Document:

EX-10.3

 Exhibit 10.3 

AMENDMENT TO CRUDE OIL PURCHASE AGREEMENT 
 This
Amendment to Crude Oil Purchase Agreement (“Amendment”) is entered into between Resolute Natural Resources Company, LLC (“Resolute”) and Western Refining Southwest, Inc. (“Western Southwest”). Navajo Nation Oil and Gas
Company (“NNOGC”) acknowledges and consents to this Amendment as set forth below. 
 WHEREAS, Resolute and Western Southwest entered into a Crude
Oil Purchase Agreement dated July 7, 2014 (the “Agreement”); and 
 WHEREAS, Resolute and Western Southwest desire to amend the term of the
Agreement, and also to amend the percentages indicated on Exhibit A to the Agreement, which were incorrectly listed on the original Exhibit A to the Agreement. 

NOW THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, Resolute and Western Southwest hereby agree
as follows: 
  

	 	1.	The section of the Agreement entitled “Term” shall be amended and restated as follows: 

This Agreement shall commence on the Effective Dates as set forth in the Agreement, and continue until December 31, 2014 (the
“Initial Term”). This Agreement will continue automatically after the Initial Term until March 31, 2015, and thereafter on a month-to-month basis unless and until terminated by either Party with ninety (90) days prior written
notice of termination. The period during which the Agreement is in effect shall be referred to as the “Term.” 
  

	 	2.	Effective January 1, 2015, the discount of $9.50 set forth in the “Price” section of the Agreement shall be amended to $8.00. 

 

	 	3.	Exhibit A to the Agreement shall be amended and restated as of the Effective Dates as follows: 

EXHIBIT A 
  

					
	 Lease Name
	  	 County/State
	    	Percentage
(Resolute & NNOGC combined)
	Aneth Unit – all leases	  	San Juan, Utah	    	87.250942%
	McElmo Creek Unit – all leases	  	San Juan, Utah	    	82.136043%
	Ratherford Unit – all leases	  	San Juan, Utah	    	77.694259%

	 	4.	All capitalized terms used but not defined in this Amendment shall have the meanings given to such terms in the Agreement. Except as expressly amended hereby, all terms and conditions contained in the Agreement shall
remain in full force and effect without amendment. If and to the extent that any terms and conditions of this Amendment are in conflict with any terms and conditions of the Agreement, this Amendment shall govern and prevail. 

AGREED to as of the dates set forth below: 
  

									
	WESTERN REFINING SOUTHWEST, INC.	 		 	RESOLUTE NATURAL RESOURCES COMPANY, LLC
					
	By:	 	/s/ Mark Smith	 		 	By:	 	/s/ James M. Piccone

									
	Printed Name:	 	Mark Smith	 		 	Printed Name:	 	James M. Piccone

									
	Title:	 	President, Refining and Marketing	 		 	Title:	 	President
	Date:	 	12/31/14	 		 	Date:	 	12/31/14

 Navajo Nation Oil and Gas Company, a/k/a Navajo Nation Oil & Gas Company, Inc. (“NNOGC”) hereby
acknowledges and consents to this Amendment. 
  

									
		 		 		 	Navajo Nation Oil and Gas Company
					
		 		 		 	By:	 	/s/ Louis Denetsosie

									
		 		 		 	Printed Name:	 	Louis Denetsosie

									
		 		 		 	Title:	 	Chief Executive Officer and President
		 		 		 	Date:	 	12/31/14Exhibit 10.52

 

SECOND AMENDMENT
TO STANDARD INDUSTRIAL NET LEASE

 

This SECOND AMENDMENT
TO STANDARD NET INDUSTRIAL LEASE (this “Second Amendment”) is entered into as of the 10th day of October, 2014,
by and between AGP SORRENTO BUSINESS COMPLEX, LP, a Delaware limited partnership (“Landlord”), as successor-in-interest
to SORRENTO BUSINESS COMPLEX, a California limited partnership (“Original Landlord”) and AETHLON MEDICAL, INC.,
a Nevada corporation (“Tenant”).

 

W I T N E S S E T H:

 

A.Original Landlord
and Tenant entered into that certain Standard Industrial Net Lease dated September 28, 2009, as amended by that certain First
Amendment to Standard Industrial Net Lease dated October 4, 2011 (collectively, the “Original Lease”),
wherein Tenant leased from Original Landlord Suite 109 consisting of approximately 1,667 rentable square feet (the “Original
Premises”) in the building located at 11585 Sorrento Valley Road, San Diego, California (the “Building”).

 

B.The Original
Lease, First Amendment and this Second Amendment are hereinafter collectively referred to as the “Lease”.

 

C.Tenant’s
Lease is scheduled to expire on October 31, 2014.

 

D.Landlord and
Tenant now desire to renew the Lease Term and to otherwise modify the Lease, as provided herein.

 

E.Unless otherwise
defined herein, all capitalized terms shall have the same meanings given to such terms in the Lease.

 

NOW, THEREFORE, for
and in consideration of the mutual terms and conditions set forth herein, and for other good and valuable consideration, the receipt
and sufficiency of which are hereby acknowledged, Landlord and Tenant agree as follows:

 

a
g r e e m e n t:

 

1.Extended
Lease Term. The Lease Term shall be extended for a period of twelve (12) months (the “Extended Term”) commencing
on November 1, 2014 (“New Commencement Date”) and expiring on October 31, 2015 (the “New
Expiration Date”).

 

2.Minimum
Monthly Rent. The Minimum Monthly Rent for the Premises during the Extended Term shall be as follows:

 

	
        Lease
        Term
	
        Annual
        Rent
	
        Monthly
        Rent

	November 1, 2014 – October 31, 2015	$47,009.40	$3,917.45
	 	 	 

 

3.Condition
of Premises. Tenant hereby agrees to accept the Premises in its “as-is” condition and Tenant hereby acknowledges
that Landlord shall not be obligated to provide or pay for any work or services related to the improvement of the Premises. Tenant
also acknowledges that Landlord has made no representation or warranty regarding the condition of the Premises.

 

    	1

    	 

    

 

4.Address
for Notice. The notice address for Landlord set forth in the Basic Lease Terms, Section 1.1 of the Lease shall be deleted
in its entirety and replaced with the following:

 

If to Landlord:

AGP SORRENTO BUSINESS COMPLEX, LP

c/o Parallel Capital Partners, Inc.

10188 Telesis Court, Ste. 222

San Diego, CA 92121

Attn: Matthew Root

 

5.Tenant’s
Insurance. In accordance with Section 9.2(c) of the Lease, Tenant’s Insurance shall be revised to include AGP Sorrento
Business Complex, LP and Parallel Capital Partners, Inc., as “Additional Insureds” and named as “Loss Payees”.

 

6.Lease
Status. Tenant hereby represents and warrants to Landlord that there are no offsets or credits against Minimum Monthly Rent
nor has any Minimum Monthly Rent been paid in advance. Further, Tenant agrees that there are no existing claims or causes of action
against Landlord arising out of the Lease, nor are there any existing defenses which Tenant has against the enforcement of the
Lease by Landlord.

 

7.Ratification.
It is understood and agreed that the Lease is ratified, affirmed and in full force and effect, and has not been modified, supplemented
or amended in any way, except as herein provided. In the event of any inconsistency between the terms of the Lease and this Second
Amendment, the terms of this Second Amendment shall prevail. All references in the Lease to “this Lease” shall be deemed
references to the Lease, as modified by the Second Amendment.

 

8.Authority.
The parties and all persons signing for the parties below represent to each other that this Second Amendment has been fully authorized
and no further approvals are required.

 

9.Brokers.
Each party represents and warrants to the other that no other brokers except Brian Starck and Brant Aberg of Cassidy Turley (“Landlord’s
Broker”) and Steve Holland and grant Schoneman of Jones Lang LaSalle (“Tenant’s Broker”), or
agent or finder negotiated or was instrumental in negotiating or consummating this Second Amendment. Each party further agrees
to defend, indemnify and hold harmless the other party from and against any claim for commission or finder’s fee by an entity
(other than Landlord’s Broker and Tenant’s Broker) who claims or alleges that they were retained or engaged by the
first party or at the request of such party in connection with this Second Amendment. Landlord and Tenant shall keep the terms
and conditions confidential and may not share with any other third party brokers or tenants.

 

10.No
Other Change. Except as otherwise expressly set forth in this Amendment, all of the terms and conditions of the Lease remain
unchanged and in full force and effect.

 

[Remainder of Page Intentionally Left Blank;

Signatures on Subsequent Page]

 

    	2

    	 

    

 

IN WITNESS WHEREOF,
the parties have duly executed and delivered this Second Amendment as of the day and year set forth above.

 

	 	LANDLORD:
	 	 
	 	AGP SORRENTO BUSINESS COMPLEX, L.P.,
	 	a Delaware limited partnership
	 	 	 
		By:	Parallel Capital Partners, Inc.,
 a California corporation,
 its authorized agent
	 	 	 
	 	 	 
	 	 	By:	 
	 	 	Name:	 
	 	 	Title:	 
	 	 	 	 
	 	TENANT:
	 	 	 	 
	 	AETHLON MEDICAL, INC.,
	 	a Nevada corporation
	 	 	 	 
	 	 	 	 
	 	By:	/s/ James A. Joyce
	 	Name:	James A. Joyce
	 	Title:	Chief Executive Officer

 

 

 

    	3Exhibit 10.57

 

 

 

    	1

    	 

    

 

Section B - Supplies or Services and Prices

 

	ITEM NO	 	SUPPLIES/SERVICES	 	QUANTITY	 	UNIT	 	UNIT PRICE	 	 	AMOUNT	 
	0001	 	 	 	1	 	Lot	 	$	1,975,047.00	 	 	$	1,975,047.00	 
	 	 	RESEARCH	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	FFP	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Research IAW the SOW (Contained in section C).	 	 	 	 	 	 	 	 
	 	 	FOB: Destination	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
		 	 	 	 	 	 	 	 	NET AMT	 	 	$	1,975,047.00	 

 

 

 

PURCHASE REQUEST NUMBER: 1300211787

 

	000101	 	Funding Information	 	ACRN	 	$	938,583.00	 
	 	 	 	 	AA	 	 	 	 

 

 

 

	ITEM NO	 	SUPPLIES/SERVICES	 	QUANTITY	 	UNIT	 	UNIT PRICE	 	 	AMOUNT	 
	0002	 	 	 	1	 	Lot	 			 	 	$	NSP	 
	 	 	 CDRLs	 	 	 	 	 	 	 	 	 	 	 	 

 

 

 

    	2

    	 

    

 

	ITEM NO	 	SUPPLIES/SERVICES	 	QUANTITY	 	UNIT	 	UNIT PRICE	 	 	AMOUNT	 
	0003	 	 	 	1	 	Lot	 	$	835,124.00	 	 	$	835,124.00	 
	OPTION	 	RESEARCH	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	FFP	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Research IAW the SOW (Contained in section C).	 	 	 	 	 	 	 	 
	 	 	FOB: Destination	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
		 	 	 	 	 	 	 	 	NET AMT	 	 	$	835,124.00	 

 

 

 

	ITEM NO	 	SUPPLIES/SERVICES	 	QUANTITY	 	UNIT	 	 	UNIT PRICE	 	 	 	AMOUNT	 
	0004	 	 	 	 	 	 	 	 	 	 	 	 	NSP	 
	OPTION	 	CDRLs	 	 	 	 	 	 	 	 	 	 	 	 

 

 

 

	ITEM NO	 	SUPPLIES/SERVICES	 	QUANTITY	 	UNIT	 	UNIT PRICE	 	 	AMOUNT	 
	0005	 	 	 	1	 	Lot	 	$	782,322.00	 	 	$	782,322.00	 
	OPTION	 	Human and Animal Use	 	 	 	 	 	 	 	 	 	 
	 	 	FFP	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Tasking in SOW section 2.3.2 will not be funded until the contractor obtains all necessary IRB documentation and obtain both institutional and Government (SSC- Pacific) approval in accordance with IRB documentation submission guidance prior to conducting human or animal testing.	 	 	 	 	 	 
	 	 	FOB: Destination	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
		 	 	 	 	 	 	 	 	NET AMT	 	 	$	782,322.00	 

 

    	3

    	 

    

 

	ITEM NO	 	SUPPLIES/SERVICES	 	QUANTITY	 	UNIT	 	UNIT PRICE	 	 	AMOUNT	 
	0006	 	 	 	1	 	Lot	 	$	1,534,099.00	 	 	$	1,534,099.00	 
	OPTION	 	RESEARCH	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	FFP	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Research IAW the SOW (Contained in section C)	 	 	 	 	 	 	 	 
	 	 	FOB: Destination	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
		 	 	 	 	 	 	 	 	NET AMT	 	 	$	1,534,099.00	 

 

 

 

	ITEM NO	 	SUPPLIES/SERVICES	 	QUANTITY	 	UNIT	 	UNIT PRICE	 	 	AMOUNT	 
	0007	 	 	 		 	Lot	 	 		 	 	 	NSP	 
	OPTION	 	CDRLs	 	 	 	 	 	 	 	 	 	 	 	 

 

 

 

	ITEM NO	 	SUPPLIES/SERVICES	 	QUANTITY	 	UNIT	 	UNIT PRICE	 	 	AMOUNT	 
	0008	 	 	 	1	 	Lot	 	$	892,922.00	 	 	$	892,922.00	 
	OPTION	 	RESEARCH	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	FFP	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Research IAW the SOW (Contained in section C)	 	 	 	 	 	 	 	 
	 	 	FOB: Destination	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	NET AMT	 	 	$	892,922.00	 

 

 

 

 

    	4

    	 

    

 

	ITEM NO	 	SUPPLIES/SERVICES	 	QUANTITY	 	UNIT	 	UNIT PRICE	 	 	AMOUNT	 
	0009	 	 	 		 		 	 		 	 	 	NSP	 
	OPTION	 	CDRLs	 	 	 	 	 	 	 	 	 	 	 	 

 

 

 

	ITEM NO	 	SUPPLIES/SERVICES	 	QUANTITY	 	UNIT	 	UNIT PRICE	 	 	AMOUNT	 
	0010	 	 	 	1	 	Lot	 	 		 	 	 	NSP	 
	 	 	Hardware Deliverable	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	FFP	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	50 Prototype Optimized Cartridges	 	 	 	 	 	 	 	 	 	 
	 	 	FOB: Destination	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
		 	 	 	 	 	 	 	 	NET AMT	 	 	 	 	 

 

 

 

	ITEM NO	 	SUPPLIES/SERVICES	 	QUANTITY	 	UNIT	 	UNIT PRICE	 	 	AMOUNT	 
	0011	 	 	 	1	 	Lot	 	$	774,875.00	 	 	$	774,875.00	 
	OPTION	 	RESEARCH	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	FFP	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Research IAW the SOW (Contained in section C)	 	 	 	 	 	 	 	 	 	 
	 	 	FOB: Destination	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
		 	 	 	 	 	 	 	 	NET AMT	 	 	$	774,875.00	 

 

 

    	5

    	 

    

 

 

	ITEM NO	 	SUPPLIES/SERVICES	 	QUANTITY	 	UNIT	 	 	UNIT PRICE	 	 	 	AMOUNT	 
	00012	 	 	 	 	 	 	 	 	 	 	 	 	NSP	 
	OPTION	 	CDRLs	 	 	 	 	 	 	 	 	 	 	 	 

 

 

 

  

 

 

 

    	6

    	 

    

 

Section C - Descriptions and Specifications

 

STATEMENT OF WORK (SOW)

 

Statement of Work

Aethlon Medical, Inc.

