Document:

Unassociated Document

    Exhibit
10.39

    [Confidential Treatment
Requested.  Confidential portions of this document have been

    redacted and have been
separately filed with the Securities and Exchange
Commission]

    

    Execution
Copy

    Strategic
Supply Agreement

    

               This
Strategic Supply Agreement (this “Agreement”) is
entered into as of July 24, 2009 (the “Effective Date”) by
and between Abbott Molecular Inc., a Delaware corporation (“Abbott”), and
NeoGenomics Laboratories, Inc., a Florida corporation (“NeoGenomics”).

    

    Recitals

    

               A.           NeoGenomics
operates a genetic testing laboratory that offers a variety of diagnostic tests
for cancer and other diseases, including tests developed by NeoGenomics and
tests developed by others.

    
 

               B.           Abbott
manufactures and sells certain ASR probes that are useful for analyzing nucleic
acids through a process commonly known as FISH.

    

               C.           NeoGenomics
desires to develop and offer a FISH-based test for the diagnosis of melanoma,
and to potentially develop and offer diagnostic tests for other
cancers.

    

               D.           NeoGenomics
desires to purchase all of its requirements of Products from Abbott, and Abbott
desires to supply and sell all of NeoGenomics’
requirements for such Products to NeoGenomics, which NeoGenomics intends
to incorporate into its diagnostic test, on the terms and conditions set forth
in this Agreement.

    

               Now,
Therefore, in consideration of the promises and the mutual covenants contained
herein, the parties agree as follows:

    

    Article
1

    Definitions

    

               “Abbott IVD” means an
In-Vitro Diagnostic test for melanoma developed by Abbott for aid in diagnosis
of malignant melanoma in skin biopsy specimens (excluding
subtyping).

    

               “Act” shall mean the
United States Food, Drug and Cosmetic Act and all regulations promulgated
thereunder.

     

               “Affiliate” shall mean
any entity which directly or indirectly controls, is controlled by, or is under
common control with, another entity. For purposes of this Agreement, an entity
shall be deemed to be in control of another entity if the former owns, or the
partners of the former own, directly or indirectly, more than fifty percent
(50%) of the outstanding voting equity (or other equity or ownership interest in
the event that such entity is other than a corporation) of the
latter.

     

    
      
        
        

      

      
        1

        
          

        

      

      
        
        

      

    

    
 

               “Agreement” has the
meaning set forth in the introductory paragraph.

    

               “Annual Forecast” has
the meaning set forth in Section 3.4(a)(ii).

    

               “ASR” means analyte
specific reagent.

     

               “Base Price” has the
meaning set forth in Section 4.1(a).

    

               “Calendar Quarter”
means each three (3) month period during the term of this Agreement which ends,
respectively, on March 31, June 30, September 30 and December 31 of each
Calendar Year, except for the initial Calendar Quarter of the first Calendar
Year, which will begin on the Effective Date and end on September 30,
2009.

    

               “Calendar Year” shall
mean each twelve (12) month period during the term of this Agreement which
begins on January 1, and ends on December 31, except for the first Calendar Year
which will begin on the Effective Date and end on December 31,
2009.

    

               “Change of Control”
means: (a) the sale of all or substantially all of NeoGenomics’ assets that are
used in designing, developing, validating, marketing, selling, performing or
billing for the Melanoma LDT to a Third Party in a single transaction or series
of related transactions; (b) any merger, consolidation, sale of stock or other
transaction that results in any “person” or “group” (each as defined in the
Securities Exchange Act of 1934, as amended) either becoming the “beneficial
owner” (as defined in Rule 13d-3 under the Securities Exchange Act of 1934, as
amended), directly or indirectly, of NeoGenomics’ voting securities(or
securities converted into or exchangeable for such voting securities)
representing fifty percent (50%) or more of the combined voting power of all
of NeoGenomics’ voting securities(on a fully diluted basis); or (c) any other
event that results, by contract or otherwise, in such person or group obtaining
the ability, directly or indirectly, to elect a majority of the board of
directors of or otherwise direct the management and policies of
NeoGenomics.

    

               “Change of Control Base
Revenue Amount” has the meaning specified in Section 14.4.

    

               “Commencement Date”
has the meaning set forth in Section 9.5(b).

    

               “Confidential
Information” has the meaning set forth in Section 12.1.

    

               “Conversion Date” has
the meaning set forth in Section 3.4(d).

    

               “Decision Period” has
the meaning set forth in Section 9.5.

    

               “Effective Date” has
the meaning set forth in the introductory paragraph.

    

               “Escalated Negotiation
Period” has the meaning set forth in Section 9.5.

    

               “Estimated Premium
Price” has the meaning set forth in Exhibit E
hereto.

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

    
 

               “Evaluation Products”
has the meaning set forth in Section 2.1.

    

               “Exclusive Products”
means the ASRs, if any, described in Section 3.2 and identified in Exhibit A as
Exclusive Products.

    

               “Existing Customer
Election” has the meaning set forth in Section 3.4(d).

    

               “FDA” shall mean the
United States Food and Drug Administration and any successor agency
thereto.

    

               “FISH” means a
fluorescent in situ hybridization assay.

    

               “Initial Annual
Forecast” has the meaning set forth in Section 3.4(a)(i).

    

               “Initial Negotiation
Period” has the meaning set forth in Section 9.5.

    

               “Intellectual
Property” means any and all: (a) methods, techniques, trade secrets,
designs, know-how, discoveries, inventions, data, information, documentation,
regulatory submissions, formulations, methodologies, processes, specifications,
trademarks, trade dress and other intellectual property of any kind (whether or
not protected under patent, trademark, copyright or similar law); and (b)
trademark registrations, copyrights, United States and foreign patents and
patent applications covering or claiming any of the foregoing.

    

               “IVD Agreement” has
the meaning set forth in Section 9.4(c).

    

               “IVD Opportunity” has the
meaning set forth in Section 9.4(b).

    

               “LDT” means a
laboratory developed test that is independently designed, developed and
validated by a clinical service laboratory.

    

               “Melanoma LDT” means a
specific LDT that is anticipated to be independently designed, developed and
validated by NeoGenomics using the Products for use as an aid in diagnosing
malignant melanoma in skin biopsy specimens (excluding subtyping).

    

               “Model Forecast” has
the meaning set forth in Section 3.4(a)(iii).

    

               “Negotiation Period”
means the Initial Negotiation Period and the Escalated Negotiation
Period.

     

               “Non-Conforming
Product” shall have the meaning set forth in Section 7.6.

    

               “Pre-Existing
Customer” A customer of NeoGenomics that purchases the Melanoma LDT prior
to the Conversion Date.

    

               “Premium Price” has
the meaning set forth in Section 4.1(b).

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

    
 

               “Products” shall mean
the analyte specific reagent probes identified by NeoGenomics and set forth on
Exhibit A,
including the Exclusive Products.

    

               “Purchase Price” for
each unit of Product shall mean the sum of the Base Price and Premium Price
applicable for such unit at any given time.

    

               “Quality Systems and GMP
Requirements” shall mean the current and any future quality system and
good manufacturing practices regulations under 21 C.F.R. Part 820 to the extent
that such regulations are applicable to the Product, as such regulations are
promulgated by the FDA. The applicable Quality Systems and GMP Requirements for
any lot of Product shall be those regulations in effect when such lot is
manufactured for NeoGenomics.

    

               “Quarterly Forecast”
has the meaning set forth in Exhibit
E.

    

               “Quarterly Report” has
the meaning set forth in Exhibit
E.

    

               “Quarterly Unit
Purchases” shall mean the number of units of Products ordered by
NeoGenomics and shipped by Abbott pursuant to such order in a given Calendar
Quarter, where one (1) unit of Product constitutes the amount of such Product
necessary for NeoGenomics to perform the Melanoma LDT for one (1) patient. For
purposes of this definition, “unit” refers to one
ASR probe at the concentration and volume to be used in the validated Melanoma
LDT, which information will be provided to Abbott by NeoGenomics in writing
promptly following validation of the Melanoma LDT or any modification of the
Melanoma LDT. For example, if NeoGenomics uses four (4) ASR probes designated as
Products under this Agreement to perform the Melanoma LDT then such four (4) ASR
probes would represent four (4) units of Products.

    

               “SEC” shall mean the
United States Securities and Exchange Commission and any successor agency
thereto.

    

               “Service Revenue”
means the revenue recognized by NeoGenomics related to performing the Melanoma
LDT for Third Parties, as calculated in accordance with generally accepted
accounting principles and reported by NeoGenomics’
parent company in its financial statements,
as filed with the SEC.

    

               “Specifications” shall
mean Abbott’s internal manufacturing specifications as well as technical
specifications and test protocols relating to the characterization of the
Products identified in Exhibit A, which
Specifications will be included in Exhibit A when the
Products are identified pursuant to Section 2.2 and which may from time to time
be amended by written agreement of the parties including but not limited to
purchased standard control procedure (pscp) changes or an equivalent document
control process.

    

               “Subsequent Annual
Forecast” has the meaning set forth in Section 3.4(a).

    

               “Subsequent Development
Agreement” has the meaning set forth in Section 9.5(b).

    

               “Termination Date Revenue
Amount” has the meaning set forth in Section 14.4(b).

     

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

    
 

               “Threshold Amount” has
the meaning set forth in Section 3.4(a)(v).

    

               “Territory” shall mean
the United States and Puerto Rico.

    

               “Third Party” shall
mean a party other than Abbott or NeoGenomics, or their respective
Affiliates.

    

               “Unaudited Report” has
the meaning set forth in Section 3.4(a)(iv).

    

               “Unaudited Revenue”
has the meaning set forth in Section 3.4(a)(iv).

    

    Article
2

    Product
Identification

    

               2.1           Evaluation Products.
Abbott will supply NeoGenomics with Abbott’s ASRs that may be requested from
time to time by NeoGenomics for purposes of NeoGenomics’ evaluation and
determination as to which ASRs to include in its Melanoma LDT, and for design,
development and validation of the Melanoma LDT (“Evaluation
Products”). Abbott will supply NeoGenomics with Evaluation Products in
quantities that are reasonably sufficient for evaluating the ASRs and designing,
developing and validating the Melanoma LDT. NeoGenomics shall not use the
Evaluation Products for any other purposes. Unless otherwise directed by Abbott,
NeoGenomics will destroy any unused quantities of Evaluation Products.
NeoGenomics will not bill or seek reimbursement from any Third Party payor for
Evaluation Products.

    

               2.2           Product
Identification. As promptly as reasonably practicable, but within one
hundred twenty (120) days after the Effective Date, NeoGenomics will determine
which ASRs it desires to purchase under this Agreement for inclusion in its
Melanoma LDT. Once the ASRs are identified and agreed upon in writing by the
parties, Exhibit
A will be modified (without necessitating an amendment to this Agreement)
to include such ASRs and their Specifications, and such ASRs will thereafter
constitute the Products for purposes of this Agreement. Notwithstanding the
foregoing, if, during the term of this Agreement, Abbott develops new ASRs
utilizing in situ hybridization to a chromosomal target that Abbott reasonably
believes may be of interest to NeoGenomics for use with the Melanoma LDT or a
successor thereto, Abbott will notify NeoGenomics in writing of such new
products with a description of each such product and exclusively offer to
NeoGenomics the right to evaluate such products for a period of one hundred
eighty (180) days from the date of such written notice for possible inclusion in
the Melanoma LDT or a successor thereto. In the event that NeoGenomics decides
during such evaluation period that any such new product would be appropriate to
include in its Melanoma LDT or any successor thereto, and so notifies Abbott in
writing, then Exhibit
A will be further modified (without necessitating an amendment to this
Agreement) to include such new product and its specifications, and thereafter
such new product will be included in the definition of Exclusive Products for
the purposes of this Agreement. If NeoGenomics elects not to use the new product
in the Melanoma LDT or a successor thereto, it shall not constitute a Product
for purposes of this Agreement and NeoGenomics shall have no rights with respect
thereto.

     

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

    
 

               2.3           Non-Abbott ASRs. The
parties acknowledge and agree that NeoGenomics will be free to identify which
ASRs it desires to include in the Melanoma LDT, and that it may include ASRs
that are not currently manufactured by Abbott. If NeoGenomics elects to include
in its Melanoma LDT one or more ASRs that are not currently manufactured by
Abbott, it will so notify Abbott, and Abbott may elect to manufacture the ASR
and supply it to NeoGenomics as a Product under this Agreement. If Abbott
chooses not to manufacture the ASR, Abbott and NeoGenomics will negotiate in
good faith to determine whether: (a) Abbott will obtain the ASR from a Third
Party and supply it to NeoGenomics as a Product under this Agreement; or (b)
NeoGenomics will obtain the ASR directly from a Third Party that is reasonably
acceptable to Abbott and that has a valid license from Abbott to manufacture the
ASR, if applicable. If none of the ASRs selected by NeoGenomics are manufactured
by Abbott at the time of the initial selection of such ASRs for inclusion in the
Melanoma LDT by NeoGenomics, and Abbott elects not to manufacture any of such
ASRs selected by NeoGenomics so that no ASRs have been identified as Products
pursuant to Section
2.2 within the time periods permitted therein, and the parties are unable
to reach a mutually acceptable alternative arrangement, then Abbott may
terminate this Agreement upon thirty (30) days prior written notice to
NeoGenomics without further obligation or liability. Abbott represents and
warrants that, as of the Effective Date, it currently manufactures all of the
ASRs previously disclosed to NeoGenomics or listed in any Abbott product catalog
that is current as of the Effective Date.

    

    Article
3

    Supply
Terms

    

               3.1           Supply. During the
term of this Agreement, and subject to the terms and conditions contained
herein, NeoGenomics shall purchase all of its requirements of the Products from
Abbott, and Abbott shall supply, or shall cause its Affiliates to supply, to
NeoGenomics such quantities of the Products as may be ordered by NeoGenomics
hereunder. Except for Abbott’s failure to supply
Products as described in Section 5.5, NeoGenomics will not obtain from
any Third Party, or manufacture for itself, any Products (or other ASRs that are
substantially similar to the Products).

    

               3.2           Exclusivity. If,
pursuant to Section 2.2, NeoGenomics identifies for inclusion in the Melanoma
LDT one or more ASRs that are not currently marketed or sold commercially by
Abbott as individual stand-alone products, each such ASR will be designated as
an “Exclusive
Product” and will be so identified on Exhibit A. Abbott
will supply the Exclusive Product(s) to NeoGenomics exclusively in the Territory
and, subject to Section 3.3(b) below, Abbott will not sell the Exclusive
Products to any Third Party in the Territory. Any Products that are not
expressly designated in Exhibit A as
Exclusive Products shall be supplied to NeoGenomics on a non-exclusive basis.
Abbott will use commercially reasonable efforts to ensure that any Products that
are sold by Abbott to customers outside the Territory will be subject to
restrictions prohibiting the further resale or distribution of such Products in
the Territory.  For the avoidance of doubt, once an ASR has been
identified as an “Exclusive Product” on Exhibit A it shall
not cease to be an Exclusive Product due to the marketing or sale of such ASR by
Abbott outside the Territory.

     

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

    
 

               3.3           Exclusivity
Exceptions.

    

                              
(a)           Abbott may
sell Exclusive Products to Third Parties outside the Territory; provided, that Abbott will
use commercially reasonable efforts to ensure that such Exclusive Products are
not resold or distributed in the Territory.

    

                        
      (b)           Abbott
may supply Exclusive Products to the academic collaborators identified in Exhibit B in
quantities sufficient for the collaborators’ research and development purposes.
In addition, Abbott may supply the identified academic collaborators, in the
aggregate, with quantities of Exclusive Products sufficient to perform no more
than one thousand two hundred (1,200) patient tests per Calendar Year
(increasing six percent (6%) per Calendar Year).

    

               3.4           Maintenance of
Exclusivity.

    

                               (a)           Annual Forecast and
Review.

    

                                                (i)           At least
ninety (90) days prior to the end of the 2010 Calendar Year, NeoGenomics will
provide to Abbott a written reasonable good faith forecast of the Service
Revenue it expects to realize in each of the following two (2) Calendar Years
from sales of the Melanoma LDT (the “Initial Annual
Forecast”). If Abbott does not object to the Initial Annual Forecast
within forty-five (45) days of its receipt of the Initial Annual Forecast, it
shall be deemed accepted by Abbott. If Abbott objects to the Initial Annual
Forecast within such forty-five (45) day period, the parties will negotiate in
good faith to develop an Initial Annual Forecast that is mutually acceptable to
both parties, subject to subparagraph (iii) below.
If the parties are unable to agree upon a mutually acceptable Initial
Annual Forecast within fifteen (15)
days after beginning negotiations, the matter will be escalated to the President
of NeoGenomics (currently Robert Gasparini) and the President of Abbott
(currently Stafford O’Kelly) for resolution, and if such individuals are unable
to agree upon a mutually acceptable Initial Annual Forecast within an additional fifteen (15) days, the
matter will be resolved in accordance with Section 15.11.

     

                                                (ii)          At least
ninety (90) days prior to the end of the 2012 Calendar Year and at least ninety
(90) days prior to the end of each third Calendar Year thereafter during the
term of this Agreement (i.e., 2015, 2018, etc.),
NeoGenomics will provide to Abbott a written reasonable good faith forecast of
the Service Revenue it expects to realize in each of the following three (3)
Calendar Years from sales of the Melanoma LDT (each, a “Subsequent Annual
Forecast” and together with the Initial Annual Forecast, the “Annual Forecast”). If
Abbott does not object to a Subsequent Annual Forecast within forty-five (45)
days of its receipt of such Subsequent Annual Forecast, it shall be deemed
accepted by Abbott. If Abbott objects to a Subsequent Annual Forecast within
such forty-five (45) day period, the parties will negotiate in good faith to
develop a Subsequent Annual Forecast that is mutually acceptable to both
parties, subject to subparagraph (iii) below; provided however, that unless otherwise mutually agreed by the
parties:

     

    
      	
               
      

            	
              (A)

            	
              if NeoGenomics’ maintains exclusivity pursuant to
      Section 3.4(b), then the Service Revenue projected in each Calendar Year
      forecast included within the applicable Subsequent Annual Forecast shall
      not be lower than the actual Service Revenue realized by NeoGenomics in
      the last Calendar Year of the immediately preceding forecast period;
      or

            

    

     

    
      
        
        

      

      
        7

        
          

        

      

      
        
        

      

    

     

    
      	
               
      

            	
              (B)

            	
              if NeoGenomics does not maintain exclusivity
      pursuant to Section 3.4(b) and Abbott does not convert this Agreement to a
      non-exclusive agreement pursuant to Section 3.4(c), then the Service
      Revenue projected in each Calendar Year forecast included within the
      applicable Subsequent Annual Forecast shall not be lower than the actual
      Service Revenue realized by NeoGenomics in the last Calendar Year of the
      immediately preceding forecast period, divided by seventy-five one
      hundredths (0.75).

