Document:

SECURITIES
PURCHASE AGREEMENT

 

This
SECURITIES PURCHASE AGREEMENT
(the “Agreement”), dated
as of June 23, 2016, by and between Rich
Pharmaceuticals, Inc., a Nevada corporation, with headquarters located
at 9595 Wilshire
Blvd Suite 900,
Beverly Hills, CA
90212 (the “Company”),
and LG Capital Funding,
LLC.,
a New York
Limited Liability Company,
with its address
at 1218 Union
Street, Suite #2,
Brooklyn, NY 11225
(the “Buyer”).

 

WHEREAS:

 

A.               
The Company and
the Buyer are
executing and delivering
this Agreement in reliance
upon the exemption
from securities registration
afforded by the
rules and regulations
as promulgated by the
United States Securities
and Exchange Commission
(the “SEC”) under
the Securities Act of
1933, as amended
(the “1933 Act”);

 

B.                
Buyer desires to
purchase and the
Company desires to
issue and sell,
upon the terms and
conditions set forth
in this Agreement
two 8% convertible
notes of the
Company, in the forms
attached hereto as
Exhibit A and
B in the
aggregate principal amount
of $112,000.00 (with the
first note being
in the amount
of $56,000.00 and
the second note
being in the
amount of

$56,000.00)
(together with any
note(s) issued in
replacement thereof or
as a dividend
thereon or otherwise with
respect thereto in
accordance with the
terms thereof, the
“Note”), convertible into
shares of common
stock, of the
Company (the “Common
Stock”), upon the
terms and subject
to the limitations and
conditions set forth
in such Note.
The first of
the two notes
(the “First Note”) shall
be paid for
by the Buyer
as set forth
herein. The second
note (the “Second
Note”) shall initially be
paid for by
the issuance of an
offsetting $56,000.00 secured
note issued to
the Company by the
Buyer (“Buyer Note”),
provided that prior
to conversion of
the Second Note, the
Buyer must have
paid off the
Buyer Note in cash
such that the
Second Note may
not be converted until it has been paid for in cash.

 

C.                
The Buyer wishes
to purchase, upon
the terms and
conditions stated in
this Agreement, such principal
amount of Note
as is set
forth immediately below
its name on
the signature pages hereto;
and

 

NOW
THEREFORE, the Company
and the Buyer
severally (and not
jointly) hereby agree as
follows:

 

1.                 
Purchase and Sale
of Note.

 

a.                  
Purchase of Note.
On each Closing
Date (as defined
below), the Company shall
issue and sell
to the Buyer
and the Buyer
agrees to purchase
from the Company such
principal amount of
Note as is
set forth immediately
below the Buyer’s
name on the signature
pages hereto.

    	 	1	 

     

    

b.                 
Form of Payment.
On each Closing
Date (as defined
below), (i)
the Buyer shall
pay the purchase
price for the
Note to be
issued and sold
to it at
the Closing (as defined
below) (the “Purchase
Price”) by wire
transfer of immediately
available funds to
the Company, in accordance
with the Company’s
written wiring instructions,
against delivery of
the Note in the
principal amount equal
to the Purchase
Price as is
set forth immediately
below the Buyer’s name
on the signature
pages hereto, and
(ii) the Company shall
deliver such duly executed Note
on behalf of the Company, to the Buyer, against delivery of such Purchase Price.

 

c.                  
Closing Date. The
date and time
of the issuance
and sale of
the Note pursuant to
this Agreement (the
“Closing Date”) shall
be on or
about June 23,
2016, or such other
mutually agreed upon
time. The closing
of the transactions
contemplated by this Agreement
(the “Closing”) shall
occur on the
Closing Date at
such location as
may be agreed
to by the parties.
Subsequent Closings shall
occur when the
Buyer Note is
repaid.

 

 

2.                 
Buyer’s  Representations  and
 Warranties.The  Buyer 
represents  and warrants to
the Company that:

 

a.                  
Investment Purpose. As
of the date
hereof, the Buyer
is purchasing the Note
and the shares
of Common Stock
issuable upon conversion
of or otherwise pursuant
to the Note,
such shares of
Common Stock being
collectively referred to
herein as the “Conversion
Shares” and, collectively
with the Note,
the “Securities”) for
its own account
and not with a
present view towards
the public sale
or distribution thereof,
except pursuant to
sales registered or exempted
from registration under
the 1933 Act;
provided, however, that
by making the representations
herein, the Buyer
does not agree
to hold any
of the Securities
for any minimum or
other specific term
and reserves the
right to dispose
of the Securities at
any time in accordance with or pursuant
to a registration statement or an exemption under the 1933 Act.

 

b.                 
Accredited Investor Status. The
Buyer is an
“accredited investor” as that
term is defined
in Rule 501(a)
of Regulation D
(an “Accredited Investor”).

 

c.                  
Reliance on Exemptions.
The Buyer understands
that the Securities are
being offered and
sold to it
in reliance upon
specific exemptions from
the registration requirements of United
States federal and
state securities laws and
that the Company is relying
upon the truth
and accuracy of,
and the Buyer’s
compliance with, the
representations, warranties, agreements,
acknowledgments and understandings
of the Buyer
set forth herein
in order to determine
the availability of
such exemptions and
the eligibility of
the Buyer to
acquire the Securities.

