Document:

Exhibit 10.1	Asset Purchase Agreement

  

ASSET PURCHASE AGREEMENT

 

by and among

 

SWK TECHNOLOGIES, INC. and OPCENTER LIMITED
LIABILITY COMPANY

as Sellers

 

HART SINGH

as OpCenter Owner

 

and

 

PAID RUN LLC,

as Buyer

 

 

October 7, 2015

 

     

     

    

 

ASSET PURCHASE AGREEMENT

 

THIS ASSET PURCHASE AGREEMENT (this “Agreement”)
is effective as of October 7, 2015, by and among SWK TECHNOLOGIES, INC., a Delaware corporation, located at 5 Regent Street, Suite
520, Livingston, NJ 07039 (“SWK”), OpCenter Limited Liability Company, 178 Windsor Place, Madison, NJ 07940, a New
Jersey limited liability company (“OpCenter”, and collectively with SWK, the “Sellers”), Hart Singh
(the “OpCenter Owner”), and PAID RUN, LLC, a Massachusetts limited liability company, located at 200 Friberg Parkway,
Westborough, Massachusetts 01581 (“Buyer”). Buyer, Sellers and OpCenter Owner are sometimes each referred to
separately as a “Party” and collectively herein as the “Parties.”

 

W I T N E S S E T H:

 

WHEREAS, Sellers are primarily engaged in
the business of developing and selling enterprise resource planning and similar software applications, including proprietary enhancements
for small and middle market companies in North America;

 

WHEREAS, Sellers wish to sell to Buyer,
and Buyer wishes to purchase from Sellers certain assets with respect to the Business on the terms and subject to the conditions
set forth in this Agreement;

 

WHEREAS, OpCenter Owner is the sole member
of OpCenter Limited Liability Company;

 

NOW, THEREFORE, in consideration of the
premises and the mutual promises herein made, and in consideration of the representations, warranties, and covenants herein contained,
the Parties agree as follows.

 

ARTICLE
1

 

DEFINITIONS.

 

For purposes of this Agreement, the following
terms have the meanings assigned to them in this Article 1:

 

“Acquired Assets” means
all the following assets related to BeerRun and SpiritRun software only:

 

1.                 
the Client Lists, along with all rights, benefits and privileges arising thereunder or with respect thereto which are set
forth on Section 3.05 of the Disclosure Schedule;

 

2.                 
the Contracts, along with all rights, benefits and privileges arising thereunder or with respect thereto which are set forth
on Section 3.09 of the Disclosure Schedule;

 

3.                 
all books, records, files, correspondence and other documents relating to the Client Lists, Contracts and Intellectual Property;

 

4.                 
The Intellectual Property set forth in Section 3.11 of the Disclosure Schedule;

 

“Adverse Consequences”
means all actions, suits, proceedings, hearings, investigations, charges, complaints, claims, demands, injunctions, judgments,
orders, decrees, rulings, damages, dues, penalties, fines, costs, reasonable amounts paid in settlement, liabilities, obligations,
taxes, liens, losses, expenses, and fees, including court costs and reasonable attorneys’ fees and expenses.

 

     

     

    

 

“Affiliate” means, with
respect to any Person, any other Person that, directly or indirectly through one or more intermediaries, controls, or is controlled
by, or is under common control with, such Person. The term “control” (including, with its correlative meanings,
“controlled by” and “under common control with”) means possession, directly or indirectly,
of the power to direct or cause the direction of management or policies (whether through ownership of securities or partnership
or other equity interests, by contract or otherwise).

 

“Agreement” has the meaning
set forth in the preface above.

 

“Applicable Law” means
any constitutional provision, statute or ordinance, whether foreign, federal, state or local, applicable in the United States or
any other nation, including any other law, rule, regulation, judgment, injunction, order, executive order, ruling, assessment,
writ, decree or interpretation thereof of any Governmental Entity, or any common law..

 

“Business Day” means
any day other than a day that is a Saturday, Sunday or legal holiday in New York, New York.

 

“Buyer” has the meaning
set forth in the preface above.

 

“Client Lists” means
any and all lists, spreadsheets, worksheets and tables of any type or form identifying each and every licensee of the Intellectual
Property which are listed in Section 3.05 of the Disclosure Schedule.

 

“Closing” has the meaning
set forth in Section 2.05 below.

 

“Closing Date” has
the meaning set forth in Section 2.05 below.

 

“Code” means the Internal
Revenue Code of 1986, as amended.

 

“Contracts” means any
maintenance agreements, support agreements, Licenses, and all customer proposals related to the Intellectual Property;

 

“Disclosure Schedule”
has the meaning set forth in Article 3 below.

 

“Employees” means the
employees of the Sellers engaged in the licensing and/or support of the Intellectual Property;

 

“Environmental Law” means
a legal rule pertaining to land use, air, soil, surface water, groundwater (including the protection, cleanup, removal, remediation
or damage thereof), public or employee health or safety or any other environmental matter, including, without limitation, the following
laws as the same have been amended from time to time: (i) Clean Air Act (42 U.S.C. § 7401, et seq.); (ii) Clean
Water Act (33 U.S.C. § 1251, et seq.); (iii) Resource Conservation and Recovery Act (42 U.S.C. § 6901,
et seq.); (iv) Comprehensive Environmental Response, Compensation and Liability Act (42 U.S.C. § 9601, et
seq.); (v) Safe Drinking Water Act (42 U.S.C. § 300f, et seq.); (vi) Toxic Substances Control Act
(15 U.S.C. § 2601, et seq.); (vii) Rivers and Harbors Act (33 U.S.C. § 401, et seq.); (viii) Occupational
Safety and Health Act (29 U.S.C. § 651, et seq.); together with all other legal rules regulating emissions, discharges,
releases or threatened releases of any hazardous substance into ambient air, land, surface water, groundwater, personal property
or structures, or otherwise regulating the manufacture, processing, distribution, use, treatment, storage, disposal, transport,
discharge or handling of any hazardous substance.

 

     

     

    

 

“ERISA” means the Employee
Retirement Income Security Act of 1974, as amended.

 

“Excluded Assets” means
all other assets, properties, rights and claims (other than the Acquired Assets) of Sellers of any nature whatsoever and wherever
situated.

 

“Excluded Liabilities”
means all liabilities of Sellers of any nature whatsoever and wherever situated.

 

“GAAP” means United States
generally accepted accounting principles as in effect from time to time.

 

“Governmental Entity”
shall mean any government (including any United States of foreign federal, state, provincial, cantonal, municipal or county government),
any political subdivision thereof and any governmental, administrative, ministerial, regulatory, central bank, self-regulatory,
quasi-governmental, taxing, executive, or legislative department, commission, body, agency, authority or instrumentality of any
thereof.

 

“Indemnified Party” has
the meaning set forth in Section 7.03 below.

 

“Indemnifying Party”
has the meaning set forth in Section 7.03 below.

 

“Intellectual Property”
means (a) source code and documentation for BeerRun software; (b) source code and documentation for SpiritRun software; (c) trademarks,
service marks, trade dress, logos, trade names, URLs, domain names and corporate names, together with translations, adaptations,
derivations, and combinations thereof, and including but not limited to goodwill associated therewith, applications, registrations
and renewals in connections therewith including, without limitation, the names “BeerRun,” and “SpiritRun, ”
and any names similar thereto, and the rights to the Internet domain name http://www.beerrunsoftware.com, http://www.spiritrunsoftware.com,
and all iterations and permutations thereof, together with all logos, slogans, trademarks, and service marks relating thereto
used by Sellers in connection therewith; and (d) website content, and (e) licenses, sublicenses, permissions or contacts in connection
with any of the foregoing.

 

“Intellectual Property Rights”
means the rights or interest of any Person in or to any Intellectual Property.

 

“Judicial Authority”
shall mean any court, arbitrator, special master, receiver, tribunal or similar body of any kind.

 

“Knowledge” means actual
knowledge of a Person after due inquiry.

 

“License” means any agreement
between the Sellers and end user which establishes rights under which the Sellers’s software application may be used.

 

“Notice of Claim” has
the meaning set forth in Section 7.03.

 

“Ordinary Course of Business”
means the ordinary course of business consistent with past custom and practice (including with respect to quantity and frequency).

 

“Party” has the meaning
set forth in the preface above.

 

     

     

    

 

“Person” means an individual,
a partnership, a corporation, a limited liability company, an association, a joint stock company, a trust, a joint venture, an
unincorporated organization, or a governmental entity (or any department, agency, or political subdivision thereof).

 

“Plans” means all employee
benefit plans (as defined in Section 3(3) of the ERISA) and all bonus, incentive, deferred compensation, retiree medical or life
insurance, supplemental retirement, severance or other benefit plans, stock option, restricted stock, phantom stock, or other equity
incentive plans, programs or arrangements, and all termination, severance or other contracts or agreements, whether formal or informal,
whether or not set forth in writing, whether covering one person or more than one person, and whether or not subject to any of
the provisions of ERISA, that are maintained, contributed to or sponsored by Sellers for the benefit of any employee or which otherwise
cover any employee.

 

“Proceeding” shall mean
any action, suit, counter-claim, arbitration, mediation, litigation, inquiry, hearing, investigation or other proceeding of any
kind involving any Governmental Entity, any Judicial Authority or any other Person.

 

“Purchase Price” has
the meaning set forth in Section 2.02 below.

 

“Security Interest” means
any mortgage, pledge, lien, encumbrance, charge, or other security interest, other than (a) mechanic’s, materialmen’s,
and similar liens, (b) liens for Taxes not yet due and payable or for Taxes that the taxpayer is contesting in good faith through
appropriate proceedings, (c) purchase money liens and liens securing rental payments under capital lease arrangements, and (d)
other liens arising in the Ordinary Course of Business and not incurred in connection with the borrowing of money.

 

“Sellers” has the meaning
set forth in the preface above.

 

“Taxes” means (A) all
income taxes (including any tax on or based upon net income, gross income, income as specially defined, earnings, profits or selected
items of income, earnings or profits) and all gross receipts, sales, use, ad valorem, transfer, franchise, license, withholding,
payroll, employment, excise, severance, stamp, occupation, premium, property or windfall profits taxes, alternative or add-on minimum
taxes, customs duties and other taxes of any kind whatsoever, together with all interest and penalties, additions to tax and other
additional amounts imposed by any Governmental Entity on such entity, and (B) any liability for the payment of any amount of the
type described in the immediately preceding clause (A) as a result of being a “transferee” (within the meaning of Section
6901 of the Code or any other applicable law) of another entity, a member of an affiliated or combined group, a contract or otherwise.

 

“Tax Return” means any
return, declaration, report, claim for refund, or information return or statement relating to Taxes, including any schedule, exhibit
or attachment thereto.

 

“Third Party Claim” has
the meaning set forth in Section 8.03 below.

 

ARTICLE
2

 

BASIC TRANSACTION.

 

Section 2.01        
Purchase and Sale of Assets. On and subject to the terms and conditions of this Agreement, Buyer agrees to purchase
from Sellers, and Sellers agree to sell, transfer, convey, and deliver to Buyer, all of the Acquired Assets at the Closing in consideration
of the payment by Buyer of the Purchase Price as specified below in Section 2.02.

 

     

     

    

 

Section 2.02        
Purchase Price. Payments shall be made (the “Purchase Price”) by wire transfer of immediately
available funds for disbursement in accordance with the following: (i) on the Closing Date, Buyer shall pay Sellers $285,000 in
cash. Payment shall be allocated and made directly to the respective Sellers in accordance with Exhibit 2.02 attached hereto; (ii)
on the Closing Date, Buyer shall enter into a consulting agreement with Hart Singh, substantially in the form attached hereto as
Exhibit B. Such agreement shall provide for compensation to Singh in the amount of $220/hour, provided, however, that Singh
shall provide such consulting services free of charge for the first ninety (90) days following the date of closing; (iii) Technify,
Inc. shall enter into an agreement with Buyer, substantially in the form attached hereto as Exhibit B1, to provide BeerRun-related
services for $5000 per month for the first year, such rate to increase by ten percent (10%) in the second year.

 

Section 2.03        
Excluded Assets. Notwithstanding anything herein to the contrary, the Acquired Assets shall not include and Buyer
shall not acquire any right, title or interest in and to the Excluded Assets.

 

Section 2.04        
Excluded Liabilities. Notwithstanding anything herein to the contrary, Buyer shall not assume or have responsibility
for any liabilities of any type whatsoever.

 

Section 2.05        
Closing. The closing of the transactions contemplated by this Agreement (the “Closing”) shall
take place, at the offices of Lucosky Brookman LLP, located at 33 Wood Avenue South, Iselin, New Jersey 08830. The date on which
the Closing occurs is referred to herein as the (“Closing Date”) and the Closing shall be deemed effective as
of 12:00 p.m. New York time on the Closing Date.

 

Section 2.06        
Deliveries at the Closing. At the Closing, (i) Sellers will deliver to Buyer the various certificates, instruments,
and documents referred to in Section 6.01 below; (ii) Buyer will deliver to Sellers the various certificates, instruments,
and documents referred to in Section 6.02 below; (iii) Sellers will execute, acknowledge (if appropriate), and deliver to Buyer
(A) a bill of sale and such other instruments of sale, transfer, conveyance and assignment as Buyer and its counsel reasonably
may request; and (iv) Buyer will pay to Sellers the Purchase Price.

 

Section 2.07        
Allocation. The Parties agree to allocate the Purchase Price (and all other capitalizable costs) among the Acquired
Assets for all purposes (including financial accounting and tax purposes) in accordance with the allocation schedule attached hereto
as Exhibit E, and the Parties shall make all necessary filings (including those under Section 1060 of the Code) in accordance
with such allocation.

 

Section 2.08        
Transfer and Maintenance of Books and Records.

 

(a)               
Sellers shall transfer to Buyer at Closing all of the Acquired Assets, including without limitation (i) the Contracts,
(ii) the Client Lists, (iii) the Intellectual Property, and (iv) all other books and records. Sellers shall deliver
to Buyer, in such locations as designated by Buyer, actual possession of all books and records, including the Client Lists and
the Contracts, as soon as possible after Closing, but in no event later than five (5) Business Days after the Closing Date, and
Sellers shall be responsible for all books and records until delivery thereof to Buyer. In addition, Sellers shall also within
ten (10) Business Days of receipt forward to Buyer all notices, correspondence and other documents received from customers, vendors
or other similar Persons, which documents relate to the Acquired Assets and are received by Sellers after the Closing. Nevertheless,
Sellers shall retain those documents, agreements and all other books and records relating to any Excluded Asset or Excluded Liability.

 

     

     

    

 

ARTICLE
3

 

REPRESENTATIONS AND WARRANTIES

 

Section 3.01        
Representations and Warranties of OpCenter and OpCenter Owner. OpCenter and OpCenter Owner represent and warrant,
jointly and severally, to Buyer that the statements contained in this Section 3.01 are correct and complete as of the date hereof
and as of the Closing Date, except as set forth in the disclosure schedule accompanying this Agreement or any amendments (or deemed
amendments thereto) (the “Disclosure Schedule”). The Disclosure Schedule will be arranged in sections corresponding
to the lettered and numbered sections contained in this Section 3.01.

