Document:

Exhibit 10.67

 

INTELLECTUAL PROPERTY SECURITY AGREEMENT

 

INTELLECTUAL PROPERTY SECURITY AGREEMENT, dated as of August 8, 2013 (this “Agreement”), made by TRIBUTE PHARMACEUTICALS CANADA INC., a corporation incorporated under the laws of Ontario, Canada (“Borrower”), in favor of SWK FUNDING LLC, a Delaware limited liability company, as collateral agent for lenders party to the Credit Agreement (as defined below) (in such capacity, “Agent”).

 

W  I  T  N  E  S  S  E  T  H:

 

WHEREAS, pursuant to that certain Credit Agreement, dated on or about the date hereof, by and among Borrower, Agent and the lenders party thereto (“Lenders”) (as amended, restated, supplemented or otherwise modified from time to time, the “Credit Agreement”), Agent and Lenders have agreed to make certain financial accommodations available to Borrower, and Borrower has granted a security interest to Agent, for the benefit of Lenders, in, among other things, all right, title and interest of Borrower in, to and under all of Borrower’s Intellectual Property (as defined below), whether now existing or hereafter arising or acquired as security for the Obligations; and

 

WHEREAS, Borrower is the owner of the entire right, title and/ or interest in, to and under the Intellectual Property listed on Schedule I hereto.

 

NOW, THEREFORE, in consideration of the premises and to induce Agent and Lenders to enter into the Credit Agreement, Borrower hereby agrees with Agent as follows:

 

1. Defined Terms.

 

(a)                             Definitions. Unless otherwise defined herein or the context otherwise requires, terms used in this Agreement, including its preamble and recitals, have the meanings provided in the Credit Agreement.

 

(b)                              Definitions of Certain Terms Used Herein. As used herein, the following terms shall have the following meanings:

 

“Copyrights” shall mean all of Borrower’s (or if referring to another Person, such other Person’s) now existing or hereafter acquired right, title, and interest in and to: (i) copyrights, rights and interests in copyrights, works protectable by copyright, all applications, registrations and recordings relating to the foregoing as may at any time be filed in the United States Copyright Office, Canadian Intellectual Property Office, or in any similar office or agency of the United States, any State thereof, any political subdivision thereof or in any other country, and all research and development relating to the foregoing; and (ii) all renewals of any of the foregoing.

 

“Copyright Licenses” shall mean all written agreements naming the Borrower as licensor or licensee, granting any right under any Copyright, including the grant of rights to manufacture, distribute, exploit and sell materials derived from any Copyright (other than agreements relating to widely-available software subject to “shrink-wrap” or “click-through” software licenses).

 

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“Credit Agreement” shall have the meaning assigned to such term in the recitals of this Agreement.

 

“Intellectual Property” shall mean all present and future: trade secrets, know-how and other proprietary information; Trademarks, internet domain names, service marks, trade dress, trade names, business names, designs, logos, slogans (and all translations, adaptations, derivations and combinations of the foregoing) indicia and other source and/or business identifiers, and the goodwill of the business relating thereto and all registrations or applications for registrations which have heretofore been or may hereafter be issued thereon throughout the world; Copyrights (including Copyrights for computer programs, but excluding commercially available off-the-shelf software and any Intellectual Property rights relating thereto) and all tangible and intangible property embodying the Copyrights, unpatented inventions (whether or not patentable); Patents; industrial design applications and registered industrial designs; license agreements related to any of the foregoing and income therefrom, books, records, writings, computer tapes or disks, flow diagrams, specification sheets, computer software, source codes, object codes, executable code, data, databases and other physical manifestations, embodiments or incorporations of any of the foregoing; the right to sue for all past, present and future infringements of any of the foregoing; all other intellectual property; and all common law and other rights throughout the world in and to all of the foregoing.

 

“IP Collateral” shall have the meaning assigned to such term in Section 2 hereof.

 

“Licenses” shall mean, collectively, the Trademark Licenses, the Patent Licenses, and the Copyright Licenses.

 

“Patents” shall mean all of Borrower’s (or if referring to another Person, such other Person’s) now existing or hereafter acquired right, title and interest in and to: (i) all patents, patent applications, inventions, invention disclosures and improvements, and all applications, registrations and recordings relating to the foregoing as may at any time be filed in the United States Patent and Trademark Office, Canadian Intellectual Property Office, or in any similar office or agency of the United States, any state thereof, any political subdivision thereof or in any other country, and all research and development relating to the foregoing; and (ii) the reissues, divisions, continuations, renewals, extensions and continuations-in-part of any of the foregoing.

 

“Patent Licenses” shall mean all agreements, whether written or oral, providing for the grant by or to Borrower of any right to manufacture, develop, market, use or sell any products derived, in whole or in part, from any invention covered by a Patent or any similar agreement related to any other use of any invention covered by a Patent.

 

“Trademarks” shall mean all of Borrower’s (or if referring to another Person, such other Person’s) now existing or hereafter acquired right, title, and interest in and to: (i) all of Borrower’s (or if referring to another Person, such other Person’s) trademarks, trade names, corporate names, company names, business names, fictitious business names, trade styles, service marks, logos, other business identifiers, all applications, registrations and recordings relating to the foregoing as may at any time be filed in the United States Patent and Trademark Office, Canadian Intellectual Property Office, or in any similar office or agency of the United States, any State thereof, any political subdivision thereof or in any other country, and all research and development relating to the foregoing; (ii) all renewals thereof; and (iii) all designs and general intangibles of a like nature.

 

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“Trademark Licenses” shall mean, collectively, each agreement, whether written or oral, providing for the grant by or to Borrower of any right to use any Trademark.

 

(c)                                                          Other Definitional Provisions.

 

i.                                                                The words “hereof,” “herein” and “hereunder” and words of similar import when used in this Agreement shall refer to this Agreement as a whole and not to any particular provision of this Agreement, and section and paragraph references are to this Agreement unless otherwise specified.

 

ii.                                                             The meanings given to terms defined herein shall be equally applicable to both the singular and plural forms of such terms.

