Document:

CONSULTING
AGREEMENT

 

THIS
CONSULTING AGREEMENT (“Agreement”), dated and effective on September 28, 2019 (the “Effective
Date”) is between TARONIS FUELS, INC., a Delaware corporation (“Company”) and MR. TANER
AY, whose address is: ___________________________________ (“Consultant”).

 

1.
Engagement; Services. Company hereby engages Consultant to act as a strategic consultant. Consultant will facilitate and assist
the Company with organizing its business activities in the Republic of Turkey (“Turkey”). The services Consultant
will provide include assisting with legal, financial, operational and permitting related to the Company’s operations in
Turkey.

 

2.
Term. The term of Consultant’s engagement under this Agreement shall commence as of the Effective Date and shall continue
until the Company is fully operational in Turkey. Thereafter, the Company and Consultant will look to expand their relationship
and the consulting services, both in Turkey and in similarly situated nearby regions outside of Turkey.

 

3.
Compensation; Standard of Work.

 

3.1.
As compensation for the performance of the services, the Company will issue to Consultant 250,000 shares of Taronis Technologies,
Inc. restricted common stock (“Shares”). The stock issuance will occur on the first business day after this Agreement
is signed by both parties.

 

3.2.
The Company agrees that once it completes its spin-off from Taronis Technologies, Inc., it will evaluate providing additional
compensation to Consultant in correlation to Consultant’s services.

 

3.3.
The Company agrees that after the Shares are issued, it will ensure that Taronis Technologies, Inc. will register the Shares as
soon as reasonably practicable so they are available for resale in the public markets.

 

3.4.
Consultant will perform the services in accordance with the terms of this Agreement. Consultant will have exclusive control over
the manner and means of performing the services, including the choice of place and time, and will use its expertise and creative
talents in performing the services.

 

3.5.
Consultant will, at Company’s request, (a) cooperate with and assist Company, both during and after the term of this Agreement,
in perfecting, maintaining, protecting, and enforcing Company’s rights in the services which is created, and (b) execute
and deliver to Company any documents deemed necessary or appropriate by Company in its discretion to perfect, maintain, protect,
or enforce Company’s rights in the services or otherwise carry out the purpose of this Agreement.

 

4.
Protection of Trade Secrets and Confidential Information.

 

4.1.
“Confidential Information” means all non-public information (in whatever form and whether or not ‘material’)
relating to or arising from Company’s business (as conducted or planned to be conducted) disclosed by Company to Consultant
prior to or after the Effective Date, whether disclosed in written, oral, or electronic form.

 

    	 	 	 

    	 

    

 

4.2.
Confidential Information does not include information that Consultant can demonstrate with competent written evidence is: (a)
already lawfully known by Consultant at the time of first receipt from Company and is not subject to any other nondisclosure agreement
between the parties or between Consultant and a third party; (b) was in the public domain at the time it was disclosed to Consultant;
or (c) entered the public domain after it was disclosed to the Consultant through no fault of Consultant or its employees, agents
or subcontractors. Consultant may also disclose Confidential Information of Company to the extent disclosure is required to be
disclosed by a court or governmental authority having jurisdiction over Consultant, provided that Consultant gives Company prompt
written notice of the request prior to any disclosure and cooperates with Company, at Company’s reasonable request and expense,
in any lawful action to contest or limit the scope of such required disclosure, including filing motions and otherwise making
appearances before a court.

 

4.3.
Consultant shall hold all Confidential Information in strict confidence and shall not, without Company’s express authorization:
(i) use any Confidential Information for any purpose, other than in performance of the services; or (ii) disclose or otherwise
communicate any Confidential Information outside of Company. Consultant acknowledges that during its engagement with Company,
Consultant will have access to Confidential Information, that unauthorized disclosure of Confidential Information will damage
Company’s business, and that the restrictions contained in this Agreement are reasonable and necessary for the protection
of Company’s legitimate business interests. All documents and recorded material containing Confidential Information, whether
documentary or electronic, shall remain the property of Company, and Consultant shall return to Company upon request and upon
termination or expiration of this Agreement, all such documents and recorded material and all other Confidential Information of
Company. Consultant acknowledges that its misuse or disclosure or threatened misuse or disclosure of Company’s Confidential
Information will cause irreparable harm to the Company and the Company shall have the right to seek injunctive relief without
posting a bond for any breach of this Agreement by Consultant, in addition to all other remedies available at law or in equity.

 

5.
Independent Contractor Status. The parties intend that an independent contractor relationship will be created by this Agreement.

 

6.
Compliance with Laws. Consultant shall perform the services hereunder in a professional and timely manner, and shall comply,
at its sole cost and expense, with all applicable administrative laws, rules, and regulations in connection therewith, including
laws requiring the payment of taxes and other contributions.

