Document:

Exhibit 10.1

 

Product and Know-How License
Agreement

 

This Product and Know-How License Agreement
("Agreement"), entered into as of this 8th day of March, 2016 and made effective as of October 1, 2015
(the "Effective Date"), is by and between Medical Lasers Manufacturer, Inc., a Florida corporation doing business
as Laser Lab Corp., with offices located at 101 Spanish River Road, 305, Boca Raton, Florida 33432 ("Licensor")
and Medical Lasers Manufacturer, Inc., a Nevada corporation, with offices located at 4400 Route 9 South, Suite 1000, Freehold,
New Jersey 07728 ("Licensee").

 

WHEREAS, Licensee is a wholly-owned
subsidiary of Medifirst Solutions, Inc., a Nevada corporation (“Parent”), and Parent, in consideration for the
rights granted under this Agreement, wishes to issue its securities to the Licensor; and

 

WHEREAS, Licensor owns and wants
to provide for the regulatory approval and commercialization of certain inventions, test results, certifications and manufacturer
claim markings set forth on Schedule I hereto (the "Inventions"); and

 

WHEREAS, Licensor, at the time
of this Agreement, has available to it certain technology, trade secrets, invention records, research records, reports and data,
test results, clinical studies, engineering and technical data, designs, production specifications, processes, methods, procedures,
facilities and know-how (hereinafter "Know-how") which relate to the Inventions; and

 

WHEREAS, Licensee wishes to utilize
the Inventions and Know-how related to the Invention (hereinafter "Technology") to achieve the regulatory approval, manufacture,
and sale of Products containing the Technology.

 

NOW, THEREFORE, Licensor and Licensee in consideration
of the foregoing and the mutual promises contained herein and intending to be legally bound hereby agree as follows:

 

		1.	DEFINITIONS

 

As used herein:

 

		1.1	"Field of Use" shall mean all fields of use identified on Schedule I hereto.

 

		1.2	"Licensed Patent" shall mean any issued patent or patent issued hereafter disclosing and claiming the Inventions,
including a reissued patent, a patent issuing from a continuation application, divisional application or continuation-in-part application,
and any corresponding foreign patent application relating thereto.

 

		1.3	"Net Selling Price" shall mean the gross sales by Licensee or any approved sublicensee of the Products for which
payments by the purchaser in available funds are received by the Licensee or any approved sublicensee, less usual trade discounts,
sales tax which the seller has to pay or absorb, customs duties and transportation and insurance charges, if not included in the
gross price, and any and all Federal, foreign, State or local taxes (except income tax) incurred by the seller on such sales.

 

		1.4	"Products" shall mean any method through which the Technology is commercialized and utilized by Licensee.

 

		1.5	"Proprietary Information" shall mean information and trade secrets owned or controlled by Licensor at any time during
the term of this Agreement, which relates to the Inventions, including but not limited to, invention records, research records
and reports, engineering and technical data, designs, production specifications, processes, methods, procedures, facilities and
know-how.

 

     

     

    

 

		1.6	"Sales", "Sell", or "Sold" shall mean any sale, transfer, lease, license, permission to use or
other transfer of the right of possession or other conveyance by Licensee or any approved sublicensee.

 

			

		1.7	"Territory" shall mean the world.

 

		2.	GRANT OF LICENSE

 

		2.1	With respect to the Technology, Licensor hereby grants to Licensee an irrevocable, nontransferable, royalty-bearing license,
with a right of sublicense (the “License”), throughout the Territory in the Field of Use, whether or not under the
Licensed Patent, to:

 

		2.1.1	use or submit or deliver the Technology and/or any Product to any regulatory body throughout the Territory for purposes of
obtaining approval to make, Sell, offer for Sale, import, export and distribute the Technology or Products; and

 

		2.1.2	use or copy the Technology and/or any Product; and

 

		2.1.3	market, make, have made, Sell, offer for Sale, import and distribute Products; and

 

		2.1.4	sublicense the Technology as set forth in Article 4 below; and

 

		2.1.5	prepare, or have prepared on its behalf, modifications, enhancements and/or derivative works of the Technology.

 

		2.2	In connection with the license granted under Section 2.1 above, Licensor hereby grants to Licensee a license to the Licensed
Patents, whether now existing or hereafter acquired.

 

		2.3	Any provision of this Agreement to the contrary notwithstanding, Licensor or any wholly-owned subsidiary of the Licensor reserves
an irrevocable, nonexclusive, royalty-free, nontransferable license to make and use the Technology and/or to make, use or Sell
any Products, even if such use shall compete with the Licensee’s Field of Use in the Territory.

 

		3.	CONSIDERATION

 

		3.1	In consideration of the granting herein of the License as described in Article 2 and to reimburse the Licensor for cost associated
with the rights licensed hereunder, Licensee shall pay Licensor:

 

		3.1.1	Twenty-Five-Thousand (25,000) shares of Parent’s Series B Preferred Stock (“Series B Preferred Stock”)
upon the execution of this Agreement, except that in the event that Licensee does not receive, by December 31, 2016, a decision
letter from the Food and Drug Administration informing the Licensee of the “cleared” 510(k), then the amount of Ten-Thousand
(10,000) shares of Series B Preferred Stock shall be subject to claw-back by the Licensee and forfeiture by the Licensor; and

 

		3.1.2	A Promissory Note issued by the Parent (the “Note”) bearing Ten-Percent
(10%) interest per annum and having a principal amount equal to One-Hundred-Fifty-Thousand Dollars ($150,000), which interest and
principal shall be due eighteen (18) months from the date of issuance, except that in the event that Licensee does not receive,
by December 31, 2016, a decision letter from the Food and Drug Administration informing the Licensee of the “cleared”
510(k), then the principal amount of the Note shall automatically reduce to $75,000 and any interest accrued to the Note shall
be calculated on the reduced principal amount as if originally issued in such denomination.

 

		3.1.3	the Royalties as set forth below in Article 5.

 

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		4.	SUBLICENSES

 

		4.1	Subject to this Paragraph, Licensee may grant sublicenses to persons or entities specifically approved in writing by Licensor,
which approval shall not be unreasonably withheld, provided that each sublicense contains a provision that such sublicense and
the rights thereby granted are personal to the sublicensee thereunder and such sublicense cannot be further assigned or sublicensed.

