Document:

Exhibit 10.5

 

Execution Version

 

June 28, 2021

 

DFP Healthcare Acquisitions Corp. 

780 Third Avenue, 37th Floor

New York, NY 10017

 

Re: DFP Healthcare Acquisitions Corp.

 

Ladies and Gentlemen:

 

This consent and waiver letter (this “Consent
and Waiver Letter”) is being executed and delivered in connection with the proposed Merger Agreement, dated as of the date hereof,
by and among DFP Healthcare Acquisitions Corp., a Delaware corporation (the “Company”), Orion Merger Sub I, Inc.,
a Delaware corporation and direct, wholly owned subsidiary of the Company, Orion Merger Sub II, LLC, a Delaware limited liability company
and direct, wholly owned subsidiary of the Company and TOI Parent, Inc., a Delaware corporation (“TOI Parent”)
(in the form attached hereto as Exhibit A, without giving effect to any material amendment, waiver or modification thereto,
the “Merger Agreement”). Capitalized terms used, but not otherwise defined herein, shall have the meanings given thereto
under the Merger Agreement.

 

In consideration of the premises and the mutual
promises contained herein and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged,
and as a condition to the Company’s entry into the Merger Agreement, the parties hereto agree as set forth below:

 

		1.	Deerfield Letter Agreement

 

Reference is made to that certain Letter Agreement,
dated as of August 7, 2020 (the “August 7 Letter Agreement”), by and between the Company and Deerfield Private
Design Fund IV, L.P. (“Deerfield”). Pursuant to the terms of the August 7 Letter Agreement, the Company agreed
to not consummate its initial Business Combination (as defined in the August 7 Letter Agreement) without the consent of Deerfield.

 

Deerfield hereby consents, solely for purposes
of the August 7 Letter Agreement, to the consummation of the Business Combination and the transactions contemplated thereby, in each
case, as contemplated by the Merger Agreement.

 

		2.	Company Charter

 

Further reference is made to the Second Amended
and Restated Certificate of Incorporation of the Company, dated as of March 10, 2020 (the “Company Charter”).
Pursuant to Section 4.3(b)(ii) of the Company Charter, in the case that shares of Class A Common Stock (as defined in the
Company Charter) or equity-linked securities are issued or deemed issued in excess of the amounts sold in the Company’s initial
public offering of securities and related to or in connection with the closing of the initial Business Combination (as defined in the
Company Charter), all issued and outstanding shares of Class B Common Stock (as defined in the Company Charter) shall automatically
convert into shares of Class A Common Stock at the time of the closing of the such initial Business Combination and the ratio for
which the shares of Class B Common Stock shall convert into shares of Class A Common Stock shall be adjusted as set forth therein.

 

     

     

    

 

Simultaneously with, and conditioned upon, the
consummation of the Business Combination contemplated by the Merger Agreement, pursuant to the terms thereof, DFP Sponsor LLC (the “Sponsor”),
which represents that it is the holder of a majority of the Class B Common Stock outstanding, hereby waives, in accordance with Section 4.3(b)(ii) of
the Company Charter, to the fullest extent permitted by law and the Company Charter, any adjustment of the conversion provisions in Section 4.3(b)(ii) of
the Company Charter that would, as a result of the consummation of the Business Combination or the transactions contemplated by the Merger
Agreement, including the issuance of the Closing Share Consideration, the issuance, if at all, of Earnout Shares or the PIPE Investment,
in each case, cause the Class B Common Stock to convert to Class A Common Stock at a ratio of greater than one-for-one upon
consummation of the Business Combination contemplated by the Merger Agreement.

 

		3.	Pre-Closing Waiver of Redemption Rights

 

Each of Deerfield and Deerfield Partners, L.P.
(“Deerfield Partners” and, together with the Sponsor and Deerfield, the “Deerfield Holders”) covenants
and agrees that it shall not, at any time prior to the earlier of the Closing or the termination of the Merger Agreement in accordance
with Article XI, redeem any of the 2,500,000 shares (subject to appropriate adjustment for stock splits, stock dividends, recapitalizations
and similar events) of Common Stock included in the units of the Company purchased by such Deerfield Holder in the Company’s initial
public offering.

