Document:

Exhibit 10.2

 

  

NEITHER
THE ISSUANCE NOR SALE OF THE SECURITIES REPRESENTED BY TIDS CERTIFICATE NOR THE SECURITIES INTO WHICH THESE SECURITIES ARE CONVERTIBLE
HAVE BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR APPLICABLE STATE SECURITIES LAWS. THE SECURITIES MAY NOT
BE OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED (I) IN THE ABSENCE OF (A) AN EFFECTIVE REGISTRATION STATEMENT
FOR THE SECURITIES
UNDER THE SECURITIES
ACT OF 1933,
AS AMENDED, OR (B) AN OPINION OF COUNSEL (WHICH COUNSEL SHALL BE SELECTED BY THE HOLDER), IN A GENERALLY ACCEPTABLE FORM,
THAT REGISTRATION IS NOT REQUIRED UNDER SAID ACT OR (II)
UNLESS SOLD PURSUANT TO RULE 144 OR RULE 144A UNDER 
SAIDACT. NOTWITHSTANDING THE FOREGOING,
THE SECURITIES MAY
BE PLEDGED IN CONNECTION WITH A
BONA FIDE MARGIN ACCOUNT OR OTHER LOAN OR FINANCING ARRANGEMENT SECURED BY THE SECURITIES.

 

 

Principal
Amount: $500,000.00

Purchase Price: $450,000.00

Original Issue Discount: $50,000.00

Issue Date: April 26, 2018

 

 

CONVERTIBLE PROMISSORY NOTE

 

FOR
VALUE RECEIVED, GEX MANAGEMENT, INC., a Texas corporation (hereinafter called the "Borrower"),
hereby promises to pay to the order of ____________________________, a
New York limited liability company, or registered assigns (the "Holder") the principal sum of $500,000.00 (the "Principal
Amount"), together with interest at the rate of ten percent (10%) per annum, at maturity or upon acceleration or otherwise,
as set forth herein (the "Note"). The consideration to the Borrower for this Note is up to $450,000.00 (the "Consideration").
The Holder shall pay $90,000.00 of the Consideration (the "First Tranche") within
a reasonable amount of time of the full execution of the transactional documents related to this Note. At the closing of the First
Tranche, the outstanding principal amount under this Note shall be $100,000.00, consisting of the First Tranche plus the prorated
portion of the OID (as defined herein). The Holder may pay, in its sole discretion, such additional amounts of the Consideration
and at such dates as the Holder may choose in its sole discretion. THE

PRINCIPAL
SUM DUE TO THE HOLDER SHALL BE PRORATED BASED ON THE CONSIDERATION ACTUALLY PAID BY THE HOLDER, THE APPLICABLE PORTION OF THE OID,
AS WELL AS THE APPLICABLE FEES AND INTEREST.  The

maturity
date for each tranche funded shall be twelve (12) months from the effective date of each payment (each a "Maturity Date"),
and is the date upon which the principal sum of each respective tranche, as well as any accrued and unpaid interest and other fees
relating to that respective tranche, shall be due and payable. This Note may not be prepaid in whole or in part except as otherwise
explicitly set forth herein. Any amount of principal or interest on this Note, which is not paid by the Maturity Date, shall bear
interest at the rate of the lesser of (i) twelve percent (12%) per annum or (ii) the maximum amount permitted by law from the due
date thereof until the same is paid ("Default Interest"). Interest
shall commence accruing on the date that the

 

Note
is fully paid and shall be computed on the basis of a 365-day year and the actual number of days elapsed. All payments due hereunder
(to the extent not converted into the Borrower's common stock (the "Common Stock") in accordance with the terms hereof)
shall be made in lawful money of the United States of America. All payments shall be made at such address as the Holder shall hereafter
give to the Borrower by written notice made in accordance with the provisions of this Note. Whenever any amount expressed to be
due by the terms of this Note is due on any day which is not a business day, the same shall instead be due on the next succeeding
day which is a business day and, in the case of any interest payment date which is not the date on which this Note is paid in full,
the extension of the due date thereof shall not be taken into account for purposes of determining the amount of interest due on
such date. As used in this Note, the term "business day" shall mean any day other than a Saturday, Sunday or a day on
which commercial banks in the city of New York, New York are authorized or required by law or executive order to remain
closed.

 

This
Note carries a prorated original issue discount of $50,000.00 (the "OID"), to cover the Holder's accounting fees, due
diligence fees, monitoring, and/or other transactional costs incurred in connection with the purchase and sale of the Note, which
is included in the principal balance of this Note. Thus, the purchase price of this Note shall be $450,000.00, computed as follows:
the Principal Amount minus the OID.

 

This
Note is free from all taxes, liens, claims and encumbrances with respect to the issue thereof and shall not be subject to preemptive
rights or other similar rights of shareholders of the Borrower and will not impose personal liability upon the holder thereof.

 

The following additional terms
shall apply to this Note:

 

ARTICLE I. CONVERSION RIGHTS

 

1.1Conversion
Right. The Holder shall have the right at any time to convert all or any part of the outstanding and unpaid principal amount
and accrued and unpaid interest of this Note into fully paid and non-assessable shares of Common Stock, as such Common Stock exists
on the Issue Date, or any shares of capital stock or other securities of the Borrower into which such Common Stock shall hereafter
be changed or reclassified at the conversion price (the "Conversion Price") determined as provided herein (a "Conversion");
provided, however, that in no event shall the Holder be entitled to convert any portion of this Note in excess of that
portion of this Note upon conversion of which the sum of (1) the numberof
shares of Common Stock beneficially owned by the Holder and its affiliates (other than shares of Common Stock which may be deemed
beneficially owned through the ownership of the unconverted portion of the Notes or the unexercised or unconverted portion of
any other security of the Borrower subject to a limitation on conversion or exercise analogous to the limitations contained herein)
and (2) the number of shares of Common Stock issuable upon the conversion of the portion of this Note with respect to which the
determination of this proviso is being made, would result in beneficial
ownership by the Holder and its affiliates of more than 4.99% of the outstanding shares of Common Stock. For purposes of the proviso
to the immediately preceding sentence, beneficial ownership shall be determined in accordance with Section 13(d) of the Securities
Exchange Act of 1934, as amended (the "Exchange Act"), and Regulations 13D-G thereunder, except as otherwise provided
in clause (1) of such proviso, provided, further, however, that the limitations on conversion may be waived by the
Holder upon, at the election of the Holder, not less than 61 days' prior notice to the Borrower, and the provisions of the conversion
limitation shall continue to apply until such 61st day (or such later date, as determined by the Holder, as may be specified in
such notice of waiver). The number of shares of Common Stock to be issued upon
each conversion of this Note shall be determined by dividing the Conversion Amount (as defined below) by the applicable Conversion
Price then in effect on the date specified in the notice of conversion, in
the fonn attached hereto as Exhibit A (the "Notice of Conversion"), delivered to the Borrower or Borrower's transfer
agent by the Holder in accordance with Section 1.4 below; provided that the Notice of Conversion is submitted by facsimile or
e-mail (or by other means resulting in, or reasonably expected to result in, notice) to the Borrower or Borrower's transfer agent
before 6:00 p.m., New York, New York time on such conversion date (the "Conversion Date").
The term "Conversion Amount" means, with respect to any conversion of this Note, the sum of (1) the principal amount
of this Note to be converted in such conversion plus (2) at the Holder's option, accrued and unpaid interest, if any, on
such principal amount at the interest rates provided in this Note to the Conversion Date, Illi!§_(3) at the Holder's option,
Default Interest, if any, on the amounts referred to in the immediately preceding clauses (1) and/or (2) plus (4) at the
Holder's option, any amounts owed to the Holder pursuant
to Sections 1.3 and l .4(g) hereof.

 

		12	Conversion Price.

 

(a)      
Calculation of Conversion Price.
The Conversion Price shall be $2.50 per share (the "Fixed Conversion
Price"), provided, however, that the Conversion Price shall be the lesser of the (i) Fixed Conversion Price and (ii) Variable
Conversion Price (as defined herein) after
the 180th calendar
day after the
Issue Date (subject to
equitable adjustments for
stock splits, stock dividends or rights offerings by the Borrower relating to
the Borrower's securities or the securities of any subsidiary of the Borrower, combinations, recapitalization, reclassifications,
extraordinary distributions and similar events) (also subject to adjustment as further described herein). The "Variable Conversion
Price" shall mean 65% multiplied by the Market Price (as defined herein) (representing a discount rate of 35%). "Market
Price" means the lowest one (1) Trading Price (as defined below) for the Common Stock during the twenty-five (25) Trading
Day period ending on the last complete Trading Day prior to the Conversion Date. "Trading Price" means, for any security
as of any date, the lesser of the (i) lowest traded price and (ii) lowest closing bid price on the Over-the-Counter Pink Marketplace,
OTCQB, or applicable trading market (the "OTCQB") as reported by a reliable reporting service ("Reporting
Service")

 

designated
by the Holder (i.e. Bloomberg) or, if the OTCQB is not the principal trading market for such security, on the principal securities
exchange or trading market where such security is listed or traded or, if the lowest intraday trading price of such security is
not available in any of the foregoing manners, the lowest intraday price of any market makers for such security that are quoted
on the OTC Markets. If the Trading Price cannot be calculated for such
security on such date in the manner provided above, the Trading Price shall be the fair market value as mutually determined by
the Borrower and the holders of a majority in interest of the Notes being converted for which the calculation of the Trading Price
is required in order to determine the Conversion Price
of such Notes. "Trading Day" shall mean any day on which the Common Stock is tradable for any period on the OTCQB, or
on the principal securities exchange or other securities market on which the Common Stock is then being traded. If
at any time while this Note is outstanding, the Conversion Price is equal to or lower than $2.50,
then an additional fifteen percent (15%) discount shall be factored into the Conversion Price until this Note is no longer outstanding
(resulting in a discount rate of 50% assuming no other adjustments are triggered hereunder). In
the event that shares of the Borrower's Common Stock are not deliverable via DWAC following
the conversion of any amount hereunder, an additional ten percent (10%) discount shall be factored into the Variable Conversion
Price until this Note is no longer outstanding (resulting in a discount rate of 45% assuming no other adjustments are triggered
hereunder). Additionally, if the Borrower fails to comply with the reporting requirements of the Exchange Act (including but not
limited to becoming late or delinquent in its filings, even if the Borrower subsequently cures such delinquency) at any time while
after the Issue Date, and/or the Borrower shall cease to be subject to the reporting requirements of the Exchange Act, an additional
fifteen percent (15%) discount shall be factored into the Variable Conversion Price until this Note is no longer outstanding (resulting
in a discount rate of 50% assuming no other adjustments are triggered hereunder).