 

2.                                      Grant of Security Interest

 

To secure the payment and performance of the Obligations, Borrower hereby confirms and acknowledges that it has granted (and, to the extent not previously granted under the Guarantee and Collateral Agreement, does hereby grant) to Agent, for the benefit of Lenders, a lien and security interest in Borrower’s entire right, title and interest in its Intellectual Property and all proprietary rights relating to or arising from such Intellectual Property, in each case whether now owned or hereafter acquired by Borrower, and including, without limitation, Borrower’s right, title and interest in and to the Intellectual Property and proprietary rights identified on Schedule I attached hereto and made a part hereof, and the right to sue for past, present and future infringements and dilutions, and all rights corresponding thereto throughout the world, and the entire goodwill of Borrower’s business connected with and symbolized by such Intellectual Property and all income, fees, royalties, proceeds and other payments at any time due or payable with respect to any of the foregoing (referred to collectively as the “IP Collateral”); provided that the IP Collateral shall not include the Excluded Property (as defined in the Guarantee and Collateral Agreement).

 

3.                        Protection of Intellectual Property by Borrower Borrower shall, at its sole cost, expense and risk, in connection with the operation of its business, comply with the requirements set forth in Section 5.7 of the Guarantee and Collateral Agreement in respect to the Intellectual Property

 

4.                                      Representations and Warranties. Borrower represents and warrants that:

 

(a)                                                       Schedule I is a true, correct and complete list of all registered or applied-for Intellectual Property in which Borrower purports to have an ownership or license interest.

 

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(b)                                 Borrower has the legal right and authority to enter into this Agreement and perform its terms.

 

(c)                                  If Borrower amends its name, Borrower shall provide copies of such amendment documentation to Agent and shall re-register Borrower’s Intellectual Property with the appropriate Governmental Authority and shall execute and deliver such agreements or documentation as Agent shall request to maintain a perfected first priority security interest in such Intellectual Property subject to Permitted Liens.

 

5. No Violation of Credit Agreement The representations, warranties or covenants contained herein are supplemental to those representations, warranties and covenants contained in the other Loan Documents, and shall not be deemed to modify any such representation, warranty or covenant contained in any other Loan Document.

 

6.             Agreement Applies to Future Intellectual Property.

 

(a)                               The provisions of this Agreement shall automatically apply to any such additional property or rights described in Section 2 above, all of which shall be deemed to be and treated as “IP Collateral” within the meaning of this Agreement.

 

(b)                               Upon the request of Agent, Borrower shall execute and deliver, and have recorded, any and all agreements, instruments, documents and papers as Agent may reasonably request to evidence Agent’s security interest in any IP Collateral and the goodwill of Borrower relating thereto or represented thereby (including, without limitation, filings with the United States Patent and Trademark Office, Canadian Intellectual Property Office, or any similar office), and Borrower hereby constitutes Agent as its attorney-in-fact to execute and file all such writings for the foregoing purposes, all acts of such attorney being hereby ratified and confirmed; provided, however, Agent’s taking of such action shall not be a condition to the creation or perfection of the security interest created hereby.

 

7.  Borrower’s Rights to Enforce Intellectual Property Prior to Agent’s giving of notice to Borrower following the occurrence and during the continuance of an Event of Default, Borrower shall have the exclusive right to sue for past, present and future infringement of the IP Collateral, including the right to seek injunctions and/or money damages, in an effort by Borrower to protect the IP Collateral against encroachment by third parties, provided, however:

 

(a)                               Any money damages awarded or received by Borrower on account of such suit (or the threat of such suit) shall constitute IP Collateral.

 

(b)                               Any damages recovered in any action pursuant to this Section, net of costs and attorneys’ fees reasonably incurred, shall be applied in accordance with the Credit Agreement and the Guarantee and Collateral Agreement.

 

(c)                                Following the occurrence and during the continuance of any Event of Default, Agent, by notice to Borrower may terminate or limit Borrower’s rights under this Section 7.

 

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8. Agent’s Actions to Protect Intellectual Property Pursuant to and in accordance with the Credit Agreement, Agent, acting in its own name or in that of Borrower, may (but shall not be required to) act in Borrower’s place and stead and/or in Agent’s own right with respect to the rights and obligations of Borrower under Section 3, Section 6 and Section 7 hereof.

 

9. Rights Upon Default.Upon the occurrence and during the continuance of any Event of Default, Agent may exercise all rights and remedies as provided for in the Credit Agreement.

 

10.          Agent as Attorney In Fact.

 

(a)                                 Following the occurrence and during the continuance of an Event of Default, Borrower hereby irrevocably constitutes and designates Agent as its attorney-in-fact to:

 

i.                                                                          Supplement and amend from time to time Schedule I of this Agreement to include any new or additional Intellectual Property of Borrower.

 

ii.                                                                       Exercise any of the rights and powers referenced herein in accordance with this Agreement.

 

(b)                               The grant of a power of attorney, being coupled with an interest, shall be irrevocable until the Obligations are paid in full.

 

(c)                                Agent shall not be obligated to do any of the acts or to exercise any of the powers authorized by Section 8, Section 9 or Section 10, but if Agent elects to do any such act or to exercise any of such powers, it shall not be accountable for more than it actually receives as a result of such exercise of power, and shall not be responsible to Borrower for any act or omission to act, except to the extent Agent acted with gross negligence, bad faith, or willful misconduct as determined by a court of competent jurisdiction.

 

11.  Agent’s Rights

 

Upon an Event of Default and during the continuance thereof, any use by Agent of the IP Collateral, as authorized hereunder in connection with the exercise of Agent’s rights and remedies under this Agreement and under the Credit Agreement shall be coextensive with Borrower’s rights thereunder and with respect thereto and without any liability for royalties or other related charges.

 

12.          No Limitation; Loan Documents

 

This Agreement has been executed and delivered by Borrower for the purpose of recording the security interest granted to Agent with respect to the IP Collateral with the United States Patent and Trademark Office, the United States Copyright Office, the Canadian Intellectual Property Office, as well as with any similar office or department of any other foreign of domestic Governmental Authority. The security interest granted hereby has been granted as a supplement to, and not in limitation of, the security interest granted to Agent, for the benefit of Lender, under the Guarantee and Collateral Agreement and the other Loan Documents. The other Loan Documents (and all rights and remedies of Borrower, Agent, and Lenders thereunder) shall remain in full force and effect in accordance with its terms.