 

d.                 
Information. The Buyer
and its advisors,
if any, have
been, and for so
long as the
Note remain outstanding
will continue to
be, furnished with
all materials relating to
the business, finances
and operations of
the Company and
materials relating to
the offer and sale
of the Securities
which have been
requested by the
Buyer or its
advisors. The Buyer
and its advisors, if
any, have been,
and for so
long as the
Note remain outstanding
will continue to
be, afforded the opportunity
to ask questions
of the Company.
Notwithstanding the foregoing,
the Company has not disclosed to the
Buyer any material nonpublic information
and will not

    	 	2	 

     

    

disclose
such information unless
such information is
disclosed to the
public prior to
or promptly following such
disclosure to the
Buyer. Neither such
inquiries nor any
other due diligence investigation
conducted by Buyer
or any of
its advisors or
representatives shall modify,
amend or affect Buyer’s
right to rely
on the Company’s
representations and warranties
contained in Section 3
below. The Buyer
understands that its
investment in the
Securities involves a significant
degree of risk.
The Buyer is
not aware of
any facts that
may constitute a
breach of any of
the Company's representations
and warranties made
herein.

 

e.                  
Governmental Review. The
Buyer understands that
no United States federal
or state agency
or any other
government or governmental
agency has passed
upon or made any
recommendation or endorsement
of the Securities.

 

f.                   
Transfer or Re-sale.
The Buyer understands
that (i)
the sale or
re- sale of
the Securities has
not been and
is not being
registered under the
1933 Act or
any applicable state securities
laws, and the
Securities may not
be transferred unless
(a) the Securities are
sold pursuant to
an effective registration
statement under the
1933 Act, (b)
the Buyer shall have delivered to
the Company, at the cost of the Buyer, an opinion of counsel that shall be in form, substance
and scope customary for opinions
of counsel in comparable transactions
to the effect that the Securities to be sold or transferred may be sold or transferred pursuant to an exemption from such registration,
which opinion shall be accepted by the Company, (c) the Securities are sold or transferred
to an “affiliate” (as defined in Rule 144 promulgated under the 1933 Act (or a successor rule) (“Rule 144”))
of the Buyer who agrees to sell or otherwise transfer the Securities only in accordance
with this Section 2(f) and who is an Accredited Investor, (d)
the Securities are sold pursuant to Rule 144, or (e) the Securities are sold
pursuant to Regulation S
under the 1933
Act (or a
successor rule) (“Regulation
S”), and the
Buyer shall have delivered to the Company, at the cost of the Buyer, an opinion
of counsel that shall be in form, substance and scope customary for opinions of
counsel in corporate transactions, which opinion
shall be accepted by the
Company; (ii) any sale of
such Securities made in reliance
on Rule 144 may
be made only
in accordance with the
terms of said Rule
and further, if said Rule
is not applicable, any re-sale of such Securities under circumstances in which the seller (or the person through whom the
sale is made) may be deemed to be an underwriter (as that term is defined in
the 1933 Act) may require
compliance with some other exemption
under the 1933 Act or the rules and
regulations of the SEC thereunder; and (iii) neither the Company nor any other person is
under any obligation
to register such
Securities under the
1933 Act or
any state securities laws or
to comply with the terms and conditions
of any exemption thereunder (in each case).
Notwithstanding the foregoing or anything else contained herein to the contrary, the Securities may
be pledged as
collateral in connection
with a bona
fide margin account or
other lending arrangement.

 

g.                 
Legends. The Buyer
understands that the
Note and, until
such time as the
Conversion Shares have
been registered under
the 1933 Act
may be sold
pursuant to Rule 144
or Regulation S
without any restriction
as to the
number of securities
as of a
particular date that can
then be immediately
sold, the Conversion
Shares may bear
a restrictive legend
in substantially the following
form (and a
stop-transfer order may
be placed against
transfer of the certificates
for such Securities):

    	 	3	 

     

    

“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 COUNSEL SHALL BE
SELECTED BY THE HOLDER), IN A GENERALLY
ACCEPTABLE  FORM, THAT REGISTRATION
IS NOT REQUIRED
UNDER SAID ACT OR
(II) UNLESS SOLD
PURSUANT TO RULE 
144  OR  RULE
144A UNDER SAID ACT. NOTWITHSTANDING THE FOREGOING, THE SECURITIES MAY BE PLEDGED
IN CONNECTION WITH A BONA FIDE MARGIN ACCOUNT OR OTHER
LOAN OR FINANCING ARRANGEMENT 
SECURED BY THE SECURITIES.”

 

The
legend set forth
above shall be
removed and the
Company shall issue
a certificate without such
legend to the
holder of any
Security upon which
it is stamped,
if, unless otherwise required
by applicable state
securities laws, (a)
such Security is
registered for sale
under an effective registration
statement filed under
the 1933 Act
or otherwise may
be sold pursuant
to Rule 144 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) such
holder provides the
Company with an
opinion of counsel, in
form, substance and
scope customary for
opinions of counsel
in comparable transactions, to
the effect that
a public sale
or transfer of such
Security 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 Buyer agrees to sell all Securities, 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
Buyer with respect
to the transfer
of Securities pursuant
to an exemption from registration,
such as Rule 144 or Regulation S, within 2 business days, it will be considered an Event of Default under the Note.

 

h.                 
Authorization; Enforcement. This
Agreement has been
duly and validly authorized.
This Agreement has
been duly executed
and delivered on
behalf of the Buyer,
and this Agreement
constitutes a valid
and binding agreement
of the Buyer
enforceable in accordance with
its terms.

 

i.                   
Residency. The Buyer
is a resident
of the jurisdiction
set forth immediately below
the Buyer’s name
on the signature
pages hereto.

 

3.                 
Representations and Warranties of
the Company. The
Company represents and warrants
to the Buyer
that, except as
otherwise disclosed in
the Company’s public filings
and reports with
the Securities and
Exchange Commission:

    	 	4	 

     

    

a.                  
Organization and Qualification.
The Company and
each of its subsidiaries,
if any, is
a corporation duly
organized, validly existing
and in good
standing under the laws
of the jurisdiction
in which it
is incorporated, with
full power and
authority (corporate and other)
to own, lease,
use and operate
its properties and
to carry on
its business as
and where now owned,
leased, used, operated
and conducted.

