Document:

Exhibit

Exhibit 10.8
EMPLOYMENT AGREEMENT
This Employment Agreement (the "Agreement") is made and entered into this 1st day of January, 2017, by and between First Mid-Illinois Bancshares, Inc. ("the Company"), a corporation with its principal place of business located in Mattoon, Illinois, and Bradley L. Beesley (“Manager”).
In consideration of the promises and mutual covenants and agreements contained herein, the parties hereto acknowledge and agree as follows:

ARTICLE ONE
TERM AND NATURE OF AGREEMENT
1.01    Term of Agreement.  The term of this Agreement shall commence as of January 1, 2017 and shall continue until December 31, 2019.  Thereafter, unless Manager’s employment with the Company has been previously terminated, Manager shall continue his employment with the Company on an at will basis and, except as provided in Articles Five, Six and Seven, this Agreement shall terminate unless extended by mutual written agreement.
1.02    Employment.  The Company agrees to employ Manager and Manager accepts such employment by the Company on the terms and conditions herein set forth. The duties of Manager shall be determined by the Company’s Chief Executive Officer and shall adhere to the policies and procedures of the Company and shall follow the supervision and direction of the Chief Executive Officer or his designee in the performance of such duties.  During the term of his employment, Manager agrees to devote his full working time, attention and energies to the diligent and satisfactory performance of his duties hereunder.  Manager shall not, while he is employed by the Company, engage in any activity which would (a) interfere with, or have an adverse effect on, the reputation, goodwill or any business relationship of the Company or any of its subsidiaries; (b) result in economic harm to the Company or any of its subsidiaries; or (c) result in a breach of Section Six of the Agreement.

ARTICLE TWO
COMPENSATION AND BENEFITS
While Manager is employed with the Company during the term of this Agreement, the Company shall provide Manager with the following compensation and benefits:
2.01    Base Salary.  The Company shall pay Manager an annual base salary of $167,493.04 per fiscal year, payable in accordance with the Company’s customary payroll practices for management employees.  The Chief Executive Officer or his designee may review and adjust Manager's base salary from year to year; provided, however, that during the term of Manager's employment, the Company shall not decrease Manager's base salary.

2.02    Incentive Compensation Plan.  Manager shall participate in the First Mid-Illinois Bancshares, Inc. Incentive Compensation Plan in accordance with the terms and conditions of such Plan.  Pursuant to the Plan, Manager shall have an opportunity to receive incentive compensation with a target value of up to a maximum of 35% of Manager's annual base salary.  The Chief Executive Office or his designee may review and adjust the maximum percentage from year to year, provided, however, that during the term of manager’s employment, the Company shall not decrease this percentage.  The incentive compensation payable for a particular fiscal year will be based upon the attainment of the performance goals in effect under the Plan for such year and will be paid in accordance with the terms of the Plan and at the sole discretion of the Board.
In addition, Manager will receive 30% of his individual revenues generated through the Bank’s broker/dealer.  The Chief Executive Officer or his designee may review and adjust the maximum percentage from year to year, provided, however, that during the term of manager’s employment, the company shall not decrease this percentage.
2.03    Deferred Compensation Plan.  Manager shall be eligible to participate in the First Mid-Illinois Bancshares, Inc. Deferred Compensation Plan in accordance with the terms and conditions of such Plan.
2.04    Vacation.  Manager shall be entitled to 4 weeks of paid vacation each year during the term of this Agreement.
2.05    Fringe Benefits.  The Company shall provide the following additional fringe benefits to Manager:
a)  Car allowance of $800 per month, pursuant to policy.
b)  Full electronic device allowance, pursuant to policy.  
2.06    Long Term Incentive Plan.  Manager shall be eligible to participate in the First Mid-Illinois Bancshares, Inc. Long Term Incentive Plan (LTIP) in accordance with the terms and conditions of such Plan under which equity-based compensation awards may be made as determined in the sole discretion of the Compensation Committee of the Board of Directors.
2.07    Other Benefits.  Manager shall be eligible (to the extent he qualifies) to participate in any other retirement, health, accident and disability insurance, or similar employee benefit plans as may be maintained from time to time by the Company for its other management employees subject to and on a consistent basis with the terms, conditions and overall administration of such plans.
2.08    Business Expenses.  Manager shall be entitled to reimbursement by the Company for all reasonable expenses actually and necessarily incurred by him on its behalf in the course of his employment hereunder and in accordance with expense reimbursement plans and policies of the Company from time to time in effect for management employees.
2.09    Withholding.  All salary, incentive compensation and other benefits provided to Manager pursuant to this Agreement shall be subject to withholding for federal, state or local taxes, amounts withheld under applicable employee benefit plans, policies or programs, and any other 

amounts that may be required to be withheld by law, judicial order or otherwise or by agreement with, or consent of, Manager.

ARTICLE THREE
DEATH OF MANAGER
This Agreement shall terminate prior to the end of the term described in Section 1.01 upon Manager’s termination of employment with the Company due to his death.  Upon Manager’s termination due to death, the Company shall pay Manager’s estate the amount of Manager’s base salary plus his accrued but unused vacation time earned through the date of such death and any incentive compensation earned for the preceding fiscal year that is not yet paid as of the date of such death.

ARTICLE FOUR
TERMINATION OF EMPLOYMENT
Manager’s employment with the Company may be terminated by Manager or by the Company at any time for any reason.  Upon Manager’s termination of employment prior to the end of the term of the Agreement, the Company shall pay Manager as follows:
4.01    Termination by the Company Prior to a Change in Control for Other than Cause.  If the Company terminates Manager’s employment prior to a Change in Control for any reason other than Cause, the Company shall pay Manager the following:
(a)    An amount equal to Manager’s monthly base salary in effect at the time of such termination of employment for a period of twelve (12) months thereafter.  Such amount shall be paid to Manager periodically in accordance with the Company’s customary payroll practices for management employees.
(b)    The base salary and accrued but unused paid vacation time earned through the date of termination and any incentive compensation earned for the preceding fiscal year that is not yet paid.
(c)    Continued coverage for Manager and/or Manager’s family under the Company’s health plan pursuant to Title I, Part 6 of the Employee Retirement Income Security Act of 1974 (“COBRA”) and for such purpose the date of Manager’s termination of employment shall be considered the date of the “qualifying event” as such term is defined by COBRA.  During the period beginning on the date of such termination and ending at the end of the period described in Section 4.01(a), Manager shall be charged for such coverage in the amount that he would have paid for such coverage had he remained employed by the Company, and for the duration of the COBRA period, Manager shall be charged for such coverage in accordance with the provisions of COBRA.

For purposes of this Agreement, “Cause” shall mean Manager’s (i) conviction in a court of law of (or entering a plea of guilty or no contest to) any crime or offense involving fraud, dishonesty or breach of trust or involving a felony; (ii) performance of any act which, if known to the customers, clients, stockholders or regulators of the Company, would materially and adversely impact the business of the Company; (iii) act or omission that causes a regulatory body with jurisdiction over the Company to demand, request, or recommend that Manager be suspended or removed from any position in which Manager serves with the Company; (iv) substantial nonperformance of any of his obligations under this Agreement; (v) material misappropriation of or intentional material damage to the property or business of the Company or any affiliate; or (vi) breach of Article Five or Six of this Agreement.
4.02    Termination Following a Change in Control.
(a)    Notwithstanding Section 4.01, if, following a Change in Control, and prior to the end of the term of this Agreement, Manager’s employment is terminated by the Company (or any successor thereto) for any reason other than Cause, or Manager terminates his employment for Good Reason, the Company (or any successor thereto) shall pay Manager the following:
(i)    An amount equal to Manager’s monthly base salary in effect at the time of such termination for a period of twelve (12) months thereafter.  Such amount shall be paid in accordance with the Company’s customary payroll practices for management employees.
(ii)    An amount equal to the incentive compensation earned by or paid to Manager for the fiscal year immediately preceding the year in which Manager’s termination of employment occurs.  Such amount shall be paid to Manager in a lump sum as soon as practicable after the date of his termination.
(iii)    The base salary and accrued but unused paid vacation time earned through the date of termination and any incentive compensation earned for the preceding fiscal year that is not yet paid.
(iv)    Continued coverage for Manager and/or Manager’s family under the Company’s health plan pursuant to Title I, Part 6 of the Employee Retirement Income Security Act of 1974 (“COBRA”) and for such purpose the date of Manager’s termination of employment shall be considered the date of the “qualifying event” as such term is defined by COBRA.  During the period beginning on the date of such termination and ending at the end of the period described in Section 4.02(a)(i) above, Manager shall be charged for such coverage in the amount that he would have paid for such coverage had he remained employed by the Company, and for the duration of the COBRA period, Manager shall be charged for such coverage in accordance with the provisions of COBRA.
(b)    For purposes of this Agreement:
(i)    “Change in Control” shall have the meaning as set forth in the First Mid-Illinois Bancshares, Inc. 2007 Stock Incentive Plan (or successor stock incentive plan maintained by the Company).
(ii)    “Good Reason” shall be deemed to exist if, without Manager’s written consent:  (A) there is a material diminution in Manager’s position, authority or responsibility; 

