Document:

EX-10.25

Exhibit 10.25

IN THE UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF SOUTH CAROLINA

ANDERSON/GREENWOOD DIVISION

	 	 	 	 	 	 	 
	ST Holdings, Inc. and FWLL, LLC,

	 	 	)	 	 	Civil Action No. 8:07-cv-01585-GRA
	 

	 	 	)	 	 	 
	Plaintiffs,

	 	 	)	 	 	 
	 

	 	 	)	 	 	 
	vs.

	 	 	)	 	 	 
	 

	 	 	)	 	 	 
	Rockwell Medical Technologies, Inc.,

	 	 	)	 	 	 
	 

	 	 	)	 	 	 
	Defendant.

	 	 	)	 	 	 
	 

	 	 	)	 	 	 
	 	 	 	 	 	 	 

MUTUAL RELEASE AND SETTLEMENT AGREEMENT

PLEASE READ CAREFULLY

          THIS MUTUAL RELEASE AND SETTLEMENT AGREEMENT (“Agreement”) memorializes the agreement entered
into on the 26th day of August, 2008, by and among Plaintiffs, FWLL, LLC and ST
Holdings, Inc. (collectively, the “Plaintiffs”) and Defendant, Rockwell Medical Technologies, Inc.
(“Defendant”) (collectively, the “parties’), and is intended to set forth the terms and conditions
of the agreement reached by the parties in connection with all disputes between them. This
Agreement is not and shall not be construed as an admission of liability or wrongdoing on the part
of any party hereto.

          WHEREAS, Plaintiffs initiated the above-captioned action (the “Litigation”), alleging claims
against Defendant for breach of contract, tenancy at will, conversion, trespass, trespass to
chattels, and gross negligence, all of which allegations are denied by Defendant;

 

 

          WHEREAS, Defendant answered Plaintiffs’ Complaint, denying liability to Plaintiffs;

          WHEREAS, the parties have agreed to amicably resolve the Litigation and to settle all matters
before them;

          NOW, THEREFORE, based on the mutual obligations set forth below and for such other good and
valuable consideration, the sufficiency of which is hereby acknowledged, the parties hereby agree
to the following settlement agreement:

          1. Unless the context plainly requires otherwise, the terms “Plaintiffs” includes Plaintiffs
FWLL, LLC and ST Holdings, Inc., in each and every capacity, together with their respective agents,
employees, subsidiaries, affiliates, investigators, insurers, attorneys, relatives, heirs,
executors, administrators, successors, and assigns. The term “Defendant” includes Rockwell Medical
Technologies, Inc., in each and every capacity, together with its respective agents, employees,
subsidiaries, affiliates, investigators, insurers, attorneys, relatives, heirs, executors,
administrators, successors, and assigns.

          2. Plaintiffs agree to irrevocably and unconditionally release and forever discharge Defendant
of and from any and all claims, damages, demands, actions, causes of action or suits at law,
whether in tort or in contract, in law or in equity, of any kind or nature whatsoever that may
exist or could be alleged to exist as of the date of this Agreement, including but not limited to
those claims asserted by Plaintiffs in the Litigation, for or because of any matter or thing done
or omitted to be done by Defendant, and the effects and results thereof, whether known or unknown
by Plaintiffs, from the beginning of time through the date of this Agreement. The parties
specifically acknowledge and agree, however, that this provision in no

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way prohibits any party from responding to a subpoena or any other lawful process issued by a
court or government agency.

          3. Defendant agrees to irrevocably and unconditionally release and forever discharge
Plaintiffs of and from any and all claims, damages, demands, actions, causes of action or suits at
law, whether in tort or in contract, in law or in equity, of any kind or nature whatsoever that may
exist or could be alleged to exist as of the date of this Agreement, for or because of any matter
or thing done or omitted to be done by Plaintiffs, and the effects and results thereof, whether
known or unknown by Plaintiffs, from the beginning of time through the date of this Agreement. The
parties specifically acknowledge and agree, however, that this provision in no way prohibits any
party from responding to a subpoena or any other lawful process issued by a court or government
agency.