 

13. Termination; Release of Trademark Collateral

 

This Agreement and all obligations of Borrower and Agent hereunder shall terminate on the date upon which the Obligations are performed in full and paid in full in cash. Upon termination of this Agreement, Agent shall, at the expense of the Borrower, take such actions required by the Credit Agreement or the Guarantee and Collateral Agreement or as otherwise reasonably requested by Borrower to release its security interest in the IP Collateral.

 

14. Binding Effect; Benefits This Agreement shall be binding upon Borrower and its successors and assigns, and shall inure to the benefit of Agent, Lenders and their respective successors and assigns.

 

15. GOVERNING LAW. THIS AGREEMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HEREUNDER SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE INTERNAL LAWS OF THE STATE OF NEW YORK WITHOUT GIVING EFFECT TO ITS CHOICE OF LAW PROVISIONS THAT WOULD REQUIRE THE APPLICATION OF THE LAWS OF ANY OTHER JURISDICTION.

 

16. Copy of Agreement. The Borrower acknowledges receipt of a signed copy of this Agreement.

 

[REMAINDER OF PAGE INTENTIONALLY BLANK; SIGNATURES FOLLOW]

 

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IN WITNESS WHEREOF, the parties have caused this Intellectual Property Security Agreement to be executed by its duly authorized representatives as of the date first above written.

 

 

	
 
    	
BORROWER:
    
	
 
    	
 
    
	
 
    	
TRIBUTE   PHARMACEUTICALS CANADA INC.,
    
	
 
    	
a corporation organized   under the laws of Ontario, Canada
    

 

 

	
 
    	
By:
    	
/s/ Scott Langille
    
	
 
    	
Name: Scott Langille
    
	
 
    	
Title: Chief Financial   Officer
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
AGENT:
    
	
 
    	
 
    
	
 
    	
SWK   FUNDING LLC
    
	
 
    	
a Delaware limited   liability company
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Winston Black
    
	
 
    	
Name: Winston Black
    
	
 
    	
Title: Managing   Director
    

 

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Schedule I

 

[APPLIES TO ALL Intellectual Property and License Agreements]

 

	
Borrower
    	
 
    	
Name / Identifier of IP or License
    	
 
    	
Type of IP (e.g., patent,
   TM, ©, mask work) or
   License Agreement
    	
 
    	
Expiration Date
   (if a License, expiration of
   License and Licensed
   Property)
    
	
Tribute Pharmaceuticals Canada Inc.
    	
 
    	
Uracyst - #6,083,933 (US Patent)
    	
 
    	
Patent
    	
 
    	
04/19/2019
    
	
Tribute Pharmaceuticals Canada Inc.
    	
 
    	
Uracyst - #2,269,260 (Canadian Patent)
    	
 
    	
Patent
    	
 
    	
04/16/2019
    
	
Tribute Pharmaceuticals Canada Inc.
    	
 
    	
Uracyst - #US 7772210 (United States)
    	
 
    	
Patent
    	
 
    	
11/07/2024
    
	
Tribute Pharmaceuticals Canada Inc.
    	
 
    	
Uracyst - #ZL200480006467.1 (China)
    	
 
    	
Patent
    	
 
    	
02/18/2024
    
	
Tribute Pharmaceuticals Canada Inc.
    	
 
    	
Uracyst - #4778888 (Japan)
    	
 
    	
Patent
    	
 
    	
02/18/2024
    
	
Tribute Pharmaceuticals Canada Inc.
    	
 
    	
Uracyst - #AU 2004212650 (Australia)
    	
 
    	
Patent
    	
 
    	
02/18/2024
    
	
Tribute Pharmaceuticals Canada Inc.
    	
 
    	
Uracyst - Application #04711966.4 (Europe - pending)
    	
 
    	
Patent Application
    	
 
    	
N/A
    
	
Tribute Pharmaceuticals Canada Inc.
    	
 
    	
Uracyst - Application #4050/DELNP (India - pending)
    	
 
    	
Patent Application
    	
 
    	
N/A
    
	
Tribute Pharmaceuticals Canada Inc.
    	
 
    	
Uracyst - Application #170309 (Israel - pending)
    	
 
    	
Patent Application
    	
 
    	
N/A
    
	
Tribute Pharmaceuticals Canada Inc.
    	
 
    	
Uracyst - #2515512 (Canada)
    	
 
    	
Patent
    	
 
    	
02/18/2024
    
	
Tribute Pharmaceuticals Canada Inc.
    	
 
    	
Uracyst - #8084441 (United States - second high dose   patent)
    	
 
    	
Patent
    	
 
    	
11/07/2024
    
	
Tribute Pharmaceuticals Canada Inc.
    	
 
    	
Uracyst - #8334276 (United States - third high dose   patent)
    	
 
    	
Patent
    	
 
    	
11/07/2024
    
	
Tribute Pharmaceuticals Canada Inc.
    	
 
    	
Uracyst - Application #13/717551 (United States -   fourth high dose patent)
    	
 
    	
Patent Application
    	
 
    	
N/A
    
	
Tribute Pharmaceuticals Canada Inc.
    	
 
    	
NeoVisc Trademarks - Canada (TMA 486692), Germany   (30457514.3), European Community (004376208), Dominican Republic (140250),   Mexico (823752)
    	
 
    	
Trademarks
    	
 
    	
N/A
    
	
Tribute Pharmaceuticals Canada Inc.
    	
 
    	
Uracyst Trademarks - Canada (TMA486693),
   United States (2677199),
   European Community (002297653), Korea (40-0849594), Turkey 2008055507
    	
 
    	
Trademarks
    	
 
    	
N/A
    
	
Tribute Pharmaceuticals Canada Inc.
    	
 
    	
Uropol Trademarks - Germany (303 46 971), Austria   (230 503), Switzerland (514 536)
   EU (010499218)
    	
 
    	
Trademarks
    	
 
    	
N/A
    
	
Tribute Pharmaceuticals Canada Inc.
    	
 
    	
Tribute Pharmaceuticals Application # 86/006,569 and   86/006,574 (United States); Application # 1609470, 1609446(Canada)
    	
 
    	
Trademark Application
    	
 
    	
N/A
    
	
Tribute Pharmaceuticals Canada Inc.
    	