 

Each
time, while this Note is outstanding, the Borrower enters into a Section 3(a)(9) transaction (including but not limited to the
issuance of new promissory notes or of a replacement promissory note), or Section 3(a)(l0) transaction, in which any 3rd
party has the right to convert monies owed to that 3rd party (or receive shares
pursuant to a settlement or otherwise) at a discount to market greater than the Variable Conversion Price in effect at that time
(prior to all other applicable adjustments in the Note), then the Variable Conversion Price shall be automatically adjusted to
such greater discount percentage (prior to all applicable adjustments in this Note) until this Note is no longer outstanding. Each
time, while this Note is outstanding, the Borrower enters into a Section 3(a)(9) transaction (including but not limited
to

the
issuance of new promissory notes or of a replacement promissory
note), or Section 3(a)(10) transaction, in which any 3rd party has a look back period greater than the look back period
in effect under the Note at
that time, then the Holder's look back period shall automatically be adjusted to such greater number of days until this Note is
no longer outstanding. The Borrower shall give written notice to the Holder, with the adjusted Variable Conversion Price and/or
adjusted look back period (each adjustment that is applicable due to the triggering event), within one (1) business day of an event
that requires any adjustment described in the two immediately preceding sentences.

Holder
shall be entitled to deduct $500.00 from the conversion amount in each Notice of Conversion to cover Holder's deposit fees associated
with each Notice of Conversion.

If
at any time the Conversion Price as determined hereunder for any conversion would be less than the par value of the Common Stock,
then at the sole discretion of the Holder, the

 

Conversion
Price hereunder may equal such par value for such conversion and the Conversion Amount for such conversion may be increased to
include Additional Principal, where "Additional Principal" means such additional amount to be added to the Conversion
Amount to the extent necessary to cause the number of conversion shares issuable upon such conversion to equal the same number
of conversion shares as would have been issued had the Conversion Price not been adjusted by the Holder to the par value price.

(b)      
Authorized Shares. The Borrower covenants that during the period the conversion right
exists, the Borrower will reserve from its authorized and unissued Common Stock a sufficient number of shares, free from preemptive
rights, to provide for the issuance of Common Stock upon the full conversion of this Note. The Borrower is required at all times
to have authorized and reserved ten times the number of shares that is actually issuable upon full conversion of the Note (based
on the Conversion Price of the Notes in effect from time to time)(the "Reserved Amount"). The Reserved Amount shall be
increased from time to time in accordance with the Borrower's obligations hereunder. The Borrower represents that upon issuance,
such shares will be duly and validly issued, fully paid and non-assessable. In addition, if the Borrower shall issue any securities
or make any change to its capital structure which would change the number of shares of Common Stock into which the Notes shall
be convertible at the then current Conversion Price, the Borrower shall at the same time make proper provision so that thereafter
there shall be a sufficient number of shares of Common Stock authorized and reserved, free from preemptive rights,
for conversion of the outstanding Notes. The Borrower (i) acknowledges that it has irrevocably
instructed its transfer agent to issue certificates for the Common Stock issuable upon conversion of this Note, and (ii) agrees
that its issuance of this Note shall constitute full authority to its officers and agents who are charged with the duty of executing
stock certificates to execute and issue the necessary certificates for shares of Common Stock in accordance with the terms and
conditions of this Note.

If,
at any time the Borrower does not maintain the Reserved Amount it will be considered an Event of Default under Section 3.2
of the Note.

 

		13	Method of Conversion.

 

(a)      
Mechanics of Conversion. Subject to Section 1.1, this Note may be converted by the Holder in whole or in part
at any time from time to time after the Issue Date, by

(A) 
submitting to the Borrower a Notice of Conversion (by facsimile, e-mail or other reasonable means of communication
dispatched on the Conversion Date prior to 6:00 p.m., New York, New York time) and (B) subject to Section 1.4(b), surrendering
this Note at the principal office of the Borrower.

 

(b)      
Surrender of Note Upon Conversion. Notwithstanding anything to the contrary set forth
herein, upon conversion of this Note in accordance with the terms hereof, the Holder shall not be required to physically surrender
this Note to the Borrower unless the entire unpaid principal amount of this Note is so
converted. The Holder and the Borrower shall maintain records showing the principal amount so converted and the dates of such conversions
or shall use such other method, reasonably satisfactory to the Holder and the Borrower, so as not to require physical surrender
of this Note upon each such conversion. In the event of any dispute or discrepancy, such records of the Borrower shall, prima
facie, be controlling and determinative in the absence of manifest error. Notwithstanding the foregoing, if any portion of
this Note is

 

converted
as aforesaid, the Holder may not transfer this Note unless the Holder fust physically surrenders this Note to the Borrower, whereupon
the Borrower will forthwith issue and deliver upon the order of the Holder a new Note of like tenor, registered as the Holder (upon
payment by the Holder of any applicable transfer taxes) may request, representing in the aggregate the remaining unpaid principal
amount of this Note. The Holder and any assignee, by acceptance
of this Note, acknowledge and agree that, by reason of the provisions of this paragraph, following conversion of a portion of this
Note, the unpaid and unconverted principal amount of this Note represented by this Note may be less than the amount stated on the
face hereof.

 

(c)      
Payment of Taxes. The Borrower shall not be required to pay any tax
which may be payable in respect of any transfer involved in the issue and delivery of shares of Common Stock or other securities
or property on conversion of this Note in a name other than that of the Holder (or in
street name), and the Borrower shall not be required to issue or deliver any such shares or other securities or property unless
and until the person or persons (other than the Holder or the custodian in whose street name such shares are to be held for the
Holder's account) requesting the issuance thereof
shall have paid to the Borrower the amount of any such tax or shall have established to the satisfaction of the Borrower that such
tax has been paid.

 

(d)      
Delivery of Common Stock Upon Conversion. Upon receipt by the Borrower from the Holder
of a facsimile transmission or e-mail (or other reasonable means of communication) of a Notice of Conversion meeting the requirements
for conversion as provided in this Section 1.4, the Borrower shall issue and deliver or cause to be issued and delivered to or
upon the order of the Holder certificates for the Common Stock issuable upon such conversion within two (2) business days after
such receipt (the "Deadline") (and, solely in the case of conversion of the entire unpaid principal amount hereof, surrender
of this Note) in accordance with the terms hereof.

 

(e)      
Obligation of Borrower to Deliver Common Stock. Upon receipt by
the Borrower of a Notice of Conversion, the Holder shall be deemed to be the holder of record of the Common Stock issuable upon
such conversion, the outstanding principal amount and the amount of accrued and unpaid interest on this Note shall be reduced to
reflect such conversion, and, unless the Borrower defaults on its obligations under this Article I, all rights with respect to
the portion of this Note being so converted shall forthwith terminate except the right to receive the Common Stock or other securities,
cash or other assets, as herein provided, on such conversion. If the
Holder shall have given a Notice of Conversion as provided herein, the Borrower's obligation to issue and deliver the certificates
for Common Stock shall be absolute and unconditional, irrespective of the absence of any action by the Holder to enforce the same,
any waiver or consent with respect to any provision thereof, the recovery of any judgment against any person or any action to enforce
the same, any failure or delay in the enforcement of any other obligation of the Borrower to the holder of record, or any setoff,
counterclaim, recoupment, limitation or termination, or any breach or alleged breach by the Holder of any obligation to the Borrower,
and irrespective of any other circumstance which might otherwise limit such obligation of the Borrower to the Holder in connection
with such conversion. The Conversion Date specified in the Notice of Conversion shall be the Conversion Date so long as the Notice
of Conversion is received by the Borrower before 6:00 p.m., New York, New York time, on such
date.

 

("I]
Delivery of Common Stock by Electronic Transfer. In lieu of

delivering
physical certificates representing the Common Stock issuable upon conversion, provided the Borrower is participating in the Depository
Trust Company ("DTC") Fast Automated Securities Transfer ("FAST") program, upon request of the Holder and its
compliance with the provisions contained in Section 1.1 and in this Section 1.4, the Borrower shall use its best efforts to cause
its transfer agent to electronically transmit the Common Stock issuable upon conversion to the Holder by crediting the account
of Holder's Prime Broker with DTC through its Deposit Withdrawal Agent Commission ("DWAC")
system.

 

(g)     
Failure to Deliver Common Stock Prior to Deadline. Without in
any way limiting the Holder's right to pursue other remedies, including actual damages and/or equitable relief, the parties agree
that if delivery of the Common Stock issuable upon conversion of this Note is not delivered by the Deadline (other than a failure
due to the circumstances described in Section 1.3 above, which failure shall be governed by such Section) the Borrower shall pay
to the Holder $2,000 per day in cash, for each day beyond the Deadline that the Borrower fails to deliver such Common Stock. Such
cash amount shall be paid to Holder by the fifth day of the month following the month in which it has accrued or, at the option
of the Holder (by written notice to the Borrower by the first day of the month following the month in which it has accrued), shall
be added to the principal amount of this Note, in which event interest shall accrue thereon in accordance with the terms of this
Note and such additional principal amount shall be convertible into Common Stock in accordance with the terms of this Note. The
Borrower agrees that the right to convert is a valuable right to the Holder. The damages resulting from a failure, attempt to frustrate,
interference with such conversion right are difficult if
not impossible to qualify. Accordingly the parties acknowledge
that the liquidated damages provision contained in this Section 1.4(g) are justified.

