Document:

Exhibit 10.102

 EXHIBIT 10.102 
 STAR SCIENTIFIC, INC. 
 EXECUTIVE EMPLOYMENT AGREEMENT 
 THIS EXECUTIVE EMPLOYMENT AGREEMENT (this “Agreement”) is entered into effective as of February 26, 2008 (the “Effective Date”),
by and between STAR SCIENTIFIC, INC., a Delaware corporation (the “Company”), and Curtis Wright, MD, MPH (“Executive”). 
 RECITALS 
 A. The Company, through its subsidiary STAR PHARMA, INC., (“STAR PHARMA”) is engaged in
the research and development of a range of less toxic and reduced-risk, low-TSNA tobacco-based pharmaceutical products for smoking or smokeless tobacco therapy and/or cessation, and potentially for the treatment of a range of neurological diseases
including Alzheimer’s disease, Parkinson’s disease, Schizophrenia, and Depression. 
 B. Executive has been recruited
to assume the position of Senior Vice President, Medical/Clinical Director of STAR PHARMA and the Company wishes to have the benefit of the Executive’s professional skills and services, as an employee of STAR SCIENTIFIC, INC., with the
understanding that Executive will be providing services exclusively for STAR PHARMA. 
 AGREEMENT 
 NOW, THEREFORE, the parties hereto hereby agree as follows: 
 1. Employment and Duties. 
 (a) Position.
The Company hereby employs Executive, and Executive hereby accepts employment with the Company, as the Senior Vice President, Medical/Clinical Director of its wholly-owned subsidiary, STAR PHARMA. 
 (b) Duties. Executive agrees to devote his best efforts to perform all duties assigned to him by
the CEO of STAR PHARMA, including specifically responsibility for coordinating all aspects of STAR PHARMA’s efforts relating to the development of a range of products utilizing a tobacco-based component and/or other appropriate component
intended for smoking or smokeless tobacco therapy and/or cessation and for the treatment or therapy of a range of neurological diseases, including but not limited to, Alzheimer’s disease, Parkinson’s disease, Schizophrenia, and Depression,
and such other duties as may be assigned to Executive from time to time (“Duties”), in a trustworthy, professional, business-like and loyal manner, including more specifically those duties set forth in Appendix “A”. 

(c) Reporting. Executive shall report to the CEO of STAR PHARMA relating to STAR PHARMA’S new product
development efforts and any other business matters assigned to Executive. 
 (d) Place of
Employment. Executive shall perform his services from an office that the Company will establish in or near Rockport or Gloucester, Massachusetts, consisting of sufficient space for Executive, a researcher, and an assistant
(approximately 2,500 square feet) (the “Massachusetts Office”). The Massachusetts Office shall be the primary office from which Executive shall perform his services hereunder, with the further understanding that this position will entail
travel to, and attending meetings at, the Company’s other offices and manufacturing facilities, not to exceed a maximum of twenty (20) days travel per quarter. 
 (e) Change of Duties. Subject to the provisions of Section 4(g) herein, the Duties of the Employee may be
modified from time to time by mutual written consent of the Company and the Employee without resulting in a rescission of this Agreement. The mutual written consent of the Company and the Employee shall constitute execution of that modification.
Notwithstanding any such change, the employment of the Employee shall be construed as continuing under this Agreement as so modified. 
  

 1 

 (f) Devotion of Time to Company’s Business. During the Term of
this Agreement (as such term is defined in Section 1(g) hereof and except for the Transition Period as set forth in Section 2(b)), Executive agrees (i) to devote the primary portion of his productive time, ability and attention to the
business of the Company during normal working hours, and (ii) not to acquire, hold or retain, whether directly or indirectly, more than a two percent (2%) interest in any business competing with or similar in nature to the business of the
Company or any of its Affiliates (as such term is defined below). For purposes of this Agreement, “Affiliates” shall mean any Person that, directly or indirectly through one or more intermediaries, controls or is controlled by, or is under
the common control of, the Company. 
 (g) Term. Unless sooner terminated as provided in Section 4
hereof, the term of this Agreement shall be deemed to have commenced on March 17, 2008 and shall continue for a term of three years through March 17, 2011 (the “Initial Term”), and shall be renewable for successive twelve
(12) month terms (each, a “Renewal Term”) at the option of the Company. Notice of renewal, if applicable, shall be given to Executive in writing at least thirty (30) days prior to the end of the Initial Term or the applicable
Renewal Term, as the case may be. The Initial Term, together with any Renewal Terms shall be referred to in this Agreement as the “Term of this Agreement.” If the Company does not provide notice of its intent to renew the Term of this
Agreement in accordance with this paragraph, the Agreement shall continue on a month-to-month basis until either party notifies the other of the intent not to continue the Agreement on a month-to-month basis. Notice of intent not to continue the
Agreement on a month-to-month basis shall be effective if provided by the Company to Executive at least fifteen (15) days prior to the completion of the then-current monthly term. Executive shall use his best efforts to provide the same advance
notice, but his failure to do so shall not in any way be deemed a breach of the terms of this Agreement, and his notice of intent not to continue the Agreement on a month-to-month basis shall be effective as and when stated therein. Should the
Company accept Executive’s notice of termination of the Agreement on a month-to-month basis prior to the effective date set forth by Executive in such notice of termination, the Company shall continue to pay Executive’s Base Salary through
the date of termination specified by Executive in such notice of termination. 
 (h) Observance of Company Rules,
Regulations and Policies. Executive shall duly, punctually and faithfully perform and observe any and all rules, regulations and policies which the Company or which STAR PHARMA may now have or hereafter establish governing the conduct of its
business or its employees to the extent such rules, regulations and policies are not in conflict with this Agreement. Executive shall promptly provide written notice to the Board of Directors of the Company and STAR PHARMA of any such apparent
conflict of which Executive becomes aware. 
 2. Compensation. 
 (a) Base Salary. During the Term of this Agreement, the Company shall pay to Executive a base salary of three hundred
thousand dollars per year ($300,000) in increments of approximately twenty five thousand dollars ($25,000) per month (the “Base Salary”), payable on a regular basis in accordance with the Company’s standard payroll procedures.

 (b) Transition Period Payments. It is the intention of the Company and Executive to negotiate an
arrangement with Executive’s prior employer under which Executive would continue to provide services to his prior employer for a period of up to four (4) months on a part-time basis that would not require Executive to spend more than
one-fifth of his productive time on the business of his prior employer (the “Transition Period”). To the extent that an acceptable arrangement can be reached with Executive’s prior employer, any payments from Executive’s prior
employer for Executive’s services to the prior employer during the Transition Period shall be made directly to the Company rather than to Executive, who shall have no claim thereto. It is understood that Executive shall not be entitled to any
additional payments or compensation other than as set forth in this Agreement as a result of providing such services to the prior employer. 
 (c) Initial Bonus. Within thirty (30) days of the execution of this Agreement, the Company shall pay Executive a one-time signing bonus of one hundred thousand dollars ($100,000)
(“Initial Bonus”), which 

  

 2 

 
shall be in addition to his Base Salary. This payment shall be paid to Executive as salary and the Company shall deduct from the payment appropriate amounts
for income taxes, Social Security payments, and such other amounts required to be withheld from salary payments made by the Company to its employees. 
 (d) Performance Bonus. In addition to the Base Salary and Initial Bonus, the Company shall pay Executive a one-time performance bonus of one hundred thousand dollars ($100,000) (“Performance
Bonus”) in the event that the United States Food and Drug Administration (“FDA”) does not impose a Clinical Hold on STAR PHARMA’s initiation of a Phase I Clinical Study of a tobacco-based drug product or any other pharmaceutical
for the treatment of smoking or smokeless tobacco cessation so as to allow such study to commence within eighteen (18) months of the date of this Agreement (the “approval date”), or if such a Clinical Hold is imposed it is resolved in
the allotted eighteen (18) month period such that a clinical trial is permitted to commence, provided that Executive remains employed by the Company (i) on such approval date and (ii) on the date such Performance Bonus is scheduled to
be paid, as provided in this Section 2(d). If Executive is employed by the Company on the approval date, but not on the scheduled payment date, the Company shall still pay Executive the Performance Bonus on or before the scheduled payment date
unless this Agreement has been terminated by the Company for Cause or by the Executive without cause, as defined in Section 4 herein, prior to the scheduled payment date. The timing of the payment shall be structured as necessary to comply with
Section 409A, as described herein in Section 4(i). If FDA allows the study to proceed during the first year of this Agreement, then the Performance Bonus shall be paid to Executive on or before the first anniversary date of this Agreement.
If FDA allows the study to proceed between the first anniversary of this Agreement and the completion of eighteen (18) months from the date of this Agreement, then the Performance Bonus shall be paid to Executive within thirty (30) days of
the Company’s receipt of notice of the right to initiate the Phase I Clinical Study described above. The Performance Bonus shall be paid to Executive as salary and the Company shall deduct from the payment appropriate amounts for income taxes,
Social Security payments, and such other amounts required to be withheld from salary payments made by the Company to its employees. 
 (e) Stock Option. 
 (i) Stock Option Grant. The parties acknowledge and
agree that as additional incentive, the Compensation Committee will recommend and upon Board approval, the Company will grant to Executive a Stock Option (the “Option”) to purchase up to two-hundred thousand (200,000) shares of Common
Stock of the Company at fair market value as of the date of grant, pursuant to the Company’s standard form of stock option agreement under its 1998 or 2000 Stock Option Plan (the “Plan”). 
 (ii) Vesting. The Option shall vest and become exercisable on the following schedule: 
  

			
	 Number of Shares
	  	 Date Vested

	 100,000
	  	 On Dr. Wright’s first Day of
 employment
with Star Pharma, Inc.

	 50,000
	  	February 26, 2009
	 50,000
	  	February 26, 2010

 (iii) Termination. To the extent not then fully vested, the
Option shall immediately terminate upon the earlier of the effective date of termination of this Agreement; (A) by the Company for Cause (as such term is defined in Section 4(c) hereof); or (B) voluntarily by Executive (as such term
is defined in Section 4(f) hereof). 
 (iv) Other Option Terms. All other terms of the Option shall
be determined in accordance with the Plan. 
 (f) Vacation. Executive shall be entitled to a
minimum of four weeks annual vacation time with full pay or for such longer period as the Company may provide in its standard policies and practices for the Company’s other executive employees who hold a position at a level comparable to
Executive’s position. 
 (g) Other Benefits and Bonus Opportunities. Executive shall
participate in and have the benefits of all present and future vacation, holiday, paid leave, unpaid leave, life, accident, disability, dental vision and 

  

 3 

 
health insurance plans, pension, profit-sharing and savings plans and all other plans and benefits to the same extent such coverage is provided to the
Company’s other employees. In addition, Executive shall be eligible to participate in and have the benefit of any and all other incentive plans that the Company may establish or make generally available to other executive employees who hold
positions at a level comparable to Executive’s position. 
 (h) Withholding. The parties shall
comply with all applicable withholding requirements in connection with all compensation payable to Executive, including the Commonwealth of Massachusetts where Executive is domiciled. 
 3. Expense Reimbursement. 
 (i) General Business Expenses. The Company shall reimburse Executive for all business travel and other out-of-pocket expenses reasonably incurred by Executive in the course of
performing his duties under this Agreement. All reimbursable expenses shall be appropriately documented and shall be in reasonable detail and in a format and manner consistent with the Company’s expense reporting policy, as well as applicable
federal and state tax record keeping requirements. 
 4. Termination and Rights on Termination. This Agreement
shall terminate upon the occurrence of any of the following events: 
 (a) Death. Upon the death of
Executive, in which event the Company shall, within thirty (30) days of receiving notice of such death, pay Executive’s estate all salary then due and payable and all accrued vacation pay, if any, in each case payable or accrued through
the date of death. Executive’s estate shall not be entitled to any severance compensation. 
 (b)
Disability. Upon the mental or physical Disability (as such term is defined below) of Executive, in which event the Company shall, within thirty (30) days following the determination of Disability, pay Executive all salary
then due and payable and all accrued vacation pay, if any, in each case payable or accrued through the date of determination of Disability. For purposes of this Agreement, “Disability” shall mean a physical or mental condition, verified by
a physician designated by the Company, which prevents Executive from carrying out one or more of the material aspects of his assigned duties for at least ninety (90) consecutive days, or for a total of ninety (90) days in any six
(6) month period. Executive shall not be entitled to any severance compensation. 
 (c) Termination by the
Company For Cause. The Company may terminate this Agreement at any time for Cause (as such term is defined below). In this event, the Company shall, within fifteen (15) days following such termination, pay Executive all salary and all
accrued vacation pay, if any, then due and payable through the date of termination. Executive shall not be entitled to any severance compensation. For purposes of this Agreement, “Cause” shall mean: 
 (a) A material act of dishonesty in connection with Executive’s responsibilities as an employee; 
 (b) Executive’s commission of, or plea of nolo contendere to, a felony of a nature which in the sole opinion of the Company renders
the Executive unsuitable for continued employment; 
 (c) Executive’s willful refusal to follow reasonable and
appropriate directives of the CEO; 
 (d) Executive’s gross negligence or willful misconduct in the performance of his
duties as an employee of the Company; 
 (e) Executive’s failure to perform his assigned duties to a reasonably
acceptable level, if the Company has provided Executive with written notice of same and a reasonable opportunity (at least 30 days) to cure the deficiencies. 
 (d) Termination by the Company Without Cause. The Company may terminate this Agreement at any time, subject to the
provisions of Section 1(g) herein, without cause. In this event, provided that such termination of employment constitutes a “separation from service” as defined in Treasury Regulation Section 1.409A-1(h) (“Separation from
Service”), the Company shall continue to pay Executive his then-current 

