Document:

Exhibit 10.3

 

Contract for consulting services regarding the preparation of public funding applications

  

concluded on 01. February 2017 between:

 

"My Size Inc."

 

Address : _______

 

Business Registration Number ......................,

 

hereinafter the “Orderer”

 

represented by: 

 

Mr. Ronen Luzon, CEO

 

(the Orderer is in an establishment
process to be completed) 

 

and

 

PNO Polska Sp. z o.o.

 

headquartered in Warsaw,

 

Al. Jerozolimskie 101/11, 02-011,

 

listed in the Register of Entrepreneurs
of the National Court Register in the District Court for the Capital City of Warsaw, XIII Economic Division, under the number 0000226635,
a VAT payer, NIP Business Registration Number 107-00-19-815,

 

hereinafter “Contractor”
or “PNO”

 

represented by:

 

Tomasz J. Hoffmann

 

hereinafter also the “Parties.”

 

     

     

    

 

§ 1 SUBJECT OF THE CONTRACT

 

The subject of the Contract is the provision
of consulting services by PNO regarding the preparation of funding applications for projects which are going to be presented by
the Orderer and will be assessed by PNO as eligible to apply for funding. Parties are aiming to receive 80% grant for CAPEX and
cost of establishing a R&D centre for the Orderer to be conducted by a Polish entity in Poland

 

§ 2 SCOPE OF THE TASKS

 

	1.	In the course of the cooperation PNO shall carry out the tasks required for preparation of a high-quality complete application for UE grants, that will be submitted within the set time limit to the relevant Implementing Institution. The tasks will also include the following:

 

	●	Preparation of and managing the application process;

 

	●	if the feasibility study (business plan) is needed, PNO shall prepare the feasibility study (business plan) for the application purposes on the basis of financial and technical information (consisting of i.a. analysis of the investment impact on the environment and essential technical data) provided by Orderer 

 

	●	assisting the Orderer in the course of preparing correspondence to the Implementing Institutions until the information of the EU grant being awarded is received;

 

	●	assistance at the stage of signing the EU grant contract and consultancy as regards the proposed terms of said contract proposed (in the case of a positive decision and awarding the grant);

 

	●	managing the grant compliance during entire project realisation

 

	2.	Services provided by the Contractor shall be carried out in Polish and English. 

 

§ 3 REMUNERATION AND PAYMENTS

 

	1.	For the satisfactory performance of the services determined in § 1 and in the scope determined in § 2, PNO Consultants shall receive from the Orderer remuneration in the amount of: 

 

Fixed fee: 10’000,00 EUR
(say: ten thousand) for the first project, and extra 5’000,00 EUR (say: five thousand) for the each new following project
if ordered by Orderer;

 

Success fee: the amount of the
success fee remuneration will be calculated as 10% on the subsidised aid;

 

    	 	2	 

     

    

 

	2.	Remuneration described in § 3 pt. 1 will be paid to PNO, to provided bank account number within 14 days after properly issued VAT invoice in the following way: 

 

	 	a)	Remuneration for the preparation of the application documentation (“fixed fee”) will be payable in two instalments:

 

	 	a.	first one amounting 5’000 EUR after signing this agreement at signing

 

	 	b.	second one amounting 5’000 EUR after submitting the first application 

 

Remuneration defined as “success
fee” will be payable as follows :

 

(1) 55,000 Euro on the date
of receiving a positive decision from the grant managing agency for example by publication of grantor decision on its website;

 

(2) the remaining success fee
- minus the amount of 181,000 EURO – shall be paid by 36 equal consecutive monthly instalments , the first of which shall
be paid 7 days after the date of receiving the first installments of the grant.

 

	 	b)	Remuneration defined as “monthly fee” will be payable for the each single project, at the end of each month between start and end of project realisation. 

 

§4 GENERAL RULES REGARDING THE
REMUNERATION

 

	1.	Remuneration in the form of a success fee is payable to PNO Consultants only if the Orderer actually receives the grant after obtaining a decision regarding the grant from the responsible institution. 

 

	2.	If the application will be left without consideration by the appropriate institution because of the formal error at the stage of preparing the application by the Contractor, PNO will prepare for the Orderer without fixed fee a new application for the purpose of renewed submitting at next application round announced for the appropriate Programme, only after it has been consulted with the Orderer. 

 

	3.	If, the application will not be submitted due to the reasons attributed to the Orderer, or should the Orderer decide to withdraw the grant application after it has been submitted or assessed by the relevant Institution, the Orderer will reimburse PNO back all actual out of pocket costs incurred by the contractor, supported by documentation. The costs for the service will not exceed the amount of 49.000 PLN (say: forty nine thousand PLN).

 

	4.	The invoices issued by PNO Consultants are payable within 14 (say: fourteen) days from the date of receipt by the Orderer of a properly issued VAT invoice. The Orderer shall immediately inform PNO Consultants of the decision regarding the granting of external funding (in a written form). 

 

    	 	3	 

     

    

 

	5.	If it is necessary to prepare expert opinions for the sake of application documentation (e.g. analysis of the investment impact on the environment, opinion on innovation, essential technical data, etc.), their costs shall be covered by the Orderer. Such costs will be agreed with the Ordered.

 

	6.	Remuneration due to the Contractor shall be increased by due VAT. 

 

	7.	PNO reserves the right to calculate statutory interest for the delay in remuneration payment by the Orderer.

 

	8.	All payments shall be made in PLN. Amounts in other currency shall be converted to PLN in accordance with the average exchange rate of the Polish National Bank, valid on the day the VAT invoice is issued.

 

§ 5 ADDITIONAL PROVISIONS

 

	1.	The Contractor shall carry out the tasks entrusted to him by the Orderer with due diligence and care, using his knowledge and professional skills as well as practical experience. 

 

	2.	The Orderer shall provide, as instructed by the Contractor, all information and/or documents, necessary for the satisfactory performance of this Contract by the Contractor. The Orderer shall provide services on the basis of the above-mentioned information and documents and the answers provided by the Orderer to Contractor’s questions. The Contractor shall not bear any responsibility for the damage resulting from the Orderer’s failure to provide such information, the provision of information contrary to the facts or in any other way defective.

 

	3.	The Orderer shall provide copies of all correspondence obtained from or sent to the Implementing Institution at the Application Stage.

 

	4.	In order to maintain high quality services and engagement of the parties in the satisfactory performance of this contract, each party shall inform the other party of each incident of negligence or breach of the provisions hereof within a week from its occurrence.

 

	5.	On the event of any future circumstances, which are not covered by the present contract fully or in part, the Parties shall undertake joint actions in order to find a solution which will in the best possible way fit the nature, period and goals of the present contract.

 

    	 	4	 

     

    

 

	6.	Final version of the application with attachments prepared by the Contractor shall be sent by the Contractor to the Orderer by means of electronic communication. The Orderer shall confirm reception and, should the need arise, verification of the final documentation in writing.

 

	7.	In order to improve the communication during the project execution, the Orderer shall designate a person to coordinate the project on his part (Project Coordinator). The Project Coordinator together with the Project Manager on the part of the Contractor shall manage the work and human resources on the part of the Orderer, conduct teleconferences supervising the course and progress of the Project implementation.

 

§ 6 CONFIDENTIALITY CLAUSE

 

	1.	PNO agrees that all information disclosed by the Orderer to PNO whether oral, visual or in writing, including by way of illustration but not limited to, all specifications, formulas, prototypes, computer programs and all records, data, ideas, methods, techniques, processes and projections, plans, marketing information, materials, financial statements, memoranda, analyses, notes, legal documents and other data and information (in whatever form), as well as improvements, patents (whether pending or duly registered) and any know-how related thereto, relating to the Purpose and information learned by PNO from the Orderer that relates to the Purpose, or third-party confidential information disclosed to PNO by the Orderer. The terms and conditions of this Section 1 will be considered and referred to collectively in this Agreement as "Confidential Information". Notwithstanding, Confidential Information, shall not include information that: (i) is now or subsequently becomes generally available in the public domain through no fault or breach on the part of PNO; (ii) PNO can demonstrate in its records to have had rightfully in its possession prior to disclosure of the Confidential Information by the Orderer to PNO; (iii) PNO rightfully obtains from a third party who has the right to transfer or disclose it, without default or breach of this Agreement; or (iv) is disclosed pursuant to the order or requirement of a court, administrative agency, or other governmental body; provided, however, that PNO shall make the best effort to provide prompt notice of such court order or requirement to the Orderer to enable the Orderer to seek a protective order or otherwise prevent or restrict such disclosure.

 

	2.	Non-disclosure and Non-use of Confidential Information. PNO agrees to accept and use Confidential Information solely for the Purpose. PNO will not disclose, publish, or disseminate Confidential Information to any third party other than those of its, executive officers, directors, accountants, attorneys and employees with a need to know (“Representatives”), and PNO agrees to take reasonable precautions to prevent any unauthorized use, disclosure, publication, or dissemination of Confidential Information and ensures that such Representatives fully perform the duties and obligations hereunder and to this end shall obtain appropriate written agreements with such Representatives, but in any event PNO agrees to be responsible for any use or disclosure of Confidential Information of any of its said Representatives. PNO agrees not to use Confidential Information otherwise for its own or any third party's benefit without the prior written approval of an authorized representative of the Orderer in each instance. In performing its duties and obligations hereunder, PNO agrees to use at least the same degree of care as it does with respect to its own confidential information of like importance but, in any event, at least reasonable care. Further, PNO agrees that it shall not make any copies of the Confidential Information on any type of media, without the prior express written permission of the authorized representative of the Orderer.

 

    	 	5	 

     

    

 

§ 7 NOTICES

 

	1.	All notices or declarations affecting the term of this Contract shall be delivered via registered mail or courier, and the exchange of other information associated with the satisfactory performance hereof shall be in writing and via electronic mail.

 

	2.	The Contractor shall designate persons responsible for the exchange of information associated with the execution hereof who are responsible for the technical coordination of the activities in question. 

 

	3.	Current correspondence may be exchanged via e-mail and fax.

 

§ 8 CHANGES OF THE CONTRACT

 

Changes of the contract require written
form under clause of nullity.

