x
|
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
For the quarterly period ended June 30, 2011
|
|
OR
|
|
o
|
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
For the transition period from to
|
|
Commission File Number 000-50513
|
Delaware
(State of Incorporation)
|
13-3831168
(I.R.S. Employer
Identification Number)
|
Large accelerated filer
x
|
Accelerated filer
o
|
Non-accelerated filer
o
(Do not check if a
smaller reporting company)
|
Smaller Reporting Company
o
|
Class
|
Outstanding at July 31, 2011
|
|
Common Stock, $0.001 par value
per share
|
39,657,681 shares
|
PART I—FINANCIAL INFORMATION
|
Page | |
Item 1.
|
Financial Statements
|
1 |
Consolidated Balance Sheets June 30, 2011 (unaudited) and December 31, 2010
|
1 | |
Consolidated Statements of Operations (unaudited) Three and six-month periods ended June 30, 2011 and 2010
|
2 | |
Consolidated Statements of Cash Flows (unaudited) Three and six-month periods ended June 30, 2011 and 2010
|
3 | |
Notes to Consolidated Financial Statements (unaudited)
|
4 | |
Item 2.
|
Management’s Discussion and Analysis of Financial Condition and Results of Operations
|
14 |
Item 3.
|
Quantitative and Qualitative Disclosures About Market Risk
|
29 |
Item 4.
|
Controls and Procedures
|
29 |
PART II—OTHER INFORMATION
|
||
Item 1.
|
Legal Proceedings
|
31 |
Item 1A.
|
Risk Factors
|
31 |
Item 6.
|
Exhibits
|
36 |
(In thousands, except share data)
|
June 30,
2011
|
December 31,
2010
|
||||||
(unaudited)
|
||||||||
Assets
|
||||||||
Current assets:
|
||||||||
Cash and cash equivalents
|
$ | 48,635 | $ | 34,641 | ||||
Restricted cash
|
302 | 302 | ||||||
Short-term investments
|
179,565 | 205,389 | ||||||
Trade accounts receivable, net
|
23,416 | 22,272 | ||||||
Prepaid expenses
|
7,457 | 6,413 | ||||||
Finished goods inventory held by the Company
|
40,080 | 36,232 | ||||||
Finished goods inventory held by others
|
2,065 | 2,186 | ||||||
Other current assets
|
4,333 | 3,734 | ||||||
Total current assets
|
305,853 | 311,169 | ||||||
Property and equipment, net of accumulated depreciation
|
3,543 | 3,203 | ||||||
Intangible assets, net of accumulated amortization
|
20,502 | 21,336 | ||||||
Non-current portion of deferred cost of license revenue
|
5,759 | 6,050 | ||||||
Other assets
|
438 | 343 | ||||||
Total assets
|
$ | 336,095 | $ | 342,101 | ||||
Liabilities and Stockholders’ Equity
|
||||||||
Current liabilities:
|
||||||||
Accounts payable
|
$ | 16,706 | $ | 16,961 | ||||
Accrued expenses and other current liabilities
|
24,998 | 34,122 | ||||||
Deferred product revenue—Zanaflex tablets
|
9,819 | 9,526 | ||||||
Deferred product revenue—Zanaflex Capsules
|
19,055 | 21,770 | ||||||
Current portion of deferred license revenue
|
9,057 | 9,429 | ||||||
Current portion of revenue interest liability
|
1,797 | 1,297 | ||||||
Current portion of convertible notes payable
|
1,144 | 1,144 | ||||||
Total current liabilities
|
82,576 | 94,249 | ||||||
Non-current portion of deferred license revenue
|
82,271 | 86,429 | ||||||
Put/call liability
|
374 | 391 | ||||||
Non-current portion of revenue interest liability
|
2,986 | 3,586 | ||||||
Non-current portion of convertible notes payable
|
5,136 | 6,185 | ||||||
Commitments and contingencies
|
||||||||
Stockholders’ equity:
|
||||||||
Common stock, $0.001 par value. Authorized 80,000,000 shares at June 30, 2011 and December 31, 2010; issued and outstanding 39,106,856 and 38,779,370 shares as of June 30, 2011 and December 31, 2010, respectively
|
39 | 39 | ||||||
Treasury stock at cost (12,420 shares at June 30, 2011 and December 31, 2010)
|
(329 | ) | (329 | ) | ||||
Additional paid-in capital
|
603,973 | 591,650 | ||||||
Accumulated deficit
|
(441,043 | ) | (440,086 | ) | ||||
Accumulated other comprehensive income
|
112 | (13 | ) | |||||
Total stockholders’ equity
|
162,752 | 151,261 | ||||||
Total liabilities and stockholders’ equity
|
$ | 336,095 | $ | 342,101 |
(In thousands, except per share data)
|
Three-month
period ended
June 30,
2011
|
Three-month
period ended
June 30,
2010
|
Six-month
period ended
June 30,
2011
|
Six-month
period ended
June 30,
2010
|
||||||||||||
Revenues:
|
||||||||||||||||
Gross product sales
|
$ | 69,217 | $ | 43,443 | $ | 134,424 | $ | 60,697 | ||||||||
Less: discounts and allowances
|
(6,339 | ) | (2,965 | ) | (12,621 | ) | (4,828 | ) | ||||||||
Net sales
|
62,878 | 40,478 | 121,803 | 55,869 | ||||||||||||
License and royalty revenue
|
2,398 | 2,357 | 4,759 | 4,714 | ||||||||||||
Total net revenues
|
65,276 | 42,835 | 126,562 | 60,583 | ||||||||||||
Costs and expenses:
|
||||||||||||||||
Cost of sales
|
12,048 | 7,832 | 24,098 | 10,908 | ||||||||||||
Research and development
|
12,008 | 6,596 | 22,716 | 14,658 | ||||||||||||
Selling, general and administrative
|
40,300 | 34,112 | 78,387 | 60,826 | ||||||||||||
Total operating expenses
|
64,356 | 48,540 | 125,201 | 86,392 | ||||||||||||
Operating income (loss)
|
920 | (5,705 | ) | 1,361 | (25,809 | ) | ||||||||||
Other expense (net):
|
||||||||||||||||
Interest and amortization of debt discount expense
|
(1,276 | ) | (1,194 | ) | (2,412 | ) | (2,408 | ) | ||||||||
Interest income
|
133 | 135 | 273 | 339 | ||||||||||||
Total other expense (net)
|
(1,143 | ) | (1,059 | ) | (2,139 | ) | (2,069 | ) | ||||||||
Loss before taxes
|
(223 | ) | (6,764 | ) | (778 | ) | (27,878 | ) | ||||||||
Provision for income taxes
|
(62 | ) | — | (179 | ) | — | ||||||||||
Net loss
|
$ | (285 | ) | $ | (6,764 | ) | $ | (957 | ) | $ | (27,878 | ) | ||||
Net loss per share—basic
|
$ | (0.01 | ) | $ | (0.18 | ) | $ | (0.02 | ) | $ | (0.73 | ) | ||||
Net loss per share—diluted
|
$ | (0.01 | ) | $ | (0.18 | ) | $ | (0.02 | ) | $ | (0.73 | ) | ||||
Weighted average common shares outstanding used in computing net loss per share—basic
|
38,937 | 38,306 | 38,859 | 38,164 | ||||||||||||
Weighted average common shares outstanding used in computing net loss per share—diluted
|
38,937 | 38,306 | 38,859 | 38,164 |
(In thousands)
|
Six-month
period ended
June 30,
2011
|
Six-month
period ended
June 30,
2010
|
||||||
Cash flows from operating activities:
|
||||||||
Net loss
|
$ | (957 | ) | $ | (27,878 | ) | ||
Adjustments to reconcile net loss to net cash provided by operating activities:
|
||||||||
Share-based compensation expense
|
8,791 | 7,770 | ||||||
Amortization of net premiums and discounts on short-term investments
|
3,460 | 2,074 | ||||||
Amortization of revenue interest issuance cost
|
63 | 58 | ||||||
Depreciation and amortization expense
|
2,175 | 1,781 | ||||||
Gain on put/call liability
|
(17 | ) | (319 | ) | ||||
Changes in assets and liabilities:
|
||||||||
Increase in accounts receivable
|
(1,145 | ) | (12,187 | ) | ||||
Increase in prepaid expenses and other current assets
|
(1,643 | ) | (845 | ) | ||||
Increase in inventory held by the Company
|
(3,848 | ) | (13,361 | ) | ||||
Decrease in inventory held by others
|
121 | 239 | ||||||
Decrease in non-current portion of deferred cost of license revenue
|
291 | 330 | ||||||
Increase in other assets
|
(157 | ) | — | |||||
Decrease in accounts payable, accrued expenses, other current liabilities
|
(10,418 | ) | (2,018 | ) | ||||
Increase in revenue interest liability interest payable
|
840 | 560 | ||||||
Decrease in current portion of deferred license revenue
|
(371 | ) | — | |||||
Decrease in non-current portion of deferred license revenue
|
(4,157 | ) | (4,714 | ) | ||||
Increase (decrease) in deferred product revenue—Zanaflex tablets
|
293 | (583 | ) | |||||
Decrease in deferred product revenue—Zanaflex Capsules
|
(2,715 | ) | (955 | ) | ||||
Net cash used in operating activities
|
(9,394 | ) | (50,048 | ) | ||||
Cash flows from investing activities:
|
||||||||
Purchases of property and equipment
|
(1,081 | ) | (1,374 | ) | ||||
Purchases of intangible assets
|
(612 | ) | (6,795 | ) | ||||
Purchases of short-term investments
|
(135,511 | ) | (124,665 | ) | ||||
Proceeds from maturities of short-term investments
|
158,000 | 206,500 | ||||||
Net cash provided by investing activities
|
20,796 | 73,666 | ||||||
Cash flows from financing activities:
|
||||||||
Proceeds from issuance of common stock and option exercises
|
3,533 | 5,572 | ||||||
Repayments of revenue interest liability
|
(941 | ) | (836 | ) | ||||
Net cash provided by financing activities
|
2,592 | 4,736 | ||||||
Net increase in cash and cash equivalents
|
13,994 | 28,354 | ||||||
Cash and cash equivalents at beginning of period
|
34,641 | 47,314 | ||||||
Cash and cash equivalents at end of period
|
$ | 48,635 | $ | 75,668 | ||||
Supplemental disclosure:
|
||||||||
Cash paid for interest
|
1,477 | 1,737 |
For the three-month
|
For the six-month
|
||||||||||||||||
period ended June 30,
|
period ended June 30,
|
||||||||||||||||
(In millions)
|
2011
|
2010
|
2011
|
2010
|
|||||||||||||
Research and development
|
$ | 1.5 | $ | 1.4 | $ | 2.6 | $ | 2.2 | |||||||||
Selling, general and administrative
|
3.5 | 3.2 | 6.2 | 5.6 | |||||||||||||
Total
|
$ | 5.0 | $ | 4.6 | $ | 8.8 | $ | 7.8 |
Number of Shares
(In thousands)
|
Weighted Average
Exercise Price
|
Weighted Average
Remaining
Contractual
Term
|
Intrinsic Value
(In thousands)
|
|||||||||||||
Balance at January 1, 2011
|
4,084 | $ | 20.13 | |||||||||||||
Granted
|
1,087 | 23.66 | ||||||||||||||
Cancelled
|
(88 | ) | 24.84 | |||||||||||||
Exercised
|
(305 | ) | 11.57 | |||||||||||||
Balance at June 30, 2011
|
4,778 | $ | 21.39 | 7.3 | $ | 53,292 | ||||||||||
Vested and expected to vest at June 30, 2011
|
4,665 | $ | 21.28 | 7.2 | $ | 52,543 | ||||||||||
Vested and exercisable at June 30, 2011
|
2,598 | $ | 17.31 | 5.9 | $ | 39,316 |
(In thousands)
Restricted Stock
|
Number of Shares
|
|
Nonvested at January 1, 2011
|
324
|
|
Granted
|
277
|
|
Vested
|
(22)
|
|
Forfeited
|
(13)
|
|
Nonvested at June 30, 2011
|
566
|
(In thousands, except per share data)
|
Three-month
period ended
June 30,
2011
|
Three-month
period ended
June 30,
2010
|
Six-month
period ended
June 30,
2011
|
Six-month
period ended
June 30,
2010
|
||||||||||||
Basic and diluted
|
||||||||||||||||
Net loss
|
$ | (285 | ) | $ | (6,764 | ) | $ | (957 | ) | $ | (27,878 | ) | ||||
Weighted average common shares outstanding used in computing net loss per share—basic
|
38,937 | 38,306 | 38,859 | 38,164 | ||||||||||||
Plus: net effect of dilutive stock options and restricted common shares
|
— | — | — | — | ||||||||||||
Weighted average common shares outstanding used in computing net loss per share—diluted
|
38,937 | 38,306 | 38,859 | 38,164 | ||||||||||||
Net loss per share—basic
|
$ | (0.01 | ) | $ | (0.18 | ) | $ | (0.02 | ) | $ | (0.73 | ) | ||||
Net loss per share—diluted
|
$ | (0.01 | ) | $ | (0.18 | ) | $ | (0.02 | ) | $ | (0.73 | ) |
(In thousands)
|
Level 1
|
Level 2
|
Level 3
|
|||||||||
Assets Carried at Fair Value:
|
||||||||||||
Cash equivalents
|
$ | 48,635 | $ | — | $ | — | ||||||
Short-term investments
|
179,565 | — | — | |||||||||
Liabilities Carried at Fair Value:
|
||||||||||||
Put/call liability
|
— | — | 374 |
(In thousands)
|
Balance as of
December 31, 2010
|
Realized (gains)
losses included
in net loss
|
Unrealized
(gains) losses included
in other
comprehensive
loss
|
Balance as of
June 30, 2011
|
||||||||||||
Liabilities Carried at Fair Value:
|
||||||||||||||||
Put/call liability
|
$ | 391 | $ | (17 | ) | $ | — | $ | 374 |
(In thousands)
|
Amortized
Cost
|
Gross
unrealized
gains
|
Gross
unrealized
losses
|
Estimated
fair
value
|
||||||||||||
June 30, 2011
|
||||||||||||||||
US Treasury bonds
|
$ | 179,453 | $ | 112 | $ | — | $ | 179,565 | ||||||||
December 31, 2010
|
||||||||||||||||
US Treasury bonds
|
205,402 | 5 | (18 | ) | 205,389 |
(In thousands)
|
June 30, 2011
|
December 31,
2010
|
Estimated
remaining
useful lives as of
June 30, 2011
|
||||||
Zanaflex Capsule patents
|
$ | 19,350 | $ | 19,350 |
10 years
|
||||
Zanaflex trade name
|
2,150 | 2,150 |
0 years
|
||||||
Ampyra milestones
|
3,250 | 3,250 |
15 years
|
||||||
CSRO royalty buyout
|
3,000 | 3,000 |
9 years
|
||||||
Website development costs
|
3,030 | 2,975 |
0-3 years
|
||||||
Website development costs-in process
|
557 | — |
3 years
|
||||||
31,337 | 30,725 | ||||||||
Less accumulated amortization
|
10,835 | 9,389 | |||||||
$ | 20,502 | $ | 21,336 |
2011
|
$2,902
|
2012
|
2,593
|
2013
|
2,319
|
2014
|
1,767
|
2015
|
1,756
|
$11,337
|
|
•
|
with respect to Zanaflex net revenues up to and including $30.0 million for each fiscal year during the term of the agreement, 15% of such net revenues;
|
|
•
|
with respect to Zanaflex net revenues in excess of $30.0 million but less than and including $60.0 million for each fiscal year during the term of the agreement, 6% of such net revenues; and
|
|
•
|
with respect to Zanaflex net revenues in excess of $60.0 million for each fiscal year during the term of the agreement, 1% of such net revenues.
|
Assumption
|
Method of estimating
|
||
•
|
Estimated expected term of options |
•
|
Historical term data |
•
|
Expected volatility |
•
|
Combination of historic volatility of our common stock since October 1, 2006 and the historic volatility
of the stock
of our peer companies
|
•
|
Risk-free interest rate |
•
|
Yields of U.S. Treasury securities corresponding with the expected life of option grants |
•
|
Forfeiture rates |
•
|
Historical forfeiture data |
·
|
commercialize Ampyra in the U.S. and have Biogen Idec obtain and maintain regulatory approval for Ampyra (as Fampridine Prolonged Release tablets) in the EU and other markets outside the U.S.;
|
·
|
achieve planned sales levels for Zanaflex Capsules;
|
·
|
continue to advance clinical development of our AC105 and GGF2 programs;
|
·
|
continue to develop our preclinical product candidates and advance them into clinical trials; and
|
·
|
evaluate and potentially expand our product development pipeline through the potential in-licensing and/or acquisition of additional products and technologies.
|
·
|
voluntary or mandatory recalls;
|
·
|
voluntary or mandatory patient or physician notification;
|
·
|
withdrawal of product approvals;
|
·
|
product seizures;
|
·
|
restrictions on, or prohibitions against, marketing our products;
|
·
|
restrictions on importation of our product candidates;
|
·
|
fines and injunctions;
|
·
|
civil and criminal penalties;
|
·
|
exclusion from participation in government programs; and
|
·
|
suspension of review or refusal to approve pending applications.
|
10.16
|
License Agreement, dated as of September 26, 2003, by and between the Registrant and Rush-Presbyterian-St. Luke’s Medical Center.
|
10.22
|
License Agreement, dated as of November 12, 2002, by and between the Registrant and CeNeS Pharmaceuticals, plc.
|
10.24
|
License Agreement, dated as of September 8, 2000, by and between the Registrant and Mayo Foundation for Medical Education and Research.
|
10.61
|
Amendment to August 11, 2002 Employment Agreement dated June 21, 2011, by and between the Registrant and Ron Cohen.
|
10.62
|
Lease, dated as of June 23, 2011, by and between the Registrant and BMR-Ardsley Park LLC.
|
10.63*
|
License Agreement, dated as of June 27, 2011, by and between the Registrant and Medtronic, Inc. and Warsaw Orthopedic, Inc.
|
31.1
|
Certification by the Chief Executive Officer pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934.
|
31.2
|
Certification by the Chief Financial Officer pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934.
|
32.1
|
Certification by the Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
|
32.2
|
Certification by the Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
|
101.INS**
|
XBRL Instance Document
|
101.SCH**
|
XBRL Taxonomy Extension Schema Document
|
101.CAL**
|
XBRL Taxonomy Extension Calculation Linkbase Document
|
101.DEF**
|
XBRL Taxonomy Extension Definition Linkbase Document |
101.LAB**
|
XBRL Taxonomy Extension Label Linkbase Document
|
101.PRE**
|
XBRL Taxonomy Extension Presentation Linkbase Document
|
Acorda Therapeutics, Inc.
|
||
By:
|
/s/
Ron Cohen
|
|
Date: August 8, 2011
|
Ron Cohen, M.D.
President, Chief Executive Officer and Director
(Principal Executive Officer)
|
By:
|
/s/
David Lawrence
|
|
Date: August 8, 2011
|
David Lawrence, M.B.A.
