the arbitrator must find that the discovery request satisfies the standards set forth in these
Arbitration Provisions and the Utah Rules of Civil Procedure. The arbitrator must strictly enforce these standards. If a discovery
request does not satisfy any of the standards set forth in these Arbitration Provisions or the Utah Rules of Civil Procedure, the
arbitrator may modify such discovery request to satisfy the applicable standards, or strike such discovery request in whole or
in part.

 

(e) Each party
may submit expert reports (and rebuttals thereto), provided that such reports must be submitted within sixty (60) days of the Arbitration
Commencement Date. Each party will be allowed a maximum of two (2) experts. Expert reports must contain the following: (i) a complete
statement of all opinions the expert will offer at trial and the basis and reasons for them; (ii) the expert’s name and qualifications,
including a list of all the expert’s publications within the preceding ten (10) years, and a list of any other cases in which
the expert has testified at trial or in a deposition or prepared a report within the preceding ten (10) years; and (iii) the compensation
to be paid for the expert’s report and testimony. The parties are entitled to depose any other party’s expert witness
one (1) time for no more than four (4) hours. An expert may not testify in a party’s case-in-chief concerning any matter
not fairly disclosed in the expert report.

 

4.6       Dispositive
Motions. Each party shall have the right to submit dispositive motions pursuant Rule 12 or Rule 56 of the Utah Rules of Civil
Procedure (a “Dispositive Motion”). The party submitting the Dispositive Motion may, but is not required to,
deliver to the arbitrator and to the other party a memorandum in support (the “Memorandum in Support”) of the
Dispositive Motion. Within seven (7) calendar days of delivery of the Memorandum in Support, the other party shall deliver to the
arbitrator and to the other party a memorandum in opposition to the Memorandum in Support (the “Memorandum in Opposition”).
Within seven (7) calendar days of delivery of the Memorandum in Opposition, as applicable, the party that submitted the Memorandum
in Support shall deliver to the arbitrator and to the other party a reply memorandum to the Memorandum in Opposition (“Reply
Memorandum”). If the applicable party shall fail to deliver the Memorandum in Opposition as required above, or if the
other party fails to deliver the Reply Memorandum as required above, then the applicable party shall lose its right to so deliver
the same, and the Dispositive Motion shall proceed regardless.

 

4.7       Confidentiality.
All information disclosed by either party (or such party’s agents) during the Arbitration process (including without limitation
information disclosed during the discovery process or any Appeal (defined below)) shall be considered confidential in nature. Each
party agrees not to disclose any confidential information received from the other party (or its agents) during the Arbitration
process (including without limitation during the discovery process or any Appeal) unless (a) prior to or after the time of disclosure
such information becomes public knowledge or part of the public domain, not as a result of any inaction or action of the receiving
party or its agents, (b) such information is required by a court order, subpoena or similar legal duress to be disclosed if such
receiving party has notified the other party thereof in writing and given it a reasonable opportunity to obtain a protective order
from a court of competent jurisdiction prior to disclosure, or (c) such information is disclosed to the receiving party’s
agents, representatives and legal counsel on a need to know basis who each agree in writing not to disclose such information to
any third party. Pursuant to Section 118(5) of the Arbitration Act, the arbitrator is hereby authorized and directed to issue a
protective order to prevent the disclosure of privileged information and confidential information upon the written request of either
party.

 

4.8       Authorization;
Timing; Scheduling Order. Subject to all other portions of these Arbitration Provisions, the parties hereby authorize and direct
the arbitrator to take such actions and make such rulings as may be necessary to carry out the parties’ intent for the Arbitration
proceedings to be efficient and expeditious. Pursuant to Section 120 of the Arbitration Act, the parties hereby agree that an Arbitration
Award must be made within one hundred twenty (120) calendar days after the Arbitration Commencement Date. The arbitrator is hereby
authorized and directed to hold a scheduling conference within ten (10) calendar days after the Arbitration Commencement Date in
order to establish a scheduling order with various binding deadlines for discovery, expert testimony, and the submission of documents
by the parties to enable the arbitrator to render a decision prior to the end of such 120-day period.

 

4.9       Relief.
The arbitrator shall have the right to award or include in the Arbitration Award (or in a preliminary ruling) any relief which
the arbitrator deems proper under the circumstances, including, without limitation, specific performance and injunctive relief,
provided that the arbitrator may not award exemplary or punitive damages.

