Document:

tbph_Ex10_2

		

			Exhibit 10.2

		

		

			 

		

		

			THE SYMBOL “[* * *]” DENOTES PLACES WHERE CERTAIN IDENTIFIED INFORMATION HAS

		

		

			BEEN EXCLUDED FROM THE EXHIBIT BECAUSE IT IS BOTH (I) NOT MATERIAL, AND (II)

		

		

			WOULD LIKELY CAUSE COMPETITIVE HARM TO THE COMPANY IF PUBLICLY DISCLOSED

		

		

			 

		

		
			AMENDMENT NO. 1 TO THE
		

		
			DEVELOPMENT AND COMMERCIALIZATION AGREEMENT
		

		
			 
		

		
			This Amendment No. 1 to the Development and Commercialization Agreement (the “Amendment”) dated June 12,  2019  (the “Amendment Effective Date”) is made by and between THERAVANCE BIOPHARMA IRELAND LIMITED, a corporation organized under the laws of Ireland having its principal office at Connaught House, 1 Burlington Road, Dublin 4  D04 C5Y6, Ireland (“THERAVANCE”), and MYLAN IRELAND LIMITED, a limited company organized and existing under the laws of Ireland with its offices at South Bank House, Barrow Street, 6th Floor, Dublin 4, Ireland (“MYLAN”). THERAVANCE and MYLAN may be referred to, individually, as a “Party” or, together, as the “Parties.”
		

		
			 
		

		
			RECITALS
		

		
			 
		

		
			WHEREAS, MYLAN and THERAVANCE are the parties in interest to the Development and Commercialization Agreement dated January 30, 2015 (the “Agreement”) pursuant to which they are collaborating in the Development and Commercialization of a proprietary long-acting muscarinic compound discovered by THERAVANCE and identified as TD-4208 or revefenacin (current US brand name: YUPELRI®) for the treatment of respiratory disorders; and
		

		
			 
		

		
			WHEREAS, MYLAN and THERAVANCE desire to amend the Agreement to provide for, among other things, inclusion of China in the Territory, related changes to the financial terms, and mutual agreement to conduct a further clinical study.
		

		
			 
		

		
			NOW, THEREFORE THERAVANCE and MYLAN, intending to be legally bound, hereby agree as follows:
		

		
			 
		

		
			1.   Definitions.
		

		
			A.         The definition of the term “Territory” in Section 1.117 of the Agreement is hereby amended and restated to read as follows:
		

		
			“Territory” means worldwide, provided that upon reversion, a Reverted Country shall no longer be included within the Territory.
		

		
			 
		

		
			B.         For purposes of this Amendment,  capitalized terms used herein and not otherwise defined shall have the meaning given them in the Agreement.
		

		
			 
		

		
			 
		

		
			

		 

		

			1

		

		

			 

		

		

			THE SYMBOL “[* * *]” DENOTES PLACES WHERE CERTAIN IDENTIFIED INFORMATION HAS

		

		

			BEEN EXCLUDED FROM THE EXHIBIT BECAUSE IT IS BOTH (I) NOT MATERIAL, AND (II)

		

		

			WOULD LIKELY CAUSE COMPETITIVE HARM TO THE COMPANY IF PUBLICLY DISCLOSED

		

		

			 

		

		

		
			2.   China.
		

		
			 
		

		
			A.   For the avoidance of doubt, since by virtue of this Amendment the Territory under the Agreement is now worldwide, the Parties agree that Section 2.07 of the Agreement has no further force or effect.
		

		
			B.   Promptly after the Amendment Effective Date, but no later than [* * *] following the Amendment Effective Date, the Parties shall agree on a Development Plan and a Development Budget for the Licensed Product in the Field in China pursuant to Section 4.03 of the Agreement which will include, besides the provisions required by Section 4.03, a commitment by MYLAN to use Diligent Efforts hereunder to:
		

		
			 
		

		
			(i)   file a Clinical Trial Application (or IND equivalent) in China [* * *] of the Amendment Effective Date;
		

		
			 
		

		
			(ii)  file a Marketing Authorization Application (or MAA equivalent) in China within [* * *] of the China Clinical Trial Application (or IND equivalent) approval; and
		

		
			 
		

		
			(iii)  make the first Commercial Sale in China within [* * *] of receiving Marketing Authorization approval in China.
		

		
			 
		

		
			C.   MYLAN shall be responsible for all Development, manufacturing and Commercialization activities for China and pay all Development Expenses,  Manufacturing Costs and Commercialization costs incurred or committed to and which will be set forth in the Development Budget contained in the Development Plan for China Development and in the Commercial Budget contained in the Commercialization Plan for China.
		

		
			 
		

		
			3.   Financial Provisions.  In consideration of the rights and licenses granted to MYLAN under the Agreement, as amended by this Amendment, the Parties hereby agree to amend and restate Exhibit F in its entirety as attached hereto.
		

		
			 
		

		
			4.   Registration and Filing of This Amendment.  To the extent, if any, that either Party concludes in good faith that it or the other Party is required to file or register this Amendment or a notification thereof with any Governmental Authority, including the U.S. Securities and Exchange Commission or the U.S. Federal Trade Commission, in accordance with applicable Laws, such Party shall inform the other Party thereof.  Should both Parties jointly agree that either of them is required to submit or obtain any such filing, registration or notification, they shall cooperate, each at its own expense, in such filing, registration or notification and shall execute all documents reasonably required in connection therewith.  In such
		

		
			
		

		
			

		 

		

			2

		

		

			 

		

		

			THE SYMBOL “[* * *]” DENOTES PLACES WHERE CERTAIN IDENTIFIED INFORMATION HAS

		

		

			BEEN EXCLUDED FROM THE EXHIBIT BECAUSE IT IS BOTH (I) NOT MATERIAL, AND (II)

		

		

			WOULD LIKELY CAUSE COMPETITIVE HARM TO THE COMPANY IF PUBLICLY DISCLOSED

		

		

			 

		

		

		
			 
		

		
			filing, registration or notification, the Parties shall request confidential treatment of sensitive provisions of this Amendment, to the extent permitted by Law, and will involve each other in a reasonable fashion to help ensure each Party’s confidentiality concerns are addressed to the extent permissible.  The Parties shall promptly inform each other as to the activities or inquiries of any such Governmental Authority relating to this Amendment, and shall reasonably cooperate to respond to any request for further information there from on a timely basis.
		

		
			 
		

		
			5.   Governing Law. This Amendment shall be construed, and the respective rights of the Parties determined, according to the substantive law of the State of New York notwithstanding the provisions governing conflict of laws under such New York law to the contrary, except matters of intellectual property law which shall be determined in accordance with the intellectual property Laws relevant to the intellectual property in question.
		