  

 4 

 
Base Salary in effect as of the date of termination for the balance of the Term of this Agreement (the “Severance Payments”), as well as all
accrued vacation time as of the date of termination. Severance Payments under this subsection shall be made at the same time and in the same manner as such salary would have been paid if Executive had remained in active employment until the end of
the Term in accordance with the Company’s normal payroll practices as in effect on the date of Executive’s Separation from, provided that (i) Executive has executed a waiver and release of claims agreement in the Company’s
customary form (the “Release”), which Release may be amended by the Company to reflect changes in applicable laws and regulations, and (ii) Executive has not revoked such Release within the applicable revocation period set forth in
such Release. 
 (e) No Termination by Merger; Transfer of Assets or Dissolution. This Agreement shall
not be terminated by any dissolution of the Company resulting from either merger and/or consolidation in which the Company is not the consolidated or surviving corporation or other entity or transfer of all or substantially all of the assets of the
Company. In such event, the rights, benefits, and obligations herein shall automatically be deemed to be assigned to the surviving or resulting corporation or other entity or to the transferee of the assets, as the case may be, with the consent of
Executive. 
 (f) Voluntary Termination by Executive. Executive may terminate this Agreement at any time
without cause and without Good Reason by giving the Company thirty (30) days written notice. In this event, the Company shall pay Executive, in accordance with its regular payroll practices, all salary and accrued vacation time due and payable
through the date of termination. Executive shall not be entitled to any severance compensation. In addition, if Executive terminates this Agreement voluntarily (i.e., except for death, disability or Good Reason, as defined in Sections 4
(a) (b) and (g) herein) during the Initial Term, he shall within thirty (30) days following the effective date of termination repay to the Company the amount of the Initial Bonus, if any, received from the Company. 
 (g) Termination by Executive for Good Reason. Executive may terminate this Agreement at any time for Good Reason by
giving the Company thirty (30) days written notice terminating this Agreement for Good Reason (as such term is defined below), provided that such notice is delivered to the Company within sixty (60) days following the occurrence of the
event constituting Good Reason. In that event, the Company shall pay Executive the Severance Payments subject to the terms and provisions of Section 4(d) hereof. For purposes of this Agreement, “Good Reason” shall mean the occurrence
of any of the following events without the prior written consent of Executive: 
 (i) A material diminution in
Executive’s positions, duties, responsibilities, functions or status with the Company, or the removal of Executive from, or failure to reelect Executive to, any of such positions; 
 (ii) A material reduction by the Company of Executive’s Base Salary or benefits provided to Executive pursuant to
Section 2(g) (other than changes generally applicable to all participants in such plans or arrangements); or 
 (iii)
Any other material breach by the Company of this Agreement which is not cured within twenty (20) days of delivery of written notice thereof by Executive to the Company. 
 For purposes of clarification, and not limitation, a material breach shall include, among other things, a change in geographic location of the
Massachusetts Office to a location that is more than fifteen (15) miles from Rockport or Gloucester, Massachusetts or a requirement that Executive travel more than fifteen (15) days per quarter, in violation of the provisions of
Section 1(d) of this Agreement. 
 (h) Effect of Termination. All rights and obligations of
the Company and Executive under this Agreement shall cease as of the effective date of termination, except that the obligations of the Company and Executive under this Section 4 and Executive’s obligations under Sections 5 and 6
hereof shall survive such termination in accordance with their respective terms. 
 (i) Timing of
Payments. If, at the time Executive’s employment hereunder is terminated, the Company determines that Executive is a “specified employee,” as defined in Section 409A of the 

  

 5 

 
Internal Revenue Code of 1986, as amended, and the regulations promulgated thereunder (“Section 409A”), any and all amounts payable under this
Section 4 that would constitute deferred compensation subject to Section 409A, as determined by the Company in its sole discretion, and that would (but for this sentence) be payable within six (6) months following the effective date
of termination of employment, shall instead be paid on the date that follows the effective date of termination of employment by six (6) months, as a lump-sum amount. Thereafter, any amounts still owed to Executive pursuant to this
Section 4 in connection with his termination of employment shall be paid in accordance with Section 4(a) through (g), as applicable. 
 Additionally, in the event that the Company or Executive reasonably determines, after the Effective Date, that any amounts payable under this Section 4 may be subject to Section 409A, the Company and
Executive shall work together to adopt such amendments to this Agreement, adopt other policies or procedures (including amendments, policies and procedures with retroactive effect), or take any other commercially reasonable actions necessary or
appropriate to (i) exempt the payments and benefits payable under this Agreement from Section 409A and/or preserve the intended tax treatment of the payments and benefits provided with respect to this Agreement or (ii) comply with the
requirements of Section 409A. For the avoidance of doubt, nothing in this Section 4(i) shall obligate the Company to incur any material cost or liability, including providing gross-ups for any additional taxes that Executive may incur
under Section 409A with respect to amounts payable under this Section 4. 
 5. Restriction on Competition.

 (j) Covenant Not to Compete. The parties acknowledge that the Company is placing Executive
in a position of great trust, responsibility and authority by virtue of this Agreement, and as a result, that Executive will be exposed to the Company’s most sensitive commercial and proprietary information. The parties also recognize and
acknowledge that by virtue of his position, Executive will come to be identified closely with the Company in the business and industries in which the Company operates. Executive further acknowledges that the Company’s interests in protecting
its confidential information and its relationships are both significant and difficult to quantify economically. Therefore, Executive agrees that during the Term of this Agreement and for a period of twelve (12) months from the termination of
this Agreement, Executive shall not, without the prior written consent of the Company, either directly or indirectly, for himself or on behalf of or in conjunction with any other Person (i) own, manage, operate, control, be employed by,
participate in, render services to, or be associated in any manner with the ownership, management, operation or control of, any business similar to the type of business conducted by the Company or any of its Affiliates (which are described in
Recitals, Section A above), including, specifically, STAR PHARMA, within any of the geographic territories in which the Company or any of its Affiliates conducts business, provided, however, that nothing contained herein shall preclude Executive
from purchasing or owning less than two percent (2%) of the stock or other securities of any company with securities traded on a nationally recognized securities exchange; (ii) solicit business of the same or similar type being carried on
by the Company or any of its Affiliates from any Person or entity known by Executive to be a customer of the Company or any of its Affiliates, whether or not Executive had personal contact with such Person or entity during and by reason of
Executive’s employment with the Company, or (iii) solicit any employee or contractor of the Company to terminate that relationship or endeavor or attempt in any way to interfere with or induce a breach of any contractual relationship that
the Company or any of its Affiliates may have with any employee, customer, contractor, supplier, representative or distributor. 
 (k) No Breach for Activities Deemed Not Competitive. It is further agreed that, in the event that Executive shall cease to be employed by the Company and enter into a business or pursue other activities that, at
such time, are not in competition with the Company or any of its Affiliates, Executive shall not be chargeable with a violation of this Section 5 if the Company subsequently enters the same (or a similar) competitive business or activity.

 (l) Severability. The parties desire the provisions of this Section 5 to be enforceable to
the greatest degree possible. Therefore, the covenants in this Section 5 are severable and separate, and the 

  

 6 

 
unenforceability of any specific covenant shall not affect the provisions of any other covenant. If any provision of this Section 5 relating to the time
period or geographic area of the restrictive covenants shall be declared by a court of competent jurisdiction to exceed the maximum time period or geographic area, as applicable, that such court deems reasonable and enforceable, such time period or
geographic area shall be deemed to be, and thereafter shall become, the maximum time period or largest geographic area that such court deems reasonable and enforceable and this Agreement shall automatically be considered to have been amended and
revised to reflect such determination. 
 (m) Fair and Reasonable. Executive has carefully read
and considered the provisions of this Section 5 and, having done so, agrees that the restrictive covenants in this Section 5 impose a fair and reasonable restraint on Executive, are reasonably required to protect the interests of the
Company, its Affiliates and their respective officers, directors, employees and stockholders and that the provisions would not unduly restrict his ability to make an adequate living following the termination of his employment with the Company. It is
further agreed that the Company and Executive intend that such covenants be construed and enforced in accordance with the changing activities, business and locations of the Company throughout the term of these covenants. 
 6. Confidential Information. 
 (n) Confidential Information. Executive hereby agrees to hold in strict confidence and not to disclose to any third party any of the confidential and proprietary business, financial, technical,
economic, sales and/or other types of proprietary business information relating to the Company or any of its Affiliates (including all trade secrets) in whatever form, whether oral, written, or electronic (collectively, the “Confidential
Information”), to which Executive has, or is given (or has had or been given), access during the course of his employment with the Company. It is agreed that the Confidential Information is confidential and proprietary to the Company because
such Confidential Information encompasses technical know-how, trade secrets, or technical, financial, organizational, sales or other valuable aspects of the business and trade of the Company or its Affiliates, including without limitation,
technologies, products, processes, plans, clients, personnel, operations and business activities. This restriction shall not apply to any Confidential Information that (a) becomes known generally to the public through no fault of Executive,
(b) is required by applicable law, legal process, or any order or mandate of a court or other governmental authority to be disclosed, or (c) is reasonably believed by Executive, based upon the advice of legal counsel, to be required to be
disclosed in defense of a lawsuit or other legal or administrative action brought against Executive; provided, however, that in the case of clause (b) or (c), Executive shall give the Company reasonable advance written notice of the
Confidential Information intended to be disclosed and the reasons and circumstances surrounding such disclosure, in order to permit the Company to seek a protective order or other appropriate request for confidential treatment of the applicable
Confidential Information. 
 (o) Return of Company Property. In the event of termination of
Executive’s employment with the Company for whatever reason or no reason, (a) Executive agrees not to copy, make known, disclose or use, any of the Confidential Information without the Company’s prior written consent, and
(b) Executive or Executive’s personal representative shall return to the Company (i) all Confidential Information, (ii) all other records, designs, patents, patent applications, business plans, financial statements, manuals,
memoranda, lists, correspondence, reports, records, charts, advertising materials and other data or property delivered to or compiled by Executive by or on behalf of the Company or its respective representatives, vendors or customers that pertain to
the business of the Company or any of its Affiliates, whether in paper, electronic or other form, and (iii) all keys, credit cards, vehicles and other property of the Company. Executive shall not retain or cause to be retained any copies of the
foregoing. Executive hereby agrees that all of the foregoing shall be and remain the property of the Company and the applicable Affiliates and be subject at all times to their discretion and control. 
 (p) Assignment of Intellectual Property. Executive agrees that all patentable or otherwise registrable designs,
ideas, processes, methods, formulas, scientific and mathematical models, reports, programs, software, systems, materials, notes, records, drawings, inventions, improvements, developments and trade 

  

 7 

 
secrets (collectively, the “Inventions”) conceived, created, discovered, developed, prepared, made or suggested by Executive, solely or in
collaboration with others, in or in connection with the performance of services hereunder or as a Consultant to the Company shall be solely and exclusively owned by the Company and that Executive shall have no property interest therein. Executive
further agrees to assign (or cause to be assigned), without further consideration, and does hereby assign to the Company all of his right, title and interest, free and clear of all liens and encumbrances of any kind whatsoever, in and to all
Inventions and all copyright or other proprietary rights therein or relating thereto. 
 (q) Further
Acts. Upon the request of the Company, Executive shall execute all documents necessary to effectuate the assignment of his rights in the Inventions to the Company. In the event that any Invention, or any portion thereof, shall be deemed by
the Company to be patentable or otherwise registrable anywhere in the world, Executive shall assist the Company to obtain letters patent or other applicable registrations thereon and shall execute all documents and do or cause to be done all other
things necessary or proper to obtain letters patent or other applicable registrations and to vest in the Company full title thereto. In addition, Executive shall assist the Company to enforce any patent, copyright or other right or protection
relating to any Invention, or any portion thereof, and shall execute all documents and do or cause to be done all other things necessary or proper in connection therewith. 
 7. Corporate Opportunities. 
 (a) Duty to Notify. During the Term of this Agreement, in the event that Executive shall become aware of any business opportunity related to the business of the Company (as described in Recitals,
Section A above and as modified by the Company from time to time) Executive shall promptly notify the Board of Directors of such opportunity. Executive shall not appropriate for himself or for any other Person or entity other than the Company (or
any Affiliate) any such opportunity unless, as to any particular opportunity, the Board of Directors fails to take appropriate action within thirty (30) days. Executive’s duty to notify the Board of Directors and to refrain from
appropriating all such opportunities for thirty (30) days shall neither be limited by, nor shall such duty limit, the application of the general laws relating to the fiduciary duties of an agent or employee. 
 (b) Failure to Notify. In the event that Executive fails to notify the Board of Directors or so appropriates any such
opportunity without the express written consent of the Board of Directors, Executive shall be deemed to have violated the provisions of this Section notwithstanding the following: 
 (i) The capacity in which Executive shall have acquired such opportunity; or 
 (ii) The probable success in the hands of the Company of such opportunity. 
 8. No Prior Agreements. Executive hereby represents to the Company that to the best of his knowledge, the execution of this
Agreement by Executive, his employment by the Company, and the performance of his duties hereunder will not violate or be a breach of any agreement with a former employer, client or any other Person or entity. To the extent that Executive had any
oral or written employment agreement, consulting agreement or understanding with the Company, this Agreement shall automatically supersede such agreement or understanding, and upon execution of this Agreement by Executive and the Company, such prior
agreement or understanding automatically shall be deemed to have been terminated and shall be null and void. 
 9.
Representation. Executive acknowledges that he (a) has reviewed this Agreement in its entirety, and/or (b) has had an opportunity to obtain the advice of separate legal counsel prior to executing this Agreement,
and (c) fully understands all provisions of this Agreement. 
 10. Assignment; Binding Effect. Executive
understands that he has been selected for employment by the Company on the basis of his personal and professional qualifications, experience and skills. Executive agrees, therefore, that he cannot assign or delegate all or any portion of his
performance under this Agreement. This Agreement may not be assigned or transferred by the Company without the prior written consent of Executive. Subject to the preceding two sentences, this Agreement shall be binding upon, inure to the benefit of,
and be 