(B) there is a material reduction in Employee’s total compensation (including benefits and annual and long-term incentive opportunity) from then-current levels; (C) there is a relocation of Manager’s primary place of employment of at least thirty (30) miles; or (D) the Company materially breaches this Agreement.
A termination of Manager’s employment by Manager shall not be deemed to be for Good Reason unless (x) Manager gives notice to the Company of the existence of the event or condition constituting Good Reason within thirty (30) days after such event or condition initially occurs or exists, (y) the Company fails to cure such event or condition within thirty (30) days after receiving such notice, and (z) Manager’s termination occurs not later than ninety (90) days after such event or condition initially occurs or exists (or, if earlier, the last of the term of this Agreement).
4.03    Other Termination of Employment.  If, prior to the end of the term of this Agreement, the Company terminates Manager’s employment for Cause, or if Manager terminates his employment for any reason other than as described in Section 4.02 above, the Company shall pay Manager the base salary and accrued but unused paid vacation time earned through the date of such termination and any incentive compensation earned for the preceding fiscal year that is not yet paid.
4.04    Section 409A Compliance.  If at the time of such termination of employment Manager is a “Key Employee” as defined in Section 416(i) of the Internal Revenue Code (without reference to paragraph 5 thereof), and the amounts payable to Manager pursuant to Article Four are subject to Section 409A of the Internal Revenue Code, payment of such amounts shall not commence until six months following Manager’s termination of employment, with the first payment to include the payments that otherwise would have been made during such six-month period.  Each payment made pursuant to Sections 4.01and 4.02 shall be considered a separate payment for purposes of Section 409A.

ARTICLE FIVE
CONFIDENTIAL INFORMATION
5.01    Non-Disclosure of Confidential Information. During his employment with the Company, and after his termination of such employment with the Company, Manager shall not, in any form or manner, directly or indirectly, use, divulge, disclose or communicate to any person, entity, firm, corporation or any other third party, any Confidential Information, except as required in the performance of Manager’s duties hereunder, as required by law or as necessary in conjunction with legal proceedings.
5.02    Definition of Confidential Information.  For the purposes of this Agreement, the term "Confidential Information" shall mean any and all information either developed by Manager during his employment with the Company and used by the Company or its affiliates or developed by or for the Company or its affiliates of which Manager gained knowledge by reason of his employment with the Company that is not readily available in or known to the general public or the industry in which the Company or any affiliate is or becomes engaged.  Such Confidential Information shall include, but shall not be limited to, any technical or non-technical data, formulae, compilations, programs, devices, methods, techniques, procedures, manuals, financial data, business plans, lists of actual or potential customers, lists of employees and any information 

regarding the Company's or any affiliate’s products, marketing or database.  The Company and Manager acknowledge and agree that such Confidential Information is extremely valuable to the Company and may constitute trade secret information under applicable law.  In the event that any part of the Confidential Information becomes generally known to the public through legitimate origins (other than by the breach of this Agreement by Manager or by other misappropriation of the Confidential Information), that part of the Confidential Information shall no longer be deemed Confidential Information for the purposes of this Agreement, but Manager shall continue to be bound by the terms of this Agreement as to all other Confidential Information.
5.03    Delivery upon Termination.  Upon termination of Manager's employment with the Company for any reason, Manager shall promptly deliver to the Company all correspondence, files, manuals, letters, notes, notebooks, reports, programs, plans, proposals, financial documents, and any other documents or data concerning the Company's or any affiliate’s customers, database, business plan, marketing strategies, processes or other materials which contain Confidential Information, together with all other property of the Company or any affiliate in Manager's possession, custody or control.

ARTICLE SIX
NON-COMPETE AND NON-SOLICITATION COVENANTS
6.01    Covenant Not to Compete.  During the term of this Agreement and for a period of twelve (12) months following the termination of Manager's employment for any reason, Manager shall not, on behalf of himself or on behalf of another person, corporation, partnership, trust or other entity, within fifty (50) miles of Manager’s primary place of employment.
(a)    Directly or indirectly own, manage, operate, control, participate in the ownership, management, operation or control of, be connected with or have any financial interest in, or serve as an officer, employee, advisor, consultant, agent or otherwise to any person, firm, partnership, corporation, trust or other entity which owns or operates a business similar to that of the Company or its affiliates.
(b)    Solicit for sale, represent, and/or sell Competing Products to any person or entity who or which was the Company’s customer or client during the last year of Manager's employment. "Competing Products," for purposes of this Agreement, means products or services which are similar to, compete with, or can be used for the same purposes as products or services sold or offered for sale by the Company or any affiliate or which were in development by the Company or any affiliate within the last year of Manager's employment.
6.02    Covenant Not to Solicit.  For a period of twelve (12) months following the termination of Manager’s employment for any reason, Manager shall not:
(a)    Attempt in any manner to solicit from any client or customer business of the type performed by the Company or any affiliate or persuade any client or customer of the Company or any affiliate to cease to do such business or to reduce the amount of such business which any such client or customer has customarily done or contemplates doing with the Company or any affiliate, 

whether or not the relationship between the Company or affiliate and such client or customer was originally established in whole or in part through Manager’s efforts.
(b)    Render any services of the type rendered by the Company or any affiliate for any client or customer of the Company.
(c)    Solicit or encourage, or assist any other person to solicit or encourage, any employees, agents or representatives of the Company or an affiliate to terminate or alter their relationship with the Company or any affiliate.
(d)    Do or cause to be done, directly or indirectly, any acts which may impair the relationship between the Company or any affiliate with their respective clients, customers or employees.

ARTICLE SEVEN
REMEDIES
Manager acknowledges that compliance with the provisions of Articles Five and Six herein is necessary to protect the business, goodwill and proprietary information of the Company and that a breach of these covenants will irreparably and continually damage the Company for which money damages may be inadequate.  Consequently, Manager agrees that, in the event that he breaches or threatens to breach any of these provisions, the Company shall be entitled to both (a) a temporary, preliminary or permanent injunction in order to prevent the continuation of such harm; and (b) money damages insofar as they can be determined.  In addition, the Company will cease payment of all compensation and benefits under Articles Three and Four hereof.  In the event that any of the provisions, covenants, warranties or agreements in this Agreement are held to be in any respect an unreasonable restriction upon  Manager or are otherwise invalid, for whatsoever cause, then the court so holding shall reduce, and is so authorized to reduce, the territory to which it pertains and/or the period of time in which it operates, or the scope of activity to which it pertains or effect any other change to the extent necessary to render any of the restrictions of this Agreement enforceable.

ARTICLE EIGHT
MISCELLANEOUS
8.01    Successors and Assignability.
(a)    No rights or obligations of the Company under this Agreement may be assigned or transferred except that the Company will require any successor (whether direct or indirect, by purchase, merger, consolidation or otherwise) to all or substantially all of the business and/or assets of the Company to expressly assume and agree to perform this Agreement in the same manner and to the same extent that the Company would be required to perform it if no such succession had taken place.