		
			 
		

		
			6.   Severability. In the event of the invalidity of any provisions of this Amendment, the Parties agree that such invalidity shall not affect the validity of the remaining provisions of this Amendment.  The Parties will replace an invalid provision with valid provisions which most closely approximate the purpose and economic effect of the invalid provision. In the event that the terms and conditions of this Amendment are materially altered as a result of the preceding sentences, the Parties shall renegotiate the terms and conditions of this Amendment in order to resolve any inequities.  Nothing in this Amendment shall be interpreted so as to require either Party to violate any applicable Laws.
		

		
			 
		

		
			7.   Amendment; Waiver. Any term or condition of this Amendment may be waived at any time by the Party that is entitled to the benefit thereof, but no such waiver shall be effective unless set forth in a written instrument duly executed by or on behalf of the Party waiving such term or condition.  No waiver by any Party of any term or condition of this Amendment, in any one or more instances, shall be deemed to be or construed as a waiver of the same or any other term or condition of this Amendment on any future occasion.  Except as expressly set forth in this Amendment, all rights and remedies available to a Party, whether under this Amendment or afforded by law or otherwise, will be cumulative and not in the alternative to any other rights or remedies that may be available to such Party.
		

		
			 
		

		
			8.   Entire Agreement, as Amended. The Agreement (including the exhibits and schedules thereto), as amended by this Amendment (including the exhibit hereto), constitutes the entire agreement between the Parties hereto with respect to the subject matter hereof and supersedes all previous agreements and understandings between the Parties with respect to such subject matter, whether written or oral.  No Party has entered into this Amendment in reliance upon any statement, representation, warranty or undertaking made by or on behalf of any other Party other than those expressly set out in this Amendment. This Amendment may be
		

		
			
		

		
			

		 

		

			3

		

		

			 

		

		

			THE SYMBOL “[* * *]” DENOTES PLACES WHERE CERTAIN IDENTIFIED INFORMATION HAS

		

		

			BEEN EXCLUDED FROM THE EXHIBIT BECAUSE IT IS BOTH (I) NOT MATERIAL, AND (II)

		

		

			WOULD LIKELY CAUSE COMPETITIVE HARM TO THE COMPANY IF PUBLICLY DISCLOSED

		

		

			 

		

		

		
			 
		

		
			altered, amended or changed only in writing and by making specific reference to this Amendment and signed by duly authorized representatives of THERAVANCE and MYLAN.
		

		
			 
		

		
			9.   Third Party Beneficiaries. None of the provisions of this Amendment shall be for the benefit of or enforceable by any Third Party, including without limitation any creditor of either Party hereto. No such Third Party shall obtain any right under any provision of this Amendment or shall by reasons of any such provision make any Claim in respect of any debt, liability or obligation (or otherwise) against either Party hereto.
		

		
			 
		

		
			10. Effect of Amendment.  Except as expressly amended hereby, the Agreement shall remain in full force and effect.
		

		
			 
		

		
			11. Counterparts.  This Amendment may be executed in any two counterparts, each of which, when executed, shall be deemed to be an original and both of which together shall constitute one and the same document.
		

		
			 
		

		
			IN WITNESS WHEREOF, THERAVANCE and MYLAN, by their duly authorized officers, have executed this Amendment on the Amendment Effective Date.
		

		
			 
		

		
			 
		

			
					
						 

					
					
						 

				
	
					
						THERAVANCE BIOPHARMA

					
					
						 

					
					
						MYLAN IRELAND

				
	
					
						IRELAND LIMITED

					
					
						 

					
					
						LIMITED

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						By: /s/ Ann Brady

					
					
						By: /s/ Peter McCormick

				
	
					
						Ann Brady

					
					
						Peter McCormick

				
	
					
						President

					
					
						 

				

		
			 
		

		
			
		

		
			

		 

		

			4

		

		

			 

		

		

			THE SYMBOL “[* * *]” DENOTES PLACES WHERE CERTAIN IDENTIFIED INFORMATION HAS

		

		

			BEEN EXCLUDED FROM THE EXHIBIT BECAUSE IT IS BOTH (I) NOT MATERIAL, AND (II)

		

		

			WOULD LIKELY CAUSE COMPETITIVE HARM TO THE COMPANY IF PUBLICLY DISCLOSED

		

		

			 

		

		

		
			EXHIBIT F
		

		
			Financial Exhibit
		

		
			 
		

		
			Section 1.01    Upfront Payment.
		

		
			(a)                    U.S. and ROW. MYLAN shall pay to THERAVANCE a non-refundable fee of Fifteen Million United States Dollars (U.S. $15,000,000) (the “Upfront Payment”) in partial consideration for the rights and licenses granted to it under this Agreement. MYLAN shall become obligated to pay the Upfront Payment 120 days after the Effective Date.
		

		
			 
		

		
			(b)                    China Upfront Payment. Upon the Amendment Effective Date MYLAN shall pay to THERAVANCE a one-time, non-refundable, non-creditable upfront payment of Eighteen Million, Five Hundred Thousand United States Dollars (U.S. $18,500,000) (the “Amendment Upfront Payment”) in partial consideration for the rights and licenses granted to it under the Amendment. MYLAN shall be obligated to pay the Amendment Upfront Payment within [* * *] after the Amendment Effective Date.
		

		
			 
		

		
			Section 1.02    Milestone Payments.
		

		
			(a)        U.S and ROW Development and Sales Milestones.  In further consideration for the acquisition of license rights under the THERAVANCE Patents, THERAVANCE Know-How and the Joint Invention Patents under Section 2.01, MYLAN shall also pay to THERAVANCE the one-time payments set forth below for the first occurrence of the corresponding Development Milestone or Sales Milestone referred to therein (each, a “US and ROW Milestone”):
		

			
					
						 

					
					
						 

				
	
					
						Development Milestones

					
					
						Amount

				
	
					
						 

					
					
						 

				
	
					
						[* * *]

					
					
						[* * *]

				
	
					
						 

					
					
						 

				
	
					
						Sales Milestones

					
					
						Amount

				
	
					
						 

					
					
						 

				
	
					
						[* * *]

					
					
						[* * *]

				

		
			 
		

		
			Payment Only Once for U.S and ROW Milestones. For the avoidance of doubt, U.S. and ROW Milestones are each payable only once, upon first attainment of the relevant milestone, regardless of how many times a Milestone is reached.  In the event that more than one Sales Milestones are achieved in a given Calendar Year then the lower Sales Milestone payment for the Stand Alone Licensed Product would be payable for that Calendar Year and the higher Sales Milestone would be payable at the end of the following Calendar Year provided that the higher Sales Milestone is achieved and/or maintained in the following Calendar Year.
		