Chief Financial Officer
(Principal Financial and Accounting Officer)
|
Exhibit No.
|
Description
|
|
10.16
|
License Agreement, dated as of September 26, 2003, by and between the Registrant and Rush-Presbyterian-St. Luke’s Medical Center.
|
|
10.22
|
License Agreement, dated as of November 12, 2002, by and between the Registrant and CeNeS Pharmaceuticals, plc.
|
|
10.24
|
License Agreement, dated as of September 8, 2000, by and between the Registrant and Mayo Foundation for Medical Education and Research.
|
|
10.61
|
Amendment to August 11, 2002 Employment Agreement dated June 21, 2011, by and between the Registrant and Ron Cohen.
|
|
10.62
|
Lease, dated as of June 23, 2011, by and between the Registrant and BMR-Ardsley Park LLC.
|
|
10.63*
|
License Agreement, dated as of June 27, 2011, by and between the Registrant and Medtronic, Inc. and Warsaw Orthopedic, Inc.
|
|
31.1
|
Certification by the Chief Executive Officer pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934.
|
|
31.2
|
Certification by the Chief Financial Officer pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934.
|
|
32.1
|
Certification by the Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
|
|
32.2
|
Certification by the Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
|
|
101.INS**
|
XBRL Instance Document
|
|
101.SCH**
|
XBRL Taxonomy Extension Schema Document
|
|
101.CAL**
|
XBRL Taxonomy Extension Calculation Linkbase Document
|
|
101.DEF** | XBRL Taxonomy Extension Definition Linkbase Document | |
101.LAB**
|
XBRL Taxonomy Extension Label Linkbase Document
|
|
101.PRE**
|
XBRL Taxonomy Extension Presentation Linkbase Document
|
|
|
|
1.1.
“
Act
” shall mean the Federal Food Drug and Cosmetic Act of 1934, and the rules and regulations promulgated thereunder, or any successor act, as the same shall be in effect from time to time.
|
|
|
|
1.2.
“
Affiliate
” shall mean (i) any corporation or business entity of which more than fifty percent (50%) of the securities or other ownership interests representing the equity, the voting stock or general partnership interest are owned, controlled or held, directly or indirectly, by a Party; (ii) any corporation or business entity which, directly or indirectly, owns, controls or holds more than fifty percent (50%) (or the maximum ownership interest permitted by law) of the securities or other ownership interests representing the equity, voting stock or general partnership interest of a Party or (iii) any corporation or business entity of which a Party has the right to acquire, directly or indirectly, at least fifty percent (50%) of the securities or other ownership interests representing the equity, voting stock or general partnership interest thereof.
|
|
|
|
1.3.
“
Base Royalty Term
” shall mean, in any country in the Territory, the period beginning with the date of the First Commercial Sale in such country and continuing until the earlier of (i) expiration of the last to expire Elan Patent in such country; or (ii) ten (10) years from the date of First Commercial Sale in such country; provided however, that, in the event that ACORDA receives Regulatory Approval in the United States for Licensed Product with an Orphan Designation for the treatment of multiple sclerosis, then the Base Royalty Term in the United States shall not be less than seven years from the date of First Commercial Sale in the United States. In the event that RUSH’s further development of the RUSH Know-How results in the issuance to RUSH of a patent in any country or additional Orphan Drug Designation following the effective date of this Agreement that provides for a greater period of market exclusivity of the Product in such country, the Base Royalty Term in such country will continue for that period of market exclusivity provided by such patent or Orphan Drug Designation.
|
|
|
|
1.4.
“
Business Day(s)
” shall mean any day that is not a Saturday or a Sunday or a day on which the New York Stock Exchange is closed.
|
|
|
|
1.5.
“
Calendar Quarter
” shall mean the respective periods of three (3) consecutive calendar months ending on March 31, June 30, September 30 and December 31.
|
|
|
|
1.6.
“
Calendar Year
” shall mean each successive period of twelve (12) months commencing on January 1 and ending on December 31.
|
|
|
|
1.7.
“
Compound
” shall mean the chemical compound known as 4-aminopyridine, as diagrammed on
Schedule 1.7
hereto.
|
|
|
|
1.8.
“
CFR
” shall mean the United States Code of Federal Regulations.
|
|
|
|
1.9.
“
Effective Date
” shall mean the date first above written.
|
|
1.10.
“
Elan/Acorda License
” shall mean the Amended and Restated License Agreement effective as the Effective Date by and between ACORDA and ELAN.
|
|
|
|
1.11.
“
Elan Patent
” shall mean any patent included in the Elan Patent Rights as set forth on Schedule 1.11 hereto
|
|
|
|
1.12.
“
End of Phase 2 Meeting
” shall mean the first end of Phase 2 meeting with the FDA, as defined in 21 CFR Section 312.47, intended to determine the safety of proceeding to a Phase 3 Clinical Trial, evaluate the Phase 3 plan and protocols and identify any additional information necessary to support the NDA.
|
|
|
|
1.13.
“
FDA
” shall mean the United States Food and Drug Administration and any successor agency having substantially the same functions.
|
|
|
|
1.14.
“
First Commercial Sale
” shall mean the first commercial sale of Product by ACORDA, its Affiliate or its sublicensees in a country, for end use or consumption, after all required Regulatory Approvals have been granted by the governing health authority of such country. Sales for test marketing, clinical trial purposes, research and development, or compassionate or similar use where Acorda does not receive revenue from the sale other than cost recovery, shall not be deemed to constitute a commercial sale.
|
|
|
|
1.15.
“
GAAP
” shall mean generally accepted accounting principles in the United States, consistently applied.
|
|
|
|
1.16.
“
Improvement
” shall mean any and all improvements and enhancements, patentable or otherwise, related to the Compound or Product including, without limitation, in the manufacture, formulation, ingredients,
preparation, presentation, means of delivery or administration, dosage, indication, use or packaging of Compound or Product.
|
|
|
|
1.17.
“
Licensed Product
” shall mean any Product that utilizes or exploits the RUSH Know-How in the treatment of multiple sclerosis.
|
|
|
|
1.18.
“
NDA
” shall mean a new drug application as defined in the Act and applicable regulations promulgated thereunder that is filed with the FDA to obtain Regulatory Approval of Licensed Product in the United States.
|
|
|
|
1.19.
“
Neurological Indications
” shall mean indications concerning disorders and conditions of the neuromuscular system, central, peripheral and autonomic nervous systems, the neuromuscular junction and/or muscle. Such indications shall include, but not be limited to, multiple sclerosis and spinal cord injury.
|
|
|
|
1.20.
“
Net Sales
” shall mean the gross amount invoiced for commercial sales of Product in the Territory by ACORDA or its Affiliates to Third Parties commencing upon the date of First Commercial Sale in any country in the Territory, after deducting the following:
|
|
|
|
(i)
trade, cash and quantity discounts;
|
|
(ii)
credits and allowances on account of returned or rejected Product, including allowance for breakage or spoilage, recalls or Product destruction (whether voluntarily made or requested or made by a Regulatory Authority)
|
|
|
|
(iii)
chargebacks, rebates or similar payments granted to customers, including, but not limited to, managed health care organizations, wholesalers, distributors, buying groups, retailers, health care insurance carriers, pharmacy benefit management companies, health maintenance organizations or other institutions or health care organizations or to federal, state/provincial, local and other governments, their agencies and purchasers and reimbursers;
|
|
|
|
(iv)
sales or excise taxes, VAT or other taxes, and transportation, freight, postage, shipping and insurance charges and additional special transportation, custom duties, and other governmental charges;
|
|
|
|
(v)
retroactive price reductions; and
|
|
|
|
(vi)
write-offs or allowances for bad debts, to the extent permitted by GAAP.
|
|
1.21.
“
Orphan Designation
” shall mean the designation of a drug as a drug for a rare disease or condition pursuant to Section 526 of the Act.
|
|
|
|
1.22.
“
Party
” shall mean RUSH or ACORDA.
|
|
|
|
1.23.
“
Phase 3 Clinical Trial
” shall mean a clinical trial in patients with multiple sclerosis conducted after an End of Phase 2 Meeting and conducted on a sufficient number of patients that is designed to establish that Licensed Product is safe and efficacious for its intended use, and to define warnings, precautions and adverse reactions that are associated with Licensed Product in the dosage range to be prescribed, and supporting Regulatory Approval of Licensed Product in the treatment of multiple sclerosis.
|
|
|
|
1.24.
“
Product
” shall mean any finished pharmaceutical formulation for prescription use for the treatment of any human Neurological Indications which contains Compound as the therapeutically active ingredient.
|
|
|
|
1.25.
“
Proprietary Information
” shall mean any and all scientific, clinical, regulatory, marketing, financial and commercial information or data, whether communicated in writing, orally or by any other means, which is owned and under the protection of one
|
|
|
|
1.26.
“
Reduced Royalty Term
” shall mean, in any country in the Territory, the period of time beginning with the date following the expiration of the Base Royalty Term in such country and continuing until the fifteenth anniversary of the Effective Date.
|
|
|
|
1.27.
“
Regulatory Authority
” shall mean the FDA in the U.S., the EMEA or any agency in the European Union and any health regulatory authority(ies) in any country(ies) in the Territory that holds responsibility for granting Regulatory Approval for a Product in such country(ies), and any successor(s) agency thereto having substantially the same functions.
|
|
|
|
1.28.
“
Regulatory Approval”
shall mean all approvals (including pricing and reimbursement approvals required for marketing authorization), product and/or establishment licenses, registrations or authorizations of all regional, federal, state or local regulatory agencies, departments, bureaus or other governmental entities, necessary for the manufacture, use, storage, import, export, transport and sale of Product in a regulatory jurisdiction.
|
|
|
|
1.29.
“
Royalty Year
” shall mean, (i) for the year in which the First Commercial Sale occurs (the “First Royalty Year”), the period commencing with the first day of the Calendar Quarter in which the First Commercial Sale occurs and expiring on the last day of the Calendar Year in which the First Commercial Sale occurs; and (ii) for each subsequent year commencing after the end of the First Royalty Year, each successive Calendar Year.
|
|
|
|
1.30.
“
RUSH Know-How
” shall mean all information and materials, including but not limited to, discoveries, information, Improvements, processes, formulas, data, inventions, know-how and trade secrets, patentable or otherwise, which as of the Effective Date or at any time during the term of this Agreement:
|
|
|
|
(a)
relate to Compound or Product; and
|
|
|
|
(b)
were developed by or on behalf of RUSH, are owned by RUSH or are in RUSH’s possession or control.
|
|
|
|
1.31.
“
Side Agreement
” shall mean the Side Agreement by and among RUSH, ACORDA and ELAN executed as of the Effective Date, a copy of which is attached hereto as
Exhibit 1.31
.
|
|
|
|
1.32.
“
Territory
” shall mean all of the countries in the world.
|
|
|
|
1.33.
“
Third Party(ies)
” shall mean a person or entity who or which is neither a Party nor an Affiliate of a Party.
|
3.1.
|
Exchange of Information
. Following execution of this Agreement, RUSH shall utilize good faith reasonable efforts to disclose to ACORDA in English and in writing, all Rush Know-How not previously available or made available to ACORDA, in electronic format, where available, and hard copies (or, upon ACORDA’s request, originals), with the intention to make such information available to ACORDA as soon as reasonably practicable Throughout the term of this Agreement, and in addition to the other communications required under this Agreement, RUSH shall also promptly disclose to ACORDA in English and in writing on an ongoing basis all Rush Know-How, and any and all additions or revisions thereto. To the extent not previously assigned to ACORDA, RUSH hereby conveys, assigns and transfers to ACORDA, free and clear of all claims, liens and encumbrances and contractually imposed restrictions, all right, title and interest in and to the Rush Orphan Designation. RUSH shall assist and cooperate with ACORDA in the submission of any letters or other documents to the FDA required or requested in connection with the change in ownership of the Rush Orphan Designation from RUSH to ACORDA. RUSH shall notify ACORDA promptly of any request for, or
|
|
any expression of interest in using, Compound for research or any other purpose and shall refer any such requests or expressions of interest directly to ACORDA. RUSH shall also promptly notify ACORDA of any intellectual property, discovery or invention, once conceived and/or reduced to practice by RUSH or any employee or agent of RUSH, in the course of conducting or performing any activity relating to Compound or Product.
|
|
|
3.2.
|
Development and Commercialization
. ACORDA shall use commercially reasonable efforts to develop and commercialize Licensed Product. As used herein, “commercially reasonable efforts” shall mean efforts and resources normally used by ACORDA for a product owned by it or to which it has exclusive rights, which is of similar market potential at a similar stage in its development or product life, taking into account issues of safety and efficacy, product profile, the competitiveness of the marketplace, the proprietary position of the compound or product, the regulatory and reimbursement structure involved, the profitability of the applicable products, and other relevant factors. ACORDA shall provide RUSH with an annual written report summarizing the status of ACORDA’S clinical development and regulatory activities with respect to Licensed Product, with the delivery to RUSH of the summary of the annual report to an IND submitted by ACORDA to the FDA in connection with the periodic reporting requirements of the IND to be in satisfaction of the foregoing requirement. The obligations set forth in this Section 3.2 are expressly conditioned upon the absence of any serious adverse conditions or event relating to the safety or efficacy of Compound or Product including the absence of any action by any regulatory authority limiting the development or commercialization of Compound or Product.
|
|
|
|
3.3.
Regulatory Matters
.
|
(a)
|
ACORDA shall own, control and retain primary legal responsibility for the preparation, filing and prosecution of all filings and regulatory applications required to obtain Regulatory Approvals. ACORDA shall notify RUSH upon the receipt of Regulatory Approvals and of the date of First Commercial Sale.
|
(b)
|
Upon ACORDA’S request, RUSH shall consult and cooperate with ACORDA in connection with obtaining Regulatory Approval of Product.
|
|
|
|
3.4.
Trademark.
ACORDA shall select, own and maintain trademarks for Product in the Territory.
|
|
|
|
4.1.
Non-Disclosure and Non-Use Obligations
. All Proprietary Information disclosed by one Party to the other Party hereunder shall be maintained in confidence and shall not be disclosed to any Third Party or used for any purpose except as expressly permitted herein without the prior written consent of the Party that disclosed the Proprietary Information to the other Party during the term of this Agreement. The foregoing non-disclosure and non-use obligations shall not apply to the extent that such Proprietary Information:
|
(a)
|
is known by the receiving Party at the time of its receipt, and not through a prior disclosure by the disclosing Party, as documented by business records;
|
|
|
(b)
|
is or becomes properly in the public domain or knowledge;
|
|
|
(c)
|
is subsequently disclosed to a receiving Party by a Third Party who may lawfully do so and is not under an obligation of confidentiality to the disclosing Party; or
|
|
|
(d)
|
is developed by the receiving Party independently of Proprietary Information received from the other Party, as documented by research and development records.
|
|
|
|
4.2.
Permitted Disclosure of Proprietary Information
. Notwithstanding Section 4.1, a Party receiving Proprietary Information of another Party may disclose such Proprietary Information:
|
|
|
(a)
|
by ACORDA to governmental or other regulatory agencies in order to obtain patents or to gain approval to conduct clinical trials or to market Product;
|
|
|
(b)
|
by ACORDA or its agents, consultants, Affiliates, sublicensees and/or other Third Parties for the research and development, manufacturing and/or marketing of the Compound and/or Product (or for such parties to determine their interests in performing such activities) on the condition that such Third Parties agree to be bound by the confidentiality obligations consistent with this Agreement; or
|
|
|
(c)
|
if required to be disclosed by law or court order, provided that notice is promptly delivered to the non-disclosing Party in order to provide an opportunity to challenge or limit the disclosure obligations; provided, however, without limiting any of the foregoing, it is understood that ACORDA or its Affiliates may make disclosure of this Agreement and the terms hereof in any filings required by the Securities and Exchange Commission (“SEC”) or any other governmental agency, may file this Agreement as an exhibit to any filing with the SEC or such agency and may distribute any such filing in the ordinary course of its business.
|
|
|
4.3.
|
Publication
.
Neither RUSH nor any Affiliate or employee of or consultant to RUSH shall make any publication relating to Compound or Product without the prior consent of ACORDA. If RUSH proposes to submit for written or oral publication any manuscript, abstract or the like relating to Compound or Product, it shall first deliver the proposed publication to ACORDA at least thirty (30) Business Days prior to planned submission. At the request of ACORDA, the submission of such publication may be delayed for up to fourteen (14) days in addition to the said thirty Business Days, including for issues of patent protection or other matters relating to the development of Compound or Product. If ACORDA requests modifications to the publication, RUSH shall edit such publication as
|
|
|
|
reasonably necessary to prevent disclosure of trade secret or proprietary business information prior to submission of the publication or presentation.
|
5.1.
|
Up-front License Fee
. In consideration of the rights granted by RUSH hereunder, ACORDA shall pay RUSH an up-front license fee of $200,000 within five (5) Business Days after the Effective Date.
|
|
|
5.2.
|
Milestone Payments
. In further consideration of the rights granted by RUSH hereunder, ACORDA or its designees shall pay RUSH the following milestone payments, contingent upon occurrence of the specified event, with each milestone payment to be made no more than once with respect to the achievement of such milestone (but payable the first time such milestone is achieved) for Licensed Product:
|
|
|
|
(a)
US $100,000 upon the commencement (first dosing of the first patient) of the first Phase 3 Clinical Trial;
|
|
|
|
(b)
US $100,000 upon the completion of the first Phase 3 Clinical Trial;
|
|
|
|
(c)
US $200,000 upon the FDA’s acceptance for filing of the NDA; and
|
|
|
|
(d)
US $750,000 upon receipt of first written Regulatory Approval of the NDA for marketing in the United States by the FDA.
|
5.3.
|
Royalties and Other Payments.
|
(A) | only one payment shall be due with respect to the same unit of Product; | |
(B) | no royalties shall accrue on the disposition of Product by ACORDA, Affiliates or sublicensees as samples (promotion or otherwise) or as donations (for example, to non-profit institutions or government agencies) or to clinical trials or for research and and/or development or for compassionate or similar use where ACORDA does not receive revenue other than cost recovery; and | |
(C) | RUSH shall be responsible for payment of any royalties or other obligations owed by RUSH to any Third Party. |
|
5.4.
Reports; Payment of Royalty
. During the term of the Agreement for so long as royalty payments are due, ACORDA shall furnish to RUSH a written report for each Calendar Quarter showing the Net Sales of all Products subject to royalty payments during the reporting period and the calculation of the royalties payable to RUSH under this Agreement, including deductions from Net Sales. Reports shall be due on the forty-fifth (45
th
) day following the close of each Calendar Quarter. Royalties shown to have accrued by each royalty report, if any, shall be due and payable on the date such report is due. ACORDA shall keep complete and accurate records in sufficient detail to enable the royalties hereunder to be determined. ACORDA shall retain such records for twenty-four (24) months after submission of the corresponding report.
|
|
5.5.
Audits
. Upon the written request of RUSH and not more than once during the twelve (12) month period next following the expiration of each Royalty Year during the term of the Agreement, ACORDA shall, at RUSH’s expense, permit an independent certified public accounting firm selected by RUSH and reasonably acceptable to ACORDA to have access during normal business hours, upon thirty (30) days prior notice to ACORDA, to such of the records of ACORDA as may be reasonably necessary to verify the accuracy of the royalty reports hereunder for any Royalty Year ending not more than twenty-four (24) months prior to the date of such request. The accounting firm shall provide a written report as soon as practicable, which shall disclose only whether the royalty reports are correct or incorrect and the specific details concerning any discrepancies. This Section 5.5 shall survive the expiration or termination of this Agreement for a period of two years.
|
|
5.6.
Payment Exchange Rate
. All payments to RUSH under this Agreement shall be made in United States dollars. In the case of sales outside the United States, the rate of exchange to be used in computing Net Sales shall be calculated monthly in accordance with the conversion rates published in the Wall Street Journal, Eastern edition (if available).
|
|
5.7.
Tax Withholding
. If laws, rules or regulations require withholding of income taxes or other taxes imposed upon payments set forth in this Article V, RUSH shall provide ACORDA, prior to any such payment, annually or more frequently if required, with all forms or documentation required by any applicable taxation laws, treaties or agreements to such withholding or as necessary to claim a benefit thereunder (including, but not limited to Form W-8BEN or any successor forms) and ACORDA shall make such withholding payments as required and subtract such withholding payments from the payments set forth in this Article V. ACORDA will use commercially reasonable efforts consistent with its usual business practices and cooperate with RUSH to ensure that any withholding taxes imposed are reduced as far as possible under the provisions of the current or any future taxation treaties or agreements between foreign countries.
|
|
5.8.
