Note K - Employment Contract and Consulting Agreements

12 Months Ended

Dec. 31, 2019

Notes to Financial Statements

Employment and Consulting Agreements [Text Block]

NOTE K–EMPLOYMENT CONTRACT AND CONSULTING AGREEMENTS

Employment Contracts

On 

December 1, 2016,

Wand Dental and Gian Domenico Trombetta (“Trombetta”) entered into an Amended and Restated Employment Agreement (the “Agreement”), pursuant to which Trombetta receives base compensation of

$280,000

per year and is eligible to receive annual bonuses in the sole discretion of the Compensation Committee. Pursuant to the Agreement, Trombetta will continue to serve as the Chief Executive Officer of Wand Dental for a period of

one

-year beginning on

September 1, 2016

through

August 31, 2017 (

the “Employment Term”). The Employment Term automatically renews for a

one

-year period, from

September

1st

 through

August

31st

 of each successive year (each a “Renewal Term”), unless prior to

June

1st

of the Employment Term or any Renewal Term, as applicable, either party notifies the other that he or it chooses

not

to extend the term of employment in accordance with the terms of the Agreement.

In

July 2017,

Milestone Scientific entered into a

ten

-year employment agreement with Leonard Osser, who previously served as the Company’s President and Chief Executive Officer, to serve as Managing Director – China Operations. This agreement provides for annual compensation of

$300,000

consisting of

$100,000

in cash and

$200,000

in the Company’s common stock valued at the average closing price of the Company’s common stock on the NYSE or such other market or exchange on which its shares are then traded during the

first

fifteen

(

15

) trading days of the last full calendar month of each year during the term of this agreement. This agreement supersedes all prior employment agreements between Mr. Osser and Milestone Scientific. If the Company terminates Mr. Osser’s employment “Without Cause,” other than due to his death or disability, or if Mr. Osser terminates his employment for “Good Reason” (both as defined in the agreement), Mr. Osser is entitled to be paid in

one

lump sum payment as soon as practicable following such termination: an amount equal to the aggregate present value (as determined in accordance with Section

280G

(d)(

4

) of the Code) of all compensation pursuant to this agreement from the effective date of termination hereunder through the remainder of the Employment Term.

In

July 2017,

Mr. Osser also resigned from his positions of Chairman of the Board, Chief Executive Office and President of Milestone Medical. Upon his resignation, Milestone Medical entered in a consulting agreement with U.S. Asian Consulting Group LLC, an entity controlled by Mr. Osser, pursuant to which he will provide specific services to Milestone Medical for a

ten

- year term. Pursuant to the consulting agreement, U.S. Asian Consulting Group, LLC, is entitled to receive

$100,000

per year for Mr. Osser's services.

On

December 19, 2017

the Board of Directors appointed Leonard Osser Interim Chief Executive Office, replacing Leslie Bernhard .Mr. Osser placed on hold his position as Managing Director-China Operations and his consulting agreement with Milestone Medical to rejoined Milestone Scientific Inc. as Interim Chief Executive Officer and will

not

receive or earn any compensation under those agreements until he is

no

longer Interim Chief Executive Officer. Mr. Osser as Interim Chief Executive Officer receives a base salary and

may

receive bonus  determined by the compensation committee of Company.