Document:

Exhibit 10.3

EMPLOYMENT AGREEMENT

THIS EMPLOYMENT AGREEMENT (“Agreement”)
is made effective July 21, 2007, by and between ProUroCare Inc., a Minnesota
corporation with its principal place of business in Golden Valley, Minnesota
(the “Company”), and Richard B. Thon (“Employee”).

WHEREAS, the Company is in the
business of developing and marketing products to treat prostate conditions;

WHEREAS, the Company desires to
employ the Employee as its Chief Financial Officer, in accordance with the
following terms, conditions and provisions; and,

WHEREAS, the Employee desires to
perform such services for the Company, all in accordance with the following
terms, conditions and provisions;

NOW THEREFORE, in consideration
of the mutual covenants herein contained, it is agreed as follows:

1.                                      EMPLOYMENT AND DUTIES.

The Company hereby continues the Employee’s
employment, and the Employee hereby accepts and agrees to serve the Company as
the Company’s Chief Financial Officer. 
The Employee’s duties shall be to direct the Company’s financial and
accounting functions; to provide direction in meeting the Company’s public
reporting requirements; and to manage the Company’s relationships with the
investment community.  He will also
participate in recruiting management personnel in his functional area and other
reasonable duties subject to review and modification from time to time by the
Company’s CEO. The Employee shall apply his best efforts, and devote his full
time and attention to the Company’s affairs.

2.                                      TERM.

Subject to Paragraph 5, the term of this Agreement and
the Employee’s employment under this Agreement shall commence on July 21, 2007,
and shall continue thereafter until June 30, 2009. Upon the expiration of the
original term; this Agreement may be renewed by mutual agreement.

3.                                      COMPENSATION.

The Company shall compensate the Employee for his
services at the following salary, bonus and benefits:

3.1                               Base
Salary.

The Employee shall be paid a minimum annualized base
salary of $140,000 per year, payable on the Company’s normal payroll cycle,
less all required and authorized withholdings and taxes, throughout the initial
term of this Agreement. This base salary is the minimum salary during the
respective time period of the term of this Agreement, and 

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may be increased from
time to time at the discretion of the Board of Directors. The Employee shall be
considered an exempt employee under federal and state law.

3.2                               Bonus.

The Employee is eligible to earn a bonus of up to 30%
of his annual base salary, less all required and authorized withholdings and
taxes. The annual bonus criteria will be set by the Compensation Committee of
the Board of Directors.

3.3                               Stock
Options.

The Employee shall be eligible to participate in the
annual grant of Company stock options, consistent with the terms and conditions
of the 2002 and 2004 Stock Option Plans, and with amounts of options, including
exercise price and vesting provisions, determined by the Compensation Committee
of the Board of Directors from time to time. The stock options are also subject
to Sections 5 and 6 of this Agreement.

3.4                               Employee
Benefits Plans.

Employee shall be eligible for fringe benefits offered
to other executive-level employees of the Company, subject to the Company’s
policies and the terms, restrictions, limitations and requirements of any
summary plan description and/or plan documents. Nothing herein shall alter,
modify or change any such policy, summary plan description or plan document.

3.5                               Life
Insurance.

During the term of this Agreement, the Company shall
secure and pay the premium for a term life insurance policy assignable to the
Employee in the amount of two times the Employee’s annual base salary or, at
the Employee’s written request, the Company shall reimburse the Employee for
comparable premiums on an existing policy for the same rating.

4.                                      EXPENSES.

The Company will reimburse the Employee for reasonable
expenses incurred by the Employee in connection with the business of the
Company upon presentation by the Employee of appropriate substantiation for
such expenses.

5.                                      TERMINATION.

This Agreement shall terminate upon the occurrence of
any of the following:

5.1.                            Termination
or Decision Not to Renew this Agreement by the Company for Reasons Other than
Cause.

The Company may terminate this Agreement or not renew
this Agreement prior to any renewal date for reasons other than Cause, upon 30
days’ notice by the Company.  If 

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the Company so terminates
or fails to renew the Agreement, the Employee shall be entitled to severance
payments and benefits described in Section 6.

5.2.                            Termination
by Employee.

Employee may terminate this Agreement at any time,
upon 30 days’ notice to the Company.  In
the event Employee terminates this Agreement for other than Good Reason or
Change in Control as set forth in Sections 5.3 and 5.7 below, the Company shall
pay Employee all salary, bonuses, and other benefits earned and accrued up to
the date of termination.

