EXHIBIT 10.3



 


Exhibit
10.3


 


FORM
OF RESTRICTED STOCK AWARD AGREEMENT


 


This
Restricted Stock Award Agreement (this “Agreement”) is made and entered into as of [DATE] (the “Grant
Date”) by and between Cortex Pharmaceuticals, Inc., a Delaware corporation (the “Company”), and [GRANTEE
NAME] (the “Grantee”).


 


WHEREAS,
the Company has adopted the 2014 Equity, Equity-Linked and Equity Derivative Incentive Plan (the “Plan”) pursuant
to which awards of Restricted Stock may be granted; and


 


WHEREAS,
the Administrator has determined that it is in the best interests of the Company and its shareholders to grant the award of Restricted
Stock provided for herein.


 


NOW,
THEREFORE, the parties hereto, intending to be legally bound, agree as follows:


 


1.Grant
of Restricted Stock. Pursuant to Section 8 of the Plan, the Company hereby issues to the Grantee on the Grant Date a Restricted
Stock Award consisting of, in the aggregate, [NUMBER] shares of Common Stock of the Company (the “Restricted Stock”),
on the terms and conditions and subject to the restrictions set forth in this Agreement and the Plan. Capitalized terms that are
used but not defined herein have the meaning ascribed to them in the Plan.


 


2.Consideration.
The grant of the Restricted Stock is made in consideration of the services rendered to date and to be rendered by the Grantee
to the Company.


 


3.Restricted
Period; Vesting.


 


3.1Except
as otherwise provided herein, provided that the Grantee remains in Continuous Service through the applicable vesting date, the
Restricted Stock will vest in accordance with the following schedule:


 


	Vesting
    Date	 	Shares
    of Common Stock
	 	 	 
	[ANY
    DATE ON OR AFTER GRANT DATE]	 	[0%
    to 100%]
	 	 	 
	[ANY
    DATE AFTER VESTING DATE IN FIRST TRANCHE]	 	[1
    - PERCENT VESTING IN FIRST TRANCHE]


 


The
period over which the Restricted Stock vests is referred to as the “Restricted Period.”


 


3.2The
foregoing vesting schedule notwithstanding, if the Grantee’s Continuous Service Status terminates for any reason at any
time before all of his or her Restricted Stock has vested, the Grantee’s unvested Restricted Stock shall be automatically
forfeited upon such termination of Continuous Service Status and neither the Company nor any Affiliate shall have any further
obligations to the Grantee under this Agreement.


 




    	 



    	 



    



 


3.3[The
foregoing vesting schedule notwithstanding, upon the occurrence of a Change of Control, 100% of the unvested Restricted Stock
shall vest as of the date of the Change of Control.


 


OR


 


Unless
otherwise determined by the Administrator at the time of a Change of Control, a Change of Control shall have no effect on the
Restricted Stock.]


 


4.Restrictions.
Subject to any exceptions set forth in this Agreement or the Plan, during the Restricted Period, the Restricted Stock or the rights
relating thereto may not be assigned, alienated, pledged, attached, sold or otherwise transferred or encumbered by the Grantee.
Any attempt to assign, alienate, pledge, attach, sell or otherwise transfer or encumber the Restricted Stock or the rights relating
thereto during the Restricted Period shall be wholly ineffective and, if any such attempt is made, the Restricted Stock will be
forfeited by the Grantee and all of the Grantee’s rights to such shares shall immediately terminate without any payment
or consideration by the Company.


 


5.Rights
as Shareholder; Dividends.


 


5.1The
Grantee shall be the record owner of the Restricted Stock until the shares of Common Stock are sold or otherwise disposed of,
and shall be entitled to all of the rights of a shareholder of the Company including, without limitation, the right to vote such
shares and receive all dividends or other distributions paid with respect to such shares. Notwithstanding the foregoing, any dividends
or other distributions shall be subject to the same restrictions on transferability as the shares of Restricted Stock with respect
to which they were paid.


 


5.2The
Company may issue stock certificates or evidence the Grantee’s interest by using a restricted book entry account with the
Company’s transfer agent. Physical possession or custody of any stock certificates that are issued shall be retained by
the Company until such time as the Restricted Stock vests.


 


5.3If
the Grantee forfeits any rights he has under this Agreement in accordance with Section 3, the Grantee shall, on the date of such
forfeiture, no longer have any rights as a shareholder with respect to the Restricted Stock and shall no longer be entitled to
vote or receive dividends on such shares.


 


6.No
Right to Continued Service. Neither the Plan nor this Agreement shall confer upon the Grantee any right to be retained in
any position, as an Employee or Consultant of the Employer. Further, nothing in the Plan or this Agreement shall be construed
to limit the discretion of the Employer to terminate the Grantee’s Continuous Service Status at any time, with or without
Cause.


 


7.Adjustments.
If any change is made to the outstanding Common Stock or the capital structure of the Company, if required, the shares of Common
Stock shall be adjusted or terminated in any manner as contemplated by Section 10 of the Plan.


 




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8.Tax
Liability and Withholding.


 


8.1The
Grantee shall be required to pay to the Company, and the Company shall have the right to deduct from any compensation paid to
the Grantee pursuant to the Plan, the amount of any required withholding taxes in respect of the Restricted Stock and to take
all such other action as the Administrator deems necessary to satisfy all obligations for the payment of such withholding taxes.


