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Article 2 - DEVELOPMENT; RIGHT OF FIRST NEGOTIATION ........................................... 20 |
2.1 Development Plans ............................................................................................ 20 |
2.2 Conduct of Development Programs ................................................................... 20 |
2.3 Right of First Negotiation for Option Products ................................................. 22 |
2.4 No Additional Israel Innovation Authority Financing; Amendments of IIA Terms ........................................................................................................... 24 |
2.5 Supply Agreement ............................................................................................. 25 |
Article 3 - GOVERNANCE.......................................................................................................... 25 |
3.1 Joint Governance Committee............................................................................. 25 |
3.2 Responsibilities .................................................................................................. 25 |
3.3 Meetings and Minutes ........................................................................................ 26 |
3.4 Procedural Rules ................................................................................................ 26 |
3.5 Decision-Making ............................................................................................... 26 |
3.6 Interactions Between a Committee and Internal Teams .................................... 27 |
3.7 Expenses ............................................................................................................ 27 |
3.8 Authority ............................................................................................................ 27 |
Article 4 - EXCLUSIVITY RIGHTS ........................................................................................... 28 |
4.1 Grant of Exclusive Rights to AbbVie ................................................................ 28 |
4.2 Grant of Evaluation Rights to AbbVie .............................................................. 28 |
4.3 Limitations on CollPlant .................................................................................... 28 |
4.4 Covenant Not to Sue .......................................................................................... 28 |
4.5 Grant of Right of Reference to AbbVie ............................................................. 29 |
4.6 CollPlant Right to Sell OTC Skincare Products ................................................ 29 |
Article 5 - GENERAL PROVISIONS RELATING TO ACTIVITIES........................................ 29 |
5.1 AbbVie Development and Commercialization .................................................. 29 |
5.2 AbbVie Diligence Obligations........................................................................... 30 |
5.3 Compliance ........................................................................................................ 30 |
5.4 Subcontracting ................................................................................................... 30 |
5.5 Records and Audits ............................................................................................ 30 |
5.6 Cooperation ........................................................................................................ 31 |
Article 6 - FINANCIAL TERMS; PAYMENTS.......................................................................... 31 |
6.1 Upfront Fee ........................................................................................................ 31 |
6.2 Option Exercise Fee ........................................................................................... 31 |
6.3 Contingent Payments ......................................................................................... 32 |
6.4 Milestone Payments ........................................................................................... 32 |
6.5 Royalties ............................................................................................................ 35 |
6.6 Royalty Term ..................................................................................................... 36 |
6.7 Royalty Adjustments.......................................................................................... 36 |
6.8 Reports; Payment of Royalty ............................................................................. 37 |
6.9 Financial Records .............................................................................................. 38 |
6.10 Audit; Audit Dispute .......................................................................................... 38 |
6.11 Methods of Payments; Offsets ........................................................................... 39 |
6.12 Taxes .................................................................................................................. 39 |
6.13 Late Payments .................................................................................................... 40 |
6.14 Financial Obligations under In-License Agreements ........................................ 40 |
Article 7 - INTELLECTUAL PROPERTY RIGHTS .................................................................. 40 |
7.1 Ownership of Intellectual Property; Disclosure................................................. 40 |
7.2 Patent Prosecution and Maintenance ................................................................. 42 |
7.3 Enforcement of Patent Rights ............................................................................ 43 |
7.4 Infringement Claims by Third Parties ............................................................... 44 |
7.5 Invalidity or Unenforceability Defenses or Actions .......................................... 45 |
7.6 Product Trademarks ........................................................................................... 45 |
7.7 Inventor's Remuneration ................................................................................... 46 |
7.8 International Nonproprietary Name ................................................................... 46 |
Article 8 - CONFIDENTIALITY ................................................................................................. 46 |
8.1 Product Information ........................................................................................... 46 |
8.2 Confidentiality Obligations ............................................................................... 47 |
8.3 Permitted Disclosures. Each Party may disclose Confidential Information to the extent that such disclosure is: .............................................. 48 |
8.4 Use of Name ...................................................................................................... 49 |
8.5 Public Announcements ...................................................................................... 50 |
8.6 Publications ........................................................................................................ 50 |
8.7 Return of Confidential Information ................................................................... 50 |
8.8 Survival .............................................................................................................. 50 |
Article 9 - REPRESENTATIONS AND WARRANTIES ........................................................... 51 |
9.1 Representations and Warranties of Both Parties................................................ 51 |
9.2 Representations, Warranties and Covenants, as applicable, of CollPlant ......... 52 |
9.3 Mutual Covenants .............................................................................................. 56 |
9.4 Additional Covenants of CollPlant .................................................................... 56 |
9.5 Disclaimer .......................................................................................................... 57 |
9.6 Anti-Bribery and Anti-Corruption Compliance ................................................. 57 |
Article 10 - INDEMNIFICATION; INSURANCE ...................................................................... 57 |
10.1 Indemnification by AbbVie ............................................................................... 57 |
10.2 Indemnification by CollPlant ............................................................................. 58 |
10.3 Procedure ........................................................................................................... 59 |
10.4 Insurance ............................................................................................................ 61 |
10.5 Limitation of Liability ....................................................................................... 62 |
Article 11 - TERM AND TERMINATION .................................................................................. 62 |
11.1 Term ................................................................................................................... 62 |
11.2 Termination ........................................................................................................ 62 |
11.3 Modification in Lieu of Termination ................................................................. 63 |
11.4 Effects of Termination of Agreement ................................................................ 64 |
11.5 Effects of Termination in Terminated Territory ................................................ 64 |
11.6 Accrued Rights; Surviving Provisions of the Agreement .................................. 64 |
Article 12 - MISCELLANEOUS .................................................................................................. 65 |
12.1 Governing Law; Service .................................................................................... 65 |
12.2 Dispute Resolution ............................................................................................. 66 |
12.3 Assignment ........................................................................................................ 66 |
12.4 Force Majeure .................................................................................................... 67 |
12.5 Notices ............................................................................................................... 68 |
12.6 Export Clause ..................................................................................................... 69 |
12.7 Waiver; Non-Exclusion of Remedies ................................................................ 69 |
12.8 No Benefit to Third Parties ................................................................................ 69 |
12.9 Further Assurance .............................................................................................. 70 |
12.10 Severability ........................................................................................................ 70 |
12.11 Equitable Relief ................................................................................................. 70 |
12.12 Entire Agreement; Amendments ....................................................................... 70 |
12.13 Relationship of the Parties ................................................................................. 71 |
12.14 Headings; Construction; Interpretation .............................................................. 71 |
12.15 Books and Records ............................................................................................ 72 |
12.16 English Language .............................................................................................. 72 |
12.17 Parties in Interest ............................................................................................... 72 |
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