		
			 
		

		
			
		

		
			

		 

		

			5

		

		

			 

		

		

			THE SYMBOL “[* * *]” DENOTES PLACES WHERE CERTAIN IDENTIFIED INFORMATION HAS

		

		

			BEEN EXCLUDED FROM THE EXHIBIT BECAUSE IT IS BOTH (I) NOT MATERIAL, AND (II)

		

		

			WOULD LIKELY CAUSE COMPETITIVE HARM TO THE COMPANY IF PUBLICLY DISCLOSED

		

		

			 

		

		

		
			(b)        China Development and Sales Milestones. In further consideration for the acquisition of license rights under the THERAVANCE Patents, THERAVANCE Know-How and the Joint Invention Patents under Section 2.01, MYLAN shall also pay to THERAVANCE the one-time payments set forth below for the first occurrence of the corresponding China Development Milestone or China Sales Milestone referred to therein (each, a “China Milestone”):
		

		
			 
		

		
			China Development Milestones
		

		
			 
		

		
			[* * *] Fee. Upon approval of [* * *], in consideration of the licenses granted to MYLAN and THERAVANCE’s co-operation [* * *],  MYLAN shall pay to THERAVANCE a one-time, non-refundable, non-creditable payment of [* * *].
		

		
			 
		

		
			[* * *] Fee. Upon receipt of [* * *], in consideration of the licenses granted to MYLAN and THERAVANCE’s activities in respect of [* * *], MYLAN shall pay to THERAVANCE a one-time, non-refundable, non-creditable payment of [* * *].
		

		
			 
		

		
			[* * *] Fee.  Upon the receipt of [* * *], in consideration of the licenses granted to MYLAN and THERAVANCE’s activities in respect of [* * *], MYLAN shall pay to THERAVANCE a one-time, non-refundable, non-creditable payment of [* * *].
		

		
			 
		

		
			 
		

		
			China Sales Milestones
		

		
			 
		

		
			1.1       Upon the first achievement of each sales milestone event set forth in the table below (each, a “China Sales Milestone Event”), MYLAN shall make the corresponding milestone payment to THERAVANCE (each, a “China Sales Milestone Payment”):
		

		
			 
		

			
					
						China Sales Milestones Events

				
	
					
						Milestone Event

					
					
						Milestone Payment

				
	
					
						[* * *]

					
					
						[* * *]

					
						 

				

		
			 
		

		
			Payment Only Once for China Sales Milestones. For the avoidance of doubt, each of the foregoing China Sales Milestone Payments will be payable only once upon the first achievement of each cumulative China Net Sales threshold set forth above. In the event that more than one China Sales Milestone Event is achieved in a given Calendar Year, MYLAN shall pay THERAVANCE the China Sales Milestone Payment associated with each such China Sales Milestone Event achieved during such Calendar Year.  For example, if Cumulative Net Sales reach the thresholds for both the [* * *] China Sales Milestone Events for the first time in a given Calendar Year (and no other China Sales
		

		
			
		

		
			

		 

		

			6

		

		

			 

		

		

			THE SYMBOL “[* * *]” DENOTES PLACES WHERE CERTAIN IDENTIFIED INFORMATION HAS

		

		

			BEEN EXCLUDED FROM THE EXHIBIT BECAUSE IT IS BOTH (I) NOT MATERIAL, AND (II)

		

		

			WOULD LIKELY CAUSE COMPETITIVE HARM TO THE COMPANY IF PUBLICLY DISCLOSED

		

		

			 

		

		

		
			Milestone Event), MYLAN shall pay THERAVANCE [* * *] in China Sales Milestone Payments for such Calendar Year; and if cumulative China Net Sales reach the thresholds for the remaining Milestone Events in the following Calendar Year (i.e. [* * *] in cumulative China Net Sales), MYLAN shall pay THERAVANCE [* * *] in China Sales Milestone Payments pursuant to China Sales Milestone Events [* * *] above.
		

		
			 
		

		
			(c)        Notification and Payment.  In the event of attainment of a U.S and ROW Milestone or a China Milestone, a Party shall promptly, but in no event more than [* * *] Business Days after the achievement of each such Milestone, notify the other Party in writing of the achievement of same.  For each Milestone achieved, MYLAN shall promptly, but in no event more than [* * *] Business Days after receipt of THERAVANCE’s invoice therefore, remit payment to THERAVANCE for such Milestone.
		

		
			Section 1.03    Operating Profit (Loss) Share in the U.S.
		

		
			(a)        The Parties shall share the Operating Profits (Losses) from the sale of the Licensed Products in the Field in the U.S as set forth in this Section 1.03. The Parties expect that Net Sales in the U.S. shall be accounts receivable of MYLAN and MYLAN shall receive payment on account thereof.
		

		
			 
		

		
			(b)        During the Term, MYLAN and THERAVANCE shall split the Operating Profits (Losses), sixty-five percent (65%) to MYLAN and thirty-five percent (35%) to THERAVANCE.
		

		
			 
		

		
			(c)         In the event that both Parties elect to sublicense the Commercialization of the Licensed Products in the Field in the U.S. to a Third Party, all cash consideration received in consideration for the grant of such sublicense will be treated as Net Sales in the U.S.  For clarity, any such sublicense must be agreed by both Parties.  In the event that one Party sublicenses the Commercialization of the Licensed Products in the Field in the U.S. to a Third Party, the sharing of Operating Profits (Losses) shall, as between the Parties, remain as set forth in Section 1.03(b) of this Exhibit F.
		

		
			 
		

		
			(d)        The sharing of Operating Profits (Losses) set forth in this Section 1.03 shall be reported, calculated and paid in accordance with Section 1.07 below.
		

		
			 
		

		
			Section 1.04    Payment of Royalties to THERAVANCE on Net Sales in the ROW Countries.
		

		
			(a)        As further consideration for the acquisition of license rights under the THERAVANCE Patents and THERAVANCE Know-How under this Agreement, MYLAN shall pay to THERAVANCE royalties on Net Sales of Licensed Products in the Field in the ROW Countries that either (i) are covered by a Valid Claim within a
		

		
			
		

		
			

		 

		

			7

		

		

			 

		

		

			THE SYMBOL “[* * *]” DENOTES PLACES WHERE CERTAIN IDENTIFIED INFORMATION HAS

		

		

			BEEN EXCLUDED FROM THE EXHIBIT BECAUSE IT IS BOTH (I) NOT MATERIAL, AND (II)

		

		

			WOULD LIKELY CAUSE COMPETITIVE HARM TO THE COMPANY IF PUBLICLY DISCLOSED

		

		

			 

		

		

		
			THERAVANCE Patent or (ii) incorporate the THERAVANCE Know-How, Less ROW Recall Costs (“Adjusted Net Sales”), in the following percentages (“Royalties”):
		

		
			 
		

		
			 
		

			
					
						On the portion of annual Adjusted Net Sales of Licensed

					
					
						 

				
	