 

		4.2	Any sublicense granted pursuant to this Article shall be in accordance with the terms and conditions of this Agreement, including
but not limited to the same protection for Licensor's Proprietary Information as is set forth herein.

 

		5.	ROYALTIES

 

		5.1	Licensee shall pay Licensor royalties at the rate of five percent (5%) of any Net Selling Price of Products sold by Licensee
or any sublicensee under this Agreement that exceeds in aggregate $50,000 in Net Selling Price of Products per year beginning on
the first date the Licensee collects gross sales from the sale of Products.

 

		5.2	All payments to Licensor under this Agreement shall be made in U.S. dollars at Licensor's address for notice, except that in
the event the Licensee elects to make such payments in the form of equity securities of the Parent, such payments may be made on
behalf of the Licensee in the form of Series B Preferred Stock. Payments pursuant to Section 5.1 for sales made during each quarter
of each calendar year shall be paid to Licensor within thirty (30) days after the last day of each quarter.

 

		5.3	Licensee shall pay all royalties due hereunder to Licensor and Licensor shall not be required to look to any other entity for
payment.

 

		6.	IMPROVEMENTS

 

		6.1	Should Licensee or any consultant or employee of Licensee during the term of this Agreement make or discover any improvement
in connection with the Technology, whether patentable or not, which if practiced would constitute an infringement of any patent
of the Technology, Licensee shall forthwith disclose or cause the same to be disclosed to Licensor, and such improvement shall
be deemed to be a part of the "Technology" and shall be subject to the terms hereof for the purpose of calculating royalties
hereunder. The foregoing notwithstanding, Licensee shall own all right, title and interest in any such discovery or improvement.
However, Licensee shall make available to Licensor any improvements it makes to the Technology and grants to Licensor an irrevocable,
nonexclusive, royalty-free, nontransferable license to use the improvements throughout the world for its permitted uses under Section
2.3 hereof. If so requested by Licensor, Licensee shall make available or supply to Licensor such information or data as is necessary
or convenient for the proper understanding or use of such improvement.

 

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		7.	CONFIDENTIALITY

 

		7.1	Licensee shall not disclose any Proprietary Information pertaining to the Invention other than to Licensee employees who must
have access to such Information in order to carry out Licensee's obligations under this Agreement and to potential sublicensees
of the Technology, provided such disclosure is in accordance with Section 7.3 hereof. Prior to disclosure of Proprietary Information
to Licensee employees, such employees shall be under a written obligation of confidentiality to Licensee at least as restrictive
as the provisions contained herein. Proprietary Information shall be maintained in confidence by Licensee for so long as such information
is maintained in confidence by Licensor.

 

		7.2	To protect Licensor's Proprietary Information, Licensee shall adopt security measures commonly observed in industries that
rely on proprietary information. These measures shall include, but not be limited to, restricted access to such information, marking
such information, and the selective destruction of sensitive materials. Upon termination of this Agreement, Licensee shall return
or destroy all documents or materials embodying Licensor’s Proprietary Information.

 

		7.3	Any disclosure of Proprietary Information by Licensee to potential sublicensees of the Technology shall be prohibited, unless
such potential sublicensee has signed an agreement which imposes obligations of confidentiality and nonuse at least as restrictive
as those imposed on Licensee hereunder.

 

		7.4	Proprietary Information does not include information which:

		a.	is published or is otherwise in the public domain through no fault of the receiving party; or

		b.	prior to disclosure hereunder, can be demonstrated by the receiving party to have been in its possession prior to receipt under
this Agreement; or

		c.	is properly obtained by the receiving party without restriction from a third party; or

		d.	is independently developed by or for the receiving party without reliance, direct or indirect, on such information; or

		e.	is disclosed by the receiving party to a third party with the written approval of the disclosing party; or

		f.	is obligated to be produced by order of a court of competent jurisdiction.

 

		8.	OPTION TO LICENSE AND RIGHT OF FIRST REFUSAL AND PAYMENTS OF RESEARCH

 

		8.1	Licensor hereby grants to Licensee the option to license the Technology for fields of use not covered by the Field of Use (“Other
Technologies”). In the event the Licensee exercises the option granted in this Section 8.1, Licensor shall grant such license
to the Licensee for consideration no greater than the consideration set forth in Article 3 and Article 5 hereof (so long as such
license is similar in scope to the Technology and Field of Use).

 

		8.2	In the event the Licensor is solicited to grant a third party a license to Other Technologies, Licensor shall submit to Licensee
a written offer (the “Offer”) to license such Other Technologies to the Licensee on terms no less favorable than terms
proposed by such third party and Licensee shall accept the Offer within ten (10) calendar days after having received the Offer
or if the Licensee declines or fails to accept the Offer within ten (10) calendar days, the Licensor shall not be precluded, by
the obligations hereunder, from licensing Other Technologies.

 

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		8.3	The foregoing notwithstanding, Licensor hereby grants to Licensee the exclusive option to add to the License granted by this
Agreement the field-of-use-add-on set forth on Schedule I (the “FOU Add-On”). In the event the Licensee exercises
the option granted in this Section 8.3, upon Licensee’s payment of One-Hundred-Fifty-Thousand Dollars ($150,000) in cash
and/or Series B Preferred Stock, the FOU Add-On shall be added to the License, as if the FOU Add-On was originally included in
the Field of Use applicable to the License granted by this Agreement and the term of this Agreement pursuant to Section 14 hereof
shall be deemed to begin on the Effective Date of this Agreement and to continue for Ten (10) years after payment made by the Licensee
under this Section 8.3. 

 

		9.	PROTECTION OF INTELLECTUAL PROPERTY

 

		9.1	Licensor shall file any and all patent applications, trademark registrations or copyright registrations (hereinafter "Intellectual
Property Protection"), domestic and/or foreign, in Licensor’s name to protect the Technology and/or improvements to
the Technology licensed hereunder. Licensee shall reimburse Licensor for all out-of-pocket fees, costs and expenses paid or incurred
by Licensor in filing Intellectual Property Protection herein. Licensee shall be permitted to select, if it so wishes, the patent
attorney for Intellectual Property Protection when the costs are born by Licensee.

