Document:

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Exhibit 4.1

THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER
THE SECURITIES ACT OF 1933, AS AMENDED (THE "ACT"). THE SECURITIES HAVE BEEN
ACQUIRED FOR INVESTMENT PURPOSES ONLY AND NOT WITH A VIEW TO DISTRIBUTION OR
RESALE, AND MAY NOT BE SOLD, TRANSFERRED, MADE SUBJECT TO A SECURITY INTEREST,
PLEDGED, HYPOTHECATED, OR OTHERWISE DISPOSED OF UNLESS AND UNTIL REGISTERED
UNDER THE ACT OR AN OPINION OF COUNSEL FOR THE COMPANY IS RECEIVED THAT
REGISTRATION TO EFFECT A SALE OR TRANSFER IS NOT REQUIRED UNDER SUCH ACT.

              -----------------------------------------------------

                                 TRIMEDYNE, INC.

           12% SENIOR CONVERTIBLE SECURED NOTE, DUE ___________, 2007

$_____________                                          Dated: ___________, 2002
                                                           Irvine, California

FOR VALUE RECEIVED, the undersigned TRIMEDYNE, INC. (herein called the
"Company"), a corporation organized and existing under the laws of the State of
Nevada, hereby promises to pay to the order of _____________________________
(the "Holder") the principal amount of _____________________________________
Dollars ($_______________) and the interest thereon from the date hereof at the
rate of 12% per annum.

The principal of this Note shall be payable in full on __________, 2007(the
"Maturity date"). This Note is one of the Company's 12% Senior Convertible
Secured Notes (the "Notes"), to be originally issued in the maximum aggregate
principal amount of $1,000,000.

Interest shall be computed on the basis of a year of three hundred sixty (360)
days. Interest is payable on each December 31 from the date hereof through
December 31, 2006 and on the Maturity Date. Any interest payment not paid when
due shall accrue and be payable on the Maturity Date. The Notes are subject to
the following:

         1. CONVERSION

         (a) RIGHT TO CONVERT. Subject to the terms and conditions of this
Section 1, the Holder of this Note shall have the right, at its option, at any
time or times, but prior to the closing date of a Call pursuant to subparagraph
(n) or the payment of this Note in full, to convert all or any portion of the
unpaid principal amount of this Note and any unpaid interest due thereon into
such number of fully paid and nonassessable whole shares of Common Stock (as
hereinafter defined) of the Company as is obtained by dividing the principal
amount of this Note and any unpaid interest due thereon to be converted by the
conversion price of $_____ per share (such price, or such price as last adjusted
pursuant to the terms of this Note, being referred to herein as the "Conversion
Price"). Such rights of conversion shall be exercised by the Holder by giving

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written notice that it elects to convert a stated unpaid principal amount of
this Note into Common Stock and by surrender of this Note at the Company's
principal office (or such other office or agency of the Company as the Company
may designate by notice in writing to the Holder of this Note) at any time
during the Company's usual business hours on the date set forth in such notice,
together with a statement of the name or names (with address) in which the
certificate or certificates for shares of Common Stock shall be issued.
Notwithstanding the foregoing: (i) upon any liquidation of the Company or (ii)
five days after delivery of a notice of prepayment given in accordance with
Section 6 below, or (iii) at the close of business on the last full business day
preceding the date fixed for payment of the amount payable on this Note, as the
case may be, the right of conversion shall terminate, unless, in the case of
such notice of prepayment, such prepayment has not been made on the date so
noticed for prepayment.

         (b) OTHER REQUIRED INSTRUMENTS AND DOCUMENTS. The delivery of the above
notice of election to convert by the Holder of this Note shall be accompanied by
a written instrument or instruments of transfer, in form satisfactory to the
Company, duly executed by the registered Holder or by his attorney duly
authorized in writing.

