Document:

EX-4.1

 Exhibit 4.1 

FORM OF PRE-FUNDED WARRANT TO PURCHASE COMMON STOCK 

Number of Shares: [                ] 

(subject to adjustment) 
  

			
	 Warrant No.            

	 	 Original Issue Date: July [], 2020

 Chiasma, Inc. , a Delaware corporation (the “Company”), hereby certifies that, for good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, [    ] or its registered assigns (the “Holder”), is entitled, subject to the terms set forth below, to purchase from the Company up to
a total of [    ] shares of common stock, $0.01 par value per share (the “Common Stock”), of the Company (each such share, a “Warrant Share” and all such shares, the “Warrant
Shares”) at an exercise price per share equal to $0.0001 per share (as adjusted from time to time as provided in Section 9 herein, the “Exercise Price”), upon surrender of this Warrant to
Purchase Common Stock (including any Warrants to Purchase Common Stock issued in exchange, transfer or replacement hereof, the “Warrant”) at any time and from time to time on or after the date hereof (the
“Original Issue Date”), subject to the following terms and conditions: 
 1. Definitions. For purposes of this Warrant, the following
terms shall have the following meanings: 
 (a) “Affiliate” means any Person directly or indirectly controlled by, controlling or under
common control with, a Holder, but only for so long as such control shall continue. For purposes of this definition, “control” (including, with correlative meanings, “controlled by”, “controlling” and “under common
control with”) means, with respect to a Person, possession, direct or indirect, of (a) the power to direct or cause direction of the management and policies of such Person (whether through ownership of securities or partnership or other
ownership interests, by contract or otherwise), or (b) at least 50% of the voting securities (whether directly or pursuant to any option, warrant or other similar arrangement) or other comparable equity interests. 

(b) “Commission” means the United States Securities and Exchange Commission. 

(c) “Closing Sale Price” means, for any security as of any date, the last trade price for such security on the Principal Trading Market for
such security, as reported by Bloomberg Financial Markets, or, if such Principal Trading Market begins to operate on an extended hours basis and does not designate the last trade price, then the last trade price of such security prior to 4:00 P.M.,
New York City time, as reported by Bloomberg Financial Markets, or if the foregoing do not apply, the last trade price of such security in the over-the-counter market on
the electronic bulletin board for such security as reported by Bloomberg Financial Markets. If the Closing Sale Price cannot be calculated for a security on a particular date on any of the foregoing bases, the Closing Sale Price of such security on
such date shall be the fair market value as mutually determined by the Company and the Holder. If the Company and the Holder are unable to agree upon the fair market value of such security, then the Board of Directors of the Company shall use its
good faith judgment to determine the fair market value. The Board of Directors’ determination shall be binding upon all parties absent demonstrable error. All such determinations shall be appropriately adjusted for any stock dividend, stock
split, stock combination or other similar transaction during the applicable calculation period. 
 (d) “Principal Trading Market” means the
national securities exchange or other trading market on which the Common Stock is primarily listed on and quoted for trading, which, as of the Original Issue Date, shall be the Nasdaq Global Select Market. 

(e) “Registration Statement” means the Company’s Registration Statement on Form S-3 (File No. 333-233654), declared effective on September 25, 2019. 
 (f) “Securities Act” means the
Securities Act of 1933, as amended. 
 (g) “Trading Day” means any weekday on which the Principal Trading Market is normally open for
trading. 

 (h) “Transfer Agent” means American Stock Transfer & Trust Company, LLC, the
Company’s transfer agent and registrar for the Common Stock, and any successor appointed in such capacity. 
 2. Issuance of Securities; Registration
of Warrants. The Warrant, as initially issued by the Company, is offered and sold pursuant to the Registration Statement. As of the Original Issue Date, the Warrant Shares are issuable under the Registration Statement. Accordingly, the Warrant
and, assuming issuance pursuant to the Registration Statement or an exchange meeting the requirements of Section 3(a)(9) of the Exchange Act as in effect on the Original Issue Date, the Warrant Shares, are not “restricted securities”
under Rule 144 promulgated under the Securities Act. The Company shall register ownership of this Warrant, upon records to be maintained by the Company for that purpose (the “Warrant Register”), in the name of the record Holder
(which shall include the initial Holder or, as the case may be, any assignee to which this Warrant is assigned hereunder) from time to time. The Company may deem and treat the registered Holder of this Warrant as the absolute owner hereof for the
purpose of any exercise hereof or any distribution to the Holder, and for all other purposes, absent actual notice to the contrary. 
 3. Registration of
Transfers. Subject to compliance with all applicable securities laws, the Company shall, or will cause its Transfer Agent to, register the transfer of all or any portion of this Warrant in the Warrant Register, upon surrender of this Warrant,
and payment for all applicable transfer taxes (if any). Upon any such registration or transfer, a new warrant to purchase Common Stock in substantially the form of this Warrant (any such new warrant, a “New Warrant”) evidencing the
portion of this Warrant so transferred shall be issued to the transferee, and a New Warrant evidencing the remaining portion of this Warrant not so transferred, if any, shall be issued to the transferring Holder. The acceptance of the New Warrant by
the transferee thereof shall be deemed the acceptance by such transferee of all of the rights and obligations in respect of the New Warrant that the Holder has in respect of this Warrant. The Company shall, or will cause its Transfer Agent to,
prepare, issue and deliver at the Company’s own expense any New Warrant under this Section 3. Until due presentment for registration of transfer, the Company may treat the registered Holder hereof as the owner and
holder for all purposes, and the Company shall not be affected by any notice to the contrary. 
 4. Exercise and Duration of Warrants. 

(a) All or any part of this Warrant shall be exercisable by the registered Holder in any manner permitted by this Warrant at any time and from time to time on
or after the Original Issue Date. 
 (b) The Holder may exercise this Warrant by delivering to the Company (i) an exercise notice, in the form attached
as Schedule 1 hereto (the “Exercise Notice”), completed and duly signed, and (ii) payment of the Exercise Price for the number of Warrant Shares as to which this Warrant is being exercised (which may take the form of a
“cashless exercise” if so indicated in the Exercise Notice pursuant to Section 10 below), and the date on which the last of such items is delivered to the Company (as determined in accordance with the notice
provisions hereof) is an “Exercise Date.” The Holder shall not be required to deliver the original Warrant in order to effect an exercise hereunder. Execution and delivery of the Exercise Notice shall have the same effect as
cancellation of the original Warrant and issuance of a New Warrant evidencing the right to purchase the remaining number of Warrant Shares, if any. The aggregate exercise price of this Warrant, except for the Exercise Price, was pre-funded to the Company on or before the Original Issue Date, and consequently no additional consideration (other than the Exercise Price) shall be required by to be paid by the Holder to effect any exercise of
this Warrant. The Holder shall not be entitled to the return or refund of all, or any portion, of such pre-funded exercise price under any circumstance or for any reason whatsoever. 

5. Delivery of Warrant Shares. 
 (a) Upon exercise of this
Warrant, the Company shall promptly (but in no event later than five (5) Trading Days after the Exercise Date), upon the request of the Holder, credit such aggregate number of shares of Common Stock to which the Holder is entitled pursuant to
such exercise to the Holder’s or its designee’s balance account with The Depository Trust Company (“DTC”) through its Deposit Withdrawal Agent Commission system, or if the Transfer Agent is not participating in the Fast
Automated Securities Transfer Program (the “FAST Program”) or if the certificates are required to bear a legend regarding restriction on transferability, issue and dispatch by overnight courier to the address as specified in the
Exercise Notice, a certificate, registered in the Company’s share register in the name of the Holder or its designee, for the number of shares of Common Stock to which the Holder is entitled 