 

b.                 
Authorization; Enforcement. (i)
The Company has
all requisite corporate power
and authority to
enter into and
perform this Agreement,
the Note and
to consummate the transactions
contemplated hereby and
thereby and to
issue the Securities,
in accordance with the
terms hereof and
thereof, (ii) the
execution and delivery
of this Agreement, the
Note by the
Company and the
consummation by it
of the transactions
contemplated hereby and thereby
(including without limitation,
the issuance of
the Note and
the issuance and reservation
for issuance of the
Conversion Shares issuable
upon conversion or
exercise thereof) have been
duly authorized by
the Company’s Board
of Directors and
no further consent
or authorization of the Company, its Board of Directors, or its shareholders is required, (iii) this Agreement has been
duly executed and delivered by the Company by its authorized representative, and such
authorized representative is the true
and official representative with authority to
sign this Agreement and the
other documents executed in connection
herewith and bind the Company accordingly, and (iv) this Agreement constitutes, and upon execution and delivery by the Company
of the Note, each of such instruments will constitute, a legal, valid and binding obligation
of the Company
enforceable against the
Company in accordance
with its terms. 

 

c.                  
Issuance of Shares.
The Conversion Shares
are duly authorized and
reserved for issuance
and, upon conversion
of the Note
in accordance with
its respective terms, will
be validly issued,
fully paid and
non-assessable, and 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
Company and will
not impose personal
liability upon the holder
thereof.

 

d.                 
Acknowledgment of Dilution. The
Company understands and acknowledges
the potentially dilutive effect
to the Common
Stock upon the
issuance of the Conversion
Shares upon conversion
of the Note.
The Company further
acknowledges that its obligation
to issue Conversion
Shares upon conversion
of the Note
in accordance with
this Agreement, the Note is
absolute and unconditional
regardless of the
dilutive effect that
such issuance may have
on the ownership
interests of other
shareholders of the
Company.

 

e.                  
No Conflicts. The
execution, delivery and
performance of this Agreement,
the Note by
the Company and
the consummation by
the Company of
the transactions contemplated hereby
and thereby (including,
without limitation, the
issuance and reservation
for issuance of the
Conversion Shares) will
not (i) conflict
with or result
in a violation
of any provision of
the Certificate of
Incorporation or By-laws,
or (ii) violate
or conflict with,
or result in a
breach of any
provision of, or
constitute a default
(or an event
which with notice
or lapse of time
or both could
become a default)
under, or give
to others any
rights of termination, amendment,
acceleration or cancellation
of, any agreement,
indenture, patent, patent
license or

    	 	5	 

     

    

instrument
to which the
Company or any
of its subsidiaries
is a party,
or (iii) result
in a violation of
any law, rule,
regulation, order, judgment
or decree (including
federal and state
securities laws and regulations
and regulations of
any self-regulatory organizations
to which the
Company or its securities
are subject) applicable
to the Company
or any of
its subsidiaries or
by which any property
or asset of
the Company or
any of its
subsidiaries is bound
or affected (except
for such conflicts, defaults,
terminations, amendments, accelerations,
cancellations and violations
as would not, individually
or in the
aggregate, have a
material adverse effect).
All consents, authorizations, orders,
filings and registrations
which the Company
is required to
obtain pursuant to the preceding sentence have been obtained or effected on
or prior to the date hereof. The Company is not
in violation of the
listing requirements of the OTC
Marketplace (the “OTC MARKETS”)
and does not
reasonably anticipate that
the Common Stock
will be delisted
by the OTC MARKETS in
the foreseeable future, nor
are the Company’s securities
“chilled” by FINRA. The Company and its subsidiaries are unaware of any
facts or circumstances which might give rise
to any of
the foregoing.

 

f.                   
Absence of Litigation.
There is no
action, suit, claim,
proceeding, inquiry or investigation
before or by any
court, public board, government
agency, self-regulatory organization or body
pending or, to
the knowledge of
the Company or
any of its
subsidiaries, threatened against or
affecting the Company
or any of
its subsidiaries, or
their officers or directors
in their capacity
as such, that
could have a
material adverse effect.
Schedule 3(f) contains a
complete list and
summary description of
any pending or,
to the knowledge
of the Company, threatened
proceeding against or
affecting the Company
or any of
its subsidiaries, without regard to whether it would have a material adverse
effect. The Company and its subsidiaries are unaware of any facts or circumstances which might give rise to any of the foregoing.

 

g.                 
Acknowledgment Regarding Buyer’
Purchase of Securities.
The Company acknowledges and
agrees that the
Buyer is acting
solely in the
capacity of arm’s
length purchasers with respect
to this Agreement
and the transactions
contemplated hereby. The Company
further acknowledges that
the Buyer is
not acting as
a financial advisor
or fiduciary of the
Company (or in
any similar capacity)
with respect to
this Agreement and
the transactions contemplated hereby
and any statement
made by the
Buyer or any
of its respective representatives
or agents in
connection with this
Agreement and the
transactions contemplated hereby is
not advice or a
recommendation and is
merely incidental to the
Buyer’ purchase of the Securities.
The Company further represents to the Buyer that the Company’s decision to enter into this Agreement has been based
solely on the independent evaluation of the Company and its representatives.

 

h.                 
No Integrated Offering. Neither
the Company, nor any
of its affiliates, nor
any person acting
on its or
their behalf, has
directly or indirectly
made any offers or
sales in any
security or solicited
any offers to
buy any security
under circumstances that would
require registration under
the 1933 Act
of the issuance
of the Securities
to the Buyer.
The issuance of the
Securities to the
Buyer will not
be integrated with
any other issuance
of the Company’s securities (past,
current or future)
for purposes of
any shareholder approval provisions
applicable to the Company
or its securities.