  

 8 

 
enforceable by the parties hereto and their respective heirs, legal representatives, successors, and assigns. Notwithstanding the foregoing, if Executive
accepts employment with an Affiliate, unless Executive and his new employer agree otherwise in writing, this Agreement shall automatically be deemed to have been assigned to such new employer (which shall thereafter be an additional or substitute
beneficiary of the covenants contained herein, as appropriate), with the consent of Executive, such assignment shall be considered a condition of employment by such new employer, and references to the “Company” in this Agreement shall be
deemed to refer to such new employer. 
 11. Complete Agreement; Waiver; Amendment. This Agreement is not a
promise of future employment. Executive has no oral representations, understandings or agreements with the Company or any of its officers, directors or representatives covering the same subject matter as this Agreement. This Agreement is the final,
complete and exclusive statement and expression of the agreement between the Company and Executive with respect to the subject matter hereof and thereof, and cannot be varied, contradicted, or supplemented by evidence of any prior or contemporaneous
oral or written agreements. This Agreement may not be later modified except by a further writing signed by a duly authorized officer of the Company and Executive, and no term of this Agreement may be waived except by a writing signed by the party
waiving the benefit of such term. 
 12. Notice. All notices, requests, demands and other communications required or
permitted to be given under this Agreement shall be in writing and shall be given or made by personally delivering the same to or sending the same by prepaid certified or registered mail, return receipt requested, or by reputable overnight courier,
or by facsimile machine to the party to which it is directed at the address set out on the signature page to this Agreement or at such other address as such party shall have specified by written notice to the other party as provided in this Section,
and shall be deemed to be given if delivered personally at the time of delivery, or if sent by certified or registered mail as herein provided three (3) days after the same shall have been posted, or if sent by reputable overnight courier upon
receipt, or if sent by facsimile machine as soon as the sender receives written or telephonic confirmation that the facsimile was received by the recipient and such facsimile is followed the same day by mailing by prepaid first class mail.

 13. Severability; Headings. If any portion of this Agreement is held invalid or inoperative, the other
portions of this Agreement shall be deemed valid and operative and, so far as is reasonable and possible, effect shall be given to the intent manifested by the portion held invalid and inoperative. This severability provision shall be in addition
to, and not in place of, the provisions of Section 5(c) above. The Sections headings herein are for reference purposes only and are not intended in any way to describe, interpret, define or limit the extent or intent of this Agreement or of any
part hereof. 
 14. Equitable Remedy. Because of the difficulty of measuring economic losses to the Company as a result
of a breach of the restrictive covenants set forth in Sections 5 and 6 hereof, and because of the immediate and irreparable damage that would be caused to the Company for which monetary damages would not be a sufficient remedy, it is hereby
agreed that in addition to all other remedies that may be available to the Company at law or in equity, the Company shall be entitled to specific performance and any injunctive or other equitable relief as a remedy for any breach or threatened
breach of the aforementioned restrictive covenants. 
 15. Arbitration. Except as provided in Section 14
hereof, any unresolved dispute or controversy arising under or in connection with this Agreement or otherwise concerning Executive’s relationship with the Company, whether arising in contract, tort or otherwise, shall be settled exclusively by
arbitration conducted in accordance with the rules of the American Arbitration Association applicable to the arbitration of employment disputes then in effect. The arbitrators shall not have the authority to add to, detract from, or modify any
provision hereof, nor to award punitive damages to any injured party. A decision by a majority of the arbitration panel shall be final and binding. Judgment may be entered on the arbitrators’ award in any court having jurisdiction. The
arbitration proceeding shall be held in Boston, Massachusetts, or such other location as the parties mutually agree. Notwithstanding the foregoing, either party shall be entitled to seek injunctive or other equitable relief, including but not
limited to that contemplated by Section 14 hereof, from any court of competent jurisdiction, without the 

  

 9 

 
need to resort to arbitration. Should judicial proceedings be commenced to enforce or carry out this provision or any arbitration award, the prevailing party
in such proceedings shall be entitled to reasonable attorneys’ fees and costs in addition to other relief. 
 16. Governing
Law and Governing Venue. Any or all disputes, disagreements, or litigation relating to or under terms of this Agreement, including any arbitration or litigation relating to any arbitration under Section 15, shall be litigated and/or
arbitrated in the Commonwealth of Massachusetts, unless otherwise mutually agreed by the parties. In order to effectuate this provision, the parties expressly consent to personal jurisdiction in Massachusetts and to a Massachusetts venue. This
Agreement shall in all respects be construed according to the substantive laws of the Commonwealth of Virginia, without regard to its conflict of laws principles. 
 17. Counterparts. This Agreement may be executed in any number of counterparts, each of which may be executed by less than all of the parties to this Agreement, each of which shall be
enforceable against the parties actually executing such counterparts, and all of which together shall constitute one instrument. 
 18. Signatures. The parties shall be entitled to rely upon and enforce a facsimile of any authorized signatures as if it were the original. 
 {signature page follows} 
  

 10 

 IN WITNESS WHEREOF, the parties hereto have cause this Agreement to be duly executed as of the date first
above written. 
  

			
	STAR SCIENTIFIC, INC.
		
	By:	 	/s/    PAUL L. PERITO        
	Name: 	 	Paul L. Perito
	Title:	 	Chairman, President and Chief Operating Officer

  

			
	Address: 	 	 7475 Wisconsin Avenue
 Bethesda, Maryland
20814

  

			
	EXECUTIVE
		
	By:	 	/s/    CURTIS WRIGHT, MD,
MPH        
	Name: 	 	Curtis Wright, MD, MPH

  

			
	Address: 	 	 21 Summit Avenue
 Rockport, Massachusetts
02140

  

 11EXHIBIT 10.103

 Exhibit 10.103 
  
  
  
 SECURITIES PURCHASE AND REGISTRATION RIGHTS AGREEMENT 
 Between 
 STAR SCIENTIFIC, INC., 
 as Issuer, 
 And 
 The Investors Set Forth on Schedule I hereto 
 March 13, 2008

  
  
  

 This SECURITIES PURCHASE AND REGISTRATION RIGHTS AGREEMENT (this “Agreement”) is entered
into effective as of March 13, 2008 between Star Scientific, Inc., a Delaware corporation (the “Company”), and the several investors set forth on Schedule I hereto (each an “Investor” and collectively,
the “Investors”). 
 WHEREAS, the Company and each Investor desire that Investor will purchase from the Company and the
Company will issue and sell to each Investor, upon the terms and conditions set forth in this Agreement: (a) the aggregate amount of shares of the Company’s common stock, par value $0.0001 per share (“Common Stock”), set
forth next to each Investor’s name on Schedule I hereto, for a per share purchase price of $1.55 per share (the “Shares”); and (b) a warrant substantially in the form attached hereto as Exhibit A (the
“Warrant”), to purchase the amount of shares of Common Stock set forth next to each Investor’s name on Schedule I hereto (the “Warrant Shares”), having an exercise price of $2.00 per Warrant Share (the
“Exercise Price”); and 
 WHEREAS, the Investors will have registration rights with respect to the Shares, Warrant Shares
and other Registrable Securities (as defined herein) pursuant to the terms of this Agreement. 
 NOW, THEREFORE, in consideration of the
foregoing premises and the covenants contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: 
 1. Agreement to Sell and Purchase the Shares and Warrant. At the Closing (as defined in Section 2), the Company will sell to each Investor,
and each Investor will purchase from the Company, upon the terms and subject to the conditions hereinafter set forth, the Shares and the Warrant for the aggregate purchase price set forth opposite each Investor’s name under the heading
“Aggregate Purchase Price” on Schedule I hereto. 
 2. Delivery of the Shares and Warrant at Closing. The
completion of the purchase, sale and issuance of the Shares and the Warrant (the “Closing”) shall occur on the date of this Agreement (the “Closing Date”) (or upon such other date as the Company and each Investor
shall agree), at the offices of the Company’s counsel. At the Closing, the Company shall issue to each Investor (a) one or more stock certificates, registered in the Investor’s name and address as set forth on Schedule I
hereto, representing the Shares and (b) the Warrant issued in the name of the Investor. The Company’s obligation to issue the Shares and the Warrant to each Investor shall be subject to the following conditions, any one or more of which
may be waived by the Company: (a) receipt by the Company of a wire transfer of immediately available funds to an account designated in writing by the Company, in the full amount of the total purchase price payable by each Investor for the
Shares and Warrant Shares that such Investor is hereby agreeing to purchase set forth opposite the name of such Investor under the heading “Aggregate Purchase Price” on Schedule I hereto; and (b) the accuracy, in all
material respects, of the representations and warranties made by each Investor and the fulfillment, in all material respects, of those undertakings of each Investor to be fulfilled prior to the Closing. Each Investor’s obligation to purchase
the Shares shall be subject to the following conditions, any one or more of which may be waived by an Investor (provided that no such waiver shall be deemed given unless in writing and executed by the Investors): (a) receipt by each Investor of
a counter-signed copy of this Agreement executed by the Company; (b) receipt by each Investor of a copy of the Warrant; and (c) the accuracy, in all material respects, of the representations and warranties made by the Company and the
fulfillment, in all material respects, of those undertakings of the Company to be fulfilled prior to the Closing. 
  

 1 

 3. Representations, Warranties and Covenants of the Company. The Company hereby represents and
warrants to, and covenants with each Investor, as follows: 
 3.1 Organization. Each of the Company and its Subsidiaries (as defined in
Rule 405 under the Securities Act of 1933, as amended (the “Securities Act”)) is duly organized and validly existing in good standing under the laws of the jurisdiction of its organization. Each of the Company and its
Subsidiaries has full power and authority to own, operate and occupy its properties and to conduct its business as presently conducted and is registered or qualified to do business and in good standing in each jurisdiction in which it owns or leases
property or transacts business and where the failure to be so qualified would have a material adverse effect upon the financial condition or business, operations, assets or prospects of the Company and its Subsidiaries, taken as a whole (a
“Material Adverse Effect”). 
 3.2 Due Authorization. The Company has all requisite power and authority to execute,
deliver and perform its obligations under this Agreement and the Warrant, and has taken all necessary corporate action to enter into and perform this Agreement, to issue the Shares in accordance with the terms of this Agreement, to enter into and
perform the Warrant, and to issue the Warrant Shares in accordance with the terms of the Warrant. This Agreement has been, and upon the Closing in accordance with the terms of the Agreement, the Warrant will be, duly authorized, validly executed and
delivered by the Company and constitutes, or will constitute, a legal, valid and binding agreement of the Company enforceable against the Company in accordance with their respective terms, except as enforceability may be limited by applicable
bankruptcy, insolvency, reorganization, moratorium or similar laws affecting creditors’ and contracting parties’ rights generally and except as enforceability may be subject to general principles of equity (regardless of whether such
enforceability is considered in a proceeding in equity or at law). Upon their issuance in accordance with the terms of this Agreement, the Shares will be duly authorized, validly issued, fully paid and non-assessable, the Warrant will be duly
authorized and validly issued and the Warrant Shares, upon exercise of the Warrant in accordance with its terms, will be duly authorized. 
 3.3 Non-Contravention. Except as would not reasonably be expected to have a Material Adverse Effect, the execution and delivery of this Agreement, the issuance and sale of the Shares and the Warrant under this Agreement, the
fulfillment of the terms of this Agreement and the consummation of the transactions contemplated hereby will not (A) conflict with or constitute a violation of, or default (with or without the giving of notice or the passage of time or both)
under, (i) any material bond, debenture, note or other evidence of indebtedness, or under any material lease, indenture, mortgage, deed of trust, loan agreement, joint venture or other agreement or instrument to which the Company or any
Subsidiary is a party or by which it or any of its Subsidiaries or their respective properties are bound, (ii) the charter, by-laws or other organizational documents of the Company or any Subsidiary, or (iii) any law, administrative
regulation, ordinance or order of any court or governmental agency, arbitration panel or authority applicable to the Company or any Subsidiary or their respective properties, or (B) result in the creation or imposition of any lien, encumbrance,
claim, security interest or restriction whatsoever upon any of the material properties or assets of the Company or any Subsidiary or an acceleration of indebtedness pursuant to any obligation, agreement or condition contained in any material bond,
debenture, note or any other evidence of indebtedness or any material indenture, mortgage, deed of trust or any other agreement or instrument to which the Company or any Subsidiary is a party or by which any of them is bound or to which any of the
property or assets of the Company or any Subsidiary is subject. No consent, approval, authorization or other order of, or registration, qualification or filing 