 
pursuant to such exercise. The Holder, or any natural person or legal entity (each, a “Person”) so designated by the Holder to receive Warrant Shares, shall be deemed to have
become the holder of record of such Warrant Shares as of the Exercise Date, irrespective of the date such Warrant Shares are credited to the Holder’s DTC account or the date of delivery of the certificates evidencing such Warrant Shares, as the
case may be. 
 (b) If by the close of the fifth (5th) Trading Day after the Exercise Date, the Company
fails to deliver to the Holder a certificate representing the required number of Warrant Shares in the manner required pursuant to Section 5(a) or fails to credit the Holder’s balance account with DTC for such number
of Warrant Shares to which the Holder is entitled, and if after such fifth (5th) Trading Day and prior to the receipt of such Warrant Shares, the Holder purchases (in an open market transaction or
otherwise) shares of Common Stock to deliver in satisfaction of a sale by the Holder of the Warrant Shares which the Holder anticipated receiving upon such exercise (a “Buy-In”), then the
Company shall, within five (5) Trading Days after the Holder’s request and in the Holder’s sole discretion, either (1) pay in cash to the Holder an amount equal to the Holder’s total purchase price (including brokerage
commissions, if any) for the shares of Common Stock so purchased, at which point the Company’s obligation to deliver such certificate (and to issue such Warrant Shares) shall terminate or (2) promptly honor its obligation to deliver to the
Holder a certificate or certificates representing such Warrant Shares and pay cash to the Holder in an amount equal to the excess (if any) of Holder’s total purchase price (including brokerage commissions, if any) for the shares of Common Stock
so purchased in the Buy-In over the product of (A) the number of shares of Common Stock purchased in the Buy-In, times (B) the Closing Sale Price of a share of
Common Stock on the Exercise Date. 
 (c) To the extent permitted by law and subject to Section 5(b), the Company’s obligations to issue and
deliver Warrant Shares in accordance with and subject to the terms hereof (including the limitations set forth in Section 11 below) are absolute and unconditional, irrespective of any action or inaction by the Holder to
enforce the same, any waiver or consent with respect to any provision hereof, the recovery of any judgment against any Person or any action to enforce the same, or any setoff, counterclaim, recoupment, limitation or termination, or any breach or
alleged breach by the Holder or any other Person of any obligation to the Company or any violation or alleged violation of law by the Holder or any other Person, and irrespective of any other circumstance that might otherwise limit such obligation
of the Company to the Holder in connection with the issuance of Warrant Shares. Subject to Section 5(b), nothing herein shall limit the Holder’s right to pursue any other remedies available to it hereunder, at law or in equity including,
without limitation, a decree of specific performance and/or injunctive relief with respect to the Company’s failure to timely deliver certificates representing shares of Common Stock upon exercise of the Warrant as required pursuant to the
terms hereof. 
 6. Charges, Taxes and Expenses. Issuance and delivery of certificates for shares of Common Stock upon exercise of this Warrant shall
be made without charge to the Holder for any issue or transfer tax, transfer agent fee or other incidental tax or expense (excluding any applicable stamp duties) in respect of the issuance of such certificates, all of which taxes and expenses shall
be paid by the Company; provided, however, that the Company shall not be required to pay any tax that may be payable in respect of any transfer involved in the registration of any certificates for Warrant Shares or the Warrants in a name
other than that of the Holder or an Affiliate thereof. The Holder shall be responsible for all other tax liability that may arise as a result of holding or transferring this Warrant or receiving Warrant Shares upon exercise hereof. 

7. Replacement of Warrant. If this Warrant is mutilated, lost, stolen or destroyed, the Company shall issue or cause to be issued in exchange and
substitution for and upon cancellation hereof, or in lieu of and substitution for this Warrant, a New Warrant, but only upon receipt of evidence reasonably satisfactory to the Company of such loss, theft or destruction (in such case) and, in each
case, a customary and reasonable indemnity and surety bond, if requested by the Company. Applicants for a New Warrant under such circumstances shall also comply with such other reasonable regulations and procedures and pay such other reasonable
third-party costs as the Company may prescribe. If a New Warrant is requested as a result of a mutilation of this Warrant, then the Holder shall deliver such mutilated Warrant to the Company as a condition precedent to the Company’s obligation
to issue the New Warrant. 
 8. Reservation of Warrant Shares. The Company covenants that it will, at all times while this Warrant is outstanding,
reserve and keep available out of the aggregate of its authorized but unissued and otherwise unreserved Common Stock, solely for the purpose of enabling it to issue Warrant Shares upon exercise of this Warrant as herein provided, the number of
Warrant Shares that are initially issuable and deliverable upon the exercise of this entire Warrant, free 

 
from preemptive rights or any other contingent purchase rights of persons other than the Holder (taking into account the adjustments and restrictions of Section 9). The
Company covenants that all Warrant Shares so issuable and deliverable shall, upon issuance and the payment of the applicable Exercise Price in accordance with the terms hereof, be duly and validly authorized, issued and fully paid and non-assessable. The Company will take all such action as may be reasonably necessary to assure that such shares of Common Stock may be issued as provided herein without violation of any applicable law or regulation,
or of any requirements of any securities exchange or automated quotation system upon which the Common Stock may be listed. The Company further covenants that it will not, without the prior written consent of the Holder, take any actions to increase
the par value of the Common Stock at any time while this Warrant is outstanding. 
 9. Certain Adjustments. The Exercise Price and number of Warrant
Shares issuable upon exercise of this Warrant are subject to adjustment from time to time as set forth in this Section 9. 
 (a)
Stock Dividends and Splits. If the Company, at any time while this Warrant is outstanding, (i) pays a stock dividend on its Common Stock or otherwise makes a distribution on any class of capital stock issued and outstanding on the
Original Issue Date and in accordance with the terms of such stock on the Original Issue Date or as amended, as described in the Registration Statement, that is payable in shares of Common Stock, (ii) subdivides its outstanding shares of Common
Stock into a larger number of shares of Common Stock, (iii) combines its outstanding shares of Common Stock into a smaller number of shares of Common Stock or (iv) issues by reclassification of shares of capital stock any additional shares
of Common Stock of the Company, then in each such case the Exercise Price shall be multiplied by a fraction, the numerator of which shall be the number of shares of Common Stock outstanding immediately before such event and the denominator of which
shall be the number of shares of Common Stock outstanding immediately after such event. Any adjustment made pursuant to clause (i) of this paragraph shall become effective immediately after the record date for the determination of stockholders
entitled to receive such dividend or distribution, provided, however, that if such record date shall have been fixed and such dividend is not fully paid on the date fixed therefor, the Exercise Price shall be recomputed accordingly as of the close
of business on such record date and thereafter the Exercise Price shall be adjusted pursuant to this paragraph as of the time of actual payment of such dividends. Any adjustment pursuant to clause (ii) or (iii) of this paragraph shall
become effective immediately after the effective date of such subdivision or combination. 
 (b) Pro Rata Distributions. If the Company, at any time
while this Warrant is outstanding, distributes to all holders of Common Stock for no consideration (i) evidences of its indebtedness, (ii) any security (other than a distribution of Common Stock covered by the preceding paragraph) or
(iii) rights or warrants to subscribe for or purchase any security, or (iv) cash or any other asset (in each case, “Distributed Property”), then, upon any exercise of this Warrant that occurs after the record date fixed
for determination of stockholders entitled to receive such distribution, the Holder shall be entitled to receive, in addition to the Warrant Shares otherwise issuable upon such exercise (if applicable), the Distributed Property that such Holder
would have been entitled to receive in respect of such number of Warrant Shares had the Holder been the record holder of such Warrant Shares immediately prior to such record date without regard to any limitation on exercise contained therein. 

(c) Fundamental Transactions. If, at any time while this Warrant is outstanding (i) the Company effects any merger or consolidation of the Company
with or into another Person, in which the Company is not the surviving entity and in which the stockholders of the Company immediately prior to such merger or consolidation do not own, directly or indirectly, at least 50% of the voting power of the
surviving entity immediately after such merger or consolidation, (ii) the Company effects any sale to another Person of all or substantially all of its assets in one transaction or a series of related transactions, (iii) pursuant to any
tender offer or exchange offer (whether by the Company or another Person), holders of capital stock tender shares representing more than 50% of the voting power of the capital stock of the Company and the Company or such other Person, as applicable,
accepts such tender for payment, (iv) the Company consummates a stock purchase agreement or other business combination (including, without limitation, a reorganization, recapitalization, spin-off or
scheme of arrangement) with another Person whereby such other Person acquires more than the 50% of the voting power of the capital stock of the Company (except for any such transaction in which the stockholders of the Company immediately prior to
such transaction maintain, in substantially the same proportions, the voting power of such Person immediately after the transaction); provided, however, the foregoing shall not include transactions for which the primary purpose is raising capital,
or (v) the Company effects any reclassification of the Common Stock or any compulsory share exchange pursuant to which the Common Stock is effectively converted into or exchanged for other securities, cash or property (other than as a

 
result of a subdivision or combination of shares of Common Stock covered by Section 9(a) above) (in any such case, a “Fundamental Transaction”), then
upon such Fundamental Transaction the Holder shall have the right to receive, upon exercise of this Warrant, the same amount and kind of securities, cash or property as it would have been entitled to receive upon the occurrence of such Fundamental
Transaction if it had been, immediately prior to such Fundamental Transaction, the holder of the number of Warrant Shares then issuable upon exercise in full of this Warrant without regard to any limitations on exercise contained herein. In the
event the Holder does not exercise this Warrant as contemplated by the foregoing sentence, this Warrant shall be deemed exercised in full without regard to any limitations on exercise contained herein pursuant to the “cashless exercise”
provision in Section 10 hereof upon the effective date of the consummation of such Fundamental Transaction. The provisions of this paragraph (c) shall similarly apply to subsequent transactions analogous of a Fundamental Transaction type.

 (d) Number of Warrant Shares. Simultaneously with any adjustment to the Exercise Price pursuant to Section 9, the number
of Warrant Shares that may be purchased upon exercise of this Warrant shall be increased or decreased proportionately, so that after such adjustment the aggregate Exercise Price payable hereunder for the increased or decreased number of Warrant
Shares shall be the same as the aggregate Exercise Price in effect immediately prior to such adjustment. 
 (e) Calculations. All calculations under
this Section 9 shall be made to the nearest one-tenth of one cent or the nearest share, as applicable. 