(b)    No rights or obligations of Manager under this Agreement may be assigned or transferred by Manager other than his rights to payments or benefits hereunder which may be transferred only by will or the laws of descent and distribution.
8.02    Payment Recoupment and Restrictions.  Manager agrees and acknowledges that this Agreement and any incentive payments made or to be made hereunder are subject to the terms of any Company clawback or recoupment policy.  Notwithstanding anything in this Agreement to the contrary, in no event shall any payment or benefit under this Agreement be paid, provided or accrued if such payment, provision or accrual would be in violation of applicable law, rule, regulation or court or agency order.
8.03    Entire Agreement.  This Agreement contains the entire agreement between the parties with respect to the subject matter hereof and may not be modified except in writing by the parties hereto.  Furthermore, the parties hereto specifically agree that all prior agreements, whether written or oral, relating to Manager's employment by the Company shall be of no further force or effect from and after the date hereof.
8.04    Severability.  If any phrase, clause or provision of this Agreement is deemed invalid or unenforceable, such phrase, clause or provision shall be deemed severed from this Agreement, but will not affect any other provisions of this Agreement, which shall otherwise remain in full force and effect.  If any restriction or limitation in this Agreement is deemed to be unreasonable, onerous or unduly restrictive, it shall not be stricken in its entirety and held totally void and unenforceable, but shall be deemed rewritten and shall remain effective to the maximum extent permissible within reasonable bounds.
8.05    Controlling Law and Jurisdiction.  This Agreement shall be governed by and interpreted and construed according to the laws of the State of Illinois.  The parties hereby consent to the jurisdiction of the state and federal courts in the State of Illinois in the event that any disputes arise under this Agreement.
8.06    Notices.  All notices, requests, demands and other communications under this Agreement shall be in writing and shall be deemed to have been duly given (a) on the date of service if served personally on the party to whom notice is to be given; (b) on the day after delivery to an overnight courier service; (c) on the day of transmission if sent via facsimile to the facsimile number given below; or (d) on the third day after mailing, if mailed to the party to whom notice is to be given, by first class mail, registered or certified, postage prepaid and properly addressed, to the party as follows:

If to Manager:        Bradley L Beesley
1906 Sunset Avenue
Effingham, IL  62401
    

If to the Company:    First Mid-Illinois Bancshares, Inc.
1515 Charleston Avenue
Mattoon, Illinois  61938
Facsimile: 217-258-0485
Attention: Chairman and Chief Executive Officer

Any party may change its address for the purpose of this Section by giving the other party written notice of its new address in the manner set forth above.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.
	
		
	  
	FIRST MID-ILLINOIS BANCSHARES, INC.
By: /s/ Joseph R. Dively
Title:Chairman of the Board

	 
	MANAGER:
/s/ Bradley L. BeesleyExhibit 10.1

                

EMPLOYMENT AGREEMENT

 

This EMPLOYMENT
AGREEMENT (this “Agreement”), dated as of February 28th, 2017 (the “Signature Date”),
is entered into by and between BRAINSTORM CELL THERAPEUTICS INC., a Delaware corporation with a mailing address of 3 University
Plaza Drive, Hackensack, NJ 07601 (the “Company”), and DR. RALPH KERN, an individual, with a mailing address
of 959 First Avenue, New York, NY 10022 (the “Executive”).

 

WHEREAS, the Company
desires to employ the Executive, and the Executive desires to be employed by the Company as of March 6th, 2017 (the
“Effective Date”), upon the terms and conditions set forth herein.

 

NOW, THEREFORE,
in consideration of the mutual premises contained herein and other good and valuable consideration, the receipt and sufficiency
of which are hereby acknowledged, the parties hereto agree as follows:

 

1.                 
Employment. The Company hereby employs the Executive, and the Executive agrees to accept such employment, upon the terms
and conditions herein set forth.

 

2.                  
Employment Period. The term of employment hereunder shall commence on the Effective Date and continue until terminated as
provided herein (the “Employment Period”). Executive’s employment with the Company is “at will”
and not for a fixed term and is subject to termination in accordance with this Agreement.

 

3.                  
Position and Duties. The Executive hereby agrees to serve as Chief Operating Officer and Chief Medical Officer (“COO/CMO”)
of the Company, and shall have those duties, services, responsibilities and authority customarily accorded a person holding such
positions in a company such as the Company, including but not limited to those duties, services and responsibilities listed on
Exhibit A attached hereto (collectively, the “Executive Duties”). As COO/CMO, the Executive shall report
to both the Chief Executive Officer (the “CEO”) of the Company and the Board of Directors of the Company (the
“Board”). The Executive shall devote his reasonable best efforts and his full business time and attention to
the performance of the Executive Duties to the Company in accordance with the terms hereof and as may reasonably be requested by
the Company. Executive shall not engage in any other business or professional activities, either on a full-time or part-time basis,
as an employee, consultant or in any other capacity, whether or not he receives any compensation therefor, without the prior written
consent of the CEO which shall not be unreasonably withheld; provided, however, that nothing herein shall prevent the Executive
from (a) making and managing personal investments consistent with Section 9 of this Agreement and any applicable Company policies
as more fully detailed in the Company’s employee manual (the “Employee Manual”), (b) engaging in community
and/or charitable activities, including serving as a trustee or board member of charitable organizations, (c) engaging in industry-related
activities such as serving on the board or committees of industry organizations, for example but not limited to PhRMA or BIO, or
(d) serving as a board member of up to two (2) pharmaceutical or biotechnology companies, so long as any of such activities, either
singly or in the aggregate, do not interfere with the proper performance of the Executive Duties or conflict or compete with the
Company’s activities as currently conducted or as proposed to be conducted during Executive’s employment.

 

     

     

    

 

4.                  
Compensation and Other Terms of Employment.

 

(a)               
Base Salary. In consideration of the performance of the Executive Duties, the Executive shall be entitled to receive an
annual base compensation during the Employment Period at the rate of Five Hundred Thousand U.S. Dollars (USD$500,000) per year
(the “Base Salary”). During the Employment Period, the Board (or a committee thereof) may, at its sole discretion,
additionally increase (but not decrease) the Base Salary. No additional compensation shall be payable to the Executive by reason
of the number of hours worked or any hours worked on Saturdays, Sundays or holidays, by reason of special responsibilities assumed
(whether on behalf of the Company or any of its subsidiaries or affiliates), special projects completed, or otherwise. All Base
Salary payable hereunder shall be payable in accordance with the Company’s regular payroll practices (e.g., timing
of payments and standard employee deductions, such as income and employment tax withholdings).

 

(b)              
Bonus Compensation. The Executive shall be eligible to receive an annual cash bonus equal to thirty percent (30%) of Executive’s
Base Salary, subject to his satisfaction of pre-established performance goals to be mutually agreed upon by the Board (or a committee
thereof) and the Executive each year during the Employment Period. Performance shall be evaluated through a performance management
framework and a bonus range based on the target bonus.

 

(c)               
Equity Grant.On the Effective Date and on each anniversary thereafter, the Executive shall receive a grant of restricted
stock under the Company’s 2014 Stock Incentive Plan (or any successor or other equity plan then maintained by the Company)
comprised of a number of shares of common stock of the Company with a fair market value determined based on the price of the Company’s
common stock immediately preceding normal trading hours on the date of grant according to Nasdaq) equal to 30% of the Executive’s
Base Salary (the “Equity Grant”). Each Equity Grant shall be contingent upon Executive’s execution of
one or more restricted stock agreements in such form and substance as may reasonably be determined by the Company. Each Equity
Grant shall vest as to twenty-five percent (25%) of the award on each of the first, second, third and fourth anniversary of the
date of grant, provided the Executive remains continuously employed by the Company from the date of grant through each applicable
vesting date.  Each Equity Grant shall be subject to accelerated vesting upon a Change of Control of the Company and such
other accelerated vesting as provided in this Agreement or the Plan (and any award agreement evidencing such grant, to the extent
such award agreement contains more preferential terms).  In the event of the Executive’s termination of employment,
the Executive shall retain his right to any vested shares (after taking into account any accelerated vesting) and any portion of
the Equity Grant that is not yet vested (after taking into account such accelerated vesting) shall automatically be immediately
forfeited to the Company, without the payment of any consideration to the Executive.  In addition, the Executive shall be
entitled to receive additional equity or equity-based awards, including stock options, as determined by the Board (or the Compensation
Committee of the Board) in its sole discretion.

 

(d)              
Option Grant.As an inducement to enter into the Agreement and commence employment with the Company, on the Effective
Date, the Company shall grant the Executive an option to purchase stock of the Company (the “Option”) on shares
with a fair market value (as determined based on the closing price of the Company’s common stock at the end of normal trading
hours on the date of grant according to Nasdaq) of Two Hundred Thousand U.S. Dollars ($200,000) on the Effective Date. The Option
shall be fully vested and exercisable as of the date of grant and shall remain exercisable until the 2nd anniversary
of the date of grant, regardless of whether the Executive remains employed by the Company. The exercise price per share shall be
equal to the fair market value on the date of grant (as determined based on the price of the Company’s common stock immediately
preceding normal trading hours on the date of grant according to Nasdaq). The grant of the Option is also contingent upon Executive’s
execution of one or more stock option agreements in such form and substance as may reasonably be determined by the Company which
the parties will endeavor to execute within ten (10) days from their mutual execution of this Agreement.