         (c) ISSUANCE OF CERTIFICATES; TIME CONVERSION EFFECTED. Promptly after
receipt of the written notice referred to in paragraph (b) above, the surrender
of this Note and the delivery of the instruments and documents referred to in
subparagraph (b) above, the Company shall issue and deliver, or cause to be
issued and delivered, to the Holder, registered in such name or names as the
Holder may direct, a certificate or certificates for the number of whole shares
of Common Stock issuable upon the conversion of such unpaid principal amount of
this Note. To the extent permitted by law, such conversion shall be deemed to
have been effected and the Conversion Price shall be determined as of the close
of business on the date on which such written notice is received by the Company
and this Note and the instruments and documents referred to above shall have
been surrendered and delivered as aforesaid. At such time, the rights of the
Holder of this Note, to the extent of the principal amount thereof to be
converted, shall cease, and the person or persons in whose name or names any
certificate or certificates for shares of Common Stock shall be issuable upon
such conversion shall become the holder or holders of record of the shares of
Common Stock represented thereby.

         (d) FRACTIONAL SHARES; DIVIDENDS; PARTIAL CONVERSION. No fractional
shares shall be issued upon conversion of the principal amount of this Note or
any portion thereof, and no payment or adjustment shall be made upon any
conversion on account of any cash dividends on the Common Stock issued upon such
conversion. At the time of each conversion, the Company shall pay in cash an
amount equal to all interest accrued and unpaid on the principal amount of this
Note to be converted to the date upon which such conversion is deemed to take
place as provided in subparagraph (c) above. In case of the conversion of only a
portion of the unpaid principal amount of this Note, the Holder, at its option,
may require the Company to execute and deliver at the expense of the Company
(other than for transfer taxes, if any), upon surrender of this Note, a new Note
registered in the name of such person or persons as may be designated by such
Holder for the principal amount of this Note then remaining unpaid, dated as of
the date to which interest has been paid on the principal amount of this Note
then remaining unpaid, or may present this Note to the Company for notation
hereon of the payment of the portion of the principal amount of this Note so
converted. If any fractional interest in a share of Common Stock would, except
for the provisions of the first sentence of this subparagraph (d), be
deliverable upon any such conversion, the Company, in lieu of delivering the
fractional share thereof, shall pay to the Holder surrendering this Note for
conversion an amount in cash equal to such fractional interest multiplied by the
Conversion Price.

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                  (e) ADJUSTMENT OF CONVERSION PRICE UPON ISSUANCE OF COMMON
         SHARES. If and whenever the Company shall issue after the date hereof
         or sell, or in accordance with subsections (i) through (vii) below
         shall be deemed to have issued or sold, any shares of its Common Stock
         for a consideration per share less than the Conversion Price in effect
         immediately prior to the time of such issue or sale, then, forthwith
         upon such issue or sale, the Conversion Price shall be reduced to the
         price at which such shares of Common stock were sold (calculated to the
         nearest cent). However, no later sale of Common Stock at a price higher
         than the Conversion Price shall cause the Conversion Price to be
         increased.

         No adjustment of the Conversion Price, however, shall be made in an
amount less than $.01 per share, and any such lesser adjustment shall be carried
forward and shall be made at the time and together with the next subsequent
adjustment which together with any adjustments so carried forward shall amount
to $.01 per share or more.

         For purposes of this subparagraph (e), the following subsections (i) to
(vii) shall also be applicable:

                  (i) ISSUANCE OF RIGHTS OR OPTIONS. Except for securities
         granted to officers, directors, employees or bona-fide consultants of
         the Company pursuant to an "employee benefit plan" as such term is
         defined in Rule 405 of the Act, in case if, at any time, the Company
         shall in any manner grant (whether directly or by assumption in a
         merger or otherwise) any rights to subscribe for or to purchase, or any
         options for the purchase of, Common Stock or any stock or securities
         convertible into or exchangeable for Common Stock (such rights or
         options being herein called "Options" and such convertible or
         exchangeable stock or securities being herein called "Convertible
         Securities"), whether or not such Options, or the right to convert or
         exchange any such Convertible Securities are immediately exercisable,
         and if the price per share for which Common Stock is issuable upon the
         exercise of such Options or upon conversion or exchange of such
         Convertible Securities (determined by dividing (1) the total amount, if
         any, received or receivable by the Company as consideration for the
         granting of such Options, plus the minimum aggregate amount of
         additional consideration payable to the Company upon the exercise of
         all such Options, plus, in the case of such Options which relate to
         Convertible Securities, the minimum aggregate amount of additional
         consideration, if any, payable upon the issue or sale of such
         Convertible Securities and upon the conversion or exchange thereof, by
         (2) the total maximum number of shares of Common Stock issuable upon
         the exercise of such Options or upon the conversion or exchange of all
         such Convertible Securities issuable upon the exercise of such Options)
         shall be less than the Conversion Price in effect immediately prior to
         the time of the granting of such Options, then, the total maximum
         number of shares of Common Stock issuable upon the exercise of such
         Options or upon conversion or exchange of the total maximum amount of
         such Convertible Securities issuable upon the exercise of such Options
         shall be deemed to have been issued for such price per share as of the