 

    2

     

    

 

		4.	Exchange

 

From and after the date hereof, each of the Deerfield
Holders, on the one hand, and the Company, on the other, shall use its reasonable best efforts to, as soon as practicable after the date
hereof and in any event within thirty (30) days of the date hereof, (a) negotiate and mutually agree to a Series A Common Equivalent
Certificate of Designation, Preferences and Rights on substantially the terms and conditions set forth in the summary of terms attached
hereto as Exhibit B (the “Series Certificate of Designation” and the shares of capital stock issuable
thereunder, “Series A Common Equivalent Preferred Stock”), (b) upon agreement thereof, file the Series A
Certificate of Designation with the Secretary of State of the State of Delaware, and (c) negotiate and enter into an agreement (the
 “Exchange Agreement”) to be entered into between the Company and each Deerfield Holder providing for the exchange,
to occur immediately prior to the consummation of the Mergers, of such number of shares of Class A Common Stock, par value $0.0001
per share (the “Class A Common Stock”), and Class B Common Stock, par value $0.0001 per share (the “Class B
Common Stock” and, together with the Class A Common Stock, the “Common Stock”), beneficially owned by
such Deerfield Holder as of the time of the consummation of such exchange (the “Exchange Shares”) for shares of Series A
Common Equivalent Preferred Stock (with each 100 shares of Common Stock being exchanged for one share of Series A Common Equivalent
Preferred Stock), such that immediately following such exchange and the consummation of the transactions contemplated by the Merger Agreement,
including the Mergers and the PIPE Investment, the Deerfield Holders, collectively, will hold an aggregate number of outstanding shares
of Class A Common Stock that represents 4.5% of the then outstanding shares of Class A Common Stock (allocated among the Deerfield
Holders based upon the number of Exchange Shares exchanged by each of them, as shall be determined by the Deerfield Holders in their discretion),
and each of the Deerfield Holders and the Company shall use their reasonable best efforts to consummate the transactions contemplated
by the Exchange Agreement (the “Exchange”) immediately prior to the consummation of the Mergers. The Company represents,
warrants, acknowledges and agrees that (i) for purposes of Rule 144 under the Securities Act, each Deerfield Holder’s
holding period for the shares of Series A Common Equivalent Preferred Stock issued to such Deerfield Holder in the Exchange, and
any shares of Class A Common Stock issued upon the conversion thereof, shall be deemed to have commenced on the date such Deerfield
Holder acquired the Exchange Shares from the Company or an affiliate of the Company (or such earlier date as may be permitted pursuant
to Rule 144 under the Securities Act) and, in the case of shares of Series A Common Equivalent Preferred Stock, and any shares
of Class A Common Stock issued upon the conversion thereof, issued to any Deerfield Holder in exchange for any Exchange Shares acquired
by such Deerfield Holder in the Company’s initial public offering, shall take on the registered/unrestricted character of such Exchange
Shares; (ii) the consummation of the Exchange, the issuance of shares of Series A Common Equivalent Preferred Stock pursuant
to the Exchange and the issuance of shares of Class A Common Stock upon the conversion of the Series A Common Equivalent Preferred
Stock in full (without regard to any limitation on the conversion thereof) shall not require the approval or consent of stockholders or
of TOI Parent (or any affiliate thereof) under the Company Charter, the Company’s Bylaws, the Merger Agreement, the DGCL, Nasdaq
listing rules or otherwise or any PIPE Investor or other third party, and (ii) the Exchange and the issuance of any other securities
to any Deerfield Holders shall be approved by the Company’s board of directors for purposes of Rule 16b-3 under the Exchange
Act and shall therefore be exempt from the liability provision of Section 16(b) of the Exchange Act. Each waiver or consent
of any Deerfield Holder hereunder is subject to, and conditioned upon, the accuracy of the Company’s representations and warranties,
and the Company’s performance of its obligations, under this Section 4.

 

		5.	Miscellaneous

 

Except as expressly set forth in this Consent
and Waiver Letter, the terms of the August 7 Letter Agreement and the Company Charter remain in full force and effect, without modification
or waiver thereof.

 

This Consent and Waiver Letter and the obligations
of each party hereunder shall automatically terminate upon the termination of the Merger Agreement in accordance with its terms.

 

TOI Parent shall be deemed a third party beneficiary
hereof and shall be entitled to rely and enforce the consents, agreements and waivers given hereunder.

 

The parties hereto may not amend, modify or waive
any rights or conditions of this Consent and Waiver Letter, except by a written instrument executed by all parties hereto and TOI Parent.