 

		9.2	If, at any time during the term of this Agreement, Licensee elects to abandon its right in any pending Intellectual Property
Protection or any patent, trademark or copyright issued thereon, either domestic or foreign, it shall notify Licensor of that decision
at least two (2) months prior to any deadline for filing any response or taking any other action necessary to maintain any such
Intellectual Property Protection. Thereafter, Licensor shall have the right and option to take over the sole and exclusive responsibility
for the prosecution of any such Intellectual Property Protection and/or the maintenance of any such patent, trademark or copyright
solely at Licensor’s expense and in such an event the rights granted under this Agreement shall become licensable by the
Licensor to any third party without following the procedures required by Section 8.2 hereof.

 

		9.3	If patent, trademark or copyright protection is obtained for the Technology and/or improvements to the Technology, Licensee
shall cooperate with Licensor in enforcing or policing such protection as provided in Article 10 hereof and by taking all reasonably
appropriate measures including marking trade secrets and other Proprietary Information as required and taking other reasonable
measures as mutually agreed to by Licensor and Licensee.

 

		10.	NOTICE OF INFRINGEMENT AND ENFORCEMENT OF RIGHTS

 

		10.1	Immediately upon Licensee's learning of any infringement, misappropriation or other unauthorized use of Licensor’s Proprietary
Information, and/or Licensed Patents, copyrights or trademarks pertaining to Licensor’s Invention licensed hereunder (hereinafter
"Intellectual Property Rights"), Licensee shall promptly inform Licensor.

 

		10.2	If Licensee and Licensor agree to jointly pursue enforcement of Licensor's Intellectual Property Rights, then the parties hereto
shall share equally all costs, fees and/or expenses incurred in connection with enforcement of Licensor's Intellectual Property
Rights provided only that Licensor's maximum exposure for such costs, fees and expenses shall be the amount of royalties paid and/or
payable to Licensor by Licensee hereunder. Any payments accruing from such action to enforce Licensor's Intellectual Property Rights
shall be paid to Licensee and Licensor in proportion to the parties' respective contributions to all costs, fees and/or expenses
incurred in such action.

 

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		10.3	In the event that either party shall determine, for any reason, that it does not choose to enforce Licensor's Intellectual
Property Rights, then that party shall promptly notify the other party of such decision. The party choosing to enforce Licensor's
Intellectual Property Rights may then proceed with such enforcement action solely at its own expense and any and all recoveries
shall be awarded solely and exclusively to that party.

 

		11.	INDEMNITY

 

		11.1	Licensee hereby indemnifies and holds harmless Licensor, and its employees, officers, board members and agents (hereinafter
"Indemnitees") from and against all claims, suits, liabilities, damages, costs, fees, expenses or losses arising out
of or resulting from Licensee's performance of this Agreement, including but not limited to any third party claims against Indemnitees
for patent, copyright, and/or trademark infringement and/or patent interference, and any damages, losses or liabilities whatsoever
with respect to death or injury to any person and damage to any property arising from the possession, use or operation of Products
produced or sold by Licensee or its sublicensees or their customers in any manner whatsoever.

 

		12.	REPRESENTATIONS

 

		12.1	Licensor represents that it has full right, power and authority to enter into this Agreement and to grant all of the right
and interest in the Patent and Technology.

 

		12.2	Licensor represents that it has no knowledge, at the time of execution of this Agreement, that the Technology infringes any
U.S. or foreign patent or copyright rights owned or controlled by any third party.

 

		12.3	Licensor represents that is has no knowledge, at the time of execution of this Agreement that any third party would infringe
any patent claims of the Invention, now pending.

 

		13.	RELATIONSHIP BETWEEN LICENSOR AND LICENSEE

 

		13.1	Licensor and Licensee are and shall remain independent contractors and nothing herein shall create a partnership or joint venture
between Licensor and Licensee.

 

		14.	TERM AND TERMINATION

 

		14.1	This Agreement shall commence on the Effective Date of this Agreement and shall continue for ten (10) years. Notwithstanding
the foregoing, the obligations of the parties under Articles 5, 7, 11 and 14 shall survive any termination of this Agreement.

 

		14.2	In the event of the breach of a material obligation hereunder by either party, the nonbreaching party shall inform the alleged
breaching party of said breach in writing. The alleged breaching party shall have thirty (30) days from the date of said notification
during which time to cure the breach. In the event the alleged breaching party does not cure the breach within thirty (30) days,
the nonbreaching party may terminate the Agreement upon written notification to the alleged breaching party. Licensee shall, within
ten (10) days of termination of this Agreement for any reason, deliver to Licensor all written documentation in the possession
of Licensee which contains Proprietary Information pertaining to the Technology.

 

		14.3	If Licensee shall become bankrupt or insolvent and/or if the business of Licensee shall be placed in the hands of a receiver,
assignee or trustee for the benefit of creditors, whether by the voluntary act of Licensee or otherwise, Licensee shall immediately
notify Licensor and Licensor shall have the right to terminate this Agreement by giving written notice to Licensee of such termination.

 

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		15.	NOTICES

 

		15.1	All notices required or permitted under this Agreement shall be in writing and shall be delivered personally, by courier, by
facsimile transmission or sent by certified registered mail to Licensee or Licensor at the addresses set forth in the preamble
of this Agreement.

 

		16.	WAIVER

 

		16.1	Waiver by either party of any term or provision of this Agreement shall not constitute a continuing waiver thereof nor of any
further or additional rights such party may hold under this Agreement.

 

		17.	SEVERABILITY

 

		17.1	If any provision of this Agreement shall be held to be invalid, illegal or unenforceable, the validity, legality or enforceability
of the remaining provisions shall not in any way be affected or impaired.

 

		18.	GOVERNING LAW

 

		18.1	This Agreement shall be construed in accordance with the laws of the State of New York, U.S.A.

 

		19.	ENTIRE AGREEMENT

 

		19.1	This Agreement is the complete and exclusive statement between the parties relating to the subject matter hereof, and supersedes
all prior understandings, communications, or representations, either oral or written, between the parties. This License Agreement
may not be modified or altered except by a written instrument duly executed by Licensee and Licensor.