 


8.2Notwithstanding
any action the Company takes with respect to any or all income tax, social insurance, payroll tax, or other tax-related withholding
(“Tax-Related Items”), the ultimate liability for all Tax-Related Items is and remains the Grantee’s
responsibility and the Company (a) makes no representation or undertakings regarding the treatment of any Tax-Related Items in
connection with the grant or vesting of the Restricted Stock or the subsequent sale of any shares; and (b) does not commit to
structure the Restricted Stock to reduce or eliminate the Grantee’s liability for Tax-Related Items.


 


9.Compliance
with Law. The issuance and transfer of shares of Common Stock shall be subject to compliance by the Company and the Grantee
with all applicable requirements of federal and state securities laws and with all applicable requirements of any stock exchange
on which the Company’s shares of Common Stock may be listed. No shares of Common Stock shall be issued or transferred unless
and until any then applicable requirements of state and federal laws and regulatory agencies have been fully complied with to
the satisfaction of the Company and its counsel. The Grantee understands that the Company is under no obligation to register the
shares of Common Stock with the Securities and Exchange Commission, any state securities commission or any stock exchange to effect
such compliance.


 


10.Legends.
A legend may be placed on any certificate(s) or other document(s) delivered to the Grantee indicating restrictions on transferability
of the shares of Restricted Stock pursuant to this Agreement or any other restrictions that the Administrator may deem advisable
under the rules, regulations and other requirements of the Securities and Exchange Commission, any applicable federal or state
securities laws or any stock exchange on which the shares of Common Stock are then listed or quoted.


 


11.Notices.
Any notice required to be delivered to the Company under this Agreement shall be in writing and addressed to the Secretary of
the Company at the Company’s principal corporate offices. Any notice required to be delivered to the Grantee under this
Agreement shall be in writing and addressed to the Grantee at the Grantee’s address as shown in the records of the Company.
Either party may designate another address in writing (or by such other method approved by the Company) from time to time.


 


12.Governing
Law. This Agreement will be construed and interpreted in accordance with the laws of the State of Delaware without regard
to conflict of law principles.


 


13.Interpretation.
Any dispute regarding the interpretation of this Agreement shall be submitted by the Grantee or the Company to the Administrator
for review. The resolution of such dispute by the Administrator shall be final and binding on the Grantee and the Company.


 


14.Restricted
Stock Subject to Plan. This Agreement is subject to the Plan as approved by the Company’s shareholders. The terms and
provisions of the Plan as it may be amended from time to time are hereby incorporated herein by reference. In the event of a conflict
between any term or provision contained herein and a term or provision of the Plan, the applicable terms and provisions of the
Plan will govern and prevail.


 




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15.Successors
and Assigns. The Company may assign any of its rights under this Agreement. This Agreement will be binding upon and inure
to the benefit of the successors and assigns of the Company. Subject to the restrictions on transfer set forth herein, this Agreement
will be binding upon the Grantee and the Grantee’s beneficiaries, executors, administrators and the person(s) to whom the
Restricted Stock may be transferred by will or the laws of descent or distribution.


 


16.Severability.
The invalidity or unenforceability of any provision of the Plan or this Agreement shall not affect the validity or enforceability
of any other provision of the Plan or this Agreement, and each provision of the Plan and this Agreement shall be severable and
enforceable to the extent permitted by law.


 


17.Discretionary
Nature of Plan. The Plan is discretionary and may be amended, cancelled or terminated by the Company at any time, in its discretion.
The grant of the Restricted Stock in this Agreement does not create any contractual right or other right to receive any Restricted
Stock or other Awards in the future. Future Awards, if any, will be at the sole discretion of the Company. Any amendment, modification,
or termination of the Plan shall not constitute a change or impairment of the terms and conditions of the Grantee’s employment
with the Company.


 


18.Amendment.
The Administrator has the right to amend, alter, suspend, discontinue or cancel the Restricted Stock, prospectively or retroactively;
provided, that, no such amendment shall adversely affect the Grantee’s material rights under this Agreement without
the Grantee’s consent.


 


19.No
Impact on Other Benefits. The value of the Grantee’s Restricted Stock is not part of his normal or expected compensation
for purposes of calculating any severance, retirement, welfare, insurance or similar employee benefit.


 


20.Counterparts.
This Agreement may be executed in counterparts, each of which shall be deemed an original but all of which together will constitute
one and the same instrument. Counterpart signature pages to this Agreement transmitted by facsimile transmission, by electronic
mail in portable document format (.pdf), or by any other electronic means intended to preserve the original graphic and pictorial
appearance of a document, will have the same effect as physical delivery of the paper document bearing an original signature.


 


21.Acceptance.
The Grantee hereby acknowledges receipt of a copy of the Plan and this Agreement. The Grantee has read and understands the terms
and provisions thereof, and accepts the Restricted Stock subject to all of the terms and conditions of the Plan and this Agreement.
The Grantee acknowledges that there may be adverse tax consequences upon the grant or vesting of the Restricted Stock or disposition
of the underlying shares and that the Grantee has been advised to consult a tax advisor prior to such grant, vesting or disposition.


 




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IN
WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first above written.


 


	 	CORTEX
    PHARMACEUTICALS, INC.



 


	 	By:	 
	 	Name:	 
	 	Title:	 



 


	 	[GRANTEE
    NAME]



 


	 	By:	 
	 	Name:	 



 



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