    	 	6	 

     

    

i.                   
Title to Property.
The Company and
its subsidiaries have
good and marketable title
in fee simple
to all real
property and good
and marketable title
to all personal property
owned by them
which is material
to the business
of the Company
and its subsidiaries,
in each case free
and clear of
all liens, encumbrances
and defects except
such as are
described in Schedule 3(i)
or such as
would not have
a material adverse
effect. Any real
property and facilities held
under lease by
the Company and
its subsidiaries are
held by them
under valid, subsisting and
enforceable leases with
such exceptions as
would not have
a material adverse effect.

 

j.                   
Bad Actor. No officer or director
of the Company would be disqualified under
Rule 506(d) of
the Securities Act
as amended on
the basis of
being a "bad actor"
as that term is
established in the
September 19, 2013
Small Entity Compliance
Guide published by the Securities
and Exchange Commission.

 

 

k.                 
Breach of Representations
and Warranties by
the Company. If
the Company breaches any
of the representations
or warranties set
forth in this
Section 3, and
in addition to any
other remedies available
to the Buyer
pursuant to this
Agreement, it will
be considered an Event
of default under
the Note.

 

		4.	COVENANTS.

 

a.                  
Expenses. At the
Closing, the Company
shall reimburse Buyer
for expenses incurred by
them in connection
with the negotiation,
preparation, execution, delivery and
performance of this
Agreement and the
other agreements to
be executed in
connection herewith (“Documents”),
including, without limitation,
reasonable attorneys’ and
consultants’ fees and expenses,
transfer agent fees,
fees for stock
quotation services, fees
relating to any amendments
or modifications of
the Documents or
any consents or
waivers of provisions
in the Documents, fees
for the preparation
of opinions of
counsel, escrow fees,
and costs of restructuring
the transactions contemplated by the Documents. When possible, the Company must pay these fees
directly, otherwise the Company must make immediate payment
for reimbursement to the Buyer for all fees and expenses immediately upon written notice by the Buyer or the submission
of an invoice by the Buyer.

 

b.                 
Listing. The Company
shall promptly secure
the listing of
the Conversion Shares upon
each national securities
exchange or automated
quotation system, if
any, upon which shares
of Common Stock
are then listed
(subject to official
notice of issuance)
and, so long as
the Buyer owns
any of the
Securities, shall maintain,
so long as
any other shares
of Common Stock shall
be so listed,
such listing of
all Conversion Shares
from time to
time issuable upon conversion
of the Note.
The Company will
obtain and, so
long as the
Buyer owns any of the Securities,
maintain the listing and trading of its Common Stock on the
OTC MARKETS or any equivalent
replacement exchange, the Nasdaq National
Market (“Nasdaq”), the Nasdaq SmallCap
Market (“Nasdaq SmallCap”),
the New York
Stock Exchange (“NYSE”),
or the American Stock Exchange (“AMEX”) and will comply in all respects with the Company’s reporting, filing
and other obligations under the bylaws or rules of the Financial Industry Regulatory  Authority
 (“FINRA”)  and 
such  exchanges,  as 
applicable. The  Company  shall

    	 	7	 

     

    

promptly
provide to the
Buyer copies of
any notices it
receives from the
OTC MARKETS and any
other exchanges or
quotation systems on
which the Common
Stock is then
listed regarding the continued
eligibility of the
Common Stock for
listing on such
exchanges and quotation systems.

 

c.                  
Corporate Existence. So
long as the
Buyer beneficially owns
any Note, the
Company shall maintain
its corporate existence
and shall not
sell all or substantially
all of the Company’s
assets, except in
the event of
a merger or
consolidation or sale
of all or substantially
all of the Company’s assets, where
the surviving or successor entity
in such transaction (i) assumes the
Company’s obligations hereunder
and under the
agreements and instruments entered
into in connection
herewith and (ii)
is a publicly
traded corporation whose Common
Stock is listed
for trading on
the OTC MARKETS,
Nasdaq, Nasdaq SmallCap,
NYSE or AMEX.

 

d.                 
No Integration. The
Company shall not
make any offers
or sales of any
security (other than
the Securities) under
circumstances that would
require registration of the
Securities being offered
or sold hereunder
under the 1933
Act or cause
the offering of
the Securities to be
integrated with any
other offering of
securities by the
Company for the
purpose of any stockholder
approval provision applicable
to the Company
or its securities.

 

e.                  
Exclusivity. Once the
$56,000 note has
been funded, and
while such note is
outstanding, the Company
shall not enter
into any debt
financing or convertible security
financings or a
registered offering with
any third parties
without the prior
written consent of the
lender. Excluded from
this limitation is
traditional bank financing
and equipment leasing.

 

 

f.                   
Breach of Covenants.
If the Company
breaches any of
the covenants set forth in
this Section 4, and
in addition to any
other remedies available to
the Buyer pursuant to
this Agreement, it
will be considered
an event of
default under the
Note.

 

		5.	Governing
                                         Law; Miscellaneous.

 

a.                  
Governing Law. This
Agreement shall be
governed by and construed
in accordance with
the laws of
the State of
New York without
regard to principles
of conflicts of laws.
Any action brought
by either party
against the other
concerning the transactions contemplated
by this Agreement
shall be brought
only in the
state courts of
New York or in
the federal courts
located in the
state and county
of New York.
The parties to
this Agreement hereby irrevocably
waive any objection
to jurisdiction and
venue of any action instituted
hereunder and shall
not assert any
defense based on
lack of jurisdiction
or venue or based upon forum
non conveniens. The Company and Buyer waive trial by jury. The prevailing party shall be entitled to recover from the other
party its reasonable attorney's fees and costs. In the event
that any provision
of this Agreement
or any other
agreement delivered in
connection herewith is invalid or unenforceable under
any applicable statute or rule of
law, then such provision shall
be deemed inoperative
to the extent
that it may
conflict therewith and
shall be deemed modified
to conform with
such statute or
rule of law. Any
such provision which
may

    	 	8	 

     

    

prove
invalid or unenforceable
under any law
shall not affect
the validity or
enforceability of any other
provision of any
agreement. Each party
hereby irrevocably waives
personal service of process
and consents to
process being served
in any suit,
action or proceeding
in connection with this
Agreement by mailing
a copy thereof
via registered or
certified mail or
overnight delivery (with evidence
of delivery) to
such party at
the address in
effect for notices
to it under
this Agreement and agrees
that such service
shall constitute good
and sufficient service
of process and notice
thereof. Nothing contained
herein shall be
deemed to limit
in any way
any right to serve
process in any
other manner permitted
by law.