 

    2 

     

    

 

(Solely for
clarification purposes, the fair market value of the Company’s common stock on the Effective Date that will be used to calculate
the first Equity Grant pursuant to Section 3(c) hereof as well as the Option grant under Section 3(d) shall be the price of the
Company’s common stock immediately preceding normal trading hours on March 6th, 2017).

 

(e)              
Change of Control.“Change of Control” means the first to occur
of any of the following: (i) The sale, transfer, conveyance or other disposition by
the Company, in one or a series of related transactions, whereby an independent third party(s) becomes the beneficial owner of
a majority of the voting securities of the Company; (ii) any merger, consolidation or similar transaction involving the Company,
other than a transaction in which the stockholders of the Company immediately prior to the transaction hold immediately thereafter
in the same proportion as immediately prior to the transaction not less than 50% of the combined voting power of the then voting
securities with respect to the election of the Board of Directors of the resulting entity; or (iii) any
sale of all or substantially all of the assets of the Company. Notwithstanding the
foregoing, no change in ACCBT Corp., ACC International Holdings Ltd. or their affiliates’ ownership of the Company
shall be deemed a Change of Control under this Agreement, and none of the following shall,
either together or alone, constitute a Change of Control: (A) the subscription for, or issuance of Company securities (whether
or not constituting more than 50% of the Company’s issued and outstanding securities (unless such subscription or
issuance would result in a Change of Control under clause (i) above)); (B) the issuance or
exercise of Board appointment or nomination rights of any kind (whether or not relating to a majority of Board members); (C) preemptive
rights to purchase securities of the Company, or the exercise of such rights; (D) the right to consent to Company corporate actions;
or (E) the exercise of warrants or options.

 

(f)                
Business Expenses. Upon presentation of vouchers and similar receipts, the Executive shall be entitled to receive reimbursement
in accordance with the policies and procedures of the Company maintained from time to time for all reasonable business expenses
actually incurred in the performance of the Executive Duties, and as more fully detailed in the Employee Manual.

 

(g)               
Vacation. The Executive shall be entitled to vacation during each year of the Employment Period in accordance with the Employee
Manual; provided, that, the Executive shall be entitled to no less than two (2) weeks of vacation per fiscal year.

 

(h)              
Benefits. The Executive shall be entitled to participate in such employment benefits, including but not limited to a Section
401(k) retirement plan, health, dental, life insurance, and long term disability plans as are established by the Company and as
in effect from time to time applicable to executives of the Company. The Company shall provide health and dental insurance plans
or, if the Company is unable to provide such plans, the Company will reimburse the Executive for his health and dental insurance
costs. The Company shall not be required to establish, continue or maintain any other specific benefits or benefit plans other
than health and dental insurance.

 

(i)                 
No Additional Compensation. Except as provided in this Section 4 or as determined in the discretion of the Compensation
Committee of the Board, the Executive shall not be entitled to any other compensation, salary or bonuses for services as an employee
of Company.

 

    3 

     

    

 

5.                  
Termination and Consequences.

 

(a)               
The Executive’s Rights to Terminate. Notwithstanding any other provision of this Agreement to the contrary, the Executive
may terminate this Agreement at any time, (i) for Good Reason (as defined in Section 5(g) below), or (ii) without Good Reason on
(A) thirty (30) days’ prior written notice to the Company through the first anniversary of the Effective Date; (B) sixty
(60) days’ prior written notice following the first anniversary of the Effective Date.

 

(b)              
The Company’s Right to Terminate. Notwithstanding any other provision of this Agreement to the contrary, the
Company may terminate this Agreement at any time during the term hereof, (i) immediately with Cause (as defined in Section 5(h)
below), or (ii) on (A) thirty (30) days’ prior written notice to the Executive through the first anniversary of the Effective
Date; or (B) sixty (60) days’ prior written notice following the first anniversary of the Effective Date, without Cause.

 

(c)               
Consequences of Termination without Cause or for Good Reason. If the Company terminates this Agreement or Executive’s
employment hereunder without Cause or if the Executive terminates this Agreement or his employment hereunder with Good Reason as
defined in Section 5(g) hereof, the Company shall: (i) pay the Executive, as severance pay, an amount equal to six (6) months of
his Base Salary (which severance pay shall increase to an amount equal to nine (9) months of his then current Base Salary if such
termination occurs after the two-year anniversary of the Effective Date and to an amount equal to twelve (12) months of his then
current Base Salary if such termination occurs after the third anniversary of the Effective Date; provided Executive was actively
employed by the Company on such anniversary date) (assuming Executive is actively employed by the Company on such anniversary date(the
“Payment Period”) payable in a lump sum payment within ninety (90) days following the termination date; and
(ii) pay the Executive within thirty (30) days of the termination of his employment (or such revised payment period pursuant to
Section 11(o) of this Agreement) any portion of the Bonus Compensation that the Executive would otherwise be entitled to receive
during the Payment Period (giving Executive credit for those milestones and performance goals that Executive successfully completed
through the effective termination date); (iii) immediately vest in the number of equity or equity based awards that would have
vested during the following six (6) months following the effective date of termination of employment; and (iv) shall continue to
provide to or pay the cost of continuation of Executive’s and his eligible dependents’ health insurance benefits contemplated
under Section 4(g) hereof during the Payment Period. Should the Executive become eligible for health insurance benefits provided
by a new employer during the duration of Payment Period, then the Company’s obligation to pay for or reimburse the Executive
for health insurance costs will terminate when the Executive’s new health insurance benefit begins. Notwithstanding anything
to the contrary, no compensation of any kind shall be payable to the Executive pursuant to this Section 5(c) unless or until Executive
executes and delivers a full and general waiver and release to the Company (in favor of the Company, its successors, assigns, Board
members, officers, employees, affiliates, subsidiaries, parent companies and representatives), in a form reasonably acceptable
to the Company and the Executive, such waiver and release to be delivered by Executive within ten (10) days after the termination
of his employment (unless applicable law requires a longer time period, in which case this date will be extended to the minimum
time required by applicable law).

 

    4 

     

    

 

(d)              
Consequences of Termination With Cause or Without Good Reason. If the Company terminates this Agreement or Executive’s
employment hereunder with Cause or the Executive terminates this Agreement or his employment hereunder without Good Reason, then
(i) Employee’s Base Salary shall be discontinued upon the termination of the Agreement or his employment hereunder, (ii)
no Bonus Compensation, accrued or otherwise, shall be payable for the year in which the termination with Cause or without Good
Reason occurs, (iii) to the extent permitted by applicable law, the Executive shall cease to be entitled to participate in any
benefit plans or programs maintained by the Company, and (iv) Executive shall forfeit all rights to any unvested Company stock
options if terminated by the Company for Cause and shall forfeit all rights with respect to any Company unvested restricted stock
if terminated by the Company for Cause or if terminated by the Executive without Good Reason. The Executive shall be entitled to
receive payment for all accrued Base Salary and benefits earned through and including the date of termination, including, but not
limited to all Bonus Compensation earned, but not yet paid, for the year preceding the year in which such termination occurs, payment
for all accrued, unused vacation, reimbursement of all business expenses incurred through the date of termination, and all vested
benefits to which the employee is entitled. In addition, the Executive and his eligible dependents shall be entitled to continue
all group health benefits at his or their expense, pursuant to applicable law.

 

(e)              
Consequences of Termination for Death or Disability. If the Executive dies or is unable to perform the Executive Duties
and/or any other obligations he may have hereunder because of a Disability (as defined herein) during the term of this Agreement,
then the Agreement shall terminate, except that the Company shall pay within thirty (30) days of such event (or such revised payment
period pursuant to Section 11(o) of this Agreement) all accrued Base Salary and any Bonus Compensation that the Executive would
otherwise have been entitled to receive through the date that the Executive’s employment with the Company is terminated and
for a period of three (3) months thereafter. In the case of a Disability, the Executive shall also receive any applicable payments
and benefits pursuant to any disability plan or policy sponsored or maintained by the Company. The unvested Equity Grant shall
remain outstanding in accordance with their existing terms and conditions.

 

(f)                
Fringe Benefits. In the case of termination under Sections 5(a), (b), (d) or (e) above, inclusive, subject to applicable
law, the Company shall discontinue any other benefits and perquisites provided under Section 4 above that are not otherwise provided
for effective as of the date that the Company’s obligation to pay Base Salary terminates.

