Document:

THE SECURITIES REPRESENTED BY THIS CERTIFICATE
HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “ACT”), OR APPLICABLE STATE SECURITIES LAWS.
NEITHER THE SECURITIES NOR ANY INTEREST THEREIN MAY BE OFFERED FOR SALE, SOLD OR OTHERWISE TRANSFERRED EXCEPT PURSUANT TO AN EFFECTIVE
REGISTRATION STATEMENT UNDER THE ACT, OR PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER THE ACT AND APPLICABLE STATE SECURITIES
LAWS WHICH, IN THE OPINION OF COUNSEL TO THE COMPANY, IS AVAILABLE.

 

VOID AFTER 5:00 P.M. EASTERN TIME ON
DECEMBER [__], 2018.

 

WARRANT

 

For the Purchase of [______] Shares of Common
Stock of

HEALTHCARE CORPORATION OF AMERICA

 

Warrant No.: 

 

1.          Grant
of Warrant. THIS CERTIFIES THAT, [_________________] (the “Holder” and together with its permitted transferees,
the “Holders”), is entitled, at any time or from time to time from the date hereof (the “Issuance Date”),
and at or before 5:00 p.m., Eastern Time, ending on December [_], 2018 (the ”Expiration Date”), but not thereafter,
to subscribe for, purchase and receive, in whole or in part, up to [____________________] ([__________]) shares of common
stock of Healthcare Corporation of America, a Delaware corporation (the “Company”), par value $0.0001 per share (“Common
Stock”), subject to adjustment as provided in Section 5 hereof. If the Expiration Date is a day on which banking institutions
are authorized by law to close in New York City, then this Warrant may be exercised on the next succeeding day which is not such
a day in accordance with the terms herein. During the period starting on the date hereof and ending on the Expiration Date, the
Company agrees not to take any action that would terminate this Warrant. This Warrant is initially exercisable at $3.00 per share
of Common Stock; provided, however, that upon the occurrence of any of the events specified in Section 5 hereof, the rights granted
by this Warrant, including the exercise price per share of Common Stock and the number of shares of Common Stock to be received
upon such exercise, shall be adjusted as therein specified. The term “Exercise Price” shall mean the initial exercise
price or the adjusted exercise price, depending on the context. This Warrant is being issued in full satisfaction of the Company’s
obligation (or the obligation of any subsidiary) to issue a Warrant to Holder pursuant to Section 2 of the Securities Purchase
Agreement, dated December [__], 2013 (as amended, restated, modified and/or supplemented from time to time, the “Purchase
Agreement”), by and among the Company, the Holder, each other Purchaser named therein and [__________________], as administrative
and collateral agent for the Purchasers (the “Agent” and, collectively with the Purchasers, the “Creditor Parties”).

 

    	 

    	 

    

 

		2.	Exercise of Warrant.

 

		2.1.	Mechanics of Exercise. Subject to the terms and
conditions hereof, this Warrant may be exercised by the Holder on any Trading Day on or after the Issuance Date, in whole or in
part, by delivery (whether via facsimile or otherwise) of a written notice, in the form attached hereto as Exhibit A (the
“Exercise Notice”), of the Holder’s election to exercise this Warrant. Within one (1) Trading Day following
an exercise of this Warrant as aforesaid, the Holder shall deliver payment to the Company of an amount equal to the Exercise Price
in effect on the date of such exercise multiplied by the number of Warrant Shares as to which this Warrant was so exercised (the
“Aggregate Exercise Price”) in cash or certified check or official bank check to the order of the Company or via wire
transfer of immediately available funds if the Holder did not notify the Company in such Exercise Notice that such exercise was
made pursuant to a Cashless Exercise (as defined in Section 2.3). The Holder shall not be required to deliver the original of
this Warrant in order to effect an exercise hereunder. Execution and delivery of an Exercise Notice with respect to less than
all of the Warrant Shares shall have the same effect as cancellation of the original of this Warrant and issuance of a new Warrant
evidencing the right to purchase the remaining number of Warrant Shares. Execution and delivery of an Exercise Notice for all
of the then-remaining Warrant Shares shall have the same effect as cancellation of the original of this Warrant after delivery
of the Warrant Shares in accordance with the terms hereof. On or before the first (1st) Trading Day following the date
on which the Company has received an Exercise Notice, the Company shall transmit by facsimile an acknowledgment of confirmation
of receipt of such Exercise Notice, in the form attached hereto as Exhibit B, to the Holder and the Company’s transfer
agent (the “Transfer Agent”). On or before the third (3rd) Trading Day following the date on which the
Company has received such Exercise Notice, the Company shall: (X) provided that the Transfer Agent is participating in The Depository
Trust Company (“DTC”) Fast Automated Securities Transfer Program and provided that the shares issued pursuant to such
exercise have been sold pursuant to a bonafide sale under Rule 144, a registraition statement or an exemption from registration,
upon the request of the Holder, credit such aggregate number of shares of Common Stock to which the Holder is entitled pursuant
to such exercise to the Holder’s designee’s balance account with DTC through its Deposit/Withdrawal at Custodian system,
or (Y) issue and deliver to the Holder or, at the Holder’s instruction pursuant to the Exercise Notice, the Holder’s
agent or designee, in each case, sent by reputable overnight courier to the address as specified in the applicable Exercise Notice,
a certificate, registered in the Company’s share register in the name of the Holder or its designee (as indicated in the
applicable Exercise Notice), for the number of shares of Common Stock to which the Holder is entitled pursuant to such exercise.
If this Warrant is submitted in connection with any exercise pursuant to this Section 2.1 and the number of Warrant Shares represented
by this Warrant submitted for exercise is greater than the number of Warrant Shares being acquired upon an exercise, then, at
the request of the Holder, the Company shall as soon as practicable and in no event later than three (3) Business Days after any
exercise and at its own expense, issue and deliver to the Holder (or its designee) a new Warrant (in accordance with Section 4.4)
representing the right to purchase the number of Warrant Shares purchasable immediately prior to such exercise under this Warrant,
less the number of Warrant Shares with respect to which this Warrant is exercised. No fractional shares of Common Stock are to
be issued upon the exercise of this Warrant, but rather the number of shares of Common Stock to be issued shall be rounded to
the nearest whole number. The Company shall pay any and all taxes and fees which may be payable with respect to the issuance and
delivery of Warrant Shares upon exercise of this Warrant.

 

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		2.2.	Failure to Timely Deliver Securities. If the Company
shall fail, for any reason or for no reason, to issue to the Holder within three (3) Trading Days after receipt of the applicable
Exercise Notice, a certificate for the number of shares of Common Stock to which the Holder is entitled and register such shares
of Common Stock on the Company’s share register or to credit the Holder’s designee’s balance account with DTC
for such number of shares of Common Stock to which the Holder is entitled upon the Holder’s exercise of this Warrant (as
the case may be) (a “Delivery Failure”), then, in addition to all other remedies available to the Holder, the Company
shall pay in cash to the Holder, on each Trading Day after such third (3rd) Trading Day that the issuance of such shares
of Common Stock is not timely effected an amount equal to 1% of the product of (A) the aggregate number of shares of Common Stock
not issued to the Holder on a timely basis and to which the Holder is entitled and (B) the Closing Sale Price of the Common Stock
on the Trading Day immediately preceding the last possible date on which the Company could have issued such shares of Common Stock
to the Holder without violating Section 2.1. In addition to the foregoing, if within three (3) Trading Days after the Company’s
receipt of the applicable Exercise Notice, the Company shall fail to issue and deliver a certificate to the Holder and register
such shares of Common Stock on the Company’s share register or credit the Holder’s designee’s balance account
with DTC for the number of shares of Common Stock to which the Holder is entitled upon the Holder’s exercise hereunder (as
the case may be), and if on or after such third (3rd) Trading Day, the Holder (or any other Person in respect,
or on behalf, of the Holder) purchases (in an open market transaction or otherwise) shares of Common Stock to deliver in satisfaction
of a sale by the Holder of all or any portion of the number of shares of Common Stock, or a sale of a number of shares of Common
Stock equal to all or any portion of the number of shares of Common Stock, issuable upon such exercise that the Holder so anticipated
receiving from the Company, then, in addition to all other remedies available to the Holder, the Company shall, within three (3)
Business Days after the Holder’s request and in the Holder’s discretion, either (i) pay cash to the Holder in an amount
equal to the Holder’s total purchase price (including brokerage commissions and other out-of-pocket expenses, if any) for
the shares of Common Stock so purchased (including, without limitation, by any other Person in respect, or on behalf, of the Holder)
(the “Buy-In Price”), at which point the Company’s obligation to so issue and deliver such certificate or credit
the Holder’s designee’s balance account with DTC for the number of shares of Common Stock to which the Holder is entitled
upon the Holder’s exercise hereunder (as the case may be) (and to issue such shares of Common Stock) shall terminate, or
(ii) promptly honor its obligation to so issue and deliver to the Holder a certificate or certificates representing such shares
of Common Stock or credit the Holder’s designee’s balance account with DTC for the number of shares of Common Stock
to which the Holder is entitled upon the Holder’s exercise hereunder (as the case may be) and pay cash to the Holder in
an amount equal to the excess (if any) of the Buy-In Price over the product of (A) such number of shares of Common Stock multiplied
by (B) the lowest Closing Sale Price of the Common Stock on any Trading Day during the period commencing on the date of the applicable
Exercise Notice and ending on the date of such issuance and payment under this clause (ii).

 

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2.3.          Cashless
Exercise. Notwithstanding anything contained herein to the contrary, if at the time of exercise hereof a Registration Statement
(as defined in the Registration Rights Agreement (as defined in the Securities Purchase Agreement)) is not effective (or the prospectus
contained therein is not available for use) for the resale by the Holder of all of the Warrant Shares, then the Holder may, in
its sole discretion, exercise this Warrant in whole or in part and, in lieu of making the cash payment otherwise contemplated to
be made to the Company upon such exercise in payment of the Aggregate Exercise Price, elect instead to receive upon such exercise
the “Net Number” of shares of Common Stock determined according to the following formula (a “Cashless Exercise”):

 

Net Number =
(A x B) - (A x C)

B

 

For purposes of the
foregoing formula:

 

A= the total number of shares with
respect to which this Warrant is then being exercised.