 

This Consent and Waiver Letter may be executed
and delivered in one or more counterparts (including by facsimile, electronic mail, in .pdf or other electronic submission) and by different
parties in separate counterparts, with the same effect as if all parties hereto had signed the same document. All counterparts so executed
and delivered shall be construed together and shall constitute one and the same agreement.

 

    3

     

    

 

This Consent and Waiver Letter shall be binding
on the parties hereto and each of their permitted successors and assigns.

 

This Consent and Waiver Letter shall be governed
by and construed and enforced in accordance with the laws of the State of Delaware, without giving effect to conflicts of law principles
that would result in the application of the substantive laws of another jurisdiction. The parties hereto (i) all agree that any action,
proceeding, claim or dispute arising out of, or relating in any way to, this Consent and Waiver Letter shall be brought and enforced in
the Court of Chancery of the State of Delaware (or, solely if such courts decline jurisdiction, in any federal court located in Wilmington,
Delaware, or solely if such courts decline jurisdiction, in any state courts located in Wilmington, Delaware), and irrevocably submits
to such jurisdiction and venue, which jurisdiction and venue shall be exclusive and (ii) waives any objection to such exclusive jurisdiction
and venue or that such courts represent an inconvenient forum.

 

[Signature Page follows]

 

    4

     

    

 

IN WITNESS WHEREOF, the parties
have caused this Consent and Waiver Letter to be executed as of the date first written above.

 

	 	Deerfield PRIVATE Design Fund IV,
    L.P.
	 	 
	 	By:	Deerfield Mgmt IV, L.P.
 General Partner
	 	 
	 	By:	J.E. Flynn Capital IV, LLC
 General Partner
	 	 
	 	By:
	s/ David J. Clark

	 	Name:	David J. Clark
	 	Title:	Authorized Signatory
	 	 
	 	DFP Sponsor LLC
	 	 
	 	By:
	s/
Lawrence Atinsky

	 	Name:	Lawrence Atinsky
	 	Title:	Manager
	 	 
	 	DEERFIELD PARTNERS, L.P.
	 	 
	 	By:	Deerfield Mgmt, L.P.
 General Partner
	 	 
	 	By:	J.E. Flynn Capital, LLC
 General Partner
	 	 
	 	By:

                                                         
	s/
David J. Clark

	 	Name:	 David J. Clark
	 	Title:	Authorized Signatory

 

Acknowledged and Agreed:

 

	DFP HEALTHCARE ACQUISITIONS CORP.
	 
	By: 	s/ Christopher Wolfe 	 
	Name: 	Christopher Wolfe	 
	Title:	Chief Financial Officer	 

 

[Signature page to Deerfield Consent and
Waiver]

 

    

     

    

 

Exhibit A

 

Merger Agreement

 

    

     

    

 

EXHIBIT B

 

Series A
Common Equivalent Preferred Stock 

DFP Healthcare Acquisitions Corp.

 

	Subject	Summary
	Par Value	
    $0.0001 per share

     

	Dividends and Distributions	
    Pro rata on an as-converted basis with the Class A Common Stock,
    without giving effect to Blocker/Beneficial Ownership Limitation. No other dividends.

     

	Voting Rights	
    No voting rights, except for the following or as otherwise required
    by law

     

    Approval of a majority of the outstanding shares of Series A is
    required to:

    ·      Alter
    rights, powers, preferences, etc. of Series A

    ·      Increase
    authorized shares of Series A

    ·      Amend
    charter or bylaws in a manner adverse to the rights (other than voting rights) of the Series A relative to the rights of the holders
    of common stock

    ·      Amend
the Series A Certificate of Designation

     

	Liquidation Rank	
    Senior to all common stock, junior to any series of preferred stock
    designated as senior to the Series A Common Equivalent Preferred Stock

     

	Liquidation Preference	
    Preference: $0.0001 per share, plus any declared but unpaid dividends

     

    Following payment of the preference, participates ratably with the
    common stock on an as-converted basis

     

	Optional Conversion	
    Convertible at the Holder’s option at any time into 100 shares
    of Class A Common Stock per share of Series A Common Equivalent Preferred Stock, subject to the Blocker/Beneficial Ownership
    Limitation

     

    Class A Common Stock must be delivered within the standard settlement
    period (currently two (2) trading days) after delivery of a conversion notice, consistent with the provisions in the Series A
    Common Equivalent Preferred Certificate of Designations