5.3.                            Termination
by the Employee for Good Reason.

In the event Employee Terminates this Agreement for
Good Reason, Employee shall be entitled to severance payments and benefits
provided for in Section 6.  The Employee
must provide notice of the existence of the Good Reason condition within a
period not to exceed 90 days of its initial existence.  Upon receiving such notice, the Company shall
have 30 days to remedy the Good Reason condition.

For purpose of this Agreement, “Good Reason” shall be
defined as the occurrence of any of the following events without the express
written consent of Employee:

(a)          a material reduction in
Employee’s base salary during the initial term of this Agreement;

(b)         a change in Employee’s
title or position or a material diminution in Employee’s duties or the
assignment of duties on a regular basis which are not customarily associated
with or consistent with the title of Chief Financial Officer; or

(c)          a breach by the Company
of any of its material payment obligations to Employee under this Agreement or
any Exhibits to this Agreement.

5.4.                            Termination
upon Employee’s Death.

Under circumstances of the Employee’s death, the
Company agrees to make any earned, but unpaid, salary and bonus payments to the
Employee’s designated beneficiaries. Additionally, any unexercised, vested
stock options which were available to the Employee immediately prior to date of
death shall be exercisable by beneficiaries in accordance with the Company’s
stock option plan.

5.5.                            Termination
in the Event of Disability.

The Company may terminate this Agreement, upon 30 days’
notice, if the Employee is not able to perform the essential functions of
Employee’s position(s), with reasonable accommodation, for a continuous period
in excess of ninety (90) days.

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5.6.                            Termination
by the Company for Cause.

For purposes of this Agreement, “Cause” shall be
defined as:

(a)          Failure of the Employee
to substantially perform any duties reasonably required by the Company that are
consistent with the Employee’s position and failure to cure the breach within
ten (10) days of written notice of the breach by the Company;

(c)          The commission by the
Employee of any criminal act, or act of fraud or dishonesty by the Employee as
determined solely by the Company to be related to or in connection with his
employment by the Company; or,

(c)          If the Employee
materially breaches the Employee’s other covenants contained in this Agreement
and fails to cure the breach within ten (10) days of written notice of the
breach by the Company.

5.7.                            Termination
Due to “Change in Control”.

(a)          If, during a one (1)
year period subsequent to a “Change in Control” as defined below, the Employee
separates from employment with the then controlling company for one of the
following reasons, the then controlling company agrees to continue Employee’s
then current salary for six (6) months and one (1) additional month for each
full year of service with the Company, with a maximum accumulated severance of
twelve (12) months, and immediately vest all unvested stock options held by
Employee:

(i)                                     termination
without “cause”;

(ii)                                  unacceptable
demotion;

(iii)                               Employee
is asked to assume duties or responsibilities which are substantially lower in
status and unacceptable to the Employee; or

(iv)                              the
Employee is asked to relocate geographically to a location more than 100 miles
away from Employee’s work location prior to the change of control and is
unacceptable to Employee.

(b)         For purposes of this
Agreement, a “Change in Control” will be defined as follows:

(i)                                     When
any “person” as defined in Section 3(a)(9) of the Securities Exchange Act as
used in Sections 13(d) and 14(d) thereof, including a “group” as defined in
Section 13(d) of the Securities Exchange Act, but excluding the Company or any
subsidiary or parent or any employee benefit plan sponsored or maintained by
the Company or any subsidiary or parent (including any trustee of such plan
acting as trustee), directly or indirectly, becomes the “beneficial owner” (as
defined in Rule 13d-3 under the Securities Exchange Act, as amend time to time)
of securities of the Company 

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representing
greater than fifty (50) percent of the combined voting power of the Company’s
then outstanding securities; or,

(ii)                                  When,
subsequent to the effective date of this Agreement, the individuals who, at the
beginning of such period, constitute the Board of Directors (“Incumbent
Directors”) cease for any reason other than death to constitute at least a
majority thereof, provided, however, that a Director who was not a Director at
the beginning of this period will be deemed to have satisfied the definition of
“Incumbent Director” if such Director was elected by, or with the approval of
at least sixty (60) percent of the Directors who then qualified as Incumbent
Directors; or,

(iii)                               The
approval by the shareholders of any sale, lease, exchange or other transfer (in
one transaction or a series of related transactions) of all or substantially
all of the assets of the Company, the adoption of any plan or proposal for the
liquidation or dissolution of the Company, or, any consolidation or merger
involving the Company whereby the Company is not the continuing or surviving
entity or the Company’s shares are converted into cash, securities or other
property, provided, however, this provision shall not apply if the shareholders
of the Company have the same proportionate share of the surviving entity after
the transaction.