 

B= as applicable: (i) the Closing
Sale Price of the Common Stock on the Trading Day immediately preceding the date of the applicable Exercise Notice if such Exercise
Notice is (1) both executed and delivered pursuant to Section 1(a) hereof on a day that is not a Trading Day or (2) both executed
and delivered pursuant to Section 1(a) hereof on a Trading Day prior to the opening of “regular trading hours” (as
defined in Rule 600(b)(64) of Regulation NMS promulgated under the federal securities laws) on such Trading Day, (ii) the Bid Price
of the Common Stock as of the time of the Holder’s execution of the applicable Exercise Notice if such Exercise Notice is
executed during “regular trading hours” on a Trading Day and is delivered within two (2) hours thereafter pursuant
to Section 2.1 hereof or (iii) the Closing Sale Price of the Common Stock on the date of the applicable Exercise Notice if the
date of such Exercise Notice is a Trading Day and such Exercise Notice is both executed and delivered pursuant to Section 2.1 hereof
after the close of “regular trading hours” on such Trading Day.

 

C= the
Exercise Price then in effect for the applicable Warrant Shares at the time of such exercise.

 

2.4.          Disputes.
In the case of a dispute as to the determination of the Exercise Price or the arithmetic calculation of the number of Warrant Shares
to be issued pursuant to the terms hereof, the Company shall promptly issue to the Holder the number of Warrant Shares that are
not disputed and resolve such dispute in accordance with Section 11.7.

 

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2.5.          Legend.
Each certificate for the securities purchased under this Warrant shall bear a legend as follows unless such securities have been
registered under the Securities Act of 1933, as amended (the “Act”):

 

“THE SECURITIES
REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “ACT”) OR
APPLICABLE STATE SECURITIES LAWS. NEITHER THE SECURITIES NOR ANY INTEREST THEREIN MAY BE OFFERED FOR SALE, SOLD OR OTHERWISE TRANSFERRED
EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE ACT, OR PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER THE ACT
AND APPLICABLE STATE SECURITIES LAWS WHICH, IN THE OPINION OF COUNSEL TO THE COMPANY, IS AVAILABLE.”

  

2.6.          No
Obligation to Net Cash Settle. Notwithstanding anything to the contrary contained in this Warrant, if the Company is unable
to deliver any securities pursuant to the exercise of this Warrant as a result of its inability to satisfy its registration requirements
set forth in Section 3.2 hereof, the Company will have no obligation to pay such registered holder any cash or otherwise “net
cash settle” the Warrant or the Warrants underlying the Warrant.

 

2.7.          Insufficient
Authorized Shares. The Company shall at all times keep reserved for issuance under this Warrant a number of shares of Common
Stock as shall be necessary to satisfy the Company’s obligation to issue shares of Common Stock hereunder (without regard
to any limitation otherwise contained herein with respect to the number of shares of Common Stock that may be acquirable upon exercise
of this Warrant). If, notwithstanding the foregoing, and not in limitation thereof, at any time while any of the Warrants issued
pursuant to the Purchase Agreement remain outstanding, the Company does not have a sufficient number of authorized and unreserved
shares of Common Stock to satisfy its obligation to reserve for issuance upon exercise of such Warrants at least a number of shares
of Common Stock equal to the number of shares of Common Stock as shall from time to time be necessary to effect the exercise of
all of such Warrants then outstanding without giving effect to any limitation otherwise contained herein with respect to the number
of shares of Common Stock that may be acquirable upon exercise of this Warrant (the “Required Reserve Amount”) (the
foregoing, an “Authorized Share Failure”), then the Company shall immediately take all action necessary to increase
the Company’s authorized shares of Common Stock to an amount sufficient to allow the Company to reserve the Required Reserve
Amount for all of such Warrants then outstanding. Without limiting the generality of the foregoing sentence, to the extent required
by law or the rules of the Eligible Market on which the Common Stock is traded or quoted, as soon as practicable after the date
of the occurrence of an Authorized Share Failure, but in no event later than sixty (60) days after the occurrence of such Authorized
Share Failure, the Company shall hold a meeting of its stockholders for the approval of an increase in the number of authorized
shares of Common Stock. In connection with such meeting, to the extent required by law or the rules of the Eligible Market on which
the Common Stock is traded or quoted, the Company shall provide each stockholder with a proxy statement and shall use its best
efforts to solicit its stockholders’ approval of such increase in authorized shares of Common Stock and to cause its board
of directors to recommend to the stockholders that they approve such proposal.

 

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		3.	Transfer.

 

3.1.          General
Restrictions. The registered Holder of this Warrant agrees by his, her or its acceptance hereof, that transfers to others may
be made subject to compliance with or exemptions from applicable securities laws. In order to make any permitted assignment, the
Holder must deliver to the Company the assignment form attached hereto duly executed and completed, together with this Warrant.
The Company shall within three (3) Business Days transfer this Warrant on the books of the Company and shall execute and deliver
a new Warrant or Warrants of like tenor to the appropriate assignee(s) expressly evidencing the right to purchase the aggregate
number of shares of Common Stock purchasable hereunder or such portion of such number as shall be contemplated by any such assignment.

 

3.2.          Restrictions
Imposed by the Act. The securities evidenced by this Warrant shall not be transferred unless and until: (i) the Company has
received the opinion of counsel for the Holder that the securities may be transferred pursuant to an exemption from registration
under the Act and applicable state securities laws, the availability of which is established to the reasonable satisfaction of
the Company (the Company hereby agreeing that the opinion of Loeb & Loeb LLP shall be deemed satisfactory evidence of the availability
of an exemption), or (ii) a registration statement or a post-effective amendment to such Registration Statement relating to the
offer and sale of such securities has been filed by the Company and declared effective by the SEC (as defined in the Purchase Agreement)
and compliance with applicable state securities law has been established.

 

		4.	New Warrants to be Issued.

 

4.1.          Partial
Exercise or Transfer. Subject to the restrictions in Section 3 hereof, this Warrant may be exercised or assigned in whole or
in part. In the event of the exercise or assignment hereof in part only, upon surrender of this Warrant for cancellation, together
with the duly executed exercise or assignment form and funds sufficient to pay any Exercise Price and/or transfer tax if exercised
pursuant to Section 2.1 hereto, the Company shall cause to be delivered to the Holder without charge a new Warrant of like tenor
to this Warrant in the name of the Holder evidencing the right of the Holder to purchase the number of shares of Common Stock purchasable
hereunder as to which this Warrant has not been exercised or assigned.

 

4.2.          Lost
Certificate. Upon receipt by the Company of evidence satisfactory to it of the loss, theft, destruction or mutilation of this
Warrant and of reasonably satisfactory indemnification or the posting of a bond, the Company shall execute and deliver a new Warrant
of like tenor and date. Any such new Warrant executed and delivered as a result of such loss, theft, mutilation or destruction
shall constitute a substitute contractual obligation on the part of the Company.

 

4.3.          Exchangeable
for Multiple Warrants. This Warrant is exchangeable, upon the surrender hereof by the Holder at the principal office of the
Company, for a new Warrant or Warrants (in accordance with Section 4.4) representing in the aggregate the right to purchase the
number of Warrant Shares then underlying this Warrant, and each such new Warrant will represent the right to purchase such portion
of such Warrant Shares as is designated by the Holder at the time of such surrender; provided, however, no warrants for fractional
shares of Common Stock shall be given.

 

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4.4.          Issuance
of New Warrants. Whenever the Company is required to issue a new Warrant pursuant to the terms of this Warrant, such new Warrant
(i) shall be of like tenor with this Warrant, (ii) shall represent, as indicated on the face of such new Warrant, the right to
purchase the Warrant Shares then underlying this Warrant (or in the case of a new Warrant being issued pursuant to Section 4.1
or Section 4.4, the Warrant Shares designated by the Holder which, when added to the number of shares of Common Stock underlying
the other new Warrants issued in connection with such issuance, does not exceed the number of Warrant Shares then underlying this
Warrant), (iii) shall have an issuance date, as indicated on the face of such new Warrant which is the same as the Issuance Date,
and (iv) shall have the same rights and conditions as this Warrant.

 

5.             Adjustment
of Exercise Price and Number of Warrant Shares. The Exercise Price and number of Warrant Shares issuable upon exercise of this
Warrant are subject to adjustment from time to time as set forth in this Section 5.

 

5.1.          Stock
Dividends and Splits. Without limiting any provision of Section 7, if the Company, at any time on or after the date of the
Purchase Agreement, (i) pays a stock dividend on one or more classes of its then outstanding Common Stock or otherwise makes a
distribution on any class of capital stock that is payable in Common Stock, (ii) subdivides (by any stock split, stock dividend,
recapitalization or otherwise) one or more classes of its then outstanding Common Stock into a larger number of shares or (iii)
combines (by combination, reverse stock split or otherwise) one or more classes of its then outstanding Common Stock into a smaller
number of shares, then in each such case the Exercise Price shall be multiplied by a fraction of which the numerator shall be the
number of Common Stock outstanding immediately before such event and of which the denominator shall be the number Common Stock
outstanding immediately after such event. Any adjustment made pursuant to clause (i) of this paragraph shall become effective immediately
after the record date for the determination of stockholders entitled to receive such dividend or distribution, and any adjustment
pursuant to clause (ii) or (iii) of this paragraph shall become effective immediately after the effective date of such subdivision
or combination. If any event requiring an adjustment under this paragraph occurs during the period that an Exercise Price is calculated
hereunder, then the calculation of such Exercise Price shall be adjusted appropriately to reflect such event.

