Company: MBIO
Filing Date: 2025-04-01
Form Type: 424B3
Source: 0001104659-25-030657
Chunk: 97

Company: MUSTANG BIO, INC.
Filing Date: 2025-04-01
Form: 424B3
Chunk 97
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 under the agreements. Such an occurrence
could materially and adversely affect the value of a product candidate being developed under any such agreement or could restrict our
drug discovery activities. Termination of these agreements or reduction or elimination of our rights under these agreements may result
in our having to negotiate new or reinstated agreements with less favorable terms, or cause us to lose our rights under these agreements,
including our rights to important intellectual property or technology.

We may be subject to claims that our employees and/or consultants have wrongfully used or disclosed to us alleged trade secrets of their former employers or other clients.

As is common in the biopharmaceutical industry,
we rely on employees and consultants to assist in the development of product candidates, many of whom were previously employed at, or
may have previously been or are currently providing consulting services to, other biopharmaceutical companies, including our competitors
or potential competitors. We may become subject to claims related to whether these individuals have inadvertently or otherwise used, disclosed
or misappropriated trade secrets or other proprietary information of their former employers or their former or current clients. Litigation
may be necessary to defend against these claims. Even if we are successful in defending these claims, litigation could result in substantial
costs and be a distraction to management and/or the employees or consultants that are implicated.

If we are unable to protect the confidentiality of our trade secrets, our business and competitive position would be harmed.

In addition to seeking patent protection for our
product candidates or any future product candidate, we also rely on trade secrets, including unpatented know-how, technology and other
proprietary information, to maintain our competitive position, particularly where we do not

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believe patent protection is appropriate or obtainable.
However, trade secrets are difficult to protect. We limit disclosure of such trade secrets where possible but we also seek to protect
these trade secrets, in part, by entering into non-disclosure and confidentiality agreements with parties who do have access to them,
such as our employees, our licensors, corporate collaborators, outside scientific collaborators, contract manufacturers, consultants,
advisors and other third parties. We also enter into confidentiality and invention or patent assignment agreements with our employees
and consultants. Despite these efforts, any of these parties may breach the agreements and may unintentionally or willfully disclose our
proprietary information, including our trade secrets, and we may not be able to obtain adequate remedies for such breaches. Enforcing
a claim that