Document:

Exhibit

Exhibit 10.6

[***] Certain information in this document has been omitted and filed separately with the Securities and Exchange Commission.  Confidential treatment has been requested with respect to the omitted portions.

PATENT LICENSE AGREEMENT
THIS PATENT LICENSE AGREEMENT (the “Agreement”) is made effective as of January 1, 2017 (the “Effective Date”), by and between Keygene N.V. (“KeyGene”), a company organized and existing under the laws of The Netherlands and having its registered offices at Agro Business Park 90, 6708 PW Wageningen, The Netherlands, and Guardant Health, Inc., a company incorporated under the laws of the State of Delaware, and having an address at 505 Penobscot Drive, Redwood City, CA 94063 (“Licensee”) and relates to KeyGene Technology as defined hereinafter. KeyGene and Licensee may be referred to herein individually as a “Party” or collectively as the “Parties.”
BACKGROUND
WHEREAS, KeyGene is a biotechnology company active in the field of plant biotechnology, genomics and phenomics and has proprietary expertise related to next generation sequencing technologies;
WHEREAS, Licensee is a developer and marketer of liquid biopsy products and services, including GuardantHealth360®;
WHEREAS, KeyGene and Licensee wish and agree to enter into this Agreement relating to KeyGene Technology;
Now, THEREFORE, in consideration of the foregoing premises and the mutual covenants set forth below, and for other good and valuable consideration, the receipt of which is hereby acknowledged, KeyGene and Licensee hereby agree as follows:
ARTICLE 1
DEFINITIONS
The following initially capitalized terms, either in plural or singular form, have the following meanings (and derivative forms of them shall be interpreted accordingly):
1.1    “Affiliate” means an entity that, directly or indirectly, through one or more intermediaries, is controlled by a Party. For this purpose, “control” means the ownership of more than fifty percent (50%) of the voting securities entitled to elect the directors or management of the entity, or the actual power to elect or direct the management of the entity.
1.2    “Agreement” has the meaning set forth in the recitals.
1.3    “Confidential Information” has the meaning set forth in Section 6.1(a) (General Confidentiality Obligations).
1.4    “Contract Year’’ shall mean each successive twelve (12) months period commencing on the Effective Date or an anniversary thereof. Contract Year 1 starts on the Effective Date.
1.5    “Dispute” has the meaning set forth in Section 9.3 (Dispute Resolution)

1.6    “Effective Date” shall mean 1 January 2017.
1.7    “Field of Use” shall mean [***] in connection with (i) [***] or (ii) [***]. For clarity, [***].
1.8    “KeyGene Technology” shall mean the [***] Technology
1.9    “[***] Technology” shall mean KeyGene’s proprietary technology for [***].
1.10    “Licensed Activity” shall mean any activity that is covered by at least one issued claim of the Patents in the applicable country of manufacturing, marketing, use, sale, or offer for sale. For purposes of clarity, any activity includes to develop, make, have made, import, have imported, use, sell, have sold, offer for sale products, practice any method, process or procedure and otherwise exploit the Patents in the Field of Use.
1.11    “Minimum Annual Royalties” shall mean the minimum amount of Royalties per annum as set forth in Section 3.5.
1.12    “Net Sales Price” shall mean the [***] of Licensed Activities by Licensee and/or its Affiliates and/or Sublicensees less the following items: a) charges for taxes, including without limitation VAT; and b) discounts and deductions customary in the trade and compliant with U.S. generally accepted accounting principles, consistently applied.
1.13    “Non-Licensed Activity” shall mean any activity that is not covered by at least one issued claim of the Patents in the applicable country of manufacturing, marketing, use, sale, or offer for sale. For purposes of clarity, any activity includes to develop, make, have made, import, have imported, use, sell, have sold, offer for sale products, practice any method, process or procedure and otherwise exploit the Patents in the Field of Use.
1.14    “Patents” shall mean: (i) the [***] patents and patent applications as listed in Annex A; (ii) continuations, continuations-in-parts, divisionals, reissues, reexaminations, and foreign counterparts of the patents set forth in Annex A; and (iii) any U.S. or foreign patents or patent applications claiming priority from any of the patents or patent applications set forth in (i) or (ii) or from which any of the patents or patent applications set forth in (i) or (ii) claim priority.
1.15    “Patent Challenge” shall mean any judicial or administrative proceeding in which a Patent’s validity or enforceability is challenged.
1.16    “Preferred Stock” means non-participating series D preferred stock in the Licensee, where the value of each share is $7.4767. 
1.17    “Signing Fee” shall mean the non-creditable, non-refundable, one-time access fee payable on the Effective Date of this Agreement by Licensee to KeyGene.
1.18    “Sublicensees” shall mean any entity who enters into an agreement with Licensee or its Affiliates pursuant to Article 5 of this Agreement.

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1.19    “Sublicense Revenues” shall mean the total amount of [***] received by Licensee and/or its Affiliates, [***], from Sublicensees in consideration for a grant by Licensee of a sublicense under the Patents pursuant to Article 5 of this Agreement, other than (i) [***], and (ii) payments in the form of [***] to the extent [***].
1.20    “Territory” shall mean [***].
ARTICLE 2
LICENSES.
2.1    Exclusive License. KeyGene hereby grants to Licensee and its Affiliates and Licensee hereby accepts for itself and its Affiliates an exclusive, non-transferable license under the Patents in the Territory, in the Field of Use, with a right to grant a Sublicense in accordance with the terms of Article 5.
2.2    No Implied Licenses. Other than the licenses explicitly set forth in this Article 2 (Licenses), neither Party grants any intellectual property licenses, options or assignments to the other Party under this Agreement. This Agreement does not create any implied licenses.
2.3    Covenant Not to Exceed License. Licensee hereby covenants that it shall not exceed the scope of the Licenses set forth in this Agreement (or any subsequent agreement between the Parties providing for any additional licenses).
2.4    Bankruptcy. KeyGene shall have the right to terminate this Agreement by written notice to Licensee (i) if the Licensee is declared insolvent or bankrupt by a court of competent jurisdiction, (ii) if a voluntary or involuntary petition in bankruptcy is filed in any court of competent jurisdiction against Licensee and such petition is not dismissed within [***] days after filing, (iii) if Licensee makes or executes an assignment of substantially all of its assets for the benefit of creditors, or (iv) substantially all of the assets of Licensee are seized or attached and not released within [***] days thereafter.
ARTICLE 3
FINANCIAL TERMS.
3.1    No Shop Fee. Receipt of [***] Euros is hereby acknowledged by KeyGene. This No Shop Fee shall be non-refundable but creditable to the Signing Fee. 
3.2    Signing Fee. Immediately on the Effective Date, Licensee shall pay KeyGene a Signing Fee of [***] Euros, subject to Licensee’s right to deduct the No Shop Fee from the Signing Fee in accordance with Section 3.1. 
3.3    Stock Grant. Concurrently with the execution of this Agreement, Licensee will issue to KeyGene a stock certificate evidencing validly issued, fully-paid, non-assessable shares equal to 141,774 shares of Series D Preferred Stock which represents a value of 1,000,000 Euros as of the Effective Date (determined based on the most recent round of financing at $7.4767 per 

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share). Such shares of Series D Preferred Stock will be issued in consideration for the benefits provided to Licensee under the Agreement and no additional consideration shall be payable for such shares of Series D Preferred Stock. The stock grant described in this Section 3.3 shall be governed by a Series D Preferred Stock Purchase Agreement in substantially the form attached hereto as Annex B. 
3.4    Royalty. Licensee shall pay KeyGene a royalty of [***] % of the Net Sales Price of Licensed Activities (the “Royalty”).
3.5    Minimum Annual Royalty. In no event shall Licensee pay a Royalty that is less than the Minimum Annual Royalty. The Minimum Annual Royalty per Contract Year shall be defined to be:
•    600,000 Euros for Contract Year 1
•    1,000,000 Euros for Contract Year 2
•    1,250,000 Euros for Contract Years 3, 4 and 5
•    1,500,000 Euros for Contract Years 6, 7 and 8
•    1,750,000 Euros from Contract Year 9 onwards
Should the Royalties paid under Section 3.4 not be at least the Minimum Annual Royalty amount for that Contract Year, Licensee shall pay KeyGene the difference between the applicable Minimum Annual Royalty and the Royalties paid under Section 3.4 for that Contract Year within sixty (60) days after receipt of a written invoice delivered by KeyGene to Licensee at or after the end of such Contract Year. Licensee’s failure to pay at least the Minimum Annual Royalty for an applicable Contract Year shall be considered a material breach of this Agreement, subject to a notice of material breach and a reasonable cure period.
3.6    Milestone Success Fees. Licensee shall pay an amount of [***] Euros upon [***].
3.7    Development Milestone Penalties. Licensee shall report in writing to KeyGene the achievement of each event (each, a “Milestone Event”) and pay the corresponding Milestone Penalty (as defined in the table below) to KeyGene, each within thirty (30) days of the applicable date associated with each Milestone Event for failure to meet such Milestone Event. The payment of the applicable Milestone Penalty shall be KeyGene’s sole and exclusive remedy for a failure by Licensee to achieve the corresponding Milestone Event. Provided that Licensee has paid the applicable Milestone Penalty in accordance with the terms and conditions of this Agreement, Licensee shall not be deemed to be in breach of this Agreement for a failure to achieve a Milestone Event. In addition, any efforts of Licensee’s Affiliates and Sublicensees shall be deemed to be the efforts of Licensee for purposes of achieving a Milestone Event.
	
		
	Milestone Event
	Milestone Penalty

	[***]
	[***]

	[***]
	[***]

	[***]
	[***]

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Milestone Penalty payments shall not become due and payable after Licensee has begun making Royalty payments based on the Net Sales Price of Licensed Activities under Section 3.4 above at the Milestone Event dates.
3.8    Sublicensing Revenue. In addition to the foregoing, Licensee shall pay KeyGene [***]% of all Licensee or its Affiliates’ Sublicense Revenues. Licensee, its Affiliates, and Sublicensees are prohibited from [***]. In the event of a consideration for a Sublicense or cross license that is non-monetary the Sublicense Revenue shall be calculated based on the fair market value of such consideration. KeyGene’s share of any Sublicense Revenues shall be due within [***] of the entry of a sublicense agreement or the occurrence of an event that triggers a payment in favor of Licensee.
3.9    Payments. All Royalties due under this Article 3, unless otherwise specified, shall be paid quarterly within [***] after the end of the relevant calendar quarter for which Royalties are due. All payments due under this Agreement shall be net payments without deduction of any bank or transfer charges, similar charges or withholding taxes. Payments shall be made in
	
		
	Accountholder’s name:
	Keygene N.V 
Agro Business Park 90 
6708 PW Wageningen 
The Netherlands

	Account number:
	[***]

	Bank name:
	[***]

	BIC
	[***]

	VAT number:
	[***]

	Chamber of Commerce Arnhem:
	[***]

3.10    Reporting. With respect to each Contract Year, within [***] after the end of the Contract Year, Licensee shall provide to KeyGene a written report stating the number and description of: [***].
3.11    Audit Rights.
		
	a)
	Licensee shall keep [***] records [***].

		
	b)
	At KeyGene’s expense and no more than [***] per calendar year, KeyGene has the right to retain an independent certified public accountant from a nationally recognized (in the U.S.) accounting firm to perform on behalf of KeyGene an audit, conducted in accordance with U.S. generally accepted accounting principles (GAAP), of such books and records of Licensee as are deemed necessary by the independent public accountant to report on Licensed Activities, Milestone Events and Milestone Penalties, and Sublicense Revenues for the period or periods requested by KeyGene and the correctness of any report or payments made under this Agreement.

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	c)
	If the audit reveals an underpayment, Licensee shall promptly pay to KeyGene the amount of such underpayment plus interest in accordance with Section 3.14 (Late Payments). If the audit reveals that the monies owed by Licensee to KeyGene has been understated by more than [***] for the period audited, Licensee shall, in addition, pay the costs of such audit. If the audit reveals that an overpayment was made, such overpayment shall be fully creditable against amounts payable in subsequent payment periods (or promptly refunded if no such subsequent payments are due).

		
	d)
	Licensees and Sublicensees shall (i) maintain records [***] to document and verify the [***] payments (including milestones and royalties) to be paid to KeyGene; (ii) provide reports with [***] information to allow such verification; and (iii) allow an independent certified public accountant from a nationally recognized (in the U.S.) accounting firm appointed by KeyGene to verify the payments due on behalf of KeyGene in accordance with Section 3.11(b) (which accountant shall perform such audit on behalf of Licensee for the benefit of KeyGene in the case of records maintained by Sublicensees). All reports and information provided by or on behalf of Licensee pursuant to Sections 3.10 and 3.11 shall be deemed to be Licensee’s Confidential Information.

3.12    Foreign Exchange. If any currency conversion shall be required in connection with the calculation of amounts payable under this Agreement, such conversion shall be made using the exchange rates reported on the fifth (5th) business day prior the payment due date as published by Oanda on www.oanda.com/currency/converter. With any payment in relation to which a currency conversion is performed to calculate the amount of payment due, Licensee shall provide to KeyGene a [***] copy of the exchange rates used in such calculation.
3.13    Non-refundable, non-creditable payments. Each payment that is required under this Agreement is non-refundable and non-creditable, unless expressly stated otherwise in this Agreement.
3.14    Late Payments. Any amount owed by Licensee to KeyGene under this Agreement that is not paid within the applicable time period set forth herein will accrue interest at the rate of [***] percent ([***]%) above the then-applicable short-term three-month London Interbank Offered Rate (LIBOR) as quoted in the Wall Street Journal (or if it no longer exists, a similarly authoritative source) calculated on a daily basis, or, if lower, the highest rate permitted under applicable law.
3.15    Combination Products. In the event that a Licensed Activity is performed in combination with a Non-Licensed Activity and sold as a single product or service offering at a single price (a “Combination Sale”), the Net Sales Price from such Combination Sales for purposes of calculating the amounts due under this Article 3 shall be calculated for each applicable calendar quarter by multiplying the net sales price (as determined without reference to this paragraph) of the combination by the fraction A/(A + B), where A is the average gross selling price during such calendar quarter of the Licensed Activity when performed separately and B is the average gross selling price during such calendar quarter of the Non-Licensed Activity 

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when performed separately, provided that the product of such multiplication shall never fall below A, and provided further that if there is no average gross selling price during such calendar quarter of the Non-Licensed Activity when performed separately, then B goes to zero.
ARTICLE 4
INTELLECTUAL PROPERTY
4.1    Ownership. KeyGene retains all ownership in and to the KeyGene Technology or any portion thereof and retains all right, title and interest in and to the Patents, including any KeyGene interest in any intellectual property developed under this Agreement.
4.2    KeyGene Technology. Subject to KeyGene’s obligations under Section 4.3 and except as set forth in Section 4.4, KeyGene shall have the sole right (but not the obligation) to file, prosecute, maintain, defend and enforce all Patents.
4.3    Requested Filings. In the event Licensee requests KeyGene to file additional applications for patents relating to the [***] Technology (each, a “Requested Filing”):
		
	•
	KeyGene will file [***] additional patent applications at the request of Licensee as long as such additional applications do not jeopardize the patent term or validity of any Patent at KeyGene’s sole and reasonable discretion, and if so requested by Licensee KeyGene will apply for [***].

		
	•
	KeyGene shall retain complete and full ownership of all intellectual property rights associated with the Requested Filing or the technology therein.

		
	•
	KeyGene shall draft and prosecute the requested patent application, taking into account the cooperation and suggestions of Licensee.

		
	•
	Licensee shall reimburse KeyGene for the reasonable costs and fees associated with the drafting, filing, prosecution, grant and maintenance of such applications (and patents issued therefrom) under this Section 4.3.

