Document:

Exhibit 10.6

 

EMPLOYMENT AGREEMENT

 

THIS AGREEMENT
made as of the 12th day of September, 2005

 

BETWEEN:

 

OncoGenex, Inc., a Corporation incorporated under the laws of Washington and having an
office at Seattle, Washington

 

(together with any subsidiaries hereinafter referred to as the “Company”)

 

OF THE FIRST PART

 

AND:

 

Cindy Jacobs,
an individual, domiciled at [***] Washington

 

(hereinafter referred to as the “Employee”)

 

OF THE SECOND PART

 

WHEREAS the
Company is a research and development company engaged in clinical research of
novel therapeutics for cancer;

 

AND WHEREAS the
Company and the Employee wish to enter into this Employment Agreement under the
terms and conditions herein;

 

AND WHEREAS
during the course of the Employee’s employment with the Company, the Employee
will be introduced to, have contact with, and her services may be solicited by,
one or more of the clients of the Company;

 

AND WHEREAS
the Employee will acquire knowledge, experience and expertise, as well as
detailed knowledge of the Company’s confidential customer and supplier lists
and information, marketing techniques, price lists, trade secrets and other
property which is and shall be the property of the Company, and the disclosure,
loss or, unauthorized use of which would substantially harm the business of the
Company;

 

NOW THEREFORE THIS AGREEMENT WITNESSES that for good and valuable consideration,
the receipt and sufficiency of which are hereby acknowledged, the parties
hereto hereby agree as follows:

 

ARTICLE 1

EMPLOYMENT RELATIONSHIP

 

1.1           The
terms of employment under this Agreement are not intended to create, and should
not be construed as creating, a contract for employment. All employees are
employed on an at-will basis. At-will employment means that either the Company
or the employee can terminate the employment relationship at any time, with or
without prior notice, for any reason not otherwise prohibited by law. Any
representation to the contrary is not binding on the Company unless it is in
writing and is signed by the President of the Company. This Agreement shall be
effective on September 12, 2005 (the “Effective
Date”).

 

*Certain information in
this exhibit has been omitted as confidential, as indicated by [***]. This
information has been filed separately with the Commission.

 

 

ARTICLE 2

DUTIES AND RESPONSIBILITIES

 

2.1           The
Employee shall serve the Company as an Employee initially in the position of
Executive VP and Chief Medical Officer and initially reporting to the
President.

 

2.2           The
Employee shall undertake and perform the following duties and responsibilities:

 

(a)       participate
in the overall strategic orientation of the Company;

 

(b)       contribute
significantly to the identification and selection of future therapeutic
opportunities;

 

(c)       provide
leadership, establish strategy and implement drug development and regulatory
affairs efforts. Clinical development will encompass full therapeutic
responsibility from Phase I-Phase IV including Medical Communications,
Pharmacovigilance and Safety;

 

(d)       ensure
project goals and timelines are met by working with the clinical team, clients,
co-development partners, CROs and principal investigators, and design and
prepare clinical trial protocols, conduct data analysis, and review and modify
development programs as necessary;

 

(e)       provide
leadership to establish the essential conditions for determining the safety,
efficacy, medical usefulness, and eventual marketability of the Company’s and
clients’ drug candidates;

 

(f)        provide
medical guidance and direction to the Company’s and clients’ clinical
development programs;

 

(g)       establish
relationships with thought leaders, consultants and key clinicians across the
varied segments of interest to ensure that the Company and clients have a clear
understanding of clinicians’ needs and requirements as well as medical practice
patterns, and to encourage support of the Company’s and clients’ clinical
programs;

 

(h)       provide
key medical/scientific input into regulatory submissions;

 

(i)        manage
cross-functional collaborations, both internal and external to the Company
including representing the Company as an expert liaison to academic
specialists;

 

(j)        travel
as necessary, consistent with project needs; and

 

(k)       perform
such other duties and responsibilities as may be assigned or vested in her by
the Employee’s supervisor from time to time and which are consistent with the
duties and responsibilities of an executive vice president and chief medical
officer, and such duties, responsibilities, or assignments as are necessary for
adjustment to changes in the Company’s business.

 

2.3           In
accordance with the other terms of this Agreement, the Employee agrees during
the continuance of her employment, to devote her entire working time, services,
skill and 

 

2

 

ability
to such employment and to serve at all times with loyalty and honesty in the
best interests of the Company. Prior written consent from the President must be
obtained if the Employee wishes to engage in activities with for-profit and
charitable or non-profit organizations during normal working hours.

 

ARTICLE 3 

BASE COMPENSATION

 

3.1           In
consideration of the services provided by the Employee hereunder, the Company
shall, as of the Effective Date,
pay to the Employee an annual base salary in the amount of three hundred twenty
thousand US dollars (US$320,000) as increased from time to time in accordance
with Article 3.2 (“Base Salary”),
payable semi-monthly or such other manner as may be agreeable to the parties
hereto and in compliance with any applicable legislation.

 

3.2           Such
Base Salary shall be reviewed by the Employee’s supervisor and may be further
reviewed by the Compensation Committee of the Board every twelve (12) months
based on the Employee’s performance, corporate cash flow, achievement of corporate
objectives and in accordance with Company policies. Any recommended increase
may require approval by the Board.

 

3.3           The
Employee shall be eligible to participate in any bonus plans (“Bonus”) offered by the Company to its Employees in
accordance with the terms thereof as established by the Board and as amended
from time to time. Initially, the Employee shall be eligible for a Bonus of up
to 30% of the Base Salary. The Bonus shall be based on annual corporate
objectives as established by the Board and annual personal objectives as
established by the Employee’s supervisor, each of which shall be communicated
to the Employee annually by December 31 in the year preceding the year in which
the milestones pertain and attached hereto as Appendix A. At the same time, the
allocation of bonus potential between corporate and personal objectives for the
upcoming year will be communicated to the Employee.

 

ARTICLE 4 

INCENTIVE COMPENSATION

 

4.1           The
Employee shall participate in the share option plan of OncoGenex Technologies
Inc. (the “Plan”) as set forth in Appendix B
attached hereto and in accordance with its terms as amended from time to time.

 

4.2           The
exercise of any Options shall at all times be subject to obtaining any
applicable regulatory or legal approval.

 

ARTICLE 5

BENEFITS

 

5.1           Group Insurance and Pension

 

The Employee shall be
eligible on the Effective Date for
any group medical, dental, insurance and pension programs applicable to the
employees of the Company.

 

3

 

5.2           Vacation

 

The Employee shall be
entitled to 20 Business Days (as defined in
Article 10) of annual paid vacation during each year with your vacation
entitlement in the first year after the Effective Date accruing monthly from
the Effective Date. Unused vacation may not be carried over for more than
twelve months after the completion of each fiscal year.

 

5.3           Expenses

 

The
Employee shall be reimbursed for all out-of-pocket expenses incurred on behalf
of the Company within 15 days of receipt by the Company of an expense report
together with original receipts in respect of such expenses.

 

ARTICLE 6 

TERMINATION OF EMPLOYMENT

 

6.1           The
Employee acknowledges and agrees that, during the first 3 months of employment,
(the “Probationary Period”), starting on the Effective Date, she is employed on a
probationary basis. During the Probationary Period, this Agreement may be
terminated by the Company at any time, with or without notice. If the Company
terminates the employment of the Employee during the Probationary Period, the “Date of Termination” shall mean the last
day on which the Employee works for the Company. Employee further understands
and agrees that completion of the Probationary Period does not guarantee
continued employment and does not change the at-will nature of the employment
relationship.