 

4.10       Fees
and Costs. As part of the Arbitration Award, the arbitrator is hereby directed to require the losing party (the party being
awarded the least amount of money by the arbitrator, which, for the avoidance of doubt, shall be determined without regard to any
statutory fines, penalties, fees, or other charges awarded to any party) to (a) pay the full amount of any unpaid costs and fees
of the Arbitration, and (b) reimburse the prevailing party for all reasonable attorneys’ fees, arbitrator costs and fees,
deposition costs, other discovery costs, and other expenses, costs or fees paid or otherwise incurred by the prevailing party in
connection with the Arbitration.

 

 

 

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5.       Arbitration
Appeal.

 

5.1       Initiation
of Appeal. Following the entry of the Arbitration Award, either party (the “Appellant”) shall have a period
of thirty (30) calendar days in which to notify the other party (the “Appellee”), in writing, that the Appellant
elects to appeal (the “Appeal”) the Arbitration Award (such notice, an “Appeal Notice”) to
a panel of arbitrators as provided in Paragraph 5.2 below. The date the Appellant delivers an Appeal Notice to the Appellee is
referred to herein as the “Appeal Date”. The Appeal Notice must be delivered to the Appellee in accordance with
the provisions of Paragraph 4.1 above with respect to delivery of an Arbitration Notice. In addition, together with delivery of
the Appeal Notice to the Appellee, the Appellant must also pay for (and provide proof of such payment to the Appellee together
with delivery of the Appeal Notice) a bond in the amount of 110% of the sum the Appellant owes to the Appellee as a result of the
Arbitration Award the Appellant is appealing. In the event an Appellant delivers an Appeal Notice to the Appellee (together with
proof of payment of the applicable bond) in compliance with the provisions of this Paragraph 5.1, the Appeal will occur as a matter
of right and, except as specifically set forth herein, will not be further conditioned. In the event a party does not deliver an
Appeal Notice (along with proof of payment of the applicable bond) to the other party within the deadline prescribed in this Paragraph
5.1, such party shall lose its right to appeal the Arbitration Award. If no party delivers an Appeal Notice (along with proof of
payment of the applicable bond) to the other party within the deadline described in this Paragraph 5.1, the Arbitration Award shall
be final. The parties acknowledge and agree that any Appeal shall be deemed part of the parties’ agreement to arbitrate for
purposes of these Arbitration Provisions and the Arbitration Act.

 

5.2       Selection
and Payment of Appeal Panel. In the event an Appellant delivers an Appeal Notice to the Appellee (together with proof of payment
of the applicable bond) in compliance with the provisions of Paragraph 5.1 above, the Appeal will be heard by a three (3) person
arbitration panel (the “Appeal Panel”).

 

(a) Within
ten (10) calendar days after the Appeal Date, the Appellee shall select and submit to the Appellant the names of five (5) arbitrators
that are designated as “neutrals” or qualified arbitrators by Utah ADR Services (http://www.utahadrservices.com) (such
five (5) designated persons hereunder are referred to herein as the “Proposed Appeal Arbitrators”). For the
avoidance of doubt, each Proposed Appeal Arbitrator must be qualified as a “neutral” with Utah ADR Services, and shall
not be the arbitrator who rendered the Arbitration Award being appealed (the “Original Arbitrator”). Within
five (5) calendar days after the Appellee has submitted to the Appellant the names of the Proposed Appeal Arbitrators, the Appellant
must select, by written notice to the Appellee, three (3) of the Proposed Appeal Arbitrators to act as the members of the Appeal
Panel. If the Appellant fails to select three (3) of the Proposed Appeal Arbitrators in writing within such 5-day period, then
the Appellee may select such three (3) arbitrators from the Proposed Appeal Arbitrators by providing written notice of such selection
to the Appellant.

 

(b) If the
Appellee fails to submit to the Appellant the names of the Proposed Appeal Arbitrators within ten (10) calendar days after the
Appeal Date pursuant to subparagraph (a) above, then the Appellant may at any time prior to the Appellee so designating the Proposed
Appeal Arbitrators, identify the names of five (5) arbitrators that are designated as “neutrals” or qualified arbitrators
by Utah ADR Service (none of whom may be the Original Arbitrator) by written notice to the Appellee. The Appellee may then, within
five (5) calendar days after the Appellant has submitted notice of its selected arbitrators to the Appellee, select, by written
notice to the Appellant, three (3) of such selected arbitrators to serve on the Appeal Panel. If the Appellee fails to select in
writing within such 5-day period three (3) of the arbitrators selected by the Appellant to serve as the members of the Appeal Panel,
then the Appellant may select the three (3) members of the Appeal Panel from the Appellant’s list of five (5) arbitrators
by providing written notice of such selection to the Appellee.