 

		20.	CUMULATIVE RIGHTS

 

		20.1	Unless expressly stated to the contrary elsewhere in this Agreement, all rights, powers and privileges conferred hereunder
upon the parties hereto shall be cumulative and not restrictive of those given by law.

 

		21.	SECTION HEADINGS

 

		21.1	Section headings have been inserted herein for convenience of reference only and shall in no way modify or restrict any of
the terms or provisions of this Agreement.

 

		22.	ASSIGNMENT

 

		22.1	The License is personal to Licensee and may be assigned on the sale of substantially all of the business or assets of the product
line using the Technology. Except as otherwise agreed herein, this Agreement may not be assigned by either party without the prior
written consent of the other.

 

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		23.	SUCCESSORS AND ASSIGNS

 

		23.1	This Agreement shall bind and inure to the benefit of the parties hereto and their respective successors and permitted assigns,
but nothing contained herein shall be deemed to permit assignment by either party except as otherwise permitted in this Agreement.

 

		24.	INTERPRETATION

 

		24.1	In the interpretation of this Agreement, words importing the singular or plural number shall be deemed to import the plural
and singular number respectively, words denoting gender shall include all genders and references to persons shall include corporations
or other bodies and vice versa.

 

		25.	OPPORTUNITY TO BE REPRESENTED

 

		25.1	Licensor and Licensee each hereby acknowledge that it has freely and voluntarily entered
into this Agreement after an adequate opportunity and sufficient period of time to review, analyze, and discuss (i) all terms and
conditions of this Agreement, (ii) any and all other documents executed and delivered in connection with the transactions contemplated
by this Agreement, and (iii) all factual and legal matters relevant to this Agreement and/or any and all such other documents,
with counsel freely and independently selected by it (or had the opportunity to be represented by counsel). Licensor and Licensee
each further acknowledges and agrees that it has actively and with full understanding participated in the negotiation of this Agreement
and all other documents executed and delivered in connection with this Agreement after consultation and review with its counsel
(or had the opportunity to be represented by counsel), that all of the terms and conditions of this Agreement and the other documents
executed and delivered in connection with this Agreement have been negotiated at arm’s-length, and that this Agreement and
all such other documents have been negotiated, prepared, and executed without fraud, duress, undue influence, or coercion of any
kind or nature whatsoever having been exerted by or imposed upon any party by any other party. No provision of this Agreement or
such other documents shall be construed against or interpreted to the disadvantage of any party by any court or other governmental
or judicial authority by reason of such party having or being deemed to have structured, dictated, or drafted such provision.

 

		26.	FORCE MAJEURE

 

		26.1	Neither party shall be held in breach of this Agreement because of acts or omissions caused by any act of God or other cause
beyond the control of the parties, including, but not limited to, fire, floods, labor disputes, or other unforeseen circumstances.

 

[SIGNATURE PAGE FOLLOWS]

 

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IN WITNESS WHEREOF, the parties hereto have caused
this Agreement to be executed as of the date first written above by their respective officers thereunto duly authorized.

 

	 	LICENSOR
	 	Medical Lasers Manufacturer, Inc.,
	 	a Florida corporation d/b/a 
	 	Laser Lab Corp.
	 	 	 
	 	By:	/s/ Bradley Schoengood
	 	Name:  	Bradley Schoengood
	 	Title:  	President
	 	 	 
	 	LICENSEE
	 	Medical Lasers Manufacturer, Inc.,
	 	a Nevada corporation.
	 	 	 
	 	By:	/s/ Bruce Schoengood
	 	Name: 	Bruce Schoengood
	 	Title: 	President

 

	AGREED AND ACKNOWLEDGE	 
	(with respect to Sections 3, 5 and 8):	 
	 	 	 
	PARENT	 
	Medifirst Solutions, Inc.,	 
	a Nevada corporation.	 
	 	 	 
	By:	/s/ Bruce Schoengood	 
	Name: 	Bruce Schoengood	 
	Title:  	Chief Executive Officer	 

 

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Schedule
I

 

INVENTIONS
AND Field of Use

 

 

InventionS:

The
Time Machine Laser (Wavelength: 810/830nm; Laser Color: Infrared)

CE
Mark(s): CE Mark (Registration #STT20140616363 - 6/24/2014)

EN
Mark(s): EN-60825-1

IEC
Mark(s): IEC-60601-2-22

 

Field of
Use:

 

All
uses set forth in the Premarket Notification 510(k) submitted by the Licensee to the Food and Drug Administration on or around
August 28, 2015 identifying the “Device Trade Name” as “The Time Machine Series Lasers” and assigned the
control number K152461.

 

Field of
Use ADD-ON:

 

All
uses related to wound healing, which shall be
subject to a new Premarket Notification 510(k) submission for the “The Time Machine Series Lasers”.tenx_ex1074.htm

Exhibit 10.74

 

	
NORTH CAROLINA

	  
	  	
FIRST AMENDMENT TO

	
WAKE COUNTY

	
LEASE AGREEMENT

 

This First Amendment to Lease Agreement (this “Amendment”) is entered into on this ___ day of August, 2015 by and between CCP Concourse, LLC, a Virginia limited liability company (“Landlord”); and Tenax Therapeutics, Inc., a Delaware corporation (“Tenant”) (this Amendment, all previous amendments or modifications to the Original Lease and the Original Lease are collectively referred to as the “Lease”).  The capitalized terms which are not defined herein shall have the same meaning as otherwise set out in the Lease.

WITNESSETH:

WHEREAS, Concourse Associates, LLC, a North Carolina limited liability company, (predecessor to Landlord) and Oxygen Biotherapeutics, Inc., a North Carolina corporation, (predecessor to Tenant) entered into an Office Lease Agreement dated January 27, 2011, for 5,954 rentable square feet (“RSF”) known as Suite 490 (“Premises”) in a building known as The Concourse Building (“Building”) located at One Copley Parkway, Morrisville, North Carolina.

WHEREAS, Landlord and Tenant desire to enter into this Amendment for the purpose of revising certain terms of the Lease, including extension of the Lease Term, as set out with specificity below.