 

6.2           For Cause. Company will have the right to immediately terminate Employee’s
services and this Agreement for Cause. “Cause”
means:  any breach of this Agreement by
Employee, including, without limitation, breach of Employee’s covenants in
Articles 7, 8 and 9; any failure to perform assigned job responsibilities that
continues unremedied for a period of thirty (30) days after written notice to
Employee by the Company; conviction of a felony or misdemeanor or failure to
contest prosecution for a felony or misdemeanor;  the Company’s reasonable belief that Employee
engaged in a violation of any statute, rule, regulation, or Company policy, any
of which in the judgment of the Company is harmful to the Company or to the
Company’s reputation; the Company’s reasonable belief that Employee engaged in
unethical practices, dishonesty or disloyalty; or the Company’s failure to
obtain or lack of funding sufficient to support Employee’s position. Upon
termination for Cause, Employee will have no rights to any unvested benefits or
any other compensation or payments except as stated in this Article 6.2 and Employee shall only be entitled to
such benefits or payments if both OncoGenex and Employee sign (and then
Employee does not rescind, as may be permitted by law) a mutual general release
of claims in a form mutually acceptable to both parties. In the event the
Employee is terminated for Cause pursuant to this Article 6.2, the “Date of Termination” shall mean the last day on which the
Employee works for the Company.

 

6.3           Without Cause. After the Probationary Period, the Company
may terminate Employee’s employment under this Agreement without cause and
without advance notice; provided, however, that OncoGenex will
continue to provide, as severance pay, the Employee’s Base Salary in cash (less
statutory withholdings) at the rate in effect on Date of Termination for a
period of twelve months following the Date of Termination. Upon termination
without cause, Employee will have no rights to any unvested benefits or any
other compensation or payments except as stated in this Article 6.3 and Employee shall only be entitled to
such benefits and payment if both OncoGenex and Employee sign (and then
Employee does not rescind, as may be permitted by law) a mutual general 

 

4

 

release of claims in a form mutually acceptable to
both parties. In the event the Employee is terminated without cause pursuant to
this Article 6.3, the “Date of Termination”
shall mean the last day on which the Employee works for the Company.

 

6.4           Termination by
Employee. The Employee may terminate her employment
under this Agreement for any reason, provided that Employee gives the Company
at least thirty (30) days’ notice in writing (the “Notice
Period”). Upon provision of thirty (30) days’ notice of Employee’s
decision to voluntarily terminate her employment under this Agreement for any
reason, Employee shall be paid (i) her salary through the Date of Termination,
(ii) for any unused vacation time, and (iii) for any unreimbursed business
expenses that are subject to reimbursement under the Company’s then current
policy on business expenses. If the Employee terminates her employment pursuant
to this Article 6.4, the Company may request that the Employee cease duties
prior to the expiry of the Notice Period. The Company shall, in such event, pay
to the Employee an amount equal to the difference between what the Employee
would have received had the employment of the Employee been continued for the
Notice Period and the amount actually paid by the Company to the Employee
during the Notice Period. In the event the Employee provides such notice to the
Company, the “Date of Termination” shall mean
the last day on which the Employee works for the Company.

 

ARTICLE 7 

NON-COMPETITION AND NON-SOLICITATION

 

7.1           As
used in this Agreement, the following words and phrases are defined as follows:

 

(a)           “UBC Licenses” means the licenses
entered into by the University of British Columbia and OncoGenex Technologies
Inc. effective November 1, 2001, September 1, 2002 and April 5, 2005 which
define the terms under which OncoGenex Technologies Inc. has acquired an
exclusive license to certain technology. It is understood that OncoGenex
Technologies Inc. has granted the Company a limited right to use certain
technology licensed under the UBC Licenses solely for the Company to perform
work for OncoGenex Technologies Inc.

 

(b)           “Technology” means all ideas, concepts, business and trade
names, trademarks, know-how, trade secrets, inventions, improvements, devices,
methods, processes and discoveries, whether patentable or not, and whether or
not reduced to writing or other tangible form or to actual or constructive
practice which either:  (i) are part of the technology licensed to
OncoGenex Technologies Inc. under the UBC Licenses; or (ii) are otherwise
developed or acquired on behalf of or by the Company, including but not limited
to the technology licensed to the Company by its clients for work to be performed
for such clients persuant to research contracts.

 

(c)           “Business” means the research and development of the
Technology and such other business plans as approved by the Board from time to
time and which are in effect on the Date of Termination of this Agreement.

 

7.2           Employee
understands and agrees that during her employment with the Company, she will
not, within Canada, the United States or Europe, without the written consent of
the Company:

 

5

 

(a)           own or
have any interest directly in, save and except for an interest of less than 5%
in a publicly traded company;

 

(b)           act as an
officer, director, agent, employee or consultant of; or

 

(c)           assist in
any way or in any capacity,

 

any person, firm, association, syndicate,
partnership, joint venture, collaboration, corporation or other entity that is
engaged in a business that is substantially similar to or that competes with
the Business.

 

7.3           Employee
further understands and agrees that or a period of twelve (12) months following
termination of her employment with the Company, she will not, within Canada or
the State of Washington, without the prior written approval of the Company:

 

(a)           act as an officer,
director, agent, employee or consultant of; or

 

(b)           assist in
any way or in any capacity,

 

any
person, firm, association, syndicate, partnership, joint venture,
collaboration, corporation or other entity that is engaged in a business that
is substantially similar to or that competes with the Business. Following the
expiration of this twelve-month period, Employee shall continue to be obligated
under Article 8 “Confidentiality” of this Agreement.

 

7.4           The
Employee will not, during her employment and for a period of twelve (12) months
from the Date of Termination of her employment
with the Company:

 

(a)           directly
or indirectly, either personally, through an agent or by letters, circulars or
advertisements, contact for the purpose of solicitation or actually solicit any
person, firm, association, syndicate, joint venture, collaboration,
corporation, or business entity who/which is or was a customer of the Company
on or at any time within the 12 months before the Date of
Termination, or who was scheduled to become a customer of the
Company within twelve months prior to the Date of Termination;

 

(b)           induce or
attempt to induce any person:

 

(i)            who was an
employee of the Company or a client of the Company at the Date of Termination;
or

 

(ii)           who has
been, during the twelve months before the Date of Termination, an employee of
the Company or a client of the Company;

 

to leave the employ
of the Company or the client, as the case may be, whether to join the Employee
in a similar enterprise or otherwise; or

 

(c)           either
directly or indirectly, solicit, divert or take away any staff, temporary
personnel, trade, or business from the Company or a client, or otherwise
compete for accounts or personnel which become known to her through her
relationship with the Company and agrees not to influence or attempt to
influence any of the Company’s customers, suppliers, or resellers or personnel 

 

6

 

not to do business
with the Company or take any action which may be reasonably foreseen to result
in harm to the Company.

 

ARTICLE 8 

CONFIDENTIALITY

 

8.1           Delivery of Records. Any and all computer code, data,
notes, diagrams, reports, notebook pages, memoranda, and like materials,
including confidential information and trade secrets as defined in Article 8.2
below, received from or developed for the Company and any copies or excerpts
thereof shall remain the property of the Company. Upon the termination of the
Employee’s employment with the Company, or at any time during her employment at
the request of the Company, the Employee shall deliver to the Company all such
materials and other property belonging to the Company or developed in
connection with the Business.