 

(a)               
Organization of OpCenter. OpCenter is a limited liability company duly organized, validly existing, and in good standing
under the laws of the jurisdiction of organization and are duly qualified to conduct business and are in good standing in each
jurisdiction in which the nature of OpCenter’s business or the ownership or leasing of each of its properties requires such
qualifications. OpCenter has all requisite company power and authority to carry on the businesses in which it is engaged, to carry
on the business proposed to be conducted by the Buyer and to own and use the properties owned and used by it.

 

(b)              
Authorization of Transaction; Enforceability. OpCenter has full company power and authority to execute and deliver
this Agreement and to perform its obligations hereunder. The execution and delivery of this Agreement has been duly authorized
by all necessary action by OpCenter. This Agreement has been duly executed and delivered by OpCenter. This Agreement constitutes
the valid and legally binding obligations of OpCenter, enforceable in accordance with its terms and conditions, except as such
enforceability may be limited by (i) applicable bankruptcy, insolvency, reorganization, moratorium or other similar laws affecting
the enforcement of creditors' rights generally, and (ii) general principles of equity (regardless of whether such enforceability
is considered in a proceeding in equity or law). Sellers are the exclusive owners of, with all right, title and interest in and
to (free and clear of any Security Interests), the Acquired Assets.

 

(c)               
Noncontravention; Title. Neither the execution and the delivery of this Agreement, nor the consummation of the transactions
contemplated hereby, will (i) violate any constitution, statute, regulation, rule, injunction, judgment, order, decree, ruling,
charge, or other restriction of any government, Governmental Entity, or court to which OpCenter is subject or any provision of
the charter or other organizational documents of OpCenter, or (ii) conflict with, result in a breach of, constitute a default under,
result in the acceleration of, create in any party the right to accelerate, terminate, modify, or cancel, or require any notice
under, any agreement, contract, lease, license, instrument, or other arrangement to which OpCenter is a party or by which it is
bound or to which any of the Acquired Assets are subject (or result in the imposition of any Security Interest upon any of the
Acquired Assets. Sellers are the lawful owners of, has good and valid record and marketable title to, and upon the Closing will
have the full right to sell, convey, transfer, assign and deliver the Acquired Assets, without any restrictions of any kind whatsoever.
The Acquired Assets constitute all the assets related to the Intellectual Property.

 

(d)              
Brokers’ Fees. OpCenter has no liability or obligation to pay any fees or commissions to any broker, finder,
or agent with respect to the transactions contemplated by this Agreement for which Buyer could become liable or obligated.

 

(e)               
Client Lists. Section 3.01(e) of the Disclosure Schedule contains a complete and correct list of each Client List,
as amended, including the date of such Client List and each amendment thereto. Each Client List is a true, accurate, and complete
listing of each and every client, including former clients of the Sellers since January 1, 2014.

 

     

     

    

 

(f)               
Events Subsequent to Most Recent Fiscal Month End. Since the Most Recent Fiscal Month End,  there has occurred
no event or development which, individually or in the aggregate, has had, or could reasonably be expected to have in the future,
Adverse Consequences.

 

(g)               
Legal Compliance. OpCenter’s business as it relates to the Acquired Assets is in compliance with all applicable
laws (including rules, regulations, codes, plans, injunctions, judgments, orders, decrees, rulings, and charges thereunder) of
all Governmental Entities, except where the failure to comply could not reasonably be expected to have Adverse Consequences.

 

(h)              
Financial Information. The financial information delivered by OpCenter and/or OpCenter Owner to Buyer with respect
to the Acquired Assets is true and correct in all material respects. No customer has prepaid for services or products to be used
after Closing other than with respect to the immediately preceding or succeeding month.

 

(i)                
Contracts. Section 3.01(i) of the Disclosure Schedule contains a complete and correct list of each Contract, as amended,
including the date of such Contract, and each amendment thereto. OpCenter has delivered complete and accurate copies of each Contract
to the Buyer. With respect to each Contract:

 

(i)                
each Contract is the legal, valid, binding and enforceable obligation of Sellers, and is in full force and effect with respect
to Sellers.

 

(ii)              
except as otherwise set forth in Section 3.01(i) of the Disclosure Schedule, each Contract will continue to be legal, valid,
binding, enforceable by Buyer, and in full force and effect immediately following the Closing in accordance with the terms that
are in effect immediately prior to the Closing;

 

(iii)            
except as otherwise set forth in Section 3.01(i) of the Disclosure Schedule, OpCenter is in material compliance with the
terms and conditions of each Contract;

 

(iv)            
there are no material disputes or threatened disputes with any Person under any Contract;

 

(v)              
except with respect to delinquencies as set forth in Section 3.01(i), no party is in breach or default, and no event has
occurred which with notice or lapse of time or both would constitute a breach or default, or permit termination, modification,
or acceleration, under such Contract;

 

(vi)            
to the extent insurance is required under the terms of such Contract, Sellers are in compliance with such requirements;
and

 

(vii)          
there has not been any assignment by Sellers of such Contract and there does not exist any Security Interest with respect
to such Contract.

 

(j)                
Warranties. Except to provide support services in the Ordinary Course of Business neither the software licensed nor
the services delivered by OpCenter is subject to any guaranty or, warranty; and there is no right of return, right of credit or
other indemnity, except with respect to infringement of third party intellectual property rights, breach by OpCenter of its obligations
under a Contract or as otherwise set forth herein.

 

     

     

    

 

(k)              
Intellectual Property.

 

(i)                
Section 3.01(k) of the Disclosure Schedule contains a complete and accurate list of all of the material Intellectual Property
owned, used or held for use by OpCenter in the conduct of its Business and there is no other Intellectual Property owned, used
or held for use by the Sellers material to the conduct of its Business. Such Intellectual Property is the only Intellectual Property
necessary to operate the Business materially as it is currently operated.

 

(ii)              
Neither OpCenter nor the license or other use of any Intellectual Property not owned by OpCenter included in the Acquired
Assets violated or infringed, and currently does not violate or infringe, upon the Intellectual Property of any Person. OpCenter
and OpCenter Owner have not been a defendant in any action, suit, investigation or proceeding relating to, or otherwise has been
notified of, any alleged claim of infringement of any other Person’s Intellectual Property, which Proceedings are still active,
and OpCenter has no outstanding Proceedings for (or any knowledge of) any continuing infringement of Intellectual Property by any
other Person.

 

(iii)            
Sellers are the sole and exclusive owners of, with all right, title and interest in and to (free and clear of any Security
Interests), any and all Intellectual Property owned by it included in the Acquired Assets, (b) has rights to the use of all such
Intellectual Property used by it pursuant to license, sublicense, agreement, or permissions and is not contractually obligated
to pay any compensation or grant any rights to any third party in respect thereof and (c) has the right to require the application
of any such Intellectual Property owned by OpCenter that constitutes an application for registration, including but not limited
to all patent applications, trademark application service mark applications, copyright applications and mask work applications,
and to transfer ownership to Buyer of the application and of the registration once it issues.

 

(iv)            
OpCenter has kept secret and have not disclosed the source code for any Intellectual Property owned by OpCenter to any Person
other than in the Ordinary Course of Business to persons who are subject to the terms of a binding confidentiality agreement with
respect thereto. OpCenter has taken all appropriate measure to protect the confidential and proprietary nature of any Intellectual
Property owned by OpCenter including without limitation the use of confidentiality agreements with all of its employees or other
persons having access to any source and object codes.

 

(v)              
Any and all Intellectual Property owned by OpCenter included in the Acquired Assets that are registrations, including but
not limited to all registered patents, trademarks, service marks, copyrights and masks works, are valid and subsisting and in full
force and effect.

 

(vi)            
The execution, delivery and performance by OpCenter or OpCenter Owner of this Agreement and the consummation of the transactions
contemplated hereby and thereby shall not alter or impair or result in the loss of any rights or interests of OpCenter in any Intellectual
Property included in the Acquired Assets owned by OpCenter or as to which OpCenter obtain any consent to the transactions contemplated
hereby and all such Intellectual Property shall be owned or available for use by Buyer on identical terms and conditions immediately
subsequent to the Closing.

 

(vii)          
None of the Intellectual Property owned by OpCenter included in the Acquired Assets is subject to any outstanding order
or agreement restricting in any manner the use of licensing thereof by OpCenter.

 

(viii)        
All the Intellectual Property conveyed in this Agreement is freely assignable to Buyer.

 

     

     

    

 

(l)                
Taxes; Environmental Matters. OpCenter has paid all outstanding federal, state, and local income, sales, franchise,
social security, withholding, and unemployment insurance Taxes, state and local property Taxes and any other Taxes of any kind
or description arising out of ownership of the Acquired Assets. The present and former activities of OpCenter comply with all applicable
Environmental Laws and OpCenter is not in violation and has never been in violation of any Environmental Laws.

 

(m)            
Employees. Each current or past employee of OpCenter has entered into a confidentiality agreement and assignment
of Intellectual Property with OpCenter, whereby any Intellectual Property developed by such employee is either a “work made
for hire” or was assigned to the applicable OpCenter. Each such agreement referenced in the two preceding sentences to which
OpCenter is a party will continue to be legal, valid, binding and enforceable and in full force and effect immediately prior to
the Closing.

 

(n)              
No Proceedings. There is no Proceeding pending or, to the knowledge of either OpCenter or OpCenter Owner, threatened,
relating to or affecting any of the Acquired Assets or relating to or affecting the activities of OpCenter carried on with any
of the Assets, or which questions the validity of this Agreement or challenges any of the transactions contemplated hereby, nor,
to the knowledge of such Parties, is there any basis for any such Proceeding.

 

(o)              
Disclosure. No (i) representation or warranty by OpCenter contained in this Agreement or any certificate, or (ii)
any statement contained in the Disclosure Schedule delivered to Buyer by or on behalf of OpCenter pursuant to this Agreement, contains
or will contain any untrue statement of a material fact or omits or will omit to state any material fact necessary, in light of
the circumstances under which it was or will be made, in order to make the statements herein or therein not misleading.

 

Section 3.02        
Representations and Warranties of SWK. SWK represents and warrants to Buyer that the statements contained in this
Section 3.02 are correct and complete as of the date hereof and as of the Closing Date, except as set forth in the disclosure schedule
accompanying this Agreement or any amendments (or deemed amendments thereto) (the “Disclosure Schedule”). The
Disclosure Schedule will be arranged in sections corresponding to the lettered and numbered sections contained in this Section
3.02.

 

(a)               
Organization of SWK. SWK is a corporation duly organized, validly existing, and in good standing under the laws of
the jurisdiction of organization and are duly qualified to conduct business and are in good standing in each jurisdiction in which
the nature of SWK’s business or the ownership or leasing of its properties requires such qualifications. SWK has all requisite
corporate power and authority to carry on the businesses in which it is engaged, to carry on the business proposed to be conducted
by the Buyer and to own and use the properties owned and used by it.

 

(b)              
Authorization of Transaction; Enforceability. SWK has full corporate or other power and authority to execute and
deliver this Agreement and to perform its obligations hereunder. The execution and delivery of this Agreement has been duly authorized
by all necessary corporate, stockholder or other action by SWK. This Agreement has been duly executed and delivered by SWK. This
Agreement constitutes the valid and legally binding obligations of SWK, enforceable in accordance with its terms and conditions,
except as such enforceability may be limited by (i) applicable bankruptcy, insolvency, reorganization, moratorium or other similar
laws affecting the enforcement of creditors' rights generally, and (ii) general principles of equity (regardless of whether such
enforceability is considered in a proceeding in equity or law). Sellers are the exclusive owners of, with all right, title and
interest in and to (free and clear of any Security Interests), the Acquired Assets.

 

     

     

    

 

(c)               
Noncontravention; Title. Neither the execution and the delivery of this Agreement, nor the consummation of the transactions
contemplated hereby, will (i) violate any constitution, statute, regulation, rule, injunction, judgment, order, decree, ruling,
charge, or other restriction of any government, Governmental Entity, or court to which SWK is subject or any provision of the charter,
bylaws or other organizational documents of SWK, or (ii) conflict with, result in a breach of, constitute a default under, result
in the acceleration of, create in any party the right to accelerate, terminate, modify, or cancel, or require any notice under,
any agreement, contract, lease, license, instrument, or other arrangement to which SWK is a party or by which it is bound or to
which any of the Acquired Assets are subject (or result in the imposition of any Security Interest upon any of the Acquired Assets.
Sellers are the lawful owners of, have good and valid record and marketable title to, and upon the Closing will have the full right
to sell, convey, transfer, assign and deliver the Acquired Assets, without any restrictions of any kind whatsoever. The Assets
constitute all the assets related to the Intellectual Property.

 

(d)              
Brokers’ Fees. SWK has no liability or obligation to pay any fees or commissions to any broker, finder, or
agent with respect to the transactions contemplated by this Agreement for which Buyer could become liable or obligated.

 

(e)               
Client Lists. Section 3.02(e) of the Disclosure Schedule contains a complete and correct list of each Client List,
as amended, including the date of such Client List and each amendment thereto. Each Client List is a true, accurate, and complete
listing of each and every client, including former clients of SWK since January 1, 2014.

 

(f)               
Events Subsequent to Most Recent Fiscal Month End. Since the Most Recent Fiscal Month End, (a) there has occurred
no event or development which, individually or in the aggregate, has had, or could reasonably be expected to have in the future,
Adverse Consequences.

 

(g)               
Legal Compliance. SWK’s business as it relates to the Acquired Assets is in compliance with all applicable
laws (including rules, regulations, codes, plans, injunctions, judgments, orders, decrees, rulings, and charges thereunder) of
all Governmental Entities, except where the failure to comply could not reasonably be expected to have Adverse Consequences.

 

(h)              
Financial Information. The financial information delivered to Buyer with respect to the Acquired Assets is true and
correct in all material respects. No customer has prepaid for services or products to be used after Closing other than with respect
to the immediately preceding or succeeding month.

 

(i)                
Contracts. Section 3.02(i) of the Disclosure Schedule contains a complete and correct list of each Contract, as amended,
including the date of such Contract, and each amendment thereto. SWK has delivered complete and accurate copies of each Contract
to the Buyer. With respect to each Contract:

 

(i)                
each Contract is the legal, valid, binding and enforceable obligation of SWK, and is in full force and effect with respect
to SWK.

 

(ii)              
except as otherwise set forth in Section 3.02(i) of the Disclosure Schedule, each Contract will continue to be legal, valid,
binding, enforceable by Buyer, and in full force and effect immediately following the Closing in accordance with the terms that
are in effect immediately prior to the Closing;

 

     

     

    

 

(iii)            
except as otherwise set-forth in Section 3.02(i) of the Disclosure Schedule, SWK is in material compliance with the terms
and conditions of each Contract;

 

(iv)            
there are no material disputes or threatened disputes with any Person under any Contract;

 

(v)              
except with respect to delinquencies as set forth in Section 3.02(i), no party is in breach or default, and no event has
occurred which with notice or lapse of time or both would constitute a breach or default, or permit termination, modification,
or acceleration, under such Contract;

 

(vi)            
to the extent insurance is required under the terms of such Contract, SWK is in compliance with such requirements; and

 

(vii)          
there has not been any assignment by SWK of such Contract and there does not exist any Security Interest with respect to
such Contract.