 
    	
Tribute Pharma Application #
   1,609,447 (Canada)
    	
 
    	
Trademark Application
    	
 
    	
N/A
    
	
Tribute Pharmaceuticals Canada Ltd.
    	
 
    	
Cambia Patent #CA 2,254,144 (Canada) (granted)
    
   Cambia Patent #CA Application #2,632,375 (Canada) (pending)
    	
 
    	
Patent
    	
 
    	
May 15, 2017
    
    
   June 16, 2026 (if granted)
    
	
Tribute Pharmaceuticals Canada Ltd.
    	
 
    	
Cambia Trademark TMA806381
    	
 
    	
Trademark License Agreement
    	
 
    	
December 31, 2025
    
	
Tribute Pharmaceuticals Canada Inc.
    	
 
    	
Soriatane Trademarks
   TMA436505
    	
 
    	
License to use Trademarks
    	
 
    	
December 31, 2018
    
	
Tribute Pharmaceuticals Canada Inc.
    	
 
    	
Bezalip SR Trademarks TMA247035
    	
 
    	
License to use Trademarks
    	
 
    	
December 31, 2018
    
	
Tribute Pharmaceuticals Canada Inc.
    	
 
    	
License Agreement for Bezalip and Soriatane in   Canada
    	
 
    	
License Agreement
    	
 
    	
December 31, 2018
    
	
Tribute Pharmaceuticals Canada Ltd.
    	
 
    	
License Agreement for Bezalip in the United States
    	
 
    	
License Agreement
    	
 
    	
N/A
    
	
Tribute Pharmaceuticals Canada Ltd.
    	
 
    	
License Agreement for Cambia in Canada
    	
 
    	
License Agreement
    	
 
    	
December 31, 2025
    
	
Tribute Pharmaceuticals Canada Inc.
    	
 
    	
License Agreement for MycoVa in Canada
    	
 
    	
License Agreement
    	
 
    	
December 30, 2026
    

 

SCHEDULE I TO INTELLECTUAL PROPERTY SECURITY AGREEMENT

 

7Exhibit 10.68

 

SUPPORT AGREEMENT

 

THIS AGREEMENT is made as of the      day of June, 2015.

 

BETWEEN:

 

[INSERT SHAREHOLDER NAME], an individual resident in the City of •, Ontario (the “Shareholder”)

 

-and-

 

ARLZ CA ACQUISITION CORP., a corporation existing under the laws of the Province of Ontario (“Purchaser”)

 

WHEREAS the Shareholder is the registered and/or direct or indirect beneficial owner of (i) that number of issued and outstanding Tribute Shares (as defined herein), (ii) that number of Tribute Options (as defined herein) and (iii) that number of Tribute Warrants (as defined herein), in each case as set forth opposite its name on Schedule A hereto;

 

AND WHEREAS the Shareholder understands that Purchaser and Tribute Pharmaceuticals Canada Inc. (“Tribute”), among others, are, concurrently with the execution and delivery of this Agreement, executing and delivering the Arrangement Agreement (as defined herein) providing for the Arrangement (as defined herein);

 

AND WHEREAS this Agreement sets out the terms and conditions of the agreement of the Shareholder to (i) vote its Tribute Shares or cause the same to be voted in favour of the Arrangement Resolution (as defined herein) and (ii) abide by the other restrictions and covenants set forth herein;

 

AND WHEREAS the Shareholder acknowledges that Purchaser would not enter into the Arrangement Agreement but for the execution and delivery of this Agreement by the Shareholder;

 

NOW THEREFORE this Agreement witnesses that, in consideration of the premises and the covenants and agreements herein contained, the parties hereto agree as follows:

 

ARTICLE 1

INTERPRETATION

 

1.1                               Definitions

 

In this Agreement, unless the context otherwise requires:

 

“affiliate” has the meaning ascribed thereto in the Securities Act;

 

“Arrangement” means the arrangement under Section 182 of the OBCA on the terms and subject to the conditions set out in the Plan of Arrangement, subject to any amendments or variations thereto made in accordance with the Arrangement Agreement or the Plan of Arrangement or made at the direction of the Court in the Final Order with the consent of Tribute and the Purchaser, each acting reasonably;

 

 

“Arrangement Agreement” means the agreement and plan of merger and arrangement dated the date hereof between Purchaser, Tribute, Aguono Limited, Trafwell Limited, ARLZ US Acquisition Corp. and POZEN Inc. as it may be amended, supplemented or otherwise modified from time to time in accordance with its terms;

 

“Arrangement Resolution” means the special resolution approving the Plan of Arrangement to be considered at the Tribute Meeting;

 

“beneficially own”, “beneficial ownership”, “beneficial owner” and similar expressions with respect to any security means all securities that are owned, directly or indirectly, or over which control or direction of the voting or disposition thereof may be exercised;

 

“OBCA” means the Business Corporations Act (Ontario) and the regulations made thereunder, as promulgated or amended from time to time;

 

“Consideration” means the consideration payable in respect of each Tribute Share to be paid by the Purchaser to the holders of Tribute Shares pursuant to the Arrangement, being [0.1455] shares of Aguono Limited per Tribute Share subject to adjustments as provided in the Plan of Arrangement;

 

“Court” means the Ontario Superior Court of Justice (Commercial List);

 

“Effective Date” means the date upon which the Arrangement becomes effective as provided in the Plan of Arrangement;

 

“Final Order” has the meaning ascribed thereto in the Arrangement Agreement;

 

“Governmental Entity” means (a) any multinational, federal, provincial, state, regional, municipal, local or other government, governmental or public department, central bank, court, tribunal, arbitral body, commission, board, bureau or agency, domestic or foreign, (b) any subdivision, agent, commission, board or authority of any of the foregoing, (c) any quasi-governmental or private body, including any tribunal, commission, regulatory agency or self-regulatory organization, exercising any regulatory, expropriation or taxing authority under or for the account of any of the foregoing, or (d) any stock exchange, including the Toronto Stock Exchange;

 

“including” means including without limitation, and “include” and “includes” have a corresponding meaning;

 

“Locked-Up Securities” means all Tribute Shares now beneficially owned or hereafter which become beneficially owned any time before the Effective Date by the Shareholder, including all Tribute Shares issuable upon the exercise of Tribute Options and/or Tribute Warrants now owned or hereafter acquired at any time before the Effective Date by the Shareholder, in each case as set forth in Schedule A hereto;