Exchange Controls
. Notwithstanding any other provision of this Agreement, if at any time legal restrictions prevent the prompt remittance of part or all of the royalties with respect to Net Sales in any country, payment shall be made through such lawful means or methods as ACORDA may determine. When in any country the law or regulations prohibit both the transmittal and deposit of royalties on sales in such a country, royalty payments shall be suspended for as long as such prohibition is in effect (and such suspended payments shall not accrue interest), and promptly after such prohibition ceases to be in effect, all royalties or other payments that ACORDA or its Affiliates would have been obligated to transmit or deposit, but for the prohibition, shall be deposited or transmitted, as the case may be, to the extent allowable (with any interest earned on such suspended royalties which were placed in an interest-bearing bank account in that country, less any transactional costs). If the royalty rate specified in this Agreement should exceed the permissible rate established in any country, the royalty rate for sales in such country shall be adjusted to the highest legally permissible or government-approved rate.
|
|
|
|
6.1.
RUSH Representations and Warranties
. RUSH represents and warrants to ACORDA that as of the Effective Date:
|
|
|
(a)
|
Each of this Agreement and the Side Agreement has been duly executed and delivered by RUSH and constitutes legal, valid, and binding obligations enforceable against RUSH in accordance with their respective terms;
|
|
|
(b)
|
no approval, authorization, consent, or other order or action of or filing with any court, administrative agency or other governmental authority is required for the execution and delivery by RUSH of this Agreement or the Side Agreement or the consummation by RUSH of the transactions contemplated hereby or thereby except such consents or filings as are contemplated by this Agreement;
|
|
|
(c)
|
RUSH has the full corporate power and authority to enter into and deliver this Agreement and the Side Agreement, to perform and to grant the licenses granted under Article II hereof and to consummate the transactions contemplated hereby and by the Side Agreement; all corporate acts and other proceedings required to be taken to authorize such execution, delivery, and consummation have been duly and properly taken and obtained;
|
|
|
(d)
|
With the exception of the Rush/Elan Agreements, which have terminated in their entirety pursuant to the Side Agreement, RUSH has not previously assigned, transferred, conveyed or otherwise encumbered its right, title and interest in the Compound or Product or the RUSH Know-How or entered into any agreement with any Third Party which is in conflict with the rights granted to ACORDA pursuant to this Agreement;
|
|
|
(e)
|
RUSH is the sole and exclusive owner of the RUSH Know-How, all of which are free and clear of any security interests, liens, charges, encumbrances or restrictions on license, and no Third Party has any claim of ownership or other rights with respect to the RUSH Know-How, whatsoever, except that RUSH agrees and acknowledges that the Orphan Designation has been assigned to ACORDA;
|
|
|
(f)
|
RUSH has the sole and exclusive authority to grant the rights and licenses granted under Article II and, with the exception of the Rush/Elan Agreements, which have terminated in their entirety pursuant to the Side Agreement, RUSH has not previously granted, and will not grant, or engage in any discussions to grant, during the term of this Agreement, any right, license or interest in and to the Compound or Product or the RUSH
|
|
Know-How, or any portion thereof, inconsistent with the license granted to ACORDA herein;
|
|
|
(g)
|
there are no claims, judgments or settlements against or owed by RUSH or pending or, to the best of its knowledge, threatened claims or litigation relating to the Compound or the Rush Know-How;
|
|
|
(h)
|
RUSH will use reasonable efforts to disclose to ACORDA all relevant information known by it regarding the Rush Know-How reasonably related to the activities contemplated under this Agreement to the extent such Rush know-how has not previously been disclosed;
|
|
|
(i)
|
in connection with development of the Rush Know-How, RUSH has complied in all material respects with applicable U.S. laws and regulations;
|
|
|
(j)
|
RUSH has not filed and is not the owner in any country in the Territory of any patents or patent applications or of any certificates of invention or applications for certificates of invention, relating to Compound or Product; and
|
|
|
(k)
|
With the exception of the Rush/Elan Agreements, which have terminated in their entirety pursuant to the Side Agreement, there are no contracts, agreements or any other arrangements between RUSH and any Third Party relating to the research, development or commercialization of the Compound or Product.
|
|
6.2.
ACORDA Representations and Warranties
. ACORDA represents and warrants to RUSH that as of the Effective Date:
|
|
|
(a)
|
Each of this Agreement and the Side Agreement have been duly executed and delivered by it and constitutes legal, valid, and binding obligations enforceable against ACORDA in accordance with their respective terms;
|
(b)
|
it has full corporate power and authority to execute and deliver this Agreement and the Side Agreement and to consummate the transactions contemplated hereby and thereby. All corporate acts and other proceedings required to be taken to authorize such execution, delivery, and consummation have been duly and properly taken and obtained;
|
(c)
|
no approval, authorization, consent, or other order or action of or filing with any court, administrative agency or other governmental authority is required for the execution and delivery by it of this Agreement or the Side Agreement or the consummation by it of the transactions contemplated hereby or thereby.
|
|
7.1.
Indemnification
. ACORDA shall defend, indemnify and hold harmless RUSH from and against any and all loss, cost and liability, including RUSH’s reasonable attorneys fees and costs (“Losses”), arising in connection with claims made by Third Parties respecting the manufacture, sale or use of any Product by such Third Party (“Claims”). RUSH shall give ACORDA prompt notice of any such Loss or claim, shall cooperate in its defense, and shall give ACORDA full authority to defend and settle such claim on RUSH’s behalf.
|
|
7.2.
The indemnity obligation set forth in Section 7.1 above shall not apply in the case of Losses or Claims caused by or based on (i) RUSH’s gross negligence or willful misconduct; (ii) any breach of this Agreement by RUSH; or (iii) any violation of RUSH’s representations or warranties hereunder.
|
|
8.1.
Term and Expiration
. This Agreement shall be effective as of the Effective Date and unless terminated earlier pursuant to Section 8.2 below, the term of this Agreement shall continue in effect until expiration of all royalty or other payment obligations hereunder.
|
|
8.2.
Termination
.
|
|
|
|
|
(a)
|
if the other Party is in breach of any material obligation hereunder by causes and reasons within its control, or has breached, in any material respect, any representations or warranties set forth in Article VI, and has not cured such breach within ninety (90) days after notice requesting cure of the breach, provided, however, that if the breach is not capable of being cured within ninety (90) days of such written notice, the Agreement may not be terminated so long as the breaching Party commences and is taking commercially reasonable actions to cure such breach as promptly as practicable; or
|
|
|
(b)
|
upon the filing or institution of bankruptcy, reorganization, liquidation or receivership proceedings, or upon an assignment of a substantial portion of the assets for the benefit of creditors by the other Party;
provided, however
, in the case of any involuntary bankruptcy, reorganization, liquidation, receivership or assignment proceeding such right to terminate shall only become effective if the Party consents to the involuntary proceeding or such proceeding is not dismissed within ninety (90) days after the filing thereof.
|
|
8.2.2
Licensee Rights Not Affected.
|
|
8.3.
Effect of Expiration or Termination
. Expiration or termination of this Agreement shall not relieve the Parties of any obligation accruing prior to such expiration or termination. ACORDA and its Affiliates and sublicensees shall have the right to sell or otherwise dispose of the stock of any Product subject to this Agreement then on hand or in process of manufacture and ACORDA will continue to pay Rush royalties pursuant to Article V after the expiration or termination of this Agreement for any such Product sold. In addition to any other provisions of this Agreement which by their terms continue after the expiration of this Agreement, the provision of Article IV shall survive the expiration or termination of this Agreement and shall continue in effect for five (5) years from the date of expiration or termination and the provisions of Article IX shall survive the expiration or termination of this Agreement. Upon any termination of this Agreement, each party shall promptly return to the other party all Proprietary Information received from the other party (except one copy of which may be retained for archival purposes). In addition, any other provision required to interpret and enforce the Parties’ rights and obligations under this Agreement shall also survive, but only to the extent required for the full observation and performance of this Agreement. Any expiration or early termination of this Agreement shall be without prejudice to the rights of any Party against the other
|
|
9.1.
Right to Develop Independently
. Nothing in this Agreement will impair ACORDA’s right to independently acquire, license, develop, or have others develop for it, products similar to or performing functions similar to Product, or similar technology performing similar functions to the Products or to market and distribute products based on other technology.
|
|
|
|
9.2.
Force Majeure
. Neither Party shall be held liable or responsible to the other Party nor be deemed to have defaulted under or breached the Agreement for failure or delay in fulfilling or performing any term of the Agreement during the period of time when such failure or delay is caused by or results from causes beyond the reasonable control of the affected Party including, but not limited to, fire, flood, embargo, war, acts of war (whether war be declared or not), insurrection, riot, civil commotion, strike, lockout or other labor disturbance, act of God or act, omission or delay in acting by any governmental authority or the other Party. The affected Party shall notify the other Party of such force majeure circumstances as soon as reasonably practicable.
|
|
|
|
9.3.
Assignment
. The Agreement may not be assigned or otherwise transferred without the prior written consent of the other Party; provided, however, that ACORDA may assign this Agreement to an Affiliate or in connection with the transfer or sale of its business or all or substantially all of its assets related to Compound or Product or in the event of a merger, consolidation, change in control or similar corporate transaction. Any permitted assignee shall assume all obligations of its assignor under this Agreement.
|
|
|
|
9.4.
Severability
. In the event that any of the provisions contained in this Agreement are held invalid, illegal or unenforceable in any respect, the validity, legality and enforceability of the remaining provisions contained herein shall not in any way be affected or impaired thereby, unless the absence of the invalidated provision(s) adversely affect the substantive rights of the Parties. In such event, the Parties shall replace the invalid, illegal or unenforceable provision(s) with valid, legal and enforceable provision(s) which, insofar as practical, implement the purposes of this Agreement.
|
|
|
|
9.5.
Notices
. All notices or other communications which are required or permitted hereunder shall be in writing and sufficient if delivered personally, sent by facsimile (and promptly confirmed by personal delivery, registered or certified mail or overnight courier), sent by nationally-recognized overnight courier or sent by registered or certified mail, postage prepaid, return receipt requested, addressed as follows:
|
|
|
9.6
.
|
Applicable
Law
and
Dispute Resolution
. The Agreement shall be governed by and construed in accordance with the laws of the United States of America and State of New York without reference to any rules of conflict of laws.
|
By:
|
/s/ James T. Frankenbach
|
||
Name: James T. Frankenbach
|
|||
Title: Senior Vice President
|
|||
ACORDA THERAPEUTICS, INC.
|
|||
By:
|
/s/ Ron Cohen
|
||
Name: Ron Cohen, M.D.
|
|||
Title: President and Chief Executive Officer
|
1806
|
Formulations and their use in the treatment of
neurological diseases
|
Pending
:
Canada
Ireland
Japan
|
2054822
3952/90
349324/1991
|
||||
Issued
:
|
|||||||
Australia
Europe
New Zealand
South Africa
United States
|
657706
484186
240439
91/8711
5370879
5540938
5580580
|
||||||
Annual Net Sales in USD
|
Royalty Rate
|
||
$0-$100,000,000
|
5.5%
|
||
$100,000,001-$250,000,000
|
6.0%
|
||
$250,000,001-$500,000,000
|
6.5%
|
||
$500,000,001 and above
|
7.0%
|
Milestone Event
|
Milestone Payment | ||||
Satisfactory completion of animal toxicology studies necessary to enter into Phase I clinical studies in accordance with the International Conference of Harmonization (ICH) guidelines provided by the US Food and Drug Administration*
|
$ |
500,000
|
|||
Issuance of an Investigational New Drug Application (or foreign equivalent**)
|
$ |
500,000
|
|||
Enrollment of the first subject in a Phase II clinical trial (or foreign equivalent**)
|
$ |
500,000
|
|||
Enrollment of the first subject in a Phase III clinical trial (or foreign equivalent**)
|
$ |
1,000,000
|
|||
Filing of a New Drug Application (or foreign equivalent**)
|
$ |
1,000,000
|
|||
Approval of a New Drug Application (or foreign equivalent**)
|
$ |
5,000,000
|
If to Acorda:
|
|
Acorda Therapeutics, Inc.
|
|
15 Skyline Drive
|
|
Hawthorne, NY 10532
|
|
Attn: President and Chief Executive Officer
|
|
with a copy to:
|
|
Acorda Therapeutics, Inc.
|
|
15 Skyline Drive
|
|
Hawthorne, NY 10532
|
|
Attn: Harold Safferstein, Vice President, Business Development
|
|
If to CeNeS:
|
|
CeNeS Pharmaceuticals plc
|
|
Compass House
|
|
Vision Park
|
|
Clovers Way
|
|
Histon, Cambridge CB4 9ZR
|
|
England
|
|
Attn: Neil Clark, Chief Operating Officer and Finance Director
|
CENES PHARMACEUTICALS, PLC
|
ACORDA THERAPEUTICS, INC.
|
|||
By:
|
/s/Neil Clark
|
By:
|
/s/Harold T. Sufferstein
|
|
Name: | Neil Clark | Name: | Harold T. Sufferstein | |
Title: | Finance Director | Title: | VP Business Development | |
Matter
Number
|
Country
|
Patent
Number
|
Grant
Date
|
Filing
Date
|
Status
|
Inventors
|
||||||
04585-002AU5
|
Australia
|
688270
|
02-Jul-1998
|
29-Jun-1993
|
Granted
|
Andrew D.J. Goodearl et al.
|
||||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||||
04585-002AU6
|
Australia
|
709968
|
23-Dec-1999
|
25-May-1995
|
Granted
|
Andrew D.J. Goodearl et al.
|
||||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||||
04585-002AUX
|
Australia
|
703772
|
15-Jul-1999
|
09-Oct-1996
|
Granted
|
Andrew D.J. Goodearl et al.
|
||||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||||
04585-002EP1
|
Europe
|
0579640
|
24-Jul-2002
|
03-Apr-1992
|
Granted
|
Andrew D.J. Goodearl et al.
|
||||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||||
04585-002KR1
|
Korea
|
274305
|
08-Sep-2000
|
03-Apr-1992
|
Granted
|
Andrew D.J. Goodearl et al.
|
||||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||||
04585-002KR5
|
Korea
|
307943
|
25-Aug-2001
|
29-Jun-1993
|
Granted
|
Andrew D.J. Goodearl et al.
|
||||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||||
04585-002KR6
|
Korea
|
265928
|
09-Jun-2000
|
25-May-1995
|
Granted
|
Andrew D.J. Goodearl et al.
|
||||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||||
04585-002KR7
|
Korea
|
297680
|
24-May-2001
|
25-May-1995
|
Granted
|
Andrew D.J. Goodearl et al.
|
||||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||||
04585-002KR8
|
Korea
|
344006
|
28-Jun-2002
|
29-Jun-1993
|
Granted
|
Andrew D.J. Goodearl et al.
|
||||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||||
04585-002PT1
|
Portugal
|
100344
|
03-May-1999
|
03-Apr-1992
|
Granted
|
Andrew D.J. Goodearl et al.
|
||||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||||
Matter
Number
|
Country
|
Patent
Number
|
Grant
Date
|
Filing
Date
|
Status
|
Inventors
|
04585-002PT5
|
Portugal
|
101297
|
07-Jul-1999
|
30-Jun-1993
|
Granted
|
Andrew D.J. Goodearl et al.
|
||||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||||
04585-002005
|
United States
|
5,530,109
|
25-Jun-1996
|
24-Mar-1993
|
Granted
|
Andrew D.J. Goodearl et al.
|
||||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||||
04585-002006
|
United States
|
5,716,930
|
10-Feb-1998
|
26-May-1994
|
Granted
|
Andrew D.J. Goodearl et al.
|
||||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||||
04585-002007
|
United States
|
5,621,081
|
15-Apr-1997
|
06-Jun-1995
|
Granted
|
Andrew D.J. Goodearl et al.
|
||||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE | ||||||||||||
04585-002009
|
United States
|
5,606,032
|
25-Feb-1997
|
06-Jun-1995
|
Granted
|
Andrew D.J. Goodearl et al.
|
||||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||||
04585-00200A
|
United States
|
5,792,849
|
11-Aug-1998
|
06-Jun-1995
|
Granted
|
Andrew D.J. Goodearl et al.
|
||||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||||
04585-00200G
|
United States
|
5,602,096
|
11-Feb-1997
|
06-Jun-1995
|
Granted
|
Andrew D.J. Goodearl et al.
|
||||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||||
04585-00200J
|
United States
|
6,204,241
|
20-Mar-2001
|
22-Oct-1996
|
Granted
|
Andrew D.J. Goodearl et al.
|
||||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||||
04585-00200L
|
United States
|
6,194,377
|
27-Feb-2001
|
22-Oct-1996
|
Granted
|
Andrew D.J. Goodearl et al.
|
||||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||||
04585-00200P
|
United States
|
5,854,220
|
29-Dec-1998
|
22-Oct-1996
|
Granted
|
Andrew D.J. Goodearl et al.
|
||||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||||
04585-002ZA1
|
South Africa
|
92/2001
|
25-Nov-1992
|
01-Apr-1992
|
Granted
|
Andrew D.J. Goodearl et al.
|
||||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||||
04585-002ZA5
|
South Africa
|
93/4711
|
31-Aug-1994
|
30-Jun-1993
|
Granted
|
Andrew D.J. Goodearl et al.
|
||||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||||
04585-039AU1
|
Australia
|
713384
|
16-Mar-2000
|
27-Mar-1996
|
Granted
|
Thomas A. Reh et al.
|
||||||
Title: METHODS OF TREATING DISORDERS OF THE EYE
|
Matter
Number
|
Country
|
Patent
Number
|
Grant
Date
|
Filing
Date
|
Status
|
Inventors
|
04585-04AU1
|
Australia
|
707599
|
28-Oct-1999
|
16-Nov-1995
|
Granted
|
David I. Gwynne et al.
|
||||||
Title: USE OF NEUREGULIN AS MODULATORS OF CELLULAR COMMUNICATION
|
||||||||||||
04585-041001
|
United States
|
6,087,323
|
11-Jul-2000
|
17-Nov-1994
|
Granted
|
David I. Gwynne et al.
|
||||||
Title: USE OF NEUREGULIN AS MODULATORS OF CELLULAR COMMUNICATION
|
||||||||||||
04585-043AU2
|
Australia
|
727037
|
15-Mar-2001
|
12-Nov-1996
|
Granted
|
Mark Marchionni et al.
|
||||||
Title: METHODS OF TREATING DISORDERS OF NON-VISUAL SENSORY EPITHELIA
|
||||||||||||
04585-048AU2
|
Australia
|
745324
|
21-Mar-2002
|
08-Oct-1998
|
Natl Phase
|
R. McBurney et al.
|
||||||
Title: THERAPEUTIC METHODS COMPRISING USE OF A NEUREGULIN
|
||||||||||||
04585-051001
|
United States
|
5,594,114
|
14-Jan-1997
|
17-Aug-1992
|
Granted
|
Andrew D.J. Goodearl et al.
|
||||||
Title: SCHWANN CELL MITOGENIC FACTOR, ITS PREPARATION AND USE
|
Matter
Number
|
Country
|
Application
Number
|
Filing
Date
|
Status
|
Inventors
|
|||||
04585-002CA1
|
Canada
|
2,108,119
|
03-Apr-1992
|
Pending
|
Andrew D.J. Goodearl et al.
|
|||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||
04585-002CA5
|
Canada
|
2,139,136
|
29-Jun-1993
|
Pending
|
Andrew D.J. Goodearl et al.
|
|||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||
04585-002CA6
|
Canada
|
2,191,085
|
25-May-1995
|
Pending
|
Andrew D.J. Goodearl et al.