          4. The parties represent and warrant that they have not assigned or transferred and that they
will not assign or transfer, any of the claims, or any portion thereof, which have or could have
been alleged or asserted in the Litigation and/or those which are being released or that are
contemplated by this Agreement, including, but not limited to, all claims, liens, obligations,
liabilities, charges, demands, actions, rights, debts, and causes of action, and from all liability
for legal or equitable relief of whatsoever nature, known or unknown, that they ever had, now have,
or may hereafter claim to have against any other party to the Litigation arising directly or
indirectly out of, in any way connected with, or related to, any facts, acts, conduct,
representations, omissions, contracts, claims, events, causes, matters, or things of any
conceivable kind or character, which were, or could have been, included in the Litigation.

          5. Within thirty (30) days of the execution of this agreement by all parties, Defendant will
make payment to Plaintiffs in the amount of THREE HUNDRED SEVENTY-

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FIVE THOUSAND AND 0/100 ($375,000.00) DOLLARS by delivery of settlement draft to the offices
of Nicholson & Anderson, 109 West Court Avenue, Greenwood, South Carolina 29646. This settlement
draft will be made payable to “FWLL, LLC, ST Holdings, Inc., and their attorneys, Nicholson &
Anderson.”

          6. On or before January 1, 2009, Defendant will make a second payment to Plaintiffs in the
amount of THREE HUNDRED SEVENTY-FIVE THOUSAND AND 0/100 ($375,000.00) DOLLARS by delivery of
settlement draft to the offices of Nicholson & Anderson, 109 West Court Avenue, Greenwood, South
Carolina 29646. This settlement draft will be made payable to “FWLL, LLC, ST Holdings, Inc., and
their attorneys, Nicholson & Anderson.”

          7. Within five (5) days of the execution of this agreement by both parties, a Consent
Stipulation of Dismissal with prejudice for the above-referenced civil action will be executed by
counsel for Plaintiffs and Defendant and filed with the Court.

          8. Plaintiffs and Defendant agree not to disparage one another in any manner, including with
respect to the allegations made in the Litigation.

          9. Plaintiffs and Defendant agree that the terms of the settlement set forth herein shall be
confidential except where disclosure is required by law.

          10. The parties mutually agree to cooperate and take all steps necessary and reasonable to
effectuate this Agreement.

          11. Nothing in this Agreement shall be construed as an admission by any party or its officers
or representatives of the validity of any claims by any other party or of any wrongdoing on their
part or on the part of any of its management representatives, and any such alleged wrongdoing
and/or liability is expressly denied.

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          12. The parties acknowledge they have received good and sufficient consideration for their
execution of this Agreement, and that the consideration stated herein is sufficient to support and
does, in fact, support the full and final release and waiver of all claims each may have against
the other.

          13. The parties expressly acknowledge and declare that no other or further contract, promise
or inducement whatsoever has been made to them by each other, that they have carefully read and
fully understand all of the provisions of this Agreement, that they have reviewed and discussed the
terms of this Agreement with their legal counsel and that the they have signed the Agreement of
their own free will and accord.

          14. The parties agree that they shall each bear their own attorneys’ fees, costs and expenses
associated with this action.

          15. The parties agree that this Agreement may be used in a subsequent proceeding in which
either of the parties alleges a breach of this agreement.

          16. The parties mutually agree that if any provision of this Agreement is found to be
unenforceable, said provision shall be severed from the Agreement and shall have no effect on the
enforceability of any other provision in the Agreement.

          17. This Agreement constitutes the complete understanding between the parties in this matter
and supersedes any and all prior or contemporaneous representations, promises, inducements,
understandings, and agreements. It may not be amended except by a written instrument signed by
Plaintiffs and Defendant.

