Document:

Exhibit 10.2

 

CALL OPTION AGREEMENT

 

This Call Option Agreement (the “Agreement”)
dated as of February , 2018 by and between Protalex, Inc. (the “Company”) and Niobe Ventures, LLC (“Niobe”).

 

WHEREAS, on the date hereof, the Company
has consummated a private placement financing solely to accredited investors (the “Offering”) of $ _______ million
of principal amount of its Senior Convertible Notes (individually a “Note” and collectively the “Notes”),
due February , 2023 (the “Maturity Date”); and

 

WHEREAS, the principal and accrued and
unpaid interest on the Notes may, at the option of the Note holder, be converted into shares of the Common Stock par value $.00001,
per share of the Company (“Common Stock”) at a conversion price of $.20 per share, subject to adjustment as provided
for in the Notes; and

 

WHEREAS, giving effect to its conversion
of certain outstanding debt to equity on the date hereof, Niobe owns shares of Common Stock (the “Niobe Shares”), which
represent approximately 87% of the issued and outstanding shares of the Common Stock of the Company; and

 

WHEREAS in order to facilitate the sale
of the Notes, Niobe has agreed to off-set the dilutive effect of the conversion of the Notes by providing for the Company to automatically
repurchase, for nominal consideration, certain of the Niobe Shares upon conversion of all or any portion of the Notes.

 

NOW THEREFORE, the parties hereby agree
as follows:

 

		(1)	Option.

 

		(a)	To the extent that the Company, from time to time, issues shares of Common Stock to, or at the direction of, a holder of a
Note (“Conversion Shares”) upon conversion of all or a portion of the outstanding principal and/or accrued and unpaid
interest of such Note, the Company shall simultaneously purchase from Niobe, and Niobe shall simultaneously sell to the Company,
for the Per Share Option Price, that number of shares of Common Stock as shall equal 662/3% of the Conversion
Shares (the “Niobe Share Portion”).

 

		(b)	The purchase of the Niobe Share Portion shall be deemed to occur, without further action by the Company or Niobe, immediately
upon the Company’s receipt of a properly tendered Conversion Notice as contemplated by the Notes (each, a “Conversion
Date”). The Company shall tender by check or wire transfer, within three (3) business days of a Conversion Date, an amount
equal to the product of (i) the number of shares constituting the Niobe Share Portion, and (ii) the Per Share Option Price (each
such amount, a “Niobe Share Portion Purchase Price”).

 

     

     

    

  

		(c)	On or before 12:00 noon Eastern Time on the date following
                                         a Conversion Date, the Company shall provide written notice of the Niobe Share Portion
                                         attributable to such conversion by email to Niobe (akling@ghventure.com), with
                                         a copy to Kenneth S. Rose (krose@mzrl.com) to facilitate the preparation and filing
                                         with the Securities and Exchange Commission of all necessary reports with respect to
                                         the sale of the Niobe Share Portion. Time is of the essence with respect to this Company
                                         notice obligation.

 

		(2)	Restricted Account.

 

		(a)	In order to secure Niobe’s obligation hereunder, as soon as practicable, and in no event later than ten (10) Business
Days from the date hereof, Niobe shall deliver certificate(s) representing an aggregate of 4,750,000 shares of Common Stock (the
“Restricted Shares”), together with any other documentation required, to the Company’s Stock Transfer Agent,
to be deposited in a restricted account to facilitate the purchase and transfer to the Company of the Niobe Share Portion as of
each Conversion Date, if any.

 

		(i)	Any Restricted Shares remaining in the restricted account shall be released to Niobe without restriction on the earliest to
occur of: (i) February 28, 2023, or (ii) the date on which no Notes remaining outstanding.

 

		(b)	Niobe agrees that it shall not sell, assign, pledge or otherwise encumber any of the Restricted Shares.

 

		(c)	Niobe shall retain all voting rights with respect to the Restricted Shares, prior to any sale to the Company.

 

		(d)	In the event that the Company and Niobe are unable to effect the deposit of the Restricted Shares as contemplated by subsection
(a) above within the specified period, the parties will engage an escrow agent to deposit the Restricted Shares with to effect
the purpose and intent of this Agreement.