 

(g)               
Definition of Good Reason. “Good Reason” means (i) a material reduction of the Executive’s Base
Salary and benefits from the levels in effect immediately prior to the reduction, (ii) a material reduction of the Executive Duties
and responsibilities from those in effect immediately prior to the reduction, or (iii) material breach by the Company of any provision
of this Agreement after receipt of written notice thereof from the Executive and failure by the Company to cure the breach within
thirty (30) days thereafter. A termination by the Executive under Sections 5(g)(i), 5(g)(ii) and/or 5(g)(iii) will not be considered
a termination for Good Reason unless within thirty (30) days of the later of the last event relied upon by the Executive to establish
Good Reason or Executive’s knowledge thereof, the Executive furnishes the Company with a written statement specifying the
reason or reasons why he believes he is entitled to terminate his employment for Good Reason and affords the Company at least thirty
(30) days during which to remedy the cause thereof. Such thirty (30)-day notice period may run concurrently with the thirty (30)-day
notice specified in Section 5(a) above. Any such termination shall not be deemed a breach of the Agreement.  If the Company
timely cures the condition giving rise to Good Reason for the Executive’s resignation, the notice of termination shall become
null and void. If the Company does not timely cure the condition giving rise to Good Reason, the Executive’s termination
of employment shall be effective as of the end of such cure period.

 

    5 

     

    

 

(h)              
Definition of Cause. “Cause” means a good faith finding by the
Company of: (i) gross negligence or willful misconduct by Executive in connection with the Executive Duties, (ii) Executive’s
indictment for, conviction of, or entry of a plea of guilty or no contest or similar plea with respect to any felony, acts of fraud,
misrepresentation, embezzlement, theft, dishonesty or breach of fiduciary duty of loyalty to the Company or any of its subsidiaries,
or a material and intentional breach of Sections 7, 9 or 10 hereof by Executive, (iii) willful
or repeated failure to follow specific directives of the CEO and/or the Board (or its committees or other designees), (iv) willful
failure by Executive (except where due to Disability or where performance of the Executive's duties is prohibited by law)
or refusal to perform the Executive Duties, which failure or refusal is not corrected
by the Executive within ten (10) business days following receipt by the Executive of written notice from the Company of such failure
or refusal, and the actions required to correct the same, to the satisfaction of the CEO,
(v) misappropriation by Executive of the assets or business opportunities of the Company or its affiliates, (vi) any
intentionally wrongful act or omission by the Executive that has a material adverse effect on the reputation or business of the
Company or any of its subsidiaries or affiliates, (vii) a willful and/or knowing breach
by Executive of any representations or warranties included in this Agreement, or (viii) Executive knowingly allowing any third
party to commit any of the acts described in any of the preceding clause (v) against the Company.

 

(i)                 
Definition of Disability. “Disability” means the inability of the Executive to perform the Executive
Duties pursuant to the terms of this Agreement, because of physical or mental disability where such disability shall have
existed for a period of more than ninety (90) consecutive days in any two hundred and seventy (270) day period. The existence of
a Disability means that the Executive cannot perform the essential functions of his position with or without reasonable accommodation.
The fact of whether or not a Disability exists hereunder shall be determined by a professionally qualified medical expert reasonably
chosen by the Company.

 

6.                  
Termination Obligations. The Executive hereby acknowledges and agrees that all Personal Property and equipment furnished
to or prepared by the Executive in the course of or incident to his employment by the Company belongs to the Company and shall
be promptly returned to the Company upon termination of his employment. As used in this Section 6, “Personal Property”
includes, without limitation, all books, manuals, records, reports, notes, contracts, lists, blueprints, and other documents, or
materials, or copies thereof (including computer files), and all other proprietary information relating to the business of the
Company or any affiliate. Following termination, the Executive will not retain any written or other tangible material containing
any proprietary information or Confidential Information (as defined below) of the Company or any affiliate. Upon termination of
employment, the Executive shall be deemed to have resigned from all offices then held with the Company or any affiliate.

 

7.                  
Records and Confidential Data.

 

(a)               
Acknowledgement. The Executive acknowledges that in connection with the performance of the Executive Duties during the term
of his employment the Company will make available to the Executive, or the Executive will have access to, certain Confidential
Information (as defined below) of the Company and its affiliates. The Executive acknowledges and agrees that any and all Confidential
Information learned or obtained by the Executive during the course of his employment by the Company or otherwise (including, without
limitation, information that the Executive obtained through or in connection with his relationship with the Company prior to the
Effective Date) whether developed by the Executive alone or in conjunction with others or otherwise, shall be and is the property
of the Company and its affiliates.

 

    6 

     

    

 

(b)              
Confidentiality Obligations. During the term of his employment and thereafter Executive shall keep all Confidential Information
confidential and will not use such Confidential Information other than in connection with the Executive’s discharge of the
Executive Duties hereunder, and will be safeguarded by the Executive from unauthorized disclosure. This covenant is not intended
to, and does not limit in any way Executive’s duties and obligations to the Company under statutory and common law not to
disclose or make personal use of the Confidential Information or trade secrets.

 

(c)               
Return of Confidential Information. Following the Executive’s termination of employment, upon receipt of a written
request from the Company, the Executive will return to the Company or destroy all written Confidential Information which has been
provided to the Executive and the Executive will destroy all copies of any analyses, compilations, studies or other documents prepared
by the Executive or for the Executive’s use containing or reflecting any Confidential Information. Within ten (10) business
days of the receipt of such request by the Executive, the Executive shall, upon written request of the Company, deliver to the
Company a notarized document certifying that such written Confidential Information has been returned or destroyed in accordance
with this Section 7(c).

 

(d)              
Definition. For the purposes of this Agreement, “Confidential Information” shall mean all confidential
and proprietary information of the Company, and its affiliates and any information obtained by the Company pursuant to a confidentiality
obligation to any third party, including, without limitation, marketing strategies, pricing policies or characteristics, customers
and customer information, product or product specifications, designs, software systems, leasing costs, cost of equipment, customer
lists, business or business prospects, plans, proposals, codes, marketing studies, research, reports, investigations, or other
information of similar character. For purposes of this Agreement, the Confidential Information shall not include and the Executive’s
obligations under this Section 6 shall not extend to (i) information which is generally available to the public, (ii) information
obtained by the Executive from third persons other than Executives of the Company, its subsidiaries, the Company and the Company’s
affiliates not under agreement to maintain the confidentiality of the same and (iii) information which is required to be disclosed
by law or legal process. Further, the Executive shall be free to use and employ his general skills, know-how and expertise, and
to use, disclose and employ any generalized ideas, concepts, know-how, methods, techniques or skills, including those gained or
learned during the course of the performance of any services hereunder, so long as he applies such information without disclosure
or use of any Confidential Information.

 

(e)              
Construction. Any reference to the Company in this Section 7 shall include the Company and/or its subsidiaries.

 

8.                  
Assignment of Inventions.

 

(a)               
Definition of Inventions. “Inventions” mean discoveries, developments, concepts, ideas, methods, designs,
improvements, inventions, formulas, processes, techniques, programs, know-how and data, whether or not patentable or registerable
under copyright or similar statutes, except any of the foregoing that (i) is not related to the business of the Company or its
affiliates, or the Company’s (and its affiliates’) actual or demonstrable research or development, (ii) does not involve
the use of any equipment, supplies, facility or Confidential Information of the Company, (iii) was developed entirely on the Executive’s
own time, and (iv) does not result from any work performed by the Executive for the Company.

 

    7 

     

    

 

(b)              
Assignment. The Executive agrees to and hereby does assign to the Company, without further consideration, all of his right,
title and interest in any and all Inventions he may make during the term hereof.

 

(c)               
Duty to Disclose and Assist. The Executive agrees to promptly disclose in writing all Inventions to the Company, and to
provide all assistance reasonably requested by the Company in the preservation of the Company’s interests in the Inventions
including obtaining patents in any country throughout the world. Such services will be without additional compensation if the Executive
is then employed by the Company and for reasonable compensation and subject to his reasonable availability if he is not. If the
Company cannot, after reasonable effort, secure the Executive’s signature on any document or documents needed to apply for
or prosecute any patent, copyright, or other right or protection relating to an Invention, whether because of his physical or mental
incapacity or for any other reason whatsoever, the Executive hereby irrevocably designates and appoints the Company and its duly
authorized officers and agents as his agent and attorney-in-fact, to act for and on his behalf and in his name and stead for the
purpose of executing and filing any such application or applications and taking all other lawfully permitted actions to further
the prosecution and issuance of patents, copyrights, or similar protections thereon, with the same legal force and effect as if
executed by him.