 

7.2       Confidential Information and Trade Secrets. Employee acknowledges that during her
employment with the Company, she is and will continue to be exposed to
confidential information and trade secrets of both the Company and its clients,
all of which are essential to the Company’s business and the continued
confidentiality of which is critical to the Company’s economic well-being. Such
confidential information and trade secrets include, but are not limited
to:  financial information, business
plans, prospects, inside information (including information regarding financial
performance, earnings, existing products, existing techniques, new products,
new techniques and business strategies), proprietary processes and know-how,
client lists, personnel information (including, without limitation, skills and              compensation), product development
information, and information regarding possible acquisitions or sales of
businesses or facilities. Such confidential information does not include any
information that has become part of the public domain by means other than her
breach of this Agreement. Employee agrees not to use or disclose, at any time
during her employment or at any time thereafter, any such confidential or trade
secret information to any third party for any reason, except as authorized and
necessary to perform her job.

 

8.3           The Employee agrees that the confidential information is and will remain
the exclusive property of the Company. The Employee also agrees that the
confidential information:

 

(a)           constitutes a proprietary right which the
Company is entitled to protect; and

 

(b)           constitutes information and knowledge not
generally known to the trade.

 

8.4           For purposes of the copyright laws of the
United States of America, to the extent, if any, that such laws are applicable
to any confidential information, it shall be considered a work made for hire
and the Company shall be considered the author thereof.

 

ARTICLE 9

INTELLECTUAL PROPERTY

 

9.1           Employee agrees that she will promptly disclose to the Company in
writing and in full and enabling detail all inventions, designs, processes and
protectable works (collectively, “Inventions”)
that she hereafter may create during the term of her employment that pertain to
the Technology or Business of the Company or its clients, or that are created
by her during working hours or by using any resource of the Company, 

 

7

 

including training, tools,
equipment, facilities, or services. She agrees that all such Inventions and
copyrights shall be the exclusive property of the Company or its designee. She
agrees that she will assist the Company or its designee in any and all efforts
to protect such Inventions. She understands that this Agreement does not apply
to inventions and copyrights for which no equipment, supplies, facility or
trade secret information of the Company or its clients were used and that were
developed entirely on her own time, unless (a) the inventions or copyrights
relate (i) directly to the Technology or Business of the Company or its
clients, or (ii) to the Company’s actual or demonstrably anticipated research
or development, or (b) the inventions or copyrights result from any work
performed by her for the Company.

 

9.2           Employee hereby waives, to the extent permitted by law, the benefits of
any provision of law known as droit moral or any similar law in any country of
the world, including without limitation, 17 U.S.C. § 106A, and agrees not to
permit or prosecute any action or lawsuit on the ground that an Invention as
used by OncoGenex in any way constitutes an infringement of any of Employee’s “droit
moral” or are in any way a defamation or mutilation thereof or that any such
use contains unauthorized variations, alterations, modifications, changes or
translations of such Invention.

 

ARTICLE 10

MISCELLANEOUS

 

10.1         This Agreement shall be the whole and complete agreement between the
parties hereto with respect to the employment of the Employee; it replaces and
supersedes any and all previous verbal or written agreements that may have been
entered into between the parties hereto. This Agreement may not be amended or
modified except by written amendment signed between the parties hereto.

 

10.2         In the event that any part of this Agreement shall be determined at any
time to be invalid, such provisions shall be deemed severable and deleted
herefrom and the remainder of this Agreement shall constitute the whole agreement
of the parties hereto and shall, except as hereinbefore provided, continue in
full force and effect.

 

10.3         The Employee hereby confirms that she is not a party to any agreement
or under any other obligation to anyone, including any former employer, nor
does the Employee have any other interest which is inconsistent with or in
conflict with or which would prevent, limit or impair the Employee’s
performance of any obligations hereunder which the Employee has not disclosed
in writing to the Company. The Employee acknowledges that the Company is not
requesting the Employee disclose any confidential information which the
Employee may have obtained from a former employer.

 

10.4         The Employee acknowledges that a breach by the Employee of any of the
covenants contained in Articles 7, 8, and 9 of this Agreement shall result in
damages to the Company and that the Company could not be adequately compensated
for such damages by a monetary award. Accordingly, in the event of any such
breach, in addition to all other remedies available to the Company at law or in
equity, the Company shall be entitled as a matter of right to apply to a court
of competent jurisdiction for such relief by way of restraining order,
temporary or permanent injunction, decree or otherwise, as may be appropriate
to ensure compliance with the provisions of this Agreement.

 

8

 

10.5         The Employee acknowledges that the restrictions contained in Articles
7, 8, and 9 are reasonable and valid and the Employee hereby waives all
defences to the strict enforcement thereof by the Company.

 

10.6         The Employee acknowledges that the provisions of Articles 7, 8, 9 and
10 shall survive the termination of this Agreement.

 

10.7         This
Agreement shall enure to the benefit of and be binding upon the parties hereto,
their respective successors, heirs, representatives, administrators and the
assigns of the Company. The Employee shall not assign or transfer this
Agreement or any of her rights or obligations hereunder.

 

10.8         Any
amount payable under this Agreement shall be paid in United States currency.

 

10.9         This
Agreement shall be governed by and construed according to the laws of the State
of Washington, and both parties hereto hereby agree that the Courts of the
State of Washington and the United States District Court of Western Washington
have exclusive jurisdiction in any dispute, action, cause or action or
otherwise that may arise from this Agreement.

 

10.10       Any notice or other communication or writing required
or permitted to be given under this Agreement or for the purposes of this
Agreement shall be in writing and shall be sufficiently given if delivered
personally, or if transmitted by facsimile transmission (with original to
follow by mail) or other form of recorded communication, tested prior to
transmission, to:

 

	
   

  	
  (a)

  	
  if
  to the Company:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Attention:

  	
  President

  
	
   

  	
   

  	
  c/o:

  	
  Suite 400 – 1001 West
  Broadway

  
	
   

  	
   

  	
   

  	
  Vancouver, British
  Columbia

  
	
   

  	
   

  	
   

  	
  CANADA, V6H 4B1

  
	
   

  	
   

  	
  Telephone:

  	
  604-736-3678

  
	
   

  	
   

  	
  Facsimile:

  	
  604-736-3687

  
	
   

  	
   

  	
   

  
	
   

  	
  (b)

  	
  if
  to the Employee:

  
	
   

  	
   

  	
  Cindy
  Jacobs

  
	
   

  	
   

  	
  [***]

  

 

or to such other address as
the party to whom such notice is to be given shall have last notified the party
giving the same in the manner provided in this Article. Any notice so delivered
shall be deemed to have been given and received on the day it is so delivered
at such address, provided that such day is not a Business Day then the notice
shall be deemed to have been given and received on the Business Day next
following the day it is so delivered. Any notice so transmitted by facsimile
transmission or other form of recorded communication shall be deemed to have
been given and received on the day of its confirmed transmission (as confirmed
by the transmitting medium), provided that if such day is not a Business Day
then the notice shall be deemed to have been given and received on the Business
Day next following such day. “Business Day”
means any day

 

9

 

that
is not a Saturday, Sunday or civic or statutory holiday in the State of
Washington or the United States;

 

10.12       No amendment or waiver of any provision of this Agreement shall be
binding on any party unless consented to in writing by such party and approved
by the Board in the case of the Company. No waiver of any provision of this
Agreement shall constitute a waiver of any other provision nor shall any waiver
constitute a continuing waiver unless otherwise provided.