 

(h)     
DTC; Market Loss. If
the Borrower fails to maintain its status as "DTC
Eligible" for any reason, or, if at any time while this Note is outstanding the Conversion Price is equal to or lower than
$1.00, then the principal amount of the Note shall increase by $15,000 (under Holder's and Borrower's expectation that any principal
amount increase will tack back to the Issue Date)
and an additional ten percent (10%) discount shall be factored into the Variable Conversion Price until this Note is no longer
outstanding (resulting in a discount rate of 60%, assuming no other adjustments are triggered hereunder except for the additional
fifteen percent (15%) discount due to the Conversion Price being equal to or lower than $2.50 as provided in Section 1.2 of this
note).

 

1.4                                                         Concerning the Shares.
The shares of Common Stock issuable upon conversion of this Note may not be sold or transferred unless (i) such shares are
sold pursuant to an effective registration
statement under the Act or (ii) the Borrower or its transfer agent shall have been furnished with an opinion of counsel
(which opinion shall be in form, substance and scope customary for opinions of counsel in comparable transactions) to the
effect that the shares to be sold or transferred may be sold or transferred pursuant to an exemption from such registration
or (iii) such shares are sold or transferred pursuant to Rule 144 under the Act (or a successor rule) ("Rule 144")
or (iv) such shares are transferred to an "affiliate" (as defined in Rule 144) of the Borrower who agrees to sell
or otherwise transfer the shares only in accordance with this Section 1.5 and who is an Accredited Investor. Except as
otherwise provided (and subject to the removal provisions set forth below), until such time as the shares of Common Stock
issuable upon conversion of this Note have been registered under the Act or otherwise may be sold pursuant to Rule 144
without any restriction as to the number of securities as of a particular date that can then be immediately sold,
each certificate for shares of Common Stock issuable upon conversion of this Note that has not been so included in an
effective registration statement or that has not been sold pursuant to an effective registration statement or an exemption
that permits removal of the legend, shall bear a legend substantially in the following form, as appropriate:

 

"NEITHER
THE ISSUANCE AND SALE OF THE SECURITIES REPRESENTED BY THIS CERTIFICATE NOR THE SECURITIES INTO WHICH THESE SECURITIES ARE EXERCISABLE
HAVE BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR APPLICABLE STATE SECURITIES LAWS. THE SECURITIES MAY NOT
BE OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED (I) IN THE ABSENCE OF (A) AN EFFECTIVE REGISTRATION STATEMENT FOR THE
SECURITIES UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR (B) AN OPINION OF COUNSEL (WIDCH COUNSEL SHALL BE SELECTED BY THE HOLDER),
IN A GENERALLY ACCEPTABLE FORM, THAT REGISTRATION IS NOT REQUIRED UNDER SAID ACT OR (II) UNLESS SOLD PURSUANT TO RULE 144 OR RULE
144A UNDER SAID ACT. NOTWITHSTANDING THE FOREGOING, THE SECURITIES MAY BE PLEDGED IN CONNECTION WITH A BONA FIDE MARGIN
ACCOUNT OR OTHER LOAN OR FINANCING ARRANGEMENT SECURED BY THE SECURITIES."

 

The
legend set forth above shall be removed and the Borrower shall issue to the Holder a new certificate therefore free of any transfer
legend if (i) the Borrower or its transfer agent shall have received 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 Common Stock may be made
without registration under the Act, which opinion shall be accepted by the Borrower so that the sale or transfer is effected or
(ii) in the case of the Common Stock issuable upon conversion of this Note, such security is registered for sale by the Holder
under an effective registration statement filed under the Act or otherwise may be sold pursuant to Rule 144 without any restriction
as to the number of securities as of a particular date that can then be immediately sold. In the event that the Borrower does not
accept the opinion of counsel provided by the Holder with respect to the transfer of Securities pursuant to an exemption from registration,
such as Rule 144 or Regulation S, at the Deadline, it will be considered an Event of Default pursuant to Section 3.2
of the Note.

 

		1.5	[Intentionally Omitted].

 

1.6                                                      
Status as Shareholder. Upon submission of a Notice
of Conversion by a Holder, (i) the shares
covered thereby (other than the shares, if any, which cannot be issued because their issuance would exceed such Holder's allocated
portion of the Reserved Amount or Maximum Share Amount) shall be deemed converted into shares of Common Stock and (ii) the
Holder's rights as a Holder of such converted portion of this Note shall cease and terminate, excepting only the right to receive
certificates for such shares of Common Stock and to any remedies provided herein or otherwise available at law or in equity to
such Holder because of a failure by the Borrower to comply with the terms of this Note.
Notwithstanding the foregoing, if a Holder has not received certificates for all shares of Common Stock
prior to the
tenth (10th) business
day after the
expiration of the
Deadline with respect
to a

 

conversion
of any portion of this Note for any reason, then (unless the Holder otherwise elects to retain its status as a holder of Common
Stock by so notifying the Borrower) the Holder shall regain the rights of a Holder of this Note with respect to such unconverted
portions of this Note and the Borrower shall, as soon as practicable, return such unconverted Note to the Holder or,
if the Note has not been surrendered, adjust its records to reflect that such portion of this
Note has not been converted. In all cases, the Holder shall retain all of its rights and remedies (including, without limitation,
(i) the right to receive Conversion Default Payments pursuant to Section 1.3 to the extent required thereby for such Conversion
Default and any subsequent Conversion Default and (ii) the right to have the Conversion Price with respect to subsequent conversions
determined in accordance with Section 1.3) for the Borrower's failure to convert this Note.

 

ARTICLE II. CERTAIN COVENANTS

 

2.1                                                   
Distributions on Capital Stock. So long as the Borrower shall have
any obligation under this Note, the
Borrower shall not without the Holder's written consent

		(a)	pay, declare or set apart
for such payment, any
dividend or other distribution (whether in cash, property or other securities) on shares of capital stock other than dividends
on shares of Common Stock solely in the form of additional shares of Common Stock or (b) directly or indirectly or through any
subsidiary make any other payment or distribution in respect of its capital stock except for distributions pursuant to any shareholders'
rights plan which is approved by a majority of the Borrower's disinterested directors.

 

2.2                                                   
Restriction on Stock Repurchases. So long as the Borrower shall have
any obligation under this Note, the Borrower shall not without the Holder's written consent redeem, repurchase or otherwise acquire
(whether for cash or in exchange for property or other securities or otherwise) in any one transaction or series of related transactions
any shares of capital stock of the Borrower or any warrants, rights or options to purchase or acquire any such
shares.

 

ARTICLE III. EVENTS OF DEFAULT

 

If any
of the following events of default (each, an "Event of Default") shall occur:

 

3.1                                                     
Failure to Pay Principal or Interest. The Borrower fails to pay the principal hereof
or interest thereon when due on this Note, whether at maturity, upon acceleration or otherwise, and such breach continues for a
period offive (5) days.

 

3.2                                                      Conversion
and the Shares. The Borrower fails to reserve a sufficient amount of shares of common stock as required under the terms
of this Note (including Section 1.3 of this Note) and such breach continues for a period of five (5) days, fails to issue
shares of Common Stock to the Holder (or announces or threatens in writing that
it will not honor its obligation to do so) upon exercise by the Holder of the conversion rights of the Holder in accordance
with the terms of this Note, fails to transfer or cause its transfer agent to transfer (issue) (electronically or in
certificated form) shares of Common Stock issued to the Holder upon conversion of or otherwise pursuant to this Note as and
when required by this Note, the Borrower directs its transfer agent not to transfer or delays, impairs, and/or hinders
its transfer agent in transferring (or issuing) (electronically or in certificated form) shares of Common Stock to be issued
to the Holder upon conversion of or otherwise pursuant to this Note as and when
required by this Note, or fails to remove (or directs its transfer agent not to remove or impairs, delays, and/or hinders its
transfer agent from removing) any restrictive legend (or to withdraw any stop transfer instructions in respect thereof) on
any shares of Common Stock issued to the Holder upon conversion of or otherwise pursuant to this Note as and when required by
this Note (or makes any written announcement, statement or threat that it does not intend to honor the obligations described
in this paragraph) and any such failure shall continue uncured (or any written announcement, statement or threat not to honor
its obligations shall not be rescinded in writing) for two (2) business days after the Holder shall have delivered a Notice
of Conversion. It is an obligation of the Borrower to remain current in its obligations to its transfer agent. It shall
be an event of default of this Note, if a conversion of this Note is delayed, hindered or frustrated due to a balance owed by
the Borrower to its transfer agent. If at the option of the Holder, the Holder advances any funds to the Borrower's transfer
agent in order to process a conversion, such advanced funds shall be paid by the Borrower to the Holder within five (5)
business days of a demand from the Holder, either in cash or as an addition to the balance of the Note, and such choice of
payment method is at the discretion of the Borrower.

 

3.3                                                     
Breach of Covenants. The Borrower breaches any material covenant or other material term or condition contained in
this Note and any collateral documents and such breach continues for a period of ten (10) days after written notice thereof to
the Borrower from the Holder.

 

3.4                                                     
Breach of Representations and Warranties. Any representation or warranty of the Borrower
made herein or in any agreement, statement or certificate given in writing pursuant hereto or in connection herewith, shall be
false or misleading in any material respect when made and the breach of which has (or with the passage of time will have) a material
adverse effect on the rights of the Holder with respect to this Note.

 

3.5                                                     
Receiver or Trustee. The Borrower or any subsidiary of the Borrower shall make an assignment for the benefit of creditors,
or apply for or consent to the appointment of a receiver or trustee for it or for a substantial part of its property or business,
or such a receiver or trustee shall otherwise be appointed.

 

3.6                                                     
Judgments. Any money judgment, writ or similar process shall be entered or filed against the Borrower or any subsidiary
of the Borrower or any of its property or other assets for more than $50,000, and
shall remain unvacated, unbonded or unstayed for a period of twenty (20) days
unless otherwise consented to by the Holder, which consent will not be
unreasonably withheld.

 

3.7                                                     
Bankruptcy. Bankruptcy, insolvency, reorganization or liquidation proceedings or other proceedings, voluntary or
involuntary, for relief under any bankruptcy law or any law for the relief of debtors shall be instituted by or against the Borrower
or any subsidiary of the Borrower.