 

(d)              
Ownership of Copyrights. The Executive agrees that any work prepared for the Company which is eligible for United States
copyright protection or protection under the Universal Copyright Convention or other such laws or protections including, but not
limited to, the Berne Copyright Convention and/or the Buenos Aires Copyright Convention shall be a work made for hire and ownership
of all copyrights (including all renewals and extensions) therein shall vest in the Company. If any such work is deemed not to
be a work made for hire for any reason, the Executive hereby grants, transfers and assigns all right, title and interest in such
work and all copyrights in such work and all renewals and extensions thereof to the Company, and agrees to provide all assistance
reasonably requested by the Company in the establishment, preservation and enforcement of the Company’s copyright in such
work, such assistance to be provided at the Company’s expense but without any additional compensation to the Executive. The
Executive hereby agrees to and does hereby waive the enforcement of all moral rights with respect to the work developed or produced
hereunder, including without limitation any and all rights of identification of authorship and any and all rights of approval,
restriction or limitation on use or subsequent modifications.

 

    8 

     

    

 

(e)              
Litigation. The Executive agrees to render assistance and cooperation to the Company at its request regarding any matter,
dispute or controversy with which the Company may become involved and of which the Executive has or may have reason to have knowledge,
information or expertise. Such services will be without additional compensation if the Executive is then employed by the Company
and for reasonable compensation and subject to his reasonable availability if he is not.

 

(f)                
Construction. Any reference to the Company in this Section 8 shall include the Company and/or its subsidiaries.

 

9.                  
Additional Covenants.

 

(a)               
Non-Interference with Customer Accounts. Executive covenants and agrees that: (i) during his employment, except as may be
required by Executive’s employment by the Company, (ii) for a period of one (1) year following the termination of his employment
by the Company for Cause or by the Executive without Good Reason and (iii) for a period of one (1) year following the termination
of his employment by the Company without Cause or by Executive for Good Reason, Executive shall not directly or indirectly, personally
or on behalf of any other person, business, corporation, or entity, contact or do business with any customer, licensee, licensor,
consultant or other vendor of the Company with respect to any product, business, activity or service which is directly competitive
with any product, business, activity or service of the Company in which the Company is engaged during the term of Executive’s
employment, or with respect to Executive’s covenants regarding the periods following termination, in which the Company is
engaged at the time of termination and/or was engaged during the one (1) year period prior thereto (a “Company Activity”).
By way of example, as of the execution of this agreement, Company Activity can be defined as the development, marketing and sale
of autologous mesenchymal stem cell products expressing neurotrophic factors for the treatment of neurodegenerative diseases.

 

(b)              
Non-Competition. Subject to matters and activities approved by the Board in writing, the Executive covenants and agrees
that (i) during his employment, and (ii) for a period of six (6) months following the termination of his employment by the Company
for Cause or by the Executive without Good Reason or (iii) for a period equal to the Payment Period, but in no event less than
three (3) months following the termination of his employment by the Company without Cause or by Executive for Good Reason, Executive
shall not own a majority interest in, operate, control, or serve as an executive of any corporation, partnership, proprietorship,
firm, association, or other entity that primarily engages in any Company Activity in which the Company is engaged at the time of
termination, and/or was engaged during the one (1) year period prior thereto. This Covenant (as defined below) applies to Company
Activities in any territory or jurisdiction in which the Company is doing business or is making an active effort to do business
at the time of termination, and/or was engaged during the one (1) year period prior thereto. This Covenant does not prohibit the
ownership of less than one percent (1%) of the outstanding stock of any public corporation, as long as the Executive is not otherwise
in violation of this Covenant.

 

(c)               
No Diversion. Executive covenants and agrees that Executive shall not divert or attempt to divert or take advantage of or
attempt to take advantage of any actual or potential business opportunities of the Company (e.g., joint ventures, other
business combinations, investment opportunities, potential investors in the Company, and other similar opportunities) which the
Executive became aware of as the result of his employment with the Company.

 

    9 

     

    

 

(d)       Non-Disparagement.
Executive shall not at any time (whether during or after the termination of his employment) make any statement or disclosure or
otherwise cause or permit to be stated or disclosed any information which is designed or intended to have a negative impact or
adverse effect on the Company or its business. Notwithstanding the foregoing, nothing contained in this Agreement or in this Section
9(d) in particular prohibits the Executive or is intended to prohibit the Executive from providing truthful information about his
employment or the Company to any governmental entity, regulatory agency, judicial or dispute resolution forum, or to interfere
with or prevent the Executive from commencing, defending or participating fully in a judicial proceeding or dispute resolution
process. This Section 9(d) may be raised by the Executive as a complete bar to any claim of Cause hereunder or any proceeding brought
under Section 9(f) to the extent the claim of Cause or the proceeding concerns a statement or disclosure permissible under this
Section 9(d). The Company shall not, directly or indirectly, at any time (whether during or after the termination of Executive’s
employment) make any statement or disclosure or otherwise cause or permit to be stated or disclosed any information which is designed
or intended to have a negative impact or adverse effect on the Executive.

 

(e)       Non-Recruitment.
Executive agrees that the Company has invested substantial time and effort in assembling its present workforce. Accordingly, Executive
covenants and agrees that during his employment and for a period of two (2) years following the termination of the Employment Period,
Executive shall not hire away, nor directly or indirectly entice or solicit or seek to induce or influence any of the Company’s
executives to leave their employment.

 

(f)       Remedies.
Executive acknowledges that should he violate any of the covenants contained in Sections 7, 8 and 9(a), (b), (c), and (d) above
(collectively, the “Covenants”), it will be difficult to determine the resulting damages to the Company and,
in addition to any other remedies it may have, the Company shall be entitled to seek temporary injunctive relief without being
required to post a bond and permanent injunctive relief. Executive shall be liable to pay all costs including reasonable attorneys’
fees which the Company may incur in enforcing or defending, to any extent, the Covenants, whether or not litigation is actually
commenced and including litigation of any appeal taken or defended by the Company, where the Company succeeds in enforcing any
part of the Covenants, and the Company shall be liable to pay all costs including reasonable attorneys’ fees which the Executive
may incur in defending, to any extent, any claim that he has violated or intends to violate any of the Covenants, whether or not
litigation is actually commenced and including litigation of any appeal taken or defended by the Executive, where the Company does
not succeed in enforcing the Covenants. The Company may elect to seek one or more of these remedies at its sole discretion on a
case by case basis. Failure to seek any or all remedies in one case does not restrict the Company from seeking any remedies in
another situation. Such action by the Company shall not constitute a waiver of any of its rights.

 

(g)       Severability
and Modification of Any Unenforceable Covenant. It is the parties’ intent that each of the Covenants be read and interpreted
with every reasonable inference given to its enforceability. However, it is also the parties’ intent that if any term, provision
or condition of the Covenants is held to be invalid, void or unenforceable, the remainder of the provisions thereof shall remain
in full force and effect and shall in no way be affected, impaired or invalidated. Finally, it is also the parties’ intent
that if it is determined that any of the Covenants are unenforceable for any reason, then such Covenant shall be modified so as
to make it reasonable and enforceable under the prevailing circumstances.

 

    10 

     

    

 

(h)       Tolling.
In the event of the breach by Executive of any Covenant the running of the period of restriction shall be automatically tolled
and suspended for the amount of time that the breach continues, and shall automatically recommence when the breach is remedied
so that the Company shall receive the benefit of Executive’s compliance with the Covenants. This Section shall not apply
to any period for which the Company is awarded and receives actual monetary damages for breach by the Executive of a Covenant with
respect to which this Section applies.

 

(i)       Construction.
Any reference to the Company in this Section 9 shall include the Company and/or its subsidiaries.

 

10.              
No Assignment.

 

This Agreement
and the rights and duties hereunder are personal to the Executive and shall not be assigned, delegated, transferred, pledged or
sold by the Executive without the prior written consent of the Company. The Executive hereby acknowledges and agrees that the Company
may assign, delegate, transfer, pledge or sell this Agreement and the rights and duties hereunder (a) to an affiliate of the Company
or (b) to any third party in connection with (i) the sale of all or substantially all of the assets of the Company or (ii) an equity
purchase, merger, or consolidation involving the Company. This Agreement shall inure to the benefit of and be enforceable by the
parties hereto, and their respective heirs, personal representatives, successors and assigns.