(f) Notice of Adjustments. Upon the occurrence of each adjustment pursuant to this Section 9, the Company at its expense will,
at the written request of the Holder, promptly compute such adjustment, in good faith, in accordance with the terms of this Warrant and prepare a certificate setting forth such adjustment, including a statement of the adjusted Exercise Price and
adjusted number or type of Warrant Shares or other securities issuable upon exercise of this Warrant (as applicable), describing the transactions giving rise to such adjustments and showing in detail the facts upon which such adjustment is based.
Upon written request, the Company will promptly deliver a copy of each such certificate to the Holder and to the Company’s transfer agent. 
 (g)
Notice of Corporate Events. If, while this Warrant is outstanding, the Company (i) declares a dividend or any other distribution of cash, securities or other property in respect of its Common Stock, including, without limitation, any
granting of rights or warrants to subscribe for or purchase any capital stock of the Company or any subsidiary, (ii) authorizes or approves, enters into any agreement contemplating or solicits stockholder approval for any Fundamental
Transaction or (iii) authorizes the voluntary dissolution, liquidation or winding up of the affairs of the Company, then, except if such notice and the contents thereof shall be deemed to constitute material
non-public information, the Company shall deliver to the Holder a notice of such transaction at least ten (10) days prior to the applicable record or effective date on which a Person would need to hold
Common Stock in order to participate in or vote with respect to such transaction; provided, however, that the failure to deliver such notice or any defect therein shall not affect the validity of the corporate action required to be described
in such notice. In addition, if while this Warrant is outstanding, the Company authorizes or approves, enters into any agreement contemplating or solicits stockholder approval for any Fundamental Transaction contemplated by
Section 9(c), other than a Fundamental Transaction under clause (iii) of Section 9(c), the Company shall deliver to the Holder a notice of such Fundamental Transaction at least thirty (30) days prior to the
date such Fundamental Transaction is consummated. Holder agrees to maintain any information disclosed pursuant to this Section 9(g) in confidence until such information is publicly available, and shall comply with applicable law with respect to
trading in the Company’s securities following receipt any such information. 
 10. Payment of Exercise Price. Notwithstanding anything contained
herein to the contrary, the Holder may, in its sole discretion, satisfy its obligation to pay the Exercise Price through a “cashless exercise”, in which event the Company shall issue to the Holder the number of Warrant Shares in an
exchange of securities effected pursuant to Section 3(a)(9) of the Securities Act, as determined as follows: 
 X = Y [(A-B)/A] 
 where: 

“X” equals the number of Warrant Shares to be issued to the Holder; 

 “Y” equals the total number of Warrant Shares with respect to which this Warrant is then being
exercised; 
 “A” equals the Closing Sale Prices of the shares of Common Stock (as reported by Bloomberg Financial Markets) as of the Trading Day
on the date immediately preceding the Exercise Date; and 
 “B” equals the Exercise Price then in effect for the applicable Warrant Shares at the
time of such exercise. 
 For purposes of Rule 144 promulgated under the Securities Act, it is intended, understood and acknowledged that the Warrant Shares
issued in a “cashless exercise” transaction shall be deemed to have been acquired by the Holder, and the holding period for the Warrant Shares shall be deemed to have commenced, on the date this Warrant was originally issued (provided that
the Commission continues to take the position that such treatment is proper at the time of such exercise). In the event that the Registration Statement or another registration statement registering the issuance of Warrant Shares is, for any reason,
not effective at the time of exercise of this Warrant, then the Warrant may only be exercised through a cashless exercise, as set forth in this Section 10. Except as set forth in Section 5(b) (Buy-In
remedy) and Section 12 (payment of cash in lieu of fractional shares), in no event will the exercise of this Warrant be settled in cash. 
 11.
Limitations on Exercise. 
 (a) Notwithstanding anything to the contrary contained herein, the Company shall not effect any exercise of this Warrant,
and the Holder shall not be entitled to exercise this Warrant for a number of Warrant Shares in excess of that number of Warrant Shares which, upon giving effect or immediately prior to such exercise, would result in (i) the aggregate number of
shares of Common Stock beneficially owned by the Holder and its Affiliates and any other Persons whose beneficial ownership of Common Stock would be aggregated with the Holder’s for purposes of Section 13(d) of the Exchange Act, to exceed
4.99% (the “Maximum Percentage”) of the total number of issued and outstanding shares of Common Stock of the Company following such exercise, or (ii) the combined voting power of the securities of the Company beneficially owned
by the Holder and its Affiliates and any other Persons whose beneficial ownership of Common Stock would be aggregated with the Holder’s for purposes of Section 13(d) of the Exchange Act to exceed the Maximum Percentage of the combined
voting power of all of the securities of the Company then outstanding following such exercise. For purposes of this Warrant, in determining the number of outstanding shares of Common Stock, the Holder may rely on the number of outstanding shares of
Common Stock as reflected in (x) the Company’s most recent Form 10-Q or Form 10-K, as the case may be, filed with the Commission prior to the date hereof,
(y) a more recent public announcement by the Company or (z) any other notice by the Company or its transfer agent setting forth the number of shares of Common Stock outstanding. Upon the written request of the Holder, the Company shall
within three (3) Trading Days confirm in writing or by electronic mail to the Holder the number of shares of Common Stock then outstanding. In any case, the number of outstanding shares of Common Stock shall be determined after giving effect to
the conversion or exercise of securities of the Company, including this Warrant, by the Holder since the date as of which such number of outstanding shares of Common Stock was reported. By written notice to the Company, the Holder may from time to
time increase or decrease the Maximum Percentage to any other percentage specified in such notice not in excess of 19.99%; provided that any such increase will not be effective until the sixty-first (61st) day after such notice is delivered to the
Company. For purposes of this Section 11(a), the aggregate number of shares of Common Stock or voting securities beneficially owned by the Holder and its Affiliates and any other Persons whose beneficial ownership of Common Stock would be
aggregated with the Holder’s for purposes of Section 13(d) of the Exchange Act shall include the shares of Common Stock issuable upon the exercise of this Warrant with respect to which such determination is being made, but shall exclude
the number of shares of Common Stock which would be issuable upon (x) exercise of the remaining unexercised and non-cancelled portion of this Warrant by the Holder and (y) exercise or conversion of
the unexercised, non-converted or non-cancelled portion of any other securities of the Company that do not have voting power (including without limitation any securities
of the Company which would entitle the holder thereof to acquire at any time Common Stock, including without limitation any debt, preferred stock, right, option, warrant or other instrument that is at any time convertible into or exercisable or
exchangeable for, or otherwise entitles the holder thereof to receive, Common Stock), is subject to a limitation on conversion or exercise analogous to the limitation contained herein and is beneficially owned by the Holder or any of its Affiliates
and other Persons whose beneficial ownership of Common Stock would be aggregated with the Holder’s for purposes of Section 13(d) of the Exchange Act. 

 (b) This Section 11 shall not restrict the number of shares of Common Stock which
a Holder may receive or beneficially own in order to determine the amount of securities or other consideration that such Holder may receive in the event of a Fundamental Transaction as contemplated in Section 9(c) of this
Warrant. 
 12. No Fractional Shares. No fractional Warrant Shares will be issued in connection with any exercise of this Warrant. In lieu of any
fractional shares that would otherwise be issuable, the number of Warrant Shares to be issued shall be rounded down to the next whole number and the Company shall pay the Holder in cash the fair market value (based on the Closing Sale Price) for any
such fractional shares. 
 13. Notices. Any and all notices or other communications or deliveries hereunder (including, without limitation, any
Exercise Notice) shall be in writing and shall be deemed given and effective on the earliest of (i) the date of transmission, if such notice or communication is delivered via facsimile or confirmed e-mail
at the facsimile number or e-mail address specified in the books and records of the Transfer Agent prior to 5:30 P.M., New York City time, on a Trading Day, (ii) the next Trading Day after the date of
transmission, if such notice or communication is delivered via facsimile or confirmed e-mail at the facsimile number or e-mail address specified in the books and records
of the Transfer Agent on a day that is not a Trading Day or later than 5:30 P.M., New York City time, on any Trading Day, (iii) the Trading Day following the date of mailing, if sent by nationally recognized overnight courier service specifying
next business day delivery, or (iv) upon actual receipt by the Person to whom such notice is required to be given, if by hand delivery. 
 14.
Warrant Agent. The Company shall initially serve as warrant agent under this Warrant. Upon thirty (30) days’ notice to the Holder, the Company may appoint a new warrant agent. Any corporation into which the Company or any new
warrant agent may be merged or any corporation resulting from any consolidation to which the Company or any new warrant agent shall be a party or any corporation to which the Company or any new warrant agent transfers substantially all of its
corporate trust or shareholders services business shall be a successor warrant agent under this Warrant without any further act. Any such successor warrant agent shall promptly cause notice of its succession as warrant agent to be mailed (by first
class mail, postage prepaid) to the Holder at the Holder’s last address as shown on the Warrant Register. 
 15. Miscellaneous. 