 

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5.2.          Subsequent
Warrant Sales. Until the two year anniversary date of the Effective Date (as defined in the Registration Rights Agreement),
if the Company or any Subsidiary thereof, as applicable, at any time while this Warrant is outstanding, shall sell or grant any
option to purchase, or sell or grant any right to reprice, or otherwise dispose of or issue (or announce any offer, sale, grant
or any option to purchase or other disposition) any warrants, options or other similar instruments to purchase Common Stock, at
an effective price per share less than the Exercise Price then in effect (such lower price, the “Base Share Price”
and such issuances collectively, a “Dilutive Issuance”) (it being understood and agreed that if the holder of the warrants
to purchase Common Stock so issued shall at any time, whether by operation of purchase price adjustments, reset provisions, floating
conversion, exercise or exchange prices or otherwise, or due to warrants, options or rights per share which are issued in connection
with such issuance, be entitled to receive Common Stock at an effective price per share that is less than the Exercise Price, such
issuance shall be deemed to have occurred for less than the Exercise Price on such date of the Dilutive Issuance at such effective
price), then simultaneously with the consummation of each Dilutive Issuance, the Exercise Price shall be reduced and only reduced
to equal the Base Share Price. Such adjustment shall be made whenever such warrants to purchase Common Stock are issued. Notwithstanding
the foregoing, no adjustments shall be made, paid or issued under this Section 5.2 in respect of any Excluded Securities (as defined
in the Purchase Agreement). The Company shall notify the Holder, in writing, no later than the third Trading Day following the
issuance or deemed issuance of any warrants to purchase Common Stock subject to this Section, indicating therein the applicable
issuance price, or applicable reset price, exchange price, conversion price and other pricing terms (such notice, the “Dilutive
Issuance Notice”). For purposes of clarification, whether or not the Company provides a Dilutive Issuance Notice pursuant
to this Section, upon the occurrence of any Dilutive Issuance, the Holder is entitled to receive a number of Warrant Shares based
upon the Base Share Price regardless of whether the Holder accurately refers to the Base Share Price in the Notice of Exercise.

 

5.3.          Number
of Warrant Shares. Simultaneously with any adjustment to the Exercise Price pursuant to Section 5.1, the number of Warrant
Shares that may be purchased upon exercise of this Warrant shall be increased or decreased proportionately, so that after such
adjustment the aggregate Exercise Price payable hereunder for the adjusted number of Warrant Shares shall be the same as the aggregate
Exercise Price in effect immediately prior to such adjustment (without regard to any limitations on exercise contained herein).

 

5.4.          Other
Events. In the event that the Company (or any Subsidiary (as defined in the Purchase Agreement)) shall take any action to which
the provisions hereof are not strictly applicable, or, if applicable, would not operate to protect the Holder from dilution or
if any event occurs of the type contemplated by the provisions of this Section 5 but not expressly provided for by such provisions
(including, without limitation, the granting of stock appreciation rights, phantom stock rights or other rights with equity features),
then the Company’s board of directors shall in good faith determine and implement an appropriate adjustment in the Exercise
Price and the number of Warrant Shares (if applicable) so as to protect the rights of the Holder, provided that no such adjustment
pursuant to this Section 5.4 will increase the Exercise Price or decrease the number of Warrant Shares as otherwise determined
pursuant to this Section 5, provided further that if the Holder does not accept such adjustments as appropriately protecting its
interests hereunder against such dilution, then the Company’s board of directors and the Holder shall agree, in good faith,
upon an independent investment bank of nationally recognized standing to make such appropriate adjustments, whose determination
shall be final and binding and whose fees and expenses shall be borne by the non-prevailing party.

 

5.5.          Calculations.
All calculations under this Section 5 shall be made by rounding to the nearest cent or the nearest share, as applicable. The number
of shares of Common Stock outstanding at any given time shall not include shares owned or held by or for the account of the Company,
and the disposition of any such shares shall be considered an issue or sale of Common Stock.

 

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6.          Rights
Upon Distribution of Assets. In addition to any adjustments pursuant to Section 5 above, if the Company shall declare or make
any dividend or other distribution of its assets (or rights to acquire its assets) to holders of shares of Common Stock, by way
of return of capital or otherwise (including, without limitation, any distribution of cash, stock or other securities, property
or options by way of a dividend, spin off, reclassification, corporate rearrangement, scheme of arrangement or other similar transaction)
(a “Distribution”), at any time after the issuance of this Warrant, then, in each such case, the Holder shall be entitled
to participate in such Distribution to the same extent that the Holder would have participated therein if the Holder had held the
number of shares of Common Stock acquirable upon complete exercise of this Warrant immediately before the date on which a record
is taken for such Distribution, or, if no such record is taken, the date as of which the record holders of shares of Common Stock
are to be determined for the participation in such Distribution.

 

		7.	Purchase Rights; Fundamental Transactions.

 

7.1.          Purchase
Rights. In addition to any adjustments pursuant to Section 5 above, if at any time the Company grants, issues or sells any
Options, Convertible Securities or rights to purchase stock, warrants, securities or other property pro rata to the record holders
of any class of shares of Common Stock (the “Purchase Rights”), then the Holder will be entitled to acquire, upon the
terms applicable to such Purchase Rights, the aggregate Purchase Rights which the Holder could have acquired if the Holder had
held the number of shares of Common Stock acquirable upon complete exercise of this Warrant immediately before the date on which
a record is taken for the grant, issuance or sale of such Purchase Rights, or, if no such record is taken, the date as of which
the record holders of shares of Common Stock are to be determined for the grant, issue or sale of such Purchase Rights.

 

7.2.          Fundamental
Transactions. The Company shall not enter into or be party to a Fundamental Transaction unless (i)  if the per share consideration
to be received by holders of Common Stock in connection with such Fundamental Transaction exceeds the sum of the Exercise Price
of this Warrant as of immediately prior to the closing of such Fundamental Transaction, plus $0.50, then concurrently with the
closing of such Fundamental Transaction the Holder shall receive the same consideration as holders of Common Stock, less the Exercise
Price, for the corresponding number of shares of Common Stock acquirable and receivable upon exercise of this Warrant as of immediately
prior to the closing of such Fundamental Transaction; or (ii) if the per share consideration to be received by holders of Common
Stock in connection with such Fundamental Transaction is less than the sum of the Exercise Price of this Warrant as of immediately
prior to the closing of such Fundamental Transaction, plus $0.50, then concurrently with the closing of such Fundamental Transaction,
the Holder shall receive $0.50 per share for the corresponding number of shares of Common Stock acquirable and receivable upon
exercise of this Warrant as of immediately prior to the closing of such Fundamental Transaction. Upon the closing of a Fundamental
Transaction, this Warrants shall terminate and the Holder shall have no further rights beyond the right to receive the consideration
for the corresponding number of shares of Common Stock acquirable and receivable upon exercise of this Warrant as of immediately
prior to the closing of such Fundamental Transaction upon the closing of the Fundamental Transaction in accordance with this Section
7.2. The provisions of this Section 7.2 shall apply as if this Warrant were fully exercisable and without regard to any limitations
on the exercise of this Warrant.

 

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8.          Noncircumvention.
The Company hereby covenants and agrees that the Company will not, by amendment of its Charter (as defined in the Purchase Agreement),
Bylaws (as defined in the Purchase Agreement) or through any reorganization, transfer of assets, consolidation, merger, scheme
of arrangement, dissolution, issue or sale of securities, or any other voluntary action, avoid or seek to avoid the observance
or performance of any of the terms of this Warrant, and will at all times in good faith carry out all the provisions of this Warrant
and take all action as may be required to protect the rights of the Holder. Without limiting the generality of the foregoing, the
Company (i) shall not increase the par value of any shares of Common Stock receivable upon the exercise of this Warrant above
the Exercise Price then in effect, (ii) shall take all such actions as may be necessary or appropriate in order that the Company
may validly and legally issue fully paid and non-assessable shares of Common Stock upon the exercise of this Warrant, and (iii)
shall, so long as any of the Warrants issued pursuant to the Purchase Agreement are outstanding, take all action necessary to reserve
and keep available out of its authorized and unissued shares of Common Stock, solely for the purpose of effecting the exercise
of such Warrants, the maximum number of shares of Common Stock as shall from time to time be necessary to effect the exercise of
such Warrants then outstanding.

 

9.          Warrant
Holder not Deemed a Stockholder. Except as otherwise specifically provided herein, the Holder, solely in its capacity as a
holder of this Warrant, shall not be entitled to vote or receive dividends or be deemed the holder of share capital of the Company
for any purpose, nor shall anything contained in this Warrant be construed to confer upon the Holder, solely in its capacity as
the Holder of this Warrant, any of the rights of a stockholder of the Company or any right to vote, give or withhold consent to
any corporate action (whether any reorganization, issue of stock, reclassification of stock, consolidation, merger, conveyance
or otherwise), receive notice of meetings, receive dividends or subscription rights, or otherwise, prior to the issuance to the
Holder of the Warrant Shares which it is then entitled to receive upon the due exercise of this Warrant. In addition, nothing contained
in this Warrant shall be construed as imposing any liabilities on the Holder to purchase any securities (upon exercise of this
Warrant or otherwise) or as a stockholder of the Company, whether such liabilities are asserted by the Company or by creditors
of the Company. Notwithstanding this Section 9, the Company shall provide the Holder with copies of the same notices and other
information given to the stockholders of the Company generally, contemporaneously with the giving thereof to the stockholders.

 

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10.         Transmittal
of Notices. Whenever notice is required to be given under this Warrant, unless otherwise provided herein, such notice shall
be given in accordance with Section 9.8 of the Purchase Agreement. The Company shall provide the Holder with prompt written notice
of all actions taken pursuant to this Warrant, including in reasonable detail a description of such action and the reason therefor.
Without limiting the generality of the foregoing, the Company will give written notice to the Holder (i) promptly upon each adjustment
of the Exercise Price and the number of Warrant Shares, setting forth in reasonable detail, and certifying, the calculation of
such adjustment(s) and (ii) at least fifteen (15) days prior to the date on which the Company closes its books or takes a record
(A) with respect to any dividend or distribution upon the shares of Common Stock, (B) with respect to any grants, issuances or
sales of any Options, Convertible Securities or rights to purchase stock, warrants, securities or other property to holders of
shares of Common Stock or (C) for determining rights to vote with respect to any Fundamental Transaction, dissolution or liquidation,
provided in each case that such information shall be made known to the public prior to or in conjunction with such notice being
provided to the Holder and (iii) at least ten (10) Trading Days prior to the consummation of any Fundamental Transaction. To the
extent that any notice provided hereunder constitutes, or contains, material, non-public information regarding the Company or any
of its Subsidiaries, the Company shall simultaneously file such notice with the SEC (as defined in the Purchase Agreement) pursuant
to a Current Report on Form 8-K. It is expressly understood and agreed that the time of execution specified by the Holder in each
Exercise Notice shall be definitive and may not be disputed or challenged by the Company.