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         date of granting of such Options and thereafter shall be deemed to be
         outstanding. Except as otherwise provided in subsection (iii), no
         further adjustment of the Conversion Price shall be made upon the
         actual issue of such Common Stock or of such Convertible Securities
         upon exercise of such Options or upon the actual issue of such Common
         Stock upon conversion or exchange of such Convertible Securities.

                  (ii) ISSUANCE OF CONVERTIBLE SECURITIES. If the Company shall
         in any manner issue (whether directly or by assumption in a merger or
         otherwise) or sell any Convertible Securities, whether or not the
         rights to exchange or convert thereunder are immediately exercisable,
         and if the price per share for which Common Stock is issuable upon such
         conversion or exchange (determined by dividing (1) the total amount
         received or receivable by the Company as consideration for the issue or
         sale of such Convertible Securities, plus the minimum aggregate amount
         of additional consideration, if any, payable to the Company upon the
         conversion or exchange thereof, by (2) the total maximum number of
         shares of Common Stock issuable upon the conversion or exchange of all
         such Convertible Securities) shall be less than the Conversion Price in
         effect immediately prior to the time of such issue or sale, then, the
         total maximum number of shares of Common Stock issuable upon conversion
         or exchange of all such Convertible Securities shall be deemed to have
         been issued for such price per share as of the date of the issue or
         sale of such Convertible Securities and thereafter shall be deemed to
         be outstanding; provided, however, that (A) except as otherwise
         provided in subsection (iii) below, no adjustment of the Conversion
         Price shall be made upon the actual issue of such Common Stock upon
         conversion or exchange of such Convertible Securities, and (B) if any
         such issue or sale of such Convertible Securities is made upon exercise
         of any Option to purchase any such Convertible Securities for which
         adjustments of the Conversion Price have been or are to be made
         pursuant to other provisions of this subparagraph (e), no further
         adjustment of the Conversion Price shall be made by reason of such
         issue or sale.

                  (iii) CHANGE IN OPTION PRICE OR CONVERSION RATE. Upon the
         happening of any of the following events: if the purchase price
         provided for in any Option referred to in subparagraph (i), the
         additional consideration, if any, payable upon the conversion or
         exchange of any Convertible Securities referred to in subparagraph (i)
         or (ii), or the rate at which any Convertible Securities referred to in
         subparagraph (i) or (ii) are convertible into or exchangeable for
         Common Stock shall change at any time (other than under or by reason of
         provisions designed to protect against dilution), then, the Conversion
         Price in effect at the time of such event shall forthwith be readjusted
         to the Conversion Price which would have been in effect at such time
         had such Options or Convertible Securities still outstanding provided
         for such changed purchase price, additional consideration or conversion
         rate, as the case may be, at the time initially granted, issued or
         sold; and on the expiration of any such Option or termination of any
         such right to convert or exchange such Convertible Securities, the
         Conversion Price then in effect hereunder shall forthwith be increased
         to the Conversion Price which would have been in effect at the time of
         such expiration or termination as if such Option or Convertible
         Securities (to the extent outstanding immediately prior to such
         expiration or termination) had never been issued, and the Common Stock
         issuable thereunder shall no longer be deemed to be outstanding. If the
         purchase price provided for in any such Option referred to in
         subparagraph (i) or the rate at which any Convertible Securities
         referred to in subparagraph (i) or (ii) are convertible into or