     

	
    Blocker/Beneficial Ownership Limitation

     
	
    4.9% of the total number of shares of common stock then outstanding

     

 

    

     

    

 

	Subject	Summary
	Fractional Shares	
    No fractional shares of Class A Common Stock will be issued upon
    conversion – fractional shares will be rounded up to the next whole share

     

	Adjustments to Conversion Rate	
    In the case of stock dividends, subdivisions of stock, combinations
    of stock, reclassifications of stock, in each case, with respect to Class A Common Stock, the conversion rate will be multiplied
    by the following fraction: A/B

     

    ·     A
    = # of shares of Class A Common Stock outstanding immediately after such event

    ·     B
= # of shares of Class A Common Stock outstanding immediately after such event

     

	Fundamental Transactions	
    In the case of mergers, consolidations, sales of substantially all
    assets, tender or exchange offers or other fundamental transactions involving the Class A Common Stock, holders of Series A
    are entitled to receive consideration they would have been entitled to receive if converted to Class A Common Stock immediately prior
    to such transaction, without giving effect to Blocker/Beneficial Ownership Limitation.Exhibit
4.2

 

DESCRIPTION
OF THE REGISTRANTS’ SECURITIES REGISTERED PURSUANT

TO SECTION
12 OF THE SECURITIES EXCHANGE ACT OF 1934

 

The following
description of the common stock and preferred stock of Modular Medical, Inc. (“we” or “us”) is a summary
and does not purport to be complete. It is subject to and qualified in its entirety by reference to our second amended and restated
articles of incorporation, and our bylaws, as amended, each of which is incorporated herein by reference and are exhibits to our
Annual Report on Form 10-K filed with the Securities and Exchange Commission, of which this Exhibit 4.2 is a part. We encourage
you to read our articles of incorporation, our bylaws and the applicable provisions of the Nevada Revised Statutes for additional
information.

 

Description
of Capital Stock

 

Each
holder of our common stock is entitled to a pro rata share of any cash distributions made to shareholders, including any dividend
payments. The holders of our common stock are entitled to one vote for each share on all matters to be voted on by our shareholders.
There is no cumulative voting with respect to the election of our directors or any other matter. Therefore, under our charter
documents, the holders of more than 50% of the shares voted for the election of those directors can elect all of the directors.
Our board of directors currently are elected as a single class. Our board of directors may from time to time declare dividends
on our outstanding shares. In the event of our liquidation, dissolution or winding up, the holders of common stock are entitled
to share ratably in all assets remaining available for distribution to them after payment of our liabilities and after provision
has been made for each class of stock, if any, having any preference in relation to our common stock. Holders of shares of our
common stock have no conversion, preemptive or other subscription rights, and there are no redemption provisions applicable to
our common stock.

Anti-Takeover
Effects of Nevada Law and our Articles of Incorporation and Bylaws

Our articles
of incorporation, our bylaws and the Nevada Revised Statutes (the “NRS”) contain certain provisions that could delay
or make more difficult an acquisition of control of us not approved by our board of directors, whether by means of a tender offer,
open market purchases, proxy contests or otherwise. These provisions have been implemented to enable us to develop our business
in a manner that will foster our long-term growth without disruption caused by the threat of a takeover not deemed by our board
of directors to be in the best interest of our company and our shareholders. These provisions could have the effect of discouraging
third parties from making proposals involving an acquisition or change of control of our company even if such a proposal, if made,
might be considered desirable by a majority of our shareholders. These provisions may also have the effect of making it more difficult
for third parties to cause the replacement of our current management without the concurrence of our board of directors.

Set forth
below is a description of the provisions contained in our articles of incorporation, bylaws and NRS that could impede or delay
an acquisition of control of our company that our board of directors has not approved. This description is a summary only and
is qualified in its entirety by reference to our articles of incorporation and bylaws, forms of each are included as exhibits
to our Annual Report on Form 10-K for the year ended March 31, 2021.

    	1

    	 

    

Authorized
But Unissued Preferred Stock

We are
currently authorized to issue a total of 5,000,000 shares of preferred stock. Our articles of incorporation provide that our board
of directors has the right in its discretion to issue preferred stock without approval of our shareholders and to set the series,
classes, rights, privileges and preferences of our preferred stock or any classes, or series thereof without approval. In the
event of a hostile takeover, the board of directors could potentially use this preferred stock to preserve control.

