Form of Employee Proprietary Information and Inventions Agreement



  
 Exhibit 10.15

 AMBIT BIOSCIENCES CORPORATION 

EMPLOYEE PROPRIETARY INFORMATION 
 AND INVENTIONS AGREEMENT 
 In consideration of my employment or continued
employment by AMBIT BIOSCIENCES CORPORATION (the “Company”), and the compensation now and hereafter paid to me, I hereby agree as follows: 

 

 1. NONDISCLOSURE 
 1.1 Recognition of Company’s Rights; Nondisclosure. At all times during my employment and thereafter, I will hold in strictest confidence and will not disclose, use, lecture upon or publish
any of the Company’s Proprietary Information (defined below), except as such disclosure, use or publication may be required in connection with my work for the Company, or unless an officer of the Company expressly authorizes such in writing. I
will obtain Company’s written approval before publishing or submitting for publication any material (written, verbal, or otherwise) that relates to my work at Company and/or incorporates any Proprietary Information. I hereby assign to the
Company any rights I may have or acquire in such Proprietary Information and recognize that all Proprietary Information shall be the sole property of the Company and its assigns. I have been informed and acknowledge that the unauthorized taking of
the Company’s trade secrets could result in a civil liability under California Civil Code Section 3426, and that, if willful, could result in an award for double the amount of the Company’s damages and attorneys’ fees; and is a
crime under California Penal Code Section 444(c), punishable by imprisonment for a time not exceeding one (1) year, or by a fine not exceeding five thousand dollars ($5,000), or by both. 

1.2 Proprietary Information. The term “Proprietary Information” shall mean any and all confidential and/or proprietary knowledge,
data or information of the Company. By way of illustration but not limitation, “Proprietary Information” includes: (a) chemical compounds, building blocks, chemical libraries, reaction protocols for chemical libraries, chemical
structures, chemical design and model relationship data, chemical databases, assays, samples, media and other biological materials, procedures and formulations for producing any such materials, products, processes, ideas, know-how, trade secrets,
drawings, inventions, improvements, formulas, equations, methods, developmental or experimental work, research or clinical data, discoveries, developments, designs, techniques, instruments, devices, computer software and hardware (collectively,
“Inventions”); and (b) information regarding research, development, new service



 offerings or products, marketing and selling, business plans, business methods, budgets, finances,
licensing, collaboration and development arrangements, prices and costs, buying habits and practices, contact and mailing lists and databases, vendors, customers and clients, and potential business opportunities; and (c) information regarding
the names, addresses, identities, skills and compensation of employees, independent contractors and consultants of the Company and its affiliates and (d) any other information regarding the Company, its affiliates and their businesses that the
Company and its affiliates treat in a confidential manner and is not readily available to the public. Notwithstanding the foregoing, it is understood that, at all such times, I am free to use information which is generally known in the trade or
industry, which is not gained as result of a breach of this Agreement, and my own skill, knowledge, know-how and experience to whatever extent and in whichever way I wish. 
 1.3 Third Party Information. I understand, in addition, that the Company has received and in the future will receive from third parties confidential or proprietary information (“Third Party
Information”) subject to a duty on the Company’s part to maintain the confidentiality of such information and to use it only for certain limited purposes. During the term of my employment and thereafter, I will hold Third Party
Information in the strictest confidence and will not disclose to anyone (other than Company personnel who need to know such information in connection with their work for the Company) or use, except in connection with my work for the Company, Third
Party Information unless expressly authorized by an officer of the Company in writing. 
 1.4 No Improper Use of Information of Prior
Employers and Others. During my employment by the Company I will not improperly use or disclose any confidential information or trade secrets, if any, of any former employer or any other person to whom I have an obligation of confidentiality,
and I will not bring onto the premises of the Company any unpublished documents or any property belonging to any former employer or any other person to whom I have an obligation of confidentiality unless consented to in writing by that former
employer or person. I will use in the performance of my duties only information which is generally known and used by persons with 











 
training and experience comparable to my own, which is common knowledge in the industry or otherwise legally in the public domain, or which is otherwise provided or developed by the Company.

 2. ASSIGNMENT OF INVENTIONS. 
 2.1 Proprietary Rights. The term “Proprietary Rights” shall mean all trade secret, patent, copyright, mask work and other intellectual property rights throughout the world.