 

(j)                
Warranties. Except to provide support services in the Ordinary Course of Business neither the software licensed nor
the services delivered by SWK is subject to any guaranty or, warranty; and there is no right of return, right of credit or other
indemnity, except with respect to infringement of third-party intellectual property rights, breach by SWK of its obligations under
a Contract or as otherwise set forth herein.

 

(k)              
Intellectual Property.

 

(i)                
Section 3.02(k) of the Disclosure Schedule contains a complete and accurate list of all of the material Intellectual Property
owned, used or held for use by SWK in the conduct of its Business and there is no other Intellectual Property owned, used or held
for use by SWK material to the conduct of its Business. Such Intellectual Property is the only Intellectual Property necessary
to operate the Business materially as it is currently operated.

 

(ii)              
Neither SWK nor the license or other use of any Intellectual Property not owned by SWK included in the Acquired Assets violated
or infringed, and currently does not violate or infringe, upon the Intellectual Property of any Person. SWK has not been a defendant
in any action, suit, investigation or proceeding relating to, or otherwise has been notified of, any alleged claim of infringement
of any other Person’s Intellectual Property, which Proceedings are still active, and SWK has no outstanding Proceedings for
(or any knowledge of) any continuing infringement of Intellectual Property by any other Person.

 

(iii)            
Sellers (a) are the exclusive owners of, with all right, title and interest in and to (free and clear of any Security Interests),
any and all Intellectual Property owned by it included in the Acquired Assets, (b) has rights to the use of all such Intellectual
Property used by it pursuant to license, sublicense, agreement, or permissions and is not contractually obligated to pay any compensation
or grant any rights to any third party in respect thereof and (c) has the right to require the application of any such Intellectual
Property owned by SWK that constitutes an application for registration, including but not limited to all patent applications, trademark
application service mark applications, copyright applications and mask work applications, and to transfer ownership to Buyer of
the application and of the registration once it issues.

 

(iv)            
SWK has kept secret and has not disclosed the source code for any Intellectual Property owned by SWK to any Person other
than in the Ordinary Course of Business to persons who are subject to the terms of a binding confidentiality agreement with respect
thereto. SWK has taken all appropriate measure to protect the confidential and proprietary nature of any Intellectual Property
owned by SWK including without limitation the use of confidentiality agreements with all of its employees or other persons having
access to any source and object codes.

 

     

     

    

 

(v)              
Any and all Intellectual Property owned by SWK included in the Acquired Assets that are registrations, including but not
limited to all registered patents, trademarks, service marks, copyrights and masks works, are valid and subsisting and in full
force and effect.

 

(vi)            
The execution, delivery and performance by SWK of this Agreement and the consummation of the transactions contemplated hereby
and thereby shall not alter or impair or result in the loss of any rights or interests of SWK in any Intellectual Property included
in the Acquired Assets owned by SWK or as to which SWK obtain any consent to the transactions contemplated hereby and all such
Intellectual Property shall be owned or available for use by Buyer on identical terms and conditions immediately subsequent to
the Closing.

 

(vii)          
None of the Intellectual Property owned by SWK included in the Acquired Assets is subject to any outstanding order or agreement
restricting in any manner the use of licensing thereof by SWK.

 

(viii)        
All the Intellectual Property owned by SWK conveyed in this Agreement is freely assignable to Buyer.

 

(l)                
Taxes; Environmental Matters. SWK has paid all outstanding federal, state, and local income, sales, franchise, social
security, withholding, and unemployment insurance Taxes, state and local property Taxes and any other Taxes of any kind or description
arising out of ownership of the Acquired Assets. The present and former activities of SWK comply with all applicable Environmental
Laws and SWK is not in violation and has never been in violation of any Environmental Laws.

 

(m)            
Employees. Each current or past employee of SWK has entered into a confidentiality agreement and assignment of Intellectual
Property with SWK, whereby any Intellectual Property developed by such employee is either a “work made for hire” or
was assigned to the applicable Seller. Each such agreement referenced in the two preceding sentences to which SWK is a party will
continue to be legal, valid, binding and enforceable and in full force and effect immediately prior to the Closing.

 

(n)              
No Proceedings. There is no Proceeding pending or, to the knowledge of SWK, threatened, relating to or affecting
any of the Acquired Assets or relating to or affecting the activities of SWK carried on with any of the Assets, or which questions
the validity of this Agreement or challenges any of the transactions contemplated hereby, nor, to the knowledge of such Parties,
is there any basis for any such Proceeding.

 

(o)              
Disclosure. No (i) representation or warranty by SWK contained in this Agreement or any certificate, or (ii) any
statement contained in the Disclosure Schedule delivered to Buyer by or on behalf of SWK pursuant to this Agreement, contains or
will contain any untrue statement of a material fact or omits or will omit to state any material fact necessary, in light of the
circumstances under which it was or will be made, in order to make the statements herein or therein not misleading.

 

     

     

    

 

ARTICLE
4

 

REPRESENTATIONS AND WARRANTIES OF BUYER.

 

Buyer represents and warrants to Sellers
that the statements contained in this Article 4 are correct and complete as of the Closing Date, except as set forth in the Disclosure
Schedule.

 

Section 4.01        
Organization of Buyer. Buyer is a Massachusetts limited liability company duly organized, validly existing, and in
good standing under the laws of the jurisdiction of its organization.

 

Section 4.02        
Authorization of Transaction. Buyer has full power and authority to execute and deliver this Agreement and to perform
its obligations hereunder and thereunder. The execution and delivery of this Agreement has been duly authorized by all necessary
action by Buyer. This Agreement has been duly executed and delivered by Buyer. This Agreement constitutes the valid and legally
binding obligation of Buyer, enforceable in accordance with its terms and conditions, except as such enforceability may be limited
by (i) applicable bankruptcy, insolvency, reorganization, moratorium or other similar laws affecting the enforcement of creditors’
rights generally, and (ii) general principles of equity (regardless of whether such enforceability is considered in a proceeding
in equity or law).

 

Section 4.03        
Noncontravention. Neither the execution and the delivery of this Agreement (including the documents referred to in
Section 2.06 above), nor the consummation of the transactions contemplated hereby and thereby, will (i) violate any constitution,
statute, regulation, rule, injunction, judgment, order, decree, ruling, charge, or other restriction of any government, governmental
agency, or court to which Buyer is subject or any provision of the organizational documents of Buyer or (ii) conflict with, result
in a breach of, constitute a default under, result in the acceleration of, create in any party the right to accelerate, terminate,
modify, or cancel, or require any notice under, any agreement, contract, lease, license, instrument, or other arrangement to which
Buyer is a party or by which it is bound or to which any of its assets is subject. Buyer does not need to give any notice to, make
any filing with, or obtain any authorization, consent, or approval of any government or governmental agency in order to enter into
or perform its obligations under this Agreement.

 

Section 4.04        
Brokers’ Fees. Buyer has no liability or obligation to pay any fees or commissions to any broker, finder, or
agent with respect to the transactions contemplated by this Agreement for which Sellers could become liable or obligated.

 

Section 4.05        
No Other Representations and Warranties. Except as set forth in this Agreement, Buyer makes no other representation
or warranty, express or implied, with respect to any of the transactions contemplated by this Agreement, with respect to Buyer,
or with respect to any other matter whatsoever.

 

ARTICLE
5

 

POST-CLOSING COVENANTS

 

Section 5.01        
General. In case at any time after the Closing any further action is necessary to carry out the purposes of this
Agreement, each of the Parties will take such further action (including the execution and delivery of such further instruments
and documents) as the other Party reasonably may request, at the sole cost and expense of the requesting Party (unless the requesting
Party is entitled to indemnification therefore under Article 7 below).

 

Section 5.02        
Litigation Support. In the event and for so long as any Party actively is contesting or defending against any Proceeding
in connection with (i) any transaction contemplated under this Agreement or (ii) any fact, situation, circumstance, status, condition,
activity, practice, plan, occurrence, event, incident, action, failure to act, or transaction on or prior to the Closing Date involving
the Acquired Assets, the other Party will cooperate with the contesting or defending Party and its counsel in the contest or defense,
make available its personnel, and provide such testimony and access to its books and records as shall be necessary in connection
with the contest or defense, all at the sole cost and expense of the contesting or defending Party (unless the contesting or defending
Party is entitled to indemnification therefor under Article 7 below).

 

     

     

    

 

Section 5.03        
Proprietary Information. From and after the Closing, Sellers and OpCenter Owner shall not, either directly or indirectly
(including through an Affiliate), disclose to any third party or make use of (except as required by law or to pursue their rights,
under this Agreement), any information or documents of a confidential nature concerning Sellers, the Acquired Assets or the Buyer
or its business, except to the extent that such information or documents shall have become public knowledge other than through
improper disclosure by Sellers or any of their affiliates.

 

Section 5.04        
Solicitation and Hiring. For a period of three (3) years after the Closing Date, Sellers shall not, either directly
or indirectly (including through an Affiliate), (a) solicit or attempt to induce any employee of buyer to terminate his employment
with Buyer or any Affiliate of Buyer or (b) hire or attempt to hire any employee of Buyer.

 

Section 5.05        
Non-Competition.

 

(a)               
OpCenter and OpCenter Owner, agree that they shall not, beginning on the Closing Date and ending on the tenth anniversary
of the Closing, either directly or indirectly as principal, a stockholder, investor, partner, consultant or otherwise, (i) design,
develop, manufacture, market, sell or license any product or provide any service or engage anywhere in the world in any business
that relates to software for use with respect to craft beer brewers, wine, alcohols, spirits, liquors or fuels or cannabis, (ii)
interfere with, disrupt or attempt to disrupt the relationship, contractual or otherwise, between Buyer and any customer (prospective
or otherwise), supplier, lessee or employee of Buyer involved in or engaged with the operation of the Buyer’s business with
respect to the Acquired Assets.

 

(b)              
SWK agrees that it shall not, beginning on the Closing Date and ending on the fifth anniversary of the Closing, either directly
or indirectly as principal, a stockholder, investor, partner, consultant or otherwise, (i) design, develop, manufacture, market,
sell or license any product or provide any service or engage anywhere in the world in any business that relates to software for
use with respect to craft beer brewers, wine, alcohols, spirits, or liquors, (ii) interfere with, disrupt or attempt to disrupt
the relationship, contractual or otherwise, between Buyer and any customer (prospective or otherwise), supplier, lessee or employee
of Buyer involved in or engaged with the operation of the Buyer’s business with respect to the Acquired Assets.

 

(c)               
Each of Sellers agree that the duration and geographic scope of the non-competition provisions set forth in this Section 5.05
are reasonable. Sellers acknowledge that the remedies at law for breach of the provisions of this Section may be inadequate and
that Buyer may suffer irreparable harm from such a breach. Therefore, in the event of any breach or threatened breach of the provisions
of this Section, Buyer shall be entitled to seek appropriate injunctive relief without the requirement of posting a bond. The foregoing
right shall be in addition to any of the remedies Buyer may have at law or in equity. In the event that any court determines that
the duration or the geographic scope, or both, are unreasonable and that such provision is to that extent unenforceable, the Parties
agree that the provision shall remain in full force and effect for the greatest time period and in the greatest area that would
not render it unenforceable.

 

     

     

    

 

Section 5.06        
Apportionment. If Sellers receive any amounts in payment of obligations owed to Buyer, including, but not limited
to, payments owed to Buyer in respect of the Acquired Assets, then the receiving party shall promptly deliver or pay them over
to Buyer. If Buyer or any of its Affiliates receives any amounts in payment of obligations owed to Sellers or any of their respective
Affiliates then Buyer shall promptly deliver or pay them over to the appropriate party.

 

Section 5.07        
Alternate Forms of Asset Transfer. Buyer shall undertake performance of any obligation contained in the Acquired
Assets, in Sellers’s stead, and, if any such obligation cannot be assigned without the consent of a third party which shall
not have been obtained, Buyer’s undertaking shall constitute a sub-contract of Sellers’s obligation or other kind of
arrangement between Buyer and Sellers, if any, pursuant to which Buyer can undertake such performance (and receive the benefit
thereof) without such third party’s consent; or if no such arrangement shall exist, Buyer shall nonetheless perform such
obligation, unless the third party shall expressly reject Buyer’s performance.

 

Section 5.08        
Certain Tax Considerations

 

(a)               
All transfer, documentary, sales, use, stamp, registration and other such Taxes and fees (including any penalties and interest)
incurred in connection with the sale of the Acquired Assets (including any real property transfer Tax and any similar Tax) shall
be borne and paid by Sellers, when due, and the Sellers will, at its own expense, file all necessary Tax Returns and other documentation
with respect to all such Taxes, fees and charges.

 

(b)              
The Sellers shall take all actions required to comply with all bulk sales laws which may be applicable to the transactions
contemplated herein, including, without limitation, the timely filing of any required Tax Returns.

 

(c)               
For the avoidance of doubt, the Sellers shall be responsible for the filing of all Tax Returns and the payment of all Taxes
(whether or not shown on such returns) with respect to Sellers and the Acquired Assets for all periods up to and including the
Closing.

 

ARTICLE
6

 

CONDITIONS TO OBLIGATION TO CLOSE.

 

Section 6.01        
Conditions to Obligation of Buyer. The obligation of Buyer to consummate the transactions to be performed by it in
connection with the Closing is subject to satisfaction of the following conditions:

 

(a)               
(i) the representations and warranties set forth in Article 3 above, shall be true and correct in all material respects,
and (ii) all agreements and covenants contained in this Agreement shall have been performed or complied with by Sellers, in each
case, at and as of the Closing Date;

 

(b)              
Sellers shall have delivered to Buyer a certificate to the effect that each of the conditions specified above in Section
6.01(a) are satisfied in all respects;

 

(c)               
Sellers shall have delivered to Buyer the bill of sale required under Section 2.06, together with any other instrument of
transfer necessary to convey to Buyer all of the Acquired Assets, which instruments shall be reasonably satisfactory in form and
substance to Buyer;

 

(d)              
there shall not be any injunction, judgment, order, decree, ruling, or charge in effect preventing consummation of any of
the transactions contemplated by this Agreement;

 

     

     

    

 

Buyer may waive any condition specified
in this Section 6.01 if it executes a writing so stating at or prior to the Closing.

 

Section 6.02        
Conditions to Obligation of Sellers. The obligation of Sellers to consummate the transactions to be performed by
it in connection with the Closing is subject to satisfaction of the following conditions:

 

(a)               
(i) the representations and warranties set forth in Article 4 above shall be true and correct in all material respects and
(ii) all agreements and covenants contained in this Agreement shall have been performed or complied with by Buyer, in each case,
at and as of the Closing Date;

 

(b)              
Buyer shall have delivered to Sellers a certificate to the effect that each of the condition specified above in Section
6.02(a) is satisfied in all respects;

 

(c)               
Buyer shall have delivered to Sellers the documents required under Section 2.06, together with any other instruments necessary
to acquire right, title and interest in and to the Acquired Assets, which instruments shall be reasonably satisfactory in form
and substance to Sellers;

 

(d)              
There shall not be any injunction, judgment, order, decree, ruling, or charge in effect preventing consummation of any of
the transactions contemplated by this Agreement.