 

(c) If a selected
Proposed Appeal Arbitrator declines or is otherwise unable to serve, then the party that selected such Proposed Appeal Arbitrator
may select one (1) of the other five (5) designated Proposed Appeal Arbitrators within three (3) calendar days of the date a chosen
Proposed Appeal Arbitrator declines or notifies the parties he or she is unable to serve as an arbitrator. If at least three (3)
of the five (5) designated Proposed Appeal Arbitrators decline or are otherwise unable to serve, then the Proposed Appeal Arbitrator
selection process shall begin again in accordance with this Paragraph 5.2; provided, however, that any Proposed Appeal Arbitrators
who have already agreed to serve shall remain on the Appeal Panel.

 

(d)The date
that all three (3) Proposed Appeal Arbitrators selected pursuant to this Paragraph 5.2 agree in writing (including via email) delivered
to both the Appellant and the Appellee to serve as members of the Appeal Panel hereunder is referred to herein as the “Appeal
Commencement Date”. No later than five (5) calendar days after the Appeal Commencement Date, the Appellee shall designate
in writing (including via email) to the Appellant and the Appeal Panel the name of one (1) of the three (3) members of the Appeal
Panel to serve as the lead arbitrator in the Appeal proceedings. Each member of the Appeal Panel shall be deemed an arbitrator
for purposes of these Arbitration Provisions and the Arbitration Act, provided that, in conducting the Appeal, the Appeal Panel
may only act or make determinations upon the approval or vote of no less than the majority vote of its members, as announced or
communicated by the lead arbitrator on the Appeal Panel. If an arbitrator on the Appeal Panel
ceases or is unable to act during the Appeal proceedings, a replacement arbitrator shall be chosen in accordance with Paragraph
5.2 above to continue the Appeal as a member of the Appeal Panel. If Utah ADR Services ceases to exist or to provide a list
of neutrals, then the arbitrators for the Appeal Panel shall be selected under the then prevailing rules of the American Arbitration
Association.

 

 

 

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(d) Subject
to Paragraph 5.7 below, the cost of the Appeal Panel must be paid entirely by the Appellant.

 

5.3       Appeal
Procedure. The Appeal will be deemed an appeal of the entire Arbitration Award. In conducting the Appeal, the Appeal Panel
shall conduct a de novo review of all Claims described or otherwise set forth in the Arbitration Notice. Subject to the foregoing
and all other provisions of this Paragraph 5, the Appeal Panel shall conduct the Appeal in a manner the Appeal Panel considers
appropriate for a fair and expeditious disposition of the Appeal, may hold one or more hearings and permit oral argument, and may
review all previous evidence and discovery, together with all briefs, pleadings and other documents filed with the Original Arbitrator
(as well as any documents filed with the Appeal Panel pursuant to Paragraph 5.4(a) below). Notwithstanding the foregoing, in connection
with the Appeal, the Appeal Panel shall not permit the parties to conduct any additional discovery or raise any new Claims to be
arbitrated, shall not permit new witnesses or affidavits, and shall not base any of its findings or determinations on the Original
Arbitrator’s findings or the Arbitration Award.

 

5.4       Timing.

 

(a)       Within
seven (7) calendar days of the Appeal Commencement Date, the Appellant (i) shall deliver or cause to be delivered to the Appeal
Panel copies of the Appeal Notice, all discovery conducted in connection with the Arbitration, and all briefs, pleadings and other
documents filed with the Original Arbitrator (which material Appellee shall have the right to review and supplement if necessary),
and (ii) may, but is not required to, deliver to the Appeal Panel and to the Appellee a Memorandum in Support of the Appellant’s
arguments concerning or position with respect to all Claims, counterclaims, issues, or accountings presented or pleaded in the
Arbitration. Within seven (7) calendar days of the Appellant’s delivery of the Memorandum in Support, as applicable, the
Appellee shall deliver to the Appeal Panel and to the Appellant a Memorandum in Opposition to the Memorandum in Support. Within
seven (7) calendar days of the Appellee’s delivery of the Memorandum in Opposition, as applicable, the Appellant shall deliver
to the Appeal Panel and to the Appellee a Reply Memorandum to the Memorandum in Opposition. If the Appellant shall fail to substantially
comply with the requirements of clause (i) of this subparagraph (a), the Appellant shall lose its right to appeal the Arbitration
Award, and the Arbitration Award shall be final. If the Appellee shall fail to deliver the Memorandum in Opposition as required
above, or if the Appellant shall fail to deliver the Reply Memorandum as required above, then the Appellee or the Appellant, as
the case may be, shall lose its right to so deliver the same, and the Appeal shall proceed regardless.