NOW, THEREFORE, in consideration of these promises and other good and valuable consideration receipt of which is hereby acknowledged, the parties agree as follows:

1.           Recitals.  The foregoing recitals are true, accurate and are incorporated herein by reference.

2.           Commencement Date.  The Commencement Date for this Amendment shall be the later of (i) March 1, 2016, or (ii) the date on which the Tenant Improvements (as defined in Section 8 herein) shall have been Substantially Completed (“Commencement Date”).  If Landlord is delayed in Substantial Completion of the Tenant Improvements (as defined herein) as a result of the occurrence of Tenant Delay (as defined in Section 8 herein), then, for purposes of determining the Commencement Date, the date of Substantial Completion shall be deemed to be the day that the Tenant Improvements would have been completed absent such delays.  “Substantial Completion” or “Substantially Completed” means the Tenant Improvements have been completed according to the approved plans and specifications (other than details of construction, mechanical adjustment or other “punch list” items, the non-completion of which does not materially interfere with Tenant’s use of the Premises) and the issuance of a Certificate of Occupancy (either conditional or unconditional) from the appropriate governmental authority that certifies that the Premises may be occupied.  Any delay in delivery of the Premises beyond the target Commencement Date shall not subject Landlord to any liability for any loss or damages resulting therefrom.

 

  

  

  

3.           Lease Term.  Landlord and Tenant hereby agree to renew the Lease Term for sixty-four (64) consecutive months from the Commencement Date and continuing through and including twelve o’clock noon on the later of (i) June 30, 2021, or (ii) the last day of the sixty-fourth (64th) full month after the Commencement Date.

4.           Premises.  The Premises are located on the Fourth Floor of the Building, as shown on Exhibit A attached hereto and incorporated herein by reference.  The RSF of the Premises is deemed to be 5,954 RSF, and the parties agree that 5,954 RSF shall be used for all purposes under the Lease.  Landlord and Tenant acknowledge and agree that the Building measures 131,553 RSF and Tenant’s Pro Rata Share of Operating Expenses is 4.526%.

5.           Rent.

(a)           Tenant hereby agrees to pay Landlord annual Base Rent payable monthly in advance in the amount set out below and otherwise pursuant to the terms of the Lease:

	
Period

	 	 	
Base Rental Rate Per RSF

	 	 	
Monthly Payment

	 	 	
Annual Base Rent

	 
	 	1 – 4	*	 	$	18.50	 	 	$	0.00	 	 	$	0.00	 
	 	5 – 12	 	 	$	18.50	 	 	$	9,179.08	 	 	$	73,432.64	 
	 	13 – 24	 	 	$	18.96	 	 	$	9,407.32	 	 	$	112,887.84	 
	 	25 – 36	 	 	$	19.43	 	 	$	9,640.52	 	 	$	115,686.24	 
	 	37 – 48	 	 	$	19.92	 	 	$	9,883.64	 	 	$	118,603.68	 
	 	49 – 60	 	 	$	20.42	 	 	$	10,131.72	 	 	$	121,580.64	 
	 	61 – 64	 	 	$	20.93	 	 	$	10,384.77	 	 	$	41,539.08	 
	 	 	 	 	 	 	 	 	
TOTAL RENT:

	 	 	$	583,730.12	 

*Annual Base Rent subject to four (4) month rent abatement described in Section 6 herein.

(b)           Additional Rent.  Tenant shall pay Landlord Additional Rent under the same terms and conditions described in Lease Addendum Number Two of the current Lease, as amended, except the Base Year as of the Effective Date is 2016.

6.           Rent Abatement.  Provided Tenant is not in default of the terms of the Lease, Landlord shall abate payment of the monthly rent installment due for the first four (4) months immediately following the Commencement Date.

Landlord and Tenant acknowledge that any period of reduced or abated rent described herein (the “Reduced Rent Period”) is based on Landlord’s expectation that Tenant will occupy, and pay Base Rent with respect to, the Premises for the entire duration of the Lease Term, and that if the Lease is terminated prior thereto, Landlord will be deprived of essential consideration for Landlord’s agreement to grant such reduced or abated rent.  Accordingly, if (i) Tenant breaches any term or covenant required to be performed by Tenant under the Lease beyond any applicable notice and cure period, or (ii) the Lease is otherwise terminated prior to expiration of the Lease Term for reasons other than Landlord’s default, Landlord shall have the right to rescind all such reductions or abatements of rent granted hereunder, and to recover from Tenant as of the termination date of this Lease (in addition to any other sums recoverable from or payable by Tenant in connection therewith) an amount equal to the amount of Base Rent which would have been payable during the months in which rent was abated had Tenant been required to pay for each month thereof the amount of Base Rent otherwise due for the Lease Term.

 

  

  

  

7.           Renewal Option.  Section 32 of the current Lease, as amended, is deleted in its entirety and replaced with the following:

Provided Tenant is not in default of the terms of the Lease, Tenant shall have two (2) renewal options for five (5) years each commencing on July 1, 2021, and ending at twelve o’clock noon on June 30, 2026 (“First Renewal Period”) and, if the Lease is not terminated sooner, a second renewal period commencing on July 1, 2026, and ending at twelve o’clock noon on June 30, 2031 (“Second Renewal Period”).  As a condition of Tenant’s exercise of this option, Tenant must satisfy the following conditions:

(a)           Tenant must notify Landlord, in writing, of its intention to exercise its renewal option not later than six (6) months prior to the expiration of the Lease Term or First Renewal Period.

(b)           The Base Rental rate during the initial year of each Renewal Period shall equal the Current Market Base Rental Rate, as defined in Exhibit C which is attached hereto and incorporated herein by reference.

(c)           Tenant shall pay Landlord Additional Rent during each Renewal Period under the same terms and conditions as described in Section 5(b) herein.

(d)           Failure by Tenant to satisfy the conditions set out hereinabove for either the First or Second Renewal Periods shall result in the termination of either or both the Renewal Options.