            

    

     

    If the
parties are unable to agree upon a mutually acceptable Subsequent Annual
Forecast within fifteen (15) days after beginning negotiations, the matter will
be escalated to the President of
NeoGenomics (currently Robert Gasparini) and the President of Abbott (currently
Stafford O’Kelly) for resolution, and if such individuals are unable to agree
upon a mutually acceptable Subsequent Annual Forecast within an additional fifteen (15) days, the
matter will be resolved in accordance with Section 15.11.

     

                                                (iii)          Notwithstanding
anything in this Agreement to the contrary, unless otherwise expressly agreed by
both parties, neither the Initial Annual Forecast nor any Subsequent Annual
Forecast will be (A) higher than the model forecast for the corresponding
Calendar Year(s) as shown in the model forecast attached hereto as Exhibit C (the “Model Forecast”) or
(B) so long as Abbott has
not exercised its rights pursuant to Section 3.4(c) hereof to convert
NeoGenomics to a non-exclusive arrangement, lower than thirty-five percent (35%)
of the model forecast for the corresponding Calendar Year as shown in the Model
Forecast.

     

                                                (iv)          NeoGenomics
hereby agrees that it will hire the number of sales people, make the marketing
expenditures and otherwise make the commercial investments that NeoGenomics
reasonably believes are necessary to achieve each Annual Forecast. NeoGenomics
and Abbott agree to meet periodically to review and discuss NeoGenomics’ sales
and marketing activities with respect to the Melanoma LDT.

     

                                                (v)    
      On or
before February 15, 2012, and thereafter as soon as figures are available, but
in no event more than forty-five (45) days, after the end of each Calendar Year
during the term of this Agreement, NeoGenomics will provide Abbott with a
written report showing NeoGenomics’ revenue related to performing the Melanoma
LDT for Third Parties, as calculated in accordance with generally accepted
accounting principles (the “Unaudited Revenue”),
during the previous Calendar Year, which the parties acknowledge shall be based
on unaudited financial information for such
Calendar Year (the “Unaudited Report”).
Within ninety (90) days after the end of such Calendar Year during the term of
this Agreement, NeoGenomics will provide Abbott with a written report showing
its Service Revenue during the previous Calendar Year (the “Audited Report”), but
only if the Service Revenue in the Audited Report would differ from NeoGenomics’
Unaudited Revenue as reported in the Unaudited Report. If the Unaudited Report
shows that NeoGenomics’ Unaudited Revenue during the previous Calendar Year was
less than ninety percent (90%) of the applicable Threshold Amount (as defined
below), then the Unaudited Revenue will constitute the Service Revenue for such
Calendar Year for purposes of determining whether Abbott may exercise its rights
under Section 3.4(c) or Section 3.4(d), as applicable. If the Unaudited Report
shows that NeoGenomics’ Unaudited Revenue during the previous Calendar Year is
equal to or greater than 90% of the applicable Threshold Amount, then the
parties will wait until the Audited Report is issued and the actual Service
Revenue, as reported in the Audited Report, will be used for purposes of
determining whether Abbott may exercise its rights under Section 3.4(c) or
Section 3.4(d), as applicable. As used in this paragraph: (A) If Abbott has not exercised its rights
pursuant to Section 3.4(c) or Section 3.4(d), the “Threshold Amount” is
the amount of Service Revenue that NeoGenomics must realize in a given Calendar
Year in order to maintain exclusivity pursuant to Section 3.4(b); or (B) if
Abbott has exercised
its rights pursuant to Section 3.4(c), the “Threshold Amount”
means the amount of Service Revenue that NeoGenomics must realize in a given
Calendar Year in order to avoid Abbott having the right to make the Existing
Customer Election pursuant to Section 3.4(d).

     

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

     

                             
 (b)           Maintenance of
Exclusivity. Beginning with Calendar Year 2011, if NeoGenomics’ Service
Revenue in a Calendar Year equals or exceeds seventy-five percent (75%) of the
Service Revenue forecasted in the Annual Forecast for such Calendar Year, then
NeoGenomics will retain the right to purchase the Exclusive Products from Abbott
on an exclusive basis pursuant to Section 3.2.

    

                          
    (c)           Conversion to
Non-Exclusivity. Beginning with Calendar Year 2011, if NeoGenomics’
Service Revenue in a Calendar Year is less than seventy-five percent (75%) but
at least thirty-five percent (35%) of the Service Revenue forecasted in the
Annual Forecast for such Calendar Year, then Abbott may, in its discretion, upon
written notice to NeoGenomics within ninety (90) days following NeoGenomics’
submission of a written report showing the previous year’s Service Revenue to
Abbott, irrevocably discontinue selling the Exclusive Products to NeoGenomics on
an exclusive basis and begin selling them to NeoGenomics on a non-exclusive
basis. In such event, the Exclusive Products will cease being Exclusive Products
for purposes of this Agreement and Abbott will be free to sell any Products,
including the Exclusive Products, to one or more of its Affiliates or Third
Parties for any purpose; provided, however, that
before exercising its right to convert NeoGenomics to a non-exclusive
arrangement, Abbott will first consult with NeoGenomics regarding the reasons
for the Service Revenue shortfall and will consider in good faith a reasonable
modification to the Annual Forecast to permit NeoGenomics to maintain
exclusivity; provided,
further, that Abbott will have no obligation to agree to such a
modification. Abbott agrees that to the extent it does not exercise its rights
under this Section 3.4(c) within ninety (90) days of being notified of
NeoGenomics’ Service Revenue for the previous Calendar Year, then Abbott will be
deemed to have waived its right to convert this Agreement to a non-exclusive
agreement as a result of any shortfalls in Service Revenue for such Calendar
Year.

     

     

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

     

     

                            
  (d)           Existing Customer
Election. If (i) NeoGenomics’ Service Revenue in a Calendar Year is less
than thirty-five percent (35%) of the Service Revenue forecasted in the Annual
Forecast for such Calendar Year (if Abbott has not converted this
Agreement to a non-exclusive agreement pursuant to Section 3.4(c)); or (ii)
NeoGenomics’ Service Revenue in a Calendar Year is less than forty-five percent
(45%) of the Service Revenue forecasted in the Annual Forecast for such Calendar
Year (if Abbott has
converted this Agreement to a non-exclusive agreement pursuant to Section
3.4(c)); then, in either such event, Abbott may, in its discretion, upon written
notice to NeoGenomics within nine (9) months following NeoGenomics submission of
a written report showing the previous Calendar Year’s Service Revenue to Abbott
(the date which is thirty (30 days after NeoGenomics’ receipt of such notice
being the “Conversion
Date”), elect to sell the Exclusive Products to NeoGenomics only to the
extent necessary for NeoGenomics to service its Pre-Existing Customers (the
“Existing Customer
Election”); provided,
however, that before making such election, Abbott will first consult with
NeoGenomics regarding the reasons for the Service Revenue shortfall and will
consider in good faith a reasonable modification to the Annual Forecast to
permit NeoGenomics to continue to purchase the Exclusive Products on the
non-excusive basis set forth under Section 3.4(c); provided, further, that
Abbott will have no obligation to agree to such a modification. From and after
the Conversion Date, NeoGenomics will have no right to purchase, and Abbott will
have no obligation to sell, Products in excess of the quantities necessary for
NeoGenomics to provide the Melanoma LDT to its Pre-Existing Customers (including
increases in volume requested by Pre-Existing Customers). Upon reasonable prior
written notice, Abbott’s independent third party accounting firm, at Abbott’s
expense, will have the right to audit NeoGenomics’ books and records (but no
more than once every twelve (12) months and only at reasonable times and under
reasonable conditions) to verify that Products sold to NeoGenomics are being
used solely to service Pre-Existing Customers. Prior to any such audit, Abbott’s
independent third party accounting firm shall be required to execute a separate
confidentiality agreement with NeoGenomics, in form and substance reasonably
acceptable to NeoGenomics, that, among other things, shall prohibit such
accounting firm from disclosing the identities of any of NeoGenomics’ customers
to Abbott, any Affiliate of Abbott or any Third Party. If NeoGenomics
intentionally and materially exceeds its rights under this Section 3.4(d),
Abbott shall have the right to terminate this Agreement pursuant to Section
14.2. Abbott agrees that if it does not make the Existing Customer Election
within nine (9) months of being notified of NeoGenomics’ Service Revenue for the
previous Calendar Year, then Abbott will be deemed to have waived its right to
make the Existing Customer Election for such Calendar Year.

    

                           
   (e)           Lowest
Price.

    

                                                (i)          
If Abbott
converts this Agreement to a non-exclusive agreement pursuant
to Section 3.4(c), Abbott will continue to sell the Products to NeoGenomics on
the terms and conditions set forth in this Agreement, except for terms related
to exclusivity; provided, however, that if, following such conversion, Abbott sells
Products to any Third Party (other than academic collaborators) for a price that
is lower than the Purchase Price payable by NeoGenomics hereunder, then
NeoGenomics will be entitled to such lower price for all quantities of such
Products delivered to it for as long as such lower price is effective for any
other buyer; provided,
further, that, if the lower price payable
by a Third Party is based on tiered pricing or other volume discount,
NeoGenomics will be required to commit to at least the same purchase volume as
the Third Party in order to be entitled to the lower price.

     

                                                (ii)         
If Abbot
makes the Existing Customer Election pursuant to Section 3.4(d), Abbott will
continue to sell the Products to NeoGenomics on the terms and conditions set
forth in this Agreement, except for terms related to exclusivity and subject to
the limitations set forth in Section 3.4(d); provided, however, that if,
following such election, Abbott sells Products to any Third Party (other than
academic collaborators) for a price that is lower than the Purchase Price
payable by NeoGenomics hereunder, then NeoGenomics will be entitled to purchase
the Products for a price that is one hundred ten
percent (110%) of such lower price for all quantities of such Products
delivered to it for so long as such lower
price is effective for any other buyer;
provided,
further, that, if the lower price payable
by a Third Party is based on tiered pricing or other volume discount,
NeoGenomics will be required to commit to at least the same purchase volume as
the Third Party in order to be entitled to the lower price.

     

    
      
        
        

      

      
        10

        
          

        

      

      
        
        

      

    

     

                            
  (f)           Changes to Annual
Forecast. If (i) Abbott converts this Agreement to a non-exclusive
agreement pursuant to Section 3.4(c); (ii) the average national reimbursement
rate for automated FISH testing using CPT Code 88367 declines by greater than
five percent (5.0%) from one Calendar Year to the next; (iii) a Third Party
begins marketing an LDT incorporating any of the Products that is reasonably
anticipated to compete in a material way with the Melanoma LDT; or (iv) Abbott
is successful in developing and obtaining FDA approval or clearance for the
Abbott IVD; then Abbott and NeoGenomics will negotiate in good faith to revise
the Annual Forecast currently in effect pursuant to Section 3.4(a) and/or the
performance thresholds set forth in Sections 3.4(b), 3.4(c) and 3.4(d) to
reflect the anticipated impact of such event on NeoGenomics’ Service Revenue. If
Abbott makes the Existing Customer Election, then NeoGenomics will no longer be
required to provide Annual Forecasts pursuant to this Section 3.4, but will
still comply with the forecasting and ordering procedures set forth in Article
5.

    

                              
(g)           Examples. Examples
illustrating the potential application of the provisions set forth in this
Section 3.4 under various scenarios are attached hereto as Exhibit D. Such
examples are provided for illustrative purposes only and are not binding on
either party.

    

               3.5           Sole Remedies. The
rights to convert this Agreement to a non-exclusive agreement, or to make the
Existing Customer Election, pursuant to Sections 3.4(c) and 3.4(d) above shall
constitute Abbott’s sole and exclusive remedies with respect to NeoGenomics’
failure to meet the Service Revenue levels forecasted in the Annual Forecast,
except to the extent such failure is due to NeoGenomics’ fraud or willful
misconduct.

    

               3.6           Compliance. Products
manufactured by Abbott for NeoGenomics under this Agreement shall be
manufactured and tested by Abbott in accordance with the Specifications, Quality
System and GMP Requirements, and all applicable national, state and local laws,
regulations and guidelines.

    

               3.7           Specifications. The
Specifications for the Products will be included in Exhibit A when the
Products are identified pursuant to Section 2.2. The parties may from time to
time amend said Specifications for any Product by mutual written agreement;
provided, that if
Abbott is required by applicable law, rule or regulation to modify the Products
or the Specifications, it will be free to do so, but will provide NeoGenomics
with as much advance notice of such modification as practicable under the
circumstances. In the event that an amendment to the Specifications for a
Product affects the price for such Product, the parties shall, prior to amending
the Specifications, agree in writing upon any price adjustments and ordering and
delivery schedules for such Product.

    

               3.8           Use of Products.
NeoGenomics will not: (a) resell or distribute any Evaluation Products or
Products obtained from Abbott under this Agreement to any Third Party; (b) use
any Evaluation Products or Products past their stated expiration date; (c) use
any Evaluation Products in any manner inconsistent with their intended use; or
(d) use any Evaluation Products or Products outside the Territory.

     

    
      
        
        

      

      
        11

        
          

        

      

      
        
        

      

    

    
 

               3.9           Books and Records; Audit
Rights. NeoGenomics will keep books and records that accurately show
the Service
Revenue. Such books
and records shall be preserved for three (3) years from the last day of each
Calendar Year in which such Service Revenue was realized and shall be open to
audit by an independent accounting firm reasonably acceptable to NeoGenomics and
Abbott, no more frequently than once in any twelve (12) month period, at
reasonable times and under reasonable conditions and upon at least thirty (30)
days prior written notice to NeoGenomics. All information contained in
NeoGenomics’ books and records shall constitute Confidential Information for
purposes of Article 12 of this Agreement and the independent accounting firm
will be required to execute a separate confidentiality agreement reasonably
acceptable to NeoGenomics that, among other things, shall prohibit such
accounting firm from disclosing the identities of any of NeoGenomics’ customers
to Abbott, any Affiliate of Abbott or any Third Party. Abbott will use the
reports of the independent accounting firm only for the purpose of verifying
NeoGenomics’ Service Revenue for the applicable period. Once audited, the books
and record shall be closed for the applicable Calendar Year(s) and may not be
audited again pursuant to this Section 3.9. The costs of such an audit shall be
borne by Abbott; provided,
however, that, if such audit determines that the Service Revenue reported
by NeoGenomics for the audited Calendar Year(s) is at least ten percent (10%)
more than the Service Revenue determined by the auditor for such Calendar
Year(s), then NeoGenomics will promptly reimburse Abbott for the costs of such
audit. Abbott’s right to audit a specific Calendar Year will terminate three (3)
years after the last day of such Calendar Year.

    

    Article
4

    Purchase
Price And Terms

    

               4.1           Purchase Price. The
purchase price (“Purchase Price”) for
the Products shall consist of a base component and a premium
component.

    

                             
 (a)           Base Purchase Price.
The base component of the Purchase Price (the “Base Price”) shall be
as set forth on Exhibit E
hereto.

    

                             
 (b)           Premium Purchase
Price. The premium component of the Purchase Price (the “Premium Price”) shall
be as set forth on Exhibit E
hereto.

    

                            
  (c)           Books and Records; Audit
Rights. NeoGenomics will keep books and records that accurately show
the Quarterly Unit
Purchases. Such
books and records shall be preserved for three (3) years from the last day of
each Calendar Quarter in which such Quarterly Unit Purchases were made and shall
be open to audit by an independent accounting firm reasonably acceptable to
NeoGenomics and Abbott, no more frequently than once in any twelve (12) month
period, at reasonable times and under reasonable conditions and upon at least
thirty (30) days prior written notice to NeoGenomics. All information contained
in NeoGenomics’ books and records shall constitute Confidential Information for
purposes of Article 12 of this Agreement and the independent accounting firm
will be required to execute a separate confidentiality agreement reasonably
acceptable to NeoGenomics that, among other things, shall prohibit such
accounting firm from disclosing the identities of any of NeoGenomics’ customers
to Abbott, any Affiliate of Abbott or any Third Party. Abbott will use the
reports of the independent accounting firm only for the purpose of determining
the accuracy of the Quarterly Reports and ensuring proper payment of the Premium
Price. Once audited, the Quarterly Reports and the Premium Price payments shall
be closed for the applicable Calendar Quarter(s) and may not be audited again.
Except as provided below, within sixty (60) days after notice from Abbott
following completion of the independent accounting firm’s audit covering a given
Calendar Quarter, NeoGenomics will pay to Abbott the amount of any Premium Price
determined by such audit to be outstanding. The costs of such an audit shall be
borne by Abbott; provided,
however, that, if such audit determines that the aggregate Premium Price
paid by NeoGenomics for the audited Calendar Quarter(s) to be at least ten
percent (10%) less than the Premium Price determined by the auditor to be due
and payable, then NeoGenomics will promptly reimburse Abbott for the costs of
such audit. If such audit determines that NeoGenomics overpaid the amount of
Premium Price otherwise determined by the auditor to be due and payable for the
audited Calendar Quarter(s), then Abbott will credit the amount of such
overpayment to NeoGenomics against future amounts payable by NeoGenomics under
this Agreement. Abbott’s right to audit a specific Calendar Quarter or the
Premium Price payments owed with respect thereto, will terminate three (3) years
after Abbott’s receipt of the Quarterly Report relating to such Calendar
Quarter.

     

    
      
        
        

      

      
        12

        
          

        

      

      
        
        

      

    

    
 

               4.2           Evaluation Products.
Abbott shall provide NeoGenomics with reasonable quantities of Evaluation
Products at no cost to NeoGenomics.

    

    Article
5

     Orders
And Forecasting

    

               5.1           Forecasting and
Ordering. Within thirty (30) days following identification of the
Products in Exhibit
A, NeoGenomics shall provide Abbott with a written good faith forecast
for quantities of Products required by NeoGenomics for the subsequent twelve
(12) month period. The forecast shall be a rolling annual forecast and it shall
be updated by NeoGenomics at least ten
(10) days before the end of each Calendar
Quarter and shall provide NeoGenomics’ forecasted requirements of Products for
the subsequent twelve (12) month period. The first three (3) months of each such
forecast shall constitute a firm purchase order for Products. The last nine (9)
months of each forecast shall not be binding on either party and shall be used
for planning purposes and safety stock building. In any Calendar Year,
NeoGenomics will not issue a forecast for, or order, a greater quantity of
Products than NeoGenomics reasonably believes will be necessary to fulfill its
anticipated needs for the Melanoma LDT during such Calendar Year. If Abbott
reasonably believes that NeoGenomics has ordered Products in excess of the
foregoing limitation, Abbott reserves the right to adjust the applicable
purchase order to withhold shipment of such excess quantities.

