Document:

Exhibit 10.1

 

THIS INSTRUMENT CONTAINS
AN AFFIDAVIT OF CONFESSION OF JUDGMENT PROVISION WHICH CONSTITUTES A WAIVER OF IMPORTANT RIGHTS BORROWER MAY HAVE AND ALLOWS THE
HOLDER TO OBTAIN A JUDGMENT AGAINST BORROWER WITHOUT ANY FURTHER NOTICE.

 

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

 

	 	Principal Amount: $247,500.00	 	Issue Date: September 24, 2018	 
	 	Actual Amount of Purchase Price: $225,000.00	 	 	 

 

SENIOR CONVERTIBLE PROMISSORY NOTE

 

FOR VALUE
RECEIVED, DARKPULSE, INC., a Delaware corporation (hereinafter called the “Borrower” or the “Company”),
hereby promises to pay to the order of FIRSTFIRE GLOBAL OPPORTUNITIES FUND LLC, a Delaware limited liability company, or
registered assigns (the “Holder”), in the form of lawful money of the United States of America, the principal sum
of $247,500.00, which amount is the $225,000.00 actual amount of the purchase price (the “Consideration”) hereof plus
an original issue discount in the amount of $22,500.00 (the “OID”) (subject to adjustment herein) (the “Principal
Amount”) and to pay interest on the unpaid Principal Amount hereof at the rate of eight percent (8%) (the “Interest
Rate”) per annum from the date hereof (the “Issue Date”) until the same becomes due and payable, whether at
maturity or upon acceleration or by prepayment or otherwise, as further provided herein. The maturity date shall be nine (9) months
from the Issue Date (each a “Maturity Date”), and is the date upon which the principal sum, the OID, as well as any
accrued and unpaid interest and other fees, shall be due and payable.

 

It is
further acknowledged and agreed that the Principal Amount owed by Borrower under this Note shall be increased by the amount of
all expenses incurred by the Holder relating to the conversion of this Note into shares of Common Stock. All such expenses shall
be deemed added to the Principal Amount hereunder to the extent such expenses are paid by the Holder.

 

This Note may not be prepaid or repaid in whole
or in part except as otherwise explicitly set forth herein.

 

This
Note shall be a senior obligation of the Company, with priority over all future Indebtedness (as defined below) of the Company
as provided for herein.

 

Interest
shall commence accruing on the date that the Note is fully funded and shall be computed on the basis of a 365-day year and the
actual number of days elapsed. Any Principal Amount or interest on this Note which is not paid when due shall bear interest at
the rate of the lesser of (i) fifteen percent (15%) per annum and (ii) the maximum amount permitted by law from the due date thereof
until the same is paid (“Default Interest”).

 

All
payments due hereunder (to the extent not converted into shares of common stock, $0.01 par value per share, of the Borrower (the
“Common Stock”) in accordance with the terms hereof) shall be made in lawful money of the United States of America.
All payments shall be made at such address as the Holder shall hereafter give to the Borrower by written notice made in accordance
with the provisions of this Note. Whenever any amount expressed to be due by the terms of this Note is due on any day which is
not a business day, the same shall instead be due on the next succeeding day which is a business day and, in the case of any interest
payment date which is not the date on which this Note is paid in full, the extension of the due date thereof shall not be taken
into account for purposes of determining the amount of interest due on such date.

 

 

 

    	 	1	 

     

    

 

Each
capitalized term used herein, and not otherwise defined, shall have the meaning ascribed thereto in that certain Securities Purchase
Agreement, dated as of the Issue Date, pursuant to which this Note was originally issued (the “Purchase Agreement”).
As used in this Note, the term “business day” shall mean any day other than a Saturday, Sunday or a day on which commercial
banks in the city of New York, New York are authorized or required by law or executive order to remain closed. As used herein,
the term “Trading Day” means any day that shares of Common Stock are listed for trading or quotation on the OTCBB (as
defined in the Purchase Agreement), any tier of the NASDAQ Stock Market, the New York Stock Exchange or the NYSE American.

 

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

 

The following terms shall apply to this Note:

 

ARTICLE I. CONVERSION RIGHTS

 

1.1    
Conversion Right. The Holder shall have the right, at any time on or after the 180th calendar day after the Issue
Date, to convert all or any portion of the then outstanding and unpaid Principal Amount and interest (including any Default Interest)
into fully paid and non-assessable shares of Common Stock, as such Common Stock exists on the Issue Date, or any shares of capital
stock or other securities of the Borrower into which such Common Stock shall hereafter be changed or reclassified, at the Conversion
Price (as defined below) determined as provided herein (a “Conversion”); provided, however, that in no event
shall the Holder be entitled to convert any portion of this Note in excess of that portion of this Note upon conversion of which
the sum of (1) the number of shares of Common Stock beneficially owned by the Holder and its affiliates (other than shares of
Common Stock which may be deemed beneficially owned through the ownership of the unconverted portion of this Note or the unexercised
or unconverted portion of any other security of the Borrower subject to a limitation on conversion or exercise analogous to the
limitations contained herein) and (2) the number of Conversion Shares issuable upon the conversion of the portion of this Note
with respect to which the determination of this proviso is being made, would result in beneficial ownership by the Holder and
its affiliates of more than 4.99% of the then outstanding shares of Common Stock. For purposes of the proviso set forth in the
immediately preceding sentence, beneficial ownership shall be determined in accordance with Section 13(d) of the Securities Exchange
Act of 1934, as amended (the “1934 Act”), and Regulations 13D-G thereunder, except as otherwise provided in clause
(1) of such proviso, provided, however, that the limitations on conversion may be waived (up to 9.99%) by the Holder upon,
at the election of the Holder, not less than 61 days’ prior notice to the Borrower, and the provisions of the conversion
limitation shall continue to apply until such 61st day (or such later date, as determined by the Holder, as may be specified in
such notice of waiver). The number of Conversion Shares to be issued upon each conversion of this Note shall be determined by
dividing the Conversion Amount (as defined below) by the applicable Conversion Price then in effect on the date specified in the
notice of conversion, in the form attached hereto as Exhibit A (the “Notice of Conversion”), delivered to the
Borrower by the Holder in accordance with Section 1.4 below; provided that the Notice of Conversion is submitted by facsimile
or e-mail (or by other means resulting in, or reasonably expected to result in, notice) to the Borrower before 4:00 p.m., New
York, New York time on such conversion date (the “Conversion Date”). The term “Conversion Amount” means,
with respect to any conversion of this Note, the sum of (1) the Principal Amount of this Note to be converted in such conversion
plus (2) at the Holder’s option, accrued and unpaid interest, if any, on such Principal Amount at the Interest Rate
to the Conversion Date, plus (3) at the Holder’s option, Default Interest, if any, on the amounts referred to in
the immediately preceding clauses (1) and/or (2).

 

 

 

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 1.2     Conversion Price. 

 

(a) 
Calculation of Conversion Price. The per share conversion price into which Principal Amount and interest (including
any Default Interest) under this Note shall be convertible into shares of Common Stock hereunder (the “Conversion Price”)
shall be equal to the lesser of (i) $0.25 (the “Fixed Conversion Price”) or (ii) 70% multiplied by the lowest traded
price of the Common Stock during the twenty (20) consecutive Trading Day period immediately preceding the Trading Day that the
Company receives a Notice of Conversion (the “Alternate Conversion Price”); and provided, further, however,
and notwithstanding the above calculation of the Alternate Conversion Price or any other calculation of Conversion Price pursuant
to this Section 1.2, if the lowest traded price of the Common Stock is less than the Conversion Price on the date following the
Conversion Date (the “Free Trading Share Receipt Date”) on which the Holder actually receives from the Company or
its transfer agent Conversion Shares issuable pursuant to this Section 1 which are immediately upon receipt unrestricted and freely
tradable by the Holder either by way of (A) registration under the 1933 Act or (B) pursuant to Rule 144 under the 1933 Act (or
a successor rule) (“Rule 144”), Rule 144A under the 1933 Act (or a successor rule) (“Rule 144A”) or Regulation
S under the 1933 Act (or a successor rule) (“Regulation S”), then the Conversion Price shall be deemed to have been
retroactively adjusted, as of the Conversion Date, to a price equal to 70% multiplied by the lowest traded price of the Common
Stock on the Free Trading Shares Receipt Date (the “Free Trading Shares Receipt Date Conversion Price”), and the Company
shall, on the Trading Day following the Free Trading Share Receipt Date, issue to the Holder additional shares of unrestricted,
freely tradable Common Stock equal to the difference between (Y) the number of Conversion Shares receivable upon conversion of
the applicable Conversion Amount at the Conversion Price and (Z) the number of Conversion Shares receivable upon conversion of
the applicable Conversion Amount at the Free Trading Shares Receipt Date Conversion Price (subject to the beneficial ownership
limitations contained in Section 1.1, such that the additional shares shall be issued in tranches if required to comply with such
beneficial ownership limitations); and provided, further, however, and notwithstanding the above calculation of the Conversion
Price, if, prior to the repayment or conversion of this Note, in the event the Borrower consummates a registered or unregistered
primary offering of its securities for capital raising purposes (a “Primary Offering”), the Holder shall have the
right, in its discretion, to (x) demand repayment in full of an amount equal to any outstanding Principal Amount and interest
(including Default Interest) under this Note as of the closing date of the Primary Offering or (y) convert any outstanding Principal
Amount and interest (including any Default Interest) under this Note into Common Stock at the closing of such Primary Offering
at a Conversion Price equal to the lower of (i) the Conversion Price and (ii) a 20% discount to the offering price to investors
in the Primary Offering. The Borrower shall provide the Holder no less than ten (10) business days’ notice of the anticipated
closing of a Primary Offering and an opportunity to exercise its conversion rights in connection therewith.

 

(b) 
Conversion Price During Major Announcements. Notwithstanding anything contained in Section 1.2(a) to the contrary,
in the event the Borrower (i) makes a public announcement that it intends to be acquired by, consolidate or merge with any other
corporation or entity (other than a merger in which the Borrower is the surviving or continuing corporation and its capital stock
is unchanged) or sell or transfer all or substantially all of the assets of the Borrower or (ii) any person, group or entity (including
the Borrower) publicly announces a tender offer to purchase 50% or more of the Common Stock (or any other takeover scheme) (any
such transaction referred to in clause (i) or (ii) being referred to herein as a “Change in Control” and the date of
the announcement referred to in clause (i) or (ii) is being referred to herein as the “Announcement Date”), then the
Conversion Price shall, effective upon the Announcement Date and continuing through the Adjusted Conversion Price Termination Date
(as defined below), be equal to the lower of (x) the Conversion Price and (y) a 25% discount to the Acquisition Price (as defined
below). From and after the Adjusted Conversion Price Termination Date, the Conversion Price shall be determined as set forth in
Section 1.2(a). For purposes hereof, “Adjusted Conversion Price Termination Date” shall mean, with respect to any proposed
Change in Control for which a public announcement as contemplated by this Section 1.2(b) has been made, the date upon which the
Borrower (in the case of clause (i) above) or the person, group or entity (in the case of clause (ii) above) consummates or publicly
announces the termination or abandonment of the proposed Change in Control which caused this Section 1.2(b) to become operative.
For purposes hereof, “Acquisition Price” shall mean a price per share of Common Stock derived by dividing (x) the total
consideration (in cash, equity, earn-out or similar payments or otherwise) paid or to be paid to the Borrower or its shareholders
in the Change in Control transaction by (y) the number of authorized shares of Common Stock outstanding as of the business day
prior to the Announcement Date.

