Document:

Exhibit 10.2

 

DEBT SETTLEMENT AGREEMENT
AND RELEASE

 

THIS DEBT SETTLEMENT AGREEMENT AND RELEASE (this “Agreement”)
is made and entered into as of July 25, 2022 (the “Effective Date”), by and between Wenzhao “Daniel” Lu (the “Creditor”)
and Avalon GloboCare Corp., a Delaware corporation (the “Company”).

 

RECITALS:

 

WHEREAS, the Creditor and
the Company have entered into that certain Revolving Line of Credit Agreement dated August 29, 2019 pursuant to which the Creditor has
provided the Company with $2,440,262.45 in principal. In addition, the accrued and unpaid interest as of July 25, 2022 is $448,330.99.
The total amount owed to the Creditor is $2,888,593.44 (the “Owed Amount”);

 

WHEREAS, the Creditor has
agreed to convert $2,888,593.44 of the Owed Amount (the “Converted Amount”) into 4,443,990 shares of Common Stock, par value
$0.0001 per share (the “Shares”) at a per share price of $.65;

 

WHEREAS, the Creditor has agreed
to accept, and the Company has agreed to issue to the Creditor the Shares in full satisfaction of the Converted Amount; and

 

WHEREAS, the Shares have not been
registered under the Securities Act of 1933, as amended (the “Securities Act”).

 

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

 

1. Payment
in Full of Converted Amount by Issuance of the Shares. The Creditor hereby agrees to accept the Shares as payment in full of the Converted
Amount and, upon issuance and delivery to the Creditor of the Shares, the Creditor agrees that any and all obligations that the Company
may have pursuant to the Converted Amount shall be satisfied in full and the Company shall have no further obligations to the Creditor
thereunder.

 

2. Representations
and Warranties of the Company. The Company hereby represents and warrants to the Creditor as of the Effective Date as follows: (i)
that the execution, delivery and performance of this Agreement by it will not violate, or result in a breach of, or constitute a default
under, any agreement, instrument, judgment, order or decree to which it is a party or to which it is subject; (ii) that it has the legal
capacity and power and authority to execute and deliver this Agreement and any other related agreements and instruments delivered in connection
herewith; (iii) that no further proceedings or actions are necessary to authorize the execution and delivery of this Agreement or the
performance by the Company of its obligations hereunder; and (iv) that this Agreement constitutes the legal and binding obligation of
the Company, enforceable against it in accordance with these terms.

 

3. Representations
and Warranties of the Creditor and the Company. The Creditor hereby represents and warrants to the Company as of the Effective Date
as follows: (i) that the execution, delivery and performance of this Agreement by it will not violate, or result in a breach of, or constitute
a default under, any agreement, instrument, judgment, order or decree to which it is a party or to which it is subject; (ii) that it has
the legal capacity and power and authority to execute and deliver this Agreement and any other related agreements and instruments delivered
in connection herewith; (iii) that no further proceedings or actions are necessary to authorize the execution and delivery of this Agreement
or the performance by the Creditor of its obligations hereunder; and (iv) that this Agreement constitutes the legal and binding obligation
of the Creditor, enforceable against it in accordance with these terms.

 

In addition, the Creditor hereby represents and warrants to
the Company as of the Effective Date as follows:

 

a. Creditor
is an “accredited investor” as defined in Rule 501(a) of Regulation D promulgated under the Securities Act.

 

     

     

    

 

b. Creditor
is aware that the Shares to be issued to Creditor have not been registered under the Securities Act, and that the Shares are deemed to
constitute “restricted securities” under Rule 144 promulgated under the Securities Act (“Rule 144”). Creditor
also understands that the Shares are being offered and sold pursuant to an exemption from registration contained in the Securities Act
based in part upon Creditor’s representations contained in this Agreement.

 

c. Creditor is obtaining
the Shares for its own account and Creditor has no present intention of distributing or selling the securities except as permitted under
the Securities Act and applicable state securities laws.

 

d. Creditor
has sufficient knowledge and experience in business and financial matters to evaluate the Company, its proposed activities and the risks
and merits of this investment. Creditor has the ability to accept the high risk and lack of liquidity inherent in this type of investment.
Creditor has conducted its own independent investigation of the Company and has reached its own conclusions regarding the risks and merits
of this investment.

 

e. Creditor
had an opportunity to discuss the Company’s business, management and financial affairs with directors, officers and management of
the Company. Creditor has also had the opportunity to ask questions of and receive answers from the Company and its management regarding
the terms and conditions of this investment. Creditor understands the significant risks of this investment.