 

DATE: 23 September 2011

 

TITLE: Broad Spectrum Countermeasures for Viral
and Bacterial Sepsis using Dialysis-Like Devices

 

1. Scope

 

The scope of this effort is to use Aethlon’s
ADAPT System as the core technology within an extracorporeal blood purification device that would simultaneously remove: viruses,
virally-derived immunosuppressive glycoproteins, and multiple classes of exosomes; complement activation, activation of virus growth
(e.g. cytomegalovirus) and TLR activation, all of which have implications to the promotion of the well-being and recovery of wounded
warfighters and the prevention of sepsis.

 

1.1 Introduction

 

This effort will use the adaptable dialysis-like
platform (ADAPT) technology that allows for the selective removal of harmful agents from the entire circulatory system. This revolutionary
advance overcomes the limitation of devices that indiscriminately adsorb or solely capture particles by molecule size. The platform
will provide an expansive therapeutic filtration mechanism to immobilize multiple affinity agents directed toward precursors to
sepsis, bacterial toxins, viral pathogens, and disease enhancing particles transported by exosomes. To insure benefit to wounded
warfighters, this effort will advance an innovative strategy that will allow therapy administration without systemic anticoagulation.

 

The ADAPT platform has been previously used to create
a broad-spectrum antiviral device that immobilized one lectin affinity agent, resulting in the effective capture of all tested
Category A pathogens, as well as exosomes underlying tuberculosis and cancer. In human studies, this same device, known as the
Hemopurifier, consistently provided greater than 50% average viral load reductions during four-hour treatment periods in both hepatitis-C
and HIV infected individuals without antiviral drug therapy.

 

The resulting device would save thousands of military
and civilian lives each year. Each of these technology advancements will be integrated into a single cartridge that will provide
decision-free and life-saving medical care for the wounded warfighter.

 

1.2 Background

 

The goal of the DLT program is to develop a portable device
that removes “dirty” blood from the body, separates harmful agents, and returns “clean” blood to the body
in a manner similar to dialysis treatment of kidney failure. While the device could have an impact across multiple areas of medicine,
the target application for this device is sepsis. The envisioned device can also provide early identification of the presence of
a pathogen. Once the presence of pathogens has been confirmed, the DLT device will provide continuous "label-free" removal
of pathogens, toxins and activated patient cells without pathogen identification or use of pathogen-specific binding chemistries.
As a final step in the treatment process, the DLT device will enable closed-loop therapy based on continuous, reduced dimensionality
modeling of patient health. Predictive modeling in this fashion will allow us to identify sepsis early, learn what we need to remove,
and direct the most effective intervention to improve patient health. This cycle of sensing, adjustment, estimation, computation,
and manipulation will modulate key health parameters faster than the underlying disease process and drive the patient towards a
stable, healthy state.

 

 

    	7

    	 

    

2. Technical Requirements

 

2.1 Human and Animal use

 

Human use is anticipated in this effort, specifically
related to the use of human blood. The contractor shall obtain all necessary Institutional Review Board (IRB) approvals, show proper
assurance documentation, and obtain proper approval from the Government officials prior to human use testing. Funds associated
with human subjected testing shall not be released until IRB documentation has been provided to SSC's HRPO and approval to release
funds has been obtained.

 

Animal use is anticipated in this effort. The contractor shall
obtain all necessary Institutional Animal Care and Utilization Committee (IACUC) approval and demonstrate this approval to the
Government (both ACURO and SSC-Pacific) prior to beginning experimentation with animals. If animal use is no longer anticipated,
or changes significantly from the approved IACUC then the Principal Investigator (PI) must submit a letter stating the discontinuation
of animal use for this effort and/or receive appropriate authorization for IACUC changes of previously specified protocols. Unless
prior approval by DARPA is given IACUC documentation must be provided prior to contract award.

 

2.2 Base Effort (Year 1)

 

2.2.1 Subtask la: Anticoagulant-free Hemopurification
Device 

	2.2.1.1	Write requirements definition for the extracorporeal blood purification system and acquire necessary equipment.
	2.2.1.2	Fabricate breadboard prototypes for anticoagulation-free anti-sepsis extracorporeal system (ASEPSYS) device. Fabricate prototype blood tubing sets. Acquire anti-thrombogenic surface-modified hollow fiber plasma separators.
	2.2.1.3	Assemble and test breadboard ASEPSYS devices ex vivo with bovine blood. The test will most likely be conducted using a porcine model where the elapsed time to reach a pre-defined degree of clotting in the blood treatment device will be compared between the new device and two control groups; one using standard anticoagulant therapy and one using none. Determine contribution of the following techniques and approaches to eliminating anticoagulants:
	 	         	  *

	2.2.1.4	IRB Documentation Generation: The contractor shall obtain all necessary IRB documentation and
obtain both institutional and Government (SSC-Pacific) approval in accordance with IRB documentation submission guidance prior
to conducting human subject testing.

 

Milestones 

		Ml:	Demonstrate the effectiveness of the prototype device in preventing platelet activation or clotting in at least a 2 hour blood
pumping experiment at 100 mL/hr blood flow.

 

2.2.2 Subtask 2: Removal of Sepsis Precursors 

		2.2.2.1	Begin to develop a device based on Aethlon's ADAPT system to efficiently capture sepsis precursors identified as potentially
important in killing patients undergoing sepsis. The strategy is takes advantage of the flexibility and rapidity of modification
of our ADAPT platform system to test any sepsis precursor candidates that circulate in the blood. The sepsis precursors that will
be targeted are shown in Table I, in order of importance. No test for the removal of bacterial toxins.

 

* This material has been omitted pursuant to a request for confidential
treatment and filed separately with the Securities and Exchange Commission.

 

    	8

    	 

    

No testing for removal of cytokines, since the
evidence to date does not support a role for them in death due to sepsis. Additional factors may become known during the grant
period and those will also be tested as time and budget permit.

		2.2.2.2	Screening Capture Agents: Perform initial screening of the different proposed capture agents by measuring binding affinity
and kinetics using surface plasmon resonance (SPR) or biolayer surface interferometry (BLI).

		2.2.2.3	Perform quantitative real time PCR will also be used to measure viral load, and specific DNA or RNA targets.

 

Milestones  

		M2:	Target capture > 50% in 24 hours for at least 1 target in blood or blood components

 

Table I Potential Target Sepsis Precursors
and Broad Spectrum Binding Agents

 

	Group	Factor	Proposed Binding Agents
	Sepsis related Exosomes	 	 
	1.  iNOS exosomes [1-3]	Inducible NO synthase containing exosomes implicated in sepsis	GNA lectin or iNOS Specific antibody
	2.  Platelet derived exosomes [4, 5]	Exosomes isolated from platelets associated with sepsis	GNA lectin or antibodies
	3.  Macrophage derived exosomes [6]	Exosomes from cultured macrophages	GNA lectin
	Other Potential Sepsis Factors	 	 
	4.  Complement Activation [7-9]	Humanized Cobra venom factor (CVF) from Incode, CVF is not a toxin	
        CVF is a stable analog of human

        complement that neutralizes C3a in animals

	5.    Bacterial DNA [13-15]	CpG rich DNA activates macrophages via Toll Like Receptors (TLR)	Antisense nuclease resistant DNA analogs, TLRs or specific antibodies
	6.  Common
Sepsis associated Viruses including CMV	Virus blooms in trauma and burn patients [10]	GNA Lectin
	7.  Protease leakage through ischemic gut (e.g. trypsin) [11, 12]	Ischemia in the gut leads to protease leakage into the blood and the symptoms of sepsis (reperfusion injury)	Lima bean trypsin inhibitor, Soybean trypsin inhibitor

 

 

 

    	9

    	 

    

2.3 Option 1 (Year 2)

 

2.3.2 Subtask 1a: Anticoagulant-free Hemopurification
Device 

		2.3.2.1	Demonstrate the effectiveness of the prototype device in vivo in animals preventing platelet activation or clotting in at least
a 2 hour blood pumping experiment at 75 mL/min blood flow.

		2.3.2.2	Formulate initial design based on work from previous phase. Begin to build and test selected instrument design and tubing sets.

		2.3.2.3	Write and test software. Conduct ergonomic research. Begin discussions with System Integrator.

 

Milestone  

		M3:	Demonstrate the effectiveness of the prototype device in preventing platelet activation or clotting in at least a 8 hour blood
pumping experiment at 500 mL/hr blood flow.

 

2,3.3 Subtask 2. Removal of Sepsis Precursors 

		2.3.3.1	Build the ADAPT capture cartridges with the identified affinity agents. Measure the rate of capture of the specific targets
from in ex vivo recirculation experiments from cell culture and blood.

		2.3.3.2	Cartridge construction with optimized affinity matrix design for each potential target. Complete all capture agents screening.
Initiate ex vivo capture studies from blood using the optimized cartridges.

 

Milestones  

		M4:	Target capture > 50% in 24 hours for at least 5 targets in blood or blood components.

		M5:	Milestone 5: Target capture > 90% in 24 hours for at least 3 targets in blood or blood components.

 

NOTE: TASK 2.3.2
SHALL NOT BE EXERCISED AND TASKING FUNDS RELEASED UNTIL IRB DOCUMENTATION AND PROPER IRB APPROVAL HAS BEEN OBTAINED.

 

2.4 Option 2 (Year 3)

 

2.4.1 Subtask 1a: Anticoagulant-free Hemopurification
Device 

		2.4.1.1	Collaborate with System Integrator to build final prototypes for in vivo pig testing.

		2.4.1.2	Perform animal tests to confirm the performance of the device in vivo.

		2.4.1.3	Document all adverse events and long term effects of treatment.

 

Milestones  

		M6:	Demonstrate the effectiveness of the prototype device in preventing platelet activation or clotting in at least a 24 hour blood
pumping experiment at 1250 mL/hr blood flow in vivo in pigs.

 

2.4.2 Subtask 4: Target Capture in Combined Agent Cartridge

		2.4.2.1	Candidate cartridges that demonstrate >90% capture in 24 hours efficacy in binding to individual sepsis precursor targets will
move to the next stage. These capture agents will be combined into a single cartridge and retested ex vivo in pig blood or blood
components.

		2.4.2.2	Optimize cartridge design in regard to fiber length, diameter and the use of prototype ASEPSYS system. Demonstrate increased
capture rates 2-7 fold from the current system in blood or blood components.

		2.4.2.3	Perform basic biocompatibility studies to confirm that the combination cartridge does not present any new patient risks that
need to be addressed.

 

Milestones  

		M7:	Target capture > 50% in 24 hours for at least 5 of the 7 targets ex vivo in blood or blood components using the combination
cartridge.

 

 

    	10

    	 

    

		M8:	Optimize cartridge composition for target capture in a single cartridge demonstrating increased capture rates 2-7 fold from
the current system in blood or blood components.

		M9:	Target capture > 90% in 24 hours (12 months) for at least 5 of the 7 targets ex vivo in blood or blood components using
the optimized cartridge

		M10:	Pass biocompatibility tests for the combination ADAPT device.

 

2.5
Option 3 (Year 4)

 

2.5.1 Subtask 1a: Anticoagulant-free Hemopurification
Device 

		2.5.1.1	System integrator implements design modifications emanating from pig experiments.

		2.5.1.2	Collaborate with System Integrator in conducting verification and validation testing and collecting all remaining data required
for IDE submission (e.g. biocompatibility, electromagnetic interference, electromagnetic susceptibility, software V&V, etc.).

		2.5.1.3	Make additional cartridge or device modification as required by system integrator.

 

Milestones  

		M11:	Demonstrate the effectiveness of the newest device design in preventing blood clotting in a 24 hour blood pumping experiment
at 1275 mL/hr blood flow in vivo.