 

		11.	   Miscellaneous.

  

11.1.          Amendment
and Waiver. Except as otherwise provided herein, the provisions of this Warrant may be amended and the Company may take any
action herein prohibited, or omit to perform any act herein required to be performed by it, only if the Company has obtained the
written consent of the Holder. The Holder shall be entitled, at its option, to the benefit of any amendment of (i) any other Warrant
issued under the Purchase Agreement or (ii) any other similar warrant. No waiver shall be effective unless it is in writing and
signed by an authorized representative of the waiving party.

 

11.2.          Construction;
Headings. The headings contained herein are for the sole purpose of convenience of reference, and shall not in any way limit
or affect the meaning or interpretation of any of the terms or provisions of this Warrant. This Warrant shall be deemed to be jointly
drafted by the Company and the Holder and shall not be construed against any Person as the drafter hereof. Terms used in this Warrant
but defined in the Related Agreements shall have the meanings ascribed to such terms on the Closing Date (as defined in the Purchase
Agreement) in such other Related Agreements unless otherwise consented to in writing by the Holder.

 

11.3.          Entire
Agreement. This Warrant (together with the other agreements and documents being delivered pursuant to or in connection with
this Warrant) constitutes the entire agreement of the parties hereto with respect to the subject matter hereof, and supersedes
all prior agreements and understandings of the parties, oral and written, with respect to the subject matter hereof.

 

11.4.          Binding
Effect. This Warrant shall inure solely to the benefit of and shall be binding upon, the Holder and the Company and their permitted
assignees, respective successors, legal representative and assigns, and no other person shall have or be construed to have any
legal or equitable right, remedy or claim under or in respect of or by virtue of this Warrant or any provisions herein contained;
provided, however, that this Warrant may be offered for sale, sold, transferred or assigned without the consent of
the Company.

 

    	11

    	 

    

 

11.5.          Governing
Law; Submission to Jurisdiction. This Warrant shall be governed by and construed and enforced in accordance with the laws of
the State of New York, without giving effect to conflict of laws principles thereof (other than sections 5-1401 and 5-1402 of the
New York General Obligations law, which shall apply to this Warrant). The Company hereby agrees that any action, proceeding or
claim against it arising out of, or relating in any way to this Warrant shall be brought and enforced in the New York Supreme Court,
County of New York, or in the United States District Court for the Southern District of New York, and irrevocably submits to such
jurisdiction, which jurisdiction shall be exclusive. The Company hereby waives any objection to such exclusive jurisdiction and
that such courts represent an inconvenient forum. Any process or summons to be served upon the Company may be served by transmitting
a copy thereof by registered or certified mail, return receipt requested, postage prepaid, addressed to it at the address set forth
in Section 10 hereof. Such mailing shall be deemed personal service and shall be legal and binding upon the Company in any action,
proceeding or claim. The Company and the Holder agree that the prevailing party(ies) in any such action shall be entitled to recover
from the other party(ies) all of its reasonable attorneys’ fees and expenses relating to such action or proceeding and/or
incurred in connection with the preparation therefor. THE COMPANY HEREBY IRREVOCABLY WAIVES ANY RIGHT IT MAY HAVE TO, AND AGREES
NOT TO REQUEST, A JURY TRIAL FOR THE ADJUDICATION OF ANY DISPUTE HEREUNDER OR IN CONNECTION WITH OR ARISING OUT OF THIS WARRANT
OR ANY TRANSACTION CONTEMPLATED HEREBY.

 

11.6.          Dispute
Resolution. In the case of a dispute as to the determination of the Exercise Price, the Closing Sale Price, the Bid Price or
fair market value or the arithmetic calculation of the Warrant Shares (as the case may be), the Company or the Holder (as the case
may be) shall submit the disputed determinations or arithmetic calculations (as the case may be) via facsimile (i) within two (2)
Business Days after receipt of the applicable notice giving rise to such dispute to the Company or the Holder (as the case may
be) or (ii) if no notice gave rise to such dispute, at any time after the Holder learned of the circumstances giving rise to such
dispute (including, without limitation, as to whether any issuance or sale or deemed issuance or sale was an issuance or sale or
deemed issuance or sale of Excluded Securities). If the Holder and the Company are unable to agree upon such determination or calculation
(as the case may be) of the Exercise Price, the Closing Sale Price, the Bid Price or fair market value or the number of Warrant
Shares (as the case may be) within three (3) Business Days of such disputed determination or arithmetic calculation being submitted
to the Company or the Holder (as the case may be), then the Company shall, within two (2) Business Days submit via facsimile (a)
the disputed determination of the Exercise Price, the Closing Sale Price, the Bid Price or fair market value (as the case may be)
to an independent, reputable investment bank selected by the Holder and reasonably acceptable to the Company or (b) the disputed
arithmetic calculation of the Warrant Shares to an independent, outside accountant selected by the Holder and reasonably acceptable
to the Company. The Company shall cause at its expense the investment bank or the accountant (as the case may be) to perform the
determinations or calculations (as the case may be) and notify the Company and the Holder of the results no later than ten (10)
Business Days from the time it receives such disputed determinations or calculations (as the case may be). Such investment bank’s
or accountant’s determination or calculation (as the case may be) shall be binding upon all parties absent demonstrable error.

 

    	12

    	 

    

 

11.7.          Remedies,
Characterization, Other Obligations, Breaches and Injunctive Relief. The remedies provided in this Warrant shall be cumulative
and in addition to all other remedies available under this Warrant and the other Related Agreements, at law or in equity (including
a decree of specific performance and/or other injunctive relief), and nothing herein shall limit the right of the Holder to pursue
actual and consequential damages for any failure by the Company to comply with the terms of this Warrant. The Company covenants
to the Holder that there shall be no characterization concerning this instrument other than as expressly provided herein. Amounts
set forth or provided for herein with respect to payments, exercises and the like (and the computation thereof) shall be the amounts
to be received by the Holder and shall not, except as expressly provided herein, be subject to any other obligation of the Company
(or the performance thereof). The Company acknowledges that a breach by it of its obligations hereunder will cause irreparable
harm to the Holder and that the remedy at law for any such breach may be inadequate. The Company therefore agrees that, in the
event of any such breach or threatened breach, the holder of this Warrant shall be entitled, in addition to all other available
remedies, to an injunction restraining any breach, without the necessity of showing economic loss and without any bond or other
security being required. The Company shall provide all information and documentation to the Holder that is requested by the Holder
to enable the Holder to confirm the Company’s compliance with the terms and conditions of this Warrant (including, without
limitation, compliance with Section 5 hereof). The issuance of shares and certificates for shares as contemplated hereby upon the
exercise of this Warrant shall be made without charge to the Holder or such shares for any issuance tax or other costs in respect
thereof, provided that the Company shall not be required to pay any tax which may be payable in respect of any transfer involved
in the issuance and delivery of any certificate in a name other than the Holder or its agent on its behalf.

 

11.8.          Certain
Definitions. For purposes of this Warrant, the following terms shall have the following meanings:

 

a.           “Bid
Price” means, for any security as of the particular time of determination, the bid price for such security on the Principal
Market as reported by Bloomberg as of such time of determination, or, if the Principal Market is not the principal securities exchange
or trading market for such security, the bid price of such security on the principal securities exchange or trading market where
such security is listed or traded as reported by Bloomberg as of such time of determination, or if the foregoing does not apply,
the bid price of such security in the over-the-counter market on the electronic bulletin board for such security as reported by
Bloomberg as of such time of determination, or, if no bid price is reported for such security by Bloomberg as of such time of determination,
the average of the bid prices of any market makers for such security as reported in the “pink sheets” by OTC Markets
Group Inc. (formerly Pink Sheets LLC) as of such time of determination. If the Bid Price cannot be calculated for a security as
of the particular time of determination on any of the foregoing bases, the Bid Price of such security as of such time of determination
shall be the fair market value as mutually determined by the Company and the Holder. If the Company and the Holder are unable to
agree upon the fair market value of such security, then such dispute shall be resolved in accordance with the procedures in Section 11.7.
All such determinations shall be appropriately adjusted for any stock dividend, stock split, stock combination or other similar
transaction during such period.

  

b.           “Bloomberg”
means Bloomberg, L.P.

  

    	13

    	 

    

  

c.           “Business
Day” means any day other than Saturday, Sunday or other day on which commercial banks in The City of New York are authorized
or required by law to remain closed.

 

d.           “Closing
Sale Price” means, for any security as of any date, the last closing trade price for such security on the Principal Market,
as reported by Bloomberg, or, if the Principal Market begins to operate on an extended hours basis and does not designate the closing
trade price, then the last trade price of such security prior to 4:00:00 p.m., New York time, as reported by Bloomberg, or, if
the Principal Market is not the principal securities exchange or trading market for such security, the last trade price of such
security on the principal securities exchange or trading market where such security is listed or traded as reported by Bloomberg,
or if the foregoing does not apply, the last trade price of such security in the over-the-counter market on the electronic bulletin
board for such security as reported by Bloomberg, or, if no last trade price is reported for such security by Bloomberg, the average
of the ask prices of any market makers for such security as reported in the “pink sheets” by OTC Markets Group Inc.
(formerly Pink Sheets LLC). If the Closing Sale Price cannot be calculated for a security on a particular date on any of the foregoing
bases, the Closing Sale Price of such security on such date shall be the fair market value as mutually determined by the Company
and the Holder. If the Company and the Holder are unable to agree upon the fair market value of such security, then such dispute
shall be resolved in accordance with the procedures in Section 13. All such determinations shall be appropriately adjusted
for any stock dividend, stock split, stock combination or other similar transaction during such period.

 

e.           “Common
Stock” means (i) the Company’s shares of common stock, no par value per share, and (ii) any capital
stock into which such common stock shall have been changed or any share capital resulting from a reclassification of such common
stock.

 

f.            “Convertible
Securities” means any stock or other security (other than Options) that is at any time and under any circumstances, directly
or indirectly, convertible into, exercisable or exchangeable for, or which otherwise entitles the holder thereof to acquire, any
shares of Common Stock.

