A Study of REcycled CartiLage Auto/Allo IMplantation to Treat and Repair Focal Hip Cartilage Defects

Inclusion Criteria: * Persons of childbearing potential must have a negative pregnancy test prior to receiving the study drug and will agree to use adequate contraception (hormonal or barrier method or abstinence) at the time of screening. Females of childbearing potential are defined as premenopausal and not surgically sterilized, or post-menopausal for fewer than 2 years. A urine pregnancy test will be performed prior to the administration of the study drug to confirm negative results. If the urine pregnancy test is positive, the study drug will not be administered, and the result will be confirmed by a serum pregnancy test. Urine pregnancy tests will be performed by qualified personnel using kit. Persons becoming pregnant during the study will continue to be monitored for the duration of the study or completion of the pregnancy, whichever is longer. Monitoring will include perinatal and neonatal outcome. Any SAEs associated with pregnancy will be recorded. * Chronic (\> 3 months), unilaterally symptomatic, ICRS Grade III or IV cartilage lesions ranging in size from 2 to 6 cm2. Patients with episodes of contralateral hip pain that is asymptomatic at the time of enrollment will be eligible for inclusion. However, patients with previous episodes of contralateral hip pain who experience a repeat episode of contralateral pain similar to their established pattern of pain during the course of the trial will not be considered as having experienced an adverse event. * Radiographic hip OA of Tönnis Grade 1 or less, consisting of normal hip radiographs (Grade 0) or doubtful narrowing of the joint space and possible osteophytic lipping (Grade 1) as agreed upon by two study co-investigators without underlying structural hip abnormalities * Previous 6 week or longer trial of one of the following conservative treatments: activity modification, weight loss, physical therapy, anti-inflammatory medications, or injection therapy (e.g. cortisone). An adequate trial will consist of pursuance and reasonable execution (i.e. \> 80% medication or therapy compliance) of medically reasonable course of non-operative modalities with minimal to no improvements in symptoms * If applicable, at least 3 months will have passed since the last target hip intraarticular injection prior to undergoing the RECLAIM procedure and at least 6 months will have passed between any prior arthroscopic or open hip procedures. * Able to routinely walk without assistance (e.g. cane, walker) * Clinically stable target hip. * No additional surgery planned in the target hip for at least 12 months following the RECLAIM procedure * Completed general physical and well-being evaluation with primary care provider within 12 months of enrollment * Fully understanding of the requirements of the study and willingness to comply with the treatment plan, including laboratory tests, diagnostic imaging, and follow-up visits and assessments * Can provide written informed consent and complete HIPAA documentation after the nature of the study is fully explained and prior to any study-related procedure Exclusion Criteria: * Pregnant or nursing, or planning on becoming pregnant during the study period * Congenital or acquired malformation of the target hip resulting in significant deformity or leading to problems with the study treatment or analysis of the results * Significant structural deformity, including large cam lesion (alpha angle greater than 55 degrees) or moderate dysplasia (defined as lateral center edge angle less than 18 degrees). * Injections of any kind into the target hip within 3 months prior to study enrollment * History of intra-articular infection in the target hip * History of superficial infection in the target hip within 6 months of study enrollment, or evidence of current superficial infection affecting the target hip * History of falls requiring medical attention, or gait instability * Clinically significant abnormal hematology (complete blood count with differential), blood chemistry, or urinalysis screening laboratory results. Absolute cutoffs for exclusion include hemoglobin \< 11 g / dL, platelets \< 110,000 platelets / mL, and an INR greater than 1.3. * Body mass index (BMI) \> 35 kg/m2 * Tönnis Grade II or greater on X-Ray. * Taking anticoagulant medications (e.g. warfarin, heparin or clopidogrel) which may pose a clinically significant contraindication to the surgical RECLAIM procedure * Taking herbal therapies or supplements within 4 weeks of enrollment or unwilling to avoid use of herbal therapies or supplements until study completion (includes, but not limited to chondroitin sulfate, diacerein, n-glucosamine, piascledine, and capsaicin) * Taking non-steroidal anti-inflammatory medications (e.g. COX-2 inhibitors) without a stable dosing regimen for at least 4 weeks before baseline evaluation, or anticipating not remaining on a stable dose until study completion * On chronic, immunosuppressive transplant therapy or having a chronic, immunosuppressive state, including use of systemic steroids/corticosteroids * Current tobacco product use, including nicotine patch or other nicotine products * Clinically significant rheumatological or inflammatory disease of the hip or chondrocalcinosis/calcium pyrophosphate disease (CPPD), hemochromatosis, inflammatory arthritis, arthropathy of the hip associated with juxta-articular Paget's disease of the femur or pelvis, ochronosis, hemophilic arthropathy, infectious arthritis, Charcot's hip joint, villonodular synovitis, and synovial chondromatosis * Ongoing infectious disease, including but not limited to tuberculosis, HIV, hepatitis, and syphilis * Clinically significant cardiovascular (e.g. history of myocardial infarction, congestive heart failure or uncontrolled hypertension), neurologic (e.g. stroke, TIA) renal, hepatic, orthopedic (e.g. surgery on other weight bearing joints that will interfere with study, osteoporosis, acute lower body fractures), or endocrine disease (e.g. diabetes). * Any clinically significant comorbidity affecting the patient's ability to undergo surgery * Vascular or neurological disorder affecting the either lower limb which poses clinical significance to the safety of the operative RECLAIM procedure. * History of cancer/malignancy with the exception of adequately treated basal cell or squamous cell carcinoma of the skin not associated with the target knee * History of clinically significant blood dyscrasia, including but not limited to anemia, thrombocytopenia, and monoclonal gammopathy * Participation in a study of an experimental drug or medical device within 3 months of study enrollment * Known allergy to local anesthetics or other components of the study drug. This includes known allergy or contraindications to products of bovine origin (including aprotinin) or hypersensitivity to antibiotics, if the latter are used in the manufacturing process * Any contraindication to MRI scan according to MRI guidelines, or unwillingness to undergo MRI procedures * Any illness or condition which, in the investigators' judgement will interfere with the patient's ability to comply with the protocol, compromise patient safety, or interfere with the interpretation of the study results * History of coagulopathy, including bleeding diathesis and deep venous thrombosis/pulmonary embolism.