 

b.                 
Counterparts; Signatures by
Facsimile. This Agreement
may be executed in one
or more counterparts, each of
which shall be deemed an original
but all of which shall constitute
one and the
same agreement and
shall become effective
when counterparts have been
signed by each
party and delivered
to the other
party. This Agreement,
once executed by
a party, may be
delivered to the
other party hereto
by facsimile transmission
of a copy
of this Agreement bearing
the signature of
the party so
delivering this Agreement.

 

c.                  
Headings. The headings
of this Agreement
are for convenience
of reference only and
shall not form
part of, or
affect the interpretation
of, this Agreement.

 

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

 

e.                  
Entire Agreement; Amendments. This
Agreement and the instruments
referenced herein contain the
entire understanding of
the parties with
respect to the matters
covered herein and
therein and, except
as specifically set
forth herein or
therein, neither the Company
nor the Buyer
makes any representation,
warranty, covenant or
undertaking with respect to
such matters. No
provision of this
Agreement may be
waived or amended
other than by an
instrument in writing
signed by the
majority in interest
of the Buyer.

 

f.                   
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, (iv) via electronic mail
or (v) transmitted by hand delivery, telegram, 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 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 delivery via electronic mail,
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

    	 	9	 

     

    

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 Company,
to:

Rich
Pharmaceuticals, Inc.

9595 Wilshire
Blvd Suite 900

Attn:
Ben Chang, CEO 

 

If
to the Buyer:

LG
CAPITAL FUNDING, LLC

1218
Union Street, Suite
#2,

Brooklyn,
NY 11225 Attn: Joseph
Lerman 

 

Each
party shall provide
notice to the
other party of
any change in
address.

 

g.                 
Successors and Assigns.
This Agreement shall
be binding upon
and inure to the benefit of the parties and their successors
and assigns. Neither the Company nor the
Buyer shall assign
this Agreement or
any rights or
obligations hereunder without
the prior written consent
of the other.
Notwithstanding the foregoing,
the Buyer may
assign its rights hereunder
to any person
that purchases Securities
in a private
transaction from the
Buyer or to any
of its “affiliates,”
as that term
is defined under
the 1934 Act,
without the consent
of the Company.

 

h.                 
Third Party Beneficiaries. This
Agreement is intended
for the benefit of
the parties hereto
and their respective
permitted successors and
assigns, and is
not for the benefit
of, nor may
any provision hereof
be enforced by,
any other person.

 

i.                   
Survival. The representations and
warranties of the
Company and the agreements
and covenants set
forth in this
Agreement shall survive
the closing hereunder notwithstanding
any due diligence investigation
conducted by or
on behalf of
the Buyer. The Company
agrees to indemnify
and hold harmless
the Buyer and
all their officers,
directors, employees and agents for
loss or damage
arising as a
result of or
related to any
breach or alleged breach
by the Company
of any of
its representations, warranties
and covenants set
forth in this Agreement
or any of
its covenants and
obligations under this
Agreement, including advancement of expenses as they are incurred.

 

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

k.                 
No Strict Construction.
The language used
in this Agreement
will be deemed to
be the language
chosen by the
parties to express
their mutual intent,
and no rules
of strict construction will
be applied against
any party.

    	 	10	 

     

    

 

l.                   
Remedies. The Company
acknowledges that a
breach by it
of its obligations hereunder
will cause irreparable
harm to the
Buyer by vitiating
the intent and
purpose of the transaction
contemplated hereby. Accordingly,
the Company acknowledges
that the remedy at
law for a
breach of its
obligations under this
Agreement will be
inadequate and agrees, in
the event of
a breach or
threatened breach by
the Company of
the provisions of
this Agreement, that the
Buyer 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 Agreement and to enforce specifically the terms and provisions
hereof, without the necessity of showing economic loss and without any bond or
other security being
required.

IN
WITNESS WHEREOF, the
undersigned Buyer and
the Company have
caused this Agreement to
be duly executed
as of the
date first above
written.

 

Rich
Pharmaceuticals, Inc.

 

By:
/s/ Ben Chang

Ben
Chang

Chief
Executive Officer

 

 

	LG
                           CAPITAL FUNDING,
                           LLC.

         

        By:
         /s/ Joseph Lerman
	 
	Name:
    Joseph
    Lerman
	Title:  Manager
	AGGREGATE
    SUBSCRIPTION AMOUNT:
	Aggregate
    Principal Amount of
    Note:	$112,000.00
	Aggregate
    Purchase Price:	 
	Note
    1: $56,000.00 less
    $2,500.00 in legal
    fees	 
	Note
    2: $56,000.00 less
    $2,500.00 in legal
    fees.	 

    	 	11	 

     

    

 

EXHIBIT
A 144 NOTE -
$56,000

    	 	12	 

     

    

EXHIBIT
B

BACK
END NOTE $56,000

    	 	13THIS
NOTE AND THE COMMON STOCK ISSUABLE UPON CONVERSION OF THIS NOTE HAVE NOT BEEN AND WILL NOT BE REGISTERED WITH THE UNITED STATES
SECURITIES AND EXCHANGE COMMISSION OR THE SECURITIES COMMISSION OF ANY STATE PURSUANT TO AN EXEMPTION FROM REGISTRATION PROVIDED
UNDER THE SECURITIES ACT OF 1933, AS AMENDED, AND THERULESANDREGULATIONS PROMULGATED THEREUNDER (THE  "1933 ACT”)

 

 

US
$56,000.00

 

 

RICH
PHARMACEUTICALS, INC.