 

g.           “Eligible
Market” means The New York Stock Exchange, the NYSE MKT, the Nasdaq Global Select Market, the Nasdaq Global Market, the
Nasdaq Capital Market, the OTC Bulletin board or the Principal Market.

 

h.           “Expiration
Date” means the date that is the fifth (5th) anniversary of the Issuance Date or, if such date falls on a
day other than a Business Day or on which trading does not take place on the Principal Market (a “Holiday”),
the next date that is not a Holiday.

  

    	14

    	 

    

  

i.            “Fundamental
Transaction” means that (i) the Company or any of its Subsidiaries shall, directly or indirectly, in one or more related
transactions, (1) consolidate or merge with or into (whether or not the Company or any of its Subsidiaries is the surviving corporation)
any other Person, or (2) sell, lease, license, assign, transfer, convey or otherwise dispose of all or substantially all of its
respective properties or assets to any other Person, or (3) allow any other Person to make a purchase, tender or exchange offer
that is accepted by the holders of more than 50% of the outstanding shares of Voting Stock of the Company (not including any shares
of Voting Stock of the Company held by the Person or Persons making or party to, or associated or affiliated with the Persons making
or party to, such purchase, tender or exchange offer), or (4) consummate a stock or share purchase agreement or other business
combination (including, without limitation, a reorganization, recapitalization, spin-off or scheme of arrangement) with any other
Person whereby such other Person acquires more than 50% of the outstanding shares of Voting Stock of the Company (not including
any shares of Voting Stock of the Company held by the other Person or other Persons making or party to, or associated or affiliated
with the other Persons making or party to, such stock or share purchase agreement or other business combination), or (5) (I) reorganize,
recapitalize or reclassify the Common Stock, (II) effect or consummate a stock combination, reverse stock split or other similar
transaction involving the Common Stock or (III) make any public announcement or disclosure with respect to any stock combination,
reverse stock split or other similar transaction involving the Common Stock (including, without limitation, any public announcement
or disclosure of (x) any potential, possible or actual stock combination, reverse stock split or other similar transaction involving
the Common Stock or (y) board or stockholder approval thereof, or the intention of the Company to seek board or stockholder approval
of any stock combination, reverse stock split or other similar transaction involving the Common Stock), or (ii) any “person”
or “group” (as these terms are used for purposes of Sections 13(d) and 14(d) of the 1934 Act and the rules and regulations
promulgated thereunder) is or shall become the “beneficial owner” (as defined in Rule 13d-3 under the 1934 Act), directly
or indirectly, of 50% of the aggregate ordinary voting power represented by issued and outstanding Voting Stock of the Company.

 

j.            “Options”
means any rights, warrants or options to subscribe for or purchase shares of Common Stock or Convertible Securities.

 

k.          “Parent
Entity” of a Person means an entity that, directly or indirectly, controls the applicable Person and whose common stock
or equivalent equity security is quoted or listed on an Eligible Market, or, if there is more than one such Person or Parent Entity,
the Person or Parent Entity with the largest public market capitalization as of the date of consummation of the Fundamental Transaction.

 

l.            “Person”
means an individual, a limited liability company, a partnership, a joint venture, a corporation, a trust, an unincorporated organization,
any other entity or a government or any department or agency thereof.

 

m.           “Principal
Market” means the “pink sheets” by the OTC Markets Group Inc.

 

n.           “Successor
Entity” means the Person (or, if so elected by the Holder, the Parent Entity) formed by, resulting from or surviving
any Fundamental Transaction or the Person (or, if so elected by the Holder, the Parent Entity) with which such Fundamental Transaction
shall have been entered into.

  

    	15

    	 

    

  

o.           “Trading
Day” means, as applicable, (x) with respect to all price determinations relating to the Common Stock, any day on which
the Common Stock is traded on the Principal Market, or, if the Principal Market is not the principal trading market for the Common
Stock, then on the principal securities exchange or securities market on which the Common Stock is then traded, provided that “Trading
Day” shall not include any day on which the Common Stock is scheduled to trade on such exchange or market for less than 4.5
hours or any day that the Common Stock is suspended from trading during the final hour of trading on such exchange or market (or
if such exchange or market does not designate in advance the closing time of trading on such exchange or market, then during the
hour ending at 4:00:00 p.m., New York time) unless such day is otherwise designated as a Trading Day in writing by the Holder or
(y) with respect to all determinations other than price determinations relating to the Common Stock, any day on which The New York
Stock Exchange (or any successor thereto) is open for trading of securities.

 

p.           “Voting
Stock” of a Person means capital stock of such Person of the class or classes pursuant to which the holders thereof have
the general voting power to elect, or the general power to appoint, at least a majority of the board of directors, managers or
trustees of such Person (irrespective of whether or not at the time capital stock of any other class or classes shall have or might
have voting power by reason of the happening of any contingency). 

 

[Remainder of page deliberately left
blank.]

 

    	16

    	 

    

 

IN WITNESS WHEREOF,
the Company has caused this Warrant to be signed by its duly authorized officer as of the Issuance Date set out above.

 

	 	HEALTHCARE CORPORATION OF AMERICA
	 	 	 
	 	By:	 
	 	Name:	 
	 	Title:	Chief Executive Officer

 

    	 

    	 

    

 

EXHIBIT A

 

EXERCISE NOTICE

 

TO BE EXECUTED BY THE REGISTERED HOLDER
TO EXERCISE THIS

WARRANT TO PURCHASE COMMON STOCK

 

HEALTHCARE CORPORATION OF AMERICA

 

The undersigned holder hereby exercises the right to purchase
_________________ of the shares of Common Stock (“Warrant Shares”) of Healthcare Corporation of America, a Delaware
corporation (the “Company”), evidenced by Warrant No. _______ (the “Warrant”). Capitalized
terms used herein and not otherwise defined shall have the respective meanings set forth in the Warrant.

 

1.          Form
of Exercise Price. The Holder intends that payment of the Exercise Price shall be made as:

 

		____________	a “Cash Exercise” with respect to _________________ Warrant Shares; and/or

 

		____________	a “Cashless Exercise” with respect to _______________ Warrant Shares.

 

In the event that the
Holder has elected a Cashless Exercise with respect to some or all of the Warrant Shares to be issued pursuant hereto, the Holder
hereby represents and warrants that (i) this Exercise Notice was executed by the Holder at __________ [a.m.][p.m.] on the date
set forth below and (ii) if applicable, the Bid Price as of such time of execution of this Exercise Notice was $________.

 

2.          Payment
of Exercise Price. In the event that the Holder has elected a Cash Exercise with respect to some or all of the Warrant Shares
to be issued pursuant hereto, the Holder shall pay the Aggregate Exercise Price in the sum of $___________________ to the Company
in accordance with the terms of the Warrant.

 

3.          Delivery
of Warrant Shares. The Company shall deliver to Holder, or its designee or agent as specified below, __________ Warrant Shares
in accordance with the terms of the Warrant. Delivery shall be made to Holder, or for its benefit, to the following address:

 

_______________________

_______________________

_______________________

_______________________

 

	Date: _______________ __, ______	 
	 	 
	 	 
	Name of Registered Holder	 
	 	 
	By:	 	 
	 	Name:	 
	 	Title:	 

 

 

    	 

    	 

    

  

EXHIBIT B

 

ACKNOWLEDGMENT

 

The Company hereby
acknowledges this Exercise Notice and hereby directs ______________ to issue the above indicated number of shares of Common Stock
in accordance with the Transfer Agent Instructions dated _________, 20__, from the Company and acknowledged and agreed to by _______________.

 

 

	 	 	HEALTHCARE CORPORATION OF AMERICA
	 	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:MASTER SECURITY AGREEMENT

 

(the “Agreement”)

 

		To:	Chardan Capital Markets, LLC, as Agent

17 State Street, Suite 1600

New York, NY 10004

 

Date: December 31, 2013

 

To Whom It May Concern:

 