 

3.8                                                     
Delisting of Common Stock. The Borrower shall fail to maintain the listing or quotation of the Common Stock
on the OTCQB or an equivalent replacement exchange, the Nasdaq Global Market, the Nasdaq Capital Market, the New York Stock Exchange,
or the NYSE MKT.

 

3.9                                                     
Failure to Comply with the Exchange Act. The Borrower shall fail to comply with the reporting requirements of the
Exchange Act (including but not limited to becoming late or delinquent in its filings at any time while this Note is outstanding,
even if the Borrower subsequently cures such delinquency), and/or the Borrower shall cease to be subject to the reporting requirements
of the Exchange Act.

 

3.10                                                  
Liquidation. Any dissolution, liquidation, or winding up of Borrower or any substantial portion of its
business.

 

3.11                                                  
Cessation of Operations. Any cessation of operations by Borrower or Borrower admits it is otherwise generally
unable to pay its debts as such debts become due, provided, however, that any disclosure of the Borrower's ability to continue
as a "going concern" shall not be an admission that the Borrower cannot pay its debts as they become due, or any disposition
or conveyance of any material asset of the Borrower.

 

3.12                                                  
Financial Statement Restatement. The Borrower replaces its auditor, or any restatement of any financial statements
filed by the Borrower with the SEC for any date or period from two years prior to the Issue Date of this Note and until this Note
is no longer outstanding, if the result of such restatement would, by comparison to the umestated financial statement, have constituted
a material adverse effect on the rights of the Holder with respect to this Note.

 

3.13                                                   
Replacement of Transfer Agent. In the event that the Borrower replaces
its transfer agent, and the Borrower fails to provide prior to the effective date of such replacement,
a fully executed Irrevocable Transfer Agent Instructions (including but not limited to the provision to irrevocably reserve shares
of Common Stock in the Reserved Amount) signed by the successor transfer agent to Borrower and the
Borrower.

 

3.14                                                     
Cross-Default. Notwithstanding anything to the contrary contained in this Note or the other related or companion
documents, a breach or default by the Borrower of any covenant or other term or condition contained in any of the other financial
instrument, including but not limited to all convertible promissory notes, currently issued,
or hereafter issued, by the Borrower, to the Holder or any other 3rd party
(the "Other Agreements"), after the passage of all applicable notice and cure or grace periods, shall, at the option
of the Holder, be considered a default under this Note, in which event the Holder shall be entitled to
apply all rights and remedies of the Holder under the terms of this Note by reason of a default under said Other Agreement or
hereunder.

 

3.15                                                       
Inside Information. Any attempt by the Borrower or its officers, directors, and/or affiliates to transmit, convey,
disclose, or any actual transmittal, conveyance, or disclosure by the Borrower or its officers, directors, and/or affiliates of,
material

 

 

 

non-public
information concerning the Borrower, to the Holder or its successors and assigns, which is not immediately cured by Borrower's
filing of a Form 8-K pursuant to Regulation FD on that same date.

 

3.16                                                         
No bid. At any time while this Note is outstanding, the lowest Trading Price on the OTCQB or other applicable principal
trading market for the Common Stock is equal to or less than $0.0001.

 

3.17                                                         
ACH Account Change. The Borrower changes it bank account to an account that differs from the bank account specified
on the authorization agreement for preauthorized payments executed by the Borrower in connection with the issuance of this Note,
without (i) prior signed written consent of the Holder and (ii) Borrower's execution of a signed authorization agreement for preauthorized
payments that is exactly the same as the previously signed form (except for the new bank account information) with respect to the
new bank account.

 

3.18                                                         
ACH Payment Default. The Borrower blocks, rejects (including but not limited to a rejection from the
Borrower's bank for any reason with respect to any ACH debit transaction initiated by the Holder), or otherwise restricts any action
taken by Holder pursuant to Holder's rights under this Note with respect to the Borrower's bank account,
 in connection with an ACH debit transaction from the Borrower's bank account by the
Holder.

 

Upon
the occurrence and during the continuation of any Event of Default specified in Sections 3.1, 3.2, 3.3, 3.4, 3.5, 3.6, 3.7, 3.8,
3.9, 3.10, 3.11, 3.12, 3.13, 3.14, 3.15, 3.16, 3.17,

and/or
3.18 exercisable through the delivery of written notice to the Borrower by such Holders (the "Default Notice"), and upon
the occurrence of an Event of Default specified the remaining sections of Articles III, the Note shall become immediately due and
payable and the Borrower shall pay to the Holder, in full satisfaction of its obligations hereunder, an amount equal to 150% multiplied
by the then outstanding entire balance of the Note (including principal and accrued and unpaid interest) plus Default
Interest, if any, plus any amounts owed to the Holder pursuant to Sections 1.4(g) hereof (collectively, in the aggregate
of all of the above, the "Default Sum"), and all other amounts payable hereunder shall immediately become due and payable,
all without demand, presentment or notice, all of which hereby are expressly waived, together with all costs, including, without
limitation, legal fees and expenses, of collection, and the Holder shall be entitled to exercise all other rights and remedies
available at law or in equity.

 

If
the Borrower fails to pay the Default Amount within one (1) business day of written notice
that such amount is due and payable, then the Holder shall have the right at any time, to require the Borrower, upon written notice,
to immediately issue, in lieu of the Default Amount, the number of shares of Common Stock of
the Borrower equal to the Default Amount divided by the Conversion Price then in effect, subject to issuance in tranches due to
the beneficial ownership limitations contained in this Note.

 

ARTICLE IV. MISCELLANEOUS

 

4.1                         Failure
or Indulgence Not Waiver. No failure or delay on the

 

part
of the Holder in the exercise of any power, right or privilege hereunder shall operate as a waiver thereof, nor shall any
single or partial exercise of any such power, right or privilege preclude other or further exercise thereof or of any other
right, power or privileges. All rights and remedies existing hereunder are cumulative to, and not exclusive of, any rights or
remedies otherwise available.

 

4.2                                                    
Notices. All notices, demands, requests, consents, approvals, and other communications
required or permitted hereunder shall be in writing and, unless otherwise specified herein, shall be (i) personally served, (ii)
deposited in the mail, registered or certified, return receipt requested, postage prepaid, (iii) delivered by reputable air courier
service with charges prepaid, or (iv) transmitted by hand delivery, telegram, facsimile, or electronic mail addressed as set forth
below or to such other address as such party shall have specified most recently by written notice. Any notice or other communication
required or permitted to be given hereunder shall be deemed effective (a) upon hand delivery, upon electronic mail delivery, or
delivery by facsimile, with accurate confirmation generated by the transmitting facsimile machine, at the address or number designated
below (if delivered on a business day during normal business hours where such notice is to be received), or the first business
day following such delivery (if delivered other than on a business day during normal business hours where such notice is to be
received) or (b) on the second business day following the date of mailing by express courier service, fully prepaid, addressed
to such address, or upon actual receipt of such mailing, whichever shall first occur. The addresses for such communications shall
be:

 

If
to the Borrower, to:

 

GEX MANAGEMENT, INC.

12001 N. Central Expressway,
Suite 825

Dallas, TX 75243

e-mail:
info@gexmanagement.com.com

 

If
to the Holder:

 

_________________________1173a
2nd Avenue, Suite 126 New York, NY 10065

e-mail:
Info@____________________________.com

 

 

 

43                                                    
Amendments. This Note and any provision hereof may only be amended by an instrument in writing signed by the Borrower
and the Holder. The term "Note" and all reference thereto, as used throughout this instrument, shall mean this instrument
as originally executed, or if later amended or supplemented, then as so amended or supplemented.

 

4.4                                                     
Assignability. This Note shall be binding upon the Borrower and its successors and assigns, and shall inure to be
the benefit of the Holder and its successors and assigns. Notwithstanding anything to the contrary herein, the rights, interests
or obligations of the Borrower hereunder may not be assigned, by operation of law or otherwise, in whole or in
part, by the Borrower without the prior signed written consent of the Holder, which consent may be withheld at the sole
discretion of the Holder (any such assignment or transfer shall be null and void if the Borrower does not obtain the prior signed
written consent of the Holder). This Note or any of the severable rights and obligations inuring to the benefit of or to be performed
by Holder hereunder may be assigned by Holder to a third party, in whole or in part, without the need to obtain the Company's consent
thereto. Each transferee of this Note must be an "accredited investor" (as defined in Rule 50l(a) of the 1933 Act).
Notwithstanding anything in this Note to the contrary, this Note may be pledged as collateral
in connection with a bona fide margin account or other lending arrangement.

 

4.5                                                     
Cost of Collection. If default is made in the payment of
this Note, the Borrower shall pay the Holder hereof costs of collection, including reasonable attorneys'
fees.

 

4.6                                                     
Governing Law. This Note shall be governed by and construed in accordance with the laws of the State of Nevada
without regard to principles of conflicts of laws. Any action brought by either party against the other concerning the transactions
contemplated by this Note shall be brought only in the state and/or federal courts of New York City, NY. The parties to this Note
hereby irrevocably waive any objection to jurisdiction and venue of any action instituted hereunder and shall not assert any defense
based on lack of jurisdiction or venue or based upon forum non conveniens.
The Borrower and Holder waive trial by jury. The prevailing party shall be entitled to recover from the other party
its reasonable attorney's fees and costs. In the event that any provision of this Note or any other agreement delivered in connection
herewith is invalid or unenforceable under any applicable statute or rule of law, then such provision shall be deemed inoperative
to the extent that it may conflict therewith and shall be deemed modified to conform with such statute or rule of law. Any such
provision which may prove invalid or unenforceable under any law shall not affect the validity or enforceability of any other provision
of any agreement. Each party hereby irrevocably waives personal service of process and consents to process being served in any
suit,
action or proceeding in connection with this Agreement or any other Transaction Document
by

mailing
a copy thereof via registered or certified mail or overnight delivery (with evidence of delivery) to such party at the address
in effect for notices to it under this Agreement and agrees that such service shall constitute good and sufficient service of process
and notice thereof. Nothing contained herein shall be deemed to limit in any way any right to serve process in any other manner
permitted by law.