|
|||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||
04585-002CN6
|
China
|
95 1 93290.X
|
25-May-1995
|
Pending
|
Andrew D.J. Goodearl et al.
|
|||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||
04585-002EP5
|
Europe
|
93 918139.2
|
29-Jun-1993
|
Pending
|
Andrew D.J. Goodearl et al.
|
|||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||
04585-002EP6
|
Europe
|
95922145.8
|
25-May-1995
|
Pending
|
Andrew D.J. Goodearl et al.
|
|||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||
Matter
Number
|
Country
|
Application
Number
|
Filing
Date
|
Status
|
Inventors
|
04585-002IE1
|
Ireland
|
921062
|
03-Apr-1992
|
Pending
|
Andrew D.J. Goodearl et al.
|
|||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||
04585-002MX6
|
Mexico
|
965812
|
25-May-1995
|
Pending
|
Andrew D.J. Goodearl et al.
|
|||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||
04585-002PH5
|
Philippines
|
44157
|
03-Apr-1992
|
Pending
|
Andrew D.J. Goodearl et al.
|
|||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||
04585-002008
|
United States
|
08/470,339
|
06-Jun-1995
|
Pending
|
Andrew D.J. Goodearl et al.
|
|||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||
04585-00200E
|
United States
|
08/469,549
|
06-Jun-1995
|
Pending
|
Andrew D.J. Goodearl et al.
|
|||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||
04585-00200F
|
United States
|
08/471,833
|
06-Jun-1995
|
Pending
|
Andrew D.J. Goodearl et al.
|
|||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||
04585-00200H
|
United States
|
08/472,065
|
06-Jun-1995
|
Pending
|
Andrew D.J. Goodearl et al.
|
|||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||
04585-00200I
|
United States
|
08/734,665
|
22-Oct-1996
|
Pending
|
Andrew D.J. Goodearl et al.
|
|||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||
04585-00200M
|
United States
|
08/735,010
|
13-May-1999
|
Pending
|
Andrew D.J. Goodearl et al.
|
|||||
Title: GLIAL MITOGENIC FACTORS, THEIR PREPARATION AND USE
|
||||||||||
Matter
Number
|
Country
|
Application
Number
|
Filing
Date
|
Status
|
Inventors
|
|||||
04585-041CA1
|
Canada
|
2,204,850
|
16-Nov-1995
|
Pending
|
David I. Gwynne et al.
|
|||||
Title: USE OF NEUREGULIN AS MODULATORS OF CELLULAR COMMUNICATION
|
||||||||||
04585-041EP1
|
Europe
|
95940728.9
|
16-Nov-1995
|
Pending
|
David I. Gwynne et al.
|
|||||
Title: USE OF NEUREGULIN AS MODULATORS OF CELLULAR COMMUNICATION
|
||||||||||
04585-041JP1
|
Japan
|
8-516986
|
16-Nov-1995
|
Pending
|
David I. Gwynne et al.
|
|||||
Title: USE OF NEUREGULIN AS MODULATORS OF CELLULAR COMMUNICATION
|
||||||||||
04585-041004
|
United States
|
09/069,784
|
20-Mar-2001
|
Pending
|
David I. Gwynne et al.
|
|||||
Title: USE OF NEUREGULIN AS MODULATORS OF CELLULAR COMMUNICATION
|
||||||||||
04585-041005
|
United States
|
09/366,886
|
04-Aug-1999
|
Pending
|
David I. Gwynne et al.
|
|||||
Title: USE OF NEUREGULIN AS MODULATORS OF CELLULAR COMMUNICATION
|
||||||||||
04585-041WO1
|
PCT
|
US95/14974
|
16-Nov-1995
|
Natl Phase
|
David I. Gwynne et al.
|
|||||
Title: USE OF NEUREGULIN AS MODULATORS OF CELLULAR COMMUNICATION
|
||||||||||
04585-043CA2
|
Canada
|
2,237,400
|
12-Nov-1996
|
Pending
|
Mark Marchionni et al.
|
|||||
Title: METHODS OF TREATING DISORDERS OF NON-VISUAL SENSORY EPITHELIA
|
||||||||||
04585-043EP2
|
Europe
|
96940360.9
|
12-Nov-1996
|
Pending
|
Mark Marchionni et al.
|
|||||
Title: METHODS OF TREATING DISORDERS OF NON-VISUAL SENSORY EPITHELIA
|
||||||||||
04585-043JP2
|
Japan
|
518966/97
|
12-Nov-1996
|
Pending
|
Mark Marchionni et al.
|
|||||
Title: METHODS OF TREATING DISORDERS OF NON-VISUAL SENSORY EPITHELIA
|
||||||||||
04585-043WO2
|
PCT
|
US96/18031
|
12-Nov-1996
|
Natl Phase
|
Mark Marchionni et al.
|
|||||
Title: METHODS OF TREATING DISORDERS OF NON-VISUAL SENSORY EPITHELIA
|
||||||||||
04585-044AU2
|
Australia
|
49744/00
|
20-Apr-2000
|
Natl Phase
|
Mark Marchionni et al.
|
|||||
Title: METHODS FOR TREATING CONGESTIVE HEART FAILURE
|
||||||||||
04585-044CA2
|
Canada
|
2,368,357
|
20-Apr-2000
|
Natl Phase
|
Mark Marchionni et al.
|
|||||
Title: METHODS FOR TREATING CONGESTIVE HEART FAILURE
|
||||||||||
04585-044EP2
|
Europe
|
00931938.5
|
20-Apr-2000
|
Natl Phase
|
Mark Marchionni et al.
|
|||||
Title: METHODS FOR TREATING CONGESTIVE HEART FAILURE
|
||||||||||
Matter
Number
|
Country
|
Application
Number
|
Filing
Date
|
Status
|
Inventors
|
04585-044JP2
|
Japan
|
2000-613391
|
20-Apr-2000
|
Natl Phase
|
Mark Marchionni et al.
|
|||||
Title: METHODS FOR TREATING CONGESTIVE HEART FAILURE
|
||||||||||
04585-044KR2
|
Korea
|
2001-7013409
|
20-Apr-2000
|
Natl Phase
|
Mark Marchionni et al.
|
|||||
Title: METHODS FOR TREATING CONGESTIVE HEART FAILURE
|
||||||||||
04585-044001
|
United States
|
09/298,121
|
23-Apr-1999
|
Pending
|
Mark Marchionni et al.
|
|||||
Title: METHODS FOR TREATING CONGESTIVE HEART FAILURE
|
04585-044WO2
|
PCT
|
US00/10664
|
20-Apr-2000
|
Published
|
Mark Marchionni et al.
|
|||||
Title: METHODS FOR TREATING CONGESTIVE HEART FAILURE
|
||||||||||
04585-048CA2
|
Canada
|
2,306,228
|
08-Oct-1998
|
Natl Phase
|
R. McBurney et al.
|
|||||
Title: THERAPEUTIC METHODS COMPRISING USE OF A NEUREGULIN
|
||||||||||
04585-048EP2
|
Europe
|
98949803.5
|
08-Oct-1998
|
Natl Phase
|
R. McBurney et al.
|
|||||
Title: THERAPEUTIC METHODS COMPRISING USE OF A NEUREGULIN
|
||||||||||
04585-048JP2
|
Japan
|
2000-515608
|
08-Oct-1998
|
Natl Phase
|
R. McBurney et al.
|
|||||
Title: THERAPEUTIC METHODS COMPRISING USE OF A NEUREGULIN
|
||||||||||
04585-048KR2
|
Korea
|
2000-7003972
|
08-Oct-1998
|
Natl Phase
|
R. McBurney et al.
|
|||||
Title: THERAPEUTIC METHODS COMPRISING USE OF A NEUREGULIN
|
||||||||||
04585-048002
|
United States
|
09/530,884
|
29-Aug-2000
|
Natl Phase
|
R. McBurney et al.
|
|||||
Title: THERAPEUTIC METHODS COMPRISING USE OF A NEUREGULIN
|
||||||||||
04585-048WO2
|
PCT
|
US98/21349
|
18-Oct-1998
|
Pending
|
R. McBurney et al.
|
|||||
Title: THERAPEUTIC METHODS COMPRISING USE OF A NEUREGULIN
|
1.
|
DEFINITIONS.
|
|
1.1
|
“Affiliate”
|
|
1.2
|
“FDA”
|
|
1.3
|
“Field”
|
|
1.4
|
“First Commercial Sale”
|
|
1.5
|
“Key Claims”
|
|
1.6
|
“Know-How”
|
|
1.7
|
“Invention”
|
|
1.8
|
“Licensed Patents”
|
|
1.9
|
“Licensed Product”
|
|
1.10
|
“Licensed Technology”
|
|
1.11
|
“Marketing Exclusivity Rights”
|
|
1.12
|
“Material Breach”
|
|
1.13
|
“Net Sales”
|
|
1.14
|
“Patent Term Extensions”
|
|
1.15
|
“Patent Term Extensions Information”
|
|
1.16
|
“Party”
|
|
1.17
|
“PLA”
|
|
1.18
|
“Regulatory Review Period”
|
|
1.19
|
“Royalty Term”
|
|
1.20
|
“Sublicensee”
|
|
1.21
|
“Termination”
|
|
1.22
|
“Territory”
|
|
1.23
|
“Valid Claim”
|
|
2.
|
GRANT OF LICENSE.
|
|
2.1
|
License Grant
|
|
2.2
|
Reserved Rights
|
|
2.3
|
Representations and Warranties.
|
|
2.4
|
Right of First Offer
|
|
2.5
|
Opportunity to Conduct Clinical Studies
|
|
3.
|
PAYMENTS; ROYALTIES.
|
|
3.1
|
Upfront Consideration Royalty.
|
|
3.2
|
Milestone Royalties for Licensed Products
|
|
3.3
|
Running Royalties for Sales of Licensed Products.
|
|
3.4
|
Third Party Royalties
|
|
3.5
|
Certain Affiliate and Sublicensee Royalties
|
|
3.6
|
Obligation to Pay Royalties
|
|
3.7
|
Royalties on Combined Products
|
4.
|
PAYMENTS AND RECORDS.
|
|
4.1
|
Payment
|
|
4.2
|
Mode of Payment
|
|
4.3
|
Taxes
|
|
4.4
|
Records Retention
|
|
4.5
|
Audit Request
|
|
5.
|
DUE DILIGENCE.
|
|
5.1
|
Diligence
|
5.2
|
Reports
|
|
5.3
|
Short-Form Arbitration
|
|
6.
|
“OWNERSHIP; PATENTS; MARKETING EXCLUSIVITY; PATENT TERM EXTENSIONS”
|
|
6.1
|
Ownership.
|
|
6.2
|
Patent Prosecution and Maintenance.
|
|
6.3
|
Patent Enforcement.
|
|
6.4
|
Infringement Action by Third Parties.
|
|
6.5
|
Marketing Exclusivity/Patent Term Extensions
|
|
7.
|
PUBLICATION; CONFIDENTIALITY.
|
|
7.1
|
Publication
|
|
7.2
|
Confidentiality; Exceptions.
|
|
7.3
|
Exceptions to Obligation
|
|
7.4
|
Confidentiality regarding Patient Information
|
|
8.
|
INDEMNIFICATION.
|
|
8.1
|
Products Liability
|
|
8.2
|
MAYO Indemnification.
|
|
8.4
|
Notice; Waiver of Subrogation.
|
|
9.
|
TERM AND TERMINATION.
|
|
9.1
|
Term
|
|
9.2
|
Breach
|
|
9.3
|
Insolvency or Bankruptcy
|
|
9.4
|
Termination by ACORDA
|
|
9.5
|
Right to Sell Stock on Hand
|
|
9.6
|
Effect of Termination.
|
|
9.7
|
Accrued and Surviving Rights and Obligations
|
|
10.
|
MISCELLANEOUS PROVISIONS.
|
|
10.1
|
Relationship of Parties
|
|
10.2
|
Assignment
|
|
10.3
|
Further Actions
|
10.4
|
Force Majeure
|
|
10.5
|
No Trademark Rights
|
|
10.6
|
Public Announcements
|
|
10.7
|
Notices
|
|
10.8
|
Amendment
|
|
10.9
|
Waiver
|
|
10.10
|
Severability
|
|
10.11
|
Compliance with Law
|
|
10.12
|
Governing Law and Jurisdiction
|
|
10.13
|
Entire Agreement of the Parties
|
|
10.14
|
Descriptive Headings
|
|
10.15
|
Nondisclosure
|
10.16
|
Counterparts
|
EXHIBIT A
|
|
EXHIBIT B
|
|
EXHIBIT C
|
|
EXHIBIT D
|
|
EXHIBIT E
|
|
(i)
$20,000 on the first anniversary;
|
|
|
|
(ii)
$25,000 on the second anniversary;
|
|
|
|
(iii)
$30,000 on the third anniversary; and
|
|
|
|
(iv)
$35,000 on the fourth anniversary and on each anniversary thereafter.
|
|
|
|
6.
“OWNERSHIP; PATENTS; MARKETING EXCLUSIVI
TY; PATENT TERM EXTENSIONS”
|
(a)
|
If to ACORDA, to:
|
ACORDA THERAPEUTICS, INC.
|
|
15 Skyline Drive
|
|
Hawthorne, New York 10532
|
|
Attention: President
|
|
Facsimile No.: (914)347-4560
|
|
(b)
|
If to MAYO, to:
|
MAYO FOUNDATION FOR MEDICAL EDUCATION AND RESEARCH
|
|
200 First Street, SW
|
|
Rochester, Minnesota 55905
|
|
Attention: Office of Technology Commercialization, Mayo Medical Ventures
|
|
Facsimile No.: 507-284-5410
|
ACORDA THERAPEUTICS
|
|||||
By:
|
/s/ Ron Cohen
|
||||
Name: Ron Cohen
|
|||||
Title: President and CEO
|
|||||
MAYO FOUNDATION FOR MEDICAL
EDUCATION AND RESEARCH
|
|||||
By:
|
/s/ Rick F. Colvin
|
||||
Name: Rick F. Colvin
|
|||||
Title: Assistant Treasurer
|
|||||
|
a) DATA must be marked or designated in writing as proprietary to ACORDA by marking it “CONFIDENTIAL,” or words of similar import. If oral, visual, or other non-written manner of disclosure of otherwise undisclosed confidential information is made, such information shall be entitled to protection if identified as confidential at the time of initial disclosure and if a written notice with a summary of such disclosures is delivered to the receiving party within thirty (30) days of such disclosure. Any markings, stamps, or legends identifying confidential information shall not impose any obligations on either party inconsistent with this agreement. Any copies of the information made by the receiving party shall reproduce the confidential markings and any other legends contained on such information.
|
|
|
|
b) MAYO and INVESTIGATOR retain the right to refuse to accept any DATA which they do not consider to be essential to the completion of the project or which they believe to be improperly designated or for any reason.
|
|
|
|
c) Where MAYO and INVESTIGATOR accept such DATA, they agree to exercise their best efforts not to use the DATA for any purpose except the conduct of the PROTOCOL and not to publish or otherwise reveal the DATA to others outside Mayo without the permission of the ACORDA, unless the DATA has already been published or disclosed publicly by third parties or is required to be disclosed by order of a court of law.
|
|
MAYO FOUNDATION FOR MEDICAL
EDUCATION AND RESEARCH
|
ACORDA THERAPEUTICS, INC.
|
|||||||
By
|
/s/ Rick F. Colvin
|
By
|
/s/ Ron Cohen
|
|||||
Title
|
Assist. Treas.
|
Title
|
President & CEO
|
|||||
Date
|
Oct. 11, 1995
|
Date
|
10/06/95
|
|||||
/s/ Moses Rodriguez
|
||||||||
Investigator
|
||||||||
|
1.
Rodriguez M
. Lennon VA: Immunoglobulins Promote Remyelination the Central Nervous System. Ann. Neurol. 27:12-17, 1990.
|
|
|
|
2.
Rodrigues M
. Pierce ML, Thiemann R.L: Immunoglobulins stimulate CSS
Remyelination: Electron Microscopic and Morphometric Analysis of Proliferating Calls. Lab. Invest. 64:358-370, 1991.
|
|
3. Patick AK, Thiemann RL, O’Brien PC,
Rodriguez M
: Persistence of Theiler’s Virus Infection Following Promotion of CNS Remyelination. J. Neuropath. Exp. Neurol. 50:523-537, 1991.
|
|
|
|
4.
Rodriguez M
. Lindsley M: Immunosuppression Promotes Central Nervous System Remyelination in Chronic Virus-Induced Demyelinating Disease. Neurology 42:348-357, 1992.
|
|
|
|
5. van Engelen BGM, Hommes OR, Pinckers A, Cruysberg JRM, Barkhof F,
Rodriguez M
: Improved Vision in Non-Recovering Optic Neuritis after Intravenous Immunoglobulin Possibly due to Remyelination. Ann. Neurol. 32:834-835, 1992.
|
|
|
|
6. Prayoonwiwat N,
Rodriguez M
: The Potential for Oligodendrocyte Proliferation during Demyelinating Disease. J. Neuropath. Exp. Neurol. 52:55-63, 1993.
|
|
|
|
7. Miller DJ, Sanborn KS, Katzmann JA,
Rodriguez M
: Monoclonal Antibody- Mediated Nervous System Repair in a Viral Model of Multiple Sclerosis. J. Neuroscience, in press.
|
|
|
|
8.
Rodriguez M
. Miller DJ: Immune Promotion of Central Nervous System Remyelination. Progress in Brain Research, in press.
|
|
|
|
9. van Engelen BGM, Miller DJ, Pavelko KD, Hommes OR,
Rodriguez M
: Promotion of Remyelination by Polyclonal Immunoglobulin in Theiler’s Virus-induced Demyelination and in Multiple Sclerosis, J. Neurol. Neurosurg, Psych., in press.
|
|
|
|
10. Noseworthy JH, O’Brien PC, van Engelen BGM,
Rodriguez M
: Intravenous Immunoglobulin Therapy in Multiple Sclerosis. Progress from the Theiler’s Virus Model to a Randomized, Double-blinded, Placebo-controlled Clinical Trial, J. Neurol. Neurosurg, Psych., in press.
|
(h)
|
CHECKS MAILED TO:
|
Office of Technology Transfer
|
||
Mayo Medical Ventures
|
||||
200 First Street S.W.
|
||||
Rochester, Minnesota 55905
|
||||
Attn: Susan L. Stoddard; Ph.D.
|
||||
(i)
|
MAYO ADMINISTRATIVE CONTACT:
|
Susan L. Stoddard, Ph.D.
Mayo Medical Ventures
200 First Street S.W.
Rochester, Minnesota 55905
507-284-8878
|
||
(j)
|
ACORDA ADMINISTRATIVE CONTACT:
|
Ron Cohen, M.D.
President & CEO
Acorda Therapeutics, Inc.