(a) No Rights as a Stockholder. The Holder, solely in such Person’s capacity as a holder of this Warrant, shall not be entitled to vote or receive
dividends or be deemed the holder of share capital of the Company for any purpose, nor shall anything contained in this Warrant be construed to confer upon the Holder, solely in such Person’s capacity as the Holder of this Warrant, any of the
rights of a stockholder of the Company or any right to vote, give or withhold consent to any corporate action (whether any reorganization, issue of stock, reclassification of stock, consolidation, merger, amalgamation, conveyance or otherwise),
receive notice of meetings, receive dividends or subscription rights, or otherwise, prior to the issuance to the Holder of the Warrant Shares which such Person is then entitled to receive upon the due exercise of this Warrant. In addition, nothing
contained in this Warrant shall be construed as imposing any liabilities on the Holder to purchase any securities (upon exercise of this Warrant or otherwise) or as a stockholder of the Company, whether such liabilities are asserted by the Company
or by creditors of the Company. 
 (b) Authorized Shares. (i) Except and to the extent as waived or consented to by the Holder, the Company shall
not by any action, including, without limitation, amending its certificate or articles of incorporation or through any reorganization, transfer of assets, consolidation, merger, dissolution, issue or sale of securities or any other voluntary action,
avoid or seek to avoid the observance or performance of any of the terms of this Warrant, but will at all times in good faith assist in the carrying out of all such terms and in the taking of all such actions as may be necessary or appropriate to
protect the rights of Holder as set forth in this Warrant against impairment. Without limiting the generality of the foregoing, the Company will (a) not increase the par value of any Warrant Shares above the amount payable therefor upon such
exercise immediately prior to such increase in par value, (b) take all such action as may be necessary or appropriate in order that the Company may validly and legally issue fully paid and non-assessable
Warrant Shares upon the exercise of this Warrant, and (c) use commercially reasonable efforts to obtain all such authorizations, exemptions or consents from any public regulatory body having jurisdiction thereof as may be necessary to enable
the Company to perform its obligations under this Warrant. 

 (ii) Before taking any action which would result in an adjustment in the number of Warrant Shares for which
this Warrant is exercisable or in the Exercise Price, the Company shall obtain all such authorizations or exemptions thereof, or consents thereto, as may be necessary from any public regulatory body or bodies having jurisdiction thereof. 

(c) Successors and Assigns. Subject to compliance with applicable securities laws, this Warrant may be assigned by the Holder. This Warrant may not be
assigned by the Company without the written consent of the Holder, except to a successor in the event of a Fundamental Transaction. This Warrant shall be binding on and inure to the benefit of the Company and the Holder and their respective
successors and assigns. Subject to the preceding sentence, nothing in this Warrant shall be construed to give to any Person other than the Company and the Holder any legal or equitable right, remedy or cause of action under this Warrant. This
Warrant may be amended only in writing signed by the Company and the Holder, or their successors and assigns. 
 (d) Amendment and Waiver. Except as
otherwise provided herein, the provisions of the Warrants may be amended and the Company may take any action herein prohibited, or omit to perform any act herein required to be performed by it, only if the Company has obtained the written consent of
the Holder. 
 (e) Acceptance. Receipt of this Warrant by the Holder shall constitute acceptance of and agreement to all of the terms and conditions
contained herein. 
 (f) Governing Law; Jurisdiction. ALL QUESTIONS CONCERNING THE CONSTRUCTION, VALIDITY, ENFORCEMENT AND INTERPRETATION OF THIS
WARRANT SHALL BE GOVERNED BY AND CONSTRUED AND ENFORCED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK WITHOUT REGARD TO THE PRINCIPLES OF CONFLICTS OF LAW THEREOF. EACH OF THE COMPANY AND THE HOLDER HEREBY IRREVOCABLY SUBMITS TO THE EXCLUSIVE
JURISDICTION OF THE STATE AND FEDERAL COURTS SITTING IN THE CITY OF NEW YORK, BOROUGH OF MANHATTAN, FOR THE ADJUDICATION OF ANY DISPUTE HEREUNDER OR IN CONNECTION HEREWITH OR WITH ANY TRANSACTION CONTEMPLATED HEREBY OR DISCUSSED HEREIN (INCLUDING
WITH RESPECT TO THE ENFORCEMENT OF ANY OF THE TRANSACTION DOCUMENTS), AND HEREBY IRREVOCABLY WAIVES, AND AGREES NOT TO ASSERT IN ANY SUIT, ACTION OR PROCEEDING, ANY CLAIM THAT IT IS NOT PERSONALLY SUBJECT TO THE JURISDICTION OF ANY SUCH COURT. EACH
OF THE COMPANY AND THE HOLDER HEREBY IRREVOCABLY WAIVES PERSONAL SERVICE OF PROCESS AND CONSENTS TO PROCESS BEING SERVED IN ANY SUCH SUIT, ACTION OR PROCEEDING BY MAILING A COPY THEREOF VIA REGISTERED OR CERTIFIED MAIL OR OVERNIGHT DELIVERY (WITH
EVIDENCE OF DELIVERY) TO SUCH PERSON AT THE ADDRESS IN EFFECT FOR NOTICES TO IT AND AGREES THAT SUCH SERVICE SHALL CONSTITUTE GOOD AND SUFFICIENT SERVICE OF PROCESS AND NOTICE THEREOF. NOTHING CONTAINED HEREIN SHALL BE DEEMED TO LIMIT IN ANY WAY ANY
RIGHT TO SERVE PROCESS IN ANY MANNER PERMITTED BY LAW. EACH OF THE COMPANY AND THE HOLDER HEREBY WAIVES ALL RIGHTS TO A TRIAL BY JURY. 
 (g)
Headings. The headings herein are for convenience only, do not constitute a part of this Warrant and shall not be deemed to limit or affect any of the provisions hereof. 

(h) Severability. In case any one or more of the provisions of this Warrant shall be invalid or unenforceable in any respect, the validity and
enforceability of the remaining terms and provisions of this Warrant shall not in any way be affected or impaired thereby, and the Company and the Holder will attempt in good faith to agree upon a valid and enforceable provision which shall be a
commercially reasonable substitute therefor, and upon so agreeing, shall incorporate such substitute provision in this Warrant. 
 [REMAINDER
OF PAGE INTENTIONALLY LEFT BLANK] 

 IN WITNESS WHEREOF, the Company has caused this Warrant to be duly executed by its
authorized officer as of the date first indicated above. 
  

			
	 CHIASMA, INC.

		
	 By:
	 	  

	 Name:
	 	
	 Title:
	 	

 SCHEDULE 1 

FORM OF EXERCISE NOTICE 
 [To be
executed by the Holder to purchase shares of Common Stock under the Warrant] 
 Ladies and Gentlemen: 

(1) The undersigned is the Holder of Warrant No. __ (the “Warrant”) issued by Chiasma, Inc. , a Delaware corporation (the
“Company”). Capitalized terms used herein and not otherwise defined herein have the respective meanings set forth in the Warrant. 
 (2) The
undersigned hereby exercises its right to purchase Warrant Shares pursuant to the Warrant. 
 (3) The Holder intends that payment of the Exercise Price shall
be made as (check one): 
  

	 	☐	 Cash Exercise 

  

	 	☐	 “Cashless Exercise” under Section 10 of the Warrant 

(4) If the Holder has elected a Cash Exercise, the Holder shall pay the sum of $ in immediately available funds to the Company in accordance with the terms of
the Warrant. 
 (5) Pursuant to this Exercise Notice, the Company shall deliver to the Holder Warrant Shares determined in accordance with the terms of the
Warrant. 
 (6) By its delivery of this Exercise Notice, the undersigned represents and warrants to the Company that in giving effect to the exercise
evidenced hereby the Holder will not beneficially own in excess of the number of shares of Common Stock (as determined in accordance with Section 13(d) of the Securities Exchange Act of 1934, as amended) permitted to be owned under
Section 11(a) of the Warrant to which this notice relates. 
  

			
	Dated:	 	  

	Name of Holder:	 	  

	By:	 	  

	Name:	 	  

	Title:	 	  

 (Signature must conform in all respects to name of Holder as specified on the face of the Warrant)Exhibit 10.1

  Exhibit 10.1
 CONTRACT MANUFACTURING AGREEMENT 
   
 This Contract Manufacturing Agreement (the “Agreement”) is effective as of June 4, 2020 (“Effective Date”) by and between Trans-Lux Corporation, a corporation formed under the laws of the state of Delaware, and its wholly owned subsidiary, Fairplay Corporation, a company incorporated under the laws of Iowa, and having its head office at 135 East 57th Street, 14th Floor, New York, New York 10022 (hereinafter referred to as “Fairplay” and/or “TNLX” as the context may require), and Craftsmen Industries, Inc., a corporation incorporated under the laws of the State of Missouri, and having its office at 3101 Elm Point Industrial Drive, St. Charles, Missouri  63301-4338 (hereinafter referred to as “Craftsmen”)Fairplay and Craftsmen may be individually referred to as a “Party” or collectively as the “Parties”.  
  
