NOTE 11 - COMMITMENTS AND CONTINGENCIES

9 Months Ended

Sep. 30, 2016

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies Disclosure [Text Block]

NOTE 11 — COMMITMENTS AND CONTINGENCIES

Leases

On February 4, 2016, the Company amended its facility lease to extend the term of the lease until August 31, 2019. Approximate annual future minimum lease obligations under non-cancelable operating lease agreements as of September 30, 2016 are as follows:

Period ending December 31,
2016 (three months)	$	21,919
2017		87,674
2018		87,674
2019		58,448
Total	$	255,715

Litigation

On September 17, 2015, a product liability lawsuit was filed in Broward County, specifically Patsy Bade v. Bioheart, Inc. US Stem Cell Clinics LLC, Aleiandro Perez, ARNP, and Shareen Greenbaum, M.D., and on November 30, 2015, a product liability lawsuit was filed in Broward County, specifically Elizabeth Noble v. Bioheart, Inc. US Stem Cell Clinics LLC, Aleiandro Perez, ARNP, and Shareen Greenbaum, M.D. During the nine months ended September 30, 2016, both matters settled by the Company’s insurance policy with no additional cost to the Company.

On February 8, 2016, a collection lawsuit was filed in Broward County, specifically Roche Diagnostics Corp. v. U.S. Stem Cell, Inc., demanding judgement against the Company for an aggregate of $42,246 plus interest and costs for alleged unpaid product. During the nine months ended September 30, 2016, the Company settled all matters for a net payment of $8,500.

On August 30^th, 2016 Northstar Biotech Group, LLC (“NorthStar”) filed suit against the Company, of which the Company received notice several weeks later. In its suit, Northstar is seeking a declaratory judgment from the Court as to whether its preferred shares were the subject of the Company’s reverse stock split effective November 4, 2015 and also seeks the appointment of a receiver. Northstar did not seek money damages. The Company disputes Northstar’s claims and intends to vigorously defend this matter.

On November 7, 2016, the Board of Directors, formed a separate committee to review and advise on improper activities undertaken by Charles Hart both during his tenure as a member of the Board of Directors and subsequent to his termination from the Board of Directors, specifically during the ninety days following his termination in which he is still considered an affiliate of the Company. Charles Hart was a member of the Board of Directors of NorthStar and is, to our knowledge, no longer a Director but remains a Member of the closely held NorthStar Biotech Group, LLC. (See the Current Report on Form 8-K, filed with the Securities and Exchange Committee on August 2, 2016, reporting that on August 1, 2016, Charles Hart was removed as a member of the Board of Directors).

The Company is subject at times to other legal proceedings and claims, which arise in the ordinary course of its business. Although occasional adverse decisions or settlements may occur, the Company believes that the final disposition of such matters should not have a material adverse effect on its financial position, results of operations or liquidity. There was no outstanding litigation as of September 30, 2016 other then described above.