Document:

Exhibit 10.2 

 

October 8, 2020

 

By Email

 

Kenneth Kirkland

 

RE:          Retention Compensation

 

Dear Ken:

 

On behalf of RenovaCare, Inc. (the “Company”),
in recognition of our belief that your skills, expertise and knowledge will prove helpful to the Company’s progress, I am
pleased to provide the terms and conditions regarding your ongoing compensation for your services as a member of the Company’s
Board of Directors. In consideration therefor, you agree to serve in such capacity until the next annual meeting of stockholders
(or, stockholder consent in lieu of such annual meeting), or your earlier resignation or removal.

 

As compensation for your service on the Board,
effective for the calendar quarter ended September 30, 200 you will receive an annual retainer of $ 20,000, (the “Retainer”)
payable in four equal quarterly payments, in arrears, on the last business day of each calendar quarter (each a “Payment
Date”) of $5,000, plus reimbursement of certain out-of-pocket costs incurred in connection with your activities as
a Board member. The Retainer shall be prorated for any portion of your tenure as a member of the Board which is less than
a calendar quarter.  

 

In addition, you may be eligible for future
equity awards in the discretion of the Board.

 

The Company will reimburse you for any reasonable
expenses incurred by you in connection with your travel on behalf of the Company, provided that you furnish the Company with invoices,
with receipts and other appropriate supporting documentation evidencing such expenses within 30 days of incurrence, and otherwise
comply with the Company’s travel and expense reimbursement policies as may be in effect from time to time. Any expenditures
of more than $250, individually, or collectively in any calendar quarter, shall require the Company’s prior written approval.

 

In addition, the Company will provide you coverage under its D&O
insurance policy as in effect from time to time.

 

In accepting this offer, you are representing
to the Company (i) that you will devote adequate time and effort to perform your duties in a manner consistent with prevailing
professional standards, (ii) that you do not know of any conflict which would restrict your ability to consult with the Company
or serve on the Board, and (iii) that you will not provide the Company with any documents, records, or other confidential information
belonging to other parties.  You further represent that during the term of your service on the Board, you will not engage
in any activity that competes with or creates an actual conflict of interest with the Company, and that you will notify the Board
before engaging in any activity that creates a potential conflict of interest with the Company. 

 

     

     

    

As a condition of your service on the Board
and in accordance with your fiduciary duty to the Company, you agree to hold in strict confidence and trust, and not to use or
disclose, any confidential information you receive or learn in connection with your service on the Board.  In the event
your service on the Board is terminated for any reason, you agree to return to the Company any materials received by you in the
course of your service relating to the Company or the Board or to retain the confidentiality of the confidential information you
may have received until such time as such information is no longer confidential.

 

Your service on the Board is entirely “at
will” for both you and the Company.  As a result, you are free to terminate your role as a Board member
at any time, for any reason.  Similarly, you may be removed by the Company as a Board member at any time, with or without
cause, subject only to compliance with applicable law and the Company’s governing documents.  Nothing in this letter
creates any offer of employment or employment relationship between you and the Company.

 

If the foregoing terms are agreeable, please
indicate your acceptance by signing this letter in the space provided below and returning this letter to the Company.  We
look forward to your continuing service as a member of the Board.

 

Sincerely,

 

 

RenovaCare, Inc.

 

 

 

By: /s/ Alan L. Rubino

 

Name: Alan L. Rubino

 

Title: President and Chief Executive Officer, and Member of
the Board

 

 

 

 

The foregoing terms are agreed to and accepted on this 14th day of October, 2020:

 

	By:	/s/ Kenneth Kirkland

                                             

	Name:	Kenneth KirklandExhibit
10.4

 

This
Right of First Refusal and Corporate Opportunities Agreement (this “Agreement”) is made as
of July 29, 2020 (the “Effective Date”) by and among RenovaCare. Inc. (“RCAR” or the
“Company”)), StemCell Systems GmbH (“SCS), an entity formed and existing under the
laws of Germany, Jörg Gerlach, an individual (“Gerlach”) and
Reinhard Bornemann, an individual (“Bornemann”). Gerlach and Bornemann are collectively herein sometimes referred to
as the “SCS Stockholders;” the SCS Stockholders and SCS are collectively referred to as the “SCS
Group”); and RCAR, SCS, and the SCS Stockholders are sometimes individually referred to in this Agreement as a “Party”
and collectively, as the “Parties.”

RECITALS:

 

Whereas,
RCAR is a developer of patented technologies for spraying self-donated stem cells for the
regeneration of skin and other organs and tissues (the “Company’s Technologies”);

 

Whereas,
SCS is experienced in, among other things, applied human cell, stem cell, and progenitor
cell sciences and associated bioengineering for regenerative medicine therapies;

 

Whereas,
the Parties have had a strategic collaboration relationship since 2013;

 

Whereas,
RCAR and SCS have entered into the Strategic R&D Agreement dated July 1, 2020 (the “Strategic R&D Agreement”)
the for the purpose of further enhancing the collaborative research relations that exists between RCAR’s and the SCS Group;

 

Whereas,
the SCS Stockholders own all of the issued and outstanding ownership interests of SCS (the “SCS Ownership Interests”)
as more fully set forth on Exhibit A attached to this Agreement;

 

Whereas,
in light of the Parties long established and ongoing collaboration regarding RCAR’s Technologies and in order to ensure that
(i) such continue collaboration as contemplated by the Strategic R&D Agreement, is not disrupted or mitigated, and (ii) that
the Service Goals are achieved, the Parties believe it to be in their respective best interests to enter into this Agreement pursuant
to which the SCS Group grants a right of first refusal and first offer to RCAR with respect to certain the SCS Group Inventions
and related SCS Intellectual Property Rights (as those terms are defined below), all on the terms and conditions set forth in this
Agreement.