  

 2 

 
with, any regulatory body, administrative agency, self-regulatory organization, stock exchange or market, or other governmental body in the United States is
required for the execution and delivery of this Agreement, the valid issuance and sale of the Shares and Warrant pursuant to this Agreement, other than such as have been made or obtained, and except for any securities filings required to be made
under federal or state securities laws. 
 3.4 SEC Filings. Since January 1, 2007, the Company and its Subsidiaries have filed
all reports, schedules, forms, statements and other documents required to be filed by it with the Securities and Exchange Commission (the “Commission”) pursuant to the reporting requirements of the Securities Exchange Act of 1934,
as amended (the “1934 Act”) (collectively, the “SEC Documents”). 
 3.5 Absence of Certain Change.
Except as disclosed in the SEC Documents, since September 30, 2007, there has been no adverse change or adverse development in the business, properties, assets, operations, financial condition, prospects, liabilities or results of operations of
the Company or its Subsidiaries which to the knowledge of the Company would reasonably be expected to have a Material Adverse Effect. 
 3.6
Capitalization. As of the date hereof, the authorized capital stock of the Company consists of (i) 135,000,000 shares of Common Stock, of which 81,487,715 shares are issued and outstanding and 12,754,213 shares are issuable and reserved
for issuance pursuant to the Company’s stock option plans or securities exercisable or exchangeable for, or convertible into, shares of Common Stock, and (ii) 100,000 shares of preferred stock, of which as of the date hereof no shares are
issued. All of such outstanding shares have been, or upon issuance will be, validly issued, fully paid and nonassessable. Except as disclosed in the SEC Documents, as of the date hereof, (i) no shares of the Company’s capital stock are
subject to preemptive rights or any other similar rights or any liens or encumbrances suffered or permitted by the Company, (ii) there are no outstanding options, warrants, scrip, rights to subscribe to, calls or commitments of any character
whatsoever relating to, or securities or rights convertible into, any shares of capital stock of the Company or any of its Subsidiaries, or contracts, commitments, understandings or arrangements by which the Company or any of its Subsidiaries is or
may become bound to issue additional shares of capital stock of the Company or any of its Subsidiaries or options, warrants, scrip, rights to subscribe to, calls or commitments of any character whatsoever relating to, or securities or rights
convertible into, any shares of capital stock of the Company or any of its Subsidiaries, (iii) there are no outstanding securities of the Company or any of its Subsidiaries which contain any redemption or similar provisions, and there are no
contracts, commitments, understandings or arrangements by which the Company or any of its Subsidiaries is or may become bound to redeem a security of the Company or any of its Subsidiaries, and (iv) the Company does not have any stock
appreciation rights or “phantom stock” plans or agreements or any similar plan or agreement. The Company disclosed in its SEC Documents or has furnished to Investor true and correct copies of the Company’s Certificate of
Incorporation, as amended and as in effect on the date hereof (the “Certificate of Incorporation”), and the Company’s By-laws, as in effect on the date hereof (the “By-laws”). 
  

 3 

 4. Representations, Warranties and Covenants of Investor. Each Investor severally for itself, and
not jointly with the other Investors, represents and warrants to, and covenants with the Company, as follows: 
 4.1 Due Authorization.
Investor has all requisite power, authority and capacity to execute, deliver and perform his obligations under this Agreement, and has taken all necessary corporate, company, partnership or individual action as the case may be to enter and perform
this Agreement. This Agreement has been duly authorized and validly executed and delivered by Investor and constitutes a legal, valid and binding agreement of Investor enforceable against Investor in accordance with its terms, except as
enforceability may be limited by applicable bankruptcy, insolvency, reorganization, moratorium or similar laws affecting creditors’ and contracting parties’ rights generally and except as enforceability may be subject to general principles
of equity (regardless of whether such enforceability is considered in a proceeding in equity or at law). 
 4.2 Non-Contravention. The
execution and delivery of this Agreement, the purchase of the Shares and the Warrant under this Agreement, the fulfillment of the terms of this Agreement and the consummation of the transactions contemplated hereby will not (A) conflict with or
constitute a violation of, or default (with or without the giving of notice or the passage of time or both) under, (i) any material bond, debenture, note or other evidence of indebtedness, or under any material lease, indenture, mortgage, deed
of trust, loan agreement, joint venture or other agreement or instrument to which Investor is a party, (ii) the charter, by-laws or other organizational documents of Investor, as applicable, or (iii) any law, administrative regulation,
ordinance or order of any court or governmental agency, arbitration panel or authority applicable to Investor or his property, or (B) result in the creation or imposition of any lien, encumbrance, claim, security interest or restriction
whatsoever upon any of the material properties or assets of Investor or an acceleration of indebtedness pursuant to any obligation, agreement or condition contained in any material bond, debenture, note or any other evidence of indebtedness or any
material indenture, mortgage, deed of trust or any other agreement or instrument to which Investor is a party or by which any of them is bound or to which any of the property or assets of Investor is subject. No consent, approval, authorization or
other order of, or registration, qualification or filing with, any regulatory body, administrative agency, self-regulatory organization, stock exchange or market, or other governmental body in the United States is required for the execution and
delivery of this Agreement and the purchase of the Shares and the Warrant by Investor, other than such as have been made or obtained. 
 4.3
Private Placement. Investor represents and warrants to, and covenants with, the Company that Investor is acquiring the Shares and the Warrant for its own account for investment only and with no present intention of distributing any of the
Shares, the Warrant or the Warrant Shares, or any arrangement or understanding with any other persons regarding the distribution of the Shares, Warrant or Warrant Shares. Investor has been advised and understands that neither the Shares, the Warrant
nor the Warrant Shares have been registered under the Securities Act or under the “blue sky” or similar laws of any jurisdiction and may be resold only if registered pursuant to the provisions of the Securities Act and such other laws, if
applicable, or, subject to the terms and conditions of this Agreement, if an exemption from registration is available. Investor has been advised and understands that the Company, in issuing the Shares and the Warrant, is relying upon, among other
things, the representations and warranties of Investor herein in concluding that such issuance is a “private offering” and is exempt from the registration provisions of the Securities Act. 
  

 4 

 4.4 No Short Sales. Investor represents, warrants and covenants that neither Investor nor any of
his affiliates has sold at any time, prior to the Closing, any shares of Common Stock unless Investor or such of his affiliates owned such shares of Common Stock at the time of such sale and promptly delivered such shares of Common Stock against
such sale. 
 4.5 No Advice. Investor understands that nothing in this Agreement or any other materials presented to Investor in
connection with the purchase and sale of the Shares and the Warrant constitutes legal, tax or investment advice. Investor has consulted such legal, tax and investment advisors as it, in its sole discretion, has deemed necessary or appropriate in
connection with its purchase of the Shares and the Warrant. 
 4.6 Accredited Investor. Investor is an “accredited investor”
as that term is defined in Rule 501(a) of Regulation D under the Securities Act and is able to bear the risk of his investment in the Shares, Warrant, and Warrant Shares. Investor has such knowledge and experience in financial and business matters
that it is capable of evaluating the merits and risks of the purchase of the Shares, Warrant and Warrant Shares. 
 4.7 Limited
Representations. Investor and its advisors, if any, have been furnished with all materials relating to the business, finances and operations of the Company and its Subsidiaries which have been requested and materials relating to the offer and
sale of the Shares, Warrant, and Warrant Shares, which have been requested by Investor. Investor and its advisors, if any, have been afforded the opportunity to ask such questions of the Company as they deem appropriate for purposes of the
investment contemplated hereby. Investor acknowledges that the most recent disclosure of the Company’s results is for the three and nine month periods ended on, and the most recent disclosure of the Company’s financial condition is at,
September 30, 2007, as reported on the Company’s quarterly report on Form 10-Q, and that no information more recent than such date has been provided to Investor as to the Company’s results, operations, financial condition, business or
prospects. Investor understands that his purchase of the Shares, Warrant and, if applicable, Warrant Shares involves a high degree of risk and that Investor may lose his entire investment in the Shares, the Warrant and if applicable the Warrant
Shares, and that Investor can afford to do so without material adverse consequences to its financial condition. Investor is not relying on any information provided by the Company and its Subsidiaries, except to the extent provided in Section 3
herein. 
 4.8 No Recommendation. Investor understands that no United States federal or state agency or any other government or
governmental agency has passed on or made any recommendation or endorsement of the Shares, Warrant or Warrant Shares or the fairness or suitability of an investment in the Shares, Warrant or Warrant Shares nor have such authorities passed upon or
endorsed the merits thereof. 
 4.9 Restrictive Legend. The Company shall issue the Warrant and certificates for the Shares and, if
applicable, Warrant Shares to Investor with a legend as described in Section 6 below. Investor covenants that, in connection with any transfer of Shares or Warrant Shares pursuant to the registration statements contemplated by Section 5
hereto, Investor will comply with the applicable prospectus delivery requirements of the Securities Act, provided that copies of a current prospectus relating to such effective registration statements are or have been supplied to Investor.

  

 5 

 4.10 Residence. Investor is a resident of the jurisdiction set forth next to Investor’s name
on Schedule I hereto. 
 4.11 No Market. Investor understands that the Shares are and, upon exercise of the Warrant, the Warrant
Shares will be restricted securities and that there is no public trading market for the Warrant, that none is expected to develop, and that the Shares, Warrant and Warrant Shares must be held indefinitely unless and until the resale of such Shares,
Warrant or Warrant Shares is registered under the Securities Act or subject to the terms and conditions of this Agreement, an exemption from registration is available. Investor has been advised or is aware of the provisions of Rule 144 promulgated
under the Securities Act. 
 4.12 No Commissions. Investor has taken no action which would give rise to any claim by any person for
brokerage commissions, finder’s fees or similar payments by the Company or Investor relating to this Agreement or the transactions contemplated hereby. 
 4.13 Transactional Exemption. Investor understands that the Shares, Warrant and Warrant Shares are being offered and sold in reliance on a transactional exemption from the registration requirements of Federal
and state securities laws and that the Company is relying upon the truth and accuracy of the representations, warranties, agreements, acknowledgments and understandings of Investor set forth herein in order to determine the applicability of such
exemptions and the suitability of Investor to acquire the Shares, Warrant and Warrant Shares. 
 4.14. Investor Undertaking. Investor
covenants that he will not sell, transfer, assign, hypothecate or pledge in any way any of the Shares or the Warrant Shares issued without a Securities Legend in accordance with Section 6 hereof except for sales (A) in accordance with the
terms of the “Plan of Distribution” section of the prospectus contained in the Registration Statements (as defined herein) and in compliance with prospectus delivery requirements or (B) in accordance with the requirements of Rule 144
under the 1933 Act. Investor further agrees to indemnify the Company against any loss, cost or expense, including reasonable expenses, incurred as a result of such legend removal on Investor’s behalf. 
 5. Registration Rights. 
 5.1
Certain Definitions 
 “Holder” and “Holders” shall include Investor and any transferee or transferees of
Registrable Securities to whom the registration rights conferred by this Agreement have been transferred in compliance with this Agreement. 
 The terms “register,” “registered” and “registration” shall refer to a registration effected by preparing and filing a registration statement in compliance with the Securities Act and
applicable rules and regulations thereunder, and the declaration or ordering of the effectiveness of such registration statement. 
 “Registrable Securities” shall mean: (i) the Shares and Warrant Shares issued or issuable to each Holder (a) with respect to the Warrant Shares, upon exercise of the Warrant, (b)

  

