Document:

Registration Rights Agreement

 Exhibit 10.4 
 REGISTRATION RIGHTS AGREEMENT 
 This Registration Rights Agreement (the
“Agreement”) is made as of the date set forth below between eDiets.com, Inc., a Delaware corporation (the “Company”), and Prides Capital Fund I, L.P. (“Holder”). 
 RECITALS 
 A. The Company has sold and issued
to the Holder and the Holder has purchased from the Company a senior secured promissory note in the aggregate principal amount of $10,000,000 and a warrant (the “Warrant”) to purchase up to 1,000,000 shares of the Company’s
common stock (the “Warrant Shares”) in a private placement (the “Offering”). 
 B. The execution and
delivery of this Agreement by the Company and the Holder is a condition to the completion of the Offering. 
 NOW, THEREFORE, the parties
hereto agree as follows: 
 1. Registration Procedures and Expenses. The Company shall: 
 (a) subject to receipt of reasonably necessary information from the Holder, prepare and file with the Securities and Exchange Commission
(“SEC”), within fifteen (15) business days after the closing price of the Company’s common stock (the “Common Stock”) for five (5) consecutive trading days is at least $5.00 per share, as reported by
the domestic stock exchange or over-the-counter market on which the shares of Common Stock are listed (the “Filing Date”), a registration statement (the “Registration Statement”) on Form S-3 (except if the Company
is not then eligible to register on Form S-3, in which case such registration shall be on another appropriate form in accordance herewith) to enable the resale by the Holder from time to time of (x) the Warrant Shares issuable and (y) the
shares of Common Stock issued or issuable upon any stock split, dividend or other distribution, recapitalization or similar event with respect to the foregoing (collectively, the “Registrable Securities”); 
 (b) use its best efforts, subject to receipt of necessary information from each Holder, to
cause the Registration Statement to become effective as soon as practicable, but in no event later than ninety (90) days after the Filing Date (the “Required Effective Date”). If the Registration Statement (x) has not been
filed by the applicable Required Effective Date, (y) has not been declared effective by the SEC on or before the Required Effective Date or (z) is filed and declared effective but shall thereafter cease to be effective or fail to be usable
for its intended purpose without being succeeded within twenty (20) business days (the “Required Cure Date”) by a post-effective amendment to such Registration Statement that cures such failure and that is itself immediately
declared effective, the Company shall, on the business day immediately following the Required Filing Date, Required Effective Date or Required Cure Date, as the case may be, and each 30th day thereafter, make a payment to each Holder as partial compensation for such delay (the “Late Registration Payments”) equal to one percent (1%) of the purchase price paid for the Warrant
Shares and the Warrant purchased by the Holder and not previously sold by the Holder or otherwise registered by the Company pursuant to Section 1(a) or Section 6 until the Registration Statement is filed or declared effective by the SEC,
as the case may be; provided, however, that in no event shall the payments made pursuant to this paragraph (b), if any, exceed in the aggregate twelve percent (12%) of such purchase price. Late Registration Payments will be prorated on a daily
basis during each 30 day period and will be paid to the Holder by wire transfer or check within five business days after the earlier of (i) the end of each thirty day period following the Required Effective Date, Required Filing Date or
Required Cure Date, as applicable or (ii) the effective date of the Registration Statement; 

 (c) use its best efforts to prepare and file with the SEC such amendments and supplements to the
Registration Statement and the prospectus (the “Prospectus”) included as part of the Registration Statement as may be necessary to keep the Registration Statement current and effective for a period ending on the earlier of
(i) the date on which the Holder may sell Registrable Securities pursuant to paragraph (k) of Rule 144 under the Securities Act or any successor rule (“Rule 144”) or (ii) such time as all Registrable Securities
purchased by such Holder in the Offering have been sold pursuant to a registration statement or Rule 144 (the “Effectiveness Period”), and to notify each Holder promptly upon each Registration Statement and each post-effective
amendment thereto, being declared effective by the SEC; 
 (d) furnish to any Holder such number of copies of the Registration
Statements and the Prospectuses (including supplemental prospectuses) as the Holder may reasonably request, in order to facilitate the public sale or other disposition of all or any of the Registrable Securities by the Holder; 
 (e) file documents required of the Company for normal blue sky clearance in states specified in writing by the Holder; provided, however, that
the Company shall not be required to qualify to do business or consent to service of process in any jurisdiction in which it is not now so qualified or has not so consented; 
 (f) bear all expenses (other than underwriting discounts and commissions, if any) in connection with the procedures in paragraph (a) through
(e) of this Section 1 and the registration of the Registrable Securities pursuant to the Registration Statements; 
 (g)
advise the Holder, promptly after it shall receive notice or obtain knowledge of the issuance of any stop order by the SEC delaying or suspending the effectiveness of each Registration Statement or of the initiation of any proceeding for that
purpose; and it will promptly use its commercially reasonable efforts to prevent the issuance of any stop order or to obtain its withdrawal at the earliest possible moment if such stop order should be issued; and 
 (h) with a view to making available to the Holder the benefits of Rule 144 and any other rule or regulation of the SEC that may at any time
permit the Holder to sell Registrable Securities to the public without registration, the Company covenants and agrees to use its commercially reasonable efforts to: (i) make and keep public information available, as those terms are understood
and defined in Rule 144, until the earlier of (A) such date as all of the Holder’s Registrable Securities may be resold pursuant to Rule 144(k) or any other rule of similar effect or (B) such date as all of the Holder’s
Registrable Securities shall have been resold; (ii) file with the SEC in a timely manner all reports and other documents required of the Company under the Securities Act and under the Securities Exchange Act of 1934, as amended
(“Exchange Act”); and (iii) furnish to each Holder, (A) a written statement by the Company that it has complied with the reporting requirements of the Securities Act and the Exchange Act, (B) a copy of the
Company’s most recent Annual Report on Form 10-K or Quarterly Report on Form 10-Q, and (C) such other information as may be reasonably requested in order to avail the Holder of any rule or regulation of the SEC that permits the selling of
any such Registrable Securities without registration. 
  

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 The Company understands that the Holder disclaims being an underwriter, but acknowledges that a
determination by the SEC that the Holder is deemed an underwriter shall not relieve the Company of any obligations it has hereunder. 
 2.
Transfer of Registrable Securities After Registration; Suspension. 
 (a) The Holder agrees that it will not effect any
disposition of the Registrable Securities that would constitute a sale within the meaning of the Securities Act of 1933, as amended (the “Securities Act”), other than in transactions exempt from the registration requirements of the
Securities Act or as contemplated in any Registration Statement and as described below, and that it will promptly notify the Company of any material changes in the information set forth in any Registration Statement regarding the Holder or its plan
of distribution. 
 (b) Except in the event that paragraph (c) below applies, the Company shall: (i) if deemed necessary by
the Company, prepare and file from time to time with the SEC a post-effective amendment to each Registration Statement or a supplement to the related Prospectus or a supplement or amendment to any document incorporated therein by reference or file
any other required document so that such Registration Statement will not contain an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein not misleading, and so
that, as thereafter delivered to purchasers of the Registrable Securities being sold thereunder, such Prospectus will not contain an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to
make the statements therein, in light of the circumstances under which they were made, not misleading; (ii) provide the Holder copies of any documents filed pursuant to Section 2(b)(i); and (iii) upon request, inform each Holder who
so requests that the Company has complied with its obligations in Section 2(b)(i) (or that, if the Company has filed a post-effective amendment to any Registration Statement which has not yet been declared effective, the Company will notify the
Holder to that effect, will use its best efforts to secure the effectiveness of such post-effective amendment as promptly as possible and will promptly notify the Holder pursuant to Section 2(b)(i) hereof when the amendment has become
effective). 
 (c) Subject to paragraph (d) below, in the event: (i) of any request by the SEC or any other federal or
state governmental authority during the period of effectiveness of any Registration Statement for amendments or supplements to the Registration Statement or related Prospectus or for additional information; (ii) of the issuance by the SEC or
any other federal or state governmental authority of any stop order suspending the effectiveness of any Registration Statement or the initiation of any proceedings for that purpose; (iii) of the receipt by the Company of any notification with
respect to the suspension of the qualification or exemption from qualification of any of the Registrable Securities for sale in any jurisdiction or the initiation of any proceeding for such purpose; or (iv) of any event or circumstance which
necessitates the making of any changes in any Registration Statement or Prospectus, or any document incorporated or deemed to be incorporated therein by reference, so that, in the case of the Registration Statement, it will not contain any untrue
statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein not misleading, and that in the case of the Prospectus, it will not contain any untrue statement of a material
fact or omit to state a material fact required to be stated therein or necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading; then the Company shall promptly deliver a certificate in
writing to the Holder (the “Suspension Notice”) to the effect of the foregoing and, upon receipt of such Suspension Notice, the Holder will refrain from selling any Registrable Securities pursuant to the Registration Statement (a
“Suspension”) until the Holder is advised in writing by the Company that the current Prospectus may be used, and has received copies of any additional or supplemental filings that are incorporated or deemed incorporated by reference
in any such Prospectus. In the event of any Suspension, the Company will use its reasonable best efforts to cause the use of the Prospectus so suspended to be resumed as soon as 

  

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reasonably practicable after delivery of a Suspension Notice to the Holder. In addition to and without limiting any other remedies (including, without
limitation, at law or at equity) available to the Holder, the Holder shall be entitled to specific performance in the event that the Company fails to comply with the provisions of this Section 2(c). The Holder covenants that from the date
hereof it will maintain in confidence the receipt and content of any Suspension Notice provided in accordance with this paragraph (c) in accordance with and subject to Section 7.6 of Annex I to the Securities Purchase Agreement.

 (d) Notwithstanding the foregoing paragraphs of this Section 2, the
Company shall use its commercially reasonable efforts to ensure that (i) any Suspension shall not exceed thirty (30) days individually and Suspensions shall not exceed ninety (90) days in the aggregate, during any twelve month period
and (iii) each Suspension shall be separated by a period of at least thirty (30) days from a prior Suspension (each Suspension that satisfies the foregoing criteria being referred to herein as a “Qualifying Suspension”).
In the event that there occurs a Suspension (or part thereof) that does not constitute a Qualifying Suspension, the Company shall pay to the Holder, on the thirtieth (30th) day following the first day of such Suspension (or the first day of such part), and on each thirtieth (30th) day thereafter, an amount equal to 1% of the purchase price paid for the Registrable Securities purchased by the Holder and not previously sold by the Holder (prorated in each such case for partial thirty day periods); provided,
however, that in no event shall the payments made pursuant to this paragraph (d), if any, exceed in the aggregate 5% of such purchase price. 
 (e) If a Suspension is not then in effect, the Holder may sell Registrable Securities under each Registration Statement, provided that it complies with any applicable prospectus delivery requirements. Upon
receipt of a request therefor, the Company will provide an adequate number of current Prospectuses to the Holder and to any other parties requiring such Prospectuses. 
 (f) In the event of a sale of Registrable Securities by the Holder, unless such requirement is waived by the Company in writing, the Holde must also deliver to the Company’s transfer agent, with a copy to
the Company, a Certificate of Subsequent Sale substantially in the form attached hereto as Exhibit A (“Certificate of Subsequent Sale”), so that the Registrable Securities may be properly transferred. 
 (g) The Company agrees that it shall, immediately prior to each Registration Statement being declared effective, deliver to its transfer agent an
opinion letter of counsel, opining that at any time the Registration Statement is effective, the transfer agent shall issue, in connection with the sale of the Registrable Securities, certificates representing such Registrable Securities without
restrictive legend, provided the Registrable Securities are to be sold pursuant to the Prospectus contained in the Registration Statement and the transfer agent receives a Certificate of Subsequent Sale. Upon receipt of such opinion, the Company
shall cause the transfer agent to confirm, for the benefit of the Holder, that no further opinion of counsel is required at the time of transfer in order to issue such Registrable Securities without restrictive legend. 
 The Company shall cause its transfer agent to issue a certificate without any restrictive legend to a purchaser of any Registrable Securities from the
Holder, if (a) the sale of such Registrable Securities is registered under the applicable Registration Statement (including registration pursuant to Rule 415 under the Securities Act) and the Holder has delivered a Certificate of Subsequent
Sale to the Transfer Agent; (b) the Holder has provided the Company with an opinion of counsel, in form, substance and scope customary for opinions of counsel in comparable transactions, to the effect that a public sale or transfer of such
Registrable Securities may be made without registration under the Securities Act; or (c) such Registrable Securities are sold in compliance with Rule 144 under the Securities Act. In addition, the Company shall, at the request of the Holder,
remove the restrictive legend from any Registrable Securities held by the Holder following the expiration of the holding period required by Rule 144(k) under the Securities Act (or any successor rule). 
  

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 3. Indemnification. For the purpose of this Section 3: 
 (a) the term “Selling Shareholder” shall mean the Holder and each person, if any, who controls the Holder within the meaning of
Section 15 of the Securities Act or Section 20 of the Exchange Act; 
 (b) the term “Registration
Statement” shall include any final Prospectus, exhibit, supplement or amendment included in or relating to, and any document incorporated by reference in, the applicable Registration Statement (or deemed to be a part thereof) referred to in
Section 1; and 
 (c) the term “untrue statement” shall mean any untrue statement or alleged untrue statement,
or any omission or alleged omission to state in the applicable Registration Statement a material fact required to be stated therein or necessary to make the statements therein, not misleading. 
 (d) (i) The Company agrees to indemnify and hold harmless each Selling Shareholder from and against any losses, claims, damages or
liabilities to which such Selling Shareholder may become subject (under the Securities Act or otherwise) insofar as such losses, claims, damages or liabilities (or actions or proceedings in respect thereof) arise out of, or are based upon
(i) any untrue statement of a material fact contained in any Registration Statement, (ii) any inaccuracy in the representations and warranties of the Company contained in the Agreement or the failure of the Company to perform its
obligations hereunder or (iii) any failure by the Company to fulfill any undertaking included in any Registration Statement, and the Company will reimburse such Selling Shareholder for any reasonable legal expense or other actual accountable
out of pocket expenses reasonably incurred in investigating, defending or preparing to defend any such action, proceeding or claim; provided, however, that the Company shall not be liable in any such case to the extent that such loss, claim, damage
or liability arises out of, or is based upon, an untrue statement made in such Registration Statement in reliance upon and in conformity with written information furnished to the Company by or on behalf of such Selling Shareholder specifically for
use in preparation of the applicable Registration Statement, or the failure of such Selling Shareholder to comply with the covenants and agreements in Section 2 hereof or any statement or omission in any Prospectus that is corrected in any
subsequent Prospectus that was delivered to the Selling Shareholder prior to the pertinent sale or sales by the Selling Shareholder. 
 (ii) The Holder agrees to indemnify and hold harmless the Company (and each person, if any, who controls the Company within the meaning of Section 15 of the Securities Act, each officer of the Company who signs any Registration
Statement and each director of the Company) from and against any losses, claims, damages or liabilities to which the Company (or any such officer, director or controlling person) may become subject (under the Securities Act or otherwise), insofar as
such losses, claims, damages or liabilities (or actions or proceedings in respect thereof) arise out of, or are based upon, (i) any failure to comply with the covenants and agreements contained in Section 2 hereof, or (ii) any untrue
statement of a material fact contained in the Registration Statement if, and only if, such untrue statement was made in reliance upon and in conformity with written information furnished by or on behalf of the Holder specifically for use in
preparation of the Registration Statement, and the Holder will reimburse the Company (or such officer, director or controlling person), as the case may be, for any reasonable legal expense or other actual accountable out-of-pocket expenses
reasonably incurred in investigating, defending or preparing to defend any such action, proceeding or claim. The obligation to indemnify shall be limited to the net amount of the proceeds received by the Holder from the sale of the Registrable
Securities pursuant to the applicable Registration Statement. 
  

