Company: APM
Filing Date: 2025-04-30
Form Type: 20-F
Source: 0001213900-25-037669
Chunk: 36

Company: Aptorum Group Ltd
Filing Date: 2025-04-30
Form: 20-F
Item: Item 3
Chunk 36
---
 other fees, as well as obligations to pursue commercialization with
due diligence. Specifically, a number of our license agreements also require us to meet development timelines in order to maintain the
related license(s). In spite of our efforts, our licensors might conclude that we have materially breached our obligations under such
license agreements and might therefore seek to terminate the license agreements. If one of our licensors, despite our efforts, were to
be successful in terminating its agreement with us, we would not be able to continue to develop, manufacture or market any drug candidate
under that license agreements, and we could face claims for monetary damages or other penalties under that agreement. Such an occurrence
would diminish or eliminate the value of that project to our Company, even if we are able to negotiate new or reinstated agreements, which
may have less favorable terms. Depending on the importance of the IP and the related project, any such development could have a material
adverse effect on our competitive position, business, financial conditions, results of operations, and prospects.

Moreover, disputes may arise
regarding intellectual property subject to a licensing agreement, including:

  the scope of rights granted under the license agreement and other interpretation-related issues;                                                    
  the extent to which our technology and processes infringe on intellectual property of the licensor that is not subject to the licensing agreement;  

  the sublicensing of patent and other rights under our collaborative development relationships;                  
  our diligence obligations under the license agreement and what activities satisfy those diligence obligations;  

  the inventorship and ownership of inventions and know-how resulting from the joint creation or use of intellectual property by our licensors and us and our partners; and  
  the priority of invention of patented technology.                                                                                                                          

In addition, the agreements
under which we currently license intellectual property or technology from other parties are complex, and certain provisions in such agreements
may be susceptible to multiple interpretations. The resolution of any contract interpretation disagreement that may arise could narrow
what we believe to be the scope of our rights to the relevant intellectual property or technology, or increase what we believe to be our
financial or other obligations under the relevant agreement, either of which (depending on the importance of the IP and the related project)
could have a material adverse effect on our business, financial condition, results of operations, and prospects. Moreover, if disputes
over intellectual property that we have licensed prevent or impair our ability to maintain our current licensing arrangement for a project
on commercially acceptable terms, we may be unable to successfully develop and commercial