 

Sellers may waive any condition specified
in this Section 6.02 if it executes a writing so stating at or prior to the Closing.

 

ARTICLE
7

 

REMEDIES FOR BREACHES OF THIS AGREEMENT.

 

Section 7.01        
Survival. Except as otherwise set forth herein, all of the representations, warranties and covenants contained in
this Agreement and the Disclosure Schedule shall survive the Closing and remain in full force and effect until the second anniversary
of the Closing Date.

 

Section 7.02        
Indemnification.

 

(a)               
OpCenter and OpCenter Owner agree, jointly and severally, to indemnify, defend and hold harmless Buyer from and against
any and all Adverse Consequences based upon, arising out of or otherwise in respect of (i) any inaccuracy in or any breach of any
representation, warranty or covenant of OpCenter or OpCenter Owner contained in this Agreement, (ii) any Adverse Consequences Buyer
shall suffer from, or any Third Party Claim, arising out of or in connection with the Acquired Assets prior to the Closing Date.

 

(b)              
SWK agrees to indemnify, defend and hold harmless Buyer from and against any and all Adverse Consequences based upon, arising
out of or otherwise in respect of (i) any inaccuracy in or any breach of any representation, warranty or covenant of SWK contained
in this Agreement, (ii) any Adverse Consequences Buyer shall suffer from, or any Third Party Claim, arising out of or in connection
with the Acquired Assets prior to the Closing Date.

 

(c)               
Buyer agrees to indemnify, defend and hold harmless from and against any and all Adverse Consequences based upon, arising
out of or otherwise in respect of (i) any inaccuracy in or any breach of any representation, warranty or covenant of Buyer contained
in this Agreement, and (ii) any Adverse Consequences Sellers shall suffer from, or any Third Party Claim, arising out of or in
connection with the Acquired Assets after the Closing Date.

 

     

     

    

 

(d)              
The obligations to indemnify and hold harmless pursuant to paragraphs (a), (b) and (b) of this Section 7.02 shall survive
the consummation of the transactions contemplated hereby for the period set forth in Section 7.01, except for claims for indemnification
asserted prior to the end of such period, which claims shall survive until final resolution thereof.

 

(e)               
Each of the Parties agree that any legal fees and expenses that result from a meritorious claim made under this Article
7 shall be paid by the Indemnifying Party.

 

Section 7.03        
Matters Involving Third Parties.

 

(a)               
If any Party entitled to be indemnified pursuant to Section 7.02 (an “Indemnified Party”) receives notice
of the assertion of any claim in respect of Adverse Consequences (a “Third Party Claim”), such Indemnified Party
shall give the party who may become obligated to provide indemnification hereunder (the “Indemnifying Party”)
written notice describing such claim or fact in reasonable detail (the “Notice of Claim”) promptly (and in any
event within ten (10) Business Days after receiving any written notice from a third party). The failure by the Indemnified Party
to timely provide a Notice of Claim to the Indemnifying Party shall not relieve the Indemnifying Party of any liability, except
to the extent that the Indemnifying Party is prejudiced by the Indemnified Party’s failure to provide timely notice hereunder.

 

(b)              
In the event any Indemnifying Party notifies the Indemnified Party within ten (10) Business Days after the Indemnified Party
has provided a Notice of Claim that the Indemnifying Party is assuming the defense thereof: (i) the Indemnifying Party will defend
the Indemnified Party against the matter with counsel of its choice, subject to the consent of the Indemnified Party; (ii) the
Indemnified Party may retain separate co-counsel at its sole cost and expense (except that the Indemnifying Party will be responsible
for the fees and expenses of the separate co-counsel to the extent the Indemnified Party reasonably concludes that the counsel
the Indemnifying Party has selected has a conflict of interest); (iii) the Indemnified Party will not consent to the entry of any
judgment or enter into any settlement with respect to the matter without the written consent of the Indemnifying Party; and (iv)
the Indemnifying Party will not consent to the entry of any judgment with respect to the matter, or enter into any settlement which
does not include a provision whereby the plaintiff or claimant in the matter releases the Indemnified Party from all liability
with respect thereto.

 

(c)               
In the event the Indemnifying Party does not notify the Indemnified Party within ten (10) Business Days after the Indemnified
Party provides the Indemnifying Party with a Notice of Claim that the Indemnifying Party is assuming the defense thereof, then
the Indemnified Party shall have the right, subject to the provisions of this Article, to undertake the defense, compromise or
settlement of such claim for the account of the Indemnifying Party. Unless and until the Indemnifying Party assumes the defense
of any claim, the Indemnifying Party shall advance to the Indemnified Party any of its reasonable attorneys’ fees and other
costs and expenses incurred in connection with the defense of any such action or proceeding. Each Indemnified Party shall agree
in writing prior to any such advance that, in the event it receives any such advance, such Indemnified Party shall reimburse the
Indemnifying Party for such fees, costs and expenses to the extent that it shall be determined that it was not entitled to indemnification
under this Article 7.

 

(d)               
In the event that the Indemnifying Party undertakes the defense of any claim, the Indemnifying Party will keep the Indemnified
Party advised as to all material developments in connection with such claim, including, but not limited to, promptly furnishing
the Indemnified Party with copies of all material documents filed or served in connection therewith.

 

     

     

    

 

ARTICLE
8

 

EMPLOYEES OF SELLERS

 

Section 8.01        
No Obligations to Employees. Except as provided in this Agreement, Sellers shall be solely responsible for all obligations
it may have with respect to all Employees of Sellers, and Buyer shall not assume Sellers’s obligations with respect to Sellers's
Employees.

 

Section 8.02        
Commission Payments Owed By Sellers. Buyer shall not be responsible for any outstanding commission payments due to
Employees for the period prior to the Closing Date and/or other sales made by the Employees on or prior to the Closing Date. Sellers
represents and agrees that the payment of such commissions is an obligation of Sellers. Sellers further represents that it shall,
on the Closing Date, pay Employees any and all outstanding commission amounts due.

 

ARTICLE
9

 

MISCELLANEOUS.

 

Section 9.01        
Press Releases and Public Announcements. Commencing on the Closing Date, Buyer or Seller may issue any press release
or make any public announcement relating to the subject matter of this Agreement. Each Party agrees to collaborate with the other
Party in the preparation and editing of any press release prior to the time of its release

 

Section 9.02        
No Third-Party Beneficiaries. This Agreement shall not confer any rights or remedies upon any Person other than the
Parties, the Indemnified Parties and their respective successors and permitted assigns.

 

Section 9.03        
Entire Agreement. This Agreement (including the documents referred to herein) constitutes the entire agreement between
the Parties and supersedes any prior understandings, agreements, or representations by or between the Parties, written or oral,
to the extent they related in any way to the subject matter hereof.

 

Section 9.04        
Succession and Assignment. This Agreement shall be binding upon and inure to the benefit of the Parties named herein
and their respective successors and permitted assigns. No Party may assign either this Agreement or any of its rights, interests,
or obligations hereunder without the prior written approval of the other Party; provided, however, that Buyer may (i) assign
any or all of its rights and interests hereunder to one or more of its Affiliates and (ii) designate one or more of its Affiliates
to perform its obligations hereunder (in any or all of which cases Buyer nonetheless shall remain responsible for the performance
of all of its obligations hereunder).

 

Section 9.05        
Counterparts. This Agreement may be executed in one or more counterparts, each of which shall be deemed an original
but all of which together will constitute one and the same instrument.

 

Section 9.06        
Headings. The section headings contained in this Agreement are inserted for convenience only and shall not affect
in any way the meaning or interpretation of this Agreement.

 

Section 9.07        
Notices. Any notice or other communications hereunder must be in writing and shall be deemed to have been duly given
and received on the day on which it is served by personal delivery upon the party for whom it is intended, on the third Business
Day after it is mailed by registered or certified mail, return receipt requested, on the Business Day after it is delivered to
a national courier service addressed to the party for whom it is intended:

 

     

     

    

 

To Sellers:

 

SWK Technologies, Inc.

5 Regent Street, Suite 520

Livingston, New Jersey 07039

Attention: Jeffrey Roth

 

OpCenter LLC

178 Windsor Place

Madison, NJ 07940

Attention: Hart Singh

 

With copies to:

 

Lucosky Brookman, LLP

33 Wood Avenue South, 6th Floor

Iselin, New Jersey 08830

Attention: Joseph M. Lucosky, Esq.

 

To Buyer:

 

PAID Run, LLC

200 Friberg Parkway

Westborough, Massachusetts 01581

Attention: Austin Lewis

 

With copies to:

 

Michael A. Refolo, Esq.

Mirick O’Connell

100 Front Street

Worcester, MA 01608

 

 

Section 9.08        
Governing Law.

 

(a)               
This Agreement shall be governed by and construed in accordance with the domestic laws of the State of New Jersey without
giving effect to any choice or conflict of law provision or rule (whether of the State of New Jersey or any other jurisdiction)
that would cause the application of the laws of any jurisdiction other than the State of New Jersey.

 

(b)              
Any judicial proceeding brought with respect to this Agreement must be brought in the United States District Court in the
State of New Jersey or any court of competent jurisdiction in the State of New Jersey located in Essex County, and, each party:
(i) accepts unconditionally, the exclusive jurisdiction of such courts and any related appellate court, and agrees to be bound
by any final, non-appealable judgment rendered thereby in connection with this Agreement; and (ii) irrevocably waives any objection
it may now or hereafter have as to the venue of any such suit, action or proceeding brought in such a court or that such court
is an inconvenient forum; provided, however, that such consent to jurisdiction is solely for the purpose referred
to in this Section and shall not be deemed to be a general submission to the jurisdiction of said Courts or the State of New Jersey
other than for such purpose.

 

     

     

    

 

(c)               
THE PARTIES HEREBY WAIVE TRIAL BY JURY IN ANY JUDICIAL PROCEEDING TO WHICH THEY ARE PARTIES INVOLVING, DIRECTLY OR INDIRECTLY,
ANY MATTER ARISING OUT OF, RELATED TO OR IN CONNECTION WITH THIS AGREEMENT.

 

Section 9.09        
Amendments and Waivers. No amendment of any provision of this Agreement shall be valid unless the same shall be in
writing and signed by Buyer and Sellers. No waiver by any Party of any provision of this Agreement or any default, misrepresentation,
or breach of warranty or covenant hereunder, whether intentional or not, shall be valid unless the same shall be in writing and
signed by the Party making such waiver nor shall such waiver be deemed to extend to any prior or subsequent default, misrepresentation,
or breach of warranty or covenant hereunder or affect in any way any rights arising by virtue of any prior or subsequent such occurrence.

 

Section 9.10        
Severability. Any term or provision of this Agreement that is invalid or unenforceable in any situation in any jurisdiction
shall not affect the validity or enforceability of the remaining terms and provisions hereof or the validity or enforceability
of the offending term or provision in any other situation or in any other jurisdiction.

 

Section 9.11        
Expenses. Each of Sellers and Buyer will bear its own costs and expenses (including legal fees and expenses) incurred
in connection with this Agreement and the transactions contemplated hereby.

 

Section 9.12        
Construction. Any reference to any federal, state, local, or foreign statute or law shall be deemed also to refer
to all rules and regulations promulgated thereunder, unless the context requires otherwise. The word “including” shall
mean including without limitation. The words “hereof”, “herein” and “hereunder” and words of
similar import, when used in this Agreement, shall refer to this Agreement as a whole and not to any particular provision of this
Agreement. Personal pronouns, when used in this Agreement, whether in the masculine, feminine or neuter gender, shall include all
other genders, and the singular, shall include the plural, and vice versa.

 

Section 9.13        
Incorporation of Exhibits and Schedules. The Exhibits and Schedules identified in this Agreement are incorporated
herein by reference and made a part hereof.

 

Section 9.14        
No Breach of Fiduciary Duty Required. Nothing in this Agreement shall require, or be construed to require Sellers
to take any action or omit to take any action that would be a breach of its fiduciary duties under any agreement to which it is
a party or under Applicable Law or which would otherwise be contrary to applicable law. Without limiting the generality of the
foregoing, nothing herein shall require Sellers to exercise its discretion to provide any consent or other authorization on behalf
of any other Person for which it acts in a fiduciary capacity if such consent or authorization is within its discretion in such
fiduciary capacity. The Parties shall cooperate in good faith to avoid any such breach of fiduciary duties or applicable laws while
preserving the overall economic terms of this Agreement and the benefits intended to be provided to the respective Parties hereunder.

 

     

     

    

 

IN WITNESS WHEREOF, the Parties hereto have
executed this Agreement on as of the date first above written.

 

	 	SWK TECHNOLOGIES, INC.
	 	 	 
	 	By:	/s/ Jeffrey Roth
	 	 	Jeffrey Roth
	 	 	Chief Executive Officer
	 	 	 
	 	OPCENTER LIMITED LIABILITY COMPANY
	 	 	 
	 	By:	/s/ Hart Singh
	 	 	Hart Singh
	 	 	Chief Executive Officer
	 	 	 
	 	/s/ Hart Singh
	 	Hart Singh
	 	 	 
	 	PAID RUN, LLC
	 	 	 
	 	By:	/s/ W. Austin Lewis IV
	 	 	W. Austin Lewis IV
	 	 	Manager

 

     

     

    

 

EXHIBIT 2.02

 

Allocation of Purchase Price to Sellers

 

	SWK Technologies, Inc. –  	$134,000
	 	 
	OpCenter LLC – 	$151,000

 

     

     

    

 

EXHIBIT 2.06

 

BILL OF SALE

AND

ASSIGNMENT OF CONTRACTS AND CONTRACT RIGHTS AND OTHER GENERAL INTANGIBLES

 

This Bill of Sale and Assignment of Contracts
and Contract Rights and Other General Intangibles is executed as of October ___, 2015, and is being delivered in connection with
and pursuant to the terms of that certain Asset Purchase Agreement, dated as of the date hereof (the “Agreement”),
by and among SWK TECHNOLOGIES, INC., a Delaware corporation, located at 5 Regent Street, Suite 520, Livingston, NJ 07039, OpCenter
Limited Liability Company, 178 Windsor Place, Madison, NJ 07940, a New Jersey limited liability company (collectively, the “Sellers”),
Hart Singh (the “OpCenter Owner”), and PAID RUN, LLC, a Massachusetts limited liability company, located at 200 Friberg
Parkway, Westborough, Massachusetts 01581 (“Buyer”). Capitalized terms used but not defined herein shall have
the meanings given to such terms in the Agreement.

 

For valuable consideration as set forth
in the Agreement, receipt of which is hereby acknowledged, subject to the terms and conditions of the Agreement (1) Seller does
hereby sell, assign, transfer, convey and deliver to Buyer, the entire right, title and interest of Seller in and to the Acquired
Assets (which shall not include the Excluded Assets), including the Client Lists, the Contracts, the Intellectual Property and
all rights related thereto; and (2) The delivery and execution of this Bill of Sale and Assignment of Contracts and Contract Rights
and Other General Intangibles shall not alter, in any manner, any of the rights or obligations of the parties to the Agreement
as set forth therein. This Bill of Sale and Assignment of Contracts and Contract Rights and Other General Intangibles shall be
governed in accordance with the laws of the State of New Jersey.

 

	 	SWK TECHNOLOGIES, INC.
	 	 	 