 

7.
Limitation of Liability. In no event will Company be liable to Consultant for any
consequential, indirect, exemplary, special, or incidental damages arising from or relating to this Agreement EVEN IF COMPANY
HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. Company’s total cumulative
liability in connection with this Agreement, whether in contract or tort or otherwise, will not exceed the aggregate amount of
fees and expenses paid by Company tO CONSULTANT for services performed under this Agreement.

 

    	 	 	 

    	 

    

 

8.
Arbitration and Governing Law. Any controversy or claim between the Company and Consultant, which cannot be resolved by negotiation
or mediation will be resolved by binding arbitration under the then-current rules and supervision of the International Chamber
of Commerce. The arbitration will be held in London, England before a sole arbitrator who is knowledgeable in business of the
Company. The arbitrator’s award will be final and binding and may be entered in any court having jurisdiction. The arbitrator
will not have the power to award punitive or exemplary damages, or any damages excluded by, or in excess of, any damage limitations
expressed in this Agreement. Issues of arbitrability will be determined in accordance solely with the English substantive and
procedural laws relating to arbitration; in all other respects, the arbitrator will be obligated to apply and follow the laws
of England, but excluding its rules on conflicts of law and the United Nations Convention on Contracts for the International Sale
of Goods. This Agreement is governed by the laws of the United Kingdom.

 

9.
Counterparts. This Agreement may be signed in two or more counterparts and the signatures delivered by facsimile, DocuSign
or electronically, each of which counterparts shall be deemed an original, but all of which together shall constitute one and
the same agreement, with the same effect as if the signatures were upon the same instrument and delivered in person.

 

10.
Severability. If any provision of this Agreement is held to be illegal, invalid, or unenforceable, the provision will be enforced
to the maximum extent permissible so as to effect the intent of the parties, and the remaining provisions of this Agreement will
remain in full force and effect.

 

11.
Entire Agreement; Amendment. This Agreement is the complete and exclusive statement of the agreement of the parties regarding
the consulting relationship. This Agreement may not be modified or amended except by a written document that references this Agreement
and has been signed by authorized representatives of both parties.

 

12.
English Language. The language of this Agreement shall be the English language and regardless of translation, the English
language version of this Agreement shall be binding.

 

IN
WITNESS WHEREOF, the parties hereto have executed this Agreement as of the Effective Date.

 

	CONSULTANT 	 	TARONIS FUELS, INC.

	 	 	 	 	 
	By:	/s/
    Taner     Ay	 	By:	/s/
    Scott     Mahoney
	Name: 	Mr.
    Taner Ay	 	Name: 	Mr.
Scott Mahoney, CEO
	Date:	9/29/2019	 	Date:	9/29/2019Exhibit 4.1

 

	
Principal Amount: $550,000.00
    	
 
    	
Issue Date: October 1,   2019
    

 

UNSECURED PROMISSORY NOTE

 

ON THIS 1ST DAY OF OCTOBER, 2019, Jaguar Health, Inc., a Delaware corporation, and its wholly owned subsidiary Napo Pharmaceuticals, Inc., a Delaware corporation, whose principal office is located at 201 Mission Street, Suite 2375, San Francisco, CA 94105 (collectively, “Jaguar”) promises to pay to Michael Tempesta, a California resident (“Holder”), the principal sum of FIVE HUNDRED AND FIFTY THOUSAND DOLLARS AND NO CENTS ($550,000.00), with simple interest accruing on the unpaid balance at a rate of two and one-half percent (21⁄2%) per annum. This Unsecured Promissory Note is being issued by Jaguar to Holder pursuant to that certain License Termination and Settlement Agreement (the “LTSA”) entered into on or around October 1, 2019

 

This shall begin as of the date above in the manner that follows:

 

1.              PAYMENTS: Jaguar shall pay installments of principal in the amount of FIFTY THOUSAND DOLLARS AND NO CENTS ($50,000.00) plus accrued simple interest on the first day of March and the first day of September of each year that this Unsecured Promissory Note is Outstanding.  The first payment due hereunder will be payable on March 1, 2020.

 

Interest shall commence accruing on the date that this Unsecured Promissory Note is issued and shall be computed on the basis of a 365-day year and the actual number of days elapsed.  All payments due hereunder shall be made in lawful money of the United States of America.  Whenever any amount expressed to be due by the terms of this Unsecured Promissory Note is due on any day which is not a business day, the same shall instead be due on the next succeeding day which is a business day.  As used in this Unsecured Promissory Note, the term “business day” shall mean any day other than a Saturday, Sunday or a day on which commercial banks in the city of New York, New York are authorized or required by law or executive order to remain closed.