 

4.7                                                     
Certain Amounts. Whenever pursuant to this Note the Borrower is required to pay an amount in excess of the
outstanding principal amount (or the portion thereof required to be paid at that time) plus accrued and unpaid interest plus Default
Interest on such interest, the Borrower and the Holder a_gree that the actual damages to the Holder from the receipt of cash payment
on this Note may be difficult to determine and the amount to be so paid by the Borrower represents stipulated damages and not a
penalty and is intended to compensate the Holder in part for loss of the opportunity to convert this Note and to earn a return
from the sale of shares of Common Stock acquired upon conversion of this Note at a price in excess of the price paid for such shares
pursuant to this Note. The Borrower and the Holder hereby agree that such amount of stipulated damages is not plainly disproportionate
to the possible loss to the Holder from the receipt of a cash payment without the opportunity to convert this Note into shares
of Common Stock.

 

4.8                                                     
Remedies. The Borrower acknowledges that a breach by it of its obligations hereunder will cause irreparable harm
to the Holder, by vitiating the intent and purpose of the transaction contemplated hereby. Accordingly, the Borrower acknowledges
that the remedy at law for a breach of its obligations under this Note will be inadequate and agrees, in the event of a breach
or threatened breach by the Borrower of the provisions of this Note, that the Holder shall be entitled, in addition to all other
available remedies at law or in equity, and in addition to the penalties assessable herein, to an injunction or injunctions restraining,
preventing or curing any breach of this Note and to enforce specifically the terms and provisions thereof, without the necessity
of showing economic loss and without any bond or other security being required.

 

4.9                                                         
Prepayment. Notwithstanding anything to the contrary contained in this Note,
the Borrower may prepay any amount outstanding under each tranche of this Note, during the
initial 60 day period after the issuance of the respective tranche of this Note, by making a payment to the Holder of an amount
in cash equal to 120% multiplied the amount that the Borrower is prepaying, subject to the Holder's prior written acceptance in
Holder's sole discretion. Notwithstanding anything to the contrary contained in this Note, the Borrower may prepay any amount outstanding
under each tranche of this Note, during the 61st through 120 day period
after the issuance of the respective tranche of this Note, by making a payment to the Holder of an amount in cash equal to 138%
multiplied the amount that the Borrower is prepaying, subject to the Holder's prior written acceptance in Holder's sole discretion.
Notwithstanding anything to the contrary contained in this Note, the Borrower may prepay any
amount outstanding under each tranche of this Note, during the 12!81
through 180 day period after the
issuance of the respective tranche of this Note, by making a payment to the Holder of an amount in cash equal to 145% multiplied
the amount that the Borrower is prepaying, subject to the Holder's prior written acceptance in Holder's sole discretion.
The Borrower may not prepay any amount outstanding under each tranche of this Note after the
180th day after the issuance of the respective tranche
of this Note.

 

4.10                                                           
Usury. If it shall be found that any interest or other amount deemed interest due hereunder violates the applicable
law governing usury, the applicable provision shall automatically be revised to equal the maximum rate of interest or other amount
deemed interest permitted under applicable law.
The Borrower covenants (to the extent that it may lawfully do so) that it shall not seek to
claim or take advantage of any law that would prohibit or forgive the Borrower
from paying all or a portion of the principal or interest on this

 

Note.

 

4.11                                                           
Section 3(a){l 0) Transactions. If at any time while this Note is outstanding, the Borrower enters into a transaction
structured in accordance with, based upon, or related or pursuant to, in whole or in part, Section 3(a)(l0) of the Securities Act
(a "3(a)(10) Transaction"), then a liquidated damages charge of 25% of the outstanding principal balance of this Note
at that time, will be assessed and will become immediately due and payable to the Holder, either in the form of cash payment or
as an addition to the balance of the Note, as determined by mutual agreement of the Borrower and
Holder.

 

4.12                                                           
Reverse Split Penalty. If at any time while this Note
is outstanding, the Borrower effectuates a reverse split with respect to the Common Stock, then a liquidated damages charge of
15% of the outstanding principal balance of this Note at that time, will be assessed and will become immediately due and payable
to the Holder, either in the form of cash payment or as an addition to the balance of the Note, as determined by mutual agreement
of the Borrower and Holder.

 

4.13        
Right of First Refusal. If at any time while this Note is outstanding, the Borrower has a bona fide offer of capital
or financing from any yd party,
that the Borrower intends to act upon, then the Borrower must first offer such opportunity to the Holder to provide such capital
or financing to the Borrower on the same terms as each respective 3rd party's terms. Should the Holder be unwilling
or unable to provide such capital or financing to the Borrower within 10 trading days from Holder's receipt of written notice of
the offer (the "Offer Notice") from the Borrower, then the Borrower may obtain such capital or financing from that respective
3rd party upon the exact same terms and conditions offered by the Borrower to the Holder, which transaction must be
completed within 30 days after the date of the Offer Notice. If the
Borrower does not receive the capital or financing from the respective 3rd party within 30 days after the date of the
respective Offer Notice, then the Borrower must again offer the capital or financing opportunity to the Holder as described above,
and the process detailed above shall be  repeated.The Offer Notice must be sent
via electronic mail to lnfo@____________________________.com.

 

4.14                                                           
ACH Option. Notwithstanding anything contained herein to the contrary, upon the occurrence of an Event of Default,
at the Holder's option, in addition to the right to conversion as set forth above and any other rights and remedies as set forth
herein, the Holder may deduct daily ACH payments from the bank account of the Borrower (or any of its subsidiaries) in the amount
of $10,000.00 per day until such time as the Borrower has paid (or the Holder has converted) an amount equal to the principal balance,
interest, accrued interest, Default Amount and any other fees as set forth in the Note. Borrower shall provide Holder with all
required access codes to effectuate any and all ACH debit transactions as provided for in this Note. Borrower understands that
it is responsible for ensuring that at least the minimum amounts identified above remain in the Borrower's bank account (the "Bank
Account") on each business day until this Note is satisfied in full, and that the Borrower shall be responsible for any charges
incurred by the Holder resulting from a rejected ACH attempt, insufficient funds in the Bank Account, and/or all related bank charges.
Such charges shall be immediately added to the outstanding balance of the Note. Holder shall not be responsible for any overdrafts
or rejected transactions that result from Holder's ACH debiting of the Borrower's bank account as provided in this
Note.

 

[signature
page to follow}

 

 

    	 		 

     

    

 

 

 

 

IN WITNESS WHEREOF, Borrower has caused this Note to be signed in its name by its duly authorized officer
this April 26, 2018.

 

 

GEX MANAGEMENT, INC.

 

By: /s/ Carl Dorvil____________

Name: Carl Dorvil

Title: Chief Executive Officer

 

 

 

 

 

    	 		 

     

    

 

 

 

EXHIBIT A -- NOTICE OF
CONVERSION

 

The
undersigned hereby elects to convert $
_______________________principal amount of the Note (defined below) into that number of
shares of Common Stock to be issued pursuant to the conversion of the Note ("Common Stock") as set forth below, of GEX
MANAGEMENT, INC., a Texas corporation (the "Borrower") according to the conditions of the convertible note of the Borrower
dated as of April 26, 2018 (the "Note"), as of the date written below. No fee will be charged to the Holder for any conversion,
except for transfer taxes, if any.

 

Box Checked as to applicable instructions:

 

[
] The Borrower shall electronically transmit the Common Stock issuable pursuant to this Notice of Conversion to the account of
the undersigned or its nominee with DTC through its Deposit Withdrawal Agent Commission system ("DWAC
Transfer").

 

Name
of DTC Prime Broker: Account Number:

 

[
] The undersigned hereby requests that the Borrower issue a certificate or certificates for the number of shares of Common Stock
set forth below (which numbers are based on the Holder's calculation attached hereto) in the name(s) specified immediately below
or, if additional space is necessary, on an attachment hereto:

 

_________________________1173a
2nd Avenue,
Suite 126 New York, NY 10065

e-mail:
Info@____________________________.com

  

 

Date of Conversion:                            _______________

 

Applicable
Conversion Price:             $
______________

Number of Shares of Common Stock
to be Issued

Pursuant
to Conversion of the Notes:______________

Amount
of  Principal Balance Due remaining

Under the Note after this
conversion: ______________

 

____________________________

 

By: _____________________________________ 

Name:___________________________________

Title: ____________________________________

Date:____________________________________Exhibit 10.3

 

EXHIBIT
B

REGISTRATION RIGHTS AGREEMENT

This REGISTRATION RIGHTS AGREEMENT
(the "Agreement"), dated as of April

26,
2018 (the "Execution Date"), is entered into by and between
GEX MANAGEMENT, INC., a Texas corporation, with headquarters located at 12001 N. Central Expressway, Suite 825, Dallas, TX 75243
(the "Company"), and _______________________,
a Nevada limited liability company, with its address at 1500 NW 10th Ave., Suite 101, Boca Raton, FL 33486 (the "Investor").

 

RECITALS

 

A.               
Pursuant to the securities purchase agreement entered into by
and between the Company and the Investor of this even date (the "Securities Purchase
Agreement"), the Company has agreed to issue and sell to the Investor, the 10% convertible
note in the
aggregate principal amount of US$500,000.00 (the "Note"), which
is convertible into an indeterminate number of shares of the Company's common stock (collectively the "Common
Stock");

 

B.                
As an inducement to the Investor to execute and deliver the Securities
Purchase Agreement, the Company has agreed to provide certain registration rights under the Securities Act of 1933, as amended,
and the rules and regulations thereunder, or any similar successor statute (collectively, the "1933 Act"),
and applicable state securities laws, with respect to the shares of Common
Stock issuable pursuant to the conversion of the Note.

 

C.                
NOW THEREFORE, in consideration of the foregoing promises and
the mutual covenants contained hereinafter and other good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, the Company and the Investor hereby agree as follows:

 

SECTION
1 DEFINITIONS

1.1
As used m this Agreement, the following terms shall have the following
meanings:

 

"Execution Date" shall
have the meaning set forth in the preambles.

"Investor"
shall have the meaning set forth in the preambles.