					
						Product in the Field in the ROW Countries up to U.S. [* * *]:

					
					
						[* * *]

				
	
					
						 

					
					
						 

				
	
					
						On the portion of annual Adjusted Net Sales of Licensed

					
					
						 

				
	
					
						Product in the Field in the ROW Countries over U.S. [* * *]

					
					
						 

				
	
					
						and less than U.S. [* * *]:

					
					
						[* * *]

				
	
					
						 

					
					
						 

				
	
					
						On the portion of annual Adjusted Net Sales of Licensed

					
					
						 

				
	
					
						Product in the Field in the ROW Countries over U.S. [* * *]:

					
					
						[* * *]

				

		
			 
		

		
			 
		

		
			(b)        Notwithstanding the foregoing, the Royalties shall be reduced by [* * *] with respect to Licensed Products that are not covered by a Valid Claim within the THERAVANCE Patents in the Country of sale.  For purposes of the foregoing, “cover” means that the manufacture, use, sale or importation of a Licensed Product would infringe a Valid Claim within the THERAVANCE Patents but for the licenses granted to MYLAN herein. For avoidance of doubt, this [* * *] reduction does not apply to Royalties owed on Net Sales in China.
		

		
			 
		

		
			 
		

		
			Section 1.05    Payment of Royalties to THERAVANCE on Net Sales in China.
		

		
			(a)        China Royalty Rates.  In further consideration of THERAVANCE’s grant of the rights and licenses to MYLAN for China hereunder, MYLAN shall, during each applicable China Royalty Term, pay to THERAVANCE royalties at the tiered royalty rates specified in the following table with respect to the Annual Net Sales in China:
		

		
			 
		

		
			 
		

			
					
						 

					
					
						 

				
	
					
						China Annual Net Sales

					
					
						Royalty Rates

				
	
					
						For the portion of Annual Net Sales less than or equal to U.S. [* * *] 

					
					
						[* * *]

				
	
					
						For the portion of Annual Net Sales exceeding U.S. [* * *] and less than or equal to U.S. [* * *]

					
					
						[* * *]

				
	
					
						For the portion of Annual Net Sales above U.S. [ * * * ] 

					
					
						[* * *]

				

		
			 
		

		
			(b)        China Generic Competition. If  [* * *] Generic Products gain Marketing Authorization and are successfully launched in China, then, commencing in the first
		

		
			
		

		
			

		 

		

			8

		

		

			 

		

		

			THE SYMBOL “[* * *]” DENOTES PLACES WHERE CERTAIN IDENTIFIED INFORMATION HAS

		

		

			BEEN EXCLUDED FROM THE EXHIBIT BECAUSE IT IS BOTH (I) NOT MATERIAL, AND (II)

		

		

			WOULD LIKELY CAUSE COMPETITIVE HARM TO THE COMPANY IF PUBLICLY DISCLOSED

		

		

			 

		

		

		
			Calendar Quarter after the [* * *] Generic Product is launched and continuing for so long as such [* * *] Generic Products remain on the market in China, the applicable royalty rate that would otherwise be owed on Net Sales of such Licensed Product in China under Section 1.05(a) will be reduced by [* * *] and other amounts payable under Section 1 shall not be affected by the foregoing sentence.
		

		
			 
		

		
			For the purposes of this section, “Generic Product” means with respect to a Product in China, any product sold by a Third Party (including a “generic product”) approved in China for sale in reliance on a prior approval of a Licensed Product, under Section 505(j) of the Federal Food, Drug and Cosmetic Act, Section 12 of the Provisions for Drug Registration of the People’s Republic of China, or a successor or foreign equivalent Applicable Law, by way of an abbreviated regulatory mechanism by the Regulatory Authority in China, which product meets the equivalency determination by the applicable Regulatory Authority (including a determination that the product is “therapeutic equivalent”, “interchangeable”, “substitutable” or other term of similar meaning, with respect to such Licensed Product).  A product shall not be considered to be a Generic Product if (a) MYLAN or any of its Affiliates or any sublicensee enabled by MYLAN or its Affiliates to (directly or indirectly) sell such product is or was involved in the development or commercialization of such product, or (b) such product is commercialized by any Third Party who obtained such product in a chain of distribution that included MYLAN or any of its Affiliates or any sublicensee enabled by Mylan or its Affiliates to (directly or indirectly) sell such product.
		

		
			 
		

		
			Section 1.06    Duration of Royalty Payments to THERAVANCE.
		

		
			(a)        Commencement.  All royalties payable under Section 6.05(a) shall be paid on a Country-by-Country basis from First Commercial Sale of the Licensed Product in the relevant ROW Country.
		

		
			(b)        Duration of Royalties; Adjustment of Royalties.  Royalty obligations under Section 6.05 shall apply on a Country-by-Country basis, until the later of (i) the expiration or termination of the last Valid Claim of a THERAVANCE Patent or Joint Invention Patent covering the Licensed Product in the ROW Country of sale and (ii) thirteen (13) years from First Commercial Sale of the Licensed Product anywhere in the Territory.
		

		
			(c)        China Royalty Term.  The royalty payments for China payable under the above Section 1.05 shall be payable on a Country-by-Country basis from the First Commercial Sale of such Licensed Product in such Country until the later of:  (i) the fifteenth (15th) anniversary of the date of the First Commercial Sale of such Licensed Product in such Country; and (ii) the expiration of the last Valid Claim (including any patent term adjustments or extensions) within the THERAVANCE Patents that cover such Licensed Product in such Country (the “China Royalty Term”).
		

		
			 
		

		
			
		

		
			

		 

		

			9

		

		

			 

		

		

			THE SYMBOL “[* * *]” DENOTES PLACES WHERE CERTAIN IDENTIFIED INFORMATION HAS

		

		

			BEEN EXCLUDED FROM THE EXHIBIT BECAUSE IT IS BOTH (I) NOT MATERIAL, AND (II)

		

		

			WOULD LIKELY CAUSE COMPETITIVE HARM TO THE COMPANY IF PUBLICLY DISCLOSED

		

		

			 

		

		

		
			Section 1.07    Payments to Third Parties; Combination Products.
		

		
			(a)        Payments to Third Parties.  If MYLAN is required to pay any amounts to a Third Party with respect to the manufacturing,  using or selling Licensed Product in a ROW Country based on the intellectual property rights of such Third Party covering such Licensed Product, MYLAN shall be entitled to deduct [* * *] of any such amount paid to such Third Party from the Royalties otherwise due THERAVANCE for such Licensed Product, provided in no event shall such reduction(s) reduce the royalties otherwise payable to THERAVANCE during any Calendar Year by more than [* * *], and provided further than amounts not deducted in accordance with this Section 1.06 shall be carried forward to the following Calendar Year until [* * *] of all such amounts is so deducted. Notwithstanding the forgoing, MYLAN shall be solely responsible for any and all Third Party Obligations with respect to the Licensed Product in China as a result of the activities hereunder.
		