4.4    Enforcement and Defense. [***] shall have a first right but not an obligation to enforce the Patents against others accused of infringing [***]. [***] shall have a right but not an obligation to bring to the attention of [***] any accused activity that [***]. [***] shall bear the costs and fees associated with any cause of action for patent infringement initiated by [***] hereunder, including any costs and fees associated with an affirmative obligation to defend the Patents in an event of a counterclaim or Patent Challenge brought in district court in response to such action. [***] agrees to provide timely assistance and cooperation to [***] in any such action for infringement of the Patents, including [***]. [***] shall reimburse [***] for all reasonable costs and fees of such assistance and cooperation, including, but not limited to, [***], provided that [***] shall have the right to approve in advance any task or service provided by outside counsel for [***] in such enforcement action, where [***] approval shall not be unreasonably withheld, conditioned, or delayed. In any cause of action for patent infringement initiated by [***] hereunder, including an affirmative obligation to defend the Patents in an event of a counterclaim or Patent Challenge brought in district court in response to such action, 

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[***] will have the right to direct and control any such action at its sole and reasonable discretion, including taking the lead in formulating and prosecuting a defense of the Patents, except in certain cases before the United States Patent and Trademark Office, as outlined in Section 4.5, below. If [***] elects in writing not to enforce the Patents hereunder, [***] at its sole discretion and cost, and under its sole control, may initiate an enforcement action against an accused infringer.
4.5    If a Patent Challenge is mounted by a third party, whether before the United States Patent and Trademark Office or elsewhere, and such Patent Challenge is either (1) [***], or (2) [***], [***] shall take a lead in formulating and prosecuting a defense of the Patent and shall bear the costs and fees associated with such defense, except in an instance in which a third party mounting an aforementioned Patent Challenge is [***], in which case [***] will take into account the cooperation and suggestions of [***] in defending the Patent, and [***] shall reimburse [***] for all reasonable costs and fees associated with such defense. For an avoidance of doubt, [***] shall not have a right to enforce the Patents against [***] which right remains with [***]. If a Patent Challenge is mounted by a third party, whether before the United States Patent and Trademark Office or elsewhere, and such Patent Challenge is both (1) [***], and (2) [***], [***] shall take a lead in formulating and prosecuting a defense of the Patent and shall bear the costs and fees associated with such defense. [***] will take into account the cooperation and suggestions of [***] in defending the Patent or asserting counterclaims, if any, and [***] shall reimburse [***] for all reasonable costs and fees associated with such defense or enforcement. For the avoidance of doubt, a Patent Challenge is [***] if the Patent Challenge [***].
4.6    Enforcement Recovery. Any recovery (including settlements) from any cause of action for patent infringement initiated by [***] hereunder, which exceeds [***] shall not be considered [***] and shall be divided in good faith among the Parties, with [***] receiving [***]% of such recovery and the remainder being retained by [***]. Any recovery (including settlements) from any cause of action for patent infringement initiated by [***] hereunder shall be [***].
4.7    Patent Challenges.
		
	a)
	During the Term, and only to the extent that Patent Challenges are permitted to be restricted under applicable law in the respective jurisdiction, Licensee or its Affiliates will not knowingly engage, participate, request, solicit, financially support any Patent Challenge, or otherwise bring any judicial action or administrative proceeding to challenge a Patent’s validity or enforceability. For clarity, this limitation does not apply to Licensee’s participation in the defense of any Patent as outlined in Sections 4.4-4.5.

		
	b)
	If, except as permitted by Section 4.7(a), Licensee or its Affiliates engages, participates, requests, solicits, financially supports, or otherwise bring any judicial action or administrative proceeding to challenge a Patent’s validity or enforceability during the Term, Licensee will pay all legal fees, expenses and other costs incurred by KeyGene in or related to such Patent Challenge, irrespective of the outcome of such challenge. In addition Licensee’s financial 

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obligations under Section 3.4 (Royalty) and Section 3.5 (Minimum Annual Royalty) shall [***].
		
	c)
	If, except as permitted by Section 4.7(a), Licensee or any of its Affiliates engages, participates, requests, solicits, financially supports, or otherwise bring any judicial action or administrative proceeding to challenge a Patent’s validity or enforceability during the Term, KeyGene will have the right (but not the obligation) to terminate all rights, and licenses granted to Licensee and its Affiliates under this Agreement immediately upon notice to Licensee.

ARTICLE 5
SUBLICENSING.
5.1    Sublicensing. Licensee or its Affiliates may enter into sublicensing agreements, including certain cross licensing arrangements as permitted under Section 3.8, provided that the terms of such sublicensing agreements are entirely consistent with the provisions of this Agreement. However, such sublicensing agreements shall only be effective upon the written approval of KeyGene, where such approval shall not be unreasonably withheld. In addition, fully unredacted executed copies of all sublicensing agreements shall be provided to KeyGene. The Sublicensing Revenue shall be paid to KeyGene in accordance with the payment provisions for Sublicensing Fees.
ARTICLE 6
CONFIDENTIALITY.
6.1    General Confidentiality Obligations.
		
	a)
	Any and all proprietary, non-public information, trade secrets, data, business information, protocols and documents disclosed, orally or otherwise, or submitted in writing or in other tangible form to one Party by the other Party under this Agreement is the “Confidential Information” of the disclosing Party.

		
	b)
	Each Party shall receive and maintain the other Party’s Confidential Information in strict confidence. Neither Party shall disclose any Confidential Information of the other Party to any third party. Neither Party shall use the Confidential Information of the other Party for any purpose other than as required to perform its obligations or exercise its rights under this Agreement. Each Party may disclose the other Party’s Confidential Information to the receiving Party’s officers, directors, employees, Affiliates, agents, representatives and contractors requiring access thereto for the purposes of this Agreement, provided, however, that prior to making any such disclosures, each such person shall be bound by terms at least as restrictive as those hereof to maintain Confidential Information in confidence and not to use such information for any purpose other than in accordance with the terms and conditions of this Agreement. Each Party agrees to take all steps necessary to ensure that the other Party’s Confidential Information 

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shall be maintained in confidence including such steps as it takes to prevent the disclosure of its own proprietary and confidential information of like character. Each Party agrees that this Agreement shall be binding upon its officers, directors, employees, Affiliates, agents, representatives and contractors performing tasks related to the subject matter hereof. Each Party shall take all steps necessary to ensure that its officers, directors, employees, Affiliates, agents, representatives and contractors shall comply with the terms and conditions of this Agreement. The foregoing obligations of confidentiality and non-use shall survive, and remain in effect for a period of [***] from, the termination or expiration of this Agreement in accordance with Article 8 (Term).
6.2    Exclusions from Nondisclosure Obligation. The nondisclosure and nonuse obligations in Section 6.1 (General Confidentiality Obligations) shall not apply to that part of the Confidential Information of which the receiving Party can establish by competent written proof that it:
		
	a)
	was publicly known at the time of disclosure;

		
	b)
	has become publicly known after disclosure, by publication or otherwise, except by breach of this Agreement by the receiving Party;

		
	c)
	was in the receiving Party’s lawful possession at the time of disclosure hereunder;

		
	d)
	was received by such Party from a third party who has the lawful right to disclose the Confidential Information and who shall not have obtained the Confidential Information either directly or indirectly from the disclosing Party; or

		
	e)
	was independently developed by the receiving Party, without reference to Confidential Information of the disclosing Party.

6.3    Required Disclosures. If either Party is required, pursuant to a governmental law, regulation or order, to disclose any Confidential Information of the other Party, the receiving Party (i) shall give advance written notice to the disclosing Party, (ii) shall make a reasonable effort to assist the other Party to obtain a protective order requiring that the Confidential Information so disclosed be used only for the purposes for which the law or regulation required and (iii) shall use and disclose the Confidential Information solely to the extent required by the law or regulation. 
6.4    Return of Confidential Information. Promptly after the termination or expiration of this Agreement for any reason, each Party shall return to the other Party all tangible or electronic manifestations of such other Party’s Confidential Information at that time in the possession of the receiving Party. At the request of the Party that is the owner of the Confidential Information, at the termination or expiration of this Agreement, the receiving Party may destroy the Confidential Information instead of returning it.
6.5    Marking. To the extent required by law Licensee shall mark and make proper reference to KeyGene’s Patents on publications and offerings of any Licensed Activity.

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ARTICLE 7
REPRESENTATIONS, WARRANTIES AND INDEMNIFICATION.
7.1    Mutual Representations. Each of KeyGene and Licensee hereby represents and warrants to the other of them that the representing and warranting Party is duly organized in its jurisdiction of incorporation; that the representing and warranting Party has the full power and authority to enter into this Agreement; that this Agreement is binding upon the representing and warranting Party; that this Agreement has been duly authorized by all requisite corporate action within the representing and warranting Party; and that the execution, delivery’ and performance by the representing and warranting Party of this Agreement and its compliance with the terms and conditions hereof does not conflict with or result in a breach of any of the terms and conditions of or constitute a default under (a) any agreement or other instrument binding or affecting it or its property, (b) the provisions of its bylaws or other governing documents or (c) any order, writ, injunction or decree of any governmental authority entered against it or by which any of its property is bound.
7.2    KeyGene Warranties.
		
	a)
	On the date of signing of this Agreement KeyGene: (i) is the sole and exclusive owner of all right, title and interest in and to the Patents; (ii) has the right to grant the rights and licenses granted herein, and the Patents are free and clear of any lien, encumbrance, or security interest; (iii) has not previously granted, and will not grant during the Term, any right, license or interest in or to the Patents, or any portion thereof, inconsistent with the rights and licenses granted hereunder to Licensee; and (iv) is not aware of pending actions, lawsuits, claims, or arbitration proceedings in any way relating to the Patents.

		
	b)
	KeyGene makes no other warranties including as to the scope, validity, or enforceability of any Patent. In addition KeyGene makes no warranties regarding the fitness of the subject matter of this Agreement for a particular purpose or merchantability.

7.3    Warranty by Licensee. Licensee represents and warrants that it shall comply with any and all applicable laws, regulations and regulatory requirements and shall comply with all permits and authorizations, which may be required.
7.4    Indemnification.
		
	a)
	By Licensee. Except with respect to any damages arising from gross negligence or willful misconduct of KeyGene, Licensee shall indemnify, defend and hold harmless KeyGene from and against any and all claims, suits, losses, damages, costs, fees and expenses incurred by KeyGene and other liabilities asserted by third parties resulting from or arising out of its use of the licenses granted under this Agreement and/or the Patents.

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	b)
	Indemnification Procedure. A Party that intends to claim indemnification under any provision of this Agreement (for purposes of this Section 7.4(b), the “Indemnitee”) shall promptly notify the indemnifying Party (the “Indemnitor”) in writing of any claim, action, suit, or other proceeding brought by third parties in respect of which the Indemnitee or any of its Affiliates, or their directors, officers, employees, successors or assigns intend to claim such indemnification hereunder. As between the Parties, the Indemnitor shall have the right to control the defense and settlement of such claim, action, suit, or other proceeding; provided that the Indemnitee shall have the right to participate in such defense or settlement with counsel of its own choosing at its expense. Notwithstanding the foregoing, the indemnity agreement in this Article 7 shall not apply to amounts paid in settlement of any loss, claim, damage, liability or action if such settlement is effected without the consent of the Indemnitor, to the extent such consent is not withheld unreasonably or delayed. The failure to deliver written notice to the Indemnitor within a reasonable time after the commencement of any such action, if prejudicial to its ability to defend such action, shall relieve such Indemnitor of any liability to the Indemnitee under this Article 7 but the omission so to deliver written notice to the Indemnitor shall not relieve the Indemnitor of any liability that it may have to any Indemnitee otherwise than under this Article 7. Without limiting the foregoing, the Indemnitor shall keep the Indemnitee fully informed of the progress of any claim, action, suit, or other proceeding for which the Indemnitee is seeking indemnification under this Article 7.

7.5    DISCLAIMER OF WARRANTIES. OTHER THAN THE EXPRESS WARRANTIES OF THIS ARTICLE 7, KEYGENE DISCLAIMS ALL WARRANTIES OF ANY KIND, EXPRESS OR IMPLIED, INCLUDING ANY WARRANTY OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR THAT ANY PRODUCTS DEVELOPED UNDER THIS AGREEMENT ARE FREE FROM THE RIGHTFUL CLAIM OF ANY THIRD PARTY, BY WAY OF INFRINGEMENT OR THE LIKE OR THAT ANY PATENTS WILL ISSUE OR BE VALID OR ENFORCEABLE. KEYGENE SHALL ALSO NOT BE RESPONSIBLE FOR ANY DAMAGES OR CLAIMS ARISING OUT OF LICENSEE’S USE OF THE PATENTS.
ARTICLE 8
TERM.
8.1    Term. The term of this Agreement shall commence on the Effective Date and shall expire upon the expiration of the last to expire Patent, unless earlier terminated by a Party as set forth below in this Article 8 (Term), or as set out in section 2.4 or Section 4.7(c) of this Agreement.
8.2    Termination for Convenience. Licensee may terminate this Agreement for convenience subject to a termination fee as set out in Section 8.3:
		
	a)
	Upon written notice with immediate effect as of February 1, 2019 up to and including April 30, 2019, in the event a Requested Filing pursuant to Section 4.3 

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has not resulted as of February 1, 2019 in allowed or granted claims, which are substantially in the same scope as originally requested by Licensee and, thus, fail to capture one or more activities of Licensee under the definition of Licensed Activities or the granted claims, as of February 1, 2019, are found invalid by a written decision of a court, tribunal or another body of competent jurisdiction.
		
	b)
	Upon thirty (30) days prior written notice as of May 1, 2019 in the event a Requested Filing pursuant to Section 4.3 has not resulted as of February 1, 2019 in allowed or granted claims, which are substantially in the same scope as originally requested by Licensee and, thus, fail to capture one or more activities of Licensee under the definition of Licensed Activities or the granted claims, as of February 1, 2019, are found invalid by a written decision of a court, tribunal or another body of competent jurisdiction.

		
	c)
	Upon thirty (30) days prior written notice as of February 1, 2019 in the event a Requested Filing pursuant to Section 4.3 has resulted as of February 1, 2019 in allowed or granted claims, which are substantially in the same scope as originally requested by Licensee, or which, in any case, cover one or more activities of Licensee under the definition of Licensed Activities.

8.3    Termination Fee. On termination of this Agreement for convenience Licensee shall pay a termination fee on a lump sum basis as set out in this Section 8.3. In the event Licensee terminates this Agreement:
		
	a)
	pursuant to Section 8.2(a) Licensee shall pay a termination fee of [***] Euros. In addition, Licensee is obliged to make Minimum Annual Royalty payments due up to the date of termination calculated on a pro rata basis per day;

		
	b)
	pursuant to Section 8.2(b) or Section 8.2(c) Licensee shall pay a termination fee amounting to a percentage, as defined in the table below, of the total Minimum Annual Royalty payments due, according to the schedule shown in Section 3.5, for the remaining Contract Years as of the date of termination until the last to expire Patent. For the year of termination only, the remaining part of the Contract Year after the date of termination will be included in the calculation of the termination fee on a pro rata basis per day. The termination fee will be calculated as follows:

		
	(i)
	accumulating the Minimum Annual Royalty payments, as listed in Section 3.5, from the year of termination until the last to expire Patent (“Amount X”), then

		
	(ii)
	deducting for the year of termination the pro rata Minimum Annual Royalty part that preceded the date of termination (“Amount Y”), then

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	(iii)
	multiplying the resulting amount (Amount X minus Amount Y) by the percentage corresponding with the year of termination as listed in the table below.