    

               5.2           Purchase Orders. Firm
purchase orders shall be placed at the end of each Calendar Quarter detailing
the exact quantities of Product which NeoGenomics requires to be delivered in
the following Calendar Quarter, consistent with the forecast provided pursuant
to Section 5.1. Orders shall be placed upon NeoGenomics’ purchase order forms,
specifying quantities of Products ordered and the initial requested delivery
dates, which will be no less than three (3) days after Abbott’s receipt of the
purchase order. NeoGenomics will not be required to specify all delivery dates
for the entire Calendar Quarter on each such advance purchase order, but rather
only those delivery dates reasonably anticipated to meet NeoGenomics’ needs for
the first thirty (30) days of such Calendar Quarter. For all other delivery
dates during the Calendar Quarter, NeoGenomics will give Abbott at least two (2)
days written notice before any such requested delivery date; provided, however, that
NeoGenomics will not specify such subsequent delivery dates more frequently than
two (2) times per month during the remainder of the Calendar Quarter. In all
other respects, the obligations and rights of the parties shall be governed by
the terms and conditions of this Agreement. None of the general terms and
conditions set forth in any purchase order form used by NeoGenomics or any
acknowledgement form used by Abbott shall be applicable. If, as of the last day
of any Calendar Quarter, NeoGenomics has not specified delivery dates for all of
the Products ordered pursuant to its firm purchase order for such Calendar
Quarter, as placed pursuant to this Section 5.2, then Abbott may ship the
remaining undelivered quantities of Products specified in such purchase order to
NeoGenomics during the fifteen (15) day period after such Calendar Quarter, and
Abbott may invoice NeoGenomics for such shipped Products pursuant to Section
6.2.

     

    
      
        
        

      

      
        13

        
          

        

      

      
        
        

      

    

    
 

               5.3           Excess Quantities. If
NeoGenomics orders quantities of Product in any Calendar Quarter in excess of
one hundred ten percent (110%) of the
quantities set forth in the applicable forecast for such Calendar Quarter,
Abbott will first supply such excess quantities from the safety stock
established pursuant to Section 5.4 below. To the extent the excess quantities
ordered by NeoGenomics exceed the safety stock, Abbott will not be obligated to
supply the excess quantities, but Abbott will use commercially reasonable
efforts to supply such excess quantities within thirty (30) days after its
receipt of the applicable purchase order(s).

    

               5.4           Safety Stock. Within
sixty (60) days after the Effective Date, Abbott will establish and at all times
during the term of this Agreement maintain a safety stock of Products
exclusively available to NeoGenomics in quantities sufficient to satisfy
NeoGenomics’ requirements for Products for the succeeding sixty (60) days based
on NeoGenomics’ most recent Quarterly Forecast. Deliveries by Abbott to
NeoGenomics of Products may be taken from the safety stock. Abbott’s safety
stock shall be rotated with its regular inventory of Products to maintain shelf
life. Abbott shall keep NeoGenomics reasonably informed of the level of safety
stock. If the safety stock drops below a sixty (60) day supply, Abbott will use
commercially reasonable efforts to replenish the safety stock as quickly as
practicable. In the event that Abbott terminates this Agreement pursuant to
Section 14.2, Section 14.3 or Section 14.4, NeoGenomics will be obligated to
purchase the unsold portion of said safety stock from Abbott at the price in
effect as of the effective date of termination of this Agreement, provided such
safety stock Products comply with the then current Specifications.

    

               5.5           Failure to Supply;
Resumption. In the event that Abbott fails or will fail, for any reason
(including an event of force majeure), to supply a Product in accordance with
the quantities and/or delivery dates specified by NeoGenomics in a firm purchase
order, and before exhausting the safety stock of such Product, Abbott will
promptly notify NeoGenomics and shall have a period of forty five (45) days to
cure such failure. During such forty-five (45) day cure period, if Abbott is
able to supply some but not all of its other customers’ demands and elects to do
so, then NeoGenomics may require Abbott to equitably allocate its manufacturing
capacity among NeoGenomics’ requirements for Products and all other customers’
demands (based on relative percentages of total sales for the three (3) months
immediately preceding the onset of Abbott’s failure). If Abbott’s failure to
timely supply continues, or is reasonably
expected to continue, for more than forty-five (45) days, NeoGenomics may, at
its discretion and upon written notice to Abbott: (a) continue to receive an
allocated portion of the quantities of Products; (b) require Abbott to supply
the undelivered Products at a future date agreed upon by the parties in writing;
or (c) obtain the quantity of Products that Abbott is unable to supply from a
Third Party mutually agreed upon by the parties and who has a valid license from
Abbott to manufacture the Products. If NeoGenomics chooses clause (c) and no
Third Party has such a license for the Products, Abbott agrees that it will use
its commercially reasonable efforts to negotiate such a license as expeditiously
as practicable and that it will not unreasonably withhold granting such a
license in order that NeoGenomics can continue to receive Products without
interruption. For avoidance of doubt, notwithstanding the foregoing, Abbott will
have no obligation to grant a license to a Third Party on commercially
unreasonable terms or if granting such a license would result in any material
adverse consequences to Abbott under any agreement between Abbott and any of its
licensors. NeoGenomics shall have the right to
adjust the Annual Forecast under Article 3 of this Agreement in the event Abbott
is unable to supply a Product in accordance with the quantities or delivery
dates specified by NeoGenomics in a firm purchase order. If NeoGenomics
elects under clause (c) above to obtain Products from a Third Party, and Abbott
is thereafter able to demonstrate, to NeoGenomics’ reasonable satisfaction, that
Abbott is again able to consistently supply such Products to NeoGenomics, then
NeoGenomics will resume purchasing the Products from Abbott for the remainder of
the term of this Agreement within ninety
(90) days after Abbott’s demonstrated
capabilities to resume supply; provided, that such time
period will be extended to the extent of NeoGenomics’ pre-existing contractual
purchase commitments with the Third Party (if any), but not to exceed an
additional one hundred eighty (180) days.

     

    
      
        
        

      

      
        14

        
          

        

      

      
        
        

      

    

    
 

    Article
6

     Delivery
And Invoicing

    

               6.1           Delivery Terms.
Abbott will ship Products ordered by NeoGenomics, FCA (Incoterms 2000), Abbott’s
manufacturing facility, in accordance with the quantities, delivery dates, and
delivery and shipping instructions specified in NeoGenomics’ purchase orders. If
the carrier noted on the purchase order is not available, or if the purchase
order does not designate a carrier, then Abbott shall contact NeoGenomics for
instructions regarding the mode of shipment. Unless otherwise directed by
NeoGenomics, Abbott will obtain insurance for all shipments of Products, at
NeoGenomics’ expense. Abbott’s responsibility shall be to deposit the ordered
Products with the designated carrier within the shipping periods specified, and
Abbott shall not be liable for late delivery if so accomplished. Title and risk
of loss shall pass to NeoGenomics upon delivery to the designated carrier for
shipment. Abbott will inform the carrier of any temperature, pressure or other
special storage or handling instructions for the Products.

    

               6.2            Invoices and Payment.
Abbott shall invoice NeoGenomics for Products (and shipping and insurance costs)
upon shipment of the Products ordered by NeoGenomics. Such invoices shall be
paid in full within thirty (30) days of the date such invoice is received by
NeoGenomics. All payments hereunder shall be sent via check or wire transfer as
follows:

    

                               
If by check:

    

                               
Abbott Laboratories Inc.

                               
75 Remittance Drive Suite #6809

                               
Chicago, IL 60675-6809

     

    
      
        
        

      

      
        15

        
          

        

      

      
        
        

      

    

    
 

                               
If by wire transfer:

    

                               
Northern Trust Company

                               
Chicago, Illinois

                               
ABA: 071000152

                               
Swift Code: CNORUS44

                               
Acct Name: Abbott Molecular Inc.

                               
Acct Number: 31599333

    

               6.3           Currency. All
invoices under this Agreement shall be stated and paid in United States
dollars.

    

               6.4           Taxation. The prices
quoted herein do not include the costs of any taxes, licenses, permits, fees or
tariffs which may be levied by any government or governmental agency on the sale
or transport of Products. Any such taxes, licenses, permits, fees or tariffs
which are paid by Abbott (excluding taxes on Abbott’s net income) shall be
included in the invoices issued to NeoGenomics.

    

    Article
7

     Manufacturing
And Quality Assurance

    

               7.1           Manufacture. Abbott
shall manufacture the Products in accordance with: (a) the Specifications; (b)
applicable Quality Systems and GMP Requirements; and (c) all pertinent rules and
regulations of the FDA, as the same may be amended from time to
time.

    

               7.2           Testing. Abbott shall
test or cause to be tested each lot of Product in accordance with standard
operating procedures to be set forth in Exhibit F upon
identification of the Products pursuant to Section 2.2 (“Release
Testing”).

    

               7.3           Certificate of
Analysis. Abbott will deliver all Products with a certificate of analysis
(“CoA”)
verifying their compliance with the current Specifications. The CoA will be lot
specific and conform to the requirements in the Specifications. The CoA must
show a summary of the physical inspection, Release Testing, and performance
testing results, and have Abbott’s quality representative’s signature and date
of approval. Abbott will send a CoA to NeoGenomics with each delivery of
Products. NeoGenomics is entitled to rely on such CoA for all purposes of this
Agreement. Nothing in this Agreement shall be construed to require NeoGenomics
to perform any incoming testing, analytical or otherwise, on any Products
received from Abbott.

     

    
      
        
        

      

      
        16

        
          

        

      

      
        
        

      

    

    
 

               7.4           Product Dating. Each
Product shall have at least twelve (12) months of remaining shelf life on the
date of delivery to NeoGenomics’ designated carrier.

    

               7.5           Manufacturing Site.
During the term of this Agreement, Abbott shall manufacture Product using
Abbott’s facilities located in Des Plaines, Illinois, or wherever Abbott may
relocate its manufacturing facilities; provided, however, Abbott
must give at least ninety (90) days prior written notice to NeoGenomics of any
such relocation. Abbott’s new facility shall be subject to one (1) additional
site inspection by NeoGenomics quality assurance personnel, in accordance with
Section 8.2, and Abbott shall use commercially reasonable efforts to have the
new manufacturing site become acceptable to NeoGenomics’ quality policies within
nine (9) months of relocating Product manufacture.

    

               7.6           Non-Conforming
Product. Within forty-five (45) days of NeoGenomics’ receipt thereof,
NeoGenomics may reject any Product supplied hereunder which does not conform to
the Specifications (“Non-Conforming
Product”), provided that such Non-Conforming Product has not become
non-conforming due to any failure by NeoGenomics or its agents or
representatives to handle, maintain or store such Product as required by the
labeling or the Specifications. NeoGenomics shall provide written notice to
Abbott specifying the reason for such rejection. If NeoGenomics does not reject
any Product supplied hereunder within forty-five (45) days of NeoGenomics’ receipt thereof, the
Product shall be considered accepted, and all claims with respect to Product not
conforming with Specifications shall be deemed waived by NeoGenomics, except as
to latent defects which are not reasonably discoverable within such forty-five (45) day period. At the request and expense of
Abbott, NeoGenomics shall return the defective Product, or a representative
sample thereof, to Abbott for testing. Should such test results reasonably
confirm the Product is a Non-Conforming Product, as promptly as practicable (but
in no event more than thirty (30) days) after such determination, Abbott shall
send conforming replacement Products to NeoGenomics at no cost to NeoGenomics.
At Abbott’s direction, NeoGenomics will either return all Non-Conforming
Products to Abbott’s facilities, at Abbott’s expense, or destroy all
Non-Conforming Products and certify such destruction in writing.

    

               7.7           Product Retains.
Abbott will provide, at no additional charge, three (3) samples of each lot of
Products supplied to NeoGenomics under this Agreement, and NeoGenomics will
retain such samples for at least one (1) year beyond the expiration date of such
lot. In the event of a dispute regarding any Non-Conforming Product that Abbott
and NeoGenomics are unable to resolve in a timely manner, a sample of the
alleged Non-Conforming Product and two (2) of the retained samples from such lot
of such Product, along with a reference batch which has previously been accepted
by NeoGenomics as conforming to the Specifications, together with the testing
methodologies agreed upon by the parties, shall be submitted by NeoGenomics to
an independent laboratory reasonably acceptable to both parties for testing
against the Specifications. The laboratory’s determination of the Product’s
conformance or non-conformance to the Specifications shall be binding upon the
parties. If the laboratory determines that the Product is conforming,
NeoGenomics will pay all independent laboratory costs, as well as any shipping
costs incurred by Abbott in connection with the laboratory’s determination. If
the laboratory determines that the Product is non-conforming, Abbott will pay
all independent laboratory costs, as well as any shipping costs incurred by
NeoGenomics in connection with the laboratory’s determination.

     

    
      
        
        

      

      
        17

        
          

        

      

      
        
        

      

    

    
 

               7.8           Quality System.
Abbott will maintain a quality system to ensure that the Products are
manufactured in accordance with: (a) applicable Quality Systems and GMP
Requirements; and (b) all pertinent rules and regulations of the FDA, as the
same may be amended from time to time.

    

               7.9           Product Safety. Each
party will be solely responsible for implementing and maintaining its own
environmental, health and safety procedures for the handling, storage and use of
the Products and any other materials or hazardous waste which may be used or may
arise in connection with the use of the Products. The parties will cooperate
reasonably and in good faith to ensure employee and public safety.

    

    Article
8

     Regulatory
Matters

    

               8.1           Notice of Regulatory Agency
Action. Each party shall, as promptly as practicable (but in any event
within ten (10) days) inform the other party of any formal or informal inquiry,
notice, warning or other communication from any regulatory authority relating to
any Products or the Melanoma LDT.

    

               8.2           Site Inspections.
Upon at least five (5) days prior notice, Abbott shall, from time to time during
the term of this Agreement, but no more frequently than once per Calendar Year,
allow representatives of NeoGenomics to tour and inspect all facilities utilized
by Abbott in manufacturing, testing, packaging and shipment of Products sold to
NeoGenomics under this Agreement for the purposes of verifying compliance with
quality control regulations. During such visits, Abbott shall provide reasonable
access to its manufacturing quality control documentation and shall cooperate
with such representatives in every reasonable manner. NeoGenomics shall also
have the right at any time, upon reasonable prior written notice to Abbott (as
dictated by applicable regulatory authorities’ requirements), to conduct any
audits that are specifically mandated by any regulatory authority or that are
reasonably required to permit NeoGenomics to respond to specific questions from
any regulatory authority.

    

               8.3           Regulatory Agency
Compliance. Each party shall comply with any applicable laws and
regulations that require such party to: (a) allow representatives of the FDA or
any other regulatory authority with jurisdiction over the manufacture or
marketing the Products or the Melanoma LDT, as applicable, to tour and inspect
all facilities utilized by Abbott in the manufacture, testing, packaging,
storage and shipment of Products sold under this Agreement or by NeoGenomics in
the design, development, validation or performance of the Melanoma LDT; or (b)
respond to requests for information from the FDA or any other regulatory
authority having jurisdiction over the manufacture or marketing of the Products
or the Melanoma LDT. Each party shall notify the other party as promptly as
practicable (but in any event within ten (10) days) whenever such party receives
notice of a pending inspection by any United States regulatory agency of any
facility that is used in the manufacturing, packaging, storage or shipment of
Products, or the design, development, validation and performance of the Melanoma
LDT, as applicable.

     

    
      
        
        

      

      
        18

        
          

        

      

      
        
        

      

    

    
 

    Article
9

    Melanoma
LDT, Abbott IVD,

    Other
Tests, Third Party Proposals

    

               9.1           Development of Melanoma
LDT. If NeoGenomics elects to develop the Melanoma LDT as contemplated,
it shall be solely responsible for designing, developing and validating the
Melanoma LDT in accordance with all applicable laws, including without
limitation the Act, the Clinical Laboratory Improvement Amendments (“CLIA”) and any rules,
regulations or guidance promulgated thereunder, and it shall use commercially
reasonable efforts to do so as quickly as possible. Without limiting the
foregoing, NeoGenomics will also be solely responsible for determining which
ASRs to include in the Melanoma LDT. Abbott will not participate or be involved
in any way with the design, development or validation of the Melanoma LDT, or
with determining which ASRs to include in the Melanoma LDT. Solely as may be
requested and directed by NeoGenomics, and as permitted by applicable law, rules
and regulations, Abbott may agree to optimize or customize existing ASRs, or to
develop new ASRs, for NeoGenomics’ use in connection with the Melanoma LDT;
provided, however, that
Abbott may do so only in accordance with NeoGenomics’ independently developed
technical requests or instructions. Such customized, optimized or new ASRs would
then constitute Evaluation Products, Products, and/or Exclusive Products for
purposes of this Agreement.

    

               9.2           Failure to Develop.
If NeoGenomics does not develop and launch the Melanoma LDT within six (6)
months after the date on which Abbott first supplies Products (as identified on
Exhibit A and
excluding Evaluation Products) to NeoGenomics under this Agreement, and if such
failure or delay is due to causes beyond NeoGenomics’ reasonable control or to
new or changed circumstances not anticipated by the parties, then Abbott will
consult with NeoGenomics regarding the reasons for such failure or delay and
will consider in good faith a reasonable extension of time for NeoGenomics to
complete development and launch of the Melanoma LDT; provided, however, that
Abbott will have no obligation to grant such an extension of time. If, after
fifteen (15) days of such consultation and good faith consideration, Abbott does
not agree to an extension of time, then it may, in its sole discretion, upon
written notice to NeoGenomics, either: (a) convert this Agreement to a
non-exclusive agreement pursuant to Section 3.4(c); or (b) terminate this
Agreement. Notwithstanding the foregoing, in the event that NeoGenomics, due to
factors beyond its reasonable control, encounters delays in receiving patient
samples with the appropriate patient consents beyond sixty (60) days from the
Effective Date, then the six (6) month deadline in the first sentence of this
Section 9.2 shall be extended day for day for up to an additional sixty (60)
days.

    

               9.3           Marketing of Melanoma
LDT. NeoGenomics will be solely responsible for marketing, promoting,
offering, selling, performing and billing customers and/or Third Party payors
for the Melanoma LDT in accordance with applicable law, rules and regulations.
Abbott and its Affiliates will not participate in any way, directly or
indirectly, in the foregoing activities and will not engage in any co-promotion
or other similar activities intended to promote or otherwise create demand for
the Melanoma LDT.

     

    
      
        
        

      

      
        19

        
          

        

      

      
        
        

      

    

    
 

               9.4           Abbott
IVD.

    

                           
   (a)           Right to Continue Developing
Abbott IVD. Nothing in this Agreement will prevent or restrict Abbott
from continuing to develop and seeking FDA approval or clearance for the Abbott
IVD, which may include ASRs that are similar or identical to the Products,
including the Exclusive Products. To the extent permitted by, and subject to,
all applicable laws and regulations, including those relating to data privacy,
if requested by Abbott, NeoGenomics will provide Abbott with data generated in
clinical studies conducted in connection with the Melanoma LDT for the purpose
of supporting Abbott’s regulatory submissions for the Abbott IVD; provided, that NeoGenomics
shall have no obligation to provide such data if Abbott has terminated this
Agreement for any reason.