  

§ 9 COPIES OF THE CONTRACT

 

The Contract has been made in two counterparts,
one for each Party.

  

§ 10 FINAL PROVISIONS

 

	1.	In all matters not settled herein the Polish Civil Code provisions shall apply.

 

	2.	The present contract may be terminated with a 3-month notice period.

 

	3.	Any disputes that may arise out of the interpretation or performance of the provisions hereof or in connection with the Contract shall be submitted by the parties for the resolution by the common court having jurisdiction over the Contractor’s seat.

 

& 11 Resigning the Contract

 

	1.	The Contractor is aware that the Orderer was not established yet, and therefore, immediately after the said establishment shall be completed, the Orderer and the Contractor shall resign this Contract once again. 

 

 

	Orderer 	Contractor

 

 

6Exhibit 10.4

 

SECURITIES PURCHASE AGREEMENT

 

This Securities Purchase Agreement (this “Agreement”)
is dated as February 13 2017, between My Size, Inc. a Delaware corporation (the “Company”), and each purchaser
identified on the signature pages hereto (each, including its successors and assigns, a “Purchaser” and
collectively, the “Purchasers”).

 

WHEREAS, subject to the terms and conditions set forth
in this Agreement and pursuant to an effective registration statement under the Securities Act of 1933, as amended (the “Securities
Act”) as to the Shares, the Company desires to issue and sell to each Purchaser, and each Purchaser, severally and not
jointly, desires to purchase from the Company, securities of the Company as more fully described in this Agreement.

 

NOW, THEREFORE, IN CONSIDERATION of the mutual covenants
contained in this Agreement, and for other good and valuable consideration the receipt and adequacy of which are hereby acknowledged,
the Company and each Purchaser agrees as follows:

 

ARTICLE I.

DEFINITIONS

 

1.1        Definitions. 
In addition to the terms defined elsewhere in this Agreement, for all purposes of this Agreement, the following terms have the
meanings set forth in this Section 1.1:

 

“Acquiring Person” shall have the
meaning ascribed to such term in Section 4.5.

 

“Action” shall have the meaning
ascribed to such term in Section 3.1(j).

 

“Affiliate” means any Person
that, directly or indirectly through one or more intermediaries, controls or is controlled by or is under common control with a
Person as such terms are used in and construed under Rule 405 under the Securities Act.

 

“Board of Directors” means
the board of directors of the Company.

 

“Business Day” means any
day except any Saturday, any Sunday, any day which is a federal legal holiday in the United States or any day on which banking
institutions in the State of New York are authorized or required by law or other governmental action to close.

 

“Closing” means the closing
of the purchase and sale of the Shares pursuant to Section 2.1.

  

“Closing Date” means the
Trading Day on which all of the Transaction Documents have been executed and delivered by the applicable parties thereto, and all
conditions precedent to (i) the Purchaser’s obligations to pay the Subscription Amount and (ii) the Company’s
obligations to deliver the Shares, in each case, have been satisfied or waived, but in no event later than the third Trading Day
following the date hereof.

 

“Commission” means the
United States Securities and Exchange Commission.

 

“Common Stock” means the
common stock of the Company, par value $0.001 per share, and any other class of securities into which such securities may hereafter
be reclassified or changed.

  

“Company Counsel” means Sheppard
Mullin Richter & Hampton LLC with offices located at 30 Rockefeller Plaza 39th Floor, New York, NY 10012.

 

“Exchange Act” means the
Securities Exchange Act of 1934, as amended, and the rules and regulations promulgated thereunder.

 

“GAAP” shall have the meaning
ascribed to such term in Section 3.1(h).

 

     

     

    

 

“Insolvent” shall have the
meaning ascribed to such term in Section 3.1(i)(ii).

 

“Intellectual Property Rights”
shall have the meaning ascribed to such term in Section 3.1(o).

 

“Irrevocable Transfer Agent Instructions”
shall have the meaning ascribed to such term in Section 2.2(a)(ii).

 

“Liens” means a lien, charge,
security interest, encumbrance, right of first refusal, preemptive right or other restriction.

 

“Material Adverse Effect”
shall have the meaning assigned to such term in Section 3.1(b).

 

“Material Permits” shall
have the meaning ascribed to such term in Section 3.1(m).

 

“Per Share Purchase Price”
equals $1.00, subject to adjustment for reverse and forward stock splits, stock dividends, stock combinations and other similar
transactions of the Common Stock that occur after the date of this Agreement.

 

“Person” means an individual
or corporation, partnership, trust, incorporated or unincorporated association, joint venture, limited liability company, joint
stock company, government (or an agency or subdivision thereof) or other entity of any kind.

 

“Proceeding” means an action,
claim, suit, investigation or proceeding (including, without limitation, an informal investigation or partial proceeding, such
as a deposition), whether commenced or threatened.

  

“Purchaser Party” shall have
the meaning ascribed to such term in Section 4.8.

 

“Registration Statement”
means the registration statement to be filed with the Commission registering the Shares being sold herein to the Purchaser.

 

“Required Approvals” shall
have the meaning ascribed to such term in Section 3.1(e).

 

“Rule 144” means Rule 144
promulgated by the Commission pursuant to the Securities Act, as such Rule may be amended from time to time, or any similar
rule or regulation hereafter adopted by the Commission having substantially the same effect as such Rule.

  

“SEC Reports” shall have
the meaning ascribed to such term in Section 3.1(h). 

 

“Securities” means the Shares
of Common Stock.

 

“Securities Act” means
the Securities Act of 1933, as amended, and the rules and regulations promulgated thereunder.

 

“Shares” means the shares
of Common Stock issued or issuable to each Purchaser pursuant to this Agreement.

 

“Short Sales” means all “short
sales” as defined in Rule 200 of Regulation SHO under the Exchange Act (but shall not be deemed to include the location
and/or reservation of borrowable shares of Common Stock).

 

    	 	- 2 -	 

     

    

 

“Subscription Amount”
means, as to each Purchaser, the aggregate amount to be paid for Shares, as specified below such Purchaser’s name on the
signature pages of this Agreement and next to the heading “Subscription Amount,” in United States dollars and
in immediately available funds.

 

“Subsidiary” means any subsidiary
of the Company, and shall, where applicable, also include any direct or indirect subsidiary of the Company formed or acquired after
the date hereof.

 

“Termination Date” shall
have the meaning ascribed to such term in Section 5.1.

 

“Trading Day” means a day
on which the principal Trading Market is open for trading.

 

“Trading Market” means any
of the following markets or exchanges on which the Common Stock is listed or quoted for trading on the date in question: the NYSE
AMEX, the Nasdaq Capital Market, the Nasdaq Global Market, the Nasdaq Global Select Market, the New York Stock Exchange or the
OTC Bulletin Board (or any successors to any of the foregoing).

 

“Transaction Documents” means
this Agreement and any other documents or agreements executed in connection with the transactions contemplated hereunder.

 

“Transaction Warrants”
means the purchase warrants delivered to the Purchasers at the Closing in accordance with Section _2.2 hereof.

 

“Transfer Agent” means VStock
Transfer LLC, the current transfer agent of the Company, with a mailing address of 18 Lafayette Place, Woodmere, NY 11598 and any
successor transfer agent of the Company.

 

 

ARTICLE II.

PURCHASE AND SALE

 

2.1        Closing. 
On the Closing Date, upon the terms and subject to the conditions set forth herein, substantially concurrent with the execution
and delivery of this Agreement by the parties hereto, the Company agrees to sell, and each Purchaser, severally and not jointly,
agrees to purchase that number of Shares specified below such Purchaser’s name on the signature pages of this Agreement. 
On the Closing Date, each Purchaser shall deliver to the Company via wire transfer, immediately available funds equal to its Subscription
Amount as set forth on the signature page hereto executed by each Purchaser and the Company shall deliver to each Purchaser
such number of Shares as determined pursuant to Section 2.2(a), and the Company and each Purchaser shall deliver the other items
set forth in Section 2.2 deliverable at the Closing.  Upon satisfaction of the covenants and conditions set forth in
Sections 2.2 and 2.3, the Closing shall occur at the offices of Company Counsel or such other location as the parties shall mutually
agree.

 

2.2        Deliveries.

 

(a)          On
or prior to the Closing Date, the Company shall deliver or cause to be delivered to each Purchaser this Agreement and each of the
other Transaction Documents to which the Company is a party, each duly executed by the Company;

 

(b)          On
or prior to the Closing Date, each Purchaser shall deliver or cause to be delivered to the Company the following:

 

(i)        this
Agreement duly executed by such Purchaser; and

 

    	 	- 3 -	 

     

    

 

(ii)        such
Purchaser’s Subscription Amount by wire transfer to the account as specified in writing by the Company.

 

 (iii)       a Transaction Warrant registered in the name of Purchaser to purchase 250,000 (Two Hundred and Fiifty Thousand) shares of Common Stock of the Company, with an exercise price of $3.50 per share, exercisable for a period of 10 month from the closing Date;

 

2.3        Closing
Conditions.

 

(a)          The
obligations of the Company hereunder in connection with the Closing are subject to the following conditions being met:

 

(i)       the
accuracy in all material respects on the Closing Date of the representations and warranties of each Purchaser contained herein
(unless as of a specific date therein, which shall be accurate as of such date);

 

(ii)      all
obligations, covenants and agreements of each Purchaser required to be performed at or prior to the Closing Date shall have been
performed; and

 

(iii)     the
delivery by each Purchaser of the items set forth in Section 2.2(b) of this Agreement.