8%
CONVERTIBLE REDEEMABLE NOTE

DUE
JUNE 23, 2017

 

 

FOR
VALUE RECEIVED, Rich Pharmaceuticals, Inc. (the “Company”) promises to pay to the order of LG CAPITAL FUNDING, LLC
and its authorized successors and permitted as- signs ("Holder"), the aggregate principal face amount of Fifty
Six Thousand dollars exactly (U.S. $56,000.00) on June 23, 2017 ("Maturity Date") and to pay interest on the
principal amount out- standing hereunder at the rate of 8% per annum commencing on June 23, 2016. The interest will be paid to
the Holder in whose name this Note is registered on the records of the Company regarding registration and transfers of this Note.
The principal of, and interest on, this Note are payable at 1218 Union Street, Suite #2, Brooklyn, NY 11225, initially, and if
changed, last appearing on the records of the Company as designated in writing by the Holder hereof from time to time. The Company
will pay each interest payment and the outstanding principal due upon this Note before or on the Maturity Date, less any amounts
required by law to be deducted or withheld, to the Holder of this Note by check or wire transfer addressed to such Holder at the
last address appearing on the records of the Company. The forwarding of such check or wire transfer shall constitute a payment
of outstanding principal hereunder and shall satisfy and discharge the liability for principal on this Note to the extent of the
sum represented by such check or wire transfer. Interest shall be payable in Common Stock (as defined below) pursuant to paragraph
4(b) herein.

 

This
Note is subject to the following additional provisions:

 

1.                 
This Note is exchangeable for an equal aggregate  principal amount of Notes of different authorized denominations, as requested
by the Holder surrendering the same. No service charge will be made for such registration or transfer or exchange, except that
Holder shall pay any tax or other governmental charges payable in connection therewith.

    	 	1	 

     

    

 

2.                 
The Company shall be entitled to withhold from all payments any amounts required to be withheld under applicable laws.

 

3.                 
This Note may be transferred or exchanged only in compliance with the Securities Act of 1933, as amended ("Act")
and applicable state securities laws. Any attempted transfer to a non-qualifying party shall be treated by the Company as void.
Prior to due presentment for transfer of this Note, the Company and any agent of the Company may treat the person in whose name
this Note is duly registered on the Company's records as the owner hereof for all other purposes, whether or not this Note be
overdue, and neither the Company nor any such agent shall be affected or bound by notice to the contrary. Any Holder of this Note
electing to exercise the right of conversion set forth in Section 4(a) hereof, in addition to the requirements set forth in Section
4(a), and any prospective transferee of this Note, also is required to give the Company written confirmation that this Note is
being converted ("Notice of Conversion") in the form annexed hereto as Exhibit A. The date of receipt
(including receipt by telecopy) of such Notice of Conversion shall be the Conversion Date.

 

4.                 
(a)  The Holder of this Note is entitled, at its option, at any time after 180 days, to convert all or any amount of the principal
face amount of this Note then outstanding into shares of the Company's common stock (the "Common Stock") at a
price ("Conversion Price") for each share of Common Stock equal to 50% of the lowest trading price
of the Common Stock as reported on the National Quotations Bureau OTC MARKETS exchange which the Company’s shares
are traded or any exchange upon which the Common Stock may be traded in the future ("Exchange"), for the twenty
prior trading days including the day upon which a Notice of Conversion is received by the Company or its transfer agent
(provided such Notice of Conversion is delivered by fax or other electronic method of communication to the Company or its transfer
agent after 4 P.M. Eastern Standard or Daylight Savings Time if the Holder wishes to include the same day closing price). If the
shares have not been delivered within 3 business days, the Notice of Conversion may be rescinded. Such conversion shall be effectuated
by the Company delivering the shares of Common Stock to the Holder within 3 business days of receipt by the Company of the Notice
of Conversion. Accrued but unpaid interest shall be subject to conversion. No fractional shares or scrip representing fractions
of shares will be issued on conversion, but the number of shares issuable shall be rounded to the nearest whole share. To
the extent the Conversion Price of the Company’s Common Stock closes below the par value per share, the Company will take
all steps necessary to solicit the consent of the stockholders to reduce the par value to the lowest value possible under law.
The Company agrees to honor all conversions submitted pending this increase. In the event the Company experiences a DTC “Chill”
on its shares, the conversion price shall be decreased to 40% instead of 50% while that “Chill” is in effect. If
the Company violates Section 4(e) of the Securities Purchase Agreement between the parties dated June 23, 2016, the conversion
price shall be 30% instead of 50% and the prepay premium under this Note shall increase to 170%. In no event shall the Holder
be allowed to effect a conversion if such conversion, along with all other shares of Company Common Stock beneficially owned by
the Holder and its affiliates would exceed 9.9% of the outstanding shares of the Common Stock of the Company.

    	 	2	 

     

    

 

(b)              
Interest on any unpaid principal balance of this Note shall be paid at the rate of 8% per annum. Interest shall be paid by the
Company in Common Stock ("Interest Shares"). Holder may, at any time, send in a Notice of Conversion to the Company
for Interest Shares based on the formula provided in Section 4(a) above. The dollar amount converted into Interest Shares shall
be all or a portion of the accrued interest calculated on the unpaid principal balance of this Note to the date of such notice.

 

		(c)	The
                                         Notes may be prepaid with the following penalties:

 

	PREPAY DATE	PREPAY AMOUNT
	≤ 90 days	140% of principal plus accrued interest
	>90 days <=180 days  	150% of principal plus accrued interest

 

This Note may not be prepaid after
the 180th day. Such redemption must be closed and funded within 3 days of giving notice of redemption of the right to redeem shall
be null and void.