 6 

 
upon any distribution with respect to, any exchange for or any replacement of such Shares or Warrant, or (c) upon any conversion, exercise or exchange
of any securities issued in connection with any such distribution, exchange or replacement; (ii) securities issued or issuable upon any stock split, stock dividend, recapitalization or similar event with respect to the foregoing; and
(iii) any other security issued as a dividend or other distribution with respect to, in exchange for or in replacement of the securities referred to in the preceding clauses, except that any such Shares, Warrant Shares or other securities shall
cease to be Registrable Securities when (x) they have been sold to the public or (y) they may be sold by the Holder thereof without restriction pursuant to Rule 144. 
 “Registration Expenses” shall mean all expenses to be incurred by the Company in connection with each Holder’s registration rights
under this Agreement (such amount not to exceed $5,000 in the aggregate), including, without limitation, all registration and filing fees, printing expenses, fees and disbursements of counsel for the Company, and blue sky fees and expenses,
reasonable fees and disbursements of counsel to Holders (using a single counsel selected by a majority in interest of the Holders) for a review of the Registration Statements and related documents, and the expense of any special audits incident to
or required by any such registration (but excluding the compensation of regular employees of the Company, which shall be paid in any event by the Company). 
 “Selling Expenses” shall mean all underwriting discounts, selling commissions and transfer taxes applicable to the sale of Registrable Securities and all fees and disbursements of counsel for Holders
not included within “Registration Expenses”. 
 5.2 Registration Requirements. The Company shall use its reasonable best
efforts to effect the registration of the resale of the Registrable Securities (including, without limitation, the execution of an undertaking to file post-effective amendments, appropriate qualification under applicable blue sky or other state
securities laws and appropriate compliance with applicable regulations issued under the Securities Act) as would permit or facilitate the resale of all the Registrable Securities in the manner (including manner of sale) and in all states reasonably
requested by the Holder. Such reasonable best efforts by the Company shall include, without limitation, the following: 
 (a) The Company
shall, as expeditiously as possible: 
 (i) But in any event within 60 days of the Closing, prepare and file a registration
statement with the Commission pursuant to Rule 415 under the Securities Act on Form S-3 under the Securities Act (or in the event that the Company is ineligible to use such form, such other form as the Company is eligible to use under the Securities
Act provided that such other form shall be converted into an S-3 promptly after Form S-3 becomes available to the Company) covering resales by the Holders as selling stockholders (not underwriters) of the sum of (A) the Shares and
(B) 5,685,066 of the Warrant Shares issuable upon full exercise of the Warrants (applied, in the case of the Warrant Shares, to the Holders on a pro rata basis based on the total number of unregistered Warrant Shares held by each such Holder on
a fully diluted basis) (the “Initial Registration Statement”). The Company shall use its reasonable best efforts to cause such Initial Registration Statement and other filings to be declared effective as soon as possible, and in any
event prior to 120 days (or, if the Commission elects to review the Registration Statement, 180 days) following the Closing. 
  

 7 

 (ii) But in any event within 180 calendar days of the date the Initial Registration
Statement is declared effective by the Commission (the “Second Filing Date”), prepare and file a registration statement with the Commission pursuant to Rule 415 under the Securities Act on Form S-3 under the Securities Act (or in
the event that the Company is ineligible to use such form, such other form as the Company is eligible to use under the Securities Act provided that such other form shall be converted into an S-3 promptly after Form S-3 becomes available to the
Company) covering resales by the Holders as selling stockholders (not underwriters) of any remaining Registrable Securities (the “Subsequent Registration Statement” and together with the Initial Registration Statement, the
“Registrations Statements”). The Company shall use its reasonable best efforts to cause such Additional Registration Statement and other filings to be declared effective as soon as possible, and in any event prior to 120 days (or,
if the Commission elects to review the Registration Statement, 180 days) following the Second Filing Date. 
 (iii) Without
limiting the foregoing, the Company will promptly respond to all Commission comments, inquiries and requests, and shall request acceleration of effectiveness of the Registration Statements at the earliest possible date. The Company shall provide the
Holders reasonable opportunity to review the portions of any such Registration Statements or amendment or supplement thereto containing disclosure regarding the Holders prior to filing. 
 (iv) Prepare and file with the Commission such amendments and supplements to such Registration Statements and the prospectus used in
connection with such Registration Statements as may be necessary to comply with the provisions of the Act with respect to the disposition of all securities covered by such Registration Statements and notify the Holders of the filing and
effectiveness of such Registration Statements and any amendments or supplements. 
 (v) Furnish to each Holder such numbers of
copies of a current prospectus conforming with the requirements of the Act, copies of the Registration Statements, any amendment or supplement thereto and any documents incorporated by reference therein and such other documents as such Holder may
reasonably require in order to facilitate the disposition of Registrable Securities owned by such Holder. 
 (vi) Register and
qualify the securities covered by such Registration Statements under the securities or “blue sky” laws of all domestic jurisdictions, to the extent required; provided that the Company shall not be required in connection therewith or as a
condition thereto to qualify to do business or to file a general consent to service of process in any such states or jurisdictions. 
 (vii) Notify each Holder immediately of the happening of any event (but not the substance or details of any such events unless specifically requested by a Holder) as a result of which the prospectus (including any supplements thereto or

  

 8 

 
thereof) included in such Registration Statements, as then in effect, includes an untrue statement of material fact or omits to state a material fact
required to be stated therein or necessary to make the statements therein not misleading in light of the circumstances then existing, and use its reasonable best efforts to promptly update and/or correct such prospectus. 
 (viii) Notify each Holder immediately of the issuance by the Commission or any state securities commission or agency of any stop order
suspending the effectiveness of the Registration Statement or the threat or initiation of any proceedings for that purpose. The Company shall use its reasonable best efforts to prevent the issuance of any stop order and, if any stop order is issued,
to obtain the lifting thereof at the earliest possible time. 
 (ix) Permit counsel to the Holders to review the Registration
Statements and all amendments and supplements thereto within a reasonable period of time (but not less than two (2) full days on which there is trading on the NASDAQ Global Market or such other market or exchange on which the Common Stock is
then principally traded) prior to each filing and will not request acceleration of the Registration Statements without prior notice to such counsel. 
 (x) List the Registrable Securities covered by such Registration Statements on the principal securities exchange and/or market on which the Common Stock is then listed and prepare and file any required filings with
such principal market or exchange. 
 (b) In the event that either of the Registration Statements have become effective and, afterwards, any
Holder’s ability to sell Registrable Securities registered for resale under either of the Registration Statements is suspended for more than (i) 45 days in any 90-day period or (ii) 90 days in any calendar year, including without
limitation by reason of any suspension or stop order with respect to either of the Registration Statements or the fact that an event has occurred as a result of which the prospectus (including any supplements thereto) included in either of the
Registration Statements then in effect includes an untrue statement of material fact or omits to state a material fact required to be stated therein or necessary to make the statements therein not misleading in light of the circumstances then
existing, then the Company shall take such action as may be necessary to amend or supplement the Initial Registration Statement or the Subsequent Registration Statement, as the case may be, or the prospectus (including any supplements thereto)
included in either of the Registration Statements, such that Initial Registration Statement or the Subsequent Registration Statement, as the case may be, or the prospectus, as so amended, shall not contain an untrue statement of a material fact or
omit to state a material fact required to be stated therein or necessary to make the statements not misleading. 
 (c) If the Holder(s)
intend to distribute the Registrable Securities by means of an underwriting, the Holder(s) shall so advise the Company. Any such underwriting may only be administered by nationally or regionally recognized investment bankers reasonably satisfactory
to the Company. 
 (d) The Company shall enter into such customary agreements (including an underwriting agreement containing such
representations and warranties by the Company and such 

  

 9 

 
other terms and provisions, as are customarily contained in underwriting agreements for comparable offerings and are reasonably satisfactory to the Company)
and take all such other actions as the Holder or the underwriters participating in such offering and sale may reasonably request in order to expedite or facilitate such offering and sale other than such actions which are disruptive to the Company or
require significant management availability. 
 (e) The Company shall make available for inspection by the Holders, representative(s) of all
the Holders together, any underwriter participating in any disposition pursuant to either of the Registration Statements, and any attorney or accountant retained by any Holder or underwriter, all financial and other records customary for purposes of
the Holders’ due diligence examination of the Company and review of either of the Registration Statements, all documents filed with the Commission subsequent to the Closing, pertinent corporate documents and properties of the Company, and cause
the Company’s officers, directors and employees to supply all information reasonably requested by any such representative, underwriter, attorney or accountant in connection with either of the Registration Statements, provided that such parties
agree to keep such information confidential. Notwithstanding the foregoing, the foregoing right shall not extend to any Holder (i) who is not a financial investor or entity or (ii) who, itself or through any affiliate, has any strategic
business interest that would reasonably be expected to be in conflict with any business of the Company or its Subsidiaries. 
 (f) The
Company may suspend the use of any prospectus used in connection with either of the Registration Statements only in the event, and for such period of time as, (i) such a suspension is required by the rules and regulations of the Commission or
(ii) it is determined in good faith by the Board of Directors of the Company that because of valid business reasons (not including the avoidance of the Company’s obligations hereunder), it is in the best interests of the Company to suspend
such use, and prior to suspending such use in accordance with this clause (ii) the Company provides the Holders with written notice of such suspension, which notice need not specify the nature of the event giving rise to such suspension. The
Company will use reasonable best efforts to cause such suspension to terminate at the earliest possible date. 
 (g) The Company shall
prepare and file with the Commission such amendments (including post-effective amendments) and supplements to either of the Registration Statements and the prospectus used in connection with either of the Registration Statements, which prospectus is
to be filed pursuant to Rule 424 promulgated under the Securities Act, as may be necessary to keep either of the Registration Statements effective at all times during the Registration Period (as defined below), and, during such period, comply with
the provisions of the Securities Act with respect to the disposition of all Registrable Securities of the Company covered by either of the Registration Statements. In the case of amendments and supplements to either of the Registration Statements
which are required to be filed pursuant to this Agreement (including pursuant to this Section 5(g)) by reason of the Company filing a report on Form 10-K, Form 10-Q or Form 8-K or any analogous report under the 1934 Act, the Company shall have
incorporated such report by reference into either of the Registration Statements, if applicable, or shall file such amendments or supplements with the Commission on the same day on which the 1934 Act report is filed which created the requirement for
the Company to amend or supplement the Initial Registration Statement or the Subsequent Registration Statement, as applicable. 
 (h) Each
Holder agrees by its acquisition of the Registrable Securities that, upon receipt of a notice from the Company of the occurrence of any event of the kind described in 

  

 10 

 
Sections 5.2(a)(vii) or 5.2(a)(viii), and upon notice of any suspension under Section 5.2(f), such Holder will forthwith discontinue disposition of such
Registrable Securities under the Initial Registration Statement or the Subsequent Registration Statement, as applicable, until such Holder’s receipt of the copies of the supplemented prospectus and/or amendment to the Initial Registration
Statement or the Subsequent Registration Statement, as applicable, contemplated by this Section 5.2, or until it is advised in writing by the Company that the use of the applicable prospectus may be resumed, and, in either case, has received
copies of any additional or supplemental filings that are incorporated or deemed to be incorporated by reference in such prospectus or the Initial Registration Statement or the Subsequent Registration Statement, as applicable. The Company may
provide appropriate stop orders to enforce the provisions of this paragraph. 
 (i) If requested by a Holder, the Company shall (i) as
soon as practicable incorporate in a prospectus supplement or post-effective amendment such information as a Holder reasonably requests to be included therein relating to the sale and distribution of Registrable Securities, including, without
limitation, information with respect to the number of Registrable Securities being offered or sold, the purchase price being paid therefor and any other terms of the offering of the Registrable Securities to be sold in such offering; (ii) as
soon as practicable make all required filings of such prospectus supplement or post-effective amendment after being notified of the matters to be incorporated in such prospectus supplement or post-effective amendment; and (iii) as soon as
practicable, supplement or make amendments to either of the Registration Statements if reasonably requested by a Holder holding any Registrable Securities. 
 5.3 Expenses of Registration. All Registration Expenses in connection with any registration, qualification or compliance with registration pursuant to this Agreement shall be borne by the Company, and all
Selling Expenses of a Holder shall be borne by such Holder. 
 5.4 Registration on Form S-3. The Company shall use its reasonable best
efforts to remain qualified for registration on Form S-3 or any comparable or successor form or forms, or in the event that the Company is ineligible to use such form, such form as the Company is eligible to use under the Securities Act, provided
that if such other form is used, the Company shall convert such other form to a Form S-3 promptly after the Company becomes so eligible, provided that the Company shall maintain the effectiveness of the Registration Statement then in effect until
such time as either of the Registration Statements or Form S-3 covering the Registrable Securities has been declared effective by the Commission. 
 5.5 Registration Period. In the case of the registration effected by the Company pursuant to this Agreement, the Company shall keep such registration effective from the date on which the either of the Registration Statements
initially became effective until the earlier of (a) the date on which all the Holders have completed the sales or distribution described in either of the Registration Statements relating to the Registrable Securities registered for resale
thereunder or, (b) until such Registrable Securities may be sold by the Holders without restriction pursuant to Rule 144 (or any successor thereto) (provided that the Company’s transfer agent has accepted an instruction from the Company to
such effect) (the “Registration Period”). Thereafter, the Company shall be entitled to withdraw such Registration Statement and the Holders shall have no further right to offer or sell any of the Registrable Securities registered
for resale thereon pursuant to the respective Registration Statement (or any prospectus relating thereto). 
  

