EX1A-3 HLDRS RTS 9 nowcorp_ex0302.htm CONVERTIBLE PROMISSORY NOTE, DATED NOVEMBER 25, 2024, BETWEEN THE NOW CORPORATION AND LUKE COHEN

Exhibit 3.2

 

CO NV E R TIBLE NOTE NEITHER THESE SECU RI T I ES NOR Tl LI •: S l :ClJ RITI ES IS SU MH . I ·: U P ON CONVERSION HEREOF H A V E BCLN RLGlSTLRLD WIT! I Tl 11 : UN IT ED S ' I A T L S SECURITIES AND EXCHANGE COMM I SS I ON OR Tl I E S ECU RJTJl : S COMMISSION OF ANY SlATE OR UNDER TI - IE SECURITIES ACT OF 1 933 , J \ S J \ Ml •: NDED (THL '·ACT"). THE SECURJTIES J \ RE R EST RI CTED AND MAY NOT BL OFFERLD. R ESOLD. PLEDGED OR TRANSFERRED EXCE P T J \ S P L RMf'I T ED UNDER Tl I E ACT PURSUANT TO AN EFFECT IV E R E G I ST R AT IO N STATEMENT OR J \ N 1 : XLMPT l ON FROM SUC H REGCSTRATION R E Q L JI R E M E NTS. The Now Corporation 8 % CONVERTIBLE PROMI SO RY NOTE T l !I S CO NV E R T IBL E PR OM I SSO R Y NO TL is issued by The Now Corporation. u corporation o r gan i ze d and existing under the laws or the Stale o r Nevada (the · ·Co mpan y · ·). and i s designated as it s 8% Convertible Note Due November 25th. 2025. FOR VALUE RECEIVED (for pa t due rent for subsidiaries). the Company hereby promises to pay to Luke Co h e n , o r permitted assignees (the ··1 l o lcld" ). the principal sum o r s e ve nt y three thousand dollars (US 73,000) o n November 25th, 2025 (the ·· Ma turit y Date"), and LO pa y int e r est o n the principal s um o ut s t a n d in g in arrears o n the M a turit y Date a t the rate or 8% per a nnum , s imple inter es t , accruing from the date o r initial issuance. Accrual or intere st s h a ll commence on the fir s t business day t o occur after th...: date o r initial issuance and continue until payment in full o f the principal s um h a · been made o r duly provided for. J \ 11 principal and accrued but unpaid interest shall be du...: and p aya bk on the M a turit y Date . Ir any interest payment date o r th e Maturity Date is n o t a bu s in e ss day in th...: Sta t...: of'Ncw York. then s u ch payment s h a ll be made o n the next s ucceed in g business day. The Co mpan y will pa y the principal of, a nd any accrued but unpaid interest du...: up o n , thi s Note on the Maturity Dat...:. b y check or wire transfer to the p e r so n who i s the re g i s tered h o lckr o r this Note as o r the tenth da y prior to the Maturity Date and addressed to s uch h o ld...:r at the last address appearing o n the Note Register. The forwarding of s u c h check or m o n...: y o r der shall constitute a p ay ment o r principal and interest hereunder and s h a ll · atisl y and di s char g e th...: li a bilit y frlr principal and interest o n thi s N ote to the extent of the s um represented by such check or wire transkr plus any a m o unt s so deducted. In the event that the l l o ld er converts the entire principal a m o unt or the Note into s h a r es of the Company's common stock. all accrued and unpaid int c r...: s t s hall also be converted into s h a r es of the Co m pa n y · s common s t ock ("Co mm o n Stock"') at th...: then applicable Co n ve r s i o n Price as described below. This Note is s ubj ec t to the following a dditi o nal pr ov i s i o n s: I. This Note has been issued s ubj ec t t o investment repres e ntati o ns or the Company and ma y be transferred or exc h a n ge d on l y in c o mpli a nc ...:with the Sec urities Act or 1 9 33 , as amended (the "Act"), and other applicable s t a t e and foreign securiti...:s l aws . The H o l der shall deliver written n ot i ce to the Co mp any o f any proposed t ra n s fer or this Note. In the ev...:nt o f any proposed transfer of thi s N o t e, th e Company m ay r e quire , prior L o i ss uance ora new Note in the name uf such other per so n , th a t it r ece i ve reasonable transfer documentation including kgal o pini o ns that th e issuance of the Note in s u c h other name cloi.:s n o t and will not cause a v i o l a ti o n or the Act o r any applicable state o r foreign e curitil: S laws. Prior t o due presentment for transkr o r thi Note, the Company and any agent of the Company ma y treat the per so n in who · e name this Note i s duly r eg i s t ere d o n the Co mp a n y· Not...: R eg i s ter as the ow nl:r hereor for the purpose of receiving payment as h e r ei n pr ov ided and for a lI other purposes. w h...:th e r o r n o t thi s Note be overdue, and n eit h e r the Company nor any s uch agent s h a ll be affected by n o ti ce t o the contrary. 2. The Holder o f this Note i s entitled, at its o pti o n . to c o n ve rt at any tim...: commencing o n the