 2.2 Prior Inventions. Inventions, if any, patented or unpatented, which I made prior to the commencement of my employment with the
Company are excluded from the scope of this Agreement. To preclude any possible uncertainty, I have set forth on Exhibit B (Previous Inventions) attached hereto a complete list of all Inventions that I have, alone or jointly with others,
conceived, developed or reduced to practice or caused to be conceived, developed or reduced to practice prior to the commencement of my employment with the Company, that I consider to be my property or the property of third parties and that I wish
to have excluded from the scope of this Agreement (collectively referred to as “Prior Inventions”). If disclosure of any such Prior Invention would cause me to violate any prior confidentiality agreement, I understand that I am not
to list such Prior Inventions in Exhibit B but am only to disclose a cursory name for each such invention, a listing of the party(ies) to whom it belongs and the fact that full disclosure as to such inventions has not been made for that
reason. A space is provided on Exhibit B for such purpose. If no such disclosure is attached, I represent that there are no Prior Inventions. If, in the course of my employment with the Company, I incorporate a Prior Invention into a
Company product, process or machine, the Company is hereby granted and shall have a nonexclusive, royalty-free, irrevocable, perpetual, worldwide license (with rights to sublicense through multiple tiers of sublicensees) to make, have made, modify,
use and sell such Prior Invention. Notwithstanding the foregoing, I agree that I will not incorporate, or permit to be incorporated, Prior Inventions in any Company Inventions without the Company’s prior written consent. 

2.3 Assignment of Inventions. Subject to Sections 2.4, and 2.6, I hereby assign and agree to assign in the future (when any such Inventions
or Proprietary Rights are first reduced to practice or first fixed in a tangible medium, as applicable) to the Company all my right, title and interest in and to any and all Inventions (and all Proprietary Rights with



 respect thereto) whether or not patentable or registrable under copyright or similar statutes, made or
conceived or reduced to practice or learned by me, either alone or jointly with others, during the period of my employment with the Company. Inventions assigned to the Company, or to a third party as directed by the Company pursuant to this
Section 2, are hereinafter referred to as “Company Inventions.” 
 2.4 Nonassignable Inventions. This Agreement
does not apply to an Invention which qualifies fully as a nonassignable Invention under Section 2870 of the California Labor Code (hereinafter “Section 2870”). I have reviewed the notification on Exhibit A
(Limited Exclusion Notification) and agree that my signature acknowledges receipt of the notification. 
 2.5 Obligation to Keep Company
Informed. During the period of my employment and for six (6) months after termination of my employment with the Company, I will promptly disclose to the Company fully and in writing all Inventions authored, conceived or reduced to practice
by me, either alone or jointly with others. In addition, I will promptly disclose to the Company all patent applications filed by me or on my behalf within a year after termination of employment. At the time of each such disclosure, I will advise
the Company in writing of any Inventions that I believe fully qualify for protection under Section 2870; and I will at that time provide to the Company in writing all evidence necessary to substantiate that belief. The Company will keep in
confidence and will not use for any purpose or disclose to third parties without my consent any confidential information disclosed in writing to the Company pursuant to this Agreement relating to Inventions that qualify fully for protection under
the provisions of Section 2870. I will preserve the confidentiality of any Invention that does not fully qualify for protection under Section 2870. 
 2.6 Government or Third Party. I also agree to assign all my right, title and interest in and to any particular Company Invention to a third party, including without limitation the United States,
as directed by the Company. 
 2.7 Works for Hire. I acknowledge that all original works of authorship which are made by me (solely or
jointly with others) within the scope of my employment and which are protectable by copyright are “works made for hire,” pursuant to United States Copyright Act (17 U.S.C., Section 101). 

2.8 Enforcement of Proprietary Rights. I will assist the Company in every proper way to obtain, and





  
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from time to time enforce, United States and foreign Proprietary Rights relating to Company Inventions in any and all countries. To that end I will execute, verify and deliver such documents and
perform such other acts (including appearances as a witness) as the Company may reasonably request for use in applying for, obtaining, perfecting, evidencing, sustaining and enforcing such Proprietary Rights and the assignment thereof. In addition,
I will execute, verify and deliver assignments of such Proprietary Rights to the Company or its designee. My obligation to assist the Company with respect to Proprietary Rights relating to such Company Inventions in any and all countries shall
continue beyond the termination of my employment, but the Company shall compensate me at a reasonable rate after my termination for the time actually spent by me at the Company’s request on such assistance. 