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 (iii) Promptly after receipt by any indemnified person of a notice of a claim or the beginning of
any action in respect of which indemnity is to be sought against an indemnifying person pursuant to this Section 3, such indemnified person shall notify the indemnifying person in writing of such claim or of the commencement of such action, but
the omission to so notify the indemnifying party will not relieve it from any liability which it may have to any indemnified party under this Section 3 (except to the extent that such omission materially and adversely affects the indemnifying
party’s ability to defend such action) or from any liability otherwise than under this Section 3. Subject to the provisions hereinafter stated, in case any such action shall be brought against an indemnified person, the indemnifying person
shall be entitled to participate therein, and, to the extent that it shall elect by written notice delivered to the indemnified party promptly after receiving the aforesaid notice from such indemnified party, shall be entitled to assume the defense
thereof, with counsel reasonably satisfactory to such indemnified person. After notice from the indemnifying person to such indemnified person of its election to assume the defense thereof (unless it has failed to assume the defense thereof and
appoint counsel reasonably satisfactory to the indemnified party), such indemnifying person shall not be liable to such indemnified person for any legal expenses subsequently incurred by such indemnified person in connection with the defense
thereof; provided, however, that if there exists or shall exist a conflict of interest that would make it inappropriate, in the reasonable opinion of counsel to the indemnified person, for the same counsel to represent both the indemnified person
and such indemnifying person or any affiliate or associate thereof, the indemnified person shall be entitled to retain its own counsel at the expense of such indemnifying person; provided, however, that no indemnifying person shall be responsible
for the fees and expenses of more than one separate counsel (together with appropriate local counsel) for all indemnified parties. In no event shall any indemnifying person be liable in respect of any amounts paid in settlement of any action unless
the indemnifying person shall have approved the terms of such settlement; provided that such consent shall not be unreasonably withheld. No indemnifying person shall, without the prior written consent of the indemnified person, effect any settlement
of any pending or threatened proceeding in respect of which any indemnified person is or could reasonably have been a party and indemnification could have been sought hereunder by such indemnified person, unless such settlement includes an
unconditional release of such indemnified person from all liability on claims that are the subject matter of such proceeding. 
 (iv)
If the indemnification provided for in this Section 3 is unavailable to or insufficient to hold harmless an indemnified party under paragraphs 3(d)(i) or 3(d)(ii) above in respect of any losses, claims, damages or liabilities (or actions or
proceedings in respect thereof) referred to therein, then each indemnifying party shall contribute to the amount paid or payable by such indemnified party as a result of such losses, claims, damages or liabilities (or actions in respect thereof) in
such proportion as is appropriate to reflect the relative fault of the Company on the one hand and the Holder on the other in connection with the statements or omissions or other matters which resulted in such losses, claims, damages or liabilities
(or actions in respect thereof), as well as any other relevant equitable considerations. The relative fault shall be determined by reference to, among other things, in the case of an untrue statement, whether the untrue statement relates to
information supplied by the Company on the one hand or the Holder on the other and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such untrue statement. The Company and the Holder agree that
it would not be just and equitable if contribution pursuant to this subsection (d) were determined by pro rata allocation (even if the Holder was treated as one entity for such purpose) or by any other method of allocation which does not take
into account the equitable considerations referred to above in this subsection (d). The amount paid or payable by an indemnified party as a result of the losses, claims, damages or liabilities (or actions in respect thereof) referred to above in
this subsection (d) shall be deemed to include any legal or other expenses reasonably incurred by such indemnified party in connection with investigating or defending any such action or claim. Notwithstanding the provisions of this subsection
(d), the Holder shall not be required to contribute any amount in excess of the amount by which the gross amount received by the Holder from the sale of the Registrable Securities to which such loss relates exceeds the amount of any damages which
the Holder has otherwise been 

  

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required to pay by reason of such untrue statement. No person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the
Securities Act) shall be entitled to contribution from any person who was not guilty of such fraudulent misrepresentation. The Holder’s obligations in this subsection to contribute are several in proportion to their sales of Registrable
Securities to which such loss relates and not joint. 
 The parties to this Agreement hereby acknowledge that they are sophisticated
business persons who were represented by counsel during the negotiations regarding the provisions hereof including, without limitation, the provisions of this Section 3, and are fully informed regarding said provisions. They further acknowledge
that the provisions of this Section 3 fairly allocate the risks in light of the ability of the parties to investigate the Company and its business in order to assure that adequate disclosure is made in each Registration Statement as required by
the Securities Act and the Exchange Act. 
 4. Termination of Conditions and Obligations. The conditions precedent imposed by this
Section 4 upon the transferability of the Registrable Securities shall cease and terminate as to any particular number of the Registrable Securities when such Registrable Securities shall have been effectively registered under the Securities
Act and sold or otherwise disposed of in accordance with the intended method of disposition set forth in the Registration Statement covering such Registrable Securities or at such time as an opinion of counsel satisfactory to the Company shall have
been rendered to the effect that such conditions are not necessary in order to comply with the Securities Act. 
 5. Information
Available. So long as any Registration Statement is effective covering the resale of Registrable Securities owned by the Holder, the Company will furnish (or, to the extent such information is available electronically through the Company’s
filings with the SEC, the Company will make available) to the Holder: 
 (a) as soon as practicable after it is available, one copy of
(i) its Annual Report to Shareholders (which Annual Report shall contain financial statements audited in accordance with generally accepted accounting principles by an independent registered public accounting firm, and (ii) if not included
in substance in the Annual Report to Shareholders, its Annual Report on Form 10-K (the foregoing, in each case, excluding exhibits); 
 (b) upon the reasonable request of the Holder, all exhibits excluded by the parenthetical to subsection (a)(ii) of this Section 5 as filed with the SEC and all other information that is made available to shareholders; and

 (c) upon the reasonable request of the Holder, an adequate number of copies of the Prospectuses to supply to any other party
requiring such Prospectuses; and the Company, upon the reasonable request of the Holder, will meet with the Holder or a representative thereof at the Company’s headquarters during the Company’s normal business hours to discuss all
information relevant for disclosure in the Registration Statement covering the Registrable Securities and will otherwise reasonably cooperate with the Holder conducting an investigation for the purpose of reducing or eliminating the Holder’s
exposure to liability under the Securities Act, including the reasonable production of information at the Company’s headquarters; provided, that the Company shall not be required to disclose any confidential information to or meet at its
headquarters with the Holder until and unless the Holder shall have entered into a confidentiality agreement, in form and substance reasonably satisfactory to the Company, with the Company with respect thereto. 
  

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 6. Piggy-Back Registrations. 
 (a) If at any time during the Effectiveness Period there is not an effective Registration Statement covering all of the Registrable Securities and
the Company shall determine to prepare and file with the Commission a registration statement relating to an offering for its own account or the account of others under the Securities Act of any of its equity securities, other than on Form S-4 or
Form S-8 (each as promulgated under the Securities Act) or their then equivalents relating to equity securities to be issued solely in connection with any acquisition of any entity or business or equity securities issuable in connection with the
stock option or other employee benefit plans, then the Company shall give prompt written notice to the Holder of Registrable Securities of its intention to do so and of such Holder’s rights under this Section 6. Upon the written request of
any such Holder made within 15 days after the receipt of any such notice (which request shall specify the Registrable Securities intended to be disposed of by such Holder), the Company will use its best efforts to effect the registration under the
Securities Act of all Registrable Securities which the Company has been so requested to register by the Holder thereof, to the extent requisite to permit the disposition of the Registrable Securities to be so registered; provided that
(i) if, at any time after giving written notice of its intention to register any securities and prior to the effective date of the registration statement filed in connection with such registration, the Company shall determine for any reason not
to proceed with the proposed registration of the securities to be sold by it, the Company may, at its election, give written notice of such determination to the Holder of Registrable Securities and, thereupon, shall be relieved of its obligation to
register any Registrable Securities in connection with such registration (but not from its obligation to pay the registration expenses in connection therewith), and (ii) if such registration involves an underwritten offering, the Holder of
Registrable Securities requesting to be included in the Company’s registration must sell their Registrable Securities to the underwriters selected by the Company on the same terms and conditions as apply to the Company, with such differences,
including any with respect to indemnification and liability insurance, as may be customary or appropriate in combined primary and secondary offerings. If a registration requested pursuant to this Section 6(a) involves an underwritten public
offering, the Holder of Registrable Securities requesting to be included in such registration may elect, in writing prior to the effective date of the registration statement filed in connection with such registration, not to register such securities
in connection with such registration. The Company will pay all registration expenses in connection with each registration of Registrable Securities. 
 (b) If a registration pursuant to this Section 6 involves an underwritten offering and the managing underwriter advises the Company in writing that, in its opinion, the number of securities requested to be
included in such registration exceeds the number which can be sold in such offering, so as to be likely to have an adverse effect on the price, timing or distribution of the securities offered in such offering as contemplated by the Company (other
than the Registrable Securities), then the Company will include in such registration (i) first, 100% of the securities the Company proposes to sell and (ii) second, to the extent of the number of Registrable Securities requested to be
included in such registration pursuant to this Section 6 which, in the opinion of such managing underwriter, can be sold without having the adverse effect referred to above, the number of Registrable Securities which the Holder has requested to
be included in such registration. 
 7. Limits on Additional Issuances. Except for the issuance of stock options under the
Company’s stock option plans, the issuance of common stock under the Company’s employee stock purchase plan or upon exercise of outstanding options and warrants and the Offering contemplated hereby, the Company will not, for a period of
six (6) months following the closing of the Offering, unless, in the opinion of the Company’s counsel, such offer or sale does not jeopardize the availability of exemptions from the registration and qualification requirements under
applicable securities laws with respect to the Offering. The foregoing shall not apply to securities issued in connection with any acquisition, including by way of merger, or purchase of stock or all or substantially all of the assets of any third
party. Except for the issuance of stock options under the Company’s stock option plans, the issuance of 

  

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common stock under the Company’s employee stock purchase plan or upon exercise of outstanding options and warrants, the issuance of common stock
purchase warrants, and the offering contemplated hereby, the Company has not engaged in any such offering during the six (6) months prior to the date of this agreement. The foregoing provisions shall not prevent the Company from filing a
“shelf” registration statement pursuant to Rule 415 under the Securities Act, but the foregoing provisions shall apply to any sale of securities thereunder. 
 8. Notices. All notices, requests, consents and other communications hereunder shall be in writing, shall be delivered (A) if within the United States, by first-class registered or certified airmail, or
nationally recognized overnight express courier, postage prepaid, or by facsimile, or (B) if from outside the United States, by International Federal Express (or comparable service) or facsimile, and shall be deemed given (i) if delivered
by first-class registered or certified mail domestic, upon the Business Day received, (ii) if delivered by nationally recognized overnight carrier, one (1) Business Day after timely delivery to such carrier, (iii) if delivered by
International Federal Express (or comparable service), two (2) Business Days after timely delivery to such carrier, (iv) if delivered by facsimile, upon electric confirmation of receipt and shall be addressed as follows, or to such other
address or addresses as may have been furnished in writing by a party to another party pursuant to this paragraph: 
  

	 	(a)	if to the Company, to: 

 eDiets.com, Inc. 
 3801 W. Hillsboro Boulevard 
 Deerfield Beach, FL 33442 
 Attention: 
 Telephone: 
 with a copy to: 
 Leslie J. Croland, P.A. 
 Edwards Angell Palmer & Dodge, LLP 
 350 East Las Olas Boulevard, Suite 1150 
 Fort Lauderdale, FL 33301 
 Telephone: (954) 667-6129 
  

	 	(b)	if to the Holder, at its address on the signature page of this Agreement. 

 9. Amendments; Waiver. This Agreement may not be modified or amended except pursuant to an instrument in writing signed by the Company, the Selling Stockholder and the Holder. Any waiver of a provision of this
Agreement must be in writing and executed by the party against whom enforcement of such waiver is sought. 
 10. Successors and
Assigns. This Agreement shall be binding upon and inure to the benefit of the parties and their successors and permitted assigns. No party may assign this Agreement or any rights or obligations hereunder without the prior written consent of the
other; provided, however, that Holder may assign all or any of its rights and obligations hereunder to any affiliate of Holder that is controlled, directly or indirectly, by Prides Capital Partners, LLC (any such assignment by the Holder pursuant to
the preceding proviso shall not, however, release or be deemed to release the Holder from its obligations hereunder, and the Holder shall remain liable for all such obligations). 
  

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 11. Headings. The headings of the various sections of this Agreement have been inserted for
convenience of reference only and shall not be deemed to be part of this Agreement. 
 12. Entire Agreement; Severability. This
Agreement sets forth the entire agreement and understanding of the parties relating to the subject matter hereof and supersedes all prior and contemporaneous agreements, negotiations and understandings between the parties, both oral and written
relating to the subject matter hereof. If any provision contained in this Agreement is determined to be invalid, illegal or unenforceable in any respect, the validity, legality and enforceability of the remaining provisions contained herein shall
not in any way be affected or impaired thereby. 
 13. Governing Law. This Agreement shall be governed by, and construed in accordance
with, the internal laws of the State of Delaware, without giving effect to the principles of conflicts of law. 
 14. Counterparts.
This Agreement may be executed in two or more counterparts, each of which shall constitute an original, but all of which, when taken together, shall constitute but one instrument, and shall become effective when one or more counterparts have been
signed by each party hereto and delivered to the other parties. 
 [Remainder of Page Intentionally Left Blank.] 
  

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 Please confirm that the foregoing correctly sets forth the agreement between us by signing below.

  

					
	Dated as of August 31, 2007	 	PRIDES CAPITAL FUND I, L.P.
			
		 	By:	 	Prides Capital Partners, LLC, its General Partner
			
		 	By:	 	  

		 	Name:	 	
		 	Title:	 	
		
		 	Address:
		 	c/o Prides Capital Partners, LLC
		 	200 High Street, Suite 700
		 	Boston, MA 02110
		 	Attention: Murray Indick
		 	Telephone: (415) 946-1482
		 	Facsimile: (415) 946-1486
		 	Email: murray@pridescapital.com
		
	Dated as of August 31, 2007	 	EDIETS.COM, INC.
			
		 	By:	 	  

		 	Name:	 	
		 	Title:	 	

 [REGISTRATION RIGHTS AGREEMENT SIGNATURE PAGE] 
  

 - 11 - 

 Exhibit A 
 eDiets.com, Inc. 
 CERTIFICATE OF SUBSEQUENT SALE 
 [Transfer Agent] 
  

			
	  
	 	
	  
	 	

  

	 	RE:	Sale of Securities of Common Stock of eDiets.com, Inc. (the “Company”) pursuant to the Company’s Prospectus dated
                    , 2007 (the “Prospectus”) 

 Dear Sir/Madam: 
 The undersigned hereby certifies, in connection with the sale of shares of Common Stock of
the Company included in the table of Selling Shareholders in the Prospectus, that the undersigned has sold the Shares pursuant to the Prospectus and in a manner described under the caption “Plan of Distribution” in the Prospectus and that
such sale complies with all applicable securities laws, including, without limitation, the Prospectus delivery requirements of the Securities Act of 1933, as amended. 
  

			
	Selling Shareholder (the beneficial owner):	  	  

			
		
	Record Holder (e.g., if held in name of nominee):	  	  

			
		
	Restricted Stock Certificate No.(s):	  	  

			
		
	Number of Shares Sold:	  	  

			
		
	Date of Sale:	  	  

 In the event that you receive a stock certificate(s) representing more shares of Common
Stock than have been sold by the undersigned, then you should return to the undersigned a newly issued certificate for such excess shares in the name of the Record Holder and BEARING A RESTRICTIVE LEGEND. Further, you should place a stop transfer on
your records with regard to such certificate. 
  