 

Now,
Therefore, in consideration of the mutual covenants and agreements set forth herein, and for other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

 

1.        Definitions.

 

For purposes of this Agreement the following
terms shall have the meanings ascribed thereto below:

 

“Affiliate”
means, with respect to any Person, any other Person directly or indirectly controlling, controlled by or under common control with
such Person; for the purpose of this definition, the term “control” (including, with correlative meanings,
the terms “controlling”, “controlled by” and “under common control
with”), as used with respect to any Person, shall mean the possession, directly or indirectly, of the power to direct
or cause the direction of the management and policies of such Person, whether through the ownership of voting securities, by contract
or otherwise.

 

    	 	1	 

     

    

“Business
Day” means any day except a Saturday, Sunday or other day on which commercial banks in New York City are authorized
by law to close.

 

“Intellectual
Property Rights” means all rights in and to U.S. and foreign
(i) patents, patent disclosures, inventions (ii) trademarks,
trademark applications and registrations, service marks, trade dress, trade names, logos,
corporate names and domain names, and other similar designations of source or origin, together with the goodwill symbolized by
any of the foregoing, (iii) copyrights and copyrightable works (including computer programs), and rights in data and databases,
(iv) other confidential information, and (v) all other intellectual property rights, in each case whether registered or unregistered
and including all registrations and applications for, and renewals or extensions of, such rights, and all similar or equivalent
rights or forms of protection in any part of the world.

 

“Permitted
Transferee” means;

 

(i) with
respect to any SCS Stockholder who is an individual, any spouse, lineal descendant, sibling, parent, heir, executor, administrator,
testamentary trustee, legatee or beneficiary of such SCS Stockholder or a trust, the beneficiaries of which, or a corporation or
partnership, the shareholders or partners of which, include only such Stockholder and any spouse, lineal descendant, sibling, parent
or heir of such SCS Stockholder;

 

(ii) with
respect to any Stockholder that is an entity, any general or limited partner, member, shareholder or Affiliate of such SCS Stockholder,
or to a trust the beneficiaries of which include only such general or limited partner, member, shareholder or Affiliate; and

 

(iii) with
respect to any SCS Stockholder that is a trust whose beneficiaries consist of one or more of the spouse, lineal descendant, sibling,
parent, heir, executor, administrator, testamentary trustee, legatee or testamentary beneficiary of the settlor of such trust,
any beneficiary of that trust or any other trust for the benefit of one or more of such beneficiaries.

 

“Person”
means an individual, corporation, limited liability company, partnership, association, trust or other entity or organization, including
a government or political subdivision or an agency or instrumentality thereof.

 

“SCS
Inventions” means, with respect to skin, burns and wounds, any discoveries, developments, concepts, designs, ideas, know
how, modifications, improvements, derivative works, inventions, trade secrets and/or original works of authorship, whether or not
patentable, copyrightable or otherwise legally protectable made, developed or created by any member of the SCS Group solely or
jointly with SCS employees, consultants or affiliates otherwise than in connection with, or as a result of, the services performed
for RCAR, or based upon Confidential Information, or otherwise in connection with the Consulting Relationship as defined in the
Strategic R&D Agreement.

 

“SCS Intellectual
Property Rights” means all Intellectual Property Rights related to SCS Inventions.

 

2.       Right
of First Refusal with Respect to the Sale of SCS Ownership Interests.

 

2.1       Transfer
of SCS Ownership Interests.

 

    	 	2	 

     

    
2.1       No
Transfer Without Compliance. During the Term, no SCS Stockholder shall sell, assign, transfer, pledge, hypothecate or otherwise
dispose of, by operation of law or otherwise (collectively, “Transfer”) any of the SCS Ownership Interests,
or any interest therein during the term of this Agreement without complying with the terms of this Section 2 other than
pursuant to a Permitted Transferee (as defined in Section 1). During the term of this Agreement SCS shall not offer or sell
any shares of stock or other securities representing ownership interests in SCS without the prior written consent of RCAR and the
purchaser of such securities agreeing in writing be bound by the terms and conditions of this Agreement.

 

2.2       Offeror
and Offer Notice. In the event that a SCS Stockholder (“Selling SCS Stockholder”) receives a bona fide written
offer (a “Third-Party Offer”) from a third party (a “Third-Party Offeror”) to acquire the
Selling SCS Stockholder’s SCS Ownership Interests which Third-Party Offer the Selling SCS Stockholder desires to accept,
the Selling SCS Stockholder, upon receipt of the Third-Party Offer, shall provide RCAR with written notice thereof, specifying
the number of SCS Ownership Interests to be transferred, the price per share, payment and other terms (along with a copy of the
Third-Party Offer (the “Selling SCS Stockholder Notice”) to RCAR , which shall constitute an irrevocable offer
(the “Selling SCS Stockholder Offer”) to sell such SCS Ownership Interests to RCAR on substantially the terms
and conditions set forth in the Third-Party Offer.

 

2.3       Acceptance
by RCAR. RCAR shall be entitled to accept the Selling SCS Stockholder Offer to purchase all of such offered SCS Ownership Interests
set forth in the Selling SCS Stockholder Notice by delivering a written notice (the “RCAR Acceptance”) to the
Selling SCS Stockholder within ten (10) Business Day period following delivery of the Selling SCS Stockholder Notice; provided
that the total number of SCS Ownership Interests to be purchased by RCAR must equal in the aggregate the number of SCS Ownership
Interests specified in the Selling SCS Stockholder Notice.