 

All payments shall be made to Holder at the address set forth above, unless Jaguar is provided with written notice of an alternative address or wire transfer instructions.

 

2.              DUE DATE: The full balance on this Note, including any accrued interest and late fees, is due and payable on the 1st day of March 2025.

 

3.              INTEREST DUE IN THE EVENT OF DEFAULT: In the event that Jaguar fails to pay the note, in full, on the due date or has failed to make an installment payment due within 10 days of the due date, unpaid principal shall accrue interest at the rate of twelve percent (12%) per annum starting on the due date OR the maximum rate allowed by law, whichever is less, until Jaguar is no longer in default.

 

4.              ALLOCATION OF PAYMENTS:  Payments shall be first credited to any late fees due, then to interest due and any remainder will be credited to principal.

 

5.              LATE FEES:  If Holder receives any installment payment more than ten (10) days after the date that it is due, then a late payment fee of $500.00 shall be payable with the scheduled installment payment along with any default interest due.

 

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6.              ACCELERATION:  If Jaguar is in default under this Note by failing to make any payment owed and such default is not cured within thirty(30) days after written notice of such default, then Holder may, at its option and subject to the terms of the LTSA, declare all outstanding sums owed on this Unsecured Promissory Note to be immediately due and payable, in addition to any other rights or remedies that Holder may have under state and federal law.

 

7.              PREPAYMENT:  Jaguar may pre-pay this Unsecured Promissory Note without penalty.

 

8.              ATTORNEYS’ FEES AND COSTS: If Holder or Jaguar sues to enforce this Unsecured Promissory Note or obtain a declaration of its rights hereunder, the prevailing party in any such proceeding shall be entitled to recover its reasonable attorneys’ fees and costs incurred in the proceeding (including those incurred in any bankruptcy proceeding or appeal) from the non-prevailing party.

 

9.              WAIVER OF PRESENTMENTS: Jaguar waives presentment for payment, notice of dishonor, protest and notice of protest.

 

10.       NON-WAIVER:  No failure or delay by Holder in exercising Holder’s rights under this Unsecured Promissory Note shall be considered a waiver of such rights.

 

11.       SEVERABILITY:  In the event that any provision herein is determined to be void or unenforceable for any reason, such determination shall not affect the validity or enforceability of any other provision, all of which shall remain in full force and effect.

 

12.       INTEGRATION AND MODIFICATION:  There are no verbal or other agreements which modify or affect the terms of this Unsecured Promissory Note.  This Unsecured Promissory Note may not be modified or amended except by written agreement signed by Jaguar and Holder and consented to in advance by Chicago Venture Partners, L.P.

 

13.       NOTICE:  Any notices required or permitted to be given hereunder shall be given in writing and shall be delivered (a) in person, (b) by certified mail, postage prepaid, return receipt requested, (c) by facsimile, or (d) by a commercial overnight courier that guarantees next day delivery and provides a receipt, and such notices shall be made to the parties at the addresses listed below.

 

14.       ASSIGNABILITY:  This Unsecured Promissory Note shall be binding upon Jaguar and its successors and assigns and shall inure to be the benefit of Holder and his successors and assigns.  Notwithstanding anything to the contrary herein, the rights, interests or obligations of Jaguar hereunder may not be assigned, by operation of law or otherwise, in whole or in part, by Jaguar without the prior signed written consent of Holder, which consent may not be unreasonably withheld.  This Unsecured Promissory Note or any of the severable rights and obligations inuring to the benefit of or to be performed by Holder hereunder may be assigned by Holder to a third party, in whole or in part, without the need to obtain Jaguar’s consent thereto.  Notwithstanding anything in this Unsecured Promissory Note to the contrary, this Note may not be pledged as collateral in connection with a lending arrangement.

 

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15.       GOVERNING LAW:  This Unsecured Promissory Note shall be governed by and interpreted in accordance with the laws of the State of California without regard to the principles of conflicts of law (whether of the State of California or any other jurisdiction).

 

16.       EXECUTION: Jaguar executes this Unsecured Promissory Note as a principal and not as a surety.

 

This agreement was signed the 1st day of October 2019 by the following:

 

 

	
JAGUAR:
    	
 
    	
HOLDER:
    
	
 
    	
 
    	
 
    
	
JAGUAR   HEALTH, INC.
    	
 
    	
MICHAEL   TEMPESTA
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/ Lisa A. Conte
    	
 
    	
/s/ Michael Tempesta
    
	
 
    	
 
    	
 
    
	
Lisa Conte
    	
 
    	
 
    
	
President and CEO
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
NAPO   PHARMACEUTICAL, INC.
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/ Lisa A. Conte
    	
 
    	
 
    
	
Lisa Conte
    	
 
    	
 
    
	
President and CEO
    	
 
    	
 
    

 

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