 
 

M a tw · it y Date h e r eof th e entire p rin c i pa l amount o f this Note and all accrued interest thereon int o shares of Common Stock of the Company ("Co n ve r s i o n S h a r es"') at a conver ·io n price for each share of Common Stock ("Co n ve r s i o n Price··) at a price per shan.: equal to 50% o r th e l owes t p os t e d ask price o f N WP N common s h ares in the preceding 30 trading days. The H o l der can o nl y c o n ve rt the Note so that th e a m o unt oi' thc H o lcl c r ·s b cndici a l ow rn : r s hi p ne ve r excee d s 9.9% o f the t o t a l i ss u e d a nd o ut s t a n d in g common s h a re s . 3. Co n ve r s i o n s h a ll he eff ec tu a t e d by s ur re nderin g thi s Note to the Co m p an y (if such Conve r s i o n will convert a ll outstanding prin c ip a l ) t og eth e r with the form o r conversion n o tic e attached hereto as Ex hibit A (the ··Notice of Co n v er s i o n ··). executed b y the I ! o ld e r o f thi s Note evidencing s uch H o ld e r' s intention to convert this Note o r a specified p o rti o n (as above p rov id e d ) h e r eof: and a cc o mpani e d . if rcquireu b y the C o mp a n y, b y proper a s si g nm e nt her eo r in bl ank. Interest accrued o r a c c ruin g fr o m th e date o r i ss uance t o the clatl: or c o n ve r s i o n s h a ll be paid as set forth above. No fr a cti o n o r a s hare o r scrip re p re s entin g a fracti o n o r a s h a re wil I be issued on c o n ve r s i o n . but the number or shares issuable shall be rounded to the near es t whole s h a r e . The date o n which Notice o r Conversion i s given ( th e ··co n v er sio n Dah:") s h a ll be deemed t o be the date o n w hi c h the ll o lder submits t o the Co mp a n y . v ia co mmer c i a ll y acce ptabl e m ea n s, a No tic e of'Co n ve r s i o n o r form attached hereto a s Ex hibit / \ . D e li ve r y o r s h a r es up o n conversion s h a ll be made t o the address s pecifie d b y the H o lder in the Notice o r Co n ve r s i o n . 4. No provision o r thi s N o t e shall altc:r o r impair the o bli ga ti o n o r th e C o mpan y . o th er than the conversion of the note int o shares described in 3. which i s a b so lut e and unc o nditi o n a l , t o pay the principal ot: a nd interest on, thi s N o t e at th e time, pl a c e , a nd ra t e , and in the coin o r cmrency herein prescribed. This Note i s a direct o bli g ati o n o f the Co m pa n y. 5. No r eco m se s h a ll be had for the p ay m e nt of th e principal o r. o r the int e re s t o n , this No t e , or for any claim based h e r eo n , o r o th e r w i se: in n:spect h e r eoC aga in s t a n y in co rp ora t o r , s h a r e h o ld e r , employee, officer or dir ec t o r , as s u c h. past, pr ese nt or f'uturc, o r the Co mpan y o r any s uc cesso r co rp ora ti o n , whether by v irtu e o r any co n s tituti o n , s t a tut e o r rule o fl aw, o r by the en force m e nt of a n y assessment o r p e n a lt y o r o th e r w i s e , a ll s u c h li a bili ty b e in g , b y th e acce pt a n ce hereof and as p a rt o f the consideration for the i ss u e hercoC ex pr ess l y waived a nd released. 