 

		(3)	Entire Agreement. This Agreement, contains the entire understanding of the parties with respect to the subject matter
hereof and supersedes all prior agreements and understandings, oral or written, with respect to such matters, which the parties
acknowledge have been merged into this Agreement.

 

		(4)	Amendments; Waivers. No provision of this Agreement may be waived, modified, supplemented or amended except in a written
instrument signed by the parties.

 

		(5)	Headings. The headings herein are for convenience only, do not constitute a part of this Agreement and shall not be
deemed to limit or affect any of the provisions hereof.

 

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		(6)	No Third-Party Beneficiaries. This Agreement is intended for the benefit of the parties hereto and their respective
successors and permitted assigns and is not for the benefit of, nor may any provision hereof be enforced by, any other person or
entity.

 

		(7)	Governing Law. All questions concerning the construction, validity, enforcement and interpretation of this Agreement
shall be governed by and construed and enforced in accordance with the internal laws of the State of New York, without regard to
the principles of conflicts of law thereof.

 

		(8)	Execution. This Agreement may be executed in two or more counterparts, all of which when taken together shall be considered
one and the same agreement and shall become effective when counterparts have been signed by each party and delivered to each other
party, it being understood that the parties need not sign the same counterpart. In the event that any signature is delivered by
facsimile transmission or by e-mail delivery of a “.pdf” format data file, such signature shall create a valid and
binding obligation of the party executing (or on whose behalf such signature is executed) with the same force and effect as if
such facsimile or “.pdf” signature page were an original thereof.

 

		(9)	Severability. If any term, provision, covenant or restriction of this Agreement is held by a court of competent jurisdiction
to be invalid, illegal, void or unenforceable, the remainder of the terms, provisions, covenants and restrictions set forth herein
shall remain in full force and effect and shall in no way be affected, impaired or invalidated.

 

		(10)	Remedies. In addition to being entitled to exercise all rights provided herein or granted by law, including recovery
of damages, the parties will be entitled to specific performance under this Agreement. The parties agree that monetary damages
may not be adequate compensation for any loss incurred by reason of any breach of obligations contained in this Agreement and hereby
agree to waive and not to assert in any action for specific performance of any such obligation the defense that a remedy at law
would be adequate.

 

		(11)	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 not be a Business Day, then such action may be taken or such right may be exercised on the
next succeeding Business Day.

 

		(12)	Construction. The parties agree that each of them and/or their respective counsel have reviewed and had an opportunity
to revise this Agreement and, therefore, the normal rule of construction to the effect that any ambiguities are to be resolved
against the drafting party shall not be employed in the interpretation of this Agreement.

 

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		(13)	Definitions. For purposes of this Agreement the following terms shall have the following meanings:

 

		(a)	“Business Day” means any day except Saturday, Sunday and any day which shall be a federal legal holiday,
in the United States, or a day on which banking institutions in the State of New York, are authorized or required by law or other
government action to close.

 

		(b)	“Per Share Option Price” means $.01 as appropriately adjusted from time to time as follows:

 

If the Company, at any time shall:

 

		(i)	pay a stock dividend or otherwise make a distribution on shares of its Common Stock or any other equity or equity equivalent
securities payable in shares of Common Stock;

 

		(ii)	subdivide outstanding shares of Common Stock into a larger number of shares; or

 

		(iii)	combine (including by way of reverse stock split) outstanding shares of Common Stock into a smaller number of shares,

 

then the Per Share Option Price shall be multiplied by
a fraction of which the numerator shall be the number of shares of Common Stock, outstanding before such event and of which the
denominator shall be the number of shares of Common Stock outstanding after such event. Any adjustment made pursuant to this Section
shall become effective immediately after the record date for the determination of stockholders entitled to receive such dividend
or distribution and shall become effective immediately after the effective date in the case of a subdivision, combination or re-classification.

 

Signature Page Follows

 

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IN WITNESS WHEREOF, the parties hereto
have caused this Call Option Agreement to be duly executed by their respective authorized signatories as of the date first indicated
above.