 

 

 

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1.3    
Authorized and Reserved Shares. The Borrower covenants that at all times until the Note is satisfied in full, the
Borrower will reserve from its authorized and unissued Common Stock a sufficient number of shares, free from preemptive rights,
to provide for the issuance of a number of Conversion Shares equal to the greater of: (a) 50,000,000 shares of Common Stock or
(b) the sum of (i) the number of Conversion Shares issuable upon the full conversion of this Note (assuming no payment of Principal
Amount or interest) as of any issue date (taking into consideration any adjustments to the Conversion Price pursuant to Section
2 hereof or otherwise) multiplied by (ii) four and a half (4.5) (the “Reserved Amount”). In the event that
the Borrower shall be unable to reserve the entirety of the Reserved Amount (the “Reserve Amount Failure”), the Borrower
shall promptly take all actions necessary to increase its authorized share capital to accommodate the Reserved Amount (the “Authorized
Share Increase”), including without limitation, all board of directors actions and approvals and promptly (but no less than
60 days following the calling and holding a special meeting of its shareholders no more than 60 days following the Reserve Amount
Failure to seek approval of the Authorized Share Increase via the solicitation of proxies. Notwithstanding the foregoing, in no
event shall the Reserved Amount be lower than the initial Reserved Amount, regardless of any prior conversions. The Borrower represents
that upon issuance, the Conversion Shares will be duly and validly issued, fully paid and non-assessable. In addition, if the
Borrower shall issue any securities or make any change to its capital structure which would change the number of Conversion Shares
into which this Note shall be convertible at the then current Conversion Price, the Borrower shall at the same time make proper
provision so that thereafter there shall be a sufficient number of shares of Common Stock authorized and reserved, free from preemptive
rights, for conversion of this Note. The Borrower (i) acknowledges that it has irrevocably instructed its transfer agent to issue
certificates for the Conversion Shares or instructions to have the Conversion Shares issued as contemplated by Section 1.4(f)
hereof, and (ii) agrees that its issuance of this Note shall constitute full authority to its officers and agents who are charged
with the duty of executing stock certificates or cause the Company to electronically issue shares of Common Stock to execute and
issue the necessary certificates for the Conversion Shares or cause the Conversion Shares to be issued as contemplated by Section
1.4(f) hereof in accordance with the terms and conditions of this Note.

 

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

 

 1.4     Method of Conversion.

 

(a) 
Mechanics of Conversion. This Note may be converted by the Holder in whole or in part, on any Trading Day, at any
time on or after the 180th calendar day after the Issue Date, by submitting to the Borrower a Notice of Conversion (by facsimile,
e-mail or other reasonable means of communication dispatched on the Conversion Date prior to 4:00 p.m., New York, New York time).
Any Notice of Conversion submitted after 4:00 p.m., New York, New York time, shall be deemed to have been delivered and received
on the next Trading Day.

 

(b)  Surrender
of Note Upon Conversion. Notwithstanding anything to the contrary set forth herein, upon conversion of this Note in accordance
with the terms hereof, the Holder shall not be required to physically surrender this Note to the Borrower unless the entire unpaid
Principal Amount is so converted. The Holder and the Borrower shall maintain records showing the Principal Amount so converted
and the dates of such conversions or shall use such other method, reasonably satisfactory to the Holder and the Borrower, so as
not to require physical surrender of this Note upon each such conversion. In the event of any dispute or discrepancy, such records
of the Borrower shall, prima facie, be controlling and determinative in the absence of manifest error. Notwithstanding
the foregoing, if any portion of this Note is converted as aforesaid, the Holder may not transfer this Note unless the Holder
first physically surrenders this Note to the Borrower, whereupon the Borrower will forthwith issue and deliver upon the order
of the Holder a new Note of like tenor, registered as the Holder (upon payment by the Holder of any applicable transfer taxes)
may request, representing in the aggregate the remaining unpaid Principal Amount of this Note. The Holder and any assignee, by
acceptance of this Note, acknowledge and agree that, by reason of the provisions of this paragraph, following conversion of a
portion of this Note, the unpaid and unconverted Principal Amount of this Note represented by this Note may be less than the amount
stated on the face hereof.

 

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

 

 

 

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(d)  Delivery
of Common Stock Upon Conversion. Upon receipt by the Borrower from the Holder of a facsimile transmission or e-mail (or
other reasonable means of communication) of a Notice of Conversion meeting the requirements for conversion as provided in
this Section 1.4, the Borrower shall issue and deliver or cause to be issued and delivered to or upon the order of the Holder
certificates for the Conversion Shares (or cause the electronic delivery of the Conversion Shares as contemplated by Section
1.4(f) hereof) within one (1) Trading Day after such receipt (the “Deadline”) (and, solely in the case of
conversion of the entire unpaid Principal Amount and interest (including any Default Interest) under this Note, surrender of
this Note). If the Company shall fail for any reason or for no reason to issue to the Holder on or prior to the Deadline a
certificate for the number of Conversion Shares or to which the Holder is entitled hereunder and register such Conversion
Shares on the Company’s share register or to credit the Holder’s balance account with DTC (as defined below) for
such number of Conversion Shares to which the Holder is entitled upon the Holder’s conversion of this Note (a
“Conversion Failure”), then, in addition to all other remedies available to the Holder, (i) the Company shall pay
in cash to the Holder on each day after the Deadline and during such Conversion Failure an amount equal to 2.0% of the
product of (A) the sum of the number of Conversion Shares not issued to the Holder on or prior to the Deadline 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 which the Company could have issued such Conversion Shares to the Holder without violating this Section 1.4(d);
and (ii) the Holder, upon written notice to the Company, may void its Notice of Conversion with respect to, and retain or
have returned, as the case may be, any portion of this Note that has not been converted pursuant to such Notice of
Conversion; provided that the voiding of an Notice of Conversion shall not affect the Company’s obligations to make any
payments which have accrued prior to the date of such notice. In addition to the foregoing, if on or prior to the Deadline
the Company shall fail to issue and deliver a certificate to the Holder and register such Conversion Shares on the
Company’s share register or credit the Holder’s balance account with DTC for the number of Conversion Shares
to which the Holder is entitled upon the Holder’s exercise hereunder or pursuant to the Company’s obligation
pursuant to clause (ii) below, and if on or after such Trading Day 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 shares of Common Stock issuable upon
such exercise that the Holder anticipated receiving from the Company, then the Company shall, within two (2) Trading 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 reasonable and customary out-of-pocket
expenses, if any) for the shares of Common Stock so purchased (the “Buy-In Price”), at which point the
Company’s obligation to deliver such certificate (and to issue such Conversion Shares) or credit such Holder’s
balance account with DTC for such Conversion Shares shall terminate, or (ii) promptly honor its obligation to deliver to the
Holder a certificate or certificates representing such Conversion Shares or credit such Holder’s balance account with
DTC 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, times (B) the closing sales price of the Common Stock on the date of exercise. Nothing
shall limit the Holder’s right to pursue any other remedies available to it hereunder, at law or in equity, including,
without limitation, a decree of specific performance and/or injunctive relief with respect to the Company’s failure to
timely deliver certificates representing the Conversion Shares (or to electronically deliver such Conversion Shares) upon the
conversion of this Note as required pursuant to the terms hereof.

 

(e) 
Obligation of Borrower to Deliver Common Stock. Upon receipt by the Borrower of a Notice of Conversion, the Holder
shall be deemed to be the holder of record of the Conversion Shares issuable upon such conversion, the outstanding Principal Amount
and the amount of accrued and unpaid interest (including any Default Interest) under this Note shall be reduced to reflect such
conversion, and, unless the Borrower defaults on its obligations under this Article I, all rights with respect to the portion of
this Note being so converted shall forthwith terminate except the right to receive the Common Stock or other securities, cash or
other assets, as herein provided, on such conversion. If the Holder shall have given a Notice of Conversion as provided herein,
the Borrower’s obligation to issue and deliver the certificates for the Conversion Shares (or cause the electronic delivery
of the Conversion Shares as contemplated by Section 1.4(f) hereof) shall be absolute and unconditional, irrespective of the absence
of any action by the Holder to enforce the same, any waiver or consent with respect to any provision thereof, the recovery of any
judgment against any person or any action to enforce the same, any failure or delay in the enforcement of any other obligation
of the Borrower to the holder of record, or any setoff, counterclaim, recoupment, limitation or termination, or any breach or alleged
breach by the Holder of any obligation to the Borrower, and irrespective of any other circumstance which might otherwise limit
such obligation of the Borrower to the Holder in connection with such conversion. The Conversion Date specified in the Notice of
Conversion shall be the Conversion Date so long as the Notice of Conversion is received by the Borrower before 6:00 p.m., New York,
New York time, on such date.

 

(f)  
Delivery of Conversion Shares by Electronic Transfer. In lieu of delivering physical certificates representing the
Conversion Shares issuable upon conversion hereof, provided the Borrower is participating in the Depository Trust Company (“DTC”)
Fast Automated Securities Transfer or Deposit/Withdrawal at Custodian programs, upon request of the Holder and its compliance with
the provisions contained in Section 1.1 and in this Section 1.4, the Borrower shall use its best efforts to cause its transfer
agent to electronically transmit the Conversion Shares issuable upon conversion hereof to the Holder by crediting the account of
Holder’s Prime Broker with DTC through its Deposit Withdrawal Agent Commission system.