In the event the Company is unable for any reason, after reasonable effort, to secure my signature on any document needed in connection with the actions
specified in the preceding paragraph, I hereby irrevocably designate and appoint the Company and its duly authorized officers and agents as my agent and attorney in fact, which appointment is coupled with an interest, to act for and in my behalf to
execute, verify and file any such documents and to do all other lawfully permitted acts to further the purposes of the preceding paragraph with the same legal force and effect as if executed by me. I hereby waive and quitclaim to the Company any and
all claims, of any nature whatsoever, which I now or may hereafter have for infringement of any Proprietary Rights assigned hereunder to the Company. 
 3. RECORDS. I agree to keep and maintain adequate and current records (in the form of notes, sketches, drawings and in any other form that may be required by the Company) of all
Proprietary Information developed by me and all Inventions made by me during the period of my employment at the Company, which records shall be available to and remain the sole property of the Company at all times. 

4. ADDITIONAL ACTIVITIES. I agree that during the period of my employment by the Company I will not, without the
Company’s express written consent, engage in any employment or business activity which is competitive with, or would otherwise conflict with, my employment by the Company. I agree to adhere to the Conflict of Interest Guidelines attached hereto
as Exhibit D. I agree further that for the period of my employment by the Company and for one (l) year after the date of termination of my employment by the Company I will not, either directly or through others,



 solicit or attempt to solicit any employee, independent contractor or consultant of the company to
terminate his or her relationship with the Company in order to become an employee, consultant or independent contractor to or for any other person or entity. 
 5. NO CONFLICTING OBLIGATION. I represent that my performance of all the terms of this Agreement and as an employee of the Company does not and will not
breach any agreement to keep in confidence information acquired by me in confidence or in trust prior to my employment by the Company. I have not entered into, and I agree I will not enter into, any agreement either written or oral in conflict
herewith. 
 6. RETURN OF COMPANY DOCUMENTS. When I leave the employ of the
Company, I will deliver to the Company any and all drawings, notes, memoranda, specifications, devices, formulas, and documents, together with all copies thereof, and any other material containing or disclosing any Company Inventions, Third Party
Information or Proprietary Information of the Company. I further agree that any property situated on the Company’s premises and owned by the Company, including disks and other storage media, filing cabinets or other work areas, is subject to
inspection by Company personnel at any time with or without notice. Prior to leaving, I will cooperate with the Company in completing and signing the Company’s “Termination Certification” attached hereto as Exhibit C.

 7. LEGAL AND EQUITABLE REMEDIES. Because my services are personal and
unique and because I may have access to and become acquainted with the Proprietary Information of the Company, the Company shall have the right to enforce this Agreement and any of its provisions by injunction, specific performance or other
equitable relief, without bond and without prejudice to any other rights and remedies that the Company may have for a breach of this Agreement. 

8. NOTICES. Any notices required or permitted hereunder shall be given to the appropriate party at the address specified below or
at such other address as the party shall specify in writing. Such notice shall be deemed given upon personal delivery to the appropriate address or if sent by certified or registered mail, three (3) days after the date of mailing. 

9. NOTIFICATION OF NEW EMPLOYER. In the event that I leave the employ of the Company,
I hereby consent to the notification of my new employer of my rights and obligations under this Agreement. 