6.                                      SEVERANCE
PAYMENTS

6.1                               Severance
Pay

In the event that the Company terminates or decides
not to renew this Agreement without Cause pursuant to Section 5.1 or that
Employee terminates this Agreement with Good Reason pursuant to Section 5.3,
Employee shall be entitled to severance payments and benefits as follows:

(a)          If terminated or not
renewed during any term of this Agreement, the Company shall continue to pay to
Employee the Employee’s then current salary for a continuation period of four
(4) months plus one (1) month per year of service up to a maximum of nine (9)
months, such continuation period to include the 30 day notice provision in
Section 5.1.

(b)         All stock options granted
but still subject to vesting at the time of termination shall be immediately
vested and shall be exercisable according to the terms of the Stock Option
Agreement.

(c)          The Company shall pay to
Employee all bonuses or other benefits earned and accrued up to the date of
termination or expiration upon nonrenewal.

(d)         The Company shall
continue to pay its portion of any contribution to Employee’s health and life
insurance premiums for four (4) months (including the 30 day notice provision
in Section 5.1).

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6.2                               Employee
Service Date

For purposes of computing years of service pursuant to
Section 5.7(a) and 6.1(a), the Employee’s date of hire shall be January 1,
2002.

7.                                      RESTRICTIVE COVENANTS, TRADE
SECRETS AND PROPRIETARY RIGHTS.

7.1                               Definitions.

The following phrases, when used in this Agreement,
will have the meanings set forth below:

(a)          “Confidential
Information” means materials, records, data and other information that is not
generally known about or that is personal, sensitive or proprietary to the
Company, its shareholders, the Company’s clients, prospective clients and their
dependents, and information that the Company is obligated to treat as
proprietary or confidential. This information includes, without limitation:

(i)                                     trade
secret information about the Company and its products, planned and/or future
products;

(ii)                                  “Inventions,”
as defined in Section 7.1(b) below;

(iii)                               information concerning
the Company’s business, as the Company has conducted it, or as it may conduct
it in the future;

(iv)                              information
concerning any of the Company’s past, current, planned or future products,
services, costs, prices and other financial information, including (without
limitation) information about the Company’s research, development, engineering,
purchasing, servicing, finances, marketing or selling;

(v)                                 the
identity of the Company’s clients, prospective clients and their dependents,
and their pricing, buying history, tendency, and their health information;

(vi)                              information
that the Company’s clients, prospective clients and their dependents consider
confidential, whether notified by the client, prospective client or dependent
or not, so long that a prudent person would consider the information
confidential;

(vii)                           information regarding any
patents developed, owned or used by or licensed to the Company; and,

(viii)                        the Company’s procedures,
manuals, financial, cost and sales data, business opportunities for new or
developing business, reports, customer lists and contracts.

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(b)         “Inventions” means any
discoveries, modifications, designs, methods, know-how, systems or improvements
(whether or not they are in writing or reduced to practice) or works of
authorship (whether or not they can be patented or copyrighted) that the
Employee makes, authors, or conceives (either alone or with others) and that:

(i)                                     concern
the Company’s current, planned and/or future products, research, testing or
development;

(ii)                                  result
from any work the Employee performs for the Company; and/or

(iii)                               in which the Company’s
equipment, facilities, or trade secret information were used.

“Inventions” does not include discoveries,
modifications, designs or improvements developed: (1) entirely on the Employee’s
own time which do not relate to any of the Company’s products, including those
in development stages, or services that the Company provides to its clients;
(2) in which the Company’s equipment, facilities, supplies or trade secret
information were not used in any way, and; (3) do not directly relate to the
Company’s business or the Company’s actual or demonstrably anticipated research
or development, or does not result from any work the Employee performed under
this Agreement.

(c)          “Comparable Technology”
means

(i)                                     any
pressure sensing technology or system that is used to measure the elasticity of
soft tissue in the prostate or related urologic organs (i.e., kidney, ureters
or bladder);

(ii)                                  any
pressure sensing technology or system that is used to create two or three
dimensional images for the purpose of identifying abnormal lesions and for
guiding biopsy in prostate or related urologic organs; and/or

(iii)                               any
EIT (electrical impedance tomography) technology or system that is used for the
purpose of measuring heat propagation and/or electrical conductivity in the
prostate or related urologic organs.