1.          To
secure the payment of all Obligations (as hereafter defined), HEALTHCARE CORPORATION OF AMERICA, a Delaware corporation (the “Company”),
each of the other undersigned parties (other than the Agent (as defined below)) and each other entity that is required to enter
into this Agreement (each an “Assignor” and, collectively, the “Assignors”) hereby assigns
grants and pledges to the Agent, for its benefit and for the ratable benefit of the Creditor Parties (as defined in the Purchase
Agreement referred to below), a continuing security interest in all of the following property now owned or at any time hereafter
acquired by such Assignor, or in which such Assignor now has or at any time in the future may acquire any right, title or interest
wherever located (the “Collateral”): all cash, cash equivalents, accounts, accounts receivable, deposit accounts,
inventory, equipment, goods, fixtures, documents, instruments (including, without limitation, promissory notes), contract rights,
commercial tort claims (including, without limitation, those set forth on Schedule B attached hereto), general intangibles
(including, without limitation, payment intangibles and an absolute right to license on terms no less favorable than those current
in effect among such Assignor’s affiliates), chattel paper, supporting obligations, investment property (including, without
limitation, all partnership interests, limited liability company membership interests and all other equity interests owned by any
Assignor), letter-of-credit rights, trademarks, trademark applications, patents, patent applications, copyrights, copyright applications
and other intellectual property in which such Assignor now has or hereafter may acquire any right, title or interest, all proceeds
and products thereof (including, without limitation, proceeds of insurance) and all additions, accessions and substitutions thereto
or therefor. Notwithstanding the foregoing, the Collateral shall not include Excluded Property (as hereinafter defined). As used
herein “Excluded Property” means, collectively, (a) any property or asset if and to the extent that a security
interest is prohibited by or in violation of any law, rule or regulation (unless such law, rule or regulation would be rendered
ineffective with respect to the creation of the security interest hereunder pursuant to Sections 9-406, 9-408 or 9-409 (or any
successor provision or provisions) of the UCC of any relevant jurisdiction or any other applicable law (including Title 11, U.S.C.A.,
as amended from time to time and any successor statute thereto, the “Bankruptcy Code”) or principles of equity);
(b) any “intent-to-use” application for registration of a trademark filed pursuant to Section 1(b) of the Lanham
Act, 15 U.S.C. § 1051, prior to the filing of a “Statement of Use” pursuant to Section 1(d) of the Lanham Act
or an “Amendment to Allege Use” pursuant to Section 1(c) of the Lanham Act with respect thereto, solely to the extent,
if any, that, and solely during the period, if any, in which, the grant of a security interest therein would impair the validity
or enforceability of any registration that issues from such intent-to-use trademark application under applicable federal law; and
(c) any lease, license, contract or other agreement (or any equipment or other assets owned by an Assignor that are subject to
or secured by a purchase money lien or a capital lease) to the extent that such lease, license, contract or other agreement (or
the agreement pursuant to which such purchase money lien is granted (or the document providing for such capital lease)) prohibits
or would result in the termination of such agreement or document because of a grant of a security interest therein by an Assignor,
including if such agreement or document requires the consent of any person other than an Assignor as a condition to the grant of
a security interest therein by such Assignor, which consent has not been obtained (unless such contractual prohibition would be
rendered ineffective with respect to the creation of the security interest hereunder pursuant to Sections 9-406, 9-407, 9-408 or
9-409 of the UCC (or any successor provision or provisions) of any relevant jurisdiction or any other applicable law (including
the Bankruptcy Code or principles of equity).. Except as otherwise defined herein, all capitalized terms used herein shall have
the meanings provided such terms in that certain Securities Purchase Agreement dated as of the date hereof (as amended, restated,
modified and/or supplemented from time to time, the “Purchase Agreement”) by and among the Company, the Purchasers
party thereto and Chardan Capital Markets, LLC, as administrative and collateral agent for the Purchasers (the “Agent”).
All items of Collateral which are defined in the UCC and not otherwise defined herein shall have the meanings set forth in the
UCC. For purposes hereof, the term “UCC” means the Uniform Commercial Code as the same may, from time to time,
be in effect in the State of New York; provided, that in the event that, by reason of mandatory provisions of law, any or all of
the attachment, perfection or priority of, or remedies with respect to, the Agent’s security interest in any Collateral is
governed by the Uniform Commercial Code as in effect in a jurisdiction other than the State of New York, the term “UCC”
shall mean the Uniform Commercial Code as in effect in such other jurisdiction for purposes of the provisions of this Agreement
relating to such attachment, perfection, priority or remedies and for purposes of definitions related to such provisions; provided
further, that to the extent that the UCC is used to define any term herein and such term is defined differently in different Articles
or Divisions of the UCC, the definition of such term contained in Article or Division 9 shall govern.

 

    	 

    	 

    

 

2.          The
term “Obligations” as used herein shall mean and include all debts, liabilities and obligations owing by each
Assignor to any Creditor Party arising under, out of, or in connection with: (i) the Purchase Agreement, (ii) the Note and (iii)
the Related Agreements (other than the Warrants) (the Purchase Agreement, the Note and the Related Agreements (other than the Warrants),
as each may be amended, modified, restated or supplemented from time to time, collectively, the “Documents”)
and in connection with any documents, instruments or agreements relating to or executed in connection with the Documents or any
documents, instruments or agreements referred to therein or otherwise, whether now existing or hereafter arising, direct or indirect,
liquidated or unliquidated, absolute or contingent, due or not due and whether under, pursuant to or evidenced by a note, agreement,
guaranty, instrument or otherwise, including, without limitation, obligations and liabilities of each Assignor for post-petition
interest, fees, costs and charges that accrue after the commencement of any case by or against such Assignor under any bankruptcy,
insolvency, reorganization or like proceeding (collectively, the “Debtor Relief Laws”) in each case, irrespective
of the genuineness, validity, regularity or enforceability of such Obligations, or of any instrument evidencing any of the Obligations
or of any collateral therefor or of the existence or extent of such collateral, and irrespective of the allowability, allowance
or disallowance of any or all of the Obligations in any case commenced by or against any Assignor under any Debtor Relief Law.
For the avoidance of doubt, the term “Obligations” shall expressly exclude any obligations and/or liabilities arising
under the Warrants, which such obligations and/or liabilities are unsecured.

 

    	2

    	 

    

 

3.          Anything
herein to the contrary notwithstanding, (a) each of the Assignors shall remain liable under the contracts and agreements included
in the Collateral, (b) the exercise by Agent of any of the rights hereunder shall not release any Assignor from any of its duties
or obligations under such contracts and agreements included in the Collateral, and (c) no Creditor Party shall have any obligation
or liability under such contracts and agreements included in the Collateral by reason of this Agreement, nor shall any Creditor
Party be obligated to perform any of the obligations or duties of any Assignor thereunder or to take any action to collect or enforce
any claim for payment assigned hereunder. Until an Event of Default shall occur and be continuing, except as otherwise provided
in this Agreement or any other Document, Assignors shall have the right to possession and enjoyment of the Collateral for the purpose
of conducting the ordinary course of their respective businesses, subject to and upon the terms hereof and the other Documents.
Without limiting the generality of the foregoing, it is the intention of the parties hereto that record and beneficial ownership
of the equity interests constituting Collateral, including all voting, consensual, and dividend rights, shall remain in the applicable
Assignor until the occurrence of an Event of Default and until Agent shall notify the applicable Assignor of Agent’s exercise
of voting, consensual, or dividend rights with respect to any such Collateral.

 

4.             Each
Assignor hereby jointly and severally represents, warrants and covenants to the Creditor Parties, that:

 

		(a)	it is a corporation, partnership or limited liability
company, as the case may be, validly existing, in good standing and formed under the respective laws of its jurisdiction of formation
set forth on Schedule A, and each Assignor will provide the Agent thirty (30) days’ prior written notice of any change
in any of its respective jurisdiction of formation;

 

		(b)	its legal name is as set forth in its Certificate of
Incorporation or other organizational document (as applicable) as amended through the date hereof and as set forth on Schedule
A attached hereto, and it will provide the Agent thirty (30) days’ prior written notice of any change in its legal name;

 

		(c)	its organizational identification number (if applicable)
is as set forth on Schedule A hereto, and it will provide the Agent thirty (30) days’ prior written notice of any
change in its organizational identification number;

 

		(d)	it is the legal and beneficial owner of its respective
Collateral and it has the sole right to grant a security interest therein and will defend such Collateral against all claims and
demands of all persons and entities;

 

		(e)	it has no interest in, or title to, any Copyrights, Patents,
or Trademarks except as set forth on Schedules C, D and E, respectively, attached hereto.

 

    	3

    	 

    

 

		(f)	it will keep its Collateral free and clear of all attachments,
levies, taxes, liens, security interests and encumbrances of every kind and nature (“Encumbrances”), except
for the following (the “Permitted Liens”):

 

		(i)	those in favor of Partners for Growth III, L.P, a Delaware
limited partnership (the “Senior Lender”);

 

		(ii)	those in favor of the Agent, for the ratable benefit
of the Purchasers;

		 	 

		(iii)	those in favor of suppliers of inventory, in the ordinary
course of business

		 	 

		(iv)	those resulting from taxes which have not yet become
delinquent;

		 	 

		(v)	deposits or pledges made in connection with, or to secure
payment of, workmen’s compensation, unemployment insurance, old age pensions or other social security obligations or to
secure the performance of bids, tenders, contracts (other than for the repayment of borrowed money) or leases or to secure statutory
obligations or surety or appeal bonds, or to secure indemnity, performance or other similar bonds in the ordinary course of business;

		 	 

		(vi)	Encumbrances to lessors under capitalized leases and
purchase money security interests in or purchase money mortgages on personal property acquired after the date hereof to secure
purchase money indebtedness, which security interests or mortgages cover only the personal property so acquired;

		 	 

		(vii)	Encumbrances arising in the ordinary course of business
out of mechanics’, carriers’, laborers, material suppliers, workmen’s, repairmen’s or other like liens
in respect of obligations which are not overdue, or making deposits to obtain the release of such liens or are being contested
in good faith and by appropriate proceedings diligently conducted and for which proper reserve or other provision has been made
in accordance with and to the extent required by generally accepted accounting principles (“GAAP”) so long
as such Encumbrances do not gain priority over any of the Encumbrances in favor of the Agent;

		 	 

		(viii)	making deposits to secure replevin, surety, attachment
or appeal bonds relating to legal proceedings to which any Assignor is a party;

		 	 

		(ix)	bankers’ liens, rights of set-off or similar rights
as to accounts maintained with a financial institution;

 

    	4

    	 

    

 

		(x)	Encumbrances in favor of vendors of goods arising as
a matter of law securing the payment of the purchase price therefor so long as such Encumbrances attach only to the purchased
goods;

		 	 

		(xi)	Encumbrances arising out of judgments or awards against
any Assignor with respect to which it is currently engaged in proceedings for review or appeal and with respect to which it shall
have secured a stay of execution pending such proceedings for review or appeal;

		 	 

		(xii)	any interest of title of a licensor, sublicensor, lessor
or sublessor, lessee or sublessee, in each case under any license or lease agreement in the ordinary course of business arising
solely under a state statute or common law and liens arising from Uniform Commercial Code financing statements (or equivalent
filings, registrations or agreements in foreign jurisdictions) solely evidencing a lessor’s interest under leases;

		 	 

		(xiii)	Encumbrances on insurance policies and the proceeds thereof
securing the financing of the premiums with respect thereto;

		 	 

		(xiv)	Encumbrances (i) arising by reason of zoning restrictions,
easements, licenses, reservations, restrictions, covenants, rights-of-way, encroachments, minor defects or irregularities in title
(including leasehold title) and other similar encumbrances on the use of real property or (ii) consisting of leases, licenses
or subleases granted by a lessor, licensor or sublessor on its property;

		 	 

		(xv)	Encumbrances of landlords and mortgagees of landlords
(i) arising by statute or under any lease or related contractual obligation entered into in the ordinary course of business, (ii)
on fixtures and movable tangible property located on the real property leased or subleased from such landlord or (iii) for amounts
not yet due or that are being contested in good faith by appropriate proceedings diligently conducted;

		 	 

		(xvi)	Encumbrances arising solely under a state statute or
common law in connection with the purchase, storage or shipping of goods or assets on the related goods or assets and proceeds
thereof in favor of the seller, or shipper of such goods or assets; and

		 	 