 

2.5.2 Subtask 4: Target Capture in Combined Agent Cartridge

		2.5.2.1	Determine the in vivo efficiency of an optimized combined clearance cartridge incorporating all the successful capture
agents.
	 	2.5.2.2	Finish construction and delivery of 50 prototype
cartridges for testing by the system integrator. The cartridges will need to be made available (packaged, labeled, sterilized and
qualified) to the system integrator.

 

		2.5.2.3	Perform basic biocompabability tests for the combination ADAPT device to confirm the combination cartridge does not present
any new patient risk.

 

Milestones  

		M12:	Complete studies in septic pig models with optimized combination cartridge for >90% clearance of at least 4 of the 7 sepsis
marker targets in 24 hours (12 months)

		M13:	Construct and deliver of 50 prototype cartridges for testing by the system integrator.

 

2.6 Option 4 (Year 5)

 

2.6.1 Subtask 5: Testing of final product by System Integrator

		2.6.1.1	System Integrator approval of ASEPSYS device for portable blood pump without the need for systemic anticoagulation.

		2.6.1.2	System Integrator testing of the ADAPT treatment cartridge for reducing sepsis related death by >20% in a septic animal
pig model.

		2.6.1.3	Prepare and submit IDE proposal for sepsis treatment based on previously approved IDE.

		2.6.1.4	Prepare and present Final report for DARPA.

 

Milestones  

		M13:	System Integrator approval of a sepsis precursor ADAPT treatment cartridge for reducing sepsis related death by >20% in
a septic animal pig model.

		M14:	System integrator acceptance of the ASEPSYS anticoagulation device as the blood pump that can avoid the need for systemic anticoagulation.

 

 

 

    	11

    	 

    

3.0 Program Management and Reviews

 

3.1 Program Management Plan

 

The contractor shall develop a Program Management
Plan. A graphical representation of this plan (Gantt chart is one example) identifying major tasks and their task leaders, milestones
of the major task and their completion dates shall be generated. In addition, a graphical representation of budget shall be generated.

 

3.2 Kick-off Meeting

 

The contractor shall participate in a kick-off meeting
within 60 days of contract award. The purpose of this meeting is to introduce key program personnel, discuss the proposed tasking,
present the program schedule and milestones and the initial Program Management Plan.

 

3.3 Quarterly Reviews

 

The contractor shall hold quarterly reviews for the duration
of this effort. The purpose of these reviews is to present a summary of work completed and milestones met, discuss any problems
encountered, update the program schedule, present the program financial status, and discuss remaining work.

 

3.4 Final Contract Review

 

A final contract review held in place of the last
quarterly review shall be hosted by the principal contractor. The purpose of this review is to present a summary of all work completed
and milestones accomplished and to discuss any relevant future efforts similar to the contract that may be pursued.

 

4.0 Deliverables

 

The reports and presentation materials are to be delivered in
accordance with the contract CDRLs..

 

CLAUSES INCORPORATED BY FULL TEXT

 

5252.227-9211 PROCEDURES FOR CONTROLLING TECHNICAL
DOCUMENTS UNDER SPAWARSYSCEN PACIFIC CONTRACTS (NOV 2008)

 

The Contractor shall comply with DOD Directive 5230.25
and the information provided herein when the Government provides the Contractor with technical data.

 

(a) Location of distribution statement, export warning
notice, and destruction notice (classified and unclassified technical documents).

 

(1)
Standard written or printed material with covers and/or title pages: Statement(s) to be printed, typed, or stamped on the
front cover and title page.

(2)
Technical documents without covers or title pages: Statement(s) to be typed, printed, or stamped on the first page of the
document.

(3)
Deck of punched or aperture cards: Statement(s) to be typed, printed, or stamped on face of first and last card and on top
of deck.

(4)
Magnetic tape, cassette, or disk: Statement(s) to be typed, stamped, or printed on a label applied to outside of material.
The first page of the resulting hard-copy report or computer printout is also marked with applicable statement(s).

(5)
Microfilm: Statement(s) to be typed, stamped, or printed on outside of jacket or canister housing the material. The first
page of the resulting hard-copy report or first frame is also marked with applicable statement(s). The headers for microfiche must
carry an abbreviated version of the statement(s).

(6)
Drawings: Applicable statement(s) to be typed, stamped, or printed near the title block.

(b) Safeguarding of Unclassified, Limited-Access Documents (for
classified documents see NOSCINST 5500.1A).

(1) Normal working hours: Limited-access
documents and those that have not yet been reviewed cannot be left unattended in work areas accessible to non-DoD employees.

 

 

    	12

    	 

    

(2)
After normal working hours: Limited-access documents and those that have not yet been reviewed should be placed in locked
files, desks, or similar containers. If this is not possible, locked offices or buildings are adequate.

(3)
Additional guidance for safeguarding limited-access media processed by an IT system, activity, or network can be found in
OPNAVINST 5239.1A.

 

(c) Destruction of Unclassified, Limited-Access Documents.
Destroy by any method that will prevent disclosure of contents or reconstruction of the material. Examples of such destruction
methods follow:

(1)
Printed document, deck of punched or aperture cards, computer printout, and drawings: Destroy by tearing each copy into
pieces to preclude reconstruction and placing the pieces in regular trash containers or send to the Mail Room Branch for destruction.

 

(2)
Magnetic tape, cassette, or disk: Destroy by erasing the magnetic storage media.

(3)
Microfilm: Destroy by cutting into small pieces or send to the mailroom for destruction.

 

(d) Safeguarding of Classified Documents: See NOSCINST 5500.1A.

 

(e) Destruction of Classified Documents: See NOSCINST 5500.1A.

(End of specification)

 

 

 

5252.237-9601 KEY PERSONNEL (DEC 1999)

 

(a) 
The offeror agrees to assign to this contract those key personnel listed in paragraph (d) below. No substitutions shall be made
except in accordance with this clause.

 

(b) The offeror agrees that during the first
6 months of the contract performance period no personnel substitutions will be permitted unless such substitutions are necessitated
by an individual's sudden illness, death or termination of employment. In any of these events, the contractor shall promptly notify
the Contracting Officer and provide the information required by paragraph (c) below. After the initial 6 month period, all proposed
substitutions must be submitted in writing, at least fifteen (15) days (thirty (30) days if a security clearance is to be obtained)
in advance of the proposed substitutions to the contracting officer. These substitution requests shall provide the information
required by paragraph (c) below.

 

(c) All
requests for approval of substitutions under this contract must be in writing and provide a detailed explanation of the circumstances
necessitating the proposed substitutions. They must contain a complete resume for the proposed substitute or addition, and any
other information requested by the Contracting Officer or needed by him to approve or disapprove the proposed substitutions. All
substitutions proposed during the duration of this contract must have qualifications of the person being replaced. The Contracting
Officer or his authorized representative will evaluate such requests and promptly notify the contractor of his approval or disapproval
thereof in writing.

 

(d) List of Key Personnel

 

	NAME	CONTRACT LABOR CATEGORY
	Richard H. Tullis, PhD	Chief Science Officer

 

 

 

 

 

    	13

    	 

    

(e) If
the Contracting Officer determines that suitable and timely replacement of key personnel who have been reassigned, terminated
or have otherwise become unavailable for the contract work is not reasonably forthcoming or that the resultant reduction of productive
effort would be so substantial as to impair the successful completion of the contract or the service order, the contract may be
terminated by the Contracting Officer for default or for the convenience of the Government, as appropriate. In addition, if the
Contractor is found at fault for the condition, the Contracting Officer may elect to equitably decrease the contract price or
fixed fee to compensate the Government for any resultant delay, loss or damage.

 

(f) If the offeror wishes to add personnel to be
used in a labor category he shall employ the procedures outlined in paragraph (c) above. Adding personnel will only be permitted
in the event of an indefinite quantity contract, where the Government has issued a delivery order for labor hours that would exceed
a normal forty hour week if performed only by the number of employees originally proposed.

 

(End of clause)

 

 

 

 

    	14

    	 

    

 

Section D - Packaging and Marking 

 

CLAUSES INCORPORATED BY FULL TEXT

 

 

 

252.235-7010 ACKNOWLEDGMENT OF SUPPORT AND DISCLAIMER (MAY 1995)

 

(a) 
The Contractor shall include an acknowledgment of the Government’s support in the publication of any material based
on or developed under this contract, stated in the following terms: This material is based upon work supported by the (name of
contracting agency(ies)) under Contract No. (Contracting agency(ies) contract numbers(s).

 

(b)
All material, except scientific articles or papers published in scientific journals, must, in addition to any notices or
disclaimers by the Contractor, also contain the following disclaimer: Any opinions, findings and conclusions or recommendations
expressed in this material are those of the author(s) and do not necessarily reflect the views of the (name of contracting agency(ies).

 

(End of clause)

 

 

 

 

 

 

 

    	15

    	 

    

Section E - Inspection and Acceptance

 

 

 

INSPECTION AND ACCEPTANCE TERMS

Supplies/services will be inspected/accepted at:

 

	CLIN	INSPECT AT	INSPECT BY	ACCEPT AT	ACCEPT BY
	0001	Destination	Government	Destination	Government
	0002	Destination	Government	Destination	Government
	0003	Destination	Government	Destination	Government
	0004	Destination	Government	Destination	Government
	0005	Destination	Government	Destination	Government
	0006	Destination	Government	Destination	Government
	0007	Destination	Government	Destination	Government
	0008	Destination	Government	Destination	Government
	0009	Destination	Government	Destination	Government
	0010	Destination	Government	Destination	Government
	0011	Destination	Government	Destination	Government
	0012	Destination	Government	Destination	Government

 

 

CLAUSES INCORPORATED BY REFERENCE

 

	52.246-7	Inspection Of Research And Development Fixed Price	AUG 1996
	252.246-7000	Material Inspection And Receiving Report	MAR 2008

 

 

 

    	16

    	 

    

Section F - Deliveries or Performance

 

 

 

DELIVERY INFORMATION

 

	CLIN	PERIOD OF PERFORMANCE	QUANTITY	SHIP
    TO ADDRESS	UIC
	 	 	 	 	 
	0001	12 MONTHS AFTER	N/A	SPAWAR SYSTEMS CENTER RECEIVING OFFICER	N66001
	 	DATE OF CONTRACT AWARD	 	4297 PACIFIC HIGHWAY,
    BLDG 7 SAN DIEGO CA 92110-5000	 
	 	 	 	619-553-1251	 
	 	 	 	FOB: Destination	 
	 	 	 	 	 
	0002	12 MONTHS AFTER	N/A	(SAME AS PREVIOUS LOCATION)	N66001
	 	DATE OF CONTRACT AWARD	 	FOB: Destination	 
	 	 	 	 	 
	0003	12 MONTHS AFTER	N/A	(SAME AS PREVIOUS LOCATION)	N66001
	 	DATE OF OPTION I AWARD	 	FOB: Destination	 
	 	 	 	 	 
	0004	12 MONTHS AFTER	N/A	(SAME AS PREVIOUS LOCATION)	N66001
	 	DATE OF OPTION I AWARD	 	FOB: Destination	 
	 	 	 	 	 
	0005	12 MONTHS AFTER	N/A	(SAME AS PREVIOUS LOCATION)	N66001
	 	DATE OF OPTION I AWARD	 	FOB: Destination	 
	 	 	 	 	 
	0006	12 MONTHS AFTER	N/A	(SAME AS PREVIOUS LOCATION)	N66001
	 	DATE OF OPTION II AWARD	 	FOB: Destination	 
	 	 	 	 	 
	0007	12 MONTHS AFTER	N/A	(SAME AS PREVIOUS LOCATION)	N66001
	 	DATE OF OPTION II AWARD	 	FOB: Destination	 
	 	 	 	 	 
	0008	12 MONTHS AFTER	N/A	(SAME AS PREVIOUS LOCATION)	N66001
	 	DATE OF OPTION III AWARD	 	FOB: Destination	 
	 	 	 	 	 
	0009	12 MONTHS AFTER	N/A	(SAME AS PREVIOUS LOCATION)	N66001
	 	DATE OF OPTION III AWARD	 	FOB: Destination	 
	 	 	 	 	 
	0010	12 MONTHS AFTER	1	(SAME AS PREVIOUS LOCATION)	N66001
	 	DATE OF OPTION III AWARD	 	FOB: Destination	 
	 	 	 	 	 
	0011	12 MONTHS AFTER 	N/A	(SAME AS PREVIOUS LOCATION)	N66001
	 	DATE
        OF OPTION IV AWARD	 	FOB: Destination	 
	 	 	 	 	 
	0012	12 MONTHS AFTER 	N/A	(SAME AS PREVIOUS LOCATION)	N66001
	 	DATE
        OF OPTION IV AWARD	 	FOB: Destination	 

 

 

    	17

    	 

    

 

CLAUSES INCORPORATED BY REFERENCE

 

	52.242-15	Stop-Work Order	AUG 1989
	52.242-15 Alt I	Stop-Work Order (Aug 1989) - Alternate I	APR 1984
	52.247-34	F.O.B. Destination	NOV 1991

 

 

 

 

 

 

    	18

    	 

    

Section G - Contract Administration Data

 

 

 

ACCOUNTING AND APPROPRIATION DATA

 

AA: 9710400 1320 595 0P1D1 0 2525DP AM 179166 1101E S12136 

AMOUNT: $938,583.00 

CIN 130021178700002: $938,583.00

 

CLAUSES INCORPORATED BY FULL TEXT

 

252.204-0007 CONTRACT-WIDE: SEQUENTIAL ACRN ORDER. (SEP 2009)

 

The payment office shall make payment in sequential ACRN order
within the contract or order, exhausting all funds in the previous ACRN before paying from the next ACRN using the following sequential
order: alpha/alpha; alpha/numeric; numeric/alpha; and numeric/numeric.