(iv)                              any
other applications for which the Company (1) has made a direct investment; (2)
has obtained licensing rights to acquire such technology; and (3) is actively
engaged in research and development (or has been so engaged during the past
twelve (12) months).

7.2                               Return
of Confidential Information.

The Employee will not, during or after the Employee’s relationship
with the Company, use any Confidential Information (except as required by the
Employee’s duties 

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with the Company), or
communicate, divulge or disclose any Confidential Information to any person or
organization, except as authorized in writing by the Board of Directors of the
Company. Upon termination of the Employee’s relationship with the Company,
Employee agrees to return and/or leave with the Company all material concerning
any Confidential Information in the Employee’s possession or control,
including, but not limited to, any records, manuals, books, documents, letters,
reports, data, and client lists, whether prepared by the Employee or others,
whether originals or copies, whether in -hard copy or stored on a diskette or
hard drive or otherwise, including drawings, blueprints and other
reproductions.

7.3                               Property
Rights.

With the exception of work, tests, research,
materials, processes or systems conducted, developed or used by the Employee
that do not directly or indirectly relate to the Company’s business or the
Company’s actual or demonstrably anticipated research and/or development, the
Company will own and have all right and title in all Inventions, Confidential
Information, work, tests, research, materials, processes or systems conducted,
developed or used by the Employee under this Agreement or during the course of
the performance of the Employee’s duties with the Company prior to the date of
this Agreement (collectively, the “Company Works”).  To the extent that the Employee retains any
rights, title and/or interest, including, without limitation, all ownership
rights, copyright rights, trademark rights, patentable invention rights, and
trade secret rights in any Company Works (collectively, the “IP Rights”), or
acquires any such IP Rights, the Employee hereby forever assigns, transfers and
conveys to the Company all current and future ownership interest and all
current and future rights in, to and arising out of the such IP Rights and
grants to the Company an irrevocable, nonexclusive, worldwide, royalty-free
license to use, execute and copy any Company Works. The assignment, transfer,
grant, conveyance and setting over to the Company as made in the preceding
sentence shall include the assignment of all rights to recover all damages, attorneys’
fees, and lost profits associated with the loss or infringement of any of the
IP Rights, as well as the right to seek injunctive relief (both preliminary and
permanent) with respect to the foregoing and the right to receive any and all
other remedies available at law or in equity. Employee agrees not to disclose,
use, market or sell, either directly or indirectly, any Company Works to any
person or entity. The Employee shall take reasonable precautions and measures
to protect the Confidential Information, Company Works and IP Rights related
thereto. The rights and obligations under this Section 7.3 are perpetual in
nature.

7.4                               Inventions.

(a)          The Employee agrees that
all Inventions that the Employee: (1) makes, develops or collaborates on during
the term of this Agreement; or, (2) made, developed or collaborated on during
the course of his work with the Company starting in January 2005, before the
term of this Agreement, are the sole and exclusive property of the Company.
Upon executing this Agreement, the Employee will, with respect to any such
Invention:

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(i)                                     provide
the Company with current, accurate, and complete records of any and all
Invention(s) which records will belong to the Company and be kept and stored on
the Company’s premises by the Company;

(ii)                                  promptly
and fully disclose the existence and describe the nature of any Invention(s) to
the Company in writing (and without request);

(iii),                            assign, and the Employee
does hereby assign, to the Company any and all of the Employee’s rights to the
Invention(s), and applications the Employee makes for patents or copyrights in
any country, and any patents or copyrights granted to the Employee in any
country.

(iv)                              acknowledge
and deliver promptly to the Company any written instruments, and perform any
other reasonable acts necessary in the Company’s opinion and at its expense to
preserve property rights in the Invention(s) against forfeiture, abandonment,
or loss and to obtain and maintain letters patent and/or copyrights on the
Invention(s) and to vest the entire right and title to the Invention(s) in the
Company, provided that the Employee makes no warranty or representation to the
Company as to rights against third parties hereunder.

(b)         The Employee hereby
represents and agrees that at the time of entering this Agreement there are no
Inventions which relate to the business of the Company or to the Company’s
research or development that the Employee has an obligation to assign to anyone
except the Company.

(c)          The Employee hereby
represents and agrees that at the time of entering this Agreement there are no
Inventions which relate to the business of the Company or to the Company’s
research or development that the Employee made or conceived prior to the
Employee’s employment by the Company.

