Company: MLSS
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001493152-25-022276
Chunk: 31

Company: MILESTONE SCIENTIFIC INC.
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 1
Chunk 31
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 the three and nine months ended September 30, 2024.

Arjan
J. Haverhals, Director

The
Company entered into a consulting agreement with Mr. Arjan Haverhals, which commenced on January 1, 2025, and continues for an indefinite
period, subject to the Company having the right to terminate the Consulting Agreement on 30 days’ notice in advance in the event of
its disability to provide services. Either party having the right to terminate the Consulting Agreement on 90 days’ advance notice.
Mr. Haverhals will be paid an annual fee at the rate of $350,000, at the at the rate of $150,000 in respect of the first calendar quarter
of 2025, and at the rate of $67,000 in respect of each subsequent calendar quarter of 2025, payable monthly in arrears, in each case
in equal monthly installments on the last day of each month of such a quarter.

The
Company will reimburse Mr. Haverhals for reasonable expenses in providing the services. Mr. Haverhals will be an independent contractor
and will not be provided with health and accident insurance, life insurance, paid sick leave and/or paid vacation time. In connection
with the Consulting Agreement, he has also entered into a Company-standard form of non-disclosure, non-solicitation, non-competition,
and invention agreement.  Mr. Haverhals continues as a director of the Company and as a director of Milestone Scientific. The company
recorded expenses of $67,000 and $283,000 related to the consulting agreement for the three and nine months ended September 30,
2025, respectively.

Mr.
Haverhals will be issued 912,736 shares of the Company’s stock six months after his resignation as CEO and in accordance with
such consulting agreement. As of September 30, 2025, the shares have not been issued to Mr. Haverhals.

NOTE
13 — COMMITMENTS

(1)
Contract Manufacturing Agreement 

Milestone
Scientific has informal arrangements with third-party manufacturers of the STA devices and epidural instruments pursuant to
which they manufacture these products under specific purchase orders but without any long-term contract or minimum purchase commitment. The
Company has a purchase commitment for the delivery of 2,000 STA instruments as of September 30, 2025. As of September 30