 

(b)        Subject
to subparagraph (a) above, the parties hereby agree that the Appeal must be heard by the Appeal Panel within thirty (30) calendar
days of the Appeal Commencement Date, and that the Appeal Panel must render its decision within thirty (30) calendar days after
the Appeal is heard (and in no event later than sixty (60) calendar days after the Appeal Commencement Date).

 

5.5       Appeal
Panel Award. The Appeal Panel shall issue its decision (the “Appeal Panel Award”) through the lead arbitrator
on the Appeal Panel. Notwithstanding any other provision contained herein, the Appeal Panel Award shall (a) supersede in its entirety
and make of no further force or effect the Arbitration Award (provided that any protective orders issued by the Original Arbitrator
shall remain in full force and effect), (b) be final and binding upon the parties, with no further rights of appeal, (c) be the
sole and exclusive remedy between the parties regarding any Claims, counterclaims, issues, or accountings presented or pleaded
in the Arbitration, and (d) be promptly payable in United States dollars free of any tax, deduction or offset (with respect to
monetary awards). Any costs or fees, including without limitation attorneys’ fees, incurred in connection with or incident
to enforcing the Appeal Panel Award shall, to the maximum extent permitted by law, be charged against the party resisting such
enforcement. The Appeal Panel Award shall include Default Interest (with respect to monetary awards) at the rate specified in the
Note for Default Interest both before and after the Arbitration Award. Judgment upon the Appeal Panel Award will be entered and
enforced by a state or federal court sitting in Salt Lake County, Utah.

 

5.6       Relief.
The Appeal Panel shall have the right to award or include in the Appeal Panel Award any relief which the Appeal Panel deems
proper under the circumstances, including, without limitation, specific performance and injunctive relief, provided that the Appeal
Panel may not award exemplary or punitive damages.

 

 

 

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5.7       Fees
and Costs. As part of the Appeal Panel Award, the Appeal Panel is hereby directed to require the losing party (the party being
awarded the least amount of money by the arbitrator, which, for the avoidance of doubt, shall be determined without regard to any
statutory fines, penalties, fees, or other charges awarded to any party) to (a) pay the full amount of any unpaid costs and fees
of the Arbitration and the Appeal Panel, and (b) reimburse the prevailing party (the party being awarded the most amount of money
by the Appeal Panel, which, for the avoidance of doubt, shall be determined without regard to any statutory fines, penalties, fees,
or other charges awarded to any part) the reasonable attorneys’ fees, arbitrator and Appeal Panel costs and fees, deposition
costs, other discovery costs, and other expenses, costs or fees paid or otherwise incurred by the prevailing party in connection
with the Arbitration (including without limitation in connection with the Appeal).

 

6.        Miscellaneous.

 

6.1       Severability.
If any part of these Arbitration Provisions is found to violate or be illegal under applicable law, then such provision shall
be modified to the minimum extent necessary to make such provision enforceable under applicable law, and the remainder of the Arbitration
Provisions shall remain unaffected and in full force and effect.

 

6.2       Governing
Law. These Arbitration Provisions shall be governed by the laws of the State of Utah without regard to the conflict of laws
principles therein.

 

6.3       Interpretation.
The headings of these Arbitration Provisions are for convenience of reference only and shall not form part of, or affect the interpretation
of, these Arbitration Provisions.

 

6.4       Waiver.
No waiver of any provision of these Arbitration Provisions shall be effective unless it is in the form of a writing signed by the
party granting the waiver.

 

6.5       Time
is of the Essence. Time is expressly made of the essence with respect to each and every provision of these Arbitration Provisions.

 

 

 

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