 WHEREAS:
  
 WHEREAS, TNLX is the Tenant at an industrial facility commonly known as 6110 Aviator Drive , Hazelwood, MO 63042. (the “Facility”) pursuant to a lease dated June 28, 2016 (the “Lease”), a copy of which has been given to Craftsmen; and 
  
 WHEREAS, Fairplay, by virtue of being a subsidiary of TNLX, operates its business at the Facility where it manufactures sports scoring solutions ranging from fixed digit displays, indoor and outdoor LED video displays and basketball scorer's tables and scoreboards; and 
  
 WHEREAS, Craftsmen is the market leader in design, engineering and production of marketing vehicles, large-format graphics and industrial fabrication and has production facilities in Missouri and Illinois; and
  
 WHEREAS, Craftsmen is familiar with the Goods (as hereinafter defined) to be manufactured at the Facility; and
  
 WHEREAS, Fairplay is desirous of appointing and Craftsmen is desirous of accepting appointment as its contract manufacturer utilizing Fairplay’s plant equipment and machinery fixtures, tools, and other resources located at the Facility, all on the terms and conditions set forth in this Agreement; and
  
 WHEREAS, it is the Parties’ desire to work collaboratively during the Initial Term (as hereinafter defined) to establish procedures, practices, and methodologies to result in the Goods being manufactured in an efficient and cost effective manner.
  
 NOW THEREFORE, in consideration of the foregoing and in consideration of the covenants, warranties and promises set forth below, the Parties agree as follows: 
 ARTICLE I  
 DEFINITIONS
 1.1      Whenever used in this Agreement, the following terms shall have the following meanings respectively, unless otherwise specified: 
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 (a)       “Affiliate” of a party means any Person which directly or indirectly controls, is controlled by, or is under common control with, such party; as used herein, the term "control" or “controls” means possession of the power to direct, or cause the direction of the management and policies of such Person,  whether through the ownership of voting securities, by contract, law or otherwise, and the term “controlled” shall have the meaning correlative to the foregoing.  
 (b)      “Agreement” means this contract manufacturing agreement, the recitals set forth in the preamble herein, and all schedules attached hereto, as well as all amendments, additions, restatements or modifications made hereto and thereto and all other documents incorporated herein or therein by reference, all of which are hereby made an integral part of and will be read as if included within the text of this contract manufacturing agreement; 
 (c)       “Business Day” means each of Monday, Tuesday, Wednesday, Thursday and Friday, except when any such day occurs on a statutory holiday observed in the State of Missouri. 
 (d)      “Effective Date” means  June 4, 2020; 
 (e)      “Intellectual Property” means all,all internet domain names, and all names, trademarks and services marks, logos, processes, production technology, product designs inventions, trade secrets and confidential business information, know-how, financial, marketing and business data, pricing and cost information, business and marketing plans, and all other intellectual property and proprietary rights owned by and exclusively used in or associated with a Party’s business;
 (f)        “Person” means any person, individual, firm, association, syndicate, partnership, joint venture, trustee, trust, corporation, division of a corporation, unincorporated organization or other entity or a government agency or political subdivision thereof; 
 (g)       “Goods” means the (finished goods manufactured by Craftsmen for Fairplay as set forth more specifically in Exhibit “A” attached hereto as the same may be supplemented by the Parties, in their mutual discretion, from time to time; 
 (h)      “Term” means the term of this Agreement as set forth in Article III comprising the Initial Term and any Renewal Term; and 
 1.2    The following schedules are incorporated into this Agreement by reference and form an integral part hereof: 
                         (a)Exhibit “A”            List of the Goods to be manufactured 
                         (b) Exhibit “B”            Timeline for manufacture/order flow
                         (c)  Exhibit “C”           Manufacturing Services and Payment Schedule
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                         (d)  Exhibit “D”          Guarantee of Unilumin USA LLC
                         (e)  Exhibit “E”           Security Agreement
 It is agreed that the Parties shall update these Exhibits as reasonably needed, but not less often than on a monthly basis, during the Term of this Agreement.
  
 ARTICLE II 
  MANUFACTURE AND SUPPLY OF THE GOODS 
 2.1     Subject to the terms agreed in this Agreement, commencing June 15, 2020, Craftsmen shall manufacture and supply the Good(s) for Fairplay (hereinafter “the “Good” or the “Goods”) as listed in Exhibit “A”. 
 2.2    Craftsmen shall provide all necessary labor, materials, management expertise, and oversight necessary to manufacture the Goods at Fairplay’s Facility. Fairplay shall provide Craftsmen assistance to the manufacturing process, the technical details as well as the amount of Goods to be produced. 
 2.3    As soon as practicable after the execution of this Agreement Fairplay shall at its own cost and free of charge disclose to Craftsmen such of its technology, process know how and methodologies as is necessary to enable Craftsmen to manufacture the Goods in accordance with the specifications and drawings as provided by Fairplay. 
 (a)       Any such disclosure of technology shall be subject to the confidentiality provisions of Article 9, but nothing in this Agreement shall require Fairplay specially to prepare any technology or to engage in any research or development on Craftsmen’s behalf. 
 (b)      Pursuant to this Agreement, Craftsmen shall not supply the Goods produced at the Facility to any person other than Fairplay without Fairplay’s prior consent and approval.  All goods shall be labeled and identified as Fairplay.  This provision shall be in effect during the Term of this Agreement and for a period of five (5) years after termination for whatever reason.
 2.4    Either party may at any time request that the Goods be adapted/amended in order to comply with any applicable safety or other statutory requirements. If the changes induced by such adaptation/amendment materially affect the nature or quality of the Goods, the Parties shall renegotiate in good faith the relevant parameters of this Agreement and any relevant schedule. 
 2.5     As further consideration for Craftsmen providing the contract manufacturing services to Fairplay, TNLX hereby grants Craftsmen a license to access and operate within the Facility at no additional cost to Craftsmen, such license to be irrevocable during and run coterminous with, the Term of this Agreement.  Upon termination of this Agreement, this license shall automatically terminate as well, subject to Craftsmen continuing to have a reasonable time and access to the Facility as necessary for Craftsmen to remove any assets or property of Craftsmen from the Facility after such termination.
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 ARTICLE III
 TERM 
 3.1    The initial term of this Agreement shall come into effect on the Effective Date and, unless terminated earlier in accordance with the terms of this Agreement, shall continue in full force and effect until December 31, 2020 (the “Initial Term”). 
 3.2    Provided the Parties shall have complied with all the terms and conditions hereof, this Agreement shall be automatically renewed at the end of the Initial Term or any Renewal Term, as the case may be, on the same terms and conditions as set forth herein for successive periods of one hundred (180) days (in each case a “Renewal Term”), unless either party shall have provided written notice to the other party that it does not intend to renew this Agreement at least ninety (90) days prior to the expiration of the Initial Term, or any Renewal Term, as the case may be.  The Initial Term and any Renewal Term shall collectively be referred to as the “Term”.  
 During the Initial Term  of  this Agreement, the Parties agree to negotiate in good faith to establish a longer term Agreement manufacturing and/or supply agreement which may or may not include utilization of the Fairplay Facility. During those discussions and negotiations, Fairplay shall not, on or before October 1 2020 unless neither Party has given its notice to not renew as provided for in section 3.2,  directly or indirectly, through any representative or otherwise, solicit or entertain offers from, negotiate with or in any manner encourage, discuss, accept or consider any proposal of any other person relating to the manufacture of Goods described in this Agreement.
 ARTICLE IV
 COOPERATION OF THE PARTIES FOR IMPROVEMENTS 
 AND MODIFICATIONS 
  