 

“Outside Date” means January 31, 2016, or such later date as may be agreed to in writing by the parties to the Arrangement Agreement;

 

“Plan of Arrangement” means the plan of arrangement, substantially in the form of Schedule II to the Arrangement Agreement, and any amendments or variations thereto made in accordance with the Arrangement Agreement or the Plan of Arrangement or made at the direction of the Court in the Final Order with the consent of Tribute and Pozen Inc., each acting reasonably;

 

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“Securities Act” means the Securities Act (Ontario) and the rules, regulations and published policies made thereunder, as now in effect and as they may be promulgated or amended from time to time;

 

“subsidiary” means, with respect to a specified entity, any:

 

(a) corporation of which issued and outstanding voting securities of such corporation to which are attached more than fifty percent (50%) of the votes that may be cast to elect directors of the corporation (whether or not shares of any other class or classes will or might be entitled to vote upon the happening of any event or contingency) are at all times owned by such specified entity;

 

(b) partnership, unlimited liability company, joint venture or other similar entity in which such specified entity has more than fifty percent (50%) of the equity interests and the power to direct the policies, management and affairs thereof; and

 

(c) Subsidiary (as defined in clauses (a) and (b) above) of any Subsidiary (as so defined) of such specified entity;

 

“Tribute Meeting” means the special meeting of Tribute shareholders, including any adjournment or postponement thereof, to consider, among other things, the Arrangement Resolution;

 

“Tribute Option” means an option granted by Tribute which provides the right to purchase one Tribute Share in accordance with the terms of such Tribute Option;

 

“Tribute Securities” means collectively, the Tribute Shares, the Tribute Options and the Tribute Warrants;

 

“Tribute Shares” means the common shares in the capital of Tribute, as currently constituted; and

 

“Tribute Warrants” means the warrants to purchase Tribute Shares in accordance with the terms of such Tribute Warrant.

 

All capitalized or defined terms not defined herein shall have the meanings attributed thereto in the Arrangement Agreement.

 

1.2                             Schedules

 

The following Schedule attached hereto constitutes an integral part of this Agreement:

 

Schedule A -   Locked-Up Securities

 

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ARTICLE 2

COVENANTS OF PURCHASER

 

2.1                               Amendment of Arrangement Agreement

 

Purchaser hereby covenants and agrees that Purchaser will not amend the Arrangement Agreement (a) to change the form of, or to decrease, the Consideration payable to the holders of Tribute Shares under the Arrangement or (b) in a manner that would otherwise be materially adverse to the interests of the Shareholder without the prior written consent of the Shareholder; provided that, for greater certainty, Purchaser may, without such consent, (i) amend the terms of the Arrangement Agreement (A) to increase the Consideration (or the value of the Consideration) under the Arrangement, (B) to extend the Effective Date to a date not later than the Outside Date, or (ii) to the extent that it has the power to do so, waive any condition of the Arrangement and/or Arrangement Agreement. For greater certainty, nothing in this Article 2 shall prevent Purchaser from terminating this Agreement in accordance with Article 5.

 

ARTICLE 3

COVENANTS OF THE SHAREHOLDER

 

3.1                               General

 

The Shareholder hereby covenants and irrevocably agrees in favour of Purchaser that, from the date hereof until the earlier of (i) the Effective Date and (ii) the termination of this Agreement in accordance with Article 5, except as expressly permitted by this Agreement, the Shareholder shall and shall cause its affiliates to:

 

	
(a) 
    	
 
    	
vote, or cause to be voted, the Locked-Up Securities   in favour of the Arrangement Resolution, and in connection therewith it will,   on or before the fifth Business Day prior to the Tribute Meeting, duly   complete and cause forms of proxy in respect of all Locked-Up Securities, and   any other documents required in accordance with the Arrangement, to be   validly delivered in support of the Arrangement Resolution, and will not withdraw   the forms of proxy except as expressly otherwise provided in this Agreement;
    
	
 
    	
 
    	
 
    
	
(b) 
    	
 
    	
not option, sell, transfer, tender, deposit, pledge,   encumber, grant a security interest in, hypothecate or otherwise convey or   dispose of any Locked-Up Securities, or any right or interest therein (legal   or equitable), to any person or group or agree to do any of the foregoing;
    
	
 
    	
 
    	
 
    
	
(c) 
    	
 
    	
except as provided in Section 3.1(a), not grant   or agree to grant any proxy or other right to vote any Tribute Securities, or   enter into any voting trust, vote pooling or other agreement with respect to   the right to vote, call meetings of shareholders or give consents or approval   of any kind as to any Tribute Securities;
    
	
 
    	
 
    	
 
    
	
(d) 
    	
 
    	
not take any other action of any kind which might reasonably   be regarded as likely to reduce the success of, or delay or interfere with   the completion of, the Arrangement and the other transactions contemplated by   this Agreement and the Arrangement Agreement;
    
	
 
    	
 
    	
 
    
	
(e) 
    	
 
    	
not vote or cause to be voted any Tribute Securities   in respect of (or, where requested by the Purchaser, shall vote against) any   proposed action by Tribute or its shareholders or affiliates or any other   person in a manner which might reasonably be regarded as likely to prevent or   delay the successful completion of the Arrangement or the other transactions   contemplated by the Arrangement Agreement and this Agreement;
    

 

4

 

	
(f) 
    	
 
    	
in the event that any transaction other than the   Arrangement is presented for approval of or acceptance by the securityholders   of Tribute, it shall vote against and shall not, directly or indirectly, vote   in favour of, accept, assist or otherwise further the successful completion   of such transaction or purport to tender or deposit into any such transaction   any Tribute Securities;
    
	
 
    	
 
    	
 
    
	
(g) 
    	
 
    	
other than through the exercise of the Tribute   Options or Tribute Warrants, not purchase or enter into any agreement or   right to purchase any additional Tribute Securities or any other securities   of Tribute from and including the date hereof until the termination of this   Agreement;
    
	
 
    	
 
    	
 
    
	
(h) 
    	
 
    	
take all action to ensure that the representations   and warranties in Section 4.1 remain true and correct at all times during   the term of this Agreement, including as of the Effective Time, as if such   representations and warranties were made at and as of such time except to the   extent such representations and warranties speak as of an earlier date; and
    
	
 
    	
 
    	
 
    
	
(i) 
    	
 
    	
without limiting any of the foregoing, take all such   steps as are necessary or advisable to ensure that at the Effective Time, its   Locked-Up Securities will be held by the Shareholder with good and marketable   title thereto, free and clear of any and all mortgages, liens, charges,   restrictions, security interests, adverse claims, pledges, encumbrances and   demands of any nature or kind whatsoever, and will not be subject to any   shareholders’ agreements, voting trust or similar agreements or any option,   right or privilege (whether by law, pre-emptive or contractual) capable of   becoming a shareholders’ agreement, voting trust or other agreement affecting   such Locked-Up Securities or the ability of any holder thereof to exercise   all ownership rights thereto, including the voting of any such Locked-Up   Securities.
    