"Person"
means a corporation, a limited liability company, an association, a partnership, an organization, a business, an individual,
a governmental or political subdivision thereof or a governmental agency.

 

 

"Potential
Material Event" means any of the following: (i) the possession by the Company of material information not ripe for disclosure
in the Registration Statement, which shall be evidenced by determinations in good faith by the Board of Directors of the Company
that disclosure of such information in the Registration Statement would be detrimental to the business and affairs of the Company,
or (ii) any material engagement or activity by the Company which would, in the good faith determination of the Board of Directors
of the Company, be adversely affected by disclosure in the Registration Statement at such time, which determination shall be accompanied
by a good faith determination by the Board of Directors of the Company that the Registration Statement would be materially misleading
absent the inclusion of such information.

"Register,"
"Registered," and "Registration" refer to the Registration effected by preparing and filing one
(1) or more Registration Statements in compliance with the 1933 Act and pursuant to Rule 415 under the 1933 Act or any successor
rule providing for offering securities on a continuous basis ("Rule 415"), and the declaration or ordering of effectiveness
of such Registration Statement(s) by the United States Securities and Exchange Commission (the "SEC").

 

"Registrable
Securities" means (i) all shares of Common Stock issued or issuable pursuant to the Note, and (ii) any shares of capital
stock issued or issuable with respect to such shares of Common Stock, if any, as a result of any stock split, stock dividend, recapitalization,
exchange or similar event or otherwise, which have not been (x) included in the Registration Statement that has been declared effective
by the SEC, or (y) sold under circumstances meeting all of the applicable conditions of Rule 144 (or any
similar provision then in force) under the 1933 Act.

 

"Registration
Statement" means the registration statement of the Company filed under the 1933 Act covering the Registrable Securities.

"Transaction
Documents" shall mean this Agreement and the Securities Purchase Agreement between the Company and the Investor as of
the date hereof, and any other agreements between the Company and the Investor executed in conjunction with this transaction

 

All
capitalized terms used in this Agreement and not otherwise defined herein shall have the same meaning ascribed to them as in the
Securities Purchase Agreement.

 

SECTION
2

REGISTRATION

2.1                  
In the event that the Company files a Registration Statement or Registration Statements (as is necessary) on Form S-1 (or,
if such form is unavailable for such a registration, on such other form as is available for such registration), at any time on
or after the issuance date·
of the Note to which this Agreement is an exhibit to (April 26, 2018), then such Registration
Statement shall cover the resale by the Investor of all Registrable Securities (the "Registration Amount"), and
such Registration Statement(s) shall state that, in accordance with Rule 416

promulgated
under the 1933 Act, that such Registration Statement also covers such indeterminate number of additional shares of Common Stock
as may become issuable upon stock splits, stock dividends or similar transactions..

 

2.2                  
Notwithstanding the registration obligations set forth in this Section
2.1, if the staff of the SEC (the "Staff') or the SEC informs the Company that all of the unregistered Registrable
Securities cannot, as a
result of the
application of Rule
415, be registered
for resale as a
secondary offering on
a single Registration
Statement, the Company
agrees to promptly
(i) inform Investor of such fact and use its commercially reasonable efforts to file amendments to the Registration Statement
as required by the SEC and/or (ii) withdraw the Registration Statement and
file a new
registration statement (the "New
Registration Statement"), in
either case covering the maximum number of Registrable Securities permitted to be registered by the SEC,
on Form S-1
to register for resale
the Registrable Securities as
a secondary offering. If
the Company amends
the Registration Statement or files
a New Registration Statement, as
the case may be, under clauses (i)
or (ii) above, the Company will use its commercially reasonable
efforts to file with the SEC, as promptly as allowed by the Staff or SEC, one or more registration statements on Form S-1
to register for resale those Registrable Securities
that were not registered for resale on
the Registration Statement,
as amended, or the
New Registration Statement
(each, an "Additional Registration
Statement"). Additionally, the
Company shall have the ability to file one or more New Registration
Statements to cover the Registrable Securities
once the shares under the
initial Registration Statement
referenced in Section 2.1 have been
sold.

SECTION3

RELATED OBLIGATIONS

If
the Company decides to file the Registration Statement with the SEC pursuant to Section 2, the Company will affect the registration
of the Registrable Securities in accordance with the intended method of disposition thereof and, with respect thereto, the Company
shall have the following obligations:

 

3.1                   
The Company shall use all commercially reasonable efforts to cause such
Registration Statement relating to the Registrable Securities to become effective and shall keep such Registration Statement effective
until the earlier to occur of the date on which (A) the Investor shall have sold all the Registrable Securities; or (B)
the Investor has no right to acquire any additional shares of Common Stock under
the Securities Purchase Agreement (the "Registration
Period"). The Registration
Statement (including any
amendments or supplements thereto
and prospectuses contained therein) shall 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 light of the circumstances in which they were made,
not misleading. The Company shall use all commercially reasonable efforts to respond to all SEC comments within ten (10) business
days from receipt of such comments by the Company. The Company shall use all commercially reasonable efforts to cause the Registration
Statement relating to the Registrable Securities to become effective no later than two (2) business days after notice
from

the
SEC that the Registration Statement may be declared effective. The
Investor agrees to provide all information which is required by law to provide to the Company, including the intended
method of disposition of the Registrable Securities, and the Company's obligations set forth
above shall be conditioned on the receipt of such information.

 

3.2                  
The Company shall prepare and file with the SEC such amendments (including post-effective
amendments) and supplements to the Registration Statement and the prospectus used in connection with such Registration Statement,
which prospectus is to be filed pursuant to Rule 424 promulgated under the 1933 Act, as may be necessary to keep such Registration
Statement effective during the Registration Period, and, during such period, comply with the provisions of the 1933 Act with respect
to the disposition of all Registrable Securities of the Company covered by such Registration Statement until such time as all of
such Registrable Securities shall have been disposed of in accordance with the intended methods of disposition by the Investor
thereof as set forth in such Registration Statement. In the event the number of shares of Common Stock covered by the Registration
Statement filed pursuant to this Agreement is at any time insufficient to cover all of the Registrable Securities, the Company
shall amend such Registration Statement, or file a new Registration Statement (on the short form available therefor, if applicable),
or both, so as to cover all of the Registrable Securities, in each case, as soon as practicable, but in any event within thirty
(30) calendar days after the necessity therefor arises. The Company shall use commercially reasonable efforts to cause such amendment
and/or new Registration Statement to become effective as soon as practicable following the filing thereof.

 

3.3                   
The Company shall make available to the Investor whose
Registrable Securities are included in any Registration Statement and its legal counsel without charge (i) promptly after the same
is prepared and filed with the SEC at least one (1) copy
of such Registration Statement and any amendment(s) thereto, including financial statements and schedules, all documents incorporated
therein by reference and all exhibits, the prospectus included in such Registration Statement (including each preliminary prospectus)
and, with regards to such Registration Statement(s), any correspondence by or on behalf of the Company to the SEC or the staff
of the SEC and any correspondence from the SEC or the staff of the SEC to the Company or its representatives; (ii) upon the effectiveness
of any Registration Statement, the Company shall make available copies of the prospectus, via EDGAR,
included in such Registration Statement and all amendments
and supplements thereto; and (iii) such other documents, including copies of any preliminary or final prospectus, as the Investor
may reasonably request from time to time to facilitate the disposition of the Registrable
Securities.

3.4                   
The Company shall use commercially reasonable efforts to (i) register and qualify the Registrable
Securities covered by the Registration Statement under such other securities or "blue sky" laws of such states in the
United States as the Investor reasonably requests; (ii) prepare and file in those jurisdictions, such amendments (including post-effective
amendments) and supplements to such registrations and qualifications as may be necessary to maintain the effectiveness thereof
during the Registration Period; (iii) take such other actions as

 

 

may
be necessary to maintain such registrations and qualifications in effect at all times during the Registration Period, and (iv)
take all other actions reasonably necessary or advisable to qualify the Registrable Securities for sale in such jurisdictions;
provided, however,
that the Company shall not
be required in
connection therewith or
as a condition
thereto·to
(A) qualify to do business in any
jurisdiction where it would not otherwise be required to qualify but for this Section 3.4,
or (B) subject itself to
general taxation in any
such jurisdiction. The Company shall
promptly notify the Investor who holds Registrable Securities of the
receipt by the Company of any notification
with respect to the suspension of the registration or qualification of any of the Registrable Securities for sale under the securities
or "blue sky" laws of any jurisdiction in the United States or its receipt
of actual notice
of the initiation or threatening
of any proceeding for such
purpose.

 

3.5                  
As promptly as practicable after becoming aware of such event, the Company
shall notify Investor in writing of the happening of any event as a result of which the prospectus included in the Registration
Statement, as then in effect, includes an untrue statement of a material fact or omission 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
("Registration Default") and use all diligent efforts to promptly prepare a supplement or amendment to such Registration
Statement and take any other necessary steps to cure the Registration Default (which, if such Registration Statement is on Form
S-3, may consist of a document to be filed by the Company with the SEC pursuant to Section 13(a), 13(c),
14 or 15(d) of the 1934 Act (as defined below) and to be incorporated by
reference in the prospectus) to correct such untrue statement or omission, and make available copies of such supplement or amendment
to the Investor. The Company shall also promptly notify the Investor (i) when a prospectus or any prospectus supplement or post-effective
amendment has been filed, and when the Registration Statement or any post-effective amendment has become effective (the Company
will prepare notification of such effectiveness which shall be delivered to the Investor on the same day of such effectiveness
and by overnight mail), additionally, the Company will promptly provide to the Investor, a copy of the effectiveness order prepared
by the SEC once it is received by the Company; (ii) of any request by the SEC for amendments or supplements to the Registration
Statement or related prospectus or related information, (iii) of the Company's reasonable determination that a post-effective amendment
to the Registration Statement would be appropriate, (iv) in the event the Registration Statement is no longer effective, or (v)
if the Registration Statement is stale as a result of the Company's failure to timely file its financials or otherwise

3.6                   
The Company shall use all commercially reasonable efforts to prevent the
issuance of any stop order or other suspension of effectiveness of the Registration Statement, or the suspension of the qualification
of any of the Registrable Securities for sale in any jurisdiction and,
if such an order or suspension is issued, to obtain the withdrawal of such
order or suspension at the earliest possible moment and to notify the Investor holding Registrable Securities
being sold of
the issuance of
such order and
the resolution thereof
or its receipt
of

 

 

actual notice
of the initiation or threat of any proceeding concerning the effectiveness of the registration statement.