 

(b)          The
respective obligations of each Purchaser hereunder in connection with the Closing are subject to the following conditions being
met:

 

(i)       the
accuracy in all material respects when made and on the Closing Date of the representations and warranties of the Company contained
herein (unless as of a specific date therein, which shall be accurate as of such date);

 

(ii)     all
obligations, covenants and agreements of the Company required to be performed at or prior to the Closing Date shall have been performed,
including without limitation the issuance of all Shares prior to the Closing as required by the Transaction Documents;

 

(iii)    the
delivery by the Company of the items set forth in Section 2.2(a) of this Agreement;

 

(iv)     there
shall have been no event, change or development that has had, or would reasonably be expected to have, a Material Adverse Effect
with respect to the Company since the date hereof;

 

(v)     no
statute, rule, regulation, executive order, decree, ruling or injunction shall have been enacted, entered, promulgated or endorsed
by any court or governmental authority that prohibits the consummation of any of the transactions contemplated by the Transaction
Documents, and no Proceedings shall be in progress or pending by any Person that seeks to enjoin, prohibit or otherwise adversely
affect any of the transactions contemplated by the Transaction Documents;

 

    	 	- 4 -	 

     

    

 

(vi)      the
Shares shall be designated for listing or quotation (as the case may be) on the Company’s principal Trading Market; and

 

(vii)     from
the date hereof to the Closing Date, trading in the Common Stock shall not have been suspended by the Commission or the Company’s
principal Trading Market, and, at any time prior to the Closing Date, trading in securities generally as reported by Bloomberg
L.P. shall not have been suspended or limited, or minimum prices shall not have been established on securities whose trades are
reported by such service, or on any Trading Market, nor shall a banking moratorium have been declared either by the United States
or New York State authorities nor shall there have occurred any national or international calamity of such magnitude in its effect
on, or any material adverse change in, any financial market which, in each case, in the reasonable judgment of each Purchaser,
makes it impracticable or inadvisable to purchase the Shares at the Closing.

 

 

ARTICLE III.

REPRESENTATIONS AND WARRANTIES

 

3.1        Representations
and Warranties of the Company.  the Company hereby makes the following representations and warranties to each Purchaser:

 

(a)          Subsidiaries. 
All of the direct and indirect Subsidiaries of the Company, and the place and form of organization of each Subsidiary are as set
forth in the SEC Reports.  Except for the capital stock of, or other equity or voting interests in, those Subsidiaries set
forth in the SEC Reports, the Company does not own, directly or indirectly, any capital stock of, or other equity or voting interests
in, any Person.

 

(b)          Organization
and Qualification.  The Company and each of the Subsidiaries is an entity duly incorporated or otherwise organized, validly
existing and in good standing under the laws of the jurisdiction of its incorporation or organization, with the requisite power
and authority to own and use its properties and assets and to carry on its business as currently conducted.  Each of the Company
and the Subsidiaries is duly qualified to conduct business and is in good standing as a foreign corporation or other entity in
each jurisdiction in which the nature of the business conducted or property owned by it makes such qualification necessary, except
where the failure to be so qualified or in good standing, as the case may be, could not have or reasonably be expected to result
in: (i) a material adverse effect on the legality, validity or enforceability of any Transaction Document, (ii) a material
adverse effect on the results of operations, assets, business, prospects or condition (financial or otherwise) of the Company and
the Subsidiaries, taken as a whole, or (iii) a material adverse effect on the Company’s ability to perform in any material
respect on a timely basis its obligations under any Transaction Document (any of (i), (ii) or (iii), a “Material
Adverse Effect”) and no Proceeding has been instituted in any such jurisdiction revoking, limiting or curtailing or seeking
to revoke, limit or curtail such power and authority or qualification.

 

(c)           Authorization;
Enforcement.  The Company has the requisite corporate power and authority to enter into and to consummate the transactions
contemplated by each of the Transaction Documents and otherwise to carry out its obligations hereunder and thereunder.  The
execution and delivery of each of the Transaction Documents by the Company and the consummation by it of the transactions contemplated
hereby and thereby have been duly authorized by all necessary action on the part of the Company and no further action or corporate
proceeding is required by the Company, the Board of Directors or the Company’s stockholders in connection therewith other
than in connection with the Required Approvals.  This Agreement has been duly and validly executed and delivered by the Company
and is a valid and binding obligation of the Company, enforceable against it in accordance with its terms, except (i) as limited
by general equitable principles and applicable bankruptcy, insolvency, reorganization, moratorium and other laws of general application
affecting enforcement of creditors’ rights generally, (ii) as limited by laws relating to the availability of specific
performance, injunctive relief or other equitable remedies and (iii) insofar as indemnification and contribution provisions
may be limited by applicable law. Each Transaction Document other than this Agreement to which the Company is a party has been
(or upon delivery will have been) duly executed by the Company and, when delivered in accordance with the terms hereof and thereof,
will constitute the valid and binding obligation of the Company enforceable against the Company in accordance with its terms, except
(i) as limited by general equitable principles and applicable bankruptcy, insolvency, reorganization, moratorium and other
laws of general application affecting enforcement of creditors’ rights generally, (ii) as limited by laws relating to
the availability of specific performance, injunctive relief or other equitable remedies and (iii) insofar as indemnification
and contribution provisions may be limited by applicable law.

 

    	 	- 5 -	 

     

    

 

(d)          No
Conflicts.  The execution, delivery and performance by the Company of this Agreement and the other Transaction Documents
to which it is a party, the issuance and sale of the Shares and the consummation by it of the transactions contemplated hereby
and thereby do not and will not (i) conflict with or violate any provision of the Company’s or any Subsidiary’s
certificate or articles of incorporation, bylaws or other organizational or charter documents, or (ii) conflict with, or constitute
a default or breach (or an event that with notice or lapse of time or both would become a default or breach) under, result in the
creation of any Lien upon any of the properties or assets of the Company or any Subsidiary, or give to others any rights of termination,
amendment, acceleration or cancellation (with or without notice, lapse of time or both) of, any agreement, credit facility, debt
or other instrument (evidencing a Company or Subsidiary debt or otherwise), certificate, authorization, permit, license, or other
understanding to which the Company or any Subsidiary is a party or by which any property or asset of the Company or any Subsidiary is
bound or affected, or (iii) subject to the Required Approvals, conflict with or result in a violation of any law, rule, regulation,
order, judgment, injunction, decree or other restriction of any court or governmental authority to which the Company or a Subsidiary
is subject (including federal and state securities laws and regulations), or by which any property or asset of the Company or a
Subsidiary is bound or affected; except in the case of each of clauses (ii) and (iii), such as could not have or reasonably
be expected to result in a Material Adverse Effect.

 

(e)           Filings,
Consents and Approvals.  The Company is not required to obtain any consent, waiver, authorization or order of, give any
notice to, or make any filing or registration with, any court or other federal, state, local or other governmental authority or
other Person, including any Trading Market or any shareholder approval under the provisions of the Company’s principal Trading
Market, in connection with the execution, delivery and performance by the Company of the Transaction Documents, other than: (i) the
filings required pursuant to Section 4.3 of this Agreement, (ii) the filing with the Commission of the Registration Statement
(iii) application(s) to each applicable Trading Market for the listing of the Shares for trading thereon in the time
and manner required thereby, and (iv) such filings as are required to be made under applicable state securities laws (collectively,
the “Required Approvals”).

 

(f)       Issuance
of the Shares; Registration.  The Shares and Transaction Warrants are duly authorized and, when issued and paid for in
accordance with the applicable Transaction Documents, will be duly and validly issued, fully paid and nonassessable, free and clear
of all Liens imposed by the Company . The Company has reserved from its duly authorized capital stock the maximum number of shares
of Common Stock for issuance of the Shares and the Transaction Warrants. An S-3 or S-1 Registration Statement will be filed within
30 days of the date of this Agreement. At the time the Registration Statement and any amendments thereto became effective, at the
date of this Agreement and at the Closing Date, the Registration Statement and any amendments thereto conformed and will conform
in all material respects to the requirements of the Securities Act and did not and will not contain any untrue statement of a material
fact or omit to state any material fact required to be stated therein or necessary to make the statements therein not misleading. 
The issuance of the Shares pursuant to this Agreement will be registered pursuant to the Registration Statement.

 

    	 	- 6 -	 

     

    

 

(g)           Capitalization. 
The capitalization of the Company (including the authorized capital stock of the Company, the issued and outstanding shares of
capital stock of the Company and the number of shares of capital stock of the Company is 17,405,359 . The Company has not issued
any capital stock since its most recently filed periodic report under the Exchange Act, other than pursuant to the exercise of
employee stock options under the Company’s stock option plans and pursuant to the conversion and/or exercise of Common Stock
Equivalents outstanding as of the date of the most recently filed periodic report under the Exchange Act.  No person has any
right of first refusal, preemptive right, right of participation, or any similar right to participate in the transactions contemplated
by the Transaction Documents.  Except as a result of the purchase and sale of the Shares and as disclosed in the SEC Reports,
there are no outstanding options, warrants, scrip rights to subscribe to, calls or commitments of any character whatsoever relating
to, or securities, rights or obligations convertible into or exercisable or exchangeable (or any other securities of the Company
which, whether after notice, lapse of time, or payment of monies, are or would be convertible into or exchangeable or exercisable)
for, or giving any Person any right to subscribe for or acquire, or any phantom stock or stock appreciation rights relating to,
any shares of Common Stock or other capital stock of the Company, or contracts, commitments, understandings or arrangements by
which the Company or any Subsidiary is or may become bound to issue additional shares of Common Stock or Common Stock Equivalents
or other capital stock of the Company.  The issuance and sale of the Shares will not obligate the Company to issue shares
of Common Stock or other securities to any Person (other than the Purchaser). All of the outstanding shares of capital stock of
the Company are duly authorized, validly issued, fully paid and nonassessable, have been issued in compliance with all federal
and state securities laws, and none of such outstanding shares was issued in violation of any preemptive rights or similar rights
to subscribe for or purchase securities.  No further approval or authorization of any stockholder, the Board of Directors
or others is required for the issuance and sale of the Shares.  Except as disclosed in the SEC Reports, there are no stockholders
agreements, voting agreements, “poison pill” or similar anti-takeover agreements or plans or other similar agreements
with respect to the Company’s capital stock to which the Company is a party or, to the knowledge of the Company, between
or among any of the Company’s stockholders.