  
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 10. GENERAL
PROVISIONS. 
 10.1 Governing Law; Consent to Personal Jurisdiction. This Agreement will be governed by and construed
according to the laws of the State of California, as such laws are applied to agreements entered into and to be performed entirely within California between California residents. I hereby expressly consent to the personal jurisdiction of the state
and federal courts located in San Diego County, California for any lawsuit filed there against me by Company arising from or related to this Agreement. 
 10.2 Severability. In case any one or more of the provisions contained in this Agreement shall, for any reason, be held to be invalid, illegal or unenforceable in any respect, such invalidity,
illegality or unenforceability shall not affect the other provisions of this Agreement, and this Agreement shall be construed as if such invalid, illegal or unenforceable provision had never been contained herein. If moreover, any one or more of the
provisions contained in this Agreement shall for any reason be held to be excessively broad as to duration, geographical scope, activity or subject, it shall be construed by limiting and reducing it, so as to be enforceable to the extent compatible
with the applicable law as it shall then appear. 
 10.3 Successors and Assigns. This Agreement will be binding upon my heirs, executors,
administrators and other legal representatives and will be for the benefit of the Company, its successors, and its assigns. 
 10.4
Survival. The provisions of this Agreement shall survive the termination of my employment and the assignment of this Agreement by the Company to any successor in interest or other assignee. 

10.5 Employment. I agree and understand that nothing in this Agreement shall confer any right with respect to continuation of employment by the
Company, nor shall it interfere in any way with my right or the Company’s right to terminate my employment at any time, with or without cause. 
 10.6 Waiver. No waiver by the Company of any breach of this Agreement shall be a waiver of any preceding or succeeding breach. No waiver by the Company of any right under this Agreement shall be
construed as a waiver of any other right. The Company shall not be required to give notice to enforce strict adherence to all terms of this Agreement.



 10.7 Entire Agreement. The obligations pursuant to Sections 1 and 2 of this Agreement shall
apply to any time during which I was previously employed, or am in the future employed, by the Company as a consultant if no other agreement governs nondisclosure and assignment of inventions during such period. This Agreement is the final, complete
and exclusive agreement of the parties with respect to the subject matter hereof and supersedes and merges all prior discussions between us. No modification of or amendment to this Agreement, nor any waiver of any rights under this Agreement, will
be effective unless in writing and signed by the party to be charged. Any subsequent change or changes in my duties, salary or compensation will not affect the validity or scope of this Agreement. 

        This Agreement shall be effective as of the first day of my employment with the Company, namely:
                    , 2010. 

        I HAVE READ THIS AGREEMENT
CAREFULLY AND UNDERSTAND ITS TERMS. I HAVE COMPLETELY FILLED OUT EXHIBIT B TO
THIS AGREEMENT. 
  

					
	Dated:	  	  
	  	


			
		
	By:	  	  

	
	ACCEPTED AND AGREED TO:
	
	AMBIT BIOSCIENCES CORPORATION
		
	By:	  	  

		
	Title:	  	  



			
		
	Address:	  	4215 Sorrento Valley Blvd.
		  	San Diego, CA 92121


					
			
	Dated:	  	  
	  	





  
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EXHIBIT A 
 LIMITED EXCLUSION NOTIFICATION 
 THIS IS
TO NOTIFY you in accordance with Section 2872 of the California Labor Code that the foregoing Agreement between you and the Company does not require you to assign or offer to assign to the Company any invention
that you developed entirely on your own time without using the Company’s equipment, supplies, facilities or trade secret information except for those inventions that either: 

 

	 	1.	Relate at the time of conception or reduction to practice of the invention to the Company’s business, or actual or demonstrably anticipated research or
development of the Company; or 

  

	 	2.	Result from any work performed by you for the Company. 

 To the extent a provision in the foregoing Agreement purports to require you to assign an invention otherwise excluded from the preceding paragraph, the provision is against the public policy of this
state and is unenforceable. 
 This limited exclusion does not apply to any patent or invention covered by a contract between
the Company and the United States or any of its agencies requiring full title to such patent or invention to be in the United States. 
 I ACKNOWLEDGE RECEIPT of a copy of this notification. 
  

			
	  

		
	Date:	 	  




 

			
	WITNESSED BY:
		
	 By:
	 	  

		
	 Print Name:
	 	  









  

EXHIBIT B 
  

	TO:	Ambit Biosciences Corporation 

  

	FROM:	

  

	DATE:	                     , 2010


  

	SUBJECT:	Previous Inventions 

 1. Except as
listed in Section 2 below, the following is a complete list of all inventions or improvements relevant to the subject matter of my employment by Ambit Biosciences Corporation (the “Company”) that have been made or conceived or
first reduced to practice by me alone or jointly with others prior to my engagement by the Company: 
  

	 	 ̈	No inventions or improvements. 