 

10.13       Employee acknowledges that she has had the opportunity
to consult legal counsel in regard to this Agreement, that she has read and
understands this Agreement, that she is fully aware of its legal effect, and
that she has entered into it freely and voluntarily based on her own judgment
and not on any representations or promises other than those contained in this
Agreement.

 

IN WITNESS WHEREOF this Agreement has been executed this 12th day of September, 2005 by
the parties hereto.

 

 

	
  SIGNED,
  SEALED AND DELIVERED

  	
  )

  	
   

  
	
  in
  the presence of

  	
  )

  	
   

  
	
   

  	
  )

  	
   

  
	
   

  	
  )

  	
   

  
	
   

  	
   

  	
  )

  	
  /s/
  Cindy A. Jacobs

  
	
  Witness

  	
  )

  	
  CINDY
  JACOBS

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  ONCOGENEX,
  INC.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/
  Scott Cormack

  
				

 

10

 

APPENDIX A

 

ONCOGENEX, INC.

 

Bonus Plan – Milestones

 

Medium Term Corporate Objectives:

 

Recognizing
that our primary objective, above all else, is to get effective cancer
therapies to patients as quickly as possible, and that by doing so all
stakeholders will benefit, the Company is striving to achieve the following
value-creating milestones before the end of 2007:

 

[***]

 

11

 

APPENDIX B

 

ONCOGENEX TECHNOLOGIES INC.

 

STOCK OPTION PLAN

OPTION AGREEMENT

 

This Option Agreement is entered into between OncoGenex
Technologies Inc. (“the Company”) and the Optionee named below pursuant to the
Company Stock Option Plan as amended (the “Plan”), a copy of which is attached
hereto, and confirms that:

 

1.             on September 12, 2005
(the “Grant Date”);

 

2.             Cindy Jacobs (the “Optionee”);

 

3.             was granted the option
(the “Option”) to purchase 125,000 common shares (the “Option Shares”) of the
Company;

 

4.             for the price (the “Option
Price”) of Cdn. $0.95 per share;

 

5.             which shall be
exercisable (“Vested”) in whole or in part in the following amounts on or after
the following dates:

 

i)              31,250 shares on
December 12, 2005; and

ii)             31,250 shares upon each
anniversary of the Grant Date.

 

6.             terminating on the
September 12, 2012 (the “Expiry Date”);

 

all on the terms and subject to the conditions set out
in the Plan. For greater certainty, once Option Shares have become Vested, they
continue to be exercisable until the termination or cancellation thereof as
provided in this Option Agreement and the Plan.

 

By signing this Option Agreement, the Optionee
acknowledges that the Optionee has read and understands the Plan and agrees to
the terms and conditions of the Plan and this Option Agreement.

 

In order to exercise this Option, the Optionee must
deliver to the Company a notice of exercise in the form attached hereto as
Exhibit No. 1, duly completed and executed together with a certified cheque for
payment for all Option Shares in respect of which the Option is exercised.

 

IN WITNESS WHEREOF the parties hereto have executed this Option
Agreement as of the 12th day of September, 2005.

 

	
  SIGNED,
  SEALED AND DELIVERED

  	
  )

  	
   

  
	
  in
  the presence of

  	
  )

  	
   

  
	
   

  	
  )

  	
   

  
	
   

  	
   

  	
  )

  	
  /s/
  Cindy A. Jacobs

  
	
  Witness

  	
  )

  	
  OPTIONEE

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  ONCOGENEX
  TECHNOLOGIES INC.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/
  Scott Cormack

  
				

 

12

 

EXHIBIT NO. 1 TO OPTION AGREEMENT

 

EXERCISE FORM

 

TO:                         OncoGenex Technologies Inc.

400 – 1001 West
Broadway

Vancouver, British
Columbia V6H 4B1

Telephone:     604-736-3678

Facsimile:      604-736-3687

Attention:       Scott
Cormack

 

I, the undersigned holder of the attached Option
Agreement with OncoGenex Technologies Inc. (the “Company”), hereby exercise my
Option and agree to acquire                 common
shares of the Company (the “Acquired Shares”) and enclose a certified cheque in
the amount of $                 representing
the exercise price (Option Price multiplied by number of shares being acquired)
for the Acquired Shares.

 

I hereby request that the Company issue the Acquired
Shares to me under the OncoGenex Technologies Inc. Stock Option Plan and
irrevocably direct that the Acquired Shares be issued registered in the
following name and address and delivered as follows:

 

	
  Name in Full

  	
   

  	
  Registered Address

  	
   

  	
  Delivery Address

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

 

(PLEASE PRINT IN FULL THE NAME IN WHICH CERTIFICATES ARE
TO BE ISSUED.)

 

DATED this             day
of                                       ,             .

 

	
   

  	
   

  	
   

  
	
   

  	
  Signature of Optionee

  
	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Name of OptioneeExhibit 10.7

 

INDEMNIFICATION AGREEMENT

 

THIS AGREEMENT (the “Agreement”) is
made and entered into this       day of       by
and between OncoGenex Technologies Inc. (the “Company”) and              (“Indemnitee”).

 

WITNESSETH THAT:

 

WHEREAS, Indemnitee performs
a valuable service for the Company; and

 

WHEREAS, the Board of
Directors of the Company have adopted bylaws (the “Bylaws”) providing for the
indemnification of the directors of the Company subject to the limitations
contained in the Canada Business Corporations Act
, as amended (the “Law”); and

 

WHEREAS, the Bylaws and the
Law, by their nonexclusive nature, permit contracts between the Company and the
officers and directors of the Company with respect to indemnification of such
officers and directors; and

 

WHEREAS, in accordance with
the authorization as provided by the Law, the Company will purchase and
maintain a policy or policies of director’s and officer’s liability insurance (“D&O
Insurance”), covering certain liabilities which may be incurred by its officers
or directors in the performance of their obligations to the Company and its
wholly-owned subsidiary; and

 

WHEREAS, as a result of
recent developments affecting the terms, scope and availability of D&O
Insurance there exists general uncertainty as to the extent of protection
afforded Company officers and directors by such D&O Insurance and said
uncertainty also exists under statutory and bylaw indemnification provisions;
and

 

WHEREAS, in recognition of
past services and in order to induce Indemnitee to continue to serve as an
officer, director or senior executive of the Company, the Company has
determined and agreed to enter into this contract with Indemnitee;

 

NOW, THEREFORE, in consideration of
Indemnitee’s continued service as an officer, director or senior executive
after the date hereof, the parties hereto agree as follows:

 

1.             Indemnity of Indemnitee.  The Company hereby
agrees to hold harmless and indemnify Indemnitee to the fullest extent
authorized or permitted by the provisions of the Law, as such may be amended
from time to time, and Article 7.2 of the Bylaws, as such may be amended. In
furtherance of the foregoing indemnification, and without limiting the
generality thereof:

 

(a)           Proceedings Other
Than Proceedings by or in the Right of the Company.  Indemnitee
shall be entitled to the rights of indemnification provided in this Section
1(a) if, by reason of his or her Corporate Status (as defined in Section 13
below), he or she is, or is threatened to be made, a party to or participant in
any Proceeding (as defined in Section 13 below) other than a Proceeding by or
in the right of the Company. Pursuant to this Section 1(a), Indemnitee shall be
indemnified against all Expenses (as defined in Section 13 below), judgments,
penalties, fines and amounts paid in settlement actually incurred by him or her
or on his or her behalf in connection with such Proceeding or any claim, issue
or matter therein, if he or she acted in good faith and in a manner he or she
reasonably believed to be in or not opposed to the best interests of the
Company and, with respect to any criminal Proceeding, had no reasonable cause
to believe his or her conduct was unlawful.