145 West 58th Street, Suite 8J
New York, NY 10019
212-376-7553
|
|
a) DATA must be marked or designated in writing as propriatary to ACORDA by marking it “CONFIDENTIAL,” or words of similar import. If oral, visual, or other non-written manner of disclosure of otherwise undisclosed confidential information is made, such information shall be entitled to protection if Identified as confidential at the time of initial disclosure and if a written notice with a summary of such disclosures is delivered to the receiving party within thirty (30) days of such disclosure. Any markings, stamps, or legends identifying confidential Information shall not impose any obligations on either party inconsistent with this agreement. Any copies of the information made by the receiving party shall reproduce the confidential markings and any other legends contained on such information.
|
|
|
|
b ) MAYO and INVESTIGATORS retain the right to refuse to accept any DATA which they do not consider to be essential to the completion of the project or which they believe to be improperly designated or for any reason.
|
|
|
|
c) Where MAYO and INVESTIGATORS accept such DATA, they agree to exercise their best efforts not to use the DATA for any purpose except the conduct of the PROJECT and not to publish or otherwise reveal the DATA to others outside Mayo without the permission of ACORDA, unless the DATA has already been published or disclosed publicly by third parties or is required to be disclosed by order of a court of law.
|
|
(b) $37,500.00 on the later of either (i) the three (3) month anniversary of the effective date of this Agreement, or (ii) the three month anniversary of the date the work on the PROJECT began, and
|
|
(c) $37,500.00 on (i) the three (3) month anniversary of the date of payment by ACORDA under (b), and (ii) on each subsequent three (3) month anniversary thereafter until the sum of all the payments made by ACORDA pursuant to this Section 3.1 equals $150,000.00
|
|
(d) $10,224,25 on the later of either (i) the one (1) year anniversary of the effective date of the Agreement, or (ii) the three (3) months anniversary of the date of the final payment by ACORDA under (c) above; and
|
|
|
|
(e) $10,224.25 on (i) the three (3) month anniversary of the date of payment by ACORDA under (d), and (ii) on each subsequent three (3) month anniversary thereof until the sum of all payments made by Sponsor pursuant to this Section 3.1 in the second year of this agreement equals $40,897.00
|
|
(f) Additional payments for supplies and equipment estimated at $99,000.00 in year two with the final budget to be determined by mutual written agreement of both parties and the agreed amount paid quarterly.
|
|
(g) $10,633.50 on the later of either (i) the two (2) year anniversary of the effective date of the Agreement, or (ii) the three (3) months anniversary of the date of the final payment by ACORDA under (e) above, and
|
|
|
|
(h) $10,633.50 on (i) the three (3) month anniversary of the date of payment by ACORDA under (g), and (ii) on each subsequent three (3) month anniversary thereof until the sum of all payments made by Sponsor pursuant to this Section 3.1 in the third year of this agreement equals $42,534.00
|
|
|
|
(i) Additional payments for supplies and equipment estimated at S110,000.00 in year three with the final budget to be determined by mutual written agreement of both parties and the agreed amount paid quarterly.
|
|
|
|
|
MAYO FOUNDATION
|
ACORDA THERAPEUTICS, INC.
|
||||
Signed:
|
/s/ John H. Herrell
|
Signed:
|
/s/ Ron Cohen
|
||
Name:
|
John H. Herrell
|
Name:
|
Ron Cohen, M.D.
|
||
Title:
|
Vice President
|
Title:
|
President & CEO
|
||
Date:
|
March 24, 1998
|
Date:
|
3/20/98
|
||
INVESTIGATORS
|
|||||
Signed:
|
/s/ Moses Rodriguez
|
Signed:
|
Larry R. Pease
|
||
Name:
|
Moses Rodriguez
|
Name:
|
Larry R. Pease
|
||
Title:
|
M.D.
|
Title:
|
Ph.D.
|
||
Date:
|
March 25, 1998
|
Date:
|
3/25/98
|
(a)
|
TITLE:
|
Molecular Characterization of Antibody-Induced Remyelination and Isolation of Human Counterparts.
|
||
(b)
|
PURPOSE
|
|||
(i) To investigate the mechanisms underlying antibody-induced remyelination and to identify human equivalents of the biologically active mouse monoclonal antibodies that are known to induce remyelination. Understanding the mechanism for the basis of antibody-induced remyelination in the mouse is important for determining the biological requirements for mimicking this process in humans and could lead to the development of more effective modifications of the current approach for inducing myelin repair.
|
||||
(ii) Because antibodies themselves may be the target of immune attack, the process could be improved by isolating less immunogenic, human counterparts of the currently known, biologically active mouse antibodies. The ability of human antibodies to induce remyelination in mouse models demyelinating disease will be the basis for selecting human antibodies for further development for clinical trials.
|
|
A)
First six (6) months
:
|
|
1.
Hire research fellow end technician.
|
|
2.
Screen EBV transformed cell lines available for IgM secreting cells (culturing of first 11 lines initiated, Eliza assay being developed to screen antibody).
|
|
|
|
3.
Screen tissue culture supernatants from IgM+ lines for binding activity using rat oligodendrocytes.
|
|
|
|
4.
Subclone EBV lines that are making IgM antibody, with emphasis on lines with demonstrable oligodendrocyte-binding activity.
|
|
|
|
5.
Generate cassette expression system for manipulation of antibody gens structures and for expression of antibodies gene in transfected hybridoma cells.
|
|
|
|
6.
Construct chimeric 94.03/human IgM constant region antibody to evaluate the ability of the human Fo portion of IgM to Induce remyellnation in mice.
|
|
7. Establish parameters of transfectoma technology in house.
|
|
8. Initiate biochemical analysis of 94.03 antibody. Prepare monomeric IgM, evaluate in vivo half life comparisons between pentameric and monomeric forms.
|
|
|
|
B)
Second six (6) months - items carried over (A) above
:
|
|
|
|
1. Completed.
|
|
|
|
2,3. Continue screening. Note: As of 1/98 have approximately 60 lines to evaluate: timing will depend on results as program progresses.
|
|
|
|
4. In the event that no lines produce demonstrable antibodies, we will proceed to subclone cells from 10 lines to evaluate the possibility that clones of desired phenotype exist but cannot be visualized in the pool. Lines from normal individuals and five from individuals who have been diagnosed with MS will be evaluated by cloning. It will be necessary to develop an assay that will enable us to estimate the complexity of the line. The most straight forward approach would be to generate Southern blot of the cloned cells using the most C proximal J region as a probe. Different restriction enzyme digestion patterns should be distinguish clones from each other depending on which V and which J was being used.
|
|
5. Generation of cassette system for manipulating Ig sequences should be completed in the first six months.
|
|
6. Generate and clone transfectoma of mouse/human chimeric antibody. Produce ascites and prepare antibody for testing in animal model.
|
|
|
|
7. Parameters for generating transfectomas should be established in first six months.
|
|
|
|
8. Assess the ability of monomeric antibody to induce remyellnation. If the
in vivo
half life is low, we may need to explore alternate route of antibody administration such as local administration.
|
|
|
|
9. Generate by site-directed mutagenesis a mouse IgM variant of 94.03 that cannot fix complement. Establish transfectoma that expresses this variant.
|
|
|
|
10. At the end of the first year, we will evaluate progress in each of the aims and establish milestones for year two (2).
|
|
|
|
Budget: Year One.
|
(1)
|
Personnel (Including benefits)
|
$
|
71,042.00
|
||
(2)
|
Supplies
|
$
|
40,280.00
|
||
(3)
|
Other Expenses - mouse husbandry
|
$
|
13,678.00
|
||
(4)
|
Overhead (20%)
|
$
|
25,000.00
|
||
TOTAL
|
$
|
150,000.00
|
|
A)
Milestones to be determined
|
|
Minimum Budget: Year Two.
|
(1)
|
Personnel (including benefits)
|
$
|
34,081.00
|
|||
(2)
|
Supplies
|
$
|
0.00
|
|||
(3)
|
Other Expenses - mouse husbandry
|
$
|
0.00
|
|||
(4)
|
Overhead (min. est. @ 20%)
|
$
|
6,816.00
|
|||
TOTAL
|
$
|
40,897.00
|
|
A) Milestones to be determined
|
|
Minimum Budget: Year Three.
|
(1)
|
Personnel (including benefits)
|
$
|
35,445.00
|
|||
(2)
|
Supplies
|
$
|
0.00
|
|||
(3)
|
Other Expenses - mouse husbandry
|
$
|
0.00
|
|||
(4)
|
Overhead (min. est. @ 20%)
|
$
|
7,089.00
|
|||
TOTAL
|
$
|
42,534.00
|
|
RE: Agreement between Acorda Therapeutics, Inc. and the Mayo Foundation for Education and Research
|
|
|
15 SKYLINE DRIVE
|
PHONE: (914) 347-4300
|
E-MAIL: ACORDA@ACORDA.COM
|
||
HAWTHORNE, NY 10532
|
FAX: (914) 347-4560
|
WEBSITE: WWW.ACORDA.COM
|
Very truly yours,
|
|||||||
/s/ Harold Safferstein
|
|||||||
Harold Safferstein, Ph.D., J.D.
|
|||||||
Vice President, Business Development
|
|||||||
AGREED TO AND ACCEPTED:
|
|||||||
/s/ Rick F. Colvin
|
|||||||
By:
|
Rick F. Colvin
|
||||||
Title:
|
Assistant Treasurer
|
||||||
Date:
|
11/18/03
|
||||||
Magdalena Hofer, Ph.D.
|
Principal Investigator
|
Acorda Therapeutics
|
||
Allan J. Bieber, Ph.D.
|
Principal Investigator
|
Mayo Clinic
|
||
Moses Rodriguez, M.D.
|
Co-Principal Investigator
|
Mayo Clinic
|
||
Larry R. Pease, Ph.D.
|
Investigator
|
Mayo Clinic
|
||
Arthur Warrington, Ph.D.
|
Investigator
|
Mayo Clinic
|
||
Charles Howe, Ph.D.
|
Investigator
|
Mayo Clinic
|
Proposed total $ to Mayo from Acorda (including entire STTR directs)
|
$
|
400,000
|
|||||
Total $ from STTR directs
|
$
|
105,000
|
|||||
STTR directs spent in 2002 (estimated)
|
$
|
(10,000
|
)
|
||||
(STTR indirects are not considered here)
|
$
|
95,000
|
|||||
Funds from Acorda:
|
$
|
295,000
|
|||||
Direct
|
$
|
204,000
|
|||||
Indirect (44.5%)
|
$
|
91,000
|
|||||
Total direct $ to lab
|
=
|
$
|
299,000
|
||||
Total $ (direct+indirect) to Mayo
|
=
|
$
|
390,000
|
Budgeted
% effort
|
Budgeted
% support
|
Budgeted
Salary
|
Budgeted
Benefits
|
Total
|
||||||||||
Allan Bieber, Ph.D.
(Principal Investigator)
|
40
|
%
|
40
|
%
|
$
|
—
|
$
|
—
|
$
|
22,000
|
||||
Moses Rodriguez, M.D.
(Co-Principal Investigator)
|
5
|
%
|
5
|
%
|
$
|
—
|
$
|
—
|
$
|
9,552
|
||||
Larry R. Pease, Ph.D.
(Co-investigator)
|
5
|
%
|
5
|
%
|
$
|
—
|
$
|
—
|
$
|
9,552
|
||||
Art Warrington, Ph.D.
(Co-investigator)
|
20
|
%
|
20
|
%
|
$
|
—
|
$
|
—
|
$
|
11,000
|
||||
Charles Howe, Ph.D.
(Co-investigator)
|
20
|
%
|
20
|
%
|
$
|
—
|
$
|
—
|
$
|
11,000
|
||||
Total Personnel
|
$
|
63,104
|
2002/2003
Pre-clinical animal testing:
|
||||
Animals
- 250 SJL/J mice, 6 weeks old females @ $16.90/mouse (Jackson Labs).
|
$
|
4,225
|
||
Animal Maintenance
- Based on 100 cages @ $0.56/cage/day for 365 days.
|
$
|
20,440
|
||
Tissue preparation materials
- araldite, osmium
|
$
|
15,000
|
||
Tissue and slide preparation
- 10 slides/animals, 170 animals, @ $10.00/slide
|
$
|
17,000
|
||
Technician processing time
- fixation, dissection, embedding
|
$
|
5,000
|
||
Supplies:
2002/03
in vivo testing
|
$
|
61,665
|
||
2003/2004
Pre-clinical animal testing:
|
||||
Animals
- 250 SJL/J mice, 6 weeks old females @ $16.90/mouse (Jackson Labs).
|
$
|
4,225
|
||
Animal Maintenance
- Based on 100 cages @ $0.56/cage/day for 365 days.
|
$
|
20,440
|
Tissue preparation materials
- araldite, osmium
|
$
|
15,000
|
||
Tissue and slide preparation
- 10 slides/animal, 160 animals, @ $10.00/slide
|
$
|
16,000
|
||
Technician processing time
- fixation, dissection, embedding
|
$
|
4,500
|
||
Supplies:
2003/04
in vivo testing
|
$
|
60,165
|
Supply Expenses:
Antibody-induced signaling.
|
||||
Microarrays
- Affymetrix microarrays and array processing
|
$
|
50,000
|
||
Animals
- Purchase and short-term housing for 50 Sprague-Dawley rats provided as untimed pregnancies for the generation of primary oligodendrocyte cultures.
|
$
|
4,000
|
||
Tissue Culture
- Culture of primary oligodendrocytes derived from mixed glial cultures.
|
||||
Culture of CG4 cells under defined media conditions. Cost includes growth factors, hormones, media, supplements, serum, and plasticware.
|
$
|
12,000
|
||
Antibodies
- anti-phosphotyrosine (4G10), anti-phospho-JNK, anti-phospho-IkB and NFkB, anti-phospho-ERK 1/2 anti-phospho-p38, anti-phospho-Akt, anti-EGFR, anti-PDGFR, anti-IGFR, anti-FGFR, anti-src family members, anti-caspases, secondaries and immunoprecipitation materials
|
$
|
10,000
|
||
Pharmacological Agents
- JNK inhibitors, NFkB inhibitors, TNFa and Fasm, B-MCD and Filipin.
|
$
|
4,000
|
||
Radiation
-
35
SO
4
and
3
H lipid derivatives
|
$
|
4,000
|
||
PAGE Materials
- Basic materials for 1 and 2-D PAGE
|
$
|
2,500
|
||
TLC Materials
- Basic Materials for 2-D TLC
|
||||
Cell Fractionation Materials
- cost includes plasticware and fractionation chemicals (e.g. OptiPrep)
|
$
|
2,500
|
||
Supplies:
Ab-induced signaling
|
$
|
91,500
|
||
Supply Expenses:
Antigen characterization.
|
||||
Animals
-
|
||||
Purchase and short-term housing for 50 rats provided as untimed pregnancies for the generation of primary glial cultures.
|
$
|
3,000
|
||
Purchase and short-term housing for 200 SJL mice for the generation of primary glial cultures.
|
$
|
3,500
|
||
Tissue Culture
- primary culture of rat, mouse, human glia, rat neurons, PC12 cells
|
$
|
12,000
|
||
Enzymes and antibodies
- carbohydrate specific enzymes, anti-chondroitin sulfate, anti-myelin basic protein, anti-phophotyrosine
|
$
|
4,000
|
||
Supplies:
Ag characterization
|
$
|
22,500
|
||
Total personnel
|
$
|
63,104
|
||
Total supplies
|
$
|
235,830
|
||
Total DIRECT
|
$
|
298,934
|
||
Total INDIRECT @ 44.5%
|
$
|
91,000
|
||
Total cost
|
$
|
389,934
|
|
Expt. 1 Rc22 Dosing; Rc22 + MePrednisolone
70 mice
|
|
Expt. 2 Rc22 Dosing (repeat); Rc22 + MePrednisolone (repeat); Dbl;. Ab treatment
100 mice
|
|
Expt. 3 IgMs vs. IgG4s
80 mice
|
|
Expt. 4 IgMs vs. IgG4s: Repeat and Dosing
80 mice
|
|
Expt. 1 IgMs vs. IgG4s
(on rat MPGs)
|
|
Expt. 2 IgMs vs. IgG4s: Repeat and Dosing
(on rat MPGs)
|
|
Expt. 3 Best candidate effects on specific rat cell types
(Oligos, astrocytes, macrophages, BILs, neurons)
|
|
|
|
|
|
a) U.S. patent application S.N. 08/236,520, filed April 19, 1994, and foreign patent applications and patent counterparts thereto (if any);
|
|
|
|
b) all U.S. and foreign patent applications disclosing inventions conceived or reduced to practice pursuant to the research conducted pursuant to the Sponsored Research Agreement;
|
|
|
|
c) all divisions, substitutions, continuations, continuations-in-part applications of (i) and (ii) of the preceding, and all U.S. and foreign patents issuing thereon, including reissues, reexaminations, and extensions; and
|
|
|
|
d) all trade secrets, know-how, and technical information developed by MAYO in connection with the research conducted pursuant to the Sponsored Research Agreement.
|
|
|
|
a) developed by the Recipient independently of the disclosed proprietary information of the other party, and reasonable written documentation exists to demonstrate such development; or
|
|
|
|
b) rightfully obtained without restriction by the Recipient from any third party who is not restricted from making such disclosure by any direct or indirect obligation of confidentiality to the other party herein; or
|
|
|
|
c) publicly available other than through the fault of the Recipient; or
|
|
d) known to the Recipient at the time of its disclosure by the other party hereto, and reasonable written documentation exists to demonstrate such knowledge.
|
|
|
|
e) subject to disclosure under a facially valid court order, warrant, or subpoena, but only if the Recipient first gives the other party immediate oral and written notice of the court order, warrant, or subpoena to permit that party to take appropriate legal action in the circumstances.
|
|
|
MAYO FOUNDATION FOR MEDICAL
|
ACORDA THERAPEUTICS, INC.
|
||||
EDUCATION AND RESEARCH
|
|||||
Signed:
|
/s/ Rick F. Colvin
|
Signed:
|
/s/ RON COHEN
|
||
Name:
|
Rick F. Colvin
|
Name:
|
RON COHEN
|
||
Title:
|
Assist. treas.
|
Title:
|
President, CEO
|
||
Date:
|
Oct. 11, 1995
|
Date:
|
10/06/95
|
X =
|
Y(A-B)
|
|||
A
|
||||
Where:
|
X = The number of shares of Common to be issued to the Warrantholder.
|
|||
Y = The number of shares of Common to be exercised under this Warrant.
|
||||
A = The fair market value of one share of Common.
|
||||
B = The Exercise Price.
|
|
(1) The undersigned Warrantholder hereby elects to purchase 60,000 shares of the Common Stock of ACORDA THERAPEUTICS, INC., pursuant to the terms of the Warrant Agreement dated the day of October, 1995 (the “Warrant Agreement”) between ACORDA THERAPEUTICS, INC. and the Warrantholder, and tenders herewith payment of the purchase price for such shares in full, together with all applicable transfer taxes, if any.
|
|
(2) In exercising its rights to purchase the Common Stock of ACORDA THERAPEUTICS, INC., the undersigned hereby confirms and acknowledges the investment representations and warranties made in Section 9 of the Warrant Agreement.
|
|
|
|
(3) Please issue a certificate or certificates representing said shares of Common Stock in the name of the undersigned or in such other name as is specified below.
|
|
|
License:
|
Mayo Clinic (“Mayo”) will grant Acorda an exclusive license, with the right to grant and authorize sublicenses, under the Licensed Patents to make, have made, use and sell Licensed Products in the Territory.
|
|
Territory:
|
Worldwide.
|
|
Licensed Technology:
|
Licensed Technology includes (i) the Licensed Patents and (ii) Project Know How.
|
|
Licensed Patents:
|
Licensed Patents include (i) the patent applications listed on Exhibit A
hereto, (ii) all patent applications filed with respect to inventions conceived or otherwise developed in the course of and in connection with the Sponsored Research, and (iii) all divisions, substitutions, continuations, continuations-in-part applications, and reissues, re-examinations, and extensions of (i) and (ii) above, all patents issuing on the preceding, and all foreign counterparts of the preceding.
|
|
Project Know-How:
|
All trade secrets and other intellectual property conceived or otherwise developed in the course of and in connection with the Sponsored Research, and all subsequent modifications, enhancements and improvements, excluding the patent applications and patents within the Licensed Patents.
|
|
Licensed Products:
|
Products covered by a valid issued or pending claim of a Licensed Patent in the country which such Product is sold, or which directly incorporate Project Know-How.
|
Licensed Technology, or reimbursement for patent or other expenses.
|
||||||
In the event that a Licensed Product is sold in combination with another product which is not a Licensed Product, the amount paid to Mayo shall be based on the proportion of the value of such combination product reasonably attributable to the Licensed Technology; provided in no event shall Mayo receive less than 0.25% of the net sales of Licensed Products sold by Acorda.