  

	 	 ̈	See below: 


	
	
	  

	
	  

	
	  



 

	 	 ̈	Additional sheets attached. 

 2. Due to a
prior confidentiality agreement, I cannot complete the disclosure under Section 1 above with respect to inventions or improvements generally listed below, the proprietary rights and duty of confidentiality with respect to which I owe to the
following party(ies): 
  

							
	 	  	Invention or Improvement	  	Party(ies)	  	Relationship
				
	1.	  	  
	  	  
	  	  

				
	2.	  	  
	  	  
	  	  

				
	3.	  	  
	  	  
	  	  



 

	 	 ̈	Additional sheets attached. 

  

							
	Date:                     	 		 	
                    EMPLOYEE

				
		 		 	By:	 	  



  
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EXHIBIT C 
 TERMINATION CERTIFICATION 
 This is to certify that I do not have in my
possession, nor have I failed to return, any devices, records, data, notes, reports, proposals, lists, correspondence, specifications, drawings, blueprints, sketches, materials, equipment, other documents or property, or reproductions of any
aforementioned items belonging to the Company. 
 I further certify that I have complied with all the terms of the
Company’s Employee Proprietary Information and Inventions Agreement signed by me, including the reporting of any inventions and original works of authorship (as defined therein), conceived or made by me (solely or jointly with others) covered
by that agreement. 
 I further agree that, in compliance with the Employee Proprietary Information and Inventions Agreement, I
will preserve as confidential all trade secrets, confidential knowledge, data or other proprietary information relating to products, processes, know-how, designs, formulas, developmental or experimental work, data bases, other original works of
authorship, customer lists, business plans, financial information or other subject matter pertaining to any business of the Company or any of its employees, clients, consultants or licensees. 

I further agree that for twelve (12) months from this date, I will not hire any employees of the Company and I will not solicit,
induce, recruit or encourage any of the Company’s employees to leave their employment. 
  

							
	Date:                     	 		 	
                    EMPLOYEE

				
		 		 	By:	 	  



  
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EXHIBIT D 
 AMBIT BIOSCIENCES 
 CONFLICT OF INTEREST GUIDELINES 

It is the policy of Ambit Biosciences to conduct its affairs in strict compliance with the letter and spirit of the law and to adhere to the highest
principles of business ethics. Accordingly, all officers, employees and independent contractors must avoid activities which are in conflict, or give the appearance of being in conflict, with these principles and with the interests of the Company.
The following are potentially compromising situations which must be avoided. Any exceptions must be reported to the CEO and written approval for continuation must be obtained. 
 1. Revealing confidential information to outsiders or misusing confidential information. Unauthorized divulging of information is a violation of this policy whether or not for personal gain and
whether or not harm to the Company is intended. (The Employee Proprietary Information and Inventions Agreement elaborates on this principle and is a binding agreement.) 
 2. Accepting or offering substantial gifts, excessive entertainment, favors or payments which may be deemed to constitute undue influence or otherwise be improper or embarrassing to the Company.

 3. Participating in civic or professional organizations that might involve divulging confidential information of the Company.

 4. Initiating or approving personnel actions affecting reward or punishment of employees or applicants where there is a family
relationship or appears to be a personal or social involvement. 
 5. Initiating or approving any form of personal or social harassment
of employees. 
 6. Investing or holding outside directorship in suppliers, customers, or competing companies, including financial
speculations, where such investment or directorship might influence in any manner a decision or course of action of the Company. 
 7.
Borrowing from or lending to employees, customers or suppliers. 
 8. Acquiring real estate of interest to the Company. 

9. Improperly using or disclosing to the Company any proprietary information or trade secrets of any former or concurrent employer or other person
or entity with whom obligations of confidentiality exist. 
 10. Unlawfully discussing prices, costs, customers, sales or markets with
competing companies or their employees. 
 11. Making any unlawful agreement with distributors with respect to prices. 

12. Improperly using or authorizing the use of any inventions which are the subject of patent claims of any other person or entity. 

13. Engaging in any conduct which is not in the best interest of the Company. 
 Each officer, employee and independent contractor must take every necessary action to ensure compliance with these guidelines and to bring problem areas to the attention of higher management for review.
Violations of this conflict of interest policy may result in discharge without warning. 

  
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