 

(End of clause)

 

 

 

5252.201-9201 DESIGNATION OF CONTRACTING OFFICER'S REPRESENTATIVE
(MAR 2006)

 

(a)
The Contracting Officer hereby appoints the following individual as Contracting Officer’s Representative(s) (COR)
for this contract/order:

 

CONTRACTING OFFICER REPRESENTATIVE

 

Name: John Rockway

Code: 52260

Address: 53560 Hull Street, San Diego, CA 92152-5001

 

Phone Number: 619-204-0988

E-mail: john.rockway@navy.mil

 

(c) 
It is emphasized that only the Contracting Officer has the authority to modify the terms of the contract, therefore,
in no event will any understanding agreement, modification, change order, or other matter deviating from the terms of the basic
contract between the Contractor and any other person be effective or binding on the Government. When/If, in the opinion of the
Contractor, an effort outside the existing scope of the contract is requested, the Contractor shall promptly notify the PCO in
writing. No action shall be taken by the Contractor unless the Procuring Contracting Officer (PCO) or the Administrative Contracting
Officer (ACO) has issued a contractual change.

 

 

 

5252.216-9210 TYPE OF CONTRACT (DEC 1999)

 

 

    	19

    	 

    

This is a Firm-Fixed Price (FFP) Completion contract.

 

(End of clause)

 

 

 

5252.227-9213 PATENT MATTERS POINT OF CONTACT (OCT 2008)

 

The Point of Contact regarding Patent Matters for this contract
is:

 

OFFICE OF PATENT COUNSEL / CODE 360012

SPAWARSYSCEN

53560 HULL STREET

SAN DIEGO, CA 92152-5001

(619) 553-3001

 

Do not submit interim and final invention reports
to this address. See the clause at 5252.227-9206 for the proper address.

 

(End of clause)

 

 

 

5252.232-9208 INVOICING INSTRUCTIONS FOR SERVICES
USING WIDE AREA WORK FLOW (WAWF) (APR 2009)

 

(a) 
Invoices for services rendered under this contract shall be submitted electronically through the Wide Area Work Flow-Receipt
and Acceptance (WAWF). The contractor shall submit invoices for payment per contract terms. The Government shall process invoices
for payment per contract terms.

 

(b)
The vendor shall have their Cage Code activated by calling 1-866-618-5988 and selecting option 2. Once activated, the vendor shall
self-register at the WAWF website at https://wawf.eb.mil.
Vendor training is available on the internet at
https://wawftraining.eb.mil.
WAWF Vendor “Quick Reference” Guides are located at the following web site:

http://acquisition.navy.mil/rda/home/acquisitiononesource/ebusiness/donebusinesssolutions/wa
wfoverview/vendorinformation 

 

(c) 
Cost back-up documentation (such as delivery receipts, labor hours & material/travel costs etc.) shall be included and
attached to the invoice in WAWF. Attachments created with any Microsoft Office product or Adobe (.pdf files) are attachable to
the invoice in WAWF. The total size limit for files per invoice is 5 megabytes. A separate copy shall be sent to the COR/TOM.

 

(d)
Contractors approved by DCAA for direct billing will not process vouchers through DCAA, but may submit directly to DFAS.
Vendors MUST still provide a copy of the invoice and any applicable cost back-up documentation supporting payment to the Acceptor/Contracting
Officer's Representative (COR) if applicable. Additionally, a copy of the invoice(s) and attachment(s) at time of submission in
WAWF shall also be provided to each point of contact identified in section (g) of this clause by email. If the invoice and/or receiving
report are delivered in the email as an attachment it must be provided as a .PDF, Microsoft Office product or other mutually agreed
upon form between the Contracting Officer and vendor.

 

 

    	20

    	 

    

 

(e)   
A separate invoice will be prepared no more frequently than for every two weeks. Do not combine the payment claims for services
provided under this contract.

 

(f)   
The following information is provided for completion and routing of the invoice in WAWF:

 

	WAWF Invoice Type	2-n-1 (Services Only)
	Issuing Office DODAAC	See Block 5 of the SF26
	Admin DODAAC	See Block 6 of the SF26
	Inspector DODAAC (if applicable)	N66001
	Inspector Contact Information	See Clause 5252.201-9201
	Service Acceptor DODAAC	N66001
	Acceptor Contact Information	See Clause 5252.201-9201
	COR Contact Information	See Clause 5252.201-9201
	DCAA Auditor DoDAAC :	N/A
	Service Approver DoDAAC :	See Block 6 of the SF26
	PAY DODAAC	See Block 12 of the SF26

 

(g)   
After submitting the document(s) to WAWF, click on “Send More Email Notifications” and add the acceptor/receiver
email addresses noted below in the email address blocks. The contractor shall, at a minimum, include the COR, Receiver, and Acceptor.
This additional notification to the government is necessary to ensure that the acceptor/receiver is aware that the invoice documents
have been submitted into WAWF:

 

	Send Additional Email Notification(s) to:
	Name	Email	Phone	Role
	See Clause 5252.201-9201	 	 	COR

 

(End of clause)

 

 

 

5252.243-9600 AUTHORIZED CHANGES ONLY BY THE CONTRACTING
OFFICER (JAN 1992)

 

(a)  Except
as specified in paragraph (b) below, no order, statement, or conduct of Government personnel who visit the Contractor’s
facilities or in any other manner communicates with Contractor personnel during the performance of this contract shall constitute
a change under the Changes clause of this contract.

 

(b)  The
Contractor shall not comply with any order, direction or request of Government personnel unless it is issued in writing and signed
by the Contracting Officer, or is pursuant to specific authority otherwise included as a part of this contract.

 

 

(c)  The Contracting Officer is the only person authorized to approve changes in any of the requirements of this contract and
notwithstanding provisions contained elsewhere in this contract, the said authority remains solely the Contracting Officer’s.
In the event the contractor effects any change at the direction of any person other than the Contracting Officer, the change will
be considered to have been made without authority and no adjustment will be made in the contract price to cover any increase in
charges incurred as a result thereof.

 

(End of clause)

 

 

 

ADMINISTRATIVE INSTRUCTIONS

 

 

    	21

    	 

    

INCORPORATION OF REPRESENTATIONS AND CERTIFICATIONS

 

All representations and certifications and other written statements
made by the contractor in response to Section K of the solicitation or at the request of the contracting officer which are incident
to the award of the contract or modification of this contract, are hereby incorporated by reference with the same force and effect
as if they were given in full text.

(End of Instruction)

MARKING OF SHIPMENT 

 

Each shipment of material and/or data shall be clearly marked
to show the following information:

 

	SHIP TO:	MARK FOR:
	RECEIVING OFFICER	Contract #: N66001-11-C-4188
	 	Item #: ALL
	 	Receiving Officer Code: 56506

 

The receiving office is located at 4297 Pacific Highway, Bldg.
7, San Diego, CA 92110-5000 and is open for deliveries Monday through Thursday from 6:30 AM until 4:00 PM and Fridays 6:30 AM to
3:00 PM.

 

(End of Instruction)

 

AGREEMENT TO LICENSE--NO IMPLIED LICENSE 

 

(a) Except as provided in paragraph (b) below:

 

(1)    
Aethlon Medical, Inc. shall obtain a license from the U.S. Government under the following U.S. patents, patent applications
and all patents issuing thereon, and under all patents that may issue and patent applications that may be filed on the following
invention disclosures, on reasonable terms and conditions, consistent with law, regulation, and Navy policy prior to any manufacture,
use, sale, lease, license, or conveyance of any kind of any process, machine, manufacture, or composition of matter that would,
absent such license, infringe any claim of such patent(s)/application(s):

 

NONE KNOWN AT THIS TIME

 

(2)    
Nothing in this contract shall release Aethlon Medical, Inc. from any obligation of or duty under any other Government contract;
nor shall it grant to or confer upon Aethlon Medical, Inc. any rights, express or implied,

(i)         
to any invention other than a Subject Invention,

(ii)       
under any patent application or patent assigned to the U.S. Government that is dominant over a patent protecting a Subject
Invention,

(iii)     
under any patent application or patent assigned to the U.S. Government protecting an invention other than a Subject Invention,
or

(iv)      
under the U.S. patent(s)/patent application(s) identified in paragraph (a)(1) above.

 

(b) No license from the U.S. Government shall be required for
research, development, test and evaluation to be performed by Aethlon Medical, Inc. under this contract.

 

(End of Instruction)

 

APPLICATION OF DFARS 252.227-7013 AND 252.227-7015 TECHNICAL
DATA CLAUSES

 

The DFARS 252.227-7015, Technical Data--Commercial Items, clause
applies to technical data that pertains to a “commercial item” as defined in the DFARS 252.227-7015 clause. The DFARS
252.227-7013, Rights in Technical Data--Noncommercial Items, clause applies to all other technical data.

 

 

 

    	22

    	 

    

(End of Instruction)

 

DISSEMINATION NOTICES FOR TECHNICAL DOCUMENTS PREPARED UNDER
SPAWARSYSCEN

PACIFIC CONTRACTS (NOV 2008)

 

(a) Unless otherwise specified, all classified and unclassified
technical documents generated under this contract must carry the following statements:

(1)  
Do not distribute to DTIC or other data depositories.

(2)  
Distribution authorized to DOD components only; premature dissemination [Contractor to insert a date which will be determined
by the Program Manager and affixed by the Contractor]. Other requests shall be referred to the Space and Naval Warfare Systems
Center, Code 2015, San Diego, CA 92152-5001.

 

(b) The Contractor shall place the above statements on the original
and all copies before being delivered to the shipping address in Section F as follows:

(1)  
Standard Written or Printed material with Covers and/or Title Pages: Statement(s) to be printed, typed, or stamped on front
cover and title page.

(2)  
Technical Documents Without Covers or Title Pages: Statement(s) to be typed, printed, or stamped on first page of the document.

(3)  
Drawing: Applicable statement(s) to be typed, printed, or stamped near the title block.

(4)  
Magnetic Tape, Cassette, or Disk: Statement(s) to be typed, printed, or stamped on a label applied to outside of material.
The first page of the resulting hard-copy report or computer printout report is also marked with applicable statement(s).

(5)  
Microfilm: Statement(s) typed, printed, or stamped on outside of jacket or canister housing the material. The first page
of resulting hard-copy report or first frame is also marked with applicable statement(s). The headers for microfiche must carry
an abbreviated version of the statement(s).

(6)  
Deck of Punched or Aperture Cards: Statement(s) to be typed, stamped, or printed on face of first and last card and on top
of deck.

 

(End of Instruction)

 

 

 

EXPORT CONTROL (DARPA) 

Should this project develop beyond fundamental research (basic
and applied research ordinarily published and shared broadly within the scientific community) with military or dual-use applications
the following apply:

(1)  
The Contractor shall comply with all U.S. export control laws and regulations, including the International Traffic in Arms
Regulations (ITAR), 22 CFR Parts 120 through 130, and the Export Administration Regulations (EAR), 15 CFR Parts 730 through 799,
in the performance of this contract. In the absence of available license exemptions/exceptions the Contractor shall be responsible
for obtaining the appropriate licenses or other approvals, if required, for exports of (including deemed exports) hardware, technical
data, and software, or for the provision of technical assistance.

(2)  
The Contractor shall be responsible for obtaining export licenses, if required, before utilizing foreign persons in the
performance of this contract, including instances where the work is to be performed on-site at any Government installation (whether
in or outside the United States), where the foreign person will have access to export-controlled technologies, including technical
data or software.

(3)  
The Contractor shall be responsible for all regulatory record keeping requirements associated with the use of licenses and
license exemptions/exceptions.

(4)  
The Contractor shall be responsible for ensuring that the provisions of this clause apply to its subcontractors.

 

(End of instruction)

 

 

    	23

    	 

    

Section H - Special Contract Requirements

 

CLAUSES INCORPORATED BY FULL TEXT

 

 

5252.209-9206 EMPLOYMENT OF NAVY PERSONNEL RESTRICTED (DEC
1999)

 

In performing this contract, the Contractor will not use as
a consultant or employ (on either a full or part-time basis) any active duty Navy personnel (civilian or military) without the
prior approval of the Contracting Officer. Such approval may be given only in circumstances where it is clear that no law and no
DOD or Navy instructions, regulations, or policies might possibly be contravened and no appearance of a conflict of interest will
result.

 

(End of clause)

 

 

 

5252.227-9205 RIGHTS IN MASK WORKS (DEC 2002)

 

(a) Definitions.

As defined in 17 U.S.C. §901--

“Semiconductor chip product” is the final or intermediate
form of any product--

(A)   
having two or more layers of metallic, insulating, or semiconductor material, deposited or otherwise placed on, or etched
away or otherwise removed from, a piece of semiconductor material in accordance with a predetermined pattern; and

(B)    
intended to perform electronic circuit functions.

“Mask work” is a series of related images, however
fixed or encoded--

(A)   
having, or representing the predetermined, three-dimensional pattern of metallic, insulating, or semiconductor material
present or removed from the layers of a semiconductor chip product; and

(B)    
in which series the relation of the images to one another is that each image has the pattern of the surface of one form
of the semiconductor chip product.

 

(b) For any and every mask work generated in the performance
of work under this contract, the contractor grants to the Government a non-exclusive, irrevocable, royalty free, worldwide license
to:

(1)  
reproduce or have reproduced the mask work by optical, electronic, or any other means; and

(2)  
import or distribute or have imported or distributed a semiconductor chip product in which the mask work is embodied.