|
||||||
Due Diligence:
|
Acorda will use reasonable efforts to enter into an agreement with a contract manufacturer for the production of Mayo’s mylenating monoclonal antibody, by the later of June 1, 1995, or within sixty (60) days following the close of Acorda’s Series A financing.
|
|||||
Acorda will use reasonable commercial efforts, consistent with its prudent business judgment, to develop Licensed Products and obtain and maintain such approvals as may be necessary for the sale of Licensed Products in the U.S. and such other worldwide markets as Acorda elects to sell such Licensed Products.
|
||||||
Milestone Payments:
|
Acorda will pay to Mayo the following amounts on the achievement of the following events:
|
|||||
Effective Date of license
|
$
|
25,000
|
||||
Issue of first U.S. patent within the Licensed Patents
|
$
|
25,000
|
||||
Initiation of Phase I clinical trials for the first Licensed Product
|
$
|
50,000
|
||||
FDA marketing approval of the first Licensed Product
|
$
|
500,000
|
Patent Prosecution:
|
Acorda will be responsible, using patent counsel of its choice, for preparing, filing, prosecuting and maintaining patent applications and patents within the Licensed Patents. Acorda will pay the costs incurred in connection with such activities, and reimburse Mayo for reasonable costs incurred in connection with such activities prior to the effective date of the license; 50% of all such amounts (including attorneys fees) shall be creditable against earned royalties due Mayo. At Mayo’s request, Acorda shall provide Mayo with reasonable documentation of such costs. Mayo and Acorda will cooperate and consult with each other in the prosecution of the Licensed Patents.
|
|
Patent Enforcement:
|
In the event of any infringement of the Licensed Patents or misappropriation of the Project Know-How, the parties shall consult to determine if they will jointly bring action to terminate such infringement or misappropriation. Any recovery obtained by the parties in such an action shall be used first to reimburse the costs of such action, and the remainder divided equally between the parties.
|
|
In the event that the parties fail to initiate such action within ninety (90) days of receiving notice of such infringement or misappropriation, Mayo shall have the right, but not the obligation, to initiate suit to stop such infringement or misappropriation; provided if Mayo does not initiate such an action within a further ninety (90) days, Acorda shall have the right to pursue any infringement of the Licensed Patents, or opposition or interference with respect thereto, or any misappropriation of Project Know-How, or defend any declaratory judgment relating thereto. Any recovery obtained by
|
Acorda in such an action shall be used first to reimburse the costs of such action, and the remainder shall be retained by Acorda and treated as net sales of Licensed Products, subject to the royalty obligations to Mayo herein.
|
||
Royalties to Third Parties:
|
In the event that in connection with its sale of Licensed Products, Acorda pays a third party royalties or other amounts to avoid or settle a claim of infringement of the intellectual property rights of such third party, Acorda may offset such amounts against up to 50% of the amounts due Mayo; provided, however, in no event shall Mayo receive less than 0.25% of the net sales of Licensed Products sold by Acorda and its affiliates.
|
|
Sublicenses:
|
Any sublicenses granted by Acorda under the Licensed Technology shall remain in effect and be assigned to Mayo in the event this license terminates.
|
|
Assignment:
|
Acorda may not assign the license without the consent of Mayo, which consent shall not be unreasonably withheld; provided, Acorda may assign the license in connection with the sale or transfer of all or substantially all the rights and obligations of Acorda relating to the Licensed Products
,
without the prior consent of Mayo.
|
|
Term:
|
The license shall terminate on a country-by-country basis upon the expiration of the last to expire Licensed Patent in such country, or, if no Licensed Patent issues in a country, twelve years following the first commercial sale of a Licensed Product in such country, on a Licensed Product-by-Licensed Product basis. Acorda shall have the right to terminate the license agreement with respect to any Licensed
|
Technology or any country, on ninety (90) days written notice.
|
||
Other:
|
The formal agreement will include other customary provisions to be agreed by the parties, including indemnification, royalty reporting, audit rights and the like.
|
|
|
ACORDA THERAPEUTICS, INC.
|
||||||
By:
|
/s/ Ron Cohen
|
|||||
Print Name:
|
Ron Cohen, MD
|
|||||
Title:
|
President & CEO
|
|||||
MAYO FOUNDATION FOR
MEDICAL EDUCATION AND
RESEARCH
|
||||||
By:
|
/s/ Rick F. Colvin
|
|||||
Print Name:
|
Rick F. Colvin
|
|||||
Title:
|
Assistant Treasurer
|
|||||
|
1. monoclonal antibody 94.03
|
|
2. monoclonal antibody SCH 79.03
|
Sincerely yours,
|
||||
/s/ Ron Cohen
|
||||
Ron Cohen, M.D.
|
||||
President and Chief Executive Officer
|
||||
AGREED TO by the
|
||||
MAYO FOUNDATION FOR MEDICAL
|
||||
EDUCATION AND RESEARCH:
|
||||
Signed:
|
/s/ Rick F. Colvin
|
|||
Name:
|
Rick F. Colvin
|
|||
Title:
|
Assistant Treasurer
|
|||
Date:
|
8/9/96
|
|||
145 WEST 58TH STREET
|
NEW YORK, NY 10019
|
FAX: (212) 765-8637
|
||
SUITE #8J
|
PHONE: (212) 376-7552
|
E-MAlL: DRRON18@ADL.COM
|
Sincerely yours,
|
||||
/s/ Ron Cohen
|
||||
Ron Cohen, M.D.
|
||||
President and Chief Executive Officer
|
||||
AGREED TO by the
|
||||
MAYO FOUNDATION FOR MEDICAL
|
||||
EDUCATION AND RESEARCH:
|
||||
Signed:
|
/s/ Rick F. Colvin
|
|||
Name:
|
Rick F. Colvin
|
|||
Title:
|
Assistant Treasurer
|
|||
Date:
|
1/7/97
|
|||
145 WEST 58TH STREET
|
NEW YORK, NY 10019
|
FAX: (212) 765-8637
|
||
SUITE #8J
|
PHONE: (212) 376-7552
|
E-MAlL: DRRON18@ADL.COM
|
MAYO FOUNDATION FOR MEDICAL
EDUCATION AND RESEARCH
|
ACORDA THERAPEUTICS, INC.
|
|||||
Signed:
|
/s/ John H. Herrell
|
Signed:
|
/s/ Ron Cohen, M.D.
|
|||
Name:
|
John H. Herrell
|
Name:
|
Ron Cohen, M.D.
|
|||
Title:
|
Vice President
|
Title:
|
President & CEO
|
|||
Date:
|
March 24, 1998
|
Date:
|
3/20/98
|
|||
Acorda/Mayo Option & Res Agr (Rodriguez/Pease)
|
Confidential
|
|
a) U.S. patent application S.N. 08/263,520, filed April 19, 1994, foreign patent applications and patent counterparts thereto (if any), and all patent applications disclosing any invention or other intellectual property developed in whole or in
|
|
b) all U.S. and foreign patent applications disclosing inventions conceived or reduced to practice pursuant to the research conducted pursuant to the Sponsored Research Agreement;
|
|
|
|
c) all divisions, substitutions, continuations, continuations-in-part applications of (a) and (b) of the preceding, and all U.S. and foreign patents issuing thereon, including reissues, reexaminations, and extensions; and
|
|
|
|
d) all trade secrets, know-how, and technical information developed by MAYO in connection with the research conducted pursuant to the Sponsored Research Agreement.
|
|
a)
developed by the Recipient independently of the disclosed proprietary information of the other party, and reasonable written documentation exists to demonstrate such development; or
|
|
b) rightfully obtained without restriction by the Recipient from any third party who is not restricted from making such disclosure by any direct or indirect obligation of confidentiality to the other party herein; or
|
|
|
|
c) publicly available other than through the fault of the Recipient; or
|
|
|
|
d) known to the Recipient at the time of its disclosure by the other party hereto, and reasonable written documentation exists to demonstrate such knowledge.
|
|
|
|
e) subject to disclosure under a facially valid court order, warrant, or subpoena, but only if the Recipient first gives the other party immediate oral and written notice of the court order, warrant, or subpoena to permit that party to take appropriate legal action in the circumstances.
|
MAYO FOUNDATION FOR MEDICAL
EDUCATION AND RESEARCH
|
ACORDA THERAPEUTICS, INC.
|
||||
Signed:
|
/s/ John H. Herrell
|
Signed:
|
/s/ Ron Cohen, M.D.
|
||
Name:
|
John H. Herrell
|
Name:
|
Ron Cohen, M.D.
|
||
Title:
|
Vice President
|
Title:
|
President & CEO
|
||
Date:
|
March 24, 1998
|
Date:
|
3/20/98
|
License:
|
Mayo Foundation for Medical Education and Research (“MAYO”) will grant to Acorda Therapeutics (“ACORDA”) an exclusive license, with the right to grant, offer for sale and authorize sublicenses, under the Licensed Patents to develop, make, have made, Import, Use, offer for sale, sell and otherwise exploit Licensed Product in the Territory.
|
|
Territory:
|
Worldwide (with specific regions to be defined in the final license for royalty accounting purposes).
|
|
Field of Use:
|
Use in the prevention, mitigation and/or treatment of nervous system disorders, diseases or injuries including, without limitation, pain.
|
|
Licensed Technology:
|
Licensed Technology includes (i) the Licensed Patents, (ii) Project Know-How, and (iii) all patent applications disclosing any invention or other intellectual property developed by Dr. Moses Rodriguez and/or Dr. Larry Pease and owned in whole or in part by MAYO relating to humanized and non-humanized monoclonal antibodies and pooled IgM for use in the prevention, mitigation and/or treatment of nervous system disorders, diseases or injuries, including without limitation pain, or derivatives and analogs thereof, including without limitation compositions and methods of making and using thereof, excluding the Technology subject to the Option Agreement entered by ACORDA and MAYO October 1, 1995, as amended.
It is understood and agreed that any use of intellectual property outside of the field covered by the original option agreement entered by ACORDA and MAYO on October 1, 1995, shall be covered by this agreement as depicted in Exhibit D.
|
|
Licensed Patents:
|
Licensed Patents include (i) all patent applications (provisional or utility) filed with respect to inventions conceived or otherwise developed relating to humanized and non-humanized monoclonal antibodies and pooled IgM, or their derivatives or analogs, for use in the prevention, mitigation and/or treatment of nervous system disorders, diseases or injuries, including without limitation pain, and (ii) all divisions,
|
(2)
|
US FDA marketing approval of the second (2nd) therapeutic Licensed Product which is not a modification or extension of the first Licensed Product and has a therapeutic indication which is different from the first Licensed Product: $500,000.00
|
||
Royalties:
|
It is understood and agreed that a higher royalty is only due for Licensed Product which is outside the field defined in the original option agreement entered by ACORDA and MAYO on October 1, 1995. ACORDA shall pay MAYO the greater of:
(i) a royalty of two percent (2%) of the net sales up to $400,000,000.00 of the Licensed Product sold by ACORDA in the Territory covered by a valid claim of an issued patent within the Licensed Patents which contains an awarded valid composition of matter claim in the country which such Licensed Product are sold, or
(ii) two and one-half, percent (2.5%) of the net sales greater than $400,000,000.00 of the Licensed Product sold by ACORDA in the Territory covered by a valid claim of an issued patent within the Licensed Patents which contains an awarded valid composition of matter claim the country which such Licensed Product are sold, or
(iii) a royalty of one percent (1%) of the
net sales of the Licensed Product sold by ACORDA in the Territory covered by a pending patent within the Licensed Patents containing a pending composition of matter claim in the country which such Licensed Product are sold.
If the issued patents contain only awarded valid utility claims the parties agree to negotiate in good faith royalty rates for the sale of Licensed Product which reflect customary royalties for intellectual property of the type, degree of proprietary protection and value mutually agreed to by MAYO and ACORDA.
|
||
Royalties to Third Parties:
|
In the event that in connection with its sale of Licensed Product, Acorda pays a third party royalties or other amounts to make, use or sell Licensed Product or to avoid or settle a claim of infringement of the intellectual property rights of such third party, Acorda may offset such amounts against up to 50% of the amounts due, Mayo; provided, however, in no event shall Mayo receive less than 0.50% of the net sales of Licensed Product sold by Acorda and its affiliates.
|
Sublicense Royalties:
|
ACORDA will pay MAYO twenty-five percent (25%) of the royalty received by ACORDA from sublicensees with respect to the sale of Licensed Product for use in applications which ACORDA decides, in its business judgment, not to commercialize. MAYO shall not be entitled to any share of amounts received by ACORDA from sublicensees for equity, debt, research and development, performance based milestones, the license or sublicense of any intellectual property other than the Licensed Patents, products other than the Licensed Product, or reimbursement for patent or other expenses.
|
|
Combination Product Royalties:
|
In the event that an Amended Licensed Product is sold in combination with another product which is not a Licensed Product, the amount paid to MAYO shall be based upon the proportion of the value of such combination products reasonably attributable, by mutual agreement of the parties, to the Licensed Patents.
|
|
Other Provisions
|
||
Due Diligence:
|
ACORDA will use reasonable efforts, consistent with its prudent business judgment, to develop and commercialize Licensed Product and obtain and maintain such approvals as may be necessary for the sale of products in the US and such other worldwide markets as ACORDA selects to commercialize such Licensed Product. ACORDA shall use reasonable efforts to develop a Licensed Product for Multiple Sclerosis (MS) as long as it remains technically and commercially feasible. If ACORDA decides in its business Judgment not to commercialize a Licensed Product for MS the parties agree to discuss returning the patent rights for MS to MAYO.
|
|
Patents:
|
MAYO shall own all of its inventions, discoveries and other developments. whether or not patentable, arising out of research carried out related to the Amended Licensed Patents. ACORDA shall own all of its inventions, discoveries and other developments, whether or not patentable, arising out of research carried out related to the Licensed Technology. Inventions or discoveries made Jointly by both MAYO and ACORDA shall be Jointly owned by both parties and, if patent applications are filed, patents shall be applied for on behalf of both parties. Rights held by MAYO in any inventions, including without limitation rights in and to patent applications and patents which may be obtained thereon, shall be deemed to be within the terms Licensed Patents and shall be subject to the license granted Acorda Therapeutics herein.
|
Patent Prosecution:
|
ACORDA will be responsible, using patent counsel of its choice, for preparing, filing, prosecuting and maintaining patent applications and patents within the licensed patents. ACORDA will pay the costs incurred in connection with such activities, and reimburse MAYO for reasonable costs incurred in connection with such activities prior to the effective date of the license; fifty percent (50%) of all such amounts (including attorneys’ fees) shall be creditable against earned royalties due MAYO. At MAYO’s request, ACORDA shall provide MAYO with reasonable documentation of such costs. MAYO and ACORDA will cooperate and consult with each other in the prosecution of the licensed patents.
|
|
Patent Enforcement:
|
In the event of any infringement of the Licensed Patents or misappropriation of the Project Know-How, the parties shall consult to determine if they will Jointly bring action to terminate such infringement or misappropriation. Any recovery obtained by the parties in such an action shall be used first to reimburse the cost of such action and the remainder divided equally between the parties.
In the event that the parties fail to initiate such action within ninety (90) days of receiving notice of such infringement or misappropriation, ACORDA shall have the right, but not the obligation, to initiate suit to stop such infringement or misappropriation. Any recovery obtained by ACORDA in such an action shall be used first to reimburse the cost of such action, and the remainder shall be retained by ACORDA and treated as net sales of Licensed Product, subject to the royalty obligations to MAYO herein.
In the absense of an agreement to institute a suit jointly, and if ACORDA does not initiate such an action within a further ninety (90) days, MAYO may institute a suit for the infringement of the licensed patents, or opposition or interference with respect thereto, or any misappropriation of Project Know-How, or defend any declaratory judgment relating thereto. MAYO shall bear the entire cost of such litigation, including attorneys’ fees, and shall be entitled to retain the entire amount of any recovery by way of judgment, award, decree, arbitration, or settlement. ACORDA shall cooperate reasonably with MAYO, except financially, in such litigation.
|
|
Sublincenses:
|
Any sublicense granted by Acorda under the Licensed Technology shall remain in effect and be assigned to MAYO in the event this license terminates.
|
|
Assignment:
|
ACORDA may not assign the license without the consent of MAYO, which consent shall not be unreasonably withheld; provided, ACORDA may assign the license in connection with the sale or transfer of all or substantially all the rights and obligations of ACORDA relating to the Licensed Product, without the prior consent of MAYO.
|
|
Term:
|
The License shall terminate on a country-by country and Licensed Product by Licensed Product basis upon the expiration of the last to expire Licensed Patent in such country. ACORDA shall have the right to
|
terminate the license agreement with respect to any aspect of the Licensed Technology and/or any country, on ninety (90) days written notice.
|
||
Other:
|
The formal agreement will include other customary provisions to be agreed upon by the parties, including indemnification, royalty reporting, audit rights and the like.
|
|
Execution:
|
Both parties agree that execution of this License Term Sheet may be effected by the receipt of facsimile signature pages.
|
MAYO FOUNDATION FOR MEDICAL
EDUCATION AND RESEARCH
|
ACORDA THERAPEUTICS, INC.
|
||||
Signed:
|
/s/ John H. Herrell
|
Signed:
|
/s/ Ron Cohen, M.D.
|
||
Name:
|
John H. Herrell
|
Name:
|
Ron Cohen, M.D.
|
||
Title:
|
Vice President
|
Title:
|
President & CEO
|
||
Date:
|
March 24, 1998
|
Data:
|
3/20/98
|
PCT/U.S.
