PACIFIC BIOMETRICS, INC.
-- STOCK OPTION AGREEMENT --
Option No. ___________
This Stock Option Agreement ("Agreement") is made and entered into as of the date of grant set forth below
("Date of Grant") by and between Pacific Biometrics, Inc., a Delaware corporation ("Company"), and the
participant named below ("Participant"). Capitalized terms not defined herein shall have the respective meanings
ascribed to them in the Company's 2005 Stock Incentive Plan ("Plan"). A copy of the Plan has been provided to
1. Grant of Option. The Company hereby grants to Participant an option ("Option") to purchase the total number
of shares of Common Stock of the Company set forth above ("Shares") at the exercise price per share set forth
above ("Exercise Price"), subject to all of the terms and conditions of this Agreement and the Plan. If designated
as an Incentive Stock Option above, the Option is intended to qualify as an "incentive stock option" ("ISO")
within the meaning of Section 422 of the Internal Revenue Code of 1986, as amended; if designated as a
Nonqualified Stock Option above, the Option is not intended to qualify as an ISO.
2. Vesting of Option. Provided Participant continues to provide services to the Company throughout the specified
period, the Option will become exercisable over a period of three years from the Vesting Commencement Date
at the following rate:
o One-thirty-sixth (1/36) of the Shares subject to the Option shall vest and become exercisable on the last day of
the first full calendar month following the Vesting Commencement Date, and on the last day of each calendar
3. Expiration; Termination.
(a) Expiration. Unless earlier terminated, the Option shall expire on the Expiration Date set forth above and must
be exercised, if at all, on or before the Expiration Date.
(b) Termination for any Reason except Death or Disability. If Participant's services are terminated for any reason,
except death or disability, vesting on the