 4.1    Fairplay and Craftsmen shall meet periodically to review any matters likely to be relevant in relation to the manufacture, sale, use or development of the Goods or other products to be potentially manufactured at the Facility.  
 4.2   Without limiting the general scope of Article 4.1:  
 (a)       Fairplay shall provide Craftsmen with details of any Improvement belonging to Fairplay which it wishes to be incorporated into the Goods or any other modification which it wishes to be made to the Goods from time to time; and 
 (b)      Craftsmen shall provide Fairplay with details of any Improvement which is made, developed or acquired by Craftsmen from time to time. 
 4.3         An “Improvement” as referred to in this section means any development, enhancement or derivative of the Good, or its design or manufacturing process, which would make the Good cheaper, more effective, more useful or more valuable, or would in any other way render the Good preferable in commerce. 
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 4.4         The title to and all Intellectual Property rights in respect of any Improvement made, developed or acquired by either Party, to the extent developed at the Facility while manufacturing Goods under this Agreement, shall belong to Fairplay.  Provided, however, that Fairplay and Craftsmen may use any Improvements which are made, developed, or acquired by either party, and any applicable Intellectual Property of either party, for their own purposes in their own respective business by way of a perpetual, non-exclusive, royalty free license hereby granted. 
 4.5         Craftsmen shall not unreasonably withhold its consent to the incorporation into the Goods of any Improvement belonging to Fairplay or any other modification to the Goods referred to in Article 4.2(a), or of any Improvement belonging to Craftsmen referred to in Articles 4.2(b) and 4.4. 
 4.6         To the extent necessary, the incorporation of any Improvement or any other modification to the Goods, which is agreed between Fairplay and Craftsmen, shall be recorded in writing in Exhibit “A” as an amendment to the contractually agreed specification of the Goods. 
 ARTICLE V 
 FAIRPLAY EXPENSES
 5.1    Fairplay shall provide at its cost and expense the current equipment, onsite raw materials and  inventory, certain identified personnel and shall pay the rent, utilities, and insurance maintained by it at the Facility.
 5.2     Fairplay will be responsible for all of its information technology expenses including hardware, software, subscriptions and telecommunication until time which Craftsmen advises that it no longer needs these systems for its purposes of supporting Fairplay or Craftsmen.  After such notification, Fairplay is free to liquidate those systems and expenses if and how it sees fit.
  