	 	By:	 
	 	 	Jeffrey Roth
	 	 	Chief Executive Officer
	 	 	 
	 	OPCENTER LIMITED LIABILITY COMPANY
	 	 	 
	 	By: 	 
	 	 	Hart Singh
	 	 	Chief Executive Officer

 

     

     

    

 

EXHIBIT B

 

FORM OF CONSULTING AGREEMENT WITH OpCENTER
LLC

  

This Agreement is entered into this 7th day of October
2015 by and between

 

Paid Run, LLC with office at 200 Friberg Parkway, Suite 4004,
Westborough, MA 01581 or its assigns, {hereinafter “PAID RUN”} and OpCenter LLC with office at 178 Windsor Pl., Madison
NJ 07940 {hereinafter “OpCenter”

 

WHEREAS PAID RUN intends to acquire the rights to BeerRun and
SpiritRun from OpCenter and SWK, expected to close Oct 1, 2015;

 

AND WHEREAS PAID RUN would like to ensure the continued involvement
of OpCenter to continue to architect and grow the product as per PAID’s strategy;

 

AND WHEREAS OpCenter has indicated its willingness to perform
this role

 

THEREFORE BOTH PARTIES AGREE AS FOLLOWS:

 

		1.	PAID will Pay OpCenter $220.00/hr for consultation as and when needed.

		2.	BeerRun-related billing will only start on Jan 1, 2016.

		3.	payment will be in advance for 5-hour blocks i.e. $1100.00 at a time.

		4.	Payment is to be wired to OpCenter LLC, Citibank.

		5.	Sunny Suggs, or a single Point of Contact based on mutual agreement will be the Administrator.

		6.	The Administrator is responsible for coordinating with
whoever is asking for consultation, specifying scope of work and tracking time.

		7.	As soon as the advance is depleted, it needs to be replenished
before work can continue.

		8.	All travel and similar expenses must be preapproved by
PAID RUN.

 

 

Assignment: OpCenter hereby assigns ownership of any work product,
including any intellectual property, created for PAID RUN pursuant to this Agreement, to PAID RUN, and OpCenter shall cause any
developer to assign to PAID RUN any all work product, including any intellectual property, produced pursuant to this agreement
as a work made for hire or otherwise pursuant to an assignment.

 

	Agreed to at Madison, NJ	 	 
	 	 	 
	PAID RUN, LLC	 	OpCenter Limited Liability Company
	 	 	 
	By:  	 	 	By:  	 
	 	 	 
	W. Austin Lewis IV, Manager	 	Hart Singh
	 	 	 
	Manager	 	President

 

     

     

    

 

EXHIBIT B1

 

FORM OF CONSULTING AGREEMENT WITH TECHNIFY,
INC.

 

This Agreement is entered into this 7th day of October
2015 by and between

 

Paid Run LLC with office at 200 Friberg Parkway, Suite 4004,
Westborough, MA 01581 or its assigns, {hereinafter “PAID”} and Technify Software Development Co. with office at 50
Surya Avenue, Nr. Kurinji Nagar, Opp Vels University, Chromepet, Chennai Tamil Nadu 600044 India {hereinafter “Technify”

 

WHEREAS PAID intends to acquire the Intellectual Property rights
to BeerRun and SpiritRun from OpCenter and SWK, expected to close Oct 1, 2015

 

AND WHEREAS Technify is the party that developed the BeerRun
code, supports the customers through a ticketing system, and continues to make improvements to the BeerRun product

 

AND WHEREAS PAID would like to ensure the continued involvement
of Technify to continue to support BeerRun customers through the same systems and processes it is using today, to maintain the
code and perform improvements as per road map and PAID’s strategy.

 

AND WHEREAS Technify has indicated its willingness to perform
this role for BeerRun only

 

THEREFORE BOTH PARTIES AGREE AS FOLLOWS:

 

		1.	PAID hereby retains Technify to provide these services for a period of one year, with an annual option to renew at a rate that
will increase by no more than 10% annually;

 

		2.	This covers the cost of two dedicated developers who will perform the above services;

 

		3.	PAID will pay Technify $5,000.00 per month for said services for the first year;

 

		4.	Technify will provide PAID a monthly statement of hours worked on both BeerRun and SpiritRun;

 

		5.	Either party may choose to not renew this Agreement by providing a 60 day written notice to the other party of cancellation;

 

		6.	Payment will be made by wire, without recourse or invoicing or further action by Technify;

 

		7.	Payment will be made in advance for the month to reach Technify’s bank latest by 9th of the month starting
from Oct. 2015.

 

SpiritRun:

 

		1.	SpiritRun is currently live with one customer who will continue to be supported as part of this Agreement.

 

		2.	As and when more customers are added, Technify will allocate a 2-person team for the purpose.

 

		3.	PAID and Technify will enter into a separate Agreement.

 

     

     

    

 

Assignment: Technify hereby assigns ownership of any work product,
including any intellectual property, created for PAID RUN pursuant to this Agreement, to PAID RUN, and Technify shall cause any
developer to assign to PAID RUN any all work product, including any intellectual property, produced pursuant to this agreement
as a work made for hire or otherwise pursuant to an assignment.

 

	PAID RUN, LLC	 	Technify Software Development Co.
	 	 	 
	By:  	 	 	By:  	 
	 	 	 
	Austin Lewis	 	V Balasubramanian
	 	 	 
	President & CEO	 	Sole ProprietorExhibit 10.8

EQUITY PURCHASE AGREEMENT

 

 

BY AND BETWEEN

 

 

AURASOURCE, INC.

 

 

AND

 

 

SOUTHRIDGE PARTNERS II LP

 

 

Dated

 

 

September __, 2015

 

 

 

    	 

    	 

    

THIS EQUITY PURCHASE AGREEMENT entered into
as of the 15th day of September, 2015 (this "AGREEMENT"), by and between SOUTHRIDGE PARTNERS
II LP, a Delaware limited partnership ("INVESTOR"), and AURASOURCE, INC., a Nevada corporation (the "COMPANY").

 

WHEREAS, the parties desire
that, upon the terms and subject to the conditions contained herein, the Company shall issue and sell to Investor, from time to
time as provided herein, and Investor shall purchase up to Five Million Dollars ($5,000,000) of the Company’s Common Stock
(as defined below); and

 

NOW, THEREFORE, the parties
hereto agree as follows:

 

ARTICLE I

CERTAIN DEFINITIONS

 

Section 1.1 DEFINED TERMS as used in
this Agreement, the following terms shall have the following meanings specified or indicated (such meanings to be equally applicable
to both the singular and plural forms of the terms defined)

 

"AGREEMENT" shall
have the meaning specified in the preamble hereof.

 

"BY-LAWS" shall
have the meaning specified in Section 4.7.

 

"CLAIM NOTICE"
shall have the meaning specified in Section 9.3(a).

 

“CLEARING DATE”
shall be the date in which the Estimated Put Shares (as defined in Section 2.2(a)) have been deposited into the Investor’s
brokerage account..

 

"CLOSING" shall
mean one of the closings of a purchase and sale of shares of Common Stock pursuant to Section 2.3.

 

"CLOSING CERTIFICATE"
shall mean the closing certificate of the Company in the form of Exhibit B hereto.

 

"CLOSING PRICE"
shall mean the closing bid price for the Company’s common stock on the Principal Market on a Trading Day as reported by Bloomberg
Finance L.P.

 

"COMMITMENT PERIOD"
shall mean the period commencing on the Effective Date, and ending on the earlier of (i) the date on which Investor shall have
purchased Put Shares pursuant to this Agreement for an aggregate Purchase Price of the Maximum Commitment Amount, or (ii) the date
occurring twenty four (24) months from the date of commencement of the Commitment Period.

 

"COMMON STOCK"
shall mean the Company's common stock, $0.01 par value per share, and any shares of any other class of common stock whether now
or hereafter authorized, having the right to participate in the distribution of dividends (as and when declared) and assets (upon
liquidation of the Company).

 

"COMMON STOCK EQUIVALENTS"
shall mean any securities that are convertible into or exchangeable for Common Stock or any options or other rights to subscribe
for or purchase Common Stock or any such convertible or exchangeable securities.

 

"COMPANY" shall
have the meaning specified in the preamble to this Agreement.

 

"DAMAGES" shall
mean any loss, claim, damage, liability, cost and expense (including, without limitation, reasonable attorneys' fees and disbursements
and costs and expenses of expert witnesses and investigation).

 

"DISPUTE PERIOD"
shall have the meaning specified in Section 9.3(a).

 

"DOLLAR VOLUME"
shall mean the product of (a) the Closing Price multiplied by (b) the trading volume on the Principal Market on a Trading Day.

 

"DTC" shall have
the meaning specified in Section 2.3.

 

"DWAC" shall
have the meaning specified in Section 2.3.

 

"EFFECTIVE DATE"
shall mean the date that the Registration Statement is declared effective by the SEC.

 

“ESTIMATED PUT SHARES”
shall have the meaning specified in Section 2.2(a)

 

"EXCHANGE ACT"
shall mean the Securities Exchange Act of 1934 and the rules and regulations promulgated thereunder.

 

"FAST" shall
have the meaning specified in Section 2.3.

 

"FINRA" shall
mean the Financial Industry Regulatory Authority, Inc.

 

“FLOOR PRICE”
shall have the meaning specified in Section 2.2(c).

 

"INDEMNIFIED PARTY"
shall have the meaning specified in Section 9.3(a).

 

"INDEMNIFYING PARTY"
shall have the meaning specified in Section 9.3(a).

 

"INDEMNITY NOTICE"
shall have the meaning specified in Section 9.3(b).

 

"INVESTMENT AMOUNT"
shall mean the dollar amount to be invested by Investor to purchase Put Shares with respect to any Put as notified by the Company
to Investor in accordance with Section 2.2.

 

"INVESTOR" shall
have the meaning specified in the preamble to this Agreement.

 

"LEGEND" shall
have the meaning specified in Section 8.1.

 

"MARKET PRICE"
shall mean the lowest Closing Price on the Principal Market for any Trading Day during the Valuation Period, as reported by Bloomberg
Finance L.P.

 

"MATERIAL ADVERSE
EFFECT" shall mean any effect on the business, operations, properties, or financial condition of the Company that is material
and adverse to the Company and/or any condition, circumstance, or situation that would prohibit or otherwise materially interfere
with the ability of the Company to enter into and perform its obligations under any of this Agreement.

 

"MAXIMUM COMMITMENT
AMOUNT" shall mean Five Million Dollars ($5,000,000).

 

“PAR VALUE PAYMENT”
shall have the meaning specified in Section 2.2(a).

 

"PERSON" shall
mean an individual, a corporation, a partnership, an association, a trust or other entity or organization, including a government
or political subdivision or an agency or instrumentality thereof.

 

"PRINCIPAL MARKET"
shall mean any of the national exchanges (i.e. NYSE, NYSE AMEX, Nasdaq), OTCQX, the OTC Bulletin Board, or other principal exchange
which is at the time the principal trading exchange or market for the Common Stock.

 

"PURCHASE PRICE"
shall mean 90% of the Market Price on such date on which the Purchase Price is calculated in accordance with the terms and conditions
of this Agreement.

 

"PUT" shall mean
the right of the Company to require the Investor to purchase shares of Common Stock, subject to the terms and conditions of this
Agreement.

 

"PUT DATE" shall
mean any Trading Day during the Commitment Period that a Put Notice is deemed delivered pursuant to Section 2.2(b).

 

"PUT NOTICE"
shall mean a written notice, substantially in the form of Exhibit A hereto, to Investor setting forth the Investment Amount with
respect to which the Company intends to require Investor to purchase shares of Common Stock pursuant to the terms of this Agreement.

 

"PUT SHARES"
shall mean all shares of Common Stock issued or issuable pursuant to a Put that has been exercised or may be exercised in accordance
with the terms and conditions of this Agreement.

 

"REGISTERED SECURITIES"
shall mean the (a) Put Shares, and (b) any securities issued or issuable with respect to any of the foregoing by way of exchange,
stock dividend or stock split or in connection with a combination of shares, recapitalization, merger, consolidation or other reorganization
or otherwise. As to any particular Registered Securities, once issued such securities shall cease to be Registrable Securities
when (i) a Registration Statement has been declared effective by the SEC and such Registrable Securities have been disposed of
pursuant to a Registration Statement, (ii) such Registrable Securities have been sold under circumstances under which all of the
applicable conditions of Rule 144 are met, (iii) such time as such Registrable Securities have been otherwise transferred to holders
who may trade such shares without restriction under the Securities Act or (iv) in the opinion of counsel to the Company, which
counsel shall be reasonably acceptable to Investor, such Registrable Securities may be sold without registration under the Securities
Act or the need for an exemption from any such registration requirements and without any time, volume or manner limitations pursuant
to Rule 144(b)(i) (or any similar provision then in effect) under the Securities Act.

 

"REGISTRATION STATEMENT" shall
mean the Company’s effective registration statement on file with the SEC, and any follow up registration statement or amendment
thereto.

 

"REGULATION D"
shall mean Regulation D promulgated under the Securities Act.

 

"RULE 144" shall
mean Rule 144 under the Securities Act or any similar provision then in force under the Securities Act.

 

"SEC" shall mean
the Securities and Exchange Commission.

 

"SECURITIES ACT"
shall have the meaning specified in the recitals of this Agreement.

 

"SEC DOCUMENTS"
shall mean, as of a particular date, all reports and other documents filed by the Company pursuant to Section 13(a) or 15(d) of
the Exchange Act since the end of the Company's then most recently completed and reported fiscal year as of the time in question
(provided that if the date in question is within ninety days of the beginning of the Company's fiscal year, the term shall include
all documents filed since the beginning of the preceding fiscal year).

 

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

 

"SUBSCRIPTION DATE"
shall mean the date on which this Agreement is executed and delivered by the Company and Investor.

 

"THIRD PARTY CLAIM"
shall have the meaning specified in Section 9.3(a).

 

“TRADING DAY” shall mean a day on
which the Principal Market shall be open for business.

 

“TRANSACTION DOCUMENTS”
shall mean this Agreement and the Registration Rights Agreement.

 

"TRANSFER AGENT"
shall mean the transfer agent for the Common Stock (and to any substitute or replacement transfer agent for the Common Stock upon
the Company's appointment of any such substitute or replacement transfer agent).

 

"UNDERWRITER"
shall mean any underwriter participating in any disposition of the Registered Securities on behalf of Investor pursuant to the
Registration Statement.