 

2.4       Non-Acceptance
by RCAR.

 

2.4.1       If
the offer set forth in the Selling SCS Stockholder Notice is not accepted by RCAR within such 10 Business Day period, such offer
shall be deemed to be rejected and terminated, and the Selling SCS Stockholder shall be free to sell all of the SCS Ownership Interests
to the Third-Party Offeror who delivered the Third-Party Offer, but only upon the same or no more favorable terms and conditions
than shall have been contained in the Selling SCS Stockholder Notice; provided, however, that if the transaction contemplated by
the Third-Party Offer shall not have been consummated within fifteen (15) Business Days after the termination of the aforementioned
10 Business Day period the Selling SCS Stockholder's right to Transfer such SCS Ownership Interests to the Third-Party Offeror
shall terminate, and such SCS Ownership Interests shall again be subject to this Agreement to the same extent as if never originally
offered to RCAR.

 

2.4.2       Upon
any such sale to a third party, notice of such sale shall be given by the Selling SCS Stockholder to RCAR. Notwithstanding the
foregoing, no Transfer to a Third-Party Offeror shall be effective unless, prior to acquiring any such SCS Ownership Interests
in such a Transfer, such Offeror executes and delivers to RCAR a copy of this Agreement, and thereby agrees to be bound by each
and every provision imposed hereunder upon SCS Stockholders.

 

2.5       Closing.
The purchase price payable under the terms of the Selling SCS Stockholder Offer by RCAR to the Selling SCS Stockholder shall be
due and payable on the terms and conditions specified in the Selling SCS Stockholder Notice, against delivery of certificates evidencing
all of the securities so purchased, duly endorsed for transfer free and clear of any and all liens, charges and encumbrances, and
with any and all required transfer tax stamps affixed. If no time for such closing is specified in the Offer Notice, then the closing
of such sale shall occur on a date mutually agreeable to the Selling SCS Stockholder and RCAR.

 

    	 	3	 

     

    
2.6       A
Transfer to a Permitted Transferee. Subject to the foregoing, any SCS Stockholder may at any time Transfer any or all of his
SCS Ownership Interests to a Permitted Transferee without the consent of any Person, so long as (a) such Permitted Transferee
shall have agreed in writing to be bound by the terms of this Agreement by executing a joinder agreement in the form of Exhibit
A attached hereto; (b) the Transfer is in compliance with applicable laws and any other restrictions on Transfer contained
in this Agreement. Such SCS Stockholder must give written prior notice to RCAR of any proposed Transfer to a Permitted Transferee,
including the identity of such proposed Permitted Transferee and such other information reasonably requested by RCAR to ensure
compliance with the terms of this Agreement.

 

3       Right
of First Offer with Respect to the SCS Ownership Interests.

 

3.1       First
Offer Notice.

 

3.1.1       Each
of the SCS Stockholders (the “Offering SCS Stockholder”) hereby agrees that during the Term, should he desire
to sell any SCS Ownership Interest owned by him (the “ROFO SCS Ownership Interests”), he shall not enter into
any discussions, negotiations or agreement with any third party for the purchase and/or sale of any ROFO SCS Ownership Interests
without first offering RCAR the right to purchase such ROFO SCS Ownership Interests, by delivering to RCAR written notice thereof
(the “ROFO SCS Ownership Interests Notice”), which ROFO SCS Ownership Interests Notice shall set forth
the material business terms of such proposal including, without limitation, such Offering SCS Stockholder’s proposed sales
price, payment method, number of ROFO SCS Ownership Interests and other principal terms. RCAR shall have the option to purchase
the ROFO SCS Ownership Interests, which RCAR shall exercise by delivering irrevocable notice to the Offering SCS Stockholder, (the
“ROFO Acceptance Notice”) or a counter proposal (the “ROFO Counter Proposal”), within ten
(10) Business Days of the giving of the ROFO SCS Ownership Interests Notice, which ROFO Counter Proposal shall set forth RCAR’s
counter proposals to the operative terms and conditions set forth in the ROFO SCS Ownership Interests Notice on which RCAR would
be willing to purchase he ROFO SCS Ownership Interests.

 

3.1.2       If
the Offering SCS Stockholder does not accept the ROFO Counter Proposal as evidenced by his written notice of non-acceptance (the
“CP Non-acceptance Notice”) which CP Non-acceptance Notice shall state that the ROFO Counter Proposal is rejected
and, at the option of the Offering SCS Stockholder, may also set forth the Offering SCS Stockholders final proposal if any (the
“Offering SCS Stockholder Final Proposal”); if an Offering SCS Stockholder Final Proposal is set forth in the
CP Non-acceptance Notice, RCAR shall then have three (3) Business Days from the date of the CP Non-acceptance Notice to agree to
accept or reject the SCS Stockholder Final Proposal, by providing the Offering SCS Stockholder written notice thereof.

 

Failure by RCAR to
provide the notice contemplated by this Section 3.1.2 as to its acceptance or rejection of the SCS Stockholder Final Proposal
shall be deemed to constitute a rejection of such SCS Stockholder Final Proposal. If RCAR does not accept the SCS Stockholder’s
Final Notice, then the Parties shall have such rights as are set forth in Section 3.2.

 

3.2       Non-Acceptance
of the ROFO SCS Ownership Interests Notice or the ROFO Counter Proposal. Subject to the further provisions of Section 3.3,
upon rejection of the SCS Stockholder Final Proposal or the ROFO SCS Ownership Interests Notice, as the case may be, the Offering
SCS Stockholder shall thereafter be free to offer for sale (and sell) the ROFO SCS Ownership Interests.