 

11.              
Miscellaneous Provisions.

 

(a)               
Intentionally Omitted.

 

(b)              
Payment of Taxes. Any payments otherwise due under this Agreement to the Executive, including, but not limited to, the Base
Salary and any bonus compensation shall be reduced by any required withholding for federal, state and/or local taxes and other
appropriate payroll deductions.

 

(c)               
Notices. All notices, offers or other communications required or permitted to be given pursuant to this Agreement shall
be in writing and shall be considered as properly given or made (i) if delivered personally or (ii) after the expiration of five
days from the date upon which such notice was mailed from within the United States by certified mail, return receipt requested,
postage prepaid, (iii) upon receipt by prepaid telegram or facsimile transmission (with written confirmation of receipt) or (iv)
after the expiration of the second business day following deposit with documented overnight delivery service. All notices given
or made pursuant hereto shall be so given or made to the addresses set forth above, or any other address which shall be provided
by due notice.

 

(d)              
Severability. If any provision of this Agreement is held by a court of competent jurisdiction to be invalid, illegal or
unenforceable, such provision shall be severed and enforced to the extent possible or modified in such a way as to make it enforceable,
and the invalidity, illegality or unenforceability thereof shall not affect the validity, legality or enforceability of the remaining
provisions of this Agreement.

 

(e)              
Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of New Jersey
applicable to contracts executed in and to be performed entirely within that state, except with respect to matters of law concerning
the internal corporate affairs of any corporate entity which is a party to or the subject of this Agreement, and as to those matters,
the law of the jurisdiction under which the respective entity derives its powers shall govern. The parties irrevocably agree that
all actions to enforce an arbitrator’s decision pursuant to Section 11(m) of this Agreement shall be instituted and litigated
only in federal, state or local courts sitting in Newark, New Jersey and each of such parties hereby consents to the exclusive
jurisdiction and venue of such court and waives any objection based on forum non conveniens.

 

    11 

     

    

 

(f)                
WAIVER OF JURY TRIAL. THE PARTIES HEREBY WAIVE, RELEASE AND RELINQUISH ANY AND ALL RIGHTS THEY MAY HAVE TO A TRIAL BY
JURY WITH RESPECT TO ANY ACTIONS TO ENFORCE AN ARBITRATOR’S DECISION PURSUANT TO SECTION 11(l) OF THIS AGREEMENT.

 

(g)               
Counterparts. This Agreement may be executed in counterparts, each of which shall be an original, but all of which shall
constitute one and the same instrument. A signed copy of this Agreement delivered by facsimile, e-mail or other means of electronic
transmission will be deemed to have the same legal effect as delivery of an original signed copy of this Agreement.

 

(h)              
Entire Understanding. This Agreement including the Plan, all Exhibits and Recitals hereto which are incorporated herein
by this reference, together with the other agreements and documents being executed and delivered concurrently herewith by the Executive,
the Company and certain of its affiliates, constitute the entire understanding among all of the parties hereto and supersedes any
prior understandings and agreements, written or oral, among them respecting the subject matter within.

 

(i)                 
Pronouns and Headings. As used herein, all pronouns shall include the masculine, feminine, neuter, singular and plural thereof
wherever the context and facts require such construction. The headings, titles and subtitles herein are inserted for convenience
of reference only and are to be ignored in any construction of the provisions hereof.

 

(j)                
Amendments. Except as set forth in Sections 9(g) and 11(d) above, this Agreement shall not be changed or amended unless
in writing and signed by both the Executive and the Company.

 

(k)               
Executive’s Representations. Executive hereby represents and warrants to the Company that (i) the execution, delivery
and performance of this Agreement by Executive does not and shall not conflict with, breach, violate or cause default under any
contract, agreement, instrument, order, judgment or decree to which Executive is a party or by which he is bound, (ii) Executive
is not a party to or bound by any employment agreement, non-compete agreement or confidentiality agreement with any other person
or entity that restricts Executive from serving in the position and/or performing the Executive Duties set forth herein and (iii)
upon the execution and delivery of this Agreement by the Company, this Agreement shall be the valid and binding obligation of Executive,
enforceable in accordance with its terms. Executive further represents and warrants to the Company that Executive has never (i)
filed for personal bankruptcy; (ii) been the subject of an SEC disciplinary matter or been sanctioned by the SEC; (iii) been convicted
or plead no contest to any crime (other than minor traffic violations); or (iv) been held liable in a court of law for acts of
dishonesty in a business context.

 

(l)                 
The Executive’s Acknowledgement. The Executive acknowledges (i) that he has consulted with or has had the opportunity
to consult with independent counsel of his own choice concerning this Agreement and has been advised to do so by the Company, and
(ii) that he has read and understands this Agreement, is fully aware of its legal effect, and has entered into it freely based
on his own judgment. The Executive shall be reimbursed by the Company for the reasonable expense of review of this Agreement by
such counsel.

 

    12 

     

    

 

(m)            
Arbitration. Except as provided in Section 11(e) hereof, in the event that there shall be a dispute among the parties arising
out of or relating to this Agreement, or the breach thereof, the parties agree that such dispute shall be resolved by final and
binding arbitration in Newark, New Jersey, administered by the American Arbitration Association (the “AAA”),
in accordance with AAA’s Commercial Arbitration Rules, to which shall be added the provisions of the Federal Rules of Civil
Procedure relating to the Production of Evidence, and the parties agree that the arbitrators may impose sanctions in their discretion
to enforce compliance with discovery and other obligations. Such arbitration shall be presided over by a single arbitrator. If
the Executive, on the one hand, and the Company, on the other hand, do not agree on the arbitrator within fifteen (15) days after
a party requests arbitration, the arbitrator shall be selected by the Company and the Executive from a list of five (5) potential
arbitrators provided by AAA. Such list shall be provided within ten (10) days of the request of any party for arbitration. The
party requesting arbitration shall delete one name from the list. The other party shall delete one name from the list. This process
shall then be repeated in the same order, and the last remaining person on the list shall be the arbitrator. This selection process
shall take place within the two (2) business days following both parties’ receipt of the list of five (5) potential arbitrators.
Hearings in the arbitration proceedings shall commence within twenty (20) days of the selection of the arbitrator or as soon thereafter
as the arbitrator is available. The arbitrator shall deliver his or his opinion within twenty (20) days after the completion of
the arbitration hearings. The arbitrator’s decision shall be final and binding upon the parties, and may be entered and enforced
in any court of competent jurisdiction by either of the parties. The arbitrator shall have the power to grant temporary, preliminary
and permanent relief, including without limitation, injunctive relief and specific performance. Unless otherwise ordered by the
arbitrator pursuant to this Agreement, the arbitrator’s fees and expenses shall be shared equally by the parties.

 

(n)              
Attorney’s Fees. If any arbitration is brought under Section 11(m), the arbitrator may award the successful or prevailing
party reasonable attorneys’ fees and other costs incurred in that action or proceeding, in addition to any other relief to
which it may be entitled. If any other proceeding is brought by one party against the other in connection with or relating in any
manner to this Agreement, or to enforce an arbitration award, the successful or prevailing party (as determined by an independent
third party, e.g. a judge) shall be entitled to recover its reasonable attorneys’ fees and other costs incurred in
that action or proceeding, in addition to any other relief to which it may be entitled.

 

(o)              
Special Payment Provision. Notwithstanding any provision in the Agreement to the contrary:

 

(i)       This
Agreement is intended to comply with the requirements of Section 409A of the Code (“Section 409A”) and regulations
promulgated thereunder such that no payment provided hereunder shall be subject to an “additional tax” within the meaning
of Section 409A. To the extent that any provision in this Agreement is ambiguous as to its compliance with Section 409A, the provision
shall be read in such a manner so that all payments due under this Agreement shall not be subject to any additional tax. For purposes
of Section 409A, each payment made under this Agreement shall be treated as a separate payment. In no event may the Executive,
directly or indirectly, designate the calendar year of payment. All reimbursements provided under this Agreement shall be made
or provided in accordance with the requirements of section 409A, including, where applicable, the requirement that (i) any reimbursement
is for expenses incurred during the Executive’s lifetime (or during a shorter period of time specified in this Agreement),
(ii) the amount of expenses eligible for reimbursement during a calendar year may not affect the expenses eligible for reimbursement
in any other calendar year, (iii) the reimbursement of an eligible expense will be made on or before the last day of the calendar
year following the year in which the expense is incurred, and (iv) the right to reimbursement is not subject to liquidation or
exchange for another benefit.