          18. This Agreement may be executed in multiple counterparts, each of which shall be deemed an
original Agreement, and all of which shall constitute one agreement to be

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effected. Photocopies or facsimile copies of this Agreement may be treated as an original. A
duly authorized attorney may sign on behalf of a corporate entity.

          19. This Agreement shall be governed by the laws of the State of South Carolina and federal
law where applicable. The parties mutually agree that a breach of the terms of this Agreement
shall be deemed a violation of an Order of the Court.

          IN TESTIMONY WHEREOF, the parties have hereunto set their hands and seals the day and year
first written above.

[SIGNATURES ON FOLLOWING PAGE]

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	 	Rockwell Medical Technologies, Inc.
	 	 
	 
	 	 	 	 
	 

	 	/s/ Robert L. Chioini	 	 
	 

	 	 	 	 
	 

	 	By: Robert L. Chioini	 	 
	 

	 	Its: Chief Executive Officer	 	 
	 
	 	 	 	 
	 

	 	APPROVED:	 	 
	 
	 	 	 	 
	 

	 	/s/ Giles M. Schanen, Jr., Esq.	 	 
	 

	 	 	 	 
	Dated: September 24, 2008.

	 	Giles M. Schanen, Jr., Esq.	 	 
	 

	 	Counsel for Defendant	 	 
	 
	 	 	 	 
	 

	 	FWLL, LLC	 	 
	 
	 	 	 	 
	 

	 	/s/ Dwight Funderburk	 	 
	 

	 	 	 	 
	 

	 	By: Dwight Funderburk	 	 
	 

	 	Its: Managing Partner	 	 
	 
	 	 	 	 
	 

	 	APPROVED:	 	 
	 
	 	 	 	 
	 

	 	/s/ William H. Nicholson, Jr., Esq.	 	 
	 

	 	 	 	 
	Dated: September 24, 2008.

	 	William H. Nicholson, Jr., Esq.	 	 
	 

	 	Counsel for Plaintiff FWLL, LLC	 	 
	 
	 	 	 	 
	 

	 	ST HOLDINGS, INC.	 	 
	 
	 	 	 	 
	 

	 	/s/ J. Benjamin Lawrence	 	 
	 

	 	 	 	 
	 

	 	By: J. Benjamin Lawrence	 	 
	 

	 	Its: President	 	 
	 
	 	 	 	 
	 

	 	APPROVED:	 	 
	 
	 	 	 	 
	 

	 	/s/ William H. Nicholson, Jr., Esq.	 	 
	 

	 	 	 	 
	Dated: September 24, 2008.

	 	William H. Nicholson, Jr., Esq.	 	 
	 

	 	Counsel for Plaintiff, ST Holdings, Inc.	 	 

7EX-10.26

Exhibit 10.26

	 	 	 
	DATE:

	 	September 30, 2008
	 
	 	 
	PARTIES:

	 	Rockwell Medical Technologies, Inc. (the “Company”)
	 

	 	30142 Wixom Road
	 

	 	Wixom, MI 48393 USA
	 
	 	 
	 

	 	RJ Aubrey IR Services LLC (the “Advisor”)
	 

	 	PO Box 2801
	 

	 	Glen Ellyn, IL 60138-2801

RECITALS:

WHEREAS, the Company wishes to engage the Advisor to perform certain investor relations services.

WHEREAS, the Advisor declares that Advisor is engaged in an independent business or employed by a
party other than the Company and that the Company is not the Advisor’s sole and only client,
customer or employer.

WHEREAS, the parties hereto wish to enter into this Agreement for their mutual benefit, and further
wish to set forth the terms of such association herein.