Filling
Vacancies and Increases in Director

Any vacancies
on our board occurring by reason of death, resignation or otherwise, or if the number of our directors is increased, the directors
then in office shall continue to act and such vacancies or newly created directorships shall be filled by a vote of such then
directors, though less than a quorum, in any way approved by the meeting. Any directorship to be filled by reason of removal of
one or more directors by the shareholders may be filled by election by the shareholders at the meeting at which the director or
directors are removed.

 

Removal of
Director

 

Our bylaws provide
that, at a meeting of our shareholders expressly called for that purpose, one or more of our directors may be removed by a vote
of a majority of our outstanding shares of common stock entitled to vote at an election of directors.

 

Board Action
Without Meeting

 

Our bylaws
provide that any action required to be taken at a meeting of our directors or any other action which may be taken at a meeting
of our directors or of a committee, may be taken without a meeting, if a consent in writing, setting forth the action so taken,
shall be signed by all of the directors, or all of the members of the committee, as the case may be, which such consent shall
have the same legal effect as a unanimous vote of all the directors or members of the committee. Board action through written
consent allows our board to make swift decisions, including in the event of a hostile takeover attempt by current management.

No
Cumulative Voting

Our bylaws
and articles of incorporation do not provide the right to cumulate votes in the election of directors. This provision means that
the holders of a plurality of the shares voting for the election of directors can elect all of the directors. Non-cumulative voting
makes it more difficult for an insurgent minority stockholder to elect a person to the board of directors.

Re-Capitalization

Our articles
of incorporation provide that our board of directors, without the approval of our shareholders, may adopt any re-capitalization
affecting our outstanding securities by effecting a forward or reverse split of all of our outstanding securities.

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Stockholder
Proposals

Except
to the extent required under applicable laws, we are not required to include on our proxy card, or describe in our proxy statement,
any information relating to any shareholder proposal and disseminated in connection with any meeting of shareholders.

Amendments
to Articles of Incorporation and Bylaws

Our by-laws
give both our board of directors and shareholders the right to amend, alter, repeal and adopt new bylaws, except that (i) bylaws
adopted or amended by our  shareholders may not  be altered or repealed by our  board of directors; and (ii) no
bylaws shall be adopted by our  board of directors that  require more than a majority of our outstanding voting shares
for a quorum at a meeting of our shareholders, or more than a majority of the votes cast to constitute action by our  shareholders,
except where higher percentages are required by law.

Nevada
Statutory Provisions

Although
pursuant to our articles of incorporation and bylaws we elected that the Nevada Control Share Acquisition Act, Sections 78.378
to 78.3793, inclusive, of the NRS, does not apply to us, we are subject to the provisions of NRS 78.411 to 78.444, inclusive,
which generally prohibit a publicly held Nevada corporation from engaging in a “combination” with an “interested
stockholder” (each as defined) that is the beneficial owner, directly or indirectly, of at least ten percent of the voting
power of the outstanding voting shares of the corporation or is an affiliate or associate of the corporation that previously held
such voting power within the past three years, for a period of three years after the date the person first became an “interested
stockholder,” subject to certain exceptions for authorized combinations, as provided therein.

Pursuant
to NRS 78.195, our articles of incorporation provide for the authority of our board of directors to, without shareholder approval,
issue shares of our preferred stock in series or classes by filing an amendment thereto and to establish from time to time the
number of shares to be included in such series or class and to fix the designation, powers, preferences and rights of the shares
of each such series or class and the qualifications, limitations or restrictions thereof.

Classification
of Directors

Although to
date our board of directors has not elected to do so, our bylaws authorize our board to divide our directors into either two or
three classes, with each class to be as nearly equal in number as possible and the term of office of the directors of the first
class to expire at the first annual meeting of shareholders after their election, that of the second class to expire at the second
annual meeting after their election, and that of the third class, if any, to expire at the third annual meeting after their election.
At each annual meeting after such classification, the number of directors equal to the number of the class whose term expires
at the time of such meeting shall be elected to hold office until the second succeeding annual meeting, if there be two classes,
or until the third succeeding annual meeting, if there be three classes.

 

Transfer
Agent and Registrar

The transfer
agent and registrar for our common stock is Colonial Stock Transfer Co., Inc.

Listing

Our common
stock is currently traded on the OTCQB Venture Market under the symbol “MODD.”

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