Document:

July
1, 2018

 

To:

Yossi
Dagan

 

Re:
Amendment to Employment Agreement

 

Dear
Yossi,

 

Reference
is made to your employment agreement with One World Cannabis Ltd. (the “Company”) dated June 4, 2017, as
amended (the “Agreement”; All capitalized terms not otherwise defined herein shall have the meaning
ascribed to such terms in the Agreement). This letter documents the agreed amendments to the Agreement, effective as of July
1, 2018 (the “Effective Date”):

 

	 	1.	Increase
    of Gross Salary. In Schedule A of the Agreement, the paragraph set forth opposite to the title “Salary (NIS)”
    shall be deleted in its entirety and replaced by the following:
	 	 	 
	 	 	“The
    Employee shall be entitled to a gross monthly salary of NIS 21,000 (the “Base Salary”). In addition, in
    consideration for overtime hours that the Employee may work during the month, the Employee shall receive a global payment
    of NIS 9,000 (the “Global Overtime Compensation”, and together with the Base Salary, the “Salary”).
    The Global Overtime Compensation has been determined based on the Company’s estimation of the average of overtime
    hours per month that the Employee’s position may require.”
	 	 	 
	 	2.	This
    letter constitutes a notice of change in employment terms that is required under the Notice to an Employee (Terms of Employment)
    Law, 5762 - 2002.
	 	 	 
	 	3.	The
    provisions of Section 12 of the Agreement are incorporated herein by reference and shall apply to the terms herein. Other
    than specifically stated herein the Agreement shall stay in force and effect. In the event of any conflict between the provisions
    of this agreement and the provisions of the Agreement, the provisions of this letter shall prevail and govern.

 

	Sincerely,21.5.2018

To:

MB&B
Business Creation Ltd.

 

Re:
Amendment to Consulting Agreement

 

Dear
Sirs,

 

Reference
is made to the Consulting Agreement between you and One World Cannabis Ltd. (the “Company”), dated
August 1, 2017 as amended (the “Agreement”; capitalized terms not defined herein shall have the
meaning given to them in the Agreement). This letter hereby documents the agreement reached between us with respect to
certain amendments to the Agreement, effective as of May 1, 2018, as follows:

 

In
Exhibit A to the Agreement, the paragraph set forth opposite to the words “Fee” shall be deleted in its entirety
and replaced by the following:

 

“Fee:
The Consultant shall be entitled to consideration, with respect to his Services to the Company within the above specified
scope, in the amount of NIS 40,000 per month, plus VAT, at the standard rate, if applicable.”

 

Please
countersign this letter to indicate your agreement to the terms set forth. Note that this letter will only come into effect upon
receipt of your signature by the Company.

 

The
provisions of Section 9 of the Agreement are incorporated herein by reference and shall apply to the terms herein. In the event
of any conflict between the provisions of this letter and the provisions of the Agreement, the provisions of this letter shall
prevail and govern. Except as specifically amended herein, all other terms and conditions of the Agreement remain and shall
continue in full force and effect.

 

	 	

 

	Agreed
    and accepted:	 
	 	 
	 	 
	MB&B
    Business Creation Ltd.	 
	 	 	 
	By:	Mordechai
    Bignitz	 
	Date:	21.5.18	 

 

I
hereby acknowledge and agree to the Agreement as amended pursuant to this letter.One
World Cannabis Ltd.

Consulting
Agreement

 

This
Agreement (“Agreement”) is entered into as of October 1, 2018 (the “Effective Date”), by
and between One World Cannabis Ltd., an Israeli company with offices at 30 Shaham St., Petach-Tikva, Israel (the “Company”)
and Kinarti Ltd., an Israeli Company No. 515530731 with its principal place of business at 204 Hanarkissim St., Bitsaron,
Israel (the “Consultant”).

 

Whereas
the Consultant wishes to provide services to the Company, and the Company wishes to receive such services, all pursuant to
the Specific Terms of Engagement and the General Terms of Engagement as set forth in this Agreement.