  

(h)          SEC
Reports; Financial Statements.  The Company has filed or furnished, as applicable, all reports, schedules, forms, statements
and other documents required to be filed or furnished, as applicable, by the Company under the Securities Act and the Exchange
Act, including pursuant to Section 13(a) or 15(d) thereof, for the two years preceding the date hereof (or such
shorter period as the Company was required by law or regulation to file such material) (the foregoing materials, including the
exhibits thereto and documents incorporated by reference therein, together with the Registration Statement and any amendments made
thereto, being collectively referred to herein as the “SEC Reports”) on a timely basis or has received a valid
extension of such time of filing and has filed any such SEC Reports prior to the expiration of any such extension.  As of
their respective dates, the SEC Reports complied in all material respects with the requirements of the Securities Act, the Exchange
Act and the Sarbanes-Oxley Act of 2002, and any rules and regulations promulgated thereunder applicable to such SEC Report,
as applicable, and none of the SEC Reports, when filed, contained any untrue statement of a material fact or omitted to state a
material fact required to be stated therein or necessary in order to make the statements therein, in the light of the circumstances
under which they were made, not misleading. No Subsidiary of the Company is required to file or furnish any report, schedule, form,
statement or other document with, or make any other filing with, or furnish any other material to, the Commission.  The financial
statements of the Company included in or incorporated by reference into the SEC Reports comply in all material respects with applicable
accounting requirements and the rules and regulations of the Commission with respect thereto as in effect at the time of filing. 
Such financial statements have been prepared from, and are in accordance with the books and records of the Company and its Subsidiaries
and have been prepared in accordance with United States generally accepted accounting principles applied on a consistent basis
during the periods involved (“GAAP”), except as may be otherwise specified in such financial statements or the
notes thereto and except that unaudited financial statements may not contain all footnotes required by GAAP, and fairly present
in all material respects the consolidated financial position of the Company and its consolidated Subsidiaries as of and for the
dates thereof and the results of operations, changes in stockholders’ equity and cash flows for the periods then ended, subject,
in the case of unaudited statements, to normal, immaterial, year-end audit adjustments.

 

    	 	- 7 -	 

     

    

 

(i)            Material
Changes; Undisclosed Events, Liabilities or Developments.

 

(i)        Since
the date of the latest audited financial statements included within the SEC Reports, except as specifically disclosed in a subsequent
SEC Report filed prior to the date hereof, (1) there has been no event, occurrence or development that has had or that could
reasonably be expected to result in a Material Adverse Effect, (2) the Company has not incurred any liabilities (contingent
or otherwise) other than (A) trade payables and accrued expenses incurred in the ordinary course of business consistent with
past practice and (B) liabilities not required to be reflected in the Company’s financial statements pursuant to GAAP
or disclosed by the Company under applicable securities laws in filings made with the Commission, (3) the Company has not
altered its method of accounting or the identity of its auditors, (4) the Company has not declared or made any dividend or
distribution of cash or other property to its stockholders or purchased, redeemed or made any agreements to purchase or redeem
any shares of its capital stock, (5) the Company has not issued any equity securities to any officer, director or Affiliate,
except pursuant to existing Company stock option plans, (6) the Company has not sold any assets outside of the ordinary course
of business or (7) the Company has not made any material capital expenditures, individually or in the aggregate, outside of
the ordinary course of business.  The Company does not have pending before the Commission any request for confidential treatment
of information.  Except for the issuance of the Shares contemplated by this Agreement, no event, liability, fact, circumstance,
occurrence or development has occurred or exists or is reasonably expected to occur or exist with respect to the Company, any of
its Subsidiaries or any of their respective business, prospects, properties, liabilities, operations (including results thereof),
assets or condition (financial or otherwise) that (x) would be required to be disclosed by the Company under applicable securities
laws at the time this representation is made or deemed made that has not been publicly disclosed at least 3 Trading Days prior
to the date that this representation is made, or (y) could reasonably be expected to result in a Material Adverse Effect.

 

(ii)      The
Company has not taken any steps to seek protection pursuant to any law or statute relating to bankruptcy, insolvency, reorganization,
receivership, liquidation or winding up, nor does the Company have any knowledge or reason to believe that any of its creditors
intend to initiate involuntary bankruptcy proceedings or any actual knowledge of any fact which would reasonably lead a creditor
to do so. The Company is not, and after giving effect to the transactions contemplated by the Transaction Documents to occur at
the Closing will not be, Insolvent (as defined below). “Insolvent” means, (x) the present fair saleable
value of the Company’s assets is less than the amount required to pay the Company’s total indebtedness, (y) the
Company is unable to pay its debts and liabilities, subordinated, contingent or otherwise, as such debts and liabilities become
absolute and matured or (z) the Company intends to incur or believes that it will incur debts that would be beyond its ability
to pay as such debts mature. The Company has not engaged in any business or in any transaction, and is not about to engage in any
business or in any transaction, for which the Company’s remaining assets constitute unreasonably small capital.

 

(j)           Litigation. 
There is no action, suit, order, claim, litigation, inquiry, notice of violation, arbitration, mediation, proceeding or investigation
pending or, to the knowledge of the Company, threatened against or affecting the Company, any Subsidiary or any of their respective
properties before or by any court, arbitrator, governmental or administrative agency or regulatory authority (federal, state, county,
local or foreign) (collectively, an “Action”) (i) that have had or would reasonably be expected to have
a Material Adverse Effect or (ii) adversely affects or challenges the legality, validity or enforceability of any of the Transaction
Documents or the Shares.  Neither the Company nor any Subsidiary, nor any director or officer thereof, is or has been the
subject of any Action involving a claim of violation of or liability under federal or state securities laws or a claim of breach
of fiduciary duty.  There has not been, and to the knowledge of the Company, there is not pending or contemplated, any investigation
by the Commission involving the Company or any current or former director or officer of the Company.  The Commission has not
issued any stop order or other order suspending the effectiveness of any registration statement filed by the Company or any Subsidiary
under the Exchange Act or the Securities Act.  Neither the Company nor any of its Subsidiaries is subject to any order, writ,
judgment or decree of a court, arbitrator, governmental or administrative agency or regulatory authority (federal, state, county,
local or foreign) that has had or would reasonably be expected to have a Material Adverse Effect.  Except as has not had and
would not reasonably be expected to have a Material Adverse Effect, there is no investigation or review pending (or, to the knowledge
of the Company, threatened) by any court, arbitrator, governmental or administrative agency or regulatory authority (federal, state,
county, local or foreign) with respect to the Company or any of its Subsidiaries.

 

    	 	- 8 -	 

     

    

 

(k)          Labor
Relations.  No material labor dispute exists or, to the knowledge of the Company, is imminent with respect to any of the
employees of the Company, which could reasonably be expected to result in a Material Adverse Effect.

 

(l)              Compliance. 
Neither the Company nor any Subsidiary: (i) is in default under or in violation of (and no event has occurred that has not
been waived that, with notice or lapse of time or both, would result in a default by the Company or any Subsidiary under), nor
has the Company or any Subsidiary received notice of a claim that it is in default under or that it is in violation of, any indenture,
loan or credit agreement or any other agreement or instrument to which it is a party or by which it or any of its properties is
bound (whether or not such default or violation has been waived), (ii) is in violation of any judgment, decree or order of
any court, arbitrator or governmental body or (iii) is or has been in violation of any statute, rule, ordinance or regulation
of any governmental authority, including without limitation all foreign, federal, state and local laws relating to taxes, environmental
protection, occupational health and safety, product quality and safety and employment and labor matters, except in each case as
could not have or reasonably be expected to result in a Material Adverse Effect.

 

(m)          Regulatory
Permits.  The Company and the Subsidiaries possess all certificates, authorizations and permits issued by the appropriate
federal, state, local or foreign regulatory authorities necessary to conduct their respective businesses as described in the SEC
Reports, except where the failure to possess such permits could not reasonably be expected to result in a Material Adverse Effect
(“Material Permits”), and neither the Company nor any Subsidiary has received any notice of proceedings relating
to the revocation or modification of any Material Permit.

 

(n)          Title
to Assets.  The Company and the Subsidiaries have good and marketable title in all personal property owned by them that
is material to the business of the Company and the Subsidiaries, in each case free and clear of all Liens, except for Liens as
do not materially affect the value of such property, do not materially interfere with the use made and proposed to be made of such
property by the Company and the Subsidiaries, and Liens for the payment of federal, state or other taxes, the payment of which
is neither delinquent nor subject to penalties.  Any real property and facilities held under lease by the Company and the
Subsidiaries which is material to the business of the Company and Subsidiaries are held by them under valid, subsisting and enforceable
leases with which the Company and the Subsidiaries are in compliance.

 

(o)             Patents
and Trademarks.  The Company and the Subsidiaries have, or have rights to use, all patents, patent applications, trademarks,
trademark applications, service marks, trade names, trade secrets, inventions, copyrights, licenses and other intellectual property
rights and similar rights, and all applications and registrations therefor, necessary or material to conduct their respective businesses
as now conducted and as presently proposed to be conducted (collectively, the “Intellectual Property Rights”). 
None of, and neither the Company nor any Subsidiary has received a notice (written or otherwise) that any of, the Intellectual
Property Rights has expired, terminated or been abandoned, or is expected to expire or terminate or be abandoned, within two (2) years
from the date of this Agreement.  Neither the Company nor any Subsidiary has received a written notice of a claim or otherwise
has any knowledge that the Intellectual Property Rights violate or infringe upon the rights of any Person, except as disclosed
in the SEC Reports.  To the knowledge of the Company, all such Intellectual Property Rights are enforceable and there is no
existing infringement by another Person of any of the Intellectual Property Rights.  The Company and its Subsidiaries have
taken reasonable security measures to protect the secrecy, confidentiality and value of all of their intellectual properties, except
where failure to do so could not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect.

 

    	 	- 9 -	 

     

    

 

(p)          Material
Contracts.  For purposes of this Agreement, “Material Contracts” means each outstanding contract or
agreement to which the Company or any of its Subsidiaries is a party, which is or would be required to be filed by the Company
as a “material contract” pursuant to Item 601(b)(4) or Item 601(b)(10) of Regulation S-K under the Securities
Act.  Except as has not had and would not reasonably be expected to have a Material Adverse Effect, (i) each Material
Contract is in full force and effect (except for those contracts or agreements that have expired in accordance with their terms),
is a legal, valid and binding agreement of the Company or such Subsidiary, as the case may be, and, to the knowledge of the Company,
of each other party thereto, enforceable against the Company or such Subsidiary, as the case may be, and, to the knowledge of the
Company, against the other party or parties thereto, in each case, in accordance with its terms, except (x) as limited by
general equitable principles and applicable bankruptcy, insolvency, reorganization, moratorium and other laws of general application
affecting enforcement of creditors’ rights generally, (y) as limited by laws relating to the availability of specific
performance, injunctive relief or other equitable remedies and (z) insofar as indemnification and contribution provisions
may be limited by applicable law, (ii) each of the Company and its Subsidiaries has performed or is performing all obligations
required to be performed by it under the Material Contracts and is not (with or without notice or lapse of time or both) in breach
or default thereunder, and has not knowingly waived or failed to enforce any rights or benefits thereunder (other than in the ordinary
course of business consistent with past practice), and, (iii) to the knowledge of the Company, no other party to any of the
Material Contracts is (with or without notice or lapse of time or both) in breach in any material respect or default thereunder.