 

    	 	4	 

     

    

3.3       Re-offer.
Anything in Sections 3.1 and 3.2 to the contrary notwithstanding:

 

3.3.1       If
the Offering SCS Stockholder is subsequently willing to sell the ROFO SCS Ownership Interests on terms which are “substantially
more favorable” to a third party purchaser than the terms set forth in the SCS Stockholder Final Proposal or the ROFO SCS
Ownership Interests Notice, as applicable, then such Offering SCS Stockholder shall provide RCAR with a revised ROFO SCS Ownership
Interests Notice (the “Revised ROFO SCS Ownership Interests Notice”) in accordance with the terms of this Section 3.3
setting forth such revised terms of offer, and RCAR shall have all of the same rights with respect to the Revised ROFO Notice,
as are set forth in this Section 3, except that RCAR must deliver an Acceptance Notice within five (5) Business Days
of the giving of such Revised ROFO SCS Ownership Interests Notice. Time shall be of the essence as to RCAR’s giving of any
Acceptance Notice. Failure to do so shall be deemed a rejection of the Revised ROFO SCS Ownership Interests Notice and the Offering
SCS Stockholder may again proceed to offer and sell the ROFO SCS Ownership Interests pursuant to Section 3.2.

 

3.3.2       If
the Offering SCS Stockholder has not sold the ROFO SCS Ownership Interests within six (6) months of the expiration of the time
frame set forth in Section 3.1 above, then the Selling SCS Stockholder's right to Transfer such SCS Ownership Interests
to a third party purchaser shall terminate, and such SCS Ownership Interests shall again be subject to this Agreement to the same
extent as if never originally offered to RCAR.

 

3.4       Closing.
If accepted. a closing of the transactions contemplated by this Section 3 shall occur within ten (10) Business Days of the
Acceptance Notice.

 

4.Disclosure of SCS Inventions.Within
thirty-days of the development, creation or making of a SCS Invention the “Disclosable SCS Invention”), and
prior to the disclosure thereof to any third party, the SCS Group member (the “Disclosing SCS Member”) who developed,
created or made such SCS Invention shall provide RCAR with notice thereof (the “SCS Invention Disclosure Notice”),
which notice shall set forth pertinent information regarding such SCS Invention so as to permit RCAR to assess the SCS Invention
for possible acquisition or license in accordance with Section 5.

 

5.       First
Option to Purchase SCS Inventions.

 

5.1Option to Purchase

 

5.1.1       Each
member of the SCS Group hereby agrees that during the Term, RCAR shall have twenty (20) Business Days from the date of the disclosure
by such member of the SCS Group claiming ownership rights in and to the Disclosable SCS Invention (the “Disclosing SCS
Member”) of the Disclosable SCS Invention to RCAR, to review and assess each Disclosable SCS Invention for its potential
acquisition or licensing by RCAR (the “Review Period”).

 

5.1.2       During
the Review Period, RCAR may ask the Disclosing SCS Member for such additional information as RCAR may reasonably require in order
to complete its assessment of the Disclosable SCS Invention; the SCS Group shall provide such additional information in as expeditious
a manner as possible or advise RCAR in writing that the requested information is not available or cannot be provided without undue
expense. The Review Period shall toll pending delivery of the requested information or notice of unavailability.

 

5.1.3       Following
an assessment of the Disclosable SCS Invention but prior to the expiration of the Review Period, RCAR shall provide the Disclosing
SCS Group Member with written notice (the “RCAR SCS Invention Notice”) which shall state that either RCAR has
(i) no interest in acquiring or licensing the Disclosable SCS Invention or (ii) an interest in acquiring or licensing the Disclosable
SCS Invention.

 

    	 	5	 

     

    

5.1.4       If
RCAR has an interest in acquiring or licensing the SCS Invention RCAR and the Disclosing SCS Member shall have ten (10) Business
Days following the date of the RCAR SCS Invention Notice to negotiate mutually agreeable terms for RCAR’s acquisition or
licensing of the Disclosable SCS Invention (the “Negotiation Period”). To facilitate this process RCAR first
shall provide the Disclosing SCS Member with a written purchase proposal setting forth the principal terms on which RCAR is willing
to purchase the Disclosable SCS Invention (the “RCAR Purchase Proposal”).

 

5.1.5       If
the RCAR Purchase Proposal is accepted, the Disclosing SCS Member and RCAR shall proceed to consummation of the RCAR Purchase Proposal
pursuant to Section 5.3.

 

5.1.6       If
the RCAR Purchase Proposal is not accepted the Disclosing SCS Member and RCAR shall continue discussions and negotiations for the
balance of the Negotiation Period. At any time during the Negotiation Period, the Disclosing SCS Member may, but is not obligated
to, provide in writing a final proposal setting forth the terms it or he is, will or is willing to sell or license the Disclosable
SCS Invention (the “Disclosing SCS Member’s Final Proposal”) following which RCAR shall have three (3)
Business Days to provide written notice to the Disclosing SCS Member either accepting or rejecting the Disclosing SCS Member’s
Final Proposal. Failure to provide such written notice of acceptance or rejection within the aforesaid 3-Business Day period shall
be deemed a rejection by RCAR.

 

5.1.7       If
the Disclosing SCS Member’s Final Proposal is accepted the Disclosing SCS Member and RCAR shall proceed to consummation of
the RCAR Purchase Proposal pursuant to Section 5.3.

 

5.1.8       If
the Disclosing SCS Member’s Final Proposal is not accepted, then, subject to the further provisions of Section 5.2,
the Disclosing SCS Member may proceed to sell or license the Disclosable SCS Invention to a third party.

 

5.2       Re-Offer.

 

Anything in Sections
5.1 to the contrary notwithstanding:

 

5.2.1       If
the Disclosing SCS Member is subsequently willing to sell or license the Disclosable SCS Invention on terms which are “substantially
more favorable” to a third party purchaser than the terms set forth in the Disclosing SCS Member’s Final Proposal,
or the RCAR Purchase Proposal (if a Disclosing SCS Member’s Final Proposal was not provided), as applicable in which case
the Disclosing SCS Member shall provide RCAR with notice of the terms and conditions of the proposed sale or license to such third
party(the “Invention Offer Notice”), and RCAR shall have all of the same rights with respect to the Revised
ROFO Notice, as set forth in this Section 3 except that RCAR must deliver a written notice (the “Invention Acceptance
Notice”) within five (5) Business Days of the giving of such Invention Offer Notice. Time shall be of the essence
as to RCAR’s giving of any Invention Acceptance Notice. Failure to provide the Invention Acceptance Notice shall be deemed
a rejection of the Invention Offer Notice and the Offering SCS Stockholder may again proceed to offer, sell or license the Disclosable
SCS Invention in accordance with Section 5.1.8 above.