 

f. Creditor has
the capacity to protect its own interests in connection with the purchase of the Shares by virtue of its business or financial expertise.

 

g. Creditor
understands that the Shares must be held indefinitely unless they are subsequently registered under the Securities Act or an exemption
from such registration is available. Creditor has been advised or is aware of the provisions of Rule 144, as in effect from time to time,
which permit limited resale of shares purchased in a private placement subject to the satisfaction of certain conditions, including, among
other things, the availability of certain current public information about the Company, the resale occurring following the required holding
period under Rule 144, and the number of shares being sold during any three month period not exceeding specified limitations.

 

h. Creditor
acknowledges and agrees that the Shares upon issuance shall bear customary restrictive legends referencing their restrictions on transfer
in accordance with the Securities Act.

 

i. Creditor
has reviewed this Agreement in its entirety, has had an opportunity to obtain the advice of counsel prior to executing this Agreement
and fully understands all provisions of this Agreement. Creditor acknowledges that no other representations or warranties, oral or written,
have been made by the Company or any agent thereof except as set forth in this Agreement.

 

j. Creditor
is aware that the Company is relying on the accuracy of the above representations to establish compliance with federal and state securities
laws. If any such warranties or representations are not true and accurate in any respect as of the date hereof, Creditor shall so notify
Company in writing immediately and shall be cause for rescission by Company at its sole election.

 

4. Representations
of the Creditor with Respect to the Converted Amount. The Creditor hereby represents as to the Converted Amount as follows: (i) the
Converted Amount represents a bona fide outstanding claim against the Company, and is an enforceable obligation arising in the ordinary
course of business, for money due and payable to the Creditor for loans rendered; (ii) the Creditor is the sole owner of the Converted
Amount, and has not previously sold, transferred, encumbered or released any part of the Converted Amount; and (iii) there is no action
based on any of the Converted Amount that is currently pending in any court or other legal venue and no judgments based upon the Converted
Amount have been previously entered in any legal proceeding.

 

5. Release. Effective
upon delivery of the Shares to the Creditor, the Creditor hereby knowingly and voluntarily releases and forever discharges the Company
and its predecessors, successors, direct and indirect parent companies, direct and indirect subsidiary companies, companies under common
control with any of the foregoing, assigns, directors, officers, affiliates, agents and representatives (collectively, the “Released
Parties”), from all claims, liabilities, demands, costs, charges, expenses, actions, causes of action, judgments, and executions,
past, present or future, with respect to the Converted Amount. The parties agree that the foregoing release is not intended to release,
and shall not release, any claims between any of the parties that may arise under this Agreement or the Shares. Upon the execution of
this Agreement, the Creditor and the Company shall be deemed to have received sufficient consideration for the releases set forth in
this Section 5.

 

6. Voluntary
and Knowing Agreement and Release. Each of the parties hereto acknowledges that they have entered into this Agreement of their own
free will, and that no promises or representations have been made to them by any person to induce them to enter into this Agreement other
than the express terms set forth herein. Each of the parties hereto further acknowledges that they have read this Agreement and understands
all of their respective terms.

 

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7.
Intentionally Left Blank.

 

8. Advice
of Counsel. The Creditor acknowledges that before entering into this Agreement, it has had the opportunity to consult with an attorney
of its choice.

 

9. Attorneys’
Fees. Each party shall bear its own legal fees and expenses in connection with the negotiation, execution and delivery of this Agreement.

 

10. Choice
of Law and Venue. This Agreement shall be governed by and construed according to the laws of the State of New Jersey, without giving
effect to its choice of law principles. The parties agree that all actions and proceedings arising out of or relating directly or indirectly
to this Agreement or any ancillary agreement or any other related obligations shall be litigated solely and exclusively in the state or
federal courts located in the New Jersey, and that such courts are convenient forums. Each party hereby submits to the personal jurisdiction
of such courts for purposes of any such actions or proceedings.

 

11. Severance
of Provisions; Survival of Representations and Warranties. If any of the provisions of this Agreement shall be held invalid, the remainder
of this Agreement shall not be affected thereby, and shall remain in full force and effect. The representations, warranties and agreements
of the Parties shall survive the delivery of the Shares under this Agreement.