 

(q)             Transactions
With Affiliates and Employees.  Except as set forth in the SEC Reports, none of the officers or directors of the Company
and, to the knowledge of the Company, none of the employees of the Company is presently a party to any transaction with the Company
or any Subsidiary (other than for services as employees, officers and directors), including any contract, agreement or other arrangement
providing for the furnishing of services to or by, providing for rental of real or personal property to or from, or otherwise requiring
payments to or from any officer, director or such employee or, to the knowledge of the Company, any entity in which any officer,
director, or any such employee has a substantial interest or is an officer, director, trustee or partner, in each case in excess
of $120,000 other than for (i) payment of salary or consulting fees for services rendered, (ii) reimbursement for expenses
incurred on behalf of the Company in the ordinary course of business and (iii) other employee benefits, including stock option
agreements under any stock option plan of the Company.

 

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

 

(t)             Certain
Fees.  No brokerage or finder’s fees or commissions are or will be payable by the Company to any broker, financial
advisor or consultant, finder, placement agent, investment banker, bank or other Person with respect to the transactions contemplated
by the Transaction Documents.  The Purchaser shall have no obligation with respect to any fees or with respect to any claims
made by or on behalf of other Persons for fees of a type contemplated in this Section that may be due in connection with the
transactions contemplated by the Transaction Documents.

 

(u)          Investment
Company. The Company is not, and is not an Affiliate of, and immediately after receipt of payment for the Shares, will not
be or be an Affiliate of, an “investment company” within the meaning of the Investment Company Act of 1940, as amended. 
The Company shall conduct its business in a manner so that it will not become an “investment company” subject to registration
under the Investment Company Act of 1940, as amended.

 

(v)          Listing
and Maintenance Requirements.  The Company has not, in the 12 months preceding the date hereof, received notice from any
Trading Market on which the Common Stock is or has been listed or quoted to the effect that the Company is not in compliance with
the listing or maintenance requirements of such Trading Market. The Company is, and has no reason to believe that it will not in
the foreseeable future continue to be, in compliance with all such listing and maintenance requirements.

 

    	 	- 10 -	 

     

    

 

(w)        Disclosure. 
Except with respect to the material terms and conditions of the transactions contemplated by the Transaction Documents, the Company
confirms that neither it nor any other Person acting on its behalf has provided any of the Purchasers or their agents or counsel
with any information that it believes constitutes or might constitute material, non-public information . The Company understands
and confirms that the Purchasers will rely on the foregoing representation in effecting transactions in securities of the Company. 
All of the disclosure furnished by or on behalf of the Company to the Purchasers regarding the Company, its business and the transactions
contemplated hereby is true and correct and does not contain any untrue statement of a material fact or omit to state any material
fact necessary in order to make the statements made therein, in light of the circumstances under which they were made, not misleading.
The press releases disseminated by the Company during the twelve months preceding the date of this Agreement taken as a whole do
not contain any untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary
in order to make the statements therein, in light of the circumstances under which they were made and when made, not misleading. 
The Company acknowledges and agrees that no Purchaser makes or has made any representations or warranties with respect to the transactions
contemplated hereby other than those specifically set forth in Section 3.2 hereof.

 

(x)          No
Integrated Offering. Assuming the accuracy of the Purchasers’ representations and warranties set forth in Section 3.2,
neither the Company, nor any of its Affiliates, nor any Person acting on its or their behalf has, directly or indirectly, made
any offers or sales of any security or solicited any offers to buy any security, under circumstances that would cause this offering
of the Shares to be integrated with prior offerings by the Company for purposes of any applicable shareholder approval provisions
of any Trading Market on which any of the securities of the Company are listed or designated.

 

(y)          Tax
Status.  Except for matters that would not, individually or in the aggregate, have or reasonably be expected to result
in a Material Adverse Effect, the Company and each Subsidiary (i) has made or filed all United States federal and state income
and all foreign income and franchise tax returns, reports and declarations required by any jurisdiction to which it is subject,
(ii) has paid all taxes and other governmental assessments and charges that are material in amount, shown or determined to
be due on such returns, reports and declarations and (iii) has set aside on its books provision reasonably adequate for the
payment of all material taxes for periods subsequent to the periods to which such returns, reports or declarations apply. 
There are no unpaid taxes in any material amount claimed to be due by the taxing authority of any jurisdiction, and the officers
of the Company or of any Subsidiary know of no basis for any such claim.

 

(z)           Foreign
Corrupt Practices.  Neither the Company, nor to the knowledge of the Company, any agent or other person acting on behalf
of the Company, has (i) directly or indirectly, used any funds for unlawful contributions, gifts, entertainment or other unlawful
expenses related to foreign or domestic political activity, (ii) made any unlawful payment to foreign or domestic government
officials or employees or to any foreign or domestic political parties or campaigns from corporate funds, (iii) failed to
disclose fully any contribution made by the Company (or made by any person acting on its behalf of which the Company is aware)
which is in violation of law, or (iv) violated in any material respect any provision of the Foreign Corrupt Practices Act
of 1977, as amended.

 

(a)          Office
of Foreign Asset Control.  Except as has not had and would not reasonably be expected to have a Material Adverse Effect,
there is not, and has not been, any pending or, to the Company’s knowledge, threatened, legal, administrative, arbitral or
other material proceeding, investigation (formal or informal), litigation, claim, suit or action by any governmental entity against
the Company or any of its Subsidiaries, nor is there any judgment, order or decree imposed (or, to the knowledge of the Company,
threatened to be imposed) upon the Company or any of its Subsidiaries by or before any governmental entity, in each case, in connection
with an alleged violation of laws relating to the import or export (including deemed export) of data, goods or services to any
foreign jurisdiction against which the United States or the United Nations maintains sanctions or export controls, including applicable
regulations of the United States Department of Commerce, the United States Department of State and the Office of Foreign Asset
Control of the United States Department of Treasury.

 

    	 	- 11 -	 

     

    

 

(aa)          Acknowledgment
Regarding Purchasers’ Purchase of Shares.  The Company acknowledges and agrees that each of the Purchasers is acting
solely in the capacity of an arm’s length purchaser with respect to the Transaction Documents and the transactions contemplated
thereby.  The Company further acknowledges that no Purchaser is acting as a financial advisor or fiduciary of the Company
(or in any similar capacity) with respect to the Transaction Documents and the transactions contemplated thereby and any advice
given by any Purchaser or any of their respective representatives or agents in connection with the Transaction Documents and the
transactions contemplated thereby is merely incidental to the Purchasers’ purchase of the Shares.  The Company further
represents to each Purchaser that the Company’s decision to enter into this Agreement and the other Transaction Documents
has been based solely on the independent evaluation of the transactions contemplated hereby by the Company and its representatives.

 

(bb)        Acknowledgement
Regarding Purchasers’ Trading Activity.  Anything in this Agreement or elsewhere herein to the contrary notwithstanding
(except for Sections 3.2(d) and 4.11 hereof), it is understood and acknowledged by the Company that: (i) none of the
Purchasers has been asked by the Company to agree, nor has any Purchaser agreed, to desist from purchasing or selling, long and/or
short, securities of the Company, or “derivative” securities based on securities issued by the Company or to hold the
Shares for any specified term; (ii) past or future open market or other transactions by any Purchaser, specifically including,
without limitation, Short Sales or “derivative” transactions, before or after the closing of this or future private
placement transactions, may negatively impact the market price of the Company’s publicly-traded securities; (iii) any
Purchaser, and counter-parties in “derivative” transactions to which such Purchaser is a party, directly or indirectly,
presently may have a “short” position in the Common Stock, and (iv) each Purchaser shall not be deemed to have
any affiliation with or control over any arm’s length counter-party in any “derivative” transaction.  The
Company further understands and acknowledges that (y) each Purchaser may engage in hedging activities at various times during
the period that the Shares are outstanding, and (z) such hedging activities (if any) could reduce the value of the existing
stockholders’ equity interests in the Company at and after the time that the hedging activities are being conducted. 
The Company acknowledges that such aforementioned hedging activities do not constitute a breach of any of the Transaction Documents.

 

(cc)         Regulation
M Compliance.  The Company has not, and to its knowledge no one acting on its behalf has, (i) taken, directly or
indirectly, any action designed to cause or to result in the stabilization or manipulation of the price of any security of the
Company to facilitate the sale or resale of any of the Shares, (ii) sold, bid for, purchased, or, paid any compensation for
soliciting purchases of, any of the Shares, or (iii) paid or agreed to pay to any Person any compensation for soliciting another
to purchase any other securities of the Company.

 

(dd)         Internal
Accounting and Disclosure Controls.  Except as disclosed in the SEC Reports, the Company and each of its Subsidiaries
maintains internal control over financial reporting (as such term is defined in Rule 13a-15(f) under the Exchange Act)
that is effective and sufficient to provide reasonable assurance regarding the reliability of financial reporting and the preparation
of financial statements for external purposes in accordance with GAAP, including that (i) transactions are executed in accordance
with management’s general or specific authorizations, (ii) transactions are recorded as necessary to permit preparation
of financial statements in conformity with GAAP and to maintain asset and liability accountability, (iii) access to assets
or incurrence of liabilities is permitted only in accordance with management’s general or specific authorization and (iv) the
recorded accountability for assets and liabilities is compared with the existing assets and liabilities at reasonable intervals
and appropriate action is taken with respect to any difference. Except as disclosed in the SEC Reports, the Company maintains disclosure
controls and procedures (as such term is defined in Rule 13a-15(e) under the Exchange Act) that are effective in ensuring
that information required to be disclosed by the Company in the reports that it files or submits under the Exchange Act is recorded,
processed, summarized and reported, within the time periods specified in the rules and forms of the Commission, including,
without limitation, controls and procedures designed to ensure that information required to be disclosed by the Company in the
reports that it files or submits under the Exchange Act is accumulated and communicated to the Company’s management, including
its principal executive officer or officers and its principal financial officer or officers, as appropriate, to allow timely decisions
regarding required disclosure.