 

3.7                  
The Company shall permit the Investor and one (1) legal counsel, designated
by the Investor, to review and comment upon the Registration Statement and all amendments and supplements thereto at the request
of the Investor. However, any postponement of a filing of a Registration Statement or any postponement of a request for acceleration
or any postponement of the effective date or effectiveness of a Registration Statement by written request of the Investor (collectively,
the "Investor's Delay") shall not act to trigger any
penalty of any kind, or any cash amount due or any in-kind amount due the Investor from the Company under any and all agreements
of any nature or kind between the Company and the Investor. The event(s) of an Investor's Delay shall act to suspend all obligations
of any kind or nature of the Company under any and all agreements of any nature or kind between the Company and the
Investor.

3.8                   
At the request of the Investor, the Company's counsel shall furnish to the Investor an opinion
letter confirming the effectiveness of the registration statement and the free trading status of the Registrable Securities. Such
opinion letter shall be issued as of the date of the effectiveness of the registration statement and be in a form reasonably acceptable
to the Investor, Company's transfer agent, and Investor's broker(s).

 

3.9                   
The Company shall hold in confidence and not make any disclosure of information concerning
the Investor unless (i) disclosure of such information is necessary to comply with federal or state securities laws, (ii) the disclosure
of such information is necessary to avoid or correct a misstatement or omission in any Registration Statement, (iii) the release
of such information is ordered pursuant to a subpoena or other final, non-appealable order from a court or governmental body of
competent jurisdiction, or (iv) such information has been made generally available to the public other than by disclosure in violation
of this Agreement or any other agreement. The Company agrees that it shall, upon learning that disclosure of such information concerning
the Investor is sought in or by a court or governmental body of competent jurisdiction or through other means, give prompt written
notice to the Investor and allow the Investor, at the Investor's expense, to undertake appropriate action to prevent disclosure
of, or to obtain a protective order covering such information.

 

3.10              
The Company shall use all commercially reasonable efforts to maintain
designation and quotation of all the Registrable Securities covered by any Registration Statement on the principal market in which
the Company's common stock is then traded. If, despite the Company's
commercially reasonable efforts, the Company is unsuccessful in satisfying the preceding sentence, it shall use commercially reasonable
efforts to cause all the Registrable Securities covered by any Registration Statement to be listed on each other national securities
exchange and automated quotation system, if any, on which securities of the same class or series issued by the Company are then
listed, if any, if the listing of such Registrable Securities is then permitted under the rules of such exchange or system. The
Company shall pay all fees and expenses in connection with satisfying its obligation under this Section
3.10.

 

 

3.11               
The Company shall cooperate with the Investor to facilitate electronic delivery of the Registrable
Securities or if requested by the Investor, the preparation of certificates to be offered pursuant to the Registration Statement
and enable such certificates to be in such denominations or amounts, as the case may be, as the Investor may reasonably request
and after any sales of such Registrable Securities by the Investor, such certificates not bearing any restrictive
legend).

 

3.12              
The Company shall provide a transfer agent for all the Registrable Securities not later
than the effective date of the first Registration Statement filed pursuant hereto.

3.13              
If requested by the Investor, the Company shall (i) as soon as reasonably
practical incorporate in a prospectus supplement or post-effective amendment such information as the Investor reasonably determines
should be included therein relating to the sale and distribution of Registrable Securities, including, without limitation, information
with respect to the offering of the Registrable Securities to be sold in such offering; (ii) make all required filings of such
prospectus supplement or post-effective amendment as soon as reasonably possible after being notified of the matters to be incorporated
in such prospectus supplement or post-effective amendment; and (iii) supplement or make amendments to any Registration Statement
if reasonably requested by the Investor.

 

3.14              
The Company shall use all commercially reasonable efforts to cause the Registrable Securities
covered by the applicable Registration Statement to be registered with or approved by such other governmental agencies or authorities
as may be necessary to facilitate the disposition of such Registrable Securities.

 

3.15              
The Company shall otherwise use all commercially reasonable efforts to comply with all applicable
rules and regulations of the SEC in connection with any registration hereunder.

 

3.16               
Within two (2) business day after the Registration Statement which includes Registrable
Securities is declared effective by the SEC, the Company shall deliver to the transfer agent for such Registrable Securities, with
copies to the Investor, confirmation that such Registration Statement has been declared effective by the
SEC.

3.17              
The Company shall take all other reasonable actions necessary to expedite and facilitate
disposition by the Investor of Registrable Securities pursuant to the Registration Statement.

 

SECTION
4

OBLIGATIONS
OF THE INVESTOR

 

4.1                   
At least five (5) calendar days prior to the first anticipated filing
date of the Registration Statement the Company shall notify the Jnvestor in writing of the information the Company requires from
the Investor for the Registration Statement. It shall be a
condition

 

 

precedent
to the obligations of the Company to complete the registration pursuant to this Agreement with respect to the Registrable Securities
and the Investor agrees to furnish to the Company that information regarding itself, the Registrable Securities and the intended
method of disposition of the Registrable Securities as shall rc:asonably be required to effect the registration of such Registrable
Securities and the Investor shall execute such documents in connection with such registration as the Company may reasonably
request.

 

4.2                   
The Investor, by its acceptance of the Registrable Securities, agrees to cooperate with
the Company as reasonably requested by the Company in connection with the preparation and filing of any Registration Statement
hereunder.

4.3                   
The Investor agrees that, upon receipt of written notice from the Company of the happening
of any event of the kind described in Section 3.6 or the first sentence of 3.5, the Investor will immediately discontinue disposition
of Registrable Securities pursuant to any Registration Statement(s) covering such Registrable Securities until the Investor's receipt
of the copies of the supplemented or amended prospectus contemplated by Section 3.6 or the first sentence of
3.5.

 

SECTIONS

EXPENSES OF REGISTRATION

All
legal expenses, other as set forth in the Securities Purchase Agreement, incurred in connection with registrations including comments,
filings or qualifications pursuant to Sections 2 and 3, including, without limitation, all registration, listing and qualifications
fees, and printing fees shall be paid by the Company.

 

SECTION6
INDEMNIFICATION

In
the event any Registrable Securities are included in the Registration Statement under this
Agreement:

6.1                  
To the fullest extent permitted by law, the Company,
under this Agreement, will, and hereby does, indemnify, hold harmless and defend the Investor who holds Registrable Securities,
the directors, officers, partners, employees, counsel, agents, representatives of, and each Person, if any, who controls, any Investor
within the meaning of the 1933 Act or the Securities Exchange Act of 1934, as amended (the "1934
Act") (each,
an "Indemnified Person"), against
any losses, claims, damages, liabilities, judgments, fines, penalties, charges, costs, attorneys' fees, amounts paid in settlement
or expenses, joint or several (collectively, "Claims"), incurred
in investigating, preparing or defending any action, claim, suit, inquiry, proceeding, investigation or appeal taken from the foregoing
by or before any court or governmental, administrative or other regulatory agency, body or the SEC, whether pending or threatened,
whether or not an indemnified party is or may be a party thereto ("Indemnified

 

 

Damages"),
to which any of them may become subject insofar as such Claims (or actions or proceedings, whether commenced or threatened,
in respect thereof) arise out of or are based upon: (i) any untrue statement or alleged untrue statement of a material fact in
the Registration Statement or any post-effective amendment thereto or in any filing made in connection with the qualification of
the offering under the securities or other "blue sky" laws of any jurisdiction in which the Investor has requested in
writing that the Company register or qualify the Shares ("Blue Sky
Filing"), or the omission or alleged omission to state a material
fact required to be stated therein or necessary to make the statements therein, in light of the circumstances under which the statements
therein were made, not misleading, (ii) any untrue statement or alleged untrue statement of a material fact contained in the final
prospectus (as amended or supplemented, if the Company files any amendment thereof or supplement thereto with the SEC) or the omission
or alleged omission to state therein any material fact necessary to make the statements made therein, in light of the circumstances
under which the statements therein were made, not misleading, or (iii) any violation or alleged violation by the Company of the
1933 Act, the 1934 Act, any other law, including, without limitation, any state securities law, or any rule or regulation thereunder
relating to the offer or sale of the Registrable Securities pursuant to the Registration Statement (the matters in the foregoing
clauses (i) through (iii) being, collectively, "Violations"). Subject
to the restrictions set forth in Section 6.3 the Company shall reimburse the Investor and each such controlling person, promptly
as such expenses are incurred and are due and payable, for any reasonable legal fees or other reasonable expenses incurred by them
in connection with investigating or defending any such Claim. Notwithstanding anything to the contrary contained herein, the indemnification
agreement contained in this Section 6.1: (i) shall not apply to a Claim arising out of or based upon a Violation which is due to
the inclusion in the Registration Statement of the information furnished to the Company by any Indemnified Person expressly for
use in connection with the preparation of the Registration Statement or any such amendment thereof or supplement thereto; (ii)
shall not be available to the extent such Claim is based on (a) a failure of the Investor to deliver or to cause to be delivered
the prospectus made available by the Company or (b) the Indemnified Person's use of an incorrect prospectus despite being promptly
advised in advance by the Company in writing not to use such incorrect prospectus; (iii) any claims based on the manner of sale
of the Registrable Securities by the Investor or of the Investor's failure to register as a dealer under applicable securities
laws; (iv) any omission of the Investor to notify the Company of any material fact that should be stated in the Registration Statement
or prospectus relating to the Investor or the manner of sale; and (v) any amounts paid in settlement of any Claim if such settlement
is effected without the prior written consent of the Company, which consent shall
not be unreasonably withheld. Such indemnity shall remain in full force and effect regardless of any investigation made
by or on behalf of the Indemnified Person and shall survive the resale of the Registrable Securities by the Investor pursuant to
the Registration Statement.