	
		
	If terminated in the year:
	a percentage of:

	[***]
	[***]%

	[***]
	[***]%

	[***]
	[***]%

	[***]
	[***]%

	[***]
	[***]%

	[***]
	[***]%

	[***]
	[***]%

	[***]
	[***]%

	 
	 

In addition, for the year of termination only, Licensee is obliged to make Minimum Annual Royalty payments due up to the date of termination calculated on a pro rata basis per day.
8.4    Material Breach. Either Party may terminate this Agreement for the material breach of this Agreement by the other Party, if such breach remains uncured ninety (90) days following notice from the non-breaching Party to the breaching Party specifying such breach. Notwithstanding the foregoing, if the alleged breaching Party notifies the non-breaching Party, during such ninety (90)-day cure period, of a bona fide dispute regarding the alleged breach, such ninety (90)-day cure period shall be tolled pending resolution of such dispute pursuant to Section 9.3, and in the event the dispute is finally resolved against the Party allegedly in material breach, the applicable cure period shall commence upon such final resolution.
8.5    Survival of Sublicenses. Notwithstanding any provision herein to the contrary, in the event (a) Licensee has entered into any Sublicense Agreements consistent with the terms of this Agreement, (b) this Agreement is terminated, and (c) such Sublicense Agreements are in effect at the time of such termination, such Sublicense Agreement will survive such termination, with KeyGene as the Licensee’s direct licensor solely with respect to rights sublicensed pursuant to this Agreement.
8.6    Survival of Articles. The provisions of this Agreement which are expressed to survive or to operate in the event of termination of this Agreement or are by their nature intended to do so shall survive the termination of this Agreement, including, for the avoidance of doubt:
Article 1, 4.1-4.2, 6, 7, 8.5-8.6, 9.2-9.3, 9.8.
ARTICLE 9
MISCELLANEOUS.
9.1    Independent Contractors. The Parties shall perform their obligations under this Agreement as independent contractors. Nothing contained in this Agreement shall be construed to be inconsistent with such relationship or status. This Agreement and the Parties’ relationship 

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in connection with it shall not constitute, create or in any way be interpreted as a joint venture, fiduciary relationship, partnership or agency of any kind.
9.2    Applicable Law. This Agreement shall be governed by and interpreted in accordance with the laws of the State of New York, excluding its conflicts of laws principles.
9.3    Dispute Resolution. To the extent disputes arise under the provisions of this Agreement, including the construction of any provision of this Agreement, KeyGene and Licensee agree to subject themselves to mediation. If mediation efforts are not successful, the Parties agree to arbitrate unresolved disputes under the rules of the International Chamber of Commerce (“ICC”), and the decision of any such arbitration shall be binding upon the Parties and enforceable in any court of competent jurisdiction. The Applicable Law provision (Section 9.2) is a binding obligation between Licensee and KeyGene. Any such arbitration shall be conducted in New York, New York by a panel of three neutral arbitrators, one of whom shall be selected by KeyGene, one of whom shall be selected by Licensee and one of whom shall be selected by mutual agreement of the other two arbitrators.
9.4    Entire Agreement. This Agreement (including its Annexes) set forth all the covenants, promises, agreements, warranties, representations, conditions and understandings between the Parties with respect to the subject matter hereof and supersedes and terminates all prior agreements and understandings between the Parties with respect to such subject matter, with the exception of the Mutual Secrecy Agreement dated April, 13 2016 which remains in existence until its expiry date in accordance with its provisions. No subsequent alteration, amendment, change or addition to this Agreement shall be binding upon the Parties unless reduced to writing and signed by the respective authorized officers of the Parties.
9.5    Assignment. Licensee may not assign in whole or in part this Agreement without the advance written consent of KeyGene, such consent not to be unreasonably withheld, conditioned, or delayed; provided, however, Licensee may assign its rights or delegate its duties, in whole or in part, to a party that acquires all or substantially all of its business or assets to which this Agreement pertains, whether by merger, acquisition, sale or otherwise. Notwithstanding the foregoing, Licensee may not assign in whole or in part this Agreement without the advance written consent of KeyGene, such consent not to be unreasonably withheld, conditioned, or delayed, to any acquiring party whose business derives most of its revenues through sales in the agricultural sector. This Agreement is binding upon and inures to the benefit of and is enforceable by the Parties hereto and their respective successors and permitted assigns, as provided in this Section 9.5.
9.6    Severability. If one or more of the provisions in this Agreement are deemed unenforceable by law, then such provision shall be deemed stricken from this Agreement and the remaining provisions shall continue in full force and effect.
9.7    Force Majeure. Both Parties shall be excused from the performance of their obligations under this Agreement to the extent that such performance is prevented by a force majeure and the nonperforming Party promptly provides notice of the prevention to the other Party. Such excuse shall be continued so long as the condition constituting force majeure continues and the 

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nonperforming Party takes reasonable efforts to remove the condition, but no longer than six (6) months.
9.8    Notices. Any notice required or permitted to be given under this Agreement shall be in writing, shall specifically refer to this Agreement and shall be deemed to have been sufficiently given for all purposes if mailed by first class certified or registered mail, postage prepaid, delivered by express delivery service, by e-mail with receipt confirmed or personally delivered. Unless otherwise specified in writing, the mailing and e-mail addresses of the Parties shall be as described below.
If to KeyGene:
Keygene N.V. 
Attn:  CEO 
Agro Business Park 90  
6708 PW Wageningen  
The Netherlands  
E-mail:  [***]
with a required copy to:
Keygene N.V. 
Attn:  Vice-President Legal Affairs  
Agro Business Park 90  
6708 PW Wageningen  
The Netherlands 
E-mail:  [***]
In the case of Licensee:
Guardant Health, Inc. 
Attn:  [***] 
505 Penobscot Drive 
Redwood City, CA 94063 
E-mail:  [***]
9.9    Construction. This Agreement has been prepared jointly and shall not be strictly construed against either Party. Ambiguities, if any, in this Agreement shall not be construed against any Party, irrespective of which Party may be deemed to have authored the ambiguous provision.
9.10    Headings. The headings for each article and section in this Agreement have been inserted for convenience of reference only and are not intended to limit or expand on, nor to be used to interpret, the meaning of the language contained in the particular article or section.
9.11    No Waiver. Any delay in enforcing KeyGene’s rights under this Agreement or any waiver as to a particular default or other matter shall not constitute a waiver of such rights to 

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the subsequent enforcement of its rights under this Agreement, excepting only as to an express written and signed waiver as to a particular matter for a particular period of time executed by an authorized officer of the waiving Party.
9.12    Performance by Affiliates. Each Party shall remain responsible and be guarantor of the performance by its Affiliates and shall cause its Affiliates to comply with the provisions of this Agreement in connection with such performance as if such Party were performing such obligations itself, and references to a Party in this Agreement shall be deemed to also reference such Affiliate. In particular and without limitation, all Affiliates of a Party that receive Confidential Information of the other Party pursuant to this Agreement shall be governed and bound by all obligations set forth in Article 6 (Confidentiality), and shall (to avoid doubt) be subject to the intellectual property assignment and other intellectual property provisions of Article 4 (Intellectual Property) as if they were the original Party to this Agreement (and be deemed included in the actual Party to this Agreement for purposes of all intellectual property‐related definitions). A Party and its Affiliates shall be jointly and severally liable for their performance under this Agreement and a breach of an Affiliate of either Party shall be deemed a breach of such Party.
9.13    Counterparts. This Agreement may be executed in one or more identical counterparts, each of which shall be deemed to be an original, and which collectively shall be deemed to be one and the same instrument. In addition, signatures may be exchanged by facsimile or PDF.
9.14    Bankruptcy. All rights and licenses granted hereunder or pursuant hereto are, and shall be deemed to be, for purposes of Section 365(n) of the United States Bankruptcy Code, licenses to rights of “intellectual property,” as defined thereunder. Notwithstanding any provision contained herein to the contrary, if KeyGene is subject to any proceeding under the United States Bankruptcy Code and the trustee in bankruptcy of KeyGene, or KeyGene, as a debtor in possession, rightfully elects to reject this Agreement, Licensee shall have the right, pursuant to Sections 365(n)(1) and 365(n)(2) of the United States Bankruptcy Code, to retain any and all of the rights licensed to it hereunder, to the maximum extent permitted by law, subject to any payments due to KeyGene as specified herein.
IN WITNESS WHEREOF, the Parties have by duly authorized persons executed this Agreement as of the Effective Date.
	
		
	Keygene N.V.
	Guardant Health, Inc.

	

	 

	By:   /s/ Arjen J. van Tunen   
	By:   /s/ Helmy Eltoukhy   

	Name:   Dr. Arjen J. van Tunen   
	Name:   Dr. Helmy Eltoukhy   

	Title:   Chief Executive Officer   
	Title:   Chief Executive Officer   

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ANNEX A
[***]

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ANNEX B
GUARDANT HEALTH, INC. 
505 Penobscot Drive 
Redwood City, CA 94063
SERIES D PREFERRED STOCK PURCHASE AGREEMENT
THIS STOCK PURCHASE AGREEMENT (the “Agreement”) is made as of the 1st day of January, 2017, by and among Guardant Health, Inc., a Delaware corporation (the “Company”), and KEYGENE N.V., a company organized and existing under the laws of The Netherlands (“Purchaser”).
1.Purchase of Preferred Stock. Purchaser, intending to be legally bound, hereby purchases from the Company, and the Company hereby sells and issues to the Purchaser, 141,774 shares (the “Purchased Shares”) of the Company’s Series D Preferred Stock, $0.00001 par value per share (“Series D Preferred Stock”) upon the terms and conditions described herein. The Purchased Shares are convertible into shares of the Company’s Common Stock, $0.00001 par value per share, pursuant to the terms of the Company’s Amended and Restated Certificate of Incorporation (such shares of Common Stock, the “Conversion Shares,” and together with the Purchased Shares, the “Securities”).
2.    Payment of Purchase Price. The Company is issuing the Purchased Shares to the Purchaser in consideration of and pursuant to that certain Patent License Agreement of even date herewith between the Company and the Purchaser (the “License Agreement”). Pursuant to the License Agreement and for other good and valuable consideration the receipt and sufficiency of which is hereby acknowledged, the Purchaser is entitled to 141,774 Purchased Shares (which represents €1,000,000 worth of Series D Preferred Stock as of the date hereof (determined based on the Company’s most recent round of financing), and the Company shall issue such number of Purchased Shares to the Purchaser pursuant to this Agreement (as defined below). Immediately following the full execution of this Agreement, the Company shall issue a stock certificate in the name of Keygene N.V., a company organized and existing under the laws of The Netherlands, for 141,774 shares of Series D Preferred Stock of the Company. Purchased Shares purchased and issued herein shall not be deemed issued to or owned by the Purchaser until this Agreement has been executed by the Purchaser, and countersigned by the Company.
3.    Company Representations. In connection with the issuance of the Purchased Shares under this Agreement, the Company hereby represents and warrants to the Purchaser as follows:
3.1    The Company is a corporation duly organized, validly existing and in good standing under the laws of the State of Delaware and has all requisite corporate power and authority required (a) to carry on its business as presently conducted and as presently proposed to be conducted and (b) to execute, deliver and perform its obligations under this Agreement. 

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The Company is duly qualified to transact business and is in good standing in each jurisdiction in which the failure to so qualify would have a material adverse effect on its business or properties.
3.2    All corporate action on the part of the Company, its officers, directors and stockholders necessary for the authorization, execution and delivery of this Agreement, the performance of all obligations of the Company hereunder and thereunder, and the authorization, issuance (or reservation for issuance), sale and delivery of the Purchased Shares being sold hereunder has been taken or will be taken prior to the closing, and this Agreement constitutes the valid and legally binding obligation of the Company, enforceable in accordance with its respective terms, except (a) as limited by applicable bankruptcy, insolvency, reorganization, moratorium, and other laws of general application affecting enforcement of creditors’ rights generally and (b) as limited by laws relating to the availability of specific performance, injunctive relief, or other equitable remedies.
3.3    The Purchased Shares, when issued, sold and delivered in accordance with the terms of this Agreement and for the consideration expressed herein, will be duly authorized, validly issued, fully paid and nonassessable and will be free of restrictions on transfer other than restrictions on transfer under this Agreement and under applicable state and federal securities laws. The Conversion Shares have been duly and validly reserved for issuance and, upon issuance in accordance with the terms of the Company’s Amended and Restated Certificate of Incorporation, will be duly and validly issued, fully paid and nonassessable and will be free of restrictions on transfer other than restrictions on transfer under this Agreement and under applicable state and federal securities laws. Subject in part to the truth and accuracy of the Purchaser’s representations in Section 4 of this Agreement, the offer, sale and issuance of the Purchased Shares as contemplated by this Agreement are exempt from the registration requirements of any applicable federal and state securities laws.
3.4    The Original Issue Price of the Series D Preferred Stock is $7.4767 per share as defined in the Company’s Amended and Restated Certificate of Incorporation dated December 18, 2015. Promptly following the closing of this Agreement, the Company shall prepare and deliver to the Purchaser a capitalization table reflecting the issuance of the Purchased Shares.
4.    Purchaser Representations. In connection with the issuance of the Purchased Shares under this Agreement, the Purchaser hereby represents and warrants to the Company as follows:
4.1    Purchaser has full power and authority to enter into this Agreement and this Agreement constitutes its valid and legally binding obligation, enforceable in accordance with its terms except (a) as limited by applicable bankruptcy, insolvency, reorganization, moratorium and other laws of general application affecting enforcement of creditors’ rights generally and (b) as limited by laws relating to the availability of specific performance, injunctive relief or other equitable remedies.
4.2    This Agreement is made with such Purchaser in reliance upon Purchaser’s representation to the Company, which by Purchaser’s execution of this Agreement Purchaser hereby confirms, that the Purchased Shares and the Conversion Shares to be received by 

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Purchaser will be acquired for investment for Purchaser’s own account, not as a nominee or agent, and not with a view to the distribution of any part thereof, and that Purchaser has no present intention of selling, granting any participation in, or otherwise distributing the same. By executing this Agreement, such Purchaser further represents that Purchaser does not have any contract, undertaking, agreement or arrangement with any person to sell, transfer or grant participations to such person or to any third person, with respect to any of the Securities.
4.3    Purchaser believes it has received all the information it considers necessary or appropriate for deciding whether to purchase the Purchased Shares. Purchaser further represents that it has had an opportunity to ask questions and receive answers from the Company regarding the terms and conditions of the offering of the Purchased Shares and the business, properties, prospects and financial condition of the Company.
4.4    Purchaser is an investor in securities of companies in the development stage and acknowledges that it is able to fend for itself, can bear the economic risk of its investment, and has such knowledge and experience in financial or business matters that it is capable of evaluating the merits and risks of the investment in the Purchased Shares. If other than an individual, Purchaser also represents it has not been organized for the purpose of acquiring the Purchased Shares.
4.5    Purchaser is an “accredited investor” within the meaning of SEC Rule 501 of Regulation D, as presently in effect.
4.6    Purchaser understands that the Securities will be characterized as “restricted securities” under the federal securities laws inasmuch as they are being acquired from the Company in a transaction not involving a public offering and that under such laws and applicable regulations such securities may be resold without registration under the Act, only in certain limited circumstances. In this connection, Purchaser represents that it is familiar with SEC Rule 144, as presently in effect, and understands the resale limitations imposed thereby and by the Act.
4.7    Purchaser hereby represents that it has satisfied itself as to the full observance of the laws of its jurisdiction in connection with any invitation to subscribe for the Securities or any use of this Agreement, including (a) the legal requirements within its jurisdiction for the purchase of the Securities, (b) any foreign exchange restrictions applicable to such purchase, (c) any government or other consents that may need to be obtained, and (d) the income tax and other tax consequences, if any, that may be relevant to the purchase, holding, redemption, sale or transfer of the Securities. The Company’s offer and sale and Purchaser’s subscription and payment for and continued beneficial ownership of the Securities will not violate any applicable securities or other laws of Purchaser’s jurisdiction.
4.8    Without in any way limiting the representations set forth above, Purchaser further agrees not to make any disposition of all or any portion of the Securities unless and until:

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(a)    There is then in effect a Registration Statement under the Act covering such proposed disposition and such disposition is made in accordance with such Registration Statement; or
(b)    (i) Purchaser shall have notified the Company of the proposed disposition and shall have furnished the Company with a detailed statement of the circumstances surrounding the proposed disposition, and (ii) if reasonably requested by the Company, Purchaser shall have furnished the Company with an opinion of counsel, reasonably satisfactory to the Company that such disposition will not require registration of such shares under the Act. It is agreed that the Company will not require opinions of counsel for transactions made pursuant to Rule 144 except in unusual circumstances or for transactions with non-U.S. persons within the meaning of Regulation S under the Securities Act.
4.9    It is understood that the certificates evidencing the Securities may bear one or all of the following legends:
(a)    “THESE SECURITIES HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED. THEY MAY NOT BE SOLD, OFFERED FOR SALE, PLEDGED OR HYPOTHECATED IN THE ABSENCE OF A REGISTRATION STATEMENT IN EFFECT WITH RESPECT TO THE SECURITIES UNDER SUCH ACT OR AN OPINION OF COUNSEL REASONABLY SATISFACTORY TO THE COMPANY THAT SUCH REGISTRATION IS NOT REQUIRED OR UNLESS SOLD PURSUANT TO RULE 144 OF SUCH ACT.”
(b)    Any legend required by applicable state “blue sky” securities laws rules and regulations.
(c)    The Company shall be obligated to reissue promptly unlegended certificates at the request of any holder thereof if the Company has completed its initial public offering under the Act and the holder shall have obtained an opinion of counsel (which counsel may be counsel to the Company) to the effect that the securities proposed to be disposed of may lawfully be so disposed without registration, qualification and legend.
5.    Stockholder Rights of Purchaser. So long as the Purchaser is the holder of the Purchased Shares, then the following shall apply:
5.1    Information Rights. The Company shall furnish to the Purchaser when available (1) annual unaudited financial statements for each fiscal year of the Company, including an unaudited balance sheet as of the end of such fiscal year, an unaudited income statement, and an unaudited statement of cash flows, all prepared in accordance with generally accepted accounting principles and practices; and (2) quarterly unaudited financial statements for each fiscal quarter of the Company (except the last quarter of the Company’s fiscal year), including an unaudited balance sheet as of the end of such fiscal quarter, an unaudited income statement, and an unaudited statement of cash flows, all prepared in accordance with generally accepted accounting principles and practices, subject to changes resulting from normal year‐end audit 