 

    	 	- 12 -	 

     

    

 

(ee)          Off
Balance Sheet Arrangements.  There is no transaction, arrangement, or other relationship between the Company or any of
its Subsidiaries and an unconsolidated or other off balance sheet entity that is required to be disclosed by the Company in its
Exchange Act filings and is not so disclosed or that otherwise could reasonably be expected to result in a Material Adverse Effect.

 

(ff)          Private Placement. Assuming the
accuracy of the Purchasers’ representations and warranties set forth in Section 3.2, no registration under the Securities
Act is required for the offer and sale of the Shares by the Company to the Purchasers as contemplated hereby. The issuance and
sale of the Shares hereunder does not contravene the rules and regulations of the Trading Market.

 

3.2        Representations
and Warranties of the Purchasers.  Each Purchaser, for itself, hereby represents and warrants as of the date hereof and
as of the Closing Date to the Company as follows (unless as of a specific date therein):

  

(a)          Organization;
Authority.  Such Purchaser is an entity duly organized, validly existing and in good standing under the laws of the jurisdiction
of its organization with full right, corporate or partnership power and authority to enter into and to consummate the transactions
contemplated by this Agreement and otherwise to carry out its obligations hereunder and thereunder. The execution and delivery
of this Agreement and performance by such Purchaser of the transactions contemplated by this Agreement have been duly authorized
by all necessary corporate, partnership, limited liability company or similar action, as applicable, on the part of such Purchaser. 
This Agreement has been duly and validly executed and delivered by such Purchaser, and is a valid and binding obligation of such
Purchaser, enforceable against it in accordance with its terms, except: (i) as limited by general equitable principles and
applicable bankruptcy, insolvency, reorganization, moratorium and other laws of general application affecting enforcement of creditors’
rights generally, (ii) as limited by laws relating to the availability of specific performance, injunctive relief or other
equitable remedies and (iii) insofar as indemnification and contribution provisions may be limited by applicable law. Each
Transaction Document to which it is a party has been duly executed by such Purchaser, and when delivered by such Purchaser in accordance
with the terms hereof, will constitute the valid and binding obligation of such Purchaser, enforceable against it in accordance
with its terms, except: (i) as limited by general equitable principles and applicable bankruptcy, insolvency, reorganization,
moratorium and other laws of general application affecting enforcement of creditors’ rights generally, (ii) as limited
by laws relating to the availability of specific performance, injunctive relief or other equitable remedies and (iii) insofar
as indemnification and contribution provisions may be limited by applicable law.

 

(b)       Purchaser
Status.  At the time such Purchaser was offered the Shares, it was, and as of the date hereof it is, either: (i) an
“accredited investor” as defined in Rule 501(a)(1), (a)(2), (a)(3), (a)(7) or (a)(8) under the Securities Act or (ii) a
“qualified institutional buyer” as defined in Rule 144A(a) under the Securities Act.

 

(c)           Experience
of such Purchaser.  Such Purchaser, either alone or together with its representatives, has such knowledge, sophistication
and experience in business and financial matters so as to be capable of evaluating the merits and risks of the prospective investment
in the Shares, and has so evaluated the merits and risks of such investment.  Such Purchaser is able to bear the economic
risk of an investment in the Shares and, at the present time, is able to afford a complete loss of such investment.

 

(d)          Certain
Transactions and Confidentiality.  Other than consummating the transactions contemplated hereunder, such Purchaser has
not, nor has any Person acting on behalf of or pursuant to any understanding with such Purchaser, directly or indirectly executed
any purchases or sales, including Short Sales, of the securities of the Company during the period commencing as of the time
that such Purchaser first received a term sheet (written or oral) as of the Company or any other Person representing the Company
setting forth the material terms of the transactions contemplated hereunder and ending immediately prior to the execution hereof. 
Notwithstanding the foregoing, in the case of a Purchaser that is a multi-managed investment vehicle whereby separate portfolio
managers manage separate portions of such Purchaser’s assets and the portfolio managers have no direct knowledge of the investment
decisions made by the portfolio managers managing other portions of such Purchaser’s assets, the representation set forth
above shall only apply with respect to the portion of assets managed by the portfolio manager that made the investment decision
to purchase the Shares covered by this Agreement.  Other than to other Persons party to this Agreement, such Purchaser has
maintained the confidentiality of all disclosures made to it in connection with this transaction (including the existence and terms
of this transaction). Notwithstanding the foregoing, for avoidance of doubt, nothing contained herein shall constitute a representation
or warranty, or preclude any actions, with respect to the identification of the availability of, or securing of, available shares
to borrow in order to effect Short Sales or similar transactions in the future.

 

    	 	- 13 -	 

     

    

 

(e)       General
Solicitation. Such Purchaser is not, to such Purchaser’s knowledge, purchasing the Shares as a result of any advertisement,
article, notice or other communication regarding the Shares published in any newspaper, magazine or similar media or broadcast
over television or radio or presented at any seminar or any other general solicitation or general advertisement.

 

The Company acknowledges and agrees that the representations contained
in Section 3.2 shall not modify, amend or affect such Purchaser’s right to rely on the Company’s representations
and warranties contained in this Agreement or any representations and warranties contained in any other Transaction Document or
any other document or instrument executed and/or delivered in connection with this Agreement or the consummation of the transaction
contemplated hereby.

 

ARTICLE IV.

OTHER AGREEMENTS OF THE PARTIES

 

4.1       Transfer
Restrictions.

 

(a)       The
Shares and the Conversion Shares shall be issued free of all legends. The Securities may only be disposed of in compliance with
state and federal securities laws. In connection with any transfer of Securities other than pursuant to an effective registration
statement or Rule 144, to the Company or to an Affiliate of a Purchaser or in connection with a pledge as contemplated in Section 4.1(b),
the Company may require the transferor thereof to provide to the Company an opinion of counsel selected by the transferor and reasonably
acceptable to the Company, the form and substance of which opinion shall be reasonably satisfactory to the Company, to the effect
that such transfer does not require registration of such transferred Securities under the Securities Act. As a condition of transfer,
any such transferee shall agree in writing to be bound by the terms of this Agreement and shall have the rights and obligations
of a Purchaser under this Agreement.

 

(b)       The
Purchasers agree to the imprinting, so long as is required by this Section 4.1, of a legend on any of the Shares in the following
form:

 

[NEITHER] THIS SECURITY [NOR THE SECURITIES INTO
WHICH THIS SECURITY IS EXERCISABLE] HAS [NOT] BEEN REGISTERED WITH THE SECURITIES AND EXCHANGE COMMISSION OR THE SECURITIES COMMISSION
OF ANY STATE IN RELIANCE UPON AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES
ACT”), AND, ACCORDINGLY, MAY NOT BE OFFERED OR SOLD EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES
ACT OR PURSUANT TO AN AVAILABLE EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE SECURITIES
ACT AND IN ACCORDANCE WITH APPLICABLE STATE SECURITIES LAWS. THIS SECURITY [AND THE SECURITIES ISSUABLE UPON EXERCISE] OF THIS
SECURITY] MAY BE PLEDGED IN CONNECTION WITH A BONA FIDE MARGIN ACCOUNT WITH A REGISTERED BROKER-DEALER OR OTHER LOAN WITH A FINANCIAL
INSTITUTION THAT IS AN “ACCREDITED INVESTOR” AS DEFINED IN RULE 501(a) UNDER THE SECURITIES ACT OR OTHER LOAN SECURED
BY SUCH SECURITIES.

 

    	 	- 14 -	 

     

    

 

The Company acknowledges and agrees that a Purchaser may from
time to time pledge pursuant to a bona fide margin agreement with a registered broker-dealer or grant a security interest in some
or all of the Securities to a financial institution that is an “accredited investor” as defined in Rule 501(a) under
the Securities Act, and, if required under the terms of such arrangement, such Purchaser may transfer pledged or secured Securities
to the pledgees or secured parties. Such a pledge or transfer would not be subject to approval of the Company and no legal opinion
of legal counsel of the pledgee, secured party or pledgor shall be required in connection therewith. Further, no notice shall be
required of such pledge. At the appropriate Purchaser’s expense, the Company will execute and deliver such reasonable documentation
as a pledgee or secured party of Securities may reasonably request in connection with a pledge or transfer of the Securities

 

4.2        Furnishing
of Information.  For a period of 2 years from the Closing Date, the Company covenants to timely file (or obtain extensions
in respect thereof and file within the applicable grace period) all reports required to be filed by the Company after the date
hereof pursuant to the Exchange Act even if the Company is not then subject to the reporting requirements of the Exchange Act.

 

4.3        Integration. 
The Company shall not sell, offer for sale or solicit offers to buy or otherwise negotiate in respect of any security (as defined
in Section 2 of the Securities Act) that would be integrated with the offer or sale of the Shares for purposes of the rules and
regulations of any Trading Market such that it would require shareholder approval prior to the closing of such other transaction
unless shareholder approval is obtained before the closing of such subsequent transaction.

 

4.4        Securities
Laws Disclosure; Publicity.  The Company and each Purchaser shall consult with each other in issuing any other press releases
with respect to the transactions contemplated hereby, and neither the Company nor any Purchaser shall issue any such press release
nor otherwise make any such public statement without the prior consent of the Company, with respect to any press release of any
Purchaser, or without the prior consent of each Purchaser, with respect to any press release of the Company, which consent shall
not unreasonably be withheld or delayed, except if such disclosure is required by law, in which case the disclosing party shall
promptly provide the other party with prior notice of such public statement or communication.  Notwithstanding the foregoing,
the Company shall not publicly disclose the name of any Purchaser, or include the name of any Purchaser in any filing with the
Commission or any regulatory agency or Trading Market, without the prior written consent of such Purchaser, except (a) as
required by federal securities law in connection with the filing of final Transaction Documents (including signature pages thereto)
with the Commission and (b) to the extent such disclosure is required by law or Trading Market regulations, in which case
the Company shall provide such Purchaser with prior notice of such disclosure permitted under this clause (b).