 

12. Notices.
All notices and other communications shall be in writing and shall be provided to the recipient party to the addresses set forth on the
signature page hereto. All notices and communications shall be deemed made and effective as follows: (i) if transmitted for overnight
delivery via a nationally recognized delivery service, the first business day after being delivered by the transmitting party to such
overnight delivery service, (ii) if faxed, when transmitted in legible form by facsimile machine to the recipient party’s correct
facsimile machine number, (iii) if by e-mail, when transmitted by e-mail, or (iv) if mailed via regular mail, upon delivery. Any party
may designate a superseding notice contact name, street address, e-mail address or fax number by providing the other parties with written
notice pursuant to the provisions hereof.

 

13. Entire
Agreement. This Agreement sets forth the entire understanding of the parties and supersedes any and all prior agreements, oral or
written, relating to the subject matter hereof. The parties attest that no other representations were made regarding this Agreement other
than those contained herein.

 

14. Confidentiality.
Each of the parties hereby agrees, without the prior written consent of the other, to not disclose, and to otherwise keep confidential,
the transactions contemplated hereby, except to the extent that disclosure thereof is required by law, rule or regulation; provided, however,
that each of the parties may disclose information regarding such sale to their respective accountants, attorneys, shareholders and other
interest holders.

 

15. No Third
Party Beneficiaries. This Agreement is intended for the benefit of the Creditor and the Company and their respective successors and
permitted assigns and is not for the benefit of, nor may any provision hereof be enforced by, any other person.

 

16. Modifications.
This Agreement may not be modified except by a writing, signed by each of the parties hereto. This Agreement shall be binding upon the
parties and their respective successors and assigns.

 

17. Counterparts.
This Agreement may be signed in counterparts, and said counterparts shall be treated as though signed as one document. Facsimile or other
electronic signatures to this Agreement shall be treated as original signatures.

 

(SIGNATURES APPEAR ON THE
FOLLOWING PAGE)

 

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IN WITNESS WHEREOF, the Creditor
and the Company have caused this Settlement Agreement and Release to be signed by their respective duly authorized officers or representatives
as of the date first above written.

 

	 	/s/ Wenzhao “Daniel” Lu

                                                     

	 	Wenzhao “Daniel” Lu
	 	 
	 	Address for delivery of notice:
	 	 
	 	COMPANY:

	 	 
	 	AVALON GLOBOCARE CORP.
	 	 
	 	By:  	/s/ David Jin
	 	Name:  	David Jin
	 	Title: 	Chief Executive Officer
	 	 
	 	Address for delivery of notice:
	 	 
	 	4400
Route 9 South, Suite 3100

                                    Freehold, New Jersey 07728

 

 

4Exhibit
10.3

 

THESE
SECURITIES HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR THE SECURITIES LAWS OF ANY STATE AND MAY NOT BE
SOLD OR OFFERED FOR SALE IN THE ABSENCE OF AN EFFECTIVE REGISTRATION STATEMENT FOR THE SECURITIES OR AN OPINION OF COUNSEL OR OTHER EVIDENCE
ACCEPTABLE TO THE COMPANY THAT SUCH REGISTRATION IS NOT REQUIRED.

 

CONVERSION
AGREEMENT

 

THIS CONVERSION AGREEMENT (the “Agreement”), dated as of
July 25, 2022 is made by and between Avalon GloboCare Corp., a Delaware corporation (the “Company”), and Fsunshine Trading
PTE. Ltd. (the “Holder”).

 

WHEREAS, Holder holds Convertible Notes (the “Notes”) payable
by the Company in the principal amount of $3,718,942.76 issued from April 15, 2022 through May 25, 2022. The total amount owed to the
Holder as of July 25, 2022 is $3,728,693.54 including principal of $3,718,942.76 and accrued and unpaid interest of $9,750.78 (the “Owed
Amount”).

 

WHEREAS, the Company and Holder wish to convert the Owed Amount of
$3,728,693.54 into shares of common stock of the Company at a conversion price of $0.65 per share resulting in the issuance of 5,736,452
shares of common stock of the Company (the “Shares”) to Holder.

 

NOW,
THEREFORE, for good and valuable consideration, the receipt and sufficiency of which the parties hereby acknowledge the parties agree
as follows:

 

1.
Conversion. It is agreed by the Company and Holder that on the date hereof, the Debt shall convert into the Shares at the Per
Share Offering Price.