 11 

 5.6 Indemnification. 
 (a) Company Indemnity. The Company will indemnify and hold harmless each Holder, each of its officers, directors, agents and partners, and each person controlling each of the foregoing, within the meaning of
Section 15 of the Securities Act and the rules and regulations thereunder with respect to which registration, qualification or compliance has been effected pursuant to this Agreement, and each underwriter, if any, and each person who controls,
within the meaning of Section 15 of the Securities Act and the rules and regulations thereunder, any underwriter, against all claims, losses, damages and liabilities (or actions in respect thereof) arising out of or based on any untrue
statement (or alleged untrue statement) of a material fact contained in any prospectus, offering circular or other document (including any related registration statement, notification or the like) incident to any such registration, qualification or
compliance, or based on any omission (or alleged omission) to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading in light of the circumstances under which they were made, or any
violation by the Company of the Securities Act or any state securities law or in either case, any rule or regulation thereunder applicable to the Company and relating to action or inaction required of the Company in connection with any such
registration, qualification or compliance, and will reimburse each Holder, each of its officers, directors, agents and partners, and each person controlling each of the foregoing, each such underwriter and each person who controls any such
underwriter, for any legal and any other expenses reasonably incurred in connection with investigating and defending any such claim, loss, damage, liability or action, provided that the Company will not be liable in any such case to a Holder to the
extent that any such claim, loss, damage, liability or expense arises out of or is based (i) on any untrue statement or omission based upon written information furnished to the Company by a Holder or the underwriter (if any) therefore,
(ii) the failure of a Holder to deliver at or prior to the written confirmation of sale, the most recent prospectus, as amended or supplemented or (iii) the failure of a Holder otherwise to comply with this Agreement. The indemnity
agreement contained in this Section 5.6(a) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability or action if such settlement is effected without the consent of the Company (which consent will not be
unreasonably withheld). 
 (b) Holder Indemnity. Each Holder will, severally and not jointly, if Registrable Securities held by it are
included in the securities as to which such registration, qualification or compliance is being effected, indemnify and hold harmless the Company, each of its directors, officers, agents and partners, and each underwriter, if any, of the
Company’s securities covered by such a registration statement, each person who controls the Company or such underwriter within the meaning of Section 15 of the Securities Act and the rules and regulations thereunder, each other Holder (if
any), and each of their officers, directors and partners, and each person controlling such other Holder(s) against all claims, losses, damages and liabilities (or actions in respect thereof) arising out of or based on any untrue statement (or
alleged untrue statement) of a material fact contained in any such registration statement, prospectus, offering circular or other document, or any omission (or alleged omission) to state therein a material fact required to be stated therein or
necessary to make a statement therein not misleading in light of the circumstances under which they were made, and will reimburse the Company and such other Holder(s) and their directors, officers and partners, underwriters or control persons for
any legal or any other expenses reasonably incurred in connection with investigating and defending any such claim, loss, damage, liability or action, in each case to the extent, but only to the extent, that such untrue statement (or alleged untrue
statement) or omission (or alleged omission) is made in such registration statement, prospectus, offering circular or other document in reliance upon and in conformity with written information furnished to the Company by such Holder and stated to be
specifically for use therein, 

  

 12 

 
and provided that the maximum amount for which such Holder shall be liable under this indemnity shall not exceed the net proceeds received by such Holder
from the sale of the Registrable Securities pursuant to the registration statement in question. The indemnity agreement contained in this Section 5.6(b) shall not apply to amounts paid in settlement of any such claims, losses, damages or
liabilities if such settlement is effected without the consent of such Holder (which consent shall not be unreasonably withheld). 
 (c)
Procedure. Each party entitled to indemnification under this Section 5.6 (the “Indemnified Party”) shall give notice to the party required to provide indemnification (the “Indemnifying Party”) promptly
after such Indemnified Party has actual knowledge of any claim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of any such claim in any litigation resulting therefrom, provided that counsel for the
Indemnifying Party, who shall conduct the defense of such claim or any litigation resulting therefrom, shall be approved by the Indemnified Party (whose approval shall not be unreasonably withheld), and the Indemnified Party may participate in such
defense at its own expense, and provided further that the failure of any Indemnified Party to give notice as provided herein shall not relieve the Indemnifying Party of its obligations under this Section 5.6 except to the extent that the
Indemnifying Party is materially and adversely affected by such failure to provide notice. No Indemnifying Party, in the defense of any such claim or litigation, shall, except with the consent of each Indemnified Party, consent to entry of any
judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect to such claim or litigation. Each Indemnified
Party shall furnish such non-privileged information regarding itself or the claim in question as an Indemnifying Party may reasonably request in writing and as shall be reasonably required in connection with the defense of such claim and litigation
resulting therefrom. 
 5.7 Contribution. If the indemnification provided for in Section 5.6 herein is unavailable to the
Indemnified Parties in respect of any losses, claims, damages or liabilities referred to herein (other than by reason of the exceptions provided therein), then each such Indemnifying Party, in lieu of indemnifying such Indemnified Party, shall
contribute to the amount paid or payable by such Indemnified Party as a result of such losses, claims, damages or liabilities as between the Company on the one hand and any Holder on the other, in such proportion as is appropriate to reflect the
relative fault of the Company and of such Holder in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities, as well as any other relevant equitable considerations. The relative fault of the Company
on the one hand and of any Holder on the other shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of a material fact or omission or alleged omission to state a material fact relates to information
supplied by the Company or by such Holder. 
 In no event shall the obligation of any Indemnifying Party to contribute under this
Section 5.7 exceed the amount that such Indemnifying Party would have been obligated to pay by way of indemnification if the indemnification provided for under Section 5.6(a) or 5.6(b) hereof had been available under the circumstances.

 The Company and the Holders agree that it would not be just and equitable if contribution pursuant to this Section 5.7 were
determined by pro rata allocation (even if the Holders or the underwriters were treated as one entity for such purpose) or by any other method of allocation which does not take account of the equitable considerations referred to in the immediately

  

 13 

 
preceding paragraphs. The amount paid or payable by an Indemnified Party as a result of the losses, claims, damages and liabilities referred to in the
immediately preceding paragraphs shall be deemed to include, subject to the limitations set forth above, any legal or other expenses reasonably incurred by such Indemnified Party in connection with investigating or defending any such action or
claim. Notwithstanding the provisions of this section, no Holder or underwriter shall be required to contribute any amount in excess of the amount by which (i) in the case of any Holder, the net proceeds received by such Holder from the sale of
Registrable Securities pursuant to the registration statement in question or (ii) in the case of an underwriter, the total price at which the Registrable Securities purchased by it and distributed to the public were offered to the public
exceeds, in any such case, the amount of any damages that such Holder or underwriter has otherwise been required to pay by reason of such untrue or alleged untrue statement or omission or alleged omission. No person guilty of fraudulent
misrepresentation (within the meaning of Section 11(f) of the Securities Act) shall be entitled to contribution from any person who was not guilty of such fraudulent misrepresentation. 
 5.8 Survival. The indemnity and contribution agreements contained in Sections 5.6 and 5.7 and the representations and warranties of the Company
referred to in Section 5.2(d) shall remain operative and in full force and effect regardless of (i) any termination of this Agreement or any underwriting agreement, (ii) any investigation made by or on behalf of any Indemnified Party
or by or on behalf of the Company, and (iii) the consummation of the sale or successive resales of the Registrable Securities. 
 5.9
Information by Holders. Each Holder shall promptly furnish to the Company such information regarding such Holder and the distribution and/or sale proposed by such Holder as the Company may from time to time reasonably request in writing in
connection with any registration, qualification or compliance referred to in this Agreement, and the Company may exclude from such registration the Registrable Securities of any Holder who unreasonably fails to furnish such information within a
reasonable time after receiving such request. The intended method or methods of disposition and/or sale of such securities as so provided by such purchaser shall be included without alteration in the Registration Statements covering the Registrable
Securities and shall not be changed without written consent of such Holder. Each Holder agrees that, other than ordinary course brokerage arrangements, in the event it enters into any arrangement with a broker dealer for the sale of any Registrable
Securities through a block trade, special offering, exchange distribution or secondary distribution or a purchase by a broker or dealer, such Holder shall promptly deliver to the Company in writing all applicable information required in order for
the Company to be able to timely file a supplement to the Prospectus pursuant to Rule 424(b), or take any other action, under the Securities Act, to the extent that such supplement or other action is legally required. Such information shall include
a description of (i) the name of such Holder and of the participating broker dealer(s), (ii) the number of Registrable Securities involved, (iii) the price at which such Registrable Securities were or are to be sold, and (iv) the
commissions paid or to be paid or discounts or concessions allowed or to be allowed to such broker dealer(s), where applicable. 
 6.
Stock Legend. 
 6.1 Upon payment therefor as provided in this Agreement, the Company will issue the Shares and the Warrant in the name
of each Investor. Any certificate representing Shares or Warrant Shares shall be stamped or otherwise imprinted with a legend in substantially the following form: 
  

 14 

 NEITHER THESE SECURITIES NOR THE SECURITIES INTO WHICH THESE SECURITIES ARE CONVERTIBLE HAVE BEEN
REGISTERED WITH THE SECURITIES AND EXCHANGE COMMISSION IN RELIANCE UPON AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND, ACCORDINGLY, MAY NOT BE OFFERED OR SOLD EXCEPT PURSUANT TO AN
EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OR AFTER RECEIPT BY THE COMPANY OF AN OPINION OF COUNSEL SATISFACTORY TO THE COMPANY THAT SUCH REGISTRATION IS NOT REQUIRED UNDER THE SECURITIES ACT. 
 Additionally, any certificate representing the Warrant Shares shall also be stamped or otherwise imprinted with a legend in substantially the following
form: 
 THESE SECURITIES REPRESENTED HEREBY ARE ALSO SUBJECT TO RIGHTS AND OBLIGATIONS AS SET FORTH IN A SECURITIES PURCHASE AND
REGISTRATION RIGHTS AGREEMENT DATED AS OF MARCH 13, 2008 BY AND AMONG STAR SCIENTIFIC, INC. AND THE SEVERAL INVESTORS PARTY THERETO AS SUCH MAY BE AMENDED FROM TIME TO TIME. 
 The Warrant shall be imprinted with the legends set forth in the Warrant on Exhibit A hereto. 
 The Company agrees to issue the Shares or Warrant Shares, issued upon exercise of the Warrant, without the legend set forth above at such time as the
holder thereof is (i) permitted to dispose of such Shares or Warrant Shares without restriction pursuant to Rule 144 under the Securities Act, and upon such disposal, or (ii) such securities have been registered for resale under the 1933
Act, subject to the undertaking in Section 4.14 hereof by the Investor. 
 7. Survival of Representations, Warranties and
Agreements. Notwithstanding any investigation made by any party to this Agreement, all covenants, agreements, representations and warranties made by the Company and Investor herein shall survive the execution of this Agreement, the delivery to
Investor of the Shares and the Warrant being purchased and the payment therefor. 
 8. Notices. All notices, requests, consents and
other communications hereunder shall be in writing, shall be mailed (A) if within domestic United States by first-class registered or certified airmail, or nationally recognized overnight express courier, postage prepaid, or by facsimile, or
(B) if delivered from outside the United States, by International Federal Express or facsimile, and shall be deemed given (i) if delivered by first-class registered or certified mail domestic, three business days after so mailed,
(ii) if delivered by nationally recognized overnight carrier, one business day after so mailed, (iii) if delivered by International Federal Express, two business days after so mailed, and (iv) if delivered by facsimile, upon electric
confirmation of receipt and shall be delivered as addressed as follows: 
 (a) if to the Company, to: 
 Star Scientific, Inc. 
 16 South Market
Street 
 Petersburg, Virginia 23803 
 Telephone: (804) 530-0535 
 Facsimile: (804) 530-8474 
 Attention: Chief Financial Officer 
  

 15 

 with copies to: 
 Star Scientific, Inc. 
 7475 Wisconsin Ave. 
 Suite 850 
 Bethesda, MD 20814 

Attn: Robert E. Pokusa 
 General Counsel

 Phone: (301) 654-8300 
 Telecopy: (301) 654-9308; 
 and 
 Latham & Watkins LLP 
 555 Eleventh Street, N.W. 
 Suite 1000 
 Washington, DC 20004

 Attn: William P. O’Neill 
 Phone: (202) 637-2200 
 Telecopy: (202) 637-2201 
 (b) if to Investor, at his address on the signature page hereto, or at such other address or addresses as may have been furnished to the Company in
writing. 
 9. Changes. This Agreement may not be modified or amended except pursuant to an instrument in writing signed by the
Company and Investor. 
 10. Headings. The headings of the various sections of this Agreement have been inserted for convenience of
reference only and shall not be deemed to be part of this Agreement. 
 11. Severability. In case any provision contained in this
Agreement should be invalid, illegal or unenforceable in any respect, the validity, legality and enforceability of the remaining provisions contained herein shall not in any way be affected or impaired thereby. 
 12. Governing Law. This Agreement shall be governed by, and construed in accordance with, the internal laws of the State of New York, without
giving effect to the principles of conflicts of law. 
 13. Entire Agreement. This Agreement constitutes the entire agreement between
the parties hereto pertaining to the subject matter hereof, and any and all other written or oral agreements relating to such subject matter are expressly cancelled. 
  