 

5.2.2       If
the Disclosing SCS Member has not sold or licensed the Disclosable SCS Invention within six (6) months of the expiration of the
time frame set forth in Section 5.1 above, RCAR shall again have the rights set forth in Section 5.1 as to the Disclosing SCS Member’s
Disclosable SCS Invention.

 

    	 	6	 

     

    

5.3       Closing.
Subject to the preparation, execution, delivery of definitive documents relating to any proposed transaction, a closing of the
transactions contemplated by this Section 5 shall occur within ten (10) Business Days of the Acceptance of the RCAR Final
Proposal or the RCAR Acceptance Notice.

 

6.        Option
to Purchase RCAR Stock.

 

6.1       Grant;
Number of Shares.

 

6.1.1Grant
Date and Number of Shares. On the Effective Date of this Agreement, and as a further inducement to the SCS Group to enter into
this Agreement, RCAR shall grant to SCS an option (the “SCS Stock Purchase Right”) to purchase up to nine hundred
ninety-nine thousand nine hundred ninety-nine (999,999) shares of RCAR’s common stock at a price per share equal to the Per
Share Fair Market Value (as defined below) on the date of grant (the “Exercise Price”). For purposes of this
Agreement the “Per Share Fair Market Value” of shall mean, if the RCAR ’s Common Stock is:

 

(i) publicly traded,
the closing price of the RCAR’s Common Stock as quoted on the OTC Market Group’s Pink Sheets, or on such other exchange
or trading platform on which the RCAR’s Common Stock may then be listed or quoted for trading, on the date of grant; or

 

(ii) not so publicly
traded, the fair market value as is determined in good faith by the Board of Directors of RCAR after taking into consideration
factors it deems appropriate, including, without limitation, recent sale and offer prices of RCAR’s Common Stock in private
transactions negotiated at arm’s length.

 

6.1.2       Payment
Methods.

 

6.1.2.1 The portion
of the SCS Stock Purchase Right that has vested, as set forth in Section 6.2 below, shall be exercisable by delivery to
RCAR of a written or electronic notice, substantially in the form of annexed to the Derivative Security Agreement, stating the
number of whole shares to be purchased and accompanied by payment of the full purchase price of the shares of to be purchased
Fractional share interests, if any, shall be disregarded except that they may be accumulated.

 

6.1.2.2The
Exercise Price of the SCS Stock Purchase Right shall be paid: (i) in cash or by certified check or bank draft payable to the order
of RCAR; (ii) by delivering, along with a properly executed exercise notice to RCAR, a copy of irrevocable instructions to a broker
to deliver promptly to RCAR the aggregate purchase price, provided, however, that such exercise may be implemented solely under
a program or arrangement established and approved by RCAR with a brokerage firm selected by RCAR; (iii) at any time prior to the
RCAR’s listing of any of its securities for trading on a national stock exchange, pursuant to “a net issue” or
“cashless” exercise basis or, (iv) by any other procedure approved by the Board or its Compensation Committee, if any,
or by a combination of the foregoing.

 

6.1.3       Derivative
Security Agreement. The SCS Stock Purchase Right shall be subject to the terms and conditions of a derivative security agreement
to be executed as of the Effective Date containing the terms, conditions, and provisions set forth in Section 6.2 below
as well as such other terms, conditions and provisions as are generally included in such agreements (the “Derivative Security
Agreement”).

 

6.2       Additional
Terms of the SCS Stock Purchase Right.

 

    	 	7	 

     

    

6.2.1       Term
of the SCS Stock Purchase Right. The term of the SCS Stock Purchase Right shall be six (6) years from the Effective Date.

 

6.2.2.       Vesting.

 

6.2.2.1       Vesting.
The SCS Stock Purchase Right shall vest as follows:

 

(a) as to 99,999 shares
on the date of grant; and

 

(b) as to the remaining
900,000 shares in 36 equal monthly installments, in arrears during the Initial Term, in arrears, commencing on August 31, 2020
and continuing monthly thereafter. Upon earlier termination of this Agreement as provided in Section 7, except as otherwise
provided in Sections 6.2.2.2 and 6.2.2.3 below, the SCS Stock Purchase Right shall terminate and no further vesting
of the SCS Stock Purchase Right shall occur.

 

6.2.2.2Acceleration
upon Change in Control. In the event that, following a Change of Control (as defined below), the Strategic R&D Agreement
is terminated without Cause during the Initial Term then all unvested stock option hereunder, regardless of date or condition of
vesting, shall vest as of the date of such termination. If, upon the Change of Control, (i) RCAR shall cease to be a stand-alone
publicly traded entity, or (ii) the acquiring entity is unwilling to assume the equity in an economically equivalent manner,
then in either event, all equity shall be deemed to have vested two (2) days prior to the Change of Control, but only if such
Change of Control shall actually be consummated.