Serial No.
|
Title of Application
|
Date of
Filing
|
||
US#5,591,629
|
Monoclonal Antibodies Which Promote Central Nervous System Remyelination
|
4/29/94
|
||
PCT/US 95/05262
|
Monoclonal Antibodies Which Promote Central Nervous System Remyelination
|
4/27/95
|
||
08/692,084
|
Promotion of Central Nervous System Remyelination Using Monoclonal Antibodies
|
8/8/96
|
||
08/779,784
|
Promotion of Central Nervous System Remyelination Using Monoclonal Antibodies
|
1/7/97
|
||
09/332,862
|
Human IgM Antibodies, and Diagnostic and Therapeutic Uses Thereof Particularly in the Central Nervous System
|
5/28/99
|
||
09/580,787
|
Human IgM Antibodies, and Diagnostic and Therapeutic Uses Thereof Particularly in the Central Nervous System
|
5/30/00
|
||
09/568,351
|
Human IgM Antibodies, and Diagnostic and Therapeutic Uses Thereof Particularly in the Central Nervous System
|
5/10/00
|
||
PCT/US 00/14902
|
Human IgM Antibodies, and Diagnostic and Therapeutic Uses Thereof Particularly in the Central Nervous System
|
5/30/00
|
|
(a) Initial Disclosures. Within twenty-one (21) days after the date of mediation, the Parties shall exchange written disclosures listing with reasonable specificity: (i) all exhibits expected to be used by the Party at arbitration, and complete copies of such exhibits, (ii) all witnesses expected to be called by the Party at arbitration, and (iii) the substance of
|
|
(b) Discovery Period. Within fourteen (14) days after exchange of the disclosure notices, the Parties shall make specific discovery requests to the arbitrator, and within an additional fourteen (14) days the arbitrator shall issue to both parties a joint discovery order. The discovery period preceding the arbitration hearing shall not exceed sixty (60) days from the issuance of the discovery order by the arbitrator.
|
|
|
|
(c) Scope of Discovery. Discovery shall be limited to that ordered by the arbitrator as being reasonable and necessary, and in no case shall exceed the deposition of two (2) witnesses for each Party, and/or the exchange of more than a total of twenty-five (25) specific and non-compound interrogatories by each party, and/or two specific requests by each Party for the production of documents considered by the arbitrator to be reasonably relevant and not unduly burdensome.
|
|
|
|
(d) Hearing. The arbitration hearing, which shall be confidential to the parties and not open to the public, shall not exceed two (2) separate days, and shall be completed within thirty (30) days of the close of discovery. The arbitrator may admit any testimony or other evidence which the arbitrator decides is reasonably relevant to the issues of the arbitration, but excluding statements or offers made by either Party at the mediation session.
|
|
|
|
(e) Final Decision. The arbitrator shall issue a final written decision no later than sixty (60) days following the end of the arbitration hearing, stating findings as to law and fact. The decision shall be confidential to the Parties. The arbitrator shall be limited to determining and ordering the payment of actual and direct damages if any, and may order the payment of indirect, special, incidental, or consequential damages only where bad faith has been shown and/or to the extent required to fulfill any obligations under Article 8 of the Agreement. The arbitrator shall not order the payment of punitive or exemplary damages in any case.
|
|
(a) Specific Performance. Among the equitable remedies that a Party may seek under this part 7, either Party may petition a court for specific performance of the terms of this Exhibit, including following the failure of either Party without good cause to adhere to the time limits set out in this Exhibit. A Party securing an order for specific performance under this part 7(a) is entitled to recover costs and reasonable attorneys’ fees in connection with such petition for specific performance and any related hearings.
|
|
(a) MAYO Foundation for Medical Education and Research, 200 First Street SW, Rochester, MN 55905-0001, hereinafter “MAYO”; and
|
|
3. The MATERIAL covered by this Agreement includes: {relevant Ab} , developed by Moses Rodriguez, M.D. and his colleagues at MAYO Rochester (MAYO files MMV-92-102 and MMV-97-055); (b) any related biological material or associated know-how and data received by INSTITUTION from MAYO; and (c) any progeny or unmodified derivatives produced from any of the foregoing by MAYO, its employees and/or agents. The MATERIAL covered by this Agreement is the subject of United States Patent No. 5,591,629, Application S.N. 08/236,520, filed April 19, 1994, entitled “Monoclonal Antibodies Which Promote Central Nervous System Remyelination,” and foreign counterparts and [list specific CIPs or patents} and other pending patent claims of MAYO and is subject to an exclusive worldwide license granted by MAYO to Acorda Therapeutics, Inc, (“ACORDA”) pursuant to a license agreement dated [insert date] for commercial exploitation of the MATERIAL under the foregoing patent rights (the “MAYO/ACORDA license agreement”) INSTITUION AND MAYO acknowledge that MAYO may only transfer the MATERIAL to INSTITUION under terms and conditions of a material transfer agreement which has been approved in advance by ACORDA.
|
|
4. The MATERIAL and any related information disclosed by MAYO will be kept confidential and not made available or disclosed by INSTITUTION to third parties or disclosed in any publication. The MATERIAL shall be used solely for research in the laboratory of (“SCIENTIST”) at INSTITUTION, such research to be limited to . MAYO and ACORDA shall be free, in their sole discretion, to distribute the MATERIAL to others and to use it for their own purposes.
|
|
5. INSTITUTION shall not distribute or release the MATERIAL to any person other than laboratory personnel under SCIENTIST’s direct supervision who shall be made aware of the provisions of this agreement, including confidentiality and license of commercial rights to inventions, and who is bound by its terms. INSTITUTION shall ensure that no one will be allowed to take or send the MATERIAL to any other location, unless prior written permission is obtained from MAYO and ACORDA. This MATERIAL is made available for investigational use only in laboratory animals or
in vitro
experiments. INSTITUTION and SCIENTIST agree that the MATERIAL will not be used for any other purpose. Neither the MATERIAL nor any biological materials treated therewith will be used in human beings. INSTITUTION and SCIENTIST are specifically excluded from re-engineering or modifying the MATERIAL with the specific intent of designing around pending claims of United States and foreign patents.
|
|
6. This Agreement and the resulting transfer of MATERIAL constitute a license to use the MATERIAL solely for not-for-profit academic research purposes. INSTITUTION agrees that nothing herein shall be deemed a grant under any MAYO patents (either existing or future) or any rights to use the MATERIAL for any products or processes for profit-making or commercial purposes. The MATERIAL will not be used in research that is subject to consulting or licensing obligations to another institution, corporation or business entity unless prior written permission is obtained from both MAYO and ACORDA.
|
|
7. MAYO and INSTITUTION agree that all rights to sole MAYO inventions resulting from the use of the MATERIAL under this agreement,
i.e.
inventions made solely by MAYO faculty, staff, or students, shall be owned by MAYO; sole INSTITUTION inventions resulting from the use of the MATERIAL under this agreement, i
.e.
inventions made solely by the employees of INSTITUTION, shall be owned by INSTITUTION. All rights to joint inventions resulting from the use of the MATERIAL under this agreement, as determined under United States’ Patent Law, shall be owned jointly between INSTITUTION and the MAYO.
|
|
8. Should INSTITUTION or SCIENTIST create, either alone or with MAYO, any new and useful invention, discovery, process, improvement or other intellectual property conceived of, first reduced to practice, made or otherwise developed during the research, whether for the MATERIAL, related to the MATERIAL, or resulting in part from use of the MATERIAL, (an “Invention”) it hereby grants MAYO, and MAYO’s licensee, ACORDA, the exclusive (even as to INSTITUTION and SCIENTIST) perpetual, worldwide, royalty-free license to develop, make, have made, use, import, export, lease, offer to sell, sell, have sold and otherwise exploit any and all products, processes or services making use of the invention for any and all commercial purposes and to grant, offer for sale and authorize sublicenses with respect to the right and license granted under this Section 8 to third parties, MAYO acknowledges and confirms that any license rights it may receive from INSTITUTION under this agreement shall be deemed part of the technology MAYO has licensed to ACORDA under the MAYO/ACORDA license agreement.
|
|
9. INSTITUTION shall have no rights in the MATERIAL other than as provided in this Agreement, and at the request of MAYO, INSTITUTION and/or SCIENTIST will return or destroy all unused MATERIAL.
|
|
10. SCIENTIST will inform MAYO and ACORDA in reasonable detail of all research results created by SCIENTIST and/or INSTITUTION related to the MATERIAL by personal written communication. INSTITUTION and/or SCIENTIST shall be free to use data and information from research results for any academic and non-commercial purpose, but will make proper acknowledgment of the work done by SCIENTIST, and agree to inform MAYO and ACORDA of any proposed public disclosure of research results at least one hundred twenty (120) days prior to such disclosure to permit MAYO and ACORDA to protect any proprietary information related thereto and to confirm that no information disclosed to INSTITUTION in confidence is included in such public disclosure. MAYO and ACORDA shall be free to use any and all research results for any purpose.
|
|
11. The MATERIAL is experimental in nature and it is provided WITHOUT WARRANTY OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR ANY OTHER WARRANTY, EXPRESS OR IMPLIED. MAYO MAKES NO REPRESENTATION OR
|
|
12. In no event shall MAYO be liable for any use by INSTITUTION, its employees and/or agents of the MATERIAL or any loss, claim, damage or liability, of whatsoever kind or nature, which may arise from or in connection with this Agreement or the use, handling or storage of the MATERIAL. Furthermore, to the extent permitted by applicable law, INSTITUTION agrees to indemnify MAYO and any of its employees and hold it and them harmless from any action, claim, or liability, including, without limitation, liability for death, personal injury, or property damage, arising directly or indirectly from INSTITUTION’s possession, testing, screening, distribution or other use of the MATERIAL provided under this Agreement, and/or from INSTITUTION’s publication or distribution of the test reports, data, and other information relating to said MATERIAL.
|
|
13. INSTITUTION will use the MATERIAL in compliance with all laws and governmental regulations and guidelines applicable to the MATERIAL, and when the MATERIAL is used in the United States, INSTITUTION and SCIENTIST will comply with current NIH guidelines.
|
|
14. This Agreement shall be governed by the laws of Minnesota. It may be amended only in writing signed by both MAYO and INSTITUTION and specifically referencing this Agreement. Any proposed amendment must also be approved in advance in writing by ACORDA. Neither this Agreement nor any of INSTITUTION’s or SCIENTIST’S rights or obligations under the Agreement may be assigned by INSTITUTION or SCIENTIST without the written consent of MAYO. ACORDA is a third party beneficiary of this Agreement and shall have the right to enforce its provisions. The failure of MAYO or ACORDA to insist at any time upon the strict observance or performance of any of the provisions of this Agreement, or to exercise any rights or remedy as provided in this Agreement, will not impair any such right or remedy and will not be construed to be a waiver or relinquishment of the right or remedy.
|
|
Re:
|
Amendment to August 11, 2002, Employment Agreement
|
|
A.
|
Termination by the Company Without Cause, or Voluntary Termination by You With Good Reason – Severance Period
. The first sentence in Paragraph 6(c)(i) is amended and restated in its entirety to read as follows:
|
|
B.
|
Termination by the Company Without Cause, or Voluntary Termination by You With Good Reason -- Bonus.
The first sentence in Paragraph 6(c)(ii) is amended and restated in its entirety to read as follows:
|
1.
|
Lease of Premises
|
1
|
2.
|
Basic Lease Provisions
|
2
|
3.
|
Term.
|
7
|
4.
|
Construction of the Initial Premises.
|
7
|
5.
|
Possession.
|
17
|
6.
|
Rent for the Premises.
|
25
|
7.
|
Rent Adjustments
|
27
|
8.
|
Operating Expenses.
|
27
|
9.
|
Rentable Area.
|
32
|
10.
|
Expansion Rights.
|
33
|
11.
|
Use and Access.
|
36
|
12.
|
Brokers.
|
39
|
13.
|
Holding Over.
|
40
|
14.
|
Taxes on Tenant’s Property.
|
40
|
15.
|
Condition of Premises
|
41
|
16.
|
Common Areas and Parking Facilities.
|
41
|
17.
|
Utilities and Services.
|
42
|
18.
|
Alterations.
|
46
|
19.
|
Repairs and Maintenance.
|
50
|
20.
|
Liens.
|
51
|
21.
|
Indemnification and Exculpation.
|
52
|
22.
|
Insurance; Waiver of Subrogation.
|
54
|
23.
|
Damage or Destruction.
|
56
|
24.
|
Eminent Domain.
|
58
|
25.
|
Defaults and Remedies
|
59
|
26.
|
Assignment or Subletting.
|
63
|
27.
|
Attorneys’ Fees
|
68
|
28.
|
Bankruptcy
|
68
|
29.
|
Definition of Landlord
|
69
|
30.
|
Estoppel Certificate.
|
69
|
31.
|
Joint and Several Obligations
|
69
|
32.
|
Limitation of Liability.
|
70
|
33.
|
Project Control by Landlord.
|
70
|
34.
|
Quiet Enjoyment
|
71
|
35.
|
Subordination, Non-Disturbance and Attornment.
|
71
|
36.
|
Surrender.
|
72
|
37.
|
Waiver and Modification
|
73
|
38.
|
Waiver of Jury Trial and Counterclaims
|
73
|
39.
|
Acknowledgment of Rent Commencement Date
|
73
|
40.
|
Hazardous Materials
|
73
|
41.
|
Early Termination Option
|
76
|
42.
|
End of Term
|
76
|
43.
|
Miscellaneous
|
77
|
410 and 420 De Minimis Variations
|
8
|
Completion Delay Period | 18 | |
410 and 420 Scope of Work
|
7
|
Condominium | 1 | |
410 and 420 Work
|
7
|
Condominium Units | 1 | |
410 Building
|
1
|
Confidentiality Agreement | 83 | |
410 Work
|
7
|
Connector Building | 1 | |
420 Building
|
1
|
Connector Building De Minimis Variations | 8 | |
420 Work
|
7
|
Connector Building Initial Plans | 7 | |
430 Building
|
1
|
Connector Building Scope of Work | 7 | |
430 Expansion Premises
|
32
|
Connector Building Work | 7 | |
430 Lease
|
35
|
Construction Plans | 10 | |
430 Occupied Premises Expiration Date
|
35
|
Consumer Price Index | 47 | |
440 Building
|
1
|
Contractor | 7 | |
440 Expansion Premises
|
32
|
CPI | 47 | |
444 Buildings
|
1
|
CPI Adjustment | 46 | |
460 Building
|
1
|
De Minimis Variations | 8 | |
AAA
|
84
|
Declaration | 1 | |
Accountant
|
30
|
Default | 59 | |
ADA
|
38
|
Defect Reporting Period | 14 | |
Additional Rent
|
26
|
Defects | 14 | |
Alterations
|
46
|
Disbursement Conditions | 21 | |
Alterations Consent
|
46
|
Disbursement Request | 22 | |
Alterations Management Fee
|
49
|
Documents | 74 | |
Alterations Threshold
|
46
|
Draft Design Development Plans | 9 | |
Applicable Laws
|
5
|
Early Access Date | 23 | |
Appraiser
|
79
|
Early Termination Date | 76 | |
Approved Budget
|
21, 34
|
Early Termination Option | 76 | |
Approved Design Development Plans
|
9
|
Effective Date | 7 | |
Approved Plans
|
34
|
Estimated Cost | 47 | |
Available Premises
|
80
|
Estimated Term Commencement Date | 4 | |
Base TI Allowance
|
19, 34
|
Excess Costs | 21 | |
Basic Annual Rent
|
26
|
Excluded Services | 42 | |
Basic Electric
|
44
|
Execution Date | 1 | |
BLS
|
47
|
Exempt Transfer | 63 | |
Broker
|
39
|
Existing Project | 1 | |
Buildings
|
3
|
Expansion Delivery Date | 33 | |
CAM Pool Charges
|
28
|
Expansion Notice | 32 | |
CCRs
|
78
|
Expansion Option | 32 | |
Certificate
|
88
|
Expansion Option Termination Date | 33 | |
Change
|
10
|
Expansion Premises | 32 | |
Change Request
|
10
|
Expansion Premises Basic Annual Rent | 25 | |
Claims
|
52
|
Expansion Premises Delivery Requirements | 33 | |
Code
|
60
|
|||
Common Area
|
2
|
|||
Completion Assurances
|
47
|
|||
Expansion Premises Tenant Improvement
|
34
|
Occupied 430 Premises | 35 | |
Expansion Rent Commencement Date
|
4
|
Offsite Materials | 20 | |
Expansion Scope of Work
|
33
|
Operating Expenses | 27 | |
Expansion TI Allowance
|
34
|
Option | 78 | |
Fair Market Value
|
79
|
Options | 78 | |
First Milestone Date
|
15
|
Other Costs | 20,34 | |
First Milestones
|
15
|
Outside Completion Date | 16 | |
Force Majeure
|
43
|
Overtime HVAC | 84 | |
Force Majeure and Unknown Conditions Delay Days
|
18
|
Permitted Changes | 12 | |
GAAP
|
30
|
Phase | 33, 34 | |
Governmental Authority
|
27
|
Phases | 3 | |
Hard Costs
|
17
|
PILOT Agreement | 86 | |
Hazardous Material
|
76
|
Plans and Specifications | 10 | |
Hazardous Materials List
|
74
|
Premises | 3 | |
Holdover Premises
|
39
|
Prime Rate | 29 | |
HVAC
|
84
|
Prior Owner | 1 | |
IDA
|
86
|
Project | 2 | |
IDA Premises
|
86
|
Project Parking Chart | 41 | |
Incurred TI Costs
|
20, 34
|
Project Site De Minimis Variations | 8 | |
Indemnified Party
|
53
|
Project Site Scope of Work | 7 | |
Indemnifying Party
|
53
|
Project Site Work | 7 | |
Independent Review
|
30
|
Property | 1 | |
Initial Basic Annual Rent
|
4
|
Property Management Fee | 29 | |
Initial Premises
|
1, 34
|
Public Inducements | 86 | |
Landlord
|
1, 69
|
Punchlist | 14 | |
Landlord Delay
|
24
|
Punchlist and Repair Self-Help Work | 15 | |
Landlord Parties
|
54
|
Punchlist Deadline | 14 | |
Landlord Provided Services
|
42
|
Punchlist Items | 13 | |
Landlord’s Building Systems and Structures
|
46
|
Purchase Agreement | 1 | |
Landlord’s HVAC Premises
|
84
|
Real Estate Tax Cap | 27 | |
Landlord’s Repair Estimate
|
56
|
Real Estate Taxes | 27 | |
Landlord’s Work
|
7, 33
|
Rent | 26 | |
Landlord’s Work Budget
|
7
|
Rent Commencement Date | 4 | |
Lease
|
1
|
Rent Commencement Deferral Days | 17 | |
Liability
|
53
|
Rentable Area | 32 | |
Major Subtenant
|
66
|
Retainage | 22 | |
Major Subtenant SNDA
|
66
|
ROFO | 82 | |
Major Work
|
47
|
ROFO Notice | 82 | |
Material Landlord Assistance
|
34
|
ROFO Period | 82 | |
Milestone Dates
|
15
|
ROFO Space | 82 | |
Minor Alterations
|
46
|
ROFR | 80 | |
Net Worth
|
66
|
ROFR Lease | 80 | |
Neutral Architect
|
13
|
ROFR Notice | 80 | |
ROFR Premises | 80 | |||
ROFR Response Period | 80 | |||
ROFR Termination Date | 80 | |||
Rooftop Equipment
|
39
|
Tenant Improvements | 19 | |
RPAPL
|
88
|
Tenant’s Affiliate | 63 | |
RPL
|
88
|
Tenant’s Personal Property | 48 | |
Rules and Regulations
|
41
|
Tenant’s Pro Rata Share | 26 | |
Schedule Restoration Plan
|
16
|
Term | 7 | |
Seasonal Items
|
13
|
Term Commencement Date | 19 | |
Second Milestone Date
|
15
|
Term Expiration Date | 5 | |
Self-Help Completion Work
|
16
|
TI Allowance | 20 | |
Self-Help Warning Notice
|
14
|
TI Costs | 20 | |
Self-Help Work
|
16
|
TI Disbursement Deadline | 22 | |
Signage
|
37
|
Transfer | 63 | |
SNDA
|
72
|
Transfer Conditions | 64 | |
Substantial Completion
|
13
|
Transfer Date | 63 | |
Substantially Complete
|
13
|
Transfer Notice | 63 | |
Tax Incentives
|
86
|
UBC | 75 | |
Tenant
|
1, 69
|
Unexcused Delay Days | 18 | |
Tenant Delay
|
23
|
Unknown Conditions | 5 | |
Tenant IDA Documentation
|
86
|
Utilities | 42 | |
Tenant IDA Sublease
|
86
|
Utility | 42 | |
Tenant IDA Subsublease
|
86
|
Work Letter | 19 | |
Address (Old Saw Mill River Road) or Building
|
Rentable Area
|
410
|
71,084
|
420
|
58,145
|
430
|
75,517
|
440
|
47,355
|
Connector Building
|
8,939
|
Definition or Provision
|
Means the Following
|
|
“
Premises
”
|
Each Phase, once delivered to Tenant in accordance with
Section 4.2
.