 

NOW,
THEREFORE, it is hereby agreed as follows:

 

Specific
Terms of Engagement 

 

The
specific terms of engagement of the Consultant (the “Specific Terms”) are as follows, in addition to the General
Terms of Engagement set forth below:

 

	Consultant’s
        Name

                                                                       and
                                                                       Contact Details
	Company
                                         Name:

        Company
        No:

        Address:
	Kinarti
        Ltd.

        515530731

        204
        Hanarkissim St., Bitsaron, Israel

 

	Description of Services	
        The Consultant shall provide pharmaceutical
        and operational management consulting services to the Company, and other related services as may be requested by the Company from
        time to time.

         

        Services shall be provided
        by Consultant solely through Oron Yacoby Zeevi (the “Representative”), unless otherwise agreed by the
        Company in advance and in writing.

         

        The Consultant may also provide such
        services to the Parent Company (as defined below), upon request of the Company (provided that the Company shall be required to
        pay all Fees).

	 	 
	Scope of Services;

                                                                                Additional Engagement
	
        The Consultant shall provide the Services
        in a scope of 2 days a week, on such days and times as shall be coordinated from time-to-time between the Consultant and the CEO
        of the Company. For the avoidance of doubt, it is hereby agreed that the Consultant shall not be entitled to any additional compensation
        with respect to additional hours in which services were provided, unless such additional work hours were prior approved in writing
        by the Company, at its sole discretion.

         

        The Consultant may engage in
        other paid or unpaid engagement, occupation or other business activities which are not in the field of medical and pharmaceutical
        formulations derived from and or utilizing cannabis and its CBD and or THC components, either natural or synthetic, and
        delivery systems specifically developed for the administration of the above (the “Field of Business”).
        The term Field of Business shall also include Formulations or carriers developed in the course of the work of the Company,
        which have medical effect, even if such formulations or carriers do not contain the above-mentioned cannabis components.
        If the Consultant and/or the Representative has or develops ideas or inventions, not in the Field of Business, which the
        Consultant believes may be of interest to the Company, the Consultant may offer these to the Company (the “Offer”),
        at the Consultant’s full discretion. The Company may choose to negotiate the terms of such Offer with the Consultant
        for a period of 6 months from the time of the Offer. If the Company declines the Offer, it shall issue a formal release
        to the Consultant declaring that such Offer is the sole property of the Consultant. The Consultant shall ensure that during
        the Term of Agreement, any engagement of the Consultant and/or the Representative in the Field of Business shall be subject
        to the Company’s prior written approval which shall be in its sole discretion.

	 	 

    	 

    	 

    

 

	Start
    Date	        ,
    2018
	 	 
	Term
    of Agreement	The
    terms of this Agreement are effective as of the Start Date and shall continue until terminated in accordance with Section
    2 of the General Terms of Employment hereunder.
	 	 
	Prior
Notice for Termination
	30
    days by either party.
	 	 
	Fees	A
    gross amount of NIS 31.000 per month, payable by no later than the 9th day following the end of the calendar month with respect
    to which the Fees are paid, subject to the receipt of a valid invoice and plus VAT, if applicable (the “Fees”).
    The Fees constitutes the full and final consideration for the Services, and neither Consultant nor Representative shall be
    entitled to any additional consideration, of any form, for the provided services.
	 	 
	Expenses	Consultant
    shall be entitled to reimbursement of expenses, based on the Company’s reimbursement policy, as shall be amended from
    time to time, and in addition, to any expenses which have been approved in advance and in writing by the CEO of the Company.

 

General
Terms of Engagement

 

	 	1.	Services.
                                         The Consultant will provide the Company with such services as described in the Specific
                                         Terms (the “Services”). The Consultant shall, and procure that the
                                         Representative shall, perform the Services diligently and in the Company’s best
                                         interests. All duties and obligations imposed upon Consultant in this Agreement shall
                                         be binding upon the Representative, and Consultant shall be liable for any breach of
                                         the terms of this Agreement by the Representative. In performance of the Services and
                                         this Agreement, Consultant and Representative shall comply with all applicable laws,
                                         ordinances, rules, regulations, orders, licenses, permits and other governmental requirements
                                         (including, but not limited to, any such requirements imposed upon the Company with respect
                                         to the Services). 