7.5                               Covenants
Against Competition and Solicitation.

In view of the unique value to the Company of the
services to be performed by the Employee, in consideration of the Confidential
Information to be obtained by or disclosed to the Employee, and as a material
inducement to the Company to enter into this Agreement and to pay and provide
the Employee the compensation and benefits provided for herein, the Employee
covenants and agrees that, from and after the date hereof and until one (1)
year after the Employee’s employment with the Company terminates for whatever
reason, the Employee will not; directly or indirectly, anywhere in the world in
which the Company is conducting business during the term of Employee’s
employment:

(a)          own, manage, operate or
control, prepare or plan to own, manage, operate or control, or participate in
the ownership, management, operation or control of any business engaged in the
research, development, production or marketing of any Comparable Technology;

 9
 

(b)         conduct or assist any
person or entity to conduct any business engaged in the research, development,
production or marketing of any Comparable Technology;

(c)          seek, accept or act,
either as an employee, shareholder, partner, member, joint venturer, agent or
other equity holder of or consultant or advisor, to business engaged in the
research, development, production or marketing of any Comparable Technology;

(d)         solicit or divert,
attempt to solicit or divert, or otherwise interfere in any fashion with, any
former or existing customer, client, account, partner or other business source,
or business prospect for the purpose of selling to such person any product or
service of any Comparable Technology; or,

(e)          induce, influence,
solicit, hire, or engage or attempt to induce, influence, solicit, hire or
engage any employee of, or consultant to, the Company to do any of the
foregoing or to discontinue such person’s association with the Company or
obtain such person as an employee, consultant or in a similar capacity for any
other business.

Employee acknowledges that the covenants in this
Section 7.5 are fair, necessary, and reasonable, in both scope and duration,
for the consideration provided for in this Agreement.

7.6                               Blue
Pencil Doctrine.

If the duration or
geographical extent of, or business activities covered by Section 7.5 are in
excess of what is valid and enforceable under applicable law, then such
provision shall be construed to cover only that duration, geographical extent
or activities that are valid and enforceable. Employee acknowledges the
uncertainty of the law in this respect and expressly stipulates that this
Agreement be given the construction which renders its provisions valid and
enforceable to the maximum extent (not exceeding its express terms) possible
under applicable law.

7.7                               Breach.

The Employee acknowledges that any breach, violation
or evasion by the Employee of the terms of Section 7 may result in an immediate
and irreparable injury and harm to the Company, and will cause the Company to
suffer damages in amounts difficult to ascertain. Accordingly, the Company
shall be entitled to the remedies of injunction and specific performance, or
either of such remedies, as well as other legal or equitable remedies and
damages to which the Company may be entitled. The Company shall also be
entitled to its costs and attorneys’ fees for any breach of Section 7 by the
Employee.

8.                                      OTHER BUSINESS ACTIVITIES.

The Employee may not serve as an officer or director
of any other organization without express prior written approval by the Company’s
Board of Directors.

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9.                                      AGREEMENT AND ACKNOWLEDGEMENT.

The Employee represents that the Employee is free to
enter into this Agreement and the acceptance of the relationship with the
Company does not violate any agreement between the Employee and any third party.

10.                               COOPERATION IN CLAIMS.

Both during Employee’s employment and thereafter, the
Employee agrees that in the event of a legal action against the Company, or
legal action initiated by the Company against another party, in which the
Employee is deemed by the Company to be a material witness or affiant, the
Employee agrees to make reasonable and best efforts to cooperate with the
Company in such matters. If the Employee is no longer employed, Company will
reimburse the Employee for time and expenses incurred as a result of
cooperation for this purpose.

11.                               INDEMNIFICATION.

The Company agrees to make its best efforts to
indemnify and hold harmless the Employee from liability incurred as a result of
performance of duties as an officer and member of the Board of Directors. This
includes but is not limited to applicable statute, as well as efforts to secure
coverage under pertinent insurance policies.

12.                               NOTICES.

All notices, requests, demands and other
communications provided for by this Agreement shall be in writing and shall be
deemed to have been given when mailed at any general or branch United States
Post Office enclosed in a certified postpaid envelope, return receipt
requested, and addressed to the address of the respective.

If to the Employee:

Richard B Thon

8351 West Lake Drive

Chanhassen, MN 55317

If to the Company:

Chairman of the Compensation Committee

ProUroCare Medical Inc.

5500 Wayzata Blvd., Suite 310

Golden Valley, MN
55416

Any notices of change of address shall only be
effective, however, when received.

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13.                               SUCCESSORS AND ASSIGNS.

