**Exhibit10.26**

 

**ProUroCareInc.**

**Employmentoffer to Alan Haggerty**

**August 22,2005**

 
| Position:          |   | VP of Engineering                                                                                                                                                                                                                                                                  |
|--------------------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|               |   |                                                                                                                                                                                                                                                                               |
| Salary:            |   | $135,000                                                                                                                                                                                                                                                                           |
|               |   |                                                                                                                                                                                                                                                                               |
| Start Date:        |   | Sept 6, 2005                                                                                                                                                                                                                                                                       |
|               |   |                                                                                                                                                                                                                                                                               |
| Incentive Bonus:   |   | Up to 30% (1/3 Corp, 2/3/ Individual  goals). Goals to be jointly agreed to during the first month of employment  and annually thereafter.                                                                                                                                         |
|               |   |                                                                                                                                                                                                                                                                               |
| Options:           |   | 150,000 incentive stock options, 1/3 vest  each year, exercise price – closing bid on day of start.                                                                                                                                                                           |
|               |   |                                                                                                                                                                                                                                                                               |
|               |   | Options are transferable at grant or death.                                                                                                                                                                                                                                        |
|               |   |                                                                                                                                                                                                                                                                               |
| Severance:         |   | If separation occurs without cause  (voluntary or involuntary) within the first six months of employment,  employee will receive 25,000 shares of options which will immediately vest  with one year to exercise and 10,000 shares of company stock for each month  of employment. |
|               |   |                                                                                                                                                                                                                                                                               |
|               |   | If separation occurs without cause  (voluntary or involuntary) during month 7 through 12 of employment, employee  will receive 10,000 shares of company stock for each month of employment.                                                                                        |
|               |   |                                                                                                                                                                                                                                                                               |
|               |   | After 12 months of service, employee will  be awarded 60,000 shares of company stock.                                                                                                                                                                                              |
|               |   |                                                                                                                                                                                                                                                                               |
|               |   | All shares will be registered at the  companies’ next registration event after award.                                                                                                                                                                                         |
|               |   |                                                                                                                                                                                                                                                                               |
| Vacation:          |   | 4 Weeks per year                                                                                                                                                                                                                                                                   |
|               |   |                                                                                                                                                                                                                                                                               |
| Life Insurance:    |   | 3 Times salary in Term Insurance will be  provided.                                                                                                                                                                                                                                |
|               |   |                                                                                                                                                                                                                                                                               |
| Medical Insurance: |   | Employee will have the option to continue  personal health insurance plan at companies’ expense, or elect to join the  medical plan provided by the company to its other executives.                                                                                          |

 

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| Other: |   | Employee will be eligible for annual  grants, salary increases, and benefit changes consistent with the companies  executive compensation plan. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                            |
|   |   | All expenses regarding company business, if  reasonable, shall be reimbursed.                                                                   |
|   |   |                                                                                                                                            |
|   |   | At termination the company agrees to  provide cobra benefits.                                                                                   |

 

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**ProUroCare Inc.**

**Proposed Benefit Programs**

 

Thisis only a summary of other benefits expected to be provided by ProUroCare.

 
| **Medical**               |     | Coverage to be provided using a program such as Blue Cross “Blue  Choice Network” or HMO. Likely to be an 80-20 plan subject to deductibles of  $1500 or more per person. ProUroCare expects it will pay 70% to 80% of the  premiums, with the remainder to be employee funded. Employee premiums will  qualify for pre-tax treatment. Once established, group medical will become  effective on the first of the month following 30 days after the date of hire  for all employees |
|---------------------------|----------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| **Health Saving Account** |     | ProUroCare will consider establishing a Medical Saving Account  program                                                                                                                                                                                                                                                                                                                                                                                                                       |
| **401(k)**                |     | The Company expects to  initiate a 401(k) plan under which:

 

•  Employee  can elect to defer up to $13,000 per year or as allowed by IRS rules

•  Company may  elect to make matching contributions and/or discretionary contributions  subject to the plan rules

•  Investment  options will be provided by a reputable investment firm                                                                                                              |
| ** **                |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| **Holidays**              | * * | *2005 holidays:*

* *

•  Eight  company designated holidays                                                                                                                                                                                                                                                                                                                                                                                                                   |

 
| Jan 3                |   | New Year’s |
|----------------------|--------|-----------------|
| May 30          |   | Memorial Day    |
| Jul 5                |   | 4th of July     |
| Sept 6               |   | Labor Day       |
| Nov 25 & 26 |   | Thanksgiving    |
| Dec 23 & 26 |   | Christmas       |

 
| ** ** | * * | •  One  floating holiday at the employee’s discretion for employees who start before  July 1 |
|------------|----------|------------------------------------------------------------------------------------------------------------------|

 

Thecompany intends to add additional benefit programs as our group size andprofitability allow.  Programs underconsideration include a Section 125 flexible spending plan, short andlong-term disability and dental insurance.

 

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