 

(c) The contractor shall include this clause, suitably modified
to replace “contractor” with “subcontractor” in all subcontracts, regardless of tier, in which a mask work
is likely to be created in the performance of the work under the subcontract. The contractor shall not obtain rights in the subcontractor’s
mask works as any part of the consideration for awarding the subcontract.

 

(d) This license is specific to mask work rights and shall not
be construed to broaden any proprietary rights to technical data or computer software.

 

(End of clause)

 

 

    	24

    	 

    

5252.227-9206 SUBMISSION OF INTERIM AND FINAL INVENTION REPORTS
AND NOTIFICATION OF ALL SUBCONTRACTS FOR EXPERIMENTAL, DEVELOPMENTAL, OR RESEARCH WORK (OCT 2008)

 

(a)     
This contract contains either FAR 52.227-11 “Patent Rights--Ownership by the Contractor” clause and DFARS 252.227-7039
“Patents--Reporting of Subject Inventions” or DFARS 252.227-7038 “Patent Rights--Ownership by the Contractor
(Large Business)” clause, or FAR 52.227-13 “Patent Rights--Ownership by the Government” clause.

 

(b)    
Under these clauses, the Contractor is required to submit interim and final invention reports and notification to the Government
of all subcontracts for experimental, developmental, or research work. The interim and final invention reports and notification
of all subcontracts for experimental, developmental, or research work may be submitted on DD Form 882 “Report of Inventions
and Subcontracts.”

 

(c)     
The Contractor shall submit interim and final invention reports and notification of all subcontracts for experimental, developmental,
or research work, including negative reports, to:

 

CONTRACT CLOSEOUT / CODE 23100

SPAWARSYSCEN PACIFIC

53560 HULL STREET

SAN DIEGO, CA 92152-5001

 

(d)    
The SPAWARSYSCEN Pacific Office of Patent Counsel, Code 360012, will represent the Contracting Officer with regard to invention
reporting matters arising under the contract.

 

(End of clause)

 

 

 

5252.227-9207 LIMITED RELEASE OF CONTRACTOR CONFIDENTIAL BUSINESS
INFORMATION (APRIL 2010)

 

(a)     
Definition.

“Confidential Business Information,” (Information)
as used in this clause, is defined as all forms and types of financial, business, economic or other types of information other
than technical data or computer software/computer software documentation, whether tangible or intangible, and whether or how stored,
compiled, or memorialized physically, electronically, graphically, photographically, or in writing if -- (1) the owner thereof
has taken reasonable measures to keep such Information secret, and (2) the Information derives independent economic value, actual
or potential from not being generally known to, and not being readily ascertainable through proper means by, the public. Information
does not include technical data, as that term is defined in DFARS 252.227-7013(a)(14), 252.227-7015(a)(4), and 252.227-7018(a)(19).
Similarly, Information does not include computer software/computer software documentation, as those terms are defined in DFARS
252.227-7014(a)(4) and 252.227-7018(a)(4).

 

(b)    
The Space and Naval Warfare Systems Command (SPAWAR) may release to individuals employed by SPAWAR support contractors and
their subcontractors Information submitted by the contractor or its subcontractors pursuant to the provisions of this contract.
Information that would ordinarily be entitled to confidential treatment may be included in the Information released to these individuals.
Accordingly, by submission of a proposal or execution of this contract, the offeror or contractor and its subcontractors consent
to a limited release of its Information, but only for purposes as described in paragraph (c) of this clause.

 

 

    	25

    	 

    

(c) Circumstances where SPAWAR may release the contractor’s
or subcontractors’ Information include the following:

(1)    
To other SPAWAR contractors and subcontractors, and their employees tasked with assisting SPAWAR in handling and processing
Information and documents in the administration of SPAWAR contracts, such as file room management and contract closeout; and,

(2)    
To SPAWAR contractors and subcontractors, and their employees tasked with assisting SPAWAR in accounting support services,
including access to cost-reimbursement vouchers.

 

(d) SPAWAR recognizes its obligation to protect the contractor
and its subcontractors from competitive harm that could result from the release of such Information. SPAWAR will permit the limited
release of Information under paragraphs (c)(1) and (c)(2) only under the following conditions:

(1)    
SPAWAR determines that access is required by other SPAWAR contractors and their subcontractors to perform the tasks described
in paragraphs (c)(1) and (c)(2);

(2)    
Access to Information is restricted to individuals with a bona fide need to possess;

(3)    
Contractors and their subcontractors having access to Information have agreed under their contract or a separate corporate
non-disclosure agreement to provide the same level of protection to the Information that would be provided by SPAWAR employees.
Such contract terms or separate corporate non-disclosure agreement shall require the contractors and subcontractors to train their
employees on how to properly handle the Information to which they will have access, and to have their employees sign company non
disclosure agreements certifying that they understand the sensitive nature of the Information and that unauthorized use of the
Information could expose their company to significant liability. Copies of such employee non disclosure agreements shall be provided
to the Government;

(4)    
SPAWAR contractors and their subcontractors performing the tasks described in paragraphs (c)(1) or (c)(2) have agreed under
their contract or a separate non-disclosure agreement to not use the Information for any purpose other than performing the tasks
described in paragraphs (c)(1) and (c)(2); and,

(5)    
Before releasing the Information to a non-Government person to perform the tasks described in paragraphs (c)(1) and (c)(2),
SPAWAR shall provide the contractor a list of the company names to which access is being granted, along with a Point of Contact
for those entities.

 

(e) SPAWAR’s responsibilities under the Freedom of Information
Act are not affected by this clause.

 

(f) The contractor agrees to include, and require inclusion
of, this clause in all subcontracts at any tier that requires the furnishing of Information.

 

(End of clause)

 

 

 

5252.231-9200 REIMBURSEMENT OF TRAVEL COSTS (JAN 2006) 

 

(a) Contractor Request and Government Approval of Travel

 

Any travel under this contract must be specifically requested
in writing, by the contractor prior to incurring any travel costs. If this contract is a definite or indefinite delivery contract,
then the written Government authorization will be by task/delivery orders issued by the Ordering Officer or by a modification to
an issued task/delivery order. If this contract is not a definite or indefinite delivery contract, then the written Government
authorization will be by written notice of approval from the Contracting Officer’s Representative (COR). The request shall
include as a minimum, the following:

 

		(1)	Contract number

		(2)	Date, time, and place of proposed travel

		(3)	Purpose of travel and how it relates to the contract

		(4)	Contractor’s estimated cost of travel

		(5)	Name(s) of individual(s) traveling and;

		(6)	A breakdown of estimated travel and per diem charges.

 

 

    	26

    	 

    

The contractor shall submit the travel request in
writing to the Contracting Officer’s Representative (COR). The COR shall review and approve/disapprove (as appropriate) all
travel requests submitted giving written notice of such approval or disapproval to the contractor.

 

(b) General

 

(1) The costs for travel, subsistence,
and lodging shall be reimbursed to the contractor only to the extent that it is necessary and authorized for performance of the
work under this contract. The costs for travel, subsistence, and lodging shall be reimbursed to the contractor in accordance with
the Federal Acquisition Regulation (FAR) 31.205-46, which is incorporated by reference into this contract. As specified in FAR
31.205-46(a) (2), reimbursement for the costs incurred for lodging, meals and incidental expenses (as defined in the travel regulations
cited subparagraphs (b)(1)(i) through (b)(1)(iii) below) shall be considered to be reasonable and allowable only to the extent
that they do not exceed on a daily basis the maximum per diem rates in effect at the time of travel as set forth in the following:

 

(i)
Federal Travel Regulation prescribed by the General Services Administration for travel in the contiguous 48 United States;

 

(ii)        
Joint Travel Regulation, Volume 2, DoD Civilian Personnel, Appendix A, prescribed by the Department of Defense for travel
in Alaska, Hawaii, The Commonwealth of Puerto Rico, and the territories and possessions of the United States; or

 

(iii)
Standardized Regulations, (Government Civilians, Foreign Areas), Section 925, “Maximum Travel Per Diem Allowances
in Foreign Areas” prescribed by the Department of State, for travel in areas not covered in the travel regulations cited
in subparagraphs (b)(1)(i) and (b)(1)(ii) above.

 

(2) Personnel in travel status
from and to the contractor’s place of business and designated work site or vice versa, shall be considered to be performing
work under the contract, and contractor shall bill such travel time at the straight (regular) time rate; however, such billing
shall not exceed eight hours per person for any one person while in travel status during one calendar day.

 

(c) Per Diem

 

(1)
The contractor shall not be paid per diem for contractor personnel who reside in the metropolitan area in which the tasks
are being performed. Per diem shall not be paid on services performed at contractor’s home facility and at any facility required
by the contract, or at any location within a radius of 50 miles from the contractor’s home facility and any facility required
by this contract.

 

(2)
Costs for subsistence and lodging shall be paid to the contractor only to the extent that overnight stay is necessary and
authorized in writing by the Government for performance of the work under this contract per paragraph (a). When authorized, per
diem shall be paid by the contractor to its employees at a rate not to exceed the rate specified in the travel regulations cited
in FAR 31.205-46(a)(2) and authorized in writing by the Government. The authorized per diem rate shall be the same as the prevailing
locality per diem rate.

 

Reimbursement to the contractor for per diem shall
be limited to payments to employees not to exceed the authorized per diem and as authorized in writing by the Government per paragraph
(a). Fractional parts of a day shall be payable on a prorated basis for purposes of billing for per diem charges attributed to
subsistence on days of travel. The departure day from the Permanent Duty Station (PDS) and return day to the PDS shall be 75% of
the applicable per diem rate. The contractor shall retain supporting documentation for per diem paid to employees as evidence of
actual payments, as required by the FAR 52.216-7 “Allowable Cost and Payment” clause of the contract.

 

 

 

    	27

    	 

    

(d) Transportation

 

(1)  The contractor shall be paid on the basis of actual amounts paid to the extent that such transportation is necessary for
the performance of work under the contract and is authorized in writing by the Government per paragraph (a).

 

(2)  The contractor agrees, in the performance of necessary travel, to use the lowest cost mode commensurate with the requirements
of the mission and in accordance with good traffic management principles. When it is necessary to use air or rail travel, the contractor
agrees to use coach, tourist class or similar accommodations to the extent consistent with the successful and economical accomplishment
of the mission for which the travel is being performed. Documentation must be provided to substantiate non-availability of coach
or tourist if business or first class is proposed to accomplish travel requirements.

 

(3)  When transportation by privately owned conveyance (POC) is authorized, the contractor shall be paid on a mileage basis not
to exceed the applicable Government transportation rate specified in the travel regulations cited in FAR 31.205-46(a)(2) and is
authorized in writing by the Government per paragraph (a).

 

(4)  When
transportation by privately owned (motor) vehicle (POV) is authorized, required travel of contractor personnel, that is not commuting
travel, may be paid to the extent that it exceeds the normal commuting mileage of such employee. When an employee’s POV
is used for travel between an employee’s residence or the Permanent Duty Station and one or more alternate work sites within
the local area, the employee shall be paid mileage for the distance that exceeds the employee’s commuting distance.

 

(5)  When
transportation by a rental automobile, other special conveyance or public conveyance is authorized, the contractor shall be paid
the rental and/or hiring charge and operating expenses incurred on official business (if not included in the rental or hiring
charge). When the operating expenses are included in the rental or hiring charge, there should be a record of those expenses available
to submit with the receipt. Examples of such operating expenses include: hiring charge (bus, streetcar or subway fares), gasoline
and oil, parking, and tunnel tolls.

 

(6)  Definitions:

 

(i) “Permanent Duty Station”
(PDS) is the location of the employee’s permanent work assignment (i.e., the building or other place where the employee regularly
reports for work.

 

(ii) “Privately Owned Conveyance”
(POC) is any transportation mode used for the movement of persons from place to place, other than a Government conveyance or common
carrier, including a conveyance loaned for a charge to, or rented at personal expense by, an employee for transportation while
on travel when such rental conveyance has not been authorized/approved as a Special Conveyance.

 

(iii) “Privately Owned (Motor) Vehicle
(POV)” is any motor vehicle (including an automobile, light truck, van or pickup truck) owned by, or on a long-term lease
(12 or more months) to, an employee or that employee’s dependent for the primary purpose of providing personal transportation,
that:

		(a)	is self-propelled and licensed to travel on the public highways;

		(b)	is designed to carry passengers or goods; and

		(c)	has four or more wheels or is a motorcycle or moped.

 

(iv) “Special Conveyance” is
commercially rented or hired vehicles other than a POC and other than those owned or under contract to an agency.

 

 

 

    	28

    	 

    

(v) “Public Conveyance”
is local public transportation (e.g., bus, streetcar, subway, etc) or taxicab.

 

(iv) “Residence” is
the fixed or permanent domicile of a person that can be reasonably justified as a bona fide residence.

 

EXAMPLE 1: Employee’s one way commuting distance to regular
place of work is 7 miles. Employee drives from residence to an alternate work site, a distance of 18 miles. Upon completion of
work, employee returns to residence, a distance of 18 miles.

 

In this case, the employee is entitled
to be reimbursed for the distance that exceeds the normal round trip commuting distance (14 miles). The employee is reimbursed
for 22 miles (18 + 18 - 14 = 22).

 

EXAMPLE 2: Employee’s one way commuting distance to regular
place of work is 15 miles. Employee drives from residence to an alternate work site, a distance of 5 miles. Upon completion of
work, employee returns to residence, a distance of 5 miles.