	 	 	 
	 	2.	Term
    and Termination. The Consultant’s engagement with the Company under this Agreement has begun or shall begin on the
    Start Date and shall continue for the term specified in the Specific Terms, unless earlier terminated by a party by a prior
    written notice of such number of days as specified in the Specific Terms. In addition, either party may by notice in writing
    immediately terminate this Agreement for in the event of a material breach by either party of its obligations under this Agreement,
    which has not been cured (if curable) within 7 days of receipt of written notice of such breach. For the avoidance of doubt,
    the undertakings in Sections 4-7 shall remain in full force and effect after termination of the Agreement (for any reason
    whatsoever). 
	 	 	 
	 	3.	Fees.
    The     Company will pay the Consultant as compensation for the Services and for its undertakings in this Agreement the Fees
    set forth in the Specific Terms. Except as specifically set forth herein, the Fees includes any and all payments to which
    Consultant is entitled hereunder and under any applicable laws, regulations or agreements. All tax consequences related to
    any consideration or benefit provided to the Consultant pursuant to this Agreement shall be borne by the Consultant and
    shall     be subject to any tax withholding deemed required by the Company under applicable law.

 

    	 	 	 

     

    

 

	 	4.	No
    Employment Relationship. The Consultant acknowledges that neither it nor the Representative is not an employee of the
    Company, but rather a service provider, that the Representative was offered the opportunity to serve as an employee of the
    Company and has expressly insisted not to be so employed, but rather enter into this Agreement with the Company as an independent
    Consultant and the terms of this Agreement, including the Fees, reflect such agreement between the parties. The Consultant
    hereby undertakes to indemnify and hold harmless the Company for any liability, damage, cost or expense (including, without
    limitation, legal and other reasonable expenses) caused to the Company, in connection with or as a result of a competent authority’s
    decision that the Consultant is or was, in fact, in spite of the aforesaid, an employee of the Company. Without derogating
    from the above, the parties hereby further agree that in the event that any competent court of law and/or other authority
    shall rule, in spite of the explicit agreement between the parties as aforesaid in the preamble and in this Section 4, that
    the relations between the parties hereto are employer-employee relations (a “Ruling”), then the following
    terms shall be in effect:

 

	 	4.1.	The
    Consultant shall not be entitled to the consideration due and/or paid to it under this Agreement, retroactive to the date
    upon which the Consultant commenced the provision of Services to the Company. The Consultant shall instead be entitled to
    receive a gross salary equal to 70% of the Fees (the “Reduced Consideration”). It is hereby agreed by the
    parties that the Reduced Consideration shall constitute fair and reasonable wages in the event of a Ruling.
	 	 	 
	 	4.2.	The
    parties shall settle their account, and the Consultant shall immediately repay the Company any amounts paid to it beyond the
    amounts in Section 4.1 above, together with interest and linkage differentials from the date of actual payment to the Consultant
    to the date of repayment to the Company.
	 	 	 
	 	4.3.	In
    the event that the Company shall be required to pay any amount or grant any right to any third party due to a Ruling, the
    Consultant shall indemnify and hold the Company harmless against any amount that it shall be required to pay to any such third
    party and/or against any other liability which the Company shall be required to bear due to such Ruling. For the purposes
    of this Section 4.3, the term “required” shall include without limitation any amounts paid for the settlement
    of a claim against the Company in this context, whether or not such claim has reached the courts.
	 	 	 