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adjustments. If the Company has audited records of any of the foregoing, it shall provide those in lieu of the unaudited versions.
5.2    Inspection Rights. The Company shall permit the Purchaser to visit and inspect the Company’s properties, to examine its books of account and records and to discuss the Company’s affairs, finances and accounts with its officers, all at such reasonable times as may be requested by the Purchaser.
5.3    Participation Right. The Purchaser has the right of first refusal to purchase the Purchaser’s Pro Rata Share of any new securities that the Company may from time to time issue after the date of this Agreement, excluding Carve Out Stock as such term is defined in the Company’s Amended and Restated Certificate of Incorporation (“New Securities”). The Purchaser’s “Pro Rata Share” means that portion of such New Securities that equals the proportion that the number of Purchased Shares issued to and held by Purchaser (assuming full conversion and exercise of all convertible and exercisable securities then outstanding) bears to the total number of shares of Common Stock of the Company then outstanding (assuming full conversion and exercise of all convertible and exercisable securities then outstanding). If the Company proposes to undertake an issuance of New Securities, it shall give notice to the Purchaser of its intention to issue New Securities (the “Notice”), describing the type of New Securities and the price and the general terms upon which the Company proposes to issue the New Securities. The Purchaser will have (10) business days from the date of notice, to agree in writing to purchase the Purchaser’s Pro Rata Share of such New Securities for the price and upon the general terms specified in the Notice by giving written notice to the Company and stating therein the quantity of New Securities to be purchased (not to exceed the Purchaser’s Pro Rata Share). If the Purchaser fails to exercise in full the right of first refusal within the (10) business day period, then the Company will have (120) days thereafter to sell the New Securities with respect to which the Purchaser’s rights of first refusal hereunder were not exercised, at a price and upon general terms not materially more favorable to the purchasers thereof than specified in the Company’s Notice to the Purchaser. If the Company has not issued and sold the New Securities within the 120-day period, then the Company shall not thereafter issue or sell any New Securities without again first offering those New Securities to the Purchaser pursuant to this Section 5.3. The participation right provided for in this Section 5.3 shall not be applicable with respect to Purchaser in any subsequent offering of New Securities if (i) at the time of such offering, Purchaser is not an “accredited investor,” as that term is then defined in Rule 501(a) of the Act and (ii) such offering of New Securities is otherwise being offered only to accredited investors.
6.    Limitations on Transfer.
6.1    Bylaws. In addition to any other limitation on transfer created by applicable securities laws, the Purchaser shall not assign, encumber or dispose of any interest in the Purchased Shares except in compliance with the Company’s Bylaws and applicable securities laws.
6.2    “Market Stand-Off’ Agreement.

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(a)    The Purchaser hereby agrees that it will not, without the prior written consent of the managing underwriter, during the period commencing on the date of the final prospectus relating to the Company’s Initial Offering and ending on the date specified by the Company and the managing underwriter (such period not to exceed one hundred eighty (180) days) (or such longer period, not to exceed 34 days after the expiration of the 180-day period,) (i) lend, offer, pledge, sell, contract to sell, sell any option or contract to purchase, purchase any option or contract to sell, grant any option, right or warrant to purchase, or otherwise transfer or dispose of, directly or indirectly, any shares of Common Stock or any securities convertible into or exercisable or exchangeable for Common Stock held immediately prior to the effectiveness of the Registration Statement for such offering, or (ii) enter into any swap or other arrangement that transfers to another, in whole or in part, any of the economic consequences of ownership of the Common Stock, whether any such transaction described in clause (i) or (ii) above is to be settled by delivery of Common Stock or other securities, in cash or otherwise. The foregoing provisions of this Section 6.2 shall apply only to the Company’s initial offering of equity securities, shall not apply to the sale of any shares to an underwriter pursuant to an underwriting agreement, and shall only be applicable to the Holders if all officers, directors and greater than one percent (1%) stockholders of the Company enter into similar agreements. The underwriters in connection with the Company’s Initial Offering are intended third-party beneficiaries of this Section 6.2 and shall have the right, power and authority to enforce the provisions hereof as though they were a party hereto. The Purchaser further agrees to execute such agreements as may be reasonably requested by the underwriters in the Company’s Initial Offering that are consistent with this Section 6.2 or that are necessary to give further effect thereto. Any discretionary waiver or termination of the restrictions of any or all of such agreements by the Company or the underwriters shall apply to all Holders subject to such agreements pro rata based on the number of shares subject to such agreements.
(b)    In order to enforce the foregoing covenant, the Company may impose stop-transfer instructions with respect to the Registrable Securities of the Purchaser (and the shares or securities of every other person subject to the foregoing restriction) until the end of such period. Notwithstanding the foregoing, if (i) during the last seventeen (17) days of the one hundred eighty (180)-day restricted period, the Company issues an earnings release or material news or a material event relating to the Company occurs; or (ii) prior to the expiration of the one hundred eighty (180)- day restricted period, the Company announces that it will release earnings results during the sixteen (16)-day period beginning on the last day of the one hundred eighty (180)-day period, the restrictions imposed by this Section 6.2 shall continue to apply until the expiration of the eighteen (18)-day period beginning on the issuance of the earnings release or the occurrence of the material news or material event.
(c)    The Purchaser agrees that a legend reading substantially as follows shall be placed on all certificates representing all Registrable Securities of the Purchaser (and the shares or securities of every other person subject to the restriction contained in this Section 6.2):
“THE SECURITIES REPRESENTED BY THIS CERTIFICATE ARE SUBJECT TO A LOCK-UP PERIOD AFTER THE EFFECTIVE DATE OF THE ISSUER’S REGISTRATION 

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STATEMENT FILED UNDER THE ACT, AS AMENDED, AS SET FORTH IN AN AGREEMENT BETWEEN THE COMPANY AND THE ORIGINAL HOLDER OF THESE SECURITIES, A COPY OF WHICH MAY BE OBTAINED AT THE ISSUER’S PRINCIPAL OFFICE. SUCH LOCK-UP PERIOD IS BINDING ON TRANSFEREES OF THESE SHARES.”
7.    Miscellaneous.
7.1    Modification. Neither this Agreement nor any provisions hereof shall be modified, discharged or terminated except by an instrument in writing signed by the party against whom any waiver, change, discharge or termination is sought.
7.2    Notices. Any notice, demand or other communication that any party hereto may be required, or may elect, to give to anyone interested hereunder shall be sufficiently given if (a) deposited, postage prepaid, in a United States mail letter box, registered or certified mail, return receipt requested, addressed to such address as may be given herein, or (b) delivered personally at such address.
7.3    Counterparts. This Agreement may be executed through the use of separate signature pages or in any number of counterparts, and each of such counterparts shall, for all purposes, constitute one agreement binding on all the parties, notwithstanding that all parties are not signatories to the same counterpart.
7.4    Binding Effect. Except as otherwise provided herein, this Agreement shall be binding upon and inure to the benefit of the parties and their heirs, executors, administrators, successors, legal representatives and assigns. If the undersigned is more than one person, the obligation of the undersigned shall be joint and several, and the agreements, representations, warranties and acknowledgments herein contained shall be deemed to be made by and be binding upon each such person and his or her heirs, executors, administrators and successors.
7.5    Entire Agreement. This Agreement and the License Agreement, constitute the entire agreement of the parties, and there are no representations, covenants or other agreements except as stated or referred to herein or therein.
7.6    Assignability. This Agreement is not transferable or assignable by the Purchaser without prior notice to the Company.
7.7    Applicable Law. This Agreement shall be governed and construed under the laws of the State of Delaware, without regard to its conflicts of law provisions.
7.8    Use of Speech. All pronouns contained herein and any variations thereof, shall be deemed to refer to the masculine, feminine or neuter, singular or plural, has the identity of the parties they require.

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7.9    Severability. The invalidity or unenforceability of any provision hereof shall in no way affect the validity or enforceability of any other provision.
7.10    Headings. Headings contained in this Agreement are only as a matter of convenience and in no way define, limit, extend or describe the scope of this Agreement or the intent of any provisions hereof.
IN WITNESS WHEREOF, the parties have executed this Stock Purchase Agreement as of the date first above written.
PURCHASER

KEYGENE N.V., a company organized and existing under the laws of the Netherlands

By: /s/ Arjen van Tunen    
Name: Dr. Arjen van Tunen
Title: CEO

COMPANY

GUARDANT HEALTH, INC., a Delaware corporation

By: /s/ Helmy Eltoukhy    
Name: Helmy Eltoukhy
Title: CEO

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ANNEX C
Development Plan for Licensed Products1 dated July 8, 2016
[***]

1 Licensed Product, either in plural or singular form, as used in the Development Plan above refers to products and/or services that include Licensed Activities.

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[***] Certain information in this document has been omitted and filed separately with the Securities and Exchange Commission.  Confidential treatment has been requested with respect to the omitted portions.Exhibit

Exhibit 10.7
[***] Certain information in this document has been omitted and filed separately with the Securities and Exchange Commission.  Confidential treatment has been requested with respect to the omitted portions.

SUPPLY AGREEMENT
This Supply and Service Agreement (the “Agreement”) is effective as of the date of last signature found below (the “Effective Date”) between Illumina Inc., a Delaware corporation having a place of business at 5200 Illumina Way, San Diego, CA 92122 (“Illumina”) and Guardant Health. Inc., having a place of business at 2686 Middlefield Road, Suite E, Redwood City, CA 94063 (“Customer”). Customer and Illumina may be referred to herein as “Party” or “Parties.”
		
	I.
	DEFINITIONS

“Afflliate(s)” means with respect to a Party, any entity that directly or indirectly, controls, is controlled by or is under common control with such Party for so long as such control exists. For purposes of this definition, an entity has control of another entity if it has the direct or indirect ability or power to direct or cause the direction of management policies of such other entity or otherwise direct the affairs of such other entity, whether through ownership of the voting securities of such other entity, by contract or otherwise.
“Application Specific IP” means any and all Illumina Intellectual Property Rights to the extent pertaining to or covering aspects or features of the Supplied Product (or use thereof) only with regard to (i.e., that are particular to) specific field(s) of use or specific application(s). Application Specific IP excludes all Core IP. By way of non-limiting example, [***] are examples of Application Specific IP.
“Clinical Use” means testing of human samples and specimens with Customer’s own Laboratory Developed Tests in a clinical laboratory in the [***] field, specifically excluding [***].
“Collection Territory” means the country or countries from which sample and specimens may be collected for testing by Customer for Clinical Use[***].
“Consumable(s)” means reagents and consumable items that are offered for sale under, purchased under, supplied under or otherwise governed by the terms and conditions of this Agreement and that are intended by Illumina for use with, and are to be consumed through the use of, Hardware and Existing Hardware. The Consumables that may be purchased under this Agreement as of the Effective Date are set forth in Exhibit A, Part 2. Consumables are either TG Consumables or non-TG Consumables (including Temporary Consumables), or custom. All references in this Agreement to Consumables means both TG Consumables and Non-TG Consumables unless specified otherwise in this Agreement
“Core IP” means any and all Illumina Intellectual Property Rights to the extent pertaining to or covering [***]. To avoid any doubt, and without limitation, Core IP specifically excludes [***].
“Customer Use” means Clinical Use and Research Use.

“Documentation” means Illumina’s user manual, package insert, and similar documentation, for the Supplied Product in effect on the date that the Supplied Product ships. Documentation may contain additional terms and conditions (which are hereby incorporated into this Agreement by reference) and may be provided (including by reference to a website) with the Supplied Product at the time of shipment or may be provided electronically by Illumina.
“Excluded Activities” means any and all uses of a Supplied Product that (A) is not in accordance with the Supplied Product’s Specifications or Documentation, (B) requires grants of rights or a license to Application Specific IP (C) is a reuse of a previously used Consumable except to the extent the Specifications or Documentation for the applicable Consumable expressly states otherwise, (D) is the disassembling, reverse-engineering, reverse-compiling, or reverse-assembling of the Supplied Product, (E) is the separation, extraction, or isolation of components of Consumables or other unauthorized analysis of the Consumables, (F) gains access to or determines the methods of operation of the Supplied Product, (G) is the use of third party On-Hardware Consumables with Hardware (unless the Specifications or Documentation state otherwise), (H) is the transfer to a third-party of, or sub-licensing of, Software or third-party software (including to an Affiliate of Customer), or (I) is the use of the Supplied Products in a facility not owned by, leased by, or otherwise under the contractual control of Customer.
“Existing Hardware” means those Illumina instruments, accessories or peripherals that Customer purchased from Illumina prior to the Effective Date. In the event of any conflict between the original supply terms for Existing Hardware and the terms and conditions of this Agreement, the terms and conditions of this Agreement shall supersede and govern Customer’s use of the Existing Hardware, subject to Section 8.1 regarding warranty for Existing Hardware.
“Force Majeure” is defined in Section 13.8.
“Hardware” means instruments, accessories or peripherals that are offered for sale under, purchased under, supplied under or otherwise governed by the terms and conditions of this Agreement. The Hardware that may be purchased under this Agreement as of the Effective Date is set forth in Exhibit A, Part 1.
“Illumina Intellectual Property Rights” means any and all Intellectual Property Rights owned or controlled (including under license) by Illumina or Affiliates of Illumina as of the date the Supplied Product ships. Application Specific IP and Core IP are separate, non-overlapping, subsets within the Illumina Intellectual Property Rights.
“Intellectual Property Right(s)” means all rights in patent, copyrights (including rights in computer software), trade secrets, know-how, trademark, service mark and trade dress rights and other industrial or intellectual property rights under the laws of any jurisdiction whether registered or not and including all applications or rights to apply therefor and registrations thereto.

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“Laboratory Developed Test” means a test developed by Customer and performed by Customer in its own laboratory facility, which in the United States is regulated under the Clinical Laboratory Improvement Act (i.e., CLIA).
“Law” means all statutes, statutory instruments, regulations, ordinances, or legislation to which a Party is subject; common law and the law of equity as applicable to a Party, binding court orders, judgments or decrees; industry code of practice, guidance, policy or standards enforceable by law; and applicable, direction, policies, guidance, rules or orders made or given by a governmental or regulatory authority.
“On-Hardware Consumable” means a reagent or consumable that is used to perform a process on a sequencing or genotyping instrument in question. Non-limiting examples of On‐Hardware Consumables supplied under this Agreement are [***], which are used to perform processes on Hardware and Existing Hardware.
“Off-Hardware Consumable” means a reagent or consumable that is used to perform a process or step that is not performed on a sequencing or genotyping instrument in question. Non-limiting examples of Off-Hardware Consumables include [***], which are used to prepare a sample for subsequent processing on Hardware or Existing Hardware.
“[***]” means [***] and includes without limitation [***].
“Other IP” means any and all Intellectual Property Rights of third parties (excluding Illumina’s Affiliates) to the extent pertaining to or covering aspects or features of the Supplied Product (or use thereof) with regard to any specific field(s) of use or specific application(s). By way of non‐limiting example, [***] are examples of Other IP. Other IP excludes all Core IP and Application Specific IP.
“Purchase Order” means written purchase orders as defined in Section 6.1.
“Regulatory Approvals” means any and all regulatory approvals, licenses, and/or certifications necessary for Customer to use the Supplied Products as intended by Customer for Customer Use.
“Research Use” means internal research, which includes performance of research services provided to third-parties, specifically excluding any and all Excluded Activities. Research Use includes performance of clinical trials in cases where the data generated from use of the Supplied Products is not used to inform a treatment decision.
“Service Contract” is the written agreement that governs the provision of service and maintenance for Hardware Illumina.
“Software” means software (including without limitation Hardware operating software data analysis software) supplied under or otherwise governed by the terms and conditions of this Agreement regardless of whether it is embedded in or installed on Hardware or provided separately.

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“Specifications” means Illumina’s written or electronically published specifications for a Supplied Product in effect for that Supplied Product on the date that the Supplied Product ships.
“Supplied Product(s)” means the Consumables, Hardware, and or Software that are offered for sale under, purchased under, supplied under or otherwise acquired under and governed by the terms and conditions of this Agreement.
“Temporary Consumable” means Non-TG Consumables that Illumina has authorized (in writing, including in this Agreement) Customer to purchase under this Agreement and use for Clinical Use as well as Research Use.
“Term” means the term of this Agreement as defined in Section 12.1.
“Territory” means the country or countries in which Customer may use the Supplied Products. The Territory is the United States.
“TG Consumables” means those Consumables that are designated with the pre-fix “TG” in their catalogue number.
		
