Company: CDT
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0001641172-25-001246
Chunk: 30

Company: CDT Equity Inc.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 1A
Chunk 30
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 or
lapse of a patent or patent application include failure to respond to official actions within prescribed time limits, non-payment of
fees, and failure to properly legalize and submit formal documents. If we or our licensors fail to maintain the patents and patent applications
covering our clinical assets, our competitors might be able to enter the market, which would have an adverse effect on our business.

If
we fail to comply with our obligations under our intellectual property license agreements, we could lose license rights that are important
to our business.

We
are a party to certain license agreements that impose various diligence, milestone, royalty, insurance, and other obligations on us.
If we fail to comply with these obligations, the respective licensors may have the right to terminate the license, in which event we
may not be able to develop or market the affected clinical asset. Our business strategy depends on our ability to commercialize our
clinical assets and our ability to enter into license agreements relating to such clinical assets is critical to the success of our
operations. The loss of such rights could materially adversely affect our business, financial condition, operating results, and
prospects. For more information about these license arrangements, see “Business — Principal Strategic Partnerships.”

If
we are sued for infringing intellectual property rights of third parties, it will be costly and time-consuming, and an unfavorable outcome
in that litigation could have a material adverse effect on our business.

Our
commercial success depends upon its ability to develop, manufacture, market, and sell our clinical assets and use our proprietary technologies
without infringing the proprietary rights of third parties. We cannot guarantee that marketing and selling such candidates and using
such technologies will not infringe existing or future patents. Numerous U.S. and foreign issued patents and pending patent applications
owned by third parties exist in the fields relating to our clinical assets. As the biotechnology and pharmaceutical industries expand
and more patents are issued, the risk increases that others may assert that our clinical assets, technologies, or methods of delivery
or use infringe their patent rights. Moreover, it is not always clear to industry participants, including us, which patents cover various
drugs, biologics, drug delivery systems, or their methods of use, and which of these patents may be valid and enforceable. Thus, because
of the large number of patents issued and patent applications filed in our fields, there may be a risk that third parties may allege
they have patent rights encompassing our clinical assets, technologies, or methods.