AGREEMENTS:

NOW, THEREFORE, in consideration of the foregoing representations and the mutual covenants set
forth herein, and other good and valuable consideration, the receipt and sufficiency of which is
acknowledged, the Company and the Advisor agree as follows:

	1.	 	Services to be Performed. The Company hereby engages the Advisor to advise and
perform services for the Company consisting of investor relationship development for the
Company, liaison to the equity investment community and investor relations support services as
requested by the Company from time to time, including without limitation, message development,
PR coordination and website development and oversight, provision of investment statistical
information, investor monitoring and communications with the investment community, including
but not limited to retail investors, stock brokers, analysts, money managers, institutional
investors, mutual funds, broker-dealers, wire-houses, newspapers, television, and trade
publications. The Company and Advisor acknowledge that: (a) Advisor (through its employee,
Ronald J. Aubrey) is anticipated to devote substantive amounts of time and effort to investor
relations and related support services; (b) The scope of work hereunder does not include tax,
legal, regulatory, accounting or other technical advice; and (c) the Advisor is being retained
solely for the Company’s benefit and not for any third party, including the Company’s
shareholders.
	 
	2.	 	Fees, Terms of Payment and Warrant. The Company agrees as compensation to (a) pay
Advisor a monthly fee of $4,500 in cash or Company check, and (b) issue to the Advisor 60,000
cashless Common Stock Purchase Warrants (“Warrants”), for services rendered over an 18 month
period commencing July 1, 2008. The terms and conditions of the Warrants will be set forth in
a separate agreement containing the terms and conditions set forth in this paragraph and such
other terms and conditions as are mutually acceptable to the Company and the Advisor. The
Warrants will become earned as follows: (x) 20,000 Warrants upon execution of this Agreement,
(y) 20,000 additional Warrants on January 1, 2009 and (z) the remaining 20,000 Warrants on
July 1, 2009. The Warrants, once earned, will become exercisable on January 1, 2010 and will
have an exercise price of $6.50 per share. The Warrants, once earned, will expire at the
close of business on the fourth anniversary of the execution date of this Agreement. If this
Agreement is terminated (A) by the Company due to a material breach of this Agreement by
Advisor or (B) by Advisor, any unearned Warrants at the time of such termination will expire
and not become exercisable. A “material breach” would be either (1) a 

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	 	 	failure to perform, in
a commercially reasonable manner, the services required under paragraph 1 of this Agreement;
or (2) a breach of any of the representations in paragraph 5 of this Agreement. Once
exercisable, Warrants may be exercised in whole or in part at any time until their expiration
by the submission of an exercise notice in the form to be attached as an
exhibit to the Warrant agreement and payment as provided therein. Determination of compliance
with Federal and State securities laws will be at the sole discretion of the Company. To the
extent the shares issuable upon exercise are not registered prior to issuance, they will bear a
legend restricting transfer. The Warrants will not be transferable, other than to an affiliate
(as defined in Rule 405 under the Securities Act of 1933, as amended) of the Advisor (so long as
such affiliate is an “accredited investor” as defined below and agrees to be bound by the terms
and provisions of this Agreement and the Warrant agreement as if, and to the fullest extent as,
the Advisor, and will bear a legend to that effect). The Company reasonably believes that all
information it provides to Advisor is accurate and complete in all material respects. Company
acknowledges that Advisor shall be entitled to rely on all such information and materials.

	3.	 	Instrumentalities. The Advisor shall supply all equipment, tools, materials and
supplies to accomplish the designated jobs or services set forth in Paragraph 1, except if
approved by the Company.
	 
	4.	 	Expenses. The Company shall not be responsible or liable for any expenses incurred by
the Advisor in performing any jobs or services under this Agreement, except accountable
out-of-pocket expenses of Advisor related to the engagement and approved by the Company.
	 
	5.	 	The Advisor’s Status. This Agreement is not intended to, does not constitute and
shall not be construed as a hiring by either party. The parties hereto are and shall remain
independent contractors. The Advisor retains the sole and exclusive right to control or
direct the manner or means by which the jobs or services described herein are to be performed.
The Company retains only the right to control the results to insure their conformity with that
specified herein.
	 