 

(d)              
Upon (i) a transfer of all or substantially all of the assets of the Company to any person in a single transaction or series of
related transactions, (ii) a reclassification, capital reorganization or other change or exchange of outstanding shares of the
Common Stock, other than a forward or reverse stock split or stock dividend, or (iii) any consolidation or merger of the Company
with or into another person or entity in which the Company is not the surviving entity (other than a merger which is effected
solely to change the jurisdiction of incorporation of the Company and results in a reclassification, conversion or exchange of
outstanding shares of Common Stock solely into shares of Common Stock) (each of items (i), (ii) and (iii) being referred to as
a "Sale Event"), then, in each case, the Company shall, upon request of the Holder, redeem this Note in cash for 150%
of the principal amount, plus accrued but unpaid interest through the date of redemption, or at the election of the Holder, such
Holder may convert the unpaid principal amount of this Note (together with the amount of accrued but unpaid interest) into shares
of Common Stock immediately prior to such Sale Event at the Conversion Price.

 

(e)              
In case of any Sale Event (not to include a sale of all or substantially all of the Company’s assets) in connection with
which this Note is not redeemed or converted, the Company shall cause effective provision to be made so that the Holder of this
Note shall have the right thereafter, by converting this Note, to purchase or convert this Note into the kind and number of shares
of stock or other securities or property (including cash) receivable upon such reclassification, capital reorganization or other
change, consolidation or merger by a holder of the number of shares of Common Stock that could have been purchased upon exercise
of the Note and at the same Conversion Price, as defined in this Note, immediately prior to such Sale Event. The foregoing provisions
shall similarly apply to successive Sale Events. If the consideration received by the holders of Common Stock is other than cash,
the value shall be as deter- mined by the Board of Directors of the Company or successor person or entity acting in good faith.

    	 	3	 

     

    

5.                 
No provision of this Note shall alter or impair the obligation of the Company, which is absolute and unconditional, to pay the
principal of, and interest on, this Note at the time, place, and rate, and in the form, herein prescribed.

 

6.                 
The Company hereby expressly waives demand and presentment for payment, notice of non-payment, protest, notice of protest, notice
of dishonor, notice of acceleration or intent to accelerate, and diligence in taking any action to collect amounts called for
hereunder and shall be directly and primarily liable for the payment of all sums owing and to be owing hereto.

 

7.                 
The Company agrees to pay all costs and expenses, including reasonable attorneys' fees and expenses, which may be incurred by
the Holder in collecting any amount due under this Note.

 

		8.	If
                                         one or more of the following described "Events of Default" shall occur:

 

(a)              
The Company shall default in the payment of principal or interest on this Note or any other note issued to the Holder by the Company;
or

 

(b)              
Any of the material representations or warranties made by the Company herein or in any certificate or financial or other written
statements heretofore or hereafter fur- nished by or on behalf of the Company in connection with the execution and delivery of
this Note, or the Securities Purchase Agreement under which this note was issued shall be false or misleading in any respect;
or

 

(c)              
The Company shall fail to perform or observe, in any respect, any material covenant, term, provision, condition, agreement or
obligation of the Company under this Note or any other note issued to the Holder; or

 

(d)              
The Company shall (1) admit in writing its inability to pay its debts generally as they mature; (2) make an assignment for the
benefit of creditors or commence proceed- ings for its dissolution; (3) apply for or consent to the appointment of a trustee,
liquidator or receiver for its or for a substantial part of its property or business; (4) file a petition for bankruptcy relief,
consent to the filing of such petition or have filed against it an involuntary petition for bankruptcy relief, all under federal
or state laws as applicable; or

 

(e)              
A trustee, liquidator or receiver shall be appointed for the Company or for a substantial part of its property or business without
its consent and shall not be discharged with- in sixty (60) days after such appointment; or

 

(f)               
Any governmental agency or any court of competent jurisdiction at the in- stance of any governmental agency shall assume custody
or control of the whole or any substantial portion of the properties or assets of the Company; or

 

		(g)	Unless
                                         the judgment or litigation has been previously disclosed in the

    	 	4	 

     

    

Company’s
filings with the Securities and Exchange Commission, One or more money judgments, writs or warrants of attachment, or similar
process, in excess of fifty thousand dollars ($50,000) in the aggregate, shall be entered against the Company or any of its properties
or other assets and shall remain unpaid, unvacated, unbonded or unstayed for a period of fifteen (15) days or in any event later
than five (5) days prior to the date of any proposed sale thereunder; or

 

		(h)	Intentionally
                                         Left Blank; or

 

(i)                
The Company shall have its Common Stock delisted from a trading market (including the OTCBB market or the OTC Markets) or, if
the Common Stock trades on an exchange, then trading in the Common Stock shall be suspended for more than 10 consecutive days
or ceases to file its 1934 act reports with the SEC;

 

		(j)	Intentionally
                                         Left Blank;

 

(k)              
The Company shall not deliver to the Holder the Common Stock pursuant to paragraph 4 herein without restrictive legend within
3 business days of its receipt of a Notice of Conversion; or

 

(l)                
The Company shall not replenish the reserve set forth in Section 12, with- in 3 business days of the request of the Holder.

 

(m)            
The Company shall not be “current” in its filings with the Securities and Exchange Commission (which includes the
benefit of extension); or

 

(n)              
The Company shall lose the “bid” price for its stock in a market (including the OTCQB marketplace or other exchange).