    

                            
  (b)           Co-Exclusive Rights.
If Abbott is successful in developing and obtaining FDA approval or clearance
for the Abbott IVD, Abbott will offer to NeoGenomics the co-exclusive right to
purchase the Abbott IVD and offer it as a service to its customers through its
laboratories (the “IVD
Opportunity”). Such right will be co-exclusive with Abbott, and Abbott
would agree not to sell the Abbott IVD, or sell or license the technology
underlying the Abbott IVD, to Third Party laboratories (other than academic
collaborators for research purposes) during the term of the IVD Agreement (as
defined below), so long as NeoGenomics maintains co-exclusivity in accordance
with subparagraph (d) below.

    

                       
       (c)           IVD Agreement. Abbott
and NeoGenomics both acknowledge and agree that if Abbott is successful in
developing and obtaining FDA approval or clearance for the Abbott IVD and if
NeoGenomics elects to purchase and offer the Abbott IVD, the parties will use
their commercially reasonable best efforts and will negotiate in good faith to
enter into a separate written agreement (the “IVD Agreement”)
setting forth pricing and other terms and conditions substantially similar to the terms and conditions in this
Agreement, modified as appropriate to
reflect the different types of products, provided, that the effective price of the Abbott IVD will not
materially change from the aggregate Purchase Price paid under this Agreement by
NeoGenomics for the Products used in its Melanoma LDT (calculated on a per test
basis). Notwithstanding the foregoing:

    

    
      	
               
      

            	
              (i)

            	
              if Abbott utilizes ASRs in the Abbott IVD which
      are different than the Products utilized in the Melanoma LDT and the ASRs
      used in the Abbott IVD are subject to licensing and/or royalty payments
      for the intellectual property underlying such ASRs that are higher in the
      aggregate than the licensing and/or royalty payments incurred for the
      Products used in the Melanoma LDT, then, after conferring with NeoGenomics
      and outlining the differences in royalties and licensing fees underlying
      the ASRs, Abbott shall have the right to pass through solely the effects
      of such incremental royalty/licensing costs to NeoGenomics in the
      effective pricing for the Abbott IVD;
  and/or

            

    

     

    
      
        
        

      

      
        20

        
          

        

      

      
        
        

      

    

    
 

    
      	
               
      

            	
              (ii)

            	
              if the Abbott IVD includes a greater number of
      ASRs (i.e., probes) than NeoGenomics uses in its Melanoma
      LDT, the price for the Abbott IVD will be increased proportionately (but
      taking into account manufacturing costs for such additional ASR(s) used in
      the Abbott IVD to the extent such manufacturing costs are greater than the
      manufacturing costs for the Products used in the Melanoma LDT) to reflect
      such greater number of ASRs.

            

    

     

    In addition, in connection with entering into the IVD
Agreement, Abbott and NeoGenomics will use their commercially reasonable best
efforts and negotiate in good faith to agree upon new annual forecasts pursuant
to the IVD Agreement to reflect the anticipated impact to NeoGenomics of the
Abbott IVD which new annual forecasts will not be materially higher than the
Annual Forecasts for the Melanoma LDT. At least ninety (90) days prior to
Abbott’s anticipated submission of a Pre-Market Approval application (PMA) for
the Abbott IVD, Abbott will provide NeoGenomics with written notice offering it
the IVD Opportunity. If NeoGenomics elects to commence negotiations relating to
the IVD Opportunity, it will so notify Abbott in writing within ten (10) days
after its receipt of such notice. If NeoGenomics does not elect to
purchase and offer the Abbott IVD within ten (10) days after its receipt of such
notice, or if the parties are unable to reach agreement as to the terms of the
IVD Agreement within sixty (60) days of good faith negotiations consistent with
this paragraph (c) after NeoGenomics elects to enter into negotiations with
respect to the IVD Opportunity, the matter will be escalated to the President of
NeoGenomics (currently Robert Gasparini) and the President of Abbott (currently
Stafford O’Kelly) for resolution.

    

                              
(d)           Maintenance of
Co-Exclusivity; Termination. Without limiting the foregoing, the parties
agree that the IVD Agreement will contain provisions substantially similar to
those set forth in Section 3.4 of this Agreement requiring annual forecasts and
annual reviews thereof with respect to NeoGenomics’ sales of the Abbott IVD, and
its maintenance of its co-exclusive rights. The parties agree that the IVD
Agreement will permit Abbott, in its sole discretion to: (i) in a manner
consistent with Section 3.4(c) of this Agreement, convert the IVD Agreement to a
non-exclusive agreement if NeoGenomics’ actual sales of the Abbott IVD in a
given Calendar Year are less than seventy-five percent (75%) of the agreed upon
annual sales forecast for such Calendar Year; and (ii) in a manner consistent
with Section 3.4(d) of this Agreement, limit purchases of the Abbott IVD to
pre-existing customers if NeoGenomics’ actual sales of the Abbott IVD in a given
Calendar Year are less than thirty-five percent (35%) of the agreed upon annual
sales forecast for such Calendar Year.

     

    
      
        
        

      

      
        21

        
          

        

      

      
        
        

      

    

    
 

               9.5           Other Tests. Abbott hereby grants to NeoGenomics a first right to
develop two (2) additional LDTs using Abbott ASRs, other Abbott products and/or
Abbott Intellectual Property relating to the disease states identified in
Exhibit
G (each, an “Additional Test”). NeoGenomics will notify Abbott in writing within
ninety (90) days after the Effective Date if it elects to commence negotiations
relating to the first Additional Test described in Exhibit G (the “Initial Decision
Period”). Abbott will notify NeoGenomics in
writing when Abbott believes that its products or intellectual property relating
to other potential Additional Tests are ready to be commercialized, which notice
will describe the applicable products and/or intellectual property in reasonable
detail; provided, that Abbott will not deliver such notice to
NeoGenomics prior to the earlier of June 30, 2010, or the date which is thirty
(30) days after the parties have executed a Subsequent Development Agreement (as
defined below) regarding the first Additional Test described in Exhibit G. If NeoGenomics elects to commence negotiations
relating to an Additional Test other than the first Additional Test described in
Exhibit
G, it will so notify Abbott in writing
within thirty (30) days after its receipt of notice from Abbott relating to such
Additional Test (the “Additional Decision
Period” and together with the Initial
Decision Period, each a “Decision Period”). Subject to the terms hereof, until the
expiration of both the applicable Decision Period and Negotiation Period with
respect to an Additional Test, Abbott shall not pursue negotiations with, nor
negotiate with or furnish information regarding such Additional Test to any
Third Party (except academic collaborators for research purposes). Each date on which NeoGenomics provides written notice
of its desire to commence negotiations regarding an Additional Test is referred
to herein as a “Commencement
Date.” For a period of ninety (90) days
following a Commencement Date (an “Initial Negotiation
Period”), the parties will negotiate
exclusively and in good faith to enter into a definitive agreement (a
“Subsequent
Development Agreement”) providing for the
development and commercialization of the applicable Additional Test;
provided,
however, that neither party will be
obligated to enter into such a Subsequent Development Agreement except on
mutually acceptable terms and conditions. The parties intend and agree that each
Subsequent Development Agreement shall be negotiated in good faith based upon
the same guiding principles and economic models that were the basis for this
Agreement, and each Subsequent Development Agreement will, to the extent
applicable in light of the different products and intellectual property at
issue, contain terms and conditions that are similar to the terms and conditions
in this Agreement. If, for any reason, the parties do not execute a Subsequent
Development Agreement for a particular Additional Test, the parties rights and
obligations under this Section 9.5 shall continue with respect to the other
Additional Tests. If the parties execute Subsequent Development Agreements
relating to any two (2) of the Additional Tests, the parties’ respective rights
and obligations under this Section 9.5 shall terminate with respect to the other
Additional Tests. If NeoGenomics does not notify Abbott of its election to
commence negotiations for an Additional Test within the above thirty (30) day
or ninety (90)  day period, as applicable, Abbott will be free to enter into one or more
agreements with one or more Third Parties regarding the development and
commercialization of such Additional Test. If the parties do not execute a
Subsequent Development Agreement within ninety (90) days after the Commencement
Date for an Additional Test, the matter will be escalated to the
President of NeoGenomics (currently Robert Gasparini) and the President of
Abbott (currently Stafford O’Kelly) for resolution, and such individuals shall
have an additional fifteen (15) days (the “Escalated Negotiation
Period”) in which to negotiate in good faith the terms of such Subsequent
Development Agreement. If such individuals are unable to agree upon the terms of
such Subsequent Development Agreement within such additional fifteen (15) day
period, Abbott will be free to enter into one or
more agreements with one or more Third Parties regarding the development and
commercialization of the applicable Additional Test, and NeoGenomics will have
no further rights with respect thereto.

     

    
      
        
        

      

      
        22

        
          

        

      

      
        
        

      

    

    
 

               9.6           Third Party Proposal.
If at any time during the term of this Agreement, there is a Third Party
Proposal, then NeoGenomics will notify Abbott in writing of such Third Party
Proposal thirty (30) days prior to
acceptance of such Third Party Proposal, such notice to include a
reasonably detailed description of such Third Party Proposal including the
identity of the Third Party involved to the extent not precluded by a
confidentiality agreement with such Third Party and a description of the
relevant terms of such Third Party Proposal including the name of the Third
Party if such Third Party is one of the parties listed on Exhibit I. As used
herein, “Third Party
Proposal” means: any written offer with
respect to any: (i) merger, consolidation, other business combination or
similar transaction involving NeoGenomics or any of its subsidiaries; (ii) sale,
lease, license or other disposition, directly or indirectly, whether by merger,
consolidation, business combination, share exchange, joint venture or otherwise,
of assets of NeoGenomics (including equity interests of any of its subsidiaries)
or any subsidiary of NeoGenomics representing fifty percent (50%) or more of the consolidated assets, revenues
or net income of NeoGenomics and its subsidiaries; (iii) sale, lease, license or
other disposition, directly or indirectly, of all or substantially all of
NeoGenomics’ assets that are used in designing, developing, validating,
marketing, selling, performing or billing for the Melanoma LDT; (iv) issuance or
sale or other disposition (including by way of merger, consolidation, business
combination, share exchange, joint venture or similar transaction) of equity
interests representing fifty percent (50%) or more of the voting power of NeoGenomics;
(v) transaction or series of transactions in which any Third Party would acquire
beneficial ownership or the right to acquire beneficial ownership, or any group
(each as defined in Section 13(d) of the Securities Exchange Act of 1934, as
amended, and the rules and regulations promulgated thereunder) has been formed
which beneficially owns or has the right to acquire beneficial ownership, of
equity interests representing fifty percent
(50%) or more of the voting power of
NeoGenomics; or (vi) any combination of the foregoing.

    

    Article
10

     Representations
And Warranties

    

               10.1         Abbott Representations and
Warranties. Abbott represents and warrants to NeoGenomics
that:

    

                             
 (a)           it
has the full power and right to enter into this Agreement and it is not
currently a party to any other agreements that are inconsistent with the
provisions of this Agreement;

    

                           
   (b)           the
Products will be manufactured in accordance with the Specifications, Quality
Systems and GMP Requirements, as required by the Act, all pertinent rules and
regulations of the FDA, and all other applicable national, state and local laws,
regulations, and guidelines;

    

                               (c)           the
Products will not be adulterated or misbranded within the meaning of the
Act;

    

                           
   (d)           Abbott
owns or has the exclusive right to grant licenses and sublicenses to the patents
and patent applications listed in Exhibit H;
and

    

                            
  (e)           Abbott
has not granted any licenses or sublicenses to any Third Party under the patents
and patent applications listed in Part 2 of Exhibit H. 

    

               10.2         NeoGenomics Representations
and Warranties. NeoGenomics represents and warrants to Abbott
that:

     

    
      
        
        

      

      
        23

        
          

        

      

      
        
        

      

    

    
 

                               (a)           it
has the full power and right to enter into this Agreement and it is not
currently a party to any other agreements that are inconsistent with the
provisions of this Agreement; and

    

                           
   (b)           the
Melanoma LDT will be designed, developed, validated, marketed, sold, performed
and billed by NeoGenomics in strict compliance with all applicable laws and
regulations.

    

               10.3         Disclaimers.

    

                               (a)           Abbott
makes no representation or warranty of any kind relating to the Melanoma LDT or
any analytical or clinical performance claims concerning the Products (including
the Evaluation Products), including without limitation any claim that the
Products (including the Evaluation Products) are appropriate or suitable for use
in the Melanoma LDT.

    

                            
  (b)          Except as
expressly set forth in this Agreement, Abbott makes no representations or
warranties of any kind, either express or implied, including, but not limited
to, implied warranties of merchantability, fitness for a particular purpose or
non-infringement.

    

    Article
11

     Intellectual
Property

    

               11.1         Abbott Intellectual
Property. Abbott (or its Affiliate) will be and remain the sole and
exclusive owner of all right, title and interest in and to any and all
Intellectual Property that is owned or developed by Abbott or its
Affiliates.

    

               11.2         NeoGenomics Intellectual
Property. NeoGenomics (or its Affiliate) will be and remain the sole and
exclusive owner of all right, title and interest in and to any and all
Intellectual Property that is: (a) owned or developed by NeoGenomics or its
Affiliates prior to the Effective Date; or (b) developed by NeoGenomics (or its
Affiliate) on or after the Effective Date and does not arise or result from use
or incorporation of the Products in any way.

    

               11.3         Joint Intellectual
Property. Any Intellectual Property developed by NeoGenomics after the
Effective Date that arises or results from, or that uses or incorporates the
Products in any way (including the Melanoma LDT) shall be jointly owned by
NeoGenomics and Abbott. Neither party shall license such jointly owned
Intellectual Property without the prior written consent of the other party,
which shall not be unreasonably withheld.

    

               11.4         No New License
Grants. After the Effective Date, Abbott will not grant to any Third
Party any license or sublicense under the patents and patent applications listed
in Part 2 of Exhibit
H for practice in the Territory in the field of melanoma
diagnosis.

     

    
      
        
        

      

      
        24

        
          

        

      

      
        
        

      

    

    
 

    Article
12

    Confidential
Information

    

               12.1         Confidential
Information. It is contemplated that in the course of the performance of
this Agreement each party may, from time to time, disclose certain trade secrets
and other non-public, proprietary and/or confidential information to the other
(“Confidential
Information”). Each party (the “Receiving Party”)
agrees that it will not disclose Confidential Information received from the
other party (the “Disclosing Party”)
and that it will not use Confidential Information disclosed to it by the
Disclosing Party for any purpose other than to fulfill its obligations under
this Agreement. Confidential Information includes, without limitation: (a)
information constituting trade secrets of either party; (b) information relating
to existing or contemplated products, services, technology, designs, processes,
formulae and research and development (in whatever stage) of either party; (c)
information relating to technology, patent rights or products of either party;
(d) information relating to business plans, methods of doing business, sales or
marketing methods, customer lists, customer usages or requirements of either
party; and (e) any other information disclosed hereunder that is either
identified as confidential or, from the nature of the information or the
circumstances surrounding its disclosure, should reasonably be considered to be
confidential.

    

               12.2         Exclusions.
Confidential Information does not include information that:

    

                             
 (a)           was
already known to the Receiving Party, other than under an obligation of
confidentiality to the Disclosing Party, at the time of disclosure by the other
party;

    

                            
  (b)           is
or becomes generally available to the public or otherwise part of the public
domain other than through the Receiving Party’s breach of this
Agreement;

    

                             
 (c)           was
disclosed to the Receiving Party, other than under an obligation of
confidentiality, by a Third Party who, to the Receiving Party’s knowledge, had
no obligation to the Disclosing Party not to disclose such
information;

    

                          
    (d)           was
developed by the Receiving Party independently and without reference to
Confidential Information received from the Disclosing Party as evidenced by the
Receiving Party’s own written records;

    

                              
(e)           was
disclosed to the Receiving Party pursuant to the last sentence of Section
9.4(a), solely to the extent used for the purposes described therein;
or

    

                              
(f)           was
disclosed to the Receiving Party for purposes of prosecuting Intellectual
Property rights arising under Section 11.3, solely to the extent used for the
purposes described therein.

    

               12.3         Term of Confidentiality;
Safeguarding. Except as otherwise agreed in writing, during the term of
this Agreement and for a period of five (5) years following the expiration or
termination of this Agreement for any reason, the Receiving Party shall take at
least the same measures to protect the confidentiality of the Disclosing Party’s
Confidential Information as it takes to protect its own proprietary and
confidential information of like kind and sensitivity, but in no event shall the
Receiving Party use less than reasonable care.

     

    
      
        
        

      

      
        25

        
          

        

      

      
        
        

      

    

    
 

               12.4         Disclosure Required by
Law. In the event that a Receiving Party is required by applicable
law, rule or regulation or by judicial or
administrative process to disclose the Disclosing Party’s Confidential
Information, the Receiving Party will notify the Disclosing Party as promptly as
practicable and allow the Disclosing Party to oppose such process and/or seek
protective order to limit exposure to and dissemination of said Confidential
Information. The Receiving Party will cooperate with the Disclosing Party (at
the Disclosing Party’s expenses) in opposing such process or seeking a
protective order. If the Disclosing Party is unsuccessful, the Receiving Party
may disclose the requested Confidential Information to the minimum extent
required by law.

    

               12.5         Publicity. Neither
party shall use the name or trademarks of the other party in any publicity,
advertising or in any written, verbal or any other form of public disclosure
without the express written consent of the other party. Notwithstanding the
foregoing, Abbott agrees that it will work in good faith with NeoGenomics to
develop a standard set of talking points about the nature of this Agreement that
NeoGenomics can use to answer investor questions related to its relationship
with Abbott and that once such talking points have been approved, NeoGenomics
will not be required to seek the written consent of Abbott to utilize such
talking points with investors. Abbott further agrees that it will work with
NeoGenomics to develop a mutually acceptable written description of this
Agreement and the relationship with Abbott contemplated by this Agreement which
can be utilized in NeoGenomics’ parent company’s periodic filings with the SEC,
and that once such written description has been approved by Abbott, NeoGenomics
will not need to obtain further approvals from Abbott to utilize such written
description in NeoGenomics’ parent company’s filings with the SEC, unless there
are material changes to such description.

    

               12.6         Existence of the
Agreement. The existence of and the relationship created under this
Agreement is confidential and shall be treated as Confidential Information
pursuant to the terms of this Agreement.