 

For the purposes this
Agreement, “Change of Control” shall mean:

 

(i) the acquisition
by any individual, entity or group (within the meaning of Section 13(d)(3) or 14(d)(2) of the Securities Exchange Act of 1934,
as amended (the “Exchange Act”)), other than any individual, entity or group which, as of the date of this Agreement,
beneficially owns more than ten percent (10%) of the then outstanding shares of common stock of RCAR (the “Common
Stock”), of beneficial ownership (within the meaning of Rule 13d-3 promulgated under the Exchange Act) of fifty percent
(50%) or more of the then outstanding Common Stock; provided, however, that any acquisition
by RCAR or its subsidiaries, or any employee benefit plan (or related trust) of RCAR or its subsidiaries of fifty percent (50%) or
more of outstanding Common Stock shall not constitute a Change of Control, and provided, further, that
any acquisition by an entity with respect to which, following such acquisition, more than fifty percent (50%) of the then-outstanding
equity interests of such entity, is then beneficially owned, directly or indirectly, by all or substantially all of the individuals
and entities who were the beneficial owners of the outstanding Common Stock immediately prior to such acquisition of the outstanding
Common Stock, shall not constitute a Change in Control; or

 

(ii) the consummation
of a reorganization, merger or consolidation (any of the foregoing, a “Merger”), in each case, with respect
to which all or substantially all of the individuals and entities who were the beneficial owners of the outstanding Common Stock
immediately prior to such Merger do not, following such Merger, beneficially own, directly or indirectly, more than fifty percent
(50%) of the then outstanding shares of common stock of the corporation resulting from Merger; or

 

(iii) the
sale or other disposition of all or substantially all of the assets of RCAR, excluding (a) a sale or other disposition of
assets to a subsidiary of RCAR; and (b) a sale or other disposition of assets to any individual, entity or group which, as
of the date of this Agreement, beneficially owns more than ten percent (10%) of the then outstanding Common Stock.

 

    	 	8	 

     

    

6.2.2.3Earlier Termination.Upon
earlier termination of this Agreement as provided in Section 7:

 

(i)       if
the basis for termination by RCAR is Section 7.2.1, there shall be no further vesting of the SCS Stock Purchase Right and
the vested and unvested portion of the SCS Stock Purchase Right shall be forfeited and cancelled;

 

(ii)       if
the basis for termination by RCAR was without Cause, then the unvested portion of the SCS Stock Purchase Right shall vest immediately
as of the date of such termination and to the extent vested, the SCS Stock Purchase Right may thereafter be exercised for a period
of up to one year following the date of termination;

 

(iii)       if
the basis for the termination by any member of the SCS Group is Section 7.2.2 then the unvested portion of the SCS Stock
Purchase Right shall vest immediately as of the date of such termination and to the extent vested, the SCS Stock Purchase Right
may thereafter be exercised for a period of up to one year following the date of termination;

 

(iv)       if
the basis for termination by any member of the SCS Group is without Cause, there shall be no further vesting of the SCS Stock Purchase
Right and the vested and unvested portion of the SCS Stock Purchase Right shall be forfeited and cancelled;

 

(v)       if
the basis for termination is Section 7.2.3, then there shall be no further vesting of the SCS Stock Purchase Right and thereafter
to the extent vested the SCS Stock Purchase Right may be exercised for a period of up to one year following the date of termination;
and

 

(vi)       if
the basis for the termination is Section 7.2.4, then then there shall be no further vesting of the SCS Stock Purchase Right
and thereafter to the extent vested the SCS Stock Purchase Right may be exercised for a period of up to one year following the
date of termination.

 

6.3       Assignment
and Transfer to Gerlach. Each of SCS and Bornemann hereby assign and transfer any and all rights each may have in and to the
SCS Stock Purchase Right and to the Extension Stock Option to Gerlach; and each of SCS and Bornemann hereby further directs that
the SCS Stock Purchase Right and the Extension Option (as, if and when issued, and as defined in Section 7.1 below) be issued
by RCAR directly to and in the name of Gerlach, as to which assignment, transfer and issuance RCAR agrees.

 

7.       Term;
Extensions; Termination.

 

7.1Initial
Term and Extended Terms. This Agreement shall become effective on Effective Date and shall remain in effect for a period to
expire upon the earlier of (i) July 28, 2023 or (ii) the termination of the Strategic R&D Agreement (the “Initial
Term”). Anything in this Agreement to the contrary notwithstanding if the term of Strategic R&D Agreement is extended
as provided for therein, RCAR shall have the option of extending the Term of this Agreement for the same period of time, upon written
notice to SCS Group within fifteen (15) days of the date on which the term of the Strategic R&D Agreement was extended (any
such extension of the Term, an “Extended Term”). The Initial Term and any Extended Term are collectively referred
to in this Agreement as the “Term.” Upon the extension of the Initial Term or any Extended Term, as consideration
therefor, RCAR shall grant SCS an option (the “Extension Stock Option”) on the date that the Parties agree to
the Extended Term (the “ESO Grant Date”), to acquire up to three hundred thirty-three thousand three hundred
thirty-three (333,333) shares of RCAR common stock (the “Extension Option”) at an exercise price equal to the
Per Share Fair Market Value of RCAR’s common stock on the date of grant, which date shall be the first day of the Extended
Term.

 

    	 	9	 

     

    

7.2       Termination

 

7.2.1       For
Cause by RCAR. This Agreement may be terminated by RCAR for Cause (i) if any member of the SCS Group has breached the terms
or conditions of this Agreement and such breach is incapable of cure, or with respect to a breach capable of cure, the SCS Group
does not cure such breach within fifteen (15) calendar days after receipt of written notice of such breach from RCAR; or, (ii)
if the Strategic R&D Agreement has been terminated by RCAR for Cause (as provided therein).

 

7.2.2       For
Cause by SCS Group. This Agreement may be terminated by the SCS Group for Cause if RCAR has breached the terms and conditions
of this Agreement and such breach is incapable of cure, or with respect to a breach capable of cure, RCAR does not cure such breach
within fifteen (15) calendar days after receipt of written notice of such breach from the SCS Group; or if the Strategic R&D
Agreement has been terminated by SCS for Cause (as provided therein).