This Agreement shall inure to the benefit of, and be
binding upon, the Company, its successors and assigns, including, without
limitation, any corporation which may acquire all or substantially all of the
Company’s assets and business or into which the Company may be consolidated or
merged, and the Employee, his heirs, executors, administrators and legal representatives. The Employee may assign his
right to payment, and his obligations, under this Agreement.

14.                               APPLICABLE LAW.

This Agreement shall be governed by the laws of the
State of Minnesota without regard to any conflict of law analysis. The Parties
agree that any dispute arising out or related to this Agreement shall be venued
in the State of Minnesota and the Parties consent to the exclusive jurisdiction
of the Minnesota state or
federal courts for such disputes.

15.                               OTHER AGREEMENTS.

This Agreement supersedes all prior understandings and
agreements between the parties. It may be amended only by a writing signed by the parties
hereto.

16.                               NON-WAIVER.

No delay or failure by either party in exercising any
right under this Agreement, and no partial or single exercise of that right,
shall constitute a waiver of that or any other right.

17.                               HEADINGS.

Headings in this Agreement are for convenience only
and shall not be used to interpret or construe its provision.

18.                               COUNTERPARTS.

This Agreement may be executed in two or more
counterparts, each of which shall be deemed an original but all of which
together shall constitute one and the same instrument.

19.                               SURVIVORSHIP.

The Parties’ obligations and rights set forth in
Sections 7, 10, 11 12, 13, 14, 15, and 16 shall survive the termination of this
Agreement.

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  PROUROCARE INC.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Alexander
  Nazarenko

  
	
   

  	
   

  	
   Alexander
  Nazarenko

  
	
   

  	
   

  	
   Its: Chairman, Compensation Committee,.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  EMPLOYEE

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  /s/ Richard B.
  Thon

  
	
   

  	
  Richard B. Thon

  

 

 13Exhibit 10.4

PROMISSORY
NOTE

	
  $100,000.00

  	
  Effective Date: July
  31, 2007

  

 

FOR VALUE
RECEIVED, ProUroCare Inc. (the “Debtor”) promises to pay to the order of
Phillips W. Smith, or his successors and assigns (the “Holder”), the principal
sum of $100,000.00, together with interest on all outstanding and unpaid
amounts evidenced by this Note at the rate of the US Prime Rate computed on the
basis of the actual number of days elapsed in the payment period and a 365-day
year.  This Note is not secured.

1.                                       Payment
of Principal and Interest.  This Note is due and payable upon the first
to occur of (1) Lender’s closing on an aggregate of $500,000 or more of new
financing, or (2) September 15, 2007.

2.                                       Warrant Coverage.  As an inducement to Lender to make this loan,
Borrower will issue to Lender a five-year warrant to acquire up to up to 1,000
shares of ProUroCare Medical Inc. common stock at $0.50 per share for each day
the $100,000 principal balance is outstanding (to be prorated if a portion of
the loan is repaid).  For example,
$100,000 outstanding for 30 days would result in a warrant to acquire 30,000
shares (1,000/100,000 $100,000 * 30); 
$50,000 outstanding for 20 days would result in a warrant to acquire
10,000 shares (1,000/100,000 * 50,000 * 20).

3.                                       Prepayments.
The indebtedness evidenced by this Note may be prepaid, in whole or in part, at
any time without penalty or premium.

4.                                       No
Waivers.  The Debtor agrees that no
failure on the part of the Holder to exercise any power, right or privilege
hereunder, or to insist upon prompt compliance with the terms of this Note,
will constitute a waiver of that power, right or privilege.

5.                                       Replacement
Note.  Upon receipt of evidence
reasonably satisfactory to the Debtor, of the loss, theft, destruction or
mutilation of this Note, the Debtor will make and deliver a new Note of like
tenor in lieu of this note.

6.                                       Governing
law.  This Note is governed in all
respects by the internal laws of the State of Minnesota without regard to the
conflicts of law principles of any jurisdiction.

7.                                       Collection
Costs.  In the event the Debtor fails
to timely pay any amount due under this Note, the Debtor will pay all of the
Holder’s reasonable out-of-pocket collection costs, including without
limitation, reasonable attorney’s fees and legal costs, whether or not any suit
or enforcement proceeding is commenced.

IN WITNESS WHEREOF, the
Debtor has caused this Note to be signed by a duly authorized officer.

 

	
  Date: August 9, 2007

  	
  By:

  	
  /s/Richard C. Carlson

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Richard C. Carlson, Chief Executive Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  ProUroCare
  Medical, Inc.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00128-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00128-of-00352.parquet"}]]