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         exchangeable for Common Stock shall be reduced at any time under or by
         reason of provisions with respect thereto designed to protect against
         dilution, then, in case of the delivery of Common Stock upon the
         exercise of any such Option or upon conversion or exchange of any such
         Convertible Securities, the Conversion Price then in effect hereunder
         shall forthwith be adjusted to the amount which would have been
         obtained had such Option or Convertible Securities never been issued as
         to such Common Stock and had adjustments been made upon the issuance of
         the shares of Common Stock delivered as aforesaid, but only if as a
         result of such adjustment the Conversion Price then in effect hereunder
         is thereby reduced.

                  (iv) STOCK DIVIDENDS. In case the Company shall declare a
         dividend or make any other distribution upon any stock of the Company
         payable in Common Stock, Options or Convertible Securities, then, any
         Common Stock, Options or Convertible Securities, as the case may be,
         issuable in payment of such dividend or distribution shall be deemed to
         have been issued or sold without consideration.

                  (v) CONSIDERATION FOR STOCK. In case any shares of Common
         Stock, Options or Convertible Securities shall be issued or sold for
         cash, the consideration received therefor shall be deemed to be the
         amount received by the Company therefor, without deduction therefrom of
         any expenses incurred or any underwriting commissions or concessions
         paid or allowed by the Company in connection therewith. If any shares
         of Common Stock, Options or Convertible Securities shall be issued or
         sold for a consideration other than cash, the amount of the
         consideration other than cash received by the Company shall be deemed
         to be the fair value of such consideration as determined in good faith
         by the Board of Directors of the Company, without deduction of any
         expenses incurred or any underwriting commissions or concessions paid
         or allowed by the Company in connection therewith. If any Options shall
         be issued in connection with the issue and sale of other securities of
         the Company, together compromising one integral transaction in which no
         specific consideration is allocated to such Options by the parties
         thereto, such Options shall be deemed to have been issued without
         consideration.

                  (vi) RECORD DATE. In case the Company shall take a record of
         the holders of its Common Stock for the purpose of entitling them (1)
         to receive a dividend or other distribution payable in Common Stock,
         Options or Convertible Securities, or (2) to subscribe for or purchase
         Common Stock, Options or Convertible Securities, then such record date
         shall be deemed to be the date of the issue or sale of the shares of
         Common Stock deemed to have been issued or sold upon the declaration of
         such dividend or the making of such other distribution or the date of
         the granting of such right of subscription or purchase, as the case may
         be.

                  (vii) TREASURY SHARES. The number of shares of Common Stock
         outstanding at any given time shall not include shares owned or held by
         or for the account of the Company, and the disposition of any such
         shares shall be considered an issue or sale of Common Stock for the
         purposes of this subparagraph (e).

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         (f) REORGANIZATION OR RECLASSIFICATION. If any capital reorganization
or reclassification of the capital stock of the Company shall be effected in
such a way that holders of Common Stock shall be entitled to receive stock,
securities or assets with respect to or in exchange for Common Stock, then, as a
condition of such reorganization or reclassification, lawful and adequate
provision (in form satisfactory to the holders of at least 66 2/3% of the unpaid
principal amount of the Notes) shall be made whereby each holder of a Note shall
thereafter have the right to receive, upon the basis and upon the terms and
conditions specified herein and in lieu of the shares of Common Stock of the
Company immediately theretofore receivable upon the conversion of the Notes,
securities or assets as may be issued or payable with respect to or in exchange
for that number of outstanding shares of such Common Stock equal to the number
of shares of such stock immediately theretofore so receivable had such
reorganization or reclassification not taken place, and in any such case
appropriate provision shall be made with respect to the rights and interests of
such holders to the end that the provisions hereof (including without limitation
provisions for adjustments of the Conversion Price) shall thereafter be
applicable, as nearly as may be practicable, in relation to any shares of stock,
securities or assets thereafter deliverable upon the exercise of such conversion
rights (including an immediate adjustment, by reason of such reorganization or
reclassification, of the Conversion Price to the value for the Common Stock
reflected by the terms of such reorganization or reclassification if the value
so reflected is less than the Conversion Price in effect immediately prior to
such reorganization or reclassification). In the event of a merger or
consolidation of the Company as a result of which a greater or lesser number of
shares of Common Stock of the surviving corporation are issuable to holders of
Common Stock of the Company outstanding immediately prior to such merger or
consolidation, the Conversion Price in effect immediately prior to such merger
or consolidation shall be adjusted in the same manner as though there were a
subdivision or combination of the outstanding shares of Common Stock of the
Company. The Company will not effect any such consolidation, merger, or any sale
of all or substantially all of its assets or properties, unless prior to the
consummation thereof the successor corporation (if other than the Company)
resulting from such consolidation or merger of the corporation purchasing such
assets shall assume, by written instrument (in form reasonably satisfactory to
the holders of at least 66 2/3% in principal amount of the Notes then
outstanding), executed and mailed or delivered to each holder of Notes at the
last address of such holder appearing on the books of the Company, the
obligation to deliver to such holder such shares of stock, securities or assets
as, in accordance with the foregoing provisions, such holder may be entitled to
receive.