 

(b)           Proceedings by or in
the Right of the Company.  Indemnitee shall be entitled to the rights of
indemnification provided in this Section 1(b) if, by reason of his or her
Corporate 

 

 

Status,
he or she is, or is threatened to be made, a party to or participant in any
Proceeding brought by or in the right of the Company to procure a judgment in
its favour. Pursuant to this Section 1(b), Indemnitee shall be indemnified
against all Expenses actually incurred by him or her or on his or her behalf in
connection with such Proceeding if he or she acted in good faith and in a
manner he or she reasonably believed to be in or not opposed to the best
interests of the Company; provided, however, that if applicable law so
provides, no indemnification against such Expenses shall be made in respect of
any claim, issue or matter in such Proceeding as to which Indemnitee shall have
been finally adjudged to be liable to the Company, unless and to the extent
that a Court of competent jurisdiction shall determine that such
indemnification may be made.

 

(c)           Indemnification for
Expenses of a Party Who is Wholly or Partly Successful.  Notwithstanding
any other provision of this Agreement, to the extent that Indemnitee is, by
reason of his or her Corporate Status, a party to and is successful, on the
merits or otherwise, in any Proceeding, he or she shall be indemnified to the
maximum extent permitted by law against all Expenses actually and reasonably
incurred by him or her or on his or her behalf in connection therewith. If
Indemnitee is not wholly successful in such Proceeding but is successful, on
the merits or otherwise, as to one or more but less than all claims, issues or
matters in such Proceeding, the Company shall indemnify Indemnitee against all
Expenses actually and reasonably incurred by him or her or on his or her behalf
in connection with each successfully resolved claim, issue or matter. For
purposes of this Section 1(c) and without limitation, the termination of any
claim, issue or matter in such a Proceeding by dismissal, with or without
prejudice, shall be deemed to be a successful result as to such claim, issue or
matter.

 

2.             Additional
Indemnity.  In addition to, and without regard to any
limitations on, the indemnification provided for in Section 1, the Company
shall and hereby does indemnify and hold harmless Indemnitee against all
Expenses, judgments, penalties, fines and amounts paid in settlement actually
and reasonably incurred by him or her or on his or her behalf if, by reason of
his Corporate Status he or she is, or is threatened to be made, a party to or
participant in any Proceeding (including a Proceeding by or in the right of the
Company), including, without limitation, all liability arising out of the
negligence or active or passive wrongdoing of Indemnitee. The only limitation
that shall exist upon the Company’s obligations pursuant to this Agreement
shall be that the Company shall not be obligated to make any payment to
Indemnitee that is finally determined (under the procedures, and subject to the
presumptions, set forth in Sections 6 and 7 hereof) to be unlawful under Canada
law.

 

3.             Contribution in the Event of
Joint Liability

 

(a)           Whether or not the
indemnification provided in Sections 1 and 2 hereof is available, in respect of
any Proceeding in which the Company is jointly liable with Indemnitee (or would
be if joined in such Proceeding), the Company shall pay, in the first instance,
the entire amount of any judgment or settlement of such Proceeding without
requiring Indemnitee to contribute to such payment and the Company hereby
waives and relinquishes any right of contribution it may have against
Indemnitee. The Company shall not enter into any settlement of any Proceeding
in which the Company is jointly liable with Indemnitee (or would be if joined
in such Proceeding) unless such settlement provides for a full and final
release of all claims asserted against Indemnitee.

 

(b)           Without diminishing
or impairing the obligations of the Company set forth in the preceding
subparagraph, if, for any reason, Indemnitee shall elect or be required to pay
all or any portion of any judgment or settlement in any Proceeding in which the
Company is jointly liable with Indemnitee (or would be if joined in such
Proceeding), the Company shall contribute to the amount of expenses (including
attorneys’ fees), judgments, fines 

 

2

 

and
amounts paid in settlement actually and reasonably incurred and paid or payable
by Indemnitee in proportion to the relative benefits received by the Company
and all officers, directors or employees of the Company other than Indemnitee who
are jointly liable with Indemnitee (or would be if joined in such Proceeding),
on the one hand, and Indemnitee, on the other hand, from the transaction from
which such Proceeding arose; provided, however, that the proportion determined
on the basis of relative benefit may, to the extent necessary to conform to
law, be further adjusted by reference to the relative fault of Company and all
officers, directors or employees of the Company other than Indemnitee who are
jointly liable’ with Indemnitee (or would be if joined in such’ Proceeding), on
the one hand, and Indemnitee, on the other hand, in connection with the events
that resulted in such expenses, judgments, fines or settlement amounts, as well
as any other equitable considerations which the law may require to be
considered. The relative fault of the Company and all officers, directors or
employees of the Company other than Indemnitee who are jointly liable with
Indemnitee (or would be if joined in such Proceeding), on the one hand, and
Indemnitee, on the other hand, shall be determined by reference to, among other
things, the degree to which their actions were motivated by intent to gain
personal profit or advantage, the degree to which their liability is primary or
secondary, and the degree to which their conduct is active or passive. In no
event shall the Company require the Indemnitee to pay all or any portion of any
judgement or settlement, in any proceeding.

 

(c)           The Company hereby
agrees to fully indemnify and hold Indemnitee harmless from any claims of
contribution which may be brought by officers, directors or employees of the
Company other than Indemnitee who may be jointly liable with Indemnitee.

 

4.             Indemnification for Expenses of a
Witness.  Notwithstanding any other provision of this
Agreement, to the extent that Indemnitee is, by reason of his or her Corporate
Status, a witness in any Proceeding to which Indemnitee is not a party, he or
she shall be indemnified against all Expenses actually and reasonably incurred
by him or her or on his behalf in connection therewith.

 

5.             Advancement of Expenses.  Notwithstanding any
other provision of this Agreement, the Company shall advance all reasonable
Expenses incurred by or on behalf of Indemnitee in connection with any
Proceeding by reason of Indemnitee’s Corporate Status within ten (10) days
after the receipt by the Company of a statement or statements from Indemnitee
requesting such advance or advances from time to time, whether prior to or
after final disposition of such Proceeding. Such statement or statements shall
reasonably evidence the Expenses incurred by Indemnitee and shall include or be
preceded or accompanied by an undertaking by or on behalf of Indemnitee to
repay any Expenses advanced if it shall ultimately be determined that Indemnitee
is not entitled to be indemnified against such Expenses. Any advances and
undertakings to repay pursuant to this Section 5 shall be unsecured and
interest free. Notwithstanding the foregoing, the obligation of the Company to
advance Expenses pursuant to this Section 5 shall be subject to the condition
that, if, when and to the extent that the Company determines that Indemnitee
would not be permitted to be indemnified under applicable law, the Company
shall be entitled to be reimbursed, within thirty (30) days of such
determination, by Indemnitee (who hereby agrees to reimburse the Company) for
all such amounts theretofore paid; provided, however, that if Indemnitee has
commenced or thereafter commences legal proceedings in a court of competent
jurisdiction to secure a determination that Indemnitee should be indemnified
under applicable law, any determination made by the Company that Indemnitee
would not be permitted to be indemnified under applicable law shall not be
binding and Indemnitee shall not be required to reimburse the Company for any
advance of Expenses until a final judicial determination is made with respect
thereto (as to which all rights of appeal therefrom have been exhausted or
lapsed).