 

7.2.3       By
Mutual Consent. This Agreement may be terminated by mutual written consent of the Parties;

 

7.2.4       Automatic
Termination. This Agreement shall be automatically terminated upon the expiration of the Term or Extended Term, if not further
extended. This Agreement also shall be automatically terminated upon termination of the Strategic R&D Agreement is terminated
with or without Cause (as provided therein).

 

7.3       Effect
of Termination.

 

7.3.1       Termination
of this Agreement shall not affect any accrued rights, if any, of the Parties through the date of termination.

 

7.3.2       Generally,
any obligation undertaken hereunder by either Party that, by its nature or its terms, is intended to extend beyond the Term shall
survive the termination hereof. Without limiting the generality of the foregoing, the terms and conditions of Sections 3,
4 and 5 (to the extent applicable to matters arising prior to the termination date), Sections 6, 7 and 8 shall
survive termination of this Agreement.

 

8. Miscellaneous.

 

8.1       Assignment.
SCS Group, individually or collectively, may not assign or transfer this Agreement, in whole or in part (except as provided in
Section 5), without RCAR’s express prior written consent. Any attempt to assign this Agreement, without such consent, will
be void. Subject to the foregoing, this Agreement will bind and benefit the Parties and their respective successors and assigns,
including any party into which RCAR is merged or to which RCAR sell substantially all of its assets.

 

8.2       No
Election of Remedies. Except as expressly set forth in this Agreement, the exercise by RCAR of any of its remedies under this
Agreement will not be deemed an election of remedies and will be without prejudice to its other remedies under this Agreement or
available at law or in equity or otherwise.

 

8.3       No-trade.
Each of the members of the SCS Group acknowledges that it may be in possession of material nonpublic information which is considered
to be any information concerning RCAR that is both (i) material (meaning the average investor would want to know such information
before deciding whether to buy, sell or hold securities of RCAR, or, in other words, information that could affect the market price
of RCAR securities); and (ii) nonpublic (meaning the information has not been disclosed in RCAR's filings with the United States
Securities and Exchange Commission (the “SEC”) or in a press release issued by RCAR that has been broadly disseminated
to the investing public). Information is not considered public until the second business day after such disclosure in a SEC filing
or press release. If such material nonpublic information is disclosed to the public, any member of the SCS Group having knowledge
of such information may not trade in RCAR securities until the second business day after such disclosure (i.e., the second day
after the applicable SEC filing or press release). The prohibition on trading while in possession of material nonpublic information
continues for as long as any information each of the members of the SCS Group has is both material and nonpublic and can continue
even after SCS’s engagement as a consultant to RCAR has terminated.

 

    	 	10	 

     

    

8.4       Severability.
If any provision of this Strategic R&D Agreement is held invalid or unenforceable by a court of competent jurisdiction, the
remaining provisions of this Strategic R&D Agreement will remain in full force and effect, and the provision affected will
be construed so as to be enforceable to the maximum extent permissible by law.

 

8.5       Waiver.
The failure by either party to enforce any provision of this Strategic R&D Agreement will not constitute a waiver of future
enforcement of that or any other provision.

 

8.6       Notices.
Any notice, demand or request required or permitted to be given under this Agreement shall be in writing and addressed as follows:

 

If to RCAR:

RenovaCare, Inc.

4 Becker Farm Road

Suite 105

Roseland, NJ 07068

Attention: Alan L. Rubino, Chief
Executive Officer

Email
Address: arubino@renovacareinc.com

 

If to any SGS Group
member:

StemCell Systems GmbH

Tempelhofer Damm 45

Flughafengebäude
Hangar 6.c

12101 Berlin

Germany

Attention: Frank Schubert

Email Address: frank.schubert@stemcell-systems.com

 

or, to such other address or facsimile
number as any Party shall have furnished to the other in writing in accordance with this Section 10.5. Notices sent in accordance
with this Section shall be deemed effectively given: (i) when received, if delivered by hand (with written confirmation of receipt);
(ii) when received, if sent by a nationally recognized overnight courier (receipt signature requested); (iii) on the date sent
by facsimile or e-mail (in each case, with confirmation of transmission), if sent during normal business hours of the recipient,
and on the next Business Day if sent outside normal business hours of the recipient; or (iv) on the third (3rd) Business Day after
the date mailed, by certified or registered mail, return receipt requested, postage prepaid.

 

8.7       Further
Assurances.

 

    	 	11	 

     

    

8.7.1        
Assignments; Applications. At RCAR’s expense, whenever requested by RCAR, both during the Term and thereafter, the
SCS Group will promptly sign and deliver to RCAR any and all applications, assignments and other documents that RCAR considers
necessary or desirable in order to:

 

(a) assign, apply for,
obtain, and maintain any Intellectual Property Rights in the United States and for other countries relating to any Disclosable
SCS Invention acquired or licensed by RCAR pursuant to this Agreement (the “Acquired SCS Invention”); and

 

(b) assign and convey
to RCAR or its designee the sole and exclusive right, title, and interest in and to all Intellectual Property related to the Acquired
SCS Invention;

 

(c) provide evidence
regarding the Intellectual Property that RCAR considers necessary or desirable;

 

(d) confirm RCAR’s
ownership of the Intellectual Property related to the Acquired SCS Invention, all without royalty or any other further consideration
to SCS; and

 

(e) at the request
of RCAR, execute and deliver the Power of Attorney referenced in Section 8.7.3 in such form as may be reasonably required
by RCAR’s counsel so as to give full effect to the intent of Section 8.7.3.

 

8.7.2       Enforcement.
Whenever requested by RCAR, both during the Term and thereafter, SCS will assist RCAR in assigning, obtaining, maintaining, defending,
registering and from time to time enforcing, in any and all countries, RCAR’s right to the Work Product. This assistance
may include, without limitation, testifying in a suit or other proceeding. If RCAR requires assistance from SCS after termination
this Strategic R&D Agreement, SCS will be compensated for time actually spent in providing assistance at an hourly rate equivalent
to the compensation rates in effect on the date of termination together with its reasonable, actual out-of-pocket expenses incurred
in providing such assistance.

