SEC Contract Filing

Filing Date: 2021-03-30

Document Content:
<DOCUMENT>
<TYPE>EX-10.4
<SEQUENCE>5
<FILENAME>ghmp_ex104.htm
<DESCRIPTION>PLEDGE AND SECURITY AGREEMENT
<TEXT>
<html><head><title>ghmp_ex104.htm</title><!--Document created using EDGARMaster--></head><body style="TEXT-ALIGN: left; FONT: 10pt times new roman; MARGIN: 0px 7%"><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:right;">&nbsp;<strong>EXHIBIT 10.4</strong></p> <p style="font-size:10pt;font-family:times new roman;margin:0px">&nbsp; </p> <p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:center;"><strong>PLEDGE AND SECURITY AGREEMENT</strong></p> <p style="font-size:10pt;font-family:times new roman;margin:0px">&nbsp;</p> <p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; TEXT-INDENT: 45px; text-align:justify;">This PLEDGE AND SECURITY AGREEMENT (the &#8220;<strong>Agreement</strong>&#8221;) is made and entered into on March 25, 2021 by and between <strong>GOOD HEMP, INC</strong>., a Nevada corporation (the &#8220;<strong>Debtor</strong>&#8221;) and <strong>LEONITE CAPITAL LLC</strong>, a Delaware limited liability company, and its permitted endorsees, transferees and assigns (collectively, the &#8220;<strong>Secured Party</strong>&#8221;).</p> <p style="font-size:10pt;font-family:times new roman;margin:0px">&nbsp;</p> <p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:center;"><strong>RECITALS</strong></p> <p style="font-size:10pt;font-family:times new roman;margin:0px">&nbsp;</p> <p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; TEXT-INDENT: 45px; text-align:justify;">A. Concurrently herewith, Debtor and the Secured Party have entered into a Securities Purchase Agreement (the &#8220;<strong>Securities Purchase Agreement</strong>&#8221;) and certain other agreements, pursuant to which the Debtor issued that certain senior secured convertible promissory note (the &#8220;<strong>Note</strong>&#8221;) in the principal amount of up to one million seven hundred four thousand five hundred forty five and 45/100 Dollars ($1,704,545.45) to the Secured Party.</p> <p style="font-size:10pt;font-family:times new roman;margin:0px;text-indent:45px">&nbsp;</p> <p style="font-size:10pt;font-family:times new roman;margin:0px;text-indent:45px">B. The Debtor now enters into this Agreement with the Secured Party as security for Debtor&#8217;s Obligations (as defined below).</p> <p style="font-size:10pt;font-family:times new roman;margin:0px">&nbsp;</p> <p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:center;"><strong>AGREEMENT</strong></p> <p style="font-size:10pt;font-family:times new roman;margin:0px">&nbsp;</p> <p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; TEXT-INDENT: 45px; text-align:justify;">NOW, THEREFORE, in consideration of their respective promises contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereby agree as follows:</p> <p style="font-size:10pt;font-family:times new roman;margin:0px;text-indent:45px">&nbsp;</p> <p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; TEXT-INDENT: 45px; text-align:justify;"><strong>1. <u>Definitions</u></strong>. Terms used but not otherwise defined in this Agreement that are defined in Division 9 of the Uniform Commercial Code as adopted in the state of Nevada (the &#8220;<strong>UCC</strong>&#8221;) (such as &#8220;<strong>account</strong>,&#8221; &#8220;<strong>adverse claim</strong>,&#8221; &#8220;<strong>chattel paper</strong>,&#8221; &#8220;<strong>deposit account</strong>,&#8221; &#8220;<strong>document</strong>,&#8221; &#8220;<strong>equipment</strong>,&#8221; &#8220;<strong>fixtures</strong>,&#8221; &#8220;<strong>general intangibles</strong>,&#8221; &#8220;<strong>goods</strong>,&#8221; &#8220;<strong>instruments</strong>,&#8221; &#8220;<strong>inventory</strong>,&#8221; &#8220;<strong>investment property</strong>,&#8221; &#8220;<strong>proceeds</strong>,&#8221; and &#8220;<strong>supporting obligations</strong>&#8221;) shall have the respective meanings given such terms in Division 9 of the UCC. Capitalized terms used in this Agreement and not defined elsewhere herein or in the Securities Purchase Agreement shall have the meanings set forth below:</p> <p style="font-size:10pt;font-family:times new roman;margin:0px;text-indent:45px">&nbsp;</p> <p style="font-size:10pt;font-family:times new roman;margin:0px;text-indent:45px">&#8220;<strong><em>Collateral</em></strong>&#8221; means all of the collateral identified on Exhibit A hereto.</p> <p style="font-size:10pt;font-family:times new roman;margin:0px;text-indent:45px">&nbsp;</p> <p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; TEXT-INDENT: 45px; text-align:justify;">&#8220;<strong><em>Debtor&#8217;s Books</em></strong>&#8221; means and includes all of Debtor&#8217;s books and records in any medium or form, including, but not limited to, all records, ledgers and computer programs, disk or tape files, thumb drives, material stored in the &#8220;cloud&#8221;, printouts and other information indicating, summarizing or evidencing the Collateral.</p> <p style="font-size:10pt;font-family:times new roman;margin:0px;text-indent:45px">&nbsp;</p> <p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; TEXT-INDENT: 45px; text-align:justify;">&#8220;<strong><em>Equity Interests</em></strong>&#8221; means, with respect to any person, all of the shares of capital stock of (or other ownership or profit interests in) such person, all of the warrants, options or other rights for the purchase or acquisition from such person of shares of capital stock of (or other ownership or profit interests in) such person, all of the securities convertible into or exchangeable for shares of capital stock of (or other ownership or profit interests in) such person or warrants, rights or options for the purchase or