    

               12.7         Required Securities
Disclosure. Notwithstanding anything to the contrary in this Agreement,
if NeoGenomics is required to file a copy of this Agreement with the Securities
and Exchange Commission, it shall provide Abbott with as much notice as possible
and allow Abbott a reasonable opportunity to review and comment on any redacted
version of this Agreement before it is filed by NeoGenomics, provided that
NeoGenomics will bear the sole responsibility of ensuring its own compliance
with applicable securities laws.

    
 

    Article
13

     Indemnification
And Liability

    

               13.1         Indemnification by
Abbott. Abbott will indemnify, defend and hold harmless NeoGenomics and
its Affiliates, employees, officers, directors and agents (collectively, the
“NeoGenomics
Indemnitees”) from and against any suit, proceeding, claim, liability,
loss, damage, fines, penalties, costs or expense, including reasonable
attorneys’ fees (collectively, “Losses”) that any of
the NeoGenomics Indemnitees may hereinafter incur, suffer, or be required to pay
arising out of or resulting from: (a) any breach by Abbott of the terms of this
Agreement; or (b) Abbott’s negligence or willful misconduct. The foregoing
indemnity shall not apply to the extent that any Losses arise or result from the
negligence or willful misconduct of the NeoGenomics Indemnitees.

     

    
      
        
        

      

      
        26

        
          

        

      

      
        
        

      

    

    
 

               13.2         Indemnification by
NeoGenomics. NeoGenomics will indemnify, defend and hold harmless Abbott
and its Affiliates, employees, officers, directors and agents (collectively, the
“Abbott
Indemnitees”) from and against any Losses that any of the Abbott
Indemnitees may hereinafter incur, suffer, or be required to pay arising out of
or resulting from: (a) the design, development, validation, marketing, sale,
performance or billing of the Melanoma LDT; (b) any breach by NeoGenomics of the
terms of this Agreement; or (c) NeoGenomics’ negligence or willful misconduct.
The foregoing indemnity shall not apply to the extent that any Losses arise or
result from the negligence or willful misconduct of the Abbott
Indemnitees.

    

               13.3         Cooperation and Notice
Requirements. With respect to any claim for which a party seeks
indemnification from the other hereunder, the party seeking indemnification
will: (a) provide prompt notice to the other of the claim for which
indemnification is sought and tender to it the defense of such claim; and (b)
provide reasonable cooperation and assistance to the indemnifying party in the
defense of such claim. Neither party will be bound by any settlement agreement
entered into without such party’s prior written consent, which shall not be
unreasonably withheld.

    

               13.4         Termination of
Indemnification Obligations. All obligations for indemnification on the
part of parties hereto shall expire three (3) years from the date of termination
of this Agreement, except with respect to claims already notified to the other
party prior to the end of such three (3) year period.

    

               13.5         Insurance.

    

                            
  (a)           NeoGenomics
will obtain and maintain during the term of the Agreement and for a period of
two (2) years after expiration or termination of this Agreement product
liability and general comprehensive liability insurance covering bodily injury
and property damage in an amount of not less than $1.0 million per occurrence
and $5.0 million in the aggregate.

    

                              
(b)           Abbott
represents that it is self-insured for product liability and general liability,
and that it has and will maintain such coverage for the term of this Agreement
and for a period of two (2) years after the expiration or termination of this
Agreement. Such self-insurance is in an amount which is reasonable and customary
in the global pharmaceutical and medical products industry for companies of
comparable size and activities.

    

               13.6         Limitation of
Liability. In
no event shall either party be liable to the other party for any indirect,
incidental, punitive, special, exemplary or consequential damages, whether based
upon a claim or action of contract, warranty, negligence, strict liability or
other tort, a product claim, or otherwise that arises out of or is related to
this Agreement. In addition, except for liability arising from any intentional
breach of this Agreement, fraud, gross negligence or willful misconduct on the
part of Abbott, Abbott’s maximum liability to NeoGenomics under this Agreement
will not
exceed
Fifteen Million Dollars ($15,000,000). The forgoing limitations will not
apply: (a) to breaches of the parties’ confidentiality obligations under Article
12; or (b) where such indirect, incidental, punitive, special, exemplary or
consequential damages are payable to a Third Party and subject to
indemnification pursuant to this Article 13. The allocations of liability in
this paragraph represent the agreed and bargained-for understanding of the
parties and the Purchase Price for the Products reflects such
allocations.

     

    
      
        
        

      

      
        27

        
          

        

      

      
        
        

      

    

    
 

    Article
14

     Term
And Termination

    

               14.1         Term. This Agreement
shall become effective on the Effective Date, and unless sooner terminated in
accordance with the terms herein, this Agreement shall remain in effect until
December 31, 2019 (the “Initial Term”).
Thereafter this Agreement shall automatically renew and continue in effect for
successive renewal terms of two (2) years each (each a
“Renewal Term”)
unless twelve (12) months prior to the termination of the Initial Term of the
Agreement or any Renewal Term thereof, either party provides written notice to
the other party that it will not renew the Agreement at the end of said Initial
Term or Renewal Term. Notwithstanding the foregoing, Abbott agrees that if
NeoGenomics has continued to meet the threshold for exclusivity defined in
Section 3.4(b) for the Calendar Year immediately preceding the year in which the
Initial Term or any Renewal Term comes due, Abbott will renew this Agreement at
the end of the Initial Term or such Renewal Term, as the case may be, pursuant
to this Section 14.1; provided, however, nothing in
the section shall obligate Abbott beyond two (2) renewal terms of two (2) years
each.

    

               14.2         Breach. In the event
that either party commits a material breach or default of any of its obligations
hereunder (excluding NeoGenomics’ failure to meet
the Annual Forecast), the other party may give the breaching party
written notice of such material breach or default, and shall request that such
material breach or default be cured as soon as reasonably practicable. In the
event that the breach or default is not cured within ninety (90) days after the
date of the non-breaching party’s notice thereof, the non-breaching party may
terminate this Agreement immediately upon written notice to the breaching
party.

    

               14.3         Insolvency. Either
party may terminate this Agreement on the liquidation, bankruptcy or insolvency
of the other party or the appointment of a receiver or trustee for the property
of the other party, or if the other party makes an assignment for the benefit of
creditors, whether any of the aforesaid events are the outcome of a voluntary
act or otherwise. In the event that a party files for bankruptcy and such
party’s trustee rejects this Agreement, the other party may elect to retain its
rights under this Agreement upon appropriate written notification to said
trustee.

     

    
      
        
        

      

      
        28

        
          

        

      

      
        
        

      

    

    
 

               14.4         Change of
Control.

    

                              
(a)           Abbott may
terminate this Agreement upon ninety (90) days written notice to NeoGenomics
following a Change of Control involving NeoGenomics (or its permitted successors
or assigns) and any of the companies set forth in Exhibit I, or their
successors or assigns. Abbott’s right to terminate this Agreement pursuant to
this Section 14.4 will continue until the earlier of (i) five (5) years
following a Change of Control involving NeoGenomics (or its permitted successors
or assigns) and any of the companies set forth in Exhibit I, or their
successors or assigns and (ii) the date that is ninety (90) days after the
Abbott IVD is first available for commercial sale in the United
States.

    

                              
(b)           If Abbott
terminates this Agreement pursuant to this Section 14.4, as NeoGenomics’ sole
and exclusive remedy for such termination, Abbott will pay to NeoGenomics (or
its successor) a termination payment equal to the greater of: (i) all of the
reasonable direct costs actually incurred by NeoGenomics (and subject to
verification and audit by Abbott or its independent accounting firm) in
designing, developing, validating, marketing, and performing the Melanoma LDT
through the date of termination, not to exceed Seven Million Five Hundred
Thousand Dollars ($7,500,000); or (ii) the sum of:

    

    
      	
               
      

            	
              (A)

            	
              two
      and three tenths (2.3) multiplied by the Unaudited Revenue realized by
      NeoGenomics for the twelve (12) month period immediately preceding the
      effective date of the Change of Control (the “Change of Control Base
      Revenue Amount”); plus

            

    

    

    
      	
               
      

            	
              (B)

            	
              one
      and five tenths (1.5) multiplied by an amount equal to: (1) the Unaudited
      Revenue realized by NeoGenomics and/or NeoGenomics’ successor or acquirer,
      as the case may be, for the twelve (12) month period immediately preceding
      the date on which Abbott elects to terminate this Agreement pursuant to
      this Section 14.4 (the “Termination Date
      Revenue Amount”), less (2) the Change of Control Base Revenue
      Amount.

            

    

    

                               (c)           Notwithstanding
the foregoing, if the Termination Date Revenue Amount is less than the Change of
Control Base Revenue Amount, then the termination payment payable by Abbott
pursuant to this Section 14.4 shall be an amount equal to two and three tenths
(2.3) multiplied by the Termination Date Revenue Amount.

    

                              
(d)           If Abbott
terminates this Agreement and pays the foregoing termination payment, within
thirty (30) days thereafter, NeoGenomics will transfer to Abbott all of the
dedicated equipment (i.e., greater than fifty
percent (50%) usage), supplies, customer lists, sales aids, marketing materials
and other relevant sales, marketing and promotional materials related to the
Melanoma LDT, and Abbott will have the right (but not the obligation) to hire
any of NeoGenomics’ salespeople who are dedicated (on a full time equivalent
basis) to promoting and selling the Melanoma LDT. If a Change of Control does
not involve any of the companies set forth in Exhibit I, then this
Agreement will continue in full force and effect and be binding upon Abbott and
NeoGenomics (or its successor in interest following the Change of Control) in
accordance with its terms. If a Change of Control involves any of the companies
set forth in Exhibit
I, but Abbott elects not to terminate this Agreement pursuant to this
Section 14.4, then this Agreement will continue in full force and effect and be
binding upon Abbott and NeoGenomics (or its successor in interest following the
Change of Control) in accordance with its terms; provided, however, that in
such event, NeoGenomics (or its successor) will no longer have the rights, and
Abbott will no longer have the obligations, set forth in Section 9.5, except to
the extent that NeoGenomics exercised such rights and Abbott’s obligations
accrued under such sections prior to termination pursuant to this Section
14.4.

     

    
      
        
        

      

      
        29

        
          

        

      

      
        
        

      

    

    
 

               14.5         Change in Law. If, in the
reasonable opinion of Abbott’s legal counsel (taking into account all of
Abbott’s and its Affiliates’ various businesses and the legal and regulatory
risks facing such businesses), there is a change in applicable law (whether by
statute, regulation, judicial or administrative decision, informal policy
guidance, warning letters or otherwise) that prohibits the manufacture,
marketing, promotion or sale of the Products or the design, development,
validation, marketing, performance or sale of the Melanoma LDT or LDTs in
general and NeoGenomics has received an opinion of Abbott’s counsel that the
manufacture, marketing, promotion or sale of the Products or the design,
development, validation, marketing, performance or sale of the Melanoma LDT or
LDTs are prohibited, then Abbott and NeoGenomics
will negotiate in good faith to amend this Agreement to reflect the anticipated
impact of such events; provided, however, that if
the parties are unable to reach agreement regarding such an amendment within
ninety (90) days of good faith negotiations, Abbott will have the right to
terminate this Agreement upon written notice to NeoGenomics.

    

               14.6         Force Majeure. Either
party may terminate this Agreement upon written notice to the other party if the
other party’s performance of its obligations hereunder is prevented for more
than one hundred eighty (180) days due to a force majeure condition, as further
described in Section 15.1.

    

               14.7         IVD Agreement. This
Agreement will terminate automatically on the date that the IVD Agreement is
executed between the parties.

    

               14.8         Other Provisions. In
addition to the termination provisions set forth in this Article 14, this
Agreement may be terminated in accordance with any other provision hereof that
expressly gives either party a right to terminate.

    

               14.9         Post Termination.
Following the expiration or termination of this Agreement according to its terms
(unless terminated automatically pursuant to Section 14.7 or by Abbott pursuant
to Section 14.2, 14.3 or 14.4), Abbott and NeoGenomics agree to use commercially
reasonable efforts to ensure that NeoGenomics can continue to meet its
customers’ requirements for the Melanoma LDT.

    

               14.10       Survival. Termination
of this Agreement shall not relieve either party of any obligations accrued
prior to termination. Articles 1, 10, 11, 12, 13, 14 and 15, and Sections 3.5,
7.6 (subject to the time periods contained therein), 7.7, 8.1, 8.3 and 9.3 shall
survive termination or expiration of this Agreement for any reason.

     

    
      
        
        

      

      
        30

        
          

        

      

      
        
        

      

    

    
 

    Article
15

    Miscellaneous

    

               15.1         Force Majeure.
Neither party shall be liable to the other party for damages or losses on
account of failure of performance (other than a failure to make payments when
due) if such failure is occasioned by government action, war, terrorism, fire,
explosion, flood, epidemic, strike, lockout, embargo, shortage of materials or
utilities, vendor failure to supply, act of God or any other cause beyond the
affected party’s reasonable control, provided that the affected party uses
commercially reasonable efforts to avoid the force majeure condition and to
remedy the condition as quickly as possible. The affected party will give the
other party prompt written notice of the occurrence of any force majeure
condition, the nature thereof, and the extent to which the affected party will
be unable to perform its obligations under this Agreement. Such excuse will
continue as long as the force majeure condition continues. Upon cessation of
such condition, the affected party will promptly resume performance under this
Agreement.

    

               15.2         Assignment. This
Agreement shall inure to the benefit of and be binding upon and enforceable by
the parties and their successors and permitted assigns. However, neither party
may assign or delegate any of its rights or obligations under this Agreement
without the prior written consent of the other party, which will not be
unreasonably withheld. Notwithstanding the foregoing, without the other party’s
consent: (a) either party may assign or delegate its rights or obligations, in
whole or in part, to one or more Affiliates of such party, provided that such
assignment will not relieve the assigning party of any obligations under this
Agreement; and (b) either party may assign or delegate its rights or
obligations, in whole but not in part, under this Agreement to a Third Party in
connection with a Change of Control, subject to Section 14.4.

    

               15.3         Waiver. Any waiver by
either party of a breach or a default of any provision of this Agreement by the
other party must be in writing and will not be construed as a waiver of any
succeeding breach of the same or any other provision, nor shall any delay or
omission on the part of either party to exercise or avail itself of any right,
power or privilege that it has or may have hereunder operate as a waiver of any
right, power or privilege by such party.

    

               15.4         Severability. If any
part of this Agreement is declared invalid or unenforceable by any court of
competent jurisdiction, such declaration shall not affect the remainder of the
Agreement and the invalidated provision shall be revised in a manner that will
render such provision valid while preserving the parties’ original intent to the
maximum extent possible.

    

               15.5         Independent
Contractors. The parties are independent contractors and nothing in this
Agreement is intended to, or shall be construed to, constitute a partnership,
joint venture or agency relationship between the parties. Neither party shall
have the authority to make any statements, representations or commitments of any
kind, or to take any action, which shall be binding on the other, without the
prior written consent of the other party. All persons employed by a party shall
be employees of such party and not of the other party and all costs and
obligations incurred by reason of any such employment shall be for the account
and expense of such party.

     

    
      
        
        

      

      
        31

        
          

        

      

      
        
        

      

    

    
 

               15.6         Entire Agreement.
This Agreement, together with any exhibits hereto, constitutes the entire
agreement between the parties relating to the subject matter hereof and all
previous agreements or arrangements between the parties, written or oral,
relating to the subject matter hereof are superseded.

    

               15.7         Amendment. No
amendment, alteration or modification of any of the provisions of this Agreement
will be binding unless made in writing and signed by the parties.

    

               15.8         Compliance with Law.
In performing this Agreement, each party shall comply with all applicable laws,
rules and regulations and shall not be required to perform or omit to perform
any act required or permitted under this Agreement if such performance or
omission would violate the provisions of any such law, rule or
regulation.

    

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

    

               15.10      
Governing Law.
This Agreement shall be governed by and construed in accordance with the laws of
the State of
Illinois, without regard to its conflicts of laws principles.

    

               15.11       Alternative Dispute
Resolution. The
parties agree that any dispute that arises in connection with this Agreement
shall be settled by binding Alternative Dispute Resolution in the manner
described in Exhibit
J.

    

               15.12    
  Notices. All notices
required or permitted under this Agreement must be in writing and sent to the
address or facsimile number identified below. Notices must be given: (a) by
personal delivery, with receipt acknowledged; (b) by facsimile followed by hard
copy delivered by the methods under (c) or (d); (c) by prepaid certified or
registered mail, return receipt requested; or (d) by prepaid reputable overnight
delivery service. Notices will be effective upon receipt. Either party may
change its notice address by providing the other party written notice of such
change. Notices shall be delivered as follows:

     

    
      
        
          	
                  If
      to Abbott:

                	
                  Abbott
      Molecular Inc.

                
	 
      	
                  Attention:
      Senior Director, Business Development & Licensing

                
	 
      	
                  1300
      East Touhy Avenue

                
	 
      	
                  Des
      Plaines, Illinois 60018-3315

                
	 
      	
                  Fax:
      (224) 361-7054

                

           

        

      

    

    
      
        
        

      

      
        32

        
          

        

      

      
        
        

      

    

     

    
      
        	 
      	 
      
	
                with
      a copy to:

              	
                Abbott
      Laboratories

              
	 
      	
                Attention:
      DVP, Commercial Legal Operations

              
	 
      	
                100
      Abbott Park Road

              
	 
      	
                Dept.
      32MP, Bldg. AP6A-2

              
	 
      	
                Abbott
      Park, Illinois 60064-6049

              
	 
      	
                Fax:
      (847) 938-1206

              
	 
      	 
      
	
                If
      to NeoGenomics:

              	
                NeoGenomics
      Laboratories, Inc.

              
	 
      	
                Attention:
      Robert Gasparini, President

              
	 
      	
                12707
      Commonwealth Drive, Suite 9

              
	 
      	
                Fort
      Myers, Florida 33913

              
	 
      	
                Fax:
      (239) 768-0711

              
	 
      	 
      
	
                copy
      to:

              	
                K&L
      Gates LLP

              
	 
      	
                Attention:
      Clayton E. Parker, Esq.

              
	 
      	
                200
      South Biscayne Boulevard, Suite 3900

              
	 
      	
                Miami,
      Florida 33131-2399

              
	 
      	
                Fax:
      (305) 358-7095

              

      

    

    

               15.13       Expenses. All costs
and expenses incurred with connection with this Agreement and the transactions
contemplated hereby shall be paid by the party which shall have incurred the
same, and the other party shall no liability thereto.

    

               15.14       Headings. The titles
of the Articles and Sections contained in this Agreement are for convenience
only and shall not be considered in construing this Agreement.

    

    

    

    *     *     *

    

    

    Signature
page follows.

     

    
      
        
        

      

      
        33

        
          

        

      

      
        
        

      

    

     

               In
Witness Whereof, the parties have caused this Agreement to be executed as of the
Effective Date.