					
	Dated:                             	 	Very truly yours,
			
		 	By:	 	  

					
			
		 	Print Name:	 	  

					
			
		 	Title:	 	  

  

 A-1Security Agreement

 Exhibit 10.5 
 EXECUTION COPY 
 SECURITY AGREEMENT 
 Dated August 31, 2007 
 From 
 The Grantors referred to herein 
 as
Grantors 
 to 
 PRIDES
CAPITAL FUND I, L.P. 
 as Purchaser 

 TABLE OF CONTENTS 
  

					
	 Section
	 	  	  	Page
	 Section 1.
	 	 Grant of Security
	  	1
			
	 Section 2.
	 	 Security for Obligations
	  	6
			
	 Section 3.
	 	 Grantors Remain Liable
	  	6
			
	 Section 4.
	 	 Delivery and Control of Security Collateral
	  	6
			
	 Section 5.
	 	 Maintaining the Account Collateral
	  	7
			
	 Section 6.
	 	 Representations and Warranties
	  	7
			
	 Section 7.
	 	 Further Assurances
	  	11
			
	 Section 8.
	 	 As to Equipment and Inventory
	  	11
			
	 Section 9.
	 	 Insurance
	  	11
			
	 Section 10.
	 	 Post-Closing Changes; Collections on Receivables
	  	12
			
	 Section 11.
	 	 As to Intellectual Property Collateral
	  	13
			
	 Section 12.
	 	 Voting Rights; Dividends; Etc.
	  	15
			
	 Section 13.
	 	 As to Letter-of-Credit Rights
	  	16
			
	 Section 14.
	 	 Commercial Tort Claims
	  	16
			
	 Section 15.
	 	 Transfers and Other Liens; Additional Shares
	  	16
			
	 Section 16.
	 	 Purchaser Appointed Attorney in Fact
	  	17
			
	 Section 17.
	 	 Purchaser May Perform
	  	17
			
	 Section 18.
	 	 The Purchaser’s Duties
	  	17
			
	 Section 19.
	 	 Remedies
	  	18
			
	 Section 20.
	 	 Indemnity and Expenses
	  	20
			
	 Section 21.
	 	 Amendments; Waivers; Additional Grantors; Etc.
	  	21
			
	 Section 22.
	 	 Notices, Etc.
	  	21
			
	 Section 23.
	 	 Continuing Security Interest; Assignments under the Note
	  	22
			
	 Section 24.
	 	 Release; Termination
	  	22
			
	 Section 25.
	 	 Execution in Counterparts
	  	22
			
	 Section 26.
	 	 Governing Law
	  	22

  

 i 

					
	 Schedules
	  		 	
			
	 Schedule I
	  	-	 	Investment Property
			
	 Schedule II
	  	-	 	Pledged Deposit Accounts
			
	 Schedule III
	  	-	 	Intellectual Property
			
	 Schedule IV
	  	-	 	Commercial Tort Claims
			
	 Schedule V
	  	-	 	Location, Chief Executive Office, Type of Organization, Jurisdiction of Organization and Organizational Identification Number
			
	 Schedule VI
	  	-	 	Locations of Equipment and Inventory
			
	 Schedule VII
	  	-	 	Letters of Credit
			
	 Exhibits
	  		 	
			
	 Exhibit A
	  	-	 	Form of Intellectual Property Security Agreement
			
	 Exhibit B
	  	-	 	Form of Intellectual Property Security Agreement Supplement
			
	 Exhibit C
	  	-	 	Form of Security Agreement Supplement

  

 ii 

 SECURITY AGREEMENT 
 THIS SECURITY AGREEMENT dated August 31, 2007 is made by eDiets.com, Inc., a Delaware corporation (the “Company”) and the other parties listed on the signature pages hereof (the Company
and the parties so listed being, collectively, the “Grantors”), to Prides Capital Fund I, L.P., as purchaser (the “Purchaser”). 
 PRELIMINARY STATEMENTS. 
 (1) The
Purchaser has purchased a $10,000,000 Senior Secured Note dated the date hereof (the “Note”) issued by the Company (said note, as it may hereafter be amended, amended and restated, supplemented or otherwise modified from time
to time, being the “Note”) pursuant to a Note Purchase Agreement dated the date hereof (the “Note Purchase Agreement”) between the Company and the Purchaser. Each Grantor (other than the Company) has
entered into a guaranty dated the date hereof (or a supplement thereto) (the “Guaranty”) in favor of the Purchaser pursuant to which such Grantor has guaranteed the obligations of the Company under the Note. 
 (2) Each Grantor is the owner of the shares of capital stock (the “Initial Pledged Equity”) set forth opposite such
Grantor’s name on and as otherwise described in Part I of Schedule I hereto. 
 (3) Each Grantor is the owner of the deposit accounts
(the “Pledged Deposit Accounts”) set forth opposite such Grantor’s name on Schedule II hereto. 
 (4) The
Company owns an account (the “Securities Account”) in which it maintains securities or other investments. 
 (5) It
is a condition precedent to the purchase of the Note that the Grantors shall have granted the security interest contemplated by this Agreement. Each Grantor will derive substantial direct and indirect benefit from the financing provided by the Note.

 (6) Terms defined in the Note and not otherwise defined in this Agreement are used in this Agreement as defined in the Note. Further,
unless otherwise defined in this Agreement or in the Note, terms defined in Article 8 or 9 of the UCC (as defined below) are used in this Agreement as such terms are defined in such Article 8 or 9. “UCC” means the Uniform
Commercial Code as in effect from time to time in the State of New York; provided that, if perfection or the effect of perfection or non perfection or the priority of the security interest in any Collateral is governed by the Uniform
Commercial Code as in effect in a jurisdiction other than the State of New York, “UCC” means the Uniform Commercial Code as in effect from time to time in such other jurisdiction for purposes of the provisions hereof relating
to such perfection, effect of perfection or non perfection or priority. 
 NOW, THEREFORE, in consideration of the premises and in order to
induce the Purchaser to purchase the Note, each Grantor hereby agrees with the Purchaser as follows: 
 Section 1. Grant of
Security. Each Grantor hereby grants to the Purchaser a security interest in such Grantor’s right, title and interest in and to the following, in each case, as to each type of property described below, whether now owned or hereafter
acquired by such Grantor, wherever located, and whether now or hereafter existing or arising (collectively, the “Collateral”): 
 (a) all equipment owned by the Company in all of its forms, including, without limitation, all machinery, tools, motor vehicles, furniture and fixtures, and all parts thereof and all accessions thereto, including,
without limitation, computer programs and supporting information that constitute equipment within the meaning of the UCC (any and all such property being the “Equipment”); 

 (b) all inventory in all of its forms, including, without limitation, (i) all raw
materials, work in process, finished goods and materials used or consumed in the manufacture, production, preparation or shipping thereof, (ii) goods in which such Grantor has an interest in mass or a joint or other interest or right of any
kind (including, without limitation, goods in which such Grantor has an interest or right as consignee) and (iii) goods that are returned to or repossessed or stopped in transit by such Grantor), and all accessions thereto and products thereof
and documents therefor, including, without limitation, computer programs and supporting information that constitute inventory within the meaning of the UCC (any and all such property being the “Inventory”); 
 (c) all accounts, chattel paper (including, without limitation, tangible chattel paper and electronic chattel paper), instruments
(including, without limitation, promissory notes), deposit accounts, securities accounts, letter-of-credit rights, general intangibles (including, without limitation, payment intangibles) and other obligations of any kind, whether or not arising out
of or in connection with the sale or lease of goods or the rendering of services and whether or not earned by performance, and all rights now or hereafter existing in and to all supporting obligations and in and to all security agreements,
mortgages, liens, leases, letters of credit and other contracts securing or otherwise relating to the foregoing property (any and all of such accounts, chattel paper, instruments, deposit accounts, securities accounts, letter-of-credit rights,
general intangibles and other obligations, to the extent not referred to in clause (d) below, being the “Receivables,” and any and all such supporting obligations, security agreements, mortgages, liens, leases, letters
of credit and other contracts being the “Related Contracts”); 
 (d) the following (the
“Security Collateral”): 
 (i) the Initial Pledged Equity and the certificates, if any, representing
the Initial Pledged Equity, and all dividends, distributions, return of capital, cash, instruments and other property from time to time received, receivable or otherwise distributed in respect of or in exchange for any or all of the Initial Pledged
Equity and all warrants, rights or options issued thereon or with respect thereto; 
 (ii) all additional shares of capital
stock and other equity interests from time to time acquired by such Grantor in any manner (such shares and other equity interests, together with the Initial Pledged Equity, being the “Pledged Equity”), and

  

 - 2 - 

 
the certificates, if any, representing such additional shares or other equity interests, and all dividends, distributions, return of capital, cash,
instruments and other property from time to time received, receivable or otherwise distributed in respect of or in exchange for any or all of such shares or other equity interests and all warrants, rights or options issued thereon or with respect
thereto; 
 (iii) all indebtedness from time to time owed to such Grantor (the “Pledged Debt”) and the
instruments evidencing such indebtedness, and all interest, cash, instruments and other property from time to time received, receivable or otherwise distributed in respect of or in exchange for any or all of such indebtedness; 
 (iv) the Securities Account, all security entitlements with respect to all financial assets from time to time credited to the Securities
Account, and all financial assets, and all dividends, distributions, return of capital, interest, cash, instruments and other property from time to time received, receivable or otherwise distributed in respect of or in exchange for any or all of
such security entitlements or financial assets and all warrants, rights or options issued thereon or with respect thereto; and 
 (v) all other investment property (as defined in the UCC) (including, without limitation, all (A) securities, whether certificated or uncertificated, (B) security entitlements, (C) securities accounts, (D) commodity
contracts and (E) commodity accounts) in which such Grantor has now, or acquires from time to time hereafter, any right, title or interest in any manner, and the certificates or instruments, if any, representing or evidencing such investment
property, and all dividends, distributions, return of capital, interest, cash, instruments and other property from time to time received, receivable or otherwise distributed in respect of or in exchange for any or all of such investment property and
all warrants, rights or options issued thereon or with respect thereto; 
 (e) the Pledged Deposit Accounts and all funds and
financial assets from time to time credited thereto (including, without limitation, all cash equivalents), and all certificates and instruments, if any, from time to time representing or evidencing the Pledged Deposit Account (collectively, the
“Account Collateral”); 
 (f) the following (collectively, the “Intellectual Property
Collateral”): 
 (i) all patents, patent applications, utility models and statutory invention registrations, all
inventions claimed or disclosed therein and all improvements thereto (“Patents”); 
 (ii) all
trademarks, service marks, domain names, trade dress, logos, designs, slogans, trade names, business names, corporate names and other source identifiers, whether registered or unregistered (provided that no security interest shall be granted in
United States intent-to-use trademark applications to the extent that, and solely during the period in which, the 

  

 - 3 - 

 
grant of a security interest therein would impair the validity or enforceability of such intent-to-use trademark applications under applicable federal law),
together, in each case, with the goodwill symbolized thereby (“Trademarks”); 
 (iii) all copyrights,
including, without limitation, copyrights in Computer Software (as hereinafter defined), internet web sites and the content thereof, whether registered or unregistered (“Copyrights”); 
 (iv) all computer software, programs and databases (including, without limitation, source code, object code and all related applications
and data files), firmware and documentation and materials relating thereto, together with any and all maintenance rights, service rights, programming rights, hosting rights, test rights, improvement rights, renewal rights and indemnification rights
and any substitutions, replacements, improvements, error corrections, updates and new versions of any of the foregoing (“Computer Software”); 
 (v) all confidential and proprietary information, including, without limitation, know-how, trade secrets, manufacturing and production
processes and techniques, inventions, research and development information, databases and data, including, without limitation, technical data, financial, marketing and business data, pricing and cost information, business and marketing plans and
customer and supplier lists and information (collectively, “Trade Secrets”), and all other intellectual, industrial and intangible property of any type, including, without limitation, industrial designs and mask works;

 (vi) all registrations and applications for registration for any of the foregoing, including, without limitation, those
registrations and applications for registration set forth in Schedule III hereto, together with all reissues, divisions, continuations, continuations-in-part, extensions, renewals and reexaminations thereof; 
 (vii) all tangible embodiments of the foregoing, all rights in the foregoing provided by international treaties or conventions, all rights
corresponding thereto throughout the world and all other rights of any kind whatsoever of such Grantor accruing thereunder or pertaining thereto; 
 (viii) all agreements, permits, consents, orders and franchises relating to the license, development, use or disclosure of any of the foregoing to which such Grantor, now or hereafter, is a party or a beneficiary,
including, without limitation, the agreements set forth in Schedule III hereto (“IP Agreements”); and 
 (ix) any and all claims for damages and injunctive relief for past, present and future infringement, dilution, misappropriation, violation, misuse or breach with respect to any of the foregoing, with the right, but not the obligation, to
sue for and collect, or otherwise recover, such damages; 
  

 - 4 - 

 (g) the commercial tort claims described in Schedule IV hereto (together with any
commercial tort claims as to which the Grantors have complied with the requirements of Section 14, the “Commercial Tort Claims Collateral”); 
 (h) all books and records (including, without limitation, customer lists, credit files, printouts and other computer output materials and
records) of such Grantor pertaining to any of the Collateral; and 
 (i) all proceeds of, collateral for, income, royalties
and other payments now or hereafter due and payable with respect to, and supporting obligations relating to, any and all of the Collateral (including, without limitation, proceeds, collateral and supporting obligations that constitute property of
the types described in clauses (a) through (g) of this Section 1) and, to the extent not otherwise included, all (A) payments under insurance (whether or not the Purchaser is the loss payee thereof), or any indemnity, warranty or
guaranty, payable by reason of loss or damage to or otherwise with respect to any of the foregoing Collateral, and (B) cash. 
 Notwithstanding anything herein to the contrary, in no event shall the Collateral include, and no Grantor shall be deemed to have granted a security interest in, (a) any Intellectual Property Collateral, if the grant of such security
interest shall constitute or result in the abandonment, invalidation or rendering unenforceable any right, title or interest of such Grantor therein; (b) any account, general intangible, permit, instrument, promissory note, chattel paper,
license, contract or agreement to which such Grantor is a party or any of its rights or interests thereunder, including, without limitation, with respect to any pledged partnership interests or any pledged limited liability company interests, to the
extent, but only to the extent, that such a grant would, under the terms of such account, general intangible, permit, instrument, promissory note, chattel paper, license, contract or agreement (including, without limitation, any partnership
agreements or any limited liability company agreements), or otherwise, be prohibited by or result in a breach or termination of the terms of, or constitute a default under or termination of any such account, general intangible, permit, instrument,
promissory note, chattel paper, license, contract or agreement (other than to the extent that any such term would be rendered ineffective pursuant to Section 9-406 of the UCC (or any successor provision) of any relevant jurisdiction or any
other applicable law (including the Bankruptcy Code of the United States) or principles of equity) or would otherwise constitute a violation of law, regulation or policy; provided, however, that immediately upon the ineffectiveness,
lapse or termination of any such provision, the Collateral shall include, and each Grantor shall be deemed to have granted a security interest in, all such rights and interests as if such provision had never been in effect; (c) any of the
outstanding capital stock of a “controlled foreign corporation” as defined in the Internal Revenue Code of 1986, as amended from time to time (each, a “Controlled Foreign Corporation”), in excess of 65% of the voting power
of all classes of capital stock of such Controlled Foreign Corporation entitled to vote; (d) all equipment and other property to the extent, but only to the extent, that such a grant would, under the terms of any contract or agreement to which
such Grantor is a party in connection with certain industrial revenue obligations, be prohibited by or would otherwise result in a breach or termination of the terms of, or constitute a default under or termination of any such contract or agreement
or would otherwise constitute a violation of law, regulation or policy; provided, however, that immediately upon the ineffectiveness, lapse or termination of any such provision precluding the grant of security interest on such
property, the Collateral shall include, and each Grantor shall 

  

 - 5 - 

 
be deemed to have granted a security interest in, all such rights and interests as if such provision had never been in effect; or (e) any governmental
permit or franchise that prohibits liens or other encumbrances on or collateral assignment of such permit or franchise. 
 Section 2.
Security for Obligations. This Agreement secures, in the case of each Grantor, the payment of all obligations of such Grantor now or hereafter existing under the Note or the Guaranty, as the case may be, whether direct or indirect, absolute
or contingent, and whether for principal, interest, fees, premiums, penalties, indemnifications, contract causes of action, costs, expenses or otherwise (all such Obligations being the “Secured Obligations”). Without limiting
the generality of the foregoing, this Agreement secures, as to each Grantor, the payment of all amounts that constitute part of the Secured Obligations and would be owed by such Grantor to the Purchaser under the Note but for the fact that they are
unenforceable or not allowable due to the existence of a bankruptcy, reorganization or similar proceeding involving a Grantor. 
 Section 3. Grantors Remain Liable. Anything herein to the contrary notwithstanding, (a) each Grantor shall remain liable under the contracts and agreements included in such Grantor’s Collateral to the extent set forth
therein to perform all of its duties and obligations thereunder to the same extent as if this Agreement had not been executed, (b) the exercise by the Purchaser of any of the rights hereunder shall not release any Grantor from any of its duties
or obligations under the contracts and agreements included in the Collateral and (c) the Purchaser shall not have any obligation or liability under the contracts and agreements included in the Collateral by reason of this Agreement or any other
agreement executed in connection herewith, nor shall the Purchaser be obligated to perform any of the obligations or duties of any Grantor thereunder or to take any action to collect or enforce any claim for payment assigned hereunder. 