8.             Tenant Improvements.  Landlord agrees to cause certain improvements to be made to the Leased Premises described in detail in the schematic plans attached hereto as Exhibit B (“Schematic Plans”) and incorporated herein by reference (“Tenant Improvements”).  Landlord and Tenant acknowledge and agree that Landlord shall cause a cost estimate of the Tenant Improvements (“Cost Estimate”) to be performed by a general contractor acceptable to Landlord.  Provided the Cost Estimate is acceptable to Landlord, in its reasonable discretion, Tenant Improvements shall be made at Landlord’s sole expense.  Tenant shall bear the cost of Tenant Improvements approved in the Schematic Plans which exceed the Cost Estimate.  Any deviation from the Schematic Plans agreed to by Tenant and Landlord will require a change order signed by Tenant and Landlord detailing the nature and scope and cost of the change and designation of the party responsible to pay such cost.  Any and all costs arising from a deviation from the Plans and Specifications shall be the responsibility of and paid in full by Tenant upon delivery to Tenant of an invoice for the amount of such increase in cost.  Landlord shall, at its sole expense, in causing any Tenant Improvement at the Premises, comply with all present and future laws, regulations, building codes and/or fire codes applicable to the Premises.

 

  

  

  

A “Tenant Delay” means any act or omission of Tenant or its agents, employees, vendors or contractors that actually delays substantial completion of the Tenant Improvements, including, without limitation, the following:

(1)           Tenant’s failure to furnish information or approvals within any time period specified in the Lease or this Amendment, including the failure to prepare or approve plans and specifications by any applicable due date;

(2)           Tenant’s selection of equipment or materials that have long lead times after first being informed by Landlord that the selection may result in a delay;

(3)           Changes requested or made by Tenant to previously approved plans and specifications;

(4)           The performance of work in the Premises by Tenant or Tenant’s contractor(s) during the performance of the Tenant Improvements; or

(5)           If the performance of any portion of the Tenant Improvements depends on the prior or simultaneous performance of work by Tenant, a delay by Tenant or Tenant’s contractor(s) in the completion of such work.

9.           Right of First Offer.  (a) Provided Tenant is not in default under the terms of the Lease, and subject to the rights of existing tenants, Landlord hereby grants to Tenant a right of first offer (“ROFO”) to take possession of any space within the fourth (4th) floor of the Building adjacent to the Premises that is or shall become available for direct lease by Landlord during the Lease Term (“Expansion Space”).  For purposes of the ROFO, Expansion Space will be considered “available for lease” if (1) no bona fide written lease agreement exists relative to such Expansion Space or (2) the Expansion Space is due to become vacant because a tenant’s lease has or will expire and tenant has not elected to renew the Lease.  Landlord will advise Tenant of Expansion Space that will become “available for lease” (“ROFO Notice”).  The ROFO shall be exercised within ten (10) days after Tenant’s receipt of a ROFO Notice.  Tenant may exercise the ROFO as to all or a portion of the available Expansion Space, provided the ROFO is exercised for no less than 1,000 RSF.

Should Tenant exercise the ROFO, Tenant shall take the Expansion Space under the same terms and conditions set out in the Lease for the Premises, except the Base Rental Rate per RSF paid by Tenant for such Expansion Space shall be equal to the then-current Base Rental Rate, as provided for in this Amendment, and subject to the same annual Base Rent increases thereafter.  Tenant’s Pro Rata Share of Operating Expenses shall be adjusted to include the Expansion Space.  Failure by Tenant to exercise its Right of First Offer within ten (10) days after receipt of a ROFO Notice shall be deemed a rejection by Tenant of the Expansion Space, and this Right of First Offer shall terminate and be of no further force and effect.

 

  

  

  

(b)  Provided Tenant is not in default of the terms of the Lease and Tenant has exercised its ROFO according to the terms and conditions set out herein, Landlord agrees to cause certain improvements to be made to the Expansion Space according to plans and specifications mutually agreed to Landlord and Tenant (“Expansion Space Tenant Improvements”).  The Expansion Space Tenant Improvements may not be amended without Landlord’s and Tenant’s prior written consent. The cost to Landlord of space planning, engineering or construction drawings, construction management fees, construction permits and all other actual out-of-pocket expenses incurred by Landlord in constructing Tenant Improvements shall be paid by Landlord in an amount not to exceed the actual cost per RSF incurred by Landlord to construct the Tenant Improvements for the Premises (“Allowance”).  Any and all costs of Expansion Space Tenant Improvements in excess of the Allowance shall be the responsibility of and paid in full by Tenant upon receipt of any invoice for the amounts in excess of the Allowance.  Any deviation from the plans and specifications agreed to by Tenant and Landlord will require a change order signed by Tenant and Landlord detailing the nature and scope and cost of the change and designation of the party responsible to pay such cost.  Any and all costs arising from a deviation from the approved plans and specifications shall be the responsibility of and paid in full by Tenant upon delivery to Tenant of an invoice for the amount of such increase in cost.  Tenant shall be responsible for any costs incurred to construct the Expansion Space Tenant Improvements arising as a result of Tenant Delay.

(c)  Base Rent and Additional Rent shall commence for Expansion Space on the date the Expansion Space Tenant Improvements are Substantially Completed (“Expansion Space Commencement Date”).  The Lease Term for the Premises and the Expansion Space shall be extended for a period of sixty (60) full months beginning on the Expansion Space Commencement Date.  If the Expansion Space Commencement Date is a date other than the first day of the month, then the term for the lease of the Expansion Space shall run for sixty (60) months from the first day of the first month immediately following the Expansion Space Commencement Date.

(d)  Upon Landlord’s request, Tenant shall execute and deliver a written agreement specifying the Expansion Space Commencement Date in substantially the form set out in Exhibit D attached hereto. Tenant shall execute an appropriate amendment to this Lease to reflect the addition of the Expansion Space to the Premises and any other modifications to the Lease related to the Expansion Space agreed to by Landlord and Tenant.

10.           Tenant Right to Early Termination.  Provided (i) Tenant shall not at the time be in default in the performance of the terms and conditions of the Lease, as amended, and (ii) Landlord has not provided Tenant a ROFO Notice with respect to potential Expansion Space, Tenant shall have the one-time right and option to terminate the Lease, as amended, at the end of the thirty-sixth (36th) month following the Commencement Date (“Termination Date”).  Said option to terminate shall be exercisable by Tenant’s giving written notice to Landlord of its exercise of such option delivered not later than ten (10) days after the Termination Date together with the payment of all unamortized brokerage commission, legal fees, and cost of Tenant Improvements paid by Landlord in association with this Amendment (together with interest thereon at the rate of eight percent (8%) per annum).  The effective date of termination shall be the last day of the third (3d) month after the Termination Date (“Effective Date”).  Tenant shall be bound by and comply with the terms and conditions of the Lease including, without limitation, payment of all sums due from Tenant to Landlord, through and including the Effective Date.

