Exhibit 10.37





 


AMENDMENT No 4 to MASTER SERVICES AGREEMENT


 


This Amendment, dated as of March 5, 2014
(the “Amendment Effective Date”) to that certain Master Services Agreement dated as of March 31, 2009 (the “Original
Agreement”), as amended by Amendment No 1 dated as of July 27, 2011 (the “First Amendment”), Amendment No 2 dated
as of March 7, 2013 (the “Second Amendment”) Amendment No 3 dated as of October 29, 2013 (the “Third Amendment”
and, together with the Original Agreement, the First Amendment and the Second Amendment, the “Agreement”), is between
Cadila Pharmaceuticals Limited (“Cadila”), and Novavax, Inc. (“Novavax”).


 


WHEREAS the parties to the Original
Agreement initially agreed that Novavax would guarantee its use of Services for the initial three (3) years of the Term;


 


WHEREAS pursuant to the terms of
the First Amendment, the parties amended the Original Agreement to, among other things, extend the period of use of Services for
an additional one (1) year to March 31, 2013;


 


WHEREAS pursuant to the terms of
the Second Amendment, the parties amended the Original Agreement to, among other things, extend the period of use of Services for
an additional one (1) year to March 31, 2014;


 


WHEREAS the parties now wish to
extend the period of time during which Novavax would guarantee its use of Services an additional one (1) year to March 31, 2015;


 


Now therefore, the parties hereto agree
as follows:


 


The second paragraph of Section 4 entitled
“Payment by Novavax; Guaranty of Services” is deleted in its entirety and replaced with the following new second
paragraph:


 


It is the intent of the parties that, during
the first six (6) years of the term of this Agreement (the “Services Period”), Novavax will have engaged Cadila to
perform Services hereunder that will in the aggregate equal $7.5 million in fees paid to Cadila. If, at the end of the Services
Period, the Services Amount (defined below) does not equal or exceed $7.5 million, then Novavax shall pay Cadila an amount (the
“Final Amount”) equal to the sum of (a) the portion of the Shortfall Amount that is less than or equal to $2.0 million,
plus (b) the product of fifty percent (50%) times the portion, if any, of the Shortfall Amount that exceeds $2.0 million. For purposes
of this Section 4 and Section 9.2, “Services Amount” equals the sum of (A) the amounts paid under all Project
Plans, and (B) amounts to be paid under executed Project Plans if the Services under such Project Plans are completed as provided
therein, and (C) any amounts that would have been paid for services under a reasonable Service Request provided to Cadila under
this Agreement, which Service Request (i) concerns legitimate products or projects within Novavax’s scope of its own business
and (ii) involves services that Cadila is reasonably able to provide within its scope of resources and expertise, but for the fact
that Cadila exercised its right not to prepare a Project Estimate or agree to a Project Plan reasonably offered to Cadila by Novavax
containing terms substantially consistent with those contained in Cadila’s Project Estimate therefor (which amounts shall
be reasonably determined based on amounts that would be reasonably charged for such services had Cadila actually provided a Project
Estimate and the parties had entered into a Project Plan therefor); and “Shortfall Amount” equals the difference
between $7.5 million and the Services Amount.


 






    	 



    	 



    

 


 


Section 9.2 entitled “Force Majeure”
is deleted in its entirety and replaced with the following:


 


9.2Force Majeure.
Neither party will be responsible for delays or failures in performance resulting from causes beyond the reasonable control of
such party (except for any delay or failure to pay amounts due hereunder), including without limitation fire, explosion, flood,
war, strike, or riot, provided that the nonperforming party uses commercially reasonable efforts to avoid or remove such causes
of nonperformance and continues performance under this Agreement with reasonable dispatch whenever such causes are removed. Either
party shall have the right to immediately terminate this Agreement should such force majeure event continue for more than ninety
(90) days. If, at the time of such a termination, the Services Amount (defined in Section 4) does not equal or exceed a pro rata
portion of $5.5 million (taking into consideration the time between the Effective Date and such termination versus the six year
Services Period (the “Pro Rata Amount”)) plus $2.0 million, then Novavax shall pay Cadila an amount (the “FM
Final Amount”) equal to the sum of (a) the portion of the FM Shortfall Amount that is less than or equal to $2.0 million,
plus (b) the product of fifty percent (50%) times the portion, if any, of the FM Shortfall Amount that exceeds 2.0 million. For
purposes of this Section 9.2, “FM Shortfall Amount” equals the difference between the Pro Rata Amount and the
Services Amount.


 


In all other respects the Agreement shall
remain in full force and effect.


 


IN WITNESS WHEREOF,
the parties have caused this Amendment to be executed by their duly authorized representatives as of the Amendment Effective Date.


 

 





	NOVAVAX, INC.	CADILA PHARMACEUTICALS
LIMITED
	 	 
	 	 
		
	By: /s/Stanley C. Erck                                    	By: /s/Rajiv I. Modi                              
	      Stanley C. Erck	      Rajiv I. Modi
	      President and Chief Executive Officer	      Managing Director