 

ARTICLE 4

REPRESENTATIONS AND WARRANTIES

 

4.1                               Representations and Warranties of the Shareholder

 

The Shareholder hereby represents and warrants to, and covenants with, Purchaser as follows, and acknowledges that Purchaser is relying upon such representations, warranties and covenants in entering into this Agreement:

 

	
(a) 
    	
 
    	
Incorporation; Authority. If the   Shareholder is a corporation or other legal entity, the Shareholder is a   subsisting corporation or other entity under the laws of its incorporating   jurisdiction. The Shareholder has all necessary power, authority, capacity   and right to enter into this Agreement and to carry out each of its   obligations under this Agreement. This Agreement has been duly executed and   delivered by the Shareholder and constitutes a legal, valid and binding   agreement enforceable by Purchaser against the Shareholder in accordance with   its terms, subject, however, to limitations with respect to enforcement   imposed by law in connection with bankruptcy or similar proceedings, the   equitable power of the courts to stay proceedings before them and the   execution of judgments and to the extent that equitable remedies such as   specific performance and injunction are in the discretion of the court from   which they are sought.
    

 

5

 

	
(b) 
    	
 
    	
Ownership of Shares and Other Securities.   The Shareholder is, and will be at the Effective Time, the direct or indirect   beneficial owner of the Locked-Up Securities set forth opposite its name in   Schedule A hereto, with good and marketable title thereto, free and clear of   any and all mortgages, liens, charges, restrictions, security interests,   adverse claims, pledges, encumbrances and demands or rights of others of any   nature or kind whatsoever. Neither the Shareholder nor any of its affiliates   is a party to, bound or affected by or subject to, any charter or by-law,   contract, provision, statute, regulation, judgment, order, decree or law   which would be violated, contravened, breached by, or under which any default   would occur (or an event which, with notice or lapse of time or both, would   constitute a default) as a result of, the execution, delivery or performance   of this Agreement or the consummation of any of the transactions provided for   in this Agreement, including the Arrangement.
    
	
 
    	
 
    	
 
    
	
(c) 
    	
 
    	
No Agreements. No person has any   agreement or option, or any right or privilege (whether by law, pre-emptive   or contractual) capable of becoming an agreement or option, for the purchase,   acquisition or transfer of any of such Locked-Up Securities, or any interest   therein or right thereto, except pursuant to this Agreement. None of the   Locked-Up Securities is subject to any shareholders’ agreement, voting trust   or similar agreement or any option, right or privilege (whether by law,   pre-emptive or contractual) capable of becoming a shareholders’ agreement,   voting trust or other agreement affecting such Locked-Up Securities or the   ability of any holder thereof to exercise all ownership rights thereto,   including the voting of any such Locked-Up Securities.
    
	
 
    	
 
    	
 
    
	
(d) 
    	
 
    	
Voting. None of the Locked-Up   Securities is subject to any shareholder agreement, proxy, voting trust, vote   pooling or other agreement with respect to the right to vote, call meetings   of shareholders or give consents or approvals of any kind.
    
	
 
    	
 
    	
 
    
	
(e) 
    	
 
    	
Consents. No consent, waiver,   approval, authorization, exemption, registration, licence or declaration of   or by, or filing with, or notification to any Governmental Entity which has   not been made or obtained is required to be made or obtained by the   Shareholder in connection with (i) the execution, delivery or   performance by the Shareholder and enforcement against the Shareholder of   this Agreement or (ii) the consummation of any transactions by the   Shareholder contemplated hereby, including the consummation of the   Arrangement.
    
	
 
    	
 
    	
 
    
	
(f) 
    	
 
    	
Legal Proceedings. There are no   legal proceedings in progress or pending before any Governmental Entity or   threatened against the Shareholder or any of its affiliates that would   adversely affect in any manner the ability of the Shareholder to enter into   this Agreement and to perform its obligations hereunder or the title of the   Shareholder to any of its Locked-Up Securities and there is no judgment,   decree or order against the Shareholder that would adversely affect in any   manner the ability of the Shareholder to enter into this Agreement and to   perform its obligations hereunder or the title of the Shareholder to any of its   Locked-Up Securities.
    
	
 
    	
 
    	
 
    
	
(g) 
    	
 
    	
No Other Securities. The only   securities of Tribute beneficially owned, directly or indirectly, by the   Shareholder are the Locked-Up Securities and the Shareholder has no other   agreement or option, or right or privilege (whether by law, pre-emptive or   contractual) capable of becoming an agreement or option, for the purchase or   acquisition by the Shareholder or transfer to the Shareholder of additional   securities of Tribute.
    

 

6

 

4.2                               Representations and Warranties of Purchaser

 

Purchaser hereby represents and warrants to the Shareholder as follows, and acknowledges that the Shareholder is relying upon such representations, warranties and covenants in entering into this Agreement:

 

	
(a) 
    	
 
    	
Organization and Qualification.   The Purchaser is a corporation duly incorporated or an entity duly created   and validly existing under all applicable laws of its jurisdiction of   incorporation, continuance or creation and has all necessary corporate or   other power, authority and capacity to own its property and assets.
    
	
 
    	
 
    	
 
    
	
(b) 
    	
 
    	
Authority Relative to this Agreement.   Purchaser has the requisite corporate authority to enter into this Agreement   and to carry out its obligations hereunder. This Agreement has been duly   executed and delivered by Purchaser and constitutes a legal, valid and   binding obligation of Purchaser enforceable against it in accordance with its   terms, subject, however, to limitations with respect to enforcement imposed   by law in connection with bankruptcy or similar proceedings, the equitable   power of the courts to stay proceedings before them and the execution of   judgments and to the extent that equitable remedies such as specific   performance and injunction are in the discretion of the court from which they   are sought.
    