		
			(b)        Combination Products.  For Combination Licensed Products, the Parties shall meet prior to beginning clinical Development of such Combination Licensed Product, and negotiate in good faith appropriate adjustments to the ROW Royalty, China Royalty, and share of Operating Profits (Loss) for THERAVANCE to receive, based on the relative value of: 1) the Parties’ respective contributions to the Development and Commercialization (including associated expenses) of such Combination Licensed Product; and 2) relative importance and proprietary protection of the Stand Alone Licensed Product and the other active ingredient(s) included in such Combination Licensed Product.  In the event the Parties are unable to agree with respect to such adjustments, Operating Profits (Losses) or Royalties, as applicable shall be multiplied by the fraction equal to 1/[the number of active ingredients in such Combination Licensed Product].
		

		
			Section 1.08    Reporting and Payment.
		

		
			(a)        Reports.
		

		
			(i)         On or before the tenth (10th) day of each month, each Party will provide a written report to the other Party setting forth, with respect to THERAVANCE, the Development Expenses and, with respect to both Parties, the Operating Expenses, Shared Expenses and Patent expenses subject to reimbursement in accordance with Article 12 (“Reimbursable Patent Expenses”), incurred and anticipated to be incurred by such Party during the then-current Calendar Quarter and Calendar Year.  Such reports shall compare such amounts to the amounts set forth in the Development Budget or Commercial Budget, respectively, for the corresponding periods.  Within fifteen (15) days after the end of each Calendar Quarter during the Term, THERAVANCE shall also provide to MYLAN a written report of its Operating Expenses, Shared Expenses and Reimbursable Patent Expenses incurred for such Calendar Quarter.
		

		
			
		

		
			

		 

		

			10

		

		

			 

		

		

			THE SYMBOL “[* * *]” DENOTES PLACES WHERE CERTAIN IDENTIFIED INFORMATION HAS

		

		

			BEEN EXCLUDED FROM THE EXHIBIT BECAUSE IT IS BOTH (I) NOT MATERIAL, AND (II)

		

		

			WOULD LIKELY CAUSE COMPETITIVE HARM TO THE COMPANY IF PUBLICLY DISCLOSED

		

		

			 

		

		

		
			(ii)        As soon as is reasonably practical after the end of each Calendar Quarter, MYLAN shall submit to THERAVANCE a written report (each, a “Quarterly Report”) setting forth in reasonable detail for such Calendar Quarter (i) Net Sales in the Territory, in the aggregate and on a country-by-country basis, (ii) Royalties owed to THERAVANCE on ROW Net Sales, (iii) COGS for the U.S., (iv) Operating Expenses and Shared Expenses for the Calendar Quarter, incurred by each Party and in the aggregate, (v) Operating Profit (Loss) and each Party’s share thereof, (vi) Reimbursable Patent Expenses and each Party’s share thereof, and (vii) the amounts due to or from the relevant Party, as well as the computation of each of the foregoing.
		

		
			(iii)       Subject to Section 1.08(b) below, within fifteen (15) days following submission to THERAVANCE of each Quarterly Report, the Parties shall make any reconciling payments necessary to effect the Royalties owed to THERAVANCE pursuant to Section 1.04 of this Exhibit F, and the sharing of Operating Expense and Operating Profit (Loss) of the Parties set forth in Section 1.03 of this Exhibit F for such Calendar Quarter.  For clarity, if the amount of the Operating Profits (Loss) are negative with respect to any Calendar Quarter, the Parties will share such Operating Loss and THERAVANCE will make any necessary payments to MYLAN.
		

		
			(iv)       The reports required by this Section 1.08 shall be the reporting Party’s Confidential Information subject to the protections of Article 9 of the Agreement.
		

		
			(b)        Disputes.   In the event of a dispute regarding any amount reported by a Party or any amount owed under Section 1.08(a) above, the JSC shall promptly meet and negotiate in good faith a resolution to such dispute.  In the event that the JSC is unable to resolve such dispute within sixty (60) days after notice by the disputing Party, the Parties will (a) use reasonable, good faith efforts to reach agreement on the appointment of one internationally-recognized independent accounting firm to determine the matter or (b) if the Parties cannot reach agreement on such accounting firm, then the head of the office of the American Arbitration Association in New York City shall choose an internationally-recognized independent accounting firm to make the final determination.
		

		
			(c)        Efforts to Streamline Reporting. The Parties will cooperate in good faith to develop processes and align the reporting timelines set forth in this Section 1.08 with each Party’s internal close calendars and internal and other reporting obligations.
		

		 

		

			11asmb_Ex10_1

		
			Exhibit 10.1
		

		
			 
		

			
					
						 

				
	
					
						*** Certain information in this exhibit has been excluded because it either (1) is both (a) not material and (b) would likely cause competitive harm if publicly disclosed or (2) constitutes personal information which, if disclosed, would constitute a clearly unwarranted invasion of privacy.

				

		
			 
		

		
			Assembly Biosciences, Inc.
		

		
			 
		

		
			May 6,  2019
		

		
			 
		

		
			PERSONAL AND CONFIDENTIAL
		

		
			 
		

		
			Uri A. Lopatin, M.D.
		

		
			[***]
		

		
			 
		

		
			Re:       Separation Agreement and General Release of Claims
		

		
			 
		

		
			Dear Uri:
		

		
			This letter (this “Agreement”) provides notice to you that effective today, May 6,  2019 (the “Separation Date”), your employment with Assembly Biosciences, Inc. (the “Company”) is being terminated without Cause pursuant to Section 8(e) of that certain Amended and Restated Employment Agreement by and between you and the Company entered into as of October 10, 2018 (the “Employment Agreement”).  Each capitalized term used herein and not otherwise defined shall have the meaning assigned to such term in the Employment Agreement. The Company thanks you for your contributions and wishes you well in your future endeavors.
		

		
			This Agreement also sets forth the terms of the Release referenced in Section 9(c) of the Employment Agreement and you acknowledge that this Agreement becoming effective is a condition of your right to receive the Base Separation Benefits defined in such Section 9(c).  Finally, you are eligible to receive additional compensation in return for you providing consulting services to the Company, as described in more detail below.
		

		
			Regardless of whether you enter into this Agreement, you shall be entitled to the Accrued Benefits as defined in Section 9(a) of the Employment Agreement.  Also regardless of whether you enter into this Agreement, you will remain bound by your continuing obligations to the Company under Section 5 [Confidential Information and Inventions] of your Employment Agreement, your June 12, 2015 Proprietary Information and Inventions Agreement (as modified by your Employment Agreement) (“PIIA”),  and Section 6  [Non-Solicitation] of your Employment Agreement, and the other provisions of the Employment Agreement which by their terms or by the nature of the obligation survive the termination of your employment (the “Continuing Obligations”).  Such Continuing Obligations include, without limitation, your confidentiality obligations, return of property obligations, and non-solicitation obligations.
		

