CORAUTUS GENETICS INC
AMENDMENT TO EMPLOYMENT AGREEMENT
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<DESCRIPTION>AMENDMENT TO EMPLOYMENT AGREEMENT
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 <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="right"><FONT FACE="Times New Roman" SIZE="2"><B>EXHIBIT 10.2 </B></FONT></P> <P STYLE="margin-top:6px;margin-bottom:0px" ALIGN="center"><FONT
FACE="Times New Roman" SIZE="2"><B>FIRST AMENDMENT TO EMPLOYMENT AGREEMENT </B></FONT></P> <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2"><B>BETWEEN JACK W. CALLICUTT AND CORAUTUS GENETICS, INC.
</B></FONT></P> <P STYLE="margin-top:12px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2">This FIRST AMENDMENT to that certain EMPLOYMENT AGREEMENT between Corautus Genetics, Inc. (the &#147;Company&#148;) and Jack W.
Callicutt (the &#147;Executive&#148;) dated October 1, 2005 (the &#147;Agreement&#148;) is hereby entered into by and between the Company and the Executive effective as of the 15th day of May, 2006. </FONT></P> <P
STYLE="margin-top:24px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2"><U>W I T N E S S E T H: </U></FONT></P> <P STYLE="margin-top:12px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2"><B>WHEREAS,
</B>the Company and the Executive are parties to the Agreement; and </FONT></P> <P STYLE="margin-top:12px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2"><B>WHEREAS, </B>due to the precipitous drop in the value of the stock
of the Company following the termination of the enrollment of patients in the GENASIS Phase IIb Clinical Trial in April 2006, the Company has deemed it necessary to provide the Executive with incentives to continue in the employ of the Company; and
</FONT></P> <P STYLE="margin-top:12px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2"><B>WHEREAS, </B>the Board of Directors of the Company approved this amendment to the Agreement to include certain retention incentives to
encourage the Executive to continue his employment with the Company, to increase the likelihood of retaining the Executive and to create stability within the Company; </FONT></P> <P STYLE="margin-top:12px;margin-bottom:0px; text-indent:4%"><FONT
FACE="Times New Roman" SIZE="2"><B>NOW, THEREFORE</B>, effective as of May&nbsp;15, 2006, the parties hereby amend the Agreement as follows: </FONT></P> <P STYLE="margin-top:6px;margin-bottom:0px"><FONT FACE="Times New Roman" SIZE="2">1. A new
Article 7 shall be added to the Agreement to read as follows: </FONT></P> <P STYLE="margin-top:24px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2"><B></B>&#147;<B>ARTICLE 7 </B></FONT></P> <P
STYLE="margin-top:6px;margin-bottom:0px" ALIGN="center"><FONT FACE="Times New Roman" SIZE="2"><B>RETENTION INCENTIVES </B></FONT></P> <P STYLE="margin-top:12px;margin-bottom:0px; margin-left:4%"><FONT FACE="Times New Roman" SIZE="2"><B>7.1 <U>Cash
Retention Payment</U>.</B> The Executive shall be entitled to receive a lump sum cash payment of $35,000 if he is employed by the Company on September&nbsp;30, 2006. The Executive shall be entitled to receive an additional lump sum cash payment of
$35,000 if he is employed by the Company on March&nbsp;31, 2007. If the Executive is employed on the date(s) provided herein, the cash payment(s) shall be paid to the Executive no later than the next regularly scheduled payroll date following the
date the Executive becomes entitled to such payment. </FONT></P> <P STYLE="margin-top:6px;margin-bottom:0px; margin-left:4%"><FONT FACE="Times New Roman" SIZE="2"><B>7.2 <U>Nonqualified Stock Option Award</U>.</B> In accordance with and subject to
the terms of the Corautus Genetics Inc. 2002 Stock Plan (the &#147;Plan&#148;), the Company agrees to grant to the Executive nonqualified stock options to purchase 80,000 shares of the Company&#146;s </FONT>
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<FONT FACE="Times New Roman" SIZE="2">common stock according to the following terms and conditions (any additional terms and conditions of such option grant to be as specified in the option