Section 4. Delivery and Control of Security Collateral. (a) All certificates or instruments representing or evidencing Security
Collateral shall be delivered to and held by the Purchaser pursuant hereto and shall be in suitable form for transfer by delivery, or shall be accompanied by duly executed instruments of transfer or assignment in blank, all in form and substance
satisfactory to the Purchaser. The Purchaser shall have the right at any time to exchange certificates or instruments representing or evidencing Security Collateral for certificates or instruments of smaller or larger denominations. 
 (b) With respect to any Security Collateral that constitutes an uncertificated security, the relevant Grantor will cause the issuer thereof either
(i) to register the Purchaser as the registered owner of such security or (ii) to agree with such Grantor and the Purchaser that such issuer will comply with instructions with respect to such security originated by the Purchaser without
further consent of such Grantor, such agreement to be in form and substance satisfactory to the Purchaser (such agreement being an “Uncertificated Security Control Agreement”). 
 (c) With respect to the Securities Account and any Security Collateral that constitutes a security entitlement as to which the Purchaser is not the
securities intermediary, the relevant Grantor, at Purchaser’s request, will cause the securities intermediary with respect to such Account or security entitlement either (i) to identify in its records the Purchaser as the entitlement
holder thereof or 

  

 - 6 - 

 
(ii) to agree with such Grantor and the Purchaser that such securities intermediary will comply with entitlement orders originated by the Purchaser
without further consent of such Grantor, such agreement to be in form and substance satisfactory to the Purchaser (a “Securities Account Control Agreement” or “Securities/Deposit Account Control
Agreement,” respectively). 
 (d) Upon the request of the Purchaser, each Grantor will notify each issuer of Security Collateral
granted by it hereunder that such Security Collateral is subject to the security interest granted hereunder. 
 Section 5.
Maintaining the Account Collateral. Subject to Section 3.12 of the Note Purchase Agreement, so long as any amount remains outstanding under the Note, each Grantor will maintain deposit accounts only with a bank that has agreed with such
Grantor and Purchaser to comply with instructions originated by the Purchaser directing the disposition of funds in such deposit account without the further consent of such Grantor, such agreement to be in form and substance satisfactory to the
Purchaser (a “Deposit Account Control Agreement”); provided, however, this Section 5 shall not apply to deposit accounts (i) with an aggregate balance of no more than $50,000 at any time or
(ii) operated solely as a payroll account. 
 Section 6. Representations and Warranties. Each Grantor represents and
warrants as follows: 
 (a) Such Grantor’s exact legal name, location, chief executive office, type of organization,
jurisdiction of organization and organizational identification number is set forth in Schedule V hereto. Such Grantor has no trade names other than as listed on Schedule V hereto. 
 (b) Such Grantor is the legal and beneficial owner of the Collateral granted or purported to be granted by it free and clear of any lien,
claim, option or right of others, except for the security interest created under this Agreement or permitted under the Note or the Note Purchase Agreement. Except as previously disclosed to Purchaser, no effective financing statement or other
instrument similar in effect covering all or any part of such Collateral or listing such Grantor or any trade name of such Grantor as debtor is on file in any recording office, except such as may have been filed in favor of the Purchaser relating to
the Note or Guaranty. 
 (c) All of the Equipment and Inventory of such Grantor are located at the places specified therefor
in Schedule VI hereto or at another location as to which such Grantor has complied with the requirements of Section 6(a). Such Grantor has exclusive possession and control of its Equipment and Inventory, other than Inventory stored at any
leased premises or warehouse for which a landlord’s or warehouseman’s agreement, in form and substance satisfactory to the Purchaser, is in effect. 
 (d) None of the Receivables is evidenced by a promissory note that has not been disclosed to the Purchaser. 
  

 - 7 - 

 (e) If such Grantor is an issuer of Security Collateral, such Grantor confirms that it
has received notice of the security interest granted hereunder. 
 (f) The Pledged Equity pledged by such Grantor hereunder
has been duly authorized and validly issued and is fully paid and non assessable. None of the Pledged Debt pledged by such Grantor hereunder is evidenced by promissory notes. 
 (g) The Initial Pledged Equity pledged by such Grantor constitutes the percentage of the issued and outstanding capital stock of the
issuers thereof indicated on Schedule I hereto. 
 (h) Such Grantor has no investment property (as defined in the UCC), other
than the investment property described in Part II of Schedule I hereto and additional investment property as to which such Grantor has complied with the requirements of Section 4. 
 (i) Such Grantor is not a beneficiary or assignee under any letter of credit, other than the letters of credit described in Schedule VII
hereto and additional letters of credit as to which such Grantor has complied with the requirements of Section 13. 
 (j)
This Agreement creates in favor of the Purchaser a valid security interest in the Collateral granted by such Grantor, securing the payment of the Secured Obligations; all filings and other actions (including, without limitation, (A) actions
necessary to obtain control of Collateral as provided in Sections 9-104, 9-105, 9-106 and 9-107 of the UCC and (B) actions necessary to perfect the Purchaser’s security interest with respect to Collateral evidenced by a certificate of
title) necessary to perfect the security interest in the Collateral granted by such Grantor have been duly made or taken and are in full force and effect; and such security interest is first priority. 
 (k) No authorization or approval or other action by, and no notice to or filing with, any governmental authority or regulatory body or any
other third party is required for (i) the grant by such Grantor of the security interest granted hereunder or for the execution, delivery or performance of this Agreement by such Grantor, (ii) the perfection or maintenance of the security
interest created hereunder (including the first priority nature of such security interest), except for the filing of financing and continuation statements under the UCC, which financing statements have been or will promptly be filed and are in full
force and effect, the recordation of the Intellectual Property Security Agreements referred to in Section 11(f) with the U.S. Patent and Trademark Office and the U.S. Copyright Office, which Agreements have been or will promptly be recorded and
are in full force and effect, and the actions described in Section 4 with respect to the Security Collateral, which actions have been taken and are in full force and effect, or (iii) the exercise by the Purchaser of its voting or other
rights provided for in this Agreement or the remedies in respect of the Collateral pursuant to this Agreement, except as may be required in connection with the disposition of any portion of the Security Collateral by laws affecting the offering and
sale of securities generally. 
  

 - 8 - 

 (l) The Inventory that has been produced or distributed by such Grantor has been produced
in compliance with all requirements of applicable law, including, without limitation, the Fair Labor Standards Act, if applicable. 
 (m) As to itself and its Intellectual Property Collateral: 
 (i) To such Grantor’s knowledge, the operation of
such Grantor’s business as currently conducted or as contemplated to be conducted and the use of the Intellectual Property Collateral in connection therewith do not conflict with, infringe, misappropriate, dilute, misuse or otherwise violate
the intellectual property rights of any third party. 
 (ii) To such Grantor’s knowledge, such Grantor is the exclusive
owner of all right, title and interest in and to the Intellectual Property Collateral, and is entitled to use all Intellectual Property Collateral subject only to the terms of the IP Agreements. 
 (iii) The Intellectual Property Collateral set forth on Schedule III hereto includes all of the patents, patent applications, domain
names, trademark registrations and applications, copyright registrations and applications and IP Agreements owned by such Grantor as of the date hereof. 
 (iv) The Intellectual Property Collateral is subsisting and has not been adjudged invalid or unenforceable in whole or part, and to the best of such Grantor’s knowledge, is valid and enforceable. Such Grantor is
not aware of any uses of any item of Intellectual Property Collateral that could be expected to lead to such item becoming invalid or unenforceable. 
 (v) Such Grantor has made or performed all filings, recordings and other acts and has paid all required fees and taxes to maintain and protect its interest in each and every item of Intellectual Property Collateral in
full force and effect throughout the world, and to protect and maintain its interest therein including, without limitation, recordations of any of its interests in the Patents and Trademarks with the U.S. Patent and Trademark Office and in
corresponding national and international patent offices, and recordation of any of its interests in the Copyrights with the U.S. Copyright Office and in corresponding national and international copyright offices. To its knowledge, such Grantor has
used proper statutory notice in connection with its use of each patent, trademark and copyright in the Intellectual Property Collateral. 
 (vi) To the best of such Grantor’s knowledge, no claim, action, suit, investigation, litigation or proceeding has been asserted or is pending or threatened against such Grantor (i) based upon or challenging
or seeking to deny or restrict the Grantor’s rights in or use of any of the Intellectual Property Collateral, (ii) alleging that the Grantor’s rights in or use of the Intellectual Property Collateral or that any services provided by,
processes used by, or products manufactured or sold by, such Grantor infringe, misappropriate, dilute, misuse or otherwise violate any patent, trademark, copyright or any other 

  

 - 9 - 

 
proprietary right of any third party, or (iii) alleging that the Intellectual Property Collateral is being licensed or sublicensed in violation or
contravention of the terms of any license or other agreement. No third-party is engaging in any activity that infringes, misappropriates, dilutes, misuses or otherwise violates the Intellectual Property Collateral or the Grantor’s rights in or
use thereof. Except as set forth on Schedule III hereto, such Grantor has not granted any license, release, covenant not to sue, non-assertion assurance, or other right to any third-party with respect to any part of the Intellectual Property
Collateral. The consummation of the transactions contemplated by the Transaction Documents will not result in the termination or impairment of any of the Intellectual Property Collateral. 
 (vii) With respect to each IP Agreement: (A) such IP Agreement is valid and binding and in full force and effect and represents the
entire agreement between the respective parties thereto with respect to the subject matter thereof; (B) such IP Agreement will not cease to be valid and binding and in full force and effect on terms identical to those currently in effect as a
result of the rights and interest granted herein, nor will the grant of such rights and interest constitute a breach or default under such IP Agreement or otherwise give any party thereto a right to terminate such IP Agreement; (C) such Grantor
has not received any notice of termination or cancellation under such IP Agreement; (D) such Grantor has not received any notice of a breach or default under such IP Agreement, which breach or default has not been cured; (E) such Grantor
has not granted to any other third party any rights, adverse or otherwise, under such IP Agreement; and (F) neither such Grantor nor any other party to such IP Agreement is in breach or default thereof in any material respect, and no event has
occurred that, with notice or lapse of time or both, would constitute such a breach or default or permit termination, modification or acceleration under such IP Agreement. 
 (viii) To the best of such Grantor’s knowledge, (A) none of the Trade Secrets of such Grantor has been used, divulged, disclosed
or appropriated to the detriment of such Grantor for the benefit of any other individual or business entity other than such Grantor; (B) no employee, independent contractor or agent of such Grantor has misappropriated any trade secrets of any
other individual or business entity in the course of the performance of his or her duties as an employee, independent contractor or agent of such Grantor; and (C) no employee, independent contractor or agent of such Grantor is in default or
breach of any term of any employment agreement, non-disclosure agreement, assignment of inventions agreement or similar agreement or contract relating in any way to the protection, ownership, development, use or transfer of such Grantor’s
Intellectual Property Collateral. 
 (ix) No Grantor or Intellectual Property Collateral is subject to any outstanding
consent, settlement, decree, order, injunction, judgment or ruling restricting the use of any Intellectual Property Collateral or that would impair the validity or enforceability of such Intellectual Property Collateral. 
  

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 Section 7. Further Assurances. (a) Each Grantor agrees that from time to time, at the
expense of such Grantor, such Grantor will promptly execute and deliver, or otherwise authenticate, all further instruments and documents, and take all further action that may be necessary or desirable, or that the Purchaser may request, in order to
perfect and protect any pledge or security interest granted or purported to be granted by such Grantor hereunder or to enable the Purchaser to exercise and enforce its rights and remedies hereunder with respect to any Collateral of such Grantor.
Without limiting the generality of the foregoing, each Grantor will promptly with respect to Collateral of such Grantor: (i) file such financing or continuation statements, or amendments thereto, and such other instruments or notices, as may be
necessary or desirable, or as the Purchaser may request, in order to perfect and preserve the security interest granted or purported to be granted by such Grantor hereunder; (ii) at the request of the Purchaser, take all action to ensure that
the Purchaser’s security interest is noted on any certificate of title related to any Collateral evidenced by a certificate of title; and (iii) deliver to the Purchaser evidence that all other actions that the Purchaser may deem reasonably
necessary or desirable in order to perfect and protect the security interest granted or purported to be granted by such Grantor under this Agreement has been taken. 
 (b) Each Grantor hereby authorizes the Purchaser to file one or more financing or continuation statements, and amendments thereto, including, without limitation, one or more financing statements indicating that such
financing statements cover all assets or all personal property (or words of similar effect) of such Grantor, regardless of whether any particular asset described in such financing statements falls within the scope of the UCC. A photocopy or other
reproduction of this Agreement shall be sufficient as a financing statement where permitted by law. Each Grantor ratifies its authorization for the Purchaser to have filed such financing statements, continuation statements or amendments filed prior
to the date hereof. 
 (c) Each Grantor will furnish to the Purchaser from time to time statements and schedules further identifying and
describing the Collateral of such Grantor and such other reports in connection with such Collateral as the Purchaser may reasonably request, all in reasonable detail. 
 Section 8. As to Equipment and Inventory. Each Grantor will cause its Equipment to be maintained and preserved in the same condition, repair and working order as when new, ordinary wear and tear excepted,
and will forthwith, or in the case of any loss or damage to any of such Equipment as soon as practicable after the occurrence thereof, make or cause to be made all repairs, replacements and other improvements in connection therewith that are
necessary or desirable to such end. Each Grantor will pay promptly when due all property and other taxes, assessments and governmental charges or levies imposed upon, and all claims (including, without limitation, claims for labor, materials and
supplies) against, its Equipment and Inventory. In producing its Inventory, each Grantor will comply with all requirements of applicable law, including, without limitation, the Fair Labor Standards Act. 
 Section 9. Insurance. (a) Each Grantor will, at its own expense, maintain insurance with respect to its Equipment and Inventory in such
amounts, against such risks, in such form and with such insurers, as shall be satisfactory to the Purchaser from time to time. At the reasonable request of the Purchaser, each policy of each Grantor for liability insurance shall provide for all
losses to be paid on behalf of the Purchaser and such Grantor as their interests may appear, and each policy for property damage insurance shall 

  

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provide for all losses (except for losses of less than $50,000 per occurrence) to be paid directly to the Purchaser. At the reasonable request of the
Purchaser, each such policy shall in addition (i) name such Grantor and the Purchaser as insured parties thereunder (without any representation or warranty by or obligation upon the Purchaser) as their interests may appear, (ii) contain
the agreement by the insurer that any loss thereunder shall be payable to the Purchaser notwithstanding any action, inaction or breach of representation or warranty by such Grantor, (iii) provide that there shall be no recourse against the
Purchaser for payment of premiums or other amounts with respect thereto and (iv) provide that at least 10 days’ prior written notice of cancellation or of lapse shall be given to the Purchaser by the insurer. Each Grantor will, if so
requested by the Purchaser, deliver to the Purchaser original or duplicate policies of such insurance and, as often as the Purchaser may reasonably request, a report of a reputable insurance broker with respect to such insurance. Further, each
Grantor will, at the request of the Purchaser, duly execute and deliver instruments of assignment of such insurance policies to comply with the requirements of Section 8 and cause the insurers to acknowledge notice of such assignment.