 

3

 

6.             Procedures and Presumptions for
Determination of Entitlement to Indemnification.  It is the intent of
this Agreement to secure for Indemnitee rights of indemnity that are as
favourable as may be permitted under the law and public policy of the Province
of British Columbia. Accordingly, the parties agree that the following
procedures and presumptions shall apply in the event of any question as to
whether Indemnitee is entitled to indemnification under this Agreement:

 

(a)           To obtain
indemnification (including, but not limited to, the advancement of Expenses and
contribution by the Company) under this Agreement, Indemnitee shall submit to
the Company a written request, including therein or therewith such
documentation and information as is reasonably available to Indemnitee and is
reasonably necessary to determine whether and to what extent Indemnitee is
entitled to indemnification. The President of the Company shall, promptly upon
receipt of such a request for indemnification, advise the Board of Directors in
writing that Indemnitee has requested indemnification.

 

(b)           Upon written request
by Indemnitee for indemnification pursuant to the first sentence of Section
6(a) hereof, a determination, if required by applicable law, with respect to
Indemnitee’s entitlement thereto shall be made in the specific case by one of
the following three methods, which shall be at the election of Indemnitee: (i)
by a majority vote of the Disinterested Directors (as defined in Section 13
below), even though less than a quorum, or (ii) by Independent Counsel (as
defined in Section 13 below) in a written opinion, or (iii) by the
shareholders.

 

(c)           If the determination
of entitlement to indemnification is to be made by Independent Counsel pursuant
to Section 6(b) hereof, the Independent Counsel shall be selected as provided
in this Section 6(c). The Independent Counsel shall be selected by Indemnitee
(unless Indemnitee shall request that such selection be made by the Board of
Directors). Indemnitee or the Company, as the case may be, may, within ten (10)
days after such written notice of selection shall have been given, deliver to
the Company or to Indemnitee, as the case may be, a written objection to such
selection; provided, however, that such objection may be asserted only on the
ground that the Independent Counsel so selected does not meet the requirements
of “Independent Counsel” set forth in this Agreement, and the objection shall
state with particularity the factual basis of such assertion. Absent a proper
and timely objection, the person so selected shall act as Independent Counsel. If
a written objection is made and substantiated, the Independent Counsel selected
may not serve as Independent Counsel unless and until such objection is
withdrawn or a court has determined that such objection is without merit. If,
within twenty (20) days after submission by Indemnitee of a written request for
indemnification pursuant to Section 6(a) hereof, no Independent Counsel shall
have been selected and not objected to, either the Company or Indemnitee may
petition the Court of competent jurisdiction for resolution of any objection
which shall have been made by the Company or Indemnitee to the other’s
selection of Independent Counsel and/or for the appointment as Independent
Counsel of a person selected by the court or by such other person as the court
shall designate, and the person with respect to whom all objections are so
resolved or the person so appointed shall act as Independent Counsel under
Section 6(b) hereof. The Company shall pay any and all reasonable fees and
expenses of Independent Counsel incurred by such Independent Counsel in
connection with acting pursuant to Section 6(b) hereof, and the Company shall
pay all reasonable fees and expenses incident to the procedures of this Section
6(c), regardless of the manner in which such Independent Counsel was selected
or appointed.

 

(d)           In making a
determination with respect to entitlement to indemnification hereunder, the
person or persons or entity making such determination shall presume that Indemnitee
is 

 

4

 

entitled
to indemnification under this Agreement if Indemnitee has submitted a request
for indemnification in accordance with Section 6(a) of this Agreement. Anyone
seeking to overcome this presumption shall have the burden of proof and the
burden of persuasion, by clear and convincing evidence.

 

(e)           Indemnitee shall be
deemed to have acted in good faith if Indemnitee’s action is based on the
records or books of account of the Enterprise (as defined in Section 13 below),
including financial statements, or on information supplied to Indemnitee by the
officers of the Enterprise in the course of their duties, or on the advice of
legal counsel for the Enterprise or on information or records given or reports
made to the Enterprise by an independent certified public accountant or by an
appraiser or other expert selected with reasonable care by the Enterprise. In
addition, the knowledge and/or actions, or failure to act, of any director,
officer, agent or employee of the Enterprise shall not be imputed to Indemnitee
for purposes of determining the right to indemnification under this Agreement. Whether
or not the foregoing provisions of this Section 6(e) are
satisfied, it shall in any event be presumed that Indemnitee has at all times
acted in good faith and in a manner he or she reasonably believed to be in or
not opposed to the best interests of the Company. Anyone seeking to overcome
this presumption shall have the burden of proof and the burden of persuasion,
by clear and convincing evidence.

 

(f)            The Company
acknowledges that a settlement or other disposition short of final judgment may
be successful if it permits a party to avoid expense, delay, distraction,
disruption and uncertainty. In the event that any Proceeding to which
Indemnitee is a party is resolved in any manner other than by adverse judgment
against Indemnitee (including, without limitation, settlement of such
Proceeding with or without payment of money or other consideration) it shall be
presumed that Indemnitee has been successful on the merits or otherwise in such
Proceeding. Anyone seeking to overcome this presumption shall have the burden
of proof and the burden of persuasion, by clear and convincing evidence.

 

(g)           If the person, persons
or entity empowered or selected under Section 6(b) to determine whether
Indemnitee is entitled to indemnification shall not have made a determination
within thirty (30) days after receipt by the Company of the request therefor,
the requisite determination of entitlement to indemnification shall be deemed
to have been made and Indemnitee shall be entitled to such indemnification,
absent (i) a misstatement by Indemnitee of a material fact, or an omission of a
material fact necessary to make Indemnitee’s statement not materially
misleading, in connection with the request for indemnification, or (ii) a
prohibition of such indemnification under applicable law; provided, however,
that such thirty (30) day period may be extended for a reasonable time, not to
exceed an additional fifteen (15) days, if the person, persons or entity making
the determination with respect to entitlement to indemnification in good faith
requires such additional time for the obtaining or evaluating documentation
and/or information relating thereto; and provided further, that the foregoing
provisions of this Section 6(g) shall not apply if the determination of
entitlement to indemnification is to be made by the shareholders pursuant to
Section 6(b) of this Agreement and if (A) within fifteen (15) days after
receipt by the Company of the request for such determination the Board of
Directors or the Disinterested Directors, if appropriate, resolve to submit
such determination to the shareholders for their consideration at an annual
general meeting thereof to be held within seventy-five (75) days after such
receipt and such determination is made thereat, or (B) a special meeting of
shareholders is called within fifteen (15) days after such receipt for the
purpose of making such determination, such meeting is held for such purpose
within sixty (60) days after having been so called and such determination is
made thereat.