 

In this case, the employee is not entitled
to be reimbursed for the travel performed (10 miles), since the distance traveled is less than the commuting distance (30 miles)
to the regular place of work.

 

EXAMPLE 3: Employee’s one way commuting distance to regular
place of work is 15 miles. Employee drives to regular place of work. Employee is required to travel to an alternate work site,
a distance of 30 miles. Upon completion of work, employee returns to residence, a distance of 15 miles.

 

In this case, the employee is entitled
to be reimbursed for the distance that exceeds the normal round trip commuting distance (30 miles). The employee is reimbursed
for 30 miles (15 + 30 + 15 - 30 = 30).

 

EXAMPLE 4: Employee’s one way commuting distance to regular
place of work is 12 miles. In the morning the employee drives to an alternate work site (45 miles). In the afternoon the employee
returns to the regular place of work (67 miles). After completion of work, employee returns to residence, a distance of 12 miles.

 

In this case, the employee is entitled
to be reimbursed for the distance that exceeds the normal round trip commuting distance (24 miles). The employee is reimbursed
for 100 miles (45 + 67 + 12 - 24 = 100).

 

EXAMPLE 5: Employee’s one way commuting distance to regular
place of work is 35 miles. Employee drives to the regular place of work (35 miles). Later, the employee drives to alternate work
site #1 (50 miles) and then to alternate work site #2 (25 miles). Employee then drives to residence (10 miles).

 

In this case, the employee is entitled
to be reimbursed for the distance that exceeds the normal commuting distance (70 miles). The employee is reimbursed for 50 miles
(35 + 50 + 25 + 10 - 70 = 50).

 

EXAMPLE 6: Employee’s one way commuting distance to regular
place of work is 20 miles. Employee drives to the regular place of work (20 miles). Later, the employee drives to alternate work
site #1 (10 miles) and then to alternate work site #2 (5 miles). Employee then drives to residence (2 miles).

 

In this case, the employee is not entitled
to be reimbursed for the travel performed (37 miles), since the distance traveled is less than the commuting distance (40 miles)
to the regular place of work.

 

 

 

    	29

    	 

    

 

Section I - Contract Clauses

 

CLAUSES INCORPORATED BY REFERENCE

 

	52.202-1	Definitions	JUL 2004
	52.203-3	Gratuities	APR 1984
	52.203-5	Covenant Against Contingent Fees	APR 1984
	52.203-6	Restrictions On Subcontractor Sales To The Government	SEP 2006
	52.203-7	Anti-Kickback Procedures	OCT 2010
	52.203-8	Cancellation, Rescission, and Recovery of Funds for Illegal or Improper Activity	JAN 1997
	52.203-10	Price Or Fee Adjustment For Illegal Or Improper Activity	JAN 1997
	52.203-12	Limitation On Payments To Influence Certain Federal Transactions	OCT 2010
	52.204-4	Printed or Copied Double-Sided on Postconsumer Fiber Content Paper	MAY 2011 
	52.204-7	Central Contractor Registration	APR 2008
	52.209-6	Protecting the Government's Interest When Subcontracting With Contractors Debarred, Suspended, or Proposed for Debarment	DEC 2010
	52.215-2	Audit and Records--Negotiation	OCT 2010
	52.215-8	Order of Precedence--Uniform Contract Format	OCT 1997
	52.215-15	Pension Adjustments and Asset Reversions	OCT 2010
	52.215-17	Waiver of Facilities Capital Cost of Money	OCT 1997
	52.215-18	Reversion or Adjustment of Plans for Postretirement Benefits (PRB) Other than Pensions	JUL 2005
	52.215-19	Notification of Ownership Changes	OCT 1997
	52.215-20 Alt II	Requirements for Cost or Pricing Data or Information Other Than Cost or Pricing Data (Oct 2010) - Alternate II	OCT 1997 
	52.219-28	Post-Award Small Business Program Representation	APR 2009
	52.222-3	Convict Labor	JUN 2003
	52.222-21	Prohibition Of Segregated Facilities	FEB 1999
	52.222-26	Equal Opportunity	MAR 2007
	52.222-35	Equal Opportunity for Veterans	SEP 2010
	52.222-36	Affirmative Action For Workers With Disabilities	OCT 2010
	52.222-37	Employment Reports on Veterans	SEP 2010
	52.222-40	Notification of Employee Rights Under the National Labor Relations Act	DEC 2010
	52.222-50	Combating Trafficking in Persons	FEB 2009
	52.222-54	Employment Eligibility Verification	JAN 2009
	52.223-6	Drug-Free Workplace	MAY 2001
	52.223-18	Encouraging Contractor Policies To Ban Text Messaging While Driving	AUG 2011
	52.225-13	Restrictions on Certain Foreign Purchases	JUN 2008
	52.227-1	Authorization and Consent	DEC 2007
	52.227-1 Alt I	Authorization And Consent (Dec 2007) - Alternate I	APR 1984
	52.227-2	Notice And Assistance Regarding Patent And Copyright Infringement	DEC 2007
	52.227-3	Patent Indemnity	APR 1984
	52.227-11	Patent Rights -- Ownership By The Contractor	DEC 2007
	52.228-5	Insurance - Work On A Government Installation	JAN 1997
	52.228-7	Insurance--Liability To Third Persons	MAR 1996
	52.230-3	Disclosure And Consistency Of Cost Accounting Practices 	OCT 2008
	52.232-2	Payments Under Fixed-Price Research And Development Contracts	APR 1984
	52.232-8	Discounts For Prompt Payment	FEB 2002
	52.232-9	Limitation On Withholding Of Payments	APR 1984
	52.232-17	Interest	OCT 2010
	52.232-23	Assignment Of Claims	JAN 1986
	52.232-23 Alt I	Assignment of Claims (Jan 1986) - Alternate I	APR 1984
	52.232-25	Prompt Payment	OCT 2008
	52.232-25 Alt I	Prompt Payment (Oct 2008) Alternate I	FEB 2002

 

    	30

    	 

    

 

	52.232-33	Payment by Electronic Funds Transfer--Central Contractor Registration 	OCT 2003 
	52.233-1	Disputes	JUL 2002
	52.233-3	Protest After Award	AUG 1996
	52.233-3 Alt I	Protest After Award (Aug 1996) - Alternate I	JUN 1985
	52.233-4	Applicable Law for Breach of Contract Claim	OCT 2004
	52.237-2	Protection Of Government Buildings, Equipment, And Vegetation	APR 1984
	52.242-13	Bankruptcy	JUL 1995
	52.243-1 Alt I	Changes--Fixed Price (Aug 1987) - Alternate I	APR 1984
	52.243-1 Alt V	Changes--Fixed-Price (Aug 1987) - Alternate V	APR 1984
	52.244-6	Subcontracts for Commercial Items	DEC 2010
	52.245-1	Government Property	AUG 2010
	52.245-9	Use And Charges	AUG 2010
	52.246-25	Limitation Of Liability--Services	FEB 1997
	52.247-63	Preference For U.S. Flag Air Carriers	JUN 2003
	52.249-2	Termination For Convenience Of The Government (Fixed- Price)	MAY 2004 
	52.249-9	Default (Fixed-Priced Research And Development)	APR 1984
	52.253-1	Computer Generated Forms	JAN 1991
	252.201-7000	Contracting Officer's Representative	DEC 1991
	252.203-7000	Requirements Relating to Compensation of Former DoD Officials	JAN 2009
	252.203-7001	Prohibition On Persons Convicted of Fraud or Other Defense- Contract-Related Felonies	DEC 2008
	252.203-7002	Requirement to Inform Employees of Whistleblower Rights 	JAN 2009
	252.203-7002	Requirement to Inform Employees of Whistleblower Rights 	JAN 2009
	252.204-7003	Control Of Government Personnel Work Product	APR 1992
	252.204-7004 Alt A 	Central Contractor Registration (52.204-7) Alternate A	SEP 2007
	252.204-7006	Billing Instructions	OCT 2005
	252.209-7004	Subcontracting With Firms That Are Owned or Controlled By The Government of a Terrorist Country	DEC 2006 
	252.223-7006	Prohibition On Storage And Disposal Of Toxic And Hazardous Materials	APR 1993 
	252.225-7012	Preference For Certain Domestic Commodities	JUN 2010
	252.226-7001	Utilization of Indian Organizations and Indian-Owned Economic Enterprises, and Native Hawaiian Small Business Concerns	SEP 2004
	252.227-7012	Patent License And Release Contract	SEP 1999
	252.227-7013	Rights in Technical Data--Noncommercial Items	MAR 2011
	252.227-7014	Rights in Noncommercial Computer Software and Noncommercial Computer Software Documentation	MAR 2011
	252.227-7015	Technical Data--Commercial Items	MAR 2011
	252.227-7016	Rights in Bid or Proposal Information	JAN 2011
	252.227-7019	Validation of Asserted Restrictions--Computer Software	JUN 1995
	252.227-7027	Deferred Ordering Of Technical Data Or Computer Software 	APR 1988
	252.227-7030	Technical Data--Withholding Of Payment	MAR 2000
	252.227-7037	Validation of Restrictive Markings on Technical Data	SEP 1999
	252.231-7000	Supplemental Cost Principles	DEC 1991
	252.232-7010	Levies on Contract Payments	DEC 2006
	252.235-7011	Final Scientific or Technical Report	NOV 2004
	252.242-7004	Material Management And Accounting System	MAY 2011
	252.243-7001	Pricing Of Contract Modifications	DEC 1991
	252.243-7002	Requests for Equitable Adjustment	MAR 1998
	252.244-7000	Subcontracts for Commercial Items and Commercial Components (DoD Contracts)	NOV 2010
	252.246-7000	Material Inspection And Receiving Report	MAR 2008

 

    	31

    	 

    

 

CLAUSES INCORPORATED BY FULL TEXT

 

 

 

52.215-19 NOTIFICATION OF OWNERSHIP CHANGES (OCT 1997)

 

(a) The Contractor shall make the following notifications in
writing:

 

(1)
When the Contractor becomes aware that a change in its ownership has occurred, or is certain to occur, that could result
in changes in the valuation of its capitalized assets in the accounting records, the Contractor shall notify the Administrative
Contracting Officer (ACO) within 30 days.

 

(2)
The Contractor shall also notify the ACO within 30 days whenever changes to asset valuations or any other cost changes have
occurred or are certain to occur as a result of a change in ownership.

 

(b) The Contractor shall--

 

(1)
Maintain current, accurate, and complete inventory records of assets and their costs;

 

(2)
Provide the ACO or designated representative ready access to the records upon request;

 

(3)
Ensure that all individual and grouped assets, their capitalized values, accumulated depreciation or amortization, and remaining
useful lives are identified accurately before and after each of the Contractor's ownership changes; and

 

(4)
Retain and continue to maintain depreciation and amortization schedules based on the asset records maintained before each
Contractor ownership change.

 

The Contractor shall include the substance of this clause in
all subcontracts under this contract that meet the applicability requirement of FAR 15.408(k).

 

(End of clause)

 

 

 

52.217-9 OPTION TO EXTEND THE TERM OF THE CONTRACT (MAR 2000)

 

(a) The Government may extend the term of this contract by written
notice to the Contractor within the period of performance of this contract; provided that the Government gives the Contractor a
preliminary written notice of its intent to extend at least 30 days before the contract expires. The preliminary notice does not
commit the Government to an extension.

 

 

 

    	32

    	 

    

(b)  If the Government exercises this option, the extended contract
shall be considered to include this option clause.

 

(c)  The total duration of this contract, including the exercise of any options under this clause, shall not exceed five years.

 

(End of clause)

 

 

 

52.232-32 PERFORMANCE-BASED PAYMENTS (AUG 2010)

 

(a) Amount of payments and limitations on payments. Subject
to such other limitations and conditions as are specified in this contract and this clause, the amount of payments and limitations
on payments shall be specified in the contract's description of the basis for payment.

 

(b) Contractor request for performance-based payment. The Contractor
may submit requests for payment of performance-based payments not more frequently than monthly, in a form and manner acceptable
to the Contracting Officer. Unless otherwise authorized by the Contracting Officer, all performance-based payments in any period
for which payment is being requested shall be included in a single request, appropriately itemized and totaled. The Contractor's
request shall contain the information and certification detailed in paragraphs (l) and (m) of this clause.

 

(c) Approval and payment of requests.

 

(1) The Contractor shall not be entitled to payment of a request for performance-based payment prior to successful accomplishment
of the event or performance criterion for which payment is requested. The Contracting Officer shall determine whether the event
or performance criterion for which payment is requested has been successfully accomplished in accordance with the terms of the
contract. The Contracting Officer may, at any time, require the Contractor to substantiate the successful performance of any event
or performance criterion which has been or is represented as being payable.

 

(2) A
payment under this performance-based payment clause is a contract financing payment under the Prompt Payment clause of this contract
and not subject to the interest penalty provisions of the Prompt Payment Act. The designated payment office will pay approved
requests on the 30th day after receipt of the request for performance-based payment by the designated payment office. However,
the designated payment office is not required to provide payment if the Contracting Officer requires substantiation as provided
in paragraph (c)(1) of this clause, or inquires into the status of an event or performance criterion, or into any of the conditions
listed in paragraph (e) of this clause, or into the Contractor certification. The payment period will not begin until the Contracting
Officer approves the request.

 

(3) The
approval by the Contracting Officer of a request for performance-based payment does not constitute an acceptance by the Government
and does not excuse the Contractor from performance of obligations under this contract.

 

(d) Liquidation of performance-based payments.