 

    13 

     

    

 

(ii)       If
payment or provision of any amount or other benefit that is a “deferral of compensation” subject to section 409A of
the Code at the time otherwise specified in this Agreement or elsewhere would subject such amount of benefit to additional tax
pursuant to section 409A(a)(1)(B) of the Code, and if payment or provision thereof at a later date would avoid any such additional
tax, then the payment or provision thereof shall be postponed to the earliest date on which such amount or benefit can be paid
or provided without incurring such additional tax. In the event this Section 11(o)(ii) requires a deferral of any payment, such
payment shall be accumulated and paid in a single lump sum on such earliest date together with interest for the period of delay,
compounded annually, equal to the prime rate (as published in The Wall Street Journal), and in effect as of the date of
the payment should otherwise have been provided.

 

(iii)       If
any payment or benefit permitted or required under this Agreement is reasonably determined by either party to be subject for any
reason to a material risk of additional tax pursuant to section 409A(a)(1)(B) of the Code, then the parties shall promptly agree
in good faith on appropriate provisions to avoid such risk without materially changing the economic value of this Agreement to
either party.

 

(p)              
Survival. Sections 6, 7, 8 and 9 (as well as any provisions of this Agreement necessary to give effect thereto) shall survive
the termination of this Agreement.

 

IN WITNESS WHEREOF,
this Agreement has been executed as of the Effective Date.

 

	 	THE COMPANY:
	 	 	 
	 	BRAINSTORM CELL THERAPEUTICS INC.
	 	 	 
	 	By: 	/s/ Chaim Lebovits
	 	Name: Chaim Lebovits
	 	Title: President and Chief Executive Officer
	 	 	 
	 	 	 
	 	THE EXECUTIVE:
	 	 	 
	 	By: 	/s/ Ralph Kern, M.D.
	 	Name: Ralph Kern, M.D.
	 	Title: In his individual capacity

  

    14 

     

    

 

EXHIBIT A

 

Executive Duties

 

The Executive shall provide operational
support and overview of the Company and reports to the CEO.  The Executive’s core duties and responsibilities shall
include:

 

1. Work in close coordination with the CEO on major operational
activities of the Company, including without limitation, clinical operations and scientific research, external collaborations and
stakeholder engagements, commercial and marketing activities, regulatory affairs, and compliance.

 

2. Work in close coordination with the Company’s management
team to ensure adequate quality and compliance policies, procedures, monitoring and managerial controls are in place throughout
the organization and are effectively supporting all company operations.

 

3. Coordinate and fully execute the Company's Therapeutic Biologic
Applications (BLA) with the FDA.

 

4. Attend major external congresses at which Executive will
fully support and represent the Company's presence and commercial activities (and in particular, present those developments within
the Company which the Executive is requested to highlight by the CEO and/or the Board). Similarly, the Executive shall, in coordination
with the CEO and the Board, actively and continually present the Company to both institutional and retail investors during roadshows
and non-deal roadshows alike.

 

5. Work in close coordination with the CEO and the Company’s
executive management team to develop commercial strategies, including without limitation, the development of target product profiles,
forecasts, competitive intelligence and market research activities, go-to-market models, and approval of all agreements and contracts
supporting commercial activities.

 

6. Various other matters, including but not limited to direct
reports, administration, preparation for and participation in board meetings, and any other duties, services, responsibilities,
and authority which may need to be assigned to COO/CMO, from time to time, by the CEO or the Board.

 

7. Except while the Executive is travelling, the Executive will
work out of the Company’s Hackensack, NJ office, and will make commercially reasonable efforts to be present in the Company’s
office during normal business hours, Monday thru Friday.

 

    15 

     

    

 

AMENDMENT No. 1 TO
EMPLOYMENT AGREEMENT

 

This AMENDMENT
NO.1 TO EMPLOYMENT AGREEMENT (the “Amendment”) is effective as of March 3, 2017 (“Amendment Effective
Date”), by and between BRAINSTORM CELL THERAPEUTICS INC., a Delaware corporation with a mailing address of 3 University
Plaza Drive, Hackensack, NJ 07601 (the “Company”), and DR. RALPH KERN, an individual, with a mailing address
of 959 First Avenue, New York, NY 10022 (the “Executive”).

 

WITNESSETH:

 

WHEREAS,
Company and Executive entered into that certain Employment Agreement, dated February 28, 2017 (the “Agreement");
and

 

WHEREAS, Company and Executive desire to amend
and clarify the terms of their

Agreement as provided in this Amendment.

 

NOW, THEREFORE, it is hereby agreed as
follows:

 

1. The terms of the Agreement are hereby amended as
follows:

 

a. Paragraph 4(c) of the
Agreement is hereby deleted in its entirety and replaced with the following:

 

(c)
Equity Grant. On the Effective Date and on each anniversary thereafter, the Executive shall receive a grant of restricted
stock under the Company’s 2014 Stock Incentive Plan (or any successor or other equity plan then maintained by the Company)
comprised of a number of shares of common stock of the Company with a fair market value determined based on the closing price of
the Company’s common stock at the end of normal trading hours on the business day immediately preceding the Effective Date
according to Nasdaq equal to 30% of the Executive’s Base Salary (the “Equity Grant”). Each Equity Grant
shall be contingent upon Executive’s execution of one or more restricted stock agreements in such form and substance as may
reasonably be determined by the Company. Each Equity Grant shall vest as to twenty-five percent (25%) of the award on each of the
first, second, third and fourth anniversary of the date of grant, provided the Executive remains continuously employed by the Company
from the date of grant through each applicable vesting date. Each Equity Grant shall be subject to accelerated vesting upon a Change
of Control of the Company and such other accelerated vesting as provided in this Agreement or the Plan (and any award agreement
evidencing such grant, to the extent such award agreement contains more preferential terms). In the event of the Executive’s
termination of employment, the Executive shall retain his right to any vested shares (after taking into account any accelerated
vesting) and any portion of the Equity Grant that is not yet vested (after taking into account such accelerated vesting) shall
automatically be immediately forfeited to the Company, without the payment of any consideration to the Executive. In addition,
the Executive shall be entitled to receive additional equity or equity-based awards, including stock options, as determined by
the Board (or the Compensation Committee of the Board) in its sole discretion.

 

    16 

     

    

 

b. Paragraph 4(d) of the
Agreement is hereby deleted in its entirety and replaced with the following:

 

(d) Option
Grant. As an inducement to enter into the Agreement and commence employment with the Company, on the Effective Date, the Company
shall grant the Executive an option to purchase common stock of the Company (the “Option”) on shares with a
fair market value (as determined based on the closing price of the Company’s common stock at the end of normal trading hours
on the business day immediately preceding the Effective Date according to Nasdaq) of Two Hundred Thousand U.S. Dollars ($200,000)
on the Effective Date. The Option shall be fully vested and exercisable as of the date of grant and shall remain exercisable until
the 2nd anniversary of the date of grant, regardless of whether the Executive remains employed by the Company. The exercise price
per share shall be equal to the fair market value on the date of grant (as determined based on the price of the Company’s
common stock immediately preceding normal trading hours on the date of grant according to Nasdaq). The grant of the Option is also
contingent upon Executive’s execution of one or more stock option agreements in such form and substance as may reasonably
be determined by the Company which the parties will endeavor to execute within ten (10) days from their mutual execution of this
Agreement.

 

c. The Paragraph following Section 4(d) of the Agreement
(which isn’t numbered)

is hereby deleted in its entirety.

 

2.
Except as above amended, the Agreement is and shall remain in full force and effect and binding upon the parties.

 

3. This
Amendment may be executed in counterparts, each of which shall be an original, but all of which shall constitute one and the same
instrument. A signed copy of this Amendment delivered by facsimile, e-mail or other means of electronic transmission will be deemed
to have the same legal effect as delivery of an original signed copy hereof.

 

4. This Amendment shall be governed under the laws
of the State of New Jersey.

 

IN WITNESS WHEREOF, this Amendment has been executed
as of the Amendment Effective

Date.

 

 

	 	THE COMPANY:
	 	 	 
	 	BRAINSTORM CELL THERAPEUTICS INC.
	 	By: 	/s/ Chaim Lebovits
	 	Name: Chaim Lebovits
	 	Title: President and Chief Executive Officer
	 	 	 
	 	 	 
	 	THE EXECUTIVE:
	 	By: 	/s/ Ralph Kern, M.D.
	 	Name: Ralph Kern, M.D.
	 	Title: In his individual capacity

 

    17

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