 

 

 

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1.5    
Concerning the Shares. The Conversion Shares issuable upon conversion of this Note may not be sold or transferred
unless (i) such shares are sold pursuant to an effective registration statement under the 1933 Act or (ii) the Borrower or its
transfer agent shall have been furnished with an opinion of counsel (which opinion shall be the Legal Counsel Opinion (as defined
in the Purchase Agreement)) to the effect that the shares to be sold or transferred may be sold or transferred pursuant to an exemption
from such registration or (iii) such shares are sold or transferred pursuant to Rule 144, Rule 144A or Regulation S or (iv) such
shares are transferred to an “affiliate” (as defined in Rule 144) of the Borrower who agrees to sell or otherwise transfer
the shares only in accordance with this Section 1.5 and who is an Accredited Investor (as defined in the Purchase Agreement). Except
as otherwise provided in the Purchase Agreement (and subject to the removal provisions set forth below), until such time as the
Conversion Shares have been registered under the 1933 Act or otherwise may be sold pursuant to Rule 144, Rule 144A or Regulation
S without any restriction as to the number of securities as of a particular date that can then be immediately sold, each certificate
for the Conversion Shares that has not been so included in an effective registration statement or that has not been sold pursuant
to an effective registration statement or an exemption that permits removal of the legend, shall bear a legend substantially in
the following form, as appropriate:

 

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

 

The
legend set forth above shall be removed and the Company shall issue to the Holder a certificate for the applicable Conversion Shares
without such legend upon which it is stamped or (as requested by the Holder) issue the applicable Conversion Shares by electronic
delivery by crediting the account of such holder’s broker with DTC, if, unless otherwise required by applicable state securities
laws: (a) such Conversion Shares are registered for sale under an effective registration statement filed under the 1933 Act or
otherwise may be sold pursuant to Rule 144, Rule 144A or Regulation S without any restriction as to the number of securities as
of a particular date that can then be immediately sold, or (b) the Company or the Holder provides the Legal Counsel Opinion (as
contemplated by and in accordance with Section 4(m) of the Purchase Agreement) to the effect that a public sale or transfer of
such Conversion Shares may be made without registration under the 1933 Act, which opinion shall be accepted by the Company so that
the sale or transfer is effected. The Company shall be responsible for the fees of its transfer agent and all DTC fees associated
with any such issuance. The Holder agrees to sell all Conversion Shares, including those represented by a certificate(s) from which
the legend has been removed, in compliance with applicable prospectus delivery requirements, if any. In the event that the Company
does not accept the opinion of counsel provided by the Holder with respect to the transfer of Conversion Shares pursuant to an
exemption from registration, such as Rule 144, Rule 144A or Regulation S, at the Deadline, notwithstanding that the conditions
of Rule 144, Rule 144A or Regulation S, as applicable, have been met, it will be considered an Event of Default under this Note.

 

 1.6     Effect of Certain Events.

 

(a) 
Effect of Merger, Consolidation, Etc. At the option of the Holder, the sale, conveyance or disposition of all or
substantially all of the assets of the Borrower, or the consolidation, merger or other business combination of the Borrower with
or into any other Person (as defined below) or Persons when the Borrower is not the survivor shall either: (i) be deemed to be
an Event of Default pursuant to which the Borrower shall be required to pay to the Holder upon the consummation of and as a condition
to such transaction an amount equal to the Default Amount (defined in Section 3.23) or (ii) be treated pursuant to Section 1.6(b)
hereof. “Person” shall mean any individual, corporation, limited liability company, partnership, association, trust
or other entity or organization.

 

 

 

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(b)  Adjustment Due to Merger, Consolidation, Etc. If, at any time when this Note is issued and outstanding and prior
to conversion of all of this Note, there shall be any merger, consolidation, exchange of shares, recapitalization, reorganization,
or other similar event, as a result of which shares of Common Stock of the Borrower shall be changed into the same or a different
number of shares of another class or classes of stock or securities of the Borrower or another entity, or in case of any sale or
conveyance of all or substantially all of the assets of the Borrower other than in connection with a plan of complete liquidation
of the Borrower, then the Holder of this Note shall thereafter have the right to receive upon conversion of this Note, upon the
basis and upon the terms and conditions specified herein and in lieu of the shares of Common Stock immediately theretofore issuable
upon conversion, such stock, securities or assets which the Holder would have been entitled to receive in such transaction had
this Note been converted in full immediately prior to such transaction (without regard to any limitations on conversion set forth
herein), and in any such case appropriate provisions shall be made with respect to the rights and interests of the Holder of this
Note to the end that the provisions hereof (including, without limitation, provisions for adjustment of the Conversion Price and
of the number of shares issuable upon conversion of the Note) shall thereafter be applicable, as nearly as may be practicable in
relation to any securities or assets thereafter deliverable upon the conversion hereof. The Borrower shall not effectuate any transaction
described in this Section 1.6(b) unless (a) it first gives, to the extent practicable, at least thirty (30) days prior written
notice (but in any event at least fifteen (15) days prior written notice) of the record date of the special meeting of shareholders
to approve, or if there is no such record date, the consummation of, such merger, consolidation, exchange of shares, recapitalization,
reorganization or other similar event or sale of assets (during which time the Holder shall be entitled to convert this Note) and
(b) the resulting successor or acquiring entity (if not the Borrower) assumes by written instrument the obligations of this Section
1.6(b). The above provisions shall similarly apply to successive consolidations, mergers, sales, transfers or share exchanges.

 

(c)  Adjustment
Due to Distribution. If the Borrower shall declare or make any distribution of its assets (or rights to acquire its
assets) to holders of Common Stock as a dividend, stock repurchase, by way of return of capital or otherwise (including any
dividend or distribution to the Borrower’s shareholders in cash or shares (or rights to acquire shares) of capital
stock of a subsidiary (i.e., a spin-off)) (a “Distribution”), then the Holder of this Note shall be entitled,
upon any conversion of this Note after the date of record for determining shareholders entitled to such Distribution, to
receive the amount of such assets which would have been payable to the Holder with respect to the shares of Common Stock
issuable upon such conversion had such Holder been the holder of such shares of Common Stock on the record date for the
determination of shareholders entitled to such Distribution.

 

(d) Purchase
Rights. If, at any time when all or any portion of this Note is issued and outstanding, the Borrower issues any
convertible securities or rights to purchase stock, warrants, securities or other property (the
“Purchase Rights”) pro rata to the record holders of any class of Common Stock, then the Holder of this Note will
be entitled to acquire, upon the terms applicable to such Purchase Rights, the aggregate Purchase Rights which such Holder
could have acquired if such Holder had held the number of shares of Common Stock acquirable upon complete conversion of this
Note (without regard to any limitations on conversion contained herein) 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 Common Stock are to be determined for the grant, issue or sale of such Purchase Rights.

 

(e) 
Dilutive Issuance. If the Borrower, at any time while this Note or any amounts due hereunder are outstanding, issues,
sells or grants (or has issued, sold or granted as of the Issue Date, as the case may be) any option to purchase, or sells or
grants any right to reprice, or otherwise disposes of, or issues (or has sold or issued, as the case may be, or announces any
sale, grant or any option to purchase or other disposition), any Common Stock or other securities convertible into, exercisable
for, or otherwise entitle any person or entity the right to acquire, shares of Common Stock (including, without limitation, upon
conversion of this Note, and any convertible notes or warrants outstanding as of or following the Issue Date), in each or any
case at an effective price per share that is lower than the then Conversion Price (such lower price, the “Base Conversion
Price” and such issuances, collectively, a “Dilutive Issuance”) (it being agreed that if the holder of the Common
Stock or other securities 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 shares of Common Stock at an effective price per share that is lower than the Conversion
Price, such issuance shall be deemed to have occurred for less than the Conversion Price on such date of the Dilutive Issuance),
then the Conversion Price shall be reduced, at the option of the Holder, to a price equal the Base Conversion Price. If the Company
enters into a Variable Rate Transaction, despite the prohibition set forth in the Purchase Agreement, the Company shall be deemed
to have issued Common Stock or Common Stock Equivalents at the lowest possible price per share at which such securities could
be issued in connection with such Variable Rate Transaction. Such adjustment shall be made whenever such Common Stock or other
securities are issued. Notwithstanding the foregoing, no adjustment will be made under this Section 1.6(e) in respect of an Exempt
Issuance. In the event of an issuance of securities involving multiple tranches or closings, any adjustment pursuant to this Section
1.6(e) shall be calculated as if all such securities were issued at the initial closing.

 

 

 

    	 	7	 

     

    

 

An
“Exempt Issuance” shall mean the issuance of (a) shares of Common Stock or other securities to officers or directors
of the Company pursuant to any stock or option or similar equity incentive plan duly adopted for such purpose, by a majority of
the non-employee members of the Company’s Board of Directors or a majority of the members of a committee of non-employee
directors established for such purpose in a manner which is consistent with the Company’s prior business practices; (b) securities
issued pursuant to a merger, consolidation, acquisition or similar business combination approved by a majority of the disinterested
directors of the Company, provided that any such issuance shall only be to a Person (or to the equity holders of a Person) which
is, itself or through its subsidiaries, an operating company or an owner of an asset in a business synergistic with the business
of the Company and shall provide to the Company additional benefits in addition to the investment of funds, but shall not include
a transaction in which the Company is issuing securities primarily for the purpose of raising capital or to an entity whose primary
business is investing in securities; (c) securities issued pursuant to any equipment loan or leasing arrangement, real property
leasing arrangement or debt financing from a bank or similar financial institution approved by a majority of the disinterested
directors of the Company; or (d) securities issued with respect to which the Holder waives its rights in writing under this Section
1.6(e).

 

(f)  
Notice of Adjustments. Upon the occurrence of each adjustment or readjustment of the Conversion Price as a result
of the events described in this Section 1.6, the Borrower, at its expense, shall promptly compute such adjustment or readjustment
and prepare and furnish to the Holder a certificate setting forth such adjustment or readjustment and showing in detail the facts
upon which such adjustment or readjustment is based. The Borrower shall, upon the written request at any time of the Holder, furnish
to such Holder a like certificate setting forth (i) such adjustment or readjustment, (ii) the Conversion Price at the time in effect
and (iii) the number of shares of Common Stock and the amount, if any, of other securities or property which at the time would
be received upon conversion of the Note.

 

 1.7     [Intentionally Omitted].

 

1.8    
Status as Shareholder. Upon submission of a Notice of Conversion by a Holder, (i) the Conversion Shares covered
thereby (other than the Conversion Shares, if any, which cannot be issued because their issuance would exceed such Holder’s
allocated portion of the Reserved Amount or Maximum Share Amount) shall be deemed converted into shares of Common Stock and (ii)
the Holder’s rights as a Holder of such converted portion of this Note shall cease and terminate, excepting only the right
to receive certificates for such shares of Common Stock and to any remedies provided herein or otherwise available at law or in
equity to such Holder because of a failure by the Borrower to comply with the terms of this Note. Notwithstanding the foregoing,
if a Holder has not received certificates for all shares of Common Stock prior to the tenth (10th) business day after the expiration
of the Deadline with respect to a conversion of any portion of this Note for any reason, then (unless the Holder otherwise elects
to retain its status as a holder of Common Stock by so notifying the Borrower) the Holder shall regain the rights of a Holder
of this Note with respect to such unconverted portions of this Note and the Borrower shall, as soon as practicable, return such
unconverted Note to the Holder or, if the Note has not been surrendered, adjust its records to reflect that such portion of this
Note has not been converted. In all cases, the Holder shall retain all of its rights and remedies for the Borrower’s failure
to convert this Note.