 

8.7.3       Power
of Attorney. Each SCS Group member agrees that if RCAR is unable, because of SCS’s documented
unavailability for 10 or more calendar days, as a result of SCS’s dissolution, mental or physical incapacity of its duly
authorized officers or principals, or for any other reason, to secure SCS’s signature to apply for or to pursue any application
for any United States or foreign jurisdiction’s patents or copyright registrations covering SCS Inventions sold, assigned
or licensed to RCAR pursuant to this Agreement. For all SCS Inventions acquired by RCAR pursuant to this Agreement, SCS hereby
irrevocably designates and appoints RCAR and its duly authorized officers and agents as SCS’s agent and Attorney-In-Fact,
to act for and such SCS Group member behalf and stead to execute and file any such instruments and papers and to do all other lawfully
permitted acts to further the application for, prosecution, issuance, maintenance or transfer of letters patent, copyright, mask
work and other related registrations. This Power of Attorney is coupled with an interest and shall not be affected by SCS’s
subsequent incapacity or unavailability.

 

8.8       Effectiveness;
Counterparts. This Agreement may be executed in counterparts, each of which will be deemed an original, but all of which together will
constitute one and the same instrument. A signature transmitted by facsimile or in a PDF file shall have the same effect as an
original signature. Each Party represents and warrants that the representatives signing this Agreement on its behalf has all right
and authority to bind and commit that Party to the terms and conditions of this Agreement. This Agreement shall be effective only
when signed by both parties.

 

8.9       SCS
Group Incurred Costs and Expenses. It is acknowledged and agreed by RCAR that post-closing of RCAR’s purchase of
any Ownership Interests or Acquired SCS Invention, the reasonable costs and expenses, including the billable time provided by SCS
personnel, in assisting the RCAR in effecting, securing or maintaining any of the assignments or rights assigned, or assistance
provided, to it pursuant to this Agreement shall be paid for by the RCAR.

    	 	12	 

     

    

8.10        Entire
Agreement. This Agreement, together with the Strategic R&D Agreement, constitutes the complete and exclusive understanding
and agreement of the parties with respect to its subject matter and supersedes all prior understandings and agreements, whether
written or oral, with respect to its subject matter. Any waiver, modification or amendment of any provision of this Strategic R&D
Agreement will be effective only if in writing and signed by the parties hereto.

 

8.11       Governing Law.
This Agreement will be governed by and construed in accordance with the laws of the United States of America and the State of Nevada,
excluding its body of law controlling conflict of laws. Any legal action or proceeding arising under this Agreement will be brought
exclusively in the federal courts located in the State of New Jersey and the parties irrevocably consent to the personal jurisdiction
and venue therein.

 

8.12.        Mutual
Waiver of Jury Trial. BECAUSE DISPUTES ARISING IN CONNECTION WITH COMPLEX FINANCIAL TRANSACTIONS ARE MOST QUICKLY AND ECONOMICALLY
RESOLVED BY AN EXPERIENCED AND EXPERT PERSON AND THE PARTIES WISH APPLICABLE LAWS TO APPLY (RATHER THAN ARBITRATION RULES), THE
PARTIES DESIRE THAT THEIR DISPUTES BE RESOLVED BY A JUDGE APPLYING SUCH APPLICABLE LAWS. THEREFORE, TO ACHIEVE THE BEST BENEFITS
OF THE JUDICIAL SYSTEM, THE PARTIES HERETO WAIVE ALL RIGHT TO TRIAL BY JURY IN ANY ACTION, SUIT, OR PROCEEDING BROUGHT TO ENFORCE
OR DEFEND ANY RIGHTS OR REMEDIES UNDER THIS AGREEMENT OR ANY DOCUMENTS RELATED HERETO.

 

[Signatures Follow on Next Page]

 

[Balance of this page is intentionally blank.]

 

 

 

 

 

 

 

 

 

    	 	13	 

     

    

IN WITNESS WHEREOF,
the parties hereto have executed this Right of First Refusal and Corporate Opportunities Agreement as of the date first specified
above.

 

 

	RenovaCare, Inc.	 
	 	 
	 	 
	 	 
	By:
    /s/ Alan L. Rubino	 
	Name: Alan L. Rubino	 
	Title: President and Chief Executive Officer	 
	 	 
	 	 

 

 

	SCS GROUP”	 
	 	 
	Stemcell Systems GmbH	 
	 	 
	 	 
	By:
     /s/ Jörg
    Gerlach	 
	Name: Jörg Gerlach	 
	Title: Authorized Signatory and Principal	 
	 	 
	 	 
	 	 
	 	 
	_______________________________________	 
	Name:Reinhard Bornemann	 
	Title: CEO and Principal	 
	 	 
	 	 
	 	 
	_______________________________________	 
	Jörg Gerlach, individually	 
	 	 
	 	 
	 	 
	 	 
	 	 
	_______________________________________	 
	Reinhard Bornemann, individually	 
	 	 

 

    	 	14	 

     

    

Exhibit A

 

To the 

Right
of First Refusal and Corporate Opportunities Agreement made as of July 1, 2020 by and among RenovaCare. Inc. (“RCAR”),
StemCell Systems GmbH (“SCS), Jörg Gerlach, an individual (“Gerlach”)
and Reinhard Bornemann, an individual (“Bornemann”).

 

SCS Ownership Interests

 

	Name	 	Amount	 	Type	Percentage
	 	 	 	 	 	 
	Gerlach	 	 50%	 	 full registered shares	 50%
	 	 	 	 	 	 
	Bornemann	 	 50%	 	 full registered shares	50% 

 

 

 

 

15

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