6. The Ho ld e r o f th e N ote , by acceptance hereof: agrees that thi s Note i b e in g acquired for in v e s tm e nt and that s u c h H o ld e r will n o t offer, sell o r o th e r w i s e dispose o fthi s N o te o r the Shares of Common S t oc k i ss u a ble up o n co n ve r s i o n thereof exec:pt under cir c w11 s t a ncc s which will not result in a v i o l a ti o n of th e Act o r a n y applicable s t a t e B lu e Sky m foreign la ws o r si mil a r laws r e l at in g t o the sa l e of secu r i ti es . 7. This N o t e shall b e governed b y r md c o n s trn e cl in accordance with the laws o r the S t a t e of N c: va d a . Ea ch o f th e parties consents t o the juri sd icti o n of the k d era l courts whose districts e n co mp ass a n y part o f Nevada s t ate courts of th e State o r Nevada s ittin g i n connection with a n y dispute a ri s in g under thi s Ag r ee m e nt and h e r e b y waives, t o the maximum ex t e nt permitted by l aw , any o bj ec ti o n , including any o bj ec ti o n based on forum n o n c o n vc: ni e n s, t o th e bringing of a n y such proceeding in s uch jurisdictions. 8. The fo ll o win g s h a ll constitute a n "' Eve nt o r D efa u1t · · : a. T h e Company shall fail to p e r fo rm o r o b se r ve, in any material r es p ec t , any o tJ1 e r covenant, t er m , p rov i s i o n , condition, agreement o r o bli ga ti o n o r the Company und e r thi s N o t e between the Co mp any and o r ig in a l Ho ld e r of thi s Note elated of even date h e r ew ith , and s u c h fa ilur e s h a l I continue uncured fo r a period of fifteen ( 1 5) days after w ritt e n n o ti ce fr o m the I l o Ici e r of suc h failw·e; o r b. Bankruptcy, r eo r ga ni za ti o n . in so l ve nc y o r liqui da ti o n p ro ce e din gs o r o th e r proceedings fo r relief Lmder any bankruptcy l aw or any l aw fo r the relief o r debtors s h a ll be institutL:d b y o r against the Company a nd , if in st itu te d aga in s t the Company, shall n o t be di s mi sse d within s i x t y (60) days after s u c h in s tituti o n o r the Co mp a n y s h a ll b y any ac ti o n o r a n sw er a pp rove 0 1 : consent to, o r acquiesce in any s u c h proceedings o r admit the m a t e ri a l a lle ga ti o n s o f o r default in a n swe rin g a petiti o n filed in a n y s uch proceeding; T h e n , o r at a n y time th e re a ft e r , and in each and every s uch case. unle ss s u c h Eve nt o r D efa ult