         (h) CERTAIN ISSUES OF COMMON STOCK EXCEPTED. Notwithstanding any other
provision of this Note, the Company shall not be required to make any adjustment
of the Conversion Price in the case of the issuance of shares of Common Stock
issuable upon the exercise of options granted or to be granted under any of the
Company's stock option plans for officers, directors, employees and consultants
(or any options to be issued under such plan) or any Warrants granted by the
Company in lieu of such options

         (i) NOTICE OF ADJUSTMENT. Upon any adjustment of the Conversion Price,
then, and in each such case, the Company shall give written notice thereof, by
first-class mail, postage prepaid, addressed to each Holder of Notes at the
address of such Holder as set forth in the register maintained by the Company
for the registration of transfer and exchange of Notes, which notice shall state
the Conversion Price resulting from such adjustment, and shall set forth in
reasonable detail the method of calculation and the facts upon which such
calculation is based.

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         (j) OTHER NOTICES. In case at any time:

                  (i) the Company shall declare any dividend upon its Common
         Stock payable in cash or stock or make any other distribution to the
         holders of its Common Stock;

                  (ii) the Company shall offer for subscription pro rata to the
         holders of its Common Stock any additional shares of stock of any class
         or other rights;

                  (iii) there shall be any capital reorganization or
         reclassification of the capital stock of the Company, or a
         consolidation or merger of the Company with, or a sale of all or
         substantially all its assets to, another corporation; or

                  (iv) there shall be a voluntary or involuntary dissolution,
         liquidation or winding up of the Company;

then, in any one or more of said cases, the Company shall give, by first-class
mail, postage prepaid, addressed to the Holder at the address as set forth in
the register maintained by the Company for the registration of transfer and
exchange of Notes, (A) at least 20 days' prior written notice of the date on
which the books of the Company shall close or a record shall be taken for such
dividend, distribution or subscription rights or for determining rights to vote
in respect or any such reorganization, reclassification, consolidation, merger,
sale, dissolution, liquidation or winding up, and (B) in the case of any such
reorganization, reclassification, consolidation, merger, sale, dissolution,
liquidation or winding up, at least 20 days' prior written notice of the date
when the same shall take place. Such notice in accordance with the foregoing
clause (A) shall also specify, in the case of any such dividend, distribution or
subscription rights, the date on which the holders of Common Stock shall be
entitled thereto, and such notice in accordance with the foregoing clause (B)
shall also specify the date on which the holders of Common Stock shall be
entitled to exchange their Common Stock for securities or other property
deliverable upon such reorganization, reclassification, consolidation, merger,
sale, dissolution, liquidation or winding up, as the case may be.