 

1.9    
Prepayment. Notwithstanding anything to the contrary contained in this Note, at any time prior to or as of (but not
following) the earlier of the (i) the first Conversion Date hereunder and (ii) the 180th calendar day after the Issue Date, the
Borrower shall have the right, exercisable on not less than three (3) Trading Days prior written notice to the Holder of the Note,
to prepay the outstanding Principal Amount and interest (including any Default Interest) then due under this Note, in whole or
in part, in accordance with this Section 1.9. Any notice of prepayment hereunder (an “Optional Prepayment Notice”)
shall be delivered to the Holder of the Note at its registered addresses and shall state: (1) that the Borrower is exercising its
right to prepay the Note, and (2) the date of prepayment which shall be not more than three (3) Trading Days from the date of the
Optional Prepayment Notice. On the date fixed for prepayment (the “Optional Prepayment Date”), the Borrower shall make
payment of the amounts designated below to or upon the order of the Holder as specified by the Holder in writing to the Borrower
at least one (1) business day prior to the Optional Prepayment Date. If the Borrower exercises its right to prepay the Note at
any time within the initial 180 calendar days following the Issue Date, the Borrower shall make payment to the Holder of an amount
in cash equal to the sum of: (w) 130% multiplied by the Principal Amount then outstanding plus (x) accrued and unpaid interest
on the Principal Amount to the Optional Prepayment Date plus (y) Default Interest, if any, on the amounts referred to in
clauses (w) and (x).

 

 

 

    	 	8	 

     

    

 

ARTICLE II. RANKING AND CERTAIN COVENANTS

 

2.1    
Ranking and Security. The obligations of the Borrower under this Note shall rank senior with respect to any and all
Indebtedness incurred as of or following the Issue Date.

 

2.2    
Other Indebtedness. So long as the Borrower shall have any obligation under this Note, the Borrower shall not (directly
or indirectly through any Subsidiary or affiliate) incur or suffer to exist or guarantee any Indebtedness that is senior to or
pari passu with (in priority of payment and performance) the Borrower’s obligations hereunder. As used in this Section 2.2,
the term “Borrower” means the Borrower and any Subsidiary of the Borrower. As used herein, the term “Indebtedness”
means (a) all indebtedness of the Borrower for borrowed money or for the deferred purchase price of property or services, including
any type of letters of credit, but not including deferred purchase price obligations in place as of the Issue Date and as disclosed
in the SEC Documents or obligations to trade creditors incurred in the ordinary course of business, (b) all obligations of the
Borrower evidenced by notes, bonds, debentures or other similar instruments, (c) purchase money indebtedness hereafter incurred
by the Borrower to finance the purchase of fixed or capital assets, including all capital lease obligations of the Borrower which
do not exceed the purchase price of the assets funded, (d) all guarantee obligations of the Borrower in respect of obligations
of the kind referred to in clauses (a) through (c) above that the Borrower would not be permitted to incur or enter into, and (e)
all obligations of the kind referred to in clauses (a) through (d) above that the Borrower is not permitted to incur or enter into
that are secured and/or unsecured by (or for which the holder of such obligation has an existing right, contingent or otherwise,
to be secured and/or unsecured by) any lien or encumbrance on property (including accounts and contract rights) owned by the Borrower,
whether or not the Borrower has assumed or become liable for the payment of such obligation.

 

2.3    
Distributions on Capital Stock. So long as the Borrower shall have any obligation under this Note, the Borrower shall
not without the Holder’s written consent (a) pay, declare or set apart for such payment, any dividend or other distribution
(whether in cash, property or other securities) on shares of capital stock other than dividends on shares of Common Stock solely
in the form of additional shares of Common Stock or (b) directly or indirectly or through any subsidiary make any other payment
or distribution in respect of its capital stock except for distributions pursuant to any shareholders’ rights plan which
is approved by a majority of the Borrower’s disinterested directors.

 

2.4    
Restriction on Stock Repurchases and Debt Repayments. So long as the Borrower shall have any obligation under this
Note, the Borrower shall not without the Holder’s written consent redeem, repurchase or otherwise acquire (whether for cash
or in exchange for property or other securities or otherwise) in any one transaction or series of related transactions any shares
of capital stock of the Borrower or any warrants, rights or options to purchase or acquire any such shares, or repay any pari
passu or subordinated indebtedness of Borrower.

 

2.5  
Sale of Assets. So long as the Borrower shall have any obligation under this Note, the Borrower shall not, without
the Holder’s written consent, sell, lease or otherwise dispose of any significant portion of its assets outside the ordinary
course of business. Any consent to the disposition of any assets may be conditioned on a specified use of the proceeds of disposition.

 

2.6    
Advances and Loans; Affiliate Transactions. So long as the Borrower shall have any obligation under this Note, the
Borrower shall not, without the Holder’s written consent, lend money, give credit, make advances to or enter into any transaction
with any person, firm, joint venture or corporation, including, without limitation, officers, directors, employees, subsidiaries
and affiliates of the Borrower, except loans, credits or advances (a) in existence or committed on the Issue Date and which the
Borrower has informed Holder in writing prior to the Issue Date, (b) in regard to transactions with unaffiliated third parties,
made in the ordinary course of business or (c) in regard to transactions with unaffiliated third parties, not in excess of $50,000.
So long as the Borrower shall have any obligation under this Note, the Borrower shall not, without the Holder’s written consent,
repay any affiliate (as defined in Rule 144) of the Borrower in connection with any indebtedness or accrued amounts owed to any
such party.

 

 

 

    	 	9	 

     

    

 

2.7    
Section 3(a)(9) or 3(a)(10) Transaction. So long as this Note is outstanding, the Borrower shall not enter into any
transaction or arrangement structured in accordance with, based upon, or related or pursuant to, in whole or in part, either Section
3(a)(9) of the Securities Act (a “3(a)(9) Transaction”) or Section 3(a)(l0) of the Securities Act (a “3(a)(l0)
Transaction”). In the event that the Borrower does enter into, or makes any issuance of Common Stock related to a 3(a)(9)
Transaction or a 3(a)(l0) Transaction while this note is outstanding, a liquidated damages charge of 25% of the outstanding principal
balance of this Note, but not less than Twenty Five Thousand Dollars ($25,000), will be assessed and will become immediately due
and payable to the Holder at its election in the form of a cash payment or added to the balance of this Note (under Holder's and
Borrower's expectation that this amount will tack back to the Issue Date).

 

2.8    
Preservation of Business and Existence, etc. So long as the Borrower shall have any obligation under this Note, the
Borrower shall not, without the Holder’s written consent, change the nature of its business or sell, divest, or change the
structure of any material assets other than in the ordinary course of business. In addition, so long as the Borrower shall have
any obligation under this Note, the Borrower shall maintain and preserve, and cause each of its Subsidiaries to maintain and preserve,
its existence, rights and privileges, and become or remain, and cause each of its Subsidiaries (other than dormant Subsidiaries
that have no or minimum assets) to become or remain, duly qualified and in good standing in each jurisdiction in which the character
of the properties owned or leased by it or in which the transaction of its business makes such qualification necessary. Furthermore,
so long as the Borrower shall have any obligation under this Note, the Borrower shall not, without the Holder’s written consent,
solicit any offers for, respond to any unsolicited offers for, or conduct any negotiations with, any other person or entity with
respect to any Variable Rate Transaction or investment.

 

2.9    
Noncircumvention. The Company hereby covenants and agrees that the Company will not, by amendment of its Certificate
or Articles of Incorporation or Bylaws, 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 Note, and will at all times in good faith carry out all the provisions of this Note and take all action
as may be required to protect the rights of the Holder.

 

2.10  
Lost, Stolen or Mutilated Note. Upon receipt by the Company of evidence reasonably satisfactory to the Company of
the loss, theft, destruction or mutilation of this Note, and, in the case of loss, theft or destruction, of any indemnification
undertaking by the Holder to the Company in customary form and, in the case of mutilation, upon surrender and cancellation of this
Note, the Company shall execute and deliver to the Holder a new Note.

 

ARTICLE III. EVENTS OF DEFAULT

 

It shall be considered an event
of default if any of the following events listed in this Article III (each, an “Event of Default”) shall occur:

 

3.1    
Failure to Pay Principal or Interest. The Borrower fails to pay the Principal Amount hereof or interest thereon when
due on this Note, whether at maturity, upon acceleration or otherwise, or fails to fully comply with Section 1.10 of this Note.

 

3.2 
   Conversion and the Shares. The Borrower (i) fails to issue Conversion Shares to the Holder (or announces or threatens
in writing that it will not honor its obligation to do so) upon exercise by the Holder of the conversion rights of the Holder in
accordance with the terms of this Note, (ii) fails to transfer or cause its transfer agent to transfer (issue) (electronically
or in certificated form) any certificate for the Conversion Shares issuable to the Holder upon conversion of or otherwise pursuant
to this Note as and when required by this Note, (iii) reserve the Reserved Amount at all times, or (iii) the Borrower directs its
transfer agent not to transfer or delays, impairs, and/or hinders its transfer agent in transferring (or issuing) (electronically
or in certificated form) any certificate for the Conversion Shares issuable to the Holder upon conversion of or otherwise pursuant
to this Note as and when required by this Note, or fails to remove (or directs its transfer agent not to remove or impairs, delays,
and/or hinders its transfer agent from removing) any restrictive legend (or to withdraw any stop transfer instructions in respect
thereof) on any certificate for any Conversion Shares issued to the Holder upon conversion of or otherwise pursuant to this Note
as and when required by this Note (or makes any written announcement, statement or threat that it does not intend to honor the
obligations described in this paragraph) and any such failure shall continue uncured (or any written announcement, statement or
threat not to honor its obligations shall not be rescinded in writing) for two (2) Trading Days after the Holder shall have delivered
a Notice of Conversion. It is an obligation of the Borrower to remain current in its obligations to its transfer agent. It shall
be an Event of Default of this Note, if a conversion of this Note is delayed, hindered or frustrated due to a balance owed by the
Borrower to its transfer agent. If at the option of the Holder, the Holder advances any funds to the Borrower’s transfer
agent in order to process a conversion, such advanced funds shall be paid by the Borrower to the Holder within forty eight (48)
hours of a demand from the Holder.

 

 

 

    	 	10	 

     

    

 

3.3    
Breach of Agreements and Covenants. The Borrower breaches any material agreement, covenant or other material term
or condition contained in the Purchase Agreement, this Note, the Warrant described in the Purchase Agreement, the Irrevocable Transfer
Agent Instructions or in any agreement, statement or certificate given in writing pursuant hereto or in connection herewith or
therewith.

 

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

 

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

 

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

 

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

 

3.8 
   Delisting of Common Stock. The Borrower shall fail to maintain the listing of the Common Stock on at least one of
the Over the Counter Bulletin Board, the OTCQB Market, any level of the OTC Markets, or any level of the Nasdaq Stock Market or
the New York Stock Exchange (including the NYSE American).

 

3.9    
Failure to Comply with the 1934 Act. At any time after the Issue Date, the Borrower shall fail to comply with the
reporting requirements of the 1934 Act and/or the Borrower shall cease to be subject to the reporting requirements of the 1934
Act. It shall be an Event of Default under this Section 3.9 if the Borrower shall file any Notification of Late Filing on Form
12b-25 with the SEC.