	 	 	The Advisor shall comply with all federal, state and local laws, and rules and regulations that
are now or may in the future become applicable to the Advisor, its business, equipment and
personnel engaged in accomplishing the jobs or services provided under this Agreement or arising
out of the performance of this Agreement.
	 
	 	 	Advisor represents that Advisor is an “accredited investor” as defined in Rule 501 of Regulation
D promulgated under the Securities Act of 1933 and was not organized for the purpose of
acquiring the Warrants or the underlying shares. Advisor’s financial condition is such that
Advisor is able to bear the risk of holding the Warrants and the shares underlying the Warrants
for an indefinite period of time. Advisor has sufficient knowledge and experience in investing
in companies similar to the Company so as to be able to evaluate the risks and merits of
Advisor’s investment in the Company and has so evaluated the risks and merits of such
investment. Advisor understands that an investment in the Warrants and the shares underlying the
Warrants involves a significant degree of risk, including a risk of total loss of Advisor’s
investment, and understands the risk factors included, or that may be included in the future, in
the Company’s periodic reports filed from time to time with the Securities and Exchange
Commission. Advisor is acquiring the Warrants and the shares underlying the Warrants for
Advisor’s own account for investment and not for resale or with a view to distribution thereof
in violation of the Securities Act of 1933.
	 
	6.	 	Payroll or Employment Taxes. The Advisor will not be treated as an employee for
federal, state or local tax purposes or for any other purpose. No payroll or employment taxes
of any kind shall be withheld or paid with respect to payments to the Advisor, including but
not limited to FICA, FUTA, federal personal income tax, state personal income tax, state
disability insurance tax, and state unemployment insurance tax. The Advisor agrees that
Advisor is responsible for making all filings with and payments to the Internal Revenue
Service and state and local taxing authorities as are appropriate.
	 
	7.	 	Workers’ Compensation, Unemployment Compensation, Benefits. No workers’ compensation
insurance has been or will be obtained by the Company for the Advisor. The Advisor understands
that 

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	 	 	Advisor is not entitled to unemployment compensation benefits or any other benefits
normally afforded to any employee of the Company.

	8.	 	Termination. This Agreement will terminate on December 31, 2009 and may be terminated
prior to that date by either party upon 30 days written notice in advance of termination.
Following termination, neither party shall have any continuing liability or obligations
hereunder.
	 
	9.	 	Law Governing Contract. This Agreement and all questions arising in connection with
it shall be governed by the laws of the State of Michigan.
	 
	10.	 	Entire Agreement. This Agreement states the entire Agreement of the parties, and
merges all prior negotiations, agreements and understandings, if any, except for any
confidentiality agreements between the parties. No modification, release, discharge or waiver
of any provision hereof shall be of any force or effect unless made in writing and signed by
the parties hereto. This Agreement shall inure to the benefit of and be binding upon the
parties hereto and their representative laws, personal representatives, successors and
assigns, provided that neither party may assign the Agreement without the other party’s prior
written consent.

IN WITNESS WHEREOF, the parties have executed this Agreement as of the date stated on the first
page of this Agreement.

	 	 	 	 	 	 	 
	 	 	“COMPANY”	 	 
	 
	 	 	 	 	 	 
	 	 	Rockwell Medical Technologies, Inc.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Robert L. Chioini	 	 
	 

	 	 	 	Robert L. Chioini	 	 
	 
	 	 	 	 	 	 
	 

	 	     Its: Chairman/CEO/President	 	 
	 
	 	 	 	 	 	 
	 	 	ADVISOR	 	 
	 
	 	 	 	 	 	 
	 	 	RJ AUBREY IR SERVICES LLC	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Ronald J. Aubrey	 	 
	 

	 	 	 	Ronald J. Aubrey	 	 
	 
	 	 	 	 	 	 
	 

	 	     Its: President	 	 

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