 

Then,
or at any time thereafter, unless cured within 5 days, and in each and every such case, unless such Event of Default shall have
been waived in writing by the Holder (which waiver shall not be deemed to be a waiver of any subsequent default) at the option
of the Holder and in the Holder's sole discretion, the Holder may consider this Note immediately due and payable, with- out presentment,
demand, protest or (further) notice of any kind (other than notice of acceleration), all of which are hereby expressly waived,
anything herein or in any note or other instruments contained to the contrary notwithstanding, and the Holder may immediately,
and without expiration of any period of grace, enforce any and all of the Holder's rights and remedies provided herein or any
other rights or remedies afforded by law. Upon an Event of Default, interest shall accrue at a default interest rate of 24% per
annum or, if such rate is usurious or not permitted by current law, then at the highest rate of interest permitted by law.  In
the event of a breach of Section 8(k) the penalty shall be $250 per day the shares are not issued beginning on the 4th day after
the conversion notice was delivered to the Company. This penalty shall increase to $500 per day beginning on the 10th day. The
penalty for a breach of Section 8(n) shall be an increase of the outstanding principal amounts by 20%. In case of a breach of
Section 8(i), the outstanding principal due under this Note shall increase by 20%. If this Note is not paid at maturity, the outstanding
principal due under this Note shall increase by 10%.

    	 	5	 

     

    

 

If
the Holder shall commence an action or proceeding to enforce any provisions of this Note, including, without limitation, engaging
an attorney, then if the Holder prevails in such action, the Holder shall be reimbursed by the Company for its attorneys’
fees and other costs and expenses incurred in the investigation, preparation and prosecution of such action or proceeding.

 

Make-Whole
for Failure to Deliver Loss. At the Holder’s election, if the Company fails for any reason to deliver to the Holder the
conversion shares by the by the 3rd business day following the delivery of a Notice of Conversion to the Company and if the Holder
incurs a Failure to Deliver Loss, then at any time the Holder may provide the Company written notice indicating the amounts payable
to the Holder in respect of the Failure to Deliver Loss and the Company must make the Holder whole as follows:

Failure
to Deliver Loss = [(High trade price at any time on or after the day of exercise) x (Number of conversion shares)]

 

The
Company must pay the Failure to Deliver Loss by cash payment, and any such cash payment must be made by the third business day
from the time of the Holder’s written notice to the Company.

 

9.                 
In case any provision of this Note is held by a court of competent jurisdiction to be excessive in scope or otherwise invalid
or unenforceable, such provision shall be ad- justed rather than voided, if possible, so that it is enforceable to the maximum
extent possible, and the validity and enforceability of the remaining provisions of this Note will not in any way be affected
or impaired thereby.

 

10.             
Neither this Note nor any term hereof may be amended, waived, discharged or terminated other than by a written instrument signed
by the Company and the Holder.

 

11.             
The Company represents that it is not a “shell” issuer and has never been a “shell” issuer or that if
it previously has been a “shell” issuer that at least 12 months have passed since the Company has reported form 10
type information indicating it is no longer a “shell issuer. The Company will instruct its counsel to either (i) write a
Rule 144 or similar opinion to allow for salability of the conversion shares or (ii) accept such opinion from Holder’s counsel,
provided such legal opinion is, in the reasonable determination of Company counsel, factually and legally correct.

 

12.           
The Company shall issue irrevocable transfer agent instructions reserving 997,845,000  shares  of  its  Common  Stock  for  conversions
 under  this  Note,  and  a  note  of $29,117.91 of even date herewith (the “Share Reserve”). Upon full conversion
of this Note, any shares remaining in the Share Reserve shall be cancelled. The Company shall pay all transfer agent costs associated
with issuing and delivering the share certificates to Holder. If such amounts are to be paid by the Holder, it may deduct such
amounts from the Conversion Price. The company should at all times reserve a minimum of four times the amount of shares required
if the note would be fully converted. The Holder may reasonably request increases from time to time to reserve such amounts. The
Company will instruct its transfer agent to provide the out- standing share information to the Holder in connection with its conversions.

 

13.             
The Company will give the Holder direct notice of any corporate actions, including but not limited to name changes, stock splits,
recapitalizations etc. This notice shall be given to the Holder as soon as possible under law.

 

14.             
This Note shall be governed by and construed in accordance with the laws of New York applicable to contracts made and wholly to
be performed within the State of New York and shall be binding upon the successors and assigns of each party hereto. The Holder
and the Company hereby mutually waive trial by jury and consent to exclusive jurisdiction and venue in the courts of the State
of New York or in the Federal courts sitting in the county or city of New York. This Agreement may be executed in counterparts,
and the facsimile transmission of an executed counterpart to this Agreement shall be effective as an original.

    	 	6	 

     

    

 

IN
WITNESS WHEREOF, the Company has caused this Note to be duly executed by an officer thereunto duly authorized.

 

 

Dated: 6/23/16 

 

 RICH
PHARMACEUTICALS, INC.

 

 By:
/s/ Ben Chang

 

Title:
CEO

 

    	 	7	 

     

    

EXHIBIT
A

 

 

NOTICE
OF CONVERSION

 

(To
be Executed by the Registered Holder in order to Convert the Note)

 

The
undersigned hereby irrevocably elects to convert $_____of the above Note into_____Shares of Common Stock of Rich Pharmaceuticals,
Inc. (“Shares”) according to the conditions set forth in such Note, as of the date written below.

 

If
Shares are to be issued in the name of a person other than the undersigned, the undersigned will pay all transfer and other taxes
and charges payable with respect thereto.

 

Date
 of  Conversion: ____________________

Applicable
Conversion  Price:  _____________________

Signature:
 _____________________

[Print
Name of Holder and Title of Signer]

Address:
 _____________________

_____________________

 

SSN
or EIN:  _____________________

Shares
are to be registered in the following name: _____________________

Name:
 _____________________ 

Address:
 _____________________

Tel:_____________________

Fax:
_____________________

SSN
or EIN:  _____________________

 

Shares
are to be sent or delivered to the following account:

 

Account
Name:  _____________________

Address:
 _____________________

    	 	8

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00259-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00259-of-00352.parquet"}]]