 

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

 

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

 

3.12   
Maintenance of Assets. The failure by Borrower to maintain any material intellectual property rights, personal, real
property or other assets which are necessary to conduct its business (whether now or in the future).

 

3.13  
Financial Statement Restatement. The restatement of any financial statements filed by the Borrower with the SEC for
any date or period from two years prior to the Issue Date of this Note and until this Note is no longer outstanding, if the result
of such restatement would, by comparison to the unrestated financial statement, have constituted a material adverse effect on the
rights of the Holder with respect to this Note or the Purchase Agreement.

 

 3.14   Reverse Splits. The Borrower effectuates a reverse split of its Common Stock without twenty (20) days prior written notice to the Holder.

 

 

 

    	 	11	 

     

    

 

3.15  
Replacement of Transfer Agent. In the event that the Borrower proposes to replace its transfer agent, the Borrower
fails to provide, prior to the effective date of such replacement, a fully executed Irrevocable Transfer Agent Instructions in
a form as initially delivered pursuant to the Purchase Agreement (including but not limited to the provision to irrevocably reserve
shares of Common Stock in the Reserved Amount) signed by the successor transfer agent to Borrower and the Borrower.

 

3.16  
DTC “Chill”. The DTC places a “chill” (i.e. a restriction placed by DTC on one or more of
DTC’s services, such as limiting a DTC participant’s ability to make a deposit or withdrawal of the security at DTC)
on any of the Borrower’s securities.

 

3.17 
Illegality. Any court of competent jurisdiction issues an order declaring this Note, the Purchase Agreement or any
provision hereunder or thereunder to be illegal.

 

3.18.  DWAC
Eligibility. In addition to the Event of Default in Section 3.16, the Common Stock is otherwise not eligible for trading through
the DTC’s Fast Automated Securities Transfer or Deposit/Withdrawal at Custodian programs.

 

3.19  
Cross-Default. The declaration of an event of default by any lender or other extender of credit to the Company under
any notes, loans, agreements or other instruments of the Company evidencing any Indebtedness of the Company (including those filed
as exhibits to or described in the Company’s filings with the SEC), after the passage of all applicable notice and cure or
grace periods.

 

3.20  Variable
Rate Transactions; Dilutive Issuances. The Borrower (i) issues shares of Common Stock (or convertible securities
or Purchase Rights) pursuant to an equity line of credit of the Company or otherwise in connection with a Variable
Rate Transaction (whether now existing or entered into in the future), (ii) adjusts downward the “floor price”
at which shares of Common Stock (or convertible securities or Purchase Rights) may be issued under an equity line of credit
or otherwise in connection with a Variable Rate Transaction (whether now existing or entered into in the future), or (iii) a
Dilutive Issuance is triggered as provided in this Note.

 

3.21  
Bid Price. The Borrower shall lose the “bid” price for its Common Stock ($0.0001 on the “Ask”
with zero market makers on the “Bid” per Level 2) and/or a market (including the OTC Pink, OTCQB or an equivalent replacement
marketplace or exchange).

 

3.22  
Unavailability of Rule 144. If, at any time on or after the date which is six (6) months after the Issue Date, the
Holder is unable to (i) obtain a standard “144 legal opinion letter” from an attorney reasonably acceptable to the
Holder, the Holder’s brokerage firm (and respective clearing firm), and the Borrower’s transfer agent in order to facilitate
the Holder’s conversion of any portion of the Note into free trading shares of the Borrower’s Common Stock pursuant
to Rule 144, and/or (ii) thereupon deposit such shares into the Holder’s brokerage account.

 

3.23    Rights
and Remedies Upon an Event of Default. Upon the occurrence and during the continuation of any Event of Default specified
in this Article III, this Note shall become immediately due and payable and the Borrower shall pay to the Holder, in full
satisfaction of its obligations hereunder, an amount (the “Default Amount”) equal to the Principal Amount
then outstanding plus accrued interest (including any Default Interest) through the date of full repayment multiplied by
150%. Holder may, in its sole discretion, determine to accept payment part in Common Stock and part in cash. For purposes of
payments in Common Stock, the conversion formula set forth in Section 1.2 shall apply. Upon an uncured Event of Default, all
amounts payable hereunder shall immediately become due and payable, all without demand, presentment or notice, all of which
hereby are expressly waived by the Borrower, together with all costs, including, without limitation, legal fees and expenses,
of collection, and the Holder shall be entitled to exercise all other rights and remedies available at law or in equity,
including, without limitation, those set forth in Section 3.24 below.

 

3.24  
Holder’s Right to Confession of Judgment. Upon the occurrence and during the continuation of any Event of Default,
and in addition to any other right or remedy of the Holder hereunder, under the Purchase Agreement or otherwise at law or in equity,
the Borrower hereby irrevocably authorizes and empowers Holder or its legal counsel, each as the Borrower’s attorney-in-fact,
to appear ex parte and without notice to the Borrower to confess judgment against the Borrower for the unpaid amount of this Note
as evidenced by the Affidavit of Confession of Judgment signed by the Borrower as of the Issue Date and to be completed by the
Holder or its counsel pursuant to the foregoing power of attorney (which power is coupled with an interest), a copy of which is
attached as Exhibit B hereto (the “Affidavit”). The Affidavit shall set forth the amount then due hereunder,
plus attorney’s fees and cost of suit, and to release all errors, and waive all rights of appeal. The Borrower waives the
right to contest Holder’s rights under this Section 3.24, including without limitation the right to any stay of execution
and the benefit of all exemption laws now or hereafter in effect. No single exercise of the foregoing right and power to confess
judgment will be deemed to exhaust such power, whether or not any such exercise shall be held by any court to be invalid, voidable,
or void, and such power shall continue undiminished and may be exercised from time to time as the Holder may elect until all amounts
owing on this Note have been paid in full.

 

 

 

    	 	12	 

     

    

 

ARTICLE IV. MISCELLANEOUS

 

4.1   
Failure or Indulgence Not Waiver. No failure or delay on the part of the Holder in the exercise of any power, right
or privilege hereunder shall operate as a waiver thereof, nor shall any single or partial exercise of any such power, right or
privilege preclude other or further exercise thereof or of any other right, power or privileges. All rights and remedies of the
Holder existing hereunder are cumulative to, and not exclusive of, any rights or remedies otherwise available.

 

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

 

If to the Borrower, to:

 

DARKPULSE, INC.

8760 Virginia Meadows Dr.

Manassas, VA 20109

Attention: Dennis O’Leary

e-mail: doleary@darkpulse.com

 

If to the Holder:

 

FIRSTFIRE GLOBAL OPPORTUNITIES FUND LLC

1040 First Avenue, Suite 190

New York, NY
10022

Attention: Eli Fireman

e-mail: eli@firstfirecapital.com

 

With a copy by e-mail only to (which copy shall
not constitute notice):

 

LEGAL & COMPLIANCE, LLC

330 Clematis Street, Suite 217

West Palm
Beach, FL 33401

Attn: Chad Friend, Esq., LL.M.

e-mail: CFriend@LegalandCompliance.com

 

4.3    
Amendments. This Note and any provision hereof may only be amended by an instrument in writing signed by the Borrower
and the Holder. The term “Note” and all reference thereto, as used throughout this instrument, shall mean this instrument
as originally executed, or if later amended or supplemented, then as so amended or supplemented.

 

 

 

    	 	13	 

     

    

 

4.4 
   Assignability. This Note shall be binding upon the Borrower and its successors and assigns, and shall inure to be
the benefit of the Holder and its successors and assigns. Neither the Borrower nor the Holder shall assign this Note or any rights
or obligations hereunder without the prior written consent of the other. Notwithstanding the foregoing, the Holder may assign its
rights hereunder to any “accredited investor” (as defined in Rule 501(a) of the 1933 Act) in a private transaction
from the Holder or to any of its “affiliates”, as that term is defined under the 1934 Act, without the consent of the
Borrower. Notwithstanding anything in this Note to the contrary, this Note may be pledged as collateral in connection with a bona
fide margin account or other lending arrangement. The Holder and any assignee, by acceptance of this Note, acknowledge and agree
that following conversion of a portion of this Note, the unpaid and unconverted principal amount of this Note represented by this
Note may be less than the amount stated on the face hereof.

 

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

 

4.6    
Governing Law; Venue; Attorney’s Fees. This Note shall be governed by and construed in accordance with the
laws of the State of Nevada without regard to principles of conflicts of laws. Any action brought by either party against the
other concerning the transactions contemplated by this Note or any other agreement, certificate, instrument or document contemplated
hereby shall be brought only in the state courts or federal courts located in the state and county of New York. The Borrower hereby
irrevocably waives any objection to jurisdiction and venue of any action instituted hereunder and shall not assert any defense
based on lack of jurisdiction or venue or based upon forum non conveniens. THE BORROWER HEREBY IRREVOCABLY WAIVES ANY
RIGHT IT MAY HAVE, AND AGREES NOT TO REQUEST, A JURY TRIAL FOR THE ADJUDICATION OF ANY DISPUTE HEREUNDER OR IN CONNECTION WITH
OR ARISING OUT OF THIS NOTE OR ANY TRANSACTIONS CONTEMPLATED HEREBY. Each party hereby irrevocably waives personal service of
process and consents to process being served in any suit, action or proceeding in connection with this Note or any other agreement,
certificate, instrument or document contemplated hereby or thereby by mailing a copy thereof via registered or certified mail
or overnight delivery (with evidence of delivery) to such party at the address in effect for notices to it under this Note and
agrees that such service shall constitute good and sufficient service of process and notice thereof. Nothing contained herein
shall be deemed to limit in any way any right to serve process in any other manner permitted by law. The prevailing party in any
action or dispute brought in connection with this the Note or any other agreement, certificate, instrument or document contemplated
hereby or thereby shall be entitled to recover from the other party its reasonable attorney’s fees and costs.

 

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

 

4.8 
   Purchase Agreement. The Company and the Holder shall be bound by the applicable terms of the Purchase Agreement and
the documents entered into in connection herewith and therewith.

 

4.9 
   Notice of Corporate Events. Except as otherwise provided below, the Holder of this Note shall have no rights as a
Holder of Common Stock unless and only to the extent that it converts this Note into Common Stock. The Borrower shall provide the
Holder with prior notification of any meeting of the Borrower’s shareholders (and copies of proxy materials and other information
sent to shareholders). In the event of any taking by the Borrower of a record of its shareholders for the purpose of determining
shareholders who are entitled to receive payment of any dividend or other distribution, any right to subscribe for, purchase or
otherwise acquire (including by way of merger, consolidation, reclassification or recapitalization) any share of any class or any
other securities or property, or to receive any other right, or for the purpose of determining shareholders who are entitled to
vote in connection with any Change in Control or any proposed liquidation, dissolution or winding up of the Borrower, the Borrower
shall mail a notice to the Holder, at least twenty (20) days prior to the record date specified therein (or thirty (30) days prior
to the consummation of the transaction or event, whichever is earlier), of the date on which any such record is to be taken for
the purpose of such dividend, distribution, right or other event, and a brief statement regarding the amount and character of such
dividend, distribution, right or other event to the extent known at such time. The Borrower shall make a public announcement of
any event requiring notification to the Holder hereunder substantially simultaneously with the notification to the Holder in accordance
with the terms of this Section 4.9.