		
			The remainder of this Agreement sets forth the terms of the Agreement.  You acknowledge that you are entering into this Agreement knowingly and voluntarily.  With those understandings, you and the Company agree as follows:
		

		
			 
		

		
			

		 

		

			 

		

		

			Uri A. Lopatin, M.D.

		

		

			May 6, 2019

		

		

			Page 2

		

		

		
			1.          Separation from Employment
		

		
			This confirms that your employment with the Company shall terminate on the Separation Date.  As of such date you shall be deemed to have resigned as an officer of the Company and each subsidiary effective as of the Separation Date. Accordingly, your right to participate in the employee benefit plans of the Company shall cease on the Separation Date, except you will continue under the Company’s health insurance benefit through the last day of the month in which the Separation Date occurs and as noted in Section 2(d) below, if applicable.
		

		
			2.          Separation Benefits
		

		
			Subject to this Agreement becoming effective and your compliance with this Agreement and the Continuing Obligations, the Company shall provide you with the following “Separation Benefits” as set forth in Section 9(c) of the Employment Agreement except as modified by this Agreement:
		

		
			(a)         Separation Pay.  The Company shall provide you with lump sum payment equal to twelve (12) months of your final Base Salary (which is at the annualized rate of $410,000) (such payment  being the “Separation Pay”).  The Separation Pay will be paid on the Company’s first regular payday occurring after the Effective Date of this Agreement in an amount equal to the Separation Pay, less applicable taxes and withholdings, in accordance with the Company’s normal payroll practices for its employees.
		

		
			(b)         Acceleration of Equity Awards.  The table in Exhibit A attached hereto sets forth all of your outstanding Equity Awards (as defined in the Employment Agreement) as of the date hereof.  As provided in your Employment Agreement, all Equity Awards which would have vested during the six (6) months following the Separation Date shall accelerate and vest on the Separation Date as set forth on Exhibit A attached hereto. For avoidance of doubt, any acceleration of vesting set forth in an equity award that provides for acceleration in connection with  a termination of employment by the Company shall have no further effect following the cessation of your employment.  Upon the effective date of your Consulting Agreement, each of your outstanding Equity Awards to the extent unvested as of the effective date of your Consulting Agreement shall be hereby modified to provide that upon the termination of your Continuous Service by the Company for any reason other than for Cause within 6 months following the occurrence of a Corporate Transaction (as defined in the applicable stock incentive plan), all unvested Options or RSUs, as applicable, shall immediately vest.
		

		
			(c)         Extension of Exercise Period.  The post-termination exercise period for all Stock Options that are vested as of the Separation Date shall be extended as provided in your Employment Agreement and Equity Awards to the date noted in Exhibit A attached hereto.  Unvested options under your 2018 stock option award grants that vest during the term of the Consulting Agreement, shall have the same post-termination exercise period as those 2018 stock options that were vested as of Separation Date as noted in Exhibit A attached hereto.  The post-termination exercise period for all stock options under your 2019 stock option award grants  that vest during your provision of Continuous Services
		

		
			
		

		
			

		 

		

			 

		

		

			Uri A. Lopatin, M.D.

		

		

			May 6, 2019

		

		

			Page 3

		

		

		
			under your Consulting Agreement shall be as set forth in such Equity Awards and as noted on Exhibit A attached hereto.
		

		
			(d)         Health Benefit.  Notwithstanding anything in the contrary in the Employment Agreement, provided that you properly and timely elect to continue your health insurance benefits (including health, dental and/or vision) and remain eligible under COBRA after the Separation Date, the Company shall pay your applicable COBRA premiums, directly to the applicable plan administrator/insurance company, for the eighteen (18) months following your Separation Date  or until you become eligible under another employer’s health insurance, whichever is earlier (the “Health Benefit”).
		

		
			3.          Consulting Agreement
		

		
			(a)         Upon signing this Agreement, the Company will enter into the consulting agreement with you set forth as Exhibit B attached hereto (the “Consulting Agreement”), to be effective as of May 7, 2019.  Your service as a Consultant pursuant to the Consulting Agreement will constitute “Continuous Service” (as defined in the Company’s Amended and Restated 2014 Stock Incentive Plan and 2018 Stock Incentive Plan) and any portion of the Equity Awards that remain unvested as of the Separation Date will continue to vest during the term of the Consulting Agreement in accordance with the terms of the applicable stock incentive plan and equity award grant agreement.  For avoidance of doubt, any acceleration of vesting associated with a termination of employment by the Company shall not be applicable to a termination of services under the Consulting Agreement. Your sole rights to any acceleration of equity awards following the termination of your employment shall be as provided under your equity awards (as modified in Section 2(b) above) and the applicable stock incentive plan. No modification to any of your outstanding equity awards is intended to occur as a result of the change in your status to a consultant except those changes that occur by operation of law and those expressly set forth in Sections 2(b)  and 2(c) of this Agreement.
		

		
			(b)         During the term of the Consulting Agreement, your Company email address and telephone number will remain active, the Company will provide you with access to its email, telephone and computer systems to the extent necessary to perform the services under the Consulting Agreement, and you will retain possession of the Lenovo X1 laptop computer previously provided to you by the Company.   You agree to work with the Company to remove Company information from your Lenovo X1 laptop computer that is not necessary for you to retain in connection with the provision of your consulting services under the Consulting Agreement and subject to your retention of contact information as provided in Section 7(a) below.
		

		
			4.          Release of Claims
		

		
			In consideration for, among other terms, the Base Separation Benefits and Health Benefits, to which you acknowledge you would otherwise not be entitled, you, on behalf of yourself and your heirs, executors, representatives, agents, insurers, administrators, successors and assigns (collectively, the “Releasors”) voluntarily release and forever discharge the Company, its affiliated and related entities, its and their respective predecessors, successors and
		

		
			
		

		
			

		 

		

			 

		

		

			Uri A. Lopatin, M.D.