		(xvii)	other minor Encumbrances not described above which do
not materially detract from the value of the property subject thereto or materially impair the operations of any Assignee so long
as in each such case, such Encumbrances have no effect on the lien priority of the Agent;

		 	 

		(xviii)	

 

    	5

    	 

    

 

		(g)	it will, at its and the other Assignors’ joint
and several cost and expense, keep the Collateral in good state of repair (ordinary wear and tear excepted) and will not waste
or destroy the same or any part thereof other than ordinary course discarding of items no longer used or useful in its or such
other Assignors’ business;

		 	 

		(h)	it will not, without the Agent’s prior written
consent, sell, exchange, lease or otherwise dispose of any Collateral, whether by sale, lease or otherwise, except for the sale
of inventory in the ordinary course of business and for the disposition or transfer in the ordinary course of business during
any fiscal year of obsolete and worn-out equipment or equipment no longer necessary for its ongoing needs, having an aggregate
fair market value of not more than $25,000 and only to the extent that:

 

		(i)	the proceeds of each such disposition are used to acquire
replacement Collateral which is subject to the Agent’s perfected security interest, or are used to repay the Obligations
or to pay general corporate expenses; or

		 	 

		(ii)	following the occurrence of an Event of Default which
continues to exist the proceeds of which are remitted to the Agent to be held as cash collateral for the Obligations;

 

	                                 (i)	(i)	it
will insure or cause the Collateral to be insured in the Agent’s name (as an additional insured and lender loss payee) against
loss or damage by fire, theft, burglary, pilferage, loss in transit and such other hazards as the Agent shall specify in amounts
and under policies by insurers acceptable to the Agent and all premiums thereon shall be paid by such Assignor and the policies
delivered to the Agent;

 

		(ii)	it will expressly agree that if additional loss payees
and/or lender loss payees, other than the Agent, are named to the Collateral, the Agent will always be assigned to first lien
position until all Obligations have been satisfied;

 

		(j)	it will at all reasonable times allow the Creditor Parties
or their respective representatives free access to and the right of inspection of the Collateral;

		 	 

		(k)	such Assignor (jointly and severally with each other
Assignor) hereby indemnifies and saves the Agent and each other Creditor Party harmless from all loss, costs, damage, liability
and/or expense, including reasonable attorneys’ fees, that the Agent and each other Creditor Party may sustain or incur
to enforce payment, performance or fulfillment of any of the Obligations and/or in the enforcement of this Agreement or in the
prosecution or defense of any action or proceeding either against the Agent, any other Creditor Party or any Assignor concerning
any matter growing out of or in connection with this Agreement, and/or any of the Obligations and/or any of the Collateral except
to the extent caused by the Agent’s or any Creditor Party’s own gross negligence or willful misconduct (as determined
by a court of competent jurisdiction in a final and non-appealable decision); and

 

    	6

    	 

    

 

		(l)	all commercial tort claims (as defined in the Uniform
Commercial Code as in effect in the State of New York) held by any Assignor as of the date hereof are set forth on Schedule
B to this Agreement; each Assignor hereby agrees that it shall promptly, and in any event within five (5) Business Days after
the same is acquired by it, notify the Agent of any commercial tort claim acquired by it and unless otherwise consented to in
writing by the Agent, it shall enter into a supplement to this Agreement granting to the Agent a security interest for the ratable
benefit of the Creditor Parties in such commercial tort claim, securing the Obligations.

		 	 

5.          This
Agreement creates a valid security interest in all of the Collateral of each Assignor, to the extent a security interest therein
can be created under the UCC, securing the payment of the Obligations. Except to the extent a security interest in the Collateral
cannot be perfected by the filing of a financing statement under the UCC, all filings and other actions necessary or desirable
to perfect and protect such security interest have been duly taken or will have been taken upon the filing of financing statements
listing each applicable Assignor, as a debtor, and Agent, as secured party, in the jurisdictions listed next to such Assignor’s
name on Schedule A attached hereto. Upon the making of such filings, Agent, for the ratable benefit of Creditor Parties,
shall have a second priority perfected security interest in all of the Collateral of each Assignor to the extent such security
interest can be perfected by the filing of a financing statement, subject only to Permitted Liens. All action by any Assignor necessary
to protect and perfect such security interest on each item of Collateral has been duly taken.

 

6.          Upon
the occurrence of any Event of Default (as defined in the Notes)[1]/
and at any time thereafter, the Agent may declare all Obligations immediately due and payable and the Agent shall have the remedies
of a secured party provided in the UCC as in effect in the State of New York, this Agreement and other applicable law.

 

7.          If
any Assignor defaults in the performance or fulfillment of any of the terms, conditions, promises, covenants, provisions or warranties
on such Assignor’s part to be performed or fulfilled under or pursuant to this Agreement, the Agent may, at its option without
waiving its right to enforce this Agreement according to its terms, immediately or at any time thereafter and without notice to
any Assignor, perform or fulfill the same or cause the performance or fulfillment of the same for each Assignor’s joint and
several account and at each Assignor’s joint and several cost and expense, and the cost and expense thereof (including reasonable
attorneys’ fees) shall be added to the Obligations and shall be payable on demand with interest thereon at the default rate
of interest set forth in the Note, or, at the Agent’s option, debited by the Agent from any other deposit accounts in the
name of any Assignor and controlled by the Agent.

 

 

1/
We deleted the definition of “Event of Default” in here as it conflicts with the definition in the Note.

 

    	7

    	 

    

 

8.          Upon
the occurrence of any Event of Default under any Document and at any time thereafter, the Agent will have the right to take possession
of the Collateral and to maintain such possession on any Assignor’s premises or to remove the Collateral or any part thereof
to such other premises as the Agent may desire. Upon the Agent’s request following the occurrence of an Event of Default,
each Assignor shall assemble or cause the Collateral to be assembled and make it available to the Agent at a place designated by
the Agent. Following the occurrence of an Event of Default, the Agent may, if it so elects, seek the appointment of a receiver
or keeper to take possession of the Collateral and to enforce any of the Agent’s remedies (for the benefit of the Agent and
the Creditor Parties), with respect to such appointment without prior notice or hearing as to such appointment. If any notification
of intended disposition of any Collateral is required by law, such notification, if mailed, shall be deemed properly and reasonably
given if mailed at least ten (10) days before such disposition, postage prepaid, addressed to the applicable Assignor either at
such Assignor’s address shown herein or at any address appearing on the Agent’s records for such Assignor. Any proceeds
of any disposition of any of the Collateral shall be applied by the Agent to the payment of all expenses in connection with the
sale of the Collateral, including reasonable attorneys’ fees and other legal expenses and disbursements and the reasonable
expenses of retaking, holding, preparing for sale, selling, and the like, and any balance of such proceeds may be applied by the
Agent toward the payment of the Obligations in such order of application as the Agent may elect, and each Assignor shall be liable
for any deficiency. For the avoidance of doubt, following the occurrence and during the continuance of an Event of Default for
which Agent has declared all Obligations immediately due and payable, the Agent shall have the immediate right to withdraw any
and all monies contained in any deposit account in the name of any Assignor and controlled by the Agent and apply same to the repayment
of the Obligations (in such order of application as the Agent may elect).

 

9.          Each
Assignor hereby appoints the Agent, or any other Person whom the Agent may designate as such Assignor’s attorney, with power
to: (a) (i) to supply any omitted information and correct patent errors in any documents executed by such Assignor or on such Assignor’s
behalf; (ii) to file financing statements against such Assignor covering the Collateral (and, in connection with the filing of
any such financing statements, describe the Collateral as “all assets and all personal property, whether now owned and/or
hereafter acquired” (or any substantially similar variation thereof)); and (iii) to do all other things the Agent deems reasonably
necessary to carry out the terms of this Agreement and (b) upon the occurrence and during the continuance of an Event of Default;
(i) endorse such Assignor’s name on any checks, notes, acceptances, money orders, drafts or other forms of payment or security
that may come into the Agent’s possession; (ii) sign such Assignor’s name on any invoice or bill of lading relating
to any accounts receivable, drafts against account debtors, schedules and assignments of accounts receivable, notices of assignment,
financing statements and other public records, verifications of accounts receivable and notices to or from account debtors; (iii)
verify the validity, amount or any other matter relating to any accounts receivable by mail, telephone, telegraph or otherwise
with account debtors; and (iv) do all other things necessary to carry out this Agreement or any other Document. Each Assignor hereby
ratifies and approves all acts of the attorney and neither the Agent nor the attorney will be liable for any acts of commission
or omission, nor for any error of judgment or mistake of fact or law other than gross negligence or willful misconduct (as determined
by a court of competent jurisdiction in a final and non-appealable decision). This power being coupled with an interest, is irrevocable
so long as any Obligations remains unpaid.

 

    	8

    	 

    

 

10.         No
delay or failure on the Agent’s part in exercising any right, privilege or option hereunder shall operate as a waiver of
such or of any other right, privilege, remedy or option, and no waiver whatever shall be valid unless in writing, signed by the
Agent and then only to the extent therein set forth, and no waiver by the Agent of any default shall operate as a waiver of any
other default or of the same default on a future occasion. The Agent shall have the right to enforce any one or more of the remedies
available to the Agent, successively, alternately or concurrently.

 

11.         Each
Assignor agrees that from time to time, at its own expense, will promptly execute and deliver such documents or other instruments
and take all further action that may be necessary or that Agent or any Creditor Party may reasonably request in form reasonably
satisfactory to the Agent for purposes of affecting, continuing or perfecting the Agent’s security interest in the Collateral.
Additionally, each Assignor authorizes Agent at any time and from time to time to file, transmit, or communicate, as applicable,
financing statements and amendments on its behalf for purposes of perfecting the Agent’s security interest in the Collateral.
Each Assignor acknowledges that it is not authorized to file any financing statement or amendment or termination statement with
respect to any financing statement filed in connection with this Agreement without the prior written consent of Agent affected
thereby, subject to such Assignor’s rights under Section 9-509(d)(2) of the UCC.