 

"VALUATION EVENT"
shall mean an event in which the Company at any time during a Valuation Period takes any of the following actions:

 

(a) subdivides or combines the Common
Stock;

 

(b)pays a dividend in shares of Common
Stock or makes any other distribution of shares of Common Stock, except for dividends paid with respect to any series of preferred
stock authorized by the Company, whether existing now or in the future;

 

(c) issues any options or other rights
to subscribe for or purchase shares of Common Stock other than pursuant to this Agreement, and other than options or stock grants
issued or issuable to directors, officers and employees pursuant to a stock option program, whereby the price per share for which
shares of Common Stock may at any time thereafter be issuable pursuant to such options or other rights shall be less than the Closing
Price in effect immediately prior to such issuance;

 

(d)issues any securities convertible
into or exchangeable for shares of Common Stock and the consideration per share for which shares of Common Stock may at any time
thereafter be issuable pursuant to the terms of such convertible or exchangeable securities shall be less than the Closing Price
in effect immediately prior to such issuance;

 

(e) issues shares of Common Stock otherwise
than as provided in the foregoing subsections (a) through (d), at a price per share less, or for other consideration lower, than
the Closing Price in effect immediately prior to such issuance, or without consideration; or

 

(f)makes a distribution of its assets
or evidences of indebtedness to the holders of Common Stock as a dividend in liquidation or by way of return of capital or other
than as a dividend payable out of earnings or surplus legally available for dividends under applicable law or any distribution
to such holders made in respect of the sale of all or substantially all of the Company's assets (other than under the circumstances
provided for in the foregoing subsections (a) through (e).

			

"VALUATION PERIOD"
shall mean the period of ten (10) Trading Days immediately following the Clearing Date associated with the applicable Put Notice
during which the Purchase Price of the Common Stock is valued; provided, however, that if a Valuation Event occurs during any Valuation
Period, a new Valuation Period shall begin on the Trading Day immediately after the occurrence of such Valuation Event and end
on the tenth (10th) Trading Day thereafter. Investor shall notify the Company in writing of the occurrence of the Clearing
Date associated with a Put Notice. The Valuation Period shall begin the first Trading Day following such written notice from Investor.

 

 

ARTICLE II

PURCHASE AND SALE OF COMMON STOCK

 

Section 2.1 INVESTMENTS.

 

(a)PUTS. Upon the terms and conditions
set forth herein (including, without limitation, the provisions of Article VII), on any Put Date the Company may exercise a Put
by the delivery of a Put Notice. The number of Put Shares that Investor shall purchase pursuant to such Put shall be determined
by dividing the Investment Amount specified in the Put Notice by the Purchase Price with respect to such Put Notice.

 

(b) PROMISSORY NOTE. As a condition
for the execution of this Agreement by the Investor, the Company shall issue to the Investor a 10% promissory note in the principal
amount equal to $15,000.00 (the “Note”) on the Subscription Date. The Note shall have no registration rights.

 

 

 

Section 2.2 MECHANICS.

 

(a)PUT NOTICE. At any time and from
time to time during the Commitment Period, the Company may deliver a Put Notice to Investor, subject to the conditions set forth
in Section 7.2; provided, however, that the Investment Amount identified in the applicable Put Notice, when taken together with
all prior Put Notices, shall not exceed the Maximum Commitment Amount. On the Put Date the Company shall deliver to Investor’s
brokerage account estimated put shares equal to the Investment Amount indicated in the Put Notice divided by the Closing Price
on the Trading Day immediately preceding the Put Date, multiplied by one hundred twenty five percent (125%) (the “Estimated
Put Shares”). On the Trading Date immediately following delivery of the Estimated Put Shares, Investor shall deliver payment
by check or wire transfer to the Company an amount equal to the par value of the Estimated Put Shares (“Par Value Payment”).

 

(b)DATE OF DELIVERY OF PUT NOTICE.
A Put Notice shall be deemed delivered on (i) the Trading Day it is received by facsimile or otherwise by Investor if such notice
is received on or prior to 12:00 noon New York time, or (ii) the immediately succeeding Trading Day if it is received by facsimile
or otherwise after 12:00 noon New York time on a Trading Day or at any time on a day which is not a Trading Day.

 

(c) FLOOR PRICE. In the
event that, during a Valuation Period, the Closing Price on any Trading Day falls to a price equal to seventy five percent (75%)
of the average of the closing bid prices for the ten (10) trading days immediately preceding the date of the Company’s Put
Notice (a “Low Bid Price”), then for each such Trading Day, the parties shall have no right to sell and shall be under
no obligation to purchase one tenth (1/10th) of the Investment Amount specified in the Put Notice, and the Investment Amount shall
accordingly be deemed reduced by such amount. In the event that during a Valuation Period there exists a Low Bid Price for any
three (3) Trading Days—not necessarily consecutive—then the balance of each party’s right and obligation to sell
and purchase the Investment Amount under such Put Notice shall terminate on such second Trading Day (“Termination Day”),
and the Investment Amount shall be adjusted to include only one-tenth (1/10th) of the initial Investment Amount for
each Trading Day during the Valuation Period prior to the Termination Day that the Bid Price equals or exceeds the Low Bid Price.

 

Section 2.3CLOSINGS. At the end of
the Valuation Period the Purchase Price shall be established and the number of Put Shares shall be determined for a particular
Put. If the number of Estimated Put Shares initially delivered to Investor is greater than the Put Shares purchased by Investor
pursuant to such Put, then immediately after the Valuation Period the Investor shall deliver to Company any excess Estimated Put
Shares associated with such Put. If the number of Estimated Put Shares delivered to Investor is less than the Put Shares purchased
by Investor pursuant to a Put, then immediately after the Valuation Period the Company shall deliver to Investor the difference
between the Estimated Put Shares and the Put Shares issuable pursuant to such Put. The Closing of a Put shall occur upon the first
Trading Day following the completion of the Valuation Period, whereby Investor shall deliver the Investment Amount specified in
the Put Notice, less the Par Value Payment, by wire transfer of immediately available funds to an account designated by the Company.
In lieu of delivering physical certificates representing the Common Stock issuable in accordance with clause (a) of this Section
2.3, and provided that the Transfer Agent then is participating in the Depository Trust Company ("DTC") Fast Automated
Securities Transfer ("FAST") program, upon request of Investor, but subject to the applicable provisions of Article VIII
hereof, the Company shall use its commercially reasonable efforts to cause the Transfer Agent to electronically transmit, prior
to the applicable Closing Date, the applicable Put Shares by crediting the account of the Investor's prime broker with DTC through
its Deposit Withdrawal Agent Commission ("DWAC") system, and provide proof satisfactory to the Investor of such delivery.
In addition, on or prior to such Closing Date, each of the Company and Investor shall deliver to each other all documents, instruments
and writings required to be delivered or reasonably requested by either of them pursuant to this Agreement in order to implement
and effect the transactions contemplated herein.

 

 

ARTICLE III

REPRESENTATIONS AND WARRANTIES OF INVESTOR

 

Investor represents and
warrants to the Company that:

 

Section 3.1INTENT. Investor is entering
into this Agreement for its own account and Investor has no present arrangement (whether or not legally binding) at any time to
sell the Registered Securities to or through any person or entity; provided, however, that Investor reserves the right to dispose
of the Registered Securities at any time in accordance with federal and state securities laws applicable to such disposition.

 

Section 3.2NO LEGAL ADVICE FROM THE
COMPANY. The Investor acknowledges that it has had the opportunity to review this Agreement and the transactions contemplated by
this Agreement with its own legal counsel and investment and tax advisors. The Investor is relying solely on such counsel and advisors
and not on any statements or representations of the Company or any of its representatives or agents for legal, tax or investment
advice with respect to this investment, the transactions contemplated by this Agreement or the securities laws of any jurisdiction.

 

Section 3.3SOPHISTICATED INVESTOR.
Investor is a sophisticated investor (as described in Rule 506(b)(2)(ii) of Regulation D) and an accredited investor (as defined
in Rule 501 of Regulation D), and Investor has such experience in business and financial matters that it is capable of evaluating
the merits and risks of an investment in the Registered Securities. Investor acknowledges that an investment in the Registered
Securities is speculative and involves a high degree of risk.

 

Section 3.4AUTHORITY. (a) Investor
has the requisite power and authority to enter into and perform its obligations under this Agreement and the transactions contemplated
hereby in accordance with its terms; (b) the execution and delivery of this Agreement and the consummation by it of the transactions
contemplated hereby and thereby have been duly authorized by all necessary action and no further consent or authorization of Investor
or its partners is required; and (c) this Agreement has been duly authorized and validly executed and delivered by Investor and
constitutes a valid and binding obligation of Investor enforceable against it in accordance with its terms, subject to applicable
bankruptcy, insolvency, or similar laws relating to, or affecting generally the enforcement of, creditors' rights and remedies
or by other equitable principles of general application.

 

Section 3.5NOT AN AFFILIATE. Investor
is not an officer, director or "affiliate" (as that term is defined in Rule 405 of the Securities Act) of the Company.

 

Section 3.6 ORGANIZATION AND STANDING.
Investor is a limited partnership duly organized, validly existing and in good standing under the laws of the State of Delaware
and has all requisite power and authority to own, lease and operate its properties and to carry on its business as now being conducted.
Investor is duly qualified and in good standing in every jurisdiction in which the nature of the business conducted or property
owned by it makes such qualification necessary, other than those in which the failure so to qualify would not have a material adverse
effect on Investor.

 

Section 3.7ABSENCE OF CONFLICTS. The
execution and delivery of this Agreement and any other document or instrument contemplated hereby, and the consummation of the
transactions contemplated hereby and thereby, and compliance with the requirements hereof and thereof, will not (a) violate any
law, rule, regulation, order, writ, judgment, injunction, decree or award binding on Investor, (b) violate any provision of any
indenture, instrument or agreement to which Investor is a party or is subject, or by which Investor or any of its assets is bound,
or conflict with or constitute a material default thereunder, (c) result in the creation or imposition of any lien pursuant to
the terms of any such indenture, instrument or agreement, or constitute a breach of any fiduciary duty owed by Investor to any
third party, or (d) require the approval of any third-party (that has not been obtained) pursuant to any material contract, instrument,
agreement, relationship or legal obligation to which Investor is subject or to which any of its assets, operations or management
may be subject.

 

Section 3.8DISCLOSURE; ACCESS TO INFORMATION.
Investor had an opportunity to review copies of the SEC Documents filed on behalf of the Company and has had access to all publicly
available information with respect to the Company.

 

Section 3.9MANNER OF SALE. At no time
was Investor presented with or solicited by or through any leaflet, public promotional meeting, television advertisement or any
other form of general solicitation or advertising.

 

 

 

ARTICLE IV

REPRESENTATIONS AND WARRANTIES OF THE COMPANY

 

The Company represents
and warrants to Investor that, except as disclosed in the SEC Documents:

 

Section 4.1ORGANIZATION OF THE COMPANY.
The Company is a corporation duly organized and validly existing and in good standing under the laws of the State of Nevada and
has all requisite power and authority to own, lease and operate its properties and to carry on its business as now being conducted.
The Company is duly qualified as a foreign corporation to do business and is in good standing in every jurisdiction in which the
nature of the business conducted or property owned by it makes such qualification necessary, other than those in which the failure
so to qualify would not have a Material Adverse Effect.

 

Section 4.2AUTHORITY. (a) The Company
has the requisite corporate power and authority to enter into and perform its obligations under this Agreement and to issue the
Put Shares; (b) the execution and delivery of this Agreement by the Company and the consummation by it of the transactions contemplated
hereby and thereby have been duly authorized by all necessary corporate action and no further consent or authorization of the Company
or its Board of Directors or stockholders is required; and (c) each of this Agreement and has been duly executed and delivered
by the Company and constitutes a valid and binding obligation of the Company enforceable against the Company in accordance with
its terms, except as such enforceability may be limited by applicable bankruptcy, insolvency, or similar laws relating to, or affecting
generally the enforcement of, creditors' rights and remedies or by other equitable principles of general application.

 

Section 4.3CAPITALIZATION.
As of the date hereof, the authorized capital stock of the Company consists of 150,000,000 shares of Common Stock, $0.001 par value
per share, of which 60,206,655 shares were issued and outstanding as of September 15, 2015, and preferred stock, 10,000 shares
authorized, 0 shares issued and outstanding; at September 15, 2015.

 

Except as otherwise disclosed
in the SEC Documents or on Schedule 4.3, there are no outstanding securities which are convertible into shares of Common
Stock, whether such conversion is currently exercisable or exercisable only upon some future date or the occurrence of some event
in the future.

 

All of the outstanding
shares of Common Stock of the Company have been duly and validly authorized and issued and are fully paid and non-assessable.

 

Section 4.4COMMON STOCK. The Company
is in full compliance with all reporting requirements of the Exchange Act, and the Company has maintained all requirements for
the continued listing or quotation of the Common Stock, and such Common Stock is currently listed or quoted on the Principal Market
which is presently the OTCQX.

 

Section 4.5SEC DOCUMENTS. The Company
may make available to Investor true and complete copies of the SEC Documents (including, without limitation, proxy information
and solicitation materials). To the Company’s knowledge, the Company has not provided to Investor any information that, according
to applicable law, rule or regulation, should have been disclosed publicly prior to the date hereof by the Company, but which has
not been so disclosed. As of their respective dates, the SEC Documents complied in all material respects with the requirements
of the Exchange Act, and other federal laws, rules and regulations applicable to such SEC Documents, and none of the SEC Documents
contained any untrue statement of a material fact or omitted to state a material fact required to be stated therein or necessary
in order to make the statements therein, in light of the circumstances under which they were made, not misleading. The financial
statements of the Company included in the SEC Documents comply as to form and substance in all material respects with applicable
accounting requirements and the published rules and regulations of the SEC or other applicable rules and regulations with respect
thereto. Such financial statements have been prepared in accordance with generally accepted accounting principles applied on a
consistent basis during the periods involved (except (a) as may be otherwise indicated in such financial statements or the notes
thereto or (b) in the case of unaudited interim statements, to the extent they may not include footnotes or may be condensed or
summary statements) and fairly present in all material respects the financial position of the Company as of the dates thereof and
the results of operations and cash flows for the periods then ended (subject, in the case of unaudited statements, to normal year-end
audit adjustments).

 

Section 4.6VALID ISSUANCES. When issued
and paid for as herein provided, the Put Shares shall be duly and validly issued, fully paid, and non-assessable. The sales of
the Put Shares pursuant to this Agreement, and the Company's performance of its obligations hereunder, shall not (a) result in
the creation or imposition of any liens, charges, claims or other encumbrances upon the Put Shares, or any of the assets of the
Company, or (b) entitle the holders of outstanding shares of Common Stock to preemptive or other rights to subscribe to or acquire
the Common Stock or other securities of the Company. The Put Shares shall not subject Investor to personal liability, in excess
of the subscription price by reason of the ownership thereof.

 

Section 4.7NO CONFLICTS. The execution,
delivery and performance of this Agreement by the Company and the consummation by the Company of the transactions contemplated
hereby, including without limitation the issuance of the Put Shares, do not and will not (a) result in a violation of the Company’s
Articles of Incorporation or By-Laws or (b) conflict with, or constitute a material default (or an event that with notice or lapse
of time or both would become a material default) under, or give to others any rights of termination, amendment, acceleration or
cancellation of, any material agreement, indenture, instrument or any "lock-up" or similar provision of any underwriting
or similar agreement to which the Company is a party, or (c) result in a violation of any federal, state or local law, rule, regulation,
order, judgment or decree (including federal and state securities laws and regulations) applicable to the Company or by which any
property or asset of the Company is bound or affected (except for such conflicts, defaults, terminations, amendments, accelerations,
cancellations and violations as would not, individually or in the aggregate, have a Material Adverse Effect) nor is the Company
otherwise in violation of, conflict with or in default under any of the foregoing. The business of the Company is not being conducted
in violation of any law, ordinance or regulation of any governmental entity, except for possible violations that either singly
or in the aggregate do not and will not have a Material Adverse Effect. The Company is not required under federal, state or local
law, rule or regulation to obtain any consent, authorization or order of, or make any filing or registration with, any court or
governmental agency in order for it to execute, deliver or perform any of its obligations under this Agreement or issue and sell
the Common Stock in accordance with the terms hereof (other than any SEC, FINRA or state securities filings that may be required
to be made by the Company subsequent to any Closing, any registration statement that may be filed pursuant hereto); provided that,
for purposes of the representation made in this sentence, the Company is assuming and relying upon the accuracy of the relevant
representations and agreements of Investor herein.