 

4.5        Shareholder
Rights Plan.  No claim will be made or enforced by the Company or, with the consent of the Company, any other Person,
that any Purchaser is an “Acquiring Person” under any control share acquisition, business combination, poison pill
(including any distribution under a rights agreement) or similar anti-takeover plan or arrangement in effect or hereafter adopted
by the Company, or that any Purchaser could be deemed to trigger the provisions of any such plan or arrangement, by virtue of receiving
Shares under the Transaction Documents or under any other agreement between the Company and the Purchasers.

 

4.6        Non-Public
Information.  Except with respect to the material terms and conditions of the transactions contemplated by the Transaction
Documents, the Company covenants and agrees that neither it, nor any other Person acting on its behalf will, after the date hereof,
provide any Purchaser or their respective agents or counsel with any information that the Company believes constitutes material
non-public information, and such Purchaser agrees not to, and shall direct its agents and counsel not to, after the date hereof
request any material non-public information from the Company or any Person acting on its behalf, unless prior thereto such Purchaser
shall have executed a written agreement with the Company regarding the confidentiality and use of such information.  The Company
understands and confirms that each Purchaser shall be relying on the foregoing covenant in effecting transactions in securities
of the Company.

 

4.7        Use
of Proceeds.  The Company shall use the net proceeds from the sale of the Shares hereunder for commercialization activities
for working capital purposes and shall not use such proceeds for: (a)) the redemption of any Common Stock or Common Stock Equivalents,
or (b) the settlement of any outstanding litigation.

 

    	 	- 15 -	 

     

    

 

4.8         Indemnification
of Purchasers.   Subject to the provisions of this Section 4.8, the Company will indemnify and hold each Purchaser
and its directors, officers, shareholders, members, partners, employees and agents (and any other Persons with a functionally equivalent
role of a Person holding such titles notwithstanding a lack of such title or any other title), each Person who controls such Purchaser
(within the meaning of Section 15 of the Securities Act and Section 20 of the Exchange Act), and the directors, officers,
shareholders, agents, members, partners or employees (and any other Persons with a functionally equivalent role of a Person holding
such titles notwithstanding a lack of such title or any other title) of such controlling persons (each, a “Purchaser Party”)
harmless from any and all losses, liabilities, obligations, claims, contingencies, damages, costs and expenses, including all judgments,
amounts paid in settlements, court costs and reasonable attorneys’ fees and costs of investigation that any such Purchaser
Party may suffer or incur as a result of or relating to (a) any breach of any of the representations, warranties, covenants
or agreements made by the Company in this Agreement or in the other Transaction Documents or (b) any action instituted against
the Purchaser Parties in any capacity, or any of them or their respective Affiliates, by any stockholder of the Company who is
not an Affiliate of such Purchaser Party, with respect to any of the transactions contemplated by the Transaction Documents (unless
such action is based upon a breach of such Purchaser Party’s representations, warranties or covenants under the Transaction
Documents or any agreements or understandings such Purchaser Party may have with any such stockholder or any violations by such
Purchaser Party of state or federal securities laws or any conduct by such Purchaser Party which constitutes fraud, gross negligence,
willful misconduct or malfeasance). If any action shall be brought against any Purchaser Party in respect of which indemnity may
be sought pursuant to this Agreement, such Purchaser Party shall promptly notify the Company in writing, and the Company shall
have the right to assume the defense thereof with counsel of its own choosing reasonably acceptable to the Purchaser Party. Any
Purchaser Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but
the fees and expenses of such counsel shall be at the expense of such Purchaser Party except to the extent that (i) the employment
thereof has been specifically authorized by the Company in writing, (ii) the Company has failed after a reasonable period
of time to assume such defense and to employ counsel or (iii) in such action there is, in the reasonable opinion of counsel,
a material conflict on any material issue between the position of the Company and the position of such Purchaser Party, in which
case the Company shall be responsible for the reasonable fees and expenses of no more than one such separate counsel. The Company
will not be liable to any Purchaser Party under this Agreement (y) for any settlement by a Purchaser Party effected without
the Company’s prior written consent, which shall not be unreasonably withheld or delayed; or (z) to the extent, but
only to the extent that a loss, claim, damage or liability is attributable to any Purchaser Party’s breach of any of the
representations, warranties, covenants or agreements made by such Purchaser Party in this Agreement or in the other Transaction
Documents. The indemnification required by this Section 4.8 shall be made by periodic payments of the amount thereof during
the course of the investigation or defense, as and when bills are received or are incurred. The indemnity agreements contained
herein shall be in addition to any cause of action or similar right of any Purchaser Party against the Company or others and any
liabilities the Company may be subject to pursuant to law.

 

4.9       Reserved

 

4.10     Listing
of Common Stock. The Company hereby agrees to use best efforts to maintain the listing or quotation (as the case may be) of
the Common Stock on the Trading Market on which it is currently listed or designated for quotation (as the case may be), and concurrently
with or prior to the Closing, the Company shall apply to list or quote all of the Shares on such Trading Market and promptly, but
in no event later than the Closing Date, secure the listing or designation for quotation (as the case may be) of all of the Shares
on such Trading Market. The Company further agrees, if the Company applies to have the Common Stock traded on any other Trading
Market, it will then include in such application all of the Shares, and will take such other action as is necessary to cause all
of the Shares to be listed or quoted on such other Trading Market as promptly as possible.  The Company will then take all
action necessary to continue the listing and trading of its Common Stock on a Trading Market and will comply in all respects with
the Company’s reporting, filing and other obligations under the bylaws or rules of the Trading Market.  The Company
agrees to maintain the eligibility of the Common Stock for electronic transfer through the Depository Trust Company or another
established clearing corporation, including, without limitation, by timely payment of fees to the Depository Trust Company or such
other established clearing corporation in connection with such electronic transfer.

 

    	 	- 16 -	 

     

    

 

4.11        Certain
Transactions and Confidentiality. Each Purchaser covenants that neither it nor any Affiliate acting on its behalf or pursuant
to any understanding with it will execute any purchases or sales, including Short Sales of any of the Company’s securities
during the period commencing with the execution of this Agreement and ending at such time that the transactions contemplated by
this Agreement are first publicly announced pursuant to the initial press release as described in Section 4.4.  Each
Purchaser, severally and  not jointly with the other Purchasers, covenants that until such time as the transactions contemplated
by this Agreement are publicly disclosed by the Company pursuant to the initial press release as described in Section 4.4,
such Purchaser will maintain the confidentiality of the existence and terms of this transaction.  Notwithstanding the foregoing,
and notwithstanding anything contained in this Agreement to the contrary, the Company expressly acknowledges and agrees that (i) no
Purchaser makes any representation, warranty or covenant hereby that it will not engage in effecting transactions in any securities
of the Company after the time that the transactions contemplated by this Agreement are first publicly announced pursuant to the
initial press release as described in Section 4.4, (ii) no Purchaser shall be restricted or prohibited from effecting
any transactions in any securities of the Company in accordance with applicable securities laws from and after the time that the
transactions contemplated by this Agreement are first publicly announced pursuant to the initial press release as described in
Section 4.4 and (iii) no Purchaser shall have any duty of confidentiality to the Company or its Subsidiaries after the
issuance of the initial press release as described in Section 4.4.  Notwithstanding the foregoing, in the case of a Purchaser
that is a multi-managed investment vehicle whereby separate portfolio managers manage separate portions of such Purchaser’s
assets and the portfolio managers have no direct knowledge of the investment decisions made by the portfolio managers managing
other portions of such Purchaser’s assets, the covenant set forth above shall only apply with respect to the portion of assets
managed by the portfolio manager that made the investment decision to purchase the Shares covered by this Agreement.

 

4.12    Transfer
Agent Instructions. The Company hereby covenants and agrees that it will not give the Transfer Agent any instruction with respect
to the Shares other than the Irrevocable Transfer Agent Instructions.

 

4.13    Rule 144
Reporting.  With a view to making available the benefits of certain rules and regulations of the Commission which
may at any time permit the sale of the Shares to the public without registration, while a public market exists for the Shares,
the Company will use its commercially reasonable efforts to:

 

(a)          make
and keep public information available, as those terms are understood and defined in Rule 144, at all times while Shares are
outstanding; and

 

(b)          file
with the Commission in a timely manner all reports and other documents required of the Company under the Securities Act and the
Exchange Act (at any time it is subject to such reporting requirements).

 

4.14       Form
D; Blue Sky Filings. The Company agrees to timely file a Form D with respect to the Shares as required under Regulation D and
to provide a copy thereof, promptly upon request of any Purchaser.

 

ARTICLE V.

MISCELLANEOUS

 

5.1        Termination. 
This Agreement may be terminated by any Purchaser, as to such Purchaser’s obligations hereunder only and without any effect
whatsoever on the obligations between the Company and the other Purchasers, by written notice to the other parties, if the Closing
has not been consummated on or before August 1, 2016 (the “Termination Date”); provided, however,
that no such termination will affect the right of any party to sue for any breach by the other party (or parties).

 

5.2        Fees
and Expenses.  Except as expressly set forth in the Transaction Documents to the contrary, each party shall pay the fees
and expenses of its advisers, counsel, accountants and other experts, if any, and all other expenses incurred by such party incident
to the negotiation, preparation, execution, delivery and performance of this Agreement.  The Company shall pay all Transfer
Agent fees, stamp taxes and other taxes and duties levied in connection with the delivery of any Shares to the Purchasers.

 

    	 	- 17 -	 

     

    

 

5.3        Entire
Agreement.  The Transaction Documents,contain the entire understanding of the parties with respect to the subject matter
hereof and supersede all prior agreements and understandings, oral or written, with respect to such matters, which the parties
acknowledge have been merged into such documents, exhibits and schedules.