 

12.         The
Assignors shall jointly and severally pay all of the Agent’s and each other Creditor Party’s out-of-pocket costs and
expenses, including reasonable fees and disbursements of counsel in connection with the prosecution or defense of any action, contest,
dispute, suit or proceeding concerning any matter in any way arising out of, related to or connected with any Document. The Assignors
shall also jointly and severally pay all of the Agent’s and each other Creditor Party’s reasonable fees, charges, out-of-pocket
costs and expenses, including fees and disbursements of counsel and appraisers, in connection with (a) the preparation, execution
and delivery of any waiver, any amendment thereto or consent proposed or executed in connection with the transactions contemplated
by the Documents, (b) the Agent’s obtaining performance of the Obligations under the Documents, including, but not limited
to the enforcement or defense of the Agent’s security interests, assignments of rights and liens hereunder as valid perfected
security interests, (c) any attempt to inspect, verify, protect, collect, sell, liquidate or otherwise dispose of any Collateral,
(d) any appraisals or re appraisals of any property (real or personal) pledged to the Agent by any Assignor as Collateral for,
or any other Person as security for, the Obligations hereunder and (e) any consultations in connection with any of the foregoing.
All such costs and expenses together with all filing, recording and search fees, taxes and interest payable by the Assignors to
the Agent shall be payable on demand and shall be secured by the Collateral.

 

    	9

    	 

    

 

13.         Each
Creditor Party hereby appoints Agent as collateral agent for purposes of holding, maintaining and enforcing any Collateral (including,
without limitation, the naming of Agent, as agent for Creditor Parties, as secured party in all UCC financing statements filed
or to be filed against Assignors). To secure the payment and performance of the Obligations, Creditor Parties hereby acknowledge,
confirm and agree that Agent has and shall continue to have for the ratable benefit of the Creditor Parties a continuing security
interest in all Collateral and each Creditor Party’s ratable interest therein shall have the same rank and priority. In furtherance
thereof, all proceeds of Collateral received by Agent shall be applied as follows:

 

		(a)	first, ratably to pay any expenses due to any
of the Creditor Parties (including, without limitation, the reasonable costs and expenses paid or incurred by any Secured Party
to correct any default under or enforce any provision of the Documents, or after the occurrence of any Event of Default in gaining
possession of, maintaining, handling, preserving, storing, shipping, selling, preparing for sale, or advertising to sell the Collateral,
or any portion thereof, irrespective of whether a sale is consummated) or indemnities then due to any of the Creditor Parties
under the Documents, until paid in full;

		 	 

		(b)	second, ratably to pay any fees or premiums then
due to any of the Creditor Parties under the Documents, until paid in full;

		 	 

		(c)	third, ratably to pay interest due in respect
of the Obligations then due to any of the Creditor Parties, until paid in full;

		 	 

		(d)	fourth, ratably to pay the principal amount of
all Secured Obligations then due to any of the Creditor Parties, until paid in full;

		 	 

		(e)	fifth, ratably to pay any other Secured Obligations
then due to any of the Creditor Parties; and

		 	 

		(f)	sixth, to Assignors or such other person entitled
thereto under applicable law.

 

14.         Each
right, power, and remedy of Agent as provided for in this Agreement or in any other Document or now or hereafter existing at law
or in equity or by statute or otherwise shall be cumulative and concurrent and shall be in addition to every other right, power,
or remedy provided for in this Agreement or in the other Documents or now or hereafter existing at law or in equity or by statute
or otherwise, and the exercise or beginning of the exercise by Agent, of any one or more of such rights, powers, or remedies shall
not preclude the simultaneous or later exercise by Agent of any or all such other rights, powers, or remedies. Each Assignor acknowledges
that a breach by it of its obligations hereunder will cause irreparable harm to each Creditor Party and that the remedy at law
for any such breach may be inadequate. Each Assignor therefore agrees that, in the event of the occurrence and continuance of an
Event of Default which could reasonably be expected to have a material adverse effect on any Assignor and/or the Collateral (a
“Material Breach”), Agent, on behalf of each Creditor Party, shall be entitled, in addition to all other available
remedies, to an injunction restraining any such Material Breach without the necessity of showing economic loss and without any
bond or other security being required.

 

    	10

    	 

    

 

15.         THIS
AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED AND ENFORCED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK APPLICABLE TO CONTRACTS
MADE AND PERFORMED IN SUCH STATE, WITHOUT REGARD TO PRINCIPLES OF CONFLICTS OF LAWS. All of the rights, remedies, options, privileges
and elections given to the Agent hereunder shall inure to the benefit of the Agent’s successors and assigns. The term “Agent”
as herein used shall include the Agent, any parent of the Agent’s, any of the Agent’s subsidiaries and any co-subsidiaries
of the Agent’s parent, whether now existing or hereafter created or acquired, and all of the terms, conditions, promises,
covenants, provisions and warranties of this Agreement shall inure to the benefit of each of the foregoing, and shall bind the
representatives, successors and assigns of each Assignor.

 

16.         Each
Assignor hereby consents and agrees that the state and federal courts located in the County of New York, State of New York shall
have exclusive jurisdiction to hear and determine any claims or disputes between Assignor, on the one hand, and the Agent and/or
any other Creditor Party, on the other hand, pertaining to this Master Security Agreement or to any matter arising out of or related
to this Master Security Agreement, provided, that the Agent, each other Creditor Party and each Assignor acknowledges that any
appeals from those courts may have to be heard by a court located outside of the County of New York, State of New York, and further
provided, that nothing in this Master Security Agreement shall be deemed or operate to preclude the Agent from bringing suit or
taking other legal action in any other jurisdiction to collect, the Obligations, to realize on the Collateral or any other security
for the Obligations, or to enforce a judgment or other court order in favor of the Agent. Each Assignor expressly submits and consents
in advance to such jurisdiction in any action or suit commenced in any such court, and each Assignor hereby waives any objection
which it may have based upon lack of personal jurisdiction, improper venue or forum non conveniens. Each Assignor
hereby waives personal service of the summons, complaint and other process issues in any such action or suit and agrees that service
of such summons, complaint and other process may be made by registered or certified mail addressed to such assignor at the address
set forth on the signature lines hereto and that service so made shall be deemed completed upon the earlier of such Assignor’s
actual receipt thereof or three (3) days after deposit in the U.S. mails, proper postage prepaid.

 

The parties desire
that their disputes be resolved by a judge applying such applicable laws. Therefore, to achieve the best combination of the benefits
of the judicial system and of arbitration, the parties hereto waive all rights to trial by jury in any action, suite, or proceeding
brought to resolve any dispute, whether arising in contract, tort, or otherwise between the Agent and/or any other Creditor Party,
and/or any Assignor arising out of, connected with, related or incidental to the relationship established between them in connection
with this Master Security Agreement or the transactions related hereto.

 

17.         This
Agreement may be executed in any number of counterparts, each of which shall be an original, but all of which shall constitute
one instrument. Any signature delivered by a party by facsimile or electronic transmission shall be deemed to be an original signature
hereto.

 

    	11

    	 

    

 

18.         It
is understood and agreed that any person or entity that desires to become an Assignor hereunder, or is required to execute a counterpart
of this Agreement after the date hereof pursuant to the requirements of any Document, shall become an Assignor hereunder by (x)
executing a Joinder Agreement in form and substance reasonably satisfactory to the Agent, (y) delivering supplements to such exhibits
and annexes to such Documents as the Agent shall reasonably request and (z) taking all actions as specified in this Agreement as
would have been taken by such Assignor had it been an original party to this Agreement, in each case with all documents required
above to be delivered to the Agent and with all documents and actions required above to be taken to the reasonable satisfaction
of the Agent.

 

[Remainder of page intentionally left blank]

 

    	12

    	 

    

 

19.         All
notices from the Agent to any Assignor shall be sufficiently given if mailed or delivered to such Assignor’s address set
forth below.

 

	 	Very truly yours,
	 	 
	 	HEALTHCARE CORPORATION OF AMERICA, a Delaware corporation
	 	 	 
	 	By:	/s/ Yoram Bibring
	 	 	Name:  Yoram Bibring
	 	 	Title:    Chief Executive Officer
	 	 	 
	 	Address:
	 	66 Ford Road, Suite 230
	 	Denville, New Jersey 07834
	 	Attention:  
	 	 
	 	HEALTHCARE CORPORATION OF AMERICA, a New Jersey corporation
	 	 	 
	 	By:	/s/ Yoram Bibring
	 	 	Name:  Yoram Bibring
	 	 	Title:    Chief Executive Officer
	 	 	 
	 	Address:
	 	66 Ford Road, Suite 230
	 	Denville, New Jersey 07834
	 	Attention:  
	 	 
	 	PRESCRIPTION CORPORATION OF AMERICA, a New Jersey corporation
	 	 	 
	 	By:	/s/ Yoram Bibring
	 	 	Name:  Yoram Bibring
	 	 	Title:    Chief Executive Officer
	 	 	 
	 	Address:
	 	66 Ford Road, Suite 230
	 	Denville, New Jersey 07834
	 	Attention:  

 

	SIGNATURE PAGE TO
 MASTER SECURITY AGREEMENT

 

    	 

    	 

    

 

		PCA BENEFITS, INC., a New Jersey corporation
	 	 	 
	 	By:	/s/ Yoram Bibring
	 		Name:  Yoram Bibring
	 		Title:    Chief Executive Officer
	 	 
	 	Address:
	 	66 Ford Road, Suite 230
	 	Denville, New Jersey 07834
	 	Attention:  

 

	 	 
	AGREED AND ACKNOWLEDGED:	 
	 	 
	CHARDAN CAPITAL MARKETS, LLC, AS AGENT	 
	 	 
	/s/ Kerry Propper	 
	Name:	Kerry Propper	 
	Title:	Chief Executive Officer	 

 

	SIGNATURE PAGE TO
 MASTER SECURITY AGREEMENT

 

    	 

    	 

    

 

SCHEDULE A

 

	Entity		Jurisdiction
    of

 Formation	 	Organizational

    Identification Number
	HEALTHCARE CORPORATION OF AMERICA	 	Delaware	 	 
	HEALTHCARE CORPORATION OF AMERICA	 	New Jersey	 	0100989709
	PRESCRIPTION CORPORATION OF AMERICA	 	New Jersey	 	0100988206
	PCA BENEFITS, INC.  	 	New Jersey	 	0101011650

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