 

6.2                   
Promptly after receipt by an Indemnified Person or Indemnified Party under this Section
6 of notice of the commencement of any action or proceeding (including any governmental action or proceeding) involving a Claim,
such Indemnified Person or Indemnified Party shall, if a Claim in respect thereof is to be made against any indemnifying party
under this

 

 

Section
6, deliver to the indemnifying party a written notice of the commencement thereof, and the indemnifying party shall have the right
to participate in, and, to the extent the indemnifying party so desires, jointly with any other indemnifying party similarly noticed,
to assume control of the defense thereof with counsel mutually satisfactory to the indemnifying party and the Indemnified Person
or the Indemnified Party, as the case may be; provided, however, that an Indemnified Person or Indemnified Party shall have the
right to retain its own counsel with the fees and expenses to be paid by the indemnifying party, if, in the reasonable opinion
of counsel retained by the Indemnified Person or Indemnified Party, the representation by counsel of the Indemnified Person or
Indemnified Party and the indemnifying party would be inappropriate due to actual or potential differing interests between such
Indemnified Person or Indemnified Party and any other party represented by such counsel in such proceeding. The indemnifying party
shall pay for only one (1) separate legal counsel for the Indemnified Persons or the Indemnified Parties, as applicable, and such
counsel shall be selected by the Investor, if the Investor is entitled to indemnification hereunder, or the Company, if the Company
is entitled to indemnification hereunder, as applicable.
The Indemnified Party or Indemnified Person shall cooperate fully with the indemnifying party in connection with any negotiation
or defense of any such action or Claim by the indemnifying party and shall furnish to the indemnifying party all information reasonably
available to the Indemnified Party or Indemnified Person which relates to such action or Claim. The indemnifying party shall keep
the Indemnified Party or Indemnified Person fully apprised at all times as to the status of the defense or any settlement negotiations
with respect thereto. No indemnifying party shall be liable for any settlement of any action, claim or proceeding affected without
its written consent, provided, however, that the indemnifying party shall not unreasonably withhold, delay or condition its consent.
No indemnifying party shall, without the consent of the Indemnified Party or Indemnified Person, consent to entry of any judgment
or enter into any settlement or other compromise which does not include as an unconditional term thereof the giving by the claimant
or plaintiff to such Indemnified Party or Indemnified Person of a release from all liability in respect to such Claim. Following
indemnification as provided for hereunder, the indemnifying party shall be subrogated to all rights of the Indemnified Party or
Indemnified Person with respect to all third parties, firms or corporations relating to the matter for which indemnification has
been made. The failure to deliver written notice to the
indemnifying party withina reasonable time of the commencement of any such action shall not relieve such indemnifying party of
any liability to the Indemnified Person or Indemnified Party under this Section 6, except to the extent that the indemnifying party
is prejudiced in its ability to defend such
action.

6.3                   
The indemnity agreements contained herein shall be in addition to (i) any cause of action
or similar right of the Indemnified Party or Indemnified Person against the indemnifying party or others, and (ii) any liabilities
the indemnifying party may be subject to pursuant to the law.

 

 

SECTION7
CONTRIBUTION

 

7.1
To the extent any indemnification by an indemnifying party is prohibited or limited by law, the indemnifying party agrees to make
the maximum contribution with respect to any amounts for which it would otherwise be liable under Section 6
to the fullest extent permitted by law; provided, however, that: (i) no contribution shall be made under circumstances where
the maker would not have been liable for indemnification under the fault standards set forth in Section 6;
(ii) no seller of Registrable Securities guilty of fraudulent misrepresentation (within the meaning of Section ll(f)
of the 1933 Act) shall be entitled to contribution from any seller of Registrable Securities who was not guilty of fraudulent
misrepresentation; and (iii) contribution by any seller of Registrable Securities shall be limited in amount to the net amount
of proceeds received by such seller from the sale of such Registrable Securities. Notwithstanding the provisions of this Section,
no Investor shall be required to contribute, in the aggregate, any amount in excess of the amount by which the net proceeds actually
received by such Investor from the applicable sale of the Registrable Securities subject to the claim exceeds the amount of any
damages that such Investor has otherwise been required to pay, or would otherwise be required to pay under Section 6.2, by reason
of such untrue or alleged untrue statement or omission or alleged omission.

 

SECTIONS

REPORTS UNDER THE 1934 ACT

 

8.1                     
With a view to making available to the Investor the benefits of Rule 144 promulgated under the 1933 Act or any other similar
rule or regulation of the SEC that may at any time permit the Investor to sell securities of the Company to the public without
registration ("Rule 144"), provided that the Investor holds
any Registrable Securities are eligible for resale under Rule 144, the
Company agrees to:

 

(a)              
make and keep public information available, as those terms are understood and defined
in Rule 144;

(b)              
file with the SEC in a timely manner all reports and other documents required of the Company under the 1933 Act and
the 1934 Act so long as the Company remains subject to such requirements (it being understood that nothing herein shall limit the
Company's obligations under Section 5(c) of the Securities Purchase Agreement) and the filing of such reports
and other documents
is required for
the applicable provisions
of Rule 144;
and

(c)              
furnish to the Investor, promptly upon request, (i) a written statement by the Company
that it has complied with the reporting requirements of Rule 144, the 1933 Act and the 1934 Act, (ii) a copy of the most recent
annual or quarterly report of the Company and such other reports and documents so filed by the Company, and (iii) such other information
as may be reasonably requested to permit the Investor to sell such securities pursuant to Rule 144 without registration.

 

 

SECTION9
MISCELLANEOUS

 

9.1             
Notices. Any notices or other communications required or permitted to be given under the terms of this Agreement
must be given in accordance with the Securities Purchase Agreement.

 

 

9.2             
No Waivers. Failure of any party to exercise any right or remedy under this Agreement or otherwise, or delay by a
party in exercising such right or remedy, shall not operate as a waiver thereof.

 

9.3             
No Assignments. The rights and obligations under this Agreement shall not be assignable.

 

9.4             
Entire Agreement/Amendment. This Agreement and the Transaction Documents constitute the entire agreement among the
parties hereto with respect to the subject matter hereof and thereof. There are no restrictions, promises, warranties or undertakings,
other than those set forth or referred to herein and therein. This Agreement and the Transaction Documents supersede all prior
agreements and understandings among the parties hereto with respect to the subject matter hereof and thereof. The provisions of
this Agreement may be amended only with the written consent of the Company and Investor.

 

9.5             
Headings. The headings in this Agreement are for convenience of reference only and shall not limit or otherwise affect
the meaning hereof. Whenever required by the context of this Agreement, the singular shall include the plural and masculine shall
include the feminine. This Agreement shall not be construed as if it had been prepared by one of the parties, but rather as if
all the parties had prepared the same.

 

9.6             
Counterparts. This Agreement may be executed in any number of counterparts and by the different signatories hereto
on separate counterparts, each of which, when so executed, shall be deemed an original, but all such counterparts shall constitute
but one and the same instrument. This Agreement may be executed by facsimile transmission, PDF, electronic signature or other similar
electronic means with the same force and effect as if such signature page were an original
thereof.

 

9.7             
Further assurances. Each party shall do and perform, or cause to be done and performed, all such further acts and
things, and shall execute and deliver all such other agreements, certificates, instruments and documents, as the other party may
reasonably request in order to carry out the intent and accomplish the purposes of this Agreement and the consummation of the transactions
contemplated hereby.

9.8             
Severability. In case any provision of this Agreement is
held by a court of competent jurisdiction to be excessive in scope or otherwise invalid or unenforceable,
such

 

 

prov1s10n
shall be adjusted rather than voided, if possible, so that it is enforceable to the maximum extent possible, and the validity and
enforceability of the remaining provisions of this Agreement will not in any way be affected or impaired thereby.

 

9.9             
Law governing this agreement. This Agreement shall be governed
by and construed in accordance with the laws of the State of Nevada without regard to principles of conflicts of laws. Any action
brought by either party against the other concerning the transactions contemplated by this Agreement shall be brought only in the
state courts or federal courts located in Palm Beach County, Florida. The parties to this Agreement hereby irrevocably waive any
objection to jurisdiction and venue of any action instituted hereunder and shall not assert any defense based on lack of jurisdiction
or venue or based upon forum non conveniens. The
parties executing this
Agreement and other
agreements referred to
herein or delivered in connection
herewith on behalf of the Company agree to submit to the in personam jurisdiction of such courts and hereby irrevocably waive trial
by jury. The prevailing party shall be entitled to recover from the other party its reasonable attorney's fees and costs.
In the event that any provision of this Agreement or any other agreement delivered in connection
herewith is invalid or unenforceable under any applicable statute or rule of law, then such provision shall be deemed inoperative
to the extent that it may conflict therewith and shall be deemed modified to conform with such statute or rule of law. Any such
provision which may prove invalid or unenforceable under
any law shall not affect the validity or enforceability of any other provision of any agreement. Each party hereby irrevocably
waives personal service of process and consents to process being served in any suit, action or proceeding in connection with this
Agreement or any other Transaction Documents by mailing a copy thereof via registered or certified mail or overnight delivery (with
evidence of delivery) to such party at the address in effect for notices to it under this Agreement and agrees that such service
shall constitute good and sufficient service of process and notice thereof. Nothing contained herein shall be deemed to limit in
any way any right to serve process in any other manner permitted by law.

9.10        
No third party beneficiaries. This Agreement is intended
for the benefit of the parties hereto and is not for the benefit of, nor may any provision hereof be enforced by, any other person,
except that the Company acknowledges that the rights of the Investor may be enforced by its
general partner.

 

(Signature page immediately follows)

 

 

IN
WITNESS WHEREOF, the parties have caused this Agreement to be duly executed by their respective authorized representatives
as of the Execution Date.

 

GEX MANAGEMENT, INC.

 

By: /s/ Carl Dorvil____________

Name: Carl Dorvil

Title: Chief Executive Officer

 

 

_______________________

 

By: __________________________

 

Name: _______________________

 

Title: ________________________

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