 (b) Reimbursement under any liability insurance maintained by any Grantor pursuant to this Section 9 may be paid directly to the
individual or business entity who shall have incurred liability covered by such insurance. In case of any loss involving damage to Equipment or Inventory when subsection (c) of this Section 9 is not applicable, the applicable Grantor will
make or cause to be made the necessary repairs to or replacements of such Equipment or Inventory, and any proceeds of insurance properly received by or released to such Grantor shall be used by such Grantor, except as otherwise required hereunder or
by the Note, to pay or as reimbursement for the costs of such repairs or replacements. 
 (c) So long as no Event of Default shall have
occurred and be continuing, all insurance payments received by the Purchaser in connection with any loss, damage or destruction of any Inventory or Equipment will be released by the Purchaser to the applicable Grantor for the repair, replacement or
restoration thereof, subject to such terms and conditions with respect to the release thereof as the Purchaser may reasonably require. To the extent that (i) the amount of any such insurance payments exceeds the cost of any such repair,
replacement or restoration, or (ii) such insurance payments are not otherwise required by the applicable Grantor to complete any such repair, replacement or restoration required hereunder, the Purchaser will not be required to release the
amount thereof to such Grantor and may hold or continue to hold such amount as additional security for the Secured Obligations of such Grantor. Upon the occurrence and during the continuance of any Event of Default or the actual or constructive
total loss (in excess of $50,000 per occurrence) of any Equipment or Inventory, all insurance payments in respect of such Equipment or Inventory shall be paid to the Purchaser and shall, in the Purchaser’s sole discretion, (i) be released
to the applicable Grantor to be applied as set forth in the first sentence of this subsection (c) or (ii) be held as additional Collateral hereunder or applied as specified in Section 19(b). 
 Section 10. Post-Closing Changes; Collections on Receivables. (a) No Grantor will change its name, type of organization, jurisdiction of
organization, organizational identification number or location from those set forth in 6(a) of this Agreement without first giving at least 30 days’ prior written notice to the Purchaser and taking all action required by the Purchaser for the
purpose of perfecting or protecting the security interest granted by this Agreement. Each Grantor will hold and preserve its records relating to the 

  

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Collateral and will permit representatives of the Purchaser at any time during normal business hours and upon reasonable prior written notice to inspect and
make abstracts from such records and other documents. If any Grantor does not have an organizational identification number and later obtains one, it will forthwith notify the Purchaser of such organizational identification number. 
 (b) Except as otherwise provided in this subsection (b), each Grantor will continue to collect, at its own expense, all amounts due or to become due such
Grantor under the Receivables. In connection with such collections, such Grantor may take (and, at the Purchaser’s direction, will take) such action as such Grantor or the Purchaser may deem necessary or advisable to enforce collection of the
Receivables; provided, however, that the Purchaser shall have the right at any time, upon the occurrence and during the continuation of an Event of Default and upon written notice to such Grantor of its intention to do so, to notify
the Obligors under any Receivables of the assignment of such Receivables to the Purchaser and to direct such Obligors to make payment of all amounts due or to become due to such Grantor thereunder directly to the Purchaser and, upon such
notification and at the expense of such Grantor, to enforce collection of any such Receivables, to adjust, settle or compromise the amount or payment thereof, in the same manner and to the same extent as such Grantor might have done, and to
otherwise exercise all rights with respect to such Receivables, including, without limitation, those set forth set forth in Section 9-607 of the UCC. After receipt by any Grantor of the notice from the Purchaser referred to in the proviso to
the preceding sentence, (i) all amounts and proceeds (including, without limitation, instruments) received by such Grantor in respect of the Receivables of such Grantor shall be received in trust for the benefit of the Purchaser hereunder,
shall be segregated from other funds of such Grantor and shall be forthwith paid over to the Purchaser in the same form as so received (with any necessary indorsement) and, if any Event of Default shall have occurred and be continuing, applied as
provided in Section 19(b) and (ii) such Grantor will not adjust, settle or compromise the amount or payment of any Receivable, release wholly or partly any Obligor thereof or allow any credit or discount thereon. No Grantor will permit or
consent to the subordination of its right to payment under any of the Receivables to any other indebtedness or obligations of the Obligor thereof. 
 Section 11. As to Intellectual Property Collateral. (a) With respect to each item of its Intellectual Property Collateral, each Grantor agrees to take, at its expense, all necessary steps, including, without limitation, in
the U.S. Patent and Trademark Office, the U.S. Copyright Office and any other governmental authority, to (i) maintain the validity and enforceability of such Intellectual Property Collateral and maintain such Intellectual Property Collateral in
full force and effect, and (ii) pursue the registration and maintenance of each patent, trademark, or copyright registration or application, now or hereafter included in such Intellectual Property Collateral of such Grantor, including, without
limitation, the payment of required fees and taxes, the filing of responses to office actions issued by the U.S. Patent and Trademark Office, the U.S. Copyright Office or other governmental authorities, the filing of applications for renewal or
extension, the filing of affidavits under Sections 8 and 15 of the U.S. Trademark Act, the filing of divisional, continuation, continuation-in-part, reissue and renewal applications or extensions, the payment of maintenance fees and the
participation in interference, reexamination, opposition, cancellation, infringement and misappropriation proceedings. No Grantor shall, without the written consent of the Purchaser, discontinue use of or otherwise abandon any Intellectual Property
Collateral, or abandon any right to file an application for patent, trademark, or copyright, unless such Grantor determines that such use or the 

  

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pursuit or maintenance of such Intellectual Property Collateral is no longer desirable in the conduct of such Grantor’s business and that the loss
thereof would not be reasonably likely to have a material adverse effect on such Grantor’s business, in which case, such Grantor will give prompt notice of any such abandonment to the Purchaser. 
 (b) Each Grantor agrees promptly to notify the Purchaser if such Grantor becomes aware (i) that any item of the Intellectual Property Collateral may
have become abandoned, placed in the public domain, invalid or unenforceable, or of any adverse determination or development regarding such Grantor’s ownership of any of the Intellectual Property Collateral or its right to register the same or
to keep and maintain and enforce the same, or (ii) of any adverse determination or the institution of any proceeding (including, without limitation, the institution of any proceeding in the U.S. Patent and Trademark Office or any court)
regarding any item of the Intellectual Property Collateral. 
 (c) In the event that any Grantor becomes aware that any item of the
Intellectual Property Collateral is being infringed or misappropriated by a third party, such Grantor shall promptly notify the Purchaser and shall take such actions, at its expense, as such Grantor deems reasonable and appropriate under the
circumstances to protect or enforce such Intellectual Property Collateral, including, without limitation, suing for infringement or misappropriation and for an injunction against such infringement or misappropriation. 
 (d) Each Grantor shall use proper statutory notice in connection with its use of each item of its Intellectual Property Collateral. Except as provided in
Section 11(a) hereof, no Grantor shall do or permit any act or knowingly omit to do any act whereby any of its Intellectual Property Collateral may lapse or become invalid or unenforceable or placed in the public domain. 
 (e) Each Grantor shall take all steps which it or the Purchaser deems reasonable and appropriate under the circumstances to preserve and protect each
item of its Intellectual Property Collateral, including, without limitation, maintaining the quality of any and all products or services used or provided in connection with any of the Trademarks, consistent with the quality of the products and
services as of the date hereof, and taking all steps necessary to ensure that all licensed users of any of the Trademarks use such consistent standards of quality. 
 (f) With respect to its Intellectual Property Collateral, each Grantor agrees to execute or otherwise authenticate an agreement, in substantially the form set forth in Exhibit A hereto or otherwise in form and
substance satisfactory to the Purchaser (an “Intellectual Property Security Agreement”), for recording the security interest granted hereunder to the Purchaser in such Intellectual Property Collateral with the U.S. Patent and
Trademark Office, the U.S. Copyright Office and any other governmental authorities necessary to perfect the security interest hereunder in such Intellectual Property Collateral. 
 (g) Each Grantor agrees that should it obtain an ownership interest in any item of the type set forth in Section 1(e) that is not on the date hereof
a part of the Intellectual Property Collateral (“After-Acquired Intellectual Property”) (i) the provisions of this Agreement shall automatically apply thereto, and (ii) any such After-Acquired Intellectual Property
and, in the case of trademarks, the 

  

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goodwill symbolized thereby, shall automatically become part of the Intellectual Property Collateral subject to the terms and conditions of this Agreement
with respect thereto. Within 30 days of the end of each fiscal quarter of the Company, each Grantor shall give written notice to the Purchaser identifying the After-Acquired Intellectual Property acquired during such fiscal quarter, and such Grantor
shall execute and deliver to the Purchaser with such written notice, or otherwise authenticate, an agreement substantially in the form of Exhibit B hereto or otherwise in form and substance satisfactory to the Purchaser (an “IP Security
Agreement Supplement”) covering such After-Acquired Intellectual Property, which IP Security Agreement Supplement shall be recorded with the U.S. Patent and Trademark Office, the U.S. Copyright Office and any other governmental
authorities necessary to perfect the security interest hereunder in such After-Acquired Intellectual Property. 
 Section 12. Voting
Rights; Dividends; Etc. (a) So long as no Event of Default shall have occurred and be continuing: 
 (i) Each Grantor
shall be entitled to exercise any and all voting and other consensual rights pertaining to the Security Collateral of such Grantor or any part thereof for any purpose; provided however, that such Grantor will not exercise or refrain from
exercising any such right if such action would have a material adverse effect on the value of the Security Collateral or any part thereof. 
 (ii) Each Grantor shall be entitled to receive and retain any and all dividends, interest and other distributions paid in respect of the Security Collateral of such Grantor if and to the extent that the payment
thereof is not otherwise prohibited by the terms of the Note; provided, however, that any and all 
 (A)
dividends, interest and other distributions paid or payable other than in cash in respect of, and instruments and other property received, receivable or otherwise distributed in respect of, or in exchange for, any Security Collateral, 
 (B) dividends and other distributions paid or payable in cash in respect of any Security Collateral in connection with a partial or total
liquidation or dissolution or in connection with a reduction of capital, capital surplus or paid in surplus and 
 (C) cash
paid, payable or otherwise distributed in respect of principal of, or in redemption of, or in exchange for, any Security Collateral 
 shall
be, and shall be forthwith delivered to the Purchaser to hold as, Security Collateral and shall, if received by such Grantor, be received in trust for the benefit of the Purchaser, be segregated from the other property or funds of such Grantor and
be forthwith delivered to the Purchaser as Security Collateral in the same form as so received (with any necessary indorsement). 
 (iii) The Purchaser will execute and deliver (or cause to be executed and delivered) to each Grantor all such proxies and other instruments as such Grantor may reasonably request for the purpose of enabling such Grantor to exercise the
voting and other rights that it is entitled to exercise pursuant to paragraph (i) above and to receive the dividends or interest payments that it is authorized to receive and retain pursuant to paragraph (ii) above. 
  

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 (b) Upon the occurrence and during the continuance of an Event of Default: 
 (i) All rights of each Grantor (x) to exercise or refrain from exercising the voting and other consensual rights that it would
otherwise be entitled to exercise pursuant to Section 12(a)(i) shall, upon notice to such Grantor by the Purchaser, cease and (y) to receive the dividends, interest and other distributions that it would otherwise be authorized to receive
and retain pursuant to Section 12(a)(ii) shall automatically cease, and all such rights shall thereupon become vested in the Purchaser, which shall thereupon have the sole right to exercise or refrain from exercising such voting and other
consensual rights and to receive and hold as Security Collateral such dividends, interest and other distributions. 
 (ii) All
dividends, interest and other distributions that are received by any Grantor contrary to the provisions of paragraph (i) of this Section 12(b) shall be received in trust for the benefit of the Purchaser, shall be segregated from other
funds of such Grantor and shall be forthwith paid over to the Purchaser as Security Collateral in the same form as so received (with any necessary indorsement). 
 Section 13. As to Letter-of-Credit Rights. (a) Each Grantor, by granting a security interest in its Receivables consisting of letter-of-credit rights to the Purchaser, intends to (and hereby does)
assign to the Purchaser its rights (including its contingent rights) to the proceeds of all contracts consisting of letters of credit of which it is or hereafter becomes a beneficiary or assignee. Each Grantor will promptly cause the issuer of each
letter of credit and each nominated person (if any) with respect thereto to consent to such assignment of the proceeds thereof pursuant to a consent in form and substance satisfactory to the Purchaser and deliver written evidence of such consent to
the Purchaser. 
 (b) Upon the occurrence of an Event of Default, each Grantor will, promptly upon request by the Purchaser, (i) notify
(and such Grantor hereby authorizes the Purchaser to notify) the issuer and each nominated person with respect to each of the Related Contracts consisting of letters of credit that the proceeds thereof have been assigned to the Purchaser hereunder
and any payments due or to become due in respect thereof are to be made directly to the Purchaser or its designee and (ii) arrange for the Purchaser to become the transferee beneficiary of letter of credit. 
 Section 14. Commercial Tort Claims. Each Grantor will promptly give notice to the Purchaser of any commercial tort claim that may arise after
the date hereof and will immediately execute or otherwise authenticate a supplement to this Agreement, and otherwise take all necessary action, to subject such commercial tort claim to the first priority security interest created under this
Agreement. 
 Section 15. Transfers and Other Liens; Additional Shares. (a) Each Grantor agrees that it will not
(i) sell, assign or otherwise dispose of, or grant any option with respect to, any of the Collateral, other than sales, assignments and other dispositions of Collateral, and options relating to Collateral, permitted under the terms of the Note
Purchase Agreement, or (ii) create or suffer to 

  

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exist any lien or other encumbrance upon or with respect to any of the Collateral of such Grantor except for the pledge, assignment and security interest
created under this Agreement and any liens or other encumbrances permitted under the terms of the Note Purchase Agreement. 
 (b) Each
Grantor agrees that it will (i) cause each issuer of the capital stock pledged by such Grantor not to issue any capital stock or other securities in addition to or in substitution for the Pledged Equity issued by such issuer, except to such
Grantor, and (ii) pledge hereunder, immediately upon its acquisition (directly or indirectly) thereof, any and all additional capital stock or other securities. 
 Section 16. Purchaser Appointed Attorney in Fact. Each Grantor hereby irrevocably appoints the Purchaser such Grantor’s attorney in fact, with full authority in the place and stead of such Grantor and
in the name of such Grantor or otherwise, from time to time in the Purchaser’s discretion, to, upon the occurrence and during the continuance of an Event of Default, take any action and to execute any instrument that the Purchaser may deem
reasonably necessary or advisable to accomplish the purposes of this Agreement, including, without limitation: 
 (a) to
obtain and adjust insurance required to be paid to the Purchaser pursuant to Section 9, 
 (b) to ask for, demand,
collect, sue for, recover, compromise, receive and give acquittance and receipts for moneys due and to become due under or in respect of any of the Collateral, 
 (c) to receive, indorse and collect any drafts or other instruments, documents and chattel paper, in connection with clause (a) or
(b) above, and 
 (d) to file any claims or take any action or institute any proceedings that the Purchaser may deem
necessary or desirable for the collection of any of the Collateral or otherwise to enforce compliance with the terms and conditions of any Assigned Agreement or the rights of the Purchaser with respect to any of the Collateral. 
 Section 17. Purchaser May Perform. If any Grantor fails to perform any agreement contained herein, the Purchaser may, but without any
obligation to do so and without notice, itself perform, or cause performance of, such agreement, and the expenses of the Purchaser incurred in connection therewith shall be payable by such Grantor under Section 20. 
 Section 18. The Purchaser’s Duties. (a) The powers conferred on the Purchaser hereunder are solely to protect its interest in the
Collateral and shall not impose any duty upon it to exercise any such powers. Except for the safe custody of any Collateral in its possession and the accounting for moneys actually received by it hereunder, the Purchaser shall have no duty as to any
Collateral, as to ascertaining or taking action with respect to calls, conversions, exchanges, maturities, tenders or other matters relative to any Collateral, or as to the taking of any necessary steps to preserve rights against any parties or any
other rights pertaining to any Collateral. The Purchaser shall be deemed to have exercised reasonable care in the custody and preservation of any Collateral in its possession if such Collateral is accorded treatment substantially equal to that which
it accords its own property. 
  

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 (b) Anything contained herein to the contrary notwithstanding, the Purchaser may from time to time, when
the Purchaser deems it to be necessary, appoint one or more subagents (each a “Subagent”) for the Purchaser hereunder with respect to all or any part of the Collateral. In the event that the Purchaser so appoints any Subagent
with respect to any Collateral, (i) the assignment and pledge of such Collateral and the security interest granted in such Collateral by each Grantor hereunder shall be deemed for purposes of this Security Agreement to have been made to such
Subagent, in addition to the Purchaser as security for the Secured Obligations of such Grantor, (ii) such Subagent shall automatically be vested, in addition to the Purchaser, with all rights, powers, privileges, interests and remedies of the
Purchaser hereunder with respect to such Collateral, and (iii) the term “Purchaser,” when used herein in relation to any rights, powers, privileges, interests and remedies of the Purchaser with respect to such Collateral, shall
include such Subagent; provided, however, that no such Subagent shall be authorized to take any action with respect to any such Collateral unless and except to the extent expressly authorized in writing by the Purchaser. 
 Section 19. Remedies. If any Event of Default shall have occurred and be continuing: 
 (a) The Purchaser may exercise in respect of the Collateral, in addition to other rights and remedies provided for herein or otherwise
available to it, all the rights and remedies of a secured party upon default under the UCC (whether or not the UCC applies to the affected Collateral) and also may: (i) require each Grantor to, and each Grantor hereby agrees that it will at its
expense and upon request of the Purchaser forthwith, assemble all or part of the Collateral as directed by the Purchaser and make it available to the Purchaser at a time to be designated by the Purchaser that is reasonably convenient to both
parties; (ii) without notice except as specified below, sell the Collateral or any part thereof in one or more parcels at public or private sale, at any of the Purchaser’s offices or elsewhere, for cash, on credit or for future delivery,
and upon such other terms as the Purchaser may deem commercially reasonable; (iii) occupy any premises owned or leased by any of the Grantors where the Collateral or any part thereof is assembled or located for a reasonable period in order to
effectuate its rights and remedies hereunder or under law, without obligation to such Grantor in respect of such occupation; and (iv) exercise any and all rights and remedies of any of the Grantors under or in connection with the Collateral, or
otherwise in respect of the Collateral, including, without limitation, (A) any and all rights of such Grantor to demand or otherwise require payment of any amount under, or performance of any provision of the Receivables and the other
Collateral, (B) withdraw, or cause or direct the withdrawal, of all funds with respect to the Account Collateral and (C) exercise all other rights and remedies with respect to the Receivables and the other Collateral, including, without
limitation, those set forth in Section 9-607 of the UCC. Each Grantor agrees that, to the extent notice of sale shall be required by law, at least ten days’ notice to such Grantor of the time and place of any public sale or the time after
which any private sale is to be made shall constitute reasonable notification. The Purchaser shall not be obligated to make any sale of Collateral regardless of notice of sale having been given. The Purchaser may adjourn any public or private sale
from time to time by announcement at the time and place fixed therefor, and such sale may, without further notice, be made at the time and place to which it was so adjourned. 
  