	
 
    	
 
    	
 
    
	
(c) 
    	
 
    	
No Violations. Neither the   execution and delivery of this Agreement by Purchaser nor the completion of   the Arrangement pursuant to the Plan of Arrangement nor compliance by   Purchaser with any of the provisions hereof will violate, conflict with, or   result in a breach of any material provision of, require any consent,   approval or notice under, or constitute a default (or an event which, with   notice or lapse of time or both, would constitute a default) under   (A) the articles of incorporation or Laws governing Purchaser or   (B) any material contract or other instrument or obligation to which   Purchaser is a party or to which it, or any of its properties or assets, may   be subject or by which Purchaser is bound and, in each case, individually or   in the aggregate would materially adversely affect Purchaser’s ability to   perform its obligations under this Agreement or (C) violate any Law   applicable to Purchaser or any of its subsidiaries or any of its properties   or assets.
    

 

ARTICLE 5

TERMINATION

 

5.1                               Termination by Purchaser

 

Purchaser, when not in material default in the performance of its obligations under this Agreement, may, without prejudice to any of its rights hereunder and in its sole discretion, terminate this Agreement by written notice to the Shareholder if:

 

	
(a) 
    	
 
    	
any of the representations and warranties of the   Shareholder under this Agreement (other than those set forth in   Section 4.1(b), 4.1(c), 4.1(d) and 4.1(e)) shall not be true and correct   in all material respects; or
    
	
 
    	
 
    	
 
    
	
(b) 
    	
 
    	
any of the representations and warranties of the   Shareholder set forth in Section 4.1(b), 4.1(c), 4.1(d) and   4.1(e) of this Agreement shall not be true and correct in all respects;
    

 

7

 

	
(c) 
    	
 
    	
the Shareholder shall not have complied with its   covenants to Purchaser contained in this Agreement in all material respects;   or
    
	
 
    	
 
    	
 
    
	
(d) 
    	
 
    	
Purchaser requests consent from the Shareholder in   respect of an amendment as contemplated in Article 2 and the Shareholder   does not provide such consent within two (2) Business Days.
    

 

provided, however, that such termination shall be without prejudice to any rights which Purchaser may have or as a result of any default by the Shareholder prior to such termination.

 

5.2                               Termination by the Shareholder

 

The Shareholder, when not in material default in its performance of its obligations under this Agreement, may, without prejudice to any of its rights hereunder and in its sole discretion, terminate this Agreement by written notice to Purchaser if:

 

	
(a) 
    	
 
    	
any of the representations and warranties of   Purchaser under this Agreement shall not be true and correct in all material   respects;
    
	
 
    	
 
    	
 
    
	
(b) 
    	
 
    	
Purchaser shall not have complied with its covenants   to the Shareholder contained herein in all material respects; or
    
	
 
    	
 
    	
 
    
	
(c) 
    	
 
    	
the Tribute Board of Directors has determined and   notified POZEN Inc. that a Tribute Superior Proposal (as such term is defined   in the Arrangement Agreement) exists.
    

 

5.3                               Automatic Termination

 

Unless extended by mutual agreement of the Shareholder and Purchaser, this Agreement shall automatically terminate on the earlier of the Effective Date and the Outside Date. In addition, this Agreement shall automatically terminate in the event that the Arrangement Agreement is terminated in accordance with its terms.

 

5.4                               Agreement to Terminate

 

This Agreement may be terminated by a written instrument executed by each of Purchaser and the Shareholder.

 

5.5                               Effect of Termination

 

If this Agreement is terminated in accordance with this Article 5, the provisions of this Agreement will become void and no party shall have liability to any other party, except in respect of a breach of the representations, warranties, obligations, terms or conditions of this Agreement which occurred prior to such termination, in respect of which the parties shall be entitled to pursue any and all remedies at law or equity which may be available to them.

 

8

 

ARTICLE 6

GENERAL PROVISIONS

 

6.1                               Further Assurances

 

Each of the Shareholder and Purchaser will, from time to time, execute and deliver all such further documents and instruments and do all such acts and things as the other party may reasonably require (at the requesting party’s cost) to effectively carry out or better evidence or perfect the full intent and meaning of this Agreement.

 

6.2                               Change in Nature of Transaction

 

If Purchaser and its counsel, and the board of directors of Tribute and its legal and financial advisors, agree that it is desirable to proceed with another form of transaction pursuant to which the Purchaser will acquire, no later than the Outside Date, all or substantially all of the Tribute Shares or assets of Tribute on economic terms (including tax treatment) which, in relation to the Shareholder, are at least equivalent to than those contemplated by the Arrangement (an “Alternative Transaction”) the Shareholder will support the completion of such Alternative Transaction.

 

If any Alternative Transaction involves a meeting or meetings of holders of Tribute Shares, the Shareholder agrees to vote all of the Locked-Up Securities in favour of any matters necessary or ancillary to the completion of the Alternative Transaction.

 

In the event of any proposed Alternative Transaction, the references in this Agreement to the Arrangement shall be deemed to be changed to references to such Alternative Transaction and all terms, covenants, representations and warranties of this Agreement shall be and shall be deemed to have been made, mutatis mutandis, in the context of the Alternative Transaction.

 

6.3                               Survival of Representations and Warranties

 

No investigations made by or on behalf of Purchaser or any of its authorized agents at any time shall have the effect of waiving, diminishing the scope of or otherwise affecting any representation, warranty or covenant made by the Shareholder herein or pursuant hereto.

 

6.4                               Disclosure

 

Prior to the first disclosure of this Agreement, except as required by applicable laws or regulations or by any Governmental Entity or in accordance with the requirements of any stock exchange, no party shall make any public announcement or statement with respect to this Agreement without the approval of the other which shall not be unreasonably withheld or delayed. The existence and terms and conditions of this agreement may be disclosed by the parties to the Arrangement Agreement in any news release of Pozen or Tribute announcing the Arrangement and in the disclosure documents prepared in respect of the Pozen Meeting and the Tribute Meeting.