 16 

 14. Finders Fees. Neither the Company nor Investor nor any affiliate thereof has incurred any
obligation which will result in the obligation of the other party to pay any finder’s fee or commission in connection with this transaction. 
 15. Counterparts. This Agreement may be executed in two or more counterparts, each of which shall constitute an original, but all of which, when taken together, shall constitute but one instrument, and shall become effective when one
or more counterparts have been signed by each party hereto and delivered to the other parties. 
 16. Successors and Assigns.
This Agreement shall inure to the benefit of and be binding upon the successors and permitted assigns of the Company and Investor. Investor shall not assign any rights or obligations under this Agreement other than, solely with respect to any Shares
or Warrant Shares transferred in accordance with this Agreement, including the legends described herein, to any permitted transferee of such Shares or Warrant, provided, however, that no such assignment shall relieve Investor of its
obligations under this Agreement. 
 17. Expenses. Each of the Company and Investor shall bear its own expenses in connection
with the preparation and negotiation of the Agreement. 
 18. Independent Nature of Investors’ Obligations and Rights. The
obligations of each Investor under this Agreement are several and not joint with the obligations of any other Investor, and no Investor shall be responsible in any way for the performance of the obligations of any other Investor under this
Agreement. Nothing contained herein, and no action taken by any Investor pursuant hereto, shall be deemed to constitute the Investors as a partnership, an association, a joint venture or any other kind of entity, or create a presumption that the
Investors are in any way acting in concert or as a group with respect to such obligations or the transactions contemplated by this Agreement and the Company acknowledges that the Investors are not acting in concert or as a group with respect to such
obligations or the transactions contemplated by this Agreement. Each Investor confirms that it has independently participated in the negotiation of the transaction contemplated hereby with the advice of its own counsel and advisors. Each Investor
shall be entitled to independently protect and enforce its rights, including, without limitation, the rights arising out of this Agreement, and it shall not be necessary for any other Investor to be joined as an additional party in any proceeding
for such purpose. 
 [Signature pages follow.] 
  

 17 

 IN WITNESS WHEREOF, the parties hereto have cause this Agreement to be duly executed as of the date first
above written. 
  

			
	STAR SCIENTIFIC, INC.
		
	By:	 	 /s/ Paul L. Perito

	Name:	 	Paul L. Perito
	Title:	 	Chairman, President and Chief Operating Officer

 Signature Page to Securities Purchase and Registration Rights Agreement 

 IN WITNESS WHEREOF, the parties hereto have cause this Agreement to be duly executed as of the date first
above written. 
  

			
	PV PARTNERS, LP
		
	By:	 	 /s/ Scott P. Peters

	Name:	 	Scott P. Peters
	Title:	 	General Partner

 Signature Page to Securities Purchase and Registration Rights Agreement 

 IN WITNESS WHEREOF, the parties hereto have cause this Agreement to be duly executed as of the date first
above written. 
  

			
	TRADEWINDS MASTER FUND (BVI), LTD.
		
	By:	 	 /s/ Robert W. Scannell

	Name:	 	Robert W. Scannell
	Title:	 	General Partner

 Signature Page to Securities Purchase and Registration Rights Agreement 

 IN WITNESS WHEREOF, the parties hereto have cause this Agreement to be duly executed as of the date first
above written. 
  

			
	FEEHAN PARTNERS, LP
		
	By:	 	 /s/ Robert W. Scannell

	Name:	 	Robert W. Scannell
	Title:	 	General Partner

  

 Signature Page to Securities Purchase and Registration Rights Agreement 

 IN WITNESS WHEREOF, the parties hereto have cause this Agreement to be duly executed as of the date first
above written. 
  

			
	 JMB LLC

		
	By:	 	 /s/ John C. McKeon

	Name:	 	John C. McKeon
	Title:	 	President

  

 Signature Page to Securities Purchase and Registration Rights Agreement 

 SCHEDULE I 
 SCHEDULE OF INVESTORS 
  

								
	 Name and Address
	  	Number of Shares to
be Purchased	  	Warrants	  	Aggregate Purchase
Price
	 PV Partners, LP
	  	1,290,323	  	1,290,323	  	$	2,000,000.65
	 Tradewinds Master Fund (BVI), Ltd.
	  	1,290,323	  	1,290,323	  	$	2,000,000.65
	 Feehan Partners, LP
	  	1,290,323	  	1,290,323	  	$	2,000,000.65
	 JMB LLC
	  	967,742	  	967,742	  	$	1,500,000.10
	 Total:
	  	4,838,711	  	4,838,711	  	$	7,500,002.05

 Exhibit A 
 NEITHER THESE SECURITIES NOR THE SECURITIES INTO WHICH THESE SECURITIES ARE CONVERTIBLE HAVE BEEN REGISTERED WITH THE SECURITIES AND EXCHANGE COMMISSION IN RELIANCE UPON AN EXEMPTION FROM REGISTRATION UNDER THE
SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND, ACCORDINGLY, MAY NOT BE OFFERED OR SOLD EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OR AFTER RECEIPT BY THE COMPANY OF AN OPINION OF
COUNSEL SATISFACTORY TO THE COMPANY THAT SUCH REGISTRATION IS NOT REQUIRED UNDER THE SECURITIES ACT . 
 COMMON STOCK PURCHASE WARRANT

 To purchase common stock shares of common stock, $0.0001 par value, of 
 Star Scientific, Inc. 
 THIS COMMON STOCK PURCHASE WARRANT (the
“Warrant”) certifies that, for value received,                      (the “Holder”), is entitled, upon the
terms and subject to the limitations on exercise and the conditions hereinafter set forth, at any time on or after September 14, 2008 (the “Initial Exercise Date”) and on or prior to the close of business on September 14,
2013 (the “Termination Date”) but not thereafter (the “Exercise Period”), to subscribe for and purchase from Star Scientific, Inc., a Delaware corporation (the “Company”), up to
                     shares (the “Warrant Shares”) of common stock, par value $0.0001 per share, of the Company (the
“Common Stock”). The purchase price of one share of Common Stock (the “Exercise Price”) under this Warrant shall be $2.00, subject to adjustment hereunder. The Exercise Price and the number of Warrant Shares for
which the Warrant is exercisable shall be subject to adjustment as provided herein. The term “Holder” shall refer to the Holder identified above or any subsequent transferee of this Warrant. Capitalized terms used but not otherwise defined
herein shall have the meanings set forth in the Securities Purchase and Registration Rights Agreement, dated March 13, 2008, between the Company and Holder (the “Purchase Agreement”). 
 1. Authorization of Warrant Shares. The Company represents and warrants that all Warrant Shares which may be issued upon the exercise of the
purchase rights represented by this Warrant will, upon exercise of the purchase rights represented by this Warrant, be duly authorized, validly issued, fully paid and nonassessable. 
 2. Exercise of Warrant. 
 (a) Except
as provided in Section 3 herein, exercise of the purchase rights represented by this Warrant may be made at any time or times on or after the Initial Exercise Date and before or on the Termination Date by (i) surrendering this Warrant,

  

 1 

 
with the Notice of Exercise Form annexed hereto completed and duly executed, to the offices of the Company (or such other office or agency (including the
transfer agent, if applicable) of the Company as it may designate by notice in writing to the registered Holder at the address of such Holder appearing on the books of the Company) and (ii) delivering payment of the Exercise Price of the shares
thereby purchased by wire transfer of immediately available funds or cashier’s check drawn on a United States bank. The Holder exercising his purchase rights in accordance with the preceding sentence shall be entitled to receive a certificate
for the number of Warrant Shares so purchased, which certificate will bear a legend substantially similar to the legend set forth on this Warrant. Certificates for shares purchased hereunder shall be issued and delivered to the Holder within
five (5) Trading Days (as defined below) after the date on which this Warrant shall have been exercised as aforesaid. This Warrant shall be deemed to have been exercised and such certificate or certificates shall be deemed to have been issued,
and the Holder shall be deemed to no longer hold this Warrant with respect to such shares and to have become a holder of record of such shares for all purposes, in each case as of the date the Warrant has been exercised by payment to the Company of
the Exercise Price and all taxes required to be paid by the Holder, if any, pursuant to Section 4 prior to the issuance of such shares, have been paid. 
 (b) In the event that the Warrant is not exercised in full, the number of Warrant Shares shall be reduced by the number of such Warrant Shares for which this Warrant is exercised and/or surrendered, and the Company,
if requested by Holder and at his expense, shall within ten (10) Trading Days issue and deliver to the Holder a new Warrant of like tenor in the name of the Holder or as the Holder (upon payment by Holder of any applicable transfer taxes) may
request, reflecting such adjusted Warrant Shares. 
 “Trading Day” shall mean a day on which there is trading on the
Principal Market or such other market or exchange on which the Common Stock is then principally traded. 
 3. No Fractional Shares or
Scrip. No fractional shares or scrip representing fractional shares shall be issued upon the exercise of this Warrant. As to any fraction of a share which Holder would otherwise be entitled to purchase upon such exercise, the Company shall pay a
cash adjustment in respect of such final fraction in an amount equal to such fraction multiplied by the Exercise Price. 
 4. Charges,
Taxes and Expenses. Issuance of certificates for Warrant Shares shall be made without charge to the Holder for any issue tax or other incidental expense in respect of the issuance of such certificate, all of which taxes and expenses shall be
paid by the Company, and such certificates shall be issued in the name of the Holder; provided, however, that the Holder shall pay any applicable transfer taxes. 
 5. Closing of Books. The Company will not close its stockholder books or records in any manner which prevents the timely exercise of this Warrant,
pursuant to the terms hereof. 
  

 2 

 6. Division and Combination. 
 (a) This Warrant may be divided or combined with other Warrants upon presentation hereof at the aforesaid office of the Company, together with a written
notice specifying the denominations in which new Warrants are to be issued, signed by the Holder or his agent or attorney. The Company shall execute and deliver a new Warrant or Warrants in exchange for the Warrant or Warrants to be divided or
combined in accordance with such notice 
 (b) The Company shall prepare, issue and deliver at its own expense (other than transfer taxes)
the new Warrant or Warrants under this Section 6. 
 7. No Rights as Stockholder until Exercise. This Warrant does not entitle
the Holder to any voting rights or other rights as a stockholder of the Company prior to the exercise hereof. Upon the surrender of this Warrant and the payment of the aggregate Exercise Price, the Warrant Shares so purchased shall be and be deemed
to be issued to such Holder as the record owner of such shares as of the close of business on the later of the date of such surrender or payment and this Warrant shall no longer be issuable with respect to such Warrant Shares. 
 8. Loss, Theft, Destruction or Mutilation of Warrant. The Company covenants that upon receipt by the Company of evidence reasonably satisfactory
to it of the loss, theft, destruction or mutilation of this Warrant or any stock certificate relating to the Warrant Shares, and in case of loss, theft or destruction, of indemnity or security reasonably satisfactory to it, and upon surrender and
cancellation of such Warrant or stock certificate, if mutilated, the Company will make and deliver a new Warrant or stock certificate of like tenor and dated as of such cancellation, in lieu of such Warrant or stock certificate. 
 9. Saturdays, Sundays, Holidays, etc. If the last or appointed day for the taking of any action or the expiration of any right required or granted
herein shall be a Saturday, Sunday or a legal holiday, then such action may be taken or such right may be exercised on the next succeeding day not a Saturday, Sunday or legal holiday. 
 10. Adjustments of Exercise Price and Number of Warrant Shares. The number and kind of securities purchasable upon the exercise of this Warrant
and the Exercise Price shall be subject to adjustment from time to time upon the happening of any of the following. In case the Company shall (i) pay a dividend in shares of Common Stock or make a distribution in shares of Common Stock to
holders of its outstanding Common Stock, (ii) subdivide its outstanding shares of Common Stock into a greater number of shares, (iii) combine its outstanding shares of Common Stock into a smaller number of shares of Common Stock, or
(iv) issue any shares of its capital stock in a reclassification of the Common Stock, then the number of Warrant Shares purchasable upon exercise of this Warrant immediately prior thereto shall be adjusted so that the Holder shall be entitled
to receive the kind and number of Warrant Shares or other securities of the Company which he would have owned or have been entitled to receive had such Warrant been exercised in advance thereof. Upon each such adjustment of the 

  