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 (b) Any cash held by or on behalf of the Purchaser and all cash proceeds received by or
on behalf of the Purchaser in respect of any sale of, collection from, or other realization upon all or any part of the Collateral may, in the discretion of the Purchaser, be held by the Purchaser as collateral for, and/or then or at any time
thereafter applied (after payment of any amounts payable to the Purchaser pursuant to Section 15) in whole or in part by the Purchaser against, all or any part of the Secured Obligations. Any surplus of such cash or cash proceeds held by or on
the behalf of the Purchaser and remaining after payment in full of all the Secured Obligations shall be paid over to the applicable Grantor or to whomsoever may be lawfully entitled to receive such surplus. 
 (c) All payments received by any Grantor under or in respect of the Collateral shall be received in trust for the benefit of the
Purchaser, shall be segregated from other funds of such Grantor and shall be forthwith paid over to the Purchaser in the same form as so received (with any necessary indorsement). 
 (d) The Purchaser may, without notice to any Grantor except as required by law and at any time or from time to time, charge, set off and
otherwise apply all or any part of the Secured Obligations against any funds held in any deposit account. 
 (e) The Purchaser
may send to each bank, securities intermediary or issuer party to any Deposit Account Control Agreement, Securities/Deposit Account Control Agreement, Securities Account Control Agreement or Uncertificated Security Control Agreement a “Notice
of Exclusive Control” as defined in and under such Agreement. 
 (f) In the event of any sale or other disposition of any
of the Intellectual Property Collateral of any Grantor, the goodwill symbolized by any Trademarks subject to such sale or other disposition shall be included therein, and such Grantor shall supply to the Purchaser or its designee such Grantor’s
know-how and expertise, and documents and things relating to any Intellectual Property Collateral subject to such sale or other disposition, and such Grantor’s customer lists and other records and documents relating to such Intellectual
Property Collateral and to the manufacture, distribution, advertising and sale of products and services of such Grantor. 
 (g) If the Purchaser shall determine to exercise its right to sell all or any of the Security Collateral of any Grantor pursuant to this Section 19, each Grantor agrees that, upon request of the Purchaser, such Grantor will, at its own
expense: 
 (i) execute and deliver, and cause each issuer of such Security Collateral contemplated to be sold and the
directors and officers thereof to execute and deliver, all such instruments and documents, and do or cause to be done all such other acts and things, as may be necessary or, in the opinion of the Purchaser, advisable to register such Security
Collateral under the provisions of the Securities Act of 1933 (as amended from time to time, the “Securities Act”), to cause the registration 

  

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statement relating thereto to become effective and to remain effective for such period as prospectuses are required by law to be furnished and to make all
amendments and supplements thereto and to the related prospectus that, in the opinion of the Purchaser, are necessary or advisable, all in conformity with the requirements of the Securities Act and the rules and regulations of the Securities and
Exchange Commission applicable thereto; 
 (ii) use its best efforts to qualify the Security Collateral under the state
securities or “Blue Sky” laws and to obtain all necessary governmental approvals for the sale of such Security Collateral, as requested by the Purchaser; 
 (iii) cause each such issuer of such Security Collateral to make available to its security holders, as soon as practicable, an earnings
statement that will satisfy the provisions of Section 11(a) of the Securities Act; 
 (iv) provide the Purchaser with
such other information and projections as may be necessary or, in the opinion of the Purchaser, advisable to enable the Purchaser to effect the sale of such Security Collateral; and 
 (v) do or cause to be done all such other acts and things as may be necessary to make such sale of such Security Collateral or any part
thereof valid and binding and in compliance with applicable law. 
 (h) The Purchaser is authorized, in connection with any
sale of the Security Collateral pursuant to this Section 19, to deliver or otherwise disclose to any prospective purchaser of the Security Collateral: (i) any registration statement or prospectus, and all supplements and amendments
thereto, prepared pursuant to subsection (e)(i) above; (ii) any information and projections provided to it pursuant to subsection (e)(iv) above; and (iii) any other information in its possession relating to such Security Collateral.

 (i) Each Grantor acknowledges the impossibility of ascertaining the amount of damages that would be suffered by the
Purchaser by reason of the failure by such Grantor to perform any of the covenants contained in subsection (f) above and, consequently, agrees that, if such Grantor shall fail to perform any of such covenants, it will pay, as liquidated damages
and not as a penalty, an amount equal to the value of the Security Collateral on the date the Purchaser shall demand compliance with subsection (f) above. 
 Section 20. Indemnity and Expenses. (a) Each Grantor agrees to indemnify, defend and save and hold harmless the Purchaser and each of its affiliates and their respective officers, directors,
employees, agents and advisors (each, an “Indemnified Party”) from and against, and shall pay on demand, any and all claims, damages, losses, liabilities and expenses (including, without limitation, reasonable fees and
expenses of counsel) that may be incurred by or asserted or awarded against any Indemnified Party, in each case arising out of or in connection with or resulting from this Agreement (including, without limitation, enforcement of this Agreement),
except to the extent such claim, damage, loss, liability or expense is found in a final, non-appealable judgment by a court of competent jurisdiction to have resulted from such Indemnified Party’s gross negligence or willful misconduct.

  

 - 20 - 

 (b) Each Grantor will upon demand pay to the Purchaser the amount of any and all reasonable expenses,
including, without limitation, the reasonable fees and expenses of its counsel and of any experts and agents, that the Purchaser may incur in connection with (i) the administration of this Agreement, (ii) the custody, preservation, use or
operation of, or the sale of, collection from or other realization upon, any of the Collateral of such Grantor, (iii) the exercise or enforcement of any of the rights of the Purchaser hereunder or (iv) the failure by such Grantor to
perform or observe any of the provisions hereof. 
 Section 21. Amendments; Waivers; Additional Grantors; Etc. (a) No
amendment or waiver of any provision of this Agreement, and no consent to any departure by any Grantor herefrom, shall in any event be effective unless the same shall be in writing and signed by the Purchaser and the Grantors, and then such waiver
or consent shall be effective only in the specific instance and for the specific purpose for which given. No failure on the part of the Purchaser to exercise, and no delay in exercising any right hereunder, shall operate as a waiver thereof; nor
shall any single or partial exercise of any such right preclude any other or further exercise thereof or the exercise of any other right. 
 (b) Upon the execution and delivery by any third-party of a security agreement supplement in substantially the form of Exhibit C hereto (each a “Security Agreement Supplement”), such third-party shall be referred to
as an “Additional Grantor” and shall be and become a Grantor hereunder, and each reference in this Agreement to “Grantor” shall also mean and be a reference to such Additional Grantor, each reference in this
Agreement and the Note to the “Collateral” shall also mean and be a reference to the Collateral granted by such Additional Grantor and each reference in this Agreement to a Schedule shall also mean and be a reference to the schedules
attached to such Security Agreement Supplement. 
 Section 22. Notices, Etc. All notices and other communications provided for
hereunder shall be either (i) in writing (including facsimile communication) and mailed, faxed or otherwise delivered or (ii) by electronic mail (if electronic mail addresses are designated as provided below) confirmed immediately in
writing, in the case of the Purchaser, addressed to it at: Prides Capital Fund I, L.P., c/o Prides Capital Partners, LLC, 200 High Street, Suite 700, Boston, MA 02110, Attention: Hank Lawlor, Telephone No. (617) 778-9200, Facsimile No.:
(617) 778-9299, e-mail address: hank@pridescapital.com and, in the case of each Grantor, addressed to it at its address set forth opposite such Grantor’s name on the signature pages hereto or on the signature page to the Security Agreement
Supplement pursuant to which it became a party hereto; or, as to any party, at such other address as shall be designated by such party in a written notice to the other parties. All such notices and other communications shall, when mailed, faxed,
sent by electronic mail or otherwise, be effective when deposited in the mails, confirmed by facsimile answerback, sent by electronic mail and confirmed in writing, or otherwise delivered (or confirmed by a signed receipt), respectively, addressed
as aforesaid; except that notices and other communications to the Purchaser shall not be effective until received by the Purchaser. Delivery by facsimile or electronic mail of an executed counterpart of any amendment or waiver of any provision of
this Agreement or of any Security Agreement Supplement or Schedule hereto shall be effective as delivery of an original executed counterpart thereof. 
  

 - 21 - 

 Section 23. Continuing Security Interest; Assignments under the Note. This Agreement shall
create a continuing security interest in the Collateral and shall remain in full force and effect until the payment in full in cash of the Secured Obligations, (b) be binding upon each Grantor, its successors and assigns and (c) inure to
the benefit of the Purchaser and its successors, transferees and assigns. Without limiting the generality of the foregoing clause (c), the Purchaser may assign or otherwise transfer all or any portion of its rights and obligations under the Note to
any other individual or business entity, and such other individual or business entity shall thereupon become vested with all the benefits in respect thereof granted to the Purchaser herein or otherwise. 
 Section 24. Release; Termination. (a) Upon any sale, lease, transfer or other disposition of any item of Collateral of any Grantor in
accordance with the terms of the Note or this Agreement (other than sales of Inventory in the ordinary course of business), the Purchaser will, at such Grantor’s expense, execute and deliver to such Grantor such documents as such Grantor shall
reasonably request to evidence the release of such item of Collateral from the assignment and security interest granted hereby; provided, however, that at the time of such request and such release no Event of Default shall have
occurred and be continuing. 
 (b) Upon the payment in full in cash of the Secured Obligations and, the pledge and security interest granted
hereby shall terminate and all rights to the Collateral shall revert to the applicable Grantor. Upon any such termination, the Purchaser will, at the applicable Grantor’s expense, execute and deliver to such Grantor such documents as such
Grantor shall reasonably request to evidence such termination. 
 Section 25. Execution in Counterparts. This Agreement may be
executed in any number of counterparts, each of which when so executed shall be deemed to be an original and all of which taken together shall constitute one and the same agreement. Delivery of an executed counterpart of a signature page to this
Agreement by telecopier shall be effective as delivery of an original executed counterpart of this Agreement. 
 Section 26.
Governing Law. This Agreement shall be governed by, and construed in accordance with, the laws of the State of New York. 
 [Remainder
of page intentionally left blank.] 
  

 - 22 - 

 IN WITNESS WHEREOF, each Grantor has caused this Agreement to be duly executed and delivered by its
officer thereunto duly authorized as of the date first above written. 
  

									
		 		 	GRANTORS:	 	
	Address for Notices:	 		 		  		 	
	  
	 		 	EDIETS.COM, INC.	 	
	  
	 		 		 	
	  
	 		 	By:	  	  
	 	
		 		 	Name:	  		 	
		 		 	Title:	  		 	
				
		 		 	EDIETS, INC.	 	
					
	Address for Notices:	 		 		  		 	
	  
	 		 	By:	  	  
	 	
	  
	 		 	Name:	  		 	
	  
	 		 	Title:	  		 	
				
		 		 	NUTRIO.COM, INC.	 	
					
	Address for Notices:	 		 		  		 	
	  
	 		 	By:	  	  
	 	
	  
	 		 	Name:	  		 	
	  
	 		 	Title:	  		 	

 Schedule I to the 
 Security Agreement 
 INVESTMENT PROPERTY 
 Part I 
 Initial Pledged Shares 

  

															
	 Grantor
	  	 Issuer
	  	 Class of Equity
 Interest
	  	Par Value	  	Certificate
No(s)	  	Number of
Shares	  	Percentage
of
Outstanding
Shares	 
	eDiets.com, Inc.	  	Nutrio.com, Inc.	  	Common	  	$	0.01	  		  	9,803,014	  	100	%
	eDiets.com, Inc.	  	eDiets, BVI	  	Common	  	$	1.00	  	1	  	50,000	  	100	%
	eDiets.com, Inc.	  	eDiets, Inc.	  	Common	  	$	0.001	  	5	  	10,000,000	  	100	%
	eDiets.com, Inc.	  	eDiets Europe, Ltd	  	Common	  	$	0.01	  		  	385,016	  	100	%

 Part II 
 Other Investment Property 
  

											
	 Grantor
	 	 Issuer
	 	 Name of
 Investment
	 	 Certificate
 No(s)
	 	 Amount
	 	 Other
 Identification

	 N/A
	 		 		 		 		 	

 Schedule II to the 
 Security Agreement 
 PLEDGED DEPOSIT ACCOUNTS 
 eDiets Operating account – 2000035097387—Wachovia 
 Nutrio
Operating account – 2000006267515—Wachovia 

 Schedule III to the 
 Security Agreement 
 INTELLECTUAL PROPERTY 
 I. Patents 
  

													
	 Grantor
	  	 Patent
 Titles
	  	 Country
	  	 Patent No.
	  	 Application
 No.
	  	 Filing Date
	  	 Issue Date

		  		  		  		  		  		  	
		  		  		  		  		  		  	
		  		  		  		  		  		  	

 II. Domain Names and Trademarks (Grantor for all is eDiets.com, Inc.) 
  

															
	 Grantor
	  	 Domain
 Name/Mark
	  	 Country
	  	 Mark
	  	 Reg.
 No.
	  	 Application
No.
	  	 Filing
 Date
	  	 Issue
 Date

		  	eDiets®	  	USA (for all)	  		  	2855444	  		  		  	June 22, 2004
								
		  	eDiets.com®	  		  		  	285443	  		  		  	June 22, 2004
								
		  	Nutrio.com®	  		  		  	2437552	  		  		  	March 20, 2001
								
		  	DIETSMART®	  		  		  	2493454	  		  		  	September 25, 2001
								
		  	efitness.com	  		  		  		  		  		  	
								
		  	deliciouslyyours.com	  		  	.	  		  		  		  	
								
		  	gleemagazine.com	  		  	.	  		  		  		  	
								