 

5.4        Notices. 
Any and all notices or other communications or deliveries required or permitted to be provided hereunder shall be in writing and
shall be deemed given and effective on the earliest of: (a) the date of transmission, if such notice or communication is delivered
via facsimile at the facsimile number set forth on the signature pages attached hereto prior to 5:30 p.m. (New York City
time) on a Trading Day, (b) the next Trading Day after the date of transmission, if such notice or communication is delivered
via facsimile at the facsimile number set forth on the signature pages attached hereto on a day that is not a Trading Day
or later than 5:30 p.m. (New York City time) on any Trading Day, (c) the second (2nd) Trading Day following the date
of mailing, if sent by U.S. nationally recognized overnight courier service or (d) upon actual receipt by the party to whom
such notice is required to be given.  The address for such notices and communications shall be as set forth on the signature
pages attached hereto.

 

5.5       Amendments;
Waivers.  No provision of this Agreement may be waived, modified, supplemented or amended except in a written instrument
signed, in the case of an amendment, by the Company and holders of at least a majority of the aggregate amount of Shares issued
hereunder or, in the case of a waiver, by the party against whom enforcement of any such waived provision is sought; provided
, that if any amendment, modification or waiver disproportionately and adversely impacts a Purchaser (or group of Purchasers),
the consent of such disproportionately impacted Purchaser (or group of Purchasers) shall also be required. No waiver of any default
with respect to any provision, condition or requirement of this Agreement shall be deemed to be a continuing waiver in the future
or a waiver of any subsequent default or a waiver of any other provision, condition or requirement hereof, nor shall any delay
or omission of any party to exercise any right hereunder in any manner impair the exercise of any such right. Any proposed amendment
or waiver that disproportionately, materially and adversely affects the rights and obligations of any Purchaser relative to the
comparable rights and obligations of the other Purchasers shall require the prior written consent of such adversely affected Purchaser.
Any amendment effected in accordance with accordance with this Section 5.5 shall be binding upon each Purchaser and holder
of Securities and the Company.

 

5.6        Headings. 
The headings herein are for convenience only, do not constitute a part of this Agreement and shall not be deemed to limit or affect
any of the provisions hereof.

 

5.7        Successors
and Assigns.  This Agreement shall be binding upon and inure to the benefit of the parties and their successors and permitted
assigns.  The Company may not assign this Agreement or any rights or obligations hereunder without the prior written consent
of each Purchaser (other than by merger).  Any Purchaser may assign any or all of its rights under this Agreement to any Person
to whom such Purchaser assigns or transfers any Shares, provided that such transferee agrees in writing to be bound, with respect
to the transferred Shares, by the provisions of the Transaction Documents that apply to the “Purchaser.”

 

5.8        No
Third-Party Beneficiaries.  This Agreement is intended for the benefit of the parties hereto and their respective successors
and permitted assigns and is not for the benefit of, nor may any provision hereof be enforced by, any other Person, except as otherwise
set forth in Section 4.8.

 

5.9        Governing
Law.  All questions concerning the construction, validity, enforcement and interpretation of the Transaction Documents
shall be governed by and construed and enforced in accordance with the internal laws of the State of New York, without regard to
the principles of conflicts of law thereof.  Each party agrees that all legal proceedings concerning the interpretations,
enforcement and defense of the transactions contemplated by this Agreement and any other Transaction Documents (whether brought
against a party hereto or its respective affiliates, directors, officers, shareholders, employees or agents) shall be commenced
exclusively in the state and federal courts sitting in the City of New York. Each party hereby irrevocably submits to the exclusive
jurisdiction of the state and federal courts sitting in the City of New York, borough of Manhattan for the adjudication of any
dispute hereunder or in connection herewith or with any transaction contemplated hereby or discussed herein (including with respect
to the enforcement of any of the Transaction Documents), and hereby irrevocably waives, and agrees not to assert in any suit, action
or proceeding, any claim that it is not personally subject to the jurisdiction of any such court, that such suit, action or proceeding
is improper or is an inconvenient venue for such proceeding.  Each party hereby irrevocably waives personal service of process
and consents to process being served in any such suit, action or proceeding by mailing a copy thereof via registered or certified
mail or overnight delivery (with evidence of delivery) to such party at the address in effect for notices to it under this Agreement
and agrees that such service shall constitute good and sufficient service of process and notice thereof.  Nothing contained
herein shall be deemed to limit in any way any right to serve process in any other manner permitted by law.  If either party
shall commence an action or proceeding to enforce any provisions of the Transaction Documents, then, in addition to the obligations
of the Company under Section 4.8, the prevailing party in such action or proceeding shall be reimbursed by the other party
for its reasonable attorneys’ fees and other costs and expenses incurred with the investigation, preparation and prosecution
of such action or proceeding.

 

    	 	- 18 -	 

     

    

 

5.10        Survival. 
The representations and warranties contained herein shall survive the Closing and the delivery of the Shares.

 

5.11        Execution. 
This Agreement may be executed in two or more counterparts, all of which when taken together shall be considered one and the same
agreement and shall become effective when counterparts have been signed by each party and delivered to the other party, it being
understood that both parties need not sign the same counterpart.  In the event that any signature is delivered by facsimile
transmission or by e-mail delivery of a “.pdf” format data file, such signature shall create a valid and binding obligation
of the party executing (or on whose behalf such signature is executed) with the same force and effect as if such facsimile or “.pdf”
signature page were an original thereof.

 

5.12        Severability. 
If any term, provision, covenant or restriction of this Agreement is held by a court of competent jurisdiction to be invalid, illegal,
void or unenforceable, the remainder of the terms, provisions, covenants and restrictions set forth herein shall remain in full
force and effect and shall in no way be affected, impaired or invalidated, and the parties hereto shall use their commercially
reasonable efforts to find and employ an alternative means to achieve the same or substantially the same result as that contemplated
by such term, provision, covenant or restriction. It is hereby stipulated and declared to be the intention of the parties that
they would have executed the remaining terms, provisions, covenants and restrictions without including any of such that may be
hereafter declared invalid, illegal, void or unenforceable.

        

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

 

5.14        Replacement
of Shares.  If any certificate or instrument evidencing any Shares is mutilated, lost, stolen or destroyed, the Company
shall issue or cause to be issued in exchange and substitution for and upon cancellation thereof (in the case of mutilation), or
in lieu of and substitution therefor, a new certificate or instrument, but only upon receipt of evidence reasonably satisfactory
to the Company of such loss, theft or destruction.  The applicant for a new certificate or instrument under such circumstances
shall also pay any reasonable third-party costs (including customary indemnity) associated with the issuance of such replacement
Shares.

 

5.15        Remedies. 
In addition to being entitled to exercise all rights provided herein or granted by law, including recovery of damages, each of
the Purchasers and the Company will be entitled to specific performance under the Transaction Documents.  The parties agree
that monetary damages may not be adequate compensation for any loss incurred by reason of any breach of obligations contained in
the Transaction Documents and hereby agree to waive and not to assert in any action for specific performance of any such obligation
the defense that a remedy at law would be adequate.

 

    	 	- 19 -	 

     

    

 

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

 

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

 

5.18        Saturdays,
Sundays, Holidays, etc.    If the last or appointed day for the taking of any action or the expiration
of any right required or granted herein shall not be a Business Day, then such action may be taken or such right may be exercised
on the next succeeding Business Day.

 

5.19        Construction.
The parties agree that each of them and/or their respective counsel has reviewed and had an opportunity to revise the Transaction
Documents and, therefore, the normal rule of construction to the effect that any ambiguities are to be resolved against the
drafting party shall not be employed in the interpretation of the Transaction Documents or any amendments hereto. In addition,
each and every reference to share prices and shares of Common Stock in any Transaction Document shall be subject to adjustment
for reverse and forward stock splits, stock dividends, stock combinations and other similar transactions of the Common Stock that
occur after the date of this Agreement.

 

5.20        WAIVER
OF JURY TRIAL.  IN ANY ACTION, SUIT, OR PROCEEDING IN ANY JURISDICTION BROUGHT BY ANY PARTY AGAINST ANY OTHER
PARTY, THE PARTIES EACH KNOWINGLY AND INTENTIONALLY, TO THE GREATEST EXTENT PERMITTED BY APPLICABLE LAW, HEREBY ABSOLUTELY, UNCONDITIONALLY, IRREVOCABLY
AND EXPRESSLY WAIVES FOREVER TRIAL BY JURY.

 

(Signature Pages Follow)

 

    	 	- 20 -	 

     

    

 

IN WITNESS WHEREOF, the parties hereto have caused this
Securities Purchase Agreement to be duly executed by their respective authorized signatories as of the date first indicated above.

 

	MY
    SIZE, INC. 	 	Address
    for Notice:
	 	 	3
        Arava St., pob 1206,

        Airport
        City, Israel, 7010000

	 	 	 
	By:	/s/
    Ronen Luzon	 	Email:  Ronen
    Luzon (Ronen@mysizeid.com)
	Name:	 Ronen
    Luzon 	 	 
	Title:	CEO	 	 
	With
    a copy to (which shall not constitute notice):	 	 

 

[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK

SIGNATURE PAGE FOR PURCHASER FOLLOWS]

 

    	 	- 21 -	 

     

    

 

[PURCHASER SIGNATURE PAGE TO IMMUNE SECURITIES PURCHASE
AGREEMENT]

 

IN WITNESS WHEREOF, the undersigned have caused this
Securities Purchase Agreement to be duly executed by their respective authorized signatories as of the date first indicated above.

 

	Name
    of Purchaser:                                    Long
    Side Venture LLC
	 
	Signature
    of Authorized Signatory of Purchaser:	/S/
    Ben Kaplan	 	 
	 	Ben
Kaplan	 	 
	Name
    of Authorized Signatory:	 	 	 
	 
	Email
    Address of Authorized Signatory:          
	 
	Facsimile
    Number of Authorized Signatory:          
	 
	Address
    and Contact Number for Notice of Purchaser:          

 

	Address for Delivery of Securities for Purchaser (if not same as address for notice):
	 
	Subscription Amount: $  200,000              
	 
	
        Shares:  200,000

                

	EIN Number (if applicable):          
	 
	Broker Name:          
	 
	Institutional ID:          
	 
	DTC Participant Number:          

 

 

-
22 -

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00269-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00269-of-00352.parquet"}]]