     

    
      
        
          
            
              
                
                  	 
      	 
      	 	 
      	 
      	 
	
                          Abbott
      Molecular Inc.

                        	 	NeoGenomics
      Laboratories, Inc.	 
	 
      	 
      	 	 
      	 
      	 
	 
      	 
      	 	 
      	 
      	 
	
                          By:

                        	
                          /s/
      Stafford O’Kelly

                        	 	
                          By:

                        	
                          /s/
      Douglas M. VanOort

                        	 
	 
      	
                          Stafford
      O’Kelly

                        	 	 
      	
                          Douglas
      VanOort

                        	 
	 
      	
                          President

                        	 	 
      	
                          Chairman
      and Chief Executive Officer

                        	 

                

              

            

          

        

      

    

    

     

     

    
 

     

    
      
        
        

      

      
        34

        
          

        

      

      
        
        

      

    

    
 

    Exhibit
A

    

    Products

    

    

    To be
identified within one hundred twenty (120) days

    after the
Effective Date pursuant to Section 2.2.

    

    

    

    

    Exclusive
Products

    

    

    To be
designated pursuant to Section 3.2.

     

     

     

     

     

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

     

    Exhibit
B

    

    Academic
Collaborators

    

    

    [***]

    

    [***]
Information redacted pursuant to a confidential treatment request.  An
unredacted version of this Agreement has been filed separately with the
Securities and Exchange Commission.

     

     

     

     

     

     

     

    
 

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    Exhibit
C

    

    Model
Forecast

    

    

    

    

    
      
        
          
            
              
                
                  
                    
                      	 
      	
                              2009

                            	
                              2010

                            	
                              2011

                            	
                              2012

                            	
                              2013

                            	
                              2014

                            	
                              2015

                            	
                              2016

                            	
                              2017

                            	
                              2018

                            	
                              2019

                            
	
                              [***]

                            	
                               

                              [***]

                            	
                               

                              [***]

                            	
                               

                              [***]

                            	
                               

                              [***]

                            	
                               

                              [***]

                            	
                               

                              [***]

                            	
                               

                              [***]

                            	
                               

                              [***]

                            	
                               

                              [***]

                            	
                               

                              [***]

                            	
                               

                              [***]

                            

                    

                  

                

              

            

          

        

      

    

    

    

    [***]
Information redacted pursuant to a confidential treatment request.  An
unredacted version of this Agreement has been filed separately with the
Securities and Exchange Commission.

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    Exhibit
D

    

    [***]

    

    [***]
Information redacted from pages D-1, D-2 and D-3 pursuant to a confidential
treatment request.  An unredacted version of this Agreement has been
filed separately with the Securities and Exchange Commission.

     

     

     

     

     

     

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Exhibit
E

    

    Purchase
Price And Terms

    

    [***]

    

    [***]
Information redacted from pages E-1, E-2 and E-3 pursuant to a confidential
treatment request.  An unredacted version of this Agreement has been
filed separately with the Securities and Exchange Commission.

    

     

     

     

     

     

     

     

     

    
 

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Exhibit
F

    

    Release
Testing

    

    

    

    To be
provided upon identification of Products pursuant to Section 2.2.

    

     

     

     

     

     

     

     

    
 

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    Exhibit
G

    

    Additional
Tests

    

    

    

    [***]

    

    

    [***]
Information redacted pursuant to a confidential treatment request.  An
unredacted version of this Agreement has been filed separately with the
Securities and Exchange Commission.

     

     

     

     

     

     

     

     

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Exhibit
H

    

    Patents
and Patent Applications

    

    

    [***]

    

    

    [***]
Information redacted pursuant to a confidential treatment request.  An
unredacted version of this Agreement has been filed separately with the
Securities and Exchange Commission.

     

     

     

     

     

     

     

     

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Exhibit
I

    

    Change
of Control Parties

    

    

    [***]

    

    

    [***]
Information redacted pursuant to a confidential treatment request.  An
unredacted version of this Agreement has been filed separately with the
Securities and Exchange Commission.

     

     

     

     

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Exhibit
J

    

    Alternate
Dispute Resolution (ADR)

    

    The parties recognize that from time to
time a dispute may arise relating to either party’s rights or obligations under
this Agreement. The parties agree that any such dispute shall be resolved by the
Alternative Dispute Resolution (“ADR”) provisions set
forth in this Exhibit, the result of which shall be binding upon the
parties.

    

    To begin the ADR process, a party first
must send written notice of the dispute to the other party for attempted
resolution by good faith negotiations between their respective presidents (or
their designees) of the affected subsidiaries, divisions, or business units
within twenty-eight (28) days after such notice is received (all references to
“days” in this ADR provision are to calendar days). If the matter has not been
resolved within twenty-eight (28) days after the written notice of dispute, or
if the parties fail to meet within such twenty-eight (28) days, either party may
initiate an ADR proceeding as provided herein. The parties shall have the right
to be represented by counsel at any stage of the ADR process. 

    

    1.            To
begin an ADR proceeding, a party shall provide written notice to the other party
of the disputed matter(s) to be resolved by ADR. Within fourteen (14) days after
its receipt of such notice, the other party may, by written notice to the party
initiating the ADR, add additional disputed matter(s) to be resolved within the
same ADR. 

    

    2.            Within
twenty-eight (28) days following the initiation of the ADR proceeding, the
parties shall select a mutually acceptable independent, impartial and
conflicts-free neutral to preside over the resolution of the parties’ disputes
in this ADR proceeding. If the parties are unable to agree on a mutually
acceptable neutral within such period, within thirty-five (35) days following
the initiation of the ADR proceeding, each party will select and notify the
other party of one independent, impartial and conflicts-free neutral and those
two neutrals will select a third independent, impartial and conflicts-free
neutral within fourteen (14) days thereafter. None of the neutrals selected may
be current or former employees, officers or directors of either party, its
subsidiaries or affiliates.

    

    3.            No
earlier than twenty-eight (28) days or later than eighty-four (84) days after
selection, the neutral(s) shall hold a hearing to resolve each of the disputed
matters identified by the parties. The ADR proceeding shall take place at a
location mutually agreed upon by the parties. If the parties cannot agree, the
neutral(s) shall designate a location other than the principal place of business
of either party or any of their subsidiaries or affiliates. 

    

    4.            At
least seven (7) days prior to the hearing, each party shall submit the following
to the other party and the neutral(s): 

    

    (a)            a
copy of all exhibits on which such party intends to rely in any oral or written
presentation to the neutral(s);

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
 

    (b)            a
list of any witnesses, including expert witnesses, such party intends to call at
the hearing, and a short summary of the anticipated testimony of each witness.
No witness will be heard at the hearing unless identified at least seven (7)
days prior to the hearing, and no witness’ testimony will be accepted by sworn
declaration or affidavit. Witnesses must make themselves available for
cross-examination by the opposing party;

    

    (c)            a
proposed ruling on each disputed matter to be resolved, together with a request
for a specific damage award or other remedy for each disputed matter. The
proposed rulings and remedies shall not contain any recitation of the facts or
any legal arguments and shall not exceed one (1) page per issue unless the
parties, with the consent of the neutral(s), otherwise agree. The parties
agree that neither side shall seek as part of its remedy any punitive
damages.

    

    (d)            a
brief in support of such party’s proposed rulings and remedies, provided that
the brief shall not exceed twenty (20) pages unless the parties, with the
consent of the neutral(s), otherwise agree.

     

    Except as
expressly set forth in subparagraphs 4(a) - 4(d), and unless otherwise agreed by
the parties, no discovery shall be required or permitted by any means, including
depositions, interrogatories, requests for admissions, or production of
documents. 

    

    5.            Unless
otherwise agreed by the parties, the hearing shall be conducted on two (2)
consecutive days and shall be governed by the following
rules: 

    

    (a)            Each
party shall be entitled to five (5) hours of hearing time to present its case.
The neutral(s) shall determine whether each party has had the five (5) hours to
which it is entitled. 

    

    (b)            Each
party shall be entitled, but not required, to make an opening statement, to
present regular and rebuttal testimony, documents or other evidence, to
cross-examine witnesses, and to make a closing argument. Cross-examination of
witnesses shall occur immediately after their direct testimony, and
cross-examination time shall be charged against the party conducting the
cross-examination. 

    

    (c)            The
party initiating the ADR shall begin the hearing and, if it chooses to make an
opening statement, shall address not only the disputed matters it raised but
also any disputed matters raised by the responding party. The responding party,
if it chooses to make an opening statement, also shall address all disputed
matters raised in the ADR. Thereafter, the presentation of regular and rebuttal
testimony and documents, other evidence, and closing arguments shall proceed in
the same sequence. 

    

    (d)            Each
party may designate a single corporate representative to be present for the
entirety of the hearing. Except when testifying, witnesses other than the
designated corporate representatives, shall be excluded from the hearing until
closing arguments.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
 

    (e)            Settlement
negotiations, including any statements made therein, shall not, under any
circumstances, be admissible during the hearing. As to all other matters, the
neutral(s) shall have sole discretion regarding the admissibility of any
evidence. 

    

    6.            Within
fourteen (14) days following completion of the hearing, each party may submit to
the other party and the neutral(s) a post-hearing brief in support of its
proposed rulings and remedies, provided that such brief shall not contain or
discuss any new evidence and, unless otherwise agreed by the parties, shall not
exceed ten (10) pages.

    

    7.            The
neutral(s) shall provide a written ruling on each disputed matter within thirty
(30) days following completion of the hearing. The ruling shall not contain any
recitation of the facts or any legal rationale or otherwise explain the basis of
the ruling. 

    

    8.            The
neutral(s) shall be paid a reasonable fee plus expenses. These fees and
expenses, along with the reasonable legal fees and expenses of the prevailing
party (including all expert witness fees and expenses), the fees and expenses of
a court reporter and any expenses for a hearing room, shall be paid as
follows: 

    

    (a)            If
the neutral(s) rule(s) in favor of one party on all disputed issues in the ADR
proceeding, the losing party shall pay 100% of the prevailing party’s legal fees
and expenses. 

    

    (b)            If
the neutral(s) rule(s) in favor of one party on some matters and the other party
on other matters, the neutral(s) shall include in their ruling a written
determination as to how the parties’ legal fees and expenses shall be allocated
between the parties. The neutral(s) shall allocate legal fees and expenses in a
way that bears a reasonable relationship to the outcome of the ADR proceeding,
with the party prevailing on more matters, or on matters of greater value or
gravity, recovering a relatively larger share of its legal fees and
expenses. 

    

    9.           The
rulings of the neutral(s) and the allocation of fees and expenses shall be
binding, non-reviewable, and non-appealable, and may be entered as a final
judgment in any court having jurisdiction.

    

    10.           Except
as provided in paragraph 9 or as required by law, the existence of the dispute,
any settlement negotiations, the ADR hearing, any submissions (including
exhibits, testimony, proposed rulings, and briefs), and the neutral(s)’ rulings
shall be deemed Confidential Information. The neutral(s), during the pendency of
the ADR proceeding, shall have the authority to impose sanctions for
unauthorized disclosure of Confidential Information.

    

    11.           All
ADR hearings shall be conducted in the English language.Exhibit
10.41

     

    November
3, 2009

    

    George
Cardoza

    

    Dear
George,

    

    On behalf
of NeoGenomics Laboratories (“NeoGenomics” or the “Company”), it is my pleasure
to extend this offer of employment for the Chief Financial Officer position to
you.  If the following terms are satisfactory, please countersign this
letter (the “Agreement”) and return a copy to me at your earliest
convenience.

    

    
      
        
          
            
              	
                      Position:

                    	 
      	
                      Chief
      Financial Officer.

                    
	 
      	 
      	 
      
	
                      Duties:

                    	 
      	
                      As
      Chief Financial Officer, you will report to the Chief Executive Officer of
      the Company or such other person as may be appointed by the CEO and you
      will be responsible for the administrative, financial, and risk management
      operations of the company, to include the development of a financial
      strategy, metrics tied to that strategy, and the ongoing development and
      monitoring of control systems designed to preserve company assets and
      report accurate financial results in addition to other duties as may be
      assigned to you by the CEO of the Company or the Board’s designee in the
      absence of the CEO.

                    
	 
      	 
      	 
      
	
                      Start
      Date:

                    	 
      	
                      On
      or before December 1, 2009.

                    
	 
      	 
      	 
      
	
                      Base
      Salary:

                    	 
      	
                      $190,000/year,
      payable bi-weekly.  The parties agree that this salary is for a
      full-time position. Thereafter, increases in base salary may occur
      annually at the discretion of the CEO of the Company with the approval of
      the Compensation Committee of the Board of Directors.

                    
	 	 	 
	

                      Relocation:

                    	 	

                      You
      will be eligible for relocation assistance should you agree to establish a
      residence in the greater Fort Myers area no later than December 1,
      2010.  Please refer to the terms in the attached Relocation
      Agreement.

                    
	 	 	 
	

                      Bonus:

                    	 	

                      Beginning
      with the fiscal year ending December 31, 2010, you will be eligible to
      receive an incentive bonus payment which will be targeted at 30% of your
      Base Salary based on 100% achievement of goals as agreed upon between you
      and the CEO of the Company and approved by the Board of Directors for such
      fiscal
year.

                    

            

          

        

      

    

    
      
        
          
            
              
                
                  	 	 	 	 
	 	 	 	 
	
                          NeoGenomics
      Laboratories Florida

                        	 	 
      	
                          NeoGenomics
      Laboratories California

                        
	
                          12701
       Commonwealth Drive, Suite 5
       • Fort Myers,  FL  33913

                        	 	 
      	
                          6   Morgan,  Suite  150  •
      Irvine,  CA  92618

                        
	
                          Telephone: (866) 776-5907   • Fax: (239) 768-0711

                        	 	 
      	
                          NeoGenomics
      Laboratories
      Tennessee

                        
	
                          www.neogenomics.org

                        	 	 
      	
                          618   Grassmere  Park  Drive  Unit   20
      •
  Nashville,  TN   37211

                        

                

              

            

          

        

      

    

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    
      
        
          
            
              
                	
                        Benefits:

                      	 
      	
                        You
      will be entitled to participate in all medical and other benefits that the
      Company has established for its employees in accordance with the Company’s
      policy for such benefits at any given time.  Other benefits may
      include but not be limited to: short term and long term disability,
      dental, a 401K plan, a section 125 plan and an employee stock purchase
      plan.

                      
	 
      	 
      	 
      
	
                        Paid
      Time Off:

                      	 
      	
                        You
      will be eligible for 4 weeks of paid time off (PTO)/year (160 hours),
      which will accrue on a pro-rata basis beginning from your hire date and be
      may carried over from year to year.  It is company policy that
      when your accrued PTO balance reaches 160 hours, you will cease accruing
      PTO until your accrued PTO balance is 120 hours or less – at which point
      you will again accrue PTO until you reach 160 hours. You are eligible to
      use PTO after completing 3 months of employment. In addition to paid time
      off, there are also 6 paid national holidays and 1 “floater” day available
      to you.

                      
	 
      	 
      	 
      
	
                        Stock
      Options:

                      	 
      	
                        You
      will be granted stock options to purchase up to 150,000 shares of the
      common stock of the Company’s publicly-traded holding company,
      NeoGenomics, Inc., a Nevada corporation, at an exercise price equivalent
      to the closing price per share at which such stock was quoted on the
      NASDAQ Bulletin Board on the day prior to your Start Date. The grant of
      such options will be made pursuant to the Company’s stock option plan then
      in effect and will be evidenced by a separate Option Agreement, which the
      Company will execute with you within 60 days of receiving a copy of the
      Company’s Confidentiality, Non-Competition and Non-Solicitation Agreement
      which has been executed by you.  So long as you remained
      employed by the Company, such options will have a five-year term from the
      grant date and will vest according to the following
    schedule:

                      
	 	 	    
	 
      	 
      	
                        Time-Based
      Vesting

                      

              

            

          

        

      

    

    

    
      
        
          
            
              	
                      37,500

                    	 	
                      at
      your first year anniversary

                    
	
                      37,500

                    	 	
                      at
      your second year anniversary

                    
	
                      37,500

                    	 	
                      at
      your third year anniversary

                    
	
                      37,500

                    	 	
                      at
      your fourth year
anniversary

                    

            

          

        

      

    

    If for
any reason you resign prior to the time which is 12 months from your Start Date,
you will forgo all such options. Furthermore, you understand that the Company’s
stock option plan requires that any employee who leaves the employment of the
Company will have no more than three (3) months from their termination date to
exercise any vested options.

    

    The
Company agrees that it will grant to you the maximum number of Incentive Stock
Options (“ISO’s”) available under current IRS guidelines and that the remainder,
if any, will be in the form of non-qualified stock options.

    
      
         

      

      
        2

        
          

        

      

      
         

      

    

    

    
      
        
          
            	

                    Termination

                  	 
	
                    Without
      Cause:

                  	
                    If
      the Company terminates you without “Cause” for any reason during the Term
      or any extension thereof, then the Company agrees that as severance it
      will continue to pay you your Base Salary and maintain your employee
      benefits for a period that is equal to six (6) months of your employment
      by the Company, beginning on the date of your termination
      notice.

                  
	 
      	 
      
	 
      	
                    For
      the purposes of this letter agreement, the Company shall have “Cause” to
      terminate your employment hereunder upon:  (i) failure to
      materially perform

                  
	 
      	 
      
	 
      	
                    and
      discharge your duties and responsibilities under this Agreement (other
      than any such failure resulting from incapacity due to illness) after
      receiving written notice and allowing you ten (10) business days to cure
      such failures, if so curable, provided, however, that after one such
      notice has been given to you, the Company is no longer required to provide
      time to cure subsequent failures under this provision, or (ii) any breach
      by you of the provisions of this Agreement; or (iii) misconduct which, in
      the opinion and sole discretion of the Company, is injurious to the
      Company; or (iv) any felony conviction involving the personal dishonesty
      or moral turpitude, or (v) engagement in illegal drug use or alcohol abuse
      which prevents you from performing your duties in any manner, or (vi) any
      material misappropriation, embezzlement or conversion of the Company’s or
      any of its subsidiary’s or affiliate’s property or business opportunities
      by you; or (vii) willful misconduct by you in respect of your duties or
      obligations under this Agreement and/or the Confidentiality,
      Non-Solicitation, and Non-competition Agreement.

                  
	 
      	 
      
	 
      	
                    You
      acknowledge and agree that any and all payments to which you are entitled
      under this Section are conditioned upon and subject to your execution of a
      general waiver and release, in such reasonable form as counsel for each of
      the Company and you shall agree upon, of all claims you have or may have
      against the Company.