	II.
	GOVERNING TERMS; SUPPLIED PRODUCTS AND [***]

2.1    Exclusive Governing Terms. This Agreement (together with the applicable Documentation and Specifications) exclusively governs the ordering, purchase, supply, and use of Supplied Product, and its terms shall prevail and override any conflicting, amending and/or additional terms contained in any purchase orders, invoices or similar documents, which are hereby rejected and shall be null and void. Failure of Illumina or Customer to object to any such conflicting, amending and/or additional terms shall not constitute a waiver by Illumina or Customer, nor constitute acceptance by Illumina or Customer of such terms. All of Customer’s purchases of products from Illumina shall be made under this Agreement. Customer shall notify Illumina if it desires to purchase a product that is not listed on Exhibit A, and the Parties will negotiate an appropriate amendment to add the product(s) to Exhibit A. The conditions, requirements, exclusions and restrictions on Supplied Product use and other activities set forth in this Agreement are bargained for conditions of sale and, therefore, control the sale of such Supplied Products and the rights in and to Supplied Products conferred upon Customer at purchase. For the avoidance of doubt, this Agreement is personal to Customer and the rights and obligations regarding purchase and supply do not extend to Affiliates of Customer.
2.2    Supplied Products; [***].
a.    Supplied Products. The Supplied Products and any applicable Service Contracts along with [***] are set forth on Exhibit A. If [***] for a Supplied Product or Service Contract is not set forth in Exhibit A, the Parties will agree to [***]. [***] under this Agreement shall be [***].

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b.    Service Contract. If a Service Contract for Hardware is being provided hereunder, then Illumina’s standard terms and conditions for such Service Contract shall exclusively govern such Service contract. Customer agrees that all Service Contracts are both personal to Customer and facility specific: unless otherwise agreed in writing by Illumina, Service Contract cannot be transferred to a third party and may not be transferred to a new facility if the Hardware is relocated.
		
	III.
	USE RIGHTS FOR SUPPLIED PRODUCTS

3.1    Authorized Uses of Supplied Products.
a.    Research Use Rights. Subject to the terms and conditions of this Agreement, Customer’s purchase of each unit of Supplied Product under this Agreement confers upon Customer [***]. The Parties agree that the preceding sentence is designed to and does alter the effect of the exhaustion of patent rights that would otherwise result if the sale was made without restriction.
b.    Clinical Use Rights. Subject to the terms and conditions of this Agreement, Customer’s purchase of each unit of TG Consumable and Temporary Consumable under this Agreement confers upon Customer [***]. The Parties agree that the preceding sentence is designed to and does alter the effect of the exhaustion of patent rights that would otherwise result if the sale was made without restriction.
c.    Software. Subject to the terms and conditions of this Agreement Customer has the right to use Software solely in connection with Hardware, Existing Hardware and Consumables for (i) Research Use in Customer’s facility in the Territory, and (ii) for Clinical Use in Customer’s facility in the Territory, only on specimens collected from the Collection Territory, and in both of the preceding (i) and (ii) only in accordance with the use rights set forth in this Section 3.1 and any applicable end-user license agreement. All Software is licensed, not sold, to Customer, is non-transferable, non-sublicensable, and may be subject to additional terms set forth in the end user license agreement. With respect to Software, references in this Agreement to “purchase” or “sale” of Supplied Product (and similar grammatical variations) are understood to mean that Software is licensed under this Agreement and not sold.
d.    Existing Hardware. The rights conferred upon Customer with purchase of Consumables under this Agreement as set forth in Section 3.1(a) and (b) include the right for Customer to use Existing Hardware (and Software embedded or installed therein) with those Consumables to the same extent as Customer has the right to use Hardware and Software with Consumables purchased under this Agreement. With respect only to Customer Use rights set forth in Sections 3.2(a) and (b), including without limitation, the related requirements, restrictions, limitations, and exclusions set forth in this Agreement, reference to Hardware is understood to include Existing Hardware, even if not expressly stated.

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3.2    Limitations on Customer Use; Excluded Activities.
a.    Certain Limitations on Use. Customer agrees that (i) it will not use a Supplied Product for or in any Excluded Activity, (ii) it will not transfer to a third-party, or grant a sublicense to, any Software or any third-party software, (iii) it will use the Supplied Products only within the scope of the Illumina Intellectual Property Rights and permitted field of use within Customer Use expressly conferred upon Customer with purchase of each unit of Supplied Product in accordance with Section 3.1 (Authorized Uses of Supplied Products).
b.    Consumables; On-Instrument Consumables; Off-Instrument Consumables. Consumables and Hardware were specifically designed and manufactured to operate together. Customer acknowledges and agrees that (i) with respect to On-Hardware Consumables used with Hardware and Software, it will only use Consumables, (ii) with respect to Clinical Use the only On‐Hardware Consumables it will use with Hardware and Software are EG Consumables or Temporary Consumables, (iii) it will use Non-TG Consumables only for Research Use (except to the extent applicable to Temporary Consumables), (iv) Customer is not granted any right under this Agreement to manufacture, or have manufactured, any reagent, Consumable or substitute therefor, even for use in place of an On-Hardware Consumable, even for its own use, and (v) Customer is not granted any right under this Agreement to perform any direct-to-consumer activity, or to market or place on the market, distribute, offer to sell or sell any kit or product, including an in-vitro diagnostic kit. 
c.    Illumina Proprietary Information. Customer acknowledges that the contents of and methods of operation of the Supplied Products are proprietary to Illumina and/or its Affiliates and contain or embody trade secrets of Illumina and/or its Affiliates. With respect to [***] that are included in Supplied Products, Customer agrees that it shall only use the same with the Supplied Products.
d.    Documentation. Customer agrees that it will not alter, modify, copy or remove the Documentation from Customer’s facility unless expressly permitted to do so in the Documentation or in this Agreement. Permitted copies of the Documentation shall include Illumina’s copyright and other proprietary notices.
		
	IV.
	INTELLECTUAL PROPERTY RIGHTS

4.1    Core IP and Application Specific IP. Customer’s purchase of Supplied Products under this Agreement confers upon Customer, on a unit by unit basis, only the use rights under Core IP set forth in Section 3.1(a) and (b) and no rights under Application Specific IP. As of the Effective Date, Customer has determined that its intended use of Supplied Product does not require rights under Application Specific IP. If Customer requires rights under Application Specific IP (whether the requirement is determined by Customer or Illumina), then it will obtain the required rights from Illumina or Customer will discontinue use of Supplied Products in a manner that requires rights to Application Specific IP. Illumina will [***] Customer’s request to obtain rights under Application Specific IP. Any future grant by Illumina to Customer of rights to Application Specific IP will be [***], and will be granted, [***], under a separate written agreement.

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4.2    Other IP. Customer’s intended use of the Supplied Products may require that it obtain license or other rights to third party Intellectual Property Rights, including Other IP, to use Supplied Products for any and all applications within Customer Use without infringement or misuse of such third party Intellectual Property Rights. It is Customer’s responsibility to ensure that it has or obtains rights to all third-party Intellectual Property Rights that are required for Customer to use the Supplied Products for Customer Use without infringement or misuse of such third‐party Intellectual Property Rights, subject to the limited obligation of Illumina to indemnify Customer for infringement of certain third-party Intellectual Property Rights as expressly set forth in Section 11.1.
4.3    All Rights Reserved.
a.    The rights conferred upon Customer under this Agreement are limited to those use right (field of use under the stated Illumina Intellectual Property Rights) expressly conferred upon Customer upon purchase of each unit of Supplied Products under this Agreement, as expressly stated in Section 3.1 (Authorized Uses of Supplied Products), and Customer agrees that any use of Supplied Products outside the scope of such use rights is a prohibited and unauthorized use. All prohibited and unauthorized uses are expressly excluded from Customer Use. Illumina, on behalf of itself and its Affiliates (and their respective successors and assigns), retains all and does not waive the right to enforce Illumina Intellectual Property Rights and bring suit or proceedings against any person or entity, including Customer (and its Affiliates, and their respective successors and assigns), with respect to any and all prohibited or unauthorized uses of Supplied Product or Existing Hardware. Customer agrees that actual knowledge by Illumina, Illumina’s Affiliates, or their respective directors, officers, employees, or agents that Customer is using Supplied Product in any unauthorised or unpermitted manner, does not (i) waive or otherwise limit any rights under this Agreement or at Law that Illumina, Illumina’s Affiliates or their respective successors and assigns, have to address the unauthorized oi unpermitted use, or (ii) grant Customer a license or other right to any Illumina Intellectual Property Right, whether by implication, estoppel, or otherwise.
b.    Except as expressly stated in Section 3.1 (Authorized Uses of Supplied Products), no sublicense or other right or license under any Illumina Intellectual Property Rights is or are granted, expressly, by implication, by estoppel or otherwise, under this Agreement. Supplied Products and Existing Hardware may be covered by one or more patents in the territory. Illumina does not represent, warrant, covenant or undertake that use of Supplied Product for any or all applications within Customer Use will not infringe or be a misuse of Application Specific IP or third party Intellectual Property Rights, including Other IP, and expressly disclaims and excludes any statement or implication otherwise, to the maximum extent permitted by law. Notwithstanding anything in this Agreement to the contrary, Customer assumes all risk associated with not obtaining any required rights to Other IP or Application Specific IP.
		
	V.
	REGULATORY

5.1    Research Supplied Products. The Supplied Products are labelled for Research Use Only. Customer acknowledges that, unless expressly stated otherwise in writing by Illumina, no 

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Supplied Product has been subjected to any conformity assessment or other regulatory review or certified, approved or cleared by any regulatory entity or conformity assessment body, whether foreign or domestic (including without limitation the United States Food and Drug Administration), or otherwise reviewed, cleared or approved under any Law for any purpose, whether research, commercial, diagnostic or otherwise. Purchaser agrees to comply with all applicable laws and regulations when using, maintaining, and disposing of Supplied Product. In the event any Supplied Product added to this Agreement after the Effective Date has been certified, approved or cleared by a regulatory agency, including without limitation the FDA, then it may be subject to additional terms and conditions of sale and this Agreement will be amended as may be necessary.
5.2    Regulatory Approvals. Customer and not Illumina, is responsible for obtaining any and all Regulatory Approval. Customer agrees to promptly disclose to Illumina any communication that it receives from a government body, agency or other regulatory or accrediting body directly pertaining to the Supplied Products or to Customer’s use of the Supplied Products. Any such communication is the Confidential information of Customer and any use or disclosure of such communication by Illumina is subject to the restrictions on the use and disclosure of Confidential Information set forth in Section 9.1, provided that, Illumina may use such information as it deems reasonably necessary to ensure its compliance with Law.
5.3    Regulatory Appropriate Product. If [***] that it is proper from a regulatory standpoint to discontinue sale of any Supplied Product to Customer for an application within Customer Use and Illumina makes available for purchase by Customer a product or combination of products that has a relevant regulatory status more appropriate for such application within Customer Use then Customer will transition to the use of that product or combination of products and cease using the applicable Supplied Product for that application within Customer Use within [***] after that product or combination of products is available for purchase by Customer (unless a shorter time period for transition is required by Law, in which case, within that shorter time period). In such event, the Parties will work together in good faith to coordinate such transition and, if necessary modify other terms and conditions of this Agreement.
5.4    Quality Audits. Illumina agrees to allow Customer to audit Illumina operations that pertain to TG Consumables, upon [***] prior written notice, during normal business hours, no more often than [***], and at Customer’s sole expense, only to the extent necessary to satisfy Customer’s obligations under applicable Law. The locations, times, dates, scope, and objective for such audits will be mutually agreed upon in writing between the Parties prior to conducting the audit. Customer shall comply with all Illumina’s reasonable directions and the terms of Article 9 (Confidential Information) when conducting the audit. If requested by Illumina, Customer shall procure that any person conducting the audit sign Illumina’s confidentiality agreement prior to conducting such audit.
		
	VI.
	PURCHASING; PAYMENT; DELIVERY

6.1    Purchase Orders; Acceptance; Cancellation. Customer shall order Supplied Product using written purchase orders (“Purchase Order(s)”) submitted under and in accordance with 

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this Agreement. Purchase Orders shall state, at a minimum, the Illumina catalogue number, the Illumina provided quote number (or other reference provided by Illumina), the quantity ordered, price, requested delivery date, end address for delivery, and shall reference this Agreement. All Purchase Orders shall be sent to the attention of Illumina Customer Solutions or to any other person or department designated by Illumina in writing. Acceptance of a Purchase Order occurs when Illumina provides Customer a sales order confirmation. Purchase Orders submitted m accordance with this Agreement will not be unreasonably rejected by Illumina. Except as expressly stated in Section 7.4 (Payment Instead of Taking TG Consumables), all Purchase Orders accepted by Illumina are non-cancelable by Customer and may not be modified without the prior written consent of Illumina.
6.2    Invoices; Payment; Taxes.
a.    Invoices and Payment. Illumina shall issue invoices upon shipment of Supplied Products or upon provision of Service Contracts, as applicable. Invoices shall be sent to Customer’s accounts payable department, or any other address designated by Customer in writing. All invoices are payable as of the date of invoice any payments by Customer on such invoices are due within [***] after the date of the invoice. Without limiting any remedies available to Illumina, any amounts not paid when due under this Agreement will accrue interest at the rate of [***]% per month, or the maximum amount allowed by Law, if lower. In the event of nonpayment, Illumina shall have the right to take any action allowed in Law in addition to any rights or remedies under this Agreement, including without limitation, [***] until all payments are made current. Customer shall pay for all costs (including reasonable attorneys and other legal fees and fees of collection agencies) incurred by Illumina in connection with the collection of late payments. Each Purchase Order is a separate, independent transaction under this Agreement, and all amounts due under any other Purchase Order or other transactions with Illumina shall be paid by the Customer in full without any set-off, counterclaim, deduction or withholding. Customer agrees, to pay for Supplied Products supplied, and for Services provided, hereunder in accordance with the terms and conditions, of this Agreement.
b.    Taxes. All prices and other amounts payable to Illumina hereunder are exclusive of and are payable without withholding or deduction for taxes, GST, VAT, customs duties, tariffs, charges or otherwise as required by Law from time to time upon the sale of the Supplied Product or provision of Services, all of which will be added to the purchase price or subsequently invoiced to the Customer to gross up any payment in respect of which withholding or deduction is required to be made.
6.3    Shipping Terms; Title and Risk of Loss; Ship Date Changes.
a.    Shipping; Title, Risk of Loss. Unless otherwise agreed upon in writing, all shipments are made DAP (Incoterms 2010) at Customer’s address on the Purchase Order and Customer is responsible for freight and insurance which will be added to the invoice and paid by Customer. In all cases, title (except for Software and third-party software) and risk of loss transfers to Customer when Supplied Product is made available at such address.

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b.    Ship Date Changes. The latest ship date allowed for any Supplied Product under a Purchase Order is the date that is [***] after the date the Purchase Order was received by Illumina. Subject to the terms and conditions of this Agreement, Illumina will use reasonable efforts, but makes no guarantee and does not undertake that it will be able, to accommodate Customer requests to bring forward the ship dates for Supplied Products on a Purchase Order.
		