 

 

 

    	 	14	 

     

    

 

4.10  
Remedies. The Borrower acknowledges that a breach by it of its obligations hereunder will cause irreparable harm
to the Holder, by vitiating the intent and purpose of the transaction contemplated hereby. Accordingly, the Borrower acknowledges
that the remedy at law for a breach of its obligations under this Note will be inadequate and agrees, in the event of a breach
or threatened breach by the Borrower of the provisions of this Note, that the Holder shall be entitled, in addition to all other
available remedies at law or in equity, and in addition to the penalties assessable herein, to an injunction or injunctions restraining,
preventing or curing any breach of this Note and to enforce specifically the terms and provisions thereof, without the necessity
of showing economic loss and without any bond or other security being required.

 

4.11 
Construction; Headings. This Note shall be deemed to be jointly drafted by the Company and all the Holder and shall
not be construed against any person as the drafter hereof. The headings of this Note are for convenience of reference and shall
not form part of, or affect the interpretation of, this Note.

 

4.12  
Usury. To the extent it may lawfully do so, the Company hereby agrees not to insist upon or plead or in any manner
whatsoever claim, and will resist any and all efforts to be compelled to take the benefit or advantage of, usury laws wherever
enacted, now or at any time hereafter in force, in connection with any action or proceeding that may be brought by the Holder in
order to enforce any right or remedy under this Note. Notwithstanding any provision to the contrary contained in this Note, it
is expressly agreed and provided that the total liability of the Company under this Note for payments which under the applicable
law are in the nature of interest shall not exceed the maximum lawful rate authorized under applicable law (the “Maximum
Rate”), and, without limiting the foregoing, in no event shall any rate of interest or default interest, or both of them,
when aggregated with any other sums which under the applicable law in the nature of interest that the Company may be obligated
to pay under this Note exceed such Maximum Rate. It is agreed that if the maximum contract rate of interest allowed by applicable
law and applicable to this Note is increased or decreased by statute or any official governmental action subsequent to the Issue
Date, the new maximum contract rate of interest allowed by law will be the Maximum Rate applicable to this Note from the effective
date thereof forward, unless such application is precluded by applicable law. If under any circumstances whatsoever, interest in
excess of the Maximum Rate is paid by the Company to the Holder with respect to indebtedness evidenced by this the Note, such excess
shall be applied by the Holder to the unpaid principal balance of any such indebtedness or be refunded to the Company, the manner
of handling such excess to be at the Holder’s election.

 

4.13  
Severability. In the event that any provision of this Note is invalid or unenforceable under any applicable statute
or rule of law (including any judicial ruling), then such provision shall be deemed inoperative to the extent that it may conflict
therewith and shall be deemed modified to conform with such statute or rule of law. Any such provision which may prove invalid
or unenforceable under any law shall not affect the validity or enforceability of any other provision of this Note.

 

4.14  
Terms of Future Financings. So long as this Note is outstanding, upon any issuance by the Borrower or any of its
subsidiaries of any security, or amendment to a security that was originally issued before the Issue Date, with any term that the
Holder reasonably believes is more favorable to the holder of such security or with a term in favor of the holder of such security
that the Holder reasonably believes was not similarly provided to the Holder in this Note, then (i) the Borrower shall notify the
Holder of such additional or more favorable term within one (1) business day of the issuance and/or amendment (as applicable) of
the respective security, and (ii) such term, at Holder’s option, shall become a part of the transaction documents with the
Holder (regardless of whether the Borrower complied with the notification provision of this Section 4.14). The types of terms contained
in another security that may be more favorable to the holder of such security include, but are not limited to, terms addressing
conversion discounts, prepayment rate, conversion lookback periods, interest rates, and original issue discounts. If Holder elects
to have the term become a part of the transaction documents with the Holder, then the Borrower shall immediately deliver acknowledgment
of such adjustment in form and substance reasonably satisfactory to the Holder (the “Acknowledgment”) within three
(3) business days of Borrower’s receipt of request from Holder (the “Adjustment Deadline”), provided that Borrower’s
failure to timely provide the Acknowledgement shall not affect the automatic amendments contemplated hereby. If the Acknowledgement
is not delivered by the Adjustment Deadline, then $1,000.00 per day shall be added to the balance of the Note for each day beyond
the Adjustment Deadline that the Borrower fails to deliver such Acknowledgement. In addition, the Holder shall have the right,
at any time until the Note is satisfied in its entirety, and upon written notice to the Borrower, to purchase an additional convertible
promissory note from the Borrower, with the exact same terms and conditions as provided in this Note (with the understanding that
the Borrower shall execute the form of this Note and all related transaction documents with updated dates within three (3) business
days after the Holder exercises such right).

 

[signature page follows]

 

 

 

    	 	15	 

     

    

 

IN WITNESS WHEREOF, Borrower
has caused this Note to be signed in its name by its duly authorized officer on September 24, 2018.

 

DARKPULSE,
INC.

 

		By:	/s/ Dennis O’Leary	 
	 	 	Name: Dennis O’Leary	 
	 	 	Title: Chief Executive Officer	 

 

 

 

 

 

 

 

 

 

 

    	 	16EX-10.1

 Exhibit 10.1 

THIRD AMENDMENT TO 
 FOURTH AMENDED
AND RESTATED CREDIT AGREEMENT 
 This THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT dated as of August 24, 2018 (this
“Agreement”) is entered into among Quanta Services, Inc., a Delaware corporation (the “Company”), the Australian Borrowers, the Canadian Borrowers, the Guarantors, the Lenders party hereto, Bank of America, N.A., as
Administrative Agent, and, as applicable, the Swing Line Lenders party hereto and the L/C Issuers party hereto. All capitalized terms used herein and not otherwise defined herein shall have the meanings given to such terms in the Credit Agreement
(as defined below). 
 RECITALS 

WHEREAS, the Borrowers, the Guarantors, the Lenders and Bank of America, N.A., as Administrative Agent, Swing Line Lender and L/C Issuer,
entered into that certain Fourth Amended and Restated Credit Agreement dated as of December 18, 2015 (as amended and modified from time to time, the “Credit Agreement”); 

WHEREAS, the Company has requested certain amendments to the Credit Agreement as set forth in Section 1 below; and

 WHEREAS, the Administrative Agent, the Lenders, and, as applicable, the Swing Line Lenders and the L/C Issuers, have agreed to provide
the requested amendments, subject to the terms and conditions set forth herein. 
 NOW, THEREFORE, in consideration of the premises and the
mutual covenants contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: 

1.       Amendments. 

(a)      The following definitions are added to Section 1.01 of the Credit Agreement in the
appropriate alphabetical order to read as follows: 
 “Beneficial Ownership Certification” means a
certification regarding beneficial ownership required by the Beneficial Ownership Regulation. 
 “Beneficial
Ownership Regulation” means 31 C.F.R. § 1010.230. 
 “Commitment” means, as to each Lender,
the Revolving Commitment of such Lender and/or such Lender’s obligation to make term loans pursuant to this Agreement. 

“Outstanding Revolving Credit Exposure” means, as to any Lender at any time, the aggregate principal amount of
such Lender’s (a) outstanding Revolving Loans at such time, plus (b) participation in L/C Obligations at such time, plus (c) participation in Swing Line Loans at such time. 

“Required Revolving Lenders” means, at any time, any combination of Lenders holding in the aggregate more than
fifty percent (50%) of the Total Revolving Credit Exposures of all Lenders at such time. The Total Revolving Credit Exposure of any Defaulting Lender shall be excluded for purposes of making a determination of Required

 
Revolving Lenders; provided, that the amount of any participation in any Swing Line Loan and Unreimbursed Amounts that such Defaulting Lender has failed to fund that have not been
reallocated to and funded by another Lender shall be deemed to be held by the Lender that is the applicable Swing Line Lender or L/C Issuer, as the case may be, in making such determination. 

“Third Amendment Effective Date” means August 24, 2018. 

“Total Credit Exposure” means, as to any Lender at any time, (a) the unused Commitments of such Lender at
such time, plus (b) the Outstanding Revolving Credit Exposure of such Lender at such time, plus (c) the outstanding amount of all term loans under this Agreement of such Lender at such time. 

“Total Revolving Credit Exposure” means, as to any Lender at any time, (a) the unused Revolving
Commitment of such Lender at such time, plus (b) the Outstanding Revolving Credit Exposure of such Lender at such time. 

(b)     The definition of “Required Lenders” in Section 1.01 of the Credit Agreement is
amended to read as follows: 
 “Required Lenders” means, at any time, any combination of Lenders holding in
the aggregate more than fifty percent (50%) of the Total Credit Exposures of all Lenders at such time. The Total Credit Exposure of any Defaulting Lender shall be excluded for purposes of making a determination of Required Lenders; provided,
that the amount of any participation in any Swing Line Loan and Unreimbursed Amounts that such Defaulting Lender has failed to fund that have not been reallocated to and funded by another Lender shall be deemed to be held by the Lender that is the
applicable Swing Line Lender or L/C Issuer, as the case may be, in making such determination. 

(c)     In the definition of “Alternative Currency” and the definition of “Revaluation
Date” in Section 1.01 and in Sections 2.02(c), 2.03(a)(ii)(B), 2.03(b)(iii), 2.03(f) and 5.02(e) of the Credit Agreement, each reference to “Required Lenders” is amended to read “Required Revolving Lenders”. 

(d)     Section 2.15(a)(i) of the Credit Agreement is amended to read as follows: 

(i)        Waivers and Amendment. The Defaulting Lender’s right to approve
or disapprove any amendment, waiver or consent with respect to this Agreement shall be restricted as set forth in the definition of “Required Lenders”, “Required Revolving Lenders” and in Section 11.01.

 (e)     Section 6.15 of the Credit Agreement is amended to (i) insert “(a)” before
the existing paragraph in such section and (ii) insert a new clause (b) in a separate paragraph to read as follows: 

(b)      As of (i) the Third Amendment Effective Date, the information included in any
Beneficial Ownership Certification delivered by any Borrower on or before the Third Amendment Effective Date, if applicable, is, to the knowledge of such Borrower, true and correct in all respects and (ii) the date of any update provided
pursuant to Section 7.03(g) of a Beneficial Ownership Certification delivered by any Borrower, if applicable, the information included in such Beneficial Ownership Certification, as so updated, is, to the knowledge of such
Borrower, true and correct in all respects. 

  
 2 

 (f)     Section 7.03 of the Credit Agreement is
amended to add the following clause (g) immediately following clause (f): 

(g)      Promptly following any change to the list of beneficial owners identified in a
Beneficial Ownership Certification delivered by any Borrower to a Lender pursuant to this Agreement, deliver a new Beneficial Ownership Certification to such Lender. 