 

	PROTALEX, INC.	 	Address for Notice
	 	 	 	 
	By:	 	 	 
	 	Name: Kirk M. Warshaw	 	131 Columbia Turnpike
	 	Title:  Chief Financial Officer	 	Suite 1
	 	 	 	Florham Park, NJ 07932
	 	 	 	Attn: Kirk Warshaw, CFO
	 	 	 	Fax: 212 713-1818

 

	With a copy to (which shall not constitute notice):
	Morse Zelnick Rose & Lander, LLP
	825 Third Avenue
	New York, NY 10022
	Attn: Kenneth S. Rose, Esq.
	Fax: (212) 208-6809

 

	NIOBE VENTURES, LLC	 	Address for Notice
	 	 	 	 
	By:	 	 	c/o Arnold P. Kling
	 	Name: Arnold P. Kling	 	410 Park Avenue, 17th Floor
	 	Title: President	 	New York, NY 10022

 

    	 	5Exhibit 10.3

 

Protalex, Inc.

131 Columbia Turnpike, Suite 1

Florham Park, New Jersey 07392

 

February    , 2018

Niobe Ventures, LLC

410 Park Ave

New York, NY 10022

 

Re: Agreement to Exchange Outstanding Debt

 

Gentlemen:

 

This will confirm the agreement we have reached
with respect to the outstanding debt due and owing from Protalex, Inc. (“Protalex”) to Niobe Ventures, LLC (“Niobe”)
as evidenced by promissory notes issued by Protalex to Niobe (the “Notes”).

 

As we have advised you, Protalex is contemplating
a private placement of a minimum of $1 million and a maximum of $2 million of Senior Convertible 10% Notes, due on the fifth anniversary
date of issuance (the “Private Placement”). Simultaneous with the initial closing of the Private Placement, the Company
and Niobe hereby unconditionally agree to exchange the full principal amount of the Notes for shares of Protalex common stock,
par value $.00001 per share (“Common Stock”), at the price per share of $1.20. Upon such exchange, the outstanding
indebtedness represented by the Notes and all of the rights, duties and obligations of all parties to the credit facility agreements
relating to the Notes, the Notes and the related security agreements shall immediately terminate, other than Niobe’s right
to the payment in cash of accrued and unpaid interest under the Notes which will be evidenced by a new note with a due date after
the maturity date of the notes issued in the Private Placement.

 

Niobe agrees and acknowledges that the shares
of Common Stock to be issued to Niobe upon conversion of the Notes as contemplated by this letter agreement (the “Shares”)
will be “restricted securities” and that the Shares have not been registered under the Securities Act of 1933, as amended
(the “Securities Act”), or any applicable state securities law and that it is acquiring the Shares as principal for
its own account and not with a view to or for distributing or reselling such Shares or any part thereof in violation of the Securities
Act or any applicable state securities law, has no present intention of distributing any of such Shares in violation of the Securities
Act or any applicable state securities law and has no direct or indirect arrangement or understandings with any other persons to
distribute or regarding the distribution of such Shares in violation of the Securities Act or any applicable state securities law
(this representation and warranty not limiting such Purchaser’s right to sell the Shares otherwise in compliance with applicable
federal and state securities laws).

 

Upon issuance of the Shares as contemplated
by this letter agreement, the Shares shall be duly authorized, full paid and nonassessable shares of Common Stock.

 

     

     

    

 

In furtherance of the transactions contemplated
by this letter agreement, each of Protalex and Niobe, at any time or from time to time after the date hereof, agree to cooperate
with each other, and at the request of the other party, to execute and deliver any further instruments or documents and to take
all such further action as the other party may reasonably request in order to evidence or effectuate the consummation of the transactions
contemplated hereby and to otherwise carry out the intent of the parties hereto.

 

In the event that the Private Placement is not
consummated on or before March 31, 2018, then this letter agreement and the rights and obligations hereunder shall be null and
void, ab initio.

 

	 	Sincerely,	 
	 	 	 
	 	PROTALEX, INC.	 
	 	 	 	 
	 	By:	 	 
	 	 	Kirk Warshaw	 
	 	 	Chief Financial Officer	 

 

	AGREED TO AND ACCEPTED:	 
	 	 
	NIOBE VENTURES, LLC	 
	 	 	 
	By:	 	 
	 	Arnold P. Kling, Manager

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