	 	4.4.	The
    Company shall be entitled to deduct any amounts due to the Company from the Consultant hereunder from any amount which it
    is required to pay to the Consultant or any third party, in accordance with or as a result of a Ruling, if any, or to set
    off such amounts from any debt. Nothing in this Section 4.4 shall be construed as releasing the Consultant from its obligation
    to repay any debts to the Company, if Company does not so deduct, or if the amounts so deducted shall be insufficient to cover
    the full amount due to the Company from the Consultant.

 

Each
reference to the Consultant in this Section (4) shall also be construed as reference to the Representative, mutatis mutandis.

 

	 	5.	Confidentiality;
    Proprietary Information.

 

	 	5.1.	The
    Consultant acknowledges that it may have access to confidential and proprietary information concerning the business and financial
    activities of the Company, including without limitation information relating to the Company’s research and development
    activities, investments, properties, Consultants, marketing plans, customers, suppliers, trade secrets, test results, processes,
    data, know-how, improvements, inventions, techniques, intellectual property and products (actual or planned). Such information,
    whether documentary, written, oral or computer generated, will be referred to as “Proprietary Information”.

 

    	 	 	 

     

    

 

	 	5.2.	The
    Consultant recognizes that the Company may receive confidential or proprietary information from third parties, subject to
    a duty on the Company’s part to maintain the confidentiality of such information and to use it only for certain limited
    purposes. In connection with such duties, such information will be deemed Proprietary Information hereunder. The Consultant
    will not, during its engagement with the Company, improperly use or disclose any proprietary information or trade secrets
    of any former or concurrent employer or other person or entity and will not bring onto the premises of the Company any unpublished
    document or proprietary information belonging to any such employer, person or entity unless consented to in writing by such
    employer, person or entity. 
	 	 	 
	 	5.3.	The
    Consultant agrees that all Proprietary Information and any patents, trademarks, copyrights and other intellectual property
    and ownership rights in connection therewith are and will be the sole property of the Company and its assigns. During Consultant’s
    engagement by the Company and thereafter, the Consultant will keep in confidence and trust all Proprietary Information as
    well as the terms of the Consultant’s engagement, and will not use or disclose Proprietary Information without the written
    consent of the Company, except as may be necessary in the ordinary course of performing Consultant’s duties under the
    Agreement. 
	 	 	 
	 	5.4.	Upon
    the Company’s demand, Consultant shall return to the Company all documents or materials or copies thereof containing
    any Proprietary Information and shall erase any electronic record thereof. 
	 	 	 
	 	5.5.	For
    the purposes this Agreement, Confidential Information shall also include any information as detailed above with respect to
    the Company’s Parent Company, OWC Pharmaceutical Research Corp. (the “Parent Company”). The Consultant
    hereby acknowledges that the Parent Company is a publicly traded company. As such, it agrees not to use any Confidential Information
    or other information of the Company or the Parent Company in connection with the purchase or sale of the securities of the
    Parent Company in violation of United States or other applicable securities laws.
	 	 	 
	 	5.6.	Each
    reference to the Consultant in this Section (5) shall also be construed as reference to the Representative, mutatis mutandis.

 

	 	6.	Disclosure
    and Assignment of Inventions.

 

	 	6.1.	The
    Consultant undertakes to promptly disclose in confidence to the Company all inventions, improvements, designs, concepts, techniques,
    methods, systems, processes, know how, computer software programs, databases, mask works and trade secrets and other intellectual
    property whatsoever whether or not patentable, copyrightable or protectable as trade secrets (the “Inventions”),
    that are made or conceived or first reduced to practice or created by the Consultant, either alone or jointly with others
    during the course of and in connection with the Consultant’s engagement with the Company. 
	 	 	 
	 	6.2.	The
    Consultant agrees that all Inventions that (a) are or were developed using equipment, supplies, facilities or trade secrets
    of the Company, (b) resulted or result from work performed by the Consultant for the Company, or (c) relate to the Company’s
    business, activities, services, products or research and development (whether current or anticipated) will be the sole and
    exclusive property of the Company and the Consultant will have no rights in or thereto (“Company Inventions”).
    