 

Section 4.8NO MATERIAL ADVERSE CHANGE.
Since June 30, 2015 no event has occurred that would have a Material Adverse Effect on the Company.

 

Section 4.9LITIGATION AND OTHER PROCEEDINGS.
Except as disclosed in the Company’s SEC filings, there are no lawsuits or proceedings pending or to the knowledge of the
Company threatened, against the Company, nor has the Company received any written or oral notice of any such action, suit, proceeding
or investigation, which would have a Material Adverse Effect. No judgment, order, writ, injunction or decree or award has been
issued by or, so far as is known by the Company, requested of any court, arbitrator or governmental agency which would have a Material
Adverse Effect.

 

Section 4.10DILUTION. The number of
shares of Common Stock issuable as Put Shares may increase substantially in certain circumstances, including, but not necessarily
limited to, the circumstance wherein the trading price of the Common Stock declines during the period between the Effective Date
and the end of the Commitment Period. The Company’s executive officers and directors have studied and fully understand the
nature of the transactions contemplated by this Agreement and recognize that they have a potential dilutive effect. The board of
directors of the Company has concluded in its good faith business judgment that such issuance is in the best interests of the Company.
The Company specifically acknowledges that, subject to Section 2.2(c), its obligation to issue the Put Shares is binding upon the
Company and enforceable regardless of the dilution such issuance may have on the ownership interests of other shareholders of the
Company.

 

ARTICLE V

COVENANTS OF INVESTOR

 

Section 5.1COMPLIANCE WITH LAW; TRADING
IN SECURITIES. Investor's trading activities with respect to shares of the Common Stock will be in compliance with all applicable
state and federal securities laws, rules and regulations and the rules and regulations of FINRA and the Principal Market on which
the Common Stock is listed or quoted.

 

Section 5.2 SHORT SALES AND CONFIDENTIALITY.
Neither Investor nor any affiliate of the Investor acting on its behalf or pursuant to any understanding with it will execute any
Short Sales during the period from the date hereof to the end of the Commitment Period. For the purposes hereof, and in accordance
with Regulation SHO, the sale after delivery of a Put Notice of such number of shares of Common Stock reasonably expected to be
purchased under a Put Notice shall not be deemed a Short Sale.

 

Other than to other
Persons party to this Agreement, Investor has maintained the confidentiality of all disclosures made to it in connection with this
transaction (including the existence and terms of this transaction).

 

ARTICLE VI

COVENANTS OF THE COMPANY

 

Section 6.1RESERVATION OF COMMON STOCK.
The Company will, from time to time as needed in advance of a Closing Date, reserve and keep available until the consummation of
such Closing, free of preemptive rights sufficient shares of Common Stock for the purpose of enabling the Company to satisfy its
obligation to issue the Put Shares to be issued in connection therewith. The number of shares so reserved from time to time, as
theretofore increased or reduced as hereinafter provided, may be reduced by the number of shares actually delivered hereunder.

 

Section 6.2LISTING OF COMMON STOCK.
If the Company applies to have the Common Stock traded on any other Principal Market, it shall include in such application the
Put Shares, and shall take such other action as is necessary or desirable in the reasonable opinion of Investor to cause the Common
Stock to be listed on such other Principal Market as promptly as possible. The Company shall use its commercially reasonable efforts
to continue the listing and trading of the Common Stock on the Principal Market (including, without limitation, maintaining sufficient
net tangible assets) and will comply in all respects with the Company's reporting, filing and other obligations under the bylaws
or rules of the FINRA and the Principal Market.

 

Section 6.3CERTAIN AGREEMENTS. So long
as this Agreement remains in effect, the Company covenants and agrees that it will not, without the prior written consent of the
Investor, enter into any other equity line of credit agreement with a third party during the Commitment Period having terms and
conditions substantially comparable to this Agreement. For the avoidance of doubt, nothing contained in the Transaction Documents
shall restrict, or require the Investor's consent for, any agreement providing for the issuance or distribution of (or the issuance
or distribution of) any equity securities pursuant to any agreement or arrangement that is not commonly understood to be an "equity
line of credit."

 

ARTICLE VII

CONDITIONS TO DELIVERY OF

PUT NOTICES AND CONDITIONS TO CLOSING

 

Section 7.1CONDITIONS PRECEDENT TO
THE OBLIGATION OF THE COMPANY TO ISSUE AND SELL COMMON STOCK. The obligation hereunder of the Company to issue and sell the Put
Shares to Investor is subject to the satisfaction of each of the conditions set forth below.

 

(a)ACCURACY OF INVESTOR'S REPRESENTATIONS
AND WARRANTIES. The representations and warranties of Investor shall be true and correct in all material respects as of the date
of this Agreement and as of the date of each such Closing as though made at each such time.

 

(b)PERFORMANCE BY INVESTOR. Investor
shall have performed, satisfied and complied in all respects with all covenants, agreements and conditions required by this Agreement
to be performed, satisfied or complied with by Investor at or prior to such Closing.

 

(c)Principal
Market Regulation. The Company shall not issue any Put Shares, and the Investor shall not have the right to receive any
Put Shares, if the issuance of such shares would exceed the aggregate number of shares of Common Stock which the Company may issue
without breaching the Company’s obligations under the rules or regulations of the Principal Market (the “Exchange
Cap”).

 

Section 7.2CONDITIONS PRECEDENT TO
THE RIGHT OF THE COMPANY TO DELIVER A PUT NOTICE AND THE OBLIGATION OF INVESTOR TO PURCHASE PUT SHARES. The right of the Company
to deliver a Put Notice and the obligation of Investor hereunder to acquire and pay for the Put Shares is subject to the satisfaction
of each of the following conditions:

 

(a)EFFECTIVE REGISTRATION STATEMENT.
The Registration Statement, and any amendment or supplement thereto, shall remain effective for the sale by Investor of the Registered
Securities subject to such Put Notice, and (i) neither the Company nor Investor shall have received notice that the SEC has issued
or intends to issue a stop order with respect to such Registration Statement or that the SEC otherwise has suspended or withdrawn
the effectiveness of such Registration Statement, either temporarily or permanently, or intends or has threatened to do so and
(ii) no other suspension of the use or withdrawal of the effectiveness of such Registration Statement or related prospectus shall
exist.

 

(b)ACCURACY OF THE COMPANY'S REPRESENTATIONS
AND WARRANTIES. The representations and warranties of the Company shall be true and correct in all material respects (except for
representations and warranties specifically made as of a particular date), except for any conditions which have temporarily caused
any representations or warranties herein to be incorrect and which have been corrected with no continuing impairment to the Company
or Investor.

 

(c)PERFORMANCE BY THE COMPANY. The
Company shall have performed, satisfied and complied in all material respects with all covenants, agreements and conditions required
by this Agreement to be performed, satisfied or complied with by the Company.

 

(d)NO INJUNCTION. No statute, rule,
regulation, executive order, decree, ruling or injunction shall have been enacted, entered, promulgated or adopted by any court
or governmental authority of competent jurisdiction that prohibits or directly and materially adversely affects any of the transactions
contemplated by this Agreement, and no proceeding shall have been commenced that may have the effect of prohibiting or materially
adversely affecting any of the transactions contemplated by this Agreement.

 

(e)ADVERSE CHANGES. Since the date
of filing of the Company's most recent SEC Document, no event that had or is reasonably likely to have a Material Adverse Effect
has occurred.

 

(f)NO SUSPENSION OF TRADING IN OR DELISTING
OF COMMON STOCK. The trading of the Common Stock shall not have been suspended by the SEC, the Principal Market or the FINRA and
the Common Stock shall have been approved for listing or quotation on and shall not have been delisted from the Principal Market.

 

(g)[INTENTIONALLY OMITTED]

 

(h)FIVE PERCENT LIMITATION. On each
Closing Date, the number of Put Shares then to be purchased by Investor shall not exceed the number of such shares that, when aggregated
with all other shares of Common Stock then owned by Investor beneficially or deemed beneficially owned by Investor, would result
in Investor owning more than 4.99% of all of such Common Stock as would be outstanding on such Closing Date, as determined in accordance
with Section 16 of the Exchange Act and the regulations promulgated thereunder. For purposes of this Section, in the event that
the amount of Common Stock outstanding as determined in accordance with Section 16 of the Exchange Act and the regulations promulgated
thereunder is greater on a Closing Date than on the date upon which the Put Notice associated with such Closing Date is given,
the amount of Common Stock outstanding on such Closing Date shall govern for purposes of determining whether Investor, when aggregating
all purchases of Common Stock made pursuant to this Agreement, would own more than 4.99% of the Common Stock following such Closing
Date.

 

(i)Principal Market Regulation.
The Company shall not issue any Put Shares, and the Investor shall not have the right to receive any Put Shares, if the issuance
of such shares would exceed the Exchange Cap.

 

(j)NO KNOWLEDGE. The Company shall
have no knowledge of any event more likely than not to have the effect of causing such Registration Statement to be suspended or
otherwise ineffective (which event is more likely than not to occur within the fifteen (15) Trading Days following the Trading
Day on which such Put Notice is deemed delivered).

 

(k)NO VIOLATION OF SHAREHOLDER APPROVAL
REQUIREMENT. The issuance of shares of Common Stock with respect to the applicable Closing, if any, shall not violate the shareholder
approval requirements of the Principal Market. 

 

(l)NO VALUATION EVENT. No Valuation
Event shall have occurred since the Put Date. 

(m)OTHER. On the date of delivery of
each Put Notice, Investor shall have received a certificate in substantially the form and substance of Exhibit B hereto, executed
by an executive officer of the Company and to the effect that all the conditions to such Closing shall have been satisfied as at
the date of each such certificate.

 

ARTICLE VIII

LEGENDS

 

Section 8.1 NO
STOCK LEGEND OR STOCK TRANSFER RESTRICTIONS. No legend shall be placed on the share certificates representing the Put Shares.

 

Section 8.2INVESTOR'S COMPLIANCE. Nothing
in this Article VIII shall affect in any way Investor's obligations under any agreement to comply with all applicable securities
laws upon the sale of the Common Stock.

 

ARTICLE IX

NOTICES; INDEMNIFICATION

 

Section 9.1 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 (a) personally served, (b) deposited in the mail, registered or certified, return receipt requested,
postage prepaid, (c) delivered by reputable air courier service with charges prepaid, or (d) transmitted by hand delivery, telegram,
facsimile, or email as a PDF, addressed as set forth below or to such other address as such party shall have specified most recently
by written notice given in accordance herewith. Any notice or other communication required or permitted to be given hereunder shall
be deemed effective (i) upon hand delivery or delivery by facsimile, with accurate confirmation generated by the transmitting facsimile
machine, or email as a PDF, 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 (ii) on the second business day following the date of
mailing by express courier service or on the fifth business day after deposited in the mail, in each case, 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 Company: 

 

AuraSource, Inc.

1490 South Price Road,
Ste. 219

Chandler, AZ 85286

Attn: Philip Liu

Chief Executive Officer

philip@aurasourceinc.com

Eric Stoppenhagen

Chief Financial Officer

Eric@aurasourceinc.com

949-903-0468

 

If to Investor:

 

Southridge Partners II LP

90 Grove Street

Ridgefield CT 06877

Tel:

Fax:

 

 

Either party hereto may from time to time change
its address or facsimile number for notices under this Section 9.1 by giving at least ten (10) days' prior written notice of such
changed address or facsimile number to the other party hereto.

 

Section 9.2INDEMNIFICATION. Each party
(an “Indemnifying Party”) agrees to indemnify and hold harmless the other party along with its officers, directors,
employees, and authorized agents, and each Person or entity, if any, who controls such party within the meaning of Section 15 of
the Securities Act or Section 20 of the Exchange Act (an “Indemnified Party”) from and against any Damages, joint or
several, and any action in respect thereof to which the Indemnified Party becomes subject to, resulting from, arising out of or
relating to (i) any misrepresentation, breach of warranty or nonfulfillment of or failure to perform any covenant or agreement
on the part of Indemnifying Party contained in this Agreement, (ii) any untrue statement or alleged untrue statement of a material
fact contained in the Registration Statement or any post-effective amendment thereof or supplement thereto, or the omission or
alleged omission therefrom of a material fact required to be stated therein or necessary to make the statements therein not misleading,
(iii) any untrue statement or alleged untrue statement of a material fact contained in any preliminary prospectus or 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 the
light of the circumstances under which the statements therein were made, not misleading, or (iv) any violation or alleged violation
by the Company of the Securities Act, the Exchange Act, any state securities law or any rule or regulation under the Securities
Act, the Exchange Act or any state securities law, as such Damages are incurred, except to the extent such Damages result primarily
from Indemnified Party's failure to perform any covenant or agreement contained in this Agreement or Indemnified Party's negligence,
recklessness or bad faith in performing its obligations under this Agreement; provided, however, that the foregoing indemnity agreement
shall not apply to any Damages of an Indemnified Party to the extent, but only to the extent, arising out of or based upon any
untrue statement or alleged untrue statement or omission or alleged omission made by an Indemnifying Party in reliance upon and
in conformity with written information furnished to the Indemnifying Party by the Indemnified Party expressly for use in the Registration
Statement, any post-effective amendment thereof or supplement thereto, or any preliminary prospectus or final prospectus (as amended
or supplemented).

 

Section 9.3METHOD OF ASSERTING INDEMNIFICATION
CLAIMS. All claims for indemnification by any Indemnified Party (as defined below) under Section 9.2 shall be asserted and resolved
as follows:

 

(a)In the event any claim or demand
in respect of which an Indemnified Party might seek indemnity under Section 9.2 is asserted against or sought to be collected from
such Indemnified Party by a person other than a party hereto or an affiliate thereof (a "THIRD PARTY CLAIM"), the Indemnified
Party shall deliver a written notification, enclosing a copy of all papers served, if any, and specifying the nature of and basis
for such Third Party Claim and for the Indemnified Party's claim for indemnification that is being asserted under any provision
of Section 9.2 against an Indemnifying Party, together with the amount or, if not then reasonably ascertainable, the estimated
amount, determined in good faith, of such Third Party Claim (a "CLAIM NOTICE") with reasonable promptness to the Indemnifying
Party. If the Indemnified Party fails to provide the Claim Notice with reasonable promptness after the Indemnified Party receives
notice of such Third Party Claim, the Indemnifying Party shall not be obligated to indemnify the Indemnified Party with respect
to such Third Party Claim to the extent that the Indemnifying Party's ability to defend has been prejudiced by such failure of
the Indemnified Party. The Indemnifying Party shall notify the Indemnified Party as soon as practicable within the period ending
thirty (30) calendar days following receipt by the Indemnifying Party of either a Claim Notice or an Indemnity Notice (as defined
below) (the "DISPUTE PERIOD") whether the Indemnifying Party disputes its liability or the amount of its liability to
the Indemnified Party under Section 9.2 and whether the Indemnifying Party desires, at its sole cost and expense, to defend the
Indemnified Party against such Third Party Claim.