		

		

			May 6, 2019

		

		

			Page 4

		

		

		
			assigns, its and their respective employee benefit plans and fiduciaries of such plans, the  Company’s former affiliated professional employer organization, Insperity PEO Services, L.P., and the current and former officers, directors, shareholders, employees, attorneys, insurers, accountants and agents of each of the foregoing in their official and personal capacities (collectively referred to as the “Releasees”) generally from all claims, demands, debts, damages and liabilities of every name and nature, known or unknown (“Claims”) that, as of the date when you sign this Agreement, you and the other Releasors have, ever had, now claim to have or ever claimed to have had against any or all of the Releasees.  This release includes, without limitation, all Claims: relating to your employment by the Company and the termination of your employment; of wrongful discharge or violation of public policy; of breach of contract; of defamation or other torts; of retaliation or discrimination under federal, state or local law (including, without limitation, Claims of discrimination or retaliation under the Age Discrimination in Employment Act, the Americans with Disabilities Act, Title VII of the Civil Rights Act of 1964, the California Fair Employment and Housing Act,  and the Indiana Civil Rights Law); under any other federal or state statute (including, without limitation, Claims under the Fair Labor Standards Act, the California Family Rights Act and the Family and Medical Leave Act); for wages, bonuses, incentive compensation, commissions, stock, stock options, vacation pay or any other compensation or benefits, either under the California Labor Code, or otherwise; and for damages or other remedies of any sort, including, without limitation, compensatory damages, punitive damages, injunctive relief and attorney’s fees; provided, however, that this release shall not waive any rights to worker’s compensation, state disability or unemployment insurance benefits or any other claims that cannot be waived as a matter of law.  Furthermore, this release shall not affect your rights to claims under state workers' compensation or unemployment laws and your right to file an administrative charge or complaint with or participate in a charge by the Equal Employment Opportunity Commission (the "EEOC"), or any other local, state, or federal administrative body or government agency that is authorized to enforce or administer laws related to employment, against the Company (with the understanding that any such filing or participation does not give you the right to recover any monetary damages against the Company; your release of claims herein bars you from recovering such monetary relief from the Company).  This release will not waive any of your rights, or obligations of the Company, regarding: (a) any right to indemnification and/or contribution, advancement or payment of related expenses that you may have pursuant to the Company’s Bylaws, Articles of Incorporation or other organizing documents, under any written indemnification or other agreement between the parties, and/or under applicable law; (b) any rights that you may have to insurance coverage under any directors and officers liability insurance, other insurance policies of the Company, COBRA or any similar state law; (c) rights to any vested benefits under any equity, compensation or other employee benefit plan or agreement with the Company, including the Company’s Section 401(k) plan and the Equity Awards; (d) rights to any applicable severance benefits under this Agreement; (e) your rights as a shareholder of the Company, if applicable, and (f) any claims arising after the date you sign this Agreement.
		

		
			You agree not to accept damages of any nature, other equitable or legal remedies for your own benefit or attorney's fees or costs from any of the Releasees with respect to any Claim released by this Agreement. As a material inducement to the Company to enter into this Agreement, you represent that you have not assigned any Claim to any third party.
		

		
			
		

		
			

		 

		

			 

		

		

			Uri A. Lopatin, M.D.

		

		

			May 6, 2019

		

		

			Page 5

		

		

		
			In granting the release herein, you understand that this Agreement includes a release of all claims known or unknown. In giving this release, which includes claims which may be unknown to you at present, you acknowledge that you have read and understand Section 1542 of the California Civil Code which reads as follows: "A general release does not extend to claims which the creditor or releasing party does not know or suspect to exist in his or her favor at the time of executing the release and that, if known by him or her would have materially affected his or her settlement with the debtor or released party." You hereby expressly waive and relinquish all rights and benefits under that section and any law of any jurisdiction of similar effect with respect to the release of any unknown or unsuspected claims you may have against the Company.
		

		
			5.          Non-Disparagement
		

		
			You agree not to make any disparaging statements concerning the Company, or any of its affiliates, or its or their current or former officers, directors, shareholders, employees or agents, or any of the Company’s or its respective affiliates’ products or services.  These non-disparagement obligations shall not in any way affect your obligation to testify truthfully in any legal proceeding or your rights under Section 7(c).
		

		
			The Company will not issue any official statements or press releases disparaging you.  The Company will instruct each of the Company’s executive officers not to make any disparaging statements concerning you.  These non-disparagement obligations shall not in any way affect the Company’s obligation to (i) testify truthfully in any legal proceeding, (ii) disclose your name, position and dates of employment in response to any reference inquiries, (iii) provide truthful information about the reasons for your termination in response to inquiries from any state unemployment insurance agency, in pubic filings, as required by law and in any legal or administrative proceeding.
		

		
			6.          Confidentiality of Agreement-Related Information
		

		
			You agree, to the fullest extent permitted by law, to keep all Agreement-Related Information completely confidential. "Agreement-Related Information" means the negotiations leading to this Agreement. Notwithstanding the foregoing, you may disclose Agreement-Related Information to your spouse, your attorney and your financial and tax advisors, and to them only provided that they first agree for the benefit of the Company to keep Agreement-Related Information confidential. Nothing in this Agreement or any other agreement between you and the Company shall be construed to prevent you from disclosing Agreement-Related Information or any other information or documents to the extent required by applicable law, a lawfully issued subpoena or duly issued court order; provided that, except where otherwise prohibited by law, you provide the Company with advance written notice and a reasonable opportunity to contest such subpoena or court order.  In addition, nothing in this Agreement or any other agreement between you and the Company prohibits you from disclosing any information or documents in any action for enforcement of this Agreement, but solely to the extent relevant and necessary for such enforcement action.
		

		
			
		

		
			

		 

		

			 

		

		

			Uri A. Lopatin, M.D.

		

		

			May 6, 2019

		

		

			Page 6

		

		

		
			7.          Other Provisions
		

		
			(a)         Maintenance of Information.  Notwithstanding anything to the contrary in the PIIA or any other agreement between you and the Company, following the Separation Date, you may retain and use, in hardcopy and/or electronic format, the contact information in your Microsoft Outlook Contacts and similar contact information maintained by you as of the Separation Date, and, at your expense, may also continue to maintain and use any personal or professional profile, accounts or contacts contained on any LinkedIn, Facebook or other social media site or system existing as of the Separation Date.  It being agreed and understood that such social media sites will be updated appropriately to reflect your change in status and nothing in the foregoing is intended to include any Company social media site or impose any obligations or expenses on the Company.
		

		
			(b)         Termination of Payments.  If you breach any of your obligations under this Agreement or your Continuing Obligations, in addition to any other legal or equitable remedies the Company may have for such breach, the Company shall have the right to terminate future payments under this Agreement and if the breach is material and willful the Company may seek recovery of the payments by the Company to you or for your benefit under this Agreement.  The termination of such payments in the event of such breach will not affect your obligations under this Agreement or your Continuing Obligations.
		