 

5

 

(h)           Indemnitee shall
cooperate with the person, persons or entity making such determination with
respect to Indemnitee’s entitlement to indemnification, including providing to
such person, persons or entity upon reasonable advance request any
documentation or information which is not privileged or otherwise protected
from disclosure and which is reasonably available to Indemnitee and reasonably
necessary to such determination. Any Independent Counsel, member of the Board
of Directors, or shareholder of the Company shall act reasonably and in good
faith in making a determination under the Agreement of the Indemnitee’s
entitlement to indemnification. Any costs or expenses (including attorneys’
fees and disbursements) incurred by Indemnitee in so cooperating with the
person, persons or entity making such determination shall be borne by the
Company (irrespective of the determination as to Indemnitee’s entitlement to
indemnification) and the Company hereby indemnifies and agrees to hold
Indemnitee harmless therefrom.

 

7.             Remedies of Indemnitee

 

(a)            In the event that (i)
a determination is made pursuant to Section 6 of this Agreement that Indemnitee
is not entitled to indemnification under this Agreement, (ii) advancement of
Expenses is not timely made pursuant to Section 5 of this Agreement, (iii) no
determination of entitlement to indemnification shall have been made pursuant
to Section 6(b) of this Agreement within ninety (90) days after receipt by the
Company of the request for indemnification, (iv) payment of indemnification is
not made pursuant to this Agreement within ten (10) days after receipt by the
Company of a written request therefor, or (v) payment of indemnification is not
made within ten (10) days after a determination has been made that Indemnitee
is entitled to indemnification or such determination is deemed to have been made
pursuant to Section 6 of this Agreement, Indemnitee shall be entitled to an
adjudication in an appropriate court of the Province of British Columbia, or in
any other court of competent jurisdiction, of his or her entitlement to such
indemnification. Indemnitee shall commence such proceeding seeking an
adjudication within one hundred eighty (180) days following the date on which
Indemnitee first has the right to commence such proceeding pursuant to this
Section 7(a). The Company shall not oppose Indemnitee’s right to seek any such
adjudication.

 

(b)           In the event that a
determination shall have been made pursuant to Section 6(b) of this Agreement
that Indemnitee is not entitled to indemnification, any judicial proceeding
commenced pursuant to this Section 7 shall be conducted in all respects as a de novo trial, on the merits, and
Indemnitee shall not be prejudiced by reason of that adverse determination.

 

(c)            If a determination
shall have been made pursuant to Section 6(b) of this Agreement that Indemnitee
is entitled to indemnification, the Company shall be bound by such
determination in any judicial proceeding commenced pursuant to this Section 7,
absent a prohibition of such indemnification under applicable law.

 

(d)           In the event that
Indemnitee, pursuant to this Section 7, seeks a judicial adjudication of his or
her rights under, or to recover damages for breach of, this Agreement, or to
recover under any D&O Insurance maintained by the Company, the Company
shall pay on his or her behalf, in advance, any and all expenses (of the types
described in the definition of Expenses in Section 13 of this Agreement)
actually and reasonably incurred by him or her in such judicial adjudication,
regardless of whether Indemnitee ultimately is determined to be entitled to
such indemnification, advancement of expenses or insurance recovery.

 

6

 

(e)            The Company shall be
precluded from asserting in any judicial proceeding commenced pursuant to this
Section 7 that the procedures and presumptions of this Agreement are not valid,
binding and enforceable and shall stipulate in any such court that the Company
is bound by all the provisions of this Agreement.

 

8.             NonExclusivity; Survival of
Rights; Insurance; Subrogation

 

(a)           The rights of
indemnification as provided by this Agreement shall not be deemed exclusive of
any other rights to which Indemnitee may at any time be entitled under
applicable law, the certificate of incorporation of the Company, the Bylaws,
any agreement, a vote of shareholders or a resolution of directors, or
otherwise. No amendment, alteration or repeal of this Agreement or of any
provision hereof shall limit or restrict any right of Indemnitee under this
Agreement in respect of any action taken or omitted by such Indemnitee in his
or her Corporate Status prior to such amendment, alteration or repeal. To the
extent that a change in the Law, whether by statute or judicial decision,
permits greater indemnification than would be afforded currently under the
Bylaws and this Agreement, it is the intent of the parties hereto that
Indemnitee shall enjoy by this Agreement the greater benefits so afforded by
such change. No right or remedy herein conferred is intended to be exclusive of
any other right or remedy, and every other right and remedy shall be cumulative
and in addition to every other right and remedy given hereunder or now or
hereafter existing at law or in equity or otherwise. The assertion or
employment of any right or remedy hereunder, or otherwise, shall not prevent
the concurrent assertion or employment of any other right or remedy.

 

(b)           To the extent that
the Company maintains an insurance policy or policies providing liability
insurance for directors, officers, employees, or agents or fiduciaries of the
Company, its wholly-owned subsidiary or of any other corporation, partnership,
joint venture, trust, employee benefit plan or other enterprise which such
person serves at the request of the Company, Indemnitee shall be covered by
such policy or policies in accordance with its or their terms to the maximum
extent of the coverage available for any such director, officer, employee,
agent or fiduciary under such policy or policies.

 

(c)           In the event of any
payment under this Agreement, the Company shall be subrogated to the extent of
such payment to all of the rights of recovery of Indemnitee, who shall execute
all papers required and take all action necessary to secure such rights,
including execution of such documents as are necessary to enable the Company to
bring suit to enforce such rights.

 

(d)           The Company shall not
be liable under this Agreement to make any payment of amounts otherwise
indemnifiable hereunder if and to the extent that Indemnitee has otherwise
actually received such payment under any insurance policy, contract, agreement
or otherwise.

 

9.             Exception to Right of
Indemnification.  Notwithstanding any other provision of this
Agreement, Indemnitee shall not be entitled to indemnification under this
Agreement with respect to any Proceeding brought by Indemnitee, or any claim
therein, unless (i) the bringing of such Proceeding or making of such claim
shall have been approved by the Board of Directors or (ii) such Proceeding is
being brought by the Indemnitee to assert his or her rights under this Agreement.

 

10.           Duration of Agreement. All agreements and
obligations of the Company contained herein shall continue during the period
Indemnitee is an officer or director of fiduciary of the Company or its
wholly-owned subsidiary (or is or was serving at the request of the Company as
a director, officer, employee or agent of another corporation, partnership,
joint venture, trust, 

 

7

 

employee benefit plan or other enterprise) and
shall continue thereafter so long as Indemnitee shall be subject to any
Proceeding (or any proceeding commenced under Section 7 hereof) by reason of
his or her Corporate Status, whether or not he or she is acting or serving in
any such capacity at the time any liability or expense is incurred for which
indemnification can be provided under this Agreement. This Agreement shall be
binding upon and inure to the benefit of and be enforceable by the parties
hereto and their respective successors (including any direct or indirect
successor by purchase, merger, consolidation or otherwise to all or
substantially all of the business or assets of the Company or its wholly-owned
subsidiary), assigns, spouses, heirs, executors and personal and legal
representatives. This Agreement shall continue in effect regardless of whether
Indemnitee continues to serve as an officer or director of the Company, its
wholly-owned subsidiary or any other enterprise at the Company’s request.

 

11.           Security.  To the extent
requested by Indemnitee and approved by the Board of Directors, the Company may
at any time and from time to time provide security to Indemnitee for the
Company’s obligations hereunder through an irrevocable bank line of credit,
funded trust or other collateral. Any such security, once provided to Indemnitee,
may not be revoked or released without the prior written consent of Indemnitee.