         (k) STOCK TO BE RESERVED. The Company will at all times reserve and
keep available out of its authorized Common Stock or its treasury shares, solely
for the purpose of issue upon the conversion of the Notes as herein provided,
such number of shares of Common Stock as shall then be issuable upon the
conversion of the unpaid principal amount of all outstanding Notes (including,
without limitation, any additional shares issuable by virtue of adjustments of
the Conversion Price hereunder or certain defaults with respect to this Note).
The Company covenants that all shares of Common Stock which shall be so issued
shall be duly and validly issued and fully paid and nonassessable and free from
all taxes, liens and charges with respect to the issue thereof, and, without
limiting the generality of the foregoing, the Company covenants that it will
from time to time take all such action as may be necessary to assure that the
par value per share of the Common Stock is at all times equal to or less than
the effective Conversion Price. The Company will take all such action as may be
necessary to assure that all such shares of Common Stock may be so issued
without violation of any applicable law or regulation, or of any requirements of
any national securities exchange upon which the Common Stock of the Company may
be listed. The Company will not take any action which results in any adjustment
of the Conversion Price if the total number of shares of Common Stock issued and
issuable after such action upon conversion of the Notes would exceed the total
number of shares of Common Stock then authorized by the Company's Certificate of
Incorporation.

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         (l) ISSUE TAX. The issuance of certificates for shares of Common Stock
upon conversion of the Notes shall be made without charge to the holders thereof
for any issuance tax in respect thereof, provided that the Company shall not be
required to pay any tax which may be payable in respect of any transfer involved
in the issuance and delivery of any certificate in a name other than that of the
holder of the Note the principal amount of which is being converted.

         (m) CLOSING OF BOOKS. The Company will at no time close its transfer
books against the transfer of any Notes or of any shares of Common Stock issued
or issuable upon the conversion of any Note in any manner which interferes with
the timely conversion of such Note.

         (n) CALL PROVISIONS. This Note may be called (i.e., prepaid), at a
price equal to face value plus accrued interest to the date of prepayment, on
ten days prior written notice, at any time, provided the price of the Common
Stock, for a period of twenty consecutive trading days for the principal market
on which the Common Stock is traded or quoted, is equal to or higher than 200%
of the Conversion Price.

         (o) DEFINITIONS. The term "Common Stock" shall mean and include the
Company's Common Stock, $0.01 par value per share, and any stock resulting from
the reclassification of such Common Stock, and shall also include any capital
stock of any class or classes (however designated) of the Company thereafter
authorized, the holders of which have the right either to all or to a share of
the balance of current or liquidating dividends after the payment of dividends
and distributions with respect to any shares entitled to preference. The term
"Holder" shall mean and include any transferees of the Note.

         2. NO DISTRIBUTIONS OR DIVIDENDS. For as long as any of the Notes are
outstanding, except with the written consent of the holders of 67% of the then
outstanding Notes, no cash dividends or distributions may be paid on the Common
Stock.

         3. COLLATERAL. Payment of the Notes (including accrued interest) shall
be secured by all of the assets owned by the Company on the Maturity Date which
were not pledged as security on the date of this Note.

         4. RIGHTS TO REGISTRATION, ETC. The registered holder hereof is
entitled to the registration rights with respect to the underlying Common Shares
(the "Registered Stock") under the Securities Act of 1933 as follows:

         (a) PIGGYBACK RIGHTS. If the Company at any time proposes to register
any of its securities under the Act for sale to the public, whether for its own
account or for the account of other security holders or both (except with
respect to registration statements on Forms S-4, S-8 or another form not
available for registering the Restricted Stock for sale to the public), each
such time it will give written notice to all holders of outstanding Restricted
Stock of its intention so to do. Upon the written request of any such holder,
received by the Company within 15 days after the giving of any such notice by
overnight delivery and by fax with receipt confirmed by the Company, to register
any of its Restricted Stock ("Piggyback Rights Notice"), the Company will use
its best efforts to cause the Restricted Stock as to which registration shall
have been so requested to be included in the securities to be covered by the

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registration statement proposed to be filed by the Company, all to the extent
requisite to permit the sale or other disposition by the holder of such
Restricted Stock so registered. The Piggyback Rights Notice shall specify in
detail the terms and conditions of such registration and shall include copies of
any underwriter's commitment and all other agreements and commitments then
available with respect to the proposed price and method of distribution of
securities and such other information reasonably requested by Holder to enable
Holder to exercise its rights hereunder. In the event that any registration
shall be, in whole or in part, an underwritten public offering of Common Stock,
the number of shares of Restricted Stock to be included in such an underwriting
may be reduced (pro rata among the requesting holders based upon the number of
shares of Restricted Stock owned by such holders) if and to the extent that the
managing underwriter shall be of the opinion that such inclusion would adversely
affect the marketing of the securities to be sold by the Company therein.