 ARTICLE VI
 PAYMENT, GUARANTY AND SUBORDINATE LIEN
 6.1    Subject to and in accordance with the terms and conditions hereof, Craftsmen agrees to provide manufacturing and production support and services to Fairplay, and Fairplay agrees to buy from Craftsmen, the manufacturing and production support and services set forth in Exhibit “C” hereto.   The Parties consent to Craftsmen hiring current or prior employees of Fairplay for purposes of providing the labor necessary for Craftsmen to perform a portion of the manufacturing and production support and services hereunder.
 6.2    (a) Payment shall be made by Fairplay within thirty (30) days from the invoice date. 
   (b) Craftsmen agrees to invoice Fairplay at the end of each month commencing after July 1, 2020 and monthly thereafter.
   (c)    Fairplay will pay interest on overdue accounts at a rate of twelve percent (12%) per annum.
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 6.3     Fairplay and/or TNLX shall continue to pay during the term of this Agreement the costs and expenses set forth on Schedule “C” hereto. 
 6.4     All payments owed to Craftsmen by Fairplay and/or TNLX under this Agreement (including all labor applied to Fairplay Goods, and all fixed fees owed to Craftsmen as well as materials purchased for production of the Goods) shall be (a) guaranteed by Unilumin USA (“Unilumin”) pursuant to the terms of a Corporate Guaranty in a form and substance mutually satisfactory to Unilumin and the Parties hereto, and (b) secured by a security interest granted by Fairplay to Craftsmen in the raw material inventory utilized by Craftsmen in manufacturing the Goods (whether sourced by Fairplay and/or TNLX or Craftsmen on behalf of such Parties), all finished Goods, all accounts receivable generated from the sales of Goods to customers of Fairplay and all proceeds collected therefrom, pursuant to the terms of a Security Agreement in a form and substance mutually satisfactory to the Parties hereto.  
 6.5  The Craftsmen lien shall be subordinate to the lien of MidCap Business Credit, LLC pursuant to a Loan and Security Agreement by and among MidCap Business Credit LLC, a Texas limited liability company, Trans-Lux Corporation, and Fairplay Corporation dated September 16, 2019. 
 ARTICLE VII
 QUALITY AND CHANGES IN PRODUCT 
 7.1    Craftsmen guarantees that its contract manufacturing services under this Agreement shall be performed in a professional and workmanlike manner using sound principles in its performance of services hereunder.  Fairplay shall be responsible for any diminishment in the quality of the Goods, whether caused by lack of quality of the materials used to manufacture the Goods (so long as Craftsmen continues to utilize the materials from Fairplay’s current supply source), inadequate design of the Goods, improper transport or storage of such Goods or for any other reason whatsoever. Craftsmen will use commercially reasonable efforts to meet the delivery schedules set forth on Exhibit B.
 7.2    Notwithstanding anything to the contrary in this Agreement, Craftsmen shall not, except in respect of death or personal injury caused by the negligence of Craftsmen, be liable to Fairplay for any loss of profit or any indirect, special or consequential loss or damage, costs, expenses or other claims (whether occasioned by the negligence of Craftsmen or its employees or agents or otherwise) arising out of or in connection with the manufacture or supply of the Goods (including any delay in supplying or any failure to supply the Goods in accordance with this Agreement or at all), their use or resale by Fairplay or their use by any customer of Fairplay, and the total liability of Craftsmen for any other loss, damage, costs, expenses or other claims which so arise shall not exceed the price of the Goods in question. 
 ARTICLE VIII
 ADDITIONAL OBLIGATIONS OF CRAFTSMEN
 8.1    During the currency of this Agreement, in addition to any other obligations set forth herein, Craftsmen shall: 
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 (a)       use its commercially reasonable efforts consistent with its current practices in the performance of its obligations under this Agreement, including without limitation, in respect to the manufacturing of the Goods; 
 (b)      commit and adhere to the highest standards of operation, consistent with the standards, as required, utilized by Craftsmen at its own manufacturing facilities; and 
 (c)       comply with and cause any sub-contractors or other Persons appointed by it to comply with all applicable laws, rules, regulations and/or guidelines relating to the manufacturing, use, storage, handling, transportation, distribution, sale, transfer and/or disposal of the Goods, as well as with the terms and conditions of this Agreement. 
 ARTICLE IX
  BUSINESS REVIEWS; CRAFTSMEN INCENTIVES
 9.1    Craftsmen and Fairplay agree to meet monthly or as otherwise specified below or agreed upon by both parties, to discuss the state of business and to review business performance issues and improvement initiatives.  For purposes of clarification, the discussions between the Parties pursuant to this Article IX shall not modify or amend this Agreement unless a formal written amendment is executed by all Parties in accordance with Section 17.3.  The items to be reviewed include, but are not limited to, the following: 
 (a)          Fairplay Business Trends - Fairplay agrees to review their business initiatives and any significant changes that may affect the relationship between Fairplay and Craftsmen. In addition, Fairplay will present business trends and performance to Forecast so that Craftsmen can better serve the current Fairplay requirements. Nothing herein will obligate either party to disclose any information regarding such party’s business and any such disclosures so made shall be made in the disclosing party’s sole discretion. 
 (b)      Cost Savings Initiatives - Craftsmen and Fairplay agree to review initiatives to reduce manufacturing cost for the Goods. 
 (c)      Physical Inventory Review - Craftsmen and Fairplay agree to review inventory and other reporting requirements set forth herein and Craftsmen’ Assembly handling and inventory procedures. 
 (d)     Delivery Performance - Craftsmen and Fairplay agree to measure, review and discuss delivery performance for all Goods. Both parties agree to measure actual delivery dates as compared to Fairplay requested delivery dates and to Craftsmen’ expected delivery dates. 
 (e)      Payment Performance - Craftsmen and Fairplay agree to review any issues that are preventing payment within the agreed upon payment terms, if any. 
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 9.2    Craftsmen Incentives:  Fairplay will provide target costing for all Goods based on the mutually agreed estimates.  Craftsmen will be awarded half of the savings created when the actual production costs (materials, fully burdened labor, manufacturing overhead, engineering and project management costs calculated in accordance with generally accepted accounting principles) are less than the estimated costs.  The other half of this savings accrues to Fairplay.  Fairplay will pay Craftsmen its share of cost savings due under this Section on a quarterly basis not later than the 60th_ day of each  quarter following the period in which the savings were recognized. In the event any mutually agreed upon estimates are exceeded in any one quarter, then that excess will be taken into account in the calculation(s) for the next succeeding quarter. 
 ARTICLE X
 REPRESENTATIONS AND WARRANTIES
 10.1   Craftsmen represents and warrants to Fairplay, acknowledging that Fairplay is relying upon such representations and warranties in connection with its entering into this Agreement, as follows: 
 (a)    Craftsmen is a valid subsisting corporation incorporated pursuant to the laws of Missouri; 
 (b)      Craftsmen has all requisite power and authority to execute and deliver this Agreement and has all necessary power and authority to perform the obligations of Craftsmen as set out herein; 
 (c)       the entering into of this Agreement will not result in the violation of any of the terms and provisions of any agreement, written or oral, to which Craftsmen may be a party; 
 (d)      the execution and delivery of this Agreement has been duly authorized by all necessary action on the part of Craftsmen and this Agreement, when duly executed and delivered by Craftsmen, will constitute a legal and binding obligation of Craftsmen enforceable in accordance with its terms; and 
 (e)       the performance by Craftsmen of all its obligations hereunder will be conducted in compliance with all applicable laws, rules, regulations, OSHA standards, health and safety requirements, and in compliance with all terms under the Lease. 
 10.2   Fairplay and TNLX each represents and warrants to Craftsmen, acknowledging that Craftsmen is relying upon such representations and warranties in connection with its entering into this Agreement, as follows: 
 (a)   Fairplay is a valid subsisting corporation incorporated pursuant to the laws of Iowa, and TNLX is a valid subsisting corporation incorporated pursuant to the laws of Delaware; 
 (b)      Fairplay and TNLX each has all requisite power and authority to execute and deliver this Agreement and has all necessary power and authority to perform the obligations of Fairplay and TNLX as set out herein; 
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 (c)       the entering into of this Agreement will not result in the violation of any of the terms and provisions of any agreement, written or oral, to which Fairplay or TNLX may be a party;]
 (d)      the execution and delivery of this Agreement has been duly authorized by all necessary action on the part of Fairplay and TNLX and this Agreement, when duly executed and delivered by Fairplay and TNLX, will constitute a legal and binding obligation of Fairplay and TNLX enforceable in accordance with its terms; and 
 (e)       the performance by Fairplay and TNLX of all its respective obligations hereunder will be conducted in compliance with all applicable laws, rules, regulations, OSHA standards, health and safety requirements, and in compliance with all terms under the Lease. 
 ARTICLE XI
 INTELLECTUAL PROPERTY  
 11.1  Fairplay authorizes Craftsmen, for the purposes of exercising its rights and performing its obligations under this Agreement to use the technology disclosed under Article 2.3 and any Intellectual Property of Fairplay in respect of the technology. 
 11.2  Subject to Article 11.1, Craftsmen shall have no rights in respect of any of the technology disclosed under Article 2.3, any Intellectual Property of Fairplay in respect of it, and Craftsmen shall not use any of that technology or Intellectual Property except for the purposes specified in Article 11.1 and otherwise in accordance with this Agreement. 
 11.3  Craftsmen shall at the request and expense of Fairplay take all such steps as Fairplay may reasonably require to assist Fairplay in maintaining the validity and enforceability of any Intellectual property referred to in Article 11.2, and shall enter into such formal licenses as Fairplay may reasonably request for this purpose. Craftsmen shall not represent that it has any title in or right of ownership to any of the Intellectual Property or do or suffer to be done any act or thing which may in any way impair the rights of Fairplay in any of the Intellectual Property or bring into question the validity of its registration. 
 11.4  Craftsmen shall promptly and fully notify Fairplay of any actual or threatened infringement of any of the Intellectual Property referred to in Article 11.2 which comes to notice to Craftsmen, or which Craftsmen suspects has taken or may take place. 
 11.5  If any claim is made against Craftsmen that the manufacture of the Goods infringes the Intellectual Property or other rights of any third party, Fairplay shall, except to the extent that the claim is due to the default of Craftsmen, indemnify Craftsmen against all damages or other compensation awarded against Craftsmen in connection with the claim or paid or agreed to be paid by Craftsmen in settlement of the claim and all legal or other expenses incurred by Craftsmen in or about the defense or settlement of the claim. Craftsmen shall notify Fairplay forthwith after becoming aware of the claim, and take all action reasonably requested by Fairplay to avoid, compromise or defend the claim and any proceedings in respect of the claim, subject to Craftsmen being indemnified and secured to its reasonable satisfaction against all costs and expenses which may be incurred in so doing. 
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 ARTICLE XII
 TERMINATION 
 12.1  Notwithstanding any other provision herein, the Parties hereto agree that any Party shall have the right to terminate this Agreement upon written notice to the other Parties (without an opportunity to cure), upon the occurrence of the following events: 
 (a)       if a decree or order of a court having competent jurisdiction is entered adjudging a Party bankrupt or approving as properly filed a petition seeking or winding up of such Party, including, without limitation, the appointment of a receiver in respect thereto, or ordering for the winding up or liquidation of its affairs, and any such decree or order continues unstayed and in effect for a period of forty-five (45) days; 
 (b)      if a Party admits in writing its inability to pay its debts as they become due, makes any assignment in bankruptcy, or makes any other assignment for the benefit of creditors; 
 (c)       if a governmental regulatory order or final judgment or decree in any jurisdiction which materially and adversely affects the ability of a Party to fulfill its obligations to the other Party under this Agreement shall have been made, issued obtained or entered against such Party and such order, judgment or decree shall not have been vacated, discharged or stayed pending appeal within the applicable time period; or 
 (d)      Craftsmen assigns or attempts to assign this Agreement or any of the rights or obligations hereunder without the prior written consent of Fairplay being given. 
 12.2     Fairplay may, without prejudice to any other rights, immediately terminate this Agreement by notice to Craftsmen, as a result of any interest in Craftsmen being acquired by any Person engaged in a business that is competitive with the business of Fairplay. 
 12.3   Furthermore, this Agreement may also be terminated by either Party at any time in the event that the other Party commits a material breach of any provision of this Agreement and such other Party fails to remedy such breach within (a) thirty (30) days after receipt of written notice specifying the breach from the non-defaulting Party if the default relates to the non-payment of any amounts payable to Craftsmen hereunder, or (b) ninety (90) days after receipt of written notice specifying the breach from the non-defaulting Party in all other cases. 
 12.4 Early termination pursuant the above paragraphs shall not relieve either Party of any obligation arising hereunder prior to such termination.  
 12.5  Upon termination of this Agreement for any reason whatsoever: 
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 (a)       Craftsmen shall promptly return to Fairplay all confidential information, access to Intellectual Property rights and any other materials and documents given to Craftsmen and relating to this Agreement or otherwise to the business of Fairplay; 
 (b)      Craftsmen shall cease use of Fairplay’s Intellectual Property and shall thereafter refrain from holding itself out as a contract manufacturer of Fairplay; 
 (c)       Fairplay shall have the obligation to remit payment of all amounts due Craftsmen within thirty (30) days; 
 ARTICLE XIII
 LIMITATION OF LIABILITY, INDEMNITIES, AND INSURANCE 
 13.1  Craftsmen hereby agrees to defend, indemnify and hold harmless Fairplay against any liability, losses, damages or costs (including any legal costs) incurred or suffered by Fairplay as a result of any breach, negligent act or omission or willful default on the part of Craftsmen, or its Representatives arising either directly or indirectly from the performance (or nonperformance) by Craftsmen or any of its Representatives of any obligations under this Agreement.  
 13.2  Fairplay and TNLX hereby agree to defend, indemnify and hold harmless Craftsmen against any liability, losses, damages or costs (including any legal costs) incurred or suffered by Craftsmen as a result of any breach, negligent act or omission or willful default on the part of Fairplay or TNLX, or its Representatives arising either directly or indirectly from the performance (or nonperformance) by Fairplay or TNLX or any of its Representatives of any obligations under this Agreement.
 13.3   Neither Party shall be liable to the other Parties for any special, indirect, consequential, punitive or exemplary damages, including for greater certainty any damages on account of the loss of prospective profits on anticipated sales or on account of expenditures, investments, leases or commitments in connection with the business. 
 13.4   Insurance. The Parties agree at all times to maintain all appropriate liability insurance covering their obligations hereunder and the Goods manufactured by Craftsmen and marketed and sold by Fairplay pursuant to this Agreement at amounts reasonably acceptable to each other. The minimum insurance coverage in effect will be for statutory amounts or Five Million Dollars ($5,000,000.00). The Parties shall not modify any insurance coverage,cancel any insurance coverage or delete the other as an additional insured during the term of this Agreement without the prior written consent of either Party. The Parties agree to cause the other Party to be added as a named insured under their coverage. The availability of insurance coverage shall not otherwise limit or expand any Party’s obligations or liabilities hereunder.
 ARTICLE XIV
 FORCE MAJEURE
 14.1  No failure or omission by Fairplay or Craftsmen in the performance of any obligation under this Agreement shall be deemed a breach of this Agreement or create any liability if the same arises on account of force majeure, which term shall include any event or cause beyond the control of Fairplay or Craftsmen, as the 
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          case may be, including but not restricted to acts of God, acts or omissions of any government, or agency thereof, rebellion, insurrection, riot, sabotage, invasion, quarantine, restrictions,  strike,  lock out and transportation embargoes, health emergencies, pandemics, governmental orders, and anything related to CV-19, provided that the party relying on this Section shall forthwith after any such event give written notice to the other party of its inability to perform such obligation and the reasons therefore.  If force majeure continues for a period of more than  three (3) months, without the parties hereto being able to develop an alternative satisfactory arrangement, then either party has the option of immediately terminating this Agreement. 
 ARTICLE XV
 NO ASSUMPTION OF LIABILITIES
 15.1  Craftsmen does not and by this Agreement will not assume, and hereby expressly disclaims any assumption of, any Indebtedness, Liabilities or obligations (absolute or contingent) of any kind of Fairplay and/or TNLX, including but not limited to (i) accounts payable, (ii) Indebtedness of Fairplay and/or TNLX for money borrowed, (iii) Taxes of Fairplay or relating to ownership, use or operation of its business, (iv) claims, litigation, Liabilities or obligations arising out of or relating to the operations of Fairplay and/or TNLX, (v) Liabilities or obligations or future employee claims from current or prior Fairplay employees of any kind in respect of any past or present stockholders, directors, officers, employees or consultants of Fairplay and/or TNLX, whether under any contract or agreement, pursuant to any pension plan or employee benefit plan or welfare plan, or otherwise, and/or (vi) any other Liabilities or obligations of or relating to Fairplay and/or TNLX or any of their Affiliates or related entities in any manner whatsoever.
 ARTICLE XVI
 RELATIONSHIP OF THE PARTIES
 16.1  Craftsmen is an independent contractor. Craftsmen and its employees are not employees of Fairplay and/or TNLX and will not be entitled to any employee benefits from Fairplay and/or TNLX. Fairplay and TNLX are independent contractors. Fairplay and/or TNLX and their  employees are not employees of  Craftsmen and will not be entitled to any employee benefits from Craftsmen. Neither Party has the power or authority to enter into any contract or commitment in the name of or on behalf the other Party or bind the other Party in any respect.
 ARTICLE XVII
 MISCELLANEOUS 
 17.1  Any notice, request, demand, consent or other communication required or permitted under this Agreement shall be in writing and shall be given by personal delivery (including courier) by prepaid registered or certified mail or by fax (confirmed by mail) addressed to the party for which it is intended at the address below and shall be deemed to be given on the day of delivery or transmission if during normal business hours, or, if after business hours, on the next following Business Day, or if mailed by registered or certified mail, on the day which is seven (7) Business Days after such notice is mailed during normal postal conditions.  In the event of a postal disruption, any notice mailed will be deemed received on the seventh (7th) Business Day following resumption of regular postal service: 
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 (a)      if to Fairplay or Trans-Lux Corporation
  