		
			(c)         Protected Disclosures and Other Protected Actions.  Nothing contained in this Agreement or in your Continuing Obligations limits your ability to file a charge or complaint with any federal, state or local governmental agency or commission (a “Government Agency”).  In addition, nothing contained in this Agreement or your Continuing Obligations limits your ability to communicate with or respond accurately and fully to any question, inquiry or request for information from any Government Agency or otherwise participate in any civil, criminal or regulatory investigation or proceeding that may be conducted by any Government Agency, including your ability to provide documents or other information, without notice to the Company, nor does anything contained in this Agreement apply to truthful testimony in litigation.  If you file any charge or complaint with any Government Agency and if the Government Agency pursues any claim on your behalf, or if any other third party pursues any claim on your behalf, you waive any right to monetary or other individualized relief (either individually, or as part of any collective or class action); provided that nothing in this Agreement limits any right you may have to receive a whistleblower award or bounty for information provided to the Securities and Exchange Commission.
		

		
			(d)         Absence of Reliance.  In signing this Agreement, you are not relying upon any promises or representations made by anyone at or on behalf of the Company.
		

		
			(e)         Enforceability.  If any portion or provision of this Agreement (including, without limitation, any portion or provision of any section of this Agreement) shall to any extent be declared illegal or unenforceable by a court of competent jurisdiction, then the remainder of this Agreement, or the application of such portion or provision in circumstances other than those as to which it is so declared illegal or unenforceable, shall not be affected thereby, and each portion
		

		
			
		

		
			

		 

		

			 

		

		

			Uri A. Lopatin, M.D.

		

		

			May 6, 2019

		

		

			Page 7

		

		

		
			and provision of this Agreement shall be valid and enforceable to the fullest extent permitted by law.
		

		
			(f)         Waiver; Modification.  No waiver of any provision of this Agreement shall be effective unless made in writing and signed by the waiving party.  The failure of a party to require the performance of any term or obligation of this Agreement, or the waiver by a party of any breach of this Agreement, shall not prevent any subsequent enforcement of such term or obligation or be deemed a waiver of any subsequent breach.  The terms of this Agreement may only be amended with the prior written consent of both parties.
		

		
			(g)         Jurisdiction.  You and the Company hereby agree that the state and federal courts situated in San Francisco, California shall have the exclusive jurisdiction to consider any matters related to this Agreement, including without limitation any claim of a violation of this Agreement.  With respect to any such court action, you and the Company agree to submit to the jurisdiction of such courts and consent that venue in such courts is proper.  In the event of any dispute arising out of, or relating to, this Agreement, the parties agree to submit any differences to nonbinding mediation prior to pursuing resolution through the courts.
		

		
			(h)         Relief.  You agree that it would be difficult to measure any harm caused to the Company that might result from any breach by you of your Continuing Obligations or the promises set forth in Section 4 of this Agreement.  You further agree that money damages would be an inadequate remedy for any breach of Sections 4,  Section 5 or Section 6.  Accordingly, you agree that if you breach, or propose to breach, any of your Continuing Obligations, Section 4, Section 5 or Section 6, the Company shall be entitled, in addition to all other remedies it may have, to an injunction or other appropriate equitable relief to restrain any such breach, without showing or proving any actual damage to the Company and without the necessity of posting a bond.
		

		
			(i)          Governing Law; Interpretation.  This Agreement shall be interpreted and enforced under the laws of the State of California, without regard to conflict of law principles.  In the event of any dispute, this Agreement is intended by the parties to be construed as a whole, to be interpreted in accordance with its fair meaning, and not to be construed strictly for or against either you or the Company or the “drafter” of all or any portion of this Agreement.
		

		
			(j)          Entire Agreement.  This Agreement and the exhibits attached hereto constitute the entire agreement between you and the Company.  This Agreement supersedes any previous agreements or understandings between you and the Company, except the Continuing Obligations, the Company’s applicable stock incentive plans and your Equity Award agreements (as such documents may be amended by Sections 2(b) and 2(c) above), and any other obligations specifically preserved in this Agreement.
		

		
			(k)         Time for Consideration; Effective Date.  You acknowledge that you have knowingly and voluntarily entered into this Agreement and that the Company advises you to consult with an attorney before signing this Agreement.  You understand and acknowledge that you have been given the opportunity to consider this Agreement for twenty-one (21) days from your receipt of this Agreement before signing it (the “Consideration Period”).  To accept this
		

		
			
		

		
			

		 

		

			 

		

		

			Uri A. Lopatin, M.D.

		

		

			May 6, 2019

		

		

			Page 8

		

		

		
			Agreement, you must return a signed original,  DocuSign or a signed PDF copy of this Agreement so that it is received by Elizabeth Lacy (elizabeth@assemblybio.com) at or before the expiration of the Consideration Period.  If you sign this Agreement before the end of the Consideration Period, you acknowledge that such decision was entirely voluntary and that you had the opportunity to consider this Agreement for the entire Consideration Period.  For the period of seven (7) days from the date when the Company receives the signed Agreement as provided above, you have the right to revoke this Agreement by written notice to Ms. Lacy, provided that such notice is delivered so that it is received at or before the expiration of the seven (7) day revocation period.  This Agreement shall not become effective or enforceable during the revocation period.  This Agreement shall become effective on the first business day following the expiration of the revocation period (the “Effective Date”).
		

		
			(l)          Counterparts.  This Agreement may be executed in one or more counterparts, each of which shall be deemed an original and all of which together shall constitute one and the same original, binding document. Any facsimile, PDF reproduction of original signatures or other electronic transmission of a signed counterpart shall be deemed to be an original counterpart and any signature appearing thereon shall be deemed to be an original signature.
		

		
			[signature page follows]
		

		
			
		

		
			

		 

		

			 

		

		

			Uri A. Lopatin, M.D.

		

		

			May 6, 2019

		

		

			Page 9

		

		

		
			Please indicate your agreement to the terms of this Agreement by signing and returning to the Company’s General Counsel the original or a PDF copy of this letter within the time period set forth above.
		

		
			Sincerely,
		

		
			ASSEMBLY BIOSCIENCES, INC.
		

		
			 
		

			
					
						By:

					
					
						/s/ Derek A. Small

					
					
						 

					
					
						May 6, 2019

				
	
					
						 

					
					
						Derek A. Small

					
					
						 

					
					
						Date

				
	
					
						 

					
					
						Chief Executive Officer and President

					
					
						 

					
					
						 

				

		
			 
		

		
			You are advised to consult with an attorney before signing this Agreement. This is a legal document.  Your signature will commit you to its terms.  By signing below, you acknowledge that you have carefully read and fully understand all of the provisions of this Agreement and that you are knowingly and voluntarily entering into this Agreement.
		

			
					
						///s/

					
					
						 

					
					
						 

				
	
					
						/s/ Uri A. Lopatin, M.D.

					
					
						 

					
					
						May 6, 2019

				
	
					
						Uri A. Lopatin, M.D.

					
					
						 

					
					
						Date

				

		
			 
		

		
			 
		

		
			

		 

		

			 

		

		

			 

		

		

		
			EXHIBIT A – EQUITY AWARDS 
		

		
			 
		

		
			[***]

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