                  (b) REGISTRATION PROCEDURES. If and whenever the Company
registers any shares of Restricted Stock under the Act, the Company will, as
expeditiously as possible:

                           (i) prepare and file with the Commission a
registration statement with respect to such securities and use its best efforts
to cause such registration statement to become and remain effective for the
period equal to the earlier of the sale of all of the Restricted Stock or 12
months from the date hereof;

                           (ii) prepare and file with the Commission such
amendments and supplements to such registration statement and the prospectus
used in connection therewith as may be necessary to keep such registration
statement effective for the period specified in paragraph (i) above and comply
with the provisions of the Act with respect to the disposition of all Restricted
Stock covered by such registration statement in accordance with the sellers'
intended method of disposition set forth in such registration statement for such
period;

                           (iii) furnish to each seller of Restricted Stock such
number of copies of the registration statement and the prospectus included
therein (including each preliminary prospectus) as such persons reasonably may
request in order to facilitate the public sale o other disposition of the
Restricted Stock covered by such registration statement;

                           (iv) use its best efforts to register or qualify the
Restricted Stock covered by such registration statement under the securities or
"blue sky" laws of New York and California; provided however the Company shall
not be required to register the Restricted Stock in a jurisdiction where as a
condition to do so the Company must qualify as a foreign corporation in such
jurisdiction and the Company would not otherwise be required to so qualify.

                           (v) use its best efforts to list the Restricted Stock
covered by such registration statement on NASDAQ or with any securities exchange
on which the Common Stock of the Company is then listed;

                           (vi) immediately notify each seller of Restricted
Stock at any time when a prospectus relating thereto is required to be delivered
under the Securities Act, of the happening of any event of which the Company has
knowledge as a result of which the prospectus contained in such registration
statement, as then in effect, includes an untrue statement of a material fact or
omits to state a material fact required to be stated therein or necessary to
make the statements therein not misleading under the circumstances then
existing; and

                           (vii) provide copies for each seller of Restricted
Stock and any attorney, accountant or other agent retained by such seller, all
financial and other records, pertinent corporate documents and properties of the
Company.

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                  (c) NOTEHOLDER INFORMATION. In connection with each
registration hereunder, the sellers of Restricted Stock will promptly furnish to
the Company in writing such information with respect to themselves and the
proposed distribution by them as reasonably shall be necessary in order to
assure compliance with federal and applicable state securities laws, and shall
indemnify the Company for any liabilities arising from such information. The
Company's obligation to register the Registered Stock shall be negated in the
event a Holder does not cooperate with the Company in providing the necessary
information in a timely manner.

                (d) EXPENSES. All expenses incurred by the Company including,
without limitation, all registration and filing fees, printing expenses, fees
and disbursements of counsel and independent public accountants for the Company,
fees and expenses (including the Company's counsel fees) incurred in connection
with the Company's complying with state securities or "blue sky" laws, fees of
the National Association of Securities Dealers, Inc., transfer taxes, fees of
transfer agents and registrars, costs of insurance but excluding any Selling
Expenses, are called "Registration Expenses". All underwriting discounts and
selling commissions applicable to the sale of Restricted Stock are called
"Selling Expenses".

         The Company will pay all Registration Expenses in connection with each
registration statement filed hereunder. All Selling Expenses in connection with
each registration statement shall be borne by the participating sellers in
proportion to the number of shares sold by each, or by such participating
sellers other than the Company (except to the extent the Company shall be a
seller) as they may agree.

         5. RIGHTS AND REMEDIES. The obligations of the Company to make the
payments required hereunder shall be absolute and unconditional without any
counterclaim, reduction, defense, recoupment or right set-off. The Company
hereby promises to pay costs of collection and reasonable attorney's fees in the
event of a default on this Note, whether or not suit is instituted.