                        135 East 57th Street, 14th Floor, 
                         New York, New York 10022
 Tel:   1-800-243-5544
 Email: nickfazio@translux.com 
  
                          With a copy to:
  
                          Durkin Law, LLC
                          Attention:  Thomas E. Durkin, III, Esq.
                          101 Hudson Street
                          Jersey City, NJ  07305
                          Tel: -201-275-0601
                          Email:  tdurkin3@durkinlawllc.com
  
 (b)      if to Craftsmen: 
  
 Craftsmen Industries, Inc.
 3101 Elm Point Industrial Drive
 St. Charles, MO 63301-4338 
 Tel:  800.373.3575
 Email: msteele@craftsmenind.com
  
                            With a copy to:
  
 Affinity Law Group, LLC
 Attention:  Brad Crandall, Esq.
 1610 Des Peres Road · Suite 100 · 
 St. Louis, MO 63131
 Tel: (314) 872-3333 · 
 Email: bcrandall@affinitylawgrp.com
  
 17.2     Either party may change its address for notices and other communications upon notice to the other party in the manner aforesaid. 
 17.3     Except as otherwise provided herein, this Agreement may not be amended or otherwise modified except in writing signed by all parties. 
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 17.4     The words “hereof”, “herein”, “hereunder” and similar expressions used in any section of this Agreement relate to the whole of this Agreement (including any schedules attached hereto) and not to that section only, unless otherwise expressly provided for or the context clearly indicates to the contrary. Words importing the singular number only will include the plural and vice versa and words importing the masculine gender will include the feminine and neuter genders and vice versa.  The word “including” will mean “including without limitation”. 
 17.5     This Agreement, including all schedules attached hereto, constitutes the entire agreement and understanding between the parties with respect to all matters herein and supersedes all prior oral or written agreements and understandings between the parties with respect to the subject matter of this Agreement. 
 17.6     Neither party may sell, transfer, and assign any or all of its rights and obligations arising from this Agreement to any Person without the prior written consent of the other Parties conditioned upon the assignee agreeing in writing to be bound by the covenants and agreements contained herein and so assigned by the assigning Party.  Upon any such assignment and assumption, the assigning Party shall be under no further obligation hereunder with respect to any of the rights and obligations so assigned.  This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and permitted assigns.  Any attempted assignment in violation of this Section 17.6 shall be void and of not effect. 
 17.7     The failure by either party at any time to require performance by the other party of any provision of this Agreement shall in no way affect its right to require performance at any time thereafter, and no term or provision of this Agreement is deemed waived and no breach excused unless such waiver or consent is in writing and signed by the party to have so waived or consented.  Any consent by any party to, or waiver of, a breach by the other party, whether expressed or implied, does not constitute a consent to, waiver of, or excuse for, any other different or subsequent breach by such other party of the same or any other provision.  
 17.8     Time shall be of the essence of this Agreement. 
 17.9     If any provision of this Agreement shall, to any extent, be held to be invalid or unenforceable, it shall be deemed to be separate and severable from the remaining provisions of this Agreement, which shall remain in full force and effect and be binding as though the invalid or unenforceable provision had not been included. 
 17.10 Each of the parties hereto covenant and agree to execute and deliver such further and other agreements, assurances, undertakings or documents, cause such meetings to be held, resolutions passed and by-laws enacted, exercise their votes and influence and do and perform and cause to be done and performed any further and other acts and things as may be necessary or desirable in order to give full effect to this Agreement. 
 17.11 Unless otherwise specifically provided for herein, all monetary amounts referred to herein shall be in lawful currency of the United States of America. 
 17.12 The division of this Agreement into articles and sections is for convenience of reference only and shall not affect the interpretation or construction of this Agreement. 
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 17.13 This Agreement may be executed in identical duplicate counterparts, each of which shall be deemed an original, and both of which together shall constitute one and the same instrument. The delivery by facsimile transmission of an executed counterpart will be deemed to be valid execution and delivery of this Agreement and each party hereto undertakes to provide each other party hereto with a copy of the Agreement bearing original signatures as soon as possible after delivery of the facsimile copy. 
 ARTICLE XVIII
 GOVERNING LAW AND ARBITRATION 
 18.1 The parties agree that the validity, operation and performance of this Agreement shall be governed by and interpreted in accordance with the laws of Missouri, and the parties do expressly and irrevocably attorn to the jurisdiction of courts of Missouri with respect to any matter or claim, suit, action or proceeding arising under or related to this Agreement.   
 18.2 Any dispute concerning the subject matter of this Agreement, or the breach, termination, or validity thereof (a “Dispute”) will be settled exclusively in accordance with the procedures set forth herein. The party seeking resolution of a Dispute will first give notice in writing of the Dispute to the other party, setting forth the nature of the Dispute and a concise statement of the issues to be resolved.  If the Dispute has not been resolved through good faith efforts and negotiations of senior officers or representatives of the parties within fifteen (15) days of receipt by the relevant party of the notice of Dispute, such notice will be deemed to be a notice of arbitration and the parties agree to submit the Dispute to a single arbitrator mutually agreeable to both parties.  In the event that the parties cannot agree on a sole arbitrator, the arbitrator will be appointed by a judge on application by either party to the Dispute. All arbitration, proceedings and hearings will be conducted in accordance with the rules of the American Arbitration Association.  All decisions and awards rendered by the arbitrator will be final and binding upon the parties for all questions submitted to such arbitrator and the costs associated with such submission shall be shared equally by the parties involved in the Dispute unless the arbitrator decides otherwise.  The parties waive all rights of appeal therefore to any court or tribunal, and agree that the only recourse by any party to any court will be for the purpose of enforcing an arbitration award. 
 18.3  In the event of a breach of the terms of this Agreement, the breaching party shall pay the non-breaching party all of its costs and expenses, including reasonable attorney's fees and arbitration costs, incurred in enforcing the terms of this Agreement.
 [Signature Page Follows]

  
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             IN WITNESS WHEREOF, the parties have caused this Contract Manufacturing Agreement to be executed as of the day and year first written above. 
  
  
 FAIRPLAY CORPORATION                      CRAFTSMEN INDUSTRIES, INC. 
  
  
 By:  /s/ Nicholas J. Fazio__________             By:  /s/ Mark D. Steele____________
 Name:  Nicholas J. Fazio                                 Name:  Mark D. Steele
 Title:  Chief Executive Officer                        Title: President & C.E.O. 
  
 TRANS-LUX CORPORATION
  
  
 By:  /s/ Nicholas J. Fazio__________
 Name: Nicholas J. Fazio
 Title:  Chief Executive Officer
  
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 EXHIBIT A 
  
  List of the Goods to be manufactured
  
  
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 EXHIBIT B
  
 Timeline for manufacture/order flow
  
  
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 EXHIBIT C
  
 MANUFACTURING SERVICES 
 AND PAYMENT SCHEDULE
  
  
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 EXHIBIT D
  
 Corporate Guaranty of Unilumin USA
  
  
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  EXHIBIT E
  
 SECURITY AGREEMENT
  
  
  
  
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