 

  

  

  

11.           Possession During Construction.  Tenant shall remain in possession of the existing Leased Premises pending completion of the Tenant Improvements.

12.           No Options or Inducements; Condition of Premises.  Tenant acknowledges and agrees that, as of the Commencement Date and notwithstanding anything to the contrary set forth in the Lease or this Amendment, Tenant shall have no extension, termination or other options whatsoever with regard to the Leased Premises or under the Lease, as amended by this Amendment, apart from the Renewal Option (as defined and described in Section 7 of this Amendment), the ROFO (as defined and described in Section 9 of this Amendment) and the Right of Early Termination (as defined and described in Section 10 of this Amendment).  Tenant further acknowledges and agrees that, apart from the Tenant Improvements, Renewal Option, ROFO and Right of Early Termination, Tenant is not and shall not be entitled to any allowances, concessions, upfit work or other inducements of any kind in connection with the Leased Premises or under the Lease, as amended by this Amendment.  In the latter regard, Tenant acknowledges and agrees that from and after the Commencement Date, apart from any portion of the Tenant Improvements remaining incomplete, Landlord is leasing the Leased Premises to Tenant “as is,” without any representations or warranties of any kind (including, without limitation, any express or implied warranties of merchantability, fitness or habitability) and without any obligation on the part of Landlord to alter, remodel, improve, repair or decorate the Leased Premises or any part thereof.

 

13.           Holding Over.  Section 26 of the current Lease, as amended, is deleted in its entirety and replaced with the following:

If Tenant holds over after the Expiration Date or other termination of the Lease, as amended, such holding over shall not be a renewal of this Lease but shall create a tenancy-at-sufferance.  Tenant shall continue to be bound by all the terms and conditions of this Lease, except that during the first thirty (30) days of such tenancy-at-sufferance Tenant shall pay to Landlord (i) Base Rent at the rate equal to one hundred fifty percent (150%) of that Base Rent provided for as of the immediate preceding expiration or termination date, and (ii) any and all Operating Expenses and other forms of Additional Rent Payable under this Lease.  In the event Tenant holds over for a period longer than thirty (30) days, Tenant shall be obligated to pay to Landlord (i) two hundred percent (200%) of that Base Rent provided for as of the immediate preceding expiration or termination date and (ii) any and all Operating Expenses and other forms of Additional Rent Payable under this Lease.  The increased Rent during such holding over is intended to compensate Landlord partially for losses, damages and expenses, including frustrating and delaying Landlord’s ability to secure a replacement tenant.  If Landlord loses a prospective tenant because Tenant fails to vacate the Premises or Expansion Space, if applicable, on the Expiration Date or other termination of the Lease, as amended, after notice to do so, then Tenant will be liable for such damages as Landlord can prove because of Tenant’s wrongful failure to vacate.

14.           Binding Effect. The amendments made to the Lease pursuant to this Amendment shall be binding upon the parties and their respective successors and assigns.

 

  

  

  

15.           Mutual Acknowledgment of Non-Existence of Claims. The Landlord and Tenant acknowledge that as of the date of this Amendment there are no known claims by either party against the other arising from their relationship as Landlord and Tenant pursuant to the terms of the Lease.

16.           Assignments.  Tenant represents and warrants to Landlord that Tenant has not previously assigned, sublet, transferred, conveyed or otherwise encumbered in any way, directly or indirectly, any or all of its interest under the Lease with respect to the Premises.

17.           Confidentiality.  Tenant agrees, on behalf of Tenant and Tenant’s principals, officers, and directors, to use reasonable efforts not to disclose the financial terms of this Amendment to any third party except (i) Tenant’s legal counsel, (ii) the Broker (as hereinafter defined) or any of Tenant’s advisors directly involved in the transaction evidenced by this Amendment, (iii) in connection with a legal subpoena or other similar legal process, or (iv) for financial reporting purposes.

18.           Brokerage.  Tenant hereby represents to Landlord that Tenant has not entered into any agreements with any brokers in connection with this Amendment except Newmark, Grubb, Knight, Frank.  Tenant hereby indemnifies, holds harmless and agrees to defend Landlord, its members, principals, partners, officers, directors, employees and agents and the respective principals, officers and directors of any such agents (collectively the “Landlord Related Parties”) from and against any and all claims of any brokers, other than Newmark, Grubb, Knight, Frank, claiming to have represented Tenant in connection with this Amendment.  Landlord and Tenant acknowledge and agree that Fred Dickens, Trademark Properties has represented Landlord in connection with this Amendment and all compensation due to Fred Dickens, Trademark Properties is Landlord’s sole responsibility.  Pursuant to a separate agreement between Landlord and Newmark, Grubb, Knight, Frank, all compensation due Newmark, Grubb, Knight, Frank, is Landlord’s sole responsibility.

21.           The Landlord shall have the right at all times to post and keep posted on the Premises any notice permitted or required by law which the Landlord shall deem proper for the protection of the Landlord and the Premises or any other party having an interest therein from mechanic’s and materialmen’s liens.  The Tenant shall give written notice to the Landlord at least ten (10) business days prior to the commencement of any work relating to alterations or additions to the Premises and shall comply with NC Gen. Stat. §44A-11.1 et seq including, without limitation, the appointment of a Lien Agent and posting requirements.

22.           Nature of Amendments. The amendments made to the Lease pursuant to this Amendment shall constitute the only amendments to be effectuated and all other provisions of the Lease not affected hereby shall remain in place as originally constituted and shall be in full force and effect. To the extent that there is any conflict between the terms of this Amendment and the Lease, the terms of this Amendment will govern.

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IN WITNESS WHEREOF, the Landlord and Tenant have entered into this Amendment by their duly authorized officers as of the date first above written.