		  	dietsmart.com	  		  		  		  		  		  	
								
		  	5stepdiet.com	  		  		  		  		  		  	
		  	americasdietitian.com	  		  		  		  		  		  	
		  	americasnutritionist.com	  		  		  		  		  		  	
		  	americasnutritionist.org	  		  		  		  		  		  	
		  	bodytypediet.com	  		  		  		  		  		  	
		  	bringdeeliciousback.com	  		  		  		  		  		  	
		  	bringdeliciousback.com	  		  		  		  		  		  	
		  	bringdeliciusback.com	  		  		  		  		  		  	
		  	bringdiliciousback.com	  		  		  		  		  		  	
		  	bringdiliciusback.com	  		  		  		  		  		  	
		  	bringingdeliciousback.com	  		  		  		  		  		  	
		  	carbaddictsdiet.com	  		  		  		  		  		  	
		  	circleofriends.cc	  		  		  		  		  		  	
		  	cookingforromance.net	  		  		  		  		  		  	
		  	deeliciouslyyours.com	  		  		  		  		  		  	
		  	deitsmart.com	  		  		  		  		  		  	
		  	deliciousathome.com	  		  		  		  		  		  	
		  	deliciouslynow.com	  		  		  		  		  		  	
		  	deliciouslysmart.com	  		  		  		  		  		  	

															
		  	deliciouslyyourfeedback.com	  		  		  		  		  		  	
		  	deliciouslyyouropinion.com	  		  		  		  		  		  	
		  	deliciouslyyoursediets.com	  		  		  		  		  		  	
		  	deliciouslyyoursfood.com	  		  		  		  		  		  	
		  	deliciouslyyoursmeals.com	  		  		  		  		  		  	
		  	deliciouslyyoursonline.com	  		  		  		  		  		  	
		  	delicioustoyourdoor.com	  		  		  		  		  		  	
		  	deliciousyours.com	  		  		  		  		  		  	
		  	deliciuslyyours.com	  		  		  		  		  		  	
		  	deliversdelicious.com	  		  		  		  		  		  	
		  	 diabetes-blog.com
	  		  		  		  		  		  	
		  	 diet-blogs.com
	  		  		  		  		  		  	
		  	 diet-blogs.net
	  		  		  		  		  		  	
		  	 diet-logs.com
	  		  		  		  		  		  	
		  	 dietcity.com
	  		  		  		  		  		  	
		  	 dietcop.com
	  		  		  		  		  		  	
		  	 dietdepot.us
	  		  		  		  		  		  	
		  	 dietemergency.com
	  		  		  		  		  		  	
		  	 dietheadlinenews.com
	  		  		  		  		  		  	
		  	 dietlivemeetings.com
	  		  		  		  		  		  	
		  	 dietmealsdirect.com
	  		  		  		  		  		  	
		  	 dietnewscenter.com
	  		  		  		  		  		  	
		  	 dietnewschannel.com
	  		  		  		  		  		  	
		  	 dietnewsnetwork.net
	  		  		  		  		  		  	
		  	 dietpatrol.com
	  		  		  		  		  		  	
		  	 dietright.com
	  		  		  		  		  		  	
		  	 dietsmart.info
	  		  		  		  		  		  	
		  	 dietsolutioncenter.com
	  		  		  		  		  		  	
		  	 dietsonline.com
	  		  		  		  		  		  	
		  	 dietssmart.com
	  		  		  		  		  		  	
		  	 dietsupportmeetings.com
	  		  		  		  		  		  	
		  	 diliciouslyyours.com
	  		  		  		  		  		  	
		  	 diliciuslyyours.com
	  		  		  		  		  		  	
		  	 dnadiets.com
	  		  		  		  		  		  	
		  	 dydelivered.com
	  		  		  		  		  		  	
		  	 dydelivers.com
	  		  		  		  		  		  	
		  	 dydelivery.com
	  		  		  		  		  		  	
		  	 dyediets.com
	  		  		  		  		  		  	
		  	 dymeals.com
	  		  		  		  		  		  	
		  	 dysurvey.com
	  		  		  		  		  		  	
		  	 dytoyourdoor.com
	  		  		  		  		  		  	
		  	 eatwellplan.com
	  		  		  		  		  		  	
		  	 eatwellprogram.com
	  		  		  		  		  		  	
		  	 ediet-blog.com
	  		  		  		  		  		  	
		  	 ediet-blog.net
	  		  		  		  		  		  	
		  	 ediet24.com
	  		  		  		  		  		  	
		  	 edietcity.com
	  		  		  		  		  		  	
		  	 edietdelicious.com
	  		  		  		  		  		  	
		  	 edietdelish.com
	  		  		  		  		  		  	
		  	 edietdy.com
	  		  		  		  		  		  	
		  	 edietheadlinenews.com
	  		  		  		  		  		  	
		  	 edietlivemeetings.com
	  		  		  		  		  		  	
		  	 edietmarket.com
	  		  		  		  		  		  	
		  	 edietmen.com
	  		  		  		  		  		  	
		  	 edietmen.us
	  		  		  		  		  		  	
		  	 edietnetwork.com
	  		  		  		  		  		  	
		  	 edietnews.com
	  		  		  		  		  		  	
		  	 edietnewscenter.com
	  		  		  		  		  		  	
		  	 edietnewschannel.com
	  		  		  		  		  		  	
		  	 ediets-blog.com
	  		  		  		  		  		  	
		  	 ediets-blog.net
	  		  		  		  		  		  	
		  	 ediets-delicious.com
	  		  		  		  		  		  	
		  	 ediets-uk.com
	  		  		  		  		  		  	
		  	 ediets1.com
	  		  		  		  		  		  	
		  	 ediets24.com
	  		  		  		  		  		  	
		  	 edietsaffiliate.com
	  		  		  		  		  		  	
		  	 edietsaffiliates.com
	  		  		  		  		  		  	
		  	 edietsatkins.com
	  		  		  		  		  		  	
		  	 edietscenter.com
	  		  		  		  		  		  	
		  	 edietscentral.com
	  		  		  		  		  		  	

  

 - 2 - 

															
		  	 edietsclient.com
	  		  		  		  		  		  	
		  	 edietsconnections.com
	  		  		  		  		  		  	
		  	 edietscooking.com
	  		  		  		  		  		  	
		  	 edietscorporateservices.com
	  		  		  		  		  		  	
		  	 edietscs.com
	  		  		  		  		  		  	
		  	 edietsdairyfree.com
	  		  		  		  		  		  	
		  	 edietsdeelicious.com
	  		  		  		  		  		  	
		  	 edietsdelices.com
	  		  		  		  		  		  	
		  	 edietsdelicios.com
	  		  		  		  		  		  	
		  	 edietsdelicious.com
	  		  		  		  		  		  	
		  	 edietsdeliciouslyours.com
	  		  		  		  		  		  	
		  	 edietsdeliciouslyyours.com
	  		  		  		  		  		  	
		  	 edietsdelicius.com
	  		  		  		  		  		  	
		  	 edietsdelish.com
	  		  		  		  		  		  	
		  	 edietsdelivered.com
	  		  		  		  		  		  	
		  	 edietsdelivers.com
	  		  		  		  		  		  	
		  	 edietsdelivery.com
	  		  		  		  		  		  	
		  	 edietsdiabetes.com
	  		  		  		  		  		  	
		  	 edietsdilices.com
	  		  		  		  		  		  	
		  	 edietsdilicios.com
	  		  		  		  		  		  	
		  	 edietsdilicious.com
	  		  		  		  		  		  	
		  	 edietsdilicius.com
	  		  		  		  		  		  	
		  	 edietsdirect.com
	  		  		  		  		  		  	
		  	 edietsdy.com
	  		  		  		  		  		  	
		  	 edietseat.com
	  		  		  		  		  		  	
		  	 edietseats.com
	  		  		  		  		  		  	
		  	 edietsespana.com
	  		  		  		  		  		  	
		  	 edietseurope.com
	  		  		  		  		  		  	
		  	 edietsexpress.com
	  		  		  		  		  		  	
		  	 edietsfood.com
	  		  		  		  		  		  	
		  	 edietsformen.com
	  		  		  		  		  		  	
		  	 edietsforwomen.com
	  		  		  		  		  		  	
		  	 edietsheadlinenews.com
	  		  		  		  		  		  	
		  	 edietsiq.com
	  		  		  		  		  		  	
		  	 edietsleancuisine.com
	  		  		  		  		  		  	
		  	 edietslive.com
	  		  		  		  		  		  	
		  	 edietslivemeeting.com
	  		  		  		  		  		  	
		  	 edietslivemeetings.com
	  		  		  		  		  		  	
		  	 edietslocal.com
	  		  		  		  		  		  	
		  	 edietslowfat.com
	  		  		  		  		  		  	
		  	 edietslowsodium.com
	  		  		  		  		  		  	
		  	 edietsmarket.com
	  		  		  		  		  		  	
		  	 edietsmealplan.com
	  		  		  		  		  		  	
		  	 edietsmeals.com
	  		  		  		  		  		  	
		  	 edietsmillionpoundmarch.com
	  		  		  		  		  		  	
		  	 edietsmillionpoundmarch.net
	  		  		  		  		  		  	
		  	 edietsmillionpoundmarch.org
	  		  		  		  		  		  	
		  	 edietsmillionpoundmarch.us
	  		  		  		  		  		  	
		  	 edietsmillionpoundmarches.com
	  		  		  		  		  		  	
		  	 edietsmp3.com
	  		  		  		  		  		  	
		  	 edietsnetwork.com
	  		  		  		  		  		  	
		  	 edietsnews.com
	  		  		  		  		  		  	
		  	 edietsnewscenter.com
	  		  		  		  		  		  	
		  	 edietsnewschannel.com
	  		  		  		  		  		  	
		  	 edietson.com
	  		  		  		  		  		  	
		  	 edietsp3.com
	  		  		  		  		  		  	
		  	 edietsradio.com
	  		  		  		  		  		  	
		  	 edietsshop.com
	  		  		  		  		  		  	
		  	 edietssolutions.com
	  		  		  		  		  		  	
		  	 edietsstore.biz
	  		  		  		  		  		  	
		  	 edietsstore.com
	  		  		  		  		  		  	
		  	 edietsstore.us
	  		  		  		  		  		  	
		  	 edietssupportmeetings.com
	  		  		  		  		  		  	
		  	 edietstakesitoff.com
	  		  		  		  		  		  	
		  	 edietstogo.com
	  		  		  		  		  		  	
		  	 edietstv.com
	  		  		  		  		  		  	
		  	 edietsu.com
	  		  		  		  		  		  	
		  	 edietsuk.com
	  		  		  		  		  		  	
		  	 edietsupportmeetings.com
	  		  		  		  		  		  	
		  	 edietsvegan.com
	  		  		  		  		  		  	

  

 - 3 - 

															
		  	 edietsxpress.com
	  		  		  		  		  		  	
		  	 edietsyourway.com
 edietszone.com
 ediettv.com
 edietwomen.com
 efitnessuk.co.uk
 efitnessuk.com
 emeetingslive.com
 emotivation.com
 enutri.com
 ervana.com
 ervana.net
 ervana.tv
 ervana.us
 financehelp.com
 fitness-blog.net
 fitness-diet.net
 flavorfulldiet.com
 freshchefdirect.com
 freshcuisin.com
 freshcuisine.com
 freshcuisines.com
 freshcuizine.com
 freshcusine.com
 freshquizine.com
 freshselects.com
 get10offdy.com
 giimpact.com
 gleeemagazine.com
 glemagzine.com
 glutensensitivediet.com
 glycemicimpact.com
 glycemicimpactdiet.com
 goediets.com
 healthlymealsdirect.com
 high-protein.com
 highcarbdiet.com
 househelp.com
 i2diet.com
 i2guide.com
 i4men.com
 i4women.com
 i4you.com
 iformen.com
 iforwomen.com
 iforyou.com
 iqdiet.com
 lastminutediets.com
 low-carb-plan.com
 low-carb-plan.net
 low-fat-blog.com
 low-fat-diet.net
 lowcarbcounter.com
 lowcarbculture.com
 lowcarbsuppliers.com
 lowcholesteroldiet.com
 millionpoundmarch.com
 millionpoundmarch.org
 millionpoundmarchblog.com
 millionpoundmarches.com
 misterbadfood.com
 misterbadfoods.com
 mrbadfood.com
 mrbadfoods.com
 mycircleofriends.com
 mydeliciousdelivery.com
 myediets.com
 myedietsexpress.com
 myfreshmeals.com
 mymealdirect.com
	  		  		  		  		  		  	

  

 - 4 - 

															
		  	 mymealplan.com
	  		  		  		  		  		  	
		  	 mymealsdirect.com
 mywellcentral.com
 myyummydiet.com
 netdiets.com
 netdiets.us
 newavocado.com
 nushape.com
 nutriodirect.com
 oneeightymag.com
 oneeightymag.net
 oneeightymagazine.com
 oneeightymagazine.net
 onlinedietmeeting.com
 onlinedietmeetings.com
 onlineweightlossmeetings.com
 organicfooddiet.com
 practicaldiet.com
 selfhelpcentral.com
 selfhelptech.com
 shapecity.com
 storemedia.com
 sugardiet.com
 summerfreshdiet.com
 thedietdepot.com
 theedietsmillionpoundmarch.com
 theflavorfulldiet.com
 themillionpoundmarch.net
 themillionpoundmarch.org
 themillionpoundmarch.us
 themillionpoundmarches.com
 thesummerfreshdiet.com
 trydeliciouslyyours.com
 tryediets.com
 u2tech.com
 vitadeli.com
 vitanourish.com
 waytoeat.net
 weightlossmeetings.com
 wellcentral.cc
 wellcentral.com
 wellcentral.net
 wellcentral.tv
 yourmeal.com
 yourmeals.com
 zerocarbdiet.com
 zone-diet-blog.com
	  		  		  		  		  		  	

 III. Trade Names 
  

			
	 Grantor
	 	 Names

	 eDiets.com, Inc.
	 	eDiets
		
	 eDiets.com, Inc.
	 	eDiets.com
		
	 eDiets.com, Inc.
	 	Nutrio / Nutrio.com
		
	 eDiets.com, Inc
	 	DIETSMART / dietsmart.com
		
	 eDiets.com, Inc.
	 	efitness / efitness.com

  

 - 5 - 

			
	 eDiets.com, Inc.
	 	deliciously yours / deliciouslyyours meal delivery service / deliciouslyyours.com
		
	 eDiets.com, Inc.
	 	glee / glee magazine / gleemagazine.com
		
	 eDiets.com, Inc.
	 	eDiets Corporate Services
		
	 eDiets.com, Inc.
	 	Mr. Bad Food

 IV. Copyrights 
  

															
	 Grantor
	  	 Title of Work
	  	 Country
	  	 Title
	  	 Reg.
 No.
	  	 Application
No.
	  	 Filing
 Date
	  	 Issue
 Date

	 eDiets.com, Inc.
	  	www.ediets.com, v6.5	  	USA	  		  	TX6299443	  		  		  	October 27, 2003
								
	 eDiets.com, Inc.
	  	www.ediets.com	  	USA	  		  	TX6299443	  		  		  	December 23, 2005
								
	 eDiets.com, Inc.
	  	eFitness	  	USA	  		  	TX5872690	  		  		  	October 27, 2003
								
	 eDiets.com, Inc.
	  	eDiets Pocket Enyclopedia	  	USA	  		  	TX5782718	  		  		  	May 8, 2003
								
	 eDiets.com, Inc.
	  	eDiets.com	  	USA	  		  	TX5880669	  		  		  	October 27, 2003

 V. IP Agreements 
  

							
	 	  	 Grantor
	 	 IP
 Agreements
	 	 
		  	N/A	 		 	

  

 - 6 - 

 Schedule IV to the 
 Security Agreement 
 COMMERCIAL TORT CLAIMS 
 [Describe nature of claim(s)-see Comment 5 to UCC Section 9-108] 
 N/A 

 Schedule V to the 
 Security Agreement 
 LOCATION, CHIEF EXECUTIVE OFFICE, TYPE OF ORGANIZATION, 
 JURISDICTION OF ORGANIZATION AND ORGANIZATIONAL IDENTIFICATION NUMBER 
  

											
	 Grantor
	  	 Location
	  	 Chief
 Executive
 Office
	  	 Type of
 Organization
	  	 Jurisdiction of
Organization
	  	 Organizational
I.D. No.

	 eDiets.com, Inc.
	  	 1000 Corporate Drive, Suite 600              
 Ft. Lauderdale, FL 33334                        
	  	For profit corp.	  	DE	  	56-0952883
					
	 eDiets, Inc.
	  	 1000 Corporate Drive, Suite 600              
 Ft. Lauderdale, FL 33334                        
	  	For profit corp.	  	DE	  	65-0687110
					
	 eDiets, BVI
	  	 1000 Corporate Drive, Suite 600              
 Ft. Lauderdale, FL 33334                        
	  	For profit corp.	  	BVI	  	N/A
					
	 Nutrio.com, Inc.
	  	 1000 Corporate Drive, Suite 600              
 Ft. Lauderdale, FL 33334                        
	  	For profit corp.	  	DE	  	65-0885927

 Schedule VI to the 
 Security Agreement 
 LOCATION OF EQUIPMENT AND INVENTORY 
 eDiets.com, Inc. 
 Locations of Equipment: 

 COMPUTER SERVER LOCATION 
 11300 NW 25 Street 

 Miami FL 33172 
 COMPUTER SERVER LOCATION

 45901 Nokes Blvd 
 Sterling, VA 20166

 OFFICE LOCATION 
 2225 N Commerce Parkway #7

 Weston FL 33326 
 OFFICE & CALL CENTER
LOCATION 
 1000 Corporate Drive Suite 600 
 Fort
Lauderdale FL 33334 
 Locations of Inventory: 
 FULFILLMENT CENTER 
 3570 NW 53 Court 
 Fort Lauderdale FL 33309 