                  
	 
      	 
      
	

                    Confidentiality,

                    Non-Compete,
      &

                  	 
	
                    Work
      +Products:

                  	
                    You
      agree that prior to your Start Date, you will execute the Company’s
      Confidentiality, Non-Competition and Non-Solicitation Agreement attached
      to this letter as Exhibit 1.  You understand that if you should
      fail to execute such Confidentiality, Non-Competition and Non-Solicitation
      Agreement in the agreed-upon form, it will be grounds for revoking this
      offer and not hiring you.  You understand and acknowledge that
      this Agreement shall be read in
      pari materia with the Confidentiality, Non-Competition and
      Non-Solicitation Agreement and is part of this
  Agreement.

                  
	 
      	 
      
	Executive’s	 
	
                    Representations:

                  	
                    You
      understand and acknowledge that this position is an officer level position
      within NeoGenomics.  You represent and warrant, to the best of
      your knowledge, that nothing in your past legal and/or work experiences,
      which if became broadly known in the marketplace, would impair your
      ability to serve as an officer of a public company or materially damage
      your credibility with public shareholders.  You further
      represent and warrant, to the best of your knowledge, that, prior to
      accepting this offer of employment, you have disclosed all material
      information about your past legal and work experiences that would be
      required to be disclosed on a Directors’ and Officers’ questionnaire for
      the purpose of determining what disclosures, if any, will need to be made
      with the SEC.  Prior to the Company’s next public filing, you
      also agree to fill out a Director’s and Officer’s questionnaire in form
      and substance satisfactory to the Company’s counsel.   You
      further represent and warrant, to the best of your knowledge, that you are
      currently not obligated under any form of non-competition or
      non-solicitation agreement which would preclude you from serving in the
      position indicated above for NeoGenomics or soliciting business
      relationships for any laboratory services from any potential customers in
      the United
States.

                  

          

        

      

    

     

    
      
         

      

      
        3

        
          

        

      

      
         

      

    

     

    
      	
              Miscellaneous:

            	
              (i)

            	
              This
      Agreement supersedes all prior agreements and understandings
      between   the parties and may not be modified or terminated
      orally.  No modification or attempted waiver will be valid
      unless in writing and signed by the party against whom the same is sought
      to be enforced.

            

    

    

    
      	
            	
              (ii)   

            	
              The
      provisions of this Agreement are separate and severable, and if any of
      themis declared invalid and/or unenforceable by a court of competent
      jurisdiction oran arbitrator, the remaining provisions shall not be
      affected.

            

    

    

    
      	
            	
              (iii)  

            	
              This
      Agreement is the joint product of the Company and you and each
      provisionhereof has been subject to the mutual consultation, negotiation
      and agreement ofthe Company and you and shall not be construed for or
      against either partyhereto.

            

    

    

    
      	
            	
              (iv)  

            	
              This
      Agreement will be governed by, and construed in accordance with
      theprovisions of the law of the State of Florida, without reference to
      provisions thatrefer a matter to the law of any other
      jurisdiction.  Each party hereto herebyirrevocably submits
      itself to the exclusive personal jurisdiction of the federal and state
      courts sitting in Florida; accordingly, any matters involving the Company
      and the Executive with respect to this Agreement may be adjudicated only
      in a federal or state court sitting in Lee County,
  Florida.

            

    

    

    
      
        	
              	
                (v)

              	
                This
      Agreement may be signed in counterparts, and by fax, each of which shall
      be an original, with the same effect as if the signatures thereto and
      hereto were upon the same
instrument

              

      

    

    

    
      (vi)
Within
three days of your start date, you will need to provide
documentation   verifying your legal right to work in the United
States.  Please understand that this offer of employment is contingent
upon your ability to comply with the employment verification requirements under
federal laws and that we cannot begin payroll until this requirement has been
meet.(vii) Employment with NeoGenomics is an “at-will” relationship and not
guaranteed for any term.  You or the Company may terminate employment
at anytime for any reason.

    

    

    (Signatures
Appear on the Next Page)

    
      
         

      

      
        4

        
          

        

      

      
         

      

    

    

    George, I
know that with your help we can build a world-class team to help drive this
company.  Welcome aboard!

    

    Sincerely,

    

    /s/
Douglas M. VanOort

    

    Douglas
M. VanOort

    Executive
Chairman and CEO

    

    Agreed
and Accepted:

    

    
      
        
          	
                  /s/ George Cardoza

                	 
      	
                  11/4/2009

                
	
                  George
      Cardoza

                	 
      	
                  Date

                

        

      

    

     

    
      
         

      

      
        5

        
          

        

      

      
         

      

    

     

    EXHIBIT
1

     

    CONFIDENTIALITY,
NON-SOLICITATION AND NON-COMPETE AGREEMENT

     

    This
Confidentiality, Non-Solicitation and Non-Compete Agreement (the “Agreement”)
dated this 3rd day of November, 2009 is entered into by and between George
Cardoza (“Employee”) and NeoGenomics, Inc., a Florida corporation (“Employer”
and collectively with NeoGenomics, Inc, a Nevada corporation, the Employer’s
parent corporation, the “Company”).  Hereinafter, each of the Employee
or the Company may be referred to a “Party” and together be referred to as the
“Parties”.

     

    RECITALS:

     

    WHEREAS, the Parties have
entered into that certain letter agreement, dated November 3, 2009, that creates
an employment relationship between the Company and Employee (the “Employment
Agreement”); and

     

    WHEREAS, pursuant to the
Employment Agreement, the Employee agreed to enter into the Company’s standard
Confidentiality, Non-Solicitation and Non-Compete; and

     

    WHEREAS, the Company desires
to protect and preserve its Confidential Information and its legitimate business
interests by having the Employee enter into this Agreement as part of the
Employment Agreement; and

     

    WHEREAS, the Employee desires
to establish and maintain an employment relationship with the Company and as
part of such employment relationship desires to enter into this Agreement with
the Company.

     

    Now,
therefore, in consideration of the mutual promises set forth herein and other
good and valuable consideration, the receipt and sufficiency of which is hereby
acknowledged by Employee, the Parties agree as follows:

     

    1.           Term. Employee agree(s) that
the term of this agreement is effective upon execution and shall survive and
continue to be in force and effect for two years following the termination of
any employment relationship between the Parties, whether termination is by the
Company and/or any entity that is wholly or partially owned by the Company (all
of such entities being hereinafter referred to as “Affiliated Entities”), with
or without cause, wrongful discharge, or for any other reason whatsoever, or by
the Employee (“Term”).

    
      
         

      

      
        6

        
          

        

      

      
         

      

    

     

    2.           Confidential
Information.

     

    a.           The
term “Confidential Information” as used herein shall include all business
practices, methods, techniques, or processes that:  (i) derives
independent economic value, actual or potential, from not being generally known
to, and not being readily ascertainable by proper means by, other persons who
can obtain economic value from its disclosure or use; and (ii) is the subject of
efforts that are reasonable under the circumstances to maintain its
secrecy.  Confidential Information also includes, but is not limited
to, files, letters, memoranda, reports, records, computer disks or other
computer storage medium, data, models or any photographic or other tangible
materials containing such information, customer lists and names and other
information, customer contracts, other corporate contracts, computer programs,
proprietary technical information and or strategies, sales, promotional or
marketing plans or strategies, programs, techniques, practices, any expansion
plans (including existing and entry into new geographic and/or product markets),
pricing information, product or service offering specifications or plans
therefor, business plans, financial information and other financial plans, data
pertaining to the Company’s operating performance, employee lists, salary
information, training manuals, and other materials and business information of a
similar nature, including information about the Company itself or any Affiliated
Entity, which Employee acknowledges and agrees has been compiled by the
Company's expenditure of a great amount of time, money and effort, and that
contains detailed information that could not be created independently from
public sources.  Further, all data, spreadsheets, reports, records,
know-how, verbal communication, proprietary and technical information and/or
other confidential materials of similar kind transmitted by the Company or any
Affiliated Entity to Employee or developed by the Employee on behalf of the
Company or any Affiliate Entity as Work Product (as defined in Paragraph 7) are
expressly included within the definition of “Confidential
Information.”  The Parties further agree that the fact the Company or
any Affiliated Entity may be seeking to complete a business transaction is
“Confidential Information” within the meaning of this Agreement, as well as all
notes, analysis, work product or other material derived from Confidential
Information.

     

    b.           Employee
acknowledge(s) that this "Confidential Information" is of value to the Company
and/or any Affiliated Entities by providing them with a competitive advantage
over their competitors, is not generally known to competitors of the Company,
and is not intended by the Company or any Affiliated Entities for general
dissemination.  Employee acknowledges that this "Confidential
Information" derives independent economic value, actual or potential, from not
being generally known to, and not being readily ascertainable by proper means
by, other persons who can obtain economic value from its disclosure or use, and
is the subject of reasonable efforts to maintain its
secrecy.  Therefore, the Parties agree that all "Confidential
Information" under this Agreement constitutes “Trade Secrets” under Section
688.002 and Chapter 812 of the Florida Statutes.

     

    3.           Duty of
Confidentiality.   All
Confidential Information is considered highly sensitive and strictly
confidential. The Employee agrees that at all times during the term of this
Agreement and after the termination of employment with the Company or any
Affiliated Entity for as long as such information remains non-public
information, the Employee shall (i) hold in confidence and refrain from
disclosing to any other party all Confidential Information, whether written or
oral, tangible or intangible, concerning the Company or any Affiliated Entities
and their business and operations unless such disclosure is accompanied by a
non-disclosure agreement executed by the Company with the party to whom such
Confidential Information is provided, (ii) use the Confidential Information
solely in connection with his or her employment with the Company or any
Affiliated Entity and for no other purpose, (iii) take all precautions necessary
to ensure that the Confidential Information shall not be, or be permitted to be,
shown, copied or disclosed to third parties, without the prior written consent
of the Company or any Affiliated Entity, (iv) observe all security policies
implemented by the Company or any Affiliated Entity from time to time with
respect to the Confidential Information, and (v) not use or disclose, directly
or indirectly, as an individual or as a partner, joint venturer, employee,
agent, salesman, contractor, officer, director or otherwise, for the benefit of
himself or herself or any other person, partnership, firm, corporation,
association or other legal entity, any Confidential Information, unless
expressly permitted by this Agreement.  Employee agrees that
protection of the Company’s and any Affiliated Entity’s Confidential Information
constitutes a legitimate business interest justifying the restrictive covenants
contained herein.  Employee further agrees that the restrictive
covenants contained herein are reasonably necessary to protect the Company’s and
any Affiliated Entity’s legitimate business interest in preserving its
Confidential Information.

     

    In the
event that the Employee is ordered to disclose any Confidential Information,
whether in a legal or regulatory proceeding or otherwise, the Employee shall
provide the Company or any Affiliated Entities with prompt notice of such
request or order so that the Company or any Affiliated Entity may seek to
prevent disclosure.

    
      
         

      

      
        7

        
          

        

      

      
         

      

    

     

    4.           Limited
Right of Disclosure.   Except as
otherwise permitted by this Agreement, Employee shall limit disclosure of
pertinent Confidential Information to Employee’s attorney, if any
(“Representative(s)”), for the sole purpose of evaluating Employee’s
relationship with the Company.  Paragraph 3 of this Agreement shall
bind all such Representative(s), and Employee shall show this Agreement to them
and shall obtain their signed consent to be bound by this Agreement prior to any
disclosures.

     

    5.           Return of
Company Property and Confidential Materials.   All
tangible property, including cell phones, laptop computers and other company
purchased property, as well as all Confidential Information provided to Employee
is the exclusive property of the Company and/or its Affiliated Entities and must
be returned to the Company and/or its Affiliated Entities in accordance with the
instructions of the Company and/or such Affiliated Entities either upon
termination of the Employee’s employment or at such other time as is reasonably
requested by the Company.  Employee agree(s) that upon termination of
employment with the Company or any Affiliated Entity, whether termination is by
the Company or the Affiliated Entity, with or without cause, wrongful discharge,
or for any other reason whatsoever, or by the Employee, Employee shall return
all copies, in whatever form, including hard copies and computer disks, of
Confidential Information to the Company and/or the Affiliated Entity, and
Employee shall delete any copy of the Confidential Information on any computer
file or database maintained by Employee and shall certify in writing that he/she
has done so.  In addition to returning all information to the Company
and/or any Affiliated Entities as described above, Employee will destroy any
analysis, notes, work product or other materials relating to or derived from the
Confidential Information. Any intentional or unauthorized retention of
Confidential Information may constitute “civil theft” as such term is defined in
Chapter 772 of the Florida Statutes.

     

    6.           Agreement
Not To Circumvent.   Employee
agrees not to pursue any transaction or comparable concept that makes use of any
information identified herein as Confidential Information during the Term of
this Agreement, other than through the Company and/or its Affiliated Entities or
on behalf of the Company and/or its Affiliated Entities.  It is
further understood and agreed that the Employee will direct all communications
and requests regarding Confidential Information from any third parties through
the Company’s then chief executive officer or president.  Any
violation of this covenant shall subject Employee to the remedies identified in
Paragraph 9 in addition to any other available remedies.

     

    7.           Title to
Work Product.   Employee
agrees that all work products (including strategies and testing methodologies
for competing in the genetics testing industry, technical materials and
diagrams, computer programs, financial plans and other written materials,
websites, presentation materials, course materials, advertising campaigns,
slogans, videos, pictures and other materials) created or developed by the
Employee for the Company or any of its Affiliated Entities during the term of
the Employee’s employment with the Company or any successor to the Company until
the date of termination of the Employee (collectively, the “Work Product”),
shall be considered a work made for hire and that the Company shall be the sole
owner of all rights, including copyright, in and to the Work
Product.

     

    If the Work Product, or any part
thereof, does not qualify as a work made for hire, the Employee agrees to
assign, and hereby assigns, to the Company for the full term of the copyright
and all extensions thereof all of its right, title and interest in and to the
Work Product.  All discoveries, inventions, innovations, works of
authorship, computer programs, improvements and ideas, whether or not patentable
or copyrightable or otherwise protectable, conceived, completed, reduced to
practice or otherwise produced by the Employee in the course of his or her
services to the Company in connection with or in any way relating to the
business of the Company or capable of being used or adapted for use therein or
in connection therewith shall forthwith be disclosed to the Company and shall
belong to and be the absolute property of the Company unless assigned by the
Company to an Affiliated Entity.

    
      
         

      

      
        8

        
          

        

      

      
         

      

    

     

    Employee hereby assigns to the
Company all right, title and interest in all of the discoveries, inventions,
innovations, works of authorship, computer programs, improvements, ideas and
other work product; all copyrights, trade secrets, and trademarks in the same;
and all patent applications filed and patents granted worldwide on any of the
same for any work previously completed on behalf of the Company or any
Affiliated Entity or work performed under the terms of this Agreement or the
Employment Agreement.  Employee, if and whenever required to do so
(whether during or after the termination of his or her employment), shall at the
expense of the Company or any Affiliated Entity apply or join in applying for
copyrights, patents or trademarks or other equivalent protection in the United
States or in other parts of the world for any such discovery, invention,
innovation, work of authorship, computer program, improvement, and idea as
aforesaid and execute, deliver and perform all instruments and things necessary
for vesting such patents, trademarks, copyrights or equivalent protections when
obtained and all right, title and interest to and in the same in the Company
absolutely and as sole beneficial owner, unless assigned by the Company to an
Affiliated Entity.  Notwithstanding the foregoing, work product
conceived by the Employee, which is not related to the business of the Company,
or any Affiliated Entity, will remain the property of the Employee.

     

    8.           Restrictive
Covenant.    The
Company and its Affiliated Entities are engaged in the business of providing
cancer genetic and molecular testing services to oncologists, urologists,
pathologists, physicians, hospitals, and other medical
laboratories.  The covenants contained in this Paragraph 8 (the
“Restrictive Covenants”) are given and made by Employee to induce the Company to
employ Employee under the terms of the Employment Agreement, and Employee
acknowledges sufficiency of consideration for these Restrictive
Covenants.  Employee expressly covenants and agrees that, during his
or her employment and for a period time following termination of such
employment, as defined below, whether termination is by the Company, with or
without cause, wrongful discharge, or for any other reason whatsoever, or by
Employee (such period of time is hereinafter referred to as the "Restrictive
Period"), he/she will abide by the following restrictive covenants unless an
exception is specifically provided in certain situations in such Restrictive
Covenants.  The Restrictive Period will be defined as a period of two
(2) years for the Non-Solicitation Covenant and a period of one (1) year for the
Non-Competition Covenant.

     

    
      	
               
      

            	
              a.

            	
              Non-Solicitation.   Employee
      agrees and acknowledges that, during the Restrictive Period, he/she will
      not, directly or indirectly, in one or a series of transactions, as an
      individual or as a partner, joint venturer, employee, agent, salesperson,
      contractor, officer, director or otherwise, for the benefit of himself or
      herself or any other person, partnership, firm, corporation, association
      or other legal entity:

            

    

     

    
      	
               
      

            	
              (i)

            	
              induce
      any customer, or any pending customer, of the Company or of any Affiliated
      Entity to patronize or do business with any business directly or
      indirectly in competition with the businesses conducted by the Company or
      any Affiliated Entity in any market in which the Company or any Affiliated
      Entity does business; or

            

    

     

    
      	
               
      

            	
              (ii)

            	
              canvass,
      solicit or accept from any customer, or any pending customer, of the
      Company or of any Affiliated Entity, any such business relationship that
      is in competition with the Company or any Affiliated Entity;
      or

            

    

    

    
      	
               
      

            	
              (iii)

            	
              request
      or advise any customer or vendor, or any pending customer or vendor, of
      the Company or of any Affiliated Entity to withdraw, curtail or cancel any
      such customer's or vendor's business with the Company or any Affiliated
      Entity; or

            

    

     

    
      
         

      

      
        9

        
          

        

      

      
         

      

    

     

    
      	
               
      

            	
              (iv)

            	
              recruit,
      solicit or otherwise induce or influence any proprietor, partner,
      stockholder, lender, director, officer, employee, sales agent, joint
      venturer, investor, lessor, supplier, customer, agent, representative or
      any other person which has a business relationship with the Company or any
      Affiliated Entity to discontinue, reduce or modify such employment, agency
      or business relationship with the Company or any Affiliated Entity;
      or

            

    

     

    
      	
               
      

            	
              (v)

            	
              employ
      or seek to employ any person or agent who is then (or was at any time
      within twelve (12) months prior to the date Employee or such entity
      employs or seeks to employ such person) employed or retained by the
      Company or any Affiliated Entity.

            

    

     

    
      	
               
      

            	
              b.

            	
              Non-Competition.   Employee
      agrees and acknowledges that, during the Restrictive Period, he/she will
      not, directly or indirectly, for himself or herself, or on behalf of
      others, as an individual on Employee's own account, or as a partner, joint
      venturer, employee, agent, salesman, contractor, officer, director or
      otherwise, for himself or herself or any other person, partnership, firm,
      corporation, association or other legal entity enter into, engage in,
      accept employment from, or participate in, any business that is in
      competition with the business of the Company or any Affiliated Entity in
      any location in the United States of
America.