 

(1) Performance-based
finance amounts paid prior to payment for delivery of an item shall be liquidated by deducting a percentage or a designated dollar
amount from the delivery payment. If the performance-based finance payments are on a delivery item basis, the liquidation amount
for each such line item shall be the percent of that delivery item price that was previously paid under performance-based finance
payments or the designated dollar amount. If the performance-based finance payments are on a whole contract basis, liquidation
shall be by either predesignated liquidation amounts or a liquidation percentage.

 

(2) 
If at any time the amount of payments under this contract exceeds any limitation in this contract, the Contractor shall
repay to the Government the excess. Unless otherwise determined by the Contracting Officer, such excess shall be credited as a
reduction in the unliquidated performance-based payment balance(s), after adjustment of invoice payments and balances for any retroactive
price adjustments.

 

 

 

    	33

    	 

    

(e) Reduction or suspension of performance-based payments. The
Contracting Officer may reduce or suspend performance-based payments, liquidate performance-based payments by deduction from any
payment under the contract, or take a combination of these actions after finding upon substantial evidence any of the following
conditions:

 

(1) The Contractor failed to comply with any material requirement
of this contract (which includes paragraphs (h) and (i) of this clause).

 

(2) Performance of this contract is endangered by the Contractor's
--

 

(i) Failure to make progress; or

 

(ii)  
Unsatisfactory financial condition.

 

(3) The Contractor is delinquent in payment of any subcontractor
or supplier under this contract in the ordinary course of business.

 

(f) Title.

 

(1) Title to the property described in this paragraph (f) shall
vest in the Government. Vestiture shall be immediately upon the date of the first performance-based payment under this contract,
for property acquired or produced before that date. Otherwise, vestiture shall occur when the property is or should have been allocable
or properly chargeable to this contract

 

(2) "Property," as used in this clause, includes all
of the following described items acquired or produced by the Contractor that are or should be allocable or properly chargeable
to this contract under sound and generally accepted accounting principles and practices:

 

(i) 
Parts, materials, inventories, and work in process;

 

(ii) Special
tooling and special test equipment to which the Government is to acquire title;

 

(iii)
Nondurable (i.e., noncapital) tools, jigs, dies, fixtures, molds, patterns, taps, gauges, test equipment and other similar
manufacturing aids, title to which would not be obtained as special tooling under subparagraph (f)(2)(ii) of this clause; and

 

(iv) Drawings and technical data, to the extent the Contractor or subcontractors are required to deliver them to the Government
by other clauses of this contract.

 

(3) Although title to property is in the Government under this
clause, other applicable clauses of this contract (e.g., the termination or clauses) shall determine the handling and disposition
of the property.

 

(4) The Contractor may sell any scrap resulting from production
under this contract, without requesting the Contracting Officer's approval, provided that any significant reduction in the value
of the property to which the Government has title under this clause is reported in writing to the Contracting Officer.

 

(5) In order to acquire for its own use or dispose of property
to which title is vested in the Government under this clause, the Contractor shall obtain the Contracting Officer's advance approval
of the action and the terms. If approved, the basis for payment (the events or performance criteria) to which the property is related
shall be deemed to be not in compliance with the terms of the contract and not payable (if the property is part of or needed for
performance), and the Contractor shall refund the related performance-based payments in accordance with paragraph (d) of this clause.

 

 

 

    	34

    	 

    

 

(6) When the Contractor completes all of the obligations under
this contract, including liquidation of all performance-based payments, title shall vest in the Contractor for all property (or
the proceeds thereof) not --

 

(i) Delivered to, and accepted by, the Government under this contract; or

 

(ii) Incorporated in supplies delivered to, and accepted by, the Government under this contract and to which title is vested
in the Government under this clause.

 

(7) The terms of this contract concerning liability for Government-furnished
property shall not apply to property to which the Government acquired title solely under this clause.

 

(g) Risk of loss. Before delivery to and acceptance by the Government,
the Contractor shall bear the risk of loss for property, the title to which vests in the Government under this clause, except to
the extent the Government expressly assumes the risk. If any property is lost, stolen, damaged or destroyed, the basis of payment
(the events or performance criteria) to which the property is related shall be deemed to be not in compliance with the terms of
the contract and not payable (if the property is part of or needed for performance), and the Contractor shall refund the related
performance-based payments in accordance with paragraph (d) of this clause.

 

(h) Records and controls. The Contractor shall maintain records
and controls adequate for administration of this clause. The Contractor shall have no entitlement to performance-based payments
during any time the Contractor's records or controls are determined by the Contracting Officer to be inadequate for administration
of this clause.

 

(i) Reports and Government access. The Contractor shall promptly
furnish reports, certificates, financial statements, and other pertinent information requested by the Contracting Officer for the
administration of this clause and to determine that an event or other criterion prompting a financing payment has been successfully
accomplished. The Contractor shall give the Government reasonable opportunity to examine and verify the Contractor's records and
to examine and verify the Contractor's performance of this contract for administration of this clause.

 

(j) Special terms regarding default. If this contract is terminated
under the Default clause,

 

(1) the Contractor shall, on demand, repay to the Government the amount of unliquidated performance-based payments, and

 

(2) title shall vest in the Contractor, on full liquidation of all performance-based payments, for all property for which the
Government elects not to require delivery under the Default clause of this contract. The Government shall be liable for no payment
except as provided by the Default clause.

 

(k) Reservation of rights.

 

(1) No payment or vesting of title under this clause shall --

 

(i) Excuse
the Contractor from performance of obligations under this contract; or

 

(ii) Constitute a waiver of any of the rights or remedies of the parties under the contract.

 

(2) The Government's rights and remedies under this clause --

 

(i) Shall
not be exclusive, but rather shall be in addition to any other rights and remedies provided by law or this contract; and

 

(ii) Shall
not be affected by delayed, partial, or omitted exercise of any right, remedy, power, or privilege, nor shall such exercise or
any single exercise preclude or impair any further exercise under this clause or the exercise of any other right, power, or privilege
of the Government.

 

 

    	35

    	 

    

(l) Content of Contractor's request for performance-based payment.
The Contractor's request for performance-based payment shall contain the following:

 

(1) The name and address of the Contractor;

 

(2) The
date of the request for performance-based payment;

 

(3) The
contract number and/or other identifier of the contract or order under whichthe request is made;

 

(4) Such
information and documentation as is required by the contract's description of the basis for payment; and

 

(5) A certification by a Contractor official authorized to bind the Contractor, as specified in paragraph (m) of this clause.

 

(m) Content of Contractor's certification. As required in paragraph
(l)(5) of this clause, the Contractor shall make the following certification in each request for performance-based payment:

 

I certify to the best of my knowledge and belief that --

 

(1)  This
request for performance-based payment is true and correct; this request (and attachments) has been prepared from the books and
records of the Contractor, in accordance with the contract and the instructions of the Contracting Officer;

 

(2)  Except
as reported in writing on _____________), all payments to subcontractors and suppliers under this contract have been paid, or
will be paid, currently, when due in the ordinary course of business;

 

(3) There
are no encumbrances (except as reported in writing on _____________) against the property acquired or produced for, and allocated
or properly chargeable to, the contract which would affect or impair the Government's title;

 

(4) There
has been no materially adverse change in the financial condition of the Contractor since the submission by the Contractor to the
Government of the most recent written information dated _____________; and

 

(5) After
the making of this requested performance-based payment, the amount of all payments for each deliverable item for which performance-based
payments have been requested will not exceed any limitation in the contract, and the amount of all payments under the contract
will not exceed any limitation in the contract.

 

(End of Clause)

 

 

 

52.252-2 CLAUSES INCORPORATED BY REFERENCE (FEB 1998)

 

This contract incorporates one or more clauses by reference,
with the same force and effect as if they were given in full text. Upon request, the Contracting Officer will make their full text
available. Also, the full text of a clause may be accessed electronically at this/these address(es):

 

http://farsite.hill.af.mil

http://www.acquisition.gov

 

(End of clause)

 

 

 

    	36

    	 

    

52.252-6 AUTHORIZED DEVIATIONS IN CLAUSES (APR 1984)

 

(a) The
use in this solicitation or contract of any Federal Acquisition Regulation (48 CFR Chapter 1) clause with an authorized deviation
is indicated by the addition of "(DEVIATION)" after the date of the clause.

 

(b) The use in this solicitation or contract of any Defense Federal Acquisition Regulation Supplement
(48 CFR Chapter 2) clause with an authorized deviation is indicated by the addition of "(DEVIATION)"
after the name of the regulation.

 

(End of clause)

 

 

 

252.204-7008 EXPORT-CONTROLLED ITEMS (APR 2010)

 

(a) Definition. Export-controlled items, as used in this clause,
means items subject to the Export Administration Regulations (EAR) (15 CFR parts 730-774) or the International Traffic in Arms
Regulations (ITAR) (22 CFR parts 120-130). The term includes:

 

(1) Defense
items, defined in the Arms Export Control Act, 22 U.S.C. 2778(j)(4)(A), as defense articles, defense services, and related technical
data, and further defined in the ITAR, 22 CFR part 120.

 

(2) Items, defined in the EAR as ̏commodities, software, and technology," terms that are also defined in the EAR,
15 CFR 772.1.

 

(b) The Contractor shall comply with all applicable laws and
regulations regarding export-controlled items, including, but not limited to, the requirement for Contractors to register with
the Department of State in accordance with the ITAR. The Contractor shall consult with the Department of State regarding any questions
relating to compliance with the ITAR and shall consult with the Department of Commerce regarding any questions relating to compliance
with the EAR.

 

(c) The Contractor's responsibility to comply with all applicable
laws and regulations regarding export-controlled items exists independent of, and is not established or limited by, the information
provided by this clause.

 

(d) Nothing in the terms of this contract adds to, changes,
supersedes, or waives any of the requirements of applicable Federal laws, Executive orders, and regulations, including but not
limited to--

 

(1) The
Export Administration Act of 1979, as amended (50 U.S.C. App. 2401, et seq.);

 

(2) The Arms Export Control Act (22 U.S.C. 2751, et seq.);

 

(3) The International Emergency Economic Powers Act (50 U.S.C. 1701, et seq.);

 

(4) The
Export Administration Regulations (15 CFR parts 730-774);

 

(5) The
International Traffic in Arms Regulations (22 CFR parts 120-130); and

 

(6) Executive Order 13222, as extended.

 

(e) The Contractor shall include the substance of this clause,
including this paragraph (e), in all subcontracts.

 

 

 

    	37

    	 

    

(End of clause)

 

 

 

252.232-7003 ELECTRONIC SUBMISSION OF PAYMENT REQUESTS AND RECEIVING
REPORTS (MAR 2008)

 

(a) Definitions. As used in this clause--

 

(1) Contract
financing payment and invoice payment have the meanings given in section 32.001 of the Federal Acquisition Regulation.

 

(2) Electronic form means any automated system that transmits information electronically from the initiating system to all affected
systems. Facsimile, e-mail, and scanned documents are not acceptable electronic forms for submission of payment requests. However,
scanned documents are acceptable when they are part of a submission of a payment request made using Wide Area WorkFlow (WAWF) or
another electronic form authorized by the Contracting Officer.

 

(3) Payment request means any request for contract financing payment or invoice payment submitted by the Contractor under this
contract.

 

(b) Except as provided in paragraph (c) of this clause, the
Contractor shall submit payment requests and receiving reports using WAWF, in one of the following electronic formats that WAWF
accepts: Electronic Data Interchange, Secure File Transfer Protocol, or World Wide Web input. Information regarding WAWF is available
on the Internet at https://wawf.eb.mil/.

 

(c) The Contractor may submit a payment request and receiving
report using other than WAWF only when--

 

(1) The Contracting Officer authorizes use of another electronic form. With such an authorization, the Contractor and the Contracting
Officer shall agree to a plan, which shall include a timeline, specifying when the Contractor will transfer to WAWF;

 

(2) DoD is unable to receive a payment request or provide acceptance in electronic form;

 

(3) The
Contracting Officer administering the contract for payment has determined, in writing, that electronic submission would be unduly
burdensome to the Contractor. In such cases, the Contractor shall include a copy of the Contracting Officer's determination with
each request for payment; or

 

(4) DoD makes payment for commercial transportation services provided under a Government rate tender or a contract for transportation
services using a DoD-approved electronic third party payment system or other exempted vendor payment/invoicing system (e.g., PowerTrack,
Transportation Financial Management System, and Cargo and Billing System).

 

(d) The Contractor shall submit any non-electronic payment requests
using the method or methods specified in Section G of the contract.

 

(e) In addition to the requirements of this clause, the Contractor
shall meet the requirements of the appropriate payment clauses in this contract when submitting payments requests.

 

(End of clause)

 

 

 

    	38

    	 

    

252.247-7024 Notification of Transportation of Supplies by Sea
(MAR 2000)

 

(a) The Contractor has indicated by the response to the solicitation
provision, Representation of Extent of Transportation by Sea, that it did not anticipate transporting by sea any supplies. If,
however, after the award of this contract, the Contractor learns that supplies, as defined in the Transportation of Supplies by
Sea clause of this contract, will be transported by sea, the Contractor --

 

(1) Shall
notify the Contracting Officer of that fact; and

 

(2) Hereby
agrees to comply with all the terms and conditions of the Transportation of Supplies by Sea clause of this contract.

 

(b) The Contractor shall include this clause; including this
paragraph (b), revised as necessary to reflect the relationship of the contracting parties--

 

(1) In
all subcontracts under this contract, if this contract is a construction contract; or

 

(2) If
this contract is not a construction contract, in all subcontracts under this contract that are for--

 

(i) Noncommercial items; or

 

(ii) Commercial
items that--

 

(A) The
Contractor is reselling or distributing to the Government without adding value (generally, the Contractor does not add value to
items that it subcontracts for f.o.b. destination shipment);

 

(B) Are
shipped in direct support of U.S. military contingency operations, exercises, or forces deployed in humanitarian or peacekeeping
operations; or

 

(C) Are
commissary or exchange cargoes transported outside of the Defense Transportation System in accordance with 10 U.S.C. 2643.