	 	 	 
	 	6.3.	The
    Consultant agrees that the Consultant will not incorporate, or permit to be incorporated, any Inventions which are not Company
    Inventions in any Company Inventions without the Company’s prior written consent. If however, despite the prohibition
    in the preceding sentence, the Consultant incorporates an Invention that is not a Company Invention into a Company product,
    process or machine, then without derogating from any remedies available to the Company in such case, the Company shall be
    deemed to have been granted by the Consultant a nonexclusive, royalty-free, irrevocable, perpetual, worldwide license (with
    rights to sublicense through multiple tiers of sublicensees) to make, have made, modify, use and sell such Invention.

 

    	 	 	 

     

    

 

	 	6.4.	The
    Consultant hereby irrevocably transfers and assigns to the Company, without further compensation, all worldwide patents, patent
    applications, copyrights, mask works, trade secrets and other intellectual property rights in any Company Invention, and waives
    any and all moral rights that Consultant may have in or with respect to any Company Invention. The Consultant expressly waives
    any right to any consideration or compensation whatsoever with regard to the Company Inventions and the assignment, use or
    commercialization thereof, including without limitation any royalty payment and other payment with respect thereto (and including
    without limitation under Section 134 of the Israeli Patent Law - 1967, to the extent applicable).
	 	 	 
	 	6.5.	The
    Consultant undertakes to make its best efforts to assist the Company, at the Company’s expense, in every proper way
    to obtain for the Company and enforce patents, copyrights, mask work rights, and other legal protections for the Company’s
    Inventions in any and all countries. The Consultant will execute any documents that the Company may reasonably request for
    use in obtaining or enforcing such patents, copyrights, mask work rights, trade secrets and other legal protections. Such
    obligation will continue beyond the termination of the Consultant’s engagement with the Company. The Consultant hereby
    irrevocably designates and appoint s the Company and its officers and agents as the Consultant’s agent and attorney
    in fact, coupled with an interest to act for and on Consultant’s behalf and in Consultant’s stead to execute and
    file any document needed to apply for or prosecute any patent, copyright, trademark, trade secret, any applications regarding
    same or any other right or protection relating to any Proprietary Information (including Company Inventions), and to do all
    other lawfully permitted acts to further the prosecution and issuance of patents, copyrights, trademarks, trade secrets or
    any other right or protection relating to any Proprietary Information (including Company Inventions), with the same legal
    force and effect as if executed by the Consultant.
	 	 	 
	 	6.6.	Each
    reference to the Consultant in this Section (6) shall also be construed as reference to the Representative, mutatis mutandis.

 

	 	7.	Non-Competition;
    Non-Solicitation.

 

	 	7.1.	In
    order to enable the Company to effectively protect its Proprietary Information, the Consultant undertakes that, so long as
    the Consultant is engaged by the Company and for a period of twelve (12) months thereafter, the Consultant will not, directly
    or indirectly, as owner, employee, agent, or in any capacity whatsoever engage in, become financially interested in, be employed
    by, render services to, or have any connection with any business or venture that is engaged in any activities involving products,
    information, processes, technology or equipment that are competitive to those of the Company.
	 	 	 
	 	 	The
    Company knows and approves that the Consultant is a founder and a director in a company that in the future intends “to
    provide certain services to growing and flowering companies of medical cannabis, including marketing services, professional
    services and the development of ancillary products relating to cannabis”. Notwithstanding the above, the Consultant
    will be required to obtain approval for any services to be given for such ancillary product development on a case-by-case
    basis from the Company.
	 	 	 
	 	7.2.	The
    Consultant agrees and undertakes that during the period of the Consultant’s engagement with the Company and for a period
    of twelve months thereafter, the Consultant will not, directly or indirectly, including personally or in any business in which
    Consultant is an officer, director or shareholder, for any purpose or in any place solicit (i) for employment any person employed
    by the Company (or retained by the Company as a consultant or service provider) on the date of such termination or during
    the preceding twelve months, and (ii) the business of any customer of the Company for the purpose of offering services or
    products which compete with the services or products supplied to such customer by the Company.
	 	 	 