(g)     Clause (e) of the first proviso in Section 11.01 of the Credit Agreement is amended
to read as follows: 
 (e)      except as otherwise permitted by this Section 11.01,
change (i) any provision of this Section or the definition of “Required Lenders” or any other provision hereof specifying the number or percentage of Lenders required to amend, waive or otherwise modify any rights hereunder or make
any determination or grant any consent hereunder without the written consent of each Lender directly affected thereby or (ii) the definition of “Required Revolving Lenders” without the written consent of each Lender that has a
Revolving Commitment and/or Revolving Loan and/or participation in L/C Obligations or Swing Line Loans at such time; 

(h)     Section 11.18 of the Credit Agreement is amended to insert a new sentence at the end of such
section read as follows: 
 Each Borrower shall, promptly following a request by the Administrative Agent or any Lender, provide all
documentation and other information that the Administrative Agent or such Lender reasonably requests in order to comply with its ongoing obligations under applicable “know your customer” and anti-money laundering rules and regulations,
including the Act and the Beneficial Ownership Regulation. 
 2.       Conditions Precedent. This
Agreement shall be effective upon satisfaction of the following conditions precedent: 

(a)     Receipt by the Administrative Agent of counterparts of this Agreement duly executed by each of
the Borrowers, the Guarantors, the Lenders, the Administrative Agent, each Swing Line Lender and each L/C Issuer. 

(b)     At least five days prior to the Third Amendment Effective Date, any Borrower that qualifies as
a “legal entity customer” under the Beneficial Ownership Regulation shall deliver, to each Lender that so requests, a Beneficial Ownership Certification in relation to such Borrower. 

3.       Miscellaneous. 

(a)     The Credit Agreement, and the obligations of the Loan Parties thereunder and under the other
Loan Documents, are hereby ratified and confirmed and shall remain in full force and effect according to their terms, as affected and amended by this Agreement. 

(b)     Upon the effectiveness of this Agreement, each reference in the Credit Agreement to “this
Agreement,” “hereunder” or words of like import shall mean and be a reference to the Credit Agreement, as affected and amended by this Agreement. This Agreement is a Loan Document. 

  
 3 

 (c)     Each Guarantor (i) acknowledges and
consents to all of the terms and conditions of this Agreement, (ii) affirms all of its obligations under the Loan Documents and (iii) agrees that this Agreement and all documents executed in connection herewith do not operate to reduce or
discharge its obligations under the Credit Agreement or the other Loan Documents. 
 (d)     The
Loan Parties hereby represent and warrant as follows: 
 (i)      Each Loan Party has taken all
necessary corporate or other organizational action to authorize the execution, delivery and performance of this Agreement; 

(ii)      This Agreement has been duly executed and delivered by the Loan Parties and constitutes
each of the Loan Parties’ legal, valid and binding obligations, enforceable against such Loan Party in accordance with its terms, except as such enforceability may be limited by (A) applicable Debtor Relief Laws and (B) general
principles of equity (regardless of whether such enforceability is considered in a proceeding at law or in equity); 

(iii)      No consent, approval, authorization or order of, or filing, registration or
qualification with, any court or governmental authority or third party is required in connection with the execution, delivery or performance by any Loan Party of this Agreement, except for any filings that the Company or any of its Subsidiaries may
be required to make with the Securities and Exchange Commission or pursuant to applicable stock exchange rules, which the Company expects to file promptly upon execution of this Agreement; 

(iv)      The representations and warranties of the Loan Parties set forth in Article VI of the
Credit Agreement (as amended by this Agreement) and in each other Loan Document are true and correct in all material respects (and in all respects if any such representation or warranty is already qualified by materiality or reference to Material
Adverse Effect) as of the date hereof with the same effect as if made on and as of the date hereof, except to the extent such representations and warranties expressly relate solely to an earlier date, in which case they shall be true and correct in
all material respects (and in all respects if any such representation or warranty is already qualified by materiality or reference to Material Adverse Effect) as of such earlier date; and 

(v)      No event has occurred and is continuing which constitutes a Default or an Event of
Default. 
 (e)     This Agreement may be executed in any number of counterparts, each of which when
so executed and delivered shall be an original, but all of which shall constitute one and the same instrument. Delivery of an executed counterpart of this Agreement by telecopy or digital/electronic transmission (e.g., PDF format) shall be effective
as an original and shall constitute a representation that an executed original shall be delivered. 

(f)     THIS AGREEMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HEREUNDER SHALL BE GOVERNED BY
AND CONSTRUED AND INTERPRETED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK. 
 [Signature pages follow] 

  
 4 

 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of
the date first above written. 
  

							
	BORROWERS:	 	 QUANTA SERVICES, INC.,
	 	
		 	 a Delaware corporation
	 	
				
		 	By:	 	 /s/ Nicholas M. Grindstaff
	 	
		 	 Name: Nicholas M. Grindstaff
	 	
		 	 Title:   Vice President – Finance and Treasurer
	 	
		
		 	 QSI FINANCE (AUSTRALIA) PTY LTD, a corporation incorporated under the laws of the Commonwealth of Australia

				
		 	By:	 	 /s/ Gerald Albert Ducey, Jr.
	 	
		 	 Name: Gerald Albert Ducey, Jr.
	 	
		 	 Title:   Director
	 	
				
		 	By:	 	 /s/ Scot P. Fluharty
	 	
		 	 Name: Scot P. Fluharty
	 	
		 	 Title:   Director
	 	
		
		 	 QSI FINANCE V (US), L.P., a Delaware limited partnership

			
		 	 By:
	 	QSI FINANCE IV (CANADA) ULC, its managing partner
				
		 	By:	 	 /s/ Nicholas M. Grindstaff
	 	
		 	 Name: Nicholas M. Grindstaff
	 	
		 	 Title:   Treasurer
	 	
		
		 	 QSI FINANCE II (AUSTRALIA) PTY LTD, a corporation incorporated under the laws of the Commonwealth of Australia

				
		 	By:	 	 /s/ Gerald Albert Ducey, Jr.
	 	
		 	 Name: Gerald Albert Ducey, Jr.
	 	
		 	 Title:   Director
	 	
				
		 	By:	 	 /s/ Scot P. Fluharty
	 	
		 	 Name: Scot P. Fluharty
	 	
		 	 Title:   Director
	 	
		
		 	 QSI FINANCE X (CANADA) ULC, a British Columbia corporation

				
		 	By:	 	 /s/ Nicholas M. Grindstaff
	 	
		 	 Name: Nicholas M. Grindstaff
	 	
		 	 Title:   Treasurer
	 	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

					
	GUARANTORS:	 	1 DIAMOND, LLC	  	
		 	ADVANCED ELECTRIC SYSTEMS, LLC	  	
		 	APPRENTICESHIP PROGRAMS, INC.	  	
		 	ARCANUM CHEMICALS, LLC	  	
		 	ARNETT & BURGESS PIPELINERS (ROCKIES) LLC	  	
		 	B&N CLEARING AND ENVIRONMENTAL, LLC	  	
		 	BRENT WOODWARD, INC.	  	
		 	BRINK CONSTRUCTORS, INC.	  	
		 	CONAM CONSTRUCTION CO.	  	
		 	CONTI COMMUNICATIONS, INC.	  	
		 	CRUX SUBSURFACE, INC.	  	
		 	DACON CORPORATION	  	
		 	DASHIELL CORPORATION	  	
		 	DOMINO HIGHVOLTAGE SUPPLY, LLC	  	
		 	ENERGY CONSULTING GROUP, LLC	  	
		 	FIELD PERSONNEL SERVICES, LLC	  	
		 	FIVE POINTS CONSTRUCTION CO.	  	
		 	GRID CREATIVE, INC.	  	
		 	GRID MANUFACTURING CORPORATION	  	
		 	GRID TRAINING CORPORATION	  	
		 	HARGRAVE POWER, INC.	  	
		 	HERITAGE MIDSTREAM, LLC	  	
		 	H.L. CHAPMAN PIPELINE CONSTRUCTION, INC.	  	
		 	INFRASOURCE CONSTRUCTION, LLC	  	
		 	INFRASOURCE FIELD SERVICES, LLC	  	
		 	INFRASOURCE INSTALLATION, LLC	  	
		 	INFRASOURCE, LLC	  	
		 	INFRASOURCE SERVICES, LLC	  	
		 	INTERMOUNTAIN ELECTRIC, INC.	  	
		 	IONEARTH, LLC	  	
		 	IRBY CONSTRUCTION COMPANY	  	
		 	ISLAND MECHANICAL CORPORATION	  	
		 	JBT ELECTRIC, LLC	  	
		 	J.C.R. CONSTRUCTION CO., INC.	  	
		 	JET TANK SERVICE, LLC	  	
		 	J.W. DIDADO ELECTRIC, LLC	  	
		 	LAZY Q RANCH, LLC	  	
		 	LAZY Q TRAINING CENTER, LLC	  	
		 	MANUEL BROS., INC.	  	
		 	MEARS GROUP, INC.	  	
		 	MEJIA PERSONNEL SERVICES, INC.	  	
		 	M. G. DYESS, INC.	  	
		 	MICROLINE TECHNOLOGY CORPORATION	  	
		 	M. J. ELECTRIC, LLC	  	
		 	MTS QUANTA, LLC	  	
		 	NLC CA., INC.	  	
		 	NLC ID., INC.	  	
		 	NLC FL., INC.	  	
		 	NLC TX., INC.	  	
		 	NORTHERN POWERLINE CONSTRUCTORS, INC.	  	
		 	NORTHSTAR ENERGY SERVICES, INC.	  	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