agreement): </FONT></P> <P STYLE="margin-top:6px;margin-bottom:0px; margin-left:8%"><FONT FACE="Times New Roman" SIZE="2">(a) The date of grant shall be the effective date of this First Amendment to the Agreement; </FONT></P> <P
STYLE="margin-top:6px;margin-bottom:0px; margin-left:8%"><FONT FACE="Times New Roman" SIZE="2">(b) The per share option exercise price shall be the fair market value per share (as defined in the Plan) on the date of grant; </FONT></P> <P
STYLE="margin-top:6px;margin-bottom:0px; margin-left:8%"><FONT FACE="Times New Roman" SIZE="2">(c) The options shall become exercisable as follows: </FONT></P> <P STYLE="margin-top:6px;margin-bottom:0px; margin-left:13%"><FONT FACE="Times New Roman"
SIZE="2">(i) 40,000 of the option shares shall become exercisable on March&nbsp;31, 2007 if the Executive is employed by the Company on that date; and </FONT></P> <P STYLE="margin-top:6px;margin-bottom:0px; margin-left:13%"><FONT
FACE="Times New Roman" SIZE="2">(ii) The remaining 40,000 option shares shall become exercisable on March&nbsp;31, 2008 if the Executive is employed by the Company on that date. </FONT></P> <P
STYLE="margin-top:6px;margin-bottom:0px; margin-left:8%"><FONT FACE="Times New Roman" SIZE="2">(d) The options shall have a 10-year term and, except as specified herein, shall be subject to the terms and provisions of the Plan; and </FONT></P> <P
STYLE="margin-top:6px;margin-bottom:0px; margin-left:8%"><FONT FACE="Times New Roman" SIZE="2">(e) Once exercisable, the options shall remain exercisable following termination of employment only as provided under the terms of the Plan.&#148;
</FONT></P> <P STYLE="margin-top:12px;margin-bottom:0px"><FONT FACE="Times New Roman" SIZE="2">2. Except as specifically provided above, the terms of the Agreement shall remain in full force and effect as prior to this First Amendment. </FONT></P>
<P STYLE="margin-top:12px;margin-bottom:0px; text-indent:4%"><FONT FACE="Times New Roman" SIZE="2"><B>IN WITNESS WHEREOF</B>, the Executive and the Company have executed and delivered this First Amendment to the Agreement as of the date set forth
above, but actually on the date set forth below. </FONT></P> <P STYLE="font-size:12px;margin-top:0px;margin-bottom:0px">&nbsp;</P><DIV ALIGN="right">
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<TD VALIGN="top" COLSPAN="3"><FONT FACE="Times New Roman" SIZE="2"><B>CORAUTUS GENETICS, INC.</B></FONT></TD></TR>
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<TD VALIGN="top"><FONT FACE="Times New Roman" SIZE="2">By:</FONT></TD>
<TD VALIGN="bottom"><FONT SIZE="1">&nbsp;</FONT></TD>
<TD VALIGN="top"> <P STYLE="margin-bottom:1px;border-bottom:1px solid #000000"><FONT FACE="Times New Roman" SIZE="2">/s/ Richard E. Otto</FONT></P></TD></TR>
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<TD VALIGN="top"><FONT FACE="Times New Roman" SIZE="2">Richard E. Otto</FONT></TD></TR>
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<TD VALIGN="bottom"><FONT SIZE="1">&nbsp;</FONT></TD>
<TD VALIGN="top"><FONT FACE="Times New Roman" SIZE="2">President and CEO</FONT></TD></TR>
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<TD VALIGN="top"><FONT FACE="Times New Roman" SIZE="2">Date:</FONT></TD>
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<TD VALIGN="top"><FONT FACE="Times New Roman" SIZE="2">May 15, 2006</FONT></TD></TR>
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<TD VALIGN="top" COLSPAN="3"><FONT FACE="Times New Roman" SIZE="2"><B>JACK W. CALLICUTT</B></FONT></TD></TR>
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<TD VALIGN="top" COLSPAN="3"> <P STYLE="margin-bottom:1px;border-bottom:1px solid #000000"><FONT FACE="Times New Roman" SIZE="2">/s/ Jack W. Callicutt</FONT></P></TD></TR>
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<TD VALIGN="top"><FONT FACE="Times New Roman" SIZE="2">Date:</FONT></TD>
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<TD VALIGN="top"><FONT FACE="Times New Roman" SIZE="2">May 15, 2006</FONT></TD></TR>
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