            

    

     

    Notwithstanding
the foregoing, however, it is understood and agreed by the Company and the
Employee that in the event of a termination of the Employee by the Company
without “Cause” (as such term in defined in the Employment Agreement), the
provisions of the Non-Competition covenant outlined in the preceding paragraph
8(b) shall not be deemed valid or enforceable hereunder.  The Employee
specifically acknowledges that any termination by the Company for “Cause” or any
termination by resignation of the Employee shall result in the Non-competition
covenant described in paragraph 8(b) remaining valid and enforceable
hereunder.

     

    Notwithstanding
the preceding paragraphs, the spirit and intent of this non-competition clause
is not to deny the Employee the ability to support his or her family, but rather
to prevent the Employee from using the knowledge and experiences obtained from
the Company in a similar competitive environment.  Along those lines,
should the Employee leave the employment of the Employer for any reason, he or
she would be prohibited from joining a for-profit cancer testing genetics
laboratory and/or competing against the Company in the same market
place.  The Parties agree that the phrase “in any business that is in
competition with the business of the Company” in the preceding paragraph 8(b)
specifically excludes all non-profit medical testing laboratories, hospitals and
academic institutions as well as for-profit prenatal and
pediatric/constitutional genetic testing laboratories.  In other
words, the Employee would be allowed under this non-compete clause to work in a
private, for-profit prenatal laboratory or pediatric/constitutional genetics
testing laboratory as well as any non-profit cancer genetics testing
laboratory.  Thus, the spirit and intent of this non-competition
clause is intended to prevent the Employee from acting in any of the capacities
outlined in this paragraph for any “for-profit” cancer genetics testing
laboratory only.  For purposes of this agreement, cancer genetic
testing laboratories shall be defined as laboratories that perform the following
types of cancer genetics testing: cytogenetics testing, Flourescence In-Situ
Hybridization (FISH) testing, flow cytometry testing and molecular genetics
testing.

    
      
         

      

      
        10

        
          

        

      

      
         

      

    

    

    
      	
               
      

            	
              c.

            	
              Acknowledgements of
      Employee.

            

    

     

    
      	
               
      

            	
              (i)

            	
              The
      Employee understands and acknowledges that any violation of the
      Restrictive Covenants shall constitute a material breach of this Agreement
      and will cause irreparable harm and loss to the Company or any Affiliated
      Entity for which monetary damages will be an insufficient
      remedy.  Therefore, the Parties agree that in addition to any
      other remedy available, the Company and its Affiliated Entities will be
      entitled to the relief identified in Paragraph No. 9
  below.

            

    

     

    
      	
               
      

            	
              (ii)

            	
              The
      Restrictive Covenants shall be construed as agreements independent of any
      other provision in this Agreement and the existence of any claim or cause
      of action of Employee against the Company or any Affiliated Entity shall
      not constitute a defense to the enforcement of these Restrictive
      Covenants.

            

    

     

    
      	
               
      

            	
              (iii)

            	
              Employee
      agrees that the Restrictive Covenants are reasonably necessary to protect
      the legitimate business interests of the Company or any Affiliated
      Entity.

            

    

     

    
      	
               
      

            	
              (iv)

            	
              Employee
      agrees that the Restrictive Covenants may be enforced by the Company’s
      assignee or successor or any of the Affiliated Entities and Employee
      acknowledges and agrees that assignees, successors and Affiliated Entities
      are intended beneficiaries of this
Agreement.

            

    

     

    
      	
               
      

            	
              (v)

            	
              Employee
      agrees that if any portion of the Restrictive Covenants are held by an
      arbitration panel or court of competent jurisdiction to be unreasonable,
      arbitrary or against public policy for any reason, they shall be divisible
      as to time, geographic area and line of business and shall be enforceable
      as to a reasonable time, area and line of
  business.

            

    

     

    
      	
               
      

            	
              (vi)

            	
              Employee
      agrees that any violation of the Restrictive Covenants, in any capacity
      identified herein, are a material breach of this Agreement and that any
      and all sales by Employee for himself or herself, other individual(s),
      partnership, corporation, joint venture, or any other entity with which he
      or she is associated, shall be conclusively presumed to have been made by
      the Company or any Affiliated Entity, but for the
    violation.

            

    

     

    
      	
               
      

            	
              (vii)

            	
              Employee
      agrees that any failure of the Company or any Affiliated Entity to enforce
      the Restrictive Covenants against any other employee, for any reason,
      shall not constitute a defense to enforcement of the Restrictive Covenants
      against the Employee.

            

    

     

    9.           Specific
Performance; Injunction.   The Parties
agree and acknowledge that the restrictions contained in Paragraphs 1-8 are
reasonable in scope and duration and are necessary to protect the Company or any
of its Affiliated Entities.  If any provision of Paragraphs 1-8 as
applied to any party or to any circumstance is adjudged by a court to be invalid
or unenforceable, the same shall in no way affect any other circumstance or the
validity or enforceability of any other provision of this
Agreement.  If any such provision, or any part thereof, is held to be
unenforceable because of the duration of such provision or the area covered
thereby, the Parties agree that the court making such determination shall have
the power to reduce the duration and/or area of such provision, and/or to delete
specific words or phrases, and in its reduced form, such provision shall then be
enforceable and shall be enforced.

     

    Any
unauthorized use or disclosure of information in violation of Paragraphs 2-7
above or violation of the Restrictive Covenant in Paragraph 8 shall constitute a
material breach of this Agreement, shall constitute misappropriation under
Florida Statutes, and shall cause irreparable harm and loss to the Company or
any of its Affiliated Entities for which monetary damages will be an
insufficient remedy.  Therefore, the Parties agree that in addition to
any other remedy available, the Company or any of its Affiliated Entities will
be entitled to all of the civil remedies provided by Florida Statutes,
including:

    
      
         

      

      
        11

        
          

        

      

      
         

      

    

     

    
      	
               
      

            	
              a.

            	
              Temporary
      and permanent injunctive relief, without being required to post a
      bond,  restraining Employee or Representatives and any other
      person, partnership, firm, corporation, association or other legal entity
      acting in concert with Employee from any actual or threatened unauthorized
      disclosure or use of Confidential Information, in whole or in part, or
      from rendering any service to any other person, partnership, firm,
      corporation, association or other legal entity to whom such Confidential
      Information in whole or in part, has been disclosed or used or is
      threatened to be disclosed or used;
and

            

    

     

    
      	
               
      

            	
              b.

            	
              Temporary
      and permanent injunctive relief, without being required to post a bond,
      restraining the Employee from violating, directly or indirectly, the
      restrictions of the Restrictive Covenant in any capacity identified in
      Paragraph 8, supra, and restricting third parties from aiding and abetting
      any violations of the Restrictive Covenant;
and

            

    

     

    
      	
               
      

            	
              c.

            	
              Compensatory
      damages, including actual loss from misappropriation and unjust
      enrichment; and

            

    

     

    Notwithstanding
the foregoing, the Company acknowledges and agrees that the Employee will not be
liable for the payment of any damages or fees owed to the Company through the
operation of Paragraphs 9c above, unless and until a court of competent
jurisdiction or arbitration panel has determined conclusively that the Company
or any of its assignees, successors or Affiliated Entities is entitled to such
recovery.

     

    Nothing
in this Agreement shall be construed as prohibiting the Company or any
Affiliated Entities from pursuing any other legal or equitable remedies
available to it for actual or threatened breach of the provisions of Paragraphs
2 – 8 of this Agreement, and the existence of any claim or cause of action by
Employee against the Company or any of its Affiliated Entities shall not
constitute a defense to the enforcement by the Company or any of its Affiliated
Entities of any of the provisions of this Agreement.  The Company and
its Affiliated Entities have fully performed all obligations entitling it to the
covenants of Paragraphs 2 – 8 of this Agreement and therefore such prohibitions
are not executory or otherwise subject to rejection under the bankruptcy
code.

     

    10.           Governing
Law.   This
Agreement shall be governed by, construed and enforced in accordance with the
laws of state of Florida without regard to any statutory or common-law provision
pertaining to conflicts of laws.  The parties agree that courts of
competent jurisdiction in Lee County, Florida and the United States District
Court for the Southern District of Florida shall have concurrent jurisdiction
with the arbitration tribunals of the American Arbitration Association for
purposes of entering temporary, preliminary and permanent injunctive relief and
with regard to any action arising out of any breach or alleged breach of this
Agreement.  Employee waives personal service of any and all process
upon Employee and consents that all such service of process may be made by
certified or registered mail directed to Employee at the address stated in the
signature section of this Agreement, with service so made deemed to be completed
upon actual receipt thereof.  Employee waives any objection to
jurisdiction and venue of any action instituted against Employee as provided
herein and agrees not to assert any defense based on lack of jurisdiction or
venue.

    
      
         

      

      
        12

        
          

        

      

      
         

      

    

     

    11.           Arbitration
Agreement. Employee agrees that all
controversies, claims, disputes and matters in question arising out of, or
related to this Agreement, the breach of this Agreement, the business
relationship between signatories to this Agreement or any other matter or claim
whatsoever shall be decided by binding arbitration before the American
Arbitration Association, utilizing its Commercial Rules by a panel of one
arbitrator.  Venue for any arbitration between the Parties shall be
held in Fort Myers, Lee County, Florida.

     

    12.           Successors
and Assigns.   This
Agreement shall be binding upon and inure to the benefit of the Parties hereto
and may not be assigned by Employee at any time. This Agreement may be assigned
only by the Company to an Affiliated Entity and shall inure to the benefit of
its successors and/or assigns.

     

    13.           Entire
Agreement.   This
Agreement is the entire agreement of the Parties with regard to the matters
addressed herein, and supersedes all negotiations, preliminary agreements, and
all prior and contemporaneous discussions and understandings of the signatories
in connection with the subject matter of this Agreement, except however, that
this Agreement shall be read in pari materia with the
Employment Agreement executed by Employee.  This Agreement may be
modified only by written instrument signed by the Company and
Employee.

     

    14.           Construction. The Parties agree that,
notwithstanding the authorship of this Agreement by the Company, such Agreement
shall not be construed more favorably to one Party than the other.

     

    15.           Severability.   In case any
one or more provisions contained in this Agreement shall, for any reason, be
held invalid, illegal or unenforceable in any respect, such invalidity,
illegality or unenforceability shall not affect any other provision hereof and
this Agreement shall be construed as if such invalid, illegal were unenforceable
provision had not been contained herein.

     

    16.           Waiver. The waiver by the
Company of a breach or threatened breach of this Agreement by Employee cannot be
construed as a waiver of any subsequent breach by Employee.  The
refusal or failure of the Company or any Affiliated Entity to enforce any
specific restrictive covenant in this Agreement against Employee, or any other
person for any reason, shall not constitute a defense to the enforcement by the
Company or any Affiliated Entity of any other restrictive covenant provision set
forth in this Agreement.

     

    
      17.           Consideration.   Employee
expressly acknowledges and agrees that the execution by the Company of the
Employment Agreement with the Employee constitutes full, adequate and sufficient
consideration to Employee for the covenants of Employee under this
Agreement.

    

     

    
      18.          
Notices
.   All
notices required by this Agreement shall be in writing, shall be personally
delivered or sent by U.S. Registered or Certified Mail, return receipt
requested, and shall be addressed to the signatories at the addresses shown on
the signature page of this Agreement.

    

     

    
      19.          
Acknowledgements.   Employee
acknowledge(s) that he or she has reviewed this Agreement prior to signing it,
that he or she knows and understands the contents, purposes and effect of this
Agreement, and that he or she has been given a signed copy of this Agreement for
his or her records. Employee further acknowledges and agrees that he or she has
entered into this Agreement freely, without any duress or
coercion.

    

     

    20.           Counterparts.   This
Agreement may be executed in counterparts, each of which shall be deemed an
original for all intents and purposes.

     

      IN
WITNESS WHEREOF, THE UNDERSIGNED STATE THAT THEY HAVE CAREFULLY READ THIS
AGREEMENT AND KNOW AND UNDERSTAND THE CONTENTS THEREOF AND THAT THEY AGREE TO BE
BOUND AND ABIDE BY THE REPRESENTATIONS, COVENANTS, PROMISES AND WARRANTIES
CONTAINED HEREIN.

    
      
         

      

      
        13

        
          

        

      

      
         

      

    

     

    
      
        
          
            	
                    By:

                  	
                    /s/ George Cardoza

                  	
                    11/4/2010

                  
	 	 	 
	 
      	
                     
      Employee Signature

                  	
                    Date

                  

          

        

      

    

     

    
      
        
          
            	
                    Employee Name:

                  	 	
                    George Cardoza

                  
	 
      	 	 
      
	
                    Employee Address:

                  	 	
                    c/o NeoGenomics, Inc.

                  
	 
      	 	 
      
	 
      	 	
                    12701 Commonwealth Drive Suite
      9

                  
	 
      	 	 
      
	 
      	 	
                    Fort Myers, FL
  33913

                  

          

        

      

    

     

    
      NeoGenomics,
Inc.

    

     

    
      12701
Commonwealth Drive, # 5

    

     

    
      Fort
Myers, FL 33913

    

     

    
      
        	
                By:

              	
                /s/ Douglas VanOort

              	
                11/4/2009

              
	 
      	 
      	
                Date

              

      

    

     

    
      
        
          
            	
                    Name:

                  	
                      /s/ Douglas
  VanOort

                  
	 	 
	
                    Title:

                  	
                     
      CEO

                  

          

        

      

    

     

    
      
         

      

      
        14

        
          

        

      

      
         

      

    

    

    Exhibit
2

    

    RELOCATION
AGREEMENT

    George
Cardoza

     

    Chief
Financial Officer

     

    NeoGenomics
Laboratories (the “Company”) acknowledges that you will incur certain relocation
expenses as a result of accepting employment with us.  We consider the
reimbursement of these expenses to be related to the employer-employee
relationship that we are attempting to establish and that these are items that
we share as the
relationship is established.

     

    NeoGenomics
agrees to reimburse you for up to $20,000 in the aggregate (the “Relocation Cap”) for
commuting, temporary housing and permanent relocation expenses.  This
assistance will be comprised of two parts: (i) reimbursement for commuting,
temporary housing and other related transition expenses (the “Temporary Commuting
Allowance”), and (ii) reimbursement for permanent relocation expenses
that are identified by the Internal Revenue Service (“IRS”) as “deductible
moving expenses” (the “Permanent Relocation
Assistance”).

     

    You may
use up to $15,000 of the Relocation Cap for the Temporary Commuting
Allowance.  Expenses reimbursable under the Temporary Commuting
Allowance include pre-move travel (between Tampa, FL and Fort Myers, FL),
related lodging and meal expenses, and other related transition expenses,
incurred in accordance with the Company’s applicable policies in effect from
time to time.

     

    All such
payments made by the Company as part of your Temporary Commuting Allowance shall
be subject to withholding for federal, state or local taxes as the Company
reasonably may determine.  However, you should consult with your own
tax advisor to determine what payments (or reimbursements), if any, may be tax
deductible to you.

     

    The
dollar amount of Permanent Relocation Assistance available to you is the
difference between the Relocation Cap and any payments made to you (or on your
behalf) under the Temporary Commuting Allowance.  The Permanent
Relocation Assistance is available to you for your permanent move to Fort Myers,
Florida, which will need to occur on or prior to December 1,
2010.   Any relocation expenses incurred by you (or on your
behalf) occurring after December 1, 2010 will not be reimbursable by the Company
unless otherwise mutually agreed upon in writing by you and the CEO of the
Company.  The Company will require two (2) quotes from vendors prior
to payment for moving expenses.

     

    The
Permanent Relocation Assistance payments will not be taxable to you to the
extent the expenses are identified by the IRS as “deductible moving expenses,”
and, accordingly, reimbursable expenses shall be limited to: (i) moving your
household goods and personal effects, and (ii) travel (including lodging, but
not meals) to your new home.

     

    All
claims for reimbursable expenses, together with proper receipts and supporting
documentation, must be submitted to the Company within 45 days following the
date(s) the expenses are incurred.  Thereafter, reimbursement by the
Company will be made in accordance with the Company’s normal payroll practices
no later than 45 days following the timely submission of applicable
claims.

     

    I, George
Cardoza, agree to provide proper receipts and documentation in a form acceptable
to the Company in order to receive reimbursement from the Company, and I
understand that failure to do so in accordance with the requirements set forth
herein (including, but not limited to, timely submission) will jeopardize my
rights to any reimbursements under this Agreement.

    
      
         

      

      
        15

        
          

        

      

      
         

      

    

     

    I further
agree that:

     

    
      	
              (a)

            	
              I
      will reimburse NeoGenomics all Permanent Relocation Assistance and
      Temporary Commuting Allowance payments paid on my behalf directly to
      vendors or to me by NeoGenomics should I resign my employment for any
      reason with NeoGenomics Laboratories according to the below listed
      schedule.  Reimbursement will not be required should NeoGenomics
      initiate the separation of
employment.

            

    

     

    Reimbursement
will be based on the following schedule:

     

    
      	
               
      

            	
              1)

            	
              100
      % reimbursement if resignation occurs within a 14 month time period from
      the start of employment or within six months after my permanent relocation
      to Fort Myers, Fl.

            

    

    
      	
               
      

            	
              2)

            	
              50%
      reimbursement if resignation occurs within 6 months to 12 months after my
      permanent relocation to Fort Myers,
FL.

            

    

     

    
      	
              (b)

            	
              Any
      reimbursements paid to me in error will be returned to the Company within
      60 days of (i) the date the expense was incurred, or (ii) becoming aware
      of the existence of an
  erroneous  reimbursement.

            

    

     

    
      	
              (c)

            	
              My
      final paycheck for any wages and/or accrued paid time-off will be reduced,
      to the extent allowable by law, in the amount of any monies I owe to the
      Company pursuant to the terms of this Agreement.  If the amount
      of my final paycheck is insufficient to cover all the monies I owe to the
      Company hereunder, the Company may pursue any and all remedies available
      under the law.

            

    

     

    This
agreement will be governed by the laws of the State of Florida.

     

    Agreed
and Accepted:

     

    
      
        	
                By:

              	
                /s/ George Cardoza

              	
                Date

              	
                11/4/2009

              
	 
      	 
      	 
      	 
      
	 
      	
                George
      Cardoza

              	 
      	 
      

      

    

     

    
      
        
          
            	
                    NEOGENOMICS
      LABORATORIES

                  
	 	 
	
                    By:

                  	
                    /s/ Douglas VanOort

                  
	 
      
	
                    Name:

                  	
                    Douglas VanOort

                  
	 
      
	
                    Title:

                  	
                    CEO

                  

          

        

      

    

     

    
      
         

      

      
        16

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00177-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00177-of-00352.parquet"}]]