         6. TRANSFER. Upon surrender of this Note for registration of transfer,
duly endorsed, or accompanied by a written instrument of transfer duly executed,
by the holder hereof or his attorney duly authorized in writing, a new Note of
this series in an aggregate principal amount equal to the unpaid principal
amount of this Note will be issued to, and registered in the name of, the
transferee.

         7. EVENTS OF DEFAULT; ACCELERATION. It shall be an Event of Default
under this Note if the Company becomes insolvent, upon the appointment of an
assignee for the benefit of creditors of, or of a receiver for, the Company, a
petition in bankruptcy shall be filed by or against the Company, or the Company
fails to payoff the Note (and accrued interest) on the Maturity Date.

                  Upon the occurrence of an Event of Default, the entire balance
shall automatically become due and payable, upon written notice to the Company,
without any right of set-off or hold-back, unless the default is cured within
five (5) days of the receipt of the notice.

                  The Company hereby waives presentment, demand for payment,
notice of non-payment and dishonor, protest and notice of protest, and any other
notice or conditions precedent to action against it for the collection hereof
except as set forth herein.

                                       10

<PAGE>

                  No delay on the part of the Holder in exercising any option,
power or right shall constitute a waiver thereof.

                  In the event this note is turned over to an attorney for
collection, the Company agrees to pay all costs of collection, including
reasonable attorneys' fees, which amounts may, at the Holder's option, be added
to the principle hereof.

         8. PREPAYMENT. This Note may be prepaid in whole or in part at any time
or from time to time without penalty or premium.

         9. EXTENSIONS. The Company may, by notice to the registered holder
hereof, extend the term of the Notes for up to two additional 90 day periods;
provided, however, that the interest rate on this Note with respect to the first
of such periods shall be 12% per annum, and the interest rate on this Note with
respect to the second of such periods and thereafter (or after the first such
period, if the Company does not extend the term for a second period) shall be
16% per annum. time to time without penalty or premium.

         10. ARBITRATION. Any controversy or claim arising out of or relating to
this Note, or the breach thereof, shall be settled by binding arbitration in Los
Angeles, California under the auspices of the American Arbitration Association
in accordance with the Commercial Arbitration Rules then in effect of the AAA.
The award of the arbitrators shall be binding and final. Each party hereof
irrevocably consents to the sole and exclusive jurisdiction and venue of the
state and federal courts located in Los Angeles in connection with any matter
ancillary to the foregoing arbitration including, but not limited to,
confirmation of the award rendered by the arbitrators and enforcement thereof by
entry of judgment thereon and/or by any other legal remedy.

         11. MISCELLANEOUS. This Note shall be governed by the laws of the State
of California. This Note may not be changed or terminated orally. This Note and
the others of this series shall be senior to all other subsequent liabilities of
the Company.

         IN WITNESS WHEREOF, TRIMEDYNE, INC., has caused this Note to be signed
in its name by its ____________ as of the date first above written.

                                             TRIMEDYNE, INC.

                                             By: _______________________________
                                                      Name: ____________________
                                                      Title: ___________________

                                       11<PAGE>
EXHIBIT 10.50

[Pfizer letterhead]

                                                  John L. LaMattina, Ph.D.
                                                  Vice President, Pfizer Inc
                                                  Executive Vice President, PGRD
                                                  President, Worldwide Research

June 13, 2002

George Vlasuk
Corvas International Inc.
3030 Science Park Road
San Diego, California 92121-1102

Dear George:

In accordance with Section 18.4 of the License and Development Agreement, dated
October 14, 1995 between Corvas International, Inc. and Pfizer Inc, including
Pfizer Limited (the " 1995 Agreement"), Pfizer has terminated the development in
all indications of Neutrophil Inhibitory Factor and terminates the 1995
Agreement.

Pfizer and Corvas shall meet at a date to be determined to discuss the transfer
of materials and documents from Pfizer to Corvas to fulfill the obligations of
Pfizer under the 1995 Agreement.

Sincerely yours,

/s/ JOHN L. LAMATTINA
John. L. LaMattina

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