 3 

 
kind and number of Warrant Shares or other securities of the Company which are purchasable hereunder, the Holder shall thereafter be entitled to purchase the
number of Warrant Shares or other securities resulting from such adjustment at an Exercise Price per Warrant Share or other security obtained by multiplying the Exercise Price in effect immediately prior to such adjustment by the number of Warrant
Shares purchasable pursuant hereto immediately prior to such adjustment and dividing by the number of Warrant Shares or other securities of the Company purchasable pursuant hereto as a result of such adjustment. An adjustment made pursuant to this
paragraph shall become effective immediately after the effective date of such event retroactive to the record date, if any, for such event. 
 11. Reorganization, Reclassification, Merger, Consolidation or Disposition of Assets. If, at any time while this Warrant is outstanding (i) the Company effects any merger or consolidation of the Company with or into another
individual or corporation, partnership, trust, incorporated or unincorporated association, joint venture, limited liability company, joint stock company or other entity of any kind (each a “Person”), in which the Company is not the
survivor and the stockholders of the Company immediately prior to such merger or consolidation do not own, directly or indirectly, at least fifty percent (50%) of the voting securities of the surviving entity, (ii) the Company effects any
sale of all or substantially all of its assets or a majority of its Common Stock is acquired by a third party, in each case, in one or a series of related transactions, (iii) any tender offer or exchange offer (whether by the Company or another
Person) is completed pursuant to which all or substantially all of the holders of Common Stock are permitted to tender or exchange their shares for other securities, cash or property, or (iv) the Company effects any reclassification of the
Common Stock or any compulsory share exchange pursuant to which the Common Stock is effectively converted into or exchanged for other securities, cash or property (other than as a result of a subdivision or combination of shares of Common Stock
covered by Section 10 above) (in any such case, a “Fundamental Transaction”), then the Holder shall have the right thereafter to receive, upon exercise of this Warrant, the same amount and kind of securities, cash or property
as it would have been entitled to receive upon the occurrence of such Fundamental Transaction if it had been, immediately prior to such Fundamental Transaction, the holder of the number of Warrant Shares then issuable upon exercise in full of this
Warrant without regard to any limitations on exercise contained herein (the “Alternate Consideration”). The Company shall not effect any such Fundamental Transaction unless prior to or simultaneously with the consummation thereof,
any successor to the Company, surviving entity or the corporation purchasing or otherwise acquiring such assets or other appropriate corporation or entity shall assume the obligation to deliver to the Holder, such Alternate Consideration as, in
accordance with the foregoing provisions, the Holder may be entitled to purchase and/or receive (as the case may be), and the other obligations under this Warrant. The foregoing provisions of this Section 11 shall similarly apply to successive
reorganizations, reclassifications, mergers, consolidations, spin-offs, or dispositions of assets. 
 12. Notice of Adjustment.
Whenever the number of Warrant Shares or number or kind of securities or other property purchasable upon the exercise of this Warrant or the Exercise Price is adjusted, as herein provided, the Company shall give 

  

 4 

 
notice thereof to the Holder, which notice shall state the number of Warrant Shares (and other securities or property) purchasable upon the exercise of this
Warrant and the Exercise Price of such Warrant Shares (and other securities or property) after such adjustment, setting forth a brief statement of the facts requiring such adjustment and setting forth the computation by which such adjustment was
made. 
 13. Notice of Corporate Action. If at any time: 
 (a) the Company shall take a record of the holders of its Common Stock for the purpose of entitling them to receive a dividend or other distribution, or any right to subscribe for or purchase any evidences of its
indebtedness, any shares of stock of any class or any other securities or property, or to receive any other right, or 
 (b) there shall be
any capital reorganization of the Company, any reclassification or recapitalization of the capital stock of the Company or any consolidation or merger of the Company with, or any sale, transfer or other disposition of all or substantially all the
property, assets or business of the Company to, another corporation, or 
 (c) there shall be a voluntary or involuntary dissolution,
liquidation or winding up of the Company; 
 then, in any one or more of such cases, the Company shall give to Holder (i) at least five Business
Days’ prior written notice of the date on which a record date shall be selected for such dividend, distribution or right or for determining rights to vote in respect of any such reorganization, reclassification, merger, consolidation, sale,
transfer, disposition, liquidation or winding up, and (ii) in the case of any such reorganization, reclassification, merger, consolidation, sale, transfer, disposition, dissolution, liquidation or winding up, at least five Business Days’
prior written notice of the date when the same shall take place. Such notice in accordance with the foregoing clause also shall specify (i) the date on which any such record is to be taken for the purpose of such dividend, distribution or
right, the date on which the holders of Common Stock shall be entitled to any such dividend, distribution or right, and the amount and character thereof, and (ii) the date on which any such reorganization, reclassification, merger,
consolidation, sale, transfer, disposition, dissolution, liquidation or winding up is to take place and the time, if any such time is to be fixed, as of which the holders of Common Stock shall be entitled to exchange their Warrant Shares for
securities or other property deliverable upon such disposition, dissolution, liquidation or winding up. Each such written notice shall be sufficiently given if addressed to Holder at the last address of Holder appearing on the books of the Company
and delivered in accordance with Section 16(d). 
 14. Authorized Shares. The Company covenants that during the period the
Warrant is outstanding, it will reserve from its authorized and unissued Common Stock a sufficient number of shares to provide for the issuance of the Warrant Shares upon the exercise of any purchase rights under this Warrant. The Company will take
all such reasonable action as may be necessary to assure that such Warrant Shares may be issued as provided herein without violation of any applicable law or regulation. 
  

 5 

 Except and to the extent as waived or consented to by the Holder, the Company shall not by any action,
including, without limitation, amending its certificate of incorporation or through any reorganization, transfer of assets, consolidation, merger, dissolution, issue or sale of securities or any other voluntary action, avoid or seek to avoid the
observance or performance of any of the terms of this Warrant, but will at all times in good faith assist in the carrying out of all such terms and in the taking of all such actions as may be necessary or appropriate to protect the rights of Holder
as set forth in this Warrant against impairment. Without limiting the generality of the foregoing, the Company will (a) not increase the par value of any Warrant Shares above the amount payable therefor upon such exercise immediately prior to
such increase in par value and (b) take all such action as may be necessary or appropriate in order that the Company may validly and legally issue fully paid and nonassessable Warrant Shares upon the exercise of this Warrant. 
 15. Call. At any time and from time to time following the Effective Date of the Registration Statement, the Company shall have the right, upon 20
Business Days’ prior written notice to the Holder (“Call Notice”), to call (require Holder to exercise) all or any portion of this Warrant at the Exercise Price provided that (i) the Warrant Shares are registered for
resale pursuant to the Securities Act and have been for at least the 20-Trading Day period preceding the Call Notice, (ii) the Prospectus has not been suspended at any time during the 20-Trading Day period preceding the Call Notice,
(iii) the Common Stock is currently listed (and is not suspended from trading) on the Principal Market as of the date the Call Notice is delivered to the Holder through the effective date of such call, (iv) the Company is not in default
(or taken any action or failure to act which through the passage of time would result in a default) under the Purchase Agreement, (v) exercise of the Warrant in whole will not cause the Holder to exceed the Section 3(c) limitations,
(vi) the VWAP of the Common Stock on the Principal Market is equal to or greater than $6.00 (subject to adjustment to reflect forward or reverse stock splits, stock dividends, recapitalizations and the like) (the “Threshold
Price”) for at least 20 consecutive Trading Days, and (vii) the Call Notice is delivered within 3 Business Days’ of the most recent day in the previous clause and that the Common Stock reached the Threshold Price. At any time
prior to the effective date of such call, the Holder shall have the right to exercise this Warrant in accordance with its terms. 
 “VWAP” shall mean for any date, the price determined by the first of the following clauses that applies: (a) if the Common Stock is then listed or quoted on an the Principal Market or the New York
Stock Exchange, the American Stock Exchange or the Nasdaq Small Cap Market (each an “Approved Market”), the daily volume weighted average price of the Common Stock for such date (or the nearest preceding date) on the primary
Approved Market on which the Common Stock is then listed or quoted as reported by Bloomberg Financial L.P. (based on a Trading Day from 9:30 a.m. ET to 4:02 p.m. Eastern Time) using the HP function; (b) if the Common Stock is not then listed or
quoted on an Approved Market and if prices for the Common Stock are then quoted on the OTC Bulletin Board, the volume weighted average price of the Common Stock for such date (or the nearest preceding date) on the OTC Bulletin Board; (c) if the
Common Stock is not then listed or quoted on the OTC Bulletin Board and if prices for the Common Stock are then reported in the “Pink Sheets” published by the National 

  

 6 

 
Quotation Bureau Incorporated (or a similar organization or agency succeeding to its functions of reporting prices), the most recent bid price per share of
the Common Stock so reported; or (d) in all other cases, the fair market value of a share of Common Stock as determined by the Company and Holder in good faith. 
 “Business Day” shall mean any day other than a Saturday, Sunday or a day on which commercial banks in the City of New York are authorized or required by law or executive order to
remain closed. 
 16. Miscellaneous. 
 (a) Jurisdiction. This Warrant shall constitute a contract under the laws of the State of New York, without regard to its conflict of law, principles or rules. 
 (b) Restrictions. The Holder acknowledges that the Warrant Shares acquired upon the exercise of this Warrant will have restrictions upon resale
imposed by state and federal securities laws and/or as set forth in the Purchase Agreement. 
 (c) Nonwaiver and Expenses. No course
of dealing or any delay or failure to exercise any right hereunder on the part of Holder shall operate as a waiver of such right or otherwise prejudice Holder’s rights, powers or remedies, provided, however, that all rights hereunder terminate
on the Termination Date. If the Company willfully and knowingly fails to comply with any provision of this Warrant, which results in any material damages to the Holder, the Company shall pay to Holder such amounts as shall be sufficient to cover any
costs and expenses including, but not limited to, reasonable attorneys’ fees, including those of appellate proceedings, incurred by Holder in collecting any amounts due pursuant hereto or in otherwise enforcing any of his rights, powers or
remedies hereunder. 
 (d) Notices. All notices, requests, consents and other communications provided for herein shall be in writing
and shall be effective upon delivery in person, when faxed and received, or five Business Days after being mailed by certified or registered mail, return receipt requested, postage pre-paid, addressed as follows: 
  

	 	(i)	If to the Holder: 

 [Name] 
 [Address] 
 Telephone: 
 Fax: 
 Attention: 
 or to the address of the Holder as shown on the books of the Company; or 
  

	 	(ii)	If to the Company: 

 Star Scientific, Inc.

 16 South Market Street 
 Petersburg, Virginia 23803 
 Telephone: (804) 530-0535 
 Facsimile: (804) 530-8474 
 Attention: Chief Financial Officer 
  

 7 

 with a copy to: 
 Star Scientific, Inc. 
 7475 Wisconsin Avenue 
 Suite 850 
 Bethesda, MD 20814 
 Telephone: (301) 654-8300 
 Facsimile: (301) 654-9308 
 Attention: General Counsel 
 or at such
other address as the Holder or the Company, as applicable, may hereafter have advised the other in accordance with the provisions of this paragraph. 
 (e) Limitation of Liability. No provision hereof, in the absence of any affirmative action by Holder to exercise this Warrant or purchase Warrant Shares, and no enumeration herein of the rights or privileges of Holder, shall give
rise to any liability of Holder for the purchase price of any Common Stock or as a stockholder of the Company, whether such liability is asserted by the Company or by creditors of the Company. 
 (f) Successors and Assigns; No Assignment. This Warrant and the rights and obligations evidenced hereby shall inure to the benefit of and
be binding upon the successors of the Company, provided that neither the Company (except pursuant to a transaction subject to Section 11 herein) nor the Holder may assign this Warrant without the prior written consent of the other party.

 (g) Amendment. This Warrant may be modified or amended or the provisions hereof waived with the written consent of the Company and
the Holder. 
 (h) Severability. Wherever possible, each provision of this Warrant shall be interpreted in such manner as to be
effective and valid under applicable law, but if any provision of this Warrant shall be prohibited by or invalid under applicable law, such provision shall be ineffective to the extent of such prohibition or invalidity, without invalidating the
remainder of such provisions or the remaining provisions of this Warrant. 
 (i) Headings. The headings used in this Warrant are for
the convenience of reference only and shall not, for any purpose, be deemed a part of this Warrant. 
  

 8 

 IN WITNESS WHEREOF, the Company has caused this Warrant to be executed by its officer thereunto duly authorized.

 Dated: March 13, 2008 
  

			
	STAR SCIENTIFIC, INC.
		
	By:	 	  

	Name:	 	Paul L. Perito
	Title:	 	Chairman, President and Chief Operating Officer

  

 Signature Page to Warrant 

 NOTICE OF EXERCISE 
  

	To:	Star Scientific, Inc. 

 (1) The undersigned hereby elects
to purchase              Warrant Shares of Star Scientific, Inc. pursuant to the terms of the attached Warrant, and tenders herewith payment of the exercise price in full, together
with all applicable transfer taxes, if any. 
 (2) Payment shall take the form of in lawful money of the United States. 
 (3) Please issue a certificate or certificates representing said Warrant Shares in the name of the undersigned. The Warrant Shares shall be delivered to
the following: 
  

	
	  

	
	  

	
	  

 (4) Accredited Investor/Qualified Institutional Buyer. The undersigned is an “accredited
investor” as defined in Regulation D under the Securities Act of 1933, as amended. 
  

			
	[PURCHASER]
		
	By:	 	  

	Name:	 	
	Title:	 	
		
	Dated:	 	  

  

 Signature Page to Warrant

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00139-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00139-of-00352.parquet"}]]