 

6.5                               Entire Agreement, Binding Effect and Assignment

 

Purchaser may assign all or any part of its rights under this Agreement to, and its obligations under this Agreement may be assumed by, an affiliate of Purchaser, provided that if such assignment and/or assumption takes place, Purchaser shall continue to be liable jointly and severally with such affiliate for all of its obligations hereunder. This Agreement shall be binding on and shall enure to the benefit of the parties hereto and their respective successors and permitted assigns.

 

9

 

This Agreement (including the schedule hereto) constitutes the entire agreement, and supersedes all other prior agreements and understandings, both written and oral, between the parties with respect to the subject matter hereof and, except as expressly provided herein, this Agreement is not intended to and shall not confer upon any person other than the parties hereto any rights or remedies hereunder. Except as expressly permitted by the terms hereof, neither this Agreement nor any of the rights, interests or obligations hereunder may be assigned by either of the parties hereto without the prior written consent of the other party.

 

6.6                               Severability

 

If any term or other provision of this Agreement is invalid, illegal or incapable of being enforced by any rule or Law or public policy, all other conditions and provisions of this Agreement shall nevertheless remain in full force and effect so long as the economic or legal substance of the transactions contemplated hereby is not affected in any manner materially adverse to any party hereto. Upon such determination that any term or other provision is invalid, illegal or incapable of being enforced, the parties hereto shall negotiate in good faith to modify this Agreement so as to effect the original intent of the parties hereto as closely as possible in an acceptable manner to the end that the transactions contemplated hereby are fulfilled to the fullest extent possible.

 

6.7                               Time

 

Time shall be of the essence of this Agreement.

 

6.8                               Currency

 

All sums of money referred to in this Agreement shall mean Canadian funds.

 

6.9                               Governing Law

 

This Agreement shall be governed, including as to validity, interpretation and effect, by the laws of the Province of Ontario and the federal laws of Canada applicable therein. Each of the parties hereto hereby irrevocably attorns to the exclusive jurisdiction of the Courts of the Province of Ontario in respect of all matters arising under and in relation to this Agreement.

 

6.10                        Amendments

 

This Agreement may not be modified, amended, altered or supplemented, except upon the execution and delivery of a written agreement executed by each of the parties hereto.

 

6.11                        Notices

 

All notices and other communications given or made pursuant hereto shall be in writing and shall be deemed to have been duly given or made as of the date delivered or sent if delivered personally or sent by facsimile or email transmission during normal business hours on a business day, or as of the following business day if sent by prepaid overnight courier, to the parties hereto at the following addresses (or at such other addresses as shall be specified by any party hereto by notice to the other given in accordance with these provisions):

 

10

 

	
(a) 
    	
 
    	
if to Purchaser:
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
ARLZ CA Acquisition   Corp.

c/o POZEN Inc.

1414 Raleigh Road,   Suite 400

Chapel Hill, North   Carolina 27517

 

Attention: Adrian   Adams, Chief Executive Officer

Facsimile: (919)   490-5552

Email: ·

 

with a copy (which   shall not constitute notice) to:

 

DLA Piper (Canada) LLP

Suite 1000,   Livingston Place West

250 2nd St SW

Calgary, Alberta T2P   0C1

 

Attention: Michael Der

Facsimile: (403)   213-4482

Email:   michael.der@dlapiper.com
    
	
 
    	
 
    	
 
    
	
(b)
    	
 
    	
if to the Shareholder:
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
[address   information]

Attention: ·

Facsimile: ·

Email: ·
    

 

6.12                        Injunctive Relief

 

The parties hereto agree that irreparable harm would occur for which money damages would not be an adequate remedy at law in the event that any of the provisions of this Agreement were not performed in accordance with their specific terms or were otherwise breached. It is accordingly agreed that the parties hereto shall be entitled to an injunction or injunctions and other equitable relief (including specific performance) to prevent breaches of this Agreement, any requirement for the securing or posting of any bond in connection with the obtaining of any such injunctive or other equitable relief (including specific performance) hereby being waived.

 

6.13                        Expenses

 

Each of the parties shall pay its respective legal, financial advisory and accounting costs and expenses incurred in connection with the preparation, execution and delivery of this Agreement and all documents and instruments executed or prepared pursuant hereto and any other costs and expenses whatsoever and howsoever incurred.

 

11

 

6.14                        No Third Party Beneficiaries

 

This Agreement is not intended to, and shall not, confer any rights or remedies upon any person other than the parties to this Agreement.

 

6.15                        Language

 

The parties hereto expressly acknowledge that they have requested that this Agreement and all ancillary and related documents thereto be drafted in the English language only. Les parties aux présentes reconnaissent avoir exigé que la présente entente et tous les documents qui y sont accessoires soient rédigés en anglais seulement.

 

6.16                        Counterparts

 

This Agreement may be executed in counterparts, each of which shall be deemed to be an original but both of which together shall constitute one and the same instrument. The parties hereto shall be entitled to rely upon delivery of an executed facsimile or similar executed electronic copy of this Agreement, and such facsimile or similar executed electronic copy shall be legally effective to create a valid and binding agreement between the parties hereto.

 

[REMAINDER OF PAGE LEFT BLANK. SIGNATURE PAGE FOLLOWS.]

 

12

 

IN WITNESS WHEREOF the parties have executed this Agreement as of the date first written above.

 

	
 
    	
ARLZ   CA ACQUISITION CORP.
    
	
 
    	
Per:
    	
 
    
	
 
    	
Name:
    
	
 
    	
Title:
    
	
 
    	
I have authority to   bind the Corporation
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
 
    	
)
    	
 
    
	
 
    	
 
    	
)
    	
 
    
	
 
    	
 
    	
)
    	
 
    
	
 
    	
 
    	
)
    	
 
    
	
Witness
    	
 
    	
)
    	
[SHAREHOLDER]
    
	
 
    	
 
    	
)
    	
 
    

 

13

 

SCHEDULE A

 

LOCKED-UP SECURITIES

 

	
Name of Shareholder
    	
 
    	
Address of Shareholder
    	
 
    	
Number of Tribute
   Shares
    	
 
    	
Number of Tribute
   Options
    	
 
    	
Number of
   Tribute
   Warrants

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