 

(i)If
the Indemnifying Party notifies the Indemnified Party within the Dispute Period that the Indemnifying Party desires to defend the
Indemnified Party with respect to the Third Party Claim pursuant to this Section 9.3(a), then the Indemnifying Party shall have
the right to defend, with counsel reasonably satisfactory to the Indemnified Party, at the sole cost and expense of the Indemnifying
Party, such Third Party Claim by all appropriate proceedings, which proceedings shall be vigorously and diligently prosecuted by
the Indemnifying Party to a final conclusion or will be settled at the discretion of the Indemnifying Party (but only with the
consent of the Indemnified Party in the case of any settlement that provides for any relief other than the payment of monetary
damages or that provides for the payment of monetary damages as to which the Indemnified Party shall not be indemnified in full
pursuant to Section 9.2). The Indemnifying Party shall have full control of such defense and proceedings, including any compromise
or settlement thereof; provided, however, that the Indemnified Party may, at the sole cost and expense of the Indemnified Party,
at any time prior to the Indemnifying Party's delivery of the notice referred to in the first sentence of this clause (i), file
any motion, answer or other pleadings or take any other action that the Indemnified Party reasonably believes to be necessary or
appropriate to protect its interests; and provided further, that if requested by the Indemnifying Party, the Indemnified Party
will, at the sole cost and expense of the Indemnifying Party, provide reasonable cooperation to the Indemnifying Party in contesting
any Third Party Claim that the Indemnifying Party elects to contest. The Indemnified Party may participate in, but not control,
any defense or settlement of any Third Party Claim controlled by the Indemnifying Party pursuant to this clause (i), and except
as provided in the preceding sentence, the Indemnified Party shall bear its own costs and expenses with respect to such participation.
Notwithstanding the foregoing, the Indemnified Party may takeover the control of the defense or settlement of a Third Party Claim
at any time if it irrevocably waives its right to indemnity under Section 9.2 with respect to such Third Party Claim.

 

(ii)If
the Indemnifying Party fails to notify the Indemnified Party within the Dispute Period that the Indemnifying Party desires to defend
the Third Party Claim pursuant to Section 9.3(a), or if the Indemnifying Party gives such notice but fails to prosecute vigorously
and diligently or settle the Third Party Claim, or if the Indemnifying Party fails to give any notice whatsoever within the Dispute
Period, then the Indemnified Party shall have the right to defend, at the sole cost and expense of the Indemnifying Party, the
Third Party Claim by all appropriate proceedings, which proceedings shall be prosecuted by the Indemnified Party in a reasonable
manner and in good faith or will be settled at the discretion of the Indemnified Party(with the consent of the Indemnifying Party,
which consent will not be unreasonably withheld). The Indemnified Party will have full control of such defense and proceedings,
including any compromise or settlement thereof; provided, however, that if requested by the Indemnified Party, the Indemnifying
Party will, at the sole cost and expense of the Indemnifying Party, provide reasonable cooperation to the Indemnified Party and
its counsel in contesting any Third Party Claim which the Indemnified Party is contesting. Notwithstanding the foregoing provisions
of this clause (ii), if the Indemnifying Party has notified the Indemnified Party within the Dispute Period that the Indemnifying
Party disputes its liability or the amount of its liability hereunder to the Indemnified Party with respect to such Third Party
Claim and if such dispute is resolved in favor of the Indemnifying Party in the manner provided in clause (iii) below, the Indemnifying
Party will not be required to bear the costs and expenses of the Indemnified Party's defense pursuant to this clause (ii) or of
the Indemnifying Party's participation therein at the Indemnified Party's request, and the Indemnified Party shall reimburse the
Indemnifying Party in full for all reasonable costs and expenses incurred by the Indemnifying Party in connection with such litigation.
The Indemnifying Party may participate in, but not control, any defense or settlement controlled by the Indemnified Party pursuant
to this clause (ii), and the Indemnifying Party shall bear its own costs and expenses with respect to such participation.

 

(iii)If
the Indemnifying Party notifies the Indemnified Party that it does not dispute its liability or the amount of its liability to
the Indemnified Party with respect to the Third Party Claim under Section 9.2 or fails to notify the Indemnified Party within the
Dispute Period whether the Indemnifying Party disputes its liability or the amount of its liability to the Indemnified Party with
respect to such Third Party Claim, the amount of Damages specified in the Claim Notice shall be conclusively deemed a liability
of the Indemnifying Party under Section 9.2 and the Indemnifying Party shall pay the amount of such Damages to the Indemnified
Party on demand. If the Indemnifying Party has timely disputed its liability or the amount of its liability with respect to such
claim, the Indemnifying Party and the Indemnified Party shall proceed in good faith to negotiate a resolution of such dispute;
provided, however, that if the dispute is not resolved within thirty (30) days after the Claim Notice, the Indemnifying Party shall
be entitled to institute such legal action as it deems appropriate.

 

(b)In the event any Indemnified Party
should have a claim under Section 9.2 against the Indemnifying Party that does not involve a Third Party Claim, the Indemnified
Party shall deliver a written notification of a claim for indemnity under Section 9.2 specifying the nature of and basis for such
claim, together with the amount or, if not then reasonably ascertainable, the estimated amount, determined in good faith, of such
claim (an "INDEMNITY NOTICE") with reasonable promptness to the Indemnifying Party. The failure by any Indemnified Party
to give the Indemnity Notice shall not impair such party's rights hereunder except to the extent that the Indemnifying Party demonstrates
that it has been irreparably prejudiced thereby. If the Indemnifying Party notifies the Indemnified Party that it does not dispute
the claim or the amount of the claim described in such Indemnity Notice or fails to notify the Indemnified Party within the Dispute
Period whether the Indemnifying Party disputes the claim or the amount of the claim described in such Indemnity Notice, the amount
of Damages specified in the Indemnity Notice will be conclusively deemed a liability of the Indemnifying Party under Section 9.2
and the Indemnifying Party shall pay the amount of such Damages to the Indemnified Party on demand. If the Indemnifying Party has
timely disputed its liability or the amount of its liability with respect to such claim, the Indemnifying Party and the Indemnified
Party shall proceed in good faith to negotiate a resolution of such dispute; provided, however, that if the dispute is not resolved
within thirty (30) days after the Claim Notice, the Indemnifying Party shall be entitled to institute such legal action as it deems
appropriate.

 

(c)The Indemnifying Party agrees to
pay the Indemnified Party, 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.

 

(d)The indemnity provisions contained
herein shall be in addition to (i) any cause of action or similar rights of the Indemnified Party against the Indemnifying Party
or others, and (ii) any liabilities the Indemnifying Party may be subject to.

 

ARTICLE X

MISCELLANEOUS

 

Section 10.1GOVERNING LAW; JURISDICTION.
This Agreement shall be governed by and interpreted in accordance with the laws of the State of New York without regard to the
principles of conflicts of law. Each of the Company and Investor hereby submit to the exclusive jurisdiction of the United States
Federal and state courts located in New York County, State of New York with respect to any dispute arising under this Agreement,
the agreements entered into in connection herewith or the transactions contemplated hereby or thereby.

 

Section 10.2JURY TRIAL WAIVER. The
Company and the Investor hereby waive a trial by jury in any action, proceeding or counterclaim brought by either of the parties
hereto against the other in respect of any matter arising out of or in connection with the Transaction Documents.

 

Section 10.3ASSIGNMENT. This Agreement
shall be binding upon and inure to the benefit of the Company and Investor and their respective successors. Neither this Agreement
nor any rights of Investor or the Company hereunder may be assigned by either party to any other person.

 

Section 10.4THIRD PARTY BENEFICIARIES.
This Agreement is intended for the benefit of the Company and Investor and their respective successors, and is not for the benefit
of, nor may any provision hereof be enforced by, any other person.

 

Section 10.5TERMINATION. The Company
may terminate this Agreement at any time by written notice to the Investor. Additionally, this Agreement shall terminate at the
end of Commitment Period or as otherwise provided herein; provided, however, that the provisions of Articles IX, and Sections 10.1
and 10.2 shall survive the termination of this Agreement for a period of twenty four (24) months.

 

Section 10.6ENTIRE AGREEMENT, AMENDMENT;
NO WAIVER. This Agreement and the instruments referenced herein contain the entire understanding of the Company and Investor with
respect to the matters covered herein and therein and, except as specifically set forth herein or therein, neither the Company
nor Investor makes any representation, warranty, covenant or undertaking with respect to such matters. This Agreement may not be
amended.

 

Section 10.7FEES AND EXPENSES. The
Company agrees to pay its own expenses in connection with the preparation of this Agreement and performance of its obligations
hereunder. The Company shall pay all stamp or other similar taxes and duties levied in connection with issuance of the Put Shares
pursuant hereto.

 

Section 10.8COUNTERPARTS. This Agreement
may be executed in multiple counterparts, each of which may be executed by less than all of the parties and shall be deemed to
be an original instrument which shall be enforceable against the parties actually executing such counterparts and all of which
together shall constitute one and the same instrument. This Agreement may be delivered to the other parties hereto by facsimile
transmission or email of a copy of this Agreement bearing the signature of the parties so delivering this Agreement.

 

Section 10.9SEVERABILITY. In the event
that any provision of this Agreement becomes or is declared by a court of competent jurisdiction to be illegal, unenforceable or
void, this Agreement shall continue in full force and effect without said provision; provided that such severability shall be ineffective
if it materially changes the economic benefit of this Agreement to any party.

 

Section 10.10FURTHER 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.

 

Section 10.11NO STRICT CONSTRUCTION.
The language used in this Agreement will be deemed to be the language chosen by the parties to express their mutual intent, and
no rules of strict construction will be applied against any party.

 

Section 10.12EQUITABLE RELIEF. The
Company recognizes that in the event that it fails to perform, observe, or discharge any or all of its obligations under this Agreement,
any remedy at law may prove to be inadequate relief to Investor. The Company therefore agrees that Investor shall be entitled to
temporary and permanent injunctive relief in any such case without the necessity of proving actual damages.

 

Section 10.13TITLE AND SUBTITLES. The
titles and subtitles used in this Agreement are used for the convenience of reference and are not to be considered in construing
or interpreting this Agreement.

 

Section 10.14REPORTING ENTITY FOR THE
COMMON STOCK. The reporting entity relied upon for the determination of the Closing Price for the Common Stock on any given Trading
Day for the purposes of this Agreement shall be Bloomberg Finance L.P. or any successor thereto. The written mutual consent of
Investor and the Company shall be required to employ any other reporting entity.

 

Section 10.15PUBLICITY. The Company
and Investor shall consult with each other in issuing any press releases or otherwise making public statements with respect to
the transactions contemplated hereby and no party shall issue any such press release or otherwise make any such public statement
without the prior written consent of the other parties, which consent shall not be unreasonably withheld or delayed, except that
no prior consent shall be required if such disclosure is required by law, in which such case the disclosing party shall provide
the other parties with prior notice of such public statement. Notwithstanding the foregoing, the Company shall not publicly disclose
the name of Investor without the prior written consent of such Investor, except to the extent required by law. Investor acknowledges
that this Agreement and all or part of the Transaction Documents may be deemed to be "material contracts" as that term
is defined by Item 601(b)(10) of Regulation S-K, and that the Company may therefore be required to file such documents as exhibits
to reports or registration statements filed under the Securities Act or the Exchange Act. Investor further agrees that the status
of such documents and materials as material contracts shall be determined solely by the Company, in consultation with its counsel.

    	 

    	 

    

[SIGNATURE PAGE]

 

IN WITNESS WHEREOF,
the parties hereto have caused this Equity Purchase Agreement to be executed by the undersigned, thereunto duly authorized, as
of the date first set forth above.

 

 

 

SOUTHRIDGE PARTNERS
II LP

 

 

 

 

By:____/s/
Steve Hicks__________________

 Name: Stephen Hicks

Title: Manager

 

 

 

AURASOURCE, INC.

 

 

 

By:___/s/
Eric Stoppenhagen___________________

Name: __Eric Stoppenhagen___________

Title: Chief Financial
Officer

 

 

 

 

    	 

    	 

    

Schedule 4.3 – Outstanding Securities

60,206,655 Common Stock Shares Issued and Outstanding

4,650,000 Options with average weighted exercise price of
$0.35 per share

    	 

    	 

    

 

 

EXHIBITS

 

 

 

 

EXHIBIT APut Notice

 

EXHIBIT BClosing Certificate

    	 

    	 

    

EXHIBIT A

 

 

 

FORM OF PUT NOTICE

 

 

TO: SOUTHRIDGE PARTNERS II LP

 

 

We refer to the Equity Purchase Agreement dated September 15, 2015
(the “Agreement”) entered into by AURASOURCE, INC. (the “Company”) and you. Capitalized terms defined
in the Agreement shall, unless otherwise defined, have the same meaning when used herein.

 

We hereby:

 

		1.	Give you notice that we require you to purchase $_________ (the “Investment Amount”)
in Put Shares; 

 

		2.	Determine the Floor Price for this Put, as defined in Section 2.2(c) of the Agreement, to be
$___________; and

 

		3.	Certify that, as of the date hereof, to the best of our knowledge, the conditions set forth in
Section 7.2 of the Agreement are satisfied.

 

 

Date: _____________, 20__

 

 

AURASOURCE, INC. 

 

 

 

 

By: ______________________

Name: Eric Stoppenhagen

Title: Chief Financial Officer

    	 

    	 

    

EXHIBIT B

 

 

FORM OF

 

CERTIFICATE OF THE CHIEF EXECUTIVE OFFICER

 

OF

 

AURASOURCE, INC. 

 

Pursuant to Section 7.2(m) of that certain
Equity Purchase Agreement dated September 15, 2015 (the “Agreement”) by and between the Company and Southridge Partners
II LP (the “Investor”), the undersigned, in his capacity as the Chief Executive Officer of AURASOURCE, INC. 
(the “Company”), and not in his individual capacity, hereby certifies, as of the date hereof (such date, the “Condition
Satisfaction Date”), the

following:

 

1.The representations and warranties
of the Company are true and correct in all material respects as of the Condition Satisfaction Date as though made on the Condition
Satisfaction Date (except for representations and warranties specifically made as of a particular date) with respect to all periods,
and as to all events and circumstances occurring or existing to and including the Condition Satisfaction Date, except for any conditions
which have temporarily caused any representations or warranties of the Company set forth in the Agreement to be incorrect and which
have been corrected with no continuing impairment to the Company or Investor; and

 

2.All of the Company’s conditions
to Closing set forth in Section 7.2 of the Agreement have been satisfied as of the Condition Satisfaction Date.

 

Capitalized terms used
herein shall have the meanings set forth in the Agreement unless otherwise defined herein.

IN WITNESS WHEREOF,
the undersigned has hereunto affixed his hand as of the ___ day of ____________, 20__.

 

 

By: 

_______________Chief Executive Officer

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00250-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00250-of-00352.parquet"}]]