					
		 	NOVA EQUIPMENT LEASING, LLC	  	
		 	NOVA GROUP, INC.	  	
		 	NOVA NEXTGEN SOLUTIONS, LLC	  	
		 	NPC ENERGY SERVICES LLC	  	
		 	PAR ELECTRICAL CONTRACTORS, INC.	  	
		 	PERFORMANCE ENERGY SERVICES, L.L.C.	  	
		 	PHOENIX POWER GROUP, INC.	  	
		 	POTELCO, INC.	  	
		 	POWER DELIVERY PROGRAM, INC.	  	
		 	PRICE GREGORY INTERNATIONAL, INC.	  	
		 	PRICE GREGORY SERVICES, LLC	  	
		 	PROBST ELECTRIC, INC.	  	
		 	QES GP, LLC	  	
		 	QP ENERGY SERVICES, LLC	  	
		 	QPS ENGINEERING, LLC	  	
		 	QSI FINANCE GP (US), LLC	  	
		 	QSI FINANCE I (US), L.P.	  	
		 	QSI, INC.	  	
		 	QTSL, LLC	  	
		 	QUANTA ASSET MANAGEMENT LLC	  	
		 	QUANTA CAPITAL GP, LLC	  	
		 	QUANTA CAPITAL LP, L.P.	  	
		 	QUANTA CAPITAL SOLUTIONS, INC.	  	
		 	QUANTA ELECTRIC POWER CONSTRUCTION, LLC	  	
		 	QUANTA ELECTRIC POWER SERVICES, LLC	  	
		 	QUANTA ENERGIZED SERVICES U.S., LLC	  	
		 	QUANTA ENERGY SERVICES, LLC	  	
		 	QUANTA EQUIPMENT COMPANY, LLC	  	
		 	QUANTA GOVERNMENT SERVICES, INC.	  	
		 	QUANTA GOVERNMENT SOLUTIONS, INC.	  	
		 	QUANTA INFRASTRUCTURE SERVICES, LLC	  	
		 	QUANTA INLINE DEVICES, LLC	  	
		 	QUANTA MARINE SERVICES, LLC	  	
		 	QUANTA PIPELINE SERVICES, INC.	  	
		 	QUANTA POWER GENERATION, INC.	  	
		 	QUANTA POWER, INC.	  	
		 	QUANTA SUBSURFACE, LLC	  	
		 	QUANTA TECHNOLOGY, LLC	  	
		 	QUANTA TELECOMMUNICATION SERVICES, LLC	  	
		 	QUANTA UTILITY ENGINEERING SERVICES, INC.	  	
		 	QUANTA UTILITY INSTALLATION COMPANY, INC.	  	
		 	REALTIME ENGINEERS, INC.	  	
		 	REALTIME UTILITY ENGINEERS, INC.	  	
		 	RMS HOLDINGS, LLC	  	
		 	ROAD BORE CORPORATION	  	
		 	SERVICE ELECTRIC COMPANY	  	
		 	SOUTHWEST TRENCHING COMPANY, INC.	  	
		 	STRONGHOLD GENERAL, LLC	  	
		 	STRONGHOLD SPECIALTY GENERAL, LLC	  	
		 	SUMMIT LINE CONSTRUCTION, INC.	  	
		 	SUMTER UTILITIES, INC.	  	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

							
		 	 T. G. MERCER CONSULTING SERVICES, INC.

THE RYAN COMPANY, INC.
 TOM ALLEN CONSTRUCTION COMPANY

UNDERGROUND CONSTRUCTION CO., INC.
 UNDERGROUND ELECTRIC
CONSTRUCTION COMPANY, LLC
 UTILITY TRAINING SERVICES CORPORATION

WINCO, INC.

				
		 	By:	 	 /s/ Nicholas M. Grindstaff
	 	
		 	Name:	 	Nicholas M. Grindstaff	 	
		 	Title:  	 	Treasurer	 	
		
		 	CAN-FER UTILITY SERVICES, LLC
				
		 	By:	 	Mejia Personnel Services, Inc.,	 	
		 		 	its sole member	 	
				
		 	By:	 	 /s/ Nicholas M. Grindstaff
	 	
		 	Name:	 	Nicholas M. Grindstaff	 	
		 	Title:  	 	Treasurer	 	
			
		 	DIGCO UTILITY CONSTRUCTION, L.P.	 	
		 	LINDSEY ELECTRIC, L.P.	 	
		 	NORTH HOUSTON POLE LINE, L.P.	 	
				
		 	By:	 	Mejia Personnel Services, Inc.,	 	
		 		 	its general partner	 	
				
		 	By:	 	 /s/ Nicholas M. Grindstaff
	 	
		 	Name:	 	Nicholas M. Grindstaff	 	
		 	Title:	 	Treasurer	 	
			
		 	QUANTA ASSOCIATES, L.P.	 	
				
		 	By:	 	Quanta Services, Inc.,	 	
		 		 	its general partner	 	
				
		 	By:	 	 /s/ Nicholas M. Grindstaff
	 	
		 	Name:	 	Nicholas M. Grindstaff	 	
		 	 Title:
	 	Vice President – Finance and Treasurer	 	
		
		 	QUANTA SERVICES MANAGEMENT PARTNERSHIP, L.P.
				
		 	By:	 	QSI, Inc.,	 	
		 		 	its general partner	 	
				
		 	By:	 	 /s/ Nicholas M. Grindstaff
	 	
		 	Name:	 	Nicholas M. Grindstaff	 	
		 	Title:	 	Treasurer	 	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

							
		 	 STRONGHOLD, LTD.
 STRONGHOLD
SPECIALTY, LTD.
	 	
				
		 	By:	 	QES GP, LLC,	 	
		 		 	its general partner	 	
				
		 	By:	 	 /s/ Nicholas M. Grindstaff
	 	
		 	Name:	 	Nicholas M. Grindstaff	 	
		 	Title:	 	Treasurer	 	
			
		 	CAT-SPEC, LTD.	 	
		 	 ELITE TURNAROUND SPECIALISTS, LTD.

STRONGHOLD TOWER GROUP, LTD.

				
		 	By:	 	Stronghold Specialty General, LLC,	 	
		 		 	its general partner	 	
				
		 	By:	 	 /s/ Nicholas M. Grindstaff
	 	
		 	Name:	 	Nicholas M. Grindstaff	 	
		 	Title:	 	Treasurer	 	
			
		 	CITADEL INDUSTRIAL SERVICES, LTD.	 	
		 	 DORADO SPECIALTY SERVICES, LTD.

ELITE FABRICATION, LTD.
 ELITE PIPING & CIVIL, LTD.

SPECIALTY TANK SERVICES, LTD.
 STRONGHOLD INSPECTION, LTD.

TURNKEY AUTOMATION, LTD.

				
		 	By:	 	Stronghold General, LLC,	 	
		 		 	its general partner	 	
				
		 	By:	 	 /s/ Nicholas M. Grindstaff
	 	
		 	Name:	 	Nicholas M. Grindstaff	 	
		 	Title:	 	Treasurer	 	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

							
		 	QSI ENGINEERING, INC.	 	
				
		 	By:	 	 /s/ Nicholas M. Grindstaff
	 	
		 	Name:	 	Nicholas M. Grindstaff	 	
		 	 Title:
	 	Treasurer	 	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

							
	ADMINISTRATIVE AGENT:	 	 BANK OF AMERICA, N.A.,
 as
Administrative Agent
	 	
				
		 	 By:
	 	 /s/ Anthony W. Kell
	 	
		 	 Name: Anthony W. Kell
	 	
		 	 Title: Vice President
	 	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

							
	LENDERS:	 	 BANK OF AMERICA, N.A.,
 as a
Lender, Domestic Swing Line Lender and an L/C Issuer

				
		 	By:	 	 /s/ Adam Rose
	 	
		 	 Name: Adam Rose
	 	
		 	 Title: Senior Vice President
	 	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

							
		 	 BANK OF AMERICA, N.A., AUSTRALIA BRANCH,

as a Lender and Australian Swing Line Lender

				
		 	By:	 	 /s/ Ari Rubin
	 	
		 	 Name: Ari Rubin
	 	
		 	 Title: Vice President
	 	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

							
		 	 BANK OF AMERICA, N.A., CANADA BRANCH,

as a Lender and Canadian Swing Line Lender

				
		 	By:	 	 /s/ Medina Sales de Andrade
	 	
		 	 Name: Medina Sales de Andrade
	 	
		 	 Title: Vice President
	 	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

							
		 	 BANK OF MONTREAL,
 as a Lender and
an L/C Issuer
	 	
				
		 	By:	 	 /s/ Michael Gift
	 	
		 	Name: Michael Gift	 	
		 	Title: Director	 	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

							
		 	 CITIBANK, N.A.,
 as a Lender and an
L/C Issuer
	 	
				
		 	By:	 	 /s/ Cynthia Goodwin
	 	
		 	 Name: Cynthia Goodwin
	 	
		 	 Title: Senior Vice President
	 	
		 		 	   GEID: 1010458932
	 	
		 		 	  Citibank, N.A.	 	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

							
		 	 BOKF, NA (d/b/a Bank of Texas),
 as
a Lender
	 	
				
		 	By:	 	 /s/ Ross Davis
	 	
		 	 Name: Ross Davis
	 	
		 	 Title: Vice President
	 	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

							
		 	 SUNTRUST BANK,
 as a Lender
	 	
				
		 	By:	 	 /s/ Justin Lien
	 	
		 	Name: Justin Lien	 	
		 	Title: Director	 	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

							
		 	 COMPASS BANK,
 as a Lender
	 	
				
		 	By:	 	 /s/ Aaron Loyd
	 	
		 	Name: Aaron Loyd	 	
		 	Title: Director	 	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

							
		 	 ZB, N.A. (d/b/a Amegy Bank),
 as a
Lender
	 	
				
		 	By:	 	 /s/ Ryan Kim
	 	
		 	Name: Ryan Kim	 	
		 	Title: AVP	 	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

							
		 	 THE BANK OF TOKYO-MITSUBISHI UFJ, LTD.,

as a Lender

				
		 	By:	 	 /s/ Lauren Hom
	 	
		 	Name: Lauren Hom	 	
		 	Title: Director	 	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

							
		 	 CITIZENS BANK, N.A.,
 as a
Lender
	 	
				
		 	By:	 	 /s/ Karmyn Paul
	 	
		 	Name: Karmyn Paul	 	
		 	Title: Vice President	 	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

							
		 	 BRANCH BANKING AND TRUST COMPANY,

as a Lender
	 	
				
		 	By:	 	 /s/ Erron Powers
	 	
		 	Name: Erron Powers	 	
		 	Title: Senior Vice President	 	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

							
		 	 PNC BANK, NATIONAL ASSOCIATION,
 as
a Lender
	 	
				
		 	By:	 	 /s/ Divyang Shah
	 	
		 	Name: Divyang Shah	 	
		 	Title: Sr. Vice President	 	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

							
		 	 WELLS FARGO BANK, NATIONAL ASSOCIATION,

as a Lender

				
		 	By:	 	 /s/ Mark B. Felker
	 	
		 	Name: Mark B. Felker	 	
		 	Title: Managing Director	 	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

							
		 	 HSBC BANK USA, N.A.,
 as a
Lender
	 	
				
		 	By:	 	 /s/ Ozen Ahmed
	 	
		 	Name: Ozen Ahmed	 	
		 	Title: Vice President	 	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

							
		 	 U.S. BANK NATIONAL ASSOCIATION,

as a Lender

				
		 	By:	 	 /s/ Jonathan F. Lindvall
	 	
		 	 Name: Jonathan F. Lindvall
	 	
		 	 Title: Senior Vice President
	 	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

							
		 	 JPMORGAN CHASE BANK, N.A.,
 as a
Lender

				
		 	By:	 	 /s/ John Kushnerick
	 	
		 	 Name: John Kushnerick
	 	
		 	 Title: Executive Director
	 	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

							
		 	 REGIONS BANK,
 as a
Lender

				
		 	By:	 	 /s/ Joey Powell
	 	
		 	 Name: Joey Powell
	 	
		 	 Title: Director
	 	

  
 QUANTA SERVICES, INC. 

THIRD AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

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