	VII.
	TG CONSUMABLES – ADDITIONAL TERMS AMD CONDITIONS

7.1    Expiry Date: Single Lot Shipments/ Kit Lot Testing for TG Consumables.
a.    Expiry Date for TG Consumables. Illumina shall [***] to ensure that TG Consumables shall have an expiry date that is no less than [***] at the time of shipment. Expiry date will be pre-printed on the TG Consumable packaging.
b.    Single Lot Shipments. Illumina shall use [***] to ensure each shipment of a given TG Consumable supplied under this Agreement includes only such TG Consumable manufactured from the same lot.
c.    Kit Lot Testing. Illumina shall use [***] to test each component reagent that comprises a given TG Consumable supplied under this Agreement, together with the other component reagents of that TG Consumable to ensure their functionality [***].
d.    Certificates of Analysis. Illumina shall, provide a Certificate of Analysis for each lot of TG Consumables sold to Customer under this Agreement. In testing TG Consumables, Illumina will provide testing information that Illumina deems appropriate to report quality of each lot of TG Consumables.
7.2    TG Consumable Lead Time. Subject to the terms and conditions of this Agreement a Purchase Order for TG Consumables is submitted (a) by the [***], the first shipment of TG Consumables on the Purchase Order will be no earlier than [***] from the date the Purchase Order is accepted by Illumina and (b) after the [***], the first shipment of TG Consumables on the Purchase Order will be no later than [***] from the date the Purchase Order is accepted by Illumina.
7.3    Forecasts for TG Consumables. Customer shall, no later than the [***], provide a written non-binding forecast detailing the estimated quantity of TG Consumables, on a TG Consumable-by-TG Consumable basis, that Customer requires during the following [***].
7.4    Payment Instead of Taking TG Consumable. The type and quantity of TG Consumables required by Customer on a Purchase Order are manufactured by Illumina only after receipt of Customer’s Purchase Order for those TG Consumables. Except with respect to the Initial Purchase Order (if applicable), which may not be cancelled, and except as stated in Section 7.5, subpart (ii), Customer may cancel all or part of a Purchase Order for TG Consumables under this Agreement, provided that Illumina reserves the right to charge Customer up to [***]% of the purchase price of the canceled TG Consumables, and Customer agrees to 

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make payment on any and all invoices provided by Illumina for such charges in accordance with this Agreement.
7.5    Temporary Consumables. Subject to the terms and conditions of this Agreement, if Non‐TG Consumables are supplied under this Agreement as Temporary Consumables, then those Non-TG Consumables shall, solely for the purposes of Clinical Uses be considered to have the same Clinical Use rights as TG Consumables. With respect to Non-TG consumables for which Illumina does not have a corresponding TG version (“TG Version”) generally available for purchase during the Term, at such time as Illumina does have a TG version generally available for purchase. Illumina will give Customer notice of the availability of that TG Version and at that time it shall automatically be added to Exhibit A of this Agreement and available for purchase by Customer. Notice may be by way of inclusion of the TG Version on a quote. Customer agrees that (i) within [***] of the date of such notice Customer will cease using the applicable Non-TG Consumables as Temporary Consumables for Clinical Use, (ii) it will promptly modify or cancel existing open Purchase Orders (without being subject to the charge set forth in Section 7.4) as needed so as to ensure that Customer will no longer receive the applicable Non-TG Consumables as Temporary Consumables after this date that is [***] after the date of the notice unless Customer will use such Non-TG Consumables only for Research Use and (iii) Customer will not place additional Purchase Orders for the applicable Non‐TG Consumables, as Temporary Consumables for Clinical Use after receipt of such notice.
7.6    Discontinuation/Changes to Certain Supplied Products.
a.    TG Consumables.
(i)    TG Consumables will not be manufactured in their current configurations indefinitely as a result of product life cycle or other business considerations. Accordingly, a given TG Consumable may be phased out of production and no longer available and/or there may be a new, reconfigured, or repackaged version of a TG Consumable that embodies a material change to form, fit or function of such TG Consumable (such discontinued or materially changed TG Consumable is referred to as a “Discontinued Consumable”). Any product or combination of products that is attended by Illumina to replace such Discontinued Consumable snail be referred to as a “Substitute Consumable.” In some instances a Substitute Consumable may differ from the Discontinued Consumable through changes in one or more components that comprised the Discontinued Consumable (“Changed Components”). In other instances the Substitute Consumable may represent a complete change from the Discontinued Consumable (“Complete Change”).
(ii)    In the case of a Discontinued Consumable that will have Changed Components, Illumina will use [***] to make the Changed Components and instructions on how to modify the Discontinued Consumable in order to use the Changed Components available as soon as practical, but no later than [***] prior to the date that the Discontinued Consumable will no longer be available for purchase. Illumina will provide a reasonable quantity of Changed Components free of charge to facilitate Customer’s validation efforts in support of the change.

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(iii)    In the case of a Discontinued Consumable that will have a Complete Change, Illumina will use [***] to make the Substitute Consumable available for purchase by Customer as soon as practical, but no later than [***] prior to the date that the Discontinued Consumable will no longer be available for purchase. Illumina will provide a [***] quantity of Substitute Consumable free of charge to facilitate Customer’s validation efforts in support of the change.
(iv)    Once a Discontinued Consumable is no longer available for purchase (either in the instance of a Complete Change or Changed Component), Illumina will give Customer written notice (which may be by way of quote) and the Substitute Consumable will automatically be added to this Agreement as a Consumable and the Discontinued Consumable will be removed. The price for a Substitute Consumable will be Illumina’s published list price for the Substitute Consumable. Use of Substitute Consumables shall be subject to the terms and conditions of this Agreement.
b.    Other Supplied Products. Not applicable.
7.7    TG Consumable Ship Schedule. Each Purchase Order for TG Consumables must include a ship schedule, to be agreed to between Illumina and Customer prior to Illumina accepting that Purchase Order, that details the quantity of and type of TG Consumables (on a TG Consumable-by-TG Consumable basis) that Customer requires to be delivered in each calendar month that is covered by the Purchase Order.
		
	VIII.
	WARRANTY

8.1    Warranty for Supplied Products. All warranties are personal to Customer and may not be transferred or assigned to a third party, including an Affiliate of Customer. All warranties for Hardware are facility specific and do not transfer and are void if the Hardware is used at or moved to another facility, including moved to, between, or among facilities of Customer, unless Illumina conducts such move. All warranties tor Consumables are facility specific and cannot be reshipped, including re-shipments between or among facilities of Customer. The warranties set forth in this Agreement only apply to units of Supplied Products purchased under this Agreement. Warranty for Existing Hardware is as stated in the original terms of sale.
a.    Warranty for Consumables. Illumina warrants, except as expressly stated otherwise in this Agreement that Consumables other than custom Consumables, will conform to their Specifications until the later of (i) for TG Consumables, [***] from the date of shipment from Illumina and for non-TG Consumables, [***] from the date of shipment from Illumina and (ii) [***], but in no event later than [***] firm the date of shipment. With respect to custom Consumables (i.e., Consumables, made by Illumina to specifications or designs provided to Illumina by or on behalf of Customer) Illumina only warrants that the custom Consumables will be made and tested in accordance with Illumina’s standard manufacturing and quality control processes. Illumina makes no warranty that custom Consumables will work as intended by Customer or for Customer’s intended uses

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b.    Warranty for Hardware. Illumina warrant that Hardware, other than Upgraded Components will conform to its Specifications for a period of [***] after its shipment date from Illumina unless the Hardware includes Illumina-provided installation, in which case the warranty period begins on the date of installation or [***] after the date the Illumina Hardware was delivered, whichever occurs first (“Base Hardware Warranty”). “Upgraded Components” means Illumina-provided component, modifications, or enhancements to Hardware that was acquired by Customer prior to the date Illumina provides these Upgraded Components. Illumina warrants that Upgraded Components will conform to their Specifications for the longer of the Base Hardware Warranty or a period of [***] from the date the Upgraded Components are installed. Upgraded Components do not extend the Base Hardware Warranty.
8.2    Exclusions from Warranty Coverage. The foregoing warranties in Section 8.1 shall not apply to the extent a non-conformance is due to (a) abuse, misuse, neglect, negligence, accident, improper storage, or use contrary to the Documentation (misuse includes use of a Consumable more than one time), (b) improper handling, installation, maintenance, or repair (other than by Illumina personnel) (c) unauthorized alteration, (d) an event of Force Majeure, or (e) use with a third party’s goods not provided by Illumina (unless the applicable Documentation or Specifications expressly state such third party’s goods is for use with it).
8.3    Sole Remedy. The following states Customer’s sole remedy and Illumina’s sole obligations under the foregoing warranties.
a.    Consumables. Illumina will repair or replace the non-conforming Consumable in its sole discretion. Repaired or replaced Non-TG Consumables come with a warranty of [***] after delivery of the repaired or replaced Consumable. Repaired or replaced TG Consumables come with a warranty that is the longer of [***] or [***]. In no event will the warranty for repaired or replaced Consumables be later than [***] from the date of shipment. With respect to replaced TG Consumables, Illumina will use commercially reasonable efforts to provide replacement TG Consumables in a Customer’s scheduled shipment where single lot per shipment can be maintained.
b.    Hardware. Illumina will repair or replace the non-conforming Hardware in its sole discretion. Hardware may be repaired or replaced with functionally equivalent, reconditioned, like new fully refurbished or new Hardware or components (if only a component of Hardware is non-conforming), provided that non-conforming Hardware that is less than [***] into the warranty period will be replaced with new Hardware. If the Hardware is replaced in its entirety, or if only a component is/are being repaired or replaced, the warranty period for the replacement Hardware is the longer of [***] or [***]. Replaced or repaired component do not extend the original Hardware warranty period.
8.4    Procedure. In order to be eligible for repair or replacement under this warranty Customer must (a) promptly contact Illumina’s customer support department to report the non‐conformance, (b) cooperate with Illumina in the diagnosis of the non-conformance, and (c) return the Supplied Product, transportation charges paid by Illumina, to Illumina following 

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Illumina’s instructions or if agreed by Illumina, grant Illumina’s authorized repair personnel access to this Supplied Product in order to confirm the non-conformance and make repairs.
8.5    Third-Party Goods. Illumina has no warranty obligations with respect to any goods or software originating from a third party, including without limitation, any such good or software supplied to Customer under this Agreement. Third-party goods or software are those that are labeled or branded with a third party’s name. The warranty for third-party goods or software, if any, is provided by the original manufacture. Illumina will cooperate with Customer in filing any warranty claims with such third parties.
8.6    Limited Warranties. TO THE EXTENT PERMITTED BY LAW AND EXCEPT FOR THE EXPRESS LIMITED WARRANTIES FOR SUPPLIED PRODUCTS SET FORTH IN SECTION 8.1 AND 8.3 OH THUS AGREEMENT, ILLUMINA MAKES NO (AND EXPRESSLY DISCLAIMS ALL) WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, WITH RESPECT TO THE SUPPLIED PRODUCTS OF ANY SERVICES PROVIDED IN CONNECTION WITH THIS AGREEMENT INCLUDING WITHOUT LIMITATION ANY IMPLIED WARRANTY OF MERCHANTABILITY OR SATISFACTORY QUALITY, FITNESS FOR A PARTICULAR PURPOSE, CARE AND SKILL, NONINFRINGFMENT, OR ARISING FROM COURSE OF PERFORMANCE DEALING, USAGE OR TRADE. WITHOUT LIMITING THE GENERALITY OF THE FOREGOING. ILLUMINA MAKES NO CLAIM, REPRESENTATION, OR WARRANTY OF ANY KIND AS TO UTILITY OF THE SUPPLIED PRODUCTS FOR CUSTOMER’S INTENDED USES.
		
	IX.
	CONFIDENTIAL INFORMATION

9.1    Confidential Information; Confidentiality. The Parties acknowledge that a Party (the “Recipient Party”) may have access to confidential or proprietary information (“Confidential Information”) of the other Party (the “Disclosing Party”) in connection with this Agreement. In order to be protected as Confidential Information, information must be disclosed with a confidential or other similar propriety legend and in the case of orally or visually disclosed information, the Disclosing Party shall notify the Recipient Party of its confidential nature at the time of disclosure and provide a written summary that is marked with a confidential or other similar proprietary legend to the Recipient Party within [***] (email acceptable). Confidential Information may include, but shall not be limited to, inventions, designs, formulas, algorithms, trade secrets, know-how, customer lists, cost and pricing information, business and marketing plans, and other business, regulatory, manufacturing and financial information. This Agreement, including its terms, including pricing, is Confidential Information. During the Term of this Agreement and for a period of [***] thereafter, the Recipient Party shall hold the Disclosing Party’s Confidential Information in confidence using at least the degree of care that is used by the Recipient Party with respect to its own Confidential Information, but no less than reasonable care. The Recipient Party shall disclose the Confidential Information of the Disclosing Party solely on a need to know basis to its employees, contractors, officers, directors, representatives, and those of its Affiliates, under written confidentiality and restricted use terms or undertakings consistent with this Agreement. The Recipient Party shall not use the Disclosing Party’s Confidential Information for any purpose other than exercising its right and fulfilling its 

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obligations under this Agreement. The Confidential Information shall at all times remain the property of the Disclosing Party. The Recipient Party shall, upon written request of the Disclosing Party, return to the Disclosing Party or destroy the Confidential Information of the Disclosing Party. Notwithstanding the foregoing, the Recipient Party may maintain one copy of the Disclosing Party’s Confidential Information to be retained by the Recipient Party’s Legal Department for archival purposes only.
9.2    Exception. Notwithstanding any provision contained in this Agreement to the contrary, neither Party shall be required to maintain in confidence or be restricted in its use of any of the following: (a) information that, at the time of disclosure to the Recipient Party, is in the public domain through no breach of this Agreement or breach of another obligation of confidentiality owed to the Disclosing Party or its Affiliates by the Receding Party, (b) information that, after disclosure hereunder, becomes part of the public domain by publication or otherwise, except by breach of this Agreement or breach of another obligation of confidentiality owed to the Disclosing Party or its Affiliate by the Receiving Party; (c) information that was in the Recipient Party’s or its Affiliate’s possession at the time of disclosure hereunder by the Disclosing Party unless subject to an obligation of confidentiality or restricted use owed to the Disclosing Party or its Affiliate; (d) information that is independently developed by or for the Recipient Party or its Affiliates without use of or reliance on Confidential Information of the Disclosing Party, or (e) information that the Recipient Party receives from a third party where such third party was under no obligation of confidentiality to the Disclosing Party or its Affiliate with respect to such information.
9.3    Disclosures Required by Law. The Recipient Party may disclose Confidential Information of the Disclosing Party as required by court order, operation of law, or government regulation, including in connection with submissions to regulatory authorities with respect to the Supplied Products; provided that, the Recipient Party promptly notifies the Disclosing Party of the specifics of such requirement prior to the actual disclosure, or promptly thereafter if prior disclosure is impractical under the circumstances, uses diligent and reasonable efforts to limit the scope of such disclosure or obtain confidential treatment of the Confidential Information if available, and allows the Disclosing Party to participate in the process undertaken to protect the confidentiality of the Disclosing Party’s Confidential Information including, without limitation, cooperating with the Disclosing Party in its efforts to permit the Receiving Party to comply with the requirements of such order, law, or regulation in a manner that discloses the least amount necessary, if any, of the Confidential Information of the Disclosing Party.
9.4    Injunctive Relief. Each Party acknowledges that any use or disclosure of the other Party’s Confidential Information other than in accordance with this Agreement may cause irreparable damage to the other Party. Therefore, in the event of any such use or disclosure or threatened use or threatened disclosure of the Confidential Information of either Party hereto, the non-breaching Party shall be entitled, in addition to all other rights and remedies available at Law, to seek injunctive relief against the breach or threatened breach of any obligations under this Article IX.

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9.5    Disclosure of Agreement. Except as expressly provided otherwise in this Agreement, neither Party may disclose this Agreement, the terms and conditions of this Agreement, including any financial terms thereof, and the subject matter of this Agreement to any third party without the prior written consent of the other Party, which consent shall not be unreasonably withheld. Notwithstanding anything in this Agreement to the contrary, Customer acknowledges and agrees that Illumina and its Affiliates, as healthcare companies, may, if required by applicable Law, disclose this Agreement, its terms, its subject matter, including financial terms (including without limitation Illumina’s compliance with Sunshine Act).
		