 

2.
Amendment. Section 1.1 of the Notes shall be amended and restated as follows:

 

Conversion
Right. The Holder shall have the right from time to time, and at any time on or prior to repayment, to convert all or any part
of the outstanding and unpaid principal amount of this Note into fully paid and non-assessable shares of Common Stock, as such Common
Stock exists on the Issue Date, or any shares of capital stock or other securities of the Borrower into which such Common Stock shall
hereafter be changed or reclassified at the conversion price (the “Conversion Price”) determined as provided herein
(a “Conversion”) The number of shares of Common Stock to be issued upon each conversion of this Note shall be determined
by dividing the Conversion Amount (as defined below) by the Conversion Price on the date specified in the notice of conversion, in the
form attached hereto as Exhibit A (the “Notice of Conversion”), delivered to the Borrower by the Holder in accordance
with Section 1.4 below; provided that the Notice of Conversion is submitted by facsimile (or by other means resulting in, or reasonably
expected to result in, notice) to the Borrower before 6:00 p.m., New York, New York time on such conversion date (the “Conversion
Date”). The term “Conversion Amount” means, with respect to any conversion of this Note, the sum of (1)
the principal amount of this Note to be converted in such conversion plus (2) accrued and unpaid interest, if any, on such principal
amount at the interest rates provided in this Note to the Conversion Date.

 

    

     

    

 

3.
Certificate Delivery. Within ten (10) business days of the date hereof, the Company shall deliver a book entry statement representing
the Shares to Holder.

 

4.
Further Assurances. The parties, by entering into this Agreement, agree to execute all agreements and other documents as reasonably
requested by the other party.

 

5.
Representations and Warranties and Covenants of Holder. Holder represents, warrants and covenants to the Company as follows:

 

a.
No Registration. Holder understands that the Shares have not been, and will not be, registered under the Securities Act of 1933,
as amended (the “Securities Act”) by reason of a specific exemption from the registration provisions of the Securities Act,
the availability of which depends upon, among other things, the bona fide nature of the investment intent and the accuracy of Holder’s
representations as expressed herein or otherwise made pursuant hereto.

 

b.
Investment Experience. Holder has substantial experience in evaluating and investing in private placement transactions of securities
in companies similar to the Company and acknowledges that Holder can protect Holder’s own interests. Holder has such knowledge
and experience in financial and business matters so that Holder is capable of evaluating the merits and risks of its investment in the
Company.

 

d.
Speculative Nature of Investment; SEC Reports; Dilution. Holder understands and acknowledges that the Company has a limited financial
and operating history and that an investment in the Company is highly speculative and involves substantial risks. Holder can bear the
economic risk of such investment and is able, without impairing such financial condition, to hold the Shares for an indefinite period
of time and to suffer a complete loss of Holder’s investment. Holder further understands that the Company will need issue additional
shares of common stock in connection with future financings and in connection with the retention or hiring of management and employees,
which will dilute Holder.

 

e.
Accredited Investor. Holder is an “accredited investor’ within the meaning of Regulation D, Rule 501(a), promulgated
by the Securities and Exchange Commission under the Securities Act and shall submit to the Company such further assurances of such status
as may be reasonably requested by the Company.

 

f.
Rule 144. Holder acknowledges that the Shares must be held indefinitely unless subsequently registered under the Securities Act
or an exemption from such registration is available. The Holder is aware of the provisions of Rule 144 promulgated under the Securities
Act which permit limited resale of shares subject to the satisfaction of certain conditions, including among other things, the existence
of a public market for the shares, the availability of certain current public information about the Company and the resale occurring
not less than six months after a party has purchased and paid for the security to be sold. The Holder acknowledges that, in the event
all of the requirements of Rule 144 are not met, registration under the Securities Act or an exemption from registration will be required
for any disposition of the Shares.

 

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The
Holder understands that, although Rule 144 is not exclusive, the Securities and Exchange Commission has expressed its opinion that persons
proposing to sell restricted securities received in a private offering other than in a registered offering or pursuant to Rule 144 will
have a substantial burden of proof in establishing that an exemption from registration is available for such offers or sales and that
such persons and the brokers who participate in the transactions do so at their own risk.

 

g.
Authorization.

 

i.
The Holder has all requisite power and authority to execute and deliver this Conversion Agreement, and to carry out and perform its obligations
under the terms hereof. All action on the part of the Holder necessary for the authorization, execution, delivery and performance of
this Conversion Agreement, and the performance of all of the Holder’s obligations herein, has been taken.