|
|
“
Buildings
”
|
410 Building, 420 Building, 430 Building, 440 Building and Connector Building, in each case to the extent any portion of the Premises is located therein
|
|
“
Phases
”
|
410 Building
420 Building
Connector Building
Each portion of Expansion Premises that is the subject of an Expansion Notice, per
Section 10.1
|
|
Approximate Rentable Area of Buildings
|
71,084 for 410 Building
58,145 for 420 Building
8,939 for Connector Building
72,517 for the 430 Building
47,355 for 440 Building
|
|
Approximate Rentable Area of Project as of the Term Commencement Date for the last Phase of the Initial Premises to be delivered to Tenant
|
258,040
|
|
Tenant’s Pro Rata Share of Buildings (as of the Term Commencement Date for the last Phase of the Initial Premises to be delivered to Tenant (and assuming that the Expansion Term Commencement Date has not then occurred for any Expansion Premises)
|
100% of 410 Building
100% of 420 Building
100% of Connector Building
0% of 430 Building
0% of 440 Building
|
Definition or Provision
|
Means the Following
|
Tenant’s approximate Pro Rata Share of the Project (as of the Term Commencement Date for the last Phase of the Initial Premises to be delivered to Tenant) (and assuming that the Expansion Term Commencement Date has not then occurred for any Expansion Premises)
|
53.55%
|
Phase
|
Total Annual
|
Total Monthly
|
410, 420 and Connector Buildings
|
$3,400,000
|
$283,333.33
|
Portion of Landlord’s Work
|
Estimated Term Commencement Date
|
410 Work
|
The 8 month anniversary of the Effective Date
|
Portion of Landlord’s Work
|
Estimated Term Commencement Date
|
420 Work
|
The 6 month anniversary of the Effective Date
|
Connector Building Work
|
The 11 month anniversary of the Effective Date
|
Project Site Work
|
The 11 month anniversary of the Effective Date
|
2.12 | Address for Rent Payment: | BMR-Ardsley Park LLC |
P.O. Box 51599 | ||
Los Angeles, California | ||
90051-8154 |
2.13 | Address for Notices to Landlord: | BMR-Ardsley Park LLC |
17190 Bernardo Center Drive | ||
San Diego, California 92128
|
||
Facsimile: (858) 485-9843 | ||
Attention: Vice President, Real Estate Counsel |
2.14 | Address for Notices to Tenant: |
Acorda Therapeutics, Inc. | ||
420 Old Saw Mill Road | ||
Ardsley, New York 10502 | ||
Attention: President and CEO, and | ||
Attention: Executive Vice President, General Counsel and
Corporate Secretary
|
Acorda Therapeutics, Inc. | ||
15 Skyline Drive, Suite 230 | ||
Hawthorne, New York 10532 | ||
Attention: President and CEO, and | ||
Attention: Executive Vice President, General Counsel and
Corporate Secretary
|
|
Exhibit A-1
|
Real Property Description
|
|
Exhibit A-2
|
Survey
|
|
Exhibit B
|
Initial Premises
|
|
Exhibit C
|
Project (including location of signage and parking)
|
|
Exhibit C-1
|
Main Street Enlarged Plan
|
|
Exhibit C-2
|
Location and Elevations for Tenant Signage
|
Exhibit D
|
Connector Building Scope of Work
|
|
Exhibit E
|
Connector Building Initial Plans
|
|
Exhibit F
|
410 and 420 Scope of Work
|
|
Exhibit G
|
Project Site Scope of Work
|
|
Exhibit H
|
List of Approved Contractors for the Performance of Landlord’s Work
|
|
Exhibit I
|
Landlord’s Work Budget
|
|
Exhibit J
|
Work Letter
|
|
Exhibit K
|
Acknowledgement of Term Commencement Date and Term Expiration Date
|
|
Exhibit L
|
Intentionally Deleted
|
|
Exhibit M
|
CAM Pools and Service Allocation Matrix
|
|
Exhibit N
|
Expansion Premises Delivery Requirements
|
|
Exhibit O
|
Rules and Regulations
|
|
Exhibit P
|
Project Parking Chart
|
|
Exhibit Q
|
Form of Estoppel Certificate
|
|
Exhibit R
|
Acknowledgement of Expansion Rent Commencement Date for Expansion Premises
|
|
Exhibit S
|
Title Policy with CCRs
|
|
Exhibit T
|
Landlord’s Diligence Reports
|
|
Exhibit U
|
Form of SNDA for Tenant
|
|
Exhibit V
|
Form of SNDA for Major Subtenant
|
(i)
|
Reasonably promptly after approval by Tenant of the design development plans and specifications for the Project Site Work in accordance with Section
4.2(c)
below, Landlord shall cause the Contractor with respect to the Project Site Work to commence and thereafter diligently prosecute the Project Site Work. Landlord shall diligently seek to complete such Project Site Work on or before the Estimated Term Commencement Date for the Project Site Work (as such date may be extended for Force Majeure (as such term is defined in
Section 16.2
), Unknown Conditions (as such term is defined in
Section 2.8)
, or Tenant Delay (as such term is defined in
Section 5.10(a)
). Landlord shall perform such Project Site Work substantially in conformity with the Project Site Scope of Work subject only to: (a) de minimis variations from the Project Site Scope of Work (the “
Project Site De Minimis Variations
”); (b) Changes approved by Landlord, as defined and pursuant to
Section 4.2(d)
; and (c) Permitted Changes made by Landlord, as defined and pursuant to
Section 4.2(f)
.
|
(ii)
|
Reasonably promptly after approval by Tenant of the design development plans and specifications for the 410 and 420 Work in accordance with Section
4.2(c)
below, Landlord shall cause the Contractor with respect to the 410 and 420 Work to commence and thereafter diligently prosecute the 410 and 420 Work. Landlord shall diligently seek to complete such 410 and 420 Work on or before the Estimated Term Commencement Date for the 410 Work and the 420 Work, respectively (as such date may be extended for, in each case, Tenant Delay)
.
Landlord shall perform such 410 and 420 Work substantially in conformity with the 410 and 420 Scope of Work subject only to: (a) de minimis variations from the 410 and 420 Scope of Work (the “
410
|
|
and 420 De Minimis Variations
"); (b) Changes approved by Landlord pursuant to Section 4.2(d); and (c) Permitted Changes made by Landlord.
|
(iii)
|
Reasonably promptly after the Plans and Specifications (as defined below) for the Connector Building have been approved by Landlord, Tenant and all required Governmental Authorities in accordance with
Sections 4.2(c)
below, and after the negotiation and execution of a construction contract with respect to the Connector Building Work, Landlord shall cause the Contractor with respect to the Connector Building Work to commence and thereafter diligently prosecute the Connector Building Work. Landlord shall diligently seek to complete such Connector Building Work on or before the Estimated Term Commencement Date for the Connector Building Work (as such date may be extended for Force Majeure, Unknown Conditions or Tenant Delay). Landlord shall perform such Connector Building Work substantially in conformity with the Connector Building Plans and Specifications subject only to: (a) de minimis variations from the Connector Building Plans and Specifications (the “
Connector
Building De Minimis Variations
” and, together with the 410 and 420 De Minimis Variations, and Project Site De Minimis Variations, collectively the “
De Minimis Variations
”); (b) Changes approved by Landlord pursuant to
Section 4.2(d)
; and (c) Permitted Changes made by Landlord.
|
Portion of Landlord’s Work
|
Number of Rent Commencement Deferral Days for each of the first 30 Unexcused Delay Days (Unexcused Delay Days 1-30):
|
Number of Rent Commencement Deferral Days for each of the second 30 Unexcused Delay Days (Unexcused Delay Days 31-60):
|
Number of Rent Commencement Deferral Days for each Unexcused Delay Day after the first 60 Unexcused Delay Days (Unexcused Delay Days 61 and greater):
|
410 Work
|
1 Day
|
2 Days
|
3 Days
|
420 Work
|
1 Day
|
2 Days
|
3 Days
|
Portion of Landlord’s Work
|
Amount of Rent abatement per day for days 1-30 of such failure:
|
Amount of Rent abatement per day for days 31-60 of such failure:
|
Amount of Rent abatement per day for days 61 onwards:
|
Connector Building Work
|
1 Day of Rent reasonably allocated by Landlord to the Connector Building Work
|
2 Days of Rent reasonably allocated by Landlord to the Connector Building Work
|
3 Days of Rent reasonably allocated by Landlord to the Connector Building Work
|
Project Site Work
|
1 Day of Rent reasonably allocated by Landlord to the Project Site Work
|
2 Days of Rent reasonably allocated by Landlord to the Project Site Work
|
3 Days of Rent reasonably allocated by Landlord to the Project Site Work
|
Expansion Rent Commencement Date Applicable Expansion Premises
|
Annual Base Rent per square foot of Rentable Area
|
Effective Date through the day immediately preceding 24 month anniversary of the Effective Date
|
$17.50
|
The 24 month anniversary of the Effective Date through the day immediately preceding the 36 month anniversary of the Effective Date
|
$18.50
|
The 36 month anniversary of the Effective Date through the day immediately preceding the 48 month anniversary of the Effective Date
|
$19.50
|
The 48 month anniversary of the Effective Date through the day immediately preceding the 60 month anniversary of the Effective Date
|
$20.50
|
On or after the 60 month anniversary of the Effective Date
|
$21.50
|
Expansion Premises
|
Rentable Area in Square Feet
|
440 Building (1
st
Floor)
|
21,950
|
440 Building (2
nd
Floor)
|
25,405
|
430 Building (1
st
Floor)
|
20,991
|
430 Building (2
nd
Floor)
|
26,148
|
430 Building (3
rd
Floor)
|
25,378
|
(h)
|
Failure
to
deliver an estoppel certificate in accordance with
Article 30
; or
|
(i)
|
Tenant’s
interest in this Lease is attached, executed upon or otherwise judicially seized and such action is not released within one hundred twenty (120) days of the action.
|
(j)
|
Such proposed transferee, assignee or sublessee’s use of the Premises shall be consistent with the Permitted Use, and such use shall not in Landlord’s reasonable determination materially increase the risk of
any discharge of Hazardous Materials;
|
(k)
|
Landlord shall not be bound by any provision of any agreement pertaining to the Transfer, except for Landlord’s written consent to the same;
|
(l)
|
Tenant shall deliver to Landlord one executed copy of any and all written instruments evidencing or relating to the Transfer;
|
(m)
|
Tenant shall pay all transfer and other taxes (including interest and penalties) assessed or payable, if any, with respect to any Transfer;
|
(n)
|
Landlord’s consent (or waiver of its rights) for any Transfer shall not waive Landlord’s right to consent to any later Transfer;
|
(o)
|
Tenant shall deliver to Landlord a list of Hazardous Materials (as defined in
Section 40.5
below), certified by the proposed transferee, assignee or sublessee to be true and correct, that the proposed transferee,
assignee or sublessee intends to use or store in the Premises. Additionally, Tenant shall deliver to Landlord, on or before the date any proposed transferee, assignee or sublessee takes occupancy of the
Premises, all of the items relating to Hazardous Materials of such proposed transferee, assignee or sublessee as described in
Section 40.2
;
|
(p)
|
The Transfer and any related construction, alterations, and occupancy shall comply with all Applicable Laws;
|
(q)
|
For any portion of the Premises that is used for laboratory purposes, the configuration and demising lines of any subleased space shall be commercially reasonable for laboratory space;
|
(r)
|
[intentionally deleted]; and
|
(s)
|
Landlord shall deliver a subordination, nondisturbance and attornment agreement in the form attached as
Exhibit V
(“Major Subtenant SNDA”) for any Major Subtenant (as defined below) so long as Tenant is
not in Default (and there is no uncured notice of default sent by Landlord to Tenant); the Rent Commencement Date has occurred; the sublease is in form and substance reasonably satisfactory to Landlord, the sublease conforms to the requirements under this Lease; the sublease does not impose on the Landlord any obligations that exceed Landlord’s obligations to Tenant under this Lease; and the Major Subtenant
simultaneously countersigns such Major Subtenant SNDA and delivers it to Landlord. A “Major Subtenant” means a subtenant that (i) a reasonable landlord would accept as a tenant for the proposed
sublease space (given the terms of the proposed sublease with such subtenant), and (ii) occupies at least two adjacent full floors within the Premises in accordance with the terms provided for in this Lease.
|
(f) (i)
|
Tenant may modify any Tenant IDA Documentation without the prior written consent of Landlord so long as the Tenant IDA Documentation as amended by such amendment or modification satisfies the requirements for such Tenant IDA Documentation set forth in
Section 53(e)
and does not increase Landlord’s obligations or decrease Landlord’s rights in any material respect.
|
(ii)
|
If, pursuant to this Lease or by agreement between the parties, the Premises are increased, decreased, or modified (including such changes as may be necessary to reflect Tenant’s exercise of the Expansion Premises options) then, at the Tenant’s option, the Tenant may chose to modify the Tenant IDA Documentation so as to increase, decrease or modify the IDA Premises to conform to the changes in the Premises and Landlord shall cooperate with Tenant in obtaining any required IDA consent to such change in the IDA Premises.
|
(iii)
|
If any portion of the Premises ceases to qualify as IDA Premises, then at the request of either party, the parties shall modify the Tenant IDA
|
TABLE OF CONTENTS
|
Page(s)
|
Article 1
|
DEFINITIONS
|
1
|
Article 2
|
DEVELOPMENT, REGULATORY AND COMMERCIALIZATION
|
14
|
|
2.1
|
Medtronic Disclosures and Technology Transfers
|
14
|
|
2.2
|
Development of Exclusive Products and Licensed Products
|
15
|
|
2.3
|
Regulatory Matters
|
16
|
|
2.4
|
Non-Compete
|
16
|
|
2.5
|
Performance; Subcontracting
|
16
|
|
2.6
|
Reports
|
16
|
|
2.7
|
Commercialization of Exclusive Products and Licensed Products
|
17
|
|
2.8
|
Diligence
|
17
|
Article 3
|
GRANT OF RIGHTS; ASSIGNMENT OF REGULATORY DOCUMENTATION
|
18
|
|
3.1
|
Grants to Acorda
|
18
|
|
3.2
|
Assignment of Regulatory Documentation and Product Data
|
19
|
|
3.3
|
Confirmatory Patent License
|
20
|
|
3.4
|
Loss of Exclusivity
|
20
|
Article 4
|
CONSIDERATION
|
21
|
|
4.1
|
License Fee
|
21
|
|
4.2
|
Milestone Payments
|
21
|
|
4.3
|
Royalties
|
23
|
|
4.4
|
Taxes
|
26
|
|
4.5
|
Mode of Payment
|
26
|
|
4.6
|
Interest on Late Payments
|
26
|
|
4.7
|
Financial Records
|
26
|
|
4.8
|
Audit
|
27
|
|
4.9
|
Audit Dispute
|
27
|
|
4.10
|
Confidentiality
|
27
|
Article 5
|
INTELLECTUAL PROPERTY
|
27
|
|
5.1
|
Ownership of Intellectual Property
|
27
|
|
5.2
|
Maintenance and Prosecution of Patents
|
28
|
|
5.3
|
Enforcement of Patents
|
30
|
|
5.4
|
Infringement Claims by Third Parties
|
31
|
|
5.5
|
Invalidity or Unenforceability Defenses or Actions
|
33
|
|
5.6
|
Product Trademarks
|
34
|
|
5.7
|
Covenant Regarding Patent Challenges
|
34
|
Article 6
|
RECALL
|
35
|
|
6.1
|
Notification and Recall
|
35
|
|
6.2
|
Recall Expenses
|
35
|
Article 7
|
CONFIDENTIALITY AND NON-DISCLOSURE
|
35
|
|
7.1
|
Confidentiality Obligations
|
35
|
|
7.2
|
Permitted Disclosures.
|
36
|
|
7.3
|
Use of Name.
|
37
|
|
7.4
|
Press Releases
|
38
|
|
7.5
|
Publications
|
38
|
|
7.6
|
Return or Destruction of Confidential Information
|
38
|
Article 8
|
REPRESENTATIONS AND WARRANTIES
|
38
|
|
8.1
|
Representations, Warranties and Covenants
|
38
|
|
8.2
|
Additional Representations, Warranties and Covenants of Acorda
|
39
|
|
8.3
|
Additional Representations, Warranties and Covenants of Medtronic
|
39
|
|
8.4 |
DISCLAIMER OF WARRANTY
|
42 |
Article 9
|
INDEMNITY
|
42
|
|
9.1
|
Indemnification of Medtronic
|
42
|
|
9.2
|
Indemnification of Acorda
|
42
|
|
9.3
|
Notice of Claim
|
42
|
|
9.4
|
Control of Defense
|
43
|
|
9.5
|
Limitation on Damages and Liability
|
44
|
|
9.6
|
Insurance
|
45
|
Article 10
|
TERM AND TERMINATION
|
45
|
|
10.1
|
Term
|
45
|
|
10.2
|
Termination of this Agreement in its Entirety for Material Breach
|
45
|
|
10.3
|
Termination by Acorda
|
45
|
|
10.4
|
Termination Upon Insolvency
|
45
|
|
10.5
|
Rights in Bankruptcy
|
46
|
|
10.6
|
Consequences of Termination
|
46
|
|
10.7
|
Accrued Rights; Surviving Obligations
|
47
|
Article 11
|
MISCELLANEOUS
|
47
|
|
11.1
|
Force Majeure
|
47
|
|
11.2
|
Provision of Privileged Information
|
48
|
|
11.3
|
Export Control
|
48
|
|
11.4
|
Assignment
|
48
|
|
11.5
|
Severability
|
48
|
|
11.6
|
Governing Law, Jurisdiction, Venue and Service
|
49
|
|
11.7
|
Dispute Resolution
|
49
|
|
11.8
|
Notices
|
50
|
|
11.9
|
Entire Agreement; Amendments
|
51
|
|
11.10
|
English Language
|
51
|
|
11.11
|
Equitable Relief
|
51
|
|
11.12
|
Waiver and Non-Exclusion of Remedies
|
52
|
|
11.13
|
No Benefit to Third Parties
|
52
|
|
11.14
|
Further Assurance
|
52
|
|
11.15
|
Relationship of the Parties
|
52
|
|
11.16
|
Counterparts
|
52
|
|
11.17
|
References
|
52
|
|
11.18
|
Construction
|
52
|
Schedule 1.8
|
Assigned Trademarks
|
Schedule 1.108
|
Scheduled Patents
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
Acorda Therapeutics, Inc.
|
Medtronic, Inc.
|
|||||||
By:
|
/s/Ron Cohen
|
By:
|
/s/Chad Cornell
|
|||||
Name: | Ron Cohen | Name: | Chad Cornell | |||||
Title: | President & CEO | Title: | V.P. Corp. Dev. | |||||
|
Warsaw Orthopedic, Inc.
|
|||||||
|
By:
|
/s/Gary L. Ellis
|
||||||
Name: | Gary L. Ellis | |||||||
Title: | Vice President | |||||||
Mark
|
Serial Number
|
Filing Date
|
Status
|
|
Neuroshield
|
77344742
|
December 5, 2007
|
Allowed
|
Medtronic File No.
|
Country
|
Application No.
|
Filing Date
|
Status
|
Title
|
Party with Primary Prosecution Rights
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
[***]
|
1.
|
I have reviewed this quarterly report on Form 10-Q of Acorda Therapeutics, Inc.;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
|
a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
|
b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
|
c)
|
Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
|
d)
|
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
|
5.
|
The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
|
|
a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
|
|
b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
|
/s/
Ron Cohen
|
|
Ron Cohen
Chief Executive Officer
(Principal Executive Officer)
|
1.
|
I have reviewed this quarterly report on Form 10-Q of Acorda Therapeutics, Inc.;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
|
a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
|
b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
|
c)
|
Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
|
d)
|
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
|
5.
|
The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
|
|
a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
|
|
b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
|
/s/
David Lawrence
|
|
David Lawrence
Chief Financial Officer
(Principal Financial Officer)
|
|
(1)
|
The Report fully complies with the requirements of Section 13(a) or 15(d), as applicable, of the Securities Exchange Act of 1934, as amended; and
|
|
(2)
|
The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.
|
|
(1)
|
The Report fully complies with the requirements of Section 13(a) or 15(d), as applicable, of the Securities Exchange Act of 1934, as amended; and
|
|
(2)
|
The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.
|
|
/
s
/ DAVID LAWRENCE
DAVID LAWRENCE
Chief Financial Officer
(Principal Financial Officer)
August 8, 2011
|