	X.
	LIMITATIONS OF LIABILITY; DISCLAIMERS; REPRESENTATIONS

10.1    Limitation of Liability.
a.    EXCEPT WITH RESPECT TO LIABILITY ARISING FROM (1) INDEMNIFICATION OBLIGATIONS UNDER ARTICLE XI, (2) BREACH OF ARTICLE IX (CONFIDENTIAL INFORMATION, OR (3) INTENTIONAL BREACH OR MISCONDUCT UNDER THIS AGREEMENT, BUT OTHERWISE TO THE EXTENT PERMITTED BY LAW, IN NO EVENT SHALL ILLUMINA OR ITS AFFILIATES BE LIABLE TO CUSTOMER, NOR SHALL CUSTOMER OR ITS AFFILIATES BE LIABLE TO ILLUMINA, FOR COSTS OF PROCUREMENT OF SUBSTITUTE SUPPLIED PRODUCTS OR SERVICES, LOST PROFITS, DATA OR BUSINESS, OR FOR ANY INDIRECT, SPECIAL, INCIDENTAL, EXEMPLARY, CONSEQUENTIAL, OR PUNITIVE DAMAGES OF ANY KIND ARISING OUT OF OR IN CONNECTION WITH THIS AGREEMENT, INCLUDING WITHOUT LIMITATION, THE SALE OF ANY SUPPLIED PRODUCT TO CUSTOMER, USE OR ANY SUPPLIED PRODUCT BY CUSTOMER, ILLUMINA’S PERFORMANCE HEREUNDER OR ANY OF THE TERMS AND CONDITIONS OF THIS AGREEMENT, HOWEVER ARISING OR CAUSED AND ON ANY THEORY OF LIABILITY (WHETHER IN CONTRACT, TORT (INCLUDING NEGLIGENCE), STRICT LIABILITY, MISREPRESENTATION, BREACH OF STATUTORY DU FY OR OTHERWISE).
b.    EXCEPT WITH RESPECT TO LIABILITY ARISING FROM (1) ILLUMINA’S INDEMNIFICATION OBLIGATIONS UNDER ARTICLE XI, (2) BREACH BY ILLUMINA OF ARTICLE IX (CONFIDENTIAL INFORMATION), OR (3) ILLUMINA’S INTENTIONAL BREACH OR MISCONDUCT UNDER THIS AGREEMENT, BUT OTHERWISE TO THE EXTENT PERMITTED BY LAW, ILLUMINA’S TOTAL AND CUMULATIVE LIABILITY TO CUSTOMER ARISING UNDER OR IN CONNECTION WITH THIS AGREEMENT WHETHER IN CONTRACT, TORT (INCLUDING NEGLIGENCE), STRICT LIABILITY, MISREPRESENTATION, BREACH OF STATUTORY DUTY OR OTHERWISE SHALL IN NO EVENT EXCEED [***].
c.    EXCEPT WITH RESPECT TO LIABILITY ARISING FROM (1) CUSTOMER’S INDEMNIFICATION OBLIGATIONS UNDER ARTICLE XI, (2) CUSTOMER’S BREACH OF ARTICLE IX (CONFIDENTIAL INFORMATION), (3) CUSTOMER’S INTENTIONAL BREACH OR MISCONDUCT UNDER THIS AGREEMENT AND (4) CUSTOMER’S PAYMENT OBLIGATIONS UNDER THIS AGREEMENT, BUT 

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OTHERWISE TO THE EXTENT PERMITTED BY LAW, CUSTOMER’S TOTAL AND CUMULATIVE LIABILITY TO ILLUMINA ARISING UNDER OR IN CONNECTION WITH THIS AGREEMENT, WHETHER IN CONTRACT, TORT (INCLUDING NEGLIGENCE), STRICT LIABILITY, MISREPRESENTATION. BREACH OF STATUTORY DUTY OR OTHERWISE SHALL IN NO EVENT EXCEED [***].
d.    THE LIMITATION OF LIABILITY IN THIS SECTION SHALL APPLY EVEN IF ILLUMINA OR ITS AFFILIATES OR CUSTOMER AND ITS AFFILIATES HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH LIABILITY, AND NOTWITHSTANDING ANY FAILURE OF ESSENTIAL PURPOSE OF ANY LIMITED REMEDY. NOTWITHSTANDING ANYTHING IN THIS AGREEMENT TO THE CONTRARY, INCLUDING WITHOUT LIMITATION, IN THIS ARTICLE X, THIS AGREEMENT DOES NOT LIMIT LIABILITY OF CUSTOMER OR ITS AFFILIATES FOR ANY INFRINGEMENT OF INTELLECTUAL PROPERTY RIGHTS, INCLUDING WITHOUT LIMITATION, APPLICATION SPECIFIC IP.
10.2    Customer Representations and Warranties. Customer represents and warrants and covenants that (a) it owns, leases, or otherwise contractually controls the facilities in which Supplied Products will be used for Customer Use; (b) it has the right and authority to enter into this Agreement without violating the terms of any other agreement; (c) it has all rights and licenses necessary to purchase and use the Supplied Products for Customer Use; and (d) the person(s) signing this Agreement on its behalf has the right and authority to bind Customer to the terms and conditions of this Agreement.
10.3    Customer Agreements. Customer is not an authorized dealer, representative, reseller, or distributor of any of Illumina, or its Affiliate’s, products, or service. Customer (a) is not purchasing the Supplied Product on behalf of a third party, (b) is not purchasing the Supplied Product in order to resell or distribute the Supplied Product to a third party, (c) is not purchasing the Supplied Product in order to export the Supplied Product from the country in which Illumina shipped the Supplied Product pursuant to the ship-to address designated by Illumina at the time of ordering, and (d) will not export the Supplied Product out of such country in (c).
		
	XI.
	INDEMNIFICATION; INSURANCE

11.1    Indemnity.
a.    Indemnification by Illumina for infringement. Subject to the terms and conditions of this Agreement, including without limitation, the Exclusions to Illumina Indemnification Obligation (Section 11.1(b) below), Indemnification by Customer (Section 11.1(c) below), Conditions of Indemnification Obligation (Section 11.1(d) below), and Customer’s obligations pertaining to other IP pursuant to Article IV,
(i)    Illumina shall defend, indemnify and hold harmless Customer and its officers, directors, representatives and employees (Customer and each of the foregoing a “Customer Indemnitee”) against any claim or action brought by a third-party;

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(A)    alleging infringement of the valid and enforceable Intellectual Property Rights of a third party that pertain to or cover aspects or features of the Supplied Product(s) (or use thereof) without regard to (i.e., that is not particular to) any specific field(s) of use or specific application(s), as a result of use of the Supplied Product in the Territory for Research Use, in accordance with all the terms and conditions of this Agreement.
(B)    alleging infringement of the valid and enforceable Intellectual Property Rights of a third party that pertain to or cover aspects or features of the Supplied Product(s) (or use thereof) without regard to (i.e., that is not particular to) any specific field(s) of use or specific application(s), as a result of use of the Hardware, Software, TG Consumables, and Temporary Consumables when used in the territory for Clinical Use, with specimens from the Collection Territory, in accordance with all the terms and conditions of this Agreement,
(the infringement claims in (A) and (B) are collectively and individually an “Illumina Infringement Claim”), and
(ii)    Illumina shall pay all settlements entered into, and all final judgment and costs (including reasonable attorneys’ fees) awarded against such Customer Indemnitee in connection with such Illumina Infringement Claim.
The foregoing obligation to indemnify, defend and hold harmless shall not be applicable for any claim or action brought by a third party who is or was an Affiliate of Customer.
If the Supplied Projects or any part thereof become, or in Illumina’s opinion may become the subject of an infringement claim or action against Illumina (including its Affiliates) or Customer and or any other Customer Indemnitee, Illumina has the right, at its option, to (A) procure for Customer the right to continue using such Supplied Products, (B) modify or replace such Supplied Products with substantially equivalent non-infringing substitutes, or (C) require the return of such Supplied Products that are or may become the subject of an infringement claim or action and terminate the rights, license, and any other permissions given hereunder with respect thereto, no longer be obligated to supply such Supplied Products hereunder, and refund to Customer the depreciated value (as shown in Customer’s official records) of the returned Supplied Product at the time of such required return, provided that, no refund will be given for used-up or expired Consumables. This Section states the entire liability of Illumina for any allegation of Customer infringement of third party intellectual Property Rights, as well as Illumina’s entire obligation under this Agreement to indemnify, defend and hold harmless the Customer and other Customer Indemnitees.
b.    Exclusions to Illumina Indemnification Obligation. Illumina shall have no obligation under Section 11.1(a), (or any obligation under this Agreement), to defend, indemnify or hold harmless any Customer Indemnitee or pay any settlements, final judgment or costs with respect to any Illumina Infringement Claim to the extent such Illumina Infringement is or arises from: (i) the use of the Supplied Product in any unauthorized or unpermitted manner or for any 

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purpose outside the scope of the rights, license(s) or permissions (including scope of field of use or Intellectual Property Rights) conferred by Illumina upon Customer with respect to purchase of each unit of the Supplied Products in accordance with Section 3.1 (Authorized Uses of Supplied Product), (ii) the use of the Supplied Products in any manner or for any purpose not in accordance with or described in the Specifications or Documentation, (iii) the use of the Supplied Products in combination with any other products, materials, or services not supplied by Illumina, (iv) the use of the Supplied Products to perform any assay, method or other process not supplied by Illumina, including without limitation, tests (or parts thereof) developed by Customer or performed by Customer, (v) Illumina’s compliance with specifications or instructions for Supplied Products furnished to Illumina by Customer or by a third party on behalf of Customer (e.g., custom goods), (vi) the use of the Supplied Products in any manner or for any purpose that requires rights to Other IP or Application Specific IP to avoid infringing any such rights, or (vii) Customer’s breach of any term, including breach of a representation or warranty or condition, made hereunder or included in this Agreement, wherein any use specified in (i), (ii), (iii), (iv) or (vi) is a use performed by Customer, its Affiliate, or a party to whom Customer or its Affiliate transfers Supplied Product (regardless of whether any such use or transfer is permitted under this Agreement) (each of (i) – (vii) is referred to as an “Excluded Claim”).
c.    Indemnification by Customer. Customer shall defend, indemnify and hold harmless Illumina, its Affiliates, their licensors, and collaborators and development partners that contributed to the development of the Supplied Products, and their respective officers, directors, representatives, employees, successors and assigns (Illumina and each of the foregoing an “Illumina Indemnitee(s)”), against any and all claims liabilities, damages, fines, penalties, causes of action, and losses of any and every kind (“Claim”), including without limitation, claims relating to or arising out of personal injury or death, and claims relating to or arising out of infringement of a third party’s Intellectual Property Rights, to the extent a Claim results from, relates to, or arises out of: (i) any action described in any Excluded Claim, including without limitation, any use or breach described therein, (ii) Customer’s failure to obtain and maintain Regulatory Approvals, (iii) Customer’s marketing, sale, and/or provision of services within Customer Use, and/or use of or putting into service the Supplied Products therefor, including without limitation, actions (or inactions) taken by individuals who receive results from Customer’s use of Supplied Product. Customer shall not be obligated to indemnify any of the Illumina Indemnitees to the extent any such Claim arises from or is caused by any willful misconduct or negligent act of Illumina.
d.    Conditions of Indemnification. The Parties’ indemnification obligations under this Section 11.1 are subject to the Party seeking indemnification (i) notifying the other, indemnifying Party promptly in writing of the claim, (ii) giving indemnifying Party exclusive control and authority over the defense of such claim, (iii) not admitting infringement of any Intellectual Property Right without prior written consent of the indemnifying Party, (iv) not entering into any settlement or compromise of any such action without the indemnifying Party’s prior written consent, and (v) providing all reasonable assistance to the indemnifying Party that the indemnifying Party requests and ensuring that its officers, directors, representatives and 

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employees and other indemnitees likewise provide assistance (provided that indemnifying Party reimburses the indemnified Party(ies) for its/their reasonable out-of-pocket expenses incurred in providing such assistance). An indemnifying Party will not enter into or otherwise consent to an adverse judgment or order, or make any admission as to liability or fault that would adversely affect the indemnified party, or settle a dispute without the prior written consent of the indemnified Party, which consent not to be unreasonably withheld, conditioned, or delayed.
e.    Third-Party Goods. Notwithstanding anything in this Agreement to the contrary, Illumina shall have no indemnification obligations with respect to any goods or software originating from a third party, including without limitation, any such goods or software supplied to Customer under this Agreement. Third-party goods are those that are labeled or branded with a third-party’s name. Customer’s sole right to indemnification with respect to such third party goods or software shall be pursuant to the original manufacturer’s or original licensor’s indemnity, if any, to Customer, to the extent provided by the original manufacturer or original licensor.
11.2    Insurance.
a.    Customer shall obtain and maintain insurance coverage as follows: (i) a policy for liability (including professional and errors & omissions) in the amount of no less than [***] per occurrence, and (ii) separately a policy for commercial general liability (including product liability insurance) in the amount of no less than [***], in the case of each of (i) and (ii) to protect the Illumina Indemnitees under the indemnification provided hereunder. Illumina shall be an additional insured on Customer’s insurance policy or policies and, upon request, Illumina shall be provided appropriate certificates of insurance. Such policies shall provide a waiver of subrogation against Illumina as an additional insured and contain no cross-liability exclusion. Customer agrees that the Parties intend that Customer’s insurance coverage will be primary over any other potentially applicable insurance. Customer shall ensure that any umbrella or excess liability coverage shall not treat the naming of Illumina as an additional insured as a coverage change that voids or terminates such coverage. Customer will not cancel or amend the policies without [***] prior written notice to Illumina. Customer shall maintain such insurance at all times during the Term and for a period of [***] thereafter.
b.    Illumina shall obtain and maintain insurance coverage as follows: (i) a policy for liability (including professional and errors & omissions) in the amount of no less than [***] per occurrence, and (ii) separately a policy for commercial general liability (including product liability insurance) in the amount of no less than [***], in the case of each of (i) and (ii) to protect the Customer Indemnitees under the indemnification provided hereunder. Illumina will not cancel the policies without [***] prior written notice to Customer. Illumina will not amend the policies to have lesser coverage. Illumina shall maintain such insurance at all times during the Term and for a period of [***] thereafter.

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	XII.
	TERM AND TERMINATION

12.1    Term. This Agreement shall commence on the Effective Date and terminate three (3) years thereafter unless otherwise terminated early as provided hereunder or extended longer by the mutual agreement of the Parties. The period from the Effective Date to the date the Agreement terminates or expires is the “Term.”
12.2    Early Termination. Without limiting any other rights of termination expressly provided in this Agreement or under Law, this Agreement may be terminated early as follows:
a.    Breach of Provision. If a Party materially breaches this Agreement and fails to cure such breach within 30 days after receiving written notice of the breach from the other Party, the non-breaching Party shall have the right to terminate this Agreement with immediate effect by providing written notice of termination to the other Party. Notwithstanding the foregoing, and without limiting any other right or remedy of Illumina, breach by Customer of any term in Article III (Use Rights for Supplied Products) or Article IV (Intellectual Property), under this Agreement, gives Illumina the right to seek injunctive relief and/or to terminate this Agreement with immediate effect upon written notice.
b.    Bankruptcy and Insolvency. A Party may terminate this Agreement, effective immediately upon written notice, if the other Party becomes the subject of a voluntary or involuntary petition in bankruptcy, for winding up of that Party, or any proceeding relating to insolvency, receivership, administrative receivership, administration liquidation or company voluntary arrangement or scheme of arrangement with its creditors that is not dismissed or set aside within 60 days. In the event of any insolvency proceeding commenced by or against Customer, Illumina shall be entitled to cancel any Purchase Order then outstanding and not accept any further Purchase Order until bankruptcy or insolvency proceeding is resolved.
c.    Termination for Regulatory Standards. In the event that either Party is notified by a regulatory agency or government body, including without limitation the FDA or any foreign equivalent, or has a reasonable basis to believe, that its performance under this Agreement is illegal or violates any Law, then each Party has the right to terminate the part(s) of the Agreement negatively affected by such ruling, upon 10 days prior written notice to the other Party and Illumina has the right to cease supplying the affected Supplied Product.
12.3    Right to Cease Delivery. In addition to any other remedies available to Illumina under this Agreement or at Law, Illumina reserves the right to cease shipping Supplied Product to Customer immediately if Customer (a) uses the Supplied Product in any unauthorized or unpermitted manner, including without limitation, outside the scope of Customer Use (including the Intellectual Property Rights and field of use) expressly conferred to Customer in accordance with Section 3.1 (Authorized Uses of Supplied Products) of this Agreement, (b) fails to pay invoices when due, provided that Illumina shall work with Customer in good faith to address invoices that are not paid when due, so long as Customer has not purposefully withheld payment on any one invoice and has a good record of paying invoices when due, (c) breaches any term in Article III (Use Rights for Supplied Products) or Article IV (Intellectual Property), (d) breaches 

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any Customer representation or warranty made hereunder or (e) provides notice to Illumina in accordance with Section 12.2(c).
12.4    Survival of Obligations. All definitions, all purchase commitments under open Purchase Orders, all payment obligations, Section 3.2 (Limitations on Customer Use; Excluded Activities), Article IV (Intellectual Property Rights), Sections 5.1 (Research Supplied Products), 5.2 (Regulatory Approvals), non-cancellation of Purchase Orders under Section 6.1 (Purchase Orders; Acceptance; Cancellation), title and risk of loss under Section 6.3 (Shipping Terms; Title and Risk of Loss; Ship Date Changes), 7.4 (Payment Instead of Taking TG Consumable), Articles VIII (Warranty), IX (Confidential Information), X (Limitations of Liability; Disclaimers; Representations ), XI (Indemnification; Insurance), Section 12.4 (Survival of Obligations), XIII (Additional Terms and Conditions) shall survive termination or expiration of this Agreement. With respect to Use Rights in Section 3.1, Customer has the right to use the units of Consumables supplied under this Agreement with Hardware and Existing Hardware until the expiration date of those Consumables. Termination or expiration of this Agreement shall not relieve the Parties of any liability or obligation that accrued hereunder prior to the effective date of such termination or expiration nor preclude either Party from pursuing all rights and remedies it may have hereunder or at law or in equity with respect to any breach of this Agreement, nor prejudice either Party’s right to obtain performance of any obligation.
		