 
 

shall have been waived in writing by the I folder (which waiver shall nol be det:mcd LO be a waiver o r any s uh st:quent ddault) al Lhc opticm or the H o l de r and i n the Ho lder 's sole di s cret i o n , the Holder ma y consider thi s Note imme diatel y clue a nd p aya ble . without presentment. demand , protest or notice o r any kind. all o r which arc h ereb y expres s l y waived. anything herein o r in any note or other instruments contained to the co ntrn r y n o t w ithstandi ng . and th e Holder may immediately enforce any a nd al I o r t he I l o l dcr's ri g ht s and remedie s provided herein o r any other right s o r rem ed ie s afforck:d b y law. Ir the Company fai Is to make any payment o f principal . imercst or o th er a m o un t coming due p ur s u a nt t ll the pr o v i s i o ns of this Note within li v e ( 5 ) calendar days o f the d a t e due and pa y able . the C n mp a n y s ha l l i ss ue common s h ares L o the H o ld er pursuant L o the c o n v er s ion term s s pecifa : d in section J or this agreement unless H o ld e r wishe • t o not convert . U p o n the occurrence or any Event o r Dela ult and during the continuance thereot : th e then o u ts t a n d i ng principal amoulll or thi s Note shall bear intt:r es t at a rate per annum ( b ased o n the actual numbcr o r da ys that principal i s o ut s t a nding ove r a year or360 days) of nine percent 9'½1) ( the ··l)efoult R a te · · ) . / \ dditi o nall y. upon an Eve nt of Default that h as n o t heen cured in a cc o rdance with the t e rm s o r this Nnte. the Default Rate shall he r etroac ti v ely applied t o the Note ti· o m the initial i ss u a n ce date th ro ugh and including the date of the Eve nt o r Default. thereby incr easi n g the amount o r intcn::st clue and payable to Holder (" Retr o active Inter es t" '). The Retroactive Interest. h owev er . s hall nm apply t o the H o ld e r 's Non - Dilution Rights set forth in the / \ greemcnt. The Default Rate s hall co nt i nu e to a pp l y whetht:r or n o t judgment shall be entered on thi s No te . The Default R a te i s imposed as liquidated damages fo r the purpose o f tkfr ay in g the H o lder' s e xpe n s es incident t o the h a ndling o f delinquent payment s , but are in addition to . and n o t in lieu oL the I itllder"s exercise of any rights a nd remedie hereunder. under the other Loan Documems or under applicable l aw, and any fees and expenses of a n y agcnts or attorneys which the I I. o lder may employ. In addition, the Default Rate r e fl ec t s the incrrnsed crcdit risk t o the Holder o r carrying a loan t h a t i s in default. The Company ag r ees that the Default Rate is a n:a so nab l c I L mxast of just compensation fo r anticipated and actual h a rm i ncurred by the I ! o l der , and that the actual h a rm inew - red by the Holder cannot be estimated with certainty and wi th out dillicult y 9. N o thin g contained in thi Note s h a ll be construed as conf"crring u p o n the Holder the right t l l vote or to r ece i ve dividends or t o consent o r receive notice as a s hareh o ld er in respect o r a n y m ee ting of s h a r e h o ld e r s o r any right s whatsocvt:r as a shareholder or the Com p a n y, unl es s a n d t o the extent converted in acco r dance with the te rm s hereof. IN WITNESS WHEREOF . th e Company has caused th is in s trum e nt t o be duly e x ecuted b y an officer thereunlo duly a ut h o ri z ed . Dated : N ove mber 2 5 t h , 2024 T h o o By: = - Nam p;dakis Title: Dir ec t o r CONSE N T · o= 3 Hy: ' - ---- - Luke Co en

 
 

EXHIBIT A TO CONVERTIBLE NOTE NOTICE OF CONVERSION (To be Exec uL ed by the Registered I I o ltkr in o rder Lo Co n v ert the No te ) T h e und ersig n ed hereby irr evocab ly e l ects to convert$ of the principal amo unt and accrued interest of the above Note No. int o S h a r e · or Com m o n S t o ck or The Now Corporatio n according to the conditions hereol us or the date written below. Date of Conversion* Conversion Price * Accrued Inter est S ignature lName.J Address : * Ir s u c h conversion represents the remaining principal balance of the Note. the original Note must acco mp any thi s n o t i ce w ith in three bu s ines s clays.