 

(End of clause)

 

 

 

    	39

    	 

    

Section J - List of Documents, Exhibits and Other
Attachments

 

 

 

Exhibit/Attachment Table of Contents

 

	DOCUMENT TYPE	DESCRIPTION	PAGES	DATE
	Exhibit A	Base Period CDRLs	4	26-SEP-2011
	Exhibit B	Option I CDRLs	4	26-SEP-2011
	Exhibit C	Option II CDRLs	4	26-SEP-2011
	Exhibit D	Option III CDRLs	4	26-SEP-2011
	Exhibit E	Option IV CDRLs	4	26-SEP-2011
	Attachment 1	Performance Based	5	26-SEP-2011
	 	Payments Schedule	 	 
	Attachment 2	Clause 252.227-7017	2	28-SEP-2011

 

 

 

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Aethlon Medical

26 September 2011

 

SCHEDULE OF PAYMENT
MILESTONES

 

 

12 month duration base period
(Year 1)

 

	Milestone	Month	Payable Milestone	FFP
	Subtask 1a	 	Anticoagulant-free Hemopurification Device	($908,384)
	2.2.1.1	1	Write requirements definition for the extracorporeal blood purification system and acquire necessary equipment.	($358,284)
	2.2.1.2	3	Fabricate breadboard prototypes for anticoagulation-free anti-sepsis extracorporeal system (ASEPSYS) device. Fabricate prototype blood tubing sets. Acquire anti- thrombogenic surface-modified hollow fiber plasma separators.	($183,367)
	2.2.1.3	6	Assemble and test breadboard ASEPSYS devices. Evaluate the use of different techniques and approaches to eliminating anticoagulants.	($183,367)
	2.2.1.4	12	Obtain
    all necessary IRB documentation and obtain both institutional and Government (SSC-Pacific) approval in accordance with IRB
    documentation submission guidance prior to conducting human or animal testing.	($183,367)
	
        Subtask 2

        & 4
	 	Removal of Sepsis Precursors	($1,066,663)
	2.2.2.1	2	Begin to develop the Aethlon’s ADAPT device to efficiently capture sepsis precursors and acquire important equipment and supplies	($416,424)
	2.2.2.2	5	Perform initial screening of the different proposed capture agents by measuring binding affinity and kinetics using surface plasmon resonance (SPR) or biolayer surface interferometry (BLI).	($216,747)
	2.2.2.3	8	Perform preliminary quantitative real time PCR to measure viral load, and specific DNA or RNA targets.	($216,747)
	M2	12	Target capture > 50% in 24 hours for at least 1 target in blood or blood components	($216,747)
	 	 	Total	($1,975,047)

 

 

 

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Aethlon Medical

26 September 2011

 

12 month duration option #1 period (Year2)

 

	Milestone	Month	Payable Milestone	FFP
	Subtask 1a	 	Anticoagulant-free Hemopurification Device	($782,322)
	2.3.2.1	15	Demonstrate the effectiveness of the prototype device in vivo in animals preventing platelet activation or clotting in at least a 2 hour blood pumping experiment at 75 mL/min blood flow.	($195,581)
	2.3.2.2	18	Formulate initial design based on work from previous phase. Begin to build and test selected instrument design and tubing sets.	($195,581)
	2.3.2.3	21	Write and test software. Conduct ergonomic research. Begin discussions with System Integrator.	($195,581)
	M3	24	Demonstrate the effectiveness of the prototype device in preventing platelet activation or clotting in at least an 8 hour blood pumping experiment at 75 mL/min blood flow.	($195,581)
	Subtask 2	 	Removal of Sepsis Precursors	($835,124)
	2.3.3.1	15	Build the ADAPT capture cartridges with the identified affinity agents. Measure the rate of capture of the specific targets from in ex vivo recirculation experiments from cell culture and blood.	($208,781)
	M4	18	Target capture > 50% in 24 hours for at least 5 targets in blood or blood components.	($208,781)
	2.3.3.2	21	Cartridge construction with optimized affinity matrix design for each potential target. Complete the capture agent screening.	($208,781)
	M5	24	Target capture > 90% in 24 hours for at least 3 targets in blood or blood components.	($208,781)
	 	 	Total	($1,617,446)

 

 

 

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Aethlon Medical

26 September 2011

 

12 month duration option #2 period (Year 3)

 

	Milestone	Month	Payable Milestone	FFP
	Subtask 1a	 	Anticoagulant-free Hemopurification Device	($744,654)
	2.4.1.1	27	Collaborate with System Integrator to build final prototypes for in vivo pig testing.	($186,164)
	2.4.1.2	30	Perform initial animal tests to confirm the performance of the device in vivo.	($186,164)
	2.4.1.3	33	Begin to document all adverse events and long term effects of treatment.	($186,164)
	M6	36	Demonstrate the effectiveness of the prototype device in preventing platelet activation or clotting in at least a 24 hour blood pumping experiment at 75 mL/hr blood flow in vivo in pigs.	($186,164)
	
        Subtask

        2+4
	 	Target Capture in Combined Agent Cartridge	($789,446)
	2.4.2.1	27	Identify candidate cartridges that demonstrate >90% capture in 24 hours efficacy in binding to individual sepsis precursor targets. These capture agents will be combined into a single cartridge and retested ex vivo in pig blood or blood components.	($197,362)
	M7	30	Target capture > 50% in 24 hours (6 months) for at least 5 of the 7 targets ex vivo in blood or blood components using the combination cartridge.	($197,361)
	2.4.2.2	33	Optimize cartridge composition for target capture in a single cartridge demonstrating increased capture rates 2-7 fold from the current system in blood or blood components.	($197,362)
	M9	36	Target capture > 90% in 24 hours for at least 5 of the 7 targets ex vivo in blood or blood components using the optimized cartridge.	($197,361)
	 	 	Total	($1,534,100)

 

 

 

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Aethlon Medical

26 September 2011

 

12 month duration option #3 period (Year 4)

 

	Milestone	Month	Payable Milestone	FFP
	Subtask 1a	 	Anticoagulant-free Hemopurification Device	($360,033)
	2.5.1.1	39	Collaborate with System Integrator to implement design modifications emanating from pig experiments.	($90,008)
	2.5.1.2	42	Collaborate with System Integrator in conducting verification and validation testing and collecting all remaining data required for IDE submission (e.g. biocompatibility, electromagnetic interference, electromagnetic susceptibility, software V&V, etc.).	($90,008)
	2.5.1.3	45	Make additional cartridge or device modifications as required by system integrator	($90,008)
	M11	48	Demonstrate the effectiveness of the newest device design in preventing blood clotting in a 24 hour blood pumping experiment at 75 mL/hr blood flow in vivo.	($90,009)
	
        Subtask

        2+4
	 	Target Capture in Combined Agent Cartridge	($532,964)
	2.5.2.1	39	Determine the in vivo efficiency of an optimized combined clearance cartridge incorporating all the successful capture agents.	($78,641)
	2.5.2.2	42	Finish construction and begin delivery of 50 prototype cartridges for testing by the system integrator.	($296,964)
	2.5.2.3	45	Perform basic biocompatibility tests for the combination ADAPT device to confirm the combination cartridge does not present any new patient risk.	($78,641)
	M12	48	Complete studies in septic pig models with optimized combination cartridge for >90% clearance of at least 4 of the 7 sepsis marker targets in 24 hours.	($78,641)
	 	 	Total	($892,997)

 

 

 

 

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Aethlon Medical

26 September 2011

 

12 month duration option #4 period (Year 5)

 

 

	Milestone	Month	Payable Milestone	FFP
	Subtask 5	 	Testing of final product by System Integrator	($774,875)
	2.6.1.1	51	System integrator acceptance of the ASEPSYS anticoagulation device as the blood pump that can avoid the need for systemic anticoagulation.	($193,719)
	2.6.1.2	54	System Integrator testing of a sepsis precursor ADAPT treatment cartridge for reducing sepsis related death by >20% in a septic pig model.	($193,719)
	2.6.1.3	57	Prepare and submit IDE proposal for sepsis treatment based on previously approved IDE	($193,719)
	2.6.1.4	60	Prepare and present Final Report for DARPA	($193,719)
	 	 	Total	($774,875)

 

 

 

 

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(2) Submit a description of the changed cost accounting practice
to the Contracting Officer and the Cognizant Federal Agency Official as pricing support for the proposal.

 

(End of provision)

 

		252.227-7017	IDENTIFICATION AND ASSERTION OF USE, RELEASE, OR DISCLOSURE RESTRICTIONS. (JUN 1995)

 

(a) The terms used in this provision are defined in following
clause or clauses contained in this solicitation-

 

(1)  
If a successful offeror will be required to deliver technical data, the Rights in Technical Data--Noncommercial Items clause,
or, if this solicitation contemplates a contract under the Small Business Innovative Research Program, the Rights in Noncommercial
Technical Data and Computer Software--Small Business Innovative Research (SBIR) Program clause.

 

(2)  
If a successful offeror will not be required to deliver technical data, the Rights in Noncommercial Computer Software and
Noncommercial Computer Software Documentation clause, or, if this solicitation contemplates a contract under the Small Business
Innovative Research Program, the Rights in Noncommercial Technical Data and Computer Software-Small Business Innovative Research
(SBIR) Program clause.

 

(b) The identification and assertion requirements in this provision
apply only to technical data, including computer software documents, or computer software to be delivered with other than unlimited
rights. For contracts to be awarded under the Small Business Innovative Research Program, the notification requirements do not
apply to technical data or computer software that will be generated under the resulting contract. Notification and identification
is not required for restrictions based solely on copyright.

 

(c) Offers submitted in response to this solicitation shall
identify, to the extent known at the time an offer is submitted to the Government, the technical data or computer software that
the Offeror, its subcontractors or suppliers, or potential subcontractors or suppliers, assert should be furnished to the Government
with restrictions on use, release, or disclosure.

 

(d) The Offeror's assertions, including the assertions of its
subcontractors or suppliers or potential subcontractors or suppliers shall be submitted as an attachment to its offer in the following
format, dated and signed by an official authorized to contractually obligate the Offeror:

 

Identification and Assertion of Restrictions on the Government's
Use, Release, or Disclosure of Technical Data or Computer Software.

 

The Offeror asserts for itself, or the persons identified below,
that the Government's rights to use, release, or disclose the following technical data or computer software should be restricted:

 

	Technical Data or Computer	 	 	Name of Person
	Software to be Furnished	Basis for	Asserted Rights	Asserting
	With Restrictions *	Assertion **	Category ***	Restrictions ****

 

*For technical data (other than computer software documentation)
pertaining to items, components, or processes developed at private expense, identify both the deliverable technical data and each
such items, component, or process. For computer software or computer software documentation identify the software or documentation.

 

**Generally, development at private expense, either exclusively
or partially, is the only basis for asserting restrictions. For technical data, other than computer software documentation, development
refers to development of the item, component, or process to which the data pertain. The Government's rights in computer software
documentation generally may not be restricted. For computer software, development refers to the software. Indicate whether development
was accomplished exclusively or partially at private expense. If development was not accomplished at private expense, or for computer
software documentation, enter the specific basis for asserting restrictions.

 

***Enter asserted rights category (e.g., government purpose
license rights from a prior contract, rights in SBIR data generated under another contract, limited, restricted, or government
purpose rights under this or a prior contract, or specially negotiated licenses).

 

****Corporation, individual, or other person, as appropriate.

 

*****Enter "none" when all data or software will be
submitted without restrictions.

 

    	66

    	 

    

	Information and Technical Data to Be Delivered Per the SOW – Part II
	Subtask 3 – Removing Sepsis Precursors	Basis for Assertion	Asserted Rights	Asserted by
	Test results on the rate of ds RNA virus removal	None	Government Purpose Rights	Aethlon Medical
	Test results on the rate of iNOS exosome capture	Developed exclusively at private expense	Limited 

Rights	Res. and Antibody Diagnostics
	Test results on Platelet derived and macrophage derived exosome capture	None	Government Purpose Rights	Aethlon Medical
	Test results on inactivation of complement using immobilized CVF	Developed exclusively at private expense	Limited 

Rights	Incode
	Test results on the particle capture rate achieved by an optimized combination cartridge	None	Government Purpose Rights	Aethlon Medical

 

 

	Information and Technical Data to Be Delivered Per the SOW – Part I
	Subtask 1a - Anticoagulant free blood pump	Basis for Assertion	Asserted Rights	Person Asserting
	Technical data on prototype design	None	Government Purpose Rights	Aethlon Medical
	Test results on ability of Turbo loop to eliminate anticoagulants	None	Government Purpose Rights	Aethlon Medical
	Test results on effectiveness of the prototype device in preventing platelet activation or clotting in at least a 2 hour blood pumping experiment	None	Government Purpose Rights	Aethlon Medical
	Pig testing data on the ability of the optimized cartridge to prevent death due to Sepsis	None	Government Purpose Rights	Aethlon Medical
	Final Report Summary of Data and interpretation	None	Government Purpose Rights	Aethlon Medical

 

Date  9-28-11                                     

 

Printed Name and Title: Richard H. Tullis, Ph.D. Chief Science
Officer                  

 

Signature 

 

(End of identification and assertion)

 

(e) An offeror's failure to submit, complete, or sign the notification
and identification required by paragraph (d) of this provision with its offer may render the offer ineligible for award.

 

    	67

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