 

ii.
This Agreement, when executed and delivered by the Holder, will constitute valid and legally binding obligations of the Holder, enforceable
in accordance with its terms except: (i) as limited by applicable bankruptcy, insolvency, reorganization, moratorium and other laws of
general application affecting enforcement of creditors’ rights generally, and (ii) as limited by laws relating to the availability
of specific performance, injunctive relief or other equitable remedies or by general principles of equity.

 

iii.
No consent, approval, authorization, order, filing, registration or qualification of or with any court, governmental authority or third
person is required to be obtained by the Holder in connection with the execution and delivery of this Conversion Agreement by the Holder
or the performance of the Holder’s obligations hereunder.

 

h.
Brokers or Finders. Such Holder has not engaged any brokers, finders or agents, and the Company has not, and will not, incur,
directly or indirectly, as a result of any action taken by the Holder, any liability for brokerage or finders’ fees or agents’
commissions or any similar charges in connection with this Conversion Agreement and the transactions related hereto.

 

i.
Tax Advisors. The Holder has reviewed with its own tax advisors the U.S. federal, state, local and foreign tax consequences of
this investment and the transactions contemplated by this Conversion Agreement. With respect to such matters, the Holder relies solely
on such advisors and not on any statements or representations of the Company or any of its agents, written or oral. The Holder understands
that it (and not the Company) shall be responsible for its own tax liability that may arise as a result of this investment or the transactions
contemplated by this Conversion Agreement.

 

j.
Legends.  The Holder understands and agrees that the certificates and/or book entry statement evidencing the Shares shall bear
a legend in substantially the form as follows (in addition to any legend required by any other applicable agreement or under applicable
state securities laws):

 

“THE
SHARES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR THE SECURITIES LAWS
OF ANY STATE, AND MAY NOT BE SOLD, TRANSFERRED, ASSIGNED, PLEDGED OR HYPOTHECATED UNLESS AND UNTIL REGISTERED UNDER SUCH ACT AND/OR APPLICABLE
STATE SECURITIES LAWS, OR UNLESS THE COMPANY HAS RECEIVED AN OPINION OF COUNSEL OR OTHER EVIDENCE, REASONABLY SATISFACTORY TO THE COMPANY
AND ITS COUNSEL, THAT SUCH REGISTRATION IS NOT REQUIRED.”

 

.
Miscellaneous.

 

a. Notice.
Any notice required under this Agreement shall be deemed duly delivered (and shall be deemed to have been duly received if so
given), if personally delivered, sent by a reputable courier service, or mailed by registered or certified mail, postage prepaid,
return receipt requested, addressed to the parties at the addresses set forth above or to such other address as any party may have
furnished to the other in writing in accordance with this Section.

 

    3

     

    

 

b.
Law and Jurisdiction. The laws of the State of New Jersey apply to this Agreement, without deference to the principles of conflicts
of law. Both jurisdiction and venue for any litigation pursuant to this Agreement shall be proper in the courts of New Jersey.

 

c.
Sevcrability. If the law docs not allow a provision of this Agreement to be enforced, such unenforceable provision shall be amended to
become enforceable and reflect the intent of the parties, and the rest of the provisions of this Agreement shall remain in effect.

 

d.
Waiver. The failure of any party, in any instance, to insist upon strict enforcement of the provisions of this Agreement shall not be
construed to be a waiver or relinquishment of enforcement in the future, and the terms of this Agreement shall continue to remain in
full force and effect.

 

e.
Assignability. This Agreement shall not be assignable by either party.

 

f.
Amendment. This Agreement may only be amended or modified in a writing signed by both of the parties and referring to this Agreement.

 

g.
Entire Agreement. This Agreement constitutes the entire agreement and final understanding of the parties with respect to the subject
matter of this Agreement and supersedes and terminates all prior and/or contemporaneous understandings and/or discussions between the
parties, whether written or verbal, express or implied, relating in any way to the subject matter of this Agreement.

 

    4

     

    

 

IN
WITNESS WHEREOF, the parties have caused this Agreement to be duly executed by their respective officers thereonto duly authorized as
of the day and year first above written.

 

	 	AVALON GLOBOCARE CORP.
	 	 	 
	 	By:	/s/ Luisa
    Ingargiola
	 	Name:	Luisa Ingargiola
	 	Title:	Chief Financial Officer
	 	 	 
	 	FSUNSHINE TRADING PTE. LTD.
	 	 	 
	 	By:	/s/ Yulin Sun
	 	Name: 	Yulin Sun
	 	Title:	President

 

 

5

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