 Schedule VII to the 
 Security Agreement 
 LETTERS OF CREDIT 
  

													
	 Beneficiary
(Grantor)
	 	 Issuer
	 	 Nominated
 Entity
 (if any)
	 	 Account
 Party
	 	 Number
	 	 Maximum
 Available
 Amount
	 	 Date

	 N/A
	 		 		 		 		 		 	
		 		 		 		 		 		 	
		 		 		 		 		 		 	
		 		 		 		 		 		 	
		 		 		 		 		 		 	
		 		 		 		 		 		 	
		 		 		 		 		 		 	
		 		 		 		 		 		 	
		 		 		 		 		 		 	

 Exhibit A to the 
 Security Agreement 
 FORM OF INTELLECTUAL PROPERTY SECURITY AGREEMENT 
 This INTELLECTUAL PROPERTY SECURITY AGREEMENT (as amended, amended and restated, supplemented or otherwise modified from time to time, the “IP
Security Agreement”) dated August 31, 2007 is made by the business entities listed on the signature pages hereof (collectively, the “Grantors”) in favor of Prides Capital Fund I, L.P., as lender (the
“Purchaser”). 
 WHEREAS, the Purchaser has purchased a note dated the date hereof (the
“Note”) issued by the Company (said note, as it may hereafter be amended, amended and restated, supplemented or otherwise modified from time to time, being the “Note”) pursuant to a Note Purchase
Agreement dated August 31, 2007 between the Company and the Purchaser. 
 WHEREAS, as a condition precedent to the Purchaser purchasing
the Note each Grantor has executed and delivered that certain Security Agreement dated as of the date hereof made by the Grantors to the Purchaser (as amended, amended and restated, supplemented or otherwise modified from time to time, the
“Security Agreement”). 
 WHEREAS, under the terms of the Security Agreement, the Grantors have granted to the
Purchaser a security interest in, among other property, certain intellectual property of the Grantors, and have agreed as a condition thereof to execute this IP Security Agreement for recording with the U.S. Patent and Trademark Office, the United
States Copyright Office and other governmental authorities. 
 NOW, THEREFORE, for good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, each Grantor agrees as follows: 
 SECTION 1. Grant of Security. Each Grantor hereby
grants to the Purchaser a security interest in all of such Grantor’s right, title and interest in and to the following (the “Collateral”): 
 (i) the patents and patent applications set forth in Schedule A hereto (the “Patents”); 
 (ii) the trademark and service mark registrations and applications set forth in Schedule B hereto (provided that no security interest
shall be granted in United States intent-to-use trademark applications to the extent that, and solely during the period in which, the grant of a security interest therein would impair the validity or enforceability of such intent-to-use trademark
applications under applicable federal law), together with the goodwill symbolized thereby (the “Trademarks”); 
 (iii) all copyrights, whether registered or unregistered, now owned or hereafter acquired by such Grantor, including, without limitation, the copyright registrations and applications and exclusive copyright licenses
set forth in Schedule C hereto (the “Copyrights”); 

 (iv) all reissues, divisions, continuations, continuations-in-part, extensions, renewals
and reexaminations of any of the foregoing, all rights in the foregoing provided by international treaties or conventions, all rights corresponding thereto throughout the world and all other rights of any kind whatsoever of such Grantor accruing
thereunder or pertaining thereto; 
 (v) any and all claims for damages and injunctive relief for past, present and future
infringement, dilution, misappropriation, violation, misuse or breach with respect to any of the foregoing, with the right, but not the obligation, to sue for and collect, or otherwise recover, such damages; and 
 (vi) any and all proceeds of, collateral for, income, royalties and other payments now or hereafter due and payable with respect to, and
supporting obligations relating to, any and all of the Collateral of or arising from any of the foregoing. 
 SECTION 2. Security for
Obligations. The grant of a security interest in, the Collateral by each Grantor under this IP Security Agreement secures the payment of all Obligations of such Grantor now or hereafter existing under or in respect of the Note, whether direct or
indirect, absolute or contingent, and whether for principal, reimbursement obligations, interest, premiums, penalties, fees, indemnifications, contract causes of action, costs, expenses or otherwise. Without limiting the generality of the foregoing,
this IP Security Agreement secures, as to each Grantor, the payment of all amounts that constitute part of the Secured Obligations and that would be owed by such Grantor to the Purchaser under the Note but for the fact that such Secured Obligations
are unenforceable or not allowable due to the existence of a bankruptcy, reorganization or similar proceeding involving a Loan Party. 
 SECTION 3. Recordation. Each Grantor authorizes and requests that the Register of Copyrights, the Commissioner for Patents and the Commissioner for Trademarks and any other applicable government officer record this IP Security
Agreement. 
 SECTION 4. Execution in Counterparts. This IP Security Agreement may be executed in any number of counterparts, each of
which when so executed shall be deemed to be an original and all of which taken together shall constitute one and the same agreement. 
 SECTION 5. Grants, Rights and Remedies. This IP Security Agreement has been entered into in conjunction with the provisions of the Security Agreement. Each Grantor does hereby acknowledge and confirm that the grant of the security
interest hereunder to, and the rights and remedies of, the Purchaser with respect to the Collateral are more fully set forth in the Security Agreement, the terms and provisions of which are incorporated herein by reference as if fully set forth
herein. 
 SECTION 6. Governing Law. This IP Security Agreement shall be governed by, and construed in accordance with, the laws of
the State of New York. 
  

 2 

 IN WITNESS WHEREOF, each Grantor has caused this IP Security Agreement to be duly executed and delivered
by its officer thereunto duly authorized as of the date first above written. 
  

			
	EDIETS.COM, INC.

			
		
	 By
	 	  

			
	 Name:
	 	
	 Title:
	 	
	
	Address for Notices:
	  

	  

	  

	
	 EDIETS, INC.

			
		
	 By
	 	  

			
	 Name:
	 	
	 Title:
	 	
	
	Address for Notices:
	  

	  

	  

	
	 NUTRIO.COM, INC.

			
		
	 By
	 	  

			
	 Name:
	 	
	 Title:
	 	
	
	Address for Notices:
	  

	  

	  

  

 3 

 SCHEDULES TO INTELLECTUAL PROPERTY SECURITY AGREEMENT 
 Schedule A—Patents 
  

													
	 Grantor
	  	 Patent
 Titles
	  	 Country
	  	 Patent No.
	  	 Application
 No.
	  	 Filing Date
	  	 Issue Date

		  		  		  		  		  		  	
		  		  		  		  		  		  	
		  		  		  		  		  		  	

  

 4 

 Schedule B – Trademarks, Domain Names and Trade Names 
 Trademarks and Domain Names (Grantor for all is eDiets.com, Inc.) 
  

															
	 Grantor
	  	 Domain
 Name/Mark
	  	 Country
	  	 Mark
	  	 Reg.
 No.
	  	 Application
No.
	  	 Filing
 Date
	  	 Issue
 Date

		  		  		  		  		  		  		  	
		  		  		  		  		  		  		  	
		  		  		  		  		  		  		  	

 Trade Names 
  

			
	 Grantor
	 	 Names

		 	
		 	
		 	

  

 5 

 Schedule C – Copyrights 
  

															
	 Grantor
	  	 Title of Work
	  	 Country
	  	 Title
	  	 Reg.
 No.
	  	 Application
No.
	  	 Filing
 Date
	  	 Issue
 Date

		  		  		  		  		  		  		  	
		  		  		  		  		  		  		  	
		  		  		  		  		  		  		  	

  

 6 

 Exhibit B to the 
 Security Agreement 
 FORM OF INTELLECTUAL PROPERTY SECURITY AGREEMENT SUPPLEMENT 
 This INTELLECTUAL PROPERTY SECURITY AGREEMENT SUPPLEMENT (this “IP Security Agreement Supplement”) dated
                    , 200  , is made by the business entities listed on the signature page hereof (the
“Grantor”) in favor of Prides Capital Fund I, L.P., as lender (the “Purchaser”). 
 WHEREAS,
the Purchaser has purchased a note dated the date hereof (the “Note”) issued by the Company (said note, as it may hereafter be amended, amended and restated, supplemented or otherwise modified from time to time, being the
“Note”) pursuant to a Note Purchase Agreement dated August 31, 2007 between the Company and the Purchaser. 
 WHEREAS, pursuant to the Note, the Grantor and certain other business entities have executed and delivered that certain Security Agreement dated August 31, 2007 made by the Grantor and such other parties to the Purchaser (as amended,
amended and restated, supplemented or otherwise modified from time to time, the “Security Agreement”) and that certain Intellectual Property Security Agreement dated August 31, 2007 (as amended, amended and restated,
supplemented or otherwise modified from time to time, the “IP Security Agreement”). 
 WHEREAS, under the terms of
the Security Agreement, the Grantor has granted to the Purchaser a security interest in the Additional Collateral (as defined in Section 1 below) of the Grantor and has agreed as a condition thereof to execute this IP Security Agreement
Supplement for recording with the U.S. Patent and Trademark Office, the United States Copyright Office and other governmental authorities. 
 NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Grantor agrees as follows: 
 SECTION 1. Grant of Security. Each Grantor hereby grants to the Purchaser a security interest in all of such Grantor’s right, title and interest in and to the following (the
“Collateral”): 
 (i) the patents and patent applications set forth in Schedule A hereto (the
“Patents”); 
 (ii) the trademark and service mark registrations and applications set forth in
Schedule B hereto (provided that no security interest shall be granted in United States intent-to-use trademark applications to the extent that, and solely during the period in which, the grant of a security interest therein would impair the
validity or enforceability of such intent-to-use trademark applications under applicable federal law), together with the goodwill symbolized thereby (the “Trademarks”); 

 (iii) the copyright registrations and applications and exclusive copyright licenses set
forth in Schedule C hereto to the extent assignable (the “Copyrights”); 
 (iv) all reissues,
divisions, continuations, continuations-in-part, extensions, renewals and reexaminations of any of the foregoing, all rights in the foregoing provided by international treaties or conventions, all rights corresponding thereto throughout the world
and all other rights of any kind whatsoever of such Grantor accruing thereunder or pertaining thereto; 
 (v) all any and all
claims for damages and injunctive relief for past, present and future infringement, dilution, misappropriation, violation, misuse or breach with respect to any of the foregoing, with the right, but not the obligation, to sue for and collect, or
otherwise recover, such damages; and 
 (vi) any and all proceeds of, collateral for, income, royalties and other payments now
or hereafter due and payable with respect to, and supporting obligations relating to, any and all of the foregoing or arising from any of the foregoing. 
 SECTION 2. Security for Obligations. The grant of a security interest in the Additional Collateral by the Grantor under this IP Security Agreement Supplement secures the payment of all Obligations of the
Grantor now or hereafter existing under or in respect of the Note, whether direct or indirect, absolute or contingent, and whether for principal, reimbursement obligations, interest, premiums, penalties, fees, indemnifications, contract causes of
action, costs, expenses or otherwise. 
 SECTION 3. Recordation. The Grantor authorizes and requests that the Register of Copyrights,
the Commissioner for Patents and the Commissioner for Trademarks and any other applicable government officer to record this IP Security Agreement Supplement. 
 SECTION 4. Grants, Rights and Remedies. This IP Security Agreement Supplement has been entered into in conjunction with the provisions of the Security Agreement. The Grantor does hereby acknowledge and confirm
that the grant of the security interest hereunder to, and the rights and remedies of, the Purchaser with respect to the Additional Collateral are more fully set forth in the Security Agreement, the terms and provisions of which are incorporated
herein by reference as if fully set forth herein. 
 SECTION 5. Governing Law. This IP Security Agreement Supplement shall be governed
by, and construed in accordance with, the laws of the State of New York. 
  

 2 

 IN WITNESS WHEREOF, the Grantor has caused this IP Security Agreement Supplement to be duly executed and
delivered by its officer thereunto duly authorized as of the date first above written. 
  

			
	 By
	 	  

			
	Name:	 	
	Title:	 	
	
	Address for Notices:
	  

	  

	  

  

 3 

 Exhibit C to the 
 Security Agreement 
 FORM OF SECURITY AGREEMENT SUPPLEMENT 
 [Date of Security Agreement Supplement] 
 Prides Capital Fund
I, L.P., as Purchaser 
 c/o Prides Capital Partners, LLC 
 200
High Street, Suite 700 
 Boston, MA 02110 
 Attn: Hank Lawlor

 eDiets.com, Inc. 
 Ladies and Gentlemen:

 Reference is made to the Security Agreement dated August 31, 2007 (as amended, amended and restated, supplemented or otherwise
modified from time to time, the “Security Agreement”) made by the Grantors from time to time party thereto in favor of the Purchaser. Terms defined in the Security Agreement and not otherwise defined herein are used herein as
defined in the Security Agreement. 
 SECTION 1. Grant of Security. The undersigned hereby grants to the Purchaser a security interest
in all of its right, title and interest in and to the following, in each case whether now owned or hereafter acquired by the undersigned, wherever located and whether now or hereafter existing or arising (collectively, the undersigned’s
“Collateral”): all Equipment, Inventory, Receivables, Security Collateral (including, without limitation, the shares of capital stock set forth on Part I of Schedule I hereto and the securities and securities/deposit accounts
set forth on Schedule II hereto), Account Collateral, Intellectual Property Collateral, Commercial Tort Claims Collateral (including, without limitation, the commercial tort claims described in Schedule III hereto), all books and records (including,
without limitation, customer lists, credit files, printouts and other computer output materials and records) of the undersigned pertaining to any of the undersigned’s Collateral, and all proceeds of, collateral for, income, royalties and other
payments now or hereafter due and payable with respect to, and supporting obligations relating to, any and all of the undersigned’s Collateral (including, without limitation, proceeds, collateral and supporting obligations that constitute
property of the types described in this Section 1) and, to the extent not otherwise included, all (A) payments under insurance (whether or not the Purchaser is the loss payee thereof), or any indemnity, warranty or guaranty, payable by
reason of loss or damage to or otherwise with respect to any of the foregoing Collateral, and (B) cash. 
 SECTION 2. Security for
Obligations. The grant of a security interest in, the Collateral by the undersigned under this Security Agreement Supplement and the Security Agreement secures the payment of all Obligations of the undersigned now or hereafter existing under or
in respect of the Note, whether direct or indirect, absolute or contingent, and whether for principal, 

 
reimbursement obligations, interest, premiums, penalties, fees, indemnifications, contract causes of action, costs, expenses or otherwise. Without limiting
the generality of the foregoing, this Security Agreement Supplement and the Security Agreement secures the payment of all amounts that constitute part of the Secured Obligations and that would be owed by the undersigned to the Purchaser under the
Note but for the fact that such Secured Obligations are unenforceable or not allowable due to the existence of a bankruptcy, reorganization or similar proceeding involving a Loan Party. 
 SECTION 3. Representations and Warranties. (a) The undersigned’s exact legal name, location, chief executive office, type of
organization, jurisdiction of organization and organizational identification number is set forth in Schedule V hereto. The undersigned has no trade names other than as listed on Schedule II hereto. Within the five years preceding the date hereof,
the undersigned has not changed its name, location, chief executive office, type of organization, jurisdiction of organization or organizational identification number from those set forth in Schedule V hereto. 
 (b) All of the Equipment and Inventory of the undersigned are located at the places specified therefor in Schedule VI hereto. 
 (c) The undersigned is not a beneficiary or assignee under any letter of credit, other than the letters of credit described in Schedule VII hereto.

 (d) The undersigned hereby makes each other representation and warranty set forth in Section 6 of the Security Agreement with respect
to itself and the Collateral granted by it. 
 SECTION 4. Obligations Under the Security Agreement. The undersigned hereby agrees, as
of the date first above written, to be bound as a Grantor by all of the terms and provisions of the Security Agreement to the same extent as each of the other Grantors. The undersigned further agrees, as of the date first above written, that each
reference in the Security Agreement to an “Additional Grantor” or a “Grantor” shall also mean and be a reference to the undersigned, that each reference to the “Collateral” or any part thereof shall also mean and be a
reference to the undersigned’s Collateral or part thereof, as the case may be, and that each reference in the Security Agreement to a Schedule shall also mean and be a reference to the schedules attached hereto. 
 SECTION 5. Governing Law. This Security Agreement Supplement shall be governed by, and construed in accordance with, the laws of the State of New
York. 
  

			
	 Very truly yours,

	
	[NAME OF ADDITIONAL GRANTOR]
		
	By	 	  

			
	Title:	 	
		 	
	Address for notices:
	  

	  

	  

  

 2

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