	 	7.3.	Each
    reference to the Consultant in this Section (7) shall also be construed as reference to the Representative, mutatis mutandis.

 

	 	8.	Representations
    and Warranties by Consultant. Consultant represents and warrants to Company that the execution and delivery of this Agreement
    and the fulfillment of the terms hereof by Consultant (i) will not constitute a default under or conflict with any agreement
    or other instrument to which Consultant is a party or by which Consultant is bound; (ii) will not result in a breach of any
    confidentiality undertaking to any third party, and (iii) do not require the consent of any person or entity.
	 	 	 
	 	 	The
    Consultant further acknowledges and agrees (i) to the transfer of any information concerning the Consultant and held by the
    Company to a database (including a database located abroad) and to third parties in general, as is reasonable for business
    purposes or in pursuit of the Company’s business interests; (ii) to protect the good name of the Company and not to
    perform any act that may bring the Company into disrepute; (iii) to use any equipment (such as laptop) and access to systems
    (such as email system) provided to the Consultant by the Company for purposes related to the Consultant’s engagement;
    (iv) that all information, content and data on the Company’s computers and telephones, including electronic mail transmissions,
    Internet usage, messages and data whether sent from, received by, or stored in or upon the Company’s computers or communications
    systems are the property of the Company, regardless of the form and/or content of these messages and data, and the Company
    shall have the right to conduct inspections of such property. The Consultant should not consider messages and data sent from,
    received by, or stored in or upon the Company’s computer, telephones and communications systems to be private and should
    not send, receive, or store sensitive personal or private information using these systems. The Consultant is deemed to have
    consented to any reasonable use, transfer and disclosure of all messages and data contained or sent by the Consultant (if
    any) via the Company’s computer, telephones and communications systems, including electronic mail.
	 	 	 
	 	 	Each
    reference to the Consultant in this Section (8) shall also be construed as reference to the Representative, mutatis mutandis.
	 	 	 
	 	9.	Policies
    and Guidelines. Each of the Consultant and the Representative undertake to abide by and at all times be in compliance
    with the policies, guidelines and regulations which are and shall be established by the Company.
	 	 	 
	 	10.	General.
    Words and expressions herein importing the masculine gender shall include the feminine gender and words and expressions importing
    persons shall include bodies corporate, and vice versa. This Agreement constitutes the entire understanding between the parties
    supersedes any and all prior discussions, agreements and correspondence with respect to the matters referred to herein. This
    Agreement shall be governed by the laws of the State of Israel, excluding its conflict of law rules, and the courts of Tel-Aviv-Jaffa
    shall have exclusive jurisdiction over the parties. This Agreement may not be assigned by Consultant and the performance of
    the Services may not be sub-contracted by Consultant, without the prior written consent of the Company. The Company may freely
    assign its rights and obligations herein. This Agreement may not be amended or modified, except by the written consent of
    both parties hereto. No failure or delay on the part of any party hereto in exercising any right, power or remedy hereunder
    shall operate as a waiver thereof. Headings to Sections herein are for the convenience of the parties only and are not intended
    to be or to affect the meaning or interpretation of this Agreement. In the event that any covenant, condition or other provision
    contained in this Agreement is held to be invalid, void or illegal by any court of competent jurisdiction, the same shall
    be deemed severable from the remainder thereof, and shall in no way affect, impair or invalidate any other covenant, condition
    or other provision therein contained.

 

[Signature
Page Follows]

 

    	 

    	 

    

 

IN
WITNESS WHEREOF, the parties have executed this Agreement as of the date first above written.

 

	One
    World Cannabis Ltd.	 	Kinarti
    Ltd.
	 	               	 	 	              
	 		 	 	
	By:	 	 	By:	 

 

The
undersigned agrees to be bound by the terms of Sections 4-9 of the General Terms of Engagement, as if she was the Consultant.

 

		 
	Oron
    Yacoby Zeevi

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