	XIII.
	ADDITIONAL TERMS AND CONDITIONS

13.1    Governing Law; Jurisdiction. This Agreement and any dispute or claim arising out of or in connection with it or its subject matter or formation shall be governed and construed in accordance with the laws of the State of California, U.S.A., without regard to provisions on the conflicts of laws. The Parties agree that the United Nations Convention on Contracts for the International Sale of goods shall not apply to this Agreement, including any terms in Documentation. In Illumina’s sole discretion, any dispute, claim or controversy arising out of or relating to the breach, termination, enforcement, interpretation or validity of these terms and conditions, shall be determined by confidential binding arbitration conducted in the English language to be held in San Mateo, California before one arbitrator who has at least 10 years of experience in handling disputes similar to the dispute to be arbitrated hereunder and administered by JAMS pursuant to the JAMS Comprehensive Arbitration Rules. In all cases of arbitration hereunder each Party shall bear its own costs and expenses and an equal share of the arbitrator’s and administrator’s fees of arbitration; neither Party nor an arbitrator may disclose the existence, content, or results of any arbitration without the prior written consent of both Parties, unless required by law; the decision of the arbitrator shall be final and binding on the Parties, provided that, the arbitrator shall not have the authority to alter any explicit provision of these terms and conditions; judgment on the award may be entered in any court having jurisdiction. This clause shall not preclude the Parties from seeking provisional remedies in aid of arbitration from a court of appropriate jurisdiction. Notwithstanding anything herein to the contrary, any claims or causes of action involving infringement, validity, or enforceability of a Party or its Affiliate’s Intellectual Property rights are not subject to this arbitration clause.

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13.2    Illumina Affiliates; Rights of Third Parties. Customer agrees that Illumina may delegate or subcontract any or all of its rights and obligations under this Agreement to one or more of its Affiliates. Illumina invoices and other documentation may come from an Illumina Affiliate and Customer shall honor those just as if they came directly from Illumina. There are no third party beneficiaries to this Agreement. The Parties to this Agreement may rescind or terminate this Agreement or vary any of its terms in accordance with their rights under this Agreement and by law, without the consent of any third party.
13.3    Legal Compliance. Nothing in this Agreement is intended, or should be interpreted, to prevent either Party from complying with, or to require a Party to violate, any and all applicable Laws. Should either Party reasonably conclude that any portion of this Agreement is or may be in violation of a change in a Law made after the Effective Date, or if any such change or proposed change would materially alter the amount or method of compensating Illumina for Supplied Products purchased by, or services performed for, Customer, or would materially increase the cost of Illumina’s performance hereunder, the Parties agree to negotiate in good faith written notifications to this Agreement as may be necessary to establish compliance with such changes and/or to reflect applicable changes in compensation necessitated by such legal changes, with any mutually agreed upon modifications added to this Agreement by written amendment.
13.4    Severability; No Waiver; Rights and Remedies. If any provision or subsection of this Agreement is held invalid, illegal or unenforceable, it shall be enforced to the maximum extent permissible so as to effect the intent of the Parties, and the remainder of this Agreement will continue in full force and effect. The failure or delay of either Party to exercise any right or remedy provided herein or to require any performance of any term of this Agreement shall not be construed as a waiver, and no single or partial exercise of any right or remedy provided herein, or the waiver by either Party of any breach of this Agreement shall not prevent a subsequent exercise or enforcement of, or be deemed a waiver of any subsequent breach of, the same or any other term of this Agreement. Except as expressly provided in this Agreement, the rights and remedies of each Party under this Agreement are cumulative and not exclusive of any rights or remedies provided by Law.
13.5    Assignment. Customer shall not assign or transfer this Agreement or any rights or obligations under this Agreement, without the prior written consent of Illumina, such consent not to be unreasonably conditioned, withheld or delayed. Illumina may assign this Agreement to an Affiliate that is capable of fulfilling Illumina’s obligations under this Agreement.
13.6    Export. Customer agrees that the Supplied Products, or any related technology provided under this Agreement, may be subject to restrictions and controls imposed by the United States Export Administration Act and the regulations thereunder (or the regulations and laws of another country). Notwithstanding anything to the contrary in this Agreement, Customer agrees not to export or re-export the Supplied Products, or any related technology into any country in violation of such controls or any other laws, rules or regulations of any country, state or jurisdiction.
13.7    Notices. All notices required or permitted under this Agreement shall be in writing, in English, and shall be deemed received only when (a) delivered personally; (b) 5 days after 

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having been sent by registered or certified mail, return receipt requested, postage prepaid (or 10 days for international mail); or (c) 1 day after deposit with a commercial express courier specifying next day delivery or, for international courier packages, 2 days after deposit with a commercial express courier specifying 2-day delivery, with written verification of receipt. All notices shall be sent to the following or any other address designated by a Party using the procedures set forth in this Sub-Section:
	
		
	If to Illumina:
	If to Customer:

	 
	 

	Illumina, Inc.
5200 Illumina Way
San Diego, CA 92122
Attn: [***]
[***]
	Guardant Health, Inc.
2686 Middlefield Road, Suite E
Redwood City, CA 94063

Attn: Chief Executive Officer

	 
	 

	With a copy to: General Counsel
	 

	 
	 

	Illumina, Inc.
5200 Illumina Way
San Diego, CA 92122
Attn: General Counsel

	With a copy to: Legal Department (at same address)

13.8    Force Majeure. Neither Party shall be in breach of this Agreement nor liable for any failure to perform or delay in the performance of this Agreement attributable in whole or in part to any cause beyond its reasonable control, including but not limited to acts of God, fire, flood, tornado, earthquake, hurricane, lightning, any action taken by government or a regulatory authority, actual or threatened acts of war, terrorism, civil disturbance or insurrection, sabotage, labor shortages or disputes, transportation difficulties, interruption or failure of any utility service, raw materials or equipment, or the other Party’s fault or negligence (each an event of “Force Majeure”). In the event of any such delay the delivery date for performance shall be deferred for a period equal to the time lost by reason of the delay. Notwithstanding anything in this Agreement to the contrary, Customer’s payment obligations are not affected by this provision except to the extent the Force Majeure affects financial institutions and, as a result, the financial institutions cannot complete the transaction necessary for Customer to satisfy its payment obligations.
13.9    Entire Agreement; Amendment; Waiver. This Agreement represents the entire agreement between the Parties regarding the subject matter hereof and supersedes all prior discussions, communications agreements, and understandings of any kind and nature between the Parties. The Parties acknowledge and agree that by entering into this Agreement, they do not rely on any statement, representation, assurance or warranty of any person or entity other than as expressly set out in the Agreement. Each Party agrees that it shall have no right or remedy (other than for breach of contract) in respect of any statement, representation, assurance or warranty 

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(whether made negligently or innocently) other than as expressly set out in this Agreement. Nothing in this Section shall exclude or limit liability for fraud. No amendment to this Agreement will be effective unless in writing and signed by both Parties. No waiver of any right condition, or breach of this Agreement will be effective unless in writing and signed by the Party who has the right to waive the right, condition or breach and delivered to the other Party.
13.10    Relationship of the Parties. The Parties are independent contractors under this Agreement and nothing contained in this Agreement should be construed as creating a partnership, joint venture or agency relationship between the Parties or, as granting either Party the authority to bind or contract any obligation in the name of the other Party, or to make any statements, representations, warranties or commitments on behalf of the other Party.
13.11    Publicity; Use of Names or Trademarks. Each Party shall obtain prior written consent of the other Party on all press releases or other public announcements relating to this Agreement, including its existence or its terms, provided that a Party is not required to obtain prior written consent of the other Party for press releases or public disclosures that repeat information that has been previously publicly disclosed. Notwithstanding any of the foregoing, if required by Law, including without limitation by the U.S. Securities and Exchange Commission or any stock exchange or Nasdaq, then a Party may issue a press release or other public, announcement regarding this Agreement, provided that the other Party has received prior written notice of such intended press release or public announcement and an opportunity to seek a protective order if practicable under the circumstances, and the Party subject to the requirement cooperates with the other Party to limit the disclosure and includes in such press release or public announcement only such information relating to this Agreement as in required by such Law to be publicly disclosed. The Parties will make all reasonable attempts to diligently and in good faith work together to redact this Agreement to a mutually acceptable extent in the event this Agreement is required by applicable Law to be made public (e.g., SEC filing). Neither Party shall use the name or trademarks of the other Party without the express prior written consent of the other Party.
13.12    Headings; Interpretation; Miscellaneous. Sections, titles and headings in this Agreement are for convenience only and are not intended to affect the meaning or interpretation hereof. This Agreement has been negotiated in the English language and only the English language version shall control. Any translation of this Agreement into a non-English language is for convenience only. Whenever required by the context, the singular term shall include the plural, the plural term shall include the singular, and the gender of any pronoun shall include all genders. As used in this Agreement except as the context may otherwise require, the words “include”, “includes”, “including”, and “such as” are deemed to be followed by “without limitation”, whether or not they are in fact followed by such words or words of like import, and “will” and “shall” are used synonymously. Except as expressly stated, any reference to “days” shall be to calendar days, and “business day” shall mean all days other than Saturdays, Sundays or a national or local holiday recognized in the United States, and any reference to “calendar month” shall be to the month and not a 30 day period, and any reference to “calendar quarter” shall mean the first 3 calendar months of the year, the 4-6th calendar months of the year, the 7‐9th calendar months of the year, and the last 3 calendar months of the year. Whenever the last day for 

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the exercise of any privilege or the discharge of any duty hereunder shall fall on, or any notice is deemed to be given on a Saturday, Sunday, or national holiday, the Party having such privilege or duty shall have until 5:00 pm PST on the next succeeding business day to exercise such privilege or to discharge such duty or the Party giving notice shall be deemed to have given notice on the next succeeding business day. It is further agreed that no usage of trade, course of performance, or other regular practice between the Parties hereto shall be used to interpret or alter the terms and conditions of this Agreement, including without limitation, the scope of use rights for each unit of Supplied Product supplied under this Agreement. Ambiguities, if any, in this Agreement shall not be construed against any particular Party, irrespective of which Party may be deemed to have authored the ambiguous provision. Unless expressly stated otherwise in this Agreement, notification of changes to any Supplied Product, including but not limited to Consumables, Hardware, and Software is not provided. Nothing in this Agreement prevents or restricts Illumina from manufacturing, offering and selling Supplied Products to any party third party or Affiliate for any use, or prevents or restricts Illumina and its Affiliates from using the Supplied Products for any use, even if any such use is competitive with Customer. Illumina is constantly innovating and developing new products or new versions of products. Accordingly, Illumina makes no guarantee that the specific products described in or referenced in this Agreement will be manufactured throughout the Term or for any specific period of time.
13.13    Counterparts. This Agreement may be executed in one or more counterparts, and each of which shall be deemed to be an original, and all of which shall constitute one and the same instrument.
13.14    Further Assurance; Costs. Except as expressly provided in this Agreement, each Party shall pay its own costs incurred in connection with the negotiation, preparation, and execution of this Agreement any documents referred to in it.

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IN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be executed by their respective duly authorized representatives.

	
					
	Guardant Health, Inc.:
	 
	Illumina, Inc.:

	By:
	/s/ Michael Wiley   
	 
	By:
	/s/ Charles M. Moehle   

	Name:
	Michael Wiley   
	 
	Name:
	Charles M. Moehle   

	Title:
	CFO   
	 
	Title:
	VP Licensing + Bus Dev   

	Date:
	8/8/14   
	 
	Date:
	15 Sep 2014   

Signature Page for Supply Agreement

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EXHIBIT A – PART 1 OF 2 – HARDWARE [***]
The following tables list the Hardware subject to purchase under this Agreement and the [***].
	
			
	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

Service Contracts
The above Hardware [***] include a [***]. [***] can be upgraded for the difference between [***] and [***].

	
				
	[***]
	[***]
	[***]
	[***]

	[***]
	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

	[***]
	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

	[***]
	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

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Illumina Qualification Services
Installation Qualification (IQ), Operational Qualification (OQ) and Instrument Performance Verification (IPV) are available upon Customer’s request at any time during the term of the Agreement. [***] for such services, as of the Effective Date, are set forth in the table below.
The descriptions of these services are as follows:
		
	•
	Installation Qualification: documentation that facilities in which the Hardware has been installed are in accordance with requirements and safety regulations of the original manufacturer.

		
	•
	Operational Qualification: evaluates the correct functionality of the equipment under test by examining and quantifying the specifications after installation.

		
	•
	Instrument Performance Verification: ensures the accuracy of the Hardware after a major service event or replacement of specific modules.

	
			
	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

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EXHIBIT A – PART 2 OF 2 – CONSUMABLES [***]
The following tables list the Consumables subject to purchase under this Agreement and the [***].
TG CONSUMABLES [***]
	
			
	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

NON-TG CONSUMABLES [***]
	
			
	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

	[***]
	[***]
	[***]

First Quote. Illumina will provide Customer a quotation referencing this Agreement and specifying [***] for each Consumable through the [***] (the “First Quote”). The First Quote and [***] found therein expires on the [***], and sets forth [***] that will be used on all Purchase Orders that are provided by Customer prior to the end of such period. The Purchase Orders placed against the First Quote must reference the First Quote and this Agreement to be valid. The First Quote shall include a [***] of TG Consumables ordered on Purchase Orders placed against the First Quote, but only on such purchases of TG Consumables made at the same time as, and after, Customer purchases a [***]. The [***], as applicable expires on the [***] and its continuance for the next [***] quote is subject to review.
[***] Quotes and Purchase Orders for Consumables. No later than [***] of this Agreement, Illumina will issue a quotation referencing this Agreement and specifying [***] for each Consumable (the “[***] Quote”). Each [***] Quote and [***] found therein expires on [***] sets forth [***] that will be used on all Purchase Orders that are provided by Customer prior to the end of such [***]. The Purchase Orders placed against each [***] Quote must reference the [***] Quote and this Agreement to be valid.

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Illumina®
QUOTATION FOR SUPPLY OF GENETIC ANALYSIS PRODUCTS
Prepared by: 
Illumina, Inc. 
5200 Illumina Way 
San Diego, CA 92122, USA 
Hereinafter referred to as “Illumina”
Prepared for: 
Guardant Health, Inc. 
Hereinafter referred to as “Guardant Health, Inc.” or “Customer”
	
		
	Quotation Number:
	[***]

	Quotation Date:
	August 12, 2014

	Revision Date:
	September 12, 2014

	Expiration Date:
	March 31, 2015

	Prepared By:
	[***]

	Phone Number:
	[***]

	Email:
	[***]

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	I.
	CUSTOMER INFORMATION

	
		
	Company or Institution Name:
	Guardant Health, Inc.

	Address:
	Redwood City, CA

		
	II.
	PRODUCT & [***] INFORMATION

Illumina is pleased to offer Customer the following [***] products families listed below (excludes [***] consumables, software, hardware or new instrument purchases) in accordance with the TG Supply Agreement executed between Illumina and Customer. For [***] to apply, Customer must agree to the following:
		
	•
	This Master Quote, which can be used for multiple purchases, will only be valid until 5:00pm on the expiration date listed on page 1.

		
	•
	All Customer purchase orders received by Illumina [***] must be in USD and make specific reference to this Quotation.

		
	•
	[***] as during the active price period, Illumina shall at its sole discretion, adjust [***] for future products or for any, [***] to the current products offered on this Quotation.

		
	•
	[***] terms of this offer are kept confidential except as needed to execute the purchase.

		
	•
	[***] for consumables applies only to the product families specified in table herein.

		
	•
	Customer shall remain responsible for all shipping and freight charges for the products ordered hereto. Goods shall be delivered FOB DESTINATION PRE-PAID BY ILLUMINA AND CHARGED BACK TO CUSTOMER. Customer understands that estimated shipping and freight charges listed on this quotation may differ from actual charges. Customer agrees to pay for all actual shipping/freight expenses upon invoice.

	
		
	[***]
	[***]

	[***]
	[***]

	[***]
	[***]

	[***]
	[***]

	[***]
	[***]

	[***]
	[***]

	
					
	Customer:
	 
	Illumina:

	By:
	/s/ Michael Wiley   
	 
	By:
	/s/ Mark Van Oene   

	Name:
	Michael Wiley   
	 
	Name:
	Mark Van Oene   

	Title:
	CEO   
	 
	Title:
	VP & GM America Commercial Operations   

	Date:
	9/16/14   
	 
	Date:
	09/16/14   

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Terms and Conditions of Sale – Customer T6 Supply Agreement
	
			
	This quote is subject to the terms and conditions contained within the Supply Agreement

	executed between Illumina and Customer, executed on
	09/16/2014
	.

	 
	(MMMM DD, YYYY)
	 

(ATTACH EXHIBIT A – [***] PER THE SUPPLY AGREEMENT

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