LANDLORD:

CCP Concourse, LLC,

a Virginia limited liability company

By:   Continental Asset Management Group, LLC, its Authorized Agent

By:        /s/ Jeremy McLendon                   

Name:    Jeremy McLendon                      

Title:   Manager                                         

 

 

TENANT:

Tenax Therapeutics, Inc.

a Delaware corporation

By:   /s/ Michael Jebsen                                                                                     

Name:  Michael Jebsen                                                                                    

Title:  CFO                                                                                                           

 

  

  

  

 

Exhibit A

Description of Premises

 

  

  

  

 

Exhibit B

Schematic Plans

 

 

  

  

  

Exhibit C

Current Market Base Rental Rate

A.           The annual rental for the First Renewal Period shall be at a rate to be negotiated between Landlord and Tenant commencing with the beginning of the final year of the Lease Term established by this Amendment.  Landlord and Tenant shall endeavor in good faith within the next sixty (60) days to agree upon a rental rate for the First Renewal Period.  Such renewal rate shall include the amount of or formula to calculate annual increases during the renewal period in question.  However, if Landlord and Tenant are unable to agree within such sixty (60) day period, then Landlord and Tenant shall each within the next fifteen (15) days name an appraiser to represent them, and the two so appointed shall endeavor to jointly agree on the then current market rental value of the Premises.  As used in this Lease, “current market base rental value” shall mean the market annual net rental rate per square foot for the applicable space and for the time as to which such rate is being determined, that a willing tenant would pay and a willing landlord would accept, in arm’s length bona fide negotiations taking into consideration all relevant factors including, without limitation, the following factors: costs and benefits accruing directly or indirectly to Landlord and/or Tenant arising from a lease renewal compared to an initial lease; rent being charged in other similar office buildings located in Wake County, North Carolina for comparable tenants, for renewal leases then being entered into for comparable space to the Premises; location, quality, amenities, age and reputation of the buildings in which the space being compared is located; use and size of the space under comparison; location and/or floor level of the subject space and any comparison space within their respective buildings; extent of services provided or to be provided; extent and condition of leasehold improvements in the subject space and in any comparison space; abatements pertaining to the subject space and to any comparison space (including with respect to base rental, operating expense and/or real estate taxes); inclusion of parking charges in rental, if applicable; lease takeovers/assumptions by the landlord of the comparison space, if applicable; moving allowances granted, if any, in connection with the subject space and with respect to any comparison space; relocation allowances granted, if any, in connection with the subject space and with respect to the comparison space; club memberships granted, if any; construction, refurbishment and repainting allowances granted, if any, in connection with the subject space and with respect to any comparison space; any other concessions or inducements in connection with the subject space and with respect to any comparison space; term or length of lease of subject space and of any comparison space; overall creditworthiness of Tenant and Tenants in comparable space; the time the particular rental rate under consideration was agreed upon and became or is to become effective; and payment of a leasing commission, fees, bonuses or other compensation whether to Tenant’s representatives or to Landlord, or to any person or entity affiliated with Tenant or Landlord, or otherwise.  If either Landlord or Tenant fails to designate by written notice to the other its appraiser in the time stated, the one properly appointed shall be empowered to set the then current market rental value of the Premises.  If the two are appointed and are unable to agree within thirty (30) days after their appointment, they shall appoint a third appraiser, who shall be empowered to choose only one from the two appraisals to be the then current market rental value of the Premises.  If the two fail to agree on a third appraiser within ten (10) days, then the parties hereto shall request that a third appraiser be appointed by the American Arbitration Association.  Such appraiser so appointed shall choose only one from the two appraisals to be the then current market rental value of the Premises, and such value shall be the rental during the First Renewal Period.  Notwithstanding anything to the contrary in Section 7 of this Amendment, if the current market rental value has not been fixed within thirty (30) days of the time for exercise of the renewal option, the time for exercise of such option shall be extended to the date thirty (30) days after the current market rental value has been determined.   All appraisers must be MAI qualified with at least ten (10) years experience with commercial office space in the Research Triangle Park, North Carolina area.   Each party shall bear the costs of its own appraiser; all other costs of the third appraiser and the arbitration shall be shared equally between Landlord and Tenant.

           B.           If Tenant is entitled to exercise its option for a Second Renewal Period and Tenant satisfies the conditions for exercise of the Second Renewal Option, the parties shall use the same procedure for fixing rent for such Second Renewal Period as is provided for the First Renewal Period.

 

  

  

  

 

Exhibit D

 

EXPANSION SPACE COMMENCEMENT DATE AGREEMENT

           An Agreement made this                                            day of                              ,          by and between CCP Concourse, LLC, a Virginia limited liability company (“Landlord”); and Tenax Therapeutics, Inc., a Delaware corporation (“Tenant”).

W I T N E S S E T H

           WHEREAS, on                                         ,         , Landlord and Tenant entered into a Lease Agreement, as amended by that First Amendment to Lease Agreement dated _________, 2015 and a Second Amendment to Lease Agreement dated ________________, ____ (collectively the “Lease”) relating to the building and premises located at One Copley Parkway, Morrisville, North Carolina.

           WHEREAS, on                                          ,          , the Tenant entered the Expansion Space (as defined in the Lease) and therefore, pursuant to Section                 of the Second Amendment to Lease Agreement, the term of the Lease has commenced for the Expansion Space; and

           WHEREAS, the parties desire to confirm the dates of commencement and expiration of the Lease Term.

           NOW THEREFORE, in consideration of the mutual covenants herein contained, Landlord and Tenant agree as follows:

           (1)           The term of the Lease for the Expansion Space commenced on                                        , _________.

           (2)           Tenant’s rental obligation under the Lease commenced on                                               , _________.

           (3)           The initial term of the Lease shall expire on                                                                                               ,          .

           (4)           The execution of this Agreement shall not constitute the exercised by Tenant of any option it may have to extend the term of the Lease.

           (5)           The Lease is in full force and effect and is hereby ratified and confirmed.

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IN WITNESS WHEREOF, the Landlord and Tenant have entered into this Agreement by their duly authorized officers as of the date first above written.

LANDLORD:

CCP Concourse, LLC,

a Virginia limited liability company

By:   Continental Asset Management Group, LLC, its Authorized Agent

By:____________________________

Name:                                                             

Title:                                                               

 

 

TENANT:

Tenax Therapeutics, Inc.

A Delaware corporation

By: ____________________________                                                              

Name: __________________________                                                               

Title: ___________________________

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