 

12.           Enforcement

 

(a)           The Company expressly
confirms and agrees that it has entered into this Agreement and assumed the
obligations imposed on it hereby in order to induce Indemnitee to serve as an
officer or director of the Company, and the Company acknowledges that
Indemnitee is relying upon this Agreement in serving as an officer or director
of the Company or its wholly-owned subsidiary.

 

(b)           This Agreement
constitutes the entire agreement between the parties hereto with respect to the
subject matter hereof and supersedes all prior agreements and understandings,
oral, written and implied, between the parties hereto with respect to the
subject matter hereof.

 

13.           Definitions. For purposes of
this Agreement:

 

(a)           “Corporate Status”
describes the status of a person who is or was a director, officer, employee or
agent or fiduciary of the Company, its wholly-owned subsidiary or of any other
corporation, partnership, joint venture, trust, employee benefit plan or other
enterprise which such person is or was serving at the express written request
of the Company.

 

(b)           “Disinterested
Director” means a director of the Company who is not and was not a party to the
Proceeding in respect of which indemnification is sought by Indemnitee.

 

(c)           “Enterprise” shall
mean the Company or its wholly-owned subsidiary and any other corporation,
partnership, joint venture, trust, employee benefit plan or other enterprise of
which Indemnitee is or was serving at the express written request of the
Company as a director, officer, employee, agent or fiduciary.

 

(d)           “Expenses” shall
include all reasonable attorneys’ fees, retainers, court costs, transcript
costs, fees of experts, witness fees, travel expenses, duplicating costs,
printing and binding costs, telephone charges, postage, delivery service fees
and all other disbursements or expenses of the types customarily incurred in
connection with prosecuting, defending, preparing to prosecute or defend, investigating,
participating, or being or preparing to be a witness in a Proceeding.

 

8

 

(e)           “Independent Counsel”
means a law firm, or a member of a law firm, that is experienced in matters of
corporation law and neither presently is, nor in the past five (5) years has
been, retained to represent: (i) the Company or Indemnitee in any matter
material to either such party (other than with respect to matters concerning
Indemnitee under this Agreement, or of other indemnitees under similar
indemnification agreements), or (ii) any other party to the Proceeding giving
rise to a claim for indemnification hereunder. Notwithstanding the foregoing,
the term “Independent Counsel” shall not include any person who, under the
applicable standards of professional conduct then prevailing, would have a
conflict of interest in representing either the Company or Indemnitee in an
action to determine Indemnitee’s rights under this Agreement. The Company
agrees to pay the reasonable fees of the Independent Counsel referred to above
and to fully indemnify such counsel against any and all Expenses, claims,
liabilities and damages arising out of or relating to this Agreement or its
engagement pursuant hereto.

 

(f)            “Proceeding” includes
any threatened, pending or completed action, suit, arbitration, alternate
dispute resolution mechanism, investigation, inquiry, administrative hearing or
any other actual, threatened or completed proceeding, whether brought by or in
the right of the Company or otherwise and whether civil, criminal,
administrative or investigative, in which Indemnitee was, is or will be
involved as a party or otherwise, by reason of the fact that Indemnitee is or
was an officer, director or other fiduciary of the Company or its wholly-owned
subsidiary, by reason of any action taken by him or her or of any inaction on
his or her part while acting as an officer or director of the Company or its
wholly-owned subsidiary, or by reason of the fact that he or she is or was
serving at the request of the Company as a director, officer, employee, agent
or fiduciary of another corporation, partnership, joint venture, trust,
employee benefit plan or other enterprise; in each case whether or not he or
she is acting or serving in any such capacity at the time any liability or
expense is incurred for which indemnification can be provided under this
Agreement; including one pending on or before the date of this Agreement; and
excluding one initiated by an Indemnitee pursuant to Section 7 of this
Agreement to enforce his or her rights under this Agreement.

 

14.           Severability. If any provision or
provisions of this Agreement shall be held by a court of competent jurisdiction
to be invalid, void, illegal or otherwise unenforceable for any reason whatsoever:
(i) the validity, legality and enforceability of the remaining provisions of
this Agreement (including without limitation, each portion of any section of
this Agreement containing any such provision held to be invalid, illegal or
unenforceable, that is not itself invalid, illegal or unenforceable) shall not
in any way be affected or impaired thereby and shall remain enforceable to the
fullest extent permitted by law; and (ii) to the fullest extent possible, the
provisions of this Agreement (including, without limitation, each portion of
any section of this Agreement containing any such provision held to be invalid,
illegal or unenforceable, that is not itself invalid, illegal or unenforceable)
shall be construed so as to give effect to the intent manifested thereby.

 

15.           Modification and Waiver. No supplement,
modification, termination or amendment of this Agreement shall be binding
unless executed in writing by both of the parties hereto. No waiver of any of
the provisions of this Agreement shall be deemed or shall constitute a waiver
of any other provisions hereof (whether or not similar) nor shall such waiver
constitute a continuing waiver.

 

16.           Notice by Indemnitee. Indemnitee agrees
promptly to notify the Company in writing upon being served with any summons,
citation, subpoena, complaint, indictment, information or other document
relating to any Proceeding or matter which may be subject to indemnification
covered hereunder. The failure to so notify the Company shall not relieve the
Company of any obligation which it may have to the Indemnitee under this
Agreement or otherwise.

 

9

 

17.           Notices. All notices,
requests, demands and other communications hereunder shall be in writing and
shall be deemed to have been duly given if (i) delivered by hand and receipted
for by the party to whom said notice or other communication shall have been
directed, or (ii) mailed by certified or registered mail with postage prepaid,
on the third business day after the date on which it is so mailed:

 

(a)           If to Indemnitee, to
the address set forth below Indemnitee signature hereto.

 

(b)           If to the Company,
to:

 

OncoGenex
Technologies Inc.

400
– 1001 West Broadway

Vancouver,
BC, V6H 4B1

Attention:  President

 

Or to such other address as may have been
furnished to Indemnitee by the Company or to the Company by Indemnitee, as the
case may be.

 

18.           Identical Counterparts. This Agreement may
be executed in one or more counterparts, each of which shall for all purposes
be deemed to be an original but all of which together shall constitute one and
the same Agreement. Only one such counterpart signed by the party against whom
enforceability is sought needs to be produced to evidence the existence of this
Agreement.

 

19.           Headings. The headings of the
paragraphs of this Agreement are inserted for convenience only and shall not be
deemed to constitute part of this Agreement or to affect the construction
thereof.

 

20.           Governing Law. This Agreement
shall be exclusively construed and governed by the laws in force in British
Columbia and the laws of Canada applicable thereto and the courts of British
Columbia (and the Supreme Court of Canada, if necessary) shall have exclusive
jurisdiction to hear and determine all disputes arising hereunder. Each of the
parties hereto irrevocably attorns to the jurisdiction of said courts and
consents to the commencement of proceedings in such courts. This paragraph
shall not be construed to affect the rights of a party to enforce a judgment or
award outside said province, including the right to record and enforce a
judgment or award in any other jurisdiction.

 

21.           Gender. Use of the
masculine pronoun shall be deemed to include usage of the feminine pronoun
where appropriate.

 

IN WITNESS WHEREOF, the parties hereto
have executed this Indemnification Agreement on and as of the day and year
first above written.

 

ONCOGENEX TECHNOLOGIES INC.

 

 

	
  By:

  	
  /s/ Scott Cormack

  	
   

  
	
   

  	
  President & CEO

  

 

10

 

Address:

 

11

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00114-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00114-of-00352.parquet"}]]